283—30.1(261) Loan repayment awards to Iowa national guard members. In the event that the adjutant general authorizes the expenditure of unencumbered or unobligated funds from Iowa Code section 261.86(6) for the recruitment or retention of individuals by issuing student loan repayment awards to an eligible member of the Iowa national guard, this chapter shall be used to administer authorized awards. The adjutant general shall select program recipients and authorize awards under this chapter.
	30.1(1) Definitions. As used in this chapter:
“Eligible program of study” means a program of study in science, technology, engineering, and mathematics-related military occupational specialties or air force specialty codes that is in compliance with the federal Edith Nourse Rogers STEM Scholarship program established under 38 United States Code §3320.
“Federal active duty” means military duty performed pursuant to orders issued under Title 10, United States Code, other than for training.
“Qualified student loan” means a federally guaranteed Stafford Loan under the Federal Family Education Loan Program or the Federal Direct Loan Program, a federal Grad PLUS Loan, or a federal Perkins Loan, including principal and interest. Only the outstanding portion of a federal consolidation loan that was used to repay a qualified student loan qualifies for loan repayment.
	30.1(2) Eligibility requirements. An eligible guard member must:
	a. 	Be a resident of Iowa, as defined by the adjutant general of Iowa, and a member of an Iowa army or air national guard unit.
	b. 	Have satisfactorily completed required guard training.
	c. 	Have maintained satisfactory performance of guard duty.
	d. 	Have applied to the adjutant general of Iowa by the established application deadline date(s) by completing any application form required. The adjutant general shall accept an application from an eligible member of the Iowa national guard who was on federal active duty at the time of an application deadline if the application is received within 30 days after the eligible member returns to Iowa from federal active duty. A new application may be required in subsequent years to renew loan repayment eligibility.
	e. 	Be pursuing or have completed an eligible program of study.
	f. 	Have been offered the loan repayment incentive either:
	(1)	In the military entrance process, or
	(2)	Within the final year of the service member’s initial contract obligation, and the individual must sign a six-year extension.
	g. 	Continue to meet the requirements of the contract with the Iowa national guard and the provisions of this chapter.
	30.1(3) Selection criteria. The adjutant general will select eligible guard members to receive the student loan repayment benefit. Neither eligibility nor loan repayment award determinations shall be based upon an eligible guard member’s unit, the location at which drills are attended, or whether the eligible guard member is a member of the Iowa army or air national guard.
	30.1(4) Annual award. The maximum award shall be the lesser of:
	a. 	$5,000, or
	b. 	100 percent of the eligible guard member’s outstanding qualified student loan.
	30.1(5) Extent of repayment. Eligible guard members may receive loan repayment for no more than six consecutive years. Eligible guard members who fail to receive loan repayment awards in consecutive years will not be considered for subsequent years of loan repayment.
	30.1(6) Disbursement of loan repayment funds.
	a. 	Loan repayment awards will be disbursed upon completion of the year for which the award was approved. Prior to issuing the loan repayment award, commission staff will certify that the eligible guard member meets the eligibility requirements.
	b. 	Following completion of the provisions in paragraph 30.1(6)“a,” loan repayment awards will be distributed to the eligible guard member’s student loan holder and applied directly to qualified student loans.
	30.1(7) Loan repayment cancellation. The adjutant general may cancel future loan repayment benefits for an individual if the individual does not continue to meet the provisions under this chapter or if funding is insufficient to provide future loan repayment awards.
	30.1(8) Restrictions. An eligible guard member who is in default on a qualified student loan or who owes a repayment on any Title IV grant assistance or state award shall be ineligible for loan repayment benefits. Eligibility may be reinstated upon payment in full of the delinquent obligation or by commission ruling on the basis of adequate extenuating evidence presented in appeal under the procedures set forth in 283—Chapters 4 and 5. Changes in eligible guard member eligibility will be sent to the commission within 30 days of the change.
[ARC 5969C, IAB 10/6/21, effective 11/10/21]