HR 4054
· 119th Congress
· Education
Accreditation Choice and Innovation Act
Sponsor
Latest action
Placed on the Union Calendar, Calendar No. 360.
Action timeline
Every recorded action on this bill, newest first. Stage badges color-code the legislative path.
Dec 18, 2025
committee
Reported (Amended) by the Committee on Education and Workforce. H. Rept. 119-414.
Education and Workforce Committee
Dec 18, 2025
other
Placed on the Union Calendar, Calendar No. 360.
Jun 25, 2025
committee
Committee Consideration and Mark-up Session Held
Education and Workforce Committee
Jun 25, 2025
committee
Ordered to be Reported (Amended) by the Yeas and Nays: 21 - 15.
Education and Workforce Committee
Jun 20, 2025
introduced
Introduced in House
Jun 20, 2025
introduced
Referred to the House Committee on Education and Workforce.
Education and Workforce Committee
Text versions
Each stage of the bill — official text published by GPO. Click any format to read on congress.gov / govinfo.
CRS summaries
Plain-English summaries written by the Congressional Research Service — neutral, nonpartisan staff who summarize bills as they advance through stages. The authoritative description of what each version of the bill does.
07
Reported to House
Dec 18, 2025
Accreditation Choice and Innovation Act
This bill revises the accreditation process for reviewing the quality of education offered by institutions of higher education (IHEs).
Under current law, an IHE seeking to participate in many federal programs (e.g., federal student aid programs) must be accredited by an agency recognized by the Department of Education (ED) as a reliable authority on the quality of the education being offered at the IHE. An ED-recognized accrediting agency must meet various provisions under the Higher Education Act of 1965 and in regulations.
Under this bill, states may designate an entity (e.g., an industry-specific quality assurance entity) as an accrediting agency for programs or IHEs in the state. The bill outlines the requirements for the state to submit a plan to ED and for ED to respond to the plan.
Additionally, the bill provides an accelerated path to recognition by authorizing ED to recognize new accrediting agencies within two years of their application.
ED must convene a panel of experts to develop common terminology for accrediting agencies to use in making accrediting decisions and publish those recommendations.
Further, the bill (1) requires accrediting agencies to establish specified standards for measures assessing student success (e.g., labor market outcomes), and (2) requires accrediting agencies to establish procedures for assessing compliance with agency standards that reflect an IHE's risk of losing accreditation.
The bill reauthorizes through September 30, 2028, and revises the National Advisory Committee on Institutional Quality and Integrity, which advises ED on matters related to accreditation.
via Congressional Research Service · published through congress.gov
Changelog
ⓘ
How a bill moves through Congress. Each stage produces a new official text. The diff between them shows what changed at that step.
ih / is — Introduced in House / Senate. First filed version.rfh / rfs — Referred to a committee for review.rh / rs — Reported back by the committee to the floor (often with amendments — this is where most language changes happen).pcs / pch — Placed on Calendar for floor consideration.eh / es — Engrossed. Passed by the originating chamber. Text is now what was actually voted on.rdh / rds — Received by the other chamber.eah / eas — Engrossed Amendment. The other chamber passed an amended version.ath / ats — Agreed to. Both chambers settled on the same text.enr — Enrolled. Final reconciled text, sent to the President.pl — Public Law. Signed by the President. It's now law.pp — Public Print. Official printing post-enactment.
Most bills die before eh/es. Going from pcs → enr is the full path through both chambers.
ⓘ
How a bill moves through Congress. Each stage produces a new official text. The diff between them shows what changed at that step.
ih/is— Introduced in House / Senate. First filed version.rfh/rfs— Referred to a committee for review.rh/rs— Reported back by the committee to the floor (often with amendments — this is where most language changes happen).pcs/pch— Placed on Calendar for floor consideration.eh/es— Engrossed. Passed by the originating chamber. Text is now what was actually voted on.rdh/rds— Received by the other chamber.eah/eas— Engrossed Amendment. The other chamber passed an amended version.ath/ats— Agreed to. Both chambers settled on the same text.enr— Enrolled. Final reconciled text, sent to the President.pl— Public Law. Signed by the President. It's now law.pp— Public Print. Official printing post-enactment.
Most bills die before eh/es. Going from pcs → enr is the full path through both chambers.
Line-level diff between text versions of this bill — what actually changed at each legislative stage.
+363
−230
211 unchanged
--- Introduced (House)
+++ Reported (House)
@@ -1,12 +1,15 @@
[From the U.S. Government Publishing Office]
-[H.R. 4054 Introduced in House (IH)]
+[H.R. 4054 Reported in House (RH)]
<DOC>
+Union Calendar No. 360
119th CONGRESS
1st Session
H. R. 4054
+[Report No. 119-414]
+
To amend the Higher Education Act of 1965 to reform accreditation.
_______________________________________________________________________
@@ -17,6 +20,19 @@
Mr. Fine introduced the following bill; which was referred to the
Committee on Education and Workforce
+
+December 18, 2025
+
+Additional sponsor: Mr. Messmer
+
+December 18, 2025
+
+Reported with an amendment, committed to the Committee of the Whole
+House on the State of the Union, and ordered to be printed
+[Strike out all after the enacting clause and insert the part printed
+in italic]
+[For text of introduced bill, see copy of bill as introduced on June
+20, 2025]
_______________________________________________________________________
@@ -54,8 +70,10 @@
principal'' and inserting ``a''; and
(B) in subparagraph (B), by striking ``or'' at the
end;
-(C) in subparagraph (C), by inserting ``or'' at the
-end; and
+(C) in subparagraph (C)--
+(i) by striking ``its principal'' and
+inserting ``a''; and
+(ii) by inserting ``or'' at the end; and
(D) by adding at the end the following:
``(D) is an entity (such as an industry-specific
quality assurance entity) that has been--
@@ -101,13 +119,21 @@
organization (referred to in
this subclause as a `public
member') and who represents
-business; and
+business (such as an owner of a
+business (including a small
+business), a chief executive or
+operating officer of a
+business, or another other
+business executive or employer
+with optimum policymaking or
+hiring authority); and
``(bb) if such board or
body is comprised of 6 or more
members, there is a minimum of
2 public members (at least one
-of whom represents business)
-for every 6 members;
+of whom represents business (as
+described in item (aa))) for
+every 6 members;
``(III) guidelines are established
for such members to avoid conflicts of
interest, including specific guidelines
@@ -129,8 +155,8 @@
without any review by, consultation
with, or approval by any related,
associated, or affiliated trade
-association or membership
-organization;'';
+association or membership organization;
+or'';
(B) by striking ``or'' at the end of subparagraph
(B); and
(C) by striking subparagraph (C);
@@ -142,45 +168,43 @@
(ii) by striking ``and'' at the end; and
(B) by striking subparagraph (B) and inserting the
following:
-``(B) such accrediting agency or association
-consistently applies and enforces standards that
-respect the stated religious mission of an institution
-of higher education by--
-``(i) basing decisions regarding
-accreditation and preaccreditation on the
-standards of accreditation of such agency or
-association; and
+``(B) such accrediting agency or association consistently
+applies and enforces standards that respect the stated
+religious mission of an institution of higher education by--
+``(i) basing decisions regarding accreditation and
+preaccreditation on the standards of accreditation of
+such agency or association; and
``(ii) not using as a negative factor the
institution's religious mission based policies,
-decisions, and practices in the areas covered
-by subparagraphs (B), (C), (D), (E), and (F) of
-paragraph (5), except that the agency or
-association may require that the institution's
-or a program of study's curricula include all
-core components required by the agency or
-association that are not inconsistent with the
-institution's religious mission; and
-``(C) such agency or association demonstrates the
-ability to review, evaluate, and assess the quality of
-any instruction delivery model or method such agency or
-association has or seeks to include within its scope of
-recognition, without giving preference to or
-differentially treating (such as through separate
-standards, procedures, or policies) a particular
-instruction delivery model or method offered by an
-institution or program, except that in a case in which
-an instruction delivery model allows for the separation
-of the student from the instructor, the agency or
-association requires the institution to have processes
-through which the institution establishes that the
-student who registers in a course or program with such
-an instruction delivery model is the same student who
-participates in the course or program of study
-(including, to the extent practicable, the testing or
-other assessments required under the course or program
-of study), completes the course or program of study,
-and receives the academic credit for such course or
-program of study;''; and
+decisions, and practices in the areas covered by
+subparagraphs (B), (C), (D), (E), and (F) of paragraph
+(5), except that the agency or association may require
+that the institution's or a program of study's
+curricula include all core components required by the
+agency or association that are not inconsistent with
+the institution's religious mission; and
+``(C) such agency or association demonstrates the ability
+to review, evaluate, and assess the quality of any instruction
+delivery model or method such agency or association has or
+seeks to include within its scope of recognition, without
+giving preference to or differentially treating (such as
+through separate standards, procedures, or policies) a
+particular instruction delivery model or method offered by an
+institution or program, except that in a case in which an
+instruction delivery model allows for the separation of the
+student from the instructor, the agency or association requires
+the institution to have processes--
+``(i) through which the institution establishes
+that the student who registers in a course or program
+with such an instruction delivery model is the same
+student who participates in the course or program of
+study (including, to the extent practicable, the
+testing or other assessments required under the course
+or program of study), completes the course or program
+of study, and receives the academic credit for such
+course or program of study; and
+``(ii) which are implemented in a manner that is
+minimally burdensome to the student;'';
(6) in paragraph (5)--
(A) by amending subparagraph (A) to read as
follows:
@@ -193,19 +217,13 @@
shall include--
``(i) standards for consideration of
student success outcomes measures, including--
-``(I) a comparison of the total
-price charged to students for a program
-of study to the value-added earnings of
-students who completed such program
-(such as a comparison, with respect to
-students who completed the program in
-the same award year, of the median
-total price charged to such students to
-the median value-added earnings of such
-students);
+``(I) a comparison of the median
+total price charged to students in a
+program of study student cohort to the
+value-added earnings of such cohort;
``(II) completion rates;
``(III) retention rates; and
-``(IV) loan repayment rates);
+``(IV) loan repayment rates;
``(ii) standards for consideration of
learning outcomes measures (such as competency
attainment and licensing examination passage
@@ -213,16 +231,20 @@
``(iii) standards for consideration of
labor market outcomes measures (such as
employability measures, earnings gains, or
-other similar approaches); and''; and
+other similar approaches);''; and
(B) by amending subparagraph (I) to read as
follows:
``(I) record of student complaints received by, or
-available to, the agency or association, and a process
-for resolving complaints received by the institution;
-and''; and
+available to, the agency or association, and the
+institution's process for resolving complaints against
+the institution; and'';
(C) in the matter following subparagraph (J), by
striking ``subparagraphs (A), (H), and (J)'' and
-inserting ``subparagraph ((J)''.
+inserting ``subparagraph (J)''; and
+(7) in paragraph (6)(A)(ii), by inserting before the
+semicolon at the end the following: ``(including any student
+complaints received by, or available to, the agency or
+association)''.
(b) Secretarial Requirements and Authority.--Subsection (b) of
section 496 of the Higher Education Act of 1965 (20 U.S.C. 1099b) is
amended to read as follows:
@@ -230,30 +252,62 @@
``(1) State designated accrediting agency.--
``(A) Approval of state plans.--The Secretary
shall--
-``(i) approve a State's designation of an
-entity as an accrediting agency or association
-for the purposes described in subsection
-(a)(2)(D) for a 5-year period, beginning not
-later than 30 days after receipt of the plan
-from such State with respect to such
-designation, if such plan includes each of the
+``(i) if a State's plan with respect to the
+State's designation of an entity as an
+accrediting agency or association for the
+purposes described in subsection (a)(2)(D)
+includes each of the elements listed in
+subparagraph (B)--
+``(I) subject to clause (ii)(I),
+approve the State's designation of such
+entity as such accrediting agency or
+association for the purposes described
+in subsection (a)(2)(D) for a 5-year
+period, beginning not later than 30
+days after receipt of the plan from
+such State with respect to such
+designation;
+``(II) submit to the State and the
+authorizing committees, and make
+publicly available, the Secretary's
+response to the State with respect to
+such plan, including whether the plan
+includes each of the elements listed in
+subparagraph (B); and
+``(III) publish in the Federal
+Register, with a 30-day public comment
+period, the plan submitted by such
+State with respect to such designation,
+and the Secretary's response to such
+plan; and
+``(ii) if, not later than 30 days after the
+30-day public comment period referred to in
+clause (i)(III), a State revises the State's
+plan approved under clause (i)(I) to
+incorporate one or more of the comments
+received during such 30-day comment period, and
+such revised plan includes each of the elements
+listed in subparagraph (B)--
+``(I) revise the 5-year period
+described in clause (i)(I) approving
+the State's designation of the entity
+as an accrediting agency or association
+for the purposes described in
+subsection (a)(2)(D) to begin not later
+than 30 days after receipt of such
+revised plan;
+``(II) submit to the State and the
+authorizing committees, and make
+publicly available, the Secretary's
+response to the State with respect to
+such revised plan, including whether
+such revised plan includes each of the
elements listed in subparagraph (B);
-``(ii) submit to the State and the
-authorizing committees, and make publicly
-available the Secretary's response to the State
-with respect to such plan, including whether
-the plan includes each of the elements listed
-in subparagraph (B); and
-``(iii) if a State's designation of an
-entity as an accrediting agency or association
-is approved pursuant to this subparagraph,
-publish in the Federal Register with a 30-day
-public comment period--
-``(I) the plan submitted by such
-State with respect to such designation;
and
-``(II) the Secretary's response to
-such plan.
+``(III) publish in the Federal
+Register, such revised State plan, and
+the Secretary's response to such
+revised State plan.
``(B) Required plan elements.--The required
elements of a State plan submitted under subparagraph
(A) with respect to the designation of an entity as an
@@ -346,21 +400,39 @@
association will submit to the Secretary monitoring
reports regarding accreditation or preaccreditation
decisions, as appropriate.
-``(3) Development of common terminology.--Not later than 18
-months after the date of enactment of the Accreditation Choice
-and Innovation Act, the Secretary shall--
-``(A) convene a panel of experts to develop common
-terminology for accrediting agencies or associations to
-use in making accrediting decisions with respect to
-programs of study and institutions, such as a common
-understanding of monitoring, warning, show cause, and
-other relevant statuses, as appropriate; and
-``(B) publish the recommendations for such common
-terminology in the Federal Register with a 60-day
-public comment period.''.
+``(3) Development of common terminology.--
+``(A) In general.--Not later than 18 months after
+the date of enactment of the Accreditation Choice and
+Innovation Act, the Secretary shall--
+``(i) convene a panel of experts to develop
+common terminology for accrediting agencies or
+associations to use in making accrediting
+decisions with respect to programs of study and
+institutions, such as a common understanding of
+monitoring, warning, show cause, and other
+relevant statuses, as appropriate;
+``(ii) publish in the Federal Register with
+a 60-day public comment period, the
+recommendations for such common terminology;
+and
+``(iii) if the panel revises any
+recommendations published pursuant to clause
+(ii) based on the comments received during the
+60-day public comment period, publish such
+revised recommendations in the Federal Register
+not later than 60 days after such 60-day
+comment period.
+``(B) Federal advisory committee act.--Chapter 10
+of title 5, United States Code, shall not apply to the
+panel convened under this paragraph.
+``(C) Termination.--The panel convened under this
+paragraph shall terminate on the date that is 60 days
+after the 60-day public comment period referred to in
+subparagraph (A)(ii).''.
(c) Operating Procedures Required.--
(1) On-site inspections and reviews.--Paragraph (1) of
-section 496(c) (20 U.S.C. 1099b(c)) is amended--
+section 496(c) of the Higher Education Act of 1965 (20 U.S.C.
+1099b(c)) is amended--
(A) by inserting ``(which may vary based on
institutional risk consistent with policies promulgated
by the agency or association to determine such risk and
@@ -369,8 +441,8 @@
(B) by striking ``, including those regarding
distance education''.
(2) Mechanism to identify institutions and programs
-experiencing difficulties.--Section 496(c) (20 U.S.C. 1099b(c))
-is further amended--
+experiencing difficulties.--Section 496(c) of the Higher
+Education Act of 1965 (20 U.S.C. 1099b(c)) is further amended--
(A) by redesignating paragraphs (2) through (9) as
paragraphs (3) through (10), respectively; and
(B) by inserting after paragraph (1) the following:
@@ -392,9 +464,9 @@
``(ii) ensure that such plan is
successfully implemented;''.
(3) Procedures with respect to substantive changes.--
-Paragraph (5) of section 496(c) (20 U.S.C. 1099b(c)) (as
-redesignated by paragraph (2)(A)) is amended to read as
-follows:
+Paragraph (5) of section 496(c) of the Higher Education Act of
+1965 (20 U.S.C. 1099b(c)) (as redesignated by paragraph (2)(A))
+is amended to read as follows:
``(5) establishes and applies or maintains policies to
ensure that any substantive change of an institution described
in subparagraph (B) after the agency or association has granted
@@ -429,8 +501,8 @@
than 50 percent of the instruction of a program
of study of the institution with such
accreditation or preaccreditation status;''.
-(4) Public availability.--Section 496(c) (20 U.S.C.
-1099b(c)) is further amended--
+(4) Public availability.--Section 496(c) of the Higher
+Education Act of 1965 (20 U.S.C. 1099b(c)) is further amended--
(A) in paragraph (8) (as redesignated by paragraph
(2)(A))--
(i) in the matter preceding subparagraph
@@ -460,15 +532,17 @@
``(C) the anticipated date of the institution's
next evaluation for reaccreditation;''.
(5) Prohibition on assessment of elected or appointed
-officials.--Section 496(c) (20 U.S.C. 1099b(c)) is further
-amended by adding at the end the following:
+officials.--Section 496(c) of the Higher Education Act of 1965
+(20 U.S.C. 1099b(c)) is further amended by adding at the end
+the following:
``(12) confirms that the standards for accreditation of the
agency or association do not assess the roles (including
actions or statements) of elected and appointed State and
Federal officials and legislative bodies; and''.
(6) Prohibition of practices that result in credential
-inflation.--Section 496(c) (20 U.S.C. 1099b(c)) is further
-amended by adding at the end the following:
+inflation.--Section 496(c) of the Higher Education Act of 1965
+(20 U.S.C. 1099b(c)) is further amended by adding at the end
+the following:
``(13) confirms that an institution's or program of study's
compliance with a standard for accreditation of the agency or
association does not require the institution or program to take
@@ -476,26 +550,28 @@
would result in a violation of any other such standard
(including the standards for consideration of student success
outcomes described in subsection (a)(5)(A)(i) that relate to
-comparing the total price charged to students for a program of
-study to the value-added earnings of students who completed
-such program).''.
-(d) Limitation on Scope of Criteria.--Section 496 (20 U.S.C. 1099b)
-is further amended by amending subsection (g) to read as follows:
+comparing the median total price charged to students in a
+program of study student cohort to the value-added earnings of
+such cohort).''.
+(d) Limitation on Scope of Criteria.--Section 496 of the Higher
+Education Act of 1965 (20 U.S.C. 1099b) is further amended by amending
+subsection (g) to read as follows:
``(g) Limitation on Scope of Criteria.--
``(1) In general.--The Secretary shall not establish
criteria for accrediting agencies or associations that are not
required by this section.
-``(2) Institutional eligibility.--An institution of higher
-education shall meet the accreditation requirements for
+``(2) Institutional eligibility.--An institution that is in
+compliance with the standards of its accrediting agency or
+association that assess the institution in accordance with
+subsection (a)(5) shall meet the accreditation requirements for
certification as an institution of higher education under
-section 102 and subpart 3 of this part, if the institution is
-in compliance with the standards of its accrediting agency or
-association that assess the institution in accordance with
-subsection (a)(5), regardless of any additional standards
-adopted by the agency or association for purposes unrelated to
-participation in programs under this title.''.
-(e) Change of Accrediting Agency.--Section 496 (20 U.S.C. 1099b) is
-further amended by amending subsection (h) to read as follows:
+section 102 and subpart 3 of this part, regardless of any
+additional standards adopted by the agency or association for
+purposes unrelated to participation in programs under this
+Act.''.
+(e) Change of Accrediting Agency.--Section 496 of the Higher
+Education Act of 1965 (20 U.S.C. 1099b) is further amended by amending
+subsection (h) to read as follows:
``(h) Change of Accrediting Agency or Association.--
``(1) In general.--With respect to an institution or
program of study that is not subject to a covered action and
@@ -542,8 +618,9 @@
``(E) The institution is in the process of a
substantive change (as described in subsection
(c)(5)).''.
-(f) Dual Accreditation Rule.--Section 496 (20 U.S.C. 1099b) is
-further amended by amending subsection (i) to read as follows:
+(f) Dual Accreditation Rule.--Section 496 of the Higher Education
+Act of 1965 (20 U.S.C. 1099b) is further amended by amending subsection
+(i) to read as follows:
``(i) Dual Accreditation Rule.--
``(1) Recognition by secretary.--The Secretary shall
recognize the accreditation of any otherwise eligible
@@ -553,14 +630,22 @@
``(2) Designation by institution.--If the institution is
accredited, as an institution, by more than one accrediting
agency or association, the institution--
-``(A) shall designate which agency's or
-association's accreditation shall be utilized in
-determining the institution's eligibility for
-participation in programs under this Act; and
-``(B) may change this designation at the end of the
-institution's period of recognition.''.
-(g) Religious Institutions Rule.--Section 496 (20 U.S.C. 1099b) is
-further amended by amending subsection (k) to read as follows:
+``(A) shall--
+``(i) designate which agency's or
+association's accreditation shall be utilized
+in determining the institution's eligibility
+for participation in programs under this Act;
+and
+``(ii) the period such agency's or
+association's accreditation shall be so
+utilized; and
+``(B) after the period described in subparagraph
+(A)(ii), the institution may designate a different
+agency's or association's accreditation to be utilized
+in accordance with subparagraph (A)(i).''.
+(g) Religious Institutions Rule.--Section 496 of the Higher
+Education Act of 1965 (20 U.S.C. 1099b) is further amended by amending
+subsection (k) to read as follows:
``(k) Religious Institution Rule.--
``(1) In general.--Notwithstanding subsection (j), the
Secretary shall allow an institution that has had its
@@ -678,8 +763,14 @@
institution's right to respond to the response
of the agency or association.
``(E) Secretarial action.--
-``(i) In general.--During the 30-day period
-described in subparagraph (D)(i)--
+``(i) In general.--Not later than 30 days
+after the institution submits a response
+pursuant to subparagraph (D)(i), or, in the
+case of an institution that waives the
+institution's right to respond in accordance to
+subparagraph (D)(ii), 30 days after the date on
+which the agency or association's response is
+filed with the Secretary--
``(I) the Secretary shall review
the materials to determine if the
accrediting agency or association has
@@ -751,9 +842,13 @@
``(i) In general.--The Secretary may only
issue regulations and guidance under this
paragraph that explain or clarify the process
-for providing notice of an intent to file a
-complaint or for filing a complaint under this
-paragraph.
+for providing a notice of an intent to file a
+complaint under this paragraph, and for
+preparing and filing such a complaint, a
+response to such complaint by an accrediting
+agency or association, and a response by an
+institution to a response filed by an
+accrediting agency or association.
``(ii) Clarification.--The Secretary may
not issue regulations, guidance, or otherwise
determine or suggest, when discussions to
@@ -762,18 +857,21 @@
an institution of higher education referred to
in subparagraph (A)(i)(II)(bb) have failed or
will fail.''.
-(h) Independent Evaluation.--Section 496(n)(3) (20 U.S.C.
-1099b(n)(3)) is amended by striking the last sentence.
-(i) Regulations.--Section 496(o) (20 U.S.C. 1099b(o)) is amended by
-inserting before the period at the end the following: ``, or with
-respect to the policies and procedures of an accreditation agency or
-association described in paragraph (2) or (5) of subsection (c) or how
-the agency or association carries out such policies and procedures''.
-(j) Risk-Based Review Processes or Procedures; Waiver.--Section 496
-(20 U.S.C. 1099b) is further amended--
+(h) Independent Evaluation.--Section 496(n)(3) of the Higher
+Education Act of 1965 (20 U.S.C. 1099b(n)(3)) is amended by striking
+the last sentence.
+(i) Regulations.--Section 496(o) of the Higher Education Act of
+1965 (20 U.S.C. 1099b(o)) is amended by inserting before the period at
+the end the following: ``, or with respect to the policies and
+procedures of an accreditation agency or association described in
+paragraph (2) or (5) of subsection (c) or how the agency or association
+carries out such policies and procedures''.
+(j) Risk-based Review Processes or Procedures; Waiver.--Section 496
+of the Higher Education Act of 1965 (20 U.S.C. 1099b) is further
+amended--
(1) by striking subsections (p) and (q); and
(2) by adding at the end the following:
-``(p) Risk-Based or Differentiated Review Processes or
+``(p) Risk-based or Differentiated Review Processes or
Procedures.--
``(1) In general.--Notwithstanding any other provision of
law (including subsection (a)(4)(A)), an accrediting agency or
@@ -810,11 +908,11 @@
institution or program of study in accordance with
subsection (a)(5) (such as on-site inspections); and
``(D) may require an institution or program of
-study that has declining performance (such as an
-institution or program of study with a high-risk
-designation described in subparagraph (B)), which has
-not improved as required by the annual plan submitted
-under subsection (c)(2)(B), to take actions to avoid or
+study that is required to submit an annual plan under
+subsection (c)(2)(B) (such as an institution or program
+that has a high-risk designation described in
+subparagraph (B)) and that has not improved as required
+by such annual plan, to take actions to avoid or
minimize the risks that may lead to revocation of
accreditation (such as limiting certain program of
study enrollment or recommending to the Secretary to
@@ -825,9 +923,10 @@
discriminate against, or otherwise preclude, institutions of
higher education based on institutional sector or category,
including an institution of higher education's tax status.''.
-(k) Definitions.--Section 496 (20 U.S.C. 1099b) is further amended
-by adding at the end the following:
-``(q) Definitions.--For purposes of this Act:
+(k) Definitions.--Section 496 of the Higher Education Act of 1965
+(20 U.S.C. 1099b) is further amended by adding at the end the
+following:
+``(q) Definitions.--For purposes of this section:
``(1) Program length.--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
@@ -874,7 +973,21 @@
credentials such as a master's degree, a
doctoral degree, a professional degree, and a
postgraduate certificate.
-``(3) Religious mission.--The term `religious mission'--
+``(3) Program of study student cohort.--
+``(A) In general.--The term `program of study
+student cohort' means the cohort of individuals who
+completed a specific program of study at an institution
+of higher education during the same award year, except
+that such cohort shall only include an individual who
+received Federal financial aid under this title during
+the period the individual was enrolled in such program
+of study.
+``(B) Small cohorts.--With respect to such a
+program of study student cohort that has fewer than 30
+individuals, the Secretary shall aggregate additional
+years of data for the program of study in order to
+achieve a cohort of at least 30 individuals.
+``(4) Religious mission.--The term `religious mission'--
``(A) means a published institutional mission that
is approved by the governing body of an institution of
higher education and that includes, refers to, or is
@@ -886,7 +999,7 @@
or decisions concerning housing, employment,
curriculum, self-governance, or student admission,
continuing enrollment, or graduation).
-``(4) Total price.--With respect to a student who received
+``(5) Total price.--With respect to a student who received
Federal financial assistance under this title and who completes
a program of study, the term `total price' means the total
amount, before Federal financial assistance under this title
@@ -900,77 +1013,70 @@
``(B) the total amount of grants and scholarships
described in section 480(i) awarded to such student
from non-Federal sources for such program of study.
-``(5) Value-added earnings.--
-``(A) In general.--With respect to a student who
-received Federal financial aid under this title and who
-completed a program of study offered by an institution
-of higher education, the term `value-added earnings'
-means--
-``(i) the annual earnings of such student
-measured during the applicable earnings
-measurement period for such program (as
-determined under subparagraph (C)); minus
-``(ii) in the case of a student who
-completed a program of study that awards--
-``(I) an undergraduate credential,
-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
-``(II) a graduate credential, 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.
-``(B) Geographic adjustment.--
-``(i) In general.--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--
-``(I) the difference between
-clauses (i) and (ii) of such
-subparagraph; by
-``(II) 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.
-``(ii) Exception.--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.
-``(C) Earnings measurement period.--
-``(i) In general.--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--
+``(6) Value-added earnings.--
+``(A) Value-added earnings.--
+``(i) In general.--The term `value-added
+earnings' mean--
+``(I) the median annual earnings of
+a program of study student cohort, as
+adjusted pursuant to clause (iii) (as
+appropriate), minus
+``(II) the product of--
+``(aa) 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
+the year in which such earnings
+were measured; and
+``(bb) the applicable
+percentage described in clause
+(ii).
+``(ii) Applicable percentage.--The
+applicable percentage described in this clause
+is--
``(I) in the case of a program of
+study student cohort for program of
study that awards an undergraduate
-certificate, post baccalaureate
-certificate, or graduate certificate, 1
-year after the student completes such
-program;
+credential, 150 percent; and
``(II) 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
-``(III) 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.
+study student cohort for a program of
+study that awards a graduate
+credential, 300 percent.
+``(iii) Geographic adjustment.--Except in
+the case of a program of study student cohort
+in which 50 percent or more of the individuals
+in such cohort participated exclusively online,
+the Secretary shall adjust the median annual
+earnings of a program of study student cohort
+by the regional price parity index of the
+Bureau of Economic Analysis for the
+metropolitan statistical area in which the
+institution offering such program is located.
+``(B) Annual earnings.--
+``(i) Annual earnings.--The term `annual
+earnings' means the earnings of an individual
+who is in a program of study student cohort,
+who is working, and who is not enrolled at an
+institution, measured--
+``(I) in the case of an
+undergraduate certificate, post-
+baccalaureate certificate, or graduate
+certificate, 1 year after completion of
+such program;
+``(II) in the case of an associates
+or masters degree, 2 years after
+completion of such program; and
+``(III) in the case of bachelor's
+degree, doctoral degree, or
+professional degree, 4 years after
+completion of such program.
``(ii) Exception.--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--
+extend the applicable measurement period under
+clause (i) for a program of study that--
``(I) requires completion of an
additional educational program (such as
a residency or fellowship) after
@@ -984,18 +1090,18 @@
educational program for licensure or
board certification, has a total
program length that exceeds the
-relevant earnings measurement period
-prescribed for such program of study
-under clause (i),
+applicable measurement period under
+clause (i) for such program of study,
except that in no case shall the annual
-earnings of a student be measured more than 1
-year after the student completes such
+earnings of an individual be measured more than
+1 year after the individual completes such
additional educational program.''.
SEC. 3. NATIONAL ADVISORY COMMITTEE ON INSTITUTIONAL QUALITY AND
INTEGRITY (NACIQI).
-Section 114 (20 U.S.C. 1011c) is amended--
+Section 114 of the Higher Education Act of 1965 (20 U.S.C. 1011c)
+is amended--
(1) in subsection (b)--
(A) in paragraph (2), by redesignating
subparagraphs (A) through (C) as clauses (i) through
@@ -1028,7 +1134,7 @@
described in paragraph (2)(B)), such member
shall vacate such office and a new member shall
be appointed to serve the remainder of such
-term in accordance with this paragraph.''
+term in accordance with this paragraph.'';
(2) in subsection (c)--
(A) in paragraph (4), by adding ``and'' at the end;
(B) in paragraph (5), by striking ``; and'' at the
@@ -1043,4 +1149,31 @@
regulation''; and
(5) in subsection (f), by striking ``September 30, 2021''
and inserting ``September 30, 2028''.
-<all>
+
+SEC. 4. RULE OF CONSTRUCTION.
+
+Nothing in this Act, or the amendments made by this Act, shall be
+construed to prevent religious accreditors from holding and enforcing
+religious standards on institutions they choose to accredit.
+Union Calendar No. 360
+
+119th CONGRESS
+
+1st Session
+
+H. R. 4054
+
+[Report No. 119-414]
+
+_______________________________________________________________________
+
+A BILL
+
+To amend the Higher Education Act of 1965 to reform accreditation.
+
+_______________________________________________________________________
+
+December 18, 2025
+
+Reported with an amendment, committed to the Committee of the Whole
+House on the State of the Union, and ordered to be printed
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