THE SENATE

S.B. NO.

1056

TWENTY-EIGHTH LEGISLATURE, 2015

S.D. 1

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO EDUCATION.

 

 

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

 


     SECTION 1.  Chapter 302A, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:

"Part    .  teaching incentive programs for high need areas

     §302A-    Definitions.  As used in this part, unless the context otherwise requires:

     "Approved course of study" means a course of study that leads to enrollment in a graduate education program.

     "Approved educational institution" means a public or private post-secondary educational institution located in this State that has been accredited by a nationally recognized accrediting agency that is listed by the United States Secretary of Education.

     "Department" means the department of education.

     "High need area" means schools in hard-to-staff areas as determined by the department.

     "Program" means the teaching incentive program established under this part.

     "Qualified individual" means any individual who attends:

     (1)  A post-secondary educational institution located in this State leading to a master's degree or doctoral degree in education, who intends to teach in a public school in a high need area in the State, and who has been a resident of this State for the previous five years;

     (2)  A post-secondary educational institution located outside the State leading to a master's degree or doctoral degree in education, who intends to teach in a public school in a high need area in the State, and has maintained residency within the State for the previous five years; or

     (3)  A post-secondary educational institution located outside the State leading to a master's degree or doctoral degree in education, and who intends to teach in a public school in a high need area in the State, and whose parent maintained residency within the State for the previous five years.

     "Work requirement" means teaching at a public school in a high need area located in the State after receiving a master's degree or doctoral degree in education.

     §302A‑    Teaching incentive program for high need areas; establishment, administration.  (a)  There is established a program to be known as the teaching incentive program for high need areas to be placed within the department.

     (b)  Under the parameters of the program, the department may provide incentives to a qualified individual who is a resident of the State.

     (c)  To receive incentives under this part, a qualified individual shall meet all of the following requirements:

     (1)  Be working toward or have a master's degree or doctoral degree in education from an accredited college or university in the State;

     (2)  Maintenance of domicile in the State during the term of the incentives;

     (3)  Compliance with any conditions placed on the incentives by the department; and

     (4)  Enter into a written agreement with the department to:

         (A)  Satisfy all requirements and other requirements under this chapter; and

         (B)  Reimburse the State for all amounts received under this chapter and interest thereon, as determined by the department, if the teacher fails to comply with this part.

     (d)  A qualified individual applying for incentives under the program shall apply to the department and include all information and documentation required by the department.  The application shall include a verified statement of employment from the appropriate school.

     (e)  If a qualified individual or school terminates employment or course of study during the academic year or prior to completion of the academic year, the qualified individual shall be ineligible for incentives as of the date of termination.  The qualified individual shall become eligible for incentives upon employment at a public school in a high need area and meeting the criteria set forth in this part.

     (f)  Incentives awarded under the program shall be limited to funds appropriated for that purpose or funds otherwise matched by external entities.

     §302A‑    Incentives.  (a)  The incentive offered under the program created by this Act shall be a loan repayment program.

     (b)  Qualified individuals shall be eligible for the program to repay ten per cent of outstanding student loans entered into by qualified individuals in pursuit of a bachelor's degree, master's degree, or doctoral degree from an approved educational institution for each year of service teaching in a high need area plus all interest accrued in that year.  Qualified individuals shall be eligible to receive the incentive for each year of service teaching in a high need area up to ten years.

     (c)  Individuals who do not meet the definition of "qualified individual", but possess a master's degree or doctoral degree in education and intend to teach in a public school in a high need area in Hawaii shall be eligible for the program to repay five per cent of outstanding student loans entered into by the individual in pursuit of a bachelor's degree, master's degree, or doctoral degree from an approved educational institution for each year of service teaching in a high need area, plus all interest accrued in that year.  The individual shall be eligible to receive the incentive for each year of service teaching in a high need area up to ten years.

     §302A-    Program administration.  (a)  The department shall monitor and verify an incentive recipient's fulfillment of all requirements under this part.

     (b)  The department may enter into a contract with a private or public entity to administer the program.

     (c)  The department shall enforce repayment of all incentives for an incentive recipient who does not comply with this part.  Repayment shall include the use of all lawful collection procedures and the use of private collection agencies.

     (d)  Incentives received by an individual for the program shall not be considered taxable income under chapter 235.

     (e)  Any person who knowingly or intentionally procures, obtains, or aids another to procure or obtain an incentive under this part through fraudulent means shall be disqualified from participation in the program and shall be liable to the department for an amount equal to three times the amount obtained.

     §302A‑    Annual report.  The department shall submit a report to the governor and the legislature no later than twenty days prior to the convening of each regular session.  The report shall include information regarding the operation of the teaching incentive program for high need areas including:

     (1)  The total number of qualified individuals receiving incentives;

     (2)  The total number of individuals who do not meet the definition of "qualified individual", but receive incentives;

     (3)  The total amount of incentives awarded;

     (4)  The number of qualified individuals receiving incentives by the institution;

     (5)  The total number of qualified individuals who withdraw from the program; and

     (6)  The total number of individuals who do not meet the definition of "qualified individual", but received incentives, who withdraw from the program.

     §302A-    Scholarship grants; establishment.  (a)  The department may provide scholarship grants to an eligible student who is a resident of the State upon confirmation that the student has been accepted for enrollment in an approved graduate course of study in education.  Scholarship grants shall only be for the amounts set forth in this part and shall only be used for tuition, books, laboratory fees, and any other required fees.

     (b)  To receive a scholarship grant under this part, a student shall meet all of the following requirements:

     (1)  Graduation from an accredited college or university with a bachelor's degree;

     (2)  Maintenance of domicile in Hawaii during the term of the scholarship grants;

     (3)  Compliance with any conditions placed on the scholarship grant by the college or university;

     (4)  Maintenance of a grade point average of 3.0 or higher, on a scale of 4.0 or its equivalent; and

     (5)  Enter into a written agreement with the college or university to:

         (A)  Satisfy all degree requirements and other requirements under this part;

         (B)  Commence instruction in a high need area of the State within one year after completion of an approved graduate degree in education for a period of one year for each academic year the student received a scholarship grant under this part, unless the department determines that there are extenuating circumstances; and

          (C)  Reimburse the department for all amounts received under this part and interest thereon, as determined by the department, if the student fails to comply with this part.

     A student applying for the scholarship grant shall apply to the department and provide the department with all the required information and documentation to receive the scholarship grant.  The application shall include a verified statement of grade point average from the college or university.  The teaching requirement under this section shall begin after the receipt of the master's or doctoral degree in education.

     (c)  If a student terminates enrollment in the approved graduate course of study during the academic year or prior to completion of the approved graduate course of study and is eligible to have all or a portion of the tuition payments refunded under the refund policies of the institution, the approved educational institution shall notify the department in writing and shall return all unused portions of the scholarship grant.  Returned amounts shall be used to fund other scholarship grants under this part.  A scholarship grant under this part is only transferable to another approved educational institution if approved by the department.  Scholarship grants awarded under this section shall be limited to funds appropriated for that purpose or funds otherwise matched by external entities.  First priority for awarding scholarship grants shall be given to renewal applicants.

     §302A-    Grant awards.  (a)  The department may award a grant in an amount up to fifty per cent of tuition costs per academic year to a student enrolled full-time in an approved educational institution pursuing a graduate degree in education through an approved course of study.

     The grant shall be for a maximum of three academic years for a master's degree or up to four academic years if the student is enrolled in a doctoral program approved course of study.

     (b)  The department shall monitor and verify a student's fulfillment of all requirements under this section, and may enter into a contract with a private or public entity to administer the program.  The department shall enforce repayment of all grants for a student who does not comply with this section.  Repayment shall include the use of all lawful collection procedures and the use of private collection agencies.  Grants received by a student pursuant to this section shall not be considered taxable income under chapter 235, and shall not be considered financial assistance or appropriations to the approved educational institution.

     (c)  Any person who knowingly or intentionally procures, obtains, or aids another to procure or obtain a grant under this part through fraudulent means shall be disqualified from participation in the program and shall be liable to the department for an amount equal to three times the amount obtained.

     §302A-    Annual reports.  The department shall submit a report to the governor and the legislature no later than twenty days prior to the convening of each regular session.  The report shall include information regarding the operation of its scholarship grant program including:

     (1)  The total number of students receiving scholarship grants;

     (2)  The total amount of scholarship grants awarded;

     (3)  The number of full-time and part-time graduate students receiving scholarship grants by the institution;

     (4)  The amount of scholarship grants awarded to graduate students reported by the institution; and

     (5)  The total number of graduation students who withdraw from the program."

     SECTION 2.  There is appropriated out of the general revenues of the State of Hawaii the sum of $           or so much thereof as may be necessary for fiscal year 2015-2016 and the same sum or so much thereof as may be necessary for fiscal year 2016-2017 to establish and implement the teaching incentive program for high need areas.

     The sums appropriated shall be expended by the department of education for the purposes of this Act.

     SECTION 3.  There is appropriated out of the general revenues of the State of Hawaii the sum of $           or so much thereof as may be necessary for fiscal year 2015-2016 and the same sum or so much thereof as may be necessary for fiscal year 2016-2017 to establish scholarship grants for students pursuing post-secondary degrees in the field of education.

     The sums appropriated shall be expended by the department of education for the purposes of this Act.

     SECTION 4.  This Act shall take effect on July 1, 2015.


 


 

Report Title:

Department of Education; Education; Teachers; Incentives; Loan Repayment

 

Description:

Establishes an incentive program that provides for incremental loan repayment for teachers serving in high need areas of Hawaii for up to ten years.  Also establishes scholarship grants for students pursuing post-secondary degrees in the field of education through the department of education.  (SD1)

 

 

 

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