Substitute Bill No. 8 Summary

• Establishes a debt-free community college program through the Board of Regents for Higher Education, effective July 1, 2023, providing awards to qualifying students for the first 72 credit hours earned at regional community-technical colleges.

• Award amounts are the greater of unpaid eligible institutional costs after financial aid or minimum awards of $1,000 for full-time students or $600 for part-time students.

• Creates a new Student Loan Subsidy Program through the Connecticut Higher Education Supplemental Loan Authority to subsidize interest rates on authority loans for individuals employed in high-demand professions specified by the Chief Workforce Officer, effective July 1, 2023.

• Authorizes up to $7 million in annual state bonds to fund the Student Loan Subsidy Program, effective July 1, 2023.

• Allows taxpayers to deduct up to $2,500 in student loan interest annually for qualified student loans, effective January 1, 2024, with income limitations and various eligibility requirements.