(a) Limits of payment.

1. (1) The Division of Higher Education shall disburse scholarship funds to The Washington Center located in Washington, D.C.
2. (2) Scholarship funds will be disbursed upon receipt of an invoice from The Washington Center.
3. (3) Invoices from The Washington Center will be accepted by the division no later than ten (10) days after the beginning of each term.
4. (4) The division shall send funds to The Washington Center via electronic funds transfer or state warrant.

(b) Refunds.

1. (1) The Washington Center Scholarship Program may be entitled to a refund of the scholarship amount if the recipient of the scholarship:

   1. (A) Withdraws;
   2. (B) Drops out;
   3. (C) Is expelled; or
   4. (D) Does not meet the terms of the internship program outlined by The Washington Center during the payment period.
2. (2) If this situation occurs, the student will owe funds to The Washington Center, which in turn shall return the refund to the division.

(c) Overpayment.

1. (1) The division will report the amount of the scholarship each student receives to the Arkansas institution where the student is enrolled.
2. (2) If the award of a Washington Center scholarship results in an overpayment to the student according to the state law governing the stacking of scholarships, the institution shall follow the division’s policy in reducing the student’s financial package to prevent the student from receiving funds above the federally recognized cost of attendance.