[Congressional Record Volume 161, Number 61 (Monday, April 27, 2015)]
[Senate]
[Pages S2433-S2434]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
STATEMENT ON INTRODUCED BILLS AND JOINT RESOLUTIONS
By Mr. REED (for himself, Ms. Warren, Mr. Durbin, and Mr.
Murphy):
S. 1102. A bill to provide for institutional risk-sharing in the
Federal student loan programs; to the Committee on Health, Education,
Labor, and Pensions.
Mr. REED. Mr. President, today postsecondary education is required
for most family-sustaining, middle-class jobs, and an educated
workforce is essential to a modern, productive economy. A recent report
by the Georgetown University Center on Education and the Workforce
found that college-intensive business services have replaced
manufacturing as the largest sector in the U.S. economy, and that while
college-educated workers make up only 32 percent of the workforce, they
now produce more than 50 percent of the Nation's economic output, up
from 13 percent in 1967. Median annual earnings for bachelor's degree
holders were $23,000 higher compared to high school graduates in 2014.
Yet just as there is growing recognition that postsecondary education
is indispensable in the modern economy, families are being required to
shoulder growing debt burdens that threaten access to college.
According to a recent analysis of student loan debt by the Federal
Reserve Bank of New York, between 2004 and 2014, there was an 89
percent increase in the number of student loan borrowers and a 77
percent increase in the average balance size. Today, over 40 million
Americans have student loan debt.
This is a growing drag on our economy. As student loan debt has
grown, young adults have put off buying homes or cars, starting a
family, saving for retirement, or launching new businesses. They have
literally mortgaged their economic future.
We know that student loan borrowers are struggling. Default rates are
on the rise. The Federal Reserve Bank of New York reported that the
number of borrowers who default each year increased from about half a
million 10 years ago to 1.2 million annually in 2011 and 2012. Only 37
percent of borrowers are current on their loan and actively paying down
their debt.
We cannot tackle the student loan debt crisis without States and
institutions also stepping up and taking greater responsibility for
college costs and student borrowing.
That is why I am pleased to introduce the Protect Student Borrowers
Act with Senators Durbin, Warren, and Murphy to ensure there is more
skin in the game when it comes to student loan debt by setting stronger
market incentives for colleges and universities to provide better and
more affordable education to students, which will in turn help put the
brakes on rising student loan defaults.
The Protect Student Borrowers Act will hold colleges and universities
accountable for student loan defaults by requiring them to repay a
percentage of defaulted loans. Only institutions that have 25 percent
or more of their students borrow would be included in risk sharing
based on their cohort default rate. Risk-sharing requirements would
kick in when the default rate exceeds 15 percent. As the institutional
default rate rises, so too will the institution's risk-share payment.
The Protect Student Borrowers Act also provides incentives for
institutions to take proactive steps to ease student loan debt burdens
and reduce default rates. Colleges and universities can reduce or
eliminate their payments if they implement a comprehensive student loan
management plan. The Secretary may waive or reduce the payments for
institutions whose mission is to serve low-income and minority
students, such as community colleges, Historically Black Institutions,
or Hispanic Serving Institutions provided that they are making progress
in their student loan management plans.
The risk-sharing payments will be invested in helping struggling
borrowers, preventing future default and delinquency, and reducing
shortfalls in the Pell Grant program.
With the stakes so high for students and taxpayers, it is only fair
that institutions bear some of the risk in the student loan program.
We need to tackle student loan debt and college affordability from
multiple angles. And we need all stakeholders in the system to do their
part. With the Protect Student Borrowers Act, we are providing the
resources and incentives for institutions to take more responsibility
to address college affordability and student loan debt and improve
student outcomes. I urge my colleagues to cosponsor this bill and look
forward to working with them to include it and other key reforms in the
upcoming reauthorization of the Higher Education Act.
______
By Mr. DAINES (for himself, Mr. Tester, Mr. Risch, and Mr.
Crapo):
S. 1103. A bill to reinstate and extend the deadline for commencement
of construction of a hydroelectric project involving Clark Canyon Dam;
to the Committee on Energy and Natural Resources.
Mr. DAINES. Mr. President, today, I introduce two bills, S. 1103 and
S. 1104, with my colleague from Montana, Senator Jon Tester, my Idaho
colleagues Senators Risch and Crapo and also my counterpart in the
House, Montana's Representative Ryan Zinke. Current uncertainty in the
permitting process threaten sources of clean, renewable power in my
State. My bills would allow the Federal Energy Regulatory Commission to
extend a license for nonfederal hydropower development on existing dams
in my state of Montana.
The first bill would extend for 3 years a contract for hydropower
development on the Clark Canyon Dam in Dillon, Montana. The bill would
allow for construction and operation of a project that would power
about 1,200 homes each year with clean, renewable hydropower, while
replacing 18,000 metric tons of carbon each year. The bill would help
create 30 to 40 jobs during construction. Further, the project would
produce $611,000 in State and Federal taxes over the first 5 years of
operation and $37,000 in property tax contributions over the first 5
years.
The second bill would provide a 6 year contract extension for
nonfederal hydropower development on the Gibson Dam, near August and
Choteau Montana. Once completed, the project will provide for decades
of stable of tax revenues per year to each Teton and Lewis and Clark
Counties, the state of Montana, and the Federal Government. Gibson
Hydro project will benefit the environment as they are required by
their FERC license to incorporate measures in their operations and
construction that would enhance fish and wildlife resources, water
quality, recreational and aesthetic resources. Further, the project
would replace 40,000 tons of carbon per year and will strengthen the
irrigation component of the Gibson Dam by providing a portion of the
power sales to Greenfields Irrigation District to support irrigation
improvements, operations, water conservation and usage enhancements.
This bill will help create 15-25 construction jobs, $1 million in local
revenue over 2 years, and $4-5 million in wages during construction
phase and over $200,000 per year for the Sun River Cooperative.
Hydropower development must be a key component of our Nation's all-
of-the-above strategy to meet our Nation's needs. Passing these bills
will show the Senate's commitment to hydropower as a clean source of
power for our country.
Mr. President, I ask unanimous consent that the text of the bills be
printed in the Record.
There being no objection, the text of the bills were ordered to be
printed in the Record, as follows:
S. 1103
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
[[Page S2434]]
SECTION 1. EXTENSION OF TIME FOR A FEDERAL ENERGY REGULATORY
COMMISSION PROJECT INVOLVING CLARK CANYON DAM.
Notwithstanding the time period described in section 13 of
the Federal Power Act (16 U.S.C. 806) that would otherwise
apply to the Federal Energy Regulatory Commission project
numbered 12429, the Federal Energy Regulatory Commission
(referred to in this section as the ``Commission'') shall, at
the request of the licensee for the project, and after
reasonable notice and in accordance with the procedures of
the Commission under that section, reinstate the license and
extend the time period during which the licensee is required
to commence construction of project works for the 3-year
period beginning on the date of enactment of this Act.
____
S. 1104
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. EXTENSION OF TIME FOR FEDERAL ENERGY REGULATORY
COMMISSION PROJECT INVOLVING GIBSON DAM.
(a) In General.--Notwithstanding the requirements of
section 13 of the Federal Power Act (16 U.S.C. 806) that
would otherwise apply to the Federal Energy Regulatory
Commission project numbered 12478-003, the Federal Energy
Regulatory Commission (referred to in this section as the
``Commission'') may, at the request of the licensee for the
project, and after reasonable notice and in accordance with
the procedures of the Commission under that section, extend
the time period during which the licensee is required to
commence construction of the project for a 6-year period that
begins on the date described in subsection (b).
(b) Date Described.--The date described in this subsection
is the date of the expiration of the extension of the period
required for commencement of construction for the project
described in subsection (a) that was issued by the Commission
prior to the date of enactment of this Act under section 13
of the Federal Power Act (16 U.S.C. 806).
____________________