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Senate Study Bill 1024 - IntroducedA Bill ForAn Act 1relating to loan repayments made by the college student
2aid commission under the mental health professional loan
3repayment program and including applicability provisions.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 261.117, subsection 2, Code 2023, is
2amended to read as follows:
32. Program established. A mental health professional loan
4repayment program is established to be administered by the
5commission for purposes of providing annual loan repayments
6for mental health professionals who agree to practice in an
7eligible practice area and meet the requirements of this
8section.
9 Sec. 2. Section 261.117, subsection 3, paragraph a,
10unnumbered paragraph 1, Code 2023, is amended to read as
11follows:
12The mental health professional and the commission shall
13enter into a program agreement. Under the agreement, to
14receive annual loan repayments pursuant to subsection 5, a
15mental health professional shall agree to and shall engage in
16either of the following:
17 Sec. 3. Section 261.117, subsection 4, paragraph b, Code
182023, is amended to read as follows:
19b. If a mental health professional fails to fulfill the
20obligation to engage in practice in accordance with subsection
213, the mental health professional shall be subject to repayment
22to the commission of loan repayment amounts the commission paid
23to the mental health professional pursuant to subsection 5 plus
24interest as specified by rule shall not make additional loan
25repayments to the mental health professional.
26 Sec. 4. Section 261.117, subsection 5, Code 2023, is amended
27to read as follows:
285. Loan repayment amounts. The
29a. After the completion of a year of full-time practice,
30annual amount of loan repayment the commission may make to a
31mental health professional who enters into a program agreement
32pursuant to subsection 3, if the mental health professional is
33in compliance with obligations under the agreement, shall be
34eight thousand dollars for an eligible loan.
35b. After the completion of a year of part-time practice, the
-1-1annual amount of loan repayment the commission may make to a
2mental health professional who enters into a program agreement
3pursuant to subsection 3, if the mental health professional
4is in compliance with obligations under the agreement, shall
5be the same amount of loan repayment the commission may make
6pursuant to paragraph “a” prorated based on the number of hours
7of practice in the mental health professional’s workweek.
8c. The total amount of loan repayments from the commission
9to a mental health professional under this subsection shall not
10exceed forty thousand dollars.
11 Sec. 5. APPLICABILITY. This Act applies individuals who
12receive loan repayments under the mental health professional
13loan repayment program on or after the effective date of this
14Act.
15EXPLANATION
16The inclusion of this explanation does not constitute agreement with
17the explanation’s substance by the members of the general assembly.
18This bill relates to loan repayments made by the college
19student aid commission under the mental health professional
20loan repayment program (program).
21The program provides loan repayments for mental health
22professionals who agree to practice in an eligible practice
23area, as defined in Code section 261.117, for five years if the
24individual engages in full-time practice or for seven years
25if the individual engages in part-time practice. The bill
26provides that the college student aid commission is to make
27loan repayments annually after the completion of each year of
28practice.
29Current law requires an individual who receives loan
30repayments under the program to repay the commission the
31total amount of the loan repayments if the individual fails
32to fulfill the obligation to practice as a mental health
33professional in a service area for the applicable amount of
34time. The bill strikes this requirement. The bill provides
35that if the individual fails to fulfill the obligation to
-2-1practice as a mental health professional in a service area for
2the applicable amount of time, the commission is prohibited
3from making additional loan repayments to the individual.
4Current law provides that the annual amount of loan
5repayment the commission may make to an individual under
6the program is $8,000. The bill provides that, after the
7completion of a year of full-time practice, the annual amount
8of loan repayment the commission may make to an individual
9under the program is $8,000. Additionally, the bill provides
10that, after the completion of a year of part-time practice,
11the annual amount of loan repayment the commission may make to
12an individual under the program shall be the same amount of
13loan repayment the commission may make to an individual who has
14completed a year of full-time practice prorated based on the
15number of hours of practice in the individual’s workweek.
16The bill applies to individuals who receive loan repayments
17under the program on or after the effective date of the bill.
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2aid commission under the mental health professional loan
3repayment program and including applicability provisions.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 261.117, subsection 2, Code 2023, is
2amended to read as follows:
32. Program established. A mental health professional loan
4repayment program is established to be administered by the
5commission for purposes of providing annual loan repayments
6for mental health professionals who agree to practice in an
7eligible practice area and meet the requirements of this
8section.
9 Sec. 2. Section 261.117, subsection 3, paragraph a,
10unnumbered paragraph 1, Code 2023, is amended to read as
11follows:
12The mental health professional and the commission shall
13enter into a program agreement. Under the agreement, to
14receive annual loan repayments pursuant to subsection 5, a
15mental health professional shall agree to and shall engage in
16either of the following:
17 Sec. 3. Section 261.117, subsection 4, paragraph b, Code
182023, is amended to read as follows:
19b. If a mental health professional fails to fulfill the
20obligation to engage in practice in accordance with subsection
213, the mental health professional shall be subject to repayment
22to the commission of loan repayment amounts the commission paid
23to the mental health professional pursuant to subsection 5 plus
24interest as specified by rule shall not make additional loan
25repayments to the mental health professional.
26 Sec. 4. Section 261.117, subsection 5, Code 2023, is amended
27to read as follows:
285. Loan repayment amounts. The
29a. After the completion of a year of full-time practice,
30annual amount of loan repayment the commission may make to a
31mental health professional who enters into a program agreement
32pursuant to subsection 3, if the mental health professional is
33in compliance with obligations under the agreement, shall be
34eight thousand dollars for an eligible loan.
35b. After the completion of a year of part-time practice, the
-1-1annual amount of loan repayment the commission may make to a
2mental health professional who enters into a program agreement
3pursuant to subsection 3, if the mental health professional
4is in compliance with obligations under the agreement, shall
5be the same amount of loan repayment the commission may make
6pursuant to paragraph “a” prorated based on the number of hours
7of practice in the mental health professional’s workweek.
8c. The total amount of loan repayments from the commission
9to a mental health professional under this subsection shall not
10exceed forty thousand dollars.
11 Sec. 5. APPLICABILITY. This Act applies individuals who
12receive loan repayments under the mental health professional
13loan repayment program on or after the effective date of this
14Act.
15EXPLANATION
16The inclusion of this explanation does not constitute agreement with
17the explanation’s substance by the members of the general assembly.
18This bill relates to loan repayments made by the college
19student aid commission under the mental health professional
20loan repayment program (program).
21The program provides loan repayments for mental health
22professionals who agree to practice in an eligible practice
23area, as defined in Code section 261.117, for five years if the
24individual engages in full-time practice or for seven years
25if the individual engages in part-time practice. The bill
26provides that the college student aid commission is to make
27loan repayments annually after the completion of each year of
28practice.
29Current law requires an individual who receives loan
30repayments under the program to repay the commission the
31total amount of the loan repayments if the individual fails
32to fulfill the obligation to practice as a mental health
33professional in a service area for the applicable amount of
34time. The bill strikes this requirement. The bill provides
35that if the individual fails to fulfill the obligation to
-2-1practice as a mental health professional in a service area for
2the applicable amount of time, the commission is prohibited
3from making additional loan repayments to the individual.
4Current law provides that the annual amount of loan
5repayment the commission may make to an individual under
6the program is $8,000. The bill provides that, after the
7completion of a year of full-time practice, the annual amount
8of loan repayment the commission may make to an individual
9under the program is $8,000. Additionally, the bill provides
10that, after the completion of a year of part-time practice,
11the annual amount of loan repayment the commission may make to
12an individual under the program shall be the same amount of
13loan repayment the commission may make to an individual who has
14completed a year of full-time practice prorated based on the
15number of hours of practice in the individual’s workweek.
16The bill applies to individuals who receive loan repayments
17under the program on or after the effective date of the bill.
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