Posted by
Ron Devito on Wednesday, July 01, 2009 11:40:40 PM
Alaska Governor Sarah Palin has signed legislation [on July 1, 2009]
that will avert a disruption in new education loans originated by the
Alaska Student Loan Corporation (ASLC). The corporation has financed
its education loan program by issuing tax-exempt revenue bonds in the
capital market. ASLC has been unable to issue bonds due to the
catastrophic capital market (Student Loan Legislation, 2009, ¶1).
Governor
Sarah Palin, joined by members of the Alaska Commission on
Postsecondary Education and the State’s Department of Revenue, prepares
to sign HB 172, a bill related to education loans for Alaskan students
and the Alaska Student Loan Corporation fund.
Governor
Sarah Palin applauds ACPE Commissioner Milton Byrd’s many years of
excellent service to Alaska’s students at a bill signing related to
student loans and the state’s student loan corporation. The governor
was joined by Revenue Deputy Commissioner Jerry Burnett, ACPE Executive
Director Diane Barrans and Jan Sieberts with Alaska Pacific University.
“This
bill ensures Alaska’s students will not be left out in the cold despite
the current economic downturn,” Governor Palin said. “Without this
legislation, no Alaska student loans could be made this fall” (Student
Loan Legislation, 2009, ¶2).
House Bill 172, sponsored by the
governor, enables the Commissioner of Revenue to provide a bridge loan
and directly invest in the corporation’s education loans. HB 172 also
creates a credit enhancement facility to assist ASLC in the issuance of
bonds during the current economic crisis when, without this facility,
it would be uneconomical to issue bonds (Student Loan Legislation,
2009, ¶3).
Governor
Sarah Palin signs HB 172, a bill related to education loans for Alaskan
students and the Alaska Student Loan Corporation fund. The governor was
joined by Revenue Deputy Commissioner Jerry Burnett, ACPE Executive
Director Diane Barrans, ACPE Commissioner Milton Byrd, Senator Bettye
Davis and Jan Sieberts with Alaska Pacific University.
ASLC’s
largest education programs are AlaskAdvantage Stafford Loans and
AlaskAdvantage Supplemental Loans. This year, more than 8,100 Alaska
students relied on one or both of these low-cost education loan
programs to aid in financing their postsecondary education and training
program (Student Loan Legislation, 2009, ¶4).
Governor
Sarah Palin visits with Kelly O’Brian Smith, Dean of Students at Alaska
Pacific University. Governor Palin had just completed a signing
ceremony for HB 172, a bill related to education loans for Alaskan
students and the Alaska Student Loan Corporation fund.
Governor
Sarah Palin met with an Alaska Pacific University student and his
father at the signing of HB 172, a bill related to education loans for
Alaskan students and the Alaska Student Loan Corporation fund.
Commentary
Governor
Palin sponsored this legislation which in plain terms provides a bridge
loan to the ASLC, enabling it to continue providing loans to students
this fall. This is not a grant or free money. It must be paid back. A
bridge loan is a short-term loan which helps the borrower fulfill
financial obligations, until a long-term loan or other financing is
secured. Bridge loans are most often issued to a corporation or
institution -- like a government agency.
According to a Tweet
from Governor Palin, the actual bill was signed June 30, 2009 at her
Anchorage office. This was a ceremonial signing at Alaska Pacific
University. (Palin, 2009, ¶1).
This blog author cannot say it
enough -- he absolutely loves and adores these on-site bill signings at
locations that they effect. This is a hallmark of the Governor's
Transformational Leadership style and her populist roots. Once again,
we see Governor Palin focusing on substantial legislation that makes a
real difference in the lives of the constituents she serves.
References
Governor takes final step in safeguarding student loans. (2009, July 1). State of Alaska, Governor. Retrieved July 1, 2009 from: http://www.gov.state.ak.us/news.php?id=1944
Palin, S.L.H. (2009, June 30). "HB172 sponsored and signed." Twitter, AKGovSarahPalin. Retrieved July 1, 2009 from: http://twitter.com/AKGovSarahPalin/status/2412709876
Photo gallery (n.d.). State of Alaska, Governor. Retrieved July 1, 2009 from: http://www.gov.state.ak.us/photos.php