HB 1413: Georgia Student Finance Authority; establish a needs based scholarship program for students at eligible public and private postsecondary institutions

This bill creates the DREAMS scholarship (Dedicating Resources to Educationally Advance More Students), a needs based scholarship for undergraduates at University System of Georgia institutions and Technical College System of Georgia units who have unmet financial need after other aid is applied. It sets up a dedicated endowment fund with principal, scholarship, and transitional accounts, caps awards at $3,000 per student per year, limits eligibility to eight semesters or 12 quarters, and requires recipients to complete a financial literacy course and do some form of work or service. The bill also requires University System and Technical College System institutions to keep supplies of opioid antagonists (overdose reversal drugs like naloxone) near defibrillators, lets staff and students carry and administer them, and grants immunity from liability for good-faith use. It raises the maximum balance allowed in Georgia's 529 education savings accounts from $235,000 to $550,000, removes part-time students from a state retirement plan's employee definition, and changes how the lottery's shortfall reserve is calculated using a new 'base lottery spend' formula. Most provisions take effect July 1, 2026.

• Creates the DREAMS scholarship, a needs based award of up to $3,000 per year for undergraduates at eligible Georgia public colleges and technical colleges with unmet financial need after other aid.
• Establishes a DREAMS Scholarship Endowment Fund with separate principal, scholarship, and transitional accounts, plus rules for investment, emergency stabilization, and annual public reporting.
• Requires University System and Technical College System institutions to stock opioid antagonists (overdose reversal medication) near defibrillators and lets staff, students, and visitors possess and administer them with legal immunity for good-faith acts.
• Raises the maximum allowed balance in a Georgia Higher Education Savings Plan (529-style) account from $235,000 to $550,000.
• Removes part-time students from the definition of 'employee' under the Georgia Defined Contribution Plan, excluding them from that retirement plan.
• Revises how the Lottery for Education Account's shortfall reserve is calculated, introducing a 'base lottery spend' comparison starting in Fiscal Year 2027.

Undergraduate students with financial need at University System of Georgia schools and Technical College System of Georgia units; the Georgia Student Finance Authority, which will administer the scholarship and endowment; college and technical school staff and students regarding opioid antagonist access; families using Georgia's 529 education savings accounts; part-time student workers on campus; and state budget officials overseeing lottery proceeds.

Eligible students with unmet financial need could receive up to $3,000 a year toward college costs, on top of existing aid like HOPE. Campuses would be required to keep overdose-reversal medication on hand near defibrillators, and families could save far more in tax-advantaged college accounts. Part-time student workers would lose retirement plan coverage, and lottery reserve funding rules would shift starting in Fiscal Year 2027.

• Section 1-1 adds new Code Sections 20-3-367 through 20-3-367.3 creating the DREAMS scholarship, defining eligibility (FAFSA completion, matriculated undergraduate status, at least 6 semester hours, unmet financial need) and capping awards at $3,000 per year for up to eight semesters or 12 quarters.
• Section 1-1 also creates the DREAMS Scholarship Endowment Fund in the state treasury with principal, scholarship, and transitional accounts, an investment policy, an emergency stabilization process requiring a two-thirds board vote, and a December 1 annual report to state leaders.
• Section 2-1 raises the maximum total balance allowed in a Georgia Higher Education Savings Plan account per beneficiary from $235,000 to $550,000.
• Sections 3-1 and 3-2 add new Code Sections requiring University System of Georgia institutions and Technical College System of Georgia units to acquire and store opioid antagonists near defibrillators, subject to available community funding, and grant immunity from civil liability or professional discipline for good-faith administration.
• Section 3-3 amends O.C.G.A. § 31-2A-20 to exclude the University System of Georgia and Technical College System of Georgia from the definition of 'government entity' and 'qualified government building' for opioid antagonist accessibility rules, since they are covered separately.
• Section 4-1 amends O.C.G.A. § 47-22-1 to exclude part-time students, not just full-time students, from the definition of 'employee' under the Georgia Defined Contribution Plan.
• Section 5-1 amends O.C.G.A. § 50-27-13 to define 'base lottery spend' and change how the Lottery for Education Account's minimum shortfall reserve is calculated, using whichever is greater between average net proceeds and base lottery spend over the prior three fiscal years.
• Section 6-1 sets the general effective date as July 1, 2026, with Part II (529 account cap) effective upon the Governor's signature, Part I applying starting the 2026-2027 academic year, and Part V applying starting Fiscal Year 2027.

1. 2026-03-31Senate Tabled (Senate)
2. 2026-03-25Senate Read Second Time (Senate)
3. 2026-03-25Senate Committee Favorably Reported By Substitute (Senate)
4. 2026-03-09Senate Read and Referred (Senate)
5. 2026-03-06House Passed/Adopted By Substitute (House)
6. 2026-03-06House Third Readers (House)
7. 2026-03-06House Committee Favorably Reported By Substitute (House)
8. 2026-02-24House Second Readers (House)

• Charles Martin (R, HD-049)Primary sponsor
• James Hatchett (R, HD-155)
• Stacey Evans (D, HD-057)
• Mark Newton (R, HD-127)
• Chris Erwin (R, HD-032)
• Carter Barrett (R, HD-024)
• Max Burns (R, SD-023)

1. PassedHouse voteMarch 6, 2026

   165 yea, 2 nay (1 not voting, 9 absent)

   Passage: House Vote #683

2. PassedSenate voteMarch 31, 2026

   39 yea, 10 nay (2 not voting, 3 absent)

   Motion To Table Remaining Legislation On The Rules Calendar: Senate Vote #912

• college scholarships
• financial aid
• opioid overdose prevention
• 529 education savings accounts
• state lottery funding