[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5186 Introduced in House (IH)]
108th CONGRESS
2d Session
H. R. 5186
To reduce certain special allowance payments and provide additional
teacher loan forgiveness on Federal student loans.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
September 30, 2004
Mr. Boehner (for himself, Mr. McKeon, and Mr. Wilson of South Carolina)
introduced the following bill; which was referred to the Committee on
Education and the Workforce
_______________________________________________________________________
A BILL
To reduce certain special allowance payments and provide additional
teacher loan forgiveness on Federal student loans.
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 ``Taxpayer-Teacher Protection Act of
2004''.
SEC. 2. REDUCTION OF SPECIAL ALLOWANCE PAYMENTS FOR LOANS FROM THE
PROCEEDS OF TAX EXEMPT ISSUES.
Section 438(b)(2)(B) (20 U.S.C. 1087-1(b)(2)(B)) is amended--
(1) in clause (i), by striking ``this division'' and
inserting ``this clause'';
(2) in clause (ii), by striking ``division (i) of this
subparagraph'' and inserting ``clause (i) of this
subparagraph'';
(3) in clause (iv), by inserting ``or refunded after
September 30, 2004, and before October 1, 2005,'' after
``October 1, 1993,''; and
(4) by adding at the end the following new clause:
``(v) Notwithstanding clauses (i) and (ii), the quarterly
rate of the special allowance shall be the rate determined
under subparagraph (A), (E), (F), (G), (H), or (I) of this
paragraph, or paragraph (4), as the case may be, for a holder
of loans that--
``(I) were made or purchased with funds--
``(aa) obtained from the issuance of
obligations the income from which is excluded
from gross income under the Internal Revenue
Code of 1986 and which obligations were
originally issued before October 1, 1993; or
``(bb) obtained from collections or default
reimbursements on, or interest or other income
pertaining to, eligible loans made or purchased
with funds described in division (aa), or from
income on the investment of such funds; and
``(II) are--
``(aa) financed by such an obligation that
has matured, or been retired or defeased;
``(bb) refinanced after September 30, 2004,
and before October 1, 2005, with funds obtained
from a source other than funds described in
subclause (I) of this clause; or
``(cc) sold or transferred to any other
holder after September 30, 2004, and before
October 1, 2005.''.
SEC. 3. LOAN FORGIVENESS FOR TEACHERS.
(a) Implementing Highly Qualified Teacher Requirements.--
(1) Amendments.--
(A) FFEL loans.--Section 428J(b)(1) of the Higher
Education Act of 1965 (20 U.S.C. 1078-10(b)(1)) is
amended--
(i) in subparagraph (A), by inserting
``and'' after the semicolon; and
(ii) by striking subparagraphs (B) and (C)
and inserting the following:
``(B) if employed as an elementary school or
secondary school teacher, is highly qualified as
defined in section 9101 of the Elementary Secondary
Education Act of 1965; and''.
(B) Direct loans.--Section 460(b)(1)(A) of such Act
(20 U.S.C. 1087j(b)(1)(A)) is amended--
(i) in clause (i), by inserting ``and''
after the semicolon; and
(ii) by striking clauses (ii) and (iii) and
inserting the following:
``(ii) if employed as an elementary school
or secondary school teacher, is highly
qualified as defined in section 9101 of the
Elementary and Secondary Education Act of 1965;
and''.
(2) Transition rule.--
(A) Rule.--The amendments made by paragraph (1) of
this subsection 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 such sections were in effect on the day
before the date of enactment of this Act.
(B) Rule not applicable to increased qualified loan
amounts.--Subparagraph (A) of this paragraph shall not
apply for purposes of obtaining increased qualified
loan amounts under sections 428J(c)(3) and 460(c)(3) of
the Higher Education Act of 1965 as added by subsection
(b) of this section.
(b) Additional Amounts Eligible to Be Repaid.--
(1) 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:
``(3) Additional amounts for teachers in mathematics,
science, or special education.--Notwithstanding the amount
specified in paragraph (1), the aggregate amount that the
Secretary shall repay under this section shall be not more than
$17,500 in the case of--
``(A) a secondary school teacher--
``(i) who meets the requirements of
subsection (b); and
``(ii) whose qualifying employment for
purposes of such subsection is teaching
mathematics or science on a full-time basis;
and
``(B) an elementary school or secondary school
teacher--
``(i) who meets the requirements of
subsection (b);
``(ii) whose qualifying employment for
purposes of such subsection is 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 Education Act); and
``(iii) who, as certified by the chief
administrative officer of the public or non-
profit private elementary school 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 school or secondary
school curriculum that the borrower is
teaching.''.
(2) 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:
``(3) Additional amounts for teachers in mathematics,
science, or special education.--Notwithstanding the amount
specified in paragraph (1), the aggregate amount that the
Secretary shall cancel under this section shall be not more
than $17,500 in the case of--
``(A) a secondary school teacher--
``(i) who meets the requirements of
subsection (b)(1); and
``(ii) whose qualifying employment for
purposes of such subsection is teaching
mathematics or science on a full-time basis;
and
``(B) an elementary school or secondary school
teacher--
``(i) who meets the requirements of
subsection (b)(1);
``(ii) whose qualifying employment for
purposes of such subsection is 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 Education Act); and
``(iii) who, as certified by the chief
administrative officer of the public or non-
profit private elementary school 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 school or secondary
school curriculum that the borrower is
teaching.''.
(3) Effective date.--The amendments made by this subsection
shall apply only with respect to eligible individuals who are
new borrowers (as such term is defined in 103 of the Higher
Education Act of 1965 (20 U.S.C. 1003)) on or after October 1,
1998, and before August 16, 2005.
<all>