,i #aacth ,,congress #b;d ,session ,h4 ,r4 #dfbb ,,in ,,the ,,house ,,of ,,representatives ,may #i1 #bjad ,mr4 ,pocan 7for himself1 ,mr4 ,peters of ,california1 ,ms4 ,brownley of ,california1 ,ms4 ,loretta ,sanchez of ,california1 ,mr4 ,ruiz1 ,mr4 ,vargas1 ,mrs4 ,bustos1 ,mr4 ,waxman1 ,ms4 ,moore1 ,ms4 ,fudge1 ,ms4 ,clarke of ,new ,york1 ,mr4 ,huffman1 ,mr4 ,mc,govern1 ,mrs4 ,negrete ,mc,leod1 ,mr4 ,rush1 ,ms4 ,schakowsky1 ,mr4 ,schiff1 ,ms4 ,hahn1 ,ms4 ,chu1 ,ms4 ,lofgren1 ,mr4 ,schrader1 ,mr4 ,sarbanes1 and ,mr4 ,grijalva7 introduced the following bill2 which was referred to the ,committee on ,education and the ,workforce ,a ,,bill ,to allow certain student loan borrowers to refinance ,federal student loans4 #a4 ,short title ,this ,act may be cited as the ,federal ,student ,loan ,refinancing ,act4 #b4 ,student loan consolidation ,section #dei;,b of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;i-#b7 is amended-- 7#a7 in subsection 7a77#c71 by striking section and inserting subsection2 7#b7 in subsection 7b71 by striking this section and inserting subsection 7a7 each place the term appears2 and 7#c7 by inserting at the end the following3 7c7 ,temporary ,loan ,consolidation ,authority for certain loans made after ,july #a1 #bjjf 7#a7 ,loan consolidation authority 7,a7 ,in ,general ,a borrower who has #a or more loans in a category described in subparagraph 7,b7 may consolidate all of the loans of the borrower that are described in subparagraph 7,b7 into a ,federal ,direct ,consolidation ,loan during the period described in subparagraph 7,c74 7,b7 ,categories of loans that may be consolidated ,the categories of loans that may be consolidated under subparagraph 7,a7 are loans made on or after ,july #a1 #bjjf1 that are-- 7i7 loans made under this part2 7ii7 loans purchased by the ,secretary pursuant to section #dei;,a2 and 7iii7 loans made under part ,b that are held by an eligible lender1 as such term is defined in section #dce7;d74 7,c7 ,time period in which loans may be consolidated 7i7 ,federal ,direct ,loans ,in the case of a borrower who has #a or more loans described under subparagraph 7,b77i71 the ,secretary shall-- 7,i7 consolidate the loans described under subparagraph 7,b77i7 not later than #ij days after the date of enactment of the ,federal ,student ,loan ,refinancing ,act2 and 7,,ii7 notify the borrower1 in writing1 prior to such consolidation that-- 7aa7 the borrower's loans under this part have been consolidated at a lower interest rate2 and 7bb7 the borrower's repayment plan and the other terms and conditions of the borrower's loan remain unchanged4 7ii7 ,other ,loans ,in the case of a borrower who has #a or more loans described under clause 7ii7 or 7iii7 of subparagraph 7,b71 the ,secretary shall-- 7,i7 initiate the loan consolidation process for the loans described under clause 7ii7 or 7iii7 of subparagraph 7,b71 not later than #ij days after the date of enactment of the ,federal ,student ,loan ,refinancing ,act1 by sending a completed loan consolidation application to the borrower2 7,,ii7 notify the borrower1 as part of such application1 that a fee will be assessed and that the interest rate of the ,federal ,direct ,consolidation ,loan will be set in accordance with paragraph 7#b72 and 7,,iii7 notify the borrower1 as part of such application1 that if the borrower wishes to consolidate in accordance with the completed application1 the borrower must endorse the application and submit the application to the ,secretary not more than #f months after receipt of the application4 7#b7 ,terms of loans ,the following terms and conditions shall apply to a ,federal ,direct ,consolidation ,loan made under this subsection3 7,a7 ,the applicable rate of interest on a ,federal ,direct ,consolidation ,loan made under this subsection shall be-- 7i7 #d percent2 or 7ii7 in a case in which the weighted average of the interest rates on the outstanding loans of a borrower that will be consolidated is less than #d percent1 the lesser of-- 7,i7 the weighted average of the interest rates on the outstanding loans of a borrower that will be consolidated2 or 7,,ii7 a rate of interest equal to-- 7aa7 #d percent2 minus 7bb7 #j4d percent of the principal balance of the consolidation loan1 at the time of consolidation4 7,b7 ,in the case of a loan consolidated under paragraph 7#a77;,c77ii71 an origination fee equal to #j4d percent of the principal balance of the consolidation loan1 at the time of consolidation1 will be added to the principal balance of the loan1 and the ,secretary shall use the fee to cover the cost of making and servicing the loan4 7,c7 ,if #a or more of the loans being consolidated is a loan described under subparagraph 7,b77iii71 the interest rate on the ,federal ,direct ,consolidation ,loan under this subsection shall be reduced by #j4be percent4 7,d7 ,any benefit a borrower is receiving or earning at the time a ,federal ,direct ,consolidation loan is issued under this subsection shall not be affected by consolidation under this section1 including benefits such as a deferment or forbearance1 accumulation of monthly payments as part of the public service loan forgiveness program under section #dee7m71 accumulation of monthly payments toward a loan discharge under the income-based repayment plan under section #dic;,c1 participation in a particular repayment plan1 and other benefits to the borrower4 4 #c4 ,exemptions from other laws 7a7 ,exemption from the ,paperwork ,reduction ,act ,chapter #ce of title #dd1 ,united ,states ,code1 shall not apply to this ,act4 7b7 ,inapplicability of rulemaking requirements ,sections #dhb7;c7 and #dib of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhi7;c71 #ajih;a7 and section #eec of title #e1 ,united ,states ,code1 shall not apply to the amendments made by this ,act1 or to any regulations promulgated under such amendments4