Minnesota higher-education package would tighten grant rules, consolidate reports and boost licensing fees to address shortfalls

The governor’s higher-education policy and budget packages presented to the Minnesota Senate Higher Education Committee would change how the state awards and manages student aid, consolidate several program reports, increase licensing and registration fees for institutions, and tighten eligibility for the North Star Promise tuition program.

Nikki Oliver, director of government relations and community engagement for the Office of Higher Education, summarized the policy bill’s changes, saying, “Section 3 is consolidation of competitive grant and student loan repayment reporting.” Oliver also told the committee the bill would add a grievance-resolution process for campus misconduct protections and extend statutory protections for pregnant and parenting students to private institutions.

Commissioner Dennis Olsen described the governor’s proposals for the Minnesota state grant, saying the package pairs statutory changes with a recommended investment of “$7,500,000 a year, or $15,000,000 over the biennium.” Olsen said the changes are intended to “bring projected spending back within available appropriated resources and eliminate the need to ration state grant awards.”

Office of Higher Education staff described specific parameter changes the package proposes. Olsen and agency staff said the proposal would allow the agency to set a minimum parental or student contribution at zero in the state-grant award calculation when required by federal guidance, eliminate negative…