‘‘(III) restitution; 
‘‘(IV) disgorgement or compensa-
tion for unjust enrichment; 
‘‘(V) payment of damages or 
other monetary relief pursuant to the 
requirements of paragraph (2); 
‘‘(VI) public notification regard-
ing the violation, including the costs 
of notification; and 
‘‘(VII) limits on the activities or 
functions of the person. 
‘‘(ii) EXCLUSION.—Relief under this 
subsection shall not include the ability to 
suspend or terminate the eligibility status 
of an institution of higher education for 
programs under this title. 
‘‘(l) DEFINITIONS.—In this section: 
‘‘(1) OFFICER OF AN INSTITUTION OF HIGHER 
EDUCATION.—The term ‘officer of an institution of 
higher education’ includes the president, chief execu-
tive officer, and chief financial officer of an institu-
tion of higher education or their equivalents. 
‘‘(2) SUBSTANTIAL
MISREPRESENTATION
OR 
OTHER SERIOUS VIOLATION.—The term ‘substantial 
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misrepresentation or other serious violation’ means 
any of the following: 
‘‘(A) A substantial misrepresentation re-
garding— 
‘‘(i) the nature of the educational pro-
gram of an institution of higher education; 
‘‘(ii) the financial charges of the insti-
tution; 
‘‘(iii) the space availability in a pro-
gram of the institution for which a student 
is considering enrollment; 
‘‘(iv) the admission requirements of 
the institution; 
‘‘(v) the transferability of credits from 
the institution; 
‘‘(vi) whether a program of the insti-
tution meets the necessary standards to 
qualify students to sit for licensing exami-
nations, or obtain certification required as 
a precondition for employment, in the 
State in which the students reside; 
‘‘(vii) the passage rates of students at 
the institution in obtaining certification re-
quirements; 
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‘‘(viii) the passage rates of students 
who sit for licensing examinations; or 
‘‘(ix) the employability of the grad-
uates of the institution. 
‘‘(B) Failure of an institution subject to 
the requirements of section 487(a)(32) to com-
ply with such section. 
‘‘(C) A knowing and willful misuse of Fed-
eral student aid from any source. 
‘‘(D) A violation of section 487(a)(20). 
‘‘(E) A violation of the default manipula-
tion regulations promulgated by the Secretary 
under section 435(m)(3). 
‘‘(F) Failure to comply with the program 
review process described in section 498A, in-
cluding any disclosure requirement described in 
paragraph (2)(C) or (5) of section 498A(b). 
‘‘(G) A violation of the program integrity 
regulations promulgated by the Secretary under 
this Act. 
‘‘(H) A violation of this Act that the Sec-
retary has determined, by regulation, to be a 
serious violation for purposes of this section.’’. 
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SEC. 14. REQUIREMENTS FOR ACCREDITING AGENCIES OR 
ASSOCIATIONS. 
Section 496(a) of the Higher Education Act of 1965 
(20 U.S.C. 1099b(a)) is amended— 
(1) in paragraph (7), by striking ‘‘and’’ after 
the semicolon; 
(2) in paragraph (8), by striking the period and 
inserting ‘‘; and’’; and 
(3) by adding at the end the following new 
paragraph: 
‘‘(9) such agency or association does not re-
quire any institution to enter into predispute arbi-
tration agreements with the students of the institu-
tion.’’. 
SEC. 15. PROGRAM REVIEW AND DATA. 
Section 498A of the Higher Education Act of 1965 
(20 U.S.C. 1099c–1) is amended to read as follows: 
‘‘SEC. 498A. PROGRAM REVIEW AND DATA. 
‘‘(a) PROGRAM REVIEWS FOR INSTITUTIONS PAR-
TICIPATING UNDER TITLE IV.— 
‘‘(1) IN GENERAL.—The Secretary— 
‘‘(A) may conduct program reviews, includ-
ing on-site visits, of each institution of higher 
education participating in a program authorized 
under this title; and 
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‘‘(B) shall conduct a program review under 
this subsection of each institution of higher 
education that poses a significant risk of failure 
to comply with this title, as described in para-
graphs (2) and (3). 
‘‘(2) MANDATORY REVIEWS.— 
‘‘(A) IN GENERAL.—The Secretary shall, 
on an annual basis, conduct program reviews of 
each institution of higher education partici-
pating in a program authorized under this title 
that meets 1 or more of the following criteria: 
‘‘(i) The Secretary determines that— 
‘‘(I) more than 15 percent of the 
students enrolled at the institution 
have received a Federal Direct Unsub-
sidized Stafford Loan during the pre-
vious year; and 
‘‘(II) the institution has a cohort 
default rate, as defined in section 
435(m), that is more than 20 percent. 
‘‘(ii) The Secretary determines that— 
‘‘(I) the institution has a cohort 
default rate, as defined in section 
435(m), that exceeds the national av-
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erage, as determined by the Secretary 
in accordance with such section; and 
‘‘(II) the institution has an ag-
gregate amount of defaulted loans, as 
determined by the Secretary, that 
places the institution in the highest 1 
percent of institutions participating in 
programs authorized under this title 
in terms of the aggregate amount of 
defaulted loans. 
‘‘(iii) In the case of proprietary insti-
tutions of higher education, the institution 
received more than 80 percent of the insti-
tution’s revenues from Federal funds as 
defined in section 166(2), during the 2 
most recent years for which data is avail-
able. 
‘‘(iv) The institution is among the top 
1 percent of institutions participating in 
programs authorized under this title in 
terms of numbers or rates of complaints 
related to Federal student financial aid, 
educational practices and services, or re-
cruiting and marketing practices, as re-
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