,i #aaith ,,congress #ast ,session ,h4 ,r4 #bhbi ,,in ,,the ,,house ,,of ,,representatives ,april #aj1 #bjbe,mr4 ,courtney 7for himself and ,mr4 ,de,saulnier7 introduced the following bill2 which was referred to the ,committee on ,education and ,workforce ,a ,,bill ,to amend the ,higher ,education ,act of #aife to improve the ,public ,service ,loan ,forgiveness program and reduce interest rates4 #a4 ,short title ,this ,act may be cited as the ,strengthening ,efforts for ,relief and ,vital ,incentives for ,community ,service and ,engagement ,act or the ,,service ,act4 #b4 ,amendments to terms and conditions of public service loan forgiveness 7a7 ,number of monthly payments ,paragraph 7#a7 of section #dee7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7m77 is amended-- 7#a7 in the matter preceding subparagraph 7,a71 by striking a borrower who and inserting a borrower2 7#b7 by amending subparagraph 7,a7 to read as follows3 7,a7 who-- 7i7 has made #if qualifying monthly payments on the eligible ,federal ,direct ,loan after ,october #a1 #bjjg2 and 7ii7 has been employed in a public service job during the period in which the borrower makes each of the #if qualifying monthly payments2 and 2 and 7#c7 by amending subparagraph 7,b7 to read as follows3 7,b7 without regard to the employment status of the borrower at the time of such cancellation4 4 7b7 ,redesignations ,section #dee7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7m77 is further amended by redesignating paragraphs 7#b71 7#c71 and 7#d71 as paragraphs 7#c71 7#f71 and 7#g71 respectively2 7c7 ,monthly payments ,section #dee7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7m77 is further amended-- 7#a7 by inserting after paragraph 7#a71 as so amended1 the following3 7#b7 ,monthly payments 7,a7 ,qualifying monthly payments ,for the purpose of determining under paragraph 7#a7 the number of qualifying monthly payments made by a borrower on an eligible ,federal ,direct ,loan1 the ,secretary shall consider the borrower to have made a qualifying monthly payment for each month that-- 7i7 the borrower pays 7as a lump sum or in multiple installments7 an amount that is not less than the monthly payment amount due on the eligible ,federal ,direct ,loan pursuant to any one or a combination of the following-- 7,i7 payments under an income-based repayment plan under section #dic;,c2 7,,ii7 payments under a standard repayment plan under subsection 7d77#a77;,a71 based on a #aj-year repayment period2 7,,iii7 monthly payments under a repayment plan under subsection 7d77#a7 or 7g7 of not less than the monthly amount calculated under subsection 7d77#a77;,a71 based on a #aj-year repayment period2 or 7,,iv7 payments under an income contingent repayment plan under subsection 7d77#a77;,d72 or 7ii7 in lieu of a payment described in clause 7i71 the borrower is in one of the following periods of deferment or forbearance-- 7,i7 cancer treatment deferment under section #dbg7;a77#b77;,c77iv71 #dbh7;b77#a77,m77v71 or #dee7;f77#c72 7,,ii7 rehabilitation training program deferment under section #dbg7;a77#b77;,c77i77,,ii71 #dbh7;b77#a77,m77i77,,ii71 or #dee7;f77#b77;,a77ii72 7,,iii7 military service deferment under section #dbh7;b77#a77,m77iii7 or #dee7;f77#b77;,c72 7,,iv7 unemployment deferment under section #dbg7;a77#b77;,c77ii71 #dbh7;b77#a77,m77ii71 #dbh;,b7d77#a77;,a77i71 or #dee7;f77#b77;,b72 7,v7 deferment due to an economic hardship described in section #dbg7;a77#b77;,c77iii71 section #dbh7;b77#a77,m77iv71 section #dbh;,b7d77#a77;,a77i71 section #dce7o71 or section #dee7;f77#b77;,d72 7,,vi7 ,peace ,corps service deferment under section #fhb4baj7;b77#b77;ii7 or #fhb4baj7k7 of title #cd1 ,code of ,federal ,regulations 7or successor regulations71 as made applicable to ,direct ,loan borrowers under section #fhe4bjd7;j7 of such title #cd2 7,,vii7 post-active-duty student deferment under section #dic;,d2 7,,viii7 ,ameri,corps forbearance under section #dbh7;c77#c77;,a77i77,,iii72 7,,ix7 ,national ,guard ,duty forbearance under section #fhb4baa7;h77#b77;iii7 or #fhe4bje7;a77#g7 of title #cd1 ,code of ,federal ,regulations 7or successor regulations72 7,x7 ,department of ,defense student loan repayment program forbearance under section #dbh7;c77#c77;,a77i77,,iv72 7,,xi7 administrative forbearance or mandatory administrative forbearance under section #dbh7;c77#c77;,d7 or #dbh;,h7e77#g72 or 7,,xii7 student loan debt burden forbearance under section #dbh7;c77#c77;,a77i77,,ii74 7,b7 ,prepayments 7i7 ,in general ,subject to clause 7ii71 if1 for any month1 a borrower makes a qualifying monthly payment on an eligible ,federal ,direct ,loan in an amount that exceeds the monthly payment amount due on such loan for such month1 the ,secretary shall-- 7,i7 if the excess amount is less than the monthly payment amount due for the subsequent month on such loan1 apply the excess amount toward the monthly payment amount due for such subsequent month2 7,,ii7 if the excess amount is equal to the monthly payment amount due for the subsequent month on such loan1 treat the excess amount as the monthly payment for such subsequent month2 7,,iii7 if the excess amount is greater than the monthly payment amount due for the subsequent month on such loan1 but less than the total monthly payment amounts due for the #b subsequent months on such loan-- 7aa7 treat the portion of the excess amount that covers the monthly payment amount due for the subsequent month as the monthly payment for such subsequent month2 and 7bb7 apply the remainder of the excess amount toward the monthly payment amount due for the second subsequent month2 7,,iv7 if the excess amount is equal to or greater than the monthly payment amount due for the #b subsequent months on such loan1 but less than the total monthly payment amounts due for the #c subsequent months on such loan-- 7aa7 treat the portion of the excess amount that covers the monthly payment amounts due for the subsequent month and the second subsequent month as the monthly payments for such months2 and 7bb7 apply any remainder of such excess amount toward the monthly payment amount due for the third subsequent month2 7,v7 if the excess amount is equal to the monthly payment amounts due for the #c subsequent months on such loan1 treat the excess amount as the monthly payments for such months2 7,,vi7 if the excess amount is greater than the monthly payment amounts due for the #c subsequent months on such loan-- 7aa7 treat the portion of the excess amount that covers the monthly payment amounts due for the #c subsequent months as the monthly payments for such months2 and 7bb7 apply any remainder of such excess amount to the principal balance of the eligible ,federal ,direct loan2 and 7,,vii7 notwithstanding subclauses 7,i7 through 7,,vi71 if the borrower has a monthly payment amount due on such loan for such month that is equal to #j1 apply any excess amount for such month to the principal balance of the eligible ,federal ,direct loan4 7ii7 ,alternative application ,prior to or at the time of making a payment that exceeds the monthly payment amount due on an eligible ,federal ,direct ,loan for such month1 a borrower may request that any excess amount for such month be applied to the principal balance of an eligible ,federal ,direct loan in lieu of such excess amount being applied in accordance with clause 7i74 7,c7 ,buyback payment process 7i7 ,in general ,the ,secretary shall establish a buyback payment process under which a qualified borrower of an eligible ,federal ,direct ,loan may make a buyback payment in order to have eligible months of the borrower's public service employment period during which the borrower did not make a qualifying monthly payment on such loan be treated as if the borrower had made a qualifying monthly payment on such loan4 7ii7 ,qualified borrower ,a borrower is a qualified borrower for the purposes of making a buyback payment in accordance with this subparagraph if the borrower-- 7,i7 has an eligible ,federal ,direct ,loan that is not in default2 7,,ii7 has been employed in a public service job for not less than a #if month employment period1 but during such employment period has made fewer than #if qualifying monthly payments on an eligible ,federal ,direct ,loan2 and 7,,iii7 requests to make a buyback payment in accordance with this subparagraph4 7iii7 ,eligible month ,for the purposes of this subparagraph1 an eligible month means a month during which a qualified borrower was employed in a public service job1 was not in an in-school deferment or grace period1 and did not make a qualifying monthly payment on an eligible ,federal ,direct ,loan for such month-- 7,i7 because the borrower made a monthly payment on such eligible ,federal ,direct ,loan pursuant to a repayment plan that is not a qualifying repayment plan2 7,,ii7 because the borrower was in a period of deferment or forbearance other than a period described in clause 7ii7 of subparagraph 7,a72 or 7,,iii7 for another reason determined appropriate by the ,secretary4 7iv7 ,buyback payment requirements ,a buyback payment made in accordance with this subparagraph-- 7,i7 shall be made by a qualified borrower as a lump sum payment amount1 and in an amount that equals the total amount the borrower would have paid in qualifying monthly payments on the eligible ,federal ,direct ,loan for all eligible months the borrower is requesting to buyback1 pursuant to a qualifying repayment plan applicable to the borrower1 in accordance with section #fhe4bai7;g77#f7 of title #cd1 ,code of ,federal ,regulations 7as such section is in effect on the date of enactment of this paragraph7 or any other relevant regulations in effect on such date2 7,,ii7 may not be made with respect to an eligible ,federal ,direct ,loan that has been paid off1 discharged1 or cancelled2 and 7,,iii7 with respect to an eligible ,federal ,direct ,loan that is a consolidation loan1 may not be used to buyback eligible months that occurred before the date of the consolidation of such loan4 7,d7 ,hold harmless against retroactive determinations ,for purposes of determining under paragraph 7#a7 the number of qualifying monthly payments made by a borrower1 any payment or period of deferment or forbearance that is determined to be a qualifying monthly payment may not1 at a later time1 be determined not to be a qualifying monthly payment4 2 and 7#b7 in paragraph 7#f71 as redesignated by section #b7;b71 by adding at the end the following3 7,c7 ,qualifying repayment plan ,the term qualifying repayment plan means any of the repayment plans listed in clause 7i7 of paragraph 7#b77;,a74 4 7d7 ,loan cancellation ,paragraph 7#c7 of section #dee7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7m771 as redesignated by subsection 7b71 is amended to read as follows3 7#c7 ,loan cancellation amount ,upon certification by a borrower of completion of #if qualifying monthly payments by the borrower1 the ,secretary shall determine whether the borrower meets each of the requirements of paragraph 7#a71 and-- 7,a7 if the ,secretary determines that the borrower does meet such requirements1 cancel the obligation to repay the balance of principal and interest due as of the time of such cancellation on the eligible ,federal ,direct ,loans made to the borrower under this part1 without further action by the borrower2 or 7,b7 if the ,secretary determines that the borrower does not meet such requirements1 notify the borrower of such determination in accordance with paragraph 7#d74 4 7e7 ,reconsideration process ,section #dee7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7m771 as redesignated by subsection 7b71 is further amended by inserting after paragraph 7#c71 as so amended1 the following3 7#d7 ,initial determination of ineligibility for loan cancellation ,in a case in which the ,secretary determines that a borrower has not met the requirements of paragraph 7#a71 the ,secretary shall-- 7,a7 notify the borrower that-- 7i7 the borrower's application has been denied1 including the basis for such denial2 7ii7 the borrower is in a #ij-;day forbearance period described in subparagraph 7,b72 and 7iii7 the ,secretary will resume collection of the eligible ,federal ,direct ,loans for which the borrower was seeking loan cancellation under this subsection after such #ij-;day forbearance period1 unless the borrower opts to extend such forbearance period under paragraph 7#e77;,a77ii72 and 7,b7 grant the borrower a #ij-;day forbearance period1 beginning on the date of the notice described in subparagraph 7,a7 provided to the borrower1 and during which-- 7i7 payments of principal and interest need not be made on the eligible ,federal ,direct ,loans for which the borrower was seeking loan cancellation under this subsection2 and 7ii7 any interest accrued and not paid may not be capitalized4 7#e7 ,reconsideration process 7,a7 ,request for reconsideration ,not later than #ij days after the date of the notice described in paragraph 7#d77;,a7 provided to the borrower-- 7i7 the borrower may request1 on a form approved by the ,secretary1 that the ,secretary reconsider the basis for the ,secretary's denial under paragraph 7#d77;,a77i72 and 7ii7 if the ,secretary grants the borrower's reconsideration request1 offer the borrower an extension of the #ij-;day forbearance period described in paragraph 7#d77;,b71 which shall-- 7,i7 begin on the date of the borrower's reconsideration request under this subparagraph2 and 7,,ii7 end on the date of the notice provided to the borrower under subparagraph 7,c77i77,i7 of the ,secretary's reconsideration decision4 7,b7 ,consideration of reconsideration request ,in evaluating a reconsideration request from a borrower1 the ,secretary shall consider any relevant evidence or supporting documentation that may assist the ,secretary in determining whether the borrower meets each of the requirements of paragraph 7#a7 to qualify for loan cancellation under this subsection4 7,c7 ,decision by the ,secretary 7i7 ,in general ,not later than #f months after receipt of a borrower's reconsideration request1 the ,secretary shall-- 7,i7 notify the borrower of the reconsideration decision and the reason for the ,secretary's determination2 7,,ii7 in a case in which the reconsideration request is granted1 adjust the borrower's number of qualifying monthly payments under paragraph 7#a7 or cancel the loan under paragraph 7#c72 and 7,,iii7 in a case in which the ,secretary denies the reconsideration request1 with respect to a borrower who agrees to the forbearance extension described in subparagraph 7,a77ii71 include in the notice provided to the borrower under subclause 7,i71 a reminder that the ,secretary will resume collection of the eligible ,federal ,direct ,loans for which the borrower was seeking loan cancellation under this subsection as of the date of such notice4 7ii7 ,final decision ,after the ,secretary makes a decision on the borrower's reconsideration request1 the ,secretary's decision is final1 and the borrower will not receive additional reconsideration4 4 #c4 ,terms and conditions of employment 7a7 ,independent contractors ,section #dee7m7 is further amended by adding at the end the following3 7#h7 ,treatment of independent contractors ,for purposes of this subsection1 each reference to employment and employed shall be treated as including work as an independent contractor4 4 7b7 ,definitions ,paragraph 7#f7 of section #dee7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7m771 as redesignated by section #b7;b71 is further amended by adding at the end the following3 7,d7 ,full-time ,the term full-time means1 with respect to a public service job1 working #a or more such jobs-- 7i7 a minimum average of #cj hours per week during the period being certified2 7ii7 a minimum of #cj hours per week throughout a contractual or employment period of at least #h months in a #ab-month period2 and 7iii7 with respect to an individual who is in nontenure track employment at an institution of higher education1 the equivalent of #cj hours per week as determined by multiplying each credit or contact hour taught by such individual per week by a number to be determined by the ,secretary4 7,e7 ,independent contractor ,the term independent contractor means an individual who is not an employee and who is working in a public service job in a position or providing services which1 under applicable ,state law1 cannot be filled or provided by an employee of the public service job4 4 #d4 ,online portal and database of public service jobs ,section #dee7m7 of the ,higher ,education ,act of #aife is further amended by adding at the end the following3 7#i7 ,online portal and database of public service jobs 7,a7 ,online portal 7i7 ,borrowers ,the ,secretary shall establish an online portal that provides to borrowers of eligible ,federal ,direct ,loans the following information3 7,i7 ,instructions on how to access the database established under subparagraph 7,b7 so that the borrower can determine whether the borrower is employed in a public service job4 7,,ii7 ,an identification of the loans of the borrower that are eligible ,federal ,direct ,loans1 and an identification of the qualifying repayment plans for which such eligible ,federal ,direct ,loans qualify4 7,,iii7 ,with respect to each such eligible ,federal ,direct ,loan-- 7aa7 the number of qualifying monthly payments the borrower has made in accordance with paragraph 7#a72 and 7bb7 the estimated number of qualifying monthly payments under such paragraph remaining on such loan before the borrower may be eligible for loan cancellation under this subsection4 7,,iv7 ,with respect to each loan of the borrower that is not eligible for loan cancellation under paragraph 7#c7 of this subsection1 an explanation of why the loan is not so eligible and instructions on how what1 if anything1 the borrower may do to make the loan so eligible4 7,v7 ,instructions for the submission of any forms associated with such loan cancellation1 and an ability for the borrower to use the portal to electronically sign and submit such forms4 7,,vi7 ,in a case in which a borrower submits to the ,secretary an application for loan cancellation under this subsection that is denied by the ,secretary-- 7aa7 a notice of such denial that meets each of the requirements of paragraph 7#d77;,a71 including an explanation of the #ij-;day forbearance period2 7bb7 a form that meets each of the requirements of paragraph 7#e77;,a71 which the borrower may use to request reconsideration of such denial1 including accepting an extension of the #ij-;day forbearance period2 and 7cc7 a notice of the ,secretary's reconsideration decision1 which meets each of the requirements of paragraph 7#e77;,c74 7,,vii7 ,an explanation of the buyback payment process described in paragraph 7#b77;,c71 and a form to request such a buyback1 including the eligible months for which the borrower may request a buyback1 and the amount that the borrower would be required to pay for such buyback4 7,,viii7 ,an explanation of how consolidating one or more ,direct ,loans into a ,direct ,consolidation ,loan1 including a ,direct ,,plus ,loan made to a parent borrower1 will affect the number of qualifying monthly payments attributed to the borrower4 7ii7 ,appropriate contacts ,the ,secretary shall ensure that an appropriate contact for a public service job of a borrower has the option to electronically sign and submit any forms associated with loan cancellation under paragraph 7#c7 of this subsection4 7iii7 ,information ,the ,secretary shall ensure that any information provided through the online portal described in this subparagraph contains up-to-date information4 7,b7 ,database of public service jobs 7i7 ,in general ,the ,secretary1 in consultation with the ,secretary of ,labor1 shall establish and regularly update a database that lists public service jobs4 7ii7 ,public availability ,the database established under clause 7i7 shall be made available on a publicly accessible website of the ,department of ,education in an easily searchable format4 4 #e4 ,treatment of periods of deferment and forbearance 7a7 ,in general ,section #dee7;f7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7f77 is amended-- 7#a7 in the subsection heading1 by inserting and forbearance at the end2 7#b7 in paragraph 7#a77;,b71 by striking capitalized or2 and 7#c7 by adding at the end the following3 7#g7 ,forbearance ,with respect to a loan that is in a period of forbearance1 interest on such loan may not be capitalized after the conclusion of such period4 4 7b7 ,application of amendment ,the amendments made by subsection 7a7 shall apply to any period of deferment or forbearance in effect as of the date of the enactment of this ,act1 and any period of deferment or forbearance beginning on or after such date of enactment4 #f4 ,treatment of consolidated and refinanced loans ,section #dee7m77#b7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7m77#b71 as amended by the preceding provisions of this ,act1 is further amended by inserting after subparagraph 7,d7 the following3 7,e7 ,determination of number of qualifying monthly payments for consolidation loans ,with respect to determining the number of qualifying monthly payments for a borrower seeking loan forgiveness under this subsection who consolidates one or more ,direct ,loans into a ,direct ,consolidation ,loan1 including a ,direct ,,plus ,loan made to a parent borrower1 the ,secretary shall use the weighted average of the payments the borrower made on the ,direct ,loans prior to consolidating that met the criteria under this subsection4 4 #g4 ,loan forgiveness for teachers 7a7 ,in general ,the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajja et seq47 is further amended-- 7#a7 in section #dbh;,j7g77#b7 7#bj ,u4,s4,c4 #ajgh-aj7;g77#b77-- 7,a7 in subparagraph 7,a71 by inserting or after the semicolon at the end2 7,b7 by striking subparagraph 7,b72 and 7,c7 by redesignating subparagraph 7,c7 as subparagraph 7,b72 and 7#b7 in section #dfj7;g77#b7 7#bj ,u4,s4,c4 #ajhg;j7g77#b77-- 7,a7 in subparagraph 7,a71 by inserting or after the semicolon at the end2 7,b7 by striking subparagraph 7,b72 and 7,c7 by redesignating subparagraph 7,c7 as subparagraph 7,b74 7b7 ,conforming amendment ,section #dee7m77#g7 of the ,higher ,education ,act of #aife1 as redesignated by section #b7;b7 of this ,act1 is amended by striking section #dbh;,j1 #dbh,k1 #dbh,l1 or #dfj and inserting section #dbh,k or #dbh,l4 #h4 ,,gao study on data matching agreements for public service loan forgiveness 7a7 ,in general ,the ,comptroller ,general of the ,united ,states shall conduct a study on the feasibility of establishing data matching agreements for public service loan forgiveness under section #dee7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhg;e7m77 that would allow a borrower to forego requesting certification of employment from the appropriate contact for the public service job of the borrower4 ,the study shall include an examination of the ,department of ,education and the ,department of ,defense's progress towards automatic data matching for military and veteran borrowers4 7b7 ,report ,not later than #a year after the date of enactment of this ,act1 the ,comptroller ,general shall submit a report to the ,committee on ,education and ,workforce of the ,house of ,representatives and the ,committee on ,health1 ,education1 ,labor1 and ,pensions of the ,senate containing the findings and recommendations resulting from the study required under subsection 7a74 7c7 ,cooperation ,the head of each relevant ,federal agency1 including the ,secretary of ,education1 ,secretary of ,defense1 and ,commissioner of ,internal ,revenue1 shall cooperate with the ,comptroller ,general to facilitate the completion of the study required under subsection 7a74