To extend the authority of the Secretary of Education to purchase guaranteed student loans for an additional year, and for other purposes.

Amends the Higher Education Act of 1965 to extend by one year, from July 2010 to July 2011, the Secretary of Education's authority to purchase or enter into forward commitments to purchase: (1) Federal Family Education Loans (FFELs) from lenders, upon the determination that there is an inadequate availability of loan capital to meet the demand for such loans; and (2) rehabilitated loans that eligible lenders purchased under the FFEL default reduction program.

Extends by one year, from June 30, 2010 to June 30, 2011, the authority of institutions of higher education (IHEs), with the Secretary's approval, to participate in the FFEL lender-of-last-resort program for borrowers otherwise unable to obtain such loans (thereby requiring guaranty agencies serving as lenders-of-last-resort to make FFELs to student and parent borrowers of such IHEs, until such date, regardless of their ability to otherwise obtain such loans).