Title: PROSPER Act
Policy area: Education

Summary:
Promoting Real Opportunity, Success, and Prosperity through Education Reform Act or the PROSPER Act
This bill amends the Higher Education Act of 1965 to revise the governance of federal financial aid provided to students pursuing a postsecondary education and institutions of higher education (IHEs), including by:

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4508 Introduced in House (IH)]

<DOC>






115th CONGRESS
  1st Session
                                H. R. 4508

To support students in completing an affordable postsecondary education 
that will prepare them to enter the workforce with the skills they need 
                         for lifelong success.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            December 1, 2017

 Ms. Foxx (for herself and Mr. Guthrie) introduced the following bill; 
   which was referred to the Committee on Education and the Workforce

_______________________________________________________________________

                                 A BILL


 
To support students in completing an affordable postsecondary education 
that will prepare them to enter the workforce with the skills they need 
                         for lifelong success.

    Be it enacted by the Senate and House of Representatives 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 ``Promoting Real 
Opportunity, Success, and Prosperity through Education Reform Act'' or 
the ``PROSPER Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. References.
Sec. 3. General effective date.
                      TITLE I--GENERAL PROVISIONS

                          Part A--Definitions

Sec. 101. Definition of institution of higher education.
Sec. 102. Institutions outside the United States.
Sec. 103. Additional definitions.
Sec. 104. Regulatory relief.
                 Part B--Additional General Provisions

Sec. 111. Free speech protections.
Sec. 112. National Advisory Committee on Institutional Quality and 
                            Integrity.
Sec. 113. Repeal of certain reporting requirements.
Sec. 114. Programs on drug and alcohol abuse prevention.
Sec. 115. Campus access for religious groups.
Sec. 116. Secretarial prohibitions.
Sec. 117. Ensuring equal treatment by governmental entities.
                    Part C--Cost of Higher Education

Sec. 121. College Dashboard website.
Sec. 122. Net price calculators.
Sec. 123. Text book information.
  Part D--Administrative Provisions for Delivery of Student Financial 
                               Assistance

Sec. 131. Performance-based organization for the delivery of Federal 
                            student financial assistance.
Sec. 132. Administrative data transparency.
Part E--Lender and Institution Requirements Relating to Education Loans

Sec. 141. Modification of preferred lender arrangements.
                   Part F--Addressing Sexual Assault

Sec. 151. Addressing sexual assault.
        TITLE II--EXPANDING ACCESS TO IN-DEMAND APPRENTICESHIPS

Sec. 201. Repeal.
Sec. 202. Grants for access to high-demand careers.
                      TITLE III--INSTITUTIONAL AID

Sec. 301. Strengthening institutions.
Sec. 302. Strengthening historically Black colleges and universities.
Sec. 303. Historically Black college and university capital financing.
Sec. 304. Minority Science and Engineering Improvement Program.
Sec. 305. Strengthening historically Black colleges and universities 
                            and other minority-serving institutions.
Sec. 306. General provisions.
                      TITLE IV--STUDENT ASSISTANCE

  Part A--Grants to Students in Attendance at Institutions of Higher 
                               Education

Sec. 401. Federal Pell Grants.
Sec. 402. Federal TRIO programs.
Sec. 403. Gaining early awareness and readiness for undergraduate 
                            programs.
Sec. 404. Special programs for students whose families are engaged in 
                            migrant and seasonal farmwork.
Sec. 405. Child care access means parents in school.
Sec. 406. Repeals.
Sec. 407. Sunset of TEACH grants.
             Part B--Federal Family Education Loan Program

Sec. 421. Federal Direct Consolidation Loans.
Sec. 422. Loan rehabilitation.
Sec. 423. Loan forgiveness for teachers.
Sec. 424. Loan forgiveness for service in areas of national need.
Sec. 425. Loan repayment for civil legal assistance attorneys.
Sec. 426. Sunset of cohort default rate and other conforming changes.
Sec. 427. Closed school and other discharges.
                  Part C--Federal Work-Study Programs

Sec. 441. Purpose; authorization of appropriations.
Sec. 442. Allocation formula.
Sec. 443. Grants for Federal work-study programs.
Sec. 444. Flexible use of funds.
Sec. 445. Job location and development programs.
Sec. 446. Community service.
Sec. 447. Work colleges.
              Part D--Federal Direct Student Loan Program

Sec. 451. Termination of Federal Direct Loan Program under part D and 
                            other conforming amendments.
Sec. 452. Borrower defenses.
Sec. 453. Administrative expenses.
Sec. 454. Loan cancellation for teachers.
                       Part E--Federal ONE Loans

Sec. 461. Wind-down of Federal Perkins Loan Program.
Sec. 462. Federal ONE Loan program.
                         Part F--Need Analysis

Sec. 471. Cost of attendance.
Sec. 472. Simplified needs test.
Sec. 473. Discretion of student financial aid administrators.
Sec. 474. Definitions of total income and assets.
       Part G--General Provisions Relating to Student Assistance

Sec. 481. Definitions of academic year and eligible program.
Sec. 482. Programmatic loan repayment rates.
Sec. 483. Master calendar.
Sec. 484. FAFSA Simplification.
Sec. 485. Student eligibility.
Sec. 486. Statute of limitations.
Sec. 487. Institutional refunds.
Sec. 488. Information disseminated to prospective and enrolled 
                            students.
Sec. 489. Early awareness of financial aid eligibility.
Sec. 490. Distance education demonstration programs.
Sec. 491. Contents of program participation agreements.
Sec. 492. Regulatory relief and improvement.
Sec. 493. Transfer of allotments.
Sec. 494. Administrative expenses.
Sec. 494A. Repeal of advisory committee.
Sec. 494B. Regional meetings and negotiated rulemaking.
Sec. 494C. Deferral of loan repayment following active duty.
Sec. 494D. Contracts; matching program.
                       Part H--Program Integrity

Sec. 495. Repeal of and prohibition on State authorization regulations.
Sec. 496. Recognition of accrediting agency or association.
Sec. 497. Eligibility and certification procedures.
                    TITLE V--DEVELOPING INSTITUTIONS

Sec. 501. Hispanic-serving institutions.
Sec. 502. Promoting postbaccalaureate opportunities for Hispanic 
                            Americans.
Sec. 503. General provisions.
               TITLE VI--INTERNATIONAL EDUCATION PROGRAMS

Sec. 601. International and foreign language studies.
Sec. 602. Business and international education programs.
Sec. 603. Repeal of assistance program for Institute for International 
                            Public Policy.
Sec. 604. General provisions.
       TITLE VII--GRADUATE AND POSTSECONDARY IMPROVEMENT PROGRAMS

Sec. 701. Graduate education programs.
Sec. 702. Repeal of Fund for the Improvement of Postsecondary 
                            Education.
Sec. 703. Programs for students with disabilities.
Sec. 704. Repeal of college access challenge grant program.
                       TITLE VIII--OTHER REPEALS

Sec. 801. Repeal of additional programs.
                   TITLE IX--AMENDMENTS TO OTHER LAWS

               Part A--Education of the Deaf Act of 1986

Sec. 901. Education of the Deaf Act of 1986.
Part B--Tribally Controlled Colleges and Universities Assistance Act of 
                        1978; Dine' College Act

Sec. 911. Tribally Controlled Colleges and Universities Assistance Act 
                            of 1978.
Sec. 912. Dine' College Act.

SEC. 2. REFERENCES.

    Except as otherwise expressly provided, whenever in this Act an 
amendment or repeal is expressed in terms of an amendment to, or repeal 
of, a section or other provision, the reference shall be considered to 
be made to a section or other provision of the Higher Education Act of 
1965 (20 U.S.C. 1001 et seq.).

SEC. 3. GENERAL EFFECTIVE DATE.

    Except as otherwise provided in this Act or the amendments made by 
this Act, this Act and the amendments made by this Act shall take 
effect on the date of enactment of this Act.

                      TITLE I--GENERAL PROVISIONS

                          PART A--DEFINITIONS

SEC. 101. DEFINITION OF INSTITUTION OF HIGHER EDUCATION.

    Part A of title I (20 U.S.C. 1001 et seq.) is amended by striking 
section 101 (20 U.S.C. 1001) and inserting the following:

``SEC. 101. DEFINITION OF INSTITUTION OF HIGHER EDUCATION.

    ``(a) Institution of Higher Education.--For purposes of this Act, 
the term `institution of higher education' means an educational 
institution in any State that--
            ``(1) admits as regular students only persons who--
                    ``(A) have a certificate of graduation from a 
                school providing secondary education, or the recognized 
                equivalent of such a certificate, or who meet the 
                requirements of section 484(d);
                    ``(B) are beyond the age of compulsory school 
                attendance in the State in which the institution is 
                located; or
                    ``(C) will be dually or concurrently enrolled in 
                the institution and a secondary school;
            ``(2) is legally authorized by the State in which it 
        maintains a physical location to provide a program of education 
        beyond secondary education;
            ``(3)(A) is accredited by a nationally recognized 
        accrediting agency or association; or
            ``(B) if not so accredited, is an institution that has been 
        granted preaccreditation status by such an agency or 
        association that has been recognized by the Secretary for the 
        granting of preaccreditation status, and the Secretary has 
        determined that there is satisfactory assurance that the 
        institution will meet the accreditation standards of such an 
        agency or association within a reasonable time; and
            ``(4) provides--
                    ``(A) an educational program for which the 
                institution awards a bachelor's degree, graduate 
                degree, or professional degree;
                    ``(B) not less than a 2-year educational program 
                which is acceptable for full credit towards a 
                bachelor's degree; or
                    ``(C) a non-degree program leading to a recognized 
                educational credential that meets the definition of an 
                eligible program under section 481(b).
    ``(b) Additional Limitations.--
            ``(1) Proprietary institutions of higher education.--
                    ``(A) Length of existence.--A proprietary 
                institution shall not be considered an institution of 
                higher education unless such institution has been in 
                existence for at least 2 years.
                    ``(B) Institutional ineligibility for minority 
                serving institution programs.--A proprietary 
                institution shall not be considered an institution of 
                higher education for the purposes of any program under 
                title III or V.
            ``(2) Postsecondary vocational institutions.--A nonprofit 
        or public institution that offers only non-degree programs 
        described in subsection (a)(4)(C) shall not be considered an 
        institution of higher education unless such institution has 
        been in existence for at least 2 years.
            ``(3) Limitations based on management.--An institution 
        shall not be considered an institution of higher education if--
                    ``(A) the institution, or an affiliate of the 
                institution that has the power, by contract or 
                ownership interest, to direct or cause the direction of 
                the management or policies of the institution, has 
                filed for bankruptcy; or
                    ``(B) the institution, the institution's owner, or 
                the institution's chief executive officer has been 
                convicted of, or has pled nolo contendere or guilty to, 
                a crime involving the acquisition, use, or expenditure 
                of Federal funds, or has been judicially determined to 
                have committed a crime involving the acquisition, use, 
                or expenditure involving Federal funds.
            ``(4) Limitation on course of study or enrollment.--An 
        institution shall not be considered an institution of higher 
        education if such institution--
                    ``(A) offers more than 50 percent of such 
                institution's courses by correspondence education, 
                unless the institution is an institution that meets the 
                definition in section 3(3)(C) of the Carl D. Perkins 
                Career and Technical Education Act of 2006;
                    ``(B) enrolls 50 percent or more of the 
                institution's students in correspondence education 
                courses, unless the institution is an institution that 
                meets the definition in section 3(3)(C) of such Act, 
                except that the Secretary, at the request of the 
                institution, may waive the applicability of this 
                subparagraph to the institution for good cause, as 
                determined by the Secretary in the case of an 
                institution of higher education that provides a 2- or 
                4-year program of instruction (or both) for which the 
                institution awards an associate or baccalaureate 
                degree, respectively;
                    ``(C) has a student enrollment in which more than 
                25 percent of the students are incarcerated, except 
                that the Secretary may waive the limitation contained 
                in this subparagraph for an institution that provides a 
                2- or 4-year program of instruction (or both) for which 
                the institution awards an associate's degree or a 
                postsecondary certificate, or a bachelor's degree, 
                respectively; or
                    ``(D) has a student enrollment in which more than 
                50 percent of the students either do not have a 
                secondary school diploma or its recognized equivalent, 
                or do not meet the requirements of section 484(d), and 
                does not provide 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, except that the Secretary may waive the 
                limitation contained in this subparagraph if an 
                institution demonstrates to the satisfaction of the 
                Secretary that the institution exceeds such limitation 
                because the institution serves, through contracts with 
                Federal, State, or local government agencies, 
                significant numbers of students who do not have a 
                secondary school diploma or its recognized equivalent 
                or do not meet the requirements of section 484(d).
    ``(c) List of Accrediting Agencies.--For purposes 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 offered.
    ``(d) Certification.--The Secretary shall certify, for the purposes 
of participation in title IV, an institution's qualification as an 
institution of higher education in accordance with the requirements of 
subpart 3 of part H of title IV.
    ``(e) Loss of Eligibility.--An institution of higher education 
shall not be considered to meet the definition of an institution of 
higher education 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.
    ``(f) Rule of Construction.--Nothing in subsection (a)(2) relating 
to State authorization shall be construed to--
            ``(1) impede or preempt State laws, regulations, or 
        requirements on how States authorize out-of-State institutions 
        of higher education; or
            ``(2) limit, impede, or preclude a State's ability to 
        collaborate or participate in a reciprocity agreement to permit 
        an institution within such State to meet any other State's 
        authorization requirements for out-of-State institutions.''.

SEC. 102. INSTITUTIONS OUTSIDE THE UNITED STATES.

    Part A of title I (20 U.S.C. 1001 et seq.) is further amended by 
striking section 102 (20 U.S.C. 1002) and inserting the following:

``SEC. 102. INSTITUTIONS OUTSIDE THE UNITED STATES.

    ``(a) Institutions Outside the United States.--
            ``(1) In general.--Only for purposes of part D or E of 
        title IV, the term `institution of higher education' includes 
        an institution outside the United States (referred to in this 
        part as a `foreign institution') that is comparable to an 
        institution of higher education as defined in section 101 and 
        has been approved by the Secretary for purposes of part D or E 
        of title IV, consistent with the requirements of section 
        452(d).
            ``(2) Qualifications.--Only for the purposes of students 
        receiving aid under title IV, an institution of higher 
        education may not qualify as a foreign institution under 
        paragraph (1), unless such institution--
                    ``(A) is legally authorized to provide an 
                educational program beyond secondary education by the 
                education ministry (or comparable agency) of the 
                country in which the institution is located;
                    ``(B) is not located in a State;
                    ``(C) except as provided with respect to clinical 
                training offered by the institution under 600.55(h)(1), 
                section 600.56(b), or section 600.57(a)(2) of title 34, 
                Code of Federal Regulations (as in effect pursuant to 
                subsection (b))--
                            ``(i) does not offer any portion of an 
                        educational program in the United States to 
                        students who are citizens of the United States;
                            ``(ii) has no written arrangements with an 
                        institution or organization located in the 
                        United States under which students enrolling at 
                        the foreign institution would take courses from 
                        an institution located in the United States; 
                        and
                            ``(iii) does not allow students to enroll 
                        in any course offered by the foreign 
                        institution in the United States, including 
                        research, work, internship, externship, or 
                        special studies within the United States, 
                        except that independent research done by an 
                        individual student in the United States for not 
                        more than one academic year is permitted, if 
                        the research is conducted during the 
                        dissertation phase of a doctoral program under 
                        the guidance of faculty and the research is 
                        performed at a facility in the United States;
                    ``(D) awards degrees, certificates, or other 
                recognized educational credentials in accordance with 
                section 600.54(e) of title 34, Code of Federal 
                Regulations (as in effect pursuant to subsection (b)) 
                that are officially recognized by the country in which 
                the institution is located; and
                    ``(E) meets the applicable requirements of 
                subsection (b).
    ``(3) Institutions With Locations In and Outside the United 
States.--In a case of an institution of higher education consisting of 
two or more locations offering all or part of an educational program 
that are directly or indirectly under common ownership and that enrolls 
students both within a State and outside the United States, and the 
number of students who would be eligible to receive funds under title 
IV attending locations of such institution outside the United States, 
is at least twice the number of students enrolled within a State--
    ``(A) the locations outside the United States shall apply to 
participate as one or more foreign institutions and shall meet the 
requirements of paragraph (1) of this definition, and the other 
requirements of this part; and
    ``(B) the locations within a State shall be treated as an 
institution of higher education under section 101.
    ``(b) Treatment of Certain Regulations.--
            ``(1) Force and effect.--
                    ``(A) In general.--The provisions of title 34, Code 
                of Federal Regulations, referred to in subparagraph 
                (B), as such provisions were in effect on the day 
                before the date of the enactment of the PROSPER Act, 
                shall have the force and effect of enacted law until 
                changed by such law and are deemed to be incorporated 
                in this subsection as though set forth fully in this 
                subsection.
                    ``(B) Applicable provisions.--The provisions of 
                title 34, Code of Federal Regulations, referred to in 
                this subparagraph are the following:
                            ``(i) Subject to paragraph (2)(A), section 
                        600.41(e)(3).
                            ``(ii) Subject to paragraph (2)(B), section 
                        600.52.
                            ``(iii) Subject to paragraph (2)(C), 
                        section 600.54, except that paragraph (1) of 
                        subsection (a) of such section shall have no 
                        force or effect.
                            ``(iv) Subject to subparagraphs (D) and (E) 
                        of paragraph (2), section 600.55, except that 
                        paragraph (4) of subsection (f) of such section 
                        shall have no force or effect.
                            ``(v) Section 600.56.
                            ``(vi) Subject to paragraph (2)(F), section 
                        600.57.
                            ``(vii) Subject to subparagraphs (G) and 
                        (H) of paragraph (2), section 668.23(h), except 
                        that clause (iii) of paragraph (1) of such 
                        section shall have no force or effect.
                            ``(viii) Section 668.5.
                    ``(C) Application to federal one loans.--With 
                respect to the provisions of title 34, Code of Federal 
                Regulations, referred to subparagraph (B), as modified 
                by paragraph (2) any reference to a loan made under 
                part D of title IV shall also be treated as a reference 
                to a loan made under part E of title IV.
            ``(2) Modifications.--The following shall apply to the 
        provisions of title 34, Code of Federal Regulations, referred 
        to in paragraph (1)(B):
                    ``(A) Notwithstanding section 600.41(e)(3) of title 
                34, Code of Federal Regulations (as in effect pursuant 
                to paragraph (1)), if the basis for the loss of 
                eligibility of a foreign graduate medical school to 
                participate in programs under title IV is one or more 
                annual pass rates on the United States Medical 
                Licensing Examination below the threshold required in 
                subparagraph (D) the sole issue is whether the 
                aggregate pass rate for the preceding calendar year 
                fell below that threshold. For purposes of the 
                preceding sentence, in the case of a foreign graduate 
                medical school that opted to have the Educational 
                Commission for Foreign Medical Graduates calculate and 
                provide the pass rates directly to the Secretary for 
                the preceding calendar year as permitted under section 
                600.55(d)(2) of title 34, Code of Federal Regulations 
                (as in effect pursuant to paragraph (1)), in lieu of 
                the foreign graduate medical school providing pass rate 
                data to the Secretary under section 600.55(d)(1)(iii) 
                of title 34, Code of Federal Regulations (as in effect 
                pursuant to paragraph (1)), the Educational Commission 
                for Foreign Medical Graduates' calculations of the 
                school's rates are conclusive; and the presiding 
                official has no authority to consider challenges to the 
                computation of the rate or rates by the Educational 
                Commission for Foreign Medical Graduates.
                    ``(B) Notwithstanding section 600.52 of title 34, 
                Code of Federal Regulations (as in effect pursuant to 
                paragraph (1)), in this Act, the term `foreign 
                institution' means an institution described in 
                subsection (a).
                    ``(C) Notwithstanding section 600.54(c) of title 
                34, Code of Federal Regulations (as in effect pursuant 
                to paragraph (1)), to be eligible to participate in 
                programs under title IV, foreign institution may not 
                enter into a written arrangement under which an 
                institution or organizations that is not eligible to 
                participate in programs under title IV provides more 
                than 25 percent of the program of study for one or more 
                of the eligible foreign institution's programs.
                    ``(D) Notwithstanding section 600.55(f)(1)(ii) of 
                title 34, Code of Federal Regulations (as in effect 
                pursuant to paragraph (1)), for a foreign graduate 
                medical school outside of Canada, for Step 1, Step 2-
                CS, and Step 2-CK, or the successor examinations, of 
                the United States Medical Licensing Examination 
                administered by the Educational Commission for Foreign 
                Medical Graduate, at least 75 percent of the school's 
                students and graduates who receive or have received 
                title IV funds in order to attend that school, and who 
                completed the final of these three steps of the 
                examination in the year preceding the year for which 
                any of the school's students seeks a loan under title 
                IV shall have received an aggregate passing score on 
                the exam as a whole; or except as provided in section 
                600.55(f)(2) of title 34, Code of Federal Regulations 
                (as in effect pursuant to paragraph (1)), for no more 
                than two consecutive years, at least 70 percent of the 
                individuals who were students or graduates of the 
                graduate medical school outside the United States or 
                Canada (who receive or have received title IV funds in 
                order to attend that school) taking the United States 
                Medical Licensing Examination exams in the year 
                preceding the year for which any of the school's 
                students seeks a loan under title IV shall have 
                received an aggregate passing score on the exam as a 
                whole.
                    ``(E) Notwithstanding 600.55(h)(2) of title 34, 
                Code of Federal Regulations (as in effect pursuant to 
                paragraph (1)), not more than 25 percent of the 
                graduate medical educational program offered to United 
                States students, other than the clinical training 
                portion of the program, may be located outside of the 
                country in which the main campus of the foreign 
                graduate medical school is located.
                    ``(F) Notwithstanding section 600.57(a)(5) of title 
                34, Code of Federal Regulations (as in effect pursuant 
                to paragraph (1)), a nursing school shall reimburse the 
                Secretary for the cost of any loan defaults for current 
                and former students during the previous fiscal year.
                    ``(G) Notwithstanding section 668.23(h)(1)(ii), of 
                title 34, Code of Federal Regulations (as in effect 
                pursuant to paragraph (1)), a foreign institution that 
                received $500,000 or more in funds under title IV 
                during its most recently completed fiscal year shall 
                submit, in English, for each most recently completed 
                fiscal year in which it received such funds, audited 
                financial statements prepared in accordance with 
                generally accepted accounting principles of the 
                institution's home country provided that such 
                accounting principles are comparable to the 
                International Financial Reporting Standards.
                    ``(H) Notwithstanding section 668.23(h)(1)(ii), of 
                title 34, Code of Federal Regulations (as in effect 
                pursuant to paragraph (1)), only in a case in which the 
                accounting principles of an institution's home country 
                are not comparable to International Financial Reporting 
                Standards shall the institution be required to submit 
                corresponding audited financial statements that meet 
                the requirements of section 668.23(d) of title 34, Code 
                of Federal Regulations (as in effect pursuant to 
                paragraph (1)).
    ``(c) Special Rules.--
            ``(1) In general.--A foreign graduate medical school at 
        which student test passage rates are below the minimum 
        requirements set forth in subsection (b)(2)(D) for each of the 
        two most recent calendar years for which data are available 
        shall not be eligible to participate in programs under part D 
        or E of title IV in the fiscal year subsequent to that 
        consecutive two year period and such institution shall regain 
        eligibility to participate in programs under such part only 
        after demonstrating compliance with requirements under section 
        600.55 of title 34, Code of Federal Regulations (as in effect 
        pursuant to subsection (b)) for one full calendar year 
        subsequent to the fiscal year the institution became ineligible 
        unless, within 30 days of receiving notification from the 
        Secretary of the loss of eligibility under this paragraph, the 
        institution appeals the loss of its eligibility to the 
        Secretary. The Secretary shall issue a decision on any such 
        appeal within 45 days after its submission. Such decision may 
        permit the institution to continue to participate in programs 
        under part D or E of title IV, if--
                    ``(A) the institution demonstrates to the 
                satisfaction of the Secretary that the test passage 
                rates on which the Secretary has relied are not 
                accurate, and that the recalculation of such rates 
                would result in rates that exceed the required minimum 
                for any of these two calendar years; or
                    ``(B) there are, in the judgement of the Secretary, 
                mitigating circumstances that would make the 
                application of this paragraph inequitable.
            ``(2) Student eligibility.--If, pursuant to this 
        subsection, a foreign graduate medical school loses eligibility 
        to participate in the programs under part D or E of title IV, 
        then a student at such institution may, notwithstanding such 
        loss of eligibility, continue to be eligible to receive a loan 
        under such part while attending such institution for the 
        academic year succeeding the academic year in which such loss 
        of eligibility occurred.
            ``(3) Treatment of clinical training programs.--
                    ``(A) In general.--Clinical training programs 
                operated by a foreign graduate medical school with an 
                accredited hospital or clinic in the United States or 
                at an institution in Canada accredited by the Liaison 
                Committee on Medical Education shall be deemed to be 
                approved and shall not require the prior approval of 
                the Secretary.
                    ``(B) On-site evaluations.--Any part of a clinical 
                training program operated by a foreign graduate medical 
                school located in a foreign country other than the 
                country in which the main campus is located, in the 
                United States, or at an institution in Canada 
                accredited by the Liaison Committee on Medical 
                Education, shall not require an on-site evaluation or 
                specific approval by the institution's medical 
                accrediting agency if the location is a teaching 
                hospital accredited by and located within a foreign 
                country approved by the National Committee on Foreign 
                Medical Education and Accreditation.
    ``(d) Failure To Release Information.--An institution outside the 
United States that does not provide to the Secretary such information 
as may be required by this section shall be ineligible to participate 
in the loan program under part D or E of title IV.
    ``(e) Online Education.--Notwithstanding section 481(b)(2), an 
eligible program described in section 600.54 of title 34, Code of 
Federal Regulations (as in effect pursuant to subsection (b)) may not 
offer more than 50 percent of courses through telecommunications.''.

SEC. 103. ADDITIONAL DEFINITIONS.

    (a) Diploma Mill.--Section 103(5)(B) (20 U.S.C. 1003(5)(B)) is 
amended by striking ``section 102'' and inserting ``section 101 or 
102''.
    (b) Correspondence Education.--Section 103(7) (20 U.S.C. 1003(7)) 
is amended to read as follows:
            ``(7) Correspondence education.--The term `correspondence 
        education' means education that is provided by an institution 
        of higher education under which--
                    ``(A) the institution provides instructional 
                materials (including examinations on the materials) by 
                mail or electronic transmission to students who are 
                separated from the instructor; and
                    ``(B) interaction between the institution and the 
                student is limited and the academic instruction by 
                faculty is not regular and substantive, as assessed by 
                the institution's accrediting agency or association 
                under section 496.''.
    (c) Early Childhood Education Program.--Section 103(8) (20 U.S.C. 
1003(8)) is amended to read as follows:
            ``(8) Early childhood education program.--The term `early 
        childhood education program' means a program--
                    ``(A) that serves children of a range of ages from 
                birth through age five that addresses the children's 
                cognitive (including language, early literacy, and 
                early mathematics), social, emotional, and physical 
                development; and
                    ``(B) that is--
                            ``(i) a Head Start program or an Early Head 
                        Start program carried out under the Head Start 
                        Act (42 U.S.C. 9831 et seq.), including a 
                        migrant or seasonal Head Start program, an 
                        Indian Head Start program, or a Head Start 
                        program or an Early Head Start program that 
                        also receives State funding;
                            ``(ii) a State licensed or regulated child 
                        care program;
                            ``(iii) a State-funded prekindergarten or 
                        child care program;
                            ``(iv) a program authorized under section 
                        619 of the Individuals with Disabilities 
                        Education Act or part C of such Act; or
                            ``(v) a program operated by a local 
                        educational agency.''.
    (d) Nonprofit.--Section 103(13) (20 U.S.C. 1003(13)) is amended to 
read as follows:
            ``(13) Nonprofit.--
                    ``(A) The term `nonprofit', when used with respect 
                to a school, agency, organization, or institution means 
                a school, agency, organization, or institution owned 
                and operated by one or more nonprofit corporations or 
                associations, no part of the net earnings of which 
                inures, or may lawfully inure, to the benefit of any 
                private shareholder or individual.
                    ``(B) The term `nonprofit', when used with respect 
                to foreign institution means--
                            ``(i) an institution that is owned and 
                        operated only by one or more nonprofit 
                        corporations or associations; and
                            ``(ii)(I) if a recognized tax authority of 
                        the institution's home country is recognized by 
                        the Secretary for purposes of making 
                        determinations of an institution's nonprofit 
                        status for purposes of title IV, the 
                        institution is determined by that tax authority 
                        to be a nonprofit educational institution; or
                            ``(II) if no recognized tax authority of 
                        the institution's home country is recognized by 
                        the Secretary for purposes of making 
                        determinations of an institution's nonprofit 
                        status for purposes of title IV, the foreign 
                        institution demonstrates to the satisfaction of 
                        the Secretary that it is a nonprofit 
                        educational institution.''.
    (e) Competency-Based Education; Competency-based Education 
Program.--Section 103 (20 U.S.C. 1003) is amended by adding at the end 
the following:
            ``(25) Competency-based education; competency-based 
        education program.--
                    ``(A) Competency-based education.--Except as 
                otherwise provided, the term `competency-based 
                education' means education that--
                            ``(i) measures academic progress and 
                        attainment--
                                    ``(I) by direct assessment of a 
                                student's level of mastery of 
                                competencies;
                                    ``(II) by expressing a student's 
                                level of mastery of competencies in 
                                terms of equivalent credit or clock 
                                hours; or
                                    ``(III) by a combination of the 
                                methods described in subclauses (I) or 
                                (II) and credit or clock hours; and
                            ``(ii) provides the educational content, 
                        activities, and resources, including 
                        substantive instructional interaction, 
                        including by faculty, and regular support by 
                        the institution, necessary to enable students 
                        to learn or develop what is required to 
                        demonstrate and attain mastery of such 
                        competencies, as assessed by the accrediting 
                        agency or association of the institution of 
                        higher education.
                    ``(B) Competency-based education program.--Except 
                as otherwise provided, the term `competency-based 
                education program' means a postsecondary program 
                offered by an institution of higher education that--
                            ``(i) provides competency-based education, 
                        which upon a student's demonstration or mastery 
                        of a set of competencies identified and 
                        required by the institution, leads to or 
                        results in the award of a certificate, degree, 
                        or other recognized educational credential;
                            ``(ii) has a method to differentiate 
                        between knowledge that a student acquired prior 
                        to enrollment in the competency-based education 
                        program and knowledge that the student acquired 
                        as a result of enrollment in such program; and
                            ``(iii) is organized in such a manner that 
                        an institution can determine, based on the 
                        method of measurement selected by the 
                        institution under subparagraph (A)(i), what 
                        constitutes a full-time, three-quarter time, 
                        half-time, and less than half-time workload for 
                        the purposes of awarding and administering 
                        assistance under title IV of this Act, or 
                        assistance provided under another provision of 
                        Federal law to attend an institution of higher 
                        education.
                    ``(C) Competency defined.--In this paragraph, the 
                term `competency' means the knowledge, skill, or 
                characteristic demonstrated by a student in a subject 
                area.''.
    (f) Pay for Success Initiative.--Section 103 (20 U.S.C. 1003) is 
amended by adding at the end the following:
            ``(26) Pay for success initiative.--The term `pay for 
        success initiative' has the meaning given the term in section 
        8101 of the Elementary and Secondary Education Act of 1965 (20 
        U.S.C. 7801).''.
    (g) Evidence-based.--Section 103 (20 U.S.C. 1003) is amended by 
adding at the end the following:
            ``(27) Evidence-based.--The term `evidence-based' has the 
        meaning given the term in section 8101(21)(A) of the Elementary 
        and Secondary Education Act of 1965 (20 U.S.C. 7801(21)(A)), 
        except that such term shall also apply to institutions of 
        higher education.''.

SEC. 104. REGULATORY RELIEF.

    (a) Regulations Repealed.--
            (1) Repeal.--The following regulations (including any 
        supplement or revision to such regulations) are repealed and 
        shall have no legal effect:
                    (A) Definition of credit hour.--The definition of 
                the term ``credit hour'' in section 600.2 of title 34, 
                Code of Federal Regulations, as added by the final 
                regulations published by the Department of Education in 
                the Federal Register on October 29, 2010 (75 Fed. Reg. 
                66946).
                    (B) Gainful employment.--Sections 600.10(c), 
                600.20(d), 668.401 through 668.415, 668.6, and 668.7, 
                of title 34, Code of Federal Regulations, as added or 
                amended by the final regulations published by the 
                Department of Education in the Federal Register on 
                October 31, 2014 (79 Fed. Reg. 64889 et seq.).
                    (C) Borrower defense.--Sections 668.41, 668.90, 
                668.93, 668.171, 668.175, 674.33, 682.211, 682.402(d), 
                682.405, 682.410, 685.200, 685.205, 685.206, 
                685.212(k), 685.214, 685.215, 685.222, appendix A to 
                subpart B of part 685, 685.300, 685.308, of title 34, 
                Code of Federal Regulations, as added or amended by the 
                final regulations published by the Department of 
                Education in the Federal Register on November 1, 2016 
                (81 Fed. Reg. 75926 et seq.).
            (2) Effect of repeal.--To the extent that regulations 
        repealed--
                    (A) by subparagraph (A) or subparagraph (B) of 
                paragraph (1) amended regulations that were in effect 
                on June 30, 2011, the provisions of the regulations 
                that were in effect on June 30, 2011, and were so 
                amended are restored and revived as if the regulations 
                repealed by such subparagraph had not taken effect; and
                    (B) by paragraph (1)(C) amended regulations that 
                were in effect on October 31, 2016, the provisions of 
                the regulations that were in effect on October 31, 
                2016, and were so amended are restored and revived as 
                if the regulations repealed by paragraph (1)(C) had not 
                taken effect.
    (b) Certain Regulations and Other Actions Prohibited.--
            (1) Gainful employment.--The Secretary of Education shall 
        not, on or after the date of enactment of this Act, promulgate 
        or enforce any regulation or rule with respect to the 
        definition or application of the term ``gainful employment'' 
        for any purpose under the Higher Education Act of 1965 (20 
        U.S.C. 1001 et seq.).
            (2) Credit hour.--The Secretary of Education shall not, on 
        or after the date of enactment of this Act, promulgate or 
        enforce any regulation or rule with respect to the definition 
        of the term ``credit hour'' for any purpose under the Higher 
        Education Act of 1965 (20 U.S.C. 1001 et seq.).
            (3) Postsecondary institution ratings system.--The 
        Secretary of Education shall not carry out, develop, refine, 
        promulgate, publish, implement, administer, or enforce a 
        postsecondary institution ratings system or any other 
        performance system to rate institutions of higher education (as 
        defined in section 101 or 102 of the Higher Education Act of 
        1965 (20 U.S.C. 1001; 1002)).

                 PART B--ADDITIONAL GENERAL PROVISIONS

SEC. 111. FREE SPEECH PROTECTIONS.

    Section 112 (20 U.S.C. 1011a) is amended--
            (1) in subsection (a)--
                    (A) by redesignating paragraph (2) as paragraph 
                (3); and
                    (B) by inserting after paragraph (1) the following:
    ``(2) It is the sense of Congress that--
            ``(A) free speech zones and restrictive speech codes are 
        inherently at odds with the freedom of speech guaranteed by the 
        First Amendment of the Constitution; and
            ``(B) no public institution directly or indirectly 
        receiving financial assistance under this Act should restrict 
        the speech of such institution's students through such zones or 
        codes.'';
            (2) by redesignating subsections (b) and (c) as subsections 
        (c) and (d), respectively; and
            (3) by inserting after subsection (a), the following:
    ``(b) Disclosure of Free Speech Policies.--No institution of higher 
education shall be eligible to receive funds under this Act, including 
participation in any program under title IV, unless the institution 
certifies to the Secretary that the institution has annually disclosed 
to current and prospective students any policies held by the 
institutions related to protected speech on campus, including policies 
limiting where and when such speech may occur.''.

SEC. 112. NATIONAL ADVISORY COMMITTEE ON INSTITUTIONAL QUALITY AND 
              INTEGRITY.

    Section 114 (20 U.S.C. 1011c) is amended--
            (1) by striking ``section 102'' each place it appears and 
        inserting ``section 101'';
            (2) in subsection (b)--
                    (A) in paragraph (3), by striking ``Except as 
                provided in paragraph (5), the term'' and inserting 
                ``The term'';
                    (B) by striking paragraph (5) and inserting the 
                following:
            ``(5) Secretarial appointees.--The Secretary may remove any 
        member who was appointed under paragraph (1)(A) by a 
        predecessor of the Secretary and may fill the vacancy created 
        by such removal in accordance with paragraphs (3) and (4).''.
            (3) in subsection (c)--
                    (A) in paragraph (2), by adding ``and'' at the end;
                    (B) in paragraph (3) by striking the semicolon at 
                the end an inserting a period; and
                    (C) by striking paragraphs (4) through (6);
            (4) in subsection (e)(2)(D) by striking ``, including any 
        additional functions established by the Secretary through 
        regulation''; and
            (5) in subsection (f), by striking ``September 30, 2017'' 
        and inserting ``September 30, 2024''.

SEC. 113. REPEAL OF CERTAIN REPORTING REQUIREMENTS.

    (a) Repeals.--The following provisions of the Higher Education Act 
of 1965 (20 U.S.C. 1001 et seq.) are repealed:
            (1) Section 117 (20 U.S.C. 1011f).
            (2) Section 119 (20 U.S.C. 1011h).
    (b) Conforming Amendments.--
            (1) section 118 is redesignated as section 117;
            (2) sections 120, 121, 122, and 123 are redesignated as 
        sections 118, 119, 120, and 121, respectively; and
            (3) section 485(f)(1)(H) (20 U.S.C. 1092(f)(1)(H)) is 
        amended by striking ``section 120'' and inserting ``section 
        118''.

SEC. 114. PROGRAMS ON DRUG AND ALCOHOL ABUSE PREVENTION.

    Section 118 (as so redesignated) is amended to read as follows:

``SEC. 118. DRUG AND ALCOHOL ABUSE PREVENTION.

    ``(a) Required Programs.--Each institution of higher education 
participating in any program under this Act shall adopt and implement a 
program to prevent the use of illicit drugs and the abuse of alcohol by 
students and employees that, at a minimum, includes the annual 
distribution to each student and employee of--
            ``(1) institutional standards of conduct and sanctions that 
        clearly prohibit and address the unlawful possession, use, or 
        distribution of illicit drugs and alcohol by students and 
        employees; and
            ``(2) the description of any drug or alcohol counseling, 
        treatment, rehabilitation, or re-entry programs that are 
        available to students or employees.
    ``(b) Information Availability.--Each institution of higher 
education described in subsection (a) shall, upon request, make 
available to the Secretary and to the public a copy of the 
institutional standards described under subsection (a)(1) and 
information regarding any programs described in subsection (a)(2).''.

SEC. 115. CAMPUS ACCESS FOR RELIGIOUS GROUPS.

    Part B of title I (20 U.S.C. 1011 et seq.) (as amended by sections 
111 through 114 of this part) is amended by adding at the end the 
following:

``SEC. 122. CAMPUS ACCESS FOR RELIGIOUS GROUPS.

    ``None of the funds made available under this Act may be provided 
to any public institution of higher education that denies to a 
religious student organization any right, benefit, or privilege that is 
generally afforded to other student organizations at the institution 
(including full access to the facilities of the institution and 
official recognition of the organization by the institution) because of 
the religious beliefs, practices, speech, membership standards, or 
standards of conduct of the religious student organization.''.

SEC. 116. SECRETARIAL PROHIBITIONS.

    Part B of title I (20 U.S.C. 1011 et seq.) (as amended by sections 
111 through 115 of this part) is amended by adding at the end the 
following:

``SEC. 123. SECRETARIAL PROHIBITIONS.

    ``(a) In General.--Nothing in this Act shall be construed to 
authorize or permit the Secretary to promulgate any rule or regulation 
that exceeds the scope of the explicit authority granted to the 
Secretary under this Act.
    ``(b) Definitions.--The Secretary shall not define any term that is 
used in this Act in a manner that is inconsistent with the scope of 
this Act, including through regulation or guidance.
    ``(c) Requirements.--The Secretary shall not impose, on an 
institution or State as a condition of participation in any program 
under this Act, any requirement that exceeds the scope of the 
requirements explicitly set forth in this Act for such program.''.

SEC. 117. ENSURING EQUAL TREATMENT BY GOVERNMENTAL ENTITIES.

    Part B of title I (20 U.S.C. 1011 et seq.) (as amended by sections 
111 through 116 of this part) is further amended by adding at the end 
the following:

``SEC. 124. ENSURING EQUAL TREATMENT BY GOVERNMENTAL ENTITIES.

    ``(a) In General.--Notwithstanding any other provision of law, no 
government entity shall take any adverse action against an institution 
of higher education that receives funding under title IV, if such 
adverse action--
            ``(1)(A) is being taken by a government entity that--
                    ``(i) is a department, agency, or instrumentality 
                of the Federal Government; or
                    ``(ii) receives Federal funds; or
            ``(B) would affect commerce with foreign nations, among the 
        several States, or with Indian Tribes; and
            ``(2) has the effect of prohibiting or penalizing the 
        institution for acts or omissions by the institution that are 
        in furtherance of its religious mission or are related to the 
        religious affiliation of the institution.
    ``(b) Assertion by Institution.--An actual or threatened violation 
of subsection (a) may be asserted by an institution of higher education 
that receives funding under title IV as a claim or defense in a 
proceeding before any court. The court shall grant any appropriate 
equitable relief, including injunctive or declaratory relief.
    ``(c) Rule of Construction.--Nothing in this section shall be 
construed to alter or amend--
            ``(1) title VI of the Civil Rights Act of 1964 (42 U.S.C. 
        2000d et seq.);
            ``(2) section 182 of the Elementary and Secondary Education 
        Amendments Act of 1966 (42 U.S.C. 2000d-5); or
            ``(3) section 2 of the Elementary and Secondary Education 
        Amendments Act of 1969 (42 U.S.C. 2000d-6)
    ``(d) Definitions.--In this section:
            ``(1) Adverse action.--The term `adverse action' includes, 
        with respect to an institution of higher education or the past, 
        current, or prospective students of such institution--
                    ``(A) the denial or threat of denial of funding, 
                including grants, scholarships, or loans;
                    ``(B) the denial or threat of denial of access to 
                facilities or programs;
                    ``(C) the withholding or threat of withholding of 
                any licenses, permits, certifications, accreditations, 
                contracts, cooperative agreements, grants, guarantees, 
                tax-exempt status, or exemptions; or
                    ``(D) any other penalty or denial, or threat of 
                such other penalty or denial, of an otherwise available 
                benefit.
            ``(2) Government entity.--The term `government entity' 
        means--
                    ``(A) any department, agency, or instrumentality of 
                the Federal Government;
                    ``(B) a State or political subdivision of a State, 
                or any agency or instrumentality thereof; and
                    ``(C) any interstate or other inter-governmental 
                entity.
            ``(3) Institution of higher education.--The term 
        `institution of higher education' has the meaning given the 
        term in section 101 or 102.
            ``(4) Religious mission.--The term `religious mission' 
        includes an institution of higher education's religious tenets, 
        beliefs, or teachings, and any policies or decisions related to 
        such tenets, beliefs, or teachings (including any policies or 
        decisions concerning housing, employment, curriculum, self-
        governance, or student admission, continuing enrollment, or 
        graduation).''.

                    PART C--COST OF HIGHER EDUCATION

SEC. 121. COLLEGE DASHBOARD WEBSITE.

    (a) Establishment.--Section 132 (20 U.S.C. 1015a) is amended--
            (1) in subsection (a)--
                    (A) by striking paragraph (1) and inserting the 
                following new paragraph:
            ``(1) College dashboard website.--The term `College 
        Dashboard website' means the College Dashboard website required 
        under subsection (d).''.
                    (B) in paragraph (2), by striking ``first-time,'';
                    (C) in paragraph (3), in the matter preceding 
                subparagraph (A), by striking ``first-time,''; and
                    (D) in paragraph (4), by striking ``first-time,'';
            (2) in subsection (b)--
                    (A) in paragraph (1), by striking ``first-time,''; 
                and
                    (B) in paragraph (2), by striking ``first-time,'';
            (3) by striking subsections (c) through (g), (j), and (l);
            (4) by redesignating subsections (h), (i), and (k) as 
        subsections (c), (d), and (e), respectively; and
            (5) by striking subsection (d) (as so redesignated) and 
        inserting the following new subsection:
    ``(d) Consumer Information.--
            ``(1) Availability of title iv institution information.--
        The Secretary shall develop and make publicly available a 
        website to be known as the `College Dashboard website' in 
        accordance with this section and prominently display on such 
        website, in simple, understandable, and unbiased terms for the 
        most recent academic year for which satisfactory data are 
        available, the following information with respect to each 
        institution of higher education that participates in a program 
        under title IV:
                    ``(A) A link to the website of the institution.
                    ``(B) An identification of the type of institution 
                as one of the following:
                            ``(i) A four-year public institution of 
                        higher education.
                            ``(ii) A four-year private, nonprofit 
                        institution of higher education.
                            ``(iii) A four-year private, proprietary 
                        institution of higher education.
                            ``(iv) A two-year public institution of 
                        higher education.
                            ``(v) A two-year private, nonprofit 
                        institution of higher education.
                            ``(vi) A two-year private, proprietary 
                        institution of higher education.
                            ``(vii) A less than two-year public 
                        institution of higher education.
                            ``(viii) A less than two-year private, 
                        nonprofit institution of higher education.
                            ``(ix) A less than two-year private, 
                        proprietary institution of higher education.
                    ``(C) The number of students enrolled at the 
                institution--
                            ``(i) as undergraduate students, if 
                        applicable; and
                            ``(ii) as graduate students, if applicable.
                    ``(D) The student-faculty ratio.
                    ``(E) The percentage of degree-seeking or 
                certificate-seeking undergraduate students enrolled at 
                the institution who obtain a degree or certificate 
                within--
                            ``(i) 100 percent of the normal time for 
                        completion of, or graduation from, the program 
                        in which the student is enrolled;
                            ``(ii) 150 percent of the normal time for 
                        completion of, or graduation from, the program 
                        in which the student is enrolled; and
                            ``(iii) 200 percent of the normal time for 
                        completion of, or graduation from, the program 
                        in which the student is enrolled.
                    ``(F)(i) The average net price per year for 
                undergraduate students enrolled at the institution who 
                received Federal student financial aid under title IV 
                based on dependency status and an income category 
                selected by the user of the College Dashboard website 
                from a list containing the following income categories:
                            ``(I) $0 to $30,000.
                            ``(II) $30,001 to $48,000.
                            ``(III) $48,001 to $75,000.
                            ``(IV) $75,001 to $110,000.
                            ``(V) $110, 001 to $150,000.
                            ``(VI) Over $150,000.
                    ``(ii) A link to the net price calculator for such 
                institution.
                    ``(G) The percentage of undergraduate and graduate 
                students who obtained a certificate or degree from the 
                institution who borrowed Federal student loans--
                            ``(i) set forth separately for each 
                        educational program offered by the institution; 
                        and
                            ``(ii) made available in a format that 
                        allows a user of the College Dashboard website 
                        to view such percentage by selecting from a 
                        list of such educational programs.
                    ``(H) The average Federal student loan debt 
                incurred by a student who obtained a certificate or 
                degree in an educational program from the institution 
                and who borrowed Federal student loans in the course of 
                obtaining such certificate or degree--
                            ``(i) set forth separately for each 
                        educational program offered by the institution; 
                        and
                            ``(ii) made available in a format that 
                        allows a user of the College Dashboard website 
                        to view such student loan debt information by 
                        selecting from a list of such educational 
                        programs.
                    ``(I) The median earnings of students who obtained 
                a certificate or degree in an educational program from 
                the institution and who received Federal student 
                financial aid under title IV in the course of obtaining 
                such certificate or degree--
                            ``(i) in the fifth and tenth years 
                        following the year in which the students 
                        obtained such certificate or degree;
                            ``(ii) set forth separately by educational 
                        program; and
                            ``(iii) made available in a format that 
                        allows a user of the College Dashboard website 
                        to view such median earnings information by 
                        selecting from a list of such educational 
                        programs.
                    ``(J) A link to the webpage of the institution 
                containing campus safety data with respect to such 
                institution.
            ``(2) Additional information.--The Secretary shall publish 
        on websites that are linked to through the College Dashboard 
        website, for the most recent academic year for which 
        satisfactory data is available, the following information with 
        respect to each institution of higher education that 
        participates in a program under title IV:
                    ``(A) Enrollment.--The following enrollment 
                information:
                            ``(i) The percentages of male and female 
                        undergraduate students enrolled at the 
                        institution.
                            ``(ii) The percentages of undergraduate 
                        students enrolled at the institution--
                                    ``(I) full-time; and
                                    ``(II) less than full-time.
                            ``(iii) In the case of an institution other 
                        than an institution that provides all courses 
                        and programs through online education, of the 
                        undergraduate students enrolled at the 
                        institution--
                                    ``(I) the percentage of such 
                                students who are residents of the State 
                                in which the institution is located;
                                    ``(II) the percentage of such 
                                students who are not residents of such 
                                State; and
                                    ``(III) the percentage of such 
                                students who are international 
                                students.
                            ``(iv) The percentages of undergraduate 
                        students enrolled at the institution, 
                        disaggregated by--
                                    ``(I) race and ethnic background;
                                    ``(II) classification as a student 
                                with a disability;
                                    ``(III) recipients of a Federal 
                                Pell Grant;
                                    ``(IV) recipients of assistance 
                                under a tuition assistance program 
                                conducted by the Department of Defense 
                                under section 1784a or 2007 of title 
                                10, United States Code, or other 
                                authorities available to the Department 
                                of Defense or veterans' education 
                                benefits (as defined in section 480); 
                                and
                                    ``(V) recipients of a Federal 
                                student loan.
                    ``(B) Completion.--The information required under 
                paragraph (1)(E), disaggregated by--
                            ``(i) recipients of a Federal Pell Grant;
                            ``(ii) race and ethnic background;
                            ``(iii) classification as a student with a 
                        disability;
                            ``(iv) recipients of assistance under a 
                        tuition assistance program conducted by the 
                        Department of Defense under section 1784a or 
                        2007 of title 10, United States Code, or other 
                        authorities available to the Department of 
                        Defense or veterans' education benefits (as 
                        defined in section 480); and
                            ``(v) recipients of a Federal student loan.
                    ``(C) Costs.--The following cost information:
                            ``(i) The cost of attendance for full-time 
                        undergraduate students enrolled in the 
                        institution who live on campus.
                            ``(ii) The cost of attendance for full-time 
                        undergraduate students enrolled in the 
                        institution who live off campus.
                            ``(iii) The cost of tuition and fees for 
                        full-time undergraduate students enrolled in 
                        the institution.
                            ``(iv) The cost of tuition and fees per 
                        credit hour or credit hour equivalency for 
                        undergraduate students enrolled in the 
                        institution less than full time.
                            ``(v) In the case of a public institution 
                        of higher education (other than an institution 
                        described in clause (vi)) and notwithstanding 
                        subsection (b)(1), the costs described in 
                        clauses (i) and (ii) for--
                                    ``(I) full-time students enrolled 
                                in the institution who are residents of 
                                the State in which the institution is 
                                located; and
                                    ``(II) full-time students enrolled 
                                in the institution who are not 
                                residents of such State.
                            ``(vi) In the case of a public institution 
                        of higher education that offers different 
                        tuition rates for students who are residents of 
                        a geographic subdivision smaller than a State 
                        and students not located in such geographic 
                        subdivision and notwithstanding subsection 
                        (b)(1), the costs described in clauses (i) and 
                        (ii) for--
                                    ``(I) full-time students enrolled 
                                at the institution who are residents of 
                                such geographic subdivision;
                                    ``(II) full-time students enrolled 
                                at the institution who are residents of 
                                the State in which the institution is 
                                located but not residents of such 
                                geographic subdivision; and
                                    ``(III) full-time students enrolled 
                                at the institution who are not 
                                residents of such State.
                    ``(D) Financial aid.--The following information 
                with respect to financial aid:
                            ``(i) The average annual grant amount 
                        (including Federal, State, and institutional 
                        aid) awarded to an undergraduate student 
                        enrolled at the institution who receives grant 
                        aid, and the percentage of undergraduate 
                        students receiving such aid.
                            ``(ii) The percentage of undergraduate 
                        students enrolled at the institution receiving 
                        Federal, State, and institutional grants, 
                        student loans, and any other type of student 
                        financial assistance known by the institution, 
                        provided publicly or through the institution, 
                        such as Federal work-study funds.
                            ``(iii) The loan repayment rate (as defined 
                        in section 481B) for each educational program 
                        at such institution.
            ``(3) Other data matters.--
                    ``(A) Completion data.--The Commissioner of 
                Education Statistics shall ensure that the information 
                required under paragraph (1)(E) includes information 
                with respect to all students at an institution, 
                including students other than first-time, full-time 
                students and students who transfer to another 
                institution, in a manner that the Commissioner 
                considers appropriate.
                    ``(B) Adjustment of income categories.--The 
                Secretary may annually adjust the range of each of the 
                income categories described in paragraph (1)(F) to 
                account for a change in the Consumer Price Index for 
                All Urban Consumers as determined by the Bureau of 
                Labor Statistics if the Secretary determines an 
                adjustment is necessary.
            ``(4) Institutional comparison.--The Secretary shall 
        include on the College Dashboard website a method for users to 
        easily compare the information required under paragraphs (1) 
        and (2) between institutions.
            ``(5) Updates.--
                    ``(A) Data.--The Secretary shall update the College 
                Dashboard website not less than annually.
                    ``(B) Technology and format.--The Secretary shall 
                regularly assess the format and technology of the 
                College Dashboard website and make any changes or 
                updates that the Secretary considers appropriate.
            ``(6) Consumer testing.--
                    ``(A) In general.--In developing and maintaining 
                the College Dashboard website, the Secretary, in 
                consultation with appropriate departments and agencies 
                of the Federal Government, shall conduct consumer 
                testing with appropriate persons, including current and 
                prospective college students, family members of such 
                students, institutions of higher education, and 
                experts, to ensure that the College Dashboard website 
                is usable and easily understandable and provides useful 
                and relevant information to students and families.
                    ``(B) Recommendations for changes.--The Secretary 
                shall submit to the authorizing committees any 
                recommendations that the Secretary considers 
                appropriate for changing the information required to be 
                provided on the College Dashboard website under 
                paragraphs (1) and (2) based on the results of the 
                consumer testing conducted under subparagraph (A).
            ``(7) Provision of appropriate links to prospective 
        students after submission of FAFSA.--The Secretary shall 
        provide to each student who submits a Free Application for 
        Federal Student Aid described in section 483 a link to the 
        webpage of the College Dashboard website that contains the 
        information required under paragraph (1) for each institution 
        of higher education such student includes on such Application.
            ``(8) Interagency coordination.--The Secretary, in 
        consultation with each appropriate head of a department or 
        agency of the Federal Government, shall ensure to the greatest 
        extent practicable that any information related to higher 
        education that is published by such department or agency is 
        consistent with the information published on the College 
        Dashboard website.
            ``(9) Data collection.--The Commissioner for Education 
        Statistics shall continue to update and improve the Integrated 
        Postsecondary Education Data System, including by reducing 
        institutional reporting burden and improving the timeliness of 
        the data collected.
            ``(10) Data privacy.--The Secretary shall ensure any 
        information made available under this section is made available 
        in accordance with section 444 of the General Education 
        Provisions Act (commonly known as the `Family Educational 
        Rights and Privacy Act of 1974').''.
    (b) Conforming Amendments.--The Higher Education Act of 1965 (20 
U.S.C. 1001 et seq.), as amended by subsection (a) of this section, is 
further amended, by striking ``College Navigator'' each place it 
appears and inserting ``College Dashboard''.
    (c) References.--Any reference in any law (other than this Act), 
regulation, document, record, or other paper of the United States to 
the College Navigator website shall be considered to be a reference to 
the College Dashboard website.
    (d) Development.--The Secretary of Education shall develop and 
publish the College Dashboard website required under section 132 (20 
U.S.C. 1015a), as amended by this section, not later than one year 
after the date of the enactment of this Act.
    (e) College Navigator Website Maintenance.--The Secretary shall 
maintain the College Navigator website required under section 132 (20 
U.S.C. 1015a), as in effect the day before the date of the enactment of 
this Act, in the manner required under the Higher Education Act of 
1965, as in effect on such day, until the College Dashboard website 
referred to in subsection (d) is complete and publicly available on the 
Internet.

SEC. 122. NET PRICE CALCULATORS.

    Subsection (c) of section 132 (20 U.S.C. 1015a), as so redesignated 
by section 121(a)(4) of this Act, is amended--
            (1) by redesignating paragraph (4) as paragraph (6); and
            (2) by inserting after paragraph (3) the following new 
        paragraphs:
            ``(4) Minimum requirements for net price calculators.--Not 
        later than 1 year after the date of the enactment of the 
        PROSPER Act, a net price calculator for an institution of 
        higher education shall meet the following requirements:
                    ``(A) The link for the calculator shall--
                            ``(i) be clearly labeled as a net price 
                        calculator and prominently, clearly, and 
                        conspicuously posted in locations on the 
                        website of such institution where information 
                        on costs and aid is provided and any other 
                        location that the institution considers 
                        appropriate; and
                            ``(ii) match in size and font to the other 
                        prominent links on the webpage where the link 
                        for the calculator is displayed.
                    ``(B) The webpage displaying the results for the 
                calculator shall specify at least the following 
                information:
                            ``(i) The net price (as calculated under 
                        subsection (a)(3)) for such institution, which 
                        shall be the most visually prominent figure on 
                        the results screen.
                            ``(ii) Cost of attendance, including--
                                    ``(I) tuition and fees;
                                    ``(II) average annual cost of room 
                                and board for the institution for a 
                                full-time undergraduate student 
                                enrolled in the institution;
                                    ``(III) average annual cost of 
                                books and supplies for a full-time 
                                undergraduate student enrolled in the 
                                institution; and
                                    ``(IV) estimated cost of other 
                                expenses (including personal expenses 
                                and transportation) for a full-time 
                                undergraduate student enrolled in the 
                                institution.
                            ``(iii) Estimated total need-based grant 
                        aid and merit-based grant aid from Federal, 
                        State, and institutional sources that may be 
                        available to a full-time undergraduate student.
                            ``(iv) Percentage of the full-time 
                        undergraduate students enrolled in the 
                        institution that received any type of grant aid 
                        described in clause (iii).
                            ``(v) The disclaimer described in paragraph 
                        (6).
                            ``(vi) In the case of a calculator that--
                                    ``(I) includes questions to 
                                estimate the eligibility of a student 
                                or prospective student for veterans' 
                                education benefits (as defined in 
                                section 480) or educational benefits 
                                for active duty service members, such 
                                benefits are displayed on the results 
                                screen in a manner that clearly 
                                distinguishes such benefits from the 
                                grant aid described in clause (iii); or
                                    ``(II) does not include questions 
                                to estimate eligibility for the 
                                benefits described in subclause (I), 
                                the results screen indicates that 
                                certain students (or prospective 
                                students) may qualify for such benefits 
                                and includes a link to information 
                                about such benefits.
                    ``(C) The institution shall populate the calculator 
                with data from an academic year that is not more than 2 
                academic years prior to the most recent academic year.
            ``(5) Prohibition on use of data collected by the net price 
        calculator.--A net price calculator for an institution of 
        higher education shall--
                    ``(A) clearly indicate which questions are required 
                to be completed for an estimate of the net price from 
                the calculator;
                    ``(B) in the case of a calculator that requests 
                contact information from users, clearly mark such 
                requests as optional and provide for an estimate of the 
                net price from the calculator without requiring users 
                to enter such information; and
                    ``(C) prohibit any personally identifiable 
                information provided by users from being sold or made 
                available to third parties.''.

SEC. 123. TEXT BOOK INFORMATION.

    Section 133(b)(5) (20 U.S.C. 1015b(b)(5)) is amended by striking 
``section 102'' and inserting ``section 101 or 102''.

  PART D--ADMINISTRATIVE PROVISIONS FOR DELIVERY OF STUDENT FINANCIAL 
                               ASSISTANCE

SEC. 131. PERFORMANCE-BASED ORGANIZATION FOR THE DELIVERY OF FEDERAL 
              STUDENT FINANCIAL ASSISTANCE.

    Section 141 (20 U.S.C. 1018) is amended--
            (1) in subsection (a)(2)--
                    (A) by redesignating subparagraphs (F) and (G) as 
                subparagraphs (H) and (I), respectively; and
                    (B) by inserting after subparagraph (E) the 
                following:
                    ``(F) to maximize transparency in the operation of 
                Federal student financial assistance programs;
                    ``(G) to maximize stakeholder engagement in the 
                operation of and accountability for such programs;'';
            (2) in subsection (b)--
                    (A) in paragraph (1)(C)--
                            (i) in clause (i), by striking ``and'' at 
                        the end;
                            (ii) in clause (ii), by striking the period 
                        at the end and inserting ``; and''; and
                            (iii) by adding at the end the following:
                            ``(iii) acquiring senior managers and other 
                        personnel with demonstrated management ability 
                        and expertise in consumer lending.'';
                    (B) in paragraph (2) by adding at the end the 
                following:
                    ``(C) Collecting input from stakeholders on the 
                operation of all Federal student assistance programs 
                and accountability practices relating to such programs, 
                and ensuring that such input informs operation of the 
                PBO and is provided to the Secretary to inform policy 
                creation related to Federal student financial 
                assistance programs.''; and
                    (C) in paragraph (6)--
                            (i) in subparagraph (A), by striking ``The 
                        Secretary'' and inserting ``Not less frequently 
                        than once annually, the Secretary'';
                            (ii) by redesignating subparagraph (B) as 
                        subparagraph (C); and
                            (iii) by inserting after subparagraph (A) 
                        the following: :
                    ``(B) Report.--On an annual basis, after carrying 
                out the consultation required under subparagraph (A), 
                the Secretary and the Chief Operating Officer shall 
                jointly submit to the authorizing committees a report 
                that includes--
                            ``(i) a summary of the consultation; and
                            ``(ii) a description of any actions taken 
                        as a result of the consultation..''.
            (3) in subsection (c)--
                    (A) in paragraph (1)--
                            (i) in subparagraph (A)--
                                    (I) by striking ``Each year,'' and 
                                inserting ``Not less frequently than 
                                once every three years''; and
                                    (II) by striking ``succeeding 5'' 
                                and inserting ``succeeding 3'';
                            (ii) by amending subparagraph (B) to read 
                        as follows:
                    ``(B) Consultation.--
                            ``(i) Plan development.--Beginning not 
                        later than 12 months before issuing each 3-year 
                        performance plan under subparagraph (A), the 
                        Secretary and the Chief Operating Officer shall 
                        consult with students, institutions of higher 
                        education, Congress, lenders, and other 
                        interested parties regarding the development of 
                        the plan. In carrying out such consultation, 
                        the Secretary shall seek public comment 
                        consistent with the requirements of subchapter 
                        II of chapter 5 of title 5, United States Code 
                        (commonly known as the `Administrative 
                        Procedure Act').
                            ``(ii) Revision.--Not later than 90 days 
                        before implementing any revision to the 
                        performance plan described in subparagraph (A), 
                        the Secretary shall consult with students, 
                        institutions of higher education, Congress, 
                        lenders, and other interested parties regarding 
                        such revision.'';
                            (iii) in subparagraph (C)--
                                    (I) in the matter preceding clause 
                                (i), by inserting ``and target dates 
                                upon which such action steps will be 
                                taken and such goals will be achieved'' 
                                after ``achieve such goals'';
                                    (II) by redesignating clause (v) as 
                                clause (vi);
                                    (III) by inserting after clause 
                                (iv) the following:
                            ``(v) Ensuring transparency.--Maximizing 
                        the transparency in the operations of the PBO, 
                        including complying with the data reporting 
                        requirements under section 144.'';
                    (B) in paragraph (2)--
                            (i) by striking ``5-year'' and inserting 
                        ``3-year'';
                            (ii) in subparagraph (C), by inserting ``, 
                        including an explanation of the specific steps 
                        the Secretary and the Chief Operating Officer 
                        will take to address any such goals that were 
                        not achieved'' before the period;
                            (iii) in subparagraph (D), by inserting ``, 
                        in the aggregate and per individual'' before 
                        the period;
                            (iv) in subparagraph (E), by striking 
                        ``Recommendations'' and inserting ``Specific 
                        recommendations'';
                            (v) by redesignating subparagraph (F) as 
                        subparagraph (G); and
                            (vi) by inserting after subparagraph (E), 
                        the following:
                    ``(F) A description of the performance evaluation 
                system developed under subsection (d)(6).''.
                    (C) in paragraph (3)--
                            (i) in the matter preceding subparagraph 
                        (A), by striking ``establish appropriate means 
                        to'';
                            (ii) in subparagraph (A), by striking ``; 
                        and'' and inserting ``and the PBO;'';
                            (iii) in subparagraph (B), by striking the 
                        period at the end and inserting ``and the PBO; 
                        and''; and
                            (iv) by adding at the end the following:
                    ``(C) through a nationally-representative survey, 
                that at a minimum shall evaluate the degree of 
                satisfaction with the delivery system and the PBO.'';
            (4) in subsection (d)--
                    (A) in paragraph (2), by striking ``The Secretary 
                may reappoint'' and inserting ``Except as provided in 
                paragraph (4)(C),''
                    (B) in paragraph (4)--
                            (i) in subparagraph (A)--
                                    (I) by inserting ``specific, 
                                measurable'' after ``set forth''; and
                                    (II) by inserting ``and metrics 
                                used to measure progress toward such 
                                goals'' before the period;
                            (ii) by amending subparagraph (B) to read 
                        as follows:
                    ``(B) Transmittal and public availability.--The 
                Secretary shall--
                            ``(i) transmit to the authorizing 
                        committees the final version of, and any 
                        subsequent revisions to, the agreement entered 
                        into under subparagraph (A); and
                            ``(ii) before the expiration of the period 
                        of 5 business days beginning after the date on 
                        which the agreement is transmitted under clause 
                        (i), make such agreement publicly available on 
                        a publicly accessible website of the Department 
                        of Education.''.
                            (iii) by adding at the end the following:
                    ``(C) Loss of eligibility.--If the agreement under 
                subparagraph (A) is not made publicly available before 
                the expiration of the period described in subparagraph 
                (B)(ii), the Chief Operating Officer shall not be 
                eligible for reappointment under paragraph (2).''; and
                    (C) in paragraph (5), by amending subparagraph (B) 
                to read as follows:
                    ``(B) Bonus.--In addition, the Chief Operating 
                Officer may receive a bonus in the following amounts:
                            ``(i) For a period covered by a performance 
                        agreement entered into under paragraph (4) 
                        before the date of the enactment of the PROSPER 
                        Act, an amount that does not exceed 50 percent 
                        of the annual rate basic pay of the Chief 
                        Operating Officer, based upon the Secretary's 
                        evaluation of the Chief Operating Officer's 
                        performance in relation to the goals set forth 
                        in the performance agreement.
                            ``(ii) For a period covered by a 
                        performance agreement entered into under 
                        paragraph (4) on or after the date of the 
                        enactment of the PROSPER Act, an amount that 
                        does not exceed 40 percent of the annual rate 
                        basic pay of the Chief Operating Officer, based 
                        upon the Secretary's evaluation of the Chief 
                        Operating Officer's performance in relation to 
                        the goals set forth in the performance 
                        agreement.''.
                    (D) by adding at the end the following:
            ``(6) Performance evaluation system.--The Secretary shall 
        develop a system to evaluate the performance of the Chief 
        Operating Officer and any senior managers appointed by such 
        Officer under subsection (e). Such system shall--
                    ``(A) take into account the extent to which each 
                individual attains the specific, measurable 
                organizational and individual goals set forth in the 
                performance agreement described in paragraph (4)(A) and 
                subsection (e)(2) (as the case may be); and
                    ``(B) evaluate each individual using a rating 
                system that accounts for the full spectrum of 
                performance levels, from the failure of an individual 
                to meet the goals described in clause (i) to an 
                individual's success in meeting or exceeding such 
                goals.'';
            (5) in subsection (e)--
                    (A) in paragraph (2), by striking ``organization 
                and individual goals'' and inserting ``specific, 
                measurable organization and individual goals and the 
                metrics used to measure progress toward such goals'';
                    (B) in paragraph (3), by amending subparagraph (B) 
                to read as follows:
                    ``(B) Bonus.--In addition, a senior manager may 
                receive a bonus in the following amounts:
                            ``(i) For a period covered by a performance 
                        agreement entered into under paragraph (2) 
                        before the date of the enactment of the PROSPER 
                        Act, an amount such that the manager's total 
                        annual compensation does not exceed 125 percent 
                        of the maximum rate of basic pay for the Senior 
                        Executive Service, including any applicable 
                        locality-based comparability payment, based 
                        upon the Chief Operating Officer's evaluation 
                        of the manager's performance in relation to the 
                        goals set forth in the performance agreement.
                            ``(ii) For a period covered by a 
                        performance agreement entered into under 
                        paragraph (2) on or after the date of the 
                        enactment of the PROSPER Act, an amount such 
                        that the manager's total annual compensation 
                        does not exceed 120 percent of the maximum rate 
                        of basic pay for the Senior Executive Service, 
                        including any applicable locality-based 
                        comparability payment, based upon the Chief 
                        Operating Officer's evaluation of the manager's 
                        performance in relation to the goals set forth 
                        in the performance agreement.''.
            (6) by redesignating subsections (f), (g), (h), and (i) as 
        subsections (g), (h), (i), (j); and
            (7) by inserting after subsection (e) the following:
    ``(f) Advisory Board.--
            ``(1) Establishment and purpose.--Not later than one year 
        after the date of the enactment of the PROSPER Act, the 
        Secretary shall establish an Advisory Board (referred to in 
        this subsection as the `Board') for the PBO. The purpose of 
        such Board shall be to conduct oversight over the PBO and the 
        Chief Operating Officer and senior managers described under 
        subsection (e) to ensure that the PBO is meeting the purposes 
        described in this section and the goals in the performance plan 
        described under such section.
            ``(2) Membership.--
                    ``(A) Board members.--The Board shall consist of 7 
                members, one of whom shall be the Secretary.
                    ``(B) Chairman.--A Chairman of the Board shall be 
                elected by the Board from among its members for a 2-
                year term.
                    ``(C) Secretary as an ex officio member.--The 
                Secretary, ex officio--
                            ``(i) shall--
                                    ``(I) serve as a member of the 
                                Board;
                                    ``(II) be a voting member of the 
                                Board; and
                                    ``(III) be eligible to be elected 
                                by the Board to serve as chairman or 
                                vice chairman of the Board; and
                            ``(ii) shall not be subject to the terms or 
                        compensation requirements described in this 
                        paragraph that are applicable to the other 
                        members of the Board.
                    ``(D) Additional board members.--Each member of the 
                Board (excluding the Secretary) shall be appointed by 
                the Secretary.
                    ``(E) Terms.--
                            ``(i) In general.--Each Board member, 
                        except for the Secretary and the Board members 
                        described in clause (ii)(II), shall serve 5-
                        year terms.
                            ``(ii) Initial members.--
                                    ``(I) First 3 members.--The first 3 
                                members confirmed to serve on the Board 
                                after the date of enactment of the 
                                PROSPER Act shall serve for 5-year 
                                terms.
                                    ``(II) Other members.--The fourth, 
                                fifth, and sixth members confirmed to 
                                serve on the Board after such date of 
                                enactment shall serve for 3-year terms.
                            ``(iii) Reappointment.--The Secretary may 
                        reappoint a Board member for one additional 5-
                        year term.
                            ``(iv) Vacancies.--
                                    ``(I) In general.--Not later than 
                                30 days after a vacancy of the Board 
                                occurs, the Secretary shall publish a 
                                Federal Register notice soliciting 
                                nominations for the position.
                                    ``(II) Filling vacancy.--Not later 
                                than 90 days after such vacancy occurs, 
                                such vacancy shall be filled in the 
                                same manner as the original appointment 
                                was made, except that--
                                            ``(aa) the appointment 
                                        shall be for the remainder of 
                                        the uncompleted term; and
                                            ``(bb) such member may be 
                                        reappointed under clause (iii).
                    ``(F) Membership qualifications and prohibitions.--
                            ``(i) Qualifications.--The members of the 
                        board, other than the Secretary, shall be 
                        appointed without regard to political 
                        affiliation and solely on the basis of their 
                        professional experience and expertise in--
                                    ``(I) the management of large and 
                                financially significant organizations, 
                                including banks and commercial lending 
                                companies; or
                                    ``(II) Federal student financial 
                                assistance programs.
                            ``(ii) Conflicts of interest among board 
                        members.--Before appointing members of the 
                        Board, the Secretary shall establish rules and 
                        procedures to address any potential conflict of 
                        interest between a member of the Board and 
                        responsibilities of the Board, including 
                        prohibiting membership for individuals with a 
                        pecuniary interest in the activities of the 
                        PBO.
                    ``(G) No compensation.--Board members shall serve 
                without pay.
                    ``(H) Expenses of board members.--Each member of 
                the Board shall receive travel expenses and other 
                permissible expenses, including per diem in lieu of 
                subsistence, in accordance with applicable provisions 
                under title 5, United States Code.
            ``(3) Board responsibilities.--The Board shall have the 
        following responsibilities:
                    ``(A) Conducting general oversight over the 
                functioning and operation of the PBO, including--
                            ``(i) ensuring that the reporting and 
                        planning requirements of this section are 
                        fulfilled by the PBO; and
                            ``(ii) ensuring that the Chief Operating 
                        Officer acquires senior managers with 
                        demonstrated management ability and expertise 
                        in consumer lending (as described in subsection 
                        (b)(1)(C)(iii)).
                    ``(B) Approving the appointment or reappointment of 
                a Chief Operating Officer, except that the board shall 
                have no authority to approve or disapprove the 
                reappointment of the Chief Operating Officer who holds 
                such position on the date of enactment of the PROSPER 
                Act.
                    ``(C) Making recommendations with respect to the 
                suitability of any bonuses proposed to be provided to 
                the Chief Operating Officer or senior managers 
                described under subsections (d) and (e), to ensure that 
                a bonus is not awarded to the Officer or a senior 
                manager in a case in which such Officer or manager has 
                failed to meet goals set for them under the relevant 
                performance plan under subsections (d)(4) and (e)(2), 
                respectively.
                    ``(D) Approving any performance plan established 
                for the PBO.
            ``(4) Board operations.--
                    ``(A) Meetings.--The Board shall meet at least 
                twice per year and at such other times as the 
                chairperson determines appropriate.
                    ``(B) Powers of chairperson.--Except as otherwise 
                provided by a majority vote of the Board, the powers of 
                the chairperson shall include--
                            ``(i) establishing committees;
                            ``(ii) setting meeting places and times;
                            ``(iii) establishing meeting agendas; and
                            ``(iv) developing rules for the conduct of 
                        business.
                    ``(C) Quorum.--Four members of the Board shall 
                constitute a quorum. A majority of members present and 
                voting shall be required for the Board to take action.
                    ``(D) Administration.--The Federal Advisory 
                Committee Act shall not apply with respect to the 
                Board, other than sections 10, 11 and 12 of such Act.
            ``(5) Annual report.--
                    ``(A) In general.--Not less frequently than once 
                annually, the Board shall submit to the authorizing 
                committees a report on the results of the work 
                conducted by the PBO.
                    ``(B) Contents.--Each report under clause (i) shall 
                include--
                            ``(i) a description of the oversight work 
                        of the Board and the results of such work;
                            ``(ii) a description of statutory 
                        requirements of this section and section 144 
                        where the PBO is not in compliance;
                            ``(iii) recommendations on the appointment 
                        or reappointment of a Chief Operating Officer;
                            ``(iv) recommendations regarding bonus 
                        payments for the Chief Operating Officer and 
                        senior managers; and
                            ``(v) recommendations for the authorizing 
                        Committees and the Appropriations Committees 
                        on--
                                    ``(I) any statutory changes needed 
                                that would enhance the ability of the 
                                PBO to meet the purposes of this 
                                section; and
                                    ``(II) any recommendations for the 
                                Secretary or the Chief Operating 
                                Officer that will improve the 
                                operations of the PBO.
                            ``(vi) Issuance and public release.--Each 
                        report under clause (i) shall be posted on the 
                        publicly accessible website of the Department 
                        of Education.
                            ``(vii) PBO recommendations.--Not later 
                        than 180 days after the submission of each 
                        report under clause (i), the Chief Operating 
                        Officer shall respond to each recommendation 
                        individually, which shall include a description 
                        of such actions that the Officer is undertaking 
                        to address such recommendation.
                    ``(C) Staff.--
                            ``(i) In general.--The Secretary may 
                        appoint to the Board not more than 7 employees 
                        to assist in carrying out the duties of the 
                        Board under this section.
                            ``(ii) Technical employees.--Such 
                        appointments may include, for terms not to 
                        exceed 3 years and without regard to the 
                        provisions of title 5, United States Code, 
                        governing appointments in the competitive 
                        service, not more than 3 technical employees 
                        who may be paid without regard to the 
                        provisions of chapter 51 and subchapter III of 
                        chapter 53 of such title relating to 
                        classification and General Schedule pay rates, 
                        but no individual so appointed shall be paid in 
                        excess of the rate authorized for GS-18 of the 
                        General Schedule.
                            ``(iii) Detailees.--The Secretary may 
                        detail, on a reimbursable basis, any of the 
                        personnel of the Department for the purposes 
                        described in clause (i). Such employees shall 
                        serve without additional pay, allowances, or 
                        benefits.
                            ``(iv) Statutory construction.--Nothing in 
                        this subparagraph shall be construed to provide 
                        for an increase in the total number of 
                        permanent full-time equivalent positions in the 
                        Department or any other department or agency of 
                        the Federal Government.
            ``(6) Briefing on activities of the oversight board.--The 
        Secretary shall, upon request, provide a briefing to the 
        authorizing committees on the steps the Board has taken to 
        carry out its responsibilities under this subsection.''.

SEC. 132. ADMINISTRATIVE DATA TRANSPARENCY.

    Part D of title I (20 U.S.C. 1018 et seq.) is amended by adding at 
the end the following:

``SEC. 144. ADMINISTRATIVE DATA TRANSPARENCY.

    ``(a) In General.--To improve the transparency of the student aid 
delivery system, the Secretary and the Chief Operating Officer shall 
collect and publish information on the performance of student loan 
programs under title IV in accordance with this section.
    ``(b) Disclosures.--
            ``(1) In general.--The Secretary and the Chief Operating 
        Officer shall publish on a publicly accessible website of the 
        Department of Education the following aggregate statistics with 
        respect to the performance of student loans under title IV:
                    ``(A) The number of borrowers who paid off the 
                total outstanding balance of principal and interest on 
                their loans before the end of the 10-year or 
                consolidated loan repayment schedule.
                    ``(B) The number of loans under each type of 
                deferment and forbearance.
                    ``(C) The average length of time a loan stays in 
                default.
                    ``(D) The percentage of loans in default among 
                borrowers who completed the program of study for which 
                the loans were made.
                    ``(E) The number of borrowers enrolled in an 
                income-based repayment plan who make monthly payments 
                of $0 and the average student loan debt of such 
                borrowers.
                    ``(F) The number of students whose loan balances 
                are growing because such students are not paying the 
                full amount of interest accruing on the loans.
                    ``(G) The number of borrowers entering income-based 
                repayment plans to get out of default.
                    ``(H) The number of borrowers in income-based 
                repayment plans who have outstanding student loans from 
                graduate school, and the average balance of such loans.
                    ``(I) With respect to the public service loan 
                forgiveness program under section 455(m)--
                            ``(i) the number of applications submitted 
                        and processed;
                            ``(ii) the number of borrowers granted loan 
                        forgiveness;
                            ``(iii) the amount of loan debt forgiven; 
                        and
                            ``(iv) the number of borrowers granted loan 
                        forgiveness, and the amount of the loan debt 
                        forgiven, disaggregated by each category of 
                        employer that employs individuals in public 
                        service jobs (as defined in section 
                        455(m)(3)(B), including--
                                    ``(I) the Federal Government, or a 
                                State or local government;
                                    ``(II) an organization that is 
                                described in section 501(c)(3) of the 
                                Internal Revenue Code of 1986 and 
                                exempt from taxation under section 
                                501(a) of such Code; and
                                    ``(III) a non-profit organization 
                                not described in subclause (II).
                    ``(J) Any other aggregate statistics the Secretary 
                and the Chief Operating Officer determine to be 
                necessary to adequately inform the public of the 
                performance of the student loan programs under title 
                IV.
            ``(2) Disaggregation.--The statistics described in clauses 
        (i) through (iii) of paragraph (1)(I) shall be disaggregated--
                    ``(A) by the number or amount for most recent 
                quarter;
                    ``(B) by the total number or amount as of the date 
                of publication;
                    ``(C) by repayment plan;
                    ``(D) by borrowers seeking loan forgiveness for 
                loans made for an undergraduate course of study; and
                    ``(E) by borrowers seeking loan forgiveness for 
                loans made for a graduate course of study.
            ``(3) Quarterly updates.--The statistics published under 
        paragraph (1) shall be updated not less frequently than once 
        each fiscal quarter.
    ``(c) Information Collection.--
            ``(1) In general.--The Secretary and the Chief Operating 
        Officer shall collect information on the performance of student 
        loans under title IV over time, including--
                    ``(A) measurement of the cash flow generated by 
                such loans as determined by assessing monthly payments 
                on the loans over time;
                    ``(B) the income level and employment status of 
                borrowers during repayment;
                    ``(C) the loan repayment history of borrowers prior 
                to default;
                    ``(D) the progress of borrowers in making monthly 
                payments on loans after defaulting on the loans; and
                    ``(E) such other information as the Secretary and 
                the Chief Operating Officer determine to be 
                appropriate.
            ``(2) Availability.--
                    ``(A) In general.--The information collected under 
                paragraph (1) shall be made available biannually to 
                organizations and researchers that--
                            ``(i) submit to the Secretary and the Chief 
                        Operating officer a request for such 
                        information; and
                            ``(ii) enter into an agreement with the 
                        National Center for Education Statistics under 
                        which the organization or researcher (as the 
                        case may be) agrees to use the information in 
                        accordance with the privacy laws described in 
                        subparagraph (B).
                    ``(B) Privacy protections.--The privacy laws 
                described in this subparagraph are the following:
                            ``(i) Section 183 of the Education Sciences 
                        Reform Act of 2002 (20 U.S.C. 9573).
                            ``(ii) The Privacy Act of 1974 (5 U.S.C. 
                        552a).
                            ``(iii) Section 444 of the General 
                        Education Provisions Act (commonly known as the 
                        `Family Educational Rights and Privacy Act of 
                        1974') (20 U.S.C. 1232g).
                            ``(iv) Subtitle A of title V of the E-
                        Government Act of 2002 (44 U.S.C. 3501 note).
                    ``(C) Format.--The information described in 
                subparagraph (A) shall be made available in the format 
                of a data file that contains an statistically accurate, 
                representative sample of all borrowers of loans under 
                title IV.
    ``(d) Data Sharing.--The Secretary and the Chief Operating Officer 
may enter into cooperative data sharing agreements with other Federal 
or State agencies to ensure the accuracy of information collected and 
published under this section.
    ``(e) Privacy.--The Secretary and the Chief Operating Officer shall 
ensure that any information collected, published, or otherwise made 
available under this section does not reveal personally identifiable 
information.''.

PART E--LENDER AND INSTITUTION REQUIREMENTS RELATING TO EDUCATION LOANS

SEC. 141. MODIFICATION OF PREFERRED LENDER ARRANGEMENTS.

    (a) In General.--Part E of title I (20 U.S.C. 1019 et seq.) is 
amended--
            (1) in section 151 (20 U.S.C. 1019(2))--
                    (A) in paragraph (2), by striking ``section 102'' 
                and inserting ``section 101 or 102'';
                    (B) in paragraph (3)--
                            (i) by striking ``or'' at the end of 
                        subparagraph (B);
                            (ii) by redesignating subparagraph (C) as 
                        subparagraph (D); and
                            (iii) by inserting after subparagraph (B), 
                        the following:
                    ``(C) any loan made under part E of title IV after 
                the date of enactment of the PROSPER Act; or'';
                    (C) in paragraph (6)(A)--
                            (i) by striking ``and'' at the end of 
                        clause (ii);
                            (ii) by redesignating clause (iii) as 
                        clause (iv); and
                            (iii) by inserting after clause (ii), the 
                        following:
                            ``(iii) in the case of a loan issued or 
                        provided to a student under part E of title IV 
                        on or after the date of enactment of the 
                        PROSPER Act;'';
                    (D) in paragraph (8)(B)(ii)--
                            (i) by striking ``or'' at the end of clause 
                        (i);
                            (ii) by redesignating clause (ii) as clause 
                        (iii); and
                            (iii) by inserting after clause (i), the 
                        following:
                            ``(ii) arrangements or agreements with 
                        respect to loans under part E of title IV; 
                        or'';
            (2) in section 152 (20 U.S.C. 1019)--
                    (A) in subsection (a)(1)--
                            (i) in subparagraph (B), by amending clause 
                        (i) to read as follows:
                            ``(i) make available to the prospective 
                        borrower on a website or with informational 
                        material, the information the Board of 
                        Governors of the Federal Reserve System 
                        requires the lender to provide to the covered 
                        institution under section 128(e)(11) of the 
                        Truth in Lending Act (15 U.S.C. 1638(e)(11)) 
                        for such loan;''; and
                            (ii) by adding at the end the following:
                    ``(D) Special rule.--Notwithstanding any other 
                provision of law, a covered institution, or an 
                institution-affiliated organization of such covered 
                institution, shall not be required to provide any 
                information regarding private education loans to 
                prospective borrowers except for the information 
                described in subparagraph (B).''; and
                    (B) in subsection (b)(1)(A)(i), by striking ``part 
                B or D'' and inserting ``part B, D, or E'';
            (3) in section 153 (20 U.S.C. 1019b)--
                    (A) in subsection (a)--
                            (i) in paragraph (1)(B)--
                                    (I) in clause (i), by adding 
                                ``and'' at the end;
                                    (II) in clause (ii), by striking 
                                ``; and'' at the end and inserting a 
                                period; and
                                    (III) by striking clause (iii); and
                            (ii) in paragraph (2), by amending 
                        subparagraph (C) to read as follows:
                    ``(C) update such model disclosure form not later 
                than 180 after the date of enactment of the PROSPER 
                Act, and periodically thereafter, as necessary.''; and
                    (B) by amending subsection (c) to read as follows:
    ``(c) Duties of Covered Institutions and Institution-Affiliated 
Organizations.--
            ``(1) Code of conduct.--Each covered institution, and each 
        institution-affiliated organization of such covered 
        institution, that has a preferred lender arrangement, shall 
        comply with the code of conduct requirements of subparagraphs 
        (A) through (C) of section 487(a)(22).
            ``(2) Applicable code of conduct.--For purposes of 
        subparagraph (A), an institution-affiliated organization of a 
        covered institution shall--
                    ``(A) comply with the code of conduct developed and 
                published by such covered institution under 
                subparagraphs (A) and (B) of section 487(a)(22);
                    ``(B) if such institution-affiliated organization 
                has a website, publish such code of conduct prominently 
                on the website; and
                    ``(C) administer and enforce such code of conduct 
                by, at a minimum, requiring that all of such 
                organization's agents with responsibilities with 
                respect to education loans be annually informed of the 
                provisions of such code of conduct.''; and
            (4) in section 154 (20 U.S.C. 1019c)--
                    (A) in the subsection heading, by inserting before 
                the period the following: ``or the Federal ONE Loan 
                Program'';
                    (B) by striking ``William D. Ford Direct Loan 
                Program'' each place it appears and inserting ``William 
                D. Ford Direct Loan Program or the Federal ONE Loan 
                Program''
                    (C) by striking ``part D'' each place it appears 
                and inserting ``part D or E''; and
                    (D) in subsection (a)--
                            (i) by striking ``the development'' and 
                        inserting ``the first update'';
                            (ii) by striking ``section 153(a)(2)(B)'' 
                        and inserting ``section 153(a)(2)(C)''; and
                            (iii) by striking ``Federal Direct Stafford 
                        Loans, Federal Direct Unsubsidized Stafford 
                        Loans, and Federal Direct PLUS'' and inserting 
                        ``undergraduate, graduate, and parent''.
    (b) Limitation.--The Secretary of Education shall not impose, 
administer, or enforce any requirements on a covered institution or an 
institution-affiliated organization of a covered institution relating 
to preferred lender lists or arrangements unless explicitly authorized 
by sections 152(a)(1)(B), 153(c), or 487(h)(1) of the Higher Education 
Act of 1965 (20 U.S.C. 1019a(a)(1)(B), 1019b(c), or 1094(h), 
respectively) as amended by this Act.

                   PART F--ADDRESSING SEXUAL ASSAULT

SEC. 151. ADDRESSING SEXUAL ASSAULT.

    Title I (20 U.S.C. 1001 et seq.) is amended by adding at the end 
the following new part:

                  ``PART F--ADDRESSING SEXUAL ASSAULT

``SEC. 161. APPLICATION.

    ``The requirements of this part shall apply to any institution of 
higher education receiving Federal financial assistance under this Act, 
including financial assistance provided to students under title IV, 
other than--
            ``(1) an institution outside the United States; or
            ``(2) an institution that provides instruction primarily 
        through online courses.

``SEC. 162. CAMPUS CLIMATE SURVEYS.

    ``(a) Surveys To Measure Campus Attitudes and Climate Regarding 
Sexual Assault and Misconduct on Campus.--Each institution of higher 
education that is subject to this part shall conduct surveys of its 
students to measure campus attitudes towards sexual assault and the 
general climate of the campus regarding the institution's treatment of 
sexual assault on campus, and shall use the results of the survey to 
improve the institution's ability to prevent and respond appropriately 
to incidents of sexual assault.
    ``(b) Contents.--The institution's survey under this section shall 
consist of such questions as the institution considers appropriate, 
which may (at the option of the institution) include any of the 
following:
            ``(1) Questions on the incidence and prevalence of sexual 
        assault experienced by students.
            ``(2) Questions on whether students who experience sexual 
        assault report such incidents to campus officials or law 
        enforcement agencies.
            ``(3) Questions on whether the alleged perpetrators are 
        students of the institution.
            ``(4) Questions to test the students' knowledge and 
        understanding of institutional policies regarding sexual 
        assault and available campus support services for victims of 
        sexual assault.
            ``(5) Questions to test the students' knowledge, 
        understanding, and retention of campus sexual assault 
        prevention and awareness programming.
            ``(6) Questions related to dating violence, domestic 
        violence, and stalking.
    ``(c) Other Issues Relating to the Administration of Surveys.--
            ``(1) Mandatory confidentiality of responses.--The 
        institution shall ensure that all responses to surveys under 
        this section are kept confidential and do not require the 
        respondents to provide personally identifiable information.
            ``(2) Encouraging use of best practices and appropriate 
        language.--The institution is encouraged to administer the 
        surveys under this section in accordance with best practices 
        derived from peer-reviewed research, and to use language that 
        is sensitive to potential respondents who may have been victims 
        of sexual assault.
            ``(3) Encouraging responses.--The institution shall make a 
        good faith effort to encourage students to respond to the 
        surveys.
    ``(d) Role of Secretary.--
            ``(1) Development of sample surveys.--The Secretary, in 
        consultation with relevant stakeholders, shall develop sample 
        surveys that an institution may elect to use under this 
        section, and shall post such surveys on a publicly accessible 
        website of the Department of Education. The Secretary shall 
        develop sample surveys that are suitable for the various 
        populations who will participate in the surveys.
            ``(2) Limit on other activities.--In carrying out this 
        section, the Secretary--
                    ``(A) may not regulate or otherwise impose 
                conditions on the contents of an institution's surveys 
                under this section, except as may be necessary to 
                ensure that the institution meets the confidentiality 
                requirements of subsection (c)(1); and
                    ``(B) may not use the results of the surveys to 
                make comparisons between institutions of higher 
                education.
    ``(e) Frequency.--An institution of higher education that is 
subject to this part shall conduct a survey under this section not less 
frequently than once every 3 academic years.

``SEC. 163. SURVIVORS' COUNSELORS.

    ``(a) Requiring Institutions To Make Counselor Available.--
            ``(1) In general.--Each institution of higher education 
        that is subject to this part shall retain the services of 
        qualified sexual assault survivors' counselors to counsel and 
        support students who are victims of sexual assault.
            ``(2) Use of contractors permitted.--At the option of the 
        institution, the institution may retain the services of 
        counselors who are employees of the institution or may enter 
        into agreements with other institutions of higher education, 
        victim advocacy organizations, or other appropriate sources to 
        provide counselors for purposes of this section.
            ``(3) Number.--The institution shall retain such number of 
        counselors under this section as the institution considers 
        appropriate based on a reasonable determination of the 
        anticipated demand for such counselors' services, so long as 
        the institution retains the services of at least one such 
        counselor at all times.
    ``(b) Qualifications.--A counselor is qualified for purposes of 
this section if the counselor has completed education specifically 
designed to enable the counselor to provide support to victims of 
sexual assault, and is familiar with relevant laws on sexual assault as 
well as the institution's own policies regarding sexual assault.
    ``(c) Informing Victims of Available Options and Services.--In 
providing services pursuant to this section, a counselor shall--
            ``(1) inform the victim of sexual assault of options 
        available to victims, including the procedures the victim may 
        follow to report the assault to the institution or to a law 
        enforcement agency; and
            ``(2) inform the victim of interim measures that may be 
        taken pending the resolution of institutional disciplinary 
        proceedings or the conclusion of criminal justice proceedings.
    ``(d) Confidentiality.--
            ``(1) Maintaining confidentiality of information.--In 
        providing services pursuant to this section, a counselor 
        shall--
                    ``(A) maintain confidentiality with respect to any 
                information provided by a victim of sexual assault to 
                the greatest extent permitted under applicable law; and
                    ``(B) notify the victim of any circumstances under 
                which the counselor is required to report information 
                to others (including a law enforcement agency) 
                notwithstanding the general requirement to maintain 
                confidentiality under subparagraph (A).
            ``(2) Maintaining privacy of records.--A counselor 
        providing services pursuant to this section shall be considered 
        a recognized professional for purposes of section 
        444(a)(4)(B)(iv) of the General Education Provisions Act 
        (commonly known as the `Family Educational Rights and Privacy 
        Act of 1974') (20 U.S.C. 1232g(a)(4)(B)(iv)).
    ``(e) Limitations.--
            ``(1) No reporting of incidents under clery act or other 
        authority.--A counselor providing services pursuant to this 
        section is not required to report incidents of sexual assault 
        that are reported to the counselor for inclusion in any report 
        on campus crime statistics, and shall not be considered part of 
        a campus police or security department for purposes of section 
        485(f).
            ``(2) No coverage of counselors as responsible employees 
        under title ix.--A counselor providing services pursuant to 
        this section on behalf of an institution of higher education 
        shall not be considered a responsible employee of the 
        institution for purposes of title IX of the Education 
        Amendments of 1972 (20 U.S.C. 1681 et seq.) or the regulations 
        promulgated pursuant to such title.
    ``(f) Notifications to Students.--Each institution of higher 
education that is subject to this part shall make a good faith effort 
to notify its students of the availability of the services of 
counselors pursuant to this section through the statement of policy 
described in section 485(f)(8)(B)(vi) and any other methods as the 
institution considers appropriate, including disseminating information 
through the institution's website, posting notices throughout the 
campus, and including information as part of programs to educate 
students on sexual assault prevention and awareness.

``SEC. 164. FORM TO DISTRIBUTE TO VICTIMS OF SEXUAL ASSAULT.

    ``(a) Requirement To Develop and Distribute Form.--Each institution 
of higher education that is subject to this part shall develop a one-
page form containing information to provide guidance and assistance to 
students who may be victims of sexual assault, and shall make the form 
widely available to students.
    ``(b) Contents of Form.--The form developed under this section 
shall contain such information as the institution considers 
appropriate, and may include the following:
            ``(1) Information about the services of counselors which 
        are available pursuant to section 163, including a statement 
        that the counselor will provide the maximum degree of 
        confidentiality permitted under law, and a brief description of 
        the circumstances under which the counselor may be required to 
        report information notwithstanding the victim's desire to keep 
        the information confidential.
            ``(2) Information about other appropriate campus resources 
        and resources in the local community, including contact 
        information.
            ``(3) Information about where to obtain medical treatment, 
        and information about transportation services to such medical 
        treatment facilities, if available.
            ``(4) Information about the importance of preserving 
        evidence after a sexual assault.
            ``(5) Information about how to file a report with local law 
        enforcement agencies.
            ``(6) Information about the victim's right to request 
        accommodations, and examples of accommodations that may be 
        provided.
            ``(7) Information about the victim's right to request that 
        the institution begin an investigation of an allegation of 
        sexual assault and initiate an institutional disciplinary 
        proceeding if the alleged perpetrator of the assault is another 
        student or a member of the faculty or staff of the institution.
            ``(8) A statement that an institutional disciplinary 
        proceeding is not a substitute for a criminal justice 
        proceeding.
            ``(9) Information about how to report a sexual assault to 
        the institution, including the designated official or office 
        responsible for receiving these reports.
    ``(c) Development of Model Forms.--The Secretary, in consultation 
with relevant stakeholders, shall develop model forms that an 
institution may use to meet the requirements of this section, and shall 
include in such model forms language which may accommodate a variety of 
State and local laws and institutional policies. Nothing in this 
subsection may be construed to require an institution to use any of the 
model forms developed under this subsection.

``SEC. 165. MEMORANDA OF UNDERSTANDING WITH LOCAL LAW ENFORCEMENT 
              AGENCIES.

    ``(a) Findings; Purpose.--
            ``(1) Findings.--Because sexual assault is a serious crime, 
        coordination and cooperation between institutions of higher 
        education and law enforcement agencies are critical in ensuring 
        that reports of sexual assaults on campus are handled in an 
        appropriate and effective manner. A memorandum of understanding 
        entered into between an institution and the law enforcement 
        agency with primary jurisdiction for responding to reports of 
        sexual assault on the institution's campus is a useful tool to 
        promote this coordination and cooperation.
            ``(2) Purpose.--It is the purpose of this section to 
        encourage each institution of higher education that is subject 
        to this part to enter into a memorandum of understanding with 
        the law enforcement agency with primary jurisdiction for 
        responding to reports of sexual assault on the institution's 
        campus so that reports of sexual assault on the institution's 
        campus may be handled in an appropriate and effective manner.
    ``(b) Contents of Memorandum.--An institution of higher education 
and a law enforcement agency entering into a memorandum of 
understanding described in this section are encouraged to include in 
the memorandum provisions addressing the following:
            ``(1) An outline of the protocols and a delineation of 
        responsibilities for responding to a report of sexual assault 
        occurring on campus.
            ``(2) A clarification of each party's responsibilities 
        under existing Federal, State, and local law or policies.
            ``(3) The need for the law enforcement agency to know about 
        institutional policies and resources so that the agency can 
        direct student-victims of sexual assault to such resources.
            ``(4) The need for the institution to know about resources 
        available within the criminal justice system to assist 
        survivors, including the presence of special prosecutor or 
        police units specifically designated to handle sexual assault 
        cases.
            ``(5) If the institution has a campus police or security 
        department with law enforcement authority, the need to clarify 
        the relationship and delineate the responsibilities between 
        such department and the law enforcement agency with respect to 
        handling incidents of sexual assaults occurring on campus.
    ``(c) Role of Secretary.--The Secretary, in consultation with the 
Attorney General, shall develop best practices for memoranda of 
understanding described in this section, and shall disseminate such 
best practices on a publicly accessible website of the Department of 
Education.

``SEC. 166. DEFINITIONS.

    ``In this part:
            ``(1) The term `sexual assault' has the meaning given such 
        term in section 485(f)(6)(A)(v).
            ``(2) The terms `dating violence', `domestic violence', and 
        `stalking', have the meaning given such terms in section 
        485(f)(6)(A)(i).''.

        TITLE II--EXPANDING ACCESS TO IN-DEMAND APPRENTICESHIPS

SEC. 201. REPEAL.

    (a) Repeal.--Title II (20 U.S.C. 1021 et seq.) is repealed.
    (b) Part A Transition.--Part A of title II (20 U.S.C. 1022 et 
seq.), as in effect on the day before the date of the enactment of this 
Act, may be carried out using funds that have been appropriated for 
such part until June 30, 2018.

SEC. 202. GRANTS FOR ACCESS TO HIGH-DEMAND CAREERS.

    The Higher Education Act of 1965 (20 U.S.C. 1001 et seq.) is 
amended by inserting after title I the following:

       ``TITLE II--EXPANDING ACCESS TO IN-DEMAND APPRENTICESHIPS

``SEC. 201. APPRENTICESHIP GRANT PROGRAM.

    ``(a) Purpose.--The purpose of this section is to expand student 
access to, and participation in, new industry-led earn-and-learn 
programs leading to high-wage, high-skill, and high-demand careers.
    ``(b) Authorization of Apprenticeship Grant Program.--
            ``(1) In general.--From the amounts authorized under 
        subsection (j), the Secretary shall award grants, on a 
        competitive basis, to eligible partnerships for the purpose 
        described in subsection (a).
            ``(2) Duration.--The Secretary shall award grants under 
        this section for a period of--
                    ``(A) not less than 1 year; and
                    ``(B) not more than 4 years.
            ``(3) Limitations.--
                    ``(A) Amount.--A grant awarded under this section 
                may not be in an amount greater than $1,500,000.
                    ``(B) Number of awards.--An eligible partnership or 
                member of such partnership may not be awarded more than 
                one grant under this section.
                    ``(C) Administration costs.--An eligible 
                partnership awarded a grant under this section may not 
                use more than 5 percent of the grant funds to pay 
                administrative costs associated with activities funded 
                by the grant.
    ``(c) Matching Funds.--To receive a grant under this section, an 
eligible partnership shall, through cash or in-kind contributions, 
provide matching funds from non-Federal sources in an amount equal to 
or greater than 50 percent of the amount of such grant.
    ``(d) Applications.--
            ``(1) In general.--To receive a grant under this section, 
        an eligible partnership shall submit to the Secretary at such a 
        time as the Secretary may require, an application that--
                    ``(A) identifies and designates the business or 
                institution of higher education responsible for the 
                administration and supervision of the earn-and-learn 
                program for which such grant funds would be used;
                    ``(B) identifies the businesses and institutions of 
                higher education that comprise the eligible 
                partnership;
                    ``(C) identifies the source and amount of the 
                matching funds required under subsection (c);
                    ``(D) identifies the number of students who will 
                participate and complete the relevant earn-and-learn 
                program within 1 year of the expiration of the grant;
                    ``(E) identifies the amount of time, not to exceed 
                2 years, required for students to complete the program;
                    ``(F) identifies the relevant recognized 
                postsecondary credential to be awarded to students who 
                complete the program;
                    ``(G) identifies the anticipated earnings of 
                students--
                            ``(i) 1 year after program completion; and
                            ``(ii) 3 years after program completion;
                    ``(H) describes the specific project for which the 
                application is submitted, including a summary of the 
                relevant classroom and paid structured on-the-job 
                training students will receive;
                    ``(I) describes how the eligible partnership will 
                finance the program after the end of the grant period;
                    ``(J) describes how the eligible partnership will 
                support the collection of information and data for 
                purposes of the program evaluation required under 
                subsection (h); and
                    ``(K) describes the alignment of the program with 
                State identified in-demand industry sectors.
            ``(2) Application review process.--
                    ``(A) Review panel.--Applications submitted under 
                paragraph (1) shall be read by a panel of readers 
                composed of individuals selected by the Secretary. The 
                Secretary shall assure that an individual assigned 
                under this paragraph does not have a conflict of 
                interest with respect to the applications reviewed by 
                such individual.
                    ``(B) Composition of review panel.--The panel of 
                reviewers selected by the Secretary under subparagraph 
                (A) shall be comprised as follows:
                            ``(i) A majority of the panel shall be 
                        individuals who are representative of 
                        businesses, which may include owners, 
                        executives with optimum hiring authority, or 
                        individuals representing business organizations 
                        or business trade associations.
                            ``(ii) The remainder of the panel shall be 
                        equally divided between individuals who are--
                                    ``(I) representatives of 
                                institutions of higher education that 
                                offer programs of two years or less; 
                                and
                                    ``(II) representatives of State 
                                workforce development boards 
                                established under section 101 of the 
                                Workforce Innovation and Opportunity 
                                Act (29 U.S.C. 3111).
                    ``(C) Review of applications.--The Secretary shall 
                instruct the review panel selected by the Secretary 
                under paragraph (2)(A) to evaluate applications using 
                only the criteria specified in paragraph (1) and make 
                recommendations with respect to--
                            ``(i) the quality of the applications;
                            ``(ii) whether a grant should be awarded 
                        for a project under this title; and
                            ``(iii) the amount and duration of such 
                        grant.
                    ``(D) Notification.--Not later than June 30 of each 
                year, the Secretary shall notify each eligible 
                partnership submitting an application under this 
                section of--
                            ``(i) the scores given the applicant by the 
                        panel pursuant to this section;
                            ``(ii) the recommendations of the panel 
                        with respect to such application; and
                            ``(iii) the reasons for the decision of the 
                        Secretary in awarding or refusing to award a 
                        grant under this section; and
                            ``(iv) modifications, if any, in the 
                        recommendations of the panel made to the 
                        Secretary.
    ``(e) Award Basis.--The Secretary shall award grants under this 
section on the following basis--
            ``(1) the number of participants to be served by the grant;
            ``(2) the anticipated income of program participants in 
        relation to the regional median income;
            ``(3) the alignment of the program with State-identified 
        in-demand industry sectors; and
            ``(4) the recommendations of the readers under subsection 
        (d)(2)(C).
    ``(f) Use of Funds.--Grant funds provided under this section may be 
used for--
            ``(1) the purchase of appropriate equipment, technology, or 
        instructional material, aligned with business and industry 
        needs, including machinery, testing equipment, hardware and 
        software;
            ``(2) student books, supplies, and equipment required for 
        enrollment;
            ``(3) the reimbursement of up to 50 percent of the wages of 
        a student participating in an earn-and-learn program receiving 
        a grant under this section;
            ``(4) the development of industry-specific programing;
            ``(5) supporting the transition of industry-based 
        professionals from an industry setting to an academic setting;
            ``(6) industry-recognized certification exams or other 
        assessments leading to a recognized postsecondary credential 
        associated with the earn-and-learn program; and
            ``(7) any fees associated with the certifications or 
        assessments described in paragraph (6).
    ``(g) Technical Assistance.--The Secretary may provide technical 
assistance to eligible partnerships awarded under this section 
throughout the grant period for purposes of grant management.
    ``(h) Evaluation.--
            ``(1) In general.--From the amounts made available under 
        subsection (j), the Secretary, acting through the Director of 
        the Institute for Education Sciences, shall provide for the 
        independent evaluation of the grant program established under 
        this section that includes the following:
                    ``(A) An assessment of the effectiveness of the 
                grant program in expanding earn-and-learn program 
                opportunities offered by employers in conjunction with 
                institutions of higher education.
                    ``(B) The number of students who participated in 
                programs assisted under this section.
                    ``(C) The percentage of students participating in 
                programs assisted under this section who successfully 
                completed the program in the time described in 
                subsection (d)(1)(E).
                    ``(D) The median earnings of program participants--
                            ``(i) 1 year after exiting the program; and
                            ``(ii) 3 years after exiting the program.
                    ``(E) The percentage of students participating in 
                programs assisted under this section who successfully 
                receive a recognized postsecondary credential.
                    ``(F) The number of students served by programs 
                receiving funding under this section--
                            ``(i) 2 years after the end of the grant 
                        period;
                            ``(ii) 4 years after the end of the grant 
                        period.
            ``(2) Prohibition.--Notwithstanding any other provision of 
        law, the evaluation required by this subsection shall not be 
        subject to any review outside the Institute for Education 
        Sciences before such reports are submitted to Congress and the 
        Secretary.
            ``(3) Publication.--The evaluation required by this 
        subsection shall be made publicly available on the website of 
        the Department.
    ``(i) Definitions.--In this section:
            ``(1) Earn-and-learn program.--The term `earn-and-learn 
        program' means an education program, including an 
        apprenticeship program, that provides students with structured, 
        sustained, and paid on-the-job training and accompanying, for 
        credit, classroom instruction that--
                    ``(A) is for a period of between 3 months and 2 
                years; and
                    ``(B) leads to, on completion of the program, a 
                recognized postsecondary credential.
            ``(2) Eligible partnership.--The term `eligible 
        partnership' shall mean a consortium that includes--
                    ``(A) one or more businesses; and
                    ``(B) one or more institutions of higher education.
            ``(3) In-demand industry sector or occupation.--The term 
        `in-demand industry sector or occupation' has the meaning given 
        the term in section 3 of the Workforce Innovation and 
        Opportunity Act (29 U.S.C. 3102).
            ``(4) On-the-job training.--The term `on-the-job training' 
        has the meaning given the term in section 3 of the Workforce 
        Innovation and Opportunity Act (29 U.S.C. 3102).
            ``(5) Recognized postsecondary credential.--The term 
        `recognized postsecondary credential' has the meaning given the 
        term in section 3 of the Workforce Innovation and Opportunity 
        Act (29 U.S.C. 3102).
    ``(j) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $183,204,000 for fiscal year 
2019 and each of the 5 succeeding fiscal years.''.

                      TITLE III--INSTITUTIONAL AID

SEC. 301. STRENGTHENING INSTITUTIONS.

    Part A of title III (20 U.S.C. 1057 et seq.) is amended--
            (1) in the part heading for part A, by inserting 
        ``minority-serving'' after ``strengthening'';
            (2) in section 311--
                    (A) by striking subsection (b) and redesignating 
                subsections (c) and (d) as subsections (b) and (c), 
                respectively;
                    (B) in subsection (b) (as so redesignated)--
                            (i) by striking paragraph (6) and inserting 
                        the following:
            ``(6) Tutoring, counseling, advising, and student service 
        programs designed to improve academic success, including 
        innovative and customized instructional courses (which may 
        include remedial education and English language instruction) 
        designed to help retain students and move the students rapidly 
        into core courses and through program completion.'';
                            (ii) in paragraph (8), by striking 
                        ``acquisition of equipment for use in 
                        strengthening funds management'' and inserting 
                        ``acquisition of technology, services, and 
                        equipment for use in strengthening funds and 
                        administrative management'';
                            (iii) in paragraph (12), by striking 
                        ``Creating'' and all that follows through 
                        ``technologies,'' and inserting ``Innovative 
                        learning models and creating or improving 
                        facilities for Internet or other innovative 
                        technologies,'';
                            (iv) by redesignating paragraph (13) as 
                        paragraph (18); and
                            (v) by inserting after paragraph (12) the 
                        following:
            ``(13) Establishing community outreach programs that will 
        encourage elementary school and secondary school students to 
        develop the academic skills and the interest to pursue 
        postsecondary education.
            ``(14) The development, coordination, implementation, or 
        improvement of career and technical education programs as 
        defined in section 135 of the Carl D. Perkins Career and 
        Technical Education Act of 2006 (20 U.S.C. 2355).
            ``(15) Alignment and integration of career and technical 
        education programs with programs of study leading to a 
        bachelor's degree, graduate degree, or professional degree.
            ``(16) Developing or expanding access to dual or concurrent 
        enrollment programs and early college high school programs.
            ``(17) Pay for success initiatives that improve time to 
        completion and increase graduation rates.''; and
                    (C) in subsection (c) (as so redesignated), by 
                adding at the end the following:
            ``(4) Scholarship.--An institution that uses grant funds 
        provided under this part to establish or increase an endowment 
        fund may use the income from such endowment fund to provide 
        scholarships to students for the purposes of attending such 
        institution, subject to the limitation in section 
        331(c)(3)(B)(i).'';
            (3) in section 312--
                    (A) in subsection (a), by striking ``transfers 
                which the institution'' and inserting ``transfers that 
                the institution'';
                    (B) in subsection (b)(1)--
                            (i) by redesignating subparagraphs (E) and 
                        (F) as subparagraphs (F) and (E), respectively;
                            (ii) in subparagraph (E) (as so 
                        redesignated), by inserting ``(as defined in 
                        section 103(20)(A))'' after ``State''; and
                            (iii) in subparagraph (F) (as so 
                        redesignated), by striking ``and'' at the end; 
                        and
                    (C) in subsection (b)--
                            (i) by striking the period at the end of 
                        paragraph (2) and inserting ``; and''; and
                            (ii) by inserting after paragraph (2) the 
                        following:
            ``(3) except as provided in section 392(b), an institution 
        that has a completion rate of at least 25 percent that is 
        calculated by counting a student as completed if that student--
                    ``(A) graduates within 150 percent of the normal 
                time for completion; or
                    ``(B) enrolled into another program at an 
                institution for which the previous program provided 
                substantial preparation within 150 percent of the 
                normal time for completion.'';
            (4) in section 313--
                    (A) in subsection (a)--
                            (i) by striking ``for 5 years'' and 
                        inserting ``for a period of 5 years''; and
                            (ii) by adding at the end the following: 
                        ``Any funds awarded under this section that are 
                        not expended or used for the purposes for which 
                        the funds were paid within 10 years following 
                        the date on which the grant was awarded, shall 
                        be repaid to the Treasury.''; and
                    (B) by striking subsection (d);
            (5) in section 316--
                    (A) in subsection (c)--
                            (i) in paragraph (2)--
                                    (I) by striking subparagraph (A) 
                                and inserting the following:
                    ``(A) the activities described in paragraphs (1) 
                through (12) and (14) through (17) of section 
                311(b);'';
                                    (II) by striking subparagraphs (E) 
                                through (J);
                                    (III) by redesignating 
                                subparagraphs (K) and (L) as 
                                subparagraphs (E) and (F), 
                                respectively;
                                    (IV) by striking subparagraph (M);
                                    (V) by redesignating subparagraph 
                                (N) as subparagraph (G); and
                                    (VI) in subparagraph (G) (as so 
                                redesignated), by striking ``(M)'' and 
                                inserting ``(F)''; and
                            (ii) by striking paragraph (3) and 
                        inserting the following:
            ``(3) Endowment fund.--A Tribal College or University 
        seeking to establish or increase an endowment fund shall abide 
        by the requirements in section 311(c).''; and
                    (B) in subsection (d)--
                            (i) by striking paragraph (2) and inserting 
                        the following:
            ``(2) Application.--A Tribal College or University desiring 
        to receive assistance under this section shall submit an 
        application to the Secretary pursuant to section 391.''; and
                            (ii) in paragraph (4)--
                                    (I) in subparagraph (A), by 
                                striking ``part A of''; and
                                    (II) in subparagraph (B), by 
                                striking ``313(d)'' and inserting 
                                ``312(b)(3)'';
            (6) in section 317--
                    (A) in subsection (c)--
                            (i) by striking paragraph (2) and inserting 
                        the following:
            ``(2) Examples of authorized activities.--Such programs may 
        include--
                    ``(A) the activities described in paragraphs (1) 
                through (17) of section 311(b); and
                    ``(B) other activities proposed in the application 
                submitted pursuant to subsection (d) that--
                            ``(i) contribute to carrying out the 
                        purpose of this section; and
                            ``(ii) are approved by the Secretary as 
                        part of the review and approval of an 
                        application submitted under subsection (d).''; 
                        and
                            (ii) by adding at the end the following:
            ``(3) Endowment fund.--An Alaska Native-serving institution 
        and Native Hawaiian-serving institution seeking to establish or 
        increase an endowment fund shall abide by the requirements in 
        section 311(c).''; and
                    (B) in subsection (d)--
                            (i) by striking paragraph (1) and 
                        redesignating paragraphs (2) and (3) as 
                        paragraphs (1) and (2), respectively;
                            (ii) in paragraph (1) (as so 
                        redesignated)--
                                    (I) in the first sentence, by 
                                inserting ``pursuant to section 391'' 
                                after ``to the Secretary''; and
                                    (II) by striking the remaining 
                                sentences; and
                            (iii) in paragraph (2) (as so 
                        redesignated)--
                                    (I) in subparagraph (A), by 
                                striking ``this part or part B.'' and 
                                inserting ``this part, part B, or title 
                                V.''; and
                                    (II) by striking subparagraph (B) 
                                and redesignating subparagraph (C) as 
                                subparagraph (B);
            (7) in section 318--
                    (A) in subsection (b)--
                            (i) in paragraph (1)--
                                    (I) in subparagraph (E), by 
                                striking ``and'' at the end;
                                    (II) in subparagraph (F)(ii), by 
                                striking ``part A of'';
                                    (III) in subparagraph (F)(iii), by 
                                striking the period at the end and 
                                inserting ``; and''; and
                                    (IV) by adding at the end the 
                                following;
                    ``(G) is an eligible institution under section 
                312(b).''; and
                            (ii) by striking paragraph (7);
                    (B) in subsection (d)--
                            (i) in paragraph (2)--
                                    (I) in subparagraph (A), by 
                                striking ``through (12)'' and inserting 
                                ``through (17) of section 311(b)'';
                                    (II) by striking subparagraph (D); 
                                and
                                    (III) by redesignating subparagraph 
                                (E) as subparagraph (D); and
                            (ii) by striking paragraph (3) and 
                        inserting the following:
            ``(3) Endowment fund.--A Predominantly Black Institution 
        seeking to establish or increase an endowment fund shall abide 
        by the requirements in section 311(c).'';
                    (C) in subsection (f), by striking all after 
                ``Secretary'' the first place such term appears and 
                inserting ``pursuant to section 391.'';
                    (D) by striking subsections (g) and (h);
                    (E) by redesignating subsection (i) as subsection 
                (g); and
                    (F) in subsection (g) (as so redesignated), by 
                striking ``part A of'';
            (8) in section 319--
                    (A) in subsection (c)--
                            (i) by striking paragraph (2) and inserting 
                        the following:
            ``(2) Examples of authorized activities.--Such programs may 
        include--
                    ``(A) the activities described in paragraphs (1) 
                through (17) of section 311(b); and
                    ``(B) other activities proposed in the application 
                submitted pursuant to subsection (d) that--
                            ``(i) contribute to carrying out the 
                        purpose of this section; and
                            ``(ii) are approved by the Secretary as 
                        part of the review and approval of an 
                        application submitted under subsection (d).''; 
                        and
                            (ii) by adding at the end the following:
            ``(3) Endowment fund.--A Native American-serving, nontribal 
        institution seeking to establish or increase an endowment fund 
        shall abide by the requirements in section 311(c).''; and
                    (B) in subsection (d)--
                            (i) by striking paragraph (1) and inserting 
                        the following:
            ``(1) Application.--A Native American-serving, nontribal 
        institution desiring to receive assistance under this section 
        shall submit an application to the Secretary pursuant to 
        section 391.'';
                            (ii) by striking paragraph (2) and 
                        redesignating paragraph (3) as paragraph (2); 
                        and
                            (iii) in paragraph (2) (as so 
                        redesignated)--
                                    (I) in subparagraph (A), by 
                                striking ``part A of'';
                                    (II) by striking subparagraph (B); 
                                and
                                    (III) by redesignating 
                                subparagraphs (C) and (D) as 
                                subparagraphs (B) and (C), 
                                respectively; and
            (9) in section 320--
                    (A) in subsection (c)--
                            (i) by striking paragraph (2) and inserting 
                        the following:
            ``(2) Examples of authorized activities.--Such programs may 
        include--
                    ``(A) the activities described in paragraphs (1) 
                through (17) of section 311(b);
                    ``(B) academic instruction in disciplines in which 
                Asian Americans and Native American Pacific Islanders 
                are underrepresented;
                    ``(C) conducting research and data collection for 
                Asian American and Native American Pacific Islander 
                populations and subpopulations;
                    ``(D) establishing partnerships with community-
                based organizations serving Asian Americans and Native 
                American Pacific Islanders; and
                    ``(E) other activities proposed in the application 
                submitted pursuant to subsection (d) that--
                            ``(i) contribute to carrying out the 
                        purpose of this section; and
                            ``(ii) are approved by the Secretary as 
                        part of the review and approval of an 
                        application submitted under subsection (d).''; 
                        and
                            (ii) by adding at the end the following:
            ``(3) Endowment fund.--An Asian American and Native 
        American Pacific Islander-serving institution seeking to 
        establish or increase an endowment fund shall abide by the 
        requirements in section 311(c).''; and
                    (B) in subsection (d)--
                            (i) by striking paragraph (1) and inserting 
                        the following:
            ``(1) Application.--Each Asian American and Native American 
        Pacific Islander-serving institution desiring to receive 
        assistance under this section shall submit an application to 
        the Secretary pursuant to section 391.'';
                            (ii) by striking paragraph (2) and 
                        redesignating paragraph (3) as paragraph (2); 
                        and
                            (iii) in paragraph (2) (as so 
                        redesignated), by striking subparagraph (B) and 
                        redesignating subparagraph (C) as subparagraph 
                        (B).

SEC. 302. STRENGTHENING HISTORICALLY BLACK COLLEGES AND UNIVERSITIES.

    Part B of title III (20 U.S.C. 1060 et seq.) is amended--
            (1) in section 323--
                    (A) by striking subsection (a) and inserting the 
                following :
    ``(a) Authorized Activities.--From amounts available under section 
399(a)(2) for any fiscal year, the Secretary shall make grants (under 
section 324) to institutions which have applications approved by the 
Secretary (under section 325) for any of the following uses:
            ``(1) The activities described in paragraphs (1) through 
        (17) of section 311(b).
            ``(2) Academic instruction in disciplines in which Black 
        Americans are underrepresented.
            ``(3) Initiatives to improve the educational outcomes of 
        African-American males.
            ``(4) Establishing or enhancing a program of teacher 
        education designed to qualify students to teach in a public 
        elementary or secondary school in the State that shall include, 
        as part of such program, preparation for teacher certification.
            ``(5) Acquisition of real property in connection with the 
        construction, renovation, or addition to or improvement of 
        campus facilities.
            ``(6) Services necessary for the implementation of projects 
        or activities that are described in the grant application and 
        that are approved, in advance, by the Secretary, except that 
        not more than two percent of the grant amount may be used for 
        this purpose.
            ``(7) Other activities proposed in the application 
        submitted pursuant to section 325 that--
                    ``(A) contribute to carrying out the purposes of 
                this part; and
                    ``(B) are approved by the Secretary as part of the 
                review and acceptance of such application.''; and
                    (B) by striking subsection (b) and inserting the 
                following:
    ``(b) Endowment Fund.--An institution seeking to establish or 
increase an endowment shall abide by the requirements in section 
311(c).'';
            (2) in section 325(a), by striking ``(C), (D), and (E)'' 
        and inserting ``(C) through (F)'';
            (3) in section 326--
                    (A) by striking subsection (b) and inserting the 
                following:
    ``(b) Duration.--The Secretary may award a grant to an eligible 
institution under this part for a period of 5 years. Any funds awarded 
under this section that are not expended or used for the purposes for 
which the funds were paid within 10 years following the date on which 
the grant was awarded, shall be repaid to the Treasury.'';
                    (B) by striking subsection (c) and inserting the 
                following:
    ``(c) Authorized Activities.--A grant under this section may be 
used for--
            ``(1) the activities described in paragraphs (1) through 
        (12), (14) through (15), and (17) of section 311(b);
            ``(2) scholarships, fellowships, and other financial 
        assistance for needy graduate and professional students to 
        permit the enrollment of the students in and completion of the 
        doctoral degree in medicine, dentistry, pharmacy, veterinary 
        medicine, law, and the doctorate degree in the physical or 
        natural sciences, engineering, mathematics, or other scientific 
        disciplines in which African Americans are underrepresented;
            ``(3) acquisition of real property that is adjacent to the 
        campus in connection with the construction, renovation, or 
        addition to or improvement of campus facilities;
            ``(4) services necessary for the implementation of projects 
        or activities that are described in the grant application and 
        that are approved, in advance, by the Secretary, except that 
        not more than two percent of the grant amount may be used for 
        this purpose; and
            ``(5) other activities proposed in the application 
        submitted under subsection (d) that--
                    ``(A) contribute to carrying out the purposes of 
                this part; and
                    ``(B) are approved by the Secretary as part of the 
                review and acceptance of such application.'';
                    (C) in subsection (e)(1)--
                            (i) in subparagraph (W), by striking 
                        ``and'' at the end;
                            (ii) in subparagraph (X), by striking the 
                        period at the end and inserting ``; and'';
                            (iii) by adding at the end the following:
                    ``(Y) University of the Virgin Islands School of 
                Medicine.'';
                            (iv) in each of paragraphs (2) and (3) of 
                        subsection (f), by striking ``(X)'' and 
                        inserting ``(Y)''; and
                            (v) in subsection (g), by striking ``2008'' 
                        each place such term appears and inserting 
                        ``2018''; and
            (4) in section 327--
                    (A) by striking the designation and heading for 
                subsection (a); and
                    (B) by striking subsection (b).

SEC. 303. HISTORICALLY BLACK COLLEGE AND UNIVERSITY CAPITAL FINANCING.

    Part D of title III (20 U.S.C. 1066 et seq.) is amended--
            (1) in section 343--
                    (A) by striking ``escrow account'' each place it 
                appears and inserting ``bond insurance fund''; and
                    (B) in subsection (b)--
                            (i) in paragraph (1), by striking ``an'' 
                        and inserting ``a''; and
                            (ii) in paragraph (8), in the matter 
                        preceding subparagraph (A), by striking ``an'' 
                        and inserting ``a'';
            (2) in section 345, by striking paragraph (9) and inserting 
        the following:
            ``(9) may, directly or by grant or contract, provide 
        financial counseling and technical assistance to eligible 
        institutions to prepare the institutions to qualify, apply for, 
        and maintain a capital improvement loan, including a loan under 
        this part; and''; and
            (3) in section 347(c), by striking paragraph (2) and 
        inserting the following:
            ``(2) Report.--On an annual basis, the Advisory Board shall 
        prepare and submit to the authorizing committees a report on 
        the status of the historically Black colleges and universities 
        described in paragraph (1)(A) and an overview of all loans in 
        the capital financing program, including the most recent loans 
        awarded in the fiscal year in which the report is submitted. 
        The report shall include administrative and legislative 
        recommendations, as needed, for addressing the issues related 
        to construction financing facing historically Black colleges 
        and universities.''.

SEC. 304. MINORITY SCIENCE AND ENGINEERING IMPROVEMENT PROGRAM.

    Part E of title III (20 U.S.C. 1067 et seq.) is amended--
            (1) in section 353(a)--
                    (A) in paragraph (1), by striking ``365(6)'' and 
                inserting ``359(6)'';
                    (B) in paragraph (2), by striking ``365(7)'' and 
                inserting ``359(7)'';
                    (C) in paragraph (3), by striking ``365(8)'' and 
                inserting ``359(8)''; and
                    (D) in paragraph (5), by striking ``365(9)'' and 
                inserting ``359(9)'';
            (2) by striking subpart 2;
            (3) by redesignating subpart 3 as subpart 2 and 
        redesignating sections 361 through 365 as sections 355 through 
        359, respectively;
            (4) in section 355 (as so redesignated), by striking 
        paragraph (5);
            (5) in section 356(a) (as so redesignated), by striking 
        ``determined under section 361)'' and inserting ``determined 
        under section 355)''; and
            (6) in section 359(2) (as so redesignated)--
                    (A) by inserting ``American'' after ``Black''; and
                    (B) by striking ``Hispanic (including'' and 
                inserting ``Hispanic American (including''.

SEC. 305. STRENGTHENING HISTORICALLY BLACK COLLEGES AND UNIVERSITIES 
              AND OTHER MINORITY-SERVING INSTITUTIONS.

    Section 371 (20 U.S.C. 1067q) is amended--
            (1) in subsection (b)(2)(D)(iii), by striking ``section 
        311(c)'' and inserting ``section 311(b)''; and
            (2) in subsection (c)(9)(F)(ii), by striking ``part A of''.

SEC. 306. GENERAL PROVISIONS.

    Part G of title III (20 U.S.C. 1068 et seq.) is amended--
            (1) in section 391(b)--
                    (A) in paragraph (1), by striking ``institutional 
                management'' and all that follows through the semicolon 
                at the end and inserting ``institutional management, 
                and use the grant to provide for, and lead to, 
                institutional self-sustainability and growth (including 
                measurable objectives for the institution and the 
                Secretary to use in monitoring the effectiveness of 
                activities under this title);'';
                    (B) in paragraph (7)--
                            (i) by striking subparagraph (C) and 
                        redesignating subparagraphs (D) and (E) as 
                        subparagraphs (C) and (D), respectively; and
                            (ii) in subparagraph (D) (as so 
                        redesignated), strike ``and'' at the end;
                    (C) by striking paragraph (8) and inserting the 
                following:
            ``(8) set forth a 5-year plan for improving the assistance 
        provided by the institution; and''; and
                    (D) by adding at the end the following:
            ``(9) submit such enrollment data as may be necessary to 
        demonstrate that the institution is a minority-serving 
        institution.'';
            (2) in section 392--
                    (A) in subsection (b)--
                            (i) in the subsection heading, after 
                        ``Expenditures'' insert ``; Completion Rates'';
                            (ii) in paragraph (1), insert ``or 
                        312(b)(3)'' after ``312(b)(1)(B)''; and
                            (iii) in paragraph (2)--
                                    (I) in the matter preceding 
                                subparagraph (A)--
                                            (aa) by inserting ``or 
                                        312(b)(3)'' after 
                                        ``312(b)(1)(B)''; and
                                            (bb) by inserting 
                                        ``American'' after 
                                        ``Hispanic''; and
                                    (II) in subparagraph (A), by 
                                inserting ``or section 312(b)(3)'' 
                                after ``312(b)(1)''; and
                    (B) by striking subsection (c) and inserting the 
                following:
    ``(c) Waiver Authority With Respect to Institutions Located in an 
Area Affected by a Major Disaster.--
            ``(1) Waiver authority.--Notwithstanding any other 
        provision of law, unless enacted with specific reference to 
        this section, in the case of a major disaster, the Secretary 
        may waive for affected institutions--
                    ``(A) the eligibility data requirements set forth 
                in section 391(d) and section 521(e);
                    ``(B) the allotment requirements under section 324; 
                and
                    ``(C) the use of the funding formula developed 
                pursuant to section 326(f)(3);
            ``(2) Definitions.--In this subsection:
                    ``(A) Affected institution.--The term `affected 
                institution' means an institution of higher education 
                that--
                            ``(i) is--
                                    ``(I) a part A institution (which 
                                term shall have the meaning given the 
                                term `eligible institution' under 
                                section 312(b) or section 502(a)(6)); 
                                or
                                    ``(II) a part B institution, as 
                                such term is defined in section 322(2), 
                                or as identified in section 326(e);
                            ``(ii) is located in an area affected by a 
                        major disaster; and
                            ``(iii) is able to demonstrate that, as a 
                        result of the impact of a major disaster, the 
                        institution--
                                    ``(I) incurred physical damage;
                                    ``(II) has pursued collateral 
                                source compensation from insurance, the 
                                Federal Emergency Management Agency, 
                                and the Small Business Administration, 
                                as appropriate; and
                                    ``(III) was not able to fully 
                                reopen in existing facilities or to 
                                fully reopen to the pre-disaster 
                                enrollment levels.
                    ``(B) Major disaster.--The term `major disaster' 
                has the meaning given such term in section 102(2) of 
                the Robert T. Stafford Disaster Relief and Emergency 
                Assistance Act (42 U.S.C. 5122(2)).''; and
            (3) in section 399, by striking subsection (a) and 
        inserting the following:
    ``(a) Authorizations.--
            ``(1) Part a.--(A) There are authorized to be appropriated 
        to carry out section 316, $27,599,000 for each of fiscal years 
        2019 through 2024.
            ``(B) There are authorized to be appropriated to carry out 
        section 317, $13,802,000 for each of fiscal years 2019 through 
        2024.
            ``(C) There are authorized to be appropriated to carry out 
        section 318, $9,942,000 for each of fiscal years 2019 through 
        2024.
            ``(D) There are authorized to be appropriated to carry out 
        section 319, $3,348,000 for each of fiscal years 2019 through 
        2024.
            ``(E) There are authorized to be appropriated to carry out 
        section 320, $3,348,000 for each of fiscal years 2019 through 
        2024.
            ``(2) Part b.--(A) There are authorized to be appropriated 
        to carry out part B (other than section 326), $244,694,000 for 
        each of fiscal years 2019 through 2024.
            ``(B) There are authorized to be appropriated to carry out 
        section 326, $63,281,000 for each of fiscal years 2019 through 
        2024.
            ``(3) Part d.--There are authorized to be appropriated to 
        carry out part D, $20,484,000 for each of fiscal years 2019 
        through 2024. Of the amount authorized, 1.63 percent shall be 
        reserved for administrative expenses.
            ``(4) Part e.--There are authorized to be appropriated to 
        carry out subpart 1 of part E, $9,648,000 for each of fiscal 
        years 2019 through 2024.''.

                      TITLE IV--STUDENT ASSISTANCE

  PART A--GRANTS TO STUDENTS IN ATTENDANCE AT INSTITUTIONS OF HIGHER 
                               EDUCATION

SEC. 401. FEDERAL PELL GRANTS.

    (a) Reauthorization.--Section 401(a) (20 U.S.C. 1070a(a)) is 
amended--
            (1) by striking ``fiscal year 2017'' and inserting ``fiscal 
        year 2024''; and
            (2) by inserting ``an eligible program at'' after 
        ``attendance at''.
    (b) Federal Pell Grant Bonus.--
            (1) Amendments.--Section 401(b) (20 U.S.C. 1070a(b)) is 
        amended--
                    (A) in paragraph (7)(A)(iii)--
                            (i) by inserting ``and paragraph (9)'' 
                        after ``this paragraph''; and
                            (ii) by inserting before the semicolon at 
                        the end the following: ``and to provide the 
                        additional amount required by paragraph (9)''; 
                        and
                    (B) by adding at the end the following:
            ``(9) Federal pell grant bonus.--
                    ``(A) In general.--Notwithstanding any other 
                provision of this subsection and from the amounts made 
                available pursuant to paragraph (7)(A)(iii) for the 
                purposes of this paragraph, an eligible student who is 
                receiving a Federal Pell Grant for an award year shall 
                receive an amount in addition to such Federal Pell 
                Grant for each payment period of such award year for 
                which the student--
                            ``(i) is receiving such Federal Pell Grant 
                        as long as the amount of such Federal Pell 
                        Grant does not exceed the maximum amount of a 
                        Federal Pell Grant award determined under 
                        paragraph (2)(A) for such award year; and
                            ``(ii) is carrying a work load that--
                                    ``(I) is greater than the normal 
                                full-time work load for the course of 
                                study the student is pursuing, as 
                                determined by the institution of higher 
                                education; and
                                    ``(II) will lead to the completion 
                                of not less than 30 credit hours (or 
                                the equivalent coursework) upon the 
                                completion of the final payment period 
                                for which the student is receiving the 
                                Federal Pell Grant described in clause 
                                (i).
                    ``(B) Amount of bonus.--The amount provided to an 
                eligible student under subparagraph (A) for an award 
                year may not exceed $300, which shall be equally 
                divided among each payment period of such award year 
                described in clauses (i) and (ii) of subparagraph 
                (A).''.
            (2) Effective date.--The amendments made by paragraph (1) 
        shall take effect with respect to award year 2018-2019 and each 
        succeeding award year.
    (c) Period of Eligibility for Grants.--Section 401(c) (20 U.S.C. 
1070a(c)) is amended by adding at the end the following:
            ``(6)(A) The Secretary shall issue to each student 
        receiving a Federal Pell Grant, an annual status report which 
        shall--
                    ``(i) inform the student of the remaining period 
                during which the student may receive Federal Pell 
                Grants in accordance with paragraph (5), and provide 
                access to a calculator to assist the student in making 
                such determination;
                    ``(ii) include an estimate of the Federal Pell 
                Grant amounts which may be awarded for such remaining 
                period based on the student's award amount determined 
                under subsection (b)(2)(A) for the most recent award 
                year;
                    ``(iii) explain how the estimate was calculated and 
                any assumptions underlying the estimate;
                    ``(iv) explain that the estimate may be affected if 
                there is a change--
                            ``(I) in the student's financial 
                        circumstances; or
                            ``(II) the availability of Federal funding; 
                        and
                    ``(v) describe how the remaining period during 
                which the student may receive Federal Pell Grants will 
                be affected by whether the student is enrolled as a 
                full-time student.
            ``(B) Nothing in this paragraph shall be construed to 
        prohibit an institution from offering additional counseling to 
        a student with respect to Federal Pell Grants, but such 
        counseling shall not delay or impede disbursement of a Federal 
        Pell Grant award to the student.''.
    (d) Distribution of Grants to Students.--Section 401(e) (20 U.S.C. 
1070a(e)) is amended by striking the first sentence and inserting 
``Payments under this section shall be made in the same manner as 
disbursements under section 465(a).''.
    (e) Institutional Ineligibility Based on Default Rates.--Section 
401(j) of such Act (20 U.S.C. 1070a(j)) is amended by adding at the end 
the following:
            ``(3) Sunset.--The provisions of this subsection shall not 
        apply after the transition period described in section 
        481B(e)(3).''.
    (f) Prevention of Fraud.--Section 401 (20 U.S.C. 1070a) is amended 
by adding at the end the following:
    ``(k) Prevention of Fraud.--
            ``(1) In general.--No Federal Pell Grant shall be awarded 
        under this subpart to any individual who, with respect to not 
        less than any 3 payment periods, for each such payment period--
                    ``(A) received at least a portion of a Federal Pell 
                Grant award; and
                    ``(B) did not complete any credit hours (or credit 
                hour equivalencies) for which the individual was 
                enrolled.
            ``(2) Waiver.--The financial aid administrator at an 
        institution may waive the requirement of paragraph (1), if the 
        financial aid administrator--
                    ``(A) determines that the student was unable to 
                complete the credit hours described in paragraph (1)(B) 
                due to circumstances beyond the student's control; and
                    ``(B) makes and documents such a determination on 
                an individual basis.
            ``(3) Circumstances described.--For purposes of paragraph 
        (2), circumstances beyond the student's control--
                    ``(A) may include the student withdrawing from 
                classes due to illness; and
                    ``(B) shall not include withdrawing to avoid a 
                particular grade.''.
    (g) Report on Costs of Federal Pell Grant Program.--Section 401 (20 
U.S.C. 1070a) is further amended, as amended by subsections (a) through 
(f), by adding at the end the following:
    ``(l) Report on Costs of Federal Pell Grant Program.--Not later 
than October 31 of each year, the Secretary shall prepare and submit a 
report to the authorizing committees that includes the following 
information with respect to spending for the Federal Pell Grant program 
for the preceding fiscal year:
            ``(1) The total obligations and expenditures for the 
        program for such fiscal year.
            ``(2) A comparison of the total obligations and 
        expenditures for the program for such fiscal year--
                    ``(A) to the most recently available Congressional 
                Budget Office baseline for the program; and
                    ``(B) in the case in which such fiscal year is 
                fiscal year 2019, 2020, 2021, 2022, 2023, or 2024, to 
                the Congressional Budget Office cost estimate for the 
                program included in the report of the Committee on 
                Education and the Workforce of the House of 
                Representatives accompanying the PROSPER Act, as 
                approved by the Committee.
            ``(3) The total obligations and expenditures for the 
        maximum Federal Pell Grant for which a student is eligible, as 
        specified in the last enacted appropriation Act applicable to 
        such fiscal year.
            ``(4) A comparison of the total obligations and 
        expenditures for the maximum Federal Pell Grant for which a 
        student is eligible, as specified in the last enacted 
        appropriation Act applicable to such fiscal year--
                    ``(A) to the most recently available Congressional 
                Budget Office baseline for such maximum Federal Pell 
                Grant; and
                    ``(B) in the case in which such fiscal year is 
                fiscal year 2019, 2020, 2021, 2022, 2023, or 2024, to 
                the Congressional Budget Office cost estimate for such 
                maximum Federal Pell Grant included in the report of 
                the Committee on Education and the Workforce of the 
                House of Representatives accompanying the PROSPER Act, 
                as approved by the Committee.
            ``(5) The total mandatory obligations and expenditures for 
        the amount of the increase in such maximum Federal Pell Grant 
        required by subsection (b)(7)(B) for such fiscal year.
            ``(6) A comparison of the total mandatory obligations and 
        expenditures for the amount of the increase in such maximum 
        Federal Pell Grant required by subsection (b)(7)(B)--
                    ``(A) to the most recently available Congressional 
                Budget Office baseline for the increase; and
                    ``(B) in the case in which such fiscal year is 
                fiscal year 2019, 2020, 2021, 2022, 2023, or 2024, to 
                the Congressional Budget Office cost estimate for the 
                increase included in the report of the Committee on 
                Education and the Workforce of the House of 
                Representatives accompanying the PROSPER Act, as 
                approved by the Committee.
            ``(7) The total mandatory obligations and expenditures for 
        the Federal Pell Grant Bonus required by subsection (b)(9) for 
        such fiscal year.
            ``(8) A comparison of the total mandatory obligations and 
        expenditures for the Federal Pell Grant Bonus required by 
        subsection (b)(9) for such fiscal year--
                    ``(A) to the most recently available Congressional 
                Budget Office baseline for such bonus; and
                    ``(B) in the case in which such fiscal year is 
                fiscal year 2019, 2020, 2021, 2022, 2023, or 2024, to 
                the Congressional Budget Office cost estimate for such 
                bonus included in the report of the Committee on 
                Education and the Workforce of the House of 
                Representatives accompanying the PROSPER Act, as 
                approved by the Committee.''.

SEC. 402. FEDERAL TRIO PROGRAMS.

    (a) Program Authority; Authorization of Appropriations.--Section 
402A (20 U.S.C. 1070a-11) is amended--
            (1) in subsection (c)--
                    (A) by amending subparagraph (A) of paragraph (2) 
                to read as follows:
                    ``(A) Accountability for outcomes.--In making 
                grants under this chapter, the Secretary shall comply 
                with the following requirements:
                            ``(i) The Secretary shall consider each 
                        applicant's prior success in achieving high 
                        quality service delivery, as determined under 
                        subsection (f), under the particular program 
                        for which funds are sought. The level of 
                        consideration given the factor of prior success 
                        in achieving high quality service delivery 
                        shall not vary from the level of consideration 
                        given such factor during fiscal years 1994 
                        through 1997, except that grants made under 
                        section 402H shall not be given such 
                        consideration.
                            ``(ii) The Secretary shall not give points 
                        for prior success in achieving high quality 
                        service delivery to any current grantee that, 
                        during the then most recent period for which 
                        funds were provided, did not meet or exceed two 
                        or more objectives established in the eligible 
                        entity's application based on the performance 
                        measures described in subsection (f).
                            ``(iii) From the amounts awarded under 
                        subsection (g) for a program under this chapter 
                        (other than a program under section 402G and 
                        402H) for any fiscal year in which the 
                        Secretary conducts a competition for the award 
                        of grants or contracts under such programs, the 
                        Secretary shall reserve not less than 10 
                        percent of such available amount to award 
                        grants or contracts to applicants who have not 
                        previously received a grant or contract under 
                        this chapter. If the Secretary determines that 
                        there are an insufficient number of qualified 
                        applicants to use the full amount reserved 
                        under the preceding sentence, the Secretary 
                        shall use the remainder of such amount to award 
                        grants or contracts to applicants who have 
                        previously received a grant or contract under 
                        this chapter.'';
                    (B) in paragraph (3)--
                            (i) in subparagraph (A)--
                                    (I) by striking ``as provided in 
                                subparagraph (B)'' and inserting ``as 
                                provided in subparagraph (C)'';
                                    (II) by striking ``experience'' and 
                                inserting ``success in achieving high 
                                quality service delivery'';
                            (ii) by redesignating subparagraph (B) as 
                        subparagraph (C); and
                            (iii) by inserting after subparagraph (A) 
                        the following new subparagraph:
            ``(B) To ensure that congressional priorities in conducting 
        competitions for grants and contracts under this chapter are 
        implemented, the Secretary shall not impose additional criteria 
        for the prioritization of applications for such grants or 
        contracts (including additional competitive, absolute, or other 
        criteria) beyond the criteria described in this chapter.'';
                    (C) in paragraph (6)--
                            (i) by striking the period at the end of 
                        the second sentence and inserting ``, as long 
                        as the program is serving a different 
                        population or a different campus.'';
                            (ii) by striking ``the programs authorized 
                        by'' and inserting ``sections 402B, 402C, 402D, 
                        and 402F of'';
                            (iii) by striking ``The Secretary shall 
                        encourage'' and inserting the following:
                    ``(A) The Secretary shall encourage'';
                            (iv) by striking ``The Secretary shall 
                        permit'' and inserting the following:
                    ``(B) The Secretary shall permit'';
                    (D) in paragraph (7), by striking ``8 months'' each 
                place it appears and inserting ``90 days'';
                    (E) in paragraph (8)--
                            (i) in subparagraph (A)--
                                    (I) in the matter preceding clause 
                                (i), by striking ``Not later than 180 
                                days after the date of enactment of the 
                                Higher Education Opportunity Act,'' and 
                                inserting ``Not later than 90 days 
                                before the commencement of each 
                                competition for a grant under this 
                                chapter,'';
                                    (II) in clause (iii), by striking 
                                ``prior experience points for high 
                                quality service delivery are awarded'' 
                                and inserting ``application scores are 
                                adjusted for prior success in achieving 
                                high quality service delivery''; and
                                    (III) in clause (v), by striking 
                                ``prior experience points for'' and 
                                inserting ``the adjustment in scores 
                                for prior success in achieving'';
                            (ii) by striking subparagraph (B) and 
                        redesignating subparagraph (C) as subparagraph 
                        (B); and
                            (iii) in subparagraph (B), as so 
                        redesignated--
                                    (I) in clause (iii)--
                                            (aa) in the matter 
                                        preceding subclause (I), by 
                                        striking ``prior experience 
                                        points for'' and inserting 
                                        ``points for prior success in 
                                        achieving''; and
                                            (bb) in subclause (II), by 
                                        striking ``prior experience 
                                        points'' and inserting ``points 
                                        for prior success in achieving 
                                        high quality service 
                                        delivery''; and
                                    (II) in clause (vi), by inserting 
                                before the period at the end the 
                                following: ``from funds reserved under 
                                subsection (g)''; and
                    (F) by adding at the end the following:
            ``(9) Matching requirement.--
                    ``(A) In general.--The Secretary shall not approve 
                an application submitted under section 402B, 402C, 
                402D, 402E, or 402F unless such application--
                            ``(i) provides that the eligible entity 
                        will provide, from State, local, institutional, 
                        or private funds, not less than 20 percent of 
                        the cost of the program, which matching funds 
                        may be provided in cash or in kind and may be 
                        accrued over the full duration of the grant 
                        award period, except that the eligible entity 
                        shall make substantial progress towards meeting 
                        the matching requirement in each year of the 
                        grant award period;
                            ``(ii) specifies the methods by which 
                        matching funds will be paid; and
                            ``(iii) includes provisions designed to 
                        ensure that funds provided under this chapter 
                        shall supplement and not supplant funds 
                        expended for existing programs.
                    ``(B) Special rule.--Notwithstanding the matching 
                requirement described in subparagraph (A), the 
                Secretary may by regulation modify the percentage 
                requirement described in subparagraph (A). The 
                Secretary may approve an eligible entity's request for 
                a reduced match percentage--
                            ``(i) at the time of application if the 
                        eligible entity demonstrates significant 
                        economic hardship that precludes the eligible 
                        entity from meeting the matching requirement; 
                        or
                            ``(ii) in response to a petition by an 
                        eligible entity subsequent to a grant award 
                        under section 402B, 402C, 402D, 402E, or 402F 
                        if the eligible entity demonstrates that the 
                        matching funds described in its application are 
                        no longer available and the eligible entity has 
                        exhausted all revenues for replacing such 
                        matching funds.'';
            (2) in subsection (d)(3), by adding at the end the 
        following new sentence: ``In addition, the Secretary shall host 
        at least one virtual, interactive education session using 
        telecommunications technology to ensure that any interested 
        applicants have access to technical assistance.'';
            (3) in subsection (e)--
                    (A) in paragraph (1)--
                            (i) in subparagraph (C), by striking ``or'' 
                        at the end;
                            (ii) in subparagraph (D), by striking the 
                        period at the end and inserting ``; or''; and
                            (iii) by adding at the end the following 
                        new subparagraph:
            ``(E) documentation that the student has been determined to 
        be eligible for a Federal Pell Grant under section 401.''; and
                    (B) in paragraph (2)--
                            (i) in subparagraph (C), by striking ``or'' 
                        at the end;
                            (ii) in subparagraph (D), by striking the 
                        period at the end and inserting ``; or''; and
                            (iii) by adding at the end the following 
                        new subparagraph:
            ``(E) documentation that the student has been determined to 
        be eligible for a Federal Pell Grant under section 401.'';
            (4) in subsection (f)--
                    (A) in the heading of paragraph (1), by striking 
                ``prior experience'' and inserting ``accountability for 
                outcomes'';
                    (B) in paragraph (1) by striking ``experience of'' 
                and inserting ``success in achieving'';
                    (C) in paragraph (3)--
                            (i) in subparagraph (A)--
                                    (I) in clause (iv) by striking 
                                ``rigorous secondary school program of 
                                study that will make such students 
                                eligible for programs such as the 
                                Academic Competitiveness Grants 
                                Program'' and inserting ``secondary 
                                school program of study that will 
                                prepare such students to enter 
                                postsecondary education without the 
                                need for remedial education'';
                                    (II) by redesignating clauses (v) 
                                and (vi) as clauses (vi) and (vii), 
                                respectively; and
                                    (III) by inserting after clause 
                                (iv) the following new clause:
                            ``(v) the completion of financial aid 
                        applications, including the Free Application 
                        for Federal Student Aid described in section 
                        483(a) and college admission applications;'';
                            (ii) in subparagraph (B)--
                                    (I) by redesignating clauses (i), 
                                (ii), (iii), (iv), (v), (vi), (vii) as 
                                subclauses (I), (II), (III), (IV), 
                                (VII), (IX), and (X), respectively;
                                    (II) by inserting after subclause 
                                (IV), as so redesignated, the 
                                following:
                                    ``(V) the reentry into secondary 
                                school of such students;
                                    ``(VI) the enrollment of such 
                                students into a general educational 
                                development (commonly known as a `GED') 
                                program;''.
                                    (III) in subclause (VII), as so 
                                redesignated, by striking ``rigorous 
                                secondary school program of study that 
                                will make such students eligible for 
                                programs such as the Academic 
                                Competitiveness Grants Program'' and 
                                inserting ``secondary school program of 
                                study that will prepare such students 
                                to enter postsecondary education 
                                without the need for remedial 
                                education'';
                                    (IV) by inserting after subclause 
                                (VII), as so redesignated, the 
                                following new subclause:
                            ``(VIII) the completion of financial aid 
                        applications, including the Free Application 
                        for Federal Student Aid described in section 
                        483(a) and college admission applications;'';
                                    (V) by striking ``(B) For programs 
                                authorized under section 402C,'' and 
                                inserting ``(B)(i) For programs 
                                authorized under section 402C, except 
                                in the case of projects that 
                                specifically target veterans,''; and
                                    (VI) by adding at the end the 
                                following new clauses:
                    ``(ii) For programs authorized under section 402C 
                that specifically target veterans, the extent to which 
                the eligible entity met or exceeded the entity's 
                objectives for such program with respect to--
                            ``(I) the delivery of service to a total 
                        number of students served by the program, as 
                        agreed upon by the entity and the Secretary for 
                        the period;
                            ``(II) such students' academic performance, 
                        as measured by standardized tests;
                            ``(III) the retention and completion of 
                        participants in the project;
                            ``(IV) the provision of assistance to 
                        students served by the program in completing 
                        financial aid applications, including the Free 
                        Application for Federal Student Aid described 
                        in section 483(a) and college admission 
                        applications;
                            ``(V) the enrollment of such students in an 
                        institution of higher education; and
                            ``(VI) to the extent practicable, the 
                        postsecondary education completion rate of such 
                        students.'';
                            (iii) in subparagraph (C)(ii)--
                                    (I) in subclause (I), by striking 
                                ``in which such students were 
                                enrolled'' and inserting ``within six 
                                years of the initial enrollment of such 
                                students in the program''; and
                                    (II) in subclause (II);
                                            (aa) in the matter 
                                        preceding item (aa), by 
                                        striking ``offer a 
                                        baccalaureate degree'' and 
                                        inserting ``primarily offer 
                                        baccalaureate degrees''; and
                                            (bb) in item (aa), by 
                                        striking ``students; and'' and 
                                        inserting ``students within 4 
                                        years of the initial enrollment 
                                        of such students in the 
                                        program; or'';
                            (iv) in subparagraph (D)--
                                    (I) in clause (iii), by striking 
                                ``; and'' and inserting ``within two 
                                years of receiving a baccalaureate 
                                degree;'';
                                    (II) in clause (iv), by striking 
                                ``study and'' and all that follows 
                                through the period and inserting 
                                ``study; and''; and
                                    (III) by adding at the end the 
                                following new clause:
                            ``(v) the attainment of doctoral degrees by 
                        former program participants within 10 years of 
                        receiving a baccalaureate degree.''; and
                            (v) in subparagraph (E)(ii), by inserting 
                        ``, or re-enrollment,'' after ``enrollment'';
            (5) in subsection (g)--
                    (A) in the first sentence, by striking 
                ``$900,000,000 for fiscal year 2009 and such sums as 
                may be necessary for'' and inserting ``$900,000,000 for 
                fiscal year 2019 and'';
                    (B) in the second sentence--
                            (i) by striking ``no more than \1/2\ of 1'' 
                        and inserting ``not more than 1'';
                            (ii) by striking ``and to provide 
                        technical'' and inserting ``to provide 
                        technical''; and
                            (iii) by inserting before the period at the 
                        end the following: ``, and to support 
                        applications funded under the process outlined 
                        in subsection (c)(8)(B)''; and
                    (C) by striking the last sentence; and
            (6) in subsection (h)--
                    (A) by striking ``(5) veteran eligibility.--No 
                veteran'' and inserting the following:
    ``(i) Veteran Eligibility.--(1) No Veteran'';
                    (B) in paragraph (6), by striking ``of paragraph 
                (5)'' and inserting ``of paragraph (1)'';
                    (C) by striking ``(6) waiver.--The Secretary'' and 
                inserting the following:
    ``(2) The Secretary''.
    (b) Talent Search.--Section 402B (20 U.S.C. 1070a-12) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (2), by striking ``and'' at the 
                end;
                    (B) by redesignating paragraph (3) as paragraph 
                (4); and
                    (C) by inserting after paragraph (2) the following 
                new paragraph:
            ``(3) to advise such youths on the postsecondary 
        institution selection process, including consideration of the 
        financial aid awards offered and the potential loan burden 
        required; and'';
            (2) in subsection (b), by striking paragraph (6) and 
        inserting the following:
            ``(6) connections to education or counseling services 
        designed to--
                    ``(A) improve the financial literacy and economic 
                literacy of students or the students' parents in order 
                to aid them in making informed decisions about how to 
                best finance their postsecondary education; and
                    ``(B) assist students and families regarding career 
                choice.'';
            (3) in subsection (c)(2), by striking ``career'' and 
        inserting ``academic''; and
            (4) in subsection (d)--
                    (A) by redesignating paragraphs (2), (3), and (4) 
                as paragraphs (3), (4), and (5), respectively;
                    (B) by inserting after paragraph (1) the following 
                new paragraph:
            ``(2) require an assurance that the remaining youths 
        participating in the project proposed to be carried out in any 
        application be low-income individuals, first generation college 
        students, or students who have a high risk for academic 
        failure;'';
                    (C) in paragraph (4), as so redesignated--
                            (i) by inserting ``, section 402C,'' after 
                        ``under this section''; and
                            (ii) by striking ``and'' at the end;
                    (D) in paragraph (5), as so redesignated, by 
                striking the period at the end and inserting ``; and''; 
                and
                    (E) by adding at the end the following:
            ``(6) require the grantee to maintain, to the extent 
        practicable, a record of any services participants receive 
        during the project year from another program under this chapter 
        or other federally funded programs serving similar populations 
        to minimize the duplication of services.''.
    (c) Upward Bound.--Section 402C (20 U.S.C. 1070a-13) is amended--
            (1) in subsection (b)--
                    (A) in paragraph (4), by adding ``and'' at the end; 
                and
                    (B) by striking paragraphs (5) and (6) and 
                inserting the following:
            ``(5) education or counseling services designed to--
                    ``(A) improve the financial literacy and economic 
                literacy of students or the students' parents in order 
                to aid them in making informed decisions about how to 
                best finance their postsecondary education; and
                    ``(B) assist students and their families regarding 
                career choice.'';
            (2) in subsection (d)--
                    (A) in paragraph (1), by striking ``youth'' and 
                inserting ``participants'';
                    (B) in paragraph (2), by striking ``youth 
                participating in the project'' and inserting ``project 
                participants''; and
                    (C) in paragraph (5), by striking ``youth 
                participating in the project'' and inserting ``project 
                participants'';
            (3) in subsection (e)--
                    (A) in paragraph (4), by striking ``and'' at the 
                end;
                    (B) by redesignating paragraph (5) as paragraph 
                (6); and
                    (C) by inserting after paragraph (4) the following:
            ``(5) require an assurance that individuals participating 
        in the project proposed in any application do not have access 
        to services from another project funded under this section, 
        section 402B, or section 402F;'';
                    (D) in paragraph (6), as so redesignated, by 
                striking the period at the end and inserting ``; and''; 
                and
                    (E) by adding at the end the following:
            ``(6) for purposes of minimizing the duplication of 
        services, require that the grantee maintain, to the extent 
        practicable, a record of any services received by participants 
        during the program year from another program funded under this 
        chapter, or any other Federally funded program that serves 
        populations similar to the populations served by programs under 
        this chapter.''; and
            (4) by striking subsection (g) and redesignating subsection 
        (h) as subsection (g).
    (d) Student Support Services.--Section 402D (20 U.S.C. 1070a-14) is 
amended--
            (1) in subsection (a)(3), by inserting ``low-income and 
        first generation college students, including'' after ``success 
        of''; and
            (2) in subsection (b)(4)--
                    (A) by striking ``, including financial'' and 
                inserting ``, including--
                    ``(A) financial'';
                    (B) by adding at the end the following:
                    ``(B) basic personal income, household money 
                management, and financial planning skills; and
                    ``(C) basic economic decisionmaking skills;''; and
                    (C) in subsection (e)--
                            (i) in paragraph (5), by striking ``and'' 
                        at the end;
                            (ii) by redesignating paragraph (6) as 
                        paragraph (7);
                            (iii) by inserting after paragraph (5) the 
                        following:
            ``(6) require the grantee to maintain, to the extent 
        practicable, a record of any services participants receive 
        during the project year from another program under this chapter 
        or other federally funded programs serving similar populations 
        to minimize the duplication of services; and''.
    (e) Postbaccalaureate Achievement Program Authority.--Section 402E 
(20 U.S.C. 1070a-15) is amended--
            (1) in subsection (b)(2), by striking ``summer 
        internships'' and inserting ``internships and faculty-led 
        research experiences''; and
            (2) in subsection (d)--
                    (A) in paragraph (3), by striking ``and'' at the 
                end;
                    (B) in paragraph (4)--
                            (i) by striking ``summer'';
                            (ii) by striking the period at the end and 
                        inserting ``; and''; and
                    (C) by adding at the end the following:
            ``(5) the grantee to maintain, to the extent practicable, a 
        record of any services participants receive during the project 
        year from another program under this chapter or other federally 
        funded program serving similar populations to minimize the 
        duplication of services.''; and
            (3) in subsection (g), by striking ``2009 through 2014'' 
        and inserting ``2019 through 2024''.
    (f) Educational Opportunity Centers.--Section 402F (20 U.S.C. 
1070a-16) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by inserting ``or re-enter'' 
                after ``pursue''; and
                    (B) in paragraph (3), by striking ``of students'' 
                and inserting ``of such persons'';
            (2) in subsection (b)(5), by striking ``students;''and 
        inserting the following: ``students, including--
                    ``(A) financial planning for postsecondary 
                education;
                    ``(B) basic personal income, household money 
                management, and financial planning skills; and
                    ``(C) basic economic decisionmaking skills;''; and
            (3) in subsection (c)--
                    (A) by redesignating paragraphs (2) and (3) as 
                paragraphs (3) and (4), respectively; and
                    (B) by inserting after paragraph (1) the following 
                new paragraph:
            ``(2) require an assurance that the remaining persons 
        participating in the project proposed to be carried out under 
        any application be low-income individuals or first generation 
        college students;'';
                    (C) in paragraph (3), as so redesignated, by 
                striking ``and'' at the end;
                    (D) in paragraph (4), as so redesignated, by 
                striking the period at the end and inserting ``; and''; 
                and
                    (E) by adding at the end the following:
            ``(5) require the grantee to maintain, to the extent 
        practicable, a record of any services participants receive 
        during the project year from another program under this chapter 
        or other federally funded program serving similar populations 
        to minimize the duplication of services.''.
    (g) Staff Development Activities.--Section 402G(b) (20 U.S.C. 
1070a-17(b)) is amended--
            (1) in the matter preceding paragraph (1)--
                    (A) by inserting ``webinars and online classes,'' 
                after ``seminars, workshops,''; and
                    (B) by striking ``directors'' and inserting 
                ``staff''; and
            (2) in paragraph (3), by inserting ``and innovative'' after 
        ``model''.
    (h) Reports, Evaluations, and Grants for Project Improvement and 
Dissemination.--Subsection (b) of section 402H (20 U.S.C. 1070a-18) is 
amended to read as follows:
    ``(b) Evaluations.--
            ``(1) In general.--For the purpose of improving the 
        effectiveness of the programs assisted under this chapter, the 
        Secretary shall make grants to or enter into contracts with one 
        or more organizations to--
                    ``(A) evaluate the effectiveness of the programs 
                assisted under this chapter; and
                    ``(B) disseminate information on the impact of the 
                programs in increasing the education level of 
                participants, as well as other appropriate measures.
            ``(2) Issues to be evaluated.--The evaluations described in 
        paragraph (1) shall measure the effectiveness of programs 
        funded under this chapter in--
                    ``(A) meeting or exceeding the stated objectives 
                regarding the outcome criteria under subsection (f) of 
                section 402A;
                    ``(B) enhancing the access of low-income 
                individuals and first-generation college students to 
                postsecondary education;
                    ``(C) preparing individuals for postsecondary 
                education;
                    ``(D) comparing the level of education completed by 
                students who participate in the programs funded under 
                this chapter with the level of education completed by 
                students of similar backgrounds who do not participate 
                in such programs;
                    ``(E) comparing the retention rates, dropout rates, 
                graduation rates, and college admission and completion 
                rates of students who participate in the programs 
                funded under this chapter with the rates of students of 
                similar backgrounds who do not participate in such 
                programs; and
                    ``(F) such other issues as the Secretary considers 
                appropriate for inclusion in the evaluation.
            ``(3) Program methods.--Such evaluations shall also 
        investigate the effectiveness of alternative and innovative 
        methods within programs funded under this chapter of increasing 
        access to, and retention of, students in postsecondary 
        education.
            ``(4) Results.--The Secretary shall submit to the 
        authorizing committees--
                    ``(A) an interim report on the progress and 
                preliminary results of the evaluation of each program 
                funded under this chapter not later than 2 years 
                following the date of enactment of the PROSPER Act; and
                    ``(B) a final report not later than 3 years 
                following the date of enactment of such Act.
            ``(5) Public availability.--All reports and underlying data 
        gathered pursuant to this subsection shall be made available to 
        the public upon request, in a timely manner following 
        submission of the applicable reports under this subsection, 
        except that any personally identifiable information with 
        respect to a student participating in a program or project 
        assisted under this chapter shall not be disclosed or made 
        available to the public.''.
    (i) IMPACT Grants.--Part A of title IV (20 U.S.C. 1070 et seq.) is 
amended by inserting after section 402H (20 U.S.C. 1070a-28) the 
following:

``SEC. 402I. IMPACT GRANTS.

    ``(a) In General.--From funds reserved under subsection (e), the 
Secretary shall make grants to improve postsecondary access and 
completion rates for qualified individuals from disadvantaged 
backgrounds. These grants shall be known as innovative measures 
promoting postsecondary access and completion grants or `IMPACT Grants' 
and allow eligible entities to--
            ``(1) create, develop, implement, replicate, or take to 
        scale evidence-based, field-initiated innovations, including 
        through pay-for-success initiatives, to serve qualified 
        individuals from disadvantaged backgrounds and improve student 
        outcomes; and
            ``(2) rigorously evaluate such innovations, in accordance 
        with subsection (d).
    ``(b) Description of Grants.--The grants described in subsection 
(a) shall include--
            ``(1) early-phase grants to fund the development, 
        implementation, and feasibility testing of a program, which 
        prior research suggests has a promise, for the purpose of 
        determining whether the program can successfully improve 
        postsecondary access and completion rates;
            ``(2) mid-phase grants to fund implementation and a 
        rigorous evaluation of a program that has been successfully 
        implemented under an early-phase grant described in paragraph 
        (1); and
            ``(3) expansion grants to fund implementation and a 
        rigorous replication evaluation of a program that has been 
        found to produce sizable, important impacts under a mid-phase 
        grant described in paragraph (2) for the purposes of--
                    ``(A) determining whether such outcomes can be 
                successfully reproduced and sustained over time; and
                    ``(B) identifying the conditions in which the 
                project is most effective.
    ``(c) Requirements for Approval of Applications.--To receive a 
grant under this section, an eligible entity shall submit an 
application to the Secretary at such time, and in such manner as the 
Secretary may require, which shall include--
            ``(1) an assurance that not less than two-thirds of the 
        individuals who will participate in the program proposed to be 
        carried out with the grant will be--
                    ``(A) low-income individuals who are first 
                generation college students; or
                    ``(B) individuals with disabilities;
            ``(2) an assurance that any other individuals (not 
        described in paragraph (1)) who will participate in such 
        proposed program will be--
                    ``(A) low-income individuals;
                    ``(B) first generation college students; or
                    ``(C) individuals with disabilities;
            ``(3) a detailed description of the proposed program, 
        including how such program will directly benefit students;
            ``(4) the number of projected students to be served by the 
        program;
            ``(5) how the program will be evaluated; and
            ``(6) an assurance that the individuals participating in 
        the project proposed are individuals who do not have access to 
        services from another programs funded under this section.
    ``(d) Evaluation.--Each eligible entity receiving a grant under 
this section shall conduct an independent evaluation of the 
effectiveness of the program carried out with such grant and shall 
submit to the Secretary, on an annual basis, a report that includes--
            ``(1) a description of how funds received under this 
        section were used;
            ``(2) the number of students served by the project carried 
        out under this section; and
            ``(3) a quantitative analysis of the effectiveness of the 
        project.
    ``(e) Funding.--From amounts appropriated under section 402A(g), 
the Secretary shall reserve not less than 10 percent of such funds to 
carry out this section.''.

SEC. 403. GAINING EARLY AWARENESS AND READINESS FOR UNDERGRADUATE 
              PROGRAMS.

    (a) Early Intervention and College Awareness Program.--Section 404A 
(20 U.S.C. 1070a-21) is amended--
            (1) in subsection (a)(1), by striking ``academic support'' 
        and inserting ``academic support for college readiness'';
            (2) in subsection (b)--
                    (A) in paragraph (1), by inserting ``new'' before 
                ``awards''; and
                    (B) in paragraph (3)--
                            (i) by amending subparagraph (A) to read as 
                        follows:
                    ``(A) give priority to eligible entities that have 
                a prior, demonstrated commitment to early intervention 
                leading to college access and readiness through 
                collaboration and replication of successful strategies; 
                and''; and
                            (ii) in subparagraph (B), by striking ``the 
                        Higher Education Opportunity Act'' and 
                        inserting ``the PROSPER Act''; and
                    (C) by adding at the end the following:
            ``(4) Multiple award prohibition.--Eligible entities 
        described in subsection (c)(1) that receive a grant under this 
        chapter shall not be eligible to receive an additional grant 
        under this chapter until after the date on which the initial 
        grant period expires.''; and
            (3) in subsection (c)(2)(B), by striking ``institutions or 
        agencies sponsoring programs authorized under subpart 4,''.
    (b) Applications.--Section 404C (20 U.S.C. 1070a-23) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (2)--
                            (i) in the matter preceding subparagraph 
                        (A)--
                                    (I) by striking ``, contain or be 
                                accompanied by such information or 
                                assurances,''; and
                                    (II) by striking ``, at a 
                                minimum'';
                            (ii) by amending subparagraph (B) to read 
                        as follows:
                    ``(B) describe, in the case of an eligible entity 
                described in section 404A(c)(2) that chooses to provide 
                scholarships, or an eligible entity described in 
                section 404A(c)(1)--
                            ``(i) the eligible entity's plan to 
                        establish or maintain a financial assistance 
                        program in accordance with the requirements of 
                        section 404E, including any eligibility 
                        criteria other than the criteria described in 
                        section 404E(g), such as--
                                    ``(I) demonstrating financial need;
                                    ``(II) meeting and maintaining 
                                satisfactory academic progress; and
                                    ``(III) other criteria aligned with 
                                State and local goals to increase 
                                postsecondary readiness, access, and 
                                completion; and
                            ``(ii) how the eligible entity will meet 
                        the other requirements of section 404E;'';
                            (iii) by striking subparagraph (H); and
                            (iv) by redesignating subparagraphs (I) and 
                        (J) as subparagraphs (H) and (I), respectively; 
                        and
            (2) in subsection (b), by striking paragraph (2) and 
        inserting the following:
            ``(2) Special rule.--Notwithstanding the matching 
        requirement described in paragraph (1)(A), the Secretary may--
                    ``(A) at the time of application--
                            ``(i) approve a Partnership applicant's 
                        request for a waiver of up to 75 percent of the 
                        matching requirement for up to two years if the 
                        applicant demonstrates in its application a 
                        significant economic hardship that stems from a 
                        specific, exceptional, or uncontrollable event, 
                        such as a natural disaster, that has a 
                        devastating effect on the members of the 
                        Partnership and the community in which the 
                        project would operate;
                            ``(ii)(I) approve a Partnership applicant's 
                        request to waive up to 50 percent of the 
                        matching requirement for up to two years if the 
                        applicant demonstrates in its application a 
                        pre-existing and an on-going significant 
                        economic hardship that precludes the applicant 
                        from meeting its matching requirement; and
                            ``(II) provide tentative approval of an 
                        applicant's request for a waiver under 
                        subclause (I) for all remaining years of the 
                        project period;
                            ``(iii) approve a Partnership applicant's 
                        request in its application to match its 
                        contributions to its scholarship fund, 
                        established under section 404E, on the basis of 
                        two non-Federal dollars for every one dollar of 
                        Federal funds provided under this chapter; or
                            ``(iv) approve a request by a Partnership 
                        applicant that has three or fewer institutions 
                        of higher education as members to waive up to 
                        70 percent of the matching requirement if the 
                        Partnership applicant includes--
                                    ``(I) a fiscal agent that is 
                                eligible to receive funds under title 
                                V, or part B of title III, or section 
                                316 or 317, or a local educational 
                                agency;
                                    ``(II) only participating schools 
                                with a 7th grade cohort in which at 
                                least 75 percent of the students are 
                                eligible for free or reduced-price 
                                lunch under the Richard B. Russell 
                                National School Lunch Act; and
                                    ``(III) only local educational 
                                agencies in which at least 50 percent 
                                of the students enrolled are eligible 
                                for free or reduced-price lunch under 
                                the Richard B. Russell National School 
                                Lunch Act; and
                    ``(B) after a grant is awarded, approve a 
                Partnership grantee's written request for a waiver of 
                up to----
                            ``(i) 50 percent of the matching 
                        requirement for up to two years if the grantee 
                        demonstrates that--
                                    ``(I) the matching contributions 
                                described for those two years in the 
                                grantee's approved application are no 
                                longer available; and
                                    ``(II) the grantee has exhausted 
                                all funds and sources of potential 
                                contributions for replacing the 
                                matching funds; or
                            ``(ii) 75 percent of the matching 
                        requirement for up to two years if the grantee 
                        demonstrates that matching contributions from 
                        the original application are no longer 
                        available due to an uncontrollable event, such 
                        as a natural disaster, that has a devastating 
                        economic effect on members of the Partnership 
                        and the community in which the project would 
                        operate.
            ``(3) Additional terms.--
                    ``(A) On-going economic hardship.--In determining 
                whether a Partnership applicant is experiencing an on-
                going economic hardship that is significant enough to 
                justify a waiver under subparagraphs (A)(i) and 
                (A)(ii)(I) of paragraph (2), the Secretary may consider 
                documentation of the following:
                            ``(i) Severe distress in the local economy 
                        of the community to be served by the grant 
                        (e.g., there are few employers in the local 
                        area, large employers have left the local area, 
                        or significant reductions in employment in the 
                        local area).
                            ``(ii) Local unemployment rates that are 
                        higher than the national average.
                            ``(iii) Low or decreasing revenues for 
                        State and County governments in the area to be 
                        served by the grant.
                            ``(iv) Significant reductions in the 
                        budgets of institutions of higher education 
                        that are participating in the grant.
                            ``(v) Other data that reflect a significant 
                        economic hardship for the geographical area 
                        served by the applicant.
                    ``(B) Exhaustion of funds.--In determining whether 
                a Partnership grantee has exhausted all funds and 
                sources of potential contributions for replacing 
                matching funds under paragraph (2)(B), the secretary 
                may consider the grantee's documentation of key factors 
                that have had a direct impact on the grantee such as 
                the following:
                            ``(i) A reduction of revenues from State 
                        government, County government, or the local 
                        educational agency.
                            ``(ii) An increase in local unemployment 
                        rates.
                            ``(iii) Significant reductions in the 
                        operating budgets of institutions of higher 
                        education that are participating in the grant.
                            ``(iv) A reduction of business activity in 
                        the local area (e.g., large employers have left 
                        the local area).
                            ``(v) Other data that reflect a significant 
                        decrease in resources available to the grantee 
                        in the local geographical area served by the 
                        grantee.
                    ``(C) Renewal of waiver.--A Partnership applicant 
                that receives a tentative approval of a waiver under 
                subparagraph (A)(ii)(II) of paragraph (2) for more than 
                two years under this paragraph must submit to the 
                Secretary every two years by such time as the Secretary 
                may direct documentation that demonstrates that--
                            ``(i) the significant economic hardship 
                        upon which the waiver was granted still exists; 
                        and
                            ``(ii) the grantee tried diligently, but 
                        unsuccessfully, to obtain contributions needed 
                        to meet the matching requirement.
                    ``(D) Multiple waivers.--If a grantee has received 
                one or more waivers under paragraph (2), the grantee 
                may request an additional waiver of the matching 
                requirement under this subsection not earlier than 60 
                days before the expiration of the grantee's existing 
                waiver.''.
    (c) Activities.--Section 404D (20 U.S.C. 1070a-24) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``financial aid 
                for'' and inserting ``financial aid, including loans, 
                grants, scholarships, and institutional aid for'';
                    (B) in paragraph (2) by striking ``rigorous and 
                challenging curricula and coursework, in order to'' and 
                inserting ``curricula and coursework designed to'';
                    (C) by redesignating paragraphs (3) and (4) as 
                paragraphs (5) and (6), respectively;
                    (D) by inserting after paragraph (2) the following:
            ``(3) Providing information to students and families about 
        the advantages of obtaining a postsecondary education.
            ``(4) Providing tutors and mentors, who may include adults 
        or former participants of a program under this chapter, for use 
        by eligible students in need.''; and
                    (E) in paragraph (5), as so redesignated, by 
                striking ``Improving'' and inserting ``Providing 
                supportive services to improve''; and
            (2) in subsection (b)--
                    (A) by striking paragraph (1);
                    (B) by redesignating paragraphs (2) through (15) as 
                paragraphs (1) through (14), respectively;
                    (C) in paragraph (3), as so redesignated, by 
                striking ``rigorous'' each place it appears; and
                    (D) in paragraph (9), as so redesignated--
                            (i) by redesignating subparagraphs (E) 
                        through (K) as subparagraphs (F) through (L), 
                        respectively; and
                            (ii) by inserting after subparagraph (D) 
                        the following:
                    ``(E) providing counseling or referral services to 
                address the behavioral, social-emotional, and mental 
                health needs of at-risk students;'';
                            (iii) in subparagraph (I), as so 
                        redesignated, by striking ``skills 
                        assessments'' and inserting ``skills, 
                        cognitive, non-cognitive, and credit-by-
                        examination assessments'';
                            (iv) in subparagraph (K), as so 
                        redesignated, by striking ``and'' at the end;
                            (v) in subparagraph (L), as so 
                        redesignated, by striking the period at the end 
                        and inserting ``; and''; and
                            (vi) by adding at the end the following:
                    ``(M) capacity building activities that create 
                college-going cultures in participating schools and 
                local education agencies.'';
                    (E) by adding at the end the following:
            ``(15) Creating or expanding drop-out recovery programs 
        that allow individuals who drop out of school to complete a 
        regular secondary school diploma and begin college-level 
        work.''; and
                    (F) in subsection (c)--
                            (i) in paragraph (3), by inserting ``and 
                        technical assistance'' after ``administrative 
                        support''; and
                            (ii) by striking paragraph (9); and
            (3) in subsection (e), by striking ``institutions and 
        agencies sponsoring programs authorized under subpart 4,''.
    (d) Scholarship Requirements.--Section 404E (20 U.S.C. 1070a-25) is 
amended--
            (1) in subsection (a)(1), by inserting ``described in 
        section 404C(a)(2)(B)(i)'' after ``financial assistance 
        program''; and
            (2) in subsection (e)(1), by striking ``an amount'' and all 
        that follows through the period at the end and inserting the 
        following: ``an estimated amount that is based on the 
        requirements of the financial assistance program of the 
        eligible entity described in section 404C(a)(2)(B)(i).''
    (e) Evaluation and Report.--Section 404G(b) (20 U.S.C. 1070a-27(b)) 
is amended--
            (1) in paragraph (1), by striking ``and'' at the end;
            (2) in paragraph (2), by striking the period at the end and 
        inserting ``; and''
            (3) by adding after paragraph (2) the following:
            ``(3) include the following metrics:
                    ``(A) the number of students completing the Free 
                Application for Federal Student Aid;
                    ``(B) the enrollment of participating students in 
                curricula and coursework designed to reduce the need 
                for remedial coursework at the postsecondary level;
                    ``(C) if applicable, the number of students 
                receiving a scholarship;
                    ``(D) the graduation rate of participating students 
                from high school;
                    ``(E) the enrollment of participating students into 
                postsecondary education; and
                    ``(F) such other information as the Secretary may 
                require.''.
    (f) Authorization of Appropriations.--Section 404H (20 U.S.C. 
1070a-28) is amended by striking ``$400,000,000 for fiscal year 2009 
and such sums as may be necessary for each of the five succeeding 
fiscal years'' and inserting ``$339,754,000 for fiscal year 2019 and 
each of the five succeeding fiscal years''.

SEC. 404. SPECIAL PROGRAMS FOR STUDENTS WHOSE FAMILIES ARE ENGAGED IN 
              MIGRANT AND SEASONAL FARMWORK.

    Section 418A(i) (20 U.S.C. 1070d--2(i)) is amended by striking 
``$75,000,000'' and all that follows through the period at the end and 
inserting ``$44,623,000 for each of fiscal years 2019 through 2024.''.

SEC. 405. CHILD CARE ACCESS MEANS PARENTS IN SCHOOL.

    Section 419N (20 U.S.C. 1070e) is amended--
            (1) in the heading of paragraph (6) of subsection (b), by 
        striking ``Construction'' and inserting ``Rule of 
        construction'';
            (2) in subsection (c)--
                    (A) in paragraph (4), by striking ``assisted'' and 
                inserting ``funded'';
                    (B) in paragraph (5)--
                            (i) by striking ``resources, including 
                        technical expertise'' and inserting 
                        ``resources, including non-Federal resources, 
                        technical expertise,''; and
                            (ii) by striking ``the use of the'' and 
                        inserting ``these''; and
                    (C) in paragraph (9)--
                            (i) by inserting ``provisional status,'' 
                        after ``approval,''; and
                            (ii) by striking ``; and'' and inserting 
                        ``prior to serving children and families; 
                        and'';
            (3) in subsection (d)--
                    (A) in paragraph (1)--
                            (i) by striking ``local'' and inserting 
                        ``non-Federal, local,''; and
                            (ii) by striking ``and'' at the end;
                    (B) in paragraph (2), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following:
            ``(3) coordinate with other community programs where 
        appropriate to improve the quality and limit cost of the 
        campus-based program.'';
            (4) by amending subsection (e) to read as follows:
    ``(e) Reporting Requirements; Continuing Eligibility.--
            ``(1) Reporting requirements.--
                    ``(A) Reports.--Each institution of higher 
                education receiving a grant under this section shall 
                report to the Secretary annually. The Secretary shall 
                annually publish such reports on a publicly accessible 
                website of the Department of Education.
                    ``(B) Contents.--Each report shall include--
                            ``(i) data on the population served under 
                        this section, including the total number of 
                        children and families served;
                            ``(ii) information on sources of campus and 
                        community resources and the amount of non-
                        Federal funding used to help low-income 
                        students access child care services on campus;
                            ``(iii) documentation that the program 
                        meets applicable licensing, certification, 
                        approval, or registration requirements; and
                            ``(iv) a description of how funding was 
                        used to pursue the goals of this section 
                        determined by the institution under subsection 
                        (c).
            ``(2) Continuing eligibility.--The Secretary shall make 
        continuation awards under this section to an institution of 
        higher education only if the Secretary determines, on the basis 
        of the reports submitted under paragraph (1) and the 
        application from the institution, that the institution is--
                    ``(A) using funds only for authorized purposes;
                    ``(B) providing low-income students at the 
                institution with priority access to affordable, quality 
                child care services as provided under this section; and
                    ``(C) documenting a continued need for Federal 
                funding under this section, while demonstrating how 
                non-Federal sources will be leveraged to support a 
                continuation award.''; and
            (5) in subsection (g), by striking ``such sums as may be 
        necessary for fiscal year 2009 and each of the five succeeding 
        fiscal years'' and inserting ``$15,134,000 for each of fiscal 
        years 2019 through 2024''.

SEC. 406. REPEALS.

    (a) Academic Competitiveness Grants.--Section 401A (20 U.S.C. 
1070a-1) is repealed.
    (b) Federal Supplemental Educational Opportunity Grants.--
            (1) Repeal.--Subpart 3 of part A of title IV (20 U.S.C. 
        1070b et seq.) is repealed.
            (2) Effective date.--The repeal made by paragraph (1) shall 
        take effect on June 30, 2018.
    (c) Leveraging Educational Assistance Partnership Program.--Subpart 
4 of part A of title IV (20 U.S.C. 1070c et seq.) is repealed.
    (d) Robert C. Byrd Honors Scholarship Program.--Subpart 6 of part A 
of title IV (20 U.S.C. 1070d-31 et seq.) is repealed.

SEC. 407. SUNSET OF TEACH GRANTS.

    Subpart 9 of part A of title IV (20 U.S.C. 1070g) is amended--
            (1) in section 420L(1) (20 U.S.C. 1070g(1), by striking 
        ``section 102'' and inserting ``section 102 (as in effect on 
        the day before the date of enactment of the PROSPER Act)'';
            (2) in section 420N (20 U.S.C. 1070g-2)--
                    (A) by amending subparagraph (B) of subsection 
                (b)(1) to read as follows:
                    ``(B) teach--
                            ``(i) in a public or other nonprofit 
                        private elementary school or secondary school, 
                        which, for the purpose of this paragraph and 
                        for that year--
                                    ``(I) has been determined by the 
                                Secretary (pursuant to regulations of 
                                the Secretary and after consultation 
                                with the State educational agency of 
                                the State in which the school is 
                                located) to be a school in which the 
                                number of children meeting a measure of 
                                poverty under section 1113(a)(5) of the 
                                Elementary and Secondary Education Act 
                                of 1965 (20 U.S.C. 6313(a)(5)), exceeds 
                                30 percent of the total number of 
                                children enrolled in such school; and
                                    ``(II) is in the school district of 
                                a local educational agency which is 
                                eligible in such year for assistance 
                                pursuant to part A of title I of the 
                                Elementary and Secondary Education Act 
                                of 1965 (20 U.S.C. 6311 et seq.); or
                            ``(ii) in one or more public, or nonprofit 
                        private, elementary schools or secondary 
                        schools or locations operated by an educational 
                        service agency that have been determined by the 
                        Secretary (pursuant to regulations of the 
                        Secretary and after consultation with the State 
                        educational agency of the State in which the 
                        educational service agency operates) to be a 
                        school or location at which the number of 
                        children taught who meet a measure of poverty 
                        under section 1113(a)(5) of the Elementary and 
                        Secondary Education Act of 1965 (20 U.S.C. 
                        6313(a)(5)), exceeds 30 percent of the total 
                        number of children taught at such school or 
                        location;''; and
                    (B) in subsection (c), by inserting ``(as in effect 
                on the day before the date of the enactment of the 
                PROSPER Act)'' after ``part D of title IV'';
            (3) in section 420M(a) (20 U.S.C. 1070g-1), by adding at 
        the end the following:
            ``(3) Termination.--
                    ``(A) Termination of program authority.--No new 
                grants may be made under this subpart after June 30, 
                2018.
                    ``(B) Limitation on funds.--No funds are authorized 
                to be appropriated, and no funds may be obligated or 
                expended under this Act or any other Act, to make a 
                grant under this subpart for which the first 
                disbursement would be made after June 30, 2018.''; and
            (4) in section 420O (20 U.S.C. 1070g-3)--
                    (A) by striking ``2008'' and inserting ``2008, and 
                ending on June 30, 2018''; and
                    (B) by adding at the end the following: ``No funds 
                shall be available to the Secretary to carry out this 
                subpart after June 30, 2018.''.

             PART B--FEDERAL FAMILY EDUCATION LOAN PROGRAM

SEC. 421. FEDERAL DIRECT CONSOLIDATION LOANS.

    Section 428C (20 U.S.C. 1078-3) is amended--
            (1) in subsection (a)(4)(B), by inserting before the 
        semicolon at the end ``, as in effect on the day before the 
        date of enactment of the PROSPER Act and pursuant to section 
        461(a) of such Act''; and
            (2) in subsection (b)(1)(F)(ii)--
                    (A) in the matter preceding subclause (I), by 
                inserting ``, as in effect on the day before the date 
                of enactment of the PROSPER Act and pursuant to section 
                461(a) of such Act'' after ``part E'';
                    (B) in subclause (I), in the matter preceding item 
                (aa), by inserting ``, as so in effect,'' after ``part 
                E'';
                    (C) in subclause (I)(bb), by inserting ``, as so in 
                effect'' after ``section 464(c)(1)(A)'';
                    (D) in subclause (II), by inserting ``, as so in 
                effect'' after ``section 465(a)''; and
                    (E) in subclause (III)--
                            (i) by inserting ``, as so in effect'' 
                        after ``section 465''; and
                            (ii) by inserting ``, as so in effect'' 
                        after ``465(a)''.

SEC. 422. LOAN REHABILITATION.

    Section 428F(a)(5) (20 U.S.C. 1078-6) is amended by striking ``one 
time'' and inserting ``two times''.

SEC. 423. LOAN FORGIVENESS FOR TEACHERS.

    Section 428J(b)(1)(A) (20 U.S.C. 1087-10(b)(1)(A)) is amended by 
striking ``that qualifies under section 465(a)(2)(A) for loan 
cancellation for Perkins loan recipients who teach in such schools or 
locations'' and inserting ``described in section 420N(b)(1)(B)''.

SEC. 424. LOAN FORGIVENESS FOR SERVICE IN AREAS OF NATIONAL NEED.

    Section 428K (20 U.S.C. 1078-11) is amended--
            (1) in subsection (b)--
                    (A) in paragraph (4)(B), by striking ``that 
                qualifies under section 465(a)(2)(A) for loan 
                cancellation for Perkins loan recipients who teach in 
                such a school'' and inserting ``described in section 
                420N(b)(1)(B)'';
                    (B) in paragraph (5)(B)(ii), by striking ``that 
                qualifies under section 465(a)(2)(A) for loan 
                cancellation for Perkins loan recipients who teach in 
                such a school'' and inserting ``described in section 
                420N(b)(1)(B)'';
                    (C) in paragraph (7)(A), by striking ``that 
                qualifies under section 465(a)(2)(A) for loan 
                cancellation for Perkins loan recipients who teach in 
                such a school'' and inserting ``described in section 
                420N(b)(1)(B)'';
                    (D) in paragraph (8), by striking ``that qualifies 
                under section 465(a)(2)(A) for loan cancellation for 
                Perkins loan recipients who teach in such a school'' 
                and inserting ``described in section 420N(b)(1)(B)''; 
                and
                    (E) in paragraph (16), by striking ``that qualify 
                under section 465(a)(2)(A) for loan cancellation for 
                Perkins loan recipients who teach in such a school'' 
                and inserting ``described in section 420N(b)(1)(B)''; 
                and
            (2) in subsection (g)(6)(B), by striking ``that qualifies 
        under section 465(a)(2)(A) for loan cancellation for Perkins 
        loan recipients who teach in such a school'' and inserting 
        ``described in section 420N(b)(1)(B)''.

SEC. 425. LOAN REPAYMENT FOR CIVIL LEGAL ASSISTANCE ATTORNEYS.

    Section 428L(b)(2)(A) (20 U.S.C. 1087-12(b)(2)(A)) is amended--
            (1) in clause (i), by inserting before the semicolon at the 
        end ``, as in effect on the day before the date of enactment of 
        the PROSPER Act and pursuant to section 461(a) of such Act''; 
        and
            (2) in clause (ii)(III), by inserting ``, as in effect on 
        the day before the date of enactment of the PROSPER Act and 
        pursuant to section 461(a) of such Act'' after ``part E'';

SEC. 426. SUNSET OF COHORT DEFAULT RATE AND OTHER CONFORMING CHANGES.

    (a) Requirements for the Secretary.--Section 430(e) (20 U.S.C. 
1080(e)) is amended by adding at the end the following:
            ``(4) Sunset.--The Secretary shall not be subject to the 
        requirements of this subsection after the transition period 
        described in section 481B(e)(3).''.
    (b) Eligible Institution Defined.--Section 435 (20 U.S.C. 1085) is 
amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``section 102'' 
                and inserting ``section 101 and 102''; and
                    (B) by adding at the end the following:
            ``(9) Sunset.--No institution shall be subject to paragraph 
        (2) after the transition period described in section 
        481B(e)(3).'';
            (2) in subsection (m), by adding at the end the following:
            ``(5) Transition period; sunset.--
                    ``(A) Transition period.--During the transition 
                period, the cohort default rate for an institution 
                shall be calculated in the manner described in section 
                481B(e)(1).
                    ``(B) Sunset.--The Secretary shall not be subject, 
                and no institution shall be subject, to the 
                requirements of this subsection after the transition 
                period.
                    ``(C) Definition.--In this paragraph, the term 
                `transition period' has the meaning given the term in 
                section 481B(e)(3).''; and
            (3) in subsection (o)(1), by inserting ``, as in effect on 
        the day before the date of enactment of the PROSPER Act and 
        pursuant to section 461(a) of such Act'' after ``part E''.

SEC. 427. CLOSED SCHOOL AND OTHER DISCHARGES.

    Section 437(c) (20 U.S.C. 1087) is amended--
            (1) in paragraph (1), by inserting ``and the borrower meets 
        the applicable requirements of paragraphs (6) through (8),'' 
        after ``such student's lender,'';
            (2) in paragraph (4), by inserting before the period at the 
        end ``, as in effect on the day before the date of enactment of 
        the PROSPER Act and pursuant to section 461(a) of such Act''; 
        and
            (3) by adding at the end the following:
            ``(6) Borrower qualifications for a closed school 
        discharge.--
                    ``(A) In general.--In order to qualify for the 
                discharge of a loan under this subsection due to the 
                closure of the institution in which the borrower was 
                enrolled, a borrower shall submit to the Secretary a 
                written request and sworn statement--
                            ``(i) that contains true factual 
                        assertions;
                            ``(ii) that is made by the borrower under 
                        penalty of perjury, and that may or may not be 
                        notarized;
                            ``(iii) under which the borrower (or the 
                        student on whose behalf a parent borrowed) 
                        states--
                                    ``(I) that the borrower or the 
                                student--
                                            ``(aa) received, on or 
                                        after January 1, 1986, the 
                                        proceeds of a loan made, 
                                        insured, or guaranteed under 
                                        this title to attend a program 
                                        of study at an institution of 
                                        higher education;
                                            ``(bb)(AA) did not complete 
                                        the program of study because 
                                        the institution closed while 
                                        the student was enrolled; or
                                            ``(BB) the student withdrew 
                                        from the institution not more 
                                        than 120 days before the 
                                        institution closed, or in the 
                                        case of exceptional 
                                        circumstances described in 
                                        subparagraph (B), not more than 
                                        the period by which such 120-
                                        day period is extended under 
                                        such subparagraph; and
                                            ``(cc) attempted but was 
                                        unable to complete the program 
                                        of study through a teach-out at 
                                        another institution or by 
                                        transferring academic credits 
                                        or hours earned at the closed 
                                        institution to another 
                                        institution;
                                    ``(II) whether the borrower (or the 
                                student) has made a claim with respect 
                                to the institutions's closing with any 
                                third party, such as the holder of a 
                                performance bond or a tuition recovery 
                                program, and, if so, the amount of any 
                                payment received by the borrower (or 
                                the student) or credited to the 
                                borrower's loan obligation; and
                                    ``(III) that the borrower (or the 
                                student)--
                                            ``(aa) agrees to provide to 
                                        the Secretary or the holder of 
                                        the loan upon request other 
                                        documentation reasonably 
                                        available to the borrower that 
                                        demonstrates that the borrower 
                                        meets the qualifications for 
                                        discharge under this 
                                        subsection; and
                                            ``(bb) agrees to cooperate 
                                        with the Secretary in 
                                        enforcement actions in 
                                        accordance with subparagraph 
                                        (C) and to transfer any right 
                                        to recovery against a third 
                                        party to the Secretary in 
                                        accordance with subparagraph 
                                        (D).
                    ``(B) Exceptional circumstances.--
                            ``(i) In general.--The Secretary may extend 
                        the 120-day period described in subparagraph 
                        (A)(iii)(I)(bb)(BB) if the Secretary determines 
                        that exceptional circumstances related to an 
                        institution's closing justify an extension.
                            ``(ii) Definition.--For purposes of this 
                        subsection, the term `exceptional 
                        circumstances', when used with respect to an 
                        institution that closed, includes the loss of 
                        accreditation of institution, the institutions' 
                        discontinuation of the majority of its academic 
                        programs, action by the State to revoke the 
                        institution's license to operate or award 
                        academic credentials in the State, or a finding 
                        by a State or Federal Government agency that 
                        the institution violated State or Federal law.
                    ``(C)  Cooperation by borrower in enforcement 
                actions.--
                            ``(i) In general.--In order to obtain a 
                        discharge described in subparagraph (A), a 
                        borrower shall cooperate with the Secretary in 
                        any judicial or administrative proceeding 
                        brought by the Secretary to recover amounts 
                        discharged or to take other enforcement action 
                        with respect to the conduct on which the 
                        discharge was based. At the request of the 
                        Secretary and upon the Secretary's tendering to 
                        the borrower the fees and costs that are 
                        customarily provided in litigation to reimburse 
                        witnesses, the borrower shall--
                                    ``(I) provide testimony regarding 
                                any representation made by the borrower 
                                to support a request for discharge;
                                    ``(II) produce any documents 
                                reasonably available to the borrower 
                                with respect to those representations; 
                                and
                                    ``(III) if required by the 
                                Secretary, provide a sworn statement 
                                regarding those documents and 
                                representations.
                            ``(ii) Denial of request for discharge.--
                        The Secretary shall deny the request for such a 
                        discharge or revoke the discharge of a borrower 
                        who--
                                    ``(I) fails to provide the 
                                testimony, documents, or a sworn 
                                statement required under clause (i); or
                                    ``(II) provides testimony, 
                                documents, or a sworn statement that 
                                does not support the material 
                                representations made by the borrower to 
                                obtain the discharge.
                    ``(D) Transfer to the secretary of borrower's right 
                of recovery against third parties.--
                            ``(i) In general.--Upon receiving a 
                        discharge described in subparagraph (A) of a 
                        loan, the borrower shall be deemed to have 
                        assigned to and relinquished in favor of the 
                        Secretary any right to a loan refund for such 
                        loan (up to the amount discharged) that the 
                        borrower (or student) may have by contract or 
                        applicable law with respect to the loan or the 
                        enrollment agreement for the program for which 
                        the loan was received, against the institution, 
                        its principals, its affiliates and their 
                        successors, its sureties, and any private fund, 
                        including the portion of a public fund that 
                        represents funds received from a private party.
                            ``(ii) Application.--The provisions of this 
                        subsection apply notwithstanding any provision 
                        of State law that would otherwise restrict 
                        transfer of such rights by the borrower (or 
                        student), limit, or prevent a transferee from 
                        exercising such rights, or establish procedures 
                        or a scheme of distribution that would 
                        prejudice the Secretary's ability to recover on 
                        such rights.
                            ``(iii) Rule of construction.--Nothing in 
                        this subsection shall limit or foreclose the 
                        borrower's (or student's) right to pursue legal 
                        and equitable relief regarding disputes arising 
                        from matters unrelated to the discharged loan.
                    ``(E) Discharge procedures.--
                            ``(i) In general.--After confirming the 
                        date of an institution's closure, the Secretary 
                        shall identify any borrower (or student on 
                        whose behalf a parent borrowed) who appears to 
                        have been enrolled at the institution on the 
                        closure date of the institution or to have 
                        withdrawn not more than 120 days prior to the 
                        closure date (or in the case of exceptional 
                        circumstances described in subparagraph (B), 
                        not more than the period by which such 120-day 
                        period is extended under such subparagraph. In 
                        the case of a loan made, insured, or guaranteed 
                        under this part, a guaranty agency shall notify 
                        the Secretary immediately whenever it becomes 
                        aware of reliable information indicating an 
                        institution may have closed.
                            ``(ii) Borrower address.--
                                    ``(I) Known.--If the borrower's 
                                current address is known, the Secretary 
                                shall mail the borrower a discharge 
                                application and an explanation of the 
                                qualifications and procedures for 
                                obtaining a discharge. The Secretary or 
                                the guaranty agency shall promptly 
                                suspend any efforts to collect from the 
                                borrower on any affected loan. The 
                                Secretary may continue to receive 
                                borrower payments of the loan for which 
                                the discharge application has been 
                                filed.
                                    ``(II) Unknown.--If the borrower's 
                                current address is unknown, the 
                                Secretary shall attempt to locate the 
                                borrower and determine the borrower's 
                                potential eligibility for a discharge 
                                described in subparagraph (A) by 
                                consulting with representatives of the 
                                closed institution, the institution's 
                                licensing agency, the institution's 
                                accrediting agency, and other 
                                appropriate parties. If the Secretary 
                                learns the new address of a borrower, 
                                the Secretary shall mail to the 
                                borrower a discharge application and 
                                explanation, and shall suspend 
                                collection on the loan, as described in 
                                subclause (I).
                            ``(iii) Sworn statement.--If a borrower 
                        fails to submit the written request and sworn 
                        statement described subparagraph (A) not later 
                        than 60 days after date on which the Secretary 
                        mails the discharge application under clause 
                        (ii), the Secretary--
                                    ``(I) shall resume collection on 
                                the loan and grant forbearance of 
                                principal and interest for the period 
                                in which collection activity was 
                                suspended; and
                                    ``(II) may capitalize any interest 
                                accrued and not paid during such 
                                period.
                            ``(iv) Notification.--
                                    ``(I) Qualifications met.--If the 
                                Secretary determines that a borrower 
                                who requests a discharge described in 
                                subparagraph (A) meets the 
                                qualifications for such a discharge, 
                                the Secretary shall--
                                            ``(aa) notify the borrower 
                                        in writing of that 
                                        determination; and
                                            ``(bb) not regard a 
                                        borrower who has defaulted on a 
                                        loan that has been so 
                                        discharged as in default on the 
                                        loan after such discharge, and 
                                        such a borrower shall be 
                                        eligible to receive assistance 
                                        under this title.
                                    ``(II) Qualifications not met.--If 
                                the Secretary determines that a 
                                borrower who requests a discharge 
                                described in subparagraph (A) does not 
                                meet the qualifications for such a 
                                discharge, the Secretary or guaranty 
                                agency shall resume collection on the 
                                loan and notify the borrower in writing 
                                of that determination and the reasons 
                                for the determination.
            ``(7) Borrower qualifications for a false certification 
        discharge.--
                    ``(A) Application.--
                            ``(i) In general.--In order to qualify for 
                        false certification discharge under this 
                        subsection, the borrower shall submit to the 
                        Secretary, on a form approved by the Secretary, 
                        an application for discharge that--
                                    ``(I) does not need not be 
                                notarized, but shall be made by the 
                                borrower under penalty of perjury; and
                                    ``(II) demonstrates to the 
                                satisfaction of the Secretary that the 
                                requirements in subparagraphs (B) 
                                through (G) have been met.
                            ``(ii) Notification.--If the Secretary 
                        determines the application does not meet the 
                        requirements of clause (i), the Secretary shall 
                        notify the applicant and explain why the 
                        application does not meet the requirements.
                    ``(B) High school diploma or equivalent.--In the 
                case of a borrower requesting a false certification 
                discharge based on not having had a high school diploma 
                and not having met the alternative to graduation from 
                high school eligibility requirements under section 
                484(d) applicable at the time the loan was originated, 
                and the institution or a third party to which the 
                institution referred the borrower falsified the 
                student's high school diploma, the borrower shall state 
                in the application that the borrower (or the student on 
                whose behalf a parent borrowed)--
                            ``(i) reported not having a valid high 
                        school diploma or its equivalent at the time 
                        the loan was certified; and
                            ``(ii) did not satisfy the alternative to 
                        graduation from high school statutory or 
                        regulatory eligibility requirements identified 
                        on the application form and applicable at the 
                        time the institution certified the loan.
                    ``(C) Disqualifying condition.--In the case of a 
                borrower requesting a false certification discharge 
                based on a condition that would disqualify the borrower 
                from employment in the occupation that the program for 
                which the borrower received the loan was intended, the 
                borrower shall state in the application that the 
                borrower (or student on whose behalf the parent 
                borrowed) did not meet State requirements for 
                employment (in the student's State of residence) in the 
                occupation that the program for which the borrower 
                received the loan was intended because of a physical or 
                mental condition, age, criminal record, or other reason 
                accepted by the Secretary.
                    ``(D) Unauthorized loan.--In the case of a borrower 
                requesting a discharge under this subsection because 
                the institution signed the borrower's name on the loan 
                application or promissory note without the borrower's 
                authorization, the borrower shall--
                            ``(i) state that the borrower did not sign 
                        the document in question or authorize the 
                        institution to do so; and
                            ``(ii) provide 5 different specimens of the 
                        borrower's signature, two of which must be 
                        within one year before or after the date of the 
                        contested signature.
                    ``(E) Unauthorized payment.--In the case of a 
                borrower requesting a false certification discharge 
                because the institution, without the borrower's 
                authorization, endorsed the borrower's loan check or 
                signed the borrower's authorization for electronic 
                funds transfer, the borrower shall--
                            ``(i) state that the borrower did not 
                        endorse the loan check or sign the 
                        authorization for electronic funds transfer or 
                        authorize the institution to do so;
                            ``(ii) provide 5 different specimens of the 
                        borrower's signature, two of which must be 
                        within one year before or after the date of the 
                        contested signature; and
                            ``(iii) state that the proceeds of the 
                        contested disbursement were not delivered to 
                        the borrower or applied to charges owed by the 
                        borrower to the institution.
                    ``(F) Identity theft.--
                            ``(i) In general.--In the case of an 
                        individual whose eligibility to borrow was 
                        falsely certified because the individual was a 
                        victim of the crime of identity theft and is 
                        requesting a discharge, the individual shall--
                                    ``(I) certify that the individual 
                                did not sign the promissory note, or 
                                that any other means of identification 
                                used to obtain the loan was used 
                                without the authorization of the 
                                individual claiming relief;
                                    ``(II) certify that the individual 
                                did not receive or benefit from the 
                                proceeds of the loan with knowledge 
                                that the loan had been made without the 
                                authorization of the individual;
                                    ``(III) provide a copy of a local, 
                                State, or Federal court verdict or 
                                judgment that conclusively determines 
                                that the individual who is named as the 
                                borrower of the loan was the victim of 
                                a crime of identity theft; and
                                    ``(IV) if the judicial 
                                determination of the crime does not 
                                expressly state that the loan was 
                                obtained as a result of the crime of 
                                identity theft, provide--
                                            ``(aa) authentic specimens 
                                        of the signature of the 
                                        individual, as described in 
                                        subparagraph (D)(ii), or of 
                                        other means of identification 
                                        of the individual, as 
                                        applicable, corresponding to 
                                        the means of identification 
                                        falsely used to obtain the 
                                        loan; and
                                            ``(bb) statement of facts 
                                        that demonstrate, to the 
                                        satisfaction of the Secretary, 
                                        that eligibility for the loan 
                                        in question was falsely 
                                        certified as a result of the 
                                        crime of identity theft 
                                        committed against that 
                                        individual.
                            ``(ii) Definitions.--For purposes of this 
                        subparagraph:
                                    ``(I) Identity theft.--The term 
                                `identity theft' means the unauthorized 
                                use of the identifying information of 
                                another individual that is punishable 
                                under section 1028, 1028A, 1029, or 
                                1030 of title 18, United States Code, 
                                or substantially comparable State or 
                                local law.
                                    ``(II) Identifying information.--
                                The term `identifying information' 
                                includes--
                                            ``(aa) name, Social 
                                        Security number, date of birth, 
                                        official State or government 
                                        issued driver's license or 
                                        identification number, alien 
                                        registration number, government 
                                        passport number, and employer 
                                        or taxpayer identification 
                                        number;
                                            ``(bb) unique biometric 
                                        data, such as fingerprints, 
                                        voiceprint, retina or iris 
                                        image, or unique physical 
                                        representation;
                                            ``(cc) unique electronic 
                                        identification number, address, 
                                        or routing code; or
                                            ``(dd) telecommunication 
                                        identifying information or 
                                        access device (as defined in 18 
                                        U.S.C. 1029(e)) borrower 
                                        qualifications for a false 
                                        certification discharge
                    ``(G) Claim to third party.--The borrower shall 
                state whether the borrower has made a claim with 
                respect to the institutions's false certification or 
                unauthorized payment with any third party, such as the 
                holder of a performance bond or a tuition recovery 
                program, and, if so, the amount of any payment received 
                by the borrower or credited to the borrower's loan 
                obligation.
                    ``(H) Cooperation with the secretary.--The borrower 
                shall state that the borrower--
                            ``(i) agrees to provide to the Secretary 
                        upon request other documentation reasonably 
                        available to the borrower that demonstrates 
                        that the borrower meets the qualifications for 
                        discharge under this subsection; and
                            ``(ii) agrees to cooperate with the 
                        Secretary in enforcement actions and to 
                        transfer any right to recovery against a third 
                        party to the Secretary.
            ``(8) Borrower qualifications for an unpaid refund 
        discharge.--To receive an unpaid refund discharge of a portion 
        of a loan under this subsection, a borrower shall submit to the 
        holder or guaranty agency a written application--
                    ``(A) that requests the information required to 
                calculate the amount of the discharge;
                    ``(B) that the borrower signs for the purpose of 
                swearing to the accuracy of the information;
                    ``(C) that is made by the borrower under penalty of 
                perjury, and that may or may not be notarized; and
                    ``(D) under which the borrower states--
                            ``(i) that the borrower--
                                    ``(I) received, on or after January 
                                1, 1986, the proceeds of a loan, in 
                                whole or in part, made, insured, or 
                                guaranteed under this title to attend 
                                an institution of higher education;
                                    ``(II) did not attend, withdrew, or 
                                was terminated from the institution 
                                within a timeframe that entitled the 
                                borrower to a refund; and
                                    ``(III) did not receive the benefit 
                                of a refund to which the borrower was 
                                entitled either from the institution or 
                                from a third party, such as the holder 
                                of a performance bond or a tuition 
                                recovery program;
                            ``(ii) whether the borrower has any other 
                        application for discharge pending for this 
                        loan; and
                            ``(iii) that the borrower--
                                    ``(I) agrees to provide to the 
                                Secretary upon request other 
                                documentation reasonably available to 
                                the borrower that demonstrates that the 
                                borrower meets the qualifications for 
                                discharge under this subsection; and
                                    ``(II) agrees to cooperate with the 
                                Secretary in enforcement actions and to 
                                transfer any right to recovery against 
                                a third party to the Secretary.''.

                  PART C--FEDERAL WORK-STUDY PROGRAMS

SEC. 441. PURPOSE; AUTHORIZATION OF APPROPRIATIONS.

    Section 441 (20 U.S.C. 1087-51) is amended--
            (1) in subsection (a)--
                    (A) by striking ``part-time'' and inserting 
                ``paid'';
                    (B) by striking ``, graduate, or professional''; 
                and
                    (C) by striking ``community service'' and inserting 
                ``work-based learning'';
            (2) in subsection (b), by striking ``part, such sums as may 
        be necessary for fiscal year 2009 and each of the five 
        succeeding fiscal years.'' and inserting ``part, $1,722,858,000 
        for fiscal year 2019 and each of the 5 succeeding fiscal 
        years.''; and
            (3) by amending subsection (c) to read as follows:
    ``(c) Work-Based Learning.--For purposes of this part, the term 
`work-based learning' means paid interactions with industry or 
community professionals in real workplace settings that foster in-
depth, first-hand engagement with the tasks required of a given career 
field, that are aligned to a student's field of study.''.

SEC. 442. ALLOCATION FORMULA.

    Section 442 (20 U.S.C. 1087-52) is amended to read as follows:

``SEC. 442. ALLOCATION OF FUNDS.

    ``(a) Reservations.--
            ``(1) Reservation for improved institutions.--
                    ``(A) Amount of reservation for improved 
                institutions.--For a fiscal year in which the amount 
                appropriated under section 441(b) exceeds $700,000,000, 
                the Secretary shall--
                            ``(i) reserve the lesser of--
                                    ``(I) an amount equal to 20 percent 
                                of the amount by which the amount 
                                appropriated under section 441(b) 
                                exceeds $700,000,000; or
                                    ``(II) $150,000,000; and
                            ``(ii) allocate the amount reserved under 
                        clause (i) to each improved institution in an 
                        amount--
                                    ``(I) that bears the same 
                                proportion to the amount reserved under 
                                clause (i) as the total amount of all 
                                Federal Pell Grant funds awarded at the 
                                improved institution for the second 
                                preceding fiscal year bears to the 
                                total amount of Federal Pell Grant 
                                funds awarded at improved institutions 
                                participating under this part for the 
                                second preceding fiscal year; and
                                    ``(II) is not--
                                            ``(aa) less than $10,000; 
                                        or
                                            ``(bb) greater than 
                                        $1,500,000.
                    ``(B) Improved institution described.--For purposes 
                of this paragraph, an improved institution is an 
                institution that, on the date the Secretary makes an 
                allocation under subparagraph (A)(ii) is, with respect 
                to--
                            ``(i) the completion rate or graduation 
                        rate of Federal Pell Grant recipients at the 
                        institution, in the top 10 percent of--
                                    ``(I) if the institution is an 
                                institution described in any of clauses 
                                (iv) through (ix) of section 
                                132(d)(1)(B), all such institutions 
                                participating under this part for the 
                                preceding fiscal year; or
                                    ``(II) if the institution is an 
                                institution described in any of clauses 
                                (i) through (iii) of section 
                                132(d)(1)(B), all such institutions 
                                participating under this part for the 
                                preceding fiscal year; or
                            ``(ii) the improvement of the completion 
                        rate or graduation rate between the preceding 
                        fiscal year and such date, in the top 10 
                        percent of the institutions described in clause 
                        (i).
                    ``(C) Completion rate or graduation rate.--For 
                purposes of determining the completion rate or 
                graduation rate under this section, a Federal Pell 
                Grant recipient shall be counted as a completor or 
                graduate if, within the normal time for completion of 
                or graduation from the program, the student has 
                completed or graduated from the program, or enrolled in 
                any program of an institution participating in any 
                program under this title for which the prior program 
                provides substantial preparation.
                    ``(D) Reallocation of returned amount.--If an 
                institution returns to the Secretary any portion of the 
                sums allocated to such institution under this paragraph 
                for any fiscal year, the Secretary shall reallot such 
                excess to improved institutions on the same basis as 
                under subparagraph (A)(ii)(I).
            ``(2) Reservation for work colleges.--From the amounts 
        appropriated under section 441(b), the Secretary shall reserve 
        to carry out section 448 such amounts as may be necessary for 
        fiscal year 2019 and each of the 5 succeeding fiscal years.
    ``(b) Allocation Formula for Fiscal Years 2019 Through 2023.--
            ``(1) In general.--From the amount appropriated under 
        section 441(b) for a fiscal year and remaining after the 
        Secretary reserves funds under subsection (a), the Secretary 
        shall allocate to each institution--
                    ``(A) for fiscal year 2019, an amount equal to the 
                greater of--
                            ``(i) 90 percent of the amount the 
                        institution received under this subsection and 
                        subsection (a) for fiscal year 2018, as such 
                        subsections were in effect with respect to such 
                        fiscal year (in this subparagraph referred to 
                        as the `2018 amount for the institution'); or
                            ``(ii) the fair share amount for the 
                        institution determined under subsection (d);
                    ``(B) for fiscal year 2020, an amount equal to the 
                greater of--
                            ``(i) 80 percent of the 2018 amount for the 
                        institution; or
                            ``(ii) the fair share amount for the 
                        institution determined under subsection (d);
                    ``(C) for fiscal year 2021, an amount equal to the 
                greater of--
                            ``(i) 60 percent of the 2018 amount for the 
                        institution; or
                            ``(ii) the fair share amount for the 
                        institution determined under subsection (d);
                    ``(D) for fiscal year 2022, an amount equal to the 
                greater of--
                            ``(i) 40 percent of the 2018 amount for the 
                        institution; or
                            ``(ii) the fair share amount for the 
                        institution determined under subsection (d); 
                        and
                    ``(E) for fiscal year 2023, an amount equal to the 
                greater of--
                            ``(i) 20 percent of the 2018 amount for the 
                        institution; or
                            ``(ii) the fair share amount for the 
                        institution determined under subsection (d).
            ``(2) Ratable reduction.--
                    ``(A) In general.--If the amount appropriated under 
                section 441(b) for a fiscal year and remaining after 
                the Secretary reserves funds under subsection (a) is 
                less than the amount required to be allocated to the 
                institutions under this subsection, then the amount of 
                the allocation to each institution shall be ratably 
                reduced.
                    ``(B) Additional appropriations.--If the amounts 
                allocated to each institution are ratably reduced under 
                subparagraph (A) for a fiscal year and additional 
                amounts are appropriated for such fiscal year, the 
                amount allocated to each institution from the 
                additional amounts shall be increased on the same basis 
                as the amounts under subparagraph (A) were reduced 
                (until each institution receives the amount required to 
                be allocated under this subsection).
    ``(c) Allocation Formula for Fiscal Year 2024 and Each Succeeding 
Fiscal Year.--From the amount appropriated under section 441(b) for 
fiscal year 2024 and each succeeding fiscal year and remaining after 
the Secretary reserves funds under subsection (a), the Secretary shall 
allocate to each institution the fair share amount for the institution 
determined under subsection (d).
    ``(d) Determination of Fair Share Amount.--
            ``(1) In general.--The fair share amount for an institution 
        for a fiscal year shall be equal to the sum of the following:
                    ``(A) An amount equal to 50 percent of the amount 
                that bears the same proportion to the available 
                appropriated amount for such fiscal year as the total 
                amount of Federal Pell Grant funds disbursed at the 
                institution for the preceding fiscal year bears to the 
                total amount of Federal Pell Grant funds awarded at all 
                institutions participating under this part for the 
                preceding fiscal year.
                    ``(B) An amount equal to 50 percent of the amount 
                that bears the same proportion to the available 
                appropriated amount for such fiscal year as the total 
                amount of the undergraduate student need at the 
                institution for the preceding fiscal year bears to the 
                total amount of undergraduate student need at all 
                institutions participating under this part for the 
                preceding fiscal year.
            ``(2) Definitions.--In this subsection:
                    ``(A) Available appropriated amount.--The term 
                `available appropriated amount' means--
                            ``(i) the amount appropriated under section 
                        441(b) for a fiscal year, minus
                            ``(ii) the amounts reserved under 
                        subsection (a) for such fiscal year.
                    ``(B) Average cost of attendance.--The term 
                `average cost of attendance' means, with respect to an 
                institution, the average of the attendance costs for a 
                fiscal year for students which shall include--
                            ``(i) tuition and fees, computed on the 
                        basis of information reported by the 
                        institution to the Secretary, which shall 
                        include--
                                    ``(I) total revenue received by the 
                                institution from undergraduate tuition 
                                and fees for the second year preceding 
                                the year for which it is applying for 
                                an allocation; and
                                    ``(II) the institution's enrollment 
                                for such second preceding year;
                            ``(ii) standard living expenses equal to 
                        150 percent of the difference between the 
                        income protection allowance for a family of 
                        five with one in college and the income 
                        protection allowance for a family of six with 
                        one in college for a single independent 
                        student; and
                            ``(iii) books and supplies, in an amount 
                        not exceeding $800.
                    ``(C) Undergraduate student need.--The term 
                `undergraduate student need' means, with respect to an 
                undergraduate student for a fiscal year, the lesser of 
                the following:
                            ``(i) The total of the amount equal to 
                        (except the amount computed by this clause 
                        shall not be less than zero)--
                                    ``(I) the average cost of 
                                attendance for the fiscal year, minus
                                    ``(II) the total amount of each 
                                such undergraduate student's expected 
                                family contribution (computed in 
                                accordance with part F of this title) 
                                for the preceding fiscal year.
                            ``(ii) $12,500.
    ``(e) Return of Surplus Allocated Funds.--
            ``(1) Amount returned.--If an institution returns more than 
        10 percent of its allocation under subsection (d), the 
        institution's allocation for the next fiscal year shall be 
        reduced by the amount returned.
            ``(2) Waiver.--The Secretary may waive this paragraph for a 
        specific institution if the Secretary finds that enforcing this 
        paragraph would be contrary to the interest of the program.
    ``(f) Filing Deadlines.--The Secretary shall, from time to time, 
set dates before which institutions must file applications for 
allocations under this part.''.

SEC. 443. GRANTS FOR FEDERAL WORK-STUDY PROGRAMS.

    Section 443 (20 U.S.C. 1087-53) is amended--
            (1) in subsection (b)--
                    (A) in paragraph (1), in the matter preceding 
                subparagraph (A), by striking ``part-time'';
                    (B) in paragraph (2), by striking ``except that--'' 
                and all that follows through ``an institution may use a 
                portion'' and inserting ``except that an institution 
                may use a portion'';
                    (C) in paragraph (3), by inserting 
                ``undergraduate'' after ``only'';
                    (D) in paragraph (4), by striking ``300'' and 
                inserting ``500'';
                    (E) in paragraph (5)--
                            (i) by striking ``shall not exceed 75 
                        percent'' and inserting ``shall not exceed 75 
                        percent in the first year after the date of the 
                        enactment of PROSPER Act, 65 percent in the 
                        first succeeding fiscal year, 60 percent in the 
                        second succeeding fiscal year, 55 percent in 
                        the third succeeding fiscal year, and 50 
                        percent each succeeding fiscal year'';
                            (ii) by striking subparagraph (A);
                            (iii) in subparagraph (B)--
                                    (I) by striking ``75'' and 
                                inserting ``50''; and
                                    (II) by striking the semicolon and 
                                inserting ``; and'';
                            (iv) by redesignating subparagraph (B) as 
                        subparagraph (A); and
                            (v) by adding at the end the following:
                    ``(B) the Federal share may equal 100 percent with 
                respect to funds received under section 
                442(a)(1)(A);'';
                    (F) in paragraph (8)--
                            (i) in subparagraph (A)(i), by striking 
                        ``vocational'' and inserting ``career''; and
                            (ii) in subparagraph (B), by striking 
                        ``community service'' and inserting ``work-
                        based learning'';
                    (G) in paragraph (10), by striking ``; and'' and 
                inserting a semicolon;
                    (H) in paragraph (11), by striking the period at 
                the end and inserting a semicolon; and
                    (I) by adding at the end the following:
            ``(12) provide assurances that the institution will collect 
        data from students and employers such that the employment made 
        available from funds under this part will, to the maximum 
        extent practicable, complement and reinforce the educational 
        goals or career goals of each student receiving assistance 
        under this part; and
            ``(13) provide assurances that if the institution receives 
        funds under section 442(a)(1)(A), such institution shall--
                    ``(A) use such funds to compensate students 
                participating in the work-study program; and
                    ``(B) prioritize the awarding of such funds to 
                students--
                            ``(i) who demonstrate exceptional need; or
                            ``(ii) who are employed in work-based 
                        learning opportunities through the work-study 
                        program.'';
            (2) in subsection (c)--
                    (A) in paragraph (1)--
                            (i) by striking ``program of part-time 
                        employment'' and inserting the following: 
                        ``program--
                    ``(A) of employment''; and
                            (ii) by inserting ``or'' after ``subsection 
                        (b)(3);''; and
                            (iii) by adding at the end the following:
                    ``(B) of full-time employment of its cooperative 
                education students in work for a private for-profit 
                organization under an arrangement between the 
                institution and such organization that complies with 
                the requirements of subparagraphs (A) through (D) of 
                subsection (b)(1) of this section and subsection (b)(4) 
                of this section;'';
                    (B) by striking paragraph (2);
                    (C) in paragraph (4), by inserting ``and complement 
                and reinforce the educational goals or career goals of 
                each student receiving assistance under this part'' 
                after ``relevant''; and
                    (D) by redesignating paragraphs (3), (4), and (5) 
                as paragraphs (2), (3), and (4), respectively; and
            (3) in subsection (d)--
                    (A) in paragraph (1)--
                            (i) by striking ``In any academic year to 
                        which subsection (b)(2)(A) applies, an 
                        institution shall ensure that'' and inserting 
                        ``An institution may use the''; and
                            (ii) by striking ``are used''; and
                    (B) in paragraph (3), by striking ``may exceed 75 
                percent'' and inserting ``shall not exceed 50 
                percent''.

SEC. 444. FLEXIBLE USE OF FUNDS.

    Section 445(a) (20 U.S.C. 1087-55(a)) is amended--
            (1) in paragraph (2), by striking ``in the same State'' and 
        inserting ``described under section 442(a)(1)(B)''; and
            (2) by adding at the end the following new paragraph:
    ``(3) In addition to the carry-over sums authorized under paragraph 
(1) of this section, an institution may permit a student who completed 
the previous award period to continue to earn unearned portions of the 
student's work-study award from that previous year if--
            ``(A) any reduction in the student's need upon which the 
        award was based is accounted for in the remaining portion; and
            ``(B) the student is currently employed in a work-based 
        learning position.''.

SEC. 445. JOB LOCATION AND DEVELOPMENT PROGRAMS.

    Section 446 (20 U.S.C. 1087-56) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1)--
                            (i) by striking ``10 percent or $75,000'' 
                        and inserting ``20 percent or $150,000''; and
                            (ii) by striking ``, including community 
                        service jobs,''; and
                    (B) in paragraph (2), by striking ``vocational'' 
                and inserting ``career''; and
            (2) in subsection (b)--
                    (A) by striking paragraph (2);
                    (B) by redesignating paragraphs (3) through (6) as 
                paragraphs (4) through (7), respectively; and
                    (C) by inserting before paragraph (4) the 
                following:
            ``(2) provide satisfactory assurance that the institution 
        will prioritize placing students with the lowest expected 
        family contribution and Federal work-study recipients in jobs 
        located and developed under this section;
            ``(3) provide a satisfactory assurance that the institution 
        will locate and develop work-based learning opportunities 
        through the job location development programs;''; and
                    (D) in paragraph (7), by striking the period and 
                inserting ``, including--
                    ``(A) the number of students employed in work-based 
                learning opportunities through such program;
                    ``(B) the number of students demonstrating 
                exceptional need and employed in a work-study program 
                through such program; and
                    ``(C) the number of students demonstrating 
                exceptional need and employed in work-based learning 
                opportunities through such program.''.

SEC. 446. COMMUNITY SERVICE.

    Section 447 (20 U.S.C. 1087-57) is repealed.

SEC. 447. WORK COLLEGES.

    Section 448 (20 U.S.C. 1087-58) is amended--
            (1) in subsection (b)--
                    (A) in paragraph (1)--
                            (i) by striking ``and part E''; and
                            (ii) by striking ``appropriated'' and 
                        inserting ``allocated'';
                    (B) in paragraph (2), by striking ``appropriated 
                pursuant to'' and inserting ``allocated under'';
            (2) in subsection (c), by striking ``authorized by'' and 
        inserting ``allocated under'';
            (3) in subsection (e)(1)--
                    (A) in subparagraph (C), by striking ``; and'' and 
                inserting a semicolon; and
                    (B) by adding at the end the following:
                    ``(E) has administered Federal work-study for at 
                least 2 years; and''; and
            (4) by amending subsection (f) to read as follows:
    ``(f) Allocation of Reserved Funds.--
            ``(1) In general.--Subject to paragraph (2), from the 
        amount reserved under section 442(a)(2) for a fiscal year to 
        carry out this section, the Secretary shall allocate to each 
        work college that submits an application under subsection (c) 
        an amount equal to the amount that bears the same proportion to 
        the amount appropriated for such fiscal year as the number of 
        students eligible for employment under a work-study program 
        under this part who are enrolled at the work college bears to 
        the total number of students eligible for employment under a 
        work-study program under this part who are enrolled at all work 
        colleges.
            ``(2) Reallotment of unmatched funds.--If a work college is 
        unable to match funds received under paragraph (1) in 
        accordance with subsection (d), any unmatched funds shall be 
        returned to the Secretary and the Secretary shall reallot such 
        funds on the same basis as funds are allocated under paragraph 
        (1).''.

              PART D--FEDERAL DIRECT STUDENT LOAN PROGRAM

SEC. 451. TERMINATION OF FEDERAL DIRECT LOAN PROGRAM UNDER PART D AND 
              OTHER CONFORMING AMENDMENTS.

    (a) Appropriations.--Section 451 (20 U.S.C. 1087a) is amended--
            (1) in subsection (a), by adding at the end the following: 
        ``No sums may be expended after September 30, 2024, with 
        respect to loans under this part for which the first 
        disbursement is after such date.''; and
            (2) by adding at the end, the following:
    ``(c) Termination of Authority To Make New Loans.--Notwithstanding 
subsection (a) or any other provision of law--
            ``(1) no new loans may be made under this part after 
        September 30, 2024; and
            ``(2) no funds are authorized to be appropriated, or may be 
        expended, under this Act, or any other Act to make loans under 
        this part for which the first disbursement is after September 
        30, 2024,
except as expressly authorized by an Act of Congress enacted after the 
date of enactment of the PROSPER Act.
    ``(d) Student Eligibility Beginning With Award Year 2019.--
            ``(1) New borrowers.--No loan may be made under this part 
        to a new borrower for which the first disbursement is after 
        June 30, 2019.
            ``(2) Borrowers with outstanding balances.--Subject to 
        paragraph (3), with respect to a borrower who, as of July 1, 
        2019, has an outstanding balance of principal or interest owing 
        on a loan made under this part, such borrower may--
                    ``(A) in the case of such a loan made to the 
                borrower for enrollment in a program of undergraduate 
                education, borrow loans made under this part for any 
                program of undergraduate education through the close of 
                September 30, 2024;
                    ``(B) in the case of such a loan made to the 
                borrower for enrollment in a program of graduate or 
                professional education, borrow loans made under this 
                part for any program of graduate or professional 
                education through the close of September 30, 2024; and
                    ``(C) in the case of such a loan made to the 
                borrower on behalf of a dependent student for the 
                student's enrollment in a program of undergraduate 
                education, borrow loans made under this part on behalf 
                of such student through the close of September 30, 
                2024.
            ``(3) Loss of eligibility.--A borrower described in 
        paragraph (2) who borrows a loan made under part E for which 
        the first disbursement is made on or after July 1, 2019, shall 
        lose the borrower's eligibility to borrow loans made under this 
        part in accordance with paragraph (2).''.
    (b) Perkins Loan Conforming Amendment.--Section 453(c)(2)(A) (20 
U.S.C. 1087c(c)(2)(A)) is amended by inserting ``, as in effect on the 
day before the date of enactment of the PROSPER Act and pursuant to 
subsection 461(a),'' after ``part E''.
    (c) Applicable Interest Rates and Other Terms and Conditions.--
Section 455 (20 U.S.C. 1087e) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by inserting ``, and first 
                disbursed before October 1, 2024,'' after ``under this 
                part''; and
                    (B) in paragraph (2), by inserting ``, and first 
                disbursed before October 1, 2024,'' after ``under this 
                part'';
            (2) in subsection (b)(8)--
                    (A) in the section heading, by inserting ``and 
                before october 1, 2024'' after ``2013'';
                    (B) in subparagraph (A), by inserting ``and before 
                October 1, 2024,'' after ``July 1, 2013,'';
                    (C) in subparagraph (B), by inserting ``and before 
                October 1, 2024,'' after ``July 1, 2013,'';
                    (D) in subparagraph (C), by inserting ``and before 
                October 1, 2024,'' after ``July 1, 2013,''; and
                    (E) in subparagraph (D), by inserting ``and before 
                October 1, 2024,'' after ``July 1, 2013,'';
            (3) in subsection (c)(2)(E), by inserting ``, and before 
        October 1, 2024'' after ``July 1, 2010'';
            (4) in subsection (e)(7), in the matter preceding 
        subparagraph (A), by inserting ``, as in effect on the day 
        before the date of enactment of the PROSPER Act and pursuant to 
        subsection 461(a)'' after ``part E'';
            (5) in subsection (g)--
                    (A) by inserting ``, and first disbursed before 
                October 1, 2024,'' after ``under this part''; and
                    (B) by adding at the end the following: ``The 
                authority to make consolidation loans under this 
                subsection expires at the close of September 30, 2024. 
                No loan may be made under this subsection for which the 
                disbursement is on or after October 1, 2024.''; and
            (6) in subsection (o)--
                    (A) in paragraph (1), by inserting ``, and before 
                October 1, 2024,'' after ``October 1, 2008''; and
                    (B) in paragraph (2)--
                            (i) by inserting ``and before October 1, 
                        2024,'' after ``October 1, 2008,''; and
                            (ii) by inserting ``, and before October 1, 
                        2024'' after ``October 1, 2008''.

SEC. 452. BORROWER DEFENSES.

    Section 455(h) (20 U.S.C. 1087e(h)) is amended to read as follows:
    ``(h) Borrower Defenses.--
            ``(1) In general.--In any proceeding to collect on a loan 
        made under this part to a borrower, the Secretary shall abide 
        by the following:
                    ``(A) In no event may the borrower recover any 
                amount previously collected or be freed of amounts owed 
                to the Secretary without submitting an individually-
                filed application for approval.
                    ``(B) In no event may the borrower recover amounts 
                previously collected by the Secretary, in any action 
                arising from or relating to a loan made under this 
                part, in an amount in excess of the amount that has 
                been paid by the borrower on such loan.
                    ``(C) In no event may the borrower recover amounts 
                previously collected by the Secretary later than 3 
                years after the misconduct or breach of contract on 
                behalf of the institution takes place that gives rise 
                to the borrower to assert a defense to repayment of the 
                loan.
                    ``(D) In no event may anyone other than an 
                administrative law judge or its equivalent preside over 
                hearings of any kind related to applications submitted 
                under this subsection.
                    ``(E) In no event may the Secretary approve or 
                disapprove the borrower's application under this 
                subsection without allowing for the equal consideration 
                of evidence and arguments presented by a representative 
                on behalf of the student or students and a 
                representative on behalf of the institution, if either 
                such party makes a request.
                    ``(F) In no event may the Secretary withhold from 
                an institution any materials, facts, or evidence used 
                when processing an application submitted by the 
                borrower.
                    ``(G) In no event may the borrower of a loan made, 
                insured or guaranteed under this title (other than a 
                loan made under this part or a Federal ONE Loan) submit 
                an application under this subsection without 
                consolidating the loans of the borrower into a Federal 
                ONE Consolidation Loan.
            ``(2) Borrower application requirements.--
                    ``(A) In general.--An application submitted by a 
                borrower under this subsection to the Secretary shall--
                            ``(i) certify the borrower's receipt of 
                        loan proceeds, in whole or in part, to attend 
                        the named institution of higher education;
                            ``(ii) provide evidence described in 
                        subparagraph (B) that supports a borrower 
                        defense to repayment of the loan; and
                            ``(iii) indicate whether the borrower has 
                        made a claim with respect to the information 
                        underlying the borrower defense with any third 
                        party and, if so, the amount of any payment 
                        received by the borrower or credited to the 
                        borrower's loan obligation.
                    ``(B) Evidence.--The borrower has a borrower 
                defense if--
                            ``(i) the borrower, whether as an 
                        individual or as a member of a class, or a 
                        governmental agency, has obtained against the 
                        institution of higher education a nondefault, 
                        favorable contested judgment based on State or 
                        Federal law in a court or administrative 
                        tribunal of competent jurisdiction;
                            ``(ii) the institution of higher education 
                        for which the borrower received the loan made 
                        under this part failed to perform its 
                        obligations under the terms of a contract with 
                        the student; or
                            ``(iii) the institution of higher education 
                        described in clause (ii) or any of its 
                        representatives engaged directly in marketing, 
                        recruitment or admissions activities, or any 
                        other institution of higher education, 
                        organization, or person with whom such 
                        institution has an agreement to provide 
                        educational programs, or to provide marketing, 
                        advertising, recruiting, or admissions 
                        services, made a substantial misrepresentation 
                        within the meaning of section 
                        487(c)(3)(B)(i)(II) that the borrower 
                        reasonably relied on when the borrower decided 
                        to attend, or to continue attending, such 
                        institution.
            ``(3) Secretarial notification requirements.--
                    ``(A)  Receipt of application.--Upon receipt of a 
                borrower's application, the Secretary--
                            ``(i) if the borrower is not in default on 
                        the loan for which a borrower defense has been 
                        asserted, shall grant a forbearance and notify 
                        the borrower of the option to decline the 
                        forbearance and to continue making payments on 
                        the loan;
                            ``(ii) if the borrower is in default on the 
                        loan for which a borrower defense has been 
                        asserted--
                                    ``(I) shall suspend collection 
                                activity on the loan until the 
                                Secretary issues a decision on the 
                                borrower's claim;
                                    ``(II) shall notify the borrower of 
                                the suspension of collection activity 
                                and explain that collection activity 
                                will resume if the Secretary determines 
                                that the borrower does not qualify for 
                                a full discharge; and
                                    ``(III) shall notify the borrower 
                                of the option to continue making 
                                payments under a rehabilitation 
                                agreement or other repayment agreement 
                                on the defaulted loan; and
                            ``(iii) shall to the extent possible, 
                        notify the institutions against which the 
                        application is filed, which notification shall 
                        include--
                                    ``(I) the reasons that the 
                                application has been filed; and
                                    ``(II) the amount of relief 
                                requested.
                    ``(B) Approved application.--If a borrower's 
                application is approved in full or in part, the 
                Secretary shall--
                            ``(i) notify the borrower and the 
                        institution in writing of that determination 
                        and of the relief provided; and
                            ``(ii) inform the institution of the 
                        opportunity to request a one-time 
                        reconsideration of the claim in the application 
                        if new evidence that was not previously 
                        provided can be identified.
                    ``(C) Application not approved.--If a borrower's 
                application is not approved in full or in part, the 
                Secretary--
                            ``(i) shall notify the borrower and the 
                        institution of the reasons for the denial, the 
                        evidence that was relied upon, any portion of 
                        the loan that is due and payable to the 
                        Secretary, whether the Secretary will reimburse 
                        any amounts previously collected, and inform 
                        the borrower that the loan will return to its 
                        status prior to the borrower's submission of 
                        the application; and
                            ``(ii) shall inform the borrower of the 
                        opportunity to request a one-time 
                        reconsideration of the claim in the application 
                        if new evidence that was not previously 
                        provided can be identified.
                    ``(D) Consolidation.--During a proceeding for an 
                individual borrower, the Secretary may consolidate 
                individually-filed applications that have common facts 
                and claims and resolve the borrowers' borrower defense 
                claims for faster processing.
                    ``(E) New evidence defined.--For purposes of this 
                paragraph, the term `new evidence' means relevant 
                evidence that the borrower or the institution did not 
                previously provide and that was not identified in the 
                final decision as evidence that was relied upon for the 
                final decision. If accepted for reconsideration by the 
                Secretary, the Secretary shall follow the procedure 
                under this paragraph.
            ``(4) Calculation of relief.--The Secretary shall determine 
        the appropriate method for calculating the amount of relief to 
        be awarded to a borrower as a result of a proceeding described 
        in this subsection based on the materials, facts, and evidence 
        presented during the proceeding.
            ``(5) Further relief.--The Secretary may afford the 
        borrower such further relief as the Secretary determines is 
        appropriate under the circumstances, but which shall not exceed 
        the following:
                    ``(A) Reimbursing the borrower for amounts paid 
                toward the loan voluntarily or through enforced 
                collection.
                    ``(B) Restoring eligibility for assistance under 
                this title after determining that the borrower is not 
                in default on the loan.
                    ``(C) Updating reports to consumer reporting 
                agencies to which the Secretary previously made adverse 
                credit reports with regard to a loan made under this 
                part.
            ``(6) Recovery.--
                    ``(A) In general.--The Secretary may initiate an 
                appropriate proceeding to require the institution of 
                higher education whose act or omission resulted in the 
                borrower's successful defense against repayment of a 
                loan made under this part to pay to the Secretary the 
                amount of the loan to which the defense applies not 
                later than 3 years from the end of the last award year 
                in which the student attended the institution.
                    ``(B) Notice.--The Secretary may initiate a 
                proceeding to collect at any time if the institution 
                received notice of the claim before the end of the 
                later of the periods described in subparagraph (A). For 
                purposes of this subparagraph, notice includes receipt 
                of--
                            ``(i) actual notice from the borrower, from 
                        a representative of the borrower, or from the 
                        Department;
                            ``(ii) a class action complaint asserting 
                        relief for a class that may include the 
                        borrower; or
                            ``(iii) written notice, including a civil 
                        investigative demand or other written demand 
                        for information, from a Federal or State agency 
                        that has power to initiate an investigation 
                        into conduct of the institution of higher 
                        education relating to specific programs, 
                        periods, or practices that may have affected 
                        the borrower.''.

SEC. 453. ADMINISTRATIVE EXPENSES.

    Section 458(a) (20 U.S.C. 1087h)--
            (1) in paragraph (3)--
                    (A) by striking ``2007'' each place it appears and 
                inserting ``2019'';
                    (B) by striking ``2014'' each place it appears and 
                inserting ``2024''; and
                    (C) by striking ``part and part B, including the 
                costs of the direct student loan programs under this 
                part'' and inserting ``title'';
            (2) in paragraph (6)--
                    (A) in subparagraph (B), by striking ``2010'' and 
                inserting ``2019''; and
                    (B) in subparagraph (C), by striking ``training'' 
                and inserting ``education'';
            (3) by striking paragraph (7); and
            (4) by redesignating paragraph (8) as paragraph (7).

SEC. 454. LOAN CANCELLATION FOR TEACHERS.

    Section 460(b)(1)(A) (20 U.S.C. 1087j(b)(1)(A)) is amended by 
striking ``that qualifies under section 465(a)(2)(A) for loan 
cancellation for Perkins loan recipients who teach in such schools or 
locations'' and inserting ``described in section 420N(b)(1)(B)''.

                       PART E--FEDERAL ONE LOANS

SEC. 461. WIND-DOWN OF FEDERAL PERKINS LOAN PROGRAM.

    (a) In General.--Except as otherwise provided in this section and 
notwithstanding section 462, the provisions of part E of title IV of 
the Higher Education Act of 1965 (20 U.S.C. 1087aa et seq.), as in 
effect on the day before the date of enactment of this Act, are deemed 
to be incorporated in this subsection as though set forth fully in this 
subsection, and shall have the same force and effect as on such day.
    (b) Close-Out Audits.--
            (1) In general.--In the case of an institution of higher 
        education that desires to have a final audit of its 
        participation under the program under part E of title IV of the 
        Higher Education Act of 1965 (20 U.S.C. 1087aa et seq.), as in 
        effect pursuant to subsection (a), at the same time as its 
        annual financial and compliance audit under section 487(c) of 
        such Act (20 U.S.C. 1094(c)), such institution shall submit to 
        the Secretary a request, in writing, for such an arrangement 
        not later than 60 days after the institution terminates its 
        participation under such program.
            (2) Termination of participation.--For purposes of this 
        subsection, an institution shall be considered to have 
        terminated its participation under the program described in 
        paragraph (1), if the institution--
                    (A)(i) has made a determination not to service and 
                collect student loans made available from funds under 
                part E of title IV of the Higher Education Act of 1965 
                (20 U.S.C. 1087aa et seq.), as in effect pursuant to 
                subsection (a); or
                    (ii) has completed the servicing and collection of 
                such student loans; and
                    (B) has completed the asset distribution required 
                under section 466(b) of the Higher Education Act of 
                1965 (20 U.S.C. 1087ff(b)), as in effect pursuant to 
                subsection (a).
    (c) Collection of Interest on Certain Student Loans.--In the case 
of an institution of higher education that, on or after October 1, 
2006, loaned an amount to its student loan fund established under part 
E of title IV of the Higher Education Act of 1965 (20 U.S.C. 1087aa et 
seq.), as in effect pursuant to subsection (a), for the purpose of 
making student loans from such fund, and that, before the date of 
enactment of this Act, has repaid to itself the amount loaned to such 
student loan fund, the institution shall collect any interest earned on 
such student loans.
    (d) Assignment of Loans to Secretary.--Notwithstanding the 
requirements of section 463(a)(5) of the Higher Education Act of 1965 
(20 U.S.C. 1087cc(a)(5)), as in effect pursuant to subsection (a), if 
an institution of higher education determines not to service and 
collect student loans made available from funds under part E of such 
Act (20 U.S.C. 1087aa et seq.), as so in effect--
            (1) the institution shall assign, during the repayment 
        period, any notes or evidence of obligations of student loans 
        made from such funds to the Secretary; and
            (2) the Secretary shall deposit any sums collected on such 
        notes or obligations (less an amount not to exceed 30 percent 
        of any such sums collected to cover that Secretary's collection 
        costs) into the Treasury of the United States.
    (e) Closed School Discharge.--The amendments made by section 427 to 
section 437(c) of the Higher Education Act of 1965 (20 U.S.C. 1087), 
relating to closed school discharge, shall apply with respect to any 
loans discharged on or after the date of enactment of this Act under 
section 464(g) of such Act (20 U.S.C. 10877dd(g)), as in effect 
pursuant to subsection (a)).

SEC. 462. FEDERAL ONE LOAN PROGRAM.

    Part E of title IV (20 U.S.C. 1087aa et seq.) is amended to read as 
follows:

``SEC. 461. PROGRAM AUTHORITY.

    ``(a) In General.--There are hereby made available, in accordance 
with the provisions of this part, such sums as may be necessary to make 
loans to all eligible students (and the eligible parents of such 
students) in attendance at participating institutions of higher 
education selected by the Secretary to enable such students to pursue 
their courses of study at such institutions during the period beginning 
July 1, 2019. Loans made under this part shall be made by participating 
institutions that have agreements with the Secretary to originate 
loans.
    ``(b) Designation.--The program established under this part shall 
be referred to as the `Federal ONE Loan Program'.
    ``(c) ONE Loans.--Except as otherwise specified in this part, loans 
made to borrowers under this part shall be known as `Federal ONE 
Loans'.

``SEC. 462. FUNDS FOR THE ORIGINATION OF ONE LOANS.

    ``(a) In General.--The Secretary shall provide, on the basis of 
eligibility of students at each participating institution, and parents 
of such students, for such loans, funds for student and Parent Loans 
under this part directly to an institution of higher education that has 
an agreement with the Secretary under section 464(a) to participate in 
the Federal ONE Loan Program under this part and that also has an 
agreement with the Secretary under section 464(b) to originate loans 
under this part.
    ``(b) Parallel Terms.--Subsections (b), (c), and (d) of section 452 
shall apply to the loan program under this part in the same manner that 
such subsections apply to the loan program under part D.

``SEC. 463. SELECTION OF INSTITUTIONS FOR PARTICIPATION AND 
              ORIGINATION.

    ``(a) General Authority.--The Secretary shall enter into agreements 
pursuant to section 464(a) with institutions of higher education to 
participate in the Federal ONE Loan Program under this part, and 
agreements pursuant to section 464(b) with institutions of higher 
education, to originate loans in such program, for academic years 
beginning on or after July 1, 2019. Such agreements for the academic 
year 2019-2020 shall, to the extent feasible, be entered into not later 
than January 1, 2019.
    ``(b) Selection Criteria and Procedure.--The application and 
selection procedure for an institution of higher education desiring to 
participate in the loan program under this part shall be the 
application and selection procedure described in section 453(b) for an 
institution of higher education desiring to participate in the loan 
program under part D.
    ``(c) Eligible Institutions.--The Secretary may not select an 
institution of higher education for participation under this part 
unless such institution is an eligible institution under section 
487(a).

``SEC. 464. AGREEMENTS WITH INSTITUTIONS.

    ``(a) Participation Agreements.--An agreement with any institution 
of higher education for participation in the Federal ONE Loan Program 
under this part shall--
            ``(1) provide for the establishment and maintenance of a 
        direct student loan program at the institution under which the 
        institution will--
                    ``(A) identify eligible students who seek student 
                financial assistance at such institution in accordance 
                with section 484;
                    ``(B) provide a statement that certifies the 
                eligibility of any student to receive a loan under this 
                part that is not in excess of the annual or aggregate 
                limit applicable to such loan, except that the 
                institution may, in exceptional circumstances 
                identified by the Secretary pursuant to section 
                454(a)(1)(C), refuse to certify a statement that 
                permits a student to receive a loan under this part, if 
                the reason for such action is documented and provided 
                in written form to such student;
                    ``(C) set forth a schedule for disbursement of the 
                proceeds of the loan in installments, consistent with 
                the requirements of section 465(a); and
                    ``(D) provide timely and accurate information, 
                concerning the status of student borrowers (and 
                students on whose behalf parents borrow under this 
                part) while such students are in attendance at the 
                institution and concerning any new information of which 
                the institution becomes aware for such students (or 
                their parents) after such borrowers leave the 
                institution, to the Secretary for the servicing and 
                collecting of loans made under this part;
            ``(2) provide assurances that the institution will comply 
        with requirements established by the Secretary relating to 
        student loan information with respect to loans made under this 
        part;
            ``(3) provide that the institution accepts responsibility 
        and financial liability stemming from its failure to perform 
        its functions pursuant to the agreement;
            ``(4) provide for the implementation of a quality assurance 
        system, as established by the Secretary and developed in 
        consultation with institutions of higher education, to ensure 
        that the institution is complying with program requirements and 
        meeting program objectives; and
            ``(5) provide that the institution will not charge any fees 
        of any kind, however described, to student or parent borrowers 
        for origination activities or the provision of any information 
        necessary for a student or parent to receive a loan under this 
        part, or any benefits associated with such loan.
    ``(b) Origination.--An agreement with any institution of higher 
education for the origination of loans under this part shall--
            ``(1) supplement the agreement entered into in accordance 
        with subsection (a);
            ``(2) include provisions established by the Secretary that 
        are similar to the participation agreement provisions described 
        in paragraphs (2), (3), (4), and (5) of subsection (a), as 
        modified to relate to the origination of loans by the 
        institution;
            ``(3) provide that the institution will originate loans to 
        eligible students and parents in accordance with this part; and
            ``(4) provide that the note or evidence of obligation on 
        the loan shall be the property of the Secretary.
    ``(c) Withdrawal Procedures.--
            ``(1) In general.--An institution of higher education 
        participating in the Federal ONE Loan Program under this part 
        may withdraw from the program by providing written notice to 
        the Secretary of the intent to withdraw not less than 60 days 
        before the intended date of withdrawal.
            ``(2) Date of withdrawal.--Except in cases in which the 
        Secretary and an institution of higher education agree to an 
        earlier date, the date of withdrawal from the Federal ONE Loan 
        Program under this part of an institution of higher education 
        shall be the later of--
                    ``(A) 60 days after the institution submits the 
                notice required under paragraph (1); or
                    ``(B) a date designated by the institution.

``SEC. 465. DISBURSEMENT OF STUDENT LOANS, LOAN LIMITS, INTEREST RATES, 
              AND LOAN FEES.

    ``(a) Requirements for Disbursement of Student Loans.--
            ``(1) Multiple disbursement required.--
                    ``(A) Required disbursements.--The proceeds of any 
                loan made under this part that is made for any period 
                of enrollment shall be disbursed as follows:
                            ``(i) The disbursement of the first 
                        installment of proceeds shall, with respect to 
                        any student other than a student described in 
                        subparagraph (B)(i), be made not more than 30 
                        days prior to the beginning of the period of 
                        enrollment, and not later than 30 days after 
                        the beginning of such period of enrollment.
                            ``(ii) The disbursement of an installment 
                        of proceeds shall be made in substantially 
                        equal monthly or weekly installments over the 
                        period of enrollment for which the loan was 
                        made, except that installments may be unequal 
                        as necessary to permit the institution to 
                        adjust for unequal costs (which may include 
                        upfront costs such as tuition and fees) 
                        incurred or estimated financial assistance 
                        received by the student.
                    ``(B) First-year students.--
                            ``(i) In general.--The first installment of 
                        the proceeds of any loan made under this part 
                        that is made to a student borrower who is 
                        entering the first year of a program of 
                        undergraduate education, and who has not 
                        previously obtained a loan under this part, 
                        shall not (regardless of the amount of such 
                        loan or the duration of the period of 
                        enrollment) be presented by the institution of 
                        higher education to the student for endorsement 
                        until 30 days after the borrower begins a 
                        course of study, but may be delivered to the 
                        eligible institution prior to the end of that 
                        30-day period.
                            ``(ii) Exemption.--An institution of higher 
                        education in which each educational program has 
                        a loan repayment rate (as determined under 
                        section 481B(c)) for the most recent fiscal 
                        year for which data are available that is 
                        greater than 60 percent shall be exempt from 
                        the requirements of clause (i).
            ``(2) Withdrawing of succeeding disbursements.--
                    ``(A) Withdrawing students.--In the case in which 
                the Secretary is informed by the borrower or the 
                institution that the borrower has ceased to be enrolled 
                before the disbursement of the second or any succeeding 
                installment, the Secretary shall withhold such 
                disbursement. Any disbursement which is so withheld 
                shall be credited to the borrower's loan and treated as 
                a prepayment on the principal of the loan.
                    ``(B) Students receiving over-awards.--If the sum 
                of a disbursement for any borrower and the other 
                financial aid obtained by borrower exceeds the amount 
                of assistance for which the borrower is eligible under 
                this title, the institution the borrower, or dependent 
                student, in the case of a parent borrower, is attending 
                shall withhold and return to the Secretary the portion 
                (or all) of such installment that exceeds such eligible 
                amount, except that overawards permitted pursuant to 
                section 443(b)(4) shall not be construed to be 
                overawards for purposes of this subparagraph. Any 
                portion (or all) of a disbursement installment which is 
                so returned shall be credited to the borrower's loan 
                and treated as a prepayment on the principal of the 
                loan.
            ``(3) Exclusion of consolidation and foreign study loans.--
        The provisions of this subsection shall not apply in the case 
        of a Federal ONE Consolidation Loan, or a loan made to a 
        student to cover the cost of attendance in a program of study 
        abroad approved by the home eligible institution if each of the 
        educational programs of such home eligible institution has a 
        loan repayment rate (as calculated under section 481B(c)) for 
        the most recent fiscal year for which data are available of 
        greater than 70 percent.
            ``(4) Beginning of period of enrollment.--For purposes of 
        this subsection, a period of enrollment begins on the first day 
        that classes begin for the applicable period of enrollment.
    ``(b) Amount of Loan.--
            ``(1) In general.--The determination of the amount of a 
        loan disbursed by an eligible institution under this section 
        shall be the lesser of--
                    ``(A) an amount that is equal to the estimated loan 
                amount, as determined by the institution by 
                calculating--
                            ``(i) the estimated cost of attendance at 
                        the institution, minus
                            ``(ii)(I) any estimated financial 
                        assistance reasonably available to such 
                        student, including assistance that the student 
                        will receive from a Federal grant, including a 
                        Federal Pell Grant, a State grant, an 
                        institutional grant, or a scholarship or grant 
                        from another source, that is known to the 
                        institution at the time the student's 
                        determination of need is made; and
                                    ``(II) in the case of a loan to a 
                                parent, the amount of a loan awarded 
                                under this part to the parent's child; 
                                or
                    ``(B) the maximum Federal loan amount for which 
                such borrower is eligible in accordance with paragraph 
                (2).
            ``(2) Loan limits.--
                    ``(A) Annual limits.--Except as provided under 
                subparagraph (B), (C), or (D), the amount of loans made 
                under this part that an eligible student or parent 
                borrower may borrow for an academic year shall be as 
                follows:
                            ``(i) Undergraduate students.--With respect 
                        to enrollment in a program of undergraduate 
                        education at an eligible institution--
                                    ``(I) in the case of a dependent 
                                student--
                                            ``(aa) who has not 
                                        successfully completed the 
                                        first year of a program of 
                                        undergraduate education, 
                                        $7,500;
                                            ``(bb) who has successfully 
                                        completed such first year but 
                                        has not successfully completed 
                                        the remainder of a program of 
                                        undergraduate education, 
                                        $8,500; and
                                            ``(cc) who has successfully 
                                        completed the first and second 
                                        years of a program of 
                                        undergraduate education but has 
                                        not successfully completed the 
                                        remainder of such program, 
                                        $9,500;
                                    ``(II) in the case of an 
                                independent student, or a dependent 
                                student whose parents are unable to 
                                borrow a loan under this part on behalf 
                                of such student--
                                            ``(aa) who has not 
                                        successfully completed the 
                                        first year of a program of 
                                        undergraduate education, 
                                        $11,500;
                                            ``(bb) who has successfully 
                                        completed such first year but 
                                        has not successfully completed 
                                        the remainder of a program of 
                                        undergraduate education, 
                                        $12,500; and
                                            ``(cc) who has successfully 
                                        completed the first and second 
                                        years of a program of 
                                        undergraduate education but has 
                                        not successfully completed the 
                                        remainder of such program, 
                                        $14,500; and
                                    ``(III) in the case of a student 
                                who is enrolled in a program of 
                                undergraduate education that is less 
                                than one academic year, the maximum 
                                annual loan amount that such student 
                                may receive may not exceed the amount 
                                that bears the same ratio to the amount 
                                specified in subclause (I) or (II), as 
                                applicable, as the length of such 
                                program measured in semester, 
                                trimester, quarter, or clock hours 
                                bears to one academic year.
                            ``(ii) Graduate or professional students.--
                        In the case of a graduate or professional 
                        student for enrollment in a program of graduate 
                        or professional education at an eligible 
                        institution, $28,500.
                            ``(iii) Parent borrowers.--In the case of a 
                        parent borrowing a loan under this part on 
                        behalf of a dependent student for the student's 
                        enrollment in a program of undergraduate 
                        education at an eligible institution, $12,500 
                        per each such student.
                            ``(iv) Coursework for undergraduate 
                        enrollment.--With respect to enrollment in 
                        coursework specified in section 484(b)(3)(B) 
                        necessary for enrollment in an undergraduate 
                        degree or certificate program--
                                    ``(I) in the case of a dependent 
                                student, $2,625;
                                    ``(II) in the case of a parent 
                                borrowing a loan under this part on 
                                behalf of a dependent student for the 
                                student's enrollment in such 
                                coursework, $6,000; and
                                    ``(III) in the case an independent 
                                student, or a dependent student whose 
                                parents are unable to borrow a loan 
                                under this part on behalf of such 
                                student, $8,625.
                            ``(v) Coursework for graduate or 
                        professional enrollment or teacher 
                        employment.--With respect to the enrollment of 
                        a student who has obtained a baccalaureate 
                        degree in coursework specified in section 
                        484(b)(3)(B) necessary for enrollment in a 
                        graduate or professional degree or certificate 
                        program, or coursework specified in section 
                        484(b)(4)(B) necessary for a professional 
                        credential or certification from a State 
                        required for employment as a teacher in an 
                        elementary or secondary school, in the case of 
                        a student (without regard to whether the 
                        student is a dependent student or dependent 
                        student), $12,500.
                    ``(B) Aggregate limits.--Except as provided under 
                subparagraph (C), (D), or (E), the maximum aggregate 
                amount of loans under this part and parts B and D that 
                an eligible student or parent borrower may borrow shall 
                be--
                            ``(i) for enrollment in a program of 
                        undergraduate education at an eligible 
                        institution, including for enrollment in 
                        coursework described in clause (iv) or (v) of 
                        subparagraph (A)--
                                    ``(I) in the case of a dependent 
                                student, $39,000;
                                    ``(II) in the case of an 
                                independent student, or an dependent 
                                student whose parents are unable to 
                                receive a loan under this part on 
                                behalf of such student, $60,250; and
                                    ``(III) in the case of a parent 
                                borrowing a loan under this part on 
                                behalf of a dependent student for the 
                                student's enrollment in such a program, 
                                $56,250 per each such student.; and
                            ``(ii) in the case of a graduate or 
                        professional student for enrollment in a 
                        program of graduate or professional education 
                        at an eligible institution, $150,000.
                    ``(C) Application of limits to borrowers with part 
                b or d loans.--
                            ``(i) Graduate or professional students.--
                        In the case of a graduate or professional 
                        student who is not described in subparagraph 
                        (E) and who has received loans made under part 
                        B or D for enrollment in a graduate or 
                        professional program at an eligible 
                        institution, the total amount of which equal or 
                        exceed $28,500 as of the time of disbursement, 
                        the student may continue to borrow the amount 
                        of loans under this part necessary to complete 
                        such program without regard to the aggregate 
                        limit under subparagraph (B)(ii), except that 
                        the--
                                    ``(I) amount of such loans shall 
                                not exceed the annual limits under 
                                subparagraph (A)(ii) for any academic 
                                year beginning after June 30, 2019; and
                                    ``(II) authority to borrow loans in 
                                accordance with this subclause shall 
                                terminate at the end of the academic 
                                year ending before September 30, 2024.
                            ``(ii) Parent borrowers.--In the case of a 
                        parent borrower who has received loans made 
                        under part B or D on behalf of a dependent 
                        student for the student's enrollment in a 
                        program of undergraduate education at an 
                        eligible institution, the total amount of which 
                        equal or exceed $12,500 for such student as of 
                        the time of disbursement, the parent borrower 
                        may continue to borrow the amount of loans 
                        under this part necessary for such student to 
                        complete such program without regard to the 
                        aggregate limit under subparagraph (B)(i)(III), 
                        except that the--
                                    ``(I) amount of such loans shall 
                                not exceed the annual limits under 
                                subparagraph (A)(iii) for any academic 
                                year beginning after June 30, 2019; and
                                    ``(II) the authority to borrow 
                                loans in accordance with this subclause 
                                shall terminate at the end of the 
                                academic year ending before September 
                                30, 2024.
                    ``(D) Institutional determined limits.--
                            ``(i) In general.--Notwithstanding any 
                        other provision of this subsection, an eligible 
                        institution (at the discretion of a financial 
                        aid administrator at the institution) may 
                        prorate or limit the amount of a loan any 
                        student enrolled in a program of study at that 
                        institution may borrow under this part for an 
                        academic year--
                                    ``(I) if the institution, using the 
                                most recently available data from the 
                                Bureau of Labor Statistics for the 
                                average starting salary in the region 
                                in which the institution is located for 
                                typical occupations pursued by 
                                graduates of such program, can 
                                reasonably demonstrate that student 
                                debt levels are or would be excessive 
                                for such program;
                                    ``(II) in a case in which the 
                                student is enrolled on a less than 
                                full-time basis or the student is 
                                enrolled for less than the period of 
                                enrollment to which the annual loan 
                                limit applies under this subsection, 
                                based on the student's enrollment 
                                status;
                                    ``(III) based on the credential 
                                level (such as a degree, certificate, 
                                or other recognized educational 
                                credential) that the student would 
                                attain upon completion of such program; 
                                or
                                    ``(IV) based on the year of the 
                                program for which the student is 
                                seeking such loan.
                            ``(ii) Application to all students.--Any 
                        proration or limiting of loan amounts under 
                        clause (i) shall be applied in the same manner 
                        to all students enrolled in the institution or 
                        program of study.
                            ``(iii) Increases for individual 
                        students.--Upon the request of a student whose 
                        loan amount for an academic year has been 
                        prorated or limited under clause (i), an 
                        eligible institution (at the discretion of the 
                        financial aid administrator at the institution) 
                        may increase such loan amount to an amount not 
                        exceeding the annual loan amount applicable to 
                        such student under this subparagraph for such 
                        academic year if such student demonstrates 
                        special circumstances or exceptional need.
                    ``(E) Increases for certain graduate or 
                professional students.--
                            ``(i) Additional annual amounts.--Subject 
                        to clause (iii) of this subparagraph, in 
                        addition to the loan amount for an academic 
                        year described in subparagraph (A)(ii)--
                                    ``(I) a graduate or professional 
                                student who is enrolled in a program of 
                                study to become a doctor of allopathic 
                                medicine, doctor of osteopathic 
                                medicine, doctor of dentistry, doctor 
                                of veterinary medicine, doctor of 
                                optometry, doctor of podiatric 
                                medicine, doctor of naturopathic 
                                medicine, or doctor of naturopathy may 
                                borrow an additional--
                                            ``(aa) in the case of a 
                                        program with a 9-month academic 
                                        year, $20,000 for an academic 
                                        year; or
                                            ``(bb) in the case of a 
                                        program with a 12-month 
                                        academic year, $26,667 for an 
                                        academic year; and
                                    ``(II) a graduate or professional 
                                student who is enrolled in a program of 
                                study to become a doctor of pharmacy, 
                                doctor of chiropractic medicine, or a 
                                physician's assistant, or receive a 
                                graduate degree in public health, 
                                doctoral degree in clinical psychology, 
                                or a masters or doctoral degree in 
                                health administration may borrow an 
                                additional--
                                            ``(aa) in the case of a 
                                        program with a 9-month academic 
                                        year, $12,500 for an academic 
                                        year; or
                                            ``(bb) in the case of a 
                                        program with a 12-month 
                                        academic year, $16,667 for an 
                                        academic year.
                            ``(ii) Aggregate limit.--Subject to clause 
                        (iii) of this subparagraph, the maximum 
                        aggregate amount of loans under this part and 
                        parts B and D that a student described in 
                        clause (i) may borrow shall be $235,500.
                            ``(iii) Limitation.--In the case of a 
                        graduate or professional student described in 
                        clause (i) of this subparagraph who has 
                        received loans made under part B or D for 
                        enrollment in a graduate or professional 
                        program at an eligible institution, the total 
                        amount of which equal or exceed $34,000 as of 
                        the time of disbursement, the student may 
                        continue to borrow the amount of loans under 
                        this part necessary to complete such program 
                        without regard to the aggregate limit under 
                        clause (ii) of this subparagraph, except that 
                        the--
                                    ``(I) amount of such loans shall 
                                not exceed the annual limits under 
                                clause (i) of this subparagraph for any 
                                academic year beginning after June 30, 
                                2019; and
                                    ``(II) authority to borrow loans in 
                                accordance with this subclause shall 
                                terminate at the end of the academic 
                                year ending before September 30, 2024.
    ``(c) Interest Rate Provisions for Federal ONE Loans.--
            ``(1) Undergraduate one loans.--For Federal ONE Loans 
        issued to undergraduate students, the applicable rate of 
        interest shall, for loans disbursed during any 12-month period 
        beginning on July 1 and ending on June 30, be determined on the 
        preceding June 1 and be equal to the lesser of--
                    ``(A) a rate equal to the high yield of the 10-year 
                Treasury note auctioned at the final auction held prior 
                to such June 1 plus 2.05 percent; or
                    ``(B) 8.25 percent.
            ``(2) Graduate and professional one loans.--For Federal ONE 
        Loans issued to graduate or professional students, the 
        applicable rate of interest shall, for loans disbursed during 
        any 12-month period beginning on July 1 and ending on June 30, 
        be determined on the preceding June 1 and be equal to the 
        lesser of--
                    ``(A) a rate equal to the high yield of the 10-year 
                Treasury note auctioned at the final auction held prior 
                to such June 1 plus 3.6 percent; or
                    ``(B) 9.5 percent.
            ``(3) Parent one loans.--For Federal ONE Parent Loans, the 
        applicable rate of interest shall, for loans disbursed during 
        any 12-month period beginning on July 1 and ending on June 30, 
        be determined on the preceding June 1 and be equal to the 
        lesser of--
                    ``(A) a rate equal to the high yield of the 10-year 
                Treasury note auctioned at the final auction held prior 
                to such June 1 plus 4.6 percent; or
                    ``(B) 10.5 percent.
            ``(4) Consolidation loans.--Any Federal ONE Consolidation 
        Loan for which the application is received on or after July 1, 
        2019, shall bear interest at an annual rate on the unpaid 
        principal balance of the loan that is equal to the weighted 
        average of the interest rates on the loans consolidated, 
        rounded to the nearest higher one-eighth of one percent.
            ``(5) Publication.--The Secretary shall determine the 
        applicable rates of interest under this subsection after 
        consultation with the Secretary of the Treasury and shall 
        publish such rate in the Federal Register as soon as 
        practicable after the date of determination.
            ``(6) Rate.--The applicable rate of interest determined 
        under this subsection for a loan under this part shall be fixed 
        for the period of the loan.
    ``(d) Prohibition on Certain Repayment Incentives.--Notwithstanding 
any other provision of this part, the Secretary is prohibited from 
authorizing or providing any repayment incentive or subsidy not 
otherwise authorized under this part to encourage on-time repayment of 
a loan under this part, including any reduction in the interest paid by 
a borrower of such a loan, except that the Secretary may provide for an 
interest rate reduction of not more than 0.25 percentage points for a 
borrower who agrees to have payments on such a loan automatically 
debited from a bank account.
    ``(e) Loan Fee.--The Secretary shall not charge the borrower of a 
loan made under this part an origination fee.
    ``(f) Armed Forces Student Loan Interest Payment Program.--
            ``(1) Authority.--Using funds received by transfer to the 
        Secretary under section 2174 of title 10, United States Code, 
        for the payment of interest on a loan made under this part to a 
        member of the Armed Forces, the Secretary shall pay the 
        interest on the loan as due for a period not in excess of 36 
        consecutive months. The Secretary may not pay interest on such 
        a loan out of any funds other than funds that have been so 
        transferred.
            ``(2) Deferment.--During the period in which the Secretary 
        is making payments on a loan under paragraph (1), the Secretary 
        shall grant the borrower administrative deferment, in the form 
        of a temporary cessation of all payments on the loan other than 
        the payments of interest on the loan that are made under that 
        paragraph.
    ``(g) No Accrual of Interest for Active Duty Service Members.--
            ``(1) In general .--Notwithstanding any other provision of 
        this part and in accordance with paragraphs (2) and (4), 
        interest shall not accrue for an eligible military borrower on 
        a loan made under this part.
            ``(2) Consolidation loans.--In the case of any 
        consolidation loan made under this part, interest shall not 
        accrue pursuant to this subsection only on such portion of such 
        loan as was used to repay a loan made under this part or a loan 
        made under part D for which the first disbursement was made on 
        or after October 1, 2008, and before July 1, 2019.
            ``(3) Eligible military borrower.--In this subsection, the 
        term `eligible military borrower' means an individual who--
                    ``(A)(i) is serving on active duty during a war or 
                other military operation or national emergency; or
                    ``(ii) is performing qualifying National Guard duty 
                during a war or other military operation or national 
                emergency; and
                    ``(B) is serving in an area of hostilities in which 
                service qualifies for special pay under section 310 of 
                title 37, United States Code.
            ``(4) Limitation.--An individual who qualifies as an 
        eligible military borrower under this subsection may receive 
        the benefit of this subsection for not more than 60 months.

``SEC. 466. REPAYMENT.

    ``(a) Repayment Period; Commencement of Repayment.--
            ``(1) Repayment period.--
                    ``(A) In general.--In the case of a Federal ONE 
                Loan--
                            ``(i) subject to clause (ii), the repayment 
                        period shall--
                                    ``(I) exclude any period of 
                                authorized deferment under section 
                                469A; and
                                    ``(II) begin the day after 6 months 
                                after the date the student ceases to 
                                carry at least one-half the normal 
                                full-time academic workload (as 
                                determined by the institution); and
                            ``(ii) interest shall begin to accrue or be 
                        paid by the borrower on the day the loan is 
                        disbursed.
                    ``(B) Consolidation and parent loans.--In the case 
                of a Federal ONE Consolidation Loan or a Federal ONE 
                Parent Loan, the repayment period shall--
                            ``(i) exclude any period of authorized 
                        deferment; and
                            ``(ii) begin--
                                    ``(I) on the day the loan is 
                                disbursed; or
                                    ``(II) if the loan is disbursed in 
                                multiple installments, on the day of 
                                the last such disbursement.
                    ``(C) Active duty exclusion.--There shall be 
                excluded from the 6-month period that begins on the 
                date on which a student ceases to carry at least one-
                half the normal full-time academic workload as 
                described in subparagraph (A) any period not to exceed 
                3 years during which a borrower who is a member of a 
                reserve component of the Armed Forces named in section 
                10101 of title 10, United States Code, is called or 
                ordered to active duty for a period of more than 30 
                days (as defined in section 101(d)(2) of such title). 
                Such period of exclusion shall include the period 
                necessary to resume enrollment at the borrower's next 
                available regular enrollment period.
            ``(2) Payment of principal and interest.--
                    ``(A) Commencement of repayment.--Repayment of 
                principal on loans made under this part shall begin at 
                the beginning of the repayment period described in 
                paragraph (1).
                    ``(B) Capitalization of interest.--
                            ``(i) In general.--Interest on loans made 
                        under this part for which payments of principal 
                        are not required during the 6-month period 
                        described in paragraph (1)(A)(i)(II) or for 
                        which payments are deferred under section 469A 
                        shall--
                                    ``(I) be paid monthly or quarterly; 
                                or
                                    ``(II) be added to the principal 
                                amount of the loan only--
                                            ``(aa) when the loan enters 
                                        repayment;
                                            ``(bb) at the expiration of 
                                        a the 6-month period described 
                                        in paragraph (1)(A)(i)(II);
                                            ``(cc) at the expiration of 
                                        a period of deferment, unless 
                                        otherwise exempted; or
                                            ``(dd) when the borrower 
                                        defaults.
                            ``(ii) Maximum aggregate limit.--Interest 
                        capitalized shall not be deemed to exceed the 
                        amount equal to the maximum aggregate limit of 
                        the loan under section 465(b).
                    ``(C) Notice.--Not less than 60 days, and again not 
                less than 30 days, prior to the anticipated 
                commencement of the repayment period for a Federal ONE 
                Loan, the Secretary shall provide notice to the 
                borrower--
                            ``(i) that interest will accrue before 
                        repayment begins;
                            ``(ii) that interest will be added to the 
                        principal amount of the loan in the cases 
                        described in subparagraph (B)(i)(II); and
                            ``(iii) of the borrower's option to begin 
                        loan repayment prior to such repayment period.
    ``(b) Repayment Amount.--
            ``(1) In general.--The total of the payments by a borrower, 
        except as otherwise provided by an income-based repayment plan 
        under subsection (d), during any year of any repayment period 
        with respect to the aggregate amount of all loans made under 
        this part to the borrower shall not (unless the borrower and 
        the Secretary otherwise agree), be less than $600 or the 
        balance of all such loans (together with interest thereon), 
        whichever amount is less (but in no instance less than the 
        amount of interest due and payable, notwithstanding any 
        repayment plan described in subsection (c)).
            ``(2) Amortization.--
                    ``(A) Interest rate.--The amount of the periodic 
                payment and the repayment schedule for a loan made 
                under this part shall be established by assuming an 
                interest rate equal to the applicable rate of interest 
                at the time of the first disbursement of the loan.
                    ``(B) Adjustment to repayment amount.--The note or 
                other written evidence of a loan under this part shall 
                require that the amount of the periodic payment will be 
                adjusted annually in order to reflect adjustments in--
                            ``(i) interest rates occurring as a 
                        consequence of variable rate loans under parts 
                        B or D paid in conjunction with Federal ONE 
                        Loans under subsection (d)(1)(B)(i); or
                            ``(ii) principal occurring as a consequence 
                        of interest capitalization under subsection 
                        (a)(2)(B).
    ``(c) Repayment Plans.--
            ``(1) Design and selection.--Not more than 6 months prior 
        to the date on which a borrower's first payment on a loan made 
        under this part is due, the Secretary shall offer the borrower 
        two plans for repayment of such loan, including principal and 
        interest on the loan. The borrower shall be entitled to 
        accelerate, without penalty, repayment on the borrower's loans 
        under this part. The borrower may choose--
                    ``(A) a standard repayment plan with a fixed 
                monthly repayment amount paid over a fixed period of 
                time, not to exceed 10 years; or
                    ``(B) an income-based repayment plan under 
                subsection (d).
            ``(2) Selection by secretary.--If a borrower of a loan made 
        under this part does not select a repayment plan described in 
        paragraph (1), the Secretary shall provide the borrower with 
        the repayment plan described in paragraph (1)(A).
            ``(3) Changes in selections.--
                    ``(A) In general.--Subject to subparagraph (B), the 
                borrower of a loan made under this part may change the 
                borrower's selection of a repayment plan under 
                paragraph (1), or the Secretary's selection of a plan 
                for the borrower under paragraph (2), as the case may 
                be, under such terms and conditions as may be 
                established by the Secretary, except that the Secretary 
                may not establish any terms or conditions with respect 
                to whether a borrower may change the borrower's 
                repayment plan. Nothing in this subsection shall 
                prohibit the Secretary from encouraging struggling 
                borrowers from enrolling in the income-driven repayment 
                plan described in section 466(d).
                    ``(B) Same repayment plan required.--All loans made 
                under this part to a borrower shall be repaid under the 
                same repayment plan under paragraph (1), except that 
                the borrower may repay a Federal ONE Parent Loan or an 
                Excepted Federal ONE Consolidation Loan (as defined in 
                subsection (d)(5)) separately from other loans made 
                under this part to the borrower.
            ``(4) Repayment after default.--The Secretary may require 
        any borrower who has defaulted on a loan made under this part 
        to--
                    ``(A) pay all reasonable collection costs 
                associated with such loan; and
                    ``(B) repay the loan pursuant to the income-based 
                repayment plan under subsection (d).
            ``(5) Repayment period.--For purposes of calculating the 
        repayment period under this subsection, such period shall 
        commence at the time the first payment of principal is due from 
        the borrower.
            ``(6) Installments.--Repayment of loans under this part 
        shall be in installments in accordance with the repayment plan 
        selected under paragraph (1) and commencing at the beginning of 
        the repayment period determined under paragraph (5).
    ``(d) Income-Based Repayment Program.--
            ``(1) In general.--Notwithstanding any other provision of 
        this Act, the Secretary shall carry out a program under which--
                    ``(A) a borrower of any loan made under this part 
                (other than a Federal ONE Parent Loan or an Excepted 
                Federal ONE Consolidation Loan) may elect to have the 
                borrower's aggregate monthly payment for all such 
                loans--
                            ``(i) not to exceed the result obtained by 
                        dividing by 12, 15 percent of the result 
                        obtained by calculating, on at least an annual 
                        basis, the amount by which--
                                    ``(I) the adjusted gross income of 
                                the borrower or, if the borrower is 
                                married and files a Federal income tax 
                                return jointly with or separately from 
                                the borrower's spouse, the adjusted 
                                gross income of the borrower and the 
                                borrower's spouse, exceeds
                                    ``(II) 150 percent of the poverty 
                                line applicable to the borrower's 
                                family size as determined under section 
                                673(2) of the Community Services Block 
                                Grant Act (42 U.S.C. 9902(2)); and
                            ``(ii) not to be less than $25;
                    ``(B) the Secretary adjusts the calculated monthly 
                payment under subparagraph (A), if--
                            ``(i) in addition to the loans described in 
                        subparagraph (A), the borrower has an 
                        outstanding loan made under part B or D (other 
                        than an excepted parent loan or an excepted 
                        consolidation loan, as such terms are defined 
                        in section 493C(a)), by determining the 
                        borrower's adjusted monthly payment by 
                        multiplying--
                                    ``(I) the calculated monthly 
                                payment, by
                                    ``(II) the percentage of the total 
                                outstanding principal amount of the 
                                borrower's loans described in the 
                                matter preceding subclause (I), which 
                                are described in subparagraph (A);
                            ``(ii) the borrower and borrower's spouse 
                        have loans described in subparagraph (A) and 
                        outstanding loans under part B or D (other than 
                        an excepted parent loan or an excepted 
                        consolidation loan, as such terms are defined 
                        in section 493C(a)) and have filed a joint or 
                        separate Federal income tax return, in which 
                        case the Secretary determines--
                                    ``(I) each borrower's percentage of 
                                the couple's total outstanding amount 
                                of principal on such loans;
                                    ``(II) the adjusted monthly payment 
                                for each borrower by multiplying the 
                                borrower's calculated monthly payment 
                                by the percentage determined under 
                                subclause (I) applicable to the 
                                borrower; and
                                    ``(III) if the borrower's loans are 
                                held by multiple holders, the 
                                borrower's adjusted monthly payment for 
                                loans described in subparagraph (A) by 
                                multiplying the adjusted monthly 
                                payment determined under subclause (II) 
                                by the percentage of the total 
                                outstanding principal amount of the 
                                borrower's loans described in the 
                                matter preceding subclause (I), which 
                                are described in subparagraph (A);
                    ``(C) the holder of such a loan shall apply the 
                borrower's monthly payment under this subsection first 
                toward interest due on the loan, next toward any fees 
                due on the loan, and then toward the principal of the 
                loan;
                    ``(D) any principal due and not paid under 
                subparagraph (C) shall be deferred;
                    ``(E) any interest due and not paid under 
                subparagraph (C) shall be capitalized, at the time the 
                borrower--
                            ``(i) ends the election to make income-
                        based repayment under this subsection; or
                            ``(ii) begins making payments of not less 
                        than the amount specified in subparagraph 
                        (G)(i);
                    ``(F) the amount of time the borrower makes monthly 
                payments under subparagraph (A) may exceed 10 years;
                    ``(G) if the borrower no longer wishes to continue 
                the election under this subsection, then--
                            ``(i) the maximum monthly payment required 
                        to be paid for all loans made to the borrower 
                        under this part (other than a Federal ONE 
                        Parent Loan or an Excepted Federal ONE 
                        Consolidation Loan) shall not exceed the 
                        monthly amount calculated under subsection 
                        (c)(1)(A), based on a 10-year repayment period, 
                        when the borrower first made the election 
                        described in this subsection; and
                            ``(ii) the amount of time the borrower is 
                        permitted to repay such loans may exceed 10 
                        years;
                    ``(H) the Secretary shall cancel any outstanding 
                balance (other than an amount equal to the interest 
                accrued during any period of in-school deferment under 
                subparagraph (A), (B), or (F) of section 469A(b)(1)) 
                due on all loans made under this part (other than a 
                Federal ONE Parent Loan or an Excepted Federal ONE 
                Consolidation Loan) to a borrower--
                            ``(i) who, at any time, elected to 
                        participate in income-based repayment under 
                        subparagraph (A);
                            ``(ii) whose final monthly payment for such 
                        loans prior to the loan cancellation under this 
                        subparagraph was made under such income-based 
                        repayment; and
                            ``(iii) who has repaid, pursuant to income-
                        based repayment under subparagraph (A), a 
                        standard repayment plan under subsection 
                        (c)(1)(A), or a combination--
                                    ``(I) an amount of principal and 
                                interest on such loans that is equal to 
                                the total amount of principal and 
                                interest that the borrower would have 
                                repaid under a standard repayment plan 
                                under subsection (c)(1)(A), based on a 
                                10-year repayment period, when the 
                                borrower entered repayment on such 
                                loans; and
                                    ``(II) the amount of interest that 
                                accrues during a period of deferment 
                                described in section 469A prior to the 
                                completion of the repayment period 
                                described in subclause (I) on the 
                                portion of such loans remaining to be 
                                repaid in accordance with such 
                                subclause; and
                    ``(I) a borrower who is repaying a loan made under 
                this part pursuant to income-based repayment under 
                subparagraph (A) may elect, at any time during the 10-
                year period beginning on the date the borrower entered 
                repayment on the loan, to terminate repayment pursuant 
                to such income-based repayment and repay such loan 
                under the standard repayment plan.
            ``(2) Eligibility determinations.--
                    ``(A) In general.--The Secretary shall establish 
                procedures for annual verification of a borrower's 
                annual income and the annual amount due on the total 
                amount of loans made under this part (other than a 
                Federal ONE Parent Loan or an Excepted Federal ONE 
                Consolidation Loan), and such other procedures as are 
                necessary to implement effectively income-based 
                repayment under this subsection, including the 
                procedures established with respect to section 493C.
                    ``(B) Income information.--The Secretary may obtain 
                such information as is reasonably necessary regarding 
                the income of a borrower (and the borrower's spouse, if 
                applicable) of a loan made under this part that is, or 
                may be, repaid pursuant to income-based repayment under 
                this subsection, for the purpose of determining the 
                annual repayment obligation of the borrower. The 
                Secretary shall establish procedures for determining 
                the borrower's repayment obligation on that loan for 
                such year, and such other procedures as are necessary 
                to implement effectively the income-based repayment 
                under this subsection.
                    ``(C) Borrower requirements.--A borrower who 
                chooses to repay a loan made under this part pursuant 
                to income-based repayment under this subsection, and--
                            ``(i) for whom adjusted gross income is 
                        available and reasonably reflects the 
                        borrower's current income, shall, to the 
                        maximum extent practicable, provide to the 
                        Secretary the Federal tax information of the 
                        borrower; and
                            ``(ii) for whom adjusted gross income is 
                        unavailable or does not reasonably reflect the 
                        borrower's current income, shall provide to the 
                        Secretary other documentation of income 
                        satisfactory to the Secretary, which 
                        documentation the Secretary may use to 
                        determine an appropriate repayment schedule.
            ``(3) Notification to borrowers.--The Secretary shall 
        establish procedures under which a borrower of a loan made 
        under this part who chooses to repay such loan pursuant to 
        income-based repayment under this subsection is notified of the 
        terms and conditions of such plan, including notification that 
        if a borrower considers that special circumstances, such as a 
        loss of employment by the borrower or the borrower's spouse, 
        warrant an adjustment in the borrower's loan repayment as 
        determined using the borrower's Federal tax return information, 
        or the alternative documentation described in paragraph (2)(C), 
        the borrower may contact the Secretary, who shall determine 
        whether such adjustment is appropriate, in accordance with 
        criteria established by the Secretary.
            ``(4) Reduced payment periods.--
                    ``(A) In general.--The Secretary shall authorize 
                borrowers meeting the criteria under subparagraph (B) 
                to make monthly payments of $5 for a period not in 
                excess of 3 years, except that--
                            ``(i) for purposes of subparagraph (B)(i), 
                        the Secretary may authorize reduced payments in 
                        6-month increments, beginning on the date the 
                        borrower provides to the Secretary the evidence 
                        described in subclause (I) or (II) of 
                        subparagraph (B)(i); and
                            ``(ii) for purposes of subparagraph 
                        (B)(ii), the Secretary may authorize reduced 
                        payments in 3-month increments, beginning on 
                        the date the borrower provides to the Secretary 
                        the evidence described in subparagraph 
                        (B)(ii)(I).
                    ``(B) Eligibility determinations.--The Secretary 
                shall authorize borrowers to make reduced payments 
                under this paragraph in the following circumstances:
                            ``(i) In a case of borrower who is seeking 
                        and unable to find full-time employment, as 
                        demonstrated by providing to the Secretary--
                                    ``(I) evidence of the borrower's 
                                eligibility for unemployment benefits 
                                to the Secretary; or
                                    ``(II) a written certification or 
                                an equivalent that--
                                            ``(aa) the borrower has 
                                        registered with a public or 
                                        private employment agency that 
                                        is available to the borrower 
                                        within a 50-mile radius of the 
                                        borrower's home address; and
                                            ``(bb) in the case of a 
                                        borrower that has been granted 
                                        a request under this 
                                        subparagraph, the borrower has 
                                        made at least six diligent 
                                        attempts during the preceding 
                                        six-month period to secure 
                                        full-time employment.
                            ``(ii) The Secretary determines that, due 
                        to high medical expenses, the $25 monthly 
                        payment the borrower would otherwise make would 
                        be an extreme economic hardship to the 
                        borrower, if--
                                    ``(I) the borrower documents the 
                                reason why the $25 minimum payment is 
                                an extreme economic hardship; and
                                    ``(II) the borrower recertifies the 
                                reason for the $5 minimum payment on a 
                                three-month basis.
                    ``(C) Definition.--For purpose of this section, the 
                term `full-time employment' means employment that will 
                provide not less than 30 hours of work a week and is 
                expected to continue for a period of not less than 3 
                months.
            ``(5) Definitions.--In this subsection:
                    ``(A) Adjusted gross income.--The term `adjusted 
                gross income' has the meaning given the term in section 
                62 of the Internal Revenue Code of 1986.
                    ``(B) Excepted federal one consolidation loan.--The 
                term `Excepted Federal ONE Consolidation Loan' means a 
                Federal ONE Consolidation Loan if the proceeds of such 
                loan were used to discharge the liability on--
                            ``(i) a Federal ONE Parent Loan;
                            ``(ii) a Federal Direct PLUS Loan, or a 
                        loan under section 428B, that is made, insured, 
                        or guaranteed on behalf of a dependent student;
                            ``(iii) an excepted consolidation loan 
                        (defined in section 493C); or
                            ``(iv) a Federal ONE Consolidation loan 
                        that was used to discharge the liability on a 
                        loan described in clause (i), (ii), or (iii).
    ``(e) Rules of Construction.--Nothing in this section shall be 
construed to authorize, with respect to loans made under this part--
            ``(1) eligibility for a repayment plan that is not 
        described in subsection (c)(1) or section 468(c); or
            ``(2) the Secretary to--
                    ``(A) carry out a repayment plan, which is not 
                described in subsection (c)(1) or section 468(c); or
                    ``(B) modify a repayment plan that is described in 
                subsection (c)(1) or section 468(c) in a manner that 
                results in any net cost to the Federal Government, as 
                determined jointly by the Secretary, the Secretary of 
                the Treasury, and the Director of the Office of 
                Management and Budget.

``SEC. 467. FEDERAL ONE PARENT LOANS.

    ``(a) Authority To Borrow.--
            ``(1) Authority and eligibility.--The parent of a dependent 
        student shall be eligible to borrow funds under this section in 
        amounts specified in subsection (b), if--
                    ``(A) the parent is borrowing to pay for the 
                educational costs of a dependent student who meets the 
                requirements for an eligible student under section 
                484(a);
                    ``(B) the parent meets the applicable requirements 
                concerning defaults and overpayments that apply to a 
                student borrower;
                    ``(C) the parent complies with the requirements for 
                submission of a statement of educational purpose that 
                apply to a student borrower under section 484(a)(4)(A) 
                (other than the completion of a statement of selective 
                service registration status);
                    ``(D) the parent meets the requirements that apply 
                to a student under section 437(a);
                    ``(E) the parent--
                            ``(i) does not have an adverse credit 
                        history; or
                            ``(ii) has an adverse credit history, but 
                        has--
                                    ``(I) obtained an endorser who does 
                                not have an adverse credit history or 
                                documented to the satisfaction of the 
                                Secretary that extenuating 
                                circumstances exist in accordance with 
                                paragraph (4)(D); and
                                    ``(II) completed Federal ONE Parent 
                                Loan counseling offered by the 
                                Secretary; and
                    ``(F) in the case of a parent who has been 
                convicted of, or has pled nolo contendere or guilty to, 
                a crime involving fraud in obtaining funds under this 
                title, such parent has completed the repayment of such 
                funds to the Secretary, or to the holder in the case of 
                a loan under this title obtained by fraud.
            ``(2) Terms, conditions, and benefits.--Except as provided 
        in subsections (c), (d), and (e), loans made under this section 
        shall have the same terms, conditions, and benefits as all 
        other loans made under this part.
            ``(3) Parent borrowers.--
                    ``(A) Definition.--For purposes of this section, 
                the term `parent' includes a student's biological or 
                adoptive mother or father or the student's stepparent, 
                if the biological parent or adoptive mother or father 
                has remarried at the time of filing the common 
                financial reporting form under section 483(a), and that 
                spouse's income and assets would have been taken into 
                account when calculating the student's expected family 
                contribution.
                    ``(B) Clarification.--Whenever necessary to carry 
                out the provisions of this section, the terms `student' 
                and `borrower' as used in this part shall include a 
                parent borrower under this section.
            ``(4) Adverse credit history definitions and adjustments.--
                    ``(A) Definitions.--For purposes of this section:
                            ``(i) In general.--The term `adverse credit 
                        history', when used with respect to a borrower, 
                        means that the borrower--
                                    ``(I) has one or more debts with a 
                                total combined outstanding balance 
                                equal to or greater than $2,085, as may 
                                be adjusted by the Secretary in 
                                accordance with subparagraph (B), 
                                that--
                                            ``(aa) are 90 or more days 
                                        delinquent as of the date of 
                                        the credit report; or
                                            ``(bb) have been placed in 
                                        collection or charged off 
                                        during the two years preceding 
                                        the date of the credit report; 
                                        or
                                    ``(II) has been the subject of a 
                                default determination, bankruptcy 
                                discharge, foreclosure, repossession, 
                                tax lien, wage garnishment, or write-
                                off of a debt under this title during 
                                the 5 years preceding the date of the 
                                credit report.
                            ``(ii) Charged off.--The term `charged off' 
                        means a debt that a creditor has written off as 
                        a loss, but that is still subject to collection 
                        action.
                            ``(iii) In collection.--The term `in 
                        collection' means a debt that has been placed 
                        with a collection agency by a creditor or that 
                        is subject to more intensive efforts by a 
                        creditor to recover amounts owed from a 
                        borrower who has not responded satisfactorily 
                        to the demands routinely made as part of the 
                        creditor's billing procedures.
                    ``(B) Adjustments.--
                            ``(i) In general.--In a case of a borrower 
                        with a debt amount described in subparagraph 
                        (A)(i), the Secretary shall increase such debt 
                        amount, or its inflation-adjusted equivalent, 
                        if the Secretary determines that an inflation 
                        adjustment to such debt amount would result in 
                        an increase of $100 or more to such debt 
                        amount.
                            ``(ii) Inflation adjustment.--In making the 
                        inflation adjustment under clause (i), the 
                        Secretary shall--
                                    ``(I) use the annual average 
                                percent change of the All Items 
                                Consumer Price Index for All Urban 
                                Consumers, before seasonal adjustment, 
                                as the measurement of inflation; and
                                    ``(II) if the adjustment calculated 
                                under subclause (I) is equal to or 
                                greater than $100--
                                            ``(aa) add the adjustment 
                                        to the debt amount, or its 
                                        inflation-adjusted equivalent; 
                                        and
                                            ``(bb) round up to the 
                                        nearest $5.
                            ``(iii) Publication.--The Secretary shall 
                        publish a notice in the Federal Register 
                        announcing any increase to the threshold amount 
                        specified in subparagraph (A)(i)(I).
                    ``(C) Treatment of absence of credit history.--For 
                purposes of this section, the Secretary shall not 
                consider the absence of a credit history as an adverse 
                credit history and shall not deny a Federal ONE Parent 
                loan on that basis.
                    ``(D) Extenuating circumstances.--For purposes of 
                this section, the Secretary may determine that 
                extenuating circumstances exist based on documentation 
                that may include--
                            ``(i) an updated credit report for the 
                        parent; or
                            ``(ii) a statement from the creditor that 
                        the parent has repaid or made satisfactory 
                        arrangements to repay a debt that was 
                        considered in determining that the parent has 
                        an adverse credit history
    ``(b) Limitation Based on Need.--Any loan under this section may be 
counted as part of the expected family contribution in the 
determination of need under this title, but no loan may be made to any 
parent under this section for any academic year in excess of the lesser 
of--
            ``(1) the student's estimated cost of attendance minus the 
        student's estimated financial assistance (as calculated under 
        section 465(b)(1)(A)); or
            ``(2) the established annual loan limits for such loan 
        under section 465(b).
    ``(c) Parent Loan Disbursement.--All loans made under this section 
shall be disbursed in accordance with the requirements of section 
465(a) and shall be disbursed by--
            ``(1) an electronic transfer of funds from the lender to 
        the eligible institution; or
            ``(2) a check copayable to the eligible institution and the 
        parent borrower.
    ``(d) Payment of Principal and Interest.--
            ``(1) Commencement of repayment.--Repayment of principal on 
        loans made under this section shall commence not later than 60 
        days after the date such loan is disbursed by the Secretary, 
        subject to deferral--
                    ``(A) during any period during which the parent 
                borrower meets the conditions required for a deferral 
                under section 469A; and
                    ``(B) upon the request of the parent borrower, 
                during the 6-month period beginning, if the parent 
                borrower is also a student, the day after the date such 
                parent borrower ceases to carry at least one-half such 
                a workload.
            ``(2) Maximum repayment period.--The maximum repayment 
        period for a loan made under this section shall be a 10-year 
        period beginning on the commencement of such period described 
        in paragraph (1).
            ``(3) Capitalization of interest.--Interest on loans made 
        under this section for which payments of principal are deferred 
        pursuant to paragraph (1) shall, if agreed upon by the borrower 
        and the Secretary--
                    ``(A) be paid monthly or quarterly; or
                    ``(B) be added to the principal amount of the loan 
                not more frequently than quarterly by the Secretary.
            ``(4) Applicable rates of interest.--Interest on loans made 
        pursuant to this section shall be at the applicable rate of 
        interest provided in section 465(c)(3) for loans made under 
        this section.
            ``(5) Amortization.--Section 466(b)(2) shall apply to each 
        loan made under this section.
    ``(e) Verification of Immigration Status and Social Security 
Number.--A parent who wishes to borrow funds under this section shall 
be subject to verification of the parent's--
            ``(1) immigration status in the same manner as immigration 
        status is verified for students under section 484(g); and
            ``(2) Social Security number in the same manner as Social 
        Security numbers are verified for students under section 
        484(p).
    ``(f) Designation.--For purposes of this Act, loans described in 
this section shall be known as `Federal ONE Parent Loans'.

``SEC. 468. FEDERAL ONE CONSOLIDATION LOANS.

    ``(a) Terms and Conditions.--In making consolidation loans under 
this section, the Secretary shall--
            ``(1) not make such a loan to an eligible borrower, unless 
        the Secretary has determined, in accordance with reasonable and 
        prudent business practices, for each loan being consolidated, 
        that the loan--
                    ``(A) is a legal, valid, and binding obligation of 
                the borrower; and
                    ``(B) was made and serviced in compliance with 
                applicable laws and regulations;
            ``(2) ensure that each consolidation loan made under this 
        section will bear interest, and be subject to repayment, in 
        accordance with subsection (c), except as otherwise provided 
        under subsections (f) and (g) of section 465;
            ``(3) ensure that each consolidation loan will be made, 
        notwithstanding any other provision of this part limiting the 
        annual or aggregate principal amount for all loans made to a 
        borrower, in an amount which is equal to the sum of the unpaid 
        principal and accrued unpaid interest and late charges of all 
        eligible student loans received by the eligible borrower which 
        are selected by the borrower for consolidation;
            ``(4) ensure that the proceeds of each consolidation loan 
        will be paid by the Secretary to the holder or holders of the 
        loans so selected to discharge the liability on such loans;
            ``(5) disclose to a prospective borrower, in simple and 
        understandable terms, at the time the Secretary provides an 
        application for a consolidation loan--
                    ``(A) with respect to a loan made, insured, or 
                guaranteed under this part, part B, or part D, that if 
                a borrower includes such a loan in the consolidation 
                loan--
                            ``(i) that the consolidation would result 
                        in a loss of loan benefits; and
                            ``(ii) which specific loan benefits the 
                        borrower would lose, including the loss of 
                        eligibility for loan forgiveness (including 
                        loss of eligibility for interest rate 
                        forgiveness), cancellation, deferment, 
                        forbearance, interest-free periods, or loan 
                        repayment programs that would have been 
                        available for such a loan; and
                    ``(B) with respect to Federal Perkins Loans under 
                this part (as this part was in effect on the day before 
                the date of enactment of the PROSPER Act)--
                            ``(i) that if a borrower includes such a 
                        Federal Perkins Loan in the consolidation loan, 
                        the borrower will lose all interest-free 
                        periods that would have been available for the 
                        Federal Perkins Loan, such as--
                                    ``(I) the periods during which no 
                                interest accrues on such loan while the 
                                borrower is enrolled in an institution 
                                of higher education at least half-time;
                                    ``(II) the grace period under 
                                section 464(c)(1)(A) (as such section 
                                was in effect on the day before the 
                                date of enactment of the PROSPER Act); 
                                and
                                    ``(III) the periods during which 
                                the borrower's student loan repayments 
                                are deferred under section 464(c)(2) 
                                (as such section was in effect on the 
                                day before the date of enactment of the 
                                PROSPER Act); and
                            ``(ii) that if a borrower includes such a 
                        Federal Perkins Loan in the consolidation loan, 
                        the borrower will no longer be eligible for 
                        cancellation of part or all of the Federal 
                        Perkins Loan under section 465(a) (as such 
                        section was in effect on the day before the 
                        date of enactment of the PROSPER Act); and
                            ``(iii) the occupations listed in section 
                        465 that qualify for Federal Perkins Loan 
                        cancellation under section 465(a) (as such 
                        section was in effect on the day before the 
                        date of enactment of the PROSPER Act);
                    ``(C) the repayment plans that are available to the 
                borrower under section (c);
                    ``(D) the options of the borrower to prepay the 
                consolidation loan, to pay such loan on a shorter 
                schedule, and to change repayment plans;
                    ``(E) the consequences of default on the 
                consolidation loan; and
                    ``(F) that by applying for a consolidation loan, 
                the borrower is not obligated to agree to take the 
                consolidation loan; and
            ``(6) not make such a loan to an eligible borrower, 
        unless--
                    ``(A) the borrower has agreed to notify the 
                Secretary promptly concerning any change of address; 
                and
                    ``(B) the loan is evidenced by a note or other 
                written agreement which--
                            ``(i) is made without security and without 
                        endorsement, except that if--
                                    ``(I) the borrower is a minor and 
                                such note or other written agreement 
                                executed by him or her would not, under 
                                applicable law, create a binding 
                                obligation, endorsement may be 
                                required; or
                                    ``(II) the borrower desires to 
                                include in the consolidation loan, a 
                                Federal ONE Parent Loan, or a loan 
                                under section 428B, or a Federal Direct 
                                PLUS loan, made on behalf of a 
                                dependent student, endorsement shall be 
                                required;
                            ``(ii) provides for the payment of interest 
                        and the repayment of principal as described in 
                        paragraph (2);
                            ``(iii) provides that during any period for 
                        which the borrower would be eligible for a 
                        deferral under section 469A, which period shall 
                        not be included in determining the repayment 
                        schedule pursuant to subsection (c)--
                                    ``(I) periodic installments of 
                                principal need not be paid, but 
                                interest shall accrue and be paid by 
                                the borrower or be capitalized; and
                                    ``(II) except as otherwise provided 
                                under subsections (f) and (g) of 
                                section 465, the Secretary shall not 
                                pay interest on any portion of the 
                                consolidation loan, without regard to 
                                whether the portion repays Federal 
                                Stafford Loans for which the student 
                                borrower received an interest subsidy 
                                under section 428 or Federal Direct 
                                Stafford Loans for which the borrower 
                                received an interest subsidy under 
                                section 455;
                            ``(iv) entitles the borrower to accelerate 
                        without penalty repayment of the whole or any 
                        part of the loan; and
                            ``(v) contains a notice of the system of 
                        disclosure concerning such loan to consumer 
                        reporting agencies under section 430A, and 
                        provides that the Secretary on request of the 
                        borrower will provide information on the 
                        repayment status of the note to such consumer 
                        reporting agencies.
    ``(b) Nondiscrimination in Loan Consolidation.--The Secretary shall 
not discriminate against any borrower seeking a loan under this 
section--
            ``(1) based on the number or type of eligible student loans 
        the borrower seeks to consolidate;
            ``(2) based on the type or category of institution of 
        higher education that the borrower attended;
            ``(3) based on the interest rate to be charged to the 
        borrower with respect to the consolidation loan; or
            ``(4) with respect to the types of repayment schedules 
        offered to such borrower.
    ``(c) Payment of Principal and Interest.--
            ``(1) Repayment schedules.--
                    ``(A) Establishment.--
                            ``(i) In general.--Notwithstanding any 
                        other provision of this part, the Secretary 
                        shall--
                                    ``(I) establish repayment terms as 
                                will promote the objectives of this 
                                section; and
                                    ``(II) provide a borrower with the 
                                option of the standard-repayment plan 
                                or income-based repayment plan under 
                                section 466(d) in lieu of such 
                                repayment terms.
                            ``(ii) Schedule terms.--The repayment terms 
                        established under clause (i)(I) shall require 
                        that if the sum of the consolidation loan and 
                        the amount outstanding on other eligible 
                        student loans to the individual--
                                    ``(I) is less than $7,500, then 
                                such consolidation loan shall be repaid 
                                in not more than 10 years;
                                    ``(II) is equal to or greater than 
                                $7,500 but less than $10,000, then such 
                                consolidation loan shall be repaid in 
                                not more than 12 years;
                                    ``(III) is equal to or greater than 
                                $10,000 but less than $20,000, then 
                                such consolidation loan shall be repaid 
                                in not more than 15 years;
                                    ``(IV) is equal to or greater than 
                                $20,000 but less than $40,000, then 
                                such consolidation loan shall be repaid 
                                in not more than 20 years;
                                    ``(V) is equal to or greater than 
                                $40,000 but less than $60,000, then 
                                such consolidation loan shall be repaid 
                                in not more than 25 years; or
                                    ``(VI) is equal to or greater than 
                                $60,000, then such consolidation loan 
                                shall be repaid in not more than 30 
                                years.
                    ``(B) Limitation.--The amount outstanding on other 
                eligible student loans which may be counted for the 
                purpose of subparagraph (A) may not exceed the amount 
                of the consolidation loan.
            ``(2) Additional repayment requirements.--Notwithstanding 
        paragraph (1)--
                    ``(A) except in the case of an income-based 
                repayment schedule under section 466(d), a repayment 
                schedule established with respect to a consolidation 
                loan shall require that the minimum installment payment 
                be an amount equal to not less than the accrued unpaid 
                interest; and
                    ``(B) an income-based repayment schedule under 
                section 466(d) shall not be available to a 
                consolidation loan borrower who--
                            ``(i) used the proceeds of a Federal ONE 
                        Consolidation loan to discharge the liability--
                                    ``(I) on a loan under section 428B 
                                made on behalf of a dependent student;
                                    ``(II) a Federal Direct PLUS loan 
                                made on behalf of a dependent student;
                                    ``(III) a Federal ONE Parent loan; 
                                or
                                    ``(IV) an excepted consolidation 
                                loan (defined in section 493C); or
                            ``(ii) used the proceeds of a subsequent 
                        Federal ONE Consolidation loan to discharge the 
                        liability on a Federal ONE Consolidation loan 
                        described in clause (i).
            ``(3) Commencement of repayment.--Repayment of a 
        consolidation loan shall commence within 60 days after all 
        holders have, pursuant to subsection (a)(4), discharged the 
        liability of the borrower on the loans selected for 
        consolidation.
            ``(4) Interest rate.--A consolidation loan made under this 
        section shall bear interest at an annual rate described in 
        section 465(c)(4).
    ``(d) Insurance Rule.--Any insurance premium paid by the borrower 
under subpart I of part A of title VII of the Public Health Service Act 
with respect to a loan made under that subpart and consolidated under 
this section shall be retained by the student loan insurance account 
established under section 710 of the Public Health Service Act.
    ``(e) Definitions.--For the purpose of this section:
            ``(1) Eligible borrower.--
                    ``(A) In general.--The term `eligible borrower' 
                means a borrower who--
                            ``(i) is not subject to a judgment secured 
                        through litigation with respect to a loan under 
                        this title or to an order for wage garnishment 
                        under section 488A; and
                            ``(ii) at the time of application for a 
                        consolidation loan--
                                    ``(I) is in repayment status as 
                                determined under section 466(a)(1);
                                    ``(II) is in a grace period 
                                preceding repayment; or
                                    ``(III) is a defaulted borrower who 
                                has made arrangements to repay the 
                                obligation on the defaulted loans 
                                satisfactory to the holders of the 
                                defaulted loans.
                    ``(B) Termination of status as an eligible 
                borrower.--An individual's status as an eligible 
                borrower under this section terminates upon receipt of 
                a consolidation loan under this section, except that--
                            ``(i) an individual who receives eligible 
                        student loans after the date of receipt of the 
                        consolidation loan may receive a subsequent 
                        consolidation loan;
                            ``(ii) loans received prior to the date of 
                        the consolidation loan may be added during the 
                        180-day period following the making of the 
                        consolidation loan;
                            ``(iii) loans received following the making 
                        of the consolidation loan may be added during 
                        the 180-day period following the making of the 
                        consolidation loan;
                            ``(iv) loans received prior to the date of 
                        the first consolidation loan may be added to a 
                        subsequent consolidation loan; and
                            ``(v) an individual may obtain a subsequent 
                        consolidation loan for the purpose--
                                    ``(I) of income-based repayment 
                                under section 466(d) only if the loan 
                                has been submitted for default aversion 
                                or if the loan is already in default;
                                    ``(II) of using the no accrual of 
                                interest for active duty service 
                                members benefit offered under section 
                                465(g); or
                                    ``(III) of submitting an 
                                application under section 469B(d) for a 
                                borrower defense to repayment of a loan 
                                made, insured, or guaranteed under this 
                                title.
            ``(2) Eligible student loans.--For the purpose of paragraph 
        (1), the term `eligible student loans' means loans--
                    ``(A) made, insured, or guaranteed under part B, 
                and first disbursed before July 1, 2010, including 
                loans on which the borrower has defaulted (but has made 
                arrangements to repay the obligation on the defaulted 
                loans satisfactory to the Secretary or guaranty agency, 
                whichever insured the loans);
                    ``(B) made under part D of this title, and first 
                disbursed before July 1, 2019;
                    ``(C) made under this part before September 30, 
                2017;
                    ``(D) made under this part on or after the date of 
                enactment of the PROSPER Act;
                    ``(E) made under subpart II of part A of title VII 
                of the Public Health Service Act; or
                    ``(F) made under part E of title VIII of the Public 
                Health Service Act.
    ``(f) Designation.--For purposes of this Act, loans described in 
this section shall be known as `Federal ONE Consolidation Loans'.

``SEC. 469. TEMPORARY LOAN CONSOLIDATION AUTHORITY.

    ``(a) In General.--A borrower who has one or more loans in two or 
more of the categories described in subsection (b), and who has not yet 
entered repayment on one or more of those loans in any of the 
categories, may consolidate all of the loans of the borrower that are 
described in subsection (b) into a Federal ONE Consolidation Loan 
during the period described in subsection (c).
    ``(b) Categories of Loans That May Be Consolidated.--The categories 
of loans that may be consolidated under this section are--
            ``(1) loans made under this part before October 1, 2017 and 
        on or after July 1, 2019;
            ``(2) loans purchased by the Secretary pursuant to section 
        459A;
            ``(3) loans made under part B that are held by an eligible 
        lender, as such term is defined in section 435(d); and
            ``(4) loans made under part D.
    ``(c) Time Period in Which Loans May Be Consolidated.--The 
Secretary may make a Federal ONE Consolidation Loan under this section 
to a borrower whose application for such Federal ONE Consolidation Loan 
is received on or after July 1, 2019, and before July 1, 2024.
    ``(d) Terms of Loans.--A Federal ONE Consolidation Loan made under 
this subsection shall have the same terms and conditions as a Federal 
ONE Consolidation Loan made under section 468, except that in 
determining the applicable rate of interest on the Federal ONE 
Consolidation Loan made under this section, section 465(c)(4) shall be 
applied without rounding the weighted average of the interest rate on 
the loans consolidated to the nearest higher one-eighth of one percent 
as in such section.

``SEC. 470. DEFERMENT.

    ``(a) Effect on Principal and Interest.--A borrower of a loan made 
under this part who meets the requirements described in subsection (b) 
shall be eligible for a deferment during which installments of 
principal need not be paid and, unless otherwise provided in this 
subsection, interest shall accrue and be capitalized or paid by the 
borrower.
    ``(b) Eligibility.--A borrower of a loan made under this part shall 
be eligible for a deferment--
            ``(1) during any period during which the borrower--
                    ``(A) is carrying at least one-half the normal 
                full-time work load for the course of study that the 
                borrower is pursuing, as determined by the eligible 
                institution the borrower is attending;
                    ``(B) is pursuing a course of study pursuant to--
                            ``(i) an eligible graduate fellowship 
                        program in accordance with subsection (g); or
                            ``(ii) an eligible rehabilitation training 
                        program for individuals with disabilities in 
                        accordance with subsection (i);
                    ``(C) is serving on active duty during a war or 
                other military operation or national emergency, and for 
                the 180-day period following the demobilization date 
                for such service;
                    ``(D) is performing qualifying National Guard duty 
                during a war or other military operation or national 
                emergency, and for the 180-day period following the 
                demobilization date for such service;
                    ``(E) is a member of the National Guard who is not 
                eligible for a post-active duty deferment under section 
                493D and is engaged in active State duty for a period 
                of more than 30 consecutive days beginning--
                            ``(i) the day after 6 months after the date 
                        the student ceases to carry at least one-half 
                        the normal full-time academic workload (as 
                        determined by the institution); or
                            ``(ii) the day after the borrower ceases 
                        enrollment on at least a half-time basis, for a 
                        loan in repayment;
                    ``(F) is serving in a medical or dental internship 
                or residency program, the successful completion of 
                which is required to begin professional practice or 
                service, or is serving in a medical or dental 
                internship or residency program leading to a degree or 
                certificate awarded by an institution of higher 
                education, a hospital, or a health care facility that 
                offers postgraduate training; or
                    ``(G) is eligible for interest payments to be made 
                on a loan made under this part for service in the Armed 
                Forces under section 2174 of title 10, United States 
                Code, and pursuant to that eligibility, the interest is 
                being paid on such loan under section 465(f);
            ``(2) during a period sufficient to enable the borrower to 
        resume honoring the agreement to repay the outstanding balance 
        of principal and interest on the loan after default, if--
                    ``(A) the borrower signs a new agreement to repay 
                such outstanding balance;
                    ``(B) the deferment period is limited to 120 days; 
                and
                    ``(C) such deferment is not granted for consecutive 
                periods;
            ``(3) during a period of administrative deferment described 
        in subsection (j); or
            ``(4) in the case of a borrower of a Federal ONE Parent 
        Loan or an Excepted Federal ONE Consolidation Loan, during a 
        period described in subsection (k).
    ``(c) Length of Deferment.--A deferment granted by the Secretary--
            ``(1) under subparagraph (F) or (G) of subsection (b)(1) 
        shall be renewable at 12 month intervals;
            ``(2) under subparagraph (F) of subsection (b)(1) shall 
        equal the length of time remaining in the borrower's medical or 
        dental internship or residency program; and
            ``(3) under subparagraph (G) of subsection (b)(1) shall not 
        exceed 3 years.
    ``(d) Request and Documentation.--The Secretary shall determine the 
eligibility of a borrower for a deferment under paragraphs (1), (2), or 
(4) of subsection (b), or in the case of a loan for which an endorser 
is required, an endorser's eligibility for a deferment under paragraph 
(2) or (4) or eligibility to request a deferment under paragraph (1), 
based on--
            ``(1) the receipt of a request for a deferment from the 
        borrower or the endorser, and documentation of the borrower's 
        or endorser's eligibility for the deferment or eligibility to 
        request the deferment;
            ``(2) receipt of a completed loan application that 
        documents the borrower's eligibility for a deferment;
            ``(3) receipt of a student status information documenting 
        that the borrower is enrolled on at least a half-time basis; or
            ``(4) the Secretary's confirmation of the borrower's half-
        time enrollment status, if the confirmation is requested by the 
        institution of higher education.
    ``(e) Notification.--The Secretary shall--
            ``(1) notify a borrower of a loan made under this part--
                    ``(A) the granting of a deferment under this 
                subsection on such loan; and
                    ``(B) the option of the borrower to continue making 
                payments on the outstanding balance of principal and 
                interest on such loan in accordance with subsection 
                (f);
            ``(2) at the time the Secretary grants a deferment to a 
        borrower of a loan made under this part, and not less 
        frequently than once every 180 days during the period of such 
        deferment, provide information to the borrower to assist the 
        borrower in understanding--
                    ``(A) the effect of granting a deferment on the 
                total amount to be paid under the income-based 
                repayment plan under 466(d);
                    ``(B) the fact that interest will accrue on the 
                loan for the period of deferment, other than for a 
                deferment granted under subsection (b)(1)(G);
                    ``(C) the amount of unpaid principal and the amount 
                of interest that has accrued since the last statement 
                of such amounts provided to the borrower;
                    ``(D) the amount of interest that will be 
                capitalized, and the date on which capitalization will 
                occur;
                    ``(E) the effect of the capitalization of interest 
                on the borrower's loan principal and on the total 
                amount of interest to be paid on the loan;
                    ``(F) the option of the borrower to pay the 
                interest that has accrued before the interest is 
                capitalized; and
                    ``(G) the borrower's option to discontinue the 
                deferment at any time.
    ``(f) Form of Deferment.--The form of a deferment granted under 
this subsection on a loan made under this part shall be temporary 
cessation of all payments on such loan, except that--
            ``(1) in the case of a deferment granted under subsection 
        (b)(1)(G), payments of interest on the loan will be made by the 
        Secretary under section 465(f) during such period of deferment; 
        and
            ``(2) a borrower may make payments on the outstanding 
        balance of principal and interest on such loan during any 
        period of deferment granted under this subsection.
    ``(g) Graduate Fellowship Deferment.--
            ``(1) In general.--A borrower of a loan under this part is 
        eligible for a deferment under subsection (b)(1)(B)(i) during 
        any period for which an authorized official of the borrower's 
        graduate fellowship program certifies that the borrower meets 
        the requirements of paragraph (2) and is pursuing a course of 
        study pursuant to an eligible graduate fellowship program.
            ``(2) Borrower requirements.--A borrower meets the 
        requirements of this subparagraph if the borrower--
                    ``(A) holds at least a baccalaureate degree 
                conferred by an institution of higher education;
                    ``(B) has been accepted or recommended by an 
                institution of higher education for acceptance on a 
                full-time basis into an eligible graduate fellowship 
                program; and
                    ``(C) is not serving in a medical internship or 
                residency program, except for a residency program in 
                dentistry.
    ``(h) Treatment of Study Outside the United States.--
            ``(1) In general.--The Secretary shall treat, in the same 
        manner as required under section 428(b)(4), any course of study 
        at a foreign university that is accepted for the completion of 
        a recognized international fellowship program by the 
        administrator of such a program as an eligible graduate 
        fellowship program.
            ``(2) Requests for deferment.--Requests for deferment of 
        repayment of loans under this subsection by students engaged in 
        graduate or postgraduate fellowship-supported study (such as 
        pursuant to a Fulbright grant) outside the United States shall 
        be approved until completion of the period of the fellowship, 
        in the same manner as required under section 428(b)(4).
    ``(i) Rehabilitation Training Program Deferment.--A borrower of a 
loan under this part is eligible for a deferment under subsection 
(b)(1)(B)(ii) during any period for which an authorized official of the 
borrower's rehabilitation training program certifies that the borrower 
is pursuing an eligible rehabilitation training program for individuals 
with disabilities.
    ``(j) Administrative Deferments.--The Secretary may grant a 
deferment to a borrower or, in the case of a loan for which an endorser 
is required, an endorser, without requiring a request and documentation 
from the borrower or the endorser under subsection (d) for--
            ``(1) a period during which the borrower was delinquent at 
        the time a deferment is granted, including a period for which 
        scheduled payments of principal and interest were overdue at 
        the time such deferment is granted;
            ``(2) a period during which the borrower or the endorser 
        was granted a deferment under this subsection but for which the 
        Secretary determines the borrower or the endorser should not 
        have qualified;
            ``(3) a period necessary for the Secretary to determine the 
        borrower's eligibility for the cancellation of the obligation 
        of the borrower to repay the loan under section 437;
            ``(4) a period during which the Secretary has authorized 
        deferment due to a national military mobilization or other 
        local or national emergency; or
            ``(5) a period not to exceed 60 days, during which interest 
        shall accrue but not be capitalized, if the Secretary 
        reasonably determines that a suspension of collection activity 
        is warranted to enable the Secretary to process supporting 
        documentation relating to a borrower's request--
                    ``(A) for a deferment under this subsection;
                    ``(B) for a change in repayment plan under section 
                466(c); or
                    ``(C) to consolidate loans under section 468.
    ``(k) Deferments for Parent or Excepted Consolidation Loans.--
            ``(1) In general.--A qualified borrower shall be eligible 
        for deferments under paragraphs (3) through (5).
            ``(2) Qualified borrower defined.--In this subsection, the 
        term `qualified borrower' means--
                    ``(A) a borrower of a Federal ONE Parent Loan or an 
                Excepted Federal ONE Consolidation Loan; or
                    ``(B) in the case of such a loan for which an 
                endorser is required, the endorser of such loan.
            ``(3) Economic hardship deferment.--
                    ``(A) In general.--A qualified borrower shall be 
                eligible for a deferment during periods, not to exceed 
                3 years in total, during which the qualified borrower 
                experiences an economic hardship described in 
                subparagraph (B).
                    ``(B) Economic hardship.--An economic hardship 
                described in this clause is a period during which the 
                qualified borrower--
                            ``(i) is receiving payment under a means-
                        tested benefit program;
                            ``(ii) is employed full-time and the 
                        monthly gross income of the qualified borrower 
                        does not exceed the greater of--
                                    ``(I) the minimum wage rate 
                                described in section 6 of the Fair 
                                Labor Standards Act of 1938 (29 U.S.C. 
                                206); or
                                    ``(II) an amount equal to 150 
                                percent of the poverty line; or
                            ``(iii) demonstrates that the sum of the 
                        qualified borrower's monthly payments on the 
                        qualified borrower's Federal ONE Parent Loan or 
                        Excepted Federal ONE Consolidation Loan is not 
                        less than 20 percent of the qualified 
                        borrower's monthly gross income.
                    ``(C) Eligibility.--To be eligible to receive a 
                deferment under this subparagraph, a qualified borrower 
                shall submit to the Secretary--
                            ``(i) for the first period of deferment 
                        under this subparagraph, evidence showing the 
                        monthly gross income of the qualified borrower; 
                        and
                            ``(ii) for a subsequent period of deferment 
                        that begins less than one year after the end of 
                        a period of deferment granted under this 
                        subparagraph--
                                    ``(I) evidence showing the monthly 
                                gross income of the qualified borrower; 
                                or
                                    ``(II) the qualified borrower's 
                                most recently filed Federal income tax 
                                return, if such a return was filed in 
                                either of the two tax years preceding 
                                the year in which the qualified 
                                borrower requests the subsequent period 
                                of deferment.
            ``(4) Unemployment deferment.--
                    ``(A) In general.--A qualified borrower shall be 
                eligible for a deferment for periods during which the 
                qualified borrower is seeking, and is unable to find, 
                full-time employment.
                    ``(B) Eligibility.--
                            ``(i) In general.--To be eligible to 
                        receive an deferment under this subparagraph, a 
                        qualified borrower shall submit to the 
                        Secretary--
                                    ``(I) evidence of the qualified 
                                borrower's eligibility for unemployment 
                                benefits; or
                                    ``(II) written confirmation, or an 
                                equivalent as approved by the 
                                Secretary, that--
                                            ``(aa) the qualified 
                                        borrower has registered with a 
                                        public or private employment 
                                        agency, if one is available to 
                                        the borrower within 50 miles of 
                                        the qualified borrower's 
                                        address; and
                                            ``(bb) for requests 
                                        submitted after the initial 
                                        request, the qualified borrower 
                                        has made at least six diligent 
                                        attempts during the preceding 
                                        six-month period to secure 
                                        full-time employment.
                            ``(ii) Acceptance of employment.--A 
                        qualified borrower shall not be eligible for a 
                        deferment under this subparagraph if the 
                        qualified borrower refuses to seek or accept 
                        employment in types of positions or at salary 
                        levels or responsibility levels for which the 
                        qualified borrower feels overqualified based on 
                        the qualified borrower's education or previous 
                        experience.
                    ``(C) Terms of deferment.--The following terms 
                shall apply to a deferment under this subparagraph:
                            ``(i) Initial period.--The first deferment 
                        granted to a qualified borrower under this 
                        subparagraph may be for a period of 
                        unemployment beginning not more than 6 months 
                        before the date on which the Secretary receives 
                        the qualified borrower's request for deferment 
                        and may be granted for a period of up to 6 
                        months after that date.
                            ``(ii) Renewals.--Deferments under this 
                        subparagraph shall be renewable at 6-month 
                        intervals beginning after the expiration of the 
                        first period of deferment under clause (i). To 
                        be eligible to renew a deferment under this 
                        subparagraph, a qualified borrower shall submit 
                        to the Secretary the information described in 
                        subparagraph (B)(i).
                            ``(iii) Aggregate limit.--The period of all 
                        deferments granted to a borrower under this 
                        subparagraph may not exceed 3 years in 
                        aggregate.
            ``(5) Health deferment.--
                    ``(A) In general.--A qualified borrower shall be 
                eligible for a deferment during periods in which the 
                qualified borrower is unable to make scheduled loan 
                payments due to high medical expenses, as determined by 
                the Secretary.
                    ``(B) Eligibility.--To be eligible to receive a 
                deferment under this subparagraph, a qualified borrower 
                shall--
                            ``(i) submit to the Secretary documentation 
                        demonstrating that making scheduled loan 
                        payments would be an extreme economic hardship 
                        to the borrower due to high medical expenses, 
                        as determined by the Secretary; and
                            ``(ii) resubmit such documentation to the 
                        Secretary not less frequently than once every 3 
                        months.
    ``(l) Prohibitions.--
            ``(1) Prohibition on fees.--No administrative fee or other 
        fee may be charged to the borrower in connection with the 
        granting of a deferment under this subsection.
            ``(2) Prohibition on adverse credit reporting.--No adverse 
        information relating to a borrower may be reported to a 
        consumer reporting agency solely because of the granting of a 
        deferment under this subsection.
            ``(3) Limitation on authority.--The Secretary shall not, 
        through regulation or otherwise, authorize additional deferment 
        options or periods of deferment other than the deferment 
        options and periods of deferment authorized under this 
        subsection.
    ``(m) Treatment of Endorsers.--With respect to any Federal ONE 
Parent Loan or Federal ONE Consolidation Loan for which an endorser is 
required--
            ``(1) paragraphs (2) through (4) of subsection (b) shall be 
        applied--
                    ``(A) by substituting `An endorser' for `A 
                borrower';
                    ``(B) by substituting `the endorser' for `the 
                borrower'; and
                    ``(C) by substituting `an endorser' for `a 
                borrower'; and
            ``(2) in the case in which the borrower of such a loan is 
        eligible for a deferment described in subparagraph (C), (D), 
        (E), (F), or (G) of subsection (b)(1), but is not making 
        payments on the loan, the endorser of the loan may request a 
        deferment under such subparagraph for the loan.
    ``(n) Definitions.--In this section:
            ``(1) Eligible graduate fellowship program.--The term 
        `eligible graduate fellowship program', when used with respect 
        to a course of study pursued by the borrower of a loan under 
        this part, means a fellowship program that--
                    ``(A) provides sufficient financial support to 
                graduate fellows to allow for full-time study for at 
                least six months;
                    ``(B) requires a written statement from each 
                applicant explaining the applicant's objectives before 
                the award of that financial support;
                    ``(C) requires a graduate fellow to submit periodic 
                reports, projects, or evidence of the fellow's 
                progress; and
                    ``(D) in the case of a course of study at an 
                institution of higher education outside the United 
                States described in section 102, accepts the course of 
                study for completion of the fellowship program.
            ``(2) Eligible rehabilitation training program for 
        individuals with disabilities.--The term `eligible 
        rehabilitation training program for individuals with 
        disabilities', when used with respect a course of study pursued 
        by the borrower of a loan under this part, means a program 
        that--
                    ``(A) is necessary to assist an individual with a 
                disability in preparing for, securing, retaining, or 
                regaining employment;
                    ``(B) is licensed, approved, certified, or 
                otherwise recognized as providing rehabilitation 
                training to disabled individuals by--
                            ``(i) a State agency with responsibility 
                        for vocational rehabilitation programs, drug 
                        abuse treatment programs, mental health 
                        services programs, or alcohol abuse treatment 
                        programs; or
                            ``(ii) the Secretary of the Department of 
                        Veterans Affairs; and
                    ``(C) provides or will provide the borrower with 
                rehabilitation services under a written plan that--
                            ``(i) is individualized to meet the 
                        borrower's needs;
                            ``(ii) specifies the date on which the 
                        services to the borrower are expected to end; 
                        and
                            ``(iii) requires a commitment of time and 
                        effort from the borrower that prevents the 
                        borrower from being employed at least 30 hours 
                        per week, either because of the number of hours 
                        that must be devoted to rehabilitation or 
                        because of the nature of the rehabilitation.
            ``(3) Excepted federal one consolidation loan.--The 
        `Excepted Federal ONE Consolidation Loan' have the meaning 
        given the term in section 466(d)(5).
            ``(4) Family size.--The term `family size' means the number 
        that is determined by counting--
                    ``(A) the borrower;
                    ``(B) the borrower's spouse;
                    ``(C) the borrower's children, including unborn 
                children who are expected to be born during the period 
                covered by the deferment, if the children receive more 
                than half their support from the borrower; and
                    ``(D) another individual if, at the time the 
                borrower requests a deferment under this section, the 
                individual--
                            ``(i) lives with the borrower;
                            ``(ii) receives more than half of the 
                        individual's support (which may include money, 
                        gifts, loans, housing, food, clothes, car, 
                        medical and dental care, and payment of college 
                        costs) from the borrower; and
                            ``(iii) is expected to receive such support 
                        from the borrower during the relevant period of 
                        deferment.
            ``(5) Full-time.--The term `full-time', when used with 
        respect to employment, means employment for not less than 30 
        hours per week that is expected to continue for not less than 
        three months.
            ``(6) Means-tested benefit program.--The term `means-tested 
        benefit program' means--
                    ``(A) a State public assistance program under which 
                eligibility for the program's benefits, or the amount 
                of such benefits, are determined on the basis of income 
                or resources of the individual or family seeking the 
                benefit; or
                    ``(B) a mandatory spending program of the Federal 
                Government, other than a program under this title, 
                under which eligibility for the program's benefits, or 
                the amount of such benefits, are determined on the 
                basis of income or resources of the individual or 
                family seeking the benefit, and may include such 
                programs as
                            ``(i) the supplemental security income 
                        program under title XVI of the Social Security 
                        Act (42 U.S.C. 1381 et seq.);
                            ``(ii) the supplemental nutrition 
                        assistance program under the Food and Nutrition 
                        Act of 2008 (7 U.S.C. 2011 et seq.);
                            ``(iii) the free and reduced price school 
                        lunch program established under the Richard B. 
                        Russell National School Lunch Act (42 U.S.C. 
                        1751 et seq.);
                            ``(iv) the program of block grants for 
                        States for temporary assistance for needy 
                        families established under part A of title IV 
                        of the Social Security Act (42 U.S.C. 601 et 
                        seq.);
                            ``(v) the special supplemental nutrition 
                        program for women, infants, and children 
                        established by section 17 of the Child 
                        Nutrition Act of 1966 (42 U.S.C. 1786); and
                            ``(vi) other programs identified by the 
                        Secretary.
            ``(7) Monthly gross income.--The term `monthly gross 
        income', when used with respect to a borrower, means--
                    ``(A) the gross amount of income received by the 
                borrower from employment and other sources for the most 
                recent month; or
                    ``(B) one-twelfth of the borrower's adjusted gross 
                income, as recorded on the borrower's most recently 
                filed Federal income tax return.

``SEC. 471. ADDITIONAL TERMS.

    ``(a) Applicable Part B Provisions.--
            ``(1) Disclosures.--Except as otherwise provided in this 
        part, each institution of higher education with which the 
        Secretary has an agreement under section 464(a), and each 
        contractor with which the Secretary has a contract under 
        section 493E, shall, with respect to loans under this part 
        comply with each of the requirements under section 433 that 
        apply to the institutions of higher education and contractors 
        described in section 455(p) with respect to loans made under 
        part D.
            ``(2) Other provisions.--Except as otherwise provided in 
        this part, the following provisions shall apply with respect to 
        loans made under this part in the same manner that such 
        provisions apply with respect to loans made under part D:
                    ``(A) Section 427(a)(2).
                    ``(B) Section 428(d).
                    ``(C) Section 428F
                    ``(D) Section 430A.
                    ``(E) Paragraphs (1), (2), (4), and (6) of section 
                432(a).
                    ``(F) Section 432(i).
                    ``(G) Section 432(l).
                    ``(H) Section 432(m), except that an institution of 
                higher education shall have a separate master 
                promissory note under paragraph (1)(D) of such section 
                for loans made under this part.
                    ``(I) Subsections (a), (c), and (d) of section 437.
            ``(3) Application of provisions.--Any provision listed 
        under paragraph (1) or (2) that applies to--
                    ``(A) Federal Direct PLUS Loans made on behalf of 
                dependent students shall apply to Federal ONE Parent 
                Loans;
                    ``(B) Federal Direct PLUS Loans made to students 
                shall apply to Federal ONE Loans for graduate or 
                professional students;
                    ``(C) Federal Direct Unsubsidized Stafford loans 
                shall apply to Federal ONE Loans for any student 
                borrower;
                    ``(D) Federal Direct Consolidation Loans shall 
                apply to Federal ONE Consolidation Loans; and
                    ``(E) forbearance shall apply to deferment under 
                section 469A.
    ``(b) Eligible Student.--A loan under this part may only be made to 
a student who--
            ``(1) is an eligible student under section 484;
            ``(2) has agreed to notify promptly the Secretary and the 
        applicable contractors with which the Secretary has a contract 
        under section 493E concerning--
                    ``(A) any change of permanent address, telephone 
                number, or email address;
                    ``(B) when the student ceases to be enrolled on at 
                least a half-time basis; and
                    ``(C) any other change in status, when such change 
                in status affects the student's eligibility for the 
                loan; and
            ``(3) is carrying at least one-half the normal full-time 
        academic workload for the course of study the student is 
        pursuing (as determined by the institution).
    ``(c) Loan Application and Promissory Note.--The common financial 
reporting form required in section 483(a)(1) shall constitute the 
application for loans made under this part. The Secretary shall 
develop, print, and distribute to participating institutions a standard 
promissory note and loan disclosure form.
    ``(d) Borrower Defenses.--A borrower of a loan under this part may 
assert a defense to repayment to such loan under the provisions of 
section 455(h) that apply to a borrower of a loan made under part D 
asserting, on or after the date of enactment of the PROSPER Act, a 
defense to repayment to such loan made under part D.
    ``(e) Identity Fraud Protection.--The Secretary shall ensure that 
monthly Federal ONE Loan statements and other publications of the 
Department do not contain more than four digits of the Social Security 
number of any individual.
    ``(f) Authority To Sell Loans.--The Secretary, in consultation with 
the Secretary of the Treasury, is authorized to sell loans made under 
this part on such terms determined to be in the best interest of the 
United States, except that any such sale shall not result in any cost 
to the Federal Government.''.

                         PART F--NEED ANALYSIS

SEC. 471. COST OF ATTENDANCE.

    Section 472 (20 U.S.C. 1087ll) is amended--
            (1) by striking paragraph (10); and
            (2) by redesignating paragraphs (11), (12), and (13) as 
        paragraphs (10), (11), and (12), respectively.

SEC. 472. SIMPLIFIED NEEDS TEST.

    Section 479(b)(1) (20 U.S.C. 1087ss) is amended by striking 
``$50,000'' both places it appears and inserting ``$100,000''.

SEC. 473. DISCRETION OF STUDENT FINANCIAL AID ADMINISTRATORS.

    Section 479A (20 U.S.C. 1087tt) is amended--
            (1) in subsection (a), by striking ``financial assistance 
        under section 428H or a Federal Direct Unsubsidized Stafford 
        Loan'' and inserting ``a Federal Direct Unsubsidized Stafford 
        Loan or a Federal ONE Loan'';
            (2) in subsection (c), by striking ``part B or D'' and 
        inserting ``part D or E''; and
            (3) by adding at the end the following:
    ``(d) Adjustment Based on Delivery of Instruction.--A student's 
eligibility to receive grants, loans, or work assistance under this 
title shall be reduced if a financial aid officer determines, in 
accordance with the discretionary authority provided under this 
section, that the model or method used to deliver instruction to the 
student results in a substantially reduced cost of attendance to the 
student.''.

SEC. 474. DEFINITIONS OF TOTAL INCOME AND ASSETS.

    Section 480 (20 U.S.C. 1087vv) is amended--
            (1) in subsection (a)(1), by striking subparagraph (B) and 
        inserting the following:
                    ``(B) Notwithstanding section 478(a), the Secretary 
                shall provide for the use of data from the second 
                preceding tax year to carry out the simplification of 
                applications (including simplification for a subset of 
                applications) used for the estimation and determination 
                of financial aid eligibility. Such simplification shall 
                include the sharing of data between the Internal 
                Revenue Service and the Department, pursuant to the 
                consent of the taxpayer.''; and
            (2) in subsection (f)--
                    (A) in paragraph (2)--
                            (i) in subparagraph (B), by striking ``or'' 
                        at the end;
                            (ii) in subparagraph (C), by striking the 
                        period at the end and inserting ``; or''; and
                            (iii) by adding at the end the following:
                    ``(D) a qualified tuition program (as defined in 
                section 529(b)(1)(A) of the Internal Revenue Code of 
                1986).''; and
                    (B) in paragraph (5)(A)(i), by striking ``qualified 
                tuition program (as defined in section 529(b)(1)(A) of 
                the Internal Revenue Code of 1986) or other''.

       PART G--GENERAL PROVISIONS RELATING TO STUDENT ASSISTANCE

SEC. 481. DEFINITIONS OF ACADEMIC YEAR AND ELIGIBLE PROGRAM.

    Section 481 (20 U.S.C. 1088) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (2)(A)--
                            (i) by striking ``For the'' and inserting 
                        the following: ``Except as provided in 
                        paragraph (3), for the''; and
                            (ii) in clause (i), by striking ``require a 
                        minimum of 30 weeks'' and inserting the 
                        following: ``require--
                                    ``(I) a minimum of 30 weeks'';
                            (iii) in clause (ii), by striking 
                        ``require'';
                            (iv) by redesignating clause (ii) as 
                        subclause (II); and
                            (v) by redesignating clause (iii) as clause 
                        (ii); and
                    (B) by adding at the end the following:
            ``(3)(A) For the purpose of a competency-based education 
        program the term `academic year' shall be the published 
        measured period established by the institution of higher 
        education that is necessary for a student with a normal full-
        time workload for the course of study the student is pursuing 
        (as measured using the value of competencies or sets of 
        competencies required by such institution and approved by such 
        institution's accrediting agency or association) to earn--
                    ``(i) one-quarter of a bachelor's degree;
                    ``(ii) one-half of an associate's degree; or
                    ``(iii) with respect to a non-degree or graduate 
                program, the equivalent of a period described in clause 
                (i) or (ii).
                    ``(B)(i) A competency-based education program that 
                is not a term-based program may be treated as a term-
                based program for purposes of establishing payment 
                periods for disbursement of loans and grants under this 
                title if--
                            ``(I) the institution of higher education 
                        that offers such program charges a flat 
                        subscription fee for access to instruction 
                        during a period determined by the institution; 
                        and
                            ``(II) the institution is able to determine 
                        the competencies a student is expected to 
                        demonstrate for such subscription period.
                    ``(ii) Clause (i) shall apply even in a case in 
                which instruction or other work with respect to a 
                competency that is expected to be attributable to a 
                subscription period begins prior to such subscription 
                period.
                    ``(iii) In a case in which a competency-based 
                education program offered by an institution of higher 
                education is treated as a term-based program under 
                clause (i), the institution shall review the academic 
                progress of each student enrolled in such program in 
                accordance with section 484(c), except that such review 
                shall occur at the end of each payment period.'';
            (2) by amending subsection (b) to read as follows:
    ``(b) Eligible Program.--(1) For purposes of this title, the term 
`eligible program' means--
            ``(A) a program of at least 300 clock hours of instruction, 
        8 semester hours, or 12 quarter hours, offered during a minimum 
        of 10 weeks; or
            ``(B) a competency-based program that--
                    ``(i) has been evaluated and approved by an 
                accrediting agency or association that--
                            ``(I) is recognized by the Secretary under 
                        subpart 2 of part H; and
                            ``(II) has evaluation of competency-based 
                        education programs within the scope of its 
                        recognition in accordance with section 
                        496(a)(4)(C); or
                    ``(ii) as of the day before the date of enactment 
                of the PROSPER Act, met the requirements of a direct 
                assessment program under section 481(b)(4) (as such 
                section was in effect on the day before such date of 
                enactment).
    ``(2) An eligible program described in paragraph (1) may be offered 
in whole or in part through telecommunications.
    ``(3) For purposes of this title, the term `eligible program' does 
not include a program that loses its eligibility under section 481B(a).
    ``(4)(A) If an eligible institution enters into a written 
arrangement with an institution or organization that is not an eligible 
institution under which such ineligible institution or organization 
provides the educational program (in whole or in part) of students 
enrolled in the eligible institution, the educational program provided 
by such ineligible institution shall be considered to be an eligible 
program if--
                    ``(i) the ineligible institution or organization 
                has not--
                            ``(I) had its eligibility to participate in 
                        the programs under this title terminated by the 
                        Secretary;
                            ``(II) voluntarily withdrawn from 
                        participation in the programs under this title 
                        under a proceeding initiated by the Secretary, 
                        accrediting agency or association, guarantor, 
                        or the licensing agency for the State in which 
                        the institution is located, including a 
                        termination, show-cause, or suspension;
                            ``(III) had its certification under subpart 
                        3 of part H to participate in the programs 
                        under this title revoked by the Secretary;
                            ``(IV) had its application for 
                        recertification under subpart 3 of part H to 
                        participate in the programs under this title 
                        denied by the Secretary; or
                            ``(V) had its application for certification 
                        under subpart 3 of part H to participate in the 
                        programs under this title denied by the 
                        Secretary;
                    ``(ii) the educational program offered by the 
                institution that grants the degree or certificate 
                otherwise satisfies the requirements of paragraph (1); 
                and
                    ``(iii)(I) the ineligible institution or 
                organization provides 25 percent or less of the 
                educational program; or
                    ``(II)(aa) the ineligible institution or 
                organization provides more than 25 percent of the 
                educational program; and
                    ``(bb) the eligible institution's accrediting 
                agency or association has determined that the eligible 
                institution's arrangement meets the agency's standards 
                for the contracting out of educational services in 
                accordance with section 496(c)(5)(B)(iv).
    ``(B) For purposes of subparagraph (A), the term `eligible 
institution' means an institution described in section 487(a).''; and
            (3) in subsection (c)(2), by striking ``part B of''.

SEC. 482. PROGRAMMATIC LOAN REPAYMENT RATES.

    Part G of title IV (20 U.S.C. 1088 et seq. is amended, as amended 
by section 481, is further amended by inserting after section 481A (20 
U.S.C. 1088a) the following:

``SEC. 481B. PROGRAMMATIC LOAN REPAYMENT RATES.

    ``(a) Ineligibility of an Educational Program Based on Low 
Repayment Rates.--
            ``(1) In general.--With respect to fiscal year 2016 and 
        each succeeding fiscal year, an educational program at an 
        institution of higher education whose loan repayment rate is 
        less than 45 percent for each of the 3 most recent fiscal years 
        for which data are available shall not be considered an 
        eligible program for the fiscal year in which the determination 
        is made and for the 2 succeeding fiscal years, unless, not 
        later than 30 days after receiving notification from the 
        Secretary of the loss of eligibility under this paragraph, the 
        institution appeals the loss of such program's eligibility to 
        the Secretary.
            ``(2) Appeal.--The Secretary shall issue a decision on any 
        such appeal within 45 days after its submission. Such decision 
        may permit a program to be considered an eligible program, if--
                    ``(A) the institution demonstrates to the 
                satisfaction of the Secretary that--
                            ``(i) the Secretary's calculation of such 
                        program's loan repayment rate is not accurate; 
                        and
                            ``(ii) recalculation would increase such 
                        program's loan repayment rate for any of the 3 
                        fiscal years equal to or greater than 45 
                        percent; or
                    ``(B) the program is not subject to paragraph (1) 
                by reason of paragraph (3).
            ``(3) Participation rate index.--
                    ``(A) In general.--An institution that demonstrates 
                to the Secretary that a program's participation rate 
                index is equal to or less than 0.11 for any of the 3 
                most recent fiscal years for which data is available 
                shall not be subject to paragraph (1).
                    ``(B) Index calculation.--The participation rate 
                index for a program shall be determined by 
                multiplying--
                            ``(i) the amount of the difference 
                        between--
                                    ``(I) 1.0; and
                                    ``(II) the quotient that results by 
                                dividing--
                                            ``(aa) the program's loan 
                                        repayment rate for a fiscal 
                                        year, or the weighted average 
                                        loan repayment rate for a 
                                        fiscal year, by
                                            ``(bb) 100; and
                            ``(ii) the quotient that results by 
                        dividing--
                                    ``(I) the percentage of the 
                                program's regular students, enrolled on 
                                at least a half-time basis, who 
                                received a covered loan for a 12-month 
                                period ending during the 6 months 
                                immediately preceding the fiscal year 
                                for which the program's loan repayment 
                                rate or the weighted average loan 
                                repayment rate is determined, by
                                    ``(II) 100.
                    ``(C) Data.--An institution shall provide the 
                Secretary with sufficient data to determine the 
                program's participation rate index not later than 30 
                days after receiving an initial notification of the 
                program's draft loan repayment rate under subsection 
                (d)(4)(C).
                    ``(D) Notification.--Prior to publication of a 
                final loan repayment rate under subsection (d)(4)(A) 
                for a program at an institution that provides the data 
                described in subparagraph (C), the Secretary shall 
                notify the institution of the institution's compliance 
                or noncompliance with subparagraph (A).
    ``(b) Repayment Improvement and Assessment of Eligibility Based on 
Low Loan Repayment Rates.--
            ``(1) First year.--
                    ``(A) In general.--An institution with a program 
                whose loan repayment rate is less than 45 percent for 
                any fiscal year shall establish a repayment improvement 
                task force to prepare a plan to--
                            ``(i) identify the factors causing such 
                        program's loan repayment rate to fall below 
                        such percent;
                            ``(ii) establish measurable objectives and 
                        the steps to be taken to improve the program's 
                        loan repayment rate; and
                            ``(iii) specify actions that the 
                        institution can take to improve student loan 
                        repayment, including appropriate counseling 
                        regarding loan repayment options.
                    ``(B) Technical assistance.--Each institution 
                subject to this paragraph shall submit the plan under 
                subparagraph (A) to the Secretary, who shall review the 
                plan and offer technical assistance to the institution 
                to promote improved student loan repayment.
            ``(2) Second consecutive year.--
                    ``(A) In general.--An institution with a program 
                whose loan repayment rate is less than 45 percent for 
                two consecutive fiscal years, shall--
                            ``(i) require the institution's repayment 
                        improvement task force established under 
                        paragraph (1) to review and revise the plan 
                        required under such paragraph; and
                            ``(ii) submit such revised plan to the 
                        Secretary.
                    ``(B) Review by the secretary.--The Secretary--
                            ``(i) shall review each revised plan 
                        submitted in accordance with this paragraph; 
                        and
                            ``(ii) may direct that such plan be amended 
                        to include actions, with measurable objectives, 
                        that the Secretary determines, based on 
                        available data and analyses of student loan 
                        repayment and non-repayment, will promote 
                        student loan repayment.
    ``(c) Programmatic Loan Repayment Rate Defined.--
            ``(1) In general.--Except as provided in subsection (d), 
        for purposes of this section, the term `loan repayment rate' 
        means, when used with respect to an educational program at an 
        institution--
                    ``(A) with respect to any fiscal year in which 30 
                or more current and former students in such program 
                enter repayment on a covered loan received for 
                attendance in such program, the percentage of such 
                current and former students--
                            ``(i) who enter repayment in such fiscal 
                        year on a covered loan received for attendance 
                        in such program; and
                            ``(ii) who are in a positive repayment 
                        status on each such covered loan at the end of 
                        the second fiscal year following the fiscal 
                        year in which such students entered repayment 
                        on such loan; and
                    ``(B) with respect to any fiscal year in which 
                fewer than 30 of the current and former students in 
                such program enter repayment on a covered loan received 
                for attendance in such program, the percentage of such 
                current and former students--
                            ``(i) who, in any of the three most recent 
                        fiscal years, entered repayment on a covered 
                        loan received for attendance in such program; 
                        and
                            ``(ii) who are in a positive repayment 
                        status on each such covered loan at the end of 
                        the second fiscal year following the fiscal 
                        year in which such students entered repayment 
                        on such loan.
            ``(2) Guaranty agency requirements.--The Secretary shall 
        require that each guaranty agency that has insured loans for 
        current or former students of the institution afford such 
        institution a reasonable opportunity (as specified by the 
        Secretary) to review and correct errors in the information 
        required to be provided to the Secretary by the guaranty agency 
        for the purposes of calculating a loan repayment rate for 
        programs at such institution, prior to the calculation of such 
        rate.
            ``(3) Positive repayment status.--For purposes of this 
        section, the term `positive repayment status', when used with 
        respect to a borrower of a covered loan, means--
                    ``(A) the borrower has entered repayment on such 
                loan, and such loan is less than 90 days delinquent;
                    ``(B) the loan is paid in full (but not through 
                consolidation); or
                    ``(C) with respect to a covered loan that is a 
                Federal ONE Loan, the loan is in a deferment described 
                in 469A(b)(1), and with respect to a covered loan made, 
                insured, or guaranteed under part B or made under part 
                D, the loan is in a deferment or forbearance that is 
                comparable to a deferment described in 469A(b)(1).
            ``(4) Covered loan.--For purposes of this section--
                    ``(A) the term `covered loan' means--
                            ``(i) a loan made, insured, or guaranteed 
                        under section 428 or 428H;
                            ``(ii) a Federal Direct Stafford Loan;
                            ``(iii) a Federal Direct Unsubsidized 
                        Stafford Loan;
                            ``(iv) a Federal Direct PLUS Loan issued to 
                        a graduate or professional student;
                            ``(v) a Federal ONE Loan; or
                            ``(vi) the portion of a loan made under 
                        section 428C, a Federal Direct Consolidation 
                        Loan, or a Federal ONE Consolidation Loan that 
                        is used to repay any loan described in clauses 
                        (i) through (v); and
                    ``(B) the term `covered loan' does not include a 
                loan described in subparagraph (A) that has been 
                discharged under section 437(a).
    ``(d) Special Rules.--
            ``(1) In general.--In the case of a student who has 
        attended and borrowed at more than one institution of higher 
        education or for more than one educational program at an 
        institution, the student (and such student's subsequent 
        positive repayment status on a covered loan, if applicable)) 
        shall be attributed to each institution of higher education and 
        educational program for attendance at which the student 
        received a loan that entered repayment for the fiscal year for 
        which the loan repayment rate is being calculated.
            ``(2) Delinquent.--A loan on which a payment is made by an 
        institution of higher education, such institutions's owner, 
        agent, contractor, employee, or any other entity or individual 
        affiliated with such institution, in order to prevent the 
        borrower from being more than 90 days delinquent on the loan, 
        shall be considered more than 90 days delinquent for purposes 
        of this subsection.
            ``(3) Regulations to prevent evasions.--The Secretary shall 
        prescribe regulations designed to prevent an institution of 
        higher education from evading the application of a loan 
        repayment rate determination under this section to an 
        educational program at such institution through--
                    ``(A) the use of such measures as branching, 
                consolidation, change of ownership or control, or any 
                similar device; or
                    ``(B) creating a new educational program that is 
                substantially similar to a program determined to be 
                ineligible under subsection (a).
            ``(4) Collection and reporting of loan repayment rates.--
                    ``(A) In general.--The Secretary shall publish not 
                less often than once every fiscal year a report showing 
                final loan repayment data for each program at each 
                institution of higher education for which a loan 
                repayment rate is calculated under this section.
                    ``(B) Publication.--The Secretary shall publish the 
                report described in subparagraph (A) by September 30 of 
                each year.
                    ``(C) Drafts.--
                            ``(i) In general.--The Secretary shall 
                        provide institutions with draft loan repayment 
                        rates for each educational program at the 
                        institution at least 6 months prior to the 
                        release of the final rates under subparagraph 
                        (A).
                            ``(ii) Challenge of draft rates.--An 
                        institution may challenge a program's draft 
                        loan repayment rate provided under clause (i) 
                        for any fiscal year by demonstrating to the 
                        satisfaction of the Secretary that such draft 
                        loan repayment rate is not accurate.
    ``(e) Transition Period.--
            ``(1) During the transition period.--During the transition 
        period, the cohort default rate for each institution of higher 
        education shall be calculated under section 435(m)(1) for each 
        fiscal year for which such rate has not yet been calculated and 
        any requirements with respect to such rates shall continue to 
        apply, except that the loans with respect to which such cohort 
        default rate shall be calculated shall be the covered loans 
        defined in subsection (c)(4).
            ``(2) After the transition period.--After the transition 
        period, no new cohort default rates shall be calculated for an 
        institution of higher education and any requirements with 
        respect to such rates shall cease to apply.
            ``(3) Definitions.--For purposes of this subsection--
                    ``(A) the term `cohort default rate' has the 
                meaning given the term in section 435(m); and
                    ``(B) the term `transition period' means the 
                period--
                            ``(i) beginning on the date of enactment of 
                        the PROSPER Act; and
                            ``(ii) ending on the date on which the 
                        Secretary has published under subsection 
                        (d)(4)(A) the final loan repayment rate for 
                        each program at each institution of higher 
                        education with respect to each of fiscal years 
                        2016, 2017, and 2018.''.

SEC. 483. MASTER CALENDAR.

    Section 482 (20 U.S.C. 1089) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1)--
                            (i) in subparagraph (A), by striking 
                        ``February 1'' and inserting ``January 15'';
                            (ii) in subparagraph (B), by striking 
                        ``March 1'' and inserting ``February 1'';
                            (iii) in subparagraph (C), by striking 
                        ``June 1'' and inserting ``May 1'';
                            (iv) in subparagraph (D), by striking 
                        ``August 15'' and inserting ``July 15'';
                            (v) by striking subparagraph (E), and 
                        redesignating subparagraphs (F) and (G) as 
                        subparagraphs (E) and (F), respectively;
                            (vi) in subparagraph (E), as so 
                        redesignated, by striking ``October 1'' and 
                        inserting ``September 1''; and
                            (vii) in subparagraph (F), as so 
                        redesignated, by striking ``November 1'' and 
                        inserting ``October 1'';
                    (B) in paragraph (2)--
                            (i) in subparagraph (F), by striking ``and 
                        final Pell Grant payment schedule'';
                            (ii) in subparagraph (J), by striking 
                        ``June 1'' and inserting ``May 1'';
                            (iii) by redesignating subparagraphs (C) 
                        through (J) as subparagraphs (D) through (K), 
                        respectively; and
                            (iv) by inserting after subparagraph (B) 
                        the following:
                    ``(C) by November 1: final Pell Grant payment 
                schedule;''; and
            (2) in subsection (b)--
                    (A) by striking ``413D(d), 442(d), or 462(i)'' and 
                inserting ``442(d)''; and
                    (B) by striking ``the programs under subpart 3 of 
                part A, part C, and part E, respectively'' and 
                inserting ``part C''.

SEC. 484. FAFSA SIMPLIFICATION.

    (a) In General.--Section 483 (20 U.S.C. 1090) is amended--
            (1) in subsection (a)(3), by adding at the end the 
        following:
                    ``(I) Format.--Not later than 1 year after the date 
                of the enactment of the PROSPER Act, the Secretary 
                shall make the electronic version of the forms under 
                this paragraph available through a technology tool 
                optimized for use on mobile devices. Such technology 
                tool shall, at minimum, enable applicants to--
                            ``(i) save data; and
                            ``(ii) submit the FAFSA of such applicant 
                        to the Secretary through such tool.
                    ``(J) Consumer testing.--In developing and 
                maintaining the electronic version of the forms under 
                this paragraph and the technology tool for mobile 
                devices under subparagraph (I), the Secretary shall 
                conduct consumer testing with appropriate persons to 
                ensure the forms and technology tool are designed to be 
                easily usable and understandable by students and 
                families. Such consumer testing shall include--
                            ``(i) current and prospective college 
                        students, family members of such students, and 
                        other individuals with expertise in student 
                        financial assistance application processes;
                            ``(ii) dependent students and independent 
                        students who meet the requirements under 
                        subsection (b) or (c) of section 479; and
                            ``(iii) dependent students and independent 
                        students who do not meet the requirements under 
                        subsection (b) or (c) of section 479.''; and
            (2) by amending subsection (f) to read as follows:
    ``(f) Use of Internal Revenue Service Data Retrieval Tool To 
Populate FAFSA.--
            ``(1) Simplification efforts.--The Secretary shall--
                    ``(A) make every effort to allow applicants to 
                utilize the current data retrieval tool to transfer, 
                through a rigorous authentication process, data 
                available from the Internal Revenue Service to reduce 
                the amount of original data entry by applicants and 
                strengthen the reliability of data used to calculate 
                expected family contributions, including through the 
                use of technology to--
                            ``(i) allow an applicant to automatically 
                        populate the electronic version of the forms 
                        under this paragraph with data available from 
                        the Internal Revenue Service; and
                            ``(ii) direct an applicant to appropriate 
                        questions on such forms based on the 
                        applicant's answers to previous questions; and
                    ``(B) allow single taxpayers, married taxpayers 
                filing jointly, and married taxpayers filing separately 
                to utilize the current data retrieval tool to its full 
                capacity.
            ``(2) Use of tax return in application process.--The 
        Secretary shall continue to examine whether data provided by 
        the Internal Revenue Service can be used to generate an 
        expected family contribution without additional action on the 
        part of the student and taxpayer.
            ``(3) Reports on fafsa simplification efforts.--Not less 
        than once every other year, the Secretary shall report to the 
        authorizing committees on--
                    ``(A) the progress of the simplification efforts 
                under this subsection; and
                    ``(B) the security of the data retrieval tool.''.
    (b) Technical Amendment.--Section 483(a)(9)(C) (20 U.S.C. 
1090(a)(9)(C)) is amended by inserting ``, including through the tool 
described in section 485E(c)'' before the semicolon.

SEC. 485. STUDENT ELIGIBILITY.

    Section 484 (20 U.S.C. 1091) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``a degree, 
                certificate, or other program (including a program of 
                study abroad approved for credit by the eligible 
                institution at which such student is enrolled) leading 
                to a'' and inserting ``an eligible program (including a 
                program of study abroad approved for credit by the 
                eligible institution at which such student is enrolled) 
                leading to a degree, certificate, or other''; and
                    (B) in paragraph (3), by inserting `` as in effect 
                on the day before the date of enactment of the PROSPER 
                Act and pursuant to section 461(a) of such Act,'' after 
                ``part E,'';
            (2) in subsection (b)--
                    (A) in paragraph (3)(B), by striking ``part B or 
                D'' and inserting ``part B, D, or E''; and
                    (B) by adding at the end the following:
    ``(6) For purposes of competency-based education, in order to be 
eligible to receive any loan under this title for an award year, a 
student may be enrolled in coursework attributable only to 2 academic 
years within the award year.'';
            (3) in subsection (c)--
                    (A) in paragraph (1)--
                            (i) in subparagraph (A)--
                                    (I) by inserting ``least as 
                                frequently as'' before ``the end of 
                                each''; and
                                    (II) by striking ``, and'' at the 
                                end and inserting a semicolon;
                            (ii) in subparagraph (B)--
                                    (I) by striking ``the student has a 
                                cumulative'' and inserting the 
                                following: ``the student has--
                            ``(i) a cumulative'';
                                    (II) by striking ``the second'' and 
                                inserting ``each'';
                                    (III) by striking the period at the 
                                end and inserting ``; or''; and
                                    (IV) by adding at the end the 
                                following:
                            ``(ii) for the purposes of competency-based 
                        programs, a non-grade equivalent demonstration 
                        of academic standing consistent with the 
                        requirements for graduation, as determined by 
                        the institution, at the end of each such 
                        academic year; and''; and
                            (iii) by adding at the end the following:
            ``(C) the student maintains a pace in his or her 
        educational program that--
                    ``(i) ensures that the student completes the 
                program within the maximum timeframe; and
                    ``(ii) is measured by a method determined by the 
                institution which may be based on credit hours, clock 
                hours, or competencies completed.'';
                    (B) in paragraph (2), by striking ``grading 
                period'' and inserting ``evaluation period''; and
                    (C) by adding at the end the following:
    ``(4) For purposes of this subsection, the term `maximum timeframe' 
means--
            ``(A) with respect to an undergraduate program measured in 
        credit hours, a period that is no longer than 150 percent of 
        the published length of the educational program, as measured in 
        credit hours;
            ``(B) with respect to an undergraduate program measured in 
        competencies, a period that is no longer than 150 percent of 
        the published length of the educational program, as measured in 
        competencies;
            ``(C) with respect to an undergraduate program measured in 
        clock hours, a period that is no longer than 150 percent of the 
        published length of the educational program, as measured by the 
        cumulative number of clock hours the student is required to 
        complete and expressed in calendar time; and
            ``(D) with respect to a graduate program, a period defined 
        by the institution that is based on the length of the 
        educational program.'';
            (4) by amending subsection (d) to read as follows:
    ``(d) Additional Student Eligibility.--
            ``(1) Ability to benefit students.--In order for a student 
        who does not have a certificate of graduation from a school 
        providing secondary education, or the recognized equivalent of 
        such certificate, to be eligible for any assistance under 
        subpart 1 of part A and parts C, D, and E of this title, the 
        student shall be determined by the institution of higher 
        education as having the ability to benefit from the education 
        offered by the institution of higher education upon 
        satisfactory completion of 6 credit hours or the equivalent 
        coursework that are applicable toward a degree or certificate 
        offered by the institution of higher education.
            ``(2) Homeschool students.--A student who has completed a 
        secondary school education in a home school setting that is 
        treated as a home school or private school under State law 
        shall be eligible for assistance under subpart 1 of part A and 
        parts C, D, and E of this title.
            ``(3) Secondary education provided by nonprofit 
        corporations.--A student who has completed a secondary 
        education provided by a school operating as a nonprofit 
        corporation that offers a program of study determined 
        acceptable for admission at an institution of higher education 
        shall be eligible for assistance under subpart 1 of part A and 
        parts C, D, and E of this title.''.
            (5) in subsection (f)(1), by striking ``or part E'' both 
        places it appears and inserting the following: ``, part E (as 
        in effect on the day before the date of enactment of the 
        PROSPER Act and pursuant to section 461(a) of such Act), or 
        part E (as in effect on or after the date of enactment of the 
        PROSPER Act)'';
            (6) by striking subsection (l);
            (7) in subsection (n)--
                    (A) by striking ``(n) Data Base Matching.--To 
                enforce''; and inserting the following:
    ``(n) Selective Service Registration.--
            ``(1) Data base matching.--To enforce''; and
                    (B) by adding at the end the following:
            ``(2) Effect of failure to register for selective 
        service.--A person who is 26 years of age or older shall not be 
        ineligible for assistance or a benefit provided under this 
        title by reason of failure to present himself for, and submit 
        to, registration under section 3 of the Military Selective 
        Service Act (50 U.S.C. 3802).''; and
            (8) by redesignating subsections (m) through (t) as 
        subsections (l) through (s).

SEC. 486. STATUTE OF LIMITATIONS.

    Section 484A (20 U.S.C. 1088) is amended--
            (1) in subsection (a)(2)(C)--
                    (A) by striking ``or section 463(a)'' and inserting 
                ``, section 463(a) (as in effect on the day before the 
                date of enactment of the PROSPER Act and pursuant to 
                section 461(a) of such Act), or section 463 (as in 
                effect on or after the date of enactment of the PROSPER 
                Act)''; and
                    (B) by striking ``or E'' and inserting ``, E (as in 
                effect on the day before the date of enactment of the 
                PROSPER Act and pursuant to section 461(a) of such 
                Act), or E (as in effect on or after the date of 
                enactment of the PROSPER Act)''; and
            (2) in subsection (b)--
                    (A) by striking ``and'' at the end of paragraph 
                (2);
                    (B) in paragraph (3)--
                            (i) by inserting ``(as in effect on the day 
                        before the date of enactment of the PROSPER Act 
                        and pursuant to section 461(a) of such Act)'' 
                        after ``part E'';
                            (ii) by inserting ``(as so in effect)'' 
                        after ``section 463(a)''; and
                            (iii) by adding ``and'' at the end; and
                    (C) by adding at the end the following:
            ``(4) in collecting any obligation arising from a loan made 
        under part E (as in effect on or after the date of enactment of 
        the PROSPER Act), an institution of higher education that has 
        an agreement with the Secretary pursuant to section 463(a) (as 
        so in effect) shall not be subject to a defense raised by any 
        borrower based on a claim of infancy.''.

SEC. 487. INSTITUTIONAL REFUNDS.

    Section 484B (20 U.S.C. 1091b) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1)--
                            (i) by striking ``If a recipient'' and 
                        inserting the following:
                    ``(A) Consequence of withdrawal.--If a recipient''; 
                and
                            (ii) by adding at the end the following:
                    ``(B) Special rule.--For purposes of subparagraph 
                (A), a student--
                            ``(i) who is enrolled in a program offered 
                        in modules is not considered withdrawn if the 
                        change in the student's attendance constitutes 
                        a change in enrollment status within the 
                        payment period rather than a discontinuance of 
                        attendance within the payment period; and
                            ``(ii) is considered withdrawn if the 
                        student follows the institution's official 
                        withdrawal procedures or leaves without 
                        notifying the institution and has not returned 
                        before the end of the payment period.'';
                    (B) in paragraph (3)--
                            (i) in subparagraph (B), by striking 
                        clauses (i) and (ii) and inserting the 
                        following:
                            ``(i) 0 percent, if the day the student 
                        withdrew occurs when the student has completed 
                        (as determined in accordance with subsection 
                        (d)) 0 to 24 percent of the payment period or 
                        period of enrollment;
                            ``(ii) 25 percent, if the day the student 
                        withdrew occurs when the student has completed 
                        (as determined in accordance with subsection 
                        (d)) 25 to 49 percent of the payment period or 
                        period of enrollment;
                            ``(iii) 50 percent, if the day the student 
                        withdrew occurs when the student has completed 
                        (as determined in accordance with subsection 
                        (d)) 50 to 74 percent of the payment period or 
                        period of enrollment; or
                            ``(iv) 75 percent, if the day the student 
                        withdrew occurs when the student has completed 
                        (as determined in accordance with subsection 
                        (d)) 75 to 99 percent of the payment period or 
                        period of enrollment.''.
                            (ii) in subparagraph (C)(i), by striking 
                        ``subparts 1 and 3 of part A'' and inserting 
                        ``subpart 1 of part A''; and
                    (C) in paragraph (4)--
                            (i) in subparagraph (A), by striking 
                        ``Secretary), the institution of higher 
                        education shall contact the borrower'' and 
                        inserting ``Secretary), the institution of 
                        higher education shall have discretion to 
                        determine whether all or a portion of the late 
                        or post-withdrawal disbursement should be made, 
                        under a publicized institutional policy. If the 
                        institution of higher education determines that 
                        a disbursement should be made, the institution 
                        shall contact the borrower''; and
                            (ii) in subparagraph (B) by striking 
                        ``institution or the student, or both, as may 
                        be required under paragraphs (1) and (2) of 
                        subsection (b), to the programs under this 
                        title in the order specified in'' and inserting 
                        ``institution, as may be required under 
                        paragraph (1) of subsection (b), to the 
                        programs under this title in accordance with'';
            (2) by amending subsection (b) to read as follows:
    ``(b) Return of Title IV Program Funds.--
            ``(1) Responsibility of the institution.--The institution 
        shall return not later than 60 days from the determination of 
        withdrawal, in accordance with paragraph (3), the amount of 
        grant and loan assistance awarded under this title that has not 
        been earned by the student, as calculated under subsection 
        (a)(3)(C).
            ``(2) Responsibility of the student.--
                    ``(A) In general.--The student is not responsible 
                to return assistance that has not been earned, except 
                that the institution may require the student to pay to 
                the institution up to 10 percent of the amount owed by 
                the institution in paragraph (1).
                    ``(B) Rule of construction.--Nothing in this 
                section shall be construed to prevent an institution 
                from enforcing the published institutional refund 
                policies of such institution.
            ``(3) Order of return of title iv funds.--
                    ``(A) In general.--Excess funds returned by the 
                institution in accordance with paragraph (1) shall be 
                credited to awards under subpart 1 of part A for the 
                payment period or period of enrollment for which a 
                return of funds is required.
                    ``(B) Remaining excesses.--If excess funds remain 
                after repaying all outstanding grant amounts, the 
                remaining excess shall be credited in the following 
                order:
                            ``(i) To outstanding balances on loans made 
                        under this title to the student or on behalf of 
                        the student for the payment period or period of 
                        enrollment for which a return of funds is 
                        required.
                            ``(ii) To other assistance awarded under 
                        this title for which a return of funds is 
                        required.'';
            (3) by amending subsection (c) to read as follows:
    ``(c) Withdrawal Date.--
            ``(1) In general.--In this section, the term `day the 
        student withdrew'--
                    ``(A) for institutions not required to take 
                attendance, is the date as determined by the 
                institution that--
                            ``(i) the student began the withdrawal 
                        process prescribed and publicized by the 
                        institution, or a later date if the student 
                        continued attendance despite beginning the 
                        withdrawal process, but did not then complete 
                        the payment period; or
                            ``(ii) in the case of a student who does 
                        not begin the withdrawal process, the date that 
                        is the mid-point of the payment period for 
                        which assistance under this title was disbursed 
                        or another date documented by the institution; 
                        or
                    ``(B) for institutions required to take attendance, 
                is determined by the institution from such attendance 
                records.
            ``(2) Special rule.--Notwithstanding paragraph (1), if the 
        institution determines that a student did not begin the 
        withdrawal process, due to illness, accident, grievous personal 
        loss, or other such circumstances beyond the student's control, 
        the institution may determine the appropriate withdrawal date 
        under its own defined policies.
            ``(3) Attendance.--An institution is required to take 
        attendance if an institution's accrediting agency or State 
        licensing agency has a requirement that the institution take 
        attendance for all students in an academic program throughout 
        the entire payment period.''; and
            (4) by striking subsections (d) and (e).

SEC. 488. INFORMATION DISSEMINATED TO PROSPECTIVE AND ENROLLED 
              STUDENTS.

    (a) Use of Website To Disseminate Information.--Section 485(a)(1) 
(20 U.S.C. 1092(a)(1)) is amended in the matter preceding subparagraph 
(A) by striking the second and third sentences and inserting the 
following: ``The information required by this section shall be produced 
and be made readily available to enrolled and prospective students on 
the institution's website (or in other formats upon request).''.
    (b) Information on Prohibiting Copyright Infringement.--Section 
485(a)(1)(P) (20 U.S.C. 1092(a)(1)(P)) is amended by striking ``, 
including--'' and all that follows and inserting a period.
    (c) Elimination of Certain Reporting Requirements.--
            (1) In general.--Section 485(a)(1) (20 U.S.C. 1092(a)(1)) 
        is amended--
                    (A) by striking subparagraph (L);
                    (B) by redesignating subparagraphs (M) through (P) 
                as subparagraphs (L) through (O); and
                    (C) by striking subparagraphs (Q) through (V) and 
                inserting the following:
                    ``(P) the fire safety report prepared by the 
                institution pursuant to subsection (i); and
                    ``(Q) the link to the institution's information on 
                the College Dashboard website operated under section 
                132.''.
            (2) Conforming amendments.--Section 485(a) (20 U.S.C. 
        1092(a)) is amended by striking paragraphs (3) through (7).
    (d) Exit Counseling.--Section 485(b) (20 U.S.C. 1092(b)) is 
amended--
            (1) in paragraph (1)(A)--
                    (A) in the matter preceding clause (i)--
                            (i) by striking ``through financial aid 
                        offices or otherwise'' and inserting ``through 
                        the use of an interactive program, during an 
                        exit counseling session that is in-person or 
                        online, or through the use of the online 
                        counseling tool described in subsection 
                        (n)(1)(A)''; and
                            (ii) by inserting ``, as in effect on the 
                        day before the date of enactment of the PROSPER 
                        Act and pursuant to section 461(a) of such Act 
                        or made under part E (other than Federal ONE 
                        Parent Loans), as in effect on or after the 
                        date of enactment of the PROSPER Act'' after 
                        ``part E'';
                    (B) by redesignating clauses (i) through (ix) as 
                clauses (iv) through (xii), respectively;
                    (C) by inserting before clause (iv), as so 
                redesignated, the following:
                            ``(i) a summary of the outstanding balance 
                        of principal and interest due on the loans made 
                        to the borrower under this title;
                            ``(ii) an explanation of the grace period 
                        preceding repayment and the expected date that 
                        the borrower will enter repayment;
                            ``(iii) an explanation of cases of interest 
                        capitalization and that the borrower has the 
                        option to pay any interest that has accrued 
                        while the borrower was in school or that may 
                        accrue during the grace period preceding 
                        repayment or during an authorized period of 
                        deferment or forbearance, prior to the 
                        capitalization of the interest;'';
                    (D) in clause (iv), as so redesignated--
                            (i) by striking ``sample information 
                        showing the average'' and inserting 
                        ``information, based on the borrower's 
                        outstanding balance described in clause (i), 
                        showing the borrower's''; and
                            (ii) by striking ``of each plan'' and 
                        inserting ``of at least the standard repayment 
                        plan and the income-based repayment plan under 
                        section 466(d)'';
                    (E) in clause (ix), as so redesignated--
                            (i) by inserting ``decreased credit 
                        score,'' after ``credit reports,''; and
                            (ii) by inserting ``potential reduced 
                        ability to rent or purchase a home or car, 
                        potential difficulty in securing employment,'' 
                        after ``Federal law,'';
                    (F) in clause (x), as so redesignated, by striking 
                ``consolidation loan under section 428C or a'';
                    (G) in clauses (xi) and (xii), as so redesignated, 
                by striking ``and'' at the end; and
                    (H) by adding at the end the following:
                    ``(xiii) for each of the borrower's loans made 
                under this title for which the borrower is receiving 
                counseling under this subsection, the contact 
                information for the servicer of the loan and a link to 
                the Website of such servicer; and
                    ``(xiv) an explanation that an individual has a 
                right to annually request a disclosure of information 
                collected by a consumer reporting agency pursuant to 
                section 612(a) of the Fair Credit Reporting Act (15 
                U.S.C. 1681j(a)).'';
            (2) in paragraph (1)(B)--
                    (A) by inserting ``online or'' before ``in 
                writing''; and
                    (B) by adding before the period at the end the 
                following: ``, except that in the case of an 
                institution using the online counseling tool described 
                in subsection (n)(1)(A), the Secretary shall attempt to 
                provide such information to the student in the manner 
                described in subsection (n)(3)(C)''; and
            (3) in paragraph (2)(C), by inserting ``, such as the 
        online counseling tool described in subsection (n)(1)(A),'' 
        after ``electronic means''.
    (e) Departmental Publication of Descriptions of Assistance 
Programs.--The third sentence of section 485(d)(1) (20 U.S.C. 
1092(d)(1)) is amended by striking ``part D'' and inserting ``part D or 
E''.
    (f) Amendments to Clery Act.--
            (1) Preventing interference with criminal justice 
        proceedings; timely warnings; consistency of institutional 
        crime reporting.--Section 485(f) (20 U.S.C. 1092(f)) is 
        amended--
                    (A) by striking paragraph (3) and inserting the 
                following:
            ``(3) Each institution participating in any program under 
        this title, other than a foreign institution of higher 
        education, shall make timely reports to the campus community on 
        crimes described in paragraph (1)(F) that have been reported to 
        campus security officials and pose a serious and continuing 
        threat to other students and employees' safety. Such reports 
        shall withhold the names of victims as confidential and shall 
        be provided in a timely manner, except that an institution may 
        delay issuing a report if the issuance would compromise ongoing 
        law enforcement efforts, such as efforts to apprehend a 
        suspect. The report shall also include information designed to 
        assist students and employees in staying safe and avoiding 
        similar occurrences to the extent such information is available 
        and appropriate to include. In assessing institutional 
        compliance with this section, the Secretary shall defer to the 
        institution's determination of whether a particular crime poses 
        a serious and continuing threat to the campus community, and 
        the timeliness of such warning, provided that, in making its 
        decision, the institution acted reasonably and based on the 
        considered professional judgement of campus security officials, 
        based on the facts and circumstances known at the time.'';
                    (B) by redesignating paragraph (18) as paragraph 
                (20); and
                    (C) by inserting after paragraph (17) the 
                following:
    ``(18) Nothing in this subsection may be construed to prohibit an 
institution of higher education from delaying the initiation of, or 
suspending, an investigation or institutional disciplinary proceeding 
involving an allegation of sexual assault in response to a request from 
a law enforcement agency or a prosecutor to delay the initiation of, or 
suspend, the investigation or proceeding, and any delay or suspension 
of such an investigation or proceeding in response to such a request 
may not serve as the grounds for any sanction or audit finding against 
the institution or for the suspension or termination of the 
institution's participation in any program under this title.
    ``(19)(A) Reporting carried out under this subsection shall be 
conducted in a manner to ensure maximum consistency with the Uniform 
Crime Reporting Program of the Department of Justice.
    ``(B) The Secretary shall require institutions of higher education 
to report crime statistics under this section using definitions of such 
crimes, when available, from the Uniform Crime Reporting Program of the 
Department of Justice.
    ``(C) The Secretary shall maintain a publicly available and updated 
list of all applicable definitions from the Uniform Crime Reporting 
Program of the Department of Justice.
    ``(D) With respect to a report under this subsection, in the case 
of a crime for which no Uniform Crime Reporting Program of the 
Department of Justice definition exists, the Secretary shall require 
that institutions of higher education report such crime according to a 
definition provided by the Secretary.
    ``(E) An institution of higher education that reports a crime 
described in subparagraph (D) shall not be subject to any penalty or 
fine for reporting inaccuracies or omissions if the institution of 
higher education can demonstrate that it made a reasonable and good 
faith effort to report crimes consistent with the definition provided 
by the Secretary.
    ``(F) With respect to a report under this subsection, the Secretary 
shall require institutions of higher education to follow the Hierarchy 
Rule for reporting crimes under the Uniform Crime Reporting Program of 
the Department of Justice, so as to minimize duplicate reporting and 
ensure greater consistency with national crime reporting systems.''.
            (2) Due process requirements for institutional disciplinary 
        proceedings.--Section 485(f)(8)(B)(iv)(I) (20 U.S.C. 
        1092(f)(8)(B)(iv)(I)) is amended to read as follows:
                            ``(I) the investigation of the allegation 
                        and any institutional disciplinary proceeding 
                        in response to the allegation shall be prompt, 
                        impartial, and fair to both the accuser and the 
                        accused by, at a minimum--
                                    ``(aa) providing all parties to the 
                                proceeding with adequate written notice 
                                of the allegation not later than 2 
                                weeks prior to the start of any formal 
                                hearing or similar adjudicatory 
                                proceeding, and including in such 
                                notice a description of all rights and 
                                responsibilities under the proceeding, 
                                a statement of all relevant details of 
                                the allegation, and a specific 
                                statement of the sanctions which may be 
                                imposed;
                                    ``(bb) providing each person 
                                against whom the allegation is made 
                                with a meaningful opportunity to admit 
                                or contest the allegation;
                                    ``(cc) ensuring that all parties to 
                                the proceeding have access to all 
                                material evidence not later than one 
                                week prior to the start of any formal 
                                hearing or similar adjudicatory 
                                proceeding;
                                    ``(dd) ensuring that the proceeding 
                                is carried out free from conflicts of 
                                interest by ensuring that there is no 
                                commingling of administrative or 
                                adjudicative roles; and
                                    ``(ee) ensuring that the 
                                investigation and proceeding shall be 
                                conducted by officials who receive 
                                annual education on issues related to 
                                domestic violence, dating violence, 
                                sexual assault, and stalking, and on 
                                how to conduct an investigation and an 
                                institutional disciplinary proceeding 
                                that protects the safety of victims, 
                                ensures fairness for both the accuser 
                                and the accused, and promotes 
                                accountability;''.
            (3) Establishment of standard of evidence for institutional 
        disciplinary proceedings.--
                    (A) Inclusion in statement of policy.--Section 
                485(f)(8)(B) (20 U.S.C. 1092(f)(8)(B)) is amended by 
                adding at the end the following new clause:
                    ``(viii) The establishment of a standard of 
                evidence that will be used in institutional 
                disciplinary proceedings involving allegations of 
                sexual assault, which may be based on such standards 
                and criteria as the institution considers appropriate 
                (including the institution's culture, history, and 
                mission, the values reflected in its student code of 
                conduct, and the purpose of the institutional 
                disciplinary proceedings) so long as the standard is 
                not arbitrary or capricious and is applied consistently 
                throughout all such proceedings.''.
                    (B) Conforming amendments.--Section 
                485(f)(8)(B)(iv) (20 U.S.C. 1092(f)(8)(B)(iv)) is 
                amended--
                            (i) by striking ``and'' at the end of 
                        subclause (II);
                            (ii) by striking the period at the end of 
                        subclause (III) and inserting ``; and''; and
                            (iii) by adding at the end the following 
                        new subclause:
                            ``(IV) in the case of a proceeding 
                        involving an allegation of sexual assault, such 
                        proceedings shall be conducted in accordance 
                        with the standard of evidence established by 
                        the institution under clause (viii), together 
                        with a clear statement describing such standard 
                        of evidence.''.
            (4) Education modules for officials conducting 
        investigations and institutional disciplinary proceedings.--
        Section 485(f)(8) (20 U.S.C. 1092(f)(8)) is amended by adding 
        at the end the following new subparagraph:
            ``(D) In consultation with experts from institutions of 
        higher education, law enforcement agencies, advocates for 
        sexual assault victims, experts in due process, and other 
        appropriate persons, the Secretary shall create and regularly 
        update modules which an institution of higher education may use 
        to provide the annual education described in subparagraph 
        (B)(iv)(I)(ee) for officials conducting investigations and 
        institutional disciplinary proceedings involving allegations 
        described in such subparagraph. If the institution uses such 
        modules to provide the education described in such 
        subparagraph, the institution shall be considered to meet any 
        requirement under such subparagraph or any other Federal law 
        regarding the education provided to officials conducting such 
        investigations and proceedings.''.
    (g) Modification of Certain Reporting Requirements.--
            (1) Fire safety.--Section 485(i) (20 U.S.C. 1092(i)) is 
        amended to read as follows:
    ``(i) Fire Safety Reports.--
            ``(1) Annual report.--Each eligible institution 
        participating in any program under this title that maintains 
        on-campus student housing facilities shall, on an annual basis, 
        publish a fire safety report, which shall contain information 
        with respect to the campus fire safety practices and standards 
        of that institution, statistics on any fire related incidents 
        or injuries, and any preventative measures or technologies.
            ``(2) Rules of construction.--Nothing in this subsection 
        shall be construed to--
                    ``(A) authorize the Secretary to require particular 
                policies, procedures, programs, or practices by 
                institutions of higher education with respect to fire 
                safety;
                    ``(B) affect section 444 of the General Education 
                Provisions Act (commonly known as the `Family Education 
                Rights and Privacy Act of 1974') or the regulations 
                issued under section 264 of the Health Insurance 
                Portability and Accountability Act of 1996 (42 U.S.C. 
                1320d-2 note);
                    ``(C) create a cause of action against any 
                institution of higher education or any employee of such 
                an institution for any civil liability; or
                    ``(D) establish any standard of care.
            ``(3) Evidence.--Notwithstanding any other provision of 
        law, evidence regarding compliance or noncompliance with this 
        subsection shall not be admissible as evidence in any 
        proceeding of any court, agency, board, or other entity, except 
        with respect to an action to enforce this subsection.''.
            (2) Missing persons procedures.--
                    (A) In general.--Section 485(j)(1) (20 U.S.C. 
                1092(j)(1)) is amended to read as follows:
            ``(1) In general.--Each institution of higher education 
        that provides on-campus housing and participates in any program 
        under this title shall establish a missing student policy for 
        students who reside in on-campus housing that, at a minimum, 
        informs each residing student that the institution will notify 
        such student's designated emergency contact and the appropriate 
        law enforcement agency not later than 24 hours after the time 
        that the student is determined missing, and in the case of a 
        student who is under 18 years of age, the institution will 
        notify a custodial parent or guardian.''.
                    (B) Rule of construction.--Section 485(j)(2) (20 
                U.S.C. 1092(j)(2)) is amended--
                            (i) by striking ``or'' at the end of 
                        subparagraph (A);
                            (ii) by striking the period at the end of 
                        subparagraph (B) and inserting ``; or''; and
                            (iii) by adding at the end the following 
                        new subparagraph:
                    ``(C) to require an institution of higher education 
                to maintain separate missing student emergency contact 
                information, so long as the institution otherwise has 
                an emergency contact for students residing on 
                campus.''.
    (h) Annual Counseling.--Section 485(l) (20 U.S.C. 1092(l)) is 
amended to read as follows:
    ``(l) Annual Financial Aid Counseling.--
            ``(1) Annual disclosure required.--
                    ``(A) In general.--Each eligible institution shall 
                ensure that each individual enrolled at such 
                institution who receives a Federal Pell Grant or a loan 
                made under this title (other than a Federal Direct 
                Consolidation Loan or Federal ONE Consolidation Loan) 
                receives comprehensive information on the terms and 
                conditions of such Federal Pell Grant or loan and the 
                responsibilities the individual has with respect to 
                such Federal Pell Grant or loan. Such information shall 
                be provided, for each award year for which the 
                individual receives such Federal Pell Grant or loan, in 
                a simple and understandable manner--
                            ``(i) during a counseling session conducted 
                        in person;
                            ``(ii) online, with the individual 
                        acknowledging receipt of the information; or
                            ``(iii) through the use of the online 
                        counseling tool described in subsection 
                        (n)(1)(B).
                    ``(B) Use of interactive programs.--In the case of 
                institutions not using the online counseling tool 
                described in subsection (n)(1)(B), the Secretary shall 
                require such institutions to carry out the requirements 
                of subparagraph (A)--
                            ``(i) through the use of interactive 
                        programs;
                            ``(ii) during an annual counseling session 
                        that is in-person or online that tests the 
                        individual's understanding of the terms and 
                        conditions of the Federal Pell Grant or loan 
                        awarded to the student; and
                            ``(iii) using simple and understandable 
                        language and clear formatting.
            ``(2) All individuals.--The information to be provided 
        under paragraph (1) to each individual receiving counseling 
        under this subsection shall include the following:
                    ``(A) An explanation of how the student may budget 
                for typical educational expenses and a sample budget 
                based on the cost of attendance for the institution.
                    ``(B) An explanation that an individual has a right 
                to annually request a disclosure of information 
                collected by a consumer reporting agency pursuant to 
                section 612(a) of the Fair Credit Reporting Act (15 
                U.S.C. 1681j(a)).
                    ``(C) Based on the most recent data available from 
                the American Community Survey available from the 
                Department of Commerce, the estimated average income 
                and percentage of employment in the State of domicile 
                of the borrower for persons with--
                            ``(i) a high school diploma or equivalent;
                            ``(ii) some post-secondary education 
                        without completion of a degree or certificate;
                            ``(iii) an associate's degree;
                            ``(iv) a bachelor's degree; and
                            ``(v) a graduate or professional degree.
                    ``(D) An introduction to the financial management 
                resources provided by the Financial Literacy and 
                Education Commission.
            ``(3) Students receiving federal pell grants.--The 
        information to be provided under paragraph (1) to each student 
        receiving a Federal Pell Grant shall include the following:
                    ``(A) An explanation of the terms and conditions of 
                the Federal Pell Grant.
                    ``(B) An explanation of approved educational 
                expenses for which the student may use the Federal Pell 
                Grant.
                    ``(C) An explanation of why the student may have to 
                repay the Federal Pell Grant.
                    ``(D) An explanation of the maximum number of 
                semesters or equivalent for which the student may be 
                eligible to receive a Federal Pell Grant, and a 
                statement of the amount of time remaining for which the 
                student may be eligible to receive a Federal Pell 
                Grant.
                    ``(E) An explanation that if the student transfers 
                to another institution not all of the student's courses 
                may be acceptable to apply toward meeting specific 
                degree or program requirements at such institution, but 
                the amount of time remaining for which a student may be 
                eligible to receive a Federal Pell Grant, as provided 
                under subparagraph (D), will not change.
                    ``(F) An explanation of how the student may seek 
                additional financial assistance from the institution's 
                financial aid office due to a change in the student's 
                financial circumstances, and the contact information 
                for such office.
            ``(4) Borrowers receiving loans made this title (other than 
        federal direct plus loans made on behalf of dependent students 
        or federal one parent loans).--The information to be provided 
        under paragraph (1) to a borrower of a loan made under this 
        title (other than other than a Federal Direct PLUS Loan made on 
        behalf of a dependent student or a Federal ONE Parent Loan) 
        shall include the following:
                    ``(A) To the extent practicable, the effect of 
                accepting the loan to be disbursed on the eligibility 
                of the borrower for other forms of student financial 
                assistance.
                    ``(B) An explanation of the use of the master 
                promissory note.
                    ``(C) An explanation that the borrower is not 
                required to accept the full amount of the loan offered 
                to the borrower.
                    ``(D) An explanation that the borrower should 
                consider accepting any grant, scholarship, or State or 
                Federal work-study jobs for which the borrower is 
                eligible prior to accepting Federal student loans.
                    ``(E) An explanation of treatment of loans made 
                under this title and private education loans in 
                bankruptcy, and an explanation that if a borrower 
                decides to take out a private education loan--
                            ``(i) the borrower has the ability to 
                        select a private educational lender of the 
                        borrower's choice;
                            ``(ii) the proposed private education loan 
                        may impact the borrower's potential eligibility 
                        for other financial assistance, including 
                        Federal financial assistance under this title; 
                        and
                            ``(iii) the borrower has a right--
                                    ``(I) to accept the terms of the 
                                private education loan within 30 
                                calendar days following the date on 
                                which the application for such loan is 
                                approved and the borrower receives the 
                                required disclosure documents, pursuant 
                                to section 128(e)(6) of the Truth in 
                                Lending Act; and
                                    ``(II) to cancel such loan within 3 
                                business days of the date on which the 
                                loan is consummated, pursuant to 
                                section 128(e)(7) of such Act.
                    ``(F) An explanation of the approved educational 
                expenses for which the borrower may use a loan made 
                under this title.
                    ``(G) Information on the annual and aggregate loan 
                limits for a loan made under this title.
                    ``(H) Information on interest, including the annual 
                percentage rate of such loan, as calculated using the 
                standard 10-year repayment term, and how interest 
                accrues and is capitalized during periods when the 
                interest is not paid by the borrower.
                    ``(I) The option of the borrower to pay the 
                interest while the borrower is in school.
                    ``(J) The definition of half-time enrollment at the 
                institution, during regular terms and summer school, if 
                applicable, and the consequences of not maintaining at 
                least half-time enrollment.
                    ``(K) An explanation of the importance of 
                contacting the appropriate offices at the institution 
                of higher education if the borrower withdraws prior to 
                completing the borrower's program of study so that the 
                institution can provide exit counseling, including 
                information regarding the borrower's repayment options 
                and loan consolidation.
                    ``(L) For a first-time borrower or a borrower of a 
                loan under this title who owes no principal or interest 
                on such loan--
                            ``(i) a statement of the anticipated 
                        balance on the loan for which the borrower is 
                        receiving counseling under this subsection;
                            ``(ii) based on such anticipated balance, 
                        the anticipated monthly payment amount under, 
                        at minimum--
                                    ``(I) the standard repayment plan; 
                                and
                                    ``(II) an income-based repayment 
                                plan under section 466(d) or 493C, as 
                                determined using available percentile 
                                data from the Bureau of Labor 
                                Statistics of the starting salary for 
                                the occupation in which the borrower 
                                has an interest in or intends to be 
                                employed; and
                            ``(iii) an estimate of the projected 
                        monthly payment amount under each repayment 
                        plan described in clause (ii), based on the 
                        average cumulative indebtedness at graduation 
                        for borrowers of loans made under this title 
                        who are in the same program of study as the 
                        borrower.
                    ``(M) For a borrower with an outstanding balance of 
                principal or interest due on a loan made under this 
                title--
                            ``(i) a current statement of the amount of 
                        such outstanding balance and interest accrued;
                            ``(ii) based on such outstanding balance, 
                        the anticipated monthly payment amount under 
                        the standard repayment plan, and the income-
                        based repayment plan under section 466(d) or 
                        493C, as determined using available percentile 
                        data from the Bureau of Labor Statistics of the 
                        starting salary for the occupation the borrower 
                        intends to be employed; and
                            ``(iii) an estimate of the projected 
                        monthly payment amount under each repayment 
                        plan described in clause (ii), based on--
                                    ``(I) the outstanding balance 
                                described in clause (i);
                                    ``(II) the anticipated outstanding 
                                balance on the loan for which the 
                                student is receiving counseling under 
                                this subsection; and
                                    ``(III) a projection for any other 
                                loans made under this title that the 
                                borrower is reasonably expected to 
                                accept during the borrower's program of 
                                study based on at least the expected 
                                increase in the cost of attendance of 
                                such program.
                    ``(N) The obligation of the borrower to repay the 
                full amount of the loan, regardless of whether the 
                borrower completes or does not complete the program in 
                which the borrower is enrolled within the regular time 
                for program completion.
                    ``(O) The likely consequences of default on the 
                loan, including adverse credit reports, delinquent debt 
                collection procedures under Federal law, and 
                litigation, and a notice of the institution's most 
                recent loan repayment rate (as defined in section 481B) 
                for the educational program in which the borrower is 
                enrolled, an explanation of the loan repayment rate, 
                and the most recent national average loan repayment 
                rate for an educational program.
                    ``(P) Information on the National Student Loan Data 
                System and how the borrower can access the borrower's 
                records.
                    ``(Q) The contact information for the institution's 
                financial aid office or other appropriate office at the 
                institution the borrower may contact if the borrower 
                has any questions about the borrower's rights and 
                responsibilities or the terms and conditions of the 
                loan.
            ``(5) Borrowers receiving federal direct plus loans for 
        dependent students or federal one parent loans.--The 
        information to be provided under paragraph (1) to a borrower of 
        a Federal Direct PLUS Loan for a dependent student or a Federal 
        ONE Parent Loan shall include the following:
                    ``(A) The information described in subparagraphs 
                (A) through (C) and (N) through (Q) of paragraph (4).
                    ``(B) An explanation of the treatment of the loan 
                and private education loans in bankruptcy.
                    ``(C) Information on the annual and aggregate loan 
                limits.
                    ``(D) Information on the annual percentage rate of 
                the loan.
                    ``(E) The option of the borrower to pay the 
                interest on the loan while the loan is in deferment.
                    ``(F) For a first-time borrower of a loan or a 
                borrower of a loan under this title who owes no 
                principal or interest on such loan--
                            ``(i) a statement of the anticipated 
                        balance on the loan for which the borrower is 
                        receiving counseling under this subsection;
                            ``(ii) based on such anticipated balance, 
                        the anticipated monthly payment amount under 
                        the standard repayment plan; and
                            ``(iii) an estimate of the projected 
                        monthly payment amount under the standard 
                        repayment plan, based on the average cumulative 
                        indebtedness of other borrowers of loans made 
                        under this title on behalf of dependent 
                        students who are in the same program of study 
                        as the student on whose behalf the borrower 
                        borrowed the loan.
                    ``(G) For a borrower with an outstanding balance of 
                principal or interest due on such loan--
                            ``(i) a statement of the amount of such 
                        outstanding balance;
                            ``(ii) based on such outstanding balance, 
                        the anticipated monthly payment amount under 
                        the standard repayment plan; and
                            ``(iii) an estimate of the projected 
                        monthly payment amount under the standard 
                        repayment plan, based on--
                                    ``(I) the outstanding balance 
                                described in clause (i);
                                    ``(II) the anticipated outstanding 
                                balance on the loan for which the 
                                borrower is receiving counseling under 
                                this subsection; and
                                    ``(III) a projection for any other 
                                Federal Direct PLUS Loan made on behalf 
                                of the dependent student or Federal ONE 
                                Parent Loan that the borrower is 
                                reasonably expected to accept during 
                                the program of study of such student 
                                based on at least the expected increase 
                                in the cost of attendance of such 
                                program.
                    ``(H) Debt management strategies that are designed 
                to facilitate the repayment of such indebtedness.
                    ``(I) An explanation that the borrower has the 
                options to prepay each loan, pay each loan on a shorter 
                schedule, and change repayment plans.
                    ``(J) For each Federal Direct PLUS Loan and each 
                Federal ONE Parent Loan for which the borrower is 
                receiving counseling under this subsection, the contact 
                information for the loan servicer of the loan and a 
                link to such servicer's Website.
            ``(6) Annual loan acceptance.--Prior to making the first 
        disbursement of a loan made under this title (other than a 
        Federal Direct Consolidation Loan or Federal ONE Consolidation 
        Loan) to a borrower for an award year, an eligible institution, 
        shall, as part of carrying out the counseling requirements of 
        this subsection for the loan, ensure that after receiving the 
        applicable counseling under paragraphs (2), (4), and (5) for 
        the loan the borrower accepts the loan for such award year by--
                    ``(A) signing the master promissory note for the 
                loan;
                    ``(B) signing and returning to the institution a 
                separate written statement that affirmatively states 
                that the borrower accepts the loan; or
                    ``(C) electronically signing an electronic version 
                of the statement described in subparagraph (B).''.
    (i) Online Counseling Tools.--Section 485 (20 U.S.C. 1092) is 
further amended by adding at the end the following:
    ``(n) Online Counseling Tools.--
            ``(1) In general.--Beginning not later than 1 year after 
        the date of enactment of the PROSPER Act, the Secretary shall 
        maintain--
                    ``(A) an online counseling tool that provides the 
                exit counseling required under subsection (b) and meets 
                the applicable requirements of this subsection; and
                    ``(B) an online counseling tool that provides the 
                annual counseling required under subsection (l) and 
                meets the applicable requirements of this subsection.
            ``(2) Requirements of tools.--In maintaining the online 
        counseling tools described in paragraph (1), the Secretary 
        shall ensure that each such tool is--
                    ``(A) consumer tested to ensure that the tool is 
                effective in helping individuals understand their 
                rights and obligations with respect to borrowing a loan 
                made this title or receiving a Federal Pell Grant;
                    ``(B) understandable to students receiving Federal 
                Pell Grants and borrowers of loans made this title; and
                    ``(C) freely available to all eligible 
                institutions.
            ``(3) Record of counseling completion.--The Secretary 
        shall--
                    ``(A) use each online counseling tool described in 
                paragraph (1) to keep a record of which individuals 
                have received counseling using the tool, and notify the 
                applicable institutions of the individual's completion 
                of such counseling;
                    ``(B) in the case of a borrower who receives annual 
                counseling for a loan made under this title using the 
                tool described in paragraph (1)(B), notify the borrower 
                by when the borrower should accept, in a manner 
                described in subsection (l)(6), the loan for which the 
                borrower has received such counseling; and
                    ``(C) in the case of a borrower described in 
                subsection (b)(1)(B) at an institution that uses the 
                online counseling tool described in paragraph (1)(A) of 
                this subsection, the Secretary shall attempt to provide 
                the information described in subsection (b)(1)(A) to 
                the borrower through such tool.''.

SEC. 489. EARLY AWARENESS OF FINANCIAL AID ELIGIBILITY.

    Section 485E (21 U.S.C. 20 U.S.C. 1092f) is amended--
            (1) in subsection (b)--
                    (A) in paragraph (2)--
                            (i) by striking ``junior year'' and 
                        inserting ``sophomore year'';
                            (ii) by striking ``The Secretary shall 
                        ensure that'' and inserting ``The Secretary 
                        shall--
                    ``(A) ensure that''; and
                            (iii) by adding at the end the following:
                    ``(B) create an online platform for States, 
                institutions of higher education, other organizations 
                involved in college access and student financial aid, 
                secondary schools, and programs under this title that 
                serve secondary school students to share best practices 
                on disseminating information under this section.''; and
                    (B) in paragraph (4)--
                            (i) in the first sentence--
                                    (I) by striking ``Not later than 
                                two years after the date of enactment 
                                of the Higher Education Opportunity 
                                Act, the'' and inserting ``The''; and
                                    (II) by inserting ``continue to'' 
                                before ``implement''; and
                            (ii) in the second sentence, by striking 
                        ``the Internet'' and inserting ``the Internet, 
                        including through social media''; and
            (2) by adding at the end the following:
    ``(c) Online Estimator Tool.--
            ``(1) In general.--Not later than 1 year after the date of 
        enactment of the PROSPER Act, the Secretary, in consultation 
        with States, institutions of higher education, and other 
        individuals with experience or expertise in student financial 
        assistance application processes, shall develop an early 
        estimator tool to be available online and through a mobile 
        application, which--
                    ``(A) allows an individual to--
                            ``(i) enter basic financial and other 
                        relevant information; and
                            ``(ii) on the basis of such information, 
                        receive non-binding estimates of potential 
                        Federal grant, loan, or work study assistance 
                        under this title for which a student may be 
                        eligible upon completion of an application form 
                        under section 483(a);
                    ``(B) with respect to each institution of higher 
                education that participates in a program under this 
                title selected by an individual for purposes of the 
                estimator tool, provides the individual with the net 
                price (as defined in section 132) for the income 
                category described in paragraph (2) that is determined 
                on the basis of the information under subparagraph 
                (A)(i) of this paragraph entered by the individual; and
                    ``(C) includes a clear and conspicuous disclaimer 
                that the amounts calculated using the estimator tool 
                are estimates based on limited financial information, 
                and that--
                            ``(i) each such estimate--
                                    ``(I) in the case of an estimate 
                                under subparagraph (A), is only an 
                                estimate and does not represent a final 
                                determination, or actual award, of 
                                financial assistance under this title;
                                    ``(II) in the case of an estimate 
                                under subparagraph (B), is only an 
                                estimate and not a guarantee of the 
                                actual amount that a student may be 
                                charged;
                                    ``(III) shall not be binding on the 
                                Secretary or an institution of higher 
                                education; and
                                    ``(IV) may change; and
                            ``(ii) a student must complete an 
                        application form under section 483(a) in order 
                        to be eligible for, and receive, an actual 
                        financial aid award that includes Federal 
                        grant, loan, or work study assistance under 
                        this title.
            ``(2) Income categories.--The income categories for 
        purposes of paragraph (1)(B) are as follows:
                    ``(A) $0 to $30,000.
                    ``(B) $30,001 to $48,000.
                    ``(C) $48,001 to $75,000.
                    ``(D) $75,001 to $110,000.
                    ``(E) $110,001 to $150,000.
                    ``(F) Over $150,000.
            ``(3) Consumer testing.--In developing and maintaining the 
        estimator tool described in paragraph (1), the Secretary shall 
        conduct consumer testing with appropriate persons, including 
        current and prospective college students, family members of 
        such students, and other individuals with expertise in student 
        financial assistance application processes and college access, 
        to ensure that such tool is easily understandable by students 
        and families and effective in communicating early aid 
        eligibility.
            ``(4) Data storage prohibited.--In carrying out this 
        subsection, the Secretary shall not keep, store, or warehouse 
        any data inputted by individuals accessing the tool described 
        in paragraph (1).
    ``(d) Pell Table.--
            ``(1) In general.--The Secretary shall develop, and 
        annually update at the beginning of each award year, the 
        following electronic tables to be utilized in carrying out this 
        section and containing the information described in paragraph 
        (2) of this subsection:
                    ``(A) An electronic table for dependent students.
                    ``(B) An electronic table for independent students 
                with dependents other than a spouse.
                    ``(C) An electronic table for independent students 
                without dependents other than a spouse.
            ``(2) Information.--Each electronic table under paragraph 
        (1), with respect to the category of students to which the 
        table applies for the most recently completed award year for 
        which information is available, and disaggregated in accordance 
        with paragraph (3), shall contain the following information:
                    ``(A) The percentage of undergraduate students 
                attending an institution of higher education on a full-
                time, full-academic year basis who file the financial 
                aid form prescribed under section 483 for the award 
                year and received, for their first academic year during 
                such award year (and not for any additional payment 
                periods after such first academic year), the following:
                            ``(i) A Federal Pell Grant equal to the 
                        maximum amount of a Federal Pell Grant award 
                        determined under section 401(b)(2) for such 
                        award year.
                            ``(ii) A Federal Pell Grant in an amount 
                        that is--
                                    ``(I) less than the maximum amount 
                                described in clause (i); and
                                    ``(II) not less than \3/4\ of such 
                                maximum amount for such award year.
                            ``(iii) A Federal Pell Grant in an amount 
                        that is--
                                    ``(I) less than \3/4\ of such 
                                maximum amount; and
                                    ``(II) not less than \1/2\ of such 
                                maximum amount for such award year.
                            ``(iv) A Federal Pell Grant in an amount 
                        that is--
                                    ``(I) less than \1/2\ of such 
                                maximum amount; and
                                    ``(II) not less than the minimum 
                                Federal Pell Grant amount determined 
                                under section 401(b)(4) for such award 
                                year.
                    ``(B) The dollar amounts equal to--
                            ``(i) the maximum amount of a Federal Pell 
                        Grant award determined under section 401(b)(2) 
                        for an award year;
                            ``(ii) \3/4\ of such maximum amount;
                            ``(iii) \1/2\ of such maximum amount; and
                            ``(iv) the minimum Federal Pell Grant 
                        amount determined under section 401(b)(4) for 
                        such award year.
                    ``(C) A clear and conspicuous notice that--
                            ``(i) the Federal Pell Grant amounts listed 
                        in subparagraph (B) are for a previous award 
                        year, and such amounts and the requirements for 
                        awarding such amounts may be different for 
                        succeeding award years; and
                            ``(ii) the Federal Pell Grant amount for 
                        which a student may be eligible will be 
                        determined based on a number of factors, 
                        including enrollment status, once the student 
                        completes an application form under section 
                        483(a).
                    ``(D) A link to the early estimator tool described 
                in subsection (c) of this section, which includes an 
                explanation that an individual may estimate a student's 
                potential Federal aid eligibility under this title by 
                accessing the estimator on the individual's mobile 
                phone or online.
            ``(3) Income categories.--The information provided under 
        paragraph (2)(A) shall be disaggregated by the following income 
        categories:
                    ``(A) Less than $5,000.
                    ``(B) $5,000 to $9,999.
                    ``(C) $10,000 to $19,999.
                    ``(D) $20,000 to $29,999.
                    ``(E) $30,000 to $39,999.
                    ``(F) $40,000 to $49,999.
                    ``(G) $50,000 to $59,999.
                    ``(H) Greater than $59,999.
    ``(e) Limitation.--The Secretary may not require a State to 
participate in the activities or disseminate the materials described in 
this section.''.

SEC. 490. DISTANCE EDUCATION DEMONSTRATION PROGRAMS.

    Section 486 (20 U.S.C. 1093(b)) is repealed.

SEC. 491. CONTENTS OF PROGRAM PARTICIPATION AGREEMENTS.

    (a) Program Participation Agreements.--Section 487(a) (20 U.S.C. 
1094(a)) is amended in the matter before paragraph (1) by striking ``, 
except with respect to a program under subpart 4 of part A''.
    (b) Perkins Conforming Changes.--Section 487(a)(5) (20 U.S.C. 
1094(a)(5)) is amended by striking ``and, in the case of an institution 
participating in a program under part B or part E, to holders of loans 
made to the institution's students under such parts''.
    (c) Certifications to Lenders.--Section 487(a) (20 U.S.C. 1094(a)) 
is amended by striking paragraph (6).
    (d) State Grant Assistance.--Section 487(a)(9) (20 U.S.C. 
1094(a)(9)) is amended by striking ``in a program under part B or D'' 
and inserting ``in a loan program under this title''.
    (e) Drug Abuse Prevention Programs.--Section 487(a) (20 U.S.C. 
1094(a)) is amended by striking paragraph (10).
    (f) Repayment Success Plan.--Section 487(a)(14) (20 U.S.C. 
1094(a)(14)) is amended--
            (1) by striking ``under part B or D'' both places it 
        appears and inserting ``a loan program under this title'';
            (2) by striking ``Default Management Plan'' both places it 
        appears and inserting ``Repayment Success Plan''; and
            (3) in subparagraph (C), by striking ``a cohort default 
        rate in excess of 10 percent'' both places it appears and 
        inserting ``any program with a loan repayment rate less than 65 
        percent''.
    (g) Commissions to Third-Party Entities.--Section 487(a)(20) (20 
U.S.C. 1094(a)(20)) is amended--
            (1) by striking ``The institution'' and inserting ``(A) 
        Except as provided in subparagraph (B), the institution''; and
            (2) by adding at the end the following new subparagraph:
            ``(B) An institution described in section 101 may provide 
        payment, based on--
                    ``(i) the amount of tuition generated by the 
                institution from student enrollment, to a third-party 
                entity that provides a set of services to the 
                institution that includes student recruitment services, 
                regardless of whether the third-party entity is 
                affiliated with an institution that provides 
                educational services other than the institution 
                providing such payment, if--
                            ``(I) the third-party entity is not 
                        affiliated with the institution providing such 
                        payment;
                            ``(II) the third-party entity does not make 
                        compensation payments to its employees that 
                        would be prohibited under subparagraph (A) if 
                        such payments were made by the institution;
                            ``(III) the set of services provided to the 
                        institution by the third-party entity include 
                        services in addition to student recruitment 
                        services, and the institution does not pay the 
                        third-party entity solely or separately for 
                        student recruitment services provided by the 
                        third-party entity; and
                            ``(IV) any student recruitment information 
                        available to the third-party entity, including 
                        personally identifiable information, will not 
                        be used by, shared with, or sold to any other 
                        person or entity, including any institution 
                        that is affiliated with the third-party entity, 
                        unless written consent is provided by the 
                        student; and
                    ``(ii) students successfully completing their 
                educational programs, to persons who were engaged in 
                recruiting such students, but solely to the extent that 
                such payments--
                            ``(I) are obligated to be paid, and are 
                        actually paid, only after each student upon 
                        whom such payments are based has successfully 
                        completed his or her educational program; and
                            ``(II) are paid only to employees of the 
                        institution or its parent company, and not to 
                        any other person or outside entity.''.
    (h) Clarification of Proof of Authority To Operate Within a 
State.--Section 487(a)(21) (20 U.S.C. 1094(a)(21)) is amended by 
striking ``within a State'' and inserting ``within a State in which it 
maintains a physical location''.
    (i) Distribution of Voter Registration Forms.--Section 487(a)(23) 
(20 U.S.C. 1094(a)(23)) is amended to read as follows:
            ``(23) The institution, if located in a State to which 
        section 4(b) of the National Voter Registration Act of 1993 (42 
        U.S.C. 1973gg-2(b)) does not apply, will make a good faith 
        effort to distribute, including through electronic 
        transmission, voter registration forms to students enrolled and 
        physically in attendance at the institution.''.
    (j) Prohibiting Copyright Infringement.--Section 487(a)(29) (20 
U.S.C. 1094(a)(29)) is amended to read as follows:
            ``(29) The institution will have a policy prohibiting 
        copyright infringement.''.
    (k) Modifications to Preferred Lender List Requirements.--Section 
487(h)(1) (20 U.S.C. 1094(h)(1)) is amended--
            (1) in subparagraph (A)--
                    (A) in clause (i), by inserting ``and'' after the 
                semicolon;
                    (B) by striking clause (ii); and
                    (C) by redesignating clause (iii) as clause (ii);
            (2) in subparagraph (D), by inserting ``and'' after the 
        semicolon;
            (3) in subparagraph (E), by striking ``; and'' and 
        inserting a period; and
            (4) by striking subparagraph (C) and (F) and redesignating 
        subparagraphs (D) and (E) as subparagraphs (C) and (D), 
        respectively.
    (l) Elimination of Non-Title IV Revenue Requirement.--Section 487 
(20 U.S.C. 1094), is further amended--
            (1) in subsection (a), by striking paragraph (24);
            (2) by striking subsection (d); and
            (3) by redesignating subsections (e) through (j) as 
        subsections (d) through (i), respectively.
    (m) Conforming Amendments.--The Higher Education Act of 1965 (20 
U.S.C. 1001 et seq.) is amended--
            (1) in section 487(a) (20 U.S.C. 1094(a)), as amended by 
        this section--
                    (A) by redesignating paragraphs (7) through (9), as 
                paragraphs (6) through (8), respectively;
                    (B) by redesignating paragraphs (11) through (23) 
                as paragraphs (9) through (21), respectively; and
                    (C) by redesignating paragraphs (25) through (29) 
                as paragraphs (22) through (26), respectively;
            (2) in section 487(c)(1)(A)(iii) (20 U.S.C. 
        1094(c)(1)(A)(iii)), by striking ``section 102(a)(1)(C)'' and 
        inserting ``section 102(a)(1)''; and
            (3) in section 487(h)(4) (20 U.S.C. 1094(h)(4)), as 
        redesignated by subsection (l)(3), by striking ``section 102'' 
        and inserting ``section 101 or 102''.

SEC. 492. REGULATORY RELIEF AND IMPROVEMENT.

    Section 487A (20 U.S.C. 1094a) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``The Secretary 
                is authorized to'' and inserting ``The Secretary 
                shall''; and
                    (B) in paragraph (5), by inserting ``at least once 
                every two years'' before the period at the end; and
            (2) in subsection (b)--
                    (A) in paragraph (2)--
                            (i) in the paragraph heading, by inserting 
                        ``Annual'' before ``Report''; and
                            (ii) by striking the first sentence and 
                        inserting ``The Secretary shall review the 
                        experience, and rigorously evaluate the 
                        activities, of all institutions participating 
                        as experimental sites and shall, on an annual 
                        basis, submit a report based on the review and 
                        evaluation findings to the authorizing 
                        committees.'';
                    (B) in paragraph (3), by amending subparagraph (A) 
                to read as follows:
                    ``(A) In general.--
                            ``(i) Experimental sites.--The Secretary is 
                        authorized periodically to select a limited 
                        number of institutions for voluntary 
                        participation as experimental sites to provide 
                        recommendations to the Secretary and to the 
                        Congress on the impact and effectiveness of 
                        proposed regulations or new management 
                        initiatives.
                            ``(ii) Congressional notice and comments 
                        required.--
                                    ``(I) Notice.--Prior to announcing 
                                a new experimental site and inviting 
                                institutions to participate, the 
                                Secretary shall provide to the 
                                authorizing committees a notice that 
                                shall include--
                                            ``(aa) a description of the 
                                        proposed experiment and 
                                        rationale for the proposed 
                                        experiment; and
                                            ``(bb) a list of the 
                                        institutional requirements the 
                                        Secretary expects to waive and 
                                        the legal authority for such 
                                        waivers.
                                    ``(II) Congressional comments.--The 
                                Secretary shall not proceed with 
                                announcing a new experimental site and 
                                inviting institutions to participate 
                                until 10 days after the Secretary--
                                            ``(aa) receives and 
                                        addresses all comments from the 
                                        authorizing committees; and
                                            ``(bb) responds to such 
                                        committees in writing with an 
                                        explanation of how such 
                                        comments have been addressed.
                            ``(iii) Prohibition.--The Secretary is not 
                        authorized to carry out clause (i) in any year 
                        in which an annual report described in 
                        paragraph (2) relating to the previous year is 
                        not submitted to the authorizing committees.'';
                    (C) in paragraph (4)(A), by striking ``biennial'' 
                and inserting ``annual''; and
                    (D) by striking paragraph (1) and redesignating 
                paragraphs (2) through (4) as paragraphs (1) through 
                (3), respectively.

SEC. 493. TRANSFER OF ALLOTMENTS.

    Section 488 (20 U.S.C. 1095) is amended--
            (1) by inserting ``, as in effect on the day before the 
        date of enactment of the PROSPER Act,'' after ``section 462''; 
        and
            (2) by inserting ``, as in effect on the day before the 
        date of enactment of the PROSPER Act,'' after ``462''.

SEC. 494. ADMINISTRATIVE EXPENSES.

    Section 489(a) (20 U.S.C. 1096(a)) is amended--
            (1) in the second sentence--
                    (A) by striking ``subpart 3 of part A or part C,'' 
                and inserting ``part C''; and
                    (B) by striking ``or under part E of this title''; 
                and
            (2) in the third sentence--
                    (A) by striking ``its grants to students under 
                subpart 3 of part A,''; and
                    (B) by striking ``, and the principal amount of 
                loans made during such fiscal year from its student 
                loan fund established under part E, excluding the 
                principal amount of any such loans which the 
                institution has referred under section 463(a)(4)(B)''.

SEC. 494A. REPEAL OF ADVISORY COMMITTEE.

    Section 491 (20 U.S.C. 1098) is repealed.

SEC. 494B. REGIONAL MEETINGS AND NEGOTIATED RULEMAKING.

    Section 492 (20 U.S.C. 1098a) is amended--
            (1) by redesignating subsections (c) and (d) as subsections 
        (f) and (g), respectively; and
            (2) by striking subsections (a) and (b) and inserting the 
        following:
    ``(a) In General.--The Secretary may, in accordance with this 
section, issue such regulations as are reasonably necessary to ensure 
compliance with this title.
    ``(b) Public Involvement.--The Secretary shall obtain public 
involvement in the development of proposed regulations for this title. 
Before carrying out a negotiated rulemaking process as described in 
subsection (d) or publishing in the Federal Register proposed 
regulations to carry out this title, the Secretary shall obtain advice 
and recommendations from individuals, and representatives of groups, 
involved in student financial assistance programs under this title, 
such as students, institutions of higher education, financial aid 
administrators, accrediting agencies or associations, State student 
grant agencies, guaranty agencies, lenders, secondary markets, loan 
servicers, guaranty agency servicers, and collection agencies.
    ``(c) Meetings and Electronic Exchange.--
            ``(1) In general.--The Secretary shall provide for a 
        comprehensive discussion and exchange of information concerning 
        the implementation of this title through such mechanisms as 
        regional meetings and electronic exchanges of information. Such 
        regional meetings and electronic exchanges of information shall 
        be public and notice of such meetings and exchanges shall be 
        provided to--
                    ``(A) the authorizing committees at least 10 days 
                prior to the notice to interested stakeholders and the 
                public described in subparagraph (B); and
                    ``(B) interested stakeholders and the public at 
                least 30 days prior to such meetings and exchanges.
            ``(2) Consideration.--The Secretary shall take into account 
        the information received through such mechanisms in the 
        development of proposed regulations and shall publish a summary 
        of such information in the Federal Register prior to beginning 
        the negotiated rulemaking process described in subsection (d).
    ``(d) Negotiated Rulemaking Process.--
            ``(1) Negotiated rulemaking required.--All regulations 
        pertaining to this title that are promulgated after the date of 
        the enactment of this paragraph shall be subject to the 
        negotiated rulemaking process described in this subsection 
        (including the selection of the issues to be negotiated), 
        unless the Secretary--
                    ``(A) determines that applying such a requirement 
                with respect to given regulations is impracticable, 
                unnecessary, or contrary to the public interest (within 
                the meaning of section 553(b)(3)(B) of title 5, United 
                States Code);
                    ``(B) publishes the basis for such determination in 
                the Federal Register at the same time as the proposed 
                regulations in question are first published; and
                    ``(C) includes the basis for such determination in 
                the congressional notice under subsection (e)(1).
            ``(2) Congressional notice and comments required.--
                    ``(A) Notice.--The Secretary shall provide to the 
                Committee on Education and the Workforce of the House 
                of Representatives and the Committee on Health, 
                Education, Labor, and Pensions of the Senate notice of 
                the intent establish a negotiated rulemaking committee 
                that shall include--
                            ``(i) the need to issue regulations;
                            ``(ii) the statutory and legal authority of 
                        the Secretary to regulate the issue;
                            ``(iii) the summary of public comments 
                        described in paragraph (2) of subsection (c);
                            ``(iv) the anticipated burden, including 
                        the time, cost, and paperwork burden, the 
                        regulations will have on institutions of higher 
                        education and other entities that may be 
                        impacted by the regulations; and
                            ``(v) any regulations that will be repealed 
                        when the new regulations are issued.
                    ``(B) Congressional comments.--The Secretary shall 
                not proceed with the negotiated rulemaking process--
                            ``(i) until 10 days after the Secretary--
                                    ``(I) receives and addresses all 
                                comments from the authorizing 
                                committees; and
                                    ``(II) responds to the authorizing 
                                committees in writing with an 
                                explanation of how such comments have 
                                been addressed; or
                            ``(ii) until 60 days after providing the 
                        notice required under subparagraph (A) if the 
                        Secretary has not received comments under 
                        clause (i).
            ``(3) Process.--After obtaining advice and recommendations 
        under subsections (b) and (c), and before publishing proposed 
        regulations, the Secretary shall--
                    ``(A) establish a negotiated rulemaking process;
                    ``(B) select individuals to participate in such 
                process--
                            ``(i) from among individuals or groups that 
                        provided advice and recommendations under 
                        subsections (b) and (c), including--
                                    ``(I) representatives of such 
                                groups from Washington, DC; and
                                    ``(II) other industry participants; 
                                and
                            ``(ii) with demonstrated expertise or 
                        experience in the relevant subjects under 
                        negotiation, reflecting the diversity in the 
                        industry, representing both large and small 
                        participants, as well as individuals serving 
                        local areas and national markets;
                    ``(C) prepare a draft of proposed policy options, 
                which shall take into account comments received from 
                both the public and the authorizing committees, that 
                shall be provided to the individuals selected by the 
                Secretary under subparagraph (B) and such authorizing 
                committees not less than 15 days before the first 
                meeting under such process; and
                    ``(D) ensure that the negotiation process is 
                conducted in a timely manner in order that the final 
                regulations may be issued by the Secretary within the 
                360-day period described in section 437(e) of the 
                General Education Provisions Act (20 U.S.C. 1232(e)).
            ``(4) Agreements and records.--
                    ``(A) Agreements.--All published proposed 
                regulations developed through the negotiation process 
                under this subsection shall conform to all agreements 
                resulting from such process unless the Secretary 
                reopens the negotiated rulemaking process.
                    ``(B) Records.--The Secretary shall ensure that a 
                clear and reliable record is maintained of agreements 
                reached during a negotiation process under this 
                subsection.
    ``(e) Proposed Rulemaking.--If the Secretary determines pursuant to 
subsection (d)(1) that a negotiated rulemaking process is 
impracticable, unnecessary, or contrary to the public interest (within 
the meaning of section 553(b)(3)(B) of title 5, United States Code), or 
the individuals selected to participate in the process under subsection 
(d)(3)(B) fail to reach unanimous agreement on an issue being 
negotiated, the Secretary may propose regulations subject to subsection 
(f).
    ``(f) Requirements for Proposed Regulations.--Regulations proposed 
pursuant to subsection (e) shall meet the following procedural 
requirements:
            ``(1) Congressional notice.--Regardless of whether 
        congressional notice was submitted under subsection (d)(2), the 
        Secretary shall provide to the Committee on Education and the 
        Workforce of the House of Representatives and the Committee on 
        Health, Education, Labor, and Pensions of the Senate notice 
        that shall include--
                    ``(A) a copy of the proposed regulations;
                    ``(B) the need to issue regulations;
                    ``(C) the statutory and legal authority of the 
                Secretary to regulate the issue;
                    ``(D) the anticipated burden, including the time, 
                cost, and paperwork burden, the regulations will have 
                on institutions of higher education and other entities 
                that may be impacted by the regulations; and
                    ``(E) any regulations that will be repealed when 
                the new regulations are issued.
            ``(2) Congressional comments.--The Secretary may not 
        proceed with the rulemaking process--
                    ``(A) until 10 days after the Secretary--
                            ``(i) receives and addresses all comments 
                        from the authorizing committees; and
                            ``(ii) responds to the authorizing 
                        committees in writing with an explanation of 
                        how such comments have been addressed; or
                    ``(B) until 60 days after providing the notice 
                required under paragraph (1) if the Secretary has not 
                received comments under subparagraph (A).
            ``(3) Comment and review period.--The comment and review 
        period for the proposed regulation shall be 90 days unless an 
        emergency requires a shorter period, in which case such period 
        shall be not less than 45 days and the Secretary shall--
                    ``(A) designate the proposed regulation as an 
                emergency, with an explanation of the emergency, in the 
                notice to the Congress under paragraph (1);
                    ``(B) publish the length of the comment and review 
                period in such notice and in the Federal Register; and
                    ``(C) conduct immediately thereafter regional 
                meetings to review such proposed regulation before 
                issuing any final regulation.
            ``(4) Independent assessment.--No regulation shall be made 
        final after the comment and review period until the Secretary 
        has published in the Federal Register an independent assessment 
        (which shall include a representative sampling of institutions 
        of higher education based on sector, enrollment, urban, 
        suburban, or rural character, and other factors impacted by the 
        regulation) of--
                    ``(A) the burden, including the time, cost, and 
                paperwork burden, the final regulation will impose on 
                institutions and other entities that may be impacted by 
                the regulation;
                    ``(B) an explanation of how the entities described 
                in subparagraph (A) may cover the cost of the burden 
                assessed under such subparagraph; and
                    ``(C) the regulation, including a thorough 
                assessment, based on the comments received during the 
                comment and review period under paragraph (3), of 
                whether the rule is financially, operationally, and 
                educationally viable at the institutional level.''.

SEC. 494C. DEFERRAL OF LOAN REPAYMENT FOLLOWING ACTIVE DUTY.

    Section 493D(a) (20 U.S.C. 1098f) is amended, by striking ``or 
section 464(c)(2)(A)(iii)'' and inserting ``, section 464(c)(2)(A)(iii) 
(as in effect on the day before the date of enactment of the PROSPER 
Act and pursuant to section 461(a)), or section 469A(a)(2)(A)(iii)''.

SEC. 494D. CONTRACTS; MATCHING PROGRAM.

    (a) Contracts for Supplies and Services.--
            (1) In general.--Part G of title IV (20 U.S.C. 1088 et 
        seq.), as amended by this part, is further amended by adding at 
        the end the following:

``SEC. 493E. CONTRACTS.

    ``(a) Contracts for Supplies and Services.--
            ``(1) In general.--The Secretary shall, to the extent 
        practicable, award contracts for origination, servicing, and 
        collection described in subsection (b). In awarding such 
        contracts, the Secretary shall ensure that such services and 
        supplies are provided at competitive prices.
            ``(2) Entities.--The entities with which the Secretary may 
        enter into contracts shall include entities qualified to 
        provide such services and supplies and will comply with the 
        procedures applicable to the award of such contracts. In the 
        case of awarding contracts for the origination, servicing, and 
        collection of loans under parts D and E, the Secretary shall 
        enter into contracts with entities that have extensive and 
        relevant experience and demonstrated effectiveness. The 
        entities with which the Secretary may enter into such contracts 
        may include, where practicable, agencies with agreements with 
        the Secretary under sections 428(b) and (c), if such agencies 
        meet the qualifications as determined by the Secretary under 
        this subsection and if those agencies have such experience and 
        demonstrated effectiveness. In awarding contracts to such State 
        agencies, the Secretary shall, to the extent practicable and 
        consistent with the purposes of parts D and E, give 
        consideration to State agencies with a history of high quality 
        performance to perform services for institutions of higher 
        education within their State.
            ``(3) Allocations.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), the Secretary shall allocate new 
                borrower loan accounts to entities awarded a contract 
                under this section on the basis of--
                            ``(i) the performance of each such entity 
                        compared to other such entities performing 
                        similar work using common performance metrics, 
                        as determined by the Secretary; and
                            ``(ii) the capacity of each such entity 
                        compared to other such entities performing 
                        similar work to service new and existing 
                        borrower loan accounts.
                    ``(B) Federal one consolidation loans.--Any 
                borrower who receives a Federal ONE Consolidation Loan 
                may select the entity awarded a contract under this 
                section to service such loan.
            ``(4) Rule of construction.--Nothing in this section shall 
        be construed as a limitation of the authority of any State 
        agency to enter into an agreement for the purposes of this 
        section as a member of a consortium of State agencies.
    ``(b) Contracts for Origination, Servicing, and Data Systems.--The 
Secretary may enter into contracts for--
            ``(1) the servicing and collection of loans made or 
        purchased under part D or E;
            ``(2) the establishment and operation of one or more data 
        systems for the maintenance of records on all loans made or 
        purchased under part D or E; and
            ``(3) such other aspects of the direct student loan program 
        under part D or E necessary to ensure the successful operation 
        of the program.
    ``(c) Common Performance Manual.--
            ``(1) Consultation.--Not later than 180 days after the date 
        of enactment of the PROSPER Act and biannually thereafter, the 
        Secretary shall consult (in writing and in person) with 
        entities awarded contracts for loan servicing under section 456 
        (as in effect on the day before the date of enactment of the 
        PROSPER Act) and this section, to the extent practicable, to 
        develop and update as necessary, a guidance manual for entities 
        awarded contracts for loan servicing under this section that 
        provides such entities with best practices to ensure borrowers 
        receive adequate and consistent service from such entities.
            ``(2) Provision of manual.--The Secretary shall provide the 
        most recent guidance manual developed and updated under 
        paragraph (1) to each entity awarded a contract for loan 
        serving under this section.
            ``(3) Annual report.--The Secretary shall provide to the 
        authorizing committees a report, on a annual basis, detailing 
        the consultation required under paragraph (1).
    ``(d) Federal Preemption.--
            ``(1) Disclosure and communications.--An entity awarded a 
        contract under this section for the origination, servicing, and 
        collection of loans made under this title shall not be subject 
        to any law or other requirement of any State or political 
        subdivision of a State with respect to--
                    ``(A) disclosure requirements; or
                    ``(B) requirements or restrictions on the time, 
                quantity, or frequency of communications with 
                borrowers, endorsers, or references with respect to 
                such loans.
            ``(2) Servicing and collection.--The requirements of this 
        section with respect to the serving or collection of loans 
        shall preempt any law or other requirement of a State or 
        political subdivision of a State to the extent that such law or 
        other requirement would, in the absence of this subsection, 
        apply to a loan servicer, or the servicing or collection, of a 
        loan made under this title.
            ``(3) Limitation.--This subsection shall not have any legal 
        effect on any other preemption provision under Federal law with 
        respect to this title.''.
            (2) Conforming amendment.--Section 456 (20 U.S.C. 1087f) is 
        repealed.
    (b) Matching Program.--Part G of section IV (20 U.S.C. 1088 et 
seq.), as amended by subsection (a), is further amended by adding at 
the end the following:

``SEC. 493F. MATCHING PROGRAM.

    ``(a) In General.--The Secretary of Education and the Secretary of 
Veterans Affairs shall carry out a computer matching program under 
which the Secretary of Education identifies, on at least a quarterly 
basis, borrowers--
            ``(1) who have been assigned a disability rating of 100 
        percent (or a combination of ratings equaling 100 percent or 
        more) by the Secretary of Veterans Affairs for a service-
        connected disability (as defined in section 101 of title 38, 
        United States Code); or
            ``(2) who have been determined by the Secretary of Veterans 
        Affairs to be unemployable due to a service-connected 
        condition, as described in section 437(a)(2).
    ``(b) Borrower Notification.--With respect to each borrower who is 
identified under subsection (a), the Secretary shall, as soon as 
practicable after such identification--
            ``(1) notify the borrower of the borrower's eligibility for 
        loan discharge under section 437(a); and
            ``(2) provide the borrower with simple instructions on how 
        to apply for such loan discharge, including an explanation that 
        the borrower shall not be required to provide any documentation 
        of the borrower's disability rating to receive such discharge.
    ``(c) Data Collection and Report to Congress.--
            ``(1) In general.--The Secretary shall annually collect and 
        submit to the Committees on Education and the Workforce and 
        Veterans' Affairs of the House of Representatives and the 
        Committees on Health, Education, Labor, and Pensions and 
        Veterans Affairs of the Senate, data about borrowers applying 
        for and receiving loan discharges under section 437(a), which 
        shall be disaggregated in the manner described in paragraph (2) 
        and include the following:
                    ``(A) The number of applications received under 
                section 437(a).
                    ``(B) The number of such applications that were 
                approved.
                    ``(C) The number of loan discharges that were 
                completed under section 437(a).
            ``(2) Disaggregation.--The data collected under paragraph 
        (1) shall be disaggregated--
                    ``(A) by borrowers who applied under this section 
                for loan discharges under section 437(a);
                    ``(B) by borrowers who received loan discharges as 
                a result of applying for such discharges under this 
                section;
                    ``(C) by borrowers who applied for loan discharges 
                under section 437(a)(2); and
                    ``(D) by borrowers who received loan discharges as 
                a result of applying for such discharges under section 
                437(a)(2).
    ``(d) Notification to Borrowers.--The Secretary shall notify each 
borrower whose liability on a loan has been discharged under section 
437(a) that the liability on the loan has been so discharged.''.

                       PART H--PROGRAM INTEGRITY

SEC. 495. REPEAL OF AND PROHIBITION ON STATE AUTHORIZATION REGULATIONS.

    (a) Regulations Repealed.--The following regulations relating to 
State authorization (including any supplements or revisions to such 
regulations) are repealed and shall have no force or effect:
            (1) The final regulations published by the Department of 
        Education in the Federal Register on October 29, 2010 (75 Fed. 
        Reg. 66832 et seq.).
            (2) The final regulations published by the Department of 
        Education in the Federal Register on December 19, 2016 (81 Fed. 
        Reg. 92232 et seq).
    (b) Prohibition on State Authorization Regulations.--Section 495 
(20 U.S.C. 1099a) is amended by striking subsection (b) and inserting 
the following:
    ``(b) Institutional Responsibility.--Each institution of higher 
education shall provide evidence to the Secretary that the institution 
has authority to operate within each State in which it maintains a 
physical location at the time the institution is certified under 
subpart 3.
    ``(c) Treatment of Religious Institutions.--An institution shall be 
treated as legally authorized to operate educational programs beyond 
secondary education in a State under section 101(a)(2) if the 
institution is--
            ``(1) recognized as a religious institution by the State; 
        and
            ``(2) because of the institution's status as a religious 
        institution, the institution is exempt from any provision of 
        State law that requires institutions to be authorized by the 
        State to operate educational programs beyond secondary 
        education.
    ``(d) Prohibition on State Authorization Regulations.--The 
Secretary shall not promulgate or enforce any regulation or rule not in 
effect on the date of enactment of the PROSPER Act for any purpose 
under this Act with respect to the State authorization for institutions 
of higher education to operate within a State.''.

SEC. 496. RECOGNITION OF ACCREDITING AGENCY OR ASSOCIATION.

    Section 496 (20 U.S.C. 1099b) is amended--
            (1) by striking ``section 102'' each place it appears and 
        inserting ``section 101'';
            (2) in subsection (a)--
                    (A) in paragraph (2), by amending subparagraph (A) 
                to read as follows:
                    ``(A) for the purpose of participation in programs 
                under this Act or other programs administered by the 
                Department of Education or other Federal agencies, has 
                a voluntary membership of institutions of higher 
                education or other entities and has as a principal 
                purpose the accrediting of institutions of higher 
                education or programs;'';
                    (B) in paragraph (3)--
                            (i) in subparagraph (A)--
                                    (I) by striking ``subparagraph 
                                (A)(i)'' and inserting ``subparagraph 
                                (A) or (C)'';
                                    (II) by striking ``separate'' and 
                                inserting ``separately incorporated''; 
                                and
                                    (III) by adding ``or'' at the end;
                            (ii) by striking ``or'' at the end of 
                        subparagraph (B); and
                            (iii) by striking subparagraph (C);
                    (C) in paragraph (4)--
                            (i) in subparagraph (A)--
                                    (I) by inserting ``as defined by 
                                the institution'' after ``religious 
                                missions'';
                                    (II) by striking ``, including 
                                distance education or correspondence 
                                courses or programs,''; and
                                    (III) by striking ``and'' at the 
                                end;
                            (ii) by striking subparagraph (B) and 
                        inserting the following:
                    ``(B) such agency or association demonstrates the 
                ability to review, evaluate, and assess the quality of 
                any instruction delivery model or method such agency or 
                association has or seeks to include within its scope of 
                recognition, without giving preference to or 
                differentially treating a particular instruction 
                delivery model or method offered by an institution of 
                higher education or program; and
                    ``(C) if such agency or association has or seeks to 
                include within its scope of recognition the evaluation 
                of the quality of competency-based education programs, 
                such agency or association shall, in addition to 
                meeting the other requirements of this subpart, 
                demonstrate to the Secretary that, with respect to 
                competency-based education programs--
                            ``(i) the agency or association's standards 
                        include a process for determining whether an 
                        institution or program requires the 
                        demonstration of competencies that are--
                                    ``(I) capable of being validly and 
                                reliably assessed; and
                                    ``(II) appropriate in scope and 
                                rigor for the award of the relevant 
                                certificate, degree, or other 
                                recognized educational credential; and
                            ``(ii) the agency or association requires 
                        that an institution or program demonstrate that 
                        it--
                                    ``(I) has identified competencies 
                                that meet the requirements of 
                                subclauses (I) and (II) of clause (i);
                                    ``(II) requires students to 
                                demonstrate mastery of each relevant 
                                competency in order to earn the 
                                certificate, degree, or credential;
                                    ``(III) has the administrative 
                                capacity and expertise that will ensure 
                                the validity and reliability of 
                                assessments of competencies and that 
                                the institution follows good practices 
                                in assessment and measurement;
                                    ``(IV) provides sufficient faculty 
                                instruction, educational content, 
                                activities, and resources to enable 
                                students to learn or develop what is 
                                required to demonstrate or attain 
                                mastery of competencies and that such 
                                requirements are consistent with the 
                                claims that the institution makes for 
                                the qualifications of graduates; and
                                    ``(V) has defined an academic year 
                                in accordance with section 
                                481(a)(3);'';
                    (D) by amending paragraph (5) to read as follows:
            ``(5) the standards for accreditation of the agency or 
        association assess the institution's success with respect to 
        student learning and educational outcomes in relation to the 
        institution's mission, which may include different standards 
        for different institutions or programs, except that the 
        standards shall include consideration of student learning and 
        educational outcomes in relation to expected measures of 
        student learning and educational outcomes, which at the 
        agency's or association's discretion are established--
                    ``(A) by the agency or association; or
                    ``(B) by the institution or program, at the 
                institution or program level, as the case may be, if 
                the institution or program--
                            ``(i) defines expected student learning 
                        goals and educational outcomes;
                            ``(ii) measures and evaluates student 
                        learning, educational outcomes, and, if 
                        appropriate, other outcomes of the students who 
                        complete their program of study;
                            ``(iii) uses information about student 
                        learning, educational outcomes, and, if 
                        appropriate, other outcomes, to improve the 
                        institution or program; and
                            ``(iv) makes such information available to 
                        appropriate constituencies;''; and
                    (E) in paragraph (8), by striking ``, upon 
                request,'';
            (3) in subsection (b)--
                    (A) in the subsection heading, by striking 
                ``Separate'' and inserting ``Separately Incorporated'';
                    (B) in the matter preceding paragraph (1), by 
                striking ``separate'' and inserting ``separately 
                incorporated'';
                    (C) in paragraph (2), by inserting ``who shall 
                represent business'' after ``one such public member''; 
                and
                    (D) in paragraph (4), by inserting before the 
                period at the end ``and is maintained separately from 
                any such entity or organization'';
            (4) in subsection (c)--
                    (A) in paragraph (1)--
                            (i) by inserting ``(which may vary based on 
                        institutional risk consistent with policies 
                        promulgated by the agency or association to 
                        determine such risk and interval frequency as 
                        allowed under subsection (p))'' after 
                        ``intervals''; and
                            (ii) by striking ``distance education'' and 
                        inserting ``competency-based education'';
                    (B) by striking paragraph (5) and redesignating 
                paragraphs (2), (3), and (4) as paragraphs (3), (4), 
                and (5), respectively;
                    (C) by inserting after paragraph (1), the 
                following:
            ``(2) develops a mechanism to identify institutions or 
        programs accredited by the agency or association that may be 
        experiencing difficulties accomplishing their missions with 
        respect to the student learning and educational outcome goals 
        established under subsection (a)(5) and--
                    ``(A) as appropriate, uses information such as 
                student loan default or repayment rates, retention or 
                graduation rates, evidence of student learning, 
                financial data, and other indicators to identify such 
                institutions;
                    ``(B) not less than annually, evaluates the extent 
                to which those identified institutions or programs 
                continue to be in compliance with the agency or 
                association's standards; and
                    ``(C) as appropriate, requires the institution or 
                program to address deficiencies and ensure that any 
                plan to address and remedy deficiencies is successfully 
                implemented.'';
                    (D) in paragraph (4)(A), as so redesignated, by 
                striking ``487(f)'' and inserting ``487(e)'';
                    (E) by amending paragraph (5), as so redesignated, 
                to read as follows:
            ``(5) establishes and applies or maintains policies which 
        ensure that any substantive change to the educational mission, 
        program, or programs of an institution after the agency or 
        association has granted the institution accreditation or 
        preaccreditation status does not adversely affect the capacity 
        of the institution to continue to meet the agency's or 
        association's standards for such accreditation or 
        preaccreditation status, which shall include policies that--
                    ``(A) require the institution to obtain the 
                agency's or association's approval of the substantive 
                change before the agency or association includes the 
                change in the scope of the institution's accreditation 
                or preaccreditation status; and
                    ``(B) define substantive change to include, at a 
                minimum--
                            ``(i) any change in the established mission 
                        or objectives of the institution;
                            ``(ii) any change in the legal status, form 
                        of control, or ownership of the institution;
                            ``(iii) the addition of courses, programs 
                        of instruction, training, or study, or 
                        credentials or degrees that represent a 
                        significant departure from the courses, 
                        programs, or credentials or degrees that were 
                        offered at time the agency or association last 
                        evaluated the institution; or
                            ``(iv) the entering into a contract under 
                        which an institution or organization not 
                        certified to participate programs under title 
                        IV provides a portion of an accredited 
                        institution's educational program that is 
                        greater than 25 percent;'';
                    (F) in paragraph (7)--
                            (i) in the matter preceding subparagraph 
                        (A), by inserting ``, on the agency's or 
                        association's website,'' after ``public'';
                            (ii) in subparagraph (C), by inserting 
                        before the semicolon at the end the following: 
                        ``, and a summary of why such action was taken 
                        or such placement was made'';
                    (G) in paragraph (8), by striking ``and'' at the 
                end;
                    (H) in paragraph (9), by striking the period at the 
                end and inserting a semicolon; and
                    (I) by adding at the end the following:
            ``(10) makes publicly available, on the agency or 
        association's website, a list of the institutions of higher 
        education accredited by such agency or association, which 
        includes, with respect to each institution on the list---
                    ``(A) the year accreditation was granted;
                    ``(B) the most recent date of a comprehensive 
                evaluation of the institution under paragraph (1); and
                    ``(C) the anticipated date of the next such 
                evaluation; and
            ``(11) confirms, as a part of the agency's or association's 
        review for accreditation or reaccreditation, that the 
        institution's website includes consumer information described 
        section paragraphs (1) and (2) of section 132(d).'';
            (5) in subsection (e)--
                    (A) by striking ``The Secretary'' and inserting the 
                following:
            ``(1) In general.--Subject to paragraph (2), the 
        Secretary''; and
                    (B) by adding at the end the following:
            ``(2) Exception.--Paragraph (1) shall not apply in the case 
        of an institution described in subsection (j).''.
            (6) by striking subsection (h) and inserting the following:
    ``(h) Change of Accrediting Agency or Association.--
            ``(1) In general.--The Secretary shall not recognize the 
        accreditation of any otherwise eligible institution of higher 
        education if the institution is in the process of changing its 
        accrediting agency or association and is subject to one or more 
        of the following actions, unless the eligible institution 
        submits to the Secretary materials demonstrating a reasonable 
        cause for changing the accrediting agency or association:
                    ``(A) A pending or final action brought by a State 
                agency to suspend, revoke, withdraw, or terminate the 
                institution's legal authority to provide postsecondary 
                education in the State.
                    ``(B) A decision by a recognized accrediting agency 
                or association to deny accreditation or 
                preaccreditation to the institution.
                    ``(C) A pending or final action brought by a 
                recognized accrediting agency or association to 
                suspend, revoke, withdraw, or terminate the 
                institution's accreditation or preaccreditation.
                    ``(D) Probation or an equivalent status imposed on 
                the institution by a recognized accrediting agency or 
                association.
            ``(2) Rule of construction.--Nothing in this subsection 
        shall be construed to restrict the ability of an institution of 
        higher education not subject to an action described in 
        paragraph (1) and otherwise in good standing to change 
        accrediting agencies or associations without the approval of 
        the Secretary as long as the institution notifies the Secretary 
        of the change.'';
            (7) by striking subsection (k) and inserting the following:
    ``(k) Religious Institution Rule.--
            ``(1) In general.--Notwithstanding subsection (j), the 
        Secretary shall allow an institution that has had its 
        accreditation withdrawn, revoked, or otherwise terminated, or 
        has voluntarily withdrawn from an accreditation agency, to 
        remain certified as an institution of higher education under 
        section 101 and subpart 3 of this part for a period sufficient 
        to allow such institution to obtain alternative accreditation, 
        if the Secretary determines that the withdrawal, revocation, or 
        termination--
                    ``(A) is related to the religious mission or 
                affiliation of the institution; and
                    ``(B) is not related to the accreditation criteria 
                provided for in this section.
            ``(2) Requirements.--For purposes of this section the 
        following shall apply:
                    ``(A) The religious mission of an institution may 
                be reflected in the institution's religious tenets, 
                beliefs, or teachings, and any policies or decisions 
                related to such tenets, beliefs, or teachings 
                (including any policies or decisions concerning 
                housing, employment, student admission, continuing 
                enrollment, graduation, curriculum, or self-governance.
                    ``(B) An agency or association's standard fails to 
                respect an institution's religious mission when the 
                institution determines that the standard induces, 
                pressures, or coerces the institution to act contrary 
                to, or to refrain from acting in support of, any aspect 
                of its religious mission.'';
            (8) in subsection (n)(3), by striking ``distance education 
        courses or programs'' each place it appears and inserting 
        ``competency-based education programs'';
            (9) in subsection (o), by inserting before the period at 
        the end the following: ``, or with respect to the policies and 
        procedures of an accreditation agency or association described 
        in paragraph (2) or (5) of subsection (c) or how the agency or 
        association carries out such policies and procedures'';
            (10) by striking subsections (p) and (q); and
            (11) by adding at the end the following:
    ``(p) Risk-Based or Differentiated Review Processes or 
Procedures.--
            ``(1) In general.--Notwithstanding any other provision of 
        law (including subsection (a)(4)(A)), an accrediting agency or 
        association may establish, with the involvement of its 
        membership, risk-based or differentiated review processes or 
        procedures for assessing compliance with the accrediting agency 
        or association's standards, including policies related to 
        substantive change and award of accreditation statuses, for 
        institutions of higher education or programs that have 
        demonstrated exceptional past performance with respect to 
        meeting the accrediting agency or association's standards.
            ``(2) Prohibition.--Risk-based or differentiated review 
        processes or procedures shall not discriminate against, or 
        otherwise preclude, institutions of higher education based on 
        institutional sector or category, including an institution of 
        higher education's tax status.
            ``(3) Rule of construction.--Nothing in this subsection 
        shall be construed to permit the Secretary to establish any 
        criterion that specifies, defines, or prescribes an accrediting 
        agency or association's risk-based or differentiated review 
        process or procedure.
    ``(q) Waiver.--The Secretary shall establish a process through 
which an agency or association may seek to have a requirement of this 
subpart waived, if such agency or association--
            ``(1) demonstrates that such waiver is necessary to enable 
        an institution of higher education or program accredited by the 
        agency or association to implement innovative practices 
        intended to--
                    ``(A) reduce administrative burdens to the 
                institution or program without creating costs for the 
                taxpayer; or
                    ``(B) improve the delivery of services to students, 
                improve instruction or learning outcomes, or otherwise 
                benefit students; and
            ``(2) describes the terms and conditions that will be 
        placed upon the program or institution to ensure academic 
        integrity and quality.''.

SEC. 497. ELIGIBILITY AND CERTIFICATION PROCEDURES.

    (a) Eligibility and Certification Procedures.--Section 498 (20 
U.S.C. 1099c) is amended--
            (1) in subsection (a)--
                    (A) by striking ``For purposes of'' and inserting 
                the following:
            ``(1) In general.--For purposes of'';
                    (B) by inserting ``, subject to paragraph (2),'' 
                after ``determine''; and
                    (C) by adding at the end the following:
            ``(2) Special rule.--The determination of whether an 
        institution of higher education is legally authorized to 
        operate in a State under section 101(a)(2) shall be based 
        solely on that State's laws.'';
            (2) in subsection (b)(5), by striking ``B or D'' and 
        inserting ``E'';
            (3) in subsection (c)--
                    (A) by redesignating paragraphs (4), (5), and (6) 
                as paragraphs (6), (7), and (8), respectively;
                    (B) by striking the subsection designation and all 
                that follows through the end of paragraph (3) and 
                inserting the following:
    ``(c) Financial Responsibility Standards.--(1) The Secretary shall 
determine whether an institution has the financial responsibility 
required by this title in accordance with paragraph (2).
    ``(2) An institution shall be determined to be financially 
responsible by the Secretary, as required by this title, if the 
institution is able to provide the services described in its official 
publications and statements, is able to provide the administrative 
resources necessary to comply with the requirements of this title, and 
meets one of the following conditions:
            ``(A) Such institution has its liabilities backed by the 
        full faith and credit of a State, or its equivalent.
            ``(B) Such institution has a bond credit quality rating of 
        investment grade or higher from a recognized credit rating 
        agency.
            ``(C) Such institution has expendable net assets equal to 
        not less than one-half of the annual potential liabilities of 
        such institution to the Secretary for funds under this title, 
        including loan obligations discharged pursuant to section 437, 
        and to students for refunds of institutional charges, including 
        funds under this title, as calculated by an independent 
        certified public accountant in accordance with generally 
        accepted auditing standards.
            ``(D) Such institution establishes, with the support of a 
        financial statement audited by an independent certified public 
        accountant in accordance with generally accepted auditing 
        standards, that the institution has sufficient resources to 
        ensure against the precipitous closure of the institution, 
        including the ability to meet all of its financial obligations 
        (including refunds of institutional charges and repayments to 
        the Secretary for liabilities and debts incurred in programs 
        administered by the Secretary).
            ``(E) Such institution has met criteria, prescribed by the 
        Secretary by regulation in accordance with paragraph (3), 
        that--
                    ``(i) establish ratios that demonstrate financial 
                responsibility in accordance with generally accepted 
                auditing standards as described in paragraph (7);
                    ``(ii) incorporate the procedures described in 
                paragraph (4);
                    ``(iii) establish consequences for failure to meet 
                the criteria described in paragraph (5); and
                    ``(iv) take into account any differences in 
                generally accepted accounting principles, and the 
                financial statements required thereunder, that are 
                applicable to for-profit, public, and nonprofit 
                institutions.
    ``(3) The criteria prescribed pursuant to paragraph (2)(E) shall 
provide that the Secretary shall--
            ``(A) not later than 6 months after an institution that is 
        subject to the requirements of paragraph (2)(E) has submitted 
        its annual financial statement, provide to such institution a 
        notification of its preliminary score under such paragraph;
            ``(B) provide to each such institution a description of the 
        method used, and complete copies of all the calculations 
        performed, to determine the institution's score, if such 
        institution makes a request for such information within 45 days 
        after receiving the notice under subparagraph (A);
            ``(C) within 60 days of receipt by an institution of the 
        information described in subparagraph (B)--
                    ``(i) allow the institution to correct or cure an 
                administrative, accounting, or recordkeeping error if 
                the error is not part of a pattern of errors and there 
                is no evidence of fraud or misconduct related to the 
                error;
                    ``(ii) if the institution demonstrates that the 
                Secretary has made errors in its determination of the 
                initial score or has used non-standard accounting 
                practices in reaching its determination, notify the 
                institution that its composite score has been 
                corrected; and
                    ``(iii) take into consideration any subsequent 
                change in the institution's overall fiscal health that 
                would raise the institution's score;
            ``(D) maintain and preserve at all times the 
        confidentiality of any review until such score is determined to 
        be final; and
            ``(E) make a determination regarding whether the 
        institution has met the standards of financial responsibility 
        based on an audited and certified financial statement of the 
        institution as described in paragraph (7).
    ``(4) If the Secretary determines, after conducting an initial 
review, that the institution has not met at least one of the conditions 
described in subparagraphs (A) through (E) of paragraph (2) but has 
otherwise met the requirements of such paragraph--
            ``(A) the Secretary shall request information relating to 
        such conditions for any affiliated or parent organization, 
        company, or foundation owning or owned by the institution; and
            ``(B) if such additional information demonstrates that an 
        affiliated or parent organization, company, or foundation 
        owning or owned by the institution meets at least one of the 
        conditions describe in subparagraphs (A) through (E) of 
        paragraph (2), the institution shall be determined to be 
        financially responsible as required by this title.
    ``(5) The Secretary shall establish policies and procedures to 
address an institution's failure to meet the criteria of paragraph (2) 
which shall include policies and procedures that--
            ``(A) require an institution that fails to meet the 
        criteria for three consecutive years to provide to the 
        Secretary a financial plan;
            ``(B) provide for additional oversight and cash monitoring 
        restrictions, as appropriate;
            ``(C) allow an institution to submit to the Secretary 
        third-party financial guarantees that the Secretary determines 
        are reasonable, such as performance bonds or letters of credit 
        payable to the Secretary, except that an institution may not be 
        required to obtain a letter of credit in order to be deemed 
        financially responsible unless--
                    ``(i) the institution has been deemed not to be a 
                going concern, as determined by an independent 
                certified public accountant in accordance with 
                generally accepted auditing standards;
                    ``(ii) the institution is determined by the 
                Secretary to be at risk of precipitous closure when the 
                full financial resources of the institution, including 
                the value of the institution's expendable endowment, 
                are considered; or
                    ``(iii) the institution is determined by the 
                Secretary to be at risk of not meeting all of its 
                financial obligations, including refunds of 
                institutional charges and repayments to the Secretary 
                for liabilities and debts incurred in programs 
                administered by the Secretary; and
            ``(D) provide for the removal of all requirements related 
        to the institution's failure to meet the criteria once the 
        criteria are met.''; and
                    (C) in paragraph (7), as so redesignated, by 
                striking ``paragraphs (2) and (3)(C)'' and inserting 
                ``paragraph (2)'';
            (4) in subsection (g)(3)--
                    (A) by striking ``section 102(a)(1)(C)'' and 
                inserting ``section 102(a)(1)''; and
                    (B) by striking ``part B'' and inserting ``part D 
                or E'';
            (5) in subsection (h)(2), by striking ``18'' and inserting 
        ``36'';
            (6) in subsection (i)(1), by striking ``section 102 (other 
        than the requirements in subsections (b)(5) and (c)(3))'' and 
        inserting ``sections 101 (other than the requirements in 
        subsections (b)(1)(A) and (b)(2)) and 102'';
            (7) in subsection (j)(1), by striking ``meet the 
        requirements of sections 102(b)(1)(E) and 102(c)(1)(C)'' and 
        inserting ``meet the requirements to be considered an 
        institution of higher education under sections 101(b)(1)(A) and 
        101(b)(2)''; and
            (8) in subsection (k)--
                    (A) in paragraph (1), by striking ``487(f)'' and 
                inserting ``487(e)''; and
                    (B) in paragraph (2)(A), by striking ``meet the 
                requirements of sections 102(b)(1)(E) and 
                102(c)(1)(C)'' and inserting ``meet the requirements to 
                be considered an institution of higher education under 
                sections 101(b)(1)(A) and 101(b)(2)''.
    (b) Program Review and Data.--Section 498A (20 U.S.C. 1099c-1) is 
amended--
            (1) in subsection (a)(2)--
                    (A) by striking ``part B of'' both places it 
                appears;
                    (B) in subparagraph (A), by inserting before the 
                semicolon at the end the following: ``, or after the 
                transition period described in section 481B(e)(3), 
                institutions in which 25 percent or more of the 
                educational programs have a loan repayment rate 
                (defined in section 481B(c)) for the most recent fiscal 
                year of less than 50 percent'';
                    (C) in subparagraph (B), by inserting before the 
                semicolon at the end the following: ``, except that 
                this subparagraph shall not apply after the transition 
                period described in section 481B(e)(3)''; and
                    (D) in subparagraph (C)--
                            (i) by inserting ``Federal ONE Loan 
                        volume,'' after ``Stafford/Ford Loan volume''; 
                        and
                            (ii) by inserting ``Federal ONE Loan 
                        program,'' after ``Stafford/Ford Loan 
                        program'';
            (2) in subsection (b)--
                    (A) by redesignating paragraphs (3) through (8) as 
                paragraphs (4) through (9), respectively;
                    (B) by inserting after paragraph (2) the following 
                new paragraph:
            ``(3) as practicable, provide a written explanation to the 
        institution of higher education detailing the Secretary's 
        reasons for initiating the program review which, if applicable, 
        shall include references to specific criteria under subsection 
        (a)(2);''; and
                    (C) in paragraph (9), as so redesignated--
                            (i) by striking ``paragraphs (6) and (7)'' 
                        and inserting ``paragraphs (7) and (8)''; and
                            (ii) by striking ``paragraph (5)'' and 
                        inserting ``paragraph (6)''; and
            (3) by adding at the end the following new subsection:
    ``(f) Time Limit on Program Review Activities.--In conducting, 
responding to, and concluding program review activities, the Secretary 
shall--
            ``(1) provide to the institution the initial report finding 
        not later than 90 days after concluding an initial site visit;
            ``(2) upon each receipt of an institution's response during 
        a program review inquiry, respond in a substantive manner 
        within 90 days;
            ``(3) upon each receipt of an institution's written 
        response to a draft final program review report, provide the 
        final program review report and accompanying enforcement 
        actions, if any, within 90 days; and
            ``(4) conclude the entire program review process not later 
        than 2 years after the initiation of a program review, unless 
        the Secretary determines that such a review is sufficiently 
        complex and cannot reasonably be concluded before the 
        expiration of such 2-year period, in which case the Secretary 
        shall promptly notify the institution of the reasons for such 
        delay and provide an anticipated date for conclusion of the 
        review.''.
    (c) Review of Regulations.--Section 498B(b) (20 U.S.C. 1099c-2(b)) 
is amended by striking ``section 102(a)(1)(C)'' and inserting 
``102(a)(1)''.

                    TITLE V--DEVELOPING INSTITUTIONS

SEC. 501. HISPANIC-SERVING INSTITUTIONS.

    Part A of title V (20 U.S.C. 1101 et seq.) is amended--
            (1) in section 502(a)--
                    (A) in paragraph (1), by striking ``institution for 
                instruction'' and inserting ``institution of higher 
                education for instruction'';
                    (B) in paragraph (2)(A)--
                            (i) by redesignating clauses (v) and (vi) 
                        as clauses (vi) and (v), respectively;
                            (ii) in clause (v) (as so redesignated), by 
                        inserting ``(as defined in section 
                        103(20)(A))'' after ``State''; and
                            (iii) in clause (vi) (as so redesignated), 
                        by striking ``and'' at the end; and
                    (C) in paragraph (2)--
                            (i) by striking the period at the end of 
                        subparagraph (B) and inserting ``; and''; and
                            (ii) by adding at the end the following:
                    ``(C) except as provided in section 522(b), an 
                institution that has a completion rate of at least 25 
                percent that is calculated by--
                            ``(i) counting a student as completed if 
                        that student graduated within 150 percent of 
                        the normal time for completion; or
                            ``(ii) counting a student as completed if 
                        that student enrolled into another program at 
                        an institution for which the previous program 
                        provided substantial preparation within 150 
                        percent of normal time for completion.'';
            (2) in section 503--
                    (A) in subsection (b)--
                            (i) in paragraph (5), by striking 
                        ``counseling, and'' and inserting ``counseling, 
                        advising, and'';
                            (ii) in paragraph (7), by striking ``funds 
                        management'' and inserting ``funds and 
                        administrative management'';
                            (iii) in paragraph (11), by striking 
                        ``Creating'' and all that follows through 
                        ``technologies,'' and inserting ``Innovative 
                        learning models and creating or improving 
                        facilities for Internet or other innovative 
                        technologies,''; and
                            (iv) by redesignating paragraph (16) as 
                        paragraph (20) and inserting after paragraph 
                        (15) the following:
            ``(16) The development, coordination, implementation, or 
        improvement of career and technical education programs (as 
        defined in section 135 of the Carl D. Perkins Career and 
        Technical Education Act of 2006 (20 U.S.C. 2355)).
            ``(17) Alignment and integration of career and technical 
        education programs with programs of study leading to a 
        bachelor's degree, graduate degree, or professional degree.
            ``(18) Developing or expanding access to dual or concurrent 
        enrollment programs and early college high school programs.
            ``(19) Pay for success initiatives that improve time to 
        completion and increase graduation rates.''; and
                    (B) in subsection (c), by adding at the end the 
                following:
            ``(4) Scholarship.--An institution that uses grant funds 
        provided under this part to establish or increase an endowment 
        fund may use the income from such endowment fund to provide 
        scholarships to students for the purposes of attending such 
        institution, subject to the limitation in section 
        331(c)(3)(B)(i).'';
            (3) in section 504, by striking subsection (a) and 
        inserting the following:
    ``(a) Award Period.--The Secretary may award a grant to a Hispanic-
serving institution under this part for a period of 5 years. Any funds 
awarded under this part that are not expended or used, before the date 
that is 10 years after the date on which the grant was awarded, for the 
purposes for which the funds were paid shall be repaid to the 
Treasury.''; and
            (4) in section 505, by striking ``this title'' each place 
        such term appears and inserting ``this part''.

SEC. 502. PROMOTING POSTBACCALAUREATE OPPORTUNITIES FOR HISPANIC 
              AMERICANS.

    Part B of title V (20 U.S.C. 1102 et seq.) is amended--
            (1) in section 513--
                    (A) by striking paragraph (1) and inserting the 
                following:
            ``(1) The activities described in (1) through (4), (11), 
        and (19) of section 503(b).'';
                    (B) by striking paragraphs (2) and (3); and
                    (C) by redesignating paragraphs (4) through (8) as 
                paragraphs (2) through (6), respectively; and
                    (D) in paragraph (4) (as so redesignated), by 
                striking ``Creating'' and all that follows through 
                ``technologies,'' and inserting ``Innovative learning 
                models and creating or improving facilities for 
                Internet or other innovative technologies,''; and
            (2) in section 514--
                    (A) by striking subsection (b) and inserting the 
                following:
    ``(b) Duration.--The Secretary may award a grant to a Hispanic-
serving institution under this part for a period of 5 years. Any funds 
awarded under this part that are not expended or used for the purposes 
for which the funds were paid within 10 years following the date on 
which the grant was awarded shall be repaid to the Treasury.''; and
                    (B) by adding at the end the following:
    ``(d) Special Rule.--No Hispanic-serving institution that is 
eligible for and receives funds under this part may receive funds under 
part A or B of title III during the period for which funds under this 
part are awarded.''.

SEC. 503. GENERAL PROVISIONS.

    Part C of title V (20 U.S.C. 1103 et seq.) is amended--
            (1) in section 521(c)(7)--
                    (A) by striking subparagraph (C);
                    (B) by redesignating subparagraphs (D) and (E) as 
                subparagraphs (C) and (D), respectively; and
                    (C) in subparagraph (D), as so redesignated, by 
                striking ``subparagraph (D)'' and inserting 
                ``subparagraph (C)'';
            (2) in section 522(b)--
                    (A) in the subsection heading, by inserting ``; 
                completion rates'' after ``expenditures'';
                    (B) in paragraph (1), by inserting ``or 
                502(a)(2)(C)'' after ``502(a)(2)(A)(ii)''; and
                    (C) in paragraph (2)--
                            (i) in the paragraph heading, by inserting 
                        ``and completion rates'' after 
                        ``Expenditures'';
                            (ii) in the matter preceding subparagraph 
                        (A), by inserting ``or 502(a)(2)(C)'' after 
                        ``502(a)(2)(A)(ii)''; and
                            (iii) in subparagraph (A), by inserting 
                        ``or section 502(a)(2)(C)'' after 
                        ``502(a)(2)(A)'';
            (3) in section 524(c), by striking ``section 505'' and 
        inserting ``section 504''; and
            (4) in section 528--
                    (A) in subsection (a), by striking ``parts A and 
                C'' and all that follows through the period at the end 
                and inserting ``parts A and C, $107,795,000 for each of 
                fiscal years 2019 through 2024.''; and
                    (B) in subsection (b), by striking ``part B'' and 
                all that follows through the period at the end and 
                inserting ``part B, $9,671,000 for each of fiscal years 
                2019 through 2024.''.

               TITLE VI--INTERNATIONAL EDUCATION PROGRAMS

SEC. 601. INTERNATIONAL AND FOREIGN LANGUAGE STUDIES.

    (a) Graduate and Undergraduate Language and Area Centers and 
Programs.--Section 602 (20 U.S.C. 1122) is amended--
            (1) in subsection (a)(4)(F), by inserting ``(C),'' after 
        ``(B),''; and
            (2) in subsection (e)--
                    (A) by redesignating paragraphs (1) and (2) as 
                subparagraphs (A) and (B), respectively, and realigning 
                such subparagraphs so as to be indented 4 ems from the 
                left margin;
                    (B) by striking ``(e) Application.--Each 
                institution'' and inserting the following:
    ``(e) Application.--
            ``(1) Submission; contents.--Each institution''; and
                    (C) by adding at the end the following new 
                paragraph:
            ``(2) Approval.--The Secretary may approve an application 
        for a grant if an institution, in its application, provides 
        adequate assurances that it will comply with paragraph (1)(A). 
        The Secretary shall use the requirement of paragraph (1)(A) as 
        part of the application evaluation, review, and approval 
        process when determining grant recipients for initial funding 
        and continuation awards.''.
    (b) Discontinuation of Certain Programs.--Part A of title VI (20 
U.S.C. 1121 et seq.) is amended--
            (1) by striking section 604;
            (2) by striking section 606;
            (3) by striking section 609; and
            (4) by striking section 610.
    (c) Conforming Amendment.--Part A of title VI (20 U.S.C. 1121 et 
seq.) is further amended by redesignating sections 605, 607, and 608 as 
sections 604, 605, and 606, respectively.

SEC. 602. BUSINESS AND INTERNATIONAL EDUCATION PROGRAMS.

    (a) Centers for International Business Education.--Section 612 (20 
U.S.C. 1130-1) is amended--
            (1) in subsection (f)(3), by inserting ``and a wide range 
        of views'' after ``diverse perspectives''; and
            (2) by adding at the end the following new subsection:
    ``(g) Approval.--The Secretary may approve an application for a 
grant if an institution, in its application, provides adequate 
assurances that it will comply with subsection (f)(3). The Secretary 
shall use the requirement of subsection (f)(3) as part of the 
application evaluation, review, and approval process when determining 
grant recipients for initial funding and continuation awards.''.
    (b) Discontinuation of Certain Programs.--Part B of title VI (20 
U.S.C. 1130 et seq.) is amended by striking sections 613 and 614.

SEC. 603. REPEAL OF ASSISTANCE PROGRAM FOR INSTITUTE FOR INTERNATIONAL 
              PUBLIC POLICY.

    Part C of title VI (20 U.S.C. 1131 et seq.) is repealed.

SEC. 604. GENERAL PROVISIONS.

    (a) Definitions.--Section 631(a) (20 U.S.C. 1132(a)) is amended--
            (1) by striking paragraphs (5) and (9);
            (2) in paragraph (8), by inserting ``and'' after the 
        semicolon at the end; and
            (3) by redesignating paragraphs (6), (7), (8), and (10) as 
        paragraphs (5), (6), (7), and (8), respectively.
    (b) Special Rule.--Section 632(2) (20 U.S.C. 1132-1(2)) is amended 
by inserting ``substantial'' before ``need''.
    (c) Reports.--Section 636 (20 U.S.C. 1132-5) is amended--
            (1) by inserting ``(a) Biennial Report on Areas of National 
        Need.--'' before ``The Secretary''; and
            (2) by adding at the end the following new subsection:
    ``(b) Annual Report on Compliance With Diverse Perspectives and a 
Wide Range of Views Requirement.--Not later than 180 days after the 
date of the enactment of this subsection, and annually thereafter, the 
Secretary shall submit to the authorizing committees a report that 
identifies the efforts taken to ensure recipients' compliance with the 
requirements under this title relating to the `diverse perspectives and 
a wide range of views' requirement, including any technical assistance 
the Department has provided, any regulatory guidance the Department has 
issued, and any monitoring the Department has conducted. Such report 
shall be made available to the public.''.
    (d) Repeal of Science and Technology Advanced Foreign Language 
Education Grant Program.--Section 637 (20 U.S.C. 1132-6) is repealed.
    (e) Reporting by Institutions.--Section 638(b) (20 U.S.C. 1132-
7(b)) is amended to read as follows:
    ``(b) Data Required.--
            ``(1) In general.--Except as provided in paragraph (5), the 
        Secretary shall require an institution of higher education 
        referred to in subsection (a) to file a disclosure report under 
        paragraph (2) with the Secretary on January 31 or July 31, 
        whichever is sooner, with respect to the date on which such 
        institution received a contribution--
                    ``(A) less than 7 months from such date; and
                    ``(B) greater than 30 days from such date.
            ``(2) Contents of report.--Each report to the Secretary 
        required by this section shall contain the following 
        information with respect to the institution of higher education 
        filing the report:
                    ``(A) For gifts received from, or contracts entered 
                into with a foreign source other than a foreign 
                government, the following information:
                            ``(i) The aggregate dollar amount of such 
                        gifts and contracts attributable to each 
                        country, including the fair market value of the 
                        services of staff members, textbooks, and other 
                        in-kind gifts.
                            ``(ii) The legal name of the entity 
                        providing any such gift or contract.
                            ``(iii) The country to which the gift is 
                        attributable.
                    ``(B) For gifts received from, or contracts entered 
                into with, a foreign government, the aggregate dollar 
                amount of such gifts and contracts received from each 
                foreign government and the legal name of the entity 
                providing any such gift or contract.
                    ``(C) In the case of an institution of higher 
                education that is owned or controlled by a foreign 
                source--
                            ``(i) the identity of the foreign source;
                            ``(ii) the date on which the foreign source 
                        assumed ownership or control of the 
                        institution; and
                            ``(iii) any changes in program or structure 
                        resulting from the change in ownership or 
                        control.
            ``(3) Additional disclosures for restricted and conditional 
        gifts.--Notwithstanding paragraph (1), when an institution of 
        higher education receives a restricted or conditional gift or 
        contract from a foreign source, the institution shall disclose 
        the following:
                    ``(A) In the case of gifts received from, or 
                contracts entered into with, a foreign source other 
                than a foreign government, the amount, the date, and a 
                description of such conditions or restrictions.
                    ``(B) The country to which the gift is 
                attributable.
                    ``(C) In the case of gifts received from, or 
                contracts entered into with, a foreign government, the 
                amount, the date, a description of such conditions or 
                restrictions, and the name of the foreign government.
            ``(4) Attribution of gifts.--For purposes of this 
        subsection, the country to which a gift is attributable is--
                    ``(A) the country of citizenship; or
                    ``(B) if the information described in subparagraph 
                (A) is not known--
                            ``(i) the principal residence for a foreign 
                        source who is a natural person; or
                            ``(ii) the principal place of business and 
                        country of incorporation for a foreign source 
                        that is a legal entity.
            ``(5) Relation to other reporting requirements.--
                    ``(A) State requirements.--If an institution 
                described under subsection (a) is located within a 
                State that has enacted requirements for public 
                disclosure of gifts from, or contracts with, a foreign 
                source that are substantially similar to the 
                requirements of this section, as determined by the 
                Secretary, a copy of the disclosure report filed with 
                the State may be filed with the Secretary in lieu of a 
                report required under paragraph (1).
                    ``(B) Assurances.--With respect to an institution 
                that submits a copy of a disclosure report pursuant to 
                subparagraph (A), the State in which such institution 
                is located shall provide to the Secretary such 
                assurances as the Secretary may require to establish 
                that the institution has met the requirements for 
                public disclosure under the laws of such State.
                    ``(C) Use of other federal reports.--If an 
                institution receives a gift from, or enters into a 
                contract with, a foreign source, where any other 
                Federal law or regulation requires a report containing 
                requirements substantially similar to the requirements 
                under this section, as determined by the Secretary, a 
                copy of the report may be filed with the Secretary in 
                lieu of a report required under subsection (b).
            ``(6) Public inspection.--A disclosure report required by 
        this section shall be--
                    ``(A) available as public records open to 
                inspection and copying during business hours;
                    ``(B) available electronically; and
                    ``(C) made available under subparagraphs (A) and 
                (B) not later than 30 days after the Secretary receives 
                such report.
            ``(7) Enforcement.--
                    ``(A) Compel compliance.--Whenever it appears that 
                an institution has failed to comply with the 
                requirements of this section, including any rule or 
                regulation promulgated under this section, a civil 
                action may be brought by the Attorney General, at the 
                request of the Secretary, in an appropriate district 
                court of the United States, or the appropriate United 
                States court of any territory or other place subject to 
                the jurisdiction of the United States, to request such 
                court to compel compliance with the requirements of 
                this section.
                    ``(B) Costs.--For knowing or willful failure to 
                comply with the requirements of this section, including 
                any rule or regulation promulgated thereunder, an 
                institution shall pay to the Treasury of the United 
                States the full costs to the United States of obtaining 
                compliance, including all associated costs of 
                investigation and enforcement.
            ``(8) Definitions.--In this section:
                    ``(A) Contract.--The term `contract' means any 
                agreement for the acquisition by purchase, lease, gift, 
                or barter of property or services by the foreign 
                source, for the direct benefit or use of either of the 
                parties.
                    ``(B) Foreign source.--The term `foreign source' 
                means--
                            ``(i) a foreign government, including an 
                        agency of a foreign government;
                            ``(ii) a legal entity, governmental or 
                        otherwise, created solely under the laws of a 
                        foreign state or states;
                            ``(iii) an individual who is not a citizen 
                        or a national of the United States or a trust 
                        territory or protectorate thereof; and
                            ``(iv) an agent, including a subsidiary or 
                        affiliate of a foreign legal entity, acting on 
                        behalf of a foreign source.
                    ``(C) Gift.--The term `gift' means any gift of 
                money, property, human resources, or payment of any 
                staff.
                    ``(D) Restricted or conditional.--The term 
                `restricted or conditional', with respect to an 
                endowment, gift, grant, contract, award, present, or 
                property of any kind means including as a condition on 
                such endowment, gift, grant, contract, award, present, 
                or property provisions regarding--
                            ``(i) the employment, assignment, or 
                        termination of faculty;
                            ``(ii) the establishment of departments, 
                        centers, research or lecture programs, 
                        institutes, instructional programs, or new 
                        faculty positions;
                            ``(iii) the selection or admission of 
                        students; or
                            ``(iv) the award of grants, loans, 
                        scholarships, fellowships, or other forms of 
                        financial aid restricted to students of a 
                        specified country, religion, sex, ethnic 
                        origin, or political opinion.''.
    (f) Redesignations.--Part D of title VI (20 U.S.C. 1132 et seq.) is 
amended--
            (1) by redesignating such part as part C; and
            (2) by redesignating sections 631, 632, 633, 634, 635, 636, 
        and 638 as sections 621, 622, 623, 624, 625, 626, and 627, 
        respectively.
    (g) Continuation Awards.--Part C of title VI (20 U.S.C. 1131 et 
seq.), as so redesignated by subsection (f)(1) of this section, is 
amended by adding at the end the following new sections:

``SEC. 628. CONTINUATION AWARDS.

    ``The Secretary shall make continuation awards under this title for 
the second and succeeding years of a grant only after determining that 
the recipient is making satisfactory progress in carrying out the 
grant.

``SEC. 629. AUTHORIZATION OF APPROPRIATIONS.

    ``There is authorized to be appropriated to carry out this title 
$61,525,000 for each of fiscal years 2019 through 2024.''.

       TITLE VII--GRADUATE AND POSTSECONDARY IMPROVEMENT PROGRAMS

SEC. 701. GRADUATE EDUCATION PROGRAMS.

    (a) Repeal of Jacob K. Javits Fellowship Program.--Subpart 1 of 
part A of title VII (20 U.S.C. 1134 et seq.) is repealed.
    (b) Repeal of Thurgood Marshall Legal Educational Opportunity 
Program.--Subpart 3 of part A of title VII (20 U.S.C. 1136) is 
repealed.
    (c) Authorization of Appropriations for Graduate Assistance in 
Areas of National Need.--Section 716 (20 U.S.C. 1135e) is amended 
striking ``$35,000,000'' and all that follows through the period at the 
end and inserting ``$28,047,000 for each of fiscal years 2019 through 
2024.''.
    (d) Redesignations.--Part A of title VII (20 U.S.C. 1134 et seq.) 
is amended--
            (1) by redesignating subparts 2, 4, and 5 as subparts 1, 2, 
        and 3 respectively;
            (2) by redesignating sections 711 through 716 as sections 
        701 through 706, respectively;
            (3) by redesignating sections 723 through 725 as sections 
        711 through 713, respectively; and
            (4) by redesignating section 731 as section 721.
    (e) Amendment of Cross References.--Part A of title VII (20 U.S.C. 
1134 et seq.) is amended--
            (1) in section 703(b)(8), as so redesignated, by striking 
        ``section 715'' and inserting ``section 705'';
            (2) in section 704(c)), as so redesignated--
                    (A) by striking ``section 715(a)'' and inserting 
                ``section 705(a)''; and
                    (B) by striking ``section 713(b)(2)'' and inserting 
                ``section 703(b)(2)'';
            (3) in section 711(e), as so redesignated, by striking 
        ``724'' and inserting ``712'';
            (4) in section 712(e), as so redesignated, by striking 
        ``723'' and inserting ``711'';
            (5) in section 713, as so redesignated--
                    (A) in subsection (a), by striking ``section 723'' 
                and all that follows through the period at the end and 
                inserting ``section 711, $7,500,000 for fiscal year 
                2019 and each of the five succeeding fiscal years.''; 
                and
                    (B) in subsection (b), by striking ``section 724'' 
                and inserting ``section 712''; and
            (6) in section 721, as so redesignated--
                    (A) in the section heading, by striking ``through 
                4'' and inserting ``and 2'';
                    (B) by striking ``subparts 1 through 4'' each place 
                such term appears and inserting ``subparts 1 and 2'';
                    (C) in subsection (c)--
                            (i) by striking ``section 703(b) or 
                        715(a)'' and inserting ``section 705(a)''; and
                            (ii) by striking ``subparts 1 or 2, 
                        respectively,'' and inserting ``subpart 1''; 
                        and
                    (D) in subsection (d), by striking ``subpart 1, 2, 
                3, or 4'' and inserting ``subpart 1 or 2''.

SEC. 702. REPEAL OF FUND FOR THE IMPROVEMENT OF POSTSECONDARY 
              EDUCATION.

    Part B of title VII (20 U.S.C. 1138 et seq.) is repealed.

SEC. 703. PROGRAMS FOR STUDENTS WITH DISABILITIES.

    (a) Redesignations.--
            (1) Subpart.--Part D of title VII (20 U.S.C. 1140 et seq.) 
        is amended by striking subparts 1 and 3 and redesignating 
        subparts 2 and 4 as subparts 1 and 2, respectively.
            (2) Part.--Part D of title VII (20 U.S.C. 1140 et seq.), as 
        amended by paragraph (1), is redesignated as part B of such 
        Act.
    (b) Model Transition Programs; Coordinating Center.--
            (1) Purpose.--Section 766 (20 U.S.C. 1140f) is redesignated 
        as section 731 of such Act.
            (2) Model comprehensive transition and postsecondary 
        programs.--Section 767 (20 U.S.C. 1140g) is amended--
                    (A) by redesignating such section as section 732 of 
                such Act;
                    (B) in subsection (a)(1)--
                            (i) by striking ``section 769(a)'' and 
                        inserting ``section 735(a)''; and
                            (ii) by striking ``institutions of higher 
                        education (or consortia of institutions of 
                        higher education), to enable the institutions 
                        or consortia'' and inserting ``eligible 
                        applicants, to enable the eligible 
                        applicants'';
                    (C) by striking subsection (b) and inserting the 
                following:
    ``(b) Application.--An eligible applicant desiring a grant under 
this section shall submit to the Secretary, at such time and in such 
manner as the Secretary may require, an application that--
            ``(1) describes how the model program to be operated by the 
        eligible applicant with grant funds received under this section 
        will meet the requirements of subsection (d);
            ``(2) describes how the model program proposed to be 
        operated is based on the demonstrated needs of students with 
        intellectual disabilities served by the eligible applicant and 
        potential employers;
            ``(3) describes how the model program proposed to be 
        operated will coordinate with other Federal, State, and local 
        programs serving students with intellectual disabilities, 
        including programs funded under the Rehabilitation Act of 1973 
        (29 U.S.C. 701 et seq.);
            ``(4) describes how the model program will be sustained 
        once the grant received under this section ends;
            ``(5) if applicable, describes how the eligible applicant 
        will meet the preferences described in subsection (c)(3); and
            ``(6) demonstrates the ability of the eligible applicant to 
        meet the requirement under subsection (e).'';
                    (D) in subsection (c)(3)--
                            (i) in subparagraph (B), by striking 
                        ``institution of higher education'' and 
                        inserting ``eligible applicant''; and
                            (ii) in subparagraph (C), by striking 
                        ``students attending the institution of higher 
                        education'' and inserting ``the eligible 
                        applicant's students'';
                    (E) in subsection (d)--
                            (i) in the matter preceding paragraph (1), 
                        by striking ``An institution of higher 
                        education (or consortium)'' and inserting ``An 
                        eligible applicant'';
                            (ii) in paragraph (2), by striking 
                        ``institution of higher education's'' and 
                        inserting ``eligible applicant's'';
                            (iii) in paragraph (3)(D), by striking 
                        ``that lead to gainful employment'';
                            (iv) in paragraph (5), by striking 
                        ``section 777(b)'' and inserting ``section 
                        734'';
                            (v) in paragraph (6), by inserting ``and'' 
                        after the semicolon at the end;
                            (vi) by striking paragraph (7); and
                            (vii) by redesignating paragraph (8) as 
                        paragraph (7);
                    (F) in subsection (e), by striking ``An institution 
                of higher education (or consortium)'' and inserting 
                ``An eligible applicant'';
                    (G) in subsection (f), by striking ``Not later than 
                five years after the date of the first grant awarded 
                under this section'' and inserting ``Not less often 
                than once every 5 years''; and
                    (H) by adding at the end the following new 
                subsection:
    ``(g) Definition.--For purposes of this subpart, the term `eligible 
applicant' means an institution of higher education or a consortium of 
institutions of higher education.''.
            (3) Redesignations.--Sections 768 and 769 (20 U.S.C. 1140i) 
        are redesignated as sections 733 and 735, respectively.
            (4) Coordinating center.--Subpart 1 of part D of title VII, 
        as so redesignated by subsection (a)(1), is amended by 
        inserting after section 733 (as so redesignated by paragraph 
        (3)) the following new section:

``SEC. 734. COORDINATING CENTER.

    ``(a) Purpose.--It is the purpose of this section to provide 
technical assistance and information on best and promising practices to 
eligible applicants awarded grants under section 732.
    ``(b) Coordinating Center.--
            ``(1) Definition of eligible entity.--In this section, the 
        term `eligible entity' means an entity, or a partnership of 
        entities, that has demonstrated expertise in the fields of--
                    ``(A) higher education;
                    ``(B) the education of students with intellectual 
                disabilities;
                    ``(C) the development of comprehensive transition 
                and postsecondary programs for students with 
                intellectual disabilities; and
                    ``(D) evaluation and technical assistance.
            ``(2) In general.--From amounts appropriated under section 
        735, the Secretary shall enter into a cooperative agreement, on 
        a competitive basis, with an eligible entity for the purpose of 
        establishing a coordinating center for institutions of higher 
        education that offer inclusive comprehensive transition and 
        postsecondary programs for students with intellectual 
        disabilities, including eligible applicants receiving grants 
        under section 732, to provide--
                    ``(A) recommendations related to the development of 
                standards for such programs;
                    ``(B) technical assistance for such programs; and
                    ``(C) evaluations for such programs.
            ``(3) Administration.--The program under this section shall 
        be administered by the office in the Department that 
        administers other postsecondary education programs.
            ``(4) Duration.--A cooperative agreement entered into 
        pursuant to this section shall have a term of 5 years.
            ``(5) Requirements of cooperative agreement.--The 
        cooperative agreement entered into pursuant to this section 
        shall provide that the eligible entity entering into such 
        agreement shall establish and maintain a coordinating center 
        that shall--
                    ``(A) serve as the technical assistance entity for 
                all comprehensive transition and postsecondary programs 
                for students with intellectual disabilities;
                    ``(B) provide technical assistance regarding the 
                development, evaluation, and continuous improvement of 
                such programs;
                    ``(C) develop an evaluation protocol for such 
                programs that includes qualitative and quantitative 
                methodologies for measuring student outcomes and 
                program strengths in the areas of academic enrichment, 
                socialization, independent living, and competitive or 
                supported employment;
                    ``(D) assist recipients of grants under section 732 
                in efforts to award a meaningful credential to students 
                with intellectual disabilities upon the completion of 
                such programs, which credential shall take into 
                consideration unique State factors;
                    ``(E) develop recommendations for the necessary 
                components of such programs, such as--
                            ``(i) academic, vocational, social, and 
                        independent living skills;
                            ``(ii) evaluation of student progress;
                            ``(iii) program administration and 
                        evaluation;
                            ``(iv) student eligibility; and
                            ``(v) issues regarding the equivalency of a 
                        student's participation in such programs to 
                        semester, trimester, quarter, credit, or clock 
                        hours at an institution of higher education, as 
                        the case may be;
                    ``(F) analyze possible funding sources for such 
                programs and provide recommendations to such programs 
                regarding potential funding sources;
                    ``(G) develop model memoranda of agreement for use 
                between or among institutions of higher education and 
                State and local agencies providing funding for such 
                programs;
                    ``(H) develop mechanisms for regular communication, 
                outreach, and dissemination of information about 
                comprehensive transition and postsecondary programs for 
                students with intellectual disabilities under section 
                732 between or among such programs and to families and 
                prospective students;
                    ``(I) host a meeting of all recipients of grants 
                under section 732 not less often than once every 3 
                years; and
                    ``(J) convene a workgroup to develop and recommend 
                model criteria, standards, and components of such 
                programs as described in subparagraph (E) that are 
                appropriate for the development of accreditation 
                standards, which workgroup shall include--
                            ``(i) an expert in higher education;
                            ``(ii) an expert in special education;
                            ``(iii) a representative of a disability 
                        organization that represents students with 
                        intellectual disabilities;
                            ``(iv) a representative from the National 
                        Advisory Committee on Institutional Quality and 
                        Integrity; and
                            ``(v) a representative of a regional or 
                        national accreditation agency or association.
            ``(6) Report.--Not less often than once every 5 years, the 
        coordinating center shall report to the Secretary, the 
        authorizing committees, and the National Advisory Committee on 
        Institutional Quality and Integrity on the recommendations of 
        the workgroup described in paragraph (5)(J).''.
            (5) Authorization of appropriations.--Section 735, as so 
        redesignated by paragraph (3), is amended--
                    (A) in subsection (a), by striking ``such sums as 
                may be necessary for fiscal year 2009'' and inserting 
                ``$11,800,000 for fiscal year 2019''; and
                    (B) by striking subsection (b) and inserting the 
                following:
    ``(b) Reservation of Funds.--For any fiscal year for which 
appropriations are made for this subpart, the Secretary--
            ``(1) shall reserve funds to enter into a cooperative 
        agreement to establish the coordinating center under section 
        734, in an amount that is equal to--
                    ``(A) not less than $240,000 for any year in which 
                the amount appropriated to carry out this subpart is 
                $8,000,000 or less; or
                    ``(B) equal to 3 percent of the amount appropriated 
                to carry out this subpart for any year in which such 
                amount appropriated is greater than $8,000,000; and
            ``(2) may reserve funds to award the grant, contract, or 
        cooperative agreement described in section 737.''.
    (c) National Technical Assistance Center.--
            (1) Subpart heading.--The subpart heading for subpart 2 of 
        part D of title VII (20 U.S.C. 1140p et seq.), as so 
        redesignated by subsection (a)(1), is amended by striking ``; 
        Coordinating Center''.
            (2) Purpose.--Section 776 (20 U.S.C. 1140p) is amended--
                    (A) by redesignating such section as section 736 of 
                such Act; and
                    (B) by striking ``grants, contracts, or cooperative 
                agreements under subpart 1, 2, or 3'' and inserting 
                ``grants or a cooperative agreement under subpart 1''.
            (3) National technical assistance.--Section 777 (20 U.S.C. 
        1140q) is amended--
                    (A) by redesignating such section as section 737 of 
                such Act;
                    (B) in the section heading, by striking ``; 
                coordinating center'';
                    (C) in subsection (a)(1), by striking 
                ``appropriated under section 778'' and inserting 
                ``reserved under section 735(b)(2)'';
                    (D) by amending subsection (a)(3)(D) to read as 
                follows:
                    ``(D) the subject supported by the grants or 
                cooperative agreement authorized in subpart 1.'';
                    (E) in subsection (a)(4)(A)(ii), by striking 
                ``subparts 2, 4, and 5'' and inserting ``subparts 2 and 
                5''; and
                    (F) in subsection (a)(4)(B), by striking ``grants, 
                contracts, or cooperative agreements authorized under 
                subparts 1, 2, and 3'' each place it appears and 
                inserting ``grants and cooperative agreement authorized 
                under subpart 1''.
            (4) Authorization of appropriations.--Section 778 (20 
        U.S.C. 1140r) is repealed.

SEC. 704. REPEAL OF COLLEGE ACCESS CHALLENGE GRANT PROGRAM.

    Part E of title VII (20 U.S.C. 1141) is repealed.

                       TITLE VIII--OTHER REPEALS

SEC. 801. REPEAL OF ADDITIONAL PROGRAMS.

    (a) Higher Education Act of 1965.--Title VIII of the Higher 
Education Act of 1965 (20 U.S.C. 1161a et seq.) is repealed.
    (b) Higher Education Opportunity Act.--The Higher Education 
Opportunity Act (Public Law 110-315; 122 Stat. 3078 et seq.) is amended 
by repealing sections 802 and 803.
    (c) Higher Education Amendments of 1998.--The Higher Education 
Amendments of 1998 (Public Law 105-244; 112 Stat. 1581 et seq.) is 
amended by repealing sections 821 and 841.
    (d) Higher Education Amendments of 1992.--The Higher Education 
Amendments of 1992 (Public Law 102-325; 106 Stat. 448 et seq.) is 
amended by repealing section 1543.
    (e) United States Institute of Peace Act.--The United States 
Institute of Peace Act (22 U.S.C. 4601 et seq.) is repealed.

                   TITLE IX--AMENDMENTS TO OTHER LAWS

               PART A--EDUCATION OF THE DEAF ACT OF 1986

SEC. 901. EDUCATION OF THE DEAF ACT OF 1986.

    (a) Board of Trustees.--Section 103(a)(1) of the Education of the 
Deaf Act of 1986 (20 U.S.C. 4303(a)(1)) is amended--
            (1) in the matter preceding subparagraph (A), by striking 
        ``twenty-one'' and inserting ``twenty-three'';
            (2) in subparagraph (A)--
                    (A) by striking ``three public'' and inserting 
                ``four public'';
                    (B) by striking ``one shall'' and all that follows 
                through ``, and'' and inserting ``two shall be United 
                States Senators, of whom one shall be appointed by the 
                Majority Leader of the Senate and one shall be 
                appointed by the Minority Leader of the Senate, and''; 
                and
                    (C) by striking ``appointed by the Speaker of the 
                House of Representatives'' and inserting ``, of whom 
                one shall be appointed by the Speaker of the House of 
                Representatives and one shall be appointed by the 
                Minority Leader of the House of Representatives''; and
            (3) in subparagraph (B), by striking ``eighteen'' and 
        inserting ``nineteen''.
    (b) Laurent Clerc National Deaf Education Center.--Section 
104(b)(5) of the Education of the Deaf Act of 1986 (20 U.S.C. 
4304(b)(5)) is amended to read as follows:
            ``(5) The University, for purposes of the elementary and 
        secondary education programs carried out by the Clerc Center, 
        shall--
                    ``(A)(i)(I) provide an assurance to the Secretary 
                that it has adopted and is implementing challenging 
                State academic standards that meet the requirements of 
                section 1111(b)(1) of the Elementary and Secondary 
                Education Act of 1965 (20 U.S.C. 6311(b)(1));
                    ``(II) demonstrate to the Secretary that the 
                University is implementing a set of high-quality 
                student academic assessments in mathematics, reading or 
                language arts, and science, and any other subjects 
                chosen by the University, that meet the requirements of 
                section 1111(b)(2) of such Act (20 U.S.C. 6311(b)(2)); 
                and
                    ``(III) demonstrate to the Secretary that the 
                University is implementing an accountability system 
                consistent with section 1111(c) of such Act (20 U.S.C. 
                6311(c)); or
                    ``(ii)(I) select the challenging State academic 
                standards and State academic assessments of a State, 
                adopted and implemented, as appropriate, pursuant to 
                paragraphs (1) and (2) of section 1111(b) of such Act 
                (20 U.S.C. 6311(b)); and
                    ``(II) adopt the accountability system, consistent 
                with section 1111(c) of such Act (20 U.S.C. 6311(c)), 
                of such State; and
                    ``(B) publicly report, except in a case in which 
                such reporting would not yield statistically reliable 
                information or would reveal personally identifiable 
                information about an individual student--
                            ``(i) the results of the academic 
                        assessments implemented under subparagraph (A); 
                        and
                            ``(ii) the results of the annual evaluation 
                        of the programs at the Clerc Center, as 
                        determined using the accountability system 
                        adopted under subparagraph (A).''.
    (c) Repeal of Cultural Experiences Grants Program.--Part C of title 
I of the Education of the Deaf Act of 1986 (20 U.S.C. 4341) is 
repealed.
    (d) Repeal of Authorization of Appropriations for Monitoring and 
Evaluation.--Subsection (c) of section 205 of the Education of the Deaf 
Act of 1986 (20 U.S.C. 4355(c)) is repealed.
    (e) Federal Endowment Funds.--Section 207 of the Education of the 
Deaf Act of 1986 (20 U.S.C. 4357) is amended--
            (1) in the heading of subsection (b), by striking ``Federal 
        Payments'' and inserting ``Payments'';
            (2) in subsection (b), by striking paragraphs (1) and (2) 
        and inserting the following:
            ``(1) From amounts provided by the Secretary from funds 
        appropriated under subsections (a) and (b) of section 212, 
        respectively, the University and NTID may make payments, in 
        accordance with this section, to the Federal endowment fund of 
        the institution involved.
            ``(2) Subject to paragraph (3), in any fiscal year, the 
        total amount of payments made under paragraph (1) to the 
        Federal endowment fund may not exceed the total amount 
        contributed to the fund from non-Federal sources during such 
        fiscal year.
            ``(3) For purposes of paragraph (2), the transfer of funds 
        by an institution involved to the Federal endowment fund from 
        another endowment fund of such institution shall not be 
        considered a contribution from a non-Federal source.'';
            (3) in subsection (e), by striking ``Federal payment'' and 
        inserting ``payment under subsection (b)'';
            (4) in subsection (f), in the matter preceding paragraph 
        (1), by striking ``Federal payments'' and inserting 
        ``payments'';
            (5) in subsection (g)(1), by striking ``Federal payments to 
        such fund'' and inserting ``payments made under subsection 
        (b)'';
            (6) by repealing subsection (h); and
            (7) by redesignating subsection (i) as subsection (h).
    (f) Repeal of National Study.--Section 211 of the Education of the 
Deaf Act of 1986 (20 U.S.C. 4360) is repealed.
    (g) Authorization of Appropriations.--Section 212 of the Education 
of the Deaf Act of 1986 (20 U.S.C. 4360a) is amended--
            (1) in subsection (a), by striking ``such sums as may be 
        necessary for each of the fiscal years 2009 through 2014'' and 
        inserting ``$121,275,000 for each of the fiscal years 2019 
        through 2024''; and
            (2) in subsection (b), by striking ``such sums as may be 
        necessary for each of the fiscal years 2009 through 2014'' and 
        inserting ``$70,016,000 for each of the fiscal years 2019 
        through 2024''.
    (h) Technical Amendments.--The Education of the Deaf Act of 1986 is 
further amended--
            (1) in section 112(b)(3) (20 U.S.C. 4332(b)(3)), by 
        striking ``Education and Labor'' and inserting ``Education and 
        the Workforce'';
            (2) in section 203 (20 U.S.C. 4353)--
                    (A) in the heading of subsection (a), by striking 
                ``General Accounting'' and inserting ``Government 
                Accountability'';
                    (B) in subsection (a), by striking ``General 
                Accounting'' and inserting ``Government 
                Accountability'';
                    (C) in subsection (b)(3), by striking ``Education 
                and Labor'' and inserting ``Education and the 
                Workforce''; and
                    (D) in subsection (c)(2)(A), by striking 
                ``Education and Labor'' and inserting ``Education and 
                the Workforce'';
            (3) in section 204 (20 U.S.C. 4354), by striking 
        ``Education and Labor'' and inserting ``Education and the 
        Workforce'';
            (4) in section 208(a) (20 U.S.C. 4359(a)), by striking 
        ``Education and Labor'' and inserting ``Education and the 
        Workforce''; and
            (5) in section 210(b) (20 U.S.C. 4359b(b)), by striking 
        ``Education and Labor'' and inserting ``Education and the 
        Workforce''.

PART B--TRIBALLY CONTROLLED COLLEGES AND UNIVERSITIES ASSISTANCE ACT OF 
                        1978; DINE' COLLEGE ACT

SEC. 911. TRIBALLY CONTROLLED COLLEGES AND UNIVERSITIES ASSISTANCE ACT 
              OF 1978.

    (a) Definitions.--Section 2 of the Tribally Controlled Colleges and 
Universities Assistance Act of 1978 (25 U.S.C. 1801) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (7), by adding ``and'' at the end;
                    (B) in paragraph (8), by striking ``; and'' and 
                inserting a period; and
                    (C) by striking paragraph (9); and
            (2) in subsection (b)--
                    (A) by amending paragraph (1) to read as follows:
            ``(1) Such number shall be calculated based on the number 
        of Indian students who are enrolled--
                    ``(A) at the conclusion of the third week of each 
                academic term; or
                    ``(B) on the fifth day of a shortened program 
                beginning after the conclusion of the third full week 
                of an academic term.'';
                    (B) in paragraph (3), by striking ``for purposes of 
                obtaining'' and inserting ``solely for the purpose of 
                obtaining''; and
                    (C) by inserting after paragraph (5), the 
                following:
            ``(6) Enrollment data from the prior-prior academic year 
        shall be used.''.
    (b) Authorization of Appropriations.--The Tribally Controlled 
Colleges and Universities Assistance Act of 1978 (25 U.S.C. 1801 et 
seq.) is amended by inserting after section 2 (25 U.S.C. 1801), the 
following:

``SEC. 3. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Titles I and IV.--There are authorized to be appropriated 
$57,412,000 for each of fiscal years 2019 through 2024 to carry out 
titles I and IV.
    ``(b) Title V.--There are authorized to be appropriated $7,414,000 
for each of fiscal years 2019 through 2024 to carry out title V.''.
    (c) Repeal of Planning Grants.--Section 104 of the Tribally 
Controlled Colleges and Universities Assistance Act of 1978 (25 U.S.C. 
1804a) is repealed.
    (d) Grants to Tribally Controlled Colleges and Universities.--
Section 107 of the Tribally Controlled Colleges and Universities 
Assistance Act of 1978 (25 U.S.C. 1807) is amended--
            (1) by striking subsection (c); and
            (2) by redesignating subsection (d) as subsection (c).
    (e) Amount of Grants.--Section 108(b)(1) of the Tribally Controlled 
Colleges and Universities Assistance Act of 1978 (25 U.S.C. 1808(b)(1)) 
is amended--
            (1) by striking ``of the funds available for allotment by 
        October 15 or no later than 14 days after appropriations become 
        available'' and inserting `` of the amounts appropriated for 
        any fiscal year on or before July 1 of that fiscal year''; and
            (2) by striking ``January 1'' and inserting ``September 
        30'';
    (f) Authorization of Appropriations.--Section 110(a) of the 
Tribally Controlled Colleges and Universities Assistance Act of 1978 
(25 U.S.C. 1810(a)) is amended--
            (1) in paragraph (1)--
                    (A) by striking ``$3,200,000 for fiscal year 2009 
                and'';
                    (B) by striking ``for each of the five succeeding 
                fiscal years''; and
                    (C) by inserting ``from the amount made available 
                under section 3(a) for each fiscal year'' after 
                ``necessary'';
            (2) in paragraph (2), by striking ``for fiscal year 2009'' 
        and all that follows through the period at the end and 
        inserting ``from the amount made available under section 3(a) 
        for each fiscal year.'';
            (3) in paragraph (3), by striking ``fiscal year 2009'' and 
        all that follows through the period at the end and inserting 
        ``from the amount made available under section 3(a) for each 
        fiscal year.''; and
            (4) in paragraph (4), by striking ``2009'' and inserting 
        ``2019''.
    (g) Rules and Regulations.--The Tribally Controlled Colleges and 
Universities Assistance Act of 1978 (25 U.S.C. 1801 et seq.) is amended 
by striking section 115 (25 U.S.C. 1815).
    (h) Repeal of Endowment Program.--
            (1) Repeal.--Title III of the Tribally Controlled Colleges 
        and Universities Assistance Act of 1978 (25 U.S.C. 1831 et 
        seq.) is repealed.
            (2) Transition.--
                    (A) In general.--Subject to subparagraph (B), title 
                III of the Tribally Controlled Colleges and 
                Universities Assistance Act of 1978 (25 U.S.C. 1831 et 
                seq.), as such title was in effect on the day before 
                the date of the enactment of this Act, shall apply with 
                respect to any endowment fund established or funded 
                under such title before such date of enactment, except 
                that the Secretary of the Interior may not make any 
                grants or Federal capital contributions under such 
                title after such date.
                    (B) Termination.--Subparagraph (A) shall terminate 
                on the date that is 20 years after the date of the 
                enactment of this Act. On or after such date, a 
                tribally controlled college or university may use the 
                corpus (including the Federal and institutional capital 
                contribution) of any endowment fund described in such 
                subparagraph to pay any expenses relating to the 
                operation or academic programs of such college or 
                university.
    (i) Tribal Economic Development; Authorization of Appropriations.--
Section 403 of the Tribally Controlled Colleges and Universities 
Assistance Act of 1978 (25 U.S.C. 1852) is amended by striking ``for 
fiscal year 2009'' and all that follows through the period at the end 
and inserting ``from the amount made available under section 3(a) for 
each fiscal year.''.
    (j) Tribally Controlled Postsecondary Career and Technical 
Institutions.--Section 504 of the Tribally Controlled Colleges and 
Universities Assistance Act of 1978 (25 U.S.C. 1864) is amended by 
striking ``for fiscal year 2009'' and all that follows through the 
period at the end and inserting ``from the amount made available under 
section 3(b) for each fiscal year.''
    (k) Clerical Amendments.--The Tribally Controlled Colleges and 
Universities Assistance Act of 1978 (25 U.S.C. 1801 et seq.), as 
amended by subsections (a) through (j), is further amended--
            (1) by striking ``Bureau of Indian Affairs'' each place it 
        appears and inserting ``Bureau of Indian Education'';
            (2) by striking ``Navajo Community College Act'' each place 
        it appears and inserting ``Dine' College Act'';
            (3) by striking ``colleges or universities'' each place it 
        appears, including in headings, and inserting ``colleges and 
        universities'' and conforming the font and typeface 
        accordingly; and
            (4) in section 109 (25 U.S.C. 1809), by redesignating the 
        second subsection (c) as subsection (d).

SEC. 912. DINE' COLLEGE ACT.

    (a) Short Title.--The first section of Public Law 92-189 is amended 
by striking ``this Act may be cited as the `Navajo Community College 
Act''' and inserting ``this Act may be cited as the `Dine' College 
Act'''.
    (b) References.--Any reference to the Navajo Community College Act 
in any law (other than this Act), regulation, map, document, record, or 
other paper of the United States shall be deemed to be a reference to 
the Dine' College Act.
    (c) Authorization of Appropriations.--Section 5 of Public Law 92-
189 is amended--
            (1) in subsection (a)(1), by striking ``for fiscal years 
        2009 through 2014'' and inserting ``from the amount made 
        available under subsection (b)(1) for each fiscal year''; and
            (2) in subsection (b)(1), by striking ``such sums as are 
        necessary for fiscal years 2009 through 2014'' and inserting 
        ``$13,600,000 for each of fiscal years 2019 through 2024''.
                                 <all>