@eyemgh Regarding WPI, I would be a little surprised if a 4.0 covers ‘average, good, or very good’ students. That’s a wide band. However, I get your point. It can be difficult to distinguish very good from truly great. There is a pretty healthy percentage of students who ‘NR’ at least one class while there. Since a D or F is never recorded, employers might not know it took 2 tries to get through a calculus course. Plus, the GPA doesn’t reflect the low grade.
OP - some smaller engineering schools do offer merit with no minimum GPA. WPI is one, though if you don’t pass two or more classes, I believe they reduce the scholarship. RPI is another. Case might be the same. As discussed here, common wisdom is Case and RPI have grade deflation.