DEPARTMENT OF TREASURY  
HIGHER EDUCATION ASSISTANCE AUTHORITY  
LEGISLATIVE MERIT AWARD PROGRAM  
(By authority conferred on the higher education assistance authority by section 7 of  
Act No. 228 of the Public Acts of 1976, as amended, being S390.1307 of the Michigan  
Compiled Laws)  
R 390.1501 Definitions.  
Rule 1. As used in these rules:  
(a) "Authority" means the Michigan higher education assistance authority.  
(b) "Award" means a legislative merit award.  
(c) "Postsecondary institution" means a postsecondary institution listed in the  
publication entitled "Basic Educational Opportunity Grant Directory of Eligible  
Postsecondary Institutions," or an institution otherwise approved by the state board of  
education.  
History: 1979 AC.  
R 390.1502 Eligibility.  
Rule 2. A person shall be eligible for a scholarship award if the person meets all of  
the qualifications stated in section 4 of Act No. 228 of the Public Acts of 1976, as  
amended, being S390.1304 of the Michigan Compiled Laws.  
History: 1979 AC; 1985 AACS.  
R 390.1503 Consideration of applicant for award.  
Rule 3. An applicant shall be considered for an award after taking the scholarship  
examination designated by the authority, on a date specified by the authority. After  
authorizing release of test scores to the authority, an applicant shall be considered  
with all other award applicants who graduate at the end of the applicant's senior  
academic year. Midyear awards shall not be granted.  
History: 1979 AC.  
R 390.1504 Effect of applicant's financial resources on eligibility for award.  
Rule 4. (1) Financial resources of an applicant, or of an applicant's family, shall  
not be used to determine award eligibility.  
(2) Other financial aid awards received by an applicant shall not effect the  
applicant's eligibility for a legislative merit award.  
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History: 1979 AC.  
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390.1505  
Certification of postsecondary institution enrollment and  
recipient's intent.  
Rule 5. A recipient shall receive the award when certification, in writing, is  
received by the authority that enrollment in a named postsecondary institution has  
been accomplished, and that the recipient's intent is to use the award exclusively for  
educational expenses at the specified institution.  
History: 1979 AC.  
R 390.1506 Payment of award.  
Rule 6. (1) Award moneys shall be forwarded to the specified postsecondary  
institution by the authority for disbursement to the award recipient.  
(2) Payment of an award shall be made, at the option of the recipient, in a single  
payment at the time of enrollment in a postsecondary institution or in prorated  
payments issued to the student or to the postsecondary institution for credit to the  
student's account during the student's course of study. A payment shall not be less than  
25% of the total award granted the recipient and shall not exceed the educational cost  
for the recipient's enrollment period as determined by the authority.  
History: 1979 AC; 1985 AACS.  
R 390.1507 Transfer to another postsecondary institution.  
Rule 7. An award recipient receiving award moneys in periodic payments of not  
less than 25% of the total award may elect to transfer to another postsecondary  
institution, and may use the unused portion of the award at the second institution.  
History: 1979 AC.  
R 390.1508 Refund of award moneys.  
Rule 8. (1) An award recipient leaving a postsecondary institution prior to full  
utilization of an award shall waive any refund rights. Any unused award moneys, not to  
exceed payment for the enrollment period, shall be refunded by the institution to the  
authority. However, a recipient may opt to use any refunded award money during  
subsequent enrollment periods.  
(2) An award recipient who enrolls in, but fails to attend, a postsecondary  
institution after funds are advanced, is legally bound by the acceptance contract to  
refund to the authority the full amount of the payment advanced for that enrollment  
period.  
History: 1979 AC.  
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R 390.1509 Renewal awards.  
Rule 9. An award recipient who fails to utilize a full award during the first  
academic year of enrollment in a postsecondary institution shall indicate intent to  
enroll the following year by making an award renewal application to the authority. Any  
renewal award payment for subsequent academic years shall be mailed by the  
authority to the eligible postsecondary institution pursuant to the award recipient's  
request.  
History: 1979 AC.  
R 390.1510 Acceptance contract between award recipient and authority.  
Rule 10. An acceptance contract shall be entered into by an eligible award  
recipient and the authority prior to release of an award. The contract shall specify  
conditions upon which the award is granted.  
History: 1979 AC.  
R 390.1511 Amount and number of awards.  
Rule 11. Awards of $1,000.00 shall be granted annually by the authority according  
to the order of descending test scores of applicants. The number of awards to be granted  
each year shall be determined by the amount of moneys appropriated by the legislature  
for the program. If inclusion of the lowest eligible score results in more awards than  
allowable for a particular year, a drawing shall be utilized as a tiebreaker.  
History: 1979 AC; 1985 AACS.  
R 390.1512 Furnishing roster of award recipients; certification of enrolled  
award recipients.  
Rule 12. The authority shall furnish a roster of eligible award recipients, who  
have indicated intent to enroll, to each postsecondary institution which has accepted  
award recipients for enrollment. The postsecondary institutions shall certify to the  
authority, within 30 days, the names of the eligible award recipients who have enrolled as  
students.  
History: 1979 AC.  
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