[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 4269 Introduced in Senate (IS)]

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119th CONGRESS
  2d Session
                                S. 4269

   To repeal certain student loan provisions, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 26, 2026

 Mr. Blumenthal (for himself, Mr. Lujan, Mr. Booker, Mr. Merkley, Ms. 
  Alsobrooks, and Mr. Kaine) introduced the following bill; which was 
          read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
   To repeal certain student loan provisions, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Restoring College Access and 
Affordability Act''.

SEC. 2. LOAN LIMITS.

    Section 81001 of the Act titled ``An Act to provide for 
reconciliation pursuant to title II of H. Con. Res. 14'' (Public Law 
119-21; 139 Stat. 72) is repealed and any law or regulation referred to 
in such section shall be applied as if such section and the amendments 
made by such section had not been enacted.

SEC. 3. LOAN REPAYMENT.

    (a) Loan Repayment.--Section 82001 of the Act titled ``An Act to 
provide for reconciliation pursuant to title II of H. Con. Res. 14'' 
(Public Law 119-21; 139 Stat. 72) is repealed and any law or regulation 
referred to in such section shall be applied as if such section and the 
amendments made by such section had not been enacted.
    (b) Deferment; Forbearance.--Section 82002 of the Act titled ``An 
Act to provide for reconciliation pursuant to title II of H. Con. Res. 
14'' (Public Law 119-21; 139 Stat. 72) is repealed and any law or 
regulation referred to in such section shall be applied as if such 
section and the amendments made by such section had not been enacted.
    (c) Public Service Loan Forgiveness.--Section 82004 of the Act 
titled ``An Act to provide for reconciliation pursuant to title II of 
H. Con. Res. 14'' (Public Law 119-21; 139 Stat. 72) is repealed and any 
law or regulation referred to in such section shall be applied as if 
such section and the amendments made by such section had not been 
enacted.

SEC. 4. PELL GRANTS.

    (a) Eligibility.--Section 83001 of the Act titled ``An Act to 
provide for reconciliation pursuant to title II of H. Con. Res. 14'' 
(Public Law 119-21; 139 Stat. 72) is repealed and any law or regulation 
referred to in such section shall be applied as if such section and the 
amendments made by such section had not been enacted.
    (b) Federal Pell Grant Exclusion Relating to Other Grant Aid.--
Section 83004 of the Act titled ``An Act to provide for reconciliation 
pursuant to title II of H. Con. Res. 14'' (Public Law 119-21; 139 Stat. 
72) is repealed and any law or regulation referred to in such section 
shall be applied as if such section and the amendments made by such 
section had not been enacted.

SEC. 5. INELIGIBILITY BASED ON LOW EARNING OUTCOMES.

    Section 454(c) of the Higher Education Act of 1965 (20 U.S.C. 
1087d(c)) is amended--
            (1) in paragraph (1)--
                    (A) by striking ``Notwithstanding section 481(b),'' 
                and inserting the following:
                    ``(A) In general.--Notwithstanding section 
                481(b),'';
                    (B) by striking ``an educational program'' and 
                inserting ``a covered educational program''; and
                    (C) by adding at the end the following:
                    ``(B) Covered educational program.--In this 
                subsection, the term `covered educational program' 
                means an eligible program under this title that is--
                            ``(i) a program of training to prepare 
                        students for gainful employment in a recognized 
                        occupation (such as a program that awards a 
                        certificate or credential), or a program that 
                        awards an associate's degree;
                            ``(ii) a program that awards an associate's 
                        degree or a baccalaureate degree; or
                            ``(iii) a program that awards a graduate or 
                        professional degree, or graduate 
                        certificate.'';
            (2) in paragraph (2), by striking ``An educational program 
        at an institution is described in this paragraph if the program 
        awards an undergraduate degree, graduate or professional 
        degree, or graduate certificate, for which'' and inserting ``A 
        covered educational program at an institution is described in 
        this paragraph if the program is a program for which'';
            (3) in paragraph (3)--
                    (A) in subparagraph (A)--
                            (i) in the matter preceding clause (i), by 
                        striking ``an educational program'' and 
                        inserting ``a covered educational program'';
                            (ii) in clause (iii)(I), by striking ``an 
                        educational program that awards a baccalaureate 
                        or lesser degree,'' and inserting ``a covered 
                        educational program described in clause (i) or 
                        (ii) of paragraph (1)(B),''; and
                            (iii) in clause (iii)(II), by striking ``a 
                        graduate or professional program,'' and 
                        inserting ``a covered educational program 
                        described in clause (iii) of paragraph 
                        (1)(B),''; and
                    (B) in subparagraph (B)--
                            (i) in the matter preceding clause (i), by 
                        striking ``an educational program'' and 
                        inserting ``a covered educational program'';
                            (ii) in clause (i), in the matter preceding 
                        subclause (I), by striking ``that awards a 
                        baccalaureate or lesser degree'' and inserting 
                        ``that is a covered educational program 
                        described in clause (i) or (ii) of paragraph 
                        (1)(B),''; and
                            (iii) in clause (ii), in the matter 
                        preceding subclause (I), by striking ``that is 
                        a graduate or professional program'' and 
                        inserting ``that is a covered educational 
                        program described in clause (iii) of paragraph 
                        (1)(B),'';
            (4) in paragraph (4)--
                    (A) by striking ``an educational program'' and 
                inserting ``a covered educational program''; and
                    (B) by inserting ``covered'' before ``educational 
                programs'';
            (5) in paragraph (5)--
                    (A) by striking ``An educational program'' and 
                inserting ``A covered educational program''; and
                    (B) by striking ``the educational program'' and 
                inserting ``the covered educational program'';
            (6) in paragraph (6)(A)--
                    (A) by striking ``an educational program'' and 
                inserting ``a covered educational program''; and
                    (B) by striking ``the educational program'' and 
                inserting ``the covered educational program'', each 
                place the term appears; and
            (7) in paragraph (7), by striking ``an educational 
        program'' and inserting ``a covered educational program''.

SEC. 6. REGULATORY RELIEF.

    (a) Delay of Rule Relating to Borrower Defense to Repayment.--
Section 85001 of the Act titled ``An Act to provide for reconciliation 
pursuant to title II of H. Con. Res. 14'' (Public Law 119-21; 139 Stat. 
72) is repealed and any law or regulation referred to in such section 
shall be applied as if such section and the amendments made by such 
section had not been enacted.
    (b) Delay of Rule Relating to Closed School Discharges.--Section 
85002 of the Act titled ``An Act to provide for reconciliation pursuant 
to title II of H. Con. Res. 14'' (Public Law 119-21; 139 Stat. 72) is 
repealed and any law or regulation referred to in such section shall be 
applied as if such section and the amendments made by such section had 
not been enacted.

SEC. 7. MODIFICATION OF EXCISE TAX ON ENDOWMENT INCOME OF PRIVATE 
              COLLEGES AND UNIVERSITIES.

    (a) In General.--Subsection (a) of section 4968 of the Internal 
Revenue Code of 1986 is amended by striking ``the applicable 
percentage'' and inserting ``1.4 percent''.
    (b) Conforming Amendments.--
            (1) Section 4968 of the Internal Revenue Code of 1986 is 
        amended by striking subsection (b) and by redesignating 
        subsections (c), (d), (e), (f), (g), and (h) as subsections 
        (b), (c), (d), (e), (f), and (g), respectively.
            (2) Subsection (e) of section 4968 of such Code is amended 
        by striking ``(c) and (d)'' and inserting ``(b) and (c)''.
            (3) Paragraph (1) of section 4968(g) of such Code is 
        amended by striking ``(d) and (f)'' and inserting ``(c) and 
        (e)''.
            (4) Subsection (o) of section 6033 of such Code is 
        amended--
                    (A) by striking ``4968(c)'' both places it appears 
                and inserting ``4968(b)'', and
                    (B) by striking ``4968(e)'' in paragraph (2) 
                thereof and inserting ``4968(d)''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2025.
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