119-s1557

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 1557 Introduced in Senate

    (IS) ]

<DOC>

119th CONGRESS
 1st Session
 S. 1557

 To amend the Higher Education Act of 1965 to make technical 
 improvements to the Net Price Calculator system so that prospective 
 students may have a more accurate understanding of the true cost of 
 college.

_______________________________________________________________________

 IN THE SENATE OF THE UNITED STATES

 May 1, 2025

Mr. Grassley (for himself and Ms. Smith) introduced the following bill; 
 which was read twice and referred to the Committee on Health, 
 Education, Labor, and Pensions

_______________________________________________________________________

 A BILL

 To amend the Higher Education Act of 1965 to make technical 
 improvements to the Net Price Calculator system so that prospective 
 students may have a more accurate understanding of the true cost of 
 college.

 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 ``Net Price Calculator Improvement 
Act''.

SEC. 2. MINIMUM STANDARDS FOR NET PRICE CALCULATORS.

 

Section 132

    (h) of the Higher Education Act of 1965 (20 U.S.C. 
1015a

    (h) ) is amended--

    (1) by redesignating paragraph

    (4) as paragraph

    (6) ;

    (2) in paragraph

    (2) , by inserting before the period ``, 
 and, not later than 1 year after the date of enactment of the 
 Net Price Calculator Improvement Act, shall meet the 
 requirements of paragraph

    (4)
            (C) '';

    (3) in paragraph

    (3) , by inserting after the first sentence 
 the following: ``Not later than 1 year after the date of 
 enactment of the Net Price Calculator Improvement Act, such 
 calculator shall meet the requirements of paragraph

    (4) .''; and

    (4) by inserting after paragraph

    (3) the following:
 ``

    (4) Minimum requirements for net price calculators.--Not 
 later than 1 year after the date of enactment of the Net Price 
 Calculator Improvement Act, a net price calculator for an 
 institution of higher education shall, at a minimum, meet the 
 following requirements:
 ``
        (A) The link for the calculator--
 ``
            (i) is clearly labeled as a `net price 
 calculator' and prominently, clearly, and 
 conspicuously (in such size and contrast (such 
 as shade) that it is readily noticeable and 
 readable) posted in locations on the 
 institution's website where information on 
 costs and aid is provided (such as financial 
 aid, prospective students, or tuition and fees 
 web pages);
 ``
            (ii) matches in size and font to the 
 other prominent links on the primary menu; and
 ``
            (iii) may also be included on the 
 institution's compliance web page, which 
 contains information relating to compliance 
 with Federal, State, and local laws.
 ``
        (B) The input screen for the net price calculator 
 displays a chart of the net prices for students 
 receiving Federal student financial aid under title IV 
 (as required by subsection
            (i) (5) ) for the most recent 
 academic year for which data are available, 
 disaggregated by income categories.
 ``
            (C) The results screen for the calculator 
 specifies the following information:
 ``
            (i) The individual net price (as 
 calculated under paragraph

    (2) ) for the 
 individual student, which is the most visually 
 prominent figure on the results screen, 
 including a statement of--
 ``
            (I) the year for which the net 
 price applies; and
 ``
            (II) the year from which the data 
 was used to determine that net price.
 ``
            (ii) Cost of attendance, including--
 ``
            (I) the total estimated cost for 
 a student to complete the program of 
 study, based on normal time for 
 completion of, or graduation from, the 
 student's particular program of study;
 ``
            (II) the total annual cost of 
 attendance;
 ``
            (III) annual tuition and fees;
 ``
            (IV) average annual cost of room 
 and board for the institution for a 
 first-time, full-time undergraduate 
 student enrolled in the institution;
 ``
            (V) average annual cost of books 
 and supplies for a first-time, full-
 time undergraduate student enrolled in 
 the institution;
 ``
            (VI) estimated annual cost of 
 other expenses (including personal 
 expenses and transportation) for a 
 first-time, full-time undergraduate 
 student enrolled in the institution; 
 and
 ``
            (VII) a statement of--
 ``

    (aa) the year for which 
 each cost described in this 
 clause applies; and
 ``

    (bb) the year from which 
 the data was used to determine 
 each cost described in this 
 clause.
 ``
            (iii) Estimated total need-based grant 
 aid and merit-based grant aid, from Federal, 
 State, and institutional sources that may be 
 available to the individual student, showing 
 the subtotal for each category and the total of 
 all sources of grant aid and disaggregated by 
 academic year for normal time for completion 
 of, or graduation from, the student's 
 particular program of study.
 ``
            (iv) Percentage of the first-time, full-
 time undergraduate students enrolled in the 
 institution who received any type of grant aid 
 described in clause
            (iii) , disaggregated by 
 their first year and subsequent years of 
 enrollment up to the number of years for normal 
 completion of, or graduation from, their 
 particular program of study.
 ``
            (v) The disclaimer described in paragraph

    (6) .
 ``
            (vi) In the case of a calculator that--
 ``
            (I) includes questions to 
 estimate a student's (or prospective 
 student's) eligibility for veterans' 
 education benefits (as defined in 
 

section 480) or educational benefits 
 for active duty service members, such 
 benefits are displayed on the results 
 screen in a manner that clearly 
 distinguishes them from the grant aid 
 described in clause
            (iii) ; or
 ``
            (II) does not include questions 
 to estimate eligibility for the 
 benefits described in subclause
            (I) , 
 the results screen--
 ``

    (aa) indicates that 
 certain students (or 
 prospective students) may 
 qualify for such benefits;
 ``

    (bb) states why the 
 institution is not including 
 questions to estimate a 
 student's eligibility for such 
 benefits; and
 ``
            (cc) includes a link to 
 an appropriate Federal website 
 that provides information about 
 such benefits.
 ``
            (D) The institution populates the calculator with 
 data from not earlier than 2 academic years prior to 
 the most recent academic year.
 ``

    (5) Prohibition on use of data collected by the net price 
 calculator.--A net price calculator for an institution of 
 higher education shall--
 ``
        (A) clearly indicate which questions are required 
 to be completed for an estimate of the net price from 
 the calculator;
 ``
        (B) in the case of a calculator that requests 
 contact information from users, clearly mark such 
 requests as `optional';
 ``
            (C) prohibit any personally identifiable 
 information provided by users from being sold or made 
 available to third parties; and
 ``
            (D) clearly state `Any information that you 
 provide on this site is confidential. The Net Price 
 Calculator does not store your responses or require 
 personal identifying information of any kind.'.''.

SEC. 3. UNIVERSAL NET PRICE CALCULATOR.

 

Section 132

    (h) of the Higher Education Act of 1965 (20 U.S.C. 
1015a

    (h) ), as amended by 

section 2, is further amended by adding at the 
end the following:
 ``

    (7) Universal net price calculator.--
 ``
        (A) In general.--The Secretary may develop a 
 universal net price calculator that is housed within 
 the Department of Education, with Department branding, 
 and that may be based on or utilize an existing 
 platform developed by a public or private entity, 
 that--
 ``
            (i) enables users to answer 1 set of 
 questions and receive net prices for any 
 institution that is required to have a net 
 price calculator under this subsection;
 ``
            (ii) provides the information required 
 under subparagraphs
            (C) and
            (D) of paragraph

    (4) for each institution for which a net price 
 is being sought;
 ``
            (iii) is developed in consultation with 
 the heads of relevant Federal agencies; and
 ``
            (iv) before being finalized and publicly 
 released, is tested in accordance with 
 subparagraph
        (B) .
 ``
        (B) Consumer testing.--
 ``
            (i) In general.--If the Secretary 
 develops a universal net price calculator under 
 subparagraph
        (A) , the Secretary, in 
 consultation with the heads of relevant Federal 
 agencies, shall establish a process to submit 
 the universal net price calculator developed 
 under this paragraph for consumer testing among 
 representatives of students (including low-
 income students, first generation college 
 students, adult students, and prospective 
 students), students' families (including low-
 income families, families with first generation 
 college students, and families with prospective 
 students), institutions of higher education, 
 secondary school and postsecondary counselors, 
 and nonprofit consumer groups.
 ``
            (ii) Length of consumer testing.--The 
 Secretary shall ensure that the consumer 
 testing lasts no longer than 6 months after the 
 process for consumer testing is developed under 
 clause
            (i) .
 ``
            (iii) Use of results.--The results of 
 consumer testing under clause
            (i) shall be used 
 in the final development of the universal net 
 price calculator.
 ``
            (iv) Reporting requirement.--Not later 
 than 3 months after the date the consumer 
 testing under clause
            (i) concludes, the 
 Secretary shall submit to Congress the final 
 universal net price calculator and a report 
 detailing the results of such testing, 
 including whether the Secretary added any 
 additional items to the calculator as a result 
 of such testing.
 ``
            (v) Authority to modify.--The Secretary 
 may modify the definitions, terms, formatting, 
 and design of the universal net price 
 calculator based on the results of consumer 
 testing required under this paragraph and 
 before finalizing the calculator.
 ``

    (8) Report from secretary.--Not later than 1 year after 
 the date of enactment of the Net Price Calculator Improvement 
 Act, the Secretary shall submit a report to Congress on steps 
 taken to raise awareness of net price calculators among 
 prospective students and families, particularly among students 
 in middle school and high school and students from low-income 
 families.''.
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