"NEW SECTION.  Sec. 1   (1) The higher education coordinating board shall develop a pilot project for the 2005-2007 biennium to assess the need for and funding requirements that would be necessary to expand student eligibility for the state need grant program to include students enrolled in four or five quarter hours or equivalent enrollment. Under the pilot project, students attending participating higher education institutions and enrolled in four or five quarter hours or equivalent enrollment shall be eligible for the state need grant as long as they also meet the other eligibility criteria for the program.
     (2) The higher education coordinating board shall select up to ten colleges and universities to participate in the pilot project developed under subsection (1) of this section. The higher education coordinating board shall require, at a minimum, that eligible institutions are participants as of the 2005-06 academic year in the state need grant program. Colleges, including both community and technical colleges, and universities may apply to participate based on the criteria developed by the board.
     (3) The higher education coordinating board shall report to the higher education committees of the legislature by December 2006, on the results of the pilot project. The report shall include, at a minimum, the dollar amounts disbursed through the pilot project according to which institutions the students attended, geographic and demographic analysis of the participating students, an assessment of need for the program, including the number of students served, the number of students unserved, and estimates of costs for a permanent statewide program.
     (4) The pilot project shall begin in the fall 2005 academic term and expire June 30, 2007."