108TH CONGRESS
1ST SESSION
H. R. 438
AN ACT
To increase the amount of student loans that may
be forgiven for teachers in mathematics, science,
and special education.
108TH CONGRESS
1ST SESSION
H. R. 438
AN ACT
To increase the amount of student loans that may be for-
given for teachers in mathematics, science, and special
education.
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 ‘‘Teacher Recruitment
and Retention Act of 2003’’.
SEC. 2. INCREASED QUALIFIED LOAN AMOUNTS.
(a) FFEL LOANS.—Section 428J(c) of the Higher
Education Act of 1965 (20 U.S.C. 1078–10(c)) is amend-
ed by adding at the end the following new paragraph:
‘‘(3) INCREASED AMOUNTS FOR TEACHERS IN
MATHEMATICS, SCIENCE, OR SPECIAL EDUCATION.—
‘‘(A) 
SERVICE
QUALIFYING
FOR
IN-
CREASED
AMOUNTS.—Notwithstanding 
the
amount specified in paragraph (1), the aggre-
gate amount that the Secretary shall repay
under this section shall not be more than
$17,500 in the case of—
‘‘(i) a secondary school teacher—
‘‘(I) who meets the requirements
of subsection (b), subject to subpara-
graph (D) of this paragraph; and
‘‘(II) whose qualifying employ-
ment for purposes of such subsection
has been teaching mathematics or
science on a full-time basis;
‘‘(ii) an elementary or secondary
school teacher—
‘‘(I) who meets the requirements
of subsection (b), subject to subpara-
graph (D) of this paragraph;
‘‘(II) whose qualifying employ-
ment for purposes of such subsection
has been as a special education teach-
er whose primary responsibility is to
provide special education to children
with disabilities (as those terms are
defined in section 602 of the Individ-
uals with Disabilities Act); and
‘‘(III) who, as certified by the
chief administrative officer of the pub-
lic or nonprofit private elementary or
secondary school in which the bor-
rower is employed, is teaching chil-
dren with disabilities that correspond
with the borrower’s special education
training and has demonstrated knowl-
edge and teaching skills in the content
areas of the elementary or secondary
school curriculum that the borrower is
teaching; and
‘‘(iii) an elementary or secondary
school teacher who primarily teaches read-
ing and—
‘‘(I) who meets the requirements
of subsection (b), subject to subpara-
graph (D) of this paragraph;
‘‘(II) who has obtained a sepa-
rate reading instruction credential
from the State in which the teacher is
employed; and
‘‘(III) who is certified by the
chief administrative officer of the pub-
lic or nonprofit private elementary or
secondary school in which the bor-
rower is employed to teach reading—
‘‘(aa) as being proficient in
teaching the essential compo-
nents of reading instruction as
defined in section 1208 of the El-
ementary and Secondary Edu-
cation Act of 1965; and
‘‘(bb) as having such creden-
tial.
‘‘(B) ACCELERATED PAYMENT.—Notwith-
standing the requirements of subsection (b)(1)
and paragraph (1) of this subsection that 5
consecutive complete years of service have been
completed prior to the receipt of loan forgive-
ness, in the case of service described in sub-
paragraph (A) of this paragraph, the Secretary
shall repay a portion of a borrower’s loan obli-
gation outstanding at the commencement of the
qualifying service under this subsection, not to
exceed a total of $17,500, in the following in-
crements:
‘‘(i) up to $1,750, or 10 percent of
such outstanding loan obligation, which-
ever is less, at the completion of the second
year of such service;
‘‘(ii) up to $2,625, or 15 percent of
such outstanding loan obligation, which-
ever is less, at the completion of the third
year of such service;
‘‘(iii) up to $4,375, or 25 percent of
such outstanding loan obligation, which-
ever is less, at the completion of the fourth
year of such service; and
‘‘(iv) up to $8,750, or 50 percent of
such outstanding loan obligation, which-
ever is less, at the completion of the fifth
year of such service.
‘‘(C) PROMISE TO COMPLETE SERVICE RE-
QUIRED
FOR
ACCELERATED
PAYMENT.—Any
borrower who receives accelerated payment
under this paragraph shall enter into an agree-
ment to continue in the qualifying service for
not less than 5 consecutive complete school
years, or, upon a failure to complete such 5
years, to repay the United States, in accordance
with regulations prescribed by the Secretary,
the amount of the loans repaid by the Secretary
under this paragraph, together with interest
thereon and, to the extent required in such reg-
ulations, the reasonable costs of collection. Such
regulations may provide for waiver by the Sec-
retary of such repayment obligations upon proof
of economic hardship as specified in such regu-
lations.
‘‘(D) HIGHER POVERTY ENROLLMENT RE-
QUIRED.—In order to qualify for an increased
repayment amount under this paragraph, sec-
tion 465(a)(2)(A) shall, for purposes of sub-
section (b)(1)(A) of this section, be applied by
substituting ‘40 percent of the total enrollment’
for ‘30 percent of the total enrollment’.’’.
(b) DIRECT LOANS.—Section 460(c) of the Higher
Education Act of 1965 (20 U.S.C. 1087j(c)) is amended
by adding at the end the following new paragraph:
‘‘(3) INCREASED AMOUNTS FOR TEACHERS IN
MATHEMATICS, SCIENCE, OR SPECIAL EDUCATION.—
‘‘(A) 
SERVICE
QUALIFYING
FOR
IN-
CREASED
AMOUNTS.—Notwithstanding 
the
amount specified in paragraph (1), the aggre-
gate amount that the Secretary shall repay
under this section shall not be more than
$17,500 in the case of—
‘‘(i) a secondary school teacher—
‘‘(I) who meets the requirements
of subsection (b)(1), subject to sub-
paragraph (D) of this paragraph; and
‘‘(II) whose qualifying employ-
ment for purposes of such subsection
has been teaching mathematics or
science on a full-time basis;
‘‘(ii) an elementray or secondary
school teacher—
‘‘(I) who meets the requirements
of subsection (b)(1), subject to sub-
paragraph (D) of this paragraph;
‘‘(II) whose qualifying employ-
ment for purposes of such subsection
has been as a special education teach-
er whose primary responsibility is to
provide special education to children
with disabilities (as those terms are
defined in section 602 of the Individ-
uals with Disabilities Act); and
‘‘(III) who, as certified by the
chief administrative officer of the pub-
lic or nonprofit private elementary or
secondary school in which the bor-
rower is employed, is teaching chil-
dren with disabilities that correspond
with the borrower’s special education
training and has demonstrated knowl-
edge and teaching skills in the content
areas of the elementary or secondary
school curriculum that the borrower is
teaching; and
‘‘(iii) an elementary or secondary
school teacher who primarily teaches read-
ing and—
‘‘(I) who meets the requirements
of subsection (b), subject to subpara-
graph (D) of this paragraph;
‘‘(II) who has obtained a sepa-
rate reading instruction credential
from the State in which the teacher is
employed; and
‘‘(III) who is certified by the
chief administrative officer of the pub-
lic or nonprofit private elementary or
secondary school in which the bor-
rower is employed to teach reading—
‘‘(aa) as being proficient in
teaching the essential compo-
nents of reading instruction as
defined in section 1208 of the El-
ementary and Secondary Edu-
cation Act of 1965; and
‘‘(bb) as having such creden-
tial.
‘‘(B) ACCELERATED PAYMENT.—Notwith-
standing 
the 
requirements 
of 
subsection
(b)(1)(A) and paragraph (1) of this subsection
that 5 consecutive complete years of service
have been completed prior to the receipt of loan
forgiveness, in the case of service described in
subparagraph (A) of this paragraph, the Sec-
retary shall repay a portion of a borrower’s loan
obligation outstanding at the commencement of
the qualifying service under this subsection, not
to exceed a total of $17,500, in the following in-
crements:
‘‘(i) up to $1,750, or 10 percent of
such outstanding loan obligation, which-
ever is less, at the completion of the second
year of such service;
‘‘(ii) up to $2,625, or 15 percent of
such outstanding loan obligation, which-
ever is less, at the completion of the third
year of such service;
‘‘(iii) up to $4,375, or 25 percent of
such outstanding loan obligation, which-
ever is less, at the completion of the fourth
year of such service; and
‘‘(iv) up to $8,750, or 50 percent of
such outstanding loan obligation, which-
by substituting ‘40 percent of the total enroll-
ment’ for ‘30 percent of the total enrollment’.’’.
SEC. 3. IMPLEMENTING HIGHLY QUALIFIED TEACHER RE-
QUIREMENTS.
(a) AMENDMENTS.—
(1) FFEL LOANS.—Section 428J(b)(1) of the
Higher Education Act of 1965 (20 U.S.C. 1078–
10(b)(1)) is amended—
(A) by inserting ‘‘and’’ after the semicolon
at the end of subparagraph (A); and
(B) by striking subparagraphs (B) and (C)
and inserting the following:
‘‘(B) if employed as an elementary or sec-
ondary school teacher, is highly qualified as de-
fined in section 9101(23) of the Elementary
Secondary Education Act of 1965; and’’.
(2) DIRECT LOANS.—Section 460(b)(1)(A) of
such Act (20 U.S.C. 1087j(b)(1)(A)) is amended—
(A) by inserting ‘‘and’’ after the semicolon
at the end of clause (i); and
(B) by striking clauses (ii) and (iii) and in-
serting the following:
‘‘(ii) if employed as an elementary or
secondary school teacher, is highly quali-
fied as defined in section 9101(23) of the
Elementary Secondary Education Act of
1965; and’’.
(b) TRANSITION RULE.—
(1) RULE.—The amendments made by sub-
section (a) of this section to sections 428J(b)(1) and
460(b)(1)(A) of the Higher Education Act of 1965
shall not be applied to disqualify any individual who,
before the date of enactment of this Act, commenced
service that met and continues to meet the require-
ments of such sections as in effect before such date
of enactment.
(2) RULE
NOT
APPLICABLE
TO
INCREASED
QUALIFIED LOAN AMOUNTS.—Paragraph (1) of this
subsection shall not apply for purposes of obtaining
increased qualified loan amounts under sections
428J(b)(3) and 460(b)(3) of the Higher Education
Act of 1965 as added by section 2 of this Act.
SEC. 4. INFORMATION ON BENEFITS TO RURAL SCHOOL
DISTRICTS.
The Secretary shall—
(1) notify local educational agencies eligible to
participate in the Small Rural Achievement Program
authorized under subpart 1 of part B of title VI of
the Elementary and Secondary Education Act of
1965 of the benefits available under the amendments
made by this Act; and
(2) encourage such agencies to notify their
teachers of such benefits.
Passed the House of Representatives July 9, 2003.
Attest:
Clerk.