HF 737

as introduced - 93rd Legislature (2023 - 2024) Posted on 02/19/2024 04:30pm

A bill for an act
relating to higher education; establishing loan forgiveness and grants for home
care worker education; requiring reports; transferring money; appropriating money;
proposing coding for new law in Minnesota Statutes, chapter 136A.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [136A.1277] HOME CARE WORKER GRANTS.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin The commissioner of the Office of Higher Education
must establish a grant program for students working as home care workers.
new text end

new text begin Subd. 2. new text end

new text begin Eligibility. new text end

new text begin (a) To be eligible for a grant under this section, a student must:
new text end

new text begin (1) be enrolled at an eligible institution in a two- or four-year postsecondary program
that leads to a degree;
new text end

new text begin (2) have been employed as a home care worker no less than an average of ten hours per
week during the two months prior to applying for the grant;
new text end

new text begin (3) agree to continue working as a home care worker no less than an average of ten hours
per week during the academic period for which the grant is awarded;
new text end

new text begin (4) demonstrate financial need based on criteria established by the commissioner under
subdivision 3; and
new text end

new text begin (5) have made satisfactory academic progress as defined under section 136A.101,
subdivision 10.
new text end

new text begin (b) For purposes of this section, "home care worker" means an individual who is a
personal care assistant as defined in section 256B.0659, or a support worker as defined in
section 256B.85.
new text end

new text begin Subd. 3. new text end

new text begin Administration. new text end

new text begin (a) The commissioner must establish an application process
and other guidelines for implementing this program. The commissioner must notify grant
recipients of their award amounts by the following dates:
new text end

new text begin (1) for fall academic periods, recipients must be notified by August 15;
new text end

new text begin (2) for spring academic periods, recipients must be notified by December 1; and
new text end

new text begin (3) for summer academic periods, recipients must be notified by May 1.
new text end

new text begin These notification deadlines do not apply in cases where grants are awarded to home care
workers who applied after application deadlines and grant money was available after the
initial round of grants were awarded.
new text end

new text begin (b) Each academic year, the commissioner must determine each grant amount up to
$5,000 based on available funding, the number of eligible applicants, and the financial need
of each applicant.
new text end

new text begin (c) The commissioner must give equal consideration to all eligible applicants regardless
of the order that the application was received in before the application deadline.
new text end

new text begin (d) If there is insufficient grant money to provide a grant to all eligible applicants, the
commissioner shall prioritize the grants to eligible applicants based on:
new text end

new text begin (1) the financial need of an applicant; and
new text end

new text begin (2) the statewide distribution of grant money.
new text end

new text begin Subd. 4. new text end

new text begin Reporting. new text end

new text begin By February 15 of each year, the commissioner must submit a
report on the details of the program under this section to the legislative committees with
jurisdiction over higher education and human services finance and policy. The report must
include the following information:
new text end

new text begin (1) the number of eligible applicants and the number of home care workers receiving a
grant, each broken down by postsecondary institution;
new text end

new text begin (2) the total number of grants, the total dollar amount of all grants, and the average grant
amount; and
new text end

new text begin (3) other summary data identified by the commissioner as outcome indicators.
new text end

Sec. 2.

new text begin [136A.1786] HOME CARE WORKER LOAN FORGIVENESS PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the terms in this subdivision
have the meanings given.
new text end

new text begin (b) "Home care worker" means an individual who is a personal care assistant as defined
in section 256B.0659 or a support worker as defined in section 256B.85.
new text end

new text begin (c) "Qualified education loan" means a government, commercial, or foundation loan
used by an individual for actual costs paid for tuition and reasonable educational and living
expenses related to the postsecondary education of the home care worker.
new text end

new text begin Subd. 2. new text end

new text begin Creation of account. new text end

new text begin (a) A home care worker loan forgiveness program account
is established in the special revenue fund to provide home care workers with financial
assistance in repaying qualified education loans. The commissioner must use money from
the account to establish and administer the home care worker loan forgiveness program.
new text end

new text begin (b) Money in the home care worker loan forgiveness program account is appropriated
to the commissioner for purposes of this section, does not cancel, and is available until
expended.
new text end

new text begin Subd. 3. new text end

new text begin Eligibility. new text end

new text begin To be eligible to participate in the loan forgiveness program under
this section, an individual must:
new text end

new text begin (1) have been employed as a home care worker at least an average of two hours per week
for the six months prior to application;
new text end

new text begin (2) have qualified education loans;
new text end

new text begin (3) reside in Minnesota; and
new text end

new text begin (4) submit an application to the commissioner in the form and manner prescribed by the
commissioner.
new text end

new text begin Subd. 4. new text end

new text begin Loan forgiveness. new text end

new text begin (a) The commissioner may select eligible applicants each
year for participation in the home care worker loan forgiveness program, within the limits
of available funding. Applicants are responsible for securing their own qualified education
loans.
new text end

new text begin (b) For each year that the participant meets the eligibility requirements under subdivision
3, the commissioner must make annual disbursements directly to a home care worker equal
to the least of (1) $200 times the average weekly number of hours worked in the preceding
year as a home care worker, (2) $3,000, or (3) the balance of the participant's qualified
education loans. An individual may receive disbursements under this section for a maximum
of five years.
new text end

new text begin (c) The participant must provide the commissioner with verification that the full amount
of the loan repayment disbursement received by the participant has been applied toward a
qualified education loan. After each disbursement, verification must be received by the
commissioner and approved before the next repayment disbursement is made.
new text end

new text begin (d) If the participant receives a disbursement in the participant's fifth year of eligibility
or ceases to qualify for additional disbursements, the participant must provide the
commissioner with verification that the full amount of the participant's final loan repayment
disbursement was applied toward a qualified education loan. If a participant does not provide
the verification as required under this paragraph within 12 months of receipt of the final
disbursement, the commissioner must collect from the participant the amount paid in the
last disbursement to the participant under the loan forgiveness program plus interest at a
rate established according to section 270C.40. The commissioner must deposit the money
collected in the home care worker loan forgiveness program account.
new text end

Sec. 3. new text begin APPROPRIATIONS; HOME CARE WORKER GRANTS.
new text end

new text begin $....... in fiscal year 2024 and $ ....... in fiscal year 2025 are appropriated from the general
fund to the commissioner of the Office of Higher Education for home care worker grants
under Minnesota Statutes, section 136A.1277. The commissioner may use up to five percent
of this appropriation to administer the program. $....... is added to the base for fiscal year
2026 and later.
new text end

Sec. 4. new text begin TRANSFER; HOME CARE WORKER LOAN FORGIVENESS.
new text end

new text begin $....... in fiscal year 2024 and $....... in fiscal year 2025 are transferred from the general
fund to the home care worker loan forgiveness program account established in Minnesota
Statutes, section 136A.1786, subdivision 2. This transfer is added to the base for fiscal year
2026 and later. The commissioner of the Office of Higher Education may use up to five
percent of the amount transferred in this section to administer the loan forgiveness program.
new text end