H.R. 5084

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5084 Introduced in House (IH)]

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119th CONGRESS
1st Session
H. R. 5084

To amend the Higher Education Act of 1965 to provide undergraduate 
student loan forgiveness for public school teachers who provide 8 years 
of consecutive teaching service.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

September 2, 2025

Mr. Fields introduced the following bill; which was referred to the 
Committee on Education and Workforce, and in addition to the Committee 
on Ways and Means, for a period to be subsequently determined by the 
Speaker, in each case for consideration of such provisions as fall 
within the jurisdiction of the committee concerned

_______________________________________________________________________

A BILL

To amend the Higher Education Act of 1965 to provide undergraduate 
student loan forgiveness for public school teachers who provide 8 years 
of consecutive teaching service.

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 ``Teacher Loan Forgiveness Enhancement 
Act''.

SEC. 2. PUBLIC SCHOOL TEACHER LOAN FORGIVENESS FOR UNDERGRADUATE LOANS.

Part G of title IV of the Higher Education Act of 1965 (20 U.S.C. 
1088 et seq.) is amended by adding at the end the following:

``SEC. 494A. PUBLIC SCHOOL TEACHER LOAN FORGIVENESS FOR UNDERGRADUATE 
LOANS.

``(a) In General.--The Secretary shall forgive, in accordance with 
this section, the eligible Federal undergraduate loans of a borrower 
who has been employed full-time as a public school teacher for at least 
8 consecutive years.
``(b) Method of Loan Forgiveness.--To forgive eligible Federal 
undergraduate loans under this section, the Secretary shall carry out a 
program--
``(1) through the holder of the loan, to assume the 
obligation to repay such a loan that is made, insured, or 
guaranteed under part B of this title;
``(2) to cancel such a loan that is made under this part; 
and
``(3) to cancel such a loan made under part E, and to make 
payments to institutions of higher education for an amount 
equal to the aggregate of the amounts of loans from its student 
loan fund which are canceled pursuant to this section, in 
accordance with the requirements of section 465(b).
``(c) Loan Forgiveness Amounts.--Upon completion by a borrower of 
the 8 consecutive years of employment described in subsection (a), the 
Secretary shall forgive, in accordance with subsection (b), the balance 
of principal and interest due as of the time of such forgiveness, on 
the eligible Federal undergraduate loans of the borrower.
``(d) Loan Forgiveness Not Taxable Income.--The amount of a loan, 
including interest on a loan, forgiven under this section shall not be 
considered income for purposes of the Internal Revenue Code of 1986.
``(e) Double Benefits Authorized.--An borrower may, for the same 
service, receive a benefit under both this section and--
``(1) section 428K;
``(2) section 460;
``(3) section 455(m); or
``(4) subtitle D of title I of the National and Community 
Service Act of 1990 (42 U.S.C. 12601 et seq.).
``(f) Definitions.--In this section:
``(1) Eligible federal undergraduate loan.--The term 
`eligible Federal undergraduate Loan' means any loan made, 
insured, or guaranteed under part B, this part, or part E that 
is attributable to an undergraduate course or program of study.
``(2) ESEA terms.--The terms `elementary school' and 
`secondary school' have the meanings given such terms in 
section 8101 of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 7801).
``(3) Public school teacher.--The term `public school 
teacher' means a teacher at a public elementary school or 
public secondary school.''.

SEC. 3. DEFERMENT FOR PUBLIC SCHOOL TEACHERS.

(a) Federal Direct Loans.--Section 455(f) of the Higher Education 
Act of 1965 (20 U.S.C. 1087e(f)) is amended--
(1) by redesignating paragraphs (6) and (7) as paragraphs 
(7) and (8), respectively; and
(2) by inserting after paragraph (5) the following:
``(6) Deferment for borrowers while serving as a public 
school teacher.--
``(A) Effect on principal and interest.--A borrower 
of a loan made under this part who meets the 
requirements of subparagraph (B) shall be eligible for 
a deferment, during which periodic installments of 
principal need not be paid, and interest shall not 
accrue.
``(B) Eligibility.--A borrower of a loan made under 
this part shall be eligible for a deferment during--
``(i) any period in which such borrower is 
serving as a public school teacher (as defined 
in section 494A); and
``(ii) the 6 months after such period.
``(C) Applicability.--This paragraph shall apply 
with respect to loans--
``(i) made on or after the date of the 
enactment of this paragraph; or
``(ii) in repayment on the date of the 
enactment of this paragraph.''.
(b) FFEL Loans.--
(1) Section 427(a)(2)(C) of the Higher Education Act of 
1965 (20 U.S.C. 1077(a)(2)(C)) is amended--
(A) in clause (iii), by striking ``or'' at the end;
(B) in clause (iv), by striking the period at the 
end and inserting ``; or''; and
(C) by inserting after clause (iv), as so amended, 
the following:
``(v) during which the borrower is serving 
as a public school teacher (as defined in 
section 494A) and the 6 months after such 
period;''.
(2) Section 428(b)(1)(M) of the Higher Education Act of 
1965 (20 U.S.C. 1077(b)(1)(M)) is amended--
(A) in clause (iv), by striking ``or'' at the end;
(B) in clause (v), by inserting ``or'' at the end; 
and
(C) by adding at the end the following:
``(vi) during which the borrower is serving 
as a public school teacher (as defined in 
section 494A) and the 6 months after such 
period;''.
(c) Perkins Loans.--Section 464(c)(2)(A) of the Higher Education 
Act of 1965 (20 U.S.C. 1087dd(c)(2)(A))--
(1) in clause (v), by striking ``or'' at the end;
(2) in clause (vi), by adding ``or'' at the end; and
(3) by inserting after clause (vi), as so amended, the 
following:
``(vii) during which the borrower is 
serving as a public school teacher (as defined 
in section 494A) and the 6 months after such 
period;''.

SEC. 4. AUTHORIZATION OF DISCLOSURE BY SECRETARY OF THE TREASURY.

(a) In General.--Section 6103(l)(13) of the Internal Revenue Code 
of 1986 is amended by adding at the end the following new subparagraph:
``(G) Public teacher loan forgiveness.--The 
Secretary shall, upon written request from the 
Secretary of Education, disclose to any authorized 
person, only for the purpose of (and to the extent 
necessary in) discharging loans under section 494A the 
Higher Education Act of 1965, the following return 
information from returns (for any taxable year 
specified by the Secretary of Education as relevant to 
such purpose) of an individual:
``(i) The return information described in 
clauses (i) and (vi) of subparagraph (A).
``(ii) The employer identification number 
of each employer employing the individual 
during a specified taxable year.
``(iii) Verification of whether an 
individual was employed by an employer during a 
specified taxable year.
``(iv) The name of each employer employing 
the individual during a specified taxable year.
``(v) The type indicator of the employer 
employing the individual during a specified 
taxable year.''.
(b) Conforming Amendments.--
(1) Section 6103(p) of such Code is amended--
(A) in paragraph (3)(A), by inserting ``(13)(G),'' 
before ``(14)'', and
(B) in paragraph (4) by inserting ``(13)(G),'' 
after ``(13)(D)(i),'' each place it appears.
(2) Section 7213(a)(2) of such Code is amended by inserting 
``(13)(G),'' after ``(10), (12),''.
(c) Effective Date.--The amendments made by this section shall 
apply to disclosures made on or after the date of the enactment of this 
Act.
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