NY State Senate Bill S522A

Archive: Last Bill Status - Passed Senate

Introduced
In Committee
On Floor Calendar
- Passed Senate
- Passed Assembly
Delivered to Governor
Signed/Vetoed by Governor

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Actions

view actions (10)

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 15, 2016	referred to higher education delivered to assembly passed senate
Jun 01, 2016	ordered to third reading cal.1203 committee discharged and committed to rules
May 17, 2016	reported and committed to finance
Feb 05, 2016	print number 522a
Feb 05, 2016	amend and recommit to higher education
Jan 06, 2016	referred to higher education
Jan 07, 2015	referred to higher education

Votes

view votes

Jun 15, 2016 - floor Vote

S522A

floor

Aye

Nay

Absent

Excused

Abstained

Jun 1, 2016 - Rules committee Vote

S522A

committee

Aye

Nay

Aye with Reservations

Absent

Excused

Abstained

May 17, 2016 - Higher Education committee Vote

S522A

committee

Aye

Nay

Aye with Reservations

Absent

Excused

Abstained

Bill Amendments

Original

A (Active)

Original

A (Active)

S522 - Details

Current Committee:: Assembly Higher Education
Law Section:: Education Law
Laws Affected:: Add Art 14 Part VI §§694-c - 694-g, Ed L; add §99-y, St Fin L
Versions Introduced in Other Legislative Sessions:: 2013-2014: S7791
2017-2018: S2554

S522 - Summary

Establishes the New York student affordable refinancing for tomorrow program (New START) for the purpose of relieving student debt by directly paying an eligible participant's loan debt to the lending institution or lender and providing a repayment plan whereby payments will be deposited in the fund.

S522 - Sponsor Memo

 BILL NUMBER:  S522

 TITLE OF BILL :  An act to amend the education law and the state
finance law, in relation to establishing the New York student
affordable refinancing for tomorrow program (New START)

 PURPOSE :  To establish the New York student affordable refinancing
for tomorrow program (New Start), to authorize the State to pay a
certain amount of a student's education loan debt and establish a
mechanism for such student to pay back the State at a low interest
rate and based on such student's income.

 SUMMARY OF PROVISIONS :

Section 1. Amends Article 14 of the education law to add five new
sections 694-c 694-g, to establish the New York Student Affordable
Refinancing for Tomorrow Program (New Start);

694-c provides definition;

694-d creates the New Start program;

694-e provides for program eligibility;

694-f provides for program details;

694-g provides for program repayment requirements.

Section 2. Amends the state finance law to establish the New York
State Affordable Refinancing for tomorrow fund.

Section 3. Provides for the effective date.

 JUSTIFICATION :  This bill establishes a program to help alleviate
the burden of student loan debt. Eligible students who attend SUNY or
CUNY and graduate with student loan debt would be able to apply to the
Higher Education Services Corporation to have the State pay the
students' private loan debt in a lump sum to the lender, in an amount
up to $35,000. The student would then pay back the State over time
based on their annual salary and ability pay.

Student loan debt has now surpassed credit card debt as the number one
source of debt in this country. It is becoming increasingly harder for
students and their families to afford a higher education. Many
families and students must take out private student loans in order to
attend college. Many private student loans have very high interest
rates that are difficult to pay back.

This bill would relieve student debt by directly paying an eligible
student's private student loan debt and establishing an affordable
repayment plan with low interest rates that would be based upon a
student's yearly income.

 LEGISLATIVE HISTORY : 2014 S.7791

 FISCAL IMPLICATIONS :  To be determined and pursuant to
appropriation.

 EFFECTIVE DATE :  This act shall take effect on the 120th day after
it shall have become a law, provided, however, that effective
immediately, the addition, amendment and/or repeal of any rule or
regulation necessary for the implementation of this act on its
effective date is authorized to be made and completed on or before
such date.

S522 - Bill Text download pdf

                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                   522

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 7, 2015
                               ___________

Introduced  by  Sen. LAVALLE -- read twice and ordered printed, and when
  printed to be committed to the Committee on Higher Education

AN ACT to amend the education law and the state finance law, in relation
  to establishing the New York student affordable refinancing for tomor-
  row program (New START)

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Article 14 of the education law is amended by adding a new
part VI to read as follows:
                                  PART VI
                 NEW YORK STUDENT AFFORDABLE REFINANCING
                    FOR TOMORROW PROGRAM (NEW START)
SECTION 694-C. DEFINITIONS.
        694-D. NEW YORK  STUDENT  AFFORDABLE  REFINANCING  FOR  TOMORROW
                 PROGRAM (NEW START)
        694-E. PROGRAM ELIGIBILITY.
        694-F. PROGRAM.
        694-G. REPAYMENT.
  S  694-C.  DEFINITIONS. FOR PURPOSES OF THIS PART, THE FOLLOWING TERMS
SHALL HAVE THE FOLLOWING MEANINGS:  1. "EDUCATION LOAN" SHALL  MEAN  ANY
STUDENT  LOAN  THAT  THE  STATE  REFINANCES  UNDER  THE PROGRAM THAT WAS
OBTAINED BY A BORROWER FOR THE PURPOSES  OF  ATTENDING  COLLEGE  AT  THE
STATE  UNIVERSITY  OF  NEW  YORK  OR  THE  CITY  UNIVERSITY OF NEW YORK,
PROVIDED, HOWEVER, THAT LOANS PROVIDED BY  THE  FEDERAL  GOVERNMENT,  OR
LOANS  PROVIDED AT AN INTEREST RATE AT OR LOWER THAN THE CURRENT FEDERAL
LOAN INTEREST RATE SHALL NOT  BE  ELIGIBLE  FOR  REFINANCING  UNDER  THE
PROGRAM.
  2.  "PARTICIPANT"  SHALL  MEAN  AN INDIVIDUAL WHO HAS INCURRED STUDENT
LOAN DEBT FROM A LENDING INSTITUTION OR LENDER  TO  COVER  THE  COST  OF
TUITION  AT  THE  STATE UNIVERSITY OF NEW YORK OR THE CITY UNIVERSITY OF

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD03381-01-5

S. 522                              2

NEW YORK AND HAS APPLIED TO PARTICIPATE AND BEEN ACCEPTED TO PARTICIPATE
IN THE PROGRAM.
  3.  "LENDING  INSTITUTION"  OR "LENDER" SHALL MEAN ANY ENTITY THAT HAS
ITSELF OR THROUGH AN AFFILIATE PROVIDED STUDENT  LOANS  TO  AN  ELIGIBLE
PARTICIPANT.
  4.  "PROGRAM"  SHALL  MEAN THE NEW YORK STUDENT AFFORDABLE REFINANCING
FOR TOMORROW PROGRAM (NEW START).
  5. "FUND" SHALL MEAN THE NEW YORK AFFORDABLE REFINANCING FOR  TOMORROW
PROGRAM  FUND  ESTABLISHED  BY SECTION NINTY-NINE-W OF THE STATE FINANCE
LAW.
  S 694-D. NEW YORK STUDENT AFFORDABLE REFINANCING FOR TOMORROW  PROGRAM
(NEW  START).   THE NEW YORK STUDENT AFFORDABLE REFINANCING FOR TOMORROW
PROGRAM (NEW START) IS HEREBY ESTABLISHED FOR THE PURPOSES OF  RELIEVING
STUDENT  DEBT  BY DIRECTLY PAYING AN ELIGIBLE PARTICIPANT'S LOAN DEBT TO
THE LENDING INSTITUTION OR LENDER AND PROVIDING A REPAYMENT PLAN WHEREBY
PAYMENTS WILL BE DEPOSITED IN THE FUND.
  1. THE CORPORATION SHALL PROMULGATE  RULES  AND  REGULATIONS  FOR  THE
ADMINISTRATION OF THIS PROGRAM AND SHALL MANAGE THE FUND IN CONSULTATION
WITH THE OFFICE OF THE COMPTROLLER.
  2.  THE CORPORATION SHALL DETERMINE ADDITIONAL REQUIREMENTS FOR ELIGI-
BLE PARTICIPANTS, OTHER THAN THOSE  SPECIFIED  IN  SECTION  SIX  HUNDRED
NINETY-FOUR-E  OF  THIS  PART,  SHALL  SET A FIXED INTEREST RATE FOR THE
REPAYMENT OF REFINANCED LOANS, WHICH SHALL BE  LOWER  THAN  THE  AVERAGE
MARKET  RATE  FOR PRIVATE STUDENT LOANS, AND SHALL ESTABLISH AN APPLICA-
TION PROCESS FOR THE PROGRAM.
  3. THE CORPORATION SHALL DETERMINE APPROPRIATE PAYMENT  DEFERMENT  AND
FORBEARANCE OPTIONS FOR LOSS OF EMPLOYMENT OR EXTREME HARDSHIP.
  S  694-E.  PROGRAM  ELIGIBILITY.  1. TO BE ELIGIBLE FOR THIS PROGRAM A
PARTICIPANT MUST:
  A. HAVE GRADUATED FROM THE STATE UNIVERSITY OF NEW YORK  OR  THE  CITY
UNIVERSITY OF NEW YORK WITHIN FOUR YEARS, OR FIVE YEARS IF ENROLLED IN A
PROGRAM NORMALLY REQUIRING FIVE YEARS;
  B. HAVE GRADUATED WITH A GRADE POINT AVERAGE AT OR ABOVE 3.0;
  C. HAVE INCURRED STUDENT LOAN DEBT;
  D.  BE GAINFULLY EMPLOYED FOR AT LEAST THREE MONTHS PRIOR TO FILING AN
APPLICATION TO PARTICIPATE IN THE PROGRAM;
  E. AGREE TO SIGN A CONTRACT WITH THE CORPORATION  TO  ALLOW  A  DIRECT
WITHDRAWAL  OF  PAYMENTS FROM THEIR PAY CHECKS UNTIL THE DEBT OBLIGATION
IS PAID IN FULL; AND
  F. MUST APPLY FOR THE PROGRAM WITHIN TWO YEARS  AFTER  COLLEGE  GRADU-
ATION.
  S  694-F.  PROGRAM. 1. THE CORPORATION SHALL MAKE LUMP SUM PAYMENTS TO
LENDING INSTITUTIONS OR LENDERS TO PAY ELIGIBLE PARTICIPANTS'  EDUCATION
LOANS OUT OF THE FUNDS APPROPRIATED TO THE FUND FOR THE PURPOSES OF THIS
PROGRAM  IN  AMOUNTS  NOT  TO  EXCEED  THIRTY-FIVE  THOUSAND DOLLARS PER
PARTICIPANT.
  2. LOANS THAT THE PARTICIPANT ACQUIRED FROM THE FEDERAL GOVERNMENT  OR
THOSE LOANS THAT HAVE A FIXED INTEREST RATE PROVIDED AT AN INTEREST RATE
AT  OR  LOWER  THAN  THE CURRENT FEDERAL LOAN INTEREST RATE SHALL NOT BE
ELIGIBLE FOR ACQUISITION UNDER THE PROGRAM.
  S 694-G. REPAYMENT. 1. PARTICIPANTS SHALL REPAY THE TOTAL COST OF  THE
DEBT OBLIGATION TO THE FUND AT AN INTEREST RATE DETERMINED BY THE CORPO-
RATION ACCORDING TO THE FOLLOWING:
  A.  DURING  THE  FIRST FIVE YEARS OF PARTICIPATION IN THE PROGRAM, THE
PARTICIPANT SHALL PAY THREE PERCENT OF THE SALARY EARNED PER YEAR DURING
EACH OF THOSE YEARS;

S. 522                              3

  B. DURING THE NEXT FIVE YEARS OF PARTICIPATION  IN  THE  PROGRAM,  THE
PARTICIPANT  SHALL PAY FIVE PERCENT OF THE SALARY EARNED PER YEAR DURING
EACH OF THOSE YEARS;
  C.  DURING THE ELEVENTH YEAR OF PARTICIPATION AND EACH YEAR THEREAFTER
UNTIL THE DEBT OBLIGATION IS PAID IN FULL,  THE  PARTICIPANT  SHALL  PAY
EIGHT PERCENT OF THE SALARY EARNED PER YEAR DURING EACH OF THOSE YEARS.
  2.  THERE  SHALL  BE  NO  PRE-PAYMENT  PENALTIES UNDER THE PROGRAM AND
REPAYMENT SCHEDULES MAY BE CALCULATED AT A HIGHER  PERCENTAGE  RATE  PER
YEAR  OF  SALARY IF THE PARTICIPANT CHOOSES OR REQUESTS A FASTER RE-PAY-
MENT OPTION.
  S 2. The state finance law is amended by adding a new section 99-w  to
read as follows:
  S  99-W.  NEW YORK STUDENT AFFORDABLE REFINANCING FOR TOMORROW PROGRAM
FUND. 1. THERE IS HEREBY ESTABLISHED WITHIN THE CUSTODY OF THE NEW  YORK
STATE  HIGHER  EDUCATION  SERVICES CORPORATION, IN CONSULTATION WITH THE
STATE COMPTROLLER, OR HIS OR HER DESIGNEE, A FUND TO BE KNOWN AS THE NEW
YORK STUDENT AFFORDABLE REFINANCING FOR TOMORROW PROGRAM FUND.
  2. ALL MONIES RECEIVED PURSUANT TO THE  NEW  YORK  STUDENT  AFFORDABLE
REFINANCING FOR TOMORROW PROGRAM (NEW START) SHALL BE DEPOSITED INTO THE
FUND  AND  SHALL  BE MANAGED PURSUANT TO PART SIX OF ARTICLE FOURTEEN OF
THE EDUCATION LAW.
  3. ALL NECESSARY RULES AND REGULATIONS  FOR  THE  SUCCESSFUL  ADMINIS-
TRATION,  INVESTMENT AND MANAGEMENT OF SUCH FUND SHALL BE PROMULGATED BY
SUCH CORPORATION, IN CONSULTATION WITH THE STATE COMPTROLLER, OR HIS  OR
HER DESIGNEE.
  S 3. This act shall take effect on the one hundred twentieth day after
it shall have become a law, provided, however, that effective immediate-
ly,  the  addition,  amendment  and/or  repeal of any rule or regulation
necessary for the implementation of this act on its  effective  date  is
authorized to be made and completed on or before such date.

S522A (ACTIVE) - Details

Current Committee:: Assembly Higher Education
Law Section:: Education Law
Laws Affected:: Add Art 14 Part VI §§694-c - 694-g, Ed L; add §99-y, St Fin L
Versions Introduced in Other Legislative Sessions:: 2013-2014: S7791
2017-2018: S2554

S522A (ACTIVE) - Summary

S522A (ACTIVE) - Sponsor Memo

 BILL NUMBER:  S522A

 TITLE OF BILL :  An act to amend the education law and the state
finance law, in relation to establishing the New York student
affordable refinancing for tomorrow program (New START)

 PURPOSE :

To establish the New York student affordable refinancing for tomorrow
program (New Start), to authorize the State to pay a certain amount of
a student's education loan debt and establish a mechanism for such
student to pay back the State at a low interest rate and based on such
student's income.

 SUMMARY OF PROVISIONS :

Section 1. Amends Article 14 of the education law to add five new
sections 694-c 694-g, to establish the New York Student Affordable
Refinancing for Tomorrow Program (New Start);

694-c provides definition;
694-d creates the New Start program;
694-e provides for program eligibility;
694-f provides for program details;
694-g provides for program repayment requirements.

Section 2. Amends the state finance law to establish the New York
State Affordable Refinancing for tomorrow fund.

Section 3. Provides for the effective date.

 JUSTIFICATION :

This bill establishes a program to help alleviate the burden of
student loan debt. Eligible students who attend SUNY or CUNY and
graduate with student loan debt would be able to apply to the Higher
Education Services Corporation to have the State pay the students'
private loan debt in a lump sum to the lender, in an amount up to
$35,000. The student would then pay back the State over time based on
their annual salary and ability pay.

Student loan debt has now surpassed credit card debt as the number one
source of debt in this country. It is becoming increasingly harder for
students and their families to afford a higher education. Many
families and students must take out private student loans in order to
attend college. Many private student loans have very high interest
rates that are difficult to pay back.

This bill would relieve student debt by directly paying an eligible
student's private student loan debt and establishing an affordable
repayment plan with low interest rates that would be based upon a
student's yearly income.

 LEGISLATIVE HISTORY :

2014 S.7791

 FISCAL IMPLICATIONS :

To be determined and pursuant to appropriation.

 EFFECTIVE DATE :
This act shall take effect on the 120th day after it shall have become
a law, provided, however, that effective immediately, the addition,
amendment and/or repeal of any rule or regulation necessary for the
implementation of this act on its effective date is authorized to be
made and completed on or before such date.

S522A (ACTIVE) - Bill Text download pdf

                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 522--A

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 7, 2015
                               ___________

Introduced  by  Sen. LAVALLE -- read twice and ordered printed, and when
  printed to be committed to the Committee on Higher Education -- recom-
  mitted to the Committee on Higher Education in accordance with  Senate
  Rule  6,  sec.  8  --  committee  discharged,  bill  amended,  ordered
  reprinted as amended and recommitted to said committee

AN ACT to amend the education law and the state finance law, in relation
  to establishing the New York student affordable refinancing for tomor-
  row program (New START)

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Article 14 of the education law is amended by adding a new
part VI to read as follows:
                                  PART VI
                 NEW YORK STUDENT AFFORDABLE REFINANCING
                    FOR TOMORROW PROGRAM (NEW START)
SECTION 694-C. DEFINITIONS.
        694-D. NEW YORK  STUDENT  AFFORDABLE  REFINANCING  FOR  TOMORROW
                 PROGRAM (NEW START)
        694-E. PROGRAM ELIGIBILITY.
        694-F. PROGRAM.
        694-G. REPAYMENT.
  S  694-C.  DEFINITIONS. FOR PURPOSES OF THIS PART, THE FOLLOWING TERMS
SHALL HAVE THE FOLLOWING MEANINGS:  1. "EDUCATION LOAN" SHALL  MEAN  ANY
STUDENT  LOAN  THAT  THE  STATE  REFINANCES  UNDER  THE PROGRAM THAT WAS
OBTAINED BY A BORROWER FOR THE PURPOSES  OF  ATTENDING  COLLEGE  AT  THE
STATE  UNIVERSITY  OF  NEW  YORK  OR  THE  CITY  UNIVERSITY OF NEW YORK,
PROVIDED, HOWEVER, THAT LOANS PROVIDED BY  THE  FEDERAL  GOVERNMENT,  OR
LOANS  PROVIDED AT AN INTEREST RATE AT OR LOWER THAN THE CURRENT FEDERAL
LOAN INTEREST RATE SHALL NOT  BE  ELIGIBLE  FOR  REFINANCING  UNDER  THE
PROGRAM.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD03381-02-6

S. 522--A                           2

  2.  "PARTICIPANT"  SHALL  MEAN  AN INDIVIDUAL WHO HAS INCURRED STUDENT
LOAN DEBT FROM A LENDING INSTITUTION OR LENDER  TO  COVER  THE  COST  OF
TUITION  AT  THE  STATE UNIVERSITY OF NEW YORK OR THE CITY UNIVERSITY OF
NEW YORK AND HAS APPLIED TO PARTICIPATE AND BEEN ACCEPTED TO PARTICIPATE
IN THE PROGRAM.
  3.  "LENDING  INSTITUTION"  OR "LENDER" SHALL MEAN ANY ENTITY THAT HAS
ITSELF OR THROUGH AN AFFILIATE PROVIDED STUDENT  LOANS  TO  AN  ELIGIBLE
PARTICIPANT.
  4.  "PROGRAM"  SHALL  MEAN THE NEW YORK STUDENT AFFORDABLE REFINANCING
FOR TOMORROW PROGRAM (NEW START).
  5. "FUND" SHALL MEAN THE NEW YORK AFFORDABLE REFINANCING FOR  TOMORROW
PROGRAM  FUND  ESTABLISHED  BY SECTION NINTY-NINE-Y OF THE STATE FINANCE
LAW.
  S 694-D. NEW YORK STUDENT AFFORDABLE REFINANCING FOR TOMORROW  PROGRAM
(NEW  START).   THE NEW YORK STUDENT AFFORDABLE REFINANCING FOR TOMORROW
PROGRAM (NEW START) IS HEREBY ESTABLISHED FOR THE PURPOSES OF  RELIEVING
STUDENT  DEBT  BY DIRECTLY PAYING AN ELIGIBLE PARTICIPANT'S LOAN DEBT TO
THE LENDING INSTITUTION OR LENDER AND PROVIDING A REPAYMENT PLAN WHEREBY
PAYMENTS WILL BE DEPOSITED IN THE FUND.
  1. THE CORPORATION SHALL PROMULGATE  RULES  AND  REGULATIONS  FOR  THE
ADMINISTRATION OF THIS PROGRAM AND SHALL MANAGE THE FUND IN CONSULTATION
WITH THE OFFICE OF THE COMPTROLLER.
  2.  THE CORPORATION SHALL DETERMINE ADDITIONAL REQUIREMENTS FOR ELIGI-
BLE PARTICIPANTS, OTHER THAN THOSE  SPECIFIED  IN  SECTION  SIX  HUNDRED
NINETY-FOUR-E  OF  THIS  PART,  SHALL  SET A FIXED INTEREST RATE FOR THE
REPAYMENT OF REFINANCED LOANS, WHICH SHALL BE  LOWER  THAN  THE  AVERAGE
MARKET  RATE  FOR PRIVATE STUDENT LOANS, AND SHALL ESTABLISH AN APPLICA-
TION PROCESS FOR THE PROGRAM.
  3. THE CORPORATION SHALL DETERMINE APPROPRIATE PAYMENT  DEFERMENT  AND
FORBEARANCE OPTIONS FOR LOSS OF EMPLOYMENT OR EXTREME HARDSHIP.
  S  694-E.  PROGRAM  ELIGIBILITY.  1. TO BE ELIGIBLE FOR THIS PROGRAM A
PARTICIPANT MUST:
  A. HAVE GRADUATED FROM THE STATE UNIVERSITY OF NEW YORK  OR  THE  CITY
UNIVERSITY OF NEW YORK WITHIN FOUR YEARS, OR FIVE YEARS IF ENROLLED IN A
PROGRAM NORMALLY REQUIRING FIVE YEARS;
  B. HAVE GRADUATED WITH A GRADE POINT AVERAGE AT OR ABOVE 3.0;
  C. HAVE INCURRED STUDENT LOAN DEBT;
  D.  BE GAINFULLY EMPLOYED FOR AT LEAST THREE MONTHS PRIOR TO FILING AN
APPLICATION TO PARTICIPATE IN THE PROGRAM;
  E. AGREE TO SIGN A CONTRACT WITH THE CORPORATION  TO  ALLOW  A  DIRECT
WITHDRAWAL  OF  PAYMENTS FROM THEIR PAY CHECKS UNTIL THE DEBT OBLIGATION
IS PAID IN FULL; AND
  F. MUST APPLY FOR THE PROGRAM WITHIN TWO YEARS  AFTER  COLLEGE  GRADU-
ATION.
  S  694-F.  PROGRAM. 1. THE CORPORATION SHALL MAKE LUMP SUM PAYMENTS TO
LENDING INSTITUTIONS OR LENDERS TO PAY ELIGIBLE PARTICIPANTS'  EDUCATION
LOANS OUT OF THE FUNDS APPROPRIATED TO THE FUND FOR THE PURPOSES OF THIS
PROGRAM  IN  AMOUNTS  NOT  TO  EXCEED  THIRTY-FIVE  THOUSAND DOLLARS PER
PARTICIPANT.
  2. LOANS THAT THE PARTICIPANT ACQUIRED FROM THE FEDERAL GOVERNMENT  OR
THOSE LOANS THAT HAVE A FIXED INTEREST RATE PROVIDED AT AN INTEREST RATE
AT  OR  LOWER  THAN  THE CURRENT FEDERAL LOAN INTEREST RATE SHALL NOT BE
ELIGIBLE FOR ACQUISITION UNDER THE PROGRAM.
  S 694-G. REPAYMENT. 1. PARTICIPANTS SHALL REPAY THE TOTAL COST OF  THE
DEBT OBLIGATION TO THE FUND AT AN INTEREST RATE DETERMINED BY THE CORPO-
RATION ACCORDING TO THE FOLLOWING:

S. 522--A                           3

  A.  DURING  THE  FIRST FIVE YEARS OF PARTICIPATION IN THE PROGRAM, THE
PARTICIPANT SHALL PAY THREE PERCENT OF THE SALARY EARNED PER YEAR DURING
EACH OF THOSE YEARS;
  B.  DURING  THE  NEXT  FIVE YEARS OF PARTICIPATION IN THE PROGRAM, THE
PARTICIPANT SHALL PAY FIVE PERCENT OF THE SALARY EARNED PER YEAR  DURING
EACH OF THOSE YEARS;
  C.  DURING THE ELEVENTH YEAR OF PARTICIPATION AND EACH YEAR THEREAFTER
UNTIL THE DEBT OBLIGATION IS PAID IN FULL,  THE  PARTICIPANT  SHALL  PAY
EIGHT PERCENT OF THE SALARY EARNED PER YEAR DURING EACH OF THOSE YEARS.
  2.  THERE  SHALL  BE  NO  PRE-PAYMENT  PENALTIES UNDER THE PROGRAM AND
REPAYMENT SCHEDULES MAY BE CALCULATED AT A HIGHER  PERCENTAGE  RATE  PER
YEAR  OF  SALARY IF THE PARTICIPANT CHOOSES OR REQUESTS A FASTER RE-PAY-
MENT OPTION.
  S 2. The state finance law is amended by adding a new section 99-y  to
read as follows:
  S  99-Y.  NEW YORK STUDENT AFFORDABLE REFINANCING FOR TOMORROW PROGRAM
FUND. 1. THERE IS HEREBY ESTABLISHED WITHIN THE CUSTODY OF THE NEW  YORK
STATE  HIGHER  EDUCATION  SERVICES CORPORATION, IN CONSULTATION WITH THE
STATE COMPTROLLER, OR HIS OR HER DESIGNEE, A FUND TO BE KNOWN AS THE NEW
YORK STUDENT AFFORDABLE REFINANCING FOR TOMORROW PROGRAM FUND.
  2. ALL MONIES RECEIVED PURSUANT TO THE  NEW  YORK  STUDENT  AFFORDABLE
REFINANCING FOR TOMORROW PROGRAM (NEW START) SHALL BE DEPOSITED INTO THE
FUND  AND  SHALL  BE MANAGED PURSUANT TO PART SIX OF ARTICLE FOURTEEN OF
THE EDUCATION LAW.
  3. ALL NECESSARY RULES AND REGULATIONS  FOR  THE  SUCCESSFUL  ADMINIS-
TRATION,  INVESTMENT AND MANAGEMENT OF SUCH FUND SHALL BE PROMULGATED BY
SUCH CORPORATION, IN CONSULTATION WITH THE STATE COMPTROLLER, OR HIS  OR
HER DESIGNEE.
  S 3. This act shall take effect on the one hundred twentieth day after
it shall have become a law, provided, however, that effective immediate-
ly,  the  addition,  amendment  and/or  repeal of any rule or regulation
necessary for the implementation of this act on its  effective  date  is
authorized to be made and completed on or before such date.

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The New York State Senate

senate Bill S522A

Sponsored By

Archive: Last Bill Status - Passed Senate

Your Voice

Actions

Votes

Jun 15, 2016 - floor Vote

Floor Vote: Jun 15, 2016

Jun 1, 2016 - Rules committee Vote

Rules Committee Vote: Jun 1, 2016

May 17, 2016 - Higher Education committee Vote

Higher Education Committee Vote: May 17, 2016

Bill Amendments

S522 - Details

S522 - Summary

S522 - Sponsor Memo

S522 - Bill Text download pdf

S522A (ACTIVE) - Details

S522A (ACTIVE) - Summary

S522A (ACTIVE) - Sponsor Memo

S522A (ACTIVE) - Bill Text download pdf

Comments

senate Bill S522A

Share this bill

Sponsored By

Kenneth P. LaValle

Archive: Last Bill Status - Passed Senate

Your Voice

Actions

Votes

Jun 15, 2016 - floor Vote

Floor Vote: Jun 15, 2016

Jun 1, 2016 - Rules committee Vote

Rules Committee Vote: Jun 1, 2016

May 17, 2016 - Higher Education committee Vote

Higher Education Committee Vote: May 17, 2016

Bill Amendments

S522 - Details

S522 - Summary

S522 - Sponsor Memo

S522 - Bill Text download pdf

S522A (ACTIVE) - Details

S522A (ACTIVE) - Summary

S522A (ACTIVE) - Sponsor Memo

S522A (ACTIVE) - Bill Text download pdf

Comments