The proposed bill establishes the "Michigan Achievement Scholarship Act," which aims to create a financial aid program for residents attending eligible postsecondary educational institutions in Michigan. The program will provide last-dollar scholarship assistance, ensuring a tuition-free pathway for community college attendance and offering scholarship support for public and private universities. The funding for this initiative will be sourced from the state school aid act, specifically under article III, and will be administered by the Department of Lifelong Education, Advancement, and Potential. The bill outlines the criteria for eligibility, including residency requirements, academic progress, and the necessity for students to apply for and accept all available gift aid.

Additionally, the bill mandates that eligible institutions report on their financial aid practices and compliance with tuition and fee restraint rates. It includes provisions for the department to develop a process for awarding scholarships, maintain transparency through annual reports, and create a public dashboard detailing student success metrics. The legislation emphasizes the importance of maintaining institutional grant aid levels and sets consequences for institutions that exceed tuition restraint rates. The act will only take effect if a related bill, Senate Bill No. 383, is also enacted into law.