Subject of Possible Rule Making: Modifying rules governing the promise scholarship program to correspond with SHB 2807 passed by the 2002 legislature.

     Statutes Authorizing the Agency to Adopt Rules on this Subject: Chapter 28B.80 RCW and SHB 2807 passed by the 2002 legislature.

     Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: SHB 2807, as passed by the 2002 legislature, added features to the current promise scholarship program.

     (1) Expanded eligibility for the promise scholarship to students who score 27 or greater of the ACT exam on their first attempt.

     (2) Allows certain scholars to use the award at institutions in Oregon.

     (3) Prohibits the awarding of the scholarship to any student who is pursuing a degree in theology.

     (4) Allows the Higher Education Coordinating Board to establish satisfactory progress standards for the continued receipt of the scholarship.

     (5) Requires the board to first ensure that eligibility for the state need grant program is at least 55% of the state median family income before administering the promise scholarship program.

     (6) Establishes an account in the custody of the state treasurer.

     Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: None.

     Process for Developing New Rule:      Agency study.

     Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting John Klacik, Associate Director, Higher Education Coordinating Board, P.O. Box 43430, Olympia, WA 98504-3430, e-mail johnk@hecb.wa.gov, phone (360) 753-7851, fax (360) 704-6251.

March 29, 2002

John Klacik

Associate Director

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