Title 20

All certificates of authorization previously issued under either Article 3 of this chapter, the ‘‘Postsecondary Educational Authorization Act of 1978,’’ or Article 4 of Chapter 4 of this title, the ‘‘Georgia Proprietary School Act,’’ as such articles and provisions existed immedi…

(a) All employees of the commission shall be subject to and covered by Article 1 of Chapter 20 of Title 45, but the position of executive director and such other employee positions as may be determined by the commission to be exempt from the classified service pursuant to that ar…

All records, files, accounts, and related items utilized in the administration of the ‘‘Georgia Proprietary School Act,’’ or the ‘‘Postsecondary Educational Authorization Act of 1978,’’ are transferred from the State Board of Education to the commission and executive director. (C…

Nothing in this part shall be construed to limit a professional licensing board’s authority, as granted by Title 43, to regulate and govern the curriculum, course requirements, instructor qualifications, and other educational activities of nonpublic postsecondary educational inst…

(a) It is the purpose of this Code section to create a trust fund from participation fees from postsecondary educational institutions to enable such institutions, collectively, to protect students against financial loss when a postsecondary educational institution closes without …

(a) The following education and postsecondary educational institutions are exempted from this part except as expressly provided to the contrary: (1) Institutions exclusively offering instruction at any or all levels from preschool through the twelfth grade regardless of the age o…

(a) There is established the Nonpublic Postsecondary Education Commission consisting of 15 members who shall be appointed by the Governor and confirmed by the Senate. One member shall be appointed from each congressional district and the remaining member shall be appointed as an …

(a) The commission shall be assigned to the Georgia Student Finance Commission for administrative purposes only. The commission shall be a budget unit of the executive branch of the state government. (b) The commission shall have the following powers and duties: (1) To establish …

(a) In establishing the criteria required by paragraph (2) of subsection (b) of Code Section 20-3-250.5, the commission shall observe and shall require compliance with the following minimum standards: (1) A nonpublic postsecondary educational institution must be maintained and op…

(a) No person, agent, group, or entity of whatever kind, alone or in concert with others, shall: (1) Operate in this state a nonpublic postsecondary educational institution or conduct postsecondary activities in this state unless issued a current certificate of valid authorizatio…

(a) Each nonpublic postsecondary educational institution desiring to operate or conduct postsecondary activities in this state shall make application to the commission, upon forms to be provided by the commission. Such application shall be accompanied by a catalog or other writte…

(a) Each person desiring to solicit or perform the services of an agent in this state shall make application to the executive director upon forms to be provided by the commission. Such application shall be accompanied by evidence of the good reputation and character of the applic…

This part shall be known and may be cited as the ‘‘Georgia Higher Education Assistance Corporation Act.’’ The educational loan program provided for in this part may be referred to and cited as the ‘‘Georgia Higher Education Loan Program.’’ (Code 1933, § 32-3301, enacted by Ga. L.…

(a) Legislative findings. (1) The General Assembly finds that the growth and development of this state and nation have been and will undoubtedly remain strongly related to the degree to which educational opportunities are provided to all of their citizens; recognizes that costs a…

As used in this part, the term: (1) ‘‘Authority’’ means the Georgia Student Finance Authority created by Code Section 20-3-313. (2) ‘‘Authorized officer’’ means the chairman, vice-chairman, executive director or president, treasurer, secretary, or other person authorized by this …

(a) There is created a public authority, a body corporate and politic, to be known as the Georgia Higher Education Assistance Corporation, which shall be deemed to be an instrumentality and a nonprofit public corporation of the state. (b) The corporation created by subsection (a)…

(a) Functions and composition. The corporation shall be governed and all of its corporate powers, duties, and functions shall be exercised by a board of directors. The board of directors shall be composed of the same persons who are serving as members of the board of commissioner…

The executive director of the commission, or president, if designated by such title by the board of commissioners, shall serve as the executive director, or president, if designated by such title by the board of directors, and chief executive officer of the corporation. The execu…

(a) In addition to all other provisions of this part and in furtherance of the purposes of the corporation, the corporation shall have the following powers, duties, and functions: (1) The corporation shall establish and administer a program of guaranteed educational loans to elig…

The corporation shall maintain a system of accounts in accordance with generally accepted accounting procedures and standard accounting procedures and systems established by the state, where applicable, which shall, among other things, properly identify and account for all funds …

The state auditor shall make an annual financial audit of the books, accounts, and records of the corporation. The state auditor shall maintain a copy of the audit report on file in his or her office, make copies of the report available for inspection by the general public, and f…

The guaranty of the corporation on an educational loan made under this part is conditioned upon exercise of due diligence by the lender and by any subsequent holder of the loan, as may be applicable, in the making of the loan, in the servicing of the loan account, and in the coll…

The corporation is authorized to charge and collect insurance premiums on loans in accordance with the federal act and to provide for all matters relative thereto. In the administration of the program, the insurance premium charged may be identified and referred to as a ‘‘guarant…

(a) Corporation billing and report services. Pursuant to the federal act, each lender must submit to the secretary such reports as he may require and must prepare and submit billings for the payment of federal interest subsidies and special allowances due the lender on loans held…

The corporation is authorized to pay to the lender, on behalf of a student borrower and out of the corporation’s state interest subsidy and loan discount fund, interest accruing on a loan guaranteed by the corporation which is not eligible for payment of the federal interest subs…

In order to provide an additional incentive to lenders to broaden their participation in the program and better to assure lenders of receiving a competitive yield on educational loans made under this part, the corporation is authorized to pay to lenders, other than lenders who ar…

There are created, but not by way of limitation, the following special funds for the purposes prescribed: (1) Loan guaranty fund. A loan guaranty fund shall be maintained for the security of holders of loans guaranteed by the corporation. The corporation is authorized to guarante…

No school and no class, type, or group of ‘‘eligible institutions,’’ as such term is defined in the federal act, shall have a vested right to be approved by the corporation as a ‘‘school’’ for purposes of the program, except in accordance with rules and regulations prescribed by …

No lender and no class, type, or group of ‘‘eligible lenders,’’ as such term is defined in the federal act, shall have a vested right to be approved by the corporation as a ‘‘lender’’ for purposes of the program, except in accordance with rules and regulations prescribed by the c…

It shall not be permissible for any stockholder, director, officer, employee, agent, commissioned salesman, consultant, or other person in the employment of, or who for a valuable consideration serves the interests of, a lender or a school in this state or the corporation, the co…

The corporation is authorized: (1) To examine and audit accounts and records of lenders and schools relative to educational loans guaranteed by the corporation; (2) To conduct program reviews with appropriate officers and personnel of lenders and schools as may be necessary or ap…

A lender may sell loans guaranteed by the corporation, or an interest in such loans, to another lender only in accordance with regulations of the corporation; and in such event the guaranty liability of the corporation on such loans or interests therein shall not be affected. A l…

The servicing or collection of educational loans held by a lender may not be contracted to any other lender, person, or entity except in accordance with rules and regulations of the corporation. (Code 1933, § 32-3324, enacted by Ga. L. 1980, p. 835, § 2.)

Notwithstanding any general or special law or any certificate of incorporation, charter, or other articles of organization, all domestic or domesticated corporations, associations, and other taxable entities carrying on business in this state and any person are authorized to make…

In that the corporation is a duly created public authority and political subdivision of the state and is performing essential governmental functions in the exercise of its corporate purposes, the state covenants with the holders of educational loans guaranteed by the corporation …

One-half of the outstanding principal amount of loans guaranteed by the corporation and owned by a lender as of January 1 each year shall be deductible from the assets of the lender when determining the value of shares of the lender, or when determining the net worth of the lende…

If any director, officer, or employee of the corporation shall be interested, either directly or indirectly, or shall be a director, officer, or employee of or have an ownership interest in, other than a noncontrolling stockholder interest, or the substantial equivalent thereof, …

For the purpose of applying for, receiving, and repaying any educational loan under this part, all persons of any age shall be deemed to have full legal capacity to act and shall have all the rights, powers, privileges, and obligations of a person of legal age with respect theret…

In accordance with the national scope and intent of the United States relative to educational loans as expressed in the federal act, lenders and the corporation are authorized to accept and rely upon a student’s or parent’s certification of his or her state of legal residence unl…

Any student who is indebted to the corporation on a defaulted educational loan obtained under this part shall not be eligible to apply for or receive educational financial assistance available under any other state funded student financial aid program unless the student has made …

The corporation is assigned to the commission for administrative purposes as prescribed in Code Section 50-4-3. (Ga. L. 1972, p. 1015, § 1902; Code 1933, § 32-3336, enacted by Ga. L. 1980, p. 835, § 2.)

The corporation and its corporate existence shall continue until terminated by law; provided, however, that no such law shall take effect so long as the corporation shall have obligations outstanding, unless adequate provision has been made for the payment thereof and the holders…

The venue for any legal proceeding brought against the corporation shall be Fulton County, regardless of the county in which the principal office or any other office of the corporation may be located. (Code 1933, § 32-3338, enacted by Ga. L. 1980, p. 835, § 2.)

Nothing contained in this part shall be construed to mean that the corporation is engaged in or is authorized to engage in the general banking or general insurance business. (Code 1933, § 32-3339, enacted by Ga. L. 1980, p. 835, § 2.)

The corporation is authorized to publish in print or electronically annually, or at more or less frequent intervals determined by the board of directors, an operations report covering the activities of the corporation, including, without limitation, a reporting of revenues and ex…

(a) As used in this Code section, the term: (1) ‘‘Agency’’ means the Georgia Higher Education Assistance Corporation created in Code Section 20-3-263 which is responsible for administering a program of guaranteed educational loans to eligible students and eligible parents known a…