{"data":{"id":"us-ky/krs-164a.050","jurisdiction":"us-ky","citation":"KRS 164A.050","heading":"Kentucky Higher Education Student Loan Corporation -- Establishment","body":"-- Organization -- Terms -- Duties -- Removal -- Expenses -- Relationship with\nother educational entities.\n(1) There is hereby created and established an independent de jure  municipal\ncorporation and political subdivision of the Commonwealth of Kentucky which\nshall be a body corporate and politic to be known and identified as the Kentucky\nHigher Education Student Loan Corporation.\n(2) The Kentucky Higher Education Student Loa n Corporation is created and\nestablished as an independent de jure municipal corporation and political\nsubdivision of the Commonwealth of Kentucky to perform essential governmental\nand public functions and purposes in improving and otherwise promoting the\neducational opportunities of the citizens and inhabitants of the Commonwealth of\nKentucky and other qualified students by a program of financing, making, and\npurchasing of student loans.\n(3) (a) The corporation shall be governed by a board of directors consisting of:\n1. Ten (10) voting members of the board of directors of the Kentucky\nHigher Education Assistance Authority appointed by the Governor\npursuant to KRS 164.746(1)(a), who shall serve terms of office on the\ncorporation board coextensive with their respective terms of office on\nthe Kentucky Higher Education Assistance Authority board; and\n2. The secretary of the Finance and Administration Cabinet, or a designee\nwho shall be another official of the same cabinet, who shall serve as an\nex officio voting member.\n(b) The president of the Council on Postsecondary Education, the president of the\nAssociation of Independent Kentucky Colleges and Universities, the State\nTreasurer, and the commissioner of education, or their designees who shall be\nanother offici al of the same cabinet or agency, shall serve as ex officio\nnonvoting advisors to the board.\n(4) The Governor shall appoint directors according to subsection (3)(a)1. of this section\nfrom nominees submitted by the Governor's Postsecondary Education Nominat ing\nCommittee under KRS 164.005 to take office and to exercise all powers thereof\nimmediately. The terms shall be staggered and shall be for a period of four (4) years\neach. Each director shall serve for the appointed term and shall serve until a\nsuccessor has been appointed and has duly qualified.\n(5) In the event of a vacancy, the Governor may appoint a replacement director from\nnominees submitted by the Governor's Postsecondary Education Nominating\nCommittee under KRS 164.005 who shall hold office during the remainder of the\nterm so vacated.\n(6) The G overnor may remove any director from the general public in case of\nincompetency, neglect of duties, gross immorality, or malfeasance in office; and\nmay thereupon declare such office vacant and may appoint a person to fill such\nvacancy as provided in other cases of vacancy.\n(7) The board shall elect from its voting membership a chair, chair -elect, and secretary-\ntreasurer. The executive director of the Kentucky Higher Education Assistance\nAuthority shall serve as executive director of the corporation.\n(8) The executive director shall administer, manage, and direct the affairs and business\nof the corporation, subject to the policies, control, and direction of the board of the\ncorporation. The secretary -treasurer of the corporation shall keep a record of the\nproceedings of the corporation and shall be custodian of all books, documents, and\npapers filed with the corporation, the minute book or journal of the corporation, and\nits official seal. The secretary-treasurer may copy all minutes and other records and\ndocuments of the corporation and give certificates under the official seal of the\ncorporation to the effect that such copies are true copies and all persons dealing\nwith the corporation may rely upon such certificates.\n(9) A majority of the board of the corporation shall constitute a quorum for the purpose\nof conducting its business and exercising its powers and for all other purposes\nnotwithstanding the existence of any vacancies on the board.\n(10) Official actions may be taken by the corporation at meetings d uly called by the\nchair upon three (3) days' written notice to each director or upon the concurrence of\nat least a majority of the directors. In lieu of personal attendance by members of the\nboard at the same location, the board may conduct meetings by tel econference or\nother available technological means suitable for conducting its business. Meetings\nof the board shall be open and accessible to the public in accordance with KRS\n61.805 to 61.850, and any alternate method of conducting a meeting in lieu of\npersonal attendance shall ensure public access.\n(11) Directors, except officers or employees of the state, shall receive one hundred\ndollars ($100) compensation per day for their services and shall be entitled to\npayment of any reasonable and necessary expe nse actually incurred in discharging\ntheir duties under this chapter.\n(12) Recognizing that the corporation and the Kentucky Higher Education Assistance\nAuthority are governed by the same board members appointed by the Governor and\nmanaged by a common exec utive director and otherwise share staff functions, the\ntwo (2) organizations shall provide technical, clerical, and administrative assistance\nto each other and for the Asset Resolution Corporation, the Kentucky Educational\nSavings Plan Trust, and the Comm onwealth postsecondary education prepaid\ntuition trust fund, together with necessary office space and personnel, and shall\nassist each other in all ways by the performance of any and all actions which may\nbe useful or beneficial in the performance of their public functions.\n(13) The corporation shall enter into contracts with the Kentucky Higher Education\nAssistance Authority, the Asset Resolution Corporation, the Kentucky Educational\nSavings Plan Trust, and the Commonwealth postsecondary education prepaid\ntuition trust fund as may be proper and appropriate in respect to services which may\ninclude but not be limited to the servicing and collection of student loans or to\nfacilitate the common administration, operation, and management of the contracting\nentities.","path":["KRS Chapter 164A"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=54460","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:51:19Z","sha256":"d0fd4c22d1725ef4455216bdb171aec91c87c8fdeb60a94fff679364d2e578a3","source_id":"us-ky","stale":false,"prev":"us-ky/krs-164a.040","next":"us-ky/krs-164a.055"},"notice":"GroundRules: Original legal text. Not legal advice."}