11 KAR 8:030. Teacher scholarships

Link to law: http://www.lrc.ky.gov/kar/011/008/030.htm
Published: 2015

      11

KAR 8:030. Teacher scholarships.

 

      RELATES

TO: KRS 164.740, 164.744(2), 164.753(3), 164.769

      STATUTORY

AUTHORITY: KRS 164.748(4), 164.753(3), 164.769(5), (6)(f)

      NECESSITY,

FUNCTION, AND CONFORMITY: KRS 164.744(2) authorizes the authority to provide scholarships

and KRS 164.753(3) requires the Kentucky Higher Education Assistance Authority

to promulgate administrative regulations pertaining to standards for

scholarship programs. KRS 164.769 establishes a teacher scholarship program and

requires the Kentucky Higher Education Assistance Authority to establish the

terms and conditions for the award, cancellation, and repayment of teacher

scholarships, awarded under KRS 164.769 and under prior teacher scholarship programs

administered by the Kentucky Higher Education Assistance Authority. This

administrative regulation establishes selection criteria, disbursement

procedures, cancellation of repayment procedures and repayment obligations

related to scholarships provided under the program.

 

      Section

1. Definitions. (1) "Authority" is defined in KRS 164.740(1).

      (2)

"Critical shortage area" is defined in KRS 164.769(2)(a).

      (3)

"Default" means the status of an obligation under this program that

has entered repayment and upon which no payment has been made for a cumulative

period of 180 days following the repayment begin date for the obligation.

      (4)

"Eligible program of study" is defined in KRS 164.769(2)(b).

      (5)

"Expected family contribution" is defined in KRS 164.769(2)(c).

      (6)

"Kentucky Teacher Internship Program" or "KTIP" means the

one (1) year of supervision, assistance, and assessment that is:

      (a)

Required by KRS 161.030 and established in 16 KAR 7:010; and

      (b)

Also referenced as the beginning teacher internship.

      (7)

"Participating institution" is defined in KRS 164.769(2)(d).

      (8)

"Professional Teaching Certificate" means the document issued to:

      (a)

An individual upon successful completion of the beginning teacher internship;

or

      (b)

An applicant for whom the testing and internship requirement is waived under

KRS 161.030 based on preparation and successful completion of the assessments.

      (9)

"Public school" means the common schools of the Commonwealth

providing preschool, elementary, middle school, or secondary instruction.

      (10)

"Qualified teaching service" is defined in KRS 164.769(2)(e).

      (11)

"Semester" is defined in KRS 164.769(2)(f).

      (12)

"Summer term" is defined in KRS 164.769(2)(g).

      (13)

"Teaching" means performing continuous classroom instruction that:

      (a)

Is:

      1.

Pursuant to a professional teaching certificate in a position for which regular

teacher certification is a prerequisite; or

      2.

During participation in the Kentucky Teacher Internship Program (KTIP); and

      (b)

Shall not include substitute teaching.

 

      Section

2. Eligibility of Renewal Applicants and Selection Process. (1) Applicants

shall complete the Teacher Scholarship Application set forth in 11 KAR 4:080,

Section 1(3), according to its instructions. The applicant shall ensure that

the completed application and supporting data indicating the applicant’s

financial need are received by the authority on or before May 1, or the next

regular business day if May 1 falls on a weekend or holiday preceding the academic

year for which the award is requested.

      (2)

Eligibility of renewal applicants. A person who previously received a loan or

scholarship pursuant to KRS 164.769 shall be eligible to apply for and be

considered for a renewal teacher scholarship if, at the time of application and

disbursement, the renewal applicant has made satisfactory progress toward

completion of the eligible program of study in accordance with standards

prescribed by the participating institution.

      (3)

After awards are made to all qualified renewal applicants, applicants shall be

considered and teacher scholarships shall be awarded to recipients in the

following order until funds are depleted:

      (a)

Initial applicants who meet the standards and requirements established by the

Education Professional Standards Board pursuant to KRS 161.028 and have been

unconditionally admitted to a teacher education program shall be ranked in

ascending order by expected family contribution.

      (b)

Initial applicants who have not yet been admitted to a teacher education

program but who meet the standards and requirements established by the

Education Professional Standards Board pursuant to KRS 161.028 for admission to

a teacher education program shall be ranked in ascending order by expected

family contribution.

      (c)

Otherwise eligible initial applicants seeking admission to a teacher education

program shall be ranked in ascending order by expected family contribution.

 

      Section

3. Award Maximums. (1) The amount of a teacher scholarship award shall be

calculated by determining the student’s total cost of education minus expected

family contribution and the amount of financial aid received or expected to be

received during the academic period. The amount of financial aid received or expected

to be received during the academic period shall not include any amounts

available from any student loan or work-study programs.

      (2)

The maximum teacher scholarship award for a student classified as a junior,

senior, post baccalaureate, or graduate shall be $1,250 for a summer session,

$2,500 for a semester, and $5,000 for an academic year (exclusive of a summer

session).

      (3)

The maximum teacher scholarship award for a student classified as a freshman or

sophomore shall be $325 for a summer session, $625 for a semester, and $1,250

for an academic year (exclusive of a summer session).

      (4)

The maximum award to an eligible student enrolled less than full time in the

last semester or summer term during which a baccalaureate, post baccalaureate,

or master’s degree will be completed shall be:

      (a)

$210 per credit hour if the student is enrolled during a regular semester; or

      (b)

$105 per credit hour if the student is enrolled in a summer term.

 

      Section

4. Disbursements. (1) Disbursement of a teacher scholarship shall be made at

the beginning of each semester or summer session and each disbursement shall be

evidenced by a promissory note, prescribed by the authority, in which the

scholarship recipient shall agree to repay the scholarship funds or render

qualified teaching service in lieu thereof.

      (2)

The monies awarded under the Teacher Scholarship Program shall be transmitted

directly to the participating institution on behalf of all students eligible to

receive the scholarship by electronic funds transfer.

      (3)

The authority shall send to the participating institution a disbursement roster

containing each recipient’s name and Social Security number.

      (4)

The participating institution shall hold the funds solely for the benefit of

the student eligible to receive the scholarship and the authority until the

recipient has registered for classes for the period of enrollment for which the

scholarship is intended.

      (5)

Upon the recipient’s registration, the participating institution shall

immediately credit the recipient’s account and notify the recipient in writing

that it has so credited that account, and deliver to the recipient any

remaining scholarship proceeds.

      (6)

The participating institution shall indicate on the disbursement roster the

date funds were either credited to the student’s account or disbursed to the

student, the name of a recipient for whom funds are being returned, the amount

being returned, and the reason funds are being returned.

      (7)

If a recipient does not register for the period of enrollment for which the

scholarship was awarded, or a registered student withdraws or is expelled prior

to the first day of classes of the period of enrollment for which the

scholarship is awarded, the school shall return the proceeds to the authority

pursuant to Section 12 of this administrative regulation.

      (8)

The school shall retain a copy of the disbursement roster for its records and

forward the original roster and any undisbursed scholarship funds to the

authority not later than thirty (30) days following receipt of the roster and

the funds.

      (9)(a)

If a recipient subsequently refuses to repay the scholarship on grounds that he

was unaware of or did not receive delivery of the scholarship proceeds from the

school, upon written request from the authority, the school shall promptly

provide documentary evidence to the authority that the recipient received or

had funds credited to his student account and was notified of this transaction.

      (b)

The school shall otherwise reimburse the authority for any amount of the

scholarship that is unenforceable absent that documentary evidence.

      (c)

The obligation of the school to provide the documentary evidence specified in

paragraph (a) of this subsection shall continue until the recipient’s

obligations for repayment of the scholarship is paid in full or otherwise

discharged.

 

      Section

5. Cancellation. (1) A recipient rendering qualified teaching service in a

designated critical shortage area shall remain eligible for the critical

shortage credit provided by KRS 164.769(6)(c) if:

      (a)

The authority determines that an area is no longer a critical shortage area;

and

      (b)

The recipient continues to render qualified teaching service in the area.

      (2)(a)

If a recipient has received loans or scholarships from more than one (1)

program that is administered by the authority, and requires a period of

qualified teaching service for repayment or cancellation, the teaching

requirements shall not be fulfilled concurrently.

      (b)

Unless the authority determines otherwise for cause, loans or scholarships from

more than one (1) program shall be repaid or cancelled by qualified teaching

service in the same order in which they were received.

      (c)

If a recipient has received a loan or scholarship pursuant to KRS 164.768,

164.769 or 164.770 during the same semester as receiving a scholarship pursuant

to KRS 161.165, the loan or scholarship received pursuant to KRS 164.768,

164.769 or 164.770 shall be repaid or cancelled by qualified teaching service

prior to the scholarship received pursuant to KRS 161.165.

      (3)

A recipient shall receive cancellation under this program for each semester

during which service is provided as specified in KRS 164.769(6)(c) if the

recipient:

      (a)

Has completed the program of study;

      (b)

Is providing qualified teaching service; and

      (c)

Is prohibited from participating in KTIP solely as a result of state budget

limitations.

      (4)

Verification of qualified teaching service shall be submitted to the authority

in writing, signed by the local school district superintendent or building

principal.

 

      Section

6. Repayment. (1) A recipient failing to complete the eligible program of study,

attain certification after completion of the eligible program of study, or

commence rendering qualified teaching service within the six (6) month period

following completion of the eligible program of study shall immediately become

liable to the authority to pay the sum of all promissory notes and accrued

interest thereon, unless the authority grants a deferment for cause.

      (2)

The interest rate applicable to repayment of a teacher scholarship under this

section shall be six (6) percent per annum beginning April 1, 2005. Prior to

April 1, 2005, the interest rate shall be twelve (12) percent per annum.

      (3)

If a repayment obligation subsequently becomes eligible for service credit

cancellation as a result of the recipient’s provision of teaching service, refund

of payments previously made shall not be given to the recipient.

 

      Section

7. Default. (1) Upon default on a repayment obligation under this program, the

recipient’s account shall be transferred to the appropriate agency of the

Commonwealth of Kentucky for collections and shall be subject to the collection

charges and fees assessed by that agency.

      (2)

A recipient whose repayment obligation has defaulted and who subsequently

begins either providing qualified teaching service in the Commonwealth of Kentucky

or participating in KTIP shall be removed from default status.

 

      Section

8. Disability Discharge. A conditional or permanent discharge of the repayment

obligation required by this program shall be granted by the Authority upon

submission by the recipient of the documentation required by this section. (1)

Conditional discharge. A conditional discharge shall be granted for a maximum

two (2) year period, subject to annual review by the Authority, upon the submission

of one (1) of the following as proof of the recipient’s qualifying disability:

      (a)

A finding of permanent disability by the Social Security Administration; or

      (b)

A completed Teacher Scholarship Program Application for Discharge, which shall

include a certification by the recipient’s treating physician that the

recipient is unable to work or earn money and that the condition is expected to

persist indefinitely.

      (2)

Permanent discharge. At the expiration of the two (2) year Conditional

Discharge period specified in subsection (1) of this section, the Authority

shall grant a permanent discharge to a recipient under this program upon the

submission by the recipient of current documentation verifying that the

qualifying disability exists at the time the permanent discharge is granted.

 

      Section

9. Notifications. A recipient shall notify the authority within thirty (30)

days of:

      (1)

Change in enrollment status;

      (2)

Cessation of full-time enrollment in an eligible program of study;

      (3)

Employment in a qualified teaching service position; or

      (4)

Change of name or address.

 

      Section

10. Repayment Schedule. Written notification of demand for repayment shall be

sent by the authority to the scholarship recipient’s last known address and

shall be effective upon mailing. The authority may agree to accept repayment in

installments in accordance with a schedule established by the authority.

Payments shall first be applied to interest and then to principal on the

earliest unpaid promissory note.

 

      Section

11. Records. A participating institution shall maintain complete and accurate

records pertaining to the eligibility, enrollment, and progress of each student

receiving aid under this program and the disbursement of funds and

institutional charges as may be necessary to audit the disposition of these

funds. The institution’s records shall be maintained for at least three (3)

years after the student ceases to be enrolled at the institution.

 

      Section

12. Refunds. (1) If a student fails to enroll, withdraws, is expelled from the

institution, or otherwise fails to complete the program on or after the

student’s first day of class of the period of enrollment or changes enrollment

status, the Authority may be due a refund of monies paid to the institution on

behalf of that student or a repayment of cash disbursements made to the student

for educational expenses.

      (2)

If the student received financial assistance administered by the authority, the

refund and repayment shall be due to the authority for its financial assistance

programs in accordance with this section.

      (3)

The institution shall adopt and implement a fair and equitable refund policy

for financial assistance administered by the authority which shall be:

      (a)

A clear and conspicuous written statement;

      (b)

Made available to a prospective student, prior to the earlier of the student’s

enrollment or the execution of the student’s enrollment agreement, and to

currently enrolled students;

      (c)

Consistently administered by the institution; and

      (d)

Made available to the authority upon request.

      (4)

The institution’s refund policy for financial assistance administered by the

authority shall either:

      (a)

Use the same methods and formulas for determining the amount of a refund as the

institution uses for determining the return of federal financial assistance

funds; or

      (b)

Be a separate and distinct policy adopted by the institution that is based

upon:

      1.

The requirements of applicable state law; or

      2.

The specific refund standards established by the institution’s nationally-recognized

accrediting agency.

      (5)

The amount of the refund shall be determined in accordance with the educational

institution’s refund policy relative to financial assistance funds, except as

provided in subsection (7) of this section.

      (6)

If the institution determines that a refund of financial assistance is due in

accordance with its policy, the institution shall allocate to the financial

assistance programs administered by the authority the refund and repayment in

the following descending order of priority prior to allocating the refund to institutional

or private sources of financial assistance:

      (a)

CAP grant;

      (b)

KTG;

      (c)

Go Higher Grant;

      (d)

Teacher Scholarship;

      (e)

Kentucky Educational Excellence Scholarship;

      (f)

Kentucky Coal County College Completion Scholarship;

      (g)

National Guard tuition assistance; and

      (h)

Early Childhood Development Scholarship.

      (7)(a)

If a teacher scholarship recipient officially or unofficially withdraws from or

is expelled by an institution before the first day of classes of the award

period, the award shall be deemed an overaward and a full refund and repayment

of the teacher scholarship shall be required, notwithstanding any institutional

policy to the contrary.

      (b)

If the institution is unable to document the student’s last date of attendance,

any teacher scholarship disbursement for that award period shall be subject to

full refund.

      (c)

If a teacher scholarship recipient’s enrollment is terminated with no

assessment of tuition and fees by the institution, the full teacher scholarship

shall be subject to:

      1.

Cancellation, if not yet disbursed; or

      2.

Refund if the teacher scholarship has already been disbursed.

      (8)(a)

The institution shall remit to the authority the amount of funds allocated from

the refund amount to the financial assistance programs administered by the

authority as soon as possible but no later than thirty (30) days after the end

of the term in which the student ceased to be enrolled.

      (b)

Refunds by the institution transmitted to the authority shall be accompanied

by:

      1.

The student’s name and Social Security number;

      2.

The reason for the refund;

      3.

The date of enrollment status change;

      4.

The semester and year; and

      5.

The calculation used for determining the refund.

 

      Section

13. Information Dissemination and Recruitment. The authority shall disseminate

information through high school principals, counselors, and school

superintendents about this program to potential recipients. The participating

institution shall provide assurances that program information will be

disseminated to students enrolled at the institution. The participating

institution shall actively recruit students from minority population groups for

participation in this program.

 

      Section

14. Incorporation by Reference. (1) "Teacher Scholarship Program

Application for Discharge", November 2007, is incorporated by reference.

      (2)

This material may be inspected, copied, or obtained, subject to applicable

copyright law, at the Kentucky Higher Education Assistance Authority, 100

Airport Road, Frankfort, Kentucky 40601, Monday through Friday, 8 a.m. to 4:30

p.m. (16 Ky.R. 2794; eff. 8-9-1990; Am. 17 Ky.R. 3483; 18 Ky.R. 274; eff. 7-8-1991;

1152; eff. 11-14-1991; 19 Ky.R. 2480; eff. 7-1-1993; 21 Ky.R. 59; 909; eff.

9-12-1994; 23 Ky.R. 159; 1387; eff. 9-5-1996; 25 Ky.R. 890; 1398; eff. 1-19-1999;

26 Ky.R. 1440; 1676; eff. 3-10-2000; 2281; 27 Ky.R. 555; 736; eff. 9-11-2000;

3310; eff. 8-15-2001; 30 Ky.R. 361; 837; eff. 10-31-2003; 30 Ky.R. 1575; eff.

3-18-2004; 31 Ky.R. 1320; 1505; eff. 3-11-2005; 33 Ky.R. 182; 713; eff. 10-6-2006;

34 Ky.R. 1762; 2074; eff. 4-4-2008; 35 Ky.R. 950; 1424; eff. 1-5-2009; 36 Ky.R.

1510, 2031-M, eff. 4-2-2010; 40 Ky.R. 78; 528; eff. 9-9-2013; 41 Ky.R. 835;

1497; eff. 2-6-2015.)
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