II 112th CONGRESS 2d Session S. 2179 IN THE SENATE OF THE UNITED STATES March 8, 2012 Mr. Webb (for himself, Mr. Harkin, Mr. Brown of Massachusetts, Mr. Carper, and Mrs. McCaskill) introduced the following bill; which was read twice and referred to the Committee on Veterans' Affairs A BILL To amend title 38, United States Code, to improve oversight of educational assistance provided under laws administered by the Secretary of Veterans Affairs and the Secretary of Defense, and for other purposes.

1.

Short title

This Act may be cited as the Military and Veterans Educational Reform Act of 2012.

2.

Additional requirements for approval of educational programs for purposes of educational assistance under laws administered by Secretary of Veterans Affairs and Secretary of Defense

(a)

Automatic approval by Secretary of Veterans Affairs of degree programs approved by Secretary of Education

Clause (i) of section 3672(b)(2)(A) of title 38, United States Code, is amended to read as follows: (i)A course that is described by section 3675(a) of this title. . (b)

Approval by Secretary of Veterans Affairs of non-Degree programs approved by Secretary of Education

(1)

In general

Section 3675 of such title is amended— (A)by redesignating subsections (b) and (c) as subsections (c) and (d), respectively; (B)by striking subsection (a); and (C)by inserting before subsection (c), as redesignated by subparagraph (A), the following new subsections: (a)The Secretary or a State approving agency may only approve a course that leads to an associate or higher degree when such course is an eligible program (as defined in section 481 of the Higher Education Act of 1965 (20 U.S.C. 1088)) offered by an institution of higher education (as defined in section 102 of such Act (20 U.S.C. 1002)) that has entered into, and is complying with, a program participation agreement under section 487 of such Act (20 U.S.C. 1094). (b)(1)The Secretary or a State approving agency may approve a course that does not lead to an associate or higher degree when— (A)such course— (i)is an eligible program (as defined in section 481 of the Higher Education Act of 1965 (20 U.S.C. 1088)) offered by an institution of higher education (as defined in section 102 of such Act (20 U.S.C. 1002)) that has entered into, and is complying with, a program participation agreement under section 487 of such Act (20 U.S.C. 1094); (ii)in the case of a course designed to prepare individuals for licensure or certification, meets the instructional curriculum licensure or certification requirements of the State in which the institution is located; and (iii)in the case of a course designed to prepare an individual for employment by a State board or agency in an occupation that requires approval or licensure for such employment, is approved or licensed by such State board or agency; (B)such course is accepted by the State department of education for credit for a teacher's certificate; or (C)such course is approved by the State as meeting the requirement of regulations prescribed by the Secretary of Health and Human Services under sections 1819(f)(2)(A)(i) and 1919(f)(2)(A)(i) of the Social Security Act (42 U.S.C. 1395i–3(f)(2)(A)(i) and 1396r(f)(2)(A)(i)). (2)(A)An educational institution shall submit an application for approval of courses to the appropriate State approving agency. In making application for approval, the institution (other than an elementary school or secondary school) shall transmit to the State approving agency copies of its catalog or bulletin which must be certified as true and correct in content and policy by an authorized representative of the institution. (B)Each catalog or bulletin transmitted by an institution under subparagraph (A) of this paragraph shall— (i)state with specificity the requirements of the institution with respect to graduation; (ii)include the information required under paragraphs (6) and (7) of section 3676(b) of this title; and (iii)include any attendance standards of the institution, if the institution has and enforces such standards. . (2)

Conforming amendments

Such title is amended— (A)in section 3452(g), by striking under the provisions of section 3675 of this title; (B)in section 3501(11), by striking under the provisions of section 3675 of this title; (C)in section 3672(b)(2)(A), by striking 3675(b)(1) and (b)(2) and inserting 3675(c)(1) and (c)(2); and (D)in the heading for section 3675, by striking accredited courses and inserting courses approved by Secretary of Education. (3)

Clerical amendment

The table of sections at the beginning of chapter 36 of such title is amended by striking the item relating to section 3675 and inserting the following new item: 3675. Approval of courses approved by Secretary of Education. . (c)

Approval by Secretary of Veterans Affairs of non-Degree programs not approved by Secretary of Education

(1)

In general

Subsection (a) of section 3676 of such title is amended to read as follows: (a)No course of education which has not been approved by the Secretary or a State approving agency under section 3675 of this title shall be approved for the purposes of this chapter unless— (1)the course— (A)does not lead to an associate or higher degree; (B)was not an eligible program (as defined in section 481 of the Higher Education Act of 1965 (20 U.S.C. 1088)) at any time during the most recent two-year period; and (C)is a course that the Secretary or State approving agency determines, in accordance with this section and such regulations as the Secretary shall prescribe and on a case-by-case basis, that approval of which would further the purposes of this chapter or any of chapters 30 through 35 of this title; and (2)the educational institution offering such course submits to the appropriate State approving agency a written application for approval of such course in accordance with the provisions of this chapter. . (2)

Additional requirements

Subsection (c) of section 3676 of such title is amended— (A)by redesignating paragraph (14) as paragraph (21); and (B)by inserting after paragraph (13) the following new paragraphs: (14)Such courses providing less than 600 clock hours of instruction, or its equivalent, have verified completion and placement rates of at least 70 percent. (15)Courses that prepare individuals for licensure or certification have verified that the course’s instructional curriculum appropriately includes the licensure or certification requirements in the State in which the institution deems such curriculum does. (16)Courses for which a State board or agency in the State in which the course is designed to prepare a student requires approval or licensure for employment in the recognized occupation in the State is approved or licensed by such State board or agency. (17)In the case of an educational institution that advertises job placement rates as a means of attracting students to enroll in a course of education offered by the educational institution, the application contains any other information necessary to substantiate the truthfulness of such advertisements. (18)The educational institution does not provide any commission, bonus, or other incentive payment based directly or indirectly on success in securing enrollments or financial aid to any persons or entities engaged in any student recruiting or admission activities or in making decisions regarding the award of student financial assistance, except for the recruitment of foreign students residing in foreign countries who are not eligible to receive Federal student assistance. (19)The educational institution does not make any misrepresentations (as defined in section 668.71 of title 34, Code of Federal Regulations (or any corresponding similar regulation or ruling)) regarding the nature of its educational program, the nature of its financial charges, or the employability of its graduates (as defined in sections 668.72 through 668.74 of such title, respectively (or any corresponding similar regulations or rulings)). (20)The educational institution has provided information necessary to substantiate that it complies with the requirements set forth under section 600.9 of title 34 Code of Federal Regulations (or any corresponding similar regulation or ruling). . (3)

Requirement that additional requirements imposed by State approving agencies be approved by Secretary of Veterans Affairs

Paragraph (21) of such subsection, as redesignated by paragraph (2)(A), is amended by inserting and approved by the Secretary before the period at the end. (4)

Conforming amendments

Section 3676 of such title is amended— (A)in the heading for such section, by striking nonaccredited courses and inserting courses not approved by Secretary of Education; and (B)in subsection (c), in the matter before paragraph (1), by striking non-accredited. (5)

Clerical amendment

The table of sections at the beginning of chapter 36 of such title is amended by striking the item relating to section 3675 and inserting the following new item: 3676. Approval of courses not approved by Secretary of Education. . (d)

Additional requirements for approval of programs for educational assistance for persons enlisting for active duty

Section 2143 of title 10, United States Code, is amended— (1)in subsection (a), by striking to subsection (b) and inserting to subsections (b) and (c); (2)by redesignating subsection (c) as subsection (d); and (3)by inserting after subsection (b) the following new subsection (c): (c)(1)Except as provided in paragraph (2), a person entitled to assistance under this chapter may only use such assistance for educational expenses incurred for an eligible program (as defined in section 481 of the Higher Education Act of 1965 (20 U.S.C. 1088)) that— (A)is offered by an institution of higher education (as defined in section 102 of such Act (20 U.S.C. 1002)) that has entered into, and is complying with, a program participation agreement under section 487 of such Act (20 U.S.C. 1094); (B)in the case of a program designed to prepare individuals for licensure or certification, meets the instructional curriculum licensure or certification requirements of the State in which the institution is located; and (C)in the case of a program designed to prepare individuals for employment by a State board or agency in an occupation that requires approval or licensure for such employment, is approved or licensed by such State board or agency. (2)The Secretary may, in accordance with regulations the Secretary shall prescribe, authorize the use of educational assistance awarded under this chapter for educational expenses incurred for a program of education that is not described in paragraph (1) if such program— (A)is accredited and approved by a nationally recognized accrediting agency or association; (B)was not an eligible program described in paragraph (1) at any time during the most recent two-year period; and (C)is a program that the Secretary determines, on a case-by-case basis, that approval of which would further the purposes of the program established under section 2141 of this title. . (e)

Effective date

The amendments made by this section shall take effect on August 1, 2013.

3.

Requirement that educational institutions inform students of matters relating to accreditation and outcomes as condition of approval for purposes of educational assistance under laws administered by Secretary of Veterans Affairs and Secretary of Defense

(a)

Educational assistance under laws administered by Secretary of Veterans Affairs

Section 3672 of title 38, United States Code, is amended— (1)by adding at the end the following new subsection: (f)(1)A course of education that is offered by an educational institution may not be approved under this chapter unless the educational institution discloses and makes readily available the information described in paragraph (2) to— (A)each individual considering enrolling in the course of education at or before the moment at which the individual applies for enrollment in such course of education; (B)each student who is enrolled in the course of education each year the student is so enrolled; and (C)the public. (2)The information described in this paragraph with respect to an educational institution or a course of education of the educational institution is the following: (A)The names of associations, agencies, or governmental bodies which accredit, approve, or license the educational institution and its courses of education and the procedures under which any current or prospective student may obtain or review upon request a copy of the documents describing the educational institution’s accreditation, approval, or licensing. (B)Whether the educational institution is a public educational institution, a private nonprofit educational institution, or a private for-profit educational institution. (C)The rates of graduation of students who enroll in the course of education and the average dropout rate of all students enrolled in the course of education. (D)The percentage of students enrolled in the course of education who complete the course within— (i)the standard period for completion of such course of education; (ii)150 percent of such period; and (iii)200 percent of such period. (E)The median educational debt incurred by students who complete the course of education. (F)The cohort default rate, as defined in section 435(m) of the Higher Education Act of 1965 (20 U.S.C. 1085(m)), of the educational institution. (G)The rates of job placement of students who complete the course of education, as applicable, and the types of employment obtained by such students. (H)For any job for which the course of education is designed to prepare a student, the relevant licensing or certification requirements for such job in the State for which the course is designed to prepare the student to obtain such license or certificate and the examination and licensure test pass rates, as applicable. (I)The tuition and fees for programs of education at the educational institution. (J)The percentage of students enrolled in programs of education at the educational institution who have submitted a complaint under section 3697C(a) of this title. (K)With respect to the information reported under subparagraphs (C) through (J), indicators of how the educational institution compares with the averages of all public educational institutions with similar courses of education in the State in which the educational institution is located. (L)A description of the procedures by which student may submit complaints regarding educational institutions to applicable Federal and State agencies, including State approving agencies and accrediting agencies or associations and such contact information as may be necessary to submit such complaints. (M)A description of the process established under section 3697C(a) of this title and such contact information as may be necessary to submit a complaint in accordance with such process. (N)The policies established by the educational institution regarding transfer of course credit, including the following: (i)Any established criteria the educational institution uses regarding the transfer of course credit earned at another educational institution. (ii)A list of educational institutions that will accept transfer of course credit for specific programs of education offered by the educational institution. (iii)A list of educational institutions from which the educational institution will accept transfer of course credit for specific programs offered by that educational institution. (iv)Any changes by the educational institution in such policies and established criteria that first took effect in the most recent one-year period. (O)A statement of the requirements of any refund policies of the educational institution. (P)A statement of the requirements for officially withdrawing from a course of education at the educational institution. (Q)The standards which a student must maintain in order to be considered to be making satisfactory progress in a course of education at the educational institution. (R)A description of the services available at the educational institution that are tailored specifically to meet the needs of individuals receiving assistance under this chapter, any of chapters 30 through 35 of this title, or chapter 106A or 1606 of title 10, including services provided under section 3679A(a) of this title. (S)In the case of an educational institution that advertises job placement rates as a means of attracting students to enroll in the educational institution, such information as may be necessary to substantiate the truthfulness of the claims made in such advertising. (3)The information disclosed and made readily available under paragraph (1) to individuals and students described in subparagraphs (A) and (B) of such paragraph, respectively, shall be disclosed and made readily available— (A)in language that can be easily understood by such individuals and students; and (B)in a uniform manner that is appropriate for such individuals and students, including by publications, mailings, and electronic media. ; and (2)in subsection (b)(2)(A), as amended by section 2(b)(2), in the matter before clause (i), by inserting subsection (f) and after Subject to. (b)

Educational assistance for persons enlisting for active duty

(1)

In general

Chapter 106A of title 10, United States Code, is amended by inserting after section 2149 the following new section:

2149A.

Disclosure requirements of educational institutions

The Secretary may not provide a payment of educational expenses under an educational assistance program established under section 2141 of this title for instruction at an accredited institution (as defined in section 2143 of this title) unless such institution discloses and makes readily available the information described in paragraph (2) of section 3672(f) of title 38 as described in paragraph (3) of such section to— (1)each individual considering enrolling in the course of education at or before the moment at which the individual applies for enrollment in such course of education; (2)each student who is enrolled in the course of education each year the student is so enrolled; and (3)the public.

. (2)

Clerical amendment

The table of sections at the beginning of chapter 106A of such title is amended by adding at the end the following new item: 2149A. Disclosure requirements of educational institutions. . (c)

Effective date

Subsection (f) of section 3672 of title 38, United States Code, as added by subsection (a)(1), and section 2149A of title 10, United States Code, as added by subsection (b)(1), shall take effect on August 1, 2013.

4.

Additional requirements of educational institutions for support of veterans and members of Armed Forces

(a)

Requirements

(1)

In general

Subchapter I of chapter 36 of title 38, United States Code, is amended by adding at the end the following new section:

3679A.

Additional requirements

(a)

Provision of counseling and services

(1)An educational institution with 20 or more covered individuals enrolled in programs of education at the educational institution may not be approved under this chapter unless the educational institution provides adequate academic and student support services (as determined by the Secretary), including remediation, tutoring, and career and job placement counseling services to such covered individuals. (2)The Secretary may, on a case-by-case basis, waive the requirement to provide services under paragraph (1) for an educational institution for an academic year if— (A)the Secretary determines that the educational institution has demonstrated that providing such services during such academic year would lead to severe financial hardship; and (B)the educational institution submits to the Secretary a plan to provide such services during the following academic year. (b)

Minimum standards for employment of points of contact

Except as provided in paragraph (2), an educational institution may not be approved under this chapter unless the educational institution employs a number of full-time equivalent employees that the Secretary considers adequate, but not less than one full-time equivalent employee, who— (1)acts as a point of contact for covered individuals on matters relating to educational assistance available to individuals under this chapter and chapters 30 through 35 of this title and under chapters 106A and 1606 of title 10; (2)is knowledgeable about such educational assistance and such other financial aid, admissions, counseling and referral services, and matters relating to postsecondary education as are important to the educational success of covered individuals; and (3)is available to assist covered individuals on a full-time basis. (c)

Covered individual defined

In this section, the term covered individual, with respect to enrollment in a program of education, means an individual who is receiving educational assistance under this chapter or any of chapters 30 through 35 of this title or under chapters 106A and 1606 of title 10 for such program of education.

. (2)

Clerical amendment

The table of sections at the beginning of chapter 36 of such title is amended by inserting after the item relating to section 3679 the following new item: 3679A. Additional requirements. . (b)

Conforming amendment

Section 3672(b)(2)(A) of such title (as amended by section 3(a)(2)) is further amended by striking and 3696 and inserting 3696, and 3679A. (c)

Effective date

Section 3679A of such title, as added by paragraph (1), shall take effect on August 1, 2013.

5.

State approving agencies

(a)

Education and outreach

(1)

In general

Subchapter I of chapter 36 of title 38, United States Code, is amended by inserting after section 3674A the following new section:

3674B.

Education and outreach

(a)

Education and outreach required

As a condition on receipt of reimbursement expenses under section 3674 of this title, each State approving agency shall conduct such education and outreach activities for individuals who are eligible to receive or are receiving educational assistance under this chapter or any of chapters 30 through 35 of this title as the Secretary considers appropriate to assist such individuals in making well-informed choices about their education and successfully tran­si­tion­ing into an educational environment. (b)

Coordination

Each State approving agency conducting outreach activities under subsection (a) shall coordinate with the Secretary of Defense to ensure, as the Secretary of Defense considers appropriate, that information on educational assistance available under this chapter and chapters 30 through 35 of this title is made readily available as part of the Transition Assistance Program (TAP) of the Department of Defense in the State of the State approving agency. (c)

Manner

Information made available as part of education and outreach activities under this section shall be made— (1)in language that can be easily understood by individuals described in paragraph (1); (2)in a uniform and easily accessible manner; and (3)through such means as may be appropriate and effective, including through publications, mailings, and electronic media.

. (2)

Clerical amendment

The table of sections at the beginning of chapter 36 of such title is amended by inserting after the item relating to section 3674A the following new item: 3674B. Education and outreach. . (b)

Audits

Section 3673(d) of such title is amended— (1)by inserting (1) before The Secretary; and (2)by adding at the end the following new paragraph: (2)Each year, each State approving agency, as a condition of receiving reimbursement of expenses under section 3674 of this title, shall conduct such audits as the Secretary considers appropriate, including unannounced audits and audits using risk-based approaches, of educational institutions in the State of the State approving agency that have students enrolled in programs of education at the educational institutions who are receiving educational assistance under this chapter or any of chapters 30 through 35 of this title (without regard to whether the Secretary or the State approving agency approved the courses offered) in such State— (A)to detect misrepresentation, fraud, waste, and abuse; (B)to ensure full compliance with the provisions of this chapter; and (C)for such other purposes as the Secretary considers appropriate. . (c)

Reports

Section 3674(a)(3) of such title is amended— (1)by inserting (A) before Each State; and (2)by adding at the end the following new subparagraph: (B)Each report submitted under subparagraph (A) shall include the following: (i)The number of visits made by the agency to educational institutions, including the number of such visits that were made without the prior knowledge of such educational institution. (ii)A description of the audits carried out by the agency under section 3673(d)(2) of this title and the findings of the agency, including with respect to any substantiated findings of misrepresentation, fraud, waste, abuse, or failure to comply with an applicable requirement of this chapter and the steps taken by the agency to address such fraud, waste, abuse, or failure to comply. (iii)A description of the outreach and training activities conducted by the agency under section 3674B of this title. . (d)

Effective date

The amendments made by this section shall take effect on August 1, 2013.

6.

Mandatory compliance reviews

(a)

In general

Section 3693 of title 38, United States Code, is amended by adding at the end the following new subsection: (c)In addition to the annual compliance surveys conducted under subsection (a), the Secretary shall also conduct a compliance review, in accordance with such regulations as the Secretary shall prescribe, of an educational institution described in such subsection whenever the Secretary finds any of the following: (1)The number of student enrollments at, or the rate of student enrollments of, the educational institution has increased rapidly. (2)The student dropout rate of the institution has increased rapidly. (3)The cohort default rate, as defined in section 435(m) of the Higher Education Act of 1965 (20 U.S.C. 1085(m)), of the educational institution has increased rapidly or is consistently higher than the average of cohort default rate of comparable educational institutions. (4)The number of substantiated complaints filed under section 3697C(a)(1) of this title with respect to the educational institution have increased rapidly or is consistently higher than the number of substantiated complaints filed with respect to other comparable educational institutions. (5)The educational institution is the subject of a civil lawsuit in Federal or State court, is charged with a crime under Federal or State law, or is the subject of an official investigation of a State or Federal agency for misconduct. (6)The educational institution has significant growth in revenue resulting from tuition, including tuition paid with assistance provided under this chapter, chapters 30 through 35 of this title, or chapters 106A or 1606 of title 10, which cannot be attributed to changes made to such chapters by Acts of Congress or changes to the administration of such chapters. (7)Such other findings as the Secretary considers warrant conducting a compliance survey under subsection (a). . (b)

Effective date

Subsection (c) of such section, as added by subsection (a), shall take effect on August 1, 2013.

7.

Training and counseling so veterans and members of the Armed Forces can make informed decisions about education

(a)

In general

Subchapter II of chapter 36 of title 38, United States Code, is amended by adding at the end the following new section:

3697B.

Required one-on-one educational counseling

(a)

Provision of counseling required

(1)The Secretary of Veterans Affairs shall provide individualized, one-on-one educational counseling to all individuals considering pursuing a program of education with assistance furnished under this chapter or any of chapters 30 through 35 of this title. (2)The Secretary of Defense shall provide individualized, one-on-one educational counseling to all individuals considering pursuing a program of education with assistance furnished under chapter 106A or 1606 of title 10. (b)

Time and manner of counseling

(1)Counseling provided under subsection (a) to an individual described in such subsection considering a program of education shall be provided at or before the individual enrolls in such program as follows: (A)To such individuals who have received fewer than 1/3 of the credits necessary to complete the program of education, a complete version of such counseling. (B)To such individuals who have received 1/3 or more of the credits necessary to complete the program of education, a condensed version of such counseling as the Secretary of Veterans Affairs or the Secretary of Defense, as the case may be, considers appropriate. (2)To the extent practicable, counseling provided under subsection (a) to an individual described in paragraph (1)(A) of this subsection shall be provided in person. (3)The Secretary of Veterans Affairs and the Secretary of Defense shall each establish, by regulation, procedures by which individuals may receive counseling provided under subsection (a) when receipt of such counseling in person is not practicable. (c)

Elements

A complete version of counseling provided under subsection (b)(1) for an individual shall include the following: (1)An overview of educational assistance available to the individual under this chapter and chapters 30 through 35 of this title or under chapters 106A and 1606 of title 10, as the case may be. (2)Development of a personalized academic and career plan. (3)An overview of the information disclosed and made readily available under section 3672(f)(1) of this title relevant to the academic and career plan developed under paragraph (2). (4)A discussion of how enrollment in the program of education at the educational institution will affect the individual's academic and career plan and the financial implications for such individual of such enrollment. (5)An introduction to the College Navigator Internet website of the Department of Education. (d)

Qualified counselors

Counseling provided under subsection (a) may only be provided by properly trained counselors, as determined by the Secretary of Veterans Affairs and the Secretary of Defense. (e)

Use of information disclosed by educational institutions

In providing educational assistance under this section, the Secretary of Veterans Affairs and the Secretary of Defense shall, to the degree practicable, use the information disclosed and made readily available under section 3672(f)(1) of this title. (f)

Links to College Navigator Internet website of Department of Education

The Secretary of Veterans Affairs and the Secretary of Defense shall provide links on the Internet websites of the Department of Veterans Affairs of the Department of Defense, respectively, to the College Navigator Internet website of the Department of Education in such a manner as the Secretary of Veterans Affairs and the Secretary of Defense consider appropriate to inform veterans and members of the Armed Forces of the availability of and the benefits of using the College Navigator Internet website.

. (b)

Clerical amendment

The table of sections for chapter 36 of such title is amended by adding at the end the following new item: 3697B. Required one-on-one educational counseling. . (c)

Clarification

(1)

Heading of section 3697A of title 38

Section 3697A of such title is amended, in the heading, by adding by election at the end. (2)

Table of sections

The table of sections for chapter 36 of such title is amended by amending the item relating to section 3697A to read as follows: 3697A. Educational and vocational counseling by election. . (d)

Effective date

Section 3697B of such title, as added by paragraph (1), shall take effect on August 1, 2013, and shall apply with respect to individuals considering pursuing programs of education as described in subsection (a) of such section after such date.

8.

Coordination and oversight of educational assistance programs

(a)

In general

Subchapter II of chapter 36 of title 38, United States Code, as amended by section 6, is further amended by adding at the end the following new section:

3697C.

Coordination and oversight

(a)

Development of centralized complaints process

(1)Not later than 180 days after the date of the enactment of the Military and Veterans Educational Reform Act of 2012, the Secretary of Veterans Affairs and the Secretary of Defense shall each establish, by regulation, a process whereby persons are able to submit to the Secretaries, including by submitting via State approving agencies, complaints regarding educational institutions relevant to the provision of educational assistance provided under this chapter and chapters 30 through 35 of this title and under chapters 106A and 1606 of title 10, including complaints regarding misrepresentation, fraud, waste, and abuse. (2)The process required by paragraph (1) shall include procedures to address complaints in a timely manner, including review and investigation of such complaints. (3)Each year, the Secretary of Veterans Affairs and the Secretary of Defense shall each compile the information they collect under this subsection and share such information with each other and the Secretary of Education, as otherwise allowed under law. (b)

Information sharing between Secretary of Veterans Affairs, Secretary of Defense, and Secretary of Education

(1)Not later than 180 days after the date of the enactment of the Military and Veterans Educational Reform Act of 2012, the Secretary of Veterans Affairs and the Secretary of Defense shall each establish, by regulation, a process by which information may be reported by their respective departments to the Secretary of Education and each other regarding information with respect to substantiated acts by educational institutions of misrepresentation, fraud, waste, or abuse or failure to comply with an applicable requirement of this chapter or other information considered appropriate by the reporting Secretary by an educational institution at which an individual is enrolled in a program of education for which the individual receives educational assistance under this chapter, any of chapters 30 through 35 of this title, or chapter 106A or 1606 of title 10 relevant to the purpose and effective implementation of Federal programs of educational assistance provided under such chapters. (2)Not later than 180 days after the date of the enactment of the Military and Veterans Educational Reform Act of 2012, the Secretary of Education shall establish a process by which the Secretary of Education notifies the Secretary of Veterans Affairs and the Secretary of Defense of the following with respect to educational institutions: (A)Substantiated acts by educational institutions of misrepresentation, fraud, waste, or abuse. (B)Loss of accreditation. (C)Loss of eligibility under title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.). (D)Has been reported by a Federal or State agency or a nationally recognized accrediting agency or association as failing to comply with, or has a significant risk of failing to comply with, a provision of Federal or State law or a requirement that is a condition for accreditation established by a nationally recognized accrediting agency or association. (E)Such other information as the Secretary of Education considers appropriate. (c)

Annual report on educational assistance provided by Department of Veterans Affairs and Department of Defense

(1)Not less frequently than once each year, the Secretary of Veterans Affairs and the Secretary of Defense shall each submit to Congress a report on the provision of educational assistance under this chapter and chapters 30 through 35 of this title and under chapters 106A and 1606 of title 10, respectively. (2)Each report submitted under subsection (a) shall include, for the period covered by the report and disaggregated by for-profit and not-for-profit educational institutions, the following: (A)The number of individuals who received assistance under laws administered by the respective Secretary. (B)The amounts of assistance provided. (C)A description of any complaints reported under subsection (a) to the respective Secretary or State approving agencies by such individuals with respect to the receipt or use of educational assistance under laws administered by the respective Secretary. (D)All substantiated reports of misrepresentation, waste, fraud, abuse, or other acts that are inconsistent with the requirements of this chapter by an educational institution at which an individual is enrolled in a program of education for which the individual is receiving educational assistance under a law administered by the respective Secretary. (E)A list of educational institutions which had courses of education that were approved under this chapter in the previous year but were found, in the year covered by the report, not in compliance with a requirement of such chapter. (F)Such recommendations for legislative or regulatory action as the respective Secretary considers appropriate to improve the provision of educational assistance under the laws administered by the respective Secretary. (G)An assessment of the academic performance of individuals who received educational assistance described in paragraph (1), including graduation rates and dropout rates. (H)A list of educational institutions that were approved under this chapter, disaggregated by educational institutions approved under section 3676 of this title.

. (b)

Clerical amendment

The table of sections at the beginning of chapter 36 of such title, as amended by section 6, is further amended by adding at the end the following new item: 3697C. Coordination and oversight. .