The 21-year-old came through the Spotland youth system before leaving in summer 2011 and going on to spells in non-league football with Halifax, Stocksbridge, Ashton and Hyde FC.
Hogan also undertook a trial under Keith Hill during his time at Barnsley at the start of last season and that experience means the Dale manager is excited about his new recruit.
"This is a potential marquee signing," he told Rochdale's official website. "At the beginning of last season I took him into Barnsley with the possibility of signing him but that didn't come to fruition.
"There's definitely talent there and there's an abundance of pace, ability and speed. When he was at the football club last time round he wasn't ready for the demands of the professional game but I have followed his career closely and after sitting down with Scott he realises that he's got a talent and wants to make the most of it.
"This is an excellent signing for the football club and I know as recently as last week he was training with a Championship club, but he's really got to cut his teeth in the Football League and when he does that I'm sure that bigger clubs will come calling and knocking on the door for his services.
"Being able to recruit him is a coup and I'm really pleased because he is a player I intend to play next season and he'll hit the ground running."
Hogan is Dale's second signing this week following a deal to bring in Sheffield Wednesday midfielder Bastien Hery.