Illinois Teachers and Child Care Providers Loan Repayment Program
CSFA Number: 691-00-1385
Agency Name
Illinois Student Assistance Commission (691)
Agency Identification
0005
Agency Contact
Scott taylor
217-782-0503
scott.taylor@illinois.gov
Short Description
The Illinois Teachers and Child Care Providers Loan Repayment Program encourages academically talented Illinois students to enter into and continue teaching in Illinois schools in low-income areas and to enter the early child care profession and serve low-income areas in Illinois.
Subject Area
Education
Program Function
Education
Enabling Legislation
110 ILCS 947/65.56 and 20(f)
Objectives and Goals
This program encourages academically talented Illinois students to enter into and continue teaching in Illinois schools in low-income areas and to enter the early child care profession and serve low-income areas in Illinois.
Types of Assistance
Direct Payments for Specific Use
Uses and Restrictions
This program helps teachers who have served in low-income schools to repay their student loans. Through the Illinois Teacher and Child Care Provider Loan Repayment Program, teachers who qualify for the federal Stafford Loan Cancellation for Teachers Program by teaching in an Illinois low-income school can receive an additional grant from Illinois, equal to the amount forgiven by the federal government, of up to $5,000. (The total cannot exceed the amount of the teacher's outstanding loans.)
Eligibility Requirements
A qualified applicant shall be:
a) a United States citizen or eligible noncitizen;
b) a resident of Illinois;
c) a borrower who has had an amount of his or her educational loans forgiven pursuant to Section 428J or 428K of the Higher Education Act of 1965, as amended (HEA); and
d) a borrower who has fulfilled the obligations set forth in Section 428J or 428K of the HEA in Illinois. [110 ILCS 947/65.56]
Eligible Applicants
Individuals;
Application and Award Processing
a) An applicant must complete and file an ISAC application for a Teacher Loan Repayment grant or Child Care Provider Loan Repayment grant and include documentation that he or she has had an educational loan forgiven under Section 428J or 428K of the HEA, and qualified for that loan forgiveness by virtue of service performed in Illinois.
b) An applicant must apply for a grant under this Part within six months after receiving notification of loan forgiveness pursuant to Section 428J or 428K of the HEA.
c) The amount repaid will be based on the borrower’s outstanding balance not to exceed $5,000.
d) Proceeds will be remitted directly to the holder of the loans to be repaid when the beneficiary designates ISAC as his or her disbursing agent for this purpose. Otherwise, the recipient is responsible for paying the holder.
e) The borrower may reapply each year that he or she receives a portion of his or her loans forgiven under Section 428K of the HEA, but no more than a total of $5,000 may be awarded to an individual borrower.
f) The total number of grants awarded in a given fiscal year is contingent upon available funding.
g) If funding is insufficient to pay all eligible applicants, awarding will be based on the date the complete application, with all required documentation, is received in ISAC's Deerfield office.
Regulations, Guidelines, Literature
The Teacher's Loan Repayment Program is exempt from the Uniform Guidance (2 CFR 200) and the Grant Accountability and Transparency Act (30 ILCS 708) because loans are repaid on behalf of an individual beneficiary.
Funding By Fiscal Year
FY 2015 : $488,800
FY 2017 : $485,000
FY 2018 : $439,900
FY 2019 : $439,900
FY 2020 : $439,900
Federal Funding
None
Notice of Funding Opportunities
None
None