Text: H05367 Text: H05369 Text: H05300 - H05399 Text: H Index Bills and Amendments: General Index Bill History: General Index
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1 1 Amend House File 2477 as follows:
1 2 #1. Page 3, by inserting after line 25 the
1 3 following:
1 4 "Sec. 201. Not later than September 1, 1996, the
1 5 college student aid commission shall compile a list of
1 6 affected students receiving tuition grants during the
1 7 fiscal year beginning July 1, 1995, and who
1 8 transferred from a nonaccredited to an accredited
1 9 private institution for the fiscal year beginning July
1 10 1, 1996. If the student meets all financial aid
1 11 criteria as set forth by the commission, the
1 12 transferring affected student may continue to receive
1 13 a tuition grant for the fiscal year beginning July 1,
1 14 1996. The commission shall calculate the funds
1 15 remaining from tuition grants awarded to affected
1 16 students who do not transfer to an accredited private
1 17 institution in the fiscal year beginning July 1, 1996.
1 18 Notwithstanding section 261.25, subsection 1, these
1 19 funds shall be used to provide loan forgiveness for
1 20 individuals who meet the requirements of section
1 21 261.71. For purposes of this paragraph, "affected
1 22 student" means a qualified student for whom payment of
1 23 a tuition grant was made under section 261.13 for one
1 24 or more semesters or trimesters while the student was
1 25 attending a private institution which was accredited
1 26 as defined in section 261.9 for the fiscal year
1 27 beginning July 1, 1995, but which does not meet the
1 28 requirements for an accredited private institution for
1 29 the fiscal year beginning July 1, 1996."
1 30 #2. Page 32, by inserting after line 25 the
1 31 following:
1 32 "Sec. 202. NEW SECTION. 261.71 FORGIVABLE LOANS
1 33 FOR IOWA RESIDENTS ATTENDING OUT-OF-STATE
1 34 POSTSECONDARY INSTITUTIONS.
1 35 1. A forgivable loan program is established for
1 36 residents of Iowa who are attending out-of-state
1 37 accredited postsecondary institutions. The program
1 38 shall be administered by the college student aid
1 39 commission. A resident of Iowa attending an out-of
1 40 state accredited postsecondary institution is eligible
1 41 for loan forgiveness under the program if the student
1 42 meets all of the following conditions:
1 43 a. The program of study in which the student is
1 44 enrolled is not offered by an institution of higher
1 45 learning under the control of the state board of
1 46 regents, a community college established under chapter
1 47 260C, or an accredited private institution as defined
1 48 in section 261.9, subsection 1.
1 49 b. The student graduates from a postsecondary
1 50 institution accredited by an accrediting agency
2 1 recognized by the United States department of
2 2 education or a successor agency.
2 3 c. The student has practiced or been employed in
2 4 Iowa for five years in the area for which the student
2 5 received a degree from the accredited postsecondary
2 6 institution as provided under this section.
2 7 d. The student has received a loan from moneys
2 8 appropriated to the college student aid commission for
2 9 loans under this program.
2 10 2. Of the moneys loaned to an eligible student,
2 11 for each year of up to and including five years of
2 12 practice or employment in Iowa as provided in
2 13 subsection 1, paragraph "c", an amount equal to twenty
2 14 percent of the original principal and the
2 15 proportionate share of accrued interest, or eight
2 16 hundred eighty dollars, whichever is greater, shall be
2 17 forgiven. If a student fails to complete a year of
2 18 practice or employment in the state, as practice or
2 19 employment is defined by the college student aid
2 20 commission, the loan amount for that year shall not be
2 21 forgiven. Forgivable loans made to eligible students
2 22 shall not become due, for repayment purposes, until
2 23 one year after the student has graduated or withdrawn
2 24 from the postsecondary institution. A loan that has
2 25 not been forgiven may be sold to a bank, savings and
2 26 loan association, credit union, or nonprofit agency
2 27 eligible to participate in the guaranteed student loan
2 28 program under the federal Higher Education Act of
2 29 1965, 20 U.S.C. } 1071 et seq., by the commission when
2 30 the loan becomes due for repayment.
2 31 3. The college student aid commission shall adopt
2 32 rules, consistent with rules used for students
2 33 enrolled in higher education institutions under the
2 34 control of the state board of regents, for purposes of
2 35 determining Iowa residency status of students under
2 36 this section. The commission shall also adopt rules
2 37 which provide standards, guidelines, and procedures
2 38 for the receipt, processing, and administration of
2 39 student applications and loans under this section.
2 40 Sec. 203. NEW SECTION. 261.72 OUT-OF-STATE
2 41 POSTSECONDARY LOAN REVOLVING FUND.
2 42 An out-of-state postsecondary loan revolving fund
2 43 is created in the state treasury as a separate fund
2 44 under the control of the commission. The commission
2 45 shall deposit payments made by Iowa residents who
2 46 received loans under section 261.71 and the proceeds
2 47 from the sale of loans made under section 261.71, less
2 48 costs of collection of delinquent loans which were
2 49 made under section 261.71, into the out-of-state
2 50 postsecondary loan revolving fund. Moneys credited to
3 1 the fund shall be used to supplement moneys
3 2 appropriated for purposes of making loans under
3 3 section 261.71, and to pay for loan or interest
3 4 repayment defaults by eligible Iowa residents who
3 5 received loans under section 261.71. Notwithstanding
3 6 section 8.33, any balance in the fund on June 30 of
3 7 any fiscal year shall not revert to any revolving fund
3 8 but shall remain in the revolving fund for purposes of
3 9 the fund."
3 10 #3. By renumbering, relettering, and redesignating
3 11 as necessary.
3 12
3 13
3 14
3 15 DRAKE of Pottawattamie
3 16 HF 2477.304 76
3 17 kh/cf
Text: H05367 Text: H05369 Text: H05300 - H05399 Text: H Index Bills and Amendments: General Index Bill History: General Index
Iowa General Assembly
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