On November 6, 2003, the Governor signed an amendment to the June 29, 1996 Job Enhancement Act (Act 67) which included a new chapter (31) entitled the "Technology Work Experience Internship Program."
This program received a $500,000 appropriation on July 1, 2004, and is intended to provide matching funds to approved postsecondary institutions in support of students completing internships or work experiences with emerging technology companies located within the Commonwealth. Companies and/or postsecondary institutions will be required to pay only 50 percent of the student's wages, with the remaining 50 percent being provided through a matching funds allocation. The Pennsylvania Higher Education Assistance Agency (PHEAA), in cooperation with the Pennsylvania Department of Education (PDE), the Department of Community and Economic Development (DCED), and the Pennsylvania Workforce Investment Board (PWIB), have been charged with administering this program.
Student Eligibility Requirements and Internship/Work Experience Guidelines
This program is closely tied to the New Economy Technology Scholarship (NETS) Program, in that it actively provides potential internships/work experiences for SciTech Scholarship recipients; however, students wishing to participate in this program are not required to be a SciTech Scholarship recipient or a participant in the NETS Program.
Students eligible to participate in this program must:
- be an undergraduate student
- be a Pennsylvania resident as of the first day of classes in the term for which the program matching funds would be paid, and
- be enrolled in a NETS approved program of study at a Pennsylvania postsecondary institution approved to participate in the NETS Program.
In addition, preference should be given to students with financial need as determined by the student's postsecondary institution.
Student Internship/Work Experience Guidelines
- Internship/work experience students may not work more than 20 hours per week while enrolled in classes on a full-time basis and may not work more than 40 hours per week over breaks.
- Internship/work experience may qualify for the Federal or State Work-Study Program and thus be included as a form of student aid.
- The student shall be paid on an hourly basis and receive at least the state minimum wage.
- Total compensation to a student employed through this program shall not exceed $7,000 in a 12-month period, defined as Fall, Spring and Summer terms, in that order.
Postsecondary Institution Eligibility Requirements
In order to participate in this program, postsecondary institutions must:
- be located within the state of Pennsylvania;
- be PHEAA-approved to participate in the NETS Program;
- submit the enclosed application by January 31, 2005, and if approved
- execute a participation agreement with the Agency.
Postsecondary Institution Program Responsibilities
The statute requires that postsecondary institutions approved to participate in the Technology Work Experience Internship Program adopts standards for approving a student internship/work experience, which includes ensuring that:
- the employer is a Pennsylvania high-tech business as determined by DCED;
- the internship/work experience provides a career-related experience and uses the student's classroom knowledge;
- the position does not displace an employee of the business, including employees laid off or on strike;
- the student is compensated at a rate at least equal to the state minimum wage;
- each participating high-tech business understands the requirements of the program;
- funds are provided to match the state contribution through either the employer or the institution;
- a process is implemented to screen and approve students to participate in the program, and
- a process is developed to monitor and evaluate each internship/work experience.
Once PHEAA has reviewed all applications and determined eligibility to participate, institutions will be notified of their Technology Work Experience Internship Program matching funds allocation. This determination is planned to occur in February, 2005.
Employer Eligibility Requirements
Employers must be a Pennsylvania "emerging technology company ….. involved in scientific research and product development, technology or a related field which is either less than six years from incorporation or employs fewer than 500 full-time employees." In accordance with the statute, PDE, DCED and the PWIB are responsible for establishing and maintaining a list of eligible employers. As of this date, this list is still being developed. As soon as this information is available, it will be forwarded to all Pennsylvania postsecondary institutions.
Application to Participate
Enclosed is an application to participate in the Technology Work Experience Internship Program. The Agency requests that this application be completed and returned no later than January 31, 2005. Schools will be notified of their eligibility to participate and their tentative matching funds allocation (if applicable) after all applications have been reviewed. Those institutions receiving a tentative matching funds allocation will also receive a participation agreement and a proposed employer form that must be completed and submitted before receiving final approval to participate and a confirmed allocation.
For your information and convenience, enclosed is a copy of House Bill #538, which presents the specific guidelines regarding the administration of the Technology Work Experience Internship Program. It is the goal of the Agency to implement this program, as well as the other special programs brought forward through legislation (i.e., New Economy Technology Scholarship [NETS] Program), as expeditiously as possible; the intent of the law must be respected. The Agency realizes the additional work that these programs often require of the financial aid office and appreciates the efforts you make on behalf of your students.
If you have any questions regarding this program, please contact State Grant and Special Programs at 1 888 877 1457 (this number is reserved for the use of financial aid administrators, employers and other personnel at secondary and postsecondary institutions).
MBK/dmh
Enclosures
K041223-TWEIPProgram.memo.TechWorkExperProg
