Requiring the board of trustees of the Minnesota state colleges and universities (MnSCU) and requesting the university of Minnesota to adopt policies to assist students in default on institutional loans offered at public post-secondary institutions in returning to good standing for higher education completion purposes, requesting the governing boards of private post-secondary institutions to adopt similar policies; requiring the policies to require post-secondary institutions to readmit students making good faith efforts to rehabilitate loans through repayment arrangements with the institution, requiring repayment schedules to consider student economic hardship and ability to pay; requiring institutions offering institutional loans to provide notice of the policies; limiting the number of student loan rehabilitation opportunities; students of institutions not adopting a policy not to be eligible for state financial aid; eliminating a certain restriction on undergraduate student eligibility for student grants (je)