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By:  Burnam                                                       H.B. No. 3392



A BILL TO BE ENTITLED

AN ACT

relating to loan repayment assistance for certain social workers 
who work for the Department of Protective and Regulatory Services.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Chapter 61, Education Code, is amended by adding 
Subchapter Z to read as follows:

SUBCHAPTER Z. REPAYMENT OF CERTAIN SOCIAL WORKER EDUCATION LOANS
	Sec. 61.9701.  REPAYMENT ASSISTANCE AUTHORIZED.  (a)  The 
board shall provide, in accordance with this subchapter and board 
rules, assistance in the repayment of education loans for social 
workers 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. 61.9702.  ELIGIBILITY.  To be eligible to receive 
repayment assistance, a person must:
		(1)  apply to the board;                                               
		(2)  have graduated from an accredited public or 
private institution of higher education in or outside this state 
with a baccalaureate or graduate degree in social work; and
		(3)  currently work as a social worker for the 
Department of Protective and Regulatory Services.
	Sec. 61.9703.  LIMITATIONS.  (a)  A social worker may receive 
repayment assistance grants for each of not more than five years.
	(b)  The amount of loan repayment assistance received by a 
social worker under this subchapter in one year may not exceed 20 
percent of the total amount of the social worker's outstanding 
education loans, including scheduled interest payments that would 
become due if the loan is not prepaid, when the social worker enters 
into the agreement.
	Sec. 61.9704.  ELIGIBLE LOANS.  (a)  The board may provide 
repayment assistance for the repayment of any education loan 
received by the social worker through any lender for education 
while enrolled at an institution of higher education described by 
Section 61.9702(2) in a baccalaureate or graduate degree program in 
social work.
	(b)  The board may not provide repayment assistance for an 
education loan that is in default at the time of the social worker's 
application.
	Sec. 61.9705.  REPAYMENT.  (a)  The board shall deliver any 
repayment assistance made under this subchapter in a lump sum 
payable to the lender and the social worker and in accordance with 
any applicable federal law.
	(b)  Loan repayment assistance received under this 
subchapter may be applied to the principal amount of the loan and to 
interest that accrues.
	Sec. 61.9706.  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. 61.707.  ACCEPTANCE OF GIFTS.  The board may solicit and 
accept gifts, grants, and donations for the purposes of this 
subchapter.
	Sec. 61.9708.  RULES.  The board shall adopt rules necessary 
for the administration of this subchapter.
	SECTION 2.  The Texas Higher Education Coordinating Board 
shall adopt the rules for the repayment assistance program under 
Subchapter Z, Chapter 61, Education Code, as added by this Act, not 
later than December 1, 2003.
	SECTION 3.  This Act takes effect September 1, 2003.