Amend CSHB 713 by adding appropriately numbered sections to
read as follows:
      SECTION     .Subchapter M, Chapter 61, Education Code, is
amended to read as follows:
                SUBCHAPTER M.  REPAYMENT OF CERTAIN
                TEACHER AND FACULTY EDUCATION LOANS
      Sec. 61.701. REPAYMENT AUTHORIZED.  The <coordinating> board
may provide, in accordance with this subchapter and board rules,
assistance in the repayment of student loans for persons <teachers>
who apply and qualify for the assistance.
      Sec. 61.702. ELIGIBILITY.<(a)> To be eligible to receive
repayment assistance, a person <teacher> must <:>
            <(1)> apply to the <coordinating> board<;> and must
have:
            (1)  <(2) have> completed at least one year of
employment as and be employed as a full-time classroom teacher in
the elementary or secondary schools of this state in an area or
field of acute teacher shortage as designated by the State Board of
Education; or
            (2)  received a doctoral degree not earlier than
September 1, 1994, from a public or private institution of higher
education accredited as required by the board and be employed as a
full-time faculty member with instructional duties in an
institution of higher education located in a county that borders
the United Mexican States.
      <(b)  The coordinating board may provide by rule for
repayment assistance on a pro rata basis for teachers employed part
time in an elementary or secondary school of this state in an area
or field of acute teacher shortage as designated by the State Board
of Education.>
      Sec. 61.703. LIMITATION. A person <teacher> may not receive
repayment assistance grants for more than 10 <five> years.
      Sec. 61.704. ELIGIBLE LOANS. (a)  The <coordinating> board
may provide repayment assistance for the repayment of any student
loan for education at a public or private <an> institution of
higher education, including loans for undergraduate and graduate
education, received by a person <teacher> through any lender.
      (b)  The <coordinating> board may not provide repayment
assistance for a student loan that is in default at the time of the
person's <teacher's> application.
      Sec. 61.705. REPAYMENT. (a)  The <coordinating> board shall
deliver any repayment made under this subchapter in a lump sum
payable to the lender and the person <teacher>, in accordance with
federal law.
      (b)  A repayment made under this subchapter may be applied to
the principal amount of the loan and to interest that accrues.
      (c)  The minimum amount of repayment assistance that may be
received in one year by a person described by Section 61.702(2) is
50 percent of the amount of principal and accrued interest that is
due that year.
      Sec. 61.706. ADVISORY COMMITTEES. The <coordinating> board
may appoint advisory committees from outside the board's membership
to assist the board in performing its duties under this subchapter.
      Sec. 61.707. ACCEPTANCE OF FUNDS. The <coordinating> board
may accept gifts, grants, and donations for the purposes of this
subchapter.
      Sec. 61.708. RULES. (a) The <coordinating> board shall adopt
rules necessary for the administration of this subchapter,
including:
            (1)  a rule that sets a minimum or maximum amount of
repayment assistance that may be received in one year by a person
described by Section 61.702(1); and
            (2)  a rule that sets a maximum amount of repayment
assistance that may be receive in one year by person described by
Section 61.702(2) <teacher in one year>.
      (b)  The <coordinating> board shall distribute a copy of the
rules adopted under this section and pertinent information in this
subchapter to:
            (1)  each institution of higher education that offers a
teacher education program;
            (2)  the personnel office at each institution of higher
education described by Section 61.702(2);
            (3)  any other appropriate state agency; and
            (4)  any appropriate professional association.