I 

115TH CONGRESS 

2D SESSION H. R. 5416 

To amend the Higher Education Act of 1965 to establish a student loan 

forgiveness program for women who are small business owners. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 29, 2018 

Ms. ADAMS (for herself, Ms. WILSON of Florida, Ms. BARRAGA ́N, Ms. 

BORDALLO, and Mr. ESPAILLAT) introduced the following bill; which was 

referred to the Committee on Education and the Workforce, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such 

provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To amend the Higher Education Act of 1965 to establish 

a student loan forgiveness program for women who are 

small business owners. 

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 ‘‘Women Small Business 

5 Growth Act’’. 


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1 SEC. 2. LOAN FORGIVENESS PROGRAM FOR SMALL BUSI2 NESS OWNERS WHO ARE WOMEN. 

3 Part G of title IV of the Higher Education Act of 

4 1965 (20 U.S.C. 1087a) is amended by adding at the end 

5 the following: 

6 ‘‘SEC. 493E. LOAN FORGIVENESS PROGRAM FOR SMALL 

7 BUSINESS OWNERS WHO ARE WOMEN. 

8 ‘‘(a) PROGRAM AUTHORIZED.—The Secretary shall 

9 repay or cancel a qualified loan amount in accordance with 

10 subsection (b) for a loan made, insured, or guaranteed 

11 under part B or D for any borrower who meets one or 

12 more of the following: 

13 ‘‘(1) The borrower is a woman who has been an 

14 owner of a small business concern owned and con15 trolled by women for not less than 3 consecutive 

16 years. 

17 ‘‘(2) The borrower is a woman who has been an 

18 owner of a small business concern that— 

19 ‘‘(A) meets the requirements of paragraph 

20 (1); and 

21 ‘‘(B) has created not less than 1 new job. 

22 ‘‘(b) QUALIFIED LOAN AMOUNT.— 

23 ‘‘(1) OWNERSHIP.—Upon completion of the 

24 third or fourth year of the ownership described in 

25 subsection (a)(1), the qualified loan amount for a 


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1 borrower, for each such year, shall be an amount 

2 equal to— 

3 ‘‘(A) 15 percent of the original, aggregate 

4 principal amount of the loans; and 

5 ‘‘(B) the amount of interest on such loans 

6 that accrues during the most recent year of 

7 such ownership. 

8 ‘‘(2) JOB CREATION.—For each year that a 

9 borrower meets the requirements of subsection 

10 (a)(2), the qualified loan amount shall be an amount 

11 equal to— 

12 ‘‘(A) 20 percent of the original, aggregate 

13 principal amount of the loans; and 

14 ‘‘(B) the amount of interest on such loans 

15 which has accrued (and which has not been for16 given under subsection (a)(1))— 

17 ‘‘(i) in the case of the first new job 

18 created that meets the requirements of 

19 subsection (a)(2) after the borrower’s own20 ership period of not less than 3 consecutive 

21 years, during such ownership period and 

22 until such first job is created; and 

23 ‘‘(ii) in the case of each succeeding 

24 job created after such first job, during the 

25 period beginning on the date such first job 


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1 was created and ending on the date of cre2 ation of such succeeding job. 

3 ‘‘(c) EXCLUSION FROM INCOME.—The amount of a 

4 loan, and interest on a loan, which is canceled under this 

5 section shall not be considered income for purposes of the 

6 Internal Revenue Code of 1986. 

7 ‘‘(d) PREVENTION OF DOUBLE BENEFITS.—No bor8 rower may receive a reduction of loan obligations under 

9 both this section and section 428J, 428K, 428L, 455(m), 

10 or 460. 

11 ‘‘(e) DEFINITIONS.—In this section: 

12 ‘‘(1) ANNUAL ADJUSTMENT PERCENTAGE.— 

13 The term ‘annual adjustment percentage’ is equal to 

14 the estimated percentage change in the Consumer 

15 Price Index (as determined by the Secretary, using 

16 the definition in section 478(f)) for the most recent 

17 calendar year. 

18 ‘‘(2) NEW JOB.—The term ‘new job’ means an 

19 employment position at a small business concern 

20 owned and controlled by women that— 

21 ‘‘(A) employs an individual who is not a 

22 owner of such small business concern; and 

23 ‘‘(B) provides a salary of not less than 

24 $30,000 per calendar year, increased by a per25 centage equal to the annual adjustment perVerDate Sep 11 2014 04:37 Apr 03, 2018 Jkt 079200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H5416.IH H5416

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1 centage for the calendar year for which the sal2 ary amount under this paragraph is being de3 termined. 

4 ‘‘(3) SMALL BUSINESS CONCERN OWNED AND

5 CONTROLLED BY WOMEN.—The term ‘small business 

6 concern owned and controlled by women’ has the 

7 meaning given under section 3(n) of the Small Busi8 ness Act (15 U.S.C. 632(n)).’’. 

Æ 


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