AK HB172

Amends AS 37.10.085 to add exceptions allowing the state to invest in the education loan fund when market conditions make tax-exempt private activity revenue bonds impracticable or uneconomical.

Authorizes the commissioner of revenue to invest up to $100,000,000 in the education loan fund and provide bond purchase agreements and letters of credit up to $106,000,000 with the Alaska Student Loan Corporation, with a maximum term of 4 years.

Allows the commissioner to charge the Alaska Student Loan Corporation interest (not exceeding the five-year average return on the state's general fund), an annual fee (not exceeding 0.15 percent of average principal outstanding), and up to 3 percent additional interest if draws occur on the bond purchase agreement and letter of credit.

Requires the Alaska Student Loan Corporation to develop and submit to the legislature by January 19, 2010 a proposal for a state program under which the state would repay all or part of student loans for postsecondary education costs.

Takes effect immediately upon enactment.