S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5724
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 14, 2017
                                ___________
 
 Introduced  by  M.  of  A. CURRAN, CROUCH, FINCH, RAIA, GIGLIO -- Multi-
   Sponsored by -- M.  of A. HAWLEY -- read  once  and  referred  to  the
   Committee on Higher Education
 
 AN  ACT  to  amend  the education law, in relation to creating a regents
   nursing professional's loan forgiveness program

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 605 of the education law is amended by adding a new
 subdivision 13 to read as follows:
   13.  REGENTS NURSING PROFESSIONAL'S LOAN FORGIVENESS PROGRAM.  REGENTS
 LOAN FORGIVENESS AWARDS SHALL BE AWARDED ANNUALLY  TO  NURSE  APPLICANTS
 WHO AGREE TO ENGAGE IN EMPLOYMENT IN HOSPITALS, NURSING HOMES OR HOSPICE
 CENTERS ON A FULL-TIME BASIS. SUCH AWARDS SHALL BE GRANTED ANNUALLY, AND
 SHALL BE CLASSIFIED AND ALLOCATED IN ACCORDANCE WITH REGENTS RULES.
   A.  (1)  THE APPLICANT SHALL BE A RESIDENT OR PERMANENT RESIDENT ALIEN
 OF NEW YORK STATE AND A GRADUATE OF AN INSTITUTION OF  HIGHER  EDUCATION
 APPROVED OR REGISTERED BY THE REGENTS.
   (2) THE APPLICANT SHALL AGREE TO ENGAGE IN SUCH EMPLOYMENT FOR A PERI-
 OD OF TIME WHICH SHALL NOT BE LESS THAN TWO YEARS.
   B. PRIORITY SHALL BE ACCORDED TO APPLICANTS IN THE FOLLOWING ORDER:
   (1)  FIRST,  TO ANY APPLICANT WHO IS COMPLETING THE SECOND YEAR OF THE
 SERVICE REQUIREMENT AND IS REAPPLYING FOR A NEW AWARD;
   (2) SECOND, TO ANY APPLICANT  WHO  IS  ECONOMICALLY  DISADVANTAGED  AS
 DEFINED BY THE REGENTS;
   (3)  THIRD,  TO ANY APPLICANT ACCORDING TO THE SEVERITY OF SHORTAGE OF
 NURSES IN THE AREA SELECTED BY THE APPLICANT.
   IN THE EVENT THAT THERE ARE MORE APPLICANTS WHO HAVE THE SAME PRIORITY
 THAN THERE ARE REMAINING SCHOLARSHIPS, THE COMMISSIONER SHALL DISTRIBUTE
 THE REMAINING NUMBER OF SUCH SCHOLARSHIPS BY MEANS OF A LOTTERY OR OTHER
 FORM OF RANDOM SELECTION.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD08533-01-7
              

 A. 5724                             2
 
   C. THE COMMISSIONER SHALL THEN FORWARD APPROVED  APPLICATIONS  TO  THE
 PRESIDENT AND SHALL NOTIFY UNSUCCESSFUL APPLICANTS.
   D. THE PRESIDENT SHALL NOTIFY APPLICANTS OF THEIR AWARD ENTITLEMENT.
   E. THE PRESIDENT SHALL, IN CONSULTATION WITH THE COMMISSIONER AND WITH
 THE APPROPRIATE DIRECTOR, DEVELOP AND SECURE FROM EACH SUCCESSFUL APPLI-
 CANT  A  WRITTEN AGREEMENT TO ENGAGE IN SUCH EMPLOYMENT, AS APPROPRIATE.
 WITHIN SUCH TIME AS THE COMMISSIONER  SHALL  BY  REGULATION  PROVIDE,  A
 RECIPIENT OF AN AWARD SHALL HAVE ENGAGED IN SUCH EMPLOYMENT AS APPROPRI-
 ATE,  FOR  THAT NUMBER OF MONTHS CALCULATED BY MULTIPLYING BY TWELVE THE
 NUMBER OF ANNUAL PAYMENTS RECEIVED BY THE RECIPIENT. IN  NO  CASE  SHALL
 THE TOTAL NUMBER OF MONTHS OF SERVICE REQUIRED BE LESS THAN TWENTY-FOUR.
 IF A RECIPIENT FAILS TO COMPLY FULLY WITH SUCH CONDITIONS, THE PRESIDENT
 SHALL  BE ENTITLED TO RECEIVE FROM SUCH RECIPIENT AN AMOUNT TO BE DETER-
 MINED BY THE FORMULA:
                                 A = B (T-S)
                                 -----------
                                      T
 IN WHICH "A" IS THE AMOUNT THE PRESIDENT IS ENTITLED TO RECOVER; "B"  IS
 THE  SUM  OF ALL PAYMENTS MADE TO THE RECIPIENT AND THE INTEREST ON SUCH
 AMOUNT WHICH WOULD BE PAYABLE IF AT THE TIMES SUCH AWARDS WERE PAID THEY
 WERE LOANS BEARING INTEREST AT THE MAXIMUM PREVAILING RATE; "T"  IS  THE
 TOTAL  NUMBER OF MONTHS IN THE RECIPIENT'S PERIOD OF OBLIGATED SERVICES;
 AND "S" IS THE NUMBER OF MONTHS OF  SERVICE  ACTUALLY  RENDERED  BY  THE
 RECIPIENT.  ANY  AMOUNT WHICH THE PRESIDENT IS ENTITLED TO RECOVER UNDER
 THIS PARAGRAPH SHALL BE PAID WITHIN THE FIVE-YEAR  PERIOD  BEGINNING  ON
 THE  DATE  THAT  THE RECIPIENT FAILED TO COMPLY WITH THIS SERVICE CONDI-
 TION. NOTHING IN THE WRITTEN AGREEMENT SHALL AFFECT THE TERMS OF EMPLOY-
 MENT OF THE INDIVIDUAL WHO SHALL NEGOTIATE, SEPARATE AND APART FROM  THE
 PROGRAM, HIS OR HER SALARY AND OTHER FORMS OF EMPLOYMENT WITH AN AGENCY,
 INSTITUTION OR A PROGRAM IN WHICH HE OR SHE SHALL BE EMPLOYED.
   ANY  OBLIGATION  TO  COMPLY  WITH  SUCH PROVISIONS AS OUTLINED IN THIS
 SUBDIVISION SHALL BE CANCELLED UPON THE  DEATH  OF  THE  RECIPIENT.  THE
 COMMISSIONER SHALL MAKE REGULATIONS TO PROVIDE FOR THE WAIVER OR SUSPEN-
 SION OF ANY FINANCIAL OBLIGATION WHICH WOULD INVOLVE EXTREME HARDSHIP.
   F. A RECIPIENT OF AN AWARD SHALL REPORT ANNUALLY TO THE NEW YORK STATE
 HIGHER  EDUCATION SERVICES CORPORATION, ON FORMS PRESCRIBED BY IT, AS TO
 THE PERFORMANCE OF THE REQUIRED SERVICES, COMMENCING WITH  THE  CALENDAR
 YEAR  IN WHICH THE RECIPIENT BEGINS SUCH EMPLOYMENT AND CONTINUING UNTIL
 THE RECIPIENT SHALL HAVE COMPLETED, OR IT IS DETERMINED THAT HE  OR  SHE
 SHALL  NOT  BE  OBLIGATED  TO  COMPLETE, THE REQUIRED SERVICES.   IF THE
 RECIPIENT SHALL FAIL TO FILE ANY REPORT REQUIRED HEREUNDER WITHIN THIRTY
 DAYS OF WRITTEN NOTICE TO THE RECIPIENT, MAILED TO THE ADDRESS SHOWN  ON
 THE  LAST  APPLICATION  FOR  AN AWARD OR LAST REPORT FILED, WHICHEVER IS
 LATER, THE PRESIDENT MAY IMPOSE A FINE OF UP TO  ONE  THOUSAND  DOLLARS.
 THE PRESIDENT SHALL HAVE THE DISCRETION TO WAIVE THE FILING OF A REPORT,
 EXCUSE  A  DELAY  IN  FILING  OR A FAILURE TO FILE A REPORT, OR WAIVE OR
 REDUCE ANY FINE IMPOSED FOR GOOD CAUSE SHOWN.
   § 2. This act shall take effect immediately.