SB21-AA3,13,1310 (a) Compile the information provided to the board under sub. (1) and, from that
11information, compute the statewide average amount of student loan debt incurred
12in the previous year by resident undergraduate students enrolled in the institutions
13specified in sub. (1).
SB21-AA3,13,1614 (b) Compare the amount computed under par. (a) to the national average
15amount of student loan debt incurred in the previous year by undergraduate
16students enrolled in institutions of higher education in the United States.
SB21-AA3,13,2017 (c) Compare the amount computed under par. (a) to the statewide average
18amount of student loan debt incurred in the previous year by undergraduate
19students in the state with the lowest ratio of statewide average student loan debt to
20the lowest quintile of state per capita income.
SB21-AA3,13,2521 (d) Submit to the joint committee on finance a report regarding student loan
22debt incurred in the previous year by resident undergraduate students at the
23institutions specified in sub. (1). The report shall include the information provided
24to the board under sub. (1), the statewide average amount of student loan debt
25computed under par. (a), and the comparisons described in pars. (b) and (c).
SB21-AA3,33
1Section 33. 39.54 of the statutes is created to read:
SB21-AA3,14,8 239.54 Student lending transparency. (1) In this section, "institution of
3higher education" means an institution or college campus within the University of
4Wisconsin System, a technical college within the technical college system, a tribally
5controlled college, or a private, nonprofit institution of higher education located in
6this state that provides an educational program for which the institution awards an
7associate degree or higher or provides a program that is acceptable toward such a
8degree.
SB21-AA3,14,11 9(2) Each institution of higher education shall provide to a prospective or newly
10accepted student and to the student's parents clearly outlined and
11easy-to-understand information pertaining to all of the following:
SB21-AA3,14,1212 (a) The total cost of attendance at the institution of higher education.
SB21-AA3,14,1713 (b) The approximate or, if known, the actual total amount of financial aid that
14the student would receive from the institution of higher education, and the
15approximate or, if known, the actual total amount of student loan debt that the
16student would accumulate, over the course of 4 years if the student were to attend
17the institution of higher education for 4 years.
SB21-AA3,14,2018 (c) Student loan rates, repayment plans, default rates, and the actual monthly
19payment that would be required to pay the student loan debt described in par. (b)
20when the loan becomes due.
SB21-AA3,14,23 21(3) Each institution of higher education shall create on its Internet site a link
22to that portion of the department of financial institutions' Internet site created under
23s. 224.30 (6) (c) and (d).
SB21-AA3,34 24Section 34. 39.56 of the statutes is created to read:
SB21-AA3,15,5
139.56 Loan counseling. (1) Definition. In this section, "institution of higher
2education" means an institution or college campus within the University of
3Wisconsin System, a technical college under ch. 38, or any private, nonprofit,
4educational institution located in this state that provides an educational program for
5which it awards an associate degree or higher.
SB21-AA3,15,9 6(2) Applicability. This section applies to any student loan offered by an
7institution of higher education or a private lender or recommended to a student by
8an institution of higher education, other than a federally funded, federally insured,
9or federally guaranteed loan for which counseling is required by 20 USC 1092.
SB21-AA3,15,17 10(3) Entrance counseling. (a) Before a student enters into a student loan
11agreement, an institution of higher education shall provide the student with
12comprehensive information on the terms and conditions of a loan and the
13responsibilities the student has with respect to the loan. The institution shall
14provide the information during a counseling session conducted in person, on a
15written form provided to the student that the student signs and returns, or online,
16with the student acknowledging receipt of the information. The information
17provided shall include all of the following:
SB21-AA3,15,1918 1. To the extent practicable, the effect of accepting the loan to be disbursed on
19the eligibility of the borrower for other forms of student financial assistance.
SB21-AA3,15,2120 2. How interest accrues and is capitalized during periods when the interest is
21not paid by the borrower.
SB21-AA3,15,2422 3. The definitions of full-time and half-time enrollment at the institution of
23higher education, during regular terms and intersession terms, if applicable, and the
24consequences of not maintaining full-time or half-time enrollment.
SB21-AA3,16,3
14. The importance of contacting the appropriate office at the institution of
2higher education if the borrower withdraws before completing his or her program of
3study so that the institution can provide counseling under sub. (4).
SB21-AA3,16,54 5. Sample monthly repayment amounts, based on a range of levels of
5indebtedness.
SB21-AA3,16,86 6. The obligation of the borrower to repay the full amount of the loan,
7irrespective of whether the borrower completes his or her program of study at the
8institution.
SB21-AA3,16,109 7. The likely consequences of default on the loan, including adverse credit
10reports, delinquent debt collection procedures, and litigation.
SB21-AA3,16,1211 8. Whether the student has reached the limit on his or her federal student loan
12opportunities.
SB21-AA3,16,1513 9. The name of, and contact information for, an individual the borrower may
14contact if he or she has any questions about the borrower's rights and responsibilities
15or the terms and conditions of the loan.
SB21-AA3,16,2016 10. How a student or any member of the public may file a complaint about a
17lender with the federal Consumer Financial Protection Bureau by calling a toll-free
18telephone number, or by completing a complaint form, which may be obtained on the
19bureau's Internet site. The institution of higher education shall also include the
20toll-free telephone number and Internet site address of the bureau.
SB21-AA3,16,2221 (b) In conjunction with providing information under par. (a), the institution of
22higher education shall also do all of the following:
SB21-AA3,16,2523 1. Clearly distinguish private loans from federal loans in individual financial
24aid awards by stating, for any private loans included by the institution as part of the
25institution's award package, all of the following:
SB21-AA3,17,1
1a. Whether the rate is fixed or variable.
SB21-AA3,17,32 b. An explanation that private student loan lenders can offer variable interest
3rates that can increase or decrease over time, depending on market conditions.
SB21-AA3,17,74 c. An explanation that private student loans have a range of interest rates and
5fees and students should determine the interest rate of, and any fees associated with,
6the private student loan included in their financial aid award package before
7accepting the loan.
SB21-AA3,17,108 d. An explanation that students should contact the lender of the private
9student loan or their institution's financial aid office if they have any questions about
10a private student loan.
SB21-AA3,17,1211 e. An explanation that the interest rate on a private loan may depend on the
12borrower's credit rating.
SB21-AA3,17,1613 2. If the institution of higher education provides a private loan lender list,
14provide general information about the loans available through the lender and
15disclose the basis for each lender's inclusion on the list. The institution shall also
16disclose with the list that the student may choose any lender.
SB21-AA3,17,2217 (c) 1. A lender may not accept a final and complete application for a private
18student loan from an applicant, or assess any fees upon an applicant, without first
19receiving certification from the applicant's institution of higher education that the
20applicant has received counseling from the institution under pars. (a) and (b) and
21that the counseling was conducted in person, unless the certification specified that
22the applicant elected to receive the counseling in a manner other than in person.
SB21-AA3,18,323 2. The certification required by subd. 1. shall be signed by the applicant and
24the institutional counselor, and shall include the date of the counseling and the
25name, address, and telephone number of both the counselor and the applicant. An

1electronic facsimile copy of the counseling certification satisfies the requirement
2under this subdivision. The lender shall maintain the certification in an accurate,
3reproducible, and accessible format for the term of the student loan.
SB21-AA3,18,7 4(4) Exit counseling. (a) As close as practicable to the date that a student
5graduates from, transfers from, withdraws from, or otherwise completes his or her
6program of study at the institution of higher education, the institution shall provide
7the student with information relating to all of the following:
SB21-AA3,18,118 1. Repayment plans that are available, including a description of the different
9features of each plan and sample information showing the average anticipated
10monthly payments, and the difference in interest paid and total payments, under
11each plan.
SB21-AA3,18,1312 2. Debt management strategies designed to facilitate the repayment of
13indebtedness.
SB21-AA3,18,1514 3. The options to prepay each loan, pay each loan on a shorter schedule, or
15change repayment plans.
SB21-AA3,18,1716 4. The likely consequences of default on the loan, including adverse credit
17reports, delinquent debt collection procedures, and litigation.
SB21-AA3,18,1818 5. The effects of consolidation on a borrower's underlying loan benefits.
SB21-AA3,18,1919 6. Grace periods, loan forgiveness, cancellation, and deferment opportunities.
SB21-AA3,18,2020 7. The borrower benefit programs of different lenders.
SB21-AA3,18,2121 8. The tax benefits that may be available to borrowers.
SB21-AA3,18,2222 9. How to enroll in income-based repayment.
SB21-AA3,18,2523 (b) With respect to a student who leaves an institution of higher education
24without the knowledge of the institution, the institution shall attempt to provide the
25information described in par. (a) to the student in writing.
SB21-AA3,19,4
1(5) Fee. An institution of higher education may assess a reasonable fee to the
2lender to defray the cost of counseling under this section in an amount not exceeding
3$50. The higher educational aids board and the department of financial institutions
4shall jointly promulgate rules to implement and administer this subsection.
SB21-AA3,35 5Section 35. 40.02 (54) (n) of the statutes is created to read:
SB21-AA3,19,66 40.02 (54) (n) The Wisconsin Student Loan Refinancing Authority.
SB21-AA3,36 7Section 36. 49.45 (23) (a) of the statutes is amended to read:
SB21-AA3,19,158 49.45 (23) (a) The department shall request a waiver from the secretary of the
9federal department of health and human services to permit the department to
10conduct a demonstration project to provide health care coverage to adults who are
11under the age of 65, who have family incomes not to exceed 100 133 percent of the
12poverty line before application of the 5 percent income disregard under 42 CFR
13435.603 (d)
, except as provided in s. 49.471 (4g), and who are not otherwise eligible
14for medical assistance under this subchapter, the Badger Care health care program
15under s. 49.665, or Medicare under 42 USC 1395 et seq.
SB21-AA3,37 16Section 37. 49.471 (1) (cr) of the statutes is created to read:
SB21-AA3,19,1817 49.471 (1) (cr) "Enhanced federal medical assistance percentage" means a
18federal medical assistance percentage described under 42 USC 1396d (y) or (z).
SB21-AA3,38 19Section 38. 49.471 (4) (a) 4. b. of the statutes is amended to read:
SB21-AA3,19,2220 49.471 (4) (a) 4. b. The Except as provided in sub. (4g), the individual's family
21income does not exceed 100 133 percent of the poverty line before application of the
225 percent income disregard under 42 CFR 435.603 (d)
.
SB21-AA3,39 23Section 39. 49.471 (4g) of the statutes is created to read:
SB21-AA3,20,624 49.471 (4g) Medicaid expansion; federal medical assistance percentage. (a)
25For services provided to individuals described under sub. (4) (a) 4. and s. 49.45 (23),

1the department shall comply with all federal requirements to qualify for the highest
2available enhanced federal medical assistance percentage. The department shall
3submit any amendment to the state medical assistance plan, request for a waiver of
4federal Medicaid law, or other approval required by the federal government to
5provide services to the individuals described under sub. (4) (a) 4. and s. 49.45 (23) and
6qualify for the highest available enhanced federal medical assistance percentage.
SB21-AA3,20,177 (b) If the department does not qualify for an enhanced federal medical
8assistance percentage, or if the enhanced federal medical assistance percentage
9obtained by the department is lower than printed in federal law as of July 1, 2013,
10for individuals eligible under sub. (4) (a) 4. or s. 49.45 (23), the department shall
11submit to the joint committee on finance a fiscal analysis comparing the cost to
12maintain coverage for adults who are not pregnant and not elderly at up to 133
13percent of the poverty line to the cost of limiting eligibility to those adults with family
14incomes up to 100 percent of the poverty line. The department may reduce income
15eligibility for adults who are not pregnant and not elderly from up to 133 percent of
16the poverty line to up to 100 percent of the poverty line only if this reduction in income
17eligibility levels is approved by the joint committee on finance.
SB21-AA3,40 18Section 40. 70.11 (38v) of the statutes is created to read:
SB21-AA3,20,2219 70.11 (38v) Wisconsin Student Loan Refinancing Authority. All property
20owned by the Wisconsin Student Loan Refinancing Authority, provided that use of
21the property is primarily related to the purposes of the Wisconsin Student loan
22Refinancing Authority.
SB21-AA3,41 23Section 41. 71.05 (6) (b) 28. (intro.), am. and h. of the statutes are amended
24to read:
SB21-AA3,21,12
171.05 (6) (b) 28. (intro.) An amount paid by a claimant for tuition expenses,
2including any amount paid by a claimant in the year to which the claim relates on
3a loan, the proceeds of which were used by the claimant to pay the claimant's
4expenses for tuition, fees, books, room and board, and educational supplies that were
5directly related to the claimant's attendance at an eligible educational institution,
6as defined in s. 18.81 (2),
and mandatory student fees for a student who is the
7claimant or who is the claimant's child and the claimant's dependent who is claimed
8under section 151 (c) of the Internal Revenue Code, to attend any university, college,
9technical college or a school approved under s. 38.50, that is located in Wisconsin or
10to attend a public vocational school or public institution of higher education in
11Minnesota under the Minnesota-Wisconsin reciprocity agreement under s. 39.47,
12calculated as follows:
SB21-AA3,22,413 am. Notwithstanding subd. 28. a., for taxable years beginning after December
1431, 2008, the department of revenue and the Board of Regents of the University of
15Wisconsin System shall continue making the calculation described under subd. 28.
16a. Notwithstanding subd. 28. a., once this calculation exceeds $6,000, the deduction
17for tuition expenses, including any amount paid by a claimant in the year to which
18the claim relates on a loan, the proceeds of which were used by the claimant to pay
19the claimant's expenses for tuition, fees, books, room and board, and educational
20supplies that were directly related to the claimant's attendance at an eligible
21educational institution, as defined in s. 18.81 (2),
and mandatory student fees, as
22described in subd. 28. (intro.), shall be based on an amount equal to not more than
23twice the average amount charged by the Board of Regents of the University of
24Wisconsin System at 4-year institutions for resident undergraduate academic fees
25for the most recent fall semester, as determined by the Board of Regents by

1September 1 of that semester, per student for each year to which the claim relates,
2and the deduction that may be claimed under this subd. 28. am. first applies to
3taxable years beginning on the January 1 after the calculation of the Board of
4Regents, that must occur by September 1, exceeds $6,000.
SB21-AA3,22,165 h. No modification may be claimed under this subdivision for an amount paid
6for tuition expenses, including any amount paid by a claimant in the year to which
7the claim relates on a loan, the proceeds of which were used by the claimant to pay
8the claimant's expenses for tuition, fees, books, room and board, and educational
9supplies that were directly related to the claimant's attendance at an eligible
10educational institution, as defined in s. 18.81 (2),
and mandatory student fees, as
11described under this subdivision, if the source of the payment is an amount
12withdrawn from a college savings account, as described in s. 16.641 or from a college
13tuition and expenses program, as described in s. 16.64, and if the owner of the
14account or a parent, grandparent, great-grandparent, aunt, or uncle of the
15beneficiary, who contributed to the account, has claimed a deduction under subd. 32.
16or 33. that relates to such an amount.
SB21-AA3,42 17Section 42. 71.05 (6) (b) 28. j. of the statutes is created to read:
SB21-AA3,22,1918 71.05 (6) (b) 28. j. The provisions of subd. 28. b., c., d., and g. do not apply to
19a taxable year that begins after December 31, 2015.
SB21-AA3,43 20Section 43. 77.54 (9a) (a) of the statutes is amended to read:
SB21-AA3,22,2421 77.54 (9a) (a) This state or any agency thereof, the University of Wisconsin
22Hospitals and Clinics Authority, the Wisconsin Aerospace Authority, the Wisconsin
23Economic Development Corporation, the Wisconsin Student Loan Refinancing
24Authority,
and the Fox River Navigational System Authority.
SB21-AA3,44 25Section 44. 100.45 (1) (dm) of the statutes is amended to read:
SB21-AA3,23,10
1100.45 (1) (dm) "State agency" means any office, department, agency,
2institution of higher education, association, society, or other body in state
3government created or authorized to be created by the constitution or any law which
4is entitled to expend moneys appropriated by law, including the legislature and the
5courts, the Wisconsin Housing and Economic Development Authority, the Bradley
6Center Sports and Entertainment Corporation, the University of Wisconsin
7Hospitals and Clinics Authority, the Wisconsin Health and Educational Facilities
8Authority, the Wisconsin Aerospace Authority, the Wisconsin Economic
9Development Corporation, the Wisconsin Student Loan Refinancing Authority, and
10the Fox River Navigational System Authority.
SB21-AA3,45 11Section 45. 224.30 (6) of the statutes is created to read:
SB21-AA3,23,1212 224.30 (6) Student lending transparency. (a) In this subsection:
SB21-AA3,23,1313 1. "Higher education expenses" includes all of the following:
SB21-AA3,23,1414 a. Tuition and fees.
SB21-AA3,23,1515 b. Books and supplies
SB21-AA3,23,1616 c. Room and board.
SB21-AA3,23,1817 2. "Private student loan" means a loan issued by a private lending institution
18for the purpose of paying for or financing higher education expenses.
SB21-AA3,23,2119 3. "Private lending institution" means any private entity that itself or through
20an affiliate makes available student loans to pay for or finance higher education
21expenses.
SB21-AA3,23,2322 4. "Student borrower" means any individual who borrows money from a private
23lending institution to finance higher education expenses.
SB21-AA3,24,3
1(b) The department shall compile data related to private student loans for the
2purpose of comparing private lending institutions' student loan interest rates and
3repayment plans, including all of the following:
SB21-AA3,24,44 1. Policies relating to deferment and forbearance.
SB21-AA3,24,55 2. Loan default policies and penalties.
SB21-AA3,24,86 3. Any other information that the department deems relevant for the purpose
7of creating a list of private lending institutions that provide the lowest rates and best
8repayment options on student loans.
SB21-AA3,24,119 (c) 1. Using the data compiled under par. (b), the department shall create and
10maintain a list of private lending institutions that provide the lowest rates and best
11repayment options on student loans.
SB21-AA3,24,1712 2. In addition to the list under subd. 1., the department shall compile a list of
13the 10 best private lending institutions based on rates and policies that are most
14favorable to the student borrower. The department may also consider the private
15lending institutions' policies for allowing a student borrower to borrow more than 10
16percent over the student borrower's total cost of higher education expenses when
17determining if a private lending institution should be placed on this list.
SB21-AA3,24,2418 (d) The department shall place the lists created and compiled under par. (c) at
19an easily accessible location on the department's Internet site. The department shall
20update its Internet site on a monthly basis to ensure that the student loan
21information in these lists is current and accurate. Information pertaining to lending
22institutions that do not make the list compiled under par. (c) 2. shall also be posted
23on the department's Internet site and those lending institutions that provide the
24worst rates and strictest repayment options shall be clearly indicated.
SB21-AA3,25,3
1(e) The department shall make any list or other data under this subsection that
2appears on the department's Internet site available to be linked as provided in ss.
339.28 (7) and 39.54 (3).
SB21-AA3,25,54 (f) The department may satisfy its duties under this subsection through a
5designee or 3rd-party contractor.
SB21-AA3,46 6Section 46. 230.03 (3) of the statutes is amended to read:
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