The Florida Senate

¹240.431  Funding for programs administered by the department.--

(1)  In the preparation of its annual budget, the department shall request that the Legislature continue to provide funding for applicable programs from the General Revenue Fund.

(2)  The department is authorized to expend moneys from available trust funds in applicable student financial assistance programs.

(3)  There is created a Student Loan Guaranty Reserve Fund, which shall be administered by the department in carrying out the provisions of this act.

(4)  The principal sources of operating funds shall be from the earnings from the temporary investment of the Student Loan Guaranty Reserve Fund and from compensation for services performed under contract for the administration of student financial assistance programs pursuant to s. 240.429.

(5)  The department is authorized to accept grant funds under the State Student Incentive Grant Program of the Federal Government, as provided by the Higher Education Act of 1965, as amended.

(6)  The department is authorized to accept federal advances for the establishment of the Student Loan Guaranty Reserve Fund pursuant to the Higher Education Act of 1965, as amended, under agreement with the United States Commissioner of Education and to maintain such advances until recalled by the United States Commissioner of Education.

(7)  The department is authorized to assess a student loan insurance premium on each loan guaranteed by the department. The amount of insurance premium will be determined by the department in the amount sufficient to maintain the pledged level of reserve funds but in no event may the amount of the insurance premium exceed the maximum provided by federal law.

(8)  The department shall invest, or contract for the temporary investment of, any unencumbered cash, and the interest earned therefrom, except as otherwise provided for by law or covenant, shall accrue to the Student Loan Guaranty Reserve Fund or for the administration of financial aid programs.

History.--s. 5, ch. 77-338; s. 75, ch. 79-222; s. 108, ch. 79-400; s. 1, ch. 82-46; s. 2, ch. 83-265; s. 18, ch. 83-291; s. 6, ch. 84-94; s. 3(7), ch. 2000-321.

¹Note.--Repealed January 7, 2003, by s. 3(7), ch. 2000-321, and shall be reviewed by the Legislature prior to that date.

Note.--Former s. 239.685.