Texas House Bill HB258

Texas 2019 - 86th Regular

Caption

Relating to the abolition of student loan default or breach of a student loan repayment or scholarship contract as a ground for nonrenewal or other disciplinary action in relation to a professional or occupational license.

Impact

If enacted, HB258 would remove a significant barrier for individuals in various professions, as it would prevent their licenses from being revoked or not renewed solely due to issues with student loan repayments. This change could encourage more individuals to pursue careers in fields requiring professional or occupational licenses, as they would no longer face the fear of losing their livelihood because of their student loan status. Furthermore, it would align the licensing process with the understanding that financial challenges should not dictate a person's ability to maintain their professional qualifications.

Summary

House Bill 258 (HB258) is legislation aimed at abolishing the grounds for nonrenewal or disciplinary action related to professional or occupational licenses based on student loan defaults or breaches of student loan repayment or scholarship contracts. Specifically, the bill addresses provisions in the Finance Code that allowed for the denial of license renewals for those who are in default on student loans administered by the Texas Guaranteed Student Loan Corporation. Proponents of this bill argue that tying professional licensing to student loan payments can disproportionately affect individuals, particularly those who might already be facing financial hardships due to their circumstances.

Contention

During discussions surrounding HB258, there were notable points of contention, primarily centered around the implications of removing this financial criterion for professional licensing. Critics may argue that it could undermine the accountability mechanisms designed to ensure that individuals in certain professional fields are financially responsible. On the other hand, supporters contend that it would promote social equity by allowing more individuals, particularly those from lower-income backgrounds, to maintain their professional licenses without the additional burden of student loan defaults affecting their career prospects.