,i #aahth ,,congress #b;d ,session ,h4 ,r4 #igec ,,in ,,the ,,house ,,of ,,representatives ,september #bc1 #bjbd,ms4 ,adams 7for herself1 ,ms4 ,waters1 ,ms4 ,tlaib1 and ,mr4 ,davis of ,illinois7 introduced the following bill2 which was referred to the ,committee on ,education and the ,workforce ,a ,,bill ,to amend the ,higher ,education ,act of #aife to provide relief for borrowers of ,federal ,direct ,,plus loans made on behalf of students4 #a4 ,short title ,this ,act may be cited as the ,parent ,plus ,parity ,act4 #b4 ,relief for borrowers of ,federal direct ,,plus loans made on behalf of students 7a7 ,expansion of repayment plan options 7#a7 ,in general ,the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajja et seq47 is amended-- 7,a7 in section #dbh7;b77#i77;,a7-- 7i7 in clause 7iv71 by striking and after the semicolon2 7ii7 in clause 7v71 by striking 1 except that the plan described in this clause shall not be available to a borrower for a loan under section #dbh;,b made on behalf of a dependent student or for a consolidation loan under section #dbh;,c1 if the proceeds of such loan were used to discharge the liability of a loan under section #dbh;,b made on behalf of a dependent student4 and inserting 2 and2 and 7iii7 by adding at the end the following3 7vi7 beginning ,july #a1 #bjbd1 an income contingent repayment plan 7as described in section #dee7;d77#a77;,d71 which plan shall include a ,pay as ,you ,earn ,repayment plan and a ,saving on a ,valuable ,education plan as described in section #fhe4bji of title #cd1 ,code of ,federal ,regulations 7or any similar successor regulation71 except such plans shall be available to the borrower of any loan made1 insured1 or guaranteed under this part74 2 7,b7 in section #dbh;,c7c7-- 7i7 in paragraph 7#b77;,a7-- 7,i7 in the first sentence by striking 1 or income-based repayment schedules and inserting 1 income-based1 or1 beginning ,july #a1 #bjbd1 income contingent 7as described in section #dee7;d77#a77;,d771 repayment schedules2 and 7,,ii7 in the second sentence1 by striking or income-based and inserting 1 income-based1 or income contingent2 7ii7 in paragraph 7#c7-- 7,i7 in subparagraph 7,a7-- 7aa7 by inserting 1 or1 beginning ,july #a1 #bjbd1 an income contingent 7as described in section #dee7;d77#a77;,d77 repayment schedule after an income-based repayment schedule under section #dic;,c2 and 7bb7 by inserting and after the semicolon2 7,,ii7 in subparagraph 7,b71 by striking 2 and and inserting a period2 and 7,,iii7 by striking subparagraph 7,c72 7,c7 in section #dee7;d77#a7-- 7i7 in subparagraph 7,d71 by striking 1 except that the plan described in this subparagraph shall not be available to the borrower of a ,federal ,direct ,,plus loan made on behalf of a dependent student and inserting 1 which plan shall include1 beginning ,july #a1 #bjbd1 a ,pay as ,you ,earn ,repayment plan and a ,saving on a ,valuable ,education plan as described in section #fhe4bji of title #cd1 ,code of ,federal ,regulations 7or any similar successor regulation71 except that such plans shall be available to the borrower of any loan made under this part2 and 7ii7 in subparagraph 7,e71 by striking 1 except that the plan described in this subparagraph shall not be available to the borrower of a ,federal ,direct ,,plus ,loan made on behalf of a dependent student or a ,federal ,direct ,consolidation ,loan1 if the proceeds of such loan were used to discharge the liability on such ,federal ,direct ,,plus ,loan or a loan under section #dbh;,b made on behalf of a dependent student2 and 7,d7 in section #dic;,c-- 7i7 by striking subsection 7a7 and inserting the following3 7a7 ,definition of partial financial hardship ,in this section1 the term partial financial hardship1 when used with respect to a borrower1 means that for such borrower-- 7#a7 the annual amount due on the total amount of loans made1 insured1 or guaranteed under part ,b or ,d to a borrower as calculated under the standard repayment plan under section #dbh7;b77#i77;,a77i7 or #dee7;d77#a77;,a71 based on a #aj-year repayment period2 exceeds 7#b7 #ae percent of the result obtained by calculating1 on at least an annual basis1 the amount by which-- 7,a7 the borrower's1 and the borrower's spouse's 7if applicable71 adjusted gross income2 exceeds 7,b7 #aej percent of the poverty line applicable to the borrower's family size as determined under section #fgc7b7 of the ,community ,services ,block ,grant ,act 7#db ,u4,s4,c4 #iijb7b774 2 7ii7 in subsection 7b7-- 7,i7 in paragraph 7#a71 by striking 7other than an excepted ,,plus loan or excepted consolidation loan72 7,,ii7 in paragraph 7#f77;,a71 by striking 7other than an excepted ,,plus loan or excepted consolidation loan72 and 7,,iii7 in paragraph 7#g71 by striking 7other than a loan under section #dbh;,b or a ,federal ,direct ,,plus ,loan72 and 7iii7 in subsection 7c7-- 7,i7 in paragraph 7#a71 by striking 7other than an excepted ,,plus loan or excepted consolidation loan72 and 7,,ii7 in paragraph 7#b77;,b71 by striking 7other than an excepted ,,plus loan or excepted consolidation loan72 and 7iv7 in subsection 7e71 by striking #bjad-- and all that follows through the period at the end and inserting #bjad1 subsection 7a77#c77;,b7 shall be applied by substituting #aj percent for #ae percent44 7#b7 ,rule of construction ,nothing in the amendments made under paragraph 7#a7 shall be construed to authorize any refunding of any repayment of a loan4 7b7 ,discharge for total and permanent disability 7#a7 ,in general 7,a7 ,part ,b ,section #dcg7;a7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg7;a77 is amended by adding at the end the following3 7#d7 ,discharge of parent plus loans for total and permanent disability of student ,notwithstanding any other provision of this ,act1 the ,secretary shall discharge the liability on a loan made under section #dbh;,b on behalf of a student by repaying the amount owed on the loan1 if the student becomes permanently and totally disabled 7as determined in accordance with regulations of the ,secretary74 4 7,b7 ,part ,d ,section #dee of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7 is amended by adding at the end the following3 7q7 ,discharge of parent plus loans for total and permanent disability of student ,notwithstanding any other provision of this ,act1 the ,secretary shall discharge the liability on a ,federal ,direct ,,plus loan made on behalf of a student1 if the student becomes permanently and totally disabled 7as determined in accordance with regulations of the ,secretary74 4 7#b7 ,rule of construction ,nothing in the amendments made under paragraph 7#a7 shall be construed to authorize any refunding of any repayment of a loan4 7c7 ,eligibility for public service loan forgiveness for parent plus loans ,section #dee7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7m77 is amended by adding at the end the following3 7#e7 ,parent ,,plus loan ,the ,secretary shall cancel the balance of interest and principal due on a ,federal ,direct ,,plus loan made on behalf of a student after the date of enactment of the ,parent ,plus ,parity ,act1 if the student is a borrower for whom the ,secretary has cancelled the obligation to repay the balance of principal and interest due on an eligible ,federal ,direct ,loan under this subsection4 4 7d7 ,automatic discharge 7#a7 ,in general 7,a7 ,part ,b ,section #dcg7;c7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg7;c77 is amended by adding at the end the following3 7#f7 ,automatic discharge for parent plus loans ,if a student on whose behalf a parent has received a loan described in section #dbh;,b is a borrower for whom a loan has been discharged pursuant to this subsection1 then the ,secretary shall automatically discharge the parent borrower's liability on the loan described in section #dbh;,b by repaying the amount owed on the loan4 4 7,b7 ,part ,d ,section #dee7;h7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7h77 is amended-- 7i7 by striking ,notwithstanding and inserting the following3 7#a7 ,in general ,notwithstanding 2 and 7ii7 by adding at the end the following3 7#b7 ,automatic discharge for parent plus loans ,if a student on whose behalf a parent has received a ,federal ,direct ,,plus ,loan is a borrower for whom a loan made under this part has been discharged pursuant to a defense to repayment1 then the ,secretary shall automatically discharge the parent borrower's liability on the ,federal ,direct ,,plus ,loan4 4 7#b7 ,rule of construction ,nothing in the amendments made under paragraph 7#a7 shall be construed to authorize any refunding of any repayment of a loan4 7e7 ,discharge for hardship 7#a7 ,part ,b ,section #dcg of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg7 is amended by adding at the end the following3 7e7 ,discharge of parent plus loans for hardship 7#a7 ,in general ,notwithstanding any other provision of this ,act1 the ,secretary shall discharge the liability on a loan made under section #dbh;,b on behalf of a student by repaying the amount owed on the loan1 if the ,secretary determines that the parent borrower has experienced hardship or may experience future hardship as a result of such a loan4 7#b7 ,factors that substantiate hardship ,the ,secretary shall establish factors that demonstrate hardship for the purpose of a discharge under paragraph 7#a71 including any of the following3 7,a7 ,income4 7,b7 ,borrower-loan-debt-to-income ratio4 7,c7 ,potential future earnings4 7,d7 ,age of a borrower4 7,e7 ,age of a loan4 7,f7 ,receipt of public benefits4 7,g7 ,receipt of ,social ,security4 7,h7 ,borrower disability4 7,i7 ,any other indicators of hardship identified by the ,secretary4 7#c7 ,application ,the ,secretary shall create guidelines and an application through which a borrower may submit records or other evidence of hardship or a statement that attests to present or future hardship4 4 7#b7 ,part ,d ,section #dee of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e71 as amended by subsection 7b71 is further amended by adding at the end the following3 7r7 ,discharge of parent plus loans for hardship 7#a7 ,in general ,notwithstanding any other provision of this ,act1 the ,secretary shall discharge the liability on a ,federal ,direct ,,plus loan made on behalf of a student1 if the ,secretary determines that the parent borrower has experienced hardship or may experience future hardship as a result of such a loan4 7#b7 ,factors that substantiate hardship ,the ,secretary shall establish factors that demonstrate hardship for the purpose of a discharge under paragraph 7#a71 including any of the following3 7,a7 ,income4 7,b7 ,borrower-loan-debt-to-income ratio4 7,c7 ,potential future earnings4 7,d7 ,age of a borrower4 7,e7 ,age of a loan4 7,f7 ,receipt of public benefits4 7,g7 ,receipt of ,social ,security4 7,h7 ,borrower disability4 7,i7 ,any other indicators of hardship identified by the ,secretary4 7#c7 ,application ,the ,secretary shall create guidelines and an application through which a borrower may submit records or other evidence of hardship or a statement that attests to present or future hardship4 4 7f7 ,delegation to the secretary ,congress delegates to the ,secretary of ,education the authority1 in issuing regulations to carry out the amendments made by this section1 to interpret the provisions of the amendments made by this section1 taking into consideration cost and public health4 ,a court engaged in judicial review of those provisions1 including judicial review under section #gjf of title #e1 ,united ,states ,code1 shall determine whether the agency's interpretation is based on a permissible construction of the amendments made by this section4