116TH CONGRESS 
1ST SESSION H. R. 4625 
AN ACT 
To amend title 38, United States Code, to require that 
educational institutions abide by certain principles as 
a condition of approval for purposes of the educational 
assistance programs of the Department of Veterans Af-
fairs, 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 
‘‘Protect the GI Bill Act’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Clarification of educational assistance for individuals who pursue an ap-
proved program of education leading to a degree while on ac-
tive duty. 
Sec. 3. Verification of enrollment for purposes of receipt of Post-9/11 Edu-
cational Assistance benefits. 
Sec. 4. Clarification regarding the dependents to whom entitlement to edu-
cational assistance may be transferred under the Post 9/11 
Educational Assistance Program. 
Sec. 5. Expansion of reasons for which a course of education may be dis-
approved. 
Sec. 6. Oversight of educational institutions subject to Government action for 
purposes of the educational assistance programs of the Depart-
ment of Veterans Affairs. 
Sec. 7. Additional requirement for approval of educational institutions for pur-
poses of the educational assistance programs of the Depart-
ment of Veterans Affairs. 
Sec. 8. Clarification of accreditation for law schools for purposes of the edu-
cational assistance programs of the Department of Veterans 
Affairs. 
Sec. 9. Clarification of grounds for disapproval of a course for purposes of the 
educational assistance programs of the Department of Veterans 
Affairs. 
Sec. 10. Requirements for educational institutions participating in the edu-
cational assistance programs of the Department of Veterans 
Affairs. 
Sec. 11. Overpayments to eligible persons or veterans. 
Sec. 12. Improvements to limitation on certain advertising, sales, and enroll-
ment practices. 
Sec. 13. Additional limitation on certain advertising, sales, and enrollment 
practices of educational institutions. 
Sec. 14. Charge to entitlement to educational assistance for individuals who do 
not transfer credits from certain closed or disapproved pro-
grams of education. 
Sec. 15. Determination of budgetary effects.
SEC. 2. CLARIFICATION OF EDUCATIONAL ASSISTANCE 
FOR INDIVIDUALS WHO PURSUE AN AP-
PROVED PROGRAM OF EDUCATION LEADING 
TO A DEGREE WHILE ON ACTIVE DUTY. 
Section 3313(e) of title 38, United States Code, is 
amended— 
(1) in the heading, by inserting ‘‘FOR A PERIOD 
OF MORE THAN 30 DAYS’’ after ‘‘ACTIVE DUTY’’; 
(2) in paragraph (1), by inserting ‘‘for a period 
of more than 30 days’’ after ‘‘active duty’’; and 
(3) in paragraph (2), in the matter preceding 
subparagraph (A), by inserting ‘‘for a period of 
more than 30 days’’ after ‘‘active duty’’. 
SEC. 3. VERIFICATION OF ENROLLMENT FOR PURPOSES OF 
RECEIPT OF POST-9/11 EDUCATIONAL ASSIST-
ANCE BENEFITS. 
(a) IN GENERAL.—Section 3313 of title 38, United 
States Code, as amended by section 2, is further amended 
by adding at the end the following new subsection: 
‘‘(l) VERIFICATION OF ENROLLMENT.—(1) The Sec-
retary shall require— 
‘‘(A) each educational institution to submit to 
the Secretary verification of each individual who is 
enrolled in a course or program of education at the 
educational institution and is receiving educational 
assistance under this chapter for each month during
‘‘(1) TRANSFER.—An individual approved to 
transfer an entitlement to educational assistance 
under this section may transfer the individual’s enti-
tlement to an eligible dependent or a combination of 
eligible dependents. 
‘‘(2) DEFINITION OF ELIGIBLE DEPENDENT.— 
For purposes of this subsection, the term ‘eligible 
dependent’ has the meaning given the term ‘depend-
ent’ under paragraph (2) of section 1072 of title 
10.’’. 
(b) APPLICABILITY.—The amendment made by sub-
section (a) shall apply with respect to educational assist-
ance payable under chapter 33 of title 38, United States 
Code, before, on, or after the date of the enactment of 
this Act. 
SEC. 5. EXPANSION OF REASONS FOR WHICH A COURSE OF 
EDUCATION MAY BE DISAPPROVED. 
(a) IN GENERAL.—Section 3672(b)(2) of title 38, 
United States Code, is amended— 
(1) in subparagraph (A)(i), by inserting or ‘‘or 
(D)’’ after ‘‘subparagraph (C)’’; and 
(2) by adding at the end the following new sub-
paragraph: 
‘‘(D) A program that is described in subparagraph 
(A)(i) of this paragraph and offered by an educational in-
stitution that is at risk of losing accreditation shall not 
be deemed to be approved for purposes of this chapter. 
For purposes of this subparagraph, an educational institu-
tion is at risk of losing accreditation if that educational 
institution has received from the relevant accrediting 
agency or association a notice described in section 
3673(e)(2)(D) of this title.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall take effect on the date that is 180 
days after the date of the enactment of this Act. 
SEC. 6. OVERSIGHT OF EDUCATIONAL INSTITUTIONS SUB-
JECT TO GOVERNMENT ACTION FOR PUR-
POSES OF THE EDUCATIONAL ASSISTANCE 
PROGRAMS OF THE DEPARTMENT OF VET-
ERANS AFFAIRS. 
(a) IN GENERAL.—Section 3673 of title 38, United 
States Code, is amended by adding at the end the fol-
lowing new subsection: 
‘‘(e) NOTICE OF GOVERNMENT ACTION.—(1)(A) If 
the Secretary receives notice under paragraph (2), or oth-
erwise becomes aware of an action or event described in 
paragraph (3), with respect to an educational institution, 
the Secretary shall transmit such notice or provide notice 
of such action or event to the State approving agency for 
the State where the educational institution is located by
not later than 30 days after the date on which the Sec-
retary receives such notice or becomes aware of such ac-
tion or event. A State approving agency shall perform a 
risk-based oversight survey to the educational institution 
by not later than 60 days after receiving notice under this 
subparagraph. 
‘‘(B) If a State approving agency receives notice as 
described in paragraph (2), or otherwise becomes aware 
of an action or event described in paragraph (3), with re-
spect to an educational institution, the State approving 
agency shall perform a risk-based oversight survey to the 
educational institution by not later than 60 days after re-
ceiving such notice or otherwise becoming aware of such 
action or event. 
‘‘(2) Notice under this paragraph is any of the fol-
lowing: 
‘‘(A) Notice from the Secretary of Education of 
an event under paragraph (3)(A). 
‘‘(B) Notice of an event under paragraph 
(3)(B). 
‘‘(C) Notice from a State of an action take by 
that State under paragraph (3)(C). 
‘‘(D) Notice provided by an accrediting agency 
or association of an action described in paragraph 
(3)(D) taken by that agency or association.
‘‘(E) Notice that the Secretary of Education 
has placed the educational institution on provisional 
status. 
‘‘(3) An action or event under this paragraph is any 
of the following: 
‘‘(A) The receipt by an educational institution 
of payments under the heightened cash monitoring 
payment method pursuant to section 487(c)(1)(B) of 
the Higher Education Act of 1965 (20 U.S.C. 
1094). 
‘‘(B) Final punitive action taken by the Attor-
ney General, the Federal Trade Commission, or any 
other Federal department or agency against an edu-
cational institution relating to misconduct or mis-
leading marketing practices, as defined by the Sec-
retary of Veterans Affairs. 
‘‘(C) Final punitive action taken by a State 
against an educational institution. 
‘‘(D) The loss, or risk of loss, by an educational 
institution of an accreditation from an accrediting 
agency or association, including notice of probation, 
suspension, an order to show cause, or revocation of 
accreditation.
‘‘(E) The placement of an educational institu-
tion on provisional status by the Secretary of Edu-
cation. 
‘‘(4) If a State approving agency disapproves or sus-
pends an educational institution, the State approving 
agency shall provide notice of such disapproval or suspen-
sion to the Secretary and to the other State approving 
agencies. 
‘‘(5) This subsection shall be carried out using 
amounts made available pursuant to section 3674(a)(4) 
of this title as long as such amounts remain available.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall take effect on August 1, 2020. 
SEC. 7. ADDITIONAL REQUIREMENT FOR APPROVAL OF 
EDUCATIONAL INSTITUTIONS FOR PURPOSES 
OF THE EDUCATIONAL ASSISTANCE PRO-
GRAMS OF THE DEPARTMENT OF VETERANS 
AFFAIRS. 
(a) IN GENERAL.—Section 3675 of title 38, United 
States Code, is amended— 
(1) in subsection (b), by adding at the end the 
following new paragraph: 
‘‘(4) The educational institution is approved 
and participates in a program under title IV of the 
Higher Education Act of 1965 (20 U.S.C. 1070 et
seq.) or the Secretary has waived the requirement 
under this paragraph with respect to an educational 
institution and submits to the Committees on Vet-
erans’ Affairs of the Senate and House of Rep-
resentatives notice of such waiver.’’. 
(2) by adding at the end the following new sub-
section: 
‘‘(d) The Secretary shall submit to Congress an an-
nual report on any waivers issued pursuant to subsection 
(b)(4) or section 3672(b)(2)(A)(i) of this title. Each such 
report shall include, for the year covered by the report— 
‘‘(1) the name of each educational institution 
for which a waiver was issued; 
‘‘(2) the justification for each such waiver; and 
‘‘(3) the total number of waivers issued.’’. 
(b) REQUIREMENT FOR APPROVAL OF STANDARD 
COLLEGE DEGREE PROGRAMS.—Clause (i) of subpara-
graph (A) of paragraph (2) of subsection (b) of section 
3672 of such title is amended to read as follows: 
‘‘(i) Except as provided in subparagraph 
(C) or (D), an accredited standard college de-
gree program offered at a public or not-for- 
profit proprietary educational institution that—
‘‘(I) is accredited by an agency or as-
sociation recognized for that purpose by 
the Secretary of Education; and 
‘‘(II) is approved and participates in a 
program under title IV of the Higher Edu-
cation Act of 1965 (20 U.S.C. 1070 et 
seq.), unless the Secretary has waived the 
requirement to participate in a program 
under title IV of the Higher Education Act 
of 1965 (20 U.S.C. 1070 et seq.).’’. 
(c) EFFECTIVE DATE.—The amendments made by 
subsections (a) and (b) shall take effect on August 1, 
2020. 
SEC. 8. CLARIFICATION OF ACCREDITATION FOR LAW 
SCHOOLS 
FOR 
PURPOSES 
OF 
THE 
EDU-
CATIONAL ASSISTANCE PROGRAMS OF THE 
DEPARTMENT OF VETERANS AFFAIRS. 
(a) IN GENERAL.—Paragraphs (14)(B) and (15)(B) 
of section 3676(c) of title 38, United States Code, are 
each amended by striking ‘‘an accrediting agency’’ both 
places it appears and inserting ‘‘a specialized accrediting 
agency’’. 
(b) EFFECTIVE DATE.—The amendments made by 
subsection (a) shall take effect on August 1, 2020.
SEC. 9. CLARIFICATION OF GROUNDS FOR DISAPPROVAL 
OF A COURSE FOR PURPOSES OF THE EDU-
CATIONAL ASSISTANCE PROGRAMS OF THE 
DEPARTMENT OF VETERANS AFFAIRS. 
(a) IN GENERAL.—Section 3679(a)(1) of title 38, 
United States Code, is amended by inserting ‘‘(including 
failure to comply with a risk-based survey under section 
3673(d) of this title and secure an affirmation of approval 
by the appropriate State approving agency following the 
survey)’’ after ‘‘requirements of this chapter’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall take effect on August 1, 2020. 
SEC. 10. REQUIREMENTS FOR EDUCATIONAL INSTITUTIONS 
PARTICIPATING IN THE EDUCATIONAL AS-
SISTANCE PROGRAMS OF THE DEPARTMENT 
OF VETERANS AFFAIRS. 
(a) IN GENERAL.—Section 3679 of title 38, United 
States Code, as amended by section 6, is further amended 
by adding at the end the following new subsection: 
‘‘(f)(1) Except as provided by paragraph (5), a State 
approving agency, or the Secretary when acting in the role 
of the State approving agency, may take an action de-
scribed in paragraph (4)(A) if the State approving agency 
or the Secretary determines that an educational institution 
does not perform any of the following:
‘‘(A) Prior to the enrollment of a covered indi-
vidual in a course of education at the educational in-
stitution, provide the individual with a form that 
contains information personalized to the individual 
that describes— 
‘‘(i) the estimated total cost of the course, 
including tuition, fees, books, supplies, and any 
other additional costs; 
‘‘(ii) an estimate of the cost for living ex-
penses for students enrolled in the course; 
‘‘(iii) the amount of the costs under 
clauses (i) and (ii) that are covered by the edu-
cational assistance provided to the individual 
under chapter 30, 32, 33, or 35 of this title, or 
chapter 1606 or 1607 of title 10, as the case 
may be; 
‘‘(iv) the type and amount of Federal fi-
nancial aid not administered by the Secretary 
and financial aid offered by the institution that 
the individual may qualify to receive; 
‘‘(v) an estimate of the amount of student 
loan debt the individual would have upon grad-
uation; 
‘‘(vi) information regarding graduation 
rates;
‘‘(vii) job-placement rates for graduates of 
the course, if available; 
‘‘(viii) information regarding the accept-
ance by the institution of transfer of credits, in-
cluding military credits; 
‘‘(ix) any conditions or additional require-
ments, including training, experience, or exami-
nations, required to obtain the license, certifi-
cation, or approval for which the course of edu-
cation is designed to provide preparation; and 
‘‘(x) other information to facilitate com-
parison by the individual of aid packages of-
fered by different educational institutions. 
‘‘(B) Not later than 15 days after the date on 
which the institution (or the governing body of the 
institution) determines tuition rates and fees for an 
academic year that is different than the amount 
being charged by the institution, provide a covered 
individual enrolled in a course of education at the 
educational institution with the form under subpara-
graph (A) that contains updated information. 
‘‘(C) Maintain policies to— 
‘‘(i) inform each covered individual enrolled 
in a course of education at the educational in-
stitution of the availability of Federal financial
aid not administered by the Secretary and fi-
nancial aid offered by the institution; and 
‘‘(ii) alert such individual of the potential 
eligibility of the individual for such financial aid 
before packaging or arranging student loans or 
alternative financing programs for the indi-
vidual. 
‘‘(D) Maintain policies to— 
‘‘(i) prohibit the automatic renewal of a 
covered individual in courses and programs of 
education; and 
‘‘(ii) ensure that each covered individual 
approves of the enrollment of the individual in 
a course. 
‘‘(E) Provide to a covered individual enrolled in 
a course of education at the educational institution 
with information regarding the requirements to 
graduate from such course, including information re-
garding when required classes will be offered and a 
timeline to graduate. 
‘‘(F) With respect to an accredited educational 
institution, obtain the approval of the accrediting 
agency for each new course or program of the insti-
tution before enrolling covered individuals in such 
courses or programs if the accrediting agency deter-
mines that such approval is appropriate under the 
substantive change requirements of the accrediting 
agency regarding the quality, objectives, scope, or 
control of the institution. 
‘‘(G) Maintain a policy that— 
‘‘(i) ensures that members of the Armed 
Forces, including the reserve components and 
the National Guard, who enroll in a course of 
education at the educational institution may be 
readmitted at such institution if such members 
are temporarily unavailable or have to suspend 
such enrollment by reason of serving in the 
Armed Forces; and 
‘‘(ii) otherwise accommodates such mem-
bers during short absences by reason of such 
service. 
‘‘(H) Designate an employee of the educational 
institution to serve as a point of contact for covered 
individuals and the family of such individuals need-
ing assistance with respect to academic counseling, 
financial counseling, disability counseling, and other 
information regarding completing a course of edu-
cation at such institution, including by referring 
such individuals and family to the appropriate per-
sons for such counseling and information.
‘‘(2) Except as provided by paragraph (5), a State 
approving agency, or the Secretary when acting in the role 
of the State approving agency, may take an action de-
scribed in paragraph (4)(A) if the State approving agency, 
the Secretary, or the Federal Trade Commission, deter-
mines that an educational institution does any of the fol-
lowing: 
‘‘(A) Carries out deceptive or persistent recruit-
ing techniques, including on military installations, 
that may include— 
‘‘(i) misrepresentation (as defined in sec-
tion 3696(e)(2)(B) of this title) or payment of 
incentive compensation; 
‘‘(ii) during any 1-month period making 
three or more unsolicited contacts to a covered 
individual, including contacts by phone, email, 
or in-person; or 
‘‘(iii) engaging in same-day recruitment 
and registration. 
‘‘(B) Pays inducements, including any gratuity, 
favor, discount, entertainment, hospitality, loan, 
transportation, lodging, meals, or other item having 
a monetary value of more than a de minimis 
amount, to any individual or entity, or its agents in-
cluding third party lead generators or marketing
firms other than salaries paid to employees or fees 
paid to contractors in conformity with all applicable 
laws for the purpose of securing enrollments of cov-
ered individuals or obtaining access to educational 
assistance under this title, with the exception of 
scholarships, grants, and tuition reductions provided 
by the educational institution. 
‘‘(3) A State approving agency, or the Secretary when 
acting in the role of the State approving agency, may take 
an action described in paragraph (4)(A) if the State ap-
proving agency or the Secretary determines that an edu-
cational institution is the subject of a negative action 
made by the accrediting agency that accredits the institu-
tion, including any of the following: 
‘‘(A) A show cause order. 
‘‘(B) Accreditor sanctions. 
‘‘(C) Accreditation probation. 
‘‘(D) The loss of accreditation or candidacy for 
accreditation. 
‘‘(4)(A) An action described in this subparagraph is 
any of the following: 
‘‘(i) Publishing a warning on the internet 
website of the Department described in section 
3698(c)(2) of this title, or such other similar inter-
net website of the Department, that describes how
an educational institution is failing to meet a re-
quirement under paragraph (1) or (2). 
‘‘(ii) Prohibiting the pursuit by an individual of 
a course of education at an educational institution 
under chapter 30, 32, 33, or 35 of this title during 
the period beginning on the date of such prohibition 
and ending on a date specified by the State approv-
ing agency, in consultation with the Secretary, or 
the Secretary when acting in the role of the State 
approving agency, unless the individual was enrolled 
at the institution before such period. 
‘‘(B) The Secretary shall establish guidelines to en-
sure that the actions described in subparagraph (A) are 
applied in a proportional and uniform manner by State 
approving agencies, or the Secretary when acting in the 
role of the State approving agency. 
‘‘(5)(A) The Secretary may waive the requirements 
of paragraph (1) or waive the requirements of paragraph 
(2) with respect to an educational institution for a 1-aca-
demic-year period beginning in August of the year in 
which the waiver is made. A single educational institution 
may not receive waivers under this paragraph for more 
than 2 consecutive academic years. 
‘‘(B) To be considered for a waiver under this para-
graph, an educational institution shall submit to the Sec-
retary an application prior to the first day of the academic 
year for which the waiver is sought. 
‘‘(6) On an annual basis, the Secretary shall submit 
to the Committees on Veterans’ Affairs of the House of 
Representatives and the Senate the following reports: 
‘‘(A) A report, which shall be made publicly 
available, that includes the following: 
‘‘(i) A summary of each action described in 
paragraph (4)(A) made during the year covered 
by the report, including— 
‘‘(I) the name of the educational insti-
tution; 
‘‘(II) the type of action taken; 
‘‘(III) the rationale for the action, in-
cluding how the educational institution was 
not in compliance with this subsection; 
‘‘(IV) the length of time that the edu-
cational institution was not in such compli-
ance; and 
‘‘(V) whether the educational institu-
tion was also not in compliance with this 
subsection during any of the 2 years prior 
to the year covered by the report. 
‘‘(ii) A summary and justifications for the 
waivers made under paragraph (5) during the
year covered by the report, including the total 
number of waivers each educational institution 
has received. 
‘‘(B) A report containing the recommendations 
of the Secretary with respect to any legislative ac-
tions the Secretary determines appropriate to ensure 
that this subsection is carried out in a manner that 
is consistent with the requirements that educational 
institutions must meet for purposes of other depart-
ments or agencies of the Federal Government. 
‘‘(7) In this subsection, the term ‘covered individual’ 
means an individual who is pursuing a course of education 
at an educational institution under chapter 30, 32, 33, 
or 35 of this title.’’. 
(b) APPLICATION DATE.—The amendment made by 
this section shall take effect on June 15, 2020, and shall 
apply to an educational institution beginning on August 
1, 2020, except that an educational institution may submit 
an application for a waiver under subsection (f)(5) of sec-
tion 3679 of title 38, United States Code, as added by 
subsection (a), beginning on June 15, 2020. 
SEC. 11. OVERPAYMENTS TO ELIGIBLE PERSONS OR VET-
ERANS. 
Subsection (b) of section 3685 of title 38, United 
States Code, is amended to read as follows:
‘‘(b) Any overpayment by an educational institution 
to a veteran or eligible person shall constitute a liability 
of the educational institution to the United States if— 
‘‘(1) the Secretary finds that the overpayment 
has been made as the result of— 
‘‘(A) the willful or negligent failure of an 
educational institution to report, as required 
under this chapter or chapter 34 or 35 of this 
title, to the Department of Veterans Affairs ex-
cessive absences from a course, or discontinu-
ance or interruption of a course by the veteran 
or eligible person; or 
‘‘(B) the willful or negligent false certifi-
cation by an educational institution; or 
‘‘(2) the payment is made pursuant to— 
‘‘(A) section 3313(h) of this title; 
‘‘(B) section 3317 of this title; or 
‘‘(C) section 3680(d) of this title.’’. 
SEC. 12. IMPROVEMENTS TO LIMITATION ON CERTAIN AD-
VERTISING, SALES, AND ENROLLMENT PRAC-
TICES. 
(a) SUBSTANTIAL MISREPRESENTATION.— 
(1) IN
GENERAL.—Subsection (a) of section 
3696 of title 38, United States Code, is amended to 
read as follows:
‘‘(a) The Secretary, or a State approving agency act-
ing in the role of the Secretary, shall not approve the en-
rollment of an eligible veteran or eligible person in any 
course offered by an institution, or by an entity that owns 
the institution, engaged in substantial misrepresentation 
described in subsection (e)(1).’’. 
(2) DEFINITIONS.—Such section is further 
amended by adding at the end the following new 
subsection: 
‘‘(e)(1) Substantial misrepresentation described in 
this paragraph is substantial misrepresentation by an edu-
cational institution, a representative of the institution, or 
any person with whom the institution has an agreement 
to provide educational programs, marketing, advertising, 
recruiting or admissions services, concerning any of the 
following: 
‘‘(A) The nature of the educational program of 
the institution, including misrepresentation regard-
ing— 
‘‘(i) the particular type, specific source, or 
nature and extent, of the accreditation of the 
institution or a course of education at the insti-
tution; 
‘‘(ii) whether a student may transfer 
course credits to another institution;
‘‘(iii) conditions under which the institu-
tion will accept transfer credits earned at an-
other institution; 
‘‘(iv) whether successful completion of a 
course of instruction qualifies a student— 
‘‘(I) for acceptance to a labor union or 
similar organization; or 
‘‘(II) to receive, to apply to take, or to 
take an examination required to receive a 
local, State, or Federal license, or a non-
governmental certification required as a 
precondition for employment, or to perform 
certain functions in the States in which the 
educational program is offered, or to meet 
additional conditions that the institution 
knows or reasonably should know are gen-
erally needed to secure employment in a 
recognized occupation for which the pro-
gram is represented to prepare students; 
‘‘(v) the requirements for successfully com-
pleting the course of study or program and the 
circumstances that would constitute grounds for 
terminating the student’s enrollment; 
‘‘(vi) whether the courses of education at 
the institution are recommended or have been
the subject of unsolicited testimonials or en-
dorsements by— 
‘‘(I) 
vocational 
counselors, 
high 
schools, colleges, educational organizations, 
employment agencies, members of a par-
ticular industry, students, former students, 
or others; or 
‘‘(II) officials of a local or State gov-
ernment or the Federal Government; 
‘‘(vii) the size, location, facilities, or equip-
ment of the institution; 
‘‘(viii) the availability, frequency, and ap-
propriateness of the courses of education and 
programs to the employment objectives that the 
institution states the courses and programs are 
designed to meet; 
‘‘(ix) the nature, age, and availability of 
the training devices or equipment of the institu-
tion and the appropriateness to the employment 
objectives that the institution states the courses 
and programs are designed to meet; 
‘‘(x) the number, availability, and quali-
fications, including the training and experience, 
of the faculty and other personnel of the insti-
tution;
‘‘(xi) the availability of part-time employ-
ment or other forms of financial assistance; 
‘‘(xii) the nature and availability of any tu-
torial or specialized instruction, guidance and 
counseling, or other supplementary assistance 
the institution ill provide students before, dur-
ing, or after the completion of a course of edu-
cation; 
‘‘(xiii) the nature or extent of any pre-
requisites established for enrollment in any 
course of education; 
‘‘(xiv) the subject matter, content of the 
course of education, or any other fact related to 
the degree, diploma, certificate of completion, 
or any similar document that the student is to 
be, or is, awarded upon completion of the 
course of education; and 
‘‘(xv) whether the degree that the institu-
tion will confer upon completion of the course 
of education has been authorized by the appro-
priate State educational agency, including with 
respect to cases where the institution fails to 
disclose facts regarding the lack of such author-
ization in any advertising or promotional mate-
rials that reference such degree.
‘‘(B) The financial charges of the institution, 
including misrepresentation regarding— 
‘‘(i) offers of scholarships to pay all or 
part of a course charge; 
‘‘(ii) whether a particular charge is the 
customary charge at the institution for a 
course; 
‘‘(iii) the cost of the program and the re-
fund policy of the institution if the student does 
not complete the program; 
‘‘(iv) the availability or nature of any fi-
nancial assistance offered to students, including 
a student’s responsibility to repay any loans, re-
gardless of whether the student is successful in 
completing the program and obtaining employ-
ment; and 
‘‘(v) the student’s right to reject any par-
ticular type of financial aid or other assistance, 
or whether the student must apply for a par-
ticular type of financial aid, such as financing 
offered by the institution. 
‘‘(C) The employability of the graduates of the 
institution, including misrepresentation regarding— 
‘‘(i) the relationship of the institution with 
any organization, employment agency, or other
agency providing authorized training leading di-
rectly to employment; 
‘‘(ii) the plans of the institution to main-
tain a placement service for graduates or other-
wise assist graduates to obtain employment; 
‘‘(iii) the knowledge of the institution 
about the current or likely future conditions, 
compensation, or employment opportunities in 
the industry or occupation for which the stu-
dents are being prepared; 
‘‘(iv) job market statistics maintained by 
the Federal Government in relation to the po-
tential placement of the graduates of the insti-
tution; and 
‘‘(v) other requirements that are generally 
needed to be employed in the fields for which 
the training is provided, such as requirements 
related to commercial driving licenses or per-
mits to carry firearms, and failing to disclose 
factors that would prevent an applicant from 
qualifying for such requirements, such as prior 
criminal records or preexisting medical condi-
tions. 
‘‘(2) In this subsection:
‘‘(A) The term ‘misleading statement’ includes 
any communication, action, omission, or intimation 
made in writing, visually, orally, or through other 
means, that has the likelihood or tendency to mis-
lead the intended recipient of the communication 
under the circumstances in which the communication 
is made. Such term includes the use of student en-
dorsements or testimonials for an educational insti-
tution that a student gives to the institution either 
under duress or because the institution required the 
student to make such an endorsement or testimonial 
to participate in a program of education. 
‘‘(B) The term ‘misrepresentation’ means any 
false, erroneous, or misleading statement, action, 
omission, or intimation made directly or indirectly to 
a student, a prospective student, the public, an ac-
crediting agency, a State agency, or to the Secretary 
by an eligible institution, one of its representatives, 
or any person with whom the institution has an 
agreement to provide educational programs, mar-
keting, advertising, recruiting or admissions services. 
‘‘(C) The term ‘substantial misrepresentation’ 
means misrepresentation in which the person to 
whom it was made could reasonably be expected to