I. The authority is empowered to issue bonds and other obligations for the purposes specified in this chapter in accordance with this section, and the business finance authority is empowered to issue bonds and other obligations for the purposes specified in this chapter and in accordance with this section.
II. [Repealed.]
III. No bonds or other obligations shall be issued except after the governor and council, or their designee, after hearing, shall have found that:
(a)The origination or acquisition of low cost loans by a loan corporation, a qualified educational institution or the foundation to qualified students or their parents will assist the students in attending their educational institutions and will lower the cost to the students of financing their educations;
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I. The authority is empowered to issue bonds and other obligations for the purposes specified in this chapter in accordance with this section, and the business finance authority is empowered to issue bonds and other obligations for the purposes specified in this chapter and in accordance with this section.
II. [Repealed.]
III. No bonds or other obligations shall be issued except after the governor and council, or their designee, after hearing, shall have found that:
(a) The origination or acquisition of low cost loans by a loan corporation, a qualified educational institution or the foundation to qualified students or their parents will assist the students in attending their educational institutions and will lower the cost to the students of financing their educations;
(b) Adequate provision has been or will be made for the payment of the principal of, or interest on, any obligations issued by the authority to finance such loan programs.
(c) Adequate provision has been made for the payment of the reasonable expenses of administration of the loan programs as are necessitated by the programs.
(d) The proposed procedures for redistribution of the bond proceeds, collection of student payments, interest charges and any other matters concerning the administration of the loan program are in conformance with law.
IV. The authority and the business finance authority, to further their respective student loan programs, each shall have the power to:
(a) Determine the nature of student loan programs for eligible students or their parents for which the authority or the business finance authority, as applicable, will issue bonds;
(b) Enter into contracts for any or all student loan program purposes;
(c) Enter into contracts for the administration or servicing of student loans;
(d) Designate the foundation, a particular qualified educational institution or institutions, or loan corporation or corporations, as its agent for accomplishing its purposes;
(e) Make loans with proceeds of the sale of its bonds to the foundation, any qualified educational institution, or any loan corporation in accordance with an agreement between the authority or the business finance authority, as applicable, and such other party or parties; provided that the proceeds of any loan made to the foundation shall be used by the foundation to purchase, originate or make loans to any eligible student or to the parents of any eligible student, but the proceeds of any loan made to a qualified educational institution or to a loan corporation shall be used by such qualified educational institution or such loan corporation to purchase, originate or make loans only to eligible students attending qualified educational institutions, or to the parents of these students;
(f) Receive and accept from any public agency or any other source loans, grants, guarantees or insurance with respect to student loans and the student loan programs;
(g) Establish guidelines governing the actions of the foundation, loan corporations, and qualified educational institutions in participating in the authority's or the business finance authority's student loan program, as applicable; and
(h) Exercise all powers incidental and necessary for the performance of the powers listed in this paragraph.