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H.R. 6543 - Aim Higher Act

Introduced: 2018-07-26
Bill Status: Referred to the House Committee on Education and the Workforce.
 
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Full Text


115th CONGRESS
2d Session
H. R. 6543


    To amend and strengthen the Higher Education Act of 1965 so that every student has a path to a quality, debt-free degree or credential that leads to a rewarding career.


IN THE HOUSE OF REPRESENTATIVES

July 26, 2018

    Mr. Scott of Virginia (for himself, Mrs. Davis of California, Mr. Grijalva, Mr. Courtney, Ms. Fudge, Mr. Polis, Mr. Sablan, Ms. Wilson of Florida, Ms. Bonamici, Mr. Takano, Ms. Adams, Mr. DeSaulnier, Mr. Norcross, Ms. Blunt Rochester, Mr. Krishnamoorthi, Ms. Shea-Porter, and Mr. Espaillat) introduced the following bill; which was referred to the Committee on Education and the Workforce


A BILL

    To amend and strengthen the Higher Education Act of 1965 so that every student has a path to a quality, debt-free degree or credential that leads to a rewarding career.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. Short title; table of contents.

(a) Short title.—This Act may be cited as the “Aim Higher Act”.

(b) Table of contents.—The table of contents for this Act is as follows:


TITLE I—GENERAL PROVISIONS


TITLE II—TEACHER QUALITY ENHANCEMENT

PART A—TEACHER AND SCHOOL LEADER QUALITY PARTNERSHIP GRANTS


PART B—ENHANCING TEACHER AND SCHOOL LEADER EDUCATION


TITLE III—INSTITUTIONAL AID


TITLE IV—STUDENT ASSISTANCE


PART A


PART B


PART C


PART D


PART E


PART F


PART G


PART H


PART I


TITLE V—DEVELOPING INSTITUTIONS


TITLE VI—INTERNATIONAL EDUCATION PROGRAMS


TITLE VII—GRADUATE AND POSTSECONDARY IMPROVEMENT PROGRAMS


TITLE VIII—ADDITIONAL PROGRAMS


TITLE IX—AMENDMENTS TO OTHER LAWS

PART A—EDUCATION OF THE DEAF ACT OF 1986


PART B—TRIBALLY CONTROLLED COLLEGES AND UNIVERSITIES ASSISTANCE ACT OF 1978


PART C—CARL D. PERKINS CAREER AND TECHNICAL EDUCATION ACT OF 2006 AMENDMENTS


PART D—GENERAL EDUCATION PROVISIONS ACT


PART E—EDUCATION SCIENCES REFORM ACT OF 2002

SEC. 2. References.

Except as otherwise expressly provided, whenever in this Act an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Higher Education Act of 1965 (20 U.S.C. 1001 et seq.).

SEC. 3. General effective date.

Except as otherwise provided in this Act or the amendments made by this Act, this Act and the amendments made by this Act shall take effect on the date of enactment of this Act.

TITLE IGeneral Provisions

SEC. 1001. Definitions.

Section 103 of the Higher Education Act of 1965 (20 U.S.C. 1003) is amended—

(1) in paragraph (6), by striking “section 3(2)” and inserting “section 3”;

(2) in paragraph (13), by inserting “controlled,” before “owned”; and

(3) by adding at the end the following:

“(25) NONPROFIT INSTITUTION OF HIGHER EDUCATION.—The term ‘nonprofit institution of higher education’ means an institution of higher education that—

“(A) is a nonprofit, as defined in section 103(13); and

“(B) at which no member of the governing board of the nonprofit institution of higher education (other than ex officio members serving at the pleasure of the remainder of the governing board and receiving a fixed salary), or any person with the power to appoint or remove members of such governing board, receives any substantial direct or indirect economic benefit (including a lease, promissory note, or other contract) from the nonprofit institution of higher education.

“(26) PUBLIC INSTITUTION OF HIGHER EDUCATION.—The term ‘public institution of higher education’ means an institution of higher education—

“(A) for which all obligations of the institution are valid and binding obligations of the State (or of an equivalent governmental entity); and

“(B) for which the full faith and credit of such State (or equivalent government entity) is pledged for the timely payment of such obligations.

“(27) FOSTER CARE CHILDREN AND YOUTH.—The term ‘foster care children and youth’—

“(A) means children and youth whose care and placement are the responsibility of the State or Tribal agency that administers a State or Tribal plan under part B or E of title IV of the Social Security Act (42 U.S.C. 621 et seq. and 670 et seq.), without regard to whether foster care maintenance payments are made under section 472 of such Act (42 U.S.C. 672) on behalf of such children and youth; and

“(B) includes individuals who were age 13 or older when their care and placement were the responsibility of a State or Tribal agency that administered a State or Tribal plan under part B or E of title IV of the Social Security Act (42 U.S.C. 621 et seq. and 670 et seq.) and who are no longer under the care and responsibility of such a State or tribal agency, without regard to any such individual’s subsequent adoption, guardianship arrangement, or other form of permanency outcome.

“(28) FEDERAL EDUCATION ASSISTANCE FUNDS.—The term ‘Federal education assistance funds’ means—

“(A) funds under title IV;

“(B) educational and training benefits available to veterans, military personal, and other individuals under chapter 30, 31, 32, 33, 34, or 35 of title 38, United States Code, or chapter 101, 105, 106A, 1606, 1607, or 1608 of title 10, United States Code, or section 1784a of title 10, United States Code;

“(C) funds for training under the Workforce Innovation and Opportunity Act (29 U.S.C. 3101 et seq.), including funds under title II of such Act; and

“(D) funds under section 477 of the Social Security Act.

“(29) PROGRESS PERIOD STATUS.—The term ‘progress period status’ means the status of an institution of higher education that is determined by the Secretary to be in danger of failing to meet title IV eligibility criteria relating to student debt because the institution has a student default risk indicator of not less than 10 percent and not more than 15 percent.”.

SEC. 1002. Disclosures of foreign gifts.

Section 117 of the Higher Education Act of 1965 (20 U.S.C. 1011f) is amended—

(1) in subsection (a), by striking “250,000” and inserting “100,000”;

(2) in subsection (b)—

(A) in paragraph (1)—

(i) by inserting “The legal name of the person or institution from which the gift is received.” after “particular country.”; and

(ii) by striking “, or if unknown” and all that follows through to the period and inserting “and the country of incorporation. In this paragraph, the term ‘aggregate dollar amount’ includes the fair market value of staff members, textbooks, and other in-kind gifts.”; and

(B) in paragraph (2)—

(i) by inserting “the name of the agency or office within the government from which such a gift is received, and” after “foreign government,”; and

(ii) by inserting “In this paragraph, the term ‘aggregate dollar amount’ includes the fair market value of staff members, textbooks, and other in-kind gifts.” after “each foreign government.”;

(3) in subsection (c)(1), by striking “or if unknown” and all that follows through the period and inserting “and the country of incorporation.”;

(4) in subsection (d)—

(A) in paragraph (1) by striking “are substantially” and all that follows through “this section,” and inserting “includes all information required by this section,”; and

(B) in paragraph (2) by striking “requirements substantially similar to those” and inserting “all the information”;

(5) in subsection (e), by adding at the end the following: “Not later than 30 days after receiving a disclosure report under this section, the Secretary shall make such report electronically available to the public for downloading. Not later than 60 days after the date of the enactment of this sentence, the Secretary shall make all previous disclosure reports received after January 1, 2000 available in the same manner as described in the previous sentence.”; and

(6) in subsection (h)—

(A) in paragraph (1) by inserting “gift,” after “lease,”;

(B) in paragraph (3), by striking “or property” and inserting “property, human resources, or payment of any staff;”; and

(C) in paragraph (5)(B), by inserting “institutes, instructional programs,” after “centers,”.

SEC. 1003. Alcohol and substance misuse prevention.

(a) In general.—Section 120 of the Higher Education Act of 1965 (20 U.S.C. 1011i) is amended—

(1) in the section heading, by striking “Drug and alcohol abuse” and inserting “Alcohol and substance misuse”;

(2) in subsection (a)—

(A) in the matter preceding paragraph (1), by striking “a program to prevent the use of illicit drugs and the abuse of alcohol by students and employees that,” and inserting “an evidence-based program to prevent alcohol and substance misuse by students and employees that,”;

(B) by amending paragraph (1)(D) to read as follows:

“(D) a description of any alcohol or substance misuse counseling, treatment, rehabilitation, recovery, re-entry, or recovery support programs provided by the institution (including in partnership with a community-based organization) that are available to employees or students;”; and

(C) in paragraph (1)(E), by striking “that the institution will impose” and inserting “of the institution’s policies regarding”;

(3) in subsection (c)—

(A) in paragraph (1)—

(i) by striking “and” at the end of subparagraph (A);

(ii) in subparagraph (B), by striking the period and inserting “; and”; and

(iii) by adding at the end the following:

“(C) compliance assistance to assist institutions in complying with the requirements of this section.”;

(B) by redesignating paragraph (2) as paragraph (4); and

(C) by inserting after paragraph (1) the following:

“(2) INTERAGENCY AGREEMENT.—Not later than 180 days after the date of enactment of the Aim Higher Act, the Secretary shall enter into a interagency agreement with the Secretary of Health and Human Services to—

“(A) determine criteria that satisfy the requirement of subsection (a) that an institution of higher education has adopted and has implemented an evidence-based program described in such subsection;

“(B) establish a process for disseminating the best practices for adopting and implementing such an evidence-based program; and

“(C) establish a process that promotes coordination and collaboration between institutions of higher education and the respective State agencies that administer the Substance Abuse Prevention and Treatment Block Grants pursuant to subpart II of the Public Health Service Act (42 U.S.C. 300x–21).

“(3) GUIDANCE.—Not later than 1 year after the date of enactment of the Aim Higher Act, the Secretary shall, in coordination with the Secretary of Health and Human Services, issue guidance with respect to the criteria described in paragraph (2)(A).”; and

(4) in subsection (e)—

(A) in the subsection heading, by striking “drug abuse” in the heading and inserting “substance misuse”;

(B) in paragraph (1)—

(i) by striking “other organizations” and inserting “community-based organizations that partner with institutions of higher education”;

(ii) by striking “programs of prevention, and education (including treatment-referral) to reduce and eliminate the illegal use of drugs and alcohol and the violence associated with such use” and inserting “evidence-based programs of alcohol and substance misuse prevention and education (including programs to improve access to treatment, referral for treatment services, or crisis intervention services) to eliminate illegal substance use, decrease substance misuse, and improve public health and safety,”; and

(iii) by striking “alcohol and drug abuse” and inserting “substance use disorder”;

(C) by redesignating paragraphs (2) through (5) as paragraphs (3) through (6), respectively;

(D) by inserting after paragraph (1) the following:

“(2) ADDITIONAL USES.—In addition to the activities described in paragraph (1), a grant or contract awarded under paragraph (1) may be used to carry out 1 or more of the following evidence-based programs or activities:

“(A) Providing programs for recovery support services, and peer support services and counseling for students with a substance use disorder.

“(B) Promoting integration and collaboration in campus-based health services between primary care, substance use disorder services, and mental health services.

“(C) Promoting integrated care services related to screening, diagnosis, prevention, and treatment of mental, behavioral, and substance use disorders for students.

“(D) Providing re-entry assistance for students on academic probation due to their substance use disorder.

“(E) Preventing fatal and nonfatal overdoses.

“(F) Providing education to students, faculty, or other personnel on—

“(i) recognizing the signs and symptoms of substance use disorder, and how to engage and support a person in a crisis situation;

“(ii) resources available in the community, within the institution of higher education, and other relevant resources for individuals with a substance use disorder; and

“(iii) safely de-escalating crisis situations involving individuals with a substance use disorder.”; and

(E) by amending paragraph (6), as redesignated by subparagraph (C), to read as follows:

“(6) AUTHORIZATION OF APPROPRIATIONS.—There are authorized to be appropriated to carry out this section $30,000,000 for fiscal year 2019 and each of the 5 succeeding fiscal years.”.

(b) Effective dates.—

(1) IN GENERAL.—Except as provided in paragraph (2), the amendments made by this section shall take effect on the date of enactment of this Act.

(2) DELAYED EFFECTIVE DATES.—The amendments made by subsection (a)(2) shall apply to institutions of higher education on the date that is 2 years after the date of enactment of this Act.

SEC. 1004. Exception to required registration with selective service system.

Part B of title I of the Higher Education Act of 1965 (20 U.S.C. 1011 et seq.) is amended by adding at the end the following:

“SEC. 124. Exception to required registration with selective service system.

“Notwithstanding section 12(f) of the Military Selective Service Act (50 U.S.C. 3811(f)), a person shall not be ineligible for assistance or a benefit provided under title IV if the person is required under section 3 of such Act (50 U.S.C. 3802) to present himself for and submit to registration under such section, and fails to do so in accordance with any proclamation, rule, or regulation issued under such section.”.

SEC. 1005. For-profit conversions.

(a) In general.—Part B of title I of the Higher Education Act of 1965 (20 U.S.C. 1011 et seq.) is further amended by adding at the end the following:

“SEC. 125. For-profit conversions.

“(a) Determination.—On determining that an institution of higher education meets the requirements under subsection (b), the Secretary shall—

“(1) approve the conversion of an institution of higher education to a nonprofit institution of higher education; and

“(2) review such approval every 5 years thereafter.

“(b) Requirements.—To be eligible to convert to a nonprofit institution of higher education under this Act, an institution of higher education shall submit an application to the Secretary that demonstrates—

“(1) that such institution is a nonprofit institution of higher education, as defined in section 103(25);

“(2) subject to subsection (d), that the institution has not acquired any other institution of higher education (as defined in section 102), or a significant portion of the assets of such other institution, for more than the value of such other institution or such assets, respectively; and

“(3) in the case of an institution that has been acquired by another party, that such institution is not controlled by such party.

“(c) Transition period.—In the case of an institution of higher education approved for conversion under subsection (a), such institution shall be subject to any rules and regulations that apply to proprietary institutions of higher education, as defined in section 102(b), for a minimum of 5 years.

“(d) Value.—The term ‘value’, with respect to an acquisition under subsection (b)(2)—

“(1) includes the value of any ongoing relationship (including any contract, agreement, lease or other arrangement between the acquiring institution and the acquired institution), as defined in section 180.905 of title 2, Code of Federal Regulations, as in effect on the date of enactment of this section;

“(2) subject to paragraph (3), may be demonstrated through any of—

“(A) third-party valuation;

“(B) independent financing of the acquisition based upon the assets acquired; or

“(C) full and open competition in the procurement of services or assets, as such term is defined in section 2.101(b) of title 48, Code of Federal Regulations, as in effect on the date of the enactment of this section; and

“(3) shall be subject to such other demonstration process determined appropriate by the Secretary in a case in which the Secretary does not accept a demonstration process described in paragraph (2).

“(e) Publication.—

“(1) APPLICATION.—Before the Secretary may approve the conversion of an institution of higher education under subsection (a), the application of such institution submitted to the Secretary under subsection (b) shall be published in the Federal Register with an appropriate notice and comment period.

“(2) DETERMINATION.—The Secretary shall publish each determination under this section, and the reasons for such determination, under the Federal Register.

“(f) Tax exempt status.—In carrying out this section, the Secretary may consider the tax exempt status of an institution of higher education under section 501(c)(3) of the Internal Revenue Code, but may not use such status as the sole determining factor for approval under subsection (a).”.

(b) Expertise.—The Secretary of Education shall create a unit within the Department of Education with the expertise necessary to carry out section 125 of the Higher Education Act of 1965, as added by subsection (a).

SEC. 1006. Postsecondary data system.

Section 132 of the Higher Education Act of 1965 (20 U.S.C. 1015a) is amended—

(1) in subsection (i)(1)(T), by striking “rate,” and inserting “rate and adjusted cohort default rate,”;

(2) by redesignating subsection (l) as subsection (m); and

(3) by inserting after subsection (k) the following:

“(l) Data system.—

“(1) IN GENERAL.—

“(A) ESTABLISHMENT OF SYSTEM.—The Commissioner for Education Statistics (referred to in this subsection as the ‘Commissioner’) shall develop and maintain a postsecondary data system that is secure and protects student data privacy to—

“(i) evaluate student-level—

“(I) enrollment, progression, and completion patterns;

“(II) outcomes following postsecondary enrollment and completion;

“(III) postsecondary costs; and

“(IV) financial aid;

“(ii) improve institutional transparency and facilitate institutional improvement while reducing the reporting burden on institutions of higher education; and

“(iii) analyze, evaluate, and improve Federal student aid programs;

“(B) REQUIREMENTS.—In developing the data system described in this subsection, the Commissioner shall—

“(i) focus on the needs of users of such system and entities reporting to such system, including institutions of higher education;

“(ii) follow relevant web design and digital services standards; and

“(iii) ensure student data privacy and security in accordance with the most recent Federal standards developed by the National Institute of Standards and Technology.

“(C) REPORTING.—Notwithstanding any other provision of this section, to the extent that another provision of this section requires the same reporting or collection of data that is required under this subsection, an institution of higher education (as defined in section 102), or the Secretary or Commissioner may use the reporting or data required for the postsecondary data system established pursuant to this subsection to satisfy both such requirements.

“(2) DATA SYSTEM ELEMENTS.—

“(A) IN GENERAL.—The Commissioner shall consult with institutions of higher education, individuals and organizations with expertise in data privacy and security, consumer protections, and other stakeholders in determining and, where appropriate, revising, data elements to be included in the postsecondary data system, in accordance with subparagraph (B).

“(B) REQUIRED ELEMENTS.—Such postsecondary data system shall include, at a minimum, the following student-level data elements:

“(i) The student-level data elements necessary to calculate the information within any student-related surveys included in the Integrated Postsecondary Education Data System (IPEDS).

“(ii) The student-level data elements necessary to allow for reporting student enrollment, persistence, retention, transfer, and completion measures for all credential levels within and across institutions of higher education, and disaggregated by the following categories to allow for cross tabulation of data:

“(I) First-time enrollment status.

“(II) Attendance intensity, whether full-time or part-time.

“(III) Distance education enrollment status.

“(IV) Credential-seeking status.

“(V) Credential level.

“(VI) Race (as defined in section 153(3)(a) of the Education Sciences Reform Act (20 U.S.C. 9501(3)(a))).

“(VII) Age.

“(VIII) Gender.

“(IX) Program of study.

“(X) Military or veteran status, as determined made on receipt of veteran’s education benefits (defined in section 480(c)).

“(XI) Federal Pell Grant eligibility.

“(XII) Federal Pell Grant recipient status.

“(XIII) Federal loan recipient status under title IV.

“(XIV) Disability status.

“(XV) First-generation college student status (defined in section 318).

“(C) PROHIBITED ELEMENTS.—The Commissioner shall not include health data, student discipline records or data, elementary and secondary education data, physical address, citizenship or national origin status, course grades, student-level postsecondary entrance examination results, political affiliation, or religion in the postsecondary data system.

“(D) ADDITIONAL DATA ELEMENTS.—The Commissioner may, after consultation with institutions of higher education and other stakeholders, make a determination to promulgate regulations to include additional data elements in the postsecondary student data system.

“(3) FEDERAL DATA SYSTEM COORDINATION.—

“(A) IN GENERAL.—Where appropriate, the Commissioner shall enter into agreements with other Federal agencies to create secure linkages that meet the requirements of this paragraph between the data collected under the postsecondary data system under this subsection and relevant Federal data systems.

“(B) CONSISTENT REPORTING.—The Commissioner shall ensure that the secure linkages described in subparagraph (A) result in consistent reporting of, at a minimum, the following categories of data for all students:

“(i) Enrollment, retention, transfer, and completion outcomes.

“(ii) Financial indicators for students receiving Federal grants and loans under this title, including grant and loan aid by source, cumulative student debt, loan repayment status, and repayment plan.

“(iii) Postcollegiate outcomes, including earnings, employment, and postgraduate education, by program of study and credential level.

“(C) CONFIDENTIALITY AND DATA PRIVACY.—In creating secure linkages with relevant Federal data systems described in this paragraph, the Commissioner shall ensure that such linkages—

“(i) protect student data privacy; and

“(ii) comply with the security and privacy protections described in all applicable Federal data protection protocols.

“(D) REVIEW.—Not less often than once every 5 years after the establishment of the postsecondary data system under this subsection, the Commissioner shall review methods for streamlining data collection from postsecondary institutions and minimizing duplicative reporting with the Department of Education and across Federal agencies that provide data for the postsecondary data system.

“(4) INFORMATION SHARING.—

“(A) AGGREGATE INFORMATION.—The Commissioner shall make summary aggregate information publicly available and user-friendly. Such aggregate information shall—

“(i) include, at a minimum, for each institution of higher education, measures of student access, progression, completion, student costs, and postcollegiate student outcomes; and

“(ii) not include any personally identifiable information.

“(B) RESEARCH AND EVALUATION.—The Commissioner shall develop and implement a secure process—

“(i) for making student-level, non-personally identifiable information from the postsecondary data system described in this subsection available for research and evaluation purposes approved by the Commissioner in a manner compatible with practices for disclosing National Center for Education Statistics data as in effect on the day before the date of enactment of the Aim Higher Act;

“(ii) through which any institution of higher education or a State that fully participates in the postsecondary data system under this subsection may request and receive from the Commissioner non-personally identifiable information, and aggregate summary data, related to students who have attended such institution or any institution in such State, as applicable, for purposes of institutional or State improvement and program evaluation; and

“(iii) for providing, at least annually, each institution of higher education that fully participates in the postsecondary data system under this subsection with a set of program-level, non-personally identifiable information from the postsecondary data system for students currently or formerly associated with the institution.

“(C) REGULATION.—The Commissioner shall promulgate guidance and regulations to ensure—

“(i) fair, secure, and equitable access to such data; and

“(ii) privacy, security, and access to such data.

“(D) PROHIBITIONS.—Data collected under this subsection shall not be—

“(i) sold to any third party by the Commissioner, any institution of higher education, any State, or any other entity; or

“(ii) used for any law enforcement activity or any other activity that would result in adverse action against any student, including enforcement of Federal immigration law or debt collection activity.

“(5) DATA SUBMISSION.—

“(A) REQUIRED SUBMISSION.—Each institution of higher education participating in a program under this title shall collect and submit to the Commissioner the data requested by the Commissioner to carry out this subsection.

“(B) AUTHORIZED SUBMISSION.—An institution of higher education not participating in a program under this title may collect and submit to the Commissioner the data requested by the Commissioner to carry out this subsection.”.

SEC. 1007. Textbook information.

Section 133 of the Higher Education Act of 1965 (20 U.S.C. 1015b) is amended—

(1) in subsection (a), by striking “identify ways to decrease” and inserting “identify and adopt innovative tools to decrease”;

(2) in subsection (b)(9)—

(A) by striking “to accompany a” and inserting “to accompany or support a” in the matter preceding subparagraph (A); and

(B) in subparagraph (A), by striking “materials, computer disks, website access” and inserting “materials, online and digital learning platforms and materials, website access”;

(3) in subsection (c)(1)(D)(i), by striking “paperback, and unbound” and inserting “paperback, digital, and unbound”; and

(4) in subsection (f)—

(A) in paragraph (1), by inserting “accessing lower-cost digital course materials and digital textbooks,” after “programs for”; and

(B) in paragraph (3), by inserting “, such as inclusive access programs or digital content distribution platforms” after “delivery programs”.

SEC. 1008. Repeal of prohibition of student information database.

Section 134 of the Higher Education Act of 1965 (20 U.S.C. 1015c) is repealed.

SEC. 1009. In-State tuition rates for homeless children and youths and foster care children and youth.

Section 135 of the Higher Education Act of 1965 (20 U.S.C. 1015d) is amended—

(1) in the section heading, by inserting “, homeless children and youths, and foster care children and youth” after “children”;

(2) in subsection (a)—

(A) by striking “(a) Requirement.—In the case” and inserting the following:

“(a) Requirement.—

“(1) ARMED FORCES.—In the case”; and

(B) by adding at the end the following:

“(2) HOMELESS CHILDREN AND YOUTHS AND FOSTER CARE CHILDREN AND YOUTH.—In the case of a homeless child or youth or a foster care child or youth, such State shall not charge such individual tuition for attendance at a public institution of higher education in the State at a rate that is greater than the rate charged for residents of the State.”; and

(3) by striking subsections (c) and (d) and inserting the following:

“(c) Effective date.—

“(1) ARMED FORCES.—With respect to an individual described in subsection (a)(1), this section shall remain in effect as it was in effect on the day before the date of enactment of the Aim Higher Act.

“(2) HOMELESS CHILDREN AND YOUTHS AND FOSTER CARE CHILDREN AND YOUTH.—With respect to an individual described in subsection (a)(2), this section shall take effect at each public institution of higher education in a State that receives assistance under this Act for the first period of enrollment at such institution that begins during the first full award year following the date of enactment of the Aim Higher Act.

“(d) Definitions.—In this section:

“(1) ARMED FORCES.—The terms ‘armed forces’ and ‘active duty for a period of more than 30 days’ have the meanings given those terms in section 101 of title 10, United States Code.

“(2) HOMELESS CHILDREN AND YOUTHS.—The term ‘homeless children and youths’ has the meaning given the term in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a).”.

SEC. 1010. Student loan ombudsman.

Section 141(f)(3) (20 U.S.C. 1018(f)(3)) is amended—

(1) in subparagraph (A), by striking “and” after the semicolon;

(2) in subparagraph (B), by striking the period at the end and inserting “; and”; and

(3) by adding at the end the following:

“(C) receive, review, and resolve expeditiously complaints regarding a student’s independence under subparagraph (B) or (H) of section 480(d)(1), in consultation with knowledgeable parties, including child welfare agencies, local educational agency liaisons for homeless children and youths designated under section 722(g)(1)(J)(ii) of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11432(g)(1)(J)(ii)), or State Coordinators for Education of Homeless Children and Youths established in accordance with section 722 of such Act (42 U.S.C. 11432).”.

TITLE IITeacher Quality Enhancement

PART ATeacher and School Leader Quality Partnership Grants

SEC. 2001. Definitions.

Section 200 of the Higher Education Act of 1965 (20 U.S.C. 1021) is amended to read as follows:

“SEC. 200. Definitions.

“Except as otherwise provided, in this title:

“(1) ARTS AND SCIENCES.—The term ‘arts and sciences’ means—

“(A) when referring to an organizational unit of an institution of higher education, any academic unit that offers one or more academic majors in disciplines or content areas corresponding to the academic subject matter areas in which teachers provide instruction; and

“(B) when referring to a specific academic subject area, the disciplines or content areas in which academic majors are offered by the arts and sciences organizational unit.

“(2) BLENDED LEARNING.—The term ‘blended learning’ has the meaning given the term in section 4102 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7112).

“(3) CHILDREN FROM LOW-INCOME FAMILIES.—The term ‘children from low-income families’ means children described in section 1124(c)(1)(A) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6333(c)(1)(A)).

“(4) COMPREHENSIVE LITERACY INSTRUCTION.—The term ‘comprehensive literacy instruction’ has the meaning given the term in section 2221(b)(1) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6641(b)(1)).

“(5) DIGITAL LEARNING.—The term ‘digital learning’ has the meaning given the term in section 4102 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7112).

“(6) DIVERSE TEACHER CANDIDATES.—The term ‘diverse teacher candidates’ means teacher candidates from—

“(A) underrepresented groups; or

“(B) teachers who are linguistically and culturally prepared to educate high-need students.

“(7) EARLY CHILDHOOD EDUCATOR.—The term ‘early childhood educator’ means an individual with primary responsibility for the education of children in an early childhood education program.

“(8) EDUCATIONAL SERVICE AGENCY.—The term ‘educational service agency’ has the meaning given the term in section 8101 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801).

“(9) EDUCATOR.—The term ‘educator’ means a teacher, principal or other school leader, specialized instructional support personnel, or other staff member who provides or directly supports instruction, such as a school librarian, counselor, or paraprofessional.

“(10) ELIGIBLE PARTNERSHIP.—The term ‘eligible partnership’ means an entity that—

“(A) shall include—

“(i) a high-need local educational agency;

“(ii)(I) a high-need school or a consortium of high-need schools served by the high-need local educational agency; or

“(II) as applicable, a high-need early childhood education program;

“(iii) a partner institution;

“(iv) a school, department, or program of education within such partner institution, which may include an existing teacher professional development program with proven outcomes within a four-year institution of higher education that provides intensive and sustained collaboration between faculty and local educational agencies consistent with the requirements of this title; and

“(v) a school or department of arts and sciences within such partner institution; and

“(B) may include any of the following:

“(i) The Governor of the State.

“(ii) The State educational agency.

“(iii) The State board of education.

“(iv) The State agency for higher education.

“(v) A business.

“(vi) A public or private nonprofit educational organization.

“(vii) An educational service agency.

“(viii) A teacher, principal, or school leader organization.

“(ix) A high-performing local educational agency, or a consortium of such local educational agencies, that can serve as a resource to the partnership.

“(x) A charter school (as defined in section 4310 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7221i)).

“(xi) A school or department within the partner institution that focuses on psychology and human development.

“(xii) A school or department within the partner institution with comparable expertise in the disciplines of teaching, learning, and child and adolescent development.

“(xiii) An entity operating a program that provides alternative routes to State certification of teachers or principals.

“(11) ENGLISH LEARNER.—The term ‘English learner’ has the meaning given the term in section 8101 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801).

“(12) EVIDENCE-BASED.—The term ‘evidence-based’ has the meaning given the term in subclauses (I) and (II) of section 8101(21)(A)(i) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801(21)(A)).

“(13) EVIDENCE OF STUDENT LEARNING.—The term ‘evidence of student learning’ means multiple measures of student learning that include the following:

“(A) Valid and reliable student assessment data, which may include data—

“(i) based on—

“(I) student learning gains on statewide academic assessments under section 1111(b)(2) of the Elementary and Secondary Education Act of 1965; or

“(II) student academic achievement assessments used at the national, State, or local levels, where available and appropriate for the curriculum and students taught;

“(ii) from classroom-based summative assessments; and

“(iii) from high-quality validated performance-based assessments that are aligned with challenging State academic standards adopted under section 1111(b)(1) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(b)(1)).

“(B) Not less than one of the following additional measures:

“(i) Student work, including measures of performance criteria and evidence of student growth.

“(ii) Teacher-generated information about student goals and growth.

“(iii) Parental feedback about student goals and growth.

“(iv) Student feedback about learning and teaching supports.

“(v) Assessments of affective engagement and self-efficacy.

“(vi) Other appropriate measures, as determined by the State.

“(14) FOSTER CARE.—

“(A) IN GENERAL.—The term ‘foster care’ means 24-hour substitute care for a child placed away from the child’s parents or guardians and for whom the State agency has placement and care responsibility. The term includes care through a placement in a foster family home, a foster home of a relative, a group home, an emergency shelter, a residential facility, a child care institution, or a pre-adoptive home.

“(B) RULE.—A child shall be considered to be in foster care under subparagraph (A) without regard to whether—

“(i) the foster care facility is licensed and payments are made by the State or local agency for the care of the child;

“(ii) adoption subsidy payments are being made prior to the finalization of an adoption; or

“(iii) Federal matching funds for any payments described in clause (i) or (ii) are being made.

“(15) HIGH-NEED EARLY CHILDHOOD EDUCATION PROGRAM.—The term ‘high-need early childhood education program’ means an early childhood education program serving children from low-income families that is located within the geographic area served by a high-need local educational agency.

“(16) HIGH-NEED LOCAL EDUCATIONAL AGENCY.—The term ‘high-need local educational agency’ means a local educational agency—

“(A)(i) that serves not fewer than 10,000 low-income children;

“(ii) for which not less than 20 percent of the children served by the agency are low-income children;

“(iii) that meets the eligibility requirements for funding under the Small, Rural School Achievement Program under section 5211(b) of the Elementary and Secondary Education Act of 1965 or the Rural and Low-Income School Program under section 6221(b) of such Act; or

“(iv) that has a percentage of low-income children that is in the highest quartile among such agencies in the State; and

“(B)(i) for which one or more schools served by the agency is identified by the State for comprehensive supports and interventions under section 1111(c)(4)(D)(i) of the Elementary and Secondary Education Act of 1965; or

“(ii) for which one or more schools served by the agency has a high teacher turnover rate or is experiencing a teacher shortage in a high-needs field, as determined by the State.

“(17) HIGH-NEED SCHOOL.—

“(A) IN GENERAL.—The term ‘high-need school’ means a school that, based on the most recent data available, meets one or both of the following:

“(i) The school is in the highest quartile of schools in a ranking of all schools served by a local educational agency, ranked in descending order by percentage of students from low-income families enrolled in such schools, as determined by the local educational agency based on one of the following measures of poverty:

“(I) The percentage of students aged 5 through 17 in poverty counted in the most recent census data approved by the Secretary.

“(II) The percentage of students eligible for a free or reduced price school lunch under the Richard B. Russell National School Lunch Act.

“(III) The percentage of students in families receiving assistance under the State program funded under part A of title IV of the Social Security Act.

“(IV) The percentage of students eligible to receive medical assistance under the Medicaid program.

“(V) A composite of two or more of the measures described in subclauses (I) through (IV).

“(ii) In the case of—

“(I) an elementary school, the school serves students not less than 60 percent of whom are eligible for a free or reduced price school lunch under the Richard B. Russell National School Lunch Act; or

“(II) any other school that is not an elementary school, the other school serves students not less than 45 percent of whom are eligible for a free or reduced price school lunch under the Richard B. Russell National School Lunch Act.

“(B) SPECIAL RULE.—

“(i) DESIGNATION BY THE SECRETARY.—The Secretary may, upon approval of an application submitted by an eligible partnership seeking a grant under this title, designate a school that does not qualify as a high-need school under subparagraph (A) as a high-need school for the purpose of this title. The Secretary shall base the approval of an application for designation of a school under this clause on a consideration of the information required under clause (ii), and may also take into account other information submitted by the eligible partnership.

“(ii) APPLICATION REQUIREMENTS.—An application for designation of a school under clause (i) shall include—

“(I) the number and percentage of students attending such school who are—

“(aa) aged 5 through 17 in poverty counted in the most recent census data approved by the Secretary;

“(bb) eligible for a free or reduced price school lunch under the Richard B. Russell National School Lunch Act;

“(cc) in families receiving assistance under the State program funded under part A of title IV of the Social Security Act; or

“(dd) eligible to receive medical assistance under the Medicaid program;

“(II) information about the student academic achievement of students at such school; and

“(III) for a secondary school, the four-year adjusted cohort graduation rate for such school.

“(18) HIGHLY COMPETENT.—The term ‘highly competent’, when used with respect to an early childhood educator, means an educator—

“(A) with specialized education and training in development and education of young children from birth until entry into kindergarten or a specialization in infants and toddlers or pre-school children;

“(B) with—

“(i) a baccalaureate degree in an academic major in an early childhood or related field; or

“(ii) an associate’s degree in an early childhood or related educational area; and

“(C) who has demonstrated a high level of knowledge and use of content and pedagogy in the relevant areas associated with quality early childhood education.

“(19) HOMELESS CHILD.—The term ‘homeless child’ means an individual who is a homeless child or youth under section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434).

“(20) INDUCTION PROGRAM.—The term ‘induction program’ means a formalized program for new teachers or school leaders, during not less than the teachers’ or school leaders’ first 2 years of, respectively, teaching or leading, that is designed to provide support for, and improve the professional performance and increase the retention in the education field of, beginning teachers or school leaders. Such program shall promote effective teaching or leadership skills and shall include the following components:

“(A) High-quality mentoring.

“(B) Periodic, structured time for collaboration, including with mentors, as well as time for information-sharing among teachers, principals, other school leaders and administrators, other appropriate instructional staff, and participating faculty or program staff in the partner institution.

“(C) The application of evidence-based instructional practices.

“(D) Opportunities for new teachers or school leaders to draw directly on the expertise of mentors, faculty or program staff, and researchers to support the integration of evidence-based research with practice.

“(E) The development of skills in evidence-based instructional and behavioral interventions.

“(F) Faculty or program staff who—

“(i) model the integration of research and practice in the classroom and school; and

“(ii) as appropriate, assist new teachers or school leaders with the effective use and integration of educational technology and the principles of universal design for learning into the classroom or school.

“(G) Interdisciplinary collaboration among teacher leaders or school leaders, faculty or program staff, researchers, and other staff who prepare new teachers or school leaders with respect to, as applicable, the learning process, the assessment of learning, or the leadership of a school.

“(H) As applicable to the role, assistance with understanding of the effective use of data, particularly student achievement data, and the applicability of such data to inform and improve classroom instruction and school leadership.

“(I) Regular and structured observation and evaluation of new teachers, principals, or other school leaders that are based in part on evidence of student learning, shall include multiple measures of educator performance, and shall provide clear, timely, and useful feedback to teachers, principals, or other school leaders, as applicable.

“(J) The development of skills in improving the school culture and climate related to school leadership and the role of the principal, including to—

“(i) nurture teacher and staff development to strengthen classroom practice;

“(ii) build and sustain an inclusive culture of learning among adults and children;

“(iii) strengthen communications and relationships with parents, caregivers, paraprofessionals, and community stakeholders;

“(iv) facilitate the sharing of knowledge, insight, and best practices in the community served by the school, preschool program, or early childhood education program, including with youth serving programs (such as before- and after-school and summer programs); and

“(v) build relationships and communicate effectively with State and local educational agency officials.

“(21) INFANT OR TODDLER WITH A DISABILITY.—The term ‘infant or toddler with a disability’ has the meaning given the term in section 632 of the Individuals with Disabilities Education Act (20 U.S.C. 1432).

“(22) MENTORING.—The term ‘mentoring’ means the mentoring of new or prospective teachers or school leaders through a program that—

“(A) includes clear criteria for the selection of teacher or school leader mentors who may be program staff and who will provide role model relationships for mentees, which criteria shall be developed by the eligible partnership and based on measures of teacher or school leader effectiveness;

“(B) provides high-quality training for such mentors, including instructional strategies for literacy instruction and classroom management (including approaches that improve the schoolwide climate for learning, create inclusive classroom environments, and address the social and emotional needs of students, which may include positive behavioral interventions and supports);

“(C) provides regular and ongoing opportunities for mentors and mentees to observe each other’s teaching or leading methods in classroom or school settings during the day in a high-need school in the high-need local educational agency in the eligible partnership;

“(D) provides paid release time for mentors;

“(E) for teachers, provides mentoring to each mentee by a colleague who teaches in the same field, grade, or subject as the mentee;

“(F) for teachers, promotes empirically-based practice of, and evidence-based research on, where applicable—

“(i) teaching and learning;

“(ii) assessment of student learning;

“(iii) the development of teaching skills through the use of instructional and behavioral interventions; and

“(iv) the improvement of the mentees’ capacity to measurably advance student learning; and

“(G) includes—

“(i) common planning time or regularly scheduled collaboration for the mentor and mentee; and

“(ii) as applicable, joint professional development opportunities.

“(23) PARENT.—The term ‘parent’ has the meaning given the term in section 8101 of the Elementary and Secondary Education Act of 1965.

“(24) PARTNER INSTITUTION.—The term ‘partner institution’ means an institution of higher education, which may include a 2-year institution of higher education offering a dual program with a 4-year institution of higher education, participating in an eligible partnership that has a teacher or school leader preparation program that is accredited by the State—

“(A) in the case of a teacher preparation program—

“(i) whose graduates exhibit strong performance on State-determined qualifying assessments for new teachers through—

“(I) demonstrating that 80 percent or more of the graduates of the program who intend to enter the field of teaching have passed all of the applicable State qualification assessments for new teachers, which shall include an assessment of each prospective teacher’s subject matter knowledge in the content area in which the teacher intends to teach; or

“(II) that is not designated as a low-performing teacher preparation program in the State as determined by the State—

“(aa) using criteria consistent with the requirements for the State assessment under section 207(a) before the first publication of such report card; and

“(bb) using the State assessment required under section 207(a), after the first publication of such report card and for every year thereafter; and

“(ii) that requires—

“(I) each student in the program to meet high academic standards or demonstrate a record of success, as determined by the institution (including prior to entering and being accepted into a program), and participate in intensive clinical experience;

“(II) each student in the program preparing to become a teacher who meets the applicable State certification and licensure requirements, including any requirements for certification obtained through alternative routes to certification, or, with regard to special education teachers, the qualifications described in section 612(a)(14)(C) of the Individuals with Disabilities Education Act; and

“(III) each student in the program preparing to become an early childhood educator to meet degree requirements, as established by the State, and become highly competent; and

“(B) in the case of a school leader preparation program—

“(i) whose graduates exhibit a strong record of successful school leadership as demonstrated by—

“(I) a high percentage of such graduates taking positions as assistant principals and principals within 3 years of completing the program; and

“(II) a high percentage of such graduates rated effective or above in State school leader evaluation and support systems (as described in section 2101(c)(4)(B)(ii) of the Elementary and Secondary Education Act of 1965) or, if no such ratings are available, other, comparable indicators of performance; and

“(ii) that requires each student in the program to participate in intensive clinical experience in an authentic setting (including by assuming substantial leadership responsibilities) in which the student can be evaluated on leadership skills and the student’s effect on student outcomes as part of program completion.

“(25) PROFESSIONAL DEVELOPMENT.—The term ‘professional development’ has the meaning given the term in section 8101 of the Elementary and Secondary Education Act of 1965.

“(26) PROFESSION-READY.—The term ‘profession-ready’—

“(A) when used with respect to a principal, means a principal or other school leader who—

“(i) has an advanced degree, or other appropriate credential;

“(ii) has completed a principal or other school leader preparation process and is fully certified and licensed by the State in which the principal or other school leader is employed;

“(iii) has demonstrated instructional leadership, including the ability to collect, analyze, and utilize data on evidence of student learning and evidence of classroom practice;

“(iv) has demonstrated proficiency in professionally recognized leadership standards, such as through—

“(I) a performance assessment;

“(II) completion of a residency program; or

“(III) other measures of leadership effectiveness, as determined by the State; and

“(v) has demonstrated the ability to work with students who are culturally and linguistically diverse;

“(B) when used with respect to a teacher, means a teacher who—

“(i) has completed a teacher preparation program and is fully certified and licensed to teach by the State in which the teacher is employed;

“(ii) has demonstrated content knowledge in the subject or subjects the teacher teaches;

“(iii) has demonstrated the ability to work with students who are culturally and linguistically diverse;

“(iv) has demonstrated teaching skills, such as through—

“(I) a teacher performance assessment; or

“(II) other measures of teaching skills, as determined by the State; and

“(v) has demonstrated proficiency with the use of educational technology; and

“(C) when used with respect to any other educator not described in subparagraph (A) or (B), means an educator who has completed an appropriate preparation program and is fully certified or licensed by the State in which the educator is employed.

“(27) RESIDENCY PROGRAM.—The term ‘residency program’ means a school-based educator preparation program in which a prospective teacher, principal or other school leader, or other educator—

“(A) for 1 academic year, works alongside a mentor teacher, principal or other school leader, or other educator who is the educator of record;

“(B) receives concurrent instruction during the year described in subparagraph (A) from the partner institution, which may be courses taught by local educational agency personnel or residency program faculty, in—

“(i) the teaching of the content area in which the teacher will become certified or licensed;

“(ii) pedagogical practices; and

“(iii) leadership, management, organizational, and instructional skills necessary to serve as a principal or other school leader;

“(C) acquires effective teaching or leadership skills; and

“(D) prior to completion of the program, earns a master’s degree or other appropriate advanced credential, attains full State teacher, principal, or school leader certification or licensure, and becomes profession-ready.

“(28) SCHOOL LEADER.—The term ‘school leader’ has the meaning given the term in section 8101 of the Elementary and Secondary Education Act of 1965.

“(29) SCHOOL LEADER PREPARATION ENTITY.—The term ‘school leader preparation entity’ means an institution of higher education or a nonprofit organization, including those institutions or organizations that provide alternative routes to certification, that is approved by the State to prepare school leaders to be effective.

“(30) SCHOOL LEADER PREPARATION PROGRAM.—The term ‘school leader preparation program’ means a program offered by a school leader preparation entity, whether a traditional or alternative route, that is approved by the State to prepare school leaders to be effective and that leads to a specific State certification to be a school leader.

“(31) TEACHER LEADER.—The term ‘teacher leader’ means a highly effective educator who carries out formalized leadership responsibilities based on the demonstrated needs of the elementary school or secondary school in which the teacher is employed, while maintaining a role as a classroom instructor who—

“(A) is trained in and practices teacher leadership; and

“(B) fosters a collaborative culture to—

“(i) support educator development, effectiveness, and student learning;

“(ii) support access and use research to improve practice and student learning;

“(iii) promote professional learning for continuous improvement;

“(iv) facilitate improvements in instruction and student learning; promote the appropriate use of assessments and data for school and district improvement;

“(v) improve outreach and collaboration with families and community;

“(vi) advance the profession by shaping and implementing policy; and

“(vii) advocate for increased access to great teaching and learning for all students.

“(32) TEACHING SKILLS.—The term ‘teaching skills’ means skills that enable a teacher to—

“(A) increase student learning, achievement, and the ability to apply knowledge;

“(B) effectively convey, and explain, and provide opportunities for students to apply academic subject matter;

“(C) effectively teach higher-order analytical, evaluation, problem-solving, critical thinking, social and emotional, collaboration, and communication skills;

“(D) employ strategies grounded in the disciplines of teaching and learning that—

“(i) are based on empirically-based practice and evidence-based research, where applicable, related to teaching and learning;

“(ii) are specific to academic subject matter; and

“(iii) focus on the identification of students’ specific learning needs, particularly students with disabilities, students who are English-learners, students who are gifted and talented, and students with low literacy levels, and the tailoring of academic instruction to such needs;

“(E) design and conduct an ongoing assessments of student learning, which may include the use of formative assessments, performance-based assessments, project-based assessments, or portfolio assessments, that measures higher-order thinking skills (including application, analysis, synthesis, and evaluation) and use this information to inform and personalize instruction;

“(F) support the social, emotional, and academic achievement of all students including effectively manage a classroom creating a positive and inclusive classroom environment, including the ability to implement positive behavioral interventions and support strategies;

“(G) support technology-rich instruction, assessment and learning management in content areas, technology literacy, and understanding of the principles of universal design;

“(H) demonstrate proficiency with the use of educational technology;

“(I) communicate and work with families, and involve families in their children’s education; and

“(J) use, in the case of an early childhood educator or an educator at the elementary school or secondary school level, age-appropriate and developmentally appropriate strategies and practices for children and youth in early childhood education and elementary school or secondary school programs, respectively.

“(33) TEACHER PERFORMANCE ASSESSMENT.—The term ‘teacher performance assessment’ means a pre-service assessment used to measure teacher performance that is approved by the State and is—

“(A) based on professional teaching standards;

“(B) used to measure the effectiveness of a teacher’s—

“(i) curriculum planning;

“(ii) instruction of students, including appropriate plans and modifications for students who are limited English proficient and students who are children with disabilities;

“(iii) assessment of students, including analysis of evidence of student learning; and

“(iv) ability to advance student learning;

“(C) validated based on professional assessment standards;

“(D) reliably scored by trained evaluators, with appropriate oversight of the process to ensure consistency; and

“(E) used to support continuous improvement of educator practice.

“(34) TEACHER PREPARATION ENTITY.—The term ‘teacher preparation entity’ means an institution of higher education, a nonprofit organization, or other organization that is approved by a State to prepare teachers to be effective in the classroom.

“(35) TEACHER PREPARATION PROGRAM.—The term ‘teacher preparation program’ means a program offered by a teacher preparation entity that leads to a specific State teacher certification.

“(36) TRAUMA-INFORMED CARE.—The term ‘trauma-informed care’ is defined as the evidence-based practices outlined in section 4108(B)(II)(aa) of the Elementary and Secondary Education Act of 1965.”.

SEC. 2002. Purposes.

Section 201 of the Higher Education Act of 1965 (20 U.S.C. 1022) is amended—

(1) in paragraph (2), by striking “by improving the preparation of prospective teachers and enhancing professional development activities for new teachers” and inserting “, school leaders, including teacher leaders, and other educators by improving the preparation of prospective teachers, school leaders, and other educators and enhancing professional development activities for new teachers, school leaders, and other educators”;

(2) in paragraph (3), by striking “; and” and inserting a semicolon; and

(3) by striking paragraph (4) and inserting the following new paragraphs:

“(4) hold teacher, principal and school leader, and other educator preparation programs accountable for preparing effective teachers, principals and school leaders, and other educators;

“(5) recruit profession-ready individuals, including underrepresented groups and individuals from other occupations (including informal education and youth development fields), as teachers and other educators; and

“(6) meet the staffing needs of high-need local educational agencies and high-need schools through close partnerships with educator preparation programs within institutions of higher education.”.

SEC. 2003. Partnership grants.

Section 202 of the Higher Education Act of 1965 (20 U.S.C. 1022a) is amended—

(1) in subsection (b)—

(A) in paragraph (1), by inserting “equitable distribution,” after “professional development,”;

(B) by amending paragraph (2) to read as follows:

“(2) a description of the extent to which the program to be carried out with grant funds, as described in subsection (c), will prepare prospective teachers, school leaders, and new educators with strong teaching, leadership, and other professional skills necessary to increase learning and academic achievement;”;

(C) in paragraph (3), by inserting “, school leaders, and other educators,” after “new teachers”;

(D) in paragraph (4)—

(i) in subparagraph (A), by inserting “, school leader, and other educator” after “other teacher”; and

(ii) in subparagraph (B), by inserting “, school leader, and other educator” after “promote teacher”;

(E) in paragraph (6)—

(i) by striking subparagraphs (F), (G), and (H) and inserting the following:

“(F) how the partnership will prepare educators to teach and work with students with disabilities, including training related to early identification of students with disabilities and participation as a member of individualized education program teams, as defined in section 614(d)(1)(B) of the Individuals with Disabilities Education Act to ensure that students with disabilities receive effective services, consistent with the requirements of the Individuals with Disabilities Education Act, that are needed for such students to achieve to challenging State academic standards;

“(G) how the partnership will prepare educators to teach and work with students who are English learners to ensure that students who are English learners receive the services that are needed for such students to achieve to challenging State academic standards;

“(H) how faculty at the partner institution will work, during the term of the grant, with mentor educators in the classrooms and administrators of high-need schools served by the high-need local educational agency in the partnership to—

“(i) provide high-quality professional development activities to strengthen the content knowledge and teaching skills of elementary school and secondary school teachers and other educators, including multi-tiered systems of support and universal design for learning;

“(ii) train other classroom teachers, principals or other school leaders, school librarians, and other educators to implement literacy programs that incorporate the components of comprehensive literacy instruction; and

“(iii) provide evidence-based, high-quality professional development activities to strengthen the instructional and leadership skills of elementary school and secondary school principals or other school leaders and district superintendents, if the partner institution has a principal or school leader preparation program;”;

(ii) in subparagraph (I), by inserting “as applicable” before “how the partnership”; and

(iii) in subparagraph (K)—

(I) by inserting “, principals or other school leaders” after “teachers”; and

(II) by striking “; and” and inserting a semicolon; and

(F) in paragraph (7)—

(i) in the matter before subparagraph (A), by striking “under this section” and inserting “under paragraphs (1)(B)(iv) and (3) of subsection (d)”;

(ii) in subparagraph (A), by inserting “as applicable,” before “a demonstration”;

(iii) in subparagraph (B), by striking “scientifically valid” and inserting “evidence-based”; and

(iv) in subparagraph (D), by striking the period at the end and inserting “; and”;

(2) by amending subsection (c) to read as follows:

“(c) Use of grant funds.—An eligible partnership that receives a grant under this section—

“(1) shall use such grant to carry out—

“(A) a program for the pre-baccalaureate or post-baccalaureate preparation of teachers described in subsection (d);

“(B) a teaching or principal or other school leader residency program described in subsection (e); or

“(C) a combination of such programs; and

“(2) may use such grant to carry out other educator development programs under subsection (f), based upon the results of the needs assessment in subsection (b)(1).”;

(3) in subsection (d)—

(A) in paragraph (1)—

(i) by striking “limited English proficient” both places it appears and inserting “English learners”;

(ii) by striking “scientifically valid” both places it appears inserting “evidence-based”; and

(iii) in subparagraph (B)(ii)(VI), by striking “reading instruction” both places it appears and inserting “comprehensive literacy instruction”;

(B) in paragraph (5)(B), by striking “limited English proficient” and inserting “English learners”; and

(C) in paragraph (6)(A), by striking “reading instruction” and inserting “comprehensive literacy instruction”;

(4) by amending subsection (e) to read as follows:

“(e) Partnership grants for the establishment of teaching and principal or other school leader residency programs.—

“(1) IN GENERAL.—An eligible partnership receiving a grant to carry out an effective teaching residency program or principal or other school leader residency program that meets the following requirements:

“(A) TEACHING RESIDENCY PROGRAM.—An eligible partnership carrying out a teaching residency program shall—

“(i) support a teaching residency program described in paragraph (2) for high-need schools, as determined by the needs of high-need local educational agency in the partnership, and in high-need subjects and areas, as defined by such local educational agency; and

“(ii) place graduates of the teaching residency program in cohorts that facilitate professional collaboration, both among graduates of the residency program and between such graduates and mentor teachers in the receiving school.

“(B) PRINCIPAL OR SCHOOL LEADER RESIDENCY PROGRAM.—An eligible partnership carrying out a principal or school leader residency program shall support a program described in paragraph (3) for high-need schools, as determined by the needs of the high-need local educational agency in the partnership.

“(2) TEACHING RESIDENCY PROGRAM.—

“(A) ESTABLISHMENT AND DESIGN.—A teaching residency program under this paragraph shall be a program based upon models of successful teaching residencies that serves as a mechanism to prepare teachers for success in high-need schools in the eligible partnership and shall be designed to include the following characteristics of successful programs:

“(i) The integration of pedagogy, classroom practice and teacher mentoring.

“(ii) The exposure to principles of child and youth development, and understanding and applying principles of learning, behavior, and community and family engagement.

“(iii) The exposure to principles of universal design for learning and multi-tiered systems of support.

“(iv) Engagement of teaching residents in rigorous graduate-level coursework to earn a master's degree while undertaking a guided teaching clinical experience.

“(v) Experience and learning opportunities alongside a trained and experienced mentor teacher—

“(I) whose teaching shall complement the residency program so that school-based clinical practice is tightly aligned and integrated with coursework;

“(II) who shall have extra responsibilities as a teacher leader of the teaching residency program, as a mentor for residents, and as a teacher coach during the induction program for new teachers, and for establishing, within the program, a learning community in which all individuals are expected to continually improve their capacity to advance student learning; and

“(III) who may be relieved from teaching duties or may be offered a stipend as a result of such additional responsibilities.

“(vi) The establishment of clear criteria for the selection of mentor teachers based on the appropriate subject area knowledge and measures of teacher effectiveness, which shall be based on, but not limited to, observations of the following:

“(I) Planning and preparation, including demonstrated knowledge of content, pedagogy, and assessment, including the use of formative, summative, and diagnostic assessments to inform instruction and improve student learning.

“(II) Appropriate instruction that engages all students.

“(III) Collaboration with colleagues to improve instruction.

“(IV) Analysis of evidence of student learning.

“(V) Collaboration and the cultivation of relationships with external stakeholders (which may include professional disciplinary organizations and nonprofit advocacy organizations) to foster the sharing of evidence-based resources to promote high-quality, effective practices.

“(vii) The development of admissions goals and priorities—

“(I) that are aligned with the hiring objectives of the local educational agency partnering with the program, as well as the instructional initiatives and curriculum of such agency to hire qualified graduates from the teaching residency program; and

“(II) which may include consideration of applicants who reflect the communities in which they will teach as well as consideration of individuals from underrepresented populations in the teaching profession.

“(viii) Continued support for residents once such residents are hired as the teachers of record, through an induction program, evidence-based professional development, and networking opportunities to support the residents through not less than the residents' first 2 years of teaching.

“(B) SELECTION OF INDIVIDUALS AS TEACHER RESIDENTS.—

“(i) ELIGIBLE INDIVIDUAL.—In order to be eligible to be a teacher resident in a teacher residency program under this paragraph, an individual shall—

“(I) be a recent graduate of a 4-year institution of higher education or a mid-career professional possessing strong content knowledge or a record of professional accomplishment; and

“(II) submit an application to the residency program.

“(ii) SELECTION CRITERIA.—An eligible partnership carrying out a teaching residency program under this subsection shall establish criteria for the selection of eligible individuals to participate in the teaching residency program based on the following characteristics:

“(I) Strong content knowledge or record of accomplishment in the field or subject area to be taught.

“(II) Strong verbal and written communication skills, which may be demonstrated by performance on appropriate assessments.

“(III) Other attributes linked to effective teaching, which may be determined by interviews or performance assessments, as specified by the eligible partnership.

“(3) PARTNERSHIP GRANTS FOR THE DEVELOPMENT OF PRINCIPAL AND OTHER SCHOOL LEADER RESIDENCY PROGRAMS.—

“(A) ESTABLISHMENT AND DESIGN.—A principal or other school leader residency program under this paragraph shall be a program based upon models of successful principal or other school leader residencies that serve as a mechanism to prepare principals and other school leaders for success in high-need schools in the eligible partnership and shall be designed to include the following characteristics of successful programs:

“(i) Engagement of principal or other school leader residents in rigorous graduate-level coursework to earn an appropriate advanced credential while undertaking a guided principal or other school leader clinical experience.

“(ii) Experience and learning opportunities, including those that provide continuous feedback throughout the program on a participants’ progress, alongside a trained and experienced mentor principal or other school leader—

“(I) whose mentoring shall be based on standards of effective mentoring practice and shall complement the residence program so that school-based clinical practice is tightly aligned with coursework; and

“(II) who may be relieved from some portion of principal or other school leader duties or may be offered a stipend as a result of such additional responsibilities.

“(iii) The establishment of clear criteria for the selection of mentor principals or other school leaders, which may be based on observations of the following:

“(I) Demonstrating awareness of, and having experience with, the knowledge, skills, and attitudes to—

“(aa) establish and maintain a professional learning community that effectively extracts information from data to improve the school culture and climate, and personalize instruction for all students to result in improved student achievement;

“(bb) create and maintain a learning culture within the school that provides an inclusive climate conducive to the development of all members of the school community, including one of continuous improvement and learning for adults tied to student learning and other school goals;

“(cc) develop the professional capacity and practice of school personnel and foster a professional community of teachers and other professional staff;

“(dd) engage in continuous professional development, utilizing a combination of academic study, developmental simulation exercises, self-reflection, men­tor­ship, and internship;

“(ee) understand youth development appropriate to the age level served by the school, and use this knowledge to set high expectations and standards for the academic, social, emotional, and physical development of all students; and

“(ff) actively engage with families and the community to create shared responsibility for student academic performance and successful development.

“(II) Planning and articulating a shared and coherent schoolwide direction and policy for achieving high standards of student performance, and closing gaps in achievement among subgroups of students.

“(III) Identifying and implementing the activities and rigorous curriculum necessary for achieving such standards of student performance.

“(IV) Supporting a culture of learning, collaboration, and professional behavior and ensuring quality measures of instructional practice.

“(V) Communicating and engaging parents, families, and other external communities.

“(VI) Cultivating relationships and collaborating with external stakeholders, which may include professional disciplinary organizations and nonprofit advocacy organizations, to foster the sharing of evidence-based resources to promote high-quality, effective practices.

“(VII) Collecting, analyzing, and utilizing data and other evidence of student learning and evidence of classroom practice to guide decisions and actions for continuous improvement and to ensure performance accountability.

“(iv) The development of admissions goals and priorities—

“(I) that are aligned with the hiring objectives of the local educational agency partnering with the program, as well as the instructional initiatives and curriculum of such agency to hire qualified graduates from the principal residency program; and

“(II) which may include consideration of applicants who reflect the communities in which they will serve and consideration of individuals from underrepresented populations in school leadership positions.

“(v) Continued support for residents once such residents are hired as principals or other school leaders, through an induction program, evidence-based professional development to support the knowledge and skills of the principal or other school leader in a continuum of learning and content expertise in developmentally appropriate or age-appropriate educational practices, and networking opportunities to support the residents through not less than the residents’ first 2 years of serving as principal or other school leader of a school.

“(B) SELECTION OF INDIVIDUALS AS PRINCIPAL OR OTHER SCHOOL LEADER RESIDENTS.—

“(i) ELIGIBLE INDIVIDUAL.—In order to be eligible to be a principal or other school leader resident in a principal or other school leader residency program under this paragraph, an individual shall—

“(I) have prior prekindergarten through grade 12 teaching experience;

“(II) have experience as an effective leader, manager, and written and oral communicator; and

“(III) submit an application to the residency program.

“(ii) SELECTION CRITERIA.—An eligible partnership carrying out a principal or other school leader residency program under this subsection shall establish criteria for the selection of eligible individuals to participate in the principal residency program based on the following characteristics:

“(I) Strong instructional leadership skills in an elementary school or secondary school setting.

“(II) Strong verbal and written communication skills, which may be demonstrated by performance on appropriate assessments.

“(III) Other attributes linked to effective leadership, such as sound judgment, organizational capacity, collaboration, commitment to equity and inclusiveness, and openness to continuous learning, which may be determined by interviews or performance assessment, as specified by the eligible partnership.

“(4) STIPENDS OR SALARIES; APPLICATIONS; AGREEMENTS; AND REPAYMENTS.—

“(A) STIPENDS OR SALARIES.—A teaching residency program, or principal or other school leader residency program, under this subsection—

“(i) shall provide a 1-year living stipend or salary to teaching or principal or other school leader residents during the teaching residency program or principal residency program; and

“(ii) may provide a stipend to a mentor teacher or mentor principal.

“(B) APPLICATIONS.—

“(i) IN GENERAL.—Each teaching, principal, or other school residency candidate desiring a stipend or salary during the period of residency shall submit an application to the eligible partnership at such time, in such manner, and containing such information and assurances, as the eligible partnership may require, and which shall include an agreement to serve described in clause (ii).

“(ii) AGREEMENTS TO SERVE.—Each application submitted under clause (i) shall contain or be accompanied by an agreement that the applicant will—

“(I) upon successfully completing the 1-year teaching, principal, or other school leader residency program, serve as a full-time teacher, principal, or other school leader for a total of not less than 3 school years at—

“(aa) a high-need school served by the high-need local educational agency in the eligible partnership and, in the case of a teacher, teach a subject or area that is designated as high-need by the partnership; or

“(bb) in a case in which no appropriate position is available in a high-need school served by the high-need local educational agency in the eligible partnership, any other high-need school;

“(II) provide to the eligible partnership a certificate, from the chief administrative officer of the local educational agency in which the teacher or principal, or other school leader is employed, of the employment required under subclause (I) at the beginning of, and upon completion of, each year or partial year of service;

“(III) in the case of a teacher resident, meet the requirements to be a profession-ready teacher; and

“(IV) comply with the requirements set by the eligible partnership under subparagraph (C) if the applicant is unable or unwilling to complete the service obligation required by this subparagraph.

“(C) REPAYMENTS.—

“(i) IN GENERAL.—An eligible partnership carrying out a teaching or principal, or other school leader, residency program under this subsection shall require a recipient of a stipend or salary under subparagraph (A) who does not complete, or who notifies the partnership that the recipient intends not to complete, the service obligation required by subparagraph (B) to repay such stipend or salary to the eligible partnership, together with interest, at a rate specified by the partnership in the agreement, and in accordance with such other terms and conditions specified by the eligible partnership, as necessary.

“(ii) OTHER TERMS AND CONDITIONS.—Any other terms and conditions specified by the eligible partnership may include reasonable provisions for prorate repayment of the stipend or salary described in subparagraph (A) or for deferral of a teaching or principal, or other school leader, resident’s service obligation required by subparagraph (B), on grounds of health, incapacitation, inability to secure employment in a school served by the eligible partnership, being called to active duty in the Armed Forces of the United States, or other extraordinary circumstances.

“(iii) USE OF REPAYMENTS.—An eligible partnership shall use any repayment received under this subparagraph to carry out additional activities that are consistent with the purposes of this section.”; and

(5) by striking subsection (f) and inserting the following:

“(f) Teacher leader development program.—

“(1) IN GENERAL.—A teacher leader development program carried out with a grant awarded under this section shall involve the professional development of teachers, as described in paragraph (2), who maintain their roles as classroom teachers and who also carry out formalized leadership responsibilities to increase the academic achievement of students and promote data-driven instructional practices that address the demonstrated needs at the elementary schools and secondary schools in which the teachers are employed, such as—

“(A) development of curriculum and curricular resources;

“(B) facilitating the work of committees and teams;

“(C) family and community engagement;

“(D) school discipline and culture;

“(E) peer observations and coaching; or

“(F) dual enrollment instruction.

“(2) PROFESSIONAL DEVELOPMENT.—The professional development of teachers in a teacher leader development program carried out with a grant awarded under this section shall include—

“(A) one year of professional development, training, and support that may—

“(i) include—

“(I) the engagement of teachers in rigorous coursework and fieldwork relevant to their role as a teacher leader, including available teacher leader standards; and

“(II) regular observations and professional support from—

“(aa) a principal, vice principal, or a designated instructional leader of the school;

“(bb) a representative from the institution of higher education that is a partner in the eligible partnership;

“(cc) a representative from another entity that is a partner in the eligible partnership; and

“(dd) another member of the teacher leader cohort, if applicable, or a peer teacher; and

“(ii) result in the awarding of a credential in teacher leadership; and

“(B) one or 2 additional years of support from a principal, vice principal, or a designated instructional leader of the school, a representative from the institution of higher education that is a partner in the eligible partnership, and a representative from another entity that is a partner in the eligible partnership.

“(3) TEACHER LEADER DEVELOPMENT PROGRAM PLAN.—In carrying out a teacher leader development program under this section, an eligible partnership shall develop a plan that shall describe—

“(A) how the work hours of teacher leaders will be allocated between their classroom responsibilities and responsibilities as a teacher leader, which may include a description of whether the teacher leader will be relieved from teaching duties during their participation in the teacher leader development program;

“(B) how the partnership will support teacher leaders after the first year of professional development in the program; and

“(C) how teacher leader activities could be sustained by the eligible partnership after the program concludes, which may include a description of opportunities for the teacher leaders to assist in the educator preparation program at the institution of higher education in the partnership.

“(4) SELECTION OF TEACHER LEADERS; USE OF FUNDS.—In carrying out a teacher leader development program under this section, an eligible partnership—

“(A) shall select a teacher for participation in the program—

“(i) who—

“(I) is fully certified to teach in the State of the high-need local educational agency that is a partner in the eligible partnership;

“(II) is employed by such high-need local educational agency;

“(III) has not less than 3 years of teaching experience; and

“(IV) submits an application for participation to the eligible partnership; and

“(ii) based on selection criteria that includes—

“(I) demonstration of strong content knowledge or a record of accomplishment in the field or subject area the teacher will support as a teacher leader; and

“(II) demonstration of attributes linked to effective teaching that is determined through interviews, observations, artifacts, student achievement, or performance assessments, such as those leading to an advanced credential;

“(B) may develop admissions goals and priorities for the teacher leader development program that—

“(i) are aligned with the demonstrated needs of the school or high-need local educational agency in which the teacher is employed;

“(ii) considers cultural competencies that would make the applicant effective in the applicant’s teacher leader role; and

“(iii) considers whether the teacher has substantial teaching experience in the school in which the teacher is employed or in a school that is similar to the school in which the teacher is employed;

“(C) shall use the grant funds to pay for costs of training and supporting teacher leaders for not less than 2 years and not more than 3 years;

“(D) may use the grant funds to pay for a portion of a stipend for teacher leaders if such grant funds are matched by additional non-Federal public or private funds as follows:

“(i) during each of the first and second years of the grant period, grant funds may pay not more than 50 percent of such stipend; and

“(ii) during the third year of the grant period, grant funds may pay not more than 33 percent of such stipend; and

“(E) may require teacher leaders to pay back the cost of attaining the credential described in paragraph (2)(A)(ii) if they do not complete their term of service in the teacher leader development program.”.

SEC. 2004. Administrative provisions.

Section 203 of the Higher Education Act of 1965 (20 U.S.C. 1022b) is amended—

(1) in subsection (a)(2), by striking “five-year period” and inserting “five-year period, except such partnership may receive an additional grant during such period if such grant is used to establish a teacher or principal residency program if such residency program was not established with the prior grant”; and

(2) in subsection (b)(2)(A), by striking “teacher preparation program” and inserting “teacher education, school leader preparation, or educator development program”.

SEC. 2005. Accountability and evaluation.

Section 204(a) of the Higher Education Act of 1965 (20 U.S.C. 1022c(a)) is amended to read as follows:

“(a) Eligible partnership evaluation.—Each eligible partnership submitting an application for a grant under this part shall establish, and include in such application, an evaluation plan that includes rigorous, comprehensive, and measurable performance objectives. The plan shall include objectives and measures for—

“(1) achievement for all prospective and new educators as measured by the eligible partnership;

“(2) educator retention in the first 3 years;

“(3) as applicable, pass rates and scaled scores for initial State certification or licensure of teachers or pass rates and average scores on valid and reliable teacher performance assessments; and

“(4)(A) the percentage of profession-ready teachers, principals or other school leaders, and other educators hired by the high-need local educational agency participating in the eligible partnership;

“(B) the percentage of profession-ready teachers, principals, and other educators hired by the high-need local educational agency who are members of underrepresented groups;

“(C) as applicable, the percentage of profession-ready teachers hired by the high-need local educational agency who teach high-need academic subject areas, such as reading, science, technology, engineering, mathematics, computer science, and foreign language (including less commonly taught languages and critical foreign languages);

“(D) as applicable, the percentage of profession-ready teachers hired by the high-need local educational agency who teach in high-need areas, including special education, bilingual education, language instruction educational programs for English language learners, and early childhood education;

“(E) the percentage of profession-ready teachers, principals or other school leaders, and other educators hired by the high-need local educational agency who teach in high-need schools, disaggregated by the elementary school and secondary school levels;

“(F) as applicable, the percentage of early childhood education program classes in the geographic area served by the eligible partnership taught by early childhood educators who are highly competent;

“(G) as applicable, the percentage of educators able to—

“(i) integrate technology effectively into curricula and instruction, including technology consistent with the principles of universal design for learning; and

“(ii) use technology effectively to collect, manage, and analyze data to improve teaching and learning for the purpose of improving student learning outcomes; and

“(H) as applicable, the percentage of educators taking school leadership positions who, after 3 years in the role, receive ratings of effective or above in State school leader evaluation and support systems (as described in section 2014(c)(4)(B)(ii) of the Elementary and Secondary Education Act of 1965) or, if no such ratings are available, other comparable indicators of performance.”.

SEC. 2006. Accountability for programs that prepare teachers or other school leaders.

Section 205 of the Higher Education Act of 1965 (20 U.S.C. 1022d)—

(1) by amending subsection (a)(1) to read as follows:

“(1) REPORT CARD.—Each teacher preparation or school leader preparation entity approved to operate teacher preparation or school leader preparation programs in the State and that receives or enrolls students receiving Federal assistance shall report annually to the State and the general public, in a uniform and comprehensive manner that conforms with the definitions and methods established by the Secretary, the following:

“(A) PASS RATES AND SCALED SCORES.—For the most recent year for which the information is available for each teacher or school leader preparation program offered by the teacher preparation or school leader preparation entity the following:

“(i) Except as provided in clause (ii), for those students who took the assessments used for teacher or school leader certification or licensure by the State in which the entity is located and are enrolled in the teacher or school leader preparation program or, and for those who have taken such assessments and have completed the teacher or school preparation program during the 2-year period preceding such year, for each of such assessments—

“(I) the percentage of all students who passed such assessment;

“(II) the percentage of students who have taken such assessment who enrolled in and completed the teacher or school leader preparation program; and

“(III) the average scaled score for all students who took such assessment.

“(ii) In the case of an entity that requires a valid and reliable teacher performance assessment in order to complete the preparation program, the entity may submit in lieu of the information described in clause (i) the pass rate and average score of students taking the teacher performance assessment.

“(B) ENTITY INFORMATION.—A description of the following:

“(i) The median grade point average and range of grade point averages for admitted students.

“(ii) The number of students in the entity disaggregated by race (as defined in section 153(a)(3) of the Education Sciences Reform Act of 2002 (20 U.S.C. 9543(a)(3))), ethnicity, and gender.

“(iii) The number of hours and types of supervised clinical preparation required for each program.

“(iv) The total number of students who have completed programs for certification or licensure disaggregated by subject area and by race (as defined in section 153(a)(3) of the Education Sciences Reform Act of 2002 (20 U.S.C. 9543(a)(3))), ethnicity, and gender, except that such disaggregation shall not be required in a case in which the result would reveal personally identifiable information about an individual student.

“(C) ACCREDITATION.—Whether the program or entity is accredited by a specialized accrediting agency recognized by the Secretary for accreditation of professional teacher or school leader education programs.

“(D) DESIGNATION AS LOW-PERFORMING.—Which programs (if any) offered by the entity have been designated as low-performing by the State under section 207(a).”;

(2) in subsection (b)—

(A) in paragraph (1)—

(i) in subparagraph (A)—

(I) by inserting “and school leader” after “teacher”; and

(II) by inserting “, including teacher performance assessments” after “the State”;

(ii) by amending subparagraph (D) to read as follows:

“(D)(i) Except as provided in clause (ii), for each of the assessments used by the State for teacher or school leader certification or licensure, disaggregated by subject area, race (as defined in section 153(a)(3) of the Education Sciences Reform Act of 2002 (20 U.S.C. 9543(a)(3))), ethnicity, and gender, except that such disaggregation shall not be required in a case in which the result would reveal personally identifiable information about an individual student—

“(I) for each entity located in the State, the percentage of students at such entities who have completed 100 percent of the nonclinical coursework and taken the assessment who pass such assessment;

“(II) the percentage of all such students in all such programs and entities who have taken the assessment who pass such assessment;

“(III) the percentage of students who have taken the assessment and who enrolled in and completed a teacher or school leader preparation program; and

“(IV) the average scaled score of individuals participating in such a program, or who have completed such a program during the 2-year period preceding the first year for which the annual State report card is provided, who took each such assessment.

“(ii) In the case of a State that has implemented a valid and reliable teacher performance assessment, the State may submit in lieu of the information described in clause (i) the pass rate and average score of students taking the teacher performance assessment, disaggregated by subject area, race (as defined in section 153(a)(3) of the Education Sciences Reform Act of 2002 (20 U.S.C. 9543(a)(3))), ethnicity, and gender, except that such disaggregation shall not be required in a case in which the result would reveal personally identifiable information about an individual student.”; and

(iii) by striking subparagraphs (G) through (L) and inserting the following:

“(G) For each teacher and school leader preparation program in the State the following:

“(i) The programs’ admission rate and median grade point average and range of grade point averages for admitted students.

“(ii) The number of students in the program disaggregated by race (as defined in section 153(a)(3) of the Education Sciences Reform Act of 2002 (20 U.S.C. 9543(a)(3))), ethnicity, and gender.

“(iii) The number of hours and types of supervised clinical preparation required.

“(iv) Whether such program has been identified as low-performing, as designated by the State under section 207(a).

“(v) For each school leader preparation program in the State, the total number and percentage of program completers placed as principals who are rated as effective or above on the State school leader evaluation and support systems (as described in section 2101(c)(4)(B)(2) of the Elementary and Secondary Education Act of 1965) or, if no such ratings are available, other comparable indicators of performance after three years of leading a school.

“(H) For the State as a whole, and for each teacher preparation entity in the State, the number of teachers prepared, in the aggregate and reported separately by the following:

“(i) Area of certification or licensure.

“(ii) Academic major.

“(iii) Subject area for which the teacher has been prepared to teach.

“(iv) The relationship of the subject area and grade span of teachers graduated by the teacher preparation entity to the teacher workforce needs of the State.

“(v) The percentage of teachers graduated teaching in high-need schools.

“(vi) Race (as defined in section 153(a)(3) of the Education Sciences Reform Act of 2002 (20 U.S.C. 9543(a)(3))), gender, and ethnicity.”; and

(B) by adding at the end the following:

“(3) NO REQUIREMENT FOR REPORTING ON STUDENTS NOT RESIDING IN THE STATE.—Nothing in this section shall require a State to report data on program completers who do not reside in such State.”; and

(3) in subsection (d)(2), by adding at the end the following:

“(D) The relationship of the subject area and grade span of teachers graduated by teacher preparation entities across the States to identified teacher shortage areas.

“(E) The number and percentages of such graduates teaching in high-need schools.”.

SEC. 2007. Teacher development.

Section 206 of the Higher Education Act of 1965 (20 U.S.C. 1022e) is amended by striking “limited English proficient” both places it appears and inserting “English learner”.

SEC. 2008. State functions.

Section 207 of the Higher Education Act of 1965 (20 U.S.C. 1022f) is amended to read as follows:

“SEC. 207. State functions.

“(a) State assessment.—

“(1) IN GENERAL.—In order to receive funds under this Act or under title II of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6601 et seq.), a State shall conduct an assessment to identify at-risk and low-performing teacher and school leader preparation programs in the State and to assist such programs through the provision of technical assistance.

“(2) PROVISION OF LOW-PERFORMING LIST.—Each State described in paragraph (1) shall—

“(A) provide the Secretary and the general public an annual list of low-performing teacher and school leader preparation programs and an identification of those programs at risk of being placed on such list, as applicable;

“(B) report any teacher and school leader preparation program that has been closed and the reasons for such closure; and

“(C) describe the assessment, described in paragraph (1), in the report under section 205(b).

“(3) DETERMINATION OF AT-RISK AND LOW-PERFORMING PROGRAMS.—The levels of performance and the criteria for meeting those levels for purposes of the assessment under paragraph (1) shall be determined by the State in consultation with a representative group of community stakeholders, including, at a minimum, representatives of leaders and faculty of traditional and alternative route teacher and school leader preparation programs, prekindergarten through 12th grade leaders and instructional staff, current teacher and school leader candidates participating in traditional and alternative route teacher or school leader preparation programs, the State’s standards board or other appropriate standards body, and other stakeholders identified by the State. In making such determination, the State shall consider multiple measures and the information reported by teacher preparation entities under section 205.

“(b) Reporting and improvement.—In order to receive funds under this Act or under title II of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6601 et seq.), a State shall—

“(1) report to the Secretary and the general public any programs described in subsection (a);

“(2) establish a period of improvement and redesign (as established by the State) for programs identified as at-risk under subsection (a);

“(3) provide programs identified as at-risk under subsection (a) with technical assistance for a period of not longer than 3 years;

“(4) identify at-risk programs as low-performing if there is not sufficient improvement following the period of technical assistance provided by the State; and

“(5) subject low-performing programs to the provisions described in subsection (c) (as determined by the State) not later than 1 year after the date of such identification as a low-performing program.

“(c) Termination of eligibility.—Any teacher or school leader preparation program that is projected to close—

“(1) shall be ineligible for any funding for professional development activities awarded by the Department;

“(2) may not be permitted to provide new awards under subpart 9 of part A of title IV; and

“(3) shall provide transitional support, including remedial services if necessary, for students enrolled in the program in the year prior to such closure.

“(d) Application of the requirements.—The requirements of this section shall apply to both traditional teacher preparation programs and alternative routes to State certification and licensure programs.”.

SEC. 2009. General provisions.

Section 208(a) of the Higher Education Act of 1965 (20 U.S.C. 1022g(a)) is amended by striking “sections 205 and 206” and inserting “section 205”.

SEC. 2010. Elevation of the education profession study.

Part A of title II of the Higher Education Act of 1965 (20 U.S.C. 1022 et seq.) is amended by inserting after section 208 the following:

“SEC. 209. Elevation of the education profession study.

“(a) Purpose.—The purpose of the elevation of the profession feasibility study is to examine State policies related to teacher and school leader education and certification, produce a comprehensive set of expectations that sets a high bar for entry into the profession and ensures that all entering teachers and school leaders are profession-ready, and develop recommendations to Congress on best practices with respect to elevating the education profession that are evidence-based, reliable, and verified by the field.

“(b) Establishment.—

“(1) IN GENERAL.—The Secretary of Education shall establish an Advisory Committee to carry out the elevation of the education profession study described in subsection (c) and make recommendations to Congress on the findings.

“(2) MEMBERSHIP OF THE ADVISORY COMMITTEE.—The Advisory Committee shall include representatives or advocates from the following categories:

“(A) Teacher unions.

“(B) School leader organizations.

“(C) State and local officials.

“(D) State educational agencies and local educational agencies.

“(E) Teacher and school leader advocacy organizations.

“(F) School administrator organizations.

“(G) Institutions of higher education, including colleges of teacher education.

“(H) Civil rights organizations.

“(I) Organizations representing students with disabilities.

“(J) Organizations representing English learners.

“(K) Nonprofit organizations representing subject-fields, such as STEM Educator organizations, comprehensive literacy Educator organizations, and arts and humanities educator organizations.

“(L) Professional development organizations.

“(M) Educational technology organizations.

“(N) Nonprofit research organizations.

“(O) Organizations representing nontraditional pathways into teacher and school leader education.

“(P) Organizations representing parents.

“(c) Duties of the Advisory Committee.—

“(1) FEASIBILITY STUDY.—The Advisory Committee shall conduct a feasibility study to—

“(A) assess the state of policies and practices related to teacher and school leader education and entry into the profession including barriers to achieving certification and licensure, best practices in producing profession-ready teachers and school leaders, and recruitment and retention of teachers and school leaders in schools;

“(B) compile best practices for educating and training profession-ready teachers and school leaders including evidence-based practices for training teachers and school leaders to support diverse learners, developing teacher and school leaders, and successful pre-service and in-service educational activities;

“(C) review certification and credentialing practices throughout the Nation including minimum standards in each State, differences in types of credentials, and impact of different certification processes in each State for teachers and school leaders who relocate; and

“(D) recommend a comprehensive set of rigorous expectations for States standards to elevate the profession of teaching and to produce profession-ready teachers and school leaders prepared to educate diverse learners in inclusive educational settings.

“(2) REPORTS.—

“(A) Not later than 1 year after the Advisory Committee’s first meeting, the Committee shall submit an interim report to the Secretary and to the authorizing committees detailing the methods of the study and progress in developing the set of comprehensive and rigorous expectations.

“(B) Not later than 3 years after the Advisory Committee’s first meeting, the Committee shall submit a final report to the Secretary and to the authorizing committees detailing the findings, recommendations, and suggested set of comprehensive and rigorous expectations.

“(3) DISSEMINATION OF INFORMATION.—In carrying out the study under paragraph (1), the Secretary shall disseminate information found in the study in an accessible format to all stakeholders.

“(4) DATABASE.—Not later than 180 days after the date of the enactment of this subsection, the Secretary shall produce an electronically accessible clearinghouse of State certification procedures and best State practices for producing and retaining profession-ready teachers and school leaders.”.

SEC. 2011. Authorization of appropriations.

Part A of title II of the Higher Education Act of 1965 (20 U.S.C. 1022 et seq.) is amended—

(1) by redesignating section 209 as section 210; and

(2) in section 210, as so redesignated—

(A) by striking “$300,000,000” and inserting “$500,000,000”;

(B) by striking “2009” and inserting “2019”; and

(C) by striking “two succeeding” and inserting “5 succeeding”.

PART BEnhancing Teacher and School Leader Education

SEC. 2101. Enhancing teacher education.

Part B of title II of the Higher Education Act of 1965 (20 U.S.C. 1031 et seq.) is amended to read as follows:

“PART BEnhancing Teacher Education

“SEC. 230. Authorization of appropriations.

“(a) In general.—There are authorized to be appropriated to carry out this part $100,000,000 for fiscal year 2019 and each of the 5 succeeding fiscal years.

“(b) Distribution of funds.—Subparts 1 through 4 of this part shall receive a minimum of 20 percent of the amount appropriated for a fiscal year, and the Secretary shall have discretion over the distribution under this part of the remaining amount appropriated for such fiscal year.

“subpart 1Honorable Augustus F. Hawkins Centers of Excellence

“SEC. 231. Findings.

“Congress finds the following:

“(1) Our Nation’s schools are experiencing a severe diversity gap that negatively impacts student achievement and school culture—50 percent of current students are from minority groups while only 18 percent of teachers are from such groups, according to a 2016 study by the Brookings Institution.

“(2) A 2016 report conducted by the Department of Education shows that teachers of color tend to provide more culturally relevant teaching and better understand the situations that students of color may face. These factors help develop trusting teacher-student relationships. Researchers from Vanderbilt University also found that greater racial and ethnic diversity in the principal corps benefits students, especially students of color.

“(3) Minority teachers and school leaders can also serve as cultural ambassadors who help students feel more welcome at school or as role models.

“(4) Research shows that increasing diversity in the teaching profession can have positive impacts on student educational experiences and outcomes. Students of color demonstrate greater academic achievement and social-emotional development in classes with teachers of color. Studies also suggest that all students, including White students, benefit from having teachers of color because they bring distinctive knowledge, experiences, and role modeling to the student body as a whole.

“SEC. 232. Purpose.

“The purpose of this subpart is to strengthen and expand the recruitment, training, and retention of diverse candidates into the teaching profession.

“SEC. 233. Eligible institution defined.

“In this subpart, the term ‘eligible institution’ means an institution of higher education that has a teacher or school leader preparation program that is a accredited by the State and that is—

“(1) a part B institution (as defined in section 322);

“(2) a Hispanic-serving institution (as defined in section 502);

“(3) a Tribal college or university (as defined in section 316);

“(4) an Alaska Native-serving institution (as defined in section 317(b));

“(5) a Native Hawaiian-serving institution (as defined in section 317(b));

“(6) a predominantly black institution (as defined in section 318);

“(7) an Asian-American and Native American Pacific Islander-serving institution (as defined in section 320(b));

“(8) a Native American-serving, nontribal institution (as defined in section 319);

“(9) a consortium of any of the institutions described in paragraphs (1) through (8); or

“(10) any institution described in paragraphs (1) through (8) in which a center of excellence established under section 234 is located, or a consortium described in subparagraph (B), in partnership with any other institution of higher education.

“SEC. 234. Augustus F. Hawkins Centers of Excellence.

“(a) Program authorized.—From the amounts provided to carry out this subpart, the Secretary shall award grants, on a competitive basis, to eligible institutions to establish centers of excellence.

“(b) Use of funds.—An eligible institution shall use a grant received under this subpart to ensure that programs offered at a center of excellence established by such institution prepare current and future teachers or school leaders to be profession-ready, and meet the applicable State certification and licensure requirements, including any requirements for certification obtained through alternative routes to certification, or, with regard to special education teachers, the qualifications described in section 612(a)(14)(C) of the Individuals with Disabilities Education Act, by carrying out one or more of the following activities:

“(1) Implementing reforms within teacher or school leader preparation programs to ensure that such programs are preparing teachers or school leaders who meet such applicable State certification and licensure requirements or qualifications, are using evidence-based instructional practices to improve student academic achievement, by—

“(A) retraining or recruiting faculty; and

“(B) designing (or redesigning) teacher or school leader preparation programs that—

“(i) prepare teachers or school leaders to serve in low-performing schools and close student achievement gaps, and that are based on rigorous academic content, evidence-based research, and challenging State academic standards as described in section 1111(b)(1) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(b)(1)); and

“(ii) promote effective teaching skills.

“(2) Providing sustained and high-quality preservice clinical experience, including the mentoring of prospective teachers by teacher leaders, substantially increasing interaction between faculty at institutions of higher education and new and experienced teachers, principals, school leaders, and other administrators at elementary schools or secondary schools, and providing support, including preparation time, for such interaction.

“(3) Developing and implementing initiatives to promote retention of teachers who meet such applicable State certification and licensure requirements or qualifications, and principals and other school leaders, including minority teachers, principals and other school leaders, including programs that provide—

“(A) teacher or principal and other school leader mentoring; and

“(B) induction and support for teachers and principals and other school leaders during their first three years of employment as teachers, principals, or other school leaders, respectively.

“(4) Awarding scholarships based on financial need to help students pay the costs of tuition, room, board, and other expenses of completing a teacher or other school leader preparation program, not to exceed the cost of attendance as defined in section 472.

“(5) Disseminating information on effective practices for teacher or other school leader preparation and successful teacher or other school leader certification and licensure assessment preparation strategies.

“(6) Activities authorized under section 202.

“(c) Application.—Any eligible institution desiring a grant under this subpart shall submit an application to the Secretary at such time, in such manner, and accompanied by such information as the Secretary may require.

“(d) Limitation on administrative expenses.—An eligible institution that receives a grant under this subpart may use not more than 2 percent of the funds provided to administer the grant.

“(e) Regulations.—The Secretary shall prescribe such regulations as may be necessary to carry out this subpart.

“subpart 2Preparing Well-Rounded Teachers

“SEC. 241. Well-rounded teaching grants.

“(a) Findings.—Congress finds that—

“(1) students have diverse learning needs and teachers must be prepared to provide a high-quality, equitable education to every child;

“(2) improving the pedagogical competencies, behavior management skills, and cultural competencies of teacher candidates prepares them to effectively teach students from diverse backgrounds and increases the likelihood they will remain in the profession; and

“(3) teachers who hold dual certification and receive training in social and emotional learning competencies and nonexclusionary, positive behavior management practices are better prepared to create a supportive school climate and meet the needs of all students, including English learners, racially diverse students, students with disabilities, low-income students, and students who have experienced trauma.

“(b) Purpose.—The purpose of this subpart is to—

“(1) strengthen and expand teacher preparation programs that embed dual certification for teacher candidates in special education; and

“(2) strengthen and expand teacher preparation programs that embed training on social and emotional learning competencies and nonexclusionary, positive behavior management practices to teacher candidates.

“(c) Authorization of program.—

“(1) IN GENERAL.—From the amounts provided to carry out this subpart, the Secretary shall award grants, on a competitive basis, to eligible partnerships to improve the preparation of general education teacher candidates to ensure that such teacher candidates possess the knowledge, skills, and credentials necessary to effectively instruct students with disabilities in general education classrooms, and an understanding of positive behavior-management practices that reduce the use of exclusionary and aversive disciplinary practices and create a supportive school climate.

“(2) DURATION OF GRANTS.—A grant under this subpart shall be awarded for a period of not more than 5 years.

“(3) NON-FEDERAL SHARE.—An eligible partnership that receives a grant under this subpart shall provide not less than 25 percent of the cost of the activities carried out with such grant from non-Federal sources, which may be provided in cash or in-kind.

“(d) Definition of eligible partnership.—In this section, the term ‘eligible partnership’ means a partnership that—

“(1) shall include—

“(A) one or more departments or programs at an institution of higher education—

“(i) that prepare elementary or secondary general education teachers;

“(ii) that have a program of study that leads to an undergraduate degree, a master’s degree, or completion of a postbaccalaureate program required for teacher certification; and

“(iii) the profession-ready graduates of which meet the applicable State certification and licensure requirements, including any requirements for certification obtained through alternative routes to certification, or, with regard to special education teachers, the qualifications described in section 612(a)(14)(C) of the Individuals with Disabilities Education Act;

“(B) a department or program that has expertise in special education at an institution of higher education; and

“(C) a high-need local educational agency; and

“(2) may include—

“(A) a department or program of mathematics, earth or physical science, foreign language, or another department at the institution that has a role in preparing teachers; or

“(B) a nonprofit, research-based organization.

“(e) Activities.—An eligible partnership that receives a grant under this section—

“(1) shall use the grant funds to—

“(A) develop or strengthen an undergraduate, postbaccalaureate, or master’s teacher preparation program by integrating special education pedagogy into the general education curriculum and academic content that result in applicable dual State certification for teacher candidates who complete the program;

“(B) develop or strengthen an undergraduate, postbaccalaureate, or master’s teacher preparation program by embedding social and emotional learning strategies and nonexclusionary, positive behavior-management practices into the general education curriculum and academic content;

“(C) provide teacher candidates participating in the program under subparagraph (A) with skills related to—

“(i) response to intervention, positive behavioral interventions and supports (including eliminating the use of aversive interventions such as seclusion and restraints), differentiated instruction, and data-driven instruction (including the use of data to identify and address disparities in rates of discipline among student subgroups);

“(ii) universal design for learning;

“(iii) determining and utilizing accommodations for instruction and assessments for students with disabilities;

“(iv) collaborating with stakeholders such as special educators, related services providers, out-of-school time providers, and parents, including participation in individualized education program development and implementation;

“(v) appropriately utilizing technology and assistive technology for students with disabilities; and

“(vi) effectively and equitably using technology for digital and blended learning;

“(D) provide teacher candidates participating in the program under subparagraph (B) with skills related to—

“(i) social and emotional learning competencies;

“(ii) positive behavior interventions and supports or multitiered systems of support;

“(iii) trauma-informed care;

“(iv) evidenced-based restorative justice practices; and

“(v) culturally responsive teaching and anti-bias training that is evidence-based; and

“(E) provide extensive clinical experience for participants described in subparagraphs (A) and (B) with mentoring and induction support throughout the program that continues during the first 2 years of full-time teaching.

“(f) Application.—

“(1) APPLICATION REQUIREMENTS.—An eligible partnership seeking a grant under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. Such application shall include—

“(A) a self-assessment by the eligible partnership of the existing teacher preparation program at the institution of higher education and needs related to preparing general education teacher candidates to instruct students with disabilities; and

“(B) an assessment of the existing personnel needs for general education teachers who instruct students with disabilities, performed by the local educational agency in which most graduates of the teacher preparation program are likely to teach after completion of the program under subsection (e)(1).

“(2) PEER REVIEW.—

“(A) IN GENERAL.—The Secretary shall convene a peer review committee to review applications for grants under this subpart and to make recommendations to the Secretary regarding the selection of eligible partnerships for such grants.

“(B) MEMBERSHIP.—Members of the peer review committee shall be recognized experts in the fields of special education, social and emotional learning, teacher preparation, and general education and shall not be in a position to benefit financially from any grants awarded under this section.

“(g) Equitable geographic distribution.—In awarding grants under this subpart, the Secretary shall, to the maximum extent possible, provide for an equitable geographic distribution of such grants.

“(h) Evaluations.—

“(1) BY THE PARTNERSHIP.—

“(A) IN GENERAL.—An eligible partnership receiving a grant under this subpart shall conduct an evaluation at the end of the grant period to determine—

“(i) the effectiveness of the general education teachers who completed a program under subsection (c)(1) with respect to instruction of students with disabilities in general education classrooms; and

“(ii) the systemic impact of the activities carried out by such grant on how each institution of higher education that is a member of the partnership prepares teachers for instruction in elementary schools and secondary schools.

“(B) REPORT TO THE SECRETARY.—Each eligible partnership performing an evaluation under subparagraph (A) shall report the findings of such evaluation to the Secretary.

“(2) REPORT BY THE SECRETARY.—Not later than 180 days after the last day of the grant period for which an evaluation was conducted under paragraph (1), the Secretary shall make available to the authorizing committees and the public the findings of the evaluations submitted under paragraph (1), and information on best practices related to effective instruction of students with disabilities in general education classrooms.

“subpart 3Preparing Teachers for English-Learner Instruction

“SEC. 251. Teaching English learners grant.

“(a) Authorization of program.—The Secretary shall award grants, on a competitive basis, to eligible partnerships to improve the preparation of teacher candidates to ensure that such teacher candidates possess the knowledge and skills necessary to effectively instruct English learners.

“(b) Duration of grants.—A grant under this section shall be awarded for a period of not more than 5 years.

“(c) Non-Federal share.—An eligible partnership that receives a grant under this section shall provide not less than 25 percent of the cost of the activities carried out with such grant from non-Federal sources, which may be provided in cash or in-kind.

“(d) Uses of funds.—An eligible partnership that receives a grant under this section shall use the grant to—

“(1) develop or strengthen an undergraduate, postbaccalaureate, or master’s teacher preparation program by integrating strategies for teaching English learners into the education curriculum and academic content;

“(2) provide teacher candidates participating in a program under paragraph (1) with skills related to—

“(A) helping English learners—

“(i) achieve at high levels in prekindergarten programs, and elementary schools and secondary schools so that such English learners can meet the challenging State academic standards adopted under section 1111(b)(1) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(b)(1)) by the State of the school attended by the English learners, which all children in the State are expected to meet; and

“(ii) attain English proficiency;

“(B) appropriately identifying and meeting the specific learning needs of children with disabilities who are English learners;

“(C) recognizing and addressing the social and emotional needs of English learners; and

“(D) promoting parental, family, and community engagement in educational programs that serve English learners;

“(3) provide authentic clinical learning opportunities for teacher candidates participating in the program involving sustained interactions with teachers and English learners at public prekindergarten programs, or elementary schools or secondary schools, to the extent practicable, or simulated environments at the eligible institution of higher education involved, that foster in-depth, first-hand engagement with tasks required of a teacher providing instruction to English learners; and

“(4) provide teacher candidates with the required coursework to qualify for an English-as-a-second-language certification, endorsement, or initial teaching credential, as recognized by the State of the eligible partnership.

“(e) Application.—An eligible partnership seeking a grant under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. Such application shall include—

“(1) a self-assessment by the eligible partnership of the existing teacher preparation program at the institution of higher education and the needs related to preparing teacher candidates to instruct English learners in the manner described in subsection (d)(2); and

“(2) a self-assessment by the eligible partnership of the personnel needs for teachers who instruct English learners at local, public prekindergarten programs, and elementary schools and secondary schools.

“(f) Equitable geographic distribution.—In awarding grants under this section, the Secretary shall, to the maximum extent possible, provide for an equitable geographic distribution of such grants.

“(g) Evaluations.—

“(1) REPORT FROM ELIGIBLE PARTNERSHIPS.—An eligible partnership receiving a grant under this section shall submit to the Secretary the results of an evaluation conducted by the partnership at the end of the grant period to determine—

“(A) the effectiveness of teachers who completed a program under subsection (d)(1) with respect to instruction of English learners; and

“(B) the systemic impact of the activities carried out by such grant on how such partnership prepares teachers to provide instruction in prekindergarten programs, and elementary schools and secondary schools.

“(2) REPORT FROM THE SECRETARY.—Not later than 180 days after the last day of the grant period under this section, the Secretary shall make available to the authorizing committees and the public—

“(A) the findings of the evaluations submitted under paragraph (1); and

“(B) information on best practices related to effective instruction of English learners.

“subpart 4Graduate Fellowships To Prepare Faculty in High-Need Areas at Colleges of Education

“SEC. 261. Graduate fellowships to prepare faculty in high-need areas at colleges of education.

“(a) Grants by secretary.—From the amounts provided to carry out this subpart, the Secretary shall award grants, on a competitive basis, to eligible institutions to enable such institutions to make graduate fellowship awards to qualified individuals in accordance with the provisions of this section.

“(b) Eligible institutions.—In this section, the term ‘eligible institution’ means an institution of higher education, or a consortium of such institutions, that offers a program of postbaccalaureate study leading to a doctoral degree.

“(c) Applications.—An eligible institution that desires a grant under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may reasonably require.

“(d) Types of fellowships supported.—

“(1) IN GENERAL.—An eligible institution that receives a grant under this subpart shall use the grant funds to provide graduate fellowships to individuals who are preparing for the professorate in order to prepare individuals to become elementary school and secondary school science, technology, engineering, and math teachers, special education teachers, and teachers who provide instruction for English-learners, who meet the applicable State certification and licensure requirements, including any requirements for certification obtained through alternative routes to certification, or, with regard to special education teachers, the qualifications described in section 612(a)(14)(C) of the Individuals with Disabilities Education Act.

“(2) TYPES OF STUDY.—A graduate fellowship provided under this section shall support an individual in pursuing postbaccalaureate study, which leads to a doctoral degree and may include a master’s degree as part of such study, related to teacher preparation and pedagogy in one of the following areas:

“(A) Science, technology, engineering, mathematics, and computer science, and their related subfields, if the individual has completed a master’s degree in mathematics, engineering, science, or computer science and is pursuing a doctoral degree in mathematics, science, engineering, or education.

“(B) Special education.

“(C) The instruction of English-learners, including postbaccalaureate study in language instruction educational programs.

“(e) Fellowship terms and conditions.—

“(1) SELECTION OF FELLOWS.—The Secretary shall ensure that an eligible institution that receives a grant under this subpart—

“(A) shall provide graduate fellowship awards to individuals who plan to pursue a career in instruction at an institution of higher education that has a teacher preparation program; and

“(B) may not provide a graduate fellowship to an otherwise eligible individual—

“(i) during periods in which such individual is enrolled at an institution of higher education unless such individual is maintaining satisfactory academic progress in, and devoting full-time study or research to, the pursuit of the degree for which the fellowship support was provided; or

“(ii) if the individual is engaged in gainful employment, other than part-time employment related to teaching, research, or a similar activity determined by the institution to be consistent with and supportive of the individual’s progress toward the degree for which the fellowship support was provided.

“(2) AMOUNT OF FELLOWSHIP AWARDS.—

“(A) IN GENERAL.—An eligible institution that receives a grant under this subpart shall award stipends to individuals who are provided graduate fellowships under this subpart.

“(B) AWARDS BASED ON NEED.—A stipend provided under this subpart shall be in an amount equal to the level of support provided by the National Science Foundation graduate fellowships, except that such stipend shall be adjusted as necessary so as not to exceed the fellowship recipient’s demonstrated need, as determined by the institution of higher education where the fellowship recipient is enrolled.

“(3) SERVICE REQUIREMENT.—

“(A) TEACHING REQUIRED.—Each individual who receives a graduate fellowship under this subpart and earns a doctoral degree shall teach for 1 year at an institution of higher education that has a teacher preparation program for each year of fellowship support received under this section.

“(B) INSTITUTIONAL OBLIGATION.—Each eligible institution that receives a grant under this subpart shall provide an assurance to the Secretary that the institution has inquired of and determined the decision of each individual who has received a graduate fellowship to, within 3 years of receiving a doctoral degree, begin employment at an institution of higher education that has a teacher preparation program, as required by this section.

“(C) AGREEMENT REQUIRED.—Prior to receiving an initial graduate fellowship award, and upon the annual renewal of the graduate fellowship award, an individual selected to receive a graduate fellowship under this section shall sign an agreement with the Secretary agreeing to pursue a career in instruction at an institution of higher education that has a teacher preparation program in accordance with subparagraph (A).

“(D) FAILURE TO COMPLY.—If an individual who receives a graduate fellowship award under this section fails to comply with the agreement signed pursuant to subparagraph (C), the sum of the amounts of any graduate fellowship award received by such recipient shall, upon a determination of such a failure, be treated as a Federal Direct Unsubsidized Stafford Loan under part D of title IV, and shall be subject to repayment, together with interest thereon accruing from the date of the fellowship award, in accordance with terms and conditions specified by the Secretary in regulations under this subpart.

“(E) MODIFIED SERVICE REQUIREMENT.—The Secretary may waive or modify the service requirement of this paragraph in accordance with regulations promulgated by the Secretary with respect to the criteria to determine the circumstances under which compliance with such service requirement is inequitable or represents a substantial hardship. The Secretary may waive the service requirement if compliance by the fellowship recipient is determined to be inequitable or represent a substantial hardship—

“(i) because the individual is permanently and totally disabled at the time of the waiver request; or

“(ii) based on documentation presented to the Secretary of substantial economic or personal hardship.

“(f) Institutional support for fellows.—An eligible institution that receives a grant under this section may reserve not more than ten percent of the grant amount for academic and career transition support for graduate fellowship recipients and for meeting the institutional obligation described in subsection (e)(3)(B).

“(g) Restriction on use of funds.—An eligible institution that receives a grant under this section may not use grant funds for general operational overhead of the institution.

“subpart 5General provisions

“SEC. 271. Competitive priority.

“In awarding grants under subparts 1 through 4, the Secretary shall award competitive priority to eligible institutions, eligible partnerships, and eligible entities that demonstrate in the application for such a grant a plan to—

“(1) increase the diversity in the educator workforce through—

“(A) recruiting, enrolling, and preparing diverse teacher candidates; and

“(B) efforts that help retain diverse teacher candidates in high-needs schools;

“(2) address the shortage of teachers in high-needs fields including science, technology, engineering, arts, mathematics, or computer science through—

“(A) recruiting, enrolling, and preparing teacher candidates to achieve certification, as required by the State, to offer instruction in high-needs fields, including science, technology, engineering, arts, mathematics, or computer science; and

“(B) efforts that help retain teachers of high-needs fields in high-needs schools; and

“(3) expand the pipeline of school leaders through preparing teacher leaders, which may be achieved by efforts that may include—

“(A) embedding pedagogical coursework for teacher candidates that fosters—

“(i) leadership and advocacy skills;

“(ii) knowledge of school management and finance;

“(iii) school operations and business skills;

“(iv) effective use and management of educational technology;

“(v) strategies for community and family engagement; and

“(vi) mentorship and coaching strategies; and

“(B) providing opportunities for teacher candidates to receive—

“(i) exposure to and modeling from teacher leaders and school leaders; and

“(ii) ongoing support and continuation of professional development on teacher or other school leadership once exiting the teacher or other school leader preparation program.”.

TITLE IIIInstitutional Aid

SEC. 3001. Strengthening institutions.

(a) Strengthening institutions.—Section 311(d) of the Higher Education Act of 1965 (20 U.S.C. 1057(d)) is amended—

(1) in paragraph (2)—

(A) by striking “non-Federal sources” and inserting “non-Federal sources (which may include gifts to the endowment fund restricted for a specific purpose)”; and

(B) by striking “or greater than” and inserting “50 percent of”; and

(2) by inserting after paragraph (3) the following:

“(4) SCHOLARSHIP.—An eligible institution that uses grant funds provided under this section to establish or increase an endowment fund may use the interest proceeds from such endowment to provide scholarships to students for the purposes of attending such institution.”.

(b) Tribally controlled colleges and universities.—Section 316(c)(3) of the Higher Education Act of 1965 (20 U.S.C. 1059c(c)(3)) is amended—

(1) in subparagraph (B)—

(A) by striking “matching funds” and inserting “matching funds (which may include gifts to the endowment fund restricted for a specific purpose)”; and

(B) by striking “equal to the Federal funds” and inserting “equal to 50 percent of the Federal funds”; and

(2) by inserting after subparagraph (C) the following:

“(D) SCHOLARSHIPS.—An eligible institution that uses grant funds provided under this section to establish or increase an endowment fund may use the interest proceeds from such endowment to provide scholarships to students for the purposes of attending such institution.”.

(c) Definition of student count; use of unexpended funds; elimination of pre-Approval requirement.—Section 316(d) of the Higher Education Act of 1965 (20 U.S.C. 1059c(d)) is amended—

(1) by striking paragraph (1);

(2) by redesignating paragraphs (2) through (4) as paragraphs (1) through (3), respectively; and

(3) in paragraph (2), as so redesignated—

(A) in subparagraph (B)(i)(I), by striking “based on the respective Indian student counts (as defined in section 2(a) of the Tribally Controlled Colleges and Universities Assistance Act of 1978 (25 U.S.C. 1801(a)) of the Tribal Colleges and Universities.” and inserting “based on the respective full-time equivalent of all enrolled students.”; and

(B) by adding at the end the following:

“(C) USE OF UNEXPENDED FUNDS.—Any funds paid to an institution and not expended or used for the purposes for which the funds were paid during the 5-year period following the date of the initial grant award, may be carried over and expended during the succeeding 5-year period, if such funds were obligated for a purpose for which the funds were paid during the 5-year period following the date of the initial grant award.”.

(d) Promoting the Sustainability of Native American Languages.—Part A of title III of the Higher Education Act of 1965 (20 U.S.C. 1057 et seq.) is further amended by inserting after section 316 (20 U.S.C. 1059c) the following:

“SEC. 316A. Native American language vitalization and training program.

“(a) Establishment.—

“(1) IN GENERAL.—From the amount appropriated under subsection (d), the Secretary shall establish the Native American Language Vitalization and Training Program under which the Secretary shall award grants, on a competitive basis, to eligible institutions to promote the preservation, revitalization, relevancy, and use of Native American languages.

“(2) TERM.—The term of a grant under this section shall be not more than 5 years.

“(3) APPLICATION.—

“(A) STREAMLINED PROCESS.—In carrying out the program under this section, the Secretary shall establish application requirements in such a manner as to simplify and streamline the process for the grant application under this section.

“(B) IN GENERAL.—To be eligible to receive a grant under this subsection, an eligible institution shall submit to the Secretary an application at such time, in such manner, and in accordance with any other application requirements described in subparagraph (A), that the Secretary may prescribe, and including the following:

“(i) A description of the 5-year program of the eligible institution for meeting the needs of American Indians, Alaska Natives, or Native Hawaiians, as appropriate, in the area served by the institution, and how such plan is consistent with the purposes described in paragraph (1).

“(ii)(I) An identification of the population to be served by the eligible institution; and

“(II) an identification of the status of Native American language understanding and use within that population and a description of the manner in which the program will help preserve and revitalize the relevant Native American language.

“(iii) A description of the services to be provided under the program, including the manner in which the services will be integrated with other appropriate activities.

“(iv) A description, to be prepared in consultation with the Secretary, of the performance measures to be used to assess the performance of the eligible institution in carrying out the program.

“(b) Use of funds.—An eligible institution may use a grant under this section to carry out activities consistent with the purposes described in subsection (a)(1), including—

“(1) curriculum development and academic instruction, including educational activities, programs, and partnerships relating to students in early childhood education programs through grade 12;

“(2) professional development for faculty at the eligible institution and in-service training programs for early childhood education programs through grade 12 instructors and administrators; and

“(3) innovative Native American language programs for students in early childhood education programs through grade 12, including language immersion programs.

“(c) Applicability of other provisions.—

“(1) CONCURRENT FUNDING.—

“(A) TRIBAL COLLEGE OR UNIVERSITY.—An eligible institution that is a Tribal College or University may receive a grant under this section and funds under section 316 concurrently.

“(B) ALASKA NATIVE-SERVING INSTITUTION OR NATIVE HAWAIIAN-SERVING INSTITUTION.—An eligible institution that is an Alaska Native-serving institution or Native Hawaiian-serving institution may receive a grant under this section and funds under section 317 concurrently.

“(2) EXEMPTION.—Sections 312(b) and 313(d) shall not apply to an eligible institution that receives a grant under this section.

“(d) Authorization of appropriations.—There are authorized to be appropriated to carry out this section $20,000,000 for fiscal year 2019 and each of the 5 succeeding fiscal years.

“(e) Definitions.—In this section:

“(1) ELIGIBLE INSTITUTION.—The term ‘eligible institution’ means—

“(A) a Tribal College or University, as defined in section 316;

“(B) an Alaska Native-serving institution, as defined in section 317; or

“(C) a Native Hawaiian-serving institution, as defined in section 317.

“(2) NATIVE AMERICAN.—The term ‘Native American’ has the meaning given the term in section 371(c)(6).”.

(e) Predominantly black institutions.—Section 318(d)(3) of the Higher Education Act of 1965 (20 U.S.C. 1059e(d)(3)) is amended—

(1) in subparagraph (B)—

(A) by striking “non-Federal sources” and inserting “non-Federal sources (which may include gifts to the endowment fund restricted for a specific purpose)”; and

(B) by striking “equal to or greater than the Federal funds” and inserting “equal to 50 percent of the Federal funds”; and

(2) by inserting after subparagraph (C) the following:

“(D) SCHOLARSHIPS.—An eligible institution that uses grant funds provided under this section to establish or increase an endowment fund may use the interest proceeds from such endowment to provide scholarships to students for the purposes of attending such institution.”.

(f) Technical correction to section 318.—Section 318(i) of the Higher Education Act of 1965 (20 U.S.C. 1059e) is amended—

(1) in the subsection heading, by striking “Special Rule on Eligibility” and inserting “Special Rules”;

(2) by striking “No Predominantly” and inserting the following:

“(1) ELIGIBILITY.—No Predominantly”; and

(3) by adding at the end the following:

“(2) EXEMPTION.—Section 313(d) shall not apply to institutions that are eligible to receive funds under this section.”.

(g) State relief from Federal higher education mandate.—Part A of title III of the Higher Education Act of 1965 (20 U.S.C. 1057 et seq.) is amended by inserting after section 319 the following:

“SEC. 319A. State relief from Federal higher education mandate.

“(a) Amount of payment.—For fiscal year 2019 and each of the 5 succeeding fiscal years, the Secretary may pay to any eligible college an amount that equals the charges for tuition waived by the college (as described in subsection (e)(1)) for the academic year ending before the beginning of such fiscal year for Native American Indian students who were enrolled in the college for such academic year and who were not residents of the State in which the college is located during such academic year.

“(b) Treatment of payment.—Any amounts received by an eligible college under subsection (a) shall be treated as a reimbursement from the State in which the college is located, which is provided in fulfillment of any Federal mandate upon the State to waive charges for tuition for Native American Indian students.

“(c) Rule of construction.—Nothing in this section shall be construed to relieve any State from any mandate the State may have under Federal law to reimburse an eligible college for an academic year—

“(1) with respect to Native American Indian students enrolled in the college who are not residents of the State in which the college is located, any amount of charges for tuition waived by the college for such students that exceeds the amount received by the college under subsection (a) for such academic year; and

“(2) with respect to Native American Indian students enrolled in the college who are residents of the State in which the college is located, an amount equal to the charges for tuition waived by the college for such students for such academic year.

“(d) Applicability.—

“(1) IN GENERAL.—The provisions of any other section of this part or part G shall not apply with respect to funds paid under this section.

“(2) NO EFFECT ON ELIGIBILITY.—Funds received by a Native American-serving, nontribal institution under this section shall not be taken into account for purposes of section 319(d)(3)(A).

“(e) Definitions.—In this section:

“(1) ELIGIBLE COLLEGE.—The term ‘eligible college’ means any 4-year Native American-serving, nontribal institution that waives the charges for tuition as mandated by Federal statute, with the support of the State in which the institution is located, for Native American Indian students in fulfillment of a condition under which the institution or State received its original grant of land and facilities from the United States.

“(2) NATIVE AMERICAN INDIAN STUDENTS.—The term ‘Native American Indian students’ includes reference to the term ‘Indian pupils’ as that term has been utilized in Federal statutes imposing a mandate upon any eligible college or State to waive charges for tuition for Native American Indian students in fulfillment of a condition under which the college or State received its original grant of land and facilities from the United States.

“(3) NATIVE AMERICAN-SERVING, NONTRIBAL INSTITUTION.—The term ‘Native American-serving, nontribal institution’ has the meaning given the term in section 319(b).

“(f) Supplement, not supplant.—Funds under this section shall be used to supplement, not supplant, any Federal or non-Federal funds that would otherwise be used for Indian education programs.”.

(h) Technical correction to section 320.—Section 320(d)(3)(A) of the Higher Education Act of 1965 (20 U.S.C. 1059g(d)(3)(A)) is amended by inserting “part A of” after “or”.

SEC. 3002. Strengthening historically Black Colleges and Universities.

(a) Allowable uses of funds.—Section 323(a) of the Higher Education Act of 1965 (20 U.S.C. 1062(a)) is amended—

(1) by striking paragraphs (6) and (7) and inserting the following:

“(6) Tutoring, counseling, advising, and student service programs designed to improve academic success, including innovative and customized instructional courses (which may include remedial education and English language instruction) designed to help retain students and move students rapidly into core courses and through program completion.

“(7) Funds and administrative management, and acquisition of technology, services, and equipment for use in strengthening funds and administrative management.”;

(2) in paragraph (10)—

(A) by striking “teacher education” and inserting “traditional or alternative route teacher preparation”; and

(B) by striking “preparation for teacher certification” and inserting “preparation of graduates for teacher certification or licensure”;

(3) by redesignating paragraph (15) as paragraph (19); and

(4) by inserting after paragraph (14) the following:

“(15) Distance education programs and creating or improving facilities for internet or other distance learning academic instruction capabilities, including the purchase or rental of telecommunications technology equipment or services.

“(16) Establishing or improving a program that produces improved results in the educational outcomes of African American males.

“(17) Scholarships, fellowships, and other financial assistance for financially needy undergraduate students, as determined by the institution, to permit the enrollment and degree completion of such students in the physical or natural sciences, engineering, mathematics or other scientific disciplines in which African Americas are underrepresented, except that not more than 30 percent of the grant amount may be for this purpose.

“(18) Establishing or improving an office of sponsored programs to assist with identifying external funding opportunities, applying for external funding, and administering grant awards.”.

(b) Historically black colleges and universities.—Section 323(b) of the Higher Education Act of 1965 (20 U.S.C. 1062(b)) is amended—

(1) in paragraph (2)—

(A) by striking “non-Federal sources” and inserting “non-Federal sources (which may include gifts to the endowment fund restricted for a specific purpose)”; and

(B) by striking “equal to or greater than the Federal funds” and inserting “equal to 50 percent of the Federal funds”; and

(2) by inserting after paragraph (3) the following:

“(4) SCHOLARSHIPS.—An eligible institution that uses grant funds provided under this section to establish or increase an endowment fund may use the interest proceeds from such endowment to provide scholarships to students for the purposes of attending such institution.”.

(c) Allotments and application process.—

(1) ALLOTMENTS.—Section 324 of the Higher Education Act of 1965 (20 U.S.C. 1063) is amended—

(A) in subsection (c), by striking “5” and inserting “6”;

(B) in subsection (d)(1), by striking subparagraphs (A) and (B) and inserting the following:

“(A) less than $500,000 for a part B institution which has received a grant under this part, the Secretary shall award the part B institution an allotment in the amount of $500,000; and

“(B) less than $250,000 for a part B institution which has not received a grant under this part for a fiscal year prior to fiscal year 2017, the Secretary shall award the part B institution an allotment in the amount of $250,000.”; and

(C) in subsection (h)—

(i) in paragraphs (1)(C) and (2)(C), by striking “within 5 years” each time it appears and inserting “within 6 years”; and

(ii) by adding at the end the following:

“(3) LIMITATION FOR NEW INSTITUTIONS.—Notwithstanding any other provision of this section, no part B institution that would otherwise be eligible for funds under this part shall receive an allotment under this part for a fiscal year, unless—

“(A) such institution received an allotment under this part for fiscal year 2017; or

“(B) the amount appropriated under section 399(a)(2)(A) for such fiscal year is not less than $275,000,000.”.

(2) APPLICATIONS.—Section 325(c) of the Higher Education Act of 1965 (20 U.S.C. 1063a(c)) is amended by inserting “, including goals to enhance student retention, graduation, and postgraduate outcomes,” after “management and academic programs”.

(d) Professional or graduate institutions.—Section 326(c) of the Higher Education Act of 1965 (20 U.S.C. 1063b(c)) is amended—

(1) in paragraph (7)—

(A) by striking “equipment,” and inserting “equipment, technology, and services,”; and

(B) by inserting “and administrative” after “in strengthening funds”;

(2) by redesignating paragraph (12) as paragraph (13); and

(3) by striking paragraph (11) and inserting the following:

“(11) tutoring, counseling, advising, and student service programs designed to improve academic success, including innovative and customized instructional courses (which may include remedial education and English language instruction) designed to help retain students and move students rapidly into core courses and through program completion; and

“(12) distance education programs and creating or improving facilities for internet or other distance learning academic instruction capabilities, including the purchase or rental of telecommunications technology equipment or services; and”.

(e) Eligibility.—Section 326(e)(1) of the Higher Education Act of 1965 (20 U.S.C. 1063b(e)) is amended—

(1) in subparagraph (W), by striking “and” at the end;

(2) in subparagraph (X), by striking the period at the end and inserting “; and”; and

(3) by adding at the end the following:

“(Y) University of the Virgin Islands School of Medicine.”.

(f) Interaction with other grant programs.—Section 326(h) of the Higher Education Act of 1965 (20 U.S.C. 1063b(h)) is amended by striking “or 724” and inserting “724, or 727.”.

SEC. 3003. Historically Black College and University Capital Financing.

(a) Bond insurance and Capital finance of STEM facilities.—Section 343 of the Higher Education Act of 1965 (20 U.S.C. 1066b) is amended—

(1) in subsection (b)—

(A) in paragraph (1), by striking “an escrow account” and inserting “a bond insurance fund”;

(B) in paragraph (3), by inserting “(except that loans for the purpose of science, technology, engineering, or mathematics related academic facilities shall carry not more than a 1 percent rate of interest)” after “charge such interest on loans”;

(C) in paragraph (8)—

(i) in the matter preceding subparagraph (A), by striking “an escrow account” and inserting “a bond insurance fund”; and

(ii) in subparagraph (A), by striking “the escrow account” and inserting “the bond insurance fund”;

(D) in paragraph (9), by striking “escrow account” each place it appears and inserting “bond insurance fund”; and

(E) in paragraph (12), by striking “, except as otherwise required by the Secretary”; and

(2) in subsection (c), by striking “escrow account” each place it appears and inserting “bond insurance fund”.

(b) Increased aggregate bond limit.—Section 344 of the Higher Education Act of 1965 (20 U.S.C. 1066c) is amended—

(1) in the matter preceding paragraph (1), by striking “$1,100,000,000” and inserting “$3,600,000,000”;

(2) in paragraph (1), by striking “$733,333,333” and inserting “two-thirds”; and

(3) in paragraph (2), by striking “$366,666,667” and inserting “one-third”.

(c) Strengthening technical assistance.—Section 345 of the Higher Education Act of 1965 (20 U.S.C. 1066d) is amended—

(1) in paragraph (8), by inserting “and” at the end;

(2) by striking paragraph (9) and inserting the following:

“(9) may, directly or by grant or contract, provide financial counseling and technical assistance to eligible institutions to prepare the institutions to qualify, apply for, and maintain a capital improvement loan, including a loan under this part.”; and

(3) by striking paragraph (10) and inserting the following:

“(10) may provide for the modification or deferment of a loan made under this part based on need of the institution, as defined by the Secretary, for a period not to exceed 6 fiscal years, and, during the period of deferment of such a loan, interest on the loan will not accrue or be capitalized.”.

(d) HBCU capital financing advisory board.—Paragraph (2) of Section 347(c) of the Higher Education Act of 1965 (20 U.S.C. 1066f(c)) is amended to read as follows:

“(2) REPORT.—On an annual basis, the Advisory Board shall prepare and submit to the authorizing committees a report on—

“(A) the status of the historically Black colleges and universities described in paragraph (1)(A);

“(B) an overview of all loans awarded under the program under this part, including the most recent loans awarded for the fiscal year in which the report is submitted; and

“(C) administrative and legislative recommendations for addressing the issues related to construction financing facing historically Black colleges and universities.”.

SEC. 3004. Strengthening Historically Black Colleges and Universities and other minority-serving institutions.

Section 371(b) of the Higher Education Act of 1965 (20 U.S.C. 1067q(b)) is amended—

(1) in paragraph (1)(A)—

(A) in the first sentence, by striking “appropriated,” and all that follows through “2019” and inserting the following: “appropriated, $300,000,000 for fiscal year 2019 and each succeeding fiscal year”; and

(B) by striking the second sentence; and

(2) in paragraph (2)—

(A) in subparagraph (A)—

(i) in clause (i), by striking “$100,000,000” and inserting “$117,500,000”;

(ii) in clause (ii), by striking “$100,000,000” and inserting “$99,875,000”;

(iii) in clause (iii)—

(I) by striking “$55,000,000” and inserting “$65,000,000”; and

(II) by striking “(D)” and inserting “(E)”;

(iv) by redesignating clause (iii) as clause (iv); and

(v) by inserting after clause (ii) the following:

“(iii) $17,625,000 shall be available for allocation under subparagraph (D);”;

(B) by redesignating subparagraph (D) as subparagraph (E) and—

(i) in clause (i), by striking “$30,000,000” each place it appears and inserting “$35,000,000”;

(ii) in clause (ii), by striking “$15,000,000” each place it appears and inserting “$18,000,000”; and

(iii) in clauses (iii) and (iv), by striking “$5,000,000” each place it appears and inserting “$6,000,000”; and

(C) by striking subparagraph (C) and inserting the following:

“(C) ALLOCATION AND ALLOTMENT HBCUS.—The amount made available for allocation under this subparagraph by subparagraph (A)(ii) for any fiscal year shall be available to eligible institutions described in subsection (a)(1) and shall be made available as grants under section 323 and allotted among such institutions under section 324, treating such amount, plus the amount appropriated for such fiscal year in a regular or supplemental appropriation Act to carry out part B of this title, as the amount appropriated to carry out part B of this title for purposes of allotments under section 324, for use by such institutions with a priority for—

“(i) activities described in paragraphs (1), (2), (4), (5), and (10) of section 323(a); and

“(ii) other activities, consistent with the institution's comprehensive plan and designed to increase the institution's capacity to prepare students for careers in the physical or natural sciences, mathematics, computer science or information technology or sciences, engineering, language instruction in the less-commonly taught languages or international affairs, or nursing or allied health professions.

“(D) ALLOCATION AND ALLOTMENT PBIS.—The amount made available for allocation under this subparagraph by subparagraph (A)(iii) for any fiscal year shall be available to eligible institutions described in subsection (a)(5) and shall be available for a competitive grant program to award grants of $600,000 annually for programs in any of the following areas:

“(i) science, technology, engineering, or mathematics (STEM);

“(ii) health education;

“(iii) internationalization or globalization;

“(iv) teacher preparation; or

“(v) improving educational outcomes of African American males.”.

SEC. 3005. General provisions.

Section 399(a) of the Higher Education Act of 1965 (20 U.S.C. 1068h(a)) is amended—

(1) by striking “2009” each place it appears and inserting “2019”;

(2) in paragraph (1)—

(A) in subparagraph (A), by striking “$135,000,000” and inserting “$150,000,000”;

(B) in subparagraph (B), by striking “$30,000,000” and inserting “$45,000,000”;

(C) in subparagraph (C), by striking “$15,000,000” and inserting “$25,000,000”;

(D) in subparagraph (D), by striking “$75,000,000” and inserting “$90,000,000”;

(E) in subparagraph (E), by striking “$25,000,000” and inserting “$30,000,000”;

(F) in subparagraph (F), by striking “$30,000,000” and inserting “$60,000,000”;

(G) by redesignating subparagraph (F) as subparagraph (G); and

(H) by inserting after subparagraph (E) the following:

“(F) SECTION 319A.—There is authorized to be appropriated to carry out section 319A $17,400,000 for fiscal year 2019 and each of the 5 succeeding fiscal years.”;

(3) in paragraph (2)—

(A) in subparagraph (A), by striking “$375,000,000” and inserting “$400,000,000”; and

(B) in subparagraph (B), by striking “$125,000,000” and inserting “$135,000,000”;

(4) in paragraph (3), by striking “$10,000,000” and inserting “$220,000,000”; and

(5) in paragraph (4)(A), by striking “$185,000” and inserting “$225,000”.

TITLE IVStudent assistance

SEC. 4001. Effective date for title IV.

Except as otherwise provided in this title or the amendments made by this title, this title and the amendments made by this title shall take effect on July 1, 2019.

PART A

SEC. 4011. Improvements to the Pell Grant program.

Section 401 of the Higher Education Act of 1965 (20 U.S.C. 1070a) is amended—

(1) by striking subsections (a) and (b) and inserting the following:

“(a) Program authority and method of distribution.—

“(1) For each fiscal year, the Secretary shall pay to each eligible institution such sums as may be necessary to pay to each eligible student (defined in accordance with section 484) for each academic year during which that student is in attendance at an institution of higher education, as an undergraduate, a Federal Pell Grant in the amount for which that student is eligible, as determined pursuant to subsection (b). Not less than 85 percent of such sums shall be advanced to eligible institutions prior to the start of each payment period and shall be based upon an amount requested by the institution as needed to pay eligible students until such time as the Secretary determines and publishes in the Federal Register with an opportunity for comment, an alternative payment system that provides payments to institutions in an accurate and timely manner, except that this sentence shall not be construed to limit the authority of the Secretary to place an institution on a reimbursement system of payment.

“(2) Nothing in this section shall be interpreted to prohibit the Secretary from paying directly to students, in advance of the beginning of the academic term, an amount for which they are eligible, in cases where the eligible institution elects not to participate in the disbursement system required by paragraph (1).

“(3) Grants made under this subpart shall be known as ‘Federal Pell Grants’.

“(b) Purpose and amount of grants.—

“(1) AMOUNT.—The amount of the Federal Pell Grant for a student eligible under this subpart shall be—

“(A) the maximum Federal Pell Grant described in paragraph (6); less

“(B) the amount equal to the amount determined to be the expected family contribution with respect to such student for such year.

“(2) In any case where a student attends an institution of higher education on less than a full-time basis (including a student who attends an institution of higher education on less than a half-time basis) during any academic year, the amount of the Federal Pell Grant to which that student is entitled shall be reduced in proportion to the degree to which that student is not so attending on a full-time basis, in accordance with a schedule of reductions established by the Secretary for the purposes of this division, computed in accordance with this subpart. Such schedule of reductions shall be established by regulation and published in the Federal Register in accordance with section 482 of this Act.

“(3) No Federal Pell Grant under this subpart shall exceed the difference between the expected family contribution for a student and the cost of attendance (as defined in section 472) at the institution at which that student is in attendance. If, with respect to any student, it is determined that the amount of a Federal Pell Grant plus the amount of the expected family contribution for that student exceeds the cost of attendance for that year, the amount of the Federal Pell Grant shall be reduced until the combination of expected family contribution and the amount of the Federal Pell Grant does not exceed the cost of attendance at such institution.

“(4) No Federal Pell Grant shall be awarded to a student under this subpart if the amount of that grant for that student as determined under this subsection for any academic year is less than ten percent of the maximum Federal Pell Grant described in paragraph (6) for such academic year.

“(5) Notwithstanding any other provision of this subpart, the Secretary shall allow the amount of the Federal Pell Grant to be exceeded for students participating in a program of study abroad approved for credit by the institution at which the student is enrolled when the reasonable costs of such program are greater than the cost of attendance at the student’s home institution, except that the amount of such Federal Pell Grant in any fiscal year shall not exceed the maximum amount of a Federal Pell Grant award described in paragraph (6), for which a student is eligible during such award year. If the preceding sentence applies, the financial aid administrator at the home institution may use the cost of the study abroad program, rather than the home institution’s cost, to determine the cost of attendance of the student.

“(6) MAXIMUM FEDERAL PELL GRANT.—

“(A) AWARD YEAR 2019–2020.—For award year 2019–2020, the maximum Federal Pell Grant shall be $6,595.

“(B) SUBSEQUENT AWARD YEARS.—For award year 2020–2021 and each subsequent award year, the maximum Federal Pell Grant shall be equal to the total maximum Federal Pell Grant for the preceding award year under this paragraph—

“(i) increased by the annual adjustment percentage for the award year for which the amount under this subparagraph is being determined; and

“(ii) rounded to the nearest $5.

“(C) DEFINITION OF ANNUAL ADJUSTMENT PERCENTAGE.—In this paragraph, the term ‘annual adjustment percentage’, as applied to an award year, is equal to the estimated percentage increase in the Consumer Price Index (as determined by the Secretary, using the definition in section 478(f)) for the most recent calendar year ending prior to the beginning of that award year.

“(7)(A) Effective in the 2017–2018 award year and thereafter, the Secretary shall award an eligible student not more than one and one-half Federal Pell Grants during a single award year to permit such student to work toward completion of an eligible program if, during that single award year, the student—

“(i) has received a Federal Pell Grant for an award year and is enrolled in an eligible program for one or more additional payment periods during the same award year that are not otherwise fully covered by the student’s Federal Pell Grant; and

“(ii) is enrolled on at least a half-time basis while receiving any funds under this section.

“(B) In the case of a student receiving more than one Federal Pell Grant in a single award year under subparagraph (A), the total amount of Federal Pell Grants awarded to such student for the award year may exceed the maximum Federal Pell Grant available for an award year.

“(C) Any period of study covered by a Federal Pell Grant awarded under subparagraph (A) shall be included in determining a student’s duration limit under subsection (c)(5).

“(D) In any case where an eligible student is receiving a Federal Pell Grant for a payment period that spans two award years, the Secretary shall allow the eligible institution in which the student is enrolled to determine the award year to which the additional period shall be assigned, as it determines is most beneficial to students.”;

(2) in subsection (f)—

(A) in paragraph (1), by striking the matter preceding subparagraph (A) and inserting the following: “After receiving an application for a Federal Pell Grant under this subpart, the Secretary (including any contractor of the Secretary processing applications for Federal Pell Grants under this subpart) shall, in a timely manner, furnish to the student financial aid administrator at each institution of higher education that a student awarded a Federal Pell Grant under this subpart is attending, the expected family contribution for each such student. Each such student financial administrator shall— ”; and

(B) in paragraph (3)—

(i) by striking “after academic year 1986–1987”; and

(ii) by striking “the Committee on Appropriations of the Senate, the Committee on Appropriations of the House of Representatives, and”;

(3) by striking subsections (g) and (h);

(4) by redesignating subsections (i) and (j) as subsections (g) and (h), respectively;

(5) in subsection (h), as so redesignated—

(A) in paragraph (1) by inserting before the period the following: “, or if such institution of higher education is subject to an ineligibility determination under section 435(a)(9)”; and

(B) in paragraph (2) by inserting “or final adjusted cohort default rate” before “determination”; and

(6) by adding at the end the following:

“(k) Appropriation of funds.—

“(1) IN GENERAL.—There are authorized to be appropriated, and there are appropriated, out of any money in the Treasury not otherwise appropriated—

“(A) for fiscal year 2019, the greater of—

“(i) the coverage amount; or

“(ii) $19,448,200,000;

“(B) for fiscal year 2020, the greater of—

“(i) the coverage amount; or

“(ii) $20,610,000,000;

“(C) for fiscal year 2021, the greater of—

“(i) the coverage amount; or

“(ii) $21,887,400,000;

“(D) for fiscal year 2022, the greater of—

“(i) the coverage amount; or

“(ii) $23,305,600,000;

“(E) for fiscal year 2023, the greater of—

“(i) the coverage amount; or

“(ii) $24,609,400,000;

“(F) for fiscal year 2024, the greater of—

“(i) the coverage amount; or

“(ii) $26,119,400,000;

“(G) for fiscal year 2025, the greater of—

“(i) the coverage amount; or

“(ii) $27,776,200,000;

“(H) for fiscal year 2026, the greater of—

“(i) the coverage amount; or

“(ii) $29,463,000,000;

“(I) for fiscal year 2027, the greater of—

“(i) the coverage amount; or

“(ii) $31,339,200,000; and

“(J) for each subsequent fiscal year, the coverage amount.

“(2) COVERAGE AMOUNT DEFINED.—In this subsection, the term ‘coverage amount’ means, with respect to a fiscal year, such sums as may be necessary to cover 60 percent of the costs of the Federal Pell Grant Program.”.

SEC. 4012. Amendments to Pell Grant eligibility.

Section 401(c) of the Higher Education Act of 1965 (20 U.S.C. 1070a(c)) is amended—

(1) in paragraph (1) by striking “except” and all that follows and inserting “except—

“(A) that any period during which the student is enrolled in a noncredit or remedial course of study as define in paragraph (2) shall not be counted for the purpose of this paragraph; and

“(B) in the case of a student who received Pell Grants during an undergraduate baccalaureate course of study, but did not exhaust the maximum period of eligibility as described in paragraph (5), the period during which a student may receive Federal Pell Grants shall also include the period required for the completion of the first postbaccalaureate course of study up to the maximum period of eligibility.”; and

(2) in paragraph (5)—

(A) by striking “(5) The period” and inserting the following: “(5) Maximum period.—

“(A) IN GENERAL.—Except as provided in subparagraph (B), the period”;

(B) by striking “12” each place the term appears and inserting “14”; and

(C) by adding at the end the following:

“(B) EXCEPTION.—

“(i) IN GENERAL.—Any Federal Pell Grant that a student received during a period described in subclause (I) or (II) of clause (ii) shall not count toward the student’s duration limits under this paragraph.

“(ii) APPLICABLE PERIODS.—Clause (i) shall apply with respect to any Federal Pell Grant awarded to a student to attend an institution—

“(I) during a period—

“(aa) for which the student received a loan under this title; and

“(bb) for which the loan described in item (aa) is forgiven under—

“(AA) section 437(c)(1) or 464(g)(1) due to the closing of the institution;

“(BB) section 455(h) due to the student’s successful assertion of a defense to repayment of the loan; or

“(CC) section 432(a)(6), section 685.215 of title 34, Code of Federal Regulations (or a successor regulation), or any other loan forgiveness provision or regulation under this Act, as a result of a determination by the Secretary or a court that the institution committed fraud or other misconduct; or

“(II) during a period for which the student did not receive a loan under this title but for which, if the student had received such a loan, the student would have qualified for loan forgiveness under subclause (I)(bb).”.

SEC. 4013. Extending Federal Pell Grant eligibility of certain short-term programs.

Section 401 of the Higher Education Act of 1965 (20 U.S.C. 1070a) is further amended by inserting after subsection (h) the following:

“(i) Job training Federal Pell Grant program.—

“(1) DEFINITIONS.—In this subsection:

“(A) ELIGIBLE CAREER PATHWAY PROGRAM.—The term ‘eligible career pathway program’ means a program that—

“(i) meets the requirements of section 484(d)(2);

“(ii) is a program of training services listed under section 122(d) of the Workforce Innovation and Opportunity Act (29 U.S.C. 3152(d)); and

“(iii) is part of a career pathway, as defined in section 3 of such Act (29 U.S.C. 3102).

“(B) JOB TRAINING PROGRAM.—The term ‘job training program’ means a career and technical education program at an institution of higher education that—

“(i) provides not less than 150, and not more than 600, clock hours of instructional time over a period of not less than 8, and not more than 15, weeks;

“(ii) provides training aligned with the requirements of employers in the State or local area, which may include in-demand industry sectors or occupations, as defined in section 3 of the Workforce Innovation and Opportunity Act (29 U.S.C. 3102), in the State or local area (as defined in such section);

“(iii) is a program of training services, and provided through an eligible provider of training services, listed under section 122(d) of such Act (29 U.S.C. 3152(d));

“(iv) provides a student, upon completion of the program, with a recognized postsecondary credential, as defined in section 3 of such Act, that is recognized by employers in the relevant industry, including credentials recognized by industry or sector partnerships in the State or local area where the industry is located;

“(v) has been determined, by the institution of higher education, to provide academic content, an amount of instructional time, and a recognized postsecondary credential that are sufficient to—

“(I) meet the hiring requirements of potential employers; and

“(II) satisfy any applicable educational prerequisite requirement for professional licensure or certification, so that the student who completes the program and seeks employment qualifies to take any licensure or certification examination needed to practice or find employment in an occupation that the program prepares students to enter;

“(vi) may include integrated or basic skills courses; and

“(vii) may be offered as part of an eligible career pathway program.

“(2) IN GENERAL.—For the award year beginning on July 1, 2019, and each subsequent award year, the Secretary shall carry out a program through which the Secretary shall award job training Federal Pell Grants to students in job training programs. Each job training Federal Pell Grant awarded under this subsection shall have the same terms and conditions, and be awarded in the same manner, as a Federal Pell Grant awarded under subsection (a), except as follows:

“(A) A student who is eligible to receive a job training Federal Pell Grant under this subsection is a student who—

“(i) has not yet attained a baccalaureate degree or postbaccalaureate degree;

“(ii) attends an institution of higher education;

“(iii) is enrolled, or accepted for enrollment, in a job training program at such institution of higher education; and

“(iv) meets all other eligibility requirements for a Federal Pell Grant (except with respect to the type of program of study, as provided in clause (iii)).

“(B) The amount of a job training Federal Pell Grant for an eligible student shall be determined under subsection (b)(1), except that—

“(i) the maximum Federal Pell Grant awarded under this subsection for an award year shall be 50 percent of the maximum Federal Pell Grant awarded under subsection (b)(5) applicable to that award year; and

“(ii) subsection (b)(4) shall not apply.

“(3) INCLUSION IN TOTAL ELIGIBILITY PERIOD.—Any period during which a student receives a job training Federal Pell Grant under this subsection shall be included in calculating the student’s period of eligibility for Federal Pell Grants under subsection (c), and any regulations under such subsection regarding students who are enrolled in an undergraduate program on less than a full-time basis shall similarly apply to students who are enrolled in a job training program at an eligible institution on less than a full-time basis.”.

SEC. 4014. Providing Federal Pell Grants for Iraq and Afghanistan veteran’s dependents.

(a) Amendments.—Part A of title IV of the Higher Education Act of 1965 (20 U.S.C. 1070a et seq.) is amended in section 401 by inserting after subsection (i) the following:

“(j) Scholarships for veteran’s dependents.—

“(1) DEFINITION OF ELIGIBLE VETERAN’S DEPENDENT.—In this subsection, the term ‘eligible veteran’s dependent’ means a dependent or an independent student—

“(A) whose parent or guardian was a member of the Armed Forces of the United States and died as a result of performing military service in Iraq or Afghanistan after September 11, 2001; and

“(B) who, at the time of the parent or guardian’s death, was—

“(i) less than 24 years of age; or

“(ii) enrolled at an institution of higher education on a part-time or full-time basis.

“(2) GRANTS.—

“(A) IN GENERAL.—The Secretary shall award a Federal Pell Grant, as modified in accordance with the requirements of this subsection, to each eligible veteran’s dependent to assist in paying the eligible veteran’s dependent’s cost of attendance at an institution of higher education.

“(B) DESIGNATION.—Federal Pell Grants made under this subsection may be known as ‘Iraq and Afghanistan Service Grants’.

“(3) PREVENTION OF DOUBLE BENEFITS.—No eligible veteran’s dependent may receive a grant under both this subsection and subsections (a) or (i).

“(4) TERMS AND CONDITIONS.—The Secretary shall award Iraq and Afghanistan Service Grants under this subsection in the same manner and with the same terms and conditions, including the length of the period of eligibility, as the Secretary awards Federal Pell Grants under subsection (a), except that—

“(A) the award rules and determination of need applicable to the calculation of Federal Pell Grants under subsection (a) shall not apply to Iraq and Afghanistan Service Grants;

“(B) the provisions of paragraph (1)(B) and (3) of subsection (b), and subsection (f), shall not apply;

“(C) the maximum period determined under subsection (c)(5) shall be determined by including all Iraq and Afghanistan Service Grants received by the eligible veteran’s dependent, including such Grants received under subpart 10 before the effective date of this subsection; and

“(D) an Iraq and Afghanistan Service Grant to an eligible veteran’s dependent for any award year shall equal the maximum Federal Pell Grant available under subsection (b)(5) for that award year, except that an Iraq and Afghanistan Service Grant—

“(i) shall not exceed the cost of attendance of the eligible veteran’s dependent for that award year; and

“(ii) shall be adjusted to reflect the attendance by the eligible veteran’s dependent on a less than full-time basis in the same manner as such adjustments are made for a Federal Pell Grant under subsection (a).

“(5) ESTIMATED FINANCIAL ASSISTANCE.—For purposes of determinations of need under part F, an Iraq and Afghanistan Service Grant shall not be treated as estimated financial assistance as described in sections 471(3) and 480(j).”.

(b) Effective date; transition.—

(1) EFFECTIVE DATE.—The amendments made by this section shall take effect with respect to the award year immediately following the date of enactment of this Act.

(2) TRANSITION.—The Secretary shall take such steps as are necessary to transition from the Iraq and Afghanistan Service Grants program under subpart 10 of part A of title IV of the Higher Education Act of 1965 (20 U.S.C. 1070h), as in effect on the day before the effective date of this section, and the Iraq and Afghanistan Service Grants program under section 401(j) of the Higher Education Act of 1965 (20 U.S.C. 1070a(j)), as amended by this section.

SEC. 4015. Federal Pell Grant fraud prevention.

Part A of title IV of the Higher Education Act of 1965 (20 U.S.C. 1070a et seq.) is amended in section 401, by inserting after subsection (j) the following:

“(k) Prevention of fraud.—

“(1) REPORT.—Not later than December 31 of each year, the Secretary shall prepare and submit a report to the authorizing committees that includes the following information with respect to unusual enrollment history:

“(A) The number and percentage of total applicants who were flagged for an unusual enrollment history in the preceding award year.

“(B) The number and percentage of institutions that have had fewer than 2 percent of applicants flagged for an unusual enrollment history in the preceding award year.

“(C) The name of every institution that has had more than 3 percent of total applicants flagged for an unusual enrollment history in the preceding award year.

“(D) If the percentage of total applicants in subparagraph (A) is greater than 2 percent, a detailed plan from the Secretary as to how to reduce that percentage below 2 percent by the following award year.

“(2) DEFINITION.—For the purposes of this subsection the term ‘unusual enrollment history’ means, with respect to the application for Federal student aid—

“(A) a pattern in which a student attends an institution long enough to receive a disbursement of credit balance funds authorized by this title, does not complete the enrollment period, enrolls at another institution and repeats this pattern to collect an additional credit balance of funds authorized by this title without earning academic credit; or

“(B) any other enrollment pattern that the Department of Education believes may signal an attempt by a student to receive funds authorized under this title in a fraudulent manner.”.

SEC. 4016. Conforming amendments to academic competitiveness grants.

Section 401A(d)(1)(B)(i) of the Higher Education Act of 1965 (20 U.S.C. 1070a–1(d)(1)(B)(i)) is amended by striking “section 401(b)(2)(B)” and inserting “section 401(b)(2)”.

SEC. 4017. Federal TRIO program.

Section 402A of the Higher Education Act of 1965 (20 U.S.C. 1070a–11) is amended—

(1) in subsection (b)(3), by striking “$200,000” and all that follows through the period at the end and inserting the following: “$220,000, except that for any fiscal year for which such minimum individual grant amount would result in fewer than 2,780 grants awarded under this chapter, an individual grant authorized under this chapter shall be awarded in an amount that would result in not fewer than 2,780 grants awarded under this chapter for such fiscal year.”;

(2) in subsection (c)—

(A) by amending subparagraph (A) of paragraph (2) to read as follows:

“(A) ACCOUNTABILITY FOR OUTCOMES.—In making grants under this chapter, the Secretary shall consider each applicant’s prior success in achieving high-quality service delivery, as determined under subsection (f) under the particular program for which funds are sought. The level of consideration given the factor of prior success in achieving high-quality service delivery shall not vary from the level of consideration given such factor during fiscal years 1994 through 1997, except that grants made under section 402H shall not be given such consideration.”;

(B) in paragraph (6), by striking the last sentence and inserting the following: “The Secretary shall require each applicant for funds under the programs authorized by this chapter to identify and conduct outreach to foster care children and youth and homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)), and make available to foster care children and youth and homeless children and youths services under such programs, including mentoring, tutoring, and other services provided by such programs.”;

(C) by redesignating paragraphs (7) and (8) as paragraphs (8) and (9), respectively;

(D) in paragraph (6), as so amended—

(i) by striking “with other programs for disadvantaged students” in the heading; and

(ii) by striking “The Secretary shall, as appropriate, require each applicant for funds under the programs authorized by this chapter” and inserting the following:

“(7) INCLUSION OF HOMELESS AND FOSTER STUDENTS.—The Secretary shall, as appropriate, require each applicant for funds under the programs authorized by this chapter (other than the programs authorized under section 402E or 402G)”;

(E) in paragraph (8), as so redesignated, by striking “8 months” and inserting “90 days” both places it appears; and

(F) in paragraph (9), as so redesignated—

(i) in subparagraph (A)—

(I) by striking “Not later than 180 days after the date of enactment of the Higher Education Opportunity Act,” and inserting “Not less than 90 days before the commencement of each competition for a grant under this chapter is held,”;

(II) in clause (iii), by striking “prior experience” and inserting “accountability for outcomes”; and

(III) in clause (v), by striking “prior experience” and inserting “accountability for outcomes”; and

(ii) by striking subparagraph (B) and redesignating subparagraph (C) as subparagraph (B);

(3) in subsection (d)(3), by adding at the end the following: “In addition, the Secretary shall host at least one virtual, interactive training to ensure that any interested applicants have access to technical assistance.”;

(4) in subsection (e)—

(A) in paragraph (1)—

(i) by striking “or” at the end of subparagraph (C);

(ii) by striking the period at the end of subparagraph (D) and inserting a semicolon; and

(iii) by adding at the end the following:

“(E) documentation that the student has been determined eligible for a Federal Pell Grant authorized under section 401; or

“(F) for grants authorized under 402B and 402F of this chapter, documentation that a student is attending a school that elects, or for which the local educational agency serving the school elects on behalf of the school, to receive special assistance payment under section 11(a)(1)(F)(ii) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1759a(a)(1)(F)(ii)), or that had a percentage of enrolled students who were identified students (defined in clause (i) of section 11(a)(1)(F) of such Act (42 U.S.C. 1759a(a)(1)(F))) that meets or exceeds the threshold described in clause (viii) of such section (42 U.S.C. 1759a(a)(1)(F)) during the school year that ends prior to the first period for which such grant is awarded.”; and

(B) in paragraph (2)—

(i) by striking “or” at the end of subparagraph (C);

(ii) by striking the period at the end of subparagraph (D) and inserting a semicolon; and

(iii) by adding at the end the following:

“(E) documentation that the student has been determined to be eligible for a Federal Pell Grant authorized under section 401; or

“(F) for grants authorized under 402B and 402F of this chapter, documentation that a student is attending a school that elects, or for which the local educational agency serving the school elects on behalf of the school, to receive special assistance payment under section 11(a)(1)(F)(ii) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1759a(a)(1)(F)(ii)), or that had a percentage of enrolled students who were identified students (defined in clause (i) of section 11(a)(1)(F) of such Act (42 U.S.C. 1759a(a)(1)(F))) that meets or exceeds the threshold described in clause (viii) of such section (42 U.S.C. 1759a(a)(1)(F)) during the school year that ends prior to the first period for which such grant is awarded.”;

(5) in subsection (f)—

(A) in paragraph (1)—

(i) by striking “prior experience” and inserting “accountability in outcomes” in the heading;

(ii) by striking “on or after January 1, 2009” and inserting “on or after the date of enactment of the”; and

(iii) by striking “prior experience of” and inserting “success in achieving”;

(B) in paragraph (2), by striking “college students, and” and inserting “college students, foster care children and youth, homeless children and youth, and”; and

(C) in paragraph (3)—

(i) in subparagraph (A)—

(I) in clause (iv), by striking “will make such students eligible for programs such as the Academic Competitiveness Grants Program” and inserting “includes at least 4 years of mathematics, 3 years of science, and 2 years of a foreign language”;

(II) by redesignating clauses (v) and (vi) as clauses (vi) and (vii), respectively; and

(III) by inserting after clause (iv) the following:

“(v) the completion of financial aid applications, including the Free Application for Federal Student Aid described in section 483(a) and college admissions applications;”;

(ii) in subparagraph (B)—

(I) by inserting “except in the case of programs that specifically target veterans,” after “under section 402C,”;

(II) in clause (v), by striking “will make such students eligible for programs such as the Academic Competitiveness Grants Program” and inserting “includes at least 4 years of mathematics, 3 years of science, and 2 years of a foreign language”;

(III) by redesignating clauses (vi) and (vii) as clauses (vii) and (viii), respectively; and

(IV) by inserting after clause (v) the following:

“(vi) the completion of financial aid applications, including the Free Application for Federal Student Aid described in section 483(a) and college admission applications;”;

(iii) by redesignating subparagraphs (C), (D), and (E), as subparagraphs (D), (E), and (F), respectively;

(iv) by inserting after subparagraph (B) the following:

“(C) For programs authorized under section 402C that specifically target veterans, the extent to which the eligible entity met or exceeded the entity’s objectives for such program regarding—

“(i) the delivery of service to a total number of students served by the program, as agreed upon by the entity and the Secretary for the period of the program;

“(ii) such students’ academic performance as measured by standardized tests;

“(iii) the retention and completion of participants in the program;

“(iv) the provision of assistance to students served by the program in completing financial aid applications, including the Free Application for Federal Student Aid described in section 483(a) and college admission applications;

“(v) the enrollment of such students in an institution of higher education; and

“(vi) to the extent practicable, the postsecondary completion of such students.”;

(v) in subparagraph (D), as redesignated in clause (ii)—

(I) in subclause (I), by striking “in which such students were enrolled” and inserting “at any baccalaureate granting institution within 6 years of initial enrollment in the project”; and

(II) in subclause (II), by striking items (aa) and (bb) and inserting the following:

“(aa) the transfer of such students to institutions of higher education that offer baccalaureate degrees, regardless of whether the transferring student completes a degree or certificate; or

“(bb) the completion of a degree or certificate by such students at any accredited institution within 4 years of initial enrollment in the project;”;

(vi) in subparagraph (E), as redesignated—

(I) in clause (iii), by striking “; and” and inserting “within 2 years of receiving the baccalaureate degree;”; and

(II) in clause (iv), by striking “graduate study and the attainment of doctoral degrees by former program participants.” and inserting ““graduate study; and

“(v) the attainment of doctoral degrees by former program participants within 10 years of receiving the baccalaureate degree.”; and

(vii) in subparagraph (F), as redesignated—

(I) in clause (i), by inserting “within 2 years of service” before the semicolon; and

(II) in clause (ii), by inserting “or re-enrollment” after “the enrollment”;

(6) in subsection (g)—

(A) by striking “$900,000,000 for fiscal year 2009 and such sums as may be necessary for each” and inserting “$1,010,000,000 for fiscal year 2019, and each of the 5 succeeding years. The amount authorized to be appropriated in the preceding sentence for fiscal year 2020 and each of the 4 succeeding fiscal years shall be deemed increased by the annual adjustment percentage. For purposes of this subsection, the term ‘adjustment percentage’ as applied to a fiscal year, means the estimated percentage change in the Consumer Price Index (as determined by the Secretary, using the definition in section 478(f)) for the most recent calendar year ending before the beginning of that fiscal year.”;

(B) by striking “½ of”;

(C) by striking “, and to provide” and inserting “, to provide”; and

(D) by striking “current grantees.” and all that follows through “additional readers.” and inserting “current grantees, and to carry out the requirements of section 402A(c)(9)(B).”;

(7) in subsection (h)—

(A) by amending paragraph (4) to read as follows:

“(4) LOW-INCOME INDIVIDUAL.—The term ‘low-income individual’ means—

“(A) an individual from a family whose taxable income for the preceding year did not exceed 150 percent of the poverty line applicable to the individual’s family size as determined under section 673(2) of the Community Services Block Grant Act (42 U.S.C. 9902(2));

“(B) an individual whose taxable income as reported on the individual’s most recently completed Free Application for Federal Student Aid under section 483(a) did not exceed 150 percent of such poverty line;

“(C) an individual who has been determined to be eligible for a Federal Pell Grant authorized under section 401; or

“(D) for grants authorized under 402B and 402F of this chapter, a student who is attending a school that elects, or for which the local educational agency serving the school elects on behalf of the school, to receive special assistance payment under section 11(a)(1)(F)(ii) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1759a(a)(1)(F)(ii)), or that had a percentage of enrolled students who were identified students (defined in clause (i) of section 11(a)(1)(F) of such Act (42 U.S.C. 1759a(a)(1)(F))) that meets or exceeds the threshold described in clause (viii) of such section (42 U.S.C. 1759a(a)(1)(F)) during the school year that ends prior to the first year of the period for which such grant is awarded.”;

(B) by redesignating paragraph (5) as subsection (i) and subparagraphs (A) through (D) as paragraphs (1) through (4); and

(C) by redesignating paragraph (6) as subsection (j); and

(8) in subsection (j), as redesignated, by striking “subparagraph (A), (B), or (C) of paragraph (5)” and inserting “paragraph (1), (2), or (3) of subsection (i)”.

SEC. 4018. Talent search.

Section 402B of the Higher Education Act of 1965 (20 U.S.C. 1070a–12) is amended—

(1) in subsection (a)—

(A) in paragraph (2), by striking “and” at the end;

(B) by redesignating paragraph (3) as paragraph (4); and

(C) by inserting after paragraph (2) the following:

“(3) to advise such youths regarding the postsecondary education selection process, including consideration of financial aid awards offered, potential Federal loan burden, and likelihood of graduating; and”;

(2) in subsection (b)—

(A) by striking “and” at the end of paragraph (5); and

(B) by striking paragraph (6) and inserting the following:

“(6) education or counseling services to assist students and their families regarding career choice; and

“(7) connections to programs providing financial literacy and economic literacy so that students and their families are able to make informed choices regarding postsecondary education, including considering degree choice and potential Federal loan burden.”;

(3) in subsection (c)(2), by striking “career” and inserting “academic”; and

(4) in subsection (d)—

(A) in paragraph (3), by striking “and” after the semicolon;

(B) in paragraph (4), by striking the period at the end and inserting a semicolon; and

(C) by adding at the end the following:

“(5) require an assurance that the entity carrying out the project has reviewed and revised policies and practices as needed to remove barriers to the participation and retention in the project of homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)), including unaccompanied youth, and foster care children and youth;

“(6) require that such entity submit, as part of the application for the project, a description of the activities that will be undertaken to reach out to homeless children and youths and foster care children and youth as part of the project; and

“(7) require an assurance that such entity will prepare and submit the report required under section 402H(e) at the conclusion of the project regarding homeless children and youths and foster care children and youth.”.

SEC. 4019. Upward Bound.

Section 402C of the Higher Education Act of 1965 (20 U.S.C. 1070a–13) is amended—

(1) in subsection (b), by striking paragraphs (5) and (6) and inserting the following:

“(5) assistance to students and their families regarding career choice;

“(6) education or counseling services designed to education improve the financial literacy and economic literacy of students or the students’ parents in order to aid them in making informed decisions about the postsecondary education selection process and assist students and their families in making informed choices regarding the postsecondary education selection process; and

“(7) in the case of such a project that is not specifically designed for veterans, as part of core curriculum, instruction in mathematics through pre-calculus, science, foreign language, language arts, and literature, and in the case of such a project that is specifically designed for veterans, instruction in mathematics through pre-calculus, science, foreign language, and language arts.”;

(2) by striking subsections (c) and (g) and redesignating subsections (d), (e), (f), and (h) as subsections (c), (d), (e), and (f), respectively;

(3) in subsection (c), as so redesignated—

(A) in paragraph (1), by striking “youth” and inserting “participants”;

(B) in paragraph (2)—

(i) by striking “youth participating in the project” and inserting “project participants”; and

(ii) by striking “youth;” and inserting “participants;” and

(C) in paragraph (5), by striking “youth participating in the project” and inserting “participants”; and

(4) in subsection (e), as so redesignated—

(A) by striking “$60” and inserting “$90”;

(B) by striking “$300” and inserting “$450”;

(C) by striking “$40” and inserting “$60”;

(D) by adding at the end the following: “Adults participating in a project specifically targeting veterans under this section may be paid stipends not in excess of $100 per month during the year.”;

(E) in paragraph (4), by striking “and” after the semicolon;

(F) in paragraph (5), by striking the period at the end and inserting a semicolon; and

(G) by adding at the end the following:

“(7) require an assurance that the entity carrying out the project has reviewed and revised policies and practices as needed to remove barriers to the participation and retention in the project of homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)), including unaccompanied youth, and foster care children and youth;

“(8) require that such entity submit, as part of the application, a description of the activities that will be undertaken to reach out to homeless children and youths and foster care children and youth regarding the project; and

“(9) require an assurance that such entity will prepare and submit the report required under section 402H(e) at the conclusion of the project regarding homeless children and youths and foster care children and youth.”.

SEC. 4020. Student support services.

Section 402D of the Higher Education Act of 1965 (20 U.S.C. 1070a–14) is amended—

(1) in subsection (a)—

(A) in paragraph (3), by striking “limited English proficient” and inserting “low-income and first generation college students, including limited English proficient students”; and

(B) in paragraph (4), by striking “, including—” and all that follows through the end of the paragraph and inserting a period;

(2) in subsection (b)(4), by striking “including financial planning for postsecondary education;” and inserting “including—

“(A) financial planning for postsecondary education, including loan burdens required, repayment options, and expected earnings in potential career fields;

“(B) basic personal income, household money management, and financial planning skills; and

“(C) basic economic decisionmaking skills.”;

(3) in subsection (d)(1), by striking “section 401(b)(2)(A)” and inserting “section 401(b)(1)”; and

(4) in subsection (e)—

(A) in paragraph (5), by striking “and” after the semicolon;

(B) in paragraph (6)(B), by striking the period at the end and inserting a semicolon; and

(C) by adding at the end the following:

“(7) require an assurance that the entity carrying out the project has reviewed and revised policies and practices as needed to remove barriers to the participation and retention in the project of homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)), including unaccompanied youth, and foster care children and youth;

“(8) require that such entity submit, in the application for the project, a description of the activities that will be undertaken to reach out to homeless children and youths, and foster care children and youth, who are enrolled or accepted for enrollment at the institution; and

“(9) require an assurance that such entity will prepare and submit the report required under section 402H(e) at the conclusion of the project regarding homeless children and youths and foster care children and youth.”.

SEC. 4021. Postbaccalaureate achievement program authority.

Section 402E of the Higher Education Act of 1965 (20 U.S.C. 1070a–15) is amended—

(1) in subsection (b)(2)—

(A) by striking “summer”; and

(B) by inserting “or faculty-led research experiences” before the semicolon;

(2) in subsection (d)(4)—

(A) by striking “summer”; and

(B) by inserting “or faculty-led experiences who have stipends” after “internships”; and

(3) in subsection (f)(1), by striking “$2,800” and inserting “$4,000”.

SEC. 4022. Educational opportunity centers.

Section 402F of the Higher Education Act of 1965 (20 U.S.C. 1070a–16) is amended—

(1) in subsection (a)(1), by striking “pursue” and inserting “begin or re-enter”;

(2) in subsection (b), by striking “students;” and inserting “students, including—

“(A) financial planning for postsecondary education, including loan burdens required, repayment options, and expected earnings in potential career fields;

“(B) basic personal income, household money management, and financial planning skills; and

“(C) basic economic decisionmaking skills;”; and

(3) in subsection (c)—

(A) in paragraph (2), by striking “and” after the semicolon;

(B) in paragraph (3), by striking the period at the end and inserting a semicolon; and

(C) by adding at the end the following:

“(4) require an assurance that the entity carrying out the project has reviewed and revised policies and practices as needed to remove barriers to the participation and retention in the project of homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)), including unaccompanied youth, and foster care children and youth;

“(5) require that such entity submit, as part of the application, a description of the activities that will be undertaken to reach out to homeless children and youths and foster care children and youth regarding the project; and

“(6) require an assurance that such entity will prepare and submit the report required under section 402H(e) at the conclusion of the project regarding homeless children and youths and foster care children and youth.”.

SEC. 4023. Staff developmental activities.

Section 402G(b) of the Higher Education Act of 1965 (20 U.S.C. 1070a–17(b)) is amended—

(1) by inserting “webinars, online classes,” after “seminars, workshops,”;

(2) by striking “new directors” and inserting “staff”;

(3) by redesignating paragraphs (1) through (5) as paragraphs (2) through (6), respectively;

(4) by inserting before paragraph (2), as so redesignated, the following:

“(1) Legislation and regulatory requirements and program management for new directors of programs funded under this chapter.”;

(5) in paragraph (2), as redesignated, by inserting “for continuing directors and staff of programs” after “operation of programs”; and

(6) in paragraph (4), as redesignated, by striking “model programs” and inserting “innovations”.

SEC. 4024. Reports and evaluations.

(a) Other reporting requirements.—Section 402H of the Higher Education Act of 1965 (20 U.S.C. 1070a–18) is further amended—

(1) in subsection (b)—

(A) in paragraph (1)—

(i) in subparagraph (A), by striking “, including a rigorous evaluation of the programs and projects assisted under section 402C. The evaluation of the programs and projects assisted under section 402C shall be implemented not later than June 30, 2010.” and inserting “The issues such evaluations shall measure shall include the effectiveness of programs and projects assisted under this chapter in—

“(i) meeting or exceeding the stated objectives regarding the outcome criteria under 402A(f);

“(ii) enhancing the access of low-income individuals and first-generation college students to postsecondary education;

“(iii) preparing individuals for postsecondary education; and

“(iv) comparing students who participate in the programs funded under this chapter with students who do not participate in such programs with respect to—

“(I) level of education completed;

“(II) retention rates;

“(III) graduation rates;

“(IV) college admission and completion rates; and

“(V) other issues as the Secretary considers appropriate.”; and

(ii) in subparagraph (C), by inserting “and take into account the agreed upon target determined under section 402A(f)(4)” before the period; and

(B) by amending paragraph (2) to read as follows:

“(2) PRACTICES.—The evaluations described in paragraph (1) shall identify institutional, community, and program or project practices that are effective in—

“(A) enhancing the access of low-income individuals and first-generation college students to postsecondary education;

“(B) the preparation of such individuals and students for postsecondary education;

“(C) fostering the success of the individuals and students in postsecondary education; and

“(D) for programs and projects assisted under section 402C, the characteristics of students who benefit most from such programs and projects.”; and

(2) in subsection (d), by inserting “, including the authorizing committees” before the period.

(b) Homeless children and youths and foster care children and youth.—Section 402H of the Higher Education Act of 1965 (20 U.S.C. 1070a–18) is further amended by adding at the end the following:

“(e) Report regarding homeless children and youths and foster care children and youth.—Each entity carrying out a project under section 402B, 402C, 402D, or 402F shall, at the conclusion of the project, prepare and submit a report to the Secretary that includes—

“(1) data on the number of homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)) and foster care children and youth served through the project; and

“(2) a description of any strategies or program enhancements that were used in the project and that were effective in meeting the needs of homeless children and youths and foster care children and youth.”.

SEC. 4025. Gaining Early Awareness and Readiness for Undergraduate Programs.

Section 404C(a)(2) of the Higher Education Act of 1965 (20 U.S.C. 1070a–23(a)(2)) is amended—

(1) in subparagraph (I), by striking “and” after the semicolon;

(2) in subparagraph (J), by striking the period at the end and inserting “; and”; and

(3) by adding at the end the following:

“(K) describe how the eligible entity will facilitate the participation of foster care children and youth and homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)), including—

“(i) how the eligible entity will identify foster care children and youth and homeless children and youths, in collaboration with child welfare agencies, homeless shelters, and local educational agency liaisons for homeless children and youths designated under section 722(g)(1)(J)(ii) of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11432(g)(1)(J)(ii));

“(ii) how the eligible entity will collect and submit to the Secretary data on the number of homeless children and youths and foster care children and youth served; and

“(iii) the policies and practices the eligible entity will adopt to remove barriers to the participation of homeless children and youths and foster care children and youth, including policies to facilitate continued participation despite changes in residence resulting from homelessness or foster care placement and policies consistent with the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11301 et seq.).”.

SEC. 4026. Gaining Early Awareness and Readiness for Undergraduate Programs; authorization of appropriations.

Section 404H of the Higher Education Act of 1965 (20 U.S.C. 1070a–28) is amended by striking “$400,000,000 for fiscal year 2009” and inserting “$500,000,000 for fiscal year 2019”.

SEC. 4027. Purpose; appropriations authorized.

Section 413A of the Higher Education Act of 1965 (20 U.S.C. 1070b) is amended—

(1) by amending subsection (a) to read as follows:

“(a) Purpose of subpart.—It is the purpose of this subpart to—

“(1) provide, through institutions of higher education, supplemental grants to assist in making available the benefits of postsecondary education to qualified students who demonstrate financial need in accordance with the provisions of part F of this title; and

“(2) to establish demonstration projects at various institutions of higher education, as defined in section 101, to determine best practices and policies regarding the distribution of emergency grant aid to assist students in completing their program of study, notwithstanding aid they may have received in accordance with the provisions of part F of this title.”;

(2) in subsection (b)(1), by striking “appropriated” and all that follows through the end and inserting “appropriated—

“(A) $1,150,000,000 for fiscal year 2019;

“(B) $1,300,000,000 for fiscal year 2020;

“(C) $1,450,000,000, for fiscal year 2021;

“(D) $1,600,000,000 for fiscal year 2022; and

“(E) $1,750,000,000 for fiscal year 2023 and each succeeding fiscal year.”;

(3) by redesignating paragraph (2) as paragraph (3); and

(4) by inserting after paragraph (1) the following:

“(2) For the purpose of enabling the Secretary to fund demonstration projects under section 413(F), there are allocated, from funds authorized under paragraph (b)(1), $1,250,000 for fiscal year 2019 and each of the 3 succeeding fiscal years.”.

SEC. 4028. Allocation of funds.

Section 413D of the Higher Education Act of 1965 (20 U.S.C. 1070b–3) is amended to read as follows:

“SEC. 413D. Allocation of funds.

“(a) Allocation formula for fiscal years 2019 through 2023.—

“(1) IN GENERAL.—From the amount appropriated under section 413A(b)(1) for a fiscal year, the Secretary shall allocate to each institution—

“(A) for fiscal year 2019, an amount equal to the greater of—

“(i) 90 percent of the amount the institution received under subsection (a) for fiscal year 2018, as such subsection was in effect with respect to such fiscal year (in this subparagraph referred to as ‘the 2018 amount for the institution’); or

“(ii) the fair share amount for the institution determined under subsection (c);

“(B) for fiscal year 2020, an amount equal to the greater of—

“(i) 80 percent of the 2018 amount for the institution; or

“(ii) the fair share amount for the institution determined under subsection (c);

“(C) for fiscal year 2021, an amount equal to the greater of—

“(i) 60 percent of the 2018 amount for the institution; or

“(ii) the fair share amount for the institution determined under subsection (c);

“(D) for fiscal year 2022, an amount equal to the greater of—

“(i) 40 percent of the 2018 amount for the institution; or

“(ii) the fair share amount for the institution determined under subsection (c); and

“(E) for fiscal year 2023, an amount equal to the greater of—

“(i) 20 percent of the 2018 amount for the institution; or

“(ii) the fair share amount for the institution determined under subsection (c).

“(2) RATABLE REDUCTION.—

“(A) IN GENERAL.—If the amount appropriated under section 413A(b)(1) for a fiscal year is less than the amount required to be allocated to the institutions under this subsection, then the amount of the allocation to each institution shall be ratably reduced.

“(B) ADDITIONAL APPROPRIATIONS.—If the amounts allocated to each institution are ratably reduced under subparagraph (A) for a fiscal year and additional amounts are appropriated for such fiscal year, the amount allocated to each institution from the additional amounts shall be increased on the same basis as the amounts under subparagraph (A) were reduced (until each institution receives the amount required to be allocated under this subsection).

“(b) Allocation formula for fiscal year 2024 and each succeeding fiscal year.—From the amount appropriated under section 413A(b)(1) for fiscal year 2024 and each succeeding fiscal year, the Secretary shall allocate to each institution the fair share amount for the institution determined under subsection (c).

“(c) Determination of fair share amount.—

“(1) IN GENERAL.—Subject to paragraph (2), the fair share amount for an institution for a fiscal year shall be equal to the sum of the institution’s undergraduate student need described in paragraph (2) for the preceding fiscal year.

“(2) INSTITUTIONAL UNDERGRADUATE STUDENT NEED.—The undergraduate student need for an institution for a fiscal year shall be equal to the sum of the following:

“(A) An amount equal to 50 percent of the amount that bears the same proportion to the available appropriated amount for such fiscal year as the total amount of Federal Pell Grant funds awarded at the institution for the preceding fiscal year bears to the total amount of Federal Pell Grant funds awarded at all institutions participating under this part for the preceding fiscal year.

“(B) An amount equal to 50 percent of the amount that bears the same proportion to the available appropriated amount for such fiscal year as the total amount of the undergraduate student need at the institution for the preceding fiscal year bears to the total amount of undergraduate student need at all institutions participating under this part for the preceding fiscal year.

“(3) ELIGIBILITY FOR FAIR SHARE AMOUNT.—The Secretary may not allocate funds under this part to any institution that, for 2 or more fiscal years during any 3 fiscal year period beginning not earlier than the first day of the first fiscal year that is 2 years after the date of the enactment of this paragraph, has a student population with less than 7 percent of undergraduate students who are recipients of Federal Pell Grants.”.

SEC. 4029. Emergency Grant Aid Demonstration Program.

Subpart 3 of part A of title IV of the Higher Education Act of 1965 (20 U.S.C. 1070b et seq.) is amended by adding at the end the following:

“SEC. 413F. Emergency grant aid demonstration program.

“(a) Demonstration projects authorized.—The Secretary shall select, in accordance with subsection (d), eligible entities to voluntarily carry out emergency grant aid demonstration projects designed to aid in the completion of their program of study.

“(b) Non-Federal share requirement; use of funds.—The Federal share of the cost of any project funded under this section shall not exceed 50 percent. The share provided by the eligible entity shall not include in-kind contributions. Federal funds provided shall be used solely to provide emergency grant aid to eligible students and cannot be used to pay or subsidize the salary of any employee of an eligible entity.

“(c) Application.—

“(1) IN GENERAL.—Each eligible entity desiring to carry out a demonstration project under this section shall submit an application to the Secretary, at such time and in such manner as the Secretary may require.

“(2) OUTREACH.—The Secretary shall, prior to any deadline to submit applications under paragraph (1), conduct outreach to any institution eligible to receive funds under section 371 (20 U.S.C. 1067(q)) to provide those institutions with information on the opportunity to apply to carry out a demonstration project under this section.

“(3) CONTENTS.—Each application under paragraph (1) shall include a description of the emergency grant aid program to be offered by the eligible entity under the demonstration project which shall include—

“(A) a description of the assessment the entity has undertaken to develop an estimate of the number of emergency aid grants that entity will make in an award year;

“(B) the criteria the entity will use to define an emergency for which a student will be eligible to receive an emergency grant;

“(C) an assurance that the definition or criteria of an emergency for which a student will be eligible to receive an emergency grant will include at a minimum—

“(i) the unexpected loss of employment, transportation, child care or housing;

“(ii) an unexpected medical condition of the student, or a dependent of the student; and

“(iii) in the case of a dependent student—

“(I) the unexpected death of a parent or guardian; or

“(II) an unexpected medical condition of the parent or guardian which results in their loss of employment;

“(D) a description of the process by which a student will navigate the process for applying and receiving emergency aid;

“(E) how the entity will administer the program, including—

“(i) which employees and departments of the entity will administer the program;

“(ii) which departments will coordinate in the delivery of the program;

“(iii) the role of the student financial aid administrator of the eligible entity in the program;

“(iv) the processes the entity has in place to respond to applications, approve applications, and disburse emergency grant aid outside of normal business hours;

“(v) the data management tools the entity will have in place to ensure efficient administration of the program and data collection for evaluation; and

“(vi) the internal controls in place to discourage fraud in the program;

“(F) an assurance that either the financial aid department or the student services department will serve as the primary program administrator;

“(G) an assurance that the process by which a student applies for emergency aid includes at a minimum—

“(i) an in-person interview where feasible;

“(ii) an opportunity for the student to learn about other forms of emergency aid outside of the eligible entity that they may be eligible for; and

“(iii) at least one opportunity to appeal a denial of a grant;

“(H) an assurance that an eligible entity will be able to acknowledge a student request for emergency aid within 8 hours of a request, make a decision within 48 hours of a request and disburse aid within 24 hours of approval of a request;

“(I) an assurance that a student eligible to receive an emergency aid grant is enrolled at least part-time at the entity and is making satisfactory academic progress;

“(J) an assurance that the eligible entity will limit the emergency grant aid a student may receive in any individual request to no more than $750 and the lifetime limit for emergency grant aid for a student is $2,000;

“(K) a description of how the school intends to limit excessive demand, fraud or abuse through program audits, required student documentation of the expenses for which the grant aid was disbursed, and other means; and

“(L) any other information the Secretary may require.

“(d) Notification.—Not later than 9 months after the date of enactment of this subsection, the Secretary shall make available to the authorizing committees and the public a list of eligible entities selected to carry out a demonstration project under this section.

“(e) Information and evaluation.—

“(1) INFORMATION.—

“(A) STUDENT-LEVEL DATA.—Each eligible entity that carries out a demonstration project under this section shall provide to the Director of the Institute of Education Sciences the student-level data and the record of emergency grant aid received by students who participated in the program authorized in subsection (a), to enable the Director—

“(i) to determine the aggregate information described in subparagraph (B) with respect to the program; and

“(ii) to the extent practicable, to compare the grant aid programs using a rigorous evaluation.

“(B) AGGREGATE INFORMATION.—For purposes of the evaluation under paragraph (2), the Director shall use the student-level data provided under subparagraph (A) by an eligible entity to determine the following information with respect to each program described in subparagraph (C)(i) offered at such eligible entity:

“(i) the average number of credit hours students earned prior to receipt of an emergency grant;

“(ii) the average period of time between the receipt of emergency aid by a student and when that student completes their program;

“(iii) the average amount of grant aid received in one disbursement;

“(iv) the average amount of grant aid received over a recipient’s period of enrollment at the eligible entity;

“(v) the completion and retention rates of students who received aid under the program;

“(vi) the point in the academic year the student applied for emergency aid;

“(vii) the type of emergency declared by the student;

“(viii) the average time taken by the eligible entity to acknowledge a grant application, make a decision on the application, and disburse funding to a student; and

“(ix) such other information as the Director may reasonably require.

“(C) DISAGGREGATION.—The information determined under subparagraph (B) shall be disaggregated as follows, provided that the disaggregation of the information does not identify any individual student:

“(i) For each eligible entity that carries out a demonstration project under this section, disaggregation by—

“(I) the students receiving aid under the program;

“(II) the students who applied but did not receive aid under the program;

“(III) the students who received more than one grant under the program; and

“(IV) the students who received the maximum lifetime benefit awarded by the program.

“(ii) For each group of students described in clause (i), disaggregation by age, race (as defined in section 153(a)(3) of the Education Sciences Reform Act of 2002 (20 U.S.C. 9543)), gender, disability status, students who are veterans or ser­vice­mem­bers, first generation college students, and status as a recipient of a Federal Pell Grant.

“(2) EVALUATION.—

“(A) IN GENERAL.—The Director, in consultation with the Secretary and using the information determined under paragraph (1), shall annually evaluate each eligible entity carrying out a demonstration project under this section. Each evaluation shall be disaggregated in accordance with subparagraph (B) and include—

“(i) the extent to which the eligible entity has met the elements of its application under subsection (c);

“(ii) whether the demonstration project led to reduced time to completion or increased retention rates;

“(iii) obstacles related to administration of emergency grant aid;

“(iv) total cost and net cost per student who received emergency aid;

“(v) the 3-year adjusted cohort default rate, as defined in section 435(m), of students receiving aid;

“(vi) the median student earnings 1, 3, and 4 years after graduation;

“(vii) enrollment data, disaggregated by enrollment status, retention rates, credit accumulation, and completion rates for—

“(I) first-time, full-time students;

“(II) first-time, part-time students;

“(III) non-first-time, full-time students;

“(IV) non-first-time, part-time students;

“(V) eligibility for Federal Pell Grants;

“(VI) race (as defined in section 153(a)(3) of the Education Sciences Reform Act of 2002 (20 U.S.C. 9543)), and ethnicity; and

“(VII) transfer rates; and

“(viii) a description of the role of staff and faculty in the administration of the project.

“(3) DISAGGREGATION.—The data collected under clause (v) through (vii) shall be disaggregated by each group of students described in paragraph (1)(C).

“(4) ANNUAL REPORT.—The Director, in consultation with the Secretary, shall annually provide to the authorizing committees a report on the effectiveness of the programs.

“(f) Data privacy.—

“(1) IN GENERAL.—It shall be unlawful for any person who obtains or has access to personally identifiable information in connection with this section to willfully disclose to any person (except as authorized in this section or any Federal law) such personally identifiable information.

“(2) PENALTY.—Any person who violates paragraph (1) shall be fined not more than $5,000, imprisoned not more than 5 years, or both, together with the costs of prosecution.

“(3) EMPLOYEE OR OFFICER OF THE UNITED STATES.—If a violation of paragraph (1) is committed by any officer or employee of the United States, the officer or employee shall be dismissed from office or discharged from employment upon conviction for the violation.

“(4) SALE OF DATA PROHIBITED.—Data collected under this section shall not be sold to any third party by the Director, any postsecondary institution, or any other entity.

“(5) LIMITATION ON USE BY OTHER FEDERAL AGENCIES.—The Director shall not allow any other Federal agency to use data collected under this section for any purpose except as explicitly authorized by this section.

“(6) LAW ENFORCEMENT.—Personally identifiable information collected under this section shall not be used for any law enforcement activity or any other activity that would result in adverse action against any student, including debt collection activity or enforcement of the immigration laws.

“(g) Definitions.—For the purpose of this section:

“(1) ELIGIBLE ENTITY.—The term ‘eligible entity’ means an institution of higher education that participates in the FSEOG program as authorized in section 413A.

“(2) INSTITUTION OF HIGHER EDUCATION.—The term ‘institution of higher education’ has the meaning given the term in section 101.

“(3) FIRST GENERATION COLLEGE STUDENT.—The term ‘first generation college student’ has the meaning given the term in section 402A(h)(3).”.

SEC. 4030. Special programs for students whose families are engaged in migrant and seasonal farmwork.

Section 418A(i) of the Higher Education Act of 1965 (20 U.S.C. 1070d–2(i)) is amended by striking “2009” and inserting “2019”.

SEC. 4031. CCAMPIS reauthorization.

Section 419N of the Higher Education Act of 1965 (20 U.S.C. 1070e) is amended by striking subsection (g) and inserting the following:

“(g) Authorization of appropriations.—

“(1) IN GENERAL.—Subject to paragraph (2), there are authorized to be appropriated to carry out this section $67,000,000 for fiscal year 2019 and each of the 5 succeeding fiscal years.

“(2) ADJUSTMENT FOR INFLATION.—

“(A) IN GENERAL.—The amount authorized to be appropriated under paragraph (1) for fiscal year 2020 and each of the 4 succeeding fiscal years shall be deemed increased by the annual adjustment percentage.

“(B) DEFINITION.—In this paragraph, the term ‘annual adjustment percentage’, as applied to a fiscal year, means the estimated percentage change in the Consumer Price Index (as determined by the Secretary, using the definition in section 478(f)) for the most recent calendar year ending before the beginning of that fiscal year.”.

SEC. 4032. Jumpstart to College grant programs.

Part A of title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.) is further amended by inserting after subpart 7 the following:

“subpart 8Jumpstart to College

“SEC. 419O. Definitions.

“In this subpart:

“(1) ELIGIBLE ENTITY.—The term ‘eligible entity’ means an institution of higher education in partnership with one or more local educational agencies (which may be an educational service agency). Such partnership may also include other entities such as nonprofit organizations or businesses.

“(2) INSTITUTION OF HIGHER EDUCATION.—The term ‘institution of higher education’ has the meaning given the term in section 101 (20 U.S.C. 1001).

“(3) ESEA TERMS.—The terms ‘dual or concurrent enrollment program’, ‘early college high school’, ‘educational service agency’, ‘four-year adjusted cohort graduation rate’, ‘local educational agency’, ‘secondary school’, and ‘State’ have meanings given the terms in section 8101 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801).

“(4) LOW-INCOME STUDENT.—The term ‘low-income student’ means a student counted under section 1124(c) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6333(c)).

“(5) RECOGNIZED POSTSECONDARY CREDENTIAL.—The term ‘recognized postsecondary credential’ has the meaning given the term in section 3 of the Workforce Innovation and Opportunity Act (29 U.S.C. 3102).

“SEC. 419P. Authorization of appropriations; reservations.

“(a) In general.—To carry out this subpart, there are authorized to be appropriated $250,000,000 for fiscal year 2019 and each of the five succeeding fiscal years.

“(b) Reservations.—From the funds appropriated under subsection (a) for each fiscal year, the Secretary shall reserve—

“(1) not less than 40 percent for grants to eligible entities under section 419Q;

“(2) not less than 55 percent for grants to States under section 419R; and

“(3) not less than 5 percent for national activities under section 419T.

“SEC. 419Q. Grants to eligible entities.

“(a) In general.—The Secretary shall award grants to eligible entities, on a competitive basis, to assist such entities in establishing or supporting an early college high school or dual or concurrent enrollment program in accordance with this section.

“(b) Duration.—Each grant under this section shall be awarded for a period of 6 years.

“(c) Grant amount.—The Secretary shall ensure that the amount of each grant under this section is sufficient to enable each grantee to carry out the activities described in subsection (h), except that a grant under this section may not exceed $2,000,000.

“(d) Matching requirement.—

“(1) IN GENERAL.—For each year that an eligible entity receives a grant under this section, the entity shall contribute matching funds, in the amounts described in paragraph (2), for the activities supported by the grant.

“(2) AMOUNTS DESCRIBED.—The amounts described in this paragraph are—

“(A) for each of the first and second years of the grant period, 20 percent of the grant amount;

“(B) for each of the third and fourth years of the grant period, 30 percent of the grant amount;

“(C) for the fifth year of the grant period, 40 percent of the grant amount; and

“(D) for the sixth year of the grant period, 50 percent of the grant amount.

“(3) DETERMINATION OF AMOUNT CONTRIBUTED.—

“(A) IN-KIND CONTRIBUTIONS.—The Secretary shall allow an eligible entity to meet the requirements of this subsection through in-kind contributions.

“(B) NON-FEDERAL SOURCES.—Not less than half of each amount described in paragraph (2) shall be provided by the eligible entity from non-Federal sources.

“(e) Supplement, not supplant.—An eligible entity shall use a grant received under this section only to supplement funds that would, in the absence of such grant, be made available from other Federal, State, or local sources for activities supported by the grant, not to supplant such funds.

“(f) Priority.—In awarding grants under this section, the Secretary shall give priority to eligible entities that—

“(1) propose to establish or support an early college high school or other dual or concurrent enrollment program that will serve a student population of which not less than 51 percent are low-income students;

“(2) are from States that provide assistance to early college high schools or other dual enrollment programs, such as assistance to defray the costs of higher education (including costs of tuition, fees, and textbooks); and

“(3) propose to establish or support an early college high school or dual or concurrent enrollment program that meets quality standards established by—

“(A) a nationally recognized accrediting agency or association that offers accreditation specifically for such programs; or

“(B) a State process specifically for the review and approval of such programs.

“(g) Equitable distribution.—The Secretary shall ensure, to the extent practicable, that eligible entities receiving grants under this section—

“(1) are from a representative cross section of—

“(A) urban, suburban, and rural areas; and

“(B) regions of the United States; and

“(2) include both two-year and four-year institutions of higher education.

“(h) Uses of funds.—

“(1) MANDATORY ACTIVITIES.—

“(A) IN GENERAL.—An eligible entity shall use grant funds received under this section—

“(i) to support the activities described in its application under subsection (i);

“(ii) to create and maintain a coherent system of supports for students, teachers, principals, and faculty under the program, including—

“(I) college and career readiness, academic, and social support services for students; and

“(II) professional development for secondary school teachers, faculty, and principals and faculty from the institution of higher education, including—

“(aa) joint professional development activities; and

“(bb) activities to assist such teachers, faculty, and principals in using effective parent and community engagement strategies and to help ensure the success of students academically at risk of not enrolling in or completing postsecondary education, first-generation college students, and students described in section 1111(b)(2)(B)(xi) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(b)(2)(B)(xi));

“(iii) to carry out liaison activities among the partners that comprise the eligible entity pursuant to an agreement or memorandum of understanding documenting commitments, resources, roles, and responsibilities of the partners consistent with the design of the program;

“(iv) for outreach programs to ensure that secondary school students and their families, including students academically at risk of not enrolling in or completing postsecondary education, first-generation college students, and students described in section 1111(b)(2)(B)(xi) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(b)(2)(B)(xi)), are—

“(I) aware of, and recruited into, the early college high school or dual or concurrent enrollment program; and

“(II) assisted with the process of enrolling in the early college high school or dual or concurrent enrollment program;

“(v) to collect, share, and use data (in compliance with section 444 of the General Education Provisions Act (20 U.S.C. 1232g)) for program improvement and program evaluation; and

“(vi) to review and strengthen its program to maximize the potential that students participating in the program will eventually complete a recognized postsecondary credential, including by optimizing—

“(I) the curriculum of the program;

“(II) the sequence of courses offered by the program; and

“(III) the alignment of academic calendars between the secondary schools and the institution of higher education participating in the program.

“(B) NEW PROGRAMS.—In the case of an eligible entity that uses a grant under this section to establish an early college high school or dual or concurrent enrollment program, the entity shall use such funds during the first year of the grant period—

“(i) to design the curriculum and sequence of courses in collaboration with, at a minimum—

“(I) faculty from the institution of higher education;

“(II) teachers and faculty from the local educational agency; and

“(III) in the case of a career and technical education program, employers or workforce development entities to ensure that the program is aligned with labor market demand;

“(ii) to develop and implement an articulation agreement between the institution of higher education and the local educational agency that governs how secondary and postsecondary credits will be awarded under the program; and

“(iii) to carry out the activities described in subparagraph (A).

“(2) ALLOWABLE ACTIVITIES.—An eligible entity may use grant funds received under this section to support the activities described in its application under subsection (i), including by—

“(A) purchasing textbooks and equipment that support the program’s curriculum;

“(B) pursuant to the assurance provided by the eligible entity under subsection (i)(3)(A), paying tuition and fees for postsecondary courses taken by students under the program;

“(C) incorporating work-based learning opportunities into the program (which may include partnering with entities that provide such opportunities), including—

“(i) internships;

“(ii) career-based capstone projects;

“(iii) pre-apprenticeships and apprenticeships provided by eligible providers of apprenticeship programs described in section 122(a)(2)(B) of the Workforce Innovation and Opportunity Act (29 U.S.C. 3152(a)(2)(B)); and

“(iv) work-based learning opportunities provided under chapters 1 and 2 of subpart 2 of part A of title IV of the Higher Education Act of 1965 (20 U.S.C. 1070a–11 et seq.);

“(D) providing students with transportation to and from the program;

“(E) paying costs for—

“(i) high school teachers to obtain the skills, credentials, or industry certifications necessary to teach for the institution of higher education participating in the program; or

“(ii) postsecondary faculty to become certified to teach high school; or

“(F) providing time during which secondary school teachers and faculty and faculty from an institution of higher education can collaborate, which may include the planning of team activities for such teachers and faculty.

“(i) Application.—

“(1) IN GENERAL.—To be eligible to receive a grant under this section, an eligible entity shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.

“(2) CONTENTS OF APPLICATION.—The application under paragraph (1) shall include, at minimum, a description of—

“(A) the partnership that comprises the eligible entity, including documentation of partner commitments, resources and budget, roles, and responsibilities;

“(B) how the partners that comprise the eligible entity will coordinate to carry out the mandatory activities described in subsection (h)(1);

“(C) the number of students intended to be served by the program and demographic information relating to such students;

“(D) how the eligible entity’s curriculum and sequence of courses form a program of study leading to a recognized postsecondary credential;

“(E) how postsecondary credits earned will be transferable to institutions of higher education within the State, including any applicable statewide transfer agreements and any provisions of such agreements that are specific to dual or concurrent enrollment programs;

“(F) how the eligible entity will ensure that students understand how credits earned by such students will transfer;

“(G) outreach programs to provide secondary school students, especially those in middle grades, and their parents, teachers, school counselors, and principals information about, and academic preparation for, the early college high school or other dual or concurrent enrollment program;

“(H) how the eligible entity will determine the eligibility of students for postsecondary courses, including an explanation of the multiple factors the entity will take into account to assess the readiness of students for such courses; and

“(I) the sustainability plan for the early college high school or other dual or concurrent enrollment program.

“(3) ASSURANCES.—The application under paragraph (1) shall include assurances from the eligible entity that—

“(A) students participating in a program funded with a grant under this section will not be required to pay tuition or fees for postsecondary courses taken under the program;

“(B) postsecondary credits earned by students under the program will be transcribed upon completion of the required course work; and

“(C) instructors of postsecondary courses under the program will meet the same standards applicable to other faculty at the institution of higher education that is participating in the program.

“SEC. 419R. Grants to States.

“(a) In general.—The Secretary shall award grants to States, on a competitive basis, to assist States in supporting or establishing early college high schools or dual or concurrent enrollment programs.

“(b) Duration.—Each grant under this section shall be awarded for a period of 6 years.

“(c) Grant amount.—The Secretary shall ensure that the amount of each grant under this section is sufficient to enable each grantee to carry out the activities described in subsection (f).

“(d) Matching requirement.—For each year that a State receives a grant under this section, the State shall provide, from non-Federal sources, an amount equal to 50 percent of the amount of the grant received by the State for such year to carry out the activities supported by the grant.

“(e) Supplement, not supplant.—A State shall use a grant received under this section only to supplement funds that would, in the absence of such grant, be made available from other Federal, State, or local sources for activities supported by the grant, not to supplant such funds.

“(f) Uses of funds.—

“(1) MANDATORY ACTIVITIES.—A State shall use grant funds received under this section to—

“(A) support the activities described in its application under subsection (g);

“(B) plan and implement a statewide strategy for expanding access to early college high schools and dual or concurrent enrollment programs for students who are underrepresented in higher education to raise statewide rates of secondary school graduation, readiness for postsecondary education, and completion of recognized postsecondary credentials, with a focus on students academically at risk of not enrolling in or completing postsecondary education;

“(C) identify any obstacles to such a strategy under State law or policy;

“(D) provide technical assistance (either directly or through a knowledgeable intermediary) to early college high schools and other dual or concurrent enrollment programs, which may include—

“(i) brokering relationships and agreements that forge a strong partnership between elementary and secondary and postsecondary partners; and

“(ii) offering statewide training and peer learning opportunities for school leaders, instructors, and counselors or advisors;

“(E) identify and implement policies that will improve the effectiveness and ensure the quality of early college high schools and dual or concurrent enrollment programs, such as eligibility and access, funding, data and quality assurance, governance, accountability, and alignment policies;

“(F) disseminate best practices for early college high schools and dual or concurrent enrollment programs, which may include best practices from programs in the State or other States;

“(G) facilitate statewide secondary and postsecondary data collection, research and evaluation, and reporting to policymakers and other stakeholders; and

“(H) conduct outreach programs to ensure that secondary school students, their families, and community members are aware of early college high schools and dual or concurrent enrollment programs in the State.

“(2) ALLOWABLE ACTIVITIES.—A State may use grant funds received under this section to—

“(A) establish a mechanism to offset the costs of tuition, fees, and support services for low-income students enrolled in early college high schools or dual or concurrent enrollment programs;

“(B) establish formal transfer systems within and across State higher education systems, including two-year and four-year public and private institutions, to maximize the transferability of college courses;

“(C) provide incentives to school districts that—

“(i) assist high school teachers in getting the credentials needed to participate in early college high school programs and dual or concurrent enrollment; and

“(ii) encourage the use of college instructors to teach college courses in high schools;

“(D) support initiatives to improve the quality of early college high school and dual or concurrent enrollment programs at participating institutions, including by assisting such institutions in aligning programs with the quality standards described in section 419Q(f)(3); and

“(E) reimburse low-income students to cover part or all of the costs of an Advanced Placement or International Baccalaureate examination.

“(g) State applications.—

“(1) APPLICATION.—To be eligible to receive a grant under this section, a State shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.

“(2) CONTENTS OF APPLICATION.—The application under paragraph (1) shall include, at minimum, a description of—

“(A) how the State will carry out the mandatory State activities described in subsection (f)(1);

“(B) how the State will ensure that any programs funded with a grant under this section are coordinated with programs under—

“(i) the Carl D. Perkins Career and Technical Education Act of 2006 (20 U.S.C. 2301 et seq.);

“(ii) the Workforce Innovation and Opportunity Act (29 U.S.C. 3101 et seq.);

“(iii) the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6301 et seq.); and

“(iv) the Individuals with Disabilities Education Act (20 U.S.C. 1400 et seq.);

“(C) how the State intends to use grant funds to address achievement gaps for each category of students described in section 1111(b)(2)(B)(xi) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(b)(2)(B)(xi)) as identified by the State in its accountability system under section 1111(c) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(c));

“(D) how the State will access and leverage additional resources necessary to sustain early college high schools or other dual or concurrent enrollment programs;

“(E) how the State will identify and eliminate barriers to implementing effective early college high schools and dual or concurrent enrollment programs after the grant expires, including by engaging businesses and nonprofit organizations; and

“(F) such other information as the Secretary determines to be appropriate.

“SEC. 419S. Reporting and oversight.

“(a) In general.—Not less frequently than once annually, each State and eligible entity that receives a grant under this subpart shall submit to the Secretary a report on the progress of the State or eligible entity in carrying out the programs supported by such grant.

“(b) Form of report.—The report under subsection (a) shall be submitted to the Secretary at such time, in such manner, and containing such information as the Secretary may require. The Secretary shall issue uniform guidelines describing the information that shall be reported by grantees under such subsection.

“(c) Contents of report.—

“(1) IN GENERAL.—The report under subsection (a) shall include, at minimum, the following:

“(A) The number of students enrolled in the early college high school or dual or concurrent enrollment program.

“(B) The number and percentage of students reimbursed by the State for part or all of the costs of an Advanced Placement or International Baccalaureate examination and the student test scores.

“(C) The number and percentage of students enrolled in the early college high school or dual or concurrent enrollment program who earn a recognized postsecondary credential concurrently with a high school diploma.

“(D) The number of postsecondary credits earned by eligible students while enrolled in the early college high school or dual or concurrent enrollment program that may be applied toward a recognized postsecondary credential.

“(E) The number and percentage of students who earn a high school diploma.

“(F) Total number and percentage of eligible students who enroll in and subsequently complete the early college high school or dual or concurrent enrollment program.

“(G) The number and percentage of graduates who enroll in postsecondary education, in military service, and in employment.

“(2) CATEGORIES OF STUDENTS.—The information described in each of subparagraphs (A) through (G) of paragraph (1) shall be set forth separately for each category of students described in section 1111(b)(2)(B)(xi) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(b)(2)(B)(xi)).

“SEC. 419T. National activities.

“(a) Reporting by secretary.—Not less frequently than once annually, the Secretary shall submit to Congress a report that includes—

“(1) an analysis of the information received from States and eligible entities under section 419S;

“(2) an identification of best practices for carrying out programs supported by grants under this subpart; and

“(3) the results of the evaluation under subsection (b).

“(b) National evaluation.—Not later than 6 months after the date of the enactment of the Aim Higher Act, the Secretary shall seek to enter into a contract with an independent entity to perform an evaluation of the grants awarded under this subtitle. Such evaluation shall apply rigorous procedures to obtain valid and reliable data concerning student outcomes by social and academic characteristics and monitor the progress of students from secondary school to and through postsecondary education.

“(c) Technical assistance.—The Secretary shall provide technical assistance to States and eligible entities concerning best practices and quality improvement programs in early college high schools and dual or concurrent enrollment programs and shall disseminate such best practices among eligible entities, States, and local educational agencies.

“(d) Administrative costs.—From amounts reserved to carry out this section under section 419P(b)(3), the Secretary may reserve such sums as may be necessary for the direct administrative costs of carrying out the Secretary’s responsibilities under this subtitle.

“SEC. 419U. Rules of construction.

“(a) Employees.—Nothing in this subpart shall be construed to alter or otherwise affect the rights, remedies, and procedures afforded to the employees of local educational agencies (including schools) or institutions of higher education under Federal, State, or local laws (including applicable regulations or court orders) or under the terms of collective bargaining agreements, memoranda of understanding, or other agreements between such employees and their employers.

“(b) Graduation rate.—A student who graduates from an early college high school supported by a grant under section 419Q within 100 percent of the normal time for completion described in the eligible entity’s application under such section shall be counted in the four-year adjusted cohort graduation rate for such high school.”.

SEC. 4033. Revised definitions of TEACH grants.

Section 420L of the Higher Education Act of 1965 (20 U.S.C. 1070g) is amended by adding at the end the following:

“(4) TEACHER PREPARATION PROGRAM.—The term ‘teacher preparation program’—

“(A) means a State-approved course of study provided by an institution of higher education, the completion of which signifies that an enrollee has met all the State’s educational or training requirements for initial certification or licensure to teach in the State’s elementary schools or secondary schools; and

“(B) may be a regular program or an alternative route to certification, as defined by the State that approved such course of study.”.

SEC. 4034. Revisions to establishing TEACH grant program.

Section 420M(d)(1) of the Higher Education Act of 1965 (20 U.S.C. 1070g–1(d)(1)) is amended—

(1) in the matter preceding subparagraph (A), by striking “baccalaureate or” and inserting “associate or baccalaureate, or”; and

(2) in subparagraph (B), by inserting before the period at the end the following: “, except that not more than $8,000 may be received for undergraduate associate study”.

SEC. 4035. Revisions to TEACH grant applications and eligibility.

Section 420N of the Higher Education Act of 1965 (20 U.S.C. 1070g–2) is amended—

(1) in subsection (a)—

(A) in the heading of paragraph (2), by striking “Demonstration of teach” and inserting “TEACH”;

(B) in paragraphs (2)(B)(i), by striking “or another high-need” and inserting “early childhood education, or another high-need”; and

(C) in paragraph (2)(B)(ii), by striking “, such as Teach for America,”;

(2) in subsection (b)—

(A) in paragraph (1)—

(i) in subparagraph (B), by inserting before the semicolon at the end the following: “or in a high-need early childhood education program (as defined in section 200(15));”;

(ii) in subparagraph (C)—

(I) by striking “or” at the end of clause (vi);

(II) by redesignating clause (vii) as clause (viii);

(III) by inserting after clause (vi), as so amended, the following:

“(vii) early childhood education; or”; and

(IV) in clause (viii), as so redesignated, by adding “and” at the end;

(iii) in subparagraph (D), by striking “and” at the end; and

(iv) by striking subparagraph (E);

(B) by striking “and” at the end of paragraph (2);

(C) by striking the period at the end of paragraph (3) and inserting “; and”; and

(D) by adding at the end the following:

“(4) contains an assurance by the Secretary that the Secretary will notify, or ensure that the applicable loan servicer will notify, the applicant of—

“(A) the date on which submission of the certification under paragraph (1)(D) is required; and

“(B) any failure to submit such certification.”;

(3) in subsection (c)—

(A) by striking “In the event” and inserting the following:

“(1) IN GENERAL.—In the event”; and

(B) by adding at the end the following:

“(2) CLARIFICATION.—

“(A) IN GENERAL.—Except as provided in subparagraph (B) and without regard to whether a recipient of a grant under this subpart submits the evidence under subsection (b)(1)(D) for any year or receives or responds to a notification described in subsection (b)(4), such recipient shall be considered to be in compliance with the service obligation under subsection (b) and shall not be subject to paragraph (1) of this subsection.

“(B) EXCEPTIONS.—Paragraph (1) of this subsection shall apply to a recipient of a grant under this subpart if—

“(i) after completing the course of study for which the recipient received the grant, the recipient does not serve as a full-time teacher as required under subsection (b)(1) for at least—

“(I) 1 year, by not later than 5 years after such completion;

“(II) 2 years, by not later than 6 years after such completion;

“(III) 3 years, by not later than 7 years after such completion; or

“(IV) 4 years, by not later than 8 years after such completion; or

“(ii) the recipient elects to have such grant treated as a loan in accordance with such paragraph (1).”; and

(4) in subsection (d)—

(A) by redesignating paragraph (2) as paragraph (4);

(B) in paragraph (1), by striking “subsection (b)(1)(C)(vii)” and inserting “subsection (b)(1)(C)(viii)”; and

(C) by inserting after paragraph (1), the following:

“(2) CHANGE OF SCHOOL DESCRIPTION OR PROGRAM DEFINITION.—If a recipient of an initial grant under this subpart teaches in a school or an early childhood education program for an academic year during which the school is identified as a school described in section 465(a)(2)(A) or a program that meets the definition of section 200(15), but the school or program no longer meets such description or definition during a subsequent academic year, the grant recipient may fulfill the service obligation described in subsection (b)(1) by continuing to teach at that school or program.

“(3) CHANGE OF TEACHER DUTIES OR ASSIGNMENT.—If a recipient of an initial grant under this subpart teaches as a full-time teacher described in subsection (b)(1)(A), but the recipient no longer meets such description during a subsequent academic year due to switching academic roles to that of a full-time co-teacher, teacher leader, instructional or academic coach, department chairperson, special education case manager, guidance counselor, or school administrator within a school or program, the grant recipient may fulfill the service obligation described in subsection (b)(1) by continuing to work in any such academic role on a full-time basis at that school or program.”.

SEC. 4036. Revisions to TEACH grant data collection and reporting.

Section 420P of the Higher Education Act of 1965 (20 U.S.C. 1070g–4) is amended to read as follows:

“SEC. 420P. Data collection and reporting.

“(a) Data collection.—

“(1) AGGREGATE STUDENT DATA.—On an annual basis, the Secretary shall determine, disaggregate in accordance with paragraph (2), and make available to the public in accordance with paragraph (3), with respect to each institution (and each category of institution listed in section 132(d)) that received a payment under this subpart in the previous academic year, the following information:

“(A) The number and mean dollar amount of TEACH Grants awarded to students at the institution.

“(B) The number and proportion of TEACH Grant recipients who exit their program of study before completing the program.

“(C) The number and proportion of TEACH Grant recipients who complete their program of study and begin employment as a teacher in the first academic year following the year of such completion.

“(D) The adjusted cohort default rate (as determined under section 435(m)) for TEACH Grant recipients who exit their program of study before completing the program, and for TEACH Grant recipients who complete their program of study.

“(E) The number and proportion of individuals employed as teachers who received a TEACH Grant and whose TEACH Grants are converted into loans during the 8-year period following the year in which the recipient completed the recipient’s program of study, set forth separately for each year in such period.

“(F) The number and proportion of TEACH Grant recipients who fulfill the terms of their agreement to serve under section 420N(b) during the 8-year period following the year in which the recipient completed the recipient’s program of study, set forth separately for each year in such period.

“(2) DISAGGREGATION.—The information determined under paragraph (1)—

“(A) except in cases in which such disaggregation would reveal personally identifiable information about an individual student, shall be disaggregated by—

“(i) race, in accordance with section 153(a)(3) of the Education Sciences Reform Act of 2002 (20 U.S.C. 9543);

“(ii) gender;

“(iii) socioeconomic status;

“(iv) Federal Pell Grant eligibility status;

“(v) status as a first-generation college student (as defined in section 402A(h));

“(vi) veteran or active duty status;

“(vii) disability status;

“(viii) level of study (undergraduate, postbaccalaureate, or graduate, as applicable);

“(ix) year of study (freshman, sophomore, junior, senior, as applicable); and

“(x) each teacher preparation program offered by an institution; and

“(B) may be disaggregated by any combination of subgroups or descriptions described in subparagraph (A).

“(3) AVAILABILITY OF DATA.—The information determined under paragraph (1) shall—

“(A) remain available to the public for a period of not less than 10 years after its initial release by the Secretary; and

“(B) be updated as necessary to reflect the most accurate and up-to-date information for each institution for each year of data collection.

“(b) Information from institutions.—Each institution that receives a payment under this subpart shall provide to the Secretary, on an annual basis, such information as may be necessary for the Secretary to carry out subsection (a).

“(c) Reports and dissemination.—

“(1) INITIAL AND INTERIM REPORTS.—Not later than one year after the date on which the first TEACH Grant is awarded under this subpart after the date of enactment of the Aim Higher Act, and annually thereafter, the Secretary shall submit to the authorizing committees a report that includes the information required under paragraph (3).

“(2) FINAL REPORT.—

“(A) IN GENERAL.—Not later than one year after the date described in subparagraph (B), the Secretary shall submit to the authorizing committees a final report that includes the information required under paragraph (3).

“(B) DATE DESCRIBED.—The date described in this subparagraph is the later of—

“(i) the date on which the last service agreement associated with a TEACH Grant is completed; or

“(ii) the date on which the last TEACH Grant awarded under this subpart is converted into a loan.

“(3) ELEMENTS.—Each report under this subsection shall include, based on information determined under subsection (a), the following:

“(A) A review of the utilization of TEACH Grants at teacher preparation programs at institutions that received a payment under this subpart.

“(B) A review of TEACH Grant practices that correlate with higher rates of completion of agreements under section 420N(b).

“(C) Guidance and recommendations on how effective utilization of TEACH Grants can be replicated.

“(4) AVAILABILITY.—Each report under this subsection shall be made available to the public in an accessible format—

“(A) on a website of the Department of Education; and

“(B) in any other format determined to be appropriate by the Secretary.”.

SEC. 4037. Northern Mariana Islands and American Samoa College access.

Subpart 10 of part A of title IV (20 U.S.C. 1070(h)) is amended to read as follows:

“subpart 10Northern Mariana Islands and American Samoa College Access

“SEC. 420R. Public school grants.

“(a) Purpose.—It is the purpose of this subpart to establish a program that enables college-bound residents of the Northern Mariana Islands and American Samoa to have greater choices among institutions of higher education.

“(b) Grants.—

“(1) IN GENERAL.—From amounts appropriated under subsection (j), the Secretary shall provide—

“(A) 50 percent of such amount to the Northern Mariana Islands for the Governor to award grants to eligible institutions that enroll eligible students to pay the difference between the tuition and fees charged for in-State students and the tuition and fees charged for out-of-State students on behalf of each eligible student enrolled in the eligible institution; and

“(B) 50 percent of such amount to the American Samoa for the Governor to award grants to eligible institutions that enroll eligible students to pay the difference between the tuition and fees charged for in-State students and the tuition and fees charged for out-of-State students on behalf of each eligible student enrolled in the eligible institution.

“(2) MAXIMUM STUDENT AMOUNTS.—The amount paid on behalf of an eligible student under this section shall be—

“(A) not more than $15,000 for any one award year (as defined in section 481); and

“(B) not more than $45,000 in the aggregate.

“(3) PRORATION.—The Governor shall prorate payments under this section for students who attend an eligible institution on less than a full-time basis.

“(c) Reduction for insufficient appropriations.—

“(1) IN GENERAL.—If the funds appropriated pursuant to subsection (j) for any fiscal year are insufficient to award a grant in the amount determined under subsection (a) on behalf of each eligible student enrolled in an eligible institution, then the Governor, in consultation with the Secretary of Education, shall—

“(A) first, ratably reduce the amount of the tuition and fee payment made on behalf of each eligible student who has not received funds under this section for a preceding year; and

“(B) after making reductions under subparagraph (A), ratably reduce the amount of the tuition and fee payments made on behalf of all other eligible students.

“(2) ADJUSTMENTS.—The Governor, in consultation with the Secretary of Education, may adjust the amount of tuition and fee payments made under paragraph (1) based on—

“(A) the financial need of the eligible students to avoid undue hardship to the eligible students; or

“(B) undue administrative burdens on the Governor.

“(3) FURTHER ADJUSTMENTS.—Notwithstanding paragraphs (1) and (2), the Governor may prioritize the making or amount of tuition and fee payments under this subsection based on the income and need of eligible students.

“(d) Definitions.—In this subpart:

“(1) ELIGIBLE INSTITUTION.—The term ‘eligible institution’ means an institution that—

“(A) is a public four-year institution of higher education located in one of the several States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or Guam;

“(B) is eligible to participate in the student financial assistance programs under title IV; and

“(C) enters into an agreement with the Governors of the Northern Mariana Islands and American Samoa containing such conditions as each Governor may specify, including a requirement that the institution use the funds made available under this section to supplement and not supplant assistance that otherwise would be provided to eligible students from the Northern Mariana Islands and American Samoa.

“(2) ELIGIBLE STUDENT.—The term ‘eligible student’ means an individual who—

“(A) graduated from a public institution of higher education located in the Northern Mariana Islands or American Samoa;

“(B) begins the individual’s course of study within the 3 calendar years (excluding any period of service on active duty in the Armed Forces or service under the Peace Corps Act (22 U.S.C. 2501 et seq.) or subtitle D of title I of the National and Community Service Act of 1990 (42 U.S.C. 12571 et seq.)) of graduation from a public institution of higher education located in the Northern Mariana Islands or American Samoa;

“(C) is enrolled or accepted for enrollment, on at least a half-time basis, in a baccalaureate degree or other program (including a program of study abroad approved for credit by the institution at which such student is enrolled) leading to a recognized educational credential at an eligible institution;

“(D) if enrolled in an eligible institution, is maintaining satisfactory progress in the course of study the student is pursuing in accordance with section 484(c); and

“(E) has not completed the individual’s first undergraduate baccalaureate course of study.

“(3) INSTITUTION OF HIGHER EDUCATION.—The term ‘institution of higher education’ has the meaning given the term in section 101.

“(4) GOVERNOR.—The term ‘Governor’ means the Governor of the Commonwealth of the Northern Mariana Islands or American Samoa.

“(e) Construction.—Nothing in this subpart shall be construed to require an institution of higher education to alter the institution’s admissions policies or standards in any manner to enable an eligible student to enroll in the institution.

“(f) Applications.—Each student desiring a tuition payment under this section shall submit an application to the eligible institution at such time, in such manner, and accompanied by such information as the eligible institution may require.

“(g) Administration of program.—

“(1) IN GENERAL.—Each Governor shall carry out the program under this section in consultation with the Secretary. Each Governor may enter into a grant, contract, or cooperative agreement with another public or private entity to administer the program under this section if the Governor determines that doing so is a more efficient way of carrying out the program.

“(2) POLICIES AND PROCEDURES.—Each Governor, in consultation with institutions of higher education eligible for participation in the program authorized under this section, shall develop policies and procedures for the administration of the program.

“(3) MEMORANDUM OF AGREEMENT.—Each Governor and the Secretary shall enter into a Memorandum of Agreement that describes—

“(A) the manner in which the Governor shall consult with the Secretary with respect to administering the program under this section; and

“(B) any technical or other assistance to be provided to the Governor by the Secretary for purposes of administering the program under this section (which may include access to the information in the common financial reporting form developed under section 483).

“(h) Governor’s report.—Each Governor shall report to the authorizing committees annually regarding—

“(1) the number of eligible students attending each eligible institution and the amount of the grant awards paid to those institutions on behalf of the eligible students;

“(2) the extent, if any, to which a ratable reduction was made in the amount of tuition and fee payments made on behalf of eligible students; and

“(3) the progress in obtaining recognized academic credentials of the cohort of eligible students for each year.

“(i) GAO report.—Beginning on the date of the enactment of this Act, the Comptroller General of the United States shall monitor the effect of the program assisted under this section on educational opportunities for eligible students. The Comptroller General shall analyze whether eligible students had difficulty gaining admission to eligible institutions because of any preference afforded in-State residents by eligible institutions, and shall expeditiously report any findings regarding such difficulty to Congress and the Governor. In addition the Comptroller General shall—

“(1) analyze the extent to which there are an insufficient number of eligible institutions to which Northern Mariana Islands and American Samoa students can gain admission, including admission aided by assistance provided under this subpart, due to—

“(A) caps on the number of out-of-State students the institution will enroll;

“(B) significant barriers imposed by academic entrance requirements (such as grade point average and standardized scholastic admissions tests); and

“(C) absence of admission programs benefitting minority students; and

“(2) report the findings of the analysis described in paragraph (1) and the assessment described in paragraph (2) to Congress and the Governor.

“(j) Authorization of appropriations.—There are authorized to be appropriated to the Commonwealth of the Northern Mariana Islands and American Samoa to carry out this subpart $5,000,000, to be available until expended, for fiscal year 2019 and each of the 5 succeeding fiscal years.

“(k) Effective date.—This subpart shall take effect with respect to payments for periods of instruction that begin on or after January 1, 2019.

“SEC. 420S. General requirements.

“(a) Personnel.—The Secretary shall arrange for the assignment of an individual, pursuant to subchapter VI of chapter 33 of title 5, United States Code, to serve as an adviser to each Governor with respect to the programs assisted under this subpart.

“(b) Administrative expenses.—Each Governor may use not more than 5 percent of the funds made available for a program under section 420R for a fiscal year to pay the administrative expenses of a program under section 420R for the fiscal year.

“(c) Inspector general review.—Each of the programs assisted under this subpart shall be subject to audit and other review by the Inspector General of the Department of Education in the same manner as programs are audited and reviewed under the Inspector General Act of 1978 (5 U.S.C. App.).

“(d) Gifts.—The Governor may accept, use, and dispose of donations of services or property for purposes of carrying out this subpart.

“(e) Maximum student amount adjustments.—Each Governor shall establish rules to adjust the maximum student amounts described in section 440S(b)(2) for eligible students described in section 440S(d)(2) who transfer between the eligible institutions described in section 440S(d)(1).”.

SEC. 4038. Community College Student Success Grant Program authorized.

Part A of title IV (20 U.S.C. 1070 et seq.) is further amended by adding at the end the following:

“subpart 11Community College Student Success

“SEC. 420T. Community College Student Success Grant Program authorized.

“From the amounts appropriated under 420BB, the Secretary of Education shall establish and carry out the community college student success grant program to award grants under sections 420U and 420V, on a competitive basis, to eligible institutions to plan and implement community college student success programs designed to increase—

“(1) the rate at which eligible students graduate from a program of study at such eligible institution within 150 percent of the normal time for graduation; and

“(2) transfer rates of eligible students.

“SEC. 420U. Grants to plan community college student success programs.

“(a) Planning grants authorized.—From the amounts appropriated to carry out this section under section 420BB for a fiscal year, the Secretary shall award planning grants for such fiscal year, on a competitive basis, to eligible institutions to develop plans for community college student success programs.

“(b) Duration.—A grant awarded under this section shall be for a 1-year period.

“(c) Peer review process; priority.—In awarding grants under this section for a fiscal year, the Secretary shall—

“(1) carry out a peer review process that—

“(A) requires that each application submitted under subsection (d) be peer reviewed by a panel of readers composed of individuals selected by the Secretary, which shall include—

“(i) not less than 50 percent of readers—

“(I) who are not employees of the Federal Government; and

“(II) who have relevant research or practical experience with respect to student support programs designed to increase graduation rates and transfer rates at public 2-year institutions of higher education; and

“(ii) to the maximum extent practicable, individuals who are members of groups underrepresented in higher education, including African Americans, Hispanics, Native Americans, Alaska Natives, Asian Americans, Native American Pacific Islanders (including Native Hawaiians), and individuals with disabilities; and

“(B) ensures that no individual assigned under subparagraph (A) to review an application has any conflict of interest with regard to that application that may make the individual unable to impartially conduct such review; and

“(2) give priority to eligible institutions that are eligible to receive funding under title III or V.

“(d) Application.—An eligible institution desiring a grant under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require, which shall include—

“(1) the graduation rate and transfer rate for the most recent academic year for which data are available for eligible students and all students, respectively;

“(2) an analysis of how implementing a community college student success program may improve the graduation rate or transfer rate for eligible students; and

“(3) an analysis of the methods the eligible institution has previously used to improve the graduation rate or transfer rate with respect to eligible students and all students, respectively.

“(e) Use of funds.—An eligible institution that receives a grant under this section shall use the grant to develop a plan to implement a community college student success program at the eligible institution.

“(f) Report.—Not later than 1 year after the date on which an eligible institution receives a grant under this section, such eligible institution shall submit to the Secretary a report that includes—

“(1) a plan for implementing a community college student success program at the eligible institution, including—

“(A) the ambitious outcome goals for achieving significant improvements in graduation rates and transfer rates for eligible students and all students, respectively, as such rates are defined by the eligible institution, in consultation with the Secretary, before the end of the grant period;

“(B) the number of such eligible students who will participate in such program, including how such eligible students will be identified, referred, and selected, in cases where the interest in the program is larger than the budget for the program;

“(C) the demographics (including income, race (as defined by section 153(a) of the Education of the Sciences Reform Act of 2002 (20 U.S.C. 9543)), disability status, and gender) of such eligible students; and

“(D) based on the most recent academic year for which data are available, disaggregated by eligible students and all students—

“(i) graduation rates;

“(ii) transfer rates;

“(iii) retention rates;

“(iv) rates of completion of remedial courses for students required to complete such courses; and

“(v) average number of credits attempted and average number of credits earned;

“(E) an analysis of the financial needs of the eligible students described in subparagraph (B);

“(F) an analysis of how the eligible institution will collaborate across departments at the institution and with external partners to implement a community college student success program, including the detailed roles and responsibilities of each potential external partner (including each investor, State or local government entity, or other stakeholder);

“(G) a description of how the eligible institution will effectively staff a community college student success program; and

“(H) a timeline for the implementation of such program;

“(2) a budgetary analysis that includes—

“(A) a description of how the eligible institution will—

“(i) provide non-Federal funds for such program under subsection (d) of section 420V; and

“(ii) meet the requirement of subsection (b)(3) of such section; and

“(B) a description of how the eligible institution will continue to fund such program after the end of the grant period for the grant awarded to the institution under section 420V;

“(3) a description of the data system the eligible institution will use to track and evaluate the progress of eligible students participating in such program;

“(4) an analysis of the institutional barriers that may hinder implementation of such program at such eligible institution; and

“(5) such other information as the Secretary may require.

“SEC. 420V. Grants to implement community college student success programs.

“(a) Implementation grants authorized.—

“(1) IN GENERAL.—From the amounts appropriated to carry out this section under section 420BB for a fiscal year, the Secretary shall award grants for such fiscal year, on a competitive basis, to eligible institutions awarded a grant under section 420U to implement community college student success programs.

“(2) CONSULTATION.—In awarding grants under this section for a fiscal year, the Secretary shall consult with the independent evaluator before finalizing which eligible institutions will receive such a grant for such fiscal year.

“(b) Requirements for selection.—To be eligible to receive a grant under this section, an eligible institution shall meet the following requirements:

“(1) The eligible institution was awarded a grant under section 420U at least 1 year before such eligible institution submits an application under subsection (e).

“(2) The eligible institution submits an application under subsection (e).

“(3) The eligible institution demonstrates, on the date of the application described in subsection (e), the availability of non-Federal funding for the matching funds required under subparagraphs (A), (B), and (C) of subsection (d)(1).

“(c) Duration.—A grant awarded under this section shall be for a 5-year period.

“(d) Non-Federal contribution.—

“(1) IN GENERAL.—Except as provided in paragraph (2), an eligible institution awarded a grant under this section shall contribute in cash from non-Federal sources, the following:

“(A) For the second year of the grant period, an amount equal to 20 percent of the cost of carrying out the community college student success program at the institution for such year.

“(B) For the third year of the grant period, an amount equal to 40 percent of the cost of carrying out such program for such year.

“(C) For the fourth year of the grant period, an amount equal to 60 percent of the cost of carrying out such program for such year.

“(D) For the fifth year of the grant period, an amount equal to 80 percent of the cost of carrying out such program for such year.

“(2) EXCEPTION.—

“(A) IN GENERAL.—Notwithstanding paragraph (1), with respect to an exempt institution awarded a grant under this section, for each year of the grant period beginning with the second year through the fifth year, the Secretary shall not require the institution to make a cash contribution from non-Federal sources in an amount that is greater than the amount equal to 5 percent of the cost of carrying out the community college student success program at the institution for such year.

“(B) DEFINITIONS.—For purposes of this paragraph:

“(i) EXEMPT INSTITUTION.—The term ‘exempt institution’ means an eligible institution that is a—

“(I) Tribal college or university; or

“(II) an institution located in the Commonwealth of Puerto Rico, Guam, American Samoa, the United States Virgin Islands, the Commonwealth of the Northern Mariana Islands, the Republic of the Marshall Islands, the Federated States of Micronesia, or the Republic of Palau.

“(ii) TRIBAL COLLEGE OR UNIVERSITY.—The term ‘Tribal college or university’ has the meaning given the term in section 316 of the Higher Education Act of 1965 (20 U.S.C. 1059c).

“(e) Application.—

“(1) IN GENERAL.—An eligible institution desiring a grant under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require, which shall include a copy of the report described in 420U(e).

“(2) REQUIREMENTS FOR ELIGIBLE INSTITUTIONS THAT REAPPLY.—An institution that submits an application under paragraph (1) that is not the first application submitted by such institution under such paragraph shall include the following in such application:

“(A) The number of applications such eligible institution has submitted under paragraph (1) and the dates on which such applications were submitted.

“(B) A description of the changes the eligible institution has made since the most recent application submitted under paragraph (1) to improve the plan to implement a community college student success program at such eligible institution.

“(3) REVIEW.—Not later than 60 days after receiving an application under this subsection, the Secretary shall approve or deny such application.

“(f) Required use of funds.—An eligible institution that receives a grant under this section shall use the grant funds to—

“(1) implement a community college student success program;

“(2) regularly review—

“(A) data to monitor the academic progress of eligible students participating in such program; and

“(B) the meeting and program participation requirements described in section 420AA(1); and

“(3) cover the employment of administrators for the program whose sole job shall be to administer the program, without regard to whether the employment is full-time or less than full-time.

“(g) Permissible use of funds.—An eligible institution that receives a grant under this section may use the grant to—

“(1) establish or expand a data tracking system that includes early alerts to complete the regular reviews required under subsection (f)(2);

“(2) provide eligible students participating in the community college student success program for which the grant is awarded with financial assistance to cover the costs described in paragraph (2), (3), or (8) of section 472;

“(3) establish or expand career development services for such students, such as career workshops or career counseling;

“(4) establish or expand tutoring services for such students; and

“(5) provide financial support for eligible students participating in such program to enroll in courses offered during enrollment periods that are outside the fall and spring semesters (or equivalent terms).

“(h) Reports.—An eligible institution that receives a grant under this section shall—

“(1) not less than once for each year of the grant period, submit to the Secretary an annual performance report for such year of the grant period, and when data is available, compares such year with each of the 2 years preceding the date on which the grant was awarded—

“(A) the demographic characteristics of the eligible students participating in the community college student success program;

“(B) the average number of credits attempted and average number of credits earned, rate of retention, rate of degree completion, and rates of transfer of such eligible students;

“(C) the graduation rate of such eligible students within—

“(i) 100 percent of the normal time for graduation;

“(ii) 150 percent of the normal time for graduation; and

“(iii) 200 percent of the normal time for graduation;

“(D) an analysis of the implementation and progress of such program based on the ambitious outcome goals described in the report submitted by the institution under section 420U(e)(1)(A), including challenges to and changes made to such program; and

“(E) if according to the analysis under subparagraph (D), the program is not on track to meet such ambitious outcome goals, a description of the plans to adjust the program to improve the performance of the program; and

“(F) the participation of such eligible students in tutoring, career services, and meetings with program advisors;

“(G) for the report for year 3 of the grant period, the plan to meet the non-Federal contribution requirement under subsection (d)(1)(D); and

“(H) for the report for year 4 of the grant period, a description of—

“(i) the source of the funds to meet the non-Federal contribution requirement under subsection (d)(1)(D);

“(ii) the plans to continue to fund such program after the grant period ends; and

“(iii) the plans to use this program as a catalyst for institution-wide reform with respect to graduation rates and transfer rates for all students; and

“(2) not later than 6 years after the date on which the eligible institution received such grant, submit a final report to the Secretary that includes an analysis of—

“(A) the factors that contributed to the success or failure of the community college student success program in meeting the ambitious outcome goals described in the report submitted by the institution under section 3(e)(1)(A);

“(B) the challenges faced in attempting to implement such program;

“(C) information on how to improve such program;

“(D) whether the program has created an institution-wide reform with respect to graduation rates and transfer rates for all students, and if so, how such reform was created; and

“(E) how the eligible institution will continue to fund such program after the end of the grant period.

“SEC. 420W. Evaluations.

“(a) Independent evaluations.—Before finalizing which eligible institutions will receive grants under section 420V for a fiscal year, the Secretary, acting through the Director of the Institute of Education Sciences, shall enter into a contract with an independent evaluator—

“(1) to consult with the Secretary on which eligible institutions should receive the grants; and

“(2) to use the What Works Clearinghouse Standards (without reservations) to evaluate, throughout the duration of the grant period of such grants—

“(A) each community college student success program for which such grant is awarded, including whether the program met its ambitious outcome goals described in the report submitted by the institution under section 420U(e)(1)(A);

“(B) the average impact of community college student success programs on graduation rates and transfer rates for eligible students;

“(C) the variation in program impact across eligible institutions with respect to such rates; and

“(D) whether such programs lead to higher graduation rates and transfer rates of eligible students per dollar spent for such students by such institutions compared with such rates at eligible institutions without such programs.

“(b) Results of evaluations.—The results of the evaluations under subsection (a) shall be made publicly available on the website of the Department of Education.

“(c) Funding for evaluations.—The Secretary may reserve not more than 15 percent of the funds appropriated under section 420BB for a fiscal year to carry out this section for such fiscal year.

“SEC. 420X. Outreach and technical assistance.

“(a) Outreach.—The Secretary shall conduct outreach activities to notify eligible institutions of the availability of grants under this subpart.

“(b) Technical assistance.—The Secretary shall provide technical assistance—

“(1) to eligible institutions that may be interested in applying for grants under this subpart, including assistance with applications for such grants; and

“(2) to eligible institutions awarded grants under this subpart, including assistance with—

“(A) establishing ambitious outcome goals described in section 420U(e)(1)(A); and

“(B) the implementation of a community college student success program.

“(c) Funding for technical assistance for evaluations.—The Secretary may reserve not more than 7 percent of the funds appropriated under section 420BB for a fiscal year for technical assistance under this section for such fiscal year.

“SEC. 420Y. Report to Congress.

“Not later than 1 year after the date on which the Secretary receives the final evaluation results under section 420W for eligible institutions that were awarded grants under section 420V for the same fiscal year, the Secretary shall submit to Congress a report that includes—

“(1) the number of grants awarded under section 420V for such fiscal year, and the amount of such grants;

“(2) the number of grants awarded under section 420U to eligible institutions that received the grants described in paragraph (1), and the amount of such grants;

“(3) the number of grants awarded under section 420U to eligible institutions that would have been eligible but did not receive the grants in paragraph (1);

“(4) such final evaluation results; and

“(5) any other information the Secretary may deem relevant.

“SEC. 420Z. Supplement, not supplant.

“Funds awarded to an eligible institution under this subpart shall be used only to supplement the amount of funds that would, in the absence of the Federal funds provided under this subpart, be made available from non-Federal sources or other Federal sources to carry out the activities under this subpart, and not to supplant such funds.

“SEC. 420AA. Definitions.

“In this subpart:

“(1) COMMUNITY COLLEGE STUDENT SUCCESS PROGRAM.—The term ‘community college student success program’ means a program carried out by an eligible institution under which the institution carries out the following:

“(A) Provides eligible students participating in such program with an amount that covers the cost of tuition and fees that are not covered by any Federal, State, or institutional financial assistance received by the student.

“(B) Requires eligible students participating in such program to—

“(i) be enrolled in the eligible institution and carry a full-time academic workload during each fall and spring semester (or equivalent terms) during which the student participates in such program;

“(ii) if the eligible student is referred to remedial courses or is on academic probation, meet, on at least a weekly basis, with a tutor, except that in the case of an eligible student who is academically struggling, but who is not referred to remedial courses or on academic probation, the student may meet with a tutor as often as the program advisor for such student requires;

“(iii) meet with a program advisor—

“(I) twice each month during the first semester (or equivalent term) of participation in such program; and

“(II) as directed by the program advisor in subsequent semesters (or equivalent terms) under subparagraph (C)(ii); and

“(iv) meet with an on-campus career advisor or participate in a career services event once each semester (or equivalent term).

“(C) Provides a program advisor to each eligible student participating in such program who—

“(i) provides comprehensive academic and personal advising to the eligible student, including—

“(I) the creation and implementation of an academic plan for the student to graduate from a program of study at the eligible institution within 150 percent of the normal time for graduation from such program;

“(II) if an eligible student is referred to remedial courses, encouraging such student to complete such courses as quickly as possible; and

“(III) assisting the eligible student with developing and achieving academic goals, including creating strong transfer pathways that demonstrate programmatic transfer for students interested in transferring to a 4-year institution of higher education;

“(ii) after the eligible student participating in such program completes a semester (or equivalent term), creates for the eligible student a needs-based advising schedule that indicates, based on the eligible student’s academic performance, the frequency with which such eligible student shall be required to meet with a program advisor for each subsequent semester (or equivalent term) of program participation;

“(iii) has a caseload of not more than 150 eligible students;

“(iv) tracks the attendance of the eligible student at the meetings described in clauses (ii), (iii), and (iv) of subparagraph (B);

“(v) monitors the academic progress of the eligible student; and

“(vi) provides each eligible student who meets the requirements of subparagraph (B), on at least a monthly basis, with financial incentives, such as a transportation pass or a gas card.

“(D) Provides free tutoring and career services to eligible students participating in such program, and may reserve places in select courses for such eligible students in order to create a community within cohorts of eligible students.

“(2) ELIGIBLE INSTITUTION.—The term ‘eligible institution’ means a public 2-year institution of higher education.

“(3) ELIGIBLE STUDENT.—The term ‘eligible student’ means a student enrolled at an eligible institution who—

“(A) on the date such eligible student would begin participation in a community college student success program at such eligible institution—

“(i) is enrolled in a program of study leading to an associate degree;

“(ii) is enrolled at such institution and carrying a full-time academic workload during each fall and spring semester (or equivalent terms) during which the student participates in such program;

“(iii) is—

“(I) a first-time undergraduate student; or

“(II) a continuing or transfer student with not more than 15 credits and a minimum grade point average of 2.0 (or its equivalent); and

“(iv) is considered by the eligible institution to need no more than two remedial courses; and

“(B) if the student is eligible for financial aid under title IV, has completed the Free Application for Federal Student Aid or other common financial reporting form under section 483(a); and

“(C) meets any other requirements established by the institution.

“(4) FULL-TIME ACADEMIC WORKLOAD.—The term ‘full-time academic workload’, when used with respect to a semester or equivalent term, means at least 12 credits (or the equivalent).

“(5) INSTITUTION OF HIGHER EDUCATION.—The term ‘institution of higher education’ has the meaning given the term under section 101.

“(6) TRANSFER RATE.—The term ‘transfer rate’, when used with respect to students enrolled in a program of study at an eligible institution, means the rate at which such students transfer to a 4-year institution of higher education.

“SEC. 420BB. Authorization of appropriations.

“There are authorized to be appropriated to carry out this subpart $1,000,000,000, to be available until expended for fiscal year 2019 and each of the 5 succeeding fiscal years.”.

PART B

SEC. 4041. Termination of certain repayment plan options and opportunity to change repayment plans.

Section 428(b) of the Higher Education Act of 1965 (20 U.S.C. 1078(b)) is amended—

(1) in paragraph (1)—

(A) in subparagraph (D)—

(i) in clause (ii), by striking “may annually change the selection of a repayment plan under this part,” and inserting “may at any time after July 1, 2019, change the selection of a repayment plan under this part to one of the 2 repayment plans described in paragraph (9)(C),”; and

(ii) in clause (iii), by striking “be subject to income contingent repayment in accordance with subsection (m);” and inserting “be subject to income-based repayment in accordance with section 493C(f);”; and

(B) in subparagraph (E)(i), by striking “the option of repaying the loan in accordance with a standard, graduated, income-sensitive, or extended repayment schedule (as described in paragraph (9)) established by the lender in accordance with regulations of the Secretary; and” and inserting “the option of repaying the loan in accordance with a repayment plan described in paragraph (9)(C) established by the lender in accordance with regulations of the Secretary; and”; and

(2) in paragraph (9), by adding at the end the following:

“(C) SELECTION OF REPAYMENT PLANS ON AND AFTER JULY 1, 2019.—

“(i) OPPORTUNITY TO CHANGE REPAYMENT PLANS.—Notwithstanding any other provision of this paragraph, or any other provision of law, and in accordance with regulations, beginning on July 1, 2019, the lender shall offer a borrower of a loan made, insured, or guaranteed under this part the opportunity to change repayment plans, and to enroll in one of the following repayment plans:

“(I) A fixed repayment plan described in section 493E.

“(II) The income-based repayment plan under section 493C(f).”.

SEC. 4042. Conforming amendment to separate joint consolidation loans.

Section 428C(a)(3)(B)(i)(V) of the Higher Education Act of 1965 (20 U.S.C. 1078–3(3)(B)(i)(V)) is amended—

(1) by striking “or” at the end of item (bb);

(2) by striking the period at the end of item (cc) and inserting “; or”; and

(3) by adding at the end the following:

“(dd) for the purpose of separating a joint consolidation loan into 2 separate Federal Direct Consolidation Loans under section 455(g)(2).”.

SEC. 4043. Disbursement of student loans.

Section 428G of the Higher Education Act of 1965 (20 U.S.C. 1078–7(a)) is amended—

(1) in subsection (a) by adding at the end the following:

“(5) ADJUSTED COHORT DEFAULT RATE.—Beginning on the date on which the final adjusted cohort default rates are published by the Secretary for not less than 3 fiscal years under section 435(m), an institution whose adjusted cohort default rate (as determined under section 435(m)) for each of the 3 most recent fiscal years for which data are available is less than 5 percent may disburse any loan made, insured, or guaranteed under this part in a single installment for any period of enrollment that is not more than 1 semester, 1 trimester, 1 quarter, or 4 months.”; and

(2) in subsection (e), by inserting before the period the following: “, or beginning on the date on which the final adjusted cohort default rates are published by the Secretary for fiscal year 2016 under section 435(m), an adjusted cohort default rate (as determined under section 435(m)) of less than 2 percent”.

SEC. 4044. Student loan contract and loan disclosures.

(a) Student loan contract.—Section 432(m)(1)(D) of the Higher Education Act of 1965 (20 U.S.C. 1082(m)(1)(D)) is amended by adding at the end the following:

“(iv) STUDENT LOAN CONTRACT.—

“(I) IN GENERAL.—Any master promissory note form described in this subparagraph that is developed or used for loans made under part D for periods of enrollment beginning on or after the date of enactment of the Aim Higher Act shall be referred to as a ‘student loan contract’.

“(II) CLARIFICATION ON USE.—Notwithstanding clause (i), each student loan contract for a part D loan made for periods of enrollment beginning on or after the date of enactment of the Aim Higher Act shall—

“(aa) not be entered into by a student unless the student has completed all required counseling related to such loan, including counseling required under section 485(l);

“(bb) be signed by the student entering such student loan contract after completion of such counseling; and

“(cc) be used only for the award year for which the initial loans are made under the contract, and shall not be valid for additional loans for the same or subsequent periods of enrollment.”.

(b) Loan disclosures.—Section 432(m)(1)(D) of the Higher Education Act of 1965 (20 U.S.C. 1082(m)(1)(D)) is further amended by adding after clause (iv) (as amended) the following:

“(v) LOAN DISCLOSURES.—For loans made for periods of enrollment beginning on or after the date of enactment of the Aim Higher Act, the Secretary shall take such steps as are necessary to streamline the student loan disclosure requirements under this Act. The Secretary shall ensure that information required to be disclosed to a student who is applying for, receiving, or preparing to repay a loan under part D of this Act shall be streamlined in a manner that—

“(I) reduces and simplifies the paperwork students are required to complete; and

“(II) limits the number of times students are presented with disclosures by incorporating the streamlined disclosures into required student loan counseling under section 485(l), the student loan contract under this subparagraph, or both.”.

SEC. 4045. Cohort default rates.

(a) Ineligibility based on high default rates.—

(1) IN GENERAL.—Section 435(a) of the Higher Education Act of 1965 (20 U.S.C. 1085(a)) is amended—

(A) in paragraph (7)(A), by adding at the end the following:

“(iii) DEFAULT MANAGEMENT PLAN.—The default management plan required under clause (II) may not include placing students in forbearance as a means of reducing the cohort default rate of the institution.”; and

(B) by adding at the end the following:

“(9) INELIGIBILITY BASED ON HIGH DEFAULT RATES ON OR AFTER FISCAL YEAR 2016.—Beginning on the date that is one year after the date on which the final adjusted cohort default rates are published by the Secretary for not less than 3 fiscal years—

“(A) an institution shall be ineligible to participate in a program under this title—

“(i) in a case in which the institution’s adjusted cohort default rate is greater than 20 percent for each of the three most recent fiscal years for which the adjusted cohort default rate is published; or

“(ii)(I) in a case in which the institution’s adjusted cohort default rate is greater than 10 percent for each of the 8 most recent fiscal years for which the adjusted cohort default rate is published; and

“(II) the Secretary determines that the institution has not made adequate progress in meeting standards for student achievement established by the relevant accrediting agency or association pursuant to section 496(a)(5)(A) during such 8-year period; and

“(B) an institution whose adjusted cohort default rate is greater than 15 percent for each of the 6 most recent fiscal years for which the adjusted cohort default rate is published—

“(i) shall be ineligible to receive Federal Pell Grants under section 401 on behalf of any student who enrolls in the institution for the first-time after the expiration of such 6-year period;

“(ii) shall be subject to ongoing tracking and monitoring by the Secretary to determine the progress of the institution in meeting the standards for student achievement described in subparagraph (A)(ii)(II); and

“(iii) if the institution shows no improvement on meeting the standards for student achievement described in subparagraph (A)(ii)(II) within a 2-year period, such institution shall be ineligible to receive Federal loans under this title on behalf of any student who enrolls in the institution for the first time after the expiration of such 2-year period.

“(10) APPLICATION OF SECTION 435(a) TO ADJUSTED COHORT DEFAULT RATE.—Beginning on the date on which the final adjusted cohort default rates are published by the Secretary for not less than 3 fiscal years—

“(A) paragraph (1) shall be applied by substituting ‘paragraph (9)’ for ‘paragraph (2)’

“(B) paragraph (3) shall be applied by substituting ‘adjusted cohort default rate, calculated in accordance with subsection (m)(1)(E), is equal to or greater than 20 percent’ for ‘cohort default rate, calculated in accordance with subsection (m), is equal to or greater than the threshold percentage specified in paragraph (2)(B)(iv)’;

“(C) paragraph (4) shall be applied—

“(i) in subparagraph (C), by substituting ‘adjusted cohort default rate equals or exceeds 15 percent’ for ‘cohort default rate equals or exceeds 20 percent’; and

“(ii) in the matter following subparagraph (C), by substituting ‘adjusted cohort default rate to reflect the percentage of defaulted loans in the representative sample that are required to be excluded pursuant to subsection (m)(1)(B)’ for ‘cohort default rate to reflect the percentage of defaulted loans in the representative sample that are required to be excluded pursuant to subsection (m)(1)(B)’;

“(D) paragraph (5)(A) shall be applied by substituting ‘paragraph (9)’ for ‘paragraph (2)’;

“(E) paragraph (6) shall be applied—

“(i) in subparagraph (A)—

“(I) in the matter preceding clause (i), by substituting ‘Any institution that has an adjusted cohort default rate that equals or exceeds 15 percent’ for ‘After July 1, 1999, any institution that has a cohort default rate that equals or exceeds 25 percent’; and

“(II) in clause (i), by substituting ‘has an adjusted cohort default rate that is less than 15%’ for ‘by July 1, 2004, have a cohort default rate that is less than 25 percent’; and

“(ii) in subparagraph (B), by substituting ‘has an adjusted cohort default rate that is less than 15%’ for ‘by July 1, 2004, have a cohort default rate that is less than 25 percent’;

“(F) paragraph (7) shall be applied—

“(i) in subparagraph (A)(i)—

“(I) in the matter preceding subclause (I), by substituting ‘adjusted cohort default rate is equal to or greater than 20 percent’ for ‘cohort default rate is equal to or greater than the threshold percentage specified in paragraph (2)(B)(iv)’; and

“(II) in subclauses (I) and (II), by substituting ‘adjusted cohort default rate’ for ‘cohort default rate’; and

“(ii) in subparagraph (B)(i), by substituting ‘adjusted cohort default rate is equal to or greater than 20 percent’ for ‘cohort default rate is equal to or greater than the threshold percentage specified in paragraph (2)(B)(iv)’; and

“(G) paragraph (8) shall be applied by substituting ‘adjusted cohort default rate’ for ‘cohort default rate’ both places it appears.

“(11) EXCEPTION FOR TRANSITION TO ADJUSTED COHORT DEFAULT RATE METRIC.—

“(A) IN GENERAL.—During a period of transition to using an adjusted cohort default rate, any public institution with an adjusted cohort default rate that equals or exceeds 20 percent may request a transition exception to continue to be an eligible institution for purposes of title IV.

“(B) EXCEPTION REVIEW.—The Secretary, with respect to an institution requesting an exception under subparagraph (A), shall—

“(i) review such institution to determine whether during year 4 of repayment the institution’s default rate rose higher than the default rate during year 3 of repayment; and

“(ii) if such rate is higher than 10 percent, require such institution to develop a default management plan as specified in section 435(a)(7).

“(C) TRANSITION PERIOD LIMIT.—An exception under subparagraph (A) shall expire not later than 2 years after the date on which the first year of the adjusted cohort default rate is published with respect to the institution for which the exception applies.”.

(2) CONFORMING AMENDMENTS.—Section 435(a)(2) of the Higher Education Act of 1965 (20 U.S.C. 1085(a)) is amended—

(A) in the paragraph heading, by adding at the end the following: “before fiscal year 2016”; and

(B) in subparagraph (B)(iv), by striking “and any succeeding fiscal year” and inserting “through fiscal year 2015”.

(b) Adjusted cohort default rate defined.—Section 435(m)(1) of the Higher Education Act of 1965 (20 U.S.C. 1085(m)(1)) is amended by adding at the end the following:

“(E)(i) With respect to a cohort default rate calculated for an institution under this paragraph for fiscal year 2016 and for each succeeding fiscal year, such cohort default rate shall be adjusted as follows:

“(I) In determining the number of current and former students at an institution who enter repayment for such fiscal year—

“(aa) any such student who is in nonmandatory forbearance for such fiscal year for a period of greater than 18 months but less than 36 months shall not be counted as entering repayment for such fiscal year;

“(bb) such a student shall be counted as entering repayment for the first fiscal year for which the student ceases to be in a period of forbearance and otherwise meets the requirements for being in repayment; and

“(cc) any such student who is in a period of forbearance for 3 or more years shall be counted as in default and included in the institution’s total number of students in default.

“(II) Such rate shall be multiplied by the percentage of students enrolled at the institution for such fiscal year who are borrowing a loan under part D of this title.

“(ii) The result obtained under this subparagraph for an institution shall be referred to in this Act as the ‘adjusted cohort default rate’.”.

(c) Publication of adjusted cohort default rate.—Section 435(m) of the Higher Education Act of 1965 (20 U.S.C. 1085(m)) is amended by adding at the end the following:

“(5) Beginning on the date on which the final adjusted cohort default rates for fiscal year 2016 are made available for publication by the Secretary, paragraph (4) shall be applied by substituting ‘adjusted cohort default’ with ‘cohort default’.”.

SEC. 4046. Conforming amendments.

The Higher Education Act of 1965 (20 U.S.C. 1001 et seq.) is amended in section 435(a)(5)(A)(i)(I) (20 U.S.C. 1085(a)(5)(A)(i)(I)), by striking “under section 401(b)(2)(A)” and inserting “, as appropriate, under section 401(b)(2)(A) (as in effect on the day before the effective date of the Aim Higher Act) or section 401(b)(1).”.

SEC. 4047. Automatic income monitoring procedures after a total and permanent disability discharge.

Section 437(a) of the Higher Education Act of 1965 (20 U.S.C. 1087(a)) is amended by adding at the end the following:

“(3) AUTOMATIC INCOME MONITORING.—

“(A) IN GENERAL.—Not later than 2 years after the date of enactment of the Aim Higher Act, the Secretary shall establish and implement, with respect to any borrower described in subparagraph (B), procedures to—

“(i) obtain (for each year of the income-monitoring period described in subparagraph (B) and without further action by the borrower) such information as is reasonably necessary regarding the income of such borrower (and the borrower’s spouse, if applicable) for the purpose of determining the borrower’s continued eligibility for the loan discharge described in subparagraph (B) for such year, and any other information necessary to determine such continued eligibility of the borrower for such year, except that—

“(I) in the case of a borrower whose returns and return information indicate that the borrower has no earned income for any year of such income-monitoring period, such borrower shall be treated as not having earned income in excess of the poverty line for such year subject to clause (ii);

“(ii) allow the borrower, at any time, to opt out of clause (i) and prevent the Secretary from obtaining information under such clause without further action by the borrower; and

“(iii) provide the borrower with an opportunity to update the information obtained under clause (i) before the determination of the borrower’s continued eligibility for such loan discharge for such year.

“(B) APPLICABILITY.—Subparagraph (A) shall apply—

“(i) to each borrower of a covered loan (defined in section 455(d)(10)) that is discharged under this subsection or section 464(c)(1)(F) due to the permanent and total disability of the borrower; and

“(ii) during the income-monitoring period under this subsection, defined in this paragraph as the period—

“(I) beginning on the date on which such loan is so discharged; and

“(II) during which the Secretary determines whether a reinstatement of the obligation of, and resumption of collection on, such loan may be necessary.”.

SEC. 4048. Repayment of parent loans due to student disability.

Section 437(d) of the Higher Education Act of 1965 (20 U.S.C. 1087(d)) is amended—

(1) by striking “If a student” and inserting the following:

“(1) DEATH.—If a student”; and

(2) by adding at the end the following:

“(2) DISABILITY.—

“(A) IN GENERAL.—The Secretary shall discharge a parent’s liability on a loan described in section 428B by repaying the amount owed on the loan if the student on whose behalf the parent has received the loan—

“(i) becomes permanently and totally disabled (as determined in accordance with regulations of the Secretary); or

“(ii) is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death, has lasted for a continuous period of not less than 60 months, or can be expected to last for a continuous period of not less than 60 months.

“(B) DISABILITY DETERMINATIONS.—Subsection (a)(2) shall apply to a disability determination under this paragraph in the same manner as such subsection applies to a determination under subsection (a)(1).

“(C) SAFEGUARDS.—The safeguards to prevent fraud and abuse developed under subsection (a)(1) shall apply under this paragraph.

“(D) REINSTATEMENT OF LOANS.—The Secretary may promulgate regulations to reinstate the obligation of, and resume collection on, loans discharged under this paragraph in cases in which the Secretary determines that the reinstatement and resumption is necessary and appropriate based upon the regulations developed under subsection (a)(1).”.

PART C

SEC. 4051. Purpose; authorization of appropriations.

Section 441 of the Higher Education Act of 1965 (20 U.S.C. 1087–51) is amended—

(1) in subsection (b), by striking “part, such sums as may be necessary for fiscal year 2009 and each of the five succeeding fiscal years.” and inserting “part—

“(1) $1,500,000,000 for fiscal year 2019;

“(2) $1,750,000,000 for fiscal year 2020;

“(3) $2,000,000,000 for fiscal year 2021;

“(4) $2,250,000,000 for fiscal year 2022; and

“(5) $2,500,000,000 for fiscal year 2023 and each succeeding fiscal year.”;

(2) in subsection (c)—

(A) in paragraph (3), by striking “and”;

(B) in paragraph (4)(C), by striking the period at the end and inserting “; and”; and

(C) by adding at the end the following:

“(5) work-based learning designed to give students experience in any activity described in paragraph (1), (2), (3), or (4), whether or not credit is awarded.”; and

(3) by adding at the end the following:

“(d) Work-Based learning defined.—For purposes of this part, the term ‘work-based learning’ means sustained interactions with industry, community, or academic professionals in real workplace settings that—

“(1) foster in-depth, first-hand engagement with the tasks required of a given career field that are aligned to a student’s field of study; and

“(2) may include internships, fellowships, and apprenticeships.”.

SEC. 4052. Allocation formula.

Section 442 of the Higher Education Act of 1965 (20 U.S.C. 1087–52) is amended to read as follows:

“(a) Reservations.—

“(1) RESERVATION FOR IMPROVED INSTITUTIONS.—

“(A) AMOUNT OF RESERVATION FOR IMPROVED INSTITUTIONS.—Beginning with the first fiscal year that is 2 years after the date of the enactment of the Aim Higher Act of 2018, for a fiscal year in which the amount appropriated under section 441(b) exceeds $700,000,000, the Secretary shall—

“(i) reserve the lesser of—

“(I) an amount equal to 20 percent of the amount by which the amount appropriated under section 441(b) exceeds $700,000,000; or

“(II) $150,000,000; and

“(ii) allocate the amount reserved under clause (i) to each improved institution in an amount equal to the greater of the following:

“(I) The amount that bears the same proportion to the amount reserved under clause (i) as the total amount of all Federal Pell Grant funds awarded at the improved institution for the second preceding fiscal year bears to the total amount of Federal Pell Grant funds awarded at improved institutions participating under this part for the second preceding fiscal year.

“(II) $5,000.

“(B) IMPROVED INSTITUTION DESCRIBED.—For purposes of this paragraph, an improved institution is an institution that, on the date the Secretary makes an allocation under subparagraph (A)(ii)—

“(i) is an institution of higher education (as defined under section 101);

“(ii) meets the requirements of subsection (d)(5); and

“(iii) is with respect to—

“(I) the completion rate or graduation rate of Federal Pell Grant recipients at the institution, in the top 75 percent of all institutions participating under this part for the preceding fiscal year;

“(II) the percentage of Federal Pell Grant recipients at the institution, in the top 50 percent of the institutions described in subclause (I); and

“(III) the annual increase in the completion rate or graduation rate of Federal Pell Grant recipients at the institution, in the top 50 percent of the institutions described in subclauses (I) and (II).

“(C) COMPLETION RATE OR GRADUATION RATE.—For purposes of determining the completion rate or graduation rate under this section, a Federal Pell Grant recipient who is either a full-time student or a part-time student shall be counted as a completer or graduate if, within 150 percent of the normal time for completion of or graduation from the program, the student has completed or graduated from the program, or enrolled in any program of an institution participating in any program under this title for which the prior program provides substantial preparation.

“(2) RESERVATION FOR GRANT PROGRAM.—From the amount appropriated under section 441(b) for a fiscal year and remaining after the Secretary reserves funds under subparagraph (A), the Secretary shall reserve $30,000,000 to carry out grants under section 449.

“(3) REALLOCATION OF AMOUNT RETURNED BY IMPROVED INSTITUTIONS.—If an institution returns to the Secretary any portion of the sums allocated to such institution under this subsection for any fiscal year, the Secretary shall reallot such excess to improved institutions on the same basis as under paragraph (1)(A).

“(4) PUBLICATION.—Beginning 1 year after the first allocations are made to improved institutions under paragraph (1)(A) and annually thereafter, the Secretary shall make publicly available—

“(A) a list of the improved institutions that received funding under such paragraph in the prior fiscal year;

“(B) the percentage of students at each such improved institution that are Federal Pell Grant recipients;

“(C) the completion rate or graduation rate for the students described in subparagraph (B) with respect to each such improved institution; and

“(D) a comparison between the information described in subparagraphs (A), (B), and (C) for the prior fiscal year for such improved institution, and such information for the year prior to such year.

“(b) Allocation formula for fiscal years 2019 through 2023.—

“(1) IN GENERAL.—From the amount appropriated under section 441(b) for a fiscal year and remaining after the Secretary reserves funds under subsection (a), the Secretary shall allocate to each institution—

“(A) for fiscal year 2019, an amount equal to the greater of—

“(i) 90 percent of the amount the institution received under this subsection and subsection (a) for fiscal year 2018, as such subsections were in effect with respect to such fiscal year (in this subparagraph referred to as ‘the 2018 amount for the institution’); or

“(ii) the fair share amount for the institution determined under subsection (d);

“(B) for fiscal year 2020, an amount equal to the greater of—

“(i) 80 percent of the 2018 amount for the institution; or

“(ii) the fair share amount for the institution determined under subsection (d);

“(C) for fiscal year 2021, an amount equal to the greater of—

“(i) 60 percent of the 2018 amount for the institution; or

“(ii) the fair share amount for the institution determined under subsection (d);

“(D) for fiscal year 2022, an amount equal to the greater of—

“(i) 40 percent of the 2018 amount for the institution; or

“(ii) the fair share amount for the institution determined under subsection (d); and

“(E) for fiscal year 2023, an amount equal to the greater of—

“(i) 20 percent of the 2018 amount for the institution; or

“(ii) the fair share amount for the institution determined under subsection (d).

“(2) RATABLE REDUCTION.—

“(A) IN GENERAL.—If the amount appropriated under section 441(b) for a fiscal year and remaining after the Secretary reserves funds under subsection (a) is less than the amount required to be allocated to the institutions under this subsection, then the amount of the allocation to each institution shall be ratably reduced.

“(B) ADDITIONAL APPROPRIATIONS.—If the amounts allocated to each institution are ratably reduced under subparagraph (A) for a fiscal year and additional amounts are appropriated for such fiscal year, the amount allocated to each institution from the additional amounts shall be increased on the same basis as the amounts under subparagraph (A) were reduced (until each institution receives the amount required to be allocated under this subsection).

“(c) Allocation formula for fiscal year 2024 and each succeeding fiscal year.—Except as provided in subsection (d)(5), from the amount appropriated under section 441(b) for fiscal year 2024 and each succeeding fiscal year and remaining after the Secretary reserves funds under subsection (a), the Secretary shall allocate to each institution the fair share amount for the institution determined under subsection (d).

“(d) Determination of fair share amount.—

“(1) IN GENERAL.—Subject to paragraph (2), the fair share amount for an institution for a fiscal year shall be equal to the sum of—

“(A) 100 percent of the institution’s undergraduate student need described in paragraph (2) for the preceding fiscal year; and

“(B) 25 percent of the institution’s graduate student need described in paragraph (3) for the preceding fiscal year.

“(2) INSTITUTIONAL UNDERGRADUATE STUDENT NEED.—The undergraduate student need for an institution for a fiscal year shall be equal to the sum of the following:

“(A) An amount equal to 50 percent of the amount that bears the same proportion to the available appropriated amount for such fiscal year as the total amount of Federal Pell Grant funds awarded at the institution for the preceding fiscal year bears to the total amount of Federal Pell Grant funds awarded at all institutions participating under this part for the preceding fiscal year.

“(B) An amount equal to 50 percent of the amount that bears the same proportion to the available appropriated amount for such fiscal year as the total amount of the undergraduate student need at the institution for the preceding fiscal year bears to the total amount of undergraduate student need at all institutions participating under this part for the preceding fiscal year.

“(3) INSTITUTIONAL GRADUATE STUDENT NEED.—The graduate student need for an institution for a fiscal year shall be equal to the amount that bears the same proportion to the available appropriated amount for such fiscal year as the total amount of the graduate student need at the institution for the preceding fiscal year bears to the total amount of graduate student need at all institutions participating under this part for the preceding fiscal year.

“(4) ELIGIBILITY FOR FAIR SHARE AMOUNT.—The Secretary may not allocate funds under this part to any institution that, for two or more fiscal years during any three fiscal year period beginning not earlier than the first day of the first fiscal year that is 2 years after the date of the enactment of this paragraph, has—

“(A) a student population with less than 7 percent of undergraduate students who are recipients of Federal Pell Grants; or

“(B) if the institution only enrolls graduate students, a student population with less than 5 percent of students that have an expected family contribution of zero.

“(5) DEFINITIONS.—In this subsection:

“(A) AVAILABLE APPROPRIATED AMOUNT.—In this section, the term ‘available appropriated amount’ means—

“(i) the amount appropriated under section 441(b) for a fiscal year, minus

“(ii) the amounts reserved under subsection (a) for such fiscal year.

“(B) AVERAGE COST OF ATTENDANCE.—The term ‘average cost of attendance’ means, with respect to an institution, the average of the attendance costs for a fiscal year for students which shall include—

“(i) tuition and fees, computed on the basis of information reported by the institution to the Secretary, which shall include—

“(I) total revenue received by the institution from undergraduate and graduate tuition and fees for the second year preceding the year for which it is applying for an allocation; and

“(II) the institution’s enrollment for such second preceding year;

“(ii) standard living expenses equal to 150 percent of the difference between the income protection allowance for a family of five with one in college and the income protection allowance for a family of six with one in college for a single independent student; and

“(iii) books and supplies, in an amount not exceeding $1,000.

“(C) GRADUATE STUDENT NEED.—The term ‘graduate student need’ means, with respect to a graduate student for a fiscal year, the lesser of the following:

“(i) The amount equal to (except the amount computed by this clause shall not be less than zero)—

“(I) the average cost of attendance for the preceding fiscal year, minus

“(II) each such graduate student’s expected family contribution (computed in accordance with part F of this title) for the preceding fiscal year.

“(ii) The total loan limit for a Federal Direct Unsubsidized Stafford Loan.

“(D) UNDERGRADUATE STUDENT NEED.—The term ‘undergraduate student need’ means, with respect to an undergraduate student for a fiscal year, the lesser of the following:

“(i) The total of the amount equal to (except the amount computed by this clause shall not be less than zero)—

“(I) the average cost of attendance for the fiscal year, minus

“(II) each such undergraduate student’s expected family contribution (computed in accordance with part F of this title) for the preceding fiscal year.

“(ii) The total loan limit for a Federal Direct Unsubsidized Stafford Loan and a Federal Direct Loan.

“(e) Return of surplus allocated funds.—

“(1) IN GENERAL.—Except with respect to funds returned under subsection (a)(3), if an institution returns to the Secretary any portion of the sums allocated to such institution under this section for any fiscal year, the Secretary shall reallot such excess to institutions that used at least 10 percent of the total amount of funds granted to such institution under this section to compensate students employed during a qualified period of nonenrollment (as such term is defined in section 443(f)) on the same basis as excess eligible amounts are allocated under subsection (d).

“(2) USE OF FUNDS.—Funds received by institutions pursuant to this subsection shall be used to compensate students employed in work-based learning positions.

“(3) RETAINED FUNDS.—

“(A) AMOUNT RETURNED.—If an institution returns more than 10 percent of its allocation under paragraph (1), the institution’s allocation for the next fiscal year shall be reduced by the amount returned.

“(B) WAIVER.—The Secretary may waive this paragraph for a specific institution if the Secretary finds that enforcing this paragraph would be contrary to the interest of the program.

“(f) Filing deadlines.—The Secretary may require applications under this section, at such time, in such manner, and containing such information as the Secretary may require.”.

SEC. 4053. Grants for Federal work-study programs.

Section 443 of the Higher Education Act of 1965 (20 U.S.C. 1087–53) is amended—

(1) in subsection (b)—

(A) by amending paragraph (2)(A) to read as follows:

“(A) for fiscal year 2019 and succeeding fiscal years, an institution shall (unless the Secretary determines that enforcing this subparagraph would cause hardship for students at the institution) use—

“(i) at least 7 percent of the total amount of funds granted to such institution under this section for such fiscal year to compensate students employed in work-based learning positions; and

“(ii) at least 3 percent of the total amount of funds granted to such institution under this section for such fiscal year to compensate students who have exceptional need (as defined in section 413C(c)(2)) and are employed in a work-based learning position during a qualified period of nonenrollment, as defined in subsection (f).”;

(B) in paragraph (4)—

(i) by striking “$300” and inserting “$500”; and

(ii) by inserting “except as provided under subsection (f),” before “provide”;

(C) in paragraph (5), by striking “75 percent” each place it appears and inserting “75 percent in the first year after the date of the enactment of the Aim Higher Act, 65 percent in the first succeeding fiscal year, 60 percent in the second succeeding fiscal year, 55 percent in the third succeeding fiscal year, and 50 percent each succeeding fiscal year”;

(D) in paragraph (6)—

(i) by inserting “who demonstrate exceptional need (as defined in section 413C(c)(2))” after “students”; and

(ii) by inserting after “institution”, “and prioritize employment for students who are currently or formerly homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance act (42 U.S.C. 11434a)) or foster care children and youth”;

(E) in paragraph (7), by striking “vocational” and inserting “career”;

(F) in paragraph (8)(A)(i), by striking “or vocational goals” and inserting “career goals”;

(G) in paragraph (10), by striking “; and” and inserting a semicolon;

(H) in paragraph (11), by striking the period at the end and inserting a semicolon; and

(I) by adding at the end the following:

“(12) provide assurances that compensation of students employed in the work-study program in accordance with the agreement shall include reimbursement for reasonable travel (not including the purchase of a vehicle) directly related to such work-study program;

“(13) provide assurances that the institution will administer and use feedback from the surveys required under section 450, to improve the experiences of students employed in the work-study program in accordance with the agreement;

“(14) provide assurances that the institution will collect data from students and employers such that the employment made available from funds under this part will, to the maximum extent practicable, complement and reinforce the educational goals or career goals of each student receiving assistance under this part; and

“(15) provide assurances that if the institution receives funds under section 442(a)(1)(A), such institution shall—

“(A) use such funds to compensate students employed in the work-study program in accordance with the agreement; and

“(B) prioritize the awarding of such funds (and increasing the amount of each award) to students—

“(i) who demonstrate exceptional need (as defined in section 413C(c)(2)); and

“(ii) who are employed in work-based learning opportunities through the work study program in accordance with the agreement.”;

(2) in subsection (c)—

(A) by striking paragraph (2);

(B) by inserting after paragraph (1) the following:

“(2) provide assurances that compensation of students employed in the work-study program in accordance with the agreement shall include reimbursement for reasonable travel (not including the purchase of a vehicle) directly related to such work-study program.”; and

(C) in paragraph (4), by inserting “and complement and reinforce the educational goals or career goals of each student receiving assistance under this part” after “academically relevant”;

(3) in subsection (d)(1)—

(A) by striking “In any academic year to which subsection (b)(2)(A) applies, an institution shall ensure that” and inserting “An institution may use the”; and

(B) by striking “travel” and inserting “reasonable travel (not including the purchase of a vehicle)”;

(4) in subsection (e)(3), by striking “75” and inserting “50”; and

(5) by adding at the end the following:

“(f) Qualified period of nonenrollment.—

“(1) IN GENERAL.—A student may be awarded work-study employment during a qualified period of nonenrollment if—

“(A) the student demonstrates exceptional need (as defined in section 413C(c)(2)) in the award year prior to the qualified period of nonenrollment;

“(B) the student is employed in a work-based learning position; and

“(C) the employment—

“(i) involves less than 25 percent administrative work; and

“(ii) is for at least 20 hours per week, unless the institution waives such requirement—

“(I) at the request of the student; or

“(II) based on a finding by the institution that such requirement presents a hardship in finding a work-based learning position for the student.

“(2) FUNDS EARNED.—

“(A) IN GENERAL.—Any funds earned by a student (beyond standard living expenses (as such term is described in section 413D(c)(3)(C))) during the qualified period of nonenrollment less than or equal to $2,500 may not be applied to such student’s cost of attendance for the next period in which the student is enrolled.

“(B) EXCESS FUNDS.—Any funds earned by a student (beyond standard living expenses (as such term is described in section 413D(c)(3)(C))) during the qualified period of nonenrollment in excess of $2,500 shall be applied to such student’s cost of attendance for the next period in which the student is enrolled.

“(3) DEFINITION OF QUALIFIED PERIOD OF NONENROLLMENT.—In this subsection, the term ‘qualified period of nonenrollment’ means, with respect to a student, a period of nonenrollment that—

“(A) occurs between a period of enrollment and a period of anticipated enrollment; and

“(B) the duration of which is no longer than 6 months.”.

SEC. 4054. Flexible use of funds.

Section 445 of the Higher Education Act of 1965 (20 U.S.C. 1087–55) is amended—

(1) in subsection (a), by adding at the end the following:

“(3) In addition to the carry-over sums authorized under paragraph (1) of this section, an institution may permit a student who completed the previous award period to continue to earn unearned portions of the student’s work-study award from that previous period if—

“(A) any reduction in the student’s need upon which the award was based is accounted for in the remaining portion; and

“(B) the student is currently employed in a work-based learning position.”; and

(2) by striking “10 percent” both places it appears and inserting “20 percent”.

SEC. 4055. Job location and development programs.

(a) Amendments.—Section 446 of the Higher Education Act of 1965 (20 U.S.C. 1087–56) is amended—

(1) in subsection (a)—

(A) in paragraph (1), by striking “10 percent or $75,000” and inserting “20 percent or $150,000”; and

(B) in paragraph (2), by striking “vocational” and inserting “career”; and

(2) in subsection (b)—

(A) by striking paragraphs (1) and (2); and

(B) by inserting before paragraph (3) the following:

“(1) provide satisfactory assurance that the institution will prioritize placing students with exceptional need (as defined in section 413C(c)(2)) and Federal work-study recipients in jobs located and developed under this section; and

“(2) provide satisfactory assurances that the funds available under this section will be used to locate and develop work-based learning positions;”; and

(C) in paragraph (6), by striking the period and inserting “, including—

“(A) the number of students employed in work-based learning positions through such program;

“(B) the number of students demonstrating exceptional need (as defined in section 413C(c)(2)) and Federal work-study recipients employed through such program; and

“(C) the number of students demonstrating exceptional need (as defined in section 413C(c)(2)) and Federal work-study recipients employed in work-based learning positions through such program.”.

(b) Clarification on carry-Over authority.—Of the sums granted to an eligible institution under part C of title IV of the Higher Education Act (20 U.S.C. 1087–51) for any fiscal year, 10 percent may, at the discretion of the institution, remain available for expenditure during the succeeding fiscal year to carry out programs under such part, including the job location and development programs under section 446 of such Act (20 U.S.C. 1087–56).

SEC. 4056. Community service.

Section 447 of the Higher Education Act of 1965 (20 U.S.C. 1087–57) is amended to read as follows:

“SEC. 447. Additional funds to conduct community service work study programs.

“Each institution participating under this part may use up to 10 percent of the funds made available under section 489(a) and attributable to the amount of the institution’s expenditures under this part to conduct that institution’s program of community service-learning, including—

“(1) development of mechanisms to assure the academic quality of the student experience;

“(2) assuring student access to educational resources, expertise, and supervision necessary to achieve community service objectives;

“(3) assuring, to the maximum extent practicable, that the community service-learning program will support the educational goals or career goals of students participating in such program;

“(4) collaboration with public and private nonprofit agencies, and programs assisted under the National and Community Service Act of 1990 in the planning, development, and administration of such programs; and

“(5) to recruit and compensate students for community service-learning (including compensation for time spent in training and for reasonable travel (not including the purchase of a vehicle) directly related to such community service).”.

SEC. 4057. Pilot grant program.

Part C of title IV of the Higher Education Act (20 U.S.C. 1087–51 et seq.) is amended by adding at the end the following:

“SEC. 449. Work-based learning opportunities pilot grant program.

“(a) Establishment.—

“(1) IN GENERAL.—The Secretary shall establish a program to provide grants to eligible institutions participating under this part to establish or expand a program to develop work-based learning positions.

“(2) LIMITATIONS.—

“(A) DURATION.—A grant awarded under this section shall be for a period of not more than 4 years, but may be renewed by the Secretary for a period of 2 years.

“(B) AMOUNT.—A grant under this section may not be in an amount greater than $1,000,000.

“(b) Application.—To be selected to receive a grant under this section an eligible institution participating under this part shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require, including a plan that describes how the eligible institution will establish or expand a program to develop work-based learning positions that will—

“(1) benefit students who demonstrate exceptional need (as defined in section 413C(c)(2));

“(2) identify high-demand occupations (as determined by the Bureau of Labor and Statistics, State departments of labor, and local workforce investment boards) and develop partnerships with high-demand employers (including nonprofit organizations, for-profit firms, or public agencies);

“(3) involve participating employers in evaluating and improving such program;

“(4) track and report academic and employment outcomes for participating students; and

“(5) be able to continue after the end of the grant term.

“(c) Use of funds.—Grant funds awarded under this program shall be used to pay wages for students participating under this program and develop work-based learning positions that—

“(1) are for a period of at least 12 weeks;

“(2) serve students who demonstrate exceptional need (as defined in section 413C(c)(2));

“(3) limit administrative work to no more than 25 percent of such position;

“(4) provide a minimum of 15 hours of work per week during periods of enrollment and 30 hours per week during periods of nonenrollment, except such requirement may be waived by the institution in consultation with a student;

“(5) include career coaching from participating employers (including mock interviews, resume writing assistance, and counseling on applying for and attaining employment); and

“(6) provide participating students with opportunities to meet with employers in fields or industries related to those of participating employers.

“(d) Report.—On a date that is before the date on which the period of the grant received by an eligible institution under this section terminates, such institution shall submit a report to the Secretary including—

“(1) the graduation rate or completion rate (as described under section 442(a)(1)(C)) with respect to students participating in work-based learning positions under the pilot program; and

“(2) the results of the work-based learning opportunities program for which such institution received such grant, including—

“(A) participating students’ satisfaction with the program as reported in surveys under section 450, as amended by section 4178 of the Aim Higher Act;

“(B) the types of jobs in which participating students were employed and the types of duties performed in such jobs;

“(C) the academic programs of the participating students;

“(D) the share of participating students who worked at another job, in addition to the one under the pilot program;

“(E) the percentage of participating students who, during the second quarter after completing their academic program, are in education or training activities or unsubsidized employment;

“(F) the percentage of participating students employed in high-demand occupations within 2 quarters of completing their academic programs; and

“(G) other items as deemed relevant by the Secretary.

“(e) Reservation of funding for such program.—From the amount appropriated under section 441(b) for a fiscal year and remaining after the Secretary reserves funds under section 442(a)(1), the Secretary shall reserve $30,000,000 to carry out grants under this section.”.

SEC. 4058. Department activities.

Part C of title IV of the Higher Education Act of 1965 (20 U.S.C. 1087–51 et seq.) is further amended by adding at the end the following:

“SEC. 450. Department activities.

“(a) Surveys.—Not later than 1 year after the date of the enactment of this section, the Secretary shall develop, in consultation with work-study administrators from institutions of higher education, participating employers, and participating students—

“(1) a consumer-tested electronic survey for students awarded work-study employment under the Federal work-study program under this part that—

“(A) measures each such student’s satisfaction with the Federal work-study program, including—

“(i) any complaints the student has with respect to the program;

“(ii) the amount and quality of the on-the-job training the student received;

“(iii) the amount and quality of on-the-job supervision and employer feedback the student received;

“(iv) the amount and quality of information provided by the institution about the work-study program and job opportunities and the availability of work-study staff at the institution;

“(v) the quality of the assistance provided by the institution to the student in finding a work-study job and the availability of types of jobs; and

“(vi) the student’s overall satisfaction with the work-study program;

“(B) measures the applicability of work-study employment to the educational goals and career goals of each such student;

“(C) elicits an assessment by each such student of the capacity to manage time between work-study employment and coursework;

“(D) measures, with respect to the program—

“(i) the award amounts under the program;

“(ii) the average number of hours students worked per week, and the wages received for such work;

“(iii) the number of on campus jobs and off campus jobs;

“(iv) how students located work-study positions;

“(v) the work performed at each job;

“(vi) whether students worked additional jobs while employed in a work-study job (and the reason for such additional job);

“(vii) whether the work-study employment had an impact on the student’s academic performance; and

“(viii) the voluntarily disclosed demographics of students awarded work-study employment; and

“(E) includes such information as the Secretary may require; and

“(2) a consumer-tested electronic survey for employers of students described in paragraph (1) that—

“(A) measures each such employer’s satisfaction with the Federal work-study program, including—

“(i) the extent to which the employer is satisfied with its ability to accommodate students’ schedules;

“(ii) the extent to which student-employees are prepared for the duties advertised for the job; and

“(iii) the extent to which the employer is satisfied with opportunities to make recommendations for improving institutions’ academic programs;

“(B) elicits an assessment by each such employer of—

“(i) any complaints the employer had with respect to the program;

“(ii) any skills or knowledge necessary for the job that student-employees are lacking; and

“(iii) the extent of outreach from institutions to the employer; and

“(C) includes such information as the Secretary may require; and

“(3) a consumer-tested electronic survey that, not less than once every 4 years, with respect to each institution of higher education participating in the Federal work-study program, measures—

“(A) methods used to recruit on-campus and off-campus employers;

“(B) if an institution operates a job location development program—

“(i) the share of jobs filled on-campus and off-campus;

“(ii) the share of jobs filled by—

“(I) work-study recipients; and

“(II) students who demonstrate exceptional need (as defined in section 413C(c)(2));

“(iii) the primary factors considered in matching work-study students and jobs;

“(iv) the share of students employed in work-based learning opportunities; and

“(v) the share of students employed during qualified periods of nonenrollment, including the share of students with exceptional need (as defined in section 413C(c)(2)) employed during qualified periods of nonenrollment;

“(C) the institution’s Federal and non-Federal contributions toward work-study wages;

“(D) the primary factors considered in awarding students work-study and in determining the amount of the award;

“(E) the acceptance rate among students who were offered work-study aid; and

“(F) other information the Secretary may require.

“(b) Results.—The Secretary shall develop an online portal—

“(1) for students, employers, and institutions of higher education to access the surveys required under subsection (a); and

“(2) to compile the results of such surveys.

“(c) Report.—Not less than once every 4 years after the date of the enactment of this subsection, the Secretary shall submit a report to Congress that includes—

“(1) the data collected under this section (redacted for personal information);

“(2) with respect to students employed in work-study through the Federal work-study program—

“(A) the types of jobs such students participated in;

“(B) the average hours worked per week;

“(C) the average award amount;

“(D) the average wage rates;

“(E) the extent to which students enter employment with skills and knowledge gained from work-study participation that have prepared them for the job; and

“(F) the students’ satisfaction with the program and primary complaints;

“(3) the extent to which institutions conduct outreach to employers and engage them in discussions on improving academic programs;

“(4) the extent to which institutions conduct outreach to students and make jobs readily available;

“(5) the extent to which the work-study employment aligns with students’ academic programs or career goals;

“(6) the employers’ satisfaction with the program and primary complaints; and

“(7) recommendations for improving the program.

“(d) Consultation.—In consulting with the entities described in subsection (a) to create the electronic surveys required under such subsection, the Secretary shall engage with—

“(1) a representative sample of institutions of higher education participating in the Federal work-study program;

“(2) a representative sample of employers participating in the Federal work-study program; and

“(3) a representative sample of students participating in the Federal work-study program.

“(e) Technical assistance.—The Secretary shall—

“(1) provide technical assistance to institutions participating under the Federal work-study program under this part to—

“(A) comply with the amendments made by subtitle O of the Aim Higher Act and the regulations issued pursuant to this subtitle;

“(B) administer the surveys described in subsection (a) to students and employers participating in the Federal work-study program;

“(C) ensure that Federal work-study positions align with students’ educational goals or career goals to the maximum extent practicable; and

“(D) satisfy the requirements under section 443(b)(7); and

“(2) issue guidance and provide technical assistance to institutions to support improved partnerships and coordination among financial aid, career services, and academic advisors to administer the Federal work-study program.

“(f) Response rate.—In the case of an institution participating under the Federal work-study program under this part with a response rate for students and employers with respect to the surveys described in subsection (a)(1) of less than 75 percent, the Secretary shall require such institution—

“(1) to submit to the Secretary an improvement plan to increase such response rate; and

“(2) if the response rate has not improved 2 years after the date on which an improvement plan was submitted under paragraph (1), submit to the Secretary a revised improvement plan.

“(g) Authorization of appropriations.—There is authorized to be appropriated $2,000,000 to carry out subsection (a).”.

SEC. 4059. Study and report.

(a) Study.—Not later than 180 days after the date of the enactment of this Act, the Comptroller General of the United States shall conduct a study on best practices for assisting students participating in the Federal work-study program under part C of title IV of the Higher Education Act (42 U.S.C. 1087–51 et seq.) with—

(1) connecting to off-campus employers;

(2) procuring work-based learning opportunities through such program;

(3) procuring employment that aligns with students’ educational goals or career goals;

(4) locating employment through job location and development programs;

(5) procuring employment in high-demand occupations;

(6) balancing employment with academic programs to improve graduation and completion rates; and

(7) with respect to students with exceptional need (as defined in section 413C(c)(2) of the Higher Education Act of 1965 (20 U.S.C. 1070b–2(c)(2)))—

(A) locating and coordinating work-study employment during qualified periods of nonenrollment;

(B) increasing participation of such students in such work-study program; and

(C) limiting the need for additional employment outside the work-study program.

(b) Report.—Not later than one year after the date on which the study required under subsection (a) is completed, the Comptroller General of the United States shall submit to Congress a report summarizing the findings of such study.

(c) Publish report.—The Comptroller General of the United States shall make the report required under subsection (b) available to the public on the website of the Government Accountability Office.

PART D

SEC. 4061. Refinancing programs.

(a) Program authority.—Section 451(a) of the Higher Education Act of 1965 (20 U.S.C. 1087a(a)) is amended—

(1) by striking “and (2)” and inserting “(2)”; and

(2) by inserting “; and (3) to make loans under section 460A and section 460B” after “section 459A”.

SEC. 4062. Amendments to terms and conditions of loans and repayment plans.

(a) Repeal of origination fees.—Subsection (c) of section 455 of the Higher Education Act of 1965 (20 U.S.C. 1087e(c)) is repealed.

(b) Rulemaking regarding termination of certain repayment plans.—Before the effective date of this title, the Secretary of Education shall carry out a plan to end all eligibility for repayment plans other than a fixed repayment plan described in section 493E and an income-based repayment plan described under section 493C(f) for loans made under part B or D of title IV of the Higher Education Act of 1965, unless the borrower is enrolled in another repayment plan before such effective date, in accordance with the amendments made by this Act.

(c) Repayment plans.—Section 455(d) of the Higher Education Act of 1965 (20 U.S.C. 1087e(d)) is amended—

(1) by redesignating paragraphs (2) through (5) as paragraphs (3) through (6), respectively;

(2) by inserting after paragraph (1), the following:

“(2) DESIGN AND SELECTION ON AND AFTER JULY 1, 2019.—

“(A) IN GENERAL.—Notwithstanding paragraph (1), for the borrower of a loan made on or after July 1, 2019, and for other borrowers subject to paragraph (7), the Secretary shall offer a borrower of a loan made under this part 2 plans for repayment of such loan, including principal and interest on the loan. The borrower shall be entitled to accelerate, without penalty, repayment on the borrower’s loans under this part. The borrower may choose—

“(i) a fixed repayment plan described in section 493E; or

“(ii) the income-based repayment plan under section 493C(f).

“(B) SELECTION BY THE SECRETARY.—If a borrower of a loan made under this part on or after July 1, 2019, does not select a repayment plan described in subparagraph (A), the Secretary may provide the borrower with a fixed repayment plan described in section 493E.

“(C) CHANGES IN SELECTIONS.—Beginning on July 1, 2019, a borrower of a loan made under this part may change the borrower’s selection of a repayment plan in accordance with paragraph (7) and under such terms and conditions as may be established by the Secretary.”;

(3) in paragraph (6)(B), as redesignated, by striking “an income contingent repayment plan.” and inserting “the income-based repayment plan under section 493C(f).”; and

(4) by adding at the end the following:

“(7) BORROWERS OF LOANS MADE BEFORE JULY 1, 2019.—A borrower who is in repayment on a loan made under part B or part D before July 1, 2019—

“(A) may choose to retain the repayment plan that the borrower was enrolled in on the day before such date;

“(B) may elect to—

“(i) enter the income-based repayment plan under section 493C(f); or

“(ii) enter a fixed repayment plan described in section 493E;

“(C) after electing to leave a repayment plan other than an income-based repayment plan described under this subsection or a fixed repayment plan described in section 493E, shall not be permitted to re-elect a repayment plan that is not an income-based repayment plan under this subsection or a fixed repayment plan described in section 493E; and

“(D) shall retain, for purposes of repayment or cancellation of any outstanding balance of principal and interest due on a loan as described in section 493C(b)(7) any years of repayment under another income-based or income contingent repayment plan under this title.

“(8) NOTIFICATION AND AUTOMATIC ENROLLMENT PROCEDURES FOR BORROWERS WHO ARE DELINQUENT ON LOANS.—

“(A) AUTHORITY TO OBTAIN INCOME INFORMATION.—In the case of any borrower who is at least 60 days delinquent on a covered loan, the Secretary may obtain such information as is reasonably necessary regarding the income and family size of the borrower (and the borrower’s spouse, if applicable).

“(B) BORROWER NOTIFICATION.—With respect to each borrower of a covered loan who is at least 60 days delinquent on such loan and who has not been subject to the procedures under this paragraph for such loan in the preceding 120 days, the Secretary shall, as soon as practicable after such 60-day delinquency, provide to the borrower the following:

“(i) Notification that the borrower is at least 60 days delinquent on at least 1 covered loan, and a description of all delinquent covered loans, nondelinquent covered loans, and noncovered loans of the borrower.

“(ii) A brief description of the repayment plans for which the borrower is eligible and the covered loans and noncovered loans of the borrower that may be eligible for such plans, based on information available to the Secretary.

“(iii) The amount of monthly payments for the covered and noncovered loans under the income-based repayment plan under section 493C(f) and the fixed repayment plan described in section 493E, based on information available to the Secretary, including, if the income information of the borrower is available to the Secretary under subparagraph (A)—

“(I) the amount of the monthly payment under the income-based repayment plan under section 493C(f) and the fixed repayment plan described in section 493E for which the borrower is eligible for the borrower’s covered and noncovered loans, based on such income information; and

“(II) the income, family size, tax filing status, and tax year information on which each monthly payment is based.

“(iv) Clear and simple instructions on how to select the repayment plans.

“(v) An explanation that, in the case of a borrower for whom adjusted gross income is unavailable—

“(I) if the borrower selects to repay the covered loans of such borrower pursuant to the income-based repayment plan under section 493C(f) that defines discretionary income in such a manner that an individual not required under section 6012(a)(1) of the Internal Revenue Code of 1986 to file a return with respect to income taxes imposed by subtitle A of such Code may have a calculated monthly payment greater than $0, the borrower will be required to provide the Secretary with other documentation of income satisfactory to the Secretary, which documentation the Secretary may use to determine an appropriate repayment schedule; and

“(II) if the borrower selects to repay such loans pursuant to an income-driven repayment plan that is not described in subclause (I), the borrower will not be required to provide the Secretary with such other documentation of income, and the borrower will have a calculated monthly payment of $0.

“(vi) An explanation that the Secretary shall take the actions under subparagraph (C) with respect to such borrower, if—

“(I) the borrower is 120 days delinquent on 1 or more covered loans and has not selected a new repayment plan for the covered loans of the borrower; and

“(II) in the case of such a borrower whose repayment plan for the covered loans of the borrower is not an income-driven repayment plan described in subparagraph (D) or (E) of paragraph (1), the monthly payments under such repayment plan are higher than such monthly payments would be under the income-based repayment plan under section 493C(f).

“(vii) Instructions on updating the information of the borrower obtained under subparagraph (A).

“(C) SECRETARY’S INITIAL SELECTION OF A PLAN.—With respect to each borrower described in subparagraph (B) who has a repayment plan for the covered loans of the borrower that meets the requirements of clause (vi)(II) of subparagraph (B) and has not selected a new repayment plan for such loans in accordance with the notice received under such subparagraph, and who is at least 120 days delinquent on such a loan, the Secretary shall, as soon as practicable—

“(i) provide the borrower with the income-based repayment plan under section 493C(f); and

“(ii) authorize the borrower to change the Secretary’s selection of a plan under this clause to the fixed repayment plan described in section 493E.

“(D) OPT-OUT.—A borrower of a covered loan shall have the right to opt out of the procedures under this paragraph.

“(E) PROCEDURES.—The Secretary shall establish procedures as are necessary to effectively implement this paragraph.

“(9) NOTIFICATION AND AUTOMATIC ENROLLMENT PROCEDURES FOR BORROWERS WHO ARE REHABILITATING DEFAULTED LOANS.—

“(A) AUTHORITY TO OBTAIN INCOME INFORMATION.—In the case of any borrower who is rehabilitating a covered loan pursuant to section 428F(a), the Secretary may obtain such information as is reasonably necessary regarding the income and family size of the borrower (and the borrower’s spouse, if applicable).

“(B) BORROWER NOTIFICATION.—Not later than 30 days after a borrower makes the 6th payment required for the loan rehabilitation described in subparagraph (A), the Secretary shall notify the borrower of the process under subparagraph (C) with respect to such loan.

“(C) SECRETARY’S SELECTION OF PLAN.—With respect to each borrower who has made the 9th payment required for the loan rehabilitation described in subparagraph (A), the Secretary shall, as soon as practicable after such payment, provide the borrower with the income-based repayment plan under section 493C(f), without regard to whether the loan has been so rehabilitated.

“(D) OPT-OUT.—A borrower of a covered loan shall have the right to opt out of the procedures under this paragraph.

“(E) PROCEDURES.—The Secretary shall establish procedures as are necessary to effectively implement this paragraph.

“(10) DEFINITIONS.—In this subsection:

“(A) COVERED LOAN.—The term ‘covered loan’ means—

“(i) a loan made under this part;

“(ii) a loan purchased under section 459A; or

“(iii) a loan that has been assigned to the Secretary under section 428(c)(8) or part E.

“(B) NONCOVERED LOAN.—The term ‘noncovered loan’ means a loan made, insured, or guaranteed under this title that is not a covered loan.

“(11) APPLICATION OF PREPAYMENT AMOUNTS.—

“(A) REQUIREMENT.—Notwithstanding any other provision of this subsection or any other provision of law—

“(i) with respect to loans made to an eligible borrower under this part or part B, which are held by the same holder and which have different applicable rates of interest, the holder of such loans shall, unless otherwise requested by the borrower in writing, apply the borrower’s prepayment amount (within the meaning of section 682.209(b) of title 34, Code of Federal Regulations, or a successor regulation) for one or more of such loans, first toward the outstanding balance of principal due on the loan with the highest applicable rate of interest among such loans; and

“(ii) except as provided in clause (i), with respect to loans made to an eligible borrower under this part or part B, which are held by the same holder and which have the same applicable rates of interest, the holder of such loans shall, unless otherwise requested by the borrower in writing, apply the borrower’s prepayment amount (within the meaning of section 682.209(b) of title 34, Code of Federal Regulations, or a successor regulation) for one or more of such loans, first toward the outstanding balance of principal due on the loan with the highest principal balance among such loans.

“(B) ELIGIBLE BORROWER.—

“(i) IN GENERAL.—For purposes of this paragraph, the term ‘eligible borrower’ means a borrower with no outstanding balance of fees, including collection costs and authorized late charges, due on any loan made under this part or part B.

“(ii) PREPAYMENT AMOUNTS.—A prepayment amount (as described in subparagraph (A)) made by a borrower who is not an eligible borrower to a holder shall be applied first toward the borrower’s outstanding balance of fees, including collection costs and authorized late charges, due on any loan made under this part or part B held by such holder.”.

(d) Application.—The amendments made by subsection (c)(5) shall—

(1) take effect as soon as the Secretary of Education determines practicable after the Secretary finalizes the procedures under section 4114, but not later than 2 years after the date of enactment of this Act; and

(2) apply to all borrowers of covered loans (as defined in section 455(d)(10) of the Higher Education Act of 1965, as added by subsection (c)(5)).

(e) Automatic recertification of income for income-Driven repayment plans.—Section 455(e) of the Higher Education Act of 1965 (20 U.S.C. 1087e(e)) is amended—

(1) in paragraph (3)—

(A) by striking “does not reasonably reflect the borrower’s current income” and inserting “whose income has decreased relative to the adjusted gross income available to the Secretary”; and

(B) by inserting “, consistent with the procedures established under paragraph (8)(B)(iv)” before the period at the end; and

(2) by adding at the end the following:

“(8) AUTOMATIC RECERTIFICATION.—

“(A) DEFINITION.—In this paragraph, the term ‘covered loan’ has the meaning given the term in subsection (d)(10).

“(B) IN GENERAL.—Beginning as soon as the Secretary determines practicable after the Secretary finalizes the procedures under section 4114 of the Aim Higher Act, but not later than 2 years after the date of enactment of such Act, the Secretary shall establish and implement, with respect to any borrower described in subparagraph (C), procedures to—

“(i) obtain (for each year of repayment and without further action by the borrower) such information as is reasonably necessary regarding the income of such borrower (and the borrower’s spouse, if applicable), for the purpose of determining the repayment obligation of the borrower for such year, including information with respect to the borrower’s family size in accordance with the procedures under section 4114 of the Aim Higher Act, subject to clause (ii);

“(ii) allow the borrower, at any time, to opt out of clause (i) and prevent the Secretary from obtaining information under such clause without further action by the borrower;

“(iii) provide the borrower with an opportunity to update the information obtained under clause (i) before the determination of the annual repayment obligation of the borrower; and

“(iv) in the case of a borrower for whom adjusted gross income is unavailable—

“(I) if the borrower has selected to repay the covered loans of such borrower pursuant to an income contingent repayment plan that defines discretionary income in such a manner that an individual not required under section 6012(a)(1) of the Internal Revenue Code of 1986 to file a return with respect to income taxes imposed by subtitle A of such Code may have a calculated monthly payment greater than $0, the borrower will be required to provide the Secretary with other documentation of income satisfactory to the Secretary, which documentation the Secretary may use to determine an appropriate repayment schedule; or

“(II) if the borrower has selected to repay such loans pursuant to an income contingent repayment that is not described in subclause (I), the borrower will not be required to provide the Secretary with such other documentation of income, and the borrower will have a calculated monthly payment of $0.

“(C) APPLICABILITY.—Subparagraph (B) shall apply to each borrower of a covered loan who, on or after the date on which the Secretary establishes procedures under such subparagraph—

“(i) selects, or for whom the Secretary selects under paragraph (8)(C) or (9)(C) of subsection (d), or section 428(m)(1), an income contingent repayment plan; or

“(ii) recertifies income and family size under such plan.

“(D) OTHER REQUIREMENTS.—The procedures established by the Secretary under this paragraph shall be consistent with the requirements of paragraphs (1) through (7), except as otherwise provided in this paragraph.”.

(f) Separating joint consolidation loans.—Section 455(g) of the Higher Education Act of 1965 (20 U.S.C. 1087e(g)) is amended—

(1) by striking “A borrower” and inserting the following:

“(1) IN GENERAL.—A borrower”; and

(2) by adding at the end the following:

“(2) SEPARATING JOINT CONSOLIDATION LOANS.—

“(A) IN GENERAL.—A married couple, or 2 individuals who were previously a married couple, and who received a joint consolidation loan as such married couple under subparagraph (C) of section 428C(a)(3) (as such subparagraph was in effect on or before June 30, 2006), may apply to the Secretary for each individual borrower in the married couple (or previously married couple) to receive a separate Federal Direct Consolidation Loan under this part—

“(i) that shall—

“(I) unless the Secretary receives notice of an agreement described in subclause (II)(aa), be equal to the sum of—

“(aa) the unpaid principal and accrued unpaid interest of the percentage of the joint consolidation loan that, as of the day before such joint consolidation loan was made, was attributable to the loans of the individual borrower for whom such separate consolidation loan is being made; and

“(bb) any other loans described in section 428C(a)(4) that such individual borrower selects for consolidation under this part; or

“(II) be equal to the sum of—

“(aa) the unpaid principal and accrued unpaid interest of the percentage of the joint consolidation loan that, as of the date of application under this paragraph, the married couple (or previously married couple) agrees shall be considered attributable to the loans of the individual borrower for whom such separate consolidation loan is being made; and

“(bb) any other loans described in section 428C(a)(4) that such individual borrower selects for consolidation under this part;

“(ii) the proceeds of which shall be paid by the Secretary to the holder or holders—

“(I) of the joint consolidation loan for the purpose of discharging the liability on the percentage of such joint consolidation loan described in subclause (I)(aa) or (II)(aa) of clause (i); and

“(II) of the loans selected for consolidation under subclause (I)(bb) or subclause (II)(bb) of clause (i) for the purpose of discharging the liability on such loans;

“(iii) except as otherwise provided in this paragraph, that has the same terms and conditions, and rate of interest as the joint consolidation loan;

“(iv) for which any payment made under section 455(m)(1)(A) on the joint consolidation loan during a period in which the individual borrower for whom such separate consolidation loan is being made was employed in a public service job described in section 455(m)(1)(B) shall be treated as if such payment were made on such separate consolidation loan; and

“(v) for which any payment made under an income contingent repayment plan or an income-based repayment plan described in subparagraph (D) or (E) of section 455(d)(1), respectively, on the joint consolidation loan shall be treated as if such payment were made on such separate consolidation loan.

“(B) APPLICATION FOR SEPARATE DIRECT CONSOLIDATION LOAN.—

“(i) JOINT APPLICATION.—Except as provided in clause (ii), to receive separate consolidation loans under subparagraph (A), both individual borrowers in a married couple (or previously married couple) shall jointly apply under subparagraph (A).

“(ii) SEPARATE APPLICATION.—An individual borrower in a married couple (or previously married couple) may apply for a separate consolidation loan under subparagraph (A) separately and without regard to whether or when the other individual borrower in the married couple (or previously married couple) applies under subparagraph (A), in a case in which—

“(I) the individual borrower has experienced from the other individual borrower—

“(aa) domestic violence (as defined in section 40002(a) of the Violence Against Women Act of 1994 (34 U.S.C. 12291(a))); or

“(bb) economic abuse (including behaviors that control such borrower’s ability to acquire, use, and maintain access to money, credit, or the joint financial obligations of both borrowers);

“(II) the individual borrower certifies, on a form approved by the Secretary, that such borrower is unable to reasonably reach or access the loan information of the other individual borrower; or

“(III) the Secretary determines that authorizing each individual borrower to apply separately under subparagraph (A) would be in the best fiscal interests of the Federal Government.

“(C) BORROWER ELIGIBILITY.—Notwithstanding section 428C(a)(3)(A), the Secretary shall award a consolidation loan under this part to each borrower who—

“(i) applies for such loan under subparagraph (A); and

“(ii) meets the requirements of subparagraphs (A) and (B).”.

SEC. 4063. Amendments to terms and conditions of borrower defenses.

Section 455(h) of the Higher Education Act of 1965 is amended to read as follows:

“(h) Borrower defenses.—

“(1) IN GENERAL.—Notwithstanding any other provision of State or Federal law, a defense to repayment of a loan under this title includes—

“(A) a substantial misrepresentation under section 487(c)(3);

“(B) an act or omission that would give rise to a cause of action against the school under applicable State law; or

“(C) such further acts or omissions that the Secretary determines appropriate.

“(2) PROCEDURES.—

“(A) IN GENERAL.—The Secretary shall, with respect to a borrower defense under this subsection—

“(i) determine the entitlement of a borrower to relief based on all evidence available to the Department; and

“(ii) provide an expeditious and fair process to consider applications provided by individuals, groups, and representatives on behalf of groups.

“(B) INDEPENDENT DETERMINATION.—A determination under subparagraph (A)(i) shall be independent of any action that the Department may take to recoup from the school related to the borrower defense.

“(C) CANCELLATION OF DEBT.—If the Secretary determines under subparagraph (A)(i) that a borrower is entitled to relief, the Secretary shall cancel all outstanding debt, and return any payments made on the loans of such borrower.

“(3) REGULATIONS.—The Secretary shall specify in regulations which acts or omissions of an institution of higher education a borrower may assert as a defense to repayment of a loan made under this part, except that in no event may a borrower recover from the Secretary, in any action arising from or relating to a loan made under this part, an amount in excess of the amount such borrower has repaid on such loan.”.

SEC. 4064. Amendments to terms and conditions of Public Service Loan Forgiveness.

Section 455(m) of the Higher Education Act of 1965 (20 U.S.C. 1087e(m)) is amended—

(1) by redesignating paragraphs (3) and (4) as paragraphs (4) and (5), respectively; and

(2) by inserting after paragraph (2) the following:

“(3) SPECIAL RULES FOR SECTION 460A LOANS.—

“(A) REFINANCED FEDERAL DIRECT LOANS.—Notwithstanding paragraph (1), in determining the number of monthly payments that meet the requirements of such paragraph for an eligible Federal Direct Loan refinanced under section 460A that was originally a loan under this part, the Secretary shall include all monthly payments made on the original loan that meet the requirements of such paragraph.

“(B) REFINANCED FFEL LOANS.—In the case of an eligible Federal Direct Loan refinanced under section 460A that was originally a loan under part B, only monthly payments made after the date on which the loan was refinanced may be included for purposes of paragraph (1).”;

(3) in paragraph (4)(A) (as redesignated by paragraph (1))—

(A) by inserting “(including any Federal Direct Stafford Loan, Federal Direct PLUS Loan, Federal Direct Unsubsidized Stafford Loan, or Federal Direct Consolidation Loan refinanced under section 460A)” before the period at the end; and

(B) by striking “The term” and inserting the following:

“(i) IN GENERAL.—The term”; and

(C) by adding at the end the following:

“(ii) TREATMENT OF CERTAIN CONSOLIDATION LOAN PAYMENTS.—In a case in which a borrower makes a monthly payment under paragraph (1)(A) on a Federal Direct Consolidation Loan that was used to repay an eligible Federal Direct Loan described in clause (i) for which at least one monthly payment has been made under paragraph (1)(A) prior to the consolidation, the monthly payment on such Federal Direct Consolidation Loan shall be treated as a monthly payment on such eligible Federal Direct Loan.”; and

(4) by amending subparagraph (B) of paragraph (4) (as redesignated by paragraph (1)) to read as follows:

“(B) PUBLIC SERVICE JOB.—The term ‘public service job’ means—

“(i) a full-time job in emergency management, government (excluding time served as a member of Congress), military service, public safety, law enforcement, public health (including nurses, nurse practitioners, nurses in a clinical setting, and full-time professionals engaged in health care practitioner occupations and health care support occupations, as such terms are defined by the Bureau of Labor Statistics), public education, social work in a public child or family service agency, public interest law services (including prosecution or public defense or legal advocacy on behalf of low-income communities at a nonprofit organization), early childhood education (including licensed or regulated childcare, Head Start, and State funded prekindergarten), public service for individuals with disabilities, public service for the elderly, public library sciences, school-based library sciences and other school-based services, or at an organization that is described in section 501(c)(3) of the Internal Revenue Code of 1986 and exempt from taxation under section 501(a) of such Code;

“(ii) teaching as a full-time faculty member at a Tribal College or University as defined in section 316(b) and other faculty teaching in high-needs subject areas or areas of shortage (including nurse faculty, foreign language faculty, and part-time faculty at community colleges), as determined by the Secretary;

“(iii) a full-time job as an employee or manager of a farm or ranch that, with respect to a fiscal year, has earnings of gross revenue during such year from the sale of agricultural products equal to or greater than—

“(I) in the case of 2017, $35,000; or

“(II) in the case of any succeeding year, the amount applicable under this subparagraph for the previous year, increased by the estimated percentage change in the Consumer Price Index for the most recent year preceding such year;

“(iv) a full-time job with a veterans or military service organization as described in paragraph (19) or (23) of section 501(c) of the Internal Revenue Code; or

“(v) any health care practitioner who, as a result of State law, cannot be directly employed by a hospital or other health care facility for the provision of professional medical services, but who works in a public service job at that hospital or other health care facility by virtue of being granted professional privileges or pursuant to a written arrangement for the provision of professional services.”.

SEC. 4065. Federal Direct Perkins Loans terms and conditions.

Part D of title IV of the Higher Education Act of 1965 (20 U.S.C. 1087a et seq.) is amended by inserting after section 455 the following new section:

“SEC. 455A. Federal Direct Perkins Loans.

“(a) Designation of loans.—Loans made to borrowers under this section shall be known as ‘Federal Direct Perkins Loans’.

“(b) In general.—It is the purpose of this section to authorize loans to be awarded by institutions of higher education through agreements established under section 463(f). Unless otherwise specified in this section, all terms and conditions and other requirements applicable to Federal Direct Unsubsidized Stafford loans established under section 455(a)(2)(D) shall apply to loans made pursuant to this section.

“(c) Eligible borrowers.—Any student meeting the requirements for student eligibility under section 464(b) (including graduate and professional students as defined in regulations promulgated by the Secretary) shall be eligible to borrow a Federal Direct Perkins Loan, provided the student attends an eligible institution with an agreement with the Secretary under section 463(f), and the institution uses its authority under that agreement to award the student a loan.

“(d) Loan limits.—The annual and aggregate limits for loans under this section shall be the same as those established under section 464, and aggregate limits shall include loans made by institutions under agreements under section 463(a).

“(e) Applicable rates of interest.—Loans made pursuant to this section shall bear interest, on the unpaid balance of the loan, at the rate of 5 percent per year.”.

SEC. 4066. Requiring a common manual for servicers.

Section 456 of the Higher Education Act of 1965 (20 U.S.C. 1092) is amended by adding at the end the following:

“(c) Common manual.—The Secretary shall create a manual of common procedures and policies for entities with which the Secretary enters into contracts for origination, servicing, and collection of Federal student loans as described in subsection (b), to standardize procedures to ensure borrowers are well-served.”.

SEC. 4067. Refinancing FFEL and Federal Direct Loans.

Part D of title IV of the Higher Education Act of 1965 (20 U.S.C. 1087a et seq.) is amended by adding at the end the following:

“SEC. 460A. Refinancing FFEL and Federal Direct Loans.

“(a) In general.—Beginning not later than 180 days after the date of enactment of the Aim Higher Act, the Secretary shall establish a program under which the Secretary, upon the receipt of an application from a qualified borrower, makes a loan under this part, in accordance with the provisions of this section, in order to permit the borrower to obtain the interest rate provided under subsection (c).

“(b) Refinancing direct loans.—

“(1) FEDERAL DIRECT LOANS.—Upon application of a qualified borrower, the Secretary shall repay a Federal Direct Stafford Loan, a Federal Direct Unsubsidized Stafford Loan, a Federal Direct PLUS Loan, or a Federal Direct Consolidation Loan of the qualified borrower, for which the first disbursement was made, or the application for the consolidation loan was received, before July 1, 2019, with the proceeds of a refinanced Federal Direct Stafford Loan, a Federal Direct Unsubsidized Stafford Loan, a Federal Direct PLUS Loan, or a Federal Direct Consolidation Loan, respectively, issued to the borrower in an amount equal to the sum of the unpaid principal, accrued unpaid interest, and late charges of the original loan.

“(2) REFINANCING FFEL PROGRAM LOANS AS REFINANCED FEDERAL DIRECT LOANS.—Upon application of a qualified borrower for any loan that was made, insured, or guaranteed under part B and for which the first disbursement was made, or the application for the consolidation loan was received, before July 1, 2010, the Secretary shall make a loan under this part, in an amount equal to the sum of the unpaid principal, accrued unpaid interest, and late charges of the original loan to the borrower in accordance with the following:

“(A) The Secretary shall pay the proceeds of such loan to the eligible lender of the loan made, insured, or guaranteed under part B, in order to discharge the borrower from any remaining obligation to the lender with respect to the original loan.

“(B) A loan made under this section that was originally—

“(i) a loan originally made, insured, or guaranteed under section 428 shall be a Federal Direct Stafford Loan;

“(ii) a loan originally made, insured, or guaranteed under section 428B shall be a Federal Direct PLUS Loan;

“(iii) a loan originally made, insured, or guaranteed under section 428H shall be a Federal Direct Unsubsidized Stafford Loan; and

“(iv) a loan originally made, insured, or guaranteed under section 428C shall be a Federal Direct Consolidation Loan.

“(C) The interest rate for each loan made by the Secretary under this paragraph shall be the rate provided under subsection (c).

“(c) Interest rates.—

“(1) IN GENERAL.—The interest rate for the refinanced Federal Direct Stafford Loans, Federal Direct Unsubsidized Stafford Loans, Federal Direct PLUS Loans, and Federal Direct Consolidation Loans, shall be a rate equal to—

“(A) in any case where the original loan was a loan under section 428 or 428H, a Federal Direct Stafford loan, or a Federal Direct Unsubsidized Stafford Loan, that was issued to an undergraduate student, a rate equal to the rate for Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford Loans issued to undergraduate students for the 12-month period beginning on July 1, 2017, and ending on June 30, 2018;

“(B) in any case where the original loan was a loan under section 428 or 428H, a Federal Direct Stafford Loan, or a Federal Direct Unsubsidized Stafford Loan, that was issued to a graduate or professional student, a rate equal to the rate for Federal Direct Unsubsidized Stafford Loans issued to graduate or professional students for the 12-month period beginning on July 1, 2017, and ending on June 30, 2018;

“(C) in any case where the original loan was a loan under section 428B or a Federal Direct PLUS Loan, a rate equal to the rate for Federal Direct PLUS Loans for the 12-month period beginning on July 1, 2017, and ending on June 30, 2018; and

“(D) in any case where the original loan was a loan under section 428C or a Federal Direct Consolidation Loan, a rate calculated in accordance with paragraph (2).

“(2) INTEREST RATES FOR CONSOLIDATION LOANS.—

“(A) METHOD OF CALCULATION.—In order to determine the interest rate for any refinanced Federal Direct Consolidation Loan under paragraph (1)(D), the Secretary shall—

“(i) determine each of the component loans that were originally consolidated in the loan under section 428C or the Federal Direct Consolidation Loan, and calculate the proportion of the unpaid principal balance of the loan under section 428C or the Federal Direct Consolidation Loan that each component loan represents;

“(ii) use the proportions determined in accordance with clause (i) and the interest rate applicable for each component loan, as determined under subparagraph (B), to calculate the weighted average of the interest rates on the loans consolidated into the loan under section 428C or the Federal Direct Consolidation Loan; and

“(iii) apply the weighted average calculated under clause (ii) as the interest rate for the refinanced Federal Direct Consolidation Loan.

“(B) INTEREST RATES FOR COMPONENT LOANS.—The interest rates for the component loans of a loan made under section 428C or a Federal Direct Consolidation Loan shall be the following:

“(i) The interest rate for any loan under section 428 or 428H, Federal Direct Stafford Loan, or Federal Direct Unsubsidized Stafford Loan issued to an undergraduate student shall be a rate equal to the lesser of—

“(I) the rate for Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford Loans issued to undergraduate students for the 12-month period beginning on July 1, 2017, and ending on June 30, 2018; or

“(II) the original interest rate of the component loan.

“(ii) The interest rate for any loan under section 428 or 428H, Federal Direct Stafford Loan, or Federal Direct Unsubsidized Stafford Loan issued to a graduate or professional student shall be a rate equal to the lesser of—

“(I) the rate for Federal Direct Unsubsidized Stafford Loans issued to graduate or professional students for the 12-month period beginning on July 1, 2017, and ending on June 30, 2018; or

“(II) the original interest rate of the component loan.

“(iii) The interest rate for any loan under section 428B or Federal Direct PLUS Loan shall be a rate equal to the lesser of—

“(I) the rate for Federal Direct PLUS Loans for the 12-month period beginning on July 1, 2017, and ending on June 30, 2018; or

“(II) the original interest rate of the component loan.

“(iv) The interest rate for any component loan that is a loan under section 428C or a Federal Direct Consolidation Loan shall be the weighted average of the interest rates that would apply under this subparagraph for each loan comprising the component consolidation loan.

“(v) The interest rate for any eligible loan that is a component of a loan made under section 428C or a Federal Direct Consolidation Loan and is not described in clauses (i) through (iv) shall be the interest rate on the original component loan.

“(3) FIXED RATE.—The applicable rate of interest determined under paragraph (1) for a refinanced loan under this section shall be fixed for the period of the loan.

“(d) Terms and conditions of loans.—

“(1) IN GENERAL.—A loan that is refinanced under this section shall have the same terms and conditions as the original loan, except as otherwise provided in this section.

“(2) NO AUTOMATIC EXTENSION OF REPAYMENT PERIOD.—Refinancing a loan under this section shall not result in the extension of the duration of the repayment period of the loan, and the borrower shall retain the same repayment term that was in effect on the original loan. Nothing in this paragraph shall be construed to prevent a borrower from electing a different repayment plan at any time in accordance with section 455(d)(4).

“(e) Definition of qualified borrower.—

“(1) IN GENERAL.—For purposes of this section, the term ‘qualified borrower’ means a borrower—

“(A) of a loan under this part or part B for which the first disbursement was made, or the application for a consolidation loan was received, before July 1, 2018; and

“(B) who meets the eligibility requirements based on income or debt-to-income ratio established by the Secretary.

“(2) INCOME REQUIREMENTS.—Not later than 180 days after the date of enactment of the Aim Higher Act, the Secretary shall establish eligibility requirements based on income or debt-to-income ratio that take into consideration providing access to refinancing under this section for borrowers with the greatest financial need.

“(f) Notification to borrowers.—The Secretary, in coordination with the Director of the Bureau of Consumer Financial Protection, shall undertake a campaign to alert borrowers of loans that are eligible for refinancing under this section that the borrowers are eligible to apply for such refinancing. The campaign shall include the following activities:

“(1) Developing consumer information materials about the availability of Federal student loan refinancing.

“(2) Requiring servicers of loans under this part or part B to provide such consumer information to borrowers in a manner determined appropriate by the Secretary, in consultation with the Director of the Bureau of Consumer Financial Protection.”.

SEC. 4068. Refinancing private student loans.

Part D of title IV of the Higher Education Act of 1965 (20 U.S.C. 1087a et seq.) is amended by adding at the end the following:

“SEC. 460B. Federal direct refinanced private loan program.

“(a) Definitions.—In this section:

“(1) ELIGIBLE PRIVATE EDUCATION LOAN.—The term ‘eligible private education loan’ means a private education loan, as defined in section 140(a) of the Truth in Lending Act (15 U.S.C. 1650(a)), that—

“(A) was disbursed to the borrower before July 1, 2019; and

“(B) was for the borrower’s own postsecondary educational expenses for an eligible program at an institution of higher education participating in the loan program under this part, as of the date that the loan was disbursed.

“(2) FEDERAL DIRECT REFINANCED PRIVATE LOAN.—The term ‘Federal Direct Refinanced Private Loan’ means a loan issued under subsection (b)(1).

“(3) PRIVATE EDUCATIONAL LENDER.—The term ‘private educational lender’ has the meaning given the term in section 140(a) of the Truth in Lending Act (15 U.S.C. 1650(a)).

“(4) QUALIFIED BORROWER.—The term ‘qualified borrower’ means an individual who—

“(A) has an eligible private education loan;

“(B) has been current on payments on the eligible private education loan for the 6 months prior to the date of the qualified borrower’s application for refinancing under this section, and is in good standing on the loan at the time of such application;

“(C) is not in default on the eligible private education loan or on any loan made, insured, or guaranteed under this part or part B or E; and

“(D) meets the eligibility requirements described in subsection (b)(2).

“(b) Program authorized.—

“(1) IN GENERAL.—The Secretary, in consultation with the Secretary of the Treasury, shall carry out a program under which the Secretary, upon application by a qualified borrower who has an eligible private education loan, shall issue such borrower a loan under this part in accordance with the following:

“(A) The loan issued under this program shall be in an amount equal to the sum of the unpaid principal, accrued unpaid interest, and late charges of the private education loan.

“(B) The Secretary shall pay the proceeds of the loan issued under this program to the private educational lender of the private education loan, in order to discharge the qualified borrower from any remaining obligation to the lender with respect to the original loan.

“(C) The Secretary shall require that the qualified borrower undergo loan counseling that provides all of the information and counseling required under clause (i) and clauses (iv) through (xiv) of section 485(b)(1)(A) (as amended by the Aim Higher Act) before the loan is refinanced in accordance with this section, and before the proceeds of such loan are paid to the private educational lender.

“(D) The Secretary shall issue the loan as a Federal Direct Refinanced Private Loan, which shall have the same terms, conditions, and benefits as a Federal Direct Unsubsidized Stafford Loan, except as otherwise provided in this section.

“(2) BORROWER ELIGIBILITY.—Not later than 180 days after the date of enactment of the Aim Higher Act, the Secretary, in consultation with the Secretary of the Treasury and the Director of the Bureau of Consumer Financial Protection, shall establish eligibility requirements—

“(A) based on income or debt-to-income ratio that take into consideration providing access to refinancing under this section for borrowers with the greatest financial need;

“(B) to ensure eligibility only for borrowers in good standing;

“(C) to minimize inequities between Federal Direct Refinanced Private Loans and other Federal student loans;

“(D) to preclude windfall profits for private educational lenders; and

“(E) to ensure full access to the program authorized in this subsection for borrowers with private loans who otherwise meet the criteria established in accordance with subparagraphs (A) and (B).

“(c) Interest rate.—

“(1) IN GENERAL.—The interest rate for a Federal Direct Refinanced Private Loan is—

“(A) in the case of a Federal Direct Refinanced Private Loan for a private education loan originally issued for undergraduate postsecondary educational expenses, a rate equal to the rate for Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford Loans issued to undergraduate students for the 12-month period beginning on July 1, 2017, and ending on June 30, 2018; and

“(B) in the case of a Federal Direct Refinanced Private Loan for a private education loan originally issued for graduate or professional degree postsecondary educational expenses, a rate equal to the rate for Federal Direct Unsubsidized Stafford Loans issued to graduate or professional students for the 12-month period beginning on July 1, 2017, and ending on June 30, 2018.

“(2) COMBINED UNDERGRADUATE AND GRADUATE STUDY LOANS.—If a Federal Direct Refinanced Private Loan is for a private education loan originally issued for both undergraduate and graduate or professional postsecondary educational expenses, the interest rate shall be a rate equal to the rate for Federal Direct PLUS Loans for the 12-month period beginning on July 1, 2017, and ending on June 30, 2018.

“(3) FIXED RATE.—The applicable rate of interest determined under this subsection for a Federal Direct Refinanced Private Loan shall be fixed for the period of the loan.

“(d) No inclusion in aggregate limits.—The amount of a Federal Direct Refinanced Private Loan, or a Federal Direct Consolidated Loan to the extent such loan was used to repay a Federal Direct Refinanced Private Loan, shall not be included in calculating a borrower’s annual or aggregate loan limits under section 428 or 428H.

“(e) No eligibility for service-Related repayment.—Notwithstanding sections 428K(a)(2)(A), 428L(b)(2), 455(m)(4)(A), and 460(b), a Federal Direct Refinanced Private Loan, or any Federal Direct Consolidation Loan to the extent such loan was used to repay a Federal Direct Refinanced Private Loan, shall not be eligible for any loan repayment or loan forgiveness program under section 428K, 428L, or 460 or for the repayment plan for public service employees under section 455(m).

“(f) Private educational lender reporting requirement.—

“(1) REPORTING REQUIRED.—Not later than 180 days after the date of enactment of the Aim Higher Act, the Secretary, in consultation with the Secretary of the Treasury and the Director of the Bureau of Consumer Financial Protection, shall establish a requirement that private educational lenders report the data described in paragraph (2) to the Secretary, to Congress, to the Secretary of the Treasury, and to the Director of the Bureau of Consumer Financial Protection, in order to allow for an assessment of the private education loan market.

“(2) CONTENTS OF REPORTING.—The data that private educational lenders shall report in accordance with paragraph (1) shall include each of the following about private education loans (as defined in section 140(a) of the Truth in Lending Act (15 U.S.C. 1650(a))):

“(A) The total amount of private education loan debt the lender holds.

“(B) The total number of private education loan borrowers the lender serves.

“(C) The average interest rate on the outstanding private education loan debt held by the lender.

“(D) The proportion of private education loan borrowers who are in default on a loan held by the lender.

“(E) The proportion of the outstanding private education loan volume held by the lender that is in default.

“(F) The proportions of outstanding private education loan borrowers who are 30, 60, and 90 days delinquent.

“(G) The proportions of outstanding private education loan volume that is 30, 60, and 90 days delinquent.

“(g) Notification to borrowers.—The Secretary, in coordination with the Secretary of the Treasury and the Director of the Bureau of Consumer Financial Protection, shall undertake a campaign to alert borrowers about the availability of private student loan refinancing under this section.”.

PART E

SEC. 4071. Authorization of appropriations for Perkins loan.

Section 461 of the Higher Education Act of 1965 (20 U.S.C. 1087aa) is amended—

(1) in subsection (b)—

(A) by striking “(1) In general.—”;

(B) by redesignating subparagraphs (A), (B), and (C) as paragraphs (1), (2), and (3), respectively; and

(C) by striking paragraphs (2) and (3); and

(2) by striking subsection (c).

SEC. 4072. Allocation of funds for Perkins loan.

Section 462 of the Higher Education Act of 1965 (20 U.S.C. 1087bb) is amended—

(1) in subsection (a)(1), by striking “From” and inserting “For any fiscal year before fiscal year 2019, from”; and

(2) in subsection (i)(1), by striking “for any fiscal year,” and inserting “for any fiscal year before fiscal year 2019,”.

SEC. 4073. Federal Direct Perkins loan allocation.

Part E of title IV of the Higher Education Act of 1965 (20 U.S.C. 1087aa et seq.) is amended by inserting after section 462 the following:

“SEC. 462A. Federal Direct Perkins loan allocation.

“(a) Purposes.—The purposes of this section are—

“(1) to allocate, among eligible and participating institutions (as such terms are defined in this section), the authority to make Federal Direct Perkins Loans under section 455A with a portion of the annual loan authority described in subsection (b); and

“(2) to make funds available, in accordance with section 452, to each participating institution from a portion of the annual loan authority described in subsection (b), in an amount not to exceed the sum of an institution’s allocation of funds under subparagraphs (A), (B), and (C) of subsection (b)(1) to enable each such institution to make Federal Direct Perkins Loans to eligible students at the institution.

“(b) Available Direct Perkins annual loan authority.—

“(1) AVAILABILITY AND ALLOCATIONS.—There are hereby made available, from funds made available for loans made under part D, not to exceed $6,000,000,000 of annual loan authority for award year 2019–2020 and each succeeding award year, to be allocated as follows (except as provided in paragraphs (3) and (4)):

“(A) The Secretary shall allocate ½ of such funds for each award year by allocating to each participating institution an amount equal to the adjusted self-help need amount of the institution, as determined in accordance with subsection (c) for such award year.

“(B) The Secretary shall allocate 1⁄4 of such funds for each award year by allocating to each participating institution an amount equal to the low tuition incentive amount of the institution, as determined in accordance with subsection (d).

“(C) The Secretary shall allocate 1⁄4 of such funds for each award year by allocating to each participating institution an amount which bears the same ratio to the funds allocated under this subparagraph as the ratio determined in accordance with subsection (e) for the calculation of the Federal Pell Grant and degree recipient amount of the institution.

“(2) NO FUNDS TO NON-PARTICIPATING INSTITUTIONS.—The Secretary shall not make funds available under this subsection to any eligible institution that is not a participating institution. The adjusted self-help need amount (determined in accordance with subsection (c)) of an eligible institution that is not a participating institution shall not be made available to any other institution.

“(3) REQUIRED MINIMUM AMOUNT.—Notwithstanding paragraph (1), in no case shall the sum of a participating institution’s allocation of loan authority computed under subsections (c), (d), and (e) be less than the average of the institution’s total principal amount of loans made under this part for each of the academic years 2011–2012 through 2015–2016.

“(4) ADDITIONAL ADJUSTMENTS.—If the Secretary determines that the sum of a participating institution’s allocation of loan authority under subsections (c), (d), and (e) is below the minimum amount required under paragraph (3), the Secretary shall—

“(A) for each institution for which the minimum amount under paragraph (3) is not satisfied, increase the amount of such sum to the amount of the required minimum under such paragraph; and

“(B) ratably reduce the amount of the sum of such loan authority of all participating institutions not described in subparagraph (A).

“(c) Adjusted self-Help need amount.—For the purposes of subsection (b)(1)(A), the Secretary shall calculate the adjusted self-help need amount of each eligible institution for an award year as follows:

“(1) USE OF BASE SELF-HELP NEED AMOUNTS.—

“(A) IN GENERAL.—Except as provided in paragraphs (2), (3), and (4), the adjusted self-help need amount of each eligible institution shall be the institution’s base self-help need amount, which is the sum of—

“(i) the self-help need of the institution’s eligible undergraduate students for such award year; and

“(ii) the self-help need of the institution’s eligible graduate and professional students for such award year.

“(B) UNDERGRADUATE STUDENT SELF-HELP NEED.—To determine the self-help need of an institution’s eligible undergraduate students, the Secretary shall determine the sum of each eligible undergraduate student’s average cost of attendance for the second preceding award year less each such student’s expected family contribution (computed in accordance with part F) for the second preceding award year, except that, for each such eligible undergraduate student, the amount computed by such subtraction shall not be less than zero or more than the lesser of—

“(i) 25 percent of the average cost of attendance with respect to such eligible student; or

“(ii) $5,500.

“(C) GRADUATE AND PROFESSIONAL STUDENT SELF-HELP NEED.—To determine the self-help need of an institution’s eligible graduate and professional students, the Secretary shall determine the sum of each eligible graduate and professional student’s average cost of attendance for the second preceding award year less each such student’s expected family contribution (computed in accordance with part F) for such second preceding award year, except that, for each such eligible graduate and professional student, the amount computed by such subtraction shall not be—

“(i) less than zero; and

“(ii) more than $8,000.

“(2) RATABLE REDUCTION ADJUSTMENTS.—If the sum of the base self-help need amounts of all eligible institutions for an award year as determined under paragraph (1) exceeds ½ of the annual loan authority under subsection (b) for such award year, the Secretary shall ratably reduce the base self-help need amounts of all eligible institutions until the sum of such amounts is equal to the amount that is ½ of the annual loan authority under subsection (b).

“(d) Low tuition incentive amount.—

“(1) IN GENERAL.—For purposes of subsection (b)(1)(B), the Secretary shall determine the low tuition incentive amount for each participating institution for each award year, by calculating for each such institution the sum of—

“(A) the total amount, if any (but not less than zero), by which—

“(i) the average tuition and required fees for the institution’s sector for the second preceding award year; exceeds

“(ii) the tuition and required fees for the second preceding award year for each undergraduate and graduate student attending the institution who had financial need (as determined under part F); plus

“(B) the total amount, if any (but not less than zero), by which—

“(i) the total amount for the second preceding award year of non-Federal grant aid provided to meet the financial need of all undergraduate students attending the institution (as determined without regard to financial aid not received under this title); exceeds

“(ii) the total amount for the second preceding award year, if any, by which—

“(I) the tuition and required fees of each such student with such financial need; exceeds

“(II) the average tuition and required fees for the institution’s sector.

“(2) RATABLE REDUCTION.—If the sum of the low tuition incentive amounts of all participating institutions for an award year as determined under paragraph (1) exceeds 1⁄4 of the annual loan authority under subsection (b) for such award year, the Secretary shall ratably reduce the low tuition incentive amounts of all participating institutions until the sum of such amounts is equal to the amount that is 1⁄4 of the annual loan authority under subsection (b).

“(e) Federal Pell Grant and degree recipient amount.—For purposes of subsection (b)(1)(C), the Secretary shall determine the Federal Pell Grant and degree recipient amount for each participating institution for each award year, by calculating for each such institution the ratio of—

“(1) the number of students who, during the most recent year for which data are available, obtained an associate’s degree or other postsecondary degree from such participating institution and, prior to obtaining such degree, received a Federal Pell Grant for attendance at any institution of higher education; to

“(2) the number of students who, during the most recent year for which data are available, obtained an associate’s degree or other postsecondary degree from each participating institution and, prior to obtaining such degree, received a Federal Pell Grant for attendance at any institution of higher education.

“(f) Definitions.—In this section:

“(1) ANNUAL LOAN AUTHORITY.—The term ‘annual loan authority’ means the total original principal amount of loans that may be allocated and made available for an award year to make Federal Direct Perkins Loans under section 455A.

“(2) AVERAGE COST OF ATTENDANCE.—

“(A) IN GENERAL.—The term ‘average cost of attendance’ means the average of the attendance costs for undergraduate students and for graduate and professional students, respectively, for the second preceding award year which shall include—

“(i) tuition and required fees determined in accordance with subparagraph (B);

“(ii) standard living expenses determined in accordance with subparagraph (C); and

“(iii) books and supplies determined in accordance with subparagraph (D).

“(B) TUITION AND REQUIRED FEES.—The average undergraduate and graduate and professional tuition and required fees described in subparagraph (A)(i) shall be computed on the basis of information reported by the institution to the Secretary, which shall include—

“(i) total revenue received by the institution from undergraduate and graduate and professional students, respectively, for tuition and required fees for the second preceding award year; and

“(ii) the institution’s full-time equivalent enrollment of undergraduate and graduate and professional students, respectively, for such second preceding award year.

“(C) STANDARD LIVING EXPENSES.—The standard living expense described in subparagraph (A)(ii) is equal to the allowance, determined by an institution, for room and board costs incurred by a student, as computed in accordance with part F for the second preceding award year.

“(D) BOOKS AND SUPPLIES.—The allowance for books and supplies described in subparagraph (A)(iii) is equal to the allowance, determined by an institution, for books, supplies, transportation, and miscellaneous personal expenses, including a reasonable allowance for the documented rental or purchase of a personal computer, as computed in accordance with part F for the second preceding award year.

“(3) AVERAGE TUITION AND REQUIRED FEES FOR THE INSTITUTION’S SECTOR.—The term ‘average tuition and required fees for the institution’s sector’ shall be determined by the Secretary for each of the categories described in section 132(d).

“(4) ELIGIBLE INSTITUTION.—The term ‘eligible institution’ means an institution of higher education that participates in the Federal Direct Stafford Loan Program.

“(5) PARTICIPATING INSTITUTION.—The term ‘participating institution’ means an institution of higher education that has an agreement under section 463(f).

“(6) SECTOR.—The term ‘sector’ means each of the categories described in section 132(d).”.

SEC. 4074. Agreements with institutions of higher education for purposes of the Perkins loan program.

(a) Amendments.—Section 463 of the Higher Education Act (20 U.S.C. 1087cc) is amended—

(1) in subsection (a)—

(A) in the heading, by inserting “for Loans Made Before July 1, 2019” after “Agreements”;

(B) in paragraph (3)(A), by inserting “before July 1, 2019” after “students”;

(C) in paragraph (4), by striking “thereon—” and all that follows and inserting “thereon, if the institution has failed to maintain an acceptable collection record with respect to such loan, as determined by the Secretary in accordance with criteria established by regulation, the Secretary may require the institution to assign such note or agreement to the Secretary, without recompense;”; and

(D) in paragraph (5), by striking “and the Secretary shall apportion” and all that follows through “in accordance with section 462” and inserting “and the Secretary shall return a portion of funds from loan repayments to the institution as specified in section 466(b)”;

(2) by amending subsection (b) to read as follows:

“(b) Administrative expenses.—An institution that has entered into an agreement under subsection (a) shall be entitled, for each fiscal year during which it services student loans from a student loan fund established under such agreement, to a payment in lieu of reimbursement for its expenses in servicing student loans made before July 1, 2019. Such payment shall be equal to 0.50 percent of the outstanding principal and interest balance of such loans being serviced by the institution as of September 30 of each fiscal year.”; and

(3) by adding at the end the following:

“(f) Contents of agreements for loans made On or after july 1, 2019.—An agreement with any institution of higher education that elects to participate in the Federal Direct Perkins Loan program under section 455A shall provide—

“(1) for the establishment and maintenance of a Direct Perkins Loan program at the institution under which the institution shall use loan authority allocated under section 462A to make loans to eligible students attending the institution;

“(2) that the institution, unless otherwise specified in this subsection, shall operate the program consistent with the requirements of agreements established under section 454;

“(3) that the institution will pay matching funds, quarterly, in an amount agreed to by the institution and the Secretary, to an escrow account approved by the Secretary, for the purpose of providing loan benefits to borrowers;

“(4) that if the institution fails to meet the requirements of paragraph (3), the Secretary shall suspend or terminate the institution’s eligibility to make Federal Direct Perkins Loans under section 455A until such time as the Secretary determines, in accordance with section 498, that the institution has met the requirements of such paragraph; and

“(5) that if the institution ceases to be eligible to receive Federal loans under this title based on loss of eligibility under section 435(a), as amended, due to a high adjusted cohort default rate, the Secretary shall suspend or terminate the institution’s eligibility to make Federal Direct Perkins Loans under section 455A unless and until the institution would qualify for a resumption of eligible institution status under such section.”.

(b) Effective date.—The amendments made by paragraph (2) of subsection (a) shall take effect on October 1, 2019.

SEC. 4075. Student loan information by eligible institutions for purposes of the Perkins loan program.

Section 463A of the Higher Education Act of 1965 (20 U.S.C. 1087cc–1) is amended—

(1) in subsection (a), by striking “Each institution” and inserting “For loans made before July 1, 2019, each institution”; and

(2) in subsection (b), by striking “Each institution” and inserting “For loans made before July 1, 2019, each institution”.

SEC. 4076. Terms of loans for purposes of the Perkins loan program.

Section 464 of the Higher Education Act of 1965 (20 U.S.C. 1087dd) is amended—

(1) in subsection (a)(1), by striking “section 463” and inserting “section 463(a)”;

(2) in subsection (b)(1), by inserting “made before July 1, 2019,” after “A loan”;

(3) in subsection (c)—

(A) in paragraph (1), by inserting “made before July 1, 2019,” after “a loan”;

(B) in paragraph (2)—

(i) in subparagraph (A), by inserting “made before July 1, 2019,” after “any loan”; and

(ii) in subparagraph (B), by inserting “made before July 1, 2019,” after “any loan”;

(C) in paragraph (3)(B), by inserting “for a loan made before July 1, 2019,” after “during the repayment period”;

(D) in paragraph (4), by inserting “before July 1, 2019,” after “for a loan made”;

(E) in paragraph (5), by striking “The institution” and inserting “For loans made before July 1, 2019, the institution”; and

(F) in paragraph (6), by inserting “made before July 1, 2019,” after “of loans”;

(4) in subsection (d), by inserting “made before July 1, 2019,” before “from the student loan fund”;

(5) in subsection (e), by inserting “with respect to loans made before July 1, 2019, and” before “as documented in accordance with paragraph (2),”;

(6) by repealing subsection (f);

(7) in subsection (g)(1), by inserting “and before July 1, 2019,” after “January 1, 1986,”;

(8) in subsection (h)—

(A) in paragraph (1)(A) by inserting “before July 1, 2019,” after “made under this part”; and

(B) in paragraph (2), by inserting “before July 1, 2019,” after “under this part”; and

(9) in subsection (j)(1), by inserting “before July 1, 2019,” after “under this part”.

SEC. 4077. Reimbursement for cancellation of Perkins loans for certain public service.

Section 465 of the Higher Education Act of 1965 (20 U.S.C. 1087ee) is amended—

(1) in subsection (a), by inserting “and before July 1, 2019,” after “June 30, 1972,”; and

(2) by amending subsection (b) to read as follows:

“(b) Reimbursement for cancellations.—

“(1) ASSIGNED LOANS.—In the case of loans made under this part before July 1, 2019, and that are assigned to the Secretary, the Secretary shall, from amounts repaid each quarter on assigned Perkins Loans made before July 1, 2019, pay to each institution for each quarter an amount equal to—

“(A) the aggregate of the amounts of loans from its student loan fund that are canceled pursuant to this section for such quarter, minus

“(B) an amount equal to the aggregate of the amounts of any such loans so canceled that were made from Federal capital contributions to its student loan fund.

“(2) RETAINED LOANS.—In the case of loans made under this part before July 1, 2019, and that are retained by the institution for servicing, the institution shall deduct from loan repayments owed to the Secretary under section 466, an amount equal to—

“(A) the aggregate of the amounts of loans from its student loan fund that are canceled pursuant to this section for such quarter, minus

“(B) an amount equal to the aggregate of the amounts of any such loans so canceled that were made from Federal capital contributions to its student loan fund.”.

SEC. 4078. Distribution of assets from student loan funds for purposes of the Perkins loan program.

Section 466 of the Higher Education Act of 1965 (20 U.S.C. 1087ff) is amended to read as follows:

“SEC. 466. Distribution of assets from student loan funds.

“(a) Capital distribution.—Beginning July 1, 2019, there shall be a capital distribution of the balance of the student loan fund established under this part by each institution of higher education as follows:

“(1) For the quarter beginning July 1, 2019, the Secretary shall first be paid, no later than September 30, 2019, an amount that bears the same ratio to the cash balance in such fund at the close of June 30, 2019, as the total amount of the Federal capital contributions to such fund by the Secretary under this part bears to—

“(A) the sum of such Federal contributions and the institution’s capital contributions to such fund, less

“(B) an amount equal to—

“(i) the institution’s outstanding administrative costs as calculated under section 463(b);

“(ii) outstanding charges assessed under section 464(c)(1)(H); and

“(iii) outstanding loan cancellation costs incurred under section 465.

“(2) At the end of each quarter subsequent to the quarter ending September 30, 2019, the Secretary shall first be paid an amount that bears the same ratio to the cash balance in such fund at the close of the preceding quarter, as the total amount of the Federal capital contributions to such fund by the Secretary under this part bears to—

“(A) the sum of such Federal contributions and the institution’s capital contributions to such fund, less

“(B) an amount equal to—

“(i) the institution’s administrative costs incurred for that quarter as calculated under section 463(b);

“(ii) charges assessed for that quarter under section 464(c)(1)(H); and

“(iii) loan cancellation costs incurred for that quarter under section 465.

“(3)(A) The Secretary shall calculate the amounts due to the Secretary under paragraph (1) (adjusted in accordance with subparagraph (B), as appropriate) and paragraph (2) and shall promptly inform the institution of such calculated amounts.

“(B) In the event that, prior to the date of enactment of the Student Aid and Fiscal Responsibility Act of 2009, an institution made a short-term, interest-free loan to the institution’s student loan fund established under this part in anticipation of collections or receipt of Federal capital contributions, and the institution demonstrates to the Secretary, on or before June 30, 2019, that such loan will still be outstanding after June 30, 2019, the Secretary shall subtract the amount of such outstanding loan from the cash balance of the institution’s student loan fund that is used to calculate the amount due to the Secretary under paragraph (1). An adjustment of an amount due to the Secretary under this subparagraph shall be made by the Secretary on a case-by-case basis.

“(4) Any remaining balance at the end of a quarter after a payment under paragraph (1) or (2) shall be retained by the institution for use at its discretion. Any balance so retained shall be withdrawn from the student loan fund and shall not be counted in calculating amounts owed to the Secretary for subsequent quarters.

“(5) Each institution shall make the quarterly payments to the Secretary described in paragraph (2) until all outstanding Federal Perkins Loans at that institution have been assigned to the Secretary and there are no funds remaining in the institution’s student loan fund.

“(6) In the event that the institution’s administrative costs, charges, and cancellation costs described in paragraph (2) for a quarter exceed the amount owed to the Secretary under paragraphs (1) and (2) for that quarter, no payment shall be due to the Secretary from the institution for that quarter and the Secretary shall pay the institution, from funds realized from the collection of assigned Federal Perkins Loans made before July 1, 2019, an amount that, when combined with the amount retained by the institution under paragraphs (1) and (2), equals the full amount of such administrative costs, charges, and cancellation costs.

“(b) Assignment of outstanding loans.—Beginning July 1, 2019, an institution of higher education may assign all outstanding loans made under this part before July 1, 2019, to the Secretary, consistent with the requirements of section 463(a)(5). In collecting loans so assigned, the Secretary shall pay an institution an amount that constitutes the same fraction of such collections as the fraction of the cash balance that the institution retains under subsection (a)(2), but determining such fraction without regard to subparagraph (B)(i) of such subsection.”.

PART F

SEC. 4081. Conforming amendment to family contribution.

Section 473(b) of the Higher Education Act of 1965 (20 U.S.C. 1087mm) is amended—

(1) in paragraph (1), by striking “academic year” and inserting “award year”; and

(2) in paragraph (2), by striking “academic year 2009–2010 and succeeding academic years” and inserting “award year 2019–2020 and succeeding award years”.

SEC. 4082. Amendments to data elements when determining the expected family contribution.

Section 474(b) of the Higher Education Act of 1965 (20 U.S.C. 1087nn(b)) is amended in paragraph (4), by inserting before “the net” the following: “only in the case of a pathway three applicant,”.

SEC. 4083. Amendments to family contribution for dependent students.

(a) Dependent students.—Section 475 of the Higher Education Act of 1965 (20 U.S.C. 1087oo) is amended—

(1) in subsection (a)(3), by inserting before “the student” the following: “only in the case of a pathway three applicant,”;

(2) in subsection (b)(1)(B), by inserting before “the parents” the following: “only in the case of a pathway three applicant,”; and

(3) in subsection (b)(3), by striking “award period” and inserting “award year”.

(b) Increasing support for working dependent students.—Section 475(g)(2)(D) of the Higher Education Act of 1965 (20 U.S.C. 1087oo(g)(2)(D)) is amended to read as follows:

“(D) an income protection allowance (or a successor amount prescribed by the Secretary under section 478) of $9,010 for award year 2019–2020;”.

SEC. 4084. Amendments to family contribution for independent students without dependents other than a spouse.

(a) Independent students without dependents other than a spouse.—Section 476(a)(1)(B) of the Higher Education Act of 1965 (20 U.S.C. 1087pp(a)(1)(B)) is amended by inserting before “the family’s contribution” the following: “only in the case of a pathway three applicant,”.

(b) Increasing support for working independent students without dependents other than a spouse.—Section 476 of the Higher Education Act of 1965 (20 U.S.C. 1087pp) is further amended—

(1) in subsection (a)(2), by striking “award period” and inserting “award year”; and

(2) by amending subsection (b)(1)(A)(iv) to read as follows:

“(iv) an income protection allowance (or a successor amount prescribed by the Secretary under section 478)—

“(I) for single or separated students, or married students where both are enrolled pursuant to subsection (a)(2), of $14,010 for award year 2019–2020; and

“(II) for married students where 1 is enrolled pursuant to subsection (a)(2), of $22,460 for award year 2019–2020;”.

SEC. 4085. Amendments to family contribution for independent students with dependents other than a spouse.

(a) Independent students with dependents other than a spouse.—Section 477(a)(1)(B) of the Higher Education Act of 1965 (20 U.S.C. 1087qq(a)(1)(B)) is amended by inserting before “the family’s contribution” the following: “only in the case of a pathway three applicant,”.

(b) Increasing support for working independent students with dependents other than a spouse.—Section 477 of the Higher Education Act of 1965 (20 U.S.C. 1087qq) is amended—

(1) in subsection (a)(3), by striking “award period” and inserting “award year”; and

(2) by amending subsection (b)(4) to read as follows:

“(4) INCOME PROTECTION ALLOWANCE.—The income protection allowance is determined by the following table (or a successor table prescribed by the Secretary under section 478), for award year 2019–2020:

Income Protection Allowance
Family SizeNumber in College
(including student)12345For each additional subtract:
2$35,470$29,410$6,030
344,17038,130$32,070
454,54045,49042,450$36,370
564,36058,28052,24046,190$40,160
675,26069,21063,19057,09051,070
For each
additional
add: 8,500”.

SEC. 4086. Updated tables and amounts to need analysis.

Section 478 of the Higher Education Act of 1965 (20 U.S.C. 1087rr) is amended—

(1) in subsection (b)—

(A) in paragraph (1), by striking subparagraphs (A) and (B) and inserting the following:

“(A) IN GENERAL.—For each award year after award year 2019–2020, the Secretary shall publish in the Federal Register a revised table of income protection allowances for the purpose of sections 475(c)(4) and 477(b)(4), subject to subparagraphs (B) and (C).

“(B) TABLE FOR INDEPENDENT STUDENTS.—For each award year after award year 2019–2020, the Secretary shall develop the revised table of income protection allowances by increasing each of the dollar amounts contained in the table of income protection allowances under section 477(b)(4) by a percentage equal to the estimated percentage increase in the Consumer Price Index (as determined by the Secretary for the most recent calendar year ending prior to the beginning of the award year for which the determination is being made), and rounding the result up to the nearest $10.”; and

(B) in paragraph (2)—

(i) in the first sentence, by striking “academic year after academic year 2007–2008” and inserting “award year after award year 2019–2020”; and

(ii) in the second sentence, by striking “shall be developed” and all that follows through the period at the end and inserting “shall be developed for each award year after award year 2019–2020, by increasing each of the dollar amounts contained in such section for award year 2019–2020 by a percentage equal to the estimated percentage increase in the Consumer Price Index (as determined by the Secretary for the most recent calendar year ending prior to the beginning of the award year for which the determination is being made), and rounding the result up to the nearest $10.”; and

(2) in subsection (e)(1), by striking “academic year” and inserting “award year”.

SEC. 4087. Zero expected family contribution.

Section 479 of the Higher Education Act of 1965 (20 U.S.C. 1087ss) is amended to read as follows:

“SEC. 479. Zero expected family contribution.

“(a) In general.—The Secretary shall consider an applicant to have an expected family contribution equal to zero if—

“(1) in the case of a dependent student—

“(A)(i) the student’s parents file, or are eligible to file, a qualifying form, or certify that the parents are not required to file a Federal income tax return; and

“(ii) the sum of the adjusted gross income of the parents is less than or equal to $34,000; or

“(B) the student’s parents, or the student, received benefits at some time during the previous 24-month period under a means-tested Federal benefit program;

“(2) in the case of an independent student without regard to whether the student has dependents other than a spouse—

“(A)(i) the student (and the student’s spouse, if any) files, or is eligible to file, a qualifying form or certifies that the student (and the student’s spouse, if any) is not required to file a Federal income tax return; and

“(ii) the sum of the adjusted gross income of the student and spouse (if appropriate) is less than or equal to $34,000; or

“(B) the student received benefits at some time during the previous 24-month period under a means-tested Federal benefit program; or

“(3) the applicant is a pathway one applicant under section 483(a)(13).

“(b) Earned income credit.—An individual is not required to qualify or file for the earned income credit in order to be eligible under this section.

“(c) Adjustments.—The Secretary shall annually adjust the income level necessary to qualify an applicant for the zero expected family contribution. The income level shall be annually increased by the estimated percentage change in the Consumer Price Index, as defined in section 478(f), for the most recent calendar year ending prior to the beginning of an award year, and rounded up to the nearest $1,000.

“(d) Definitions.—In this section:

“(1) QUALIFYING FORM.—The term ‘qualifying form’ means, in the case of an independent student, the student, or in the case of a dependent student, the family, files—

“(A) a form 1040A or 1040EZ (including any prepared or electronic version of such form) required pursuant to the Internal Revenue Code of 1986;

“(B) a form 1040 (including any prepared or electronic version of such form) required pursuant to the Internal Revenue Code of 1986, except that such form shall be considered a qualifying form only if the student or family files such form in order to take a tax credit under section 25A of the Internal Revenue Code of 1986, and would otherwise be eligible to file a form described in subparagraph (A); or

“(C) an income tax return (including any prepared or electronic version of such return) required pursuant to the tax code of the Commonwealth of Puerto Rico, Guam, American Samoa, the United States Virgin Islands, the Republic of the Marshall Islands, the Federated States of Micronesia, Palau, or the Commonwealth of the Northern Mariana Islands.

“(2) MEANS-TESTED FEDERAL BENEFIT PROGRAM.—For purposes of this title, a ‘means-tested Federal benefit program’ means a mandatory spending program of the Federal government, other than a program under this title, in which eligibility for the program’s benefits, or the amount of such benefits, are determined on the basis of income or resources of the individual or family seeking the benefit, and may include such programs as—

“(A) the supplemental security income program under title XVI of the Social Security Act (42 U.S.C. 1381 et seq.);

“(B) the supplemental nutrition assistance program under the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.);

“(C) the program of block grants for States for temporary assistance for needy families established under part A of title IV of the Social Security Act (42 U.S.C. 601 et seq.);

“(D) the special supplemental nutrition program for women, infants, and children established by section 17 of the Child Nutrition Act of 1966 (42 U.S.C. 1786);

“(E) the State Medicaid program under title XIX of the Social Security Act (42 U.S.C. 1396 et seq.); and

“(F) any other program identified by the Secretary.”.

SEC. 4088. Amendments to definitions in need analysis.

(a) Using data from the second preceding year.—Section 480(a)(1)(B) of the Higher Education Act of 1965 (20 U.S.C. 1087vv(a)(1)(B)) is amended by striking “may” in both places it appears and inserting “shall”.

(b) Changes to untaxed income and benefits.—Section 480(b) of the Higher Education Act of 1965 (20 U.S.C. 1087vv(b)) is amended—

(1) in paragraph (1), to read as follows:

“(1) The term ‘untaxed income and benefits’ means—

“(A) child support received;

“(B) untaxed portion of pensions; and

“(C) payments to individual retirement accounts and Keogh accounts excluded from income for Federal income tax purposes.”; and

(2) in paragraph (2)—

(A) by striking “or” at the end of subparagraph (E);

(B) by striking the period at the end of subparagraph (F) and inserting a semicolon; and

(C) by adding at the end the following:

“(G) workman’s compensation;

“(H) veterans’ benefits such as death pension, dependency, and indemnity compensation, but excluding veterans’ education benefits as defined in subsection (c);

“(I) interest on tax-free bonds;

“(J) housing, food, and other allowances (excluding rent subsidies for low-income housing) for military, clergy, and others (including cash payments and cash value of benefits), except that the value of on-base military housing or the value of basic allowance for housing determined under section 403(b) of title 37, United States Code, received by the parents, in the case of a dependent student, or the student or student’s spouse, in the case of an independent student, shall be excluded;

“(K) cash support or any money paid on the student’s behalf, except, for dependent students, funds provided by the student’s parents; and

“(L) any other untaxed income and benefits, such as Black Lung Benefits, Refugee Assistance, or Railroad Retirement benefits, or benefits received through participation in employment and training activities under title I of the Workforce Investment Act of 1998 (29 U.S.C. 2801 et seq.).”.

(c) Amendment to the definition of independent student As it relates to foster and homeless youth.—Section 480(d)(1)(H) of the Higher Education Act of 1965 (20 U.S.C. 1087vv(d)(1)(H)) is amended—

(1) in the matter preceding clause (i)—

(A) by striking “during the school year in which the application is submitted”;

(B) by inserting “age 23 or younger” after “unaccompanied youth”; and

(C) by striking “terms are” and inserting “term is”;

(2) in clause (i), by inserting “, or a designee of the liaison” after “Act”;

(3) in clause (ii), by striking “a program funded under the Runaway and Homeless Youth Act” and inserting “an emergency or transitional shelter, street outreach program, homeless youths drop-in center, or other program serving homeless youths,”; and

(4) in clause (iii), by striking “program funded under subtitle B of title IV of the McKinney-Vento Homeless Assistance Act (relating to emergency shelter grants)” and inserting “Federal TRIO program or a Gaining Early Awareness and Readiness for Undergraduate program under chapter 1 or 2 of subpart 2 of part A,”.

(d) Streamlining the determination and verification process for foster and homeless youth.—Section 480(d) of the Higher Education Act of 1965 (20 U.S.C. 1087vv(d)) is further amended by adding at the end the following:

“(3) SIMPLIFYING THE DETERMINATION PROCESS FOR UNACCOMPANIED YOUTH.—

“(A) VERIFICATION.—A financial aid administrator shall accept a homelessness determination made by any individual authorized to make such determinations under clause (i), (ii), or (iii) of paragraph (1)(H) in the absence of conflicting information. A documented phone call with, or a written statement from, one of the authorized individuals is sufficient verification when needed. For purposes of this paragraph, a financial aid administrator’s disagreement with the determination made by an authorized individual shall not be considered conflicting information.

“(B) DETERMINATION OF INDEPENDENCE.—A financial aid administrator shall make a determination of independence under paragraph (1)(H) if a student does not have, and cannot obtain, documentation from any of the other designated authorities described in such paragraph. Such a determination shall be—

“(i) based on the definitions outlined in paragraph (1)(H);

“(ii) distinct from a determination of independence under paragraph (1)(I);

“(iii) based on a documented interview with the student; and

“(iv) limited to whether the student meets the definitions in paragraph (1)(H) and not about the reasons for the student’s homelessness.

“(4) SIMPLIFYING THE VERIFICATION PROCESS FOR FOSTER CHILDREN AND YOUTH.—

“(A) VERIFICATION OF INDEPENDENCE.—If an institution requires documentation to verify that a student is independent based on a status described in paragraph (1)(B), a financial aid administrator shall consider any of the following as adequate verification:

“(i) Submission of a court order or official State documentation that the student received Federal or State support in foster care.

“(ii) A documented phone call with, or a written statement from,—

“(I) a child welfare agency authorized by a State or county;

“(II) a tribal child welfare authority;

“(III) an Independent Living case worker;

“(IV) a public or private foster care placing agency or foster care facility or placement;

“(V) another program serving orphans, foster children and youth, or wards of the court; or

“(VI) a probation officer.

“(iii) A documented phone call with, or a written statement from, an attorney, a guardian ad litem, or a Court Appointed Special Advocate, documenting that person’s relationship to the student.

“(iv) A documented phone call with, or a written statement from, a representative of a Federal TRIO program or a Gaining Early Awareness and Readiness for Undergraduate program under chapter 1 or 2 of subpart 2 of part A.

“(v) Verification of the student’s eligibility for an education and training voucher under the John H. Chafee Foster Care Independence Program (42 U.S.C. 677).

“(vi) Submission of a copy of the student’s biological or adoptive parents’—

“(I) Certificates of Death; or

“(II) newspaper obituaries.

“(vii) An attestation from the student, which includes a description of why the student may qualify for a status described in paragraph (1)(B), including the approximate dates that the student was in foster care, dependent, or a ward of the court, to the best of the student’s knowledge after making reasonable efforts to provide any requested documentation.

“(B) ADDITIONAL STREAMLINING PERMITTED.—Nothing in this paragraph prohibits an institution from implementing polices that streamline the determination of independent status and improve a student’s access to financial aid because that student is an orphan, in foster care, or a ward of the court, or was an orphan, in foster care, or a ward of the court at any time since such student was 13 years of age or older.

“(5) TIMING; USE OF EARLIER DETERMINATION.—

“(A) TIMING.—A determination under subparagraph (B) or (H) of paragraph (1) for a student—

“(i) shall be made as quickly as practicable;

“(ii) may be made as early as the year before the award year for which the student initially submits an application; and

“(iii) shall be made no later than during the award year for which the student initially submits an application.

“(B) USE OF EARLIER DETERMINATION.—Any student who is determined to be independent under subparagraph (B) or (H) of paragraph (1) for a preceding award year at an institution shall be presumed to be independent for a subsequent award year at the same institution unless—

“(i) the student informs the institution that circumstances have changed; or

“(ii) the institution has specific conflicting information about the student’s independence, and has informed the student of this information and the opportunity to challenge such information through a documented interview or an impartial review by the Student Loan Ombudsman pursuant to section 141(f)(3)(C).

“(6) RETENTION OF DOCUMENTS.—A financial aid administrator shall retain all documents related to the determination of independence under subparagraph (B) or (H) of paragraph (1), including documented interviews, for the duration of the student’s enrollment at the institution and for a minimum of 1 year after the student is no longer enrolled at the institution.”.

(e) Excludable income.—Section 480(e) of the Higher Education Act of 1965 (20 U.S.C. 1087vv(e)) is amended by striking paragraph (5) and inserting the following:

“(5) payments made and services provided under part E of title IV of the Social Security Act to or on behalf of any child or youth over whom the State agency has responsibility for placement, care, or supervision, including the value of vouchers for education and training and amounts expended for room and board for youth who are not in foster care but are receiving services under section 477 of such Act; and”.

PART G

SEC. 4091. FAFSA simplification.

Section 483 of the Higher Education Act of 1965 (20 U.S.C. 1090) is amended—

(1) in subsection (a)—

(A) in paragraph (2)—

(i) in subparagraph (A), by striking “process” and all that follows through the end of clause (ii) and inserting “process a paper version of the forms described in this subsection, in accordance with subparagraph (C).”;

(ii) by striking subparagraph (B); and

(iii) by redesignating subparagraph (C) as subparagraph (B);

(B) in paragraph (3)—

(i) in subparagraph (A), by striking the end sentence; and

(ii) by striking subparagraph (B), and redesignating subparagraphs (C) through (H) as subparagraphs (B) through (G), respectively;

(C) in paragraph (4)—

(i) by striking “academic year” each place it appears and inserting “award year”;

(ii) in subparagraph (A), by striking clause (iv); and

(iii) by adding at the end the following:

“(C) SINGLE QUESTION REGARDING HOMELESS STATUS.—The Secretary shall ensure that, on each form developed under this section for which the information is applicable, there is a single, easily understood screening question to identify an applicant for aid who is—

“(i) an unaccompanied homeless child or youth (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act); or

“(ii) an unaccompanied youth who is self-supporting and at risk of homelessness.”;

(D) in paragraph (5)—

(i) in subparagraph (A), by striking “paragraphs (2)(B)(iii), (3)(B), and (4)(A)(ii)” and inserting “paragraph (4)(A)(ii)”;

(ii) in subparagraph (B)—

(I) by striking “determine” and all that follows through “which” and inserting “determine which”; and

(II) by striking clause (ii);

(iii) in subparagraph (C), by striking “the Secretary” and all that follows through “of the” and inserting “the Secretary of the”; and

(iv) by striking subparagraphs (D) through (F), and redesignating subparagraph (G) as subparagraph (D); and

(E) by adding at the end the following:

“(13) FAFSA PATHWAYS.—

“(A) MEMORANDUM OF UNDERSTANDING.—Not later than the effective date of the Aim Higher Act, the Secretary shall seek to enter into a Memorandum of Understanding with the Secretary of Health and Human Services, the Secretary of Agriculture, and the Secretary of the Treasury, under which any information exchanged under an income and eligibility verification system established pursuant to section 1137 of the Social Security Act by State agencies administering a program listed in paragraph (1), (4), or (5) of subsection (b) of such section which may be of use in establishing or verifying eligibility or benefit amounts under such program shall be made available to the Secretary of Education to assist in determining whether the applicant (or the applicant’s parents) received a benefit at some time during the previous 24-month period under a means-tested Federal benefit program, but subject to the requirements of Federal law.

“(B) REQUIREMENT FOR ALL APPLICANTS AND THE SECRETARY.—For any award year for which an applicant applies for financial assistance under this title (except for any award year for which, pursuant to paragraph (14), the applicant is not required to submit a FAFSA)—

“(i) the applicant shall provide on the form described in this subsection whether the applicant received, or in the case of a dependent applicant, whether the parents of the applicant received, a benefit at some time during the previous 24-month period under a means-tested Federal benefit program; and

“(ii) the Secretary, to the extent practicable and pursuant to the Memorandum of Understanding entered into under subparagraph (A), and without any further action by the applicant, shall verify the applicant’s (or the applicant’s parents) receipt of such benefit.

“(C) PATHWAY ONE APPLICANTS.—

“(i) IN GENERAL.—With respect to an applicant who received, or in the case of a dependent applicant, whose parents received, benefits at some time during the previous 24-month period under a means-tested Federal benefit program, the applicant shall not be required to provide any further income or asset information on the form under this subsection.

“(ii) DESIGNATION.—For purposes of this section and part F, an applicant described in clause (i) shall be referred to as a ‘pathway one applicant’.

“(D) PATHWAY TWO APPLICANTS.—

“(i) IN GENERAL.—With respect to an applicant who is not a pathway one applicant and who is not required to file or, in the case of a dependent applicant, no parent of the applicant is required to file, any schedule (other than a schedule R, schedule 8812, or schedule EIC) with a Federal income tax return, the Secretary, to the extent practicable, shall use the data retrieval tool under section 484(q) to obtain any information for the applicant beyond the information described in subparagraph (A) for purposes of the form under this subsection.

“(ii) DESIGNATION.—For purposes of this section and part F, an applicant described in clause (i) shall be referred to as a ‘pathway two applicant’.

“(E) PATHWAY THREE APPLICANTS.—

“(i) IN GENERAL.—With respect to an applicant who is not a pathway one applicant or a pathway two applicant, the Secretary, to the extent practicable, shall use the data retrieval tool under section 484(q) to obtain any information for the applicant beyond the information described in subparagraph (A) for purposes of the form under this subsection.

“(ii) DESIGNATION.—For purposes of this section and part F, an applicant described in clause (i) shall be referred to as a ‘pathway three applicant’.

“(F) MEANS-TESTED FEDERAL BENEFIT PROGRAM DEFINED.—For purposes of this paragraph, the term ‘means-tested Federal benefit program’ has the meaning given the term in section 479(d)(2).

“(14) ONE-TIME FAFSA FILING FOR DEPENDENT STUDENTS.—

“(A) IN GENERAL.—Notwithstanding any other provision of this section and subject to subparagraphs (B) and (C), an applicant who submits a FAFSA for the first time during the period required for the completion of the first undergraduate baccalaureate course of study being pursued by such applicant and is determined to be a dependent student who is eligible to receive a Federal Pell Grant for the award year for which the applicant submitted such FAFSA, for any succeeding award year—

“(i) for which the applicant does not submit a FAFSA and for which the applicant submits a certification form described in subparagraph (D) based upon which the Secretary confirms that the applicant is a dependent student for such year, such applicant—

“(I) shall not be required to submit a FAFSA to receive financial assistance under this title; and

“(II) shall have an expected family contribution for such year that is equal to the expected family contribution of the applicant determined for the award year for which the applicant submitted a FAFSA during such period, except that an adjustment to such expected family contribution may be made under section 479A;

“(ii) for which the applicant submits a FAFSA, such applicant—

“(I) shall have an expected family contribution for such year that is determined based on such FAFSA; and

“(II) shall be required to submit a FAFSA for any other award year for which the applicant seeks financial assistance under this title; and

“(iii) for which the applicant is determined to be an independent student or does not submit a certification form described in subparagraph (D), such applicant shall submit a FAFSA for such succeeding award year and any other award year for which the applicant seeks financial assistance under this title.

“(B) ADJUSTMENT OF EXPECTED FAMILY CONTRIBUTION.—With respect to an applicant described in subparagraph (A)(i) who receives an adjustment under section 479A to the expected family contribution of the applicant for an award year, for any succeeding award year after the award year for which the adjustment was made, subclause (II) of such subparagraph shall be applied to such applicant by substituting ‘expected family contribution of the applicant as most recently adjusted under section 479A for such applicant’ for the ‘expected family contribution of the applicant determined for the award year for which the applicant submitted a FAFSA during such period’.

“(C) RULE FOR CERTAIN STUDENTS.—With respect to an applicant who submits a FAFSA for award year 2019–2020 and enrolls in an institution of higher education for such year, subparagraph (A) shall be applied—

“(i) in the matter preceding clause (i), by substituting ‘award year 2019–2020’ for ‘the first time’; and

“(ii) in clause (i)(II), by substituting ‘award year 2019–2020’ for ‘the award year for which the applicant submitted a FAFSA during such period’.

“(D) DEPENDENT STUDENT CERTIFICATION FORM.—The Secretary, in cooperation with representatives of agencies and organizations involved in student financial assistance, shall use behavioral science insights to produce, distribute, and process free of charge a short and simple consumer-tested dependent student certification form that uses skip logic to bypass fields that are inapplicable to an applicant. Such form shall not require an applicant to provide data that the Secretary may otherwise obtain with respect to the applicant (such as age or active duty military status), and may only contain the data elements required for purposes of subparagraph (A)(i)—

“(i) to confirm that the applicant is a dependent student;

“(ii) to allow the applicant to update the contact information of such applicant or the Federal School Code of the institution of higher education in which the applicant is, or will be enrolled, for the award year for which the applicant submits such form; and

“(iii) to ask whether the applicant’s need and eligibility for financial assistance under this title has not changed substantially since the most recent of the following:

“(I) The applicant submitted a FAFSA.

“(II) The applicant received an adjustment under section 479A to the expected family contribution of the applicant.

“(E) SUCCEEDING AWARD YEAR DEFINED.—In this paragraph, the term ‘succeeding award year’—

“(i) when used with respect to an applicant who submits a FAFSA for the first time for an award year during the period required for the completion of the first undergraduate baccalaureate course of study being pursued by such applicant, means any award year during such period that follows the award year for which the applicant submits such FAFSA; and

“(ii) when used with respect to an applicant described in subparagraph (C), means any award year after award year 2018–2019 during the period required for the completion of the first undergraduate baccalaureate course of study being pursued by such applicant.

“(15) FAFSA IN VARIOUS LANGUAGES.—The Secretary shall—

“(A) translate the form developed under this subsection into not fewer than 11 foreign languages based on the languages most often spoken by English learner students and their parents, and make the translated form available and accessible to applicants in paper and electronic formats; and

“(B) ensure that the form developed under this subsection is available in formats accessible to individuals with disabilities.”.

(2) in subsection (c), by striking the last sentence;

(3) in subsection (d)(3)—

(A) in subparagraph (A), by striking “and EZ FAFSA”; and

(B) in subparagraph (B), by striking “and EZ FAFSA”;

(4) in subsection (e)—

(A) in paragraph (3)—

(i) by striking “or, as appropriate, an EZ FAFSA”; and

(ii) in clause (A)(ii), by striking “section 401(b)(2)(A)” and inserting “section 401(b)(1)”; and

(B) in paragraph (5)(D), by striking “or, as appropriate, an EZ FAFSA,”;

(5) by amending subsection (f) to read as follows:

“(f) Use of internal revenue service data retrieval tool To populate FAFSA.—

“(1) SIMPLIFICATION EFFORTS.—The Secretary shall—

“(A) make every effort to allow applicants to utilize the current data retrieval tool to transfer data available from the Internal Revenue Service to reduce the amount of original data entry by applicants and strengthen the reliability of data used to calculate expected family contributions, including through the use of technology to—

“(i) allow an applicant to automatically populate the electronic version of the forms under this paragraph with data available from the Internal Revenue Service; and

“(ii) direct an applicant to appropriate questions on such forms based on the applicant’s answers to previous questions; and

“(B) allow single taxpayers, married taxpayers filing jointly, and married taxpayers filing separately to utilize the current data retrieval tool to its full capacity.

“(2) USE OF TAX RETURN IN APPLICATION PROCESS.—The Secretary shall continue to examine whether data provided by the Internal Revenue Service can be used to generate an expected family contribution without additional action on the part of the student and taxpayer.

“(3) REPORTS ON FAFSA SIMPLIFICATION EFFORTS.—Not less than once every other year, the Secretary shall report to the authorizing committees and the Committees on Appropriations of the House of Representatives and the Senate on the progress of the simplification efforts under this subsection.”;

(6) by repealing subsection (g);

(7) redesignating subsection (h) as subsection (g); and

(8) by adding at the end the following:

“(h) Data transparency on the number of applicants.—

“(1) IN GENERAL.—The Secretary shall annually publish data on the number of individuals who apply for Federal student aid pursuant to this section who are homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)), including unaccompanied youth, and foster care children and youth.

“(2) CONTENTS.—The data described in paragraph (1) with respect to homeless children and youths shall include, at a minimum, for each application cycle—

“(A) the total number of all applicants who were determined to be (or to be at risk of becoming) unaccompanied homeless youth, under section 480(d)(1)(H);

“(B) the number of applicants described in subparagraph (A), disaggregated—

“(i) by State; and

“(ii) by the sources of determination as described in clauses (i) through (iv) of section 480(d)(1)(H); and

“(C) the number of undetermined requests for homelessness consideration, including statuses that remain unknown because no determination had been made in response to the applicant’s request for the institution to consider the applicant’s special circumstance of being homeless.

“(i) Convictions.—The Secretary shall not include any question about the conviction of an applicant for the possession or sale of illegal drugs on the FAFSA (or any other form developed under subsection (a)).

“(j) FAFSA verification.—

“(1) IN GENERAL.—With respect to applicants who submit a FAFSA for an award year and were eligible to receive a Federal Pell Grant for such award year, the Secretary shall submit to the authorizing committees, and make publicly available, a report for such award year on—

“(A) the percentage of such applicants who received a Federal Pell Grant for such award year;

“(B) the percentage of such applicants who did not receive a Federal Pell Grant for such year;

“(C) the percentage of such applicants who were selected by the Secretary for verification of the data provided in the FAFSA;

“(D) the percentage of applicants described in (1)(C) who received a Federal Pell Grant for such award year; and

“(E) the percentage of applicants described in (1)(C) who did not receive a Federal Pell Grant for such award year.

“(2) DISAGGREGATION.—The data provided in a report under paragraph (1) shall be disaggregated—

“(A) by applicants who were pathway one applicants for such year;

“(B) by applicants who were pathway two applicants for such year;

“(C) by applicants who were pathway three applicants for such year; and

“(D) to the extent practicable, by applicants who enrolled in an institution of higher education for such award year.

“(k) Secretarial requirements.—

“ Not later than the effective date of this Act, the Secretary of Education, in consultation with the Secretaries of Defense and Veterans Affairs, shall develop and finalize a financial shopping sheet that ensures each institution of higher education provides meaningful information about the financial cost and quality of such institution to students (including students who have authorized the Department of Education to send the student’s Institutional Student Information Record to such institution) to assist such students in determining how to use financial aid to attend such institution, and which—

“(A) is standardized so that it can be used by all institutions of higher education;

“(B) is consumer tested, and presented in a manner that is simple and easily understandable; and

“(C) is personalized for each student who receives such sheet by including—

“(i) the cost of attendance of the educational program in which the student is enrolled or seeks to be enrolled;

“(ii) the type of Federal educational benefits available to assist in covering such cost of attendance, including loans and grants under title IV of the Higher Education Act of 1965;

“(iii) the amount of financial aid, including Federal, State, institutional, or other aid that can be used to assist in covering such cost of attendance;

“(iv) information about student outcomes for students who graduate from such educational program, including, based upon the most recent data available—

“(I) the graduation rate;

“(II) the loan repayment rate; and

“(III) the estimated loan debt upon graduation; and

“(v) any other information that facilitates comparison of aid packages offered by different institutions of higher education.”.

SEC. 4092. Federal aid eligibility.

(a) Federal aid eligibility for dreamer students.—Section 484(a)(5) of the Higher Education Act of 1965 (20 U.S.C. 1091(a)(5)) is amended by inserting “, or be a Dreamer student, as defined in subsection (q)”, as amended by this section, after “becoming a citizen or permanent resident”.

(b) Exception to required registration with selective service system.—

(1) subsection (n) of section 484 of the Higher Education Act of 1965 (20 U.S.C. 1901(n)) is repealed; and

(2) subsections (o) through (q) are redesignated as subsections (n) through (p), respectively.

(c) Definition of dreamer student.—Section 484 of the Higher Education Act of 1965 (20 U.S.C. 1091) is further amended by adding at the end the following:

“(q) Dreamer student.—

“(1) IN GENERAL.—In this section, the term ‘Dreamer student’ means an individual who—

“(A) was younger than 16 years of age on the date on which the individual initially entered the United States;

“(B) has provided a list of each secondary school that the student attended in the United States; and

“(C)(i) has earned a high school diploma, the recognized equivalent of such diploma from a secondary school, or a high school equivalency diploma in the United States or is scheduled to complete the requirements for such a diploma or equivalent before the next academic year begins;

“(ii) has acquired a degree from an institution of higher education or has completed not less than 2 years in a program for a baccalaureate degree or higher degree at an institution of higher education in the United States and has made satisfactory academic progress, as defined in subsection (c), during such time period;

“(iii) at any time was eligible for a grant of deferred action under—

“(I) the June 15, 2012, memorandum from the Secretary of Homeland Security entitled ‘Exercising Prosecutorial Discretion with Respect to Individuals Who Came to the United States as Children’; or

“(II) the November 20, 2014, memorandum from the Secretary of Homeland Security entitled ‘Exercising Prosecutorial Discretion with Respect to Individuals Who Came to the United States as Children and with Respect to Certain Individuals Who Are the Parents of U.S. Citizens or Permanent Residents’; or

“(iv) has served in the uniformed services, as defined in section 101 of title 10, United States Code, for not less than 4 years and, if discharged, received an honorable discharge.

“(2) HARDSHIP EXCEPTION.—The Secretary shall issue regulations that direct when the Department shall waive the requirement of subparagraph (A) or (B), or both, of paragraph (1) for an individual to qualify as a Dreamer student under such paragraph, if the individual—

“(A) demonstrates compelling circumstances for the inability to satisfy the requirement of such subparagraph (A) or (B), or both; and

“(B) satisfies the requirement of paragraph (1)(C).”.

(d) Repeal of suspension of financial aid eligibility for drug-Related offenses.—Subsection (r) of section 484 of the Higher Education Act of 1965 (20 U.S.C. 1091(r)) is repealed.

SEC. 4093. Reinstatement of the 6-year statute of limitations for student loans.

Section 484A(a) of the Higher Education Act of 1965 (20 U.S.C. 1091a(a)) is amended to read as follows:

“(a) Statute of limitations.—Notwithstanding any Federal or State statutory, regulatory, or administrative limitation on the period within which debts may be enforced—

“(1) an institution that receives funds under this title may file a suit or initiate or take another action for collection of a refund due from a student on a grant made, or work assistance awarded, under this title, during the 6-year period beginning on the day after the refund first became due (exclusive of the period during which the State statute of limitations otherwise applicable to a suit under this paragraph would be tolled under State law);

“(2) a guaranty agency that has an agreement with the Secretary under section 428(c) may file a suit or initiate or take another action for collection of the amount due from a borrower on a loan made under part B during the 6-year period beginning on the day after such guaranty agency reimburses the previous holder of the loan for its loss on account of the default of the borrower (exclusive of the period during which the State statute of limitations otherwise applicable to a suit under this paragraph would be tolled under State law);

“(3) an institution that has an agreement with the Secretary pursuant to section 487 may file a suit or initiate or take another action for collection of the amount due from a borrower on a loan made under part D or E after the default of the borrower on such loan during the 6-year period beginning on the day after the date of the default of the borrower with respect to such amount (exclusive of the period during which the State statute of limitations otherwise applicable to a suit under this paragraph would be tolled under State law); or

“(4) the Secretary, the Attorney General, or the administrative head of another Federal agency, as the case may be, may file a suit or initiate or take another action for collection of a refund due from a student on a grant made under this title, or for the repayment of the amount due from a borrower on a loan made under this title that has been assigned to the Secretary under this title, during the 6-year period beginning on the day after the refund or the amount first became due.”.

SEC. 4094. Exit counseling.

(a) Amendments to exit counseling for borrowers.—Section 485(b) of the Higher Education Act of 1965 (20 U.S.C. 1092(b)) is amended—

(1) in paragraph (1)(A)—

(A) in the matter preceding clause (i), striking “through financial aid offices or otherwise” and inserting “through the use of an interactive program, during an exit counseling session that is in-person or online, or through the use of the online counseling tool described in subsection (n)(1)(A)”;

(B) by redesignating clauses (i) through (ix) as clauses (iv) through (xii), respectively;

(C) by inserting before clause (iv), as so redesignated, the following:

“(i) a summary of the outstanding balance of principal and interest due on the loans made to the borrower under part B, D, or E;

“(ii) an explanation of the grace period preceding repayment and the expected date that the borrower will enter repayment;

“(iii) an explanation that the borrower has the option to pay any interest that has accrued while the borrower was in school or that may accrue during the grace period preceding repayment or during an authorized period of deferment or forbearance, prior to the capitalization of the interest;”;

(D) in clause (iv), as so redesignated—

(i) by striking “sample information showing the average” and inserting “information, based on the borrower’s outstanding balance described in clause (i), showing the borrower’s”; and

(ii) by striking “of each plan” and inserting “of at least the fixed repayment plan described in section 493E, the income-based repayment plan under section 493C(f), and any other repayment plan for which each loan may be eligible”;

(E) in clause (ix), as so redesignated—

(i) by inserting “decreased credit score,” after “credit reports,”; and

(ii) by inserting “reduced ability to rent or purchase a home or car, potential difficulty in securing employment,” after “Federal law,”;

(F) in clause (x), as so redesignated, by striking “consolidation loan under section 428C or a”;

(G) in clauses (xi) and (xii), as so redesignated, by striking “and” at the end; and

(H) by adding at the end the following:

“(xiii) for each of the borrower’s loans made under part B, D, or E for which the borrower is receiving counseling under this subsection, the contact information for the loan servicer of the loan and a link to such servicer’s website; and

“(xiv) an explanation that an individual has a right to annually request a disclosure of information collected by a consumer reporting agency pursuant to section 612(a) of the Fair Credit Reporting Act (15 U.S.C. 1681j(a)).”;

(2) in paragraph (1)(B)—

(A) by inserting “online or” before “in writing”; and

(B) by adding before the period at the end the following: “, except that in the case of an institution using the online counseling tool described in subsection (n)(1)(A), the Secretary shall attempt to provide such information to the student in the manner described in subsection (n)(3)(C)”; and

(3) in paragraph (2)(C), by inserting “, such as the online counseling tool described in subsection (n)(1)(A),” after “electronic means”.

(b) Conforming amendment.—Section 485(d)(1) of the Higher Education Act of 1965 (20 U.S.C. 1092(d)(1)) is amended by striking “including income-sensitive” and all that follows through “part D” and inserting “including, beginning on July 1, 2019, the income-based repayment plan under section 493C(f) and the fixed repayment plan described in section 493E”.

SEC. 4095. Clery Act amendments.

(a) Disclosure of campus security policy and campus crime statistics.—Section 485(f) of the Higher Education Act of 1965 (20 U.S.C. 1092(f)) is amended—

(1) in paragraph (1)(F)—

(A) in clause (i), by striking “and” at the end;

(B) in clause (ii), by striking “and” at the end;

(C) in clause (iii), by striking the period at the end and inserting “;”; and

(D) by adding at the end the following:

“(iv) of hazing incidents that were reported to campus security authorities or local police agencies; and

“(v) of harassment incidents that were reported to campus security authorities or local police agencies.”;

(2) in paragraph (6)(A), by adding at the end the following:

“(vi) For purposes of reporting under this subsection, the term ‘hazing’ means any intentional, knowing, or reckless act committed by a student, or a former student, of an institution of higher education, whether individually or in concert with other persons, against another student, that—

“(I) was committed in connection with an initiation into, an affiliation with, or the maintenance of membership in, any organization that is affiliated with such institution of higher education; and

“(II) contributes to a substantial risk of physical injury, mental harm, or personal degradation or causes physical injury, mental harm, or personal degradation.

“(vii) For purposes of reporting under this section, the term ‘harassment’ means conduct, including acts of verbal, nonverbal, or physical aggression, intimidation, or hostility (including conduct that is undertaken in whole or in part, through the use of electronic messaging services, commercial mobile services, electronic communications, or other technology) that—

“(I) is sufficiently severe, persistent, or pervasive so as to limit a student’s ability to participate in or benefit from a program or activity at an institution of higher education, or to create a hostile or abusive educational environment at an institution of higher education; and

“(II) is based on a student’s actual or perceived race, gender, religion, national origin, sexual orientation, gender identity, ethnicity, or disability.

“(viii) The term ‘commercial mobile service’ has the meaning given the term in section 332(d) of the Communications Act of 1934 (47 U.S.C. 332(d)).

“(ix) The term ‘electronic communication’ means any transfer of signs, signals, writing, images, sounds, or data of any nature transmitted in whole or in part by a wire, radio, electromagnetic, photoelectronic, or photooptical system.

“(x) The term ‘electronic messaging services’ has the meaning given the term in section 102 of the Communications Assistance for Law Enforcement Act (47 U.S.C. 1001).”; and

(3) in paragraph (7), by inserting after the second sentence the following: “For hazing incidents, such statistics shall be compiled in accordance with the definition of that term in paragraph (6)(A)(vi). For harassment incidents, such statistics shall be compiled in accordance with the definition of that term in paragraph (6)(A)(vii).”.

(b) Statement of policy regarding harassment.—Section 485(f) of the Higher Education Act of 1965 (20 U.S.C. 1092(f)) is further amended—

(1) by redesignating paragraphs (9) through (18) as paragraphs (10) through (19), respectively; and

(2) by inserting after paragraph (8) the following:

“(9)(A) Each institution of higher education participating in any program under this title, other than a foreign institution of higher education, shall develop and distribute as part of the report described in paragraph (1) a statement of policy regarding harassment, which shall include—

“(i) a prohibition of harassment—

“(I) on campus;

“(II) in or on a noncampus building or property;

“(III) on public property;

“(IV) in dormitories or other residential facilities for students on campus;

“(V) through the use of electronic mail addresses issued by the institution of higher education;

“(VI) through the use of computers and communication networks, including any telecommunications service, owned, operated, or contracted for use by the institution of higher education or its agents; or

“(VII) during an activity sponsored by the institution of higher education or carried out with the use of resources provided by the institution of higher education;

“(ii) a description of the institution’s programs to combat harassment, which shall be aimed at the prevention of harassment;

“(iii) a description of the procedures that a student should follow if an incident of harassment occurs; and

“(iv) a description of the procedures that the institution will follow once an incident of harassment has been reported, including a statement of the standard of evidence that will be used during any institutional conduct proceeding arising from such a report.

“(B) The statement of policy described in subparagraph (A) shall address the following areas:

“(i) Procedures for timely institutional action in cases of alleged harassment, which procedures shall include a clear statement that the accuser and the accused shall be informed of the outcome of any disciplinary proceedings in response to an allegation of harassment.

“(ii) Possible sanctions to be imposed following the final determination of an institutional disciplinary procedure regarding harassment.

“(iii) Notification of existing counseling, mental health, or student services for victims or perpetrators of harassment, both on campus and in the community.

“(iv) Identification of a designated employee or office at the institution that will be responsible for receiving and tracking each report of harassment.”.

SEC. 4096. Online survey tool for campus safety.

Section 485(f) of the Higher Education Act of 1965 (20 U.S.C. 1092) is further amended—

(1) by redesignating paragraphs (18) and (19) as so redesignated as paragraphs (19) and (20), respectively; and

(2) by inserting after paragraph (17) the following:

“(18) ONLINE SURVEY TOOL FOR CAMPUS SAFETY.—

“(A) IN GENERAL.—The Secretary shall, in consultation with the Attorney General and experts in domestic violence, dating violence, sexual assault, and stalking, develop, design, and make available through a secure online portal, a standardized online survey tool regarding student experiences with domestic violence, dating violence, sexual assault, and stalking.

“(B) DEVELOPMENT OF SURVEY TOOL.—In developing the survey tool required under subparagraph (A), the Secretary shall—

“(i) use best practices from peer-reviewed research measuring domestic violence, dating violence, sexual assault, and stalking; and

“(ii) consult with the higher education community and experts in survey research related to domestic violence, dating violence, sexual assault, and stalking regarding the development and design of such survey tool and the methodology for administration of such survey tool.

“(C) ELEMENTS.—

“(i) IN GENERAL.—The survey tool developed pursuant to this paragraph shall be fair and unbiased, scientifically valid and reliable, and meet the highest standards of survey research.

“(ii) SURVEY QUESTIONS.—Survey questions included in the survey tool developed pursuant to this paragraph shall—

“(I) be designed to gather information on student experiences with domestic violence, dating violence, sexual assault, and stalking, including the experiences of victims of such incidents;

“(II) use trauma-informed language to prevent retraumatization; and

“(III) include the following:

“(aa) Questions designed to determine the incidence and prevalence of domestic violence, dating violence, sexual assault, and stalking.

“(bb) Questions regarding whether students know about institutional policies and procedures related to domestic violence, dating violence, sexual assault, and stalking.

“(cc) Questions designed to determine, if victims reported domestic violence, dating violence, sexual assault, or stalking—

“(AA) to whom the incident was reported and what response the victim may have received; and

“(BB) whether the victim was informed of, or referred to, national, State, local, or on-campus resources.

“(dd) Questions regarding contextual factors, such as whether force, incapacitation, or coercion was involved.

“(ee) Questions to determine whether an accused individual was a student at the institution.

“(ff) Questions to determine whether a victim reported an incident to State, local, or campus law enforcement.

“(gg) Questions to determine why the victim chose to report or not report an incident to State, local, or campus law enforcement.

“(hh) Other questions as determined by the Secretary.

“(iii) ADDITIONAL ELEMENTS.—In addition to the standardized questions developed by the Secretary under clause (ii), an institution may request additional information from students that would increase the understanding of the institution of school climate factors unique to their campuses.

“(iv) RESPONSES.—The responses to the survey questions described in clause (ii) shall—

“(I) be submitted confidentially;

“(II) not be included in crime statistics; and

“(III) in the case of such responses being included in a report, shall not include personally identifiable information.

“(D) ADMINISTRATION OF SURVEY.—

“(i) IN GENERAL.—Each institution shall administer the survey tool developed pursuant to this paragraph every 2 years.

“(ii) FEDERAL ADMINISTRATION.—The Secretary, in consultation with the Attorney General, shall develop a mechanism by which institutions of higher education may, with respect to the survey tool developed pursuant to this paragraph—

“(I) administer such survey tool; and

“(II) modify such survey tool to include additional elements or requirements, as determined by the institution.

“(iii) COSTS.—The Secretary may not require an institution of higher education to pay to modify the survey tool in accordance with clause (ii)(II).

“(E) COMPLETED SURVEYS.—The Secretary shall require each institution participating in any program under this title to ensure that an adequate, random, and representative sample size of students (as determined by the Secretary) enrolled at the institution complete the survey tool developed pursuant to this paragraph beginning not later than 1 year after the date of enactment of the Aim Higher Act.

“(F) REPORT.—Beginning not later than 2 years after the date of enactment of the Aim Higher Act, the Secretary shall prepare a biennial report on the information gained from the standardized elements of the survey under this paragraph and publish such report in an accessible format on the website of the Department and submit such report to Congress. The report shall include campus-level data for each school and attributed by name of each campus in a manner that permits comparisons across schools and campuses.

“(G) PUBLICATION.—Each institution shall publish—

“(i) the campus-level results of the standardized elements of the survey under this paragraph on the website of the institution and in the annual security report required under paragraph 1 for the campuses affiliated with the institution; and

“(ii) the campus-level results of the additional elements modifying the survey by the institution, if any, on the website of the institution.

“(H) VIOLATION.—Upon a determination pursuant to section 487(c)(3)(B) that an institution of higher education has violated or failed to carry out any provision under this subsection, the Secretary shall impose a civil penalty upon the institution in the same amount and pursuant to the same procedures as a civil penalty is imposed under section 487(c)(3)(B).”.

SEC. 4097. Amendments to institutional and financial assistance.

(a) Notice to students concerning drug violations.—Subsection (k) of section 485 (20 U.S.C. 1092) is repealed.

(b) Single point of contact for foster and homeless youth.—Section 485 of the Higher Education Act of 1965 (20 U.S.C. 1092) is amended by inserting after subsection (j) the following:

“(k) Each institution of higher education participating in any program under this title shall—

“(1) have designated an appropriate staff person as a single point of contact to assist homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a)) and foster care children and youth in accessing and completing postsecondary education, including by ensuring that such homeless children and youths and foster care children and youth are connected to applicable and available student support services, programs, and community resources in areas such as financial aid, academic advising, housing, food, public benefits, health care, health insurance, mental health, and mentoring;

“(2) post public notice about student financial assistance and other assistance available to homeless children and youths and foster care children and youth, including their eligibility as independent students under subparagraphs (B) and (H) of sections 480(d)(1);

“(3) give priority for any institutionally owned or operated housing facilities, including student housing facilities that remain open for occupation during school breaks or on a year-round basis, to—

“(A) homeless children and youths (as such term is defined in section 725 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a);

“(B) youth who are unaccompanied, at risk of homelessness, and self-supporting; and

“(C) foster care children and youth;

“(4) have developed a plan for how homeless children and youths, youth who are unaccompanied, at risk of homelessness, and self-supporting, and foster care children and youth can access housing resources during and between academic terms, through means that may include access to institutionally owned or operated housing during breaks and a list of housing resources in the community that provide short-term housing; and

“(5) include, in its application for admission, questions (to be answered voluntarily) regarding the applicant’s status as a homeless child or youth or foster care child or youth, that—

“(A) can be answered by the applicant voluntarily for the limited purpose of being provided information about financial aid or any other available assistance; and

“(B) explain the key terms in the question in a manner children and youth can understand in order to self-identify and declare eligibility as a homeless child or youth or foster care child or youth.”.

(c) Annual financial aid counseling.—Section 485(l) of the Higher Education Act of 1965 (20 U.S.C. 1092(l)) is amended to read as follows:

“(l) Annual financial aid counseling.—

“(1) ANNUAL DISCLOSURE REQUIRED.—

“(A) IN GENERAL.—Each eligible institution shall ensure that each individual who receives a loan made under part D (other than a Federal Direct Consolidation Loan or a loan made under section 460A and 460B) receives comprehensive information on the terms and conditions of such loan and the responsibilities the individual has with respect to such loan. Such information shall be provided, for each award year for which the individual receives such loan, in a simple and understandable manner—

“(i) during a counseling session conducted in person;

“(ii) online, with the individual acknowledging receipt of the information; or

“(iii) through the use of the online counseling tool described in subsection (n)(1)(B).

“(B) USE OF INTERACTIVE PROGRAMS.—In the case of institutions not using the online counseling tool described in subsection (n)(1)(B), the Secretary shall require such institutions to carry out the requirements of subparagraph (A) through the use of interactive programs, during an annual counseling session that is in-person or online, that tests the individual’s understanding of the terms and conditions of the loan awarded to the individual, using simple and understandable language and clear formatting.

“(2) ALL INDIVIDUALS.—The information to be provided under paragraph (1)(A) to each individual receiving counseling under this subsection shall include the following:

“(A) An explanation of how the individual may budget for typical educational expenses and a sample budget based on the cost of attendance for the institution.

“(B) An explanation that an individual has a right to annually request a disclosure of information collected by a consumer reporting agency pursuant to section 612(a) of the Fair Credit Reporting Act (15 U.S.C. 1681j(a)).

“(C) An introduction to the financial management resources provided by the Consumer Financial Protection Bureau.

“(3) BORROWERS RECEIVING LOANS MADE UNDER PART D (OTHER THAN PARENT PLUS LOANS).—The information to be provided under paragraph (1)(A) to a borrower of a loan made under part D (other than a Federal Direct PLUS Loan made on behalf of a dependent student) shall include the following:

“(A) A notification that some students may qualify for other financial aid and an explanation that the borrower should consider accepting any grant, scholarship, or State or Federal work-study jobs for which the borrower is eligible prior to accepting student loans.

“(B) To the extent practicable, the effect of accepting the loan to be disbursed on the eligibility of the borrower for other forms of student financial assistance.

“(C) An explanation of the use of the student loan contract referred to in section 432(m)(1)(D).

“(D) An explanation that the borrower is not required to accept the full amount of the loan offered to the borrower.

“(E) An explanation of the approved educational expenses for which the borrower may use a loan made under part D.

“(F) A recommendation to the borrower to exhaust the borrower’s Federal student loan options prior to taking out private education loans, an explanation that Federal student loans typically offer better terms and conditions than private education loans, an explanation that Federal student loans offer consumer protections typically not available in the private education loan market, an explanation of treatment of loans made under part D and private education loans in bankruptcy, and an explanation that if a borrower decides to take out a private education loan—

“(i) the borrower has the ability to select a private educational lender of the borrower’s choice;

“(ii) the proposed private education loan may impact the borrower’s potential eligibility for other financial assistance, including Federal financial assistance under this title; and

“(iii) the borrower has a right—

“(I) to accept the terms of the private education loan within 30 calendar days following the date on which the application for such loan is approved and the borrower receives the required disclosure documents, pursuant to section 128(e) of the Truth in Lending Act (15 U.S.C. 1638(e)); and

“(II) to cancel such loan within 3 business days of the date on which the loan is consummated, pursuant to section 128(e)(7) of such Act (15 U.S.C. 1638(e)(7)).

“(G) The interest rate for the loan, as of the date of the counseling.

“(H) Information on how interest accrues and is capitalized during periods when the interest is not paid by either the borrower or the Secretary.

“(I) In the case of a Federal Direct PLUS Loan or a Federal Direct Unsubsidized Stafford Loan, the option of the borrower to pay the interest while the borrower is in school.

“(J) The definition of half-time enrollment at the institution, during regular terms and summer school, if applicable, and the consequences of not maintaining at least half-time enrollment.

“(K) An explanation of the importance of contacting the appropriate offices at the institution of higher education if the borrower withdraws prior to completing the borrower’s program of study so that the institution can provide exit counseling, including information regarding the borrower’s repayment options and loan consolidation.

“(L) The obligation of the borrower to repay the full amount of the loan, regardless of whether the borrower completes or does not complete the program in which the borrower is enrolled within the regular time for program completion.

“(M) The likely consequences of default on the loan, including adverse credit reports, delinquent debt collection procedures under Federal law, and litigation.

“(N) Notice of the institution’s most recent adjusted cohort default rate (calculated in accordance with section 435(m)(1)(E)), an explanation of the adjusted cohort default rate, the most recent national average adjusted cohort default rate, and the most recent national average adjusted cohort default rate for the category of institution described in section 435(m)(4) to which the institution belongs.

“(O) Information on the National Student Loan Data System and how the borrower can access the borrower’s records.

“(P) The contact information for the institution’s financial aid office or other appropriate office at the institution the borrower may contact if the borrower has any questions about the borrower’s rights and responsibilities or the terms and conditions of the loan.

“(Q) For a first-time borrower, in addition to all the information described in subparagraphs (A) through (P)—

“(i) a statement of the anticipated balance on the loan for which the borrower is receiving counseling under this subsection;

“(ii) based on such anticipated balance, the anticipated monthly payment amount under, at minimum—

“(I) the fixed repayment plan described in section 493E; and

“(II) the income-based repayment plan under section 493C(f), as determined using regionally available data from the Bureau of Labor Statistics of the average starting salary for the occupation in which the borrower has an interest in or intends to be employed;

“(iii) an estimate of the projected monthly payment amount under each repayment plan described in clause (ii), based on the average cumulative indebtedness at graduation for borrowers of loans made under part D who are in the same program of study as the borrower and the expected increase in the cost of attendance of such program; and

“(iv) information on the annual and aggregate loan limits for Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford Loans as it pertains to the loan for which the borrower is receiving counseling, and a statement that such aggregate borrowing limit may change based on the borrower’s student status (whether undergraduate or graduate) or if there is a change in the borrower’s dependency status.

“(R) For a borrower with an outstanding balance of principal or interest due on a loan made under this title, in addition to all the information described in subparagraphs (A) through (P)—

“(i) information on each student loan that the institution is aware that the student has borrowed, including Federal loans, private loans, and loans from the institution;

“(ii) the total amount of the outstanding balance and interest accrued from the Federal student loans described in clause (i);

“(iii) for each Federal loan described in clause (i), the interest rate for the loan, as of the date of the counseling, and a statement that the interest rate on student loans may vary based on when the loan was borrowed and other factors;

“(iv) based on such outstanding balance for the Federal student loans, the anticipated monthly payment amount under the fixed repayment plan described in section 493E, the income-based repayment plan under section 493C(f), and any other repayment plan for which each loan may be eligible, calculated using regionally available data from the Bureau of Labor Statistics of the average starting salary for the occupation the borrower intends to be employed;

“(v) an estimate of the projected monthly payment amount under each repayment plan described in clause (iv), based on—

“(I) the outstanding balance described in clause (ii);

“(II) the anticipated outstanding balance on the loan for which the student is receiving counseling under this subsection; and

“(III) a projection for any other loans made under part D that the borrower is reasonably expected to accept during the borrower’s program of study based on at least the average cumulative indebtedness at graduation for borrowers of loans made under part D who are in the same program of study as the borrower and the expected increase in the cost of attendance of such program;

“(vi) a statement that the outstanding balance described in clause (ii), the interest rate described in clause (iii), and the monthly amount described in clause (iv) and clause (v) does not include any amounts that the student may be required to repay for private or institutional loans; and

“(vii) the percentage of the total aggregate borrowing limit that the student has reached, as of the date of the counseling, for Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford Loans, and a statement that such aggregate borrowing limit may change based on the borrower’s student status (whether undergraduate or graduate) or if there is a change in the borrower’s dependency status.

“(4) BORROWERS RECEIVING PARENT PLUS LOANS FOR DEPENDENT STUDENTS.—The information to be provided under paragraph (1)(A) to a borrower of a Federal Direct PLUS Loan made on behalf of a dependent student shall include the following:

“(A) A notification that some students may qualify for other financial aid and an explanation that the student for whom the borrower is taking out the loan should consider accepting any grant, scholarship, or State or Federal work-study jobs for which the borrower is eligible prior to borrowing Parent PLUS Loans.

“(B) The information described in subparagraphs (B) through (D) and (L) through (O) of paragraph (3).

“(C) The interest rate for the loan, as of the date of the counseling.

“(D) The option of the borrower to pay the interest on the loan while the loan is in deferment.

“(E) Debt management strategies that are designed to facilitate the repayment of such indebtedness.

“(F) An explanation that the borrower has the options to prepay each loan, pay each loan on a shorter schedule, and change repayment plans.

“(G) For each Federal Direct PLUS Loan made on behalf of a dependent student for which the borrower is receiving counseling under this subsection, the contact information for the loan servicer of the loan and a link to such servicer’s Website.

“(H) For a first-time borrower of such loan—

“(i) a statement of the anticipated balance on the loan for which the borrower is receiving counseling under this subsection;

“(ii) based on such anticipated balance, the anticipated monthly payment amount under the fixed repayment plan described in section 493E, the income-based repayment plan under section 493C(f), and any other repayment plan for which each loan may be eligible; and

“(iii) an estimate of the projected monthly payment amount under the fixed repayment plan described in section 493E, the income-based repayment plan under section 493C(f), and any other repayment plan for which each loan may be eligible, based on the average cumulative indebtedness of other borrowers of Federal Direct PLUS Loans made on behalf of dependent students who are in the same program of study as the student on whose behalf the borrower borrowed the loan and the expected increase in the cost of attendance of such program.

“(I) For a borrower with an outstanding balance of principal or interest due on such loan—

“(i) a statement of the amount of such outstanding balance;

“(ii) based on such outstanding balance, the anticipated monthly payment amount under the fixed repayment plan described in section 493E, the income-based repayment plan under section 493C(f), and any other repayment plan for which each loan may be eligible; and

“(iii) an estimate of the projected monthly payment amount under the fixed and income-based repayment plans, based on—

“(I) the anticipated outstanding balance on the loan for which the borrower is receiving counseling under this subsection; and

“(II) a projection for any other Federal Direct PLUS Loan made on behalf of the dependent student that the borrower is reasonably expected to accept during the program of study of such student based on at least the average cumulative indebtedness of other borrowers of Federal Direct PLUS Loans made on behalf of dependent students who are in the same program of study as the student on whose behalf the borrower borrowed the loan and the expected increase in the cost of attendance of such program.

“(5) ANNUAL LOAN ACCEPTANCE.—Prior to making the first disbursement of a loan made under part D (other than a Federal Direct Consolidation Loan or a loan made under section 460A and 460B) to a borrower for an award year, an eligible institution, shall, as part of carrying out the counseling requirements of this subsection for the loan, ensure that after receiving the applicable counseling under paragraphs (2), (3), and (4) for the loan the borrower accepts the loan for such award year by—

“(A) signing and returning to the institution the student loan contract for the loan referred to in section 432(m)(1)(D) that affirmatively states that the borrower accepts the loan; or

“(B) electronically signing an electronic version of the student loan contract described in subparagraph (A).”.

(d) Online counseling tools.—Section 485 of the Higher Education Act of 1965 (20 U.S.C. 1092) is further amended by adding at the end the following:

“(n) Online counseling tools.—

“(1) IN GENERAL.—Beginning not later than 1 year after the date of enactment of the Aim Higher Act, the Secretary shall maintain—

“(A) an online counseling tool that provides the exit counseling required under subsection (b) and meets the applicable requirements of this subsection; and

“(B) an online counseling tool that provides the annual counseling required under subsection (l) and meets the applicable requirements of this subsection.

“(2) REQUIREMENTS OF TOOLS.—In maintaining the online counseling tools described in paragraph (1), the Secretary shall ensure that each such tool is—

“(A) consumer tested, in consultation with other relevant Federal agencies and including students and borrowers, institutions of higher education, secondary school and postsecondary counselors, and nonprofit consumer groups, to ensure that the tool is effective in helping individuals understand their rights and obligations with respect to borrowing a loan made under part D;

“(B) understandable to borrowers of loans made under part D; and

“(C) freely available to all eligible institutions.

“(3) RECORD OF COUNSELING COMPLETION.—The Secretary shall—

“(A) use each online counseling tool described in paragraph (1) to keep a record of which individuals have received counseling using the tool, and notify the applicable institutions of the individual’s completion of such counseling;

“(B) in the case of a borrower who receives annual counseling for a loan made under part D using the tool described in paragraph (1)(B), notify the borrower by when the borrower should accept, in a manner described in subsection (l)(5), the loan for which the borrower has received such counseling; and

“(C) in the case of a borrower described in subsection (b)(1)(B) at an institution that uses the online counseling tool described in paragraph (1)(A) of this subsection, the Secretary shall attempt to provide the information described in subsection (b)(1)(A) to the borrower through such tool.”.

SEC. 4098. Conforming amendments to Pell Grants.

Section 485E(b)(1)(A) of the Higher Education Act of 1965 (20 U.S.C. 1092f(b)(1)(A)) is further amended by striking “section 401(b)(2)(A)” and inserting “section 401(b)(1)”.

SEC. 4099. Information with respect to crime statistics for programs of study abroad.

Part G of title IV of the Higher Education Act of 1965 (20 U.S.C. 1088 et seq.) is further amended by inserting after section 485E the following:

“SEC. 485F. Information with respect to crime statistics for programs of study abroad.

“(a) In general.—Each institution participating in any program under this title, other than a foreign institution of higher education, shall develop and distribute a statement of policy with respect to students participating in a program of study abroad approved for credit by the institution concerning crime and harm that may occur while participating in such program of study abroad that, at a minimum, includes a biennial review by the institution of the programs of study abroad approved for credit by the institution to determine—

“(1) the effectiveness of the programs at protecting students from crime and harm, and whether changes to the programs are needed (based on the most recent guidance or other assistance from the Secretary) and will be implemented;

“(2) for the 5 years preceding the date of the report, the number (in the aggregate for all programs of study abroad approved for credit by the institution) of—

“(A) deaths of program participants occurring during program participation or during any other activities during the study abroad period;

“(B) sexual assaults against program participants occurring during program participation and reported to the institution;

“(C) accidents and illnesses occurring during program participation that resulted in hospitalization and were reported to the institution; and

“(D) incidents involving program participants during the program participation that resulted in police involvement or a police report and were reported to the institution; and

“(3) with respect to the incidents described in subparagraphs (A) and (B) of paragraph (2), whether the incidents occurred—

“(A) on campus;

“(B) in or on noncampus buildings or property;

“(C) on public property;

“(D) in dormitories or other residential facilities for students on campus; or

“(E) at a location not described in items (A) through (D) of this clause, without regard to whether the institution owns or controls a building or property at the location.

“(b) Other duties.—An institution of higher education described in subsection (a) shall—

“(1) provide each student who is interested in participating in a program of study abroad approved for credit by the institution, with an orientation session and advising that includes—

“(A) a list of countries in which such programs of study abroad are located;

“(B) all current travel information, including all travel warnings and travel alerts, issued by the Bureau of Consular Affairs of the Department of State for such countries; and

“(C) the information described in paragraph (a), provided specifically for each program of study abroad approved for credit by the institution in which the student is considering participation; and

“(2) provide each student who returns from such a program of study abroad with a post-trip debriefing session, including an exit interview that assists the institution in carrying out subsection (a).

“(c) Limitations.—An institution of higher education shall not disaggregate or otherwise distinguish information for purposes of subsection (a) or (b) in a case in which the number of students in a category is insufficient to yield statistically reliable information or the results would reveal personally identifiable information about an individual student.

“(d) Review.—The Secretary shall periodically review a representative sample of the policies described in subsection (a) that have been adopted by institutions of higher education.

“(e) Definition.—For the purpose of this section, the definitions for ‘campus’, ‘noncampus building or property’, and ‘public property’ shall have the same meaning as in section 485(f)(6).”.

SEC. 4100. Remedial education grants.

Part G of title IV of the Higher Education Act of 1965 (20 U.S.C. 1088 et seq.) is amended by inserting after section 486A the following:

“SEC. 486B. Remedial education grants.

“(a) Grants authorized.—

“(1) IN GENERAL.—From the funds appropriated under subsection (i), the Secretary, in consultation with the Director of the Institute of Education Sciences, shall award grants, on a competitive basis, to eligible entities to improve remedial education in higher education.

“(2) DURATION.—A grant under this section shall be awarded for a period of 5 years.

“(3) MINIMUM AWARDS.—The total amount of funds provided under a grant awarded under this section shall not be less than $500,000.

“(b) Application.—An eligible entity that desires to receive a grant under this section shall submit an application to the Secretary at such time, in such manner, and accompanied by such information as the Secretary may require, which shall include the following:

“(1) A description of how the eligible entity will use the grant funds to develop or improve a remedial education program that includes evidence-based, effective strategies for providing instruction to ensure that students are prepared for courses at the postsecondary level.

“(2) An assurance that the eligible entity will use more than 2 measures (such as a student’s college entrance examination score, grade point average, high school course list, or a placement examination) to identify students in need of remedial education who may be eligible to participate in the remedial education program developed or improved under the grant.

“(3) A description of how the eligible entity, in developing or improving such a program, will consult with stakeholders, including individuals with expertise in remedial education, students enrolled in remedial education, and faculty instructors for remedial education.

“(4) The eligible entity’s plan for sustaining the program after the grant period has ended.

“(5) The eligible entity’s plan for monitoring and evaluating the program, including how the eligible entity will use the data collected under subsection (g) to continually update and improve the program.

“(c) Use of funds.—An eligible entity that receives a grant under this section shall use the grant to develop or improve a remedial education program through one or more of the following models:

“(1) ALIGNING COURSE WORK.—Working with a local educational agency or State educational agency that is part of the eligible entity to develop or improve programs that provide alignment between high school coursework and postsecondary education, and that may include—

“(A) assessments in high school to measure student readiness for courses at the postsecondary level; or

“(B) interventions in high school that improve student competencies for courses at the postsecondary level.

“(2) ACCELERATED COURSE WORK.—Redesigning or improving remedial education that—

“(A) allows students to enroll in more than one sequential remedial education course or training in a semester, or the equivalent;

“(B) condenses the time of the remedial education; or

“(C) provides shortened, intensive courses or training to improve competencies of students for courses at the postsecondary level.

“(3) MODULAR INSTRUCTIONAL METHODS.—Developing or improving remedial education that—

“(A) specifically targets the skills that students need to move forward in courses at the postsecondary level; and

“(B) may be used to develop new assessments, redesign courses to provide targeted skill instruction, or provide faculty professional development.

“(4) CO-REQUISITE MODEL.—Developing or improving remedial education programs that allow a student to enroll in remedial education (which may be provided through a modular instructional method) while also enrolled in a course at the postsecondary level.

“(5) SYSTEMIC REFORM TO IMPLEMENT COMPREHENSIVE, INTEGRATED SUPPORT PROGRAMS.—Implementing and improving comprehensive, integrated, evidence-based support programs that—

“(A) enable students enrolled in remedial education to reach completion and graduation at an institution of higher education within 150 percent of the normal time for completion of, or graduation from, the program of study for which the students are enrolled; and

“(B) may include financial supports, academic tutoring or support, and advising that enable students to find success in remedial education and courses at the postsecondary level.

“(d) Considerations.—In awarding grants under this section, the Secretary, in consultation with the Director of the Institute of Education Sciences, shall—

“(1) ensure—

“(A) a minimum of 30 eligible entities are awarded grants for each 5-year grant period;

“(B) an equitable geographic distribution of such grants, including an equitable distribution between urban and rural areas; and

“(C) that grants are used to develop or improve remedial education programs—

“(i) for a range of types and sizes of institutions of higher education; and

“(ii) for each of the models described in subsection (c) to ensure adequate sample sizes to enable statistical comparisons within and among such models; and

“(2) give preference to eligible entities that primarily serve low-income students.

“(e) Fiscal requirements.—

“(1) SUPPLEMENT NOT SUPPLANT.—A grant awarded under this section shall be used to supplement, not supplant, funds that would otherwise be used to carry out the activities described in this section.

“(2) MATCHING FUNDS.—

“(A) IN GENERAL.—Subject to subparagraph (B), an eligible entity that receives a grant under this section shall provide, from non-Federal sources, an amount equal to 10 percent of the amount of the grant for the cost of activities assisted under the grant.

“(B) EXCEPTIONS.—The requirements of subparagraph (A) shall not apply to—

“(i) Tribal Colleges or Universities; or

“(ii) institutions of higher education located in the Commonwealth of Puerto Rico, Guam, American Samoa, the United States Virgin Islands, the Commonwealth of the Northern Mariana Islands, the Republic of the Marshall Islands, the Federated States of Micronesia, or the Republic of Palau.

“(f) Experimental authority.—Notwithstanding any other provision of this title, a student may be eligible to receive loans or grants under this title for up to 2 academic years for enrollment in a remedial education program under this section.

“(g) Data collection, reports, evaluations, and dissemination.—

“(1) INFORMATION.—

“(A) STUDENT-LEVEL DATA.—Each eligible entity that receives a grant under this section shall provide, on an annual basis for each year of the grant period and for 5 years after such grant period, to the Director of the Institute of Education Sciences and the Secretary, the student-level data with respect to the students who are or were enrolled in a remedial education program funded under the grant to enable the Director, for each such year, to—

“(i) determine the information described in subparagraph (B) with respect to each such remedial education program; and

“(ii) submit to the authorizing committees, and make publicly available in an accessible format, such information.

“(B) AGGREGATE STUDENT DATA.—The Director shall determine, with respect to each remedial education program for which an eligible entity provides student-level data under subparagraph (A), the following information:

“(i) The number of students who are or were enrolled in such a remedial education program.

“(ii) The type of remedial education offered under the program.

“(iii) The cost of such remedial education program.

“(iv) The number of students who complete such remedial education program.

“(v) The length of time students spend in such remedial education program, as measured by semester, trimester, or clock hours.

“(vi) The length of time students who complete such remedial education program take to graduate with a recognized educational credential from an institution of higher education.

“(vii) The number of students who enroll in postsecondary-level courses upon completing the remedial education program.

“(viii) The number and percentage of such students who graduate, or are on track to graduate, from an institution of higher education within 150 percent of the normal time for completion of, or graduation from, the program of study for which the students are enrolled.

“(ix) The amount of grant or loan funds under this title awarded to students for enrollment in such remedial education program.

“(C) DISAGGREGATION.—The information determined under subparagraph (B) shall be disaggregated by race (as defined in section 153(a)(3) of the Education Sciences Reform Act of 2002), gender, socioeconomic status, Federal Pell Grant eligibility status, status as a first-generation college student, Veteran or active duty status, and disability status.

“(2) EVALUATION.—Not later than 6 years after the first grant is awarded under this section, the Director, in consultation with the Secretary and using the information determined under paragraph (1), shall submit to the authorizing committees and make publicly available in an accessible format, the results of a multi-year, rigorous evaluation on the impact of remedial education programs funded under this section that shall include—

“(A) the effectiveness of the remedial education programs in providing the skills necessary for students to advance through remedial education and complete courses at the postsecondary level;

“(B) the quality of outcomes of the remedial education programs within and among mode