(i) is exempt from federal taxation under  section  501(c)(3)  of  the
Internal Revenue Code; and
  (ii) has its headquarters and main campus located within the state and
is  eligible  for  funds  under  Title IV of the Higher Education Act of
1965, as amended; and
  (iii) is accredited by an  agency  recognized  by  the  United  States
secretary of education, or by a successor federal agency; and
  (iv) enrollment in which institution would render the student eligible
to  receive a federal Pell grant in accordance with section one thousand
seventy of title twenty of the United States  code,  et.  seq.  and  the
regulations promulgated thereunder; and
  (v)  provides  a  program of instruction lasting at least three years,
for which the student is enrolled.
  b-1. Tuition assistance program awards  that  are  made  available  to
students  pursuant  to  paragraph  b  of  this  subdivision shall not be
awarded if an applicant:
  (i) does not meet the citizenship requirements pursuant to subdivision
three of this section;
  (ii)  does  not  meet  the income requirements pursuant to section six
hundred sixty-three of this subpart;
  (iii) does not maintain good academic standing pursuant to paragraph c
of subdivision six of section six hundred sixty-five  of  this  subpart,
and  if  there  is  no  applicable  existing academic standards schedule
pursuant to such subdivision, then such recipient shall be placed on the
academic  standards  schedule  applicable  to  students  enrolled  in  a
four-year or five-year undergraduate program; or
  (iv)  is  in  default in the repayment of any state or federal student
loan, has failed to comply with  the  terms  of  any  service  condition
imposed  by an academic performance award made pursuant to this article,
or has failed to make a refund of any award.
  c. Must be in full-time attendance, as defined  by  the  commissioner,
except  as  otherwise  specifically provided in this article, and, for a
student having completed his or her second academic year,  must  have  a
cumulative  C  average  or  its  equivalent. The president may waive the
requirement that  the  student  have  a  cumulative  C  average  or  its
equivalent  for  undue hardship based on: (i) the death of a relative of
the student; (ii) the personal injury or  illness  of  the  student;  or
(iii) other extenuating circumstances; and
  d.  For  students  who  first  receive aid pursuant to this chapter in
academic year nineteen hundred ninety-six--nineteen hundred ninety-seven
to academic year two thousand  six--two  thousand  seven,  must  have  a
certificate  of  graduation from a school providing secondary education,
or the recognized equivalent of such certificate;  or  have  achieved  a
passing   score,  as  determined  by  the  United  States  secretary  of
education, on a federally approved examination which  demonstrates  that
the student can benefit from the education being offered;
  e.  For  students  who  first  receive aid pursuant to this chapter in
academic  year  two  thousand  six--two  thousand  seven,  must  have  a
certificate  of  graduation from a recognized school providing secondary
education within the United States, or the recognized equivalent of such
certificate, or have been admitted to such institution after receiving a
passing score on a federally approved ability to benefit test  that  has
been  independently  administered  and  evaluated,  as  provided  by the
commissioner;
  f. For students who first receive aid  pursuant  to  this  chapter  in
academic year two thousand seven--two thousand eight or thereafter, must
have  (i)  a certificate of graduation from a school providing secondary
education from a state within the United States; or (ii) the  recognized
equivalent  of  such certificate; or (iii) received a passing score on a
federally approved ability to benefit test that has been  identified  by
the  board of regents as satisfying the eligibility requirements of this
section and has been independently administered and evaluated as defined
by the commissioner;
  g. For students who are disabled as  defined  by  the  Americans  With
Disability   Act  of  1990,  42  USC  12101,  the  full-time  attendance
requirement is eliminated. Such disabled students may  be  in  part-time
attendance,  as  defined  by the commissioner in order to be eligible to
receive payments from the president.
  5. Residence.  a. (i) Except as provided in subdivision two of section
six hundred seventy-four of this part  and  subparagraph  (ii)  of  this
paragraph, an applicant for an award at the undergraduate level of study
must either (a) have been a legal resident of the state for at least one
year  immediately  preceding  the  beginning of the semester, quarter or
term of attendance for which application for assistance is made, or  (b)
be  a  legal resident of the state and have been a legal resident during
his last two semesters of high school either  prior  to  graduation,  or
prior  to  admission  to college. Provided further that persons shall be
eligible  to  receive  awards  under  section six hundred sixty-eight or
section six hundred sixty-nine of this  part  who  are  currently  legal
residents of the state and are otherwise qualified.
  (ii)  An  applicant  who is not a legal resident of the state eligible
pursuant to subparagraph (i) of this paragraph, but is a  United  States
citizen,  a permanent lawful resident, an individual who is granted U or
T non-immigrant status  pursuant  to  the  Victims  of  Trafficking  and
Violence  Protection  Act  of 2000, a person granted temporary protected
status pursuant to the Federal Immigration Act of 1990, an individual of
a class of refugees paroled by the attorney general of the United States
under his or  her  parole  authority  pertaining  to  the  admission  of
noncitizens  to  the  United  States,  or  an  applicant  without lawful
immigration status shall be eligible for an award at  the  undergraduate
level of study provided that the student:
  (a)  attended  a registered New York state high school for two or more
years, graduated from a  registered  New  York  state  high  school  and
applied  for  attendance  at the institution of higher education for the
undergraduate study for which an award is sought within  five  years  of
receiving a New York state high school diploma; or
  (b)  attended  an  approved  New  York  state program for a state high
school equivalency diploma, received a  state  high  school  equivalency
diploma  and  applied  for  attendance  at  the  institution  of  higher
education for the undergraduate study  for  which  an  award  is  sought
within  five years of receiving a state high school equivalency diploma;
or
  (c) is otherwise eligible for the payment of tuition  and  fees  at  a
rate  no  greater  than  that imposed for resident students of the state
university of New York, the city university of  New  York  or  community
colleges   as  prescribed  in  subparagraph  eight  of  paragraph  h  of
subdivision two of section three hundred fifty-five or paragraph (a)  of
subdivision seven of section sixty-two hundred six of this chapter.
  Provided,  further,  that  a student without lawful immigration status
shall also be required to file an affidavit  with  such  institution  of
higher  education  stating  that the student has filed an application to
legalize his or her immigration status, or will file such an application
as soon as he or she is eligible to do so.
  b. (i) Except as otherwise  provided  in  subparagraph  (ii)  of  this
paragraph, an applicant for an award at the graduate level of study must
either (a) have been a legal resident of the state for at least one year
immediately  preceding the beginning of the semester, quarter or term of
attendance for which application for assistance is made,  or  (b)  be  a
legal  resident  of  the state and have been a legal resident during his
last academic year of undergraduate study and have  continued  to  be  a
legal resident until matriculation in the graduate program.
  (ii)  An  applicant  who is not a legal resident of the state eligible
pursuant to subparagraph (i) of this paragraph, but is a  United  States
citizen,  a permanent lawful resident, an individual who is granted U or
T non-immigrant status  pursuant  to  the  Victims  of  Trafficking  and
Violence  Protection  Act  of 2000, a person granted temporary protected
status pursuant to the Federal Immigration Act of 1990, an individual of
a class of refugees paroled by the attorney general of the United States
under his or  her  parole  authority  pertaining  to  the  admission  of
noncitizens  to  the  United  States,  or  an  applicant  without lawful
immigration status shall be eligible for an award at the graduate  level
of study provided that the student:
  (a)  attended a registered approved New York state high school for two
or more years, graduated from a registered New York  state  high  school
and  applied  for  attendance at the institution of higher education for
the graduate study for which an award is  sought  within  ten  years  of
receiving a New York state high school diploma; or
  (b)  attended  an  approved  New  York  state program for a state high
school equivalency diploma, received a  state  high  school  equivalency
diploma  and  applied  for  attendance  at  the  institution  of  higher
education for the graduate study for which an award is sought within ten
years of receiving a state high school equivalency diploma; or
  (c) is otherwise eligible for the payment of tuition  and  fees  at  a
rate  no  greater  than  that imposed for resident students of the state
university of New York, the city university of  New  York  or  community
colleges   as  prescribed  in  subparagraph  eight  of  paragraph  h  of
subdivision two of section three hundred fifty-five or paragraph (a)  of
subdivision seven of section sixty-two hundred six of this chapter.
  Provided,  further,  that  a student without lawful immigration status
shall also be required to file an affidavit  with  such  institution  of
higher  education  stating  that the student has filed an application to
legalize his or her immigration status, or will file such an application
as soon as he or she is eligible to do so.
  c. A student, during  any  period  for  which  he  receives  financial
support  or  assistance  from a parent or stepparent, or is claimed by a
parent or stepparent as a dependent for income tax purposes  shall,  for
the  purposes  of this article, be considered to reside at the residence
of such parent  or  stepparent,  unless  the  student  submits  evidence
satisfactory to the president that the student's residence is elsewhere.
  d.  If  an  applicant for an award allocated on a geographic basis has
more than one residence in this state, his  or  her  residence  for  the
purpose  of  this  article shall be his or her place of actual residence
during the major part of the year while attending school, as  determined
by the commissioner; and further provided that an applicant who does not
have  a residence in this state and is eligible for an award pursuant to
subparagraph (ii) of paragraph a or subparagraph (ii) of paragraph b  of
this subdivision shall be deemed to reside in the geographic area of the
institution  of higher education in which he or she attends for purposes
of an award allocated on a geographic basis.
  e.  Notwithstanding  any  other  provision  of  this  article  to  the
contrary,  the  New  York  state eligibility requirements for receipt of
awards set forth in paragraphs a and b of this  subdivision  are  waived
for  a  member,  or  the  spouse  or dependent of a member, of the armed
forces of the United States on full-time active duty  and  stationed  in
this state.
  6.  Restrictions. a. All general and academic performance awards shall
only be used in the manner prescribed by the  commissioner  pursuant  to
article thirteen of this chapter, for the specific purpose for which the
awards are made, and no such awards shall be used to obtain professional
instruction in theology.
  b.  A  student  who  is  in  default  on a student loan made under any
statutory New York state or federal  education  loan  program  shall  be
ineligible  to  receive any award or loan pursuant to this article until
the student cures the default status  pursuant  to  applicable  law  and
regulation.
  c.  A  student  who has failed to comply with the terms of any service
condition imposed by an award made  pursuant  to  this  article  or  has
failed  to  repay an award made pursuant to this article, as required by
paragraph a of subdivision four of section  six  hundred  sixty-five  of
this  subpart, shall be ineligible to receive any award or loan pursuant
to this article so long as such failure to comply or repay continues.
  7.  Awards  of  student  financial aid. Whenever the corporation gives
written notification to a student of the amount of student financial aid
such student will receive under the provisions  of  this  article,  such
written notification shall be accepted by the institution as a deferment
against  tuition  charges  pending  the  issuance  of such moneys by the
corporation, unless: (a) the institution has more  current  or  accurate
information  on  file  indicating  the  student will receive a different
amount from that calculated by  the  corporation,  in  which  event  the
institution's calculated amount shall be accepted as a deferment against
tuition  charges pending the issuance of such moneys by the corporation,
or
  (b) the institution is waiting for corrections of financial aid  forms
or  income  verification  which  the  student  has not yet completed, or
supplied, in which case deferment will not take place until such time as
the student has completed his or her responsibilities.