Archived Information
Reauthorization of the Higher Education Act
SEC. 471. (a) Section 471 of the Act is amended, in the matter preceding paragraph (1), by striking out "subparts 1 or 4" and inserting in lieu thereof "subpart".
(b) Section 473 of the Act is amended by striking out the first comma and "except subpart 4 of part A,".
SEC. 472. Section 472 of the Act is amended--
(1) by striking out paragraphs (5) and (10) and;
(2) by redesignating paragraphs (6), (7), (8), (9), (11), and (12) as paragraphs (5), (6), (7), (8), (9), and (10), respectively.
SEC. 473. Section 475 of the Act is amended--
(1) in subsection (c)--
(A) in paragraph (2), by amending the table to read as follows:
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| If parent's State or territory of residence is-- | And parent's total income is-- |
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| less than $15,000 | $15,000 or more | |
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| then the percentage is |
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| Alaska, Nevada, Tennessee, Texas, Wyoming....... | 3 | 2 |
| American Samoa, Canada, Federated States of Micronesia, Florida, Guam, Louisiana, Marshall Islands, Mexico, Northern Mariana Islands, Palau, Puerto Rico, South Dakota, Virgin Islands, Washington........ | 4 | 3 |
| Alabama, Mississippi.......... | 5 | 4 |
| Arizona, Arkansas, Connecticut, Illinois, Indiana, Missouri, New Mexico, North Dakota, Oklahoma, West Virginia......... | 6 | 5 |
| Colorado, Georgia, Idaho, Kansas, Kentucky, New Hampshire, Pennsylvania.......... | 7 | 6 |
| California, Delaware, Hawaii, Iowa, Montana, Nebraska, New Jersey, North Carolina, Ohio, South Carolina, Utah, Vermont, Virginia........... | 8 | 7 |
| Maine, Maryland, Massachusetts, Michigan, Minnesota, Rhode Island........... | 9 | 8 |
| District of Columbia, Wisconsin, Oregon............ | 10 | 9 |
| New York............. | 11 | 10 |
| Other............ | 4 | 3 |
| ______________________________________________________________________"; | ||
(B) in paragraph (4), by amending the table to read as follows:
______________________________________________________________________
| Family Size (including student) |
Number in College | For Each Additional Subtract |
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| 1 | 2 | 3 | 4 | 5 | ||
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| 2 | $12,260 | $10,160 | ||||
| 3 | $15,260 | $13,180 | $11,080 | |||
| 4 | $18,850 | $16,750 | $14,670 | $12,570 | ||
| 5 | $22,240 | $20,140 | $18,060 | $15,960 | $13,880 | |
| 6 | $26,010 | $23,920 | $21,830 | $19,740 | $17,650 | $2,090 |
| For Each Additional add: |
$2,940 | $2,940 | $2,940 | $2,940 | $2,940 | |
| ________________________________________________________________________"; | ||||||
and
(C) in paragraph (5), by striking out "$2,500" each place it appears and inserting in lieu thereof "$2,800" in each such place
(2) in subsection (d)--
(A) in paragraph (1), in the matter preceding subparagraph (A), by striking out "The" and inserting in lieu thereof "Except as provided in paragraph (5), the";
(B) in paragraph (2)(C), by amending the table to read as follows:
___________________________________________________________________________
| If the net worth of a business or farm is-- | Then the adjusted net worth is: |
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| Less than $1................................................... | $0 |
| $1 to $85,000................................................ | 40 percent of NW |
| $85,001 to $260,000..................................... | $34,000 plus 50 percent of NW over $85,000 |
| $260,001 to $435,000................................... | $121,500 plus 60 percent of NW over $260,000 |
| $435,001 or more.......................................... | $226,500 plus 100 percent of NW over $435,000 |
(C) in paragraph (3), by amending the table to read as follows:
___________________________________________________________________________
| If the age of the oldest parent is-- | And there are | |
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| two parents | one parent | |
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| then the allowance is--- | ||
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| 25 or less................................................................. | $0 | $0 |
| 26........................................................................... | 2,400 | 1,700 |
| 27........................................................................... | 4,900 | 3,300 |
| 28........................................................................... | 7,300 | 5,000 |
| 29........................................................................... | 9,800 | 6,600 |
| 30........................................................................... | 12,200 | 8,300 |
| 31........................................................................... | 14,700 | 9,900 |
| 32........................................................................... | 17,100 | 11,600 |
| 33........................................................................... | 19,600 | 13,200 |
| 34........................................................................... | 22,000 | 14,900 |
| 35........................................................................... | 24,500 | 16,500 |
| 36 ........................................................................... | 26,900 | 18,200 |
| 37........................................................................... | 29,400 | 19,800 |
| 38........................................................................... | 31,800 | 21,500 |
| 39 ........................................................................... | 34,300 | 23,100 |
| 40 ........................................................................... | 36,700 | 24,800 |
| 41 ........................................................................... | 37,600 | 25,400 |
| 42 ........................................................................... | 38,600 | 25,800 |
| 43 ........................................................................... | 39,600 | 26,500 |
| 44 ........................................................................... | 40,600 | 27,100 |
| 45 ........................................................................... | 41,600 | 27,600 |
| 46 ........................................................................... | 42,600 | 28,300 |
| 47 ........................................................................... | 43,700 | 29,000 |
| 48 ........................................................................... | 44,800 | 29,500 |
| 49 ........................................................................... | 46,000 | 30,200 |
| 50 ........................................................................... | 47,100 | 31,000 |
| 51 ........................................................................... | 48,600 | 31,900 |
| 52 ........................................................................... | 49,800 | 32,500 |
| 53 ........................................................................... | 51,300 | 33,200 |
| 54 ........................................................................... | 52,600 | 34,000 |
| 55 ........................................................................... | 54,200 | 35,000 |
| 56 ........................................................................... | 55,900 | 35,800 |
| 57 ........................................................................... | 57,600 | 36,700 |
| 58 ........................................................................... | 59,300 | 37,700 |
| 59 ........................................................................... | 61,100 | 38,800 |
| 60 ........................................................................... | 62,900 | 39,700 |
| 61 ........................................................................... | 65,100 | 40,800 |
| 62 ........................................................................... | 67,400 | 42,000 |
| 63 ........................................................................... | 69,400 | 43,200 |
| 64 ........................................................................... | 71,700 | 44,400 |
| 65 or more............................................................... | 74,200 | 45,800 |
and
(D) by adding at the end thereof the following new paragraph:
"(5) Notwithstanding section 478(a), the Secretary may, in lieu of the contribution from assets calculated under this subsection, prescribe in regulation a parental contribution that makes adjustments to the amounts calculated under this section.";
(3) in subsection (e), by amending the table to read as follows:
| If AAI is -- | Then the assessment is-- |
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| Less than $1............................................................ | $0 |
| $1 to $ 11,000........ ................................................. | 22% of AAI |
| $11,001 to $13,700 ................................................. | $2,420 + 25% of AAI over $11,000 |
| $13,701 to $16,500 ................................................. | $3,095 + 29% of AAI over $13,700 |
| $16,501 to $19,300 ................................................. | $3,907 + 34% of AAI over $16,500 |
| $19,301 to $22,100 ................................................. | $4,859 + 40% of AAI over $19,300 |
| $22,101 or more ...................................................... | $5,979 + 47% of AAI over $22,100 |
______________________________________________________________________";
(4) in subsection (g)--
(A) in paragraph (2)(D), by striking out "$1,750." and inserting in lieu thereof "$3,500 (subject to such adjustments as may be made in the applicable appropriations Acts)."; and
(B) in paragraph (3), by amending the table to read as follows:
| If the student's State or territory of residence is--- | The Percentage is-- |
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| Alaska, Nevada, South Dakota, Tennessee, Texas, Washington, Wyoming | 0 |
| Florida, New Hampshire........................................................................ | 1 |
| American Samoa, Canada, Connecticut, Federated States of Micronesia, Guam, Illinois, Louisiana, Marshall Islands, Mexico, North Dakota, Northern Mariana Islands, Palau, Puerto Rico, Virgin Islands................................ | 2 |
| Alabama, Arizona, Mississippi, Missouri, New Jersey, Pennsylvania........ | 3 |
| Arkansas, Colorado, Georgia, Indiana, Kansas, Michigan, Nebraska, New Mexico, Oklahoma, Rhode Island, Vermont, Virginia, West Virginia........ | 4 |
| California, Delaware, Idaho, Iowa, Kentucky, Maine, Massachusetts, Montana, North Carolina, Ohio, South Carolina, Utah, Wisconsin............ | 5 |
| Hawaii, Maryland, Minnesota, Oregon.................................................. | 6 |
| District of Columbia, New York........................................................... | 7 |
| Other................................................................................................. | 2 |
__________________________________________________________________________";
(5) in subsection (h)--
(A) by striking out "The" and inserting in lieu thereof
"(1) Except as provided in paragraph (2), the"; and
(B) by adding at the end thereof the following new paragraph:
"(2) Notwithstanding section 478(a), the Secretary may, in lieu of the contribution from assets described in paragraph (1), prescribe in regulation a student contribution that makes adjustments to the amounts calculated under subsection (g) and this subsection.";
(6) in subsection (i)--
(A) in the heading thereof, by striking out "MONTHS FOR PURPOSES OTHER THAN SUBPART 2 OF PART A OF THIS TITLE.--" and inserting in lieu thereof the following: "MONTHS.--"; and
(B) in the matter preceding paragraph (1), by striking out "for purposes other than subpart 2 of part A of this title:" and inserting in lieu thereof a colon.
SEC. 474. Section 476 of the Act is amended--
(1) in subsection (a)--
(A) in the matter preceding paragraph (1), by striking out "For" and inserting in lieu thereof "Except as provided in paragraph (2), for";
(B) in paragraph (1), by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively;
(C) in paragraph (2), by striking out "paragraph (1)" and inserting in lieu thereof "subparagraph (A)";
(D) by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B), respectively;
(E) by inserting immediately after the subsection heading the paragraph designation "(1)"; and
(F) by adding at the end thereof the following new paragraph:
"(2) For periods of enrollment of other than 9 months, the expected family contribution shall be determined by dividing the expected family contribution determined under paragraph (1) by 9, and multiplying the result by the number of months enrolled.";
(2) in subsection (b)--
(A) in paragraph (1)--
(i) in subparagraph (A)--
(I) by amending clause (iv) to read as follows:
"(iv) an income protection allowance, determined in accordance with paragraph (4);"; and
(II) in clause (v), by striking "paragraph (4);" and inserting "paragraph (5);"; and
(ii) in subparagraph (B), by striking "paragraph (5)." and inserting "paragraph (6).";
(B) in paragraph (2), by amending the table to read as follows:
___________________________________________________________________________
| If the student's State or territory of residence is--- | The Percentage is-- |
| __________________________________________________________________________ | |
| Alaska, Nevada, South Dakota, Tennessee, Texas, Washington, Wyoming..... | 0 |
| Florida, New Hampshire ............................................................................. | 1 |
| American Samoa, Canada, Connecticut, Federated States of Micronesia, Guam, Illinois, Louisiana, Marshall Islands, Mexico, North Dakota, Northern Mariana Islands, Palau, Puerto Rico, Virgin Islands ..................................... | 2 |
| Alabama, Arizona, Mississippi, Missouri, New Jersey, Pennsylvania............. | 3 |
| Arkansas, Colorado, Georgia, Indiana, Kansas, Michigan, Nebraska, New Mexico, Oklahoma, Rhode Island, Vermont, Virginia, West Virginia ............. | 4 |
| California, Delaware, Idaho, Iowa, Kentucky, Maine, Massachusetts, Montana, North Carolina, Ohio, South Carolina, Utah, Wisconsin ................. | 5 |
| Hawaii, Maryland, Minnesota, Oregon ....................................................... | 6 |
| District of Columbia, New York ................................................................ | 7 |
| Other ...................................................................................................... | 2 |
__________________________________________________________________";
(C) in paragraph (4)(A), by striking out "$2,500" and inserting in lieu thereof "$2,800";
(D) by redesignating paragraphs (4) and (5) as paragraphs (5) and (6), respectively; and
(E) by inserting after paragraph (3) the following new paragraph:
"(4) INCOME PROTECTION ALLOWANCE.--The income protection allowance is determined by the following table (or a successor table prescribed by the Secretary under section 478, subject to such adjustments as may be made in the applicable appropriations Acts):
____________________________________________________________________
| Family Size | Number in College | |
| ____________________________________________________________________ | ||
| (including student) | 1 | 2 |
| ____________________________________________________________________ | ||
| 1 | 6,000 | |
| 2 | 9,000 | 6,000 |
_________________________________________________________________";
and
(3) in subsection (c)--
(A) in paragraph (1), in the matter preceding subparagraph (A), by striking out "The" and inserting in lieu thereof "Except as provided in paragraph (5), the";
(B) in paragraph (2)(C), by amending the table to read as follows:
| If the net worth of a business or farm is-- | Then the adjusted net worth is: |
| Less than $1 ............................................................... | $0 |
| $1 to $85,000 ............................................................ | 40 percent of NW |
| $85,001 to $260,000 ................................................. | $34,000 plus 50 percent of NW over $85,000 |
| $260,001 to $435,000 ............................................... | $121,500 plus 60 percent of NW over $260,000 |
| $435,001 or more ..................................................... | $226,500 plus 100 percent of NW over $435,000 |
_____________________________________________________________________";
(C) in paragraph (3), by amending the table to read as follows:
| If the age of the student is-- | And the student is | |
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| married | single | |
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| then the allowance is-- | ||
| 25 or less ....................................................................... | $0 | $0 |
| 26 .................................................................................. | 2,400 | 1,700 |
| 27 .................................................................................. | 4,900 | 3,300 |
| 28 .................................................................................. | 7,300 | 5,000 |
| 29 .................................................................................. | 9,800 | 6,600 |
| 30 ................................................................................ | 12,200 | 8,300 |
| 31 ................................................................................ | 14,700 | 9,900 |
| 32 ................................................................................ | 17,100 | 11,600 |
| 33 ................................................................................ | 19,600 | 13,200 |
| 34 ................................................................................ | 22,000 | 14,900 |
| 35 ................................................................................ | 24,500 | 16,500 |
| 36 ................................................................................ | 26,900 | 18,200 |
| 37 ................................................................................ | 29,400 | 19,800 |
| 38 ................................................................................ | 31,800 | 21,500 |
| 39 ................................................................................ | 34,300 | 23,100 |
| 40 ................................................................................ | 36,700 | 24,800 |
| 41 ................................................................................ | 37,600 | 25,400 |
| 42 ................................................................................ | 38,600 | 25,800 |
| 43 ................................................................................ | 39,600 | 26,500 |
| 44 ................................................................................ | 40,600 | 27,100 |
| 45 ................................................................................ | 41,600 | 27,600 |
| 46 ................................................................................ | 42,600 | 28,300 |
| 47 ................................................................................ | 43,700 | 29,000 |
| 48 ................................................................................ | 44,800 | 29,500 |
| 49 ................................................................................ | 46,000 | 30,200 |
| 50 ................................................................................ | 47,100 | 31,000 |
| 51 ................................................................................ | 48,600 | 31,900 |
| 52 ................................................................................ | 49,800 | 32,500 |
| 53 ................................................................................ | 51,300 | 33,200 |
| 54 ................................................................................ | 52,600 | 34,000 |
| 55 ................................................................................ | 54,200 | 35,000 |
| 56 ................................................................................ | 55,900 | 35,800 |
| 57 ................................................................................ | 57,600 | 36,700 |
| 58 ................................................................................ | 59,300 | 37,700 |
| 59 ................................................................................ | 61,100 | 38,800 |
| 60 ................................................................................ | 62,900 | 39,700 |
| 61 ................................................................................ | 65,100 | 40,800 |
| 62 ................................................................................ | 67,400 | 42,000 |
| 63 ................................................................................ | 69,400 | 43,200 |
| 64 ................................................................................ | 71,700 | 44,400 |
| 65 or more................................................................... | 74,200 | 45,800 |
and
(D) by adding at the end thereof the following new paragraph:
"(5) Notwithstanding section 478(a), the Secretary may, in lieu of the contribution from assets calculated under this subsection, prescribe in regulation a family contribution that makes adjustments to the amounts calculated under this section.".
SEC. 475. Section 477 of the Act is amended--
(1) in subsection (a)--
(A) in the matter preceding paragraph (1), by striking out "For" and inserting in lieu thereof "Except as provided in paragraph (2), for";
(B) in paragraph (1), by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively;
(C) in paragraph (3), by striking out "paragraph (2)" and inserting in lieu thereof "subparagraph (B)";
(D) by redesignating paragraphs (1), (2), and (3) as subparagraphs (A), (B), and (C), respectively;
(E) by inserting immediately after the subsection heading the paragraph designation "(1)"; and
(F) by adding at the end thereof the following new paragraph:
"(2) For periods of enrollment of other than 9 months, the expected family contribution shall be determined by dividing the expected family contribution determined under paragraph (1) by 9, and multiplying the result by the number of months enrolled.";
(2) in subsection (b)--
(A) in paragraph (2), by amending the table to read as follows:
| If student's State or territory of residence is-- | And family's total income is--- | |
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| less than $15,000 |
$15,000 or more |
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| then the percentage is--- | ||
| Alaska, Nevada, Tennessee, Texas, Wyoming................................ | 3 | 2 |
| American Samoa, Canada, Federated States of Micronesia, Florida, Guam, Louisiana, Marshall Islands, Mexico, Northern Mariana Islands, Palau, Puerto Rico, South Dakota, Virgin Islands, Washington.................................................................................... | 4 | 3 |
| Alabama, Mississippi ..................................................................... | 5 | 4 |
| Arizona, Arkansas, Connecticut, Illinois, Indiana, Missouri, New Mexico, North Dakota, Oklahoma, West Virginia ........................... | 6 | 5 |
| Colorado, Georgia, Idaho, Kansas, Kentucky, New Hampshire, Pennsylvania ................................................................................... | 7 | 6 |
| California, Delaware, Hawaii, Iowa, Montana, Nebraska, New Jersey, North Carolina, Ohio, South Carolina, Utah, Vermont, Virginia....... | 8 | 7 |
| Maine, Maryland, Massachusetts, Michigan, Minnesota, Rhode Island | 9 | 8 |
| District of Columbia, Wisconsin, Oregon ......................................... | 10 | 9 |
| New York ..................................................................................... | 11 | 10 |
| Other ............................................................................................. | 4 | 3 |
_______________________________________________________________________";
(B) in paragraph (4), by amending the table to read as follows:
| Family Size (including student) |
Number in College | For Each Additional Subtract: |
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| 1 | 2 | 3 | 4 | 5 | ||
| 2 | $12,260 | $10,160 | ||||
| 3 | $15,260 | $13,180 | $11,080 | |||
| 4 | $18,850 | $16,750 | $14,670 | $12,570 | ||
| 5 | $22,240 | $20,140 | $18,060 | $15,960 | $13,880 | |
| 6 | $26,010 | $23,920 | $21,830 | $19,740 | $17,650 | $2,090 |
| For Each Additional add: |
$2,940 | $2,940 | $2,940 | $2,940 | $2,940 | |
_________________________________________________________________________";/
and
(C) in paragraph (5), by striking out "$2,500" each place it appears and inserting in lieu thereof "$2,800" in each such place;
(3) in subsection (c)--
(A) in paragraph (1), in the matter preceding subparagraph (A), by striking out "The" and inserting in lieu thereof "Except as provided in paragraph (5), the";
(B) in paragraph (2)(C), by amending the table to read as follows:
| If the net worth of a business or farm is-- | Then the adjusted net worth is: |
| Less than $1 ........................................................................ | $0 |
| $1 to $85,000 ...................................................................... | 40 percent of NW |
| $85,001 to $260,000 ........................................................... | $34,000 plus 50 percent of NW over $85,000 |
| $260,001 to $435,000 ......................................................... | $121,500 plus 60 percent of NW over $260,000 |
| $435,001 or more ................................................................ | $226,500 plus 100 percent of NW over $435,000 |
____________________________________________________________________";
(C) in paragraph (3), by amending the table to read as follows:
| If the age of the student is-- | And the student is | |
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| married | single | |
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| then the allowance is-- | ||
| 25 or less ........................................................................... | $0 | $0 |
| 26 .................................................................................. | 2,400 | 1,700 |
| 27 .................................................................................. | 4,900 | 3,300 |
| 28 .................................................................................. | 7,300 | 5,000 |
| 29 .................................................................................. | 9,800 | 6,600 |
| 30 ................................................................................ | 12,200 | 8,300 |
| 31 ................................................................................ | 14,700 | 9,900 |
| 32 ................................................................................ | 17,100 | 11,600 |
| 33 ................................................................................ | 19,600 | 13,200 |
| 34 ................................................................................ | 22,000 | 14,900 |
| 35 ................................................................................ | 24,500 | 16,500 |
| 36 ................................................................................ | 26,900 | 18,200 |
| 37 ................................................................................ | 29,400 | 19,800 |
| 38 ................................................................................ | 31,800 | 21,500 |
| 39 ................................................................................ | 34,300 | 23,100 |
| 40 ................................................................................ | 36,700 | 24,800 |
| 41 ................................................................................ | 37,600 | 25,400 |
| 42 ................................................................................ | 38,600 | 25,800 |
| 43 ................................................................................ | 39,600 | 26,500 |
| 44 ................................................................................ | 40,600 | 27,100 |
| 45 ................................................................................ | 41,600 | 27,600 |
| 46 ................................................................................ | 42,600 | 28,300 |
| 47 ................................................................................ | 43,700 | 29,000 |
| 48 ................................................................................ | 44,800 | 29,500 |
| 49 ................................................................................ | 46,000 | 30,200 |
| 50 ................................................................................ | 47,100 | 31,000 |
| 51 ................................................................................ | 48,600 | 31,900 |
| 52 ................................................................................ | 49,800 | 32,500 |
| 53 ................................................................................ | 51,300 | 33,200 |
| 54 ................................................................................ | 52,600 | 34,000 |
| 55 ................................................................................ | 54,200 | 35,000 |
| 56 ................................................................................ | 55,900 | 35,800 |
| 57 ................................................................................ | 57,600 | 36,700 |
| 58 ................................................................................ | 59,300 | 37,700 |
| 59 ................................................................................ | 61,100 | 38,800 |
| 60 ................................................................................ | 62,900> | 39,700 |
| 61 ................................................................................ | 65,100 | 40,800 |
| 62 ................................................................................ | 67,400 | 42,000 |
| 63 ................................................................................ | 69,400 | 43,200 |
| 64 ................................................................................ | 71,700 | 44,400 |
| 65 or more................................................................... | 74,200 | 45,800 |
__________________________________________________________________";
and
(D) by adding at the end thereof the following new paragraph:
"(5) Notwithstanding section 478(a), the Secretary may, in lieu of the contribution from assets calculated under this subsection, prescribe in regulation a family contribution that makes adjustments to the amounts calculated under this section.";
(4) in subsection (e), by amending the table to read as follows:
| If AAI is -- | Then the assessment is-- |
| Less than $1............................................................ | $0 |
| $1 to $ 11,000........ ................................................. | 22% of AAI |
| $11,001 to $13,700 ................................................. | $2,420 + 25% of AAI over $11,000 |
| $13,701 to $16,500 ................................................. | $3,095 + 29% of AAI over $13,701 |
| $16,501 to $19,300 ................................................. | $3,907 + 34% of AAI over $16,501 |
| $19,301 to $22,100 ................................................. | $4,859 + 40% of AAI over $19,301 |
| $22,101 or more ...................................................... | $5,979 + 47% of AAI over $22,101 |
___________________________________________________________________".
SEC. 476. Section 478 of the Act is amended--
(1) in subsection (a)(1)--
(A) in subparagraph (A), by striking out "or" at the end thereof;
(B) in subparagraph (B), by striking out the period at the end thereof and inserting in lieu thereof a semicolon and "or"; and
(C) by adding at the end thereof the following new subparagraph:
"(C) as otherwise provided in this part.";
(2) in subsection (b)--
(A) by striking out "1993-1994,", "Such revised table", and "1992" and inserting in lieu thereof "1999-2000,", "Such revised tables", and "1998 (December 1999 in the case of the table in section 476(b)(4))", respectively; and
(B) by inserting immediately after the first sentence therein the following: "For each academic year after academic year 2000-2001, the Secretary shall publish in the Federal Register a revised table of income protection allowances for purposes of section 476(b)(4)."
(3) in subsection (c)--
(A) in the matter preceding paragraph (1), by striking out "1993-1994," and inserting in lieu thereof "1999-2000,";
(B) in paragraph (1), by striking out "1992" and inserting in lieu thereof "1998"; and
(C) in paragraph (2), by striking out "'$30,000', '$105,000', and '$195,000'" and inserting in lieu thereof "'$34,000', '$121,500', and '$226,500'";
(4) in subsection (d), by striking out "1993-1994," and inserting in lieu thereof "1999-2000,";
(5) in subsection (e)--
(A) in the matter preceding paragraph (1), by striking out "1993-1994," and inserting in lieu thereof "1999-2000,"; and
(B) in paragraph (1), by striking out "1992" and inserting in lieu thereof "1998";
(6) in subsection (g), by striking out "1993-1994," and inserting in lieu thereof "1999-2000,"; and
(7) in subsection (h), by striking out "1993-1994," and inserting in lieu thereof "1999-2000,".
SEC. 477. Section 479A(a) of the Act is amended to read as follows:
"(a) IN GENERAL.--(1) Except as otherwise provided in this section, nothing in this part shall be interpreted as limiting the authority of the financial aid administrator, onthe basis of adequate documentation, to make adjustments on a casebycase basis to the cost of attendance or the values of the data items required to calculate the expected student or parent contribution (or both), or, in extraordinary circumstances, the amount of the expected family contribution, to allow for treatment of a particular eligible applicant with special circumstances, such as economic dislocation.
"(2) Notwithstanding paragraph (1), a financial aid administrator may not make the adjustments described in such paragraph in the absence of special or extraordinary circumstances.
"(3) For purposes of this section--
"(A) 'special circumstances' shall be defined as conditions that differentiate an individual student from a class of students rather than conditions that exist across a class of students (except that dislocated workers shall not be considered a class of students for purposes of this subparagraph); and
"(B) 'extraordinary circumstances' shall, notwithstanding section 478(a), be defined by the Secretary in regulation.
"(4) Notwithstanding section 478(a), the Secretary may prescribe such regulations as the Secretary determines necessary to reduce the potential for abuse of this section.
"(5) Nothing in this title shall be interpreted as limiting the authority of the financial aid administrator, in documenting the need for adjustments under this section, to request and use supplementary information about the financial status or personal circumstances of eligible applicants in selecting recipients and determining the amount of awards under this title. No student or parent shall be charged a fee for collecting, processing, or delivering such supplementary information.".
SEC. 478. Section 480 of the Act is amended--
(1) in subsection (a)(1)--
(i) by inserting the subparagraph designation "(A)"immediately after the paragraph designation;
(ii) by striking out "preceding tax year" and inserting in lieu thereof "base year (as determined by the Secretary under subparagraph (B))"; and
(iii) by adding at the end thereof the following new subparagraph:
"(B)(i) The Secretary shall specify the year that shall be used as the base year for purposes of subparagraph (A). If, after consultation with representatives of institutions of higher education, students, affected State agencies, and other relevant parties, the Secretary determines that a year other than the preceding tax year shall be used as the base year, an institution of higher education may, without meeting the requirements of individual special circumstances and documentation in section 479A, use the income and asset information of the student (and the student's parents, in the case of a dependent student, or the student's spouse, if any, in the case of an independent student) from the preceding tax year to adjust the student's expected family contribution as calculated using the base year specified by the Secretary.
"(ii) Notwithstanding section 478(a), the Secretary may specify such adjustment factors as may be necessary to update base year information to reflect changes in the national economy.
"(iii) The Secretary shall specify in regulation any change in the base year used for purposes of subparagraph (A) and ensure that any such change shall be implemented at a time and in a manner that minimizes any possible disruption to the student aid delivery process.";
(2) in subsection (c)(1), by amending subparagraph (A) to read as follows:
"(A) has served more than 180 days on active duty in the United States Army, Navy, Air Force, Marines, or Coast Guard; and";
(3) in subsection (d)(7), by striking out the period at the end thereof and inserting in lieu thereof a comma and "subject to such measures as the Secretary may take, including the issuance of regulations (notwithstanding section 478(a)), as the Secretary determines necessary to protect against abuse under this paragraph."; and
(4) in subsection (e)--
(A) in paragraph (2), by adding "and" at the end thereof;
(B) in paragraph (3), by striking out the semicolon and "and" at the end thereof and inserting in lieu thereof a period; and
(C) by striking out paragraph (4).
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Last updated: June 4, 2002 by [pss]