exempt

                                                   (REPRINTED WITH ADOPTED AMENDMENTS)

 

Assembly Bill No. 613–Committee on Ways and Means

 

(On Behalf of University and Community College
System of Nevada)

 

March 26, 2001

____________

 

Referred to Committee on Ways and Means

 

SUMMARY—Makes various changes relating to educational personnel. (BDR 34‑434)

 

FISCAL NOTE:    Effect on Local Government: No.

                                 Effect on the State: Contains Appropriation not included in Executive Budget.

 

~

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to education; authorizing the board of regents of the University of Nevada to administer a program of loans for students who are enrolled in teaching programs; providing for the waiver of those loans by the board of regents under certain circumstances; requiring certain transfers of money from the fund for school improvement; making an appropriation to reimburse certain costs incurred by licensed teachers in obtaining endorsements in certain fields of specialization; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1    Section 1.  Chapter 396 of NRS is hereby amended by adding thereto

1-2  the provisions set forth as sections 2 to 9, inclusive, of this act.

1-3    Sec. 2.  1.  The board of regents may administer, directly or through

1-4  a designated officer or employee of the system, a program to provide

1-5  loans for registration fees, laboratory fees and expenses, textbooks and

1-6  course materials, and living expenses to students who are enrolled in

1-7  programs of the system that provide courses of study and training for the

1-8  education of teachers.

1-9    2.  Each student to whom such a loan is made must:

1-10    (a) Have been a bona fide resident of this state for at least 6 months

1-11  before his matriculation in the system;

1-12    (b) At the time the loan is made, be enrolled in a program of the

1-13  system to become a licensed teacher;

1-14    (c) Fulfill all requirements for classification as a full-time student

1-15  showing progression towards completion of the program; and

2-1    (d) Maintain at least a 2.0 grade-point average in each class and at

2-2  least a 2.75 overall grade-point average, on a 4.0 grading scale.

2-3    3.  Each such loan must be made upon the following terms:

2-4    (a) All loans must bear interest at 8 percent per annum beginning on

2-5  the date when the student receives the loan.

2-6    (b) Each student who receives a loan shall repay the loan with interest

2-7  after the termination of his education for which the loan is made unless

2-8  the amount owed is waived pursuant to section 4 of this act. The loan

2-9  must be repaid in monthly installments over the period allowed with the

2-10  first installment due 1 year after the date of the termination of his

2-11  education for which the loan is made. The amounts of the installments

2-12  must not be less than $50 and may be calculated to allow a smaller

2-13  payment at the beginning of the period for repayment, with each

2-14  succeeding payment gradually increasing so that the total amount due

2-15  will be paid within the period of repayment. The maximum period for

2-16  repayment of the loans must be:

2-17      (1) Five years for loans that total less than $10,000.

2-18      (2) Eight years for loans that total $10,000 or more, but less than

2-19  $20,000.

2-20      (3) Ten years for loans that total $20,000 or more.

2-21    4.  A delinquency charge may be assessed on an installment that is

2-22  delinquent 10 days or more in the amount of 8 percent of the installment

2-23  or $4, whichever is greater, but not more than $15.

2-24    5.  If a person is delinquent in repayment, the reasonable costs of

2-25  collection and an attorney’s fee may be recovered from the person.

2-26    6.  As used in this section, “bona fide resident” has the meaning

2-27  ascribed to it in NRS 396.540.

2-28    Sec. 3.  1.  The loans made pursuant to sections 2 to 9, inclusive, of

2-29  this act must not exceed the following amounts per student per semester.

2-30  If the student is enrolled in a program of:

2-31    (a) A community college, $1,700.

2-32    (b) A university, $2,005.

2-33    2.  Money loaned pursuant to sections 2 to 9, inclusive, of this act

2-34  must be allocated among the campuses of the system in amounts that will

2-35  allow the same percentage of eligible students from each campus who are

2-36  enrolled in programs that provide courses of study and training for the

2-37  education of teachers to receive loans.

2-38    Sec. 4.  1.  Except as otherwise provided in this section, a student

2-39  who receives a loan pursuant to sections 2 to 9, inclusive, of this act shall

2-40  repay the loan and accrued interest in full pursuant to the terms of the

2-41  loan.

2-42    2.  If a recipient of a loan desires to have the total amount of his loan

2-43  waived pursuant to this section, the recipient shall file a statement of

2-44  intent with the board of regents indicating that the recipient intends to:

2-45    (a) Obtain a license to teach issued pursuant to chapter 391 of NRS;

2-46  and

2-47    (b) Teach full time for at least:

2-48      (1) Three consecutive school years in any public school where a

2-49  majority of the pupils enrolled in the school are pupils at risk; or

3-1       (2) Five consecutive school years in any other public school in this

3-2  state.

3-3  The recipient shall submit verification at least once every 6 months to the

3-4  board of regents in a format prescribed by the board of regents indicating

3-5  that the recipient has maintained his status as a full-time licensed

3-6  teacher in a public school in this state.

3-7    3.  Upon receipt of such a statement of intent, the board of regents

3-8  shall defer the payment of the loan until the recipient of the loan has:

3-9    (a) Taught full time as a licensed teacher for:

3-10      (1) Three consecutive school years in any public school where a

3-11  majority of the pupils enrolled in the school are pupils at risk, regardless

3-12  of whether he teaches at the same school for all 3 years; or

3-13      (2) Five consecutive school years in any other public school in this

3-14  state, regardless of whether he teaches at the same school for all 5 years;

3-15  or

3-16    (b) Left his employment, voluntarily or otherwise, as a full-time

3-17  licensed teacher in a public school in this state.

3-18    4.  If a recipient of a loan who filed a statement of intent pursuant to

3-19  subsection 2 satisfies the requirements of paragraph (a) of subsection 3,

3-20  the recipient may apply to the board of regents to request a waiver of the

3-21  loan and interest that must be repaid. The board of regents shall waive

3-22  the total amount owed by the recipient upon receipt of credible evidence

3-23  that the recipient has satisfied the requirements of paragraph (a) of

3-24  subsection 3.

3-25    5.  If a recipient of a loan who filed a statement of intent pursuant to

3-26  subsection 2 leaves his employment, voluntarily or otherwise, as a full-

3-27  time licensed teacher in a public school in this state, he shall repay the

3-28  loan and accrued interest in full pursuant to the terms of the loan.

3-29    6.  The board of regents may adopt:

3-30    (a) Regulations that extend the time for completing the qualified

3-31  teaching service beyond 3 or 5 years, as applicable, for persons who are

3-32  granted extensions because of hardship; and

3-33    (b) Such other regulations as are necessary to carry out the provisions

3-34  of sections 2 to 9, inclusive, of this act.

3-35    7.  The board of regents shall, in cooperation with the boards of

3-36  trustees of school districts in this state:

3-37    (a) Identify, on an annual basis, the public schools within this state

3-38  where a majority of the pupils enrolled are pupils at risk.

3-39    (b) Recruit pupils who are enrolled in high schools in this state into

3-40  the program to provide loans to students pursuant to sections 2 to 9,

3-41  inclusive, of this act.

3-42    8.  As used in this section, “pupil at risk” has the meaning ascribed to

3-43  it in NRS 386.500.

3-44    Sec. 5.  The board of regents or its designee may require:

3-45    1.  A student to acquire, as security for a student loan, insurance on

3-46  his life and on his health or against his disability, or both.

3-47    2.  That a financially responsible person agree to be jointly liable with

3-48  the recipient of the loan for the repayment of the loan.

4-1    Sec. 6.  The board of regents or its designee may require, upon notice

4-2  to a recipient of a loan, that he repay the balance and any unpaid interest

4-3  on the loan immediately if:

4-4    1.  An installment is not paid within 30 days after it is due;

4-5    2.  The recipient fails to notify the board of regents or its designee,

4-6  within 30 days, of:

4-7    (a) A change of name or of the address of his home or place of

4-8  employment; or

4-9    (b) The termination of the education for which he received the loan;

4-10  or

4-11    3.  The recipient fails to comply with a requirement or perform an

4-12  obligation he is required to perform pursuant to an agreement with the

4-13  board of regents or its designee.

4-14    Sec. 7.  A recipient of a loan pursuant to sections 2 to 9, inclusive, of

4-15  this act shall comply with the regulations adopted by the board of

4-16  regents. If a recipient fails to comply, the board of regents or its designee

4-17  may:

4-18    1.  For each infraction, impose a civil penalty of not more than $200

4-19  against the recipient in 1 academic year, and may deny additional money

4-20  to the recipient if he fails to pay the civil penalty when due;

4-21    2.  Increase the portion of a future loan to be repaid by the recipient;

4-22  and

4-23    3.  Extend the time by which the recipient is required to teach in this

4-24  state in lieu of repaying his loan.

4-25    Sec. 8.  1.  The board of regents or its designee may, after receiving

4-26  an application stating the reasons therefor, grant an extension of the

4-27  period for the repayment of a loan in case of hardship arising out of the

4-28  circumstances of a recipient of a loan. The extension must be for a

4-29  period that will reasonably alleviate that hardship.

4-30    2.  Applications for extensions must be filed within the time

4-31  prescribed by regulation of the board of regents.

4-32    Sec. 9.  1.  The board of regents shall:

4-33    (a) Receive, invest, disburse and separately account for all money

4-34  received for the program.

4-35    (b) Use all the money that is accounted for separately pursuant to

4-36  paragraph (a) only to provide loans to students and waivers of those

4-37  loans pursuant to the program set forth in sections 2 to 9, inclusive, of

4-38  this act.

4-39    (c) Report to the governor and the interim finance committee on or

4-40  before October 1 of each year immediately preceding a regular session of

4-41  the legislature, setting forth in detail the transactions conducted by the

4-42  board of regents relating to the program during the biennium ending

4-43  June 30 of that year.

4-44    (d) Make such recommendations for legislation that the board of

4-45  regents considers appropriate for the program.

4-46    2.  All money received in payment of loans or civil penalties must be

4-47  deposited in the account required by subsection 1.

5-1    3.  The money in the account required by subsection 1 and all interest

5-2  and income earned on that money must remain in the account and does

5-3  not revert to the state general fund at the end of any fiscal year.

5-4    Sec. 10.  1.  The superintendent of public instruction shall transfer

5-5  from the fund for school improvement to the University and Community

5-6  College System of Nevada to provide loans and waivers of those loans

5-7  pursuant to the program set forth in sections 2 to 9, inclusive, of this act,

5-8  the sum of $250,000.

5-9    2.  The board of regents shall:

5-10    (a) Use the money transferred pursuant to subsection 1 only to provide

5-11  loans to students and waivers of those loans pursuant to the program set

5-12  forth in sections 2 to 9, inclusive, of this act.

5-13    (b) Account for the money separately and credit that account with any

5-14  interest and income earned on the money.

5-15    (c) Use all the money in the account, including, without limitation, all

5-16  interest and income earned, only to provide loans to students and waivers

5-17  of those loans pursuant to the program set forth in sections 2 to 9,

5-18  inclusive, of this act.

5-19    Sec. 11.  1.  There is hereby appropriated from the state general fund

5-20  to the department of education for reimbursement of costs incurred by

5-21  teachers to obtain endorsements in certain fields of specialization:

5-22  For the fiscal year 2001-2002............... $50,000

5-23  For the fiscal year 2002-2003............... $50,000

5-24    2.  The department of education shall:

5-25    (a) In consultation with the boards of trustees of school districts

5-26  throughout this state, identify fields of specialization where a shortage of

5-27  teachers exist; and

5-28    (b) Maintain a list available for public inspection that contains the fields

5-29  of specialization identified pursuant to paragraph (a).

5-30    3.  A teacher who holds a current license to teach issued pursuant to

5-31  chapter 391 of NRS may submit an application on a form provided by the

5-32  department of education for reimbursement of the costs incurred by the

5-33  teacher after July 1, 2001, in obtaining an endorsement in a field of

5-34  specialization identified pursuant to subsection 2. The reimbursement must

5-35  not exceed an amount equal to the actual verified costs incurred by a

5-36  teacher in obtaining an endorsement or $2,000, whichever is less.

5-37    4.  The sums appropriated by subsection 1 are available for either fiscal

5-38  year. Any balance of those sums must not be committed for expenditure

5-39  after June 30, 2003, and reverts to the state general fund as soon as all

5-40  payments of money committed have been made.

5-41    Sec. 12.  Section 11 of chapter 543, Statutes of Nevada 1999, at page

5-42  2841, is hereby amended to read as follows:

5-43    Sec. 11.  1.  The superintendent of public instruction shall

5-44  transfer from the fund for school improvement to the University and

5-45  Community College System of Nevada [the sum of $130,680 to be

5-46  used to provide not more than 45 scholarships at the University of

5-47  Nevada, Las Vegas, and not more than 45 scholarships at the

5-48  University of Nevada, Reno,] to provide certain scholarships:

 

6-1  For the fiscal year 1999-2000 ... $130,680

6-2  For the fiscal year 2000-2001.... $130,680

6-3    2.  The money transferred pursuant to subsection 1 must be used

6-4  each fiscal year to provide:

6-5    (a) Not more than 45 scholarships at the University of Nevada,

6-6  Las Vegas; and

6-7    (b) Not more than 45 scholarships at the University of Nevada,

6-8  Reno,

6-9  for qualified students pursuing degrees in teaching.

6-10    [2.  Any remaining]

6-11    3.  Any balance of the [sum] sums authorized for expenditure by

6-12  subsection 1 remaining at the end of the respective fiscal years must

6-13  not be committed for expenditure after June 30[, 2001,] of the

6-14  respective fiscal years and reverts to the fund for school improvement

6-15  as soon as all payments of money committed have been made.

6-16    Sec. 13.  1.  The superintendent of public instruction shall transfer

6-17  from the fund for school improvement to the University and Community

6-18  College System of Nevada to provide certain scholarships:

6-19  For the fiscal year 2001-2002............. $180,000

6-20  For the fiscal year 2002-2003............. $205,000

6-21    2.  The money transferred pursuant to subsection 1 must be used each

6-22  fiscal year to provide:

6-23    (a) Not more than 45 scholarships at the University of Nevada, Las

6-24  Vegas;

6-25    (b) Not more than 45 scholarships at the University of Nevada, Reno;

6-26    (c) Not more than 45 scholarships at the Nevada State College,

6-27  Henderson; and

6-28    (d) Not more than 45 scholarships at the Great Basin College,

6-29  for qualified students pursuing degrees in teaching.

6-30    3.  Any balance of the sums authorized for expenditure by subsection 1

6-31  remaining at the end of the respective fiscal years must not be committed

6-32  for expenditure after June 30 of the respective fiscal years and reverts to

6-33  the fund for school improvement as soon as all payments of money

6-34  committed have been made.

6-35    Sec. 14.  This act becomes effective on July 1, 2001.

 

6-36  H