PRINTER'S NO. 1424
No. 1152 Session of 1989
INTRODUCED BY HESS, FATTAH, WILT, LINCOLN, HOPPER, REIBMAN,
RHOADES AND LYNCH, JULY 7, 1989
REFERRED TO EDUCATION, JULY 7, 1989
AN ACT
1 Amending the act of August 7, 1963 (P.L.549, No.290), entitled,
2 as amended, "An act creating the Pennsylvania Higher
3 Education Assistance Agency; defining its powers and duties;
4 conferring powers and imposing duties on the Governor,
5 President Pro Tempore of the Senate, Speaker of the House of
6 Representatives, Superintendent of Public Instruction and the
7 Department of Auditor General; and making appropriations,"
8 further providing for aggregate indebtedness.
9 The General Assembly of the Commonwealth of Pennsylvania
10 hereby enacts as follows:
11 Section 1. Section 5.1(a.1) of the act of August 7, 1963
12 (P.L.549, No.290), referred to as the Pennsylvania Higher
13 Education Assistance Agency Act, amended July 13, 1988 (P.L.544,
14 No.96), is amended to read:
15 Section 5.1. Bonds, Notes and other Indebtedness.--* * *
16 (a.1) The proceeds realized from the sale of notes, bonds or
17 similar indebtedness shall be used for the purpose of
18 purchasing, making or guaranteeing loans to students or parents,
19 or to lending institutions or postsecondary institutions for the
20 purpose of student loans and the cost of issuance of the
1 indebtedness, the establishment of reserve funds from the
2 proceeds of the indebtedness, administration of the loans
3 purchased, made or guaranteed and other costs associated with
4 loans purchased, made or guaranteed with funds from the proceeds
5 of the indebtedness. The aggregate principal amount of bonds,
6 notes and similar evidences of indebtedness of the agency shall
7 not exceed [twenty] thirty per cent of the total of loans
8 purchased, made or guaranteed by the agency.
9 * * *
10 Section 2. This act shall take effect in 60 days.
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