Zwiefel asks for independent probe of MOHELA

In a news release issued today, Democratic state treasurer candidate Clint Zweifel asked for an independent examination of MOHELA. The news release reads:

State Rep. Clint Zweifel, candidate for Missouri State Treasurer, joined former Missouri Higher Education Loan Authority board chairman John Greer and State Rep. Rachel Storch on a press call this afternoon discussing the financial crisis facing MOHELA. Rep. Zweifel called for an independent financial analysis of MOHELA.

"There are clear signs of severe financial distress at MOHELA," Zweifel said. "The agency cannot meet payments to the state for capital projects, it ended the last fiscal year with a $2.2 million operating loss - the first in agency history - and it has eliminated borrower benefit programs."

"It is critical that MOHELA's financial health be reviewed by an outside firm," Zweifel said. "The entire sale of assets to this point had been fraught with cronyism. An independent analysis is the only way Missouri can determine if the continued sell of MOHELA's assets is in the best interest of Missouri students."

The Missouri Higher Education Loan Authority was established to provide students access to low-interest loans to help them afford college. MOHELA's ability to fulfill its purpose was severely damaged by Governor Blunt's plan to sell off its assets for capital improvements. MOHELA now faces one of the toughest credit markets in financial history and its first financial loss in a 28-year history.

Zweifel's commitment to making college affordable for Missouri families is in stark contrast to his opponent State Senator Brad Lager. Lager supported the sell of MOHELA's assets and continues to embrace the failed economic policies of the Blunt Administration.

Clint's Plan to Make College More Affordable:

* The state treasurer should be a member of the MOHELA board to provide transparency and a voice for citizens.
* Return the MOHELA board to focusing on its original purpose of providing low-interest loans to Missouri students.
* Enact Missouri Promise and provide eligible community college graduates with two years of paid tuition, general fees and book costs at a Missouri public four-year college.
* Work to make it easier for families to understand the costs of each MOST investment option. MOST plan materials should state clearly the administrative costs of each program and state the true earnings of each option after costs.
* Ensure MOST chooses plan administrators and investments that offer families a low-fee, competitive investment option when it is rebid in two years.

Clint's college affordability plan can be read here: http://www.clintfortreasurer.com/issues/MakingCollegeAffordable.pdf