In this subtitle the following words have the meanings indicated. “Annual adjusted gross income” means the total of the combined adjusted gross income of the applicant and the applicant’s parents, or the applicant and the applicant’s spouse if the applicant is married, as reported on the most recent federal or State income tax return. “Award” means a scholarship award from the Maryland Community College Promise Scholarship. “Community college” includes Baltimore City Community College. “Local promise scholarship” means a community college scholarship program in effect on July 1, 2018, that provides a scholarship to any high school senior who is eligible for enrollment at the community college. “Tuition” means the basic instructional charge for courses offered at a community college. “Tuition” includes any fees for: Registration; Application; Administration; Laboratory work; and Other mandatory fees. “Tuition” does not include: Costs associated with the parts of a registered apprenticeship that take place at a location that is not a community college; or Any fees for room and board that are related to an on–campus residential facility for students.

There is a program of Maryland Community College Promise Scholarships in the State that are awarded under this subtitle. The purpose of the program is to provide tuition assistance for students to attend a community college in the State. The Office and each community college shall publicize the availability of Maryland Community College Promise Scholarships. The Office shall allocate Maryland Community College Promise Scholarship funding to each community college in the State based on the proportion of Pell–eligible students at each community college for each community college to award Maryland Community College Promise Scholarship awards to students. If a community college does not award all funding allocated to the community college under paragraph (1) of this subsection, the community college shall distribute the remaining funding to other community colleges to make Maryland Community College Promise Scholarship awards to students in the award year.

Subject to subparagraph (ii) of this paragraph, a student may apply annually to a Maryland community college located in the county or, in the case of a regional community college, in the region where the applicant lives to receive a Maryland Community College Promise Scholarship award. If the community college located in the county or region where the applicant lives does not offer the degree or certification program in which the applicant wants to enroll, the student may apply to the community college outside the county or, in the case of a regional community college, outside the region where the applicant lives to receive a Maryland Community College Promise Scholarship award. A community college annually shall select eligible applicants and offer a Maryland Community College Promise Scholarship award to each selected applicant to be used for tuition at the community college. An applicant is eligible for a Maryland Community College Promise Scholarship award if the applicant: Is eligible for in–State tuition; Enrolls at: The community college located in the county where the applicant lives; The regional community college located in the region where the applicant lives; or A community college in the State that has an on–campus residential facility for students; and Enrolls as a candidate for a vocational certificate, a certificate, or an associate’s degree or participates in a registered apprenticeship after graduating from a high school or successfully completing a GED in the State; or Enrolls as a candidate for a vocational certificate, a certificate, or an associate’s degree or participates in a registered apprenticeship after graduating from Delmar High School in Delmar, Delaware; and Is a resident of Delmar, Maryland; Except as provided in subsection (c)(3) and (4)(i) of this section, has earned a cumulative grade point average of: For an initial award, at least 2.3 on a 4.0 scale or its equivalent at the end of the first semester or the end of the year of the senior year in high school; or While enrolled at a community college in the State, at least 2.5 on a 4.0 scale or its equivalent; Has an annual adjusted gross income of not more than: $100,000 if the applicant is single or resides in a single–parent household; or $150,000 if the applicant is married or resides in a two–parent household; Enrolls in: At least 6 credits per semester at the community college; or A sequence of credit or noncredit courses that leads to licensure or certification; or Participates in a registered apprenticeship program; and Timely submits a Free Application for Federal Student Aid (FAFSA) or any other applications for any State or federal student financial aid, other than a student loan, for which the applicant may qualify; or Is ineligible to submit a FAFSA, qualifies for in–State tuition under § 15–106.8 of this article, and timely submits an application for any State student financial aid, other than a student loan, for which the applicant may qualify. An applicant who receives any other educational grants or scholarships that cover the applicant’s full cost of attendance at the community college is ineligible to receive an award under this subtitle. An applicant who has earned a bachelor’s degree or an associate’s degree is ineligible to receive an award under this subtitle. An applicant who graduated from high school 5 or more years before the date of application is not subject to the grade point average requirements established in subsection (b)(3)(i) of this section for an initial award. An applicant who enrolls in a noncredit vocational certificate program, enrolls in a sequence of noncredit courses leading to licensure or certification, or participates in a registered apprenticeship program: Is not subject to the grade point average requirements in subsection (b)(3) of this section; and Is not subject to the requirements in subsection (b)(6) of this section, unless the applicant is enrolling in a noncredit program for which a federal Pell Grant may be used. On request the community college shall assist an applicant to submit a FAFSA or any other applications for State or federal student financial aid.

A community college shall verify the eligibility of an applicant for a Maryland Community College Promise Scholarship award in accordance with this section. A community college shall: Verify that an applicant qualifies for a Maryland Community College Promise Scholarship award under the requirements of § 18–3603 of this subtitle; Evaluate the applicant’s income eligibility using federal standards for verification and in accordance with income eligibility criteria established by the Office; Maintain records used by the community college to determine the eligibility of applicants for not less than a period of 5 years after the end date of the award year associated with the student’s last award; and Provide the Commission with an audit, in accordance with rules adopted by the Commission, to show that awards verified and administered under this section have been made properly. A verification obtained by an applicant under paragraph (1)(i) of this subsection may be used at another community college. The Office shall review the audit provided to the Commission under subsection (b)(1)(iv) of this section not less than once every 3 years to verify that recipients met the eligibility requirements for an award. If the Office determines that a community college made an incorrect award to an ineligible student, the community college shall remit to the Commission the total amount of the award made in error. The Commission shall pay all amounts received under subparagraph (i) of this paragraph to the Need–based Student Financial Assistance Fund under § 18–107 of this title. The community college may not require a student to repay the community college for an incorrect award made from the Maryland Community College Promise Scholarship.

Beginning in the 2019–2020 academic year, the annual scholarship award shall be not more than $5,000 per recipient, or actual tuition, whichever is less. Except as provided in paragraph (3) of this subsection, any State or federal student financial aid, other than a student loan, received by the recipient shall be credited to the recipient’s tuition before the calculation of any award amount provided under this subtitle. Initial scholarship awards shall be provided to recipients based on greatest demonstrated financial need. Priority for scholarship awards in subsequent years shall be given to: Prior year recipients who remain eligible for the program; All eligible students who are enrolled in at least 12 credits per semester, or enrolled in a sequence of credit or noncredit courses that lead to licensure or certification; and If any funds remain to be allocated, students enrolled in at least 6 credits per semester. Notwithstanding § 18–3603(b) of this subtitle, an eligible recipient who does not receive an award under this subparagraph due to insufficient funding of the program remains eligible for the program the following academic year. Eligible applicants who do not receive an award under this subtitle shall be notified and placed on a waiting list. If a recipient is eligible for a local promise scholarship, an award provided under this subtitle shall be credited to the recipient’s tuition before the award of the local promise scholarship. Subject to paragraphs (2) and (3) of this subsection, each recipient may hold the award until the earlier of: 3 years after first enrolling: As a candidate for a noncredit vocational certificate; In a sequence of credit or noncredit courses leading to licensure or certification; In credit or noncredit courses that are required for participation in a registered apprenticeship program; As a candidate for a certificate; or As a full–time candidate for an associate’s degree at a community college in the State; 6 years after first enrolling as a part–time candidate for an associate’s degree at a community college in the State; or The date that the individual is awarded an associate’s degree. A community college may extend the duration of an award for an allowable interruption of study if the recipient provides to the community college satisfactory evidence of extenuating circumstances that prevent the recipient from continuous enrollment. Each recipient may hold the award in accordance with paragraph (1) of this subsection only if the recipient: Continues to be eligible for in–State tuition; Continues to enroll in and complete at least 6 credits per semester, or a sequence of credit or noncredit courses that leads to licensure or certification, or their equivalent, as determined by the community college; or Continues to participate in a registered apprenticeship program; Maintains a cumulative grade point average of at least 2.5 on a 4.0 scale or its equivalent for the requisite credit–bearing coursework for the remainder of the award or, failing to do so, provides to the community college satisfactory evidence of extenuating circumstances; Makes satisfactory progress toward a vocational certificate, a certificate, or an associate’s degree; Continues to meet the income limitations under § 18–3603(b)(4) of this subtitle; and Continues to timely submit an application under § 18–3603(b)(6) of this subtitle.

Through fiscal year 2025, the Governor shall include an annual appropriation of at least $15,000,000 in the State budget for the Commission to disburse Maryland Community College Promise Scholarships under this subtitle. For fiscal year 2026 and each fiscal year thereafter, the Governor shall include an annual appropriation of at least $13,500,000 in the State budget for the Commission to disburse Maryland Community College Promise Scholarships under this subtitle.

The Commission shall adopt regulations necessary to implement the provisions of this subtitle.

On or before December 1, 2020, and each December 1 thereafter, the Commission shall report to the General Assembly, in accordance with § 2–1257 of the State Government Article, on the implementation of the Maryland Community College Promise Scholarship program, including: The number of applicants who received a Maryland Community College Promise Scholarship in the academic year disaggregated by the community college at which the scholarship was used; The number of scholarship recipients enrolled in an associate’s degree program; The number of scholarship recipients enrolled in a vocational certificate program; The number of scholarship recipients enrolled in a certificate program; The amount of the award made to each scholarship recipient; The number of eligible applicants, if any, who were placed on a waiting list and the amount of demonstrated financial need, in the aggregate, of those applicants; The number of scholarship recipients who earned an associate’s degree within 2, 3, or 4 years after receiving an award; The number of scholarship recipients who earned a vocational certificate within 1, 2, or 3 years after receiving an award; The number of scholarship recipients who transferred to a 4–year institution in the State; The number of scholarship recipients who received a baccalaureate degree after transferring to a 4–year institution in the State; and The outreach activities made by the Commission for the scholarship.

The Commission shall: Contact each school counselor at each public high school in the State with information on the Maryland Community College Promise Scholarship, including the eligibility, availability, and deadlines for the scholarship; and Post on the Commission’s website, in a readily accessible location, information on the Maryland Community College Promise Scholarship, including the eligibility, availability, and deadlines for the scholarship. Each community college in the State shall post on the community college’s website, in a readily accessible location, information on the Maryland Community College Promise Scholarship, including the eligibility, availability, and deadlines for the scholarship.