Nearly 30 percent of South Dakota students who received state-government scholarships lost them later.

A new report indicates that more than half of those who lost the scholarships either couldn't keep their grades up or failed to take enough credit hours per semester.

The numbers have stirred discussion about the state-funded scholarship program. Some question how well-prepared South Dakota students are for the rigors of college, while others argue the scholarship's requirements are too stringent.

"Here we have the top kids in the state, and they can't get the GPA? That should bother us," said James Hansen of Pierre, a member of the regents. "We'd better start taking a look at whether we have too many kids not ready for college and finding out why that is."

The Opportunity Scholarship provides $5,000 over four years to students who have scored at least a 24 on the ACT test and have completed a challenging course of study in high school. To be eligible, the students also must choose a South Dakota university, college or technical school, maintain a 3.0 GPA and carry a minimum of 15 credit-hours each semester.

Avon superintendent of schools Tom Oster bristles at the suggestion that the newest Opportunity Scholars report means students aren't prepared for college work. He says, in fact, that he's surprised the number of students who are not able to keep a 3.0 grade point average isn't higher, given the adjustment from high school to college and the many factors that can play into how a student makes that transition.

"Some of those kids get married, some get in financial trouble, some get into drinking, just a whole number of things that can happen, because kids are kids," Oster said. "It's a major adjustment, but I don't buy for a minute that they aren't prepared for the academic work. If they take the rigor of the scholarship curriculum and get the ACT, they have the tools."

Some of the students who miss the grade mark will re-qualify, says Harvey Jewett, Regents president.

The report to the regents said 3,848 students have received Opportunity Scholarships during the first eight semesters of the program. Seventy-one percent of those who received scholarships "have established continuing eligibility" for the spring 2008 term.

Of the 1,116 now ineligible, 33 percent fell below the 15-credit requirement, 20 percent missed the grade-point average and 18 percent missed both GPA and credit-hour requirements, the report said. Another 27 percent withdrew from the school or transferred out of the program.