FORGIVENESS OF HBCU CAPITAL FINANCING LOANS.

SEC. 706. [20 U.S.C. 1001 note] FORGIVENESS OF HBCU CAPITAL FINANCING LOANS. (a) Forgiveness.—Not later than 90 days after the effective date of this section, the Secretary of Education shall repay each institution of higher education’s outstanding balance of principal, interest, fees, and costs on the disbursed loan amounts (as of such effective date) under each applicable closed loan agreement, including paying any reimbursement (including reimbursements of escrow and return of fees and deposits) relating to the applicable closed loan agreement that are usual and customary when the loan is paid off by the institution. (b) Applicable Closed Loan Agreement.—In this section, the term “applicable closed loan agreement” means each of the following: (1) A closed loan agreement executed before the date of enactment of this Act and made under part D of title III of the Higher Education Act of 1965 (20 U.S.C. 1066 et seq.). (2) A closed loan agreement executed before the date of enactment of this Act and made for deferment balances authorized under— (A) section 3512 of the CARES Act (20 U.S.C. 1001 note); (B) title III of division A of the Further Consolidated Appropriations Act, 2020 (Public Law 116-94; 133 Stat. 2586); (C) title III of division B of the Department of Defense and Labor, Health and Human Services, and Education Appropriations Act, 2019 and Continuing Appropriations Act, 2019 (Public Law 115-245; 132 Stat. 3097); or (D) title III of division H of the Consolidated Appropriations Act, 2018 (Public Law 115-141; 132 Stat. 741). (c) Authorization and Appropriation.—There are authorized to be appropriated, and there are appropriated, out of any amounts in the Treasury not otherwise appropriated, such sums as may be necessary to carry out subsection (a). (d) Effective Date.—Notwithstanding section 701(b), this section shall take effect on the date of enactment of this Act.