Can you lose the Florida PEP scholarship?

• Yes, a PEP scholarship can end. Step Up’s handbook lists the actions that “may lead to a loss of the scholarship.” The most common ones are about paperwork, enrollment, and where you live.
• Money you already spent isn’t repaid when you leave, according to Step Up’s FAQ.
• Remaining funds go back to the state when a student leaves the program, with some exceptions for spending after eligibility ends.
• Tell Step Up first if your student is enrolling in public school or applying for another scholarship. The FAQ says not telling Step Up “may result in loss of scholarship.”

From the handbook’s “Actions That May Lead to Loss of the Scholarship,” grouped by type:

Paperwork

• “Failure to submit or annually update a Student Learning Plan for the student.”
• For renewal students, not taking the required norm-referenced test or statewide assessment and submitting the results before renewal. Both steps are explained in PEP testing and the Student Learning Plan.
• “Misrepresenting or withholding information on the scholarship application or reimbursement documentation.”
• “Failure to satisfy state compulsory attendance requirements.”

Enrollment

• Enrolling full-time in a Florida public school. The handbook names Florida Virtual School, the Florida School for the Deaf and Blind, the College-Preparatory Boarding Academy, the Florida Scholars Academy, developmental research schools, and charter schools as public schools for this rule.
• “Utilizing another state scholarship.”

Where you live

• “Moving or residing outside of the state of Florida.” The exception is renewal PEP students of active-duty members of the U.S. Armed Forces with Permanent Change of Station (PCS) orders out of Florida.

Account use

• Fraud, “including taking possession of any scholarship funds by refund, resale, rebate, or credit from a provider or purchase.”
• “Allowing another party, including a provider or school representative, to access or manage a student’s scholarship account.” (More on EMA account rules in what EMA is.)

Other

• Step Up determines the student isn’t eligible for renewal.
• The Commissioner of Education suspends or revokes participation for fraud or abuse.
• The student graduates high school or turns 21, whichever comes first.

The handbook warns that these actions, or any violation of scholarship rules, may result in loss of the scholarship, loss of future eligibility, or financial or criminal penalties.

PEP students can’t be enrolled full-time in public school while receiving PEP funds. The handbook says:

• The student remains eligible “until they return to public school, graduate high school, or turn twenty-one (21) years old.”
• “If state records show a student enrolled in a public school after receiving scholarship funds, the funds deposited into the student’s account for that school year will be returned to Step Up For Students or the state of Florida.”
• If a student is found enrolled in public school or another scholarship program, the parent is notified by email and should contact Step Up immediately.

Taking individual public school classes on a private-pay basis is different: the purchasing guide treats contracted public school services as an eligible expense, as long as the district doesn’t report the student for state funding. For the new public school attestation this year, see what’s new for PEP in 2026–27.

From Step Up’s FAQ:

• Spent funds: “Any funds you have already spent do not need to be repaid if you leave the program.”
• Remaining funds: “Your student’s remaining PEP Scholarship funds will be returned to the state if you leave the program.” They’re also returned if the Commissioner deems the student ineligible due to fraud or abuse, or if two consecutive fiscal years pass with no spending.
• After eligibility ends (turning 21, graduating, or enrolling full-time in public school): “families may continue to access and utilize any remaining funds in the student’s scholarship account for approved educational expenses until the balance is fully spent.”

For the account-closure and balance rules in more detail, see do PEP funds roll over?

Moving or living outside Florida is on the handbook’s list. For military families, Step Up’s FAQ says that if a family moves out of state mid-year after the student is newly confirmed for PEP or FES-UA, “you can continue to receive funding for the remainder of the school year if your PCS Verification Request is approved.” If you’re moving for any other reason, call Step Up before you go.

The handbook says “students whose accounts have been closed may submit new applications and be considered for scholarship eligibility in subsequent years,” and that the Commissioner of Education decides whether to deny or withdraw eligibility for an upcoming year. A new application is subject to the same deadlines and limits as any other; see is the PEP scholarship full?