I 
114TH CONGRESS 
1ST SESSION H. R. 2192 
To improve the Higher Education Act of 1965, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 30, 2015 
Mr. TAKANO (for himself, Mrs. DAVIS of California, Mr. COHEN, Ms. SPEIER, 
and Mr. BLUMENAUER) introduced the following bill; which was referred 
to the Committee on Education and the Workforce 
A BILL 
To improve the Higher Education Act of 1965, and for 
other purposes. 
Be it enacted by the Senate and House of Representa-
tives 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 
‘‘Protections and Regulation for Our Students Act’’ or 
‘‘PRO Students Act’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. 85–15 revenue source requirement for proprietary institutions. 
Sec. 3. Definitions. 
Sec. 4. Restriction on marketing with Federal educational assistance funds. 
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Sec. 5. Whistleblower protections for persons associated with institutions of 
higher education. 
Sec. 6. Establishment of complaint resolution and tracking system. 
Sec. 7. Proprietary education oversight coordination committee. 
Sec. 8. Improved determination of cohort default rates; publication of default 
prevention plan. 
Sec. 9. Elimination of origination fees and other amendments to terms and con-
ditions of loans. 
Sec. 10. Improved student loan servicing and debt collection practices. 
Sec. 11. Improved disclosures, counseling, and financial assistance information 
for students. 
Sec. 12. Program participation agreements. 
Sec. 13. Improved disclosures, counseling, and financial assistance information 
for students. 
Sec. 14. Civil penalties. 
Sec. 15. Requirements for accrediting agencies or associations. 
Sec. 16. Program review and data. 
Sec. 17. Consumer protections for students. 
SEC. 2. 85–15 REVENUE SOURCE REQUIREMENT FOR PRO-
PRIETARY INSTITUTIONS. 
(a) CHANGE
FROM
90–10 TO
85–15.—Section 
487(a)(24) of the Higher Education Act of 1965 (20 
U.S.C. 1094(a)(24)) is amended by striking ‘‘ten percent’’ 
and inserting ‘‘15 percent’’. 
(b) REVISIONS TO ACCOUNTING.—Section 487(d)(1) 
of the Higher Education Act of 1965 (20 U.S.C. 
1094(d)(1)) is amended— 
(1) in subparagraph (A), by striking ‘‘account-
ing,’’ and all that follows and inserting ‘‘account-
ing;’’; 
(2) in subparagraph (B), by striking clause (iii) 
and inserting the following new clause: 
‘‘(iii) a contractual arrangement with 
a Federal agency for the purpose of pro-
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viding job training to low-income individ-
uals who are in need of such training;’’; 
(3) in subparagraph (C)— 
(A) by striking clauses (i) through (iii) and 
inserting the following new clause: 
‘‘(i) grant funds provided by a source 
that has no affiliation with the institution 
and shares no employees with the institu-
tion;’’; and 
(B) by redesignating clause (iv) as clause 
(ii); and 
(4) by striking subparagraphs (D) and (E) and 
inserting the following new subparagraphs: 
‘‘(D) include no loans made by an institu-
tion of higher education as revenue to the 
school, except for payments made by students 
on such loans; 
‘‘(E) include a scholarship provided by the 
institution— 
‘‘(i) only if the scholarship is in the 
form of monetary aid based upon the aca-
demic achievements or financial need of 
students, disbursed to qualified student re-
cipients during each fiscal year from an es-
tablished restricted account; and 
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education would be at risk of cohort default rate 
sanctions under section 435 or student default risk 
sanctions under section 489A.’’; 
(3) by inserting after paragraph (10), as redes-
ignated by paragraph (1) of this section, the fol-
lowing new paragraph: 
‘‘(11) FEDERAL
EDUCATIONAL
ASSISTANCE 
FUNDS.—The term ‘Federal educational assistance 
funds’ means funds provided directly to an institu-
tion or to a student attending such institution under 
any of the following provisions of law: 
‘‘(A) Title IV. 
‘‘(B) Chapter 30, 31, 32, 33, 34, or 35 of 
title 38, United States Code. 
‘‘(C) Chapter 101, 105, 106A, 1606, 1607, 
or 1608 of title 10, United States Code. 
‘‘(D) Section 1784a, 2005, or 2007 of title 
10, United States Code. 
‘‘(E) Title I of the Workforce Investment 
Act of 1998 (29 U.S.C. 2801 et seq.). 
‘‘(F) The Adult Education and Family Lit-
eracy Act (20 U.S.C. 9201 et seq.).’’; and 
(4) by inserting after paragraph (16), as redes-
ignated by paragraph (1) of this section, the fol-
lowing new paragraph: 
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‘‘(17) RECRUITING
AND
MARKETING
ACTIV-
ITY.— 
‘‘(A) IN GENERAL.—Except as provided in 
subparagraph (B), the term ‘recruiting and 
marketing activity’ means an activity that con-
sists of any of the following: 
‘‘(i) Any advertising or promotion ac-
tivity, including a paid announcement in 
newspapers, magazines, radio, television, 
billboards, electronic media, naming rights, 
or any other public medium of communica-
tion, including paying for a display or pro-
motion at a job fair, military installation, 
or 
postsecondary 
education 
recruiting 
event. 
‘‘(ii) Any effort to identify and attract 
prospective students, directly or through a 
contractor or other third party, including 
any contact concerning a prospective stu-
dent’s potential enrollment or application 
for grant, loan, or work assistance under 
title IV or participation in preadmission or 
advising activities, including— 
‘‘(I) paying employees responsible 
for overseeing enrollment and for con-
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tacting potential students in person, 
by phone, by email, by internet com-
munications, or by other means, re-
garding enrollment; 
‘‘(II) compensating a person to 
provide to an institution of higher 
education contact information regard-
ing prospective students, including in-
formation obtained through websites 
established for such purpose; and 
‘‘(III) providing funds to a third 
party to create or maintain a website 
for the purpose of obtaining contact 
information regarding prospective stu-
dents. 
‘‘(iii) Any other activity as the Sec-
retary may determine. 
‘‘(B) EXCEPTION.—An activity that is re-
quired as a condition of receipt of funds by an 
institution under title IV, or under another ap-
plicable Federal law, shall not be considered to 
be a recruiting and marketing activity under 
subparagraph (A).’’. 
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(b) TITLE IV PROGRAMS.—Section 481 of the Higher 
Education Act of 1965 (20 U.S.C. 1088) is amended by 
adding at the end the following new subsection: 
‘‘(g) STUDENT DEFAULT RISK.—In this title, the 
term ‘student default risk’ means the percentage that is 
calculated by taking an institution’s cohort default rate 
(as defined in section 435(m)) for the most recent fiscal 
year available, and multiplying it by the percentage of stu-
dents enrolled at such institution receiving a loan made, 
insured, or guaranteed under this title during the previous 
academic year.’’. 
SEC. 4. RESTRICTION ON MARKETING WITH FEDERAL EDU-
CATIONAL ASSISTANCE FUNDS. 
(a) REPEAL OF EXISTING PROVISION.—The Higher 
Education Opportunity Act is amended by striking section 
119 (20 U.S.C. 1011m). 
(b) INSERTION IN HIGHER EDUCATION ACT OF 1965 
AND AMENDMENTS.—Part B of title I of the Higher Edu-
cation Act of 1965 (20 U.S.C. 1011 et seq.) is amended 
by adding at the end the following new section: 
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‘‘SEC. 124. CERTIFICATION REGARDING THE USE OF CER-
TAIN FEDERAL FUNDS AND RESTRICTIONS 
ON SOURCES OF FUNDS FOR RECRUITING 
AND MARKETING ACTIVITIES. 
‘‘(a) PROHIBITION.—No Federal funds received 
under this Act by an institution of higher education or 
other postsecondary educational institution may be used 
to pay any person for influencing or attempting to influ-
ence an officer or employee of any agency, a Member of 
Congress, an officer or employee of Congress, or an em-
ployee of a Member of Congress in connection with any 
Federal action described in subsection (b). 
‘‘(b) APPLICABILITY.—The prohibition in subsection 
(a) applies with respect to the following Federal actions: 
‘‘(1) The awarding of any Federal contract. 
‘‘(2) The making of any Federal grant. 
‘‘(3) The making of any Federal loan. 
‘‘(4) The entering into of any Federal coopera-
tive agreement. 
‘‘(5) The extension, continuation, renewal, 
amendment, or modification of any Federal contract, 
grant, loan, or cooperative agreement. 
‘‘(c) LOBBYING AND EARMARKS.—No Federal stu-
dent aid funding under this Act may be used to hire a 
registered lobbyist or pay any person or entity for securing 
an earmark. 
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‘‘(d) RESTRICTIONS ON SOURCES OF FUNDS FOR RE-
CRUITING AND MARKETING ACTIVITIES.— 
‘‘(1) IN
GENERAL.—An institution of higher 
education, or other postsecondary educational insti-
tution, may not use revenues derived from Federal 
educational assistance funds for recruiting or mar-
keting activities. 
‘‘(2) RULE
OF
CONSTRUCTION.—Nothing in 
this section shall be construed as a limitation on the 
use by an institution of revenues derived from 
sources other than Federal educational assistance 
funds. 
‘‘(3) REPORTS.—Each institution of higher 
education, or other postsecondary educational insti-
tution, that derives 65 percent or more of revenues 
from Federal educational assistance funds shall re-
port annually to the Secretary and to Congress and 
shall include in such report— 
‘‘(A) a statement of the institution’s ex-
penditures on advertising, marketing, and re-
cruiting; and 
‘‘(B) a verification from an independent 
auditor that the institution is in compliance 
with the requirements of this subsection. 
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‘‘(e) CERTIFICATION.—Each institution of higher 
education or other postsecondary educational institution 
receiving Federal funding under this Act, as a condition 
for receiving such funding, shall annually certify to the 
Secretary of Education that the requirements of sub-
sections (a) through (d) have been met. 
‘‘(f) ACTIONS TO IMPLEMENT AND ENFORCE.—The 
Secretary shall take such actions as are necessary to en-
sure that the provisions of this section are implemented 
and enforced.’’. 
SEC. 5. WHISTLEBLOWER PROTECTIONS FOR PERSONS AS-
SOCIATED WITH INSTITUTIONS OF HIGHER 
EDUCATION. 
(a) WHISTLEBLOWER PROTECTION PROGRAM.—Title 
I of the Higher Education Act of 1965 is amended by in-
serting after section 123 (20 U.S.C. 1011l) the following 
new section: 
‘‘SEC. 124. PROTECTION FROM RETALIATION FOR DISCLO-
SURE OF CERTAIN INFORMATION BY PER-
SONS ASSOCIATED WITH INSTITUTIONS OF 
HIGHER EDUCATION. 
‘‘(a) PROHIBITION OF RETALIATION.— 
‘‘(1) IN
GENERAL.—An institution of higher 
education participating in programs under title IV 
(in this section referred to as an ‘institution’) may 
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not discharge, demote, or otherwise discriminate 
against any person as retaliation for— 
‘‘(A) such person disclosing to an indi-
vidual or entity described in paragraph (2) in-
formation such person reasonably believes evi-
dences a violation of any law, rule, or regulation 
by the institution; or 
‘‘(B) assisting a person disclosing such in-
formation or providing information or docu-
ments for use in disclosing such information. 
‘‘(2) INDIVIDUALS AND ENTITIES COVERED.— 
The individuals and entities described in this para-
graph are: 
‘‘(A) A Member of Congress or a rep-
resentative of a committee of Congress. 
‘‘(B) An Executive agency (as defined in 
section 105 of title 5, United States Code). 
‘‘(C) The Government Accountability Of-
fice. 
‘‘(D) A law enforcement agency. 
‘‘(E) A court or grand jury. 
‘‘(F) A management official or other em-
ployee of an institution who has the responsi-
bility to investigate, discover, or address mis-
conduct. 
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‘‘(b) INVESTIGATION OF COMPLAINTS.— 
‘‘(1) SUBMISSION
OF
COMPLAINT.—A person 
who believes that they have been subjected to a re-
taliation prohibited by subsection (a) may submit a 
complaint to the Inspector General of the Depart-
ment of Education (in this section referred to as the 
‘Inspector General’). Unless the Inspector General 
determines that the complaint is frivolous, fails to 
allege a violation of subsection (a), or has previously 
been addressed in another Federal or State judicial 
or administrative proceeding initiated by the com-
plainant, the Inspector General shall investigate the 
complaint and, upon completion of such investiga-
tion, submit a report of the findings of the investiga-
tion to the complainant, the institution concerned, 
and the Secretary. 
‘‘(2) INSPECTOR GENERAL ACTION.— 
‘‘(A) DETERMINATION OR SUBMISSION OF 
REPORT
ON
FINDINGS.—Except as provided 
under subparagraph (B), the Inspector General 
shall make a determination that a complaint is 
frivolous, fails to allege a violation of subsection 
(a), or has previously been addressed in another 
Federal or State judicial or administrative pro-
ceeding initiated by the complainant or submit 
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a report under paragraph (1) not later than 
180 days after receiving the complaint. 
‘‘(B) EXTENSION OF TIME.—If the Inspec-
tor General is unable to complete an investiga-
tion in time to submit a report within the 180- 
day period specified in subparagraph (A) and 
the complainant agrees to an extension of time, 
the Inspector General shall submit a report 
under paragraph (1) within such additional pe-
riod of time, up to 180 days, as shall be agreed 
upon between the Inspector General and the 
complainant. 
‘‘(3) PROHIBITION ON DISCLOSURE.—The In-
spector General may not respond to any inquiry or 
disclose any information from or about any person 
alleging retaliation, except to the extent that such 
response or disclosure is— 
‘‘(A) made with the consent of the person 
alleging the retaliation; 
‘‘(B) made in accordance with the provi-
sions of section 552a of title 5, United States 
Code, or as required by any other applicable 
Federal law; or 
‘‘(C) necessary to conduct an investigation 
of the alleged retaliation. 
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‘‘(4) TIME LIMITATION.—A complaint may not 
be brought under this subsection more than three 
years after the date on which the alleged retaliation 
took place. 
‘‘(c) REMEDY AND ENFORCEMENT AUTHORITY.— 
‘‘(1) IN
GENERAL.—Not later than 30 days 
after receiving an Inspector General report pursuant 
to subsection (b), the Secretary shall determine 
whether there is sufficient basis to conclude that the 
institution has violated subsection (a) and shall ei-
ther issue an order denying relief or shall take one 
or more of the following actions: 
‘‘(A) Order the institution to take action to 
abate the retaliation. 
‘‘(B) Order the institution to reinstate the 
complainant to the position that the complain-
ant held before the retaliation, together with 
compensatory damages (including back pay) 
and any other benefits, terms, or conditions 
that would apply to the complainant in that po-
sition if the retaliation had not occurred. 
‘‘(C) Order the institution to pay the com-
plainant an amount equal to the aggregate 
amount of all costs and expenses (including at-
torneys’ fees and expert witness fees) that were 
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reasonably incurred by the complainant for, or 
in connection with, bringing the complaint re-
garding the retaliation, as determined by the 
Secretary. 
‘‘(2) EXHAUSTION OF REMEDIES.—If the Sec-
retary issues an order denying relief under para-
graph (1) or has not issued an order within 210 
days after the submission of a complaint under sub-
section (b), or in the case of an extension of time 
under subsection (b)(2)(B), not later than 30 days 
after the expiration of the extension of time, and 
there is no showing that such delay is due to the bad 
faith of the complainant, the complainant shall be 
deemed to have exhausted all administrative rem-
edies with respect to the complaint, and the com-
plainant may bring a de novo action at law or equity 
against the institution to seek compensatory dam-
ages and other relief available under this section in 
the appropriate district court of the United States, 
which shall have jurisdiction over such an action 
without regard to the amount in controversy. Such 
an action shall, at the request of either party to the 
action, be tried by the court with a jury. An action 
under this paragraph may not be brought more than 
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two years after the date on which remedies are 
deemed to have been exhausted. 
‘‘(3) ADMISSIBILITY
OF
EVIDENCE.—The In-
spector General determination and order of the Sec-
retary denying relief under paragraph (2) shall be 
admissible in evidence in any de novo action at law 
or equity brought pursuant to this subsection. 
‘‘(4) ENFORCEMENT OF ORDERS.—Whenever a 
person fails to comply with an order issued under 
paragraph (1), the Secretary shall file an action for 
enforcement of such order in the United States dis-
trict court for a district in which the retaliation was 
found to have occurred. In any action brought under 
this paragraph, the court may grant appropriate re-
lief, including injunctive relief, compensatory and ex-
emplary damages, and attorneys’ fees and costs. The 
person upon whose behalf an order was issued may 
also file such an action or join in an action filed by 
the Secretary. 
‘‘(5) JUDICIAL REVIEW.—Any person adversely 
affected or aggrieved by an order issued under para-
graph (1) may obtain review of the order’s conform-
ance with this subsection, and any regulations issued 
to carry out this section, in the United States court 
of appeals for a circuit in which the retaliation is al-
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leged in the order to have occurred. No petition 
seeking such review may be filed more than 60 days 
after issuance of the order by the head of the execu-
tive agency. Such review shall conform to chapter 7 
of title 5, United States Code. Filing such an appeal 
shall not act to stay the enforcement of the order of 
the Secretary, unless a stay is specifically entered by 
the court. 
‘‘(6) BURDENS OF PROOF.—The legal burdens 
of proof specified in section 1221(e) of title 5, 
United States Code, shall be controlling for the pur-
poses of any investigation conducted by the Inspec-
tor General, decision by the Secretary, or judicial or 
administrative proceeding to determine whether dis-
crimination prohibited under this section has oc-
curred. 
‘‘(7) RIGHTS AND REMEDIES NOT WAIVABLE.— 
The rights and remedies provided for in this section 
may not be waived by any agreement, policy, form, 
or condition of employment. 
‘‘(d) NOTIFICATION OF PERSONS ASSOCIATED WITH 
INSTITUTION.—The Secretary shall ensure that each insti-
tution informs the employees, students, and contractors 
of the institution in writing of the rights and remedies 
provided under this section. 
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‘‘(e) CONSTRUCTION.—Nothing in this section may 
be construed to authorize the discharge of, demotion of, 
or discrimination against a person for a disclosure other 
than a disclosure protected by subsection (a) or to modify 
or derogate from a right or remedy otherwise available 
such person.’’. 
(b) PROHIBITION OF RETALIATION.—Section 487(a) 
of the Higher Education Act of 1965 (20 U.S.C. 1094(a)) 
is amended by adding at the end the following new para-
graph: 
‘‘(30) The institution will comply with the re-
quirements of section 124.’’. 
SEC. 6. ESTABLISHMENT OF COMPLAINT RESOLUTION AND 
TRACKING SYSTEM. 
Title I of the Higher Education Act of 1965 (20 
U.S.C. 1001 et seq.) is amended by adding at the end 
the following new part: 
‘‘PART F—COMPLAINT TRACKING SYSTEM 
‘‘SEC. 161. COMPLAINT TRACKING SYSTEM. 
‘‘(a) ESTABLISHMENT
OF COMPLAINT TRACKING 
SYSTEM.— 
‘‘(1) ESTABLISHMENT OF COMPLAINT TRACK-
ING SYSTEM.—Not later than 1 year after the enact-
ment of the PRO Students Act, the Secretary shall 
complete the establishment of a complaint tracking 
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system that includes a single, toll-free telephone 
number and a website to facilitate the centralized 
collection of, monitoring of, and response to com-
plaints or inquiries regarding the educational prac-
tices and services, and recruiting and marketing 
practices, of all postsecondary educational institu-
tions. 
‘‘(2) ESTABLISHMENT OF COMPLAINT TRACK-
ING OFFICE.—The Secretary shall establish within 
the Department an office whose functions shall in-
clude establishing, administering, and disseminating 
widely information about the complaint tracking sys-
tem established under paragraph (1). The Secretary 
shall— 
‘‘(A) to the extent necessary, combine and 
consolidate the other offices and functions of 
the Department to ensure that the office estab-
lished under this paragraph is the single point 
of contact for students and borrowers with com-
plaints; and 
‘‘(B) to the extent practicable, ensure that 
the office established in this paragraph will 
work with the Student Loan Ombudsman ap-
pointed in accordance with section 141(f) to as-
sist borrowers that have complaints regarding 
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the educational practices and services, and re-
cruiting and marketing practices, of postsec-
ondary educational institutions. 
‘‘(b) HANDLING OF COMPLAINTS.— 
‘‘(1) TIMELY RESPONSE TO COMPLAINTS.—The 
Secretary shall establish, in consultation with the 
heads of appropriate agencies, reasonable procedures 
to provide a timely response to complainants, in 
writing where appropriate, to complaints against, or 
inquiries concerning, an institution of higher edu-
cation that receives funds under this Act. Each re-
sponse shall include a description of— 
‘‘(A) the steps that have been taken by the 
Secretary in response to the complaint or in-
quiry; 
‘‘(B) any responses received by the Sec-
retary from the institution of higher education; 
and 
‘‘(C) any additional actions that the Sec-
retary has taken, or plans to take, in response 
to the complaint or inquiry. 
‘‘(2) TIMELY RESPONSE TO SECRETARY BY IN-
STITUTION OF HIGHER EDUCATION.—The Secretary 
shall notify each institution of higher education that 
receives funds under this Act and that is the subject 
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of a complaint or inquiry under this section regard-
ing the complaint or inquiry. Not later than 60 days 
after receiving such notice, such institution shall 
provide a response to the Secretary concerning the 
complaint or inquiry, including— 
‘‘(A) the steps that have been taken by the 
institution to respond to the complaint or in-
quiry; 
‘‘(B) all responses received by the institu-
tion from the complainant; and 
‘‘(C) any additional actions that the insti-
tution has taken, or plans to take, in response 
to the complaint or inquiry. 
‘‘(3) FURTHER INVESTIGATION.—The Secretary 
may, in the event that the complaint is not ade-
quately resolved or addressed by the responses of the 
institution of higher education receiving funds under 
this Act under paragraph (2), ask additional ques-
tions of such institution or seek additional informa-
tion from or action by the institution. 
‘‘(4) PROVISION OF INFORMATION.— 
‘‘(A) IN GENERAL.—An institution of high-
er education that receives funds under this Act 
shall, in a timely manner, comply with a re-
quest by the Secretary for information in the 
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control or possession of such institution con-
cerning a complaint or inquiry received by the 
Secretary under subsection (a), including sup-
porting written documentation, subject to sub-
paragraph (B). 
‘‘(B) 
EXCEPTIONS.—An 
institution 
of 
higher education that receives funds under this 
Act shall not be required to make available 
under this subsection— 
‘‘(i) any nonpublic or confidential in-
formation, including any confidential com-
mercial information; 
‘‘(ii) any information collected by the 
institution for the purpose of preventing 
fraud or detecting or making any report 
regarding other unlawful or potentially un-
lawful conduct; or 
‘‘(iii) any information required to be 
kept confidential by any other provision of 
law. 
‘‘(5) COMPLIANCE.—An institution of higher 
education that receives funds under this Act shall 
comply with the requirements to provide responses 
and information, in accordance with this subsection, 
as a condition of receiving such funds. 
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‘‘(c) TRANSPARENCY.— 
‘‘(1) SHARING
INFORMATION
WITH
FEDERAL 
AND STATE AGENCIES.—As appropriate and in ac-
cordance with section 444 of the General Education 
Provisions Act (20 U.S.C. 1232g) (commonly re-
ferred to as the ‘‘Family Educational Rights and 
Privacy Act of 1974’’) and other laws, the Secretary 
shall coordinate with the heads of relevant Federal 
and State agencies to— 
‘‘(A) collect complaints related to the com-
plaint tracking system described in subsection 
(b) from such agencies; and 
‘‘(B) when appropriate, route such com-
plaints to the Department of Education, the 
Department of Justice, the Department of De-
fense, the Department of Veterans Affairs, the 
Federal Trade Commission, the Consumer Fi-
nancial Protection Bureau, or any equivalent 
State agency. 
‘‘(2) INTERACTION WITH EXISTING COMPLAINT 
SYSTEMS.—To the extent practicable, all procedures 
established under this section, and all coordination 
carried out under paragraph (1), shall be done in ac-
cordance with the complaint tracking systems estab-
lished under Executive Order 13607 (77 Fed. Reg. 
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25861; relating to establishing principles of excel-
lence 
for 
educational 
institutions 
serving 
servicemembers, veterans, spouses, and other family 
members). 
‘‘(3) PUBLIC INFORMATION.— 
‘‘(A) IN
GENERAL.—The Secretary shall 
regularly publish on the website of the Depart-
ment information on the complaints and inquir-
ies received for each postsecondary educational 
institution under this section, including— 
‘‘(i) the number of complaints and in-
quiries received; 
‘‘(ii) the types of complaints and in-
quiries received; and 
‘‘(iii) where applicable, information 
about the resolution of the complaints and 
inquiries. 
‘‘(B) DATA PRIVACY.—In carrying out sub-
paragraph (A), the Secretary shall— 
‘‘(i) comply with applicable data pri-
vacy laws and regulations; and 
‘‘(ii) ensure that personally identifi-
able information is not shared. 
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‘‘(4) REPORTS.—Each year, the Secretary shall 
prepare and submit to the authorizing committees a 
report describing— 
‘‘(A) the types and nature of complaints 
the Secretary has received under this section; 
‘‘(B) the extent to which complainants are 
receiving relief pursuant to this section; 
‘‘(C) whether particular types of com-
plaints are more common in a given sector of 
postsecondary educational institutions; 
‘‘(D) any legislative recommendations that 
the Secretary determines are necessary to bet-
ter assist students and families; and 
‘‘(E) the schools with the highest volume 
of complaints, as determined by the Secretary. 
‘‘(d) COMPLAINANT DEFINED.—In this section, the 
term ‘complainant’ means a person with a complaint 
against, or inquiry concerning, an institution of higher 
education that receives funds under this Act who is— 
‘‘(1) a student of a postsecondary educational 
institution; 
‘‘(2) a family member of a student of a postsec-
ondary educational institution; 
‘‘(3) a third party acting on behalf of a student 
of a postsecondary educational institution; or 
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‘‘(4) a staff member or employee of a postsec-
ondary educational institution.’’. 
SEC. 7. PROPRIETARY EDUCATION OVERSIGHT COORDINA-
TION COMMITTEE. 
Title I of the Higher Education Act of 1965 (20 
U.S.C. 1001 et seq.), as amended by section 6 of this Act, 
is further amended by adding at the end the following new 
part: 
‘‘PART G—PROPRIETARY EDUCATION 
OVERSIGHT COORDINATION IMPROVEMENT 
‘‘SEC. 166. DEFINITIONS. 
‘‘In this part: 
‘‘(1) EXECUTIVE OFFICER.—The term ‘execu-
tive officer’, with respect to a proprietary institution 
of higher education that is a publicly traded corpora-
tion, means— 
‘‘(A) the president of such corporation; 
‘‘(B) a vice president of such corporation 
who is in charge of a principal business unit, di-
vision, or function of such corporation (includ-
ing sales, administration, or finance); or 
‘‘(C) any other officer or person who per-
forms a policy making function for such cor-
poration. 
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‘‘(2) PROPRIETARY
INSTITUTION
OF
HIGHER 
EDUCATION.—The term ‘proprietary institution of 
higher education’ has the meaning given the term in 
section 102(b). 
‘‘(3) STATE
APPROVAL
AGENCY.—The term 
‘State approval agency’ means any State agency that 
determines whether an institution of higher edu-
cation is legally authorized within such State to pro-
vide a program of education beyond secondary edu-
cation. 
‘‘(4) VETERANS SERVICE ORGANIZATION.—The 
term ‘veterans service organization’ means an orga-
nization recognized by the Secretary of Veterans Af-
fairs for the representation of veterans under section 
5902 of title 38, United States Code. 
‘‘SEC. 167. ESTABLISHMENT OF COMMITTEE. 
‘‘(a) ESTABLISHMENT.—There is established a com-
mittee to be known as the ‘Proprietary Education Over-
sight Coordination Committee’ (referred to in this part as 
the ‘Committee’) and to be composed of the head (or the 
designee of such head) of each of the following: 
‘‘(1) The Department of Education. 
‘‘(2) The Bureau of Consumer Financial Pro-
tection. 
‘‘(3) The Department of Justice. 
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‘‘(4) The Securities and Exchange Commission. 
‘‘(5) The Department of Defense. 
‘‘(6) The Department of Veterans Affairs. 
‘‘(7) The Federal Trade Commission. 
‘‘(8) The Department of Labor. 
‘‘(9) The Internal Revenue Service. 
‘‘(10) At the discretion of the President, any 
other relevant Federal agency or department. 
‘‘(b) DUTIES.—The Committee shall have the fol-
lowing duties: 
‘‘(1) Coordinate Federal oversight of propri-
etary institutions of higher education to— 
‘‘(A) improve enforcement of applicable 
Federal laws and regulations; 
‘‘(B) increase accountability of proprietary 
institutions of higher education to students and 
taxpayers; and 
‘‘(C) ensure the promotion of quality edu-
cation programs. 
‘‘(2) Coordinate Federal activities to protect 
students from unfair, deceptive, abusive, unethical, 
fraudulent, or predatory practices, policies, or proce-
dures of proprietary institutions of higher education. 
‘‘(3) Encourage information sharing among 
agencies related to Federal investigations, audits, or 
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inquiries of proprietary institutions of higher edu-
cation. 
‘‘(4) Increase coordination and cooperation be-
tween Federal and State agencies, including State 
Attorneys General and State approval agencies, with 
respect to improving oversight and accountability of 
proprietary institutions of higher education. 
‘‘(5) Develop best practices and consistency 
among Federal and State agencies in the dissemina-
tion of consumer information regarding proprietary 
institutions of higher education to ensure that stu-
dents, parents, and other stakeholders have easy ac-
cess to such information. 
‘‘(c) MEMBERSHIP.— 
‘‘(1) DESIGNEES.—For any designee described 
in subsection (a), the head of the member entity 
shall appoint a high-level official who exercises sig-
nificant decisionmaking authority for the oversight 
or investigatory activities and responsibilities related 
to proprietary institutions of higher education of the 
respective Federal entity of such head. 
‘‘(2) CHAIR.—The Secretary of Education or 
the designee of the Secretary shall serve as the 
Chair of the Committee. 
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‘‘(3) COMMITTEE SUPPORT.—The head of each 
entity described in subsection (a) shall ensure appro-
priate staff and officials of such entity are available 
to support the Committee-related work of such enti-
ty. 
‘‘SEC. 168. MEETINGS. 
‘‘(a) COMMITTEE MEETINGS.—The members of the 
Committee shall meet regularly, but not less than once 
during each quarter of each fiscal year, to carry out the 
duties described in section 167(b). 
‘‘(b) MEETINGS WITH STATE AGENCIES AND STAKE-
HOLDERS.—The Committee shall meet not less than once 
each fiscal year, and shall otherwise interact regularly, 
with State Attorneys General, State approval agencies, 
veterans service organizations, and consumer advocates to 
carry out the duties described in section 167(b). 
‘‘SEC. 169. REPORT. 
‘‘(a) IN GENERAL.—The Committee shall annually 
submit to the authorizing committees, and any other com-
mittee of Congress that the Committee determines appro-
priate, a report on the activities of the Committee. 
‘‘(b) PUBLIC ACCESS.—Each report described in sub-
section (a) shall be made available to the public in a man-
ner that is easily accessible to parents, students, and other 
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stakeholders in accordance with the best practices devel-
oped under section 167(b)(5). 
‘‘(c) CONTENTS.— 
‘‘(1) IN
GENERAL.—Each report under sub-
section (a) shall include— 
‘‘(A) an accounting of any action taken by 
the Federal Government, any member entity of 
the Committee, or a State— 
‘‘(i) to enforce Federal or State laws 
and regulations applicable to proprietary 
institutions of higher education; 
‘‘(ii) to hold proprietary institutions of 
higher education accountable to students 
and taxpayers; and 
‘‘(iii) to promote quality education 
programs; 
‘‘(B) a summary of complaints against 
each proprietary institution of higher education 
received by any member entity of the Com-
mittee; 
‘‘(C) the data described in paragraph (2) 
and any other data relevant to proprietary insti-
tutions of higher education that the Committee 
determines appropriate; and 
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‘‘(D) recommendations of the Committee 
for such legislative and administrative actions 
as the Committee determines are necessary 
to— 
‘‘(i) improve enforcement of applicable 
Federal laws; 
‘‘(ii) increase accountability of propri-
etary institutions of higher education to 
students and taxpayers; and 
‘‘(iii) ensure the promotion of quality 
education programs. 
‘‘(2) DATA.— 
‘‘(A) INDUSTRY-WIDE DATA.—Each report 
under subsection (a) shall include data on all 
proprietary institutions of higher education that 
consists of information regarding— 
‘‘(i) the total amount of Federal funds 
provided to proprietary institutions of 
higher education during the previous aca-
demic year; 
‘‘(ii) the percentage of the total 
amount of Federal funds provided to insti-
tutions of higher education (as defined in 
section 102) for such previous academic 
year that were provided to proprietary in-
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stitutions of higher education for such pre-
vious academic year; 
‘‘(iii) the total amount of Federal 
funds that proprietary institutions of high-
er education disbursed or delivered, on be-
half of a student, or to a student to be 
used to attend an institution of higher edu-
cation, for the previous academic year, 
disaggregated by— 
‘‘(I) educational assistance in the 
form of a loan provided under title IV; 
‘‘(II) educational assistance in 
the form of a grant provided under 
title IV; 
‘‘(III) educational assistance pro-
vided under chapter 33 of title 38, 
United States Code; 
‘‘(IV) tuition assistance provided 
under section 2007 of title 10, United 
States Code; 
‘‘(V) assistance provided under 
section 1784a of title 10, United 
States Code; and 
‘‘(VI) Federal funds not de-
scribed in subclauses (I) through (V); 
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‘‘(iv) the percentage of the total 
amount of Federal funds provided to insti-
tutions of higher education (as defined in 
section 102) for such previous academic 
year for each of the programs described in 
subclauses (I) through (V) of clause (iii) 
that were provided to proprietary institu-
tions of higher education for such previous 
academic year for each of such programs; 
‘‘(v) the average retention and grad-
uation rates for students pursuing a degree 
at proprietary institutions of higher edu-
cation; 
‘‘(vi) the average cohort default rate 
(as defined in section 435(m)) for propri-
etary institutions of higher education, and 
an annual list of cohort default rates (as 
defined in such section) for all proprietary 
institutions of higher education; 
‘‘(vii) for careers requiring the pas-
sage of a licensing examination— 
‘‘(I) the passage rate of individ-
uals who attended a proprietary insti-
tution of higher education taking such 
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examination to pursue such a career; 
and 
‘‘(II) the passage rate of all indi-
viduals taking such exam to pursue 
such a career; and 
‘‘(viii) the use of private education 
loans at proprietary institutions of higher 
education that includes— 
‘‘(I) an estimate of the total 
number of such loans; and 
‘‘(II) information on the average 
debt, default rate, and interest rate of 
such loans. 
‘‘(B) DATA
ON
PUBLICLY
TRADED
COR-
PORATIONS.— 
‘‘(i) IN GENERAL.—Each report under 
subsection 9(a) shall include data on pro-
prietary institutions of higher education 
that are publicly traded corporations, con-
sisting of information on— 
‘‘(I) any pre-tax profit of such 
proprietary institutions of higher edu-
cation— 
‘‘(aa) reported as a total 
amount and an average percent-
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age of revenue for all such pro-
prietary institutions of higher 
education; and 
‘‘(bb) reported for each such 
proprietary institution of higher 
education; 
‘‘(II) revenue for such propri-
etary institutions of higher education 
spent on recruiting and marketing ac-
tivities, student instruction, and stu-
dent support services, reported— 
‘‘(aa) as a total amount and 
an average percentage of revenue 
for all such proprietary institu-
tions of higher education; and 
‘‘(bb) for each such propri-
etary institution of higher edu-
cation; 
‘‘(III) total compensation pack-
ages of the executive officers of each 
such proprietary institution of higher 
education; and 
‘‘(IV) a list of institutional loan 
programs offered by each such propri-
etary institution of higher education 
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that includes information on the de-
fault and interest rates of such pro-
grams. 
‘‘(ii) DISAGGREGATED
BY
OWNER-
SHIP.—Each report under subsection (a) 
shall include data on proprietary institu-
tions of higher education that are publicly 
traded corporations, disaggregated by cor-
porate or parent entity, brand name, and 
campus, consisting of— 
‘‘(I) the total cost of attendance 
for each program at each such propri-
etary institution of higher education, 
and information comparing such total 
cost for each such program to— 
‘‘(aa) the average cost of at-
tendance for each program at 
public institutions of higher edu-
cation; and 
‘‘(bb) the average total cost 
of attendance for each program 
at all non-profit institutions of 
higher education; 
‘‘(II) total enrollment, disaggre-
gated by— 
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‘‘(aa) individuals enrolled in 
programs taken online; and 
‘‘(bb) individuals enrolled in 
programs that are not taken on-
line; 
‘‘(III) the average retention and 
graduation rates for students pur-
suing a degree at such proprietary in-
stitutions of higher education; 
‘‘(IV) the percentage of students 
enrolled in such proprietary institu-
tions of higher education who com-
plete a program of such an institution 
within— 
‘‘(aa) the standard period of 
completion for such program; and 
‘‘(bb) a period that is 150 
percent of such standard period 
of completion; 
‘‘(V) the total cost of attendance 
for each program at such proprietary 
institutions of higher education; 
‘‘(VI) the average cohort default 
rate, as defined in section 435(m), for 
such proprietary institutions of higher 
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education, and an annual list of co-
hort default rates (as defined in such 
section) for all proprietary institutions 
of higher education; 
‘‘(VII) the median educational 
debt incurred by students who com-
plete a program at such a proprietary 
institution of higher education; 
‘‘(VIII) the median educational 
debt incurred by students who start 
but do not complete a program at 
such a proprietary institution of high-
er education; 
‘‘(IX) the job placement rate for 
students who complete a program at 
such a proprietary institution of high-
er education and the type of employ-
ment obtained by such students; 
‘‘(X) for careers requiring the 
passage of a licensing examination, 
the rate of individuals who attended 
such a proprietary institution of high-
er education and passed such an ex-
amination; and 
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