I 

113TH CONGRESS 

1ST SESSION H. R. 2881 

To amend the Higher Education Act of 1965 to increase the amount of 

loan forgiveness available to highly qualified teachers employed in lowincome schools who teach in the same school district for five consecutive 

years. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 31, 2013 

Mr. BUTTERFIELD (for himself, Mr. PRICE of North Carolina, Ms. LEE of 

California, Mrs. BEATTY, Ms. KELLY of Illinois, Ms. JACKSON LEE, Mr. 

MCINTYRE, Mr. BISHOP of Georgia, Mr. JEFFRIES, Mr. PAYNE, Ms. 

BASS, Mr. CARSON of Indiana, Ms. CLARKE, Mr. RICHMOND, Mr. LEWIS, 

Ms. KAPTUR, Mr. CLEAVER, Mr. SCOTT of Virginia, Ms. BROWN of Florida, and Ms. EDDIE BERNICE JOHNSON of Texas) 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 increase 

the amount of loan forgiveness available to highly qualified teachers employed in low-income schools who teach 

in the same school district for five consecutive years. 

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 ‘‘Support Educators and 

5 Reinvest in Valuable Education Act’’ or ‘‘SERVE Act’’. 


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•HR 2881 IH

1 SEC. 2. ADDITIONAL LOAN FORGIVENESS FOR HIGHLY 

2 QUALIFIED TEACHERS EMPLOYED IN A LOW3 INCOME SCHOOL IN THE SAME LOCAL EDU4 CATIONAL AGENCY FOR 5 CONSECUTIVE 

5 YEARS. 

6 (a) FEDERAL FAMILY EDUCATION LOAN PRO7 GRAM.—Section 428J(c) of the Higher Education Act of 

8 1965 (20 U.S.C. 1078–10(c)) is amended by adding at 

9 the end the following new paragraph: 

10 ‘‘(4) ADDITIONAL AMOUNTS FOR TEACHERS

11 EMPLOYED BY THE SAME LOCAL EDUCATIONAL

12 AGENCY FOR 5 CONSECUTIVE COMPLETE SCHOOL

13 YEARS.— 

14 ‘‘(A) AMOUNTS.—Notwithstanding the 

15 amount specified in paragraph (1), the aggre16 gate amount that the Secretary shall repay 

17 under this section shall be not more than 

18 $17,500 in the case of an elementary or sec19 ondary school teacher— 

20 ‘‘(i) who meets the requirements of 

21 subsection (b); and 

22 ‘‘(ii) who has been employed as a full23 time teacher for 5 consecutive complete 

24 school years at the same local educational 

25 agency. 


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•HR 2881 IH

1 ‘‘(B) INCLUSION OF PLUS LOANS.—A loan 

2 made under section 428B (other than an ex3 cepted PLUS loan) shall be considered a quali4 fied loan amount for purposes of this para5 graph. 

6 ‘‘(C) TREATMENT OF CONSOLIDATION

7 LOANS.—Notwithstanding paragraph (2), a 

8 loan amount for a loan made under section 

9 428C may be a qualified loan amount for the 

10 purposes of this paragraph only to the extent 

11 that such loan amount was used to repay a 

12 Federal Direct Stafford Loan, a Federal Direct 

13 Unsubsidized Stafford Loan, a Federal Direct 

14 PLUS Loan (other than an excepted PLUS 

15 loan), or a loan made under section 428, 428B 

16 (other than an excepted PLUS loan), or 428H 

17 for a borrower who meets the requirements of 

18 subparagraph (A), as determined in accordance 

19 with regulations prescribed by the Secretary. 

20 ‘‘(D) EXCEPTED PLUS LOAN.—In this 

21 paragraph, the term ‘excepted PLUS loan’ has 

22 the meaning given the term in section 

23 493C(a).’’. 

24 (b) WILLIAM D. FORD FEDERAL DIRECT LOAN PRO25 GRAM.—Section 460(c) of the Higher Education Act of 


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•HR 2881 IH

1 1965 (20 U.S.C. 1087j(c)) is amended by adding at the 

2 end the following new paragraph: 

3 ‘‘(4) ADDITIONAL AMOUNTS FOR TEACHERS

4 EMPLOYED BY THE SAME LOCAL EDUCATIONAL

5 AGENCY FOR 5 CONSECUTIVE COMPLETE SCHOOL

6 YEARS.— 

7 ‘‘(A) AMOUNTS.—Notwithstanding the 

8 amount specified in paragraph (1), the aggre9 gate amount that the Secretary shall cancel 

10 under this section shall be not more than 

11 $17,500 in the case of an elementary or sec12 ondary school teacher— 

13 ‘‘(i) who meets the requirements of 

14 subsection (b); and 

15 ‘‘(ii) who has been employed as a full16 time teacher for 5 consecutive complete 

17 school years at the same local educational 

18 agency. 

19 ‘‘(B) INCLUSION OF PLUS LOANS.—A Fed20 eral Direct PLUS Loan (other than an ex21 cepted PLUS loan) shall be considered a quali22 fied loan amount for purposes of this para23 graph. 

24 ‘‘(C) TREATMENT OF CONSOLIDATION

25 LOANS.—Notwithstanding paragraph (2), a 


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•HR 2881 IH

1 loan amount for a Federal Direct Consolidation 

2 Loan may be a qualified loan amount for the 

3 purposes of this paragraph only to the extent 

4 that such loan amount was used to repay a 

5 Federal Direct Stafford Loan, a Federal Direct 

6 Unsubsidized Stafford Loan, a Federal Direct 

7 PLUS Loan (other than an excepted PLUS 

8 loan), or a loan made under section 428, 428B 

9 (other than an excepted PLUS loan), or 428H 

10 for a borrower who meets the requirements of 

11 subparagraph (A), as determined in accordance 

12 with regulations prescribed by the Secretary. 

13 ‘‘(D) EXCEPTED PLUS LOAN.—In this 

14 paragraph, the term ‘excepted PLUS loan’ has 

15 the meaning given the term in section 

16 493C(a).’’. 

Æ 


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