§ 605. Academic performance awards. 1. Regents college scholarships.
Regents college scholarships shall be awarded to students completing
their high school programs for attendance in approved programs, on the
basis of nationally established competitive examinations.

a. County allocation. Twenty-five thousand such scholarships shall be
awarded each year and shall be allocated to each county in the state in
the same ratio that the number of students residing in such county who
were graduated from approved high schools in the state during the school
year preceding the date of the examination for the award of such
scholarships bears to the total number of students residing in the state
who were graduated from approved high schools in the state during such
school year; provided, that no county shall be allocated fewer than
forty scholarships, except that Hamilton county shall be allocated no
fewer than sixteen scholarships. In the event that a scholarship awarded
pursuant to this paragraph is declined by a student or for any reason
revoked by the commissioner or the president, its benefits shall lapse
and there shall be no further payment or reawarding of such scholarship.

b. School allocation. If in any year the candidates who are graduates
of a given approved high school in the state and who are awarded
scholarships under paragraph a of this subdivision do not constitute at
least one person for every forty persons who were graduated from such
school during the school year preceding the date of the examination for
the award of such scholarships, then additional scholarships shall be
awarded in such year in the number required to provide such allocation
of scholarship awards for each such school, and such additional
scholarships shall be awarded directly to candidates from each such
school in accordance with the provisions of section six hundred two of
this chapter. In the event that a scholarship awarded pursuant to this
paragraph is declined by a student or for any reason revoked by the
commissioner or the president, its benefits shall lapse and there shall
be no further payment or reawarding of such scholarship.

2. Regents professional education in nursing scholarships. Regents
professional education in nursing scholarships shall be awarded on the
same basis as regents college scholarships to students completing their
high school programs for attendance in programs for the training of
registered professional nurses at colleges or schools approved by the
regents. Eight hundred such scholarships shall be awarded each year.
Such scholarships shall be allocated to each county in the state in the
same ratio that the number of students residing in such county who were
graduated from approved high schools in the state during the school year
preceding the date of the examination for the award of such scholarships
bears to the total number of students residing in the state who were
graduated from approved high schools in the state during such school
year, provided, that no county shall be allocated fewer than four
scholarships, except that Fulton and Hamilton counties shall each be
allocated no fewer than two scholarships; provided, however, that no
county shall be allocated fewer scholarships than such county received
during the year nineteen hundred seventy-two--nineteen hundred
seventy-three.

3. Regents professional education in medicine or dentistry
scholarships. Regents professional education in medicine or dentistry
scholarships shall be awarded annually, on a competitive basis, to
students beginning professional study in medicine or dentistry. One
hundred such scholarships shall be awarded annually, and shall be
classified and allocated in accordance with regents rules. The
provisions of this subdivision shall only apply to any recipient who
receives his or her first award payment prior to the nineteen hundred
eighty-five--nineteen hundred eighty-six academic year.

3-a. Regents professional education in optometry scholarships. Regents
professional education in optometry scholarships shall be awarded
annually, on a competitive basis, to students beginning professional
study in optometry. Five such scholarships shall be awarded annually in
optometry, and shall be classified and allocated in accordance with
regents rules. The provisions of this subdivision shall only apply to
any recipient who receives his or her first award payment prior to the
nineteen hundred eighty-five--nineteen hundred eighty-six academic year.

3-b. Regents professional education in veterinary medicine
scholarships. Regents professional education in veterinary medicine
scholarships shall be awarded annually, on a competitive basis, to
students beginning professional study in veterinary medicine. Ten such
scholarships shall be awarded annually in veterinary medicine, and shall
be classified and allocated in accordance with regents rules. The
provisions of this subdivision shall only apply to any recipient who
receives his or her first award payment prior to the nineteen hundred
eighty-five--nineteen hundred eighty-six academic year.

4. Regents physician shortage scholarships. At least thirty percent of
the regents professional education in medicine or dentistry scholarships
awarded each year shall be awarded to students beginning or engaged in
the professional study in medicine who agree to practice medicine upon
completion of their professional training in an area in New York state
designated as having a shortage of physicians, provided, however, that
to the extent that regents physician shortage scholarships are not
awarded, such scholarships shall be awarded as regents professional
education in medicine and dentistry scholarships. The provisions of this
subdivision shall only apply to any recipient who receives his or her
first award payment prior to the nineteen hundred eighty-five--nineteen
hundred eighty-six academic year.

a. In selecting and certifying scholarship recipients under this
section, priority shall be accorded to applicants in the following
order:

(1) first, to any applicant who (1) has a family income of six
thousand dollars or less and (2) resides in an area designated as having
a shortage of physicians pursuant to paragraph c of this subdivision;

(2) second, to any applicant who has a family income of six thousand
dollars or less;

(3) third, to any applicant who (1) has a family income of ten
thousand dollars or less and (2) resides in an area designated as having
a shortage of physicians pursuant to paragraph c of this subdivision;

(4) fourth, to any applicant who has a family income of ten thousand
dollars or less;

(5) fifth, to any other applicant.

b. With respect to recipients who have received award payments prior
to the nineteen hundred eighty-two--nineteen hundred eighty-three
academic year, with such time as the commissioner shall by regulation
provide, a recipient of an award shall have practiced medicine in an
area designated as having a shortage of physicians pursuant to paragraph
d of this subdivision for that number of months calculated by
multiplying by nine the number of annual awards he received. If a
recipient fails to comply fully with such condition, the president shall
be entitled to recover from such recipient an amount which bears the
same ratio to (a) the aggregate of the amount of the awards received as
(b) the number of months the recipient failed to comply with this
condition bears to the number of months he was obligated to comply with
this condition, together with interest at seven percent per annum
computed from the date on which he completed his professional training
and/or active military service. A recipient shall not be required to
comply with the provisions of this paragraph unless he shall have
received a medical degree and any obligation to comply with such
provisions shall be cancelled upon his death. The regents shall make
regulations to provide for the waiver or suspension of any financial
obligation where compliance would involve extreme hardship.

c. The requirements of this paragraph shall apply to any recipient who
receives his or her first award payment commencing with the nineteen
hundred eighty-two--nineteen hundred eighty-three academic year or
subsequently, and the requirements of paragraph (b) of this subdivision
shall not apply to such recipients. Within such time as the commissioner
shall by regulation provide, a recipient of an award shall have
practiced medicine in an area designated as having a shortage of
physicians pursuant to paragraph (d) of this subdivision for that number
of months calculated by multiplying by nine the number of annual awards
received by the recipient. If a recipient fails to comply fully with
such condition, the president shall be entitled to recover from such
recipient an amount 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 awards paid 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 service actually rendered by the
recipient. Any amount which the president is entitled to recover under
this paragraph shall be paid within the one year period beginning on the
date that the recipient failed to comply with this condition. A
recipient shall not be required to comply with the provisions of this
paragraph unless he or she shall have received a medical degree and
until he or she shall have completed his or her professional training,
or active military service, or both. Any obligation to comply with such
provisions shall be cancelled upon the death of the recipient. The
commissioner shall make regulations to provide for the waiver or
suspension of any financial obligation where compliance would involve
extreme hardship.

d. The regents, after consultation with the commissioner of health,
shall designate those areas of New York state which have a shortage of
physicians for the purposes of this subdivision and, should it be
necessary in selecting among the applicants, may establish relative
rankings of those areas.

e. A recipient of an award shall report annually to the New York state
higher education services corporation, on forms prescribed by it, as to
the performance of the required services or the recipient's current
status, commencing the calendar year following graduation from medical
school and continuing until the recipient shall have completed, or it is
determined he or she shall not be obligated to complete, the required
services. The corporation may also require recipient to file a report on
his or her current status prior to graduation during any calendar year
in which an application for an additional award is not filed. If the
recipient shall fail to file any report required hereunder within thirty
days of written notice to the recipient, mailed to the address shown on
the last application for an award or last report filed, whichever is
later, the president of the corporation may impose a fine of up to one
thousand dollars. The president shall have the discretion to waive the
filing of a report, excuse a delay in filing, or a failure to file a
report, or waive or reduce any fine imposed for good cause shown.

5. Regents scholarships for war veterans. Regents scholarships for war
veterans shall be awarded on a competitive basis, for study beginning
with the college year nineteen hundred seventy-five--nineteen hundred
seventy-six. Six hundred such scholarships shall be awarded in such year
to veterans of the armed forces of the United States who have served on
active duty (other than for training) between October one, nineteen
hundred sixty-one and March twenty-nine, nineteen hundred seventy-three,
and who on the date by which applications are required to be submitted
(a) have been released from such active duty on conditions not other
than honorable, or (b) have a qualifying condition, as defined in
section one of the veterans' services law, and have received a discharge
other than bad conduct or dishonorable from such service, or (c) are
discharged LGBT veterans, as defined in section one of the veterans'
services law, and have received a discharge other than bad conduct or
dishonorable from such service. Such scholarships shall be allocated to
each county in the state in the same ratio that the number of legal
residents in such county, as determined by the most recent federal
census, bears to the total number of residents in the state; provided,
however, that no county shall be allocated fewer scholarships than such
county received during the year nineteen hundred
sixty-eight--sixty-nine.

6. Regents scholarships in Cornell University. a. Number. Cornell
University shall grant, on a competitive basis, tuition reducing
scholarships, to be known as regents scholarships in Cornell University,
in the total amount of at least thirty thousand dollars each year for
new freshman awards. At least one such scholarship shall be awarded
annually for each senate district of the state.

b. Amount. Each such scholarship shall entitle the recipient to a
credit against tuition in any of the tuition paying divisions of Cornell
University for four years or five years, depending on the number of
years required for the baccalaureate. The tuition credit for each such
scholarship shall be determined by Cornell University on the basis of
the financial status of the scholarship holder as related to the cost of
education at such university. No such scholarship shall reduce the
tuition by less than one hundred dollars nor by more than one thousand
dollars.

c. Eligible list. Such scholarships shall be awarded annually by
Cornell University in the order of merit to candidates who meet the
requirements for admission to Cornell University and whose names appear
on lists established as the result of competitive examinations prepared
under the direction of the commissioner of education. In the award of
such scholarships, preference shall be given, where other qualifications
are equal, to the children of those who have died in the military
service of the United States.

d. Statewide list. If a scholarship belonging to a senate district
shall not be claimed by a resident thereof or if there be no resident of
such senate district entitled to such a scholarship, any sum available
for a scholarship or scholarships for residents of such senate district,
together with any unexpended balance of the total amount of thirty
thousand dollars, shall be used to make awards to additional candidates
in order of merit from a statewide list.

e. Report. A complete list of the names and addresses of the
scholarship recipients, and the amount of tuition credit granted to
them, shall be filed by Cornell University with the commissioner and the
president not later than October first of each year.

7. Empire state challenger scholarships for teachers. Empire state
challenger scholarships for prospective elementary and secondary school
teachers of mathematics or science or other fields of teacher shortage
as identified by the commissioner on or after January first, nineteen
hundred eighty-six, shall be awarded on a competitive basis as
determined by the commissioner, for study beginning with the college
year nineteen hundred eighty-four--eighty-five or thereafter. a.
Twenty-six such scholarships shall be awarded annually to residents of
each judicial district as defined in section one hundred forty of the
judiciary law, who enroll in a registered program for the preparation of
teachers in such teacher shortage fields at any New York institution of
higher education. The commissioner shall to the extent practicable
ensure that recipients of such scholarships include individuals who are
unrepresented or underrepresented in the respective disciplines.

b. Within such time as the commissioner by regulations provide, the
recipient of an award shall have taught in the field or fields for which
the scholarship was awarded in an elementary or secondary school in New
York state for that number of months calculated by multiplying by five
the number of annual awards granted to the recipient except that a
recipient who as of July first, nineteen hundred ninety-three has
received fewer than three annual awards shall be exempt from such
conditions. If a recipient fails to comply fully with such condition,
the president shall be entitled to recover from such recipient an amount
which bears the same ratio to (i) the aggregate of the amount of the
awards received as (ii) the number of months the recipient failed to
comply with this condition bears to the number of months the recipient
was obligated to comply with this condition, together with interest at
ten percent per annum computed from the date on which the recipient
completed professional training. Such recovery may be made over such
period of time as is prescribed by the president. Any obligation to
comply with such provisions shall be cancelled upon the recipient's
death. The commissioner shall adopt regulations to provide for the
waiver or suspension of any financial obligation in whole or in part
where compliance would involve severe hardship. In determining whether
to grant such waiver or suspension, the commissioner may consider
whether the recipient failed to complete the registered program for the
preparation of teachers or completed such program under financial
hardship by reason of the discontinuance of funding for the award of
scholarships pursuant to this subdivision.

7-a. New York state math and science teaching incentive program awards
pursuant to section six hundred sixty-nine-d of this title.

8. Empire state challenger fellowships for teachers. a. Six hundred
fifty Empire state challenger fellowships shall be awarded annually in
accordance with paragraphs b, c and d of this subdivision on a
competitive basis as determined by the commissioner to individuals
enrolled in a registered graduate program in any New York institution of
higher education which leads to permanent certification as a teacher of
mathematics or science or other fields of teacher shortage as identified
by the commissioner on or after January first, nineteen hundred
eighty-six. The commissioner shall to the extent practicable ensure that
recipients of such fellowships include individuals who are unrepresented
or underrepresented in the respective disciplines.

b. A maximum of twenty-five fellowships for full-time study shall be
reserved for teachers whose positions have been abolished within two
years preceding the date of application for a fellowship because of a
decline in student enrollment and who are qualified to pursue graduate
study to obtain certification to teach mathematics or science or other
fields of teacher shortage as identified by the commissioner on or after
January first, nineteen hundred eighty-six.

c. A maximum of four hundred twenty-five fellowships for full-time
study shall be reserved for individuals who have earned baccalaureate
degrees in mathematics, the physical sciences, the biological sciences,
engineering or other disciplines related to fields of teacher shortage
as identified by the commissioner on or after January first, nineteen
hundred eighty-six but are not eligible for provisional or permanent
certification, and who are qualified to pursue graduate study in a
program leading to the degree of master of arts in teaching, or the
equivalent as determined by the commissioner.

d. Not less than two hundred fellowships for part-time study shall be
made available to persons not receiving a fellowship reserved in
paragraphs b and c of this subdivision. In the event that there are
full-time fellowships reserved under such paragraphs b and c that have
not been awarded after awards have been made for all qualified
applicants, such excess number of fellowships shall be available for
award as part-time fellowships pursuant to this paragraph.

e. Within such time as the commissioner shall by regulation provide, a
recipient of an award shall have taught in the field or fields for which
the fellowship was awarded in an elementary or secondary school in New
York state for ten months for a full-time award or for that number of
months calculated by multiplying by five the number of part-time awards
granted to the recipient. If a recipient fails to comply fully with such
condition, the president shall be entitled to recover from such
recipient an amount which bears the same ratio to (i) the aggregate of
the amount of the awards received as (ii) the number of months the
recipient failed to comply with this condition bears to the number of
months the recipient was obligated to comply with this condition,
together with interest at ten percent per annum computed from the date
on which the recipient completed professional training. Such recovery
may be made over such period of time as is prescribed by the president.
Any obligation to comply with such provisions shall be cancelled upon
the recipient's death. The commissioner shall have regulations to
provide for the waiver or suspension of any financial obligation in
whole or part under this subdivision where compliance would involve
extreme hardship. In determining whether to grant such waiver or
suspension, the commissioner may consider whether the recipient failed
to complete the registered graduate program leading to permanent
certification as a teacher or completed such program under financial
hardship by reason of the discontinuance of funding for the award of
fellowships pursuant to this subdivision.

9. Regents physician loan forgiveness program. Regents physician loan
forgiveness awards shall be awarded annually to physicians who agree to
practice medicine in an area of New York state designated by the regents
as having a shortage of physicians. Such awards shall be classified and
allocated in accordance with regents rules.

a. Eligibility. (1) The applicant must be a resident of New York state
and licensed to practice medicine.

(2) The applicant must have completed a professional residency program
within the five years immediately preceding the period for which the
first award would be granted, or be within two years of completion of an
accredited residency program in a primary care specialty designated in
short supply by the board of regents.

(3) The applicant must agree to practice medicine in an area in New
York state designated as having a shortage of physicians. The regents,
after consultation with the commissioners of health, corrections and
community supervision, mental health and developmental disabilities,
shall designate those regions and facilities of New York state which
have a shortage of physicians for the purposes of this section and
establish relative rankings thereof.

b. Selection. The commissioner, in consultation with the commissioner
of health, shall establish criteria for the selection of participants in
the program. An applicant must satisfy at least one of the criteria
established. A priority shall be accorded to any applicant who is
completing the second year of the service requirement and is reapplying
for a new award. The criteria shall include but not be limited to the
following:

(i) reapplication for a new award by a person who is completing the
second year of a service requirement;

(ii) receipt of specific training in a primary care specialty or
obstetrics, determined by the regents to be in short supply;

(iii) receipt of specific training or experience in serving a shortage
area;

(iv) receipt of specific training or experience matching a specific
medical need existing in a shortage area; and

(v) agreement pursuant to subdivision (d) of this section to practice
in an area determined by the regents to have a severe shortage of
primary care physician services.

c. Notification. (1) The commissioner shall then forward approved
applications to the president and shall notify unsuccessful applicants;

(2) The president shall verify the approved applicants':

(i) eligibility; and

(ii) total undergraduate and medical school student expense;

(3) The president shall notify applicants of their award entitlement.

d. Service requirement. Within such time as the commissioner shall by
regulation provide, a recipient of an award shall have agreed to
practice medicine in a specific area designated as having a shortage of
physicians for a period of twelve months for each annual payment to be
received by the recipient. Physicians in training who receive an award
shall not receive credit toward their required service for time spent in
a training program. In no case shall the total number of months of
service required be less than twenty-four. The president shall, in
consultation with the commissioner, develop and secure from each award
recipient, a written agreement to:

(i) practice medicine in the designated shortage area;

(ii) to accept Medicare and Medicaid payments; and

(iii) to provide thirty-five hours per week of direct patient care in
the designated shortage area being served, or to the designated
population being served.
If a recipient fails to comply fully with such conditions, the president
shall be entitled to receive from such recipient 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 service actually rendered by the
recipient. Any amount which the president is entitled to recover under
this paragraph shall be paid within the five-year period beginning on
the date that the recipient failed to comply with this service
condition. Nothing in the written agreement shall affect the terms of
employment of the individual who shall negotiate, separate and apart
from the program, his or her salary and other forms of employment with
an agency, institution or a program in which he or she shall be
employed.

Any obligation to comply with such provisions as outlined in this
section shall be cancelled upon the death of the recipient. The
commissioner shall make regulations to provide for the waiver or
suspension of any financial obligation which would involve extreme
hardship.

e. Reporting. A recipient of an award shall report annually to the New
York state higher education services corporation, and the department of
health on forms prescribed by the president, as to the performance of
the required services, commencing with the calendar year in which the
recipient begins to practice medicine in a shortage area and continuing
until the recipient shall have completed, or it is determined that he or
she shall not be obligated to complete, the required services. If the
recipient shall fail to file any report required hereunder within thirty
days of written notice to the recipient, mailed to the address shown on
the last application for an award or last report filed, whichever is
later, the president of the corporation may impose a fine of up to one
thousand dollars. The president shall have the discretion to waive the
filing of a report, excuse a delay in filing or a failure to file a
report, or waive or reduce any fine imposed for good cause shown.

f. Other awards. Award recipients shall be eligible to apply for one
additional award.

* 10. Regents health care professional opportunity scholarships.
Regents health care professional opportunity scholarships shall be
awarded annually to students who are beginning or engaged in an approved
program in medicine or dentistry and who are economically disadvantaged
and/or members of an underrepresented minority group, provided, however,
that to the extent that regents health care professional opportunity
scholarships are not awarded, such scholarships shall be awarded as
regents professional opportunity scholarships. These scholarships shall
be classified and allocated in accordance with regents rules.

a. In selecting and certifying scholarship recipients under this
subdivision, priority shall be accorded to applicants in the following
order:

(1) First, to any applicant who is economically disadvantaged as
defined by the regents and a minority historically underrepresented in
the profession as determined by the regents after consultation with the
council on professional career opportunity created by section nine
hundred forty-one of the executive law;

(2) Second, to any applicant who is a minority underrepresented in the
profession as determined by the regents after consultation with the
council on professional career opportunity created by section nine
hundred forty-one of the executive law;

(3) Third, to any applicant who is a graduate of the state-sponsored
opportunity program pursuant to section sixty-four hundred fifty-one or
sixty-four hundred fifty-two of this chapter.

In the event that there are more applicants who have the same priority
than there are remaining scholarships, the commissioner shall distribute
the remaining number of such scholarships by means of a lottery or other
form of random selection.

b. The commissioner shall then forward approved applications to the
president and shall notify unsuccessful applicants.

c. The president shall notify applicants of their award entitlement.

d. The president shall, in consultation with the commissioner, develop
and secure from each successful applicant a written agreement to
practice medicine or dentistry, as appropriate, in a designated shortage
area. Within such time as the commissioner shall by regulation provide,
a recipient of an award shall have practiced medicine or dentistry in an
area designated as having a shortage of physicians or dentists, as
appropriate, for that number of months calculated by multiplying by
twelve the number of annual payments received by the recipient. In no
case shall the total number of months of service required be less than
twenty-four. If a recipient fails to comply fully with such conditions,
the president shall be entitled to receive from such recipient 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 service actually rendered by the
recipient. Any amount which the president is entitled to recover under
this paragraph shall be paid within the five-year period beginning on
the date that the recipient failed to comply with this service
condition. Nothing in the written agreement shall affect the terms of
employment of the individual who shall negotiate, separate and apart
from the program, his or her salary and other forms of employment with
an agency, institution or a program in which he or she shall be
employed.

Any obligation to comply with such provisions as outlined in this
section shall be cancelled upon the death of the recipient. The
commissioner shall make regulations to provide for the waiver or
suspension of any financial obligation which would involve extreme
hardship.

e. A recipient of an award shall report annually to the New York state
higher education services corporation, on forms prescribed by it, as to
the performance of the required services, commencing with the calendar
year in which the recipient begins to practice medicine or dentistry in
a shortage area and continuing until the recipient shall have completed,
or it is determined that he or she shall not be obligated to complete,
the required services. If the recipient shall fail to file any report
required hereunder within thirty days of written notice to the
recipient, mailed to the address shown on the last application for an
award or last report filed, whichever is later, the president of the
corporation may impose a fine of up to one thousand dollars. The
president shall have the discretion to waive the filing of a report,
excuse a delay in filing or a failure to file a report, or waive or
reduce any fine imposed for good cause shown.

* NB Scholarship terminated per ch. 31/85, as amended

* 11. Regents professional opportunity scholarships. a. Regents
professional opportunity scholarships shall be awarded annually to
students who are beginning or engaged in an approved program leading to
a degree in a profession licensed by the regents or other field
designated by the regents and who are economically disadvantaged and/or
members of an underrepresented minority group. Such scholarships shall
be classified and allocated in accordance with regents rules. In
selecting and certifying scholarship recipients under this subdivision,
priority shall be accorded to applicants in the following order:

(1) First, to any applicant who is economically disadvantaged as
defined by the regents and a minority historically underrepresented in
the profession or field as determined by the regents after consultation
with the council on professional career opportunity created by section
nine hundred forty-one of the executive law;

(2) Second, to any applicant who is a minority underrepresented in the
profession or field determined by the regents after consultation with
the council on professional career opportunity created by section nine
hundred forty-one of the executive law;

(3) Third, to any applicant who is enrolled in or is a graduate of the
state-sponsored opportunity program pursuant to section sixty-four
hundred fifty-one or sixty-four hundred fifty-two of this chapter.

In the event that there are more applicants who have the same priority
than there are remaining scholarships, the commissioner shall distribute
the remaining number of such scholarships by means of a lottery or other
form of random selection.

b. The commissioner shall then forward approved applications to the
president and shall notify unsuccessful applicants.

c. The president shall notify applicants of their award entitlement.

d. Within such time as the commissioner shall by regulation provide, a
recipient of an award shall have resided and been employed in a
profession or field designated by the regents in New York state for that
number of months calculated by multiplying by twelve the number of
annual awards received by the recipient. If a recipient fails to comply
fully with such condition, the state shall be entitled to recover from
such recipient an amount 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 awards paid 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 service actually rendered by the
recipient. Any amount which the president is entitled to recover under
this paragraph shall be paid within the five-year period beginning on
the date that the recipient failed to comply with this service
condition. Nothing in the written agreement shall affect the terms of
employment of the individual who shall negotiate, separate and apart
from the program, his or her salary and other forms of employment.

Any obligation to comply with such provisions as outlined in this
section shall be cancelled upon the death of the recipient. The
commissioner shall make regulations to provide for the waiver or
suspension of any financial obligation which would involve extreme
hardship.

e. A recipient of an award shall report annually to the New York state
higher education services corporation, on forms prescribed by it, as to
the performance of the required services, until the recipient shall have
completed, or it is determined that he or she shall not be obligated to
complete, the required services. If the recipient shall fail to file any
report required hereunder within thirty days of written notice to the
recipient, mailed to the address shown on the last application for an
award or last report filed, whichever is later, the president of the
corporation may impose a fine of up to one thousand dollars. The
president shall have the discretion to waive the filing of a report,
excuse a delay in filing or a failure to file a report, or waive or
reduce any fine imposed for good cause shown.

* NB Scholarship terminated per ch. 31/85, as amended

12. Empire state scholarships of excellence. One thousand empire state
scholarships of excellence shall be awarded each year, beginning with
the nineteen hundred eighty-six--nineteen hundred eighty-seven academic
year to students completing their high school programs who in each
county receive the highest scores on the nationally established
competitive examinations upon which the regents college scholarships are
based. The awarded scholarships shall be allocated to each county in the
state in the same ratio that the number of students residing in such
county who were graduated from approved high schools in the state during
the school year preceding the date of the examination for the award of
such scholarships bears to the total number of students residing in the
state who were graduates from approved high schools in the state during
such school year provided that no county shall be allocated less than
two scholarships, except Hamilton county which shall be allocated no
less than one scholarship. In the event that a scholarship awarded
pursuant to this subdivision is declined by a student, or, for any
reason, is revoked by the commissioner or the president, its benefits
shall lapse and there shall be no further payment or reawarding of such
scholarship.