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Lawmakers Introduce Numerous Katrina-Related Bills Dealing with Higher Education

A flurry of Hurricane Katrina-related legislative measures have been introduced in the House and Senate in recent weeks. The bills pertain either directly or tangentially to higher education and student aid programs. The first two measures summarized below have been passed by the Senate and House, clearing the measures for the President's expected signature.

H.R. 3668:Student Grant Hurricane and Disaster Relief Act

The Senate has passed H.R. 3668 to provide the Secretary of Education with waiver authority for students adversely affected by a major disaster who are eligible for federal student grant assistance. The bill has been presented to the President for his signature.

H.R. 3169: The Pell Grant Hurricane and Disaster Relief Act

H.R. 3169 was introduced by Rep. Ric Keller (R-Fla.) on June 30, 2005, and was adopted in July as part of the House authorizing subcommittee's markup of H.R. 609 reauthorizing the Higher Education Act. Due to the Gulf Coast disaster, the legislation was pushed through both legislative chambers in a matter of days and awaits the President's signature. Sen. Mel Martinez (R-Fla.) introduced a companion bill S. 1628 to the Keller bill on September 7.

The measure authorizes the Secretary of Education to waive certain requirements for repayment of federal Pell Grants by students if:

  • they were residing in, employed in, or attending an institution of higher education located in a major disaster area;
  • their attendance was interrupted because of the disaster's impact on them or the institution; and
  • their withdrawal ended within the academic year during which the major disaster designation occurred or during the next succeeding academic year.

Current law requires Pell Grant recipients who are forced to withdraw from classes due to a natural disaster to repay any Pell Grant funds, or be barred from enrolling in future classes.

S.1715: A Bill to Provide Relief for Students and Institutions Affected by Hurricane Katrina, and for other Purposes

On September 15, Health, Education, Labor and Pensions (HELP) Committee Chairman Sen. Michael Enzi (Wyo.) and Ranking committee Democrat Sen. Edward Kennedy (Mass.) introduced S. 1715, in an effort to help college students impacted by Hurricane Katrina. The bill would waive Title IV grant repayments for affected students who are unable to attend college, or whose attendance was interrupted due to the hurricane.

It would also extend until June 30, 2010 the period for repayment of student grant assistance by affected institutions, and could provide temporary loan deferments to affected students who do not enroll in another institution. In addition, the bill would provide an extension of the period for return of loan proceeds to the lender or the Perkins Loan fund by affected institutions and would grant students the authority to exceed annual loan limits.

The bill also states that financial aid administrators will be allowed professional judgment with respect to the calculation of the expected student and/or parent contribution for an affected student, or for a student or a parent who resides or resided on August 22, 2005, or was employed on August 22, 2005, in a disaster area.

H.R. 3788: The Teacher Loan Hurricane Relief Act

On September 15 Rep. Tom Cole (R-Okla.) introduced H.R. 3788 to permit the Secretary of Education to waive the consecutive service requirements of the loan forgiveness program for teachers whose employment is interrupted by the Hurricane Katrina disaster.

H.R. 3802: Hurricane Katrina Surviving Spouse Student Loan Relief Act

On September 15 Rep. Carolyn McCarthy (D-N.Y.) introduced H.R. 3802 to provide student loan forgiveness to the surviving spouses and parents of an individual who died (or dies) or became (or becomes) permanently and totally disabled due to injuries caused by Hurricane Katrina, or caused by the flood or other consequences of the hurricane.

H.R. 2131: The New GI Bill of Rights for the 21st Century Act

The House is expected to consider this week H.R. 2131, a measure based on the HEROES Act passed after the September 11, 2001 terrorist attacks. In particular, H.R. 2131 repeals the pay reduction and high school graduation requirement for participation in the Montgomery GI Bill educational assistance program and delimits the date for entitlement to basic educational assistance under such program.

By Elizabeth B. Guerard
NASFAA Assistant Director for Communications

Posted September 21, 2005 on www.NASFAA.org, the Web Site of the
National Association of Student Financial Aid Administrators (NASFAA).
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