Inspecciones en SSTA

SEC. 461. EXTENSION OF AUTHORITY.

(1) in paragraph (1), by striking ‘‘$250,000,000 for fiscal year 1999’’ and all that follows through the period and inserting ‘‘$300,000,000 for fiscal year 2009 and for each of the five succeeding fiscal years.’’; and

(2) in paragraph (2), by striking ‘‘2003’’ each place it appears and inserting ‘‘2015’’.

SEC. 462. ALLOWANCE FOR BOOKS AND SUPPLIES.

Section 462(c)(4)(D) (20 U.S.C. 1087bb(c)(4)(D)) is amended by striking ‘‘$450’’ and inserting ‘‘$600’’.

SEC. 463. AGREEMENTS WITH INSTITUTIONS.

(a) TRANSFERS FOR COLLECTION.—Section 463(a)(4)(B) (20 U.S.C. 1087cc(a)(4)(B)) is amended to read as follows:

‘‘(B) if the institution is not one described in subpara- graph (A), the Secretary may allow such institution to refer such note or agreement to the Secretary, without recompense, except that, once every six months, any sums collected on such a loan (less an amount not to exceed 30 percent of any such sums collected to cover the Sec- retary’s collection costs) shall be repaid to such institution and treated as an additional capital contribution under section 462;’’.

(b) REVISE AUTHORITY TO PRESCRIBE ADDITIONAL FISCAL CON- TROLS.—Section 463(a)(9) (20 U.S.C. 1087cc(a)(9)) is amended by inserting ‘‘, except that nothing in this paragraph shall be construed to permit the Secretary to require the assignment of loans to the Secretary other than as is provided for in paragraphs (4) and (5)’’ before the period.

SEC. 464. PERKINS LOAN TERMS AND CONDITIONS.

(a) LOAN LIMITS.—Section 464(a) (20 U.S.C. 1087dd(a)) is amended—

(1) in paragraph (2)(A)—

(A) by striking ‘‘$4,000’’ in clause (i) and inserting ‘‘$5,500’’; and

(B) by striking ‘‘$6,000’’ in clause (ii) and inserting ‘‘$8,000’’; and

(2) in paragraph (2)(B)—

(A) by striking ‘‘$40,000’’ in clause (i) and inserting ‘‘$60,000’’;

(B) by striking ‘‘$20,000’’ in clause (ii) and inserting ‘‘$27,500’’; and

(C) by striking ‘‘$8,000’’ in clause (iii) and inserting ‘‘$11,000’’.

(b) DISCHARGE AND CANCELLATION RIGHTS IN CASES OF DIS- ABILITY.—

(1) AMENDMENT.—Section 464 (20 U.S.C. 1087dd(c)) is fur- ther amended—

(A) in subsection (c)(1)(F), by striking ‘‘canceled upon the death’’ and all that follows through the semicolon and inserting ‘‘cancelled—

‘‘(i) upon the death of the borrower;

‘‘(ii) if the borrower becomes permanently and totally disabled as determined in accordance with regu- lations of the Secretary;

‘‘(iii) if the borrower is unable to engage in any substantial gainful activity by reason of any medically

determinable physical or mental impairment that can be expected to result in death, has lasted for a contin- uous period of not less than 60 months, or can be expected to last for a continuous period of not less than 60 months; or

‘‘(iv) if the borrower is determined by the Secretary of Veterans Affairs to be unemployable due to a service- connected disability;’’; and

(B) by adding at the end the following:

‘‘(k) The Secretary may develop such additional safeguards as the Secretary determines necessary to prevent fraud and abuse in the cancellation of liability under subsection (c)(1)(F). Notwith- standing subsection (c)(1)(F), the Secretary may promulgate regula- tions to resume collection on loans cancelled under subsection (c)(1)(F) in any case in which—

‘‘(1) a borrower received a cancellation of liability under subsection (c)(1)(F) and after the cancellation the borrower— ‘‘(A) receives a loan made, insured, or guaranteed under this title; or

‘‘(B) has earned income in excess of the poverty line; or

‘‘(2) the Secretary determines necessary.’’.

(2) EFFECTIVE DATE.—The amendments made by paragraph (1) shall take effect on July 1, 2008.

(c) FORBEARANCE.—Section 464 (20 U.S.C. 1087dd) is further amended—

(1) in subsection (e)—

(A) in the matter preceding paragraph (1), by striking ‘‘, upon written request,’’ and inserting ‘‘, as documented in accordance with paragraph (2),’’;

(B) by redesignating paragraphs (1) through (3) as subparagraphs (A) through (C), respectively;

(C) by inserting ‘‘(1)’’ after ‘‘FORBEARANCE.—’’; and (D) by adding at the end the following:

‘‘(2) For the purpose of paragraph (1), the terms of forbearance agreed to by the parties shall be documented by—

‘‘(A) confirming the agreement of the borrower by notice to the borrower from the institution of higher education; and

‘‘(B) recording the terms in the borrower’s file.’’;

(2) in subsection (h)(1)(A), by striking ‘‘12 ontime’’ and inserting ‘‘9 on-time’’; and

(3) in subsection (j)(2), by striking ‘‘(e)(3)’’ and inserting ‘‘(e)(1)(C)’’.

SEC. 465. CANCELLATION FOR PUBLIC SERVICE.

Section 465(a) (20 U.S.C. 1087ee(a)) is amended— (1) in paragraph (2)—

(A) by striking subparagraph (A) and inserting the following:

‘‘(A) as a full-time teacher for service in an academic year (including such a teacher employed by an educational service agency)—

‘‘(i) in a public or other nonprofit private elementary school or secondary school, which, for the purpose of this paragraph and for that year—

‘‘(I) has been determined by the Secretary (pursu- ant to regulations of the Secretary and after consulta- tion with the State educational agency of the State in which the school is located) to be a school in which the number of children meeting a measure of poverty under section 1113(a)(5) of the Elementary and Sec- ondary Education Act of 1965, exceeds 30 percent of the total number of children enrolled in such school; and

‘‘(II) is in the school district of a local educational agency which is eligible in such year for assistance pursuant to part A of title I of the Elementary and Secondary Education Act of 1965; or

‘‘(ii) in one or more public, or nonprofit private, elementary schools or secondary schools or locations oper- ated by an educational service agency that have been deter- mined by the Secretary (pursuant to regulations of the Secretary and after consultation with the State educational agency of the State in which the educational service agency operates) to be a school or location at which the number of children taught who meet a measure of poverty under section 1113(a)(5) of the Elementary and Secondary Edu- cation Act of 1965, exceeds 30 percent of the total number of children taught at such school or location;’’;

(B) in subparagraph (B), by striking ‘‘Head Start Act which’’ and inserting ‘‘Head Start Act, or in a prekinder- garten or child care program that is licensed or regulated by the State, that’’;

(C) in subparagraph (C), by inserting ‘‘, including a system administered by an educational service agency’’ after ‘‘secondary school system’’;

(D) by striking subparagraph (F) and inserting the following:

‘‘(F) as a full-time law enforcement officer or corrections officer for service to local, State, or Federal law enforcement or corrections agencies, or as a full-time attorney employed in a defender organization established in accordance with sec- tion 3006A(g)(2) of title 18, United States Code;’’;

(E) in subparagraph (H), by striking ‘‘or’’ after the semicolon;

(F) in subparagraph (I), by striking the period and inserting a semicolon; and

(G) by inserting before the matter following subpara- graph (I) the following:

‘‘(J) as a full-time fire fighter for service to a local, State, or Federal fire department or fire district;

‘‘(K) as a full-time faculty member at a Tribal College or University, as that term is defined in section 316;

‘‘(L) as a librarian, if the librarian has a master’s degree in library science and is employed in—

‘‘(i) an elementary school or secondary school that is eligible for assistance under part A of title I of the Elementary and Secondary Education Act of 1965; or

‘‘(ii) a public library that serves a geographic area that contains one or more schools eligible for assistance under part A of title I of the Elementary and Secondary Education Act of 1965; or

‘‘(M) as a full-time speech language pathologist, if the pathologist has a masters degree and is working exclusively with schools that are eligible for assistance under title I of the Elementary and Secondary Education Act of 1965.’’; and

(2) in paragraph (3)(A)— (A) in clause (i)—

(i) by inserting ‘‘(D),’’ after ‘‘(C),’’; and

(ii) by striking ‘‘or (I)’’ and inserting ‘‘(I), (J), (K), (L), or (M)’’;

(B) in clause (ii), by inserting ‘‘or’’ after the semicolon; (C) by striking clause (iii); and

(D) by redesignating clause (iv) as clause (iii).

SEC. 466. SENSE OF CONGRESS REGARDING FEDERAL PERKINS LOANS.

It is the sense of Congress that the Federal Perkins Loan Program, which provides low-interest loans to help needy students finance the costs of postsecondary education, is an important part of Federal student aid, and should remain a campus-based aid program at colleges and universities.