Texas 2023 - 88th Regular

Texas House Bill HB4487 Compare Versions

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11 2023S0259-T 03/07/23
22 By: Smith H.B. No. 4487
33
44
55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to student loan repayment assistance for prosecutors and
88 certain criminal lawyers practicing in rural counties.
99 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1010 SECTION 1. Subchapter Y, Chapter 61, Education Code, is
1111 amended to read as follows:
1212 SUBCHAPTER Y. REPAYMENT OF CERTAIN LAW SCHOOL EDUCATION LOANS:
1313 RURAL CRIMINAL LAWYERS [ASSISTANT DISTRICT OR COUNTY ATTORNEY]
1414 Sec. 61.9601. DEFINITIONS [DEFINITION]. In this
1515 subchapter:
1616 (1) "Rural[, "rural] county" means a county with a
1717 population of 100,000 [50,000] or less.
1818 (2) "Appointed attorney" means an attorney who accepts
1919 appointments to represent adult or juvenile indigent criminal
2020 defendants.
2121 (3) "Employed" means:
2222 (A) full-time salaried work;
2323 (B) for part-time employees, an annualized
2424 average of 15 hours per week of salaried work; or
2525 (C) an annualized average of 15 hours per week of
2626 work as an appointed attorney.
2727 Sec. 61.9602. REPAYMENT ASSISTANCE AUTHORIZED. (a) The
2828 board shall provide, using funds appropriated for that purpose and
2929 in accordance with this subchapter and board rules, assistance in
3030 the repayment of [law school] education loans for attorneys who
3131 apply and qualify for the assistance.
3232 (b) The provision of financial assistance in the repayment
3333 of education loans under this subchapter promotes a public purpose.
3434 Sec. 61.9603. ELIGIBILITY. To be eligible to receive
3535 repayment assistance, an attorney must:
3636 (1) apply to the board;
3737 (2) hold a law degree from an accredited institution
3838 of higher education;
3939 (3) at the time of the application, be licensed to
4040 practice law in the State of Texas;
4141 (4) have outstanding student loan debt; and
4242 (5) be employed as a prosecutor, public defender, or
4343 appointed attorney providing services in one or more rural counties
4444 [be currently employed as an attorney by a district or county
4545 attorney's office that serves a rural county; and
4646 [(3) enter into an agreement to remain employed by the
4747 district or county attorney's office as provided by Section
4848 61.9605].
4949 Sec. 61.9604. ELIGIBLE LOANS. (a) The board may provide
5050 repayment assistance for the repayment of any student loan for
5151 education at an institution of higher education, including loans
5252 for undergraduate education, received by the individual [education
5353 loan received by the attorney] through any lender [for education at
5454 a school of law authorized by the board to award a degree that
5555 satisfies the law study requirements for licensure as an attorney
5656 in this state].
5757 (b) The board may not provide repayment assistance for an
5858 education loan that is in default at the time of the attorney's
5959 application.
6060 [Sec. 61.9605. AGREEMENT. (a) To qualify for loan
6161 repayment assistance under this subchapter, a person must enter
6262 into a written agreement with the board as provided by this section.
6363 The agreement must specify the conditions the person must satisfy
6464 to receive repayment assistance.
6565 [(b) The agreement must require the person to be employed
6666 for a period of five years with a district or county attorney's
6767 office that serves a rural county. Only employment with that
6868 district or county attorney's office as an attorney after the date
6969 the person enters into the agreement may be used to satisfy the
7070 employment requirement under the agreement.
7171 [(c) The agreement must provide that the repayment
7272 assistance the person receives before the person has been employed
7373 for five years as required by the agreement constitutes a loan until
7474 the person completes the five years of employment and satisfies any
7575 other applicable conditions of the agreement. The agreement must
7676 require the person to sign a promissory note acknowledging the
7777 conditional nature of the repayment assistance received and
7878 promising to repay the amount of that assistance received plus
7979 applicable interest and reasonable collection costs if the person
8080 does not satisfy the applicable conditions. The board shall
8181 determine the terms of the promissory note. To the extent
8282 practicable, the terms must be the same as those applicable to state
8383 or federally guaranteed student loans made at the same time. All
8484 amounts collected in repayment of a loan under this subsection,
8585 including interest, but excluding collection costs paid by the
8686 board to another person to collect or assist in collecting the
8787 amount, shall be deposited to the credit of the trust fund
8888 established by Section 61.9608.]
8989 Sec. 61.9606. REPAYMENT. (a) The amount of loan repayment
9090 provided under this program shall be determined by the board and
9191 shall not exceed the following amounts for each year for which the
9292 individual establishes eligibility for the assistance:
9393 (1) for the first year, $30,000;
9494 (2) for the second year, $40,000;
9595 (3) for the third year, $50,000; and
9696 (4) for the fourth year, $60,000.
9797 (b) The total amount of repayment assistance made to an
9898 individual may not exceed $180,000.
9999 (c) An individual may receive repayment assistance grants
100100 for not more than four years [Except as provided by Section
101101 61.9609(a), the board shall provide repayment assistance under this
102102 subchapter in the following amounts:
103103 [(1) 60 percent of each payment due on an attorney's
104104 eligible loans during the first 12-month period after the attorney
105105 enters into the agreement under Section 61.9605;
106106 [(2) 80 percent of each payment due on an attorney's
107107 eligible loans during the second 12-month period after the attorney
108108 enters into the agreement; and
109109 [(3) 100 percent of each payment due on an attorney's
110110 eligible loans during the third 12-month period after the attorney
111111 enters into the agreement].
112112 (d) [(b)] The board shall deliver any repayment assistance
113113 made under this subchapter in a lump sum payable:
114114 (1) to both the individual and the lender or other
115115 holder of the affected loan; or
116116 (2) directly to the lender or other holder of the loan
117117 on the individual's behalf [and the attorney and in accordance with
118118 any applicable federal law].
119119 (e) [(c)] Loan repayment assistance received under this
120120 subchapter may be applied to the principal amount of the loan and to
121121 interest that accrues.
122122 Sec. 61.9607. ADVISORY COMMITTEE. (a) The board shall
123123 [may] appoint an advisory committee from outside the board's
124124 membership to assist the board in performing the board's duties
125125 under this subchapter.
126126 (b) The advisory committee members must be comprised of
127127 equal numbers of members recommended by:
128128 (1) the Texas District and County Attorneys
129129 Association;
130130 (2) the Texas Indigent Defense Commission; and
131131 (3) the Texas Judicial Council.
132132 (c) The advisory committee shall make recommendations to
133133 the board regarding rules that:
134134 (1) establish a method for documenting and verifying
135135 the hours worked or cases defended by applicants who are appointed
136136 attorneys; and
137137 (2) allocate repayment in a manner that incentivizes
138138 service in the most rural counties. To do so, the advisory
139139 committee shall consider:
140140 (A) the population of the counties in which
141141 applicants provide services;
142142 (B) the degree of criminal lawyer scarcity in
143143 those counties; and
144144 (C) for appointed attorneys:
145145 (i) the distances between the counties in
146146 which an applicant provides service;
147147 (ii) the volume of cases handled by the
148148 applicant; and
149149 (iii) the hours that the applicant devoted
150150 to rural appointed cases during the previous calendar year.
151151 Sec. 61.9608. FUNDING. (a) The loan repayment assistance
152152 program established by this subchapter is funded from the rural
153153 prosecution and defense [district and county attorney] student loan
154154 assistance trust fund. The trust fund is established outside the
155155 treasury and is administered by the comptroller. Money in the trust
156156 fund may be spent without appropriation and only to fund the
157157 program. Interest and income from the assets of the trust fund
158158 shall be credited to and deposited in the trust fund.
159159 (b) The board may solicit and accept gifts, grants, and
160160 donations from any public or private source for the purposes of this
161161 subchapter and shall deposit money accepted under this subsection
162162 to the credit of the trust fund.
163163 (c) The legislature may appropriate money to the trust fund.
164164 Sec. 61.9609. RULES. (a) The board shall adopt rules
165165 necessary for the administration of this subchapter[, including a
166166 rule that sets the maximum amount of loan repayment assistance that
167167 an attorney may receive in one year].
168168 (b) The board shall distribute a copy of the rules adopted
169169 under this section and pertinent information in this subchapter to:
170170 (1) each school of law authorized by the board to award
171171 a degree described by Section 61.9604(a); [and]
172172 (2) any appropriate district or county attorneys;
173173 (3) the Texas Indigent Defense Commission; and
174174 (4) any appropriate public defender offices.
175175 (c) The board shall administer the program under this
176176 subchapter in a manner that maximizes any matching funds available
177177 through other sources.
178178 SECTION 2. This Act takes effect September 1, 2023.