As Introduced

127th General Assembly
Regular Session
2007-2008
H. B. No. 34


Representative Wolpert 

Cosponsors: Representatives Stewart, J., Uecker, Gibbs, Seitz, Fende, Combs, Collier, Stebelton 



A BILL
To amend sections 184.02 and 3345.32 and to enact 1
sections 184.30, 184.31, 184.32, 184.33, 184.34, 2
and 184.35 of the Revised Code to establish the 3
Third Frontier Pilot Forgivable Loan Program for 4
graduate students.5


BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

       Section 1. That sections 184.02 and 3345.32 be amended and 6
sections 184.30, 184.31, 184.32, 184.33, 184.34, and 184.35 of the 7
Revised Code be enacted to read as follows:8

       Sec. 184.02.  (A) In addition to the powers and duties under 9
sections 184.10 to 184.20 of the Revised Code, the third frontier 10
commission may perform any act to ensure the performance of any 11
function necessary or appropriate to carry out the purposes of, 12
and exercise the powers granted under, sections 184.01 and 184.02 13
of the Revised Codethis chapter. In addition, the commission may 14
do any of the following:15

       (1) Adopt, amend, and rescind rules under section 111.15 of16
the Revised Code for the administration of any aspect of its17
operations;18

       (2) Adopt bylaws governing its operations, including bylaws19
that establish procedures and set policies as may be necessary to20
assist with the furtherance of its purposes;21

       (3) Appoint and set the compensation of employees needed to22
carry out its duties;23

       (4) Contract with, retain the services of, or designate, and24
fix the compensation of, such financial consultants, accountants,25
other consultants and advisors, and other independent contractors26
as may be necessary or desirable to carry out its duties;27

       (5) Solicit input and comments from the third frontier28
advisory board, and specialized industry, professional, and other29
relevant interest groups concerning its purposes;30

       (6) Facilitate alignment of the state's science and31
technology programs and activities;32

       (7) Make grants and loans to individuals, public agencies,33
private companies or organizations, or joint ventures for any of34
the broad range of activities related to its purposes.35

       (B) In addition to the powers and duties under sections 36
184.10 to 184.20 of the Revised Code, the commission shall do all 37
of the following:38

       (1) Establish a competitive process for the award of grants39
and loans that is designed to fund the most meritorious proposals40
and, when appropriate, provide for peer review of proposals;41

       (2) Within ninety days after the end of each fiscal year,42
submit to the governor and the general assembly a report of the43
activities of the commission during the preceding fiscal year;44

       (3) With specific application to the biomedical research and45
technology transfer trust fund, periodically make strategic46
assessments of the types of state investments in biomedical47
research and biotechnology in the state that would likely create48
jobs and business opportunities in the state and produce the most49
beneficial long-term improvements to the public health of Ohioans, 50
including, but not limited to, biomedical research and51
biotechnology initiatives that address tobacco-related illnesses52
as may be outlined in any master agreement. The commission shall53
award grants and loans from the fund pursuant to a process54
established under division (B)(1) of this section.55

       Sec. 184.30. As used in sections 184.30 to 184.35 of the 56
Revised Code:57

        (A) "Approved field of study" includes a field of study in 58
engineering, chemistry, physics, computer sciences, biomedical 59
technologies, or other field that directly relates to the goals of 60
the third frontier, as determined by the third frontier 61
commission.62

        (B) "Ohio institution of higher education" means both of the 63
following:64

        (1) A state university, as defined in section 3345.011 of the 65
Revised Code;66

        (2) An institution authorized by the Ohio board of regents 67
under Chapter 1713. of the Revised Code to grant master's or 68
doctorate degrees in an approved field of study and that is 69
accredited by the appropriate regional, and when appropriate, 70
professional accrediting associations within whose jurisdiction it 71
falls.72

        (C) "Student" means an individual, of any citizenship status, 73
enrolled at an Ohio institution of higher education in a master's 74
or doctorate degree program in an approved field of study.75

       Sec. 184.31. The third frontier pilot forgivable loan program 76
is hereby established. The purpose of the program is to encourage 77
graduate students to accept employment in Ohio in a career related 78
to the goals of the third frontier after receipt of a master's or 79
doctorate degree in approved fields of study. Under the program, a 80
maximum of five hundred loans may be awarded in an academic year 81
to students pursuing master's or doctorate degrees in approved 82
fields of study. Each loan shall be in an amount of eight thousand 83
dollars per year, provided the general assembly appropriates 84
sufficient funds for the program. Loan amounts may be forgiven as 85
provided in section 184.33 of the Revised Code.86

        The program shall be administered by the third frontier 87
commission, in consultation with the third frontier advisory 88
board.89

        Within sixty days after the end of five years of operation of 90
the program, the third frontier commission shall submit a written 91
report to the governor and the general assembly that provides 92
information as to the effectiveness of the program in encouraging 93
students to accept employment in Ohio that directly relates to the 94
goals of the third frontier.95

       Sec. 184.32. (A) In each academic year in which the general 96
assembly appropriates sufficient funds, the third frontier 97
commission shall award a loan of eight thousand dollars to not 98
more than five hundred students, on a competitive basis.99

        To qualify for a loan under this section, a student shall do 100
all of the following:101

       (1) Submit an application to the commission that demonstrates 102
all of the following:103

        (a) Current or acceptance for enrollment in an Ohio 104
institution of higher education on a full-time basis for the 105
purpose of pursuing a master's or doctorate degree in an approved 106
field of study;107

        (b) If currently enrolled, a status of good standing with the 108
Ohio institution of higher education;109

        (c) If currently enrolled, maintenance of a minimum grade 110
point average comparable to a 3.0 on a 4.0 scale.111

        (2) Submit evidence satisfactory to the commission describing 112
how the student's completion of a master's or doctorate degree in 113
an approved field of study can benefit Ohio's economy and the 114
goals of the third frontier. Evidence submitted may include a 115
written essay, letters of recommendation from faculty and business 116
leaders, and academic publications to which the student 117
contributed.118

       (3) Comply with any other application requirements prescribed 119
by the commission in rules adopted under section 184.35 of the 120
Revised Code.121

        (B) Loan proceeds shall be disbursed to the students in equal 122
amounts over an academic year, in a manner determined by rules of 123
the commission.124

        (C) A student who receives a loan in one academic year has 125
priority to receive additional loan amounts in subsequent academic 126
years, provided the student continues to satisfy the requirements 127
of division (A) of this section. However, no student may receive a 128
loan for more than five academic years.129

        (D) All applications for loans through this program shall be 130
submitted to the third frontier commission by the fifteenth day of 131
March preceding the academic year for which a loan is sought. 132
Applications shall be submitted in the form and manner prescribed 133
in rules adopted by the commission under section 184.35 of the 134
Revised Code, and shall be accompanied by any additional materials 135
required by the rules.136

       Sec. 184.33. (A) Repayment of any loan amounts awarded under 137
section 184.32 of the Revised Code shall be deferred during the 138
following periods:139

        (1) While a student continues to satisfy the requirements 140
specified in divisions (A)(1)(a) to (c) of section 184.32 of the 141
Revised Code;142

        (2) For six months following the student's completion of a 143
master's or doctorate degree from an Ohio institution of higher 144
education in an approved field of study;145

        (3) During a period of demonstrated financial hardship, as 146
determined by rules adopted by the third frontier commission.147

        (B) The third frontier commission shall not require a loan 148
recipient to make repayments on a loan awarded under section 149
184.32 of the Revised Code and shall forgive amounts of such a 150
loan under division (C) of this section if the recipient provides 151
to the commission's satisfaction evidence of all of the following:152

        (1) The recipient has been awarded a master's or doctorate 153
degree from an Ohio institution of higher education in an approved 154
field of study.155

        (2) Within six months of the award of a master's or doctorate 156
degree from an Ohio institution of higher education in an approved 157
field of study, the recipient has either:158

        (a) Accepted employment in Ohio with an Ohio entity engaging 159
the recipient in a position directly related to the goals of the 160
third frontier, as determined by the third frontier commission. 161
Acceptable employment may include employment on the faculty of an 162
Ohio institution of higher education, with a private Ohio company 163
receiving funds from the third frontier commission, or with the 164
state of Ohio, provided the position directly relates to the goals 165
of the third frontier, as determined by the commission. To qualify 166
as acceptable employment, a position need not directly relate to 167
the recipient's approved field of study, so long as the position 168
relates to the goals of the third frontier, as determined by the 169
commission.170

        (b) Started a business in Ohio that directly relates to the 171
goals of the third frontier, as determined by the commission.172

        (3) The recipient continues to remain employed in a position 173
in Ohio that directly relates to the goals of the third frontier, 174
as determined by the commission, while an outstanding loan balance 175
exists.176

        (4) The recipient is a resident of Ohio for purposes of Title 177
LVII of the Revised Code.178

        (C) If a recipient reports to the commission's satisfaction 179
that the recipient fulfills all of the requirements of division 180
(B) of this section, the commission shall forgive one thousand 181
dollars of loan amounts awarded under section 184.32 of the 182
Revised Code ninety-one days after the date of first employment 183
and one thousand dollars every ninety-one days thereafter, for as 184
long as the recipient fulfills all requirements of that division, 185
until the student no longer has any outstanding loan amounts.186

        (D) A recipient who does not qualify or ceases to qualify for 187
a deferment of loan repayment or loan forgiveness under this 188
section shall repay any outstanding loan amounts awarded under 189
section 184.32 of the Revised Code to the third frontier 190
commission in monthly payments, at an annual interest rate of six 191
per cent compounded daily from the date loan amounts are 192
disbursed. The maximum repayment schedule shall be for a period of 193
five years.194

        (E) If a recipient who qualifies for loan forgiveness under 195
divisions (B) and (C) of this section becomes unemployed, the 196
recipient has ninety days from the date of unemployment to accept 197
employment that meets the requirements of division (B)(2)(a) or 198
(b) of this section to maintain eligibility for loan deferment and 199
forgiveness. If the recipient fails to accept such employment 200
within the ninety days, the student shall repay any outstanding 201
loan amounts as provided in division (D) of this section.202

       Sec. 184.34. The third frontier commission may accept gifts 203
of money from any source for the implementation and administration 204
of the third frontier pilot forgivable loan program under sections 205
184.30 to 184.35 of the Revised Code.206

        The commission shall pay all gifts and all loan repayments 207
into the state treasury, to the credit of the third frontier 208
forgivable loan fund, which is hereby created. The commission 209
shall use money in the fund to implement and administer sections 210
184.30 to 184.33 of the Revised Code.211

       Sec. 184.35. The third frontier commission shall adopt rules 212
to implement the third frontier pilot forgivable loan program 213
under sections 184.30 to 184.33 of the Revised Code. The rules 214
shall include provisions regarding the application procedure, 215
disbursement schedules of loan proceeds, loan repayment provisions 216
if a loan recipient is not eligible for loan forgiveness under 217
section 184.34 of the Revised Code, deferment of loan repayment 218
provisions for a recipient with demonstrated financial hardship, 219
reporting requirements in order to qualify for loan deferment or 220
forgiveness, and any other rules the commission considers 221
necessary for implementation and administration of the program.222

       Sec. 3345.32.  (A) As used in this section:223

       (1) "State university or college" means the institutions224
described in section 3345.27 of the Revised Code and the225
northeastern Ohio universities college of medicine.226

       (2) "Resident" has the meaning specified by rule of the Ohio 227
board of regents.228

       (3) "Statement of selective service status" means a statement 229
certifying one of the following:230

       (a) That the individual filing the statement has registered 231
with the selective service system in accordance with the "Military 232
Selective Service Act," 62 Stat. 604, 50 U.S.C. App. 453, as 233
amended;234

       (b) That the individual filing the statement is not required 235
to register with the selective service for one of the following 236
reasons:237

       (i) The individual is under eighteen or over twenty-six years 238
of age.239

       (ii) The individual is on active duty with the armed forces240
of the United States other than for training in a reserve or 241
national guard unit.242

       (iii) The individual is a nonimmigrant alien lawfully in the243
United States in accordance with section 101 (a)(15) of the244
"Immigration and Nationality Act," 8 U.S.C. 1101, as amended.245

       (iv) The individual is not a citizen of the United States and 246
is a permanent resident of the Trust Territory of the Pacific 247
Islands or the Northern Mariana Islands.248

       (4) "Institution of higher education" means any eligible249
institution approved by the United States department of education 250
pursuant to the "Higher Education Act of 1965," 79 Stat. 1219, as 251
amended, or any institution whose students are eligible for 252
financial assistance under any of the programs described by 253
division (E) of this section.254

       (B) The Ohio board of regents shall, by rule, specify the255
form of statements of selective service status to be filed in256
compliance with divisions (C) to (F)(E) of this section. Each257
statement of selective service status shall contain a section258
wherein a male student born after December 31, 1959, certifies259
that the student has registered with the selective service system 260
in accordance with the "Military Selective Service Act," 62 Stat.261
604, 50 U.S.C. App. 453, as amended. For those students not 262
required to register with the selective service, as specified in 263
divisions (A)(2)(b)(i) to (iv) of this section, a section shall be 264
provided on the statement of selective service status for the 265
certification of nonregistration and for an explanation of the 266
reason for the exemption. The board of regents may require that 267
such statements be accompanied by documentation specified by rule 268
of the board.269

       (C) A state university or college that enrolls in any course, 270
class, or program a male student born after December 31, 1959, who 271
has not filed a statement of selective service status with the 272
university or college shall, regardless of the student's273
residency, charge the student any tuition surcharge charged274
students who are not residents of this state.275

       (D) No male born after December 31, 1959, shall be eligible 276
to receive any loan, grant, scholarship, or other financial 277
assistance for educational expenses under section 184.32, 3315.33, 278
3333.12, 3333.122, 3333.21, 3333.22, 3333.26, 3333.27, 5910.03,279
5910.032, or 5919.34 of the Revised Code unless that person has 280
filed a statement of selective service status with that person's 281
institution of higher education.282

       (E) If an institution of higher education receives a283
statement from an individual certifying that the individual has 284
registered with the selective service system in accordance with 285
the "Military Selective Service Act," 62 Stat. 604, 50 U.S.C. App.286
453, as amended or that the individual is exempt from registration 287
for a reason other than that the individual is under eighteen 288
years of age, the institution shall not require the individual to 289
file any further statements. If it receives a statement certifying 290
that the individual is not required to register because the 291
individual is under eighteen years of age, the institution shall 292
require the individual to file a new statement of selective 293
service status each time the individual seeks to enroll for a new 294
academic term or makes application for a new loan or loan 295
guarantee or for any form of financial assistance for educational 296
expenses, until it receives a statement certifying that the 297
individual has registered with the selective service system or is 298
exempt from registration for a reason other than that the 299
individual is under eighteen years of age.300

       Section 2. That existing sections 184.02 and 3345.32 of the 301
Revised Code are hereby repealed.302