Bill Text: IL SB0309 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: Amends the Higher Education Student Assistance Act. Creates the Teacher Loan Repayment Program. Provides that the Illinois Student Assistance Commission shall consider applications for forgiving portions of qualified applicant's education loans each year. Provides that 10% of the applicant's yearly loan balance shall be forgiven each year for 5 years or until 50% of the applicant's outstanding balance at the time of the initial application is paid off. Effective July 1, 2024.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced) 2023-03-10 - Rule 3-9(a) / Re-referred to Assignments [SB0309 Detail]

Download: Illinois-2023-SB0309-Introduced.html

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103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB0309 Introduced 2/2/2023, by Sen. Ram Villivalam SYNOPSIS AS INTRODUCED:
110 ILCS 947/65.58 new
Amends the Higher Education Student Assistance Act. Creates the Teacher Loan Repayment Program. Provides that the Illinois Student Assistance Commission shall consider applications for forgiving portions of qualified applicant's education loans each year. Provides that 10% of the applicant's yearly loan balance shall be forgiven each year for 5 years or until 50% of the applicant's outstanding balance at the time of the initial application is paid off. Effective July 1, 2024.
LRB103 26404 RJT 52767 b
A BILL FOR
SB0309 LRB103 26404 RJT 52767 b
AN ACT concerning education.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Higher Education Student Assistance Act is
amended by adding Section 65.58 as follows:
(110 ILCS 947/65.58 new)
Sec. 65.58. Teacher Loan Repayment Program.
(a) In order to encourage academically talented Illinois
students to enter and continue teaching in Illinois schools in
low-income areas and to encourage students to enter the early
child care profession and serve low-income areas, the
Commission shall, each year, receive and consider applications
for loan forgiveness under this Section. This program shall be
known as the Teacher Loan Repayment Program. The Commission
shall administer the program and shall make all necessary and
proper rules not inconsistent with this Section for the
program's effective implementation.
(b) Subject to a separate appropriation made for such
purposes, the Commission shall award a grant to each qualified
applicant in an amount equal to a percentage designated in
subsection (d) of the remaining balance the qualified
applicant's outstanding educational loans. The Commission
shall encourage the recipient of a grant under this Section to

SB0309 - 2 - LRB103 26404 RJT 52767 b
use the grant amount awarded to pay off his or her educational
loans.
(c) A person is a qualified applicant under this Section
if he or she meets all of the following qualifications:
(1) the person is a United States citizen or eligible
noncitizen;
(2) the person is a resident of this State; and
(3) the person currently has outstanding student
loans.
(d) The Commission shall yearly grant the qualified
applicant an amount equal to 10% of the qualified applicant's
remaining loan balance each year if he or she teaches at a
public school district. The Commission shall grant this amount
to the qualified applicant for 5 years or until 50% of the
qualified applicant's outstanding balance at the time of the
initial application is paid off.
(e) All applications for grant assistance under this
Section shall be made to the Commission. The form of
application and the information required to be set forth in
the application shall be determined by the Commission, and the
Commission shall require applicants to submit with their
application such supporting documents as the Commission deems
necessary.
Section 99. Effective date. This Act takes effect July 1,
2024.