S 1498: Relates to the criteria for determining tuition assistance program awards; provides for the elimination of the distinction between dependent students and independent students for the purpose of determining tuition assistance program award amounts and eligibility.

  
  STATE OF NEW YORK ________________________________________________________________________ 1498 2025-2026 Regular Sessions  IN SENATE January 10, 2025 ___________ Introduced by Sen. FAHY -- read twice and ordered printed, and when printed to be committed to the Committee on Higher Education AN ACT to amend the education law, in relation to the criteria for determining tuition assistance program awards The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision 3 of section 667 of the education law, as added 2 by chapter 83 of the laws of 1995, paragraph a as amended by section 1 3 and subparagraph (iv) of paragraph b as amended by section 3 of part B 4 of chapter 60 of the laws of 2000, clause (A) of subparagraph (i) of 5 paragraph a as amended by section 1 and subparagraphs (i) and (ii) of 6 paragraph b as amended by section 2 of part DD of chapter 56 of the laws 7 of 2021, subparagraphs (ii), (iii) and (vi) of paragraph a as amended 8 and paragraph (vii) as added by section 1 of part X of chapter 56 of the 9 laws of 2024, and paragraph c as relettered by section 2 of part J of 10 chapter 58 of the laws of 2011 and paragraph b as amended by chapter 309 11 of the laws of 1996, is amended to read as follows: 12 3. Tuition assistance program awards. 13 a. Amount. The president shall make awards to students enrolled in 14 degree-granting institutions or registered not-for-profit business 15 schools qualified for tax exemption under § 501(c)(3) of the internal 16 revenue code for federal income tax purposes in the following amounts: 17 (i) For each year of undergraduate study, assistance shall be provided 18 as computed on the basis of the amount which is the lesser of the 19 following: 20 (A) [(1) In the case of students who have not been granted an exclu- 21 sion of parental income, who have qualified as an orphan, foster child, 22 or ward of the court for the purposes of federal student financial aid 23 programs authorized by Title IV of the Higher Education Act of 1965, as 24 amended, or had a dependent for income tax purposes during the tax year 25 next preceding the academic year for which application is made, except EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD00567-01-5 
 S. 1498 2 1 for those students who have been granted exclusion of parental income 2 who have a spouse but no other dependent: 3 (a)] Five thousand dollars, except starting in two thousand fourteen- 4 two thousand fifteen such students shall receive five thousand one 5 hundred sixty-five dollars, and except starting in two thousand twenty- 6 one--two thousand twenty-two and thereafter such students shall receive 7 five thousand six hundred sixty-five dollars, provided however that 8 nothing herein shall be construed as increasing any award made pursuant 9 to this section for an academic year prior to two thousand twenty-one-- 10 two thousand twenty-two; or 11 [(b)] (B) For undergraduate students enrolled in a program of study at 12 a non-public degree-granting institution that does not offer a program 13 of study that leads to a baccalaureate degree, or at a registered not- 14 for-profit business school qualified for tax exemption under section 15 501(c)(3) of the internal revenue code for federal income tax purposes 16 that does not offer a program of study that leads to a baccalaureate 17 degree, four thousand dollars, except starting in two thousand twenty- 18 one--two thousand twenty-two and thereafter such students shall receive 19 four thousand five hundred dollars. Provided, however, that this [subi- 20 tem] clause shall not apply to students enrolled in a program of study 21 leading to a certificate or degree in nursing[.]; or 22 [(2) In the case of students receiving awards pursuant to subparagraph 23 (iii) of this paragraph and those students who have been granted exclu- 24 sion of parental income who have a spouse but no other dependent begin- 25 ning in the two thousand twenty-one--two thousand twenty-two academic 26 year and thereafter, three thousand five hundred twenty-five dollars, 27 provided that nothing herein shall be construed as increasing any award 28 made for any prior academic year; or 29 (B)] (C) (1) Ninety-five percent of the amount of tuition (exclusive 30 of educational fees) charged and, if applicable, the college fee levied 31 by the state university of New York pursuant to the April first, nine- 32 teen hundred sixty-four financing agreement with the New York state 33 dormitory authority. 34 (2) For the two thousand one--two thousand two academic year and ther- 35 eafter one hundred percent of the amount of tuition (exclusive of educa- 36 tional fees) charged and, if applicable, the college fee levied by the 37 state university of New York pursuant to the April first, nineteen 38 hundred sixty-four financing agreement with the New York state dormitory 39 authority. 40 (ii) [Except for students as noted in subparagraph (iii) of this para- 41 graph, the] The base amount as determined from subparagraph (i) of this 42 paragraph, shall be reduced in relation to income as follows: 43 Amount of income Schedule of reduction 44 of base amount 45 (A) Less than seven thousand None 46 dollars 47 (B) Seven thousand dollars or Seven per centum of excess 48 more, but less than eleven over seven thousand dollars 49 thousand dollars 50 (C) Eleven thousand dollars or Two hundred eighty dollars 51 more, but less than eighteen plus ten per centum of excess 52 thousand dollars over eleven thousand dollars 53 (D) Eighteen thousand dollars or Nine hundred eighty dollars 54 more, but not more than one plus twelve per centum of 
 S. 1498 3 1 hundred twenty-five excess over eighteen 2 thousand dollars thousand dollars 3 (iii) [(A) For students who have been granted exclusion of parental 4 income and were single with no dependent for income tax purposes during 5 the tax year next preceding the academic year for which application is 6 made, the base amount, as determined in subparagraph (i) of this para- 7 graph, shall be reduced in relation to income as follows: 8 Amount of income Schedule of reduction 9 of base amount 10 (1) Less than three thousand None 11 dollars 12 (2) Three thousand dollars or Thirty-one per centum of 13 more, but not more than thirty amount in excess of three 14 thousand dollars thousand dollars 15 (B) For those students who have been granted exclusion of parental 16 income who have a spouse but no other dependent, for income tax purposes 17 during the tax year next preceding the academic year for which 18 application is made, the base amount, as determined in subparagraph (i) 19 of this paragraph, shall be reduced in relation to income as follows: 20 Amount of income Schedule of reduction 21 of base amount 22 (1) Less than seven thousand None 23 dollars 24 (2) Seven thousand dollars or Seven per centum of excess 25 more, but less than eleven over seven thousand dollars 26 thousand dollars 27 (3) Eleven thousand dollars or Two hundred eighty dollars 28 more, but less than eighteen plus ten per centum of excess 29 thousand dollars over eleven thousand dollars 30 (4) Eighteen thousand dollars or Nine hundred eighty dollars 31 more, but not more than sixty plus twelve per centum of 32 thousand dollars excess over eighteen 33 thousand dollars 34 (iv)] If the amount of reduction is not a whole dollar, it shall be 35 reduced to the next lowest whole dollar. In the case of any student who 36 has received four or more payments pursuant to any and all awards 37 provided for in this subdivision, for the two thousand--two thousand one 38 academic year the base amount shall be reduced by an additional one 39 hundred fifty dollars for the two thousand one--two thousand two academ- 40 ic year and thereafter the base amount shall be reduced by an additional 41 one hundred dollars. 42 [(v)] (iv) The award shall be the net amount of the base amount deter- 43 mined pursuant to subparagraph (i) of this paragraph reduced pursuant to 44 subparagraph (ii) [or (iii)] of this paragraph but the award shall not 45 be reduced for the two thousand--two thousand one and two thousand one- 46 -two thousand two academic years below two hundred seventy-five dollars 47 if the amount of income is eighty thousand dollars or less and more than 48 seventy thousand dollars, three hundred twenty-five dollars if the 49 amount of income is seventy thousand dollars or less and more than sixty 
 S. 1498 4 1 thousand dollars and four hundred twenty-five dollars if the amount of 2 income is sixty thousand dollars or less. 3 [(vi)] (v) For the two thousand two--two thousand three through two 4 thousand twenty-three--twenty-four academic years, the award shall be 5 the net amount of the base amount determined pursuant to subparagraph 6 (i) of this paragraph reduced pursuant to subparagraph (ii) [or (iii)] 7 of this paragraph but the award shall not be reduced below five hundred 8 dollars. 9 [(vii)] (vi) For the two thousand twenty-four--two thousand twenty- 10 five academic year and thereafter, the award shall be the net amount of 11 the base amount determined pursuant to subparagraph (i) of this para- 12 graph reduced pursuant to subparagraph (ii) [or (iii)] of this paragraph 13 but the award shall not be reduced below one thousand dollars. 14 b. Amount. The president shall make awards to students enrolled in two 15 year programs offered in registered private business schools except for 16 registered not-for-profit business schools qualified for tax exemption 17 under section 501(c)(3) of the internal revenue code for federal income 18 tax purposes in the following amounts: 19 (i) For each year of study, assistance shall be provided as computed 20 on the basis of the amount which is the lesser of the following: 21 (A) [(1)] one thousand three hundred dollars[, or 22 (2) for students receiving awards pursuant to subparagraph (iii) of 23 this paragraph, one thousand one hundred forty dollars]; or 24 (B) (1) Ninety-five percent of the amount of tuition (exclusive of 25 educational fees) charged. 26 (2) For the two thousand one--two thousand two academic year and ther- 27 eafter one hundred percent of the amount of tuition (exclusive of educa- 28 tional fees). 29 (ii) [Except for students as noted in subparagraph (iii) of this para- 30 graph, the] The base amount as determined in subparagraph (i) of this 31 paragraph, shall be reduced in relation to income as follows: 32 Amount of income Schedule of reduction 33 of base amount 34 (A) Less than seven thousand None 35 dollars 36 (B) Seven thousand dollars or Seven per centum of the excess 37 more, but less than eleven over seven thousand dollars 38 thousand dollars 39 (iii) [For students who have been granted exclusion of parental income 40 and were single with no dependent for income tax purposes during the tax 41 year next preceding the academic year for which application is made, the 42 base amount, as determined in subparagraph (i) of this paragraph, shall 43 be reduced in relation to income as follows: 44 Amount of income Schedule of reduction of 45 base amount 46 (A) Less than three thousand None 47 dollars 48 (B) Three thousand dollars or Thirty-one per centum of the ex- 49 more, but not more than ten cess over three thousand dollars 50 thousand dollars 
 S. 1498 5 1 (iv)] If the amount of reduction is not a whole dollar, it shall be 2 reduced to the next lowest whole dollar. In the case of any student who 3 has received four or more payments pursuant to any and all awards 4 provided for in this subdivision, for the two thousand--two thousand one 5 academic year the base amount shall be reduced by an additional one 6 hundred fifty dollars for the two thousand one--two thousand two academ- 7 ic year and thereafter the base amount shall be reduced by an additional 8 one hundred dollars. 9 [(v)] (iv) The award shall be the net amount of the base amount deter- 10 mined pursuant to subparagraph (i) of this paragraph reduced pursuant to 11 subparagraph (ii) [or (iii)] of this paragraph but the award shall not 12 be reduced below one hundred dollars. If the income exceeds the maximum 13 amount of income allowable under subparagraph (ii) [or (iii)] of this 14 paragraph, no award shall be made. 15 c. Restrictions. In no [even shall] event shall any award: 16 (i) be made unless the annual tuition (exclusive of educational fees) 17 and, if applicable, the college fee levied by the state university of 18 New York pursuant to the April first, nineteen hundred sixty-four 19 financing agreement with the New York state dormitory authority charged 20 for the program in which the student is enrolled total at least two 21 hundred dollars; or 22 (ii) exceed the amount by which such annual tuition (exclusive of 23 educational fees) and, if applicable, the college fee levied by the 24 state university of New York pursuant to the April first, nineteen 25 hundred sixty-four financing agreement with the New York state dormitory 26 authority exceed the total of all other state, federal, or other educa- 27 tional aid that is received or receivable by such student during the 28 school year for which such award is applicable and that, in the judgment 29 of the commissioner, would duplicate the purposes of the award; or 30 (iii) be made when income exceeds the maximum income set forth in this 31 subdivision. The commissioner shall list in his regulations all major 32 state and federal financial aid available to New York state students and 33 identify any forms of aid that are duplicative of the purposes of the 34 tuition assistance program. For the purposes of this subdivision, 35 neither United States war orphan educational benefits nor benefits under 36 the veterans' readjustment act of nineteen hundred sixty-six shall be 37 considered as federal or other educational aid. 38 § 2. This act shall take effect on the one hundred eightieth day after 39 it shall have become a law.