CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 1178Introduced by Assembly Member CalderonFebruary 17, 2017 An act to add Section 69509.6 to the Education Code, relating to postsecondary education. LEGISLATIVE COUNSEL'S DIGESTAB 1178, as introduced, Calderon. Postsecondary education: student loans.Under existing law, the segments of postsecondary education in this state are the University of California, the California State University, the California Community Colleges, independent institutions of higher education, and private postsecondary educational institutions.This bill would require, commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission to, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes specified information. The bill would require, commencing in 2020, on or before January 1 of each year, the institution to submit an annual report to the Legislative Analysts Office on the effectiveness of the letters at reducing the education loan debt of its students for the academic year preceding the report.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 69509.6 is added to the Education Code, to read:69509.6. (a) Commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission shall, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes all of the following information:(1) An estimate of all of the following:(A) The total cumulative amount of his or her federal, state, and private education loans.(B) The potential total payoff amount of his or her federal, state, and private education loans incurred or a range of the total payoff amount.(C) Monthly repayment amounts that a similarly situated borrower may incur, including principal and interest, for the amount of loans the student has taken out at the time the information is provided.(D) The percentage of the cumulative federal borrowing limit that he or she has reached at the time the information is provided.(2) A statement that the estimates provided pursuant to paragraph (1) are general in nature and not meant as a guarantee or promise of the actual projected amounts.(3) Contact information for the institutions financial aid office or a financial aid or academic adviser of the institution.(b) Commencing in 2020, on or before January 1 of each year, each institution described in subdivision (a) shall annually report to the Legislative Analysts Office on the effectiveness of the letters provided pursuant to subdivision (a) at reducing the education loan debt of its students for the academic year preceding the report.(c) An institution described in subdivision (a) shall not incur liability for any representations made in the estimates provided pursuant to paragraph (1) of subdivision (a).
CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 1178Introduced by Assembly Member CalderonFebruary 17, 2017 An act to add Section 69509.6 to the Education Code, relating to postsecondary education. LEGISLATIVE COUNSEL'S DIGESTAB 1178, as introduced, Calderon. Postsecondary education: student loans.Under existing law, the segments of postsecondary education in this state are the University of California, the California State University, the California Community Colleges, independent institutions of higher education, and private postsecondary educational institutions.This bill would require, commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission to, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes specified information. The bill would require, commencing in 2020, on or before January 1 of each year, the institution to submit an annual report to the Legislative Analysts Office on the effectiveness of the letters at reducing the education loan debt of its students for the academic year preceding the report.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO
CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION
Assembly Bill No. 1178
Introduced by Assembly Member CalderonFebruary 17, 2017
Introduced by Assembly Member Calderon
February 17, 2017
An act to add Section 69509.6 to the Education Code, relating to postsecondary education.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 1178, as introduced, Calderon. Postsecondary education: student loans.
Under existing law, the segments of postsecondary education in this state are the University of California, the California State University, the California Community Colleges, independent institutions of higher education, and private postsecondary educational institutions.This bill would require, commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission to, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes specified information. The bill would require, commencing in 2020, on or before January 1 of each year, the institution to submit an annual report to the Legislative Analysts Office on the effectiveness of the letters at reducing the education loan debt of its students for the academic year preceding the report.
Under existing law, the segments of postsecondary education in this state are the University of California, the California State University, the California Community Colleges, independent institutions of higher education, and private postsecondary educational institutions.
This bill would require, commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission to, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes specified information. The bill would require, commencing in 2020, on or before January 1 of each year, the institution to submit an annual report to the Legislative Analysts Office on the effectiveness of the letters at reducing the education loan debt of its students for the academic year preceding the report.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 69509.6 is added to the Education Code, to read:69509.6. (a) Commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission shall, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes all of the following information:(1) An estimate of all of the following:(A) The total cumulative amount of his or her federal, state, and private education loans.(B) The potential total payoff amount of his or her federal, state, and private education loans incurred or a range of the total payoff amount.(C) Monthly repayment amounts that a similarly situated borrower may incur, including principal and interest, for the amount of loans the student has taken out at the time the information is provided.(D) The percentage of the cumulative federal borrowing limit that he or she has reached at the time the information is provided.(2) A statement that the estimates provided pursuant to paragraph (1) are general in nature and not meant as a guarantee or promise of the actual projected amounts.(3) Contact information for the institutions financial aid office or a financial aid or academic adviser of the institution.(b) Commencing in 2020, on or before January 1 of each year, each institution described in subdivision (a) shall annually report to the Legislative Analysts Office on the effectiveness of the letters provided pursuant to subdivision (a) at reducing the education loan debt of its students for the academic year preceding the report.(c) An institution described in subdivision (a) shall not incur liability for any representations made in the estimates provided pursuant to paragraph (1) of subdivision (a).
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 69509.6 is added to the Education Code, to read:69509.6. (a) Commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission shall, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes all of the following information:(1) An estimate of all of the following:(A) The total cumulative amount of his or her federal, state, and private education loans.(B) The potential total payoff amount of his or her federal, state, and private education loans incurred or a range of the total payoff amount.(C) Monthly repayment amounts that a similarly situated borrower may incur, including principal and interest, for the amount of loans the student has taken out at the time the information is provided.(D) The percentage of the cumulative federal borrowing limit that he or she has reached at the time the information is provided.(2) A statement that the estimates provided pursuant to paragraph (1) are general in nature and not meant as a guarantee or promise of the actual projected amounts.(3) Contact information for the institutions financial aid office or a financial aid or academic adviser of the institution.(b) Commencing in 2020, on or before January 1 of each year, each institution described in subdivision (a) shall annually report to the Legislative Analysts Office on the effectiveness of the letters provided pursuant to subdivision (a) at reducing the education loan debt of its students for the academic year preceding the report.(c) An institution described in subdivision (a) shall not incur liability for any representations made in the estimates provided pursuant to paragraph (1) of subdivision (a).
SECTION 1. Section 69509.6 is added to the Education Code, to read:
### SECTION 1.
69509.6. (a) Commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission shall, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes all of the following information:(1) An estimate of all of the following:(A) The total cumulative amount of his or her federal, state, and private education loans.(B) The potential total payoff amount of his or her federal, state, and private education loans incurred or a range of the total payoff amount.(C) Monthly repayment amounts that a similarly situated borrower may incur, including principal and interest, for the amount of loans the student has taken out at the time the information is provided.(D) The percentage of the cumulative federal borrowing limit that he or she has reached at the time the information is provided.(2) A statement that the estimates provided pursuant to paragraph (1) are general in nature and not meant as a guarantee or promise of the actual projected amounts.(3) Contact information for the institutions financial aid office or a financial aid or academic adviser of the institution.(b) Commencing in 2020, on or before January 1 of each year, each institution described in subdivision (a) shall annually report to the Legislative Analysts Office on the effectiveness of the letters provided pursuant to subdivision (a) at reducing the education loan debt of its students for the academic year preceding the report.(c) An institution described in subdivision (a) shall not incur liability for any representations made in the estimates provided pursuant to paragraph (1) of subdivision (a).
69509.6. (a) Commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission shall, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes all of the following information:(1) An estimate of all of the following:(A) The total cumulative amount of his or her federal, state, and private education loans.(B) The potential total payoff amount of his or her federal, state, and private education loans incurred or a range of the total payoff amount.(C) Monthly repayment amounts that a similarly situated borrower may incur, including principal and interest, for the amount of loans the student has taken out at the time the information is provided.(D) The percentage of the cumulative federal borrowing limit that he or she has reached at the time the information is provided.(2) A statement that the estimates provided pursuant to paragraph (1) are general in nature and not meant as a guarantee or promise of the actual projected amounts.(3) Contact information for the institutions financial aid office or a financial aid or academic adviser of the institution.(b) Commencing in 2020, on or before January 1 of each year, each institution described in subdivision (a) shall annually report to the Legislative Analysts Office on the effectiveness of the letters provided pursuant to subdivision (a) at reducing the education loan debt of its students for the academic year preceding the report.(c) An institution described in subdivision (a) shall not incur liability for any representations made in the estimates provided pursuant to paragraph (1) of subdivision (a).
69509.6. (a) Commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission shall, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes all of the following information:(1) An estimate of all of the following:(A) The total cumulative amount of his or her federal, state, and private education loans.(B) The potential total payoff amount of his or her federal, state, and private education loans incurred or a range of the total payoff amount.(C) Monthly repayment amounts that a similarly situated borrower may incur, including principal and interest, for the amount of loans the student has taken out at the time the information is provided.(D) The percentage of the cumulative federal borrowing limit that he or she has reached at the time the information is provided.(2) A statement that the estimates provided pursuant to paragraph (1) are general in nature and not meant as a guarantee or promise of the actual projected amounts.(3) Contact information for the institutions financial aid office or a financial aid or academic adviser of the institution.(b) Commencing in 2020, on or before January 1 of each year, each institution described in subdivision (a) shall annually report to the Legislative Analysts Office on the effectiveness of the letters provided pursuant to subdivision (a) at reducing the education loan debt of its students for the academic year preceding the report.(c) An institution described in subdivision (a) shall not incur liability for any representations made in the estimates provided pursuant to paragraph (1) of subdivision (a).
69509.6. (a) Commencing in 2018, between August 31 and October 1 of each year, each higher education institution that enrolls students who receive student financial aid administered by the Student Aid Commission shall, to the extent that the institution receives a student borrowers federal, state, and private education loan information, send a letter to the student that includes all of the following information:
(1) An estimate of all of the following:
(A) The total cumulative amount of his or her federal, state, and private education loans.
(B) The potential total payoff amount of his or her federal, state, and private education loans incurred or a range of the total payoff amount.
(C) Monthly repayment amounts that a similarly situated borrower may incur, including principal and interest, for the amount of loans the student has taken out at the time the information is provided.
(D) The percentage of the cumulative federal borrowing limit that he or she has reached at the time the information is provided.
(2) A statement that the estimates provided pursuant to paragraph (1) are general in nature and not meant as a guarantee or promise of the actual projected amounts.
(3) Contact information for the institutions financial aid office or a financial aid or academic adviser of the institution.
(b) Commencing in 2020, on or before January 1 of each year, each institution described in subdivision (a) shall annually report to the Legislative Analysts Office on the effectiveness of the letters provided pursuant to subdivision (a) at reducing the education loan debt of its students for the academic year preceding the report.
(c) An institution described in subdivision (a) shall not incur liability for any representations made in the estimates provided pursuant to paragraph (1) of subdivision (a).