,,ii #aacth ,,congress #b;d ,session ,s4 #bbjd ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,april #c1 #bjad,mr4 ,durbin 7for himself1 ,mr4 ,harkin1 and ,mr4 ,brown7 introduced the following bill2 which was read twice and referred to the ,committee on ,health1 ,education1 ,labor1 and ,pensions ,a ,,bill ,to establish the ,proprietary ,education ,oversight ,coordination ,committee4 #a4 ,short title ,this ,act may be cited as the ,proprietary ,education ,oversight ,coordination ,improvement ,act4 #b4 ,definitions ,in this ,act3 7#a7 ,executive officer ,the term executive officer1 with respect to a proprietary institution of higher education that is a publicly traded corporation1 means-- 7,a7 the president of such corporation2 7,b7 a vice president of such corporation who is in charge of a principal business unit1 division1 or function of such corporation1 such as sales1 administration1 or finance2 or 7,c7 any other officer or person who performs a policy-making function for such corporation4 7#b7 ,federal education assistance ,the term ,federal education assistance means any ,federal financial assistance provided under any ,federal law through a grant1 a contract1 a subsidy1 a loan1 a guarantee1 an insurance1 or any other means to a proprietary institution of higher education1 including ,federal financial assistance that is disbursed or delivered to such institution1 on behalf of a student1 or to a student to be used to attend such institution1 except that such term shall not include any monthly housing stipend provided under chapter #cc of title #ch1 ,united ,states ,code4 7#c7 ,private education loan ,the term private education loan-- 7,a7 means a loan provided by a private educational lender 7as defined in section #adj7;a7 of the ,truth in ,lending ,act 7#ae ,u4,s4,c4 #afej7;a777 that-- 7i7 is not made1 insured1 or guaranteed under title ,,iv of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajgj et seq472 7ii7 is issued expressly for postsecondary educational expenses to a borrower1 regardless of whether the loan is provided through the educational institution that the subject student attends or directly to the borrower from the private educational lender 7as so defined72 and 7iii7 is not made1 insured1 or guaranteed under title ,,vii or title ,,viii of the ,public ,health ,service ,act 7#db ,u4,s4,c4 #bib et seq4 and #bif et seq472 and 7,b7 does not include an extension of credit under an open-end consumer credit plan1 a reverse mortgage transaction1 a residential mortgage transaction1 or any other loan that is secured by real property or a dwelling4 7#d7 ,proprietary institution of higher education ,the term proprietary institution of higher education has the meaning given the term in section #ajb7;b7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajjb7;b774 7#e7 ,recruiting and marketing activities 7,a7 ,in general ,except as provided in subparagraph 7,b71 the term recruiting and marketing activities means activities that consist of the following3 7i7 ,advertising and promotion activities1 including paid announcements in newspapers1 magazines1 radio1 television1 billboards1 electronic media1 naming rights1 or any other public medium of communication1 including paying for displays or promotions at job fairs1 military installations1 or college recruiting events4 7ii7 ,efforts to identify and attract prospective students1 either directly or through a contractor or other third party1 including contact concerning a prospective student's potential enrollment or application for a grant1 a loan1 or work assistance under title ,,iv of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajgj et seq47 or participation in preadmission or advising activities1 including-- 7,i7 paying employees responsible for overseeing enrollment and for contacting potential students in-person1 by phone1 by email1 or by other internet communications regarding enrollment2 and 7,,ii7 soliciting an individual to provide contact information to an institution of higher education1 including through websites established for such purpose and funds paid to third parties for such purpose4 7iii7 ,such other activities as the ,secretary of ,education may prescribe1 including paying for promotion or sponsorship of education or military-related associations4 7,b7 ,exceptions ,any activity that is required as a condition of receipt of funds by an institution under title ,,iv of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajgj et seq471 is specifically authorized under such title1 or is otherwise specified by the ,secretary of ,education1 shall not be considered to be a recruiting and marketing activity under subparagraph 7,a74 7#f7 ,state approval agency ,the term ,state approval agency means any ,state agency that determines whether an institution of higher education is legally authorized within such ,state to provide a program of education beyond secondary education4 7#g7 ,veterans service organization ,the term veterans service organization means an organization recognized by the ,secretary of ,veterans ,affairs for the representation of veterans under section #eijb of title #ch1 ,united ,states ,code4 #c4 ,establishment of ,committee 7a7 ,establishment ,there is established a committee to be known as the ,proprietary ,education ,oversight ,coordination ,committee 7referred to in this ,act as the ,committee7 and to be composed of the head 7or the designee of such head7 of each of the following ,federal entities3 7#a7 ,the ,department of ,education4 7#b7 ,the ,consumer ,financial ,protection ,bureau4 7#c7 ,the ,department of ,justice4 7#d7 ,the ,securities and ,exchange ,commission4 7#e7 ,the ,department of ,defense4 7#f7 ,the ,department of ,veterans ,affairs4 7#g7 ,the ,federal ,trade ,commission4 7#h7 ,the ,department of ,labor4 7#i7 ,the ,internal ,revenue ,service4 7#aj7 ,at the discretion of the ,president1 any other relevant ,federal agency or department4 7b7 ,purposes ,the ,committee shall have the following purposes3 7#a7 ,coordinate ,federal oversight of proprietary institutions of higher education to-- 7,a7 improve enforcement of applicable ,federal laws and regulations2 7,b7 increase accountability of proprietary institutions of higher education to students and taxpayers2 and 7,c7 ensure the promotion of quality education programs4 7#b7 ,coordinate ,federal activities to protect students from unfair1 deceptive1 abusive1 unethical1 fraudulent1 or predatory practices1 policies1 or procedures of proprietary institutions of higher education4 7#c7 ,encourage information sharing among agencies related to ,federal investigations1 audits1 or inquiries of proprietary institutions of higher education4 7#d7 ,increase coordination and cooperation between ,federal and ,state agencies1 including ,state ,attorneys ,general and ,state approval agencies1 with respect to improving oversight and accountability of proprietary institutions of higher education4 7#e7 ,develop best practices and consistency among ,federal and ,state agencies in the dissemination of consumer information regarding proprietary institutions of higher education to ensure that students1 parents1 and other stakeholders have easy access to such information4 7c7 ,membership 7#a7 ,designees ,for any designee described in subsection 7a71 the head of the member entity shall appoint a high-level official who exercises significant decisionmaking authority for the oversight or investigatory activities and responsibilities related to proprietary institutions of higher education of the respective ,federal entity of such head4 7#b7 ,chairperson ,the ,secretary of ,education or the designee of such ,secretary shall serve as the ,chairperson of the ,committee4 7#c7 ,committee support ,the head of each entity described in subsection 7a7 shall ensure appropriate staff and officials of such entity are available to support the ,committee-related work of such entity4 #d4 ,meetings 7a7 ,committee meetings ,the members of the ,committee shall meet regularly1 but not less than once during each quarter of each fiscal year1 to carry out the purposes described in section #c7;b74 7b7 ,meetings with ,state agencies and stakeholders ,the ,committee shall meet not less than once each fiscal year1 and shall otherwise interact regularly1 with ,state ,attorneys ,general1 ,state approval agencies1 veterans service organizations1 and consumer advocates to carry out the purposes described in section #c7;b74 #e4 ,report 7a7 ,in general ,the ,committee shall submit a report each year to the ,committee on ,health1 ,education1 ,labor1 and ,pensions of the ,senate1 the ,committee on ,education and the ,workforce of the ,house of ,representatives1 and any other committee of ,congress that the ,committee determines appropriate4 7b7 ,public access ,the report described in subsection 7a7 shall be made available to the public in a manner that is easily accessible to parents1 students1 and other stakeholders in accordance with the best practices developed under section #c7;b77#e74 7c7 ,contents 7#a7 ,in general ,the report shall include-- 7,a7 an accounting of any action 7as defined in paragraph 7#c77 taken by the ,federal ,government1 any member entity of the ,committee1 or a ,state-- 7i7 to enforce ,federal or ,state laws and regulations applicable to proprietary institutions of higher education2 7ii7 to hold proprietary institutions of higher education accountable to students and taxpayers2 and 7iii7 to promote quality education programs2 7,b7 a summary of complaints against each proprietary institution of higher education received by any member entity of the ,committee2 7,c7 the data described in paragraph 7#b7 and any other data relevant to proprietary institutions of higher education that the ,committee determines appropriate2 and 7,d7 recommendations of the ,committee for such legislative and administrative actions as the ,committee determines are necessary to-- 7i7 improve enforcement of applicable ,federal laws2 7ii7 increase accountability of proprietary institutions of higher education to students and taxpayers2 and 7iii7 ensure the promotion of quality education programs4 7#b7 ,data 7,a7 ,industry-wide data ,the report shall include data on all proprietary institutions of higher education that consists of information regarding-- 7i7 the total amount of ,federal education assistance that proprietary institutions of higher education received for the previous academic year1 and the percentage of the total amount of ,federal education assistance provided to institutions of higher education 7as defined in section #ajb of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajjb77 for such previous academic year that reflects such total amount of ,federal education assistance provided to proprietary institutions of higher education for such previous academic year2 7ii7 the total amount of ,federal education assistance that proprietary institutions of higher education received for the previous academic year1 disaggregated by-- 7,i7 educational assistance in the form of a loan provided under title ,,iv of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajgj et seq472 7,,ii7 educational assistance in the form of a grant provided under title ,,iv of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajgj et seq472 7,,iii7 educational assistance provided under chapter #cc of title #ch1 ,united ,states ,code2 7,,iv7 tuition assistance provided under section #bjjg of title #aj1 ,united ,states ,code2 7,v7 assistance provided under section #aghd;a of title #aj1 ,united ,states ,code2 and 7,,vi7 ,federal education assistance not described in subclauses 7,i7 through 7,v72 7iii7 the percentage of the total amount of ,federal education assistance provided to institutions of higher education 7as defined in section #ajb of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajjb77 for such previous academic year for each of the programs described in subclauses 7,i7 through 7,v7 of clause 7ii7 that reflects such total amount of ,federal education assistance provided to proprietary institutions of higher education for such previous academic year for each of such programs2 7iv7 the average retention and graduation rates for students pursuing a degree at proprietary institutions of higher education2 7v7 the average cohort default rate 7as defined in section #dce7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhe7m77 for proprietary institutions of higher education1 and an annual list of cohort default rates 7as defined in such section7 for all proprietary institutions of higher education2 7vi7 for careers requiring the passage of a licensing examination-- 7,i7 the passage rate of individuals who attended a proprietary institution of higher education taking such examination to pursue such a career2 and 7,,ii7 the passage rate of all individuals taking such exam to pursue such a career2 and 7vii7 the use of private education loans at proprietary institutions of higher education that includes-- 7,i7 an estimate of the total number of such loans2 and 7,,ii7 information on the average debt1 default rate1 and interest rate of such loans4 7,b7 ,data on publicly traded corporations 7i7 ,in general ,the report shall include data on proprietary institutions of higher education that are publicly traded corporations1 consisting of information on-- 7,i7 any pre-tax profit of such proprietary institutions of higher education-- 7aa7 reported as a total amount and an average percent of revenue for all such proprietary institutions of higher education2 and 7bb7 reported for each such proprietary institution of higher education2 7,,ii7 revenue for such proprietary institutions of higher education spent on recruiting and marketing activities1 student instruction1 and student support services1 reported-- 7aa7 as a total amount and an average percent of revenue for all such proprietary institutions of higher education2 and 7bb7 for each such proprietary institution of higher education2 7,,iii7 total compensation packages of the executive officers of each such proprietary institution of higher education2 7,,iv7 a list of institutional loan programs offered by each such proprietary institution of higher education that includes information on the default and interest rates of such programs2 and 7,v7 the data described in clauses 7ii7 and 7iii74 7ii7 ,disaggregated by ownership ,the report shall include data on proprietary institutions of higher education that are publicly traded corporations1 disaggregated by corporate or parent entity1 brand name1 and campus1 consisting of-- 7,i7 the total cost of attendance for each program at each such proprietary institution of higher education1 and information comparing such total cost for each such program to-- 7aa7 the total cost of attendance for each program at each public institution of higher education2 and 7bb7 the average total cost of attendance for each program at all institutions of higher education1 including such institutions that are public and such institutions that are private2 7,,ii7 total enrollment1 disaggregated by-- 7aa7 individuals enrolled in programs taken online2 and 7bb7 individuals enrolled in programs that are not taken online2 7,,iii7 the average retention and graduation rates for students pursuing a degree at such proprietary institutions of higher education2 7,,iv7 the percentage of students enrolled in such proprietary institutions of higher education who complete a program of such an institution within-- 7aa7 the standard period of completion for such program2 and 7bb7 a period that is #aej percent of such standard period of completion2 7,v7 the total cost of attendance for each program at such proprietary institutions of higher education2 7,,vi7 the average cohort default rate1 as defined in section #dce7m7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhe7m771 for such proprietary institutions of higher education1 and an annual list of cohort default rates 7as defined in such section7 for all proprietary institutions of higher education2 7,,vii7 the median educational debt incurred by students who complete a program at such a proprietary institution of higher education2 7,,viii7 the median educational debt incurred by students who start but do not complete a program at such a proprietary institution of higher education2 7,,ix7 the job placement rate for students who complete a program at such a proprietary institution of higher education and the type of employment obtained by such students2 7,x7 for careers requiring the passage of a licensing examination1 the rate of individuals who attended such a proprietary institution of higher education and passed such an examination2 and 7,,xi7 the number of complaints from students enrolled in such proprietary institutions of higher education who have submitted a complaint to any member entity of the ,committee4 7iii7 ,department of ,defense and ,veterans ,affairs assistance 7,i7 ,in general ,to the extent practicable1 the report shall provide information on the data described in clause 7ii7 for individuals using1 to pay for the costs of attending such a proprietary institution of higher education1 ,federal education assistance provided under-- 7aa7 chapter #cc of title #ch1 ,united ,states ,code2 7bb7 section #bjjg of title #aj1 ,united ,states ,code2 and 7cc7 section #aghd;a of title #aj1 ,united ,states ,code4 7,,ii7 ,revenue ,the report shall provide information on the revenue of proprietary institutions of higher education that are publicly traded corporations that is derived from the ,federal education assistance described in subclause 7,i74 7,c7 ,comparison data ,to the extent practicable1 the report shall provide information comparing the data described in subparagraph 7,b7 for proprietary institutions of higher education that are publicly traded corporations with such data for public institutions of higher education disaggregated by ,state4 7#c7 ,accounting of any action ,for the purposes of paragraph 7#a77;,a71 the term any action shall include-- 7,a7 a complaint filed by a ,federal or ,state agency in a local1 ,state1 ,federal1 or tribal court2 7,b7 an administrative proceeding by a ,federal or ,state agency involving noncompliance of any applicable law or regulation2 or 7,c7 any other review1 audit1 or administrative process by any ,federal or ,state agency that results in a penalty1 suspension1 or termination from any ,federal or ,state program4 #f4 ,for-profit college warning list for parents and students 7a7 ,in general ,each academic year1 the ,committee shall publish a list to be known as the ,for-,profit ,college ,warning ,list for ,parents and ,students to be comprised of proprietary institutions of higher education-- 7#a7 that have engaged in illegal activity during the previous academic year as determined by a ,federal or ,state court2 7#b7 that have entered into a settlement resulting in a monetary payment2 7#c7 that have had any higher education program withdrawn or suspended2 or 7#d7 for which the ,committee has sufficient evidence of widespread or systemic unfair1 deceptive1 abusive1 unethical1 fraudulent1 or predatory practices1 policies1 or procedures that pose a threat to the academic success1 financial security1 or general best interest of students4 7b7 ,determinations ,in making a determination pursuant to subsection 7a77#d71 the ,committee may consider evidence that includes the following3 7#a7 ,any consumer complaint collected by any member entity of the ,committee4 7#b7 ,any complaint filed by a ,federal or ,state agency in a ,federal1 ,state1 local1 or tribal court4 7#c7 ,any administrative proceeding by a ,federal or ,state agency involving noncompliance of any applicable law or regulation4 7#d7 ,any other review1 audit1 or administrative process by any ,federal or ,state agency that results in a penalty1 suspension1 or termination from any ,federal or ,state program4 7#e7 ,data or information submitted by a proprietary institution of higher education to any accrediting agency or association recognized by the ,secretary of ,education pursuant to section #dif of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajii;b7 or the findings or adverse actions of any such accrediting agency or association4 7#f7 ,information submitted by a proprietary institution of higher education to any member entity of the ,committee4 7#g7 ,any other evidence that the ,committee determines relevant in making a determination pursuant to subsection 7a77#d74 7c7 ,publication ,not later than ,july #a of each fiscal year1 the ,committee shall publish the list described in subsection 7a7 prominently and in a manner that is easily accessible to parents1 students1 and other stakeholders in accordance with any best practices developed under section #c7;b77#e74