Senate committee approves MOHELA plan

The bill now will be perfected and voted on by the Senate and the House of Representatives.

The plan would allow the Missouri Higher Education Loan Authority to sell part of its student loan portfolio. The Missouri Development Finance Board then would take over $350 million of those generated funds and distribute $335 million of it to 25 public universities and colleges for capital improvement projects. The remaining money would go to the Missouri Technology Corp.

The bill also included provisions regarding higher education. One would require public institutions to submit to their boards any percentage increases in tuition and students fees at least three months before an academic year. If the fee increase is higher than the previous year, the school must give the board 5 percent of its current year state appropriation, which would be deposited into the state’s general revenue fund.

In addition, the bill would create the Access Missouri Financial Assistance Program, which would provide up to $4,600 in aid to qualified students.

“The comprehensive higher education package will streamline scholarship programs, infuse accountability and help families plan for and afford college,” said Gov. Matt Blunt, who is spearheading the Lewis and Clark Discovery Initiative, in a news release. “The continued movement of the Lewis and Clark Discovery Initiative and the entire higher education bill is a significant step forward.”