Source: https://www.govinfo.gov/content/pkg/USCODE-2017-title20/html/USCODE-2017-title20-chap28-subchapIV-partB-sec1085.htm
Timestamp: 2019-09-23 15:25:21
Document Index: 779699539

Matched Legal Cases: ['art 1', '§435', '§402', '§10', '§2003', '§3004', '§301', '§2', '§416', '§4046', '§2', '§1', '§357', '§101', '§602', '§102', '§429', '§901', '§1', '§308', '§8011', '§3', '§304', '§4', '§436', '§402', '§2101', '§1001', '§4047', '§418', '§438', '§435', '§204', '§116', '§127', '§1', '§413', '§1391', '§16017', '§402', '§436', '§304', '§304', '§4', '§1', '§308', '§102', '§101', '§602', '§2', '§427', '§2007', '§10', '§436', '§436', '§3', '§1', '§308', '§429', '§2', '§3004', '§427']

Part B - Federal Family Education Loan Program
Sec. 1085 - Definitions for student loan insurance program
(A) An institution whose cohort default rate is equal to or greater than the threshold percentage specified in subparagraph (B) for each of the three most recent fiscal years for which data are available shall not be eligible to participate in a program under this part for the fiscal year for which the determination is made and for the two succeeding fiscal years, unless, within 30 days of receiving notification from the Secretary of the loss of eligibility under this paragraph, the institution appeals the loss of its eligibility to the Secretary. The Secretary shall issue a decision on any such appeal within 45 days after its submission. Such decision may permit the institution to continue to participate in a program under this part if—
(B) For purposes of determinations under subparagraph (A), the threshold percentage is—
(C) Until July 1, 1999, this paragraph shall not apply to any institution that is—
(D) Notwithstanding the first sentence of subparagraph (A), the Secretary shall restore the eligibility to participate in a program under subpart 1 of part A, part B, or part E of an institution that did not appeal its loss of eligibility within 30 days of receiving notification if the Secretary determines, on a case-by-case basis, that the institution's failure to appeal was substantially justified under the circumstances, and that—
(i) For a 12-month period that ended during the 6 months immediately preceding the fiscal year for which the cohort of borrowers used to calculate the institution's cohort default rate is determined, at least two-thirds of the students enrolled on at least a half-time basis at the institution—
(ii) In the case of an institution of higher education that offers an associate, baccalaureate, graduate or professional degree, 70 percent or more of the institution's regular students who were initially enrolled on a full-time basis and were scheduled to complete their programs during the same 12-month period described in clause (i)—
(iii)(I) In the case of an institution of higher education that does not award a degree described in clause (ii), had a placement rate of 44 percent or more with respect to the institution's former regular students who—
(III) The placement rate is calculated by determining the percentage of all those former regular students who—
Notwithstanding the expiration of the exception in paragraph (2)(C), the Secretary may, in the Secretary's discretion, continue to treat an institution described in subparagraph (A) of this paragraph as an eligible institution for each of the 1-year periods beginning on July 1 of 1999 through 2003, only if the institution submits by the beginning of such period evidence satisfactory to the Secretary that—
Except as provided in paragraphs (2) through (6), the term "eligible lender" means—
(A) a National or State chartered bank, a mutual savings bank, a savings and loan association, a stock savings bank, or a credit union which—
(iii) shall not—
The term "eligible lender" does not include any lender that the Secretary determines, after notice and opportunity for a hearing, has—
(G) provided payments or other benefits to a student at an institution of higher education to act as the lender's representative to secure applications under this subchapter from individual prospective borrowers, unless such student—
(B) the institution or organization, and the eligible lender, with respect to its duties as trustee, each comply on and after January 1, 2007, with the requirements of paragraph (2), except that—
(ii) in the case of an organization affiliated with an institution—
(A) such borrower is working full-time and is earning an amount which does not exceed the greater of—
Subject to the limitations in paragraph (2) and the prohibition in paragraph (3), the term "eligible not-for-profit holder" means an eligible lender under subsection (d) (except for an eligible lender described in subsection (d)(1)(E)) that requests a special allowance payment under section 1087–1(b)(2)(I)(vi)(II) of this title or a payment under section 1141 of this title and that is—
(Pub. L. 89–329, title IV, §435, as added Pub. L. 99–498, title IV, §402(a), Oct. 17, 1986, 100 Stat. 1408; amended Pub. L. 100–50, §10(aa), June 3, 1987, 101 Stat. 347; Pub. L. 101–239, title II, §§2003(a)(2), 2007(a), Dec. 19, 1989, 103 Stat. 2113, 2120; Pub. L. 101–508, title III, §3004(a), Nov. 5, 1990, 104 Stat. 1388–26; Pub. L. 101–542, title III, §301, Nov. 8, 1990, 104 Stat. 2387; Pub. L. 102–26, §2(a)(1), Apr. 9, 1991, 105 Stat. 123; Pub. L. 102–325, title IV, §§416(e)(2), 427(a), (b)(1), (c)–(g), July 23, 1992, 106 Stat. 519, 549, 550; Pub. L. 103–66, title IV, §§4046(b)(1), 4106(b), Aug. 10, 1993, 107 Stat. 362, 368; Pub. L. 103–208, §2(c)(55)–(62), Dec. 20, 1993, 107 Stat. 2468, 2469; Pub. L. 103–235, §1, Apr. 28, 1994, 108 Stat. 381; Pub. L. 103–382, title III, §357, Oct. 20, 1994, 108 Stat. 3967; Pub. L. 104–208, div. A, title I, §101(e) [title VI, §602(b)(1)(A)], Sept. 30, 1996, 110 Stat. 3009–233, 3009–283; Pub. L. 105–244, title I, §102(b)(2), title IV, §429(a)–(c)(1), (d), title IX, §901(d), Oct. 7, 1998, 112 Stat. 1622, 1704–1709, 1828; Pub. L. 106–554, §1(a)(1) [title III, §§308(a), 312], Dec. 21, 2000, 114 Stat. 2763, 2763A–45, 2763A–46; Pub. L. 109–171, title VIII, §8011, Feb. 8, 2006, 120 Stat. 165; Pub. L. 109–292, §3(a), Sept. 30, 2006, 120 Stat. 1340; Pub. L. 110–84, title III, §304, Sept. 27, 2007, 121 Stat. 797; Pub. L. 110–109, §4, Oct. 31, 2007, 121 Stat. 1028; Pub. L. 110–315, title IV, §§436(a)(1), (b)–(e)(1), 438(a)(3), Aug. 14, 2008, 122 Stat. 3253–3256, 3258; Pub. L. 111–39, title IV, §402(b)(2), (f)(10), July 1, 2009, 123 Stat. 1940, 1944; Pub. L. 111–152, title II, §2101(b)(3), Mar. 30, 2010, 124 Stat. 1073.)
The Navajo Community College Act, referred to in subsec. (a)(2)(C)(iii), is Pub. L. 92–189, Dec. 15, 1971, 85 Stat. 646, which was classified to section 640a et seq. of Title 25, Indians, and was omitted from the Code as being of special and not general application.
The Employee Retirement Income Security Act, referred to in subsec. (d)(1)(B), probably means the Employee Retirement Income Security Act of 1974, Pub. L. 93–406, Sept. 2, 1974, 88 Stat. 829, which is classified principally to chapter 18 (§1001 et seq.) of Title 29, Labor. For complete classification of this Act to the Code, see Short Title note set out under section 1001 of Title 29 and Tables.
Section 1078–1 of this title, referred to in subsecs. (a)(4)(B) and (m)(1)(A), (2)(D), was repealed by Pub. L. 103–66, title IV, §4047(b)–(d), Aug. 10, 1993, 107 Stat. 364, eff. July 1, 1994, except with respect to loans provided under that section as it existed prior to Aug. 10, 1993. Subsequently, a new section 1078–1, relating to voluntary flexible agreements with guaranty agencies, was enacted by Pub. L. 105–244, title IV, §418, Oct. 7, 1998, 112 Stat. 1691.
Section 1078(h) of this title, referred to in subsec. (d)(1)(H), was repealed by Pub. L. 110–315, title IV, §438(a)(2)(B), Aug. 14, 2008, 122 Stat. 3258.
A prior section 1085, Pub. L. 89–329, title IV, §435, Nov. 8, 1965, 79 Stat. 1247; Pub. L. 89–698, title II, §204, Oct. 29, 1966, 80 Stat. 1072; Pub. L. 90–575, title I, §§116(a), 118(a), Oct. 16, 1968, 82 Stat. 1023, 1026; Pub. L. 94–482, title I, §127(a), Oct. 12, 1976, 90 Stat. 2130; Pub. L. 95–43, §1(a)(35), (36), June 15, 1977, 91 Stat. 216; Pub. L. 96–374, title IV, §§413(e), 421(e)(2), title XIII, §1391(a)(1), Oct. 3, 1980, 94 Stat. 1418, 1432, 1503; Pub. L. 99–272, title XVI, §§16017(b)(2), 16020, Apr. 7, 1986, 100 Stat. 347, 349, defined terms used in this part, prior to the general revision of this part by Pub. L. 99–498.
2010—Subsec. (a)(5)(A)(i)(I). Pub. L. 111–152 substituted "one-half the Federal Pell Grant amount, determined under section 1070a(b)(2)(A) of this title, for which a student would be eligible" for "one-half the maximum Federal Pell Grant award for which a student would be eligible".
2009—Subsec. (a)(2)(C)(ii). Pub. L. 111–39, §402(f)(10)(A), substituted "a tribally controlled college or university, as defined in section 1801(a)(4) of title 25" for "a tribally controlled community college within the meaning of section 1801(a)(4) of title 25".
2008—Subsec. (a)(2)(A)(ii). Pub. L. 110–315, §436(a)(1)(A)(i), substituted "paragraph (5)" for "paragraph (4)".
2007—Subsec. (o)(1)(A)(ii). Pub. L. 110–84, §304(1)(A), substituted "150 percent of the poverty line applicable to the borrower's family size" for "100 percent of the poverty line for a family of 2" and inserted "or" after semicolon at end.
Subsec. (o)(1)(B), (C). Pub. L. 110–84, §304(1)(B), (C), redesignated subpar. (C) as (B) and struck out former subpar. (B) which read as follows: "such borrower is working full-time and has a Federal educational debt burden that equals or exceeds 20 percent of such borrower's adjusted gross income, and the difference between such borrower's adjusted gross income minus such burden is less than 220 percent of the greater of—
Subsec. (p)(2)(E). Pub. L. 110–109, §4(2)(F), reenacted heading without change and amended text of subpar. (E) generally. Prior to amendment, text read as follows: "For purposes of subparagraphs (B), (C), and (D) of this paragraph, a State, political subdivision, authority, agency, instrumentality, or other entity described in paragraph (1)(A), (B), or (C) shall not—
2006—Subsec. (d)(2). Pub. L. 109–171 amended heading and text of par. (2) generally. Prior to amendment, text read as follows: "To be an eligible lender under this part, an eligible institution—
2000—Subsec. (a)(2)(D). Pub. L. 106–554, §1(a)(1) [title III, §308(a)], added subpar. (D).
1998—Subsec. (a)(1). Pub. L. 105–244, §102(b)(2), substituted "section 1002" for "section 1088".
1996—Subsec. (d)(1)(F). Pub. L. 104–208, §101(e) [title VI, §602(b)(1)(A)(i)], inserted "or the Holding Company of the Student Loan Marketing Association, including any subsidiary of the Holding Company, created pursuant to section 1087–3 of this title," after "Student Loan Marketing Association".
1994—Subsec. (a)(2)(C). Pub. L. 103–235 substituted "July 1, 1998" for "July 1, 1994".
1993—Subsec. (a)(3). Pub. L. 103–208, §2(c)(55), added par. (3).
1992—Subsec. (a)(1). Pub. L. 102–325, §427(a)(1), added par. (1) and struck out former par. (1) which read as follows: "Subject to subsection (n) of this section, the term 'eligible institution' means—
1991—Subsec. (c)(1). Pub. L. 102–26 substituted "or who are beyond the age of compulsory school attendance in the State in which the institution is located" for "and who have the ability to benefit (as determined by the institution under section 1088(d) of this title) from the training offered by such institution;".
1990—Subsec. (a)(3). Pub. L. 101–508 added par. (3).
1989—Subsec. (a)(1). Pub. L. 101–239, §2007(a)(1), substituted "Subject to subsection (n) of this section, the term" for "The term".
1987—Subsec. (b)(3). Pub. L. 100–50, §10(aa)(1), inserted ", or in the case of a hospital or health care facility, which provides training of not less than one year for graduates of accredited health professions programs, leading to a degree or certificate upon completion of such training" before semicolon at end.
Pub. L. 110–315, title IV, §436(a)(2), Aug. 14, 2008, 122 Stat. 3254, provided that: "The amendment made by paragraph (1)(F) [amending this section] shall take effect for fiscal years beginning on or after October 1, 2011."
Pub. L. 110–315, title IV, §436(e)(2), Aug. 14, 2008, 122 Stat. 3257, provided that:
"(A) Effective date.—The amendments made by paragraph (1) [amending this section] shall take effect for purposes of calculating cohort default rates for fiscal year 2009 and succeeding fiscal years.
"(B) Transition.—Notwithstanding subparagraph (A), the method of calculating cohort default rates under section 435(m) of the Higher Education Act of 1965 [20 U.S.C. 1085(m)] as in effect on the day before the date of enactment of this Act [Aug. 14, 2008] shall continue in effect, and the rates so calculated shall be the basis for any sanctions imposed on institutions of higher education because of their cohort default rates, until three consecutive years of cohort default rates calculated in accordance with the amendments made by paragraph (1) are available."
Pub. L. 109–292, §3(b), Sept. 30, 2006, 120 Stat. 1341, provided that: "The amendment made by subsection (a) [amending this section] shall not apply with respect to any loan under part B of title IV of the Higher Education Act of 1965 (20 U.S.C. 1071 et seq.) disbursed before January 1, 2007."
Pub. L. 106–554, §1(a)(1) [title III, §308(b)], Dec. 21, 2000, 114 Stat. 2763, 2763A–45, provided that: "The amendment made by subsection (a) of this section [amending this section] shall be effective for cohort default rate calculations for fiscal years 1997 and 1998."
Pub. L. 105–244, title IV, §429(c)(2), Oct. 7, 1998, 112 Stat. 1708, provided that: "The amendment made by paragraph (1) [amending this section] shall apply with respect to loans for which the first day of delinquency occurs on or after the date of enactment of this Act [Oct. 7, 1998]."
Pub. L. 102–26, §2(d)(1), Apr. 9, 1991, 105 Stat. 124, provided that: "The amendments made by this section [amending this section and sections 1078–1, 1088, 1091, 1094, and 1141 of this title] shall apply to any grant, loan, or work assistance to cover the cost of instruction for periods of enrollment beginning on or after July 1, 1991."
Pub. L. 101–508, title III, §3004(d), Nov. 5, 1990, 104 Stat. 1388–27, provided that: "The amendments made by this section [amending this section, section 1078 of this title, and provisions set out as a note under section 1078–1 of this title] shall be effective July 1, 1991, except that the amendment made by subsection (b) [amending section 1078 of this title] shall be effective upon enactment."
Pub. L. 102–325, title IV, §427(b)(2), July 23, 1992, 106 Stat. 549, provided that: "With respect to reference in any other provision of law to the definition of institution of higher education contained in section 435(b) of the Act [former 20 U.S.C. 1085(b)], such provision shall be deemed to refer to section 481(a) of the Act [former 20 U.S.C. 1088(a)]."