,,ii #aai? ,,congress #a/ ,session ,s4 #iid ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,m>* #ab1 #bjbe,mr4 ,durb9 7= himself1 ,ms4 ,w>r51 & ,mr4 ,m]kley7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,heal?1 ,education1 ,labor1 & ,p5sions ,a ,,bill ,to provide = acc\ntability 9 high] education4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,prev5t+ ,risky ,op]ations f ,?reat5+ ! ,education & ,c>e] ,trajectories ( ,/ud5ts ,act ( #bjbe or ! ,,protect ,/ud5ts ,act ( #bjbe4 #b4 ,table ( cont5ts ,! table ( cont5ts = ?is ,act is z foll[s3 ,sec4 #a4 ,%ort title4,sec4 #b4 ,table ( cont5ts4,sec4 #c4 ,ref]5ces4,,title ,i--,/ud5t & taxpay] protections,sec4 #aja4 ,ga9ful employm5t & f9ancial value transp>5cy4,sec4 #ajb4 ,borr[] def5se & sub/antial misrepres5tations4,sec4 #ajc4 ,clos$ s*ool dis*>ge4,sec4 #ajd4 ,prohibition on in/itutions limit+ /ud5t legal action4,sec4 #aje4 ,inc5tive comp5sation4,,title ,,ii--,ensur+ integrity at in/itutions ( high] education & in/itutional contractors,sec4 #bja4 ,updat+ ,f$]al ov]sight ( ?ird-p>ty s]vic]s4,sec4 #bjb4 ,job placem5t rates4,sec4 #bjc4 ,allocation ( tuition & fee rev5ue by title ,,iv in/itutions4,sec4 #bjd4 ,pa/ p]=mance4,sec4 #bje4 ,rec\pm5t4,,title ,,iii--,improv+ oversight,sec4 #cja4 ,en=cem5t 9 ! ,(fice ( ,f$]al ,/ud5t ,aid4,sec4 #cjb4 ,=-,pr(it ,education ,ov]sight ,coord9ation ,committee4,sec4 #cjc4 ,e/abli%m5t & ma9t5ance ( compla9t resolution & track+ sy/em4,sec4 #cjd4 ,re=ms to eligibility & c]tification proc$ures4,sec4 #cje4 ,/ate ov]sight4,sec4 #cjf4 ,accr$it+ ag5cy ov]sight4,sec4 #cjg4 ,m&atory sp5d+ = adm9i/rative co/s ( op]at+ ! /ud5t aid programs4,,title ,,iv--,improv+ access to /ud5t & taxpay] information,sec4 #dja4 ,report+ & disclosures f in/itutions ( high] education4,sec4 #djb4 ,transp>5cy ( ov]sight activities4 #c4 ,ref]5ces ,except z o!rwise expressly provid$ 9 ?is ,act1 :]ev] 9 ?is ,act an am5dm5t or repeal is express$ 9 t]ms ( an am5dm5t to1 or a repeal (1 a section or o!r provision1 ! ref]5ce %all be consid]$ to be made to t section or o!r provision ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajja et seq474 ,i ,/ud5t & taxpay] protections #aja4 ,ga9ful employm5t & f9ancial value transp>5cy 7a7 ,def9+ ga9ful employm5t programs 7#a7 ,additional in/itutions ,section #aja7;b7 7#bj ,u4,s4,c4 #ajja7;b77 is am5d$ 9 p>agraph 7#a71 by ins]t+ 1 includ+ t meets ! /&>ds = debt-to-e>n+s & e>n+s premium 9 section #dih;,c1 aft] ga9ful employm5t 9 a recogniz$ occupation4 7#b7 ,propriet>y in/itution ( high] education ,section #ajb7;b77#a77;,a77i7 7#bj ,u4,s4,c4 #ajjb7;b77#a77;,a77i77 is am5d$1 by ins]t+ 1 includ+ t meets ! /&>ds = debt-to-e>n+s & e>n+s premium 9 section #dih;,c aft] ga9ful employm5t 9 a recogniz$ occupation4 7#c7 ,po/second>y vocational in/itution ,section #ajb7;c77#a77;,a7 7#bj ,u4,s4,c4 #ajjb7;c77#a77;,a77 is am5d$1 by ins]t+ 1 includ+ t meets ! /&>ds = debt-to-e>n+s & e>n+s premium 9 section #dih;,c aft] ga9ful employm5t 9 a recogniz$ occupation4 7#d7 ,eligible program ,section #dha7;b77#a77;,a77i7 7#bj ,u4,s4,c4 #ajhh7;b77#a77;,a77i77 is am5d$1 by ins]t+ 1 includ+ t meets ! /&>ds = debt-to-e>n+s & e>n+s premium 9 section #dih;,c aft] ga9ful employm5t 9 a recogniz$ pr(ession4 7b7 ,debt-to-,e>n+s & e>n+s premium ,subp>t #c ( "p ,h ( title ,,iv 7#bj ,u4,s4,c4 #ajii;c et seq47 is am5d$ by add+ at ! end ! foll[+3 #dih;,c4 ,debt-to-e>n+s & e>n+s premium 7a7 ,def9itions ,9 ?is section3 7#a7 ,annual debt-to-e>n+s rate ,! t]m annual debt-to-e>n+s rate means ! rate t is calculat$ = a cohort ( /ud5ts by tak+ ! annual loan paym5t = su* cohort1 z calculat$ by ! ,secret>y1 divid$ by ! m$ian annual e>n+s = su* cohort4 7#b7 ,annual loan paym5t ,! t]m annual loan paym5t means1 = a cohort ( /ud5ts1 z def9$ by ! ,secret>y1 :o complet$ an eligible program1 _! total annual paym5t on loans borr[$ to enroll 9 ! in/itution t (f]$ ! eligible program1 measur$ n less ?an #b & n m ?an #d ye>s aft] _! completion4 7#c7 ,discretion>y debt-to-e>n+s rate ,! t]m discretion>y debt-to-e>n+s rate means ! rate t is calculat$ = a cohort ( /ud5ts by tak+ ! annual loan paym5t = su* cohort1 z calculat$ by ! ,secret>y1 divid$ by ! discretion>y e>n+s = su* cohort4 7#d7 ,discretion>y e>n+s ,! t]m discretion>y e>n+s means1 = a cohort ( /ud5ts1 z def9$ by ! ,secret>y1 :o complet$ an eligible program1 ! m$ian annual e>n+s m9us ! am\nt t is #aej p]c5t ( ! pov]ty level = an individual1 z det]m9$ by ! ,dep>tm5t ( ,heal? & ,human ,s]vices4 7#e7 ,e>n+s premium ,! t]m e>n+s premium means ! am\nt by :i* ! m$ian annual e>n+s exce$ ! m$ian e>n+s = work+ adults ) n m ?an a high s*ool diploma1 z det]m9$ us+ data f ! ,bureau ( ! ,c5sus-- 7,a7 9 ! ,/ate :]e ! in/itution t provides ! eligible program is locat$2 or 7,b7 if few] ?an half ( ! /ud5ts 9 ! eligible program are f ! ,/ate :]e ! in/itution t provides ! eligible program is locat$1 or if ! in/itution is a =eign in/itution1 nationally4 7#f7 ,m$ian annual e>n+s ,! t]m m$ian annual e>n+s means1 = a cohort ( /ud5ts1 z def9$ by ! ,secret>y1 :o complet$ an eligible program1 ! midpo9t ( _! annual e>n+s measur$ n less ?an #b & n m ?an #d ye>s aft] _! completion4 7b7 ,/&>ds 7#a7 ,9 g5]al ,an eligible program does n meet ! /&>ds = debt-to-e>n+s or e>n+s premium if x fails ! debt-to-e>n+s rates or fails ! e>n+s premium1 z describ$ 9 p>agraph 7#b71 9 #b out ( any #c consecutive ye>s4 7#b7 ,fail+ ,an eligible program-- 7,a7 fails ! debt-to-e>n+s rates if x has-- 7i7 a discretion>y debt-to-e>n+s rate equal to or great] ?an #bj p]c5t2 & 7ii7 an annual debt-to-e>n+s rate equal to or great] ?an #h p]c5t2 & 7,b7 fails ! e>n+s premium if x has an e>n+s premium ( z]o or a negative am\nt4 7c7 ,process 7#a7 ,data mat* ,9 ord] to ensure compliance ) p>agraph 7#b71 ! ,commission] ( ! ,int]nal ,rev5ue ,s]vice1 ! ,commission] ( ! ,social ,security ,adm9i/ration1 & ! head ( any o!r ,f$]al ag5cy t adm9i/]s ! database ( individual-level e>n+s data %all1 9 coord9ation ) ! ,secret>y1 timely ensure secure1 annual data mat*es ( e>n+s data ) ,dep>tm5t ( ,education data to produce ! m$ian annual e>n+s ( ea* eligible program4 7#b7 ,requirem5ts ( ! secret>y ,! ,secret>y %all-- 7,a7 on an annual cal5d> ye> basis-- 7i7 = ea* eligible program-- 7,i7 calculate = ea* aw>d ye> ! discretion>y debt-to-e>n+s rate1 ! annual debt-to-e>n+s rate1 & ! e>n+s premium = ! program2 & 7,,ii7 publi% ! discretion>y debt-to-e>n+s rate1 ! annual debt-to-e>n+s rate1 & ! e>n+s premium = ! eligible program = ea* aw>d ye> on a website e/abli%$ & ma9ta9$ by ! ,secret>y2 7ii7 = ea* eligible program t is a program ( tra9+ to prep>e /ud5ts = ga9ful employm5t 9 a recogniz$ occupation or a graduate or pr(essional degree program (f]$ by an in/itution ( high] education describ$ 9 section #aja7;a71 issue a notice ( det]m9ation n lat] ?an #de days aft] complet+ ! data mat* describ$ 9 p>agraph 7#a71 in=m+ ! in/itution t provides ! program-- 7,i7 ( ! f9al discretion>y debt-to-e>n+s rate1 ! annual debt-to-e>n+s rate1 & ! e>n+s premium = ! program1 :i* may n be appeal$ by ! in/itution unless ! in/itution believes t ! ,secret>y err$ 9 ! calculation ( any su* measure2 7,,ii7 ( ! f9al det]m9ation reg>d+ :e!r ! program fails ! debt-to-e>n+s rates or fails ! e>n+s premium1 z describ$ 9 subsection 7b77#b72 7,,iii7 :e!r ! program does n meet ! /&>ds = debt-to-e>n+s or e>n+s premium z describ$ 9 subsection 7b77#a7 or c\ld n meet su* /&>ds 9 ! next ye> if x fails ! debt-to-e>n+s rates or fails ! e>n+s premium1 z describ$ 9 subsection 7b77#b71 9 su* next ye>2 & 7,,iv7 :e!r ! in/itution is requir$ to provide w>n+s to enroll$ /ud5ts & prospective /ud5ts ( ! program's failure1 or risk ( failure1 to meet ! /&>ds1 z det]m9$ "u subclause 7,,iii72 & 7iii7 = ea* eligible program t is a program ( tra9+ to prep>e /ud5ts = ga9ful employm5t 9 a recogniz$ occupation t does n meet ! /&>ds = debt-to-e>n+s & e>n+s premium z describ$ 9 subsection 7b77#a71 en=ce ! consequ5ces "u subsection 7d72 & 7,b7 develop processes to v]ify1 on an annual cal5d> ye> basis-- 7i7 t ea* eligible program t is a program ( tra9+ to prep>e /ud5ts = ga9ful employm5t 9 a recogniz$ occupation or a graduate or pr(essional degree program (f]$ by an in/itution ( high] education describ$ 9 section #aja7;a71 provides ! w>n+ describ$ 9 subp>agraph 7,a77ii77,,iv71 if applicable2 & 7ii7 t ea* eligible program t is a program ( tra9+ to prep>e /ud5ts = ga9ful employm5t 9 a recogniz$ occupation t does n meet ! /&>ds = debt-to-e>n+s or e>n+s premium z describ$ 9 subsection 7b77#a71 does n receive funds z describ$ 9 subsection 7d74 7d7 ,consequ5ces ( n meet+ /&>ds 7#a7 ,no disbursem5t ( funds = enrollm5t 9 ineligible programs ,an in/itution may n disburse program funds "u ?is title to /ud5ts enroll$ 9 a program ( tra9+ to prep>e /ud5ts = ga9ful employm5t 9 a recogniz$ occupation t does n meet ! /&>ds = debt-to-e>n+s & e>n+s premium z describ$ 9 ?is section4 7#b7 ,"t p]iod to ree/abli% eligibility ,an in/itution may n seek to ree/abli% ! eligibility ( a program ( tra9+ to prep>e /ud5ts = ga9ful employm5t 9 a recogniz$ occupation t does n meet ! /&>ds = debt-to-e>n+s & e>n+s premium z describ$ 9 ?is section or e/abli% ! eligibility ( a program ( tra9+ to prep>e /ud5ts = ga9ful employm5t 9 a recogniz$ occupation t is sub/antially simil> to ! program t did n meet su* /&>ds until ! date t is #c ye>s aft] ! date ( ! notice ( det]m9ation issu$ "u subsection 7c77#b77;,a77ii7 t ! program ( tra9+ to prep>e /ud5ts = ga9ful employm5t 9 a recogniz$ occupation does n meet ! /&>ds4 7e7 ,regulations ,! ,secret>y %all issue regulations to c>ry out ?is section n lat] ?an #a ye> aft] ! date ( enactm5t ( ! ,prev5t+ ,risky ,op]ations f ,?reat5+ ! ,education & ,c>e] ,trajectories ( ,/ud5ts ,act ( #bjbe1 except t su* regulations %all n be subject to ! requirem5ts ( sections #dhb or #dib4 4 #ajb4 ,borr[] def5se & sub/antial misrepres5tations 7a7 ,borr[] def5se to repaym5t ,section #dee7;h7 7#bj ,u4,s4,c4 #ajhg;e7h77 is am5d$ to read z foll[s3 7h7 ,borr[] def5ses 7#a7 ,9 g5]al ,not)/&+ any o!r provision ( ,/ate or ,f$]al law1 ! ,secret>y %all dis*>ge a cov]$ loan 9 repaym5t made to a borr[] ) a def5se to repaym5t ( ! loan1 z describ$ 9 ?is section4 7#b7 ,def9itions ,9 ?is subsection3 7,a7 ,repaym5t ,! t]m repaym5t means ! p]iod aft] any 9-s*ool def]m5t or grace p]iod & be=e a loan is paid 9 full o!r ?an by a consolidation loan made "u ?is title1 includ+1 )\t limitation1 a loan 9 default4 7,b7 ,cov]$ loan ,! t]m cov]$ loan means a loan made1 insur$1 or gu>ante$ "u ?is title t has an out/&+ balance compris$ 9 :ole or 9 "p by repaym5t obligations incurr$ to cov] ! co/ ( att5dance at an in/itution ( high] education4 7#c7 ,basis = def5se to repaym5t 7,a7 ,9 g5]al ,= purposes ( dis*>ge "u ?is section1 a borr[] def5se to repaym5t is e/abli%$ :5 ! ,secret>y concludes by a prepond]ance ( ! evid5ce t a qualify+ act1 omission1 or ev5t occurr$1 & ! /ud5t ^: co/ ( att5dance 0 paid 9 :ole or 9 "p by ! proce$s ( a cov]$ loan suff]$ detrim5t 9 ! nature & degree w>rant+ a borr[] def5se dis*>ge4 7,b7 ,qualify+ acts1 omissions1 or ev5ts ,a qualify+ act1 omission1 or ev5t includes )\t limitation any ( ! foll[+3 7i7 ,! in/itution1 "o ( its repres5tatives1 or a ?ird-p>ty s]vic] ( ! in/itution made a sub/antial misrepres5tation 7z describ$ 9 section #dha7;g771 directly or indirectly1 to ! borr[] 9 connection ) ! borr[]'s decision to att5d1 or to cont9ue att5d+1 ! in/itution or ! borr[]'s decision to take out a cov]$ loan4 7ii7 ,! in/itution fail$ to p]=m its obligations "u ! t]ms ( a contract ) ! /ud5t & su* obligation 0 und]tak5 z consid]ation or 9 ex*ange = ! borr[]'s decision to att5d1 or to cont9ue att5d+1 ! in/itution1 = ! borr[]'s decision to take out a cov]$ loan1 or = funds disburs$ 9 connection ) a cov]$ loan4 7iii7 ,! in/itution engag$ 9 aggressive & deceptive recruitm5t conduct or tactics 9 connection ) ! borr[]'s decision to att5d1 or to cont9ue att5d+1 ! in/itution or ! borr[]'s decision to take out a cov]$ loan4 ,aggressive & deceptive recruitm5t tactics or conduct include actions by ! in/itution1 any ( its repres5tatives1 or any entity1 organization1 or p]son ) :om ! in/itution has an agreem5t to provide educational programs1 m>ket+1 recruitm5t1 or lead g5]ation s]vices t pressure a /ud5t to make enrollm5t or loan-relat$ decisions1 take unreasonable advantage ( a /ud5t's lack ( k1 disc\rage a /ud5t or prospective /ud5t f consult+ an advisor prior to mak+ enrollm5t or loan-relat$ decisions1 use ?reat5+ or abusive language1 or repeat$ly engage 9 unsolicit$ contact4 7iv7 ,! borr[]1 :e!r z an individual or z a memb] ( a class1 or a gov]nm5tal ag5cy has obta9$ aga9/ ! in/itution a favorable judgm5t bas$ on ,/ate or ,f$]al law 9 a c\rt or adm9i/rative tribunal ( compet5t jurisdiction bas$ on ! in/itution's act or omission relat+ to ! mak+ ( a cov]$ loan1 or ! provision ( educational s]vices = :i* ! loan 0 provid$1 not)/&+ any possible appeal4 7v7 ,! ,secret>y sanction$ or o!rwise took adv]se action aga9/ ! in/itution at :i* ! borr[] enroll$1 bas$ on ! in/itution's acts or omissions t c\ld give rise to a borr[] def5se "u clause 7i71 7ii71 or 7iii74 7vi7 ,! in/itution committ$ any act or omission t relates to ! mak+ ( ! cov]$ loan = enrollm5t at ! in/itution or ! provision ( educational s]vices = :i* ! cov]$ loan 0 provid$ t w\ld give rise to a cause ( action aga9/ ! in/itution "u applicable ,/ate law )\t reg>d to any /atute ( limitations4 7,c7 ,det]m9ation :e!r detrim5t w>rants dis*>ge ,9 det]m9+ :e!r ! nature & degree ( detrim5t w>rants a borr[] def5se dis*>ge1 ! ,secret>y %all consid] ! totality ( ! circum/ances1 includ+ ! nature & degree ( detrim5t %[n by previ\s recipi5ts ( borr[] def5se dis*>ge1 & draw+ all inf]5ces & presumptions w>rant$ by ! evid5ce "u ! circum/ances4 7#d7 ,effect ( dis*>ge ,to effectuate a borr[] def5se dis*>ge ( a cov]$ loan 9 repaym5t1 ! ,secret>y %all c>ry out ! foll[+3 7,a7 ,dis*>ge all am\nts ow$ to ! ,secret>y1 includ+ int]e/ & fees1 on ! cov]$ loan1 subject to ! limitation 9 p>agraph 7#e74 ,9 ! case ( a cov]$ loan t is a ,f$]al ,direct ,consolidation ,loan or a ,f$]al ,consolidation ,loan "u section #dbh;,c compris$ only 9 "p ( repaym5t obligations incurr$ to cov] ! co/ ( att5dance at ! in/itution ^: acts or omissions are ! basis ( ! dis*>ge1 ! ,secret>y may dis*>ge less ?an ! total am\nt ( ! cov]$ loan :5 loan acc\nt records cle>ly e/abli% ! portion ( ! cov]$ loan n subject to ! def5se to repaym5t4 7,b7 ,reimburse all paym5ts previ\sly made to ! ,secret>y on ! cov]$ loan1 subject to ! limitation 9 p>agraph 7#e74 7,c7 ,= borr[]s 9 default1 det]m9e t ! borr[] is n 9 default on ! cov]$ loan & !re=e n ineligible to receive assi/ance "u ?is title on ! basis ( default on ! cov]$ loan4 7,d7 ,update or delete adv]se reports ! ,secret>y previ\sly made to consum] report+ ag5cies reg>d+ ! cov]$ loan4 7,e7 ,remove ! dis*>g$ cov]$ loan & any grant made "u ?is title relat$ to ! /ud5t's att5dance at ! in/itution ^: acts are omissions are ! basis ( ! dis*>ge f ! borr[]'s loan hi/ory = purposes ( calculat+ eligibility = fur!r grants & loans "u ?is title4 7#e7 ,limitation on dis*>ge & reimbursem5t ,! ,secret>y may r$uce ! am\nt ( dis*>ge & reimbursem5t provid$ = 9 p>agraph 7#d7 if ! borr[] receiv$ a money paym5t f ! in/itution or relat$ entity 9 comp5sation = ! acts or omissions =m+ ! basis ( ! borr[] def5se4 ,9 decid+ :e!r a r$uction is w>rant$1 & 9 :at am\nt1 ! ,secret>y %all consid] ! ext5t to :i* ! paym5t receiv$ by ! borr[] comp5sat$ = non-economic damages1 out-(-pocket exp5ses1 or paym5ts previ\sly made directly to ! in/itution1 & :e!r ! borr[] has non-,f$]al /ud5t loans z a result ( att5d+ ! in/itution4 ,! ,secret>y may n r$uce ! am\nt ( dis*>ge & reimbursem5t provid$ = 9 a cov]$ loan 9 p>agraph 7#d7 because ! borr[] receiv$ funds f a ,/ate tuition recov]y fund4 7#f7 ,f9ality ,a borr[] def5se dis*>ge is f9al ^u ! ,secret>y's notification to ! borr[]4 ,! ,secret>y may n !reaft] revoke or r$uce ! am\nt ( dis*>ge or reimbursem5t1 abs5t a f9d+ ( fraud on ! "p ( ! borr[]4 7#g7 ,gr\p process ,:]e sub/antial misrepres5tations are widespread1 ! ,secret>y %all seek to assess ! eligibility ( all pot5tially affect$ borr[]s z a gr\p or 9 multiple gr\ps to exp$ite ! process4 ,if su* dis*>ges are approv$1 ! ,secret>y %all dis*>ge ! cov]$ loans ( all eligible borr[]s 9 ! gr\p1 9 accordance ) ! processes 9 ?is section & )\t requir+ application mat]ials1 to ! ext5t practicable4 7#h7 ,regulations ,! ,secret>y may promulgate regulations or o!rwise prescribe proc$ures 9 relation to borr[] def5se dis*>ge1 consi/5t ) ! provisions ( ?is section4 ,no?+ 9 ?is section modifies or displaces exi/+ p[]s1 au?orities1 & obligations ( ! ,secret>y1 includ+ obligations impos$ "u *apt] #e ( title #e1 ,unit$ ,/ates ,code 7commonly kn[n z ! ,adm9i/rative ,proc$ures ,act74 4 7b7 ,sub/antial misrepres5tation ,section #dha 7#bj ,u4,s4,c4 #ajhh7 is am5d$ by add+ at ! end ! foll[+3 7g7 ,sub/antial misrepres5tation ,9 ?is title1 ! t]m sub/antial misrepres5tation1 :5 us$ ) respect to an in/itution ( high] education1 includes-- 7#a7 any /atem5t ab\t ! nature ( ! in/itution's educational program1 its f9ancial *>ges1 or ! employability or e>n+s ( its graduates t is false1 errone\s1 or has ! likelihood or t5d5cy to mislead "u ! circum/ances1 on :i* ! p]son to :om x 0 made c\ld reasonably be expect$ to rely1 or has reasonably reli$1 to t p]son's detrim5t2 & 7#b7 any omission ( fact1 su* z ! concealm5t1 suppression1 or abs5ce ( mat]ial in=mation ab\t ! nature ( ! in/itution's educational program1 its f9ancial *>ges1 ! employability or e>n+s ( its graduates1 ! availability ( enrollm5t op5+s 9 ! /ud5t's desir$ program1 ! factors t w\ld prev5t an applicant f meet+ ! legal or o!r requirem5ts to be employ$1 lic5s$1 or c]tifi$ 9 ! field = :i* ! tra9+ is provid$ :i* a reasonable p]son w\ld h consid]$ 9 mak+ a decision to att5d1 or to cont9ue att5d+1 ! in/itution or to take out a cov]$ loan4 4 #ajc4 ,clos$ s*ool dis*>ge ,section #dcg7;c77#a7 7#bj ,u4,s4,c4 #ajhg7;c77#a77 is am5d$ to read z foll[s3 7#a7 ,9 g5]al 7,a7 ,9 g5]al ,if a borr[] :o receiv$1 on or aft] ,janu>y #a1 #aihf1 a loan made1 insur$1 or gu>ante$ "u ?is "p & ! /ud5t borr[]1 or ! /ud5t on ^: behalf a p>5t borr[$1 is unable to complete ! program 9 :i* su* /ud5t is enroll$ due to ! closure ( ! in/itution or if su* /ud5t's eligibility to borr[ "u ?is "p 0 falsely c]tifi$ by ! eligible in/itution or 0 falsely c]tifi$ z a result ( a crime ( id5tity !ft1 or if ! in/itution fail$ to make a refund ( loan proce$s :i* ! in/itution ow$ to su* /ud5t's l5d]1 !n ! ,secret>y %all dis*>ge ! borr[]'s liability on ! loan 7includ+ int]e/ & collection fees7 by repay+ ! am\nt ow$ on ! loan4 7,b7 ,additional dis*>ge 7i7 ,9 g5]al ,9 addition to ! au?orization ( dis*>ge "u subp>agraph 7,a71 ! ,secret>y %all dis*>ge a borr[]'s 7includ+ an endors]'s7 liability on a ,f$]al ,direct ,loan made "u "p ,d if-- 7,i7 ! in/itution at :i* ! borr[] :o took ! loan 7or on ^: behalf x 0 tak5 or endors$7 0 enroll$1 ceas$ to provide educational in/ruction z a :ole1 or ceas$ to provide in/ruction 9 ! programs 9 :i* m ?an #ej p]c5t ( ! /ud5ts 7 enroll$2 or 7,,ii7 ! borr[] :o took ! loan 7or on ^: behalf x 0 tak5 or endors$7 0 enroll$ 9 an in/itution at any "t )9 ! p]iod n e>li] ?an #ahj days be=e ! date ( ! closure ( ! in/itution4 7ii7 ,ext5sion ( #ahj days ,! ,secret>y may ext5d ! #ahj day p]iod describ$ 9 clause 7i77,,ii7 9 cases :]e exceptional circum/ances are demon/rat$1 includ+ if-- 7,i7 ! in/itution 0 plac$ on probation or ord] to %[ cause or approval 0 )drawn or t]m9at$ by an accr$it+ ag5cy or association or an in/itution's in/itutional accr$itor1 or a ,/ate au?oriz+ or lic5s+ au?ority2 7,,ii7 ! in/itution 0 plac$ on ,height5$ ,ca% ,monitor+ /atus by ! ,dep>tm5t or 0 plac$ on ,provisional ,program ,p>ticipation ,approval /atus1 or ! in/itution's p>ticipation 9 a program "u ?is title 0 t]m9at$ by ! ,dep>tm5t2 7,,iii7 ! in/itution 0 f\nd to h violat$ ,f$]al or ,/ate law relat$ to enroll+ or provid+ education s]vices to /ud5ts by a ,f$]al or ,/ate ,gov]nm5t ag5cy1 or is ! subject ( a ,f$]al or ,/ate c\rt judgm5t t ! in/itution violat$ laws relat$ to enroll+ or provid+ education s]vices to /ud5ts2 7,,iv7 ! tea*-out plan 7z requir$ "u section #dhg7;f77 ( ! borr[]'s educational program exce$s ! #ahj day p]iod describ$ 9 clause 7i77,,ii72 7,v7 ! in/itution responsible = ! tea*-out ( ! borr[]'s educational program fails to p]=m ! mat]ial t]ms ( ! tea*-out plan 7z requir$ "u section #dhg7;f771 su* t ! borr[] does n h a reasonable opportunity to complete ! borr[]'s program ( /udy2 & 7,,vi7 ! in/itution p]man5tly clos$ all or mo/ ( its 9-p]son locations :ile ma9ta9+ onl9e programs or p]man5tly clos$ _m programs4 7,c7 ,no application requirem5t ,a borr[] :o took a loan 7or on ^: behalf x 0 tak5 or endors$7 t is eligible = dis*>ge "u ?is p>agraph due to in/itutional closure is entitl$ to dis*>ge )\t an application or /atem5t f ! borr[] #a ye> aft] ! in/itution's closure date if ! /ud5t did n complete ! program at ! in/itution4 7,d7 ,purs+ claims ,aft] dis*>g+ liability on a loan "u ?is p>agraph1 ! ,secret>y %all pursue any claim available to a borr[] aga9/ ! in/itution & its affiliates & pr9cipals or settle ! loan obligation pursuant to ! f9ancial responsibility au?ority "u subp>t #c ( "p ,h4 4 #ajd4 ,prohibition on in/itutions limit+ /ud5t legal action 7a7 ,en=cem5t ( arbitration agreem5ts 7#a7 ,9 g5]al ,*apt] #a ( title #i1 ,unit$ ,/ates ,code1 7relat+ to ! en=cem5t ( arbitration agreem5ts7 %all n apply to an enrollm5t agreem5t made betwe5 a /ud5t & an in/itution ( high] education4 7#b7 ,def9ition ,9 ?is section1 ! t]m in/itution ( high] education has ! mean+ giv5 su* t]m 9 section #ajb ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajjb74 7b7 ,prohibition on limitations on ability ( /ud5ts ,to pursue claims aga9/ c]ta9 in/itutions ( high] education ,section #dhg7;a7 7#bj ,u4,s4,c4 #ajid7;a77 is am5d$ by add+ at ! end ! foll[+3 7#cj7 ,! in/itution-- 7,a7 w n require any /ud5t to agree to1 & w n en=ce1 any limitation or re/riction 7includ+ a limitation or re/riction on any available *oice ( applicable law1 a jury trial1 or v5ue7 on ! ability ( a /ud5t to pursue a claim1 individually or ) o!rs1 aga9/ an in/itution 9 c\rt2 & 7,b7 w provide writt5 notification to /ud5ts enroll$ at ! in/itution t any limitation or re/riction on ! ability ( a /ud5t to pursue a claim1 individually or ) o!rs1 aga9/ an in/itution 9 c\rt conta9$ 9 any enrollm5t or o!r agreem5t ) a /ud5t w n be en=c$4 4 7c7 ,private "r ( action 7#a7 ,9 g5]al 7,a7 ,private "r ( action ,a violation describ$ 9 subp>agraph 7,b7 %all be subject to a private "r ( action en=ceable by a /ud5t or =m] /ud5t ( an in/itution ( high] education1 on behalf ( su* individual or su* individual & a class1 9 an appropriate di/rict c\rt ( ! ,unit$ ,/ates or any o!r c\rt ( compet5t jurisdiction t also has jurisdiction ov] ! def5dant4 ,! /ud5t or =m] /ud5t may seek any relief provid$ "u section #dee7;h7 = su* violation1 or any rem$ies o!rwise available to ! individual "u law & equity4 7,b7 ,violations ,a violation describ$ 9 ?is subp>agraph is any ( ! foll[+3 7i7 ,a sub/antial misrepres5tation1 includ+ a sub/antial omission ( fact4 7ii7 ,a violation ( section #dhg7;a77#bj7 ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajid7;a77#bj774 7iii7 ,a violation ( ! default rate regulations promulgat$ by ! ,secret>y "u section #dce7m77#c7 ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajhe7m77#c774 7iv7 ,a violation ( ! program integrity regulations promulgat$ by ! ,secret>y "u ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajja et seq471 includ+ regulations promulgat$ to c>ry out section #ajb1 section #dee1 & "p ,h ( su* ,act4 7#b7 ,am\nt ( damages 7,a7 ,9 g5]al ,any in/itution ( high] education1 ?ird p>ty s]vic] t contracts ) su* in/itution1 or ?ird p>ty contractor t commits a sub/antial misrepres5tation may be held liable to a /ud5t or =m] /ud5t ( t in/itution 9 an am\nt equal to ! sum (-- 7i7 any actual damage su/a9$ by su* individual z a result ( ea* sub/antial misrepres5tation2 7ii7 any additional damages z ! c\rt may all[2 & 7iii7 9 ! case ( any successful action to en=ce ! =ego+ liability1 ! co/s ( ! action1 toge!r ) a reasonable attorney's fee z det]m9$ by ! c\rt4 7,b7 ,ability to assess punitive damages 7i7 ,9 g5]al ,on a f9d+ by ! c\rt t an in/itution ( high] education1 ?ird p>ty s]vic] t contracts ) su* in/itution1 or ?ird p>ty contractor has committ$ a violation describ$ 9 p>agraph 7#a77;,b7 ) actual or con/ructive k or reckless disreg>d = su* violation1 ! c\rt may assess punitive damages n to exce$ ?reefold ! sum ( actual damages su/a9$ by ! pla9tiff or class1 includ+ c\rt co/s & a reasonable attorney's fee4 7ii7 ,factors consid]$ by ! c\rt ,9 det]m9+ ! am\nt ( liability 9 any action "u clause 7i71 ! c\rt %all consid]1 among o!r relevant factors-- 7,i7 9 any individual action "u ?is subsection1 ! frequ5cy & p]si/5ce ( noncompliance by ! in/itution ( high] education1 ?ird p>ty s]vic] t contracts ) su* in/itution1 or ?ird p>ty contractor & ! nature ( su* noncompliance2 or 7,,ii7 9 any class action "u ?is subsection1 9 addition to ! factors li/$ 9 subclause 7,i71 ! f9ancial res\rces ( ! in/itution ( high] education1 ?ird p>ty s]vic] t contracts ) su* in/itution1 or ?ird p>ty contractor & ! numb] ( p]sons adv]sely affect$4 7#c7 ,jurisdiction ,an action to en=ce any liability creat$ by ?is subsection may be br\ght 9 any appropriate ,unit$ ,/ates di/rict c\rt )\t reg>d to ! am\nt 9 controv]sy1 or 9 any o!r c\rt ( compet5t jurisdiction4 7d7 ,prohibition on transcript )hold+ ,section #dhg7;a7 7#bj ,u4,s4,c4 #ajid7;a771 z am5d$ by subsection 7b71 is fur!r am5d$ by add+ at ! end ! foll[+3 7#ca7 ,! in/itution-- 7,a7 w n )hold (ficial transcripts relat$ to a balance ow$ by ! /ud5t to ! in/itution2 & 7,b7 w provide an (ficial transcript to a /ud5t ^u reque/ by ! /ud5t4 4 #aje4 ,inc5tive comp5sation 7a7 ,inc5tive comp5sation 7#a7 ,revocation ,example #b-;,b ( ,"q #b ( ! ,dep>tm5t ( ,education ,de> ,colleague ,lett] ,,g5-#aa-je 7,m>* #ag1 #bjaa7 is revok$4 7#b7 ,prohibition ,! ,dep>tm5t ( ,education may n issue a regulation or subregulatory guidance t w\ld e/abli% an exception to ! prohibition provid$ 9 section #dhg7;a77#bj7 ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajid7;a77#bj774 7b7 ,in/itutional compliance ) ! inc5tive comp5sation ban ,section #dhg7;a77#bj7 7#bj ,u4,s4,c4 #ajid7;a77#bj77 is am5d$-- 7#a7 by /rik+ ,! in/itution & ins]t+ 7,a7 ,! in/itution2 & 7#b7 by add+ at ! end ! foll[+3 7,b7 ,n lat] ?an #a ye> aft] ! date ( enactm5t ( ! ,prev5t+ ,risky ,op]ations f ,?reat5+ ! ,education & ,c>e] ,trajectories ( ,/ud5ts ,act ( #bjbe1 ! in/itution %all atte/ to ! ,secret>y t ! in/itution is 9 compliance ) subp>agraph 7,a7 not)/&+ ! guidance provid$ 9 ,dep>tm5t ( ,education ,example #b-;,b ( ,"q #b ( ,de> ,colleague ,lett] ,,g5-#aa-je 7,m>* #ag1 #bjaa71 9 su* =m z requir$ by ! ,secret>y4 ,if ! in/itution is n 9 compliance z ( ! date ( enactm5t ( ! ,prev5t+ ,risky ,op]ations f ,?reat5+ ! ,education & ,c>e] ,trajectories ( ,/ud5ts ,act ( #bjbe1 ! ,secret>y %all revoke ! in/itution's program p>ticipation agreem5t "u ?is section4 7,c7 ,foll[+ ! atte/ation requir$ "u subp>agraph 7,b71 ! in/itution %all annually provide v]ification f an indep5d5t auditor t ! in/itution is 9 compliance ) subp>agraph 7,a74 4 ,,ii ,ensur+ integrity at in/itutions ( high] education & in/itutional contractors #bja4 ,updat+ ,f$]al ov]sight ( ?ird-p>ty s]vic]s ,section #dha7;c77#a7 7#bj ,u4,s4,c4 #ajhh7;c77#a77 is am5d$ by ins]t+ 1 includ+ relat$ to ! deliv]y ( funds "u ?is title1 recruitm5t or ret5tion ( /ud5ts1 compliance ) cohort default rate 7z def9$ 9 section #dce7m77 requirem5ts1 ! developm5t & deliv]y ( in/ructional cont5t1 & o!r applicable activities z describ$ by ! ,secret>y aft] title4 #bjb4 ,job placem5t rates 7a7 ,def9ition ,section #dha 7#bj ,u4,s4,c4 #ajhh71 z am5d$ by section #ajb7;b71 is fur!r am5d$ by add+ at ! end ! foll[+3 7h7 ,job placem5t rates ,! ,secret>y %all e/abli% a s+le def9ition ( job placem5t rate = purposes ( ?is ,act t ensures consi/5t det]m9ations across in/itutions & accr$it+ ag5cies reg>d+ :5 /ud5ts are plac$ 9 a job1 to improve accuracy & m9imize ! opportunity = mislead+ or deceptive in=mation4 4 7b7 ,program p>ticipation agreem5t ,section #dhg7;a77#h7 7#bj ,u4,s4,c4 #ajid7;a77#h77 is am5d$ to read z foll[s3 7#h7 ,9 ! case ( an in/itution t adv]tises or discloses job placem5t rates to prospective /ud5ts or t is requir$ to provide regul> report+ ( job placem5t rates to an accr$it+ ag5cy1 ,/ate au?oriz]1 or o!r regulator1 ! in/itution w utilize ! def9ition provid$ "u section #dha7;h71 & %all make available to prospective /ud5ts1 at or be=e ! "t ( application-- 7,a7 ! mo/ rec5t available data conc]n+ employm5t /ati/ics1 graduation /ati/ics1 ! me?odology us$ by ! in/itution to calculate ! job placem5t rate1 & any o!r in=mation necess>y to sub/antiate ! tru?fulness ( ! adv]tisem5ts or disclosures1 & 7,b7 relevant ,/ate lic5s+ requirem5ts ( ! ,/ate 9 :i* su* in/itution is locat$ = any job = :i* ! c\rse ( in/ruction is design$ to prep>e su* prospective /ud5ts4 4 7c7 ,accr$it+ ag5cy recognition ,section #dif7;a77#e77;,a7 7#bj ,u4,s4,c4 #ajii;b7a77#e77;,a77 is am5d$ by ins]t+ 1 z def9$ pursuant to section #dha7;h7 be=e ! semicolon4 7d7 ,nonapplicability ( rulemak+ requirem5ts ,! am5dm5ts made "u ?is section %all n be subject to ! requirem5ts provid$ "u section #dib 7#bj ,u4,s4,c4 #ajih;a74 #bjc4 ,allocation ( tuition & fee rev5ue by title ,,iv in/itutions ,section #dih7;c7 7#bj ,u4,s4,c4 #ajii;c7c77 is am5d$ by ins]t+ at ! end ! foll[+3 7#g7 ,requirem5t to sp5d rev5ue 7,a7 ,9 g5]al 7i7 ,beg9n+ 9 academic ye> #bjbf-bjbg & 9 ea* academic ye> !reaft] ?r\gh #bjca-bjcb1 ea* in/itution ( high] education1 9 ord] to be eligible to p>ticipate 9 programs "u ?is title1 %all sp5d an am\nt equal to n less ?an #cj p]c5t ( _! tuition & fee rev5ue 7net ( all[ances & disc\nts7 on in/ruction4 7ii7 ,beg9n+ 9 academic ye> #bjbg-bjbh & 9 ea* academic ye> !reaft] ?r\gh #bjcj-bjca1 ! ,secret>y %all assess ! data describ$ 9 subp>agraph 7,b7 & issue a report t id5tifies ! foll[+3 7,i7 ,! total am\nt ( sp5d+ on in/ruction = ea* in/itution4 7,,ii7 ,! total am\nt ( sp5d+ on /ud5t s]vices = ea* in/itution1 exclud+ adv]tis+1 recruit+1 m>ket+1 comp5sation ( executives or (fic]s1 lobby+1 & o!r pre-enrollm5t exp5ses1 consi/5t ) section #acb7l74 7,,iii7 ,tuition & fee rev5ue 7net ( all[ances & disc\nts7 = ea* in/itution4 7,,iv7 ,! m$ian increase 9 total sp5d+ on /ud5t s]vices & in/ruction comb9$ relative to sp5d+ on in/ruction relative to tuition & fee rev5ue 7net ( all[ances & disc\nts74 7,v7 ,o!r relevant in=mation ! ,secret>y det]m9es appropriate to include4 7iii7 ,9 academic ye> #bjca-bjcb1 ! ,secret>y %all issue a regulation t e/abli%es a m9imum ?re%old p]c5tage = in/itutional sp5d+ on in/ruction & /ud5t s]vices comb9$ t %all be-- 7,i7 n less ?an #cj p]c5t2 & 7,,ii7 consi/5t ) ! m$ian increase 9 total sp5d+1 z id5tifi$ "u clause 7ii77,,iv7 av]ag$ across academic ye>s #bjbh-bjbi1 #bjbi-bjcj1 & #bjcj-bjca4 7iv7 ,beg9n+ 9 academic ye> #bjca-bjcb & 9 ea* academic ye> !reaft]1 ea* in/itution ( high] education1 9 ord] to be eligible to p>ticipate 9 programs "u ?is title1 %all sp5d an am\nt equal to n less ?an ! ?re%old p]c5tage e/abli%$ "u clause 7iii7 ( _! tuition & fee rev5ue 7net ( all[ances & disc\nts7 on in/ruction & /ud5t s]vices comb9$4 7,b7 ,report+ f in/itutions ,! ,secret>y %all use data f reports receiv$ & def9itions e/abli%$ "u section #acb7l7 to c>ry out ?is p>agraph4 7,c7 ,w>n+s ,! ,secret>y %all-- 7i7 e/abli% ?r\gh regulation appropriate ?re%olds = an in/itution ( high] education t meets ! sp5d+ requirem5ts "u clauses 7i7 & 7iv7 ( subp>agraph 7,a71 b :i* is at risk ( miss+ su* ?re%olds2 & 7ii7 require ea* in/itution ( high] education t is at risk ( miss+ su* ?re%olds to provide w>n+s to prospective /ud5ts & enroll$ /ud5ts ( ! in/itution reg>d+ ! l[ in/ructional sp5d+4 7,d7 ,regulations ,! ,secret>y %all issue su* regulations z det]m9$ necess>y by ! ,secret>y to ensure compliance ) ! requirem5ts ( ?is p>agraph1 tak+ into consid]ation co/ & conv5i5ce4 4 #bjd4 ,pa/ p]=mance ,section #dhg7;a77#af7 7#bj ,u4,s4,c4 #ajid7;a77#af77 is am5d$ by ins]t+ at ! end ! foll[+3 7,c7 ,! in/itution w n kn[+ly employ an individual :o 0 an own]1 director1 (fic]1 or employee :o ex]cis$ sub/antial control ov] an in/itution t owes a liability4 7,d7 ,! in/itution w n kn[+ly-- 7i7 employ an individual :o 0-- 7,i7 an own]1 director1 (fic]1 or employee ( an in/itution t has-- 7aa7 be5 f\nd to h engag$ 9 fraud1 misuse ( funds1 or any mat]ial violation ( law2 or 7bb7 _h its p>ticipation 9 programs "u ?is title t]m9at$1 its c]tification revok$1 or its application = c]tification or rec]tification = p>ticipation 9 su* programs d5i$2 or 7,,ii7 a #aj p]c5t-or-high] equity own]1 director1 (fic]1 pr9cipal1 or executive (1 or contractor affiliat$ )1 ano!r in/itution 9 any ye> 9 :i* ! o!r in/itution incurr$ a loss ( ,f$]al funds1 z det]m9$ by ! ,secret>y1 9 excess ( #e p]c5t ( ! o!r in/itution's annual funds "u ?is title2 or 7ii7 contract ) any in/itution1 ?ird-p>ty s]vic]1 individual1 ag5cy1 or organization t has1 or ^: own]s1 (fic]s1 or employees h-- 7,i7 be5 f\nd to h engag$ 9 fraud1 misuse ( funds1 or any mat]ial violation ( law2 7,,ii7 _h its p>ticipation 9 programs "u ?is title t]m9at$1 its c]tification revok$1 or its application = c]tification or rec]tification = p>ticipation 9 su* programs d5i$2 or 7,,iii7 be5 a #aj p]c5t-or-high] equity own]1 director1 (fic]1 pr9cipal1 executive (1 or contractor affiliat$ )1 ano!r in/itution 9 any ye> 9 :i* ! o!r in/itution incurr$ a loss ( ,f$]al funds1 z det]m9$ by ! ,secret>y1 9 excess ( #e p]c5t ( ! o!r in/itution's annual funds "u ?is title4 4 #bje4 ,rec\pm5t 7a7 ,cl>ify+ ! au?ority ,to rec\p liabilities f title ,,iv in/itutions ,section #dhg7;c77#a7 7#bj ,u4,s4,c4 #ajid7;c77#a77 is am5d$ by /rik+ subp>agraph 7,f7 & ins]t+ ! foll[+3 7,f7 ! limitation1 susp5sion1 or t]m9ation ( ! p>ticipation 9 any program "u ?is title ( an eligible in/itution1 ! rec\pm5t ( liabilities e/abli%$ pursuant to section #dic;,e1 or ! imposition ( a civil p5alty "u p>agraph 7#c77;,b7 :5ev] ! ,secret>y has det]m9$1 aft] reasonable notice & opportunity = he>+1 t su* in/itution has violat$ or fail$ to c>ry out any provision ( ?is title1 any regulation prescrib$ "u ?is title1 or any applicable special arrangem5t1 agreem5t1 or limitation1 except t no p]iod ( susp5sion "u ?is section %all exce$ #fj days unless ! in/itution & ! ,secret>y agree to an ext5sion or unless limitation or t]m9ation proce$+s are initiat$ by ! ,secret>y )9 t p]iod ( "t4 4 7b7 ,rec\pm5t ( liabilities ,"p ,g ( title ,,iv 7#bj ,u4,s4,c4 #ajhh et seq47 is am5d$ by add+ at ! end ! foll[+3 #dic;,e4 ,rec\pm5t 7a7 ,9 g5]al ,! ,secret>y %all assess liabilities & seek to rec\p funds provid$ "u ?is title f an in/itution ( high] education z a result ( /ud5t loan dis*>ges1 f9d+s f program reviews or compliance audits1 or due to o!r =ms ( misconduct or noncompliance4 7b7 ,waiv] au?ority ,! ,secret>y may waive "s or all ( ! liabilities describ$ 9 subsection 7a7 bas$ on ! individual circum/ances ( ! in/itution4 4 7c7 ,own] signatures ,section #dih7;b7 ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajii;c7b77 is am5d$-- 7#a7 9 p>agraph 7#d71 by /rik+ & aft] ! semicolon2 7#b7 9 p>agraph 7#e71 by /rik+ ! p]iod at ! end & ins]t+ 2 &2 & 7#c7 by add+ at ! end ! foll[+3 7#f7 requires bo? an au?oriz$ repres5tative ( ! in/itution &1 if applicable1 an au?oriz$ repres5tative ( any entity ) own]%ip & sub/antial control ov] ! in/itution to sign ! program p>ticipation agreem5t1 z describ$ "u section #dhg1 = ! in/itution1 :i* %all ensure t ! in/itution & its own]1 if applicable1 agree to repay any liabilities assess$ aga9/ ! in/itution by ! ,secret>y4 4 ,,iii ,improv+ ov]sight #cja4 ,en=cem5t 9 ! ,(fice ( ,f$]al ,/ud5t ,aid 7a7 ,en=cem5t unit e/abli%$ 9 ! ,(fice ( ,f$]al ,/ud5t ,aid ,section #ada 7#bj ,u4,s4,c4 #ajah7 is am5d$-- 7#a7 by r$esignat+ subsections 7g7 ?r\gh 7i7 z subsections 7h7 ?r\gh 7j71 respectively2 & 7#b7 by ins]t+ aft] subsection 7f7 ! foll[+3 7g7 ,en=cem5t unit 7#a7 ,9 g5]al ,! ,*ief ,op]at+ ,(fic]1 9 consultation ) ! ,secret>y1 %all e/abli% an en=cem5t unit )9 ! ,,pbo 7ref]r$ to 9 ?is section z ! en=cem5t unit74 7#b7 ,appo9tm5t 7,a7 ,*ief en=cem5t (fic] ,! ,*ief ,op]at+ ,(fic]1 9 consultation ) ! ,secret>y1 %all appo9t a ,*ief ,en=cem5t ,(fic] z a s5ior manag]1 9 accordance ) subsection 7e71 to p]=m ! functions describ$ 9 ?is subsection4 ,! ,*ief ,en=cem5t ,(fic] %all report solely & directly to ! ,*ief ,op]at+ ,(fic]4 7,b7 ,bonus ,not)/&+ subsection 7e71 ! ,*ief ,en=cem5t ,(fic] may receive a bonus1 sep>ately det]m9$ f ! me?odology :i* applies to ! calculation ( bonuses = o!r s5ior manag]s1 bas$ ^u ! ,*ief ,op]at+ ,(fic]'s evaluation ( ! ,*ief ,en=cem5t ,(fic]'s p]=mance 9 relation to ! goals set =? 9 a p]=mance agreem5t relat$ to ! specific duties ( ! en=cem5t unit4 7#c7 ,duties ,! en=cem5t unit %all-- 7,a7 receive1 process1 & analyze allegations & compla9ts reg>d+ ! pot5tial violation ( ,f$]al or ,/ate law 7includ+ civil & crim9al law7 or o!r unfair1 deceptive1 or abusive acts or practices1 by in/itutions ( high] education1 ?ird-p>ty s]vic]s t contract ) su* in/itutions1 & loan s]vic]s2 7,b7 inve/igate & coord9ate inve/igations ( pot5tial or actual misconduct ( in/itutions ( high] education1 ?ird-p>ty s]vic]s t contract ) su* in/itutions1 & loan s]vic]s1 includ+ engag+ 9 a regul> program ( secret %opp+ at onl9e & campus-bas$ in/itutions ( high] education2 7,c7 develop & implem5t a writt5 policy = ! en=cem5t ( ! ban on prohibit$ inc5tive comp5sation n less ?an annually1 :i* may include automatic trigg]s = inquiries by ! ,dep>tm5t or regul> secret %opp] or audit-bas$ inve/igations1 & %all update su* policy z ne$$2 & 7,d7 en=ce compliance ) laws gov]n+ ,f$]al /ud5t f9ancial assi/ance programs "u title ,,iv1 includ+ ?r\gh ! use ( an em]g5cy action 9 accordance to section #dhg7;c77#a77;,i71 ! limitation1 susp5sion1 or t]m9ation ( ! p>ticipation ( an eligible in/itution 9 a program "u title ,,iv1 or ! imposition ( a civil p5alty 9 accordance ) section #dhg7;c77#c77;,b74 7#d7 ,coord9ation & /aff+ ,! en=cem5t unit %all-- 7,a7 coord9ate ) relevant ,f$]al & ,/ate ag5cies & ov]sight bodies1 includ+ ! ,=-,pr(it ,education ,ov]sight ,coord9ation ,committee e/abli%$ "u section #abd2 & 7,b7 hire /aff1 7includ+ by appo9t+ n m ?an #aj individuals 9 positions ( except$ s]vice1 z describ$ 9 subsection 7h77#c77 ) su* exp]tise z is necess>y to conduct inve/igations1 respond to allegations & compla9ts1 & en=ce compliance ) laws gov]n+ ,f$]al /ud5t f9ancial assi/ance programs "u title ,,iv4 7#e7 ,divisions 7,a7 ,9 g5]al ,! en=cem5t unit %all h sep>ate divisions ) ! foll[+ focus areas3 7i7 ,an inve/igations division to inve/igate pot5tial or actual misconduct at in/itutions ( high] education1 ?ird-p>ty s]vic]s t contract ) su* in/itutions1 & loan s]vic]s4 7ii7 ,a division focus$ on evaluat+ ! claims ( borr[]s :o ass]t a def5se to repaym5t ( ,f$]al /ud5t loans1 or gr\ps ( borr[]s :o qualify to ass]t su* a def5se to repaym5t1 "u section #dee7;h74 7iii7 ,a division focus$ on ov]sight ( ! ,jeanne ,cl]y ,disclosure ( ,campus ,security ,policy & ,campus ,crime ,/ati/ics ,act1 ! report+ ( crime & fire /ati/ics by in/itutions ( high] education1 & ! ov]sight & en=cem5t ( section #abj 7relat+ to drug & alcohol abuse prev5tion74 7iv7 ,a division to adm9i/] ! ,secret>y's au?ority to f9e1 limit1 susp5d1 t]m9ate1 or take action aga9/ in/itutions ( high] education1 & ?ird-p>ty s]vic]s t contract ) su* in/itutions1 p>ticipat+ 9 ! ,f$]al /ud5t f9ancial assi/ance programs "u title ,,iv4 7v7 ,a division t adm9i/]s a program ( compliance monitor+ & ov]sight ( in/itutions ( high] education1 & ?ird-p>ty s]vic]s t contract ) su* in/itutions1 includ+ sy/ems & proc$ures to support ! eligibility1 c]tification1 & ov]sight ( program p>ticipants1 = all in/itutions ( high] education p>ticipat+ 9 ! ,f$]al /ud5t f9ancial assi/ance programs "u title ,,iv4 7vi7 ,any o!r division t ! ,*ief ,en=cem5t ,(fic]1 9 coord9ation ) ! ,*ief ,op]at+ ,(fic] & ! ,secret>y1 det]m9es is necess>y4 7,b7 ,report+ ,! /aff ( ea* division describ$ 9 subp>agraph 7,a7 %all report to ! ,*ief ,en=cem5t ,(fic]4 7#f7 ,actions recomm5d$ ,! ,*ief ,en=cem5t ,(fic] may recomm5d1 z appropriate to ! p>ticul> circum/ance1 t ! ,*ief ,op]at+ ,(fic]-- 7,a7 t]m9ate1 susp5d1 or limit an in/itution ( high] education or a ?ird-p>ty s]vic] t contracts ) su* in/itution f p>ticipation 9 #a or m programs "u title ,,iv 79 accordance ) section #dhg71 or provisionally c]tify su* p>ticipation 79 accordance ) section #dih7;h772 7,b7 impose a civil p5alty 9 accordance ) section #dhg7;c77#c77;,b72 7,c7 = a /ud5t loan s]vic]1 obta9 all relief1 includ+ any p5alties & susp5sion or t]m9ation ( ! agreem5t1 provid$ 9 ! loan s]vic] agreem5t to ! contract ( ! s]vic]2 or 7,d7 make a recomm5dation to ! ,secret>y ab\t :e!r to approve or d5y ! claims ( borr[]s1 includ+ gr\ps ( borr[]s1 :o ass]t a def5se to repaym5t 9 accordance ) section #dee7;h74 4 7b7 ,ext5d subpo5a p[] ,to assi/ ) inve/igations ,section #dij;,a7a7 7#bj ,u4,s4,c4 #ajig;a7a77 is am5d$ to read z foll[s3 7a7 ,au?ority ,to assi/ ! ,secret>y 9 ! conduct ( inve/igations ( possible violations ( ! provisions ( ?is title1 ! ,secret>y is au?oriz$ to-- 7#a7 require by subpo5a ! production ( in=mation1 docum5ts1 reports1 answ]s1 records1 acc\nts1 pap]s1 & o!r docum5t>y evid5ce p]ta9+ to p>ticipation 9 any program "u ?is title1 ! production ( :i* may be requir$ f any place 9 a ,/ate2 & 7#b7 require by subpo5a oral te/imony by any p]son1 includ+ any legal entity1 conc]n+ in=mation p]ta9+ to p>ticipation 9 any title ,,iv program1 ! appe>ance = :i* may be requir$ at any place 9 a ,/ate4 4 7c7 ,program reviews ,section #dih;,a ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajii;c-#a7 is am5d$-- 7#a7 9 subsection 7a7-- 7,a7 9 ! matt] prec$+ p>agraph 7#a71 by /rik+ & f9ancial responsibility & ins]t+ 1 f9ancial responsibility1 & o!r eligibility-relat$2 & 7,b7 9 p>agraph 7#b7-- 7i7 by r$esignat+ subp>agraphs 7,a7 ?r\gh 7,f7 z subp>agraphs 7,b7 ?r\gh 7,g71 respectively2 7ii7 by ins]t+ be=e subp>agraph 7,b71 z s r$esignat$1 ! foll[+3 7,a7 id5tifi$ z high-risk in/itutions bas$ on a risk-review process develop$ by ! ,dep>tm5t t %all include risk factors1 includ+-- 7i7 significant *anges 9 enrollm5t2 7ii7 high volumes ( /ud5t compla9ts or borr[] def5se claims2 7iii7 indicators ( issues relat$ to f9ancial capability2 7iv7 l[ completion rates2 7v7 indications ( mislead+ or deceptive practices1 aggressive recruit+1 or sub/antial misrepres5tation2 7vi7 significant completion gaps betwe5 /ud5ts ( diff]5t demographic gr\ps2 or 7vii7 o!r indicators ( risk to /ud5ts or taxpay]s2 2 & 7iii7 9 subp>agraph 7,g71 z s r$esignat$1 by /rik+ or f9ancial responsibility & ins]t+ 1 f9ancial responsibility1 or o!r eligibility-relat$2 7#b7 9 subsection 7d71 by /rik+ crim9al inve/igative tra9+ & ins]t+ crim9al & civil inve/igative tra9+ 7includ+ tra9+ 9 id5tify+ misrepres5tations 9 m>ket+ & recruitm5t mat]ials72 7#c7 by r$esignat+ subsection 7e7 z subsection 7f72 & 7#d7 by ins]t+ aft] subsection 7d7 ! foll[+3 7e7 ,program reviews ,program reviews %all1 at m9imum1 include a review ( all-- 7#a7 recruit+ & m>ket+ mat]ials1 includ+ scripts & tra9+ mat]ials provid$ to in/itution & ?ird-p>ty s]vic] /aff involv$ 9 recruit+1 admissions1 or f9ancial aid2 7#b7 consum] compla9ts held by ! in/itution & consum] ag5cies1 borr[] def5se claims1 ! in/itution's response to su* compla9ts or claims1 & any relat$ inve/igative mat]ials2 7#c7 actions aga9/ ! in/itution by ,/ate or ,f$]al regulators or en=cem5t ag5cies1 includ+ ,/ate au?oriz+ ag5cies & ,/ate attorneys g5]al1 or ?r\gh qui tam actions2 & 7#d7 actions aga9/ ! in/itution by accr$itors4 4 7d7 ,enhanc$ civil p5alties ,section #dhg7;c77#c77;,b7 ( ! ,high] ,education ,act 7#bj ,u4,s4,c4 #ajid7;c77#c77;,b77 is am5d$-- 7#a7 9 clause 7i7-- 7,a7 by ins]t+ or its ?ird-p>ty s]vic] aft] eligible in/itution2 & 7,b7 by /rik+ #be1jjj = ea* violation or misrepres5tation & ins]t+ #ajj1jjj = ea* violation or misrepres5tation1 or-- 7,i7 9 ! case ( an in/itution1 #a4j p]c5t ( ! am\nt ( funds ! in/itution receiv$ ?r\gh ?is title 9 ! mo/ rec5t aw>d ye> prior to ! det]m9ation = ea* su* violation2 & 7,,ii7 9 ! case ( a ?ird-p>ty s]vic] t contracts ) su* in/itution1 ! am\nt ( ! contract ) ! in/itution4 2 7#b7 by r$esignat+ clause 7ii7 z clause 7iii72 7#c7 by ins]t+ aft] clause 7i7 ! foll[+3 7ii7 ,! ,secret>y may consid] ea* "t a sub/antial misrepres5tation is view$ or exp]i5c$1 includ+ /atic or /&+ misrepres5tations1 z a sep>ate violation or misrepres5tation4 2 & 7#d7 by add+ at ! end ! foll[+3 7iv7 ,= ! purpose ( det]m9+ ! am\nt ( civil p5alties "u ?is subsection1 any violation by a p>ticul> in/itution w accrue aga9/ all in/itutions or affiliates ) common own]%ip4 4 #cjb4 ,=-,pr(it ,education ,ov]sight ,coord9ation ,committee ,"p ,b ( title ,i 7#bj ,u4,s4,c4 #ajaa et seq47 is am5d$ by add+ at ! end ! foll[+3 #abd4 ,=-,pr(it ,education ,ov]sight ,coord9ation ,committee 7a7 ,e/abli%m5t ( committee 7#a7 ,9 g5]al ,!re is e/abli%$ 9 ! executive bran* a committee to be kn[n z ! ,=-,pr(it ,education ,ov]sight ,coord9ation ,committee 7ref]r$ to 9 ?is section z ! ,committee7 & to be compos$ ( ! head 7or ! designee ( su* head7 ( ea* ( ! foll[+ ,f$]al entities3 7,a7 ,! ,dep>tm5t ( ,education4 7,b7 ,! ,bureau ( ,consum] ,f9ancial ,protection4 7,c7 ,! ,dep>tm5t ( ,ju/ice4 7,d7 ,! ,securities & ,ex*ange ,commission4 7,e7 ,! ,dep>tm5t ( ,def5se4 7,f7 ,! ,dep>tm5t ( ,vet]ans ,affairs4 7,g7 ,! ,f$]al ,trade ,commission4 7,h7 ,! ,dep>tm5t ( ,labor4 7,i7 ,! ,int]nal ,rev5ue ,s]vice4 7,j7 ,! en=cem5t unit ( ! ,p]=mance-,bas$ ,organization e/abli%$ "u section #ada7;g74 7,k7 ,at ! discretion ( ! ,*airp]son ( ! ,committee1 any o!r relevant ,f$]al ag5cy or dep>tm5t4 7#b7 ,purposes ,! ,committee %all h ! foll[+ purposes3 7,a7 ,coord9ate ,f$]al ov]sight ( =-pr(it in/itutions ( high] education to-- 7i7 improve en=cem5t ( applicable ,f$]al laws2 7ii7 increase acc\ntability ( =-pr(it in/itutions ( high] education to /ud5ts & taxpay]s2 & 7iii7 ensure ! promotion ( quality education programs4 7,b7 ,coord9ate ,f$]al activities to protect /ud5ts f unfair1 deceptive1 abusive1 une?ical1 fraudul5t1 or pr$atory practices1 policies1 or proc$ures ( =-pr(it in/itutions ( high] education4 7,c7 ,enc\rage in=mation %>+ among ag5cies relat$ to ,f$]al inve/igations1 audits1 program reviews1 inquiries1 compla9ts1 f9ancial /atem5ts1 & o!r in=mation relevant to ! ov]sight ( =-pr(it in/itutions ( high] education4 7,d7 ,develop b9d+ memor&a ( und]/&+ t ! ,f$]al entities repres5t$ on ! ,committee w use reg>d+ ! %>+ ( in=mation to ex]cise ! ov]sight describ$ 9 ?is section4 7,e7 ,increase coord9ation & coop]ation betwe5 ,f$]al & ,/ate ag5cies 7includ+ ,/ate au?oriz+ ag5cies1 ,/ate attorneys g5]al1 & ,/ate approv+ ag5cies designat$ "u section #cfga ( title #ch1 ,unit$ ,/ates ,code7 ) respect to improv+ ov]sight & acc\ntability ( =-pr(it in/itutions ( high] education4 7,f7 ,develop be/ practices & consi/5cy among ,f$]al & ,/ate ag5cies 9 ! dissem9ation ( consum] in=mation reg>d+ =-pr(it in/itutions ( high] education to ensure t /ud5ts1 p>5ts1 & o!r /akehold]s h easy access to su* in=mation4 7#c7 ,*airp]son ,! ,secret>y ( ,education or ! designee ( ! ,secret>y %all s]ve z ! ,*airp]son ( ! ,committee4 7b7 ,meet+s 7#a7 ,committee meet+s ,! memb]s ( ! ,committee %all meet regul>ly1 b n less ?an once dur+ ea* qu>t] ( ea* fiscal ye>1 to c>ry out ! purposes describ$ 9 subsection 7a77#b74 7#b7 ,meet+s ) /ate ag5cies & /akehold]s ,! ,committee %all meet n less ?an once ea* fiscal ye>1 & %all o!rwise int]act regul>ly1 ) ,/ate au?oriz+ ag5cies1 ,/ate attorneys g5]al1 ,/ate approv+ ag5cies designat$ "u section #cfga ( title #ch1 ,unit$ ,/ates ,code1 vet]ans s]vice organizations1 & consum] advocates to c>ry out ! purposes describ$ 9 subsection 7a77#b74 7c7 ,director ,! ,*airp]son %all appo9t a full-"t executive director to support ! ,committee & may appo9t & fix ! pay ( additional /aff z ! ,*airp]son consid]s appropriate4 4 #cjc4 ,e/abli%m5t & ma9t5ance ( compla9t resolution & track+ sy/em 7a7 ,compla9t track+ sy/em ,title ,i 7#bj ,u4,s4,c4 #ajja et seq47 is am5d$ by add+ at ! end ! foll[+3 ,f ,compla9t track+ sy/em #afa4 ,compla9t track+ sy/em 7a7 ,def9itions ,9 ?is section3 7#a7 ,compla9ant ,! t]m compla9ant means an individual mak+ a compla9t1 or report ( suspici\s activity1 ?r\gh ! compla9t track+ sy/em4 7#b7 ,compla9t track+ sy/em ,! t]m compla9t track+ sy/em means ! track+ sy/em e/abli%$ "u subsection 7b74 7#c7 ,?ird-p>ty s]vic] ,! t]m ?ird-p>ty s]vic] has ! mean+ giv5 ! t]m 9 section #dha7;c74 7b7 ,9 g5]al ,! ,secret>y %all-- 7#a7 e/abli% & op]ate1 9 coord9ation ) ! ,/ud5t ,loan ,ombudsman1 a compla9t track+ sy/em t includes a s+le1 toll-free telephone numb] & a website to facilitate ! c5traliz$ collection (1 monitor+ (1 & response to compla9ts or reports ( suspici\s activity reg>d+-- 7,a7 ,f$]al /ud5t f9ancial aid & ! s]vic+ ( po/second>y education loans by loan s]vic]s2 7,b7 educational practices & s]vices ( in/itutions ( high] education or ?ird-p>ty s]vic]s2 & 7,c7 ! recruit+ & m>ket+ practices ( in/itutions ( high] education or ?ird-p>ty s]vic]s2 & 7#b7 ensure t-- 7,a7 compla9ts or reports submitt$ by /ud5ts1 borr[]s ( /ud5t loans1 /aff ( loan s]vic]s1 in/itutions ( high] education1 or ?ird-p>ty s]vic]s1 or ! g5]al public-- 7i7 may rema9 anonym\s if ! compla9ant s *ooses1 includ+ by provid+ compla9ants ) an option = ! individual compla9t to n be report$ to ! loan s]vic]1 in/itution1 or ?ird-p>ty s]vic]1 z ! case may be2 & 7ii7 may describe problems t are sy/ematic 9 nature & n associat$ ) a p>ticul> /ud5t or in/itution2 7,b7 compla9ts & reports are provid$ to ! loan s]vic]s1 in/itutions ( high] education1 or ?ird-p>ty s]vic]s t are ! subject ( su* compla9ts or reports2 7,c7 su* loan s]vic]1 in/itution ( high] education1 or ?ird-p>ty s]vic] provides a timely response to ! compla9ant2 & 7,d7 ! compla9t track+ sy/em has ! capacity to retrieve1 se>*1 & categorize compla9ts or reports = purposes ( id5tify+ problematic tr5ds & sy/emic practices4 7c7 ,h&l+ ( compla9ts or reports 7#a7 ,9 g5]al ,! ,secret>y %all e/abli%1 9 consultation ) ! heads ( appropriate ag5cies 7includ+ ! ,director ( ! ,bureau ( ,consum] ,f9ancial ,protection71 reasonable proc$ures to provide a timely response to individuals :o file a compla9t or report ( suspici\s activity 9 ! compla9t track+ sy/em4 7#b7 ,timely response to compla9ts ,! ,secret>y %all provide a response to a compla9ant n m ?an #ij days aft] receiv+ ! compla9t1 or report ( suspici\s activity1 ?r\gh ! sy/em1 9 writ+ :]e appropriate4 ,ea* response %all include a description (-- 7,a7 ! /eps t h be5 tak5 by ! ,secret>y 9 response to ! compla9t or report2 7,b7 any responses receiv$ by ! ,secret>y f ! loan s]vic]1 in/itution ( high] education1 or ?ird-p>ty s]vic]2 & 7,c7 any additional actions t ! ,secret>y has tak51 or plans to take1 9 response to ! compla9t or report4 7#c7 ,timely response to ,secret>y by in/itution ( high] education or s]vic] 7,a7 ,notice ,if ! ,secret>y det]m9es t x is necess>y1 ! ,secret>y %all-- 7i7 notify a loan s]vic]1 in/itution ( high] education1 or ?ird-p>ty s]vic] t is ! subject ( a compla9t1 or report ( suspici\s activity1 ?r\gh ! compla9t track+ sy/em reg>d+ ! compla9t or report2 & 7ii7 directly address & resolve ! compla9t or report 9 ! sy/em4 7,b7 ,in/itution or s]vic] response ,n lat] ?an #fj days aft] receiv+ a notice "u subp>agraph 7,a71 a loan s]vic]1 in/itution ( high] education1 or ?ird-p>ty s]vic] %all provide a response to ! ,secret>y conc]n+ ! compla9t or report1 includ+-- 7i7 ! /eps t h be5 tak5 by ! loan s]vic]1 in/itution1 or ?ird-p>ty s]vic] to respond to ! compla9t or report2 7ii7 all responses receiv$ by ! loan s]vic]1 in/itution1 or ?ird-p>ty s]vic] f ! compla9ant2 & 7iii7 any additional actions t ! loan s]vic]1 in/itution1 or ?ird-p>ty s]vic] has tak51 or plans to take1 9 response to ! compla9t or report4 7,c7 ,fur!r inve/igation ,9 ! ev5t t a compla9t or report receiv$ by ! compla9t track+ sy/em is n adequately resolv$ or address$ by ! responses ( ! loan s]vic]1 in/itution ( high] education1 or ?ird-p>ty s]vic] "u subp>agraph 7,b71 ! ,secret>y may-- 7i7 ask additional que/ions ( su* loan s]vic]1 in/itution1 or ?ird-p>ty s]vic]2 or 7ii7 seek additional in=mation f or action by ! loan s]vic]1 in/itution1 or ?ird-p>ty s]vic]4 7#d7 ,provision ( in=mation 7,a7 ,9 g5]al ,a loan s]vic]1 in/itution ( high] education1 or ?ird-p>ty s]vic] %all1 9 a timely mann]1 comply ) a reque/ by ! ,secret>y = in=mation 9 ! control or possession ( su* loan s]vic]1 in/itution1 or ?ird-p>ty s]vic]1 respectively1 conc]n+ a compla9t or report ( suspici\s activity receiv$ by ! ,secret>y "u ! compla9t track+ sy/em1 includ+ support+ writt5 docum5tation1 subject to subp>agraph 7,b74 7,b7 ,exceptions ,a loan s]vic]1 in/itution ( high] education1 or ?ird-p>ty s]vic] %all n be requir$ to make available "u ?is p>agraph-- 7i7 any nonpublic or confid5tial in=mation1 includ+ any confid5tial comm]cial in=mation2 7ii7 any in=mation collect$ by ! loan s]vic]1 in/itution1 or ?ird-p>ty s]vic] = ! purpose ( prev5t+ fraud or detect+ or mak+ any report reg>d+ o!r unlawful or pot5tially unlawful conduct2 or 7iii7 any in=mation requir$ to be kept confid5tial by any o!r provision ( law4 7#e7 ,compliance ,a loan s]vic]1 in/itution ( high] education1 or ?ird p>ty s]vic] %all comply ) ! requirem5ts to provide responses & in=mation1 9 accordance ) ?is subsection1 z a condition ( receiv+ funds "u title ,,iv or z a condition ( ! contract ) ! ,dep>tm5t1 z applicable4 7d7 ,transp>5cy 7#a7 ,data publication ,! ,secret>y %all1 on an annual basis1 publi% data on ! website ( ! ,dep>tm5t t %all include1 = ea* loan s]vic]1 in/itution1 & ?ird-p>ty s]vic]-- 7,a7 ! numb] ( compla9ts & reports receiv$2 7,b7 ! types ( compla9ts & reports receiv$2 7,c7 in=mation ab\t ! resolution ( ! compla9ts & reports2 & 7,d7 if ! compla9ant cons5ts1 ! n>rative cont5t ( ! compla9t or report4 7#b7 ,report ,ea* ye>1 ! ,secret>y %all prep>e & submit to ! au?oriz+ committees a report describ+-- 7,a7 ! types & nature ( compla9ts or reports ! ,secret>y has receiv$ "u ! compla9t track+ sy/em2 7,b7 ! ext5t to :i* compla9ants are receiv+ adequate resolution pursuant to ?is section2 7,c7 :e!r p>ticul> types ( compla9ts or reports are m common 9 a giv5 sector ( in/itutions ( high] education or ) p>ticul> loan s]vic]s or ?ird-p>ty s]vic]s2 7,d7 any conc]n+ tr5ds or sy/emic practices id5tifi$2 7,e7 any legislative recomm5dations t ! ,secret>y det]m9es are necess>y to bett] assi/ /ud5ts & families reg>d+ ! activities describ$ 9 subsection 7c77#a72 & 7,f7 ! loan s]vic]s1 in/itutions ( high] education1 & ?ird-p>ty s]vic]s ) ! highe/ volume ( compla9ts & reports1 z det]m9$ by ! ,secret>y4 4 7b7 ,program p>ticipation agreem5t requirem5t ,section #dhg7;a7 7#bj ,u4,s4,c4 #ajid7;a77 is am5d$ by add+ at ! end ! foll[+3 7#cb7 ,! in/itution w comply ) any requirem5t "u section #afa1 or any o!r requirem5t by ! ,dep>tm5t1 to provide in=mation or responses ) respect to a compla9t or report ( suspici\s activity ab\t ! in/itution4 4 #cjd4 ,re=ms to eligibility & c]tification proc$ures 7a7 ,eligibility & c]tification proc$ures ,section #dih 7#bj ,u4,s4,c4 #ajii;c7 is am5d$-- 7#a7 9 subsection 7a7-- 7,a7 by /rik+ ,= purposes & ins]t+ ! foll[+3 7#a7 ,9 g5]al ,= purposes 2 7,b7 by /rik+ /atus1 & & ins]t+ /atus12 7,c7 by ins]t+ 1 & ! in/itution's compliance ) all o!r eligibility requirem5ts 9 accordance ) p>agraph 7#b71 aft] an in/itution ( high] education2 & 7,d7 by add+ at ! end ! foll[+3 7#b7 ,compliance 7,a7 ,9 g5]al ,9 mak+ a det]m9ation ( in/itutional eligibility "u ?is section1 ! ,secret>y %all-- 7i7 require t an in/itution demon/rate compliance ) ea* provision requir$ "u ?is title 9 ord] to receive a full1 non-provisional c]tification ( eligibility = purposes ( ?is section2 7ii7 reflect t an in/itution is n entitl$ to cont9u$ p>ticipation 9 programs "u ?is title abs5t a demon/ration ( full compliance2 & 7iii7 det]m9e t an in/itution is n eligible = p>ticipation 9 programs "u ?is title if x is n 9 full compliance ) section #dhg7;a77#af74 2 & 7#b7 9 subsection 7f7-- 7,a7 by /rik+ ,! ,secret>y %all ensure & ins]t+ ! foll[+3 7#a7 ,9 g5]al ,! ,secret>y %all ensure 2 & 7,b7 by /rik+ ,! p]sonnel & ins]t+ ! foll[+3 ,! ,secret>y %all n automatically c]tify or rec]tify an in/itution = p>ticipation 9 a program "u ?is title z a result ( delay 9 conduct+ a full review ( ! in/itution's application4 7#b7 ,site visits ,! p]sonnel 4 7b7 ,provisional c]tification ( high-,risk in/itutions ,section #dih 7#bj ,u4,s4,c4 #ajii;c7 is am5d$-- 7#a7 9 subsection 7h7-- 7,a7 9 p>agraph 7#a77;,b7-- 7i7 9 clause 7ii71 by /rik+ or aft] ! semicolon2 7ii7 9 clause 7iii71 by /rik+ ! p]iod at ! end & ins]t+ a semicolon2 & 7iii7 by add+ at ! end ! foll[+3 7iv7 ! in/itution has violat$ any requirem5t ( ?is title2 7v7 ! in/itution has violat$ ! t]ms ( its program p>ticipation agreem5t "u section #dhg2 or 7vi7 ! ,secret>y det]m9es t ! in/itution's cont9u$ p>ticipation 9 programs "u ?is title poses a significant risk to /ud5ts & taxpay]s4 2 7,b7 by r$esignat+ p>agraphs 7#b7 & 7#c7 z p>agraphs 7#c7 & 7#d71 respectively2 & 7,c7 by ins]t+ aft] p>agraph 7#a7 ! foll[+3 7#b7 ,additional conditions ,! ,secret>y %all require a provisionally c]tifi$ in/itution to comply ) su* additional conditions z ! ,secret>y det]m9es necess>y or appropriate bas$ on ! circum/ances ( ! in/itution1 z specifi$ 9 ! in/itution's program p>ticipation agreem5t "u section #dhg4 2 7#b7 by r$esignat+ subsections 7i71 7j71 & 7k7 z subsections 7j71 7k71 & 7l71 respectively2 & 7#c7 by ins]t+ aft] subsection 7h7 ! foll[+3 7i7 ,t]m9ation action ,if an in/itution t is provisionally c]tifi$ "u subsection 7h7 is unable to meet its responsibilities "u its program p>ticipation agreem5t or is 9 violation ( any requirem5t e/abli%$ "u ?is title 7includ+ if ! in/itution has engag$ 9 sub/antial misrepres5tations71 or if a f9al adm9i/rative f9d+ or judicial judgm5t det]m9es t ! in/itution violat$ a ,/ate or ,f$]al consum] protection law or regulation1 ! ,secret>y may t]m9ate ! in/itution's p>ticipation 9 ! programs "u ?is title4 4 7c7 ,program p>ticipation agreem5t claims 7#a7 ,false claims ,section #dhg7;c7 7#bj ,u4,s4,c4 #ajid7;c77 is am5d$ by add+ at ! end ! foll[+3 7#h7 ,false claims 7,a7 ,9 g5]al ,an in/itution t submits a misrepres5tation or false claim on an application = funds "u ?is title1 or kn[+ly 7z def9$ 9 section #cgbi ( title #ca1 ,unit$ ,/ates ,code7 fails to comply ) ! requirem5ts ( ! program p>ticipation agreem5t "u ?is section1 %all be subject to sections #cgbi ?r\gh #cgcc ( su* title4 7,b7 ,am\nt ( damages ,= purposes ( section #cgbi7;a7 ( title #ca1 ,unit$ ,/ates ,code1 ! am\nt ( damages t ! ,gov]nm5t su/a9s because ( ! act ( ! in/itution describ$ 9 subp>agraph 7,a7 %all be ! total am\nt ( funds di/ribut$ to ! in/itution = loans made to /ud5ts "u "p ,d dur+ ! p]iod beg9n+ on ! date ( ! submission ( ! application or ! failure to comply 7z ! case may be7 & end+ on ! date on :i* a f9al decision f9d+ a violation ( section #cgbi ( su* ,code is made4 4 7#b7 ,c]tification ( compliance ,p>agraph 7#ba7 ( section #dhg7;a7 7#bj ,u4,s4,c4 #ajid7;a77#ba77 is am5d$ to read z foll[s3 7#ba7 ,! in/itution-- 7,a7 ackn[l$ges t ! agreem5t c]tifies ! in/itution's compliance ) all t]ms ( ! program p>ticipation agreem5t & all applicable ,f$]al laws & regulations t gov]n an in/itution's eligibility to receive funds "u ?is title2 7,b7 agrees t any violation ( ! t]ms ( a program p>ticipation agreem5t or any o!r ,f$]al law or regulation describ$ 9 subp>agraph 7,a7 con/itutes mat]ial noncompliance ) a condition ( paym5t2 & 7,c7 w meet ! requirem5ts e/abli%$ by ! ,secret>y & accr$it+ ag5cies or associations1 & w provide evid5ce to ! ,secret>y t ! in/itution has ! au?ority to op]ate )9 a ,/ate4 4 #cje4 ,/ate ov]sight 7a7 ,9 g5]al ,section #aja 7#bj ,u4,s4,c4 #ajja7 is am5d$-- 7#a7 9 subsection 7a7-- 7,a7 by r$esignat+ p>agraphs 7#c71 7#d71 & 7#e7 z p>agraphs 7#d71 7#e71 & 7#f71 respectively2 & 7,b7 by ins]t+ aft] p>agraph 7#b7 ! foll[+3 7#c7 if provid+ education ?r\gh di/ance education or correspond5ce 9 a ,/ate 9 :i* ! in/itution is n locat$-- 7,a7 meets ! requirem5ts ( su* ,/ate = (f]+ po/second>y education2 or 7,b7 if ! in/itution is au?oriz$ by a ,/ate pursuant to an int]/ate reciprocity agreem5t-- 7i7 ! in/itution mu/ h few] ?an #bjj /ud5ts 9 su* ,/ate enroll$ annually2 7ii7 ! agreem5t mu/ all[ ,/ates to en=ce all non-regi/ration & non-fee laws ) respect to out-(-,/ate in/itutions2 & 7iii7 decisions reg>d+ eligibility to p>ticipate 9 ! reciprocity agreem5t & ! /&>ds t apply to p>ticipat+ in/itutions %all be made exclusively by repres5tatives ( memb] ,/ate regulatory ag5cies or ,/ate attorneys g5]al (fices2 2 & 7#b7 9 subsection 7b77#a71 by /rik+ p>agraphs 7#a71 7#b71 7#d71 & 7#e7 ( subsection 7a7 & ins]t+ p>agraphs 7#a71 7#b71 7#c71 7#e71 & 7#f7 ( subsection 7a74 7b7 ,con=m+ am5dm5ts ,section #ajb 7#bj ,u4,s4,c4 #ajjb7 is am5d$-- 7#a7 9 subsection 7a77#b77;,a71 by /rik+ section #aja7;a77#d7 ea* place ! t]m appe>s & ins]t+ section #aja7;a77#e72 7#b7 9 subsection 7b77#a7-- 7,a7 9 subp>agraph 7,b71 by /rik+ p>agraphs 7#a7 & 7#b7 ( section #aja7;a7 & ins]t+ p>agraphs 7#a71 7#b71 & 7#c7 ( section #aja7;a72 & 7,b7 9 subp>agraph 7,c71 by /rik+ p>agraph 7#d7 ( section #aja7;a7 & ins]t+ p>agraph 7#e7 ( section #aja7;a72 & 7#c7 9 subsection 7c77#a77;,b71 by /rik+ requirem5ts ( p>agraphs 7#a71 7#b71 7#d71 & 7#e7 ( section #aja7;a7 & ins]t+ requirem5ts ( p>agraphs 7#a71 7#b71 7#c71 7#e71 & 7#f7 ( section #aja7;a74 #cjf4 ,accr$it+ ag5cy ov]sight ,section #dif7;c7 77#bj ,u4,s4,c4 #ajii;b7c77 is am5d$-- 7#a7 9 p>agraph 7#h71 by /rik+ & aft] ! semicolon2 7#b7 9 p>agraph 7#i77;,b71 by /rik+ ! p]iod at ! end & ins]t+ 2 &2 & 7#c7 by add+ at ! end ! foll[+3 7#aj7 7,a7 assesses ! risk to /ud5ts ( any in/itution or program1 includ+ assess+ ! risk to /ud5ts & in/itutions ( any program manag$ by a ?ird-p>ty s]vic]1 9 accordance ) factors provid$ by ! ,secret>y2 7,b7 effectively det]m9es :e!r ea* su* in/itution or program w>rants additional ov]sight or action2 & 7,c7 provides adequate monitor+ ( ! quality & risk ( su* in/itutions or programs4 4 #cjg4 ,m&atory sp5d+ = adm9i/rative co/s ( op]at+ ! /ud5t aid programs ,p>agraph 7#c7 ( section #deh7;a7 7#bj ,u4,s4,c4 #ajhg;h7a77#c77 is am5d$ to read z foll[s3 7#c7 ,funds = adm9i/rative co/s 7,a7 ,9 g5]al ,ea* fiscal ye>1 !re %all be available to ! ,secret>y f funds n o!rwise appropriat$1 funds to be obligat$ = adm9i/rative co/s "u ?is "p1 includ+ ! co/s ( ! /ud5t loan program "u ?is "p1 except t ! total exp5ditures by ! ,secret>y "u ?is subp>agraph %all n exce$ #e p]c5t ( ! am\nt ( ! av]age out/&+ ,f$]al /ud5t loan portfolio "u ?is "p = ! prec$+ fiscal ye>4 7,b7 ,availability ,funds made available "u subp>agraph 7,a7 %all rema9 available until exp5d$4 ,! ,secret>y is au?oriz$ to use funds available "u ?is p>agraph = a fiscal ye> = a subsequ5t fiscal ye>4 7,c7 ,budget ,no funds may be exp5d$ "u ?is p>agraph unless ! ,secret>y includes 9 ! annual budget reque/ ( ! ,dep>tm5t to ,congress a detail$ description (-- 7i7 ! specific activities = :i* ! funds made available by ?is p>agraph h be5 us$ 9 ! mo/ rec5t fiscal ye>2 7ii7 ! activities & co/s plann$ = ! fiscal ye> = :i* ! reque/ is made2 & 7iii7 ! projection ( activities & co/s = ! fiscal ye> imm$iately foll[+ ! fiscal ye> = :i* adm9i/rative exp5ses "u ?is p>agraph are made available4 4 ,,iv ,improv+ access to /ud5t & taxpay] in=mation #dja4 ,report+ & disclosures f in/itutions ( high] education 7a7 ,ga9ful employm5t & f9ancial value transp>5cy disclosures & w>n+s ,section #dih;,c1 z add$ by section #aja7;b71 is am5d$-- 7#a7 by r$esignat+ subsection 7e7 z subsection 7f72 & 7#b7 by ins]t+ aft] subsection 7d7 ! foll[+3 7e7 ,disclosures & w>n+s 7#a7 ,9 g5]al ,= ea* ga9ful employm5t program or graduate or pr(essional degree program ( an in/itution t does n meet ! /&>ds describ$ 9 subsection 7b71 ! in/itution %all-- 7,a7 provide w>n+s to prospective /ud5ts & enroll$ /ud5ts ( ! in/itution reg>d+ ! fail+ program /atus 9 a mann] specifi$ by ! ,secret>y2 & 7,b7 %all require prospective /ud5ts to ackn[l$ge receipt ( ! w>n+4 7f7 ,disclosure ,an in/itution ( high] education %all provide ! l9k to ! website describ$ 9 subsection 7c77#b77;,a77ii7 to prospective & enroll$ /ud5ts 9 a mann] specifi$ by ! ,secret>y4 4 7b7 ,in/ructional sp5d+ data & disclosures ,section #acb 7#bj ,u4,s4,c4 #ajae;a7 is am5d$-- 7#a7 by r$esignat+ subsection 7l7 z subsection 7n72 & 7#b7 by ins]t+ aft] subsection 7k7 ! foll[+3 7l7 ,inve/m5ts 9 in/ruction & /ud5t s]vices 7#a7 ,in/itutional exp5ditures 7,a7 ,9 g5]al ,! ,secret>y %all e/abli% def9itions = calculat+ in/ructional exp5ditures t %all sep>ately acc\nt = ! exp5ditures ( an in/itution ( high] education on ea* ( ! foll[+3 7i7 ,in/ruction4 7ii7 ,/ud5t s]vices4 7iii7 ,m>ket+4 7iv7 ,recruitm5t4 7v7 ,adv]tis+4 7vi7 ,lobby+4 7,b7 ,exclusions ,exp5ditures on in/ruction & /ud5t s]vices1 z def9$ 9 accordance ) clauses 7i7 & 7ii7 ( subp>agraph 7,a71 %all n include exp5ditures on m>ket+1 recruitm5t1 adv]tis+1 comp5sation ( executives or (fic]s1 or lobby+1 or o!r pre-enrollm5t exp5ditures4 7#b7 ,report+ ,ea* in/itution ( high] education receiv+ ,f$]al funds "u title ,,iv %all report to ! ,secret>y-- 7,a7 ! total doll> am\nt ( title ,,iv funds receiv$ by ! in/itution2 7,b7 ! proportion ( title ,,iv funds sp5t on recruitm5t activities & m>ket+ activities2 7,c7 ! proportion ( title ,,iv funds sp5t on in/ruction & /ud5t s]vices2 & 7,d7 = ea* program ( education or division ( ! in/itution = :i* ! tuition is *>g$1 ! price ( tuition relative to ! in/itution's allocation ( rev5ues to sp5d+ on in/ruction & /ud5t s]vices4 7#c7 ,disclosures by ! ,dep>tm5t ( ,education ,! ,secret>y %all make ! disclosures report$ "u p>agraph 7#b7 publicly available on ! ,college ,navigator website4 4 7c7 ,transp>5cy ( onl9e programs ,section #acb 7#bj ,u4,s4,c4 #ajae;a71 z am5d$ by subsection 7b71 is fur!r am5d$ by ins]t+ aft] subsection 7l71 z add$ by subsection 7b77#b71 ! foll[+3 7m7 ,improv+ transp>5cy = onl9e & contract$ programs 7#a7 ,annual report+ requirem5ts = ?ird-p>ty s]vic] activities ,ea* in/itution ( high] education t receives ,f$]al funds "u title ,,iv %all report annually to ! ,secret>y-- 7,a7 ! "n ( ea* ?ird-p>ty s]vic] ) :i* ! in/itution contracts2 & 7,b7 = ea* su* ?ird-p>ty s]vic]-- 7i7 ! names ( any programs = :i* ea* su* ?ird-p>ty s]vic] is contract$ to provide support2 7ii7 ! s]vices ea* su* ?ird-p>ty s]vic] is contract$ to (f] = ea* program2 7iii7 ! numb] ( /ud5ts enroll$ 9 any program = :i* ! ?ird-p>ty s]vic] is contract$ to provide s]vices2 7iv7 :e!r ! ?ird-p>ty s]vic] adm9i/]s or provides any private or in/itutional /ud5t loan products2 & 7v7 ! ?ird-p>ty s]vic]'s total exp5ditures on adv]tis+1 m>ket+1 & recruit+ on behalf ( ! in/itution4 7#b7 ,disclosure requirem5ts ,if an in/itution ( high] education receiv+ ,f$]al funds "u title ,,iv contracts ) a ?ird-p>ty s]vic] to (f] "o or m programs ( education1 & su* ?ird-p>ty s]vic] provides recruitm5t activities1 ret5tion activities1 or simil> activities 7z specifi$ by ! ,secret>y7 = ! program-- 7,a7 ! in/itution & ?ird-p>ty s]vic] %all prom95tly disclose = ea* su* program ( education1 9 a mann] specifi$ by ! ,secret>y & us+ language develop$ by ! ,secret>y1 ! nature ( ! relation%ip betwe5 ! in/itution & ?ird-p>ty s]vic]-- 7i7 9 adv]tisem5ts2 7ii7 9 m>ket+ mat]ials2 & 7iii7 on ! website ( ! in/itution2 & 7,b7 individuals :o are employ$ by ! ?ird-p>ty s]vic] to provide admissions1 recruitm5t1 ret5tion1 or advis+ activities %all prom95tly disclose to prospective or enroll$ /ud5ts t ! individuals are employees ( t ?ird-p>ty s]vic] & n ! in/itution1 includ+ 9 any communication ab\t ! program ( education4 7#c7 ,annual report+ requirem5ts = onl9e education ,ea* in/itution ( high] education receiv+ ,f$]al funds "u title ,,iv %all report annually to ! ,secret>y-- 7,a7 ! in/itution's exp5ditures on activities to secure enrollm5ts = ea* onl9e1 on-campus1 & hybrid program1 & its total exp5ditures = all activities ( ! in/itution2 7,b7 ! /atus ( ea* /ud5t receiv+ ,f$]al /ud5t aid z enroll$ onl9e1 on-campus1 or 9 a comb9ation ( bo? modalities1 suffici5t = ! ,secret>y to calculate ! total /ud5t enrollm5t1 ret5tion & completion rates1 /ud5t loan borr[+ levels1 /ud5t loan repaym5t outcomes1 & m$ian e>n+s = ea* su* program2 & 7,c7 ! annual net price *>g$ = ea* su* program4 4 7d7 ,disclosure ( mat]ial facts = propriet>y in/itutions ,section #dih7;c7 7#bj ,u4,s4,c4 #ajii;c7c771 z am5d$ by section #bjc1 is fur!r am5d$ by add+ at ! end ! foll[+3 7#h7 7,a7 ,! ,secret>y %all require ea* propriet>y in/itution ( high] education 7z def9$ 9 section #ajb7;c77 to file promptly ) ! ,secret>y-- 7i7 all public fil+s t ! in/itution files ) ! ,securities & ,ex*ange ,commission t include ref]5ces to matt]s t affect /ud5ts1 includ+-- 7,i7 m]g]s & acquisitions2 7,,ii7 *anges ( own]%ip2 7,,iii7 *anges ( lead]%ip & bo>d memb]%ip2 7,,iv7 s*ool or campus clos+s2 7,v7 civil lawsuits2 7,,vi7 law en=cem5t actions1 inve/igations1 subpo5as1 & dem& lett]s2 & 7,,vii7 mat]ial *ange 9 f9ancial /atus2 & 7ii7 9 ! case ( an in/itution t is n requir$ to make disclosures to ! ,securities & ,ex*ange ,commission1 notifications reg>d+ matt]s t affect /ud5ts simil> to ! fil+s describ$ 9 clause 7i71 9 a =m & mann] det]m9$ by ! ,secret>y4 7,b7 ,! ,secret>y %all promptly make all in=mation receiv$ "u subp>agraph 7,a7 available on ! website ( ! ,dep>tm5t4 4 #djb4 ,transp>5cy ( ov]sight activities 7a7 ,borr[] def5se claims & dis*>ges data ,section #dee7;h7 7#bj ,u4,s4,c4 #ajhg;e7h771 z am5d$ by section #ajb7;a71 is fur!r am5d$-- 7#a7 by r$esignat+ p>agraph 7#h7 z p>agraph 7#i72 & 7#b7 by ins]t+ aft] p>agraph 7#g7 ! foll[+3 7#h7 ,transp>5cy ,! ,secret>y %all make publicly available1 & keep regul>ly updat$1 in=mation reg>d+ ! numb] ( borr[] def5se claims fil$ & dis*>ges grant$1 disaggregat$ by in/itution ( att5dance1 ,/ate ( resid5ce z ( ! date ( ! claim1 /ud5t loan s]vic]1 & ! am\nt ( dis*>ge & reimbursem5t1 bas$ on increm5ts ( n less ?an #aj1jjj4 4 7b7 #ij_/aj rule transp>5cy ,p>agraph 7#c7 ( section #dhg7;d7 7#bj ,u4,s4,c4 #ajid7;d77#c77 is am5d$-- 7#a7 by r$esignat+ subp>agraphs 7,a7 & 7,b7 z clauses 7i7 & 7ii71 respectively1 & adju/+ ! m>g9s appropriately2 7#b7 by /rik+ ,! ,secret>y & ins]t+ ! foll[+3 7,a7 ,public disclosure ( failure to meet requirem5ts ,! ,secret>y 2 & 7#c7 by add+ at ! end ! foll[+3 7,b7 ,public disclosure ( #ij_/aj data 7i7 ,9 g5]al ,! ,secret>y %all publicly disclose on ! website ( ! ,dep>tm5t ! data provid$ by propriet>y in/itutions = purposes ( ?is subsection 7ref]r$ to 9 ?is subp>agraph z ! #ij_/aj database7 9 a prompt1 compreh5sive1 & us]-fri5dly mann]4 7ii7 ,tempor>y omissions ,if any data = a propriet>y ( in/itution requir$ to be disclos$ "u clause 7i7 is omitt$ because ( issues unresolv$ at a giv5 deadl9e ( ! ,secret>y1 ! ,secret>y %all-- 7,i7 include1 9 ! #ij_/aj database on ! ,college ,navigator website1 a notice t ! in=mation is omitt$ = su* propriet>y in/itution & a cle> explanation ( ! reason = ! delay2 & 7,,ii7 timely am5d ! #ij_/aj database to include ! in=mation requir$ to be disclos$ = ! relevant report+ p]iod4 4 7c7 ,*ange ( own]%ip & conv]sion transp>5cy ,section #dih7;j7 7#bj ,u4,s4,c4 #ajii;c7j771 z r$esignat$ by section #cjd7;b77#b71 is fur!r am5d$ by add+ at ! end ! foll[+3 7#e7 ,! ,secret>y %all promptly disclose on ! website ( ! ,dep>tm5t-- 7,a7 any application = a *ange ( own]%ip ( an in/itution or = a conv]sion ( an in/itution f propriet>y to nonpr(it /atus2 & 7,b7 any decision by ! ,secret>y reg>d+ approval or disapproval ( a *ange ( own]%ip application1 or an application = conv]sion f propriet>y to nonpr(it /atus1 & all ext]nal communications describ+ or expla9+ ^? decisions4 4 7d7 ,transp>5cy 9 f9ancial /&+ ( in/itutions ,section #dih7;c7 7#bj ,u4,s4,c4 #ajii;c7c771 z am5d$ by section #dja7;d71 is fur!r am5d$ by add+ at ! end ! foll[+3 7#i7 ,! ,secret>y %all promptly po/ on ! ,dep>tm5t website1 = all in/itutions p>ticipat+ 9 a program "u ?is title-- 7,a7 ! annual audit$ f9ancial /atem5ts submitt$ by ea* in/itution "u ?is section & a li/ ( any in/itutions t h fail$ to timely submit audit$ f9ancial /atem5ts2 7,b7 7i7 ! t]ms1 am\nts1 & )drawals = lett]s ( cr$it & o!r sureties requir$ ( in/itutions ( high] education "u p>agraph 7#c71 includ+ by provid+ updates z new f9ancial gu>antees are requir$ & z *anges are made to exi/+ agreem5ts2 & 7ii7 all ext]nal communications betwe5 in/itutions ( high] education & ! ,dep>tm5t describ+ or implem5t+ ! ,secret>y's requirem5ts or det]m9ations reg>d+ f9ancial gu>antees "u p>agraph 7#c72 & 7,c7 7i7 ea* decision ( ! ,secret>y z to ! imposition or removal ( height5$ ca% monitor+ /atus & o!r f9ancial protections reg>d+ an in/itution2 & 7ii7 all ext]nal communications betwe5 in/itutions ( high] education & ! ,dep>tm5t describ+ or implem5t+ su* decisions4 4 7e7 ,in/itutional p>ticipation 9 ! title ,,iv programs ,section #dih 7#bj ,u4,s4,c4 #ajii;c7 is am5d$ by add+ at ! end ! foll[+3 7m7 ,transp>5cy ,! ,secret>y %all po/ on ! ,dep>tm5t website ! full program p>ticipation agreem5t "u section #dhg = ea* in/itution t ent]s into su* an agreem5t & %all indicate if ! in/itution is on provisional1 tempor>y provisional1 or expir$ c]tification /atus4 4 7f7 ,accr$it+ ag5cy transp>5cy ,section #dif 7#bj ,u4,s4,c4 #ajii;b7 is am5d$-- 7#a7 9 subsection 7o7-- 7,a7 by ins]t+ aft] ,regulations4-- ! foll[+3 7#a7 ,9 g5]al 2 & 7,b7 by add+ at ! end ! foll[+3 7#b7 ,disclosures 7,a7 ,9 g5]al ,! ,secret>y %all publicly disclose on ! ,dep>tm5t's website-- 7i7 all ( ! ,dep>tm5t's draft & f9al accr$it+ ag5cy or association recognition reports1 & monitor+ reports & inve/igations ( any accr$it+ ag5cy or association1 "u ?is section2 & 7ii7 ! reports & accompany+ exhibits t ea* accr$itation ag5cy or association submits to ! ,dep>tm5t 9 ! c\rse ( recognition & re-recognition reviews "u ?is section4 7,b7 ,disclosure requirem5ts ,! ,secret>y %all disclose ! in=mation requir$ "u subp>agraph 7,a7 promptly1 s t memb]s ( ! public may ?or\ghly & timely respond via public comm5t 9 ! c\rse ( ,dep>tm5t reviews ( accr$it+ ag5cies & associations4 2 & 7#b7 by add+ at ! end ! foll[+3 7r7 ,transp>5cy ( accr$it+ ag5cy or association actions 7#a7 ,9 g5]al ,an accr$it+ ag5cy or association recogniz$ by ! ,secret>y "u ?is section %all promptly po/ on ! website ( ! accr$it+ ag5cy or association & %all submit to ! ,dep>tm5t1 all communications s5t f ! accr$it+ ag5cy or association to an in/itution expla9+1 or in=m+ an in/itution (1 an action tak5 by ! ag5cy ) respect to ! in/itution1 includ+-- 7,a7 to impose or remove a /atus ( probation1 w>n+1 conc]n1 /ipulation1 or report+1 or simil> /atus2 7,b7 to impose or revoke a %[ cause ord]2 or 7,c7 to impose or revoke a limitation1 susp5sion1 or t]m9ation action4 7#b7 ,no r$action ,! communication po/$ & submitt$ "u p>agraph 7#a7 %all be )\t r$action1 except = p]sonally id5tifiable in=mation4 7#c7 ,disclosure by ! ,secret>y ,! ,secret>y %all promptly publicly disclose on ! website ( ! ,dep>tm5t all communications submitt$ pursuant to p>agraph 7#a74 4