THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY BOYLE, PAYTON, R. TAYLOR, EACHUS, K. SMITH, WAGNER, YOUNGBLOOD, YUDICHAK, LEVDANSKY, BRENNAN, BROWN, D. COSTA, DePASQUALE, DONATUCCI, DRUCKER, FABRIZIO, FREEMAN, GEIST, GEORGE, GOODMAN, HENNESSEY, HORNAMAN, JOHNSON, JOSEPHS, W. KELLER, KIRKLAND, KORTZ, MAHONEY, McGEEHAN, MELIO, D. O'BRIEN, PARKER, M. O'BRIEN, READSHAW, REICHLEY, SABATINA, SANTONI, SIPTROTH, SOLOBAY, WALKO, WANSACZ, GIBBONS, STURLA, GRUCELA, MENSCH AND LONGIETTI, FEBRUARY 18, 2009

AS REPORTED FROM COMMITTEE ON EDUCATION, HOUSE OF REPRESENTATIVES, AS AMENDED, MARCH 24, 2010   

AN ACT

Establishing a Statewide academic scholarship program to be

known as the Reliable Educational Assistance for College

Hopefuls Scholarship; and providing for the powers and duties

of the Pennsylvania Higher Education Assistance Agency.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Short title.

This act shall be known and may be cited as the Reliable

Educational Assistance for College Hopefuls Scholarship Act.

Section 2.  Purpose.

The purpose of this act is to reward educational excellence

and provide an incentive to Pennsylvania students to pursue

higher education within this Commonwealth.

Section 3.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Agency."  The Pennsylvania Higher Education Assistance

Agency.

"Fund."  The REACH Scholarship Fund established in section 6.

"Grade point average."  The numbered grade average calculated

using a 4.0 scale.

"Private institution of higher education."  An institution of

higher education located in this Commonwealth that provides an

organized four-year program of undergraduate instruction toward

a baccalaureate degree and that is not a State-owned institution

or State-related institution.

"REACH."  The Reliable Educational Assistance for College

Hopefuls Scholarship established under section 4.

"State-owned institution."  An institution that is part of

the State System of Higher Education pursuant to Article XX-A of

the act of March 10, 1949 (P.L.30, No.14), known as the Public

School Code of 1949.

"State-related institution."  Any of the following: The

Pennsylvania State University, the University of Pittsburgh,

Temple University and Lincoln University and their branch

campuses.

"Student."  A school-age resident of this Commonwealth who

attends or is about to attend a State-owned institution, State-

related institution or private institution of higher education

located in this Commonwealth.

Section 4.  REACH Scholarship.

(a)  Establishment.--The REACH Scholarship is established

within the agency.

(b)  Issuance of scholarships.--

(1)  The agency shall provide scholarships, which may be

referred to as REACH Scholarships, to all students who meet

the requirements of subsection (d) or (f). The scholarships

may be issued to a student only upon confirmation from the

State-owned institution, State-related institution or private

institution of higher education to which the student has

enrolled full time.

(2)  The scholarships shall be available for four years

or upon completion of a baccalaureate degree, whichever

occurs earlier.

(3)  The scholarships shall only be used for tuition and

mandatory fees.

(4)  The scholarships shall be awarded solely on the

basis of merit and without regard to need.

(5)  The scholarships shall only be awarded to students

who are high school seniors during or after the school year

in which this section takes effect.

(c)  Calculation of award.--

(1)  Each eligible student who will attend or attends a

State-owned institution shall receive a full-tuition

scholarship.

(2)  Each eligible student who will attend or attends a

State-related institution or private institution of higher

education shall receive the lesser of a full-tuition

scholarship or a scholarship equal to the average tuition at

the State-owned institutions as calculated annually by the

agency.

(d)  Eligibility.--To receive a scholarship under this

section, a student must meet all of the following requirements:

(1)  Pennsylvania residency for at least three years

prior to application for the REACH Scholarship.

(2)  Pennsylvania residency during the term of the

scholarship.

(3)  Cumulative high school grade point average of 3.0 or

higher for the sophomore, junior and senior years of high

school. If the student does not graduate from high school or

completes a home study program meeting the requirements of

section 1327.1 of the act of March 10, 1949 (P.L.30, No.14),

known as the Public School Code of 1949, the agency shall

determine the eligibility of the student.

(4)  Cumulative high school attendance of at least 90%

for the sophomore, junior and senior years of high school

unless the agency determines there are extenuating

circumstances, including, but not limited to, approved

medical or personal leave of absence. If the student does not

graduate from high school but completes a home study program

meeting the requirements of section 1327.1 of the Public

School Code of 1949, the agency shall determine the

eligibility of the student.

(5)  Satisfactory disciplinary record or conduct record

for the sophomore, junior and senior years of high school. If

the student does not meet this requirement but meets or

exceeds all other requirements under this subsection, the

agency shall determine eligibility of the student.

(6)  Satisfactory academic progress toward completion of

a course of study at a State-owned institution, State-related

institution or private institution of higher education as

provided under subsection (f).

(7)  Entrance into a written agreement with the agency to

maintain Pennsylvania residency for four years after

completion of an undergraduate a baccalaureate degree. The

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student shall reimburse the Commonwealth all amounts received

under this act and interest thereon, at a rate equal to the

average Stafford loan through the term of the scholarship, if

the student fails to comply with the terms of the written

agreement.

(8)  Apply for the Free Application for Federal Student

Aid each year during the term of the scholarship.

(9)  Complete at least 100 hours of community service

each academic year. The community service must be documented

by a supervisor and approved by the agency.

(e)  Contents of application.--The application of a student

who seeks a scholarship as prescribed by the agency must

include:

(1)  All information and documentation required by the

agency.

(2)  If the student is under 18 years of age, the

signature of a parent or guardian.

(3)  A verified statement of grade point average,

attendance and disciplinary record or conduct record from the

appropriate educational institution.

(f)  Maintenance of scholarship.--

(1)  Except as provided under paragraph (2), a student

must maintain a grade point average of 3.0 or higher during

each semester at a State-owned institution, State-related

institution or private institution of higher education

through the term of the scholarship, unless the agency

determines that there are extenuating circumstances,

including, but not limited to, approved medical or personal

leave of absence.

(2)  In the event that a student receives a grade point

average below 3.0 during the first or second semester of the

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freshmen or first year a semester at a State-owned

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institution, State-related institution or private institution

of higher education, the agency shall place the student on

scholarship probation. If a student on scholarship probation

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receives a grade point average below 3.0 in any following

semester, the scholarship shall be terminated.

(3)  A student must complete 40 hours of community

service during each 12-month period during the term of the

scholarship, which community service must be verified by the

agency.

(g)  Scholarship termination and transfer.--

(1)  If a student who has received a scholarship

terminates enrollment in the educational institution to which

the student has enrolled full time during the academic year,

the educational institution shall notify the agency in

writing and shall return all unused portions of the

scholarship.

(2)  Returned amounts shall be deposited in the REACH

Scholarship Fund.

(3)  A student may transfer a scholarship from one State-

owned institution, State-related institution or private

institution of higher education to another.

(h)  Limitation.--A scholarship shall be paid only from the

REACH Scholarship Fund.

Section 5.  Administration.

(a)  Verification.--The agency shall monitor and verify a

student's compliance with all the requirements under this act.

(b)  Enforcement.--The agency shall enforce repayment of all

scholarships for a student who does not comply with the

provisions of this act, to include use of all lawful collection

procedures and the use of private collection agencies.

(c)  Exclusion from taxation.--No scholarship received by a

student shall not be considered taxable income for purposes of

Article III of the act of March 4, 1971 (P.L.6, No.2), known as

the Tax Reform Code of 1971.

(d)  Financial assistance.--No scholarship received by a

student shall be considered financial assistance or

appropriations to the approved education institution.

(e)  Regulations.--The agency shall adopt regulations and

procedures necessary to carry out the purposes of this act.

Section 6.  REACH Scholarship Fund.

(a)  Establishment.--The REACH Scholarship Fund is

established as a separate fund in the State Treasury.

(b)  Administration.--The fund shall be administered by the

agency.

(c)  Use of fund.--The purpose of the fund shall be to

provide full tuition scholarships or equivalent scholarships to

students who have been determined eligible in accordance with

this act.

(d)  Funding source.--

(1)  Donations and contributions from all public and

private sources, including the Federal Government, and any

appropriations or transfers authorized by the General

Assembly may be deposited in the fund.

(2)  All interest earned by the fund and all refunds and

repayments shall be credited to the fund.

Section 7.  Report to General Assembly.

On or before April 1 following the effective date of this

section, and in each succeeding year in which REACH Scholarships

are awarded, the agency shall provide a report to the General

Assembly regarding the implementation and administration of this

act.

Section 8.  Effective date.

This act shall take effect July 1, 2009 2010, or immediately,

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whichever is later.