H.R.1852 - IHE Nonprofit Clarity Act (119th Congress)
Summary
H.R.1852, the IHE Nonprofit Clarity Act, seeks to amend the Higher Education Act of 1965. The bill aims to simplify the definition of a nonprofit institution of higher education. It proposes that any institution recognized as a nonprofit under section 501(c)(3) of the Internal Revenue Code should automatically be considered a nonprofit institution for the purposes of the Higher Education Act.
Expected Effects
The bill would create a uniform standard for defining nonprofit institutions of higher education. This could reduce administrative burdens and potential inconsistencies in the application of the Higher Education Act. The change would primarily affect institutions that qualify for 501(c)(3) status but might face definitional challenges under the current Higher Education Act.
Potential Benefits
- Simplifies the definition of nonprofit higher education institutions.
- Reduces potential bureaucratic hurdles for 501(c)(3) organizations.
- Promotes clarity and consistency in the application of the Higher Education Act.
- May streamline eligibility for federal programs and funding.
- Could reduce administrative costs for affected institutions.
Most Benefited Areas:
Potential Disadvantages
- May not address other underlying issues within the Higher Education Act.
- Could potentially create loopholes if the 501(c)(3) definition is exploited.
- The impact on students and educational quality is uncertain.
- May not significantly alter the landscape of higher education funding or accessibility.
- Could lead to unintended consequences if the definition is too broad.
Constitutional Alignment
The bill appears to align with the general principles of Congressional authority to legislate on matters related to education and commerce. Article I, Section 8 of the Constitution grants Congress the power to regulate commerce and provide for the general welfare, which could be interpreted to include the regulation of higher education institutions that receive federal funding. The bill does not appear to infringe upon any specific constitutional rights or limitations.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).