An Act to extend for 2 years certain programs providing assistance to students at institutions of higher education, to modify such programs, and to provide for planning, evaluation, and adequate lead-time in such programs
PL 90-460 (H.R.16729), enacted 08/03/1968

634 
PUBLIC LAW 90-459-AUG. 3. 1968 
[82 STAT. 
Effective date. 
ity of this Act, shall not, by reason thereof, be personally liable in 
damages. 
SEC. 5. This Act shall take effect on the first day of the first month 
which begins on or after the thirtieth day after the date of its 
enactment. 
Approved August 3, 1968. 
August 3, 1968 
[H. R. 9606] 
Public Law 90-459 
AN ACT 
To exempt from taxation certain property of the National Society of the Colonial 
Dames of America in the District of Columbia. 
D.C. 
National Society 
of the Colonial 
Dames of America. 
Effective date. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled^ That Public Law 
299, Eighty-first Congress, first session, approved September 7, 1949 
(63 Stat. 694, ch. 564) appearing in the District of Columbia Code, 
1961 edition, as section 47-801a-2, be and the same is hereby amended 
by adding a new sentence at the end thereof as follows: "There shall 
also be exempt from taxation upon the same terms and conditions the 
adjoining property owned by the National Society of the Colonial 
Dames of America, now designated on the records of the Assessor of 
the District of Columbia as Lots 813 and 814 in Square 1285, together 
with any improvements which may hereafter be erected thereon by said 
National Society of the Colonial Dames of America." 
SEC. 2. This amendment shall apply with respect to taxable years 
beginning after June 30,1968. 
Approved August 3, 1968. 
Augusta,1968 
[H.R. 16729] 
Public Law 90-460 
. AN ACT 
To extend for two years certain programs providing assistance to students at 
institutions of higher education, to modify such programs, and to provide for 
planning, evaluation, and adequate leadtime in such programs. 
Higher educa-
tion. 
Student assist-
ance programs, 
extension. 
79 Stat. 1237. 
20 use 1074. 
20 u s e 1078. 
79 Stat. 1038. 
20 use 984. 
Be it enacted hy tfie Senate and House of Representatives 
of the 
United States of America in Congress assembled, 
EXTENSION OF STUDENT LOAN INSURANCE PROGRAMS 
SECTION 1. (a) (1) Section 424(a) of the Higher Education Act of 
1965 is amended (A) in the first sentence by striking out "fiscal year 
ending June 30,1968" and inserting in lieu thereof "period thereafter 
ending October 31, 1968", and (B) in the second sentence by striking 
out "June 30, 1972" and inserting "October 31, 1968". 
(2) Section 428(a) of such Act is amended by striking out "June 30, 
1968" and all that follows down through the period and inserting in 
lieu thereof "October 31,1968." 
(b)(1) Section 5(a) of the National Vocational Student Loan 
Insurance Act of 1965 is amended (A) in the first sentence by,strik-
ing out "and in each of the two succeeding fiscal years" and inserting 
in lieu thereof "in the fiscal year ending June 30, 1967, and in the 
l>eriod thereafter ending October 31, 1968", and (B) in the second 
sentence by striking out "June 30, 1972" and inserting in lieu thereof 
"October 31, 1968". 
82 STAT.] 
P U B U C LAW 90-460-AUG. 3, 1968 
635 
79 Stat. 1041. 
20 u s e 988. 
(2) Section 9(a) (4) of such Act is amended by striking out "June 
30, 1968" and all that follows down through the period and inserting 
in lieu thereof "October 31, 1968." 
(3) Section 10(b) of such Act is amended by adding at the end 
20 use 939. 
thereof the following new sentence: "No loan may be made under this 
section after October 31, 1968." 
INCREASE 
OF 
M A X I M U M 
INTEREST 
RATE 
UNDER 
STUDENT 
LOAN 
INSURANCE 
P R O G R A M S ; 
ADMINISTRATIVE 
COSTS 
79 Stat. 1240. 
20 u s e 1077. 
20 u s e 1078. 
SEC. 2. (a) (1) Section 42r(b) of the Higher Education Act of 1965 
is amended by striking out "6 per centum" and all that follow^s and 
inserting in lieu thereof "7 per centum per annum on the unpaid princi-
pal balance of the loan." 
(2) Section 428(b) (1) (E) of the Higher Education Act of 1965 is 
amended by striking out "6 per centum" and inserting in lieu thereof 
"7 per centum". 
(b) (1) Paragraph (2) of section 428(a) of the Higher Education 
Act of 1965 is amended by inserting " (A)" after " (2)" and by adding 
P°«'. P- 1022 
at the end of that subparagraph the following new subparagraph: 
"(B) When, due to State laws which do nor permit an interest rate 
of 7 per centum per annum, and when the Commissioner determines 
that such statutory limitations threaten to impede the carrying out of 
the purposes of this part, he may authorize an administrative cost 
allowance, not to exceed 1 per centum per annum of the unpaid princi-
pal balance, for the term of any loan insured by the Commissioner 
under this part or under a State or private nonprofit student loan 
insurance program covered by an agreement under subnotion (b). 
Such an administrative cost allowance may be paid on loans made dur-
ing the period beginning on the date of enactment of this subparagraph 
and ending on October 31, 1968." 
(2) (A) Section 428(a)(1) of such Act is amended by inserting 
after the first sentence the following new sentence: "In addition, the 
Commissioner shall pay an administrative cost allowance in the amount 
established by paragraph (2)(B) of this subsection with respect to 
loans to any such student but without regard to the student's adjusted 
family income." 
(B) Section 428(a)(2)(A) (as so designated by this section) is 
amended by inserting after the first sentence the following: "For pur-
poses of the preceding sentence, the term 'interest' includes any admin-
istrative cost allowance paid pursuant to subparagraph (B)." 
(C) The second sentence of section 428(a) (2) (A) of such Act is 
amended by inserting "and the administrative cost allowance payable 
under this subsection" after "determined". 
(D) Section 428(a) (3) of such Act is amended by inserting "or of 
administrative cost allowances" after "interest". 
(3) Section 421(b) (2) of such Act is amended by inserting "and 
79 stat. 1236 
administrative cost allowances" after "interest". 
(c)(1) Section 8(b) of the National Vocational Student T^oan 22us^c98°7° 
Insurance Act of 1965 is amended by striking out "6 per centum" and 
all that follows and inserting in lieu thereof "7 per centum per annum 
on the unpaid principal balance of the loan." 
(2) Section 9(b) (1) (E) of the National Vocational Student Loan 
Insurance Act of 1965 is amended by striking out "6 per centum" and 
^° ^^^ '^^^• 
inserting in lieu thereof "7 per centum". 
(d) (1) Paragraph (2) of section 9(a) of the National Vocational 
Student Loan Insurance Act of 1965 is amended by inserting " ( A ) " 
after " (2)" and by adding at the end of that subparagraph the follow-
ing new subparagraph: 
636 
PUBLIC LAW 90-460-AUG. 3, 1968 
[82 STAT. 
79 Stat. 1041. 
20 u s e 988. 
79 Stat. 1037. 
20 u s e 981. 
"(B) When, due to State laws which do not permit an interest rate 
of 7 per centum per annum, and when the Commissioner determines 
that such statutory limitations threaten to impede the carrying out of 
the purposes of this Act, he may authorize an administrative cost 
allowance, not to exceed 1 per centum per annum of the unpaid prin-
cipal balance, for the term of any loan insured by the Ck)mmissioner 
under this part or under a State or private nonprofit student loan 
insurance program covered by an agreement under subsection (b). 
Such an administrative cost allowance may be paid on loans made 
during the period beginning on the date of enactment of this sub-
paragraph and ending on October 31,1968." 
(2) (A) Section 9(a) (1) of such Act is amended by inserting after 
the first sentence the following new sentence: "In addition, the Com-
missioner shall pay an administrative cost allowance in the amount 
established by paragraph (2) (B) of this subsection with respect to 
loans to any such student but without regard to the student's adjusted 
family income." 
(B) Section 9(a) (2) (A) of such Act (as so designated by this sec-
tion) is amended by inserting after the first sentence the following: 
"For purposes of the preceding sentence, the term 'interest' includes 
any administrative cost allowance paid pursuant to subparagraph 
(B)." 
(C) The second sentence of section 9(a)(2)(A) of such Act is 
amended by inserting "and the administrative cost allowance payable 
under this subsection" after "determined". 
(D) Section 9(a) (3) of such Act is amended by inserting "or of 
administrative cost allowances" after "interest". 
(3) Section 2(b)(2) of such Act is amended by inserting "and 
administrative cost allowances" after "interest". 
79 Stat. 1236. 
20 u s e 1071. 
Post, p. 1021. 
20 u s e 1078. 
Provisions. 
FEDERAL GUARANTY OF STUDENT LOANS INSURED UNDER NON-FEDERAL 
PROGRAMS 
SEC. 3. (a) Section 421(a) of the Higher Education Act of 1965 
is amended by striking out "and" before " (3)", and by inserting before 
the period at the end of that subsection the following: ", and (4) to 
guarantee a portion of each loan insured under a program of a State 
or of a nonprofit private institution or organization which meets the 
requirements of section 428 (a) (1) (C)". 
(b) Section 428 of such Act is amended by adding after subsection 
(b) the following new subsection: 
"(c) (1) The Commissioner may enter into a guaranty agreement 
with any State or any nonprofit private institution or organization 
with which he has an agreement pursuant to subsection (b), whereby 
the Commissioner shall undertake to reimburse it, under such terms 
and conditions as he may establish, in an amount equal to 80 per 
centum of the amount exj>ended by it in discharge of its insurance 
obligation, incurred under its loan insurance program, with respect to 
losses (resulting from the default, death, or permanent and total 
disability of the student borrower) on the unpaid balance of the 
principal (other than interest added to principal) of any insured loan 
with respect to which a portion of the interest (A) is payable by the 
Commissioner under subsection (a), or (B) would be payable under 
such subsection but for the adjusted family income of the borrower. 
"(2) The guaranty agreement— 
"(A) shall set forth such administrative and fiscal procedures 
as may be necessary to protect the United States from the risk of 
unreasonable loss thereunder, to insure proper and efficient admin-
82 
STAT.] 
PUBLIC LAW 90-460-AUG, 3, 1968 
637 
istration of the loan insurance program, and to assure that due 
diligence will be exercised in the collection of loans insured under 
the program; 
"(B) shall provide for making such reports, in such form 
and containing such information, as the Commissioner may rea-
sonably require to carry out his functions under this subsection, 
and for keeping such records and for affording such access thereto 
as the Commissioner may find necessary to assure the correctness 
and verification of such reports; 
"(C) shall set forth adequate assurance that, with respect to 
so much of any loan insured under the loan insurance program as 
may be guaranteed by the Commissioner pursuant to this sub-
section, the undertaking of the Commissioner under the guaranty 
agreement is acceptable in full satisfaction of State law or regu-
lation requiring the maintenance of a reserve; 
"(D) shall provide that if, after the Commissioner has made 
payment under the guaranty agreement pursuant to paragraph 
(1) of this subsection with respect to any loan, any payments are 
made in discharge of the obligation incurred by the borrower with 
respect to such loan (including any payments of interest accruing 
on such loan after such payment by the Commissioner), there shall 
be paid over to the Commissioner (for deposit in the fund estab-
lished by section 431) such proportion of the amounts of such 
payments as is determined (m accordance with regulations pre-
scribed by the Commissioner) to represent his equitable share 
thereof, but shall not otherwise provide for subrogation of the 
United States to the rights of any insurance beneficiary: Provided^ 
That, except as the Commissioner may otherwise by or pursuant 
to regulation provide, amounts so paid by a ijorrower on such a 
loan shall be first applied in reduction of principal owing on such 
loan; and 
"(E) may include such other provisions as may be necessary to 
promote the purposes of this part. 
"(3) To the extent provided in regulations of the Commissioner, 
a ^ a r a n t y agreement under this subsection may contain provisions 
which permit such forbearance for the benefit of the student borrower 
as may be agreed upon hj the parties to an insured loan and approved 
by the insurer. Nothing in this subsection shall be construed to require 
collection of the amount of any loan by the insurance beneficiary or its 
insurer from the estate of a deceased borrower or from a borrower 
found by the insurance beneficiary or its insurer to have become per-
manently and totally disabled. 
"(4) For purposes of this subsection— 
" (A) the terms 'insurance beneficiary' and 'default' shall have 
the meanings assigned to them by section 430 (e), and 
"(B) permanent and total disability shall be determined in 
accordance with regulations of the Commissioner. 
"(5) In the case of any guaranty agreement entered into prior to 
October 31,1968, with a State or nonprofit private institution or orga-
nization with which the Commissioner has in effect on that date an 
agreement pursuant to subsection (b) of this section, or section 9(b) 
of the National Vocational Student Loan Insurance Act of 1965, made 
prior to the date of enactment of this subsection, the Commissioner 
may, in accordance with the terms of this subsection, undertake to 
guarantee loans described in paragraph (1) which are insured by such 
Reports; rec-
ordkeeping. 
20 u s e 1081. 
"Insurance ben-
eficiary"; 
"default." 
79 Stat. 1244. 
20 use 1080. 
79 Stat. 1042. 
Ante, p. 635. 
20 use 988. 
638 
PUBLIC LAW 90-461-AUG. 8, 1968 
[82 STAT. 
79 Stat, 1245. 
20 u s e 1081. 
20 u s e 1078. 
20 u s e 1082. 
State, institution, or organization and are outstanding on the date 
of execution of the guaranty agreement, but only \vith respect to 
defaults occurring after the execution of such guaranty agreement or, 
if later, after its effective date." 
(c) Section 431 of such Act is amended (A) by inserting in the 
first sentence of subsection (a) ", or in connection with payments 
under a guaranty agreement under section 428(c)," after "insured by 
him under this part"; (B) by inserting in the third sentence of sub-
section (a) ", or in connection with such guaranty agreements" after 
"insured by the Commissioner under this part"; and (C) by inserting 
in the first sentence of subsection (b) ", or in connection with any 
guaranty agreement made under section 428(c)" after "insured by 
the Commissioner under this part". 
(d) Section 432(a)(5) of such Act is amended by inserting "or 
any guaranty agreement under section 428 (c) " after "such insurance". 
Approved August 3, 1968. 
Public Law 90-461 
Augusts, 1968 
A N 
A C T 
[S.2060] 
ipQ amend section 508(f) of the Federal Property and Administrative Services 
Act of 1949 to extend for a period of five years the authorization to make 
appropriations for allocations and grants for the collection and publication of 
documentary sources significant to the history of the United States. 
Federal Prop-
erty and Ad-
ministrative 
Services Act of 
1949, amendment. 
78 Stat. 335. 
Be it enacted hy the Senate and House of Rejrre&entatives of the 
United States of America in Congress assembled^ That section 503(f) 
of the Federal Property and Administrative Services Act of 1949, 63 
Stat. 377, as amended (44 U.S.C. 393), is amended by substituting the 
word "nine" for the word "four" in the phrase "for the fiscal year end-
ing June 30,1965, and each of the four succeeding fiscal years". 
Approved August 8, 1968. 
Augusts, 1968 
[S.3679] 
Public Law 90-462 
AN ACT 
To amend the Act of June 19, 1968 (Public Law 351, Ninetieth Congress). 
Omnibus erime 
eontrol and 
Safe Streets 
Act of 1968, 
amendment. 
Ante, p. 208. 
Be it enacted hy the Senate and House of Re'presentatives of the 
United States of America in Congress assembled^ That clauses (1), 
(2), and (3) of section 520(b) of the Act of June 19, 1968 (Public 
Law 351, Ninetieth Congress) ^ are amended by striking out "302" 
each time it appears and inserting in lieu thereof "301". 
SEC. 2. The caption of title I I of the Act of June 19, 1968 (Public 
Law 351, Ninetieth Congress), immediately preceding section 701 
thereof is amended to read as follows: 
"TITLE 
II—ADMISSIBILITY 
OF 
CONFESSIONS 
AND 
ADMISSIBILITY OF EYEWITNESS TESTIMONY". 
SEC. 3. Section 1401(a) of the Act of June 19, 1968 (Public Law 
351, Ninetieth Congress), is amended by striking out "Chapter 204" 
and inserting in lieu thereof "Chapter 205". 
Approved August 8, 1968.