Title: FARMS Act
Policy area: Education

Summary:
Flexible Agricultural Repayments and Modifying Schedules Act or FARMS Act
This bill requires the Department of Education to provide the option for a restructured student loan repayment schedule to certain 			 agricultural producers, farmers, or ranchers.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 2684 Introduced in Senate (IS)]

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115th CONGRESS
  2d Session
                                S. 2684

To establish a Federal student loan restructured repayment schedule for 
           certain borrowers who are agricultural producers.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 17, 2018

 Mr. Udall (for himself and Mr. Inhofe) introduced the following bill; 
     which was read twice and referred to the Committee on Health, 
                     Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL


 
To establish a Federal student loan restructured repayment schedule for 
           certain borrowers who are agricultural producers.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Flexible Agricultural Repayments and 
Modifying Schedules Act'' or ``FARMS Act''.

SEC. 2. REPAYMENT FOR AGRICULTURAL PRODUCERS.

    (a) Amendment to the HEA.--Part D of title IV of the Higher 
Education Act of 1965 (20 U.S.C. 1087a et seq.) is amended by adding at 
the end the following:

``SEC. 460A. RESTRUCTURED REPAYMENT FOR AGRICULTURAL PRODUCERS.

    ``(a) Restructured Repayment.--
            ``(1) In general.--The Secretary, in consultation with the 
        Secretary of Agriculture, shall provide the option for a 
        restructured repayment schedule as described in paragraph (3) 
        to an eligible borrower.
            ``(2) Eligible borrower.--In this subsection, the term 
        `eligible borrower' means a borrower of a loan made under this 
        part who, at the time of application for entrance in the 
        restructured repayment schedule, is--
                    ``(A) an agricultural producer; and
                    ``(B)(i) a beginning farmer or rancher (as defined 
                under section 343(a) of the Consolidated Farm and Rural 
                Development Act (7 U.S.C. 1991(a)));
                    ``(ii) a socially disadvantaged farmer or rancher 
                (as defined in section 355(e) of the Consolidated Farm 
                and Rural Development Act (7 U.S.C. 2003(e))); or
                    ``(iii) a veteran farmer or rancher (as defined in 
                section 2501(e) of the Food, Agriculture, Conservation, 
                and Trade Act of 1990 (7 U.S.C. 2279(e)).
            ``(3) Restructuring options.--After entering into an 
        agreement with the Secretary to pay according to one of the 
        schedules described in subparagraph (B), and submitting any 
        supporting documentation that the Secretary may reasonably 
        require, an eligible borrower--
                    ``(A) shall not be required to make payments for a 
                loan under this part on a monthly basis; and
                    ``(B) may make those payments on a quarterly, 
                biannual, or annual basis.
            ``(4) Fees, costs, and interest.--In carrying out 
        restructured repayment schedules under this subsection, the 
        Secretary--
                    ``(A) shall ensure that such schedules do not 
                exceed the cost to the Federal Government, as 
                determined on the basis of the present value of future 
                payments by such borrowers, of loans made using 
                repayment schedules that require monthly payments;
                    ``(B) shall not charge a fee to eligible borrowers 
                for participation in the restructured repayment 
                schedule; and
                    ``(C) shall not charge the eligible borrower a 
                higher interest rate than the eligible borrower would 
                otherwise be charged if the borrower was not on a 
                restructured repayment schedule.''.
    (b) Regulations.--Not more than 180 days after the date of 
enactment of this Act, the Secretary of Education, in consultation with 
the Secretary of Agriculture, shall promulgate final regulations to 
carry out this section.
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