---
kind: "section"
citation: "34 C.F.R. § 386.40"
title: "34"
number: "386.40"
heading: "What are the requirements for scholars?"
url: "https://uscodex.org/cfr/34/386.40"
---

# §386.40. What are the requirements for scholars?

- (a) **A scholar must—**
  - (1) Be enrolled in a course of study leading to a certificate or degree in one of the fields designated in [§ 386.1(b)](/cfr/34/386.1.md?p=b);
  - (2) Receive the training at the educational institution or agency designated in the scholarship;
  - (3) Not accept payment of educational allowances from any other entity if that allowance conflicts with the scholar's obligation under section 302 of the Act and this part;
  - (4) Not receive concurrent scholarships for the same academic term from more than one project under this program;
  - (5) Enter into a signed written agreement with the grantee, prior to the receipt of scholarship funds, as required in [§ 386.34(c)](/cfr/34/386.34.md?p=c);
  - (6) Maintain satisfactory progress toward the certificate or degree as determined by the grantee;
  - (7) Upon exiting the training program under [paragraph (a)(1)](#a-1) of this section, subsequently maintain employment on a full- or part-time basis subject to the provisions in [paragraph (b)](#b) of this section—
    - (i)
      - (A) In a State vocational rehabilitation agency or related agency as defined in [§ 386.4](/cfr/34/386.4.md); and
      - (B) (1) In the field of study for which training was received, or

        (2) Where the field of study is directly relevant to the job functions performed; and

    - (ii) For a period of at least the full-time equivalent of two years for every academic year for which assistance under this section was received subject to the provisions in [paragraph (c)](#c) of this section for part-time coursework;
  - (8) Complete the service obligation within a period, beginning after the recipient exits the training program for which the scholarship was awarded, of not more than the sum of the number of years in the period described in [paragraph (a)(7)(ii)](#a-7-ii) of this section and two additional years;
  - (9) Repay all or part of any scholarship received, plus interest, if the individual does not fulfill the requirements of this section, except as provided for in [§ 386.41](/cfr/34/386.41.md) for exceptions and deferrals; and
  - (10) Provide the grantee all requested information necessary for the grantee to meet the exit certification requirements in [§ 386.34(f)](/cfr/34/386.34.md?p=f) and, as necessary, thereafter for any changes necessary for the grantee to monitor the scholar's service obligation under this section.
- (b)
  - (1) The period of qualifying employment that meets the requirements of [paragraph (a)(7)](#a-7) of this section may begin—
    - (i) For courses of study of at least one year, only subsequent to the completion of one academic year of the training for which the scholarship assistance was received.
    - (ii) For courses of study of less than one year, only upon completion of the training for which the scholarship assistance was received.
  - (2) The work completed as part of an internship, practicum, or any other work-related requirement necessary to complete the educational program is not considered qualifying employment.
- (c) If the scholar is pursuing coursework on a part-time basis, the service obligation for these part-time courses is based on the equivalent total of actual academic years of training received.
- (d) If a scholar fails to provide the information in [paragraph (a)(10)](#a-10) of this section or otherwise maintain contact with the grantee pursuant to the terms of the signed payback agreement and enters into repayment status pursuant to [§ 386.43](/cfr/34/386.43.md), the scholar will be held responsible for any costs assessed in the collection process under that section even if that information is subsequently provided.

## Notes

### Authority

Authority: Sections 12(c) and 302 of the Rehabilitation Act of 1973, as amended; 29 U.S.C. 709(c) and 772, unless otherwise noted.

### Source

Source: 81 FR 55619, Aug. 19, 2016, unless otherwise noted.