H.R. 2899: Preventing Risky Operations from Threatening the Education and Career Trajectories of Students Act of 2025
The "Preventing Risky Operations from Threatening the Education and Career Trajectories of Students Act of 2025" focuses on improving responsibility among higher education institutions to protect students and ensure transparency in various aspects of their operations. Below are the main components of the bill:
Enhanced Accountability
The bill seeks to enhance accountability in higher education institutions. It aims to provide clearer protections for students, ensuring they have access to accurate information regarding:
- Institutional practices
- Funding allocations
- Job placement outcomes
- Legal options available for students against deceptive practices
Funding Allocation Requirements
Starting from the academic year 2031–2032, institutions that wish to participate in federal programs must allocate at least 30% of their tuition and fees towards instruction and student services. This requirement includes:
- Establishing specific thresholds for expenditures
- Meeting reporting obligations to demonstrate compliance
- Facing penalties if they fail to comply with these requirements
Compliance and Penalties
The Secretary of Education has the authority to terminate an institution's ability to participate in federal programs if it misrepresents information or violates any consumer protection laws. The enforcement measures include:
- Administrative or judicial findings leading to penalties
- Institutions must stay compliant with program participation agreements
- Damages assessed against institutions will be based on the funds disbursed, ensuring a fair evaluation of their financial practices
Objectives of the Bill
The overall objectives of the bill include ensuring that students receive a quality education, transparent information regarding institutional operations, and a means of seeking legal recourse against institutions that engage in questionable practices.
Relevant Companies
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Sponsors
6 bill sponsors
Actions
2 actions
| Date | Action |
|---|---|
| Apr. 10, 2025 | Introduced in House |
| Apr. 10, 2025 | Referred to the Committee on Education and Workforce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned. |
Corporate Lobbying
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Potentially Relevant Congressional Stock Trades
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