BILL NUMBER: SB 1264 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 2, 2014
INTRODUCED BY Senator Pavley
FEBRUARY 21, 2014
An act to amend Section 69612.5 of add
Article 7.7 (commencing with Section 69630) to Chapter 2 of Part 42
of Division 5 of Title 3 of the Education Code, relating to
student financial aid.
LEGISLATIVE COUNSEL'S DIGEST
SB 1264, as amended, Pavley. Student financial aid:
Assumption Program of Loans for Education. Educator
Excellence Program loan assumption agreements.
Existing law establishes the Assumption Program of Loans for
Education, administered by the Student Aid Commission, under which
any person enrolled in a participating institution of postsecondary
education, or any person who agrees to participate in a teacher
trainee or teacher internship program, is eligible to enter into an
agreement for loan assumption, to be redeemed pursuant to a
prescribed procedure upon becoming employed as a teacher if he or she
satisfies certain conditions.
Existing law requires the applicant to agree, among other things,
to teach full time for at least 4 consecutive academic years or on a
part-time basis the equivalent of 4 consecutive academic years at an
eligible school. Existing law defines "eligible school" to mean,
among other things, a school that is ranked in the lowest 2 deciles
on the Academic Performance Index, a measure of the performance of
schools and school districts.
This bill would amend the definition of "eligible school"
to mean, among other things, a school that is ranked in the lowest 3
deciles on the Academic Performance Index. establish
the Educator Excellence Program under the administration of the
Student Aid Commission. The bill would authorize the issuance, under
that program, of up to 6,500 agreements for the assumption of student
loans in a school year, up to a total loan assumption of $11,000
after 4 years of qualifying service in a school district that has
qualified for a local control funding formula concentration grant,
teaching in a subject ar ea that has been designated by
the Superintendent of Public Instruction as a current or projected
shortage area. The bill would establish procedures for
persons to apply for these loan assumption agreements and criteria
for the determination of eligibility to enter into these agreements.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Article 7.7 (commencing with Section
69630) is added to Chapter 2 of Part 42 of Division 5 of Title 3 of
the Education Code , to read:
Article 7.7. Educator Excellence Program Loan Assumption
Agreements
69630. (a) The Legislature finds and declares all of the
following:
(1) Entry into the state's teacher preparation programs has been
declining rapidly, even though student enrollments are on the rise
and projected to increase further over the next decade.
(2) The rising costs of higher education, coupled with a shift in
available financial aid from scholarships and grants to loans, make
the availability of financial aid and loan repayment assistance
options an important consideration in a student's decision to pursue
a postsecondary education.
(3) Despite the layoffs that appear to create a surplus of
teachers, teacher shortages continue to exist. Current shortages are
in fields such as special education, mathematics, physical science
and bilingual education/English language development, as well as in
many high-poverty schools. Through economic conditions, student
preferences, and changes in expectations in the teaching profession,
teacher shortage areas change over time.
(4) Huge educational and financial costs of more than $7 billion
per year nationally are associated with replacing teachers and
leaders who leave schools prematurely.
(5) There is a crisis in the preparation of special education
teachers, who comprise the majority of underprepared teachers. The
most important factor in serving special education students well is
the knowledge and skills of their teachers. Without sufficient
training and certification in the field of special education, costs
increase as other services are added to compensate for inadequate
instruction.
(6) Through the Educator Excellence Program (EEP), the state could
better meet its educational needs by providing the opportunity for
financial assistance to qualified educators who will serve California'
s students in shortage fields, as determined. Particularly in the
area of special education, this investment will reap huge benefits in
better-served students who will have a much lower need for
remediation and other services, and a lower rate of grade retention.
(7) In an effort to decrease the achievement gap and support all
students in becoming ready for college and career, California should
provide financial support to qualified persons seeking a specialized
and focused content area master's degree in education or teaching and
National Board Certification to increase the number of highly
qualified and competent teachers teaching in California's lowest
performing elementary and secondary schools.
(8) National Board for Professional Teaching Standards
certification is the most widely recognized certificate of educator
excellence.
(b) The Commission on Teacher Credentialing (CTC), in consultation
with the department, shall conduct a thorough study at least every
three years, as determined by the Superintendent, to determine
priority areas for EEP loan assumption agreements. This study will
identify areas of greatest need and award EEP loan assumption
agreements based on specific criteria. This study will include the
following:
(1) A list of teaching fields that have the most critical
shortages of teachers, as defined. The Superintendent shall review
this list at least every three years and revise the list based on the
most current study conducted by the CTC, in accordance with
subdivision (b). The list of areas of teacher shortage furnished
pursuant to this subdivision shall include the state special schools
as a category separate from special education.
(2) A list of schools that serve a large population of pupils from
low-income families, as designated for purposes of the federal
Perkins loan program, or according to standards that the
Superintendent deems appropriate.
(3) A list of schools with a high percentage of teachers holding
emergency-type permits. The list shall be established according to
criteria determined by the Superintendent.
(4) A list of schools serving rural areas.
(5) A list of the lowest performing and hardest to staff schools.
(6) A list of high-priority schools.
(7) Other information as determined by the Superintendent.
(c) Annual EEP loan forgiveness awards will be determined based on
the most current study conducted by the CTC under these provisions.
(d) It is the intent of the Legislature that the EEP be designed
to accomplish both of the following:
(1) Provide outstanding postsecondary students, particularly
economically disadvantaged students, with financial assistance to
encourage them to complete postsecondary education programs leading
to teaching credentials.
(2) Provide veteran teachers with financial assistance to
encourage them to pursue additional teaching or content area
authorizations and credentials, a specialized and focused content
area master's degree in an education or teaching subject matter area
other than education administration, or National Board Certification.
EEP recipients shall agree to teach in the lowest performing,
hardest to staff schools or designated subject-matter shortage areas,
based on the most current study conducted by the CTC under these
provisions.
(e) The Superintendent shall convene a working group at least
every three years to establish priorities, based on the most current
study completed by the CTC. EEP awards shall be authorized consistent
with the program goals, targeting high-need, low-performing schools
and districts in accordance with current Assumption Program of Loans
for Education program regulations and governing federal law and
regulations including, but not necessarily limited to, paragraph (6)
of subdivision (g) of Section 682.210 of Title 34 of the Code of
Federal Regulations, relating to the targeted deferment of student
loan payments.
69631. (a) The Educator Excellence Program (EEP) is hereby
established under the administration of the Student Aid Commission.
(b) An EEP participant shall meet all of the following eligibility
criteria prior to selection for the program, and shall continue to
meet these criteria, as appropriate, during the payment periods:
(1) For participants enrolled in postsecondary education programs
leading to initial teaching credentials, the applicant has completed
at least 60 semester units, or the equivalent, and is enrolled in an
academic program leading to a baccalaureate degree at an eligible
institution, or has been admitted to a program of professional
preparation that has been approved by the Commission on Teacher
Credentialing. Qualified candidates from another state who have
received an equivalent credential, authorizing service for
kindergarten or any of grades 1 to 12, inclusive, as determined by
the Superintendent, may also be considered for participation in the
EEP.
(2) For participants enrolled in postsecondary education programs
leading to a qualifying master's degree in education or teaching,
National Board Certification, or an additional authorization or
credential, applicants shall meet similar requirements consistent
with enrollment in these graduate degree and postcertification
programs.
(3) For participants enrolled in postsecondary education programs
leading to initial or additional teaching credentials, the applicant
has agreed to teach full time for at least four consecutive academic
years, or on a part-time basis for the equivalent of four full-time
academic years, in a subject area that is designated as a current or
projected area of teacher shortage by the Superintendent on the date
the teacher is hired by a school district that has qualified for a
local control funding formula concentration grant pursuant to Section
42238.02, and according to qualifying criteria set forth by the
Superintendent.
(4) For participants enrolled in postsecondary education programs
leading to a qualifying master's degree in education or teaching, or
National Board Certification, the applicant shall have earned a
California Professional Clear Teaching Credential or equivalent
credential from another state, be a practicing educator, and agree to
teach full time for at least four consecutive academic years, or on
a part-time basis for the equivalent of four full-time academic
years, in a school district that has qualified for a local control
funding formula concentration grant pursuant to Section 42238.02, and
according to qualifying criteria set forth by the Superintendent.
(5) The terms of service for each participant in the EEP are to be
established as of the year the participant enters into the program.
Participants in the EEP must fully and completely satisfy the
requirements of the program within six years of the enrollment date.
EEP participants who do not fulfill the terms of service and who do
not satisfy their teaching requirements within six years of entering
the program must fully repay the State of California all funds
awarded them for loan assumptions resulting from their participation
in the program.
69632. In the academic years in which the study is completed by
the Commission on Teacher Credentialing, in consultation with the
department, pursuant to subdivision (b) of Section 69630, the
Superintendent shall develop priority areas for EEP awards, on or
before January 1 of that academic year, which shall be based on the
study findings. The Student Aid Commission shall provide EEP loan
forgiveness awards as determined by the Superintendent.
69633. The Student Aid Commission shall commence loan assumption
payments, as specified in Section 69634, upon verification that the
applicant is qualified based on the following:
(a) The EEP participant has received a California preliminary
credential, or an equivalent credential from another state,
authorizing service for kindergarten or any of grades 1 to 12,
inclusive, in an area of teacher shortage as determined by the
Superintendent pursuant to Section 69631.
(b) The EEP participant has received a qualifying master's degree
in education or teaching, National Board Certification, or additional
teaching credential in an area of teacher shortage as defined by the
Superintendent pursuant to Section 69631.
(c) The applicant has met the requirements of the agreement and
all other pertinent conditions of this chapter.
69634. (a) The terms of a loan assumption granted under this
article shall be as follows, subject to the specific terms of each
agreement:
(1) After a program participant has completed one school year of
classroom instruction, verified pursuant to Section 69633, the
commission shall assume up to two thousand dollars ($2,000) of the
participant's outstanding liability under one or more of the
designated educational loan programs.
(2) After a program participant has completed two consecutive
school years of instruction, the commission shall assume up to an
additional three thousand dollars ($3,000) of the participant's
outstanding liability under one or more of the designated educational
loan programs, for a total loan assumption of up to five thousand
dollars ($5,000).
(3) After a program participant has completed three consecutive
school years of teaching service, the commission shall assume up to a
maximum of an additional three thousand dollars ($3,000) of the
participant's outstanding liability under one or more of the
designated educational loan programs, for a total loan assumption of
up to eight thousand dollars ($8,000).
(4) After a program participant has completed four consecutive
school years of teaching service, the commission shall assume up to a
maximum of an additional three thousand dollars ($3,000) of the
participant's outstanding liability under one or more of the
designated educational loan programs, for a total loan assumption of
up to eleven thousand dollars ($11,000).
(b) For purposes of this section, "school year" means at least 175
school days or its equivalent.
(c) An applicant who teaches on less than a full-time basis may
participate in the program, but shall not be eligible for loan
repayment until that person teaches for the equivalent of a full-time
academic year.
69635. The Superintendent shall develop priority areas for EEP
awards at least every three years, as determined by the
Superintendent, based on the most current study conducted by the
Commission on Teaching Credentialing to determine areas of critical
need in the teaching profession. The State Department of Education
shall solicit the advice of representatives from postsecondary
education institutions, the Commission on Teacher Credentialing,
school districts, and county offices of education regarding proposed
rules and regulations.
69636. (a) For the EEP, the Student Aid Commission shall report
annually to the Governor and the Legislature regarding all of the
following, on the basis of sex, age, and ethnicity:
(1) The total number of program participants.
(2) The number of agreements entered into with juniors, seniors,
students enrolled in teacher training programs, and current teachers
who enroll in qualifying master's degree in education or teaching or
National Board Certification programs.
(3) The number of participants who agree to teach in an area of
teacher shortage.
(4) The number of participants who agree to teach in schools with
a high ratio of pupils from low-income families and in schools that
have been designated as the lowest performing or hardest to staff.
(5) The number of participants who agree to teach in schools
serving rural areas.
(6) The number of participants who receive a loan assumption
benefit, classified by payment year.
(7) The number of out-of-state teachers who enter into agreements.
(8) The number of participants who have participated in teacher
internship programs, classified by school district or county office
of education.
(9) The number of participants who agree to teach in schools with
a high percentage of students with disabilities or language minority
students.
(b) The Superintendent shall use the data reported pursuant to
subdivision (a), and other information and factors, in meeting the
requirements of Section 69635.
69637. For each school year, the Student Aid Commission shall
enter into agreements for the assumption of up to 6,500 student loans
for program participants eligible under this chapter.
69638. It is the intent of the Legislature that the Educator
Excellence Program be fully funded commencing with the Budget Act of
2015. Notwithstanding any other law, in any fiscal year, the Student
Aid Commission shall award no more than the number of loan assumption
agreements that are authorized by the Governor and the Legislature
in the annual Budget Act for that year for the assumption of loans
pursuant to this article.
SECTION 1. Section 69612.5 of the Education
Code is amended to read:
69612.5. For purposes of this article, the following terms have
the following definitions:
(a) "Eligible institution" means a postsecondary institution that
is determined by the Student Aid Commission to meet both of the
following requirements:
(1) The institution is eligible to participate in state and
federal financial aid programs.
(2) The institution maintains a program of professional
preparation that has been approved by the Commission on Teacher
Credentialing.
(b) "Eligible school" means a school that meets any of the
following criteria:
(1) It serves a large population of pupils from low-income
families, as designated by the Superintendent.
(2) The institution has 20 percent or more teachers holding
emergency-type permits including, but not limited to, any of the
following:
(A) Provisional internships.
(B) Short-term staff permits.
(C) Credential waivers.
(D) Substitute permits.
(3) It is a school that is ranked in the lowest three deciles on
the Academic Performance Index.
(4) It is a school that serves a rural area.