Bill Text: IL SB3451 | 2013-2014 | 98th General Assembly | Introduced

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Bill Title: Amends the Board of Higher Education Act. Requires the Board of Higher Education to create a pilot program called Pay Forward, Pay Back to replace the current system of charging undergraduate students tuition and fees and other educational expenses at a public institution of higher education. Requires the Board to identify one public institution of higher education to participate in the pilot program. Provides that the pilot program shall (1) allow undergraduate students to attend the institution without paying for tuition and fees, books and supplies, and room and board; (2) provide that, in lieu of paying, students must sign binding contracts to pay to the State of Illinois or the institution, for a specified number of years, a certain percentage of the student's annual adjusted gross income as soon as he or she earns an income after graduation from the institution, but in no event may payments begin to be made more than 10 years after graduation from the institution; (3) specify the number of years and the percentage of annual adjusted gross income for contracts and base the specifications on research to date; (4) guarantee graduation from the institution within 4 years after enrollment if the student makes sufficient educational progress and does not change his or her academic major or major concentration; and (5) establish an immediate funding source for the first 15 to 20 years of the pilot program and include the establishment of a revolving fund to deposit payments made under the pilot program. Requires the Board to submit reports to the General Assembly.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Failed) 2015-01-13 - Session Sine Die [SB3451 Detail]

Download: Illinois-2013-SB3451-Introduced.html

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98TH GENERAL ASSEMBLY State of Illinois 2013 and 2014 SB3451 Introduced 2/14/2014, by Sen. Michael W. Frerichs SYNOPSIS AS INTRODUCED:
110 ILCS 205/9.34 new
Amends the Board of Higher Education Act. Requires the Board of Higher Education to create a pilot program called Pay Forward, Pay Back to replace the current system of charging undergraduate students tuition and fees and other educational expenses at a public institution of higher education. Requires the Board to identify one public institution of higher education to participate in the pilot program. Provides that the pilot program shall (1) allow undergraduate students to attend the institution without paying for tuition and fees, books and supplies, and room and board; (2) provide that, in lieu of paying, students must sign binding contracts to pay to the State of Illinois or the institution, for a specified number of years, a certain percentage of the student's annual adjusted gross income as soon as he or she earns an income after graduation from the institution, but in no event may payments begin to be made more than 10 years after graduation from the institution; (3) specify the number of years and the percentage of annual adjusted gross income for contracts and base the specifications on research to date; (4) guarantee graduation from the institution within 4 years after enrollment if the student makes sufficient educational progress and does not change his or her academic major or major concentration; and (5) establish an immediate funding source for the first 15 to 20 years of the pilot program and include the establishment of a revolving fund to deposit payments made under the pilot program. Requires the Board to submit reports to the General Assembly.
LRB098 14797 NHT 49736 b
FISCAL NOTE ACT MAY APPLY
A BILL FOR
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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 Board of Higher Education Act is amended by
adding Section 9.34 as follows:
(110 ILCS 205/9.34 new)
Sec. 9.34. Pay Forward, Pay Back pilot program.
(a) The Board shall create a pilot program called Pay
Forward, Pay Back. The pilot program would replace the current
system of charging undergraduate students tuition and fees and
other educational expenses at a public institution of higher
education. The Board shall identify one public institution of
higher education to participate in the pilot program.
(b) The pilot program shall do all of the following:
(1) Allow undergraduate students who are residents of
this State, as defined by the institution, and who qualify
for admission to the institution to attend the institution
without paying for tuition and fees, books and supplies,
and room and board.
(2) Provide that, in lieu of paying for tuition and
fees, books and supplies, and room and board, students must
sign binding contracts to pay to the State of Illinois or
the institution, for a specified number of years, a certain

SB3451 - 2 - LRB098 14797 NHT 49736 b
percentage of the student's annual adjusted gross income as
soon as he or she earns an income after graduation from the
institution, but in no event may payments begin to be made
more than 10 years after graduation from the institution.
(3) Specify the number of years and the percentage of
annual adjusted gross income for contracts at the
institution and base the specifications on research to
date.
(4) Guarantee graduation from the institution within 4
years after enrollment if the student makes sufficient
educational progress and does not change his or her
academic major or major concentration.
(5) Establish an immediate funding source for the first
15 to 20 years of the pilot program and include the
establishment of a revolving fund to deposit payments made
under the pilot program.
(c) The Board shall periodically submit a report to the
General Assembly on students' compliance with the pilot
program's binding contract. The Board shall also submit a
report to the General Assembly on whether the pilot program
should be expanded. These reports must be submitted as provided
in Section 3.1 of the General Assembly Organization Act.