UtahH.B. 2602025 General SessionHouseWALLET

First Credential Program

Sponsored By: Val L. Peterson (Republican)

Signed by Governor

EducationK-12 EducationHigher EducationTechnical CollegesDepartment of Workforce ServicesWorkforce ServicesState Board of EducationUtah Board of Higher EducationLocal Education Agencies (LEAs)Colleges and UniversitiesConcurrent EnrollmentUtah System of Higher Education

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Bill Overview

Analyzed Economic Effects

6 provisions identified: 5 benefits, 1 costs, 0 mixed.

Scholarships help students after earning credentials

Subject to legislative funding, each First Credential certificate earner receives a scholarship. The Utah Board of Higher Education sets awards annually using available money and eligible student counts; no fixed amount is guaranteed. Awards cover tuition, fees, books, supplies, and other approved education costs at Utah state-system degree-granting schools and technical colleges. They also cover Utah private nonprofit colleges accredited by the Northwest Commission on Colleges and Universities. Scholarships remain valid for three years after high school graduation and can accompany other state scholarships. For FY2026, July 1, 2025–June 30, 2026, the law provides $1 million once from the Income Tax Fund. That money supports First Credential scholarships and incentives for students completing technical college certificates during that year.

Students gain credential and credit-transfer paths

Beginning July 1, 2025, eligible students earn a First Credential certificate through several paths. One is concurrent enrollment totaling 12 to 18 core general education credits, or the amount industry standards require. Courses must span different general education categories unless the Utah Board of Higher Education names a prescribed course set. Other paths include an approved industry credential, a technical college certificate, or a Career and Technical Education Pathway program. Students can also complete 300 youth apprenticeship hours; the program must meet state requirements and include courses toward a listed credential. The higher education board must ensure credits transfer, count toward relevant degrees, and receive industry recognition as job preparation. Coordinated definitions tied to enactment of H.B. 260 and H.B. 447 cover state-system degree-granting institutions and technical colleges.

Career centers gain student credential options

Catalyst centers can count First Credential learning experiences when they recreate professional settings and workplace practices. Credentials offered through these centers can qualify as industry-recognized credentials for First Credential, subject to the program's credential requirements. These coordinated changes are tied to enactment of both H.B. 260 and H.B. 447.

Schools get grants for student credentials

The State Board of Education offers grants to local education agencies that create or expand First Credential opportunities. Implementation grants require a needs assessment, application, and approved plan with goals, steps, timelines, and projected costs. Incentive grants depend on legislative funding, carrying out the plan, increasing certificate earners, and meeting every established goal. For FY2026, July 1, 2025–June 30, 2026, schools receive $1 million in one-time performance funding based on credential quantity and quality—not fixed student payments. A weighted system favors portable, industry-recognized credentials linked to high-demand, high-wage jobs and further credentials or degrees. Board rules set grant tiers, performance measures, reporting, and purchasing guidance, including proctored, competency-based assessments and local industry endorsement.

Utah sets statewide student credential standards

Beginning July 1, 2025, the law establishes statewide planning and oversight for First Credential. Education leaders and the governor's education advisor establish an oversight committee with industry, education, and workforce members. Its coordinated creation provision is tied to enactment of both H.B. 260 and H.B. 447. The State Board of Education maintains a public approved credential list and online submission system, supported by a credential review committee. Credentials recognized by either state education board as of July 1, 2024, receive initial inclusion if they meet the industry-recognized credential definition; review is required within one year. FY2026 provides $500,000 once for list development and $500,000 once for the master plan, from the Public Education Economic Stabilization Restricted Account. Planning includes stakeholder input, an October 2025 Education Interim presentation, and a formal report by November 2025. The committee reviews and updates the plan at least every three years; regional coordinators connect school, college, and workforce pathways and report results.

Utah ends older student certificate program

Beginning July 1, 2025, the law repeals Utah PRIME, including its LAUNCH and TRANSFORM certificates. Those older program pathways end as Utah moves to First Credential.

Sponsors & Cosponsors

Sponsor

Val L. Peterson
Republican • House

Cosponsors

Ann Millner
Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 218 • No: 5

House vote • 3/5/2025

House/ concurs with Senate amendment

Yes: 68 • No: 0

Senate vote • 3/5/2025

Senate/ passed 2nd & 3rd readings/ suspension

Yes: 20 • No: 5

Senate vote • 3/5/2025

Senate/ floor amendment

Yes: 0 • No: 0

Senate vote • 2/20/2025

Senate/ passed 2nd reading

Yes: 22 • No: 0

Senate vote • 2/14/2025

Senate Comm - Substitute Recommendation

Yes: 5 • No: 0

Senate vote • 2/14/2025

Senate Comm - Favorable Recommendation

Yes: 6 • No: 0

House vote • 2/6/2025

House/ passed 3rd reading

Yes: 71 • No: 0

House vote • 1/28/2025

House Comm - Favorable Recommendation

Yes: 13 • No: 0