II 

112TH CONGRESS 

2D SESSION S. 2181 

To amend the Higher Education Act of 1965 to provide for loan forgiveness 

for early childhood educators, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

MARCH 8, 2012 

Mr. BEGICH introduced the following bill; which was read twice and referred 

to the Committee on Health, Education, Labor, and Pensions 

A BILL 

To amend the Higher Education Act of 1965 to provide 

for loan forgiveness for early childhood educators, and 

for other purposes. 

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 ‘‘Preparing and Rein5 vesting in Early Education Act of 2012’’ or ‘‘PRE ED 

6 Act of 2012’’. 

7 SEC. 2. EXPANDING FFEL LOAN FORGIVENESS PROGRAM 

8 TO EARLY CHILDHOOD EDUCATORS. 

9 Section 428J of the Higher Education Act of 1965 

10 (20 U.S.C. 1078–10) is amended— 


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1 (1) in the section heading, by inserting ‘‘EARLY

2 CHILDHOOD EDUCATORS AND ELEMENTARY

3 AND SECONDARY SCHOOL’’ before ‘‘TEACHERS’’; 

4 (2) by striking subsection (b) and inserting the 

5 following: 

6 ‘‘(b) PROGRAM AUTHORIZED.—The Secretary shall 

7 carry out a program, through the holder of the loan, of 

8 assuming the obligation to repay a qualified loan amount 

9 for a loan made under section 428 or 428H, in accordance 

10 with subsection (c), for any borrower who— 

11 ‘‘(1)(A) is a new borrower on or after October 

12 1, 1998, and has been employed as a full-time teach13 er for 5 consecutive complete school years— 

14 ‘‘(i) in a school or location that qualifies 

15 under section 465(a)(2)(A) for loan cancellation 

16 for Perkins loan recipients who teach in such 

17 schools or locations; and 

18 ‘‘(ii) if employed as an elementary school 

19 or secondary school teacher, is highly qualified 

20 as defined in section 9101 of the Elementary 

21 Secondary Education Act of 1965, or meets the 

22 requirements of subsection (g)(3); or 

23 ‘‘(B)(i) has been employed as a full-time early 

24 childhood educator at an early childhood program 


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1 for 5 consecutive complete school years or a com2 parable period, as determined by the Secretary; and 

3 ‘‘(ii) obtained an associate degree or bacca4 laureate degree in early childhood education from an 

5 institution of higher education prior to the beginning 

6 of the period described in clause (i); and 

7 ‘‘(2) is not in default on a loan for which the 

8 borrower seeks forgiveness.’’; 

9 (3) by striking paragraph (1) of subsection (c) 

10 and inserting the following: 

11 ‘‘(1) IN GENERAL.— 

12 ‘‘(A) AGGREGATE AMOUNTS.—Of the loan 

13 obligation on a loan made under section 428 or 

14 428H that is outstanding after the completion 

15 of the fifth complete school year of teaching de16 scribed in subsection (b)(1) or comparable pe17 riod (in accordance with subsection 

18 (b)(1)(B)(i)), the Secretary shall repay not 

19 more than— 

20 ‘‘(i) $5,000 in the aggregate for a 

21 borrower described in subsection (b)(1)(A), 

22 except as provided in paragraph (3); and 

23 ‘‘(ii) $25,000 in the aggregate for a 

24 borrower described in subsection (b)(1)(B). 


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1 ‘‘(B) INTERACTION WITH DIRECT LOAN

2 PROGRAM.—No borrower may receive a reduc3 tion of loan obligations under both this section 

4 and section 460.’’; and 

5 (4) in subsection (g)— 

6 (A) in paragraph (1)(A), by striking 

7 ‘‘(b)(1)(A)’’ and inserting ‘‘(b)(1)(A)(i)’’; and 

8 (B) in paragraph (3), by striking 

9 ‘‘(b)(1)(B)’’ and inserting ‘‘(b)(1)(A)(ii)’’. 

10 SEC. 3. EXPANDING FEDERAL DIRECT LOAN CANCELLA11 TION PROGRAM TO EARLY CHILDHOOD EDU12 CATORS. 

13 Section 460 of the Higher Education Act of 1965 (20 

14 U.S.C. 1087j) is amended— 

15 (1) in the section heading, by inserting ‘‘EARLY

16 CHILDHOOD EDUCATORS AND ELEMENTARY

17 AND SECONDARY SCHOOL’’ before ‘‘TEACHERS’’; 

18 (2) by striking subsection (b) and inserting the 

19 following: 

20 ‘‘(b) PROGRAM AUTHORIZED.—The Secretary shall 

21 carry out a program of canceling the obligation to repay 

22 a qualified loan amount in accordance with subsection (c) 

23 for Federal Direct Stafford Loans and Federal Direct Un24 subsidized Stafford Loans made under this part for any 

25 borrower who— 


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1 ‘‘(1)(A) is a new borrower on or after October 

2 1, 1998 and has been employed as a full-time teach3 er for 5 consecutive complete school years— 

4 ‘‘(i) in a school or location that qualifies 

5 under section 465(a)(2)(A) for loan cancellation 

6 for Perkins loan recipients who teach in such 

7 schools or locations; and 

8 ‘‘(ii) if employed as an elementary school 

9 or secondary school teacher, is highly qualified 

10 as defined in section 9101 of the Elementary 

11 Secondary Education Act of 1965, or meets the 

12 requirements of subsection (g)(3); or 

13 ‘‘(B)(i) has been employed as a full-time early 

14 childhood educator at an early childhood program 

15 for 5 consecutive complete school years or a com16 parable period, as determined by the Secretary; and 

17 ‘‘(ii) obtained an associate degree or bacca18 laureate degree in early childhood education from an 

19 institution of higher education prior to the beginning 

20 of the period described in clause (i); and 

21 ‘‘(2) is not in default on a loan for which the 

22 borrower seeks forgiveness.’’; 

23 (3) by striking paragraph (1) of subsection (c) 

24 and inserting the following: 

25 ‘‘(1) IN GENERAL.— 


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1 ‘‘(A) AGGREGATE AMOUNTS.—Of the loan 

2 obligation on a Federal Direct Stafford Loan or 

3 a Federal Direct Unsubsidized Stafford Loan 

4 that is outstanding after the completion of the 

5 fifth complete school year of teaching described 

6 in subsection (b)(1) or comparable period (in 

7 accordance with subsection (b)(1)(B)(i)), the 

8 Secretary shall cancel not more than— 

9 ‘‘(i) $5,000 in the aggregate for a 

10 borrower described in subsection (b)(1)(A), 

11 except as provided in paragraph (3); and 

12 ‘‘(ii) $25,000 in the aggregate for a 

13 borrower described in subsection (b)(1)(B). 

14 ‘‘(B) INTERACTION WITH FFEL PRO15 GRAM.—No borrower may receive a reduction of 

16 loan obligations under both this section and sec17 tion 428J.’’; and 

18 (4) in subsection (g)— 

19 (A) in paragraph (1)(A), by striking 

20 ‘‘(b)(1)(A)’’ and inserting ‘‘(b)(1)(A)(i)’’; and 

21 (B) in paragraph (3), by striking 

22 ‘‘(b)(1)(B)’’ and inserting ‘‘(b)(1)(A)(ii)’’. 


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1 SEC. 4. AMENDMENT TO LOAN FORGIVENESS FOR SERVICE 

2 IN AREAS OF NATIONAL NEED PROGRAM. 

3 Section 428K(g)(3)(C) of the Higher Education Act 

4 of 1965 (20 U.S.C. 1078–11(g)(3)(C)) is amended by in5 serting ‘‘an associate degree in early childhood education 

6 or’’ before ‘‘a baccalaureate’’. 

Æ 


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