Competitive Loan Auction Pilot Program for PLUS loans

Forms and Documents

Forms and supporting documents for this ICR

Document	Type	Status	Availability
Competitive Loan Auction Pilot Program	Form	New	Available
PLUS_auction_fed_reg_notice_v6b4 DRS 2-2_feb_9 dab.doc	Supplementary Document	Uploaded 2009-02-24	Available
PLUS Memo Emergency Ope_rev_feb5.doc	Supplementary Document	Uploaded 2009-02-24	Available
Att_OMB_forms_plus_justif_feb5_revfeb17.doc	Supporting Statement A	Uploaded 2009-02-18	Available

IC Document Collections

Information collection document groups

IC ID	Collection	Type	Status	Form
188095	Competitive Loan Auction Pilot Program	Form	New

ICR Details

OMB Control No: 1840-0803	ICR Reference No: 200902-1840-002
Status: Historical Active	Previous ICR Reference No:
Agency/Subagency: ED/OPE	Agency Tracking No: 3966
Title: Competitive Loan Auction Pilot Program for PLUS loans
Type of Information Collection: New collection (Request for a new OMB Control Number)	Common Form ICR:  No
Type of Review Request: Emergency	Approval Requested By: 03/02/2009
OIRA Conclusion Action: Approved without change	Conclusion Date: 03/02/2009
	Date Received in OIRA: 02/24/2009
Terms of Clearance: This collection is approved with the following terms of clearance: Education's request for an emergency clearance for the collection is approved to meet Congressional legislative mandates. This collection will be valid for 180 days. If Education decides to use the form beyond the approved emergency clearance timeframe, it must resubmit to OMB under the normal PRA clearance process for a three year approval.

table that charts list comparision

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	09/30/2009	6 Months From Approved
Responses	25	0	0
Time Burden (Hours)	18	0	0
Cost Burden (Dollars)	0	0	0

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Abstract: The Department of Education is requesting emergency clearance of all documents associated with this clearance by February 23, 2009 to meet Congressional legislative mandates. This data collection is necessary to conduct an auction for the rights to originate PLUS loans to parent borrowers under the Federal PLUS Program authorized by Section 428B of Title IV of the Higher Education Act of 1965, as amended (HEA) for the period beginning on or after July 1, 2009 and ending June 30, 2011. The HEA, as amended by the HEOA of 2008, requires that the right to originate PLUS loans to new parent borrowers under the Federal PLUS Program be determined through a competitive sealed bid, one-round auction to be conducted for each State, the District of Columbia, and Puerto Rico (State). The information requested is necessary to determine whether the winning bidders will be able to make and service the PLUS Loans made to parents as a result of the auction as well as to conduct the auction itself.

Emergency Justfication: The Department of Education’s (the Department) Office of Postsecondary Education requests that OMB grant an emergency clearance for all documents associated with this clearance by March 2, 2009 so that Congressional legislative mandates may be satisfied. The Competitive Loan Auction Pilot Program for PLUS loans is a new Federal Family Education Loan program. This pilot program was mandated by Congress in the College Cost Reduction and Access Act of 2007 (CCRAA) and in the Higher Education Act (HEA) of 1965, as amended, Title IV, Part I, Section 499, Competitive Loan Auction Pilot Program. We are requesting permission for an emergency clearance to allow eligible lenders to participate in the prequalification process. We must meet the deadline set by Congress to have the pilot program in place and running by July 1, 2009, so that lenders may process student aid applications. The Department will conduct The Competitive Loan Auction Pilot Program in two parts. First, lenders must submit a prequalification form that collects specific information necessary for the Department to determine if the lender has the financial and technological resources necessary to make loans to parents under the PLUS loan program in the state(s) in which the lender will bid. Secondly, once pre-qualified, lenders may submit a bid which is the lowest special allowance payment (SAP), as defined in Section 438 of the HEA, they are willing to accept for Federal PLUS loans made pursuant to the auction. Only two eligible lenders (as defined in Section 435(d) of the HEA) meeting the pre- qualification requirements will be identified for each State and they will be the sole eligible lenders authorized to originate Federal PLUS loans to new parent borrowers. The Department requests emergency clearance of the documents by February 23, 2009. Members of the higher education community have informed us of the urgency of getting the auction done and identifying the appropriate lenders so that they may complete the packaging of financial aid for student borrowers entering institutions within their state in a timely manner. The Department must have clearance of the documents by February 23, 2009, so that the prequalification process can be started, the subsequent auction held and winning bidders notified and announced so they will have sufficient time to operationalize their business processes.

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Authorizing Statute(s): PL: Pub.L. 89 - 329 499 Name of Law: The Higher Education Act of 1965 as Amended
  

Citations for New Statutory Requirements: PL: Pub.L. 89 - 329 428B Name of Law: HEOA CCRAA

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments

Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 1

table that charts list of burden

IC Title	Form No.	Form Name
Competitive Loan Auction Pilot Program	NA	Prequalification Form

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ICR Summary of Burden

table that charts list of burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	25	0	25	0	0	0
Annual Time Burden (Hours)	18	0	18	0	0	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: This is a new information collection resulting from a Pilot Program mandated by the College Cost Reduction and Access Act (CCRAA); as a new information collection all burden is new.

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Annual Cost to Federal Government:

Does this IC contain surveys, censuses, or employ statistical methods? No

Is the Supporting Statement intended to be a Privacy Impact Assessment required by the E-Government Act of 2002? No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? Uncollected

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? Uncollected

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? Uncollected

Is this ICR related to the Pandemic Response? Uncollected

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Common Form ICR:  No

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On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 02/24/2009

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