Sec. 101. Definitions
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Section 103 of the Higher Education Act of 1965 ( 20 U.S.C. 1003 ) is amended by adding at the end the following: The term CIP code means the six-digit taxonomic identification code assigned by an institution of higher education to a specific program of study at the institution, determined by the institution in accordance with the Classification of Instructional Programs published by the National Center for Education Statistics. The term credential level means the level of the degree or other credential awarded by an institution of higher education to students who complete a program of study of the institution.
Each degree or other credential awarded by an institution shall be categorized by the institution as either undergraduate credential level or graduate credential level. When used with respect to a credential or credential level, the term undergraduate credential includes credentials such as an undergraduate certificate, an associate degree, a bachelor’s degree, and a post-baccalaureate certificate. When used with respect to a credential or credential level, the term graduate credential includes credentials such as a master’s degree, a doctoral degree, a professional degree, and a postgraduate certificate.
The term program of study means an academic program of study offered to students by an institution of higher education that— upon completion of the program, results in the award of a credential to a student, including a degree, diploma, or certificate, for one credential level; is certified as a program of study in the institution’s program participation agreement under section 487; and is classified by a combination of— a CIP code; and one credential level, determined by the credential awarded upon completion of the program.
The term program length means the minimum amount of time in weeks, months, or years that is specified in the catalog, marketing materials, or other official publications of an institution of higher education for a full-time student to complete the requirements for a specific program of study and to obtain the degree or credential awarded by such program. The term time to credential means, with respect to a student, the actual amount of time in weeks, months, or years it takes the student to complete the requirements for a specific program of study and to obtain the degree or credential awarded by such program.
With respect to a student who received Federal financial aid under title IV and who completed a program of study offered by an institution of higher education, the term value-added earnings means— the annual earnings of such student measured during the applicable earnings measurement period for such program (as determined under subparagraph (C)); minus in the case of a student who completed a program of study that awards— an undergraduate credential (other than such a credential awarded by a qualifying undergraduate program as defined in section 455(a)(4)(B)(ii)), 150 percent of the poverty line applicable to a single individual as determined under section 673(2) of the Community Services Block Grant Act ( 42 U.S.C. 9902(2) ) for such year; or a graduate credential or an undergraduate credential awarded by a qualifying undergraduate program as defined in section 455(a)(4)(B)(ii), 300 percent of the poverty line applicable to a single individual as determined under section 673(2) of the Community Services Block Grant Act ( 42 U.S.C. 9902(2) ) for such year.
Except as provided in clause (ii), the Secretary shall use the geographic location of the institution at which a student completed a program of study to adjust the value-added earnings of the student calculated under subparagraph
(A)by dividing— the difference between subclauses
(I)and
(II)of such subparagraph; by the most recent regional price parity index of the Bureau of Economics Analysis for the State or, as applicable, metropolitan area in which such institution is located. The value-added earnings of a student calculated under subparagraph
(A)shall not be adjusted based on geographic location in accordance with clause
(i)if such student attended principally through distance education. For the purpose of calculating the value-added earnings of a student, except as provided in clause (ii), the annual earnings of a student shall be measured— in the case of a program of study that awards an undergraduate certificate, post baccalaureate certificate, or graduate certificate, one year after the student completes such program; in the case of a program of study that awards an associate’s degree or master’s degree, 2 years after the student completes such program; and in the case of a program of study that awards a bachelor’s degree, doctoral degree, or professional degree, 4 years after the student completes such program. The Secretary may, as the Secretary determines appropriate based on the characteristics of a program of study, extend an earnings measurement period described in clause
(i)for a program of study that— requires completion of an additional educational program after completion of the program of study in order to obtain a licensure associated with the credential awarded for such program of study; and when combined with the program length of such additional educational program for licensure, has a total program length that exceeds the relevant earnings measurement period prescribed for such program of study under clause (i), except that in no case shall the annual earnings of a student be measured more than 5 years after the student completes a program of study. .
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