S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1167
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             January 10, 2023
                                ___________
 
 Introduced by Sen. OBERACKER -- read twice and ordered printed, and when
   printed to be committed to the Committee on Higher Education
 
 AN ACT to amend the education law, in relation to establishing the rural
   teacher education loan repayment program
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The education law is amended by adding a new section  676-a
 to read as follows:
   §  676-A.  RURAL  TEACHER  EDUCATION LOAN REPAYMENT PROGRAM. 1.  DEFI-
 NITIONS. FOR THE PURPOSES OF THIS SECTION:
   A. "RURAL SCHOOL DISTRICT" SHALL  MEAN  A  SCHOOL  DISTRICT  PROVIDING
 SERVICES WITHIN A RURAL AREA.
   B.  "RURAL  AREA" SHALL MEAN A COUNTY WITH A POPULATION OF TWO HUNDRED
 THOUSAND OR LESS; OR A TOWN WITH A POPULATION  DENSITY  OF  ONE  HUNDRED
 FIFTY OR LESS PER SQUARE MILE.
   C.  "STUDENT  LOAN  EXPENSES" SHALL MEAN THE AGGREGATE TOTAL OF ANNUAL
 STUDENT LOANS FOR THE COST OF  ATTENDANCE  AT  AN  UNDERGRADUATE  AND/OR
 GRADUATE INSTITUTION LEADING TO TEACHING CERTIFICATION. INTEREST PAID OR
 DUE  ON  SUCH  LOANS  SHALL  BE  DEEMED TO BE ELIGIBLE FOR REIMBURSEMENT
 PURSUANT TO THIS SECTION.
   2. ESTABLISHMENT. A. THERE SHALL BE ESTABLISHED WITHIN THE  DEPARTMENT
 THE  RURAL  TEACHER  EDUCATION  LOAN  REPAYMENT  PROGRAM. THE DEPARTMENT
 SHALL, IN COOPERATION AND COORDINATION WITH THE NEW  YORK  STATE  CENTER
 FOR  RURAL  SCHOOLS,  ANNUALLY IDENTIFY RURAL SCHOOL DISTRICTS WHICH ARE
 HAVING DIFFICULTY ATTRACTING AND RETAINING TEACHERS, AND DEVELOP  CRITE-
 RIA  UPON  WHICH AWARDS SHALL BE MADE TO TEACHERS WHO BECOME EMPLOYED BY
 SUCH IDENTIFIED RURAL SCHOOL DISTRICTS WHO  AGREE  TO  PROVIDE  TEACHING
 SERVICES WITHIN SUCH RURAL AREA FOR NOT LESS THAN FIVE YEARS.
   B.  THE  COMMISSIONER IS AUTHORIZED, WITHIN AMOUNTS MADE AVAILABLE FOR
 THE PURPOSES OF THIS SECTION, TO MAKE AWARDS  BEGINNING  JANUARY  FIRST,
 TWO  THOUSAND TWENTY-FOUR, TO A TEACHER WHO AS DETERMINED BY THE COMMIS-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD03514-01-3
              

 S. 1167                             2
 
 SIONER TO BE TAKING EMPLOYMENT IN  A  RURAL  AREA  IDENTIFIED  AS  BEING
 UNDERSERVED,  WHO  IS  LICENSED TO TEACH IN THIS STATE AND WHO AGREES TO
 FOR AT LEAST FIVE YEARS TEACH IN SUCH RURAL AREA. SUCH A  TEACHER  SHALL
 BE  ELIGIBLE FOR A LOAN REPAYMENT AWARD OF UP TO TWENTY THOUSAND DOLLARS
 PER YEAR.
   3. AWARDS. RURAL TEACHER EDUCATION  LOAN  REPAYMENT  AWARDS  SHALL  BE
 AWARDED  ANNUALLY.  SUCH  AWARDS  SHALL BE ALLOCATED BY THE PRESIDENT IN
 ACCORDANCE WITH THE CRITERIA ESTABLISHED PURSUANT TO SUBDIVISION TWO  OF
 THIS SECTION.
   4.  LIMIT  ON AWARDS. LOAN REPAYMENT AWARDS MADE TO A TEACHER PURSUANT
 TO SUBDIVISION TWO OF THIS SECTION SHALL NOT EXCEED THE TOTAL QUALIFYING
 OUTSTANDING DEBT OF THE TEACHER FROM STUDENT LOANS TO COVER TUITION  AND
 OTHER RELATED EDUCATIONAL EXPENSES, MADE BY OR GUARANTEED BY THE FEDERAL
 OR  STATE  GOVERNMENT,  OR  MADE BY A LENDING OR EDUCATIONAL INSTITUTION
 APPROVED UNDER TITLE IV OF THE FEDERAL HIGHER EDUCATION ACT. LOAN REPAY-
 MENT AWARDS SHALL BE USED SOLELY TO REPAY SUCH OUTSTANDING DEBT.
   5. DEFAULT. WITHIN SUCH TIME AS THE COMMISSIONER SHALL  BY  REGULATION
 PROVIDE,  A RECIPIENT OF AN AWARD SHALL HAVE PRACTICED AS A TEACHER IN A
 RURAL AREA IN THE STATE. IF A RECIPIENT FAILS TO COMPLY FULLY WITH  SUCH
 CONDITIONS, THE PRESIDENT SHALL BE ENTITLED TO RECEIVE FROM SUCH RECIPI-
 ENT AN AMOUNT TO BE DETERMINED BY THE FORMULA:
   A = 2B(T-S)
      ________
         T
 IN  WHICH "A" IS THE AMOUNT THE PRESIDENT IS ENTITLED TO RECOVER, "B" IS
 THE SUM OF ALL PAYMENTS MADE TO THE RECIPIENT AND THE INTEREST  ON  SUCH
 AMOUNT WHICH WOULD BE PAYABLE IF AT THE TIMES SUCH AWARDS WERE PAID THEY
 WERE  LOANS  BEARING INTEREST AT THE MAXIMUM PREVAILING RATE; "T" IS THE
 TOTAL NUMBER OF MONTHS IN THE RECIPIENT'S PERIOD OF OBLIGATED  SERVICES;
 AND  "S"  IS  THE  NUMBER OF MONTHS OF SERVICES ACTUALLY RENDERED BY THE
 RECIPIENT. ANY AMOUNT WHICH THE PRESIDENT IS ENTITLED TO  RECOVER  UNDER
 THIS  SUBDIVISION SHALL BE PAID WITHIN THE FIVE-YEAR PERIOD BEGINNING ON
 THE DATE THAT THE RECIPIENT FAILED TO COMPLY WITH  THIS  CONDITION.  ANY
 OBLIGATION  TO  COMPLY  WITH  SUCH PROVISIONS SHALL BE CANCELED UPON THE
 DEATH OF THE RECIPIENT. THE COMMISSIONER SHALL PROMULGATE REGULATIONS TO
 PROVIDE FOR THE WAIVER OR SUSPENSION OF ANY  FINANCIAL  OBLIGATION  WHEN
 COMPLIANCE WOULD INVOLVE EXTREME HARDSHIP.
   6.  RULES.  THE  COMMISSIONER  SHALL  CONSULT  WITH THE NEW YORK STATE
 CENTER FOR RURAL SCHOOLS, AND THE COMMISSIONER, IN COORDINATION WITH THE
 CORPORATION, SHALL PROMULGATE REGULATIONS TO EFFECTUATE  THE  PROVISIONS
 AND PURPOSES OF THIS SECTION.
   § 2. This act shall take effect on the one hundred twentieth day after
 it  shall have become a law. Effective immediately, the addition, amend-
 ment and/or repeal of any criteria, rule or regulation necessary for the
 implementation of this act on its effective date are  authorized  to  be
 made and completed on or before such effective date.