AB847: Bill Text

LRB-0156/1

GMM:kjf:md

2009 - 2010 LEGISLATURE

2009 Assembly BILL 847

March 12, 2010 - Introduced by Representative Black. Referred to Committee on Children and Families.

AB847,1,3 An Act to create 20.235 (1) (cw) and 39.385 of the statutes; relating to: child care worker loan repayment assistance, granting rule-making authority, and making an appropriation.

Analysis by the Legislative Reference Bureau

This bill creates a program of child care worker loan repayment assistance to be administered by the Higher Educational Aids Board (HEAB). Under the program, HEAB reimburses a child care worker for 10 percent of the outstanding principal amount of the child care worker's student loans or $1,000, whichever is less, after the child care worker has been continuously employed full time in this state for at least 12 months as a child care worker and after each additional 12-month period of such continuous full-time employment, subject to a maximum of five assistance payments, if all of the following apply:

1. The child care worker graduated on or after May 1, 2009, with a degree in an area relating to early childhood education.

2. The child care worker is currently repaying a student loan and is not in default on repayment of the loan.

3. The child care worker has submitted to HEAB a statement by the lender certifying the outstanding principal amount of the student loan and that the child care worker is not in default on repayment of the loan.

For further information see the state fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB847, s. 1 Section 1. 20.005 (3) (schedule) of the statutes: at the appropriate place, insert the following amounts for the purposes indicated: - See PDF for table

AB847, s. 2 Section 2. 20.235 (1) (cw) of the statutes is created to read:

AB847,2,6 20.235 (1) (cw) Child care worker loan repayment assistance. Biennially, the amounts in the schedule for child care worker loan repayment assistance under s. 39.385.

AB847, s. 3 Section 3. 39.385 of the statutes is created to read:

AB847,2,11 39.385 Child care worker loan repayment assistance. (1) Criteria. The board shall administer a loan repayment assistance program for resident child care workers. A child care worker is eligible for loan repayment assistance under the program if the child care worker meets all of the following requirements:

AB847,2,15 (a) The child care worker has graduated on or after May 1, 2009, with a bachelor's degree from an institution of higher education, as defined in s. 39.32 (1) (a), located in this state, or a degree under an associate degree program, as defined in s. 38.01 (1), in an area relating to early childhood education.

AB847,3,2 (b) The child care worker is currently repaying a student loan and is not in default on repayment of that loan, as determined by the applicable lender.

AB847,3,7 (c) The child care worker submits to the board, on a form prescribed by the board, a statement by the lender, dated within 30 days before the date on which the statement is submitted to the board, certifying the outstanding principal amount of the student loan and that the loan repayment status of the borrower is not in default on repayment of the loan.

AB847,3,15 (2) Loan repayment assistance. From the appropriation account under s. 20.235 (1) (cw), the board, subject to the availability of funds, shall reimburse a child care worker who is eligible under sub. (1) for 10 percent of the outstanding principal amount of the student loans of the child care worker or in the amount of $1,000, whichever is less, after the child care worker has been continuously employed full time in this state for at least 12 months as a child care worker and after each additional 12-month period of such continuous full-time employment, subject to a maximum of 5 loan repayment assistance payments under this section.

AB847,3,21 (3) Rules. The board shall promulgate rules to implement and administer this section, including rules establishing the criteria and procedures for loan repayment assistance and, after first consulting with the department of children and families, rules defining "child care worker" for the purposes of this section. The definition of "child care worker" shall include any child care position specified in rules of that department relating to child day care and family day care centers for children.

AB847, s. 4 Section 4. Fiscal changes.

AB847,4,10 (1) Child care worker loan repayment assistance. In the schedule under section 20.005 (3) of the statutes for the appropriation to the higher educational aids board under section 20.235 (2) (aa) of the statutes, as affected by the acts of 2009, the dollar amount is increased by $113,500 for the first fiscal year of the fiscal biennium in which this subsection takes effect to increase the authorized FTE positions for the board by 1.0 GPR position for the purpose of administering child care worker loan repayment assistance under section 39.385 of the statutes, as created by this act, and to cover other costs incurred in administering that assistance. In the schedule under section 20.005 (3) of the statutes for the appropriation to the higher educational aids board under section 20.235 (2) (aa) of the statutes, as affected by the acts of 2009, the dollar amount is increased by $113,500 for the second fiscal year of the fiscal biennium in which this subsection takes effect to provide funding for that position authorization and for those costs.

AB847, s. 5 Section 5. Effective date.

AB847,4,13 (1) This act takes effect on the day after publication, or on the 2nd day after publication of the 2009-11 biennial budget act, whichever is later.

AB847,4,14 (End)