I 108th CONGRESS 2d Session H. R. 4410 IN THE HOUSE OF REPRESENTATIVES May 20, 2004 Mr. Wilson of South Carolina (for himself, Mr. Boehner, Mr. McKeon, Mr. Isakson, Mr. Greenwood, Mr. Ehlers, Mr. Platts, Mr. Tiberi, Mr. Keller, Mr. Cole, Mr. Porter, Mr. Baker, Mr. Bradley of New Hampshire, Ms. Ginny Brown-Waite of Florida, Mr. Fattah, Mr. Garrett of New Jersey, Mr. Graves, Mr. Hobson, Mr. Jenkins, Ms. Eddie Bernice Johnson of Texas, Mr. Kolbe, Mr. Nunes, Mr. Shimkus, Mr. Simmons, Mr. Souder, and Mrs. Wilson of New Mexico) introduced the following bill; which was referred to the Committee on Education and the Workforce A BILL To increase the amount of student loans that may be forgiven for highly qualified teachers in mathematics, science, and special education and for reading specialists.
1.
Short title
This Act may be cited as the &short-title1;.
2.
Increased qualified loan amounts
(a)
FFEL loans
Section 428J(c) of the Higher Education Act of 1965 (20 U.S.C. 1078–10(c)) is amended by adding at the end the following new paragraph: (3)
Increased amounts for teachers in mathematics, science, or special education
(A)
Service qualifying for increased amounts
Notwithstanding the amount specified in paragraph (1), the aggregate amount that the Secretary shall repay under this section shall not be more than $17,500 in the case of— (i) a secondary school teacher— (I) who meets the requirements of subsection (b), subject to subparagraph (D) of this paragraph; and (II) whose qualifying employment for purposes of such subsection has been teaching mathematics or science on a full-time basis; (ii) an elementary or secondary school teacher— (I) who meets the requirements of subsection (b), subject to subparagraph (D) of this paragraph; (II) whose qualifying employment for purposes of such subsection has been as a special education teacher whose primary responsibility is to provide special education to children with disabilities (as those terms are defined in section 602 of the Individuals with Disabilities Act); and (III) who, as certified by the chief administrative officer of the public or nonprofit private elementary or secondary school in which the borrower is employed, is teaching children with disabilities that correspond with the borrower’s special education training and has demonstrated knowledge and teaching skills in the content areas of the elementary or secondary school curriculum that the borrower is teaching; and (iii) an elementary or secondary school teacher who primarily teaches reading and— (I) who meets the requirements of subsection (b), subject to subparagraph (D) of this paragraph; (II) who has obtained a separate reading instruction credential from the State in which the teacher is employed; and (III) who is certified by the chief administrative officer of the public or nonprofit private elementary or secondary school in which the borrower is employed to teach reading— (aa) as being proficient in teaching the essential components of reading instruction as defined in section 1208 of the Elementary and Secondary Education Act of 1965; and (bb) as having such credential. (B)
Accelerated payment
Notwithstanding the requirements of subsection (b)(1) and paragraph (1) of this subsection that 5 consecutive complete years of service have been completed prior to the receipt of loan forgiveness, in the case of service described in subparagraph (A) of this paragraph, the Secretary shall repay a portion of a borrower’s loan obligation outstanding at the commencement of the qualifying service under this subsection, not to exceed a total of $17,500, in the following increments: (i) up to $1,750, or 10 percent of such outstanding loan obligation, whichever is less, at the completion of the second year of such service; (ii) up to $2,625, or 15 percent of such outstanding loan obligation, whichever is less, at the completion of the third year of such service; (iii) up to $4,375, or 25 percent of such outstanding loan obligation, whichever is less, at the completion of the fourth year of such service; and (iv) up to $8,750, or 50 percent of such outstanding loan obligation, whichever is less, at the completion of the fifth year of such service. (C)
Promise to complete service required for accelerated payment
Any borrower who receives accelerated payment under this paragraph shall enter into an agreement to continue in the qualifying service for not less than 5 consecutive complete school years, or, upon a failure to complete such 5 years, to repay the United States, in accordance with regulations prescribed by the Secretary, the amount of the loans repaid by the Secretary under this paragraph, together with interest thereon and, to the extent required in such regulations, the reasonable costs of collection. Such regulations may provide for waiver by the Secretary of such repayment obligations upon proof of economic hardship as specified in such regulations. (D)
Higher poverty enrollment required
In order to qualify for an increased repayment amount under this paragraph, section 465(a)(2)(A) shall, for purposes of subsection (b)(1)(A) of this section, be applied by substituting 40 percent of the total enrollment for 30 percent of the total enrollment. . (b)
Direct loans
Section 460(c) of the Higher Education Act of 1965 (20 U.S.C. 1087j(c)) is amended by adding at the end the following new paragraph: (3)
Increased amounts for teachers in mathematics, science, or special education
(A)
Service qualifying for increased amounts
Notwithstanding the amount specified in paragraph (1), the aggregate amount that the Secretary shall repay under this section shall not be more than $17,500 in the case of— (i) a secondary school teacher— (I) who meets the requirements of subsection (b)(1), subject to subparagraph (D) of this paragraph; and (II) whose qualifying employment for purposes of such subsection has been teaching mathematics or science on a full-time basis; (ii) an elementray or secondary school teacher— (I) who meets the requirements of subsection (b)(1), subject to subparagraph (D) of this paragraph; (II) whose qualifying employment for purposes of such subsection has been as a special education teacher whose primary responsibility is to provide special education to children with disabilities (as those terms are defined in section 602 of the Individuals with Disabilities Act); and (III) who, as certified by the chief administrative officer of the public or nonprofit private elementary or secondary school in which the borrower is employed, is teaching children with disabilities that correspond with the borrower’s special education training and has demonstrated knowledge and teaching skills in the content areas of the elementary or secondary school curriculum that the borrower is teaching; and (iii) an elementary or secondary school teacher who primarily teaches reading and— (I) who meets the requirements of subsection (b), subject to subparagraph (D) of this paragraph; (II) who has obtained a separate reading instruction credential from the State in which the teacher is employed; and (III) who is certified by the chief administrative officer of the public or nonprofit private elementary or secondary school in which the borrower is employed to teach reading— (aa) as being proficient in teaching the essential components of reading instruction as defined in section 1208 of the Elementary and Secondary Education Act of 1965; and (bb) as having such credential. (B)
Accelerated payment
Notwithstanding the requirements of subsection (b)(1)(A) and paragraph (1) of this subsection that 5 consecutive complete years of service have been completed prior to the receipt of loan forgiveness, in the case of service described in subparagraph (A) of this paragraph, the Secretary shall repay a portion of a borrower’s loan obligation outstanding at the commencement of the qualifying service under this subsection, not to exceed a total of $17,500, in the following increments: (i) up to $1,750, or 10 percent of such outstanding loan obligation, whichever is less, at the completion of the second year of such service; (ii) up to $2,625, or 15 percent of such outstanding loan obligation, whichever is less, at the completion of the third year of such service; (iii) up to $4,375, or 25 percent of such outstanding loan obligation, whichever is less, at the completion of the fourth year of such service; and (iv) up to $8,750, or 50 percent of such outstanding loan obligation, whichever is less, at the completion of the fifth year of such service. (C)
Promise to complete service required for accelerated payment
Any borrower who receives accelerated payment under this paragraph shall enter into an agreement to continue in the qualifying service for not less than 5 consecutive complete school years, or, upon a failure to complete such 5 years, to repay the United States, in accordance with regulations prescribed by the Secretary, the amount of the loans repaid by the Secretary under this paragraph, together with interest thereon and, to the extent required in such regulations, the reasonable costs of collection. Such regulations may provide for waiver by the Secretary of such repayment obligations upon proof of economic hardship as specified in such regulations. (D)
Higher poverty enrollment required
In order to qualify for an increased repayment amount under this paragraph, section 465(a)(2)(A) shall, for purposes of subsection (b)(1)(A)(i) of this section, be applied by substituting 40 percent of the total enrollment for 30 percent of the total enrollment. .
3.
Implementing highly qualified teacher requirements
(a)
Amendments
(1)
FFEL loans
Section 428J(b)(1) of the Higher Education Act of 1965 (20 U.S.C. 1078–10(b)(1)) is amended— (A) by inserting and after the semicolon at the end of subparagraph (A); and (B) by striking subparagraphs (B) and (C) and inserting the following: (B) if employed as an elementary or secondary school teacher, is highly qualified as defined in section 9101(23) of the Elementary Secondary Education Act of 1965; and . (2)
Direct loans
Section 460(b)(1)(A) of such Act (20 U.S.C. 1087j(b)(1)(A)) is amended— (A) by inserting and after the semicolon at the end of clause (i); and (B) by striking clauses (ii) and (iii) and inserting the following: (ii) if employed as an elementary or secondary school teacher, is highly qualified as defined in section 9101(23) of the Elementary Secondary Education Act of 1965; and . (b)
Transition rule
(1)
Rule
The amendments made by subsection (a) of this section to sections 428J(b)(1) and 460(b)(1)(A) of the Higher Education Act of 1965 shall not be applied to disqualify any individual who, before the date of enactment of this Act, commenced service that met and continues to meet the requirements of such sections as in effect before such date of enactment. (2)
Rule not applicable to increased qualified loan amounts
Paragraph (1) of this subsection shall not apply for purposes of obtaining increased qualified loan amounts under sections 428J(b)(3) and 460(b)(3) of the Higher Education Act of 1965 as added by section 2 of this Act.
4.
Information on benefits to rural school districts
The Secretary shall— (1) notify local educational agencies eligible to participate in the Small Rural Achievement Program authorized under subpart 1 of part B of title VI of the Elementary and Secondary Education Act of 1965 of the benefits available under the amendments made by this Act; and (2) encourage such agencies to notify their teachers of such benefits.