‘‘(A) was in existence on the day before the 
date of the enactment of the Student Aid and 
Fiscal Responsibility Act of 2009; and 
‘‘(B) as of such day, was participating in 
activities and services related to promoting per-
sistence in, and completion of, postsecondary 
education, such as the activities and services de-
scribed in subsection (d)(1). 
‘‘(4) PRIORITY.—In awarding grants under this 
section, the Secretary shall give priority to States 
that enter into a partnership with one of the fol-
lowing entities to carry out the activities and serv-
ices described in subsection (d)(1): 
‘‘(A) A philanthropic organization, as such 
term is defined in section 781(i)(1). 
‘‘(B) An agency with an agreement with 
the Secretary under subsections (b) and (c) of 
section 428 on the date of the enactment of 
Student Aid and Fiscal Responsibility Act of 
2009. 
‘‘(d) USES OF FUNDS.— 
‘‘(1) AUTHORIZED USES.—A State receiving a 
grant under this section shall use the grant funds 
to— 
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‘‘(A) provide programs in such State that 
increase persistence in, and completion of, post-
secondary education, which may include— 
‘‘(i) programs to assist institutions of 
higher education in providing financial lit-
eracy, education, and counseling to en-
rolled students; 
‘‘(ii) programs intended to assist stu-
dents enrolled in an institution of higher 
education with reducing the amount of 
loan debt incurred by such students; 
‘‘(iii) providing grants to students de-
scribed in section 415A(a)(1), in accord-
ance with the terms of that section; and 
‘‘(iv) carrying out the activities de-
scribed in section 415E(a); and 
‘‘(B) support the development and imple-
mentation of a statewide longitudinal data sys-
tem, as described in subsection (c)(2)(A)(ii). 
‘‘(2) PROHIBITED
USES.—Funds made avail-
able under this section shall not be used to promote 
any lender’s loans or other services. 
‘‘(3) RESTRICTIONS
ON
USE
OF
FUNDS.—A 
State— 
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‘‘(A) shall use not less than 1⁄3 of the sum 
of the Federal and non-Federal share used for 
paragraph (1)(A) on activities that benefit stu-
dents enrolled in junior or community colleges 
(as defined in section 312(f)), two-year public 
institutions, or two-year programs of instruc-
tion at four-year public institutions; 
‘‘(B) may use not more than 10 percent of 
the sum of the Federal and non-Federal share 
under this section for activities described in 
paragraph (1)(B); and 
‘‘(C) may use not more than 6 percent of 
the sum of the Federal and non-Federal share 
under this section for administrative purposes 
relating to the grant under this section. 
‘‘(e) ANNUAL REPORT.—Each State receiving a 
grant under this section shall submit to the Secretary an 
annual report on— 
‘‘(1) the activities and services described in sub-
section (d)(1) that are carried out with such grant; 
‘‘(2) the effectiveness of such activities and 
services in increasing postsecondary persistence and 
completion, as determined by measurable progress in 
achieving the State’s goals for persistence and com-
pletion described in the Access and Completion Plan 
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submitted by the State under subsection (c)(2)(A), 
if such plan has been submitted; and 
‘‘(3) any other information or assessments the 
Secretary may require. 
‘‘SEC. 783. INNOVATION IN COLLEGE ACCESS AND COMPLE-
TION NATIONAL ACTIVITIES. 
‘‘(a) PROGRAMS AUTHORIZED.—From the amount 
appropriated under section 781(a)(2)(C) to carry out this 
section, the Secretary shall award grants, on a competitive 
basis, to eligible entities in accordance with this section 
to conduct innovative programs that advance knowledge 
about, and adoption of, policies and practices that increase 
the number of individuals with postsecondary degrees or 
certificates. 
‘‘(b) ELIGIBLE ENTITIES.—The Secretary is author-
ized to award grants under subsection (a) to— 
‘‘(1) institutions of higher education; 
‘‘(2) States; 
‘‘(3) nonprofit organizations with demonstrated 
experience in the operation of programs to increase 
postsecondary completion; 
‘‘(4) philanthropic organizations (as such term 
is defined in section 781(i)(1)); 
‘‘(5) entities receiving a grant under chapter 1 
of subpart 2 of part A of title IV; and 
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‘‘(6) consortia of any of the entities described 
in paragraphs (1) through (5). 
‘‘(c) INNOVATION GRANTS.— 
‘‘(1) MINIMUM
AWARD.—A grant awarded 
under subsection (a) shall be not less than 
$1,000,000. 
‘‘(2) GRANTS USES.—The Secretary’s authority 
to award grants under subsection (a) includes— 
‘‘(A) the authority to award to an eligible 
entity a grant in an amount equal to all or part 
of the amount of funds received by such entity 
from philanthropic organizations (as such term 
is defined in section 781(i)(1)) to conduct inno-
vative programs that advance knowledge about, 
and adoption of, policies and practices that in-
crease the number of individuals with postsec-
ondary degrees or certificates; and 
‘‘(B) the authority to award an eligible en-
tity a grant to develop 2-year programs that 
provide supplemental grant or loan benefits to 
students that— 
‘‘(i) are designed to improve student 
outcomes, including degree completion, 
graduation without student loan debt, and 
post-completion employment; 
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‘‘(ii) are in addition to the student fi-
nancial aid available under title IV of this 
Act; and 
‘‘(iii) do not result in the reduction of 
the amount of that aid or any other stu-
dent financial aid for which a student is 
otherwise eligible under Federal law. 
‘‘(3) APPLICATION.—To be eligible to receive a 
grant under subsection (a), an eligible entity shall 
submit an application at such time, in such manner, 
and containing such information as the Secretary 
shall require. 
‘‘(4) PRIORITIES.—In awarding grants under 
subsection (a), the Secretary shall give priority to 
applications that— 
‘‘(A) are from an eligible entity with dem-
onstrated experience in serving students from 
groups that are underrepresented in postsec-
ondary education, including institutions of high-
er education that are eligible for assistance 
under title III or V, or are from a consortium 
that includes an eligible entity with such experi-
ence; 
‘‘(B) are from an eligible entity that is a 
public institution of higher education that does 
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not predominantly provide an educational pro-
gram for which it awards a bachelor’s degree 
(or an equivalent degree), or from a consortium 
that includes at least one such institution; 
‘‘(C) include activities to increase degree or 
certificate completion in the fields of science, 
technology, engineering, and mathematics, in-
cluding 
preparation 
for, 
or 
entry 
into, 
postbaccaluareate study; 
‘‘(D) are from an eligible entity that is a 
philanthropic organization with the primary 
purpose of providing scholarships and support 
services to students from groups that are tradi-
tionally underrepresented in postsecondary edu-
cation, or are from a consortium that includes 
such an organization; or 
‘‘(E) encourage partnerships between insti-
tutions of higher education with high degree- 
completion rates and institutions of higher edu-
cation with low degree-completion rates from 
the same category of institutions described in 
section 132(d) to facilitate the sharing of infor-
mation relating to, and the implementation of, 
best practices for increasing postsecondary com-
pletion. 
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‘‘(5) TECHNICAL ASSISTANCE.—The Secretary 
may reserve up to $50,000,000 per year to award 
grants and contracts to provide technical assistance 
to eligible entities receiving a grant under subsection 
(a), including technical assistance on the evaluation 
conducted in accordance with section 784 and estab-
lishing networks of eligible entities receiving grants 
under such subsection. 
‘‘(d) REPORTS.— 
‘‘(1) ANNUAL REPORTS BY ENTITIES.—Each el-
igible entity receiving a grant under subsection (a) 
shall submit to the Secretary and annual report 
on— 
‘‘(A) the effectiveness of the program car-
ried out with such grant in increasing postsec-
ondary completion, as determined by measur-
able progress in achieving the goals of the pro-
gram, as described in the application for such 
grant; and 
‘‘(B) any other information or assessments 
the Secretary may require. 
‘‘(2) ANNUAL
REPORT
TO
CONGRESS.—The 
Secretary shall submit to the authorizing committees 
an annual report on grants awarded under sub-
section (a), including— 
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‘‘(A) the amount awarded to each eligible 
entity receiving a grant under such subsection; 
and 
‘‘(B) a description of the activities con-
ducted by each such eligible entity. 
‘‘SEC. 784. EVALUATION. 
‘‘From the amount appropriated under section 
781(a)(2)(D), the Director of the Institute of Education 
Sciences shall conduct a rigorous evaluation of the pro-
grams funded under this part. Not later than January 30, 
2016, the Director shall issue a final report on such eval-
uation to the authorizing committees and the Secretary, 
and shall make such report available to the public.’’. 
SEC. 103. INVESTMENT IN HISTORICALLY BLACK COL-
LEGES AND UNIVERSITIES AND OTHER MI-
NORITY-SERVING INSTITUTIONS. 
Section 371(b) (20 U.S.C. 1067q(b)) is amended— 
(1) 
in 
paragraph 
(1)(A), 
by 
striking 
‘‘$255,000,000’’ and all that follows and inserting 
‘‘$255,000,000 for each of the fiscal years 2008 
through 2014.’’; and 
(2) by amending paragraph (2)(B) to read as 
follows: 
‘‘(B) STEM
AND
ARTICULATION
PRO-
GRAMS.—From the amount made available for 
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allocation under this subparagraph by subpara-
graph (A)(i) for any fiscal year— 
‘‘(i) 90 percent shall be available for 
Hispanic-serving Institutions for activities 
described in sections 503 and 517, with a 
priority given to applications that pro-
pose— 
‘‘(I) to increase the number of 
Hispanic and other low-income stu-
dents attaining degrees in the fields of 
science, technology, engineering, or 
mathematics; and 
‘‘(II) to develop model transfer 
and articulation agreements between 
2-year Hispanic-serving institutions 
and 4-year institutions in such fields; 
and 
‘‘(ii) 10 percent shall be available for 
grants under section 355.’’. 
SEC. 104. INVESTMENT IN COOPERATIVE EDUCATION. 
There are authorized to be appropriated, and there 
are appropriated, to carry out part N of title VIII of the 
Higher Education Act of 1965 (20 U.S.C. 1161n) (in ad-
dition to any other amounts appropriated to carry out 
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such part and out of any money in the Treasury not other-
wise appropriated), $10,000,000 for fiscal year 2010. 
Subtitle B—Student Financial Aid 
Form Simplification 
SEC. 121. GENERAL EFFECTIVE DATE. 
Except as otherwise provided in this subtitle, amend-
ments made by this subtitle shall be effective with respect 
to determinations of need for assistance under title IV of 
the Higher Education Act of 1965 (20 U.S.C. 1070 et 
seq.) for award years beginning on or after July 1, 2011. 
SEC. 122. TREATMENT OF ASSETS IN NEED ANALYSIS. 
(a) AMOUNT OF NEED.—Section 471 (20 U.S.C. 
1087kk) is amended— 
(1) by striking ‘‘Except’’ and inserting the fol-
lowing: 
‘‘(a) IN GENERAL.—Except’’; 
(2) by inserting ‘‘and subject to subsection (b)’’ 
after ‘‘therein’’; and 
(3) by adding at the end the following: 
‘‘(b) ASSET CAP FOR NEED-BASED AID.—Notwith-
standing any other provision of this title, a student shall 
not be eligible to receive any need-based grant, loan, or 
work assistance under this title if— 
‘‘(1) in the case of a dependent student, the 
combined net assets of the student and the student’s 
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parents are equal to an amount greater than 
$150,000 (or a successor amount prescribed by the 
Secretary under section 478(c)); or 
‘‘(2) in the case of an independent student, the 
net assets of the student (and the student’s spouse, 
if applicable) are equal to an amount greater than 
$150,000 (or a successor amount prescribed by the 
Secretary under section 478(c)).’’. 
(b) DATA ELEMENTS.—Section 474(b) (20 U.S.C. 
1087nn(b)) is amended— 
(1) by striking paragraph (4); and 
(2) by redesignating paragraphs (5), (6), and 
(7) as paragraphs (4), (5), and (6), respectively. 
(c) DEPENDENT
STUDENTS.—Section 475 (20 
U.S.C. 1087oo) is amended— 
(1) in subsection (a)— 
(A) in paragraph (1)— 
(i) by striking ‘‘adjusted’’; and 
(ii) by inserting ‘‘and’’ after the semi-
colon; 
(B) in paragraph (2), by striking ‘‘; and’’ 
and inserting a period; and 
(C) by striking paragraph (3); 
(2) in subsection (b)— 
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(A) in the header, by striking ‘‘AD-
JUSTED’’; 
(B) in the matter preceding paragraph (1), 
by striking ‘‘adjusted’’; 
(C) by striking paragraph (1); 
(D) by redesignating paragraphs (2) and 
(3) as paragraphs (1) and (2), respectively; 
(E) in paragraph (1) (as redesignated by 
subparagraph (D) of this paragraph), by strik-
ing ‘‘adjusted’’; and 
(F) in paragraph (2) (as redesignated by 
subparagraph (D) of this paragraph), by strik-
ing ‘‘paragraph (2)’’ and inserting ‘‘paragraph 
(1)’’; 
(3) by repealing subsection (d); 
(4) in subsection (e)— 
(A) by striking ‘‘The adjusted available’’ 
and inserting ‘‘The available’’; 
(B) by striking ‘‘to as ‘AAI’)’’ and insert-
ing ‘‘to as ‘AI’)’’; 
(C) by striking ‘‘From Adjusted Available 
Income (AAI)’’ and inserting ‘‘From Available 
Income (AI)’’; and 
(D) in the table— 
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(i) by striking ‘‘If AAI’’ and inserting 
‘‘If AI’’; and 
(ii) by striking ‘‘of AAI’’ each place it 
appears and inserting ‘‘of AI’’; 
(5) in subsection (f)— 
(A) by striking ‘‘and assets’’ each place it 
appears; 
(B) in paragraph (2)(B), by striking ‘‘or 
assets’’; and 
(C) in paragraph (3)— 
(i) by striking ‘‘are taken into’’ and 
inserting ‘‘is taken into’’; and 
(ii) by striking ‘‘adjusted’’; 
(6) in subsection (g)(6), by striking ‘‘exceeds 
the sum of’’ and all that follows and inserting ‘‘ex-
ceeds the parents’ total income (as defined in section 
480)’’; 
(7) by repealing subsection (h); and 
(8) in subsection (i), by striking ‘‘adjusted’’ 
each place it appears. 
(d) FAMILY CONTRIBUTION FOR INDEPENDENT STU-
DENTS
WITHOUT
DEPENDENTS
OTHER
THAN
A 
SPOUSE.—Section 476 (20 U.S.C. 1087pp) is amended— 
(1) in subsection (a)— 
(A) by striking paragraph (1); 
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(B) by redesignating paragraphs (2) and 
(3) as paragraphs (1) and (2), respectively; 
(C) in paragraph (1) (as redesignated by 
subparagraph (B)), by striking ‘‘the sum result-
ing under paragraph (1)’’ and inserting ‘‘the 
family’s contribution from available income (de-
termined in accordance with subsection (b))’’; 
and 
(D) in paragraph (2)(A) (as redesignated 
by subparagraph (B)), by striking ‘‘paragraph 
(2)’’ and inserting ‘‘paragraph (1)’’; 
(2) by repealing subsection (c); and 
(3) in subsection (d)— 
(A) by striking ‘‘and assets’’; and 
(B) by striking ‘‘or assets’’. 
(e) FAMILY CONTRIBUTION FOR INDEPENDENT STU-
DENTS WITH DEPENDENTS OTHER THAN A SPOUSE.— 
Section 477 (20 U.S.C. 1087qq) is amended— 
(1) in subsection (a)— 
(A) by striking paragraph (1); 
(B) by redesignating paragraphs (2), (3), 
and (4) as paragraphs (1), (2), and (3), respec-
tively; 
(C) in paragraph (1) (as redesignated by 
subparagraph (B)), by striking ‘‘such adjusted 
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available income’’ and inserting ‘‘the family’s 
available income (determined in accordance with 
subsection (b))’’; 
(D) in paragraph (2) (as redesignated by 
subparagraph (B)), by striking ‘‘paragraph (2)’’ 
and inserting ‘‘paragraph (1)’’; and 
(E) in paragraph (3)(A) (as redesignated 
by subparagraph (B)), by striking ‘‘paragraph 
(3)’’ and inserting ‘‘paragraph (2)’’; 
(2) by repealing subsection (c); and 
(3) in subsection (d)— 
(A) by striking ‘‘The adjusted available’’ 
and inserting ‘‘The available’’; 
(B) by striking ‘‘to as ‘AAI’)’’ and insert-
ing ‘‘to as ‘AI’)’’; 
(C) by striking ‘‘From Adjusted Available 
Income (AAI)’’ and inserting ‘‘From Available 
Income (AI)’’; and 
(D) in the table— 
(i) by striking ‘‘If AAI’’ and inserting 
‘‘If AI’’; and 
(ii) by striking ‘‘of AAI’’ each place it 
appears and inserting ‘‘of AI’’; and 
(E) in subsection (e)— 
(i) by striking ‘‘and assets’’; and 
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(ii) by striking ‘‘or assets’’. 
(f) REGULATIONS; UPDATED TABLES.—Section 478 
(20 U.S.C. 1087rr) is amended— 
(1) in subsection (a), by inserting ‘‘or amounts, 
as the case may be,’’ after ‘‘tables’’ each place the 
term appears; 
(2) by amending subsection (c) to read as fol-
lows: 
‘‘(c) ASSET CAP FOR NEED-BASED AID.—For each 
award year after award year 2011–2012, the Secretary 
shall publish in the Federal Register a revised net asset 
cap for the purposes of section 471(b). Such revised cap 
shall be determined by increasing the dollar amount in 
such section by a percentage equal to the estimated per-
centage change in the Consumer Price Index (as deter-
mined by the Secretary) between December 2010 and the 
December preceding the beginning of such award year, 
and rounding the result to the nearest $5.’’; 
(3) by repealing subsection (d); and 
(4) in subsection (e), by striking ‘‘adjusted’’ 
both places it appears. 
SEC. 123. SOCIAL SECURITY ALLOWANCES. 
(a) 
PARENT’S
AVAILABLE
INCOME.—Section 
475(c)(3) (20 U.S.C. 1087oo(c)(3)) is amended by strik-
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ing ‘‘amount earned by’’ and inserting ‘‘total income (as 
defined in section 480) of’’. 
(b) STUDENTS WITHOUT DEPENDENTS.—Section 
476(b)(3) (20 U.S.C. 1087pp(b)(3)) is amended by strik-
ing ‘‘amount earned by’’ and inserting ‘‘total income (as 
defined in section 480) of’’. 
(c) 
STUDENTS
WITH
DEPENDENTS.—Section 
477(b)(3) (20 U.S.C. 1087qq(b)(3)) is amended by strik-
ing ‘‘amount estimated to be earned by’’ and inserting 
‘‘total income (as defined in section 480) of’’. 
SEC. 124. CHANGES TO TOTAL INCOME; AID ELIGIBILITY. 
(a) DEFINITION OF UNTAXED INCOME AND BENE-
FITS.—Section 480(b)(1) (20 U.S.C. 1087vv(b)(1)), as 
amended by the Higher Education Opportunity Act (Pub-
lic Law 110–315), is amended— 
(1) by striking subparagraphs (A), (B), (C), 
(E), (F), and (I); 
(2) by redesignating subparagraphs (D), (G), 
and (H) as subparagraphs (A), (B), and (C), respec-
tively; 
(3) in subparagraph (B) (as redesignated by 
paragraph (2)), by inserting ‘‘and’’ after the semi-
colon; and 
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(4) in subparagraph (C) (as redesignated by 
paragraph (2)), by striking ‘‘; and’’ and inserting a 
period. 
(b) DEFINITION OF ASSETS.—Section 480(f)(2) (20 
U.S.C. 1087vv(f)(2)) is amended— 
(1) by striking ‘‘or’’ at the end of subparagraph 
(B); 
(2) by striking the period at the end of sub-
paragraph (C) and inserting ‘‘; or’’; and 
(3) by adding at the end the following: 
‘‘(D) an employee pension benefit plan (as 
defined in section 3(2) of the Employee Retire-
ment Income Security Act of 1974 (29 U.S.C. 
1002(2))).’’. 
(c) FINANCIAL ADMINISTRATOR DISCRETION.—Sec-
tion 479A(b) (20 U.S.C. 1087tt) is amended in the sub-
section heading, by striking ‘‘TO ASSETS’’. 
(d) SUSPENSION
OF ELIGIBILITY
FOR DRUG-RE-
LATED
OFFENSES.—Section 
484(r)(1) 
(20 
U.S.C. 
1091(r)(1)) is amended to read as follows: 
‘‘(1) IN GENERAL.—A student who is convicted 
of any offense under any Federal or State law in-
volving the sale of a controlled substance for conduct 
that occurred during a period of enrollment for 
which the student was receiving any grant, loan, or 
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work assistance under this title shall not be eligible 
to receive any grant, loan, or work assistance under 
this title from the date of that conviction for the pe-
riod of time specified in the following subpara-
graphs: 
‘‘(A) For a first offense, the period of in-
eligibility shall be 2 years. 
‘‘(B) For a second offense, the period of 
ineligibility shall be indefinite.’’. 
TITLE II—STUDENT LOAN 
REFORM 
Subtitle A—Stafford Loan Reform 
SEC. 201. FEDERAL FAMILY EDUCATION LOAN APPROPRIA-
TIONS. 
Section 421 (20 U.S.C. 1071) is amended— 
(1) in subsection (b), in the matter following 
paragraph (6), by inserting ‘‘, except that no sums 
may be expended after June 30, 2010, with respect 
to loans under this part for which the first disburse-
ment would be made after such date’’ after ‘‘ex-
pended’’; and 
(2) by adding at the end the following new sub-
section: 
‘‘(d) TERMINATION OF AUTHORITY TO MAKE OR IN-
SURE NEW LOANS.—Notwithstanding paragraphs (1) 
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through (6) of subsection (b) or any other provision of 
law— 
‘‘(1) no new loans (including consolidation 
loans) may be made or insured under this part after 
June 30, 2010; and 
‘‘(2) no funds are authorized to be appro-
priated, or may be expended, under this Act or any 
other Act to make or insure loans under this part 
(including consolidation loans) for which the first 
disbursement would be made after June 30, 2010, 
except as expressly authorized by an Act of Congress en-
acted after the date of enactment of Student Aid and Fis-
cal Responsibility Act of 2009.’’. 
SEC. 202. SCOPE AND DURATION OF FEDERAL LOAN INSUR-
ANCE PROGRAM. 
Section 424(a) (20 U.S.C. 1074(a)) is amended by 
striking ‘‘September 30, 1976,’’ and all that follows and 
inserting ‘‘September 30, 1976, for each of the succeeding 
fiscal years ending prior to October 1, 2009, and for the 
period from October 1, 2009, to June 30, 2010, for loans 
first disbursed on or before June 30, 2010.’’. 
SEC. 203. APPLICABLE INTEREST RATES. 
Section 427A(l) (20 U.S.C. 1077a(l)) is amended— 
(1) in paragraph (1), by inserting ‘‘and before 
July 1, 2010,’’ after ‘‘July 1, 2006,’’; 
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(2) in paragraph (2), by inserting ‘‘and before 
July 1, 2010,’’ after ‘‘July 1, 2006,’’; 
(3) in paragraph (3), by inserting ‘‘and that 
was disbursed before July 1, 2010,’’ after ‘‘July 1, 
2006,’’; and 
(4) in paragraph (4)— 
(A) in the matter preceding subparagraph 
(A), by striking ‘‘July 1, 2012’’ and inserting 
‘‘July 1, 2010’’; and 
(B) by repealing subparagraphs (D) and 
(E). 
SEC. 204. FEDERAL PAYMENTS TO REDUCE STUDENT IN-
TEREST COSTS. 
(a) HIGHER EDUCATION ACT OF 1965.—Section 428 
(20 U.S.C. 1078) is amended— 
(1) in subsection (a)— 
(A) in paragraph (1), in the matter pre-
ceding subparagraph (A), by inserting ‘‘for 
which the first disbursement is made before 
July 1, 2010, and’’ after ‘‘eligible institution’’; 
and 
(B) in paragraph (5), by striking ‘‘Sep-
tember 30, 2014,’’ and all that follows through 
the period and inserting ‘‘June 30, 2010.’’; 
(2) in subsection (b)(1)— 
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(A) in subparagraph (G)(ii), by inserting 
‘‘and before July 1, 2010,’’ after ‘‘July 1, 
2006,’’; and 
(B) in subparagraph (H)(ii), by inserting 
‘‘and that are first disbursed before July 1, 
2010,’’ after ‘‘July 1, 2006,’’; 
(3) in subsection (f)(1)(A)(ii)— 
(A) by striking ‘‘during fiscal years begin-
ning’’; and 
(B) by inserting ‘‘and first disbursed be-
fore July 1, 2010,’’ after ‘‘October 1, 2003,’’; 
and 
(4) in subsection (j)(1), by inserting ‘‘, before 
July 1, 2010,’’ after ‘‘section 435(d)(1)(D) of this 
Act shall’’. 
(b) COLLEGE COST REDUCTION AND ACCESS ACT.— 
Section 303 of the College Cost Reduction and Access Act 
(Public Law 110–84) is repealed. 
SEC. 205. FEDERAL PLUS LOANS. 
Section 428B(a)(1) (20 U.S.C. 1078–2(a)(1)) is 
amended by striking ‘‘A graduate’’ and inserting ‘‘Prior 
to July 1, 2010, a graduate’’. 
SEC. 206. FEDERAL CONSOLIDATION LOAN. 
(a) AMENDMENTS.—Section 428C (20 U.S.C. 1078– 
3) is amended— 
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mercial paper (financial) rates in ef-
fect for each of the days in such quar-
ter as reported by the Federal Reserve 
in Publication H–15 (or its successor) 
for such 3-month period’. 
‘‘(II) 
LOANS
ELIGIBLE
FOR 
LIBOR-BASED
CALCULATION.—The 
special allowance paid pursuant to 
this subsection shall be calculated as 
described in subclause (I) with respect 
to special allowance payments for the 
3-month period ending March 31, 
2010, and each succeeding 3-month 
period, on loans for which the first 
disbursement is made— 
‘‘(aa) on or after the date of 
enactment of the Student Aid 
and Fiscal Responsibility Act of 
2009, and before July 1, 2010; 
and 
‘‘(bb) on or after January 1, 
2000, and before the date of en-
actment of the Student Aid and 
Fiscal 
Responsibility 
Act 
of 
2009, if, not later than the last 
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