Title 20, EducationRelease 119-110
§1078–11 Loan Forgiveness for Service in Areas of National Need
Title 20 › CHAPTER 28 — HIGHER EDUCATION RESOURCES AND STUDENT ASSISTANCE › SUBCHAPTER IV — STUDENT ASSISTANCE › Part B — Federal Family Education Loan Program › § 1078–11
Summary
The Secretary will forgive part of a borrower’s federal student loan if the borrower works full‑time in certain jobs the law calls “areas of national need” and is not behind on the loan. The Secretary can either have the loan holder take over repayment for eligible loans or cancel certain loans directly. For each full year of qualifying full‑time work done on or after August 14, 2008, up to $2,000 of the borrower’s loan may be forgiven. A borrower can get no more than $10,000 total and no more than five years of forgiveness. Forgiveness is given in the order requests are received and only if money has been provided by Congress. The Secretary can make rules to run the program. A borrower cannot get a refund of money they already paid, and the same service cannot be used to get loan reductions under this law and under sections 1078–10, 1078–12, 1087e(m), or 1087j. Jobs that count include many education and health roles and some public service work: early childhood teachers, nurses, foreign language teachers, librarians in high‑need areas, teachers who serve limited‑English or low‑income students or are from underrepresented groups, child welfare workers, speech‑language pathologists and audiologists, school counselors, public safety and emergency workers, public health workers, public interest lawyers, WIC dieticians, certain medical trainees in specialties with shortages, mental health professionals, dentists and dental faculty, STEM employees, physical and occupational therapists serving children/adolescents/veterans, school leaders in high‑need districts, and allied health professionals working in public health or shortage areas. Key terms in the law are defined briefly: early childhood educator (works with kids 0–5 in eligible programs), eligible preschool or early childhood program (licensed programs serving young children), low‑income community (area meeting set income rules or with a qualifying school), nurse (licensed nursing graduate), allied health professional (has a related degree and works in public health or shortage settings), and the listed therapist and specialist titles (require the degrees and credentials noted in the law). Funding was authorized for fiscal year 2009 and the five years after that.
Full Legal Text
Title 20, §1078–11
Education, Source: USLM XML via OLRC
(a)Program authorized
(1)Loan forgiveness authorized
The Secretary shall forgive, in accordance with this section, the qualified loan amount described in subsection (c) of the student loan obligation of a borrower who—
(A)is employed full-time in an area of national need, as described in subsection (b); and
(B)is not in default on a loan for which the borrower seeks forgiveness.
(2)Method of loan forgiveness
To provide loan forgiveness under paragraph (1), the Secretary is authorized to carry out a program—
(A)through the holder of the loan, to assume the obligation to repay a qualified loan amount for a loan made, insured, or guaranteed under this part (other than an excepted PLUS loan or an excepted consolidation loan (as such terms are defined in section 1098e(a) of this title)); and
(B)to cancel a qualified loan amount for a loan made under part D of this subchapter (other than an excepted PLUS loan or an excepted consolidation loan).
(3)Regulations
The Secretary is authorized to issue such regulations as may be necessary to carry out this section.
(b)Areas of national need
For purposes of this section, an individual is employed in an area of national need if the individual meets the requirements of one of the following:
(1)Early childhood educators
The individual is employed full-time as an early childhood educator.
(2)Nurses
The individual is employed full-time—
(A)as a nurse in a clinical setting; or
(B)as a member of the nursing faculty at an accredited school of nursing (as those terms are defined in section 296 of title 42).
(3)Foreign language specialists
The individual—
(A)has obtained a baccalaureate or advanced degree in a critical foreign language; and
(B)is employed full-time—
(i)in an elementary school or secondary school as a teacher of a critical foreign language;
(ii)in an agency of the United States Government in a position that regularly requires the use of such critical foreign language; or
(iii)in an institution of higher education as a faculty member or instructor teaching a critical foreign language.
(4)Librarians
The individual is employed full-time as a librarian in— (A)
(B)a school that qualifies under section 1087ee(a)(2)(A) of this title for loan cancellation for Perkins loan recipients who teach in such a school.
(5)Highly qualified teachers serving students who are limited English proficient, low-income communities, and underrepresented populations
The individual—
(A)is highly qualified, as such term is defined in section 9101 of the Elementary and Secondary Education Act of 1965 [20 U.S.C. 7801]; and
(B)is employed full-time—
(i)as a teacher educating students who are limited English proficient;
(ii)as a teacher in a school that qualifies under section 1087ee(a)(2)(A) of this title for loan cancellation for Perkins loan recipients who teach in such a school;
(iii)as a teacher and is an individual from an underrepresented population in the teaching profession, as determined by the Secretary; or
(iv)as a teacher in an educational service agency, as such term is defined in section 7801 of this title.
(6)Child welfare workers
The individual—
(A)has obtained a degree in social work or a related field with a focus on serving children and families; and
(B)is employed full-time in public or private child welfare services.
(7)Speech-language pathologists and audiologists
The individual—
(A)is employed full-time as a speech-language pathologist or audiologist in an eligible preschool program or a school that qualifies under section 1087ee(a)(2)(A) of this title for loan cancellation for Perkins loan recipients who teach in such a school; and
(B)has, at a minimum, a graduate degree in speech-language pathology, audiology, or communication sciences and disorders.
(8)School counselors
The individual—
(A)is employed full-time as a school counselor who has documented competence in counseling children and adolescents in a school setting and who—
(i)is licensed by the State or certified by an independent professional regulatory authority;
(ii)in the absence of such State licensure or certification, possesses national certification in school counseling or a specialty of counseling granted by an independent professional organization; or
(iii)holds a minimum of a master’s degree in school counseling from a program accredited by the Council for Accreditation of Counseling and Related Educational Programs or the equivalent; and
(B)is so employed in a school that qualifies under section 1087ee(a)(2)(A) of this title for loan cancellation for Perkins loan recipients who teach in such a school.
(9)Public sector employees
The individual is employed full-time in— (A)
(B)emergency management (including as an emergency medical technician);
(C)public health (including full-time professionals engaged in health care practitioner occupations and health care support occupations, as such terms are defined by the Bureau of Labor Statistics); or
(D)public interest legal services (including prosecution, public defense, or legal advocacy in low-income communities at a nonprofit organization).
(10)Nutrition professionals
The individual—
(A)is a licensed, certified, or registered dietician who has completed a degree in a relevant field; and
(B)is employed full-time as a dietician with an agency of the special supplemental nutrition program for women, infants, and children under section 1786 of title 42.
(11)Medical specialists
The individual—
(A)has received a degree from a medical school at an institution of higher education; and
(B)has been accepted to, or currently participates in, a full-time graduate medical education training program or fellowship (or both) to provide health care services (as recognized by the Accreditation Council for Graduate Medical Education) that—
(i)requires more than five years of total graduate medical training; and
(ii)has fewer United States medical school graduate applicants than the total number of positions available in such program or fellowship.
(12)Mental health professionals
The individual—
(A)has not less than a master’s degree in social work, psychology, or psychiatry; and
(B)is employed full-time providing mental health services to children, adolescents, or veterans.
(13)Dentists
The individual—
(A)(i)has received a degree from an accredited dental school (as accredited by the Commission on Dental Accreditation);
(ii)has completed residency training in pediatric dentistry, general dentistry, or dental public health; and
(iii)is employed full-time as a dentist; or
(B)is employed full-time as a member of the faculty at a program or school accredited by the Commission on Dental Accreditation.
(14)STEM employees
The individual is employed full-time in applied sciences, technology, engineering, or mathematics.
(15)Physical therapists
The individual—
(A)is a physical therapist; and
(B)is employed full-time providing physical therapy services to children, adolescents, or veterans.
(16)Superintendents, principals, and other administrators
The individual is employed full-time as a school superintendent, principal, or other administrator in a local educational agency, including in an educational service agency, in which 30 percent or more of the schools are schools that qualify under section 1087ee(a)(2)(A) of this title for loan cancellation for Perkins loan recipients who teach in such a school.
(17)Occupational therapists
The individual is an occupational therapist and is employed full-time providing occupational therapy services to children, adolescents, or veterans.
(18)Allied health professionals
The individual is employed full-time as an allied health professional—
(A)in a Federal, State, local, or tribal public health agency; or
(B)in a setting where patients might require health care services, including acute care facilities, ambulatory care facilities, personal residences and other settings located in health professional shortage areas, medically underserved areas, or medically underserved populations, as recognized by the Secretary of Health and Human Services.
(c)Qualified loan amount
(1)In general
Subject to paragraph (2), for each school, academic, or calendar year of full-time employment in an area of national need described in subsection (b) that a borrower completes on or after August 14, 2008, the Secretary shall forgive not more than $2,000 of the student loan obligation of the borrower that is outstanding after the completion of each such school, academic, or calendar year of employment, respectively.
(2)Maximum amount
The Secretary shall not forgive more than $10,000 in the aggregate for any borrower under this section, and no borrower shall receive loan forgiveness under this section for more than five years of service.
(d)Priority
The Secretary shall grant loan forgiveness under this section on a first-come, first-served basis, and subject to the availability of appropriations.
(e)Rule of construction
Nothing in this section shall be construed to authorize the refunding of any repayment of a loan.
(f)Ineligibility for double benefits
No borrower may, for the same service, receive a reduction of loan obligations under both this section and section 1078–10, 1078–12, 1087e(m), or 1087j of this title.
(g)Definitions
In this section: (1) Allied health professional
(2)Audiologist
The term “audiologist” means an individual who—
(A)has received, at a minimum, a graduate degree in audiology from an institution of higher education accredited by an agency or association recognized by the Secretary pursuant to section 1099b(a) of this title; and
(ii)meets or exceeds the qualifications for a qualified audiologist under subsection (ll)(4) of such section.
(3)Early childhood educator (4) Eligible preschool program
The term “early childhood educator” means an individual who—
(A)works directly with children in an eligible preschool program or eligible early childhood education program in a low-income community;
(B)is involved directly in the care, development, and education of infants, toddlers, or young children age five and under; and
(C)has completed a baccalaureate or advanced degree in early childhood development or early childhood education, or in a field related to early childhood education.
(5)Eligible early childhood education program
The term “eligible early childhood education program” means—
(A)a family child care program, center-based child care program, State prekindergarten program, school program, or other out-of-home early childhood development care program, that—
(i)is licensed or regulated by the State; and
(ii)serves two or more unrelated children who are not old enough to attend kindergarten;
(B)a Head Start Program carried out under the Head Start Act (42 U.S.C. 9831 et seq.); or
(C)an Early Head Start Program carried out under section 645A of the Head Start Act (42 U.S.C. 9840a).
(6)Low-income community
The term “low-income community” means a school attendance area (as defined in section 6313(a)(2)(A) of this title)—
(A)in which 70 percent of households earn less than 85 percent of the State median household income; or
(B)that includes a school that qualifies under section 1087ee(a)(2)(A) of this title for loan cancellation for Perkins loan recipients who teach in such a school.
(7)Nurse
The term “nurse” means a nurse who meets all of the following:
(A)The nurse graduated from—
(i)an accredited school of nursing (as those terms are defined in section 296 of title 42);
(ii)a nursing center; or
(iii)an academic health center that provides nurse training.
(B)The nurse holds a valid and unrestricted license to practice nursing in the State in which the nurse practices in a clinical setting.
(C)The nurse holds one or more of the following:
(i)A graduate degree in nursing, or an equivalent degree.
(ii)A nursing degree from a collegiate school of nursing (as defined in section 296 of title 42).
(iii)A nursing degree from an associate degree school of nursing (as defined in such section).
(iv)A nursing degree from a diploma school of nursing (as defined in such section).
(8)Occupational therapist
The term “occupational therapist” means an individual who—
(A)has received, at a minimum, a baccalaureate degree in occupational therapy from an institution of higher education accredited by an agency or association recognized by the Secretary pursuant to section 1099b(a) of this title; and
(ii)meets or exceeds the qualifications for a qualified occupational therapist, as determined by State law.
(9)Physical therapist
The term “physical therapist” means an individual who—
(A)has received, at a minimum, a graduate degree in physical therapy from an institution of higher education accredited by an agency or association recognized by the Secretary pursuant to section 1099b(a) of this title; and
(ii)meets or exceeds the qualifications for a qualified physical therapist, as determined by State law.
(10)Speech-language pathologist
The term “speech-language pathologist” means a speech-language pathologist who—
(A)has received, at a minimum, a graduate degree in speech-language pathology or communication sciences and disorders from an institution of higher education accredited by an agency or association recognized by the Secretary pursuant to section 1099b(a) of this title; and
(B)provides speech-language pathology services under section 1395x(ll)(1) of title 42, or meets or exceeds the qualifications for a qualified speech-language pathologist under subsection (ll)(4) of such section.
(h)Authorization of appropriations
There are authorized to be appropriated to carry out this section such sums as may be necessary for fiscal year 2009 and each of the five succeeding fiscal years to provide loan forgiveness in accordance with this section.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
References in Text
section 9101 of the Elementary and Secondary Education Act of 1965, referred to in subsec. (b)(5)(A), was amended by Pub. L. 114–95 and, as so amended, is now section 8101 of the Act and no longer defines “highly qualified”. A reference in this section to the term “highly qualified” as defined in section 9101 of the Act is to be treated as a reference to such term under such section 9101 as in effect on the day before the date of enactment of Pub. L. 114–95. See section 9214(a)(1) of Pub. L. 114–95, set out as a Use of the Term “Highly Qualified” in Other Laws note under section 1070g–2 of this title. The Head Start Act, referred to in subsec. (g)(4)(C)(ii), (5)(B), is subchapter B (§ 635 et seq.) of chapter 8 of subtitle A of title VI of Pub. L. 97–35, Aug. 13, 1981, 95 Stat. 499, which is classified generally to subchapter II (§ 9831 et seq.) of chapter 105 of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see
Short Title
note set out under section 9801 of Title 42 and Tables.
Amendments
2015—Subsec. (b)(5)(B)(iv). Pub. L. 114–95, § 9215(oo)(8)(A), made technical amendment to reference in original act which appears in text as reference to section 7801 of this title. Subsec. (b)(8). Pub. L. 114–95, § 9215(oo)(8)(B), added par. (8) and struck out former par. (8). Prior to amendment, text read as follows: “The individual is employed full-time as a school counselor (as such term is defined in section 7245(e) of this title), in a school that qualifies under section 1087ee(a)(2)(A) of this title for loan cancellation for Perkins loan recipients who teach in such a school.” 2010—Subsec. (b)(18). Pub. L. 111–148, § 5205(b)(1), added par. (18). Subsec. (g). Pub. L. 111–148, § 5205(b)(2), added par. (1) and redesignated former pars. (1) to (9) as (2) to (10), respectively. 2009—Subsec. (g)(9)(B). Pub. L. 111–39 substituted “under subsection (ll)(4) of such section” for “under subsection (ll)(3) of such section”. 2008—Pub. L. 110–315 amended section generally. Prior to amendment, section related to loan forgiveness for child care providers.
Statutory Notes and Related Subsidiaries
Effective Date
of 2015 AmendmentAmendment by Pub. L. 114–95 effective Dec. 10, 2015, except with respect to certain noncompetitive programs and competitive programs, see section 5 of Pub. L. 114–95, set out as a note under section 6301 of this title.
Effective Date
of 2009 AmendmentAmendment by Pub. L. 111–39 effective as if enacted on the date of enactment of Pub. L. 110–315 (Aug. 14, 2008), see section 3 of Pub. L. 111–39, set out as a note under section 1001 of this title.
Effective Date
Section effective Oct. 1, 1998, except as otherwise provided in Pub. L. 105–244, see section 3 of Pub. L. 105–244, set out as an
Effective Date
of 1998 Amendment note under section 1001 of this title. Allied Health Workforce Recruitment and Retention Programs Pub. L. 111–148, title V, § 5205(a), Mar. 23, 2010, 124 Stat. 611, provided that: “The purpose of this section [amending this section] is to assure an adequate supply of allied health professionals to eliminate critical allied health workforce shortages in Federal, State, local, and tribal public health agencies or in settings where patients might require health care services, including acute care facilities, ambulatory care facilities, personal residences and other settings, as recognized by the Secretary of Health and Human Services by authorizing an Allied Health Loan Forgiveness Program.” [For definition of “Allied Health Loan Forgiveness Program” as used in section 5205(a) of Pub. L. 111–148, set out above, see section 5002(a) of Pub. L. 111–148, set out as a note under section 294q of Title 42, The Public Health and Welfare.]
Reference
Citations & Metadata
Citation
20 U.S.C. § 1078–11
Title 20, Education
Last Updated
Sep 23, 2026
Release point: 119-110