PRINTER'S NO. 3188
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
2240
Session of
2020
INTRODUCED BY ROZZI, HILL-EVANS, FREEMAN, HOWARD, McCLINTON,
CALTAGIRONE, JOHNSON-HARRELL, O'MARA, GALLOWAY, ZIMMERMAN,
SCHWEYER AND MADDEN, JANUARY 21, 2020
REFERRED TO COMMITTEE ON EDUCATION, JANUARY 21, 2020
AN ACT
Establishing the Student Loan Forgiveness for Farmers Program
and prescribing powers and duties of the Pennsylvania Higher
Education Assistance Agency.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Short title.
This act shall be known and may be cited as the Student Loan
Forgiveness for Farmers Act.
Section 2. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Agency." The Pennsylvania Higher Education Assistance
Agency.
"Agricultural product." Any agricultural commodity or
product, whether in raw or prepared form, including any
commodity or product derived from livestock that is intended for
human or livestock consumption or seed.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
"Approved institution of higher learning." An educational
institution offering postsecondary and graduate programs of
education, including vocational schools located in this
Commonwealth and approved by the agency.
"Award." A student loan forgiveness award under this act.
"Program." The Student Loan Forgiveness for Farmers Program
established under section 3.
Section 3. The Student Loan Forgiveness for Farmers Program.
(a) Establishment.--The Student Loan Forgiveness for Farmers
Program is established and shall be administered by the agency.
(b) Purpose.--The agency may grant student and training loan
forgiveness awards through the program for the purpose of
alleviating the burden of student loan debt for young and
beginning farmers.
(c) Eligibility criteria.--Awards shall be made on a
competitive basis to applicants who meet the eligibility
criteria under section 4 with special consideration of
applicants who are economically or historically disadvantaged.
(d) Rules and regulations.--The agency shall promulgate
rules and regulations regarding the determination of award
recipients.
Section 4. Loan forgiveness eligibility.
To be eligible for an award, an applicant must:
(1) Have graduated with a degree from an approved
institution of higher learning with an outstanding student
loan debt from obtaining the degree.
(2) Operate a farm or a component of a farm in this
Commonwealth on a full-time basis.
(3) Agree to operate the farm or component of the farm
for no less than five years after receiving the award.
20200HB2240PN3188 - 2 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
(4) Have not produced an agricultural product for more
than 10 consecutive years.
Section 5. Awards.
At least 10 awards may be granted to qualified applicants in
the amount of up to $10,000 per year, per applicant, not to
exceed a duration of five years and not to exceed the total
amount of the applicant's student training or loan debt. The
agency may grant the awards within the amount appropriated for
awards and based on the availability of funds. No one applicant
may receive more than a total of $50,000 upon the end of a five-
year period.
Section 6. Priority.
(a) First priority.--First priority shall be given to
veterans who apply to receive an award under the program.
(b) Second priority.--Second priority shall be given to
applicants who complete the second, third, fourth or fifth year
of full-time farm operation and reapply to receive an award
under the program.
(c) Third priority.--Third priority shall be given to
applicants who demonstrate economic need but did not receive an
award during the first year of the program's operation.
Section 7. Requirements for award recipients.
(a) Proof of eligibility.--An applicant who receives an
award under this act shall provide proof of eligibility under
section 4 to the agency for each year for which the applicant
receives an award.
(b) Farm operation requirement.--If an award recipient is
unable to operate a farm or component of a farm for the five-
year period required under section 4(3), the award recipient
shall not:
20200HB2240PN3188 - 3 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
(1) Receive an additional award.
(2) Be required to repay any award already received by
the award recipient under this act.
Section 8. Effective date.
This act shall take effect in 60 days.
20200HB2240PN3188 - 4 -
1
2
3
4
5