The bill amends Section 1 of P.L.2023, c.295 to establish a requirement for students in the 2023-2024 grade 11 class and the following two school years to complete and submit a financial aid application as a prerequisite for receiving a high school diploma from public high schools or charter schools. This requirement can be waived if a student or their parent/guardian submits a signed waiver form. The bill outlines the process for obtaining a waiver, including provisions for students under 18 years of age, and mandates that school districts and charter schools provide resources and notifications regarding this requirement.

Additionally, the bill ensures that no adverse actions will be taken against students who receive a waiver and clarifies that school counselors and employees are not obligated to assist with the financial aid application process. It also includes provisions for the protection of personal information contained in waivers, requiring informed consent for any use or disclosure. The Executive Director of the Higher Education Student Assistance Authority is tasked with providing resources to facilitate compliance and reporting on the number of financial aid applications and waivers submitted. The act is set to take effect immediately upon approval.