The Department of Human Services, Department of Children and Families, and the Higher Education Student Assistance Authority have announced a new student loan redemption program aimed at supporting health care, behavioral health, and social services professionals. The initiative is part of ongoing efforts to improve the home and community-based services workforce.
The Home and Community-Based Services Provider Loan Redemption Program offers up to $50,000 in loan relief for eligible workers who commit to one year of service at approved agencies or as self-directed employees.
"Uplifting our healthcare workers is mission-critical to delivering on the needs of New Jersey residents," Governor Phil Murphy stated. "This student loan redemption program further bolsters our home and community-based services workforce."
Human Services Commissioner Sarah Adelman emphasized the importance of supporting caregivers: "This new student loan redemption program will benefit caregivers who provide vital supports to people with disabilities and behavioral health needs."
Children and Families Commissioner Christine Norbut Beyer highlighted the program's role in maintaining family unity: "Offering this loan redemption program is one part of a multi-level strategy to ensure that our contracted service providers can compete for a highly competent, well-trained workforce."
Higher Education Student Assistance Authority Executive Director Margo Chaly added: "The goal of this new program is to encourage professionals to start and continue working in high-need fields."
Eligible professionals include psychiatrists, licensed psychologists, social workers, psychiatric nurse mental health clinical specialists, behavior analysts, counselors, marriage and family therapists, DCF care managers, registered nurses, and licensed practical nurses. Self-directed employees are also eligible.
Funding for the program comes from the Centers for Medicare and Medicaid Services as part of a $100 million strategic investment by DHS. The plan includes recruitment, training programs for direct care staff, and new housing options for individuals with disabilities or behavioral health conditions.
The allocation includes:
- $5 million for employees in DHS' Division of Mental Health and Addiction Services-contracted agencies
- $5 million for employees in DHS' Division of Developmental Disabilities-funded agencies
- $5 million for employees at DCF-approved settings
- $2 million for private duty nurses employed by NJ FamilyCare's managed care organizations
DHS Deputy Commissioner Kaylee McGuire stated: "Creative steps such as a loan redemption program will help attract and retain workers."
To qualify, applicants must be employed full-time in an eligible profession by a State-funded provider agency; maintain current licensure; work at the agency for at least one year; not be in default on any qualifying student loans; and not participate in other loan redemption programs.
Provider agencies are encouraged to inform eligible employees about the program before July 1 when applications open. Selections will be made on a first-come, first-served basis by October 1.
For more information on the program visit here.
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