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H0203aa........................................................by EDUCATION
"HIGH NEED" COLLEGE LOAN FORGIVENESS - Adds to existing law to state the
public interest of the state of Idaho and legislative intent; to provide
for determination by the State Board of Education of educator fields
considered to be "high need"; to provide for educator eligibility criteria
for application to the "high need" loan forgiveness program and for loan
forgiveness; to provide for reimbursement of reasonable costs incurred by
educators who have not obtained a qualified educational loan; and to
provide for administration of the program by the board.
02/15 House intro - 1st rdg - to printing
02/16 Rpt prt - to Educ
02/22 Rpt out - rec d/p - to 2nd rdg
02/23 2nd rdg - to 3rd rdg
02/26 Ret'd to Educ
03/05 Rpt out - to Gen Ord
Rpt out amen - to engros
03/06 Rpt engros - 1st rdg - to 2nd rdg as amen
03/07 2nd rdg - to 3rd rdg as amen
03/08 3rd rdg as amen - Ret'd to Educ
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-ninth Legislature First Regular Session - 2007
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 203
BY EDUCATION COMMITTEE
1 AN ACT
2 RELATING TO EDUCATION; AMENDING CHAPTER 12, TITLE 33, IDAHO CODE, BY THE ADDI-
3 TION OF A NEW SECTION 33-1281, IDAHO CODE, TO STATE THE PUBLIC INTEREST OF
4 THE STATE OF IDAHO AND LEGISLATIVE INTENT, TO PROVIDE FOR DETERMINATION BY
5 THE STATE BOARD OF EDUCATION OF EDUCATOR FIELDS CONSIDERED TO BE "HIGH
6 NEED," TO PROVIDE FOR EDUCATOR ELIGIBILITY CRITERIA FOR APPLICATION TO THE
7 "HIGH NEED" LOAN FORGIVENESS PROGRAM AND FOR LOAN FORGIVENESS AND TO PRO-
8 VIDE FOR ADMINISTRATION OF THE PROGRAM BY THE BOARD; AND PROVIDING A SUN-
9 SET DATE.
10 Be It Enacted by the Legislature of the State of Idaho:
11 SECTION 1. That Chapter 12, Title 33, Idaho Code, be, and the same is
12 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
13 ignated as Section 33-1281, Idaho Code, and to read as follows:
14 33-1281. "HIGH NEED" EDUCATOR FORGIVABLE LOAN PROGRAM. (1) It is hereby
15 declared that it is in the public interest to encourage and assist individuals
16 to pursue a career as an educator in a "high need" field within the state of
17 Idaho. It is the intent of the legislature to create a loan forgiveness pro-
18 gram in which funds shall be used to forgive the qualified educational loans
19 of individuals who work in this state as "high need" educators.
20 (2) The state board of education shall determine annually the educator
21 fields that shall be considered "high need" under this section. The state
22 board of education shall consider those educator fields that have been identi-
23 fied as most difficult to fill in the annual report provided by the state
24 superintendent of public instruction. This determination shall be made by the
25 state board of education by resolution at any regular or special meeting, and
26 shall specify the educator fields that shall be considered "high need" for the
27 next succeeding school year.
28 (3) Any educator who is certified to serve in a "high need" field in this
29 state is eligible to apply to participate in this loan forgiveness program.
30 Qualified educational loans eligible for forgiveness include student loans
31 under the Stafford federal family education loan programs (FFEL), which may
32 include direct loans, FFEL lender loans or graduate student PLUS loans, fed-
33 eral Perkins loans or privately funded educational loans processed through
34 institutions of higher education for the purpose of defraying costs associated
35 with obtaining a baccalaureate or master's degree for an initial certificate,
36 or in the case of an existing educator, to recertify in a critical shortage
37 subject area. An educator must apply annually to the state board of education
38 for participation in this loan forgiveness program. Selection of educators for
39 loan forgiveness stipends shall be based on available funding, and such addi-
40 tional criteria as may be established in rule by the state board of education.
41 In the event that there is not sufficient funding to provide financial sti-
42 pends to all eligible educators, such criteria shall include a preference for
43 applications that are received earliest in time at the state board of educa-
2
1 tion during an application period.
2 (4) To be eligible for a financial stipend under this forgivable loan
3 program, an educator must agree to serve at least half-time in a "high need"
4 field in a public school in this state for a full school year. Service in a
5 "high need" field must occur during the school year for which such designation
6 is made. An educator who fulfills this commitment in a "high need" field shall
7 be eligible for loan forgiveness. The amount of loan forgiveness payments
8 available to an individual educator who fulfills this service requirement
9 shall be established annually by the state board of education, based on
10 available funding for this forgivable loan program, and shall not exceed
11 twenty percent (20%) of the outstanding qualified loan up to five thousand
12 dollars ($5,000) per educator for service during any one (1) school year, or
13 exceed a maximum amount of twenty thousand dollars ($20,000) per educator for
14 service during any consecutive five (5) year period. To be eligible to partic-
15 ipate in this loan forgiveness program an educator shall not be in default on
16 any educational loans, and during each service year must verify that he or she
17 has made all required contractual educational loan payments.
18 (5) The "high need" educator loan forgiveness program will be adminis-
19 tered by the state board of education, which shall determine the eligibility
20 for loan forgiveness for the program. The state board of education shall adopt
21 rules to implement this chapter, including rules relating to application
22 forms, processes, loan forgiveness payments, and deadlines.
23 SECTION 2. The provisions of this act shall be null, void and of no force
24 and effect on and after July 1, 2013.
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-ninth Legislature First Regular Session - 2007
Moved by Marriott
Seconded by Mortimer
IN THE HOUSE OF REPRESENTATIVES
HOUSE AMENDMENT TO H.B. NO. 203
1 AMENDMENTS TO SECTION 1
2 On page 2 of the printed bill, in line 11, delete "outstanding"; in line
3 17, following "payments." insert: "An educator who has fully or partially paid
4 his qualified educational loan prior to the effective date of this section is
5 eligible for the program under this section."; and following line 17, insert:
6 "(5) An educator who completed his education without obtaining a quali-
7 fied educational loan and who otherwise would be qualified pursuant to the
8 provisions of this section may apply to the state board of education for reim-
9 bursement of the reasonable educational costs incurred in obtaining a bacca-
10 laureate or master's degree in a "high need" field in amounts not to exceed
11 those set forth in subsection (4) of this section.";
12 and in line 18, delete "(5)" and insert: "(6)".
13 CORRECTION TO TITLE
14 On page 1, in line 7, following the second "FORGIVENESS" insert: ", TO
15 PROVIDE FOR REIMBURSEMENT OF REASONABLE COSTS INCURRED BY EDUCATORS WHO HAVE
16 NOT OBTAINED A QUALIFIED EDUCATIONAL LOAN".
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-ninth Legislature First Regular Session - 2007
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 203, As Amended
BY EDUCATION COMMITTEE
1 AN ACT
2 RELATING TO EDUCATION; AMENDING CHAPTER 12, TITLE 33, IDAHO CODE, BY THE ADDI-
3 TION OF A NEW SECTION 33-1281, IDAHO CODE, TO STATE THE PUBLIC INTEREST OF
4 THE STATE OF IDAHO AND LEGISLATIVE INTENT, TO PROVIDE FOR DETERMINATION BY
5 THE STATE BOARD OF EDUCATION OF EDUCATOR FIELDS CONSIDERED TO BE "HIGH
6 NEED," TO PROVIDE FOR EDUCATOR ELIGIBILITY CRITERIA FOR APPLICATION TO THE
7 "HIGH NEED" LOAN FORGIVENESS PROGRAM AND FOR LOAN FORGIVENESS, TO PROVIDE
8 FOR REIMBURSEMENT OF REASONABLE COSTS INCURRED BY EDUCATORS WHO HAVE NOT
9 OBTAINED A QUALIFIED EDUCATIONAL LOAN AND TO PROVIDE FOR ADMINISTRATION OF
10 THE PROGRAM BY THE BOARD; AND PROVIDING A SUNSET DATE.
11 Be It Enacted by the Legislature of the State of Idaho:
12 SECTION 1. That Chapter 12, Title 33, Idaho Code, be, and the same is
13 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
14 ignated as Section 33-1281, Idaho Code, and to read as follows:
15 33-1281. "HIGH NEED" EDUCATOR FORGIVABLE LOAN PROGRAM. (1) It is hereby
16 declared that it is in the public interest to encourage and assist individuals
17 to pursue a career as an educator in a "high need" field within the state of
18 Idaho. It is the intent of the legislature to create a loan forgiveness pro-
19 gram in which funds shall be used to forgive the qualified educational loans
20 of individuals who work in this state as "high need" educators.
21 (2) The state board of education shall determine annually the educator
22 fields that shall be considered "high need" under this section. The state
23 board of education shall consider those educator fields that have been identi-
24 fied as most difficult to fill in the annual report provided by the state
25 superintendent of public instruction. This determination shall be made by the
26 state board of education by resolution at any regular or special meeting, and
27 shall specify the educator fields that shall be considered "high need" for the
28 next succeeding school year.
29 (3) Any educator who is certified to serve in a "high need" field in this
30 state is eligible to apply to participate in this loan forgiveness program.
31 Qualified educational loans eligible for forgiveness include student loans
32 under the Stafford federal family education loan programs (FFEL), which may
33 include direct loans, FFEL lender loans or graduate student PLUS loans, fed-
34 eral Perkins loans or privately funded educational loans processed through
35 institutions of higher education for the purpose of defraying costs associated
36 with obtaining a baccalaureate or master's degree for an initial certificate,
37 or in the case of an existing educator, to recertify in a critical shortage
38 subject area. An educator must apply annually to the state board of education
39 for participation in this loan forgiveness program. Selection of educators for
40 loan forgiveness stipends shall be based on available funding, and such addi-
41 tional criteria as may be established in rule by the state board of education.
42 In the event that there is not sufficient funding to provide financial sti-
43 pends to all eligible educators, such criteria shall include a preference for
2
1 applications that are received earliest in time at the state board of educa-
2 tion during an application period.
3 (4) To be eligible for a financial stipend under this forgivable loan
4 program, an educator must agree to serve at least half-time in a "high need"
5 field in a public school in this state for a full school year. Service in a
6 "high need" field must occur during the school year for which such designation
7 is made. An educator who fulfills this commitment in a "high need" field shall
8 be eligible for loan forgiveness. The amount of loan forgiveness payments
9 available to an individual educator who fulfills this service requirement
10 shall be established annually by the state board of education, based on avail-
11 able funding for this forgivable loan program, and shall not exceed twenty
12 percent (20%) of the qualified loan up to five thousand dollars ($5,000) per
13 educator for service during any one (1) school year, or exceed a maximum
14 amount of twenty thousand dollars ($20,000) per educator for service during
15 any consecutive five (5) year period. To be eligible to participate in this
16 loan forgiveness program an educator shall not be in default on any educa-
17 tional loans, and during each service year must verify that he or she has made
18 all required contractual educational loan payments. An educator who has fully
19 or partially paid his qualified educational loan prior to the effective date
20 of this section is eligible for the program under this section.
21 (5) An educator who completed his education without obtaining a qualified
22 educational loan and who otherwise would be qualified pursuant to the provi-
23 sions of this section may apply to the state board of education for reimburse-
24 ment of the reasonable educational costs incurred in obtaining a baccalaureate
25 or master's degree in a "high need" field in amounts not to exceed those set
26 forth in subsection (4) of this section.
27 (6) The "high need" educator loan forgiveness program will be adminis-
28 tered by the state board of education, which shall determine the eligibility
29 for loan forgiveness for the program. The state board of education shall adopt
30 rules to implement this chapter, including rules relating to application
31 forms, processes, loan forgiveness payments, and deadlines.
32 SECTION 2. The provisions of this act shall be null, void and of no force
33 and effect on and after July 1, 2013.
STATEMENT OF PURPOSE
RS 16682C1
The purpose of this legislation is to increase the number of
qualified teachers who work in "high need" fields in Idaho's
public school system. This proposal creates an on-the-job' loan
forgiveness program in which funds shall be used to forgive the
qualified educational loans of individuals who become employed in
Idaho as "high need" educators.
Qualified loans would be forgiven at a maximum of 20% per year
for each year of successful completion of education employment.
Idaho's school districts have been experiencing difficulty
recruiting and retaining educators in various fields, especially
math and science. This proposal would assist school districts by
increasing the number of educators who are certified, and teach,
in these and other high need areas.
The proposal has a five-year sunset provision, and would continue
only if the statute were specifically continued by the
Legislature.
FISCAL NOTE
High Need Educator Loan Scholarship - In the first year, the
proposal would allow 100 eligible educators to receive up to
$5,000 per year (up to a total of $20,000 per educator) to repay
qualified educational loans. It is anticipated that 100
additional eligible educators would be added in years two through
five, for a total of 500 educators.
The first year cost would be $500,000, increasing by $500,000 for
each additional year, for a total of $2.5 million in year 5.
It is the intention of the sponsor that annual appropriations for
this program include carryover authority to allow for use in
subsequent fiscal years.
A specific appropriation for this program will be requested
during the 2007 legislative session if the enabling statute is
approved by the House and Senate.
CONTACT
Name: Karen Echeverria
Agency: Office of the State Board of Education
Phone: 332-1567
STATEMENT OF PURPOSE/FISCAL NOTE H 203