(Senate Bill 154)
An Act to revise criteria for the South Dakota freedom scholarship.
Be it enacted by the Legislature of the State of South Dakota:
Section 1. That § 13-55A-15 be AMENDED:
required in section 9 of SL 2021, ch
provide for a governing board. The board shall
consist of five
members appointed by the Governor,
for a term of five years, except that the initial appointments shall
are for periods
of one, two, three, four, and five years. The Governor shall appoint
one member as the temporary chair of the board. The board shall elect
a chair at its first meeting. A majority of the board shall
personally or by
to constitute a quorum.
The board shall provide eligible
South Dakota students, as described in § 13-55A-16,
with a needs-based scholarship to attend an eligible postsecondary
institution, as described in § 13-55A-17.
The distributable income of the South Dakota Freedom Scholarship
annually to benefit eligible South Dakota students. Any excess
earnings or other income to the endowment shall
be added to the
endowment principal. The board shall determine the manner and method
of disbursement of the needs-based scholarships, based upon the
South Dakota resident
enrollments of each participating, eligible institution, as described
in § 13-55A-17.
Section 2. That § 13-55A-16 be AMENDED:
board may consider aA
eligible for a
South Dakota Freedom Scholarship, pursuant to § 13-55A-15,
if the student:
(1) Is a state resident for at least one year prior to application for the scholarship;
(2) Attends an eligible institution in pursuit of a baccalaureate degree;
(3) Establishes financial need, as determined by the eligible institution and the board described in § 13-55A-15;
(4) Commits, in writing, to live and work in this state for a period of three years after graduation, or following military service or graduate education, if applicable;
(5) Maintains a
of at least 2.0
while enrolled at an eligible institution;
from an eligible institution within five years; and (7) Agrees,
through a promissory note or other agreement, that failure to comply
provisions of this
results in the
scholarship being converted to an interest-bearing loan.
A student is eligible to receive a scholarship under this section for five years. If a student fails to complete a baccalaureate degree within five years from the date of initial attendance, the board may convert any amounts awarded to the student into an interest-bearing loan.
Notwithstanding the provisions of
this section, the board may temporarily or permanently waive the
requirements of this section if factors, as determined
by the board
prevent a student from satisfying the requirements in this section.
Section 3. That § 13-55A-17 be AMENDED:
13-55A-17. For purposes of §§ 13-55A-15 to 13-55A-17, inclusive, an eligible institution is an accredited public or nonpublic nonprofit postsecondary institution, including any tribal college, with a primary physical campus in this state, that:
(1) Elects to participate in the scholarship program provided in §§ 13-55A-15 to 13-55A-17, inclusive; and
(2) Offers a baccalaureate
and (3) Designates
an associated nonprofit entity to receive and award scholarship funds
to the institution's eligible students, as described in §
13-55A-16, on the eligible institution's behalf.
Signed March 21, 2022
Catchlines are not law. (§ 2-16-13.1) Underscores indicate new language.
indicate deleted language.