Federal
Advancing Competency-Based Education Act of 2019
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II
116TH CONGRESS
1ST SESSION
S. 2608
To amend the Higher Education Act of 1965 to authorize competency-based
education demonstration projects.
IN THE SENATE OF THE UNITED STATES
OCTOBER 16, 2019
Ms. HASSAN introduced the following bill; which was read twice and referred
to the Committee on Health, Education, Labor, and Pensions
A BILL
To amend the Higher Education Act of 1965 to authorize
competency-based education demonstration projects.
Be it enacted by the Senate and House of Representa-
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tives of the United States of America in Congress assembled,
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SECTION 1. SHORT TITLE.
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This Act may be cited as the ββAdvancing Com-
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petency-Based Education Act of 2019ββ.
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SEC. 2. COMPETENCY-BASED EDUCATION DEMONSTRATION
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PROJECTS.
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(a) PROJECTS.βPart G of title IV of the Higher
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Education Act of 1965 (20 U.S.C. 1088 et seq.) is amend-
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ed by inserting after section 486A the following:
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β’S 2608 IS
ββSEC. 486B. COMPETENCY-BASED EDUCATION DEMONSTRA-
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TION PROJECTS.
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ββ(a) DEMONSTRATION PROJECTS AUTHORIZED.β
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The Secretary shall select, in accordance with subsection
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(d), eligible entities to voluntarily carry out competency-
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based education demonstration projects for a duration of
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5 years and receive waivers or other flexibility described
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in subsection (e) to carry out such projects.
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ββ(b) APPLICATION.β
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ββ(1) IN GENERAL.βEach eligible entity desir-
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ing to carry out a demonstration project under this
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section shall submit an application to the Secretary,
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at such time and in such manner as the Secretary
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may require.
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ββ(2) OUTREACH.β
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ββ(A) IN GENERAL.βThe Secretary shall,
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prior to any deadline to submit applications
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under paragraph (1), conduct outreach to insti-
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tutions, including those described in subpara-
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graph (B) to provide those institutions with in-
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formation on the opportunity to apply to carry
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out a demonstration project under this section.
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ββ(B) INSTITUTIONS.βThe institutions de-
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scribed in this subparagraph are the following:
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ββ(i) Part B institutions (as defined in
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section 322).
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β’S 2608 IS
ββ(ii) Hispanic-serving institutions (as
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defined in section 502).
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ββ(iii) Tribal Colleges or Universities
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(as defined in section 316).
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ββ(iv) Alaska Native-serving institu-
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tions (as defined in section 317(b)).
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ββ(v) Native Hawaiian-serving institu-
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tions (as defined in section 317(b)).
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ββ(vi) Predominantly Black Institu-
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tions (as defined in section 318).
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ββ(vii) Asian American and Native
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American Pacific Islander-serving institu-
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tions (as defined in section 320(b)).
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ββ(viii) Native American-serving, non-
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tribal institutions (as defined in section
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319).
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ββ(ix) Institutions predominately serv-
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ing adult learners.
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ββ(x) Institutions serving students with
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special needs.
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ββ(xi) Institutions located in rural
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areas.
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ββ(3) AMENDMENTS.β
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ββ(A) IN GENERAL.βAn eligible entity that
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has been selected to carry out a demonstration
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β’S 2608 IS
project under this section may submit to the
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Secretary amendments to the eligible entityβs
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approved application under paragraph (1), at
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such time and in such manner as the Secretary
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may require, which the Secretary shall approve
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or deny within 30 days of receipt.
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ββ(B)
EXPANDING
ENROLLMENT.βNot-
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withstanding the assurance required with re-
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spect to maximum enrollment under paragraph
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(4)(N)β
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ββ(i) an eligible entity whose dem-
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onstration project has been evaluated
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under subsection (g)(2) not less than
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twice, may submit to the Secretary an
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amendment to the eligible entityβs applica-
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tion under paragraph (1) to increase en-
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rollment in the project to more than 3,000
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students, but not more than 5,000 stu-
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dents, and which shall specifyβ
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ββ(I) the proposed maximum en-
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rollment
and
annual
enrollment
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growth for the project;
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ββ(II) how the eligible entity will
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successfully carry out the project with
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β’S 2608 IS
such maximum enrollment and enroll-
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ment growth; and
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ββ(III) any other amendments to
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the eligible entityβs application under
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paragraph (1) that are related to such
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maximum enrollment or enrollment
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growth; and
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ββ(ii) the Secretary shall determine
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whether to approve or deny an amendment
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submitted under clause (i) for a dem-
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onstration project based on the projectβs
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evaluations under subsection (g)(2).
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ββ(4) CONTENTS.βEach application under para-
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graph (1) shall includeβ
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ββ(A) a description of each competency-
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based education program to be offered by the
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eligible entity under the demonstration project;
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ββ(B) a description of the alignment of the
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proposed competency-based education program
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to the institutionβs mission, and evidence of in-
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stitutional commitment to such program;
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ββ(C) a description of how each program
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will work with employers and local industry to
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assess and incorporate competencies that are
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β’S 2608 IS
relevant in the labor market and how the pro-
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gram aligns with employer needs;
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ββ(D) a description of the proposed aca-
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demic design, academic and support services,
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delivery, business, and financial models for the
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demonstration project, including explanations
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and supporting documents, including financial
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statements, and, any revenue-sharing agree-
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ments with third-party servicers or online pro-
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gram managers, of how each competency-based
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education program offered under the dem-
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onstration project willβ
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ββ(i) result in the achievement of com-
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petencies;
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ββ(ii) differ from standard credit hour
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approaches, in whole or in part; and
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ββ(iii) result in lower costs or short-
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ened time to the completion of a certificate
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or degree;
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ββ(E) a description of how each com-
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petency-based education program offered under
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the demonstration project will award academic
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credit to advance the progress of a student to-
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ward completion of a certificate or degree that
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β’S 2608 IS
is portable and used by in-demand employers
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for making employment decisions;
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ββ(F) a description of how each credit-bear-
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ing competency-based education program of-
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fered under the demonstration project is aligned
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with a career pathway;
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ββ(G) a description of the meaningful role
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of the appropriate instructors of the eligible en-
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tity in the development, design, implementation,
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delivery, and evaluation of each such com-
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petency-based education program;
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ββ(H) a description of how each such com-
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petency-based education program will provide
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strong post-enrollment job placement, earnings,
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and loan repayment outcomes;
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ββ(I) a description of how the eligible entity
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will facilitate transfer, postsecondary study, and
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employer understanding by articulating a com-
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petency-based transcript from a competency-
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based education program offered under the
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demonstration project to a credit hour tran-
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script at another program at the eligible entity
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and to other institutions of higher education;
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ββ(J) a description of the statutory and reg-
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ulatory requirements described in subsection (e)
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β’S 2608 IS
for which the eligible entity is seeking a waiver
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or other flexibility, and why such waiver or
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flexibility is necessary to carry out the dem-
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onstration project;
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ββ(K) a description of indicators of a pro-
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gramβs effectiveness to inform how a third
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party will reliably assess student learning for
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each competency-based education program of-
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fered under the demonstration project;
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ββ(L) a description of how the eligible enti-
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ty will develop and evaluate the competencies
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and assessments of student knowledge adminis-
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tered as part of the demonstration project, in-
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cluding whether there is a relationship between
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the competency unit and a traditional credit or
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clock hour, the average time it takes to earn a
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competency, how such competencies and assess-
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ments are aligned with workforce needs and any
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other considerations the institution made when
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it developed its unit of competency;
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ββ(M) a description of the proposal for de-
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termining a studentβs Federal student aid eligi-
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bility under this title for participating in the
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demonstration project, the award and distribu-
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tion of such aid, and the safeguards to ensure
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β’S 2608 IS
that students are making satisfactory progress
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that warrants the disbursement of such aid;
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ββ(N) an assurance that the demonstration
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project at each eligible entityβ
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ββ(i) will enroll a minimum of 25 stu-
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dents and a maximum of 3,000 students
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or, in the case of an eligible entity with an
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application amendment approved under
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paragraph (3)(B), the maximum enroll-
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ment approved under such paragraph;
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ββ(ii) will identify and disseminate best
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practices with respect to the demonstration
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project to the Secretary and to other eligi-
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ble entities carrying out a demonstration
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project under this section;
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ββ(iii) operates under an agreement
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with the accrediting agency or association
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of the eligible entity to establish the stand-
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ards described in subsection (c); and
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ββ(iv) uses available funds solely for
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purposes of awarding academic credit to el-
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igible students based on the achievement of
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competencies and for the related costs or
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fees of demonstrating the achievement of
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competencies;
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β’S 2608 IS
ββ(O) a description of the population of stu-
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dents to whom competency-based education
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under the demonstration project will be offered,
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including demographic information and prior
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educational experience, disaggregated by stu-
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dents who are Federal Pell Grant recipients,
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students of color, Native students, students
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with disabilities, students who are veterans or
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members of the Armed Forces, adult learners,
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and first generation college students, and how
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such eligible entity will, when appropriate, ad-
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dress the specific needs of each such population
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of students when carrying out the demonstra-
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tion project;
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ββ(P) a description of outreach and commu-
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nication activities to students who may benefit
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under the demonstration project, including
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those described in subparagraph (O);
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ββ(Q) a description of how the institution is
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ensuring that students participating in the dem-
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onstration project will not, on average, be eligi-
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ble for more or less Federal assistance under
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this title than such students would have been
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eligible for under a program measured in credit
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or clock hours;
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β’S 2608 IS
ββ(R) the cost of attendance for each com-
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petency-based education program offered under
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the demonstration project, disaggregated by
3
each of the applicable costs or allowances de-
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scribed in paragraphs (1) through (13) of sec-
5
tion 472, and the estimated amount of the cost
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of attendance of each such program to be cov-
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ered by need-based grant aid and merit-based
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grant aid from Federal, State, institutional, and
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private sources;
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ββ(S) a description of other competency-
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based education programs the eligible entity of-
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fers or plans to offer outside of the demonstra-
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tion project;
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ββ(T) a description of how the eligible enti-
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ty will use data toβ
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ββ(i) ensure that each competency-
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based education program under the dem-
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onstration project meets the benchmarks
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established in accordance with subsection
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(c)(2)(E);
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ββ(ii)
confirm
relevancy
of
com-
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petencies in the labor market; and
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ββ(iii) improve each such program; and
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ββ(U) such other elements as the Secretary
1
may require.
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ββ(c) RECOGNITION BY ACCREDITING AGENCY OR AS-
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SOCIATION.βUnless a program has already been recog-
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nized as a direct assessment program by the accrediting
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agency or association of the eligible entity, in order to
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carry out a competency-based education program under
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a demonstration project under this section, an eligible en-
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tity shall include in its application under subsection (b),
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a letter from the accrediting agency or association of the
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eligible entity that describes how it will establish and en-
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force the following standards with respect to such com-
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petency-based education program:
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ββ(1) Standards for determining whether the eli-
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gible entity or the program requires students to
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demonstrate competencies that areβ
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ββ(A) capable of being validly and reliably
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assessed; and
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ββ(B) appropriate in scope and rigor for the
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award of the relevant certificate or degree.
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ββ(2) Standards for determining whether the eli-
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gible entity or the program demonstrateβ
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ββ(A) the administrative capacity and ex-
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pertise that will ensureβ
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β’S 2608 IS
ββ(i) the validity and reliability of as-
1
sessments of competencies; and
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ββ(ii) good practices in assessment and
3
measurement;
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ββ(B) sufficient educational
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