Legislature(2025 - 2026)
2025-05-18 House Journal
Full Journal pdf2025-05-18 House Journal Page 1284 HB 28 The following was read the second time: HOUSE BILL NO. 28 "An Act establishing a student loan repayment pilot program; and providing for an effective date." with the: Journal Page EDC RPT 4DP 3DNP 498 FN1: (EED) 498 FIN RPT CS(FIN) 2DP 2DNP 2NR 4AM 1216 FN1: (EED) 1216 Representative Kopp moved and asked unanimous consent that the following committee substitute be adopted in lieu of the original bill: CS FOR HOUSE BILL NO. 28(FIN) (same title) Objection was heard and withdrawn. There being no further objection, CSHB 28(FIN) was adopted. Amendment No. 1 was offered by Representative Hannan: Page 2, lines 17 - 18: Delete "$8,000 in each year of participation in the program" Insert "$4,000 in the first year of participation in the program, $8,000 in the second year of participation in the program, and $12,000 in the third year of participation in the program" Page 2, lines 19 - 20: Delete "one-third of the balance of the outstanding student loans in each year of participation in the program" Insert "one-sixth of the balance of the outstanding student loans on the date the participant entered the program in the first year of 2025-05-18 House Journal Page 1285 participation in the program, one-third of the balance of the outstanding student loans on the date the participant entered the program in the second year of participation in the program, and one- half of the balance of the outstanding student loans on the date the participant entered the program in the third year of participation in the program" Page 3, line 5: Delete "2029" Insert "2028" Representative Hannan moved and asked unanimous consent that Amendment No. 1 be adopted. Objection was heard and withdrawn. There being no further objection, Amendment No. 1 was adopted. Amendment No. 2 was offered by Representative Ruffridge: Page 1, lines 10 - 13: Delete "a person who is employed as a full-time certificated teacher in a public school or as a full-time employee of the state, has completed a postsecondary degree or certificate program, and has an outstanding student loan as described in 26 U.S.C. 108(f)(2) incurred by the person for the degree or certificate program" Insert "an eligible person. A person is eligible if the person (1) is employed as either a full-time certificated teacher in a public school or as a full-time health care provider as defined by the commission; (2) has completed at least five years of employment as either a full-time certificated teacher in a public school or as a full-time health care provider in the state; and (3) is not currently the beneficiary of another loan forgiveness or loan repayment program administered by the commission or another entity" Page 2, line 1, following "program;": Insert "the application process must include (A) verification of (i) the applicant's outstanding student loan balance; 2025-05-18 House Journal Page 1286 (ii) the applicant's qualified outstanding student load debt, as determined by the commission; (iii) the number of outstanding payments remaining on the applicant's student loans; and (iv) the amount of the applicant's current student loan payments, including information on any federal student loan repayment plan described in 20 U.S.C. 1098e; (B) verification of the applicant's state licensure or certification; (C) verification of the applicant's employment, including the applicant's salary or hourly wage; and (D) obtaining a signed statement of intent from the applicant indicating the applicant's intention to (i) work in a qualifying teaching or health care position in the state for at least three years after acceptance into the program; and (ii) be a resident of the state for at least three years after acceptance into the program;" Page 2, line 3: Delete "state employees" Insert "health care providers" Page 2, line 8, following "program.": Insert "The commission shall require that a person repay the amounts disbursed under the program if the commission finds that the person applied grant payments to an ineligible purpose." Page 2, line 9, following "section": Insert "shall be paid directly to the servicer of the qualifying student loan. A person receiving a grant under this section shall provide documentation of the person's total outstanding student loan debt from all lending institutions and provide instructions for payment to be made to a specific servicer at the time the grant is disbursed. Grants awarded under this section" Page 2, lines 12 - 13: Delete all material and insert: "(2) for a person employed as a full-time health care provider, upon completion of each year of full-time employment after acceptance into the program." 2025-05-18 House Journal Page 1287 Page 2, lines 15 - 20: Delete "A person with outstanding student loans used to pay for a degree or certificate program located outside the state or at the University of Alaska (1) totaling $24,000 or more is eligible to receive a grant of $8,000 in each year of participation in the program; or (2) totaling less than $24,000 is eligible to receive a grant of one-third of the balance of the outstanding student loans in each year of participation in the program." Insert "The commission may award different amounts to persons receiving grants under this section based on the degree or certificate the person holds." Page 2, line 21: Delete "Up to 125 grants may be awarded under this section each fiscal year." Page 2, following line 25: Insert new subsections to read: "(g) The commission may prioritize applications based on the local needs of the community in which an applicant is employed. When prioritizing applications, the commission may consider (1) whether the applicant is employed in a rural area, including, (A) for a teacher, (i) the availability of qualified teachers in the community where the applicant teaches; and (ii) the number of local job vacancies for positions similar to the applicant's; (B) for a health care provider, (i) the access to health care in the community where the applicant practices; (ii) the number of local job vacancies for positions similar to the applicant's; (iii) the timeliness of available health care appointments in the community where the applicant works; and (iv) whether an applicant is employed with an employer who accepts Medicaid; (2) the applicant's monthly student debt as a percentage of the applicant's gross monthly income; 2025-05-18 House Journal Page 1288 (3) the need for teachers or specific types of health care providers in a particular region as determined by state or industry labor data and other available information related to vacancy rates or professions needed most in the region; (4) the workforce needs of schools and health care facilities in the state, with a special emphasis on nurses, counselors, behavioral health professionals, and primary care physicians. (h) If a person receiving a grant fails to complete the required term of service under the program, the commission may find the person ineligible to continue receiving a grant under the program and may award any remaining grant funds to a different eligible applicant. (i) The commission has no obligation to assist a person in obtaining qualifying employment in the event that the person's qualifying employment is terminated. Upon terminating qualifying employment, the commission may award remaining grant funds to another eligible applicant. A person who loses qualifying employment may reapply to the program upon resuming qualifying employment." Reletter the following subsections accordingly. Page 3, line 4: Delete "state employee" Insert "health care provider" Representative Ruffridge moved and asked unanimous consent that Amendment No. 2 be adopted. Representative Story objected. Representative Stutes, citing Section 101.1 of Mason's Manual, rose to a point of order regarding the germaneness of debate. Representative Costello, citing Section 240 of Mason's Manual, rose to a point of order regarding the lack of a violation. The Speaker ruled the original point well taken and directed the member to proceed in order. The question being: "Shall Amendment No. 2 be adopted?" The roll was taken with the following result: 2025-05-18 House Journal Page 1289 CSHB 28(FIN) am Second Reading Amendment No. 2 YEAS: 19 NAYS: 21 EXCUSED: 0 ABSENT: 0 Yeas: Burke, Bynum, Costello, Coulombe, Elam, Johnson, McCabe, Moore, Nelson, Prax, Rauscher, Ruffridge, Saddler, Schwanke, Stapp, Tilton, Tomaszewski, Underwood, Vance Nays: Allard, Carrick, Dibert, Edgmon, Eischeid, Fields, Foster, Galvin, Gray, Hall, Hannan, Himschoot, Holland, Jimmie, Josephson, Kopp, Mears, Mina, Schrage, Story, Stutes And so, Amendment No. 2 was not adopted. Amendment No. 3 was offered by Representative Ruffridge: Page 2, line 31, through page 3, line 6: Delete all material and insert: "PILOT PROGRAM: REPORT. In the years 2027, 2028, and 2029, the Alaska Commission on Postsecondary Education shall include in the report to the legislature required under AS 14.43.840(b) the effects of the student loan repayment pilot program established under sec. 1 of this Act on teacher and state employee recruitment. The report submitted in 2029 must include an analysis of the overall success rate and effectiveness of the student loan repayment pilot program." Page 3, line 7: Delete "Sections 1 and 2 of this Act are" Insert "Section 1 of this Act is" Page 3, following line 7: Insert a new bill section to read: "* Sec. 4. Section 2 of this Act is repealed February 1, 2029." Renumber the following bill section accordingly. Representative Ruffridge moved and asked unanimous consent that Amendment No. 3 be adopted. Representative Story objected. 2025-05-18 House Journal Page 1290 The question being: "Shall Amendment No. 3 be adopted?" The roll was taken with the following result: CSHB 28(FIN) am Second Reading Amendment No. 3 YEAS: 18 NAYS: 22 EXCUSED: 0 ABSENT: 0 Yeas: Bynum, Costello, Coulombe, Elam, Johnson, McCabe, Moore, Nelson, Prax, Rauscher, Ruffridge, Saddler, Schwanke, Stapp, Tilton, Tomaszewski, Underwood, Vance Nays: Allard, Burke, Carrick, Dibert, Edgmon, Eischeid, Fields, Foster, Galvin, Gray, Hall, Hannan, Himschoot, Holland, Jimmie, Josephson, Kopp, Mears, Mina, Schrage, Story, Stutes And so, Amendment No. 3 was not adopted. Representative Kopp moved and asked unanimous consent that CSHB 28(FIN) am be considered engrossed, advanced to third reading, and placed on final passage. There was objection. CSHB 28(FIN) am will advance to third reading on the May 19 calendar.