(a) As used in this section, an “eligible postsecondary program” means a postsecondary program that has received the Comprehensive Transition and Postsecondary Program designation from the United States department of education and is offered by an eligible postsecondary institution that assists students with intellectual disabilities, as defined in § 33-1-101, who have completed high school, but who need a strong system of education supports and services to access and obtain postsecondary education. To be an eligible postsecondary program, a program shall consist of an individualized program of study of up to four (4) years designed to provide meaningful postsecondary activities, including academic, career development and exploration, and independent living skills, on the postsecondary campus.

(b) To be eligible for a Tennessee STEP UP scholarship, a student with a documented intellectual disability shall:

(1) Not be ineligible for the scholarship under § 49-4-904;

(2) Have been a Tennessee resident, as defined by regulations promulgated by the board of regents under § 49-8-104, for one (1) year immediately preceding the date of application for a scholarship or the renewal of a scholarship;

(3) Complete high school in a Tennessee high school in accordance with the requirements of the student's individualized education program (IEP) and receive a high school diploma, occupational diploma, or certificate, a special education diploma, a transition certificate or an IEP certificate;

(4) Be admitted to and enroll in an eligible postsecondary institution in an eligible postsecondary program no later than sixteen (16) months after completing high school; and

(5) Apply for a Tennessee STEP UP scholarship.

(c)

(1) To continue to be eligible for a Tennessee STEP UP scholarship, a student shall:

(A) Maintain continual enrollment in the eligible postsecondary program as defined by the eligible postsecondary institution; and

(B) Make satisfactory academic progress in the student's program of study as determined by the eligible postsecondary institution.

(2) If a student ceases to be eligible for the Tennessee STEP UP scholarship at any time for any reason, then the student shall not be able to regain the scholarship.

(d)

(1) A student may receive a Tennessee STEP UP scholarship under this section until the first of the following events:

(A) The student receives a credential signifying completion of the eligible postsecondary program; or

(B) The period required to complete the eligible postsecondary program, as determined by the eligible postsecondary institution, has elapsed.

(2) A Tennessee STEP UP scholarship student who has an approved medical or personal leave of absence from an eligible postsecondary program may continue to receive the scholarship upon resuming the student's education in the eligible postsecondary program; provided, that the student continues to meet all applicable eligibility requirements. A student who takes an approved leave of absence shall be eligible for the scholarship until the first of the following events:

(A) The student has received a credential signifying completion of the eligible postsecondary program; or

(B) The sum of the number of years that the student attended the eligible postsecondary program prior to the leave of absence and the number of years of attendance after the leave of absence equals the number of years required to complete the eligible postsecondary program in which the student is enrolled, as determined by the eligible postsecondary institution.

(e) Subject to the amounts appropriated by the general assembly and any law relating to a shortfall in funds available for postsecondary financial assistance from the net proceeds of the state lottery, the amount of a Tennessee STEP UP scholarship shall be the same as the amount of a Tennessee HOPE scholarship awarded under § 49-4-914(a) to students attending eligible four-year postsecondary institutions.

(f) If the sum of all financial aid, including a Tennessee STEP UP scholarship, for which a student qualifies exceeds the institutionally defined total cost of education at the eligible postsecondary institution the scholarship recipient is attending, then the student's Tennessee STEP UP scholarship shall be reduced so that the financial aid actually received by the student does not exceed the institutionally defined total cost of education.

(g) Notwithstanding subsection (d), if a student completes an eligible postsecondary program that requires less than four (4) academic years to complete, the student may transfer to another eligible postsecondary program that provides a longer program and continue to receive the Tennessee STEP UP scholarship; provided, that the student meets the requirements of subdivision (c)(1) at the time of transfer.