(1) Scholarship shall mean Empire State challenger scholarships for teachers.

(2) Full-time fellowship shall mean Empire State challenger fellowships for teachers, awarded for full-time study pursuant to Education Law, section 605.8(a), (b) and (c).

(3) Part-time fellowship shall mean Empire State challenger fellowships for teachers, awarded for part-time study pursuant to Education Law, section 605.8(d).

(1) Recipients of such awards shall annually file with the corporation an application for payment of an award in accordance with section 2201.1(a) of this Title, and further, shall report to the corporation, on such forms and at such times as the president may prescribe, all information required by the president, including but not limited to anticipated date of graduation. In the event a recipient fails to file such annual application in any academic year in which he or she may be eligible, the recipient shall file a report, on such forms and at such times as prescribed by the president, regarding his or her status during the academic year in which an application for payment is not made.

(2) Notwithstanding any other provisions of law or regulation, recipients of part-time fellowships shall be enrolled for at least six semester hours during the academic year for which payment is requested.

(3) Recipients of scholarships shall be enrolled in an approved program, as defined by the commissioner pursuant to section 145-1.17 of this Title, no later than the beginning of their junior year.

(4) No recipient of a full-time or part-time fellowship shall receive payment subsequent to completion of an approved graduate program leading to permanent certification as a teacher.

(1) Annual scholarship payments shall be made in an amount of up to $3,000 in each academic year, but shall not exceed the annual amount of tuition and fees charged to the student.

(2) Annual graduate fellowship payments shall be made in an annual amount of up to $4,000 for full-time awards and $1,000 for part-time awards, but shall not exceed the recipient's annual cost of attendance as reported to the corporation by the institution of attendance.

(1) All awards under this section except as provided herein shall be paid in separate installments, on a pro rata basis, for each semester, quarter or term of attendance during the academic year; provided, however, that the president may prorate the payment of an award to a part-time fellowship recipient based upon the number of semester hours taken during a semester, quarter or term, and provided, further, all such prorated payments shall be conditioned on the recipient enrolling for at least six semester hours during the academic year and that the final payment during the academic year shall in all events be limited to the balance of the award that may be payable to such recipient.

(2) In the event a part-time fellowship recipient shall take six or more semester hours during a semester, quarter or term of attendance, the president may make a payment of the amount of the annual award, or the cost of attendance for such semester, quarter or term of attendance, whichever is less. Any other payment made during the academic year shall be limited to the balance of the award that may be payable to such recipient.

(1) Scholarship recipients shall be entitled to payments of awards for up to but not more than four academic years.

(2) Full-time fellowship recipients shall be entitled to the payment of an award for not more than one academic year only.

(3) Part-time fellowship recipients shall be entitled to payments of awards for up to but not more than two academic years of payment.

(1) Failure of a recipient to comply with the service condition set forth in Education Law, section 605, shall entitle the president to recover from such recipient an amount which bears the same ratio to the aggregate of the amount of the awards received, as the number of months the recipient failed to comply with this condition bears to the number of months the recipient was obligated to comply, together with interest at 10 percent per annum computed from the date on which the recipient completed professional training.

(2) Repayment of the amount payable shall be made in equal monthly installments of principal and interest so as to complete repayment within 10 years, or such lesser period as determined by the president, taking into consideration the amount owed and the circumstances of the recipient; provided, however, that in no event shall the monthly payments be less than $50 plus interest. A written agreement of repayment shall be obtained for each recipient, which such agreement shall include such terms and conditions as shall be deemed appropriate by the president.