# 119-s-801: Higher Education Reform and Opportunity Act

119-s-801, Higher Education Reform and Opportunity Act, is a 119th Congress bill sponsored by Sen. Lee, Mike [R-UT] (R-UT); status introduced; PRIA reads it as touching household money (as of 2026-04-21).

- Canonical: https://policyrisk.com/legislation/119-s-801
- As of: 2026-04-21
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-s-801
- Congress: 119
- Title: Higher Education Reform and Opportunity Act
- Status: introduced
- Introduced: 2025-02-27
- Sponsor: Sen. Lee, Mike [R-UT] (R-UT)
- Cosponsors: 0
- Policy area: Education
- Touches household money: yes
- Last recorded action: 2026-04-21

## Summary

**Single Federal Direct simplification loan and phase out most loan forgiveness.** The bill would consolidate federal student loans into one simplified Direct loan program with new interest caps and borrowing limits, and would generally end loan forgiveness for loans made on or after July 1, 2025. - Borrowers: Would create Federal Direct simplification loans under a new Section 460A with interest caps such as 8.25% for undergraduate loans and a 15-year repayment term for undergraduate borrowers. Income-contingent repayment and using these new loans in forgiveness programs would be prohibited. - States and accreditation: Would let states establish alternative accreditation systems that, if approved by the Secretary, make programs eligible for federal aid. Approved state plans would operate for five years and must report on student outcomes and transfers every three years. - Institutions, reporting, and penalties: Would require colleges to publish program-level data on enrollment, debt, completion, employment, and earnings while protecting student privacy and forbidding federal use of that data against individuals. It would add an annual institutional default-rate fine, include a $400 credit per Pell Grant recipient, and create criminal penalties up to five years in prison for wrongful disclosure or misuse.

## Provisions PRIA read

- More school data on costs and outcomes: benefit, medium. If enacted, every Title IV school would have to publish annual program and school data on its website. Required items include counts and percentages of students receiving federal, state, and institutional aid; enrollment and completion rates; time to degree; employment rates at 2, 4, and 6 years by…
- Schools face fines for loan nonpayment: cost, medium. If enacted, each Title IV school would pay an annual fine equal to (15% minus the U.S. average unemployment rate) times its outstanding loans that are not being paid on time. Each school would get a $400 credit for each graduate who received a Federal Pell Grant during that fiscal year. The fine co…
- New simplified federal student loans: mixed, high. If enacted, the bill would create a new Federal Direct simplification loan starting July 1, 2025. Interest for undergraduates would be the 10-year Treasury high yield plus 2.05 points, capped at 8.25%. Graduate rates would be Treasury high yield plus 3.6 points, capped at 9.5%. Interest would start…
- States may run accreditation systems: mixed, medium. If enacted, a State could run its own accreditation system for Title IV eligibility if it files a plan that meets the law's rules. The Secretary must publicly respond within 30 days and may approve a plan for five years. Schools accredited under an approved State plan could be exempt from some fede…

## Related bills

- 119-s-5653: Bipartisan American Affordability and Jobs Act of 2026
- 119-s-4952: Protecting American Taxpayers Act
- 119-s-1801: International Nuclear Energy Act of 2025
- 119-s-1249: Drone Integration and Zoning Act
- 119-s-62: America First Act
- 119-s-4280: SAFE Act

## Sources
- [119-s-801 on Congress.gov](https://www.congress.gov/bill/119th-congress/senate-bill/801)

## Related
- [119-s-5653: Bipartisan American Affordability and Jobs Act of 2026](https://policyrisk.com/legislation/119-s-5653)
- [119-s-4952: Protecting American Taxpayers Act](https://policyrisk.com/legislation/119-s-4952)
- [119-s-1801: International Nuclear Energy Act of 2025](https://policyrisk.com/legislation/119-s-1801)
- [119-s-1249: Drone Integration and Zoning Act](https://policyrisk.com/legislation/119-s-1249)
- [119-s-62: America First Act](https://policyrisk.com/legislation/119-s-62)
- [119-s-4280: SAFE Act](https://policyrisk.com/legislation/119-s-4280)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-s-801 (as of 2026-04-21).