Z-0322

AN ACT Relating to graduate school fellowships; and adding a new chapter to Title 28B RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. The legislature's review of graduate programs in this state reveals that there is a critical shortage of faculty and students from various ethnic groups. The legislature further finds that in the next ten years the percentage of various ethnic groups of undergraduates in the state's higher education system will increase dramatically and the need for higher education faculty will also increase. It is hereby declared a matter of public policy of this state to improve the quality and diversity of the state's graduate and undergraduate educational programs.

In accomplishing this goal there is a need for diversity of ethnic representation not only in graduate students but also in faculty representation in higher education in this state. The legislature finds that there is a major financial cost for the state to train faculty necessary to accomplish the declared purpose of increasing the ethnic diversity in higher education.

This financial aid program for graduate students will facilitate expanding the representation of underrepresented groups among both students and faculty. This will assist in meeting the overall needs of the state to have diversity of representation in both students and faculty and should affirmatively result in the overall improvement of the quality and diversity of the ethnic students in higher education of the state of Washington.

NEW SECTION. Sec. 2. Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Conditional fellowship" means a loan that is forgiven in whole or in part if the recipient renders service as a teaching faculty member.

(2) "Institution of higher education" or "institution" means a public or private college or university that is accredited by an accrediting association recognized as such by rule of the higher education coordinating board.

(3) "Board" means the higher education coordinating board.

(4) "Eligible student" means a student who is admitted to an eligible graduate degree program at an institution of higher education located in the state of Washington, who demonstrates achievement of at least a 3.0 in the last four semesters or six quarters of baccalaureate work, unless the grade point average requirement is waived based upon board criteria, from an accredited institution of higher education, and who has a declared intention to teach at an institution of higher education upon program completion. Preference shall be given to Washington residents as defined by RCW 28B.15.012 and 28B.15.013. The student shall be of an ethnic representation found by the board to have a low rate of participation among faculty in that individual's discipline. The student shall not be eligible for a fellowship if it will be used for any programs that include religious worship, exercise, or instruction or to pursue a degree in theology. To remain eligible after initial selection, the student must be enrolled full time and maintain satisfactory academic progress.

(5) "Eligible graduate degree program" means a program that has as its primary purpose the preparation of individuals for careers in university or college teaching and scholarship. At the doctoral level, this means Ph.D. programs only. At the master's level, eligible programs will be primarily those in the arts and sciences, rather than those leading to professional practice.

(6) "Forgiven" or "to forgive" or "forgiveness" means to render service as a teaching faculty at an institution of higher education in lieu of monetary repayment.

(7) "Satisfied" means paid-in-full.

(8) "Participant" means an eligible student who has received a conditional fellowship under this chapter.

(9) "Ethnic" or "ethnic representation" means a group of Americans with a common ethnic heritage selected by the board periodically for program consideration due to low rates of participation by the group in graduate education.

NEW SECTION. Sec. 3. The graduate conditional teaching fellowship program is established as an award for excellent undergraduate performance and as a contractual commitment on behalf of the applicants to teach in graduate or undergraduate programs. The program shall be administered by the board. In administering the program, the board shall have the following powers and duties:

(1) Select students to receive conditional scholarships, with the assistance of a screening committee appointed by the board and composed of faculty and others in government, business, and education;

(2) Adopt necessary rules and guidelines;

(3) Publicize the program;

(4) Collect and manage repayments from students who do not meet their teaching obligations under this chapter; and

(5) Solicit and accept grants and donations from public and private sources for the program.

NEW SECTION. Sec. 4. The board shall establish a planning committee to develop criteria for the screening and selection of recipients of the conditional fellowships. These criteria shall emphasize factors demonstrating excellence including but not limited to superior scholastic achievement, leadership ability, community contributions, and an ability to act as a role model for ethnic minority students.

NEW SECTION. Sec. 5. The board shall award conditional fellowships to eligible students from the funds appropriated to the board for this purpose, or from any private donations, or any other funds given to the board for this program. The amount of the conditional fellowship awarded an individual shall be ten thousand dollars per academic year plus funds sufficient to cover required tuition and fees not to exceed charges established for the state's research universities. Doctoral students are eligible to receive a conditional fellowship for a maximum of four years, if satisfactory progress is established. Master's students are eligible to receive a conditional fellowship for a maximum of two years, if satisfactory progress is established.

NEW SECTION. Sec. 6. (1) Participants in the conditional fellowship program incur an obligation to repay the conditional fellowship, with interest to be set by the board, unless they satisfy a service requirement. The service requirement is to teach for a specified period in an institution of higher education under rules adopted by the board. Master's students must satisfy the service requirement by teaching three years at an institution of higher education in the state of Washington. Doctoral students must satisfy the service requirement by teaching for five years in an institution of higher education, at least three of which must be in the state of Washington.

(2) The terms of the repayment, including deferral of the interest, shall be consistent with the terms of the federal guaranteed loan program.

(3) The period for repayment shall be ten years, with payments accruing quarterly commencing nine months from the date the participant completes or discontinues the course of study.

(4) The entire principal and the interest of this loan shall be forgiven at a ratio of one-third of the borrower's total obligation per year for master's students, or one-fifth of the total per year for doctoral students until the borrower's entire service obligation is satisfied or the borrower ceases to teach at an eligible college or university. Should the participant cease to teach at an institution of higher education before the participant's repayment obligation is completed, payments on the unsatisfied portion of the principal and interest shall begin the next payment period and continue until the remainder of the participant's repayment obligation is satisfied.

(5) The board is responsible for collection of repayments made under this section and shall exercise due diligence in such collection, maintaining all necessary records to ensure that maximum repayments are made. Collection and servicing of repayments under this section shall be pursued using the full extent of the law, including wage garnishment if necessary, and shall be performed by entities approved for such servicing by the Washington student loan guaranty association or its successor agency. The board is responsible to forgive all or parts of such repayments under the criteria established in this section and shall maintain all necessary records of forgiven payments.

(6) Receipts from the payment of principal or interest or any other subsidies to which the board as administrator is entitled, which are paid by or on behalf of participants under this section, shall be deposited with the board and shall be used to cover the costs of granting the conditional fellowships, maintaining necessary records, and making collections under subsection (5) of this section. The board shall maintain accurate records of these costs, and all receipts beyond those necessary to pay such costs shall be used to grant conditional fellowships to eligible students.

NEW SECTION. Sec. 7. The board may modify the conditions of the service requirement, except for the length of service, and of the terms of repayment in individual cases where special circumstances warrant.

NEW SECTION. Sec. 8. Sections 1 through 7 of this act shall constitute a new chapter in Title 28B RCW.

NEW SECTION. Sec. 9. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.