Substitute Senate Bill No. 13, now Public Act No. 24-52, introduces amendments to incentivize student loan repayment assistance, effective from January 1, 2025. The bill amends Section 12-217qq of the general statutes, deleting the definitions of "Authority" and "Eligible education loan" and redefining terms such as "Student education loan" and "Student loan servicer" as per section 36a-846. It increases the tax credit for qualified employers who make payments on student education loans to fifty percent of the principal balance paid, with a cap of $2,625 per employee annually. The application process for the tax credit involves filing with the Commissioner of Revenue Services and reserving credits through a voucher system, with a total cap of ten million dollars per year. Additionally, the bill allows qualified small businesses to exchange their tax credits for a refund and mandates the establishment of a High Priority Occupation Loan Subsidy Program by the Connecticut Higher Education Supplemental Loan Authority.

The High Priority Occupation Loan Subsidy Program is designed to subsidize interest rates on loans for individuals in high-demand occupations with workforce shortages. The authority is tasked with consulting the Office of Workforce Strategy to designate high priority occupations and establish program guidelines and eligibility criteria. The program will be funded through a separate, nonlapsing account, which may include state appropriations or bond sale proceeds, to cover administrative costs, loan refinancing, and a reserve for loan issuance losses. The bill includes insertions and deletions of legal language, but the specific text changes are not detailed in the provided excerpt. The act was approved on May 28, 2024.

Statutes affected:
Governor's Bill: 12-217qq, 32-8a
HED Joint Favorable Substitute Change of Reference: 12-217qq
FIN Joint Favorable: 12-217qq
File No. 523: 12-217qq
Public Act No. 24-52: 12-217qq