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Officials Argue over MOHELA Plan

Lieutenant Governor Peter Kinder is calling Attorney General Jay Nixon to stop blocking the partial sale of MOHELA from moving forward. Nixon says he's not responsible for stalling a proposal he says will hurt students. KSMU's Missy Shelton reports.

Lieutenant Governor Peter Kinder was on the campus of Missouri State University this morning to talk about how the Lewis and Clark Discovery Initiative would benefit the school.

The initiative comes from Governor Matt Blunt who proposes selling some assets of the Missouri Higher Education Loan Authority or MOHELA to fund capitol projects on university campuses.

Missouri State would receive up to 35 million dollars.

Kinder accused Attorney General Jay Nixon of single-handedly blocking the MOHELA proposal from moving forward by threatening MOHELA board members with lawsuits should they approve the sale of assets for the governor's initiative.

A Nixon spokesman says the attorney general never threatened to file a lawsuit against board members.

Nixon sent a letter to the MOHELA board indicating the possible legal ramifications of moving forward with the governor's plan.

Nixon says the sale of some MOHELA assets will reduce the ability of MOHELA to underwrite student loans.

Caught in the middle of this disagreement between Nixon and Kinder are the universities that haven't had state funding for capitol projects in years.