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AN ACT relating to teachers. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
ď˘SECTION 1. A NEW SECTION OF KRS CHAPTER 164 IS CREATED TO 3
READ AS FOLLOWS: 4
(1) As used in this section: 5
(a) "Authority" means the Kentucky Higher Education Assistance Authority; 6
(b) "Eligible program of study" means an undergraduate or graduate program 7
of study which is preparatory to teacher certification, as determined by the 8
authority; 9
(c) "Eligible student" means a student who: 10
1. Is a citizen or permanent resident of the United States; 11
2. Is a Kentucky resident, as determined by the participating institution 12
in accordance with criteria established by the Council on 13
Postsecondary Education for the purposes of admission and tuition 14
assessment; 15
3. Is enrolled at a participating institution; and 16
4. Meets any other criteria established in administrative regulation 17
promulgated by the authority; 18
(d) "Participating institution" means an institution of higher education located 19
in Kentucky which offers an eligible program of study and has in force an 20
agreement with the authority providing for administration of this program; 21
(e) "Qualified teaching service" means teaching the major portion of each 22
school day for at least seventy (70) days each semester in a public school of 23
the Commonwealth or a private school certified pursuant to KRS 24
156.160(3), except that an individual having a disability defined by Title II 25
of the Americans with Disabilities Act, 42 U.S.C. sec. 12131 et seq.; or 26
serious and extended illness, whose disability or illness, certified by a 27 UNOFFICIAL COPY 25 RS BR 1073
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licensed physician, prevents that individual from teaching a major portion 1
of each school day, shall be deemed to perform qualified teaching service by 2
teaching the maximum time permitted by the attending physician; 3
(f) "Semester" means a period of about eighteen (18) weeks, which usually 4
makes up one-half (1/2) of a school year or one-half (1/2) of a participating 5
institution's academic year; and 6
(g) "Summer term" means an academic period consisting of one (1) or more 7
sessions of instruction between a spring and a fall semester. 8
(2) The authority may, to the extent of appropriations and other funds available to it 9
pursuant to subsection (8) of this section, award prospective educator 10
scholarships to persons eligible under subsection (3) of this section who initially 11
demonstrate financial need in accordance with standards and criteria established 12
by the authority. Each prospective educator scholarship shall be evidenced by a 13
promissory note that requires repayment or cancellation pursuant to subsection 14
(5) of this section. 15
(3) A Kentucky resident who is a United States citizen, who graduated in the top ten 16
percent (10%) of his or her class, scored twenty-eight (28) or above on the 17
American College Test, and has enrolled or has been accepted for enrollment in 18
an eligible program of study at a participating institution in pursuit of initial 19
teacher certification shall be eligible to apply for and be awarded a prospective 20
educator scholarship. 21
(4) The authority shall establish, by an administrative regulation promulgated in 22
accordance with KRS Chapter 13A, the maximum amount of scholarship to be 23
awarded for each semester and summer term under this section. The amount of 24
each scholarship to be awarded shall not exceed the applicant's total cost of 25
education minus other financial assistance received or expected to be received by 26
the applicant during the academic period. 27 UNOFFICIAL COPY 25 RS BR 1073
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(5) (a) The authority shall disburse prospective educator scholarships to eligible 1
students who agree to render qualified teaching service as certified teachers, 2
and are unconditionally admitted and enrolled in an eligible program of 3
study. 4
(b) A prospective educator scholarship shall not be awarded or a promissory 5
note cancellation shall not be granted to any person who is in default on 6
any obligation to the authority under any program administered by the 7
authority pursuant to KRS 164.740 to 164.785 until financial obligations to 8
the authority are satisfied, except that ineligibility for this reason may be 9
waived by the authority for cause. 10
(c) Recipients shall render one (1) semester of qualified teaching service for 11
each semester or summer term of scholarship received. Upon completion of 12
each semester of qualified teacher service, the authority shall cancel one (1) 13
promissory note. 14
(d) If the recipient of a prospective educator scholarship fails to complete an 15
eligible program of study at a participating institution or fails to render 16
qualified teaching service in any semester following certification or 17
recertification, unless the failure is temporarily waived for cause by the 18
authority, the recipient shall immediately become liable to the authority for 19
repayment of the sum of all outstanding promissory notes and accrued 20
interest. Persons liable for repayment of scholarships under this paragraph 21
shall be liable for interest accruing from the dates on which the prospective 22
educator scholarships were disbursed. 23
(e) The authority shall administer the prospective educator scholarship 24
program and shall promulgate administrative regulations in accordance 25
with KRS Chapter 13A as may be needed. 26
(f) Notwithstanding any other statute to the contrary, the maximum interest 27 UNOFFICIAL COPY 25 RS BR 1073
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rate applicable to repayment of a promissory note under this section shall be 1
eight percent (8%) per annum, except that if a judgment is rendered to 2
recover payment, the judgment shall bear interest at the rate of five percent 3
(5%) greater than the rate actually charged on the promissory note. 4
(6) A repayment obligation imposed by this section shall not be voidable by reason of 5
the age of the recipient at the time of receiving the prospective educator 6
scholarship. 7
(7) Failure to meet repayment obligations imposed by this section shall be cause for 8
the revocation of a person's teaching certificate, subject to the procedures set 9
forth in KRS 161.120. 10
(8) All moneys repaid to the authority under this section shall be deposited into the 11
prospective educator scholarship fund created in subsection (11) of this section. 12
(9) The authority may execute appropriate contracts and promissory notes for 13
administering this section. 14
(10) (a) Notwithstanding any other statute to the contrary, if available funds are 15
insufficient for all requested awards for eligible applicants during any fiscal 16
year, the authority shall give priority consideration to eligible applicants 17
who previously received prospective educator scholarship awards. 18
(b) If funds are insufficient to make all requested renewal awards to eligible 19
applicants, the authority shall reduce all awards to the extent necessary to 20
provide awards to all qualified renewal applicants. 21
(c) If, after awarding all eligible renewal applicants, funds are not depleted, 22
initial applications shall be ranked according to regulatory selection 23
criteria, and awards shall be made to eligible applicants until funds are 24
depleted. 25
(11) (a) There is hereby established in the State Treasury a trust and agency 26
account to be known as the prospective educator scholarship fund. The 27 UNOFFICIAL COPY 25 RS BR 1073
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fund shall consist of state general fund appropriations, gifts and grants 1
from public and private sources, and federal funds. 2
(b) The fund shall be administered by the authority for the purpose of providing 3
loan repayment as described in this section and no other purpose. 4
(c) Notwithstanding KRS 45.229, fund amounts not expended at the close of a 5
fiscal year shall not lapse but shall be carried forward into the next fiscal 6
year. 7