Enrolled Bill Summary

The Texas Guaranteed Student Loan Corporation was created in 1979 to administer the federal Guaranteed Student Loan Program now known as the Federal Family Education Loan Program (FFELP) on behalf of the U.S. Department of Education for the State of Texas. House Bill 2568 amends the Education Code to conform the corporation's statutory authority to recent changes in the federal program. The act requires the corporation to participate in cooperative awareness efforts with other entities to disseminate information about the availability of student financial aid, the program, and student loan default prevention and to take an active role in coordinating, facilitating, and supporting related programs to help families obtain postsecondary education financing, prevent student loan defaults, and increase postsecondary student retention and graduation rates. The act removes certain prohibitions and restrictions on the corporation's use of funds and its authority to impose and collect insurance premiums and makes other conforming changes relating to corporation investments and the maintenance of reserve and operating funds.