Reauthorization
The Higher Education Act, which authorizes all federal student aid, is re-examined, or “reauthorized,” periodically by Congress. During the reauthorization process, policymakers and the federal aid industry review existing programs and suggest enhancements that improve program efficiency.
In the summer of 2007, the Senate passed the Higher Education Amendments of 2007 (S. 1642). The House also passed its version of the Higher Education Act reauthorization bill, called the College Opportunity and Affordability Act of 2007 (HR 4137), paving the way for the legislation to move forward. Now, the Senate and House versions of the reauthorization bill will be reconciled during spring 2008 before a final bill is sent to the President for his signature. The Senate version of the reauthorization bill was approved in early February 2008.
The National Council of Higher Education Loan Programs, Inc. (NCHELP), of which American Student Assistance® (ASA) is a member, developed a side-by-side comparison of the 2 bills so industry partners could compare them.
Additionally, other education access and financing bills currently being discussed by the House and/or Senate are:
- – The Ensuring Continued Access to Student Loans Act of 2008 (H.R. 5715) – a bill introduced by House Rep. George Miller (D-CA) was drafted in response to the current “credit crunch” in the capital markets. This bill ensures that the federal government can step in when banks and student loan companies fail to provide student loans.
- – Strengthening Student Aid for All Act of 2008 (S. 2815) – is the Senate’s version of the above bill, introduced by Sen. Edward Kennedy (D-MA).
- – Emergency Student Loan Market Liquidity Act (H.R. 5723) – a bill introduced by Rep. Paul Kanjorski (D-PA) was drafted as an important, temporary source of liquidity in the student loan marketplace, to help prevent more loan originators from departing the industry, and maintain stability in the existing student loan distribution system.
- – Emergency Student Loan Market Liquidity Act of 2008 (S. 2847) – is the Senate’s version of the above bill, introduced by Sen. John Kerry (D-MA).
