NAICU Washington Update

HEA Extended Again

November 06, 2007

The president signed a third extension of the Higher Education Act (HEA) this Congress on October 31. HEA was extended to March 31, 2008. The bill also includes language clarifying the meaning of a not-for-profit loan holder, especially as it applies to trustees acting on behalf of a State, political subdivision, authority, agency, or instrumentality. The for-profit and not-for-profit distinction is an important one because the not-for-profits receive a higher loan subsidy than the for-profits.