[Congressional Record Volume 150, Number 108 (Monday, September 13, 2004)]
[Senate]
[Pages S9137-S9140]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. ENZI (for himself, Mr. Baucus, Mr. Alexander, Mrs. Dole, 
        and Mr. Lieberman):
  S. 2795. A bill to provide for higher education affordability, 
access, and opportunity; to the Committee on Health, Education, Labor, 
and Pensions.
  Mr. ENZI. Mr. President, I rise today to introduce the Higher 
Education Affordability, Access and Opportunity Act of 2004 with my 
colleagues Senators Baucus, Alexander, Dole and Lieberman.
  We are introducing this bipartisan legislation because we are aware 
that the American workforce is in the midst

[[Page S9138]]

of its most significant changes since the 1940s. In the past year, this 
economy has created nearly 1.7 million new jobs, yet the complaint from 
employers continues to be that they cannot find skilled workers to fill 
the jobs that are being created. Our educational systems must recognize 
this changing reality and be ready to provide the support for a new 
group of students that represents a workforce revolution.
  This skills gap promises to get worse unless Congress acts now to 
provide the assistance necessary to train a generation of workers that 
will fill the jobs of tomorrow. The Department of Labor has estimated 
that as many as 80 percent of the jobs being created over the next 10 
years will require some postsecondary education. This will include many 
adult learners who will return to college for additional training. This 
also includes new students attending college for the first time later 
in life to obtain new skills or to improve their current skills.
  Congress needs to ensure that we have a comprehensive system of 
workforce education and training established, one that includes the 
Workforce Investment Act, the Higher Education Act, and career and 
technical education, as well as elementary and secondary education. The 
needs of the new workforce will require a lifelong commitment to 
learning, where workers are able to return to school and re-enter the 
workforce seamlessly.
  Many workers in my home State are leaving to find better jobs 
elsewhere. To create the kind of good jobs with good futures that will 
keep people in Wyoming, we need workers with the skills that the new, 
global economy demands. Whether a company decides to open a plant in 
Casper or China, they depend on a qualified local workforce.
  This legislation would help meet the needs of businesses today and 
into the future. It would help postsecondary institutions develop and 
implement curriculum related to high skilled or high-wage occupations. 
It would also provide support for institutions to increase their 
capacity to serve adult learners and students pursuing high-growth 
occupations.
  This legislation would provide additional assistance for first-time 
college students who are attending school to receive advanced skill 
training or are looking to improve their skill set to enter high-wage 
or high-skilled occupations.
  This legislation also provides support for small business owners, 
operators, and their employees to receive skill training at 
institutions of higher education so our small businesses can continue 
to lead the economic growth of our Nation.
  This legislation also provides support for rural communities to 
recruit and retrain elementary and secondary education, so these areas 
can prepare their students for college and entry into the workforce 
with the skills they need to succeed, not only in postsecondary 
education, but in life.
  This legislation also helps students better understand the cost of 
attending college by making the information collected by the Department 
of Education more accessible. Helping prospective students understand 
how to obtain aid and help pay for college is just as important as 
making sure students have access to the financial aid to support them 
through college.
  I look forward to working with Chairman Gregg to advance these ideas 
to ensure that the American workforce is prepared with the skills 
necessary to successfully compete in the global economy.
  I ask unanimous consent that the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 2795

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Higher Education 
     Affordability, Access, and Opportunity Act of 2004''.

     SEC. 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''.

     SEC. 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,''.

     SEC. 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:

                      ``PART F--JOB SKILL TRAINING

     ``Subpart 1--Job Skill Training in High-Growth Occupations or 
                               Industries

     ``SEC. 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

[[Page S9139]]

     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).

       ``Subpart 2--Small Business Innovation Partnership Grants

     ``SEC. 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.

                 ``Subpart 3--Administrative Provisions

     ``SEC. 378. AUTHORIZATION OF APPROPRIATIONS.

       ``There are authorized to be appropriated to carry out this 
     part $65,000,000 for fiscal year 2005 and such sums as may be 
     necessary for each of the 4 succeeding fiscal years.''.

     SEC. 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.

     SEC. 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:

     ``SEC. 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.--

[[Page S9140]]

       ``(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 2005 and each of the 
     4 succeeding fiscal years.''.

     SEC. 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;''.

  Mr. ALEXANDER. Mr. President, it is my pleasure to co-sponsor, the 
Higher Education Access, Affordability and Opportunity Act being 
introduced to day by Senator Enzi. This legislation is an issue of 
great concern to Senators and our constituents: job loss. There is 
really nothing new about job loss in America. Our strength as an 
economy is not measured by how many jobs we lose; it is measured by how 
many good new jobs we create to replace those jobs and how well we 
train those people to fill those jobs. We don't want to lose any jobs. 
We want to recognize the pain that goes with moving from one job to 
another. But, the best thing we can do about job loss is to create an 
environment in which good new jobs can grow and to offer the training 
resources necessary to hold those jobs.
  Senator Enzi believes, as do I, that a comprehensive approach to 
creating jobs and training workers is necessary to adapt to the 
changing demands of the modern economy. The Higher Education Act was 
enacted to give more students a change to attend college. It was not 
intended to be a job training bill, nor should it become one. There is, 
however, a need to create a stronger partnership between institutions 
of higher education and the 21st century workforce. The goal of access 
to higher education and the goal of training a highly skilled workforce 
are not mutually exclusive.
  Community colleges are our secret weapons in workforce development. 
This bill used our secret weapon to create a competitive grant program 
to help community colleges develop academic programs focusing on areas 
of high-growth employment. Among other things, it provides additional 
subsidized loans for high-growth job sector training programs such as 
technology and health care.
  In higher education we focus really on two principles: The first is 
autonomy and the second is choice. We allow generous amounts of 
government money to follow students to the schools of their choice. 
These principles provide students with flexibility to choose among fast 
moving institutions, and facilitate contracts with businesses. These 
competitive grants and additional subsidized loans will give local 
governments both the resources necessary and autonomy to work with 
their local community colleges to develop programs that will train 
workers for the jobs that are available within their communities.
  I will continue to work with Senator Enzi on these important 
legislative initiatives and make them a part of the reauthorization of 
the Higher Education Act.
                                 ______