Strengthening American Communities Act of 2019
America's College Promise Act of 2019
This bill requires the Department of Education (ED) to establish programs that assist students in paying for the costs of higher education.
Specifically, ED must establish grants to assist students in paying for the costs of attending community colleges, historically black colleges and universities, minority serving institutions of higher education (IHEs), or nonprofit IHEs. This bill appropriates funds for such grants.
In addition, ED must establish grant programs to pay the costs of an undergraduate education for students who commit to working for at least three years in public service jobs upon graduation.
Finally, ED must cancel a certain percentage of the amount a borrower owes, based on the number of years of public service employment, on federal student loans made after this bill's enactment.
[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3692 Introduced in House (IH)]
<DOC>
116th CONGRESS
1st Session
H. R. 3692
To amend the Higher Education Act of 1965 to provide greater access to
higher education for America's students, to eliminate educational
barriers for participation in a public service career, and for other
purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 10, 2019
Mrs. Torres of California introduced the following bill; which was
referred to the Committee on Education and Labor
_______________________________________________________________________
A BILL
To amend the Higher Education Act of 1965 to provide greater access to
higher education for America's students, to eliminate educational
barriers for participation in a public service career, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Strengthening American Communities
Act of 2019''.
SEC. 2. PURPOSE.
It is the purpose of this Act to provide greater access to higher
education for America's students, to eliminate educational barriers for
participation in a public service career by providing an opportunity
for potential public servants to obtain an undergraduate education, and
to establish an accelerated form of the public service loan forgiveness
program for more immediate loan forgiveness for existing public
servants holding Federal Direct Stafford Loans, Federal Direct
Unsubsidized Stafford Loans, and Federal Direct PLUS Loans.
TITLE I--AMERICA'S COLLEGE PROMISE
SEC. 101. SHORT TITLE.
This title may be cited as the ``America's College Promise Act of
2019''.
SEC. 102. PURPOSE.
The purpose of this title is to help all individuals of the United
States earn the education and skills the individuals need--
(1) by making 2 years of community college free, through a
new partnership with States and Indian Tribes to help the
States and Indian Tribes--
(A) waive resident community college tuition and
fees for eligible students;
(B) maintain State and Indian Tribe support for
higher education; and
(C) promote key reforms to improve student
outcomes; and
(2) through a new partnership with minority-serving
institutions to--
(A) encourage eligible students to enroll and
successfully complete a baccalaureate degree at
participating institutions; and
(B) promote key reforms to improve student
outcomes.
Subtitle A--State and Indian Tribe Grants for Community Colleges
SEC. 111. IN GENERAL.
From amounts appropriated under section 117(a) for any fiscal year,
the Secretary shall award grants to eligible States and Indian Tribes
to pay the Federal share of expenditures needed to carry out the
activities and services described in section 115.
SEC. 112. FEDERAL SHARE; NON-FEDERAL SHARE.
(a) Federal Share.--
(1) Formula.--Subject to paragraph (2), the Federal share
of a grant under this subtitle shall be based on a formula,
determined by the Secretary, that--
(A) accounts for the State or Indian Tribe's share
of eligible students; and
(B) provides, for each eligible student in the
State or Indian Tribe, a per-student amount that is--
(i) not less than 300 percent of the per-
student amount of the State or Indian Tribe
share, determined under subsection (b), subject
to clause (ii); and
(ii) not greater than 75 percent of--
(I) for the 2018-2019 award year,
the average resident community college
tuition and fees per student in all
States for the most recent year for
which data are available; and
(II) for each subsequent award
year, the average resident community
college tuition and fees per student in
all States calculated under this
subclause for the preceding year,
increased by the lesser of--
(aa) the percentage by
which the average resident
community college tuition and
fees per student in all States
for the most recent year for
which data are available
increased as compared to such
average for the preceding year;
or
(bb) 3 percent.
(2) Exception for certain indian tribes.--In any case in
which not less than 75 percent of the students at the community
colleges operated or controlled by an Indian Tribe are low-
income students, the amount of the Federal share for such
Indian Tribe shall be not less than 95 percent of the total
amount needed to waive tuition and fees for all eligible
students enrolled in such community colleges.
(b) State or Tribal Share.--
(1) Formula.--
(A) In general.--The State or Tribal share of a
grant under this subtitle for each fiscal year shall be
the amount needed to pay 25 percent of the average
community college resident tuition and fees per student
in all States in the 2018-2019 award year for all
eligible students in the State or Indian Tribe,
respectively, for such fiscal year, except as provided
in subparagraph (B).
(B) Exception for certain indian tribes.--In a case
in which not less than 5 percent of the students at the
community colleges operated or controlled by an Indian
Tribe are low-income students, the amount of such
Indian Tribe's tribal share shall not exceed 5 percent
of the total amount needed to waive tuition and fees
for all eligible students enrolled in such community
colleges.
(2) Need-based aid.--A State or Indian Tribe may include
any need-based financial aid provided through State or Tribal
funds to eligible students as part of the State or Tribal
share.
(3) No in-kind contributions.--A State or Indian Tribe
shall not include in-kind contributions for purposes of the
State or Tribal share described in paragraph (1).
SEC. 113. ELIGIBILITY.
To be eligible for a grant under this subtitle, a State or Indian
Tribe shall agree to waive community college resident tuition and fees
for all eligible students for each year of the grant.
SEC. 114. APPLICATIONS.
(a) Submission.--For each fiscal year for which a State or Indian
Tribe desires a grant under this subtitle, an application shall be
submitted to the Secretary at such time, in such manner, and containing
such information as the Secretary may require. Such application shall
be submitted by--
(1) in the case of a State, the Governor, the State agency
with jurisdiction over higher education, or another agency
designated by the Governor to administer the program under this
subtitle; or
(2) in the case of an Indian Tribe, the governing body of
such Tribe.
(b) Contents.--Each State or Indian Tribe application shall
include, at a minimum--
(1) an estimate of the number of eligible students in the
State or Indian Tribe and the cost of waiving community college
resident tuition and fees for all eligible students for each
fiscal year covered by the grant, with annual increases of an
amount that shall not exceed 3 percent of the prior year's
average resident community college tuition and fees;
(2) an assurance that all community colleges in the State
or under the jurisdiction of the Indian Tribe, respectively,
will waive resident tuition and fees for eligible students in
programs that are--
(A) academic programs with credits that can fully
transfer via articulation agreement toward a
baccalaureate degree or postbaccalaureate degree at any
public institution of higher education in the State; or
(B) occupational skills training programs that lead
to a recognized postsecondary credential that is in an
in-demand industry sector or occupation in the State;
(3) a description of the promising and evidence-based
institutional reforms and innovative practices to improve
student outcomes, including completion or transfer rates, that
have been or will be adopted by the participating community
colleges, such as--
(A) providing comprehensive academic and student
support services, including mentoring and advising,
especially for low-income, first-generation, adult, and
other underrepresented students;
(B) providing accelerated learning opportunities,
such as dual or concurrent enrollment programs,
including early college high school programs;
(C) advancing competency-based education;
(D) strengthening remedial education, especially
for low-income, first-generation, adult and other
underrepresented students;
(E) implementing course redesigns of high-
enrollment courses to improve student outcomes and
reduce cost; or
(F) utilizing career pathways or degree pathways;
(4) a description of how the State or Indian Tribe will
promote alignment between its public secondary school and
postsecondary education systems, including between 2-year and
4-year public institutions of higher education and with
minority-serving institutions described in section 371(a) of
the Higher Education Act of 1965 (20 U.S.C. 1067q(a)), to
expand awareness of and access to postsecondary education,
reduce the need for remediation and repeated coursework, and
improve student outcomes;
(5) a description of how the State or Indian Tribe will
ensure that programs leading to a recognized postsecondary
credential meet the quality criteria established by the State
under section 123(a) of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3153(a)) or other quality criteria
determined appropriate by the State or Indian Tribe;
(6) an assurance that all participating community colleges
in the State or under the authority of the Indian Tribe have
entered into program participation agreements under section 487
of the Higher Education Act of 1965 (20 U.S.C. 1094); and
(7) an assurance that, for each year of the grant, the
State or Indian Tribe will notify each eligible student of the
student's remaining eligibility for assistance under this
subtitle.
SEC. 115. ALLOWABLE USES OF FUNDS.
(a) In General.--A State or Indian Tribe shall use a grant under
this subtitle only to provide funds to participating community colleges
to waive resident tuition and fees for eligible students who are
enrolled in--
(1) academic programs with credits that can fully transfer
via articulation agreement toward a baccalaureate degree or
postbaccalaureate degree at any public institution of higher
education in the State; or
(2) occupational skills training programs that lead to a
recognized postsecondary credential that is in an in-demand
industry sector or occupation in the State.
(b) Additional Uses.--If a State or Indian Tribe demonstrates to
the Secretary that it has grant funds remaining after meeting the
demand for activities described in subsection (a), the State or Indian
Tribe may use those funds to carry out one or more of the following:
(1) Expanding the waiver of resident tuition and fees at
community college to students who are returning students or
otherwise not enrolling in postsecondary education for the
first time, and who meet the student eligibility requirements
of clauses (i) through (v) of section 116(5)(A).
(2) Expanding the scope and capacity of high-quality
academic and occupational skills training programs at community
colleges.
(3) Improving postsecondary education readiness in the
State or Indian Tribe, through outreach and early intervention.
(4) Expanding access to dual or concurrent enrollment
programs, including early college high school programs.
(5) Improving affordability at 4-year public and private,
nonprofit institutions of higher education.
(c) Use of Funds for Administrative Purposes.--A State or Indian
Tribe that receives a grant under this subtitle may not use any funds
provided under this subtitle for administrative purposes relating to
the grant under this subtitle.
(d) Maintenance of Effort Required.--
(1) In general.--A State or Indian Tribe that receives a
grant under this subtitle shall provide, with respect to a
fiscal year--
(A) for public and private, nonprofit institutions
of higher education in such State or Indian Tribe an
amount that is equal to or greater than the amount
provided for non-capital and non-direct research and
development expenses or costs by such State or Indian
Tribe to such institutions of higher education during
the preceding fiscal year for which satisfactory data
are available; and
(B) for student financial aid for paying costs
associated with public and private, nonprofit
postsecondary education in such State or Indian Tribe
an amount that is equal to or greater than the amount
provided for student financial aid for paying costs
associated with public and private, nonprofit
postsecondary education by such State or Indian Tribe
in the preceding fiscal year for which satisfactory
data are available.
(2) Adjustments for biennial appropriations.--The Secretary
shall take into consideration any adjustments to the
calculations under paragraph (1) that may be required to
accurately reflect funding levels in States or Indian tribes
with biennial appropriation cycles.
(3) Waiver.--The Secretary shall waive the requirements of
paragraph (1) if the Secretary determines that such a waiver
would be equitable due to exceptional or uncontrollable
circumstances, such as a natural disaster or a precipitous and
unforeseen decline in the financial resources of a State or
Indian Tribe, as appropriate.
(4) Violation of maintenance of effort.--Notwithstanding
any other provision of law, the Secretary shall withhold from
any State or Indian tribe that violates paragraph (1) and does
not receive a waiver pursuant to paragraph (3) any amount that
would otherwise be available to the State or Indian Tribe under
this Act until such State or Indian Tribe has made significant
efforts to correct such violation.
(e) Annual Report.--
(1) In general.--A State or Indian Tribe receiving a grant
under this subtitle shall submit an annual report to the
Secretary describing the uses of grant funds under this
subtitle, the progress made in fulfilling the requirements of
the grant, and rates of graduation, transfer and attainment of
recognized postsecondary credentials at participating community
colleges, and including any other information as the Secretary
may require.
(2) Inclusion in hea annual report.--At the discretion of
the Secretary, the information required in the report under
paragraph (1) may be included in an annual report on higher
education required under the Higher Education Act of 1965 (20
U.S.C. 1001 et seq.).
(f) Reporting by Secretary.--The Secretary annually shall--
(1) compile and analyze the information described in
subsection (e); and
(2) prepare and submit a report to the Committee on Health,
Education, Labor, and Pensions of the Senate and the Committee
on Education and Labor of the House of Representatives
containing the analysis described in paragraph (1) and an
identification of State and Indian Tribe best practices for
achieving the purpose of this subtitle.
(g) Technical Assistance.--The Secretary shall provide technical
assistance to eligible States and Indian Tribes concerning best
practices regarding the promising and evidence-based institutional
reforms and innovative practices to improve student outcomes as
described in section 114(b)(3) and shall disseminate such best
practices among the States and Indian Tribes.
(h) Continuation of Funding.--
(1) In general.--A State or Indian Tribe receiving a grant
under this subtitle for a fiscal year may continue to receive
funding under this title for future fiscal years conditioned on
the availability of budget authority and on meeting the
requirements of the grant, as determined by the Secretary.
(2) Discontinuation.--The Secretary may discontinue funding
of the Federal share of a grant under this subtitle if the
State or Indian Tribe has violated the terms of the grant or is
not making adequate progress in implementing the reforms
described in the application submitted under section 114.
SEC. 116. DEFINITIONS.
In this subtitle:
(1) Career pathway.--The term ``career pathway'' has the
meaning given the term in section 3 of the Workforce Innovation
and Opportunity Act (29 U.S.C. 3102).
(2) Community college.--The term ``community college''
means a public institution of higher education at which the
highest degree that is predominantly awarded to students is an
associate's degree, including 2-year tribally controlled
colleges under section 316 of the Higher Education Act of 1965
(20 U.S.C. 1059c) and public 2-year State institutions of
higher education.
(3) Dual or concurrent enrollment program.--The term ``dual
or concurrent enrollment program'' has the meaning given the
term in section 8101 of the Elementary and Secondary Education
Act of 1965 (20 U.S.C. 7801).
(4) Early college high school.--The term ``early college
high school'' has the meaning given the term in section 8101 of
the Elementary and Secondary Education Act of 1965 (20 U.S.C.
7801).
(5) Eligible student.--
(A) Definition.--The term ``eligible student''
means a student who--
(i)(I) enrolls in a community college after
the date of enactment of this Act; or
(II) is enrolled in a community college as
of the date of enactment of this Act;
(ii) attends the community college on not
less than a half-time basis;
(iii) is maintaining satisfactory progress,
as defined in section 484(c) of the Higher
Education Act of 1965 (20 U.S.C. 1091(c)), in
the student's course of study;
(iv) qualifies for resident tuition, as
determined by the State or Indian Tribe; and
(v) is enrolled in an eligible program
described in section 114(b)(2).
(B) Special rule.--An otherwise eligible student
shall lose eligibility 3 calendar years after first
receiving benefits under this subtitle.
(6) In-demand industry sector or occupation.--The term
``in-demand industry sector or occupation'' has the meaning
given the term in section 3 of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3102).
(7) Indian tribe.--The term ``Indian Tribe'' has the
meaning given the term (without regard to capitalization) in
section 102(2) of the Federally Recognized Indian Tribe List
Act of 1994 (25 U.S.C. 5130(2)).
(8) Institution of higher education.--The term
``institution of higher education'' has the meaning given the
term in section 101 of the Higher Education Act of 1965 (20
U.S.C. 1001).
(9) Recognized postsecondary credential.--The term
``recognized postsecondary credential'' has the meaning as
described in section 3 of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3102).
(10) Secretary.--The term ``Secretary'' means the Secretary
of Education.
(11) State.--The term ``State'' has the meaning given the
term in section 103 of the Higher Education Act of 1965 (20
U.S.C. 1003).
SEC. 117. APPROPRIATIONS.
(a) Authorization and Appropriations.--For the purpose of making
grants under this subtitle, there are authorized to be appropriated,
and there are appropriated--
(1) $1,515,150,000 for fiscal year 2020;
(2) $3,352,200,000 for fiscal year 2021;
(3) $4,277,940,000 for fiscal year 2022;
(4) $5,988,450,000 for fiscal year 2023;
(5) $7,837,710,000 for fiscal year 2024;
(6) $8,974,350,000 for fiscal year 2025;
(7) $11,302,020,000 for fiscal year 2026;
(8) $14,451,090,000 for fiscal year 2027;
(9) $15,077,130,000 for fiscal year 2028; and
(10) $15,729,810,000 for fiscal year 2029 and each
succeeding fiscal year.
(b) Availability.--Funds appropriated under subsection (a) shall
remain available to the Secretary until expended.
(c) Insufficient Funds.--If the amount appropriated under
subsection (a) for a fiscal year is not sufficient to award each
participating State and Indian Tribe a grant under this subtitle that
is equal to the minimum amount of the Federal share described in
section 112(a), the Secretary may ratably reduce the amount of each
such grant or take other actions necessary to ensure an equitable
distribution of such amount.
Subtitle B--Grants to Historically Black Colleges and Universities,
Hispanic-Serving Institutions, Asian American and Native American
Pacific Islander-Serving Institutions, Tribal Colleges and
Universities, Alaska Native-Serving Institutions, Native Hawaiian-
Serving Institutions, Predominantly Black Institutions, and Native
American-Serving Nontribal Institutions
SEC. 121. PATHWAYS TO STUDENT SUCCESS FOR HISTORICALLY BLACK COLLEGES
AND UNIVERSITIES.
(a) In General.--From amounts appropriated under section 124(a) for
any fiscal year, the Secretary shall award grants to participating 4-
year historically Black colleges or universities that meet the
requirements of subsection (b) to--
(1) encourage students to enroll and successfully complete
a bachelor's degree at institutions eligible under subsection
(b);
(2) provide incentives to community college students to
transfer to institutions eligible under subsection (b) through
strong transfer pathways to complete a bachelor's degree
program; and
(3) support institutions eligible under subsection (b) to
better serve new and existing students by engaging in reforms
and innovations designed to improve completion rates and other
student outcomes.
(b) Eligibility.--To be eligible to receive a grant under the
program under this section, an institution shall be a historically
Black college or university that--
(1) has a student body of which not less than 35 percent
are low-income students;
(2) commits to maintaining or adopting and implementing
promising and evidence-based institutional reforms and
innovative practices to improve the completion rates and other
student outcomes, such as--
(A) providing comprehensive academic and student
support services, including mentoring and advising;
(B) providing accelerated learning opportunities
and degree pathways, such as dual or concurrent
enrollment programs and pathways to graduate and
professional degree programs;
(C) advancing distance and competency-based
education;
(D) partnering with employers, industry, nonprofit
associations, and other groups to provide opportunities
to advance learning outside the classroom, including
work-based learning opportunities such as internships
or apprenticeships or programs designed to improve
inter-cultural development and personal growth, such as
foreign exchange and study abroad programs;
(E) reforming remedial education, especially for
low-income students, first generation college students,
adult students, and other underrepresented students; or
(F) implementing course redesigns of high-
enrollment courses to improve student outcomes and
reduce cost;
(3) sets performance goals for improving student outcomes
for the duration of the grant; and
(4) if receiving a grant for transfer students, has
articulation agreements with community colleges at the
national, State, or local level to ensure that community
college credits can fully transfer to the institution.
(c) Grant Amount.--
(1) Initial amount.--For the first year that an eligible
institution, as described in subsection (b), participates in
the grant program under this section and subject to paragraph
(3), such eligible institution shall receive a grant in an
amount based on the product of--
(A) the actual cost of tuition and fees at the
eligible institution in such year (referred to in this
section as the per-student rebate); multiplied by
(B) the number of eligible students enrolled in the
eligible institution for the preceding year.
(2) Subsequent increases.--For each succeeding year after
the first year of the grant program under this section, each
eligible institution, as described in subsection (b), that
participate in the grant program shall receive a grant in the
amount determined under paragraph (1) for such year, except
that in no case shall the amount of the per-student rebate for
an eligible institution increase by more than 3 percent as
compared to the amount of such rebate for the preceding year.
(3) Limitations.--
(A) Maximum per-student rebate.--No eligible
institution, as described in subsection (b),
participating in the grant program under this section
shall receive a per-student rebate amount for any year
that is greater than the national average of annual
tuition and fees at public 4-year institutions of
higher education for such year, as determined by the
Secretary.
(B) First year tuition and fees.--During the first
year of participation in the grant program under this
section, no eligible institution, as described in
subsection (b), may increase tuition and fees at a rate
greater than any annual increase at the eligible
institution in the previous 5 years.
(d) Application.--An eligible institution, as described in
subsection (b), that desires a grant under this section shall submit an
application to the Secretary at such time, in such manner, and
containing such information as the Secretary may require.
(e) Use of Funds.--Funds awarded under this section to an eligible
institution, as described in subsection (b), shall be used to waive or
significantly reduce tuition and fees for eligible students in an
amount of not more than up to the annual per-student rebate amount for
each student, for not more than the first 60 credits an eligible
student enrolls in the eligible institution.
SEC. 122. PATHWAYS TO STUDENT SUCCESS FOR HISPANIC-SERVING
INSTITUTIONS, ASIAN AMERICAN AND NATIVE AMERICAN PACIFIC
ISLANDER-SERVING INSTITUTIONS, TRIBAL COLLEGES AND
UNIVERSITIES, ALASKA NATIVE-SERVING INSTITUTIONS, NATIVE
HAWAIIAN-SERVING INSTITUTIONS, PREDOMINANTLY BLACK
INSTITUTIONS, AND NATIVE AMERICAN-SERVING NONTRIBAL
INSTITUTIONS.
(a) In General.--From amounts appropriated under section 124(a) for
any fiscal year, the Secretary shall award grants to eligible 4-year
minority-serving institutions to--
(1) encourage students to enroll and successfully complete
a bachelor's degree at institutions eligible under subsection
(b);
(2) provide incentives to community college students to
transfer to institutions eligible under subsection (b) through
strong transfer pathways to complete a bachelor's degree
program; and
(3) support institutions eligible under subsection (b) to
better serve new and existing students by engaging in reforms
and innovations designed to improve completion rates and other
student outcomes.
(b) Institutional Eligibility.--To be eligible to participate and
receive a grant under this section, an institution shall be a minority-
serving institution with respect to which the majority of degrees
awarded are baccalaureate degrees or higher that--
(1) has a student body of which not less than 35 percent
are low-income students;
(2) commits to maintaining or adopting and implementing
promising and evidence-based institutional reforms and
innovative practices to improve the completion rates and other
student outcomes, such as--
(A) providing comprehensive academic and student
support services, including mentoring and advising;
(B) providing accelerated learning opportunities
and degree pathways, such as dual or concurrent
enrollment programs and pathways to graduate and
professional degree programs;
(C) advancing distance and competency-based
education;
(D) partnering with employers, industry, nonprofit
associations, and other groups to provide opportunities
to advance learning outside the classroom, including
work-based learning opportunities such as internships
or apprenticeships or programs designed to improve
inter-cultural development and personal growth, such as
foreign exchange and study abroad programs;
(E) reforming remedial education, especially for
low-income students, first generation college students,
adult students, and other underrepresented students;
and
(F) implementing course redesigns of high-
enrollment courses to improve student outcomes and
reduce cost;
(3) sets performance goals for improving student outcomes
for the duration of the grant; and
(4) if receiving a grant for transfer students, has
articulation agreements with community colleges at the
national, State, or local levels to ensure that community
college credits can fully transfer to the institution.
(c) Grant Amount.--
(1) Initial amount.--For the first year that an eligible
institution, as described in subsection (b), participates in
the grant program under this section and subject to paragraph
(3), such eligible institution shall receive a grant in an
amount based on the product of--
(A) the actual cost of tuition and fees at the
eligible institution in such year (referred to in this
section as the per-student rebate); multiplied by
(B) the number of eligible students enrolled in the
eligible institution for the preceding year.
(2) Subsequent increases.--For each succeeding year after
the first year of the grant program under this section, each
eligible institution, as described in subsection (b), that
participate in the grant program shall receive a grant in the
amount determined under paragraph (1) for such year, except
that in no case shall the amount of the per-student rebate
increase by more than 3 percent as compared to the amount of
such rebate for the preceding year.
(3) Limitations.--
(A) Maximum per-student rebate.--No eligible
institution, as described in subsection (b),
participating in the grant program under this section
shall receive a per-student rebate amount for a grant
year greater than the national average of public 4-year
institutional tuition and fees, as determined by the
Secretary.
(B) First year tuition and fees.--During the first
year of participation in the grant program under this
section, no eligible institution, as described in
subsection (b), may increase tuition and fees at a rate
greater than any annual increase made by the
institution in the previous 5 years.
(d) Application.--An eligible institution, as described in
subsection (b), shall submit an application to the Secretary at such
time, in such a manner, and containing such information as determined
by the Secretary.
(e) Use of Funds.--Funds awarded under this section to an eligible
institution, as described in subsection (b), shall be used to waive or
significantly reduce tuition and fees for eligible students in an
amount of not more than up to the annual per-student rebate amount for
each student, for not more than the first 60 credits an eligible
student enrolls in the eligible institution.
SEC. 123. DEFINITIONS.
In this subtitle:
(1) Eligible student.--
(A) Definition.--The term ``eligible student''
means a student, regardless of age, who--
(i)(I) enrolls in a historically Black
college or university, or minority-serving
institution; or
(II) transfers from a community college
into a historically Black college or
university, or minority-serving institution;
(ii) attends the historically Black college
or university, or minority serving institution,
on at least a half-time basis; and
(iii) is maintaining satisfactory progress,
as defined in section 484(c) of the Higher
Education Act of 1965 (20 U.S.C. 1091(c)), in
the student's course of study.
(B) Special rule.--An otherwise eligible student
shall lose eligibility 3 calendar years after first
receiving benefits under this subtitle.
(2) Historically black college or university.--The term
``historically Black college or university'' means a part B
institution described in section 322(2) of the Higher Education
Act of 1965 (20 U.S.C. 1061(2)).
(3) Low-income student.--The term ``low-income student''--
(A) shall include any student eligible for a
Federal Pell Grant under section 401 of the Higher
Education Act of 1965 (20 U.S.C. 1070a); and
(B) may include a student ineligible for a Federal
Pell Grant under section 401 of the Higher Education
Act of 1965 (20 U.S.C. 1070a) who is determined by the
institution of higher education in which the student is
enrolled to be a low-income student based on an
analysis of the student's ability to afford the cost of
attendance at the institution.
(4) Minority-serving institution.--The term ``minority-
serving institution'' means any public or nonprofit institution
of higher education--
(A) described in paragraphs (2) through (7) of
section 371(a) of the Higher Education Act of 1965 (20
U.S.C. 1067q(a)); and
(B) designated as a minority-serving institution by
the Secretary.
(5) Secretary.--The term ``Secretary'' means the Secretary
of Education.
SEC. 124. APPROPRIATIONS.
(a) Authorization and Appropriations for HBCU and MSI Grants.--For
the purpose of carrying out sections 121 and 122, there are authorized
to be appropriated, and there are appropriated--
(1) $61,050,000 for fiscal year 2020;
(2) $199,800,000 for fiscal year 2021;
(3) $1,189,920,000 for fiscal year 2022;
(4) $1,237,650,000 for fiscal year 2023;
(5) $1,287,600,000 for fiscal year 2024;
(6) $1,338,660,000 for fiscal year 2025;
(7) $1,359,750,000 for fiscal year 2026;
(8) $1,449,660,000 for fiscal year 2027;
(9) $1,508,490,000 for fiscal year 2028; and
(10) $1,569,540,000 for fiscal year 2029 and each
succeeding fiscal year.
(b) Availability.--Funds appropriated under subsection (a) are to
remain available to the Secretary until expended.
(c) Insufficient Funds.--If the amount appropriated under
subsection (a) for a fiscal year is not sufficient to award each
participating institution in the grant programs under sections 121 and
122 a grant under this subtitle that is equal to 100 percent of the
grant amount determined under sections 121(c) and 122(c), as
applicable, the Secretary may ratably reduce the amount of each such
grant or take other actions necessary to ensure an equitable
distribution of such amount.
TITLE II--NATIONAL PUBLIC SERVICE EDUCATION GRANT PROGRAM
SEC. 201. NATIONAL PUBLIC SERVICE EDUCATION GRANT PROGRAM.
Part A of title IV of the Higher Education Act of 1965 (20 U.S.C.
1070 et seq.) is amended by adding at the end the following:
``Subpart 11--National Public Service Education Grant Program
``SEC. 420T. NATIONAL PUBLIC SERVICE EDUCATION GRANT PROGRAM.
``(a) Definitions.--In this section:
``(1) Cost of attendance.--
``(A) In general.--The term `cost of attendance'
means tuition, fees, on-campus room and board, books
and supplies, personal expenses, and transportation.
``(B) On-campus room and board.--The term `on-
campus room and board' means--
``(i) the cost to a student of a double
room on campus; and
``(ii) the cost of a resident student meal
plan.
``(2) Eligible institution.--The term `eligible
institution' means a public 4-year institution of higher
education or a private, nonprofit 4-year institution of higher
education.
``(3) Eligible student.--The term `eligible student' means
a student who--
``(A) has received an associate's degree or has
earned not less than 60 credits toward a baccalaureate
degree;
``(B) is enrolled, at an eligible institution
awarded a grant under this section, on a full-time
basis in a course of study that will lead to employment
in a public service job; and
``(C) has submitted a Free Application for Federal
Student Aid (FAFSA) to the Department.
``(4) Public service job.--The term `public service job'
has the meaning given the term in section 455(m)(3)(B).
``(b) Establishment of Program.--The Secretary shall establish a
National Public Service Education Grant program to assist in paying for
the cost of attendance for an undergraduate education to students who
commit to work for not less than 3 years in a public service job upon
completion of their baccalaureate degree.
``(c) Grants From the Department to Eligible Institutions.--
``(1) In general.--The Secretary shall award grants to
eligible institutions to enable the eligible institutions to
award grants to eligible students who commit to work for not
less than 3 years in a public service job upon completion of
their baccalaureate degree.
``(2) Duration.--Grants awarded to eligible institutions
under this subsection shall be 5 years in duration. Subject to
subsection (e), such a grant may be extended for additional 5-
year periods.
``(3) Amounts.--
``(A) In general.--Except as provided in
subparagraph (B), the Secretary shall award a grant to
an eligible institution under this subsection for a
fiscal year in an amount equal to the lesser of--
``(i) the average annual cost of in-State
tuition, fees, and on-campus room and board in
the State in which the institution is located
at a public 4-year institution of higher
education during the fiscal year multiplied by
the number of eligible students enrolled at the
institution who apply for a grant under this
section during the fiscal year; or
``(ii) the actual annual cost of tuition,
fees, and on-campus room and board at the
eligible institution during the fiscal year
multiplied by the number of eligible students
enrolled at the institution who apply for a
grant under this section during the fiscal
year.
``(B) Nontraditional calendar.--The calculation of
the cost of tuition, fees, and on-campus room and board
under subparagraph (A) with respect to an eligible
student who applies for a grant under this section for
enrollment during the summer or other nontraditional
period shall be the cost of the cost of tuition, fees,
and on-campus room and board for such summer or other
nontraditional period.
``(4) Applications.--The Secretary shall design an
application for eligible institutions to participate in the
grant program under this subsection that includes a description
of how the eligible institution, if awarded a grant under this
subsection, will provide services to students as follows:
``(A) Provide comprehensive academic and student
support services for eligible students awarded grants
under this section, including mentoring and advising,
particularly for first-generation and minority
students.
``(B) Provide accelerated learning opportunities
for eligible students awarded grants under this section
to receive their baccalaureate degree and any required
certificate or license to work in their respective
public service job in less than 2 years if an eligible
student seeks to complete the degree in less than 2
years.
``(C) Foster opportunities for eligible students
awarded grants under this section to connect with
potential public service job employers through the
Corporation for National and Community Service.
``(D) Any additional information determined
necessary by the Secretary.
``(d) Grants to Eligible Students.--
``(1) In general.--Each eligible institution that receives
a grant under subsection (c) shall award grants to eligible
students enrolled at the institution.
``(2) Application.--An eligible student who desires to
receive a grant under this section shall submit an application
to the eligible institution that includes the following:
``(A) An agreement to work for not less than 3
years in a public service job upon completion of their
baccalaureate degree.
``(B) Information that demonstrates that the
student is an eligible student for purposes of section
484.
``(C) Information that demonstrates that the
student has received counseling from the Department
that explains the terms and conditions of the grant
award.
``(D) Any additional information determined
necessary by the Secretary.
``(3) Grant amount.--
``(A) In general.--Except as provided in
subparagraph (B), an eligible institution shall award a
grant to an eligible student enrolled at the
institution for an academic year in an amount equal to
the total grant amount received by the eligible
institution under subsection (c) for the fiscal year
preceding the academic year divided by the number of
students to whom the eligible institution awards grants
under this subsection for such academic year.
``(B) Nontraditional calendar.--An eligible
institution shall award a grant to an eligible student
who applies for a grant under this section for
enrollment during the summer or other nontraditional
period in an amount, from the total grant amount
received by the eligible institution under subsection
(c), that is prorated to reflect the cost of tuition,
fees, and on-campus room and board for such summer or
other nontraditional period.
``(4) Cost of attendance beyond grant amount.--
``(A) Amounts not covered by npseg grants.--
``(i) Public institutions.--
``(I) In general.--An eligible
institution that is a public
institution of higher education shall
cover the excess costs to meet the
difference between the in-State
tuition, fees, and on-campus room and
board at the institution and the amount
awarded to the eligible student through
the grant award under paragraph (3),
through a combination of grant and
work-study awards under this title for
which the eligible student may be
eligible, campus-based aid programs,
State-based merit or need-based aid, or
other institutional-based merit- or
need-based aid. An eligible institution
that is a public institution of higher
education may cover, with respect to an
eligible student, any amounts of the
cost of attendance that are in excess
of the total amount awarded to the
eligible student through the grant
award under paragraph (3) and the
amount of excess costs provided under
this subclause based on the
demonstrated financial need of the
student.
``(II) Student contribution.--The
eligible student shall be responsible
for any amounts of the cost of
attendance that are in excess of the
total amount awarded to the eligible
student through the grant award under
paragraph (3) and the amount of excess
costs provided under subclause (I). The
eligible student may be eligible for
Federal student aid in accordance with
subparagraph (B) for the remaining cost
of attendance amount for which the
student is responsible.
``(ii) Private institution.--
``(I) Matching amount.--
``(aa) In general.--An
eligible institution that is a
private, nonprofit institution
of higher education shall--
``(AA) with respect
to an eligible student
described in item (bb),
cover excess costs
toward meeting an
eligible student's cost
of attendance in an
amount equal to or
greater than the amount
of the grant award to
the eligible student
described in paragraph
(3); and
``(BB) with respect
to an eligible student
not described in item
(bb), not be obligated
to provide additional
institutional-based
financial aid to such
student.
``(bb) Eligible students.--
An eligible student is
described in this item if the
student's (or the student's
parents' in the case of a
dependent student) adjusted
gross income for the taxable
year that is 1 year prior to
the taxable year that ends
immediately prior to the
beginning of the first award
year of the program under this
section is equal to or less
than $125,000, indexed for
inflation by regulation of the
Secretary.
``(cc) Source of aid.--The
required amount described in
item (aa)(AA) may be provided
through a combination of grant
and work-study awards under
this title for which the
eligible student may be
eligible, campus-based aid
programs, State-based merit or
need-based aid, or other
institutional-based merit- or
need-based aid.
``(II) Student contribution.--The
eligible student shall be responsible
for any amounts of the cost of
attendance that are in excess of the
total amount awarded to that eligible
student through the grant award under
paragraph (3) and the amount of excess
costs provided under subclause (I). The
eligible student may be eligible for
Federal student aid in accordance with
subparagraph (B) for the remaining cost
of attendance amount for which the
student is responsible.
``(iii) Student choice.--An eligible
student who receives a Federal work-study award
by an eligible institution to meet the cost of
attendance beyond a grant awarded under this
section may choose to decline the Federal work-
study award and take out a Federal Direct
Unsubsidized Stafford Loan. An eligible
institution shall be considered to have met the
institution's responsibilities if a student
chooses to take out such a loan in lieu of a
Federal work-study award.
``(B) First dollar award.--An eligible institution
shall consider the grant award under this subsection as
the first dollar award, to be available prior to other
funds awarded by the Department of Education under this
title, the State involved, or the institution.
``(C) Housing.--An eligible student who receives a
grant under this subsection may use the grant amounts
for off-campus housing but the student may not use such
grant amounts for any amounts for such off-campus
housing that are in excess of the cost of on-campus
room and board.
``(5) Classes in nontraditional calendars.--An eligible
student who receives a grant under this subsection may use the
grant amounts for enrollment during any period of study.
``(e) Institutional Accountability.--
``(1) In general.--Each eligible institution that receives
a grant under subsection (c) shall--
``(A) provide comprehensive academic and student
support services for eligible students awarded grants
under this section, including mentoring and advising,
particularly for first-generation and minority
students;
``(B) provide accelerated learning opportunities
for eligible students awarded grants under this section
to receive their baccalaureate degree and any required
certificate or license to work in their respective
public service job in less than 2 years if an eligible
student seeks to complete the degree in less than 2
years; and
``(C) foster opportunities for eligible students
awarded grants under this section to connect with
potential public service job employers through the
Corporation for National and Community Service.
``(2) Biennial report.--
``(A) In general.--Each eligible institution that
receives a grant under subsection (c) shall submit a
biennial report to the Secretary describing the
following:
``(i) Academic and student support services
offered to eligible students awarded grants
under this section.
``(ii) Such students' progress towards
baccalaureate degree completion and graduation.
``(iii) Outreach to potential public
service job employers for the eligible students
awarded grants under this section.
``(B) Continuing grant awards to eligible
institutions.--The Secretary may continue grant awards
to an eligible institution under subsection (c) after
the initial 5-year grant period for additional 5-year
periods if--
``(i) the institution complies with the
requirements of paragraph (1); and
``(ii) the eligible students awarded grants
under this section who are enrolled at the
institution have a baccalaureate degree
graduation rate that meets or exceeds a rate
determined appropriate by the Secretary.
``(C) Discontinuing grant awards to eligible
institutions.--
``(i) In general.--The Secretary may
discontinue grant awards to an eligible
institution under subsection (c) after the
initial 5-year grant period based on the
outcome of the biennial reports under
subparagraph (A).
``(ii) Notification.--Prior to the
Secretary discontinuing a grant award under
clause (i), the Secretary shall notify the
institution, prior to the start of the 5th year
of the 5-year grant period, in a publically
available format, that the institution is, or
is potentially, out of compliance with the
requirements of the grant award and may have
the institution's grant awards discontinued.
``(iii) Modifications.--In the 5th year of
the 5-year grant period, an eligible
institution may make modifications to the
institution's grant program and appeal to the
Secretary for a renewal of the institution's
grant.
``(iv) Decision.--The Secretary, prior to
the conclusion of the 5-year grant period,
shall render a decision on whether to continue
grant awards to an eligible institution.
``(v) Remaining responsibility.--If the
Secretary discontinues grant awards to an
eligible institution under subsection (c), the
institution shall be responsible for
maintaining academic and student support
services and providing the full remaining costs
for eligible students awarded a grant under
this section prior to such discontinuation to
receive their baccalaureate degree debt free.
``(3) Institutional prohibitions.--Each eligible
institution that receives a grant under subsection (c) may
not--
``(A) use grant funds for administrative purposes;
or
``(B) establish different tuition prices between
eligible students who receive grants under this section
and students who do not receive grants under this
section for pursing the same course of study.
``(f) Student Accountability.--
``(1) Enrollment; gpa; service.--
``(A) In general.--An eligible student awarded a
grant under this section shall--
``(i) maintain full-time enrollment in
order to complete the student's baccalaureate
degree in not more than 2 years; and
``(ii) maintain satisfactory academic
progress, defined as a 3.0 grade point average
(GPA) or higher, and meet all other
institutional standards for academic progress.
``(B) Two weeks of service.--
``(i) In general.--Except as otherwise
provided in this subparagraph, an eligible
student awarded a grant under this section
shall serve for 80 hours as a participant in a
Corporation for National and Community Service
national service project for each year the
eligible student receives the grant. The
eligible institution shall assist in placing
the eligible student in such a project relevant
to the eligible student's course of study. Such
required hours may be completed at any point
during the student's enrollment but shall be
completed prior to the date the eligible
student receives the student's baccalaureate
degree.
``(ii) Other project.--If an eligible
student resides in an area without a local
Corporation for National and Community Service
national service project available, the student
may instead participate in a service project
with a community action agency, a local
government agency, or an organization described
in section 501(c)(3) of the Internal Revenue
Code of 1986.
``(iii) Medical exemption.--The Secretary
may grant an eligible student a medical
exemption from the service commitment under
this subparagraph if the student becomes
medically unable to complete the service
commitment over the course of the academic
year. An eligible student granted such an
exemption shall complete the service commitment
upon recovery without risking eligibility
status in the grant program under this section.
``(2) Satisfactory progress.--
``(A) After one year.--In the case in which an
eligible student awarded a grant under this section
does not maintain satisfactory academic progress, as
described in paragraph (1)(A)(ii), after the first
academic year for which the student received the grant,
the student shall--
``(i) serve an additional year in a public
service job beyond the 3-year commitment upon
receiving the student's baccalaureate degree;
and
``(ii) receive additional academic supports
from the eligible institution in which the
student is enrolled.
``(B) After two years.--In the case in which an
eligible student awarded a grant under this section
does not receive a baccalaureate degree after the
second academic year for which the student received the
grant, the total of the grant award amount and
remaining funds provided by the institution shall be
treated as a Federal Direct Unsubsidized Stafford Loan
under part D of title IV, and shall be subject to
repayment, as described in paragraph (4).
``(C) Appeals.--In the case in which an eligible
student awarded a grant under this section does not
maintain satisfactory academic progress, as described
in paragraph (1)(A)(ii), after the first academic year
for which the student received the grant, the student
may appeal the decision to serve an additional year, as
described in subparagraph (A)(i). The appeal shall be
made in writing to the eligible institution and include
an academic plan approved by the student's adviser. The
academic plan shall show a clear pathway to graduation
within 1 year.
``(3) Public service job work obligation.--
``(A) In general.--Except as provided in paragraph
(2)(A)(i) and subparagraph (C), an eligible student
awarded a grant under this section shall work for not
less than 3 years in a public service job after
receiving the student's baccalaureate degree. Such 3
years (or 4 years, in the case of a scenario described
in paragraph (2)(A)(i)) may be consecutive or
nonconsecutive but shall be completed not later than 5
years (or 6 years, in the case of a scenario described
in paragraph (2)(A)(i)) after the date the student
receives the student's baccalaureate degree.
``(B) Notification.--An eligible student awarded a
grant under this section shall notify the Department,
utilizing a form designed by the Secretary, of the
student's compliance or noncompliance with subparagraph
(A) annually until such student completes the student's
work obligation.
``(C) Deferment for graduate school.--The work
obligation described in subparagraph (A) of an eligible
student awarded a grant under this section who enrolls
as a full-time student in a post-baccalaureate degree
program not later than 3 years after the date the
student receives the student's baccalaureate degree
shall be deferred during the period of such full-time
enrollment. Any years of service completed prior to
full-time enrollment in a post-baccalaureate degree
program shall count toward such work obligation.
``(4) Repayment for noncompliance.--In the event that an
eligible student awarded a grant under this section fails or
refuses to comply with the work obligation as described in
paragraph (3), or the student does not receive a baccalaureate
degree after the second academic year for which the student
received the grant, as described in paragraph (2)(B), the sum
of the amounts of any grants received by the student shall,
upon a determination of such a failure or refusal in such
service obligation or failure to receive a baccalaureate
degree, be treated as a Federal Direct Unsubsidized Stafford
Loan under part D of title IV, and shall be subject to
repayment, together with interest thereon accruing from the
date of the grant award, in accordance with terms and
conditions specified by the Secretary in regulations under this
section.
``(5) Medical exemption.--The Secretary may grant an
eligible student awarded a grant under this section a medical
exemption--
``(A) from the requirement of maintaining
satisfactory academic progress under paragraph
(1)(A)(ii); or
``(B) from a term or condition of the work
obligation of the student if the student becomes
medically unable to complete the student's studies or
public service job work obligation.
``SEC. 420U. NATIONAL PUBLIC SERVICE EDUCATION GRANT PROGRAM FOR
MINORITY-SERVING INSTITUTIONS AND HBCUS.
``(a) Definitions.--In this section:
``(1) Eligible institution.--The term `eligible
institution' means a minority-serving institution or
historically Black college or university that is a public 4-
year institution of higher education or a private, nonprofit 4-
year institution of higher education.
``(2) Eligible student.--The term `eligible student' means
a student who--
``(A) has received an associate's degree or has
earned not less than 60 credits toward a baccalaureate
degree;
``(B) is enrolled, at an eligible institution
awarded a grant under this section, on a full-time
basis in a course of study that will lead to employment
in a public service job; and
``(C) has submitted a Free Application for Federal
Student Aid (FAFSA) to the Department.
``(3) Historically black college or university.--The term
`historically Black college or university' means a part B
institution described in section 322(2).
``(4) Minority-serving institution.--The term `minority-
serving institution' means any public or nonprofit institution
of higher education--
``(A) described in paragraphs (2) through (7) of
section 371(a); and
``(B) designated as a minority-serving institution
by the Secretary.
``(5) On-campus room and board.--The term `on-campus room
and board' means--
``(A) the cost to a student of a double room on
campus; and
``(B) the cost of a resident student meal plan.
``(6) Public service job.--The term `public service job'
has the meaning given the term in section 455(m)(3)(B).
``(b) Establishment of Program.--The Secretary shall establish a
National Public Service Education Grant program for eligible
institutions to provide a debt-free undergraduate education to students
who commit to work for not less than 3 years in a public service job
upon completion of their baccalaureate degree.
``(c) Grants From the Department to Eligible Institutions.--
``(1) In general.--The Secretary shall award grants to
eligible institutions to enable the eligible institutions to
award grants to eligible students who commit to work for not
less than 3 years in a public service job upon completion of
their baccalaureate degree.
``(2) Duration.--Grants awarded to eligible institutions
under this subsection shall be 5 years in duration. Subject to
subsection (e), such a grant may be extended for additional 5-
year periods.
``(3) Amounts.--
``(A) In general.--Except as provided in
subparagraph (B), the Secretary shall award a grant to
an eligible institution under this subsection for a
fiscal year in an amount equal to the actual annual
cost of in-State tuition, fees, and on-campus room and
board at the eligible institution during the fiscal
year multiplied by the number of eligible students
enrolled at the institution who apply for a grant under
this section during the fiscal year.
``(B) Nontraditional calendar.--The calculation of
the cost of tuition, fees, and on-campus room and board
under subparagraph (A) with respect to an eligible
student who applies for a grant under this section for
enrollment during the summer or other nontraditional
period shall be the cost of the cost of tuition, fees,
and on-campus room and board for such summer or other
nontraditional period.
``(4) Applications.--The Secretary shall design an
application for eligible institutions to participate in the
grant program under this subsection that includes a description
of how the eligible institution, if awarded a grant under this
subsection, will provide services to students as follows:
``(A) Provide comprehensive academic and student
support services for eligible students awarded grants
under this section, including mentoring and advising,
particularly for first-generation and minority
students.
``(B) Provide accelerated learning opportunities
for eligible students awarded grants under this section
to receive their baccalaureate degree and any required
certificate or license to work in their respective
public service job in less than 2 years if an eligible
student seeks to complete the degree in less than 2
years.
``(C) Foster opportunities for eligible students
awarded grants under this section to connect with
potential public service job employers through the
Corporation for National and Community Service.
``(D) Any additional information determined
necessary by the Secretary.
``(d) Grants to Eligible Students.--
``(1) In general.--Each eligible institution that receives
a grant under subsection (c) shall award grants to eligible
students enrolled at the institution.
``(2) Application.--An eligible student who desires to
receive a grant under this section shall submit an application
to the eligible institution that includes the following:
``(A) An agreement to work for not less than 3
years in a public service job upon completion of their
baccalaureate degree.
``(B) Information that demonstrates that the
student is an eligible student for purposes of section
484.
``(C) Information that demonstrates that the
student has received counseling from the Department
that explains the terms and conditions of the grant
award.
``(D) Any additional information determined
necessary by the Secretary.
``(3) Grant amount.--
``(A) In general.--An eligible institution shall
award a grant to an eligible student enrolled at the
institution for an academic year in an amount equal to
the total grant amount received by the eligible
institution under subsection (c) for the fiscal year
preceding the academic year divided by the number of
students to whom the eligible institution awards grants
under this subsection for such academic year.
``(B) Nontraditional calendar.--An eligible
institution shall award a grant to an eligible student
who applies for a grant under this section for
enrollment during the summer or other nontraditional
period in an amount, from the total grant amount
received by the eligible institution under subsection
(c), that is prorated to reflect the cost of tuition,
fees, and on-campus room and board for such summer or
other nontraditional period.
``(4) Cost of attendance beyond grant amount.--
``(A) Amounts not covered by npseg grants.--
``(i) Public institution.--An eligible
institution that is a public institution of
higher education may cover, with respect to an
eligible student, any amounts of the cost of
attendance that are in excess of the total
amount awarded to the eligible student through
the grant award under paragraph (3), based on
the demonstrated financial need of the student.
For the remaining costs, the eligible student
enrolled at an eligible institution that is a
public institution shall be responsible for any
amounts of the cost of attendance that are in
excess of the total amount awarded to that
eligible student through the grant award under
paragraph (3) and any amount provided pursuant
to the preceding sentence. The eligible student
may be eligible for Federal student aid in
accordance with subparagraph (B) for the
remaining cost of attendance amount for which
the student is responsible.
``(ii) Private institution.--
``(I) In general.--An eligible
institution that is a private,
nonprofit institution of higher
education shall--
``(aa) with respect to an
eligible student described in
subclause (II), cover excess
costs toward meeting an
eligible student's cost of
attendance in an amount equal
to or greater than the amount
of the grant award to the
eligible student described in
paragraph (3); and
``(bb) with respect to an
eligible student not described
in subclause (II), not be
obligated to provide additional
institutional-based financial
aid to such student.
``(II) Eligible students.--An
eligible student is described in this
subclause if the student's (or the
student's parents' in the case of a
dependent student) adjusted gross
income for the taxable year that is 1
year prior to the taxable year that
ends immediately prior to the beginning
of the first award year of the program
under this section is equal to or less
than $125,000, indexed for inflation by
regulation of the Secretary.
``(III) Source of aid.--The
required amount described in subclause
(I)(aa) may be provided through a
combination of grant and work-study
awards under this title for which the
eligible student may be eligible,
campus-based aid programs, State-based
merit or need-based aid, or other
institutional-based merit- or need-
based aid.
``(IV) Student contribution.--The
eligible student shall be responsible
for any amounts of the cost of
attendance that are in excess of the
total amount awarded to that eligible
student through the grant award under
paragraph (3) and the amount of excess
costs provided under subclause (I). The
eligible student may be eligible for
Federal student aid in accordance with
subparagraph (B) for the remaining cost
of attendance amount for which the
student is responsible.
``(iii) Student choice.--An eligible
student who receives a Federal work-study award
by an eligible institution to meet the cost of
attendance beyond a grant awarded under this
section may choose to decline the Federal work-
study award and take out a Federal Direct
Unsubsidized Stafford Loan. An eligible
institution shall be considered to have met the
institution's responsibilities if a student
chooses to take out such a loan in lieu of a
Federal work-study award.
``(B) First dollar award.--In calculating an
eligible student's financial need to cover excess costs
described in subparagraph (A), the eligible institution
shall consider the grant award under this subsection as
the first dollar award, to be available prior to other
funds awarded by the Department of Education under this
title, the State involved, or the institution. If a
grant awarded to an eligible student under this section
is equal to the cost of tuition, fees, and on-campus
room and board for such student, the eligible
institution shall not be required to provide additional
institutional scholarship or grant based aid to the
eligible student.
``(C) Housing.--An eligible student who receives a
grant under this subsection may use the grant amounts
for off-campus housing but the student may not use such
grant amounts for any amounts for such off-campus
housing that are in excess of the cost of on-campus
room and board.
``(5) Classes in nontraditional calendars.--An eligible
student who receives a grant under this subsection may use the
grant amounts for enrollment during any period of study.
``(e) Institutional Accountability.--
``(1) In general.--Each eligible institution that receives
a grant under subsection (c) shall--
``(A) provide comprehensive academic and student
support services for eligible students awarded grants
under this section, including mentoring and advising,
particularly for first-generation and minority
students;
``(B) provide accelerated learning opportunities
for eligible students awarded grants under this section
to receive their baccalaureate degree and any required
certificate or license to work in their respective
public service job in less than 2 years if an eligible
student seeks to complete the degree in less than 2
years; and
``(C) foster opportunities for eligible students
awarded grants under this section to connect with
potential public service job employers through the
Corporation for National and Community Service.
``(2) Biennial report.--
``(A) In general.--Each eligible institution that
receives a grant under subsection (c) shall submit a
biennial report to the Secretary describing the
following:
``(i) Academic and student support services
offered to eligible students awarded grants
under this section.
``(ii) Such students' progress towards
baccalaureate degree completion and graduation.
``(iii) Outreach to potential public
service job employers for the eligible students
awarded grants under this section.
``(B) Continuing grant awards to eligible
institutions.--The Secretary may continue grant awards
to an eligible institution under subsection (c) after
the initial 5-year grant period for additional 5-year
periods if--
``(i) the institution complies with the
requirements of paragraph (1); and
``(ii) the eligible students awarded grants
under this section who are enrolled at the
institution have a baccalaureate degree
graduation rate that meets or exceeds a rate
determined appropriate by the Secretary.
``(C) Discontinuing grant awards to eligible
institutions.--
``(i) In general.--The Secretary may
discontinue grant awards to an eligible
institution under subsection (c) after the
initial 5-year grant period based on the
outcome of the biennial reports under
subparagraph (A).
``(ii) Notification.--Prior to the
Secretary discontinuing a grant award under
clause (i), the Secretary shall notify the
institution, prior to the start of the 5th year
of the 5-year grant period, in a publically
available format, that the institution is, or
is potentially, out of compliance with the
requirements of the grant award and may have
the institution's grant awards discontinued.
``(iii) Modifications.--In the 5th year of
the 5-year grant period, an eligible
institution may make modifications to the
institution's grant program and appeal to the
Secretary for a renewal of the institution's
grant.
``(iv) Decision.--The Secretary, prior to
the conclusion of the 5-year grant period,
shall render a decision on whether to continue
grant awards to an eligible institution.
``(v) Remaining responsibility.--If the
Secretary discontinues grant awards to an
eligible institution under subsection (c), the
institution shall be responsible for
maintaining academic and student support
services and providing the full remaining costs
for eligible students awarded a grant under
this section prior to such discontinuation to
receive their baccalaureate degree debt free.
``(3) Institutional prohibitions.--Each eligible
institution that receives a grant under subsection (c) may
not--
``(A) use grant funds for administrative purposes;
or
``(B) establish different tuition prices between
eligible students who receive grants under this section
and students who do not receive grants under this
section for pursing the same course of study.
``(f) Student Accountability.--
``(1) Enrollment; gpa; service.--
``(A) In general.--An eligible student awarded a
grant under this section shall--
``(i) maintain full-time enrollment in
order to complete the student's baccalaureate
degree in not more than 2 years; and
``(ii) maintain satisfactory academic
progress, defined as a 3.0 grade point average
(GPA) or higher, and meet all other
institutional standards for academic progress.
``(B) Two weeks of service.--
``(i) In general.--Except as otherwise
provided in this subparagraph, an eligible
student awarded a grant under this section
shall serve for 80 hours as a participant in a
Corporation for National and Community Service
national service project for each year the
eligible student receives the grant. The
eligible institution shall assist in placing
the eligible student in such a project relevant
to the eligible student's course of study. Such
required hours may be completed at any point
during the student's enrollment but shall be
completed prior to the date the eligible
student receives the student's baccalaureate
degree.
``(ii) Other project.--If an eligible
student resides in an area without a local
Corporation for National and Community Service
national service project available, the student
may instead participate in a service project
with a community action agency, a local
government agency, or an organization described
in section 501(c)(3) of the Internal Revenue
Code of 1986.
``(iii) Medical exemption.--The Secretary
may grant an eligible student a medical
exemption from the service commitment under
this subparagraph if the student becomes
medically unable to complete the service
commitment over the course of the academic
year. An eligible student granted such an
exemption shall complete the service commitment
upon recovery without risking eligibility
status in the grant program under this section.
``(2) Satisfactory progress.--
``(A) After one year.--In the case in which an
eligible student awarded a grant under this section
does not maintain satisfactory academic progress, as
described in paragraph (1)(A)(ii), after the first
academic year for which the student received the grant,
the student shall--
``(i) serve an additional year in a public
service job beyond the 3-year commitment upon
receiving the student's baccalaureate degree;
and
``(ii) receive additional academic supports
from the eligible institution in which the
student is enrolled.
``(B) After two years.--In the case in which an
eligible student awarded a grant under this section
does not receive a baccalaureate degree after the
second academic year for which the student received the
grant, the total of the grant award amount and
remaining funds provided by the institution shall be
treated as a Federal Direct Unsubsidized Stafford Loan
under part D of title IV, and shall be subject to
repayment, as described in paragraph (4).
``(C) Appeals.--In the case in which an eligible
student awarded a grant under this section does not
maintain satisfactory academic progress, as described
in paragraph (1)(A)(ii), after the first academic year
for which the student received the grant, the student
may appeal the decision to serve an additional year, as
described in subparagraph (A)(i). The appeal shall be
made in writing to the eligible institution and include
an academic plan approved by the student's adviser. The
academic plan shall show a clear pathway to graduation
within 1 year.
``(3) Public service job work obligation.--
``(A) In general.--Except as provided in paragraph
(2)(A)(i) and subparagraph (C), an eligible student
awarded a grant under this section shall work for not
less than 3 years in a public service job after
receiving the student's baccalaureate degree. Such 3
years (or 4 years, in the case of a scenario described
in paragraph (2)(A)(i)) may be consecutive or
nonconsecutive but shall be completed not later than 5
years (or 6 years, in the case of a scenario described
in paragraph (2)(A)(i)) after the date the student
receives the student's baccalaureate degree.
``(B) Notification.--An eligible student awarded a
grant under this section shall notify the Department,
utilizing a form designed by the Secretary, of the
student's compliance or noncompliance with subparagraph
(A) annually until such student completes the student's
work obligation.
``(C) Deferment for graduate school.--The work
obligation described in subparagraph (A) of an eligible
student awarded a grant under this section who enrolls
as a full-time student in a post-baccalaureate degree
program not later than 3 years after the date the
student receives the student's baccalaureate degree
shall be deferred during the period of such full-time
enrollment. Any years of service completed prior to
full-time enrollment in a post-baccalaureate degree
program shall count toward such work obligation.
``(4) Repayment for noncompliance.--In the event that an
eligible student awarded a grant under this section fails or
refuses to comply with the work obligation as described in
paragraph (3), or the student does not receive a baccalaureate
degree after the second academic year for which the student
received the grant, as described in paragraph (2)(B), the sum
of the amounts of any grants received by the student shall,
upon a determination of such a failure or refusal in such
service obligation or failure to meet satisfactory academic
progress, be treated as a Federal Direct Unsubsidized Stafford
Loan under part D of title IV, and shall be subject to
repayment, together with interest thereon accruing from the
date of the grant award, in accordance with terms and
conditions specified by the Secretary in regulations under this
section.
``(5) Medical exemption.--The Secretary may grant an
eligible student awarded a grant under this section a medical
exemption--
``(A) from the requirement of maintaining
satisfactory academic progress under paragraph
(1)(A)(ii); or
``(B) from a term or condition of the work
obligation of the student if the student becomes
medically unable to complete the student's studies or
public service job work obligation.''.
TITLE III--DEBT-FREE PUBLIC SERVICE LOAN FORGIVENESS PROGRAM
SEC. 301. DEBT-FREE PUBLIC SERVICE LOAN FORGIVENESS PROGRAM.
(a) In General.--Section 455(m) of the Higher Education Act of 1965
(20 U.S.C. 1087e(m)) is amended by adding at the end the following:
``(5) Debt-free public service loan forgiveness program.--
``(A) In general.--Beginning after the date of
enactment of the Strengthening American Communities Act
of 2019, after the conclusion of each employment period
in a public service job, as described in subparagraph
(B), the Secretary shall cancel the percent specified
in such subparagraph of the total amount due on any
eligible Federal Direct Loan made after the date of
enactment of the Strengthening American Communities Act
of 2019 for a borrower who--
``(i) is employed in such public service
job;
``(ii) submits an employment certification
form described in subparagraph (C);
``(iii) is enrolled in a repayment plan
described in paragraph (1)(A); and
``(iv) notifies the Department that the
borrower seeks loan cancellation under this
paragraph.
``(B) Percent amount.--The percent of a loan that
shall be canceled under subparagraph (A) is as follows:
``(i) In the case of a borrower who
completes 2 years of employment in a public
service job, 15 percent of the total amount due
on the eligible Federal Direct Loan on the date
the borrower commenced employment in such
public service job.
``(ii) In the case of a borrower who
completes 4 years of employment in a public
service job, 15 percent of the total amount due
on the eligible Federal Direct Loan on the date
the borrower commenced employment in such
public service job.
``(iii) In the case of a borrower who
completes 6 years of employment in a public
service job, 20 percent of the total amount due
on the eligible Federal Direct Loan on the date
the borrower commenced employment in such
public service job.
``(iv) In the case of a borrower who
completes 8 years of employment in a public
service job, 20 percent of the total amount due
on the eligible Federal Direct Loan on the date
the borrower commenced employment in such
public service job.
``(v) In the case of a borrower who
completes 10 years of employment in a public
service job, 30 percent of the total amount due
on the eligible Federal Direct Loan on the date
the borrower commenced employment in such
public service job.
``(C) Employment certification form.--
``(i) In general.--In order to receive loan
cancellation under this paragraph, a borrower
shall submit to the Secretary an employment
certification form that is developed by the
Secretary and includes at least self-
certification of employment, a separate part
for employer certification that indicates the
dates of employment, and any additional
information required by the Secretary.
``(ii) Deferment.--If a borrower submits to
the Secretary the employment certification form
described in clause (i), during the period in
which the borrower is employed in a public
service job for which loan cancellation is
eligible under this paragraph, the borrower's
eligible Federal Direct Loan shall be placed in
deferment.
``(D) Interest canceled.--If a portion of a loan is
canceled under this paragraph for any year, the entire
amount of interest on such loan that accrues for such
year shall be canceled.
``(E) No retroactivity.--A borrower may not receive
credit for purposes of loan forgiveness under this
paragraph for years of employment in a public service
job that occurred before the date of enactment of the
Strengthening American Communities Act of 2019.
``(F) Leaving public service.--
``(i) In general.--If a borrower who
receives loan cancellation under this paragraph
leaves the public service job, either
voluntarily or involuntarily, for which the
borrower received loan cancellation before the
total amount due on the eligible Federal Direct
Loan is canceled under this paragraph, such
borrower shall retain eligibility for
accelerated loan cancellation under this
paragraph for such eligible Federal Direct Loan
if the borrower commences employment in a
public service job not later than 3 years after
the date the borrower left the public service
job for which the borrower received loan
cancellation.
``(ii) Eligibility status.--If a borrower
described in clause (i) commences employment in
a public service job within the time period
described in clause (i), such borrower shall
resume eligibility for accelerated loan
cancellation under this paragraph for such
eligible Federal Direct Loan. Such borrower
upon resumption of eligibility shall be
considered to have completed the number of
years of employment in a public service job at
the last completed loan cancellation period
described in subparagraph (B) for such
borrower, even if the borrower had actually
completed an additional year of employment in a
public service job.
``(iii) Loss of eligibility.--If a borrower
described in clause (i) does not commence
employment in a public service job within the
time period described in clause (i), such
borrower shall no longer be eligible for loan
cancellation under this paragraph but may be
eligible for loan cancellation for such loan
under paragraph (1).''.
(b) Notification of Program.--The Secretary of Education, in order
to inform public servants of the benefits of the debt-free public
service loan cancellation program established under section 455(m)(5)
of the Higher Education Act of 1965 (20 U.S.C. 1087e(m))--
(1) shall make guidance publicly available to the employers
of public servants to make public servants aware of such
program; and
(2) is encouraged to work in partnership with State
licensing agencies to make recently licensed public servants
aware of such program.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Education and Labor.
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