[Second Reprint]

ASSEMBLY, No. 1897

STATE OF NEW JERSEY

INTRODUCED MAY 6, 1996

By Assemblymen KAVANAUGH, MORAN and Assemblywoman Heck

An Act suspending certain ¹[professional]¹ licenses ¹,registrations and certifications¹ for failure to repay student loans and supplementing ¹[chapters 6 and 9 of Title 45 of the Revised Statutes and P.L.1989, c.153 (C.45:9-41.17 et seq.)] P.L.1978, c.73 (C.45:1-14 et seq.) and Title 2A of the New Jersey Statutes¹.

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

    ¹[1. The State Board of Medical Examiners shall suspend, after a hearing, the license to practice medicine and surgery of any person who has been certified by a lending institution and reported to the board for nonpayment or default of a State or federally guaranteed educational loan. The person's license shall not be reissued until the person provides the board a written release issued by the lending institution stating that the person is making payments on the loan in accordance with a repayment agreement approved by the lending institution. If the person has continued to meet all other requirements for licensure during the suspension, reinstatement shall be automatic upon receipt of the notice and payment of any reinstatement fee the board may impose.]¹

    ¹[2. The State Board of Chiropractic Examiners shall suspend, after a hearing, the license to practice chiropractic of any person who has been certified by a lending institution and reported to the board for nonpayment or default of a State or federally guaranteed educational loan. The person's license shall not be reissued until the person provides the board a written release issued by the lending institution stating that the person is making payments on the loan in accordance with a repayment agreement approved by the lending institution. If the person has continued to meet all other requirements for licensure during the suspension, reinstatement shall be automatic upon receipt of the notice and payment of any reinstatement fee the board may impose.]¹

    ¹[3. The New Jersey State Board of Dentistry shall suspend, after a hearing, the license to practice dentistry of any person who has been certified by a lending institution and reported to the board for nonpayment or default of a State or federally guaranteed educational loan. The person's license shall not be reissued until the person provides the board a written release issued by the lending institution stating that the person is making payments on the loan in accordance with a repayment agreement approved by the lending institution. If the person has continued to meet all other requirements for licensure during the suspension, reinstatement shall be automatic upon receipt of the notice and payment of any reinstatement fee the board may impose.]¹

    ¹1. The director or a board, as appropriate, shall suspend, after a hearing, the license, registration or certification of any person who has been certified by a ²[lending institution] lender or guarantor² and reported to the director or the board, as the case may be, for nonpayment or default of a State or ²[federally] federal direct or² guaranteed educational loan. The license, registration or certification shall not be reissued until the person provides the director or board with a written release issued by the ²[lending institution] lender or guarantor² the person is making payments on the loan in accordance with a repayment agreement approved by the ²[lending institution] lender or guarantor². If the person has continued to meet all other requirements for licensure, registration or certification during the suspension, reinstatement shall be automatic upon receipt of the notice and payment of any reinstatement fee the director or the board may impose.¹

    ¹2. If the Supreme Court of the State of New Jersey issues Rules of Court pursuant to this act, the Supreme Court may suspend, after a hearing, the license to practice law of any attorney who has been certified by a ²[lending institution] lender or guarantor² and reported to the Supreme Court for nonpayment or default of a State or ²[federally] federal direct or² guaranteed educational loan. The license may not be reissued until the person provides the Supreme Court with a written release issued by the ²[lending institution] lender or guarantor² stating that the person is making payments on the loan in accordance with a repayment agreement approved by the ²[lending institution] lender or guarantor². If the person has continued to meet all other requirements for licensure during a suspension, reinstatement may be automatic upon receipt of the notice and payment of any reinstatement fee the Supreme Court may impose.¹

    ¹[4.] 3.¹ This act shall take effect on the 60th day after enactment.

Provides for suspension of certain licenses for failure to repay student loans.