Relating to: permissible financial aid reductions in higher education. (FE)

SB 868 establishes rules for how Wisconsin public colleges and universities can adjust institutional gift aid (like grants or scholarships) when students receive private scholarships. It limits reductions to situations where total aid exceeds a student’s financial need (cost of attendance minus student aid index), requiring institutions to first try reducing loans or work-study before cutting gift aid. Students must be notified of potential reductions and can request a reassessment of their cost of attendance. The bill specifically applies to scholarships of $5,000 or less from Wisconsin-based entities and includes special provisions for student-athletes and constrained scholarship awards.