Bill > HB2099

This bill establishes the Delayed Payment Plan Program, a new initiative allowing students at Pennsylvania community colleges and technical schools to participate in income share agreements (ISAs) as an alternative to traditional student loans. Starting in the 2025-2026 academic year, eligible students can receive tuition funding in exchange for agreeing to pay a percentage of their future income for up to 10 years after graduation. To qualify, students must be Pennsylvania residents, pursue degrees in high-need areas, demonstrate federal student loan eligibility, and commit to remaining in the state for 10 years or until tuition is repaid. The program will be administered by the Pennsylvania Higher Education Assistance Agency, which will create a dedicated fund sourced from private grants, state appropriations, and repayments. Key provisions include no monthly payments when a student's annual income is below $30,000, a cap on total repayment of 200% of the original amount, and forgiveness options for students with significant disabilities or who are unable to work. The bill requires detailed reporting on program participation and outcomes, with initial reports due in 2027 and a comprehensive review in 2030, and includes safeguards like transparency requirements and limits on administrative costs.

Education

https://www.palegis.us/legislation/bills/2025/hb2099