§ 116-209.30. Social Workers' Education Loan Fund.
§ 116‑209.30. Social Workers' Education Loan Fund.
(a) There is established the Social Workers' Education Loan Fundto be administered by the State Education Assistance Authority, in consultationwith the Department of Health and Human Services, to attract trained socialworkers into public child welfare positions in all county departments of socialservices in the State. The Fund shall provide 25 four‑year undergraduateand 10 two‑year graduate scholarship loans per year.
(b) The Authority, in consultation with the Department of Healthand Human Services, shall develop the following criteria to administer theFund:
(1) All students shall be enrolled in an institution of highereducation in North Carolina in an accredited bachelors of social work or mastersof social work program;
(2) All students shall be residents of North Carolina. Forpurposes of this section, residency shall be determined by the same standard asresidency for tuition purposes pursuant to G.S. 116‑143.1;
(3) All students shall enter into a legal agreement andpromissory note with the Authority to accept employment in public child welfarein exchange for receiving any funds, which agreement shall include stipulationthat the student agrees to accept employment in rural or other need‑basedcounties; and
(4) Any additional criteria that the Authority considersnecessary to administer the program effectively, including:
a. Consideration of the appropriate numbers of minoritystudents and students from diverse socio‑economic backgrounds to receivefunds pursuant to this section;
b. Consideration of what rural or other need‑based areasof the State shall be considered appropriate for work after graduation pursuantto subdivision (3) of this subsection;
c. Consideration of the academic qualifications of theindividuals applying to receive funds; and
d. Consideration of the commitment the individuals applying toreceive funds demonstrate to the profession of social work.
(c) The Authority shall ensure that the loan amounts are limitedas follows:
(1) For a student pursuing a bachelors of social work degree,four thousand dollars ($4,000) per year for a maximum of four years; and
(2) For a student pursuing a masters of social work degree, fivethousand dollars ($5,000) per year for a maximum of two years.
(d) The Authority shall ensure that the following loancancellations and repayment schedules apply to all funds distributed pursuantto this section:
(1) The individual who graduates with a bachelors of social workdegree or a masters of social work degree and who works for a public childwelfare agency in a rural or other need‑based area of North Carolinashall have that amount of the loan cancelled that is based on the amount oftime employed and the number of academic years funds were received. One fullyear of employment shall cancel one academic year's loan, whether four thousanddollars ($4,000) or five thousand dollars ($5,000);
(2) The individual who graduates with a bachelors of social workdegree or a masters of social work degree and who works in public child welfarein a rural or other need‑based area of North Carolina for the equivalentof the total number of academic years funds were received shall have the entireloan cancelled;
(3) The individual who graduates with a bachelors of social workdegree or a masters of social work degree and who does not work in public childwelfare in a rural or other need‑based area of North Carolina for any orall of the equivalent of the number of years funds were received shall repaythe loan to the Authority according to a schedule prescribed in the promissorynote, plus ten percent (10%) annual interest; and
(4) The individual who does not graduate with a bachelors ofsocial work degree or a masters of social work degree shall repay the loanaccording to a schedule prescribed by the Authority, not to exceed fifteenpercent (15%) annual interest. In establishing a schedule and interest rate,the Authority shall take into consideration the reasons the individual did notgraduate with a bachelors of social work degree or a masters of social workdegree.
The Authority shall ensure that all repayments, including accruedinterest, shall be placed in the Fund.
The Authority may forgive or reduce any loan repayment if the Authorityconsiders that extenuating circumstances exist that would make repaymentimpossible.
(e) The State Education Assistance Authority, in consultationwith the Department of Health and Human Services, shall adopt rules toimplement the Social Workers' Education Loan Fund as described in this section.(1993 (Reg. Sess., 1994),c. 769, s. 17.16; 1997‑443, s. 11A.118(a).)