Bill · H.R. 2686· House(119-HR-2686)
University Accountability Act
- Introduced
- 4/7/2025
- Last activity
- 4/7/2025 — Referred to the House Committee on Ways and Means.
- Sponsored by
- Nicole Malliotakis
- Cosponsors
- - 2 - 0
- Introduced
- In Committee
What this bill would do
The University Accountability Act aims to amend the Internal Revenue Code of 1986 regarding tax-exempt educational institutions. It introduces penalties for these institutions when they receive a Federal court judgment for violating title VI of the Civil Rights Act of 1964. Penalties are set at the greater of $100,000 or 5 percent of the institution's aggregate administrative compensation. The bill also mandates a review of an institution's tax-exempt status if they have repeated civil rights violations. Additionally, it requires these institutions to report such determinations on their annual tax returns.
Yes· 3 of 8
Does this narrow racial gaps in how people are treated?+6
The bill enforces accountability for Title VI violations which are often related to racial discrimination.
Would Black Americans be better off under this?+5
The bill provides a mechanism for accountability regarding civil rights violations that may disproportionately affect these communities.
Would Hispanic Americans be better off under this?+5
The bill provides a mechanism for accountability regarding civil rights violations that may disproportionately affect these communities.
The opposite
Does this make college cost less?-3
The imposition of heavy penalties could lead to increased costs for educational institutions, potentially impacting affordability.
Would students be better off under this?-2
The financial burden on institutions could lead to tuition increases for students.
Who it would affect, and how
Potential Positive Impacts for People
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Financial Penalties for Civil Rights Violations: The bill imposes a penalty on specified tax-exempt educational institutions upon a determination of a civil rights violation. This penalty is the greater of $100,000 or 5 percent of the institution's aggregate administrative compensation (Section 2(a)).
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Protection Against Erroneous Penalties: If a determination of a civil rights violation is vacated, overturned, or otherwise reversed, the Secretary is required to refund any penalty paid (Section 2(a)(b)(2)).
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Accountability Through Status Reviews: For institutions with repeated civil rights violations (beyond the first two determinations), the Secretary must conduct a review to determine if the institution is still entitled to its tax-exempt status (Section 2(b)).
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Increased Transparency: Tax-exempt educational institutions are required to include descriptions of civil rights violation determinations and the number of such determinations made on their annual returns (Section 2(c)(1)).
Potential Negative Impacts for People
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Significant Financial Burdens on Institutions: Tax-exempt educational institutions could face heavy penalties of at least $100,000 or 5 percent of their aggregate administrative compensation for each determination of a civil rights violation (Section 2(a)(d)(1)).
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Threat to Tax-Exempt Status: Institutions that have repeated civil rights violations face a mandatory review of their tax-exempt status (Section 2(b)).
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New Reporting Requirements for State Colleges and Universities: State colleges and universities described in section 511(a)(2)(B) must file annual returns containing specific information regarding civil rights violation determinations (Section 2(c)(2)).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For African Americans+5Good For Asian Americans+5Good For Hispanic Americans+5Good For Native Americans+5Good For Low Income Households+3Good For Students-2
- Governance And Ideology
- Increases Federal Power+5Improves Government Transparency+4
- Social Issues And Justice
- Improves Racial Equity+6
- Education And Technology
- Improves College Affordability-3
- 4/7/2025
- Referred to the House Committee on Ways and Means.
- 2 Cosponsors added.
- Introduced in House
Elise StefanikRepublican · New York
Claudia TenneyRepublican · New York