Sec. 9. Assistance to progress period institutions
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Part H of title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1099a et seq.) is amended by adding at the end the following: The Secretary shall provide grants and technical assistance to covered progress period institutions in accordance with this section. Grants and assistance provided under this section shall be used to improve student achievement (as described in section 496(a)(5)(A)) at covered progress period institutions. Grants and assistance may be provided under this section for a period of not less than one year and not more than three years.
To continue to receive support under this section after the first year in which such support is provided, an institution must show progress, as determined by the Secretary, toward meeting the standards for student achievement established by the relevant accrediting agency or association pursuant to section 496(a)(5)(A). In determining the progress of an institution under subparagraph (A), the Secretary may take into consideration extenuating circumstances that may have contributed to the poor performance of the institution in the first year of the review period.
An institution that does not achieve an adjusted cohort default rate of less than 10 percent after receiving support under this section for three consecutive years shall be ineligible to receive further support under this section. An institution shall be ineligible to receive further support under this section if, while the institution was receiving such support, the total enrollment of low-income students (as such term is defined in section 419N(b)(7)) at the institution decreased by 10 percent or more.
In this section, the term covered progress period institution means— a public institution of higher education that is determined to be in progress period status; a part B institution (as defined in section 322) that is determined to be in progress period status; or a private, nonprofit institution of higher education— that is determined to be in progress period status; and at which not less than 45 percent of the total student enrollment consists of low-income students (as such term is defined in section 419N(b)(7)).
There are appropriated such funds as the Secretary, using the formula described in paragraph (2), determines necessary to meet the needs of all eligible institutions under this subsection. Not later than 1 year after the date of the enactment of this section, the Secretary shall establish through negotiated rulemaking a formula to determine the— proportional amount of institutional need under this section; and total amount of institutional need under this section. Such formula must at minimum take into consideration the severity of the problem, size of the institution, institutional resources, historical underfunding, and the number of low-income students (as such term is defined in section 419N(b)(7)) being served. .
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Sec. 9
Assistance to progress period institutions
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