HF2241 (Legislative Session 94 (2025-2026))

In-state residency and work requirement for recipients of North Star Promise scholarships imposed.

Related bill: SF2528

AI Generated Summary

This Minnesota House bill proposes an amendment to the North Star Promise scholarship program, introducing an in-state residency and employment requirement for scholarship recipients. Key provisions of the bill include:

  1. Eligibility Conditions: The bill reiterates existing eligibility criteria for the scholarship, such as income limits, academic progress, enrollment status, and compliance with student loan and child support obligations.

  2. New Residency and Employment Requirement:

    • Scholarship recipients must reside and work in Minnesota for at least three years after completing their degree or credential program.
    • This requirement must begin within six months of program completion.
    • If a recipient fails to meet this requirement, the scholarship is converted into a student loan, requiring repayment with interest.
  3. Waivers and Deferrals:

    • The requirement may be waived if a recipient, within six years of receiving the scholarship, has not completed the intended program, has not earned a baccalaureate degree, and is no longer enrolled in any postsecondary institution.
    • A deferral may be granted for recipients who:
      • Pursue a postgraduate education (half-time or more).
      • Engage in full-time volunteer service (e.g., Peace Corps, AmeriCorps).
      • Experience extreme hardship.
  4. Multiple Scholarships:

    • If a student receives the North Star Promise scholarship for more than one degree or credential, they only need to fulfill the residency and employment requirement once.
  5. Termination and Exceptions:

    • If a recipient becomes ineligible or has their scholarship terminated, they must still meet the residency and employment requirement within six years unless they qualify for a waiver or deferral.
    • Obligations are canceled in case of the recipient’s death or permanent total disability.

This bill aims to ensure that scholarship recipients contribute to Minnesota's workforce after completing their education.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 11, 2025HouseFloorActionIntroduction and first reading, referred toHigher Education Finance and Policy
March 11, 2025HouseFloorActionIntroduction and first reading, referred toHigher Education Finance and Policy
March 19, 2025HouseFloorActionAuthor added

Citations

 
[
  {
    "analysis": {
      "added": [
        "Link to compliance with written payment agreements as a condition for scholarship eligibility."
      ],
      "removed": [
        ""
      ],
      "summary": "This section is referenced in relation to complying with written payment agreements for arrearages on child support.",
      "modified": [
        "Clarification on scholarship conditions relating to child support arrearages."
      ]
    },
    "citation": "518A.69",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [
        "A requirement for maintaining satisfactory academic progress as per section 136A.101."
      ],
      "removed": [
        ""
      ],
      "summary": "This citation is used to define satisfactory academic progress for scholarship eligibility.",
      "modified": [
        "Aligns progress standards with existing education statute definitions."
      ]
    },
    "citation": "136A.101",
    "subdivision": "subdivision 10"
  },
  {
    "analysis": {
      "added": [
        "Interest rate application for scholarships converted to loans."
      ],
      "removed": [
        ""
      ],
      "summary": "References the establishment of interest rates for converted scholarships to student loans.",
      "modified": [
        "Identifies the conversion of scholarship terms based on residency/employment conditions."
      ]
    },
    "citation": "270C.40",
    "subdivision": ""
  }
]