Dome remains. So should the ’50s Annex. (Photo by Justin Sullivan/Getty Images)
Editor’s Note: The Sacramento Snapshots, a weekly series during Congress, details what Orange County representatives in Congress and the Senate are working on, from committee work to the passage of legislation.
What happens when college students owe debt? Money owed to school, not federal or private loans?
To some, what is known as “educational institution student debt” or “shadow debt” comes in the form of parking tickets or unreturned library books and, if notified, Easy to repay.
However, in other more pernicious cases, if a student withdraws from a course or school before the end of the semester, it can result in institutional debt, which in turn results in the school being forced to pay federal student loans such as Pell grants and loans. Aid must be returned and paid directly to the student.in school
Related: Borrowers flock to Capitol before Supreme Court student debt debate
Advocates say the problem was particularly exacerbated during the COVID-19 pandemic when students were out of school due to illness or caring for family members.
Across California, an estimated 750,000 students collectively owe more than $390 million to state agencies, according to a report by the nonprofit Center for Student Borrower Protection.
Ann effort The California legislature, led by state legislator Blanca Pacheco, seeks to expand protections for students with institutional debt. The bill doesn’t eliminate what you owe, but puts limits on how California’s public and private colleges and universities can try to recover that money.
Specifically, Pacheco’s bill would prohibit universities from denying a student readmission or enrollment in a course, or withholding a degree, solely because of unpaid institutional debt.
It also prohibits schools from using for-profit third-party debt collection agencies as a means of collecting debts, and requires public universities to seize tax refunds to collect debts from the California Franchise Tax Commission. prevent you from doing
Pacheco, who introduced the bill last week at a press conference on the steps of the Capitol, said institutional debt “does significant harm to student access, endurance and degree completion, making it one of the most economically viable institutions across California.” It is wreaking financial havoc on many vulnerable students.” “
When students are awarded federal grants to schools, they tend to spend it on things they need immediately, like textbooks, bus passes, and rent, says a group focused on youth education involvement. said Sarah Bouabibsa, policy and advocacy manager at Young Invincibles. political and economic activity;
In some cases, the school may try to work with the student to provide another source of funding to pay off the debt. But once it’s outsourced to third parties, it gets out of their hands, he said.
“I’m not saying the school can’t collect this debt. They should stop their most harmful practices when trying to collect it,” Buavivsa said.
The bill from Pachecho, the 64th congressional district that includes La Habra, would provide higher education institutions with information about institutional debt owed by students annually in an effort to increase transparency, according to the bill fact sheet. is also compulsory.
AB 1160 has been referred to the Higher Education Commission. It is supported by multiple nonprofit organizations focused on student debt and other issues, as well as the University of California Student Association and the California State Student Association.
in other news
• Senate Public Safety Committee gave green light legislation Provide victims of domestic violence, stalking, and sexual assault with no-charge access to the evidence used to document the incident, including 911 recordings. The bill also extends the deadline for victims to request such documents. D-Irvine Sen. Dave Min said his bill would “make it easier to prosecute abusers.”
of Congressman Kate Sanchez Specification It was intended to reduce the likelihood of fatal allergic reactions on school premises. Require that staff know where and how to use drugs and have access to them.
• From Congressman Coty Petrie Norris, D-Irvine to ensure health care providers are not denied liability coverage simply because they provide abortion services or other gender-affirming care bill for It passed the Insurance Committee last week, and Republicans did not vote in favor. Petrie-Norris said of her: Specification: “It is unacceptable for malpractice insurers to discriminate against providers of sexual and reproductive health care.”
• legislation Senator Katherine Breakspear has expanded the local bodies in which Coastal Committee members can serve, clearing the Senate committee last week with bipartisan support. Breakspeare in counties, including southern Orange County, said the bill would allow people familiar with coastal affairs and community planning to serve in a variety of capacities.
