Page:United States Statutes at Large Volume 122.djvu/3280

 12 2 STA T .3 2 57PUBLIC LA W 11 0– 315 — AU G .1 4, 200 8includ in g:( i )fo u r-yea r p u b lic in st itutions (ii) four-year pri v ate nonprofit institutions; (iii) t w o-year public institutions; (iv) two- year private nonprofit institutions; (v) four-year proprietary institutions; (vi) two-year proprietary institutions; and (vii) less t h an two-year proprietary institutions .F or purposes of this subparagraph , for any fiscal year in which one or m ore current and former students at an institution enter repayment on loans under section 428, 428 B ,or428 H , received for attendance at the institution, the S ecretary shall publish the percentage of those current and former students who enter repayment on such loans (or on the portion of a loan made under section 428 C that is used to repay any such loans) received for attend- ance at the institution in that fiscal year who default before the end of each succeeding fiscal year. ’ ’. (2) EF F ECTIV E DA TEA N DT R AN S ITI O N. — ( A ) EFFECTIVE DATE.— T he amendments made by para- graph ( 1 ) shall ta k e effect for purposes of calculating cohort default rates for fiscal year 2 0 0 9 and succeeding fiscal years. (B) TRANSITION.— N otwithstanding subparagraph (A), the method of calculating cohort default rates under section 4 35 (m) of the Higher Education Act of 19 6 5 as in effect on the day before the date of enactment of this Act shall continue in effect, and the rates so calculated shall be the basis for any sanctions imposed on institutions of higher education because of their cohort default rates, until three consecutive years of cohort default rates calculated in accordance with the amendments made by paragraph (1) are available. SEC.437 . DI SC HARG EA N D CANCE L LA T I O N RIGHTS IN CASES O F DIS - A B ILIT Y . (a) FFE L AND D IRECT LOANS.—Section 43 7 (a) (20 U .S.C. 1087(a)) is amended— (1) by striking ‘ ‘(a) R E P A YM ENTINF UL L FOR DEAT H AND DISA B ILITY.— I f a’’ and inserting the following: ‘‘(a) REPAYMENT IN FULL FOR DEATH AND DISABILITY.— ‘‘(1) IN G ENERAL.—If a’’; (2) by inserting ‘‘, or if a student borrower who has received such a loan is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be e x pected to result in death, has lasted for a continuous period of not less than 60 months, or can be expected to last for a continuous period of not less than 60 months’’ after ‘‘of the Secretary),’’; and (3) by adding at the end the following: ‘‘The Secretary may develop such safeguards as the Secretary determines nec- essary to prevent fraud and abuse in the discharge of liability under this subsection. Notwithstanding any other provision of this subsection, the Secretary may promulgate regulations to reinstate the obligation of, and resume collection on, loans discharged under this subsection in any case in which— ‘‘(A) a borrower received a discharge of liability under this subsection and after the discharge the borrower— ‘‘(i) receives a loan made, insured, or guaranteed under this title; or 20USC1 0 85note.Publica tion.

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