I 
114TH CONGRESS 
1ST SESSION H. R. 3695 
To simplify and improve the Federal student loan program through income- 
contingent repayment to provide stronger protections for borrowers, en-
courage responsible borrowing, and save money for taxpayers. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 6, 2015 
Mr. ZELDIN introduced the following bill; which was referred to the Com-
mittee on Education and the Workforce, and in addition to the Com-
mittee on Ways and Means, for a period to be subsequently determined 
by the Speaker, in each case for consideration of such provisions as fall 
within the jurisdiction of the committee concerned 
A BILL 
To simplify and improve the Federal student loan program 
through income-contingent repayment to provide stronger 
protections for borrowers, encourage responsible bor-
rowing, and save money for taxpayers. 
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 ‘‘Earnings Contingent 
Education Loans Act of 2015’’ or the ‘‘ExCEL Act of 
2015’’. 
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SEC. 2. TERMINATION OF AUTHORITY TO MAKE FEDERAL 
DIRECT STAFFORD LOANS, FEDERAL DIRECT 
UNSUBSIDIZED STAFFORD LOANS, AND FED-
ERAL DIRECT PLUS LOANS TO STUDENTS 
UNDER THE WILLIAM D. FORD FEDERAL DI-
RECT LOAN PROGRAM. 
Section 455(a) of the Higher Education Act of 1965 
(20 U.S.C. 1087e(a)) is amended by adding at the end 
the following: 
‘‘(4) TERMINATION
OF
AUTHORITY
TO
MAKE 
FEDERAL DIRECT STAFFORD LOANS, FEDERAL DI-
RECT UNSUBSIDIZED STAFFORD LOANS, AND FED-
ERAL DIRECT PLUS LOANS TO STUDENTS UNDER 
THIS PART.— 
‘‘(A) IN GENERAL.—Notwithstanding any 
provision of this part or part B, for any period 
of instruction beginning on or after July 1, 
2016— 
‘‘(i) a student shall not be eligible to 
receive a Federal Direct Stafford Loan 
under this part; and 
‘‘(ii) a student shall not be eligible to 
receive a Federal Direct Unsubsidized 
Stafford Loan or Federal Direct PLUS 
Loan under this part, except as provided in 
subparagraph (B). 
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‘‘(B) EXCEPTIONS.—Subparagraph (A)(ii) 
shall not be applicable with respect to the fol-
lowing: 
‘‘(i) 
EXISTING
STUDENT
BOR-
ROWERS.—A student who, as of July 1, 
2016, has an outstanding balance of prin-
cipal or interest owing on any loan made, 
insured, or guaranteed under part B or 
this part may continue to be eligible to 
borrow a loan under this part, except for 
a Federal Direct Stafford Loan, in accord-
ance with subparagraph (C) until June 30, 
2021. 
‘‘(ii) PARENT PLUS LOANS.—An ex-
cepted PLUS loan or excepted consolida-
tion loan (as such terms are defined in sec-
tion 493C(a)) under this part that is made 
to a parent on behalf of an undergraduate 
dependent student. 
‘‘(iii) FEDERAL
DIRECT
CONSOLIDA-
TION LOANS.—A Federal Direct Consolida-
tion Loan under this part. 
‘‘(C) MAXIMUM
ANNUAL
AMOUNTS
OF 
FEDERAL
DIRECT
UNSUBSIDIZED
STAFFORD 
LOANS.—The maximum annual amount of Fed-
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eral Direct Unsubsidized Stafford Loans a stu-
dent described in subparagraph (B)(i) may bor-
row in an academic year (as defined in section 
481(a)(2)) or its equivalent shall be the max-
imum annual amount for such student deter-
mined under section 428H, plus an amount 
equal to the amount of Federal Direct Stafford 
Loans the student would have received in the 
absence of subparagraph (A)(i).’’. 
SEC. 3. ESTABLISHMENT OF THE INCOME DEPENDENT 
EDUCATION ASSISTANCE LOAN PROGRAM 
AND THE IDEA LOAN REPAYMENT PROGRAM. 
Title IV of the Higher Education Act of 1965 (20 
U.S.C. 1070a et seq.) is amended by adding at the end 
the following new part: 
‘‘PART J—INCOME DEPENDENT EDUCATION 
ASSISTANCE LOANS 
‘‘Subpart 1—IDEA Loans 
‘‘SEC. 499A. PROGRAM AUTHORITY AND AGREEMENTS. 
‘‘(a) PROGRAM AUTHORITY.— 
‘‘(1) IN
GENERAL.—There are hereby made 
available, in accordance with the provisions of this 
part, such sums as may be necessary to make loans 
to all eligible students in attendance at participating 
institutions of higher education selected by the Sec-
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retary, to enable such students to pursue their 
courses of study at such institutions during the pe-
riod beginning July 1, 2016. Loans made under this 
part shall be made by participating institutions, or 
consortia thereof, that have agreements with the 
Secretary to originate loans, or by alternative origi-
nators designated by the Secretary to make loans for 
students in attendance at participating institutions. 
‘‘(2) DESIGNATION.—The program established 
under this subpart shall be referred to as the ‘In-
come Dependent Education Assistance Loan Pro-
gram’, or the ‘IDEA Loan Program’. 
‘‘(b) FUNDS
FOR
THE
ORIGINATION
OF
IDEA 
LOANS.—The Secretary shall provide funds for student 
loans under this part in the same manner as the Secretary 
provides funds for the origination of Federal Direct Stu-
dent Loans under part D in accordance with section 452. 
The requirements, rights, and limitations under section 
452 with respect to the Secretary and institutions for 
funds provided for loans under part D shall apply with 
respect to the Secretary and institutions for funds pro-
vided for loans under this part, except that funds under 
this part shall not be provided for parent loans. 
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‘‘(c) SELECTION OF INSTITUTIONS FOR PARTICIPA-
TION AND ORIGINATION, AND AGREEMENTS WITH INSTI-
TUTIONS.— 
‘‘(1) SELECTION OF INSTITUTIONS FOR PAR-
TICIPATION AND ORIGINATION.—The Secretary shall 
enter into agreements with institutions of higher 
education to participate in the IDEA Loan Program 
under this part and agreements with institutions of 
higher education, or consortia thereof, to originate 
loans in such program for academic years beginning 
on or after July 1, 2016. The provisions of section 
453 shall apply with respect to agreements under 
this section. The Secretary shall provide alternative 
origination services for loans under this part, as ap-
propriate, in a manner consistent with the provisions 
of sections 453 and 456 related to alternative origi-
nation services for loans under part D. 
‘‘(2) PARTICIPATION AND ORIGINATION AGREE-
MENTS
WITH
INSTITUTIONS.—An agreement with 
any institution of higher education for participation 
in the IDEA Loan Program under this part, and an 
agreement with any institution of higher education, 
or consortia thereof, to originate loans in such pro-
gram, shall have the same terms as the terms re-
quired under section 454 for agreements with an in-
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a return under section 6012(a)(1) of the Inter-
nal Revenue Code of 1986 shall be treated as 
zero. 
‘‘(B) FAILURE TO FILE.—In the case of an 
individual who makes an election under sub-
section (b) with respect to a loan made under 
this part in repayment status and fails to file 
a return under section 6012(a)(1), the Sec-
retary of the Treasury shall transmit to the 
Secretary of Education any such tax informa-
tion of the individual as may be necessary to 
determine whether such individual is in default 
under the terms of such loan. 
‘‘(5) SUBSEQUENT
TRANSMISSION
OF
EM-
PLOYER
INFORMATION
REPORTING.—As soon as 
practicable after receiving from an employer infor-
mation reporting with respect to withholding under 
subsection (b)(1) of an individual, the Secretary of 
the Treasury shall transmit to the Secretary of Edu-
cation such information as may be useful in 
verifying the information with respect to withholding 
transmitted under paragraph (1). 
‘‘(d) ADDITIONAL PROGRAM REQUIREMENTS.—The 
Secretary of the Treasury shall establish such other poli-
cies, procedures, and guidance as may be necessary to 
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