Arizona Commission for Postsecondary Education … expanding access and increasing success in postsecondary education for Arizonans Annual Report for Math, Science, and Special Education Teacher Loan Forgiveness Program (MSSE) Fiscal Year 2012 - 2013 Arizona Commission for Postsecondary Education 2020 North Central, Suite 650 Phoenix, Arizona 85004 Tel: (602) 258-2435 | Fax: (602) 258-2483 Email: acpe@azhighered.gov | Website: http://www.azhighered.gov December 1, 2013 The Honorable Janice K. Brewer, Governor The Honorable Andy Biggs, President of the Senate The Honorable Andy Tobin, Speaker of the House of Representatives The Honorable Ken Bennett, Secretary of State Mr. Vincent Alascia, State Documents Librarian, AZ Library, Archives, and Public Records I respectfully submit the enclosed annual report for the Math, Science, and Special Education Teacher Loan Forgiveness Program (MSSE) on behalf of the Arizona Commission for Postsecondary Education (ACPE). The ACPE Commissioners and staff remain committed to investing themselves in the work of higher education through their mission of increasing access and expanding success in postsecondary education for Arizonans. This report reflects that commitment. Elements of this report include a description of the program, the number of applicants, the number of loan recipients, the qualifying institutions they attended, the name of the K-12 school where MSSE graduates are employed and the number of good cause exceptions requested/granted. In the conclusion the Commission makes a request for increased funding. Established in the 2007 legislative session, the MSSE Program was designed to solve two problems: (1) an Arizona teacher shortage in specific areas and (2) novice teachers leaving the profession due to a burdensome loan debt and modest pay. A copy of the annual report and more detailed information about the Arizona Commission for Postsecondary Education, its administrative functions, initiatives and its collaboration and partnerships is available from the website www.azhighered.gov or by contacting our office at 602.258.2435. Respectfully Submitted, Dr. April L. Osborn, Executive Director Arizona Commission for Postsecondary Education cc: Reed Spangler, Senate Education Research Analyst Tom Ritland, JLBC Fiscal Analyst Brandon Nee, OSPB Budget Analyst Jeanine Jones, House Education Committee Research Analyst The Arizona Commission for Postsecondary Education (ACPE) Math, Science, and Special Education Teacher Loan Forgiveness (MSSE) Program FY 2012-2013 Annual Report Submitted December 1, 2013 Dr. April L. Osborn, Executive Director Introduction and Description of the Program The Math, Science, and Special Education Teacher Loan Forgiveness Program (MSSE) was created in 2007. This student-centered, need-based forgivable loan was designed to increase the number of math, science and special education teachers in the public K-12 system in Arizona by financially supporting and encouraging Arizona resident college students to pursue a teaching career in these identified high need fields and to remain in the State after graduation. Forgivable loans are granted to eligible junior or senior students attending a qualifying public university or private college/university in the State to help defray the cost of tuition, fees and instructional materials. The maximum forgivable loan is $7,000 per academic year for up to three years. To have the loan forgiven, students must sign a promissory note each year agreeing to teach in these subject areas (math, science, special education, or elementary education in a geographic area in the state experiencing a shortage of teachers) in a public K-12 school in Arizona for the number of years they received the loan funding plus one year. Students who do not meet the forgiveness criteria must repay the loan funds plus any interest. Who Benefited from the Forgivable Loan? In FY 2013 forty-six MSSE loans were disbursed, 34 loans to initial recipients (1st time recipients) and 12 loans to continuing recipients (prior recipients). The loan recipients attended both public and private postsecondary institutions for a total disbursement of $277,045. The table below provides a student profile for those who received loans in FY 2013. MSSE FY 2013 Student Profile Total Total Total Applicants Recipients Disbursement 63 46 $277,045 Average Loan Amount Average Age of Recipients Initial Recipients Continuing Recipients $6,023 29 34 12 The difference between the total applicants and the total recipients is comprised of applicants who did not qualify, but the majority of those not awarded were due to the lack of funds. 3 The following pie charts represent a breakout of the institutions the 46 loan recipients attended and the recipient’s degree programs. Recipients by Institution Distribution: Northern Arizona University, 17 Ottawa University, 2 Northern Arizona University 3 Math 3 Science 11 Special Education University of Arizona, 14 University of Arizona 1 Elementary Education 5 Math 1 Science 7 Special Education Arizona Christian University 2 Elementary Education 3 Math Arizona State University 1 Elementary Education 3 Math Grand Canyon University, 2 Arizona State University, 4 Arizona Christian University, 5 University of Phoenix, 2 Grand Canyon University 2 Special Education Ottawa University 2 Math University of Phoenix 1 Elementary Education 1 Math In FY 2013 nearly a quarter of the MSSE recipients attended private postsecondary institutions, depicting the importance of the private postsecondary sector to the program. Recipients by Degree Program Special Education, 20 Elementary Ed. in a Geographic Area Exp. a Shortage of Teachers, 5 Math, 17 Science, 4 4 Status of Recipients in MSSE Program from Inception Through FY 2013 Tracking responsibilities are significant for the MSSE Program for each loan recipient is required to be tracked between seven to eleven years. For students who enter into repayment, the relationship can increase to 15 years. With the conclusion of FY 2013, 229 students have participated in the MSSE Program since inception in 2007. Below is a listing of the current status of the recipients.        35 are still enrolled in a postsecondary institution 14 are in their twelve month grace period (allowed by statue) 55 are currently teaching in a public K-12 school in Arizona 65 have had their loan forgiven for completing their teaching service 16 are currently in repayment 3 have paid their loan balance in full 41 may potentially be placed in repayment Although allowed by statue, in FY 2013 the Commission did not receive any requests for good cause exceptions to student loan repayments; therefore, none were granted. The Commission will continue collecting the five year teacher retention data for the 65 individuals whose loans have been forgiven through teaching. The following is a list of the public K-12 schools at which the 55 loan recipients were employed. K-12 Schools were MSSE Graduates Served their Teaching Obligation in FY 2013 Apache Junction High School Ashland Elementary Barry Goldwater High School Brichta Elementary School Buckeye Union High School Campo Verde High School Deer Valley High School Desert Ridge High Desert Star Desert View High School Dobson High School Dos Rios Elementary Dysart Elementary School Dysart High School EDUPRIZE School Flora Thew Elementary School Flowing Wells High School Flowing Wells Junior High School Frank Borman School Gateway Pointe Elementary Gila Ridge High School Greenway High School Hamilton High School Higley Traditional Academy Islands Elementary School J.O. Combs Middle School Jane D. Hull Elementary Kingman Academy of Learning Liberty Traditional Charter School Maricopa High School Mayer High School Montessori Charter School of Flagstaff Mountain View Elementary North High School Palo Verde High Magnet School Patterson Elementary Peach Springs School Primavera Technical Learning Center Queen Creek High School Rancho Gabriela Riverside Traditional School Santan Junior High School Scales Technology Academy Sirrine Elementary School Sonoma Ranch Elementary Sundance Elementary Sunnyside High School Taylor Elementary School Val Vista Lakes Elementary School The limited annual appropriation for the MSSE program has caused the Commission to consider an automated application in AZ Grants System and companion tracking and repayment software. The program is new to the ACPE and staff are assessing the cost and benefits of an automated system. However, such a system would undoubtedly allow the small ACPE staff to better handle the granting, tracking, and repayment processes. 5 Conclusion The Commission believes the MSSE program provides a vehicle to shape student choices in order to meet Arizona’s needs in teacher shortage areas. Additionally, the Commission is enthused to provide financial aid to this cadre of teachers who are critical to the success of Arizona’s College and Career Ready Standards and Arizona’s focus on Science, Technology, Engineering and Math (STEM) programs. Unfortunately, the current level of appropriations for the MSSE program will not solve the shortage nor is it sufficient to support the Arizona Ready Education Reform Plan goals. Therefore, the Commission has requested the increase of $500,000 to total $676,000 in FY 2015 for the MSSE program. Increased funding will allow 60-70 students to be supported through four years of their teaching education. The Commissioners and staff look forward to helping increase the number of teachers in Arizona. The increase in funding for this program will aid the State meet both the goals of the Arizona Ready Education Reform Plan and Arizona’s College and Career Ready Standards. 6