1.
(a)This Act may be cited as the College Cost Reduction and Access
Act
.
(b)Except
as otherwise expressly provided, whenever in this Act an amendment or repeal is
expressed in terms of an amendment to, or repeal of, a section or other
provision, the reference shall be considered to be made to a section or other
provision of the Higher Education Act of 1965 (20 U.S.C. 1001 et seq.).
(c)Except as otherwise expressly provided, the amendments made
by this Act shall be effective on October 1, 2007.
<enum>I</enum><header>GRANTS TO STUDENTS
IN ATTENDANCE AT INSTITUTIONS OF HIGHER EDUCATION</header>
<section id="H3998CE0D73F243C49B3B21DF6715AD59"><enum>101.</enum><header>Tuition
sensitivity</header>
<subsection id="HB89D9E9E64774A5BBBD0EBED8C8608A0"><enum>(a)</enum><header>Amendment</header><text>Section
401(b) (<external-xref legal-doc="usc" parsable-cite="usc/20/1070a">20 U.S.C. 1070a(b)</external-xref>) is amended—</text>
<paragraph id="HCDBEC0E3B3FB4B75A4EBF419A77C7920"><enum>(1)</enum><text>by striking
paragraph (3); and</text>
</paragraph><paragraph id="HB9E671AA22884745A305D8B287D6E784"><enum>(2)</enum><text>by redesignating
paragraphs (4) through (9) as paragraphs (3) through (8), respectively.</text>
</paragraph></subsection><subsection id="H933276FB330E4A56AD74CE3FC0AFBFD6"><enum>(b)</enum><header>Effective
date</header><text>The amendments made by subsection (a) shall be effective
with respect to determinations of Federal Pell Grant amounts for award years
beginning on or after July 1, 2007.</text>
</subsection><subsection id="HFC79F162B7EF48F1A1AFCCF6CA6187FA"><enum>(c)</enum><header>Authorization
and appropriation of funds</header><text>There is authorized to be
appropriated, and there is appropriated, out of any money in the Treasury not
otherwise appropriated, for the Department of Education to carry out the
amendment made by subsection (a), $11,000,000 for fiscal year 2008.</text>
</subsection></section><section display-inline="no-display-inline" id="H5290A702709B4C508DF90035E0EE4498" section-type="subsequent-section"><enum>102.</enum><header>Mandatory Pell Grant
Increases</header>
<subsection id="H7F3E852679F14D75A7E843FFEA1B142"><enum>(a)</enum><header>Extension of
authority</header><text display-inline="yes-display-inline">Section 401(a) (20
U.S.C. 1070a(a)) is amended by striking <quote>fiscal year 2004</quote> and
inserting <quote>fiscal year 2017</quote>.</text>
</subsection><subsection id="H65C0AABA592847A6A552C730123B43A9"><enum>(b)</enum><header>Funding for
increases</header><text display-inline="yes-display-inline">Section 401(b) (20
U.S.C. 1070a(b)) is amended by adding at the end the following new
paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HE7C7A3C194C34C55BFACF716A0C3DD71" style="OLC">
<paragraph id="H137955FF373B44AD82064346A203BEF2"><enum>(9)</enum><header>Additional
funds</header>
<subparagraph id="H18C5DFD38C864B80923C27B04C431882"><enum>(A)</enum><header>In
general</header><text>There are authorized to be appropriated, and there are
appropriated, to carry out
<internal-xref idref="H0BA97DD8FDFB435DA0549EF18E2B28D9" legis-path="(9)(B)">subparagraph (B) of this paragraph</internal-xref> (in
addition to any other amounts appropriated to carry out this section and out of
any money in the Treasury not otherwise appropriated) the following
amounts—</text>
<clause commented="no" id="HE86572AB2A934F04B8C037BBF73274F0"><enum>(i)</enum><text>$2,030,000,000 for
fiscal year 2008;</text>
</clause><clause commented="no" id="H9496FB853C4D45BBA9888B272712BB49"><enum>(ii)</enum><text>$2,090,000,000
for fiscal year 2009;</text>
</clause><clause commented="no" id="H8BA4F19FF098495CAFAA50434026EC26"><enum>(iii)</enum><text>$3,030,000,000
for fiscal year 2010;</text>
</clause><clause commented="no" id="H420F7FE6E59A4F71A7B1B16BBBB27328"><enum>(iv)</enum><text>$3,090,000,000
for fiscal year 2011;</text>
</clause><clause commented="no" id="H2DC2C8B0511848BEBFDBEACF00016FA"><enum>(v)</enum><text>$5,050,000,000 for
fiscal year 2012;</text>
</clause><clause commented="no" id="H53DBEDEB853D40E3BD3730EBFBA1EA35"><enum>(vi)</enum><text>$105,000,000 for
fiscal year 2013;</text>
</clause><clause commented="no" id="HE44A84ADE5B34615BEAC12B11C8D5DE0"><enum>(vii)</enum><text>$4,305,000,000
for fiscal year 2014;</text>
</clause><clause commented="no" id="H6036288AD45C45C2AFD040FA16ACE450"><enum>(viii)</enum><text>$4,400,000,000
for fiscal year 2015;</text>
</clause><clause commented="no" id="HA2FF0122CC4048A2BC06AC3F4B7873F4"><enum>(ix)</enum><text>$4,600,000,000
for fiscal year 2016; and</text>
</clause><clause commented="no" id="H1F795DDD7AF14C0DAFA5F894C460113"><enum>(x)</enum><text>$4,900,000,000 for
fiscal year 2017.</text>
</clause></subparagraph><subparagraph id="H0BA97DD8FDFB435DA0549EF18E2B28D9"><enum>(B)</enum><header>Increase in
Federal Pell Grants</header><text>The amounts made available pursuant to
<internal-xref idref="H18C5DFD38C864B80923C27B04C431882" legis-path="(9)(A)">subparagraph (A) of this paragraph</internal-xref> shall be
used to increase the amount of the maximum Federal Pell Grant for which a
student shall be eligible during an award year, as specified in the last
enacted appropriation Act applicable to that award year, by—</text>
<clause commented="no" id="H25568F44B9FB47ABBB8029EA2B017628"><enum>(i)</enum><text>$490 for each of
the award years 2008–2009 and 2009–2010;</text>
</clause><clause commented="no" id="HAD5848263ADA46CFB461E9FE7462C17D"><enum>(ii)</enum><text display-inline="yes-display-inline">$690 for each of the award years 2010–2011
and 2011–2012; and</text>
</clause><clause commented="no" id="H0C2118CD76A1493BBB4D57A6879F70A5"><enum>(iii)</enum><text>$1,090 for award
year 2012–2013.</text>
</clause></subparagraph><subparagraph commented="no" id="H893C5F0C929B413D9CBC9271DB4953B"><enum>(C)</enum><header>Eligibility</header><text>The
Secretary shall only award an increased amount of a Federal Pell Grant under
this section for any award year pursuant to the provisions of this paragraph to
students who qualify for a Federal Pell Grant award under the maximum grant
award enacted in the annual appropriation Act for such award year without
regard to the provisions of this paragraph.</text>
</subparagraph><subparagraph id="H74D4EB9E7BA048CD8978AFD39423D94"><enum>(D)</enum><header>Formula otherwise
unaffected</header><text>Except as provided in
<internal-xref idref="H0BA97DD8FDFB435DA0549EF18E2B28D9" legis-path="(9)(B)">subparagraphs (B)</internal-xref> and
<internal-xref idref="H893C5F0C929B413D9CBC9271DB4953B" legis-path="(9)(C)">(C)</internal-xref>, nothing in this paragraph shall be
construed to alter the requirements of this section, or authorize the
imposition of additional requirements, for the determination and allocation of
Federal Pell Grants under this section.</text>
</subparagraph><subparagraph id="H158A7D6B321E4CB881EAFB4F3D2860B"><enum>(E)</enum><header>Ratable increases
and decreases</header><text>The amounts specified in
<internal-xref idref="H0BA97DD8FDFB435DA0549EF18E2B28D9" legis-path="(9)(B)">subparagraph (B)</internal-xref> shall be ratably increased
or decreased to the extent that funds available under
<internal-xref idref="H18C5DFD38C864B80923C27B04C431882" legis-path="(9)(A)">subparagraph (A) </internal-xref>exceed or are less than
(respectively) the amount required to provide the amounts specified in
<internal-xref idref="H0BA97DD8FDFB435DA0549EF18E2B28D9" legis-path="(9)(B)">subparagraph (B)</internal-xref>.</text>
</subparagraph><subparagraph commented="no" id="H8BC94BA431DA471486DF00039442B8B9"><enum>(F)</enum><header>Use of fiscal
year funds for award years</header><text>The amounts made available by
<internal-xref idref="H18C5DFD38C864B80923C27B04C431882" legis-path="(9)(A)">subparagraph (A)</internal-xref> for any fiscal year shall
be available and remain available for use under
<internal-xref idref="H0BA97DD8FDFB435DA0549EF18E2B28D9" legis-path="(9)(B)">subparagraph (B)</internal-xref> for the award year that
begins in such fiscal
year.</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection></section><section display-inline="no-display-inline" id="H73280C4596F641DBAE0254644DF2741D" section-type="subsequent-section"><enum>103.</enum><header>Upward
Bound</header><text display-inline="no-display-inline">Section 402C is further
amended by adding at the end the following new subsection:</text>
<quoted-block display-inline="no-display-inline" id="HA6BC2705F4754F02B04E4C7EA0C22B69" style="OLC">
<subsection id="H12403992B2F64F8C804D43D3A073694D"><enum>(f)</enum><header>Additional
funds</header>
<paragraph id="H8E452A05570B46EB92436C7400EDFE65"><enum>(1)</enum><header>Authorization
and appropriation</header><text display-inline="yes-display-inline">There are
authorized to be appropriated, and there are appropriated to the Secretary,
from funds not otherwise appropriated, $57,000,000 for each of the fiscal years
2008 through 2011 to carry out
<internal-xref idref="HB99D188F4F4845CEAE09151872400216" legis-path="(f)(2)">paragraph (2)</internal-xref>, except that any amounts that
remain unexpended for such purpose for each of such fiscal years may be
available for technical assistance and administration costs for the Upward
Bound program. The authority to award grants under this subsection shall expire
at the end of fiscal year 2011.</text>
</paragraph><paragraph id="HB99D188F4F4845CEAE09151872400216"><enum>(2)</enum><header>Use of
funds</header><text display-inline="yes-display-inline">The amounts made
available by paragraph (1) shall be available to provide assistance to all
Upward Bound projects that did not receive assistance in fiscal year 2007 and
that have a grant score above 70. Such assistance shall be made available in
the form of 4-year
grants.</text>
</paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section display-inline="no-display-inline" id="H877926E03C3242D2848B503C33FF78A3" section-type="subsequent-section"><enum>104.</enum><header>TEACH
Grants</header><text display-inline="no-display-inline">Part A of title IV (20
U.S.C. 1070 et seq.) is amended by adding at the end the following new
subpart:</text>
<quoted-block display-inline="no-display-inline" id="HB5946CA26EBE4683A0947F0100D5C9CF" style="OLC">
<subpart id="H3C79767F0A454CB58F980035C6400F0"><enum>9</enum><header>TEACH
Grants</header>
<section id="HAC9C5F22A04341BEB15BE6A3EFC6A5F2"><enum>420L.</enum><header>Definitions</header><text display-inline="no-display-inline">For the purposes of this subpart:</text>
<paragraph display-inline="no-display-inline" id="HD5B7FB91C3A94304AD6900DC6F2BD6FD"><enum>(1)</enum><header>Eligible
institution</header><text>The term <term>eligible institution</term> means an
institution of higher education, as defined in section 102, that the Secretary
determines—</text>
<subparagraph id="H61210DE770924F018174EFBE14D43B00"><enum>(A)</enum><text display-inline="yes-display-inline">provides high quality teacher preparation
and professional development services, including extensive clinical experience
as a part of pre-service preparation;</text>
</subparagraph><subparagraph id="H10B4BEB91B424C61BFC9EC34B4201FD6"><enum>(B)</enum><text>is financially
sound;</text>
</subparagraph><subparagraph id="HC304E4F460624FBEB3E5A0055BA43897"><enum>(C)</enum><text>provides
pedagogical course work, or assistance in the provision of such coursework,
including the monitoring of student performance, and formal instruction related
to the theory and practices of teaching; and</text>
</subparagraph><subparagraph id="HE714D974999F4700AA13C6AC6FB4718E"><enum>(D)</enum><text>provides
supervision and support services to teachers, or assistance in the provision of
such services, including mentoring focused on developing effective teaching
skills and strategies.</text>
</subparagraph></paragraph><paragraph id="HD0CBD741A7B8494E8C001DD25E2264B2"><enum>(2)</enum><header>Post-baccalaureate</header><text>The
term <term>post-baccalaureate</term> means a program of instruction for
individuals who have completed a baccalaureate degree, that does not lead to a
graduate degree, and that consists of courses required by a State in order for
a teacher candidate to receive a professional certification or licensing
credential that is required for employment as a teacher in an elementary school
or secondary school in that State, except that such term shall not include any
program of instruction offered by an eligible institution that offers a
baccalaureate degree in education.</text>
</paragraph><paragraph id="H373EEECA463B454FA3FF033D000086EB"><enum>(3)</enum><header>Teacher
candidate</header><text display-inline="yes-display-inline">The term
<term>teacher candidate</term> means a student or teacher described in
subparagraph (A) or (B) of section 420N(a)(2).</text>
</paragraph></section><section id="HF18FD2DD2A964CCBA0DDB218D9BF92"><enum>420M.</enum><header>Program
established</header>
<subsection id="H214B7D01E7D042858C831876A408CE76"><enum>(a)</enum><header>Program
Authority</header>
<paragraph id="H4F3ECE9CB15646B6A1218000D233E0B3"><enum>(1)</enum><header>Payments
required</header><text>The Secretary shall pay to each eligible institution
such sums as may be necessary to pay to each teacher candidate who files an
application and agreement in accordance with
<internal-xref idref="H266471FBEDC6433D8E8C5F2F9D96F36F" legis-path="420N.">section 420N</internal-xref>, and who qualifies under
paragraph (2) of section 420N(a), a TEACH Grant in the amount of $4,000 for
each academic year during which that teacher candidate is in attendance at the
institution.</text>
</paragraph><paragraph id="H1FCBD7C78B354E9B86A42F706D3B90B1"><enum>(2)</enum><header>References</header><text>Grants
made under
<internal-xref idref="H4F3ECE9CB15646B6A1218000D233E0B3" legis-path="420M.(a)(1)">paragraph (1)</internal-xref> shall be known as
<quote>Teacher Education Assistance for College and Higher Education
Grants</quote> or <quote>TEACH Grants</quote>.</text>
</paragraph></subsection><subsection id="H853D758D9A9D473BA65869D100A9567D"><enum>(b)</enum><header>Payment
methodology</header>
<paragraph id="H6BEFD4DDF03A4F2BA9B558FE345F8853"><enum>(1)</enum><header>Prepayment</header><text display-inline="yes-display-inline">Not less than 85 percent of any funds
provided to an eligible institution under
<internal-xref idref="H214B7D01E7D042858C831876A408CE76" legis-path="420M.(a)">subsection (a)</internal-xref> shall be advanced to the
eligible institution prior to the start of each payment period and shall be
based upon an amount requested by the institution as needed to pay teacher
candidates until such time as the Secretary determines and publishes in the
Federal Register with an opportunity for comment, an alternative payment system
that provides payments to institutions in an accurate and timely manner, except
that this sentence shall not be construed to limit the authority of the
Secretary to place an institution on a reimbursement system of payment.</text>
</paragraph><paragraph id="H2D4D64571B194DC19B9163F74FD8B317"><enum>(2)</enum><header>Direct
payment</header><text>Nothing in this section shall be interpreted to prohibit
the Secretary from paying directly to teacher candidates, in advance of the
beginning of the academic term, an amount for which teacher candidates are
eligible, in cases where the eligible institution elects not to participate in
the disbursement system required by
<internal-xref idref="H6BEFD4DDF03A4F2BA9B558FE345F8853" legis-path="420M.(b)(1)">paragraph (1)</internal-xref>.</text>
</paragraph><paragraph id="H2F15E17396CE49DCB72F5BA27B9B411E"><enum>(3)</enum><header>Distribution of
grants to teacher candidates</header><text display-inline="yes-display-inline">Payments under this subpart shall be made,
in accordance with regulations promulgated by the Secretary for such purpose,
in such manner as will best accomplish the purposes of this subpart. Any
disbursement allowed to be made by crediting the teacher candidate's account
shall be limited to tuition and fees and, in the case of institutionally-owned
housing, room and board. The teacher candidate may elect to have the
institution provide other such goods and services by crediting the teacher
candidate's account.</text>
</paragraph></subsection><subsection id="H80B974CDE5D64DBCBDFCCA617EEA4145"><enum>(c)</enum><header>Reductions in
amount</header>
<paragraph id="HBB414B3D6399435895DDD995F9908039"><enum>(1)</enum><header>Part-time
students</header><text>In any case where a teacher candidate attends an
eligible institution on less than a full-time basis (including a teacher
candidate who attends an eligible institution on less than a half-time basis)
during any academic year, the amount of a grant under this subpart for which
that teacher candidate is eligible shall be reduced in proportion to the degree
to which that teacher candidate is not attending on a full-time basis, in
accordance with a schedule of reductions established by the Secretary for the
purposes of this subpart, computed in accordance with this subpart. Such
schedule of reductions shall be established by regulation and published in the
Federal Register in accordance with section 482 of this Act.</text>
</paragraph><paragraph id="H953DFA5B6BE340A183FD761093DCA5EF"><enum>(2)</enum><header>No exceeding
cost</header><text>The amount of a grant awarded under this subpart, in
combination with Federal assistance and other student assistance, shall not
exceed the cost of attendance (as defined in section 472) at the eligible
institution at which that teacher candidate is in attendance. If, with respect
to any teacher candidate for any academic year, it is determined that the
amount of a TEACH Grant exceeds the cost of attendance for that year, the
amount of the TEACH Grant shall be reduced until such grant does not exceed the
cost of attendance at the eligible institution.</text>
</paragraph></subsection><subsection id="HC94090DC0DBB465CA68F627B26007DD4"><enum>(d)</enum><header>Period of
eligibility for grants</header>
<paragraph id="H4C90798B42434BD5BBFB7DC4BBFA0446"><enum>(1)</enum><header>Undergraduate
and post-baccalaureate students</header><text display-inline="yes-display-inline">The period during which an undergraduate or
post-baccalaureate student may receive grants under this subpart shall be the
period required for the completion of the first undergraduate baccalaureate or
post-baccalaureate course of study being pursued by the teacher candidate at
the eligible institution at which the teacher candidate is in attendance,
except that—</text>
<subparagraph id="HB5AA3634C08C456AA8C5F9B947D00342"><enum>(A)</enum><text>any period during
which the teacher candidate is enrolled in a noncredit or remedial course of
study as described in
<internal-xref idref="HB1F7D940ECD948A081B3CCEF403D43" legis-path="420M.(d)(3)">paragraph (3)</internal-xref> shall not be counted for
the purpose of this paragraph; and</text>
</subparagraph><subparagraph id="H8D35C61B355148F48D6152CE3298E9CB"><enum>(B)</enum><text display-inline="yes-display-inline">the total amount that a teacher candidate
may receive under this subpart for undergraduate or post-baccalaureate study
shall not exceed $16,000.</text>
</subparagraph></paragraph><paragraph id="H4D0F9C23A8C44480A7A700A4F500008F"><enum>(2)</enum><header>Graduate
students</header><text display-inline="yes-display-inline">The period during
which a graduate student may receive grants under this subpart shall be the
period required for the completion of a master’s degree course of study pursued
by the teacher candidate at the eligible institution at which the teacher
candidate is in attendance, except that the total amount that a teacher
candidate may receive under this subpart for graduate study shall not exceed
$8,000.</text>
</paragraph><paragraph id="HB1F7D940ECD948A081B3CCEF403D43"><enum>(3)</enum><header>Remedial course;
study abroad</header><text display-inline="yes-display-inline">Nothing in this
section shall be construed to exclude from eligibility courses of study which
are noncredit or remedial in nature (including courses in English language
acquisition) which are determined by the eligible institution to be necessary
to help the teacher candidate be prepared for the pursuit of a first
undergraduate baccalaureate or post-baccalaureate degree or certificate or, in
the case of courses in English language instruction, to be necessary to enable
the teacher candidate to utilize already existing knowledge, training, or
skills. Nothing in this section shall be construed to exclude from eligibility
programs of study abroad that are approved for credit by the home institution
at which the teacher candidate is enrolled.</text>
</paragraph></subsection></section><section id="H266471FBEDC6433D8E8C5F2F9D96F36F"><enum>420N.</enum><header>Applications;
eligibility</header>
<subsection id="H816A5D7ACD1145F5BC0063FDB5A1DF9"><enum>(a)</enum><header>Applications;
demonstration of eligibility</header>
<paragraph id="HF41B216DF1944DD295E01CE671CEEA02"><enum>(1)</enum><header>Filing
required</header><text>The Secretary shall periodically set dates by which
teacher candidates shall file applications for grants under this subpart. Each
teacher candidate desiring a grant under this subpart for any year shall file
an application containing such information and assurances as the Secretary may
determine necessary to enable the Secretary to carry out the functions and
responsibilities of this subpart.</text>
</paragraph><paragraph id="H17FB11D44F1142979363BE00CB83B849"><enum>(2)</enum><header>Demonstration of
TEACH Grant eligibility</header><text>Each application submitted under
<internal-xref idref="HF41B216DF1944DD295E01CE671CEEA02" legis-path="420N.(a)(1)">paragraph (1)</internal-xref> shall contain such
information as is necessary to demonstrate that—</text>
<subparagraph id="HC52E2484D5E34C789178981DE681D026"><enum>(A)</enum><text>if the applicant
is an enrolled student—</text>
<clause id="HEF34FEF3847F414999AC8414B7AC6CC3"><enum>(i)</enum><text>the student is an
eligible student for purposes of section 484;</text>
</clause><clause id="H29DF8055C01B4FC69FE063DEF901509"><enum>(ii)</enum><text>the
student—</text>
<subclause id="H9AD6BD7026BD4B62B4F154967230C194"><enum>(I)</enum><text>has a grade point
average that is determined, under standards prescribed by the Secretary, to be
comparable to a 3.25 average on a zero to 4.0 scale, except that, if the
student is in the first year of a program of undergraduate education, such
grade point average shall be determined on the basis of the student’s
cumulative secondary school grade point average; or</text>
</subclause><subclause id="H4EF25C403CE94874A927ECC22859EFEB"><enum>(II)</enum><text display-inline="yes-display-inline">displayed high academic aptitude by
receiving a score above the 75th percentile on at least one of the batteries in
an undergraduate, post-baccalaureate, or graduate school admissions test;
and</text>
</subclause></clause><clause id="HD411B7EA15A448ED8C487E6351638F5F"><enum>(iii)</enum><text>the student is
completing coursework and other requirements necessary to begin a career in
teaching, or plans to complete such coursework and requirements prior to
graduating; or</text>
</clause></subparagraph><subparagraph id="H0CF014949E3E40D49F54FC3DBEBCE4BB"><enum>(B)</enum><text display-inline="yes-display-inline">if the applicant is a current or
prospective teacher applying for a grant to obtain a graduate degree—</text>
<clause id="H7A3AB88C33914610B9F3EC86CAD2A9A8"><enum>(i)</enum><text>the applicant is a
teacher or a retiree from another occupation with expertise in a field in which
there is a shortage of teachers, such as mathematics, science, special
education, English language acquisition, or another high-need subject;
or</text>
</clause><clause id="H8B0D6E4C0E17492BBD5BA26702AFF503"><enum>(ii)</enum><text>the applicant is
or was a teacher who is using high-quality alternative certification routes,
such as Teach for America, to get certified.</text>
</clause></subparagraph></paragraph></subsection><subsection id="HE51C8E386B6F446C941C25399E8CF7C1"><enum>(b)</enum><header>Agreements to
serve</header><text>Each application under
<internal-xref idref="H816A5D7ACD1145F5BC0063FDB5A1DF9" legis-path="420N.(a)">subsection (a)</internal-xref> shall contain or be
accompanied by an agreement by the applicant that—</text>
<paragraph id="H43D81CEF0AFF4357B6AFAA433F59A1BD"><enum>(1)</enum><text display-inline="yes-display-inline">the applicant will—</text>
<subparagraph id="HAF11995C951C4EB0993156EEAEA612E"><enum>(A)</enum><text>serve as a
full-time teacher for a total of not less than 4 academic years within 8 years
after completing the course of study for which the applicant received a TEACH
Grant under this subpart;</text>
</subparagraph><subparagraph id="H82BD1D53761A41ABBEE2A797ECC6B297"><enum>(B)</enum><text>teach in a school
described in section 465(a)(2)(A);</text>
</subparagraph><subparagraph id="H72FEAA4B6DA44851B2487EC68F297306"><enum>(C)</enum><text>teach in any of
the following fields—</text>
<clause id="H2D49C19E6C784DF688450078A6300E4"><enum>(i)</enum><text>mathematics;</text>
</clause><clause id="H97396ED2FF604E77B4D5782F0092153F"><enum>(ii)</enum><text>science;</text>
</clause><clause id="HB05CD1807EF649689CBE096813D2D3C"><enum>(iii)</enum><text>a
foreign language;</text>
</clause><clause id="H6E9F8A43B9684AF100D1ACDD11A073AF"><enum>(iv)</enum><text>bilingual
education;</text>
</clause><clause id="H76B77FCFD56A4065B2C429D10385AFFD"><enum>(v)</enum><text>special
education;</text>
</clause><clause id="H0FA57CA09EBE4F8EB6549311C1DEF51D"><enum>(vi)</enum><text>as a reading
specialist; or</text>
</clause><clause id="HB22A59D57ACF476AA4902F02FD859643"><enum>(vii)</enum><text>another field
documented as high-need by the Federal Government, State government, or local
educational agency, and approved by the Secretary;</text>
</clause></subparagraph><subparagraph id="H1F717B5DD3264358BFEE42A61CEA0726"><enum>(D)</enum><text>submit evidence of
such employment in the form of a certification by the chief administrative
officer of the school upon completion of each year of such service; and</text>
</subparagraph><subparagraph id="H917C4871C2274D8A9B9E06F1DFEC742"><enum>(E)</enum><text>comply with the
requirements for being a highly qualified teacher as defined in section 9101 of
the Elementary and Secondary Education Act of 1965; and</text>
</subparagraph></paragraph><paragraph id="H12264FFC993F4331821F046CAFAE60E1"><enum>(2)</enum><text display-inline="yes-display-inline">in the event that the applicant is
determined to have failed or refused to carry out such service obligation, the
sum of the amounts of any TEACH Grants received by such applicant will be
treated as a loan and collected from the applicant in accordance with
<internal-xref idref="H919F6DFA644B4384B0C079B1B540967D" legis-path="420N.(c)">subsection (c)</internal-xref> and the regulations
thereunder.</text>
</paragraph></subsection><subsection id="H919F6DFA644B4384B0C079B1B540967D"><enum>(c)</enum><header>Repayment for
failure to complete service</header><text display-inline="yes-display-inline">In the event that any recipient of a grant
under this subpart fails or refuses to comply with the service obligation in
the agreement under
<internal-xref idref="HE51C8E386B6F446C941C25399E8CF7C1" legis-path="420N.(b)">subsection (b)</internal-xref>, the sum of the amounts of
any TEACH Grants received by such recipient shall, upon a determination of such
a failure or refusal in such service obligation, be treated as a Federal Direct
Unsubsidized Stafford Loan under part D of title IV, and shall be subject to
repayment, together with interest thereon accruing from the date of the grant
award, in accordance with terms and conditions specified by the Secretary in
regulations under this subpart.</text>
</subsection></section><section commented="no" id="H297051E5628840DAAC61CD003DA93CE1"><enum>420O.</enum><header>Program period
and funding</header><text display-inline="no-display-inline">Beginning on July
1, 2008, there shall be available to the Secretary to carry out this subpart,
from funds not otherwise appropriated, such sums as may be necessary to provide
TEACH Grants in accordance with this subpart to each eligible
applicant.</text>
</section></subpart><after-quoted-block>.</after-quoted-block></quoted-block>
</section><enum>II</enum><header>Student Loan
Benefits, Terms, and Conditions</header>
<section display-inline="no-display-inline" id="H6024DB072A3B4043AB43AAFECB5D945"><enum>201.</enum><header>Interest rate
reductions</header>
<subsection id="H42A83A4816E44239AFA3A287B5DBC7E"><enum>(a)</enum><header>FFEL Interest
Rates</header>
<paragraph id="H9BFB54CBA71644FFB35F08F5F053EEFC"><enum>(1)</enum><text>Section 427A(l)
(<external-xref legal-doc="usc" parsable-cite="usc/20/1077a">20 U.S.C. 1077a(l)</external-xref>) is amended by adding at the end the following new
paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H838ACF756D2941C090AD657F4887034C" style="OLC">
<paragraph id="HA13857B6262946DC8530B9BD8BB5B194"><enum>(4)</enum><header>Reduced rates
for undergraduate subsidized loans</header><text display-inline="yes-display-inline">Notwithstanding subsection (h) and
paragraph (1) of this subsection, with respect to any loan to an undergraduate
student made, insured, or guaranteed under this part (other than a loan made
pursuant to section 428B, 428C, or 428H) for which the first disbursement is
made on or after July 1, 2006, and before July 1, 2012, the applicable rate of
interest shall be as follows:</text>
<subparagraph commented="no" id="HA728A476DBEC40A5A5A5CB31FE6EE46E"><enum>(A)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2006, and before July 1, 2008, 6.8 percent on the
unpaid principal balance of the loan.</text>
</subparagraph><subparagraph id="H3B02D0C216F64ABABFE0EF4819B1BF7C"><enum>(B)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2008, and before July 1, 2009, 6.0 percent on the
unpaid principal balance of the loan.</text>
</subparagraph><subparagraph id="H01752C3C78BE40FBAB4F5D10F41DD7F2"><enum>(C)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2009, and before July 1, 2010, 5.6 percent on the
unpaid principal balance of the loan.</text>
</subparagraph><subparagraph id="H7B12F682E99548AD9B3D44407F377170"><enum>(D)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2010, and before July 1, 2011, 4.5 percent on the
unpaid principal balance of the loan.</text>
</subparagraph><subparagraph id="H037A1B13C83447B9926E7B82BC70B4E1"><enum>(E)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2011, and before July 1, 2012, 3.4 percent on the
unpaid principal balance of the
loan.</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H8C01A05105A04F39933449E902184859"><enum>(2)</enum><header>Special
allowance cross reference</header><text>Section 438(b)(2)(I)(ii)(II) (20 U.S.C.
1087–1(b)(2)(I)(ii)(II)) is amended by striking <quote>section
427A(l)(1)</quote> and inserting <quote>section 427A(l)(1) or
(l)(4)</quote>.</text>
</paragraph></subsection><subsection id="H4B22B795CE7F4637991F35331045BBCC"><enum>(b)</enum><header>Direct Loan
interest rates</header><text display-inline="yes-display-inline">Section
455(b)(7) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087e">20 U.S.C. 1087e(b)(7)</external-xref>) is amended by adding at the end the following
new subparagraph:</text>
<quoted-block display-inline="no-display-inline" id="HB19EB51D148A4641BE1241772D259D80" style="OLC">
<subparagraph id="HC02DA10EB02D46C09204004F00DE7E68"><enum>(D)</enum><header>Reduced rates
for undergraduate FDSL</header><text>Notwithstanding the preceding paragraphs
of this subsection and subparagraph (A) of this paragraph, for Federal Direct
Stafford Loans made to undergraduate students for which the first disbursement
is made on or after July 1, 2006, and before July 1, 2012, the applicable rate
of interest shall be as follows:</text>
<clause id="HA34D4DCCB3CD469D9BA5F13CFE943D33"><enum>(i)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2006, and before July 1, 2008, 6.8 percent on the
unpaid principal balance of the loan.</text>
</clause><clause id="HE5DF45803C814CDE004987C3A081A31F"><enum>(ii)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2008, and before July 1, 2009, 6.0 percent on the
unpaid principal balance of the loan.</text>
</clause><clause id="H43473A99D641438FAEA8559A2DE5BC8"><enum>(iii)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2009, and before July 1, 2010, 5.6 percent on the
unpaid principal balance of the loan.</text>
</clause><clause id="H59D3DD877BF343E7B3C1C6315EB00F0"><enum>(iv)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2010, and before July 1, 2011, 4.5 percent on the
unpaid principal balance of the loan.</text>
</clause><clause id="HF9FE03284D944AEC8342017C353C14D7"><enum>(v)</enum><text display-inline="yes-display-inline">For a loan for which the first disbursement
is made on or after July 1, 2011, and before July 1, 2012, 3.4 percent on the
unpaid principal balance of the
loan.</text>
</clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection></section><section id="H314ADC842E3F421EAFBEADA4C4121F55"><enum>202.</enum><header>Student loan
deferment for certain members of the armed forces</header>
<subsection id="H3CDD60C85FBD4BDF90A4BEFE5E0CE00"><enum>(a)</enum><header>Federal family
education loans</header><text>Section 428(b)(1)(M)(iii) (20 U.S.C.
1078(b)(1)(M)(iii)) is amended—</text>
<paragraph id="H1A16164EB58643E0BA80595DC66BA9D0"><enum>(1)</enum><text>in the matter
preceding subclause (I), by striking <quote>not in excess of 3
years</quote>;</text>
</paragraph><paragraph id="H2C8CF387595A47F48B9958009196E9BD"><enum>(2)</enum><text>in subclause (II),
by striking <quote>; or</quote> and inserting a comma; and</text>
</paragraph><paragraph commented="no" id="HE4461BF7377C4F66991F06DB806F94D"><enum>(3)</enum><text>by adding at the
end the following:</text>
<quoted-block display-inline="no-display-inline" id="H96715A3368014B5AA60043182E5E2161" style="OLC">
<quoted-block-continuation-text commented="no" quoted-block-continuation-text-level="clause">and for the 180-day period following the
demobilization date for the service described in subclause (I) or (II);
or</quoted-block-continuation-text><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="H8793E3B5273449D89DBA200695F53B3E"><enum>(b)</enum><header>Direct
loans</header><text>Section 455(f)(2)(C) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087e">20 U.S.C. 1087e(f)(2)(C)</external-xref>) is
amended—</text>
<paragraph id="HB79DF9E67C8C414BABCE8435C17796C"><enum>(1)</enum><text>in
the matter preceding clause (i), by striking <quote>not in excess of 3
years</quote>;</text>
</paragraph><paragraph id="HD37910F9DFD7476A81D6B474C1F314A0"><enum>(2)</enum><text>in clause (ii), by
striking <quote>; or</quote> and inserting a comma; and</text>
</paragraph><paragraph commented="no" id="H15E63A10075649F5AC2FD67D79943F38"><enum>(3)</enum><text>by adding at the
end the following:</text>
<quoted-block display-inline="no-display-inline" id="H754BBBE3C59E4B178CC423A19298E69F" style="OLC">
<quoted-block-continuation-text commented="no" quoted-block-continuation-text-level="subparagraph">and for the 180-day period
following the demobilization date for the service described in clause (i) or
(ii);
or</quoted-block-continuation-text><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="H33DE960E32964873B902D82590F4BFED"><enum>(c)</enum><header>Perkins
loans</header><text>Section 464(c)(2)(A)(iii) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087dd">20 U.S.C. 1087dd(c)(2)(A)(iii)</external-xref>)
is amended—</text>
<paragraph id="H9D2E14F2D5E747AAB39348ECE363006E"><enum>(1)</enum><text>in the matter
preceding subclause (I), by striking <quote>not in excess of 3
years</quote>;</text>
</paragraph><paragraph id="HABF4C611B2E14C5A81E5E3CAC85075B"><enum>(2)</enum><text>in
subclause (II), by striking the semicolon and inserting a comma; and</text>
</paragraph><paragraph commented="no" id="H93B2DDD01D2A476B843BBCC5B15125CD"><enum>(3)</enum><text>by adding at the
end the following:</text>
<quoted-block display-inline="no-display-inline" id="H0D0D24BEFDB2485F9268601F75CD8B88" style="OLC">
<quoted-block-continuation-text commented="no" indent="up1" quoted-block-continuation-text-level="clause">and for the 180-day period following the demobilization date
for the service described in subclause (I) or
(II);</quoted-block-continuation-text><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="H96F472DD4C94448A8D8890B677C8C5B"><enum>(d)</enum><header>Applicability</header><text>Section
8007(f) of the Higher Education Reconciliation Act of 2005 (20 U.S.C. 1078
note) is amended by striking <quote>loans for which</quote> and all that
follows through the period at the end and inserting <quote>all loans under
title IV of the Higher Education Act of 1965.</quote>.</text>
</subsection></section><section commented="no" display-inline="no-display-inline" id="HE26B0347CD2247C3B106AFD849324278" section-type="subsequent-section"><enum>203.</enum><header display-inline="yes-display-inline">Income-based repayment</header>
<subsection commented="no" display-inline="no-display-inline" id="H93BCA2C05E874EE6AE45ED1985715400"><enum>(a)</enum><header display-inline="yes-display-inline">Amendment</header><text display-inline="yes-display-inline">Part G of title IV (<external-xref legal-doc="usc" parsable-cite="usc/20/1088">20 U.S.C. 1088 et seq.</external-xref>)
is amended by adding at the end the following:</text>
<quoted-block display-inline="no-display-inline" id="HE0607176D7CF438D949B25693927FE83" style="OLC">
<section commented="no" display-inline="no-display-inline" id="H897083634A2F4347BB9D08EBA98831DA" section-type="subsequent-section"><enum>493C.</enum><header display-inline="yes-display-inline">Income-based repayment</header>
<subsection commented="no" display-inline="no-display-inline" id="HDB688D9C86914F6880D96FF2F51E9C7F"><enum>(a)</enum><header display-inline="yes-display-inline">Definitions</header><text display-inline="yes-display-inline">In this section:</text>
<paragraph commented="no" display-inline="no-display-inline" id="H814E5972F76344AFB175033F0034072C"><enum>(1)</enum><header display-inline="yes-display-inline">Excepted PLUS loan</header><text display-inline="yes-display-inline">The term <term>excepted PLUS loan</term>
means a loan under section 428B, or a Federal Direct PLUS Loan, that is made,
insured, or guaranteed on behalf of a dependent student.</text>
</paragraph><paragraph id="H75F9755B6B86415391964F8D05C900F5"><enum>(2)</enum><header>Excepted
consolidation loan</header><text>The term <term>excepted consolidation
loan</term> means a consolidation loan under section 428C, or a Federal Direct
Consolidation Loan, if the proceeds of such loan were used to the discharge the
liability on an excepted PLUS loan.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HB4C7CCA75BEA46DBAC79051B29448FA1"><enum>(3)</enum><header display-inline="yes-display-inline">Partial financial hardship</header><text display-inline="yes-display-inline">The term <term>partial financial
hardship</term>, when used with respect to a borrower, means that for such
borrower—</text>
<subparagraph id="H8EFC25EEFF634B50AC87D8B097F5592C"><enum>(A)</enum><text>the annual amount
due on the total amount of loans made, insured, or guaranteed under part B or D
(other than an excepted PLUS loan or excepted consolidation loan) to a borrower
as calculated under the standard repayment plan under section 428(b)(9)(A)(i)
or 455(d)(1)(A), based on a 10-year repayment period; exceeds</text>
</subparagraph><subparagraph id="HAC18F2D221B04EE79CFC4DBAE2550054"><enum>(B)</enum><text>15 percent of the
result obtained by calculating, on at least an annual basis, the amount by
which—</text>
<clause commented="no" display-inline="no-display-inline" id="HB611F3DB6F5B47DFB0FE05B1E3B3BED5"><enum>(i)</enum><text display-inline="yes-display-inline">the borrower's, and the borrower’s spouse’s
(if applicable), adjusted gross income; exceeds</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H8515E5F519F74B0BB2AFDC5EDF5F9C07"><enum>(ii)</enum><text display-inline="yes-display-inline">150 percent of the poverty line applicable
to the borrower's family size as determined under section 673(2) of the
Community Services Block Grant Act (<external-xref legal-doc="usc" parsable-cite="usc/42/9902">42 U.S.C. 9902(2)</external-xref>).</text>
</clause></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="HF787BDB1EB6E4E3AA8C35818FED1027B"><enum>(b)</enum><header display-inline="yes-display-inline">Income-based repayment program
authorized</header><text display-inline="yes-display-inline">Notwithstanding
any other provision of this Act, the Secretary shall carry out a program under
which—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HD8472CA0462F4FB099BCEFD2D200CB88"><enum>(1)</enum><text display-inline="yes-display-inline">a borrower of any loan made, insured, or
guaranteed under part B or D (other than an excepted PLUS loan or excepted
consolidation loan) who has a partial financial hardship (whether or not the
borrower’s loan has been submitted to a guaranty agency for default aversion or
is already in default) may elect, during any period the borrower has the
partial financial hardship, to have the borrower's aggregate monthly payment
for all such loans not exceed the result described in
<internal-xref idref="HAC18F2D221B04EE79CFC4DBAE2550054" legis-path="493C.(a)(3)(B)">subsection (a)(3)(B)</internal-xref> divided by
12;</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HD1550660487447A6860051EAE2FD8272"><enum>(2)</enum><text display-inline="yes-display-inline">the holder of such a loan shall apply the
borrower's monthly payment under this subsection first toward interest due on
the loan, next toward any fees due on the loan, and then toward the principal
of the loan;</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HA06688906324481D84D19C0090B14445"><enum>(3)</enum><text display-inline="yes-display-inline">any interest due and not paid under
<internal-xref idref="HD1550660487447A6860051EAE2FD8272" legis-path="493C.(b)(2)">paragraph (2)</internal-xref>—</text>
<subparagraph commented="no" id="H6B5F2C7AC08543DCA0C600D85C8E097B"><enum>(A)</enum><text>shall, on
subsidized loans, be paid by the Secretary for a period of not more than 3
years after the date of the borrower’s election under
<internal-xref idref="HD8472CA0462F4FB099BCEFD2D200CB88" legis-path="493C.(b)(1)">paragraph (1)</internal-xref>, except that such period
shall not include any period during which the borrower is in deferment due to
an economic hardship described in section 435(o); and</text>
</subparagraph><subparagraph commented="no" id="H55826A3F59914537A7E960F1468691E7"><enum>(B)</enum><text display-inline="yes-display-inline">be capitalized—</text>
<clause id="H3928890A87C840659D84A454F0505376"><enum>(i)</enum><text>in
the case of a subsidized loan, subject to
<internal-xref idref="H6B5F2C7AC08543DCA0C600D85C8E097B" legis-path="493C.(b)(3)(A)">subparagraph (A)</internal-xref>, at the time the
borrower—</text>
<subclause commented="no" id="H8CC39631E2D14EE387B996D5B6F74D7E"><enum>(I)</enum><text>ends the election
to make income-based repayment under this subsection; or</text>
</subclause><subclause commented="no" id="HC71A351378B741C095C20934F73F7288"><enum>(II)</enum><text>begins making
payments of not less than the amount specified in
<internal-xref idref="H2F1A9980C2B2402089A1BD8CD659B230" legis-path="493C.(b)(6)(A)">paragraph (6)(A)</internal-xref>; or</text>
</subclause></clause><clause id="H88C0FAAE228546218B65A4BABCFECAFE"><enum>(ii)</enum><text>in the case of an
unsubsidized loan, at the time the borrower—</text>
<subclause commented="no" id="H0FBEC940C2464F99BC4484DD23214300"><enum>(I)</enum><text>ends the election
to make income-based repayment under this subsection; or</text>
</subclause><subclause commented="no" id="H176D04CD13494B3BBB004829DE84525B"><enum>(II)</enum><text>begins making
payments of not less than the amount specified in
<internal-xref idref="H2F1A9980C2B2402089A1BD8CD659B230" legis-path="493C.(b)(6)(A)">paragraph (6)(A)</internal-xref>;</text>
</subclause></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H420C79E98E61449FA3E14207B7AB83CF"><enum>(4)</enum><text display-inline="yes-display-inline">any principal due and not paid under
paragraph (2) shall be deferred;</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HE561DA680E63475AAA8DD613A43FDBCA"><enum>(5)</enum><text display-inline="yes-display-inline">the amount of time the borrower makes
monthly payments under paragraph (1) may exceed 10 years;</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H8365507FDFFC40618642F26125828F96"><enum>(6)</enum><text display-inline="yes-display-inline">if the borrower no longer has a partial
financial hardship or no longer wishes to continue the election under this
subsection, then—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H2F1A9980C2B2402089A1BD8CD659B230"><enum>(A)</enum><text display-inline="yes-display-inline">the maximum monthly payment required to be
paid for all loans made to the borrower under part B or D (other than an
excepted PLUS loan or excepted consolidation loan) shall not exceed the monthly
amount calculated under section 428(b)(9)(A)(i) or 455(d)(1)(A), based on a
10-year repayment period, when the borrower first made the election described
in this subsection; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HEBF1A0F3CEAD496C8B196378FCE3DBA7"><enum>(B)</enum><text display-inline="yes-display-inline">the amount of time the borrower is
permitted to repay such loans may exceed 10 years;</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="HC6F56EA005BC4ABBA6C3543FE780E0E0"><enum>(7)</enum><text display-inline="yes-display-inline">the Secretary shall repay or cancel any
outstanding balance of principal and interest due on all loans made under part
B or D (other than a loan under section 428B or a Federal Direct PLUS Loan) to
a borrower who—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H334296278C2741288326C13725490054"><enum>(A)</enum><text display-inline="yes-display-inline">at any time, elected to participate in
income-based repayment under paragraph (1); and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H45B670C9201D4C718F4EA1D1B9E1551C"><enum>(B)</enum><text display-inline="yes-display-inline">for a period of time prescribed by the
Secretary, not to exceed 25 years, meets 1 or more of the following
requirements—</text>
<clause commented="no" display-inline="no-display-inline" id="H3F80BB44D4F64D14A38FDAC06262899C"><enum>(i)</enum><text display-inline="yes-display-inline">has made reduced monthly payments under
paragraph (1) or paragraph (6);</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H4BDB0A53C79B4B18BBF88723CDCBB1C"><enum>(ii)</enum><text display-inline="yes-display-inline">has made monthly payments of not less than
the monthly amount calculated under section 428(b)(9)(A)(i) or 455(d)(1)(A),
based on a 10-year repayment period, when the borrower first made the election
described in this subsection;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H6745F9709A6C40918B6C7B076E608FA1"><enum>(iii)</enum><text display-inline="yes-display-inline">has made payments of not less than the
payments required under a standard repayment plan under section 428(b)(9)(A)(i)
or 455(d)(1)(A) with a repayment period of 10 years;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H675385B82CF94B2593F7A31BCE801BDD"><enum>(iv)</enum><text display-inline="yes-display-inline">has made payments under an
income-contingent repayment plan under section 455(d)(1)(D); or</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H2A10ACFAB4A44863A8464EF1124EDCEA"><enum>(v)</enum><text display-inline="yes-display-inline">has been in deferment due to an economic
hardship described in section 435(o);</text>
</clause></subparagraph></paragraph><paragraph id="HF1BB8767F02944BFA0C25D6CF0586EE9"><enum>(8)</enum><text display-inline="yes-display-inline">a borrower who is repaying a loan made
under part B or D pursuant to income-based repayment may elect, at any time, to
terminate repayment pursuant to income-based repayment and repay such loan
under the standard repayment plan; and</text>
</paragraph><paragraph id="H38F4DCDF3A094824B4D787432F99E4AA"><enum>(9)</enum><text display-inline="yes-display-inline">the special allowance payment to a lender
calculated under section 438(b)(2)(I), when calculated for a loan in repayment
under this section, shall be calculated on the principal balance of the loan
and on any accrued interest unpaid by the borrower in accordance with this
section.</text>
</paragraph></subsection><subsection id="H4DCCF95811A847879B26612730086C97"><enum>(c)</enum><header>Eligibility
Determinations</header><text>The Secretary shall establish procedures for
annually determining the borrower’s eligibility for income-based repayment,
including verification of a borrower’s annual income and the annual amount due
on the total amount of loans made, insured, or guaranteed under part B or D
(other than an excepted PLUS loan or excepted consolidation loan), and such
other procedures as are necessary to effectively implement income-based
repayment under this section. The Secretary shall consider, but is not limited
to, the procedures established in accordance with section 455(e)(1) or in
connection with income sensitive repayment schedules under section
428(b)(9)(A)(iii) or
428C(b)(1)(E).</text>
</subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" display-inline="no-display-inline" id="H60E206CF22234682976695A9B39B9C92"><enum>(b)</enum><header display-inline="yes-display-inline">Conforming amendments</header>
<paragraph id="H5AF1E2AF0EA2437AA45879B0FCDE03B9"><enum>(1)</enum><text display-inline="yes-display-inline">Section 428C (<external-xref legal-doc="usc" parsable-cite="usc/20/1078-3">20 U.S.C. 1078–3</external-xref>) is
amended—</text>
<subparagraph id="HDCBA99D3576546BD8BFE67D0FB1E8799"><enum>(A)</enum><text>in subsection
(a)(3)(B)(i), by amending subclause (V) to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H4DCBE7C372654D5C8EEC9E662EE82867" style="OLC">
<subclause id="H4CE71FCBBC1D4E298166D2569B2868A3"><enum>(V)</enum><text>an individual may
obtain a subsequent consolidation loan under section 455(g) only—</text>
<item id="HE7FAF5979DBF4A84802CE4F53B1FF205"><enum>(aa)</enum><text>for
the purposes of obtaining an income contingent repayment plan, and only if the
loan has been submitted to the guaranty agency for default aversion; or</text>
</item><item id="HF3E89E7323D2462FA07BC38543B4E4E8"><enum>(bb)</enum><text>for
the purposes of using the public service loan forgiveness program under section
455(m).</text>
</item></subclause><after-quoted-block>;</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="H363C1EF7DD744BB194B03C01814A5F1"><enum>(B)</enum><text>in the first
sentence of subsection (b)(5), by inserting <quote>or chooses to obtain a
consolidation loan for the purposes of using the public service loan
forgiveness program offered under section 455(m),</quote> after <quote>from
such a lender,</quote>; and</text>
</subparagraph><subparagraph id="HE9F5F18552E54D6A83D3B8A81964DDE4"><enum>(C)</enum><text>in the second
sentence of such subsection, by inserting before the period the following:
<quote>, except that if a borrower intends to be eligible to use the public
service loan forgiveness program under section 455(m), such loan shall be
repaid using one of the repayment options described in section
455(m)(1)(A)</quote>.</text>
</subparagraph></paragraph><paragraph id="HA01656A10B614E09B76084526FA9E51B"><enum>(2)</enum><text>Section 428C (20
U.S.C. 1078–3) (as amended by paragraph (1) of this subsection) is
amended—</text>
<subparagraph id="H171BDEC00F804BF584421D47AB11B7FF"><enum>(A)</enum><text>in subsection
(a)(3)(B)(i)(V)(aa)—</text>
<clause id="HA88CC3E7BE2C4AB2A32B4F44A958600"><enum>(i)</enum><text>by
striking <quote>an income contingent repayment plan,</quote> and inserting
<quote>income contingent repayment or income-based repayment,</quote>;
and</text>
</clause><clause id="H0ABA1AAC575A4A1A00D2E643BB25B477"><enum>(ii)</enum><text>by
inserting <quote>or if the loan is already in default</quote> before the
semicolon;</text>
</clause></subparagraph><subparagraph id="H5F86D4CCEE58491BACC060764C2E679E"><enum>(B)</enum><text>in the first
sentence of subsection (b)(5), by inserting <quote>or income-based repayment
terms</quote> after <quote>income-sensitive repayment terms</quote>; and</text>
</subparagraph><subparagraph id="H30777474DE3043D5AB302907E758A951"><enum>(C)</enum><text>in the second
sentence of such subsection, by inserting <quote>, pursuant to income-based
repayment under section 493C,</quote> after <quote>part D of this
title</quote>.</text>
</subparagraph></paragraph><paragraph id="HE0B214FD3A5F4077B25B8FBE0911D252"><enum>(3)</enum><text>Section
455(d)(1)(D) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087e">20 U.S.C. 1087e(d)(1)(D)</external-xref>) is amended by inserting <quote>made on
behalf of a dependent student</quote> after <quote>PLUS loan</quote>.</text>
</paragraph></subsection><subsection id="H46D18BB177E24FCE90A3E360D883007D"><enum>(c)</enum><header>Effective
Date</header>
<paragraph id="HD06E3D433C6C4319B528D2B06B76F3B"><enum>(1)</enum><header>In
general</header><text>Except as provided in
<internal-xref idref="H6771DB8DE65941208F6BA3A44FC0528B" legis-path="203.(c)(2)">paragraph (2)</internal-xref>, the amendments made by
this section shall be effective on July 1, 2009.</text>
</paragraph><paragraph id="H6771DB8DE65941208F6BA3A44FC0528B"><enum>(2)</enum><header>Exception</header><text>The
amendments made by subsection (b)(1) shall be effective on July 1, 2008.</text>
</paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="H42AC4442D773465DA4286C6FAED7F0D1" section-type="subsequent-section"><enum>204.</enum><header>Deferral of loan
repayment following active duty</header><text display-inline="no-display-inline">Part G of title IV is further amended by
adding after section 493C (as added by section 203 of this Act) the following
new section:</text>
<quoted-block act-name="Higher" id="H64A0A0602B5D49538ECD017F23833CD9">
<section commented="no" id="HA2B9451A3647408E9C39C36901320362"><enum>493D.</enum><header>Deferral of
loan repayment following active duty</header>
<subsection commented="no" id="HC2CED53C85EF49449BC8FE5EC07C9E00"><enum>(a)</enum><header>Deferral of loan
repayment following active duty</header><text display-inline="yes-display-inline">In addition to any deferral of repayment of
a loan made under this title pursuant to section 428(b)(1)(M)(iii),
455(f)(2)(C), or 464(c)(2)(A)(iii), a borrower of a loan under this title who
is a member of the National Guard or other reserve component of the Armed
Forces of the United States, or a member of such Armed Forces in a retired
status, is called or ordered to active duty, and is enrolled, or was enrolled
within six months prior to the activation, in a program of instruction at an
eligible institution, shall be eligible for a deferment during the 13 months
following the conclusion of such service, except that a deferment under this
subsection shall expire upon the borrower’s return to enrolled student
status.</text>
</subsection><subsection commented="no" id="HCDC862AC586A4518BD8CFE0015EE8CE9"><enum>(b)</enum><header>Active
duty</header><text>Notwithstanding section 481(d), in this section, the term
<term>active duty</term> has the meaning given such term in section 101(d)(1)
of title 10, United States Code, except that such term—</text>
<paragraph commented="no" id="H6060F5A9330A4179802E2D5D3309F1A3"><enum>(1)</enum><text>does not include
active duty for training or attendance at a service school; but</text>
</paragraph><paragraph commented="no" id="H5FDD0FCEDCAB4742A8F904C566B62E20"><enum>(2)</enum><text>includes, in the
case of members of the National Guard, active State
duty.</text>
</paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section commented="no" display-inline="no-display-inline" id="HCD288F39CFE44B6BAE844F2511D31D9F" section-type="subsequent-section"><enum>205.</enum><header display-inline="yes-display-inline">Maximum repayment period</header><text display-inline="no-display-inline">Section 455(e) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087e">20 U.S.C. 1087e(e)</external-xref>) is
amended by adding at the end the following:</text>
<quoted-block display-inline="no-display-inline" id="HE56FA5610A4E45E394C2F5159C00DEBE" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="H66EFCC177F6E485CA998794164CDA6B0"><enum>(7)</enum><header display-inline="yes-display-inline">Maximum repayment period</header><text display-inline="yes-display-inline">In calculating the extended period of time
for which an income contingent repayment plan under this subsection may be in
effect for a borrower, the Secretary shall include all time periods during
which a borrower of loans under part B, part D, or part E—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H08E365731C0F457984F1E9AFC26DA277"><enum>(A)</enum><text display-inline="yes-display-inline">is not in default on any loan that is
included in the income contingent repayment plan; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H9B89173525BE48B69B97F89028B9621E"><enum>(B)</enum><clause commented="no" display-inline="yes-display-inline" id="H58CAAFA7E47E45FB96FBB6BCC4E3CF1"><enum>(i)</enum><text display-inline="yes-display-inline">is in deferment due to an economic hardship
described in section 435(o);</text>
</clause><clause commented="no" display-inline="no-display-inline" id="HE872BD79C98540FC89E7A7301C22005C" indent="up1"><enum>(ii)</enum><text display-inline="yes-display-inline">makes monthly payments under paragraph (1)
or (6) of section 493C(b);</text>
</clause><clause commented="no" id="HB1C87629531D4EB99F4BB1867379BC80" indent="up1"><enum>(iii)</enum><text display-inline="yes-display-inline">makes monthly payments of not less than the
monthly amount calculated under section 428(b)(9)(A)(i) or subsection
(d)(1)(A), based on a 10-year repayment period, when the borrower first made
the election described in section 493C(b)(1);</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H851AD29947404FF6A9CC96E232E5B35B" indent="up1"><enum>(iv)</enum><text display-inline="yes-display-inline">makes payments of not less than the
payments required under a standard repayment plan under section 428(b)(9)(A)(i)
or subsection (d)(1)(A) with a repayment period of 10 years; or</text>
</clause><clause id="HE868B5C21B724BC38FB3195055CC97CC" indent="up1"><enum>(v)</enum><text>makes payments under an income
contingent repayment plan under subsection
(d)(1)(D).</text>
</clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</section><enum>III</enum><header>Federal Family
Education Loan Program</header>
<section id="HA6875BAA33884FCC9B06710159E07060"><enum>301.</enum><header>Guaranty agency
collection retention</header><text display-inline="no-display-inline">Clause
(ii) of section 428(c)(6)(A) (<external-xref legal-doc="usc" parsable-cite="usc/20/1078">20 U.S.C. 1078(c)(6)(A)(ii)</external-xref>) is amended to read
as follows:</text>
<quoted-block display-inline="no-display-inline" id="HB4F4388EB30248BBA592903F001BF73B" style="OLC">
<clause id="HF49F3EC4FA9C4DF4A9A022A096B79115"><enum>(ii)</enum><text>an amount equal
to 24 percent of such payments for use in accordance with section 422B, except
that—</text>
<subclause id="HDD2C090052884FE19FEEDD7F56E6ED1"><enum>(I)</enum><text>beginning October
1, 2003 and ending September 30, 2007, this clause shall be applied by
substituting <quote>23 percent</quote> for <quote>24 percent</quote>;
and</text>
</subclause><subclause id="H7A5544D9F3C84152B447A1016C08EF2B"><enum>(II)</enum><text>beginning October
1, 2007, this clause shall be applied by substituting <quote>16 percent</quote>
for <quote>24
percent</quote>.</text>
</subclause></clause><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section id="H1808A270E6284C779761C010A1D6236D"><enum>302.</enum><header>Elimination of
exceptional performer status for lenders</header>
<subsection id="H1B8542045A474B51BE387310A5B7671E"><enum>(a)</enum><header>Elimination of
status</header><text>Part B of title IV (<external-xref legal-doc="usc" parsable-cite="usc/20/1071">20 U.S.C. 1071 et seq.</external-xref>) is amended by
striking section 428I (<external-xref legal-doc="usc" parsable-cite="usc/20/1078-9">20 U.S.C. 1078–9</external-xref>).</text>
</subsection><subsection id="H3D7958E106F04C78B06383BAAAC6448F"><enum>(b)</enum><header>Conforming
amendments</header><text>Part B of title IV is further amended—</text>
<paragraph id="H2093EE3920DA422B99C7E95F24258F92"><enum>(1)</enum><text>in section
428(c)(1) (<external-xref legal-doc="usc" parsable-cite="usc/20/1078">20 U.S.C. 1078(c)(1)</external-xref>)—</text>
<subparagraph id="H51BEC5ABC5594CF0B69BEABE00645F89"><enum>(A)</enum><text>by striking
subparagraph (D); and</text>
</subparagraph><subparagraph id="H56D3CF9D310B466890639304EFD8C92"><enum>(B)</enum><text>by redesignating
subparagraphs (E) through (H) as subparagraphs (D) through (G), respectively;
and</text>
</subparagraph></paragraph><paragraph id="HB94E8E9598724B87A036376B7E71EE70"><enum>(2)</enum><text>in section
438(b)(5) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087-1">20 U.S.C. 1087–1(b)(5)</external-xref>), by striking the matter following
subparagraph (B).</text>
</paragraph></subsection><subsection commented="no" id="HE08FC80CC47F4EE00048B9FE72526DC6"><enum>(c)</enum><header>Effective
date</header><text>The amendments made by subsections (a) and (b) shall be
effective on October 1, 2007, except that section 428I of the Higher Education
Act of 1965 (as in effect on the day before the date of enactment of this Act)
shall apply to eligible lenders that received a designation under subsection
(a) of such section prior to October 1, 2007, for the remainder of the year for
which the designation was made.</text>
</subsection></section><section display-inline="no-display-inline" id="H4984FC17045C40A1817CE8BFB41AC4F" section-type="subsequent-section"><enum>303.</enum><header>Reduction of lender
insurance percentage</header>
<subsection id="HCB5222BF98274DD79D9E003EE976285E"><enum>(a)</enum><header>Amendment</header><text>Subparagraph
(G) of section 428(b)(1) (<external-xref legal-doc="usc" parsable-cite="usc/20/1078">20 U.S.C. 1078(b)(1)(G)</external-xref>) is amended to read as
follows:</text>
<quoted-block display-inline="no-display-inline" id="HBE92BA989BDF4BC6A624F7F67CE02276" style="OLC">
<subparagraph id="HF12877ACB17A4B45AAA3F62B3BEC88A2"><enum>(G)</enum><text>insures 95 percent
of the unpaid principal of loans insured under the program, except that—</text>
<clause commented="no" id="HE030958B22DE4AA4AFD839C0A5069ED6"><enum>(i)</enum><text>such program shall
insure 100 percent of the unpaid principal of loans made with funds advanced
pursuant to section 428(j) or 439(q); and</text>
</clause><clause id="H733A448B79C44EAD92CDDCA9DF686F6D"><enum>(ii)</enum><text display-inline="yes-display-inline">notwithstanding the preceding provisions of
this subparagraph, such program shall insure 100 percent of the unpaid
principal amount of exempt claims as defined in subsection
(c)(1)(G);</text>
</clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H1ACD4C4BD3B04AEAA77F7C89101DEB49"><enum>(b)</enum><header>Effective
date</header><text>The amendment made by
<internal-xref idref="HCB5222BF98274DD79D9E003EE976285E" legis-path="303.(a)">subsection (a)</internal-xref> shall be effective on
October 1, 2012, and shall apply with respect to loans made on or after such
date.</text>
</subsection></section><section id="HA8894093F50B48F9B3518F33BC90713D"><enum>304.</enum><header>Definitions</header><text display-inline="no-display-inline">Section 435 (<external-xref legal-doc="usc" parsable-cite="usc/20/1085">20 U.S.C. 1085</external-xref>) is
amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HE09364C8E470434C96FE48F5285F6F02"><enum>(1)</enum><text display-inline="yes-display-inline">in subsection (o)(1)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HE8B5B9F9CDB04B52B688803742900085"><enum>(A)</enum><text display-inline="yes-display-inline">in subparagraph (A)(ii)—</text>
<clause id="H3706234069664A8EAC8763714C4B7748"><enum>(i)</enum><text>by
striking <quote>100 percent of the poverty line for a family of 2</quote> and
inserting <quote>150 percent of the poverty line applicable to the borrower's
family size</quote>; and</text>
</clause><clause id="HEDE849A089C04625BD6EFAC0FBFD4E01"><enum>(ii)</enum><text>by
inserting <quote>or</quote> after the semicolon;</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HD791CB8C8971417C8C9B6F49A7DE3D1"><enum>(B)</enum><text display-inline="yes-display-inline">by striking subparagraph (B); and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H1257641D69844F119B0026A2CD036F5B"><enum>(C)</enum><text display-inline="yes-display-inline">by redesignating subparagraph (C) as
subparagraph (B);</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="HC0BBB840ED9F4D44BAFB2C9899062E18"><enum>(2)</enum><text display-inline="yes-display-inline">in subsection (o)(2), by striking
<quote>(1)(C)</quote> and inserting <quote>(1)(B)</quote>; and</text>
</paragraph><paragraph id="H0F97D852AAE945F6000041AFD550AB62"><enum>(3)</enum><text>by adding at the
end the following:</text>
<quoted-block id="H3914AB74D28C461797E2B072DB363495" style="OLC">
<subsection display-inline="no-display-inline" id="H03068EC66BC048ACB175697410BBB6FC"><enum>(p)</enum><header>Eligible
Not-for-Profit Holder</header>
<paragraph id="HD1219FCFECE4441CA58307D0160AC6E"><enum>(1)</enum><header>Definition</header><text display-inline="yes-display-inline">Subject to the limitations in
<internal-xref idref="H3A9DCBC013654D71A0781C0078FDF9DE" legis-path="(p)(2)">paragraph (2)</internal-xref> and the prohibition in
<internal-xref idref="HFBF3E786A7BF4FB88B526854B9E54C61" legis-path="(p)(3)">paragraph (3)</internal-xref>, the term <term>eligible
not-for-profit holder</term> means an eligible lender under subsection (d)
(except for an eligible lender described in subsection (d)(1)(E)) that requests
a special allowance payment under section 438(b)(2)(I)(vi)(II) or a payment
under section 771 and that is—</text>
<subparagraph id="HD67583B7A3244650A83F1B9DF0D9EF10"><enum>(A)</enum><text>a State, or a
political subdivision, authority, agency, or other instrumentality thereof,
including such entities that are eligible to issue bonds described in section
1.103–1 of title 26, Code of Federal Regulations, or section 144(b) of the
Internal Revenue Code of 1986;</text>
</subparagraph><subparagraph id="H7FB441441D944CD9B8626809BDB18CE2"><enum>(B)</enum><text>an entity
described in section 150(d)(2) of such Code that has not made the election
described in section 150(d)(3) of such Code;</text>
</subparagraph><subparagraph id="HF50EA7889EEE4B659217C721BC212668"><enum>(C)</enum><text>an entity
described in section 501(c)(3) of such Code; or</text>
</subparagraph><subparagraph id="H10B84A086E784F8F984F68954592CADF"><enum>(D)</enum><text display-inline="yes-display-inline">a trustee acting as an eligible lender on
behalf of a State, political subdivision, authority, agency, instrumentality,
or other entity described in
<internal-xref idref="HD67583B7A3244650A83F1B9DF0D9EF10" legis-path="(p)(1)(A)">subparagraph (A)</internal-xref>,
<internal-xref idref="H7FB441441D944CD9B8626809BDB18CE2" legis-path="(p)(1)(B)">(B)</internal-xref>, or
<internal-xref idref="HF50EA7889EEE4B659217C721BC212668" legis-path="(p)(1)(C)">(C)</internal-xref>.</text>
</subparagraph></paragraph><paragraph id="H3A9DCBC013654D71A0781C0078FDF9DE"><enum>(2)</enum><header>Limitations</header>
<subparagraph id="HA2DF1E3E172D4752A959FCC307D792E"><enum>(A)</enum><header>Existing on date
of enactment</header>
<clause id="H4536C084A2584D6AAE48F8F5AC99A2DC"><enum>(i)</enum><header>In
general</header><text>An eligible lender shall not be an eligible
not-for-profit holder under this Act unless such lender—</text>
<subclause id="HB28074CF0E914D60A695856579102E09"><enum>(I)</enum><text display-inline="yes-display-inline">was a State, political subdivision,
authority, agency, instrumentality, or other entity described in
<internal-xref idref="HD67583B7A3244650A83F1B9DF0D9EF10" legis-path="(p)(1)(A)">paragraph (1)(A)</internal-xref>,
<internal-xref idref="H7FB441441D944CD9B8626809BDB18CE2" legis-path="(p)(1)(B)">(B)</internal-xref>, or
<internal-xref idref="HF50EA7889EEE4B659217C721BC212668" legis-path="(p)(1)(C)">(C)</internal-xref> that was, on the date of the
enactment of the <short-title>College Cost Reduction and
Access Act</short-title>, acting as an eligible lender under subsection (d)
(other than an eligible lender described in subsection (d)(1)(E)); or</text>
</subclause><subclause id="H327BF81EA5AE49CFBFE396418F915D53"><enum>(II)</enum><text display-inline="yes-display-inline">is a trustee acting as an eligible lender
under this Act on behalf of such a State, political subdivision, authority,
agency, instrumentality, or other entity described in subclause (I) of this
clause.</text>
</subclause></clause><clause id="HA60B3AE7ACB64CEAA837BFD9BD363A"><enum>(ii)</enum><header>Exception</header><text>Notwithstanding
<internal-xref idref="H4536C084A2584D6AAE48F8F5AC99A2DC" legis-path="(p)(2)(A)(i)">clause (i)</internal-xref>, a State may elect, in
accordance with regulations of the Secretary, to waive the requirements this
subparagraph for a new not-for-profit holder determined by the State to be
necessary to carry out a public purpose of such State, except that a State may
not make such election with respect the requirements of clause (i)(II).</text>
</clause></subparagraph><subparagraph id="HF43CA56E34FE419E97AFEEBF0590A5"><enum>(B)</enum><header>No for-profit
ownership or control</header><text display-inline="yes-display-inline">No
political subdivision, authority, agency, instrumentality, or other entity
described in
<internal-xref idref="HD67583B7A3244650A83F1B9DF0D9EF10" legis-path="(p)(1)(A)">paragraph (1)(A)</internal-xref>,
<internal-xref idref="H7FB441441D944CD9B8626809BDB18CE2" legis-path="(p)(1)(B)">(B)</internal-xref>, or
<internal-xref idref="HF50EA7889EEE4B659217C721BC212668" legis-path="(p)(1)(C)">(C)</internal-xref> shall be an eligible not-for-profit
holder under this Act if such entity is owned or controlled, in whole or in
part, by a for-profit entity.</text>
</subparagraph><subparagraph id="HEE48C3EEF0234138BEB0D8C0E7D100C0"><enum>(C)</enum><header>Sole ownership
of loans and income</header><text display-inline="yes-display-inline">No State,
political subdivision, authority, agency, instrumentality, or other entity
described in<internal-xref idref="HD67583B7A3244650A83F1B9DF0D9EF10" legis-path="(p)(1)(A)"> paragraph
(1)(A)</internal-xref>,
<internal-xref idref="H7FB441441D944CD9B8626809BDB18CE2" legis-path="(p)(1)(B)">(B)</internal-xref>, or
<internal-xref idref="HF50EA7889EEE4B659217C721BC212668" legis-path="(p)(1)(C)">(C)</internal-xref> shall be an eligible not-for-profit
holder under this Act with respect to any loan, or income from any loan, unless
the State, political subdivision, authority, agency, instrumentality, or other
entity described in
<internal-xref idref="HD67583B7A3244650A83F1B9DF0D9EF10" legis-path="(p)(1)(A)">paragraph (1)(A)</internal-xref>,
<internal-xref idref="H7FB441441D944CD9B8626809BDB18CE2" legis-path="(p)(1)(B)">(B)</internal-xref>, or
<internal-xref idref="HF50EA7889EEE4B659217C721BC212668" legis-path="(p)(1)(C)">(C)</internal-xref> is the sole owner of the beneficial
interest in such loan and the income from such loan.</text>
</subparagraph><subparagraph id="H6423EC4D741F468E8BDC7BAC7D28C90"><enum>(D)</enum><header>Trustee
compensation limitations</header><text display-inline="yes-display-inline">A
trustee described in
<internal-xref idref="H10B84A086E784F8F984F68954592CADF" legis-path="(p)(1)(D)">paragraph (1)(D)</internal-xref> shall not receive
compensation as consideration for acting as an eligible lender on behalf of an
entity described in described in
<internal-xref idref="HD67583B7A3244650A83F1B9DF0D9EF10" legis-path="(p)(1)(A)">paragraph (1)(A)</internal-xref>,
<internal-xref idref="H7FB441441D944CD9B8626809BDB18CE2" legis-path="(p)(1)(B)">(B)</internal-xref>, or
<internal-xref idref="HF50EA7889EEE4B659217C721BC212668" legis-path="(p)(1)(C)">(C)</internal-xref> in excess of reasonable and
customary fees.</text>
</subparagraph><subparagraph id="H14EE52779785404B9954BEF61810A5FE"><enum>(E)</enum><header>Rule of
construction</header><text>For purposes of
<internal-xref idref="HF43CA56E34FE419E97AFEEBF0590A5" legis-path="(p)(2)(B)">subparagraphs (B)</internal-xref>,
<internal-xref idref="HEE48C3EEF0234138BEB0D8C0E7D100C0" legis-path="(p)(2)(C)">(C)</internal-xref>, and
<internal-xref idref="H6423EC4D741F468E8BDC7BAC7D28C90" legis-path="(p)(2)(D)">(D)</internal-xref> of this paragraph, a State,
political subdivision, authority, agency, instrumentality, or other entity
described in
<internal-xref idref="HD67583B7A3244650A83F1B9DF0D9EF10" legis-path="(p)(1)(A)">paragraph (1)(A)</internal-xref>,
<internal-xref idref="H7FB441441D944CD9B8626809BDB18CE2" legis-path="(p)(1)(B)">(B)</internal-xref>, or
<internal-xref idref="HF50EA7889EEE4B659217C721BC212668" legis-path="(p)(1)(C)">(C)</internal-xref> shall not—</text>
<clause id="HB41E7B4CFF054654B69B45F32530FE9"><enum>(i)</enum><text>be
deemed to be owned or controlled, in whole or in part, by a for-profit entity,
or</text>
</clause><clause id="H4CEA89CD84E24DD496E253C095E3E085"><enum>(ii)</enum><text display-inline="yes-display-inline">lose its status as the sole owner of a
beneficial interest in a loan and the income from a loan by that political
subdivision, authority, agency, instrumentality, or other entity,</text>
</clause><continuation-text continuation-text-level="subparagraph">by
granting a security interest in, or otherwise pledging as collateral, such
loan, or the income from such loan, to secure a debt obligation in the
operation of an arrangement described in
<internal-xref idref="H10B84A086E784F8F984F68954592CADF" legis-path="(p)(1)(D)">paragraph (1)(D)</internal-xref>.</continuation-text></subparagraph></paragraph><paragraph id="HFBF3E786A7BF4FB88B526854B9E54C61"><enum>(3)</enum><header>Prohibition</header><text>In
the case of a loan for which the special allowance payment is calculated under
section 438(b)(2)(I)(vi)(II) and that is sold by the eligible not-for-profit
holder holding the loan to an entity that is not an eligible not-for-profit
holder under this Act, the special allowance payment for such loan shall,
beginning on the date of the sale, no longer be calculated under section
438(b)(2)(I)(vi)(II) and shall be calculated under section 438(b)(2)(I)(vi)(I)
instead.</text>
</paragraph><paragraph id="HB0096FF68C584CBEA0126F150603E981"><enum>(4)</enum><header>Regulations</header><text>Not
later than 1 year after the date of enactment of the
<short-title>College Cost Reduction and Access
Act</short-title>, the Secretary shall promulgate regulations in accordance
with the provisions of this
subsection.</text>
</paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></section><section id="HC0B7C70F20EE432F89E484A700FFDD00"><enum>305.</enum><header>Special
allowances</header>
<subsection id="HA4DBC5CFD02F41E699DDB94DFEF4001B"><enum>(a)</enum><header>Reduction of
lender special allowance payments</header><text>Section 438(b)(2)(I) (20 U.S.C.
1087–1(b)(2)(I)) is amended—</text>
<paragraph id="H4EF98FA224B64CD4A261A941C6F78359"><enum>(1)</enum><text>in clause (i), by
striking <quote>clauses (ii), (iii), and (iv)</quote> and inserting <quote>the
following clauses</quote>;</text>
</paragraph><paragraph id="H245C9BAEFA764AD5A9B3D259137C90B6"><enum>(2)</enum><text>in clause
(v)(III), by striking <quote>clauses (ii), (iii), and (iv)</quote> and
inserting <quote>clauses (ii), (iii), (iv), and (vi)</quote>; and</text>
</paragraph><paragraph id="H713CEF8D537E4CFA94E74D1CFC23C792"><enum>(3)</enum><text>by adding at the
end the following:</text>
<quoted-block id="H00FEC0FC360A45969FA391D0D793E840" style="OLC">
<clause id="HD8C5E2381853400CBD6C97548850926F"><enum>(vi)</enum><header>Reduction for
loans disbursed on or after October 1, 2007</header><text>With respect to a
loan on which the applicable interest rate is determined under section 427A(l)
and for which the first disbursement of principal is made on or after October
1, 2007, the special allowance payment computed pursuant to this subparagraph
shall be computed—</text>
<subclause id="H7B12F227123A431BA1D63E1DB79160D2"><enum>(I)</enum><text>for loans held by
an eligible lender not described in subclause (II)—</text>
<item id="HBDF09BB6672A4F70BBED5FA3F3CF7763"><enum>(aa)</enum><text>by
substituting <quote>1.79 percent</quote> for <quote>2.34 percent</quote> each
place the term appears in this subparagraph;</text>
</item><item id="HD9F3BB47537E4D098B26C8C3C932085"><enum>(bb)</enum><text>by
substituting <quote>1.19 percent</quote> for <quote>1.74 percent</quote> in
clause (ii);</text>
</item><item id="H6B01D52FC938401C9B8800580070003B"><enum>(cc)</enum><text>by
substituting <quote>1.79 percent</quote> for <quote>2.64 percent</quote> in
clause (iii); and</text>
</item><item id="H5B949F78053D4CF8A81DDED45F93D459"><enum>(dd)</enum><text>by
substituting <quote>2.09 percent</quote> for <quote>2.64 percent</quote> in
clause (iv); and</text>
</item></subclause><subclause id="H3165F656F7E84C27B874A1D6A8A5F8CE"><enum>(II)</enum><text>for loans held by
an eligible not-for-profit holder—</text>
<item id="H6AE87B353F5247D8B18B10157B559B99"><enum>(aa)</enum><text>by
substituting <quote>1.94 percent</quote> for <quote>2.34 percent</quote> each
place the term appears in this subparagraph;</text>
</item><item id="HFABCD5D9CC834547AF61008D95FE5232"><enum>(bb)</enum><text>by
substituting <quote>1.34 percent</quote> for <quote>1.74 percent</quote> in
clause (ii);</text>
</item><item id="H536F4FB33730498E9B1FE11780F9EE42"><enum>(cc)</enum><text>by
substituting <quote>1.94 percent</quote> for <quote>2.64 percent</quote> in
clause (iii); and</text>
</item><item id="H4D7FA5F948094F8C8DD3E81DC2839FE3"><enum>(dd)</enum><text>by
substituting <quote>2.24 percent</quote> for <quote>2.64 percent</quote> in
clause
(iv).</text>
</item></subclause></clause><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection display-inline="no-display-inline" id="HA81C3ED214434CA7BB1F5BA0E6FF81B1"><enum>(b)</enum><header>Increased loan
fees from lenders</header><text>Paragraph (2) of section 438(d) (20 U.S.C.
1087–1(d)(2)) is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H3936B15F52F1404BB4245B6E13D4C71E" style="OLC">
<paragraph id="HA4673EEE20CC458AB9E4A68801623D3F"><enum>(2)</enum><header>Amount of loan
fees</header><text>The amount of the loan fee which shall be deducted under
paragraph (1), but which may not be collected from the borrower, shall be equal
to—</text>
<subparagraph id="HBAC25A24B9264311BEB2BCD15B00E783"><enum>(A)</enum><text display-inline="yes-display-inline">except as provided in
<internal-xref idref="H9E4D8D2C82E94C6D93733974C19F73DA" legis-path="(2)(B)">subparagraph (B)</internal-xref>, 0.50 percent of the
principal amount of the loan with respect to any loan under this part for which
the first disbursement was made on or after October 1, 1993; and</text>
</subparagraph><subparagraph id="H9E4D8D2C82E94C6D93733974C19F73DA"><enum>(B)</enum><text display-inline="yes-display-inline">1.0 percent of the principal amount of the
loan with respect to any loan under this part for which the first disbursement
was made on or after October 1,
2007.</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection></section><section display-inline="no-display-inline" id="HB125D7C554404C5AB483B8D14E77DFF0" section-type="subsequent-section"><enum>306.</enum><header>Account maintenance
fees</header><text display-inline="no-display-inline">Section 458(b) (20 U.S.C.
1087h(b)) is amended by striking <quote>0.10 percent</quote> and inserting
<quote>0.06 percent</quote>.</text>
</section><enum>IV</enum><header>Loan
forgiveness</header>
<section id="H79BA305CF235482BB3BD361F2FE0F524"><enum>401.</enum><header>Loan
forgiveness for public service employees</header><text display-inline="no-display-inline">Section 455 (<external-xref legal-doc="usc" parsable-cite="usc/20/1087e">20 U.S.C. 1087e</external-xref>) is further
amended by adding at the end the following:</text>
<quoted-block id="H1F995D6A6929401D9498BC02DF985F6E" style="OLC">
<subsection id="H2429DCEBF4174B5FAA88A0C52003F5D"><enum>(m)</enum><header>Repayment plan
for public service employees</header>
<paragraph id="H88AF785FECA04DADBCB7E7B0C1C72F6C"><enum>(1)</enum><header>In
general</header><text>The Secretary shall cancel the balance of interest and
principal due, in accordance with paragraph (2), on any eligible Federal Direct
Loan not in default for a borrower who—</text>
<subparagraph id="HF13F0F79AB7949529143F7CB2C8281DD"><enum>(A)</enum><text>has made 120
monthly payments on the eligible Federal Direct Loan after October 1, 2007,
pursuant to any one or a combination of the following—</text>
<clause id="HCFB0D6EBAF974E7CB3A8E8CF7D4001F"><enum>(i)</enum><text>payments under an
income-based repayment plan under section 493C;</text>
</clause><clause id="HF8961601147C4A638B6D929E596DD9A7"><enum>(ii)</enum><text>payments under a
standard repayment plan under subsection (d)(1)(A), based on a 10-year
repayment period;</text>
</clause><clause id="H76468C2F6D3F45ED8FAE742B78DD1E99"><enum>(iii)</enum><text>monthly payments
under a repayment plan under subsection (d)(1) or (g) of not less than the
monthly amount calculated under subsection (d)(1)(A), based on a 10-year
repayment period; or</text>
</clause><clause id="H273413A5ADF04D40AFE5268848315E1B"><enum>(iv)</enum><text>payments under an
income contingent repayment plan under subsection (d)(1)(D); and</text>
</clause></subparagraph><subparagraph id="HA2D23ABF0249410DBEF644E831E033DA"><enum>(B)</enum><clause commented="no" display-inline="yes-display-inline" id="HE996B1AAFA6D4E058315429DE26B6140"><enum>(i)</enum><text>is employed in a public
service job at the time of such forgiveness; and</text>
</clause><clause id="HC7D81FB4C3AF4D9ABABFF06E6DC93214" indent="up1"><enum>(ii)</enum><text>has been employed in a public
service job during the period in which the borrower makes each of the 120
payments described in subparagraph (A).</text>
</clause></subparagraph></paragraph><paragraph id="H9B08E6BBCFDD463882C64E0087D57109"><enum>(2)</enum><header>Loan
cancellation amount</header><text>After the conclusion of the employment period
described in paragraph (1), the Secretary shall cancel the obligation to repay
the balance of principal and interest due as of the time of such cancellation,
on the eligible Federal Direct Loans made to the borrower under this
part.</text>
</paragraph><paragraph id="H228BE7A57380445E8FBC76B3C46297D2"><enum>(3)</enum><header>Definitions</header><text>In
this subsection:</text>
<subparagraph id="HDE0284920AFE415C960033B8F8CA099B"><enum>(A)</enum><header>Eligible federal
direct loan</header><text display-inline="yes-display-inline">The term
<term>eligible Federal Direct Loan</term> means a Federal Direct Stafford Loan,
Federal Direct PLUS Loan, or Federal Direct Unsubsidized Stafford Loan, or a
Federal Direct Consolidation Loan.</text>
</subparagraph><subparagraph id="H5CDF35BD9287474F8468A27281B3AB10"><enum>(B)</enum><header>Public service
job</header><text>The term <term>public service job</term> means—</text>
<clause id="H49A3561456164FF887DD72D6092767F8"><enum>(i)</enum><text display-inline="yes-display-inline">a full-time job in emergency management,
government, military service, public safety, law enforcement, public health,
public education (including early childhood education), social work in a public
child or family service agency, public interest law services (including
prosecution or public defense or legal advocacy in low-income communities at a
nonprofit organization), public child care, public service for individuals with
disabilities, public service for the elderly, public library sciences,
school-based library sciences and other school-based services, or at an
organization that is described in section 501(c)(3) of the Internal Revenue
Code of 1986 and exempt from taxation under section 501(a) of such Code;
or</text>
</clause><clause commented="no" id="H0FF65E459C364D96B600439BD6478F97"><enum>(ii)</enum><text>teaching as a
full-time faculty member at a Tribal College or University as defined in
section 316(b) and other faculty teaching in high-needs areas, as determined by
the
Secretary.</text>
</clause></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</section><enum>V</enum><header>Federal Perkins
Loans</header>
<section id="HEAA4A9AF3DBA430C8DFB22B3C01E16B3"><enum>501.</enum><header>Distribution of
late collections</header><text display-inline="no-display-inline">Section
466(b) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087ff">20 U.S.C. 1087ff(b)</external-xref>) is amended by striking <quote>March 31,
2012</quote> and inserting <quote>October 1, 2012</quote>.</text>
</section><enum>VI</enum><header>Need
Analysis</header>
<section id="H0BE1454263054CA9BB004C3FE539B113"><enum>601.</enum><header>Support for
working students</header>
<subsection id="HFDFABC5B15D9451BAFDF0831571E6103"><enum>(a)</enum><header>Dependent
students</header><text>Subparagraph (D) of section 475(g)(2) (20 U.S.C.
1087oo(g)(2)(D)) is amended to read as follows:</text>
<quoted-block id="H548DD22DC1114ED4B48F8D16A2AD6295" style="OLC">
<subparagraph id="H75895F3518E6491EA49CC671C9E20C7"><enum>(D)</enum><text>an income
protection allowance of the following amount (or a successor amount prescribed
by the Secretary under section 478)—</text>
<clause id="HCF0B939C35B34DBCAB71121CC202FB1"><enum>(i)</enum><text>for
academic year 2009–2010, $3,750;</text>
</clause><clause id="H35426A6091414EB8BC2FD46424F646B1"><enum>(ii)</enum><text>for academic year
2010–2011, $4,500;</text>
</clause><clause id="HAE68CCFACA8E408ABAF978333200AB8B"><enum>(iii)</enum><text>for academic
year 2011–2012, $5,250; and</text>
</clause><clause id="H31853895EA984804B3F2E2FBBE41DDEB"><enum>(iv)</enum><text>for academic year
2012–2013,
$6,000;</text>
</clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="HA404757CBC91491D98227D2DC9F38EF"><enum>(b)</enum><header>Independent
students without dependents other than a spouse</header><text>Clause (iv) of
section 476(b)(1)(A) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087pp">20 U.S.C. 1087pp(b)(1)(A)</external-xref>) is amended to read as
follows:</text>
<quoted-block id="H5DD037E25BCF43BBA31C174416FB91E8" style="OLC">
<clause id="HD27B7206DE404E3FB78841B656EA6224"><enum>(iv)</enum><text>an income
protection allowance of the following amount (or a successor amount prescribed
by the Secretary under section 478)—</text>
<subclause id="H4A9453C69416448F878E181D2F259CD9"><enum>(I)</enum><text>for single or
separated students, or married students where both are enrolled pursuant to
subsection (a)(2)—</text>
<item id="HF535AA68984941268FCAA9434129C646"><enum>(aa)</enum><text>for
academic year 2009–2010, $7,000;</text>
</item><item id="H3308C7FD73184CFFBE7D8BBF40395793"><enum>(bb)</enum><text>for
academic year 2010–2011, $7,780;</text>
</item><item id="HC6ECD78CB2E24751A9B4302FFA7261F"><enum>(cc)</enum><text>for
academic year 2011–2012, $8,550; and</text>
</item><item id="HE979E29810894E2AB7E2F5FE62C74000"><enum>(dd)</enum><text>for
academic year 2012–2013, $9,330; and</text>
</item></subclause><subclause id="HB6384F04E964476E912BC0761831252C"><enum>(II)</enum><text>for married
students where 1 is enrolled pursuant to subsection (a)(2)—</text>
<item id="H31BC10B54F7046F3B9F000B2BA0C5FA"><enum>(aa)</enum><text>for
academic year 2009–2010, $11,220;</text>
</item><item id="HA2D543C0741C46B2B5E700A7AE55395C"><enum>(bb)</enum><text>for
academic year 2010–2011, $12,460;</text>
</item><item id="HEB409B0C06DB484AAA3DE2EF893FAC39"><enum>(cc)</enum><text>for
academic year 2011–2012, $13,710; and</text>
</item><item id="HDBE2C68C13EE4EC6A843CCEE6954206"><enum>(dd)</enum><text>for
academic year 2012–2013,
$14,960;</text>
</item></subclause></clause><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection display-inline="no-display-inline" id="HD566DA7C8F6448D3BB9793FE3F775973"><enum>(c)</enum><header>Independent
students with dependents other than a spouse</header><text>Paragraph (4) of
section 477(b) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087qq">20 U.S.C. 1087qq(b)</external-xref>) is amended to read as follows:</text>
<quoted-block id="HD58DC477D4AD455800A85848DF7B0063" style="OLC">
<paragraph id="H288E4A51F2364A3D886776A0E8CA0466"><enum>(4)</enum><header>Income
protection allowance</header><text>The income protection allowance is
determined by the tables described in subparagraphs (A) through (D) (or a
successor table prescribed by the Secretary under section 478).</text>
<subparagraph id="H409BA2C144E244189CAE8B263FB1F541"><enum>(A)</enum><header>Academic year
2009–2010</header><text>For academic year 2009–2010, the income protection
allowance is determined by the following table:</text>
<table align-to-level="section" colsep="1" frame="topbot" line-rules="hor-ver" rowsep="0" rule-weights="4.4.4.0.0.0" subformat="S6211" table-template-name="Generic: 1 text, 6 num" table-type="">
<ttitle>Income Protection Allowance</ttitle>
<tgroup cols="7" grid-typeface="1.1" rowsep="0" thead-tbody-ldg-size="8.8.9" ttitle-size="8"><colspec align="center" coldef="fig" colname="column1" colsep="0" colwidth="89.25pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column2" colsep="0" colwidth="81.00pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column3" colsep="0" colwidth="82.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column4" colsep="0" colwidth="72.75pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column5" colsep="0" colwidth="73.75pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column6" colsep="0" colwidth="63.75pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column7" colwidth="54.50pt" min-data-value="7"></colspec>
<thead>
<row><entry align="center" colname="column1" morerows="0" namest="column1" rowsep="1">Family<linebreak></linebreak> Size</entry><entry align="center" colname="column2" morerows="0" nameend="column7" namest="column2" rowsep="1">Number in College</entry>
</row>
<row><entry align="center" colname="column1" morerows="0" namest="column1" rowsep="1">(including<linebreak></linebreak> student)</entry><entry align="center" colname="column2" morerows="0" namest="column2" rowsep="1">1</entry><entry align="center" colname="column3" morerows="0" namest="column3" rowsep="1">2</entry><entry align="center" colname="column4" morerows="0" namest="column4" rowsep="1">3</entry><entry align="center" colname="column5" morerows="0" namest="column5" rowsep="1">4</entry><entry align="center" colname="column6" morerows="0" namest="column6" rowsep="1">5</entry><entry align="center" colname="column7" morerows="0" namest="column7" rowsep="1">For each additional subtract:</entry>
</row>
</thead>
<tbody>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">$17,720</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">$14,690</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">3</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">22,060</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">19,050</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">$16,020</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">4</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">27,250</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">24,220</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">21,210</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">$18,170</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">5</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">32,150</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">29,120</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">26,100</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">23,070</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">$20,060</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">6</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">37,600</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">34,570</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">31,570</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">28,520</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">25,520</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0">$3,020</entry>
</row>
<row><entry align="left" colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">For each</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry align="left" colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">additional</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">add:</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">4,240</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">4,240</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">4,240</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">4,240</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">4,240</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
</tbody>
</tgroup>
</table>
</subparagraph><subparagraph id="HF92DD938691F4EA4AF1B5797BF5FD800"><enum>(B)</enum><header>Academic Year
2010–2011</header><text>For academic year 2010–2011, the income protection
allowance is determined by the following table:</text>
<table align-to-level="section" colsep="1" frame="topbot" line-rules="hor-ver" rowsep="0" rule-weights="4.4.4.0.0.0" subformat="S6211" table-template-name="Generic: 1 text, 6 num" table-type="">
<ttitle>Income Protection Allowance</ttitle>
<tgroup cols="7" grid-typeface="1.1" rowsep="0" thead-tbody-ldg-size="8.8.9" ttitle-size="8"><colspec align="center" coldef="fig" colname="column1" colsep="0" colwidth="88.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column2" colsep="0" colwidth="81.25pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column3" colsep="0" colwidth="83.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column4" colsep="0" colwidth="73.75pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column5" colsep="0" colwidth="74.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column6" colsep="0" colwidth="63.25pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column7" colwidth="54.25pt" min-data-value="7"></colspec>
<thead>
<row><entry align="center" colname="column1" morerows="0" namest="column1" rowsep="1">Family<linebreak></linebreak> Size</entry><entry align="center" colname="column2" morerows="0" nameend="column7" namest="column2" rowsep="1">Number in College</entry>
</row>
<row><entry align="center" colname="column1" morerows="0" namest="column1" rowsep="1">(including<linebreak></linebreak> student)</entry><entry align="center" colname="column2" morerows="0" namest="column2" rowsep="1">1</entry><entry align="center" colname="column3" morerows="0" namest="column3" rowsep="1">2</entry><entry align="center" colname="column4" morerows="0" namest="column4" rowsep="1">3</entry><entry align="center" colname="column5" morerows="0" namest="column5" rowsep="1">4</entry><entry align="center" colname="column6" morerows="0" namest="column6" rowsep="1">5</entry><entry align="center" colname="column7" morerows="0" namest="column7" rowsep="1">For each additional subtract:</entry>
</row>
</thead>
<tbody>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">$19,690</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">$16,330</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">3</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">24,510</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">21,160</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">$17,800</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">4</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">30,280</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">26,910</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">23,560</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">$20,190</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">5</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">35,730</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">32,350</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">29,000</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">25,640</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">$22,290</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">6</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">41,780</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">38,410</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">35,080</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">31,690</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">28,350</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0">$3,350</entry>
</row>
<row><entry align="left" colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">For each</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry align="left" colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">additional</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">add:</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">4,710</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">4,710</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">4,710</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">4,710</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">4,710</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
</tbody>
</tgroup>
</table>
</subparagraph><subparagraph display-inline="no-display-inline" id="HFAA60EEFDD5C457E9FAC9DFFA6EDCBFE"><enum>(C)</enum><header>Academic Year
2011–2012</header><text>For academic year 2011–2012, the income protection
allowance is determined by the following table:</text>
<table align-to-level="section" colsep="1" frame="topbot" line-rules="hor-ver" rowsep="0" rule-weights="4.4.4.0.0.0" subformat="S6211" table-template-name="Generic: 1 text, 6 num" table-type="">
<ttitle>Income Protection Allowance</ttitle>
<tgroup cols="7" grid-typeface="1.1" rowsep="0" thead-tbody-ldg-size="8.8.9" ttitle-size="8"><colspec align="center" coldef="fig" colname="column1" colsep="0" colwidth="87.00pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column2" colsep="0" colwidth="82.75pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column3" colsep="0" colwidth="85.75pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column4" colsep="0" colwidth="74.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column5" colsep="0" colwidth="71.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column6" colsep="0" colwidth="65.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column7" colwidth="54.25pt" min-data-value="7"></colspec>
<thead>
<row><entry align="center" colname="column1" morerows="0" namest="column1" rowsep="1">Family<linebreak></linebreak> Size</entry><entry align="center" colname="column2" morerows="0" nameend="column7" namest="column2" rowsep="1">Number in College</entry>
</row>
<row><entry align="center" colname="column1" morerows="0" namest="column1" rowsep="1">(including<linebreak></linebreak> student)</entry><entry align="center" colname="column2" morerows="0" namest="column2" rowsep="1">1</entry><entry align="center" colname="column3" morerows="0" namest="column3" rowsep="1">2</entry><entry align="center" colname="column4" morerows="0" namest="column4" rowsep="1">3</entry><entry align="center" colname="column5" morerows="0" namest="column5" rowsep="1">4</entry><entry align="center" colname="column6" morerows="0" namest="column6" rowsep="1">5</entry><entry align="center" colname="column7" morerows="0" namest="column7" rowsep="1">For each additional subtract:</entry>
</row>
</thead>
<tbody>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">$21,660</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">$17,960</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">3</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">26,960</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">23,280</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">$19,580</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">4</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">33,300</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">29,600</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">25,920</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">$22,210</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">5</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">39,300</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">35,590</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">31,900</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">28,200</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">$24,520</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">6</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">45,950</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">42,250</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">38,580</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">34,860</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">31,190</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0">$3,690</entry>
</row>
<row><entry align="left" colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">For each</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry align="left" colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">additional</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">add:</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">5,180</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">5,180</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">5,180</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">5,180</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">5,180</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
</tbody>
</tgroup>
</table>
</subparagraph><subparagraph display-inline="no-display-inline" id="H3F7C2A61F53C43FCB0F4C5E21BFD4F45"><enum>(D)</enum><header>Academic Year
2012–2013</header><text>For academic year 2012–2013, the income protection
allowance is determined by the following table:</text>
<table align-to-level="section" colsep="1" frame="topbot" line-rules="hor-ver" rowsep="0" rule-weights="4.4.4.0.0.0" subformat="S6211" table-template-name="Generic: 1 text, 6 num" table-type="">
<ttitle>Income Protection Allowance</ttitle>
<tgroup cols="7" grid-typeface="1.1" rowsep="0" thead-tbody-ldg-size="8.8.9" ttitle-size="8"><colspec align="center" coldef="fig" colname="column1" colsep="0" colwidth="87.00pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column2" colsep="0" colwidth="88.00pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column3" colsep="0" colwidth="80.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column4" colsep="0" colwidth="77.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column5" colsep="0" colwidth="64.50pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column6" colsep="0" colwidth="69.75pt" min-data-value="7"></colspec><colspec coldef="fig" colname="column7" colwidth="58.50pt" min-data-value="7"></colspec>
<thead>
<row><entry align="center" colname="column1" morerows="0" namest="column1" rowsep="1">Family<linebreak></linebreak> Size</entry><entry align="center" colname="column2" morerows="0" nameend="column7" namest="column2" rowsep="1">Number in College</entry>
</row>
<row><entry align="center" colname="column1" morerows="0" namest="column1" rowsep="1">(including<linebreak></linebreak> student)</entry><entry align="center" colname="column2" morerows="0" namest="column2" rowsep="1">1</entry><entry align="center" colname="column3" morerows="0" namest="column3" rowsep="1">2</entry><entry align="center" colname="column4" morerows="0" namest="column4" rowsep="1">3</entry><entry align="center" colname="column5" morerows="0" namest="column5" rowsep="1">4</entry><entry align="center" colname="column6" morerows="0" namest="column6" rowsep="1">5</entry><entry align="center" colname="column7" morerows="0" namest="column7" rowsep="1">For each additional subtract:</entry>
</row>
</thead>
<tbody>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">$23,630</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">$19,590</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">3</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">29,420</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">25,400</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">$21,360</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">4</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">36,330</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">32,300</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">28,280</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">$24,230</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">5</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">42,870</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">38,820</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">34,800</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">30,770</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">$26,750</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">6</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">50,130</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">46,100</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">42,090</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">38,030</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">34,020</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0">$4,020</entry>
</row>
<row><entry align="left" colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">For each</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry align="left" colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">additional</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0"></entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
<row><entry colname="column1" leader-modify="clr-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">add:</entry><entry align="right" colname="column2" leader-modify="clr-ldr" rowsep="0">5,660</entry><entry align="right" colname="column3" leader-modify="clr-ldr" rowsep="0">5,660</entry><entry align="right" colname="column4" leader-modify="clr-ldr" rowsep="0">5,660</entry><entry align="right" colname="column5" leader-modify="clr-ldr" rowsep="0">5,660</entry><entry align="right" colname="column6" leader-modify="clr-ldr" rowsep="0">5,660</entry><entry align="right" colname="column7" leader-modify="clr-ldr" rowsep="0"></entry>
</row>
</tbody>
</tgroup></table>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H6846F9BF1C3345C8886FC8AF8DFDF2C6"><enum>(d)</enum><header>Updated tables
and amounts</header><text>Section 478(b) (<external-xref legal-doc="usc" parsable-cite="usc/20/1087rr">20 U.S.C. 1087rr(b)</external-xref>) is
amended—</text>
<paragraph id="H00C68B7D904D44AAA587F412D5F39021"><enum>(1)</enum><text>by striking
paragraph (1) and inserting the following:</text>
<quoted-block id="HF397FE7771634D2088DCC75509A90540" style="OLC">
<paragraph id="HD6202BA616E549BAAA9815F4A7702D58"><enum>(1)</enum><header>Revised
tables</header>
<subparagraph id="H483985AD522D428C8CE19030141723AC"><enum>(A)</enum><header>In
general</header><text>For each academic year after academic year 2008–2009, the
Secretary shall publish in the Federal Register a revised table of income
protection allowances for the purpose of sections 475(c)(4) and 477(b)(4),
subject to subparagraphs (B) and (C).</text>
</subparagraph><subparagraph id="HFEA9F578DBDC4DFC892390C7393F2C78"><enum>(B)</enum><header>Table for
independent students</header>
<clause id="H15EAF7AF202A4A01AEAD553DBA9F43B1"><enum>(i)</enum><header>Academic years
2009–2010 through 2012–2013</header><text>For each of the academic years
2009–2010 through 2012–2013, the Secretary shall not develop a revised table of
income protection allowances under section 477(b)(4) and the table specified
for such academic year under subparagraphs (A) through (D) of such section
shall apply.</text>
</clause><clause id="H3483C592C62C435A9886F845F0891685"><enum>(ii)</enum><header>Other academic
years</header><text>For each academic year after academic year 2012–2013, the
Secretary shall develop the revised table of income protection allowances by
increasing each of the dollar amounts contained in the table of income
protection allowances under section 477(b)(4)(D) by a percentage equal to the
estimated percentage increase in the Consumer Price Index (as determined by the
Secretary) between December 2011 and the December next preceding the beginning
of such academic year, and rounding the result to the nearest $10.</text>
</clause></subparagraph><subparagraph id="H47B9F3975CA24BB7A96130A03E6841A"><enum>(C)</enum><header>Table for
parents</header><text>For each academic year after academic year 2008–2009, the
Secretary shall develop the revised table of income protection allowances under
section 475(c)(4) by increasing each of the dollar amounts contained in the
table by a percentage equal to the estimated percentage increase in the
Consumer Price Index (as determined by the Secretary) between December 1992 and
the December next preceding the beginning of such academic year, and rounding
the result to the nearest $10.</text>
</subparagraph></paragraph><after-quoted-block>;
and</after-quoted-block></quoted-block>
</paragraph><paragraph id="HA5121540540043C39F3697C06EBA857"><enum>(2)</enum><text>in
paragraph (2), by striking <quote>shall be developed</quote> and all that
follows through the period at the end and inserting <quote>shall be developed
for each academic year after academic year 2012–2013, by increasing each of the
dollar amounts contained in such section for academic year 2012–2013 by a
percentage equal to the estimated percentage increase in the Consumer Price
Index (as determined by the Secretary) between December 2011 and the December
next preceding the beginning of such academic year, and rounding the result to
the nearest $10.</quote>.</text>
</paragraph></subsection><subsection id="H9E12015C210F471DA18FFAE2987308E2"><enum>(e)</enum><header>Effective
date</header><text>The amendments made by this section shall be effective on
July 1, 2009.</text>
</subsection></section><section commented="no" display-inline="no-display-inline" id="HD6DA981427BA47ECBEBDF72E799DA5A2" section-type="subsequent-section"><enum>602.</enum><header display-inline="yes-display-inline">Simplified needs test and automatic zero
improvements</header>
<subsection commented="no" display-inline="no-display-inline" id="H0BFE2455F10741B6BE34F3C188DD1125"><enum>(a)</enum><header display-inline="yes-display-inline">Simplified Needs Test</header><text display-inline="yes-display-inline">Section 479 (<external-xref legal-doc="usc" parsable-cite="usc/20/1087ss">20 U.S.C. 1087ss</external-xref>) is
amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HD52F370841344A8C00ACC1C405875626"><enum>(1)</enum><text display-inline="yes-display-inline">in subsection (b)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HAD6E6F9B4EFB4D58854BDD00137167A5"><enum>(A)</enum><text display-inline="yes-display-inline">in paragraph (1)(A)(i)—</text>
<clause commented="no" display-inline="no-display-inline" id="H4BE9BEC87B774E499069BB7BA5BB93F"><enum>(i)</enum><text display-inline="yes-display-inline">in subclause (II), by striking
<quote>or</quote> after the semicolon;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="HC14D015A00A24957B705BCC1FC00C700"><enum>(ii)</enum><text display-inline="yes-display-inline">by redesignating subclause (III) as
subclause (IV);</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H39A00249545F499989C5A300435F3BBA"><enum>(iii)</enum><text display-inline="yes-display-inline">by inserting after subclause (II) the
following:</text>
<quoted-block display-inline="no-display-inline" id="H72BB682235A34736BB0035F6927E9901" style="OLC">
<subclause commented="no" display-inline="no-display-inline" id="HB95A9E46839C4204BE52DD7400B14270"><enum>(III)</enum><text display-inline="yes-display-inline">1 of whom is a dislocated worker;
or</text>
</subclause><after-quoted-block>; and</after-quoted-block></quoted-block>
</clause><clause commented="no" display-inline="no-display-inline" id="H42727546966341DE976EF330C446F43E"><enum>(iv)</enum><text display-inline="yes-display-inline">in subclause (IV) (as redesignated by
clause (ii)), by striking <quote>12-month</quote> and inserting
<quote>24-month</quote>; and</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HBD6F6881E8204B37883130CCC1EE51EE"><enum>(B)</enum><text display-inline="yes-display-inline">in paragraph (1)(B)(i)—</text>
<clause commented="no" display-inline="no-display-inline" id="H78DA76A86DC341E58EA24D0943B66BA7"><enum>(i)</enum><text display-inline="yes-display-inline">in subclause (II), by striking
<quote>or</quote> after the semicolon;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H077F5C45288C4F3C9BA3FECA1BA2BDD"><enum>(ii)</enum><text display-inline="yes-display-inline">by redesignating subclause (III) as
subclause (IV);</text>
</clause><clause commented="no" display-inline="no-display-inline" id="H7FB8B44F8450427900534202BD51F26D"><enum>(iii)</enum><text display-inline="yes-display-inline">by inserting after subclause (II) the
following:</text>
<quoted-block display-inline="no-display-inline" id="H5E9CC388A84249CABC00AA00EA007479" style="OLC">
<subclause commented="no" display-inline="no-display-inline" id="HA5BD34FECADF4691870037D7AB1EF0ED"><enum>(III)</enum><text display-inline="yes-display-inline">1 of whom is a dislocated worker;
or</text>
</subclause><after-quoted-block>; and</after-quoted-block></quoted-block>
</clause><clause commented="no" display-inline="no-display-inline" id="H2A9DF0D51EDF4594BA127F88A902B700"><enum>(iv)</enum><text display-inline="yes-display-inline">in subclause (IV) (as redesignated by
clause (ii)), by striking <quote>12-month</quote> and inserting
<quote>24-month</quote>;</text>
</clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="HDB4683F30A27481AA2BE4581BDF748C3"><enum>(2)</enum><text display-inline="yes-display-inline">in subsection (c)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H48916B18889449E7AE2FFA3920F96B8D"><enum>(A)</enum><text display-inline="yes-display-inline">in paragraph (1)—</text>
<clause commented="no" display-inline="no-display-inline" id="H6CAE2A7B93FE408ABA1497E0AD23C776"><enum>(i)</enum><text display-inline="yes-display-inline">in subparagraph (A)—</text>
<subclause commented="no" display-inline="no-display-inline" id="H27A69E09E77348E5A25490A9ABA3C4E"><enum>(I)</enum><text display-inline="yes-display-inline">in clause (ii), by striking
<quote>or</quote> after the semicolon;</text>
</subclause><subclause commented="no" display-inline="no-display-inline" id="HB7C66BF574A34130A152EE1871FF2C09"><enum>(II)</enum><text display-inline="yes-display-inline">by redesignating clause (iii) as clause
(iv);</text>
</subclause><subclause commented="no" display-inline="no-display-inline" id="H6EA9606394F44D1596CAD85B9D1363AD"><enum>(III)</enum><text display-inline="yes-display-inline">by inserting after clause (ii) the
following:</text>
<quoted-block display-inline="no-display-inline" id="H67517EA2531B4E01B5C7232F7D14D82" style="OLC">
<clause commented="no" display-inline="no-display-inline" id="HFA78515F43314BD388D3350294C69DAC"><enum>(iii)</enum><text display-inline="yes-display-inline">1 of whom is a dislocated worker;
or</text>
</clause><after-quoted-block>; and</after-quoted-block></quoted-block>
</subclause><subclause commented="no" display-inline="no-display-inline" id="H01F1FA8304BD497B9D8217963F7FB8F1"><enum>(IV)</enum><text display-inline="yes-display-inline">in clause (iv) (as redesignated by
subclause (II)), by striking <quote>12-month</quote> and inserting
<quote>24-month</quote>; and</text>
</subclause></clause><clause commented="no" display-inline="no-display-inline" id="HF85D9A48492749918DBAC9ECDADE141F"><enum>(ii)</enum><text display-inline="yes-display-inline">in subparagraph (B), by striking
<quote>$20,000</quote> and inserting <quote>$30,000</quote>; and</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HB98A18A89A45480B98BCEF9660E951C0"><enum>(B)</enum><text display-inline="yes-display-inline">in paragraph (2)—</text>
<clause commented="no" display-inline="no-display-inline" id="HE4D605E78F8D4BBAA5D011A2F600002E"><enum>(i)</enum><text display-inline="yes-display-inline">in subparagraph (A)—</text>
<subclause commented="no" display-inline="no-display-inline" id="H61F9F746F7ED42D79EC67F00F398B9B"><enum>(I)</enum><text display-inline="yes-display-inline">in clause (ii), by striking
<quote>or</quote> after the semicolon;</text>
</subclause><subclause commented="no" display-inline="no-display-inline" id="H5A12A391E8D442C689D71DCDC594FCC0"><enum>(II)</enum><text display-inline="yes-display-inline">by redesignating clause (iii) as clause
(iv);</text>
</subclause><subclause commented="no" display-inline="no-display-inline" id="H64650A384ECE4B90AA0806A2DFC34474"><enum>(III)</enum><text display-inline="yes-display-inline">by inserting after clause (ii) the
following:</text>
<quoted-block display-inline="no-display-inline" id="H96A4CFCE472947608658C89C683DE2E6" style="OLC">
<clause commented="no" display-inline="no-display-inline" id="HA861F888646B49B7A34CBD1313E8DD27"><enum>(iii)</enum><text display-inline="yes-display-inline">1 of whom is a dislocated worker;
or</text>
</clause><after-quoted-block>; and</after-quoted-block></quoted-block>
</subclause><subclause commented="no" display-inline="no-display-inline" id="H147248F9103B42E6A3DED2E0AEB2FB03"><enum>(IV)</enum><text display-inline="yes-display-inline">in clause (iv) (as redesignated by
subclause (II)), by striking <quote>12-month</quote> and inserting
<quote>24-month</quote>; and</text>
</subclause></clause><clause commented="no" display-inline="no-display-inline" id="H43E658F82334446EAAEAE7C2ED054807"><enum>(ii)</enum><text display-inline="yes-display-inline">in subparagraph (B), by striking
<quote>$20,000</quote> and inserting <quote>$30,000</quote>; and</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HE8D351B1B61D4BF500158FA46D40C28C"><enum>(C)</enum><text display-inline="yes-display-inline">in the flush matter following paragraph
(2)(B), by adding at the end the following: <quote>The Secretary shall annually
adjust the income level necessary to qualify an applicant for the zero expected
family contribution. The income level shall be adjusted according to increases
in the Consumer Price Index, as defined in section 478(f).</quote>; and</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="H7170678A5F214B2BBE32B2653B53A5B1"><enum>(3)</enum><text display-inline="yes-display-inline">in subsection (d)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HE793E9FCAE6D456BAEB803EE3391A410"><enum>(A)</enum><text display-inline="yes-display-inline">by redesignating paragraphs (1) through (6)
as subparagraphs (A) through (F), respectively and moving the margins of such
subparagraphs 2 ems to the right; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="H65AA50B5732B4F61AF2914007648EB05"><enum>(B)</enum><text display-inline="yes-display-inline">by striking <quote>(d)
<header-in-text level="subsection" style="OLC">Definition</header-in-text></quote> and all that follows through
<quote>the term</quote> and inserting the following:</text>
<quoted-block display-inline="no-display-inline" id="H527C674EE8B84AD8926664428BB18C7B" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="HD0E7C037715841059B610054D8B55005"><enum>(d)</enum><header display-inline="yes-display-inline">Definitions</header><text display-inline="yes-display-inline">In this section:</text>
<paragraph commented="no" display-inline="no-display-inline" id="H0B46792CFDDA41E5B737B86C00C691BA"><enum>(1)</enum><header display-inline="yes-display-inline">Dislocated worker</header><text display-inline="yes-display-inline">The term <term>dislocated worker</term> has
the meaning given the term in section 101 of the Workforce Investment Act of
1998 (<external-xref legal-doc="usc" parsable-cite="usc/29/2801">29 U.S.C. 2801</external-xref>).</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HD70B1521B8724D858C006E6F45BE1E4D"><enum>(2)</enum><header display-inline="yes-display-inline">Means-tested Federal Benefit
Program</header><text display-inline="yes-display-inline">The
term</text>
</paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subparagraph></paragraph></subsection><subsection id="H46426DEB582849B8926181BC8E12CA00"><enum>(b)</enum><header>Effective
Date</header><text>The amendments made by this section shall be effective on
July 1, 2009.</text>
</subsection></section><section id="H2357416E9D8A472EA3345FA354D8E323"><enum>603.</enum><header>Discretion of
student financial aid administrators</header>
<subsection id="HC1BB1AF933C74236A2BB41F3F19BAFDE"><enum>(a)</enum><header>Amendments</header><text display-inline="yes-display-inline">The third sentence of section 479A(a) (20
U.S.C. 1087tt(a)) is amended—</text>
<paragraph id="H6AB3F796521D4E609CFFF4C9A660A2"><enum>(1)</enum><text>by
inserting <quote>or an independent student</quote> after <quote>family
member</quote>;</text>
</paragraph><paragraph id="H54331FE05E35457F9746BE21547840F1"><enum>(2)</enum><text>by inserting
<quote>a family member who is a dislocated worker (as defined in section 101 of
the Workforce Investment Act of 1998),</quote> before <quote>the number of
parents</quote>; and</text>
</paragraph><paragraph id="H9080FBFA36B44A10B54EB43E37FE5B"><enum>(3)</enum><text>by
inserting <quote>a change in housing status that results in an individual being
homeless (as defined in section 103 of the McKinney-Vento Homeless Assistance
Act),</quote> after <quote>under section 487,</quote>.</text>
</paragraph></subsection><subsection commented="no" id="H785563B550434216B064AA0078F4433B"><enum>(b)</enum><header>Effective
date</header><text>The amendments made by this section shall take effect on
July 1, 2009.</text>
</subsection></section><section id="H751D955B73C1443DB4C8C3B99B00E270"><enum>604.</enum><header>Definitions</header>
<subsection id="HABAAC0F3BE3049F6AD104CA9B87F4398"><enum>(a)</enum><header>In
general</header><text>Section 480 (<external-xref legal-doc="usc" parsable-cite="usc/20/1087vv">20 U.S.C. 1087vv</external-xref>) is amended—</text>
<paragraph id="HD1FE738AAA4D44B9BCD2A48FDF1F27F6"><enum>(1)</enum><text>in subsection
(a)(2)—</text>
<subparagraph id="H78FFF0EB4CF34F32B16C2800A324E17E"><enum>(A)</enum><text>by striking
<quote>and no portion</quote> and inserting <quote>no portion</quote>;
and</text>
</subparagraph><subparagraph id="HE314B23B69F64F66BCD8DE9F6F00E67F"><enum>(B)</enum><text>by inserting
<quote>and no distribution from any qualified education benefit described in
subsection (f)(3) that is not subject to Federal income tax,</quote> after
<quote>1986,</quote>;</text>
</subparagraph></paragraph><paragraph id="H865BF26FD1D448CCA2DA08DDE7C46967"><enum>(2)</enum><text>by striking
subsection (b) and inserting the following:</text>
<quoted-block display-inline="no-display-inline" id="H3A7012140B1A49DDA5FC31FFCB277878" style="OLC">
<subsection id="H3A8B1E2B583D4D9484AB008DEB515EFD"><enum>(b)</enum><header>Untaxed income
and benefits</header>
<paragraph id="H8D57B6C9319A42AB9B5EBCC7617F1FC5"><enum>(1)</enum><text>The term
<term>untaxed income and benefits</term> means—</text>
<subparagraph id="HB74FDE32887C40889509BACCCA8F0008"><enum>(A)</enum><text>child support
received;</text>
</subparagraph><subparagraph id="H0E7215659C0F4CC8836BB1BCDCD4A22D"><enum>(B)</enum><text>workman's
compensation;</text>
</subparagraph><subparagraph id="HF690589BA40B44679328884CAC4D27EB"><enum>(C)</enum><text>veteran's benefits
such as death pension, dependency, and indemnity compensation, but excluding
veterans’ education benefits as defined in subsection (c);</text>
</subparagraph><subparagraph id="HFC373AD7214F4DF7A6E4897C00F5B4FE"><enum>(D)</enum><text>interest on
tax-free bonds;</text>
</subparagraph><subparagraph id="H0FAF34984245498F8C3114504BE689F8"><enum>(E)</enum><text>housing, food, and
other allowances (excluding rent subsidies for low-income housing) for
military, clergy, and others (including cash payments and cash value of
benefits);</text>
</subparagraph><subparagraph id="HEE66AA8A08ED4B16BBD9F8EBF27CE621"><enum>(F)</enum><text>cash support or
any money paid on the student<quote>s behalf, except, for dependent students,
funds provided by the student</quote>s parents;</text>
</subparagraph><subparagraph id="H69F4A6BE1D1144F885F3AC8F89300494"><enum>(G)</enum><text>untaxed portion of
pensions;</text>
</subparagraph><subparagraph id="H31110B4BE2DF42BB8B0535D53DE9342D"><enum>(H)</enum><text>payments to
individual retirement accounts and Keogh accounts excluded from income for
Federal income tax purposes; and</text>
</subparagraph><subparagraph id="HA7CF5D8EB33C4225B82CCF600050D600"><enum>(I)</enum><text>any other untaxed
income and benefits, such as Black Lung Benefits, Refugee Assistance, or
railroad retirement benefits, or benefits received through participation in
employment and training activities under title I of the Workforce Investment
Act of 1998 (<external-xref legal-doc="usc" parsable-cite="usc/29/2801">29 U.S.C. 2801 et seq.</external-xref>).</text>
</subparagraph></paragraph><paragraph id="H37ACB130DA8F48898C77FDF450513C68"><enum>(2)</enum><text>The term
<term>untaxed income and benefits</term> shall not include the amount of
additional child tax credit claimed for Federal income tax
purposes.</text>
</paragraph></subsection><after-quoted-block>;</after-quoted-block></quoted-block>
</paragraph><paragraph id="H49B2B9D577D94B3A8F003C77FF718B81"><enum>(3)</enum><text>in subsection
(d)—</text>
<subparagraph id="HFDB7EE1EE1AB4CADA4A2CA61C582D2E2"><enum>(A)</enum><text>by redesignating
paragraphs (1), (2), (3) through (6), and (7) as subparagraphs (A), (B), (D)
through (G), and (I), respectively, and indenting appropriately;</text>
</subparagraph><subparagraph id="HC107E63B679D4E899C00749E4FD71EC4"><enum>(B)</enum><text>by striking
<quote>The term</quote> and inserting the following:</text>
<quoted-block display-inline="no-display-inline" id="HA12043DB2C494008A86BC0152CF6FE6" style="OLC">
<paragraph id="H08799688135640C9A741CE263041756E"><enum>(1)</enum><header>Definition</header><text>The
term</text>
</paragraph><after-quoted-block>;</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="HC8CA2F2DECCE42329C1962FF532C4120"><enum>(C)</enum><text>by striking
subparagraph (B) (as redesignated by subparagraph (A)) and inserting the
following:</text>
<quoted-block id="H4024B000727D40638ED107A454D60074" style="OLC">
<subparagraph id="H71FE33768E234B1EABBF5054F156539E"><enum>(B)</enum><text>is an orphan, in
foster care, or a ward of the court, at any time when the individual is 13
years of age or older;</text>
</subparagraph><subparagraph id="H1E45B4CBF420431D8191AF7655E36ECD"><enum>(C)</enum><text>is an emancipated
minor or is in legal guardianship as determined by a court of competent
jurisdiction in the individual’s State of legal
residence;</text>
</subparagraph><after-quoted-block>;</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="HDD7EC2F58D964D57BD4F00DC00F4B54"><enum>(D)</enum><text>in subparagraph (G)
(as redesignated by subparagraph (A)), by striking <quote>or</quote> after the
semicolon;</text>
</subparagraph><subparagraph id="HE417F5BA8E294A33B5B700E982E50000"><enum>(E)</enum><text>by inserting after
subparagraph (G) (as redesignated by subparagraph (A)) the following:</text>
<quoted-block id="H1834D707419D420B8BFFAED93B6BC57" style="OLC">
<subparagraph id="HFB119985C5C741C9AF92E6ADE5A2B8D9"><enum>(H)</enum><text>has been verified
during the school year in which the application is submitted as either an
unaccompanied youth who is a homeless child or youth (as such terms are defined
in section 725 of the McKinney-Vento Homeless Assistance Act), or as
unaccompanied, at risk of homelessness, and self-supporting, by—</text>
<clause id="H903B60C1D4834C559723E015EF00774B"><enum>(i)</enum><text>a
local educational agency homeless liaison, designated pursuant to section
722(g)(1)(J)(ii) of the McKinney-Vento Homeless Assistance Act;</text>
</clause><clause id="H6EC666A81A094EE80075C7A6CD3BE055"><enum>(ii)</enum><text>the director of a
program funded under the Runaway and Homeless Youth Act or a designee of the
director;</text>
</clause><clause id="H3C5DE23BF1DE484B96006B2E9FFFC65B"><enum>(iii)</enum><text>the director of
a program funded under subtitle B of title IV of the McKinney-Vento Homeless
Assistance Act (relating to emergency shelter grants) or a designee of the
director; or</text>
</clause><clause id="H9A82AD723A434515AC685214508FB909"><enum>(iv)</enum><text>a
financial aid administrator; or</text>
</clause></subparagraph><after-quoted-block>;
and</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="H3D4539F98FB5457FA1A8A83D837F00D0"><enum>(F)</enum><text>by adding at the
end the following:</text>
<quoted-block id="H90AE7B80C76E46998F9669F271F700DC" style="OLC">
<paragraph id="H04BD85362830441291FB523CA1116B2B"><enum>(2)</enum><header>Simplifying the
dependency override process</header><text>A financial aid administrator may
make a determination of independence under paragraph (1)(I) based upon a
documented determination of independence that was previously made by another
financial aid administrator under such paragraph in the same award
year.</text>
</paragraph><after-quoted-block>;</after-quoted-block></quoted-block>
</subparagraph></paragraph><paragraph id="H16F0F9C6701145E700D45C224E6C2AD"><enum>(4)</enum><text>in
subsection (e)—</text>
<subparagraph id="HDD406DDD21C84D4CA9ADBE4E6D115022"><enum>(A)</enum><text>in paragraph (3),
by striking <quote>and</quote> after the semicolon;</text>
</subparagraph><subparagraph id="H03928A69E9F446958CBFAACF77402433"><enum>(B)</enum><text>in paragraph (4),
by striking the period at the end and inserting <quote>; and</quote>;
and</text>
</subparagraph><subparagraph id="H3098D16AB4C843C7A2BAAAF4CA47F6"><enum>(C)</enum><text>by adding at the end
the following:</text>
<quoted-block id="HCC8881DC14DF450DB73EE62550940069" style="OLC">
<paragraph id="HEF26A389687841F7B446209226F68FC7"><enum>(5)</enum><text>special combat
pay.</text>
</paragraph><after-quoted-block>;</after-quoted-block></quoted-block>
</subparagraph></paragraph><paragraph id="H9DFD956B860E4789B69F5ED2C305BAD0"><enum>(5)</enum><text>in subsection (f),
by striking paragraph (3) and inserting the following:</text>
<quoted-block id="H6F5162A1A4004F95966D7700002CC5D7" style="OLC">
<paragraph id="H6FBCB3785213479CB5FBCDC6C8C30379"><enum>(3)</enum><text>A qualified
education benefit shall be considered an asset of—</text>
<subparagraph id="HA20F5F5793994952A868DC10658051F7"><enum>(A)</enum><text>the student if the
student is an independent student; or</text>
</subparagraph><subparagraph id="HB85A631D1923489E8F14A32B9D6E7E2D"><enum>(B)</enum><text>the parent if the
student is a dependent student, regardless of whether the owner of the account
is the student or the
parent.</text>
</subparagraph></paragraph><after-quoted-block>;</after-quoted-block></quoted-block>
</paragraph><paragraph id="HA4B5ACC91E3944A3B7E274C317C6FC92"><enum>(6)</enum><text>in subsection
(j)—</text>
<subparagraph id="H6C637C9BC16745C99266AF7D6C592D8E"><enum>(A)</enum><text>in paragraph (2),
by inserting <quote>, or a distribution that is not includable in gross income
under section 529 of such Code, under another prepaid tuition plan offered by a
State, or under a Coverdell education savings account under section 530 of such
Code,</quote> after <quote>1986</quote>; and</text>
</subparagraph><subparagraph id="H5AA9AA530E5B4D72B8A3AC87D989D45"><enum>(B)</enum><text>by adding at the
end the following:</text>
<quoted-block id="H6041A57445F649EE9D2DAEF1B1E5D9E4" style="OLC">
<paragraph id="H4D530F80814148718E000068203D413B"><enum>(4)</enum><text>Notwithstanding
paragraph (1), special combat pay shall not be treated as estimated financial
assistance for purposes of section
471(3).</text>
</paragraph><after-quoted-block>;
and</after-quoted-block></quoted-block>
</subparagraph></paragraph><paragraph id="HB852D7FDFEC74A669D9FCE08E911D9C"><enum>(7)</enum><text>by
adding at the end the following:</text>
<quoted-block id="H45DA1CCB92EF43E5BCD28054915515F4" style="OLC">
<subsection id="HED07E0B7FCDA4B64855366DDD515B20"><enum>(n)</enum><header>Special combat
pay</header><text>The term <term>special combat pay</term> means pay received
by a member of the Armed Forces because of exposure to a hazardous
situation.</text>
</subsection><after-quoted-block>.
</after-quoted-block></quoted-block>
</paragraph></subsection><subsection commented="no" id="H921A0D0F5F6D4ABA96987254953CCEF0"><enum>(b)</enum><header>Effective
Date</header><text>The amendments made by this section shall be effective on
July 1, 2009.</text>
</subsection></section><enum>VII</enum><header>COMPETITIVE LOAN
AUCTION PILOT PROGRAM</header>
<section id="H5961A18488E44DDF9E4364B3669C70D5"><enum>701.</enum><header>Competitive
loan auction pilot program</header><text display-inline="no-display-inline">Title IV (<external-xref legal-doc="usc" parsable-cite="usc/20/1070">20 U.S.C. 1070 et seq.</external-xref>) is further
amended by adding at the end the following:</text>
<quoted-block id="HF15BC29A0C4C417E007D6BD5616CA401" style="OLC">
<part id="H6C3E744C34034A6DA330E2703000254F"><enum>I</enum><header>Competitive Loan
Auction Pilot Program</header>
<section id="HB6E704CEA8824C539F207E26DD86463"><enum>499.</enum><header>Competitive loan
auction pilot program</header>
<subsection id="H8944B8DE9B4A4FC5A140009FAC653D65"><enum>(a)</enum><header>Definitions</header><text>In
this section:</text>
<paragraph id="H706D79F9AE074D599C2DE8D555E3E81"><enum>(1)</enum><header>Eligible federal
plus loan</header><text>The term <term>eligible Federal PLUS Loan</term> means
a loan described in section 428B made to a parent of a dependent student who is
a new borrower on or after July 1, 2009.</text>
</paragraph><paragraph id="H8F15A589DCF54C9A98C25377C7F52CE5"><enum>(2)</enum><header>Eligible
lender</header><text>The term <term>eligible lender</term> has the meaning
given the term in section 435.</text>
</paragraph></subsection><subsection id="HA0C427D8F5B94346A3AEFB7E6B64A03"><enum>(b)</enum><header>Pilot
program</header><text>The Secretary shall carry out a pilot program under which
the Secretary establishes a mechanism for an auction of eligible Federal PLUS
Loans in accordance with this subsection. The pilot program shall meet the
following requirements:</text>
<paragraph id="H7037C3CBFCEB4857912E3F469C92A88B"><enum>(1)</enum><header>Planning and
implementation</header><text display-inline="yes-display-inline">During the
period beginning on the date of enactment of this section and ending on June
30, 2009, the Secretary shall plan and implement the pilot program under this
subsection. During the planning and implementation, the Secretary shall consult
with other Federal agencies with knowledge of, and experience with, auction
programs, including the Federal Communication Commission and the Department of
the Treasury.</text>
</paragraph><paragraph id="HCD00207B6CD6434084A73D475DE970BB"><enum>(2)</enum><header>Origination and
disbursement; applicability of section 428b</header><text>Beginning on July 1,
2009, the Secretary shall arrange for the origination and disbursement of all
eligible Federal PLUS Loans in accordance with the provisions of this
subsection and the provisions of section 428B that are not inconsistent with
this subsection.</text>
</paragraph><paragraph id="H806B00D017984DCE86B787E2131300E0"><enum>(3)</enum><header>Loan origination
mechanism</header><text>The Secretary shall establish a loan origination
auction mechanism that meets the following requirements:</text>
<subparagraph id="HE456024B51F543B09DB6CA00D7557B14"><enum>(A)</enum><header>Auction for each
State</header><text>The Secretary administers an auction under this paragraph
for each State, under which eligible lenders compete to originate eligible
Federal PLUS Loans under this paragraph at all institutions of higher education
within such State.</text>
</subparagraph><subparagraph id="H3301104D81B941B2B8F92CE9FF9E7683"><enum>(B)</enum><header>Prequalification
process</header><text>The Secretary establishes a prequalification process for
eligible lenders desiring to participate in an auction under this paragraph
that contains, at a minimum—</text>
<clause id="H9E52A5F6FE3047678103146133AD5BDC"><enum>(i)</enum><text>a
set of borrower benefits and servicing requirements each eligible lender shall
meet in order to participate in such an auction; and</text>
</clause><clause id="H57EFAE75CB9B406183AA500094006DAD"><enum>(ii)</enum><text>an assessment of
each such eligible lender’s capacity, including capital capacity, to
participate effectively.</text>
</clause></subparagraph><subparagraph id="H0BB73A5B06E94F52A6066C33D9EF9C5B"><enum>(C)</enum><header>Timing and
origination</header><text>Each State auction takes place every 2 years, and the
eligible lenders with the winning bids for the State are the only eligible
lenders permitted to originate eligible Federal PLUS Loans made under this
paragraph for the cohort of students at the institutions of higher education
within the State until the students graduate from or leave the institutions of
higher education.</text>
</subparagraph><subparagraph id="HEE23CE216A564666A91EC08BDB8456CE"><enum>(D)</enum><header>Bids</header><text>Each
eligible lender’s bid consists of the amount of the special allowance payment
(after the application of section 438(b)(2)(I)(v)) the eligible lender proposes
to accept from the Secretary with respect to the eligible Federal PLUS Loans
made under this paragraph in lieu of the amount determined under section
438(b)(2)(I).</text>
</subparagraph><subparagraph id="H214B5F7FB726433B918E87822DFDAF55"><enum>(E)</enum><header>Maximum
bid</header><text>The maximum bid allowable under this paragraph shall not
exceed the amount of the special allowance payable on eligible Federal PLUS
Loans made under this paragraph computed under section 438(b)(2)(I) (other than
clauses (ii), (iii), (iv), and (vi) of such section), except that for purposes
of the computation under this subparagraph, section 438(b)(2)(I)(i)(III) shall
be applied by substituting <quote>1.79 percent</quote> for <quote>2.34
percent</quote>.</text>
</subparagraph><subparagraph id="HAAEA4858841A4040B7F749EABE003CEC"><enum>(F)</enum><header>Winning
bids</header><text>The winning bids for each State auction shall be the 2 bids
containing the lowest and the second lowest proposed special allowance
payments, subject to subparagraph (E).</text>
</subparagraph><subparagraph id="H304C5ACD004E480AA609335367BD7447"><enum>(G)</enum><header>Agreement with
secretary</header><text>Each eligible lender having a winning bid under
subparagraph (F) enters into an agreement with the Secretary under which the
eligible lender—</text>
<clause id="HEB0B289986A2406E96BB6B00841181C3"><enum>(i)</enum><text>agrees to
originate eligible Federal PLUS Loans under this paragraph to each borrower
who—</text>
<subclause id="HE7F2AB40811A421C974FDA00C4617EF"><enum>(I)</enum><text>seeks an eligible
Federal PLUS Loan under this paragraph to enable a dependent student to attend
an institution of higher education within the State;</text>
</subclause><subclause id="H167BAB5979BA46649EAFBC376F619920"><enum>(II)</enum><text>is eligible for
an eligible Federal PLUS Loan; and</text>
</subclause><subclause id="H39EBFFFE65D94EF9AE28E8D29F6367"><enum>(III)</enum><text>elects to borrow
from the eligible lender; and</text>
</subclause></clause><clause id="HFAF3625968F84E49B599652F54439E75"><enum>(ii)</enum><text display-inline="yes-display-inline">agrees to accept a special allowance
payment (after the application of section 438(b)(2)(I)(v)) from the Secretary
with respect to the eligible Federal PLUS Loans originated under clause (i) in
the amount proposed in the second lowest winning bid described in subparagraph
(F) for the applicable State auction.</text>
</clause></subparagraph><subparagraph id="HCA05F95F13684C49818F47269317F19B"><enum>(H)</enum><header>Sealed bids;
confidentiality</header><text>All bids are sealed and the Secretary keeps the
bids confidential, including following the announcement of the winning
bids.</text>
</subparagraph><subparagraph id="H52051DCDCCA14059BD68634C5B30E019"><enum>(I)</enum><header>Eligible lender
of last resort</header>
<clause id="HDF4BCD8CEBDE47BA0097B22098839EBE"><enum>(i)</enum><header>In
general</header><text>In the event that there is no winning bid under
subparagraph (F), the students at the institutions of higher education within
the State that was the subject of the auction shall be served by an eligible
lender of last resort, as determined by the Secretary.</text>
</clause><clause id="HEFCE1C0464644BEDAD02EB453706B1C4"><enum>(ii)</enum><header>Determination
of eligible lender of last resort</header><text>Prior to the start of any
auction under this paragraph, eligible lenders that desire to serve as an
eligible lender of last resort shall submit an application to the Secretary at
such time and in such manner as the Secretary may determine. Such application
shall include an assurance that the eligible lender will meet the
prequalification requirements described in subparagraph (B).</text>
</clause><clause id="H86FD7A1ADC9D4FD7B16DD13080C59CF8"><enum>(iii)</enum><header>Geographic
location</header><text>The Secretary shall identify an eligible lender of last
resort for each State.</text>
</clause><clause id="H8413FFFAA6F641E69FC000A0A3002DDD"><enum>(iv)</enum><header>Notification
timing</header><text>The Secretary shall not identify any eligible lender of
last resort until after the announcement of all the winning bids for a State
auction for any year.</text>
</clause><clause id="H39D7A1437AB046A187298D8EB1E7BB94"><enum>(v)</enum><header>Maximum special
allowance</header><text display-inline="yes-display-inline">The Secretary is
authorized to set a special allowance payment that shall be payable to a lender
of last resort for a State under this subparagraph, which special allowance
payment shall be kept confidential, including following the announcement of
winning bids. The Secretary shall set such special allowance payment so that it
incurs the lowest possible cost to the Federal Government, taking into
consideration the lowest bid that was submitted in an auction for such State
and the lowest bid submitted in a similar State, as determined by the
Secretary.</text>
</clause></subparagraph><subparagraph id="H646D4932B4EC4FB0B282346E6611C5F7"><enum>(J)</enum><header>Guarantee
against losses</header><text>The Secretary guarantees the eligible Federal PLUS
Loans made under this paragraph against losses resulting from the default of a
parent borrower in an amount equal to 99 percent of the unpaid principal and
interest due on the loan.</text>
</subparagraph><subparagraph id="HA11AC51340B74915AE1FE50374E7C549"><enum>(K)</enum><header>Loan
fees</header><text>The Secretary shall not collect a loan fee under section
438(d) with respect to an eligible Federal Plus Loan originated under this
paragraph.</text>
</subparagraph><subparagraph id="H33D9200FB62A454B9329412BBEECEA"><enum>(L)</enum><header>Consolidation</header>
<clause id="H497CC3DF0BDC4A7B9F02C2BB37F9FCAF"><enum>(i)</enum><header>In
general</header><text>An eligible lender who is permitted to originate eligible
Federal PLUS Loans for a borrower under this paragraph shall have the option to
consolidate such loans into 1 loan.</text>
</clause><clause id="H0B7EE29B925746448561A300CE2C6E9F"><enum>(ii)</enum><header>Notification</header><text>In
the event a borrower with eligible Federal PLUS Loans made under this paragraph
wishes to consolidate the loans, the borrower shall notify the eligible lender
who originated the loans under this paragraph.</text>
</clause><clause id="HDDB720564B744FB98F526D58AC5EA005"><enum>(iii)</enum><header>Limitation on
eligible lender option to consolidate</header><text>The option described in
clause (i) shall not apply if—</text>
<subclause id="H71CE891A37ED45FEBDB215B53C472BAD"><enum>(I)</enum><text>the borrower
includes in the notification in clause (ii) verification of consolidation terms
and conditions offered by an eligible lender other than the eligible lender
described in clause (i); and</text>
</subclause><subclause id="HFC627DD5C890495A868973DD2CC157BE"><enum>(II)</enum><text>not later than 10
days after receiving such notification from the borrower, the eligible lender
described in clause (i) does not agree to match such terms and conditions, or
provide more favorable terms and conditions to such borrower than the offered
terms and conditions described in subclause (I).</text>
</subclause></clause><clause id="H0D56A68417744C0AB4D59C1B441D3AD"><enum>(iv)</enum><header>Consolidation of
additional loans</header><text>If a borrower has a Federal Direct PLUS Loan or
a loan made on behalf of a dependent student under section 428B and seeks to
consolidate such loan with an eligible Federal PLUS Loan made under this
paragraph, then the eligible lender that originated the borrower’s loan under
this paragraph may include in the consolidation under this subparagraph a
Federal Direct PLUS Loan or a loan made on behalf of a dependent student under
section 428B, but only if—</text>
<subclause id="H112A483CF6EC4641B8F89DF439E0AA6E"><enum>(I)</enum><text>in the case of a
Federal Direct PLUS Loan, the eligible lender agrees, not later than 10 days
after the borrower requests such consolidation from the lender, to match the
consolidation terms and conditions that would otherwise be available to the
borrower if the borrower consolidated such loans in the loan program under part
D; or</text>
</subclause><subclause id="H24BA93A5B9024C9CA01785B59DAFAE01"><enum>(II)</enum><text>in the case of a
loan made on behalf of a dependent student under section 428B, the eligible
lender agrees, not later than 10 days after the borrower requests such
consolidation from the lender, to match the consolidation terms and conditions
offered by an eligible lender other than the eligible lender that originated
the borrower’s loans under this paragraph.</text>
</subclause></clause><clause id="HCE0B8ACB9E0B4AB2AB31509C6BCE0E7"><enum>(v)</enum><header>Special allowance
on consolidation loans that include loans made under this
paragraph</header><text>The applicable special allowance payment for loans
consolidated under this paragraph shall be equal to the lesser of—</text>
<subclause id="H112E8008E9754AC4ABF49116DB2B4197"><enum>(I)</enum><text>the weighted
average of the special allowance payment on such loans, except that in
calculating such weighted average the Secretary shall exclude any Federal
Direct PLUS Loan included in the consolidation; or</text>
</subclause><subclause id="HCE5C9994ADC84612838C68A8006FF500"><enum>(II)</enum><text>the result
of—</text>
<item id="H8B37FDB8B1844F1DBA1EB686A965BF41"><enum>(aa)</enum><text>the
average of the bond equivalent rates of the quotes of the 3-month commercial
paper (financial) rates in effect for each of the days in such quarter as
reported by the Federal Reserve in Publication H–15 (or its successor) for such
3-month period; plus</text>
</item><item id="HF201F489A68B40E1BD009537BBE191C1"><enum>(bb)</enum><text>1.59
percent.</text>
</item></subclause></clause><clause id="HFB0D60E1F2BA471EA5BABEF7A6126552"><enum>(vi)</enum><header>Interest
payment rebate fee</header><text>Any loan under section 428C consolidated under
this paragraph shall not be subject to the interest payment rebate fee under
section
428C(f).</text>
</clause></subparagraph></paragraph></subsection></section></part><after-quoted-block>.</after-quoted-block></quoted-block>
</section><enum>VIII</enum><header>Partnership
Grants</header>
<section commented="no" display-inline="no-display-inline" id="HEBA6EB1B246E44E28D00E065E3CC0348"><enum>801.</enum><header>College access
challenge grant program</header><text display-inline="no-display-inline">Title
VII (<external-xref legal-doc="usc" parsable-cite="usc/20/1133">20 U.S.C. 1133 et seq.</external-xref>) is amended by adding at the end the following new
part:</text>
<quoted-block display-inline="no-display-inline" id="HA0CD09B7D35F42BE9EBCE528ABC2D1B9" style="OLC">
<part id="H0B3C3A6C706B48C6A5594340909E9CAD"><enum>E</enum><header>College access
challenge grant program</header>
<section display-inline="no-display-inline" id="H907BDA0095624A0D96E5DBCFE52ADB1"><enum>771.</enum><header>College access
challenge grant program</header>
<subsection commented="no" id="HEBA7DD081E3C4D3EBFDB2335016DDFF7"><enum>(a)</enum><header>Authorization
and appropriation</header><text display-inline="yes-display-inline">There are
authorized to be appropriated, and there are appropriated, to carry out this
section $66,000,000 for each of the fiscal years 2008 and 2009. The authority
to award grants under this section shall expire at the end of fiscal year
2009.</text>
</subsection><subsection commented="no" id="H781835C9BA124D5B9B22D3C92EAD361E"><enum>(b)</enum><header>Program
authorized</header>
<paragraph commented="no" id="HFD76946612D24F2CAF00CFF8B3B49DF5"><enum>(1)</enum><header>Grants
authorized</header><text display-inline="yes-display-inline">From amounts
appropriated under
<internal-xref idref="HEBA7DD081E3C4D3EBFDB2335016DDFF7" legis-path="802.(a)">subsection (a)</internal-xref>, the Secretary shall award
grants, from allotments under
<internal-xref idref="HFD41AF0773D74EE5BE52A8A86DCD693" legis-path="802.(c)">subsection (c)</internal-xref>, to States (and to
philanthropic organization, as appropriate under
<internal-xref idref="HF47105E189D749BC883973888DB701DD" legis-path="802.(b)(3)">paragraph (3)</internal-xref>) having applications
approved under
<internal-xref idref="H601A7EDCCAAC45A9A609ECAFBDA0396C" legis-path="802.(d)">subsection (d)</internal-xref>, to enable the State (or
philanthropic organization) to pay the Federal share of the costs of carrying
out the activities and services described in
<internal-xref idref="HEFA155D1A728468199F880346DE0AAC4" legis-path="802.(f)">subsection (f)</internal-xref>.</text>
</paragraph><paragraph commented="no" id="H4E7F3D6BA415498B99A2B4F056D7BF54"><enum>(2)</enum><header>Federal share;
non-Federal share</header>
<subparagraph commented="no" id="H71A64EB80B4C4329AADCDFAB560DE6D"><enum>(A)</enum><header>Federal
share</header><text>The amount of the Federal share under this section for a
fiscal year shall be equal to <fraction>2/3</fraction> of the costs of the
activities and services described in
<internal-xref idref="HEFA155D1A728468199F880346DE0AAC4" legis-path="802.(f)">subsection (f)</internal-xref> that are carried out under
the grant.</text>
</subparagraph><subparagraph commented="no" id="H425564FD4CB142AF8CB7599F31CCF000"><enum>(B)</enum><header>Non-Federal
share</header><text>The amount of the non-Federal share under this section
shall be equal to <fraction>1/3</fraction> of the costs of the activities and
services described in
<internal-xref idref="HEFA155D1A728468199F880346DE0AAC4" legis-path="802.(f)">subsection (f)</internal-xref>. The non-Federal share may
be in cash or in-kind, and may be provided from State resources, contributions
from private organizations, or both.</text>
</subparagraph></paragraph><paragraph commented="no" id="HF47105E189D749BC883973888DB701DD"><enum>(3)</enum><header>Reduction for
failure to pay non-Federal share</header><text>If a State fails to provide the
full non-Federal share required under this subsection, the Secretary shall
reduce the amount of the grant payment under this section proportionately, and
may award the proportionate reduction amount of the grant directly to a
philanthropic organization, as defined in
<internal-xref idref="HB1A131D3330E43C4BB89125E447D4DDD" legis-path="802.(i)">subsection (i)</internal-xref>, to carry out this
section.</text>
</paragraph><paragraph commented="no" id="H045161950E0C41668C1908ABBE8B2FC6"><enum>(4)</enum><header>Temporary
ineligibility for subsequent payments</header>
<subparagraph commented="no" id="HEFDA4D9C73C94347AEB1EB3C58FDFE2F"><enum>(A)</enum><header>In
general</header><text>The Secretary shall determine a grantee to be temporarily
ineligible to receive a grant payment under this section for a fiscal year
if—</text>
<clause commented="no" id="HC0751EA300BC4201B6AFAEE45300172F"><enum>(i)</enum><text>the grantee fails
to submit an annual report pursuant to
<internal-xref idref="HC42E4936D0FD41D9AAA1D002CF3FD91" legis-path="802.(h)">subsection (h)</internal-xref> for the preceding fiscal
year; or</text>
</clause><clause commented="no" id="HABD9311EC5A94E768527892855532C44"><enum>(ii)</enum><text>the Secretary
determines, based on information in such annual report, that the grantee is not
effectively meeting the conditions described under
<internal-xref idref="H5426FC90A3F94D3795D97245D7265CEC" legis-path="802.(g)">subsection (g)</internal-xref> and the goals of the
application under
<internal-xref idref="H601A7EDCCAAC45A9A609ECAFBDA0396C" legis-path="802.(d)">subsection (d)</internal-xref>.</text>
</clause></subparagraph><subparagraph commented="no" id="H58BD319C4B904B6FB600606900C3B476"><enum>(B)</enum><header>Reinstatement</header><text>If
the Secretary determines that a grantee is ineligible under
<internal-xref idref="HEFDA4D9C73C94347AEB1EB3C58FDFE2F" legis-path="802.(b)(4)(A)">subparagraph (A)</internal-xref>, the Secretary may
enter into an agreement with the grantee setting forth the terms and conditions
under which the grantee may regain eligibility to receive payments under this
section.</text>
</subparagraph></paragraph></subsection><subsection commented="no" id="HFD41AF0773D74EE5BE52A8A86DCD693"><enum>(c)</enum><header>Determination of
allotment</header>
<paragraph commented="no" id="HDAC5B2FF17A94E41BD6465AF4469F8A8"><enum>(1)</enum><header>Amount of
allotment</header><text>Subject to
<internal-xref idref="H84AF3D02417249F3BEF670C4EAAE3CAE" legis-path="802.(c)(2)">paragraph (2)</internal-xref>, in making grant payments
to grantees under this section, the allotment to each grantee for a fiscal year
shall be equal to the sum of—</text>
<subparagraph commented="no" id="H36DAF63488BA4D5094D1C714DAEB761C"><enum>(A)</enum><text>the amount that
bears the same relation to 50 percent of the amount appropriated under
<internal-xref idref="HEBA7DD081E3C4D3EBFDB2335016DDFF7" legis-path="802.(a)">subsection (a)</internal-xref> for such fiscal year as the
number of residents in the State aged 5 through 17 who are living below the
poverty line applicable to the resident’s family size (as determined under
section 673(2) of the Community Service Block Grant Act) bears to the total
number of such residents in all States; and</text>
</subparagraph><subparagraph commented="no" id="HE753DE9388244032AE16F4026BF3ADC0"><enum>(B)</enum><text>the amount that
bears the same relation to 50 percent of the amount appropriated under
<internal-xref idref="HEBA7DD081E3C4D3EBFDB2335016DDFF7" legis-path="802.(a)">subsection (a)</internal-xref> for such fiscal year as the
number of residents in the State aged 15 through 44 who are living below the
poverty line applicable to the individual’s family size (as determined under
section 673(2) of the Community Service Block Grant Act) bears to the total
number of such residents in all States.</text>
</subparagraph></paragraph><paragraph commented="no" id="H84AF3D02417249F3BEF670C4EAAE3CAE"><enum>(2)</enum><header>Minimum
amount</header><text>The allotment for each State under this section for a
fiscal year shall not be an amount that is less than 0.5 percent of the total
amount appropriated under
<internal-xref idref="HEBA7DD081E3C4D3EBFDB2335016DDFF7" legis-path="802.(a)">subsection (a)</internal-xref> for such fiscal
year.</text>
</paragraph></subsection><subsection commented="no" id="H601A7EDCCAAC45A9A609ECAFBDA0396C"><enum>(d)</enum><header>Submission and
contents of application</header>
<paragraph commented="no" id="HED5B08A8E1AF438C85DFFA6631BCD315"><enum>(1)</enum><header>In
general</header><text>For each fiscal year for which a grantee desires a grant
payment under
<internal-xref idref="H781835C9BA124D5B9B22D3C92EAD361E" legis-path="802.(b)">subsection (b)</internal-xref>, the State agency with
jurisdiction over higher education, or another agency designated by the
Governor or chief executive of the State to administer the program under this
section, or a philanthropic organization, in accordance with
<internal-xref idref="HF47105E189D749BC883973888DB701DD" legis-path="802.(b)(3)">subsection (b)(3)</internal-xref>, shall submit an
application to the Secretary at such time, in such manner, and containing the
information described in
<internal-xref idref="HD94642DC932D4F15B7D24E001EC3F8F" legis-path="802.(d)(2)">paragraph (2)</internal-xref>.</text>
</paragraph><paragraph commented="no" id="HD94642DC932D4F15B7D24E001EC3F8F"><enum>(2)</enum><header>Application</header><text>An
application submitted under
<internal-xref idref="HED5B08A8E1AF438C85DFFA6631BCD315" legis-path="802.(d)(1)">paragraph (1)</internal-xref> shall include the
following:</text>
<subparagraph commented="no" id="HD1C9F83A24BF4B649591502D41BF2F74"><enum>(A)</enum><text>A description of
the grantee’s capacity to administer the grant under this section and report
annually to the Secretary on the activities and services described in
<internal-xref idref="HEFA155D1A728468199F880346DE0AAC4" legis-path="802.(f)">subsection (f)</internal-xref>.</text>
</subparagraph><subparagraph commented="no" id="HC96F550C72494CC68F86054E9437F6CD"><enum>(B)</enum><text>A description of
the grantee’s plan for using the grant funds to meet the requirements of
<internal-xref idref="HEFA155D1A728468199F880346DE0AAC4" legis-path="802.(f)">subsections (f)</internal-xref> and
<internal-xref idref="H5426FC90A3F94D3795D97245D7265CEC" legis-path="802.(g)">(g)</internal-xref>, including plans for how the grantee
will make special efforts to—</text>
<clause id="H6ACC03C409D94DB68C256252B1E7418"><enum>(i)</enum><text>provide such
benefits to students in the State that are underrepresented in postsecondary
education; or</text>
</clause><clause id="H8D42C9610DC2426BBB004625BFE2B2A5"><enum>(ii)</enum><text>in the case of a
philanthropic organization that operates in more than one State, provide
benefits to such students in each such State for which the philanthropic
organization is receiving grant funds under this section.</text>
</clause></subparagraph><subparagraph commented="no" id="H2F6507ADE4F54F59BF0044ACA0A45594"><enum>(C)</enum><text>A description of
how the grantee will provide or coordinate the provision of the non-Federal
share from State resources or private contributions.</text>
</subparagraph><subparagraph commented="no" id="H1C28F2C88F8B4E78A1340800EA6FB7A4"><enum>(D)</enum><text>A description
of—</text>
<clause commented="no" id="H443A0ABACDE243FA9BEC408210930040"><enum>(i)</enum><text>the structure that
the grantee has in place to administer the activities and services described in
<internal-xref idref="HEFA155D1A728468199F880346DE0AAC4" legis-path="802.(f)">subsection (f)</internal-xref>; or</text>
</clause><clause commented="no" id="HA44A75717F0C441AAA58468BC6B381D7"><enum>(ii)</enum><text>the plan to
develop such administrative capacity.</text>
</clause></subparagraph></paragraph></subsection><subsection commented="no" id="H4542DF8AEEBA4CCA81D468F7FDAB4257"><enum>(e)</enum><header>Subgrants to
nonprofit organizations</header><text display-inline="yes-display-inline">A
State receiving a payment under this section may elect to make a subgrant to
one or more nonprofit organizations in the State, including an eligible
not-for-profit holder (as defined in section 435(p) of the Higher Education Act
of 1965, as amended by section 303 of this Act), or a partnership of such
organizations, to carry out activities or services described in
<internal-xref idref="HEFA155D1A728468199F880346DE0AAC4" legis-path="802.(f)">subsection (f)</internal-xref>, if the nonprofit
organization or partnership—</text>
<paragraph commented="no" id="HAA10709804E64790A5B3970019B4BF89"><enum>(1)</enum><text>was in existence
on the day before the date of the enactment of this Act; and</text>
</paragraph><paragraph commented="no" id="HDE26F71D78C14EB7B68BE0BC46B2268C"><enum>(2)</enum><text>as of such day,
was participating in activities and services related to increasing access to
higher education, such as those activities and services described in
<internal-xref idref="HEFA155D1A728468199F880346DE0AAC4" legis-path="802.(f)">subsection (f)</internal-xref>.</text>
</paragraph></subsection><subsection commented="no" id="HEFA155D1A728468199F880346DE0AAC4"><enum>(f)</enum><header>Allowable
uses</header>
<paragraph commented="no" id="H6B5C69951CDE4C49B583E8143E29FC00"><enum>(1)</enum><header>In
general</header><text>Subject to
<internal-xref idref="H9DABFEC936F842F097B089638016BDE9" legis-path="802.(f)(3)">paragraph (3)</internal-xref>, a grantee may use a
grant payment under this section only for the following activities and
services, pursuant to the conditions under
<internal-xref idref="H5426FC90A3F94D3795D97245D7265CEC" legis-path="802.(g)">subsection (g)</internal-xref>:</text>
<subparagraph commented="no" id="H6160C3DA5E884F359F5593AE28197058"><enum>(A)</enum><text>Information for
students and families regarding—</text>
<clause commented="no" id="H585DD2A7446447FBA1580861C42B7395"><enum>(i)</enum><text>the benefits of a
postsecondary education;</text>
</clause><clause commented="no" id="H056B1C39629343A0BCCD7E402BDC5B01"><enum>(ii)</enum><text>postsecondary
education opportunities;</text>
</clause><clause commented="no" id="HDC0F5311E7A0411080FC9020D3AB66DC"><enum>(iii)</enum><text>planning for
postsecondary education; and</text>
</clause><clause commented="no" id="HAFCFCE2AC29E41159341B737EB8E8CEA"><enum>(iv)</enum><text>career
preparation.</text>
</clause></subparagraph><subparagraph commented="no" id="H0879798798024896859BF56E6CA93794"><enum>(B)</enum><text>Information on
financing options for postsecondary education and activities that promote
financial literacy and debt management among students and families.</text>
</subparagraph><subparagraph commented="no" id="H91F04941B84D4F8AAAEA208893215762"><enum>(C)</enum><text>Outreach
activities for students who may be at risk of not enrolling in or completing
postsecondary education.</text>
</subparagraph><subparagraph commented="no" id="H6FB30084B44040BFB593BC52A92EAB56"><enum>(D)</enum><text>Assistance in
completion of the Free Application for Federal Student Aid or other common
financial reporting form under section 483(a) of the Higher Education Act of
1965.</text>
</subparagraph><subparagraph commented="no" id="HB3CE077B9E58402F97BAD5FACDEF1963"><enum>(E)</enum><text>Need-based grant
aid for students.</text>
</subparagraph><subparagraph commented="no" id="H278F7587078A4E3E80B813612B5E0089"><enum>(F)</enum><text>Professional
development for guidance counselors at middle schools and secondary schools,
and financial aid administrators and college admissions counselors at
institutions of higher education, to improve such individuals’ capacity to
assist students and parents with—</text>
<clause commented="no" id="HE10EAD321D1D492CA616DD21FAE8BB1"><enum>(i)</enum><text>understanding—</text>
<subclause commented="no" id="H5D7CE24D332647E5AC5EF022F4A1A805"><enum>(I)</enum><text>entrance
requirements for admission to institutions of higher education; and</text>
</subclause><subclause commented="no" id="H0FE155F09C01438086587C7C9E62009F"><enum>(II)</enum><text>State eligibility
requirements for Academic Competitiveness Grants or National SMART Grants under
section 401A, and other financial assistance that is dependent upon a student’s
coursework;</text>
</subclause></clause><clause commented="no" id="HE815FD75A5D24EBF98E7DC6E3D8219B2"><enum>(ii)</enum><text>applying to
institutions of higher education;</text>
</clause><clause commented="no" id="HF3D98CE79A054BDBACA908299DC8EC7"><enum>(iii)</enum><text>applying for
Federal student financial assistance and other State, local, and private
student financial assistance and scholarships;</text>
</clause><clause commented="no" id="H892AF581AF0D42CF88007150B646A42F"><enum>(iv)</enum><text>activities that
increase students’ ability to successfully complete the coursework required for
a postsecondary degree, including activities such as tutoring or mentoring;
and</text>
</clause><clause commented="no" id="H6C8A8661F1F543F2BBC968D306AAF84C"><enum>(v)</enum><text>activities to
improve secondary school students’ preparedness for postsecondary entrance
examinations.</text>
</clause></subparagraph><subparagraph commented="no" id="H336EA6FCCE2B4D51ABCC33A1C90033E7"><enum>(G)</enum><text>Student loan
cancellation or repayment (as applicable), or interest rate reductions, for
borrowers who are employed in a high-need geographical area or a high-need
profession in the State, as determined by the State.</text>
</subparagraph></paragraph><paragraph commented="no" id="H95F9B3C1B2F3464E962EF70C46E41A4"><enum>(2)</enum><header>Prohibited
uses</header><text>Funds made available under this section shall not be used to
promote any lender’s loans.</text>
</paragraph><paragraph commented="no" id="H9DABFEC936F842F097B089638016BDE9"><enum>(3)</enum><header>Use of funds for
administrative purposes</header><text>A grantee may use not more than 6 percent
of the total amount of the sum of the Federal share provided under this section
and the non-Federal share required under this section for administrative
purposes relating to the grant under this section.</text>
</paragraph></subsection><subsection commented="no" id="H5426FC90A3F94D3795D97245D7265CEC"><enum>(g)</enum><header>Special
conditions</header>
<paragraph commented="no" id="HAB2FD428F61C4367A1E31DB208005177"><enum>(1)</enum><header>Availability to
students and families</header><text>A grantee receiving a grant payment under
this section shall—</text>
<subparagraph commented="no" id="HE1333EEA2B824012B9030016EB67C5E9"><enum>(A)</enum><text>make the
activities and services described in subparagraphs (A) through (F) of
<internal-xref idref="H6B5C69951CDE4C49B583E8143E29FC00" legis-path="802.(f)(1)">subsection (f)(1)</internal-xref> that are funded under
the payment available to all qualifying students and families in the
State;</text>
</subparagraph><subparagraph commented="no" id="HDD3AC8E20B2C416EA11E3163659E4E00"><enum>(B)</enum><text>allow students and
families to participate in the activities and services without regard
to—</text>
<clause commented="no" id="H7983A78DC0704ED4B6568D962B67E580"><enum>(i)</enum><text>the postsecondary
institution in which the student enrolls;</text>
</clause><clause commented="no" id="H3D4B4C9A9F764556A7F9D3E7E71D9EC5"><enum>(ii)</enum><text>the type of
student loan the student receives;</text>
</clause><clause commented="no" id="HC58C87AF5DF54F74B800EFCAB129500"><enum>(iii)</enum><text>the servicer of
such loan; or</text>
</clause><clause commented="no" id="HE77F3C2A6D924F6CAA4BF9FF710059B5"><enum>(iv)</enum><text>the student’s
academic performance;</text>
</clause></subparagraph><subparagraph commented="no" id="HBE7661D650A447F2002F00604FEC535"><enum>(C)</enum><text>not charge any
student or parent a fee or additional charge to participate in the activities
or services; and</text>
</subparagraph><subparagraph commented="no" id="H3451F07B271744CD86C60868321FA96"><enum>(D)</enum><text>in the case of an
activity providing grant aid, not require a student to meet any condition other
than eligibility for Federal financial assistance under title IV of the Higher
Education Act of 1965, except as provided for in the loan cancellation or
repayment or interest rate reductions described in
<internal-xref idref="H336EA6FCCE2B4D51ABCC33A1C90033E7" legis-path="802.(f)(1)(G)">subsection (f)(1)(G)</internal-xref>.</text>
</subparagraph></paragraph><paragraph commented="no" id="H912048E046744F30B29E4568162579CD"><enum>(2)</enum><header>Priority</header><text>A
grantee receiving a grant payment under this section shall, in carrying out any
activity or service described in
<internal-xref idref="H6B5C69951CDE4C49B583E8143E29FC00" legis-path="802.(f)(1)">subsection (f)(1)</internal-xref> with the grant funds,
prioritize students and families who are living below the poverty line
applicable to the individual’s family size (as determined under section 673(2)
of the Community Service Block Grant Act).</text>
</paragraph><paragraph commented="no" id="H857FAE9A438742F3BA7633A176413F13"><enum>(3)</enum><header>Disclosures</header>
<subparagraph commented="no" id="H5979C4C6E91B4D5BA5AF02FC738D5252"><enum>(A)</enum><header>Organizational
disclosures</header><text>In the case of a State that has chosen to make a
payment to an eligible not-for-profit holder in the State in accordance with
<internal-xref idref="H4542DF8AEEBA4CCA81D468F7FDAB4257" legis-path="802.(e)">subsection (e)</internal-xref>, the holder shall clearly
and prominently indicate the name of the holder and the nature of the holder’s
work in connection with any of the activities carried out, or any information
or services provided, with such funds.</text>
</subparagraph><subparagraph commented="no" id="H89E6E2C04E6B43678B7D79B78D02A328"><enum>(B)</enum><header>Informational
disclosures</header><text>Any information about financing options for higher
education provided through an activity or service funded under this section
shall—</text>
<clause commented="no" id="H63DBCE08FD544EDA9E7459F30CBD8D8"><enum>(i)</enum><text>include information
to students and the students’ parents of the availability of Federal, State,
local, institutional, and other grants and loans for postsecondary education;
and</text>
</clause><clause commented="no" id="H5D76A039B869455FBED1D9722E4DCAF"><enum>(ii)</enum><text>present
information on financial assistance for postsecondary education that is not
provided under title IV of the Higher Education Act of 1965 in a manner that is
clearly distinct from information on student financial assistance under such
title.</text>
</clause></subparagraph></paragraph><paragraph commented="no" id="HC8CEF8B2BE2743928664CE10EE7B6878"><enum>(4)</enum><header>Coordination</header><text>A
grantee receiving a grant payment under this section shall attempt to
coordinate the activities carried out with the grant payment with any existing
activities that are similar to such activities, and with any other entities
that support the existing activities in the State.</text>
</paragraph></subsection><subsection commented="no" id="HC42E4936D0FD41D9AAA1D002CF3FD91"><enum>(h)</enum><header>Report</header><text>A
grantee receiving a payment under this section shall prepare and submit an
annual report to the Secretary on the activities and services carried out under
this section, and on the implementation of such activities and services. The
report shall include—</text>
<paragraph commented="no" id="HF4507BC523384F4F885CAE25F9BC55AA"><enum>(1)</enum><text>each activity or
service that was provided to students and families over the course of the
year;</text>
</paragraph><paragraph commented="no" id="H963B965B959D4852B2713D98675F171B"><enum>(2)</enum><text>the cost of
providing each activity or service;</text>
</paragraph><paragraph commented="no" id="H0379EC58984F4270B5B5873625C1D900"><enum>(3)</enum><text>the number, and
percentage, if feasible and applicable, of students who received each activity
or service; and</text>
</paragraph><paragraph commented="no" id="H00DF196E6B1F481A9606180493E12424"><enum>(4)</enum><text>the total
contributions from private organizations included in the grantee’s non-Federal
share for the fiscal year.</text>
</paragraph></subsection><subsection id="HB1A131D3330E43C4BB89125E447D4DDD"><enum>(i)</enum><header>Definitions</header><text>In
this section:</text>
<paragraph display-inline="no-display-inline" id="HFD456E3F5A5247B7A6B7DA9F40EB24B8"><enum>(1)</enum><header>Philanthropic
organization</header><text display-inline="yes-display-inline">The term
<term>philanthropic organization</term> means a non-profit organization—</text>
<subparagraph display-inline="no-display-inline" id="H78755A65E6B54855A92F256F16A1A100"><enum>(A)</enum><text>that does not
receive funds under title IV of the Higher Education Act of 1965 or under the
Elementary and Secondary Education Act of 1965;</text>
</subparagraph><subparagraph id="H308CAC3C08434B5FA78F8417ED58C230"><enum>(B)</enum><text>that is not a
local educational agency or an institution of higher education;</text>
</subparagraph><subparagraph id="H2C7EBB311C4A45B29DA1005785DC7FF6"><enum>(C)</enum><text>that has a
demonstrated record of dispersing grant aid to underserved populations to
ensure access to, and participation in, higher education;</text>
</subparagraph><subparagraph commented="no" id="HFA46AE89E0574AD89CB49EC570995B36"><enum>(D)</enum><text>that is affiliated
with an eligible consortia (as defined in
<internal-xref idref="H5D9F78119CE94F90AB2DFFD9FBA632D" legis-path="802.(i)(2)">paragraph (2)</internal-xref>) to carry out this
section; and</text>
</subparagraph><subparagraph id="H331A2B65519B4E709D5B3917747C2FCD"><enum>(E)</enum><text>the primary
purpose of which is to provide financial aid and support services to students
from underrepresented populations to increase the number of such students who
enter and remain in college.</text>
</subparagraph></paragraph><paragraph id="H5D9F78119CE94F90AB2DFFD9FBA632D"><enum>(2)</enum><header>Eligible
consortia</header><text>The term <term>eligible consortia</term> means a
partnership of 2 or more entities that have agreed to work together to carry
out this section that—</text>
<subparagraph id="H0F789E870D094740839F8000F9C0325D"><enum>(A)</enum><text>includes—</text>
<clause id="H275D7AE95C274C4E821591A16B63918D"><enum>(i)</enum><text>a
philanthropic organization, which serves as the manager of the
consortia;</text>
</clause><clause id="H993738A06C424ACB8EEFCEADFDC94086"><enum>(ii)</enum><text>a
State that demonstrates a commitment to ensuring the creation of a Statewide
system to address the issues of early intervention and financial support for
eligible students to enter and remain in college; and</text>
</clause><clause id="H3A383A93B841456282849EED91BE37AD"><enum>(iii)</enum><text>at the
discretion of the philanthropic organization described in
<internal-xref idref="H275D7AE95C274C4E821591A16B63918D" legis-path="802.(i)(2)(A)(i)">clause (i)</internal-xref>, additional partners,
including other non-profit organizations, government entities (including local
municipalities, school districts, cities, and counties), institutions of higher
education, and other public or private programs that provide mentoring or
outreach programs; and</text>
</clause></subparagraph><subparagraph id="H23402D6649944610A9E4261C02AE8F00"><enum>(B)</enum><text>conducts
activities to assist students with entering and remaining in college, which may
include—</text>
<clause id="HB6879A2C29C34D72BC4F3DDAB6A36255"><enum>(i)</enum><text>providing
need-based grants to students;</text>
</clause><clause id="HB81CF904CBC14175AB63CD77B12141F"><enum>(ii)</enum><text display-inline="yes-display-inline">providing early notification to low-income
students of their potential eligibility for Federal financial aid (which may
include assisting students and families with filling out FAFSA forms), as well
as other financial aid and other support available from the eligible
consortia;</text>
</clause><clause id="HAA2B0E9C43CD49D2A3FC1C9BEFABEFC9"><enum>(iii)</enum><text>encouraging
increased student participation in higher education through mentoring or
outreach programs; and</text>
</clause><clause id="HD0C1705476D144D4A8DD885865BB0030"><enum>(iv)</enum><text>conducting
marketing and outreach efforts that are designed to—</text>
<subclause id="H55C123CE7D00428400DFFDCF2590C1D4"><enum>(I)</enum><text>encourage full
participation of students in the activities of the consortia that carry out
this section; and</text>
</subclause><subclause id="H2EDEC8D2FE574231A2477EB1FE3BA1B0"><enum>(II)</enum><text>provide the
communities impacted by the activities of the consortia with a general
knowledge about the efforts of the consortia.</text>
</subclause></clause></subparagraph></paragraph><paragraph commented="no" id="H30D1820B21354930A6EECFDA57DB33"><enum>(3)</enum><header>Grantee</header><text display-inline="yes-display-inline">The term <term>grantee</term> means—</text>
<subparagraph commented="no" id="H6E60AA32E66842B4907B3BA2D89265CB"><enum>(A)</enum><text>a State awarded a
grant under this section; or</text>
</subparagraph><subparagraph commented="no" id="HC76AFD68A7434C5F864F2EBF01D0AAF5"><enum>(B)</enum><text display-inline="yes-display-inline">with respect to such a State that has
failed to meet the non-Federal share requirement of
<internal-xref idref="H781835C9BA124D5B9B22D3C92EAD361E" legis-path="802.(b)">subsection (b)</internal-xref>, a philanthropic
organization awarded the proportionate reduction amount of such a grant under
<internal-xref idref="HF47105E189D749BC883973888DB701DD" legis-path="802.(b)(3)">subsection
(b)(3)</internal-xref>.</text>
</subparagraph></paragraph></subsection></section></part><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section id="H560DEA079894485E8DA1DE4C117BE5C0"><enum>802.</enum><header>Investment in
Historically Black Colleges and Universities and Minority-Serving
Institutions</header><text display-inline="no-display-inline">Title IV (20
U.S.C. 1070 et seq.) is further amended by adding after part I (as added by
section 701 of this Act) the following new part:</text>
<quoted-block display-inline="no-display-inline" id="HBC94680FA86145B79B00F600F4489964" style="OLC">
<part id="HC53389C1ED2143F28F00D848BC5F291B"><enum>J</enum><header>Strengthening
Historically Black Colleges and Universities and Other Minority-Serving
Institutions</header>
<section display-inline="no-display-inline" id="HBDCD56CC733E4DB00035C0336C13D6BD" section-type="subsequent-section"><enum>499A.</enum><header>Investment in
Historically Black Colleges and Universities and Other Minority-Serving
Institutions</header>
<subsection id="H4AB7C15019B74C1C98738DBBBFF37950"><enum>(a)</enum><header>Eligible
institution</header><text>An institution of higher education is eligible to
receive funds from the amounts made available under this section if such
institution is—</text>
<paragraph id="H09E176164C3E4E019D26F1B1D7E958DC"><enum>(1)</enum><text>a part B
institution (as defined in section 322 (<external-xref legal-doc="usc" parsable-cite="usc/20/1061">20 U.S.C. 1061</external-xref>));</text>
</paragraph><paragraph id="H5199EF6B7CA644D8B8D6EC335DFF51E2"><enum>(2)</enum><text>a Hispanic-serving
institution (as defined in section 502 (<external-xref legal-doc="usc" parsable-cite="usc/20/1101a">20 U.S.C. 1101a</external-xref>));</text>
</paragraph><paragraph id="H9AE951B6F82846DB9958D1F6E2003800"><enum>(3)</enum><text>a Tribal College
or University (as defined in section 316 (<external-xref legal-doc="usc" parsable-cite="usc/20/1059c">20 U.S.C. 1059c</external-xref>));</text>
</paragraph><paragraph id="HBBC716D5434F4A4DB4A284E2AF70D67E"><enum>(4)</enum><text>an Alaska
Native-serving institution or a Native Hawaiian-serving institution (as defined
in section 317(b) (<external-xref legal-doc="usc" parsable-cite="usc/20/1059d">20 U.S.C. 1059d(b)</external-xref>));</text>
</paragraph><paragraph id="H097C70EB50B0440AA54C00D0036B6B84"><enum>(5)</enum><text display-inline="yes-display-inline">a Predominantly Black Institution (as
defined in
<internal-xref idref="H5A877B5687004F5E9801267DB6897FB7" legis-path="499A.(c)">subsection (c)</internal-xref>);</text>
</paragraph><paragraph id="H492180030E954B2CAAF3A0683CA43B91"><enum>(6)</enum><text>an Asian American
and Native American Pacific Islander-serving institution (as defined in
<internal-xref idref="H5A877B5687004F5E9801267DB6897FB7" legis-path="499A.(c)">subsection (c)</internal-xref>); or</text>
</paragraph><paragraph id="H35AC17EE1C424C78B5729C3970BA8800"><enum>(7)</enum><text>a Native
American-serving nontribal institution (as defined in
<internal-xref idref="H5A877B5687004F5E9801267DB6897FB7" legis-path="499A.(c)">subsection (c)</internal-xref>).</text>
</paragraph></subsection><subsection id="H664CD0D8BB694D8D92C97EB039E40000"><enum>(b)</enum><header>New Investment
of Funds</header>
<paragraph id="HAAFCFD8A9D6E4526B4A8618BAED96E60"><enum>(1)</enum><header>In
general</header><text display-inline="yes-display-inline">There shall be
available to the Secretary to carry out this section, from funds not otherwise
appropriated, $255,000,000 for each of the fiscal years 2008 and 2009. The
authority to award grants under this section shall expire at the end of fiscal
year 2009.</text>
</paragraph><paragraph id="HCE1199A919F34F9C8191A8E794A4BE85"><enum>(2)</enum><header>Allocation and
allotment</header>
<subparagraph id="HD30EE61DC0D746CE8BCF4E25038B005E"><enum>(A)</enum><header>In
general</header><text>Of the amounts made available under
<internal-xref idref="HAAFCFD8A9D6E4526B4A8618BAED96E60" legis-path="499A.(b)(1)">paragraph (1)</internal-xref> for each fiscal
year—</text>
<clause id="H5337041EAD394FA99494588E651509EF"><enum>(i)</enum><text>$100,000,000 shall
be available for allocation under
<internal-xref idref="H77AA4149003D4BCDB6C3D623DBE9B225" legis-path="499A.(b)(2)(B)">subparagraph (B)</internal-xref>;</text>
</clause><clause id="H5ED3806829724E589F3EACAF46953D9F"><enum>(ii)</enum><text display-inline="yes-display-inline">$100,000,000 shall be available for
allocation under
<internal-xref idref="HBC9A163015D7445590F4FF9D00F170F6" legis-path="499A.(b)(2)(C)">subparagraph (C)</internal-xref>; and</text>
</clause><clause id="HFA9752ED85A349C59DA38DE82900CF66"><enum>(iii)</enum><text display-inline="yes-display-inline">$55,000,000 shall be available for
allocation under
<internal-xref idref="H3313F13964BA48469FA87172C3FCADCE" legis-path="499A.(b)(2)(D)">subparagraph (D)</internal-xref>.</text>
</clause></subparagraph><subparagraph id="H77AA4149003D4BCDB6C3D623DBE9B225"><enum>(B)</enum><header>HSI STEM and
articulation programs</header><text display-inline="yes-display-inline">The
amount made available for allocation under this subparagraph by
<internal-xref idref="H5337041EAD394FA99494588E651509EF" legis-path="499A.(b)(2)(A)(i)">subparagraph (A)(i)</internal-xref> for any
fiscal year shall be available for Hispanic-serving Institutions for activities
described in section 503, with a priority given to applications that
propose—</text>
<clause id="H5CFFD893EE1E4A6DAA13452239FD0123"><enum>(i)</enum><text>to
increase the number of Hispanic and other low income students attaining degrees
in the fields of science, technology, engineering, or mathematics; and</text>
</clause><clause id="H166808DB2B354D03B6547102B7007475"><enum>(ii)</enum><text>to develop model
transfer and articulation agreements between 2-year Hispanic-serving
institutions and 4-year institutions in such fields.</text>
</clause></subparagraph><subparagraph id="HBC9A163015D7445590F4FF9D00F170F6"><enum>(C)</enum><header>Allocation and
allotment HBCUs and PBIs</header><text>From the amount made available for
allocation under this subparagraph by
<internal-xref idref="H5ED3806829724E589F3EACAF46953D9F" legis-path="499A.(b)(2)(A)(ii)">subparagraph (A)(ii)</internal-xref> for any
fiscal year—</text>
<clause id="H5F50B6C32E364683BF2DD50084803C2C"><enum>(i)</enum><text display-inline="yes-display-inline">85 percent shall be available to eligible
institutions described in
<internal-xref idref="H09E176164C3E4E019D26F1B1D7E958DC" legis-path="499A.(a)(1)">subsection (a)(1)</internal-xref> and shall be made
available as grants under section 323 and allotted among such institutions
under section 324, treating such amount, plus the amount appropriated for such
fiscal year in a regular or supplemental appropriation Act to carry out part B
of title III, as the amount appropriated to carry out part B of title III for
purposes of allotments under section 324, for use by such institutions with a
priority for—</text>
<subclause id="H18128594AA9349F69CF32E0637B9591C"><enum>(I)</enum><text>activities
described in paragraphs (1), (2), (4), (5), and (10) of section 323(a);
and</text>
</subclause><subclause id="H3DAED159EAA44CE9A74D904C95550096"><enum>(II)</enum><text>other activities,
consistent with the institution’s comprehensive plan and designed to increase
the institution’s capacity to prepare students for careers in the physical or
natural sciences, mathematics, computer science or information technology or
sciences, engineering, language instruction in the less-commonly taught
languages or international affairs, or nursing or allied health professions;
and</text>
</subclause></clause><clause id="H36EAF7DB2D1E41ABB960E2EF82788997"><enum>(ii)</enum><text display-inline="yes-display-inline">15 percent shall be available to eligible
institutions described in
<internal-xref idref="H097C70EB50B0440AA54C00D0036B6B84" legis-path="499A.(a)(5)">subsection (a)(5)</internal-xref> and shall be
available for a competitive grant program to award 25 grants of $600,000
annually for programs in any of the following areas:</text>
<subclause id="H2C9B3A6DEB1C44D6A5F5F4187CF251"><enum>(I)</enum><text>science, technology,
engineering, or mathematics (STEM);</text>
</subclause><subclause id="HDA71142347884B79808B31457B52E764"><enum>(II)</enum><text>health
education;</text>
</subclause><subclause id="HA01EB1EEE40C4784B2E2DD1D97DE69D"><enum>(III)</enum><text>internationalization
or globalization;</text>
</subclause><subclause id="HA0F416FEB8EF46298303005CC74186DF"><enum>(IV)</enum><text>teacher
preparation; or</text>
</subclause><subclause id="H9E52C562731C469900A42472007B193E"><enum>(V)</enum><text>improving
educational outcomes of African American males.</text>
</subclause></clause></subparagraph><subparagraph id="H3313F13964BA48469FA87172C3FCADCE"><enum>(D)</enum><header>Allocation and
allotment to other minority-serving institutions</header><text display-inline="yes-display-inline">From the amount made available for
allocation under this subparagraph by
<internal-xref idref="HFA9752ED85A349C59DA38DE82900CF66" legis-path="499A.(b)(2)(A)(iii)">subparagraph (A)(iii)</internal-xref> for any
fiscal year—</text>
<clause display-inline="no-display-inline" id="H7E44175132B34422B9963CC391C7DAAD"><enum>(i)</enum><text display-inline="yes-display-inline">$30,000,000 for such fiscal year shall be
available to eligible institutions described in
<internal-xref idref="H9AE951B6F82846DB9958D1F6E2003800" legis-path="499A.(a)(3)">subsection (a)(3)</internal-xref> and shall be made
available as grants under section 316, treating such $30,000,000 as part of the
amount appropriated for such fiscal year in a regular or supplemental
appropriation Act to carry out such section, and using such $30,000,000 for
purposes described in subsection (c) of such section;</text>
</clause><clause display-inline="no-display-inline" id="H4771CC2117784E7FB425E08588F5A0F"><enum>(ii)</enum><text display-inline="yes-display-inline">$15,000,000 for such fiscal year shall be
available to eligible institutions described in
<internal-xref idref="HBBC716D5434F4A4DB4A284E2AF70D67E" legis-path="499A.(a)(4)">subsection (a)(4)</internal-xref> and shall be made
available as grants under section 317, treating such $15,000,000 as part of the
amount appropriated for such fiscal year in a regular or supplemental
appropriation Act to carry out such section and using such $15,000,000 for
purposes described in subsection (c) of such section;</text>
</clause><clause id="H902838B3B3F1452EB40023F9E42F23FC"><enum>(iii)</enum><text display-inline="yes-display-inline">$5,000,000 for such fiscal year shall be
available to eligible institutions described in
<internal-xref idref="H492180030E954B2CAAF3A0683CA43B91" legis-path="499A.(a)(6)">subsection (a)(6)</internal-xref> for activities
described in section 311(c); and</text>
</clause><clause id="H43EA3DDBFA684A11ACCCC550BD33A0D8"><enum>(iv)</enum><text display-inline="yes-display-inline">$5,000,000 for such fiscal year shall be
available to eligible institutions described in subsection (a)(7)—</text>
<subclause id="H52EB7A473A774459B34E4CCB7F30B8DF"><enum>(I)</enum><text>to plan, develop,
undertake, and carry out activities to improve and expand such institutions'
capacity to serve Native Americans, which may include—</text>
<item id="H2C3C98EC9E26450000A6FF67003D13A3"><enum>(aa)</enum><text>the
purchase, rental, or lease of scientific or laboratory equipment for
educational purposes, including instructional and research purposes;</text>
</item><item id="HC6279C8ED32043CB00DB2513737CEB"><enum>(bb)</enum><text>renovation and
improvement in classroom, library, laboratory, and other instructional
facilities;</text>
</item><item id="H423C052D957D4224B34FF5C105326BCB"><enum>(cc)</enum><text>support of
faculty exchanges, faculty development, and faculty fellowships to assist
faculty in attaining advanced degrees in the faculty's field of
instruction;</text>
</item><item id="HDD3DBCB419864B64BDAEEF073505D18"><enum>(dd)</enum><text>curriculum
development and academic instruction;</text>
</item><item id="H150A59723ED746D4995756EAB037BAC"><enum>(ee)</enum><text>the
purchase of library books, periodicals, microfilm, and other educational
materials;</text>
</item><item id="HCD2F1F0933B645A0BCDB40EDC221D03"><enum>(ff)</enum><text>funds and
administrative management, and acquisition of equipment for use in
strengthening funds management;</text>
</item><item id="H0172525E80BC4292ABC0AD47ACF003FA"><enum>(gg)</enum><text>the
joint use of facilities such as laboratories and libraries; and</text>
</item><item id="H6E28FFD2718A438A00ABA5E44219EF43"><enum>(hh)</enum><text>academic tutoring
and counseling programs and student support services; and</text>
</item></subclause><subclause id="HCB5E7A8B7195441E8D2116CF215228E4"><enum>(II)</enum><text display-inline="yes-display-inline">to which the Secretary, to the extent
possible and consistent with a competitive process under which such grants are
awarded, allocates funds under this clause to ensure maximum and equitable
distribution among all such eligible institutions.</text>
</subclause></clause></subparagraph></paragraph></subsection><subsection id="H5A877B5687004F5E9801267DB6897FB7"><enum>(c)</enum><header>Definitions</header>
<paragraph id="H06393C0AD1854E47AA0859196F9441DD"><enum>(1)</enum><header>Asian
American</header><text>The term <term>Asian American</term> has the meaning
given the term <term>Asian</term> in the Office of Management and Budget's
Standards for Maintaining, Collecting, and Presenting Federal Data on Race and
Ethnicity as published on October 30, 1997 (62 Fed. Reg. 58789).</text>
</paragraph><paragraph id="H6E46CC495737497CB6B24D630017A541"><enum>(2)</enum><header>Asian American
and Native American Pacific Islander-serving institution</header><text display-inline="yes-display-inline">The term <term>Asian American and Native
American Pacific Islander-serving institution</term> means an institution of
higher education that—</text>
<subparagraph id="H603AEA9D14764E08A47F36C427E41B00"><enum>(A)</enum><text>is an eligible
institution under section 312(b); and</text>
</subparagraph><subparagraph id="H3C567E67BA694DD9A28FDC91CAA7FF27"><enum>(B)</enum><text>at the time of
application, has an enrollment of undergraduate students that is at least 10
percent Asian American and Native American Pacific Islander students.</text>
</subparagraph></paragraph><paragraph display-inline="no-display-inline" id="HF7DBEC0EF76D47DB942888E5C6CC5D3B"><enum>(3)</enum><header>Enrollment of
needy students</header><text display-inline="yes-display-inline">The term
<term>enrollment of needy students</term> means the enrollment at an
institution of higher education with respect to which not less than 50 percent
of the undergraduate students enrolled in an academic program leading to a
degree—</text>
<subparagraph id="HD9CBC31754524D85ABF2AECA5B19051E"><enum>(A)</enum><text display-inline="yes-display-inline">in the second fiscal year preceding the
fiscal year for which the determination is made, were Federal Pell Grant
recipients for such year;</text>
</subparagraph><subparagraph id="H23A4840025A049EDB9D9889EE7BACCB1"><enum>(B)</enum><text display-inline="yes-display-inline">come from families that receive benefits
under a means-tested Federal benefit program (as defined in
<internal-xref idref="H9AD6069C793E420B9CB5A4087DAF5E42" legis-path="499A.(c)(5)">paragraph (5)</internal-xref>);</text>
</subparagraph><subparagraph id="H5975535E37944064868B13971E58238B"><enum>(C)</enum><text display-inline="yes-display-inline">attended a public or nonprofit private
secondary school—</text>
<clause id="H9B3FEC53B4404697AD8FC919490425C1"><enum>(i)</enum><text>that is in the
school district of a local educational agency that was eligible for assistance
under part A of title I of the Elementary and Secondary Education Act of 1965
for any year during which the student attended such secondary school;
and</text>
</clause><clause id="H32FD87CD95FF4F54BC6441AB63914CF0"><enum>(ii)</enum><text>which for the
purpose of this paragraph and for that year was determined by the Secretary
(pursuant to regulations and after consultation with the State educational
agency of the State in which the school is located) to be a school in which the
enrollment of children counted under a measure of poverty described in section
1113(a)(5) of such Act exceeds 30 percent of the total enrollment of such
school; or</text>
</clause></subparagraph><subparagraph id="H6214EA4CBA184F118600E3829602DB97"><enum>(D)</enum><text>are
first-generation college students (as that term is defined in section 402A(g)),
and a majority of such first-generation college students are low-income
individuals.</text>
</subparagraph></paragraph><paragraph id="H06E4BE0F7CA44201B405B4C7AEED5E17"><enum>(4)</enum><header>Low-income
individual</header><text display-inline="yes-display-inline">The term
<term>low-income individual</term> has the meaning given such term in section
402A(g).</text>
</paragraph><paragraph id="H9AD6069C793E420B9CB5A4087DAF5E42"><enum>(5)</enum><header>Means-tested
Federal benefit program</header><text display-inline="yes-display-inline">The
term <term>means-tested Federal benefit program</term> means a program of the
Federal Government, other than a program under title IV, in which eligibility
for the programs’ benefits or the amount of such benefits are determined on the
basis of income or resources of the individual or family seeking the
benefit.</text>
</paragraph><paragraph display-inline="no-display-inline" id="H3106AA7032F04100BA4D1D9CB59D00F"><enum>(6)</enum><header>Native
American</header><text>The term <term>Native American</term> means an
individual who is of a tribe, people, or culture that is indigenous to the
United States.</text>
</paragraph><paragraph id="HE7B41905C8814281A93580286C125CC0"><enum>(7)</enum><header>Native American
Pacific Islander</header><text display-inline="yes-display-inline">The term
<term>Native American Pacific Islander</term> means any descendant of the
aboriginal people of any island in the Pacific Ocean that is a territory or
possession of the United States.</text>
</paragraph><paragraph id="HF06F8D3E11B0438D80193FEA6261A0A1"><enum>(8)</enum><header>Native
American-serving nontribal institution</header><text display-inline="yes-display-inline">The term <term>Native American-serving
nontribal institution</term> means an institution of higher education
that—</text>
<subparagraph id="H6DDC990171B24639A12CFD5103C98E01"><enum>(A)</enum><text>at the time of
application—</text>
<clause id="H6308852E894F4E4C9FF9614FE97884BB"><enum>(i)</enum><text>has an enrollment
of undergraduate students that is not less than 10 percent Native American
students; and</text>
</clause><clause id="H863DA8986945457100EAC0C7D4151FA1"><enum>(ii)</enum><text>is not a Tribal
College or University (as defined in section 316); and</text>
</clause></subparagraph><subparagraph id="H5631DE507BF84E0F97EE4B01AC7E1746"><enum>(B)</enum><text>submits to the
Secretary such enrollment data as may be necessary to demonstrate that the
institution is described in
<internal-xref idref="H6DDC990171B24639A12CFD5103C98E01" legis-path="499A.(c)(8)(A)">subparagraph (A)</internal-xref>, along with such
other information and data as the Secretary may by regulation require.</text>
</subparagraph></paragraph><paragraph id="HF3404479EFA8457FB689ED155C390863"><enum>(9)</enum><header>Predominantly
Black institution</header><text>The term <term>Predominantly Black
institution</term> means an institution of higher education that—</text>
<subparagraph id="H3B05642CF20A4322904767EE5E54F2D4"><enum>(A)</enum><text>has an enrollment
of needy students as defined by
<internal-xref idref="HF7DBEC0EF76D47DB942888E5C6CC5D3B" legis-path="499A.(c)(3)">paragraph (3)</internal-xref>;</text>
</subparagraph><subparagraph id="HB86CB3DF24FF4DE29BB9AF53A042D6A3"><enum>(B)</enum><text display-inline="yes-display-inline">has an average educational and general
expenditure which is low, per full-time equivalent undergraduate student in
comparison with the average educational and general expenditure per full-time
equivalent undergraduate student of institutions of higher education that offer
similar instruction, except that the Secretary may apply the waiver
requirements described in section 392(b) to this subparagraph in the same
manner as the Secretary applies the waiver requirements to section
312(b)(1)(B);</text>
</subparagraph><subparagraph id="H21F48C3593E548898FE958549B791FAA"><enum>(C)</enum><text>has an enrollment
of undergraduate students—</text>
<clause id="HE6E868A5D1F04BFD9B6B38B1ECCC0686"><enum>(i)</enum><text>that is at least
40 percent Black American students;</text>
</clause><clause display-inline="no-display-inline" id="H43ED3EDF6B114A5A94F1C44830EB0B8"><enum>(ii)</enum><text>that is at least
1,000 undergraduate students;</text>
</clause><clause id="H8BDC6E63C4FB43A591CFFF1B87FBFEDC"><enum>(iii)</enum><text display-inline="yes-display-inline">of which not less than 50 percent of the
undergraduate students enrolled at the institution are low-income individuals
or first-generation college students (as that term is defined in section
402A(g)); and</text>
</clause><clause id="H23598EA6F08E443CAB3E13F0BE2E88F2"><enum>(iv)</enum><text display-inline="yes-display-inline">of which not less than 50 percent of the
undergraduate students are enrolled in an educational program leading to a
bachelor’s or associate’s degree that the institution is licensed to award by
the State in which the institution is located;</text>
</clause></subparagraph><subparagraph id="H3999428EA3C74523896F3FED5774F8B5"><enum>(D)</enum><text>is legally
authorized to provide, and provides within the State, an educational program
for which the institution of higher education awards a bachelor’s degree, or in
the case of a junior or community college, an associate’s degree;</text>
</subparagraph><subparagraph id="HE1EC5630A1A246CA892D84033EF51F00"><enum>(E)</enum><text>is accredited by a
nationally recognized accrediting agency or association determined by the
Secretary to be a reliable authority as to the quality of training offered, or
is, according to such an agency or association, making reasonable progress
toward accreditation; and</text>
</subparagraph><subparagraph id="H22A2A1A97E584E00952656EA1B8DEFDD"><enum>(F)</enum><text>is not receiving
assistance under part B of title
III.</text>
</subparagraph></paragraph></subsection></section></part><after-quoted-block>.</after-quoted-block></quoted-block>
</section>
Speaker of the House of Representatives.
Vice President of the United States and President of the
Senate.