To establish a student loan forgiveness program for members of the Sudanese Diaspora to enable them to return to southern Sudan and contribute to the reconstruction effort of southern Sudan.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Sudanese Diaspora Loan Forgiveness 
Act''.

SEC. 2. FINDINGS.

    The Congress finds the following:
            (1) The 21-year civil war between the North and the South 
        in Sudan caused many Sudanese people to flee their homeland and 
        seek refuge in other countries, including the United States.
            (2) The United States has assisted many Sudanese citizens 
        fleeing the violence in their homeland, including the Lost Boys 
        in 2001, a group of approximately 3,800 children that were 
        separated from their parents during the civil war and who fled 
        on foot to Ethiopia, walking more than 1,000 kilometers on the 
        four-month journey, and who then fled again to Kenya to avoid 
        forcible repatriation to Sudan.
            (3) Approximately 5,640 Sudanese citizens have been granted 
        refugee status in the United States in Fiscal Years 2003 and 
        2004 alone.
            (4) The National Congress Party Government and the Sudanese 
        People's Liberation Movement (SPLM) signed the Comprehensive 
        Peace Agreement in Nairobi, Kenya, on January 9, 2005, formally 
        ending the conflict between the North and the South and 
        creating a new Government of Sudan that consists of a coalition 
        of opposition groups and the former regime.
            (5) With the signing of the Comprehensive Peace Agreement 
        in Nairobi, Kenya, on January 9, 2005, the Government of 
        Southern Sudan's plans for reconstruction in Southern Sudan are 
        moving forward.
            (6) Sudanese refugees in the United States have acquired a 
        reputation for being an extremely resilient group, and a number 
        of them have, after adjusting to a new life in the United 
        States, chosen to pursue a higher education, and now have 
        professional skills to contribute to the rebuilding of their 
        homeland.

SEC. 3. ESTABLISHMENT OF PROGRAM.

    (a) Stafford Loans.--Part B of title IV of the Higher Education Act 
of 1965 is amended by inserting after section 428K (20 U.S.C. 1078-11) 
the following new section:

``SEC. 428L. LOAN FORGIVENESS FOR MEMBERS OF THE SUDANESE DIASPORA.

    ``(a) Statement of Purpose.--It is the purpose of this section to 
encourage members of the Sudanese Diaspora in the United States to 
return to Southern Sudan for purposes of contributing to the 
reconstruction efforts there.
    ``(b) Program Authorized.--From the amount appropriated under 
subsection (f) for any fiscal year, the Secretary of Education shall, 
in accordance with subsection (c) and in consultation with the 
Secretary of State, carry out a program, through the holder of the 
loan, of assuming the obligation to repay a qualified loan amount for a 
loan made under section 428 or 428H for any borrower who--
            ``(1) as of the date of the enactment of this section, is a 
        Sudanese citizen who--
                    ``(A) has been granted refugee or asylum status in 
                the United States;
                    ``(B) has been granted lawful permanent resident 
                status in the United States; or
                    ``(C) is a naturalized United States citizen;
            ``(2) commits to returning to Southern Sudan for a period 
        of five or more years for purposes of contributing professional 
        skills to repairing the damage to the infrastructure of 
        Southern Sudan caused by the Sudanese civil war, as approved by 
        the Secretary for purposes of this section; and
            ``(3) is not in default on a loan for which the borrower 
        seeks forgiveness.
    ``(c) Qualified Loans Amount.--
            ``(1) In general.--Of the aggregate of the loan obligation 
        on a loan made under section 428 or 428H that is outstanding to 
        an individual who meets the requirements of subsection (b), the 
        Secretary may, from funds appropriated under subsection (f), 
        repay not more than--
                    ``(A) $3,000 after the first calendar year of 
                service described in subsection (b)(2);
                    ``(B) $4,000 after the second such year of service;
                    ``(C) $5,000 after the third such year of service;
                    ``(D) $6,000 after the fourth such year of service; 
                and
                    ``(E) $7,000 after the fifth such year of service.
            ``(2) Award basis.--The Secretary shall make payments under 
        this subsection on a first-come first-served basis, subject to 
        the availability of appropriations.
    ``(d) Additional Provisions.--
            ``(1) Treatment of consolidation loans.--A loan amount for 
        a loan made under section 428C may be a qualified loan amount 
        for the purposes of this subsection only to the extent that 
        such loan amount was used to repay a Federal Direct Stafford 
        Loan, a Federal Direct Unsubsidized Stafford Loan, or a loan 
        made under section 428 or 428H for a borrower who meets the 
        requirements of subsection (b), as determined in accordance 
        with regulations prescribed by the Secretary.
            ``(2) Double benefits prohibited.--No borrower may receive 
        a reduction of loan obligations under both this section and 
        section 460A.
    ``(e) Regulations.--The Secretary shall, in consultation with the 
Secretary of State, issue such regulations as may be necessary to carry 
out the provisions of this section.
    ``(f) Construction.--Nothing in this section shall be construed to 
authorize any refunding of any repayment of a loan.
    ``(g) Authorization of Appropriations.--For fiscal year 2006 and 
for each of the 5 succeeding fiscal years, there are authorized to be 
appropriated such sums as may be necessary to repay loans in the 
amounts specified in subsection (c)(1).''.
    (b) Direct Loans.--Part D of title IV is amended by inserting after 
section 460 (20 U.S.C. 1087j) the following new section:

``SEC. 460A. LOAN FORGIVENESS FOR MEMBERS OF THE SUDANESE DIASPORA.

    ``(a) Statement of Purpose.--It is the purpose of this section to 
encourage members of the Sudanese Diaspora in the United States to 
return to Southern Sudan for purposes of contributing to the 
reconstruction efforts there.
    ``(b) Program Authorized.--From the amount appropriated under 
subsection (f) for any fiscal year, the Secretary of Education shall, 
in accordance with subsection (c) and in consultation with the 
Secretary of State, carry out a program of canceling the obligation to 
repay a qualified loan amount in accordance with subsection (c) for 
Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford 
Loans made under this part for any borrower who--
            ``(1) as of the date of the enactment of this section, is a 
        Sudanese citizen who--
                    ``(A) has been granted refugee or asylum status in 
                the United States;
                    ``(B) has been granted lawful permanent resident 
                status in the United States; or
                    ``(C) is a naturalized United States citizen;
            ``(2) commits to returning to Southern Sudan for a period 
        of five or more years for purposes of contributing professional 
        skills to repairing the damage to the infrastructure of 
        Southern Sudan caused by the Sudanese civil war, as approved by 
        the Secretary for purposes of this section; and
            ``(3) is not in default on a loan for which the borrower 
        seeks forgiveness.
    ``(c) Qualified Loans Amount.--
            ``(1) In general.--Of the aggregate of the loan obligation 
        on a Federal Direct Stafford Loans and Federal Direct 
        Unsubsidized Stafford Loan that is outstanding to an individual 
        who meets the requirements of subsection (b), the Secretary 
        may, from funds appropriated under subsection (f), repay not 
        more than--
                    ``(A) $3,000 after the first calendar year of 
                service described in subsection (b)(2);
                    ``(B) $4,000 after the second such year of service;
                    ``(C) $5,000 after the third such year of service;
                    ``(D) $6,000 after the fourth such year of service; 
                and
                    ``(E) $7,000 after the fifth such year of service.
            ``(2) Award basis.--The Secretary shall make payments under 
        this subsection on a first-come first-served basis, subject to 
        the availability of appropriations.
    ``(d) Additional Provisions.--
            ``(1) Treatment of consolidation loans.--A loan amount for 
        Federal Direct Consolidation Loan may be a qualified loan 
        amount for the purposes of this subsection only to the extent 
        that such loan amount was used to repay a Federal Direct 
        Stafford Loan, a Federal Direct Unsubsidized Stafford Loan, or 
        a loan made under section 428 or 428H for a borrower who meets 
        the requirements of subsection (b), as determined in accordance 
        with regulations prescribed by the Secretary.
            ``(2) Double benefits prohibited.--No borrower may receive 
        a reduction of loan obligations under both this section and 
        section 428L.
    ``(e) Regulations.--The Secretary shall, in consultation with the 
Secretary of State, issue such regulations as may be necessary to carry 
out the provisions of this section.
    ``(f) Construction.--Nothing in this section shall be construed to 
authorize any refunding of any repayment of a loan.
    ``(g) Authorization of Appropriations.--For fiscal year 2006 and 
for each of the 5 succeeding fiscal years, there are authorized to be 
appropriated such sums as may be necessary to repay loans in the 
amounts specified in subsection (c)(1).''.

Summary: Sudanese Diaspora Loan Forgiveness Act - Amends the Higher Education Act of 1965 to direct the Secretary of Education to establish education loan forgiveness programs for Sudanese citizens who have become naturalized U.S. citizens or who are lawfully residing in the United States if they commit to returning to Southern Sudan for five or more years to help repair damage to infrastructure caused by the Sudanese civil war.