text: SECTION. 1. SHORT TITLE.
  
      This Act may be cited as the ``Adult Education Instructor 
  Recruitment and Retention Act of 2002''.
  
  SEC. 2. FINDINGS.
  
      The Congress finds the following:
              (1) Adult literacy and remedial education teachers provide 
          adults and out-of-school youths basic skills that equip them to 
          solve problems and become active participants in our society, 
          to hold a job, and to further their education.
              (2) Students in adult literacy and remedial education 
          classes are made up of those who dropped out of school or have 
          passed through the school system without an adequate education. 
          It also includes students who want to take the General 
          Educational Development examination and, increasingly, 
          immigrants whose native language is not English.
              (3) In the year 1998, there were over 4,000,000 students 
          enrolled in adult education programs throughout the United 
          States.
              (4) Nearly one-fourth of the 4,000,000 students enrolled 
          were unemployed. Another 24 percent were working poor. Welfare 
          recipients comprised almost 10 percent of all students in 1998.
              (5) That same year, there were 177,943 adult education 
          instructors. Nearly 23,000 of those were working full-time, 
          with another 69,129 working part-time. The remaining 85,924 
          teachers were volunteers.
              (6) Adult education has been shown to assist persons in 
          achieving job skills and gain or advance in employment. For 
          example, in 1998, over 150,000 adult education students went on 
          to do other training; nearly 300,000 students retained, 
          advanced, or gained employment.
              (7) As employers increasingly require a more literate 
          workforce, workers' demand will grow for all types of literacy 
          and remedial classes.
              (8) A softening economy may require more students to obtain 
          additional education to get a job.
              (9) Adult education instructors often feel they are not as 
          respected by education departments as their general education 
          peers. Funding is generally inadequate, and resources are often 
          old or nonexistent. Funding level changes can cause the number 
          of teaching jobs to fluctuate from year to year.
              (10) Median hourly earnings of adult literacy and remedial 
          education teachers and high school equivalency instructors were 
          $16.12 in 2000. Yet, many adult education teachers have high 
          student loans that they need to repay.
  
  SEC. 3. LOAN FORGIVENESS FOR ADULT EDUCATION INSTRUCTORS.
  
      (a) Guaranteed Student Loans.--Part B of title IV of the Higher 
  Education Act of 1965 is amended by inserting after section 428K (20 
  U.S.C. 1078-11) the following new section:
  
  ``SEC. 428L. LOAN FORGIVENESS FOR ADULT EDUCATION INSTRUCTORS.
  
      ``(a) Purpose.--It is the purpose of this section--
              ``(1) to bring more highly trained individuals into the 
          adult education profession; and
              ``(2) to keep more highly trained adult education 
          instructors in the adult education field for longer periods of 
          time.
      ``(b) Definitions.--In this section:
              ``(1) Adult education facility.--The term `adult education 
          facility' means a facility that provides any of the following 
          types of educational instruction for individuals 16 years old 
          and older:
                      ``(A) Education for adults with limited English 
                  proficiency.
                      ``(B) Adult secondary education.
                      ``(C) Literacy education for older adults.
                      ``(D) Adult basic education programs for adults 
                  with disabilities.
              ``(2) Year.--The term `year', when applied to service as an 
          adult education instructor means any period of 365 consecutive 
          days.
              ``(3) Low-income family.--The term `low-income family' 
          means a low-income family, as determined by the local 
          educational agency for purposes of allocating funds to schools 
          under section 1113(c)(1) of the Elementary and Secondary 
          Education Act of 1965 (20 U.S.C. 6313(c)(1)).
              ``(4) Low-income community.--An adult education facility is 
          serving a low-income community if at least 70 percent of the 
          students enrolled at the facility are from low-income families.
              ``(5) Full-time.--The term `full-time' means employment 
          that includes at least 30 hours per week of adult education 
          teaching.
      ``(c) Program Authorized.--The Secretary shall carry out a program, 
  through the holder of the loan, of assuming the obligation to repay a 
  qualified loan amount for a loan made under section 428 or 428H, in 
  accordance with subsection (d) of this section, for any borrower who--
              ``(1) has been employed as a full-time teacher for 3 
          consecutive years in an adult education facility that serves a 
          low-income community; and
              ``(2) is not in default on a loan for which the borrower 
          seeks forgiveness.
      ``(d) Loan Repayment.--
              ``(1) In general.--The Secretary shall assume the 
          obligation to repay a qualified loan amount for each year of 
          employment described in subsection (c)(1) completed after the 
          date of enactment of this section, but counting consecutive 
          years before or after such date for purposes of determining the 
          number of consecutive years. Such qualified loan amount shall 
          be equal to--
                      ``(A) $500 for the third consecutive year of 
                  employment;
                      ``(B) $1,000 for the fourth consecutive year of 
                  such employment;
                      ``(C) $1,500 for the fifth consecutive year of such 
                  employment; and
                      ``(D) $2,000 for the sixth consecutive year of such 
                  employment.
              ``(2) No refunds.--Nothing in this section shall be 
          construed to authorize the refunding of any repayment of a loan 
          made under this part.
              ``(3) Interest.--If a portion of a loan is repaid by the 
          Secretary under this section for any year, the proportionate 
          amount of interest on such loan which accrues for such year 
          shall be repaid by the Secretary.
              ``(4) Ineligibility of national service award recipients.--
          No student borrower may, for the same service, receive a 
          benefit under both this section and subtitle D of title I of 
          the National and Community Service Act of 1990 (42 U.S.C. 12601 
          et seq.).
      ``(e) Repayment to Eligible Lenders.--The Secretary shall pay to 
  each eligible lender or holder for each fiscal year an amount equal to 
  the aggregate amount of loans which are subject to repayment pursuant 
  to this section for such year.
      ``(f) Application for Repayment.--
              ``(1) In general.--Each eligible individual desiring loan 
          repayment under this section shall submit a complete and 
          accurate application to the Secretary at such time, in such 
          manner, and containing such information as the Secretary may 
          require.
              ``(2) Conditions.--An eligible individual may apply for 
          loan repayment under this section after completing each year of 
          qualifying employment. The borrower shall receive forbearance 
          while engaged in qualifying employment unless the borrower is 
          in deferment while so engaged.
      ``(g) Regulations.--The Secretary is authorized to prescribe such 
  regulations as may be necessary to carry out the provisions of this 
  section.
      ``(h) Authorization of Appropriations.--There are authorized to be 
  appropriated to carry out this section $50,000,000 for fiscal year 
  2003, and such sums as may be necessary for succeeding fiscal years.''.
      (b) Direct Loans.--Part D of title IV of the Higher Education Act 
  of 1965 is amended by inserting after section 460 (20 U.S.C. 1087j) the 
  following new section:
  
  ``SEC. 460A. LOAN FORGIVENESS FOR ADULT EDUCATION INSTRUCTORS.
  
      ``(a) Purpose.--It is the purpose of this section--
              ``(1) to bring more highly trained individuals into the 
          adult education profession; and
              ``(2) to keep more highly trained adult education 
          instructors in the adult education field for longer periods of 
          time.
      ``(b) Definitions.--In this section:
              ``(1) Adult education facility.--The term `adult education 
          facility' means a facility that provides any of the following 
          types of educational instruction for individuals 16 years old 
          and older:
                      ``(A) Education for adults with limited English 
                  proficiency.
                      ``(B) Adult secondary education.
                      ``(C) Literacy education for older adults.
                      ``(D) Adult basic education programs for adults 
                  with disabilities.
              ``(2) Year.--The term `year', when applied to service as an 
          adult education instructor means any period of 365 consecutive 
          days.
              ``(3) Low-income family.--The term `low-income family' 
          means a low-income family, as determined by the local 
          educational agency for purposes of allocating funds to schools 
          under section 1113(c)(1) of the Elementary and Secondary 
          Education Act of 1965 (20 U.S.C. 6313(c)(1)).
              ``(4) Low-income community.--An adult education facility is 
          serving a low-income community if at least 70 percent of the 
          students enrolled at the facility are from low-income families.
              ``(5) Full-time.--The term `full-time' means employment 
          that includes at least 30 hours per week of adult education 
          teaching.
      ``(c) Program Authorized.--The Secretary shall carry out a program 
  of cancelling the obligation to repay a qualified loan amount for 
  Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford 
  Loans in accordance with subsection (d) of this section, for any 
  borrower who--
              ``(1) has been employed as a full-time teacher for 3 
          consecutive years in an adult education facility that serves a 
          low-income community; and
              ``(2) is not in default on a loan for which the borrower 
          seeks forgiveness.
      ``(d) Loan Repayment.--
              ``(1) In general.--The Secretary shall cancel the 
          obligation to repay a qualified loan amount for each year of 
          employment described in subsection (c)(1) completed after the 
          date of enactment of this section, but counting consecutive 
          years before or after such date for purposes of determining the 
          number of consecutive years. Such qualified loan amount shall 
          be equal to--
                      ``(A) $500 for the third consecutive year of 
                  employment;
                      ``(B) $1,000 for the fourth consecutive year of 
                  such employment;
                      ``(C) $1,500 for the fifth consecutive year of such 
                  employment; and
                      ``(D) $2,000 for the sixth consecutive year of such 
                  employment.
              ``(2) No refunds.--Nothing in this section shall be 
          construed to authorize the refunding of any repayment of a loan 
          made under this part.
              ``(3) Interest.--If a portion of a loan is repaid by the 
          Secretary under this section for any year, the proportionate 
          amount of interest on such loan which accrues for such year 
          shall be repaid by the Secretary.
              ``(4) Ineligibility of national service award recipients.--
          No student borrower may, for the same service, receive a 
          benefit under both this section and subtitle D of title I of 
          the National and Community Service Act of 1990 (42 U.S.C. 12601 
          et seq.).
      ``(e) Repayment to Eligible Lenders.--The Secretary shall pay to 
  each eligible lender or holder for each fiscal year an amount equal to 
  the aggregate amount of loans which are subject to repayment pursuant 
  to this section for such year.
      ``(f) Application for Repayment.--
              ``(1) In general.--Each eligible individual desiring loan 
          repayment under this section shall submit a complete and 
          accurate application to the Secretary at such time, in such 
          manner, and containing such information as the Secretary may 
          require.
              ``(2) Conditions.--An eligible individual may apply for 
          loan repayment under this section after completing each year of 
          qualifying employment. The borrower shall receive forbearance 
          while engaged in qualifying employment unless the borrower is 
          in deferment while so engaged.
      ``(g) Regulations.--The Secretary is authorized to prescribe such 
  regulations as may be necessary to carry out the provisions of this 
  section.
      ``(h) Authorization of Appropriations.--There are authorized to be 
  appropriated to carry out this section $50,000,000 for fiscal year 
  2003, and such sums as may be necessary for succeeding fiscal years.''.
target: Adult Education Instructor Recruitment and Retention Act of 2002 - Amends the Higher Education Act of 1965 to establish student loan forgiveness programs for adult education instructors.
feat_title: To amend the Higher Education Act of 1965 to establish student loan forgiveness programs for adult education instructors.