,i #aafth ,,congress #ast ,session ,h4 ,r4 #dfch ,,in ,,the ,,house ,,of ,,representatives ,october #aa1 #bjai,mr4 ,carbajal introduced the following bill2 which was referred to the ,committee on ,education and ,labor1 and in addition to the ,committee on ,ways and ,means1 for a period to be subsequently determined by the ,speaker1 in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned ,a ,,bill ,to give middle-class families access to the maximum ,federal ,pell ,grant1 to increase college transparency1 and ,state maintenance of efforts1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,degrees ,not ,debt ,act of #bjai4 #b4 ,increase in the maximum amount of a ,federal ,pell grant ,section #dja7;b77#g77;,c7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajgj;a7b77#g77;,c77 is amended-- 7#a7 in clause 7i77,i71 by striking clause 7iv77,,ii7 and inserting clause 7v77,,ii72 7#b7 in clause 7ii77,i71 by striking clause 7iv77,,ii7 and inserting clause 7v77,,ii72 7#c7 by redesignating clauses 7iii7 and 7iv7 as clauses 7iv7 and 7v71 respectively2 7#d7 by inserting after clause 7ii7 the following3 7iii7 ,award year #bjai-bjbj ,for award year #bjai-bjbj1 the amount determined under this subparagraph for purposes of subparagraph 7,b77iii7 shall be equal to-- 7,i7 #aj1jjj2 reduced by 7,,ii7 the maximum ,federal ,pell ,grant for which a student would be eligible using the criteria provided under section #dgi2 and 7,,iii7 rounded to the nearest #e4 2 and 7#e7 by striking clause 7iv71 as redesignated by paragraph 7#c71 and inserting the following3 7iv7 ,subsequent award years ,for award year #bjbj-bjba and each subsequent award year1 the amount determined under this subparagraph for purposes of subparagraph 7,b77iii7 shall be equal to-- 7,i7 the amount determined under this subparagraph for the preceding award year2 increased by 7,,ii7 a percentage equal to the annual adjustment percentage for the award year for which the amount under this subparagraph is being determined2 and 7,,iii7 rounded to the nearest #e4 4 #c4 ,increase family income threshold for determination of expected family contribution equal to zero 7a7 ,in general ,section #dgi of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhgss7 is amended to read as follows3 #dgi4 ,simplified application 7a7 ,simplified application section 7#a7 ,in general ,the ,secretary shall develop and use an easily identifiable simplified application section as part of the common financial reporting form prescribed under section #dhc7;a7 for families described in subsection 7b74 7#b7 ,reduced data requirements ,the simplified application form shall in the case of a family meeting the requirements of subsection 7b71 permit such family to be treated as having an expected family contribution equal to zero for purposes of establishing such eligibility and to submit only the data elements required to make a determination under subsection 7b74 7b7 ,zero expected family contribution ,the ,secretary shall consider an applicant to have an expected family contribution equal to zero if-- 7#a7 in the case of a dependent student1 the sum of the adjusted gross income of the student's parents is less than or equal to #bej percent of the poverty line 7as defined by the ,office of ,management and ,budget1 and revised annually in accordance with section #fgc7b7 of the ,community ,services ,block ,grant ,act 7#db ,u4,s4,c4 #iijb7b777 applicable to a family of the size involved2 7#b7 in the case of an independent student with dependents other than a spouse1 the sum of the adjusted gross income of the student and the student's spouse 7if appropriate7 is less than or equal to #bej percent of the poverty line 7as defined by the ,office of ,management and ,budget1 and revised annually in accordance with section #fgc7b7 of the ,community ,services ,block ,grant ,act 7#db ,u4,s4,c4 #iijb7b777 applicable to a family of the size involved2 or 7#c7 in the case of an independent student without dependents other than a spouse1 the sum of the adjusted gross income of the student and the student's spouse 7if appropriate7 is less than or equal to #bej percent of the poverty line 7as defined by the ,office of ,management and ,budget1 and revised annually in accordance with section #fgc7b7 of the ,community ,services ,block ,grant ,act 7#db ,u4,s4,c4 #iijb7b777 applicable to a family of the size involved4 7c7 ,adjustments ,an individual is not required to qualify or file for the earned income credit in order to be eligible under this subsection4 ,the ,secretary shall annually adjust the income level necessary to qualify an applicant for the zero expected family contribution4 ,the income level shall be adjusted according to increases in the ,consumer ,price ,index1 as defined in section #dgh7;f74 4 7b7 ,adjustments in income protection allowances ,for each academic year1 the ,secretary of ,education shall continue to publish in the ,federal ,register a revised table of income protection allowances pursuant to section #dgh7;b77#a77;,a7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajhgrr7b77#a77;,a774 #d4 ,state responsibility 7a7 ,maintenance of effort requirements ,section #dja of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajgj;a7 is amended by adding at the end the following3 7k7 ,institutional ineligibility based on failure of state ,to maintain higher education appropriations level 7#a7 ,in general ,each ,state that receives funds under this ,act shall maintain expenditures and ,state financial aid for institutions of higher education in the ,state1 with respect to a fiscal year1 at an amount that is equal to or more than the average amount of ,state expenditures and ,state financial aid for institutions of higher education in the ,state for the #aj fiscal years preceding such fiscal year4 7#b7 ,consequences of failure to maintain effort ,notwithstanding any other provision of law and beginning #e years after the date of enactment of the ,degrees ,not ,debt ,act of #bjai1 the ,secretary shall not make a payment under this subpart to an institution of higher education for a fiscal year for the purpose of making a ,federal ,pell ,grant to eligible students in attendance at such institution and any such student shall not be eligible to receive a ,federal ,pell ,grant for attendance at such institution for the fiscal year1 if the institution-- 7,a7 is an institution of higher education1 as defined in section #ajb2 and 7,b7 is located in a ,state that has not maintained expenditures and ,state financial aid for institutions of higher education in the ,state1 with respect to the fiscal year1 at an amount that is equal to or more than the average amount of ,state expenditures and ,state financial aid for institutions of higher education in the ,state for the #e fiscal years preceding such fiscal year4 7#c7 ,waiver ,the ,secretary may waive the requirement of paragraph 7#a7 for a ,state1 for one fiscal year at a time1 and the provisions of paragraph 7#b7 shall have no effect for such fiscal year if the ,secretary determines that granting a waiver would be equitable due to exceptional or uncontrollable circumstances such as a natural disaster or a precipitous and unforeseen decline in the financial resources of the ,state4 4 #e4 ,college and university responsibility 7a7 ,program participation agreements ,section #dhg of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajid7 is amended-- 7#a7 in subsection 7a71 by adding at the end the following3 7#cj7 ,the institution will put a prominent link on the homepage of the institution's primary website that goes directly to a report of a standard set of key performance indicators with respect to the institution1 as described in subsection 7k74 2 and 7#b7 by adding at the end the following3 7k7 ,performance indicators 7#a7 ,in general ,the key performance indicators under this subsection are the following3 7,a7 7i7 ,graduation rates-- 7,i7 at #ajj percent of the normal time for graduation2 7,,ii7 at #aej percent of the normal time for graduation2 7,,iii7 at #bjj percent of the normal time for graduation2 and 7,,iv7 each of which is disaggregated by age 7#be years old and younger1 and older than #be years old71 income1 race and ethnicity1 and first-generation college status4 7ii7 ,transfer out rates4 ,each such rate shall be disaggregated by age 7#be years old and younger1 and older than #be years old71 income1 race and ethnicity1 and first-generation college status4 7iii7 ,withdrawal rates1 including rates of students who withdraw from a certificate program to seek employment in a related field of study4 7,b7 ,employment outcomes1 including the following3 7i7 ,the average salary of a graduate #c years after graduation4 7ii7 ,the percentage of graduates who1 #ahj days after graduation-- 7,i7 are employed full-time2 7,,ii7 are employed part-time2 7,,iii7 are employed in the graduate's field of study or certificate2 and 7,,iv7 make more than #be1jjj a year4 7iii7 ,the cohort repayment rate4 7,c7 ,student satisfaction rate as indicated by a survey of all students and recent alumni with the following #b questions using a #e-point ,likert scale3 7i7 ,how satisfied are you with your educational experience at name of institution8 7ii7 ,if you were making the decision today1 how likely would you be to choose to attend name of institution again8 7,d7 ,the percentage of students who continue enrollment at the institution after the first year of enrollment4 7,e7 ,the average net price for the institution's most recent cohort of graduates1 disaggregated by income quartile4 7,f7 ,the average annual net price for full-time attendance1 broken out by tuition1 fees1 living costs1 and other 7indirect7 costs4 7,g7 ,the median time to degree completion4 7,h7 ,the percentage of enrolled students with student loan debt4 7,i7 ,the average student loan debt at time of graduation for the most recent cohort of graduates who borrowed money4 7,j7 ,the average student loan debt at time of withdrawal for the most recent cohort of non-graduates who borrowed money4 7#b7 ,cohort repayment rate 7,a7 ,in general ,in this subsection1 the term cohort repayment rate means1 for any fiscal year beginning with fiscal year #bjbc-- 7i7 in the case in which #cj or more borrowers at the institution enter repayment on ,federal ,direct ,stafford ,loans1 ,federal ,direct ,unsubsidized ,stafford ,loans1 ,federal ,direct ,,plus ,loans1 or ,federal ,direct ,consolidation ,loans1 received for attendance at the institution1 the percentage of those borrowers who are not in default and who make at least a one dollar reduction on their initial student loan principal balance before the end of the second fiscal year following the fiscal year in which the borrowers entered repayment1 except as provided in subparagraph 7,b72 and 7ii7 in the case in which less than #cj borrowers at the institution enter repayment on ,federal ,direct ,stafford ,loans1 ,federal ,direct ,unsubsidized ,stafford ,loans1 ,federal ,direct ,,plus ,loans1 or ,federal ,direct ,consolidation ,loans1 received for attendance at the institution1 the percentage of those borrowers plus all of the borrowers at the institution who entered repayment on such loans 7or on the portion of a loan made under section #dbh;,c that is used to repay any such loans7 in the #c fiscal years preceding the fiscal year for which the determination is made1 who are not in default and who make at least a one dollar reduction on their initial student loan principal balance before the end of the second fiscal year following the year in which the borrowers entered repayment1 except as provided in subparagraph 7,b74 7,b7 ,exception ,the cohort repayment rate calculation under subparagraph 7,a7 shall not include in the calculation a borrower who is-- 7i7 in deferment on repayment of a loan described in subparagraph 7,a7 due to study in an approved graduate fellowship program or in an approved rehabilitation training program for the disabled2 7ii7 in deferment on repayment of a loan described in subparagraph 7,a7 during a period of at least half-time enrollment in college or a career school2 7iii7 in deferment on repayment of a loan described in subparagraph 7,a7 during a period of service qualifying for loan discharge or cancellation under part ,e2 7iv7 in deferment on repayment of a loan described in subparagraph 7,a7 due to active duty military service of the borrower during a war1 military operation1 or national emergency2 7v7 in deferment on repayment of a loan described in subparagraph 7,a7 during the #ac months following the conclusion of qualifying active duty military service by the borrower1 or until the borrower returns to enrollment on at least a half-time basis1 whichever is earlier1 if the borrower is a member of the ,national ,guard or other reserve component of the ,armed ,forces and was called or ordered to active duty while enrolled at least half-time at an eligible school or within #f months of having been enrolled at least half-time2 7vi7 in mandatory forbearance on repayment of a loan described in subparagraph 7,a7 for the full fiscal year2 or 7vii7 serving as a volunteer under the ,peace ,corps ,act 7#bb ,u4,s4,c4 #beja et seq47 or the ,domestic ,volunteer ,service ,act of #aigc 7#db ,u4,s4,c4 #diej et seq474 7#c7 ,new data points ,the ,secretary shall work with the ,national ,center for ,education ,statistics to identify new data points that need to be collected to assist colleges and universities with the collection1 organization1 and distribution of key performance indicators and cohort repayment rates4 7#d7 ,guidance ,the ,secretary shall issue guidance1 with input from stakeholders1 to facilitate the data collection and display of key performance indicators4 4 7b7 ,enhanced data collection for institutions with enrollment rates of less than #e1jjj students ,section #dhi7;a7 of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajif7;a77 is amended-- 7#a7 in the first sentence1 by inserting 7or1 in the case of an institution with an enrollment of less than #e1jjj students1 #f7 after #e2 and 7#b7 by adding at the end the following3 ,in addition1 the ,secretary shall provide funds to assist small institutions of higher education1 with enrollment rates of less than #e1jjj students1 with data collection1 organization1 and distribution of performance indicators and cohort repayment rates44 #f4 ,repeal of increased alternative minimum tax exemption amount for individuals 7a7 ,in general ,section #ee7;d7 of the ,internal ,revenue ,code of #aihf is amended by striking paragraph 7#d74 7b7 ,effective date ,the amendment made by this section shall apply to taxable years beginning after ,december #ca1 #bjah4 #g4 ,repeal of increased estate and gift tax exemption 7a7 ,in general ,section #bjaj7;c77#c7 of the ,internal ,revenue ,code of #aihf is amended by striking ,january #a1 #bjbf and inserting the date of the enactment of the ,degrees ,not ,debt ,act of #bjai4 7b7 ,effective date ,the amendment made by this section shall apply to estates of decedents dying and gifts made after the date of the enactment of this ,act4