I 

108TH CONGRESS 

1ST SESSION H. R. 1955

To amend the Higher Education Act of 1965 to allow soldiers to serve 

their country without being disadvantaged financially by Federal student 

aid programs. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 6, 2003

Mr. MCINTYRE (for himself, Mr. RYAN of Ohio, Mr. EVANS, Mr. WILSON of 

South Carolina, Mr. BOSWELL, and Mr. LEACH) introduced the following 

bill; which was referred to the Committee on Education and the Workforce 

A BILL

To amend the Higher Education Act of 1965 to allow soldiers to serve their country without being disadvantaged 

financially by Federal student aid programs.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Fairness for America’s 

5 Servicemen and Women in Higher Education Act of 

6 2003’’. 
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1 SEC. 2. REFUND POLICY. 

2 Section 484B(b)(2) of the Higher Education Act of 

3 1965 (20 U.S.C. 1091b(b)(2)) is amended by adding at 

4 the end the following: 

5 ‘‘(D) STUDENTS ON ACTIVE DUTY DURING

6 A WAR OR NATIONAL EMERGENCY.—Notwith7 standing subparagraphs (A), (B), and (C), a 

8 student who withdraws from an institution of 

9 higher education to serve on active duty during 

10 a war or national emergency shall not be re11 quired to repay any grant assistance that is 

12 otherwise required to be repayed under this sec13 tion.’’. 

14 SEC. 3. DEFERMENT DURING ACTIVE DUTY. 

15 (a) FFEL SUBSIDIZED LOANS.—Section 

16 428(b)(1)(M) of the Higher Education Act of 1965 (20 

17 U.S.C. 1078(b)(1)(M)) is amended—

18 (1) in clause (ii), by striking ‘‘or’’ after the 

19 semicolon; 

20 (2) in clause (iii), by inserting ‘‘or’’ after the 

21 semicolon; and 

22 (3) by inserting after clause (iii) the following: 

23 ‘‘(iv) during which the borrower—

24 ‘‘(I) is a member of a regular 

25 component on active duty during a 

26 war or during a national emergency 
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1 declared by the President or Congress, 

2 and receives compensation described 

3 in section 112(a) of the Internal Rev4 enue Code of 1986; 

5 ‘‘(II) is on active duty under sec6 tion 688, 12301(a), 12301(d), 

7 12301(g), 12302, 12304, 12306, 

8 12307, or 12406, or chapter 15 of 

9 title 10, United States Code, or any 

10 other provision of law, during a war 

11 or during a national emergency de12 clared by the President or Congress, 

13 regardless of the location at which 

14 such active duty service is performed; 

15 or 

16 ‘‘(III) in the case of a member of 

17 the National Guard, is on full-time 

18 National Guard duty (as defined in 

19 section 101(d)(5) of title 10, United 

20 States Code) under a call to active 

21 service authorized by the President or 

22 the Secretary of Defense for a period 

23 of more than 30 consecutive days 

24 under section 12402 of title 10, 

25 United States Code, or section 502(f) 
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1 of title 32, United States Code, for 

2 purposes of responding to a national 

3 emergency declared by the President 

4 and supported by Federal funds.’’. 

5 (b) DIRECT SUBSIDIZED LOANS.—Section 455(f)(2) 

6 of such Act (20 U.S.C. 1087e(f)(2)) is amended—

7 (1) by striking the period at the end of sub8 paragraph (C) and inserting ‘‘; and’’; and 

9 (2) by adding at the end the following new sub10 paragraph: 

11 ‘‘(D) during which the borrower—

12 ‘‘(i) is a member of a regular compo13 nent on active duty during a war or during 

14 a national emergency declared by the 

15 President or Congress, and receives com16 pensation described in section 112(a) of 

17 the Internal Revenue Code of 1986; 

18 ‘‘(ii) is on active duty under section 

19 688, 12301(a), 12301(d), 12301(g), 

20 12302, 12304, 12306, 12307, or 12406, or 

21 chapter 15 of title 10, United States Code, 

22 or any other provision of law, during a war 

23 or during a national emergency declared by 

24 the President or Congress, regardless of 
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1 the location at which such active duty serv2 ice is performed; or 

3 ‘‘(iii) in the case of a member of the 

4 National Guard, is on full-time National 

5 Guard duty (as defined in section 

6 101(d)(5) of title 10, United States Code) 

7 under a call to active service authorized by 

8 the President or the Secretary of Defense 

9 for a period of more than 30 consecutive 

10 days under section 12402 of title 10, 

11 United States Code, or section 502(f) of 

12 title 32, United States Code, for purposes 

13 of responding to a national emergency de14 clared by the President and supported by 

15 Federal funds.’’. 

16 (c) CONSOLIDATION LOANS.—Section 

17 428C(b)(4)(C)(ii) of the Higher Education Act of 1965 

18 (20 U.S.C. 1078–3(b)(4)(C)(ii)) is amended—

19 (1) in subclause (II), by striking ‘‘or’’ after the 

20 semicolon; 

21 (2) in subclause (III), by striking ‘‘or (II)’’ and 

22 inserting ‘‘, (II) or (III)’’; 

23 (3) by redesignating subclause (III) (as so 

24 amended) as subclause (IV); and
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1 (4) by inserting after subclause (II) the fol2 lowing: 

3 ‘‘(III) by the Secretary, in the case of a 

4 consolidation loan of a student who is on an ac5 tive duty deferment under section 

6 428(b)(1)(M)(iv); or’’. 

7 (d) FFEL UNSUBSIDIZED LOANS.—Section 428H(e) 

8 of the Higher Education Act of 1965 (20 U.S.C. 1078–

9 8(e)) is amended by adding at the end the following: 

10 ‘‘(C) Notwithstanding subparagraph (A), inter11 est on loans made under this section for which pay12 ments of principal are deferred because the student 

13 is on an active duty deferment under section 

14 428(b)(1)(M)(iv) shall be paid by the Secretary.’’. 

15 (e) DIRECT UNSUBSIDIZED LOANS.—Section 455(f) 

16 of such Act (20 U.S.C. 1087e(f)) is amended by adding 

17 at the end the following: 

18 ‘‘(5) INTEREST DURING ACTIVE DUTY

19 DEFERMENTS.—Notwithstanding paragraph (1)(B), 

20 interest on loans under this part for which payments 

21 of principal are deferred because the student is on 

22 an active duty deferment under paragraph (2)(D) 

23 shall be paid by the Secretary.’’. 
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1 (f) PERKINS LOANS.—Section 464(c)(2)(A) of the 

2 Higher Education Act of 1965 (20 U.S.C. 

3 1087dd(c)(2)(A)) is amended—

4 (1) in clause (iii), by striking ‘‘or’’ after the 

5 semicolon; 

6 (2) in clause (iv), by inserting ‘‘or’’ after the 

7 semicolon; and 

8 (3) by inserting after clause (iv) the following: 

9 ‘‘(v) during which the borrower—

10 ‘‘(I) is a member of a regular 

11 component on active duty during a 

12 war or during a national emergency 

13 declared by the President or Congress, 

14 and receives compensation described 

15 in section 112(a) of the Internal Rev16 enue Code of 1986; 

17 ‘‘(II) is on active duty under sec18 tion 688, 12301(a), 12301(d), 

19 12301(g), 12302, 12304, 12306, 

20 12307, or 12406, or chapter 15 of 

21 title 10, United States Code, or any 

22 other provision of law, during a war 

23 or during a national emergency de24 clared by the President or Congress, 

25 regardless of the location at which 
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1 such active duty service is performed; 

2 or 

3 ‘‘(III) in the case of a member of 

4 the National Guard, is on full-time 

5 National Guard duty (as defined in 

6 section 101(d)(5) of title 10, United 

7 States Code) under a call to active 

8 service authorized by the President or 

9 the Secretary of Defense for a period 

10 of more than 30 consecutive days 

11 under section 12402 of title 10, 

12 United States Code, or section 502(f) 

13 of title 32, United States Code, for 

14 purposes of responding to a national 

15 emergency declared by the President 

16 and supported by Federal funds.’’. 

17 (g) EFFECTIVE DATE.—The amendments made by 

18 this section shall apply with respect to loans for which the 

19 first disbursement is made on or after July 1, 1993, to 

20 an individual who is a new borrower (within the meaning 

21 of section 103 of the Higher Education Act of 1965 (20 

22 U.S.C. 1003)) on or after such date.

Æ