EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. Underlining indicates amendments to bill. Strike out indicates matter stricken from the bill by amendment or deleted from the law by amendment. *hb0541* HOUSE BILL 541 F2, F3 4lr3090 CF SB 657 By: Delegates Henson, Bagnall, Bartlett, D. Jones, Kipke, Lehman, Pruski, Rogers, Schmidt, and Simmons Introduced and read first time: January 24, 2024 Assigned to: Appropriations Committee Report: Favorable House action: Adopted Read second time: March 4, 2024 CHAPTER ______ AN ACT concerning 1 Anne Arundel County – Student Loan Assistance Repayment Program for 2 Educators – Established 3 FOR the purpose of establishing the Anne Arundel County Student Loan Assistance 4 Repayment Program for Educators to assist in the repayment of certain student 5 loans owed by educators who meet certain eligibility requirements; authorizing the 6 governing body of Anne Arundel County to establish the Program for educators 7 employed by the Anne Arundel County Public School System; requiring the county 8 to establish the amount and terms and conditions of the Program; and generally 9 relating to the establishment of the Anne Arundel County Student Loan Assistance 10 Repayment Program for Educators. 11 BY adding to 12 Article – Education 13 Section 18–4001 through 18–4005 to be under the new subtitle “Subtitle 40. Anne 14 Arundel County Student Loan Assistance Repayment Program for Educators” 15 Annotated Code of Maryland 16 (2022 Replacement Volume and 2023 Supplement) 17 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18 That the Laws of Maryland read as follows: 19 Article – Education 20 2 HOUSE BILL 541 SUBTITLE 40. ANNE ARUNDEL COUNTY STUDENT LOAN ASSISTANCE REPAYMENT 1 PROGRAM FOR EDUCATORS. 2 18–4001. 3 (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 4 INDICATED. 5 (B) “HIGHER EDUCATION LOAN ” MEANS ANY LOAN FOR U NDERGRADUATE 6 OR GRADUATE STUDY TH AT IS OBTAINED FOR TUITION , EDUCATIONAL EXPENSES , 7 OR LIVING EXPENSES F ROM: 8 (1) A COLLEGE OR UNIVERSIT Y, GOVERNMENT , OR COMMERCIAL 9 SOURCE; OR 10 (2) AN ORGANIZATION , AN INSTITUTION , AN ASSOCIATION , A 11 SOCIETY, OR A CORPORATION THA T IS EXEMPT FROM TAX ATION UNDER § 501(C)(3) 12 OR (4) OF THE INTERNAL REVENUE CODE OF 1986. 13 (C) “PROGRAM” MEANS THE ANNE ARUNDEL COUNTY STUDENT LOAN 14 ASSISTANCE REPAYMENT PROGRAM FOR EDUCATORS. 15 18–4002. 16 (A) IN ANNE ARUNDEL COUNTY, THE GOVERNING BOARD OF THE COUNTY 17 MAY ESTABLISH A STUD ENT LOAN ASSISTANCE R EPAYMENT PROGRAM FOR 18 EDUCATORS EMPLOYED B Y THE ANNE ARUNDEL COUNTY PUBLIC SCHOOL SYSTEM. 19 (B) THE PURPOSE OF THE PROGRAM IS TO ATTRACT , RECRUIT, AND RETAIN 20 A DIVERSE CADRE OF Q UALIFIED EDUCATORS I N THE ANNE ARUNDEL COUNTY 21 PUBLIC SCHOOL SYSTEM THAT IS REFLEC TIVE OF THE STUDENT POPULATION 22 WITHIN THE COUNTY SC HOOLS. 23 (C) SUBJECT TO SUBSECTION (D) OF THIS SECTION , THE COUNTY SHALL 24 ASSIST IN THE REPAYM ENT OF HIGHER EDUCAT ION LOANS OWED BY AN INDIVIDUAL 25 WHO: 26 (1) RECEIVES A GRADUATE , PROFESSIONAL , OR UNDERGRADUATE 27 DEGREE FROM AN ACCRE DITED COLLEGE OR UNI VERSITY; 28 (2) OBTAINS EMPLOYMENT AS AN EDUCATOR IN THE ANNE ARUNDEL 29 COUNTY PUBLIC SCHOOL SYSTEM; 30 HOUSE BILL 541 3 (3) COMMITS TO SERVE IN T HE ANNE ARUNDEL COUNTY PUBLIC 1 SCHOOL SYSTEM FOR A PERIOD OF NOT LESS THAN 5 YEARS; 2 (4) RECEIVES AN INCOME TH AT IS LESS THAN THE MAXIMUM 3 ELIGIBLE TOTAL INCOM E LEVELS ESTABLISHED BY THE COUNTY , INCLUDING ANY 4 ADDITIONAL SOURCES O F INCOME THE INDIVID UAL MAY EARN ; 5 (5) IS NOT IN DEFAULT ON ANY STUDENT LOAN ; AND 6 (6) SATISFIES ANY OTHER C RITERIA ESTABLISHED UNDER THE 7 PROGRAM BY THE COUNTY . 8 (D) AN APPLICANT FOR ASSI STANCE IN THE REPAYM ENT OF A COMMERCIAL 9 LOAN SHALL DEMONSTRA TE TO THE COUNTY THA T THE COMMERCIAL LOA N WAS 10 USED FOR TUITION , EDUCATIONAL EXPENSES , OR LIVING EXPENSES FO R GRADUATE 11 OR UNDERGRADUATE STU DY. 12 18–4003. 13 LOAN ASSISTANCE UNDER THE PROGRAM SHALL BE IN T HE AMOUNT AND ON 14 THE TERMS AND CONDIT IONS ESTABLISHED BY THE COUNTY. 15 18–4004. 16 THE PROGRAM SHALL BE ADMI NISTERED BY THE ANNE ARUNDEL COUNTY 17 PUBLIC SCHOOL SYSTEM. 18 18–4005. 19 (A) FUNDS FOR THE PROGRAM SHALL BE AS P ROVIDED ON AN ANNUAL 20 BASIS IN THE COUNTY BUDGET IN AN APPROPR IATION SEPARATE FROM THE 21 COUNTY’S APPROPRIATION TO T HE OPERATING BUDGET OF THE ANNE ARUNDEL 22 COUNTY BOARD OF EDUCATION. 23 (B) FUNDS FOR THE PROGRAM MAY BE USED T O COVER ADMINISTRATI VE 24 EXPENSES OF THE PROGRAM. 25 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 26 October 1, 2024. 27