AR SB648

Creates the Arkansas Challenge Plus Scholarship Program as a new subchapter under Arkansas Code Title 6, Chapter 85.

Eligibility requires students to apply for and maintain the Arkansas Academic Challenge Scholarship and demonstrate financial need through the Free Application for Federal Student Aid (FAFSA).

Awards scholarships in increments of $1,000 per student per academic year with a maximum of $4,000 per year, provided combined scholarships with Arkansas Academic Challenge Scholarships do not exceed $5,000 total per student per academic year.

Funds scholarships from available net proceeds from the Arkansas Lottery remaining after transfers to the Division of Higher Education and deposits to maintain the Scholarship Shortfall Reserve Trust Account at $20,000,000; scholarships are not awarded if less than $250,000 is available or if the division borrowed from the reserve account in the previous year.

Caps total scholarship awards at $25,000,000 for academic year 2021-2022 and delegates administration and rulemaking authority to the Division of Higher Education; effective July 1, 2022.