07/24/2007
(original message posted via email)
OGSLP Legislative Update
Reminder - The Deadline for Comments is Approaching for the Notice of Proposed Rulemaking (NPRM)
You still have time to let your voice be heard by responding to the Department of Education regarding the notice of proposed rulemaking (NPRM) on student loan issues located in the June 12, 2007 Federal Register. The NPRM provides for a 60-day comment period, which means the deadline date for comments is August 13, 2007.
OGSLP will continue to work with other industry participants to review the impact of the proposals. We plan to share OGSLP’s comments with our school and lender customers.
The following link allows readers to review comments already submitted: http://www.regulations.gov/fdmspublic/component/main
To access comments to the NPRM, follow the instructions listed below:
• Click on "Education and Jobs" listed to the left
• Click on "Education" listed in the middle
• Click on ED-2007-OPE-0133 listed on the left
• Scroll to the right to the tab called “View” and click on the icon beneath it
Senate Reauthorization Bill (S. 1642) Update
On July 23, Senate lawmakers began debate on the Higher Education Amendments of 2007 (S. 1642). This legislation reauthorizes the Higher Education Act (HEA). Congress has extended the HEA for three years and the latest extension expires on July 31, 2007. The bill includes provisions pertaining to school codes of conduct, preferred lender lists, prohibited inducements, school accreditations, and increases information institutions and lenders have to disclose to students about loans. Passage of the bill is expected today.
Some of the amendments to the bill include:
Student Loan Clearinghouse - creates a clearinghouse for private and federal student loans so students can shop for the best loans
GAO Study on Employment Results for College Graduates - requires the GAO to conduct a study of the employment results of college graduates
Increased GEAR UP Authorized Funding Level - raises the amount that Congress is authorized to increase GEAR UP funding
Develop Simplified FAFSA Faster - agencies would have one year to submit recommendations for simplifying the FAFSA
Loan Forgiveness for Public Service Lawyers - provides $10,000 in annual forgiveness for up to six years for attorneys who commit to work for minimum of three years as public prosecutors or public defenders
Note that the federal private loan program amendment introduced by Sherrod Brown (D-Ohio) was rejected. The amendment would have created a federal loan program to compete with the private loan sector.
Update on Reconciliation Bills - College Cost Reduction Act of 2007 (H.R. 2669) and Higher Education Access Act of 2007 (S. 1762)
The House of Representatives passed the College Cost Reduction Act of 2007 (H.R. 2669) on July 11, 2007 by a vote of 273 to 149. The Senate's companion bill, the Higher Education Access Act of 2007 (S. 1762), passed by a vote of 78 to 18. As a next step, both H.R. 2669 and S. 1762 will go to the conference committee where the differences in the two bills will be worked out. Proposals must be approved in identical form by both the House and Senate before being sent to the President for signature.
There is a threat of a presidential veto of H.R. 2669 from the Bush administration. His senior advisors recommend a veto of the bill because they feel that it does not target aid to the neediest students and creates new mandatory federal programs and policies that would have significant long-term costs to taxpayers. Some inside the "beltway," however, believe a veto is unlikely.
House Spending Bill (H.R. 3043) Update
Last week, House lawmakers approved by a vote of 276 to 140, an $154.2 billion discretionary funding measure. H.R. 3043 allocates $62.6 billion to fund programs falling under the jurisdiction of the Department of Education, an increase of $2.3 billion over current funding. Total funding contained in the bill is roughly $7 billion more than that approved for FY 2007, and an estimated $23 billion more than requested in the Administration’s FY 2008 budget proposal.
It is reported that the Senate may not consider the funding bill until sometime in October. Following the HEA reauthorization debate, the Senate will begin debate on the Homeland Security funding measure, the first of twelve appropriations measures up for consideration.
OGSLP's Legislation Page & Contact Information
OGSLP will continue to keep you advised regarding these important legislative actions. This and other legislative information can be found on OGSLP's Legislation Page. If you have questions, please contact Policy, Compliance, and Training at (405) 234-4432 or pct@ogslp.org.
--------------------------------------------------------------------------------
Communications
OGSLP
P.O. Box 3000
Oklahoma City, OK 73101-3000
gslcommunications@ogslp.org
www.ogslp.org
