; (B) in paragraph (5), by striking the period at the end and inserting ; and ; and (C) by adding at the end the following: (6) includes an addendum under which an institution of higher education shall report a change in circumstances described in subparagraph (A)(ii) or clauses (ii) or (iii) of subparagraph (B) of subsection (c)(8), not later than 30 days after the date on which such change in circumstance occurs. ; (2) in subsection (c)— (A) in paragraph (1)— (i) in subparagraph (B), by striking and at the end; (ii) in subparagraph (C), by striking the period at the end and inserting ; and ; and (iii) by adding at the end the following: (D) the institution is not an institution described in paragraph (7)(B). ; and (B) by adding at the end the following: (7) Prohibited financial responsibility determinations (A) In general The Secretary may not determine that an institution has the financial responsibility required by this title if such institution is an institution described in subparagraph (B). (B) Specified institution An institution described in this subparagraph is— (i) a private non-profit institution of higher education or a proprietary institution of higher education (as defined in section 102(b)) that— (I) is required by the accrediting agency of such institution to submit a teach-out plan under section 487(f); (II) with respect to the preceding 2 fiscal years, has an adjusted cohort default rate (as determined under section 435(m)) of 20 percent or greater, unless the institution files a challenge, request for adjustment, or appeal under section 435(a) with respect to such rates for one or both of such fiscal years; (III) is subject to a number of pending or approved borrower relief claims under section 493H from borrowers that equals or exceeds, with respect to the prior academic year, half of the enrollment of full-time equivalent students at such institution; (ii) a proprietary institution of higher education (as defined in section 102(b)) that— (I) is publicly traded