Page:United States Statutes at Large Volume 82.djvu/1066

 1024

Repeal. 20 USC 1078. 79 Stat. 1247. 20 USC 1084. 80 Stat. 1244. 20 USC 1086. Repeal. 79 Stat. 1037. 20 USC 981 note. 20 USC 992. 79 Stat. 1245. 20 USC 1081.

20 USC 1083.

PUBLIC LAW 90-575-OCT. 16, 1968

[82

STAT.

side the States approved for this purpose by the Commissioner" and inserting in lieu thereof "eligible institution"! (3) Section 428(a)(6) of such Act is repealed. (4) Section 434 of such Act is amended by striking out "10 per centum" and inserting in lieu thereof "15 per centum". (5) Section 436(a) of such Act is amended by striking out "title and the National Vocational Student Loan Insurance Act of 1965" and inserting in lieu thereof "part". (c)(1) The National Vocational Student Loan Insurance Act of 1965 is repealed. (2) All assets and liabilities of the vocational student loan insurance fund established by section 13 of the National Vocational Student Loan Insurance Act of 1965, matured or contingent, shall be transferred to, and become assets and liabilities of, the student loan insurance fund established by section 431 of the Higher Education Act of 1965. Payments in connection with defaults of loans made on or after the sixtieth day after the date of enactment of this Act and insured by the Commissioner (under the authority of subsection (e)(3) or (e)(4) of this section) under the National Vocational Student Loan Insurance Act of 1965 shall be paid out of the fund established by such section 431. (d) Section 433 of the Higher Education Act of 1965 is amended to read as follows: "DIRECT LOANS

20 USC 1077.

Appropriation authorization. Effective date.

Ante, pp. 634, 635.

"SEC. 433. (a) The Commissioner may make a direct loan to any student who would be eligible for an insured loan for study at a vocational school under this part if (1) in the particular area in which the student resides loans which are insurable under this Act are not available at the rate of interest prescribed by the Secretary pursuant to section 427(a)(2)(D) for such area, or (2) the particular student has been unable to obtain an insured loan at a rate of interest which does not exceed such rate prescribed by the Secretary. "(b) Loans made under this section shall bear interest at the rate prescribed by the Secretary under section 427(a)(2)(D) for the area where the student resides, and shall be made on such other terms and conditions as the Commissioner shall prescribe, which shall conform as nearly as practicable to the terms and conditions of loans insured under this Act. " (c) There is authorized to be appropriated the sum of $1,000,000 for the fiscal year ending June 30, 1969 and for each of the two succeeding fiscal years to carry out this section." (e)(1) Except as provided in paragraphs (2), (3), and (4): (A) This section (and any amendment or repeal made thereby) shall apply to loans made on or after the sixtieth day after the date of enactment of this Act; and the terminal date applicable under the first sentence of section 5(a), under section 9(a)(2)(B), and under section 9(a)(4) of the National Vocational Student Loan Insurance Act shall, instead of October 31, 1968, be deemed to be (i) the day immediately preceding such sixtieth day, or (ii) with respect to any particular lender or State or nonprofit private agency to which paragraph (3) relates, the last day of the period required for modification or termination of, or refusal to extend, the Commissioner's agreements with such agency. (B) I n computing the maximum amounts which may be borrmved by a student who obtains an insured loan on or after such sixtieth day, and the minimum amounts of repayment allowable with respect to sums borrowed by such a student, there shall be included all loans, whenever made, (i) insured by the Commissioner, or a State, institution, or organization with which the

�