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
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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:
Section 1. Section 2807-m of the public health law is amended by
adding a new subdivision 5-c to read as follows:
5-C. REGISTERED NURSE LOAN REPAYMENT PROGRAM. (A) BEGINNING JANUARY
FIRST, TWO THOUSAND THIRTEEN, THE COMMISSIONER IS AUTHORIZED, WITHIN
AMOUNTS AVAILABLE PURSUANT TO SUBDIVISION FIVE-A OF THIS SECTION, TO
MAKE LOAN REPAYMENT AWARDS:
(I) TO REGISTERED PROFESSIONAL NURSES OR OTHER LICENSED PRACTICAL
NURSES SPECIALITIES DETERMINED BY THE COMMISSIONER TO BE IN SHORT
SUPPLY, LICENSED TO PRACTICE NURSING PURSUANT TO ARTICLE ONE HUNDRED
THIRTY-NINE OF THE EDUCATION LAW, WHO AGREE TO PRACTICE FOR AT LEAST
FIVE YEARS IN AN UNDERSERVED AREA OR NURSING HOME, AS DETERMINED BY THE
COMMISSIONER. SUCH REGISTERED PROFESSIONAL NURSE OR LICENSED PRACTICAL
NURSE SHALL BE ELIGIBLE FOR A LOAN REPAYMENT AWARD OF UP TO ONE HUNDRED
FIFTY THOUSAND DOLLARS OVER A FIVE YEAR PERIOD DISTRIBUTED AS FOLLOWS:
FIFTEEN PERCENT OF TOTAL LOAN DEBT NOT TO EXCEED TWENTY THOUSAND DOLLARS
FOR THE FIRST YEAR; FIFTEEN PERCENT OF TOTAL LOAN DEBT NOT TO EXCEED
TWENTY-FIVE THOUSAND DOLLARS FOR THE SECOND YEAR; TWENTY PERCENT OF
TOTAL LOAN DEBT NOT TO EXCEED THIRTY-FIVE THOUSAND DOLLARS FOR THE THIRD
YEAR; AND TWENTY-FIVE PERCENT OF TOTAL LOAN DEBT NOT TO EXCEED
THIRTY-FIVE THOUSAND DOLLARS PER YEAR FOR THE FOURTH AND FIFTH YEARS OF
PRACTICE IN SUCH AREA; AND
(II) TO GENERAL HOSPITALS AND OTHER HEALTH CARE PROVIDERS TO ADMINIS-
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
AWARDS SHALL BE ADMINISTERED CONSISTENT WITH THE PROVISIONS OF THIS
SUBDIVISION.
(B) LOAN REPAYMENT AWARDS MADE TO A REGISTERED PROFESSIONAL NURSE OR
LICENSED PRACTICAL NURSE PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION
SHALL NOT EXCEED THE TOTAL QUALIFYING OUTSTANDING DEBT OF THE REGISTERED
PROFESSIONAL NURSE OR LICENSED PRACTICAL NURSE FROM STUDENT LOANS TO
COVER TUITION AND OTHER RELATED EDUCATIONAL EXPENSES, MADE BY OR GUARAN-
TEED BY THE FEDERAL OR STATE GOVERNMENT, OR MADE BY A LENDING OR EDUCA-
TIONAL INSTITUTION APPROVED UNDER TITLE IV OF THE FEDERAL HIGHER EDUCA-
TION ACT. LOAN REPAYMENT AWARDS SHALL BE USED SOLELY TO REPAY SUCH
OUTSTANDING DEBT.
(C) ANY RECIPIENT OF FUNDS PURSUANT TO THIS SUBDIVISION WHO PRACTICES
LESS THAN TWO YEARS IN AN UNDERSERVED AREA OR NURSING HOME, AS DETER-
MINED BY THE COMMISSIONER, SHALL REPAY ALL FUNDS PAID IN AMOUNTS TO BE
DETERMINED BY THE COMMISSIONER PURSUANT TO THIS SUBDIVISION, AND SHALL
NO LONGER BE ELIGIBLE FOR FUTURE PAYMENTS UNDER THIS SUBDIVISION. THE
RATE OF INTEREST APPLIED SHALL BE DETERMINED BY THE COMMISSIONER, BUT
WILL NOT BE LESS THAN THE RATE OF INTEREST SET BY THE COMMISSIONER OF
TAXATION AND FINANCE WITH RESPECT TO UNDERPAYMENTS OF PERSONAL INCOME
TAX PURSUANT TO SECTION SIX HUNDRED EIGHTY-FOUR OF THE TAX LAW.
(D) THE COMMISSIONER IS AUTHORIZED TO APPLY ANY FUNDS AVAILABLE FOR
PURPOSES OF PARAGRAPH (A) OF THIS SUBDIVISION FOR USE AS MATCHING FUNDS
FOR FEDERAL GRANTS FOR THE PURPOSE OF ASSISTING STATES IN OPERATING LOAN
REPAYMENT PROGRAMS PURSUANT TO SECTION THREE HUNDRED THIRTY-EIGHT I OF
THE PUBLIC HEALTH SERVICE ACT.
(E) THE COMMISSIONER MAY, IN HIS OR HER SOLE DISCRETION, POSTPONE,
CHANGE OR WAIVE THE SERVICE OBLIGATION SET FORTH IN SUBPARAGRAPH (I) OF
PARAGRAPH (A) OF THIS SUBDIVISION.
S 2. This act shall take effect immediately.