VALOR Act of 2025

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 1863 Introduced in Senate (IS)]

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119th CONGRESS
  1st Session
                                S. 1863

 To amend section 455(m) of the Higher Education Act of 1965 to modify 
  the eligibility requirements of the public service loan forgiveness 
 program for certain members of the Armed Forces, the National Guard, 
  and the commissioned corps of the National Oceanic and Atmospheric 
                Administration, and for other purposes.


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                   IN THE SENATE OF THE UNITED STATES

                              May 22, 2025

Mr. Blumenthal introduced the following bill; which was read twice and 
  referred to the Committee on Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
 To amend section 455(m) of the Higher Education Act of 1965 to modify 
  the eligibility requirements of the public service loan forgiveness 
 program for certain members of the Armed Forces, the National Guard, 
  and the commissioned corps of the National Oceanic and Atmospheric 
                Administration, 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. SHORT TITLE.

    This Act may be cited as the ``Veteran and Active Loan Obligation 
Relief Act of 2025'' or the ``VALOR Act of 2025''.

SEC. 2. MODIFICATION OF PUBLIC SERVICE LOAN FORGIVENESS ELIGIBILITY FOR 
              BORROWERS IN COVERED ACTIVE DUTY SERVICE.

    Section 455(m) of the Higher Education Act of 1965 (20 U.S.C. 
1087e(m)) is amended--
            (1) by redesignating paragraphs (3) and (4) as paragraphs 
        (4) and (5), respectively; and
            (2) by inserting after paragraph (2) the following:
            ``(3) Special rules with respect to borrowers in covered 
        active duty service.--
                    ``(A) In general.--In carrying out this subsection 
                with respect to a borrower whose public service 
                includes or consists of covered active duty service, 
                including National Guard service, the Secretary shall--
                            ``(i) deem each monthly payment that was 
                        deferred under subsection (f)(2)(C) or section 
                        428(b)(1)(M)(iii) (relating to certain National 
                        Guard duty or active duty deferment) or section 
                        493D, or that would have been due while the 
                        loan was in forbearance under subsection (l)(2) 
                        or section 428(c)(3)(A)(i)(iv), to be a 
                        qualifying monthly payment made by the borrower 
                        for purposes of subparagraphs (A) and (B)(ii) 
                        of paragraph (1);
                            ``(ii) waive the requirement of paragraph 
                        (1)(B)(i) if the borrower completed 10 years of 
                        full-time employment in covered active duty 
                        service during the period of the loan; and
                            ``(iii) ensure that a borrower whose public 
                        service job included covered active duty 
                        service and who meets the requirements of this 
                        subsection is able to receive public service 
                        loan forgiveness in accordance with the terms 
                        of this subsection, without regard as to when 
                        the borrower enrolled in the public service 
                        loan forgiveness program.
                    ``(B) Covered active duty service defined.--In this 
                paragraph, the term `covered active duty service' 
                means--
                            ``(i) active service (as that term is 
                        defined in section 101(d) of title 10, United 
                        States Code); and
                            ``(ii) full-time duty in the active service 
                        of the commissioned corps of the National 
                        Oceanic and Atmospheric Administration.''.
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