AN ACT relating to student financial assistance.
     Amend KRS 164A.240, relating to the Kentucky Higher Education Student Loan Corporation (KHESLC), to change the definitions of "eligible borrower," "eligible institution," and eligible lender" to include any individual or entity approved by the corporation, and the definition of "insured student loan" or "student loan" to include any educational loan; grant KHESLC the authority to cause educational loans to be made as well as to make loans; exempt the bonds or notes issued by KHESLC from KRS 164A.080(3), which requires prior approval of the General Assembly for the issuance of bonds insured for less than 95% of the repayment amount; exempt the bonds or notes issued by KHESLC from the provisions of KRS 164A.160, which requires KHESLC to make a formal budget request to restore depleted reserve or replacement funds; permit the co-mingling of the proceeds of bonds or notes for insured and uninsured student loans; expand the definition of maximum permitted loan amount; stipulate that a student borrower under the age of 18 has all of the rights and responsibilities of an adult borrower; require the KHESLC to establish interest rates and other terms and conditions in a manner it determines to be financially sound; exempt loans issues by the KHESLC from other Kentucky statutes governing interest rates; stipulate that loans made by the KHESLC are governed by Kentucky law; amend KRS 164A.160 to limit the provision requiring executive branch notification of the monetary deficiency of a bond or note contract to those bonds or notes issued prior to January 1, 2003.

     Feb 6-introduced in Senate
     Feb 11-to Education (S)
     Feb 12-reported favorably, 1st reading, to Consent Calendar
     Feb 13-2nd reading, to Rules
     Feb 18-posted for passage in the Consent Orders of the Day for Wednesday, February 19, 2003
     Feb 19-3rd reading, passed 38-0; received in House
     Feb 20-to Education (H)
     Feb 24-posted in committee
     Feb 26-reported favorably, 1st reading, to Calendar
     Feb 27-2nd reading, to Rules
     Mar 3-posted for passage in the Regular Orders of the Day for Tuesday, March 4, 2003
     Mar 5-floor amendments (1) and (2-title) filed ; 3rd reading, passed 95-0; received in Senate
     Mar 6-enrolled, signed by each presiding officer; delivered to Governor
     Mar 7-signed by Governor (Acts ch. 8)