Authorizes the Secretary of Education to repay a higher maximum amount (up to $17, 500) of an eligible individual teacher's aggregate student loan obligation that is outstanding after completion of the first complete school year of qualifying service. Authorizes such repayment from funds authorized under this Act for FY 2003 through 2007. Provides for annual installments of such repayment up to specified maximum amounts after each of five years of eligible teaching service.
Revises and expands eligibility for such programs. Makes inapplicable specified requirements that currently limit participation to: (1) only certain new borrowers; and (2) only teachers who serve at least five consecutive complete school years prior to any eligibility for program benefits. Extends program eligibility to full-time elementary or secondary school teachers: (1) in schools that qualify as high-poverty schools (as in current law, without certain subject area and certification restrictions); (2) of special education; or (3) of mathematics, science, foreign languages, bilingual education, or any other field of expertise where the State educational agency determines there is a shortage of qualified teachers.