To make certain technical corrections and transition amendments to the College Cost Reduction and Access Act.

Summary: College Cost Reduction and Access Act Technical Amendments of 2007 - Makes technical changes to amendments the College Cost Reduction and Access Act (the Act) made to the Higher Education Act of 1965 (HEA).

Ensures that mandatory Pell grant funding made available for any fiscal year by such Act remains available for the succeeding fiscal year (thus, for the full Pell grant award year).

Specifies the untaxed income and benefits which the Act excluded from the list of untaxed income and benefits considered in federal student need analyses (thereby, specifically excluding them from such analyses).

Clarifies that students who were orphans, wards of the court, or in foster care when they were 13 or older are independent for federal student aid purposes.

Provides that, for married borrowers who file separate tax returns, income-based loan repayments under the HEA shall be determined solely on the basis of their individual student loan debt and adjusted gross income.

Ensures that National Guard members who serve full-time are eligible for the student loan deferment the Act provides to other military personnel for 13 months after the conclusion of active duty service.

Moves the Act's funding program for minority-serving institutions from title IV (Student Assistance) to title III (Institutional Aid) of the HEA.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``College Cost Reduction and Access 
Act Technical Amendments of 2007''.

SEC. 2. FEDERAL PELL GRANTS.

    (a) Correction of Designation.--
            (1) CCRAA amendment.--Section 101(a)(2) of the College Cost 
        Reduction and Access Act (Public Law 110-84) is amended by 
        striking ``paragraphs (4) through (9) as paragraphs (3) through 
        (8)'' and inserting ``paragraphs (4) through (8) as paragraphs 
        (3) through (7)''.
            (2) Redesignation.--Paragraph (9) of section 401(b) of the 
        Higher Education Act of 1965 (20 U.S.C. 1070a(b)(9)), as added 
        by section 102(b) of the College Cost Reduction and Access Act 
        (Public Law 110-84), is redesignated as paragraph (8).
    (b) Revision of Availability Rule.--Paragraph (8) of section 401(b) 
of the Higher Education Act of 1965 (as redesignated by subsection 
(a)(2) of this section) is amended by striking subparagraph (F) and 
inserting the following:
                    ``(F) Use of fiscal year funds for award years.--
                The amounts made available by subparagraph (A) for any 
                fiscal year shall remain available for the fiscal year 
                succeeding the fiscal year for which such amounts are 
                made available.''.

SEC. 3. DEFINITION OF UNTAXED INCOME AND BENEFITS.

    (a) Amendment.--Section 480(b) of the Higher Education Act of 1965 
(20 U.S.C. 1087vv(b)) is amended by striking paragraph (2) and 
inserting the following:
            ``(2) The term `untaxed income and benefits' shall not 
        include--
                    ``(A) the amount of additional child tax credit 
                claimed for Federal income tax purposes;
                    ``(B) welfare benefits, including assistance under 
                a State program funded under part A of title IV of the 
                Social Security Act and aid to dependent children;
                    ``(C) the amount of earned income credit claimed 
                for Federal income tax purposes;
                    ``(D) the amount of credit for Federal tax on 
                special fuels claimed for Federal income tax purposes;
                    ``(E) the amount of foreign income excluded for 
                purposes of Federal income taxes; or
                    ``(F) untaxed social security benefits.''.
    (b) Effective Date.--This section and the amendment made by this 
section shall take effect on July 1, 2009.

SEC. 4. DEFINITION OF INDEPENDENT STUDENT.

    (a) Amendment.--Section 480(d)(1) of the Higher Education Act of 
1965 (20 U.S.C. 1087vv(d)(1)) is amended by striking subparagraph (B) 
and inserting the following:
                    ``(B) is an orphan, in foster care, or a ward of 
                the court, or was an orphan, in foster care, or a ward 
                of the court at any time when the individual was 13 
                years of age or older;''.
    (b) Effective Date.--This section and the amendment made by this 
section shall take effect on July 1, 2009.

SEC. 5. INCOME-BASED REPAYMENT FOR MARRIED BORROWERS FILING SEPARATELY.

    Section 493C of the Higher Education Act of 1965 (20 U.S.C. 1098e) 
is amended by adding at the end the following:
    ``(d) Special Rule for Married Borrowers Filing Separately.--In the 
case of a married borrower who files a separate Federal income tax 
return, the Secretary shall calculate the amount of the borrower`s 
income-based repayment under this section solely on the basis of the 
borrower's student loan debt and adjusted gross income.''.

SEC. 6. DEFERRAL OF LOAN REPAYMENT FOLLOWING ACTIVE DUTY.

    Section 493D(a) of the Higher Education Act of 1965 (20 U.S.C. 
1098f(a)) is amended by inserting ``or full-time National Guard duty'' 
after ``is called or ordered to active duty''.

SEC. 7. TEACH GRANTS.

    Subpart 9 of part A of title IV of the Higher Education Act of 1965 
(20 U.S.C. 1070g et seq.) is amended--
            (1) in section 420L(1)(B), by striking ``sound'' and 
        inserting ``responsible'';
            (2) in section 420M--
                    (A) by striking ``academic year'' each place it 
                appears in subsections (a)(1) and (c)(1) and inserting 
                ``year''; and
                    (B) in subsection (c)(2)--
                            (i) by striking ``other student 
                        assistance'' and inserting ``other assistance 
                        the student may receive''; and
                            (ii) by striking the second sentence.

SEC. 8. REDESIGNATION AND RELOCATION.

    The Higher Education Act of 1965 (20 U.S.C. 1001 et seq.) is 
further amended--
            (1) by redesignating part J of title IV (as added by 
        section 802 of the College Cost Reduction and Access Act 
        (Public Law 110-84)) as part G of title III of the Higher 
        Education Act of 1965, and moving such part from the end of 
        title IV to the end of title III of such Act; and
            (2) by redesignating section 499A (as added by such section 
        802) as section 399A.

            Passed the House of Representatives November 13, 2007.

            Attest:

                                            LORRAINE C. MILLER,

                                                                 Clerk.