§297o. Eligible individual student loan repayment

42 U.S.C. § 297o

(a)

In general— The Secretary, acting through the Administrator of the Health Resources and Services Administration, may enter into an agreement with eligible individuals for the repayment of education loans, in accordance with this section, to increase the number of qualified nursing faculty.

(b)

Agreements— Each agreement entered into under this subsection shall require that the eligible individual shall serve as a full-time member of the faculty of an accredited school of nursing, for a total period, in the aggregate, of at least 4 years during the 6-year period beginning on the later of—

(1)

the date on which the individual receives a master’s or doctorate nursing degree from an accredited school of nursing; or

(2)

the date on which the individual enters into an agreement under this subsection.

(c)

Agreement provisions— Agreements entered into pursuant to subsection (b) shall be entered into on such terms and conditions as the Secretary may determine, except that—

(1)

not more than 10 months after the date on which the 6-year period described under subsection (b) begins, but in no case before the individual starts as a full-time member of the faculty of an accredited school of nursing¹ the Secretary shall begin making payments, for and on behalf of that individual, on the outstanding principal of, and interest on, any loan of that individual obtained to pay for such degree;

(2)

for an individual who has completed a master’s in nursing or equivalent degree in nursing—

(A)

payments may not exceed $10,000 per calendar year; and

(B)

total payments may not exceed $40,000 during the 2010 and 2011 fiscal years (after fiscal year 2011, such amounts shall be adjusted to provide for a cost-of-attendance increase for the yearly loan rate and the aggregate loan); and

(3)

for an individual who has completed a doctorate or equivalent degree in nursing—

(A)

payments may not exceed $20,000 per calendar year; and

(B)

total payments may not exceed $80,000 during the 2010 and 2011 fiscal years (adjusted for subsequent fiscal years as provided for in the same manner as in paragraph (2)(B)).

(d)

Breach of agreement—

(1)

In general— In the case of any agreement made under subsection (b), the individual is liable to the Federal Government for the total amount paid by the Secretary under such agreement, and for interest on such amount at the maximum legal prevailing rate, if the individual fails to meet the agreement terms required under such subsection.

(2)

Waiver or suspension of liability— In the case of an individual making an agreement for purposes of paragraph (1), the Secretary shall provide for the waiver or suspension of liability under such paragraph if compliance by the individual with the agreement involved is impossible or would involve extreme hardship to the individual or if enforcement of the agreement with respect to the individual would be unconscionable.

(3)

Date certain for recovery— Subject to paragraph (2), any amount that the Federal Government is entitled to recover under paragraph (1) shall be paid to the United States not later than the expiration of the 3-year period beginning on the date the United States becomes so entitled.

(4)

Availability— Amounts recovered under paragraph (1) shall be available to the Secretary for making loan repayments under this section and shall remain available for such purpose until expended.

(e)

Eligible individual defined— For purposes of this section, the term “eligible individual” means an individual who—

(1)

is a United States citizen, national, or lawful permanent resident;

(2)

holds an unencumbered license as a registered nurse; and

(3)

has either already completed a master’s or doctorate nursing program at an accredited school of nursing or is currently enrolled on a full-time or part-time basis in such a program.

(f)

Priority— For the purposes of this section and section 297n–1 of this title, funding priority will be awarded to School of Nursing Student Loans² that support doctoral nursing students or Individual Student Loan Repayment³ that support doctoral nursing students.

Footnotes

1 So in original. Probably should be followed by a comma.
2 So in original. Probably should not be capitalized.
3 So in original. Probably should be “individual student loan repayments”.

Notes, amendments, and revision history

(July 1, 1944, ch. 373, title VIII, § 847, as added Pub. L. 111–148, title V, § 5311(b), Mar. 23, 2010, 124 Stat. 632; amended Pub. L. 116–136, div. A, title III, § 3404(a)(10), Mar. 27, 2020, 134 Stat. 394.)

Editorial Notes

Prior Provisions

A prior section 847 of act July 1, 1944, was classified to section 297n of this title prior to repeal by Pub. L. 102–408.

A prior section 297q, act July 1, 1944, ch. 373, title VIII, § 841, as added Pub. L. 105–392, title I, § 123(5), Nov. 13, 1998, 112 Stat. 3569, was renumbered section 871 of act July 1, 1944, and amended by Pub. L. 111–148, title V, §§ 5310(b)(7), 5312, Mar. 23, 2010, 124 Stat. 631, 633, and transferred to section 298d of this title.

Amendments

2020—Subsec. (g). Pub. L. 116–136 struck out subsec. (g). Text read as follows: “There are authorized to be appropriated to carry out this section such sums as may be necessary for each of fiscal years 2010 through 2014.”