II 117th CONGRESS 2d Session S. 5209 IN THE SENATE OF THE UNITED STATES December 7, 2022 Mrs. Gillibrand (for herself, Mr. Booker , Ms. Duckworth , Ms. Klobuchar , Mr. Merkley , and Mr. Padilla ) introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions A BILL To establish a grant program for States to fund community-based nonprofit student loan consumer assistance programs, and for other purposes.

1. Short title This Act may be cited as the Student Loan Literacy Act of 2022 . 2. Student loan consumer information (a) In general From amounts made available to carry out this section, the Secretary of Education shall award grants to States to enable such States to establish, expand, or provide support for community-based nonprofit student loan consumer assistance programs. (b) Application Each State desiring to receive a grant under this section shall submit to the Secretary of Education an application at such time and in such manner as the Secretary may require. Such application shall identify the community-based nonprofit student loan consumer assistance organization or organizations that will participate in the program funded under this section, and shall include a description of the program activities the State and such organization or organizations will carry out. (c) Use of funds With funds provided by a State under this section, a community-based nonprofit student loan consumer assistance program— (1) shall provide assistance to borrowers of Federal student loans, including— (A) receiving and responding to borrower inquiries and complaints concerning Federal student loans; (B) assisting borrowers with the filing of complaints and appeals with relevant Federal and State entities and Federal student loan lenders, holders, servicers, and collectors, as appropriate; (C) collecting, tracking, and quantifying problems and inquiries encountered by borrowers of Federal student loans; (D) educating borrowers about their rights and responsibilities with respect to Federal student loans; and (E) assisting borrowers with Federal student loan needs by providing information, referral, and assistance, including assistance resolving problems regarding Federal student loans; (2) shall consult with relevant Federal and State entities to assist borrowers with reporting, processing, and resolving issues and complaints related to Federal student loans; (3) shall collect data required to comply with the reporting requirements under subsection (d) ; and (4) may file complaints and appeals on behalf of borrowers of Federal student loans in accordance with any regulations established by the Secretary of Education with respect to this paragraph. (d) Data collection and reporting (1) Annual report to States Each community-based nonprofit student loan consumer assistance program receiving funds under this section shall provide to the State providing such funds an annual report on the activities carried out by such program, which shall include— (A) the number of borrowers served by the program; (B) demographic data on the borrowers served by the program, including age, race, ethnicity, gender, and student or employment status, and if available, the income of such borrowers; (C) a list and description of the types of issues and complaints presented by borrowers served by the program, including identification of the most common problems encountered by such borrowers with respect to Federal student loans; (D) a description of the types of services provided to borrowers by the program; and (E) data related to the issues and complaints presented by borrowers served by the program, including— (i) the number of borrower issues or complaints the program referred to, or facilitated borrower contact with, a Federal or State entity or Federal student loan lender, holder, servicer, or collector; (ii) the number of such issues or complaints the program filed, on behalf of a borrower, with a Federal or State entity or Federal student loan lender, holder, servicer, or collector; and (iii) data on the outcomes of such issues and complaints, including the number of such issues or complaints that have been resolved, and whether a borrower considers an issue or complaint to be resolved satisfactorily. (2) State reports Not later than 30 days after receipt of an annual report described in paragraph (1) , a State receiving funds under this section for one or more community-based nonprofit student loan consumer assistance programs shall provide to the Secretary of Education a summary of the annual reports received from all such programs. (3) Report by the Secretary Beginning 18 months after the date of enactment of this section, the Secretary of Education shall provide an annual report on the grant program carried out under this section to the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Education and Labor of the House of Representatives, the entity in each State that is responsible for regulation of student loans, and any other Federal entity with responsibilities related to Federal student loans. Such report shall include areas of Federal student loan law, regulation, and administration that require increased enforcement or oversight, as identified by the Secretary using data reported by States in accordance with paragraph (2) . (e) Outreach (1) National website Not later than 24 months after the date of enactment of this section, the Secretary of Education shall establish, maintain, and make readily available to the public through the Department of Education’s website a list of the community-based nonprofit student loan consumer assistance programs receiving funds under this section to assist borrowers with locating and contacting such a program in their community. (2) Federal student loan liaisons The Secretary of Education shall take such steps as may be necessary to ensure that each holder, servicer, and collector of Federal student loans provides at least one individual representative of the holder, servicer, or collector, referred to in this paragraph as a Federal student loan liaison , who will— (A) coordinate with community-based nonprofit student loan consumer assistance programs receiving funds under this section with respect to inquiries, issues, and complaints from borrowers, including the resolution of such inquiries, issues, and complaints; and (B) provide community-based nonprofit student loan consumer assistance programs receiving funds under this section with a direct method of communication to the individual or department of the holder, servicer, or collector who is responsible for handling escalated issues or complaints. (f) Definitions In this section: (1) Borrower The term borrower means a borrower or potential borrower of a Federal student loan, including a parent who is a borrower of a loan made on behalf of a dependent student. (2) Federal student loan The term Federal student loan means any Federal student loan made under title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1070 et seq. ) or any other Federal law to cover the cost of attendance of a student at an institution of higher education (as defined in section 102 of such Act of 1965 ( 20 U.S.C. 1002 )). (g) Funding (1) Initial funding There is hereby appropriated to the Secretary of Education, out of any funds in the Treasury not otherwise appropriated, $80,000,000 for the first fiscal year beginning after the date of enactment of this section, to remain available until expended. (2) Authorization for subsequent years In addition to amounts appropriated under paragraph (1) , there are authorized to be appropriated to the Secretary of Education, for each fiscal year following the fiscal year described in paragraph (1) , such sums as may be necessary to carry out this section.