HB 69 — LOAN FORGIVENESS MULTIPLIER ACT

HOUSE BILL 69 57 TH LEGISLATUR- STATE OF NEW MEXICO - FIRST SESSIO, 2025 INTRODUCED BY Joy Garratt and Leo Jaramillo 6 8 10 AN ACT RELATING TO HIGHER EDUCATION;

PROVIDING FOR THE DISSEMINATION e t 17 OF PUBLIC SERVICE LOAN FORGIVENESS INFORMATION.

w l n d 18 = = 19 a l BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

i a e r 20 SECTION 1.

A new section of Chapter 21 NMSA 1978 is a t m m 21 enacted to read:

d"SHORT r e 22 "[NEW MATERIAL] SHORT TITLE.--This act may be cited as the c e s k 23 "Public Service Loan Forgiveness Multiplier Act"." e a n b 24 SECTION 2.

A new section of Chapter 21 NMSA 1978 is u [ enacted to read:

.229363.1"DEFINITIONS.--As "[NEW MATERIAL] DEFINITIONS.--As used in the Public Service Loan Forgiveness Multiplier Act:

"employee" means someone who works for a public service employer, regardless of whether the public service HB 69 Page 1 employer considers that work to be full-time or part-time, contingent or contracted, or who receives a form W-2 from the employer;

(1) working at least an average of thirty hours per week or working at least an average of thirty hours per week throughout a contractual or employment period of at e t 17 least eight months in a twelve-month period;

or w l n d 18 (2) an hourly standard adopted by the United = = 19 a l States department of education;

i a e r 20 D.

"public service employer" means a post-secondarypost- asecondary t m m 21 educational institution in the state that is designated as a d r e 22 qualifying employer under the federal public service loan c e s k 23 forgiveness program by the United States department of e a n b 24 education;

u [ E.

"public service loan forgiveness form" means the .229363.1 - 2 - form used by the United States department of education to certify an individual's employment at a public service organization and is used to determine eligibility for the purposes of the public service loan forgiveness program;

"[NEWHB MATERIAL]69 CERTIFICATIONPage 2 "CERTIFICATION OF EMPLOYMENT--HOUR MULTIPLIER--DETERMINATIONMULTIPLIER-- DETERMINATION OF FULL-TIME EMPLOYMENT.-- A.

For the purposes of certifying employment for the public service loan forgiveness program for employees who are former or current adjunct professors or contingent faculty at a post-secondary educational institution, a public service employer shall credit at least four and thirty-five hundredths e t 17 hours worked for each hour of credit or classroom contact time, w l n d 18 regardless of when the hours are worked, including hours worked = = 19 a l on or after October 1, 2007.

The provisions of this subsection i a e r 20 shall not supersede any greater adjustment factor established a t m m 21 by a collective bargaining agreement or employer policy in d r e 22 recognition of additional work associated with lecture or c e s k 23 classroom time for the purpose of the public service loan e a n b 24 forgiveness program and shall have no other applicability for u [ public service employers and employees.

.229363.1 - 3 - B.

HB 69 Page 3 (1) consider as full-time, as necessary, any employee who satisfies the definition of "full-time" pursuant to Subsection C of Section 2 of the Public Service Loan Forgiveness Multiplier Act;

and (2) treat as a continuous employment period any consecutive academic terms for which an employee teaches, regardless of whether such hours are taught pursuant to separate employment contracts and regardless of whether such e t 17 academic terms are separated by routine academic vacation, but w l n d 18 only to the extent that doing so maximizes the amount of time = = 19 a l for which an employee's employment can be considered full-time.

i a e r 20 D.

A public service employer shall adopt a policy a t m m 21 of maximizing the amount of time for which an employee's d r e 22 employment can be considered full-time.

Nothing in this c e s k 23 section shall require a public service employee to increase the e a n b 24 number of contracted hours for which the employee is paid.

u [ E.

Notwithstanding the provisions of this section, .229363.1 - 4 - should the United States department of education promulgate rules related to the calculation of hours worked for the purposes of certifying employment for the public service loan forgiveness program that are more favorable to employees than those requirements provided herein, those rules shall govern." HB 69 Page 4 SECTION 4.

"[NEW"EMPLOYMENT MATERIAL] EMPLOYMENT CERTIFICATION--PUBLIC SERVICE LOAN FORGIVENESS FORM--CALCULATION OF TIME WORKED.-- A.

In the event that the United States department of education permits public service employers to certify employment for past or present individual employees or groups of employees directly with the United States department of education or its agents, notwithstanding any other provision of law, a public service employer shall be permitted to send to the United States department of education or its agents the e t 17 information necessary for employment certification.

w l n d 18 B.

Subject to the provisions of this section, a = = 19 a l public service employer shall certify the employment of:

i a e r 20 (1) any former or current employee who a t m m 21 requests that the public service employer complete a public d r e 22 service loan forgiveness form;

and c e s k 23 (2) any employee who is ending work with the e a n b 24 public service employer.

u [ C.

The public service employer shall certify the .229363.1 - 5 - period of employment requested by the former or current employee or, if no period is specified, shall certify a former or current employee’s entire period of employment.

Post-secondary educational institutions shall use the calculation established in Section 3 of the Public HB 69 Page 5 Service Loan Forgiveness Multiplier Act and may apply it to hours worked beginning October 1, 2007, only for the purpose of determining whether a part-time employee is considered full-full-time time for the public service loan forgiveness program.

e"HIGHER t 17 "[NEW MATERIAL] HIGHER EDUCATION DEPARTMENT DUTIES--PUBLIC w l n d 18 SERVICE EMPLOYER DUTIES--DISSEMINATION OF LOAN FORGIVENESS = = 19 a l INFORMATION.-- i a e r 20 A.

The secretary of higher education or the a t m m 21 secretary's designee shall develop and update, as necessary, d r e 22 materials designed to promote and increase awareness of the c e s k 23 public service loan forgiveness program.

The secretary or the e a n b 24 secretary's designee may use materials developed by other state u [ agencies or by the United States department of education, as .229363.1 - 6 - appropriate.

(1) a standardized letter for public service employers to distribute to employees that briefly summarizes the public service loan forgiveness program, provides information about what eligible employees are required to do HB 69 Page 6 to benefit from the program and recommends that eligible employees contact their student loan service for additional resources;

The secretary of higher education shall coordinate with other state agencies and offices, as necessary, e t 17 to make the materials available to public service employers.