117 
(1) by striking ‘‘or’’ at the end of clause (ii); 
(2) by redesignating clause (iii) as clause (iv); 
and 
(3) by inserting after clause (ii) the following 
new clause: 
‘‘(iii) not in excess of 3 years during 
which the borrower— 
‘‘(I) is serving on active duty 
during a war or other military oper-
ation or national emergency; or 
‘‘(II) is performing qualifying 
National Guard duty during a war or 
other military operation or national 
emergency; or’’. 
(b) DIRECT LOANS.—Section 455(f)(2) (20 U.S.C. 
1087e(f)(2)) is amended— 
(1) by redesignating subparagraph (C) as sub-
paragraph (D); and 
(2) by inserting after subparagraph (B) the fol-
lowing new subparagraph: 
‘‘(C) not in excess of 3 years during which 
the borrower— 
‘‘(i) is serving on active duty during a 
war or other military operation or national 
emergency; or
118 
‘‘(ii) is performing qualifying National 
Guard duty during a war or other military 
operation or national emergency; or’’. 
(c) PERKINS
LOANS.—Section 464(c)(2)(A) (20 
U.S.C. 1087dd(c)(2)(A)) is amended— 
(1) by redesignating clauses (iii) and (iv) as 
clauses (iv) and (v), respectively; and 
(2) by inserting after clause (ii) the following 
new clause: 
‘‘(iii) not in excess of 3 years during which the 
borrower— 
‘‘(I) is serving on active duty during a war 
or other military operation or national emer-
gency; or 
‘‘(II) is performing qualifying National 
Guard duty during a war or other military op-
eration or national emergency;’’. 
(d) DEFINITIONS.—Section 481 (20 U.S.C. 1088) is 
amended by adding at the end the following new sub-
section: 
‘‘(d) DEFINITIONS FOR MILITARY DEFERMENTS.— 
For purposes of parts B, D, and E of this title: 
‘‘(1) ACTIVE DUTY.—The term ‘active duty’ has 
the meaning given such term in section 101(d)(1) of 
title 10, United States Code, except that such term
119 
does not include active duty for training or attend-
ance at a service school. 
‘‘(2) MILITARY
OPERATION.—The term ‘mili-
tary operation’ means a contingency operation as 
such term is defined in section 101(a)(13) of title 
10, United States Code. 
‘‘(3) NATIONAL
EMERGENCY.—The term ‘na-
tional emergency’ means the national emergency by 
reason of certain terrorist attacks declared by the 
President on September 14, 2001, or subsequent na-
tional emergencies declared by the President by rea-
son of terrorist attacks. 
‘‘(4) SERVING
ON
ACTIVE
DUTY.—The term 
‘serving on active duty during a war or other mili-
tary operation or national emergency’ means service 
by an individual who is— 
‘‘(A) a Reserve of an Armed Force ordered 
to 
active 
duty 
under 
section 
12301(a), 
12301(g), 12302, 12304, or 12306 of title 10, 
United States Code, or any retired member of 
an Armed Force ordered to active duty under 
section 688 of such title, for service in connec-
tion with a war or other military operation or 
national emergency, regardless of the location
120 
at which such active duty service is performed; 
and 
‘‘(B) any other member of an Armed Force 
on active duty in connection with such emer-
gency or subsequent actions or conditions who 
has been assigned to a duty station at a loca-
tion other than the location at which such mem-
ber is normally assigned. 
‘‘(5) QUALIFYING
NATIONAL
GUARD
DUTY.— 
The term ‘qualifying National Guard duty during a 
war or other military operation or national emer-
gency’ means service as a member of the National 
Guard on full-time National Guard duty (as defined 
in section 101(d)(5) of title 10, United States Code) 
under a call to active service authorized by the 
President or the Secretary of Defense for a period 
of more than 30 consecutive days under section 
502(f) of title 32, United States Code, in connection 
with a war, other military operation, or a national 
emergency declared by the President and supported 
by Federal funds.’’. 
(e) RULE
OF
CONSTRUCTION.—Nothing in the 
amendments made by this section shall be construed to 
authorize any refunding of any repayment of a loan.
121 
(f) EFFECTIVE DATE.—The amendments made by 
this section shall apply with respect to loans for which the 
first disbursement is made on or after July 1, 1993, to 
an individual who is a new borrower (within the meaning 
of section 103 of the Higher Education Act of 1965 (20 
U.S.C. 1003)) on or after such date. 
SEC. 2119. LOAN FORGIVENESS FOR SERVICE IN AREAS OF 
NATIONAL NEED. 
Section 428K (20 U.S.C. 1078–11) is amended to 
read as follows: 
‘‘SEC. 428K. LOAN FORGIVENESS FOR SERVICE IN AREAS OF 
NATIONAL NEED. 
‘‘(a) PURPOSES.—The purposes of this section are— 
‘‘(1) to encourage highly trained individuals to 
enter and continue in service in areas of national 
need; and 
‘‘(2) to reduce the burden of student debt for 
Americans who dedicate their careers to service in 
areas of national need. 
‘‘(b) PROGRAM AUTHORIZED.— 
‘‘(1) IN GENERAL.—The Secretary is authorized 
to carry out a program of assuming the obligation 
to repay, pursuant to subsections (c)(2) and (d), a 
qualified loan amount for a loan made, insured, or 
guaranteed under this part or part D (other than
122 
loans made under section 428B and 428C and com-
parable loans made under part D), for any new bor-
rower after the date of enactment of the Higher 
Education Budget Reconciliation Act of 2005, 
who— 
‘‘(A) has been employed full-time for at 
least 5 consecutive complete school, academic, 
or calendar years, as appropriate, in an area of 
national need described in subsection (c); and 
‘‘(B) is not in default on a loan for which 
the borrower seeks forgiveness. 
‘‘(2) AWARD
BASIS.—Loan repayment under 
this section shall be on a first-come, first-served 
basis pursuant to the designation under subsection 
(c) and subject to the availability of appropriations. 
‘‘(3) REGULATIONS.—The Secretary is author-
ized to issue such regulations as may be necessary 
to carry out the provisions of this section. 
‘‘(c) AREAS OF NATIONAL NEED.— 
‘‘(1) STATUTORY CATEGORIES.—For purposes 
of this section, an individual shall be treated as em-
ployed in an area of national need if the individual 
is employed full-time and is any of the following: 
‘‘(A) EARLY CHILDHOOD EDUCATORS.—An 
individual who is employed as an early child-
123 
hood educator in an eligible preschool program 
or child care facility in a low-income commu-
nity, and who is involved directly in the care, 
development and education of infants, toddlers, 
or young children through age five. 
‘‘(B) NURSES.—An individual who is em-
ployed— 
‘‘(i) as a nurse in a clinical setting; or 
‘‘(ii) as a member of the nursing fac-
ulty at an accredited school of nursing (as 
those terms are defined in section 801 of 
the Public Health Service Act (42 U.S.C. 
296)). 
‘‘(C) FOREIGN LANGUAGE SPECIALISTS.— 
An individual who has obtained a baccalaureate 
degree in a critical foreign language and is em-
ployed— 
‘‘(i) in an elementary or secondary 
school as a teacher of a critical foreign lan-
guage; or 
‘‘(ii) in an agency of the United 
States Government in a position that regu-
larly requires the use of such critical for-
eign language.
124 
‘‘(D) LIBRARIANS.—An individual who is 
employed as a librarian in— 
‘‘(i) a public library that serves a geo-
graphic area within which the public 
schools have a combined average of 30 per-
cent or more of their total student enroll-
ments composed of children counted under 
section 1113(a)(5) of the Elementary and 
Secondary Education Act of 1965; or 
‘‘(ii) an elementary or secondary 
school which is in the school district of a 
local educational agency which is eligible in 
such year for assistance pursuant to title I 
of the Elementary and Secondary Edu-
cation Act of 1965, and which for the pur-
pose of this paragraph and for that year 
has been determined by the Secretary 
(pursuant to regulations and after con-
sultation with the State educational agency 
of the State in which the school is located) 
to be a school in which the enrollment of 
children counted under section 1113(a)(5) 
of the Elementary and Secondary Edu-
cation Act of 1965 exceeds 30 percent of 
the total enrollment of that school.
125 
‘‘(E) HIGHLY QUALIFIED TEACHERS: BI-
LINGUAL
EDUCATION
AND
LOW-INCOME
COM-
MUNITIES.—An individual who— 
‘‘(i) is highly qualified as such term is 
defined in section 9101 of the Elementary 
and Secondary Education Act of 1965; and 
‘‘(ii)(I) is employed as a teacher of bi-
lingual education; or 
‘‘(II) is employed as a teacher for 
service in a public or nonprofit private ele-
mentary or secondary school which is in 
the school district of a local educational 
agency which is eligible in such year for 
assistance pursuant to title I of the Ele-
mentary and Secondary Education Act of 
1965, and which for the purpose of this 
paragraph and for that year has been de-
termined by the Secretary (pursuant to 
regulations and after consultation with the 
State educational agency of the State in 
which the school is located) to be a school 
in which the enrollment of children counted 
under section 1113(a)(5) of the Elemen-
tary and Secondary Education Act of 1965
126 
exceeds 40 percent of the total enrollment 
of that school. 
‘‘(F) FIRST RESPONDERS IN LOW-INCOME 
COMMUNITIES.—An individual who— 
‘‘(i) is employed as a firefighter, police 
officer, or emergency medical technician; 
and 
‘‘(ii) serves as such in a low-income 
community. 
‘‘(G) CHILD WELFARE WORKERS.—An in-
dividual who— 
‘‘(i) has obtained a degree in social 
work or a related field with a focus on 
serving children and families; and 
‘‘(ii) is employed in public or private 
child welfare services. 
‘‘(H) 
SPEECH-LANGUAGE
PATHOLO-
GISTS.—An individual who is a speech-language 
pathologist, who is employed in an eligible pre-
school program or an elementary or secondary 
school, and who has, at a minimum, a graduate 
degree in speech-language pathology, or com-
munication sciences and disorders. 
‘‘(I) ADDITIONAL
AREAS
OF
NATIONAL 
NEED.—An individual who is employed in an
127 
area designated by the Secretary under para-
graph (2) and has completed a baccalaureate or 
advanced degree related to such area. 
‘‘(2) DESIGNATION OF ADDITIONAL AREAS OF 
NATIONAL
NEED.—After consultation with appro-
priate Federal, State, and community-based agencies 
and organizations, the Secretary shall designate ad-
ditional areas of national need in which an indi-
vidual may be employed full-time to be eligible for 
loan repayment under this section. In making such 
designations, the Secretary shall take into account 
the extent to which— 
‘‘(A) the national interest in the area is 
compelling; 
‘‘(B) the area suffers from a critical lack 
of qualified personnel; and 
‘‘(C) other Federal programs support the 
area concerned. 
‘‘(d) QUALIFIED LOAN AMOUNT.—Subject to the 
availability of appropriations, the Secretary shall repay 
not more than $5,000 in the aggregate of the loan obliga-
tion on a loan made under section 428 or 428H that is 
outstanding after the completion of the fifth consecutive 
school, academic, or calendar year, as appropriate, de-
scribed in subsection (b)(1).
128 
‘‘(e) CONSTRUCTION.—Nothing in this section shall 
be construed to authorize the refunding of any repayment 
of a loan made under section 428 or 428H. 
‘‘(f) INELIGIBILITY OF NATIONAL SERVICE AWARD 
RECIPIENTS.—No student borrower may, for the same 
service, receive a benefit under both this section and sub-
title D of title I of the National and Community Service 
Act of 1990 (42 U.S.C. 12601 et seq.). 
‘‘(g) INELIGIBILITY FOR DOUBLE BENEFITS.—No 
borrower may receive a reduction of loan obligations under 
both this section and section 428J or 460. 
‘‘(h) DEFINITIONS.—In this section 
‘‘(1) CHILD CARE FACILITY.—The term ‘child 
care facility’ means a facility, including a home, 
that— 
‘‘(A) provides for the education and care of 
children from birth through age 5; and 
‘‘(B) meets any applicable State or local 
government licensing, certification, approval, or 
registration requirements. 
‘‘(2) CRITICAL FOREIGN LANGUAGE.—The term 
‘critical foreign language’ includes the languages of 
Arabic, Korean, Japanese, Chinese, Pashto, Persian- 
Farsi, Serbian-Croatian, Russian, Portuguese, and 
any other language identified by the Secretary of
129 
Education, in consultation with the Defense Lan-
guage Institute, the Foreign Service Institute, and 
the National Security Education Program, as a crit-
ical foreign language need. 
‘‘(3) 
EARLY
CHILDHOOD
EDUCATOR.—The 
term ‘early childhood educator’ means an early 
childhood educator employed in an eligible preschool 
program who has completed a baccalaureate or ad-
vanced degree in early childhood development, early 
childhood education, or in a field related to early 
childhood education. 
‘‘(4) ELIGIBLE
PRESCHOOL
PROGRAM.—The 
term ‘eligible preschool program’ means a program 
that provides for the care, development, and edu-
cation of infants, toddlers, or young children 
through age 5, meets any applicable State or local 
government licensing, certification, approval, and 
registration requirements, and is operated by— 
‘‘(A) a public or private school that may be 
supported, sponsored, supervised, or adminis-
tered by a local educational agency; 
‘‘(B) a Head Start agency serving as a 
grantee designated under the Head Start Act 
(42 U.S.C. 9831 et seq.);
130 
‘‘(C) a nonprofit or community based orga-
nization; or 
‘‘(D) a child care program, including a 
home. 
‘‘(5) LOW-INCOME COMMUNITY.—In this sub-
section, the term ‘low-income community’ means a 
community in which 70 percent of households earn 
less than 85 percent of the State median household 
income. 
‘‘(6) NURSE.—The term ‘nurse’ means a nurse 
who meets all of the following: 
‘‘(A) The nurse graduated from— 
‘‘(i) an accredited school of nursing 
(as those terms are defined in section 801 
of the Public Health Service Act (42 
U.S.C. 296)); 
‘‘(ii) a nursing center; or 
‘‘(iii) an academic health center that 
provides nurse training. 
‘‘(B) The nurse holds a valid and unre-
stricted license to practice nursing in the State 
in which the nurse practices in a clinical set-
ting. 
‘‘(C) The nurse holds one or more of the 
following:
131 
‘‘(i) A graduate degree in nursing, or 
an equivalent degree. 
‘‘(ii) A nursing degree from a colle-
giate school of nursing (as defined in sec-
tion 801 of the Public Health Service Act 
(42 U.S.C. 296)). 
‘‘(iii) A nursing degree from an asso-
ciate degree school of nursing (as defined 
in section 801 of the Public Health Service 
Act (42 U.S.C. 296)). 
‘‘(iv) A nursing degree from a diploma 
school of nursing (as defined in section 
801 of the Public Health Service Act (42 
U.S.C. 296)). 
‘‘(7) SPEECH-LANGUAGE
PATHOLOGIST.—The 
term ‘speech-language pathologist’ means a speech- 
language pathologist who meets all of the following: 
‘‘(A) the speech-language pathologist has 
received, at a minimum, a graduate degree in 
speech-language pathology or communication 
sciences and disorders from an institution of 
higher education accredited by an agency or as-
sociation recognized by the Secretary pursuant 
to section 496(a) of this Act; and