After five years and 14 extensions, Congress finally passed a bill to reauthorize the Higher Education Act, the chief law governing federal student aid.

The bill sailed to approval by wide margins in both houses and now heads to President Bush for final approval. The measure would set federal higher-education policy for the next five years.

The bill does not include a “single definition” of higher education institution that had been present in earlier versions of the measure. That change would have enabled for-profit institutions to be eligible for additional student aid and other funding.

The “90/10 rule,” which requires that institutions with students who are eligible for federal aid have at least 10 percent of their income coming from non-federal sources, survived despite the best efforts of the for-profit sector. However, the bill expands the definition of allowable funds for-profits can use to qualify as part of the 10 percent.

The legislation does not contain the more restrictive language embodying the so-called Academic Bill of Rights contained in an earlier bill. Instead, it is replaced by more neutral language.

“While we maintain our objection, we do appreciate that this new language recognizes the differing missions and roles of colleges and universities and reaffirms that the free exchange of ideas is fundamental to higher education,” AFT President Randi Weingarten said.

The bill helps make higher education more affordable, by increasing the maximum Pell Grant award to $8,000 by 2014. It also makes the grants available year-round, a move intended to help nontraditional and part-time students.

— Donald Feldstein