[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.''.
<all>