House
File
660
-
Introduced
HOUSE
FILE
660
BY
COMMITTEE
ON
STATE
GOVERNMENT
(SUCCESSOR
TO
HF
437)
(COMPANION
TO
SF
304
BY
COMMITTEE
ON
LABOR
AND
BUSINESS
RELATIONS)
A
BILL
FOR
An
Act
relating
to
licensing
sanctions
against
individuals
1
who
default
or
are
delinquent
on
student
loan
debt
or
on
a
2
related
service
obligation.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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660
Section
1.
Section
272.2,
Code
2019,
is
amended
by
adding
1
the
following
new
subsection:
2
NEW
SUBSECTION
.
21.
Adopt
rules
under
chapter
17A
to
3
prohibit
the
suspension
or
revocation
of
a
license
issued
4
by
the
board
to
a
person
who
is
in
default
or
is
delinquent
5
on
repayment
or
a
service
obligation
under
federal
or
6
state
postsecondary
educational
loans
or
public
or
private
7
services-conditional
postsecondary
tuition
assistance
solely
on
8
the
basis
of
such
default
or
delinquency.
9
Sec.
2.
Section
272C.4,
subsection
10,
Code
2019,
is
amended
10
by
striking
the
subsection
and
inserting
in
lieu
thereof
the
11
following:
12
10.
Adopt
rules
under
chapter
17A
to
prohibit
the
suspension
13
or
revocation
of
a
license
issued
by
the
board
to
a
person
14
who
is
in
default
or
is
delinquent
on
repayment
or
a
service
15
obligation
under
federal
or
state
postsecondary
educational
16
loans
or
public
or
private
services-conditional
postsecondary
17
tuition
assistance
solely
on
the
basis
of
such
default
or
18
delinquency.
19
Sec.
3.
REPEAL.
Sections
261.121,
261.122,
261.123,
20
261.124,
261.125,
261.126,
and
261.127,
Code
2019,
are
21
repealed.
22
EXPLANATION
23
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
24
the
explanation’s
substance
by
the
members
of
the
general
assembly.
25
This
bill
requires
the
state’s
licensing
boards
to
adopt
26
administrative
rules
to
prohibit
the
suspension
or
revocation
27
of
a
license
issued
to
a
person
who
is
in
default
or
is
28
delinquent
on
repayment
or
a
service
obligation
under
federal
29
or
state
postsecondary
educational
loans
or
public
or
private
30
services-conditional
postsecondary
tuition
assistance
solely
on
31
the
basis
of
such
default
or
delinquency.
32
The
bill
eliminates
Code
provisions
that
authorize
and
33
establish
a
process
by
which
the
college
student
aid
commission
34
can
initiate
action
to
deny,
revoke,
or
suspend
any
license
35
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660
authorized
by
the
laws
of
this
state
to
any
person
who
1
has
defaulted
on
an
obligation
owed
to
or
collected
by
the
2
commission.
3
The
provisions
repealed
by
the
bill
establish
procedures
for
4
issuing
notice
to
an
individual
in
default,
for
the
scheduling
5
of
a
conference
between
the
individual
and
the
commission,
for
6
entering
into
a
written
agreement
for
payment
of
the
obligation
7
which
takes
into
consideration
the
individual’s
ability
to
pay,
8
for
the
individual
to
request
a
hearing,
and
for
the
issuance
9
of
a
certificate
for
noncompliance
to
any
appropriate
licensing
10
authority.
11
Provisions
repealed
by
the
bill
require
each
licensing
12
authority
to
include
in
its
rules,
as
grounds
for
suspension,
13
revocation,
or
denial
of
issuance
or
renewal
of
a
license,
the
14
receipt
of
a
certificate
of
noncompliance
from
the
commission;
15
require
a
licensing
authority
to
initiate
procedures
for
16
suspension,
revocation,
or
denial
of
issuance
or
renewal
17
of
licensure
to
the
individual;
direct
the
supreme
court
18
to
prescribe
rules
providing
for
the
denial,
suspension,
19
or
revocation
of
the
admission
to
practice
as
an
attorney
20
and
counselor
for
failure
to
repay
an
obligation
owed
to
or
21
collected
by
the
commission;
and
permit
the
individual
to
seek
22
a
review
of
the
commission’s
decision
and
request
a
hearing
23
before
the
district
court.
24
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