1.
This Act may be cited as the
Math and Science Incentive Act of
2005
.
2.
Congress finds the
following:
(1)
The United States can have a
secure and prosperous future only by having a robust and inventive scientific
and technical enterprise.
(2)
Such an enterprise will require the United States to produce more
scientists and engineers.
(3)
The United States education system must do more to encourage
students at every level to study science and mathematics and to pursue careers
related to those fields.
(4)
The current performance of United States students in science and
mathematics lags behind their international peers, and not enough students are
pursuing science and mathematics.
(5)
The United States is still reaping the benefits of past
investments in research and development and education, but we are drawing down
that capital.
(6)
The United States needs to recommit itself to leadership in
science, mathematics, and engineering, especially as advances are being made in
such areas as nanotechnology.
(7)
A program of loan forgiveness designed to attract students to
careers in science, mathematics, engineering, and technology, including
teaching careers, can help the United States maintain its technological
leadership.
3.
(a)
(1)
The Secretary shall carry out
a program of assuming the obligation to pay, pursuant to the provisions of this
Act, the interest on a loan made, insured, or guaranteed under part B or D of
title IV of the Higher Education Act of 1965 (20 U.S.C. 1071 et seq. and 1087a
et seq.).
(2)
The Secretary may assume interest payments under paragraph (1)
only for a borrower who—
(A)
has submitted an application in compliance with subsection
(d);
(B)
obtained 1 or more loans described in
paragraph (1) as an undergraduate
student;
(C)
is a new borrower (within the meaning of section 103(7) of the
Higher Education Act of 1965 (20 U.S.C. 1003(7)) on or after the date of
enactment of this Act;
(D)
is a teacher of science, technology, engineering, or mathematics
at an elementary school or secondary school, or is a mathematics, science, or
engineering professional; and
(E)
enters into an agreement with the Secretary to complete 5
consecutive years of service in a position described in
subparagraph (D), starting on the date
of the agreement.
(3)
Prior interest limitations
The Secretary shall not make
any payments for interest that—
(A)
accrues prior to the beginning of the repayment period on a loan
in the case of a loan made under section 428H of the Higher Education Act of
1965 (20 U.S.C. 1078–8) or a Federal Direct Unsubsidized Stafford Loan;
or
(B)
has accrued prior to the signing of an agreement under
paragraph (2)(E).
(4)
In selecting participants for
the program under this Act, the Secretary—
(A)
shall choose among eligible applicants on the basis of—
(i)
the national security,
homeland security, and economic security needs of the United States, as
determined by the Secretary, in consultation with other Federal agencies,
including the Departments of Labor, Defense, Homeland Security, Commerce, and
Energy, the Central Intelligence Agency, and the National Science Foundation;
and
(ii)
the academic record or job performance of the applicant;
and
(B)
may choose among eligible
applicants on the basis of—
(i)
the likelihood of the applicant to complete the 5-year service
obligation;
(ii)
the likelihood of the applicant to remain in science,
mathematics, or engineering after the completion of the service requirement;
or
(iii)
other relevant criteria determined by the Secretary.
(5)
Availability subject to appropriations
Loan interest payments under
this Act shall be subject to the availability of appropriations. If the amount
appropriated for any fiscal year is not sufficient to provide interest payments
on behalf of all qualified applicants, the Secretary shall give priority to
those individuals on whose behalf interest payments were made during the
preceding fiscal year.
(6)
The Secretary is authorized to prescribe such regulations as may
be necessary to carry out the provisions of this section.
(b)
Duration and amount of interest payments
The period during which the Secretary shall pay interest on
behalf of a student borrower who is selected under
subsection (a) is the period that begins on
the effective date of the agreement under
subsection (a)(2)(E), continues after
successful completion of the service obligation, and ends on the earlier
of—
(1)
the completion of the
repayment period of the loan;
(2)
payment by the Secretary of a total of $10,000 on behalf of the
borrower;
(3)
if the borrower ceases to fulfill the service obligation under
such agreement prior to the end of the 5-year period, as soon as the borrower
is determined to have ceased to fulfill such obligation in accordance with
regulations of the Secretary; or
(4)
6 months after the end of any calendar year in which the
borrower’s gross income equals or exceeds 4 times the national per capita
disposable personal income (current dollars) for such calendar year, as
determined on the basis of the National Income and Product Accounts Tables of
the Bureau of Economic Analysis of the Department of Commerce, as determined in
accordance with regulations prescribed by the Secretary.
(c)
Repayment to eligible lenders
Subject to the regulations
prescribed by the Secretary pursuant to
subsection (a)(6), the Secretary shall
pay to each eligible lender or holder for each payment period the amount of the
interest that accrues on a loan of a student borrower who is selected under
subsection (a).
(d)
Application for repayment
(1)
Each eligible individual desiring loan interest payment under
this section shall submit a complete and accurate application to the Secretary
at such time, in such manner, and containing such information as the Secretary
may require.
(2)
Failure to complete service agreement
Such application shall contain an agreement by the individual
that, if the individual fails to complete the 5 consecutive years of service
required by
subsection (a)(2)(E), the individual
agrees to repay the Secretary the amount of any interest paid by the Secretary
on behalf of the individual.
(e)
Treatment of consolidation loans
A consolidation loan made under section 428C of the
Higher Education Act of 1965 (20 U.S.C.
1078–3), or a Federal Direct Consolidation Loan made under part D of
title IV of such Act (20 U.S.C. 1087a et seq.), may be a loan for which
interest is paid pursuant to this section only to the extent that such loan
amount was used by a borrower who otherwise meets the requirements of this
section to repay—
(1)
a loan made under section 428 or 428H of such Act (20 U.S.C. 1078
and 1078–8); or
(2)
a Federal Direct Stafford Loan, or a Federal Direct Unsubsidized
Stafford Loan, made under part D of title IV of such Act (20 U.S.C. 1087a et
seq.).
(f)
Prevention of double benefits
No borrower may, for the same service, receive a benefit under
both this section and—
(1)
any loan forgiveness program under title IV of the Higher
Education Act of 1965 (20 U.S.C. 1070 et seq.); or
(2)
subtitle D of title I of the National and Community Service Act
of 1990 (42 U.S.C. 12571 et seq.).
4.
As used in this Act—
(1)
the term
Secretary means the Secretary of Education; and
(2)
the term mathematics,
science, or engineering professional means a person who—
(A)
holds a baccalaureate, masters, or doctoral degree (or a
combination thereof) in science, mathematics, or engineering; and
(B)
works in a field the Secretary determines is closely related to
that degree, which shall include working as a professor at a 2- or 4-year
institution of higher education.
5.
Authorization of appropriations
There are authorized to be
appropriated to carry out this Act such sums as may be necessary for fiscal
year 2006 and for each of the 5 succeeding fiscal years.