An Act to create 39.396 of the statutes; Relating to: a school psychologist loan program. (FE)
Summary
SB269 creates a new school psychologist loan program administered by the Higher Educational Aids Board (HEAB). The program would provide eligible Wisconsin graduate students enrolled at least half-time in an in-state institution and pursuing a school psychologist career with loans of up to $10,000 per year for up to three years, for a maximum of $30,000. To qualify, students must be Wisconsin residents, maintain at least a 3.0 GPA, and be in a program leading to school psychologist licensure or practice in a school-based setting.
The bill also includes a service-based forgiveness component. For each school year a recipient works full-time as a school psychologist in a public or private elementary or secondary school in an urbanized area or in a school district in a rural county, HEAB must forgive 25 percent of both the loan principal and the interest. Repayments and interest would be deposited into the general fund as general purpose revenue. The bill also directs HEAB to request funding for the program in its 2027-29 biennial budget submission.
Impact
If enacted, SB269 would add s. 39.396 to the Wisconsin statutes and create a new state student loan and forgiveness program targeted at school psychologist workforce development. It would affect HEAB’s duties, establish eligibility and repayment rules for graduate students in school psychology, and create a new state financial aid mechanism tied to employment in public or private schools and rural school districts. The bill also requires HEAB to seek future budget funding for the program, but the bill itself does not appropriate money.
Sentiment
The available record shows limited direct debate, but the bill’s design suggests a generally supportive policy goal: addressing shortages of school psychologists by using state-backed financial incentives. Its introduction by a senator and multiple cosponsors indicates some bipartisan or cross-chamber interest, but there are no committee transcripts or recorded votes in the provided material to show detailed support or opposition. The bill ultimately failed to pass pursuant to Senate Joint Resolution 1.
Contention
The main policy questions likely concern whether the state should subsidize graduate education through loans rather than grants, whether the forgiveness terms are sufficient to attract school psychologists, and whether the geographic definitions and service requirements are targeted appropriately. Potential points of concern could include the fiscal impact on the state, the administrative burden on HEAB, and whether forgiveness should be limited to certain school settings or regions. Because no committee testimony or vote breakdown is provided, specific opponents or supporters cannot be identified from the record.