[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4054 Introduced in House (IH)]

<DOC>






119th CONGRESS
  1st Session
                                H. R. 4054

   To amend the Higher Education Act of 1965 to reform accreditation.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 20, 2025

   Mr. Fine introduced the following bill; which was referred to the 
                  Committee on Education and Workforce

_______________________________________________________________________

                                 A BILL


 
   To amend the Higher Education Act of 1965 to reform accreditation.

    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 ``Accreditation Choice and Innovation 
Act''.

SEC. 2. ACCREDITING AGENCY RECOGNITION.

    (a) Criteria Required.--Section 496(a) of the Higher Education Act 
of 1965 (20 U.S.C. 1099b(a)) is amended--
            (1) in the matter preceding paragraph (1), in the first 
        sentence, by striking ``or training'' and inserting ``or skills 
        development'';
            (2) by amending paragraph (1) to read as follows:
            ``(1) the accrediting agency or association (other than an 
        accrediting agency or association described in paragraph 
        (2)(D)) shall be a State or national agency or association and 
        shall demonstrate the ability to operate as an institutional or 
        programmatic accrediting agency or association within the State 
        or nationally, as appropriate;'';
            (3) in paragraph (2)--
                    (A) in subparagraph (A)--
                            (i) in clause (i), by striking 
                        ``principal''; and
                            (ii) in clause (ii), by striking ``its 
                        principal'' and inserting ``a''; and
                    (B) in subparagraph (B), by striking ``or'' at the 
                end;
                    (C) in subparagraph (C), by inserting ``or'' at the 
                end; and
                    (D) by adding at the end the following:
                    ``(D) is an entity (such as an industry-specific 
                quality assurance entity) that has been--
                            ``(i) determined by a State to be a 
                        reliable authority as to the quality of 
                        education or skills development offered in such 
                        State for the purposes of this Act; and
                            ``(ii) designated (in accordance with 
                        subsection (b)(1)) by such State as an 
                        accrediting agency or association with respect 
                        to such State for such purposes;'';
            (4) in paragraph (3)--
                    (A) by amending subparagraph (A) to read as 
                follows:
                    ``(A) subparagraph (A), (C), or (D) of paragraph 
                (2), then such agency or association is--
                            ``(i) distinctly incorporated or organized; 
                        and
                            ``(ii) both administratively and 
                        financially separate from, and independent of, 
                        any related, associated, or affiliated trade 
                        association or membership organization, by 
                        ensuring that--
                                    ``(I) the members of the board or 
                                governing body of the accrediting 
                                agency or association are not elected 
                                or selected by the board or chief 
                                executive officer (or the 
                                representative of such board or 
                                officer) of any related, associated, or 
                                affiliated trade association or 
                                membership organization;
                                    ``(II) among the membership of the 
                                board or governing body of the 
                                accrediting agency or association--
                                            ``(aa) if such board or 
                                        body is comprised of 5 or fewer 
                                        members, there is a minimum of 
                                        one member who is not also a 
                                        member of any related, 
                                        associated, or affiliated trade 
                                        association or membership 
                                        organization (referred to in 
                                        this subclause as a `public 
                                        member') and who represents 
                                        business; and
                                            ``(bb) if such board or 
                                        body is comprised of 6 or more 
                                        members, there is a minimum of 
                                        2 public members (at least one 
                                        of whom represents business) 
                                        for every 6 members;
                                    ``(III) guidelines are established 
                                for such members to avoid conflicts of 
                                interest, including specific guidelines 
                                to ensure that no such member is an 
                                employee of any institution accredited 
                                by the agency or association or has a 
                                financial interest in any such 
                                institution;
                                    ``(IV) dues to the accrediting 
                                agency or association are paid 
                                separately from any dues paid to any 
                                related, associated, or affiliated 
                                trade association or membership 
                                organization; and
                                    ``(V) the budget of the accrediting 
                                agency or association is developed, 
                                determined, and maintained by the 
                                accrediting agency or association 
                                without any review by, consultation 
                                with, or approval by any related, 
                                associated, or affiliated trade 
                                association or membership 
                                organization;'';
                    (B) by striking ``or'' at the end of subparagraph 
                (B); and
                    (C) by striking subparagraph (C);
            (5) in paragraph (4)--
                    (A) in subparagraph (A)--
                            (i) by inserting ``(in the manner described 
                        in subparagraph (B))'' after ``religious 
                        missions''; and
                            (ii) by striking ``and'' at the end; and
                    (B) by striking subparagraph (B) and inserting the 
                following:
                    ``(B) such accrediting agency or association 
                consistently applies and enforces standards that 
                respect the stated religious mission of an institution 
                of higher education by--
                            ``(i) basing decisions regarding 
                        accreditation and preaccreditation on the 
                        standards of accreditation of such agency or 
                        association; and
                            ``(ii) not using as a negative factor the 
                        institution's religious mission based policies, 
                        decisions, and practices in the areas covered 
                        by subparagraphs (B), (C), (D), (E), and (F) of 
                        paragraph (5), except that the agency or 
                        association may require that the institution's 
                        or a program of study's curricula include all 
                        core components required by the agency or 
                        association that are not inconsistent with the 
                        institution's religious mission; and
                    ``(C) such agency or association demonstrates the 
                ability to review, evaluate, and assess the quality of 
                any instruction delivery model or method such agency or 
                association has or seeks to include within its scope of 
                recognition, without giving preference to or 
                differentially treating (such as through separate 
                standards, procedures, or policies) a particular 
                instruction delivery model or method offered by an 
                institution or program, except that in a case in which 
                an instruction delivery model allows for the separation 
                of the student from the instructor, the agency or 
                association requires the institution to have processes 
                through which the institution establishes that the 
                student who registers in a course or program with such 
                an instruction delivery model is the same student who 
                participates in the course or program of study 
                (including, to the extent practicable, the testing or 
                other assessments required under the course or program 
                of study), completes the course or program of study, 
                and receives the academic credit for such course or 
                program of study;''; and
            (6) in paragraph (5)--
                    (A) by amending subparagraph (A) to read as 
                follows:
                    ``(A) success with respect to student achievement 
                outcomes in relation to the institution's mission and 
                to the programs the institution offers, or the mission 
                of a specific degree, certificate, or credential 
                program, which may include different standards for 
                different institutions or programs of study, and which 
                shall include--
                            ``(i) standards for consideration of 
                        student success outcomes measures, including--
                                    ``(I) a comparison of the total 
                                price charged to students for a program 
                                of study to the value-added earnings of 
                                students who completed such program 
                                (such as a comparison, with respect to 
                                students who completed the program in 
                                the same award year, of the median 
                                total price charged to such students to 
                                the median value-added earnings of such 
                                students);
                                    ``(II) completion rates;
                                    ``(III) retention rates; and
                                    ``(IV) loan repayment rates);
                            ``(ii) standards for consideration of 
                        learning outcomes measures (such as competency 
                        attainment and licensing examination passage 
                        rates); and
                            ``(iii) standards for consideration of 
                        labor market outcomes measures (such as 
                        employability measures, earnings gains, or 
                        other similar approaches); and''; and
                    (B) by amending subparagraph (I) to read as 
                follows:
                    ``(I) record of student complaints received by, or 
                available to, the agency or association, and a process 
                for resolving complaints received by the institution; 
                and''; and
                    (C) in the matter following subparagraph (J), by 
                striking ``subparagraphs (A), (H), and (J)'' and 
                inserting ``subparagraph ((J)''.
    (b) Secretarial Requirements and Authority.--Subsection (b) of 
section 496 of the Higher Education Act of 1965 (20 U.S.C. 1099b) is 
amended to read as follows:
    ``(b) Secretarial Requirements and Authority.--
            ``(1) State designated accrediting agency.--
                    ``(A) Approval of state plans.--The Secretary 
                shall--
                            ``(i) approve a State's designation of an 
                        entity as an accrediting agency or association 
                        for the purposes described in subsection 
                        (a)(2)(D) for a 5-year period, beginning not 
                        later than 30 days after receipt of the plan 
                        from such State with respect to such 
                        designation, if such plan includes each of the 
                        elements listed in subparagraph (B);
                            ``(ii) submit to the State and the 
                        authorizing committees, and make publicly 
                        available the Secretary's response to the State 
                        with respect to such plan, including whether 
                        the plan includes each of the elements listed 
                        in subparagraph (B); and
                            ``(iii) if a State's designation of an 
                        entity as an accrediting agency or association 
                        is approved pursuant to this subparagraph, 
                        publish in the Federal Register with a 30-day 
                        public comment period--
                                    ``(I) the plan submitted by such 
                                State with respect to such designation; 
                                and
                                    ``(II) the Secretary's response to 
                                such plan.
                    ``(B) Required plan elements.--The required 
                elements of a State plan submitted under subparagraph 
                (A) with respect to the designation of an entity as an 
                accrediting agency or association are as follows:
                            ``(i) A description of the process the 
                        State used to select the entity for such 
                        designation.
                            ``(ii) A justification of the State's 
                        decision to select the entity for such 
                        designation.
                            ``(iii) A description of any requirements 
                        (in addition to the requirements of this 
                        section), that the State required the entity to 
                        comply with as a condition of receiving and 
                        maintaining such designation, including a 
                        requirement for the entity to use, to the 
                        extent practicable during such designation, the 
                        common terminology developed pursuant to 
                        paragraph (3).
                            ``(iv) A copy of the standards, policies, 
                        and procedures of the entity that the State 
                        considered in selecting the entity for such 
                        designation.
                            ``(v) The State's assessment of how the 
                        standards for accreditation of the entity will 
                        be effective in meeting the requirements of 
                        subsection (a)(5).
                            ``(vi) Evidence that at least one other 
                        State has determined that such entity is a 
                        reliable authority as to the quality of 
                        education offered for the purposes of this Act.
                            ``(vii) An assurance that the State will 
                        comply with the monitoring requirements 
                        described in subparagraph (C).
                    ``(C) State monitoring.--
                            ``(i) In general.--A State that has 
                        designated an entity as an accrediting agency 
                        or association for the purposes described in 
                        subsection (a)(2)(D) shall submit to the 
                        Secretary, and to the State authorizing entity, 
                        as appropriate, a report at the end of the 5-
                        year period for which the entity has received 
                        such designation, which shall include, with 
                        respect to each program of study or institution 
                        that has been accredited by such entity during 
                        such period, and disaggregated by type of 
                        credential, certification, or degree--
                                    ``(I) the number and percentage of 
                                students who have successfully obtained 
                                a postsecondary education credential, 
                                certification, or degree offered by 
                                such program or institution;
                                    ``(II) the number and percentage of 
                                students who were enrolled and did not 
                                successfully obtain such a credential, 
                                certification, or degree within 150 
                                percent of the program length; and
                                    ``(III) the results of the State's 
                                assessment described in subparagraph 
                                (B)(v).
                            ``(ii) Counting transfer students.--For 
                        purposes of clause (i)(I), a student shall be 
                        counted as obtaining a credential, 
                        certification, or degree offered by a program 
                        of study or institution that was accredited by 
                        the entity during the period for which the 
                        report under this subparagraph is being 
                        submitted, if the student obtains such 
                        credential, certification, or degree after 
                        transferring to another institution during such 
                        period.
            ``(2) Authority to provide an accelerated path to 
        recognition.--With respect to a prospective accrediting agency 
        or association that submits to the Secretary an application for 
        initial recognition under this Act, the Secretary may provide 
        such recognition to such agency or association within 2 years 
        after receipt of such application, if such application--
                    ``(A) demonstrates that the agency or association-