What's happening
This bill requires New York's financial aid determinations to be made within 60 days of application, or students are deemed eligible by default.
Why it matters
Reduces uncertainty and stress for students. By requiring financial aid decisions within 60 days, students can make better-informed choices about college attendance and planning, without prolonged waits for crucial funding information.
Creates accountability for the financial aid agency. The provision that students are automatically deemed eligible if decisions are delayed incentivizes the agency to process applications efficiently, reducing bureaucratic delays.
Limits potential administrative loopholes. While allowing a one-time 30-day extension (with written notice), the bill restricts indefinite delays, ensuring only legitimate, documented cases can delay aid decisions.
May increase access and equity. Students from under-resourced backgrounds, who are disproportionately affected by slow processing, benefit from a clear, enforceable timeline and the security of default eligibility if the system fails to respond.
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Who cares
Headline styles
Speed Up Student Aid Decisions
Plain English, a few words. Used as the page title.
Sponsors
3 Co-sponsors
History
- Referred to higher education
- Referred to higher education
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Speed Up Student Aid Decisions
In Assembly Committee · Higher Education · Sponsor J. Gary Pretlow
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
3451
2019-2020 Regular Sessions
IN SENATE
February 7, 2019
Introduced by Sen. STAVISKY -- read twice and ordered printed, and when printed to be committed to the Committee on Higher Education
AN ACT to amend the education law, in relation to general and academic performance awards, student loans and tuition assistance program awards
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 665 of the education law is amended by adding a new subdivision 8 to read as follows:
8. Timeliness of financial aid determinations. Notwithstanding any other provision of law, the corporation shall make its determination of financial aid eligibility within sixty days from the day of the receipt of the completed financial aid application from the student. In the event that such financial aid determination is not made by the corporation within sixty days after receipt of the completed financial aid application from the student, such student shall be deemed eligible to receive financial aid for the semester for which the completed financial aid application is made; provided, however, that the corporation may obtain an additional thirty day extension to make its eligibility determination upon written notification to the institution within sixty days that additional time is necessary to examine and review the completed financial aid application of such student.
§ 2. This act shall take effect on the first of July in the second year next succeeding the year in which it shall have become a law.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06551-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the education law, in relation to general and academic performance awards, student loans and tuition assistance program awards
Purpose
To require HESC to determine aid eligibility for students in a reason- able timeframe.
Summary of provisions
Adds a new subdivision 8 to S665 of the education law.
Justification
The Higher Education Services Corporation (HESC) was established by the Legislature to have central responsibility for the proper administration and oversight of financial aid. While HESC is empowered to determine the initial eligibility of a student for financial assistance, it does not always make timely eligibility determinations. This creates unnecessary delays and uncertainty for both students and the institutions they are scheduled to attend. Furthermore, HESC has in the past retroactively disallowed financial aid it has already certified, thereby obliging students or, more likely, institutions, to repay financial awards. This practice results in hardships for the student and/or the institutions.
This bill directs HESC to make an initial determination of financial eligibility within sixty days of the receipt of the financial aid appli- cation from the student. If HESC fails to make its determination within the allotted time, the student shall be deemed eligible to receive aid for the semester for which the application was made; provided, however, that HESC is allowed a 30 day extension to make its determination if it notifies the institution in writing that it needs additional time to examine the case of a particular student. Such notification must be made before the expiration of the original 60 day time period.
Legislative history
2018: A 3532 - passed Assembly. S 6872 - referred to Higher Education.
Fiscal implications
None.
Effective date
The first of July in the second year next succeeding the year in which it shall have become a law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.