SENATE BILL 325
56th legislature - STATE OF NEW MEXICO - first session, 2023
INTRODUCED BY
William P. Soules and Debra M. Sariñana
AN ACT
RELATING TO HIGHER EDUCATION; EXPANDING THE TEACHER LOAN REPAYMENT ACT TO INCLUDE SOCIAL WORKERS AND SCHOOL COUNSELORS WHO WORK IN A PUBLIC SCHOOL.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. Section 21-22H-3 NMSA 1978 (being Laws 2013, Chapter 177, Section 3, as amended) is amended to read:
"21-22H-3. DEFINITIONS.--As used in the Teacher Loan Repayment Act:
A. "department" means the higher education department;
B. "designated high-need teacher positions" means teacher positions in specific public schools that are:
(1) for teachers who are endorsed and teach bilingual education;
(2) for teachers who are endorsed and teach early childhood education or special education;
(3) for teachers who are endorsed and teach science, technology, engineering, mathematics or career technical education courses; or
(4) for teachers who are minorities; and
(5) in a public school that is low-performing or serves a high percentage of economically disadvantaged students; [and]
C. "loan" means a grant of money to defray the costs incidental to a teacher, social worker or school counselor education, under a contract between the federal government and a teacher, social worker or school counselor, requiring repayment of principal and interest;
D. "school counselor" means a counselor who has been licensed by the state and is currently employed at a public school to provide counseling services to public school students; and
E. "social worker" means a social worker who has been licensed by the state and is currently employed at a public school to provide social work services to public school students."
SECTION 2. Section 21-22H-4 NMSA 1978 (being Laws 2013, Chapter 177, Section 4, as amended) is amended to read:
"21-22H-4. DEPARTMENT POWERS AND DUTIES--TEACHER, SOCIAL WORKER OR SCHOOL COUNSELOR ELIGIBILITY--QUALIFICATIONS.--
A. The department may grant a loan repayment award to repay loans obtained for the teacher, social worker or school counselor educational expenses of a teacher, social worker or school counselor upon such terms and conditions as may be imposed by rules of the department.
B. Applicants shall be [licensed New Mexico teachers who are] bona fide citizens and residents of the United States and of New Mexico and:
(1) are licensed New Mexico teachers who have taught at least three years in New Mexico;
(2) are social workers who have provided at least three years of social work services; or
(3) are school counselors who have provided at least three years of counseling services.
C. High priority shall be given to applicants who are teaching in designated high-need teacher positions in the state, are social workers providing social work services in high-need areas in the state or are school counselors providing counseling services in high-need areas in the state.
[C.] D. The department and the public education department shall jointly make a full and careful investigation of the ability and qualifications of each applicant and determine the fitness of a teacher, social worker or school counselor to participate in the teacher loan repayment program."
SECTION 3. Section 21-22H-5 NMSA 1978 (being Laws 2013, Chapter 177, Section 5, as amended) is amended to read:
"21-22H-5. LOAN REPAYMENT AWARD CRITERIA--CONTRACT TERMS--PAYMENT.--
A. Loan repayment award criteria shall provide that:
(1) for high-priority applicants, award amounts shall be dependent upon a specific public school's need for the designated high-need teacher position, as determined by the public education department, the teacher's total teacher education indebtedness and available balances in the teacher loan repayment fund;
(2) award amounts for other teachers, social workers and school counselors shall be based on the need for a teacher, social worker or school counselor position that can be filled by the applicant, as determined by the public education department, the teacher's, social worker's or school counselor's total teacher, social worker or school counselor education indebtedness and available balances in the teacher loan repayment fund;
(3) preference in making awards shall be to teachers, social workers or school counselors who have graduated from a New Mexico public post-secondary educational institution;
(4) award amounts shall not exceed six thousand dollars ($6,000) per year and may be modified based upon funding availability or other special circumstances; and
(5) the total amount of awards made to any one teacher, social worker or school counselor shall not exceed the total teacher, social worker or school counselor education indebtedness remaining for that teacher, social worker or school counselor.
B. The following teacher, social worker or school counselor education debts are not eligible for repayment pursuant to the Teacher Loan Repayment Act:
(1) amounts incurred as a result of participation in state loan-for-service programs or other state programs whose purpose states that service be provided in exchange for financial assistance;
(2) scholarships that have a service component or obligation;
(3) loans from a commercial lender;
(4) personal loans from friends or relatives; and
(5) loans that exceed individual standard school expense levels.
C. Every loan repayment award shall be evidenced by a contract between the teacher, social worker or school counselor and the department acting on behalf of the state. The contract shall provide for the payment by the state of a stated sum each year to the teacher's, social worker's or school counselor's federal government lender not to exceed six thousand dollars ($6,000) per year and shall state the obligations of the teacher, social worker or school counselor under the program, including a minimum two-school-year period of service, quarterly reporting requirements and other obligations established by the department. Execution of contracts shall occur prior to the start of a school year and the two-school-year period of service starts at the execution of the contract.
D. The department shall make annual payments pursuant to contracts only after satisfactory completion of a full year of teaching, providing social work services or providing counseling services as certified by the public education department. The contract of any teacher, social worker or school counselor who does not complete a full year of teaching, providing social work services or providing counseling services shall be voided, and the teacher, social worker or school counselor shall forfeit any right to that year's payment pursuant to the contract.
E. Each contract shall be for an initial two-year period and may be extended for three additional two-year contracts. The department shall not enter into any contracts with a single teacher, social worker or school counselor for more than eight years of repayment.
F. Loan repayment awards shall be in the form of payments from the teacher loan repayment fund directly to the federal government lender of a teacher, social worker or school counselor who has received the award and shall be considered a payment on behalf of the teacher, social worker or school counselor pursuant to the contract between the department and the teacher, social worker or school counselor. A loan repayment award shall not obligate the state or the department to the teacher's, social worker's or school counselor's federal government lender for any other payment and shall not be considered to create any privity of contract between the state or the department and the lender.
G. The department, after consulting with the public education department, shall adopt rules to implement the provisions of the Teacher Loan Repayment Act. The rules shall provide:
(1) a procedure for determining the amount of a loan that will be repaid for each year of service; and
(2) for the disbursement of loan repayment awards to a teacher's, social worker's or school counselor's federal government lender in annual installments after completion of each qualifying full year of teaching, providing social work services or providing counseling services."
SECTION 4. Section 21-22H-6 NMSA 1978 (being Laws 2013, Chapter 177, Section 6) is amended to read:
"21-22H-6. CONTRACTS--ENFORCEMENT.--The general form of a contract required pursuant to the Teacher Loan Repayment Act shall be prepared and approved by the attorney general, and each contract shall be signed by the [teacher] loan recipient and the designated representative of the department on behalf of the state. The department is vested with full and complete authority and power to sue in its own name for any balance due the state from a [teacher] loan recipient under any such contract."
SECTION 5. Section 21-22H-8 NMSA 1978 (being Laws 2013, Chapter 177, Section 8) is amended to read:
"21-22H-8. CANCELLATION.--The department may cancel any contract made between it and a [teacher] loan recipient pursuant to the Teacher Loan Repayment Act for any reasonable cause deemed sufficient by the department."
SECTION 6. Section 21-22H-9 NMSA 1978 (being Laws 2013, Chapter 177, Section 9, as amended) is amended to read:
"21-22H-9. REPORTS.--Prior to each regular session of the legislature, the department shall make annual reports to the governor and the legislature of the department's activities pertaining to the Teacher Loan Repayment Act; the loan repayment awards granted; the names and addresses of teachers, social workers and school counselors who received loan repayment awards; the names and locations of the positions filled by those teachers, social workers and school counselors; the name of each teacher, social worker and school counselor who received a loan repayment award who is not serving in a designated high-need teacher, social worker or school counselor position, the amount owed on each teacher's, social worker's or school counselor's loan and the amount paid on each teacher's, social worker's or school counselor's loan by loan repayment awards; and the number of teachers, social workers and school counselors whose contracts were voided because they did not complete a full year of teaching, providing social work services or providing counseling services."
SECTION 7. REPEAL.--Section 21-22H-2 NMSA 1978 (being Laws 2013, Chapter 177, Section 2) is repealed.
SECTION 8. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2023.
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