Alternate MOHELA Sale Plan Proposed

A state senator who has two or three family members with MOHELA loans has launched a new proposal for using MOHELA assets for new college buildings. Governor Blunt wants to the Missouri Higher Education Loan Authority to sell 350-million dollars worth of its assets with the money going for college capital improvements. Critics say state law does not allow that. Governor Blunt wants the law changed. Senator Wes Shoemeyer of Clarence suggests selling a small part of MOHELA’s assets each year, using some of the money for scholarships now paid for from the state’s general fund…and using money that would have gone to those scholarships to pay off bonds for the buildings. He says his plan is the first bond issue proposal during his time idnt he legislature that includes a source of funding to pay off the bonds. Shoemeyer says his plan gets around questions about the legality of selling MOHELA assets because the proceeds would still go for scholarships. Shoemeyer is a Democrat in a Republican legislature hoping his idea prevails over the plan of a Republican governor.