Teacher Warranty Act of 1985

Teacher Warranty Act of 1985 - Amends the Higher Education Act of 1965 (HEA) to require schools of education, under such schools' Federal student assistance program participation agreements, to provide training or retraining for any graduate of such school who receives an unsatisfactory evaluation after the first or second year as a teacher. Provides that such graduate shall only be charged that part of the cost of such training or retraining as exceeds the amount of assistance received by the graduate under title IV (Student Assistance) of HEA while in attendance at such school of education. Allows such training or retraining to be provided through correspondence programs, summer programs, or programs provided through reciprocal agreements with other institutions of higher education.