North Star Promise scholarship program eliminated, and unencumbered balances in the North Star Promise special revenue fund account appropriated to the state grant program.
Summary
HF2192 would eliminate Minnesota’s North Star Promise scholarship program and repeal the statute that created it. The bill also changes related higher-education reporting and outreach provisions so the Office of Higher Education would continue to inform students about both the Minnesota State Grant program and the now-referenced North Star Promise program during the transition, while requiring more detailed annual reporting on student aid programs generally.
The bill transfers any unencumbered balance remaining in the North Star Promise special revenue fund to the general fund and appropriates it to the state grant program for fiscal year 2026. It also requires the Office of Higher Education and the Office of Management and Budget to certify that the North Star Promise account is closed with a zero balance. The repeal is effective after final enactment and applies to scholarship awards beginning in fall 2025, meaning current or pending program operations would be wound down rather than continued.
Impact
The bill would remove Minnesota Statutes section 136A.1465, ending the North Star Promise scholarship program and its associated eligibility, award, and administration rules. It would redirect remaining program funds to the Minnesota State Grant program under section 136A.121, increasing resources available for that existing aid program. The bill also amends reporting requirements in section 136A.053 to include data on the affected aid programs and updates section 136A.84 to reflect student-aid information outreach, affecting the Office of Higher Education, public postsecondary institutions, Tribal colleges, and students who might have qualified for North Star Promise awards.
Sentiment
No committee transcripts or recorded votes were provided, so there is no direct evidence of debate or formal support/opposition in the available materials. Based on the bill text and caption, the measure appears fiscally and programmatically focused on ending a newer scholarship initiative and redirecting funds to an established state grant program. The overall tone of the bill is administrative and budgetary rather than expansive, with an emphasis on closing out the account and preserving reporting oversight.
Contention
The main point of contention is likely the elimination of the North Star Promise scholarship itself. Supporters of repeal would likely favor shifting unspent money to the state grant program and ending a separate scholarship structure, while opponents would likely argue that the program provides targeted tuition support for students from families under $80,000 and that repeal reduces aid options. Another likely issue is whether the state should continue a program that covers up to 100 percent of tuition and fees after gift aid, versus concentrating limited higher-education dollars in the broader state grant program.
North Star Promise scholarship program eliminated, and unencumbered balances in the North Star Promise special revenue fund account appropriated to the state grant program.
North Star Promise Program in-state residency and work requirement imposition provision, and North Star Promise scholarships limited to students enrolled in programs of study that lead to employment in high-demand industries and occupations provision
Income eligibility requirements for the North Star Promise scholarship program modified, and funding amounts for North Star Promise scholarships modified.
Certain North Star Promise scholarship program eligibility requirements modifications and North Star Promise scholarships funding amounts modifications
In-state residency and work requirement for recipients of North Star Promise scholarships imposed, and scholarships limited to students enrolled in programs of study that lead to employment in high-demand industries and occupations.