SF 759

2nd Engrossment - 89th Legislature (2015 - 2016) Posted on 08/24/2015 03:47pm

A bill for an act
relating to education; postsecondary; providing a teacher shortage loan
forgiveness program; authorizing rulemaking; 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.1791] TEACHER SHORTAGE 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) The terms used in this section have the meanings
given them.
new text end

new text begin (b) "Qualified educational loan" means a government, commercial, or foundation
loan for actual costs paid for tuition and reasonable educational and living expenses
related to a teacher's preparation or further education.
new text end

new text begin (c) "School district" means an independent school district, special school district,
intermediate district, education district, special education cooperative, service cooperative,
a cooperative center for vocational education, or a charter school located in Minnesota.
new text end

new text begin (d) "Teacher" means an individual issued a teaching license by the Board of Teaching
who is employed by a school district to provide instruction in a teacher shortage area.
new text end

new text begin (e) "Teacher shortage area" means a school district or a subject area and licensure
field designated by the commissioner of education as a school district or an area and field
in which a shortage of teachers exists in Minnesota.
new text end

new text begin Subd. 2. new text end

new text begin Program established; administration. new text end

new text begin The commissioner shall establish,
administer, and publicize a teacher shortage loan forgiveness program. A teacher is
eligible for the program if the teacher is teaching in a teacher shortage area and complies
with the requirements of this section.
new text end

new text begin Subd. 3. new text end

new text begin Annual designation of teacher shortage areas. new text end

new text begin The commissioner of
education shall annually designate the teacher shortage areas. The commissioner of
education shall periodically survey school districts and approved teacher preparation
programs to identify teacher shortage areas.
new text end

new text begin Subd. 4. new text end

new text begin Application for loan forgiveness. new text end

new text begin Each applicant for loan forgiveness,
according to the commissioner's rules, shall:
new text end

new text begin (1) apply for teacher shortage loan forgiveness and promptly submit any additional
information required by the commissioner;
new text end

new text begin (2) annually reapply and submit information the commissioner requires to determine
the applicant's continued eligibility for loan forgiveness; and
new text end

new text begin (3) submit to the commissioner a completed affidavit, prescribed by the
commissioner, affirming the teacher is teaching in a teacher shortage area.
new text end

new text begin Subd. 5. new text end

new text begin Amount of loan forgiveness. new text end

new text begin To the extent funding is available, the
annual amount of teacher shortage loan forgiveness for an approved recipient shall not
exceed $3,000 or the cumulative balance of the recipient's qualified educational loans,
including principal and interest, whichever amount is less. Recipients must secure their
own qualified educational loans. A teacher who graduates from an approved teacher
preparation program is eligible to initially apply for the loan forgiveness program for five
consecutive years after graduation. A teacher who adds a licensure field in a teacher
shortage area may also apply for the loan forgiveness program for five consecutive years
immediately after adding the licensure field.
new text end

new text begin Subd. 6. new text end

new text begin Penalties. new text end

new text begin A teacher who submits a false or misleading application or
other false or misleading information to the commissioner may have his or her teaching
license suspended or revoked under section 122A.20 or may be subject to discipline
by the teacher's employing school district.
new text end

new text begin Subd. 7. new text end

new text begin Fund established. new text end

new text begin A teacher shortage loan forgiveness repayment fund
is created as a separate account in the special revenue fund in the state treasury for
depositing money appropriated to or received by the commissioner for this program.
Money deposited in the fund shall not revert to any state fund at the end of any fiscal year
but remains in the loan forgiveness repayment fund and is continuously available and
appropriated to the commissioner for loan forgiveness under this section.
new text end

new text begin Subd. 8. new text end

new text begin Annual reporting. new text end

new text begin The commissioner, annually by February 1, must
report to the chairs of the K-12 and higher education committees of the legislature on
the number of individuals who applied for, applied and qualified for, and received loan
forgiveness under this section, the teacher shortage areas in which teachers taught, the
amount paid to each program participant, and other summary data identified by the
commissioner as outcome indicators.
new text end

new text begin Subd. 9. new text end

new text begin Rulemaking. new text end

new text begin The commissioner shall adopt rules under chapter 14 to
administer this section.
new text end

Sec. 2. new text begin APPROPRIATIONS.
new text end

new text begin $....... in fiscal year 2016 and $....... in fiscal year 2017 are appropriated from the
general fund to the commissioner of the Office of Higher Education for deposit in the
teacher shortage loan forgiveness fund account for the purposes of the teacher shortage
loan forgiveness program under Minnesota Statutes, section 136A.1791, and for adopting
rules to administer the program.
new text end