Bill Text: NY A05248 | 2021-2022 | General Assembly | Introduced
Bill Title: Relates to the get on your feet loan forgiveness program; provides that an applicant may be eligible for such program if they are currently employed at a program or service that is regulated, operated, funded or approved by the department of mental hygiene.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2022-01-05 - referred to higher education [A05248 Detail]
Download: New_York-2021-A05248-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 5248 2021-2022 Regular Sessions IN ASSEMBLY February 12, 2021 ___________ Introduced by M. of A. GUNTHER -- read once and referred to the Commit- tee on Higher Education AN ACT to amend the education law, in relation to the get on your feet loan forgiveness program The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 679-g of the education law, as added by section 1 2 of part C of chapter 56 of the laws of 2015, is amended to read as 3 follows: 4 § 679-g. New York state get on your feet loan forgiveness program. 1. 5 Purpose. The president shall grant student loan forgiveness awards for 6 the purpose of alleviating the burden of federal student loan debt for 7 recent New York state college graduates. 8 2. Eligibility. To be eligible for an award pursuant to this section, 9 an applicant shall: (a) have graduated from a high school located in New 10 York state or attended an approved New York state program for a state 11 high school equivalency diploma and received such high school equivalen- 12 cy diploma; (b) have graduated and obtained an undergraduate or graduate 13 degree from a college or university with its headquarters located in New 14 York state in or after the two thousand fourteen--fifteen academic year; 15 (c) apply for this program within two years of obtaining [such] either 16 an associates, undergraduate or graduate degree; (d) be a participant in 17 a federal income-driven repayment plan whose payment amount is generally 18 ten percent of discretionary income; (e) have income of less than 19 [fifty] sixty thousand dollars; (f) comply with subdivisions three and 20 five of section six hundred sixty-one of this part; [and] (g) work in 21 New York state, if employed[.]; and (h) may be currently employed at a 22 program or service that is regulated, operated, funded or approved by 23 the department of mental hygiene. Further, for applicants currently 24 employed at a program or service that is regulated, operated, funded or 25 approved by the department of mental hygiene such applicants shall agree 26 to work on at least a part-time basis for the thirty-six month period of 27 the repayment period of their income-driven repayment plan under federal 28 law and maintain residency in New York state for such period of employ- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD02765-01-1A. 5248 2 1 ment. For purposes of this program, "income" shall be the total adjusted 2 gross income of the applicant and the applicant's spouse, if applicable. 3 3. Awards. (a) An applicant whose annual income is less than fifty 4 thousand dollars shall be eligible to receive an award equal to one 5 hundred percent of his or her monthly federal income-driven repayment 6 plan payments for twenty-four months of repayment under the federal 7 program. Provided, however, that the awards granted under this section 8 shall be deferred for a recipient who has been granted a deferment or 9 forbearance under the federal income-driven repayment plan. Upon 10 completion of such deferment or forbearance period, such recipient shall 11 be eligible to receive an award for the remaining time period under this 12 subdivision. A recipient who is not a resident of New York state at the 13 time any payment is made under this program shall be required to refund 14 such payments to the state. The corporation shall be authorized to 15 recover such payments in accordance with rules and regulations promul- 16 gated by the corporation. A student who is delinquent or in default on a 17 student loan made under any statutory New York state or federal educa- 18 tion loan program or has failed to comply with the terms of a service 19 condition imposed by an award made pursuant to this article or has 20 failed to repay an award shall be ineligible to receive an award under 21 this program until such delinquency, default or failure is cured. 22 (b) An applicant whose annual income is less than sixty thousand 23 dollars and currently employed at a program or service that is regu- 24 lated, operated, funded or approved by the department of mental hygiene 25 shall be eligible to receive an award equal to one hundred percent of 26 his or her monthly federal income-driven repayment plan payments for 27 thirty-six months of the repayment period under the federal program. 28 Provided, however, that the awards granted under this section shall be 29 deferred for a recipient who has been granted a deferment or forbearance 30 under the federal income-driven repayment plan. Upon completion of such 31 deferment or forbearance period, such recipient shall be eligible to 32 receive an award for the remaining time period under this subdivision. A 33 recipient who is not a resident of New York state at the time any 34 payment is made under this program shall be required to refund such 35 payments to the state. The corporation shall be authorized to recover 36 such payments in accordance with rules and regulations promulgated by 37 the corporation. A student who is delinquent or in default on a student 38 loan made under any statutory New York state or federal education loan 39 program or has failed to comply with the terms of a service condition 40 imposed by an award made pursuant to this article or has failed to repay 41 an award shall be ineligible to receive an award under this program 42 until such delinquency, default or failure is cured. 43 4. Rules and regulations. The corporation is authorized to promulgate 44 rules and regulations, and may promulgate emergency regulations neces- 45 sary for the implementation of the provisions of this section, includ- 46 ing, but not limited to, limits on the award amounts to those applicants 47 currently employed at a program or service that is regulated, operated, 48 funded or approved by the department of mental hygiene based upon the 49 applicants attainment of either an associate's degree, bachelor's 50 degree, or graduate degree and a method of selecting recipients if in 51 any given year there are insufficient funds to cover the needs of appli- 52 cants currently employed at a program or service that is regulated, 53 operated, funded or approved by the department of mental hygiene and 54 already employed recipients. 55 § 2. This act shall take effect immediately.
