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H0018..........................................................by EDUCATION STUDENTS - LOAN FORGIVENESS - Amends existing law to revise eligibility for application to the student education incentive loan forgiveness contract; to authorize award of unused contracts; and to designate Eastern Idaho Technical College as a participating institution. 01/20 House intro - 1st rdg - to printing 01/21 Rpt prt - to Educ 02/21 Rpt out - rec d/p - to 2nd rdg 02/22 2nd rdg - to 3rd rdg 02/28 3rd rdg - PASSED - 67-0-3 AYES -- Anderson, Andrus, Barraclough, Barrett, Bastian, Bayer, Bedke, Bell, Bilbao, Black, Block, Boe, Bolz, Bradford, Cannon, Chadderdon, Clark, Collins, Crow, Deal, Denney, Edmunson, Ellsworth, Eskridge, Field(18), Field(23), Garrett, Hart, Harwood, Henbest, Henderson, Jaquet, Jones, Kemp, Lake, LeFavour, Loertscher, Martinez, Mathews, McGeachin, McKague, Miller, Mitchell, Nielsen, Nonini, Pasley-Stuart, Pence, Raybould, Ring, Ringo, Roberts, Rusche, Rydalch, Sayler, Shepherd(2), Shepherd(8), Shirley, Skippen, Smith(30), Smith(24), Smylie, Snodgrass, Stevenson, Trail, Wills, Wood, Mr. Speaker NAYS -- None Absent and excused -- Moyle, Sali, Schaefer Floor Sponsor - Nielsen Title apvd - to Senate 03/01 Senate intro - 1st rdg - to Educ 03/15 Rpt out - rec d/p - to 2nd rdg 03/16 2nd rdg - to 3rd rdg 03/21 3rd rdg - PASSED - 31-0-3, 1 vacancy AYES -- Andreason, Brandt, Broadsword, Bunderson, Burkett, Burtenshaw, Cameron, Compton, Corder, Darrington, Davis, Gannon, Geddes, Goedde, Hill, Jorgenson, Kelly, Keough, Langhorst, Little, Lodge, Marley, McGee, McKenzie, Pearce, Richardson, Schroeder, Stegner, Stennett, Sweet, Williams NAYS -- None Absent and excused -- Coiner, Malepeai, Werk, (District 21 seat vacant) Floor Sponsor - Gannon Title apvd - to House 03/22 To enrol 03/23 Rpt enrol - Sp signed 03/24 Pres signed - To Governor 03/28 Governor signed Session Law Chapter 173 Effective: 07/01/05
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-eighth Legislature First Regular Session - 2005IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 18 BY EDUCATION COMMITTEE 1 AN ACT 2 RELATING TO STUDENT EDUCATION INCENTIVE LOAN FORGIVENESS CONTRACTS; AMENDING 3 SECTION 33-3722, IDAHO CODE, TO REVISE ELIGIBILITY FOR APPLICATION TO THE 4 STUDENT EDUCATION INCENTIVE LOAN FORGIVENESS CONTRACT, TO AUTHORIZE AWARD 5 OF UNUSED CONTRACTS AND TO DESIGNATE EASTERN IDAHO TECHNICAL COLLEGE AS A 6 PARTICIPATING INSTITUTION AND TO MAKE A TECHNICAL CHANGE. 7 Be It Enacted by the Legislature of the State of Idaho: 8 SECTION 1. That Section 33-3722, Idaho Code, be, and the same is hereby 9 amended to read as follows: 10 33-3722. STUDENT EDUCATION INCENTIVE LOAN FORGIVENESS CONTRACT. (1) It is 11 hereby declared that it is in the public interest to encourage and assist 12 individuals who wish to pursue a teaching career or professional nursing 13 career within this state to enroll in an Idaho postsecondary institution and 14 to work in Idaho. 15 (2) Any Idaho student pursuing a teaching career may sign a loan forgive- 16 ness contract and promissory note for payment of all full-time undergraduate 17 matriculation, facility and activity fees at any Idaho institution of higher 18 learning who: 19 (a)Has graduated from a secondary school in Idaho within the previous20two (2) years; and21(b) Is academically situated within the upper fifteen percent (15%) of22his graduating class based on a ranking of all students in that class23according to grade point average or has earned a cumulative grade point24average of 3.0 or higher; and25(c)Will maintain full-time student status and shall maintain a grade 26 point average of 3.0 or better in the first two (2) semesters and for the 27 remaining semesters; and 28 (db) Will pursue a program of study which will qualify the student to 29 receive an Idaho teaching certificate upon completion of his studies; and 30 (ec) Will pursue a teaching career within the state of Idaho for a mini- 31 mum of two (2) years, which time requirement will commence upon obtaining 32 a teaching position. 33 (3) Any Idaho student pursuing a licensed nursing career may sign a loan 34 forgiveness contract and promissory note for payment of all undergraduate ma- 35 triculation, facility and activity fees at any Idaho institution of higher 36 learning who: 37 (a) Will maintain full-time student status and shall maintain a grade 38 point average of 3.0 or better in the first two (2) semesters and for the 39 remaining semesters; and 40 (b) Will pursue a program of study which will qualify the student to 41 write the licensure examination approved by the board of nursing for reg- 42 istered nurse upon completion of his studies; and 43 (c) Will pursue a licensed professional nursing career within the state 2 1 of Idaho for a minimum of two (2) years, which time requirement will com- 2 mence within one (1) year after a professional nursing license is 3 obtained. 4 (4) Availability of student education incentive loan forgiveness con- 5 tracts for potential teachers will be limited to sixteen (16) each year, with 6 three (3) to be let by the University of Idaho, three (3) by Boise State Uni- 7 versity, three (3) by Idaho State University, three (3) by Lewis Clark State 8 College, two (2) by North Idaho College and two (2) by the College of Southern 9 Idaho; for potential registered nurses, contracts will be limited to thirteen 10 (13) each year, with three (3) to be let by Boise State University, three (3) 11 by Idaho State University, three (3) by Lewis Clark State College, two (2) by 12 North Idaho College and two (2) by the College of Southern Idaho. 13 (a) Preference in selecting potential registered nurses will be given to 14 applicants who indicate willingness to practice in rural Idaho. 15 (b) The length of each contract and promissory note shall not exceed a 16 maximum of eight (8) years, and the beginning date and expiration date 17 shall be specified in each contract. 18 (5) The state board of education may reassign unused contracts to other 19 participating institutions. For purposes of reassignment of unused contracts, 20 Eastern Idaho Technical College may be considered as a participating institu- 21 tion and may be awarded student education incentive loan forgiveness contracts 22 for potential registered nurses. 23 (6) The student loan office of each institution of higher learning is 24 directed to administer the loan forgiveness program provisions of this sec- 25 tion, including the supplying of all necessary forms and the verifying, before 26 each registration and at the expiration of the contract, of each person's com- 27 pliance with the terms of the contract and collect and account for any neces- 28 sary repayment of funds. Upon successful completion of the terms of the con- 29 tract, the promissory note shall be forgiven. The state board of education 30 shall annually determine the interest rate for new promissory notes. Loan 31 repayments shall be allocated to support new student education incentive loan 32 forgiveness contracts. 33 (67) Any violation of the terms of the contract shall obligate the person 34 to repay all fees which the person as a student was allowed to waive, as 35 determined by the affected institution. 36 (78) Each affected institution shall in its preparation of future budgets 37 include therein costs resultant from fee loss for reimbursement from appropri- 38 ations of state funds.
STATEMENT OF PURPOSE RS 14400C2 The current statute sets the number of potential teacher (16) and potential nurse (13) scholarships and then directs the number at each participating institution. Currently, if one of the state institutions is not able to use the contract, or chooses not to participate in the program, the contract goes unused. This legislation provides the Office of the State Board of Education the ability to redistribute the unused contracts and allow Easatern Idaho Technical College to be a participatng institution. Further, the current statute requires that potential teachers be recent graduates from a postsecondary school in Idaho within the previous two (2) years. Because they may not be accepted into the teacher program until the junior year, this hinders some students from accepting the contracts. This legislation amends the language to remove or expand this time limit, which would allow more students to be eligible for consideration. FISCAL IMPACT There are no additional funds anticipated with this action. CONTACT Name: Dana Kelly Agency: Office of the State Board of Education Phone: 332-1574 STATEMENT OF PURPOSE/FISCAL NOTE H 18