I 

114TH CONGRESS 

1ST SESSION H. R. 3988 

To count revenues from military and veteran education programs toward 

the limit on Federal revenues that certain proprietary institutions of 

higher education are allowed to receive for purposes of section 487 

of the Higher Education Act of 1965, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

NOVEMBER 5, 2015 

Ms. SPEIER (for herself, Mr. TAKANO, Mr. JONES, Mr. CARNEY, Ms. JUDY

CHU of California, Mr. COURTNEY, Mr. CUMMINGS, Ms. DELAURO, Mr. 

ELLISON, Mr. FARR, Mr. GENE GREEN of Texas, Mr. GRIJALVA, Mr. 

HIGGINS, Mr. HONDA, Ms. LEE, Mr. LIPINSKI, Ms. MCCOLLUM, Mr. 

MOULTON, Mr. PERLMUTTER, Ms. PINGREE, Mr. QUIGLEY, and Mr. 

RUSH) introduced the following bill; which was referred to the Committee 

on Education and the Workforce, and in addition to the Committees on 

Armed Services and Veterans’ Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions 

as fall within the jurisdiction of the committee concerned 

A BILL 

To count revenues from military and veteran education programs toward the limit on Federal revenues that certain 

proprietary institutions of higher education are allowed 

to receive for purposes of section 487 of the Higher 

Education Act of 1965, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Military and Veterans 

3 Education Protection Act’’. 

4 SEC. 2. PROGRAM PARTICIPATION AGREEMENTS FOR PRO5 PRIETARY INSTITUTIONS OF HIGHER EDU6 CATION. 

7 Section 487 of the Higher Education Act of 1965 (20 

8 U.S.C. 1094) is amended— 

9 (1) in subsection (a)(24)— 

10 (A) by inserting ‘‘that receives funds pro11 vided under this title’’ before ‘‘, such institu12 tion’’; and 

13 (B) by striking ‘‘other than funds provided 

14 under this title, as calculated in accordance 

15 with subsection (d)(1)’’ and inserting ‘‘other 

16 than Federal educational assistance, as defined 

17 in subsection (d)(5) and calculated in accord18 ance with subsection (d)(1)’’; and 

19 (2) in subsection (d)— 

20 (A) in the subsection heading, by striking 

21 ‘‘NON-TITLE IV’’ and inserting ‘‘NON-FED22 ERAL EDUCATIONAL’’; 

23 (B) in paragraph (1)— 

24 (i) in the matter preceding subpara25 graph (A), by inserting ‘‘that receives 


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1 funds provided under this title’’ before 

2 ‘‘shall’’; 

3 (ii) in subparagraph (B)— 

4 (I) in clause (i), by striking ‘‘as5 sistance under this title’’ and insert6 ing ‘‘Federal educational assistance’’; 

7 and 

8 (II) in clause (ii)(I), by inserting 

9 ‘‘, or on a military base if the admin10 istering Secretary for a program of 

11 Federal educational assistance under 

12 clause (ii), (iii), or (iv) of paragraph 

13 (5)(B) has authorized such location’’ 

14 before the semicolon; 

15 (iii) in subparagraph (C), by striking 

16 ‘‘program under this title’’ and inserting 

17 ‘‘program of Federal educational assist18 ance’’; 

19 (iv) in subparagraph (E), by striking 

20 ‘‘funds received under this title’’ and in21 serting ‘‘Federal educational assistance’’; 

22 and 

23 (v) in subparagraph (F)— 


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1 (I) in clause (iii), by striking 

2 ‘‘under this title’’ and inserting ‘‘of 

3 Federal educational assistance’’; and 

4 (II) in clause (iv), by striking 

5 ‘‘under this title’’ and inserting ‘‘of 

6 Federal educational assistance’’; 

7 (C) in paragraph (2)— 

8 (i) by striking subparagraph (A) and 

9 inserting the following: 

10 ‘‘(A) INELIGIBILITY.— 

11 ‘‘(i) IN GENERAL.—Notwithstanding 

12 any other provision of law, a proprietary 

13 institution of higher education receiving 

14 funds provided under this title that fails to 

15 meet a requirement of subsection (a)(24) 

16 for two consecutive institutional fiscal 

17 years shall be ineligible to participate in or 

18 receive funds under any program of Fed19 eral educational assistance for a period of 

20 not less than two institutional fiscal years. 

21 ‘‘(ii) REGAINING ELIGIBILITY.—To re22 gain eligibility to participate in or receive 

23 funds under any program of Federal edu24 cational assistance after being ineligible 

25 pursuant to clause (i), a proprietary instiVerDate Sep 11 2014 22:50 Nov 10, 2015 Jkt 059200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H3988.IH H3988

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1 tution of higher education shall dem2 onstrate compliance with all eligibility and 

3 certification requirements for the program 

4 for a minimum of two consecutive institu5 tional fiscal years after the institutional 

6 fiscal year in which the institution became 

7 ineligible. In order to regain eligibility to 

8 participate in any program of Federal edu9 cational assistance under this title, such 

10 compliance shall include meeting the re11 quirements of section 498 for such 2-year 

12 period. 

13 ‘‘(iii) NOTIFICATION OF INELIGI14 BILITY.—The Secretary of Education shall 

15 determine when a proprietary institution of 

16 higher education that receives funds under 

17 this title is ineligible under clause (i) and 

18 shall notify all other administering Secre19 taries of the determination. 

20 ‘‘(iv) ENFORCEMENT.—Each admin21 istering Secretary for a program of Fed22 eral educational assistance shall enforce 

23 the requirements of this subparagraph for 

24 the program concerned upon receiving no25 tification under clause (iii) of a proprietary 


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1 institution of higher education’s ineligi2 bility.’’; and 

3 (ii) in subparagraph (B)— 

4 (I) in the matter preceding clause 

5 (i)— 

6 (aa) by striking ‘‘In addi7 tion’’ and all that follows through 

8 ‘‘education fails’’ and inserting 

9 ‘‘Notwithstanding any other pro10 vision of law, in addition to such 

11 other means of enforcing the re12 quirements of a program of Fed13 eral educational assistance as 

14 may be available to the admin15 istering Secretary, if a propri16 etary institution of higher edu17 cation that receives funds pro18 vided under this title fails’’; and 

19 (bb) by striking ‘‘the pro20 grams authorized by this title’’ 

21 and inserting ‘‘all programs of 

22 Federal educational assistance’’; 

23 and 

24 (II) in clause (i), by inserting 

25 ‘‘with respect to a program of Federal 


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1 educational assistance under this 

2 title,’’ before ‘‘on the expiration date’’; 

3 (D) in paragraph (4)(A), by striking 

4 ‘‘sources under this title’’ and inserting ‘‘Fed5 eral educational assistance’’; and 

6 (E) by adding at the end the following: 

7 ‘‘(5) DEFINITIONS.—In this subsection: 

8 ‘‘(A) ADMINISTERING SECRETARY.—The 

9 term ‘administering Secretary’ means the Sec10 retary of Education, the Secretary of Defense, 

11 the Secretary of Veterans Affairs, the Secretary 

12 of Homeland Security, or the Secretary of a 

13 military department responsible for admin14 istering the Federal educational assistance con15 cerned. 

16 ‘‘(B) FEDERAL EDUCATIONAL ASSIST17 ANCE.—The term ‘Federal educational assist18 ance’ means funds provided under any of the 

19 following provisions of law: 

20 ‘‘(i) This title. 

21 ‘‘(ii) Chapter 30, 31, 32, 33, 34, or 

22 35 of title 38, United States Code. 

23 ‘‘(iii) Chapter 101, 105, 106A, 1606, 

24 1607, or 1608 of title 10, United States 

25 Code. 


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1 ‘‘(iv) Section 1784a of title 10, United 

2 States Code.’’. 

3 SEC. 3. DEPARTMENT OF DEFENSE AND DEPARTMENT OF 

4 VETERANS AFFAIRS ACTIONS ON INELIGI5 BILITY OF CERTAIN PROPRIETARY INSTITU6 TIONS OF HIGHER EDUCATION FOR PARTICI7 PATION IN PROGRAMS OF EDUCATIONAL AS8 SISTANCE. 

9 (a) DEPARTMENT OF DEFENSE.— 

10 (1) IN GENERAL.—Chapter 101 of title 10, 

11 United States Code, is amended by inserting after 

12 section 2008 the following new section: 

13 ‘‘§ 2008a. Ineligibility of certain proprietary institu14 tions of higher education for participa15 tion in Department of Defense programs 

16 of educational assistance 

17 ‘‘(a) IN GENERAL.—Upon receipt of a notice from 

18 the Secretary of Education under clause (iii) of section 

19 487(d)(2)(A) of the Higher Education Act of 1965 (20 

20 U.S.C. 1094(d)(2)(A)) that a proprietary institution of 

21 higher education is ineligible for participation in or receipt 

22 of funds under any program of Federal educational assist23 ance by reason of such section, the Secretary of Defense 

24 shall ensure that no educational assistance under the pro25 visions of law specified in subsection (b) is available or 


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1 used for education at the institution for the period of insti2 tutional fiscal years covered by such notice. 

3 ‘‘(b) COVERED ASSISTANCE.—The provisions of law 

4 specified in this subsection are the provisions of law on 

5 educational assistance through the Department of Defense 

6 as follows: 

7 ‘‘(1) This chapter. 

8 ‘‘(2) Chapters 105, 106A, 1606, 1607, and 

9 1608 of this title. 

10 ‘‘(3) Section 1784a of this title. 

11 ‘‘(c) NOTICE ON INELIGIBILITY.—(1) The Secretary 

12 of Defense shall take appropriate actions to notify persons 

13 receiving or eligible for educational assistance under the 

14 provisions of law specified in subsection (b) of the applica15 tion of the limitations in section 487(d)(2) of the Higher 

16 Education Act of 1965 to particular proprietary institu17 tions of higher education. 

18 ‘‘(2) The actions taken under this subsection with re19 spect to a proprietary institution shall include publication, 

20 on the Internet website of the Department of Defense that 

21 provides information to persons described in paragraph 

22 (1), of the following: 

23 ‘‘(A) The name of the institution. 


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1 ‘‘(B) The extent to which the institution failed 

2 to meet the requirements of section 487(a)(24) of 

3 the Higher Education Act of 1965. 

4 ‘‘(C) The length of time the institution will be 

5 ineligible for participation in or receipt of funds 

6 under any program of Federal educational assistance 

7 by reason of section 487(d)(2)(A) of that Act. 

8 ‘‘(D) The nonavailability of educational assist9 ance through the Department for enrollment, at10 tendance, or pursuit of a program of education at 

11 the institution by reason of such ineligibility.’’. 

12 (2) CLERICAL AMENDMENT.—The table of sec13 tions at the beginning of chapter 101 of such title 

14 is amended by inserting after the item relating to 

15 section 2008 the following new item: 

‘‘2008a. Ineligibility of certain proprietary institutions of higher education for 

participation in Department of Defense programs of educational assistance.’’. 

16 (b) DEPARTMENT OF VETERANS AFFAIRS.— 

17 (1) IN GENERAL.—Subchapter II of chapter 36 

18 of title 38, United States Code, is amended by in19 serting after section 3681 the following new section: 


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1 ‘‘§ 3681A. Ineligibility of certain proprietary institu2 tions of higher education for participa3 tion in Department of Veterans Affairs 

4 programs of educational assistance 

5 ‘‘(a) IN GENERAL.—Upon receipt of a notice from 

6 the Secretary of Education under clause (iii) of section 

7 487(d)(2)(A) of the Higher Education Act of 1965 (20 

8 U.S.C. 1094(d)(2)(A)) that a proprietary institution of 

9 higher education is ineligible for participation in or receipt 

10 of funds under any program of Federal educational assist11 ance by reason of such section, the Secretary of Veterans 

12 Affairs shall ensure that no educational assistance under 

13 the provisions of law specified in subsection (b) is available 

14 or used for education at the institution for the period of 

15 institutional fiscal years covered by such notice. 

16 ‘‘(b) COVERED ASSISTANCE.—The provisions of law 

17 specified in this subsection are the provisions of law on 

18 educational assistance through the Department under 

19 chapters 30, 31, 32, 33, 34, and 35 of this title. 

20 ‘‘(c) NOTICE ON INELIGIBILITY.—(1) The Secretary 

21 of Veterans Affairs shall take appropriate actions to notify 

22 persons receiving or eligible for educational assistance 

23 under the provisions of law specified in subsection (b) of 

24 the application of the limitations in section 487(d)(2) of 

25 the Higher Education Act of 1965 to particular propri26 etary institutions of higher education. 


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1 ‘‘(2) The actions taken under this subsection with re2 spect to a proprietary institution shall include publication, 

3 on the Internet website of the Department that provides 

4 information to persons described in paragraph (1), of the 

5 following: 

6 ‘‘(A) The name of the institution. 

7 ‘‘(B) The extent to which the institution failed 

8 to meet the requirements of section 487(a)(24) of 

9 the Higher Education Act of 1965. 

10 ‘‘(C) The length of time the institution will be 

11 ineligible for participation in or receipt of funds 

12 under any program of Federal educational assistance 

13 by reason of section 487(d)(2)(A) of that Act. 

14 ‘‘(D) The nonavailability of educational assist15 ance through the Department for enrollment, at16 tendance, or pursuit of a program of education at 

17 the institution by reason of such ineligibility.’’. 

18 (2) CLERICAL AMENDMENT.—The table of sec19 tions at the beginning of chapter 36 of such title is 

20 amended by inserting after the item relating to sec21 tion 3681 the following new item: 

‘‘3681A. Ineligibility of certain proprietary institutions of higher education for 

participation in Department of Veterans Affairs programs of 

educational assistance.’’. 

Æ 


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