TITLE
5 POST-SECONDARY EDUCATION
CHAPTER
7 TUITION AND FINANCIAL AID
PART 7 CHILDREN, YOUTH AND FAMILIES
WORKER LOAN REPAYMENT PROGRAM
5.7.7.1 ISSUING AGENCY:
State of New Mexico Higher Education
Department
[5.7.7.1 NMAC - N, 7/15/2015]
5.7.7.2 SCOPE: Provisions for 5.7.7 NMAC apply to certain
professionals employed with the children youth and families department that are
selected to participate in the loan repayment program described in this rule.
[5.7.7.2 NMAC - N, 7/15/2015]
5.7.7.3 STATUTORY
AUTHORITY: Sections 9-25-8, 21-1-26 and 21-22I-1 through
21-22I-8, NMSA 1978.
[5.7.7.3 NMAC - N, 7/15/2015]
5.7.7.4 DURATION:
Permanent
[5.7.7.4 NMAC - N, 7/15/2015]
5.7.7.5 EFFECTIVE
DATE: July 15, 2015, unless
a later date is cited at the end of a section.
[5.7.7.5 NMAC - N, 7/15/2015]
5.7.7.6 OBJECTIVE:
The objective and purpose of 5.7.7 NMAC
is to increase the number of public service workers in critical need positions
at the children youth and families department through an educational loan
repayment program. The program provides for repayment of the principal and
reasonable interest accrued on federal and commercial loans obtained for
education purposes.
[5.7.7.6 NMAC - N, 7/15/2015]
5.7.7.7 DEFINITIONS:
A. “CYFD” means the New Mexico children,
youth, and families department.
B. “Department” means the New Mexico higher
education department.
C. “Designated critical need positions”
means positions that have been designated by the secretary of CYFD as positions
in geographic areas with shortages of public service workers or where vacancies
are difficult to fill.
D. “Loan” means a grant of funds to
defray the educational expenses incidental to an education related to the
employment at CYFD, under a contract between the federal government or
commercial lender and the worker, requiring repayment of principal and
interest.
E. "Public Service Worker"
means an employee with a completed bachelor's or master's degree, directly
related to the worker’s position, in a critical need positions and who works
directly with children and families in either the protective services division
or juvenile justice division of CYFD.
[5.7.7.7 NMAC - N, 7/15/2015]
5.7.7.8 HIGHER
EDUCATION DEPARTMENT - POWERS AND DUTIES:
A. The department may grant a loan
repayment award to repay loans obtained for the educational expenses of a
public service worker upon such terms and conditions as may be imposed by rules
of the department.
B. The department and the children
youth and families department shall jointly make a full and careful
investigation of the ability and qualifications of each applicant.
[5.7.7.8 NMAC - N, 7/15/2015]
5.7.7.9 PUBLIC SERVICE WORKER ELIGIBILITY:
A. Applicants shall have
satisfactorily completed at least one (1) year of service past their initial
probationary year with the CYFD as a public service worker.
B. Applicants shall not be
participants in any other federal or state loan repayment program that provides
loan repayment assistance in exchange for service.
[5.7.7.9 NMAC - N, 7/15/2015]
5.7.7.10 LOAN
REPAYMENT AWARD CRITERIA; CONTRACT TERMS; PAYMENT:
A. The secretaries of the
department and the CYFD shall designate a selection committee for the purpose
of review and selection of qualified applicants.
B. Loan repayment award criteria
shall provide that:
(1) award
amounts shall be dependent upon a specific need for the designated critical
need public service worker position as determined by the department, the public
service worker's total education indebtedness, and available balances in the
public service worker loan repayment fund;
(2) preference in making awards shall be to public service
workers who have graduated from a New Mexico public post-secondary educational
institution;
(3) awards shall be made to eligible public service workers who
fill a designated critical need position;
(4) award amounts may be modified based upon funding
availability or other special circumstances;
(5) awards may be distributed on a pro-rata basis for each year
of service completed; and
(6) an award for each public service worker shall not exceed
twenty-five thousand dollars ($25,000) or the loan indebtedness of the worker,
whichever is less.
C. The following public service
worker education debts are not eligible for repayment pursuant to the Children,
Youth and Families Worker Loan Repayment Act:
(1) amounts
incurred as a result of participation in state loan-for-service programs or
other state programs whose purpose states that service be provided in exchange
for financial assistance;
(2) scholarships that have a service component or obligation;
(3) personal loans from friends or relatives;
(4) loans that exceed individual standard school expense levels;
and
(5) loans that are eligible for another federal or state loan
repayment program.
D. Every loan repayment award shall
be evidenced by a contract between the public service worker and the department
acting on behalf of the state. The contract shall provide for the payment by
the state of a stated sum to the public service worker's approved lender and
shall state the obligations of the public service worker under the program,
including a minimum period of service in a designated critical need public
service worker position, quarterly reporting requirements, and other
obligations established by the department.
E. Public service workers who have
completed their probationary period and serve an additional year in a
designated critical need position shall receive credit for one (1) year for the
purpose of calculating any loan repayment award amounts.
F. The contract between a public
service worker and the department shall provide that, if the public service
worker does not comply with the terms of the contract, the public service
worker shall reimburse the department for all loan payments made on the public
service worker's behalf, plus reasonable interest at a rate to be determined by
the department, unless the department finds acceptable extenuating
circumstances for why the public service worker cannot comply with the terms of
the contract.
G. Loan repayment awards shall be
in the form of payments from the public service worker loan repayment fund
directly to the federal government or commercial lender of a public service
worker who has received the award and shall be considered a payment on behalf
of the public service worker pursuant to the contract between the department
and the public service worker. A loan repayment award shall not obligate the
state or the department to the public service worker's federal government
lender for any other payment and shall not be considered to create any contract
between the state or the department and the lender.
H. The department, after consulting
with the CYFD, shall develop policies and procedures to implement the Children,
Youth and Families Worker Loan Repayment Act. The policies and procedures:
(1) shall provide a procedure for determining the amount of a
loan that will be repaid for each year of service in a designated public
service worker position; the maximum annual award amount shall be based on
program demand and available appropriations;
(2) shall
incorporate scoring criteria including but not limited to geographic area or
facility served, total loan indebtedness of the worker, years of service in a
critical need position, and prior loan repayment or other financial support
provided to the worker; and
(3) shall provide for the disbursement of loan repayment awards
to a public service worker's federal government or commercial lender in annual
or other periodic installments.
[5.7.7.10 NMAC - N, 7/15/2015]
5.7.7.11 CONTRACTS AND ENFORCEMENT:
A. The general form of a contract
required pursuant to the Children, Youth and Families Worker Loan Repayment Act
shall be prepared and approved by the department’s general counsel, and each
contract shall be signed by the public service worker and the designated
representative of the department on behalf of the state.
B. The department is vested with
full and complete authority and power to sue in its own name for any balance
due the state from a public service worker under any such contract.
[5.7.7.11 NMAC - N, 7/15/2015]
5.7.7.12 PUBLIC
SERVICE WORKER LOAN REPAYMENT FUND CREATED AND METHOD OF PAYMENT:
A. The "children, youth and
families worker loan repayment fund" is created in the state treasury. All
money appropriated for the public service worker loan repayment program shall
be credited to the fund, and any repayment of awards and interest received by
the department shall be credited to the fund. Income from the fund shall be
credited to the fund, and balances in the fund shall not revert to any other
fund. Money in the fund is appropriated to the department for making loan
repayment awards pursuant to the Children, Youth and Families Worker Loan
Repayment Act.
B. All payments for loan repayment
awards shall be made upon vouchers signed by the designated representative of
the department and upon a warrant issued by the secretary of finance and
administration.
[5.7.7.12 NMAC - N, 7/15/2015]
5.7.7.13 CANCELLATION:
The department may cancel any contract
made between it and a public service worker pursuant to the Children, Youth and
Families Worker Loan Repayment Act for any reasonable cause deemed sufficient
by the department.
[5.7.7.13 NMAC - N, 7/15/2015]
5.7.7.14 REPORTS:
The department shall make annual reports
to the governor and the legislature prior to each regular session of its
activities, the loan repayment awards granted and the title and job duties of
each loan recipient. The report shall also include any contract cancellations
and any enforcement actions the department has taken.
[5.7.7.14 NMAC - N, 7/15/2015]
HISTORY
OF 5.7.7 NMAC: [RESERVED]