53B-13a-104 - Guidelines for administration of the program.
53B-13a-104. Guidelines for administration of the program.
(1) The board shall use the guidelines set forth in this section to develop and administerthe program.
(2) The board may design either a centralized or decentralized basis for award of grantsand payment of stipends to eligible students, depending on its evaluation of the administrativecapabilities of the institutions attended by the students.
(3) The board may, based on an analysis of costs for institutional administration of theprogram, provide from program money an institutional administrative costs allowance of up to3.1% of the total value of the grants and stipends awarded for eligible students at the institutionfor a fiscal year.
(4) (a) The board may provide for both need-based grant awards and need-basedwork-study stipends to be paid from the money appropriated and made available for the program,with need-based work-study stipends given strong emphasis.
(b) The need-based grants or work-study stipends are the only forms of student financialaid for which program money may be used.
(5) The board shall:
(a) provide for coordination of program awards with all existing programs of studentfinancial aid, including all federal programs, except those specifically dedicated to a particularinstitution by the donor; and
(b) design the program to complement existing federal, state, and institutional programs.
(6) Rules and administrative requirements for the program shall be developed inconsultation with the institutions, with appropriate state agencies and private sector organizationsregarding the work-study component, and with other interested groups which may be able tocontribute to the effectiveness of program development and implementation.
(7) The board shall design the program to utilize the packaging approach by whichinstitutions currently combine loans, grants, employment, and family and individualcontributions toward financing the cost of attendance at postsecondary institutions.
(8) The program shall require use of an appropriate need analysis system, which may bethe same system used for determining eligibility under federal student financial aid programs, indetermining financial need for the awarding of program grants and work-study stipends.
(9) In no case may the amount of program grants or work-study stipends or both, withother financial aid from any source, both need and merit-based, and with expected family andpersonal contributions, exceed the cost of attendance for the student at the institution for a fiscalyear.
(10) Criteria for awards of program funds to institutions and students shall be based onassisting only the most financially needy eligible students.
(11) The board shall establish annually the minimum and maximum amounts forprogram grants and work-study stipends for the fiscal year.
(12) Grants and work-study stipends shall be awarded on an annual basis but paid onequarter or semester at a time, with payments for quarters or semesters after the first termcontingent upon the student's maintaining satisfactory progress as defined by the institution inpublished policies or rules.
(13) All awards under the program shall be made without regard to an applicant's race,creed, color, religion, sex, or ancestry.
(14) Students receiving financial aid under the program are required to apply the money
toward the cost of attendance at the institution attended, as established pursuant to board rules.
(15) The board shall adopt and publish rules which implement this chapter and any otherprovisions the board reasonably determines necessary to ensure sound fiduciary administration ofprogram money and accomplishment of the program objective to assist financially needy stateresidents to achieve access to and persistence in postsecondary education and training.
(16) The board may require annual participation agreements from eligible postsecondaryinstitutions, which shall include an agreement to:
(a) provide information needed by the board to administer the program;
(b) comply with program rules in recommending or awarding program grants andwork-study stipends to individual students;
(c) submit annual reports as required by the board; and
(d) cooperate in program reviews and financial audits as the board may determine to benecessary.
(17) The board, with cooperation from participating institutions, shall:
(a) establish a research database;
(b) conduct appropriate research into the effects of student financial aid on students'access to and persistence in postsecondary education and training; and
(c) utilize the research in planning and modifying the design of the program.
(18) The board shall report annually to the governor and the Legislature on:
(a) the administration of the program;
(b) utilization of program money;
(c) benefits in fulfillment of the purposes established for the program; and
(d) any recommendations for program modification, including recommended fundinglevels.
(19) The board shall regularly provide information to students on employmentopportunities in occupational and professional training and degree programs as identified throughannual marketplace surveys.
Amended by Chapter 10, 2004 General Session