Sec. 13b.08.14.13. Deferment of the Service Obligation and Repayment

A. Recipients shall seek eligible employment aggressively within a 60-mile radius of their residence.

B. A recipient may request that their service obligation be deferred during the time the recipient is:

(1) Enrolled in a full-time (12 or more credits per semester) or part-time (6-11 credits per semester) undergraduate course of study, or a full-time (9 or more credits per semester) or part-time (6-8 credits per semester) graduate course of study at an institution of higher education in a degree-granting program;

(2) On a temporary leave of absence approved by the employer in the required employment field for a period not to exceed 12 months;

(3) Temporarily disabled in a manner that substantially impairs the recipient’s ability to perform the service obligation, for a period not to exceed 3 years;

(4) Unable to maintain employment for a period not to exceed 12 months because they must care for a spouse or child who is disabled;

(5) Assigned military duty outside of the State, not to exceed 3 years without filing an appeal;

(6) Married to a spouse assigned military duty outside of the State, not to exceed 3 years without filing an appeal; or

(7) Aggressively seeking and unable to secure employment, as required in §A of this regulation, for a single period not to exceed 12 months.

C. A recipient’s deferment request shall include satisfactory supporting documentation, consisting of the following, as appropriate:

(1) Certification by the office of the registrar that the recipient has returned to a full-time or part-time course of study at an eligible institution of higher education;

(2) Certification by the employer that the recipient is on a temporary approved leave of absence;

(3) A sworn affidavit by a qualified physician that the recipient is temporarily disabled in a manner that substantially impairs the recipient’s ability to perform the service obligation;

(4) A sworn affidavit by a qualified physician that the recipient is unable to maintain employment because they must care for a spouse or child who is disabled;

(5) A notarized statement including a list of possible eligible employers, including their addresses and telephone numbers, to which application has been made if the recipient has been unable to find full-time employment as required; or

(6) A copy of military orders.

D. The Office of Student Financial Assistance (OSFA) shall review all documentation and determine if the deferment conditions have been met and, if so, determine the deferment period.

E. Before a deferment based on an inability to find employment is granted, OSFA shall review the recipient’s documentation and other available information and determine if the recipient has sought employment aggressively in all required areas of the State.

F. During the period of an approved deferment, a recipient need not make scholarship repayments and interest does not accrue.

G. OSFA shall, on a case-by-case basis, review appeals from individuals assigned military duty outside the State, and from the spouse of an individual assigned military duty outside the State, that exceed the 3-year deferral limit. Appeals shall be in writing and include a copy of the military orders.