SB444,32 Section 32 . 20.195 of the statutes is created to read:

SB444,15,16 20.195 Wisconsin Student Loan Refinancing Authority. There is appropriated to the Wisconsin Student Loan Refinancing Authority for the following programs:

SB444,16,2 (1) Student loan refinancing program. (a) Initial funding. Biennially, the amounts in the schedule to fund the initial costs of operating the Wisconsin Student Loan Refinancing Authority and to start the student loan refinancing program under ch. 239.

SB444,33 Section 33 . 39.28 (7) of the statutes is created to read:

SB444,16,6 39.28 (7) The board shall create on its Internet site a link to that portion of the department of financial institutions' Internet site created under s. 224.30 (6) (c) and (d).

SB444,34 Section 34 . 39.52 of the statutes is created to read:

SB444,16,21 39.52 Student loan debt reports. (1) By January 1 of each year, the Board of Regents of the University of Wisconsin System shall provide to the board the average amount of student loan debt incurred in the previous year by resident undergraduate students enrolled in each institution within that system, the technical college system board shall provide to the board the average amount of student loan debt incurred in the previous year by resident undergraduate students enrolled in each technical college within that system, each tribally controlled college in this state shall provide to the board the average amount of student loan debt incurred in the previous year by resident undergraduate students enrolled in that tribally controlled college, and the Wisconsin Association of Independent Colleges and Universities or a successor organization shall provide to the board the average amount of student loan debt incurred in the previous year by resident undergraduate students enrolled in each of the private, nonprofit accredited institutions of higher education in this state.

SB444,16,22 (2) By March 1 of each year, the board shall do all of the following:

SB444,17,2 (a) Compile the information provided to the board under sub. (1) and, from that information, compute the statewide average amount of student loan debt incurred in the previous year by resident undergraduate students enrolled in the institutions specified in sub. (1).

SB444,17,5 (b) Compare the amount computed under par. (a) to the national average amount of student loan debt incurred in the previous year by undergraduate students enrolled in institutions of higher education in the United States.

SB444,17,9 (c) Compare the amount computed under par. (a) to the statewide average amount of student loan debt incurred in the previous year by undergraduate students in the state with the lowest ratio of statewide average student loan debt to the lowest quintile of state per capita income.

SB444,17,14 (d) Submit to the joint committee on finance a report regarding student loan debt incurred in the previous year by resident undergraduate students at the institutions specified in sub. (1). The report shall include the information provided to the board under sub. (1), the statewide average amount of student loan debt computed under par. (a), and the comparisons described in pars. (b) and (c).

SB444,35 Section 35 . 39.54 of the statutes is created to read:

SB444,17,22 39.54 Student lending transparency. (1) In this section, “institution of higher education" means an institution or college campus within the University of Wisconsin System, a technical college within the technical college system, a tribally controlled college, or a private, nonprofit institution of higher education located in this state that provides an educational program for which the institution awards an associate degree or higher or provides a program that is acceptable toward such a degree.

SB444,17,25 (2) Each institution of higher education shall provide to a prospective or newly accepted student and to the student's parents clearly outlined and easy-to-understand information pertaining to all of the following:

SB444,18,1 (a) The total cost of attendance at the institution of higher education.

SB444,18,6 (b) The approximate or, if known, the actual total amount of financial aid that the student would receive from the institution of higher education, and the approximate or, if known, the actual total amount of student loan debt that the student would accumulate, over the course of 4 years if the student were to attend the institution of higher education for 4 years.

SB444,18,9 (c) Student loan rates, repayment plans, default rates, and the actual monthly payment that would be required to pay the student loan debt described in par. (b) when the loan becomes due.

SB444,18,12 (3) Each institution of higher education shall create on its Internet site a link to that portion of the department of financial institutions' Internet site created under s. 224.30 (6) (c) and (d).

SB444,36 Section 36 . 39.56 of the statutes is created to read:

SB444,18,18 39.56 Loan counseling. (1) Definition. In this section, “institution of higher education" means an institution or college campus within the University of Wisconsin System, a technical college under ch. 38, or any private, nonprofit, educational institution located in this state that provides an educational program for which it awards an associate degree or higher.

SB444,18,22 (2) Applicability. This section applies to any student loan offered by an institution of higher education or a private lender or recommended to a student by an institution of higher education, other than a federally funded, federally insured, or federally guaranteed loan for which counseling is required by 20 USC 1092.

SB444,19,5 (3) Entrance counseling. (a) Before a student enters into a student loan agreement, an institution of higher education shall provide the student with comprehensive information on the terms and conditions of a loan and the responsibilities the student has with respect to the loan. The institution shall provide the information during a counseling session conducted in person, on a written form provided to the student that the student signs and returns, or online, with the student acknowledging receipt of the information. The information provided shall include all of the following:

SB444,19,7 1. To the extent practicable, the effect of accepting the loan to be disbursed on the eligibility of the borrower for other forms of student financial assistance.

SB444,19,9 2. How interest accrues and is capitalized during periods when the interest is not paid by the borrower.

SB444,19,12 3. The definitions of full-time and half-time enrollment at the institution of higher education, during regular terms and intersession terms, if applicable, and the consequences of not maintaining full-time or half-time enrollment.

SB444,19,15 4. The importance of contacting the appropriate office at the institution of higher education if the borrower withdraws before completing his or her program of study so that the institution can provide counseling under sub. (4).

SB444,19,17 5. Sample monthly repayment amounts, based on a range of levels of indebtedness.

SB444,19,20 6. The obligation of the borrower to repay the full amount of the loan, irrespective of whether the borrower completes his or her program of study at the institution.