---
kind: "diff"
citation: "S. 2921"
bill: "114-s-2921"
heading: "Veterans First Act"
from: "is"
from_label: "Introduced in Senate"
to: "rs"
to_label: "Reported in Senate"
sections_amended: 5
sections_added: 0
sections_removed: 0
url: "https://uscodex.org/bills/114/s/2921/changes/rs"
---

# S. 2921 — what changed

S. 2921, Veterans First Act — 5 sections amended between Introduced in Senate and Reported in Senate.

Edits are marked `<del>struck</del>` and `<ins>inserted</ins>`.

## Sec. 114 Reduction of benefits for members of the Senior Executive Service within the Department of Veterans Affairs convicted of certain crimes

- (a) In general— Chapter 7 of title 38, United States Code, as amended by subtitle A, is further amended by inserting after section 713 the following new section:
  - “714. Senior executives: reduction of benefits of individuals convicted of certain crimes
  - “(a) Reduction of annuity for removed individual—The covered service of an individual removed from a senior executive position at the Department by the Secretary for performance or misconduct shall not be considered creditable service under section 8332 or section 8411 of title 5 for purposes of calculating an annuity with respect to such individual under chapter 83 or chapter 84 of such title if the individual is convicted of a felony (and the conviction is final) that was related, as determined by the Director of the Office of Personnel Management, to the individual’s performance while employed in such senior executive position.
  - “(b) Reduction of annuity for retired individual
  - “(1) The Secretary may order that the covered service of an individual who is subject to a removal or transfer from a senior executive position at the Department by the Secretary for performance or misconduct but who leaves employment at the Department prior to the issuance of a final decision with respect to such removal or transfer shall not be considered creditable service under section 8332 or section 8411 of title 5 for purposes of calculating an annuity with respect to such individual under chapter 83 or chapter 84 of such title if the individual is convicted of a felony (and the conviction is final) that was related, as determined by the Director of the Office of Personnel Management, to the individual’s performance while employed in such senior executive position.
  - “(2) The Secretary shall make such an order not later than seven days after the date on which such individual is convicted of such felony.
  - “(3) Not later than 30 days after the Secretary issues any order with respect to an individual under paragraph (1), the Director of the Office of Personnel Management shall recalculate the annuity of the individual.
  - “(c) <del>Lump-Sum </del><ins>Lump-sum </ins>annuity credit—Any individual with respect to whom an annuity is reduced under subsection (a) or (b) shall be entitled to be paid so much of such individual’s lump-sum credit as is attributable to the period of covered service.
  - “(d) Review of reduction of annuity—Any individual with respect to whom an annuity is reduced under subsection (a) or (b) may appeal the reduction to the Director of the Office of Personnel Management pursuant to such regulations as the Director may prescribe for purposes of this section.
  - “(e) Definitions—In this section:
  - “(1) The term covered service means, with respect to an individual subject to a removal or transfer from a senior executive position at the Department for performance or misconduct, the period of service beginning on the date that the Secretary determines under such section that such individual engaged in activity that gave rise to such action and ending on the date that such individual is removed from the civil service or leaves employment at the Department prior to the issuance of a final decision with respect to such action, as the case may be.
  - “(2) The term lump-sum credit has the meaning given such term in section 8331 or 8401 of title 5, as the case may be.
  - “(3) The term senior executive position has the meaning given such term in section 713(d) of this title.
  - “(4) The term service has the meaning given such term in section 8331 or 8401 of title 5, as the case may be.”
- (b) Application— Section 714 of such title, as added by subsection (a), shall apply to any action of removal or transfer from a senior executive position (as defined in section 713(d) of such title) at the Department of Veterans Affairs commencing on or after the date of the enactment of this title.
- (c) Clerical amendment— The table of sections at the beginning of such chapter, as amended by subtitle A, is further amended by inserting after the item relating to section 713 the following new item:

## Sec. 272 Authorization of agreements between the Department of Veterans Affairs and non-Department providers

- (a) In general— Subchapter I of chapter 17 of title 38, United States Code, as amended by section 271(a)(1), is further amended by inserting after section 1703A the following new section:
  - “1703B. Veterans Care Agreements
  - “(a) Agreements To furnish care
  - “(1) In addition to the authority of the Secretary under this chapter to furnish hospital care, medical services, and extended care at facilities of the Department and under contracts or sharing agreements entered into under authorities other than this section, the Secretary may furnish hospital care, medical services, and extended care through the use of agreements entered into under this section. An agreement entered into under this section may be referred to as a “Veterans Care Agreement”.
  - “(2)
  - “(A) The Secretary may enter into agreements under this section with eligible providers that are certified under subsection (d) if the Secretary is not feasibly able to furnish care or services described in paragraph (1) at facilities of the Department.
  - “(B) The Secretary is not feasibly able to furnish care or services described in paragraph (1) at facilities of the Department if the Secretary determines that the medical condition of the veteran, the travel involved, the nature of the care or services required, or a combination of those factors make the use of facilities of the Department impracticable or inadvisable.
  - “(3) An eligible provider, at its discretion, may opt to enter into an agreement under this section instead of a contract or sharing agreement under authorities other than this section.
  - “(b) Receipt of care
  - “(1) Eligibility of a veteran under this section for care or services described in subsection (a)(1) shall be determined as if such care or services were furnished in a facility of the Department and provisions of this title applicable to veterans receiving such care or services in a facility of the Department shall apply to veterans receiving such care or services under this section.
  - “(2) In carrying out this section, the Secretary—
  - “(A) may not direct veterans seeking care or services described in subsection (a)(1) to health care providers that have entered into contracts or sharing agreements under authorities other than this section, except for agreements under section 101 of the Veterans Access, Choice, and Accountability Act of 2014 (Public Law 113–146; 38 U.S.C. 1701 note); and
  - “(B) shall ensure that veterans have the option to determine whether to receive such care or services from a health care provider described in subparagraph (A) or an eligible provider that has entered into an agreement under this section.
  - “(c) Eligible providers—For purposes of this section, an eligible provider is one of the following:
  - “(1) A provider of services that has enrolled and entered into a provider agreement under section 1866(a) of the Social Security Act (42 U.S.C. 1395cc(a)).
  - “(2) A physician or supplier that has enrolled and entered into a participation agreement under section 1842(h) of such Act (42 U.S.C. 1395u(h)).
  - “(3) A provider of items and services receiving payment under a State plan under title XIX of such Act (42 U.S.C. 1396 et seq.) or a waiver of such a plan.
  - “(4) A health care provider that is—
  - “(A) an Aging and Disability Resource Center, an area agency on aging, or a State agency (as defined in section 102 of the Older Americans Act of 1965 (42 U.S.C. 3002)); or
  - “(B) a center for independent living (as defined in section 702 of the Rehabilitation Act of 1973 (29 U.S.C. 796a)).
  - “(5) A provider that is located in—
  - “(A) an area that is designated as a health professional shortage area (as defined in section 332 of the Public Health Service Act (42 U.S.C. 254e)); or
  - “(B) a county that is not in a metropolitan statistical area.
  - “(6) Such other health care providers as the Secretary considers appropriate for purposes of this section.
  - “(d) Certification of eligible providers
  - “(1) The Secretary shall establish a process for the certification of eligible providers under this section that shall, at a minimum, set forth the <del>following:</del><ins>following.</ins>
  - “(A) Procedures for the submittal of applications for certification and deadlines for actions taken by the Secretary with respect to such applications.
  - “(B) Standards and procedures for approval and denial of certification, duration of certification, revocation of certification, and recertification.
  - “(C) Procedures for assessing eligible providers based on the risk of fraud, waste, and abuse of such providers similar to the level of screening under section 1866(j)(2)(B) of the Social Security Act (42 U.S.C. 1395cc(j)(2)(B)) and the standards set forth under section 9.104 of title 48, Code of Federal Regulations, or any successor regulation.
  - “(2) The Secretary shall deny or revoke certification to an eligible provider under this subsection if the Secretary determines that the eligible provider is currently—
  - “(A) excluded from participation in a Federal health care program (as defined in section 1128B(f) of the Social Security Act (42 U.S.C. 1320a–7b(f))) under section 1128 or 1128A of the Social Security Act (42 U.S.C. 1320a–7 and 1320a–7a); or
  - “(B) identified as an excluded source on the list maintained in the System for Award Management, or any successor system.
  - “(e) Terms of agreements—Each agreement entered into with an eligible provider under this section shall include provisions requiring the eligible provider to do the following:
  - “(1) To accept payment for care or services furnished under this section at rates established by the Secretary for purposes of this section, which shall be, to the extent practicable, the rates paid by the United States for such care or services to providers of services and suppliers under the Medicare program under title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.).
  - “(2) To accept payment under paragraph (1) as payment in full for care or services furnished under this section and to not seek any payment for such care or services from the recipient of such care or services.
  - “(3) To furnish under this section only the care or services authorized by the Department under this section unless the eligible provider receives prior written consent from the Department to furnish care or services outside the scope of such authorization.
  - “(4) To bill the Department for care or services furnished under this section in accordance with a methodology established by the Secretary for purposes of this section.
  - “(5) Not to seek to recover or collect from a health-plan contract or third party, as those terms are defined in section 1729 of this title, for any care or services for which payment is made by the Department under this section.
  - “(6) To provide medical records for veterans furnished care or services under this section to the Department in a time frame and format specified by the Secretary for purposes of this section.
  - “(7) To meet such other terms and conditions, including quality of care assurance standards, as the Secretary may specify for purposes of this section.
  - “(f) Termination of agreements
  - “(1) An eligible provider may terminate an agreement with the Secretary under this section at such time and upon such notice to the Secretary as the Secretary may specify for purposes of this section.
  - “(2) The Secretary may terminate an agreement with an eligible provider under this section at such time and upon such notice to the eligible provider as the Secretary may specify for purposes of this section, if the Secretary—
  - “(A) determines that the eligible provider failed to comply substantially with the provisions of the agreement or with the provisions of this section and the regulations prescribed thereunder;
  - “(B) determines that the eligible provider is—
  - “(i) excluded from participation in a Federal health care program (as defined in section 1128B(f) of the Social Security Act (42 U.S.C. 1320a–7b(f))) under section 1128 or 1128A of the Social Security Act (42 U.S.C. 1320a–7 and 1320a–7a); or
  - “(ii) identified as an excluded source on the list maintained in the System for Award Management, or any successor system;
  - “(C) ascertains that the eligible provider has been convicted of a felony or other serious offense under Federal or State law and determines that the continued participation of the eligible provider would be detrimental to the best interests of veterans or the Department; or
  - “(D) determines that it is reasonable to terminate the agreement based on the health care needs of a veteran or veterans.
  - “(g) Periodic review of certain agreements
  - “(1) Not less frequently than once every two years, the Secretary shall review each Veterans Care Agreement of material size entered into during the two-year period preceding the review to determine whether it is feasible and advisable to furnish the hospital care, medical services, or extended care furnished under such agreement at facilities of the Department or through contracts or sharing agreements entered into under authorities other than this section.
  - “(2)
  - “(A) Subject to subparagraph (B), a Veterans Care Agreement is of material size as determined by the Secretary for purposes of this section.
  - “(B) A Veterans Care Agreement entered into after September 30, 2016, for the purchase of extended care services is of material size if the purchase of such services under the agreement exceeds $1,000,000 annually. The Secretary may adjust such amount to account for changes in the cost of health care based upon recognized health care market surveys and other available data and shall publish any such adjustments in the Federal Register.
  - “(h) Treatment of certain laws
  - “(1) An agreement under this section may be entered into without regard to any law that would require the Secretary to use competitive procedures in selecting the party with which to enter into the agreement.
  - “(2)
  - “(A) Except as provided in subparagraph (B), and unless otherwise provided in this section or section 277 of the Jason Simcakoski Memorial Act or regulations prescribed pursuant to this section or such section 277, an eligible provider that enters into an agreement under this section is not subject to, in the carrying out of the agreement, any law to which an eligible provider described in subsection (b)(1), (b)(2), or (b)(3) is not subject under the original Medicare fee-for-service program under parts A and B of title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.) or the Medicaid program under title XIX of such Act (42 U.S.C. 1396 et seq.).
  - “(B) The exclusion under subparagraph (A) does not apply to laws regarding integrity, ethics, fraud, or that subject a person to civil or criminal penalties.
  - “(3) Title VII of the Civil Rights Act of 1964 (42 U.S.C. 2000e et seq.) shall apply with respect to an eligible provider that enters into an agreement under this section to the same extent as such title applies with respect to the eligible provider in providing care or services through an agreement or arrangement other than under this section.
  - “(i) Monitoring of quality of care—The Secretary shall establish a system or systems, consistent with survey and certification procedures used by the Centers for Medicare & Medicaid Services and State survey agencies to the extent practicable—
  - “(1) to monitor the quality of care and services furnished to veterans under this section; and
  - “(2) to assess the quality of care and services furnished by an eligible provider under this section for purposes of determining whether to renew an agreement under this section with the eligible provider.
  - “(j) Dispute resolution—The Secretary shall establish administrative procedures for eligible providers with which the Secretary has entered into an agreement under this section to present any dispute arising under or related to the agreement.
  - “(k) Termination of authority—The Secretary may not enter into an agreement under this section, other than for the provision of extended care or hospice care, after September 30, 2017.
  - “(l) Rule of construction—Nothing in this section shall be construed to alter any contract or agreement entered into between the Department and a State home (as that term is used in subchapter V of this chapter) before the date of the enactment of the Jason Simcakoski Memorial Act.
  - “(m) Annual report—Not later than one year after the date of the enactment of the Jason Simcakoski Memorial Act, and not less frequently than annually thereafter, the Secretary shall submit to the Committee on Veterans’ Affairs of the Senate and the Committee on Veterans’ Affairs of the House of Representatives a report that contains the following:
  - “(1) The total number of agreements entered into with eligible providers under this section.
  - “(2) A list of the medical centers of the Department that have entered into agreements with eligible providers under this section.”
- (b) Regulations— The Secretary of Veterans Affairs shall prescribe an interim final rule to carry out section 1703B of such title, as added by subsection (a), not later than one year after the date of the enactment of this Act.
- (c) Clerical amendment— The table of sections at the beginning of chapter 17 of such title, as amended by section 271(a)(2), is further amended by inserting after the item related to section 1703A the following new item:

## Sec. 401 Clarification of eligibility for Marine Gunnery Sergeant John David Fry Scholarship

- (a) In General— Section 701(d) of the Veterans Access, Choice, and Accountability Act of 2014 (Public Law 113–146; 128 Stat. 1796; 38 U.S.C. 3311 note) is amended to read as follows:
  - “(d) Applicability
  - “(1) In general—The amendments made by this section shall apply with respect to a quarter, semester, or term, as applicable, commencing on or after January 1, 2015.
  - “(2) Deaths that occurred between September 11, 2001, and December 31, 2005—For purposes of section 3311(f)(2) of title 38, United States Code, any member of the Armed Forces who died during the period beginning on September 11, 2001, and ending on December 31, 2005, is deemed to have died on January 1, 2006.”
- (b) Election on receipt of certain benefits— Section 3311(f) of title 38, United States Code, is amended—
  - (1) in paragraph (3), by striking “A surviving spouse” and inserting “Except as provided in paragraph (4), a surviving spouse”;
  - (2) by redesignating paragraph (4) as paragraph (5); and
  - (3) by inserting after paragraph (3) the following new paragraph (4):
    - “(4) Exception for certain elections
    - “(A) In general—An election made under paragraph (3) by a spouse described in subparagraph (B) may not be treated as irrevocable if such election occurred before the date of the enactment of this paragraph.
    - “(B) Eligible surviving spouse—A spouse described in this subparagraph is an individual—
    - “(i) who is entitled to assistance under subsection (a) pursuant to paragraph (9) of subsection (b); and
    - “(ii) who was the spouse of a member of the Armed Forces who died during the period beginning on September 11, 2001, and ending on December 31, 2005.”
- (c) Technical amendment— Paragraph (5) of subsection (f) of section 3311 of title 38, United States Code, as redesignated by subsection (b)(2), is amended by striking “that paragraph” and inserting “paragraph (9) of subsection (b)”.
- (d) Yellow Ribbon <del>GI </del><ins>G.I. </ins>Education Enhancement Program— Section 3317(a) of such title is amended by striking “paragraphs (1) and (2) of section 3311(b)” and inserting “paragraphs (1), (2), and (9) of section 3311(b) of this title”.

## Sec. 406 Codification and improvement of election process for Post-9/11 Educational Assistance Program

- (a) In general— Subchapter III of chapter 33 of title 38, United States Code, is amended—
  - (1) by redesignating section 3325 as section 3326; and
  - (2) by inserting after section 3324 the following new section 3325:
    - “3325. Election to receive educational assistance
    - “(a) Individuals eligible <del>To </del><ins>to </ins>elect participation in post-9/11 educational assistance—An individual may elect to receive educational assistance under this chapter if such individual—
    - “(1) as of August 1, 2009—
    - “(A) is entitled to basic educational assistance under chapter 30 of this title and has used, but retains unused, entitlement under that chapter;
    - “(B) is entitled to educational assistance under chapter 107, 1606, or 1607 of title 10 and has used, but retains unused, entitlement under the applicable chapter;
    - “(C) is entitled to basic educational assistance under chapter 30 of this title but has not used any entitlement under that chapter;
    - “(D) is entitled to educational assistance under chapter 107, 1606, or 1607 of title 10 but has not used any entitlement under such chapter;
    - “(E) is a member of the Armed Forces who is eligible for receipt of basic educational assistance under chapter 30 of this title and is making contributions toward such assistance under section 3011(b) or 3012(c) of this title; or
    - “(F) is a member of the Armed Forces who is not entitled to basic educational assistance under chapter 30 of this title by reason of an election under section 3011(c)(1) or 3012(d)(1) of this title; and
    - “(2) as of the date of the individual’s election under this paragraph, meets the requirements for entitlement to educational assistance under this chapter.
    - “(b) Cessation of contributions toward GI bill—Effective as of the first month beginning on or after the date of an election under subsection (a) of an individual described by paragraph (1)(E) of that subsection, the obligation of the individual to make contributions under section 3011(b) or 3012(c) of this title, as applicable, shall cease, and the requirements of such section shall be deemed to be no longer applicable to the individual.
    - “(c) Revocation of remaining transferred entitlement
    - “(1) Election to revoke—If, on the date an individual described in paragraph (1)(A) or (1)(C) of subsection (a) makes an election under that subsection, a transfer of the entitlement of the individual to basic educational assistance under section 3020 of this title is in effect and a number of months of the entitlement so transferred remain unutilized, the individual may elect to revoke all or a portion of the entitlement so transferred that remains unutilized.
    - “(2) Availability of revoked entitlement—Any entitlement revoked by an individual under this paragraph shall no longer be available to the dependent to whom transferred, but shall be available to the individual instead for educational assistance under chapter 33 of this title in accordance with the provisions of this section.
    - “(3) Availability of unrevoked entitlement—Any entitlement described in paragraph (1) that is not revoked by an individual in accordance with that paragraph shall remain available to the dependent or dependents concerned in accordance with the current transfer of such entitlement under section 3020 of this title.
    - “(d) Post-9/11 educational assistance
    - “(1) In general—Subject to paragraph (2) and except as provided in subsection (e), an individual making an election under subsection (a) shall be entitled to educational assistance under this chapter in accordance with the provisions of this chapter, instead of basic educational assistance under chapter 30 of this title, or educational assistance under chapter 107, 1606, or 1607 of title 10, as applicable.
    - “(2) Limitation on entitlement for certain individuals—In the case of an individual making an election under subsection (a) who is described by paragraph (1)(A) of that subsection, the number of months of entitlement of the individual to educational assistance under this chapter shall be the number of months equal to—
    - “(A) the number of months of unused entitlement of the individual under chapter 30 of this title, as of the date of the election, plus
    - “(B) the number of months, if any, of entitlement revoked by the individual under subsection (c)(1).
    - “(e) Continuing entitlement to educational assistance not available under 9/11 assistance program
    - “(1) In general—In the event educational assistance to which an individual making an election under subsection (a) would be entitled under chapter 30 of this title, or chapter 107, 1606, or 1607 of title 10, as applicable, is not authorized to be available to the individual under the provisions of this chapter the individual shall remain entitled to such educational assistance in accordance with the provisions of the applicable chapter.
    - “(2) Charge for use of entitlement—The utilization by an individual of entitlement under paragraph (1) shall be chargeable against the entitlement of the individual to educational assistance under this chapter at the rate of one month of entitlement under this chapter for each month of entitlement utilized by the individual under paragraph (1) (as determined as if such entitlement were utilized under the provisions of chapter 30 of this title, or chapter 107, 1606, or 1607 of title 10, as applicable).
    - “(f) Additional post-9/11 assistance for members having made contributions toward GI bill
    - “(1) Additional assistance—In the case of an individual making an election under subsection (a) who is described by subparagraph (A), (C), or (E) of paragraph (1) of that subsection, the amount of educational assistance payable to the individual under this chapter as a monthly stipend payable under paragraph (1)(B) of section 3313(c) of this title, or under paragraphs (2) through (7) of that section (as applicable), shall be the amount otherwise payable as a monthly stipend under the applicable paragraph increased by the amount equal to—
    - “(A) the total amount of contributions toward basic educational assistance made by the individual under section 3011(b) or 3012(c) of this title, as of the date of the election, multiplied by
    - “(B) the fraction—
    - “(i) the numerator of which is—
    - “(I) the number of months of entitlement to basic educational assistance under chapter 30 of this title remaining to the individual at the time of the election; plus
    - “(II) the number of months, if any, of entitlement under chapter 30 revoked by the individual under subsection (c)(1); and
    - “(ii) the denominator of which is 36 months.
    - “(2) Months of remaining entitlement for certain individuals—In the case of an individual covered by paragraph (1) who is described by subsection (a)(1)(E), the number of months of entitlement to basic educational assistance remaining to the individual for purposes of paragraph (1)(B)(i)(II) shall be 36 months.
    - “(3) Timing of payment—The amount payable with respect to an individual under paragraph (1) shall be paid to the individual together with the last payment of the monthly stipend payable to the individual under paragraph (1)(B) of section 3313(c) of this title, or under paragraphs (2) through (7) of that section (as applicable), before the exhaustion of the individual’s entitlement to educational assistance under this chapter.
    - “(g) Continuing entitlement to additional assistance for critical skills or speciality and additional service—An individual making an election under subsection (a)(1) who, at the time of the election, is entitled to increased educational assistance under section 3015(d) of this title, or section 16131(i) of title 10, or supplemental educational assistance under subchapter III of chapter 30 of this title, shall remain entitled to such increased educational assistance or supplemental educational assistance in the utilization of entitlement to educational assistance under this chapter, in an amount equal to the quarter, semester, or term, as applicable, equivalent of the monthly amount of such increased educational assistance or supplemental educational assistance payable with respect to the individual at the time of the election.
    - “(h) Alternative election by Secretary
    - “(1) In general—In the case of an individual who, on or after January 1, 2016, submits to the Secretary an election under this section that the Secretary determines is clearly against the interests of the individual, or who fails to make an election under this section, the Secretary may make an alternative election on behalf of the individual that the Secretary determines is in the best interests of the individual.
    - “(2) Notice—If the Secretary makes an election on behalf of an individual under this subsection, the Secretary shall notify the individual by not later than seven days after making such election and shall provide the individual with a 30-day period, beginning on the date of the individual’s receipt of such notice, during which the individual may modify or revoke the election made by the Secretary on the individual’s behalf. The Secretary shall include, as part of such notice, a clear statement of why the alternative election made by the Secretary is in the best interests of the individual as compared to the election submitted by the individual. The Secretary shall provide the notice required under this paragraph by electronic means whenever possible.
    - “(i) Irrevocability of elections—An election under subsection (a) or (c)(1) is irrevocable.”
- (b) Clerical amendment— The table of sections at the beginning of such chapter is amended by striking the item relating to section 3325 and inserting the following new items:
- (c) Conforming repeal— Subsection (c) of section 5003 of the Post-9/11 Veterans Educational Assistance Act of 2008 (Public Law 110–252; 38 U.S.C. 3301 note) is hereby repealed.

## Sec. 425 Modification of requirements for approval for purposes of educational assistance provided by Department of Veterans Affairs of programs designed to prepare individuals for licensure or certification

- (a) Approval of nonaccredited courses— Subsection (c) of section 3676 of title 38, United States Code, as amended by this subtitle, is further amended—
  - (1) by redesignating paragraph (14) as paragraph (16); and
  - (2) by inserting after paragraph (13) the following new paragraphs:
    - “(14) In the case of a course designed to prepare an individual for licensure or certification in a State, the course—
    - “(A) meets all instructional curriculum licensure or certification requirements of such State; and
    - “(B) in the case of a course designed to prepare an individual for licensure to practice law in a State, is accredited by an accrediting agency or association recognized by the Secretary of Education under subpart 2 of part H of title IV of the Higher Education Act of 1965 (20 U.S.C. 1099b).
    - “(15) In the case of a course designed to prepare an individual for employment pursuant to standards developed by a board or agency of a State in an occupation that requires approval, licensure, or certification, the course—
    - “(A) meets such standards; and
    - “(B) in the case of a course designed to prepare an individual for licensure to practice law in a State, is accredited by an accrediting agency or association recognized by the Secretary of Education under subpart 2 of part H of title IV of the Higher Education Act of 1965 (20 U.S.C. 1099b).”
- (b) Exceptions— Such section is further amended by adding at the end the following new subsection:
  - “(f)
  - “(1) The Secretary may waive the requirements of paragraph (14) or (15) of subsection (c) in the case of a course of education offered by an educational institution (either accredited or not accredited) if the Secretary determines all of the following:
  - “(A) The educational institution is not accredited by an agency or association recognized by the Secretary of Education.
  - “(B) The course did not meet the requirements of such paragraph at any time during the two-year period preceding the date of the waiver.
  - “(C) The waiver furthers the purposes of the educational assistance programs administered by the Secretary or would further the education interests of individuals eligible for assistance under such programs.
  - “(D) The educational institution does not provide any commission, bonus, or other incentive payment based directly or indirectly on success in securing enrollments or financial aid to any persons or entities engaged in any student recruiting or admission activities or in making decisions regarding the award of student financial assistance, except for the recruitment of foreign students residing in foreign countries who are not eligible to receive Federal student assistance.
  - “(2) Not later than 30 days after the date on which the Secretary issues a waiver under paragraph (1), the Secretary shall submit to Congress notice of such waiver and a justification for issuing such waiver.”
- (c) Approval of accredited courses— Section 3675(b)(3) of such title, as amended by this subtitle, is further amended—
  - (1) by striking “and (14)” and inserting “(14), (15), and (16)”; and
  - (2) by inserting before the period at the end the following: “(or, with respect to such paragraphs (14) and (15), the requirements under such paragraphs are waived pursuant to subsection (f)(1) of section 3676 of this title)”.
- (d) Approval of accredited standard college degree programs offered at public or <del>not-for-Profit </del><ins>not-for-profit </ins>educational institutions— Section 3672(b)(2) of such title is amended—
  - (1) in subparagraph (A)(i), by striking “An accredited” and inserting “Except as provided in subparagraph (C), an accredited”; and
  - (2) by adding at the end the following new subparagraph:
    - “(C) A course that is described in both subparagraph (A)(i) of this paragraph and in paragraph (14) or (15) of section 3676(c) of this title shall not be deemed to be approved for purposes of this chapter unless—
    - “(i) a State approving agency, or the Secretary when acting in the role of a State approving agency, determines that the course meets the applicable criteria in such paragraphs; or
    - “(ii) the Secretary issues a waiver for such course under section 3676(f)(1) of this title.”
- (e) Disapproval of courses— Section 3679 of such title is amended by adding at the end the following new subsection:
  - “(d) Notwithstanding any other provision of this chapter, the Secretary or the applicable State approving agency shall disapprove a course of education described in paragraph (14) or (15) of section 3676(c) of this title unless the educational institution providing the course of education—
  - “(1) publicly discloses any conditions or additional requirements, including training, experience, or examinations, required to obtain the license, certification, or approval for which the course of education is designed to provide preparation; and
  - “(2) makes each disclosure required by paragraph (1) in a manner that the Secretary considers prominent (as specified by the Secretary in regulations prescribed for purposes of this subsection).”
- (f) Applicability— If after enrollment in a course of education that is subject to disapproval by reason of an amendment made by this Act, an individual pursues one or more courses of education at the same educational institution while remaining continuously enrolled (other than during regularly scheduled breaks between courses, semesters, or terms) at that institution, any course so pursued by the individual at that institution while so continuously enrolled shall not be subject to disapproval by reason of such amendment.
