§ 69745

(a) Loans from both government sources and financial institutions may be repaid by the program. Each participant shall agree to allow the commission access to loan records and to acquire information from lenders necessary to verify eligibility and to determine payments. Loans may not be renegotiated with lenders to accelerate repayment.

(b) Payments shall be made annually to the participant or the lender, as elected by the participant, until the loan is repaid, fulfilled, or until the required service obligation is fulfilled and eligibility discontinues, whichever comes first.

(c) Upon confirmation of the disbursement of the final payment, the commission shall verify that payments provided to participants pursuant to subdivision (b) were used in accordance with this article.

(d) If the participant discontinues practicing in a public interest area of the law, payments to the participant or the lender made against the loans issued pursuant to subdivision (b) shall cease to be effective on the date that the participant discontinues service.

(Amended by Stats. 2026, Ch. 251, Sec. 3. (AB 167) Effective September 18, 2026.)