Alfond Leaders Student Debt Reduction Program

Online applications are currently closed for the foreseeable future while the program is being evaluated.

There are two application collection periods per year: one in the spring and one in the fall.

Please note: a complete application and all required documents are due to FAME on or before the deadline. This includes:

• Your online application
• Official college transcripts
• Current resume
• Copies of all loan statement

Online applications are currently closed.

• Maine residents or persons who will become Maine residents upon being hired by a Maine-based employer.
• A person employed, or who will be employed, by a Maine-based employer in a designated STEM occupation. Click here for a list of STEM occupations.
• For the spring 2021 application cycle, eligible applicants must have a higher education degree or certificate; or have recently graduated with a degree or certificate between May 1, 2020 and December 31, 2020; or be completing their degree or certificate between January 1, 2021 and August 31, 2021.
• An applicant must have outstanding student loan debt.
• Preference may be given to applicants working full time in certain STEM occupations, as determined by FAME in cooperation with the Alfond Leaders Advisory Committee.

A Maine-based employer is one that:

• Operates a place of business (has a physical corporate office) located within Maine; and
• Is required to withhold Maine income tax with respect to its employees.

Both undergraduate and graduate student loans are eligible for Alfond Leaders student loan repayment. Original student loans as well as refinanced or consolidated student loans are eligible, provided they were specifically for education expenses. Parent loans are not eligible.

Applications are reviewed with the Alfond Leaders Advisory Committee. If you are selected as a finalist, you may be requested to participate in an interview.

Alfond Leaders may qualify for loan repayment of up to half of their outstanding student loan balance at the time of application to the program, not to exceed $60,000. Awards are paid in two installments: the first installment will be paid after three years of qualifying employment, and the second installment will be paid after an additional three years of qualifying employment. An estimate of each debt-reduction installment for an individual will be calculated at the time of selection as an Alfond Leader and be based upon that individual’s outstanding student loan debt at the time of application to the program, as well as subject to other terms and conditions. Note that a debt-reduction payment will never be more than the remaining balances of your student loans at the time of payment.

Alfond Leaders must provide an annual eligible employment certification to verify three years of continuous employment prior to the first and second payment installments. Additionally, Alfond Leaders must submit annual certifications of continuous Maine residency and answer a program questionnaire.

There is no credit given for time worked by an Alfond Leader prior to his/her acceptance into the program. The “clock” for qualifying employment begins after an applicant has been selected to be an Alfond Leader. The employment “clock” for selected graduating students will begin on the first day of the calendar quarter immediately following confirmation that they have both begun a STEM position in Maine and have relocated to the state.

Funds are paid directly to your student loan servicers.

Your employer can certify your future employment and your award agreement will specify when your “employment clock” begins.

No, the eligibility period begins after an applicant has been selected to be an Alfond Leader.

If your position is terminated, you will have 60 days to secure a new STEM position without losing your Alfond Leaders debt-reduction award. However, your time out of work will not count as qualifying employment and you may need to provide two employer certifications to document one year of eligible employment.

If you choose to switch employers, it is your responsibility to ensure that your new position is a qualifying STEM position in order to keep your Alfond Leaders award. Additionally, your employment must be continuous with a gap of no more than 60 days when transitioning between the two qualifying positions. You will most likely need to provide two employer certifications in that year to document one year of eligible employment.

As long as your employer considers you to be employed during your Family Medical Leave, this will be reflected in your annual employment certification provided to FAME to document your eligible employment.

If you move out of Maine, you will no longer be eligible for any future debt-reduction payments, nor will debt-reduction payments be prorated based on employment of less than three years. Previous debt-reduction payments made for completion of the initial three years of qualifying employment will be considered final and a return of funds will not be required.

No, a new application must be submitted for each application cycle in which a person wants to be considered for selection as an Alfond Leader. If an applicant has previously applied but not been selected as an Alfond Leader, they must submit a new application for consideration in the next application cycle, and include updated student loan statements. If you would like FAME to attach your previously submitted resume and college transcripts to a new Alfond Leaders application, please email your request to Education@FAMEmaine.com but not until after you have submitted your new online application.

A person who is a self-employed STEM professional may apply to be an Alfond Leader.

Many loan-repayment-program payments are considered taxable to the beneficiary. However, neither FAME nor the Harold Alfond Foundation can provide tax guidance to Alfond Leaders; therefore, we recommend that applicants consult their own tax professional for an answer to this question as it applies to their tax situation.