(a) This subpart sets forth the provisions under which a student who has neither a high school diploma nor its recognized equivalent may become eligible to receive title IV, HEA program funds by—

1. (1) Achieving a passing score, specified by the Secretary, on an independently administered test approved by the Secretary under this subpart; or
2. (2) Being enrolled in an eligible institution that participates in a State process approved by the Secretary under this subpart.

(b) Under this subpart, the Secretary sets forth—

1. (1) The procedures and criteria the Secretary uses to approve tests;
2. (2) The basis on which the Secretary specifies a passing score on each approved test;
3. (3) The procedures and conditions under which the Secretary determines that an approved test is independently administered;
4. (4) The information that a test publisher or a State must submit, as part of its test submission, to explain the methodology it will use for the test anomaly studies as described in § 668.144(c)(17) and (d)(8), as appropriate;

5. (5) The requirements that a test publisher or a State, as appropriate—

   1. (i) Have a process to identify and follow up on test score irregularities;
   2. (ii) Take corrective action—up to and including decertification of test administrators—if the test publisher or the State determines that test score irregularities have occurred; and
   3. (iii) Report to the Secretary the names of any test administrators it decertifies and any other action taken as a result of test score analyses; and

6. (6) The procedures and conditions under which the Secretary determines that a State process demonstrates that students in the process have the ability to benefit from the education and training being offered to them.

   (Authority: 20 U.S.C. 1091(d))