7. Speech-language pathology.__"Speech-language pathology" means the application of theories, principles and procedures related to development and disorders of language and speech for purposes of assessment and treatment of such disorders.

8. Speech-language pathology program.__"Speech-language pathology program" means a program of instruction in speech- language pathology that awards a master's degree or its equivalent, as determined by the board, that is consistent with the requirements for the American Speech and Hearing Association Certificate of Clinical Competency in Speech Pathology and Audiology or its equivalent at an accredited institution of higher education or at a course-offering institution that has articulated an agreement with an accredited institution of higher education.__The board may establish the requirements for academic course work, supervised clinical practice, supervised professional employment and written examinations.

9.__Stafford loan.__"Stafford loan" means an education loan issued under the Robert T. Stafford Loan Program.

§12312.__Maine Speech-Language Education Loan Forgiveness Program

1.__Establishment. The Maine Speech-Language Education Loan Forgiveness Program, referred to in this chapter as the "program," is established.__The authority shall administer the program.__Under this program, beginning in fiscal year 2001-02, the chief executive officer shall award up to 10 new loan repayment agreements annually.

2.__Application process.__Application must be made directly to the authority by a person who seeks to participate in the program.

3.__Eligibility.__A person who meets the eligibility criteria established by rule of the authority is eligible to participate in the program.__At a minimum, the criteria must include that:

A.__The applicant must be a Maine resident;

B.__The applicant must be a graduate of a speech-language pathology program;

C.__The applicant must be licensed as a speech-language pathologist in the State;

D.__The applicant must be employed by a public school as a speech-language pathologist; and

E.__The applicant must have an outstanding Stafford loan.

Priority must be given to an applicant who previously received a loan repayment agreement pursuant to this section.

4.__Maximum amount.__The maximum loan repayment amount available to each participant in the program is $10,000 per year for each year up to 2 years the participant works in a public school as a licensed speech-language pathologist and has outstanding Stafford loans.

5.__Loan repayment agreement.__An accepted applicant who participates in the program shall enter into a loan repayment agreement as provided in this subsection.

A.__The participant shall obtain employment as a licensed speech-language pathologist in a public school and promise to remain in that position for one academic year.

B.__The authority shall provide to the participant a letter evidencing repayment of the participant's outstanding Stafford loan indebtedness for speech-language pathologist education at the rate established in subsection 4 per year of service for up to 2 years as long as the participant continues to practice as a licensed speech-language pathologist in a public school.

6.__Default.__A participant in the program who agrees to practice in a public school and who fails to complete the period of service required to pay off a loan is liable to the authority for an amount equal to the sum of the total amount paid by the authority to or on behalf of the participant under the loan repayment agreement under subsection 5 plus interest at a rate determined by the authority.__Credit for practice in a public school is awarded for each academic school year served.

A participant may be granted permission to default without penalty from the loan repayment agreement to serve as a speech- language pathologist in a public school by petitioning the authority.__Grounds for permission to default without penalty include, but are not limited to, catastrophic circumstances that prevent the recipient from remaining in a public school position for the required period of time.__The participant receives credit

for the number of months served, and the remaining financial obligation plus interest must be repaid to the authority in cash under the terms of the original agreement.

§12313.__Nonlapsing fund

1.__Fund created.__A nonlapsing, interest-earning, revolving fund under the jurisdiction of the authority is created to carry out the purposes of this chapter.__Any unexpended balance in the fund carries over for continued use under this chapter.__The authority may receive, invest and expend, on behalf of the fund, money from gifts, grants, bequests and donations in addition to money appropriated or allocated by the State.__Loan forgiveness repayments to the authority must be invested by the authority, as provided by law, with the earned income to be added to the fund.__ Money received by the authority on behalf of the fund, except interest income, must be used for the purposes of the program.__ Interest income may be used for the purposes of the program, for the purpose specified in subsection 2 or for the payment of student financial assistance administrative costs incurred by the authority for the operation of the program.

2.__Allocation of interest income.__The authority may reallocate a portion of the interest income for the purpose of recruiting speech-language pathologists for public school employment.

§12314.__Board of Examiners on Speech-language Pathology and

Audiology

The Board of Examiners on Speech-language Pathology and Audiology, as established by Title 5, section 12004-A, subsection 39, shall assist the chief executive officer in evaluating and improving the program.

§12315.__Rules

The authority shall establish rules necessary to implement this chapter.__Rules adopted pursuant to this section are routine technical rules as defined in Title 5, chapter 375, subchapter II-A.

Sec. 2. 20-A MRSA §12501, sub-§2-A, as enacted by PL 1999, c. 441, §2, is amended to read:

2-A. Educator shortage area. "Educator shortage area" means a geographic region of the State for which there is an insufficient supply of teachers or speech pathologists, as determined by the chief executive officer in consultation with the commissioner.

Sec. 3. 20-A MRSA §12501, sub-§6-A, as amended by PL 1999, c. 441, §3, is further amended to read:

6-A. Students pursuing postbaccalaureate certification. "Students pursuing postbaccalaureate certification" means students who have earned a Bachelor of Arts degree or its equivalent and are pursuing a program of studies leading to certification as a teacher or speech pathologist.

Sec. 4. 20-A MRSA §12501, sub-§7, as amended by PL 1999, c. 441, §5, is further amended to read:

7. Underserved subject areas. "Underserved subject areas" means those subjects or programs, required or authorized to be taught in the public schools for which there is an insufficient supply of teachers or speech pathologists, as determined by the chief executive officer in consultation with the commissioner.

Sec. 5. 20-A MRSA §12502, as repealed and replaced by PL 1999, c. 783, §3, is amended to read:

§12502. Educators for Maine Program

There is established the Educators for Maine Program to provide financial assistance to college students, graduating high school seniors and students pursuing postbaccalaureate certification, child development associate certification or an associate's degree in child development who demonstrate an interest in pursuing a career in teaching in this State for postsecondary education and to teachers and speech pathologists for advanced-degree or continued study. The program recognizes outstanding graduating high school seniors, college students and students pursuing postbaccalaureate certification or child development associate certification or an associate's degree in child development. The chief executive officer shall administer the program and shall establish by rule the rates of interest or fees to be charged.

Sec. 6. 20-A MRSA §12504, 2nd ¶, as amended by PL 1999, c. 783, §4, is further amended to read:

Loans of up to $1,500 per academic year or $6,000 total may be made to students pursuing postbaccalaureate certification. Loans of up to $3,000 per academic year or $12,000 total may be made to eligible graduating high school seniors and college students. Loans of up to $3,000 per academic year or $6,000 total may be made to eligible child development students pursuing an associate's degree in child development, and loans of up to $3,000 total but not exceeding the cost of tuition, books and

fees may be made to child development students pursuing a child development associate certification. An individual who has received a Educators for Maine loan or a Blaine House Scholars Program loan as a graduating high school senior or as a college student may also receive a loan for students pursuing postbaccalaureate certification or as a teacher or speech pathologist engaged in graduate education or continuing education. In no event may an individual receive more than $18,000 in total. Loans for undergraduate students, postbaccalaureate recipients and child development students pursuing an associate's degree in child development are for one academic year and are automatically renewed if the recipient maintains a grade point average of 2.5 based on a 4.0 grade point system or the equivalent.

Sec. 7. 20-A MRSA §12505, sub-§2, as amended by PL 1999, c. 441, §9, is further amended to read:

2. Eligibility for graduate study or continuing education loans. A graduate study or continuing education loan may be given only to a teacher or speech pathologist in a Maine school who has met other eligibility criteria established by rule of the chief executive officer. Preference must be given to teachers of subjects determined to be underserved.

Sec. 8. 20-A MRSA §12508, as amended by PL 1999, c. 441, §11, is further amended to read:

§12508. Repayment and return service provisions -

loans for teachers and students pursuing

postbaccalaureate certification

Each recipient of a loan designated for students pursuing postbaccalaureate certification may cancel the total amount of the loan by completing one year of return service for each year a loan is received in the public schools or private schools approved for tuition purposes in the State. The return service requirement is one year of return service for 2 loans received if return service is performed in underserved subject areas or in educator shortage areas. Return service for this purpose must be performed within 3 years of graduation from the institution of higher education or completion of the course or courses for which the funds were given. In no event may return service be credited for the same semester for which an individual receives a loan pursuant to this chapter. An individual receiving loan forgiveness for a loan for a postbaccalaureate certification loan may not receive loan forgiveness for any undergraduate loan simultaneously. If the chief executive officer grants a deferment, the time period for performance of return service may be extended for the same period as the deferment. Failure to

fulfill the return service option will necessitate repayment to the authority as follows.

1. Debt calculation. The debt must include the total amount of the loan less the amount, if any, that has been canceled by return service.

2. Time for repayment. The total debt must be repaid to the authority within 3 years of graduation from the institution of higher education or courses for which the funds were given or within 3 years of repayment of any other loans made pursuant to this chapter. If the chief executive officer grants a deferment, the time period may be extended up to the period of the deferment. A repayment schedule including due dates must be set by the chief executive officer.

3. Deferment. A recipient of a loan may seek a deferment of the annual payments for a period or periods as established by the chief executive officer who shall make a determination on a case- by-case basis. The chief executive officer may grant a deferment in the event that a recipient of a loan evidences intent to teach or practice speech pathology and inability to secure employment necessary to obtain forgiveness of the loan at the time the deferment is sought. The chief executive officer shall require certification of the intent annually and grant a one-year deferment for each successful request for deferment. A recipient may not receive more than 5 one-year deferments. The decision of the chief executive officer is final.

SUMMARY

This bill establishes a loan forgiveness program for Maine residents who are licensed speech-language pathologists who have outstanding Stafford loans incurred while obtaining a master's degree in speech-language pathology and who agree to practice in public schools in the State. A licensed speech-language pathologist who agrees to practice for one academic year in a public school is entitled to forgiveness of a maximum amount of $10,000 in outstanding Stafford loans for each year the speech- language pathologist continues to practice in that position up to a maximum of 2 years.

This bill also removes speech pathologists from inclusion in the Educators for Maine Program.