SB0093 Summary

• Beginning with the 2023-2024 academic year, for-profit institutions must not exceed a 15% national 3-year student loan cohort default rate to remain eligible for Monetary Award Program grants.

• Beginning with the 2024-2025 academic year, for-profit institutions must maintain an 80% student success rate, defined as the percentage of students who complete their program or have subsequent enrollment within 4.5 years of entering the institution.

• For-profit institutions that fail to meet either eligibility requirement enter a probationary year and must notify current and prospective students of potential loss of grant eligibility.

• If a for-profit institution fails to meet eligibility requirements for 2 consecutive academic years, applicants at that institution lose Monetary Award Program grant eligibility and the institution must meet requirements for at least 2 consecutive years to restore student eligibility.

• The Act takes effect immediately upon becoming law.