S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7177
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               May 12, 2023
                                ___________
 
 Introduced by M. of A. DINOWITZ -- read once and referred to the Commit-
   tee on Higher Education
 
 AN ACT to amend the education law, in relation to enacting "Tuition-Free
   NY"
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. This act shall be known and may be cited  as  "Tuition-Free
 NY".
   §  2. Paragraph h of subdivision 2 of section 355 of the education law
 is amended by adding a new subparagraph 1-a to read as follows:
   (1-A) THE TRUSTEES SHALL IMPLEMENT A PROGRAM TO PERMIT ANY STUDENT WHO
 HAS BEEN ADMITTED TO A STATE-OPERATED INSTITUTION OF THE STATE UNIVERSI-
 TY TO ATTEND WITHOUT THE PAYMENT OF TUITION AND  FEES  IF  SUCH  STUDENT
 FULFILLS  THE REQUIREMENTS OF SUCH PROGRAM PURSUANT TO THE PROVISIONS OF
 THIS SUBPARAGRAPH.  THE PROVISIONS OF THIS SUBPARAGRAPH SHALL ONLY APPLY
 TO COSTS OF ONE UNDERGRADUATE DEGREE AND ANY ADDITIONAL COSTS ASSOCIATED
 WITH MORE THAN  ONE  SIMULTANEOUS  UNDERGRADUATE  DEGREE  SHALL  NOT  BE
 COVERED BY THIS PROGRAM.
   (I)  THE  TRUSTEES SHALL PROVIDE AN APPLICATION PROCESS AND ADMINISTER
 THE PROGRAM ACCORDING TO THE FOLLOWING CRITERIA:
   (A) ANY STUDENT ELIGIBLE FOR RESIDENT TUITION RATES  IS  ELIGIBLE  FOR
 THIS PROGRAM.
   (B)  A STUDENT SHALL BE REQUIRED TO SIGN A CONTRACT AGREEING TO RESIDE
 IN NEW YORK STATE FOR A PERIOD OF FIVE YEARS SUBSEQUENT TO COMPLETION OF
 HIS OR HER ACADEMIC PROGRAM.
   (C) STUDENTS SHALL BE REQUIRED TO COMPLETE THEIR DEGREE PROGRAM WITHIN
 A MINIMUM PERIOD OF TIME TO BE SET BY THE TRUSTEES  WHICH  SHALL  BE  NO
 LESS THAN THREE YEARS AND NO MORE THAN FIVE YEARS.
   (D) A STUDENT WHO BENEFITED FROM THE PROGRAM OUTLINED IN THIS SUBPARA-
 GRAPH SHALL BE ALLOWED TO ATTEND AN OUT-OF-STATE GRADUATE SCHOOL WITHOUT
 ANY PENALTY IF SUCH STUDENT PURSUES A GRADUATE DEGREE. ONCE SUCH STUDENT
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04630-01-3
              

 A. 7177                             2
 
 CONCLUDES  HIS OR HER GRADUATE SCHOOL STUDIES, SUCH STUDENT SHALL RETURN
 TO NEW YORK WITHIN ONE YEAR FOR RESIDENCY, PER  THE  PROGRAM'S  REQUIRE-
 MENTS,  OR  ELSE THE UNDERGRADUATE BENEFIT WILL TURN INTO A STUDENT LOAN
 PURSUANT TO THE PROVISIONS OF CLAUSE (II) OF THIS SUBPARAGRAPH.
   (E) A STUDENT WHO BENEFITED FROM THE PROGRAM OUTLINED IN THIS SUBPARA-
 GRAPH  WHO  IS  ON  ACTIVE DUTY IN THE ARMED FORCES OF THE UNITED STATES
 SHALL NOT BE PENALIZED IF SUCH STUDENT MAINTAINS HIS OR HER LEGAL  RESI-
 DENCE  IN  THE STATE OF NEW YORK, DURING SUCH SERVICE. "LEGAL RESIDENCE"
 AS USED IN THIS SUBCLAUSE SHALL MEAN THE PLACE WHERE  A  MEMBER  OF  THE
 MILITARY  INTENDS  TO RETURN AND LIVE AFTER DISCHARGE OR RETIREMENT, AND
 WHICH THEY CONSIDER THEIR  PERMANENT  HOME.  LEGAL  RESIDENCY  SHALL  BE
 DETERMINED  BY WHAT LOCAL AND STATE TAX LAWS A MEMBER OF THE MILITARY IS
 SUBJECT TO, AND IN WHICH STATE THEY MAY VOTE.
   (II) IF A STUDENT OR FORMER  STUDENT  FAILS  TO  FULFILL  ANY  OF  THE
 REQUIREMENTS  SET FORTH IN CLAUSE (I) OF THIS SUBPARAGRAPH, THE TRUSTEES
 SHALL CONVERT TO A STUDENT LOAN THE FULL AMOUNT  OF  THE  TUITION  WHICH
 WOULD  HAVE  BEEN  PAID  BY  SUCH STUDENT, AS DETERMINED BY THE NEW YORK
 STATE HIGHER EDUCATION SERVICES CORPORATION, PLUS INTEREST, ACCORDING TO
 A SCHEDULE TO BE DETERMINED BY SUCH CORPORATION.    SUCH  REPAYMENT  MAY
 ALSO  BE REQUIRED IF A RECIPIENT FAILS TO RESPOND TO REQUESTS FOR INFOR-
 MATION NECESSARY TO DETERMINE  CONTINUED  ELIGIBILITY  OR  FOR  ADMINIS-
 TRATION  OF  THE PROGRAM.  THE TERMS AND CONDITIONS OF THIS CLAUSE SHALL
 BE DEFERRED FOR STUDENTS WHO ENROLL ON AT LEAST A HALF-TIME BASIS IN  AN
 APPROVED  UNDERGRADUATE,  GRADUATE  OR  HIGHER  DEGREE  PROGRAM OR OTHER
 PROFESSIONAL LICENSURE DEGREE PROGRAM UNTIL THEY ARE CONFERRED A DEGREE,
 AND SHALL ALSO BE DEFERRED FOR ANY INTERRUPTION IN  UNDERGRADUATE  STUDY
 AS  ESTABLISHED  BY  THE  RULES  AND REGULATIONS OF THE CORPORATION. THE
 TERMS AND CONDITIONS OF THIS CLAUSE MAY ALSO BE  DEFERRED  FOR  A  GRACE
 PERIOD,  TO  BE ESTABLISHED BY THE CORPORATION, FOLLOWING THE COMPLETION
 OF AN APPROVED UNDERGRADUATE PROGRAM OR  A  GRADUATE  OR  HIGHER  DEGREE
 PROGRAM  OR OTHER PROFESSIONAL LICENSURE DEGREE PROGRAM. NOTWITHSTANDING
 ANY PROVISIONS OF THIS  CLAUSE  TO  THE  CONTRARY,  THE  CORPORATION  IS
 AUTHORIZED TO PROMULGATE RULES AND REGULATIONS TO PROVIDE FOR THE WAIVER
 OR  SUSPENSION  OF  ANY FINANCIAL OBLIGATION WHICH WOULD INVOLVE EXTREME
 HARDSHIP.
   (III) ANY STUDENT WHO ELECTS TO PARTICIPATE IN THE PROGRAM UNDER  THIS
 SUBPARAGRAPH  SHALL  BE REQUIRED TO APPLY FOR TUITION ASSISTANCE PROGRAM
 FUNDING. FUNDS AWARDED  ON  THE  TUITION  ASSISTANCE  PROGRAM  SHALL  BE
 APPLIED TOWARDS THE COST OF TUITION PRIOR TO AN AWARD UNDER THIS SUBPAR-
 AGRAPH.
   (IV) STUDENTS SHALL BE RESPONSIBLE FOR ALL OTHER COSTS INCLUDING HOUS-
 ING, FEES AND OTHER NON-TUITION RELATED CHARGES.
   (V)  (A)  THIS PROGRAM SHALL NOT APPLY IN ACADEMIC YEARS COMMENCING ON
 OR BEFORE THE EFFECTIVE DATE OF THIS SUBPARAGRAPH. (B) FOR THE FIRST TWO
 YEARS AFTER THE EFFECTIVE DATE OF THIS SUBPARAGRAPH, THIS PROGRAM  SHALL
 ONLY APPLY TO STUDENTS ATTENDING COMMUNITY COLLEGES AS DEFINED BY SUBDI-
 VISION  TWO  OF  SECTION SIXTY-THREE HUNDRED ONE OF THIS CHAPTER. (C) IN
 ALL OTHER YEARS, THIS PROGRAM SHALL  APPLY  TO  ALL  STUDENTS  ATTENDING
 SUNY, CUNY, AND COMMUNITY COLLEGES OF THE STATE.
   §  3. Subdivision 7 of section 6206 of the education law is amended by
 adding a new paragraph (g) to read as follows:
   (G) THE TRUSTEES SHALL IMPLEMENT A PROGRAM TO PERMIT ANY  STUDENT  WHO
 HAS  BEEN  ADMITTED TO AN INSTITUTION OPERATED BY THE CITY UNIVERSITY TO
 ATTEND WITHOUT THE PAYMENT OF TUITION AND FEES IF SUCH STUDENT  FULFILLS
 THE  REQUIREMENTS  OF  SUCH  PROGRAM  PURSUANT TO THE PROVISIONS OF THIS
 PARAGRAPH.
 A. 7177                             3
 
   (I) THE TRUSTEES SHALL PROVIDE AN APPLICATION PROCESS  AND  ADMINISTER
 THE PROGRAM ACCORDING TO THE FOLLOWING CRITERIA:
   (A)  ANY  STUDENT  ELIGIBLE FOR RESIDENT TUITION RATES IS ELIGIBLE FOR
 THIS PROGRAM.
   (B) A STUDENT SHALL BE REQUIRED TO SIGN A CONTRACT AGREEING TO  RESIDE
 IN NEW YORK STATE FOR A PERIOD OF FIVE YEARS SUBSEQUENT TO COMPLETION OF
 HIS OR HER ACADEMIC PROGRAM.
   (C) STUDENTS SHALL BE REQUIRED TO COMPLETE THEIR DEGREE PROGRAM WITHIN
 A  MINIMUM  PERIOD  OF  TIME TO BE SET BY THE TRUSTEES WHICH SHALL BE NO
 LESS THAN THREE YEARS AND NO MORE THAN FIVE YEARS.
   (D) A STUDENT WHO BENEFITED FROM THE PROGRAM OUTLINED  IN  THIS  PARA-
 GRAPH SHALL BE ALLOWED TO ATTEND AN OUT-OF-STATE GRADUATE SCHOOL WITHOUT
 ANY PENALTY IF SUCH STUDENT PURSUES A GRADUATE DEGREE. ONCE SUCH STUDENT
 CONCLUDES  HIS OR HER GRADUATE SCHOOL STUDIES, SUCH STUDENT SHALL RETURN
 TO NEW YORK WITHIN ONE YEAR FOR RESIDENCY  PER  THE  PROGRAM'S  REQUIRE-
 MENTS,  OR  ELSE THE UNDERGRADUATE BENEFIT WILL TURN INTO A STUDENT LOAN
 PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH (II) OF THIS PARAGRAPH.
   (E) A STUDENT WHO BENEFITED FROM THE PROGRAM OUTLINED  IN  THIS  PARA-
 GRAPH  WHO  IS  ON  ACTIVE DUTY IN THE ARMED FORCES OF THE UNITED STATES
 SHALL NOT BE PENALIZED IF SUCH STUDENT MAINTAINS HIS OR HER LEGAL  RESI-
 DENCE  IN  THE STATE OF NEW YORK, DURING SUCH SERVICE. "LEGAL RESIDENCE"
 AS USED IN THIS CLAUSE SHALL MEAN THE PLACE WHERE A MEMBER OF THE  MILI-
 TARY INTENDS TO RETURN AND LIVE AFTER DISCHARGE OR RETIREMENT, AND WHICH
 THEY  CONSIDER THEIR PERMANENT HOME. LEGAL RESIDENCY SHALL BE DETERMINED
 BY WHAT LOCAL AND STATE TAX LAWS A MEMBER OF THE MILITARY IS SUBJECT TO,
 AND IN WHICH STATE THEY MAY VOTE.
   (II) IF A STUDENT OR FORMER  STUDENT  FAILS  TO  FULFILL  ANY  OF  THE
 REQUIREMENTS  SET FORTH IN SUBPARAGRAPH (I) OF THIS PARAGRAPH, THE TRUS-
 TEES SHALL CONVERT TO A STUDENT LOAN THE  FULL  AMOUNT  OF  THE  TUITION
 WHICH  WOULD  HAVE  BEEN  PAID BY SUCH STUDENT, AS DETERMINED BY THE NEW
 YORK STATE HIGHER EDUCATION SERVICES CORPORATION, PLUS INTEREST, ACCORD-
 ING TO A SCHEDULE TO BE DETERMINED BY SUCH CORPORATION.  SUCH  REPAYMENT
 MAY  ALSO  BE  REQUIRED  IF A RECIPIENT FAILS TO RESPOND TO REQUESTS FOR
 INFORMATION NECESSARY TO DETERMINE CONTINUED ELIGIBILITY OR FOR ADMINIS-
 TRATION OF THE PROGRAM.  THE TERMS AND CONDITIONS OF THIS  CLAUSE  SHALL
 BE  DEFERRED FOR STUDENTS WHO ENROLL ON AT LEAST A HALF-TIME BASIS IN AN
 APPROVED UNDERGRADUATE, GRADUATE  OR  HIGHER  DEGREE  PROGRAM  OR  OTHER
 PROFESSIONAL LICENSURE DEGREE PROGRAM UNTIL THEY ARE CONFERRED A DEGREE,
 AND  SHALL  ALSO BE DEFERRED FOR ANY INTERRUPTION IN UNDERGRADUATE STUDY
 AS ESTABLISHED BY THE RULES AND  REGULATIONS  OF  THE  CORPORATION.  THE
 TERMS  AND  CONDITIONS  OF  THIS CLAUSE MAY ALSO BE DEFERRED FOR A GRACE
 PERIOD, TO BE ESTABLISHED BY THE CORPORATION, FOLLOWING  THE  COMPLETION
 OF  AN  APPROVED  UNDERGRADUATE  PROGRAM  OR A GRADUATE OR HIGHER DEGREE
 PROGRAM OR OTHER PROFESSIONAL LICENSURE DEGREE PROGRAM.  NOTWITHSTANDING
 ANY  PROVISIONS  OF  THIS  CLAUSE  TO  THE  CONTRARY, THE CORPORATION IS
 AUTHORIZED TO PROMULGATE RULES AND REGULATIONS TO PROVIDE FOR THE WAIVER
 OR SUSPENSION OF ANY FINANCIAL OBLIGATION WHICH  WOULD  INVOLVE  EXTREME
 HARDSHIP.
   (III)  ANY STUDENT WHO ELECTS TO PARTICIPATE IN THE PROGRAM UNDER THIS
 PARAGRAPH SHALL BE REQUIRED TO  APPLY  FOR  TUITION  ASSISTANCE  PROGRAM
 FUNDING.  FUNDS  AWARDED  ON  THE  TUITION  ASSISTANCE  PROGRAM SHALL BE
 APPLIED TOWARDS THE COST OF TUITION PRIOR TO AN AWARD UNDER THIS SUBPAR-
 AGRAPH.
   (IV) STUDENTS SHALL BE RESPONSIBLE FOR ALL OTHER COSTS INCLUDING HOUS-
 ING, FEES AND OTHER NON-TUITION RELATED CHARGES.
 A. 7177                             4

   (V) THE PROVISIONS OF THIS SUBDIVISION SHALL NOT BE SUBJECT  TO  TAXA-
 TION.
   (VI)  (A) THIS PROGRAM SHALL NOT APPLY IN ACADEMIC YEARS COMMENCING ON
 OR BEFORE THE EFFECTIVE DATE OF THIS PARAGRAPH. (B) FOR  THE  FIRST  TWO
 YEARS  AFTER  THE  EFFECTIVE  DATE OF THIS PARAGRAPH, THIS PROGRAM SHALL
 ONLY APPLY TO STUDENTS ATTENDING COMMUNITY COLLEGES AS DEFINED BY SUBDI-
 VISION TWO OF SECTION SIXTY-THREE HUNDRED ONE OF THIS TITLE. (C) IN  ALL
 OTHER  YEARS,  THIS  PROGRAM SHALL APPLY TO ALL STUDENTS ATTENDING SUNY,
 CUNY AND COMMUNITY COLLEGES OF THE STATE.
   § 4. Subdivision 1 of section 6304 of the education law is amended  by
 adding a new paragraph e to read as follows:
   E.  THE  TRUSTEES,  SPONSORS  OR  OTHER  GOVERNING BODY OF A COMMUNITY
 COLLEGE SHALL IMPLEMENT A PROGRAM TO PERMIT ANY  STUDENT  WHO  HAS  BEEN
 ADMITTED  TO  SUCH  COMMUNITY  COLLEGE  TO ATTEND WITHOUT THE PAYMENT OF
 TUITION AND FEES IF SUCH  STUDENT  FULFILLS  THE  REQUIREMENTS  OF  SUCH
 PROGRAM PURSUANT TO THE PROVISIONS OF THIS PARAGRAPH.
   (I)  THE  TRUSTEES SHALL PROVIDE AN APPLICATION PROCESS AND ADMINISTER
 THE PROGRAM ACCORDING TO THE FOLLOWING CRITERIA:
   (A) ANY STUDENT ELIGIBLE FOR RESIDENT TUITION RATES  IS  ELIGIBLE  FOR
 THIS PROGRAM.
   (B)  A STUDENT SHALL BE REQUIRED TO SIGN A CONTRACT AGREEING TO RESIDE
 IN NEW YORK STATE FOR A PERIOD OF FIVE YEARS SUBSEQUENT TO COMPLETION OF
 HIS OR HER ACADEMIC PROGRAM.
   (C) STUDENTS SHALL BE REQUIRED TO COMPLETE THEIR DEGREE PROGRAM WITHIN
 A MINIMUM PERIOD OF TIME TO BE SET BY THE TRUSTEES  WHICH  SHALL  BE  NO
 LESS THAN ONE YEAR AND NO MORE THAN THREE YEARS.
   (D) A STUDENT WHO BENEFITED FROM THE PROGRAM OUTLINED IN THIS SUBPARA-
 GRAPH SHALL BE ALLOWED TO ATTEND AN OUT-OF-STATE GRADUATE SCHOOL WITHOUT
 ANY PENALTY IF SUCH STUDENT PURSUES A GRADUATE DEGREE. ONCE SUCH STUDENT
 CONCLUDES  HIS OR HER GRADUATE SCHOOL STUDIES, SUCH STUDENT SHALL RETURN
 TO NEW YORK WITHIN ONE YEAR FOR RESIDENCY  PER  THE  PROGRAM'S  REQUIRE-
 MENTS,  OR  ELSE THE UNDERGRADUATE BENEFIT WILL TURN INTO A STUDENT LOAN
 PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH (II) OF THIS PARAGRAPH.
   (E) A STUDENT WHO BENEFITED FROM THE PROGRAM OUTLINED  IN  THIS  PARA-
 GRAPH  WHO  IS  ON  ACTIVE DUTY IN THE ARMED FORCES OF THE UNITED STATES
 SHALL NOT BE PENALIZED IF SUCH STUDENT MAINTAINS HIS OR HER LEGAL  RESI-
 DENCE  IN  THE STATE OF NEW YORK, DURING SUCH SERVICE. "LEGAL RESIDENCE"
 AS USED IN THIS CLAUSE SHALL MEAN THE PLACE WHERE A MEMBER OF THE  MILI-
 TARY INTENDS TO RETURN AND LIVE AFTER DISCHARGE OR RETIREMENT, AND WHICH
 THEY  CONSIDER THEIR PERMANENT HOME. LEGAL RESIDENCY SHALL BE DETERMINED
 BY WHAT LOCAL AND STATE TAX LAWS A MEMBER OF THE MILITARY IS SUBJECT TO,
 AND IN WHICH STATE THEY MAY VOTE.
   (II) IF A STUDENT OR FORMER  STUDENT  FAILS  TO  FULFILL  ANY  OF  THE
 REQUIREMENTS  SET FORTH IN SUBPARAGRAPH (I) OF THIS PARAGRAPH, THE TRUS-
 TEES SHALL CONVERT TO A STUDENT LOAN THE  FULL  AMOUNT  OF  THE  TUITION
 WHICH  WOULD  HAVE  BEEN  PAID BY SUCH STUDENT, AS DETERMINED BY THE NEW
 YORK STATE HIGHER EDUCATION SERVICES CORPORATION, PLUS INTEREST, ACCORD-
 ING TO A SCHEDULE TO BE DETERMINED BY SUCH CORPORATION.  SUCH  REPAYMENT
 MAY  ALSO  BE  REQUIRED  IF A RECIPIENT FAILS TO RESPOND TO REQUESTS FOR
 INFORMATION NECESSARY TO DETERMINE CONTINUED ELIGIBILITY OR FOR ADMINIS-
 TRATION OF THE PROGRAM.  THE TERMS AND CONDITIONS OF  THIS  SUBPARAGRAPH
 SHALL  BE DEFERRED FOR STUDENTS WHO ENROLL ON AT LEAST A HALF-TIME BASIS
 IN AN APPROVED UNDERGRADUATE, GRADUATE OR HIGHER DEGREE PROGRAM OR OTHER
 PROFESSIONAL LICENSURE DEGREE PROGRAM UNTIL THEY ARE CONFERRED A DEGREE,
 AND SHALL ALSO BE DEFERRED FOR ANY INTERRUPTION IN  UNDERGRADUATE  STUDY
 AS  ESTABLISHED  BY  THE  RULES  AND REGULATIONS OF THE CORPORATION. THE
 A. 7177                             5
 
 TERMS AND CONDITIONS OF THIS SUBPARAGRAPH MAY ALSO  BE  DEFERRED  FOR  A
 GRACE  PERIOD,  TO  BE  ESTABLISHED  BY  THE  CORPORATION, FOLLOWING THE
 COMPLETION OF AN APPROVED UNDERGRADUATE PROGRAM OR A GRADUATE OR  HIGHER
 DEGREE  PROGRAM OR OTHER PROFESSIONAL LICENSURE DEGREE PROGRAM. NOTWITH-
 STANDING ANY PROVISIONS OF THIS SUBPARAGRAPH TO THE CONTRARY, THE CORPO-
 RATION IS AUTHORIZED TO PROMULGATE RULES AND REGULATIONS TO PROVIDE  FOR
 THE WAIVER OR SUSPENSION OF ANY FINANCIAL OBLIGATION WHICH WOULD INVOLVE
 EXTREME HARDSHIP.
   (III)  ANY STUDENT WHO ELECTS TO PARTICIPATE IN THE PROGRAM UNDER THIS
 PARAGRAPH SHALL BE REQUIRED TO  APPLY  FOR  TUITION  ASSISTANCE  PROGRAM
 FUNDING.  FUNDS  AWARDED  ON  THE  TUITION  ASSISTANCE  PROGRAM SHALL BE
 APPLIED TOWARDS THE COST OF TUITION PRIOR TO AN AWARD UNDER THIS SUBPAR-
 AGRAPH.
   (IV) STUDENTS SHALL BE RESPONSIBLE FOR ALL OTHER COSTS INCLUDING HOUS-
 ING, FEES AND OTHER NON-TUITION RELATED CHARGES.
   (V) (A) THIS PROGRAM SHALL NOT APPLY IN ACADEMIC YEARS  COMMENCING  ON
 OR  BEFORE  THE  EFFECTIVE DATE OF THIS PARAGRAPH. (B) FOR THE FIRST TWO
 YEARS AFTER THE EFFECTIVE DATE OF THIS  PARAGRAPH,  THIS  PROGRAM  SHALL
 ONLY APPLY TO STUDENTS ATTENDING COMMUNITY COLLEGES AS DEFINED BY SUBDI-
 VISION  TWO  OF  SECTION SIXTY-THREE HUNDRED ONE OF THIS ARTICLE. (C) IN
 ALL OTHER YEARS, THIS PROGRAM SHALL  APPLY  TO  ALL  STUDENTS  ATTENDING
 SUNY, CUNY AND COMMUNITY COLLEGES OF THE STATE.
   §  5. Subdivision 1 of section 6304 of the education law is amended by
 adding a new paragraph a-1 to read as follows:
   A-1. STATE FINANCIAL AID SHALL BE INCREASED ABOVE THE ONE-THIRD AMOUNT
 OF OPERATING COSTS SET FORTH IN PARAGRAPH A OF THIS  SUBDIVISION  BY  AN
 AMOUNT  WHICH  IS  EQUAL  TO THE COST OF TUITION AWARDED TO STUDENTS WHO
 APPLY AND QUALIFY FOR THE PROGRAM SET  FORTH  IN  PARAGRAPH  E  OF  THIS
 SUBDIVISION.
   §  6. This act shall take effect on the first of April next succeeding
 the date on which it shall have become a law.    Effective  immediately,
 the  addition,  amendment and/or repeal of any rule or regulation neces-
 sary for the implementation of  this  act  on  its  effective  date  are
 authorized to be made and completed on or before such effective date.