Legislature(2001 - 2002)
2001-03-22 House JournalFull Journal pdf
2001-03-22 House Journal Page 0689 HB 204 HOUSE BILL NO. 204 by the House Rules Committee by request of the Governor, entitled: "An Act relating to the Alaska Commission on Postsecondary Education and the Alaska Student Loan Corporation; relating to student financial aid programs and the financing of those programs; establishing the Alaska Advantage Loan Program and the Alaska Supplemental Education Loan Program; increasing the bonding authorization of the Alaska Student Loan Corporation; providing for liens resulting from a default under AS 14.43 or AS 14.44; relating to the duties of the recorder regarding those liens; relating to defaults under the Western Regional Higher Education Compact; relating to the prohibition on discrimination regarding programs under AS 14.43; relating to fees for the review of certain postsecondary institutions; making conforming amendments; and providing for an effective date." was read the first time and referred to the House Special Committee on Education and the Health, Education & Social Services and Finance Committees. The following fiscal note(s) apply: 1. Fiscal, Dept. of Education & Early Development The Governor's transmittal letter dated March 20, 2001, appears below: "Dear Speaker Porter: Alaska's student loan program has achieved great success in the past few years. The Commission on Postsecondary Education and the Alaska Student Loan Corporation have turned the program around -- running it in the black for the first time in history and paying a dividend back to the state. This year the dividend payment is $2.2 million with another $4 million expected for fiscal year 2002. All of this while serving over 90,000 Alaska student loan customers with $615 million in loans. 2001-03-22 House Journal Page 0690 This bill I transmit today establishes the AlaskAdvantage Loan Program, the next step in continuing the growth and financial integrity of the state student loan program. Under this legislation, Alaska would participate in the federal guaranteed student loan program which brings benefits including low interest rates for borrowers and reduced risk to the state through federal loan guarantees. This bill also creates a supplemental loan program to provide financial assistance in the event the AlaskAdvantage Loan is insufficient to cover education costs or the student does not qualify for assistance under the federal guaranteed student loan program. This bill will create a one-stop financial aid information center and financial opportunity, guaranty the lowest possible borrowing rates, streamline aid delivery and reduce financial risk to the State through the federal guarantee. This program will also offer expanded options for borrowers with special needs in loan repayment. At a time when access to quality education is at the forefront of our legislative agenda, I urge your prompt and favorable action on this measure. Sincerely, /s/ Tony Knowles Governor"