1.1                          A bill for an act 
  1.2             relating to higher education; providing that state 
  1.3             grants are not available to students attending 
  1.4             private, for-profit institutions; amending Minnesota 
  1.5             Statutes 2002, sections 136A.101, subdivisions 4, 7; 
  1.6             136A.121, subdivision 2. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 2002, section 136A.101, 
  1.9   subdivision 4, is amended to read: 
  1.10     Subd. 4.  [ELIGIBLE INSTITUTION.] "Eligible institution" 
  1.11  means a post-secondary educational institution located in this 
  1.12  state or in a state with which the office has entered into a 
  1.13  higher education reciprocity agreement on state student aid 
  1.14  programs that either (1) is operated by this state, or (2) is 
  1.15  operated publicly or privately and not for profit and, as 
  1.16  determined by the office, maintains academic standards 
  1.17  substantially equivalent to those of comparable institutions 
  1.18  operated in this state.  A private, for-profit institution is 
  1.19  not an eligible institution.  
  1.20     Sec. 2.  Minnesota Statutes 2002, section 136A.101, 
  1.21  subdivision 7, is amended to read: 
  1.22     Subd. 7.  [STUDENT.] "Student" means a person who is 
  1.23  enrolled in an eligible institution for at least three credits 
  1.24  per quarter or semester, or the equivalent, in a program or 
  1.25  course of study that applies to a degree, diploma, or 
  1.26  certificate.  Credit equivalencies assigned by an institution 
  2.1   that are applicable to federal Pell grant calculations shall be 
  2.2   counted as part of a student's credit load. 
  2.3      Sec. 3.  Minnesota Statutes 2002, section 136A.121, 
  2.4   subdivision 2, is amended to read: 
  2.5      Subd. 2.  [ELIGIBILITY FOR GRANTS.] An applicant is 
  2.6   eligible to be considered for a grant, regardless of the 
  2.7   applicant's sex, creed, race, color, national origin, or 
  2.8   ancestry, under sections 136A.095 to 136A.131 if the office 
  2.9   finds that the applicant: 
  2.10     (1) is a resident of the state of Minnesota; 
  2.11     (2) is a graduate of a secondary school or its equivalent, 
  2.12  or is 17 years of age or over, and has met all requirements for 
  2.13  admission as a student to an eligible college or technical 
  2.14  college of choice as defined in sections 136A.095 to 
  2.15  136A.131 institution; 
  2.16     (3) has met the financial need criteria established in 
  2.17  Minnesota Rules; 
  2.18     (4) is not in default, as defined by the office, of any 
  2.19  federal or state student educational loan; and 
  2.20     (5) is not more than 30 days in arrears for any child 
  2.21  support payments owed to a public agency responsible for child 
  2.22  support enforcement or, if the applicant is more than 30 days in 
  2.23  arrears, is complying with a written payment agreement or order 
  2.24  for arrearages.  An agreement must provide for a repayment of 
  2.25  arrearages at no less than 20 percent per month of the amount of 
  2.26  the monthly child support obligation or no less than $30 per 
  2.27  month if there is no current monthly child support obligation.  
  2.28  Compliance means that payments are made by the payment date. 
  2.29     The director and the commissioner of human services shall 
  2.30  develop procedures to implement clause (5).