1.1 A bill for an act
1.2 relating to higher education; establishing loan forgiveness and grants for home
1.3 care worker education; requiring reports; transferring money; appropriating money;
1.4 proposing coding for new law in Minnesota Statutes, chapter 136A.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. [136A.1277] HOME CARE WORKER GRANTS.
1.7 Subdivision 1.Establishment.The commissioner of the Office of Higher Education
1.8must establish a grant program for students working as home care workers.
1.9 Subd. 2.Eligibility.(a) To be eligible for a grant under this section, a student must:
1.10 (1) be enrolled at an eligible institution in a two- or four-year postsecondary program
1.11that leads to a degree;
1.12 (2) agree to work as a home care worker no less than an average of ten hours per week
1.13during the academic period for which the grant is awarded; and
1.14 (3) have made satisfactory academic progress as defined under section 136A.101,
1.15subdivision 10.
1.16 (b) For purposes of this section, "home care worker" means an individual who provides
1.17to older adults or persons with disabilities in-home, nonprofessional long-term services and
1.18supports that are funded in whole or in part by medical assistance, including by the home
1.19and community-based waivers, alternative care, the essential community supports program,
1.20or community support grants.
1Section 1.
25-01483 as introduced01/21/25 REVISOR VH/AC
SENATE
STATE OF MINNESOTA
S.F. No. 777NINETY-FOURTH SESSION
(SENATE AUTHORS: HOFFMAN)
OFFICIAL STATUSD-PGDATE
Introduction and first reading01/30/2025
Referred to Higher Education 2.1 Subd. 3.Administration.(a) The commissioner must establish an application process
2.2and other guidelines for implementing the program. The commissioner must notify grant
2.3recipients of their award amounts by the following dates:
2.4 (1) for fall academic periods, recipients must be notified by October 15;
2.5 (2) for spring academic periods, recipients must be notified by February 1; and
2.6 (3) for summer academic periods, recipients must be notified by July 1.
2.7These notification deadlines do not apply in cases where grants are awarded to home care
2.8workers who applied after application deadlines and grant money was available after the
2.9initial round of grants were awarded.
2.10 (b) Each academic year, the commissioner must determine each grant amount up to
2.11$5,000 based on available funding and the number of eligible applicants.
2.12 (c) The commissioner must give equal consideration to all eligible applicants received
2.13before the application deadline regardless of the order in which the application was received.
2.14 (d) If there is insufficient grant money to provide a grant to all eligible applicants, the
2.15commissioner shall prioritize the grants to eligible applicants based on the statewide
2.16distribution of grant money.
2.17 Subd. 4.Reporting.By February 15 of each year, the commissioner must submit a
2.18report on the details of the program under this section to the legislative committees with
2.19jurisdiction over higher education and human services finance and policy. The report must
2.20include the following information:
2.21 (1) the number of eligible applicants and the number of home care workers receiving a
2.22grant, each broken down by postsecondary institution;
2.23 (2) the total number of grants, the total dollar amount of all grants, and the average grant
2.24amount; and
2.25 (3) other summary data identified by the commissioner as outcome indicators.
2.26 Sec. 2. [136A.1786] HOME CARE WORKER LOAN FORGIVENESS PROGRAM.
2.27 Subdivision 1.Definitions.(a) For purposes of this section, the terms in this subdivision
2.28have the meanings given.
2.29 (b) "Home care worker" means an individual who provides to older adults or persons
2.30with disabilities in-home, nonprofessional long-term services and supports that are funded
2.31in whole or in part by medical assistance, including by the home and community-based
2Sec. 2.
25-01483 as introduced01/21/25 REVISOR VH/AC 3.1waivers, alternative care, the essential community supports program, or community support
3.2grants.
3.3 (c) "Qualified education loan" means a government, commercial, or foundation loan
3.4used by an individual for actual costs paid for tuition and reasonable educational and living
3.5expenses related to the postsecondary education of the home care worker.
3.6 Subd. 2.Creation of account.(a) A home care worker loan forgiveness program account
3.7is established in the special revenue fund to provide home care workers with financial
3.8assistance in repaying qualified education loans. The commissioner must use money from
3.9the account to establish and administer the home care worker loan forgiveness program.
3.10 (b) Money in the home care worker loan forgiveness program account is appropriated
3.11to the commissioner for purposes of this section, does not cancel, and is available until
3.12expended.
3.13 Subd. 3.Eligibility.To be eligible to participate in the home care worker loan forgiveness
3.14program, an individual must:
3.15 (1) have been employed as a home care worker at least an average of three hours per
3.16week for ... prior to application;
3.17 (2) have qualified education loans;
3.18 (3) reside in Minnesota; and
3.19 (4) submit an application to the commissioner in the form and manner prescribed by the
3.20commissioner.
3.21 Subd. 4.Loan forgiveness.(a) The commissioner may select eligible applicants each
3.22year for participation in the home care worker loan forgiveness program, within the limits
3.23of available funding. Applicants are responsible for securing their own qualified education
3.24loans.
3.25 (b) For each year that the participant meets the eligibility requirements under subdivision
3.263, the commissioner must make annual disbursements directly to a home care worker equal
3.27to the least of (1) $....... times the average weekly number of hours worked in the preceding
3.28year as a home care worker, (2) $......., or (3) the balance of the participant's qualified
3.29education loans. An individual may receive disbursements under this section for a maximum
3.30of five years.
3.31 (c) The participant must provide the commissioner with verification that the full amount
3.32of the loan repayment disbursement received by the participant has been applied toward a
3Sec. 2.
25-01483 as introduced01/21/25 REVISOR VH/AC 4.1qualified education loan. After each disbursement, verification must be received by the
4.2commissioner and approved before the next repayment disbursement is made.
4.3 (d) If the participant receives a disbursement in the participant's fifth year of eligibility
4.4or ceases to qualify for additional disbursements, the participant must provide the
4.5commissioner with verification that the full amount of the participant's final loan repayment
4.6disbursement was applied toward a qualified education loan. If a participant does not provide
4.7the verification as required under this paragraph within 12 months of receipt of the final
4.8disbursement, the commissioner must collect from the participant the amount paid in the
4.9last disbursement to the participant under the home care worker loan forgiveness program
4.10plus interest at a rate established according to section 270C.40. The commissioner must
4.11deposit the money collected in the home care worker loan forgiveness program account.
4.12 Sec. 3. APPROPRIATIONS; HOME CARE WORKER GRANTS.
4.13 $....... in fiscal year 2026 is appropriated from the general fund to the commissioner of
4.14the Office of Higher Education for home care worker grants under Minnesota Statutes,
4.15section 136A.1277. The commissioner may use up to five percent of this appropriation to
4.16administer the program. $....... is added to the base for fiscal year 2027 and later.
4.17 Sec. 4. TRANSFER; HOME CARE WORKER LOAN FORGIVENESS PROGRAM.
4.18 $....... in fiscal year 2026 is appropriated from the general fund to the commissioner of
4.19the Office of Higher Education for transfer to the home care worker loan forgiveness program
4.20account established in Minnesota Statutes, section 136A.1786, subdivision 2. The
4.21commissioner of the Office of Higher Education may use up to five percent of the amount
4.22transferred in this section to administer the home care worker loan forgiveness program.
4.23$....... is added to the base for fiscal year 2027 and later.
4Sec. 4.
25-01483 as introduced01/21/25 REVISOR VH/AC