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Committee approves AB397 to standardize tuition and fee waivers; most waivers converted to last‑dollar model

3802113 · June 1, 2025
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Summary

The Senate Committee on Education approved AB397, standardizing eligibility and administration for several tuition and fee waivers (including homeless‑youth and Native American waivers), converting most waivers to a last‑dollar model and adding FAFSA and satisfactory‑academic‑progress requirements.

CARSON CITY — The Senate Committee on Education approved amended Assembly Bill 397, a bill to standardize qualifications and administration of several tuition and fee waivers across Nevada System of Higher Education institutions, including provisions for homeless youth and Native American students.

Assemblyman Howard Watts, sponsor of AB397, told the committee the bill “standardizes some of the qualifications, some of the coverage, for waivers across different programs” and includes a drafted amendment to align the waivers with a last‑dollar approach. He said the amendment also clarifies which Native American students are eligible and adds a hold‑harmless clause for current recipients.

The bill’s key changes: AB397 updates waiver language to include “other mandatory fees” (beyond registration and lab fees), codifies that most waivers operate as last‑dollar programs (applied after federal grants, state scholarships and other aid), explicitly excludes federal loans from the last‑dollar calculation, requires completion of the FAFSA (or an NSHE alternative) and replaces fixed GPA cutoffs with the federal satisfactory academic progress standard so institutions can measure academic progress comprehensively.

Native American waiver: Sponsors said the Native American fee waiver remains structured differently. The amendment clarifies eligibility: a person must be a member or descendant of a federally recognized Nevada‑based tribe (regardless of current residency), or meet alternate criteria such as being a Nevada high‑school graduate, an enrolled high‑school student (dual credit) or a former attendee of Stewart Indian School. The amendment also includes a six‑year hold‑harmless protection for current recipients.

Fiscal and implementation notes: NSHE Chancellor Patricia Charlton testified the changes remove the original fiscal note; the system believes, she said, that moving some waivers to last‑dollar treatment and standardizing administration will reduce net fiscal impact and allow phased implementation. Charlton said, “our goal really is to minimize, if not eliminate, any opportunity that a student would be required to take a loan to complete their education.” Sponsors said the Native American changes take effect July 1 (as stated in the amendment) and most other changes are phased in July 1, 2026 to allow institutions to update forms and procedures.

Public testimony: Dozens of witnesses and institutional representatives voiced support, including Patricia Charlton (NSHE), Linares (UNOV E representative) and university officials from UNR and College of Southern Nevada; tribal representatives (Pyramid Lake Paiute and Duck Valley) and the Nevada Faculty Alliance also supported the legislation.

Questions and clarifications: Committee members pressed sponsors on the last‑dollar vs. first‑dollar tradeoffs, supports for students navigating multiple aid sources, whether waivers cover retaken courses and part‑time/working adult students. NSHE said satisfactory academic progress measurements already account for part‑time attendance and that institutions provide student navigation supports; staff said they would follow up with technical details on retake eligibility.

Vote and disposition: During the work session the committee voted to adopt amendments and report AB397 as amended (motion: amend and do pass). The motion carried on a voice vote; no opposition was recorded in the work session and the bill was reported out of committee for further action.

— Ending: AB397 standardizes multiple waiver programs and is expected to move forward with phased implementation and additional technical work between NSHE and the Legislature.