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‘‘(C)(i) If a student fails to either remain eligi-
ble or meet established measures of academic 
progress and achievement, the managing agent shall 
instruct the student’s institution of higher education 
to suspend payment of the student’s scholarship. 
‘‘(ii) A suspension of payment shall remain in 
effect until the student is able to demonstrate to the 
satisfaction of the managing agent that he or she is 
again eligible and meets the established measures of 
academic progress and achievement. 
‘‘(iii) A student’s eligibility for a scholarship 
shall be terminated if a suspension period exceeds 
12 months. 
‘‘(D)(i)(I) A student awarded a scholarship 
may, in a manner and under the terms established 
by, and with the approval of, the managing agent, 
postpone or interrupt his or her enrollment at an in-
stitution of higher education for up to 12 months. 
‘‘(II) Such a postponement or interruption 
shall not be considered a suspension for pur-
poses of subparagraph (C). 
‘‘(ii) Neither a student nor the student’s insti-
tution of higher education shall receive the student’s 
scholarship payments during the period of postpone-
178
ment or interruption, but such payments shall re-
sume upon enrollment or reenrollment. 
‘‘(iii) In exceptional circumstances, such as seri-
ous injury or illness or the necessity to care for fam-
ily members, the student’s postponement or inter-
ruption may, upon notification and approval of the 
managing agent, be extended beyond the 12 month 
period described in clause (i)(I). 
‘‘(g) RESPONSIBILITIES OF INSTITUTION OF HIGHER 
EDUCATION.—
‘‘(1) The managing agent shall require any in-
stitution of higher education that enrolls a student 
who receives a scholarship under this section to an-
nually provide an assurance, prior to making any 
payment, that the student—
‘‘(A) is eligible in accordance with subsection 
(b)(2); and 
‘‘(B) has provided the institution with a written 
commitment to attend, or is attending, classes and 
is satisfactorily meeting the institution’s academic 
criteria for enrollment in its program of study. 
‘‘(2)(A) The managing agent shall provide the 
institution of higher education with payments from 
the Fund for selected recipients in at least two in-
stallments.
179
‘‘(B) An institution of higher education shall re-
turn prorated amounts of any scholarship payment 
to the managing agent, who shall deposit it in to the 
Fund, if a recipient declines a scholarship, does not 
attend courses, transfers to another institution of 
higher education, or becomes ineligible for a scholar-
ship. 
‘‘SEC. 419B. MATHEMATICS AND SCIENCE INCENTIVE PRO-
GRAM. 
‘‘(a) PROGRAM.—
‘‘(1) IN GENERAL.—The Secretary is authorized 
to carry out a program of assuming the obligation 
to pay, pursuant to the provisions of this section, the 
interest on a loan made, insured, or guaranteed 
under part B or D of this title. 
‘‘(2) ELIGIBILITY.—The Secretary may assume 
interest payments under paragraph (1) only for a 
borrower who—
‘‘(A) has submitted an application in com-
pliance with subsection (d); 
‘‘(B) obtained one or more loans described 
in paragraph (1) as an undergraduate student; 
‘‘(C) is a new borrower (within the mean-
ing of section 103(7) of this Act) on or after
180
the date of enactment of the College Access and 
Opportunity Act of 2006; 
‘‘(D) is a highly qualified teacher (as de-
fined in section 9101 of the Elementary and 
Secondary Education Act of 1965) of science, 
technology, engineering or mathematics at an 
elementary or secondary school in a high need 
local educational agency, or is a mathematics, 
science, or engineering professional; and 
‘‘(E) enters into an agreement with the 
Secretary to complete 5 consecutive years of 
service in a position described in subparagraph 
(D), starting on the date of the agreement. 
‘‘(3) PRIOR INTEREST LIMITATIONS.—The Sec-
retary shall not make any payments for interest 
that—
‘‘(A) accrues prior to the beginning of the 
repayment period on a loan in the case of a 
loan made under section 428H or a Federal Di-
rect Unsubsidized Stafford Loan; or 
‘‘(B) has accrued prior to the signing of an 
agreement under paragraph (2)(E). 
‘‘(4) INITIAL SELECTION.—In selecting partici-
pants for the program under this section, the Sec-
retary—
181
‘‘(A) shall choose among eligible applicants 
on the basis of—
‘‘(i) the national security, homeland 
security, and economic security needs of 
the United States, as determined by the 
Secretary, in consultation with other Fed-
eral agencies, including the Departments 
of Labor, Defense, Homeland Security, 
Commerce, and Energy, the Central Intel-
ligence Agency, and the National Science 
Foundation; and 
‘‘(ii) the academic record or job per-
formance of the applicant; and 
‘‘(B) may choose among eligible applicants 
on the basis of—
‘‘(i) the likelihood of the applicant to 
complete the 5-year service obligation; 
‘‘(ii) the likelihood of the applicant to 
remain in science, mathematics, or engi-
neering after the completion of the service 
requirement; or 
‘‘(iii) other relevant criteria deter-
mined by the Secretary. 
‘‘(5) AVAILABILITY
SUBJECT
TO
APPROPRIA-
TIONS.—Loan interest payments under this section