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TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 59-104-25 SO AS TO PROVIDE THAT A RESIDENT STUDENT WHO HAS COMPLETED AT LEAST THIRTY CREDIT HOURS AND IS ATTENDING A PUBLIC OR PRIVATE INSTITUTION IN THIS STATE, MAJORING IN SCIENCE OR MATHEMATICS, AND RECEIVING A PALMETTO FELLOWS SCHOLARSHIP SHALL RECEIVE AN ADDITIONAL PALMETTO FELLOWS LOAN FOR THE REMAINDER OF HIS UNDERGRADUATE TERM IF HE MEETS CERTAIN CONDITIONS, INCLUDING MAKING SATISFACTORY ACADEMIC PROGRESS TOWARD RECEIVING AN UNDERGRADUATE DEGREE IN SCIENCE OR MATHEMATICS, TO PROVIDE THAT A SCIENCE OR MATHEMATICS MAJOR INCLUDES AN ENGINEERING MAJOR, AND TO PROVIDE THAT THE RECIPIENT OF THE LOAN MAY HAVE THE LOAN CANCELED PURSUANT TO CERTAIN CONDITIONS; AND BY ADDING SECTION 59-149-15 SO AS TO PROVIDE THAT A RESIDENT STUDENT WHO HAS COMPLETED AT LEAST THIRTY CREDIT HOURS AND IS ATTENDING A PUBLIC OR PRIVATE INSTITUTION IN THIS STATE, MAJORING IN SCIENCE OR MATHEMATICS, AND RECEIVING A LIFE SCHOLARSHIP SHALL RECEIVE AN ADDITIONAL LIFE LOAN FOR THE REMAINDER OF HIS UNDERGRADUATE TERM IF HE MEETS CERTAIN CONDITIONS, INCLUDING MAKING SATISFACTORY ACADEMIC PROGRESS TOWARD RECEIVING AN UNDERGRADUATE DEGREE IN SCIENCE OR MATHEMATICS, TO PROVIDE THAT A SCIENCE OR MATHEMATICS MAJOR INCLUDES AN ENGINEERING MAJOR, AND TO PROVIDE THAT THE RECIPIENT OF THE LOAN MAY HAVE THE LOAN CANCELED PURSUANT TO CERTAIN CONDITIONS.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Chapter 104, Title 59 of the 1976 Code is amended by adding:
"Section 59-104-25. (A) A resident student who has completed at least thirty credit hours and is attending a four-year public or private institution of higher learning in this State, majoring in science or mathematics as defined below, and who is receiving a Palmetto Fellows Scholarship for his current year, shall receive an additional Palmetto Fellows Loan equal to the cost of attendance after applying all scholarships or grants not to exceed three thousand three hundred dollars each year for not more than three years of instruction if enrolled in a four-year degree program or for not more than four years of instruction if enrolled in a five-year degree program or enrolled in a 3 plus 2 program. A year is defined as thirty credit hours of instruction or its equivalent each year. To receive the additional Palmetto Fellows Loan each year, the student must receive the underlying Palmetto Fellows Scholarship for that year and must be making satisfactory academic progress each year toward receiving a degree in his science or mathematics major. In addition, before qualifying for the Palmetto Fellows Loan, the student is required to have successfully completed a total of at least fourteen credit hours of instruction in mathematics and life and physical science courses with a minimum of six hours in mathematics and a minimum of six hours in life and physical science including one laboratory course.
(B) The Commission on Higher Education by regulation shall define what constitutes a science or mathematics major and qualifying degree for purposes of this section but at minimum shall include majors and degrees in science or mathematics disciplines, computer science or informational technology, engineering, and health care and related disciplines including medicine and dentistry; provided, that nothing herein prevents a student from changing majors within acceptable science or mathematics disciplines.
(C) This additional Palmetto Fellows Loan if lost may be regained in the same manner the underlying Palmetto Fellows Scholarship if lost may be regained.
(D)(1) The recipient of the Palmetto Fellows Loan who obtains at least a qualifying degree pursuant to subsection (B) may have up to one hundred percent of the amount of the loan plus interest on the loan canceled. The loan is canceled at a rate of twenty-percent of the total principal amount of the loan plus interest on the unpaid balance for each complete year the recipient is employed in this State and files a South Carolina residential income tax return. The loan must be canceled beginning from the actual date of employment of the recipient. The recipient of the loan shall notify the South Carolina Student Loan Corporation and provide supporting documentation verifying employment within six months of graduation if he is entitled to have his loan canceled. The recipient seeking loan cancellation also shall provide the South Carolina Student Loan Corporation with evidence that he has filed taxes in South Carolina by May first of each year.
(2) In case of failure to make a scheduled repayment of any installment, failure to apply for cancellation of deferment of the loan on time, failure to notify the commission within thirty days of termination of employment in or residency of this State, or noncompliance by a borrower with the intent of the loan, the entire unpaid indebtedness including accrued interest, at the option of the commission, shall become immediately due and payable in accordance with regulations promulgated pursuant to this subsection and subject to the terms of the promissory note. The recipient shall execute the necessary legal documents to secure his obligation and the terms and conditions of the loan.
(3) Failure by the recipient to inform the commission in writing within thirty days of termination of his employment in or residency of this State subjects the recipient to liability for administrative costs incurred by the commission in determining the actual date of termination for purposes of applying interest charges.
(4) The loan program is to be administered by the South Carolina Student Loan Corporation. Funds generated from repayments to the loan program must be retained in a separate account and utilized as a revolving account for the purpose that the funds were originally appropriated.
(5) The Commission on Higher Education shall promulgate regulations to implement this loan program."
SECTION 2. Chapter 149, Title 59 of the 1976 Code is amended by adding:
"Section 59-149-15. (A) A resident student who has completed at least thirty credit hours and is attending a four-year public or private institution of higher learning in this State majoring in science or mathematics as defined below and who is receiving a LIFE Scholarship for his current year shall receive an additional LIFE Loan equal to the cost of attendance after applying all scholarships or grants not to exceed two thousand five hundred dollars each year for not more than three years of instruction if enrolled in a four-year degree program or for not more than four years of instruction if enrolled in a five-year degree program or enrolled in a 3 plus 2 program. A year is defined as thirty credit hours of instruction or its equivalent each year. To receive the additional LIFE Loan each year, the student must receive the underlying LIFE Scholarship for that year and must be making satisfactory academic progress each year toward receiving a degree in his science or mathematics major. In addition, before qualifying for the LIFE Loan, the student is required to have successfully completed a total of at least fourteen credit hours of instruction in mathematics and life and physical science courses with a minimum of six hours in mathematics and a minimum of six hours in life and physical science including one laboratory course.
(B) The Commission on Higher Education by regulation shall define what constitutes a science or mathematics major and qualifying degree for purposes of this section but at a minimum shall include majors and degrees in science or mathematics disciplines, computer science or informational technology, engineering, and health care and related disciplines including medicine and dentistry; provided, that nothing herein prevents a student from changing majors within acceptable science or mathematics disciplines.
(C) This additional LIFE Loan if lost may be regained in the same manner the underlying LIFE Scholarship if lost may be regained.
(D)(1) The recipient of the LIFE Loan who obtains at least a qualifying degree pursuant to subsection (B) may have up to one hundred percent of the amount of the loan plus interest on the loan canceled. The loan is canceled at a rate of twenty-percent of the total principal amount of the loan plus interest on the unpaid balance for each complete year the recipient is employed in this State and files a South Carolina residential income tax return. The loan must be canceled beginning from the actual date of employment of the recipient. The recipient of the loan shall notify the South Carolina Student Loan Corporation and provide supporting documentation verifying employment within six months of graduation if he is entitled to have his loan canceled. The recipient seeking loan cancellation also shall provide the South Carolina Student Loan Corporation with evidence that he has filed taxes in South Carolina by May first of each year.
(2) In case of failure to make a scheduled repayment of any installment, failure to apply for cancellation of deferment of the loan on time, failure to notify the commission within thirty days of termination of employment in or residency of this State, or noncompliance by a borrower with the intent of the loan, the entire unpaid indebtedness including accrued interest, at the option of the commission, shall become immediately due and payable in accordance with regulations promulgated pursuant to this subsection and subject to the terms of the promissory note. The recipient shall execute the necessary legal documents to secure his obligation and the terms and conditions of the loan.
(3) Failure by the recipient to inform the commission in writing within thirty days of termination of his employment in or residency of this State subjects the recipient to liability for administrative costs incurred by the commission in determining the actual date of termination for purposes of applying interest charges.
(4) The loan program is to be administered by the South Carolina Student Loan Corporation. Funds generated from repayments to the loan program must be retained in a separate account and utilized as a revolving account for the purpose that the funds were originally appropriated.
(5) The Commission on Higher Education shall promulgate regulations to implement this loan program."
SECTION 3. This act takes effect upon approval by the Governor, and applies beginning with the academic year beginning in the fall of 2007.
This web page was last updated on Monday, June 22, 2009 at 2:32 P.M.