,i  #aai? ,,congress  #b;d ,session  ,h4
 ,r4 #ifji  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,july #i1 #bjbf,mr4   
,walb]g introduc$ ! foll[+ bill2 :i* 0  
ref]r$ to ! ,committee on ,education &  
,work=ce1 & 9 addition to ! ,committee  
on ,en]gy & ,comm]ce1 = a p]iod to be   
subsequ5tly det]m9$ by ! ,speak]1 9 ea* 
case = consid]ation ( su* provisions z  
fall )9 ! jurisdiction ( ! committee    
conc]n$  ,a ,,bill  ,to ensure !        
,dep>tm5t ( ,treasury w manage all f$]al
 /ud5t loans1 f$]al /ud5t debt1 &       
policies reg>d+ /ud5t aid eligibility1 &
 = o!r purposes4  #a4 ,%ort title ,?is  
,act may be cit$ z ! ,less ,bureaucracy1
 ,bett] ,/ud5t ,aid ,act4  #b4 ,transf] 
( ,dep>tm5t ( ,education functions      
relat+ to ,f$]al /ud5t aid  7a7 ,9 g5]al
 ,!re are transf]r$1 9 accordance ) !   
applicable effective dates 9 subsection 
7b71 to ! ,dep>tm5t ( ! ,treasury--     
7#a7 functions ( ! ,secret>y (          
,education 7includ+ ! p]=mance-bas$     
organization e/abli%$ pursuant to       

section #ada ( ! ,high] ,education ,act 
( #aife 7#bj ,u4,s4,c4 #ajah7 & all     
relat$ functions ( any (fic] or employee
 ( ! ,dep>tm5t ( ,education7 relat$ to !
 s]vic+ & volunt>y & involunt>y         
collections ( default$ ,f$]al /ud5t loan
 debt1 includ+ c]tification ( debt1 due 
process1 borr[] notification1 disputes1 
bankruptcy1 rehabilitation1             
consolidation1 compromise1 repaym5t     
agreem5ts1 & cr$it report+2  7#b7       
functions ( ! ,secret>y ( ,education    
7includ+ ! p]=mance-bas$ organization   
e/abli%$ pursuant to section #ada ( !   
,high] ,education ,act ( #aife 7#bj     
,u4,s4,c4 #ajah7 & all relat$ functions 
( any (fic] or employee ( ! ,dep>tm5t ( 
,education7 relat$ to ! s]vic+ (        
non-default$ ,f$]al /ud5t loan debt1    
includ+ borr[] notification1 process+ ( 
paym5ts1 repaym5t plan adm9i/ration1    
consolidation1 disputes1 & cr$it        
report+2 &  7#c7 all functions ( !      
,secret>y ( ,education 7includ+ !       
p]=mance-bas$ organization e/abli%$     

pursuant to section #ada ( ! ,high]     
,education ,act ( #aife 7#bj ,u4,s4,c4  
#ajah7 & all relat$ functions ( any     
(fic] or employee ( ! ,dep>tm5t (       
,education7 t rema9 aft] ! transf] (    
functions requir$ "u p>agraphs 7#a7 &   
7#b7 ) respect to ea* ( ! foll[+3 7,a7  
,adm9i/rative ,provisions = ,deliv]y (  
,/ud5t ,f9ancial ,assi/ance "u "p ,d (  
title ,i ( ! ,high] ,education ,act (   
#aife 7#bj ,u4,s4,c4 #ajah et seq474    
7,b7 ,l5d] & ,in/itution ,requirem5ts   
,relat+ to ,education ,loans "u "p ,e ( 
su* title 7#bj ,u4,s4,c4 #ajai et seq474
  7,c7 ,f$]al ,pell ,grants "u subp>t #a
 ( "p ,a ( title ,,iv ( ! ,high]        
,education ,act ( #aife 7#bj ,u4,s4,c4  
#ajgj;a et seq474  7,d7 ,f$]al          
,supplem5tal ,educational ,opportunity  
,grants "u subp>t #c ( su* "p ,a 7#bj   
,u4,s4,c4 #ajgj;b et seq474  7,e7 ,f$]al
 ,family ,education ,loan program "u "p 
,b ( title ,,iv ( ! ,high] ,education   
,act ( #aife 7#bj ,u4,s4,c4 #ajga et    
seq474  7,f7 ,f$]al ,"w-/udy programs "u

 "p ,c ( su* title 7#bj ,u4,s4,c4       
#ajhg-ea et seq474  7,g7 ,william ,d4   
,=d ,f$]al ,direct ,loan program "u "p  
,d ( su* title 7#bj ,u4,s4,c4 #ajhg;a et
 seq474  7,h7 ,f$]al ,p]k9s ,loans "u "p
 ,e ( su* title 7#bj ,u4,s4,c4 #ajhg;aa 
et seq474  7,i7 ,ne$ ,analysis "u "p ,f 
( su* title 7#bj ,u4,s4,c4 #ajhgkk et   
seq474  7,j7 ,g5]al ,provisions ,relat+ 
to ,/ud5t ,assi/ance programs "u "p ,g (
 su* title 7#bj ,u4,s4,c4 #ajhh et      
seq474  7,k7 ,eligibility &             
,c]tification ,proc$ures "u subp>t #c ( 
"p ,h ( su* title 7#bj ,u4,s4,c4 #ajii;c
 et seq474  7,l7 ,heal? ,education      
,assi/ance ,loan program z provid$ 9 "p 
,a ( title ,,vii ( ! ,public ,heal?     
,s]vice ,act 7#db ,u4,s4,c4 #bib et     
seq474  7b7 ,effective dates  7#a7      
,effective dates det]m9$ ,! ,secret>y ( 
,education & ! ,secret>y ( ! ,treasury  
%all jo9tly det]m9e effective dates = ! 
transf]s requir$ "u subsection 7a71 9   
accordance ) p>agraph 7#b7 ( ?is        
subsection4  7#b7 ,applicable effective 

dates ,! transf]s requir$ "u subsection 
7a7 %all take effect z foll[s3  7,a7    
,p>agraph 7#a7 ,) respect to ! transf]s 
requir$ "u p>agraph 7#a7 ( subsection   
7a71 on ! effective date det]m9$ 9      
accordance ) p>agraph 7#a7 t is on or   
aft] ! date ( enactm5t ( ?is ,act4  7,b7
 ,p>agraph 7#b7 ,) respect to ! transf]s
 requir$ "u p>agraph 7#b7 ( subsection  
7a71 on ! effective date det]m9$ 9      
accordance ) p>agraph 7#a7 t is on or   
aft] ! effective date describ$ 9        
subp>agraph 7,a74  7,c7 ,p>agraph 7#c7  
,) respect to ! transf]s requir$ "u     
p>agraph 7#c7 ( subsection 7a71 on !    
effective date det]m9$ 9 accordance )   
p>agraph 7#a7 t is on or aft] !         
effective date describ$ 9 subp>agraph   
7,b74  #c4 ,ex]cise ( au?orities ,except
 z o!rwise provid$ by law1 ! ,secret>y (
 ! ,treasury may1 = purposes ( p]=m+ a  
function transf]r$ "u ?is ,act1 ex]cise 
all au?orities "u any o!r provision (   
law t 7 available ) respect to !        
p]=mance ( t function to ! ,secret>y (  

,education imm$iately be=e ! effective  
date ( ! transf] ( ! function "u ?is    
,act4  #d4 ,transf] & allocations (     
appropriations & p]sonnel ,except z     
o!rwise provid$ 9 ?is ,act1 ! p]sonnel  
employ$ 9 connection )1 & ! assets1     
liabilities1 contracts1 prop]ty1        
records1 & unexp5d$ balances (          
appropriations1 au?orizations1          
allocations1 & o!r funds employ$1 us$1  
held1 aris+ f1 available to1 or to be   
made available 9 connection ) !         
functions transf]r$ "u ?is ,act1 subject
 to section #aeca ( title #ca1 ,unit$   
,/ates ,code1 %all be transf]r$ to !    
,secret>y ( ! ,treasury4 ,unexp5d$ funds
 transf]r$ pursuant to ?is section %all 
be us$ only = ! purposes = :i* ! funds 7
 orig9ally au?oriz$ & appropriat$4  #e4 
,au?ority ( ,director ( ! ,(fice (      
,managem5t & ,budget ) respect to       
functions transf]r$  7a7 ,p]sonnel      
det]m9ations ,! ,director ( ! ,(fice (  
,managem5t & ,budget %all ensure t ?is  
,act does n result 9 a net increase 9   

full-"t equival5t employees at ! ,f$]al 
ag5cies impact$ by ?is ,act1 bas$ on !  
numb] ( su* employees at su* ag5cies on 
! date ( enactm5t ( ?is ,act4  7b7      
,function det]m9ations ,if necess>y1 !  
,director ( ! ,(fice ( ,managem5t &     
,budget %all make any det]m9ation ( !   
functions t are transf]r$ "u ?is ,act4  
7c7 ,incid5tal transf]s ,! ,director ( !
 ,(fice ( ,managem5t & ,budget1 at su*  
"t or times z ! ,director %all provide1 
may make su* det]m9ations z may be      
necess>y ) reg>d to ! functions         
transf]r$ by ?is ,act1 & to make su*    
additional incid5tal dispositions (     
p]sonnel1 assets1 liabilities1 grants1  
contracts1 prop]ty1 records1 & unexp5d$ 
balances ( appropriations1              
au?orizations1 allocations1 & o!r funds 
held1 us$1 aris+ f1 available to1 or to 
be made available 9 connection ) su*    
functions1 z may be necess>y to c>ry out
 ! provisions ( ?is ,act4 ,! ,director  
%all provide = ! t]m9ation ( ! affairs (
 all entities t]m9at$ by ?is ,act & =   

su* fur!r measures & dispositions z may 
be necess>y to effectuate ! purposes (  
?is ,act4  7d7 ,c]tification (          
compliance ,on ea* ( ! effective dates  
"u section #c7;b71 ! ,director ( !      
,(fice ( ,managem5t & ,budget %all      
c]tify compliance ) ! provisions ( ?is  
,act t take effect on su* date1 includ+ 
! requirem5t "u subsection 7a7 z        
applicable on su* date1 to ! ,committee 
on ,education & ,work=ce ( ! ,h\se (    
,repres5tatives & ! ,committee on       
,heal?1 ,education1 ,labor1 & ,p5sions (
 ! ,s5ate4  #f4 ,delegation & assignm5t 
,except z o!rwise expressly prohibit$ by
 law or o!rwise provid$ 9 ?is ,act1 !   
,secret>y ( ! ,treasury may delegate any
 ( ! functions s transf]r$ to su* (fic]s
 & employees ( ! ,dep>tm5t ( ! ,treasury
 z ! ,secret>y may designate1 & may     
au?orize successive r$elegations ( su*  
functions z may be necess>y or          
appropriate4 ,no delegation ( functions 
"u ?is section or "u any o!r provision (
 ?is ,act %all relieve ! ,secret>y ( !  

,treasury ( responsibility = !          
adm9i/ration ( ! function4  #g4         
,ref]5ces ,) reg>d to functions         
transf]r$ "u section #b1 a ref]5ce 9 any
 o!r ,f$]al law1 ,executive ord]1 rule1 
regulation1 or delegation ( au?ority1 or
 any docum5t ( or relat+ to-- 7#a7 !    
,secret>y ( ,education %all be deem$ to 
ref] to ! ,secret>y ( ! ,treasury2 &    
7#b7 ! ,dep>tm5t ( ,education %all be   
deem$ to ref] to ! ,dep>tm5t ( !        
,treasury4  #h4 ,sav+s provisions  7a7  
,legal docum5ts ,all ord]s1             
det]m9ations1 rules1 regulations1       
p]mits1 grants1 loans1 contracts1       
agreem5ts1 c]tificates1 lic5ses1 &      
privileges--  7#a7 t h be5 issu$1 made1 
grant$1 or all[$ to become effective by 
! ,presid5t1 any ,f$]al ag5cy or (ficial
 !re(1 or by a c\rt ( compet5t          
jurisdiction1 9 ! p]=mance ( any        
function t is transf]r$ by ?is ,act2 &  
7#b7 t are 9 effect on ! effective date 
( su* transf] 7or become effective aft] 
su* date pursuant to _! t]ms z 9 effect 

on su* effective date71  %all cont9ue 9 
effect accord+ to _! t]ms until modifi$1
 t]m9at$1 sup]s$$1 set aside1 or revok$ 
9 accordance ) law by ! ,presid5t1 !    
,secret>y ( ! ,treasury1 any o!r        
au?oriz$ (ficial1 a c\rt ( compet5t     
jurisdiction1 or op]ation ( law4  7b7   
,proce$+s ,?is ,act %all n affect any   
proce$+s or any application = any       
b5efits1 s]vice1 lic5se1 p]mit1         
c]tificate1 or f9ancial assi/ance p5d+  
on ! date ( ! enactm5t ( ?is ,act be=e !
 ,dep>tm5t ( ,education 7) respect to   
functions transf]r$ by ?is ,act74 ,su*  
proce$+s & applications %all cont9ue1   
ord]s %all be issu$ 9 su* proce$+s1     
appeals %all be tak5 !refrom1 & paym5ts 
%all be made pursuant to su* ord]s1 z if
 ?is ,act _h n be5 enact$1 & ord]s issu$
 9 any su* proce$+ %all cont9ue 9 effect
 until modifi$1 t]m9at$1 sup]s$$1 or    
revok$ by a duly au?oriz$ (ficial1 by a 
c\rt ( compet5t jurisdiction1 or by     
op]ation ( law4 ,no?+ 9 ?is subsection  
%all be consid]$ to prohibit !          

discont9uance or modification ( any su* 
proce$+ "u ! same t]ms & conditions & to
 ! same ext5t t su* proce$+ c\ld h be5  
discont9u$ or modifi$ if ?is ,act _h n  
be5 enact$4  7c7 ,suits ,except z       
provid$ 9 subsection 7e7-- 7#a7 ?is ,act
 %all n affect suits comm5c$ be=e ! date
 ( enactm5t ( ?is ,act2 &  7#b7 9 all   
su* suits1 proce$+ %all be _h1 appeals  
tak51 & judgm5ts r5d]$ 9 ! same mann] & 
) ! same effect z if ?is ,act _h n be5  
enact$4  7d7 ,nonabatem5t ( actions ,no 
suit1 action1 or o!r proce$+ comm5c$ by 
or aga9/ ! ,dep>tm5t ( ,education 7)    
respect to ! functions transf]r$ by ?is 
,act71 or by or aga9/ any individual 9 !
 (ficial capacity ( su* individual z an 
(fic] or employee ( ! ,dep>tm5t (       
,education 7) reg>d to functions        
transf]r$ by ?is ,act71 %all abate by   
reason ( ! enactm5t ( ?is ,act4  7e7    
,cont9uance ( suits ,if1 be=e ! date on 
:i* a transf] ( a function "u ?is ,act  
takes effect1 ! ,secret>y ( ,education  
or any (fic] or employee ( ! ,dep>tm5t (

 ,education 9 ! (ficial capacity z su*  
an (fic] or employee is p>ty to a suit  
relat+ to ! function1 !n su* suit %all  
be cont9u$ & ! ,secret>y ( ! ,treasury1 
or o!r appropriate (ficial ( ! ,dep>tm5t
 ( ! ,treasury1 %all be sub/itut$ or    
add$ z a p>ty4  7f7 ,adm9i/rative       
proc$ure & judicial review ,except z    
o!rwise provid$ by ?is ,act1 any        
/atutory requirem5ts relat+ to notice1  
he>+s1 action ^u ! record1 or           
adm9i/rative or judicial review t apply 
to any function transf]r$ by ?is ,act   
%all apply to ! ex]cise ( su* function  
by ! ,secret>y ( ! ,treasury1 & o!r     
(fic]s ( ! ,dep>tm5t ( ! ,treasury1 to  
:i* su* function is transf]r$ by ?is    
,act4  #i4 ,t]m9at+ exemption f ,debt   
,collection ,improvem5t ,act  7a7       
,t]m9ation ( au?ority ,to exempt /ud5t  
loans f ! ,debt ,collection ,improvem5t 
,act  ,beg9n+ on ! effective date ( !   
transf]s requir$ "u p>agraph 7#a7 (     
section #b7;a7 7z det]m9$ 9 accordance )
 section #b7;b771 del9qu5t or default$  

,f$]al /ud5t loan debt may n be subject 
to an exemption "u p>agraph 7#b77;,b7 ( 
section #cgaa7;g7 ( title #ca1 ,unit$   
,/ates ,code1 f ! requirem5t "u p>agraph
 7#a7 ( su* section4  7b7 ,def9itions ,9
 ?is ,act3 7#a7 ,del9qu5t or default$ ,!
 t]m del9qu5t or default$1 :5 us$ )     
respect to /ud5t loan debt1 means debt t
 is consid]$ del9qu5t or 9 default 9    
accordance ) ! ,high] ,education ,act ( 
#aife 7#bj ,u4,s4,c4 #ajja et seq474    
7#b7 ,/ud5t loan debt ,! t]m /ud5t loan 
debt means any debt "u "p ,b1 ,d1 or ,e 
( title ,,iv ( ! ,high] ,education ,act 
( #aife 7#bj ,u4,s4,c4 #ajgj et seq471  
or any debt t arises f a ,heal?         
,education ,assi/ance ,loan z provid$ 9 
"p ,a ( title ,,vii ( ! ,public ,heal?  
,s]vice ,act 7#db ,u4,s4,c4 #bib et     
seq471 t is assign$ to or o!rwise held  
by ! ,secret>y ( ,education4  #aj4      
,transition ,! ,secret>y ( ! ,treasury  
is au?oriz$ to use1 = su* p]iod ( "t z  
may reasonably be ne$$ to facilitate !  
ord]ly implem5tation ( ?is ,act--  7#a7 

! s]vices ( (fic]s1 employees1 & o!r    
p]sonnel ( ! ,dep>tm5t ( ,education )   
reg>d to functions transf]r$ "u ?is     
,act2  7#b7 assets ( ! ,dep>tm5t (      
,education ) reg>d to su* functions2 &  
7#c7 funds appropriat$ to su* functions4
  #aa4 ,def9ition ( function ,= purposes
 ( ?is ,act1 ! t]m function includes any
 duty1 obligation1 p[]1 au?ority1       
responsibility1 "r1 privilege1 activity1
 or program4