GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1993

S	2 

SENATE BILL 650
Education/Higher Education Committee Substitute Adopted 7/21/93

Short Title:  Teacher Loan Payback Changes.	(Public)
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Sponsors:
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Referred to:  Appropriations.
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March 31, 1993

A BILL TO BE ENTITLED
AN ACT TO GIVE RECIPIENTS OF PROSPECTIVE TEACHER SCHOLARSHIP LOANS CREDIT AGAINST THE LOAN AMOUNT FOR WORKING PART TIME AS TEACHERS.
The General Assembly of North Carolina enacts:
Section 1.  G.S. 115C-471(5) reads as rewritten:
"(5)	For each full school year taught in a North Carolina public school, the recipient of a scholarship loan shall receive credit upon the amount due by reason of the loan equal to the loan amount for a school year as provided in the note plus credit for the total interest accrued on that amount.  However, a recipient of a scholarship loan shall receive partial credit, limited to two years, upon the amount due by reason of the loan equal to one-half the loan amount for a school year as provided in the note plus credit for the total interest accrued on that amount under any one of the following circumstances:
a.	For each of a maximum of two one-half school years taught in a North Carolina public school.
b.	For each of a maximum of two full school years taught in a North Carolina public school as a part-time teacher who worked at least one-half time based on the length of the teacher workday as established in that teacher's local school administrative unit.
c.	For one one-half school year taught in a North Carolina public school and one full school year taught in a North Carolina public school as a part-time teacher who worked at least one-half time based on the length of the teacher workday as established in that teacher's local school administrative unit.
	For the purpose of this subdivision, the term 'one-half school year' means 100 school days.  In lieu of teaching in the public school, a recipient may elect to pay in cash the full amount of scholarship loans received plus interest then due thereon or any part thereof that has not been canceled by the State Board of Education by reason of teaching service rendered."
Sec. 2.  This act becomes effective August 1, 1993, and shall apply only to loans created or amended on or after that date.