BLAIR LEE III, Acting Governor                          429

(A)   PURPOSE.

THE PURPOSE OF THE CORPORATION IS TO IMPROVE THE
EDUCATIONAL OPPORTUNITIES OF RESIDENTS OF THIS STATE WHO
ATTEND OR PLAN TO ATTEND COLLEGES OR VOCATIONAL SCHOOLS IN
THIS STATE OR ELSEWHERE, BY LENDING OR GUARANTEEING THE LOAN
OF FUNDS TO THESE INDIVIDUALS TO HELP THEM MEET THEIR
EDUCATIONAL EXPENSES.

(B)   POWERS.

TO CARRY OUT ITS PURPOSE, THE CORPORATION MAY:

(1)   LEND MONEY UNDER THIS SUBTITLE, ON THE TERMS
AND CONDITIONS THE BOARD DETERMINES TO RESIDENTS OF THIS
STATE WHO HAVE BEEN ACCEPTED FOR ENROLLMENT OR WHO ARE
STUDENTS IN GOOD STANDING AT COLLEGES OR VOCATIONAL SCHOOLS
IN THIS STATE OR ELSEWHERE, TO HELP THEM MEET THEIR
EDUCATIONAL EXPENSES;

(2)   GUARANTEE THE LOAN OF MONEY UNDER THIS
SUBTITLE ON THE TERMS AND CONDITIONS THE BOARD DETERMINES TO
RESIDENTS OF THIS STATE WHO HAVE BEEN ACCEPTED FOR
ENROLLMENT OS WHO ARE STUDENTS IN GOOD STANDING AT COLLEGES
OR VOCATIONAL SCHOOLS IN THIS STATE OR ELSEWHERE, TO HELP
THEM MEET THEIR EDUCATIONAL EXPENSES;

(3)   OBTAIN A GROUP LIFE INSURANCE POLICY TO
INSURE THE REPAYMENT OF LOANS MADE OR GUARANTEED BY THE
CORPORATION IF A BORROWER DIES;

(4)   PAY A SERVICE FEE OF $40 TO ANY LENDING
INSTITUTION FOR THE PROCESSING, APPROVAL, AND GRANTING A
LOAN OR CONVERSION TO A "PAY-OUT" PROGRAM FOR AN EXISTING
LOAN ON BEHALF OF ANY STUDENT WHO RECEIVES A LOAN UNDER THIS
SUBTITLE;

(5)     ACQUIRE BY GIFT, GRANT, APPROPRIATION OR
PURCHASE, AND OWN, EITHER ABSOLUTELY OR IN TRUST, ANY
INTEREST IN OR INCOME FROM PROPERTY AND MONEY FOR ANY
PURPOSE OF THE CORPORATION FROM ANY SOURCE, AND ON ANY
TERMS;

(6)   MAKE CONTRACTS WITH:

(I)    COLLEGES AND VOCATIONAL SCHOOLS, ON ANY
TERMS AGREED ON BETWEEN THE CORPORATION AND THE COLLEGE OR
VOCATIONAL SCHOOL, TO PROVIDE FOR THE ADMINISTRATION BY THE
COLLEGE OR SCHOOL OF ANY LOAN OR GUARANTEE MADE BY THE
CORPORATION, INCLUDING APPLICATIONS FOR THEM AND REPAYMENT
OF THEM; AND

(II)    THE FEDERAL GOVERNMENT OR ANY PRIVATE
AGENCY APPROVED BY THE BOARD, FOR THE PURPOSE OF RECEIVING
FUNDS OR SERVICES;

(7)   SUE AND BE SUED;