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September 18, 2024
LANSING – More than 9,500 educators from over 500 Michigan school districts are receiving the first payments from the Student Loan Repayment Program, the Michigan Department of Education announced today.
Over $19.2 million is being awarded through applicant school districts and intermediate school districts.
“The loan repayment program is helping our schools retain teachers, including educators in critical shortage areas, which aligns with Goal 7 of Michigan's Top 10 Strategic Education Plan,” said State Superintendent Dr. Michael F. Rice.
The program is funded with $225 million in the 2024 State School Aid Act, Michigan Compiled Law (MCL) 388.1627k,that was approved by the legislature and signed by Gov. Gretchen Whitmer. The program is intended to provide direct financial assistance to educators who are paying on student loans under the federal Public Service Loan Forgiveness program. Eligible program participants in Michigan’s Student Loan Repayment Program receive up to $200 per month, or $400 per month if their employer is assigned to Band 6 in the opportunity index, in which at least 85% of pupils in the district or intermediate district are economically disadvantaged.
Public Act 120 of 2024 streamlines the application process for Michigan’s Student Loan Repayment Program. As a result of this change, participants will submit future applications through a vendor-developed online portal. Information about this transition will be posted on the Michigan Department of Education Student Loan Repayment Program website in the coming months.
The 546 districts and intermediate districts awarded Student Loan Repayment Program grants for eligible teachers and the amount of the grants can be found on the Student Loan Payments Program Awards website.
“In Dearborn, we are excited to see that almost 200 teachers will be able to take advantage of the Student Loan Repayment program,” said Dearborn Public Schools Superintendent Dr. Glenn Maleyko. Dearborn received $222,000 in financial assistance for 185 eligible teachers. “This program not only provides teachers with much-needed and appreciated financial relief, it goes a long way in helping us to recruit and retain quality teachers in our classrooms,” he said.
Earlier this month, U.S. Secretary of Education Miguel Cardona during a visit to Michigan discussed the importance of repaying educators’ loans.
The Student Loan Repayment Program is one of several successful efforts in Michigan to address teacher shortages over the last 2 ½ years that were approved by the legislature and signed into law by Gov. Whitmer. Those include, but are not limited to, the following: college scholarships and student teacher stipends for aspiring teachers; Grow Your Own programs for support staff and students who want to be teachers; mentoring for current teachers and other educators; and a rural credentialing hub.
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