HR 609 PCS 
a 2- or 4-year program of instruction (or both) 
for which the institution awards an associate’s 
degree or a bachelor’s degree, respectively, ex-
cept that the Secretary may waive the limita-
tion contained in this subparagraph if an insti-
tution demonstrates to the satisfaction of the 
Secretary that the institution exceeds such limi-
tation because the institution serves, through 
contracts with Federal, State, or local govern-
ment agencies, significant numbers of students 
who do not meet the requirements of section 
484(d)(3) or do not have a secondary school di-
ploma or its recognized equivalent. 
‘‘(c) LIST OF ACCREDITING AGENCIES.—For pur-
poses of this section, the Secretary shall publish a list of 
nationally recognized accrediting agencies or associations 
that the Secretary determines, pursuant to subpart 2 of 
part H of title IV, to be reliable authority as to the quality 
of the education or training offered. 
‘‘(d) CERTIFICATION.—The Secretary shall certify, 
for the purposes of participation in title IV, an institu-
tion’s qualification as an institution of higher education 
in accordance with the requirements of subpart 3 of part 
H of title IV. 
VerDate Aug 31 2005 
23:57 Apr 04, 2006
Jkt 049200
PO 00000
Frm 00013
Fmt 6652
Sfmt 6201
E:\BILLS\H609.PCS
H609
CCOLEMAN on PROD1PC71 with BILLS
HR 609 PCS 
‘‘(e) LOSS OF ELIGIBILITY.—An institution of higher 
education shall not be considered to meet the definition 
of an institution of higher education in this section for 
the purposes of participation in title IV if such institution 
is removed from eligibility for funds under title IV as a 
result of an action pursuant to part H of title IV. 
‘‘SEC. 102. INSTITUTIONS OUTSIDE THE UNITED STATES. 
‘‘(a) 
INSTITUTIONS
OUTSIDE
THE
UNITED 
STATES.— 
‘‘(1) IN GENERAL.—An institution outside the 
United States shall be considered to be an institu-
tion of higher education only for purposes of part B 
of title IV if the institution is comparable to an in-
stitution of higher education, as defined in section 
101, is legally authorized by the education ministry 
(or comparable agency) of the country in which the 
school is located, and has been approved by the Sec-
retary for purposes of that part. The Secretary shall 
establish criteria by regulation for that approval and 
that determination of comparability. An institution 
may not be so approved or determined to be com-
parable unless such institution is a public or non-
profit institution, except that, subject to paragraph 
(2)(B), a graduate medical school or veterinary 
VerDate Aug 31 2005 
23:57 Apr 04, 2006
Jkt 049200
PO 00000
Frm 00014
Fmt 6652
Sfmt 6201
E:\BILLS\H609.PCS
H609
CCOLEMAN on PROD1PC71 with BILLS
HR 609 PCS 
school located outside the United States may be a 
for-profit institution. 
‘‘(2) MEDICAL AND VETERINARY SCHOOL CRI-
TERIA.—In the case of a graduate medical or veteri-
nary school outside the United States, such criteria 
shall include a requirement that a student attending 
such school outside the United States is ineligible 
for loans made, insured, or guaranteed under part B 
of title IV unless— 
‘‘(A) in the case of a graduate medical 
school located outside the United States— 
‘‘(i)(I) at least 60 percent of those en-
rolled in, and at least 60 percent of the 
graduates of, the graduate medical school 
outside the United States were not persons 
described in section 484(a)(5) in the year 
preceding the year for which a student is 
seeking a loan under part B of title IV; 
and 
‘‘(II) at least 60 percent of the indi-
viduals who were students or graduates of 
the graduate medical school outside the 
United States or Canada (both nationals of 
the United States and others) taking the 
examinations administered by the Edu-
VerDate Aug 31 2005 
23:57 Apr 04, 2006
Jkt 049200
PO 00000
Frm 00015
Fmt 6652
Sfmt 6201
E:\BILLS\H609.PCS
H609
CCOLEMAN on PROD1PC71 with BILLS
HR 609 PCS 
cational Commission for Foreign Medical 
Graduates received a passing score in the 
year preceding the year for which a stu-
dent is seeking a loan under part B of title 
IV; or 
‘‘(ii) the institution has or had a clin-
ical training program that was approved by 
a State as of January 1, 1992, and con-
tinues to operate a clinical training pro-
gram in at least one State, which is ap-
proved by that State; or 
‘‘(B) in the case of a veterinary school lo-
cated outside the United States that is not a 
public or nonprofit institution, the institution’s 
students complete their clinical training at an 
approved veterinary school located in the 
United States. 
‘‘(b) ADVISORY PANEL.— 
‘‘(1) IN GENERAL.—For the purpose of quali-
fying a foreign medical school as an institution of 
higher education only for purposes of part B of title 
IV, the Secretary shall publish qualifying criteria by 
regulation and establish an advisory panel of medical 
experts that shall— 
VerDate Aug 31 2005 
23:57 Apr 04, 2006
Jkt 049200
PO 00000
Frm 00016
Fmt 6652
Sfmt 6201
E:\BILLS\H609.PCS
H609
CCOLEMAN on PROD1PC71 with BILLS
HR 609 PCS 
‘‘(A) evaluate the standards of accredita-
tion applied to applicant foreign medical 
schools; and 
‘‘(B) determine the comparability of those 
standards to standards for accreditation applied 
to United States medical schools. 
‘‘(2) FAILURE
TO
RELEASE
INFORMATION.— 
The failure of an institution outside the United 
States to provide, release, or authorize release to the 
Secretary of such information as may be required by 
subsection (a)(2) shall render such institution ineli-
gible for the purpose of part B of title IV.’’. 
(b) RESTRICTIONS
ON FUNDS
FOR
FOR-PROFIT 
SCHOOLS.—Part B of title I is amended by inserting after 
section 122 (20 U.S.C. 1011k) the following new section: 
‘‘SEC. 123. RESTRICTIONS ON FUNDS FOR FOR-PROFIT 
SCHOOLS. 
‘‘(a) IN GENERAL.—Notwithstanding any other pro-
vision of this Act authorizing the use of funds by an insti-
tution of higher education that receives funds under this 
Act, none of the funds made available under this Act to 
a for-profit institution of higher education may be used 
for— 
VerDate Aug 31 2005 
23:57 Apr 04, 2006
Jkt 049200
PO 00000
Frm 00017
Fmt 6652
Sfmt 6201
E:\BILLS\H609.PCS
H609
CCOLEMAN on PROD1PC71 with BILLS