Bill Text: CA AB1677 | 2013-2014 | Regular Session | Amended
Bill Title: Nursing education: service in public hospitals and veterans' facilities.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2014-05-23 - In committee: Set, second hearing. Held under submission. [AB1677 Detail]
Download: California-2013-AB1677-Amended.html
BILL NUMBER: AB 1677 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MARCH 17, 2014
INTRODUCED BY Assembly Member Gomez
FEBRUARY 12, 2014
An act to add and repeal Article 2 (commencing with Section 70130)
of Chapter 3 of Part 42 of Division 5 of Title 3 of the Education
Code, relating to nursing education.
education, and making an appropriation therefor.
LEGISLATIVE COUNSEL'S DIGEST
AB 1677, as amended, Gomez. Nursing education: service in public
hospitals and veterans' facilities.
Existing law establishes the Student Aid Commission as the primary
state agency for the administration of state-authorized student
financial aid programs available to students attending all segments
of postsecondary education.
Existing law establishes the State Nursing Assumption Program of
Loans for Education, administered by the commission, under which any
person enrolled in an institution of postsecondary education and
participating in that loan assumption program is eligible to receive
a conditional warrant for loan assumption, to be redeemed upon
becoming employed as a full-time nursing faculty member at a
California college or university.
This bill would establish a loan assumption program for employees
of eligible public facilities, as defined to include state hospitals,
state veterans' homes, members of the California Association of
Public Hospitals and Health Systems, and
California facilities administered by the federal Veterans Health
Administration , and health care districts located in California
. This program would provide loan assumption benefits to
persons who fulfill agreements to work full time for 4 consecutive
years as clinical registered nurses or licensed vocational nurses in
eligible public facilities, as specified, that employ registered
nurses or licensed vocational nurses. The program would provide for
the assumption of up to $15,000 annually of a qualifying loan for
consecutive years of qualifying clinical registered nursing or
licensed vocational nursing service, up to a total loan assumption of
$60,000.
The bill would require that, in any fiscal year, the commission
award no more than the number of warrants that are authorized in the
Budget Act for that fiscal year for the assumption of loans pursuant
to the program. This program would become inoperative on July 1,
2020, 2022, and would be repealed on
January 1, 2021. 2023. The bill would
appropriate $48,000,000 from the General Fund to the commission to be
expended for purposes of the commission issuing loan assumption
awards beginning with the 2015-16 fiscal year to the 2021-22 fiscal
year, inclusive, as specified.
Vote: majority 2/3 . Appropriation:
no yes . Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Article 2 (commencing with Section 70130) is added to
Chapter 3 of Part 42 of Division 5 of Title 3 of the Education Code,
to read:
Article 2. Service in Public Hospitals and Veterans'
Facilities
70130. (a) (1) Any person enrolled in an eligible institution, or
any person who agrees to work full time as a registered nurse or a
licensed vocational nurse in an eligible public facility that employs
registered nurses or licensed vocational nurses, may be eligible to
enter into an agreement for loan assumption, to be redeemed pursuant
to Section 70131 upon becoming employed as a clinical registered
nurse or licensed vocational nurse in an eligible public facility
that employs registered nurses or licensed vocational nurses. In
order to be eligible to enter into an agreement for loan assumption,
an applicant shall satisfy all of the conditions specified in
subdivision (b).
(2) As used in this article, "eligible institution" means a
postsecondary institution that is determined by the Student Aid
Commission to meet both of the following requirements:
(A) The institution is eligible to participate in state and
federal financial aid programs.
(B) The institution maintains an accredited program of
professional preparation for licensing as a registered nurse or
vocational nurse in California.
(3) As used in this article, "eligible public facility" means any
of the following:
(A) A state hospital administered by the State Department of State
Hospitals.
(B) A state veterans' home referenced in Section 1011 of the
Military and Veterans Code.
(C) A public hospital that is a member of the California
Association of Public Hospitals and Health Systems.
(D) A facility administered by the federal Veterans Health
Administration and located in California.
(E) A health care district located in California.
(b) (1) The applicant has been admitted to, or is enrolled in, or
has successfully completed, an accredited program of professional
preparation for licensing as a registered nurse or vocational nurse
in California. However, a person who is currently employed as a
registered nurse or licensed vocational nurse in an eligible public
facility may be eligible to enter into an agreement for loan
assumption under Article 1 (commencing with Section 70100), but is
not eligible to enter into an agreement for loan assumption under
this article.
(2) The applicant is currently enrolled, or has been admitted to a
program in which he or she will be enrolled, on a full-time basis,
as determined by the participating institution. The applicant shall
agree to maintain satisfactory academic progress and a minimum of
full-time enrollment, as defined by the participating eligible
institution.
(3) The applicant has been judged by his or her postsecondary
educational institution to have outstanding ability on the basis of
criteria that may include, but need not be limited to, any of the
following:
(A) Grade point average.
(B) Test scores.
(C) Faculty evaluations.
(D) Interviews.
(E) Other recommendations.
(4) The applicant has received, or is approved to receive, a loan
under one or more of the following designated loan programs:
(A) The Federal Family Education Loan Program (20 U.S.C. Sec. 1071
et seq.).
(B) Any loan program approved by the Student Aid Commission.
(5) The applicant has agreed to work full time for at least four
consecutive years as a clinical registered nurse or licensed
vocational nurse in an eligible public facility that employs
registered nurses or licensed vocational nurses.
(c) No applicant who has completed fewer than 60 semester units,
or the equivalent, shall be eligible under this section to
participate in the loan assumption program set forth in this article.
(d) A person participating in the program pursuant to this section
shall not enter into more than one agreement under this article.
70131. The commission shall commence loan assumption payments, as
specified in Section 70132, upon verification that the applicant has
fulfilled all of the following:
(a) The applicant has become a registered nurse or vocational
nurse licensed to practice in California.
(b) The applicant is working full time as a clinical registered
nurse or licensed vocational nurse in an eligible public facility
that employs registered nurses or licensed vocational nurses.
(c) The applicant has met the requirements of the agreement and
all other pertinent conditions of this article.
70132. The terms of a loan assumption granted under this article
shall be as follows, subject to the specific terms of each agreement:
(a) After a program participant has completed one year of
full-time employment as described in subdivision (b) of Section
70131, the commission shall assume up to fifteen thousand dollars
($15,000) of the participant's outstanding liability under one or
more of the designated loan programs.
(b) After a program participant has completed two years of
full-time employment as described in subdivision (b) of Section
70131, the commission shall assume up to an additional fifteen
thousand dollars ($15,000) of the participant's outstanding liability
under one or more of the designated loan programs, for a total loan
assumption of up to thirty thousand dollars ($30,000).
(c) After a program participant has completed three years of
full-time employment as described in subdivision (b) of Section
70131, the commission shall assume up to an additional fifteen
thousand dollars ($15,000) of the participant's outstanding liability
under one or more of the designated loan programs, for a total loan
assumption of up to forty-five thousand dollars ($45,000).
(d) After a program participant has completed four years of
full-time employment as described in subdivision (b) of Section
70131, the commission shall assume up to an additional fifteen
thousand dollars ($15,000) of the participant's outstanding liability
under one or more of the designated loan programs, for a total loan
assumption of up to sixty thousand dollars ($60,000).
70133. (a) Except as provided in subdivision (b), if a program
participant fails to complete a minimum of four consecutive years of
full-time employment as required by this article, under the terms of
the agreement pursuant to paragraph (5) of subdivision (b) of Section
70130, the participant shall retain full liability for all student
loan obligations remaining after the commission's assumption of loan
liability for the last year of qualifying clinical registered nursing
or licensed vocational nursing service pursuant to Section 70132.
(b) Notwithstanding subdivision (a), if a program participant
becomes unable to complete one of the four consecutive years of
qualifying clinical registered nursing or licensed vocational nursing
service due to serious illness, pregnancy, or other natural causes,
the term of the loan assumption agreement shall be extended for a
period not to exceed one year. The commission shall make no further
payments under the loan assumption agreement until the applicable
work requirements as specified in Section 70131 have been satisfied.
(c) If a natural disaster prevents a program participant from
completing one of the required years of work due to the interruption
of employment at the employing eligible public facility, the term of
the loan assumption agreement shall be extended for the period of
time equal to the period from the interruption of employment at the
employing eligible public facility until the resumption of
employment. The commission shall make no further payments under the
loan assumption agreement until the applicable employment
requirements specified in Section 70131 have been satisfied.
70134. (a) The commission shall administer this article, and
shall adopt rules and regulations for that purpose. The rules and
regulations shall include, but need not be limited to, provisions
regarding the period of time during which an agreement shall remain
valid, the reallocation of resources in light of agreements that are
not used by program participants, the failure, for any reason, of a
program participant to complete a minimum of four consecutive years
of qualifying clinical registered nursing or licensed vocational
nursing service, and the development of projections for funding
purposes.
(b) If a provision is added to this article and the commission
deems it necessary to adopt a rule or regulation to implement that
provision, the commission shall develop and adopt that rule or
regulation no later than six months after the operative date of the
statute that adds the provision.
70135. On or before January 31, 2016, and on or before each
January 31 thereafter until, and including, January 31, 2020, the
commission shall report annually to the Legislature regarding both of
the following, on the basis of sex, age, and ethnicity:
(a) The total number of program participants and the type of
program of professional preparation they are attending or have
attended.
(b) The numbers of participants who complete one, two, three, or
four years of qualifying clinical registered nursing or licensed
vocational nursing service, respectively.
70136. On or before May 1, 2019, the Office of the Legislative
Analyst shall submit a report to the Legislature that includes the
findings and recommendations of the Legislative Analyst with respect
to the efficacy of the program established by this article.
70137. Reports pursuant to Sections 70135 and 70136 shall be
submitted pursuant to Section 9795 of the Government Code.
70138. In selecting applicants for participation in this program,
the commission shall grant priority to applicants who, in the
determination of the commission, are included in any of the following
categories:
(a) Persons who possess a baccalaureate degree at the time of
initial application.
(b) Persons who are enrolled in an accelerated program of
professional preparation for licensing as a registered nurse or
vocational nurse in California.
(c) Persons who are recipients of federally subsidized student
loans or other need-based student loans.
70139. Notwithstanding any other law, in any fiscal year, the
commission shall award no more than the number of warrants that are
authorized in the annual Budget Act for that fiscal year for the
assumption of loans pursuant to this article.
70140. The amount of forty-eight million dollars ($48,000,000) is
hereby appropriated from the General Fund to the commission to be
expended for purposes of the commission issuing loan assumption
awards beginning with the 2015-16 fiscal year to the 2021-22 fiscal
year, inclusive, as follows:
(a) For the 2015-16 fiscal year, the commission may expend up to
three million dollars ($3,000,000) to award up to 200 awards pursuant
to subdivision (a) of Section 70132.
(b) For the 2016-17 fiscal year, the commission may expend up to
six million dollars ($6,000,000) to award up to 200 awards pursuant
to subdivision (a) of, and up to 200 awards pursuant to subdivision
(b) of, Section 70132.
(c) For the 2017-18 fiscal year, the commission may expend up to
nine million dollars ($9,000,000) to award up to 200 awards pursuant
to subdivision (a) of, up to 200 awards pursuant to subdivision (b)
of, and up to 200 awards pursuant to subdivision (c) of, Section
70132.
(d) For the 2018-19 fiscal year, the commission may expend up to
twelve million dollars ($12,000,000) to award up to 200 awards
pursuant to subdivision (a) of, up to 200 awards pursuant to
subdivision (b) of, up to 200 awards pursuant to subdivision (c) of,
and up to 200 awards pursuant to subdivision (d) of, Section 70132.
(e) For the 2019-20 fiscal year, the commission may expend up to
nine million dollars ($9,000,000) to award up to 200 awards pursuant
to subdivision (b) of, up to 200 awards pursuant to subdivision (c)
of, and up to 200 awards pursuant to subdivision (d) of, Section
70132.
(f) For the 2020-21 fiscal year, the commission may expend up to
six million dollars ($6,000,000) to award up to 200 awards pursuant
to subdivision (c) of, and up to 200 awards pursuant to subdivision
(d) of, Section 70132.
(g) For the 2021-22 fiscal year, the commission may expend up to
three million dollars ($3,000,000) to award up to 200 awards pursuant
to subdivision (d) of Section 70132.
70140. 70141. This article shall
become inoperative on July 1, 2020, 2022,
and, as of January 1, 2021, 2023,
is repealed, unless a later enacted statute, that becomes operative
on or before January 1, 2021, 2023,
deletes or extends the dates on which it becomes inoperative and is
repealed.
