HF 469 (LSB 2315YH (2) 86)

HOUSE FILE 469

BY  SMITH, GASKILL, COHOON, LENSING, WINCKLER, HUNTER, McCONKEY, BROWN-POWERS, THEDE, GAINES, HANSON, STAED, BEARINGER, ANDERSON, KEARNS, KELLEY, and STUTSMAN

A BILL FOR

An Act creating a licensed social worker loan repayment program and revolving fund.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  261.117  Licensed social worker loan repayment program —— definitions.
   1.  A licensed social worker loan repayment program is established, to be administered by the college student aid commission for the purpose of increasing the number of social workers serving in critical human service areas.
   2.  For purposes of this division:
   a.  “Critical human service area” includes but is not limited to an area of the state with a shortage of social workers providing health, mental health, substance abuse, aging, HIV/AIDS, victim, or child welfare services, or communities with multilingual needs. A critical human service area shall be an area designated as a mental health professional shortage area by the United States department of health and human services health resources and services administration.
   b.  “Licensed social worker” means an individual holding a license issued under chapter 154C who is employed in a critical human service area.
    Sec. 2.  NEW SECTION.  261.118  Licensed social worker loan repayment revolving fund.
   1.  a.  A licensed social worker loan repayment revolving fund is created in the state treasury as a separate fund under the control of the commission. The commission shall deposit moneys appropriated for purposes of the licensed social worker loan repayment program, moneys repaid by loan repayment award recipients who fail to meet the service area requirements, and any other moneys obtained or accepted by the commission for deposit into the fund.
   b.  Moneys in the fund shall be used for purposes of the licensed social worker loan repayment program. Notwithstanding section 8.33, moneys deposited in the fund shall not revert to any fund of the state at the end of any fiscal year but shall remain in the fund and be continuously available for the program.
   2.  Notwithstanding section 12C.7, subsection 2, interest or earnings on moneys deposited in the fund shall be credited to the fund.
    Sec. 3.  NEW SECTION.  261.119  Loan payment awards.
   1.  Each applicant for loan repayment shall, in accordance with the rules of the commission, do the following:
   a.  Complete and file an application for licensed social worker loan repayment. The individual shall be responsible for the prompt submission of any information required by the commission.
   b.  File a new application and submit information as required by the commission annually on the basis of which the applicant’s eligibility for the renewed loan repayment will be evaluated and determined.
   c.  Complete and return on a form approved by the commission an affidavit of practice verifying that the applicant is a licensed social worker in a critical human service area.
   2.  Loan repayment awards shall be made annually to applicants in the following order of priority:
   a.  Applicants who have received payment of an award pursuant to this section in a prior year and who have provided social work services in a critical human service area in the year prior to such application.
   b.  Applicants who have not received payment of an award pursuant to this section in a prior year and who have provided social work services in a critical human service area in the year prior to such application.
   c.  Applicants from underrepresented racial, cultural, and ethnic groups and individuals with disabilities.
   3.  The contract for the loan repayment shall stipulate the time period the licensed social worker shall practice in a critical human service area. In addition, the contract shall stipulate that the licensed social worker shall repay any funds paid on the person’s loan by the commission if the person fails to practice in a critical human service area for the required period of time.
   4.  a.  The annual amount of a licensed social worker loan repayment award shall be six thousand five hundred dollars or twenty percent of the licensed social worker’s total federally guaranteed Stafford loan amount under the federal family education loan program or the federal direct loan program, including principal and interest, whichever amount is less. A recipient shall not receive loan repayment that exceeds the total remaining balance of the recipient’s student loan debt or twenty-five thousand dollars, whichever is less.
   b.  Awards shall be within the amounts appropriated for such purpose and shall be based on the availability of funds.
   5.  The commission shall adopt rules pursuant to chapter 17A to administer this division.
EXPLANATION
The inclusion of this explanation does not constitute agreement with

the explanation’s substance by the members of the general assembly.
   This bill creates a licensed social worker loan repayment program administered by the college student aid commission. Applicants for the program must enter into an agreement with the commission, agreeing to work for a specific period of time in a “critical human service area”, defined as a geographic area in Iowa with a shortage of social workers in health, mental health, substance abuse, aging, HIV/AIDS, victim, or child welfare concerns, or communities with multilingual needs.
   The program provides a specific annual benefit, up to $6,500, for licensed social workers who have worked in a critical human service area in the previous year. No recipient shall receive loan repayment that exceeds the total remaining balance of the student loan debt and no recipient shall receive cumulative awards in excess of $25,000.
   The program is funded by a special revolving fund in the state treasury, controlled by the college student aid commission. The fund consists of moneys appropriated for purposes of the program, repayments by participants who fail to meet the service area requirements, and any other available moneys. Moneys deposited in the fund do not revert to any other fund at the end of any fiscal year but shall remain in the fund and be continuously available for the program. Interest or earnings on moneys deposited in the fund shall also be credited to the fund.