Substitute Bill No. 5 aims to improve the affordability and accountability of higher education in Connecticut by establishing the Roberta B. Willis Scholarship program, which will provide need-based financial aid to eligible students at public and independent institutions. Key changes include replacing the term "family contribution" with "student aid index" for determining financial aid eligibility and introducing new definitions for "eligible student," "independent institution of higher education," and "public institution of higher education." The bill mandates that starting July 1, 2024, the Office of Higher Education will assess financial need based on the student aid index, rather than the previous method. It also outlines a structured funding approach for the scholarship program, ensuring a minimum percentage of funds is allocated to various types of grants, and includes provisions for reporting and transparency.

Additionally, the bill requires institutions to submit information about eligible students who applied for financial aid to the Office of Higher Education, with penalties for non-compliance, including barring institutions from the scholarship program for the following fiscal year. It also mandates that institutions maintain records for at least three years to support the number of eligible students and their qualifications. The bill removes the requirement that institutions cannot reduce need-based grants based on revised qualifications from the Free Application for Federal Student Aid, changes the deadline for returning unallocated funds from May to April, and emphasizes accountability in the use of public funds. The act is set to take effect on July 1, 2025.

Statutes affected:
Committee Bill:
HED Joint Favorable Substitute:
File No. 164:
APP Joint Favorable:
FIN Joint Favorable: