1.1 	A bill for an act
1.2 	relating to higher education; changing program parameters for the child care grant 
1.3 	program;amending Minnesota Statutes 2016, section 136A.125, subdivisions 2, 
1.4 	4.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2016, section 136A.125, subdivision 2, is amended to read:
1.7 		Subd. 2.Eligible students. (a) An applicant is eligible for a child care grant if the 
1.8 	applicant:
1.9 	(1) is a resident of the state of Minnesota or the applicant's spouse is a resident of the 
1.10 	state of Minnesota;
1.11 	(2) has a child 12 years of age or younger, or 14 years of age or younger who is disabled 
1.12 	as defined in section 125A.02, and who is receiving or will receive care on a regular basis 
1.13 	from a licensed or legal, nonlicensed caregiver;
1.14 	(3) is income eligible as determined by the office's policies and rules, but is not a recipient 
1.15 	of assistance from the Minnesota family investment program;
1.16 	(4) either has not earned a baccalaureate degree and has been enrolled full time less than 
1.17 	eight ten semesters or the equivalent, or has earned a baccalaureate degree and has been 
1.18 	enrolled full time less than eight ten semesters or the equivalent in a graduate or professional 
1.19 	degree program;
1.20 	(5) is pursuing a nonsectarian program or course of study that applies to an undergraduate, 
1.21 	graduate, or professional degree, diploma, or certificate;
2.1 	(6) is enrolled in at least six credits in an undergraduate program or one credit in a 
2.2 	graduate or professional program in an eligible institution; and
2.3 	(7) is in good academic standing and making satisfactory academic progress.
2.4 	(b) A student who withdraws from enrollment for active military service after December 
2.5 	31, 2002, because the student was ordered to active military service as defined in section 
2.6 	190.05, subdivision 5b or 5c, or for a major illness, while under the care of a medical 
2.7 	professional, that substantially limits the student's ability to complete the term is entitled to 
2.8 	an additional semester or the equivalent of grant eligibility and will be considered to be in 
2.9 	continuing enrollment status upon return.

2.10 	Sec. 2. Minnesota Statutes 2016, section 136A.125, subdivision 4, is amended to read:
2.11 		Subd. 4.Amount and length of grants. (a) The amount of a child care grant must be 
2.12 	based on:
2.13 	(1) the income of the applicant and the applicant's spouse;
2.14 	(2) the number in the applicant's family, as defined by the office; and
2.15 	(3) the number of eligible children in the applicant's family.
2.16 	(b) The maximum award to the applicant shall be $2,800 $3,000 for each eligible child 
2.17 	per academic year, except that the campus financial aid officer may apply to the office for 
2.18 	approval to increase grants by up to ten percent to compensate for higher market charges 
2.19 	for infant care in a community. The office shall develop policies to determine community 
2.20 	market costs and review institutional requests for compensatory grant increases to ensure 
2.21 	need and equal treatment. The office shall prepare a chart to show the amount of a grant 
2.22 	that will be awarded per child based on the factors in this subdivision. The chart shall include 
2.23 	a range of income and family size.
2.24 	(c) Applicants with family incomes at or below a percentage of the federal poverty level, 
2.25 	as determined by the commissioner, will qualify for the maximum award. The commissioner 
2.26 	shall attempt to set the percentage at a level estimated to fully expend the available 
2.27 	appropriation for child care grants. Applicants with family incomes exceeding that threshold 
2.28 	will receive the maximum award minus ten percent of their income exceeding that threshold. 
2.29 	If the result is less than zero, the grant is zero.
2.30 	(d) The academic year award amount must be disbursed by academic term using the 
2.31 	following formula:
2.32 	(1) the academic year amount described in paragraph (b);
3.1 	(2) divided by the number of terms in the academic year;
3.2 	(3) divided by 15 for undergraduate students and six for graduate and professional 
3.3 	students; and
3.4 	(4) multiplied by the number of credits for which the student is enrolled that academic 
3.5 	term, up to 15 credits for undergraduate students and six for graduate and professional 
3.6 	students.
3.7 	(e) Payments shall be made each academic term to the student or to the child care 
3.8 	provider, as determined by the institution. Institutions may make payments more than once 
3.9 	within the academic term.