"NEW SECTION.  Sec. 1   The legislature finds that encouraging outstanding students to enter the teaching profession is of paramount importance to the state of Washington. It is incumbent on policy leaders to employ bold strategies to attract sufficient qualified persons into teaching, to alter the environment of schools, and to create the schools that would prepare Washington's students for the economic and social conditions the state will face in the twenty-first century. The legislature therefore intends to expand the future teachers conditional scholarship and loan repayment program and the alternative routes to certification program to assist in the effort to recruit our most talented students into the teaching profession.

Sec. 2   RCW 28B.102.040 and 2008 c 170 s 306 are each amended to read as follows:
     (1) The board may select participants based on an application process conducted by the board or the board may utilize selection processes for similar students in cooperation with the professional educator standards board or the office of the superintendent of public instruction.
     (2) If the board selects participants for the program, it shall establish a selection committee for screening and selecting recipients of the conditional scholarships. The criteria shall emphasize factors demonstrating excellence including but not limited to superior scholastic achievement, leadership ability, community contributions, bilingual ability, willingness to commit to providing teaching service in shortage areas, and an ability to act as a role model for students. Priority will be given to individuals seeking certification or an additional endorsement in math, including any specialty endorsements in math approved by the professional educator standards board, science, technology education, agricultural education, business and marketing education, family and consumer science education, or special education. Priority shall also be given to individuals who can serve as role models to students and possess the skills, knowledge, commitment, and background that will make them uniquely qualified to help schools succeed in addressing the achievement gap.

Sec. 3   RCW 28B.102.050 and 2004 c 58 s 6 are each amended to read as follows:
     (1)(a) The board may award conditional scholarships ((or)) and provide loan repayments to eligible participants 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.
     (b) The amount of the conditional scholarship or loan repayment awarded an individual shall not exceed the amount of tuition and fees at the institution of higher education attended by the participant or resident undergraduate tuition and fees at the University of Washington per academic year for a full-time student, whichever is lower. Participants are eligible to receive conditional scholarships or loan repayments for a maximum of ((five)) two years.
     (c) Beginning in the 2013-14 academic year, the board may award conditional scholarships and provide loan repayments not to exceed the total cost of attendance or fifteen thousand dollars per academic year, whichever is lower.
     (2) Beginning in the 2013-14 academic year, conditional scholarships or loan repayments may be awarded in addition to other student financial assistance awards including the alternative routes to teacher certification conditional scholarship program under RCW 28A.660.050.
     (3) Conditional scholarships may be used for any educational expense including room and board, transportation, books and supplies, and miscellaneous personal expenses.

Sec. 4   RCW 28B.102.055 and 2004 c 58 s 8 are each amended to read as follows:
     (1) Upon documentation of federal student loan indebtedness, the board may enter into agreements with participants to repay all or part of a federal student loan in exchange for teaching service in an approved educational program. The ratio of loan repayment to years of teaching service for the loan repayment program shall be the same as established for the conditional scholarship program.
     (2) The agreement shall specify the period of time it is in effect and detail the obligations of the board and the participant, including the amount to be paid to the participant. The agreement may also specify the geographic location and subject matter area of teaching service for which loan repayment will be provided.
     (3) At the end of each school year, a participant under this section shall provide evidence to the board that the requisite teaching service has been provided. Upon receipt of the evidence, the board shall pay the participant the agreed-upon amount for one year of full-time teaching service or a prorated amount for less than full-time teaching service. To qualify for additional loan repayments, the participant must be engaged in continuous teaching service as defined by the board.
     (4) The board may, at its discretion, arrange to make the loan repayment directly to the holder of the participant's federal student loan.
     (5) The board's obligations to a participant under this section shall cease when:
     (a) The terms of the agreement have been fulfilled;
     (b) The participant fails to maintain continuous teaching service as determined by the board; or
     (c) All of the participant's federal student loans have been repaid.
     (6) The board shall adopt rules governing loan repayments, including approved leaves of absence from continuous teaching service and other deferments as may be necessary.
     (7) Beginning in the 2013-14 academic year, if a loan repayment is awarded, the board shall annually provide up to three thousand dollars of supplemental payments of federal student loans per recipient. Supplemental payments may be made over a period of ten years or until the total loan repayment award amount has been paid, whichever occurs first. Repayment shall commence upon documentation of federal student loan indebtedness and completion of the first year of required teaching service.

Sec. 5   RCW 28A.660.050 and 2009 c 539 s 3 and 2009 c 192 s 2 are each reenacted and amended to read as follows:
     Subject to the availability of amounts appropriated for these purposes, the conditional scholarship programs in this chapter are created under the following guidelines:
     (1) The programs shall be administered by the higher education coordinating board. In administering the programs, the higher education coordinating board has the following powers and duties:
     (a) To adopt necessary rules and develop guidelines to administer the programs;
     (b) To collect and manage repayments from participants who do not meet their service obligations; and
     (c) To accept grants and donations from public and private sources for the programs.
     (2) Requirements for participation in the conditional scholarship programs are as provided in this subsection (2).
     (a) The alternative route conditional scholarship program is limited to interns of the partnership grant programs under RCW 28A.660.040. In order to receive conditional scholarship awards, recipients shall:
     (i) Be accepted and maintain enrollment in alternative certification routes through the partnership grant program;
     (ii) Continue to make satisfactory progress toward completion of the alternative route certification program and receipt of a residency teaching certificate; and
     (iii) Receive no more than the annual amount of the scholarship, not to exceed eight thousand dollars, for the cost of tuition, fees, and educational expenses, including books, supplies, and transportation for the alternative route certification program in which the recipient is enrolled. The board may adjust the annual award by the average rate of resident undergraduate tuition and fee increases at the state universities as defined in RCW 28B.10.016.
     (b) The pipeline for paraeducators conditional scholarship program is limited to qualified paraeducators as provided by RCW 28A.660.042. In order to receive conditional scholarship awards, recipients shall:
     (i) Be accepted and maintain enrollment at a community and technical college for no more than two years and attain an associate of arts degree;
     (ii) Continue to make satisfactory progress toward completion of an associate of arts degree. This progress requirement is a condition for eligibility into a route one program of the alternative routes to teacher certification program for a mathematics, special education, or English as a second language endorsement; and
     (iii) Receive no more than the annual amount of the scholarship, not to exceed four thousand dollars, for the cost of tuition, fees, and educational expenses, including books, supplies, and transportation for the alternative route certification program in which the recipient is enrolled. The board may adjust the annual award by the average rate of tuition and fee increases at the state community and technical colleges.
     (c) The retooling to teach mathematics and science conditional scholarship program is limited to current K-12 teachers and individuals having an elementary education certificate but who are not employed in positions requiring an elementary education certificate as provided by RCW 28A.660.045. In order to receive conditional scholarship awards:
     (i) Individuals currently employed as teachers shall pursue a middle level mathematics or science, or secondary mathematics or science endorsement; or
     (ii) Individuals who are certificated with an elementary education endorsement, but not employed in positions requiring an elementary education certificate, shall pursue an endorsement in middle level mathematics or science, or both; and
     (iii) Individuals shall use one of the pathways to endorsement processes to receive a mathematics or science endorsement, or both, which shall include passing a mathematics or science endorsement test, or both tests, plus observation and completing applicable coursework to attain the proper endorsement; and
     (iv) Individuals shall receive no more than the annual amount of the scholarship, not to exceed three thousand dollars, for the cost of tuition, test fees, and educational expenses, including books, supplies, and transportation for the endorsement pathway being pursued.
     (3) The Washington professional educator standards board shall select individuals to receive conditional scholarships and loan repayments. In selecting recipients, preference shall be given to eligible veterans or national guard members. Priority consideration shall also be given to those individuals seeking endorsements, including specialty endorsements, in mathematics and to individuals who can serve as role models to students and possess the skills, knowledge, commitment, and background that will make them uniquely qualified to help schools succeed in addressing the achievement gap.
     (4) For the purpose of this chapter, a conditional scholarship is a loan that is forgiven in whole or in part in exchange for service as a certificated teacher employed in a Washington state K-12 public school. The state shall forgive one year of loan obligation for every two years a recipient teaches in a public school. Recipients who fail to continue a course of study leading to residency teacher certification or cease to teach in a public school in the state of Washington in their endorsement area are required to repay the remaining loan principal with interest.
     (5) Recipients who fail to fulfill the required teaching obligation are required to repay the remaining loan principal with interest and any other applicable fees. The higher education coordinating board shall adopt rules to define the terms for repayment, including applicable interest rates, fees, and deferments.
     (6) The higher education coordinating board may deposit all appropriations, collections, and any other funds received for the program in this chapter in the future teachers conditional scholarship account authorized in RCW 28B.102.080.
     (7) Beginning in the 2013-14 academic year, if a loan repayment is awarded, the higher education coordinating board may provide loan repayment to interns of the partnership grant programs under RCW 28A.660.040. The board shall annually provide up to three thousand dollars of supplemental payments of federal student loans. Supplemental payments may be made over a period of ten years, or until the total loan repayment award amount has been paid, whichever occurs first. Repayment shall commence after degree completion, completion of the first year of required teaching service, and documentation of federal student loan indebtedness. The amount of the loan repayment provided an individual shall not exceed the cost of attendance at the institution of higher education attended by the participant or fifteen thousand dollars per academic year, whichever is lower."