CSSB 332(FIN): "An Act authorizing the Alaska Student Loan Corporation to set the amount available from the student loan fund for student loan programs financed by the student loan fund and increasing the amount of bonds that may be issued by the Alaska Student Loan Corporation without legislative approval; relating to financial assistance for students attending graduate education programs; and providing for an effective date."
00CS FOR SENATE BILL NO. 332(FIN) 01 "An Act authorizing the Alaska Student Loan Corporation to set the amount 02 available from the student loan fund for student loan programs financed by the 03 student loan fund and increasing the amount of bonds that may be issued by the 04 Alaska Student Loan Corporation without legislative approval; relating to financial 05 assistance for students attending graduate education programs; and providing for 06 an effective date." 07 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 08 * Section 1. AS 14.42.210 is amended by adding a new subsection to read: 09 (d) The corporation shall set the amount available from the student loan fund 10 during an academic year for the student loan programs that receive financing from the 11 fund. 12 * Sec. 2. AS 14.42.220(f) is amended to read: 13 (f) The corporation may not issue bonds, other than refunding bonds, during 14 any two consecutive fiscal years in an aggregate amount greater than $200,000,000
01 [$125,000,000] unless the legislature, by law, approves issuance of a greater amount. 02 * Sec. 3. AS 14.43.110(a) is amended to read: 03 (a) In a school year, the commission may make a loan not to exceed 04 (1) $8,500 to a full-time undergraduate student or $5,000 to a half-time 05 undergraduate student attending a college or university if the full- or half-time student 06 is otherwise eligible under AS 14.43.125; 07 (2) $9,500 to a full-time graduate student or $4,500 to a half-time 08 graduate student attending a college or university if the full- or half-time graduate 09 student is otherwise eligible under AS 14.43.125; 10 (3) $5,500 to a full-time student or $2,000 to a half-time student if the 11 full- or half-time student is attending a career education program that is at least six 12 weeks in length and is otherwise eligible under AS 14.43.125 ; 13 (4) $15,000 to a full-time graduate student attending a degree 14 program not available in this state if the student is otherwise eligible under 15 AS 14.43.125; 16 (5) $25,000 to a full-time graduate student attending a medical or 17 dental degree program if the student is otherwise eligible under AS 14.43.125 . 18 * Sec. 4. AS 14.43.120(d) is amended to read: 19 (d) Scholarship loans may not be made to a student 20 (1) for more than a total of $42,500 for undergraduate study; 21 (2) for more than a total of 22 (A) $47,500 for graduate study in a program other than a 23 program described under (B) of this paragraph; or 24 (B) $60,000 for graduate study in a program not available 25 in this state ; 26 (3) for more than a combined total of 27 (A) $60,000 for undergraduate and graduate study in a 28 program other than a program described under (B) of this paragraph; or 29 (B) $100,000 for undergraduate and graduate study if the 30 graduate program was not available in this state ; 31 (4) to attend an institution if the total amount of scholarship loans made
01 to students to attend that institution exceeds $100,000 and the default rate on those 02 loans is (A) greater than 20 percent but less than 25 percent, and the institution is 03 unable to reduce its default rate within 24 months after the rate determination; or (B) 04 equal to or greater than 25 percent for two consecutive calendar years; for purposes 05 of this paragraph, the default rate shall be determined by the commission for each 06 annual group of loans required to be repaid under (g) of this section on or after July 07 1, 1996; if a scholarship loan is refused based on the provisions of this paragraph and, 08 under a subsequent default rate determination, an institution's default rate does not 09 exceed the limits established under this paragraph, the commission may not refuse to 10 issue a scholarship loan to attend that institution based on the provisions of this 11 paragraph. 12 * Sec. 5. AS 14.43.120(g) is amended to read: 13 (g) A borrower's obligation to commence repayment of the principal and 14 interest on the loan begins six months after the borrower is no longer enrolled under 15 (c) of this section. The borrower shall repay the total amount owed in periodic 16 installments of at least $50 a month over a period of not more than 15 years from the 17 commencement of the repayment obligation , except that a borrower who borrows 18 under AS 14.43.110(a)(4) or (5) may repay the total amount owed over a period 19 of not more than 20 years from the commencement of the repayment obligation . 20 If the commission and the borrower agree to a different repayment schedule, the 21 borrower shall repay the loan in accordance with the agreement. A borrower may 22 make payments earlier than required by this subsection or the agreement. 23 * Sec. 6. This Act takes effect immediately as provided under AS 01.10.070(c).