8 CRR-NY 2201.15NY-CRR
8 CRR-NY 2201.15
8 CRR-NY 2201.15
2201.15 New York State Get on Your Feet Loan Forgiveness Program.
(a) Definitions.
As used in section 679-g of the Education Law and this section, the following terms shall have the following meanings:
(1) Adjusted gross income shall mean the income used by the U.S. Department of Education to qualify the applicant for the Federal income-driven repayment plan.
(2) Award shall mean a New York State Get on Your Feet Loan Forgiveness Program award pursuant to section 679-g of the Education Law.
(3) Deferment shall have the same meaning applicable to the William D. Ford Federal Direct Loan Program as set forth in 34 CFR part 685.
(4) Delinquent shall mean the failure to pay a required scheduled payment on a Federal student loan within 30 days of such payment’s due date.
(5) Forbearance shall have the same meaning applicable to the William D. Ford Federal Direct Loan Program as set forth in 34 CFR part 685.
(6) Income shall mean the total adjusted gross income of the applicant and the applicant’s spouse, if applicable.
(7) Program shall mean the New York State Get on Your Feet Loan Forgiveness Program.
(8) Undergraduate degree shall mean an associate or baccalaureate degree.
(b) Eligibility.
An applicant must satisfy the following requirements:
(1) have graduated from a high school located in the State or attended an approved State program for a State high school equivalency diploma and received such diploma. An applicant who received a high school diploma, or its equivalent, from another state is ineligible for a program award;
(2) have graduated and obtained an undergraduate degree from a college or university located in the State in or after the 2014-15 academic year;
(3) apply for this program within two years of obtaining such undergraduate degree;
(4) not have earned a degree higher than an undergraduate degree at the time of application;
(5) be a participant in a Federal income-driven repayment plan whose payment amount is generally 10 percent of discretionary income;
(6) have income of less than $50,000;
(7) comply with subdivisions three and five of section 661 of the Education Law;
(8) work in the State, if employed. A member of the military who is on active duty and for whom New York is his or her legal state of residence shall be deemed to be employed in New York State;
(9) not be delinquent on a Federal student loan or in default on a student loan made under any statutory New York State or Federal education loan program or repayment of any New York State award; and
(10) be in compliance with the terms of any service condition imposed by a New York State award.
(c) Administration.
(1) An applicant for an award shall apply for program eligibility at such times, on forms and in a manner prescribed by the corporation. The corporation may require applicants to provide additional documentation evidencing eligibility.
(2) A recipient of an award shall:
(i) request payment at such times, on such forms and in a manner as prescribed by the corporation;
(ii) confirm he or she has adjusted gross income of less than $50,000, is a resident of New York State, is working in New York State, if employed, and any other information necessary for the corporation to determine eligibility at such times prescribed by the corporation. Said submissions shall be on forms or in a manner prescribed by the corporation;
(iii) notify the corporation of any change in his or her eligibility status including, but not limited to, a change in address, employment, or income, and provide the corporation with current information;
(iv) not receive more than 24 payments under this program; and
(v) provide any other information or documentation necessary for the corporation to determine compliance with the program’s requirements.
(d) Amounts and duration.
(1) The amount of the award shall be equal to 100 percent of the recipient’s established monthly Federal income-driven repayment plan payment whose payment amount is generally 10 percent of discretionary income and whose payment is based on income rather than loan debt.
(2) In the event the established monthly Federal income-driven repayment plan payment is zero or the applicant is otherwise not obligated to make a payment, the applicant shall not qualify for a program award.
(3) Disbursements shall be made to the entity that collects payments on the Federal student loan or loans on behalf of the recipient on a monthly basis.
(4) A maximum of 24 payments may be awarded, provided the recipient continues to satisfy the eligibility requirements set forth in section 679-g of the Education Law and the requirements set forth in this section.
(e) Disqualification.
A recipient shall be disqualified from receiving further award payments under this program if he or she fails to satisfy any of the eligibility requirements, no longer qualifies for an award, or fails to respond to any request for information by the corporation.
(f) Renewed eligibility.
A recipient who has been disqualified pursuant to subdivision (e) of this section may reapply for this program and receive an award if he or she satisfies all of the eligibility requirements set forth in section 679-g of the Education Law and the requirements set forth in this section.
(g) Repayment.
A recipient who is not a resident of New York State at a time a payment is made under this program shall be required to repay such payment or payments to the corporation. In addition, at the corporation’s discretion, a recipient may be required to repay to the corporation any payment made under this program that, at the time payment was made, should have been disqualified pursuant to subdivision (e) of this section. If a recipient is required to repay any payment or payments to the corporation, the following provisions shall apply:
(1) Interest shall begin to accrue on the day such payment was made on behalf of the recipient. In the event the recipient notifies the corporation of a change in residence within 30 days of such change, interest shall begin to accrue on the day such recipient was no longer a New York State resident.
(2) The interest rate shall be fixed and equal to the rate established in section 18 of the New York State Finance Law.
(3) Repayment must be made within five years.
(4) Where a recipient has demonstrated extreme hardship as a result of a disability, labor market conditions, or other such circumstances, the corporation may, in its discretion, waive or defer payment, extend the repayment period, or take such other appropriate action.
8 CRR-NY 2201.15
Current through July 31, 2021
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IMPORTANT NOTE REGARDING CONTENT CURRENCY: The "Current through" date indicated immediately above is the date of the most recently produced official NYCRR supplement covering this rule section. For later updates to this section, if any, please: consult editions of the NYS Register published after this date; or contact the NYS Department of State Division of Administrative Rules at [email protected]. See Help for additional information on the currency of this unofficial version of NYS Rules.