[Congressional Record Volume 161, Number 183 (Wednesday, December 16, 2015)]
[Senate]
[Pages S8726-S8727]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 2929. Mr. ALEXANDER (for himself, Ms. Ayotte, Ms. Baldwin, Mr.
Johnson, Mr. Casey, Mr. Cochran, and Mr. Boozman) proposed an amendment
to the bill H.R. 3594, to extend temporarily the Federal Perkins Loan
program, and for other purposes; as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Federal Perkins Loan Program
Extension Act of 2015''.
SEC. 2. EXTENSION OF FEDERAL PERKINS LOAN PROGRAM.
(a) Authority to Make Loans.--
(1) In general.--Section 461 of the Higher Education Act of
1965 (20 U.S.C. 1087aa) is amended--
(A) in subsection (a), by striking ``of stimulating and
assisting in the establishment and maintenance of funds at
institutions of higher education for the making of low-
interest loans to students in need thereof'' and inserting
``assisting in the maintenance of funds at institutions of
higher education for the making of loans to undergraduate
students in need'';
(B) by striking subsection (b) and inserting the following:
``(b) Authority to Make Loans.--
``(1) In general.--
``(A) Loans for new undergraduate federal perkins loan
borrowers.--Through September 30, 2017, an institution of
higher education may make a loan under this part to an
eligible undergraduate student who, on the date of
disbursement of a loan made under this part, has no
outstanding balance of principal or interest on a loan made
under this part from the student loan fund established under
this part by the institution, but only if the institution has
awarded all Federal Direct Loans, as referenced under
subparagraphs (A) and (D) of section 455(a)(2), for which
such undergraduate student is eligible.
``(B) Loans for current undergraduate federal perkins loan
borrowers.--Through September 30, 2017, an institution of
higher education may make a loan under this part to an
eligible undergraduate student who, on the date of
disbursement of a loan made under this part, has an
outstanding balance of principal or interest on a loan made
under this part from the student loan fund established under
this part by the institution, but only if the institution has
awarded all Federal Direct Stafford Loans as referenced under
section 455(a)(2)(A) for which such undergraduate student is
eligible.
``(C) Loans for certain graduate borrowers.--Through
September 30, 2016, with respect to an eligible graduate
student who has received a loan made under this part prior to
October 1, 2015, an institution of higher education that has
most recently made such a loan to the student for an academic
program at such institution may continue making loans under
this part from the student loan fund established under this
part by the institution to enable the student to continue or
complete such academic program.
``(2) No additional loans.--An institution of higher
education shall not make loans under this part after
September 30, 2017.
``(3) Prohibition on additional appropriations.--No funds
are authorized to be appropriated under this Act or any other
Act to carry out the functions described in paragraph (1) for
any fiscal year following fiscal year 2015.''; and
(C) by striking subsection (c).
(2) Rule of construction.--Notwithstanding the amendments
made under paragraph (1) of this subsection, an eligible
graduate borrower who received a disbursement of a loan under
part E of title IV of the Higher Education Act of 1965 (20
U.S.C. 1087aa et seq.) after June 30, 2016 and before October
1, 2016, for the 2016-2017 award year, may receive a
subsequent disbursement of such loan by June 30, 2017, for
which the borrower received an initial disbursement after
June 30, 2016 and before October 1, 2016.
(b) Distribution of Assets From Student Loan Funds.--
Section 466 of the Higher Education Act of 1965 (20 U.S.C.
1087ff) is amended--
(1) in subsection (a)--
(A) in the matter preceding paragraph (1), by striking
``After September 30, 2003, and not later than March 31,
2004'' and inserting ``Beginning October 1, 2017''; and
(B) in paragraph (1), by striking ``September 30, 2003''
and inserting ``September 30, 2017'';
(2) in subsection (b)--
(A) by striking ``After October 1, 2012'' and inserting
``Beginning October 1, 2017''; and
(B) by striking ``September 30, 2003'' and inserting
``September 30, 2017''; and
(3) in subsection (c)(1), by striking ``October 1, 2004''
and inserting ``October 1, 2017''.
(c) Additional Extensions Not Permitted.--Section 422 of
the General Education Provisions Act (20 U.S.C. 1226a) shall
not apply to further extend the duration of the authority
under paragraph (1) of section 461(b) of the Higher Education
Act of 1965 (20 U.S.C. 1087aa(b)), as amended by subsection
(a)(1) of this section, beyond September 30, 2017, on the
basis of the extension under such subsection.
[[Page S8727]]
SEC. 3. DISCLOSURE REQUIRED PRIOR TO DISBURSEMENT.
Section 463A(a) of the Higher Education Act of 1965 (20
U.S.C. 1087cc-1(a)) is amended--
(1) in paragraph (12), by striking ``and'' after the
semicolon;
(2) in paragraph (13), by striking the period at the end
and inserting a semicolon; and
(3) by adding at the end the following:
``(14) a notice and explanation regarding the end to future
availability of loans made under this part;
``(15) a notice and explanation that repayment and
forgiveness benefits available to borrowers of loans made
under part D are not available to borrowers participating in
the loan program under this part;
``(16) a notice and explanation regarding a borrower's
option to consolidate a loan made under this part into a
Federal Direct Loan under part D, including any benefit of
such consolidation;
``(17) with respect to new undergraduate Federal Perkins
loan borrowers, as described in section 461(b)(1)(A), a
notice and explanation providing a comparison of the interest
rates of loans under this part and part D and informing the
borrower that the borrower has reached the maximum annual
borrowing limit for which the borrower is eligible as
referenced under subparagraphs (A) and (D) of section
455(a)(2); and
``(18) with respect to current undergraduate Federal
Perkins loan borrowers, as described in section 461(b)(1)(B),
a notice and explanation providing a comparison of the
interest rates of loans under this part and part D and
informing the borrower that the borrower has reached the
maximum annual borrowing limit for which the borrower is
eligible on Federal Direct Stafford Loans as referenced under
section 455(a)(2)(A).''.
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