S T A T E   O F   N E W   Y O R K
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                                        8386--A

                              2011-2012 Regular Sessions

                                 I N  A S S E M B L Y

                                     June 15, 2011
                                      ___________

       Introduced  by  M. of A. GRAF -- read once and referred to the Committee
         on Health -- recommitted to the Committee on Health in accordance with
         Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered
         reprinted as amended and recommitted to said committee

       AN ACT to amend the public health law, in relation to  establishing  the
         nurse loan repayment program

         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:

    1    Section 1. Section 2807-m of the  public  health  law  is  amended  by
    2  adding a new subdivision 5-c to read as follows:
    3    5-C.  REGISTERED  NURSE  LOAN REPAYMENT PROGRAM. (A) BEGINNING JANUARY
    4  FIRST, TWO THOUSAND THIRTEEN, THE  COMMISSIONER  IS  AUTHORIZED,  WITHIN
    5  AMOUNTS  AVAILABLE  PURSUANT  TO  SUBDIVISION FIVE-A OF THIS SECTION, TO
    6  MAKE LOAN REPAYMENT AWARDS:
    7    (I) TO REGISTERED PROFESSIONAL  NURSES  OR  OTHER  LICENSED  PRACTICAL
    8  NURSES  SPECIALITIES  DETERMINED  BY  THE  COMMISSIONER  TO  BE IN SHORT
    9  SUPPLY, LICENSED TO PRACTICE NURSING PURSUANT  TO  ARTICLE  ONE  HUNDRED
   10  THIRTY-NINE  OF  THE  EDUCATION  LAW, WHO AGREE TO PRACTICE FOR AT LEAST
   11  FIVE YEARS IN AN UNDERSERVED AREA OR NURSING HOME, AS DETERMINED BY  THE
   12  COMMISSIONER.   SUCH REGISTERED PROFESSIONAL NURSE OR LICENSED PRACTICAL
   13  NURSE SHALL BE ELIGIBLE FOR A LOAN REPAYMENT AWARD OF UP TO ONE  HUNDRED
   14  FIFTY  THOUSAND  DOLLARS OVER A FIVE YEAR PERIOD DISTRIBUTED AS FOLLOWS:
   15  FIFTEEN PERCENT OF TOTAL LOAN DEBT NOT TO EXCEED TWENTY THOUSAND DOLLARS
   16  FOR THE FIRST YEAR; FIFTEEN PERCENT OF TOTAL LOAN  DEBT  NOT  TO  EXCEED
   17  TWENTY-FIVE  THOUSAND  DOLLARS  FOR  THE  SECOND YEAR; TWENTY PERCENT OF
   18  TOTAL LOAN DEBT NOT TO EXCEED THIRTY-FIVE THOUSAND DOLLARS FOR THE THIRD
   19  YEAR;  AND  TWENTY-FIVE  PERCENT  OF  TOTAL  LOAN  DEBT  NOT  TO  EXCEED
   20  THIRTY-FIVE  THOUSAND DOLLARS PER YEAR FOR THE FOURTH AND FIFTH YEARS OF
   21  PRACTICE IN SUCH AREA; AND
   22    (II) TO GENERAL HOSPITALS AND OTHER HEALTH CARE PROVIDERS TO  ADMINIS-
   23  TER  AS  PART OF THEIR RECRUITMENT PACKAGES; PROVIDED THE LOAN REPAYMENT

        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD09770-04-2

A. 8386--A 2 1 AWARDS SHALL BE ADMINISTERED CONSISTENT WITH THE PROVISIONS OF THIS 2 SUBDIVISION. 3 (B) LOAN REPAYMENT AWARDS MADE TO A REGISTERED PROFESSIONAL NURSE OR 4 LICENSED PRACTICAL NURSE PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION 5 SHALL NOT EXCEED THE TOTAL QUALIFYING OUTSTANDING DEBT OF THE REGISTERED 6 PROFESSIONAL NURSE OR LICENSED PRACTICAL NURSE FROM STUDENT LOANS TO 7 COVER TUITION AND OTHER RELATED EDUCATIONAL EXPENSES, MADE BY OR GUARAN- 8 TEED BY THE FEDERAL OR STATE GOVERNMENT, OR MADE BY A LENDING OR EDUCA- 9 TIONAL INSTITUTION APPROVED UNDER TITLE IV OF THE FEDERAL HIGHER EDUCA- 10 TION ACT. LOAN REPAYMENT AWARDS SHALL BE USED SOLELY TO REPAY SUCH 11 OUTSTANDING DEBT. 12 (C) ANY RECIPIENT OF FUNDS PURSUANT TO THIS SUBDIVISION WHO PRACTICES 13 LESS THAN TWO YEARS IN AN UNDERSERVED AREA OR NURSING HOME, AS DETER- 14 MINED BY THE COMMISSIONER, SHALL REPAY ALL FUNDS PAID IN AMOUNTS TO BE 15 DETERMINED BY THE COMMISSIONER PURSUANT TO THIS SUBDIVISION, AND SHALL 16 NO LONGER BE ELIGIBLE FOR FUTURE PAYMENTS UNDER THIS SUBDIVISION. THE 17 RATE OF INTEREST APPLIED SHALL BE DETERMINED BY THE COMMISSIONER, BUT 18 WILL NOT BE LESS THAN THE RATE OF INTEREST SET BY THE COMMISSIONER OF 19 TAXATION AND FINANCE WITH RESPECT TO UNDERPAYMENTS OF PERSONAL INCOME 20 TAX PURSUANT TO SECTION SIX HUNDRED EIGHTY-FOUR OF THE TAX LAW. 21 (D) THE COMMISSIONER IS AUTHORIZED TO APPLY ANY FUNDS AVAILABLE FOR 22 PURPOSES OF PARAGRAPH (A) OF THIS SUBDIVISION FOR USE AS MATCHING FUNDS 23 FOR FEDERAL GRANTS FOR THE PURPOSE OF ASSISTING STATES IN OPERATING LOAN 24 REPAYMENT PROGRAMS PURSUANT TO SECTION THREE HUNDRED THIRTY-EIGHT I OF 25 THE PUBLIC HEALTH SERVICE ACT. 26 (E) THE COMMISSIONER MAY, IN HIS OR HER SOLE DISCRETION, POSTPONE, 27 CHANGE OR WAIVE THE SERVICE OBLIGATION SET FORTH IN SUBPARAGRAPH (I) OF 28 PARAGRAPH (A) OF THIS SUBDIVISION. 29 S 2. This act shall take effect immediately.