FAMILY CONTRIBUTION.

SEC. 8017. FAMILY CONTRIBUTION.(a) Family Contribution for Dependent Students.—(1) Amendments.—Section 475 (20 U.S.C. 1087oo) is amended—(A) in subsection (g)(2)(D), by striking “$2,200” and inserting “$3,000”; and(B) in subsection (h), by striking “35” and inserting “20”.(2) Effective date.—The amendments made by paragraph (1) shall apply with respect to determinations of need for periods of enrollment beginning on or after July 1, 2007.(b) Family Contribution for Independent Students Without Dependents Other Than a Spouse.—(1) Amendments.—Section 476 (20 U.S.C. 1087pp) is amended—(A) in subsection (b)(1)(A)(iv)—(i) in subclause (I), by striking “$5,000” and inserting “$6,050”;(ii) in subclause (II), by striking “$5,000” and inserting “$6,050”; and(iii) in subclause (III), by striking “$8,000” and inserting “$9,700”; and(B) in subsection (c)(4), by striking “35” and inserting “20”.(2) Effective date.—The amendments made by paragraph (1) shall apply with respect to determinations of need for periods of enrollment beginning on or after July 1, 2007.(c) Family Contribution for Independent Students With Dependents Other Than a Spouse.—(1) Amendment.—Section 477(c)(4) (20 U.S.C. 1087qq(c)(4)) is amended by striking “12” and inserting “7”.(2) Effective date.—The amendment made by paragraph (1) shall apply with respect to determinations of need for periods of enrollment beginning on or after July 1, 2007.(d) Regulations; Updated Tables.—Section 478(b) (20 U.S.C. 1087rr(b)) is amended—(1) in paragraph (1), by adding at the end the following: “For the 2007–2008 academic year, the Secretary shall revise the tables in accordance with this paragraph, except that the Secretary shall increase the amounts contained in the table in section 477(b)(4) by a percentage equal to the greater of the estimated percentage increase in the Consumer Price Index 120 STAT. 174 (as determined under the preceding sentence) or 5 percent.”; and(2) in paragraph (2)—(A) by striking “2000–2001” and inserting “2007–2008”; and(B) by striking “1999” and inserting “2006”.(e) Employment Expense Allowance.—Section 478(h) (20 U.S.C. 1087rr(h)) is amended—(1) by striking “476(b)(4)(B),”; and (2) by striking “meals away from home, apparel and upkeep, transportation, and housekeeping services” and inserting “food away from home, apparel, transportation, and household furnishings and operations”.