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Democratic Leaders Express Concern over MOHELA Proposal

January 31, 2006
By: AMY BECKER
State Capital Bureau

DEMOCRATIC LEADERS EXPRESSED CONCERN OVER GOVERNOR MATT BLUNT'S NEW PROPOSAL DEALING WITH THE SALE OF INDIVIDUAL STUDENT LOANS FROM MOHELA to the highest bidder.

AMY BECKER HAS MORE FROM THE CAPITOL.

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MINORITY LEADER JEFF HARRIS REACTED TO THE GOVERNOR'S NEW PROPOSAL WITH EVEN MORE QUESTIONS AND CONCERN ABOUT THE POSSIBLE SALE.

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FILL: AGAIN THE FUNDAMENTAL QUESTION IS, WHATEVER THE GOVERNOR IS PROPOSING, IS IT IN THE BEST INTEREST OF HIGHER EDUCATION?

The sale would generate an estimated $450 million dollars that would fund the governor's "Lewis and Clark Initiative. Harris still had to look over the new proposal but vowed to consider all of its aspects accordingly.

From the state capitol, I'm Amy Becker.

Governor Blunt's decision to sell MOHELA student loan assets has been met with many concerns and questions from Democratic leaders. Amy Becker has more from the Capitol.

Under a new proposal from the Governor, the board of directors voted unanimously Tuesday to sell individual student loans from MOHELA to the highest bidder. The Governor's decision not to ask for legislative input was of concern to minority leader Maida Coleman.

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We set the public policy for the state and not a board that is put in place by the governor.

Coleman says she wants the opportunity to hear the proposal directly from the governor and to know the outline of the new MOHELA proposal.

From Jefferson City, I'm Amy Becker