,i  #aaf? ,,congress  #a/ ,session  ,h4 
,r4 #ahii  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,m>* #bg1 #bjai ,mr4  
,g>am5di 7= himself1 ,mr4 ,fitzpatrick1 
,mr4 ,c>bajal1 ,mr4 ,mc,nerney1 ,mr4    
,tonko1 ,mr4 ,doggett1 ,ms4 ,ku/] ( ,new
 ,hamp%ire1 ,mr4 ,co/a1 ,mr4            
,kri%namoor?i1 ,ms4 ,norton1 ,mr4 ,coh51
 ,ms4 ,p+ree1 ,mr4 ,gonzalez ( ,texas1  
,miss ,rice ( ,new ,york1 ,mr4 ,h>d] (  
,cali=nia1 ,ms4 ,haal&1 ,ms4 ,hill (    
,cali=nia1 ,mr4 ,san ,nicolas1 ,mr4     
,br5dan ,f4 ,boyle ( ,p5nsylvania1 ,ms4 
,judy ,*u ( ,cali=nia1 ,mr4 ,katko1 ,ms4
 ,jackson ,lee1 ,mr4 ,rose ( ,new ,york1
 ,mr4 ,l[5?al1 & ,mr4 ,soto7 introduc$ !
 foll[+ bill2 :i* 0 ref]r$ to !         
,committee on ,education & ,labor  ,a   
,,bill  ,to provide = ! ref9anc+ &      
recalculation ( c]ta9 ,f$]al /ud5t      
loans1 & = o!r purposes4  #a4 ,%ort     
title ,?is ,act may be cit$ z ! ,/ud5t  
,loan ,ref9anc+ & ,recalculation ,act4  
#b4 ,ref9anc+ programs  7a7 ,program    
au?ority ,section #dea7;a7 ( ! ,high]   

,education ,act ( #aife 7#bj ,u4,s4,c4  
#ajhg;a7a77 is am5d$--  7#a7 by /rik+ & 
7#b7 & ins]t+ 7#b72 &  7#b7 by ins]t+ 2 
& 7#c7 to make loans "u section #dfj;,a 
aft] section #dei;,a4  7b7 ,ref9anc+    
program ,"p ,d ( title ,,iv ( ! ,high]  
,education ,act ( #aife 7#bj ,u4,s4,c4  
#ajhg;a et seq47 is am5d$ by add+ at !  
end ! foll[+3  #dfj;,a4 ,ref9anc+ ,,ffel
 & ,f$]al ,direct ,loans  7a7 ,9 g5]al  
,beg9n+ n lat] ?an #ahj days aft] ! date
 ( enactm5t ( ! ,/ud5t ,loan ,ref9anc+ &
 ,recalculation ,act1 ! ,secret>y %all  
e/abli% a program "u :i* ! ,secret>y1 ^u
 ! receipt ( an application f a qualifi$
 borr[]1 reissues ! borr[]'s orig9al    
loan "u ?is "p or "p ,b z a loan "u ?is 
"p1 9 accordance ) ! provisions ( ?is   
section1 9 ord] to p]mit ! borr[] to    
obta9 ! int]e/ rate provid$ "u          
subsection 7c74  7b7 ,reissu+ loans     
7#a7 ,f$]al ,direct ,loans ,^u          
application ( a qualifi$ borr[]1 !      
,secret>y %all reissue a ,f$]al ,direct 
,/af=d ,loan1 a ,f$]al ,direct          

,unsubsidiz$ ,/af=d ,loan1 a ,f$]al     
,direct ,,plus ,loan1 or a ,f$]al       
,direct ,consolidation ,loan ( !        
qualifi$ borr[]1 = :i* ! fir/           
disbursem5t 0 made1 or ! application = !
 reissuance ( a loan "u ?is section 0   
receiv$ be=e ,july #a1 #bjai1 9 an am\nt
 equal to ! sum (-- 7,a7 ! unpaid       
pr9cipal1 accru$ unpaid int]e/1 & late  
*>ges ( ! orig9al loan2 &  7,b7 !       
adm9i/rative fee "u subsection 7d77#c74 
7#b7 ,dis*>g+ & reissu+ ,,ffel ,program 
loans z ref9anc$ ,f$]al ,direct ,loans  
,^u application ( a qualifi$ borr[] =   
any loan t 0 made1 insur$1 or gu>ante$  
"u "p ,b & = :i* ! fir/ disbursem5t 0   
made be=e ,july #a1 #bjaj1 ! ,secret>y  
%all reissue su* loan z a loan "u ?is   
"p1 9 an am\nt equal to ! sum ( ! unpaid
 pr9cipal1 accru$ unpaid int]e/1 & late 
*>ges ( ! orig9al loan & ! adm9i/rative 
fee "u subsection 7d77#c71 to ! borr[] 9
 accordance ) ! foll[+3  7,a7 ,!        
,secret>y %all pay ! proce$s ( su*      
reissu$ loan to ! eligible l5d] ( ! loan

 made1 insur$1 or gu>ante$ "u "p ,b1 9  
ord] to dis*>ge ! borr[] f any rema9+   
obligation to ! l5d] ) respect to !     
orig9al loan4  7,b7 ,! ,secret>y %all   
reissue--  7i7 a loan orig9ally made1   
insur$1 or gu>ante$ "u section #dbh z a 
,f$]al ,direct ,/af=d ,loan2  7ii7 a    
loan orig9ally made1 insur$1 or gu>ante$
 "u section #dbh;,b z a ,f$]al ,direct  
,,plus ,loan2  7iii7 a loan orig9ally   
made1 insur$1 or gu>ante$ "u section    
#dbh;,h z a ,f$]al ,direct ,unsubsidiz$ 
,/af=d ,loan2 &  7iv7 a loan orig9ally  
made1 insur$1 or gu>ante$ "u section    
#dbh;,c z a ,f$]al ,direct              
,consolidation ,loan4  7,c7 ,! int]e/   
rate = ea* loan reissu$ "u ?is p>agraph 
%all be ! rate provid$ "u subsection    
7c74  7c7 ,int]e/ rate  7#a7 ,9 g5]al ,!
 int]e/ rate = ! reissu$ ,f$]al ,direct 
,/af=d ,loans1 ,f$]al ,direct           
,unsubsidiz$ ,/af=d ,loans1 ,f$]al      
,direct ,,plus ,loans1 & ,f$]al ,direct 
,consolidation ,loans1 %all be a rate   
equal to--  7,a7 ! high yield ( !       

#aj-ye> ,treasury note auction$ at !    
f9al auction held prior to ! fir/ day ( 
! mon? 9 :i* ! application = reissuance 
"u ?is section is receiv$1 plus  7,b7   
#a4j p]c5t4  7#b7 ,fix$ ,rate ,!        
applicable rate ( int]e/ det]m9$ "u     
p>agraph 7#a7 = a reissu$ loan "u ?is   
section %all be fix$ = ! p]iod ( ! loan4
  7d7 ,t]ms & conditions ( loans  7#a7  
,9 g5]al ,a loan t is reissu$ "u ?is    
section %all h ! same t]ms & conditions 
z ! orig9al loan1 except z o!rwise      
provid$ 9 ?is section4  7#b7 ,no        
automatic ext5sion ( repaym5t p]iod     
,reissu+ a loan "u ?is section %all n   
result 9 ! ext5sion ( ! duration ( !    
repaym5t p]iod ( ! loan1 & ! borr[] %all
 reta9 ! same repaym5t t]m t 0 9 effect 
on ! orig9al loan4 ,no?+ 9 ?is p>agraph 
%all be con/ru$ to prev5t a borr[] f    
elect+ a diff]5t repaym5t plan at any "t
 9 accordance ) section #dee7;d77#c74   
7#c7 ,adm9i/rative fee ,! ,secret>y %all
 *>ge ! borr[] ( a loan reissu$ "u ?is  
section an adm9i/rative fee ( n m ?an   

#j4e p]c5t ( ! sum ( ! unpaid pr9cipal1 
accru$ unpaid int]e/1 & late *>ges1 ( ! 
orig9al loan4  7e7 ,def9ition ( qualifi$
 borr[]  7#a7 ,9 ,g5]al ,! t]m qualifi$ 
borr[] means a borr[]-- 7,a7 ( a loan "u
 ?is "p or "p ,b = :i* ! fir/           
disbursem5t 0 made1 or ! application =  
reissuance "u ?is section 0 receiv$1    
be=e ,july #a1 #bjai2 &  7,b7 :o meets !
 eligibility requirem5ts bas$ on income 
or debt-to-income ratio e/abli%$ by !   
,secret>y4  7#b7 ,income requirem5ts ,n 
lat] ?an #ahj days aft] ! date (        
enactm5t ( ! ,/ud5t ,loan ,ref9anc+ &   
,recalculation ,act1 ! ,secret>y %all   
e/abli% eligibility requirem5ts bas$ on 
income or debt-to-income ratio t take   
into consid]ation provid+ access to     
ref9anc+ "u ?is section = borr[]s ) !   
greate/ f9ancial ne$4  7f7 ,expiration (
 au?ority ,! ,secret>y's au?ority to    
reissue loans "u ?is section %all expire
 on ! date t is det]m9$ 9 accordance )  
section #d ( ! ,fairness 9 ,/ud5t ,loan 
,l5d+ ,act4  4  7c7 ,am5dm5ts to public 

s]vice repaym5t plan provisions ,section
 #dee7m7 ( ! ,high] ,education ,act (   
#aife 7#bj ,u4,s4,c4 #ajhg;e7m77 is     
am5d$--  7#a7 by r$esignat+ p>agraphs   
7#c7 & 7#d7 z p>agraphs 7#d7 & 7#e71    
respectively2  7#b7 by ins]t+ aft]      
p>agraph 7#b7 ! foll[+3  7#c7 ,special  
rules = section #dfj;,a loans  7,a7     
,ref9anc$ ,f$]al ,direct loans ,not)/&+ 
p>agraph 7#a71 9 det]m9+ ! numb] (      
mon?ly paym5ts t meet ! requirem5ts (   
su* p>agraph = an eligible ,f$]al       
,direct ,loan reissu$ "u section #dfj;,a
 t 0 orig9ally a loan "u ?is "p1 !      
,secret>y %all include all mon?ly       
paym5ts made on ! orig9al loan t meet ! 
requirem5ts ( su* p>agraph4  7,b7       
,ref9anc$ ,,ffel loans ,9 ! case ( an   
eligible ,f$]al ,direct ,loan reissu$ "u
 section #dfj;,a t 0 orig9ally a loan "u
 "p ,b1 only mon?ly paym5ts made aft] ! 
date on :i* ! loan 0 reissu$ may be     
includ$ = purposes ( p>agraph 7#a74  2 &
  7#c7 9 p>agraph 7#d77;,a7 7z          
r$esignat$ by p>agraph 7#a7 ( ?is       

subsection71 by ins]t+ 7includ+ any     
,f$]al ,direct ,/af=d ,loan1 ,f$]al     
,direct ,,plus ,loan1 ,f$]al ,direct    
,unsubsidiz$ ,/af=d ,loan1 or ,f$]al    
,direct ,consolidation ,loan reissu$ "u 
section #dfj;,a7 be=e ! p]iod at ! end4 
7d7 ,income-,bas$ repaym5t ,section     
#dic;,c ( ! ,high] ,education ,act (    
#aife 7#bj ,u4,s4,c4 #ajih;e7 is am5d$  
by add+ at ! end ! foll[+3  7a7         
,ref9anc$ ,f$]al ,direct & ,,ffel loans 
,9 calculat+ ! p]iod ( "t dur+ :i* a    
borr[] ( a loan t is reissu$ "u section 
#dfj;,a has made mon?ly paym5ts =       
purposes ( subsection 7b77#g71 !        
,secret>y %all deem ! p]iod to include  
all mon?ly paym5ts made = ! orig9al     
loan1 & all mon?ly paym5ts made = !     
reissu$ loan1 t o!rwise meet !          
requirem5ts ( ?is section4  4  #c4      
,int]e/ ,rates  7a7 ,int]e/ rates       
,section #dee7;b7 ( ! ,high] ,education 
,act ( #aife 7#bj ,u4,s4,c4 #ajhg;e7b77 
is am5d$--  7#a7 by r$esignat+ p>agraph 
7#i7 z p>agraph 7#aj72 &  7#b7 by ins]t+

 aft] p>agraph 7#h7 ! foll[+3  7#i7     
,int]e/ rate provisions = new loans on  
or aft] ,july #a1 #bjai  7,a7 ,rates =  
und]graduate ,,fdsl & ,,fdusl ,not)/&+ !
 prec$+ p>agraphs ( ?is subsection1 =   
,f$]al ,direct ,/af=d ,loans & ,f$]al   
,direct ,unsubsidiz$ ,/af=d ,loans issu$
 to und]graduate /ud5ts1 = :i* ! fir/   
disbursem5t is made on or aft] ,july #a1
 #bjai1 ! applicable rate ( int]e/ %all1
 = loans disburs$ dur+ any #ab-mon?     
p]iod beg9n+ on ,july #a & end+ on ,june
 #cj1 be det]m9$ on ! prec$+ ,june #a & 
be equal to ! less] (-- 7i7 a rate equal
 to--  7,i7 ! high yield ( ! #aj-ye>    
,treasury note auction$ at ! f9al       
auction held prior to su* ,june #a1 plus
  7,,ii7 #a p]c5t2 or  7ii7 #h4be p]c5t4
  7,b7 ,rates = graduate & pr(essional  
,,fdusl ,not)/&+ ! prec$+ p>agraphs (   
?is subsection1 = ,f$]al ,direct        
,unsubsidiz$ ,/af=d ,loans issu$ to     
graduate or pr(essional /ud5ts1 = :i* ! 
fir/ disbursem5t is made on or aft]     
,july #a1 #bjai1 ! applicable rate (    

int]e/ %all1 = loans disburs$ dur+ any  
#ab-mon? p]iod beg9n+ on ,july #a & end+
 on ,june #cj1 be det]m9$ on ! prec$+   
,june #a & be equal to ! less] (--  7i7 
a rate equal to-- 7,i7 ! high yield ( ! 
#aj-ye> ,treasury note auction$ at !    
f9al auction held prior to su* ,june #a1
 plus  7,,ii7 #a p]c5t2 or  7ii7 #i4e   
p]c5t4  7,c7 ,,plus ,loans ,not)/&+ !   
prec$+ p>agraphs ( ?is subsection1 =    
,f$]al ,direct ,,plus ,loans1 = :i* !   
fir/ disbursem5t is made on or aft]     
,july #a1 #bjai1 ! applicable rate (    
int]e/ %all1 = loans disburs$ dur+ any  
#ab-mon? p]iod beg9n+ on ,july #a & end+
 on ,june #cj1 be det]m9$ on ! prec$+   
,june #a & be equal to ! less] (-- 7i7 a
 rate equal to--  7,i7 ! high yield ( ! 
#aj-ye> ,treasury note auction$ at !    
f9al auction held prior to su* ,june #a1
 plus  7,,ii7 #a p]c5t2 or  7ii7 #aj4e  
p]c5t4  7,d7 ,consolidation loans       
,not)/&+ ! prec$+ p>agraphs ( ?is       
subsection1 any ,f$]al ,direct          
,consolidation ,loan = :i* ! application

 is receiv$ on or aft] ,july #a1 #bjai1 
%all be> int]e/ at an annual rate on !  
unpaid pr9cipal balance ( ! loan t is   
equal to ! weight$ av]age ( ! int]e/    
rates on ! loans consolidat$1 r\nd$ to !
 ne>e/ high] "o-eigh? ( "o p]c5t4  7,e7 
,consultation ,! ,secret>y %all det]m9e 
! applicable rate ( int]e/ "u ?is       
p>agraph aft] consultation ) ! ,secret>y
 ( ! ,treasury & %all publi% su* rate 9 
! ,f$]al ,regi/] z soon z practicable   
aft] ! date ( det]m9ation4  7,f7 ,rate  
,! applicable rate ( int]e/ det]m9$ "u  
?is p>agraph = a ,f$]al ,direct ,/af=d  
,loan1 a ,f$]al ,direct ,unsubsidiz$    
,/af=d ,loan1 or a ,f$]al ,direct ,,plus
 ,loan %all be fix$ = ! p]iod ( ! loan4 
4  7b7 ,9 s*ool def]m5t ,section        
#dee7;f7 ( ! ,high] ,education ,act (   
#aife 7#bj ,u4,s4,c4 #ajhg;e7f77 is     
am5d$-- 7#a7 9 p>agraph 7#a71 9 ! matt] 
prec$+ subp>agraph 7,a71 by /rik+ ,a    
borr[] & ins]t+ ,except z provid$ 9     
p>agraph 7#e71 a borr[]2  7#b7 9        
p>agraph 7#b77;,a7-- 7,a7 by /rik+ !    

matt] foll[+ clause 7ii72  7,b7 9 clause
 7ii71 by /rik+ ! comma at ! end &      
ins]t+ 2 or2 &  7,c7 by add+ at ! end ! 
foll[+3  7iii7 is s]v+ 9 a m$ical or    
d5tal int]n%ip or resid5cy program2  2 &
  7#c7 by add+ at ! end ! foll[+ new    
p>agraph3  7#e7 ,special rule = 9 s*ool 
def]m5t ,not)/&+ any o!r provision ( ?is
 ,act1 a borr[] describ$ 9 p>agraph     
7#b77;,a7 %all be eligible = a def]m5t1 
dur+ :i* p]iodic in/allm5ts ( pr9cipal  
ne$ n be paid1 & int]e/-- 7,a7 %all n   
accrue1 9 ! case ( a borr[] ) an expect$
 family contribution ( n m ?an #aj1jjj  
7comput$ 9 accordance ) "p ,f ( ?is     
title72 &  7,b7 %all accrue at ! rate   
equal to ! high yield ( ! #aj-ye>       
,treasury note applicable to su* loan "u
 subsection 7b77#i71 9 ! case ( a borr[]
 ( an unsubsidiz$ loan ) an expect$     
family contribution ( m ?an #aj1jjj     
7comput$ 9 accordance ) "p ,f ( ?is     
title74  4  7c7 ,effective date ,!      
am5dm5ts made by subsections 7a7 & 7b7  
%all take effect on ,july #a1 #bjai4    

#d4 ,elim9ation ( orig9ation fees =     
,f$]al ,direct ,loans  7a7 ,s5se (      
,congress ,x is ! s5se ( ,congress t no 
orig9ation fees %\ld be *>g$ on any     
future ,f$]al ,direct ,loans4  7b7      
,repeal ( orig9ation fees ,subsection   
7c7 ( section #dee ( ! ,high] ,education
 ,act ( #aife 7#bj ,u4,s4,c4 #ajhg;e7c77
 is repeal$4  7c7 ,effective date ,!    
am5dm5t made by subsection 7b7 %all     
apply ) respect to loans made "u "p ,d (
 title ,,iv ( ! ,high] ,education ,act (
 #aife 7#bj ,u4,s4,c4 #ajhg;a et seq47 =
 :i* ! fir/ disbursem5t ( pr9cipal is   
made1 or1 9 ! case ( a ,f$]al ,direct   
,consolidation ,loan1 ! application is  
receiv$1 on ! fir/ ,july #a aft] ! date 
( enactm5t ( ?is ,act4