15-1746. Collections revolving fund; expenditures; employment of legal counsel; exemption from lapsing

A. A collections revolving fund is established which consists of:

1. Monies repaid to the board as provided in section 15-1745.

2. Monies which the legislature appropriates.

B. The board shall use monies in the collections revolving fund for payment of expenses incurred in enforcing contracts entered into with students as provided in section 15-1745, including expenditures for filing fees, court costs, travel, depositions, transcripts, reproduction costs, expert witness fees, investigations and similar costs and expenses. Except for payment of attorney fees due on the initial recovery of monies as provided in subsection C of this section, the board may not use monies in the fund to compensate or employ attorneys.

C. The board may, in legal actions taken outside of this state to enforce the contracts entered into with students as provided in section 15-1745, employ legal counsel on a contingent fee basis plus court costs. The employment and payment of legal counsel under this subsection is not subject to the bidding and contracting requirements under title 41, chapter 23.

D. At no time shall the amount of monies in the collections revolving fund retained to pay expenses incurred in enforcing contracts entered into with students exceed ten thousand dollars.

E. The board shall not retain more than ten thousand dollars in the collections revolving fund. Monies collected in excess of ten thousand dollars shall be deposited in the state general fund.

F. Monies in the collections revolving fund, up to an amount of ten thousand dollars, are exempt from section 35-190, relating to lapsing of appropriations.