Nixon Urges Rejection of Latest MOHELA Plan

1 decade 1 year 10 months ago Wednesday, September 06 2006 Sep 6, 2006 Wednesday, September 06, 2006 1:00:04 PM CDT September 06, 2006 in News
Source: (Copyright 2007 The Associated Press All Rights Reserved.)
JEFFERSON CITY - Attorney General Jay Nixon is urging a board to reject Governor Blunt's latest plan to use student loan profits for a college construction boom. Nixon sent a nine page letter today to the board of directors of the Missouri Higher Education Loan Authority. He says the plan is illegal and could harm students. The board is scheduled to consider Blunt's plan Friday. The proposal calls for MOHELA to transfer 350 million dollars to the Missouri Development Finance Board, which would give the money to state colleges and universities for buildings. In exchange, the state would pledge more than one billion dollars in tax-exempt bonding authority for MOHELA over eleven years. The University of Missouri also would consider increasing its use of MOHELA for student loans.

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