A. The Office of Student Financial Assistance (OSFA) shall allocate to each eligible institution a share of the total funds provided for the program in proportion to its share of Maryland graduate and professional students who are enrolled in the eligible programs.
B. The allocation shall be based on the average of the enrollments for the preceding 2 years. An institution that becomes eligible to participate in the scholarship program due to a recent addition of an eligible graduate or professional program at their institution shall have its enrollments calculated using an estimated fall enrollment projection for that year. After 2 years of enrollments, the institutionís allocation shall be calculated based on the average of the enrollments for the preceding 2 years.
C. OSFA shall notify institutions of the amount of their allocation and shall distribute funds to each institution no later than August 30.
D. In the event the institution fails to submit all required information under Regulation .06 of this chapter, funding allocated to the institution within that year will be subject to one of the following:
(1) Reduction of subsequent years funding according to the preceding years allocated amount; or
(2) A 1-year lapse of funding in the subsequent year.