As used in this act:

  (a) “Authority” means the Michigan higher education assistance authority created by Act No. 77 of the Public Acts of 1960, being section 390.951 to 390.961 of the Michigan Compiled Laws.

  (b) “Financial need” means need as determined by the institution based upon a need analysis standard established by the authority. Such standard shall take into consideration the student’s current annual income and exclude his or her home equity.

  (c) “Independent student” means an independent student as defined in 34 C.F.R. § 668.1a.

  (d) “Part-time” means not less than 3 semester hours and not more than 11 semester hours per semester, or the equivalent for a quarter or term.