§ 22-4.1-21-18 — Student assurance fund; administration

(a) The student assurance fund is
established to provide indemnification to a student or an enrollee of a
postsecondary proprietary educational institution who suffers loss or
damage as a result of an occurrence described in section 15(c) of this
chapter if the occurrence transpired after June 30, 1992, and as
provided in section 35 of this chapter.
(b) The department shall administer the fund.
(c) The expenses of administering the fund shall be paid from
money in the fund.
(d) The treasurer of state shall invest the money in the fund not
currently needed to meet the obligations of the fund in the same
manner as other public funds may be invested.
(e) Money in the fund at the end of a state fiscal year does not revert
to the state general fund but remains available to be used for providing
money for reimbursements allowed under this chapter.
(f) Upon the fund acquiring fifty thousand dollars ($50,000), the
balance in the fund must not become less than fifty thousand dollars
($50,000). If:
(1) a claim against the fund is filed that would, if paid in full,
require the balance of the fund to become less than fifty thousand
dollars ($50,000); and
(2) the department determines that the student is eligible for a
reimbursement under the fund;
the department shall prorate the amount of the reimbursement to ensure
that the balance of the fund does not become less than fifty thousand
dollars ($50,000), and the student is entitled to receive that balance of
the student's claim from the fund as money becomes available in the
fund from contributions to the fund required under this chapter.
(g) The department shall ensure that all outstanding claim amounts
described in subsection (f) are paid as money in the fund becomes
available in the chronological order of the outstanding claims.
(h) A claim against the fund may not be construed to be a debt of the
state.

Legislative History

As added by P.L.107-2012, SEC.61. Amended by P.L.178-2016, SEC.12.