HB3030 - Relating to student loan repayment assistance for certain state employees.

  89R8570 CMO-D     By: Howard H.B. No. 3030       A BILL TO BE ENTITLED   AN ACT   relating to student loan repayment assistance for certain state   employees.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Chapter 61, Education Code, is amended by adding   Subchapter N to read as follows:   SUBCHAPTER N. REPAYMENT OF EDUCATION LOANS FOR CERTAIN STATE   EMPLOYEES           Sec.   61.7305.     DEFINITION.   In this subchapter, "state   employee"   means an individual, other than a state officer as   defined by Section 572.002, Government Code, who is employed by:                 (1)  a state agency;                 (2)     the Supreme Court of Texas, the Court of Criminal   Appeals of Texas, a court of appeals, or the Texas Judicial Council;   or                 (3)     either house of the legislature or a legislative   agency, council, or committee, including the Legislative Budget   Board, the Texas Legislative Council, the State Auditor's Office,   and the Legislative Reference Library.           Sec.   61.731.     LOAN REPAYMENT ASSISTANCE AUTHORIZED. The   board shall provide, in accordance with this subchapter and board   rules, assistance in the repayment of eligible student loans for   eligible state employees who apply and qualify for the assistance.           Sec.   61.732.     ELIGIBILITY. To be eligible to receive loan   repayment assistance under this subchapter, a person must:                 (1)     apply to the board in a manner prescribed by the   board;                 (2)     have an income at or below 80 percent of the   statewide median family income, adjusted for family size, that is   established by the United States Department of Housing and Urban   Development; and                 (3)     at the time of application for repayment   assistance have been employed for at least five years as, and be   currently employed as, a state employee.           Sec.   61.733.     LIMITATIONS. A state employee may receive   loan repayment assistance under this subchapter for not more than   five years.           Sec.   61.734.     ELIGIBLE LOANS. (a) The board may provide   loan repayment assistance under this subchapter for the repayment   of any student loan for education at an institution of higher   education, a private or independent institution of higher   education, or a public or private out-of-state institution of   higher education accredited by a recognized accrediting agency,   including loans for undergraduate education, received by an   eligible person through any lender.           (b)     The board may not provide repayment assistance for a   student loan that is in default at the time of the person's   application.           (c)     In each state fiscal biennium, the board shall attempt   to allocate all money appropriated to the board for the purpose of   providing loan repayment assistance under this subchapter.           Sec.   61.735.     REPAYMENT. (a) The board shall deliver any   repayment under this subchapter in a lump sum payable:                 (1)     to both the lender or other holder of the loan and   the state employee; or                 (2)     directly to the lender or other holder of the loan   on the state employee's behalf.           (b)     A repayment under this subchapter may be applied to any   amount due in connection with the loan.           Sec.   61.736.     AMOUNT OF REPAYMENT ASSISTANCE. (a) A state   employee may receive loan repayment assistance under this   subchapter in an amount determined by the board.           (b)     The total amount of loan repayment assistance awarded   under this subchapter may not exceed the sum of:                 (1)     the total amount of gifts and grants accepted by   the board for the repayment assistance;                 (2)     legislative appropriations for the repayment   assistance; and                 (3)     other money available to the board for the   repayment assistance.           Sec.   61.737.     RULES; ADMINISTRATION. (a) The board shall   adopt rules necessary to administer this subchapter.           (b)     The board shall distribute to each institution of higher   education or private or independent institution of higher education   and to any appropriate state agency and professional association   copies of the rules adopted under this section and other pertinent   information relating to this subchapter.           (c)     The board shall administer the program under this   subchapter in a manner that maximizes any matching funds available   through other sources.           (d)     A reasonable amount, not to exceed three percent, of any   money appropriated for purposes of this subchapter may be used to   pay the costs of administering this subchapter.           Sec.   61.738.     SOLICITATION AND ACCEPTANCE OF MONEY. The   board may solicit and accept gifts and grants from any public or   private source for the purposes of this subchapter.          SECTION 2.  The Texas Higher Education Coordinating Board is   required to provide assistance in the repayment of eligible student   loans for eligible state employees as provided by this Act only if   the legislature appropriates money specifically for that purpose.   If the legislature does not appropriate money specifically for that   purpose, the board may, but is not required to, provide assistance   in the repayment of eligible student loans for eligible state   employees as provided by this Act using other appropriations   available for that purpose.          SECTION 3.  This Act takes effect September 1, 2025.