Page:United States Statutes at Large Volume 106 Part 1.djvu/573

 PUBLIC LAW 102-325—JULY 23, 1992 106 STAT. 541 "LOAN FORGIVENESS FOR TEACHERS, INDIVIDUALS PERFORMING NATIONAL COMMUNITY SERVICE AND NURSES "SEC. 428J. (a) STATEMENT OF PURPOSE. — It is the purpose of 20 USC i078-io. this section to encourage individuals to— "(1) enter the teaching and nursing profession; and "(2) perform national and community service. " (b) DEMONSTRATION PROGRAM. — "(1) IN GENERAL.— The Secretary, in consultation with the Secretary of Health and Himian Services, is authorized to carry out a demonstration program of assuming the obligation to repay a loan made, insured or guaranteed under this part (excluding loans made under sections 428A, 428B, or 428C) for any new borrower after October 1, 1992, who— "(A) is employed as a full-time teacher— "(i) in a school which qualifies under section 465(a)(2)(A) for loan cancellation for Perkins loan recipients who teach in such schools; and "(ii) of mathematics, science, foreign languages, special education, bilingual education, or any other field of expertise where the State educational agency determines there is a shortage of qualified teachers; "(B) agrees in writing to volunteer for service under the Peace Corps Act or under the Domestic Volunteer Service Act of 1973, or to perform comparable service as a fuU-time employee of an organization which is exempt from taxation under section 501(c)(3) of the Internal Revenue Code of 1986, if the borrower does not receive compensation Arhich exceeds the greater of— "(i) the minimum wage rate described in section 6 of the Fair Labor Standards Act of 1938; or "(ii) an amount equal to 100 percent of the poverty line for a family of two (as defined in section 673(2) of the Community Services Block Grant Act); or "(C) is employed full-time as a nurse in a public hospital, a rural health cUnic, a migrant health center, an Indian Health Service, an Indian health center, a Native Hawaiian health center or in an acute care or long-term care facility. "(2) REGULATIONS.—The Secretary is authorized to issue such regulations as may be necessary to carry out the provisions of this section. "(c) LOAN REPAYMENT.— "(1) IN GENERAL. — The Secretary shall assume the obligation to repay— "(A) 15 percent of the total amount of Stafford loans incurred by the student borrower during such borrower's last 2 years of undergraduate education for the first or second academic year in which such borrower meets the requirements described in subsection (a); "(B) 20 percent of such total amount for such third or fourth academic year; and "(C) 30 percent of such total amount for such fifth academic year. "(2) CONSTRUCTION.— Nothing in this subsection shall be construed to authorize the refunding of any repayment of a Stafford loan.

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