70100. (a) The Legislature hereby recognizes the growing need for
new faculty members in the nursing field at California's colleges and
universities. This need will be fueled largely by the large number
of current faculty approaching retirement age who will need to be
replaced and the expected growth in enrollment demand in California.
Further, to increase the supply of nurses in California, there must
be an expansion of nursing educator opportunities in public colleges
and universities that will produce the necessary faculty to teach in
nursing programs in the state.
(b) The Legislature finds that the rising costs of higher
education, coupled with a shift in available financial aid from
scholarships and grants to loans, make loan repayment options an
important consideration in a student's decision to pursue a graduate
degree in nursing education or in a field related to nursing.
(c) It is the intent of the Legislature that the State Nursing
Assumption Program of Loans for Education (SNAPLE) be designed to
encourage persons to complete their graduate educations and serve as
nursing faculty in a registered nursing program at an accredited
California college or university.
(d) As used in this article, "commission" means the Student Aid
Commission.
70101. (a) Program participants shall meet all of the following
eligibility criteria prior to selection into the program, and shall
continue to meet these criteria, as appropriate, during the payment
periods:
(1) The participant shall be a United States citizen or eligible
noncitizen.
(2) The participant shall be a California resident who, at a
minimum, possesses a baccalaureate degree in nursing or a field
related to nursing.
(3) The participant shall have complied with United States
Selective Service requirements.
(4) The participant shall not owe a refund on any state or federal
educational grant or have delinquent or defaulted student loans.
(b) (1) Any person who has obtained a baccalaureate or graduate
degree from an institution of postsecondary education, and who is
participating in the loan assumption program set forth in this
article, may be eligible to receive a conditional loan assumption
agreement, to be redeemed pursuant to this chapter upon meeting the
criteria of Section 70102.
(2) A person who is currently teaching nursing at a regionally
accredited California college or university is not eligible to enter
into an agreement for loan assumption under this article.
(c) (1) The commission shall award loan assumption agreements to
either of the following applicants who otherwise meet the eligibility
criteria of this section:
(A) An applicant who has been admitted to or enrolled in an
academic program leading to a graduate level degree and demonstrates
academic ability.
(B) An applicant with a baccalaureate, or baccalaureate and
graduate degrees.
(2) (A) An applicant who is pursuing a graduate degree shall be
enrolled on at least a half-time basis each academic term as defined
by an eligible institution and shall agree to maintain satisfactory
academic progress.
(B) Except as provided in subparagraph (C), if a program
participant fails to maintain half-time enrollment as required by
this article, under the terms of the agreement pursuant to
subparagraph (A), the loan assumption agreement shall be deemed
invalid. The participant shall retain full liability for all student
loan obligations. The participant is excused from the half-time
enrollment requirement if the student is in his or her final term in
school and has no additional coursework required to obtain his or her
graduate degree in nursing or a field related to nursing.
(C) Notwithstanding subparagraph (B), a program participant shall
be excused from the half-time enrollment requirement for a period not
to exceed one calendar year, unless approved by the commission for a
longer period, if a program participant becomes unable to maintain
half-time enrollment due to any of the following:
(i) Serious illness, pregnancy, or other natural causes.
(ii) The participant is called to military active duty status.
(iii) A natural disaster prevents the participant from maintaining
half-time enrollment due to the interruption of instruction at the
eligible institution.
(3) The applicant shall have been judged by his or her
postsecondary institution or employer, whichever is applicable, to
have outstanding ability on the basis of criteria that may include,
but need not be limited to, any of the following:
(A) Grade point average.
(B) Test scores.
(C) Faculty evaluations.
(D) Interviews.
(E) Other recommendations.
(4) The applicant shall have received, or be approved to receive,
a loan under one or more of the following designated loan programs:
(A) The Federal Family Education Loan Program (20 U.S.C. Sec. 1071
et seq.).
(B) The Federal Direct Loan Program.
(C) Any loan program approved by the commission.
(5) (A) The applicant shall have agreed to teach nursing on a
full-time basis at one or more regionally accredited California
colleges or universities for at least three years, or on a part-time
basis for the equivalent of three full-time academic years,
commencing not more than 12 months after obtaining an academic
degree, unless the applicant, within 12 months after obtaining the
academic degree, enrolls in an academic degree program leading to a
more advanced degree in nursing or a field related to nursing.
(B) A participant who possesses a baccalaureate or graduate degree
at the time of application to the program shall agree to teach
nursing on a full-time or part-time basis commencing not more than 12
months after receiving a loan assumption award.
(6) An applicant who teaches on less than a full-time basis may
participate in the program, but is not eligible for loan repayment
until that person teaches for the equivalent of a full-time academic
year.
(d) A person participating in the program pursuant to this section
shall not receive more than one loan assumption agreement, and shall
not be eligible to receive a grant pursuant to Article 3.51
(commencing with Section 78260) of Chapter 2 of Part 48.
70102. The commission shall commence loan assumption payments
pursuant to this article upon verification that the participant has
fulfilled all of the following:
(a) The participant has received a baccalaureate degree or a
graduate degree from an accredited, participating institution.
(b) The participant has provided the equivalent of full-time
nursing instruction at one or more regionally accredited California
colleges or universities for one academic year or the equivalent.
(c) The participant has met the requirements of the loan
assumption agreement and all other conditions of this article.
70103. The terms of the loan assumptions granted under this article
shall be as follows, subject to the specific terms of each loan
assumption agreement:
(a) After a program participant has completed one academic year,
or the equivalent, of full-time teaching nursing studies at one or
more regionally accredited, eligible California colleges or
universities, pursuant to Section 70102, the commission shall assume
up to eight thousand three hundred thirty-three dollars ($8,333) of
the outstanding liability of the participant under one or more of the
designated loan programs.
(b) After the program participant has completed two consecutive
academic years, or the equivalent, of full-time teaching at one or
more regionally accredited California colleges or universities,
pursuant to Section 70102, the commission shall assume up to an
additional eight thousand three hundred thirty-three dollars ($8,333)
of the outstanding liability of the participant under one or more of
the designated loan programs, for a total loan assumption of up to
sixteen thousand six hundred sixty-six dollars ($16,666).
(c) After a program participant has completed three consecutive
academic years, or the equivalent of full-time teaching, at one or
more regionally accredited California colleges or universities,
pursuant to Section 70102, the commission shall assume up to an
additional eight thousand three hundred thirty-four dollars ($8,334)
of the outstanding liability of the participant under one or more of
the designated loan programs, for a total loan assumption of up to
twenty-five thousand dollars ($25,000).
(d) The commission may assume liability for loans received by the
program participant to pay for the costs of obtaining the program
participant's undergraduate and graduate degrees.
(e) The term of the loan assumption agreement shall be not more
than 10 years from the date on which the agreement was executed by
the program participant and the commission.
70104. (a) Except as provided in subdivisions (b) and (c), if a
program participant fails to complete a minimum of three academic
years of teaching on a full-time basis or the equivalent on a
part-time basis, as required by this article under the terms of the
agreement pursuant to paragraph (5) of subdivision (c) of Section
70101, the loan assumption agreement is no longer effective and shall
be deemed terminated, and the commission shall not make any further
payments. The participant shall retain responsibility for any
remaining loan obligations, but shall not be required to repay any
loan payments previously made through this program.
(b) Notwithstanding subdivision (a), if a program participant
becomes unable to complete one of the three years of teaching service
on a full-time basis, or the equivalent on a part-time basis, due to
a serious illness, pregnancy, or other natural causes, or due to
being called to military active duty status, the term of the loan
assumption agreement shall be extended for a period not to exceed one
academic year, unless extended by the commission on a case-by-case
basis. The commission shall make no further payments under the loan
assumption agreement until the applicable teaching requirements
specified in Section 70103 have been satisfied.
(c) Notwithstanding subdivision (a), if a natural disaster
prevents a program participant from completing one of the required
years of teaching service due to the interruption of instruction at
the employing regionally accredited California college or university,
the term of the loan assumption agreement shall be extended for the
period of time equal to the period from the interruption of
instruction at the employing regionally accredited California college
or university to the resumption of instruction. The commission shall
make no further payments under the loan assumption agreement until
the applicable teaching requirements specified in Section 70103 have
been satisfied.
70105. (a) The commission shall accept nominations from accredited
colleges and universities made pursuant to this article.
(b) The commission shall choose from among those nominations of
graduate students and applicants who have completed their
baccalaureate or graduate degrees with outstanding student loans,
based upon criteria that may include, but are not necessarily limited
to, all of the following:
(1) Grades at the undergraduate level in a subject field related
to nursing.
(2) Grades in the undergraduate program.
(3) Aptitude for graduate work in the field of nursing.
(4) General aptitude for graduate study.
(5) Critical human resource needs.
(c) The commission may develop additional criteria for the
selection of award recipients consistent with the purposes of this
article.
70106. (a) The commission shall administer this article, and shall
adopt rules and regulations for that purpose. The rules and
regulations shall include, but need not be limited to, provisions
regarding the period of time for which a loan assumption agreement
shall remain valid and the development of projections for funding
purposes. In developing these rules and regulations, the commission
shall solicit the advice of representatives from postsecondary
education institutions, the Office of Statewide Health Planning and
Development, and the nursing community.
(b) If this article is amended and the commission deems it
necessary to adopt a rule or regulation to implement that amendment,
the commission shall develop and adopt that rule or regulation no
later than 12 months after the operative date of the statute that
amends the article.
70107. The commission shall work to develop a streamlined
application process for participation in the program set forth in
this article.
70108. The commission shall report annually to the Legislature on
this program. The report shall include, but not be limited to, all of
the following:
(a) The total number of loan assumption agreements offered, by
education level and institution.
(b) The number of loan assumption agreements paid out, by
education level and institution.
(c) The number of loan assumption agreements that are redeemed, by
year of service (year one through year three).
(d) The annual and cumulative attrition rate of participants, by
education level and institution.
70109. Notwithstanding any other law, in any fiscal year, the
commission shall award no more than the number of warrants that are
authorized by the Governor and the Legislature in the annual Budget
Act for that year for the assumption of loans pursuant to this
article.
70110. It is the intent of the Legislature that, commencing with
the 2006-07 fiscal year, funding necessary for the administration of
the student loan assumption program implemented pursuant to this
article shall be included within the annual budget of the commission.
70100. (a) The Legislature hereby recognizes the growing need for
new faculty members in the nursing field at California's colleges and
universities. This need will be fueled largely by the large number
of current faculty approaching retirement age who will need to be
replaced and the expected growth in enrollment demand in California.
Further, to increase the supply of nurses in California, there must
be an expansion of nursing educator opportunities in public colleges
and universities that will produce the necessary faculty to teach in
nursing programs in the state.
(b) The Legislature finds that the rising costs of higher
education, coupled with a shift in available financial aid from
scholarships and grants to loans, make loan repayment options an
important consideration in a student's decision to pursue a graduate
degree in nursing education or in a field related to nursing.
(c) It is the intent of the Legislature that the State Nursing
Assumption Program of Loans for Education (SNAPLE) be designed to
encourage persons to complete their graduate educations and serve as
nursing faculty in a registered nursing program at an accredited
California college or university.
(d) As used in this article, "commission" means the Student Aid
Commission.
70101. (a) Program participants shall meet all of the following
eligibility criteria prior to selection into the program, and shall
continue to meet these criteria, as appropriate, during the payment
periods:
(1) The participant shall be a United States citizen or eligible
noncitizen.
(2) The participant shall be a California resident who, at a
minimum, possesses a baccalaureate degree in nursing or a field
related to nursing.
(3) The participant shall have complied with United States
Selective Service requirements.
(4) The participant shall not owe a refund on any state or federal
educational grant or have delinquent or defaulted student loans.
(b) (1) Any person who has obtained a baccalaureate or graduate
degree from an institution of postsecondary education, and who is
participating in the loan assumption program set forth in this
article, may be eligible to receive a conditional loan assumption
agreement, to be redeemed pursuant to this chapter upon meeting the
criteria of Section 70102.
(2) A person who is currently teaching nursing at a regionally
accredited California college or university is not eligible to enter
into an agreement for loan assumption under this article.
(c) (1) The commission shall award loan assumption agreements to
either of the following applicants who otherwise meet the eligibility
criteria of this section:
(A) An applicant who has been admitted to or enrolled in an
academic program leading to a graduate level degree and demonstrates
academic ability.
(B) An applicant with a baccalaureate, or baccalaureate and
graduate degrees.
(2) (A) An applicant who is pursuing a graduate degree shall be
enrolled on at least a half-time basis each academic term as defined
by an eligible institution and shall agree to maintain satisfactory
academic progress.
(B) Except as provided in subparagraph (C), if a program
participant fails to maintain half-time enrollment as required by
this article, under the terms of the agreement pursuant to
subparagraph (A), the loan assumption agreement shall be deemed
invalid. The participant shall retain full liability for all student
loan obligations. The participant is excused from the half-time
enrollment requirement if the student is in his or her final term in
school and has no additional coursework required to obtain his or her
graduate degree in nursing or a field related to nursing.
(C) Notwithstanding subparagraph (B), a program participant shall
be excused from the half-time enrollment requirement for a period not
to exceed one calendar year, unless approved by the commission for a
longer period, if a program participant becomes unable to maintain
half-time enrollment due to any of the following:
(i) Serious illness, pregnancy, or other natural causes.
(ii) The participant is called to military active duty status.
(iii) A natural disaster prevents the participant from maintaining
half-time enrollment due to the interruption of instruction at the
eligible institution.
(3) The applicant shall have been judged by his or her
postsecondary institution or employer, whichever is applicable, to
have outstanding ability on the basis of criteria that may include,
but need not be limited to, any of the following:
(A) Grade point average.
(B) Test scores.
(C) Faculty evaluations.
(D) Interviews.
(E) Other recommendations.
(4) The applicant shall have received, or be approved to receive,
a loan under one or more of the following designated loan programs:
(A) The Federal Family Education Loan Program (20 U.S.C. Sec. 1071
et seq.).
(B) The Federal Direct Loan Program.
(C) Any loan program approved by the commission.
(5) (A) The applicant shall have agreed to teach nursing on a
full-time basis at one or more regionally accredited California
colleges or universities for at least three years, or on a part-time
basis for the equivalent of three full-time academic years,
commencing not more than 12 months after obtaining an academic
degree, unless the applicant, within 12 months after obtaining the
academic degree, enrolls in an academic degree program leading to a
more advanced degree in nursing or a field related to nursing.
(B) A participant who possesses a baccalaureate or graduate degree
at the time of application to the program shall agree to teach
nursing on a full-time or part-time basis commencing not more than 12
months after receiving a loan assumption award.
(6) An applicant who teaches on less than a full-time basis may
participate in the program, but is not eligible for loan repayment
until that person teaches for the equivalent of a full-time academic
year.
(d) A person participating in the program pursuant to this section
shall not receive more than one loan assumption agreement, and shall
not be eligible to receive a grant pursuant to Article 3.51
(commencing with Section 78260) of Chapter 2 of Part 48.
70102. The commission shall commence loan assumption payments
pursuant to this article upon verification that the participant has
fulfilled all of the following:
(a) The participant has received a baccalaureate degree or a
graduate degree from an accredited, participating institution.
(b) The participant has provided the equivalent of full-time
nursing instruction at one or more regionally accredited California
colleges or universities for one academic year or the equivalent.
(c) The participant has met the requirements of the loan
assumption agreement and all other conditions of this article.
70103. The terms of the loan assumptions granted under this article
shall be as follows, subject to the specific terms of each loan
assumption agreement:
(a) After a program participant has completed one academic year,
or the equivalent, of full-time teaching nursing studies at one or
more regionally accredited, eligible California colleges or
universities, pursuant to Section 70102, the commission shall assume
up to eight thousand three hundred thirty-three dollars ($8,333) of
the outstanding liability of the participant under one or more of the
designated loan programs.
(b) After the program participant has completed two consecutive
academic years, or the equivalent, of full-time teaching at one or
more regionally accredited California colleges or universities,
pursuant to Section 70102, the commission shall assume up to an
additional eight thousand three hundred thirty-three dollars ($8,333)
of the outstanding liability of the participant under one or more of
the designated loan programs, for a total loan assumption of up to
sixteen thousand six hundred sixty-six dollars ($16,666).
(c) After a program participant has completed three consecutive
academic years, or the equivalent of full-time teaching, at one or
more regionally accredited California colleges or universities,
pursuant to Section 70102, the commission shall assume up to an
additional eight thousand three hundred thirty-four dollars ($8,334)
of the outstanding liability of the participant under one or more of
the designated loan programs, for a total loan assumption of up to
twenty-five thousand dollars ($25,000).
(d) The commission may assume liability for loans received by the
program participant to pay for the costs of obtaining the program
participant's undergraduate and graduate degrees.
(e) The term of the loan assumption agreement shall be not more
than 10 years from the date on which the agreement was executed by
the program participant and the commission.
70104. (a) Except as provided in subdivisions (b) and (c), if a
program participant fails to complete a minimum of three academic
years of teaching on a full-time basis or the equivalent on a
part-time basis, as required by this article under the terms of the
agreement pursuant to paragraph (5) of subdivision (c) of Section
70101, the loan assumption agreement is no longer effective and shall
be deemed terminated, and the commission shall not make any further
payments. The participant shall retain responsibility for any
remaining loan obligations, but shall not be required to repay any
loan payments previously made through this program.
(b) Notwithstanding subdivision (a), if a program participant
becomes unable to complete one of the three years of teaching service
on a full-time basis, or the equivalent on a part-time basis, due to
a serious illness, pregnancy, or other natural causes, or due to
being called to military active duty status, the term of the loan
assumption agreement shall be extended for a period not to exceed one
academic year, unless extended by the commission on a case-by-case
basis. The commission shall make no further payments under the loan
assumption agreement until the applicable teaching requirements
specified in Section 70103 have been satisfied.
(c) Notwithstanding subdivision (a), if a natural disaster
prevents a program participant from completing one of the required
years of teaching service due to the interruption of instruction at
the employing regionally accredited California college or university,
the term of the loan assumption agreement shall be extended for the
period of time equal to the period from the interruption of
instruction at the employing regionally accredited California college
or university to the resumption of instruction. The commission shall
make no further payments under the loan assumption agreement until
the applicable teaching requirements specified in Section 70103 have
been satisfied.
70105. (a) The commission shall accept nominations from accredited
colleges and universities made pursuant to this article.
(b) The commission shall choose from among those nominations of
graduate students and applicants who have completed their
baccalaureate or graduate degrees with outstanding student loans,
based upon criteria that may include, but are not necessarily limited
to, all of the following:
(1) Grades at the undergraduate level in a subject field related
to nursing.
(2) Grades in the undergraduate program.
(3) Aptitude for graduate work in the field of nursing.
(4) General aptitude for graduate study.
(5) Critical human resource needs.
(c) The commission may develop additional criteria for the
selection of award recipients consistent with the purposes of this
article.
70106. (a) The commission shall administer this article, and shall
adopt rules and regulations for that purpose. The rules and
regulations shall include, but need not be limited to, provisions
regarding the period of time for which a loan assumption agreement
shall remain valid and the development of projections for funding
purposes. In developing these rules and regulations, the commission
shall solicit the advice of representatives from postsecondary
education institutions, the Office of Statewide Health Planning and
Development, and the nursing community.
(b) If this article is amended and the commission deems it
necessary to adopt a rule or regulation to implement that amendment,
the commission shall develop and adopt that rule or regulation no
later than 12 months after the operative date of the statute that
amends the article.
70107. The commission shall work to develop a streamlined
application process for participation in the program set forth in
this article.
70108. The commission shall report annually to the Legislature on
this program. The report shall include, but not be limited to, all of
the following:
(a) The total number of loan assumption agreements offered, by
education level and institution.
(b) The number of loan assumption agreements paid out, by
education level and institution.
(c) The number of loan assumption agreements that are redeemed, by
year of service (year one through year three).
(d) The annual and cumulative attrition rate of participants, by
education level and institution.
70109. Notwithstanding any other law, in any fiscal year, the
commission shall award no more than the number of warrants that are
authorized by the Governor and the Legislature in the annual Budget
Act for that year for the assumption of loans pursuant to this
article.
70110. It is the intent of the Legislature that, commencing with
the 2006-07 fiscal year, funding necessary for the administration of
the student loan assumption program implemented pursuant to this
article shall be included within the annual budget of the commission.
70100. (a) The Legislature hereby recognizes the growing need for
new faculty members in the nursing field at California's colleges and
universities. This need will be fueled largely by the large number
of current faculty approaching retirement age who will need to be
replaced and the expected growth in enrollment demand in California.
Further, to increase the supply of nurses in California, there must
be an expansion of nursing educator opportunities in public colleges
and universities that will produce the necessary faculty to teach in
nursing programs in the state.
(b) The Legislature finds that the rising costs of higher
education, coupled with a shift in available financial aid from
scholarships and grants to loans, make loan repayment options an
important consideration in a student's decision to pursue a graduate
degree in nursing education or in a field related to nursing.
(c) It is the intent of the Legislature that the State Nursing
Assumption Program of Loans for Education (SNAPLE) be designed to
encourage persons to complete their graduate educations and serve as
nursing faculty in a registered nursing program at an accredited
California college or university.
(d) As used in this article, "commission" means the Student Aid
Commission.
70101. (a) Program participants shall meet all of the following
eligibility criteria prior to selection into the program, and shall
continue to meet these criteria, as appropriate, during the payment
periods:
(1) The participant shall be a United States citizen or eligible
noncitizen.
(2) The participant shall be a California resident who, at a
minimum, possesses a baccalaureate degree in nursing or a field
related to nursing.
(3) The participant shall have complied with United States
Selective Service requirements.
(4) The participant shall not owe a refund on any state or federal
educational grant or have delinquent or defaulted student loans.
(b) (1) Any person who has obtained a baccalaureate or graduate
degree from an institution of postsecondary education, and who is
participating in the loan assumption program set forth in this
article, may be eligible to receive a conditional loan assumption
agreement, to be redeemed pursuant to this chapter upon meeting the
criteria of Section 70102.
(2) A person who is currently teaching nursing at a regionally
accredited California college or university is not eligible to enter
into an agreement for loan assumption under this article.
(c) (1) The commission shall award loan assumption agreements to
either of the following applicants who otherwise meet the eligibility
criteria of this section:
(A) An applicant who has been admitted to or enrolled in an
academic program leading to a graduate level degree and demonstrates
academic ability.
(B) An applicant with a baccalaureate, or baccalaureate and
graduate degrees.
(2) (A) An applicant who is pursuing a graduate degree shall be
enrolled on at least a half-time basis each academic term as defined
by an eligible institution and shall agree to maintain satisfactory
academic progress.
(B) Except as provided in subparagraph (C), if a program
participant fails to maintain half-time enrollment as required by
this article, under the terms of the agreement pursuant to
subparagraph (A), the loan assumption agreement shall be deemed
invalid. The participant shall retain full liability for all student
loan obligations. The participant is excused from the half-time
enrollment requirement if the student is in his or her final term in
school and has no additional coursework required to obtain his or her
graduate degree in nursing or a field related to nursing.
(C) Notwithstanding subparagraph (B), a program participant shall
be excused from the half-time enrollment requirement for a period not
to exceed one calendar year, unless approved by the commission for a
longer period, if a program participant becomes unable to maintain
half-time enrollment due to any of the following:
(i) Serious illness, pregnancy, or other natural causes.
(ii) The participant is called to military active duty status.
(iii) A natural disaster prevents the participant from maintaining
half-time enrollment due to the interruption of instruction at the
eligible institution.
(3) The applicant shall have been judged by his or her
postsecondary institution or employer, whichever is applicable, to
have outstanding ability on the basis of criteria that may include,
but need not be limited to, any of the following:
(A) Grade point average.
(B) Test scores.
(C) Faculty evaluations.
(D) Interviews.
(E) Other recommendations.
(4) The applicant shall have received, or be approved to receive,
a loan under one or more of the following designated loan programs:
(A) The Federal Family Education Loan Program (20 U.S.C. Sec. 1071
et seq.).
(B) The Federal Direct Loan Program.
(C) Any loan program approved by the commission.
(5) (A) The applicant shall have agreed to teach nursing on a
full-time basis at one or more regionally accredited California
colleges or universities for at least three years, or on a part-time
basis for the equivalent of three full-time academic years,
commencing not more than 12 months after obtaining an academic
degree, unless the applicant, within 12 months after obtaining the
academic degree, enrolls in an academic degree program leading to a
more advanced degree in nursing or a field related to nursing.
(B) A participant who possesses a baccalaureate or graduate degree
at the time of application to the program shall agree to teach
nursing on a full-time or part-time basis commencing not more than 12
months after receiving a loan assumption award.
(6) An applicant who teaches on less than a full-time basis may
participate in the program, but is not eligible for loan repayment
until that person teaches for the equivalent of a full-time academic
year.
(d) A person participating in the program pursuant to this section
shall not receive more than one loan assumption agreement, and shall
not be eligible to receive a grant pursuant to Article 3.51
(commencing with Section 78260) of Chapter 2 of Part 48.
70102. The commission shall commence loan assumption payments
pursuant to this article upon verification that the participant has
fulfilled all of the following:
(a) The participant has received a baccalaureate degree or a
graduate degree from an accredited, participating institution.
(b) The participant has provided the equivalent of full-time
nursing instruction at one or more regionally accredited California
colleges or universities for one academic year or the equivalent.
(c) The participant has met the requirements of the loan
assumption agreement and all other conditions of this article.
70103. The terms of the loan assumptions granted under this article
shall be as follows, subject to the specific terms of each loan
assumption agreement:
(a) After a program participant has completed one academic year,
or the equivalent, of full-time teaching nursing studies at one or
more regionally accredited, eligible California colleges or
universities, pursuant to Section 70102, the commission shall assume
up to eight thousand three hundred thirty-three dollars ($8,333) of
the outstanding liability of the participant under one or more of the
designated loan programs.
(b) After the program participant has completed two consecutive
academic years, or the equivalent, of full-time teaching at one or
more regionally accredited California colleges or universities,
pursuant to Section 70102, the commission shall assume up to an
additional eight thousand three hundred thirty-three dollars ($8,333)
of the outstanding liability of the participant under one or more of
the designated loan programs, for a total loan assumption of up to
sixteen thousand six hundred sixty-six dollars ($16,666).
(c) After a program participant has completed three consecutive
academic years, or the equivalent of full-time teaching, at one or
more regionally accredited California colleges or universities,
pursuant to Section 70102, the commission shall assume up to an
additional eight thousand three hundred thirty-four dollars ($8,334)
of the outstanding liability of the participant under one or more of
the designated loan programs, for a total loan assumption of up to
twenty-five thousand dollars ($25,000).
(d) The commission may assume liability for loans received by the
program participant to pay for the costs of obtaining the program
participant's undergraduate and graduate degrees.
(e) The term of the loan assumption agreement shall be not more
than 10 years from the date on which the agreement was executed by
the program participant and the commission.
70104. (a) Except as provided in subdivisions (b) and (c), if a
program participant fails to complete a minimum of three academic
years of teaching on a full-time basis or the equivalent on a
part-time basis, as required by this article under the terms of the
agreement pursuant to paragraph (5) of subdivision (c) of Section
70101, the loan assumption agreement is no longer effective and shall
be deemed terminated, and the commission shall not make any further
payments. The participant shall retain responsibility for any
remaining loan obligations, but shall not be required to repay any
loan payments previously made through this program.
(b) Notwithstanding subdivision (a), if a program participant
becomes unable to complete one of the three years of teaching service
on a full-time basis, or the equivalent on a part-time basis, due to
a serious illness, pregnancy, or other natural causes, or due to
being called to military active duty status, the term of the loan
assumption agreement shall be extended for a period not to exceed one
academic year, unless extended by the commission on a case-by-case
basis. The commission shall make no further payments under the loan
assumption agreement until the applicable teaching requirements
specified in Section 70103 have been satisfied.
(c) Notwithstanding subdivision (a), if a natural disaster
prevents a program participant from completing one of the required
years of teaching service due to the interruption of instruction at
the employing regionally accredited California college or university,
the term of the loan assumption agreement shall be extended for the
period of time equal to the period from the interruption of
instruction at the employing regionally accredited California college
or university to the resumption of instruction. The commission shall
make no further payments under the loan assumption agreement until
the applicable teaching requirements specified in Section 70103 have
been satisfied.
70105. (a) The commission shall accept nominations from accredited
colleges and universities made pursuant to this article.
(b) The commission shall choose from among those nominations of
graduate students and applicants who have completed their
baccalaureate or graduate degrees with outstanding student loans,
based upon criteria that may include, but are not necessarily limited
to, all of the following:
(1) Grades at the undergraduate level in a subject field related
to nursing.
(2) Grades in the undergraduate program.
(3) Aptitude for graduate work in the field of nursing.
(4) General aptitude for graduate study.
(5) Critical human resource needs.
(c) The commission may develop additional criteria for the
selection of award recipients consistent with the purposes of this
article.
70106. (a) The commission shall administer this article, and shall
adopt rules and regulations for that purpose. The rules and
regulations shall include, but need not be limited to, provisions
regarding the period of time for which a loan assumption agreement
shall remain valid and the development of projections for funding
purposes. In developing these rules and regulations, the commission
shall solicit the advice of representatives from postsecondary
education institutions, the Office of Statewide Health Planning and
Development, and the nursing community.
(b) If this article is amended and the commission deems it
necessary to adopt a rule or regulation to implement that amendment,
the commission shall develop and adopt that rule or regulation no
later than 12 months after the operative date of the statute that
amends the article.
70107. The commission shall work to develop a streamlined
application process for participation in the program set forth in
this article.
70108. The commission shall report annually to the Legislature on
this program. The report shall include, but not be limited to, all of
the following:
(a) The total number of loan assumption agreements offered, by
education level and institution.
(b) The number of loan assumption agreements paid out, by
education level and institution.
(c) The number of loan assumption agreements that are redeemed, by
year of service (year one through year three).
(d) The annual and cumulative attrition rate of participants, by
education level and institution.
70109. Notwithstanding any other law, in any fiscal year, the
commission shall award no more than the number of warrants that are
authorized by the Governor and the Legislature in the annual Budget
Act for that year for the assumption of loans pursuant to this
article.
70110. It is the intent of the Legislature that, commencing with
the 2006-07 fiscal year, funding necessary for the administration of
the student loan assumption program implemented pursuant to this
article shall be included within the annual budget of the commission.
