[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 4035 Introduced in Senate (IS)]








109th CONGRESS
  2d Session
                                S. 4035

   To amend the Higher Education Act of 1965 to repeal the school as 
                            lender program.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           September 29, 2006

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

_______________________________________________________________________

                                 A BILL


 
   To amend the Higher Education Act of 1965 to repeal the school as 
                            lender program.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SCHOOL AS LENDER.

    (a) Repeal of the School as Lender Program.--Paragraphs (2), (3), 
and (4) of section 435(d) of the Higher Education Act of 1965 (20 
U.S.C. 1085(d)) are repealed.
    (b) Conforming Amendments.--Section 435(d) of the Higher Education 
Act of 1965 is further amended--
            (1) in paragraph (1)--
                    (A) by striking subparagraph (E); and
                    (B) by redesignating subparagraphs (F) through (K) 
                as subparagraphs (E) through (J), respectively; and
            (2) by redesignating paragraphs (5) and (6) as paragraphs 
        (2) and (3), respectively.
    (c) Cross References.--The Higher Education Act of 1965 (20 U.S.C. 
1001 et seq.) is amended--
            (1) in section 428(h) (20 U.S.C. 1078(h))--
                    (A) in paragraph (1), by striking ``or (F)'' and 
                inserting ``or (E)'';
                    (B) in paragraph (2)(A), by striking ``or (F)'' and 
                inserting ``or (E)''; and
                    (C) in paragraph (2)(B), by striking ``or (F)'' and 
                inserting ``or (E)''; and
            (2) in section 439 (20 U.S.C. 1087-2)--
                    (A) in subsection (d)(1)(B), by striking ``or (F)'' 
                and inserting ``or (E)''; and
                    (B) in subsection (o)(2), by striking ``or (F)'' 
                and inserting ``or (E)''.
    (d) Effective Date.--The amendments made by this section shall 
apply to loans for which the first disbursement is made on or after 
July 1, 2007.

SEC. 2. HERA REPEAL.

    Section 8011 of the Higher Education Reconciliation Act of 2005 
(Public Law 109-171, 120 Stat. 165) is repealed.
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