who graduate within 6 years. If the institution has an average percentage that is less than the threshold mark described in paragraph (2)(B)(ii), the Secretary shall impose on such institution a penalty described in subparagraph (E). (E) Penalties (i) First penalty year (I) In general Beginning with the fifth academic year after which penalty fees are collected under subsection (b)(3)(E), an institution of higher education that is subject to a penalty under this paragraph— (aa) that is a proprietary institution of higher education (as defined in section 102(b)), shall pay to the Secretary a $1,000,000 penalty