I 
109TH CONGRESS 
1ST SESSION 
H. R. 508 
To make changes to the Higher Education Act of 1965 incorporating the 
results of the FED UP Initiative, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 2, 2005 
Mr. MCKEON (for himself and Mr. BOEHNER) introduced the following bill; 
which was referred to the Committee on Education and the Workforce 
A BILL 
To make changes to the Higher Education Act of 1965 
incorporating the results of the FED UP Initiative, 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 ‘‘Fed Up Higher Edu-
cation Technical Amendments Act of 2005’’. 
SEC. 2. REFERENCE; EFFECTIVE DATE; IMPLEMENTATION. 
(a) REFERENCE.—Except as otherwise expressly pro-
vided in this Act, whenever in this Act an amendment or 
repeal is expressed in terms of an amendment to, or repeal 
of, a section or other provision, the reference shall be con-
sidered to be made to a section or other provision of the 
Higher Education Act of 1965 (20 U.S.C. 1001 et seq.). 
(b) EFFECTIVE DATE.—Except as otherwise provided 
in this Act, the amendments made by this Act shall take 
effect on the date of enactment of this Act. 
(c) IMPLEMENTATION.—Sections 482(c) and 492 of 
the Higher Education Act of 1965 (20 U.S.C. 1089(c), 
1098a) shall not apply to the regulations implementing the 
amendments made by this Act. 
SEC. 3. TECHNICAL AMENDMENTS. 
(a) AMENDMENTS TO TITLE I.— 
(1) Section 101(a)(1) (20 U.S.C. 1001(a)(1)) is 
amended by inserting before the semicolon at the 
end the following: ‘‘, or students who meet the re-
quirements of section 484(d)(3)’’. 
(2) 
Section 
102(a)(3)(A) 
(20 
U.S.C. 
1002(a)(3)(A)) is amended by striking ‘‘section 
521(4)(C) of the Carl D. Perkins Vocational and 
Applied Technology Education Act’’ and inserting 
‘‘section 3(3)(C) of the Carl D. Perkins Vocational 
and Technical Education Act of 1998’’. 
(3) Paragraph (7) of section 103 (20 U.S.C. 
1003) is amended to read as follows:
‘‘(7) NEW
BORROWER.—The term ‘new bor-
rower’ when used with respect to any date for any 
loan under any provision of— 
‘‘(A) part B or part D of title IV means 
an individual who on that date has no out-
standing balance of principal or interest owing 
on any loan made, insured, or guaranteed under 
either such part; and 
‘‘(B) part E of title IV means an indi-
vidual who on that date has no outstanding bal-
ance of principal or interest owing on any loan 
made under such part.’’. 
(4) Section 131 (20 U.S.C. 1015) is amended— 
(A) in subsection (a)(3)(A)(iii)— 
(i) by striking ‘‘an undergraduate’’ 
and inserting ‘‘a full-time undergraduate’’; 
and 
(ii) in subclause (I), by striking ‘‘sec-
tion 428(a)(2)(C)(i)’’ and inserting ‘‘sec-
tion 428(a)(2)(C)(ii)’’; 
(B) in subsection (b), by striking ‘‘the 
costs for typical full-time undergraduate stu-
dents’’ and inserting ‘‘the prices for full-time 
undergraduate students and the institution’s 
rate of cost increase’’;
(C) in subsection (c)(2)(B), by striking 
‘‘costs’’ and inserting ‘‘prices’’; and 
(D) in subsection (d)(1), by striking ‘‘3 
years’’ and inserting ‘‘4 years’’. 
(5) Section 141 (20 U.S.C. 1018) is amended— 
(A) in subsection (a)(2)(B)— 
(i) by inserting ‘‘unit’’ after ‘‘to re-
duce the’’; and 
(ii) by inserting ‘‘and, to the extent 
practicable, the total costs of administering 
those programs’’ after ‘‘those programs’’; 
(B) in subsection (c)— 
(i) in paragraph (1)(A), by striking 
‘‘Each year’’ and inserting ‘‘Each fiscal 
year’’; 
(ii) in paragraph (1)(B), by inserting 
‘‘secondary markets, guaranty agencies,’’ 
after ‘‘lenders,’’; and 
(iii) in paragraph (2)(B), by striking 
‘‘Chief Financial Officer Act of 1990 and’’ 
and inserting ‘‘Chief Financial Officers Act 
of 1990,’’ and by inserting before the pe-
riod at the end the following: ‘‘, and other 
relevant statutes’’; and
(C) in subsection (f)(3)(A), by striking 
‘‘paragraph (1)(A)’’ and inserting ‘‘paragraph 
(1)’’. 
(b) AMENDMENTS TO TITLE II.—Section 207(f)(2) 
(20 U.S.C. 1027(f)(2)) is amended by inserting ‘‘, includ-
ing by electronic means,’’ after ‘‘sent’’. 
(c) AMENDMENTS TO TITLE III.— 
(1) Section 316(b)(3) (20 U.S.C. 1059c(b)(3)) 
is amended by striking ‘‘give’’ and inserting ‘‘given’’. 
(2) Section 326(e)(1) (20 U.S.C. 1063b(e)(1)) 
is amended, in the matter preceding subparagraph 
(A), by inserting a colon after ‘‘the following’’. 
(3) Section 342(5)(C) (20 U.S.C. 1066a(5)(C)) 
is amended— 
(A) by inserting a comma after ‘‘equip-
ment’’ the first place it appears; and 
(B) by striking ‘‘technology,’’ and inserting 
‘‘technology,’’. 
(4) Section 343(e) (20 U.S.C. 1066b(e)) is 
amended by inserting after the subsection designa-
tion the following: ‘‘Sale of Qualified Bonds.—’’. 
(5) Section 351(a) (20 U.S.C. 1067a(a)) is 
amended by striking ‘‘of 1979’’. 
(6) Section 1024 (20 U.S.C. 1135b–3), as 
transferred by section 301(a)(5) of the Higher Edu-
cation Amendments of 1998 (Public Law 105–244; 
112 Stat. 1636), is repealed. 
(d) AMENDMENTS TO PART A OF TITLE IV.— 
(1) Section 402A (20 U.S.C. 1070a-11) is 
amended— 
(A) in subsection (e)— 
(i) in paragraph (1), by striking 
‘‘(g)(2)’’ and inserting ‘‘(g)(4)’’; and 
(ii) in paragraph (2), by striking 
‘‘(g)(2)’’ and inserting ‘‘(g)(4)’’; and 
(B) in subsection (g)— 
(i) by redesignating paragraphs (1) 
through (4) as paragraphs (3) through (6), 
respectively; and 
(ii) by inserting before paragraph (3), 
as redesignated, the following: 
‘‘(1) DIFFERENT CAMPUS.—The term ‘different 
campus’ means an institutional site that— 
‘‘(A) is geographically apart from the main 
campus of the institution; 
‘‘(B) is permanent in nature; and 
‘‘(C) offers courses in educational pro-
grams leading to a degree, certificate, or other 
recognized educational credential.
‘‘(2) DIFFERENT POPULATION.—The term ‘dif-
ferent population’ means a group of individuals, with 
respect to whom an entity seeks to serve through an 
application for funding under this chapter, that is— 
‘‘(A) separate and distinct from any other 
population that the entity seeks to serve 
through an application for funding under this 
chapter; or 
‘‘(B) while sharing some of the same char-
acteristics as another population that the entity 
seeks to serve through an application for fund-
ing under this chapter, has distinct needs for 
specialized services.’’. 
(2)(A) Section 404A(b) (20 U.S.C. 1070a– 
21(b)) is amended by adding at the end thereof the 
following new paragraph: 
‘‘(3) DURATION.—An award made by the Sec-
retary under this chapter to an eligible entity de-
scribed in paragraph (1) or (2) of subsection (c) 
shall be for the period of 6 years.’’. 
(B) The amendment made by subparagraph (A) 
shall apply to awards made either before or after the 
date of enactment of this Act. 
(3) Section 407E (20 U.S.C. 1070a–35) is re-
designated as section 406E.
(4) Section 419C(b)(1) (20 U.S.C. 1070d– 
33(b)(1)) is amended by inserting ‘‘and’’ after the 
semicolon at the end thereof. 
(5) Section 419D(d) (20 U.S.C. 1070d–34(d)) 
is amended by striking ‘‘Public Law 95–1134’’ and 
inserting ‘‘Public Law 95–134’’. 
(e) AMENDMENTS TO PART B OF TITLE IV.— 
(1) 
Section 
428(a)(2)(A) 
(20 
U.S.C. 
1078(a)(2)(A)) is amended— 
(A) by striking ‘‘and’’ at the end of sub-
clause (II) of clause (i); and 
(B) by moving the margin of clause (iii) 
two ems to the left. 
(2) 
Section 
428(b)(1)(G) 
(20 
U.S.C. 
1078(b)(1)(G)) is amended by inserting before the 
semicolon at the end the following: ‘‘and 100 percent 
of the unpaid principal amount of exempt claims as 
defined in subsection (c)(1)(G)’’. 
(3) Section 428(c) (20 U.S.C. 1078(c)) is 
amended— 
(A) in paragraph (1)— 
(i) by redesignating subparagraph (G) 
as subparagraph (H), and moving such 
subparagraph 2 em spaces to the left; and
(ii) by inserting after subparagraph 
(F) the following new subparagraph: 
‘‘(G)(i) Notwithstanding any other provisions of 
this section, in the case of exempt claims, the Sec-
retary shall apply the provisions of— 
‘‘(I) the fourth sentence of subparagraph 
(A) by substituting ‘100 percent’ for ‘95 per-
cent’; 
‘‘(II) subparagraph (B)(i) by substituting 
‘100 percent’ for ‘85 percent’; and 
‘‘(III) subparagraph (B)(ii) by substituting 
‘100 percent’ for ‘75 percent’. 
‘‘(ii) For purposes of clause (i) of this subpara-
graph, the term ‘exempt claims’ means claims with 
respect to loans for which it is determined that the 
borrower (or the student on whose behalf a parent 
has borrowed), without the lender’s or the institu-
tion’s knowledge at the time the loan was made, pro-
vided false or erroneous information or took actions 
that caused the borrower or the student to be ineli-
gible for all or a portion of the loan or for interest 
benefits thereon.’’. 
(B) in paragraph (3)(A)(i), by striking ‘‘in 
writing’’; and
(C) by adding at the end the following new 
paragraph: 
‘‘(10) 
DOCUMENTATION
OF
FORBEARANCE 
AGREEMENTS.—For the purposes of paragraph (3), 
the terms of forbearance agreed to by the parties 
shall be documented by confirming the agreement of 
the borrower by notice to the borrower from the 
lender, and by recording the terms in the borrower’s 
file.’’. 
(4) Section 428C(a)(3)(B) (20 U.S.C. 1078– 
3(a)(3)(B)) is amended by adding at the end the fol-
lowing new clause: 
‘‘(ii) Loans made under this section shall, to 
the extent used to discharge loans made under this 
title, be counted against the applicable limitations on 
aggregate 
indebtedness 
contained 
in 
sections 
425(a)(2), 
428(b)(1)(B), 
428H(d), 
455, 
and 
464(a)(2)(B).’’. 
(5) Section 428H(e) (20 U.S.C. 1078–8(e)) is 
amended— 
(A) by striking paragraph (6); and 
(B) by redesignating paragraph (7) as 
paragraph (6). 
(6) Section 428I(g) (20 U.S.C. 1078–9(g)) is 
amended by striking ‘‘Code,’’ and inserting ‘‘Code’’.