I 
115TH CONGRESS 
2D SESSION 
H. R. 6579 
To amend the Higher Education Act of 1965 to provide no interest deferment 
eligibility for certain small business concerns, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 26, 2018 
Mr. AGUILAR 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 provide 
no interest deferment eligibility for certain small business 
concerns, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Recent Grads in Start- 
Ups and Innovation Act’’. 
SEC. 2. NO INTEREST DEFERMENT ELIGIBILITY FOR OWN-
ERS OF CERTAIN SMALL BUSINESSES. 
(a) AMENDMENTS.—Section 455(f)(2) of the Higher 
Education Act of 1965 (20 U.S.C. 1087e(f)(2)) is amend-
ed— 
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(1) by striking ‘‘or’’ at the end of subparagraph 
(C); 
(2) by striking the period at the end of sub-
paragraph (D) and inserting ‘‘; or’’; and 
(3) by adding at the end the following: 
‘‘(E) not in excess of 4 years during which 
the borrower is the owner of a small business 
concern (as defined in section 3 of the Small 
Business Act) that— 
‘‘(i) has at least one employee other 
than the owner; and 
‘‘(ii) has its principal place of business 
located in a qualified opportunity zone (as 
defined in section 1400Z–1 of the Internal 
Revenue Code of 1986).’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall take effect 1 year after the date of enact-
ment of this Act. 
SEC. 3. REPORT. 
(a) IN GENERAL.—Not later than 1 year after the 
first deferment is granted under section 455(f)(2)(E) of 
the Higher Education Act of 1965 (20 U.S.C. 
1087e(f)(2)), as added by this Act, the Secretary of Edu-
cation, in coordination with the Small Business Adminis-
tration, shall submit a report to Congress on— 
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(1) the number of recent college graduates who 
applied to receive a deferment under such section, 
disaggregated by— 
(A) the number of such individuals who 
were granted such a deferment; and 
(B) the number of such individuals who 
were not granted such a deferment; 
(2) a description of the recent college graduates 
who were granted such a deferment, disaggregated 
by— 
(A) the demographic information of the 
graduate; 
(B) the type of small business concern for 
which the deferment was granted; 
(C) the location of the small business con-
cern; 
(D) the number of jobs created by the 
small business concern; and 
(E) any relevant information on the 
growth of the small business concern; and 
(3) recommendations to improve or create more 
awareness of such deferment program. 
(b) DEFINITION.—In this section: 
(1) INSTITUTION OF HIGHER EDUCATION.—The 
term ‘‘institution of higher education’’ has the 
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meaning given the term in section 102 of the Higher 
Education Act of 1965 (20 U.S.C. 1002). 
(2) RECENT COLLEGE GRADUATE.—The term 
‘‘recent college graduate’’ means an individual who 
has been a graduate of an institution of higher edu-
cation with an associate or baccalaureate degree for 
not more than 2 years. 
(3) SMALL
BUSINESS
CONCERN.—The term 
‘‘small business concern’’ has the meaning given 
under section 3 of the Small Business Act (15 
U.S.C. 632). 
Æ 
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