[Code of Federal Regulations] [Title 34, Volume 3] [Revised as of July 1, 2007] From the U.S. Government Printing Office via GPO Access [CITE: 34CFR674.63] [Page 615-616] TITLE 34--EDUCATION CHAPTER VI--OFFICE OF POSTSECONDARY EDUCATION, DEPARTMENT OF EDUCATION PART 674_FEDERAL PERKINS LOAN PROGRAM--Table of Contents Subpart D_Loan Cancellation Sec. 674.63 Reimbursement to institutions for loan cancellation. (a) Reimbursement for Defense loan cancellation. (1) The Secretary pays an institution each award year its share of the principal and interest canceled under Sec. Sec. 674.55 and 674.59(a). (2) The institution's share of cancelled principal and interest is computed by the following ratio: [GRAPHIC] [TIFF OMITTED] TC15NO91.027 [[Page 616]] Where I is the institution's capital contribution to the Fund, and F is the Federal capital contribution to the Fund. (b) Reimbursement for NDSL and Federal Perkins loan cancellation. The Secretary pays an institution each award year the principal and interest canceled from its student loan fund under Sec. Sec. 674.53, 674.54, 674.56, 674.57, 674.58, 674.59(b), and 674.60. The institution shall deposit this amount in its Fund. (Authority: 20 U.S.C. 428 and 1087ee) [52 FR 45758, Dec. 1, 1987. Redesignated and amended at 59 FR 61413, 61415, Nov. 30, 1994]