Higher Standards for Higher Education Act

I 118TH CONGRESS 1ST SESSION H. R. 3453 To require the Secretary of Education to report default and other data for each program of study of certain institutions of higher education for which the Secretary annually reports cohort default data under the Higher Education Act of 1965. IN THE HOUSE OF REPRESENTATIVES MAY 17, 2023 Ms. VAN DUYNE introduced the following bill; which was referred to the Committee on Education and the Workforce A BILL To require the Secretary of Education to report default and other data for each program of study of certain institu- tions of higher education for which the Secretary annu- ally reports cohort default data under the Higher Edu- cation Act of 1965. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Higher Standards for 4 Higher Education Act’’. 5 VerDate Sep 11 2014 03:36 Jun 02, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H3453.IH H3453 kjohnson on DSK79L0C42PROD with BILLS 2 •HR 3453 IH SEC. 2. COLLECTION AND REPORTING OF DEFAULT DATA 1 FOR CERTAIN PROGRAMS OF STUDY. 2 Section 435(m)(4) of the Higher Education Act of 3 1965 (20 U.S.C. 1085(m)(4)) is amended by adding at 4 the end the following: 5 ‘‘(E) PROGRAM OF STUDY REPORTING RE- 6 QUIREMENTS.— 7 ‘‘(i) IN GENERAL.—Subject to clause 8 (ii), for each fiscal year beginning after the 9 date of enactment of the Higher Standards 10 for Higher Education Act, the Secretary 11 shall include in the annual report required 12 under subparagraph (C), for each covered 13 institution for which a cohort default rate 14 is calculated under this subsection for a 15 fiscal year, the following with respect each 16 program of study of such institution in 17 which one or more current and former stu- 18 dents at the institution who enter repay- 19 ment in that fiscal year on Federal Direct 20 Stafford Loans, Federal Direct PLUS 21 Loans, or Federal Direct Unsubsidized 22 Stafford Loans, received for attendance at 23 the institution, are enrolled (in the case of 24 a current student) or were most recently 25 VerDate Sep 11 2014 03:36 Jun 02, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H3453.IH H3453 kjohnson on DSK79L0C42PROD with BILLS 3 •HR 3453 IH enrolled prior to entering repayment (in 1 the case of a former student): 2 ‘‘(I) The number of those current 3 and former students who enter repay- 4 ment on such loans (or on the portion 5 of a Federal Direct Consolidation 6 Loan that is used to repay any such 7 loans) in that fiscal year. 8 ‘‘(II) Of the students identified 9 in subclause (I), the percentage who 10 default on any such loan before the 11 end of the second succeeding fiscal 12 year following the fiscal year in which 13 the students entered repayment. 14 ‘‘(III) Of such students, the per- 15 centage who are between 31 and 360 16 days delinquent on any such loan be- 17 fore the end of such second suc- 18 ceeding fiscal year. 19 ‘‘(IV) Of such students, the per- 20 centage who are in forbearance on any 21 such loan before the end of such sec- 22 ond succeeding fiscal year. 23 ‘‘(V) Of such students, the per- 24 centage who are in deferment on any 25 VerDate Sep 11 2014 03:36 Jun 02, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H3453.IH H3453 kjohnson on DSK79L0C42PROD with BILLS 4 •HR 3453 IH such loan before the end of such sec- 1 ond succeeding fiscal year. 2 ‘‘(VI) Of such students, the per- 3 centage who— 4 ‘‘(aa) have been making reg- 5 ular payments on such loans, but 6 for whom— 7 ‘‘(AA) on any day be- 8 fore the end of such second 9 succeeding fiscal year, the 10 sum of the outstanding bal- 11 ance due on such loans, ex- 12 ceeds 13 ‘‘(BB) the sum of the 14 outstanding balance due on 15 such loans on the date that 16 is one year preceding the 17 day referred to in subitem 18 (AA); and 19 ‘‘(bb) are not described in 20 subclauses (II) through (V). 21 ‘‘(VII) Of such students, the per- 22 centage who— 23 VerDate Sep 11 2014 03:36 Jun 02, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H3453.IH H3453 kjohnson on DSK79L0C42PROD with BILLS 5 •HR 3453 IH ‘‘(aa) have been making reg- 1 ular payments on such loans, and 2 for whom— 3 ‘‘(AA) on any day be- 4 fore the end of such second 5 succeeding fiscal year, the 6 sum of the outstanding bal- 7 ance due on such loans, is 8 less than 9 ‘‘(BB) the sum of the 10 outstanding balance due on 11 such loans on the date that 12 is one year preceding the 13 day referred to in subitem 14 (AA); and 15 ‘‘(bb) are not described in 16 subclauses (II) through (V). 17 ‘‘(VIII) Of such students, the 18 percentage who, before the end of 19 such second succeeding fiscal year— 20 ‘‘(aa) are making regular 21 payments on such loans, and for 22 whom— 23 VerDate Sep 11 2014 03:36 Jun 02, 2023 Jkt 039200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H3453.IH H3453 kjohnson on DSK79L0C42PROD with BILLS 6 •HR 3453 IH ‘‘(AA) the sum of the 1 outstanding balance due on 2 such loans, is less than 3 ‘‘(BB) the sum of the 4 original balance due on such 5 loans; and 6 ‘‘(bb) are not described in 7 subclauses (II) through (V). 8 ‘‘(IX) Of such students, the per- 9 centage who have paid each such loan 10 in full before the end of such second 11 succeeding fiscal year. 12 ‘‘(X) Of such students, the per- 13 centage whose obligation to repay all 14 such loans has been discharged under 15 section 437 before the end of such 16 second succeeding fiscal year. 17 ‘‘(ii) EXCLUSION OF CERTAIN PRO- 18 GRAMS OF STUDY.—The Secretary shall 19 exclude under clause (i) information with 20 respect to any program of study if the 21 number of students (or former students) of 22 such program is insufficient to yield statis- 23 tically reliable information or the results 24 would reveal personally identifiable infor- 25 VerDate Sep 11 2014 03:36 Jun 02, 2023 Jkt 039200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H3453.IH H3453 kjohnson on DSK79L0C42PROD with BILLS 7 •HR 3453 IH mation about an individual student (or 1 former student). 2 ‘‘(iii) DEFINITIONS.—In this subpara- 3 graph: 4 ‘‘(I) COVERED INSTITUTION.— 5 The term ‘covered institution’ means 6 an institution that is the beneficiary 7 of an endowment fund that has a 8 total value of not less than 9 $1,000,000,000. 10 ‘‘(II) ENDOWMENT FUND.—The 11 term ‘endowment fund’ means a fund 12 established by State law, by an insti- 13 tution of higher education, or by a 14 foundation which is exempt from Fed- 15 eral income taxation and is main- 16 tained for the purpose of generating 17 income for the support of the institu- 18 tion, but which shall not include real 19 estate.’’. 20 Æ VerDate Sep 11 2014 03:36 Jun 02, 2023 Jkt 039200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6301 E:\BILLS\H3453.IH H3453 kjohnson on DSK79L0C42PROD with BILLS