Bill Text: IL HB2898 | 2023-2024 | 103rd General Assembly | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Amends the Private College Act. Provides that, if a for-profit, post-secondary educational institution that received monetary award program funds at a time the institution was found to have been using an unfair, misleading, or deceptive practice and if the educational institution is required to reimburse students for loans taken to pay for the students' education in accordance with a final judgment against the institution issued by a court of competent jurisdiction, based on acts occurring at least 6 months after the effective date of the amendatory Act, then any monetary award program funds paid to that institution for students who attended the institution during the period of judgment or determination must be refunded to the Illinois Student Assistance Commission. Sets forth provisions concerning the issuance of a refund, notification, and the award of grants to students. Amends the State Finance Act to create the MAP Refund Fund as a special fund in the State treasury. Effective immediately.

Spectrum: Partisan Bill (Democrat 36-0)

Status: (Passed) 2023-08-11 - Public Act . . . . . . . . . 103-0536 [HB2898 Detail]

Download: Illinois-2023-HB2898-Engrossed.html

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AN ACT concerning education.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The State Finance Act is amended by adding
Section 5.990 as follows:
(30 ILCS 105/5.990 new)
Sec. 5.990. The MAP Refund Fund.
Section 10. The Private College Act is amended by adding
Section 14.15 as follows:
(110 ILCS 1005/14.15 new)
Sec. 14.15. Unfair, misleading, or deceptive practice
finding; refund; grant.
(a) In this Section, "unfair, misleading, or deceptive
practice" means an act or practice in which a representation,
omission, or practice misleads or is likely to mislead a
consumer, as determined by the Federal Trade Commission, the
United States Department of Education, or the United States
Bureau of Consumer Financial Protection in a court of
competent jurisdiction.
(b) This Section applies to a for-profit, post-secondary
educational institution that received monetary award program

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funds under Section 35 of the Higher Education Student
Assistance Act at a time the institution was found to have been
using an unfair, misleading, or deceptive practice, as defined
by the Federal Trade Commission, the United States Department
of Education, or the United States Bureau of Consumer
Financial Protection, and is required to reimburse students
for loans taken to pay for the students' education in
accordance with a final judgment against the institution
issued by a court of competent jurisdiction, based on acts
occurring at least 6 months after the effective date of this
amendatory Act of the 103rd General Assembly. Any monetary
award program funds paid to the for-profit, post-secondary
educational institution for students who attended the
institution during the period of judgment must be refunded to
the Illinois Student Assistance Commission.
(c) If a post-secondary educational institution is
required to issue a refund to the Illinois Student Assistance
Commission under this Section, the refund shall be deposited
into the MAP Refund Fund. The Commission shall use funds
appropriated from the MAP Refund Fund to award grants to
students as provided in this Section. A post-secondary
educational institution required to issue a refund to the
Illinois Student Assistance Commission under this Section must
notify the Illinois Student Assistance Commission within 30
days after a final judgment issued by a court of competent
jurisdiction, and issue the refund within 6 months. A

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for-profit, post-secondary educational institution with a
judgment against it must notify students who attended the
post-secondary educational institution during the period of
judgment and received monetary award program funds,
electronically and by certified mail, within 6 months after
issuance of the refund to the Illinois Student Assistance
Commission.
(d) The Commission shall make applications for grants
under subsection (c) available in the next academic year after
the deposit of funds into the MAP Refund Fund or as soon as is
practicable. The application process shall be administered by
the Commission and shall remain open until no funds remain in
the MAP Refund Fund, subject to the other provisions of this
Section.
(e) The Commission shall determine the maximum amount of a
grant that may be provided under this Section in an academic
year. A grant under this Section may be awarded to a student in
addition to a monetary award program grant. However, the
combined amounts of those grants may not exceed the total cost
of tuition and fees for the academic year at the
post-secondary educational institution at which the student is
enrolled.
(f) Beginning in the third academic year following the
issuance of refunds under subsection (b), the remaining
balance in the MAP Refund Fund shall be appropriated to the
Commission for the Commission's operating budget for the

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monetary award program.
(g) The MAP Refund Fund is created as a special fund in the
State treasury. All money in the Fund shall be used, subject to
appropriation, by the Commission for the purposes set forth in
this Section.