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20 U.S.C. § 1094a — Regulatory relief and improvement

Federal law — U.S. Code and appendices · legal_authorities

20 U.S.C. § 1094a — Regulatory relief and improvement

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Source location: Title 20, Chapter 28, § 1094a; chapter-028-higher-education-resources-and-student-assistance.md

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**(a) Quality Assurance Program** (1) **In general** — The Secretary is authorized to select institutions for voluntary participation in a Quality Assurance Program that provides participating institutions with an alternative management approach through which individual schools develop and implement their own comprehensive systems, related to processing and disbursement of student financial aid, verification of student financial aid application data, and entrance and exit interviews, thereby enhancing program integrity within the student aid delivery system. (2) **Criteria and consideration** — The Quality Assurance Program authorized by this section shall be based on criteria that include demonstrated institutional performance, as determined by the Secretary, and shall take into consideration current quality assurance goals, as determined by the Secretary. The selection criteria shall ensure the participation of a diverse group of institutions of higher education with respect to size, mission, and geographical distribution. (3) **Waiver** — The Secretary is authorized to waive for any institution participating in the Quality Assurance Program any regulations dealing with reporting or verification requirements in this subchapter that are addressed by the institution’s alternative management system, and may substitute such quality assurance reporting as the Secretary determines necessary to ensure accountability and compliance with the purposes of the programs under this subchapter. The Secretary shall not modify or waive any statutory requirements pursuant to this paragraph. (4) **Determination** — The Secretary is authorized to determine— (A) when an institution that is unable to administer the Quality Assurance Program shall be removed from such program; and (B) when institutions desiring to cease participation in such program will be required to complete the current award year under the requirements of the Quality Assurance Program. (5) **Review and evaluation** — The Secretary shall review and evaluate the Quality Assurance Program conducted by each participating institution and, on the basis of that evaluation, make recommendations regarding amendments to this chapter that will streamline the administration and enhance the integrity of Federal student assistance programs. Such recommendations shall be submitted to the authorizing committees. **(b) Regulatory improvement and streamlining experiments** (1) **In general** — The Secretary shall continue the voluntary participation of any experimental sites in existence as of July 1, 2007, unless the Secretary determines that such site’s participation has not been successful in carrying out the purposes of this section. Any experimental sites approved by the Secretary prior to such date that have not been successful in carrying out the purposes of this section shall be discontinued not later than June 30, 2010. (2) **Report** — The Secretary shall review and evaluate the experience of institutions participating as experimental sites and shall, on a biennial basis, submit a report based on the review and evaluation to the authorizing committees. Such report shall include— (A) a list of participating institutions and the specific statutory or regulatory waivers granted to each institution; (B) the findings and conclusions reached regarding each of the experiments conducted; and (C) recommendations for amendments to improve and streamline this chapter, based on the results of the experiment. (3) **Selection** (A) *In general* — The Secretary is authorized to periodically select a limited number of additional institutions for voluntary participation as experimental sites to provide recommendations to the Secretary on the impact and effectiveness of proposed regulations or new management initiatives. (B) *Waivers* — The Secretary is authorized to waive, for any institution participating as an experimental site under subparagraph (A), any requirements in this subchapter, including requirements related to the award process and disbursement of student financial aid (such as innovative delivery systems for modular or compressed courses, or other innovative systems), verification of student financial aid application data, entrance and exit interviews, or other management procedures or processes as determined in the negotiated rulemaking process under [section 1098a of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title20-section1098a&num=0&edition=prelim), or regulations prescribed under this subchapter, that will bias the results of the experiment, except that the Secretary shall not waive any provisions with respect to award rules (other than an award rule related to an experiment in modular or compressed schedules), grant and loan maximum award amounts, and need analysis requirements unless the waiver of such provisions is authorized by another provision under this subchapter. (4) **Determination of success** — For the purposes of paragraph (1), the Secretary shall make a determination of success regarding an institution’s participation as an experimental site based on— (A) the ability of the experimental site to reduce administrative burdens to the institution, as documented in the Secretary’s biennial report under paragraph (2), without creating costs for the taxpayer; and (B) whether the experimental site has improved the delivery of services to, or otherwise benefitted, students. **(c) “Current award year” defined** For purposes of this section, the term “current award year” means the award year during which the participating institution indicates the institution’s intention to cease participation.

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Federal law — U.S. Code and appendices · legal_authorities

20 U.S.C. § 1001 — General definition of institution of higher education

**(a) Institution of higher education** For purposes of this chapter, other than subchapter IV, the term “institution of higher education” means an educational institution in any State that— (1) admits as regular students only persons having a certificate of graduation from a school providing secondary education, or the recognized equivalent of such a certificate, or persons who meet the requirements of [section 1091(d) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title20-section1091/d&num=0&edition=prelim); (2) is legally authorized within such State to provide a program of education beyond secondary education; (3) provides an educational program for which the institution awards a bachelor’s degree or provides not less than a 2-year program that is acceptable for full credit toward such a degree, or awards a degree that is acceptable for admission to a graduate or professional degree program, subject to review and approval by the Secretary; (4) is a public or other nonprofit institution; and (5) is accredited by a nationally recognized accrediting agency or association, or if not so accredited, is an institution that has been granted preaccreditation status by such an agency or association that has been recognized by the Secretary for the granting of preaccreditation status, and the Secretary has determined that there is satisfactory assurance that the institution will meet the accreditation standards of such an agency or association within a reasonable time. **(b) Additional institutions included** For purposes of this chapter, other than subchapter IV, the term “institution of higher education” also includes— (1) any school that provides not less than a 1-year program of training to prepare students for gainful employment in a re

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Federal law — U.S. Code and appendices · legal_authorities

20 U.S.C. § 1098a — Regional meetings and negotiated rulemaking

**(a) Meetings** (1) **In general** — The Secretary shall obtain public involvement in the development of proposed regulations for this subchapter. The Secretary shall obtain the advice of and recommendations from individuals and representatives of the groups involved in student financial assistance programs under this subchapter, such as students, legal assistance organizations that represent students, institutions of higher education, State student grant agencies, guaranty agencies, lenders, secondary markets, loan servicers, guaranty agency servicers, and collection agencies. (2) **Issues** — The Secretary shall provide for a comprehensive discussion and exchange of information concerning the implementation of this subchapter through such mechanisms as regional meetings and electronic exchanges of information. The Secretary shall take into account the information received through such mechanisms in the development of proposed regulations and shall publish a summary of such information in the Federal Register together with such proposed regulations. **(b) Draft regulations** (1) **In general** — After obtaining the advice and recommendations described in subsection (a)(1) and before publishing proposed regulations in the Federal Register, the Secretary shall prepare draft regulations implementing this subchapter and shall submit such regulations to a negotiated rulemaking process. Participants in the negotiations process shall be chosen by the Secretary from individuals nominated by groups described in subsection (a)(1), and shall include both representatives of such groups from Washington, D.C., and industry participants. The Secretary shall select individuals with demonstrated expertise or experience in the relevant subjects under negotiation, reflecting the div

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Federal law — U.S. Code and appendices · legal_authorities

20 U.S.C. § 1094a — Regulatory relief and improvement

Page 712 TITLE 20—EDUCATION § 1094a Secretary deems necessary to the sound administration of the financial aid programs, such as the pertinent ac- tions of any owner, shareholder, or person exercising control over an eligible institution’’. Subsec. (c)(1)(C). Pub. L. 102–325, § 490(d)(3), added sub- par. (C). Former subpar. (C) redesignated (E). Subsec. (c)(1)(D). Pub. L. 102–325, § 490(d)(3), added sub- par. (D). Former subpar. (D) redesignated (F). Pub. L. 102–325, § 490(b)(2)(B), struck out ‘‘on the record’’ after ‘‘opportunity for hearing’’. Subsec. (c)(1)(E). Pub. L. 102–325, § 490(d)(2), redesig- nated subpar. (C) as (E). Former subpar. (E) redesig- nated (G). Subsec. (c)(1)(F). Pub. L. 102–325, § 490(d)(2), redesig- nated subpar. (D) as (F). Former subpar. (F) redesig- nated (H). Pub. L. 102–325, § 490(b)(2)(C), struck out ‘‘on the record’’ after ‘‘opportunity for a hearing’’. Subsec. (c)(1)(G). Pub. L. 102–325, § 490(d)(2), redesig- nated subpar. (E) as (G). Former subpar. (G) redesig- nated (I). Subsec. (c)(1)(H). Pub. L. 102–325, § 490(d)(2), (4), redes- ignated subpar. (F) as (H) and substituted ‘‘a third party servicer’’ for ‘‘an individual or an organization’’. Subsec. (c)(1)(I). Pub. L. 102–325, § 490(d)(2), (5), redes- ignated subpar. (G) as (I) and substituted ‘‘a third party servicer’’ for ‘‘an individual or an organization’’. Subsec. (c)(2). Pub. L. 102–325, § 490(d)(8), added par. (2). Former par. (2) redesignated (3). Pub. L. 102–325, § 490(b)(2)(D), struck out ‘‘on the record’’ after ‘‘opportunity for a hearing’’ in subpars. (A) and (B)(i). Subsec. (c)(3). Pub. L. 102–325, § 490(d)(7), redesignated par. (2) as (3). Former par. (3) redesignated (4). Pub. L. 102–325, § 490(d)(6), inserted ‘‘, after consulta- tion with each Stat

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