SENATE HIGHER EDUCATION COMMITTEE

STATEMENT TO

SENATE, No. 3273

STATE OF NEW JERSEY

DATED:  MARCH 7, 2019

     The Senate Higher Education Committee reports favorably Senate Bill No. 3273.

     This bill establishes a “Supporting Educational and Entrepreneurial Development (S.E.E.D.) Program” in the Office of the Secretary of Higher Education.  The purpose of the S.E.E.D. Program will be to support original student-led projects through the awarding of grants.  Awards made through the program will provide the initial funding necessary to support the development of promising new concepts, products, or companies led by the next generation of researchers. 

     Under the bill, the S.E.E.D. Program will be implemented by a seven member board that includes the Secretary of Higher Education, or a designee; a representative of the New Jersey Business and Industry Association; and five public members.  The board will establish a competitive application process for receipt of a S.E.E.D. grant that considers objective factors which include, but need not be limited to: the intellectual merit of the proposed project; the overall feasibility of the proposal; and the qualifications of the applicant.  The bill directs the board to award S.E.E.D. grants from the fund to qualified applicants enrolled in each public institution of higher education, within the limits of available funds.  The board will determine the amount of each grant awarded under the program and may award multi-year grants.

      The bill creates a special fund in the Office of the Secretary of Higher Education entitled the "S.E.E.D. Fund," consisting of all moneys appropriated by the State for the purposes of the program and all interest and investment earnings received on moneys in the fund.  The fund will be used to provide S.E.E.D. grants.  The bill provides that in each of the first three years of the S.E.E.D. Program, the State must appropriate to the S.E.E.D.  Fund for each public institution of higher education an amount equal to $2,500 per each 500 full-time student cohort and $2,500 per each 1,000 part-time student cohort.  In the event that the funds available to an institution are not awarded as S.E.E.D. grants in any of the first three years of the program, the board may either allocate those funds to the institution in subsequent years or reallocate those funds to other institutions of higher education.