Waiver keeps college involved in student loan programs
LOUISVILLE, Ky. (AP) – Students at Southeast Kentucky Community and Technical College will have continued access to federal student loans thanks to a federal waiver.
Senate Majority Leader Mitch McConnell said Tuesday that the federal education secretary granted the waiver allowing the college to continue participating in federal student loan programs.
Students at the college had been in danger of losing access to federal student loans. That’s because of high default rates in recent years among former students who took out federal student loans. Those high default rates placed the school’s funding at risk.
McConnell tucked a provision into a government funding bill giving federal officials flexibility to account for a region’s economic hardships when calculating a school’s loan default rate.
The downturn in the coal economy has added to southeastern Kentucky’s economic hardships.