§ 16-57-6 - Additional general powers.
SECTION 16-57-6
§ 16-57-6 Additional general powers.– (a) In addition to the powers enumerated in § 16-57-5, the authority shallhave power:
(1) To guarantee one hundred percent (100%) of the unpaidprincipal and accrued interest of any eligible loan made by a lender to anyeligible borrower for the purpose of assisting the students in obtaining aneducation in an eligible institution.
(2) To procure insurance of every nature to protect theauthority against losses which may be incurred in connection with its property,assets, activities, or the exercise of the powers granted under this chapter.
(3) To provide advisory, consultative, training, andeducational services, technical assistance and advice to any person, firm,partnership, or corporation, whether the advisee is public or private, in orderto carry out the purposes of this chapter.
(4) When the authority deems it necessary or desirable, toconsent to the modification, with respect to security, rate of interest, timeof payment of interest or principal, or any other term of a bond or note,contract, or agreement between the authority and the recipient or maker of aloan, bond, or note holder, or agency or institution guaranteeing the repaymentof, purchasing, or selling an eligible loan.
(5) To engage the services of consultants on a contract basisfor rendering professional and technical assistance and advice, and to employattorneys, accountants, financial experts, and any other advisers, consultants,and agents as may be necessary in its judgment, and to fix their compensation.
(6) To contract for and to accept any gifts, grants, loans,funds, property, real or personal, or financial or other assistance in any formfrom the United States or any agency or instrumentality of the United States,or from the state or any agency or instrumentality of the state, or from anyother source, and to comply, subject to the provisions of this chapter, withthe terms and conditions of those entities. Loans provided pursuant tosubsection (b) of this section shall be repaid to the authority and depositedas general revenues of the state.
(7) To prescribe rules and regulations deemed necessary ordesirable to carry out the purposes of this chapter, including withoutlimitation rules and regulations:
(i) To insure compliance by the authority with therequirements imposed by statutes or regulation governing the guaranty,insurance, purchase, or other dealing in eligible loans by federal agencies,instrumentalities, or corporations,
(ii) To set standards of eligibility for educationalinstitutions, students, and lenders and to define residency and all other termsas the authority deems necessary to carry out the purposes of this chapter, and
(iii) To set standards for the administration of programs ofpostsecondary student financial assistance assigned by law to the authority,including but not limited to savings programs. Administrative rules governingsavings programs shall authorize the authority, in conjunction with theexecutive director of the Rhode Island student loan authority and thecommissioner of higher education, to negotiate reciprocal agreements withinstitutions in other states offering similar savings programs for the purposeof maximizing educational benefits to residents, students and institutions inthis state.
(8) To establish penalties for violations of any order, rule,or regulation of the authority, and a method for enforcing these.
(9) To set and collect fees and charges, in connection withits guaranties and servicing, including without limitation reimbursement ofcosts of financing by the authority, service charges, and insurance premiumsand fees and costs associated with implementing and administering savingsprograms established pursuant to this chapter. Fees collected due to the RhodeIsland work study program or due to unclaimed checks shall be deposited asgeneral revenues of the state.
(10) To enter into an agreement with any university to securepositions for Rhode Island applicants in a complete course of study in itsschool of veterinary medicine, medicine, dentistry, optometry, and three (3)positions in osteopathic medicine and to guarantee and pay the university foreach position.
(11) To enter into agreements with loan applicants providingpreferential rates and terms relative to other applicants; provided, that theloan applicants agree to work in a licensed child care facility in Rhode Islandfor at least two (2) years upon completion or graduation in a course of studyin early childhood education or child care.
(12) To develop and administer, in conjunction with theexecutive director of the Rhode Island student loan authority and thecommissioner of higher education, savings programs on behalf of itself, thestate, students, parents, or any other private parties, all in cooperation withany other public and private parties and in accordance with any criteria orguidelines as the authority shall deem appropriate to effectuate the purposesof this chapter. To the extent practicable, these savings programs shallprovide students, parents, and others an opportunity to participateconveniently and shall enable them to set aside relatively small amounts ofmoney at a time and shall incorporate or be available in conjunction with,directly or indirectly, tuition agreements from as many eligible institutionsas feasible.
(13) In connection with any savings program, the authoritymay accept, hold, and invest funds of students, parents, institutions of highereducation, and others and may establish special accounts for carrying out thepurposes of this chapter.
(14) To enter into contracts with institutions of highereducation, financial institutions, financial consultants, attorneys, and otherqualified entities on terms and conditions and for a term as it may deemadvisable or desirable for the purpose of establishing and maintaining savingsprograms authorized pursuant to this chapter.
(15) To create and supervise a marketing plan dedicated tothe promotion of savings programs created pursuant to this chapter and to hireprofessional consultants and attorneys for these purposes.
(16) To assist the general treasurer in the implementation ofthe college and university savings bond program established under chapter 15 oftitle 35.
(b) The authority shall enter into agreements with theprospective students to the university for the repayment by the students of themoney advanced under any terms and conditions as are reasonable. The authoritymay charge students interest on the money advanced under this chapter at afixed or variable rate not exceeding the greater of seven and one-half percent(7 1/2%) per annum or the maximum rate allowable under 42 U.S.C. § 292 etseq. and the regulations promulgated under that act by the United States officeof education.