S T A T E O F N E W Y O R K
________________________________________________________________________
8951
2025-2026 Regular Sessions
I N A S S E M B L Y
July 16, 2025
___________
Introduced by M. of A. JENSEN -- read once and referred to the Committee
on Higher Education
AN ACT to amend the education law, in relation to exempting the income
of dependent applicants for certain awards
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 1 of section 669-h of the education law, as
amended by section 1 of part T of chapter 56 of the laws of 2018, is
amended to read as follows:
1. Eligibility. An excelsior scholarship award shall be made to an
applicant who: (a) is matriculated in an approved program leading to an
undergraduate degree at a New York state public institution of higher
education; (b) if enrolled in (i) a public institution of higher educa-
tion prior to application, has completed at least thirty combined cred-
its per year following the student's start date, or its equivalent,
applicable to [his or her] THEIR program or programs of study or (ii) an
institution of higher education prior to application, has completed at
least thirty combined credits per year following the student's start
date, or its equivalent, applicable to [his or her] THEIR program or
programs of study and which were accepted upon transfer to a public
institution of higher education; (c) enrolls in at least twelve credits
per semester and completes at least thirty combined credits per year
following the student's start date, or its equivalent, applicable to
[his or her] THEIR program or programs of study except in limited
circumstances as prescribed by the corporation in regulation. Notwith-
standing, in the student's last semester, the student may take at least
one course needed to meet [his or her] THEIR graduation requirements and
enroll in and complete at least twelve credit hours or its equivalent.
For students who are disabled as defined by the Americans With Disabili-
ties Act of 1990, 42 USC 12101, the corporation shall prescribe rules
and regulations that allow applicants who are disabled to be eligible
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00404-01-5
A. 8951 2
for an award pursuant to this section based on modified criteria; (d)
has an adjusted gross income for the qualifying year, as such terms are
defined in this subdivision, equal to or less than: (i) one hundred
thousand dollars for recipients receiving an award in the two thousand
seventeen--two thousand eighteen academic year; (ii) one hundred ten
thousand dollars for recipients receiving an award in the two thousand
eighteen--two thousand nineteen academic year; and (iii) one hundred
twenty-five thousand dollars for recipients receiving an award in the
two thousand nineteen--two thousand twenty academic year and thereafter;
and (e) complies with the applicable provisions of this article and all
requirements promulgated by the corporation for the administration of
the program. Adjusted gross income shall be the total of the combined
adjusted gross income of the applicant and the applicant's parents or
the applicant and the applicant's spouse, if married. THE INCOME OF AN
APPLICANT SHALL NOT BE INCLUDED IN THE TOTAL ADJUSTED GROSS INCOME IF
THE APPLICANT IS CONSIDERED A DEPENDENT. Qualifying year shall be the
adjusted gross income as reported on the federal income tax return, or
as otherwise obtained by the corporation, for the calendar year coincid-
ing with the tax year established by the U.S. department of education to
qualify applicants for federal student financial aid programs authorized
by Title IV of the Higher Education Act of nineteen hundred sixty-five,
as amended, for the school year in which application for assistance is
made. Provided, however, if an applicant demonstrates to the corporation
that there has been a change in such applicant's adjusted gross income
in the year(s) subsequent to the qualifying year which would qualify
such applicant for an award, the corporation shall review and make a
determination as to whether such applicant meets the requirement set
forth in paragraph (d) of this subdivision based on such year. Provided,
further that such change was caused by the death, permanent and total
physical or mental disability, divorce, or separation by judicial decree
or pursuant to an agreement of separation which is filed with a court of
competent jurisdiction of any person whose income was required to be
used to compute the applicant's total adjusted gross income.
§ 2. Subdivision 1 of section 663 of the education law, as amended by
section 1 of part R of chapter 54 of the laws of 2016, is amended to
read as follows:
1. Income defined. Except as otherwise provided in this section,
"income" shall be the total of the combined net taxable income and
income from pensions of New York state, local governments, the federal
government and any private employer of the applicant, the applicant's
spouse, and the applicant's parents, including any pension and annuity
income excluded for purposes of taxation pursuant to paragraph three-a
of subsection (c) of section six hundred twelve of the tax law, as
reported in New York state income tax returns for the calendar year
coinciding with the tax year established by the U.S. department of
education to qualify applicants for federal student financial aid
programs authorized by title IV of the Higher Education Act of 1965, as
amended, for the school year in which application for assistance is
made, except that any amount received by an applicant as a scholarship
at an educational institution or as a fellowship grant, including the
value of contributed services and accommodations, shall not be included
within the definition of "income" for the purposes of this article. The
term "parent" shall include birth parents, stepparents, adoptive parents
and the spouse of an adoptive parent. Income, if not a whole dollar
amount, shall be assumed to be equal to the next lowest whole dollar
amount. Any change in the status of an applicant with regard to the
A. 8951 3
persons responsible for the applicant's support occurring after the
beginning of any semester shall not be considered to change the appli-
cant's award for that semester. THE INCOME OF AN APPLICANT SHALL NOT BE
INCLUDED IN THE TOTAL INCOME IF THE APPLICANT IS CONSIDERED A DEPENDENT.
§ 3. Subparagraph (iii) of paragraph a, subparagraphs (ii) and (iii)
of paragraph b and the opening paragraph of paragraph c of subdivision 3
of section 667 of the education law, subparagraph (iii) of paragraph a
as amended by section 1 of part X of chapter 56 of the laws of 2024,
subparagraph (ii) of paragraph b as amended by section 2 of part DD of
chapter 56 of the laws of 2021, subparagraph (iii) of paragraph b as
amended by chapter 309 of the laws of 1996, and the opening paragraph of
paragraph c as added by chapter 83 of the laws of 1995 and relettered by
section 2 of part J of chapter 58 of the laws of 2011, are amended and
paragraph b is amended by adding a new subparagraph (vi) to read as
follows:
(iii) (A) For students who have been granted exclusion of parental
income and were single with no dependent for income tax purposes during
the tax year next preceding the academic year for which application is
made, the base amount, as determined in subparagraph (i) of this para-
graph, shall be reduced in relation to income as follows:
Amount of income Schedule of reduction
of base amount
(1) [Less than three thousand None
dollars
(2) Three thousand dollars or Thirty-one per centum of
more, but not more than thirty amount in excess of three
thousand dollars thousand dollars]
LESS THAN SEVEN THOUSAND NONE
DOLLARS
(2) SEVEN THOUSAND DOLLARS OR SEVEN PER CENTUM OF EXCESS
MORE, BUT LESS THAN ELEVEN OVER SEVEN THOUSAND DOLLARS
THOUSAND DOLLARS
(3) ELEVEN THOUSAND DOLLARS OR TWO HUNDRED EIGHTY DOLLARS
MORE, BUT LESS THAN EIGHTEEN PLUS TEN PER CENTUM OF EXCESS
THOUSAND DOLLARS OVER ELEVEN THOUSAND DOLLARS
(4) EIGHTEEN THOUSAND DOLLARS OR NINE HUNDRED EIGHTY DOLLARS
MORE, BUT NOT MORE THAN ONE PLUS TWELVE PER CENTUM OF
HUNDRED TWENTY-FIVE EXCESS OVER EIGHTEEN
THOUSAND DOLLARS THOUSAND DOLLARS
(B) For those students who have been granted exclusion of parental
income who have a spouse but no other dependent, for income tax purposes
during the tax year next preceding the academic year for which applica-
tion is made, the base amount, as determined in subparagraph (i) of this
paragraph, shall be reduced in relation to income as follows:
Amount of income Schedule of reduction
of base amount
(1) Less than seven thousand None
dollars
(2) Seven thousand dollars or Seven per centum of excess
more, but less than eleven over seven thousand dollars
A. 8951 4
thousand dollars
(3) Eleven thousand dollars or Two hundred eighty dollars
more, but less than eighteen plus ten per centum of excess
thousand dollars over eleven thousand dollars
(4) Eighteen thousand dollars or Nine hundred eighty dollars
more, but not more than [sixty] plus twelve per centum of
ONE HUNDRED TWENTY-FIVE excess over eighteen
thousand dollars thousand dollars
(ii) Except for students as noted in subparagraph (iii) of this para-
graph, the base amount as determined in subparagraph (i) of this para-
graph, shall be reduced in relation to income as follows:
Amount of income Schedule of reduction
of base amount
(A) Less than seven thousand None
dollars
(B) Seven thousand dollars or Seven per centum of the excess
more, but less than eleven over seven thousand dollars
thousand dollars
(C) ELEVEN THOUSAND DOLLARS OR TWO HUNDRED EIGHTY DOLLARS
MORE, BUT LESS THAN EIGHTEEN PLUS TEN PER CENTUM OF EXCESS
THOUSAND DOLLARS OVER ELEVEN THOUSAND DOLLARS
(D) EIGHTEEN THOUSAND DOLLARS OR NINE HUNDRED EIGHTY DOLLARS
MORE, BUT NOT MORE THAN ONE PLUS TWELVE PER CENTUM OF
HUNDRED TWENTY-FIVE EXCESS OVER EIGHTEEN
THOUSAND DOLLARS THOUSAND DOLLARS
(iii) For students who have been granted exclusion of parental income
and were single with no dependent for income tax purposes during the tax
year next preceding the academic year for which application is made, the
base amount, as determined in subparagraph (i) of this paragraph, shall
be reduced in relation to income as follows:
Amount of income Schedule of reduction of
base amount
(A) [Less than three thousand None
dollars
(B) Three thousand dollars or Thirty-one per centum of the ex-
more, but not more than ten cess over three thousand dollars
thousand dollars]
LESS THAN SEVEN THOUSAND NONE
DOLLARS
(B) SEVEN THOUSAND DOLLARS OR SEVEN PER CENTUM OF EXCESS
MORE, BUT LESS THAN ELEVEN OVER SEVEN THOUSAND DOLLARS
THOUSAND DOLLARS
(C) ELEVEN THOUSAND DOLLARS OR TWO HUNDRED EIGHTY DOLLARS
MORE, BUT LESS THAN EIGHTEEN PLUS TEN PER CENTUM OF EXCESS
THOUSAND DOLLARS OVER ELEVEN THOUSAND DOLLARS
(D) EIGHTEEN THOUSAND DOLLARS OR NINE HUNDRED EIGHTY DOLLARS
MORE, BUT NOT MORE THAN ONE PLUS TWELVE PER CENTUM OF
HUNDRED TWENTY-FIVE EXCESS OVER EIGHTEEN
THOUSAND DOLLARS THOUSAND DOLLARS
A. 8951 5
(VI) THE INCOME OF STUDENTS WHO HAVE NOT BEEN GRANTED EXCLUSION OF
PARENTAL INCOME AND ARE SINGLE WITH NO DEPENDENT SHALL NOT BE INCLUDED
IN THE AMOUNT OF INCOME WHEN DETERMINING A REDUCTION TO THE BASE AMOUNT
OF THE STUDENT'S AWARD.
In no [even shall] EVENT shall any award:
§ 4. This act shall take effect immediately.