ARIZONA STATE SENATE
Fifty-Fourth Legislature, Second Regular Session
AMENDED
students; community college grants
Purpose
Establishes Arizona Works Community College Grants (Grants) for students enrolled in career and technical education (CTE) programs at community colleges. Establishes the Arizona Works Community College Grant Fund (Fund) and appropriates $5,000,000 from the state General Fund (GF) in each of FYs 2021 through 2023.
Background
Career and technical education and vocational education is statutorily defined as vocational and technical preparation programs for pupils in grades 9 through 12 (A.R.S. § 15-781). School districts provide entry-level career and technical education and vocational education, while career technical education districts provide CTE programs to prepare students for advanced CTE or the workforce.
Statute assigns primary responsibility for postsecondary technical education and advanced CTE and vocational education to community college district governing boards (district boards). District boards and the State Board for Private Postsecondary Education are charged with providing CTE and vocational education that focuses on Arizona's economic development (A.R.S. § 15-790).
S.B. 1284 appropriates $5,000,000 from the state GF to the Fund in each of FYs 2021 through 2023.
Provisions
Grants
1. Requires, beginning August 1, 2020, each district board to administer Grants to pay tuition and mandatory fees for students enrolled in CTE programs at a community college in the district.
2. Establishes Grant eligibility requirements that require a student to:
a) be a resident of Arizona;
b) complete a Free Application for Federal Student Aid (FAFSA);
c) enroll at an Arizona community college in a CTE program or a program that leads to certification by an industry or vocation;
d) have a grade point average (GPA) of at least 2.5 on a 4.0 scale; and
e) be either:
i. a dependent student who reports on a FAFSA a parental federal adjusted gross income of $60,000 or less; or
ii. an independent student who reports on a FAFSA a family adjusted gross income of $60,000 or less.
3. Allows a student to reapply and be eligible to receive a Grant for up to two consecutive academic years if the student:
a) completed at least 30 hours of volunteer service during the previous school year; and
b) maintained a GPA of at least 2.5 on a 4.0 scale.
Grant Funding
4. Establishes the Fund, consisting of legislative appropriations, with the purpose of supporting Grants.
5. Appropriates $5,000,000 in each of FYs 2021 through 2023 from the state GF to the Fund.
6. Requires that monies in the Fund be prorated if they are insufficient to pay tuition and fees for each eligible student in a fiscal year.
7. Limits the amount of a Grant to the cost of tuition and mandatory fees after all other financial aid received by the student, including from a federal Pell Grant.
8. Requires the State Treasurer to administer the Fund and distribute monies to Arizona community colleges based on the cost of tuition and mandatory fees minus all other financial aid for eligible students.
Miscellaneous
9. Requires Arizona community colleges to annually report to the Governor, the President of the Senate, the Speaker of the House of Representatives and the Auditor General (OAG) the following information:
a) the number of Grant applicants and Grant recipients;
b) the average Grant amount; and
c) the academic completion rate of Grant recipients.
10. Requires the OAG to complete a special audit of the Grants issued and submit the special audit to the Governor, the President of the Senate and the Speaker of the House of Representatives, with a copy to the Secretary of State by October 15, 2026.
11. Requires community college districts to provide necessary information to the State Treasurer to disburse Grant monies and to the OAG to complete the special audit.
12. Repeals the Grants and the Fund on July 1, 2027.
13. Becomes effective on the general effective date, retroactive to August 1, 2020.
Amendments Adopted by the Higher Education and Workforce Development Committee
1. Requires the OAG to complete a special audit of Grants issued, rather than an annual review.
2. Requires community college districts to provide necessary information to the OAG to complete the special audit.
Amendments Adopted by the Appropriations Committee
1. Reduces the appropriation by one fiscal year.
2. Specifies that amounts disbursed from the Fund should be based on the cost of tuition and mandatory fees minus all other financial aid.
3. Requires the OAG to complete a special audit of Grants issued, rather than an annual review.
4. Requires community college districts to provide necessary information to the State Treasurer to disburse Grant monies and the OAG to complete the special audit.
Senate Action
HEWD 2/10/20 DPA 7-0-0
APPROP 2/18/20 DPA 8-0-1
Prepared by Senate Research
February 19, 2020
JO/JP/gs