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SB2833
THE SENATE
S.B. NO.
2833
THIRTY-THIRD LEGISLATURE, 2026
STATE OF HAWAII
A BILL FOR AN ACT
relating
to educator student loan repayment
.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
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SECTION 1.
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The legislature finds that the State faces a
significant and persistent shortage of qualified public school educators.
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This shortage undermines the quality of
education for children in Hawaii and places immense strain on the public
education system.
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The high cost of
living in the State, combined with the substantial burden of student loan debt
carried by many educators, makes it difficult to recruit and retain highly
effective professionals in the State's public schools.
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The legislature further finds that
state-funded student loan repayment programs have proven to be an effective
tool for workforce recruitment and retention in other critical sectors. The
Hawaii healthcare education loan repayment program has been successful in
addressing healthcare professional shortages across the State by mitigating the
financial burden of educational debt.
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The purpose of this Act is to
attract new educators while retaining those with experience in the State's department
and charter schools by establishing an educator student loan repayment program.
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This Act will provide meaningful student
loan relief at key service milestones and will incentivize long-term commitment
to the teaching profession in Hawaii, thereby enhancing educational stability
and quality for all students.
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SECTION 2.
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Chapter 302A, Hawaii Revised Statutes, is
amended by adding a new section to part III, subpart C, to be appropriately
designated and to read as follows:
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"
�302A-
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Educator
student loan repayment program; established
.
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(a)
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There is established the educator student loan repayment program to be
administered by the department, in consultation with the commission.
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The program shall provide for the repayment
of qualified student loans for educators who meet the criteria established in
this section.
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(b) To be eligible for the educator student
loan repayment program, an applicant shall:
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(1)
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Be a licensed
educator employed full-time in a public school in the State; and
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(2)
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Hold
outstanding qualified student loans.
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(c)
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The educator student loan repayment program
shall provide loan repayments on behalf of a qualified educator as follows:
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(1)
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A first
disbursement of up to $20,000 upon the completion of five consecutive years of
full-time service in any public school in the State; and
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(2)
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A second
disbursement of up to $25,000 upon the completion of two additional consecutive
years of full-time service in any public school in the State, for a total of
seven consecutive years.
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(d)
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An educator receiving loan repayment under the
educator student loan repayment program shall not be eligible to receive
duplicative benefits from another state-funded education loan repayment program
for the same service period.
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(e)
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If an educator fails to complete the service
commitment required for a disbursement pursuant to subsection (c), the educator
shall not be eligible for that disbursement.
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(f) The department, in
collaboration with the commission, shall adopt rules pursuant to chapter 91 to
establish procedures for the application, verification of service, and
disbursement of funds under the educator student loan repayment program.
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The rules shall also establish conditions
under which a service commitment may be suspended, deferred, or considered
fulfilled in cases of death, permanent disability, or other extreme hardship.
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The rules may establish priority for
applicants based on service in hard-to-fill positions or schools.
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(g) As used in this section:
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"Educator" means a
teacher, counselor, or librarian who holds a valid license from the Hawaii
teacher standards board and is employed full-time in a public school.
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"Qualified student
loan" means a government or commercial loan for the actual costs paid for
tuition and other expenses for an undergraduate or postgraduate course of study
leading to a degree from an accredited educational institution that qualifies
the borrower to be a licensed educator.
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SECTION 3.
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There is
appropriated out of the general revenues of the State of Hawaii the sum of
$ or so much
thereof as may be necessary for fiscal year 2026-2027 for the establishment and
implementation of the educator student loan repayment program pursuant to
section 302A- , Hawaii Revised Statutes.
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The sum appropriated shall be expended by
the department of education for the purposes of this Act.
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SECTION 4.
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New statutory material is underscored.
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SECTION 5.
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This Act shall take effect on July 1, 2026.
INTRODUCED BY:
_____________________________
Report Title:
Department
of Education; Charter Schools; Educator Student Loan Repayment Program;
Appropriation
Description:
Establishes
the Educator Student Loan Repayment Program to provide for the repayment of
qualified student loans for certain educators in the State.
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Appropriates funds.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.