119-s308

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 308 Introduced in Senate

    (IS) ]

<DOC>

119th CONGRESS
 1st Session
 S. 308

 To modify the annual and aggregate limits of Federal Unsubsidized 
Stafford Loans for graduate and professional students, and to terminate 
 Federal Direct PLUS Loans for graduate and professional students, and 
 for other purposes.

_______________________________________________________________________

 IN THE SENATE OF THE UNITED STATES

 January 29, 2025

 Mr. Tuberville (for himself and Mr. Cassidy) introduced the following 
 bill; which was read twice and referred to the Committee on Health, 
 Education, Labor, and Pensions

_______________________________________________________________________

 A BILL

 To modify the annual and aggregate limits of Federal Unsubsidized 
Stafford Loans for graduate and professional students, and to terminate 
 Federal Direct PLUS Loans for graduate and professional students, and 
 for other purposes.

 Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

 This Act may be cited as the ``Graduate Opportunity and Affordable 
Loans Act''.

SEC. 2. LOAN REFORMS.

 

Section 455 of the Higher Education Act of 1965 (20 U.S.C.1087e) is 
amended--

    (1) in subsection

    (a) --
        (A) in paragraph

    (3)
        (A) --
            (i) in the matter preceding clause
            (i) , by 
 striking ``part B'' and inserting ``part B--''
            (ii) beginning in the matter preceding 
 clause
            (i) , by striking ``for any period'' and 
 all that follows through ``professional 
 student'' and inserting the following:
 ``
            (i) for any period of instruction 
 beginning on or after July 1, 2012, a graduate 
 or professional student''; and
            (iii) in clause
            (ii) , by inserting ``for 
 any period of instruction beginning on July 1, 
 2012 and ending on June 30, 2025 (subject to 
 paragraph

    (4)
            (C) ),'' before ``the maximum 
 annual''; and
        (B) by adding at the end the following:
 ``

    (4) Graduate and professional annual and aggregate limits 
 for unsubsidized stafford loans beginning july 1, 2025.--
 ``
        (A) Annual limits beginning july 1, 2025.--
 Subject to subparagraph
            (C) , beginning on July 1, 2025, 
 the maximum annual amount of Federal Direct 
 Unsubsidized Stafford loans--
 ``
            (i) a graduate student, who is not a 
 professional student, may borrow in any 
 academic year (as defined in 

section 481

    (a)

    (2) ) 
 or its equivalent shall be $20,500; and
 ``
            (ii) a professional student may borrow in 
 any academic year (as defined in 

section 481

    (a)

    (2) ) or its equivalent shall be $40,500.
 ``
        (B) Aggregate limits beginning july 1, 2025.--
 Subject to subparagraph
            (C) , beginning on July 1, 2025, 
 the maximum aggregate amount of Federal Direct 
 Unsubsidized Stafford loans--
 ``
            (i) a graduate student, who is not a 
 professional student, may borrow is $65,000, in 
 addition to the amount borrowed for 
 undergraduate education; and
 ``
            (ii) a professional student may borrow is 
 $130,000, in addition to the amount borrowed 
 for undergraduate education.
 ``
            (C) Phase out provisions.--Notwithstanding the 
 date of the applicability of the limits set forth in 
 this paragraph, an eligible graduate student, including 
 a professional student, who received a disbursement of 
 a Federal Direct Unsubsidized Stafford loan after June 
 30, 2024, and before July 1, 2025, for the 2024-2025 
 award year, may receive a Federal Direct Unsubsidized 
 Stafford loan for the 2025-2026 award year in amounts 
 that are subject to the annual and aggregate loan 
 limits applicable prior to July 1, 2025, if the 
 borrower did not graduate prior to the 2025-2026 award 
 year.
 ``
            (D) === Definitions. ===
-In this paragraph:
 ``
            (i) Graduate student.--The term `graduate 
 student' means a student enrolled in a program 
 at the postbaccalaureate level, such as a 
 postbaccalaureate certificate, a master's 
 degree, or a doctor's degree.
 ``
            (ii) Professional student.--The term 
 `professional student' means a student enrolled 
 in a doctor's degree-professional practice 
 program.
 ``
            (iii) Postbaccalaureate certificate; 
 master's degree; doctor's degree; doctor's 
 degree professional-practice.--The terms 
 `postbaccalaureate certificate', `master's 
 degree', `doctor's degree', and `doctor's 
 degree professional-practice' shall have the 
 meaning provided in the 2022-2023 glossary of 
 the Integrated Postsecondary Education Data 
 System (OMB NO. 1859-0582 v. 30).
 ``

    (5) Termination of authority to make federal direct plus 
 loans to graduate and professional students.--
 ``
        (A) In general.--Notwithstanding any other 
 provision of law, for any period of instruction 
 beginning on or after July 1, 2025, a graduate student 
 (including a professional student) shall not be 
 eligible to receive a Federal Direct PLUS Loan under 
 this part for enrollment in a program of graduate or 
 doctor's degree professional-practice education.
 ``
        (B) Phase out provisions.--Not later than 30 days 
 after the date of enactment of the Graduate Opportunity 
 and Affordable Loans Act, each institution of higher 
 education that enrolls graduate students or 
 professional students shall notify prospective and 
 enrolled graduate students and professional students 
 that the Federal Direct PLUS Loan program will end for 
 graduate students and professional students on June 30, 
 2025.
 ``
            (C) === Definitions. ===
-The definitions in paragraph

    (4)
            (D) shall apply to this paragraph.
 ``

    (6) Institutionally-determined limits.--Notwithstanding 
 any other provision of this part, an eligible institution (at 
 the discretion of a financial aid administrator at the 
 institution) may prorate or limit the amount of a loan a 
 student who is enrolled in a program of study at that 
 institution for a period of instruction beginning on or after 
 July 1, 2025, may borrow under this part for an academic year, 
 as long as any proration or limit is applied consistently to 
 all borrowers entering such program of study.''.
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