Sec. 4612. Amendments to institutional and financial assistance
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Subsection
(k)of section 485 ( 20 U.S.C. 1092 ) is repealed. Section 485 of the Higher Education Act of 1965 ( 20 U.S.C. 1092 ) is amended by inserting after subsection
(j)the following: Each institution of higher education participating in any program under this title shall— have designated an appropriate staff person as a liaison to assist homeless individuals described in section 725 of the McKinney-Vento Homeless Assistance Act ( 42 U.S.C. 11434a ) and foster care youth in accessing and completing postsecondary education, including by ensuring that such homeless individuals and foster care youth are connected to applicable and available student support services, programs, and community resources in areas such as financial aid, academic advising, housing, food, public benefits, health care, health insurance, mental health, child care, transportation benefits, and mentoring; post public notice about student financial assistance and other assistance available to such homeless individuals and foster care youth, including their eligibility as independent students under subparagraphs
(B)and
(H)of sections 480(d)(1); give priority for any institutionally owned or operated housing facilities, including student housing facilities that remain open for occupation during school breaks or on a year-round basis, to— homeless individuals described in section 725 of the McKinney-Vento Homeless Assistance Act ( 42 U.S.C. 11434a ); youth who are unaccompanied, at risk of homelessness, and self-supporting; and foster care youth; have developed a plan for how such homeless individuals, youth who are unaccompanied, at risk of homelessness, and self-supporting, and foster care youth can access housing resources during and between academic terms, through means that may include access to institutionally owned or operated housing during breaks and a list of housing resources in the community that provide short-term housing; and include, in its application for admission, questions (to be answered voluntarily) regarding the applicant’s status as a homeless individual or foster care youth, that— can be answered by the applicant voluntarily for the limited purpose of being provided information about financial aid or any other available assistance; explain the key terms in the question in a manner children and youth can understand in order to self-identify and declare eligibility as a homeless individual or foster care youth; and with consent of the applicant, may be shared with the liaison after admission but prior to the beginning of the next academic term. . Section 485(l) of the Higher Education Act of 1965 ( 20 U.S.C. 1092(l) ) is amended to read as follows: Each eligible institution shall ensure that each individual who receives a loan made under part D (other than a Federal Direct Consolidation Loan or a loan made under section 460A and 460B) receives comprehensive information on the terms and conditions of such loan and the responsibilities the individual has with respect to such loan. Such information shall be provided, for each award year for which the individual receives such loan, in a simple and understandable manner— during a counseling session conducted in person; online, with the individual acknowledging receipt of the information; or through the use of the online counseling tool described in subsection (n)(1)(B). In the case of institutions not using the online counseling tool described in subsection (n)(1)(B), the Secretary shall require such institutions to carry out the requirements of subparagraph
(A)through the use of interactive programs, during an annual counseling session that is in-person or online, that tests the individual’s understanding of the terms and conditions of the loan awarded to the individual, using simple and understandable language and clear formatting. The information to be provided under paragraph (1)(A) to each individual receiving counseling under this subsection shall include the following: An explanation of how the individual may budget for typical educational expenses and a sample budget based on the cost of attendance for the institution. An explanation that an individual has a right to annually request a disclosure of information collected by a consumer reporting agency pursuant to section 612(a) of the Fair Credit Reporting Act ( 15 U.S.C. 1681j(a) ). An introduction to the financial management resources provided by the Consumer Financial Protection Bureau. The information to be provided under paragraph (1)(A) to a borrower of a loan made under part D (other than a Federal Direct PLUS Loan made on behalf of a dependent student) shall include the following: A notification that some students may qualify for other financial aid and an explanation that the borrower should consider accepting any grant, scholarship, or State or Federal work-study jobs for which the borrower is eligible prior to accepting student loans. To the extent practicable, the effect of accepting the loan to be disbursed on the eligibility of the borrower for other forms of student financial assistance. An explanation of the use of the student loan contract referred to in section 432(m)(1)(D). An explanation that the borrower is not required to accept the full amount of the loan offered to the borrower. An explanation of the approved educational expenses for which the borrower may use a loan made under part D. A recommendation to the borrower to exhaust the borrower’s Federal student loan options prior to taking out private education loans, an explanation that Federal student loans typically offer better terms and conditions than private education loans, an explanation that Federal student loans offer consumer protections typically not available in the private education loan market, an explanation of treatment of loans made under part D and private education loans in bankruptcy, and an explanation that if a borrower decides to take out a private education loan— the borrower has the ability to select a private educational lender of the borrower’s choice; the proposed private education loan may impact the borrower’s potential eligibility for other financial assistance, including Federal financial assistance under this title; and the borrower has a right— to accept the terms of the private education loan within 30 calendar days following the date on which the application for such loan is approved and the borrower receives the required disclosure documents, pursuant to section 128(e) of the Truth in Lending Act ( 15 U.S.C. 1638(e) ); and to cancel such loan within 3 business days of the date on which the loan is consummated, pursuant to section 128(e)(7) of such Act ( 15 U.S.C. 1638(e)(7) ). The interest rate for the loan, as of the date of the counseling. Information on how interest accrues and is capitalized during periods when the interest is not paid by either the borrower or the Secretary. In the case of a Federal Direct PLUS Loan or a Federal Direct Unsubsidized Stafford Loan, the option of the borrower to pay the interest while the borrower is in school. The definition of half-time enrollment at the institution, during regular terms and summer school, if applicable, and the consequences of not maintaining at least half-time enrollment. An explanation of the importance of contacting the appropriate offices at the institution of higher education if the borrower withdraws prior to completing the borrower’s program of study so that the institution can provide exit counseling, including information regarding the borrower’s repayment options and loan consolidation. The obligation of the borrower to repay the full amount of the loan, regardless of whether the borrower completes or does not complete the program in which the borrower is enrolled within the regular time for program completion. The likely consequences of default on the loan, including adverse credit reports, delinquent debt collection procedures under Federal law, and litigation. Notice of the institution’s most recent adjusted cohort default rate (calculated in accordance with section 435(m)(1)(D)), an explanation of the adjusted cohort default rate, the most recent national average adjusted cohort default rate, and the most recent national average adjusted cohort default rate for the category of institution described in section 435(m)(4) to which the institution belongs. Information on the National Student Loan Data System and how the borrower can access the borrower’s records. The contact information for the institution’s financial aid office or other appropriate office at the institution the borrower may contact if the borrower has any questions about the borrower’s rights and responsibilities or the terms and conditions of the loan. For a first-time borrower, in addition to all the information described in subparagraphs
(A)through (P)— a statement of the anticipated balance on the loan for which the borrower is receiving counseling under this subsection; based on such anticipated balance, the anticipated monthly payment amount under, at minimum— the fixed repayment plan described in section 493E; and the income-based repayment plan under section 493C(f), as determined using regionally available data from the Bureau of Labor Statistics of the average starting salary for the occupation in which the borrower has an interest in or intends to be employed; an estimate of the projected monthly payment amount under each repayment plan described in clause (ii), based on the average cumulative indebtedness at graduation for borrowers of loans made under part D who are in the same program of study as the borrower and the expected increase in the cost of attendance of such program; and information on the annual and aggregate loan limits for Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford Loans as it pertains to the loan for which the borrower is receiving counseling, and a statement that such aggregate borrowing limit may change based on the borrower’s student status (whether undergraduate or graduate) or if there is a change in the borrower’s dependency status. For a borrower with an outstanding balance of principal or interest due on a loan made under this title, in addition to all the information described in subparagraphs
(A)through (P)— information on each student loan that the institution is aware that the student has borrowed, including Federal loans, private loans, and loans from the institution; the total amount of the outstanding balance and interest accrued from the Federal student loans described in clause (i); for each Federal loan described in clause (i), the interest rate for the loan, as of the date of the counseling, and a statement that the interest rate on student loans may vary based on when the loan was borrowed and other factors; based on such outstanding balance for the Federal student loans, the anticipated monthly payment amount under the fixed repayment plan described in section 493E, the income-based repayment plan under section 493C(f), and any other repayment plan for which each loan may be eligible, calculated using regionally available data from the Bureau of Labor Statistics of the average starting salary for the occupation the borrower intends to be employed; an estimate of the projected monthly payment amount under each repayment plan described in clause (iv), based on— the outstanding balance described in clause (ii); the anticipated outstanding balance on the loan for which the student is receiving counseling under this subsection; and a projection for any other loans made under part D that the borrower is reasonably expected to accept during the borrower’s program of study based on at least the average cumulative indebtedness at graduation for borrowers of loans made under part D who are in the same program of study as the borrower and the expected increase in the cost of attendance of such program; a statement that the outstanding balance described in clause (ii), the interest rate described in clause (iii), and the monthly amount described in clause
(iv)and clause
(v)does not include any amounts that the student may be required to repay for private or institutional loans; and the percentage of the total aggregate borrowing limit that the student has reached, as of the date of the counseling, for Federal Direct Stafford Loans and Federal Direct Unsubsidized Stafford Loans, and a statement that such aggregate borrowing limit may change based on the borrower’s student status (whether undergraduate or graduate) or if there is a change in the borrower’s dependency status. The information to be provided under paragraph (1)(A) to a borrower of a Federal Direct PLUS Loan made on behalf of a dependent student shall include the following: A notification that some students may qualify for other financial aid and an explanation that the student for whom the borrower is taking out the loan should consider accepting any grant, scholarship, or State or Federal work-study jobs for which the borrower is eligible prior to borrowing Parent PLUS Loans. The information described in subparagraphs
(B)through
(D)and
(L)through
(O)of paragraph (3). The interest rate for the loan, as of the date of the counseling. The option of the borrower to pay the interest on the loan while the loan is in deferment. Debt management strategies that are designed to facilitate the repayment of such indebtedness. An explanation that the borrower has the options to prepay each loan, pay each loan on a shorter schedule, and change repayment plans. For each Federal Direct PLUS Loan made on behalf of a dependent student for which the borrower is receiving counseling under this subsection, the contact information for the loan servicer of the loan and a link to such servicer’s Website. For a first-time borrower of such loan— a statement of the anticipated balance on the loan for which the borrower is receiving counseling under this subsection; based on such anticipated balance, the anticipated monthly payment amount under the fixed repayment plan described in section 493E, the income-based repayment plan under section 493C(f), and any other repayment plan for which each loan may be eligible; and an estimate of the projected monthly payment amount under the fixed repayment plan described in section 493E, the income-based repayment plan under section 493C(f), and any other repayment plan for which each loan may be eligible, based on the average cumulative indebtedness of other borrowers of Federal Direct PLUS Loans made on behalf of dependent students who are in the same program of study as the student on whose behalf the borrower borrowed the loan and the expected increase in the cost of attendance of such program. For a borrower with an outstanding balance of principal or interest due on such loan— a statement of the amount of such outstanding balance; based on such outstanding balance, the anticipated monthly payment amount under the fixed repayment plan described in section 493E, the income-based repayment plan under section 493C(f), and any other repayment plan for which each loan may be eligible; and an estimate of the projected monthly payment amount under the fixed and income-based repayment plans, based on— the anticipated outstanding balance on the loan for which the borrower is receiving counseling under this subsection; and a projection for any other Federal Direct PLUS Loan made on behalf of the dependent student that the borrower is reasonably expected to accept during the program of study of such student based on at least the average cumulative indebtedness of other borrowers of Federal Direct PLUS Loans made on behalf of dependent students who are in the same program of study as the student on whose behalf the borrower borrowed the loan and the expected increase in the cost of attendance of such program. Prior to making the first disbursement of a loan made under part D (other than a Federal Direct Consolidation Loan or a loan made under section 460A and 460B) to a borrower for an award year, an eligible institution, shall, as part of carrying out the counseling requirements of this subsection for the loan, ensure that after receiving the applicable counseling under paragraphs (2), (3), and
(4)for the loan the borrower accepts the loan for such award year by— signing and returning to the institution the student loan contract for the loan referred to in section 432(m)(1)(D) that affirmatively states that the borrower accepts the loan; or electronically signing an electronic version of the student loan contract described in subparagraph (A). . Section 485 of the Higher Education Act of 1965 ( 20 U.S.C. 1092 ), as amended by this section, is further amended by adding at the end the following: Beginning not later than 18 months after the date of enactment of the College Affordability Act , the Secretary shall maintain— an online counseling tool that provides the exit counseling required under subsection
(b)and meets the applicable requirements of this subsection; and an online counseling tool that provides the annual counseling required under subsection
(l)and meets the applicable requirements of this subsection. In developing and maintaining the online counseling tools described in paragraph (1), the Secretary shall ensure that each such tool is— consumer tested, in consultation with other relevant Federal agencies and including students (low-income students and student veterans, and students’ families) and borrowers, institutions of higher education, secondary school and postsecondary counselors, and nonprofit consumer groups, to ensure that the tool is effective in helping individuals understand their options, rights, and obligations with respect to borrowing a loan made under part D; and freely available to all eligible institutions. The Secretary shall— use each online counseling tool described in paragraph
(1)to keep a record of which individuals have received counseling using the tool, and notify the applicable institutions of the individual’s completion of such counseling; in the case of a borrower who receives annual counseling for a loan made under part D using the tool described in paragraph (1)(B), notify the borrower by when the borrower should accept, in a manner described in subsection (l)(5), the loan for which the borrower has received such counseling; and in the case of a borrower described in subsection (b)(1)(B) at an institution that uses the online counseling tool described in paragraph (1)(A) of this subsection, the Secretary shall attempt to provide the information described in subsection (b)(1)(A) to the borrower through such tool. . Section 485 of the Higher Education Act of 1965 ( 20 U.S.C. 1092 ), as amended by this section, is further amended by adding at the end the following: Each institution of higher education participating in any program under this title that requests, receives, or exercises or intends to exercise a religious exemption to the requirements of title IX of the Education Amendments of 1972 ( 20 U.S.C. 1681 et seq.) shall submit in writing to the Assistant Secretary for Civil Rights a statement by the highest ranking official of the institution, identifying the provisions of part 106 of title 34 of the Code of Federal Regulations that conflict with a specific tenet of the religious organization and shall publish on its website, in a prominent location, the following: Each letter submitted by the educational institution to the Department to request such an exemption. Each letter from the Department to the educational institution that grants or denies such an exemption. Notice that the educational institution has requested an exemption under section 901(a)(3) of the Education Amendments of 1972 ( 20 U.S.C. 1681(a)(3) ). If applicable, notice that the educational institution has received an exemption under section 901(a)(3) of the Education Amendments of 1972 ( 20 U.S.C. 1681(a)(3) ). A list of the personal characteristics or behaviors to which each requested or granted exemption applies. A list of the activities or programs to which each exemption applies. The statement Students continue to have rights under title IX of the Education Amendments of 1972. Any student who experiences discrimination may contact the Office for Civil Rights at the United States Department of Education at _____ or _____. , with the first blank space being filled with a link to the website of the Office for Civil Rights and the second blank space being filled with the telephone number of the Office for Civil Rights. . Section 485 of the Higher Education Act of 1965 ( 20 U.S.C. 1092 ), as amended by this section, is further amended by adding at the end the following: Each institution of higher education participating in any program under this title shall develop and make available, including on the institution’s website, a statement of policy concerning expectant and parenting students, which shall include, at a minimum— the institution’s policy regarding leaves of absence related to pregnancy (and related medical conditions), and the birth or adoption of a child, which shall include— any policies related to the availability of parental leave; options, including time requirements, for making up missed work for students who take a leave of absence; and information regarding lactation accommodations available to students; a description of the process for requesting accommodations, and the type of accommodations available to expectant and parenting students, including— information on accommodations for pregnancy-related medical conditions; and information on accommodations for students who have parental responsibilities; information regarding financial aid eligibility for expectant and parenting students, including— the availability of dependent care allowances for a parenting student for the purposes of determining the student’s cost of attendance; the ability to change dependency status, including during an award year, following the birth of a child; and an explanation of the effect that a leave of absence may have on a student’s demonstration of satisfactory academic progress, including for the purposes of eligibility to participate in financial aid programs under this title; information on available student support services, programs, and community resources, such as academic advising, child care (including child care subsidy and assistance programs), housing (including housing subsidies and utility assistance programs), food (including food assistance programs), public benefits, health care, health insurance, mental health, transportation benefits, mentoring, and other services available for expectant and parenting students, both on-campus and in the community, and under local, State, and Federal law; information regarding the availability of on-campus housing that permits students to live with dependents; information on the rights and protections that are guaranteed to expectant and parenting students under applicable Federal and State laws; the institution’s procedures for addressing complaints under title IX of the Education Amendments of 1972 ( 20 U.S.C. 1681 et seq.), including procedures for reporting complaints under such title; the institution’s procedures for addressing complaints alleging discrimination based on a pregnancy-related disability under section 504 of the Rehabilitation Act of 1973 ( 29 U.S.C. 701 et seq.) or the Americans with Disabilities Act of 1990 ( 42 U.S.C. 12101 et seq.), including procedures for reporting complaints under such laws; and the contact information for the institution’s Office of Accessibility, the institution’s Title IX coordinator, and any other relevant staff members who serve as a point of contact for, or offer services available to, expectant and parenting students. .
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Sec. 4612
Amendments to institutional and financial assistance
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