This bill aims to enhance higher education funding in Minnesota by increasing the default living and miscellaneous expenses allowance for the state grant program and establishing a new State Grant Plus scholarship. The amendment to Minnesota Statutes 2024, section 136A.121, subdivision 6, raises the living and miscellaneous expense allowance from 115 to 121 percent of the federal poverty guidelines for a one-person household in Minnesota for nine months. Additionally, a new section, 136A.1212, is introduced to create the State Grant Plus scholarship, which provides eligible students with an award amount equal to 25 percent of their state grant award, contingent upon their enrollment in at least one credit at an eligible institution.

The bill also includes provisions for various appropriations aimed at improving higher education access and success. These include funding for competitive grants to increase FAFSA completion rates, enhance retention and graduation rates for Pell grant-eligible students, and support multilingual communications. Furthermore, it establishes working groups to recommend strategies for sustainable funding of higher education and updates to the state's higher education attainment goals. Reports on the outcomes of these initiatives are required to be submitted to legislative committees, ensuring accountability and transparency in the implementation of these programs.

Statutes affected:
Introduction: 136A.121, 136A.1465