SECTION 1242. 39.32 (10) of the statutes is amended to read:
39.32 (10) (a) The department board may enter into contractual agreements with lenders in this state and lenders in other states which grant loans to residents of this state, and with institutions and agencies wherein the department board may provide and furnish to such lenders, institutions and agencies administrative services related to the operation of any programs involving the granting of loans to students including but not limited to any and all services and functions related to the granting, administering and collecting of any loans made to students.
(b) The department board shall have all powers as that are reasonably appropriate to the provision of such services and the performance of such contracts and may include charges or fees to be paid by the lenders, institutions and agencies to the department board for the provision of such administrative services or any services or activities related to the collection of any student loans for which the department board may become responsible by operation of law or by contractual agreements under this paragraph, but such charges or fees, before being instituted by the department board, shall be approved by the secretary of administration.
SECTION 1243. 39.32 (11) of the statutes is amended to read:
39.32 (11) (a) In lieu of the procedure under ch. 812, the department board, on behalf of the corporation under s. 39.33, or the corporation, on its own behalf, may certify the department of administration to deduct money from a state employe's earnings. The department board shall specify an amount, not to exceed 25% of the employe's disposable earnings, as defined in s. 812.30 (6), to be deducted on a continuing basis until the amount certified by the department board or corporation has been paid. The department of administration shall remit moneys deducted to the department board or the corporation.
(b) The procedure in this section may be used only if the amount owed to the department board or corporation is reduced to a judgment. At least 30 days prior to certification, the department board or corporation shall notify the debtor under s. 879.05 (2) or (3) of the intent to certify the debt to the department of administration and of the debtor's right to a contested case hearing before the department board under s. 227.42. If the debtor requests a hearing within 20 days after receiving notice, the department board shall notify the department of administration which shall not make deductions under par. (a) until a decision is reached under s. 227.47 or the case is otherwise concluded.
(c) The department of administration shall prescribe the manner and form for certification of debts by the department board or corporation under this subsection.
SECTION 1244. 39.325 of the statutes is amended to read:
39.325 Wisconsin health education loan program. (1) There is established, to be administered by the department board, a Wisconsin health education loan program under P.L. 94-484, on July 29, 1979, in order to provide financial aid to medical and dentistry students enrolled in the university of Wisconsin medical school, the medical college of Wisconsin or Marquette university school of dentistry.
(2) The department board shall lend to students who qualify under sub. (1) any moneys appropriated or authorized through the issuance of revenue obligations. The department board shall require a student borrowing moneys under this section to pay interest while in medical or dental school and during his or her residency training at the rate of at least 3% per year on the sum of the principal amount of the student's obligation and the accumulated interest, unless federal law provides otherwise as a condition of guaranteeing the loan. Principal and interest payable on maturing revenue obligations shall, when necessary, be paid from funded reserves, authorized under subch. II of ch. 18, or from moneys made available under chapter 20, laws of 1981, section 2022 (1).
(3) The department board shall promulgate rules and establish standards and methods of determining the amounts of loans, rates of interest and other administrative procedures consistent with P.L. 94-484, on July 29, 1979. The rates of interest shall be set as low as possible, but shall remain sufficient to cover all costs of the program under this section.
SECTION 1245. 39.33 of the statutes is amended to read:
39.33 Guaranteed student loan program. (1) The department board may organize and maintain a nonstock corporation under ch. 181 to provide for a guaranteed student loan program in this state under P.L. 89-287 and P.L. 89-329 as may from time to time be amended. The department board may make use of and pay for the use of the facilities and services of such corporation.
(2) The department board may provide administrative services for the nonstock corporation with which the department board has entered into a contractual agreement for purposes of providing for a guaranteed student loan program in this state. Services provided under this section shall be in accordance with the decision of the department board as to the type and scope of services requested and the civil service range of any employe assigned to them.
(3) The department board or the legislature or any person delegated by the legislature may inspect and examine or cause an inspection and examination of all records relating to all programs that are, or are to be, administered under contractual agreement between the department board and the corporation.
SECTION 1246. 39.34 of the statutes is amended to read:
39.34 Medical student loan program. Notwithstanding s. 39.34, 1991 stats., the department board shall terminate on August 12, 1993, any obligation to repay a loan awarded under this section.
SECTION 1247. 39.35 of the statutes is amended to read:
39.35 Repayment of scholarships for teachers in educationally disadvantaged areas. Notwithstanding s. 39.35, 1969 stats., and s. 39.35, 1991 stats., the department board shall terminate on August 12, 1993, any obligation to repay a student aid award made under this section.
SECTION 1248. 39.36 of the statutes is amended to read:
39.36 Repayment of stipends for teachers of the handicapped. Notwithstanding s. 39.36, 1969 stats., s. 39.37 (3) (b), 1969 stats., and s. 39.36, 1991 stats., the department board shall terminate on August 12, 1993, any obligation to repay a stipend awarded under this section.
SECTION 1249. 39.37 (2) of the statutes is amended to read:
39.37 (2) There is created a separate nonlapsible trust fund designated the student loan repayment fund consisting of all revenues received in repayment of student loans funded under this section, and any other revenues dedicated to it by the department board. The department board may pledge revenues received or to be received by the fund to secure revenue obligations issued under this section, and shall have all other powers necessary and convenient to distribute the proceeds of the revenue obligations and loan repayments in accordance with subch. II of ch. 18.
SECTION 1250. 39.37 (3) of the statutes is amended to read:
39.37 (3) All student loans funded with revenue obligations issued under this section shall be fully guaranteed as to repayment of principal and interest from among a nonstock corporation organized under s. 39.33 (1), the United States, its agencies or instrumentalities. The department board may enter into agreements necessary to affect this guaranty.
SECTION 1251. 39.374 (2) of the statutes is amended to read:
39.374 (2) There is created a separate nonlapsible trust fund designated the Wisconsin health education loan repayment fund consisting of all revenues received in repayment of loans funded under this section or loans financed from moneys made available under chapter 20, laws of 1981, section 2022 (1). The department board may pledge revenues received or to be received by the fund to secure revenue obligations issued under this section, and shall have all other powers necessary and convenient to distribute the proceeds of the revenue obligations and loan repayments in accordance with subch. II of ch. 18.
SECTION 1252. 39.374 (3) of the statutes is amended to read:
39.374 (3) All loans funded with revenue obligations issued under this section shall be fully guaranteed as to repayment of principal and interest by the United States, its agencies or instrumentalities. The department board may enter into agreements necessary to effect this guaranty.
SECTION 1253. 39.38 (1) of the statutes is amended to read:
39.38 (1) There is established, to be administered by the department board, a grant program to assist those Indian students who are residents of this state to receive a higher education.
SECTION 1254m. 39.38 (2) of the statutes is amended to read:
39.38 (2) Grants under this section shall be based on financial need, as determined by the department board. The maximum grant shall not exceed $2,200 per year, of which not more than $1,100 may be from the appropriation under s. 20.235 (1) (fb). State aid from this appropriation may be matched by a contribution from a federally recognized American Indian tribe or band that is deposited in the general fund and credited to the appropriation account under s. 20.235 (1) (gm). Grants shall be awarded to students for full-time or part-time attendance at any accredited institution of higher education in this state. The department board may not make a grant under this section to a student if the department board receives a certification under s. 49.855 (7) that the student is delinquent in child support or maintenance payments or owes past support, medical expenses or birth expenses. Grants shall be renewable for up to 5 years if a recipient remains in good academic standing at the institution that he or she is attending. The American Indian language and culture education board shall advise the department on the allocation of grants to students enrolled less than half-time.
SECTION 1255. 39.39 (1) (a) (intro.) of the statutes is amended to read:
39.39 (1) (a) (intro.) There is established, to be administered by the department board, a stipend loan program for resident students, including registered nurses, who are:
SECTION 1256. 39.39 (2) (intro.) of the statutes is amended to read:
39.39 (2) (intro.) The department board shall:
SECTION 1257. 39.39 (2) (b) of the statutes is amended to read:
39.39 (2) (b) Promulgate rules to administer this section, including rules establishing loan amounts and the criteria and procedures for loan forgiveness and for selecting loan recipients. Loan recipients shall be selected on the basis of financial need, as determined by the department board, using the needs analysis methodology used under s. 39.435.
SECTION 1258. 39.39 (4) of the statutes is amended to read:
39.39 (4) The department board may not make any original stipend loans under this section.
SECTION 1258m. 39.395 of the statutes is created to read:
39.395 Teacher education loan program. (1) The board shall establish a loan program to defray the cost of tuition for persons enrolled in a teacher education program offered by the Milwaukee Teacher Education Center, a nonstock, nonprofit corporation organized under ch. 181. Loans shall be made from the appropriation under s. 20.235 (1) (cu).
(2) (a) After the recipient of the loan under sub. (1) has completed the teacher education program, the board shall forgive 50% of the loan and 50% of the interest on the loan for each school year that the recipient of the loan is employed as a full-time teacher in the school district operating under ch. 119. The board shall deposit in the general fund as general purpose revenue-earned all repayments of the loans made under sub. (1) and the interest on the loans.
(b) The board shall promulgate rules to administer this section.
SECTION 1259. 39.40 (2) (intro.) of the statutes is amended to read:
39.40 (2) (intro.) The department board shall establish a loan program for minority students who meet all of the following requirements:
SECTION 1260. 39.40 (2) (c) of the statutes is amended to read:
39.40 (2) (c) Meet academic criteria specified by the department board.
SECTION 1261. 39.40 (3) of the statutes is amended to read:
39.40 (3) Loans under sub. (2) shall be made from the appropriation under s. 20.235 (1) (cr). The department board shall forgive 25% of the loan and 25% of the interest on the loan for each school year the recipient teaches in a school district described under sub. (2) (d).
SECTION 1262. 39.40 (4) of the statutes is amended to read:
39.40 (4) The department board shall deposit in the general fund as general purpose revenue-earned all repayments of loans made under sub. (2) and the interest on the loans.
SECTION 1263. 39.40 (5) of the statutes is amended to read:
39.40 (5) The department board shall administer the repayment and forgiveness of loans made under s. 36.25 (16), 1993 stats. The department board shall treat such loans as if they had been made under sub. (2).
SECTION 1265. 39.41 (1) (ae) of the statutes is created to read:
39.41 (1) (ae) "Executive secretary" means the executive secretary of the board.
SECTION 1266. 39.41 (1) (bg) of the statutes is repealed.
SECTION 1267. 39.41 (1m) (b) of the statutes is amended to read:
39.41 (1m) (b) By February 15 of each school year, the school board of each school district operating one or more high schools and the governing body of each private high school may, for each high school with an enrollment of less than 80 pupils, nominate the senior with the highest grade point average in all subjects who may be designated as a scholar by the executive secretary under par. (c) 3.
SECTION 1268. 39.41 (1m) (c) (intro.) of the statutes is amended to read:
39.41 (1m) (c) (intro.) The executive secretary shall:
SECTION 1269. 39.41 (1m) (c) 5. of the statutes is amended to read:
39.41 (1m) (c) 5. For each public or private high school with an enrollment of less than 80 pupils, notify the school board of the school district operating the public high school or the governing body of the private high school that the school board or governing body may nominate a senior under par. (b) who may be designated as a scholar by the executive secretary.
SECTION 1270. 39.41 (1m) (cm) of the statutes is amended to read:
39.41 (1m) (cm) The executive secretary may grant waivers under par. (m).
SECTION 1271. 39.41 (1m) (d) of the statutes is amended to read:
39.41 (1m) (d) By February 15 of each school year, if 2 or more seniors from the same high school of at least 80 pupils have the same grade point average and, except for the limitation on the number of designated scholars, are otherwise eligible for designation under par. (a), the faculty of the high school shall select the applicable number of seniors for designation under par. (a) as scholars and shall certify, in order of priority, any remaining seniors as alternates for a scholar with the same grade point average. If a senior from that high school designated as a scholar under par. (a) does not qualify for a higher education scholarship under sub. (2) (a) or (3) (a), an alternate for the scholar with the same grade point average as any senior from that high school designated as a scholar under par. (a) shall be eligible for a higher education scholarship as a scholar under sub. (2) (a) or (3) (a) until the scholarship may be awarded by the department board.
SECTION 1272. 39.41 (1m) (e) of the statutes is amended to read:
39.41 (1m) (e) If 2 or more seniors from the same high school of less than 80 pupils have the same grade point average and, except for the limitation of one nominated senior, are otherwise eligible for nomination under par. (b), the faculty of the high school shall select the senior who may be nominated by the school board of the school district operating the public high school or the governing body of the private high school for designation under par. (b) as a scholar by the executive secretary. If that senior is designated as a scholar by the executive secretary and does not qualify for a higher education scholarship under sub. (2) (a) or (3) (a), faculty of the high school shall select one or more of the remaining seniors with the same grade point average for certification as a scholar and the school board of the school district operating the high school or the governing body of the private high school shall certify to the department board one or more of these seniors as eligible for a higher education scholarship as a scholar under sub. (2) (a) or (3) (a) until the scholarship may be awarded by the department board.
SECTION 1273. 39.41 (1m) (f) of the statutes is amended to read:
39.41 (1m) (f) If 2 or more seniors from the Wisconsin school for the visually handicapped have the same grade point average and, except for the limitation of one designated senior, are otherwise eligible for designation under par. (c) 1., the executive secretary shall make the designation under par. (c) 1. of the senior who may be eligible for a higher education scholarship as a scholar and, if that senior does not qualify for a higher education scholarship under sub. (2) (a) or (3) (a), shall designate one or more of the remaining seniors with the same grade point average as eligible for a higher education scholarship as a scholar under sub. (2) (a) or (3) (a) until the scholarship may be awarded by the department board.
SECTION 1274. 39.41 (1m) (fm) of the statutes is amended to read:
39.41 (1m) (fm) If 2 or more seniors from the Wisconsin school for the deaf have the same grade point average and, except for the limitation of one designated senior, are otherwise eligible for designation under par. (c) 2., the executive secretary shall make the designation under par. (c) 2. of the senior who may be eligible for a higher education scholarship as a scholar and, if that senior does not qualify for a higher education scholarship under sub. (2) (a) or (3) (a), shall designate one or more of the remaining seniors with the same grade point average as eligible for a higher education scholarship as a scholar under sub. (2) (a) or (3) (a) until the scholarship may be awarded by the department board.
SECTION 1275. 39.41 (1m) (i) of the statutes is amended to read:
39.41 (1m) (i) Notwithstanding par. (d), if the school board of a school district operating a high school or the governing body of a private high school has complied with s. 39.41 (1m) (d), 1991 stats., for the 1993-94 school year and a senior from that high school designated as a scholar under s. 39.41 (1m) (a), 1991 stats., and s. 39.41 (1m) (d), 1991 stats., does not qualify for a higher education scholarship under sub. (2) (a) or (3) (a), the faculty of the high school shall select one or more of the remaining seniors with the same grade point average for certification as a scholar. The school board of the school district operating the high school or the governing body of the private high school shall certify to the department board one or more of these seniors as eligible for a higher education scholarship as a scholar under sub. (2) (a) or (3) (a) until the scholarship may be awarded by the department board.
SECTION 1276. 39.41 (1m) (m) of the statutes is amended to read:
39.41 (1m) (m) Notwithstanding pars. (a), (b) and (d), if a high school ranks its seniors on the basis of grades in academic subjects, the school board of the school district operating the high school or the governing body of the private high school or, for purposes of par. (d), the faculty of the high school may request a waiver from the executive secretary in order to fulfill its requirements under par. (a), (b) or (d) on the basis of grade point averages in academic subjects.
SECTION 1277d. 39.41 (1m) (r) of the statutes is created to read:
39.41 (1m) (r) The board, in consultation with the department of public instruction, shall develop guidelines that may be used by the faculty of a high school to fulfill its requirements under par. (d) or (e). The guidelines shall include a method of weighting courses differently for purposes of the calculation of grade point averages.
SECTION 1277g. 39.41 (2) (a) of the statutes is amended to read:
39.41 (2) (a) If a designated scholar under sub. (1m) is admitted to and enrolls, on a full-time basis, by September 30 of the academic year immediately following the school year in which the senior was designated a scholar, in a center or institution within the university of Wisconsin system or in a technical college district school that is participating in the program under this section, the scholar shall receive a higher education scholarship that exempts the scholar from all tuition and fees, including segregated fees, at the center, institution or district school for one year, subject to the availability of funds, except that the maximum scholarship for a scholar who receives an original scholarship for the 1996-97 academic year or for any academic year thereafter may not exceed $2,250 per academic year.
SECTION 1277j. 39.41 (2) (b) of the statutes is amended to read:
39.41 (2) (b) For each year that a scholar who receives a scholarship under par. (a) is enrolled full time, maintains at least a 3.0 grade point average, or the equivalent as determined by the center, institution or district school, and makes satisfactory progress toward an associate or a bachelor's degree, the student shall be exempt from all tuition and fees, including segregated fees, in the subsequent year, subject to the availability of funds, except that the maximum scholarship for a scholar who receives an original scholarship for the 1996-97 academic year or for any academic year thereafter may not exceed $2,250 per academic year. No scholar is eligible for an exemption for more than 4 years at a center or institution or more than 3 years at a district school.
SECTION 1278. 39.41 (2) (c) of the statutes is amended to read:
39.41 (2) (c) Subject to sub. (4), for each year the student is exempt from tuition and fees under par. (a) or (b), the department board shall pay the center, institution or district school, on behalf of the student, an amount equal to 50% of the student's tuition and fees, except that the maximum payment for a student who receives an original scholarship for the 1996-97 academic year or for any academic year thereafter may not exceed $1,125 per academic year.
SECTION 1279. 39.41 (3) (a) of the statutes is amended to read:
39.41 (3) (a) If a designated scholar under sub. (1m) is admitted to and enrolls, on a full-time basis, by September 30 of the academic year immediately following the school year in which the senior was designated a scholar, in a private institution of higher education that is located in this state and participating in the program under this section, the department board shall pay the institution, on behalf of the pupil, an amount equal to 50% of the tuition and fees charged a resident undergraduate at the university of Wisconsin-Madison in the same academic year, except that the maximum payment for a pupil who receives an original scholarship for the 1996-97 academic year or for any academic year thereafter may not exceed $1,125 per academic year.
SECTION 1280. 39.41 (4) of the statutes is amended to read: