The bill, sponsored by Sen. Glenn Anderson, D-Westland, would allow recent college graduates of both public and private universities in Michigan a tax credit equal to 50 percent of their loan payments as long as they are employed and attempting to pay down their student loan debt.

The legislation has already been passed by the Michigan State Finance Committee.

It aims to improve the retention rate of students who stay in Michigan after they graduate.

Part of the bill’s goal is to address the “brain drain” occurring in Michigan, which is being caused by a lack of employment opportunities for college graduates, thus leading them to flee to other states.

Anderson said the bill could give students firm ground to stand on in the state post-graduation.

“I don’t think it (the bill) would change a career path,” Anderson said. “We are trying to get people to tenure our universities and get their degrees, but we are not doing anything to retain them.”

Oakland University senior and representative of the Student Association of Michigan Michelle Alwardt testified on the bill’s behalf on Thursday morning.

She said the bill would not only make higher education more efficient, but the money currently spent on higher education would ultimately be re-invested into Michigan’s economy.

“We need to start investing in our students directly, and I think retaining our students is the key to Michigan’s economy,” Alwardt said.

ASMSU representative Meghan Mitchum also testified on behalf of passing Bill 408. Mitchum said ASMSU sorts through various legislatures in order to determine which ones will benefit MSU students.

During Mitchum’s testimony, she also addressed the brain drain issue and how the bill could help resolve it.