An HEOA Overview

The regulations for HEOA went into effect on July 1, 2010

The United States government passed the Higher Education Opportunity Act (HEOA) of 2008 in response to increasing costs associated with higher education, particularly textbooks and supplemental course materials. The regulations laid out in HEOA went into full effect on July 1, 2010.

Signed into law in August of 2008, HEOA is an extension of the original Higher Education Act (HEA) of 1965, and requires every higher learning institution in the United States that receives federal funding to disclose accurate course material information, including ISBNs and retail prices. Transparency is a primary goal of HEOA because it allows your students to search for the most affordable textbook options.

Is your institution in compliance? The regulations for HEOA went into effect on July 1, 2010.

In subsequent paragraphs, you'll find Section 112 of HEOA, “Textbook Information,” and exactly what it means for your institution's compliancy. You'll also learn about the tools MBS Direct provides institutions of all sizes throughout the country to ensure compliancy. When you partner with MBS Direct for your textbook needs, fulfilling HEOA requirements takes minimal effort on your behalf. Please use the navigation to view a specific section.

Please keep in mind the paragraphs below do not reflect a legal opinion and should not be understood as such.

a) Purpose and intent

The purpose of this section is to ensure that students have access to affordable course materials by decreasing costs to students and enhancing transparency and disclosure with respect to the selection, purchase, sale, and use of course materials. It is the intent of this section to encourage all of the involved parties, including faculty, students, administrators, institutions of higher education, bookstores, distributors, and publishers, to work together to identify ways to decrease the cost of college textbooks and supplemental materials for students while supporting the academic freedom of faculty members to select high quality course materials for students.

MBS Direct's interpretation

This section was the impetus for the entire legislation. We understand that textbooks have become a much larger portion of college students' budgets, and the students at your institution are no exception. Just like the United States government, MBS Direct feels that education is the most fundamental step for a student's successful future. And since we know that textbooks and other course materials are a crucial part of that success, we are more than happy to offer numerous cost-saving programs and products to ease the burden of students' educational expenses.

How we help you get compliant

MBS Direct has many programs to reduce the overall and bottom line costs associated with textbooks in order to address this section of HEOA:

  • One of the largest inventories of used books, available at a fraction of the new book cost
  • A groundbreaking Guaranteed Buyback program designed to help lower the overall cost of owning textbooks for the entire academic term
  • A Customer Loyalty program that provides returning customers more money when they sell back their textbooks, lowering the total cost to own them
  • Thousands of eBooks and digital titles that cost less than new print books./li>
  • MBS Direct's Course Director which grants faculty members academic freedom to choose desired course materials, contains enrollment data, pricing information, and several other features to keep costs as low as possible

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b) Definitions

  1. Bundle

    The term 'bundle' means one or more college textbooks or other supplemental materials that may be packaged together to be sold as course materials for one price.

  2. College textbook

    The term 'college textbook' means a textbook or a set of textbooks, used for, or in conjunction with, a course in postsecondary education at an institution of higher education.

  3. Course schedule

    The term 'course schedule' means a listing of the courses or classes offered by an institution of higher education for an academic period, as defined by the institution.

  4. Custom textbook

    The term 'custom textbook'--

    1. means a college textbook that is compiled by a publisher at the direction of a faculty member or other person or adopting entity in charge of selecting course materials at an institution of higher education; and
    2. may include, alone or in combination, items such as selections from original instructor materials, copyrighted publisher materials, copyrighted third-party works, and elements unique to a specific institution, such as commemorative editions.

  5. Institution of higher education

    The term 'institution of higher education' has the meaning given the term in section 102.

  6. Integrated textbook

    The term 'integrated textbook' means a college textbook that is--

    1. combined with materials developed by a third party and that, by third-party contractual agreement, not be offered by publishers separately from the college textbook with which the materials are combined; or
    2. combined with other materials that are so interrelated with the content of the college textbook that the separation of the college textbook from the other materials would render the college textbook unusable for its intended purpose.

  7. Publisher

    The term 'publisher' means a publisher of college textbooks or supplemental materials involved in or affecting interstate commerce.

  8. Substantial content

    The term 'substantial content' means parts of a college textbook such as new chapters, new material covering additional eras of time, new themes, or new subject matter.

  9. Supplemental material

    The term 'supplemental material' means educational material developed to accompany a college textbook that--

    1. may include printed materials, computer disks, access, and electronically distributed materials; and
    2. is not being used as a component of an integrated textbook.

MBS Direct's interpretation

Each of the definitions listed above are the industry standard in terms of textbooks and supplemental course materials. MBS Direct uses these terms in daily business communication with our partner schools. If you have any questions or need further explanation of one or more of these definitions, please contact us.

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c) Publisher requirements

  1. College textbook pricing information

    When a publisher provides a faculty member or other person or adopting entity in charge of selecting course materials at an institution of higher education receiving Federal financial assistance with information regarding a college textbook or supplemental material, the publisher shall include, with any such information and in writing (which may include electronic communications), the following:

    1. The price at which the publisher would make the college textbook or supplemental material available to the bookstore on the campus of, or otherwise associated with, such institution of higher education and, if available, the price at which the publisher makes the college textbook or supplemental material available to the public.
    2. The copyright dates of the three previous editions of such college textbook, if any.
    3. A description of the substantial content revisions made between the current edition of the college textbook or supplemental material and the previous edition, if any.
    4. (i) Whether the college textbook or supplemental material is available in any other format, paperback and unbound; and (ii) for each other format of the college textbook or supplemental material, the price at which the publisher would make the college textbook or supplemental material in the other format available to the bookstore on the campus of, or otherwise associated with, such institution of higher education and, if available, the price at which the publisher makes such other format of the college textbook or supplemental material available to the public.

  2. Unbundling of college textbooks from supplemental materials

    A publisher that sells a college textbook and any supplemental material accompanying such college textbook as a single bundle shall also make available the college textbook and each supplemental material as separate and unbundled items, each separately priced.

  3. Custom textbooks

    To the maximum extent practicable, publisher shall provide the information required under this subsection with respect to the development and provision of custom textbooks.

MBS Direct's interpretation

Transparency is the key theme here, and this section outlines the type of transparency publishers are required to provide to your institution. Each publisher is held accountable for price increases, unnecessary bundling of materials, descriptions of edition revisions, and supplemental course material availability. By providing this information, the publisher's pricing should be driven down because faculty can read descriptions of edition changes and make informed decisions about whether a bundle is actually necessary for their course.

How we help you get compliant

Although this section is written primarily for publishers, MBS Direct has a number of resources that will help you easily access any publisher information about current and previous editions.

Course Director is an online course adoptions tool that allows you and your staff to research more than 1 million titles for information about previous editions, supplemental material bundling and the overall cost of a given textbook.

Your faculty members can access Faculty Center Network, an online textbook research tool, where they can:

  • Read a summary of the textbook
  • View the table of contents
  • Read a sample chapter
  • Look at the preface (when/if applicable)
  • Link to the publisher's website
  • Review available supplemental course materials
  • Read book reviews from respected critics
  • Access links to request a free desk copy for faculty review
  • Search through thousands of academically-relevant eBook titles at a cheaper cost than their print counterparts

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d) Provision of ISBN College Textbook Information in Course Schedules

To the maximum extent practicable, each institution of higher education receiving Federal financial assistance shall--

  1. disclose, on the institution's Internet course schedule and in a manner of the institution's choosing, the International Standard Book Number and retail price information of required and recommended college textbooks and supplemental materials for each course listed in the institution's course schedule used for preregistration and registration purposes, except that--

    1. if the International Standard Book Number is not available for such college textbook or supplemental material, then the institution shall include in the Internet course schedule the author, title, publisher, copyright date for such college textbook or supplemental material; and
    2. if the institution determines that the disclosure of the information described in this subsection is not practicable for a college textbook or supplemental material, then the institution shall so indicate by placing the designation 'To Be Determined' in lieu of the information required under this subsection; and
  2. if applicable, include on the institution's written course schedule a notice that textbook information is available on the institution's Internet course schedule, and the Internet address for such schedule.

MBS Direct's interpretation

Simply stated, this requirement of HEOA will require your institution to have course schedules and required materials for the courses available for purchase electronically, including course material information such as ISBNs and retail prices, so the student can understand the initial cost of textbooks and course materials. If you provide MBS Direct with a booklist, we will display this information for you upon request.

This portion of HEOA will require your institution to have course schedules and required materials for courses available for purchase electronically. This includes course material information such as ISBNs and retail prices so the student can understand the initial cost of textbooks and course materials. If you provide MBS Direct with a booklist, we will display this information for you upon request.

How we help you get compliant

Some of the most challenging requirements for many higher education institutions can be found in this section. MBS Direct helps you meet these requirements by…

  • Ensuring your course schedules and associated required course materials are easily available through our Online Bookstore. Course-driven ordering includes information about book condition, book availability, retail price, author, title, publisher, copyright date, edition number, and any supplemental materials that might be bundled. If you provide MBS Direct with a booklist, we will display ISBN information for you upon request.
  • Allowing students to easily access their course material information before and at the time of registration if your institution implements Shop by Schedule ordering. Students just click a button within your course management system and are taken directly to their course list with tie required course materials.

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e) Availability of Information for College Bookstores

An institution of higher education receiving Federal financial assistance shall make available to a college bookstore that is operated by, or in a contractual relationship or otherwise affiliated with, the institution, as soon as is practicable upon the request of such college bookstore, the most accurate information available regarding--

  1. the institution's course schedule for the subsequent academic period; and

  2. for each course or class offered by the institution for the subsequent academic period--

    1. the information required by subsection (d)(1) each college textbook or supplemental material required or recommended for such course or class;
    2. the number of students enrolled in such course or class; and
    3. the maximum student enrollment for such course or class.

MBS Direct's interpretation

This section ensures clear communications between your institution and your bookstore regarding course scheduling and associated course material information. This is crucial for your bookstore in order to accurately predict the amount of course materials you need to acquire for distribution. Doing so will help reduce overhead costs and drive down prices.

How we help you get compliant

Once again, MBS Direct has you covered in this section. Your Account Manager will ask for the necessary information well ahead of time in order to organize the pieces of your online bookstore.

As previously mentioned, Course Director will assist you with submitting titles for adoption, enrollment data, and several other facets needed to fulfill HEOA requirements. Additionally, Course Director has pricing information for more than 1 million titles to assist with clear communications.

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f) Additional Information

An institution disclosing the information required by subsection (d) is encouraged to disseminate to students information regarding--

  1. available institutional programs for renting textbooks or for purchasing used textbooks;
  2. available institutional guaranteed textbook buy-back programs;
  3. available institutional alternative content delivery programs; or
  4. other available institutional cost-saving strategies.

MBS Direct's interpretation

This section isn't necessarily required, but it is highly recommended. In summary, it strongly advocates that you disseminate information about any available guaranteed buyback programs, alternative content delivery programs, and other cost-saving strategies. This will help students stay informed and aware of the best deal, and will allow them to understand what your institution and MBS Direct are doing in order to lower prices.

How we help you get compliant

MBS Direct provides your institution with print and electronic marketing and communications materials to educate your students about any available cost-savings offerings, including:

  • A Guaranteed Buyback program that will show students the exact amount they will receive at the end of the term (up to 45 percent off the purchase price of a new textbook) at the time of purchase
  • The largest library of eBooks available in education, including more than 450,000 digital titles
  • The nation's largest selection of used textbooks
  • A Customer Loyalty program to provide more money at buyback when they purchase and sell back textbooks through MBS Direct

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g) GAO Report

Not later than July 1, 2013, the Comptroller General of the United States shall report to the authorizing committees on the implementation of this section by institutions of higher education, college bookstores, and publishers. The report shall particularly examine--

  1. the availability of college textbook information on course schedules;
  2. the provision of pricing information to faculty of institutions of higher education by publishers;
  3. the use of bundled and unbundled material in the college textbook marketplace, including the adoption of unbundled materials by faculty and the use of integrated textbooks by publishers; and
  4. the implementation of this section by institutions of higher education, including the costs and benefits to such institutions and to students.

Rule of Construction

Nothing in this section shall be construed to supersede the institutional autonomy or academic freedom of instructors involved in the selection of college textbooks, supplemental materials, and other classroom materials.

No Regulatory Authority

The Secretary shall not promulgate regulations with respect to this section.'

MBS Direct's interpretation

This portion of HEOA holds the governing body accountable for examining pertinent information about textbooks and other course materials. This is done to ensure the academic freedom of faculty or students is not interfered with. Simply put, this will either prove or disprove HEOA's effectiveness towards lowering the prices of course materials. It is MBS Direct's hope that any costs associated with textbooks will be kept as low as possible.

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