[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7895 Introduced in House (IH)]
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117th CONGRESS
2d Session
H. R. 7895
To amend the Higher Education Act of 1965 to terminate the authority to
make Federal direct PLUS loans, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 27, 2022
Mr. Rice of South Carolina introduced the following bill; which was
referred to the Committee on Education and Labor
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A BILL
To amend the Higher Education Act of 1965 to terminate the authority to
make Federal direct PLUS loans, and for other purposes.
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 ``Combating Excessive Student Debt Act
of 2022''.
SEC. 2. TERMINATION OF AUTHORITY TO MAKE FEDERAL DIRECT PLUS LOANS.
Section 455(a) of the Higher Education Act of 1965 (20 U.S.C.
1087e) is amended by adding at the end the following:
``(4) Termination of authority to make federal direct plus
loans.--
``(A) In general.--Subject to subparagraph (B) and
notwithstanding any provision of this part or part B,
no new Federal Direct PLUS Loans may be made under this
part on or after July 1, 2023.
``(B) Loans made before july 1, 2023.--A borrower
who has not received a Federal Direct PLUS Loan before
the date of enactment of the Combating Excessive
Student Debt Act of 2022 and for whom a Federal Direct
PLUS Loan is first disbursed for any period of
instruction beginning on or after such date, but not
later than July 1, 2023, may be eligible to receive
Federal Direct PLUS Loans until the completion of the
course of study for which such loan was first disbursed
or June 30, 2027, whichever occurs first.''.
SEC. 3. LIMITATION ON INSTITUTIONAL REVENUE FROM FEDERAL DIRECT PLUS
LOANS.
Section 487(a) of the Higher Education Act of 1965 is amended by
adding at the following:
``(30) The institution will not derive institutional
revenue from Federal Direct PLUS Loans in an amount that
exceeds--
``(A) for academic year 2023-2024, the average such
institutional revenue that the institution received for
the 5 most recent academic years preceding academic
year 2023-2024;
``(B) for academic year 2024-2025, 75 percent of
the average institutional revenue described in
subparagraph (A);
``(C) for academic year 2025-2026, 50 percent of
the average institutional revenue described in such
subparagraph; and
``(D) for academic year 2026-2027, 25 percent of
the average institutional revenue described in such
subparagraph.''.
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