The Office is hereby authorized to award scholarships from the Scholarship Incentive Program (ScIP) subject to the limits of its appropriations and the following limitations:
(1) Scholarships shall be awarded only to persons who will enroll as full-time students in degree programs.
(2) No student may receive more than 5 annual scholarships for either undergraduate or graduate study.
(3) Scholarships shall be used only at educational institutions:
a. In Delaware for undergraduate study;
b. In states that have established scholarship reciprocity agreements with the State and the Office for undergraduate study; or
c. For undergraduate or graduate study in degree programs that are not offered by a publicly assisted institution in Delaware.
(4) Scholarships shall be awarded on the basis of financial need and academic merit. Financial need shall be determined by a federally approved need analysis system. The financial need calculation shall consider the student's expected family contribution, the expense of attending the institution selected, and the student's eligibility for Pell grants and other federal, state or private grant assistance.
(5) Students must reapply for the scholarships annually, and must continue to meet all qualifications of the program.