Authorizes the Secretary of Education to waive or modify requirements under the Higher Education Act of 1965 for student financial assistance programs, or other student or institutional eligibility provisions, as necessary to reflect changes in the financial condition of affected students and their families resulting from Hurricane Katrina or Hurricane Rita (a Gulf hurricane disaster).
Cancels: (1) certain institutional repayments by institutions of higher education affected by a Gulf hurricane disaster; and (2) student loans for affected students during certain cancelled enrollment periods. Provides for: (1) temporary deferment of student loan repayment by affected individuals; and (2) waiver of consecutive service requirements for affected individuals under a program of student loan forgiveness for school teachers.
Directs the Secretary to make special efforts to notify affected students who qualify for a means-tested federal benefit program of their potential eligibility for a maximum Pell Grant and to disseminate informational materials regarding such eligibility.
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4490 Introduced in House (IH)]
109th CONGRESS
1st Session
H. R. 4490
To provide higher education relief to individuals and institutions
affected by Hurricanes Katrina and Rita, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
December 8, 2005
Mr. Jindal introduced the following bill; which was referred to the
Committee on Education and the Workforce
_______________________________________________________________________
A BILL
To provide higher education relief to individuals and institutions
affected by Hurricanes Katrina and Rita, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. REFERENCES.
References in this Act to ``the Act'' are references to the Higher
Education Act of 1965 (20 U.S.C. 1001 et seq.).
SEC. 2. WAIVERS AND MODIFICATIONS.
Notwithstanding any other provision of law, unless enacted with
specific reference to this section, the Secretary is authorized to
waive or modify any statutory or regulatory provision applicable to the
student financial assistance programs under title IV of the Act, or any
student or institutional eligibility provisions in the Act, as the
Secretary deems necessary in connection with a Gulf hurricane disaster
to ensure that--
(1) the calculation of expected family contribution under
section 474 of the Act used in the determination of need for
student financial assistance under title IV of the Act for any
affected student (and the determination of such need for his or
her family, if applicable), is modified to reflect any changes
in the financial condition of such affected student and his or
her family resulting from a Gulf hurricane disaster; and
(2) institutions of higher education, systems of
institutions, or consortia of institutions that are located in
an area affected by a Gulf hurricane disaster, or that are
serving affected students, are eligible, notwithstanding
section 486(d) of the Act, to apply for participation in the
distance education demonstration program under section 486 of
the Act, except that the Secretary shall include in reports
under section 486(f) of the Act an identification of those
institutions, systems, and consortia that were granted
participation in the demonstration program due to a Gulf
hurricane disaster.
SEC. 3. CANCELLATION OF INSTITUTIONAL REPAYMENT BY COLLEGES AND
UNIVERSITIES AFFECTED BY A GULF HURRICANE DISASTER.
Notwithstanding any provision of title IV of the Act or any
regulation issued thereunder, the Secretary shall cancel any obligation
of an affected institution to return or repay any funds the institution
received before the date of enactment of this Act for, or on behalf of,
its students under subpart 1 or 3 of part A or parts B, C, D, or E of
title IV of the Act for any cancelled enrollment period.
SEC. 4. CANCELLATION OF STUDENT LOANS FOR CANCELLED ENROLLMENT PERIODS.
(a) Loan Forgiveness Authorized.--Notwithstanding any provision of
title IV of the Act, the Secretary shall discharge all loan amounts
under parts B and D of title IV of the Act, and cancel any loan made
under part E of such title, disbursed to, or on behalf of, an affected
student for a cancelled enrollment period.
(b) Reimbursement.--The Secretary shall--
(1) reimburse each affected institution for any amounts
discharged under subsection (a) with respect to a loan under
part E of title IV of the Act in the same manner as is required
by section 465(b) of the Act with respect to a loan cancelled
under section 465(a) of the Act; and
(2) reimburse lenders for the purpose of discharging any
loan amounts disbursed to, or on behalf of, an affected student
under part B of title IV of the Act for a cancelled enrollment
period.
(c) Limitation on Consolidation Loans.--A loan amount for a loan
made under section 428C of the Act or a Federal Direct Consolidation
Loan may be eligible for discharge under this section only to the
extent that such loan amount was used to repay a loan to an affected
student for a cancelled enrollment period.
(d) Construction.--Nothing in this section shall be construed to
authorize any refunding of any repayment of a loan.
SEC. 5. TEMPORARY DEFERMENT OF STUDENT LOAN REPAYMENT.
An affected individual who is a borrower of a qualified student
loan or a qualified parent loan shall be granted a deferment, not in
excess of 6 months, during which periodic installments of principal
need not be paid, and interest--
(1) shall accrue and be paid by the Secretary, in the case
of a loan made under section 428, 428B, 428C, or 428H of the
Act;
(2) shall accrue and be paid by the Secretary to the
Perkins loan fund held by the institution of higher education
that made the loan, in the case of a loan made under part E of
title IV of the Act; and
(3) shall not accrue, in the case of a Federal Direct Loan
made under part D of such title.
SEC. 6. NO AFFECT ON GRANT AND LOAN LIMITS.
Notwithstanding any provision of title IV of the Act or any
regulation issued thereunder, no grant or loan funds received by an
affected student under title IV of the Act for a cancelled enrollment
period shall be counted against such affected student's annual or
aggregate grant or loan limits for the receipt of grants or loans under
that title.
SEC. 7. TEACHER LOAN RELIEF.
The Secretary may waive the requirement of sections 428J(b)(1) and
460(b)(1)(A) of the Act that the 5 years of qualifying service be
consecutive academic years for any teacher whose employment was
interrupted if--
(1) the teacher was employed in qualifying service, at the
time of a Gulf hurricane disaster, in a school located in an
area affected by a Gulf hurricane disaster; and
(2) the teacher resumes qualifying service not later than
the beginning of academic year 2006-2007 in that school or any
other school in which employment is qualifying service under
such section.
SEC. 8. EXPANDING INFORMATION DISSEMINATION REGARDING ELIGIBILITY FOR
PELL GRANTS.
(a) In General.--The Secretary shall make special efforts, in
conjunction with State efforts, to notify affected students and if
applicable, their parents, who qualify for means-tested Federal benefit
programs, of their potential eligibility for a maximum Pell Grant, and
shall disseminate such informational materials as the Secretary deems
appropriate.
(b) Means-Tested Federal Benefit Program.--For the purpose of this
section, the term ``means-tested Federal benefit program'' means a
mandatory spending program of the Federal Government, other than a
program under the Act, in which eligibility for the program's benefits,
or the amount of such benefits, or both, are determined on the basis of
income or resources of the individual or family seeking the benefit,
and may include such programs as the supplemental security income
program under title XVI of the Social Security Act, the food stamp
program under the Food Stamp Act of 1977, the free and reduced price
school lunch program established under the Richard B. Russell National
School Lunch Act, the temporary assistance to needy families program
established under part A of title IV of the Social Security Act, and
the women, infants, and children program established under section 17
of the Child Nutrition Act of 1966, and other programs identified by
the Secretary.
SEC. 9. PROCEDURES.
(a) Deadlines and Procedures.--Sections 482(c) and 492 of the Act
shall not apply to any waivers, modifications, or actions initiated by
the Secretary under this Act.
(b) Case-by-case Basis.--The Secretary is not required to exercise
any waiver or modification authority under this Act on a case-by-case
basis.
SEC. 10. TERMINATION OF AUTHORITY.
The authority of the Secretary to issue waivers or modifications
under this Act shall expire at the conclusion of the 2005-2006 academic
year, but the expiration of such authority shall not affect the
continuing validity of any such waivers or modifications after such
academic year.
SEC. 11. DEFINITIONS.
For purposes of this Act, except as otherwise specifically provided
in this Act, the following terms have the following meanings:
(1) Affected individual.--The term ``affected individual''
means an individual who has applied for or received student
financial assistance under title IV of the Higher Education Act
of 1965, and--
(A) who is an affected student; or
(B) whose primary place of employment or residency
was, as of August 29, 2005, in an area affected by a
Gulf hurricane disaster.
(2) Affected institution.--The term ``affected
institution'' means an institution of higher education that--
(A) is located in an area affected by a Gulf
hurricane disaster; and
(B) has temporarily ceased operations as a
consequence of a Gulf hurricane disaster, as determined
by the Secretary.
(3) Affected state.--The term ``affected State'' means the
State of Alabama, Florida, Louisiana, Mississippi, or Texas.
(4) Affected student.--The term ``affected student'' means
an individual who has applied for or received student financial
assistance under title IV of the Higher Education Act of 1965,
and who--
(A) was enrolled or accepted for enrollment, as of
August 29, 2005, at an institution of higher education
in an area affected by a Gulf hurricane disaster;
(B) was a dependent student enrolled or accepted
for enrollment at an institution of higher education
that is not in an area affected by a Gulf hurricane
disaster, but whose parents resided or were employed,
as of August 29, 2005, in an area affected by a Gulf
hurricane disaster; or
(C) was enrolled or accepted for enrollment at an
institution of higher education, as of August 29, 2005,
and whose attendance was interrupted because of a Gulf
hurricane disaster.
(5) Area affected by a gulf hurricane disaster.--The term
``area affected by a Gulf hurricane disaster'' means a county
or parish, in an affected State, that has been designated by
the Federal Emergency Management Agency for disaster assistance
for individuals and households as a result of Hurricane Katrina
or Hurricane Rita.
(6) Cancelled enrollment period.--The term ``cancelled
enrollment period'' means any period of enrollment at an
affected institution during the academic year 2005.
(7) Gulf hurricane disaster.--The term ``Gulf hurricane
disaster'' means a major disaster that the President declared
to exist, in accordance with section 401 of the Robert T.
Stafford Disaster Relief and Emergency Assistance Act, and that
was caused by Hurricane Katrina or Hurricane Rita.
(8) Institution of higher education.--The term
``institution of higher education'' has the meaning given such
term in section 102 of the Higher Education Act of 1965, except
that the term does not include institutions under subsection
(a)(1)(C) of that section.
(9) Qualified student loan.--The term ``qualified student
loan'' means any loan made, insured, or guaranteed under part
B, D, or E of title IV of the Higher Education Act of 1965,
other than a loan under section 428B of such title or a Federal
Direct Plus loan.
(10) Qualified parent loan.--The term ``qualified parent
loan'' means a loan made under section 428B of title IV of the
Higher Education Act of 1965 or a Federal Direct Plus loan.
(11) Secretary.--The term ``Secretary'' means the Secretary
of Education.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Education and the Workforce.
Referred to the Subcommittee on 21st Century Competitiveness.
Llama 3.2 · runs locally in your browser
Ask anything about this bill. The AI reads the full text to answer.
Enter to send · Shift+Enter for new line