CT SB00271

Connecticut Higher Education Supplemental Loan Authority shall establish a Hero Loan Subsidy Program effective July 1, 2022, to subsidize interest rates on loans for health care employees, social workers, police officers, and firefighters.

Authority must enter into a memorandum of agreement with the Commissioner of Education to establish eligibility criteria, interest rate subsidies, principal limits, employment verification processes, and termination requirements for subsidy recipients who cease to meet program requirements.

Authority shall maintain a separate, nonlapsing account funded by state appropriations, bond proceeds, or other required deposits to support the Hero Loan Subsidy Program.

Account funds shall be used for program operations, administration expenses, issuance of authority loans to refinance eligible loans, and maintaining a reserve to cover losses from loan issuance.