II 118th CONGRESS 1st Session S. 1972 IN THE SENATE OF THE UNITED STATES June 14, 2023 Mr. Cassidy (for himself, Mr. Cornyn , Mr. Grassley , Mr. Scott of South Carolina , and Mr. Tuberville ) introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions A BILL To increase college transparency, and for other purposes.

1. Short title This Act may be cited as the Lowering Education Costs and Debt Act . 2. Table of contents The table of contents of this Act is as follows: Sec. 1. Short title. Sec. 2. Table of contents. TITLE I—College Transparency Sec. 101. Postsecondary student data system. Sec. 102. Repeal of prohibition on student data system. Sec. 103. Institutional requirements. Sec. 104. Transition provisions. TITLE II—Understanding the true cost of college Sec. 201. Institution Financial Aid Offer Form. Sec. 202. Mandatory form. TITLE III—Informed student borrowing Sec. 301. Counseling and financial aid disclosures. Sec. 302. Annual requirement to manually enter loan amount. Sec. 303. Work study. TITLE IV—Streamlining Accountability and Value in Education for Students Sec. 401. Loan repayment simplification and income-driven repayment reform. Sec. 402. Taxpayer and consumer protection on student loans. Sec. 403. Phase out of income-based repayment. TITLE V—Graduate opportunity and affordable loans Sec. 501. Loan limits. I College Transparency 101. Postsecondary student data system Section 132 of the Higher Education Act of 1965 ( 20 U.S.C. 1015a ) is amended— (1) by redesignating subsection (l) as subsection (m); and (2) by inserting after subsection (k) the following: (l) Postsecondary student data system (1) In general (A) Establishment of system Not later than 4 years after the date of enactment of the Lowering Education Costs and Debt Act , the Commissioner of the National Center for Education Statistics (referred to in this subsection as the Commissioner ) shall develop and maintain a secure and privacy-protected postsecondary student-level data system in order to— (i) accurately evaluate student enrollment patterns, progression, completion, and postcollegiate outcomes, and higher education costs and financial aid; (ii) assist with transparency, institutional improvement, and analysis of Federal aid programs; (iii) provide accurate, complete, and customizable information for students and families making decisions about postsecondary education; and (iv) reduce the reporting burden on institutions of higher education, in accordance with section 104 of the Lowering Education Costs and Debt Act . (B) Avoiding duplicated reporting Notwithstanding any other provision of this section, to the extent that another provision of this section requires the same reporting or collection of data that is required under this subsection, an institution of higher education, or the Secretary or Commissioner, shall use the reporting or data required for the postsecondary student data system under this subsection to satisfy both requirements. (C) Development process In developing the postsecondary student data system described in this subsection, the Commissioner shall— (i) focus on the needs of— (I) users of the data system; and (II) entities, including institutions of higher education, reporting to the data system; (ii) take into consideration, to the extent practicable— (I) the guidelines outlined in the U.S. Web Design Standards maintained by the General Services Administration and the Digital Services Playbook and TechFAR Handbook for Procuring Digital Services Using Agile Processes of the U.S. Digital Service; and (II) the relevant successor documents or recommendations of such guidelines; (iii) use modern, relevant privacy- and security-enhancing technology, and enhance and update the data system as necessary to carry out the purpose of this subsection; (iv) ensure data privacy and security is consistent with any relevant Federal law relating to privacy or data security, including— (I) the requirements of subchapter II of chapter 35 of title 44, United States Code, specifying security categorization under the Federal Information Processing Standards or any relevant successor of such standards; (II) security requirements that are consistent with the Federal agency responsibilities in section 3554 of title 44, United States Code, or any relevant successor of such responsibilities; and (III) security requirements, guidelines, and controls consistent with cybersecurity standards and best practices developed by the National Institute of Standards and Technology, including frameworks, consistent with section 2(c) of the National Institute of Standards and Technology Act ( 15 U.S.C. 272(c) ), or any relevant successor of such frameworks; (v) follow Federal data minimization practices to ensure only the minimum amount of data is collected to meet the system’s goals, in accordance with Federal data minimization standards and guidelines developed by the National Institute of Standards and Technology; and (vi) provide notice to students outlining the data included in the system and how the data are used. (2) Data elements (A) In general Not later than 4 years after the date of enactment of the Lowering Education Costs and Debt Act , the Commissioner, in consultation with the Postsecondary Student Data System Advisory Committee established under subparagraph (B), shall determine— (i) the data elements to be included in the postsecondary student data system, in accordance with subparagraphs (C) and (D); and (ii) how to include the data elements required under subparagraph (C), and any additional data elements selected under subparagraph (D), in the postsecondary student data system. (B) Postsecondary student data system advisory committee (i) Establishment Not later than 2 years after the date of enactment of the Lowering Education Costs and Debt Act , the Commissioner shall establish a Postsecondary Student Data System Advisory Committee (referred to in this subsection as the Advisory Committee ), whose members shall include— (I) the Chief Privacy Officer of the Department or an official of the Department delegated the duties of overseeing data privacy at the Department; (II) the Chief Security Officer of the Department or an official of the Department delegated the duties of overseeing data security at the Department; (III) representatives of diverse institutions of higher education, which shall include equal representation between 2-year and 4-year institutions of higher education, and from public, nonprofit, and proprietary institutions of higher education, including minority-serving institutions; (IV) representatives from State higher education agencies, entities, bodies, or boards; (V) representatives of postsecondary students; (VI) representatives from relevant Federal agencies; (VII) individuals with expertise in data privacy and security; and (VIII) other stakeholders (including individuals with consumer protection and postsecondary education research). (ii) Requirements The Commissioner shall ensure that the Advisory Committee— (I) adheres to all requirements under chapter 10 of title 5, United States Code (commonly known as the Federal Advisory Committee Act ); (II) establishes operating and meeting procedures and guidelines necessary to execute its advisory duties; and (III) is provided with appropriate staffing and resources to execute its advisory duties. (C) Required data elements The data elements in the postsecondary student data system shall include, at a minimum, the following: (i) Student-level data elements necessary to calculate the information within the surveys designated by the Commissioner as student-related surveys in the Integrated Postsecondary Education Data System (IPEDS), as such surveys are in effect on the day before the date of enactment of the Lowering Education Costs and Debt Act , except that in the case that collection of such elements would conflict with subparagraph (F), such elements in conflict with subparagraph (F) shall be included in the aggregate instead of at the student level. (ii) Student-level data elements necessary to allow for reporting student enrollment, persistence, retention, transfer, and completion measures for all credential levels separately (including certificate, associate, baccalaureate, and advanced degree levels), within and across institutions of higher education (including across all categories of institution level, control, and predominant degree awarded). The data elements shall allow for reporting about all such data disaggregated by the following categories: (I) Enrollment status as a first-time student, recent transfer student, or other non-first-time student. (II) Attendance intensity, whether full-time or part-time. (III) Credential-seeking status, by credential level. (IV) Race or ethnicity, in a manner that captures all the racial groups specified in the most recent American Community Survey of the Bureau of the Census. (V) Age intervals. (VI) Gender. (VII) Program of study (as applicable). (VIII) Military or veteran benefit status (as determined based on receipt of veteran's education benefits, as defined in section 480(c)). (IX) Status as a distance education student, whether exclusively or partially enrolled in distance education. (X) Federal Pell Grant recipient status under section 401 and Federal loan recipient status under title IV, provided that the collection of such information complies with paragraph (1)(B). (D) Other data elements (i) In general The Commissioner may, after consultation with the Advisory Committee and provision of a public comment period, include additional data elements in the postsecondary student data system, such as those described in clause (ii), if those data elements— (I) are necessary to ensure that the postsecondary data system fulfills the purposes described in paragraph (1)(A); and (II) are consistent with data minimization principles, including the collection of only those additional elements that are necessary to ensure such purposes. (ii) Data elements The data elements described in clause (i) may include— (I) status as a first generation college student, as defined in section 402A(h); (II) economic status; (III) participation in postsecondary remedial coursework or gateway course completion; or (IV) other data elements that are necessary in accordance with clause (i). (E) Reevaluation Not less than once every 3 years after the implementation of the postsecondary student data system described in this subsection, the Commissioner, in consultation with the Advisory Committee described in subparagraph (B), shall review the data elements included in the postsecondary student data system and may revise the data elements to be included in such system. (F) Prohibitions The Commissioner shall not include individual health data (including data relating to physical health or mental health), student discipline records or data, elementary and secondary education data, an exact address, citizenship status, migrant status, or national origin status for students or their families, course grades, postsecondary entrance examination results, political affiliation, or religion in the postsecondary student data system under this subsection. (3) Periodic matching with other federal data systems (A) Data sharing agreements (i) The Commissioner shall ensure secure and privacy-protected periodic data matches by entering into data sharing agreements with each of the following Federal agencies and offices: (I) The Secretary of the Treasury and the Commissioner of the Internal Revenue Service, in order to calculate aggregate program- and institution-level earnings of postsecondary students. (II) The Secretary of Defense, in order to assess the use of postsecondary educational benefits and the outcomes of servicemembers. (III) The Secretary of Veterans Affairs, in order to assess the use of postsecondary educational benefits and outcomes of veterans. (IV) The Director of the Bureau of the Census, in order to assess the earnings outcomes of former postsecondary education students. (V) The Chief Operating Officer of the Office of Federal Student Aid, in order to analyze the use of postsecondary educational benefits provided under this Act. (VI) The Commissioner of the Social Security Administration, in order to evaluate labor market outcomes of former postsecondary education students. (VII) The Commissioner of the Bureau of Labor Statistics, in order to assess the wages of former postsecondary education students. (ii) The heads of Federal agencies and offices described under clause (i) shall enter into data sharing agreements with the Commissioner to ensure secure and privacy-protected periodic data matches as described in this paragraph. (B) Categories of data The Commissioner shall, at a minimum, seek to ensure that the secure and privacy-protected periodic data matches described in subparagraph (A) permit consistent reporting of the following categories of data for all postsecondary students: (i) Enrollment, retention, transfer, and completion outcomes for all postsecondary students. (ii) Financial indicators for postsecondary students receiving Federal grants and loans, including grant and loan aid by source, cumulative student debt, loan repayment status, and repayment plan. (iii) Post-completion outcomes for all postsecondary students, including earnings, employment, and further education, by program of study and credential level and as measured— (I) immediately after leaving postsecondary education; and (II) at time intervals appropriate to the credential sought and earned. (C) Periodic data match streamlining and confidentiality (i) Streamlining In carrying out the secure and privacy-protected periodic data matches under this paragraph, the Commissioner shall— (I) ensure that such matches are not continuous, but occur only periodically at appropriate intervals, as determined by the Commissioner to meet the goals of subparagraph (A); and (II) seek to— (aa) streamline the data collection and reporting requirements for institutions of higher education; (bb) minimize duplicative reporting across or within Federal agencies or departments, including reporting requirements applicable to institutions of higher education under the Workforce Innovation and Opportunity Act ( 29 U.S.C. 3101 et seq. ) and the Carl D. Perkins Career and Technical Education Act of 2006; (cc) protect student privacy; and (dd) streamline the application process for student loan benefit programs available to borrowers based on data available from different Federal data systems. (ii) Review Not less often than once every 3 years after the establishment of the postsecondary student data system under this subsection, the Commissioner, in consultation with the Advisory Committee, shall review methods for streamlining data collection from institutions of higher education and minimizing duplicative reporting within the Department and across Federal agencies that provide data for the postsecondary student data system. (iii) Confidentiality The Commissioner shall ensure that any periodic matching or sharing of data through periodic data system matches established in accordance with this paragraph— (I) complies with the security and privacy protections described in paragraph (1)(C)(iv) and other Federal data protection protocols; (II) follows industry best practices commensurate with the sensitivity of specific data elements or metrics; (III) does not result in the creation of a single standing, linked Federal database at the Department that maintains the information reported across other Federal agencies; and (IV) discloses to postsecondary students what data are included in the data system and periodically matched and how the data are used. (iv) Correction The Commissioner, in consultation with the Advisory Committee, shall establish a process for students to request access to only their personal information for inspection and request corrections to inaccuracies in a manner that protects the student's personally identifiable information. The Commissioner shall respond in writing to every request for a correction from a student. (4) Publicly available information (A) In general The Commissioner shall make the summary aggregate information described in subparagraph (C), at a minimum, publicly available through a user-friendly consumer information website and analytic tool that— (i) provides appropriate mechanisms for users to customize and filter information by institutional and student characteristics; (ii) allows users to build summary aggregate reports of information, including reports that allow comparisons across multiple institutions and programs, subject to subparagraph (B); (iii) uses appropriate statistical disclosure limitation techniques necessary to ensure that the data released to the public cannot be used to identify specific individuals; and (iv) provides users with appropriate contextual factors to make comparisons, which may include national median figures of the summary aggregate information described in subparagraph (C). (B) No personally identifiable information available The summary aggregate information described in this paragraph shall not include personally identifiable information. (C) Summary aggregate information available The summary aggregate information described in this paragraph shall, at a minimum, include each of the following for each institution of higher education: (i) Measures of student access, including— (I) admissions selectivity and yield; and (II) enrollment, disaggregated by each category described in paragraph (2)(C)(ii). (ii) Measures of student progression, including retention rates and persistence rates, disaggregated by each category described in paragraph (2)(C)(ii). (iii) Measures of student completion, including— (I) transfer rates and completion rates, disaggregated by each category described in paragraph (2)(C)(ii); and (II) number of completions, disaggregated by each category described in paragraph (2)(C)(ii). (iv) Measures of student costs, including— (I) tuition, required fees, total cost of attendance, and net price after total grant aid, disaggregated by in-State tuition or in-district tuition status (if applicable), program of study (if applicable), and credential level; and (II) typical grant amounts and loan amounts received by students reported separately from Federal, State, local, and institutional sources, and cumulative debt, disaggregated by each category described in paragraph (2)(C)(ii) and completion status. (v) Measures of postcollegiate student outcomes, including employment rates, mean and median earnings, loan repayment and default rates, and further education rates. These measures shall— (I) be disaggregated by each category described in paragraph (2)(C)(ii) and completion status; and (II) be measured immediately after leaving postsecondary education and at time intervals appropriate to the credential sought or earned. (D) Development criteria In developing the method and format of making the information described in this paragraph publicly available, the Commissioner shall— (i) focus on the needs of the users of the information, which will include students, families of students, potential students, researchers, and other consumers of education data; (ii) take into consideration, to the extent practicable, the guidelines described in paragraph (1)(C)(ii)(I), and relevant successor documents or recommendations of such guidelines; (iii) use modern, relevant technology and enhance and update the postsecondary student data system with information, as necessary to carry out the purpose of this paragraph; (iv) ensure data privacy and security in accordance with standards and guidelines developed by the National Institute of Standards and Technology, and in accordance with any other Federal law relating to privacy or security, including complying with the requirements of subchapter II of chapter 35 of title 44, United States Code, specifying security categorization under the Federal Information Processing Standards, and security requirements, and setting of National Institute of Standards and Technology security baseline controls at the appropriate level; and (v) conduct consumer testing to determine how to make the information as meaningful to users as possible. (5) Permissible disclosures of data (A) Data reports and queries (i) In general Not later than 4 years after the date of enactment of the Lowering Education Costs and Debt Act , the Commissioner shall develop and implement a secure and privacy-protected process for making student-level, non-personally identifiable information, with direct identifiers removed, from the postsecondary student data system available for vetted research and evaluation purposes approved by the Commissioner in a manner compatible with practices for disclosing National Center for Education Statistics restricted-use survey data as in effect on the day before the date of enactment of the Lowering Education Costs and Debt Act , or by applying other research and disclosure restrictions to ensure data privacy and security. Such process shall be approved by the National Center for Education Statistics’ Disclosure Review Board (or successor body). (ii) Providing data reports and queries to institutions and states (I) In general The Commissioner shall provide feedback reports, at least annually, to each institution of higher education, each postsecondary education system that fully participates in the postsecondary student data system, and each State higher education body as designated by the governor. (II) Feedback reports The feedback reports provided under this clause shall include program-level and institution-level information from the postsecondary student data system regarding students who are associated with the institution or, for State representatives, the institutions within that State, on or before the date of the report, on measures including student mobility and workforce outcomes, provided that the feedback aggregate summary reports protect the privacy of individuals. (III) Determination of content The content of the feedback reports shall be determined by the Commissioner in consultation with the Advisory Committee. (iii) Permitting state data queries The Commissioner shall, in consultation with the Advisory Committee and as soon as practicable, create a process through which States may submit lists of secondary school graduates within the State to receive summary aggregate outcomes for those students who enrolled at an institution of higher education, including postsecondary enrollment and college completion, provided that those data protect the privacy of individuals and that the State data submitted to the Commissioner are not stored in the postsecondary education system. (iv) Regulations The Commissioner shall promulgate regulations to ensure fair, secure and privacy-protected, and equitable access to data reports and queries under this paragraph. (B) Disclosure limitations In carrying out the public reporting and disclosure requirements of this subsection, the Commissioner shall use appropriate statistical disclosure limitation techniques necessary to ensure that the data released to the public cannot include personally identifiable information or be used to identify specific individuals. (C) Sale of data prohibited Data collected under this subsection, including the public-use data set and data comprising the summary aggregate information available under paragraph (4), shall not be sold to any third party by the Commissioner, including any institution of higher education or any other entity. (D) Limitation on use by other federal agencies (i) In general The Commissioner shall not allow any other Federal agency to use data collected under this subsection for any purpose except— (I) for vetted research and evaluation conducted by the other Federal agency, as described in subparagraph (A)(i); or (II) for a purpose explicitly authorized by this Act. (ii) Prohibition on limitation of services The Secretary, or the head of any other Federal agency, shall not use data collected under this subsection to limit services to students. (E) Law enforcement Personally identifiable information collected under this subsection shall not be used for any Federal, State, or local law enforcement activity or any other activity that would result in adverse action against any student or a student's family, including debt collection activity or enforcement of immigration laws. (F) Limitation of use for federal rankings or summative rating system The comprehensive data collection and analysis necessary for the postsecondary student data system under this subsection shall not be used by the Secretary or any Federal entity to establish any Federal ranking system of institutions of higher education or a system that results in a summative Federal rating of institutions of higher education. (G) Rule of construction Nothing in this paragraph shall be construed to prevent the use of individual categories of aggregate information to be used for accountability purposes. (H) Rule of construction regarding commercial use of data Nothing in this paragraph shall be construed to prohibit third-party entities from using publicly available information in this data system for commercial use. (6) Submission of data (A) Required submission Each institution of higher education participating in a program under title IV, or the assigned agent of such institution, shall, for each eligible program, in accordance with section 487(a)(17), collect, and submit to the Commissioner, the data requested by the Commissioner to carry out this subsection. (B) Voluntary submission Any institution of higher education not participating in a program under title IV may voluntarily participate in the postsecondary student data system under this subsection by collecting and submitting data to the Commissioner, as the Commissioner may request to carry out this subsection. (C) Personally identifiable information In accordance with paragraph (2)(C)(i), if the submission of an element of student-level data is prohibited under paragraph (2)(F) (or otherwise prohibited by law), the institution of higher education shall submit that data to the Commissioner in the aggregate. (7) Unlawful willful disclosure (A) In general It shall be unlawful for any person who obtains or has access to personally identifiable information in connection with the postsecondary student data system described in this subsection to willfully disclose to any person (except as authorized in this Act or by any Federal law) such personally identifiable information. (B) Penalty Any person who violates subparagraph (A) shall be subject to a penalty described under section 3572(f) of title 44, United States Code, and section 183(d)(6) of the Education Sciences Reform Act of 2002 ( 20 U.S.C. 9573(d)(6) ). (C) Employee of officer of the united states If a violation of subparagraph (A) is committed by any officer or employee of the United States, the officer or employee shall be dismissed from office or discharged from employment upon conviction for the violation. (8) Data security The Commissioner shall produce and update as needed guidance and regulations relating to privacy, security, and access which shall govern the use and disclosure of data collected in connection with the activities authorized in this subsection. The guidance and regulations developed and reviewed shall protect data from unauthorized access, use, and disclosure, and shall include— (A) an audit capability, including mandatory and regularly conducted audits; (B) access controls; (C) requirements to ensure sufficient data security, quality, validity, and reliability; (D) confidentiality protection in accordance with the applicable provisions of subchapter III of chapter 35 of title 44, United States Code; (E) appropriate and applicable privacy and security protection, including data retention and destruction protocols and data minimization, in accordance with the most recent Federal standards developed by the National Institute of Standards and Technology; and (F) protocols for managing a breach, including breach notifications, in accordance with the standards of National Center for Education Statistics. (9) Data collection The Commissioner shall ensure that data collection, maintenance, and use under this subsection complies with section 552a of title 5, United States Code. (10) Definitions In this subsection: (A) Institution of higher education The term institution of higher education has the meaning given the term in section 102. (B) Minority-serving institution The term minority-serving institution means an institution of higher education listed in section 371(a). (C) Personally identifiable information The term personally identifiable information means personally identifiable information within the meaning of section 444 of the General Education Provisions Act. . 102. Repeal of prohibition on student data system Section 134 of the Higher Education Act of 1965 ( 20 U.S.C. 1015c ) is repealed. 103. Institutional requirements (a) In general Paragraph (17) of section 487(a) of the Higher Education Act of 1965 ( 20 U.S.C. 1094(a) ) is amended to read as follows: (17) The institution or the assigned agent of the institution will collect and submit data to the Commissioner for Education Statistics in accordance with section 132(l), the nonstudent related surveys within the Integrated Postsecondary Education Data System (IPEDS), or any other Federal institution of higher education data collection effort (as designated by the Secretary), in a timely manner and to the satisfaction of the Secretary. . (b) Effective date The amendment made by subsection (a) shall take effect on the date that is 4 years after the date of enactment of this Act. 104. Transition provisions The Secretary of Education and the Commissioner for Education Statistics shall take such steps as are necessary to ensure that the development and maintenance of the postsecondary student data system required under section 132(l) of the Higher Education Act of 1965, as added by section 101 of this Act, occurs in a manner that reduces the reporting burden for entities that reported into the Integrated Postsecondary Education Data System (IPEDS). II Understanding the true cost of college 201. Institution Financial Aid Offer Form Section 484 of the Higher Education Opportunity Act ( 20 U.S.C. 1092 note) is amended to read as follows: 484. Institution Financial Aid Offer Form (a) Standard format and terminology The Secretary of Education, in consultation with the heads of relevant Federal agencies, shall develop standard terminology and a standard format for financial aid offer forms based on recommendations from representatives of students, veterans, servicemembers, students’ families, institutions of higher education (including community colleges, for-profit institutions, four-year public institutions, and four-year private nonprofit institutions), financial aid experts, secondary school and postsecondary counselors, non­profit organizations, and consumer groups. (b) Key required contents for offer form The standard format developed under subsection (a) shall include, in a consumer-friendly manner that is simple and understandable, a form titled Financial Aid Offer , which shall include the following items, with costs listed first followed by grants and scholarships, clearly separated from each other with separate headings: (1) Cost information (A) Information on the student's estimated cost of attendance, including the following: (i) Total direct costs, including the component totals each for— (I) tuition and fees, as determined under section 472 of the Higher Education Act of 1965 ( 20 U.S.C. 1087ll ); and (II) college-sponsored housing and food costs (as determined based on the costs for room and board under such section). (ii) Total estimated other expenses, including— (I) the component totals each for housing and food costs for students who reside off-campus; and (II) for all students, books, supplies, transportation, and miscellaneous personal expenses (which may include costs of health insurance and dependent care), as determined under section 472 of the Higher Education Act of 1965 ( 20 U.S.C. 1087ll ). (B) An indication of the academic period covered by the financial aid offer, and an explanation that the financial aid offered may change for academic periods not covered by the aid offer or by program. (C) An indication of whether cost and aid estimates are based on full-time or part-time enrollment. (D) An indication, as applicable, about whether the tuition and fees are estimated based on the previous year, or are set, for the academic period indicated in accordance with subparagraph (B). (2) Grants and scholarships The aggregate amount of grants and scholarships by source that the student does not have to repay, such as grant aid offered under title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1070 et seq. ) and grant aid offered through other Federal programs, grant aid offered by the institution, grant aid offered by the State, and, if known, grant aid from an outside source to the student for such academic period, including— (A) a disclosure that the grants and scholarships do not have to be repaid; and (B) if institutional aid is included— (i) the conditions under which the student can expect to receive similar amounts of such financial aid for each academic period the student is enrolled at the institution; and (ii) whether the institutional aid offer may change if grants or scholarships from outside sources are applied after the student receives the offer form, and, if applicable, how that aid will change. (3) Net price (A) The net price that the student, or the student's family on behalf of the student, is estimated to have to pay for the student to attend the institution for such academic period, equal to— (i) the cost of attendance as described in paragraph (1)(A) for the student for the period indicated in paragraph (1)(B); minus (ii) the amount of grant aid described in paragraph (2) that is included in the financial aid offer form. (B) A disclosure that the net price is an estimate of the total expenses for the year and not equivalent to the amount the student will owe directly to the institution. (4) Loans (A) Information on any loan under part D or part E of title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1087a et seq. ; 20 U.S.C. 1087aa et seq. ) (except a Federal Direct PLUS Loan under part D of that Act) that the institution recommends for the student for the academic period covered by the offer, which shall be made— (i) with clear use of the word loan to describe the recommended loan amounts; and (ii) with clear labeling of subsidized and unsubsidized loans. (B) A disclosure that such loans have to be repaid and a disclosure that the student can borrow a lesser or, if applicable, greater amount than the recommended loan amount. (C) A disclosure that the interest rates and fees on such loans are set annually and affect total cost over time, and a link to a Department of Education website that includes current information on interest rates and fees. (D) A link to the Department of Education's repayment calculator website for students with instruction that this website contains customizable estimates of expected repayment costs under different loan repayment plans. (5) Process for accepting or declining aid and next steps (A) The deadlines and a summary of the process (including the next steps) for— (i) accepting the financial aid offered in the financial aid offer form; (ii) requesting higher loan amounts if recommended loan amounts were included; and (iii) declining aid offered in the form. (B) Information on when and how direct costs to the institution must be paid. (C) A disclosure that verification of financial circumstances may require the student to submit further documentation. (D) Information about where a student or the student’s family can seek additional information regarding the financial aid offered, including contact information for the institution’s financial aid office and the Department of Education’s website on financial aid. (6) Additional information Any other information the Secretary of Education, in consultation with the heads of relevant Federal agencies, including the Secretary of the Treasury and the Director of the Bureau of Consumer Financial Protection, determines necessary (based on the results of the consumer testing under paragraph (g)(2)) so that students and parents can make informed loan borrowing decisions, which may include— (A) the most recent cohort default rate, as defined in section 435(m) of the Higher Education Act of 1965 ( 20 U.S.C. 1085(m) ) with respect to an institution where more than 30 percent of enrolled students borrow loans to pay for their education, and a comparison to the national average cohort default rate; (B) the percentage of students at the institution who borrow student loans; (C) the median loan debt at graduation for students at the institution (clearly marked as including only Federal loans if private loan data are not available to be included); and (D) any additional calculations determined necessary for ensuring that students understand full college costs, financial aid gaps, and options for covering those gaps. (c) Other required contents for the offer form The standard form developed under subsection (a) shall include, in addition to the information described in subsection (b), the following information to be included on the financial aid offer form in a concise format determined by the Secretary of Education, in consultation with the heads of relevant Federal agencies: (1) At the institution’s discretion— (A) additional options and potential resources for paying for the amount listed in subsection (b)(3), such as tuition payment plans; and (B) a disclosure that Federal Direct PLUS Loans or private education loans may be available to cover remaining need, except that the institution may not include an amount for Federal Direct PLUS Loans or private education loans and must include a disclosure for Federal Direct PLUS Loans that such loans are subject to an additional application process, and a disclosure that both types of loans have to be repaid by the borrower, and may not be eligible for all the benefits available for Federal Direct Stafford Loans or Federal Direct Unsubsidized Stafford Loans. (2) The following information relating to private student loans: (A) A statement that students considering borrowing to cover the cost of attendance should consider available Federal student loans prior to applying for private education loans, including an explanation that Federal student loans offer generally more favorable terms and beneficial repayment options than private loans. (B) The impact of a proposed private education loan on the student’s potential eligibility for other financial assistance, including Federal financial assistance under title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1070 et seq. ). (C) A statement explaining the student’s ability to select a private educational lender of the student’s choice. (3) Information on work-study employment opportunities, offered in accordance with part C of title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1087–51 et seq. ) including a disclosure that the work-study aid offered is subject to the availability of qualified employment opportunities and is disbursed over time as earned by the student. Work-study employment opportunities (or a student's potential income based on those opportunities) shall not be included in the category of financial aid described under subsection (b)(2). (d) Additional requirements for financial aid offer form The financial aid offer form shall meet the following requirements: (1) Include, in addition to the requirements described in subsections (b) and (c), a concise summary, in plain language, of— (A) the terms and conditions of financial aid recommended under paragraphs (2) and (4) of subsection (b) and subsection (c)(3), and a method to provide students with additional information about such terms and conditions, such as links to the supplementary information; and (B) Federal, State, or institutional conditions required to receive and renew financial aid and a method to provide students with additional information about these conditions, such as links to the supplementary information. (2) Clearly distinguish between the aid offered under paragraphs (2) and (4) of subsection (b) and subsection (c)(3), by including a subtotal for the aid offered in each of such paragraphs and by refraining from commingling the different types of aid described in such paragraphs. (3) Use standard terminology and definitions, as described in subsection (e)(1) and use plain language where possible. (4) If an institution’s recommended Federal student loan aid offered in subsection (b)(4) is less than the Federal maximum available to the student, the institution shall provide additional information on Federal student loans, including the types and amounts for which the student is eligible in an attached document or web page. (5) Use the standard offer form described in subsection (e)(2). (6) Include the standardized statement regarding the possible availability of Federal education benefits, as established by the Secretary in accordance with subsection (e)(3). (7) Include a delivery confirmation for electronic financial aid offer forms, except that receipt of the financial aid offer form shall not be considered an acceptance or rejection of aid by the student. (8) With respect to dependent students, any reference to private education loans shall be accompanied by— (A) information about the availability of, and terms and conditions associated with, Federal Direct PLUS Loans under section 455 of the Higher Education Act of 1965 ( 20 U.S.C. 1087e ) for the student's parents regardless of family income; and (B) a notification of the student’s increased eligibility for Federal student loans under title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1070 et seq. ) if the student's parents are not able to borrow under the Federal Direct PLUS Loan program. (e) Standard information established by the Secretary (1) Standard terminology Not later than 3 months after the date of enactment of the Lowering Education Costs and Debt Act , the Secretary of Education, in consultation with the heads of relevant Federal agencies, including the Secretary of the Treasury and the Director of the Consumer Financial Protection Bureau, representatives of institutions of higher education, nonprofit consumer groups, students, and secondary school and higher education guidance counselors, shall establish standard terminology and definitions for the terms described in subsection (b). (2) Standard form (A) In general The Secretary of Education shall develop multiple draft financial aid offer forms for consumer testing, carry out consumer testing for such forms, and establish a finalized standard financial aid offer form, in accordance with the process established in subsection (g) and the requirements of this section. (B) Separate financial aid offer forms The Secretary may develop separate financial aid offer forms for— (i) undergraduate students and graduate students; and (ii) first-time students and returning students. (3) Additional benefits The Secretary of Education, in consultation with the heads of relevant Federal agencies, including the Secretary of the Treasury, the Secretary of Veterans Affairs, the Secretary of Defense, and the Director of the Consumer Financial Protection Bureau, shall establish standard language notifying students that they may be eligible for education benefits (and where students can locate more information about such benefits) including benefits in accordance with each of the following: (A) Chapter 30, 31, 32, 33, 34, or 35 of title 38, United States Code. (B) Chapter 101, 105, 106A, 1606, 1607, or 1608 of title 10, United States Code. (C) Section 1784a, 2005, or 2007 of title 10, United States Code. (f) Supplemental information; removal of information (1) Nothing in this section shall preclude an institution from supplementing the financial aid offer form with additional information if such additional information supplements the financial aid offer form and is not located on the financial aid offer form, and provided such information utilizes the same standard terminology identified in subsection (e)(1). (2) Nothing in this section shall preclude an institution from deleting a required item if the student is ineligible for such aid. (g) Development of financial aid offer form (1) Draft form Not later than 9 months after the date of enactment of the Lowering Education Costs and Debt Act , the Secretary of Education, in consultation with the heads of relevant Federal agencies, including the Secretary of the Treasury and the Director of the Consumer Financial Protection Bureau, representatives of institutions of higher education, nonprofit consumer groups, students, and secondary school and higher education guidance counselors, shall design and produce multiple draft financial aid offer forms for consumer testing with postsecondary students or prospective students. In developing that form, the Secretary shall ensure— (A) that the headings described in paragraphs (1) through (4) of subsection (b) are in the same font, appear in the same order, and are displayed prominently on the financial aid offer form, such that none of that information is inappropriately omitted or de-emphasized; (B) that the other information required in subsection (b) appears in a standard format and design on the financial aid offer form; and (C) that the institution may include a logo or brand alongside the title of the financial aid offer form. (2) Consumer testing (A) In general Not later than 9 months after the date of enactment of the Lowering Education Costs and Debt Act , the Secretary of Education, in consultation with the heads of relevant Federal agencies, shall establish a process to submit the financial aid offer form drafts developed under paragraph (1) for consumer testing among representatives of students (including low-income students, first generation college students, adult students, veterans, servicemembers, and prospective students), students’ families (including low-income families, families with first generation college students, and families with prospective students), institutions of higher education, secondary school and postsecondary counselors, and nonprofit consumer groups. (B) Pilot During such consumer testing, the Secretary shall ensure that not less than 16 and not more than 24 eligible institutions use the draft forms developed under paragraph (1), including institutions— (i) that reflect a proportionate representation (based on the total number of students enrolled in postsecondary education) of community colleges, for-profit institutions, four-year public institutions, and four-year private nonprofit institutions; and (ii) that reflect geographic diversity. (C) Length of consumer testing The Secretary of Education shall ensure that the consumer testing under this paragraph lasts no longer than 8 months after the process for consumer testing is developed under subparagraph (A). (3) Final form (A) In general The results of consumer testing under paragraph (2) shall be used in the final development of the financial aid offer form. (B) Reporting requirement Not later than 3 months after the date the consumer testing under paragraph (2) concludes, the Secretary of Education shall submit to Congress and publish on its website the final standard financial aid offer form and a report detailing the results of such testing, including whether the Secretary of Education added any additional items to the standard financial aid offer form pursuant to subsection (b)(6). (4) Authority to modify The Secretary of Education may modify the definitions, terms, formatting, and design of the financial aid offer form based on the results of consumer testing required under this subsection and before finalizing the form, or in subsequent consumer testing. The Secretary may also recommend additional changes to Congress. . 202. Mandatory form Part B of title I of the Higher Education Act of 1965 ( 20 U.S.C. 1011 et seq. ) is amended by adding at the end the following: 124. Use of mandatory financial aid offer form and terms (a) In general Notwithstanding any other provision of law, each institution of higher education that receives Federal financial assistance under this Act shall— (1) use the financial aid offer form developed under section 484 of the Higher Education Opportunity Act ( 20 U.S.C. 1092 note) in providing paper, mobile-optimized offers, or other electronic offers to all students who apply for aid and are accepted at the institution; and (2) use the standard terminology and definitions developed by the Secretary of Education under subsection (e)(1) of that Act for all communications from the institution related to financial aid offers. (b) Effective dates The requirements under this section shall take effect at the start of the first award year after the Secretary of Education finalizes the standard terminology and form developed in accordance with section 484 of the Higher Education Opportunity Act ( 20 U.S.C. 1092 note). . (c) Administrative procedures Section 492 of the Higher Education Act ( 20 U.S.C. 1098a ) shall not apply with respect to regulations promulgated in accordance with this section. . III Informed student borrowing 301. Counseling and financial aid disclosures Section 485(l) of the Higher Education Act of 1965 ( 20 U.S.C. 1092(l) ) is amended— (1) in the subsection heading, by striking Entrance ; (2) in paragraph (1)(A)— (A) in the matter preceding clause (i), by striking a disbursement to a first-time borrower and inserting the first disbursement to a borrower in each award year ; and (B) in the matter preceding subclause (I) of paragraph clause (ii), by striking may and inserting shall ; (3) in paragraph (2)— (A) by redesignating subparagraphs (A) through (K) as subparagraphs (B) through (L); (B) by inserting before subparagraph (B), as so redesignated, the following: (A) An explanation that the borrower will need to affirmatively determine and manually enter, in accordance with subsection (n), the Federal loan amount that the borrower will borrow (which may be equal to or less than the Federal loan amount for which the borrower is eligible) for each award year. ; (C) by striking subparagraph (G) and inserting the following: (G) Sample monthly repayment amounts, under a standard repayment plan and under the income-driven repayment plan that had the highest enrollment in the previous year for borrowers (excluding parent borrowers), based on— (i) (I) the median levels of indebtedness, as appropriate, of— (aa) undergraduate borrowers of Federal Direct Stafford Loans or Federal Unsubsidized Stafford Loans who were enrolled in the institution; (bb) graduate borrowers of Federal Direct Stafford Loans, Federal Unsubsidized Stafford Loans, or Federal Direct Plus Loans who were enrolled in the institution; and (cc) parent borrowers of Federal Direct Plus Loans made on behalf of dependent students who were enrolled at the institution; (II) the median cumulative indebtedness of borrowers of loans described in subclause (I) in the same program as the borrower at the same institution; and (ii) the median annual earnings for individuals who attended the institution, as described in subparagraph (N). ; and (D) by adding at the end the following: (M) A statement that the borrower does not have to accept the full amount of loans for which the borrower is eligible, and an explanation that loan eligibility calculations are determined based on a cost of attendance that may include expenses such as housing, food, and transportation. (N) The most recent College Scorecard information (or information from a similar successor website) that shows the median annual earnings of students who received Federal student aid and who are no longer enrolled at the institution and are working, at the time that is 10 years after the date of such students' entry to the institution— (i) for individuals who were enrolled in the institution; and (ii) if available through the College Scorecard (or similar successor website), for individuals who were enrolled in the borrower's undergraduate or graduate program. (O) The percentage of borrowers who attended the institution and have completed or are no longer enrolled that are in active repayment (as compared to all borrowers who attended the institution and have completed or are no longer enrolled). (P) For undergraduate borrowers, the completion rate of the institution, as available through the College Scorecard (or similar successor website), for the most recent year for which data are available. (Q) A statement that— (i) the statistics provided under this paragraph are averages and median values based on past years; (ii) the borrower's repayment amounts, median earnings, and likelihood of completion may vary from such statistics; and (iii) as appropriate, parent borrowers should be aware that information about the median earnings, completion rate, and percentage of borrowers in active repayment is based on data that excludes parent borrowers. (R) A statement in writing and in a form the borrower may keep, of the annual percentage rate applicable to the loan based on a 10-year standard repayment plan, taking into account— (i) the amount of the loan; (ii) the stated interest rate of the loan; (iii) the standard term for a loan of the same type; (iv) any fees or additional costs associated with the loan; and (v) any capitalization of interest on the loan. ; and (4) by adding at the end the following: (3) Information from the Department of Education The Secretary shall provide institutions with the data and statistics necessary to enable institutions to carry out this subsection. . 302. Annual requirement to manually enter loan amount Section 485 of the Higher Education Act of 1965 ( 20 U.S.C. 1092 ), as amended by section 301, is further amended by adding at the end the following: (n) Annual requirement To manually enter loan amount (1) In general In addition to the other requirements of this section and in accordance with paragraph (2), each eligible institution shall ensure that, for each award year, each borrower enrolled in the institution who receives a Federal Direct Loan (other than a Federal Direct Consolidation Loan) and each parent borrower who is borrowing a Federal Direct PLUS Loan made on behalf of a student who is enrolled in the institution, for such year, shall manually enter, either in writing or through electronic means, the exact dollar amount of Federal Direct Loan funding that such borrower desires to borrow for such year. (2) Method The eligible institution shall ensure that the borrower carries out the activity described in paragraph (1)— (A) in the case of a student borrower, in the course of the process used by the institution for students to accept a student loan award; (B) prior to the institution certifying a Federal Direct Loan (other than a Federal Direct Consolidation Loan), including a Federal Direct PLUS Loan made on behalf of a student, for disbursement to a borrower; and (C) in the case of a student borrower, after ensuring that the student has completed all of the counseling requirements under subsection (l). . 303. Work study Section 485 of the Higher Education Act of 1965 ( 20 U.S.C. 1092 ), as amended by sections 301 and 302, is further amended by adding at the end the following: (o) Work study If an institution provides a student or a prospective student with a financial aid award notification that includes work study, the institution shall ensure that the notification includes an explanation that any work study funds are not directly awarded to the student or institution, and such amounts must be earned through the student's completion of work over time. . IV Streamlining Accountability and Value in Education for Students 401. Loan repayment simplification and income-driven repayment reform Section 455 of the Higher Education Act of 1965 ( 20 U.S.C. 1087e ) is amended— (1) in subsection (d)— (A) in paragraph (1)— (i) in subparagraph (B), by inserting not later than June 30, 2024, before a graduated ; (ii) in subparagraph (C), by inserting not later than June 30, 2024, before an extended ; (iii) in subparagraph (D)— (I) by inserting not later than June 30, 2024, before an income contingent ; and (II) by striking and after the semicolon; (iv) in subparagraph (E)— (I) by inserting and not later than June 30, 2024, after beginning on July 1, 2009, ; and (II) by striking the period at the end and inserting ; and ; and (v) by adding at the end the following: (F) beginning on July 1, 2024, an income contingent repayment plan known as the Revised Pay As You Earn Repayment plan , consistent with subsection (e)(9). ; (B) in paragraph (2), by striking in subparagraph (A), (B), or (C) of paragraph (1) and inserting in subparagraph (A) or (F) of paragraph (1) ; and (C) in paragraph (4), by inserting not later than June 30, 2024, and after The Secretary may provide, ; and (2) in subsection (e), by adding at the end the following: (9) Revised Pay As You Earn Repayment plan (A) In general The Secretary shall carry out a Revised Pay As You Earn Repayment plan in accordance with section 685.209(c) of title 34, Code of Federal Regulations, as in effect on December 17, 2015, except as otherwise provided in this paragraph as follows: (i) A borrower may complete loan rehabilitation on a defaulted loan through making eligible payments in accordance with this paragraph for 9 consecutive months. (ii) A borrower who no longer wishes to repay under the Revised Pay As You Earn Repayment plan may change only to a standard repayment plan. (iii) In addition to that provided under paragraph (5)(iv) of such section 685.209(c), a qualifying monthly payment may also include a month for which the borrower received— (I) deferment under subsection (f)(3) due to receiving treatment for cancer; (II) deferment under subsection (f)(2) for rehabilitation training; (III) deferment under subsection (f)(2) for unemployment; (IV) deferment under subsection (f)(2) for economic hardship, including any period of deferment for Peace Corps service; (V) deferment under subsection (f)(2) for military service; (VI) deferment under subsection (f)(2) for post-active duty service; (VII) forbearance under section 428(c)(3)(A)(i)(III), for national service; (VIII) forbearance under section 685.205(a)(7) of title 34, Code of Federal Regulations, for National Guard Duty; (IX) forbearance under section 428(c)(3)(A)(i)(IV), for service for which the borrower would qualify for a partial repayment of his or her loan under the Student Loan Repayment Programs administered by the Department of Defense; or (X) administrative forbearance under paragraph (8) or (9) of section 685.205(b) of title 34, Code of Federal Regulations. (iv) A borrower shall be automatically enrolled in a Revised Pay As You Earn Repayment plan for a loan at 75 days delinquent on such loan. (v) A borrower who missed qualifying payments during a forbearance or deferment period not listed in clause (iii), shall have the opportunity to provide a back payment for the missed payments in order have those payments counted toward the 20-year or 25-year forgiveness period, except there shall be no opportunity to provide a back payment for periods of in-school deferment. (vi) For a borrower who is solely an undergraduate borrower— (I) who has borrowed $10,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 120 payments under the Revised Pay As You Earn Repayment plan; (II) who has borrowed more than $10,000 but $11,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 132 payments under the Revised Pay As You Earn Repayment plan; (III) who has borrowed more than $11,000 but $12,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 144 payments under the Revised Pay As You Earn Repayment plan; (IV) who has borrowed more than $12,000 but $13,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 156 payments under the Revised Pay As You Earn Repayment plan; (V) who has borrowed more than $13,000 but $14,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 168 payments under the Revised Pay As You Earn Repayment plan; (VI) who has borrowed more than $14,000 but $15,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 180 payments under the Revised Pay As You Earn Repayment plan; (VII) who has borrowed more than $15,000 but $16,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 192 payments under the Revised Pay As You Earn Repayment plan; (VIII) who has borrowed more than $16,000 but $17,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 204 payments under the Revised Pay As You Earn Repayment plan; (IX) who has borrowed more than $17,000 but $18,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 216 payments under the Revised Pay As You Earn Repayment plan; and (X) who has borrowed more than $18,000 but $19,000 or less in total in loans under this part, not including loan fees, the Secretary may determine that the borrower has met the loan forgiveness requirements after 228 payments under the Revised Pay As You Earn Repayment plan. (B) Transfer of borrowers in repayment Notwithstanding any other provision of this Act, on July 1, 2024, the Secretary shall transfer each borrower who is in repayment on a loan made under this part under an income contingent repayment plan pursuant to subsection (d)(1)(D) to the Revised Pay As You Earn Repayment plan under this paragraph. . 402. Taxpayer and consumer protection on student loans Section 487(a) of the Higher Education Act of 1965 ( 20 U.S.C. 1094(a) ) is amended by adding at the end the following: (30) (A) The institution certifies that no funds available under this title may be used by an undergraduate student for enrollment in an educational program offered by the institution that is described in subparagraph (B). (B) An educational program at an institution is described in this subparagraph if the program is a program— (i) in the case of a program that awards an associate's degree or a lesser degree or credential, in which the median earnings of students 6 years after the date of entry into the program who are no longer enrolled in the program and are working is, for not less than 2 of the 3 years preceding the date of the determination, less than the median earnings of a working adult who is aged 25 to 34 with only a high school diploma or its recognized equivalent, as determined under subparagraph (C) and in accordance with subparagraph (D); or (ii) in the case of a program that awards a bachelor's degree, in which the median earnings of students 10 years after the date of entry into the program who are no longer enrolled in the program and are working is, for not less than 2 of the 3 years preceding the date of the determination, less than the median earnings of a working adult who is aged 25 to 34 with only a high school diploma or its recognized equivalent, as determined under subparagraph (C) and in accordance with subparagraph (D). (C) The median earnings of a working adult who is aged 25 to 34 with only a high school diploma or its recognized equivalent shall be based on data from the Census Bureau— (i) for the State in which the institution is located; or (ii) if fewer than 50 percent of the students enrolled in the institution reside in the State where the institution is located, for the entire United States. (D) For any year for which the programmatic cohort is fewer than 30 individuals, the Secretary shall— (i) first, aggregate additional years of programmatic data in order to achieve a cohort of at least 30 individuals; (ii) second, aggregate additional cohort years of programmatic data for degrees or certificates of equivalent length in order to achieve a cohort of at least 30 individuals; and (iii) if such data cannot be aggregated, use an institution-based undergraduate-level measure, in lieu of a programmatic measure. (E) An educational program shall not lose eligibility under subparagraph (A) unless the institution has had the opportunity to appeal the programmatic median earnings of students working and not enrolled determination. During such appeal, the Secretary may permit the educational program to continue to participate in a program under this title. If an educational program continues to participate in a program under this title, and the institution's appeal of the loss of eligibility is unsuccessful, the institution shall pay to the Secretary an amount equal to the amount of interest, and any related payments made by the Secretary (or which the Secretary is obligated to make) with respect to loans made under this title to students attending, or planning to attend, that educational program during the pendency of such appeal. (31) (A) The institution certifies that no funds available under this title may be used by a graduate student for enrollment in an educational program offered by the institution that is described in subparagraph (B). (B) An educational program at an institution is described in this subparagraph if the program is a program— (i) in the case of a program that awards a master's degree or a lesser degree or credential, in which the median earnings of students 6 years after the date of entry into the program who are no longer enrolled in the program and are working is, for not less than 2 of the 3 years preceding the date of the determination, less than the median earnings of a working adult who is aged 25 to 34 with only a bachelor’s degree, as determined under subparagraph (C) and in accordance with subparagraph (D); or (ii) in the case of program that awards a professional degree or doctoral degree, in which the median earnings of students 10 years after the date of entry into the program who are no longer enrolled in the program and are working is, for not less than 2 of the 3 years preceding the date of the determination, less than the median earnings of a working adult who is aged 25 to 34 with only a bachelor’s degree, as determined under subparagraph (C) and in accordance with subparagraph (D). (C) The median earnings of a working adult who is aged 25 to 34 with only a bachelor's degree shall be based on data from the Census Bureau— (i) for the State in which the institution is located; or (ii) if fewer than 50 percent of the students enrolled in the institution reside in the State where the institution is located, for the entire United States. (D) For any year for which the programmatic cohort is fewer than 30 individuals, the Secretary shall— (i) first, aggregate additional years of programmatic data in order to achieve a cohort of at least 30 individuals; (ii) second, aggregate additional cohort years of programmatic data for degrees or certificates of equivalent length in order to achieve a cohort of at least 30 individuals; and (iii) if such data cannot be aggregated, use an institution-based graduate-level measure, in lieu of a programmatic measure. (E) An educational program shall not lose eligibility under subparagraph (A) unless the institution has had the opportunity to appeal the programmatic median earnings of students working and not enrolled determination. During such appeal, the Secretary may permit the educational program to continue to participate in a program under this title. If an educational program continues to participate in a program under title, and the institution’s appeal of the loss of eligibility is unsuccessful, the institution shall pay to the Secretary an amount equal to the amount of interest, and any related payments made by the Secretary (or which the Secretary is obligated to make) with respect to loans made under this title to students attending, or planning to attend, that educational program during the pendency of such appeal. . 403. Phase out of income-based repayment Section 493C of the Higher Education Act of 1965 ( 20 U.S.C. 1098e ) is amended— (1) in subsection (b)(1), by inserting who enters repayment on such loan before July 1, 2024, and after a borrower of any loan made, insured, or guaranteed under part B or D (other than an excepted PLUS loan or excepted consolidation loan) ; and (2) in subsection (e)— (A) in the subsection heading by inserting , and before July 1, 2024 after July 1, 2014 ; and (B) by inserting , and before July 1, 2024 after July 1, 2014 . V Graduate opportunity and affordable loans 501. Loan limits Section 455 of the Higher Education Act of 1965 ( 20 U.S.C. 1087e ) is amended— (1) in subsection (a)— (A) in paragraph (3)(A)— (i) in the matter preceding clause (i), by striking part B and inserting part B— ; (ii) beginning in the matter preceding clause (i), by striking for any period and all that follows through professional student and inserting the following: (i) for any period of instruction beginning on or after July 1, 2012, a graduate or professional student ; and (iii) in clause (ii), by inserting for any period of instruction beginning on July 1, 2012, and ending on June 30, 2024 (subject to paragraph (4)(C)), before the maximum annual ; and (B) by adding at the end the following: (4) Graduate and professional annual and aggregate limits for Unsubsidized Stafford loans beginning July 1, 2024 (A) Annual limits beginning July 1, 2024 Subject to subparagraph (C), beginning on July 1, 2024, the maximum annual amount of Federal Direct Unsubsidized Stafford loans— (i) a graduate student, who is not a professional student, may borrow in any academic year (as defined in section 481(a)(2)) or its equivalent shall be $20,500; and (ii) a professional student may borrow in any academic year (as defined in section 481(a)(2)) or its equivalent shall be $40,500. (B) Aggregate limits beginning july 1, 2024 Subject to subparagraph (C), beginning on July 1, 2024, the maximum aggregate amount of Federal Direct Unsubsidized Stafford loans— (i) a graduate student, who is not a professional student, may borrow is $65,000, in addition to the amount borrowed for undergraduate education; and (ii) a professional student may borrow is $130,000, in addition to the amount borrowed for undergraduate education. (C) Phase out provisions Notwithstanding the date of the applicability of the limits set forth in this paragraph, an eligible graduate student, including a professional student, who received a disbursement of a Federal Direct Unsubsidized Stafford loan after June 30, 2023, and before July 1, 2024, for the 2023–2024 award year, may receive a Federal Direct Unsubsidized Stafford loan for the 2024–2025 award year in amounts that are subject to the annual and aggregate loan limits applicable prior to July 1, 2024, if the borrower did not graduate prior to the 2024–2025 award year. (D) Definitions In this paragraph: (i) Graduate student The term graduate student means a student enrolled in a program at the postbaccalaureate level, such as a postbaccalaureate certificate, a master’s degree, or a doctor’s degree. (ii) Professional student The term professional student means a student enrolled in a doctor’s degree-professional practice program. (iii) Postbaccalaureate certificate; master's degree; doctor's degree; doctor's degree professional-practice The terms postbaccalaureate certificate , master’s degree , doctor’s degree , and doctor’s degree professional-practice shall have the meaning provided in the 2022–2023 glossary of the Integrated Postsecondary Education Data System (OMB NO. 1859–0582 v. 30). (5) Termination of authority to make Federal Direct PLUS loans to graduate and professional students (A) In general Notwithstanding any other provision of law, for any period of instruction beginning on or after July 1, 2024, a graduate student (including a professional student) shall not be eligible to receive a Federal Direct PLUS Loan under this part for enrollment in a program of graduate or doctor's degree professional-practice education. (B) Phase out provisions Not later than 30 days after the date of enactment of the Lowering Education Costs and Debt Act , each institution of higher education that enrolls graduate students or professional students shall notify prospective and enrolled graduate students and professional students that the Federal Direct PLUS Loan program will end for graduate students and professional students on June 30, 2024. (C) Definitions The definitions in paragraph (4)(D) shall apply to this paragraph. (6) Institutionally determined limits Notwithstanding any other provision of this part, an eligible institution (at the discretion of a financial aid administrator at the institution) may prorate or limit the amount of a loan a student who is enrolled in a program of study at that institution for a period of instruction beginning on or after July 1, 2024, may borrow under this part for an academic year, as long as any proration or limit is applied consistently to all borrowers entering such program of study. .