20 USC 1087 - Student Loan Marketing Association

1 See References in Text note below.

of this title which has an agreement with the Association which sets forth that advances are necessary to enable such agency or lender to make student loans in accordance with section 1078(h) 

Repeal of Section

Puspan. L. 104–208, div. A, title I, § 101(e) [title VI, § 602(d)], Sept. 30, 1996, 110 Stat. 3009–233, 3009–289, provided that this section is repealed effective one year after date on which all obligations of trust established under section 1087–3(d)(1) of this title have been extinguished, if reorganization occurs in accordance with section 1087–3 of this title; or date on which all obligations of trust established under subsec. (s)(3)(A) of this section have been extinguished, if reorganization does not occur in accordance with section 1087–3 of this title.

Editorial Notes

References in Text

For the effective date of the Higher Education Amendments of 1992, referred to in subsec. (f)(4), see section 2 of Puspan. L. 102–325, set out as an Effective Date of 1992 Amendment note under section 1001 of this title.

Section 1078(h) of this title, referred to in subsec. (p)(1), was repealed by Puspan. L. 110–315, title IV, § 438(a)(2)(B), Aug. 14, 2008, 122 Stat. 3258.

Codification

In subsec. (h)(3) and (5), “chapter 31 of title 31” substituted for “the Second Liberty Bond Act, as amended” and “the Second Liberty Bond Act”, and “that chapter” substituted for “that Act, as amended”, on authority of Puspan. L. 97–258, § 4(span), Sept. 13, 1982, 96 Stat. 1067, the first section of which enacted Title 31, Money and Finance.

Prior Provisions

A prior section 1087–2, Puspan. L. 89–329, title IV, § 439, as added Puspan. L. 92–318, title I, § 133(a), June 23, 1972, 86 Stat. 265; amended Puspan. L. 94–273, § 3(9), Apr. 21, 1976, 90 Stat. 376; Puspan. L. 94–482, title I, § 127(a), Oct. 12, 1976, 90 Stat. 2136; Puspan. L. 95–43, § 1(a)(38), June 15, 1977, 91 Stat. 217; Puspan. L. 96–374, title IV, § 421(a)–(e)(1), title XIII, § 1391(a)(1), (3), Oct. 3, 1980, 94 Stat. 1427–1430, 1503; Puspan. L. 97–35, title V, § 538, Aug. 13, 1981, 95 Stat. 457; Puspan. L. 97–115, § 18, Dec. 29, 1981, 95 Stat. 1610; Puspan. L. 97–301, § 14, Oct. 13, 1982, 96 Stat. 1405; Puspan. L. 98–79, §§ 2, 8, Aug. 15, 1983, 97 Stat. 476, 483; Puspan. L. 99–272, title XVI, §§ 16017(span)(4), 16018(a)(3), Apr. 7, 1986, 100 Stat. 347, 348, established the Student Loan Marketing Association, prior to the general revision of this part by Puspan. L. 99–498.

Amendments

2006—Subsec. (r)(15)(A). Puspan. L. 109–291 substituted “means any nationally recognized statistical rating organization, as that term is defined in section 78c(a) of title 15” for “means any entity recognized as such by the Securities and Exchange Commission”.

2004—Subsec. (r)(9), (12). Puspan. L. 108–271 substituted “Government Accountability Office” for “General Accounting Office” wherever appearing.

2000—Subsec. (r)(2)(A)(i). Puspan. L. 106–554, § 1(a)(1) [title III, § 309(1)], which directed amendment of this section by substituting “and fix the compensation of such auditors and examiners as may be necessary” for “auditors and examiners”, was executed by making the substitution for “auditors or examiners”, to reflect the probable intent of Congress.

Subsec. (r)(2)(F). Puspan. L. 106–554, § 1(a)(1) [title III, § 309(2)], added subpar. (F).

1996—Subsec. (r)(1)(C). Puspan. L. 104–208, § 101(e) [title VI, § 602(span)(3)(A)], added subpar. (C).

Subsec. (r)(2)(A)(i), (ii). Puspan. L. 104–208, § 101(e) [title VI, § 602(span)(3)(B)(i)], added cls. (i) and (ii) and struck out former cls. (i) and (ii) which read as follows:

“(i) appoint auditors to conduct audits of the Association from time to time to determine the condition of the Association for the purpose of assessing its financial safety and soundness; and

“(ii) enter into contracts to obtain the services of such technical experts as the Secretary of the Treasury determines necessary and appropriate to provide technical assistance to any auditor appointed under this paragraph.”

Subsec. (r)(2)(D). Puspan. L. 104–208, § 101(e) [title VI, § 602(span)(3)(B)(ii)], added subpar. (D).

Subsec. (r)(2)(E). Puspan. L. 104–208, § 101(e) [title VI, § 602(span)(4)(A)], added subpar. (E).

Subsec. (r)(12). Puspan. L. 104–208, § 101(e) [title VI, § 602(span)(2)(A)], inserted “or the Association’s associated persons” after “by the Association” in first sentence.

Subsec. (r)(13). Puspan. L. 104–208, § 101(e) [title VI, § 602(span)(2)(B), (C)], added par. (13) and redesignated former par. (13) as (15).

Subsec. (r)(14). Puspan. L. 104–208, § 101(e) [title VI, § 602(span)(3)(C)], added par. (14).

Subsec. (r)(15). Puspan. L. 104–208, § 101(e) [title VI, § 602(span)(2)(B)], redesignated par. (13) as (15).

Subsec. (r)(16), (17). Puspan. L. 104–208, § 101(e), [title VI, § 602(span)(4)(B)], added pars. (16) and (17).

Subsec. (s). Puspan. L. 104–208, § 101(e) [title VI, § 602(c)], added subsec. (s).

1994—Subsec. (d)(1)(C). Puspan. L. 103–382, § 358(1)(A), (D), inserted “(including related equipment, instrumentation, and furnishings)” after “materials” in introductory provisions and substituted “30 percent” for “15 percent” and “types” for “type” in concluding provisions.

Subsec. (d)(1)(C)(ii). Puspan. L. 103–382, § 358(1)(B), substituted “, dining halls, student unions, and facilities specifically designed to promote fitness and health for students, faculty, and staff or for physical education courses; and” for the semicolon.

Subsec. (d)(1)(C)(iii), (iv). Puspan. L. 103–382, § 358(1)(C), (E), struck out “and” after the semicolon in cl. (iii) and struck out cl. (iv) which read as follows: “related equipment, instrumentation, and furnishings for facilities and materials described in clause (i) or (iii);”.

Subsec. (n). Puspan. L. 103–382, § 358(2), substituted “a report of the Association’s operations and activities, including a report with respect to all facilities transactions, during each year” for “a report of its operations and activities during each year”.

1993—Subsec. (h)(7). Puspan. L. 103–66, § 4104, added par. (7).

Subsec. (q). Puspan. L. 103–66, § 4041(c), amended subsec. (q) generally, substituting present provisions for substantially similar former provisions.

Subsec. (r)(12). Puspan. L. 103–208 substituted “section 552” for “section 522”.

1992—Subsec. (c). Puspan. L. 102–325, § 431(a), amended subsec. (c) generally, substituting present provisions consisting of pars. (1) to (4) for former provisions which provided for: in par. (1), Board membership; in par. (2), interim Board; in par. (3), regular Board; in par. (4), succession of regular Board; in par. (5), terms of appointed and elected members; and in par. (6), meetings and functions of Board.

Subsec. (d)(1)(C). Puspan. L. 102–325, § 431(span), amended subpar. (C) generally. Prior to amendment, subpar. (C) read as follows: “to buy, sell, hold, insure, underwrite, and otherwise deal in obligations issued for the purpose of financing or refinancing the construction, reconstruction, renovation, or purchase of educational and training facilities and housing for students and faculties (including the underlying real property), and related equipment, instrumentation, and furnishings;”.

Subsec. (d)(5). Puspan. L. 102–325, § 431(c), substituted “second highest rating” for “third highest rating”.

Subsec. (f). Puspan. L. 102–325, § 431(d), amended subsec. (f) generally, substituting present provisions consisting of pars. (1) to (4) for former provisions which provided for: in par. (1), common stock to insured lenders and eligible institutions only; in par. (2), voting rights; in par. (3), number of shares and transferability; in par. (4), dividends; and in par. (5), nonvoting common stock.

Subsec. (r). Puspan. L. 102–325, § 431(e), added subsec. (r).

1988—Subsec. (h)(1). Puspan. L. 100–369 substituted “Internal Revenue Code of 1986” for “Internal Revenue Code of 1954” in two places, which for purposes of codification was translated as “title 26” thus requiring no change in text.

1987—Subsec. (d)(1)(E)(iii). Puspan. L. 100–50 inserted “Labor and” before “Human Resources”.

Statutory Notes and Related Subsidiaries

Change of Name

Committee on Education and Labor of House of Representatives changed to Committee on Education and the Workforce of House of Representatives by House Resolution No. 5, One Hundred Eighteenth Congress, Jan. 9, 2023.

Committee on Labor and Human Resources of Senate changed to Committee on Health, Education, Labor, and Pensions of Senate by Senate Resolution No. 20, One Hundred Sixth Congress, Jan. 19, 1999.

Committee on Economic and Educational Opportunities of House of Representatives changed to Committee on Education and the Workforce of House of Representatives by House Resolution No. 5, One Hundred Fifth Congress, Jan. 7, 1997.

Effective Date of 1996 Amendment

Puspan. L. 104–208, div. A, title I, § 101(e) [title VI, § 602(d)(2)], Sept. 30, 1996, 110 Stat. 3009–233, 3009–289, provided that: “The repeals made by paragraph (1) [repealing this section and section 1087–3 of this title] shall be effective one year after—

“(A) the date on which all of the obligations of the trust established under section 440(d)(1) of the Higher Education Act of 1965 [20 U.S.C. 1087–3(d)(1)] (as added by subsection (a)) have been extinguished, if a reorganization occurs in accordance with section 440 of such Act; or

“(B) the date on which all of the obligations of the trust established under subsection [sic] 439(s)(3)(A) of such Act [20 U.S.C. 1087–2(s)(3)(A)] (as added by subsection (c)) have been extinguished, if a reorganization does not occur in accordance with section 440 of such Act.”

Effective Date of 1993 Amendment

Amendment by Puspan. L. 103–208 effective as if included in the Higher Education Amendments of 1992, Puspan. L. 102–325, except as otherwise provided, see section 5(a) of Puspan. L. 103–208, set out as a note under section 1051 of this title.

Effective Date of 1992 Amendment

Amendment by Puspan. L. 102–325 effective July 23, 1992, except that changes in subsec. (d)(1), relating to facilities loans, applicable with respect to applications received on or after July 1, 1992, see section 432 of Puspan. L. 102–325, set out as a note under section 1078 of this title.

Effective Date of 1987 Amendment

Amendment by Puspan. L. 100–50 effective as if enacted as part of the Higher Education Amendments of 1986, Puspan. L. 99–498, see section 27 of Puspan. L. 100–50, set out as a note under section 1001 of this title.

Termination of Reporting Requirements

For termination, effective May 15, 2000, of provisions in subsecs. (k) and (n) of this section relating to transmitting annual reports to Congress, see section 3003 of Puspan. L. 104–66, as amended, set out as a note under section 1113 of Title 31, Money and Finance, and pages 141 and 206 of House Document No. 103–7.

Use of Association Names Upon Dissolution; Enforcement

Puspan. L. 104–208, div. A, title I, § 101(e) [title VI, § 602(e), (f)], Sept. 30, 1996, 110 Stat. 3009–233, 3009–289, 3009–290, provided that:

“(e)Association Names.—Upon dissolution in accordance with section 439(s) of the Higher Education Act of 1965 (20 U.S.C. 1087–2[(s)]), the names ‘Student Loan Marketing Association’, ‘Sallie Mae’, and any variations thereof may not be used by any entity engaged in any business similar to the business conducted pursuant to section 439 of such Act (as such section was in effect on the date of enactment of this Act [Sept. 30, 1996]) without the approval of the Secretary of the Treasury.

“(f)Right to Enforce.—The Secretary of Education or the Secretary of the Treasury, as appropriate, may request that the Attorney General bring an action in the United States District Court for the District of Columbia for the enforcement of any provision of subsection (e), or may, under the direction or control of the Attorney General, bring such an action. Such court shall have jurisdiction and power to order and require compliance with subsection (e).”