Legislation to allow joint administration of the Canada and Ontario student loan programs
TORONTO, April 26 /CNW/ - With national banks withdrawing from student loan programs later this year, Ontario needs to join other jurisdictions in finding an alternative delivery method, said Dianne Cunningham, Minister of Training, Colleges and Universities, today at the introduction of the Ontario Student Loan Harmonization Act, 2001.
The Act, if passed by the Legislature, would allow the Ontario Government to put new financial and administrative arrangements in place that ensure that Ontario Student Loans are available to students as of August 1, 2001.
"Our commitment is that every willing and qualified Ontario student will continue to be able to attend college or university," said Cunningham. "If this legislation is passed, it will help us to ensure that our students have the same access as before to the student assistance they require to help manage their portion of the costs of their education."
The federal government has passed legislation that gave it the authority to introduce a direct loan program for the Canada Student Loan portion of student assistance. That program is being administered by independent service providers, under contract to the federal government.
There are provisions in the contract for the provinces to use the same service providers.
The Ontario Student Loan Harmonization Act, 2001, would provide the Ontario Government with the authority to enter into an agreement with the federal government for joint administration of the Canada and Ontario student loan programs.
"The Ontario Government signed an agreement in May 1999 with the federal government to move forward with the harmonization of our respective student loan programs. The legislation we have introduced today would allow us to meet that commitment," said Cunningham.
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For more information visit www.edu.gov.on.ca
For further information: Dave Ross, Communications Branch, (416) 325-2709; Kerry Kincaid Delaney, Minister's Office, (416) 326-1625