States are stepping up to protect and deliver for borrowers. (Student Borrower Protection Center)

 

I know all that’s happening at the federal level is frustrating right now, but I’m here to report on some real progress happening at the state level. We’ve been working with amazing partners across the country as they advance critical bills in state legislatures, some of which have been heard in various committees over the past few weeks. I’d like to highlight our recent work in Maryland and New Mexico in particular: Maryland Public Service Loan Forgiveness Employment Certification and Awareness (House Bill 795) Introduced by Delegates Spiegel, Kaiser, Kaufman, Lehman, R. Lewis, Lopez, Palakovich Carr, Terrasa, and Toles, this bill will make Public Service Loan Forgiveness (PSLF) more accessible to Maryland public service workers. It mandates that a multiplier be used to calculate hours worked for adjunct and contingent faculty, qualifying employers certify employment in a timely fashion, and employers and the Maryland ombuds regularly share information on the PSLF program. On February 13th, SBPC, along with the CASH Campaign of Maryland and the Maryland Center for Collegiate Financial Wellness, testified before the Economic Matters Committee with the sponsor, Delegate Spiegel. The bill received a favorable report from the Committee!  Institutional Debt Reporting (House Bill 920) Last week, SBPC testified alongside Maryland Center for Collegiate Financial Wellness and bill sponsor, Delegate Spiegel, on the critical issue of institutional debt. HB 920 would require higher education institutions to report on the institutional debt they hold for things like students’ parking tickets, tuition, and library fees. SBPC released a Maryland-based fact sheet analyzing the results of public information requests sent to 12 schools. Their responses—or lack thereof—were troubling. Records provided by Allegany College of Maryland show that the debt is disproportionately owed by women, Black students, and low-income students. No other school responded to SBPC’s request for data on debt by demographic. Clearly, this bill is needed to protect students!

House Bill 795 Testimony

House Bill 920 Testimony

New Mexico  New Mexico Student Loan Borrower Bill of Rights (House Bill 224) The New Mexico Borrower Bill of Rights, introduced by Representatives Chandler, Caballero, and Hochman-Vigil, would create a licensing structure for student loan servicers in New Mexico, provide consumer protections for borrowers with private student loans, and establish an ombuds who can help borrowers and investigate issues at the state level. If enacted, New Mexico would be the 20th state to pass a Borrower Bill of Rights! We are proud to have partnered with New Mexico AFT to keep this bill front and center!  Public Service Loan Forgiveness Employment Certification and Awareness (House Bill 69) Like the Maryland bill, HB 69 will make PSLF more accessible to public service workers across New Mexico. Introduced by Representative Garratt and Senator Jaramillo, it requires higher education institutions to use a multiplier when calculating the number of hours of adjunct and contingent faculty work, and it requires that qualifying employers certify employment in a timely fashion and regularly share information on the PSLF program with their employees. This bill passed through the House Government, Elections, and Indian Affairs Committee on January 31st, and passed the House Education Committee last week on February 18th!! We look forward to continuing to work with partners like New Mexico AFT to advance protections for borrowers!

Attacks at the federal level on working families make state and local work like this all the more necessary. States can and must step up to create more protections for borrowers! Keep calm and TAKE ACTION,  Amy Czulada Outreach & Advocacy Manager Student Borrower Protection Center