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                                                      PRINTER'S NO. 1167

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1040 Session of 1999


        INTRODUCED BY PETRONE, FAIRCHILD, MICHLOVIC, FICHTER, RUBLEY,
           HUTCHINSON, LEDERER, READSHAW, WOJNAROSKI, HORSEY, MANDERINO,
           LAUGHLIN, BEBKO-JONES, McILHATTAN, VAN HORNE, MYERS, SAINATO,
           CAWLEY, THOMAS, M. COHEN, ORIE, SURRA, LEVDANSKY, PESCI,
           COSTA, MELIO, HENNESSEY, YOUNGBLOOD, HERMAN, L. I. COHEN,
           MAHER, BROWNE, FREEMAN AND BISHOP, MARCH 23, 1999

        REFERRED TO COMMITTEE ON EDUCATION, MARCH 23, 1999

                                     AN ACT

     1  Providing for Commonwealth support for a Mental Health and
     2     Mental Retardation Staff Member Loan Forgiveness Program for
     3     Commonwealth residents who graduate from institutions of
     4     higher education and who apply their degrees to careers as
     5     mental health and mental retardation staff members in this
     6     Commonwealth.

     7     The General Assembly of the Commonwealth of Pennsylvania
     8  hereby enacts as follows:
     9  Section 1.  Short title.
    10     This act shall be known and may be cited as the Mental Health
    11  and Mental Retardation Staff Member Loan Forgiveness Program
    12  Act.
    13  Section 2.  Findings and declaration of purpose.
    14     The General Assembly finds and declares that:
    15         (1)  The number of college students planning to enter the
    16     mental health and mental retardation profession appears to be
    17     inadequate to meet the need for staff members in this
    18     Commonwealth.

     1         (2)  Demand from industry and other opportunities attract
     2     potential staff members away from the profession.
     3         (3)  The pool of qualified staff members has diminished.
     4         (4)  Payment of a portion of student loans for mental
     5     health and mental retardation staff members serves the
     6     important public purpose of encouraging new staff members to
     7     continue their careers in this Commonwealth.
     8  Section 3.  Definitions.
     9     The following words and phrases when used in this act shall
    10  have the meanings given to them in this section unless the
    11  context clearly indicates otherwise:
    12     "Agency."  The Pennsylvania Higher Education Assistance
    13  Agency.
    14     "Qualified applicant."  A person who meets all of the
    15  following criteria:
    16         (1)  Is a resident of this Commonwealth.
    17         (2)  Has successfully completed an undergraduate program
    18     at an accredited college or university.
    19         (3)  Has been hired as a full-time staff member by a
    20     county mental health or mental retardation service agency
    21     through a merit or civil service system approved by the
    22     Secretary of Public Welfare or by a private provider that is
    23     under contract with a county to provide mental health or
    24     mental retardation services.
    25         (4)  Has successfully completed both county and civil
    26     service probationary periods or, in the case of a contracted
    27     private provider, has successfully completed the provider's
    28     established probationary period.
    29         (5)  Is performing staff duties at a county mental health
    30     or mental retardation service agency or at a private provider
    19990H1040B1167                  - 2 -

     1     that is under contract with a county to provide mental health
     2     or mental retardation services.
     3         (6)  Has borrowed through a loan program administered by
     4     the Pennsylvania Higher Education Assistance Agency.
     5         (7)  Earns no more than $35,000 per annum.
     6         (8)  Is in the first year of full-time employment as a
     7     staff member or has been previously enrolled in the program.
     8     "Staff member."  A caseworker, direct caregiver, therapist,
     9  program coordinator or director.
    10  Section 4.  Mental Health and Mental Retardation Staff Member
    11                 Loan Forgiveness Program.
    12     (a)  General rule.--A qualified applicant who is selected for
    13  the Mental Health and Mental Retardation Staff Member Loan
    14  Forgiveness Program in accordance with this act shall be
    15  eligible for payment by the agency of a portion of the debt
    16  incurred by the applicant through an agency-administered loan
    17  program for the education necessary to be a mental health or
    18  mental retardation staff member in this Commonwealth. The agency
    19  may forgive a proportional part of the applicant's loan so that
    20  the loan may be entirely forgiven over four years of full-time
    21  staff work. No more than $2,500 shall be forgiven in any year,
    22  and no more than $10,000 shall be forgiven for any applicant.
    23  Payments shall be made in accordance with the procedures
    24  established by the agency.
    25     (b)  Limitation.--A loan forgiveness award shall not be made
    26  for a loan that is in default at the time of the application.
    27  Section 5.  Loan forgiveness awards.
    28     Recipients of the loan forgiveness awards shall be those
    29  mental health and mental retardation staff members who are
    30  working in and who have received a satisfactory rating from
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     1  either a county office of mental health or mental retardation
     2  service or a private provider under contract to a county. Each
     3  mental health or mental retardation staff member shall be
     4  required to submit such documentation of continued eligibility
     5  as the agency may require.
     6  Section 6.  Funding.
     7     Loan forgiveness awards may be made to the extent that funds
     8  are appropriated by the General Assembly and are sufficient to
     9  cover the administration of the program. In the event that
    10  funding is insufficient to fully fund administration and all
    11  eligible applicants, the agency shall utilize a random lottery
    12  system for determining which applicants receive loan forgiveness
    13  awards.
    14  Section 7.  Responsibility of agency.
    15     It shall be the responsibility of the agency to administer
    16  the Mental Health and Mental Retardation Staff Worker Loan
    17  Forgiveness Program established by this act and to adopt such
    18  regulations, policies, procedures and forms as are necessary and
    19  not inconsistent with the provisions of this act.
    20  Section 8.  Effective date.
    21     This act shall take effect in 60 days.






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