Purpose of the Bill

The main purpose of this bill is to make changes to higher education funding in Minnesota by eliminating the North Star Promise scholarship program and reallocating its resources.

Main Provisions

• Elimination of the North Star Promise Program: The bill proposes to end the North Star Promise scholarship program, which was a financial aid initiative aimed at helping students afford college education.
• Reallocation of Funds: The unspent money from the North Star Promise special revenue fund will be redirected to support the state grant program. This aims to ensure that financial resources are effectively utilized to support students through the existing state grant program.
• Amendments to Reporting Requirements: The bill requires the Office of Higher Education commissioner to provide an annual report on various financial aid programs. This report should include details such as the total amount of funds appropriated and expended, the number of students applying and receiving funds, demographic data, retention and completion rates, average debt, and time to completion. The report must also be broken down by program, institution, and various demographic and economic factors.

Significant Changes to Existing Law

• The repeal of Minnesota Statutes 2024 section 136A.1465, which pertains to the North Star Promise scholarship program, effectively removes this financial aid option from future availability.
• Changes to Minnesota Statutes section 136A.053 enhance the requirements for detailed financial aid reporting to the legislative committees in charge of higher education.

Relevant Terms

North Star Promise, state grant program, financial aid, scholarship program, higher education funding, Minnesota Office of Higher Education, financial aid reporting, demographic data, retention rates, completion rates.