1.1 	A bill for an act
1.2 	relating to higher education; establishing a promise equalization scholarship 
1.3 	program to supplement state grant awards for students attending Minnesota private 
1.4 	nonprofit postsecondary institutions; requiring a report; appropriating money;
1.5 	proposing coding for new law in Minnesota Statutes, chapter 136A.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. [136A.1212] PROMISE EQUALIZATION SCHOLARSHIP.
1.8 		Subdivision 1.Eligibility. (a) In an academic term, a student is eligible for a scholarship 
1.9 	under this section if the student:
1.10 	(1) is eligible for and receives a state grant award under section 136A.121 for that same 
1.11 	academic term; and
1.12 	(2) is enrolled in at least one credit at a Minnesota private nonprofit postsecondary 
1.13 	institution that is an eligible institution as defined by section 136A.101, subdivision 4.
1.14 	(b) The commissioner shall make scholarship awards to eligible students who apply for 
1.15 	and receive a state grant award under section 136A.121.
1.16 		Subd. 2.Award amount. An eligible student's scholarship award under this section 
1.17 	shall be an amount determined by the commissioner based upon the funds available for the 
1.18 	program, provided that the amount may not exceed 33 percent of the student's state grant 
1.19 	award under section 136A.121.
1.20 		Subd. 3.Administration; report. (a) The commissioner shall administer this program 
1.21 	and may establish guidelines and procedures necessary for its implementation.
2.1 	(b) By February 15 each year, the commissioner must submit a report to the chairs and 
2.2 	ranking minority members of the legislative committees with jurisdiction over higher 
2.3 	education on the details of the promise equalization scholarship program, including summary 
2.4 	data on promise equalization scholarship awards at each eligible Minnesota private nonprofit 
2.5 	postsecondary institution showing:
2.6 	(1) the total number of students who received promise equalization scholarships in the 
2.7 	prior academic year and this number as a percentage of the institution's total undergraduate 
2.8 	enrollment;
2.9 	(2) average and total promise equalization scholarship award amounts;
2.10 	(3) relevant demographic data on promise equalization scholarship recipients; and
2.11 	(4) enrollment, retention, degree completion, and other relevant student outcome data 
2.12 	on promise equalization scholarship recipients.

2.13 	EFFECTIVE DATE. This section is effective the day following final enactment. 
2.14 	Scholarships under this section shall be awarded beginning in the 2024-2025 academic year.

2.15 	Sec. 2. APPROPRIATION; PROMISE EQUALIZATION SCHOLARSHIP.
 2.16 	(a) $18,000,000 in fiscal year 2025 is appropriated from the general fund to the 
2.17 	commissioner of the Office of Higher Education for the promise equalization scholarship 
2.18 	under Minnesota Statutes, section 136A.1212.
2.19 	(b) The base for this appropriation for fiscal year 2026 and later is $18,000,000 plus an 
2.20 	additional percentage equal to the annual percentage increase, if any, in the highest tuition 
2.21 	and fees charged at a Minnesota public postsecondary institution.