Section 20-2022-A - Grow Pennsylvania Merit Scholarship Program(a) Beginning with the class of first-time freshmen enrolling for the 2025-2026 academic year, the agency, in conjunction with the system, shall administer a program, which is established and shall be known as the Grow Pennsylvania Merit Scholarship Program. The agency shall award merit scholarships to eligible nonresident students.(b) To be eligible for receipt of a merit scholarship, an eligible nonresident student must: (1) Have a high school grade point average of at least 2.5 on a 4.0 scale.(2) Be enrolled full time in person in an approved course of study at an institution, except that a person may take online courses that are part of the curriculum.(3) Maintain satisfactory academic progress as defined by the agency.(4) Not have earned a bachelor's degree or the equivalent.(5) Enter into a written agreement with the agency to:(i) Satisfy all degree requirements and other requirements of this section.(ii) Commence employment in this Commonwealth within one year after completion of an approved course of study culminating in a bachelor's or associate's degree. The employment must be in in-demand occupations, as determined by the agency, for a period of twelve months of each academic year the student received a merit scholarship, unless the agency determines that there are extenuating circumstances.(iii) Reimburse the agency the aggregate amount of a scholarship received under this section if the student breeches the agreement. For a student who partially satisfies the work requirement, the agency shall prorate the required reimbursement.(c) The agency shall: (1) Develop guidelines, including instructions for how a nonresident student may apply for a merit scholarship and how institutions may receive merit scholarship funds from the agency for scholarship recipients.(2) Monitor and verify a student's compliance with the agreement and enforce repayment of all merit scholarships for a student who does not comply with the provisions of this section, including use of lawful collection procedures.(d) A merit scholarship shall be for a maximum of four academic years or the completion of a bachelor's degree, whichever occurs first.(f) If a student terminates enrollment in the approved course of study during the academic year or prior to completion of the approved course of study, the institution shall notify the agency in writing.(g) Nothing in this subsection shall be construed to:(1) Change a student's eligibility for a merit scholarship if the student terminates enrollment in one approved course of study and enrolls in a different approved course of study at the same institution or another institution.(2) Require an institution to enforce any provision of this section relating to repayment of funds for failure to comply with this section.(h) Money reimbursed to the agency under this section shall be transferred to the system.(i)(1) The agency shall postpone the work requirement under subsection (b)(5) for extenuating circumstances, as determined by the agency, or if the student enrolls in a higher level degree program.(2) A student that enrolls in a higher level degree program must provide the agency with documentation showing continual status as a full-time student in order to be given a postponement by the agency under this section.(j) In any year when fewer than three hundred (300) merit scholarships are awarded, the Commonwealth shall pay to the system in the subsequent year the following amount: (1) Subtract the number of merit scholarships awarded from three hundred (300).(2) Multiply the sum in paragraph (1) by the differential between tuition for a resident and nonresident student.(k) A merit 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."(l) The system shall provide assistance to the agency as necessary to administer the program.(m) The system shall actively advertise and market the program to students and include information about the program on the system's publicly accessible Internet website and on each institution's publicly accessible Internet website.(n) The agency, in consultation with the system, shall prepare and submit to the Governor, the General Assembly and the secretary no later than December 31, 2025, and each December 31 thereafter, a report detailing the operation of the program. The report shall, at a minimum, include:(1) A list of the in-demand occupations for which merit scholarships may be sought.(2) The number of merit scholarship applicants.(3) The number of merit scholarships awarded to students.(4) The number of merit scholarships awarded by approved course of study.(5) The number of merit scholarships awarded by institution.(6) The average amount of the merit scholarship.(7) The number of merit scholarship recipients that are employed and meeting the work requirement under subsection (b) (5).(8) The number of merit scholarship recipients that have not met the work requirement.(9) The amount of money reimbursed to the agency by merit scholarship recipients that have not met the work requirement.Added by P.L. (number not assigned at time of publication) 2024 No. 89,§ 2, eff. 7/17/2024.