AZ SB1198

Establishes a student loan assistant ombudsman-citizens aide position within the ombudsman-citizens aide office to receive, review, and attempt to resolve complaints from student loan borrowers in Arizona.

Requires the student loan assistant to compile complaint data, educate borrowers on their rights and responsibilities (including income-based repayment options), and analyze federal and state laws affecting student loan borrowers.

Mandates the student loan assistant to establish a borrower education course within 200 days covering key loan terms, documentation requirements, monthly payments, income-based repayment, loan forgiveness, and disclosure requirements.

Requires annual reports to the governor and legislature beginning January 1, 2022, detailing implementation effectiveness and steps needed for state regulatory control over student loan servicers.

Appropriates $120,000 and one full-time position to the ombudsman-citizens aide office for fiscal year 2021-2022, with the appropriation exempt from lapsing provisions.