Page:United States Statutes at Large Volume 112 Part 5.djvu/818

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112 STAT. 3576 PUBLIC LAW 105-392—NOV. 13, 1998 "(2) PROHIBITION.— Notwithstanding any other provision of Federal or State law, no limitation shall terminate the period within which suit may be filed, a judgment may be enforced, or an offset, garnishment, or other action may be initiated or taken by a school of nursing that has an agreement with the Secretary pursuant to section 835 that is seeking the repay- ment of the amount due from a borrower on a loan made under this subpart after the default of the borrower on such loan.". 42 USC 297b (2) EFFECTIVE DATE.—The amendment made by paragraph note. (1) shall be effective with respect to actions pending on or after the date of enactment of this Act. (d) BREACH OF AGREEMENTS.— Section 846 of the Public Health Service Act (42 U.S.C. 297n) is amended by adding at the end thereof the following new subsection: "(h) BREACH OF AGREEMENT.— "(1) IN GENERAL.— In the case of any program under this section under which an individual makes an agreement to provide health services for a period of time in accordance with such program in consideration of receiving an award of Federal funds regarding education as a nurse (including an award for the repayment of loans), the following applies if the agreement provides that this subsection is applicable: "(A) In the case of a program under this section that makes an award of Federal funds for attending an accredited program of nursing (in this section referred to as a 'nursing program'), the individual is liable to the Federal Government for the amount of such award (including amounts provided for expenses related to such attendance), and for interest on such amount at the maximum legal prevailing rate, if the individual— "(i) fails to maintain an acceptable level of academic standing in the nursing program (as indicated by the program in accordance with requirements established by the Secretary); "(ii) is dismissed from the nursing program for disciplinary reasons; or "(iii) voluntarily terminates the nursing program. "(B) The individual is liable to the Federal Government for the amount of such award (including amounts provided for expenses related to such attendance), and for interest on such amount at the maximum legal prevailing rate, if the individual fails to provide health services in accordance with the program under this section for the period of time applicable under the program. "(2) WAIVER OR SUSPENSION OF LIABILITY. — In the case of an individual or health facility making an agreement for purposes of paragraph (1), the Secretary shall provide for the waiver or suspension of liability under such subsection if compliance by the individual or the health facility, as the case may be, with the agreements involved is impossible, or would involve extreme hardship to the individual or facility, and if enforcement of the agreements with respect to the individual or facility would be unconscionable. "(3) DATE CERTAIN FOR RECOVERY.— Subject to paragraph (2), any amount that the Federal Government is entitled to recover under paragraph (1) shall be paid to the United States