00 CS FOR HOUSE BILL NO. 405(MLV)
01 "An Act relating to repayment of a percentage of student loans for a member of the
02 armed forces deployed since 2001."
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:
04 * Section 1. AS 14.43 is amended by adding a new section to read:
05 Sec. 14.43.925. Loan repayment for certain military personnel. (a) A
06 portion of a loan made to a borrower by the commission shall be repaid by the state if
07 the borrower is a resident of the state, and
08 (1) has served in the armed forces;
09 (2) was deployed to provide direct or indirect support for the global
10 war on terrorism;
11 (3) if discharged from the armed forces, was discharged in honorable
12 status; and
13 (4) is in good standing for the repayment of the loan and in full
14 compliance with the terms and conditions of the loan.
01 (b) The portion of the loan that shall be repaid by the state under this section is
02 50 percent of the total unpaid balance of the loan, plus interest, not to exceed $20,000.
03 (c) Repayment of a portion of a loan under this section is subject to
04 appropriation and is not a financial obligation of the corporation.
05 (d) The commission may adopt regulations to implement this section.
06 (e) In this section, "armed forces" means the armed services or forces of the
07 United States, the United States Coast Guard, or the Alaska National Guard or Naval
09 * Sec. 2. The uncodified law of the State of Alaska is amended by adding a new section to
11 APPLICABILITY. The provisions of this Act apply to loans that have an outstanding
12 balance on the effective date of this Act and to loans made after the effective date of this Act.