96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010
SB3697


 
Introduced 2/11/2010, by Sen. M. Maggie Crotty
 
SYNOPSIS AS INTRODUCED:
 		





 







New Act











     Creates the Nurse Educator Student Loan Forgiveness Act. Creates the Nurse Educator Student Loan Forgiveness Program to be administered by the Illinois Student Assistance Commission. Provides that the program shall provide loan assistance, subject to appropriation, to eligible students for graduate study. Specifies the maximum loan time period and maximum loan amount. Specifies the requirements for eligibility under the Program. Contains provisions concerning repayment schedules, credits, and penalties for non-compliance with the Program's requirements. Effective July 1, 2010.
  















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FISCAL NOTE ACT MAY APPLY
















 


 


A BILL FOR









 




  






SB3697

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    AN ACT concerning education.
  
 
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    Be it enacted by the People of the State of Illinois,
 
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represented in the General Assembly:
  
 
 
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    Section 1. Short title. This Act may be cited as the Nurse 
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Educator Student Loan Forgiveness Act.
 
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    Section 5. Purpose.  The purpose of this Act is to attract 
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capable and promising students to the nurse educator 
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profession, increase employment and retention of individuals 
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who are working towards or who have received a master's degree 
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in nursing or any subject area that qualifies the individual 
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for employment as a nurse educator, and provide opportunities 
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for persons making mid-career decisions to enter the nurse 
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educator profession.
 
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    Section 10. Definitions. In this Act:
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    "Commission" means the Illinois Student Assistance 
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Commission.
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    "Forgivable loan" means a higher education student loan 
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that a
person has incurred in attending a  an accredited nursing 
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program.

 
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    Section 15. Establishment of program. There is created the 
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Nurse Educator Student Loan Forgiveness Program to be 
 


 






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administered by the Illinois Student Assistance Commission. 
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The program shall provide loan assistance, subject to 
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appropriation, to eligible students for graduate study. The 
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Commission shall adopt rules necessary to administer the 
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program.
 
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    Section 20. Maximum loan time period; maximum loan amount. 
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Subject to appropriation, a graduate forgivable loan may be 
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awarded for a maximum of 2 academic years. The amount of this 
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loan shall not exceed $8,000 per year.
 
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    Section 25. Eligibility. To be eligible for assistance 
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under the Nurse Educator Student Loan Forgiveness Program, an 
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applicant for a graduate forgivable loan must meet all of the 
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following qualifications:
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        (1) Be a full-time student at the graduate level in an 
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    accredited nursing degree program.
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        (2) Have declared an intent to work in nurse education 
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    for at least the number of years for which a forgivable 
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    loan is received.
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        (3) Hold a bachelor's degree from a school or 
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    department of nursing from an accredited college or 
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    university.
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        (4) Have maintained an undergraduate cumulative grade 
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    point average of at least a 3.0 on a 4.0 scale or have 
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    attained a Graduate Record Examination (GRE) score of at 
 


 






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    least 1,000. If applying for renewal of a graduate 
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    forgivable loan,  an applicant must have maintained a 
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    minimum cumulative grade point average of at least a 3.0 on 
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    a 4.0 scale for all graduate work and have earned at least 
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    9 semester credits per term, or the equivalent.
 
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    Section 30. Repayment schedule; credit; penalty for 
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non-compliance.
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    (a) A forgivable loan must be repaid within 10 years after 
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completion of the approved or accredited nursing program. The 
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Commission shall adopt, by rule, repayment schedules, and 
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applicable interest rates.  
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    (b) Credit for repayment of a forgivable loan shall be in 
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an amount not to exceed $4,000 in loan principal plus 
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applicable accrued interest for each full year of eligible 
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service in the nurse education profession. Forgivable loan 
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recipients may receive loan repayment credit for nurse 
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education rendered at any time during the scheduled repayment 
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period. However, such repayment credit shall be applicable only 
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to the current principal and accrued interest balance that 
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remains at the time the repayment credit is earned. No loan 
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recipient shall be reimbursed for previous cash payments of 
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principal and interest.
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    (c) Any forgivable loan recipient who fails to work, as 
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required under the terms of the loan, is responsible for 
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repaying the loan plus accrued interest at 8% annually.
 
 
 


 






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    Section 99. Effective date. This Act takes effect July 1, 
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2010.