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                                                       PRINTER'S NO. 268

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 242 Session of 2005


        INTRODUCED BY NAILOR, FLICK, TIGUE, ALLEN, BALDWIN, BELARDI,
           BUNT, CALTAGIRONE, CAPPELLI, CORRIGAN, CRUZ, DeLUCA, DeWEESE,
           EACHUS, FREEMAN, GEIST, GERGELY, GINGRICH, GOOD, GOODMAN,
           GRUCELA, HARHAI, HENNESSEY, HERMAN, KIRKLAND, LESCOVITZ,
           MANN, McILHATTAN, MELIO, MUNDY, O'NEILL, PYLE, READSHAW,
           ROEBUCK, SAINATO, SATHER, SCAVELLO, SHANER, SOLOBAY, STABACK,
           STURLA, SURRA, E. Z. TAYLOR, J. TAYLOR, THOMAS, TRUE, WATSON,
           WOJNAROSKI, YOUNGBLOOD, BROWNE, BOYD, WHEATLEY AND BISHOP,
           FEBRUARY 8, 2005

        REFERRED TO COMMITTEE ON EDUCATION, FEBRUARY 8, 2005

                                     AN ACT

     1  Providing for a limited loan forgiveness program for certified
     2     Pennsylvania residents who teach in an empowerment district.

     3     The General Assembly of the Commonwealth of Pennsylvania
     4  hereby enacts as follows:
     5  Section 1.  Short title.
     6     This act shall be known and may be cited as the Loan
     7  Forgiveness Program for Empowerment District Educators.
     8  Section 2.  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     "Department."  The Department of Education of the


     1  Commonwealth.
     2     "Education empowerment list."  A list prepared annually by
     3  the Department of Education containing school districts that
     4  fall below certain academic assessments as provided in section
     5  1703-B of the act of March 10, 1949 (P.L.30, No.14), known as
     6  the Public School Code of 1949.
     7     "Empowerment district."  A school district certified by the
     8  Department of Education as an empowerment district under Article
     9  XVII-B of the act of March 10, 1949 (P.L.30, No.14), known as
    10  the Public School Code of 1949.
    11     "Program."  The Loan Forgiveness Program for Empowerment
    12  District Educators.
    13     "Qualified applicant."  A person who, in that person's first
    14  year of full-time teaching and in each subsequent year, meets
    15  all of the following criteria:
    16         (1)  Has graduated from an undergraduate or graduate
    17     institution of higher education.
    18         (2)  Is certified by the Department of Education to
    19     teach.
    20         (3)  Executes a sworn affidavit, under penalty of
    21     perjury, that the person does not have a delinquent payment
    22     owing to any Commonwealth agency.
    23         (4)  Was hired for employment subsequent to the effective
    24     date of this act to be a full-time permanent teacher in a
    25     school district which has been placed on the education
    26     empowerment list.
    27         (5)  Is an applicant for the Loan Forgiveness Program for
    28     Empowerment District Educators in the first year of full-time
    29     teaching.
    30  Section 3.  Program.
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     1     (a)  General rule.--Qualified applicants shall be eligible
     2  for payments by the agency of a portion of the debt incurred by
     3  the applicant through agency-administered federally insured loan
     4  programs for the education necessary to be certified to teach in
     5  Pennsylvania.
     6     (b)  Amounts to be forgiven.--For each consecutive school
     7  year that the qualified applicant is a full-time permanent
     8  teacher in a school district which has been placed on the
     9  education empowerment list, the agency shall pay up to $3,000 of
    10  the qualified applicant's loan up to $15,000 over a five-year
    11  period per qualified applicant, regardless of whether that
    12  district subsequently is removed from the education empowerment
    13  list.
    14     (c)  Payment.--Payments shall be made in accordance with
    15  procedures established by the agency. A loan forgiveness payment
    16  shall not be made for a loan that is in default at the time of
    17  application.
    18  Section 4.  Funding.
    19     Loan forgiveness payments may be made to the extent that
    20  funds are appropriated by the General Assembly.
    21  Section 5.  Agency duties.
    22     The agency shall administer the program and promulgate such
    23  regulations, policies, procedures and forms as are necessary and
    24  consistent with the provisions of this act.
    25  Section 6.  Effective date.
    26     This act shall take effect July 1, 2005, or immediately,
    27  whichever occurs later.


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