The board members of the University of Louisiana System, which includes SGA president John Lombardo, recently advised Nicholls to turn over debt collection duties to the office of the Louisiana Attorney General, James D. “Buddy” Caldwell.
The debts, which exceed $2 million, have accumulated over the last 30 years. The figure that has built up is from various things, such as students owing money for tuition fees.
“Sometimes, students can’t pay back fees,” said Mike Naquin, associate vice president and finance and chief financial officer at Nicholls. “Failure to pay over the years has greatly added to the debt.”
Debts placed with the Attorney General’s office are subject to legal collection efforts. According to the University Press Release, these efforts include letters, phone calls, and lawsuits. The money owed is also reported to the Credit Bureau and Department of revenue.
According to Naquin, the Attorney General’s office is the best vehicle to use when it comes to collecting debts. The Daily Comet reported in August that although they were in talks with a third-party debt collector, someone at a separate university suggested to Nicholls that they use the Attorney General’s office. The Attorney General has a collections department that represents Louisiana universities and government agencies. They are funded by taking a small percentage of the collections they take in.
“That office has more resources and has the ability to capture state tax refunds.” Naquin said. “It’s something that we do not typically turn over, but it has just gotten to a point where we do not have a choice. The necessary steps had to be taken.”
According to the University website, student tuition and fees were due on Aug. 16. Late fees of $100 were assessed to accounts that were not paid by 4:15 p.m. that day. A $125 late charge was also added to accounts that were unpaid by Sept. 6. Any students who did not pay at least half of their total balance may be subject to revoked campus privileges such as library and lab access, housing and meals. Students who do not pay their total balance by the close of business on the first day of October will be assessed an additional $125. They will lose campus privileges and will be subject to removal from campus housing.
The Attorney General’s Office will not take over the responsibility until January of 2012. Naquin encouraged that until then, students, former students and alumni with unpaid debts do the best they can to repay the University as soon as possible.
“Educational debts are the most difficult to get rid of, but when more people pay back what they owe, it greatly helps,” said Naquin.
Naquin also added that the University would be trying to contact students who owe money in order to be reminded to pay their debt.
According to the Daily Comet, university officials did not provide a list of who owed money. They cited a law that protects students’ academic information.
