[Congressional Record Volume 147, Number 174 (Friday, December 14, 2001)]
[Senate]
[Pages S13311-S13312]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




     HIGHER EDUCATION RELIEF OPPORTUNITIES FOR STUDENTS ACT OF 2001

  Mr. DASCHLE. Mr. President, I ask unanimous consent that the Senate 
proceed to the immediate consideration of Calendar No. 278, S. 1793.
  The PRESIDING OFFICER. The clerk will report the bill by title.
  The legislative clerk read as follows:

       A bill (S. 1793) to provide the Secretary of Education with 
     the specific waiver authority to respond to conditions in 
     national emergency declared by the President on September 14, 
     2001.

  There being no objection, the Senate proceeded to consider the bill.
  Mr. DASCHLE. Mr. President, I ask unanimous consent that the bill be 
read a third time and passed, the motion to reconsider be laid upon the 
table, and that any statements relating thereto be printed in the 
Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The bill (S. 1793) was read the third time and passed as follows:

                                S. 1793

       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 ``Higher Education Relief 
     Opportunities for Students Act of 2001''.

     SEC. 2. WAIVER AUTHORITY FOR RESPONSE TO NATIONAL EMERGENCY.

       (a) Waivers and Modifications.--
       (1) In general.--Notwithstanding any other provision of 
     law, unless enacted with specific reference to this section, 
     the Secretary of Education (referred to in this Act as the 
     ``Secretary'') may waive or modify any statutory or 
     regulatory provision applicable to the student financial aid 
     programs under title IV of the Higher Education Act of 1965 
     (20 U.S.C. 1070 et seq.) as the Secretary deems necessary in 
     connection with the national emergency to provide the waivers 
     or modifications authorized by paragraph (2).
       (2) Actions authorized.--The Secretary is authorized to 
     waive or modify any provision described in paragraph (1) as 
     may be necessary to ensure that--
       (A) borrowers of Federal student loans who are affected 
     individuals are not placed in a worse position financially in 
     relation to those loans because of their status as affected 
     individuals;
       (B) administrative requirements placed on affected 
     individuals who are borrowers of Federal student loans are 
     minimized, to the extent possible without impairing the 
     integrity of the student loan programs, to ease the burden on 
     such borrowers and avoid inadvertent, technical violations or 
     defaults;
       (C) the calculation of ``annual adjusted family income'' 
     and ``available income'', as used in the determination of 
     need for student financial assistance under title IV of the 
     Higher Education Act of 1965 (20 U.S.C. 1070 et seq.) for any 
     such affected individual (and the determination of such need 
     for his or her spouse and dependents, if applicable), may be 
     modified to mean the sums received in the first calendar year 
     of the award year for which such determination is made, in 
     order to reflect more accurately the financial condition of 
     such affected individual and his or her family; and
       (D) institutions of higher education, eligible lenders, 
     guaranty agencies, and other entities participating in the 
     student assistance programs under title IV of the Higher 
     Education Act of 1965 (20 U.S.C. 1070 et seq.) that are 
     located in, or whose operations are directly affected by, 
     areas that are declared disaster areas by any Federal, State, 
     or local official in connection with the national

[[Page S13312]]

     emergency may be granted temporary relief from requirements 
     that are rendered infeasible or unreasonable by the national 
     emergency, including due diligence requirements and reporting 
     deadlines.
       (b) Notice of Waivers or Modifications.--
       (1) In general.--Notwithstanding section 437 of the General 
     Education Provisions Act (20 U.S.C. 1232) and section 553 of 
     title 5, United States Code, the Secretary shall, by notice 
     in the Federal Register, publish the waivers or modifications 
     of statutory and regulatory provisions the Secretary deems 
     necessary to achieve the purposes of this section.
       (2) Terms and conditions.--The notice under paragraph (1) 
     shall include the terms and conditions to be applied in lieu 
     of such statutory and regulatory provisions.
       (3) Case-by-case basis.--The Secretary is not required to 
     exercise the waiver or modification authority under this 
     section on a case-by-case basis.
       (c) Impact Report.--The Secretary shall, not later than 15 
     months after first exercising any authority to issue a waiver 
     or modification under subsection (a), report to the Committee 
     on Education and the Workforce of the House of 
     Representatives and the Committee on Health, Education, 
     Labor and Pensions of the Senate on the impact of any 
     waivers or modifications issued pursuant to subsection (a) 
     on affected individuals and the programs under title IV of 
     the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.), 
     and the basis for such determination, and include in such 
     report the Secretary's recommendations for changes to the 
     statutory or regulatory provisions that were the subject 
     of such waiver or modification.
       (d) No Delay in Waivers and Modifications.--Sections 482(c) 
     and 492 of the Higher Education Act of 1965 (20 U.S.C. 
     1089(c), 1098a) shall not apply to the waivers and 
     modifications authorized or required by this Act.

     SEC. 3. TUITION REFUNDS OR CREDITS FOR MEMBERS OF ARMED 
                   FORCES.

       (a) Sense of Congress.--It is the sense of Congress that--
       (1) all institutions offering postsecondary education 
     should provide a full refund to students who are members of 
     the Armed Forces serving on active duty during the national 
     emergency, for that portion of a period of instruction such 
     student was unable to complete, or for which such individual 
     did not receive academic credit, because he or she was called 
     up for such service; and
       (2) if affected individuals withdraw from a course of study 
     as a result of such service, such institutions should make 
     every effort to minimize deferral of enrollment or 
     reapplication requirements and should provide the greatest 
     flexibility possible with administrative deadlines related to 
     those applications.
       (b) Definition of Full Refund.--For purposes of this 
     section, a full refund includes a refund of required tuition 
     and fees, or a credit in a comparable amount against future 
     tuition and fees.

     SEC. 4. USE OF PROFESSIONAL JUDGMENT.

       At the time of publishing any waivers or modifications 
     pursuant to section 2(b), the Secretary shall publish 
     examples of measures that institutions may take in the 
     appropriate exercise of discretion under section 479A of the 
     Higher Education Act of 1965 (20 U.S.C. 1087tt) to adjust 
     financial need and aid eligibility determinations for 
     affected individuals.

     SEC. 5. DEFINITIONS.

       In this Act:
       (1) Active duty.--The term ``active duty'' has the meaning 
     given such term in section 101(d)(1) of title 10, United 
     States Code, except that such term does not include active 
     duty for training or attendance at a service school.
       (2) Affected individual.--The term ``affected individual'' 
     means an individual who--
       (A) is serving on active duty during the national 
     emergency;
       (B) is serving on National Guard duty during the national 
     emergency;
       (C) resides or is employed in an area that is declared a 
     disaster area by any Federal, State, or local official in 
     connection with the national emergency; or
       (D) suffered direct economic hardship as a direct result of 
     the national emergency, as determined under a waiver or 
     modification issued under this Act.
       (3) Federal student loan.--The term ``Federal student 
     loan'' means a loan made, insured, or guaranteed under part 
     B, D, or E of title IV of the Higher Education Act of 1965 
     (20 U.S.C. 1071 et seq., 20 U.S.C. 1087a et seq., and 20 
     U.S.C. 1087aa et seq.).
       (4) National emergency.--The term ``national emergency'' 
     means the national emergency by reason of certain terrorist 
     attacks declared by the President on September 14, 2001, or 
     subsequent national emergencies declared by the President by 
     reason of terrorist attacks.
       (5) Serving on active duty during the national emergency.--
     The term ``serving on active duty during the national 
     emergency'' shall include service by an individual who is--
       (A) a Reserve of an Armed Force ordered to active duty 
     under section 12301(a), 12301(g), 12302, 12304, or 12306 of 
     title 10, United States Code, or any retired member of an 
     Armed Force ordered to active duty under section 688 of such 
     title, for service in connection with such emergency or 
     subsequent actions or conditions, regardless of the location 
     at which such active duty service is performed; and
       (B) any other member of an Armed Force on active duty in 
     connection with such emergency or subsequent actions or 
     conditions who has been assigned to a duty station at a 
     location other than the location at which such member is 
     normally assigned.
       (6) Serving on national guard duty during the national 
     emergency.--The term ``serving on National Guard duty during 
     the national emergency'' shall include performing training or 
     other duty authorized by section 502(f) of title 32, United 
     States Code, as a member of the National Guard, at the 
     request of the President, for or in support of an operation 
     during the national emergency.

     SEC. 6. TERMINATION OF AUTHORITY.

       The provisions of this Act shall cease to be effective on 
     September 30, 2003.

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