S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5248
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 12, 2021
                                ___________
 
 Introduced  by M. of A. GUNTHER -- read once and referred to the Commit-
   tee on Higher Education
 
 AN ACT to amend the education law, in relation to the get on  your  feet
   loan forgiveness program
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Section 679-g of the education law, as added by  section  1
 of  part  C  of  chapter  56  of the laws of 2015, is amended to read as
 follows:
   § 679-g. New York state get on your feet loan forgiveness program.  1.
 Purpose.  The  president shall grant student loan forgiveness awards for
 the purpose of alleviating the burden of federal student loan  debt  for
 recent New York state college graduates.
   2.  Eligibility. To be eligible for an award pursuant to this section,
 an applicant shall: (a) have graduated from a high school located in New
 York state or attended an approved New York state program  for  a  state
 high school equivalency diploma and received such high school equivalen-
 cy diploma; (b) have graduated and obtained an undergraduate OR GRADUATE
 degree from a college or university with its headquarters located in New
 York state in or after the two thousand fourteen--fifteen academic year;
 (c)  apply  for this program within two years of obtaining [such] EITHER
 AN ASSOCIATES, UNDERGRADUATE OR GRADUATE degree; (d) be a participant in
 a federal income-driven repayment plan whose payment amount is generally
 ten percent of discretionary  income;  (e)  have  income  of  less  than
 [fifty]  SIXTY  thousand dollars; (f) comply with subdivisions three and
 five of section six hundred sixty-one of this part; [and]  (g)  work  in
 New  York  state, if employed[.]; AND (H) MAY BE CURRENTLY EMPLOYED AT A
 PROGRAM OR SERVICE THAT IS REGULATED, OPERATED, FUNDED  OR  APPROVED  BY
 THE  DEPARTMENT  OF  MENTAL  HYGIENE.  FURTHER, FOR APPLICANTS CURRENTLY
 EMPLOYED AT A PROGRAM OR SERVICE THAT IS REGULATED, OPERATED, FUNDED  OR
 APPROVED BY THE DEPARTMENT OF MENTAL HYGIENE SUCH APPLICANTS SHALL AGREE
 TO WORK ON AT LEAST A PART-TIME BASIS FOR THE THIRTY-SIX MONTH PERIOD OF
 THE REPAYMENT PERIOD OF THEIR INCOME-DRIVEN REPAYMENT PLAN UNDER FEDERAL
 LAW  AND MAINTAIN RESIDENCY IN NEW YORK STATE FOR SUCH PERIOD OF EMPLOY-
              

 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD02765-01-1

 A. 5248                             2
 
 MENT. For purposes of this program, "income" shall be the total adjusted
 gross income of the applicant and the applicant's spouse, if applicable.
   3.  Awards.  (A)  An  applicant whose annual income is less than fifty
 thousand dollars shall be eligible to receive  an  award  equal  to  one
 hundred  percent  of  his or her monthly federal income-driven repayment
 plan payments for twenty-four months  of  repayment  under  the  federal
 program.   Provided, however, that the awards granted under this section
 shall be deferred for a recipient who has been granted  a  deferment  or
 forbearance   under  the  federal  income-driven  repayment  plan.  Upon
 completion of such deferment or forbearance period, such recipient shall
 be eligible to receive an award for the remaining time period under this
 subdivision. A recipient who is not a resident of New York state at  the
 time  any payment is made under this program shall be required to refund
 such payments to the state.  The  corporation  shall  be  authorized  to
 recover  such  payments in accordance with rules and regulations promul-
 gated by the corporation. A student who is delinquent or in default on a
 student loan made under any statutory New York state or  federal  educa-
 tion  loan  program  or has failed to comply with the terms of a service
 condition imposed by an award made  pursuant  to  this  article  or  has
 failed  to  repay an award shall be ineligible to receive an award under
 this program until such delinquency, default or failure is cured.
   (B) AN APPLICANT WHOSE ANNUAL  INCOME  IS  LESS  THAN  SIXTY  THOUSAND
 DOLLARS  AND  CURRENTLY  EMPLOYED  AT A PROGRAM OR SERVICE THAT IS REGU-
 LATED, OPERATED, FUNDED OR APPROVED BY THE DEPARTMENT OF MENTAL  HYGIENE
 SHALL  BE  ELIGIBLE  TO RECEIVE AN AWARD EQUAL TO ONE HUNDRED PERCENT OF
 HIS OR HER MONTHLY FEDERAL INCOME-DRIVEN  REPAYMENT  PLAN  PAYMENTS  FOR
 THIRTY-SIX  MONTHS  OF  THE  REPAYMENT PERIOD UNDER THE FEDERAL PROGRAM.
 PROVIDED, HOWEVER, THAT THE AWARDS GRANTED UNDER THIS SECTION  SHALL  BE
 DEFERRED FOR A RECIPIENT WHO HAS BEEN GRANTED A DEFERMENT OR FORBEARANCE
 UNDER  THE FEDERAL INCOME-DRIVEN REPAYMENT PLAN. UPON COMPLETION OF SUCH
 DEFERMENT OR FORBEARANCE PERIOD, SUCH RECIPIENT  SHALL  BE  ELIGIBLE  TO
 RECEIVE AN AWARD FOR THE REMAINING TIME PERIOD UNDER THIS SUBDIVISION. A
 RECIPIENT  WHO  IS  NOT  A  RESIDENT  OF  NEW YORK STATE AT THE TIME ANY
 PAYMENT IS MADE UNDER THIS PROGRAM SHALL  BE  REQUIRED  TO  REFUND  SUCH
 PAYMENTS  TO  THE  STATE. THE CORPORATION SHALL BE AUTHORIZED TO RECOVER
 SUCH PAYMENTS IN ACCORDANCE WITH RULES AND  REGULATIONS  PROMULGATED  BY
 THE  CORPORATION. A STUDENT WHO IS DELINQUENT OR IN DEFAULT ON A STUDENT
 LOAN MADE UNDER ANY STATUTORY NEW YORK STATE OR FEDERAL  EDUCATION  LOAN
 PROGRAM  OR  HAS  FAILED TO COMPLY WITH THE TERMS OF A SERVICE CONDITION
 IMPOSED BY AN AWARD MADE PURSUANT TO THIS ARTICLE OR HAS FAILED TO REPAY
 AN AWARD SHALL BE INELIGIBLE TO RECEIVE  AN  AWARD  UNDER  THIS  PROGRAM
 UNTIL SUCH DELINQUENCY, DEFAULT OR FAILURE IS CURED.
   4.  Rules and regulations. The corporation is authorized to promulgate
 rules and regulations, and may promulgate emergency  regulations  neces-
 sary  for  the implementation of the provisions of this section, INCLUD-
 ING, BUT NOT LIMITED TO, LIMITS ON THE AWARD AMOUNTS TO THOSE APPLICANTS
 CURRENTLY EMPLOYED AT A PROGRAM OR SERVICE THAT IS REGULATED,  OPERATED,
 FUNDED  OR  APPROVED  BY THE DEPARTMENT OF MENTAL HYGIENE BASED UPON THE
 APPLICANTS  ATTAINMENT  OF  EITHER  AN  ASSOCIATE'S  DEGREE,  BACHELOR'S
 DEGREE,  OR  GRADUATE  DEGREE AND A METHOD OF SELECTING RECIPIENTS IF IN
 ANY GIVEN YEAR THERE ARE INSUFFICIENT FUNDS TO COVER THE NEEDS OF APPLI-
 CANTS CURRENTLY EMPLOYED AT A PROGRAM  OR  SERVICE  THAT  IS  REGULATED,
 OPERATED,  FUNDED  OR  APPROVED  BY THE DEPARTMENT OF MENTAL HYGIENE AND
 ALREADY EMPLOYED RECIPIENTS.
   § 2. This act shall take effect immediately.