20 U.S.C. § 1088 : US Code - Section 1088: Definitions

Search 20 U.S.C. § 1088 : US Code - Section 1088: Definitions

(a) Academic and award year
(1) For the purpose of any program under this subchapter and part
C of subchapter I of chapter 34 of title 42, the term "award year"
shall be defined as the period beginning July 1 and ending June 30
of the following year.
(2) For the purpose of any program under this subchapter and part
C of subchapter I of chapter 34 of title 42, the term "academic
year" shall require a minimum of 30 weeks of instructional time,
and, with respect to an undergraduate course of study, shall
require that during such minimum period of instructional time a
full-time student is expected to complete at least 24 semester or
trimester hours or 36 quarter hours at an institution that measures
program length in credit hours, or at least 900 clock hours at an
institution that measures program length in clock hours. The
Secretary may reduce such minimum of 30 weeks to not less than 26
weeks for good cause, as determined by the Secretary on a case-by-
case basis, in the case of an institution of higher education that
provides a 2-year or 4-year program of instruction for which the
institution awards an associate or baccalaureate degree.
(b) Eligible program
(1) For purposes of this subchapter and part C of subchapter I of
chapter 34 of title 42, the term "eligible program" means a program
of at least -
(A) 600 clock hours of instruction, 16 semester hours, or 24
quarter hours, offered during a minimum of 15 weeks, in the case
of a program that -
(i) provides a program of training to prepare students for
gainful employment in a recognized profession; and
(ii) admits students who have not completed the equivalent of
an associate degree; or
(B) 300 clock hours of instruction, 8 semester hours, or 12
hours, offered during a minimum of 10 weeks, in the case of -
(i) an undergraduate program that requires the equivalent of
an associate degree for admissions; or
(ii) a graduate or professional program.
(2)(A) A program is an eligible program for purposes of part B of
this subchapter if it is a program of at least 300 clock hours of
instruction, but less than 600 clock hours of instruction, offered
during a minimum of 10 weeks, that -
(i) has a verified completion rate of at least 70 percent, as
determined in accordance with the regulations of the Secretary;
(ii) has a verified placement rate of at least 70 percent, as
determined in accordance with the regulations of the Secretary;
and
(iii) satisfies such further criteria as the Secretary may
prescribe by regulation.
(B) In the case of a program being determined eligible for the
first time under this paragraph, such determination shall be made
by the Secretary before such program is considered to have
satisfied the requirements of this paragraph.
(c) Third party servicer
For purposes of this subchapter and part C of subchapter I of
chapter 34 of title 42, the term "third party servicer" means any
individual, or any State, or private, profit or nonprofit
organization which enters into a contract with -
(1) any eligible institution of higher education to administer,
through either manual or automated processing, any aspect of such
institution's student assistance programs under this subchapter
and part C of subchapter I of chapter 34 of title 42; or
(2) any guaranty agency, or any eligible lender, to administer,
through either manual or automated processing, any aspect of such
guaranty agency's or lender's student loan programs under part B
of this subchapter, including originating, guaranteeing,
monitoring, processing, servicing, or collecting loans.