Student Loan Contract Act of 2019

I 116TH CONGRESS 1ST SESSION H. R. 4241 To amend the Higher Education Act of 1965 to rename master promissory notes for loans made under part D to student loan contracts. IN THE HOUSE OF REPRESENTATIVES SEPTEMBER 6, 2019 Ms. UNDERWOOD (for herself, Mr. LEVIN of California, and Mrs. LURIA) in- troduced the following bill; which was referred to the Committee on Edu- cation and Labor A BILL To amend the Higher Education Act of 1965 to rename master promissory notes for loans made under part D to student loan contracts. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Student Loan Contract 4 Act of 2019’’. 5 SEC. 2. STUDENT LOAN CONTRACT AND LOAN DISCLO- 6 SURES. 7 (a) STUDENT LOAN CONTRACT.—Section 8 432(m)(1)(D) of the Higher Education Act of 1965 (20 9 VerDate Sep 11 2014 21:21 Sep 06, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H4241.IH H4241 pamtmann on DSKBC07HB2PROD with BILLS 2 •HR 4241 IH U.S.C. 1082(m)(1)(D)) is amended by adding at the end 1 the following: 2 ‘‘(iv) STUDENT LOAN CONTRACT.— 3 ‘‘(I) IN GENERAL.—Any master 4 promissory note form described in this 5 subparagraph that is developed or 6 used for loans made under part D for 7 periods of enrollment beginning on or 8 after the date of enactment of the 9 Student Loan Contract Act of 2019 10 shall be referred to as a ‘student loan 11 contract’. 12 ‘‘(II) CLARIFICATION ON USE.— 13 A student loan contract for loans 14 made under part D for a student shall 15 only be used with respect to loans 16 made under part D for the periods of 17 enrollment that are in the same award 18 year for which the initial loans for 19 which the contract is used were 20 made.’’. 21 (b) CONFORMING AMENDMENTS.—Section 22 485(l)(2)(B) of the Higher Education Act of 1965 (20 23 U.S.C. 1092(l)(2)(B)) is amended by inserting before the 24 VerDate Sep 11 2014 21:21 Sep 06, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H4241.IH H4241 pamtmann on DSKBC07HB2PROD with BILLS 3 •HR 4241 IH period at the end the following: ‘‘or the student loan con- 1 tract’’. 2 (c) EFFECTIVE DATE.—The amendments made by 3 this section shall take effect with respect to academic year 4 2019–2020 and each succeeding academic year. 5 Æ VerDate Sep 11 2014 21:21 Sep 06, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\H4241.IH H4241 pamtmann on DSKBC07HB2PROD with BILLS