I graduate December of this year.

First off before I say anything else, I wish I had you as my parent. Like holy crap, I have a 3.8, got minimal scholarships, and my parents only ever paid for housing/feeding me while I commuted for two hours one way to avoid paying for housing. They didn't pay for a penny of tuition, books, anything despite easily being able to afford to. So as someone who had minimal help, what you are even considering doing for your daughter to help out is amazing.

That said, when it comes to your college plan, I would personally raise the bar and make it simpler. Anything below a 3.0 in college frankly is slacking off, so I would toughen the standards. Having college expenses paid for by parents is a huge privilege, and it needs to be treated like one.

Make your daughter front the money via taking out loans, and then pay them off after the fact if she performs to your expectations. Don't pay for a quarter ahead of time and then hold the next one over her head; hold the present quarter over her head instead.

Anything below a 2.0 at most colleges is academic probation, and less than 2.0 is dismissal for more then a semester in a row is academic dismissal. I would simplify it to basically be if she gets higher than a 3.0, you give her financial support. Anything less, and you retain the right to make her pay for some or all of the expenses at your discretion. That will light a fire under her ass not to dither about with her grades. And obviously, you need to be prepared to follow through if she does poorly in a given quarter, no matter how much she begs.

However, I would also allow her a mulligan or two since everyone in college fucks up occasionally. You did. I certainly did. Everyone has a bad semester (or quarter in your daughter's case). Perhaps cruelly, many people's worst semester/quarter is their first. And as another user said, a quarter is really too short a time; I imagine half the challenge the first ten weeks or so will just be your child adjusting to the college environment and making friends and stuff. I would give her a quarter or two to get her bearings before putting the hammer down.

Also, you went to high school and college so you probably know this already, but I wouldn't use high school as a proxy for judging how "college-ready" you think your child will be. Good grades in High School ≠ Good grades in College. College isn't necessarily easier or harder than high school; some kids (myself included, I did terrible in high school) will do well in one but crash and burn in the other.

As long as she knows that when college rolls around that its balls to the walls and as long as she knows what the consequences will be for slacking off in college, you've done your part. As a newly clad adult, the rest is up to her.