Page:United States Statutes at Large Volume 83.djvu/170

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[83 STAT. 142]
[83 STAT. 142]
PUBLIC LAW 91-000—MMMM. DD, 1969

142

National or regional allowance rates.

Effective date of payment. 82 Stat. 1063. 20 USC 1001 note. Publication in Federal Register.

Discrimination. 79 Stat. 1236. 20 USC 10711087.

Report to Congress. Financial assistance oppoi^ tunities. Regulations by HEW Secretary.

PUBLIC LAW 91-95-OCT. 22, 1969

[83

STAT.

in such, regulation; Tnit no such percentage shalllBe set at a rate in excess of 3 per centum per annum. (2) A determination pursuant to paragraph (1) may be made by the Secretary of Health, Education, and Welfare, on a national, regional, or other appropriate basis and the regulation based thereon may, accordingly, set differing allowance rates for different regions or other areas or classifications of lenders, within the limit of the maximum rate set forth in paragraph (1). (3) For each three-month period with respect to which the Secretary of Health, Education, and Welfare prescribes a si^ecial allowance, the determination required by paragraph (1) shall be made, and the percentage rate applicable thereto shall be set, by promulgation of a new regulation or by amendment to a regulation applicable to a prior period or periods. (4) The special allowance established for any such three-month period shall be payable at such time, after the close of such period, as may be specified by or pursuant to regulations promulgated under this Act. The holder of a loan with respect to which any such allowance is to be paid shall be deemed to have a contractual right, as against the United States, to receive such allowance from the Commissioner. (5) Each regulation or amendment, prescribed under this Act, which establishes a special allowance with respect to a three-month, period specified in the regulation or amendment shall, notwithstanding section 505 of the Higher Education Amendments of 1968, apply to the three-month period immediately preceding the period in which such regulation or amendment is published in the Federal Register, except that the first such regulation may be made effective as of August 1, 1969, and notwithstanding other provisions of this section requiring a three-month period, may be made effective for a period of less than three months. (6)(A) The Secretary of Healtli, Education, and Welfare shall determine, with respect to the student insured loan program as authorized under part B of title IV of the Higher Education Act of 1965 and this Act, whether there are any practices of lending institutions which may result in discrimination against particular classes or categories of students, including the requirement that as a condition to the receipt of a loan the student or his family maintain a business relationship with the lender, the consequences of such requirement, and the practice of refusing to make loans to students for their freshman year of study, and also including any discrimination on the basis of sex, color, creed, or national origin. The Secretary shall make a report with respect to such determination, and his recommendations, to the Congress on or before March 1, 1970. (B) If, after making such determination, the Secretary finds that, in any area, a substantial number of eligible students are denied a fair opportunity to obtain an insured student loan because of practices of lending institutions in the area which limit student participation, (i) he shall take such steps as may be appropriate, after consultation with the appropriate State guarantee agencies and the Advisory Council on Financial Aid to Students, relating to such practices and to encourage the development in such area of a plan to increase the availability of financial assistance opportunities for such students, and (ii) he shall, within sixty days after making such determination, adopt or amend