Blunt Asset Sale Leaving MOHELA Unable To Make Payments as Scheduled; Execs Attempt to Fix Problem by Switching Hotels

We've already warned, as did legislative Democrats, that Matt Blunt's sale of MOHELA assets would leave the entity financially unable to meet some of its mission.  The chickens are already roosting:

Financial losses have led Missouri's student loan authority to consider whether it should delay a scheduled payment toward the state's college construction program.

Under state law, the Missouri Higher Education Loan Authority is to make a $5 million quarterly payment to the state by Monday as part of a several year, $350 million college building plan.

Dutifully carrying Matt Blunt's water, MOHELA's chief is trying to pin the losses squarely on lending fluctuations, suggesting the loan agency is merely "feeling the pressures of the credit crisis."  This while MOHELA slowly begins to dismantle the programs which its creation was intended to provide:

The financial troubles already have led MOHELA to end its private loan and loan consolidation programs, decisions that could make it more difficult and costly for some students to finance their education.

But don't worry, those of you Missourians who think your children ought to be able to get an affordable college education, the big thinkers who Matt Blunt shoehorned into leadership at MOHELA have come up with some innovative ways to address the body's financial woes.  Most compelling is their plan to begin staying at slightly less luxurious hotels when travelling:

Bayer said the loan agency has eliminated company cell phones and cut back on travel expenses, among other cost-cutting moves. For example, Bayer said, he stayed at a $149 a night hotel last week when he went to a conference in Nevada instead of at the $299 hotel where the conference was being hosted.

Well, this certainly puts things in perspective.  Missouri students may have to forgo affordable higher ed, but that's a small sacrifice compared with Ray Bayer's having to stay at hotels with a paltry $150 nightly price tag. 

All this trouble for Matt Blunt's vanity MOHELA sale plan --a plan of which Kenny Hulshof remains a strong supporter.