PRIOR PRINTER'S NO. 212 PRINTER'S NO. 1479
No. 198 Session of 1983
INTRODUCED BY REIBMAN, ROMANELLI, SINGEL, RHOADES, LLOYD,
STAPLETON, ANDREZESKI AND O'PAKE, FEBRUARY 4, 1983
SENATOR HESS, EDUCATION, AS AMENDED, NOVEMBER 16, 1983
AN ACT
1 Amending the act of August 7, 1963 (P.L.549, No.290), entitled, <--
2 as amended, "An act creating the Pennsylvania Higher
3 Education Assistance Agency; defining its powers and duties;
4 conferring powers and imposing duties on the Governor,
5 President Pro Tempore of the Senate, Speaker of the House of
6 Representatives, Superintendent of Public Instruction and the
7 Department of Auditor General; and making appropriations,"
8 authorizing loan forgiveness for certain science and
9 mathematics teachers.
10 The General Assembly hereby finds and declares that:
11 (1) There is growing evidence that there is a shortage
12 in the number of individuals training to become science and
13 mathematics teachers in the Commonwealth system of basic
14 education.
15 (2) Historically, partial forgiveness of student loan
16 indebtedness has served as an appropriate and effective
17 vehicle for attracting students to areas in which there is
18 great need.
19 (3) Inasmuch as it would enhance the economic
20 development of the Commonwealth, a policy of partial loan
21 forgiveness for individuals preparing for careers as science
1 or mathematics educators on the elementary or secondary level
2 would be in the public interest.
3 AMENDING THE ACT OF AUGUST 7, 1963 (P.L.549, NO.290), ENTITLED, <--
4 AS AMENDED, "AN ACT CREATING THE PENNSYLVANIA HIGHER
5 EDUCATION ASSISTANCE AGENCY; DEFINING ITS POWERS AND DUTIES;
6 CONFERRING POWERS AND IMPOSING DUTIES ON THE GOVERNOR,
7 PRESIDENT PRO TEMPORE OF THE SENATE, SPEAKER OF THE HOUSE OF
8 REPRESENTATIVES, SUPERINTENDENT OF PUBLIC INSTRUCTION AND THE
9 DEPARTMENT OF AUDITOR GENERAL; AND MAKING APPROPRIATIONS,"
10 CLARIFYING AUTHORITY OF THE BOARD OF DIRECTORS TO ESTABLISH
11 THE RATE OF INTEREST ON CERTAIN STUDENT LOANS.
12 The General Assembly of the Commonwealth of Pennsylvania
13 hereby enacts as follows:
14 Section 1. The act of August 7, 1963 (P.L.549, No.290), <--
15 referred to as the Pennsylvania Higher Education Assistance
16 Agency Act, is amended by adding a section to read:
17 Section 4.4. Loan Forgiveness.--Pursuant to section
18 4(1.1)(iii), the board shall adopt a policy of and appropriate
19 procedures for granting partial forgiveness for loan recipients
20 who are employed as science and mathematics teachers in the
21 public school system of the Commonwealth.
22 Section 2. This act shall take effect immediately.
23 SECTION 1. SECTION 4(1) OF THE ACT OF AUGUST 7, 1963 <--
24 (P.L.549, NO.290), KNOWN AS THE PENNSYLVANIA HIGHER EDUCATION
25 ASSISTANCE AGENCY ACT, AMENDED DECEMBER 29, 1982 (P.L.1450,
26 NO.330), IS AMENDED TO READ:
27 SECTION 4. POWERS AND DUTIES.--IN FURTHERANCE OF THE
28 PURPOSES SET FORTH IN THIS ACT, THE BOARD OF DIRECTORS SHALL
29 HAVE THE FOLLOWING POWERS:
30 (1) TO MAKE, GUARANTEE, UNDERTAKE COMMITMENTS TO MAKE OR
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1 ACQUIRE AND PARTICIPATE WITH LENDING OR POSTSECONDARY
2 INSTITUTIONS IN THE MAKING OF LOANS, SERVICE OR OTHERWISE
3 PROVIDE LOANS OF MONEY UPON SUCH TERMS AND CONDITIONS AS THE
4 BOARD MAY PRESCRIBE WITHIN THE LIMITATIONS CONTAINED HEREIN OR
5 APPLICABLE FEDERAL LAW, AT SUCH RATES OF INTEREST AS ARE
6 DETERMINED BY THE AGENCY, TO LENDERS, POSTSECONDARY INSTITUTIONS
7 AND TO PERSONS WHO ARE RESIDENTS OF THIS STATE AND WHO PLAN TO
8 ATTEND OR ARE ATTENDING ANY APPROVED INSTITUTION OF HIGHER
9 EDUCATION ELIGIBLE UNDER THIS ACT OR APPLICABLE FEDERAL LAW, IN
10 THIS STATE OR ELSEWHERE TO ASSIST THEM IN MEETING THEIR EXPENSES
11 OF HIGHER EDUCATION. NO SUCH PERSON SHALL RECEIVE ANY LOAN OR
12 LOAN GUARANTEE IN EXCESS OF ANNUAL AND MAXIMUM LIMITS AS
13 ESTABLISHED BY THE BOARD OF DIRECTORS OR IN COMPLIANCE WITH
14 LIMITS ESTABLISHED FOR LOANS FUNDED, GUARANTEED OR REINSURED
15 UNDER FEDERAL LAWS. SUCH LOANS OR LOAN GUARANTEES SHALL BECOME
16 DUE AND PAYABLE AT THE DIRECTION OF THE BOARD OF DIRECTORS.
17 LOANS MADE OR GUARANTEED BY THE AGENCY SHALL NOT BE SUBJECT TO
18 THE PROVISIONS OF THE ACT OF JANUARY 30, 1974 (P.L.13, NO.6),
19 REFERRED TO AS THE LOAN INTEREST AND PROTECTION LAW, OR TO ANY
20 OTHER LAW WHICH ESTABLISHES A MAXIMUM INTEREST RATE WHICH MAY BE
21 CHARGED THEREON. THE BOARD OF DIRECTORS OF THE AGENCY SHALL HAVE
22 THE SOLE AUTHORITY AND DISCRETION TO ESTABLISH THE MAXIMUM
23 INTEREST RATES ON ALL LOANS MADE OR GUARANTEED BY THE AGENCY.
24 * * *
25 SECTION 2. THIS ACT SHALL TAKE EFFECT IMMEDIATELY.
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