Section 1. Short title

This Act may be cited as the Preparing for the Future Act.

Sec. 2. Grant program for school psychologists

Part D of title V of the Public Health Service Act (42 U.S.C. 290dd et seq.) is amended by adding at the end the following:

554. Grant program for school psychologists

(a) Program established

(1) Program authority

Subject to the availability of appropriations under subsection (c), the Assistant Secretary shall pay to each eligible institution such sums as may be necessary to pay to each eligible recipient who files an application and agreement in accordance with subsection (b) a grant for school psychology in the amount of $8,000 for each year during which such eligible recipient is within the period of eligibility under paragraph (4) at such eligible institution.

(2) Payment methodology

(A) Prepayment

Not less than 85 percent of any funds provided to an eligible institution under paragraph (1) shall be advanced to such eligible institution prior to the start of each payment period (as such period is determined by the Assistant Secretary) and shall be based upon an amount requested by such institution as needed to pay eligible recipients who receive grants under this section, until such time as the Assistant Secretary determines and publishes in the Federal Register (with an opportunity for comment) an alternative payment system that provides payments to such institutions in an accurate and timely manner, except that this sentence shall not be construed to limit the authority of the Assistant Secretary to place an institution on a reimbursement system of payment.

(B) Direct payment

Nothing in this subsection shall be interpreted to prohibit the Assistant Secretary from paying directly to an eligible recipient, in advance of the beginning of the academic term, an amount for which such eligible recipient is eligible, in cases in which an eligible institution fails to implement subparagraph (A).

(C) Distribution of grants to eligible recipients

Payments under this section shall be made, in accordance with regulations promulgated by the Assistant Secretary for such purpose, in such manner as will best accomplish the purposes of this section. Any payment allowed to be made by crediting the account of an eligible recipient shall be limited to tuition and fees and, in the case of housing owned by an eligible institution, room and board.

(3) Reductions in amount

(A) Part-time students

In any case in which an eligible recipient attends an eligible institution on less than a full-time basis (including an eligible recipient who attends an eligible institution on less than a half-time basis) during any year, the amount of a grant under this section for which such eligible recipient is eligible shall be reduced in proportion to the degree to which such eligible recipient is not attending on a full-time basis, in accordance with a schedule of reductions established by the Assistant Secretary for the purposes of this section, computed in accordance with this section. Such schedule of reductions shall be established by regulation and published in the Federal Register.

(B) No exceeding cost

The amount of a grant awarded under this section, in combination with Federal assistance and other assistance an eligible recipient who is a student may receive, shall not exceed the cost of attendance (as defined in section 472 of the Higher Education Act of 1965) of the eligible institution at which such eligible recipient is in attendance.

(4) Period of eligibility for grants

(A) Undergraduate and post-baccalaureate students

The period during which an eligible recipient who is an undergraduate or post-baccalaureate student may receive a grant under this section shall be the period after such eligible recipient has completed half of the required credit hours for a first undergraduate baccalaureate or post-baccalaureate course of study being pursued by such eligible recipient at an eligible institution at which such eligible recipient is in attendance, except that the total amount that an eligible recipient may receive under this section for undergraduate or post-baccalaureate study shall not exceed $16,000.

(B) Graduate students

The period during which an eligible recipient who is a graduate student may receive grants under this section shall be the first and second year of a graduate or professional degree program in school psychology that is pursued by such eligible recipient at an eligible institution at which such eligible recipient is in attendance, except that the total amount that an eligible recipient may receive under this section for graduate study shall not exceed $16,000.

(C) Remedial course; study abroad

Nothing in this subsection shall be construed to exclude from eligibility courses of study which are noncredit or remedial in nature (including courses in English language acquisition) which are determined by the eligible institution at which an eligible recipient is in attendance to be necessary to help such eligible recipient be prepared for the pursuit of a first undergraduate baccalaureate or post-baccalaureate degree or certificate or, in the case of courses in English language instruction, to be necessary to enable such eligible recipient to utilize already existing knowledge, training, or skills. Nothing in this subsection shall be construed to exclude from eligibility programs of study abroad that are approved for credit by the home institution at which an eligible recipient is enrolled.

(b) Applications; eligibility

(1) Applications; demonstration of eligibility

(A) Filing required

The Assistant Secretary shall periodically set dates by which an applicant shall file an application for a grant under this section. Each applicant desiring a grant under this section for any year shall file an application containing such information and assurances as the Assistant Secretary may determine necessary to enable the Assistant Secretary to carry out the functions and responsibilities of this section.

(B) Demonstration of eligibility

Each application submitted under subparagraph (A) shall contain such information as is necessary to demonstrate that—

(i)

if the applicant is an enrolled student—

(I)

such applicant is an eligible student for purposes of section 484 of the Higher Education Act of 1965; and

(II)

such applicant—

(aa)

has a grade point average that is determined, under standards prescribed by the Assistant Secretary, to be comparable to a 3.25 average on a zero to 4.0 scale, except that, if such applicant is eligible for a grant under this section in the first year of a program of undergraduate education, the grade point average of such applicant shall be determined on the basis of the cumulative secondary school grade point average of such student; or

(bb)

displayed high academic aptitude by receiving a score above the 75th percentile on at least one of the batteries in an undergraduate, post-baccalaureate, or graduate school admissions test; and

(ii)

such applicant has outlined and is carrying out, or plans to carry out, a step-by-step educational plan for how to satisfy any requirements needed to receive a school psychologist credential, if such credential is required, and begin serving as a school psychologist.

(C) Educational plan

The educational plan described in subparagraph (B)(ii) shall include, for an applicant—

(i)

the courses such applicant has enrolled in, or plans to enroll in;

(ii)

the plan of such applicant to satisfy any requirements other than coursework needed to receive a school psychologist credential, if such credential is required, and begin serving as a school psychologist; and

(iii)

a justification for any undergraduate, post-baccalaureate, or graduate or professional degree program related to school psychology that such applicant is enrolled in or plans to enroll in and for which such applicant is receiving or plans to seek a grant under this section, including whether such program is needed to receive a school psychologist credential.

(2) Agreements to serve

Each application under paragraph (1) shall contain or be accompanied by an agreement by the applicant that—

(A)

such applicant will—

(i)

serve as a full-time school psychologist (referred to in this subsection as the service obligation) in a covered school for a total of not less than 4 academic years within 8 years after completing—

(I)

the course of study for which the applicant received a grant under this section; or

(II)

for an applicant who received a grant under this section during both a period described in subsection (a)(4)(A) and a period described in subsection (a)(4)(B), the graduate or professional degree program for which the applicant received a grant under this section; and

(ii)

submit a certification of employment by the chief administrative officer of the covered school in accordance with paragraph (4)(D); and

(iii)

receive a school psychologist credential;

(B)

in the event that such applicant is determined to have failed or refused to carry out such service obligation, the sum of the amounts of any grants received by such applicant under this section will be treated as a loan and collected from such applicant in accordance with paragraph (3) and the regulations thereunder; and

(C)

contains, or is accompanied by, a plain-language disclosure form developed by the Assistant Secretary, in consultation with the Secretary of Education (with respect to loan repayment requirements), that clearly describes the nature of the grant award under this section, the service obligation, and the loan repayment requirements that are the consequence of the failure to complete the service obligation.

(3) Repayment for failure to complete service

(A) In general

In the event that any eligible recipient who receives a grant under this section fails or refuses to comply with the service obligation in the agreement under paragraph (2), the sum of the amounts of any grants received by such recipient under this section shall, upon a determination of such a failure or refusal in such service obligation, be treated as a Federal Direct Unsubsidized Stafford Loan under part D of title IV of the Higher Education Act of 1965, and shall be subject to repayment, together with interest thereon accruing from the date of the grant award, in accordance with terms and conditions specified by the Assistant Secretary, in consultation with the Secretary of Education, in regulations under this section.

(B) Reconsideration of conversion decisions

(i) Request to reconsider

In any case where the Assistant Secretary has determined that an eligible recipient who receives a grant under this section has failed or refused to comply with the service obligation in the agreement under paragraph (2) and has converted, in consultation with the Secretary of Education, the grant into a Federal Direct Unsubsidized Stafford Loan in accordance with subparagraph (A) (including cases in which such loans have been fully or partially paid), such eligible recipient may request that the Assistant Secretary reconsider such initial determination and may submit additional information to demonstrate satisfaction of such service obligation. Upon receipt of such a request, the Assistant Secretary shall reconsider the determination in accordance with this subparagraph not later than 90 days after the date that such request was received.

(ii) Reconsideration

If, in reconsidering an initial determination under clause (i), the Assistant Secretary determines that the reason for such determination was the failure of the eligible recipient who received a grant under this section to timely submit a certification required under paragraph (2)(A)(ii), an error or processing delay by the Assistant Secretary, a change to the covered schools considered eligible for fulfillment of the service obligation, an eligible recipient who received a grant under this section having previously requested to have such grant under this section converted to a loan, or another valid reason determined by the Assistant Secretary, and that such recipient has, as of the date of the reconsideration, demonstrated that such recipient did meet, or is meeting, the service obligation in the agreement under paragraph (2), the Assistant Secretary, in consultation with the Secretary of Education, shall—

(I)

discharge the Federal Direct Unsubsidized Stafford Loan and reinstate the grant under this section to such recipient;

(II)

discharge any interest or fees that may have accumulated during the period that the grant was converted to a Federal Direct Unsubsidized Stafford Loan;

(III)

if such recipient has other loans under part D of title IV of the Higher Education Act of 1965, apply any payments made for the Federal Direct Unsubsidized Stafford Loan during such period to those other loans;

(IV)

if such recipient does not have other loans under such part D, reimburse such recipient for any amounts paid on the Federal Direct Unsubsidized Stafford Loan during such period;

(V)

request that consumer reporting agencies remove any negative item of information from a consumer report due to the conversion of the grant under this section to a loan; and

(VI)

use any additional information provided under clause (i) to determine the progress such recipient has made in meeting the service obligation.

(iii) Extension of time to complete service obligation

In the case of an eligible recipient who receives a grant under this section whose grant under this section was reinstated in accordance with clause (ii), the Assistant Secretary shall, upon such reinstatement—

(I)

extend the time remaining for such recipient to fulfill the service obligation described in paragraph (2)(A) to a period of time equal to—

(aa)

8 years; minus

(bb)

the number of full or partial academic years of service as a school psychologist that such recipient completed prior to the reconversion of the loan to a grant under clause (ii), including any years of qualifying service as a school psychologist completed during the period when the grant under this section was in loan status; and

(II)

treat any full or partial academic years of service as a school psychologist described in subclause (I)(bb) as years that count toward the service obligation of such recipient (regardless of whether the grant funds under this section were in grant or loan status) if such service otherwise meet the requirements of this subsection.

(4) Additional administrative provisions

(A) Extenuating circumstances

The Assistant Secretary shall establish, by regulation, categories of extenuating circumstances under which an eligible recipient who receives a grant under this section who is unable to fulfill all or part of the service obligation of such recipient may be excused from fulfilling that portion of the service obligation.

(B) Communication with recipients

The Assistant Secretary shall notify each eligible recipient who receives a grant under this section not less than once per calendar year regarding how to submit the certification of employment under paragraph (2)(A)(ii) and the recommendations and requirements for submitting such certification under subparagraph (D) of this paragraph.

(C) Covered schools

The Assistant Secretary shall maintain and annually update a list of covered schools and shall make such list publicly available on the website of the Administration in a sortable and searchable format.

(D) Submission of employment certification

(i) Recommended submissions

The Assistant Secretary shall notify each eligible recipient who receives a grant under this section that the Administration recommends that such recipient submits the certification of employment described in paragraph (2)(A)(ii) as soon as practicable after the completion of each year of service.

(ii) Required submission

An eligible recipient who receives a grant under this section shall be required to submit to the Administration the certification of employment described in paragraph (2)(A)(ii) within a timeframe that would allow such recipient to complete the service obligation of such recipient before the end of the period of such service obligation.

(iii) Notification

The Assistant Secretary shall notify each eligible recipient who receives a grant under this section of the required submission deadlines described in this subparagraph.

(iv) Adjustment of deadline

The Assistant Secretary shall adjust the submission deadline described in clause (ii) to account for any extension of the period of the service obligation.

(v) Alternative to certification

The Assistant Secretary shall provide an alternative to the certification of employment described in paragraph (2)(A)(ii) for any eligible recipient who receives a grant under this section who cannot obtain such required certification of employment from the chief administrative officer of the covered school of such recipient because such recipient can demonstrate such covered school is no longer in existence or such covered school refuses to cooperate.

(c) Program period; authorization of appropriations

Beginning on January 1 of the year immediately following the year of the date of the enactment of this section, there are authorized to be appropriated to the Assistant Secretary to carry out this section such sums as may be necessary to provide grants to each eligible applicant in accordance with this section.

(d) Program report

Not later than 2 years after the date described in subsection (c), and every 2 years thereafter, the Assistant Secretary shall prepare and submit to the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Education and Workforce of the House of Representatives a report on grants under this section with respect to the covered schools and students served by eligible recipients who receive grants under this section. Such report shall take into consideration information related to—

(1)

the number of such recipients;

(2)

the degrees obtained by each such recipient;

(3)

the location, including the covered school, local educational agency, and State, where each such recipient is completing or has completed the service obligation agreed to under subsection (b)(2);

(4)

the duration of service of each such recipient;

(5)

any change in the ratio of school psychologists to students at each such covered school; and

(6)

data about any change, beginning on the date that each such recipient begins to carry out the service obligation of such recipient at a covered school, in student well-being at such covered school, including, to the maximum extent practicable, any such change directly attributable to the presence of such recipient at such covered school.

(e) Definitions

For the purposes of this section:

(1) Covered school

The term covered school means a public or other nonprofit private elementary school or secondary school, which, for the purpose of that year—

(A)

has been determined by the Assistant Secretary (pursuant to regulations of the Assistant Secretary and after consultation with the State educational agency of the State in which the school is located) to be a school in which the ratio of school psychologists to students is lesser than 1 to 500; and

(B)

is in the school district of a local educational agency which is eligible in such year for assistance pursuant to part A of title I of the Elementary and Secondary Education Act of 1965.

(2) Eligible institution

The term eligible institution means an institution of higher education, as defined in section 102 of the Higher Education Act of 1965, that the Assistant Secretary determines—

(A)

provides high quality preparation and professional development services for school psychology, including extensive clinical experience as a part of pre-service preparation;

(B)

is financially responsible;

(C)

imposes coursework and other requirements that enable or prepare, as applicable, a student, upon graduation from such institution, to—

(i)

receive a school psychologist credential, if such credential is required, and begin serving as a school psychologist; or

(ii)

enter into a graduate or professional degree program that imposes coursework and other requirements that enable or prepare, as applicable, such student, upon graduation, to receive such credential, if required, and begin such service; and

(D)

provides supervision and support services to school psychologists, or assistance in the provision of such services, including mentoring focused on developing effective skills and strategies related to school psychology.

(3) Eligible recipient

The term eligible recipient means an applicant under subsection (b)(1) that the Assistant Secretary has determined is eligible to receive a grant under this section.

(4) ESEA terms

The terms elementary school, local educational agency, secondary school, and State educational agency have the meanings given such terms, respectively, in section 8101 of the Elementary and Secondary Education Act of 1965.

(5) Nonprofit; State

The terms nonprofit and State have the meanings given such terms, respectively, in section 103 of the Higher Education Act of 1965.

(6) Post-baccalaureate

The term post-baccalaureate means a program of instruction for individuals who have completed a baccalaureate degree, that does not lead to a graduate degree, and that consists of courses required by a State in order for an eligible recipient to receive a school psychologist credential, except that such term shall not include any program of instruction offered by an eligible institution that offers a baccalaureate degree in school psychology.

(7) School psychologist credential

The term school psychologist credential means a professional certification or licensing credential that is required for employment as a school psychologist in an elementary school or secondary school in a State.