,,ii  #aae? ,,congress  #b;d ,session   
,s4 #ccbj  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,augu/ #a1 #bjah ,mrs4 
,mc,caskill introduc$ ! foll[+ bill2 :i*
 0 read twice & ref]r$ to ! ,committee  
on ,f9ance  ,a ,,bill  ,to prev5t       
l[-income s5iors f los+ b5efits due to  
default$ /ud5t loan debt by increas+ !  
am\nt ( b5efits exempt$ f g>ni%m5t4  #a4
 ,%ort title  ,?is ,act may be cit$ z ! 
,protect+ ,s5iors ) ,/ud5t ,loans ,act (
 #bjah4  #b4 ,modification ( exemption f
 adm9i/rative (fset  7a7 ,9 g5]al       
,section #cgaf7;c77#c77;,a7 ( title #ca1
 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 
clause 7i71 by /rik+ clause 7ii7 &      
ins]t+ clauses 7ii7 & 7iii72  7#b7 9    
clause 7ii71 by /rik+ ,an am\nt & ins]t+
 ,except z provid$ 9 clause 7iii71 an   
am\nt2 &  7#c7 by add+ at ! end !       
foll[+3  7iii7 7,i7 ,= a claim ( !      
,dep>tm5t ( ,education t is subject to  
collection by adm9i/rative (fset "u ?is 
section--  7aa7 an am\nt ( #ad1aif :i* a
 debtor may receive "u ,f$]al b5efit    

programs cit$ "u clause 7i7 )9 a        
#ab-mon? p]iod %all be exempt f (fset "u
 ?is subsection2 &  7bb7 9 apply+ !     
exemption "u item 7aa71 ! disburs+      
(ficial %all-- 7,,aa7 r$uce ! exemption 
am\nt = ! #ab-mon? p]iod by ! am\nt (   
all ,f$]al b5efit paym5ts made dur+ su* 
#ab-mon? p]iod :i* are n subject to     
(fset "u ?is subsection2 & 7,,bb7 apply 
a prorat$ am\nt ( ! exemption to ea*    
p]iodic b5efit paym5t to be made to !   
debtor dur+ ! applicable #ab-mon? p]iod4
  7,,ii7 ,= purposes ( subclause 7,i71 !
 am\nt ( a p]iodic b5efit paym5t %all be
 ! am\nt aft] any r$uction or d$uction  
requir$ "u ! laws au?oriz+ ! program "u 
:i* su* paym5t is au?oriz$ to be made   
7includ+ any r$uction or d$uction to    
recov] any ov]paym5t "u su* program74   
7,,iii7 ,! ,secret>y ( ! ,treasury %all 
annually adju/ ! am\nt ( ! exemption "u 
subclause 7,i77aa7 to reflect ! *ange 9 
! ,consum] ,price ,index = ,all ,urban  
,consum]s publi%$ by ! ,dep>tm5t (      
,labor4  4  7b7 ,applicability ,!       

am5dm5ts made by ?is section %all apply 
to ! collection ( a claim by an         
adm9i/rative (fset tak5 aft] ! date (   
enactm5t ( ?is ,act relat+ to a claim t 
arises be=e1 on1 or aft] ! date (       
enactm5t ( ?is ,act4