[Congressional Record Volume 149, Number 153 (Tuesday, October 28, 2003)]
[House]
[Pages H9835-H9836]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
FEDERAL EMPLOYEE STUDENT LOAN ASSISTANCE ACT
Mrs. JO ANN DAVIS of Virginia. Mr. Speaker, I move to suspend the
rules and pass the Senate bill (S. 926) to amend section 5379 of title
5, United States Code, to increase the annual and aggregate limits on
student loan repayments by Federal agencies
The Clerk read as follows:
S. 926
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 ``Federal Employee Student
Loan Assistance Act''.
SEC. 2. STUDENT LOAN REPAYMENTS.
Section 5379(b)(2) of title 5, United States Code, is
amended--
(1) in subparagraph (A), by striking ``$6,000'' and
inserting ``$10,000''; and
(2) in subparagraph (B), by striking ``$40,000'' and
inserting ``$60,000''.
The SPEAKER pro tempore. Pursuant to the rule, the gentlewoman from
Virginia (Mrs. Jo Ann Davis) and the gentleman from Illinois (Mr.
Davis) each will control 20 minutes.
The Chair recognizes the gentlewoman from Virginia (Mrs. Jo Ann
Davis).
General Leave
Mrs. JO ANN DAVIS of Virginia. Mr. Speaker, I ask unanimous consent
that all Members may have 5 legislative days within which to revise and
extend their remarks on S. 926.
The SPEAKER pro tempore. Is there objection to the request of the
gentlewoman from Virginia?
There was no objection.
Mrs. JO ANN DAVIS of Virginia. Mr. Speaker, I yield myself such time
as I may consume.
Mr. Speaker, I rise today to speak in favor of S. 926, a bill
introduced by my colleague, Senator Voinovich, to increase the annual
and total limits of student loan repayments by executive branch
agencies.
This is identical to a bill that I introduced on the House side, H.R.
3080. We are considering the Senate version of this bill, the Federal
Employee Student Loan Assistance Act, which has already passed that
Chamber in an effort to speed up approval of this important piece of
legislation.
I want to thank the leadership for bringing this matter to the floor
today. As the chairwoman of the Subcommittee on Civil Service, Census
and Agency Organization of the Committee on Government Reform, I have
raised the same questions at many of our hearings this year: How do we
attract the most qualified people to government service and how do we
keep them once they have started?
Recruiting, retraining, and rewarding talented and hardworking
individuals are at the very core of making our civil service the best
that it can be. Very clearly, having the ability to tell potential
recruits, come work for the United States Government and we can help
you repay your student loans, is an extremely valuable tool.
All of us are surely aware of how expensive a college or graduate-
level education is. And it is the prospect of these daunting student
loans, $50,000, $75,000, or even more than $100,000, that can prevent
public service-minded people from coming to work for the government.
They simply cannot afford it.
Student loan repayment is at the top of the list for newly graduated
students looking for jobs. To keep up with the higher salaries of the
private sector and nonprofit organizations, the Federal Government must
have an effective student loan repayment program. This legislation
before us today raises the annual maximum amount that agencies could
give towards student loan repayment, from $6,000 a year to $10,000 a
year. It also raises the total amount an agency can contribute toward
an individual's loan, from $40,000 to $60,000. These changes reflect
the increases in annual college tuition costs since the Federal
Government's original Student Loan Repayment Bill was enacted in 1991.
All funds to pay for the repayment program come out of the agencies'
own budgets, so this legislation has no negative impact on the current
budget. It is the right thing to do and something that we must do in
order to remain competitive in the job market. I strongly urge my
colleagues to pass the Federal Employee Student Loan Assistance Act
before us today.
Mr. Speaker, I reserve the balance of my time.
Mr. DAVIS of Illinois. Mr. Speaker, I yield myself such time as I may
consume.
Mr. Speaker, rising tuition rates force families to borrow thousands
of dollars to fund their children's college education. The debt that
these families and new graduates face after graduation is daunting. The
majority of college students today will have more loans over $20,000 by
the time they graduate. Public and private employees who administer
programs that could help employees reduce their college loan costs have
a valuable recruitment and retention tool. The Federal Student Loan
Program permits Federal agencies to repay federally insured student
loans as a tool to attract or retain highly qualified employees.
Under current law, agencies may authorize a student loan repayment of
up to $6,000 for an employee in any year and up to a lifetime limit of
$40,000. An employee receiving this benefit must sign a service
agreement to remain in the service of the paying agency for at least 3
years. If an employee leaves the agency before that time, he or she
must reimburse the agency for the loan repayment. S. 926, the Federal
Employee Student Loan Assistance Act, will increase the allowed annual
loan repayment from $6,000 to $10,000 and the allowed life-time loan
repayment allowed from $40,000 to $60,000. The increases reflect the
rising college tuition costs since enactment of the original statute in
1991.
Several agencies have reported that the use of program has helped
them achieve their recruitment and retention goals. However, the
program is generally underutilized due to lack of agency funding caused
by limited budgets. If government service is to become a viable and
attractive option for college graduates and talented employees, the
Federal Government must use all the tools and resources at its disposal
to attract and retain these individuals. S. 926 is a step in the right
direction; but without funding and without aggressive use of this and
similar programs to promote Federal civil service,
[[Page H9836]]
the Federal Government will be left behind in the competition for top
talents.
Mr. Speaker, I strongly support this legislation.
Mr. CUMMINGS. Mr. Speaker, I rise today in support of S. 926, the
``Federal Employee Student Loan Assistance Act,'' which will increase
the annual and aggregate limits on student loan repayments by Federal
agencies.
Many federal employees have undergraduate and graduate degrees, and
due to the rising cost of higher education, most of these employees
have incurred student loans with hefty payments. Many talented
graduates are interested in federal employment, but due to loan
repayment burdens, they are unable to seriously consider federal
employment. In order to remain competitive with private agencies that
offer higher salaries, the federal government must continue to offer
additional incentives, such as loan repayment programs.
As tuition costs continue to rise yearly, we must factor this into
the existing loan repayment program for federal employees. This bill,
which will cost less than $500,000 per year, will have a significant
impact on both current and potential federal employees who are burdened
with outstanding student loans. Increasing the yearly and total amounts
of loan repayment allotted to individual federal employees helps the
federal government to attract the best and the brightest employees,
those who might otherwise opt out for higher salaries in the private
sector.
This is a good bill, and I urge all of my colleagues to support S.
926, the ``Federal Employee Student Loan Assistance Act,'' which will
not only help to recruit quality federal employees, but will also
encourage longevity and retention of these very same employees. These
programs also serve as an excellent model for all employers, both
public and private.
Mr. TOM DAVIS of Virginia. Mr. Speaker, S. 926, the Federal Employee
Student Loan Assistance Act, would raise the annual and aggregate
amounts that federal agencies can offer a qualified employee to assist
in repaying a student loan. This legislation would raise the annual
repayment amount for an employee from $6,000 to $10,000, and the
aggregate repayment amount from $40,000 to $60,000.
The purpose of raising the annual and aggregate repayment caps is
two-fold. First, higher education tuition costs have increased
dramatically in recent years and are considerably higher than they were
when the original statute was passed on November 5, 1990. Second, as
the federal government works to recruit and retain the best and the
brightest, an attractive student loan repayment program should be an
effective recruitment tool to help government agencies compete with the
private sector.
I would like to commend the Senate sponsors of this legislation for
introducing this important legislation, and I would also like to
commend the House Civil Service Subcommittee Chairwoman for introducing
companion legislation in the House.
I urge all Members to support S. 926.
Mr. DAVIS of Illinois. Mr. Speaker, I yield back the balance of my
time.
Mrs. JO ANN DAVIS of Virginia. Mr. Speaker, I have no further
requests for time, and I yield back the balance of my time.
{time} 1530
The SPEAKER pro tempore (Mr. Schrock). The question is on the motion
offered by the gentlewoman from Virginia (Mrs. Jo Ann Davis) that the
House suspend the rules and pass the Senate bill, S. 926.
The question was taken; and (two-thirds having voted in favor
thereof) the rules were suspended and the Senate bill was passed.
A motion to reconsider was laid on the table.
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