PRIOR PRINTER'S NO. 372 PRINTER'S NO. 2291
No. 355 Session of 2001
INTRODUCED BY BISHOP, C. WILLIAMS, WASHINGTON, TRICH, THOMAS, STEELMAN, SHANER, MANDERINO, ROONEY, ROBERTS, FRANKEL, M. COHEN, CAPPABIANCA, BELFANTI, HORSEY, LAUGHLIN, STERN, WATERS, DeWEESE, COSTA, J. WILLIAMS, JAMES, ORIE, TIGUE, BUNT, WOJNAROSKI, BARD, BROWNE, STABACK AND CURRY, JANUARY 31, 2001
AS RE-REPORTED FROM COMMITTEE ON APPROPRIATIONS, HOUSE OF REPRESENTATIVES, AS AMENDED, JUNE 19, 2001
AN ACT 1 Providing limited student loan forgiveness for qualifying 2 education professionals and for functions of the Pennsylvania 3 Higher Education Assistance Agency. 4 The General Assembly of the Commonwealth of Pennsylvania 5 hereby enacts as follows: 6 Section 1. Short title. 7 This act shall be known and may be cited as the Education 8 Professional Loan Forgiveness Act. 9 Section 2. Definitions. 10 The following words and phrases when used in this act shall 11 have the meanings given to them in this section unless the 12 context clearly indicates otherwise: 13 "Agency." The Pennsylvania Higher Education Assistance 14 Agency. 15 "Department." The Department of Education of the 16 Commonwealth.
1 "Qualified applicant." An individual who meets the following 2 criteria: 3 (1) Is certified by the department to teach and is 4 employed in a full-time permanent teaching position. 5 (2) Is a resident of this Commonwealth. 6 (3) Executes a sworn affidavit, under penalty of 7 perjury, that the individual does not have a delinquent 8 payment owing to a Commonwealth agency. 9 (4) Was hired by the school district for employment for 10 the school years subsequent to the effective date of this 11 act. 12 "School district." Any of the following: 13 (1) A school district of the first class. 14 (2) A school district certified by the department as an 15 education empowerment district under Article XVII-B of the 16 act of March 10, 1949 (P.L.30, No.14), known as the Public 17 School Code of 1949. 18 Section 3. Education professional loan forgiveness. 19 (a) Eligibility.--A qualified applicant is eligible for 20 payment by the agency of a portion of the debt incurred by the 21 qualified applicant through the agency-administered guaranteed <-- 22 student loan FEDERALLY INSURED STUDENT LOAN programs for the <-- 23 education necessary to successfully complete a specified 24 bachelor's degree. 25 (b) Amount.--For each school year that the applicant is a 26 full-time permanent professional teacher in the A school <-- 27 district, the agency may forgive UP TO $2,500 PER YEAR of the <-- 28 applicant's loan up to a lifetime maximum of $10,000 per 29 teacher. 30 (c) Payment.--Payments shall be made in accordance with the 20010H0355B2291 - 2 -
1 procedures established by the agency. A loan forgiveness award 2 shall not be made for a loan that is in default at the time of <-- 3 the application. UPON WHICH THE QUALIFIED APPLICANT IS <-- 4 DELINQUENT IN PAYMENT AT THE TIME OF APPLICATION. 5 (d) Funding.--Loan forgiveness awards may be made to the 6 extent that funds are appropriated by the General Assembly. 7 Section 4. Educational empowerment loan forgiveness. <-- 8 (a) Eligibility.--A qualified applicant in an educational 9 empowerment district is eligible for payment by the agency of a 10 portion of the debt incurred by the applicant through the 11 agency-administered guaranteed student loan programs for the 12 education necessary to successfully complete a specific 13 bachelor's degree. 14 (b) Time period.--Eligibility under this section shall begin 15 with the establishment of the board of control under section 16 1705-B(a) of the act of March 10, 1949 (P.L.30, No.14), known as 17 the Public School Code of 1949, and shall continue until the 18 department removes the certification of the school district as 19 an educational empowerment district in accordance with section 20 1710-B of the Public School Code of 1949. 21 (c) Amount.--For each school year that the applicant is a 22 full-time permanent teacher in the school district and during 23 which the district is operated by the board of control as an 24 educational empowerment district, the agency shall forgive 25 $2,500 of the applicant's loan up to a lifetime maximum of 26 $10,000 per teacher. 27 (d) Payment.--Payments shall be made in accordance with the 28 procedures established by the agency. A loan forgiveness award 29 shall not be made for a loan that is in default at the time of 30 application. 20010H0355B2291 - 3 -
1 Section 5 4. Responsibility of agency. <-- 2 The agency shall administer this act and promulgate necessary 3 regulations to carry out this act. 4 Section 6 5. Effective date. <-- 5 This act shall take effect July 1, 2001, OR IMMEDIATELY, <-- 6 WHICHEVER IS LATER. L19L24VDL/20010H0355B2291 - 4 -