A pair of bills in the Michigan House and Senate are setting their sights on getting rid of tuition bills.
Rather than paying off installments on a loan package, the proposed legislation would allow students to pay off school with a fixed percent of their future incomes — as long as their income is above the federal poverty line.
A $2 million pilot program would be established to fund 200 students at community colleges and public four-year universities.
From David Jesse of the Detroit Free Press:
So a student who went to the University of Michigan and graduated in four years would have to pay 4 percent of his or her income back every year for 20 years.
The so-called “pay-it-forward” bills have gained some legislative popularity after Oregon launched a study last July to examine the feasibility of such a proposal.
Michigan joins Oregon, Florida, Washington, and some 20 other states considering the "go now, pay later" plan.