02/08/2010 08:00 AM House EDUCATION

         HB 235-PROF STUDENT EXCHANGE LOAN FORGIVENESS                                                                      
                                                                                                                                
8:24:23 AM                                                                                                                    
                                                                                                                                
VICE  CHAIR MUNOZ  announced  that the  final  order of  business                                                               
would be  HOUSE BILL  NO. 235, "An  Act relating  to professional                                                               
student  exchange program  availability and  conditions for  loan                                                               
forgiveness."                                                                                                                   
                                                                                                                                
8:24:41 AM                                                                                                                    
                                                                                                                                
KENDRA KLOSTER,  Staff, Representative Cathy Munoz,  Alaska State                                                               
Legislature, directed  attention to a memorandum  from Mary Ellen                                                               
Beardsley, dated  2/2/10, addressed to Diane  Barrans, to explain                                                               
the proposed change to page 2, line 11, and read:                                                                               
                                                                                                                                
     The language of HB 235  is mandatory and does not allow                                                                    
     ACPE [Alaska Commission  on Postsecondary Education] to                                                                    
     issue  PSEP  [Professional  Student  Exchange  Program]                                                                    
     loans without  the loan forgiveness benefit.   There is                                                                    
     a  funding  concern as  it  relates  to this  mandatory                                                                    
     language.  There needs to be  an ability on the part of                                                                    
     ACPE to  issue PSEP  loans to participants  without the                                                                    
     loan forgiveness benefit ...                                                                                               
                                                                                                                                
MS. KLOSTER  explained that the  purpose for inserting  "If money                                                               
has  been  appropriated for  this  purpose",  is to  allow  loans                                                               
without the  loan forgiveness benefit  to be made by  ACPE should                                                               
the legislature not  fund the program, regardless  of whether the                                                               
legislature  funds  the  program.     Additionally,  on  page  2,                                                               
following  line  25,  alignment language  has  been  inserted  in                                                               
Section 4, to  bring subsection (a) into accord  with existing AS                                                               
14.44.025  subsection  (b).   Next,  the  definition  of  medical                                                               
assistance, as defined under AS  47.07, is being inserted on page                                                               
2, line  30.  Finally,  on page 2, line  31, the question  of how                                                               
large facilities  would have billings submitted,  is addressed by                                                               
having bills submitted by the practice.                                                                                         
                                                                                                                                
8:28:23 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE EDGMON  moved Amendment 1,  labeled 26-LS0913\R.5,                                                               
Chenoweth/Mischel, 2/8/10, which read:                                                                                          
                                                                                                                                
     Page 2, line 11:                                                                                                           
          Delete "The"                                                                                                          
          Insert "If money has been appropriated for the                                                                        
     purpose, the"                                                                                                              
                                                                                                                                
     Page 2, line 20:                                                                                                           
          Delete "In addition to other loan forgiveness                                                                         
     benefits available to a participant,"                                                                                      
          Insert "If money has been appropriated for the                                                                        
       purpose, and as an alternative to loan forgiveness                                                                       
     benefits provided under (a) of this section,"                                                                              
                                                                                                                                
     Page 2, following line 25:                                                                                                 
     Insert a new paragraph to read:                                                                                            
               "(2)  practices in the state in a field of                                                                       
      study described in AS 14.44.025(b) for not less than                                                                      
     750 hours during the year;"                                                                                                
                                                                                                                                
     Renumber the following paragraphs accordingly.                                                                             
                                                                                                                                
     Page 2, line 30:                                                                                                           
          Delete "in the state,"                                                                                                
          Insert "as provided in AS 47.07,"                                                                                     
                                                                                                                                
     Page 2, line 31:                                                                                                           
          Delete "participant's"                                                                                                
                                                                                                                                
     Page 2, line 31, following "billings":                                                                                     
          Insert "submitted by the practice"                                                                                    
                                                                                                                                
There being no objection, Amendment 1 was adopted.                                                                              
                                                                                                                                
8:29:46 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  EDGMON moved  to report  HB 235,  26-LS0913\R, as                                                               
amended,  out of  committee with  individual recommendations  and                                                               
the accompanying  fiscal notes.   There being no  objection, CSHB
(EDC) was reported from the House Education Standing                                                                         
Committee.