Relating to loan repayments made by the college student aid commission under the mental health professional loan repayment program and including applicability provisions

This bill relates to loan repayments made by the college student aid commission under the mental health professional loan repayment program (program).117, for five years if the individual engages in full-time practice or for seven years if the individual engages in part-time practice. The bill provides that the college student aid commission is to make loan repayments annually after the completion of each year of practice. Current law requires an individual who receives loan repayments under the program to repay the commission the total amount of the loan repayments if the individual fails to fulfill the obligation to practice as a mental health professional in a service area for the applicable amount of time. The bill strikes this requirement. The bill provides that if the individual fails to fulfill the obligation to practice as a mental health professional in a service area for the applicable amount of time, the commission is prohibited from making additional loan repayments to the individual. Current law provides that the annual amount of loan repayment the commission may make to an individual under the program is $8,000. The bill provides that, after the completion of a year of full-time practice, the annual amount of loan repayment the commission may make to an individual under the program is the lesser of $8,000 or the remaining balance of the individual’s eligible loan. Additionally, the bill provides that, after the completion of a year of part-time practice, the annual amount of loan repayment the commission may make to an individual under the program shall be the lesser of the same amount of loan repayment the commission may make to an individual who has completed a year of full-time practice prorated based on the number of hours of practice in the individual’s workweek or the remaining balance of the individual’s eligible loan. The bill applies to individuals who receive loan repayments under the program on or after the effective date of the bill.