Legislature(2021 - 2022)

2021-02-24 Senate Journal

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2021-02-24                     Senate Journal                      Page 0315
SB 94                                                                                                                         
SENATE BILL NO. 94 BY THE SENATE RULES COMMITTEE                                                                                
BY REQUEST OF THE GOVERNOR, entitled:                                                                                           
              "An Act relating to the education loan program and                                                               
               Alaska supplemental education loan program; and                                                                 
          providing for an effective date."                                                                                     
was read the first time and referred to the Education and Finance                                                               
The following fiscal information was published today:                                                                           
 Fiscal Note No. 1, zero, Department of Education and                                                                           
          Early Development                                                                                                     
 Fiscal Note No. 2, zero, Department of Revenue                                                                                 

2021-02-24                     Senate Journal                      Page 0316
Governor's transmittal letter dated February 23:                                                                                
Dear President Micciche:                                                                                                        
Under the authority of Article III, Section 18, of the Alaska                                                                   
Constitution, I am transmitting a bill relating to the education loan                                                           
program for postsecondary students.                                                                                             
The bill would increase opportunities for borrowers to consolidate                                                              
education loans by expanding options to show eligibility. Current                                                               
statute requires that borrowers physically reside in the State. This bill                                                       
adds additional eligibility options to include being a previous                                                                 
borrower, cosigner, or beneficiary of an education loan made under                                                              
AS 14.43 or AS 14.44, or being a graduate of a high school or                                                                   
postsecondary institution physically located in the State.                                                                      
Specific loan limits would be removed from statute and instead the                                                              
Alaska Student Loan Corporation would have the authority to set                                                                 
limits, as appropriate, to address evolving student needs. The bill                                                             
would also clarify that a borrower’s obligation to commence                                                                     
repayment of the loan could begin immediately upon disbursement of                                                              
the loan.                                                                                                                       
This legislation will increase responsiveness to Alaska’s higher                                                                
education community and will allow for responsible increases to                                                                 
annual loan limits and originations to meet the financial aid needs of                                                          
Alaska’s student loan borrowers.                                                                                                
I urge your prompt and favorable action on this measure.                                                                        
Mike Dunleavy