Page:United States Statutes at Large Volume 107 Part 3.djvu/530

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107 STAT. 2468 PUBLIC LAW 103-208—DEC. 20, 1993 20 USC 1083. (53) in the matter preceding paragraph (1) of section 433(b), by striking "60 days" and inserting "30 days"; (54) in section 433(e), by striking "section 428A, 428B," and inserting "sections 428A, 428B,"; 20 USC 1085. ^ (55) in section 435(a), by inserting after paragraph (2) the following new paragraph: "(3) APPEALS BASED UPON ALLEGATIONS OF IMPROPER LOAN SERVICING.— An institution that— "(A) is subject to loss of eligibility for the Federal Family Education Loan Program pursuant to paragraph (2)(A) of this subsection; "(B) is subject to loss of eligibility for the Federal Supplemental Loans for Students pursuant to section 428A(a)(2); or ,• "(C) is an institution whose cohort default rate equals or exceeds 20 percent for the most recent year for which data are available; may include in its appeal of such loss or rate a defense based on improper loan servicing (in addition, to other defenses). In any such appeal, the Secretary shall take whatever steps are necessary to ensure that such institution has access to a representative sample (as determined by the Secretary) of the relevant loan servicing and collection records of the afTected guaranty agencies and loan servicers for a reasonable period of time, not to exceed 30 days. The Secretary shall reduce the institution's cohort default rate to reflect the percentage of defaulted loans in the representative sample that are required to be excluded pursuant to subsection (m)(l)(B)."; (56) in section 435(d)(2)(D), by striking "lender; and" and inserting "lender;"; (57) in section 435(d)(2), by increasing the indentation of the matter following subparagraph (F) by two em spaces; (58) in section 435(d)(3), by striking "435(o)" and inserting " 435(m)"; (59) in section 435(m)(l)(A), by striking "428 or 428A" and inserting "428, 428A, or 428H,"; (60) in section 435(m)— (A) by inserting at the end of paragraph (1)(A) the following new sentence: 'The Secretary shall require that each guaranty agency that has insured loans for current or former students of the institution afford such institution a reasonable opportunity (as specified by the Secretary) to review and correct errors in the information required to be provided to the Secretary by the guaranty agency for the purposes of calculating a cohort default rate for such institution, prior to the calculation of such rate."; (B) in paragraph (1)(B), by striking "and, in calculating" and all that follows through the period at the end thereof and inserting the following: "and, in considering appeals with respect to cohort default rates pursuant to subsection (a)(3), exclude any loans which, due to improper servicing or collection, would, as demonstrated by the evidence submitted in support of the institution's timely appeal to the Secretary, result in an inaccurate or incomplete calculation of such cohort default rate."; (61) in section 435(m)(2)(D)—