UNOFFICIAL COPY 22 RS BR 321 Page 1 of 5 XXXX Jacketed AN ACT relating to paramedic education and making an appropriation therefor. 1 Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2 ď˘SECTION 1. A NEW SECTION OF KRS 164.740 TO 164.7891 IS CREATED 3 TO READ AS FOLLOWS: 4 (1) To ensure the availability of paramedics in the coal-producing counties of the 5 Commonwealth, the General Assembly hereby establishes the Coal County 6 Paramedic Scholarship Program to provide eligible Kentucky students the 7 opportunity to attend a participating postsecondary institution and to become 8 licensed paramedics in the Commonwealth, provided that the scholarship 9 recipient agrees to practice as a paramedic in a coal-producing county for four 10 (4) years upon program completion. 11 (2) As used in this section: 12 (a) "Coal-producing county" has the same meaning as in KRS 42.4592(1)(c); 13 (b) "Eligible program of study" means a paramedic program approved by the 14 Kentucky Higher Education Assistance Authority and offered by a 15 participating institution accredited by the Commission on Accreditation of 16 Allied Health Education Programs; and 17 (c) "Qualified service" means full-time employment in a coal-producing 18 county of the Commonwealth of Kentucky as a licensed paramedic for a 19 majority of the calendar year. 20 (3) The authority may award scholarships, to the extent funds are available for that 21 purpose, to any person who: 22 (a) Is a Kentucky resident; 23 (b) Is considered a permanent resident of a coal-producing county for at least 24 one (1) year immediately preceding July 1 of the academic year in which the 25 scholarship is made; 26 (c) Is a United States citizen as determined by the participating institution in 27 UNOFFICIAL COPY 22 RS BR 321 Page 2 of 5 XXXX Jacketed accordance with criteria established by the Council on Postsecondary 1 Education for the purposes of admission and tuition assessment; 2 (d) Is enrolled or accepted for enrollment in an eligible program of study at a 3 participating institution on a full-time basis; 4 (e) Agrees to render four (4) years of qualified service in a coal-producing 5 county of the Commonwealth upon program completion; and 6 (f) Agrees to sign a promissory note as evidence of the scholarship awarded 7 and the obligation to repay the scholarship amount or render paramedic 8 service as agreed in lieu of payment. 9 (4) (a) Notwithstanding KRS 164.753(3), the amount of the scholarship shall not 10 exceed one hundred percent (100%) of the in-state tuition and fees required 11 for participation in the eligible program of study at a participating 12 institution. The authority shall establish, by administrative regulation, a 13 procedure for awarding scholarships should funding be insufficient to 14 award scholarships to all eligible students. The authority may also, by 15 administrative regulation, establish scholarship amounts based on 16 demonstration of initial financial need by eligible students. 17 (b) The actual amount of the scholarship awarded to each eligible student by 18 the authority for each semester shall be based on the amount of funds 19 available and the criteria established under paragraph (a) of this 20 subsection. 21 (5) (a) The authority shall require each student receiving a scholarship to execute 22 a promissory note as evidence of the obligation. 23 (b) The recipient shall render four (4) years of qualified service in a coal-24 producing county upon completion of a paramedic program. Upon 25 completion of four (4) years of qualified service in a coal-producing county, 26 the authority shall cancel all promissory notes. 27 UNOFFICIAL COPY 22 RS BR 321 Page 3 of 5 XXXX Jacketed (c) If a recipient fails to complete an eligible program of study, or fails to 1 render service as a paramedic as agreed in this subsection, the recipient 2 shall be liable for the total repayment of the sum of all outstanding 3 promissory notes and accrued interest. 4 (6) Any person who is in default on any obligation to the authority under any 5 program administered by the authority under KRS 164.740 to 164.785 shall not 6 be awarded a scholarship or have a promissory note canceled until all financial 7 obligations to the authority are satisfied, except that ineligibility for this reason 8 may be waived by the authority for cause. 9 (7) A repayment obligation imposed by this section shall not be voidable by reason of 10 the age of the recipient at the time of executing the promissory note. 11 (8) Failure to meet repayment obligations imposed by this section shall be cause for 12 the revocation of the scholarship recipient's paramedic license, subject to the 13 procedures set forth in KRS Chapter 311. 14 (9) Notwithstanding KRS 164.753(3), the authority shall establish by administrative 15 regulation procedures for the administration of this program, including but not 16 limited to the execution of appropriate contracts and promissory notes, 17 cancellation of obligations, the rate of repayment, and deferment of repayment of 18 outstanding debt. 19 (10) Notwithstanding any other statute to the contrary, the maximum interest rate 20 applicable to repayment of a promissory note under this section shall be twelve 21 percent (12%) per annum, except that if a judgment is rendered to recover 22 payment, the judgment shall bear interest at the rate of five percent (5%) greater 23 than the rate actually charged on the promissory note. 24 (11) (a) The coal county paramedic scholarship fund is hereby created as a 25 revolving fund in the State Treasury to be administered by the authority for 26 the purpose of providing scholarships to qualifying students studying to be a 27 UNOFFICIAL COPY 22 RS BR 321 Page 4 of 5 XXXX Jacketed paramedic in schools in the Commonwealth. 1 (b) The fund shall consist of amounts transferred from coal severance tax 2 receipts as provided in paragraph (c) of this subsection and any other 3 proceeds from grants, contributions, appropriations, or other moneys made 4 available for the fund. 5 (c) 1. Receipts from the coal severance tax levied under KRS 143.020 shall 6 be transferred to the fund on an annual basis in an amount not to 7 exceed the lesser of: 8 a. One percent (1%) of the total annual coal severance tax revenues 9 collected under KRS 143.020; or 10 b. The amount necessary to provide full funding for all students 11 who qualify for a scholarship under this section, considering all 12 other resources available. 13 2. Transfers required by subparagraph 1. of this paragraph shall be 14 made as follows: 15 a. On or before August 1 of each year, sixty-five percent (65%) of 16 the amount of funding provided for in this paragraph shall be 17 transferred to the fund; and 18 b. The remaining thirty-five percent (35%) shall be transferred on 19 or before December 1 of each year. 20 3. a. The amount transferred shall be based upon the prevailing 21 revenue estimate for coal severance tax receipts at the time each 22 transfer is made. 23 b. If the amount of actual coal severance tax receipts is less than 24 the prevailing revenue estimate for the year, the next August 1 25 payment shall be reduced by the difference between the two (2) 26 amounts. 27 UNOFFICIAL COPY 22 RS BR 321 Page 5 of 5 XXXX Jacketed c. No additional funds shall be transferred if the actual coal 1 severance tax receipts exceed the prevailing revenue estimate. 2 (d) Any unallotted or unencumbered balances in the fund shall be invested as 3 provided in KRS 42.500(9). 4 (e) Income earned from the investments shall be credited to the fund. 5 (f) Notwithstanding KRS 45.229, any fund balance at the close of the fiscal 6 year shall not lapse but shall be transferred to the local government 7 economic assistance fund established in KRS 42.450 within ninety (90) days 8 of the end of the fiscal year. 9 (g) All amounts included in the fund shall be continuously appropriated only 10 for the purposes specified in this section. 11 (h) A general statement that all continuing appropriations are repealed, 12 discontinued, or suspended shall not operate to repeal, discontinue, or 13 suspend this fund or to repeal this action. 14 (i) All moneys repaid to the authority under this section shall be added to the 15 fund. 16