Amend CSHB 2323 by adding the following appropriately
numbered section and renumbering all other sections:
      Chapter 61, Education Code, is amended by adding Subchapter X
to read as follows:
   SUBCHAPTER X. REPAYMENT OF CERTAIN LAW SCHOOL EDUCATION LOANS
      Sec. 61.951.  DEFINITION. In this subchapter, "rural county"
means a county with a population of 50,000 or less.
      Sec. 61.952.  REPAYMENT ASSISTANCE AUTHORIZED. (a)  The board
shall provide, using funds appropriated for that purpose and in
accordance with this subchapter and board rules, assistance in the
repayment of law school education loans for attorneys who apply and
qualify for the assistance.
      (b)  The provision of financial assistance in the repayment
of education loans under this subchapter promotes a public purpose.
      Sec. 61.953.  ELIGIBILITY. To be eligible to receive
repayment assistance, an attorney must:
            (1)  apply to the board;
            (2)  be currently employed as an attorney by a district
or county attorney's office that serves a rural county; and
            (3)  enter into an agreement to remain employed by the
district or county attorney's office as provided by Section 61.955.
      Sec. 61.954.  ELIGIBLE LOANS. (a)  The board may provide
repayment assistance for the repayment of any education loan
received by the attorney through any lender for education at a
school of law authorized by the board to award a degree that
satisfies the law study requirements for licensure as an attorney
in this state.
      (b)  The board may not provide repayment assistance for an
education loan that is in default at the time of the attorney's
application.
      Sec. 61.955.  AGREEMENT. (a)  To qualify for loan repayment
assistance under this subchapter, a person must enter into a
written agreement with the board as provided by this section.  The
agreement must specify the conditions the person must satisfy to
receive repayment assistance.
      (b)  The agreement must require the person to be employed for
a period of five years with a district or county attorney's office
that serves a rural county.  Only employment with that district or
county attorney's office as an attorney after the date the person
enters into the agreement may be used to satisfy the employment
requirement under the agreement.
      (c)  The agreement must provide that the repayment assistance
the person receives before the person has been employed for five
years as required by the agreement constitutes a loan until the
person completes the five years of employment and satisfies any
other applicable conditions of the agreement.  The agreement must
require the person to sign a promissory note acknowledging the
conditional nature of the repayment assistance received and
promising to repay the amount of that assistance received plus
applicable interest and reasonable collection costs if the person
does not satisfy the applicable conditions.  The board shall
determine the terms of the promissory note.  To the extent
practicable, the terms must be the same as those applicable to
state or federally guaranteed student loans made at the same time.
All amounts collected in repayment of a loan under this subsection,
including interest, but excluding collection costs paid by the
board to another person to collect or assist in collecting the
amount, shall be deposited to the credit of the trust fund
established by Section 61.958.
      Sec. 61.956.  REPAYMENT. (a)  Except as provided by Section
61.959(a), the board shall provide repayment assistance under this
subchapter in the following amounts:
            (1)  60 percent of each payment due on an attorney's
eligible loans during the first 12-month period after the attorney
enters into the agreement under Section 61.955;
            (2)  80 percent of each payment due on an attorney's
eligible loans during the second 12-month period after the attorney
enters into the agreement; and
            (3)  100 percent of each payment due on an attorney's
eligible loans during the third 12-month period after the attorney
enters into the agreement.
      (b)  The board shall deliver any repayment assistance made
under this subchapter in a lump sum payable to the lender and the
attorney and in accordance with any applicable federal law.
      (c)  Loan repayment assistance received under this subchapter
may be applied to the principal amount of the loan and to interest
that accrues.
      Sec. 61.957.  ADVISORY COMMITTEE. The board may appoint an
advisory committee from outside the board's membership to assist
the board in performing the board's duties under this subchapter.
      Sec. 61.958.  FUNDING. (a)  The loan repayment assistance
program established by this subchapter is funded from the rural
district and county attorney student loan assistance trust fund.
The trust fund is established outside the treasury and is
administered by the comptroller.  Money in the trust fund may be
spent without appropriation and only to fund the program.  Interest
and income from the assets of the trust fund shall be credited to
and deposited in the trust fund.
      (b)  The board may solicit and accept gifts, grants, and
donations from any public or private source for the purposes of
this subchapter and shall deposit money accepted under this
subsection to the credit of the trust fund.
      (c)  The legislature may appropriate money to the trust fund.
      Sec. 61.959.  RULES. (a)  The board shall adopt rules
necessary for the administration of this subchapter, including a
rule that sets the maximum amount of loan repayment assistance that
an attorney may receive in one year.
      (b)  The board shall distribute a copy of the rules adopted
under this section and pertinent information in this subchapter to:
            (1)  each school of law authorized by the board to
award a degree described by Section 61.954(a); and
            (2)  any appropriate district or county attorney's