Houchin Introduces Bipartisan Bill to Hold Colleges Accountable for Student Debt

WASHINGTON, D.C. - Congresswoman Erin Houchin (IN-09) introduced H.R. 8009, the Student Protection and Success Act, legislation aimed at increasing accountability for institutions of higher education, improving student loan repayment outcomes, and ensuring colleges deliver real value for students and taxpayers.

Houchin introduced the legislation alongside Congresswoman Marie Gluesenkamp Perez (WA-03). A companion bill is being led in the Senate by Senators Todd Young (R-IN) and Jeanne Shaheen (D-NH).

The Student Protection and Success Act reforms the Higher Education Act of 1965 to hold colleges accountable when students are broadly unable to repay their loans. The bill establishes new standards tied to cohort repayment rates and requires institutions with poor outcomes to share in the financial risk of unpaid student debt.

"Higher education should open doors, not trap students in debt," said Rep. Houchin. "This bipartisan bill brings long-overdue accountability to our higher education system by ensuring colleges have an actual stake in student success. If colleges are benefiting from federal dollars, they should be delivering measurable results and putting students on a path to succeed after graduation."

"The rising cost of college-coupled with the debt students incur in order to attend-has become a barrier for too many young people who want to pursue higher education to achieve their career and life goals," said Senator Shaheen. "Our bipartisan bill will increase accountability measures for loan repayments to ensure that institutions of higher education keep their promises to borrowers and empower students to succeed after graduation - helping to address the alarmingly high cost of higher education and better ensure college affordability for generations of students to come."

"This legislation will nudge colleges into doing more for the students they serve," said Rep. Gluesenkamp Perez. "Student debt is wildly out of control and the federal government shouldn't be left footing the whole bill. We need to put the responsibility back in the hands of colleges to help students achieve and turn that debt into something more productive."

Specifically, the legislation:

• Prohibits federal aid programs, like Pell grants or Perkins loans, from going to colleges where 15% or less of students are on track to repay their loans

• Creates the College Opportunity Bonus Program, an institution-seeded fund to reward colleges that effectively educate significant low-income student populations

• Requires colleges to share financial responsibility for unpaid student loans and high unemployment of graduates, incentivizing programs that contribute meaningfully to student professional development

• Promotes transparency by requiring the publication of institutional repayment rates

The bill builds on growing bipartisan momentum to address the rising cost of higher education and ensure federal investments are tied to meaningful student outcomes.

See text of the Student Protection and Success Act here.