Page:United States Statutes at Large Volume 122.djvu/767

 12 2 STA T .74 4 PUBLIC LA W 11 0– 227 —M A Y 7, 200 8prog r amunde r this su b se c tion under paragraph (4)’ ’a f ter ‘ ‘under this part’’ and ( B ) in the third sentence , b y inserting ‘‘or to e l igible borro w ers who attend an institution in the S tate that is designated under paragraph (4)’’ after ‘‘problems’’; and (4) by adding at the end the following

‘‘(4) INSTI T U TI O N -W I DE STUDENT Q U AL I F I C ATION .—U pon the re q uest of an institution of higher education and pursuant to standards de v eloped by the Secretary, the Secretary shall designate such institution for participation in the lender-of- last-resort program under this paragraph. If the Secretary des- ignates an institution under this paragraph, the guaranty agency designated for the State in which the institution is located shall ma k e loans, in the same manner as such loans are made under paragraph ( 1 ), to students and parent bor- rowers of the designated institution, regardless of whether the students or parent borrowers are otherwise unable to obtain loans under this part (other than a consolidation loan under section 4 28C ). ‘‘( 5 ) STANDA R DS DE V ELO P ED BY T H E SECRETARY.—In devel- oping standards with respect to paragraph (4), the Secretary may require— ‘‘( A ) an institution of higher education to demonstrate that, despite due diligence on the part of the institution, the institution has been unable to secure the commitment of eligible lenders willing to make loans under this part to a significant number of students attending the institu- tion; ‘‘(B) that, prior to making a request under such para- graph for designation for participation in the lender-of- last-resort program, an institution of higher education shall demonstrate that the institution has met a minimum threshold, as determined by the Secretary, for the number or percentage of students at such institution who have received re j ections from eligible lenders for loans under this part; and ‘‘(C) any other standards and guidelines the Secretary determines to be appropriate. ‘‘( 6 ) EX PIRATION OF AUTHORITY.— T he Secretary’s authority under paragraph (4) to designate institutions of higher edu- cation for participation in the program under this subsection shall e x pire on J une 30, 200 9 . ‘‘( 7 ) EXPIRATION OF DESI G NATION.—The eligibility of an institution of higher education, or borrowers from such institu- tion, to participate in the program under this subsection pursu- ant to a designation of the institution by the Secretary under paragraph (4) shall expire on June 30, 2009. After such date, borrowers from an institution designated under paragraph (4) shall be eligible to participate in the program under this sub- section as such program existed on the day before the date of enactment of the Ensuring Continued Access to Student L oans Act of 2008. ‘‘(8) P ROHIBITION ON INDUCE M ENTS AND MAR K ETING.—Each guaranty agency or eligible lender that serves as a lender- of-last-resort under this subsection— Designat i o n .

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