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S. 5021·119th Congress·Senate Bill

Protecting Students from Worthless Degrees Act

IntroducedTrack

Latest action (16 Jul 2026): Introduced

What this bill does

The Protecting Students from Worthless Degrees Act would create new consumer-protection requirements for colleges and career-training programs that participate in federal student aid. It would bar an institution from receiving federal education assistance funds for a licensure-track program unless, within one year, that program actually qualifies students to sit for licensing exams and meet certification requirements in the states where students live or where the institution recruits, and unless the school provides timely placements (such as clinical or internship slots) needed for licensure. Separately, the bill amends the Higher Education Act to add a formal "debt-to-earnings" test for "gainful employment" programs, requiring the Department of Education to calculate and publish debt-to-earnings ratios, issue determinations, require student warnings, and cut off federal aid to programs that repeatedly fail the standards, with a three-year waiting period before ineligible or discontinued programs can requalify.

The bill primarily affects postsecondary institutions—especially proprietary and vocational schools and licensure-oriented degree or certificate programs—that rely on federal student aid, as well as prospective and enrolled students in those programs, who would receive more information about job licensure eligibility and program earnings outcomes. The Department of Education, IRS, and Social Security Administration would also have new data-sharing and enforcement duties.

The bill was introduced in the Senate on July 16, 2026, by Senator Merkley with two cosponsors, and referred to the Committee on Health, Education, Labor, and Pensions. It has not yet received a committee vote, floor vote, or been enacted, and its future consideration is uncertain.

Plain-English summary generated by Bill100 AI from the official record. Always verify against the source below.

Official summary

This bill is in the first stage of the legislative process. It was introduced into Congress on July 16, 2026. It will typically be considered by committee next before it is possibly sent on to the House or Senate as a whole.

Common questions

What does S. 5021 do?
The Protecting Students from Worthless Degrees Act would create new consumer-protection requirements for colleges and career-training programs that participate in federal student aid. It would bar an institution from receiving federal education assistance funds for a licensure-track program unless, within one year, that program actually qualifies students to sit for licensing exams and meet certification requirements in the states where students live or where the institution recruits, and unless the school provides timely placements (such as clinical or internship slots) needed for licensure. Separately, the bill amends the Higher Education Act to add a formal "debt-to-earnings" test for "gainful employment" programs, requiring the Department of Education to calculate and publish debt-to-earnings ratios, issue determinations, require student warnings, and cut off federal aid to programs that repeatedly fail the standards, with a three-year waiting period before ineligible or discontinued programs can requalify. The bill primarily affects postsecondary institutions—especially proprietary and vocational schools and licensure-oriented degree or certificate programs—that rely on federal student aid, as well as prospective and enrolled students in those programs, who would receive more information about job licensure eligibility and program earnings outcomes. The Department of Education, IRS, and Social Security Administration would also have new data-sharing and enforcement duties. The bill was introduced in the Senate on July 16, 2026, by Senator Merkley with two cosponsors, and referred to the Committee on Health, Education, Labor, and Pensions. It has not yet received a committee vote, floor vote, or been enacted, and its future consideration is uncertain.
Has S. 5021 become law?
Not yet. As of 16 Jul 2026, S. 5021 is introduced.
Who sponsored S. 5021?
S. 5021 was sponsored by Sen. Jeff Merkley [D-OR] (Democrat-OR), with 3 cosponsors.
What's the latest action on S. 5021?
Introduced (16 Jul 2026).

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