Student loan repayment for school-based mental health services providers

(a) Establishment of program The Secretary shall establish and carry out a program to provide repayment of student loans made, insured, or guaranteed under parts B, D, and E of title IV of the Higher Education Act of 1965 (20 U.S.C. 1071 et seq., 1087a et seq., and 1087aa et seq.) to individuals who are employed by low-income local educational agencies as school-based mental health services providers. (b) Agreement In carrying out subsection (a), the Secretary shall enter into agreements with individuals to make payments in accordance with this section on the principal of, and interest on, any eligible loan and the individuals agree to complete a 5-year period of consecutive employment by a low-income local educational agency as a school-based mental health services provider and facilitate verification of such employment annually by the Secretary. (c) Eligible individual In order to be eligible under this section, an individual shall— (1) be a recent graduate of an institution of higher education or a mid-career professional newly embarking on a career as a school-based mental health provider; and (2) submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. (d) Eligible loans The loans eligible for repayment under this section include the following: (1) Any Federal Family Education Loan under part B of title IV of the Higher Education Act of 1965 (20 U.S.C. 1071 et seq.). (2) Any Federal Direct Stafford Loan, Federal Direct PLUS Loan, or Federal Direct Unsubsidized Stafford Loan, or Federal Direct Consolidation Loan (as such terms are used in section 455 of the Higher Education Act of 1965 (20 U.S.C. 1087e)). (3) Any Federal Perkins Loan under part E of title IV of the Higher Education Act of 1965 (20 U.S.C. 1087aa et seq.). (4) Any other Federal loan made, insured, or guaranteed under part B, D, or E of title IV of the Higher Education Act of 1965 (20 U.S.C. 1071 et seq., 1087a et seq., and 1087aa et seq.). (e) Payments (1) In general The Secretary shall pay— (A) for each of the first 4 consecutive school years of employment as a school-based mental health services provider by a low-income local educational agency completed, 1⁄5 of the principal of, and interest on, each eligible loan of the individual which is outstanding on the date the individual began such employment; and (B) for the 5th consecutive year of such employment completed, the remainder of such principal and interest. (2) Maximum aggregate The total amount of payments under this section to any individual shall not exceed $200,000 in the aggregate. (3) Limitation The failure by an individual to complete the full period of employment obligated pursuant to an agreement under subsection (b), taken alone, shall not constitute a breach of the agreement, so long as the individual completed in good faith any year or years of employment for which payments were made to the individual under paragraph (1). An individual who fails to complete the full period of employment obligated pursuant to an agreement under subsection (b) shall not be asked or required to pay back a payment received under such paragraph solely due to such failure. (f) Additional eligibility provisions (1) Continued eligibility Any individual who is employed by a local educational agency that meets the requirements of section 2(6) in the 1st year of the 5-year period of consecutive employment required under this section, but in a subsequent year fails to meet such requirements, may continue employment by such local educational agency and shall be eligible for loan repayment under this section. (2) Double benefits A borrower may, for the same employment, receive a benefit under both this section and the public service loan forgiveness program under section 455(m) of the Higher Education Act of 1965 (20 U.S.C. 1087e(m)). Each year of receipt of a benefit under this section shall be considered 12 months of payments for the purposes of such public service loan forgiveness program. (3) Reconsideration In any case where the Secretary has determined that a recipient of assistance under this section has failed or refused to comply with the employment obligation in the agreement under subsection (b), the recipient may request that the Secretary reconsider such initial determination and may submit additional information to demonstrate satisfaction of the employment obligation. Upon receipt of such a request, the Secretary shall reconsider the determination in accordance with this paragraph not later than 90 days after the date that such request was received. (g) Directory The Secretary shall maintain a directory that lists the local educational agencies that meet the requirements of section 2(6). (h) Authorization of appropriations There are authorized to be appropriated to the Secretary such sums as may be necessary to carry out the program under this section.