SENATE BILL REPORT

SB 5216

BYSenators Saling, Bauer, Bailey, Smitherman, West, Stratton, Lee and Vognild; by request of Governor

Permitting teachers to repay certain college loans by teaching five years.

Senate Committee on Higher Education

Senate Hearing Date(s):February 1, 1989

Senate Staff:Scott Huntley (786-7421)

AS OF JANUARY 31, 1989

BACKGROUND:

In an effort to recruit superior students into the teaching profession, the 1987 Legislature established the future teachers conditional scholarship program.  The program is administered by the Higher Education Coordinating Board.  Outstanding students, who maintain a 3.00 grade point average in college, enrolled in a program leading to initial or continuing teacher certification may participate in the program. 

Students may enter the program directly from high school if they demonstrate an achievement of at least a 3.30 grade point average during their high school career.  Postgraduate students with a 3.00 college grade point average may participate in the program if they are pursuing teacher certification.

Participating students receive $3,000 per year in conditional scholarships, for a maximum of five years.  They must repay the scholarship, with interest, unless they teach in the public schools of this state for ten years.  Payments are quarterly, commencing nine months from the date the participant completes or discontinues the course of study.  The principal and interest due is forgiven for each payment period in which the participant teaches in a public school of this state.

The Higher Education Coordinating Board and the State Board of Education have recommended reducing the number of years of teaching required to fully forgive the scholarship payments from ten years to five years.

SUMMARY:

Participants in the future teacher scholarship program will have two years of the conditional scholarship repaid for each year that they teach in a public school in this state. 

The definition of eligible student for the program is changed to include students pursuing professional (continuing) certification or other certification as approved by the State Board of Education.

Payments of the scholarship may accrue either monthly or quarterly.

Appropriation:    none

Revenue:    none

Fiscal Note:      requested January 23, 1989