§ 2807-AA — Nurse loan repayment program

§ 2807-aa. Nurse loan repayment program. 1.(a) Monies shall be made\navailable, subject to appropriations, for purposes of loan repayment\nawards in accordance with the provisions of this section for registered\nprofessional nurses licensed to practice under section sixty-nine\nhundred five of the education law and licensed practical nurses licensed\nunder section sixty-nine hundred six of the education law.\nNotwithstanding sections one hundred twelve and one hundred sixty-three\nof the state finance law and sections one hundred forty-two and one\nhundred forty-three of the economic development law, or any other\ncontrary provision of law, such funding shall be allocated regionally\nwith one-third of available funds going to New York city and two-thirds\nof available funds going to the rest of the state and shall be\ndistributed in a manner to be determined by the commissioner without a\ncompetitive bid or request for proposals.\n (i) Loan repayment awards made under this section shall be awarded to\nrepay student loans of nurses who work in areas determined to be\nunderserved areas in New York state and who agree to work in such areas\nfor a period of three consecutive years. A nurse may be deemed to be\npracticing in an underserved area if they practice in a facility,\nphysician's office, nurse practitioner's office, or physician\nassistant's office that primarily serves an underserved population,\nwithout regard to whether the population or the facility or office is\nlocated in an underserved area. For purposes of this section,\n"underserved areas" shall be located in New York state and shall\ninclude, but not be limited to, areas designated by the federal\ngovernment as a health professional shortage area, a medically\nunderserved area, or medically underserved population, non-profit\ndiagnostic and treatment centers which primarily serve Medicaid eligible\nor uninsured patients, and other areas and populations as determined by\nthe commissioner.\n (ii) Loan repayment awards made under this section shall not exceed\nthe total qualifying outstanding debt of the nurse from student loans to\ncover tuition and other related educational expenses, made by or\nguaranteed by the federal or state government, or made by a lending or\neducational institution approved under title IV of the federal higher\neducation act. Loan repayment awards shall be used solely to repay such\noutstanding debt.\n (iii) Nurses shall be eligible for a loan repayment award to be\ndetermined by the commissioner over a three-year period distributed as\nfollows: thirty percent of total award for the first year; thirty\npercent of total award for the second year; and any unpaid balance of\nthe total award not to exceed the maximum award amount for the third\nyear.\n (iv) In the event that a three-year commitment under this section is\nnot fulfilled, the recipient shall be responsible for repayment of\namounts paid which shall be calculated in accordance with the formula\nset forth in subdivision (b) of section two hundred fifty-four-o of\ntitle forty-two of the United States Code, as amended, or any\nregulations made thereunder.\n (b) The commissioner may postpone, change or waive the service\nobligation and repayment amounts set forth in subparagraphs (i) and (iv)\nof paragraph (a) of this subdivision in individual circumstances where\nthere is compelling need or hardship.\n 2. To develop a streamlined application process for the nurse loan\nrepayment program set forth under this section, the department shall\nappoint a stakeholder work group from recommendations made by\nassociations representing nurses, general hospitals and other health\ncare facilities. Such recommendations shall be made by September\nthirtieth, two thousand twenty-two.\n 3. In the event there are undistributed funds within amounts made\navailable for distributions under this section, such funds shall be\nreallocated and distributed in current or subsequent distribution\nperiods in a manner determined by the commissioner for the purpose set\nforth in this section.\n