Sen. Martin A. Sandoval

Filed: 4/19/2007

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 1455

2     AMENDMENT NO. ______. Amend Senate Bill 1455, AS AMENDED,
3 by replacing everything after the enacting clause with the
4 following:
 
5     "Section 5. The State Finance Act is amended by adding
6 Section 5.675 as follows:
 
7     (30 ILCS 105/5.675 new)
8     Sec. 5.675. The Higher Education Revolving Loan Fund.
 
9     Section 10. The Higher Education Student Assistance Act is
10 amended by adding Section 65.85 as follows:
 
11     (110 ILCS 947/65.85 new)
12     Sec. 65.85. Higher education revolving loans.
13     (a) In this Section, "eligible student" means a student
14 enrolled at the undergraduate level at an institution of higher

 

 

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1 learning who (i) if the student has not yet completed one term
2 at an institution of higher learning, had a 3.0 cumulative
3 grade point average or its equivalent after graduating from an
4 approved high school or (ii) if the student has completed at
5 least one term at an institution of higher learning, has a 3.0
6 post-secondary cumulative grade point average or its
7 equivalent. The student must also be an Illinois resident.
8 Notwithstanding any other provision of law to the contrary, the
9 Commission shall deem an individual an Illinois resident, until
10 the individual establishes a residence outside of this State,
11 if all of the following conditions are met:
12         (1) The individual resided with his or her parent or
13     guardian while attending a public or private high school in
14     this State.
15         (2) The individual graduated from a public or private
16     high school or received the equivalent of a high school
17     diploma in this State.
18         (3) The individual attended school in this State for at
19     least 3 years as of the date the individual graduated from
20     high school or received the equivalent of a high school
21     diploma.
22         (4) In the case of an individual who is not a citizen
23     or a permanent resident of the United States, the
24     individual provides the Commission with an affidavit
25     stating that the individual will file an application to
26     become a permanent resident of the United States at the

 

 

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1     earliest opportunity the individual is eligible to do so.
2     (b) The Commission shall, subject to appropriation,
3 implement and administer a higher education revolving loan
4 program to provide loans to eligible students, as defined in
5 this Act and as determined by the Commission, for the costs of
6 attending an institution of higher learning in this State.
7 These loans must be offered at a low interest rate to be
8 determined by the Commission, taking into account in its
9 deliberations both program sustainability and affordability
10 for loan recipients.
11     (c) An individual may not receive loans under this Section
12 in excess of $5,000 or the student's tuition and mandatory
13 fees, whichever is less, per academic year. Loan funds must be
14 paid directly to the institution of higher learning.
15     (d) The repayment period for a loan made under this Section
16 may not exceed 15 years. A person who receives a loan under
17 this Section shall begin repaying the loan beginning 6 months
18 after the person no longer attends an institution of higher
19 learning. The loan recipient shall repay at a minimum 5% of the
20 principal each year or the remaining balance of the loan.
21 Additionally, in each month, the loan recipient shall repay a
22 minimum of $50 or the remaining balance of the loan. All
23 repayments of loans shall be deposited into the Higher
24 Education Revolving Loan Fund.
25     (e) The Higher Education Revolving Loan Fund is created as
26 a special fund in the State treasury. All money in the Fund

 

 

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1 shall be used, subject to appropriation, by the Commission for
2 making loans under this Section. The Fund shall consist of any
3 moneys transferred or appropriated into the Fund, as well as
4 all repayments of loans made under the higher education
5 revolving loan program. The Fund shall be used for the purposes
6 of this Section and for no other purpose. All interest earned
7 on moneys in the Fund shall be deposited into the Fund.
8     (f) The Commission shall adopt any rules necessary to
9 implement and administer this Section.
 
10     Section 99. Effective date. This Act takes effect July 1,
11 2007.".