N.M. Admin. Code § 5.7.31.10

Current through Register Vol. 36, No. 1, January 14, 2025

Section 5.7.31.10 - LOAN REPAYMENT CONTRACT TERMS

A. The loan repayment award shall be evidenced by a contract between the participating attorney and the department acting on behalf of the state. The contract shall state the amount of the award and the obligations of the participating attorney under the public service law loan repayment program, including a minimum three-year period of service, quarterly reporting requirements and other policies established by the department.

B. A participating attorney shall serve a complete year in order to receive credit for that year. The credit for a year shall be established by the department but shall not exceed seven thousand two hundred dollars ($7,200).

(1) Payments are made quarterly during each year of service.

(2) The advisory committee will conduct an annual review of eligibility for every participant. If participant becomes ineligible, future payments may be terminated.

(3) Once a full year (12 months) of service is completed, no penalty which might thereafter be imposed would be assessed with respect to the credit amount satisfied by that year of completed service.

(4) Once two (2) years of service is completed, no penalty which might thereafter be imposed would be assessed with respect to the credit amounts satisfied by those two (2) years of completed service.

C. If a participating attorney does not comply with the terms of the contract, the department shall require immediate repayment of the award plus eighteen percent interest and may assess a penalty of up to three times the amount of award disbursed, unless the department finds acceptable extenuating circumstances for why the participating attorney cannot serve or comply with the terms of the contract. If the department does not find acceptable extenuating circumstances for the participating attorney's failure to comply with the contract, the department shall require immediate repayment of the award plus the amount of the penalty.

D. The department, in consultation with the committee, shall adopt rules to implement the provisions of this section.

N.M. Admin. Code § 5.7.31.10

5.7.31.10 NMAC - N, 12/31/2007