II 109th CONGRESS 1st Session S. 1068 IN THE SENATE OF THE UNITED STATES May 18, 2005 Mrs. Dole (for herself and Mr. Baucus) introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions A BILL To provide for higher education affordability, access, and opportunity.

1.

Short title

This Act may be cited as the Higher Education Affordability, Access, and Opportunity Act of 2005.

2.

Improvements in market information and public accountability

(a)

Data dissemination

Section 131(b) of the Higher Education Act of 1965 (20 U.S.C. 1015(b)) is amended to read as follows: (b)

Comparative data

(1)

In general

Each year the Secretary shall make available to the public the information described in paragraph (2), disaggregated by institution of higher education, in a form that enables the public to compare the information among institutions. (2)

Information

The information referred to in paragraph (1) is the following: (A)Tuition and fees for a full-time undergraduate student. (B)Cost of attendance for a full-time undergraduate student. (C)The average annual cost of attendance for a full-time undergraduate student for the 10 preceding academic years, or if data are not available for the 10 preceding academic years, data for as many of the 10 preceding academic years as is available. (D)The percentage of full-time undergraduate students receiving financial assistance, including— (i)Federal grants; (ii)State and local grants; (iii)institutional grants; and (iv)loans to students. (E)The average percentage of credit hours accepted from students transferring to an institution of higher education from another institution of higher education, and the policy of the accepting institution of higher education for the transfer of credit. (F)The percentage of students who have completed an undergraduate program who are placed in unsubsidized employment not later than 12 months after the date of completion of the program. (G)A ranking of the dollar and percentage increases in tuition for all institutions of higher education for which data are available, disaggregated by quartile. (3)

Standard definitions

In carrying out this section, the Secretary shall use the standard definitions developed under subsection (a)(3). . (b)

Study and annual report

Section 131(c) of the Higher Education Act of 1965 (20 U.S.C. 1015(c)) is amended— (1)in paragraph (1)— (A)in the matter preceding subparagraph (A), by inserting and costs after expenditures; (B)in subparagraph (F), by striking and after the semicolon; (C)in subparagraph (G), by striking the period and inserting ; and; and (D)by adding at the end the following: (H)the information and costs described in subparagraphs (D) through (G) of paragraph (2). ; (2)in paragraph (2)— (A)in subparagraph (B), by striking and after the semicolon; (B)in subparagraph (C), by striking the period and inserting a semicolon; and (C)by adding at the end the following: (D)national trends in the cost of attending an institution of higher education; (E)the mean cost of attending an institution of higher education, disaggregated by type of institution of higher education; (F)the mean annual cost of attending an institution of higher education for the 10 preceding academic years (if available), disaggregated by type of institution of higher education; and (G)the assistance provided to institutions of higher education by each State, which information the Secretary shall make available to the public. ; and (3)in paragraph (3)— (A)in the subsection heading, by striking Final and inserting Annual; (B)by striking a report and inserting an annual report; (C)by inserting and the evaluation required by paragraph (2) after paragraph (1); and (D)by striking not later than September 30, 2002.

3.

Teacher quality enhancement grants

(a)

Definition of high need local educational agency

Section 201(b)(2) of the Higher Education Act of 1965 (20 U.S.C. 1021(b)(2)) is amended— (1)in the matter preceding subparagraph (A), by striking that serves an elementary school or secondary school located in an area in which there is; (2)in each of subparagraphs (A), (B), and (C), by inserting that serves an elementary school or secondary school located in an area in which there is before a high; (3)in subparagraph (B) (as so amended), by striking or after the semicolon; (4)in subparagraph (C) (as so amended), by striking the period and inserting ; or; and (5)by adding at the end the following: (D)with a total of less than 600 students in average daily attendance at the schools that are served by the local educational agency and all of those schools are designated with a school locale code of 7 or 8, as determined by the Secretary. . (b)

Definition of eligible partnerships

Section 203(b)(1)(B) of the Higher Education Act of 1965 (20 U.S.C. 1023(b)(1)(B)) is amended by inserting educational service agency (as defined in section 9101 of the Elementary and Secondary Education Act of 1965), after State educational agency,.

4.

Grants for job skill training

Title III of the Higher Education Act of 1965 (20 U.S.C. 1051 et seq.) is amended— (1)by redesignating part F as part G; and (2)by inserting after part E the following: F

Job skill training

1

Job skill training in high-Growth occupations or industries

371.

Job skill training in high-growth occupations or industries

(a)

Grants authorized

The Secretary is authorized to award grants, on a competitive basis, to eligible partnerships to enable the eligible partnerships to provide relevant job skill training in high-growth industries or occupations. (b)

Definitions

In this section: (1)

Eligible partnership

The term eligible partnership means a partnership— (A)between an institution of higher education and a local board (as such term is defined in section 101 of the Workforce Investment Act of 1998); or (B)if an institution of higher education is located within a State that does not operate local boards, between the institution of higher education and a State board (as such term is defined in section 101 of the Workforce Investment Act of 1998). (2)

Nontraditional student

The term nontraditional student means a student who— (A)is independent, as defined in section 480(d); (B)attends an institution of higher education— (i)on less than a full-time basis; (ii)via evening, weekend, modular, or compressed courses; or (iii)via distance learning methods; or (C)has delayed enrollment at an institution of higher education. (3)

Institution of higher education

The term institution of higher education means an institution of higher education, as defined in section 101(b), that offers a 1- or 2-year program of study leading to a degree or certificate. (c)

Application

(1)

In general

Each eligible partnership that desires a grant under this section shall submit an application to the Secretary at such time, in such manner, and accompanied by such additional information as the Secretary may require. (2)

Contents

Each application submitted under paragraph (1) shall include a description of— (A)how the eligible partnership, through the institution of higher education, will provide relevant job skill training for students to enter high-growth occupations or industries; (B)local high-growth occupations or industries; and (C)the need for qualified workers to meet the local demand of high-growth occupations or industries. (d)

Award basis

In awarding grants under this section, the Secretary shall— (1)ensure an equitable distribution of grant funds under this section among urban and rural areas of the United States; and (2)take into consideration the capability of the institution of higher education— (A)to offer relevant, high quality instruction and job skill training for students entering a high-growth occupation or industry; (B)to involve the local business community and to place graduates in the community in employment in high-growth occupations or industries; (C)to assist students in obtaining loans under section 428L, if appropriate, or other forms of student financial assistance; (D)to serve nontraditional or low-income students, or adult or displaced workers; and (E)to serve students from rural or remote communities. (e)

Use of funds

Grant funds provided under this section may be used— (1)to expand or create academic programs or programs of training that provide relevant job skill training for high-growth occupations or industries; (2)to purchase equipment which will facilitate the development of academic programs or programs of training that provide training for high-growth occupations or industries; (3)to support outreach efforts that enable students to attend institutions of higher education with academic programs or programs of training focused on high-growth occupations or industries; (4)to expand or create programs for distance, evening, weekend, modular, or compressed learning opportunities that provide relevant job skill training in high-growth occupations or industries; (5)to build partnerships with local businesses in high-growth occupations or industries; and (6)for other uses that the Secretary determines to be consistent with the intent of this section. (f)

Requirements

(1)

Fiscal agent

For the purpose of this section, the institution of higher education in an eligible partnership shall serve as the fiscal agent and grant recipient for the eligible partnership. (2)

Duration

The Secretary shall award grants under this section for a 1-year period. (3)

Availability of grant funds

Grant funds awarded under this section shall be available for not more than 18 months unless, at the Secretary’s discretion, the Secretary extends the availability of the grant funds. (4)

Supplement, not supplant

Funds made available under this section shall be used to supplement and not supplant other Federal, State, and local funds available to the eligible partnership for carrying out the activities described in subsection (e).

2

Small business innovation partnership grants

375.

Small business innovation partnership grants

(a)

Grants authorized

The Secretary is authorized to award grants to eligible partnerships to enable the eligible partnerships to provide training and relevant job skills to small business owners or operators for the purpose of facilitating small business development in the communities served by the eligible partnerships. (b)

Definition of eligible partnership

In this section the term eligible partnership means a partnership between or among an institution of higher education and 1 or more entities that the Secretary, in consultation with the Administrator of the Small Business Administration, identifies as facilitating small business development, which may include— (1)a community development financial institution; (2)a small business development center; or (3)a microenterprise lending institution. (c)

Award basis

The Secretary shall award grants under this section on the basis of— (1)the ability of an eligible partnership to facilitate small business development; and (2)(A)the ability of an eligible partnership to serve a rural community; (B)the ability of an eligible partnership to serve a low-income population; or (C)other criteria developed by the Secretary in consultation with the Administrator of the Small Business Administration. (d)

Limitation

Of the funds appropriated under section 378 for this part for a fiscal year, the Secretary is authorized to use not more than $15,000,000 of such funds to carry out this section.

3

Administrative provisions

378.

Authorization of appropriations

There are authorized to be appropriated to carry out this part $65,000,000 for fiscal year 2006 and such sums as may be necessary for each of the 4 succeeding fiscal years.

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5.

Leap applications

Section 415C of the Higher Education Act of 1965 (20 U.S.C. 1070c–2) is amended— (1)in subsection (a), by inserting after the first sentence the following: A State agency may submit an application under this section in partnership with a philanthropic organization within the State, a public or private degree granting institution of higher education within the State, or a combination of such organizations or institutions.; and (2)in subsection (b)(10), by inserting , from philanthropic, institutional, or private funds, or from a combination of such sources before the period.

6.

Workforce development loan program

Part B of title IV of the Higher Education Act of 1965 (20 U.S.C. 1071 et seq.) is amended by inserting after section 428K (20 U.S.C. 1078–11) the following:

428L.

High-Growth occupation or industry workforce development student loans

(a)

Loan program authorized

The Secretary shall carry out a loan program under which eligible students may receive a loan of not more than $2,000 for each of the first 2 years of the eligible students’ undergraduate program of study in the same manner as the eligible students receive loans under this part and part D. (b)

Definitions

(1)

Eligible institution of higher education

The term eligible institution of higher education means an institution of higher education that offers undergraduate academic programs or undergraduate programs of training in a subject identified under subsection (d)(1) by the State board of the State where the institution of higher education is located. (2)

Eligible student

The term eligible student means an undergraduate student who— (A)is otherwise eligible for a loan under this part or part D; (B)enters into an agreement with the eligible institution of higher education where the student is or will be in attendance, under which the student agrees to pursue an undergraduate academic program or undergraduate program of training that trains the student for employment in a high-growth occupation or industry identified under subsection (d)(1); (C)is age 18 or older; and (D)has an expected family contribution (calculated under part F) equal to or less than zero. (3)

State board; local board

The terms State board and local board have the meanings given such terms in section 101 of the Workforce Investment Act of 1998. (c)

Limits on loan amounts

(1)

Annual loan limits

The total aggregate amount of loans made to an eligible student under this part (including this section) and part D for each of the first and second years of the eligible student’s program of study at an eligible institution of higher education, or their equivalent (as determined by the Secretary), that may be covered by Federal loan insurance may not exceed $4,625 for each such year, notwithstanding sections 425 and 428. (2)

Aggregate limits

The Secretary shall include the amount of any loans received by an eligible student under this section in calculating the eligible student’s aggregate loan limits under sections 425(a)(2) and 428(b)(1)(B). (3)

Availability of other funds

An eligible student who receives the maximum loan amount allowed under this section remains eligible for any other program for which the eligible student qualifies under this Act. (d)

Identification of High-Growth occupations or industries

(1)

In general

The State board, in consultation with the local boards and the State entity or agency responsible for licensing institutions of higher education, shall identify high growth occupations or industries in accordance with paragraph (2). (2)

Timing

The State board shall review and update the identification required under paragraph (1) each time the State board is required to submit or resubmit a State plan under section 112 of the Workforce Investment Act of 1998. (3)

Special rule

A student who has completed 1 year of a 2-year undergraduate academic program or undergraduate program of training in a subject which was previously identified as preparation for a high-growth occupation or industry but, after the review under paragraph (2), is no longer so identified, shall be eligible to receive a loan under this section for the student’s second year of such program of study if the student— (A)qualified as an eligible student, as defined in subsection (b)(2), and received a loan under this section, for the first year of such program of study; and (B)meets the qualifications of subparagraphs (A), (C), and (D) of subsection (b)(2). (e)

Funds for administration

(1)

In general

From funds appropriated under subsection (f), the Secretary shall make available to each eligible institution of higher education serving an eligible student with a loan made under this section not more than the amount determined under paragraph (2). (2)

Amount

The amount referred to in paragraph (1) for each eligible institution of higher education serving an eligible student with a loan made under this section is 2 percent of the total amount of all loans made under this section to eligible students at the eligible institution of higher education, or $100,000, whichever is less. (3)

Uses

The funds made available under paragraph (1) may be used for the following purposes: (A)

Office

To create an office of business and workforce partnerships at the eligible institution of higher education to provide staff support for building relationships between the eligible institution of higher education and local businesses. (B)

Annual report

To provide an annual report to the Secretary regarding the number of eligible students receiving loans made under this section who— (i)remain in their academic program or program of training; (ii)graduate from their academic program or program of training; (iii)transfer to another institution of higher education; or (iv)are placed in unsubsidized employment not later than 12 months after graduation. (f)

Authorization of appropriations

There are authorized to be appropriated to carry out this section such sums as may be necessary for fiscal year 2006 and each of the 4 succeeding fiscal years.

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7.

Requirement relating to credit transfer

(a)

Program participation agreements

Section 487(a) of the Higher Education Act of 1965 (20 U.S.C. 1094(a)) is amended by adding at the end the following: (24)The institution will not exclude the transfer of credits earned by a student completing courses or programs at other eligible institutions of higher education solely on the basis of the agency or association that accredited such other eligible institution if that agency or association is recognized by the Secretary pursuant to section 496 to be a reliable authority as to the quality of the education or training offered and is currently listed by the Secretary pursuant to section 101(c). . (b)

Accrediting agency and association requirements

Section 496(a) (20 U.S.C. 1099b(a)) is amended— (1)by striking and at the end of paragraph (7); (2)by striking the period at the end of paragraph (8) and inserting ; and; and (3)by adding at the end the following: (9)such agency or association not adopt or apply standards, policies, or practices that restrict or deny the transfer of credits earned by a student completing courses or programs at other eligible institutions of higher education solely on the basis of the agency or association that accredited such other eligible institution if that agency or association is recognized by the Secretary pursuant to this section to be a reliable authority as to the quality of the education or training offered and is currently listed by the Secretary pursuant to section 101(c). . (c)

Accrediting agency standards

Section 496(a)(5) of the Higher Education Act of 1965 (20 U.S.C. 1099b(a)(5)) is amended— (1)by striking and at the end of subparagraph (I); (2)by inserting and after the semicolon at the end of subparagraph (J); and (3)by inserting after subparagraph (J) the following new subparagraph: (K)policies for the transfer of credit and the notification of the public of such policies; .