Bill Text: NJ A1997 | 2014-2015 | Regular Session | Introduced
Bill Title: Establishes loan redemption program and bonus program for teachers employed in schools in need of improvement.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2014-01-16 - Introduced, Referred to Assembly Higher Education Committee [A1997 Detail]
Download: New_Jersey-2014-A1997-Introduced.html
STATE OF NEW JERSEY
216th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2014 SESSION
Sponsored by:
Assemblywoman BONNIE WATSON COLEMAN
District 15 (Hunterdon and Mercer)
SYNOPSIS
Establishes loan redemption program and bonus program for teachers employed in schools in need of improvement.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel
An Act establishing incentive programs for certain teachers and supplementing chapter 29 and chapter 71C of Title 18A of the New Jersey Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. As used in sections 1 through 4 of this act:
"Authority" means the Higher Education Student Assistance Authority established pursuant to N.J.S.18A:71A-3.
"Eligible student loan expenses" means 100% of the cumulative total of the principal and interest due on student loans used to cover the cost of attendance while enrolled in an undergraduate or graduate degree program at an institution of higher education.
"Program participant" means a person who, following the effective date of this act, is initially hired as a teacher by a school district to work in a school in need of improvement, and has executed a contract with the Higher Education Student Assistance Authority for participation in the loan redemption program. A program participant shall be a resident of New Jersey.
"School in need of improvement" means any public school that, as of the 2011-2012 school year, failed to make adequate yearly progress for two or more years pursuant to the "No Child Left Behind Act of 2001," Pub.L.107-110.
2. a. There is established in the Higher Education Student Assistance Authority a loan redemption program for teachers employed in schools in need of improvement. The program shall provide for the redemption of a portion of the eligible student loan expenses of a program participant for each year of service teaching full-time in a school in need of improvement.
b. A program participant may redeem eligible student loan expenses upon execution of a contract between the program participant and the authority. The contract shall be for a specified number of one-year periods and shall specify the total amount of debt to be redeemed by the State in return for service pursuant to subsection d. of this section.
c. The maximum redemption of loans under the loan redemption program shall amount to 20% of principal and interest of eligible student loan expenses in return for one full year of service teaching in a school in need of improvement, for a total redemption of 100% of eligible student loan expenses in return for five full years of service. Eligible loans shall not be redeemed for service of less than one full school year annually. A program participant shall annually submit to the authority proof of eligible employment in a school in need of improvement prior to the annual redemption of loan indebtedness.
d. A program participant who has entered into a redemption contract with the authority may nullify his contract by submitting written notification to the authority and assuming full responsibility for repayment of principal and interest on the full amount of his loans or that portion of the loans which has not been redeemed by the State in return for partial fulfillment of the contract.
e. In case of a program participant's death or total or permanent disability, the authority shall nullify the service obligation of the program participant. The nullification shall terminate the authority's obligations under the loan redemption contract, except in the event that a program participant's death or total and permanent disability occurs after the second year of service, the authority shall redeem the current year of service. If continued enforcement of the contract results in extreme hardship, the authority may nullify or suspend the service obligation of the program participant.
3. The authority shall annually submit a report on the program to the Governor and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1). The report shall be submitted no later than August 1 of each year and shall include, but not be limited to, information on the total number of participants receiving loan redemption under the program, the impact of the program on attracting teachers to positions in schools in need of improvement, the impact of the program on improving student scores on State assessments, and the number of participants who withdrew from the program prior to the completion of the required service.
4. The authority, in consultation with the Department of Education, shall adopt pursuant to the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary to effectuate the purposes of this act.
5. a. As used in this section, "school in need of improvement" means any public school that, as of the 2011-2012 school year, failed to make adequate yearly progress for two or more years pursuant to the "No Child Left Behind Act of 2001," Pub.L.107-110.
b. A person hired as a teacher by a school district to work in a school in need of improvement who obtains tenure pursuant to the provisions of N.J.S.18A:28-5 shall receive a bonus of $3,000 upon the attainment of tenure.
c. Two years following the payment of a bonus pursuant to subsection b. of this section, a teacher shall receive an additional bonus of $2,000 if the teacher has continued to be assigned to a school in need of improvement and the district provides a statement to the Commissioner of Education that the teacher's performance has been effective or highly effective.
d. A bonus paid pursuant to this section shall be in addition to any compensation paid to the teacher under a salary schedule adopted by the board of education pursuant to P.L.1973, c.364 (C.18A:29-4.3).
e. The State shall fund any bonus paid pursuant to this section.
6. This act shall take effect immediately.
STATEMENT
This bill establishes a loan redemption program in the Higher Education Student Assistance Authority and a bonus program for teachers employed in schools in need of improvement. The bill defines a school in need of improvement as any public school that, as of the 2011-2012 school year, failed to make adequate yearly progress for two or more years pursuant to the "No Child Left Behind (NCLB) Act of 2001," Pub.L.107-110.
Under the loan redemption program, a participant would redeem 20% of eligible student loan expenses for each year of service as a teacher in a school in need of improvement in New Jersey, for a total redemption of 100% of eligible student loan expenses in return for five full years of service. "Eligible student loan expenses" is defined as the cumulative total of the principal and interest due on student loans used to cover the cost of attendance while enrolled in an undergraduate or graduate degree program at an institution of higher education.
Under the bill, the authority must annually submit a report on the program to the Governor and the Legislature. The report will be submitted no later than August 1 of each year and will include, at a minimum, information on the total number of participants receiving loan redemption under the program, the impact of the program on attracting teachers to positions in schools in need of improvement, the impact of the program on improving student scores on State assessments, and the number of participants who withdrew from the program prior to the completion of the required service.
Under the bonus program, a teacher hired by a school district to work in a school in need of improvement who obtains tenure will receive a bonus of $3,000 upon the attainment of tenure. Two years following the payment of the bonus, a teacher will receive an additional bonus of $2,000 if the teacher has continued to be assigned to a school in need of improvement and the district provides a statement to the Commissioner of Education that the teacher's performance has been effective or highly effective.
