,i  #aac? ,,congress  #b;d ,session  ,h4
 ,r4 #dfbb  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,may #i1 #bjad ,mr4   
,pocan 7= himself1 ,mr4 ,pet]s (        
,cali=nia1 ,ms4 ,br[nley ( ,cali=nia1   
,ms4 ,loretta ,san*ez ( ,cali=nia1 ,mr4 
,ruiz1 ,mr4 ,v>gas1 ,mrs4 ,bu/os1 ,mr4  
,waxman1 ,ms4 ,moore1 ,ms4 ,fudge1 ,ms4 
,cl>ke ( ,new ,york1 ,mr4 ,huffman1 ,mr4
 ,mc,govern1 ,mrs4 ,negrete ,mc,leod1   
,mr4 ,ru%1 ,ms4 ,s*ak[sky1 ,mr4 ,s*iff1 
,ms4 ,hahn1 ,ms4 ,*u1 ,ms4 ,l(gr51 ,mr4 
,s*rad]1 ,mr4 ,s>banes1 & ,mr4          
,grijalva7 introduc$ ! foll[+ bill2 :i* 
0 ref]r$ to ! ,committee on ,education &
 ! ,work=ce  ,a ,,bill  ,to all[ c]ta9  
/ud5t loan borr[]s to ref9ance ,f$]al   
/ud5t loans4  #a4 ,%ort title ,?is ,act 
may be cit$ z ! ,f$]al ,/ud5t ,loan     
,ref9anc+ ,act4  #b4 ,/ud5t loan        
consolidation ,section #dei;,b ( !      
,high] ,education ,act ( #aife 7#bj     
,u4,s4,c4 #ajhg;i-#b7 is am5d$--  7#a7 9
 subsection 7a77#c71 by /rik+ section & 
ins]t+ subsection2  7#b7 9 subsection   

7b71 by /rik+ ?is section & ins]t+      
subsection 7a7 ea* place ! t]m appe>s2 &
  7#c7 by ins]t+ at ! end ! foll[+3  7c7
 ,tempor>y ,loan ,consolidation         
,au?ority = c]ta9 loans made aft] ,july 
#a1 #bjjf  7#a7 ,loan consolidation     
au?ority  7,a7 ,9 ,g5]al ,a borr[] :o   
has #a or m loans 9 a category describ$ 
9 subp>agraph 7,b7 may consolidate all (
 ! loans ( ! borr[] t are describ$ 9    
subp>agraph 7,b7 into a ,f$]al ,direct  
,consolidation ,loan dur+ ! p]iod       
describ$ 9 subp>agraph 7,c74  7,b7      
,categories ( loans t may be consolidat$
 ,! categories ( loans t may be         
consolidat$ "u subp>agraph 7,a7 are     
loans made on or aft] ,july #a1 #bjjf1 t
 are--  7i7 loans made "u ?is "p2  7ii7 
loans pur*as$ by ! ,secret>y pursuant to
 section #dei;,a2 &  7iii7 loans made "u
 "p ,b t are held by an eligible l5d]1 z
 su* t]m is def9$ 9 section #dce7;d74   
7,c7 ,"t p]iod 9 :i* loans may be       
consolidat$  7i7 ,f$]al ,direct ,loans  
,9 ! case ( a borr[] :o has #a or m     

loans describ$ "u subp>agraph 7,b77i71 !
 ,secret>y %all--  7,i7 consolidate !   
loans describ$ "u subp>agraph 7,b77i7 n 
lat] ?an #ij days aft] ! date ( enactm5t
 ( ! ,f$]al ,/ud5t ,loan ,ref9anc+ ,act2
 &  7,,ii7 notify ! borr[]1 9 writ+1    
prior to su* consolidation t--  7aa7 !  
borr[]'s loans "u ?is "p h be5          
consolidat$ at a l[] int]e/ rate2 &     
7bb7 ! borr[]'s repaym5t plan & ! o!r   
t]ms & conditions ( ! borr[]'s loan     
rema9 un*ang$4  7ii7 ,o!r ,loans ,9 !   
case ( a borr[] :o has #a or m loans    
describ$ "u clause 7ii7 or 7iii7 (      
subp>agraph 7,b71 ! ,secret>y %all--    
7,i7 initiate ! loan consolidation      
process = ! loans describ$ "u clause    
7ii7 or 7iii7 ( subp>agraph 7,b71 n lat]
 ?an #ij days aft] ! date ( enactm5t ( !
 ,f$]al ,/ud5t ,loan ,ref9anc+ ,act1 by 
s5d+ a complet$ loan consolidation      
application to ! borr[]2  7,,ii7 notify 
! borr[]1 z "p ( su* application1 t a   
fee w be assess$ & t ! int]e/ rate ( !  
,f$]al ,direct ,consolidation ,loan w be

 set 9 accordance ) p>agraph 7#b72 &    
7,,iii7 notify ! borr[]1 z "p ( su*     
application1 t if ! borr[] wi%es to     
consolidate 9 accordance ) ! complet$   
application1 ! borr[] mu/ endorse !     
application & submit ! application to ! 
,secret>y n m ?an #f mon?s aft] receipt 
( ! application4  7#b7 ,t]ms ( loans ,! 
foll[+ t]ms & conditions %all apply to a
 ,f$]al ,direct ,consolidation ,loan    
made "u ?is subsection3  7,a7 ,!        
applicable rate ( int]e/ on a ,f$]al    
,direct ,consolidation ,loan made "u ?is
 subsection %all be--  7i7 #d p]c5t2 or 
7ii7 9 a case 9 :i* ! weight$ av]age ( !
 int]e/ rates on ! out/&+ loans ( a     
borr[] t w be consolidat$ is less ?an #d
 p]c5t1 ! less] (--  7,i7 ! weight$     
av]age ( ! int]e/ rates on ! out/&+     
loans ( a borr[] t w be consolidat$2 or 
7,,ii7 a rate ( int]e/ equal to--  7aa7 
#d p]c5t2 m9us  7bb7 #j4d p]c5t ( !     
pr9cipal balance ( ! consolidation loan1
 at ! "t ( consolidation4  7,b7 ,9 !    
case ( a loan consolidat$ "u p>agraph   

7#a77;,c77ii71 an orig9ation fee equal  
to #j4d p]c5t ( ! pr9cipal balance ( !  
consolidation loan1 at ! "t (           
consolidation1 w be add$ to ! pr9cipal  
balance ( ! loan1 & ! ,secret>y %all use
 ! fee to cov] ! co/ ( mak+ & s]vic+ !  
loan4  7,c7 ,if #a or m ( ! loans be+   
consolidat$ is a loan describ$ "u       
subp>agraph 7,b77iii71 ! int]e/ rate on 
! ,f$]al ,direct ,consolidation ,loan "u
 ?is subsection %all be r$uc$ by #j4be  
p]c5t4  7,d7 ,any b5efit a borr[] is    
receiv+ or e>n+ at ! "t a ,f$]al ,direct
 ,consolidation loan is issu$ "u ?is    
subsection %all n be affect$ by         
consolidation "u ?is section1 includ+   
b5efits su* z a def]m5t or =be>ance1    
accumulation ( mon?ly paym5ts z "p ( !  
public s]vice loan =giv5ess program "u  
section #dee7m71 accumulation ( mon?ly  
paym5ts t[>d a loan dis*>ge "u !        
income-bas$ repaym5t plan "u section    
#dic;,c1 p>ticipation 9 a p>ticul>      
repaym5t plan1 & o!r b5efits to !       
borr[]4  4  #c4 ,exemptions f o!r laws  

7a7 ,exemption f ! ,pap]work ,r$uction  
,act ,*apt] #ce ( title #dd1 ,unit$     
,/ates ,code1 %all n apply to ?is ,act4 
7b7 ,inapplicability ( rulemak+         
requirem5ts ,sections #dhb7;c7 & #dib ( 
! ,high] ,education ,act ( #aife 7#bj   
,u4,s4,c4 #ajhi7;c71 #ajih;a7 & section 
#eec ( title #e1 ,unit$ ,/ates ,code1   
%all n apply to ! am5dm5ts made by ?is  
,act1 or to any regulations promulgat$  
"u su* am5dm5ts4