Bill Text: IA HF561 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act relating to the registration of postsecondary schools by the college student aid commission and student eligibility for state student financial aid programs. (Formerly HSB 94.)
Spectrum: Committee Bill
Status: (Introduced - Dead) 2017-04-04 - Referred to Education. H.J. 869. [HF561 Detail]
Download: Iowa-2017-HF561-Introduced.html
House File 561 - Introduced HOUSE FILE BY COMMITTEE ON EDUCATION (SUCCESSOR TO HSB 94) A BILL FOR 1 An Act relating to the registration of postsecondary schools by 2 the college student aid commission and student eligibility 3 for state student financial aid programs. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 1195HV (2) 87 kh/jh/rj PAG LIN 1 1 Section 1. Section 261B.3, subsection 4, Code 2017, is 1 2 amended to read as follows: 1 3 4. If a school fails to meet any of the registration 1 4 criteria,orif the commission believes that false, misleading, 1 5 or incomplete information has been submitted in connection with 1 6 an application for registration, or if the school has engaged 1 7 in conduct prohibited under section 261B.13, the commission 1 8 may deny, suspend, or revoke registration and the school shall 1 9 not operate in Iowa or otherwise offer its programs to Iowa 1 10 residents.The commission shall conduct a hearing on the 1 11 denial if a hearing is requested by a school. Upon a finding 1 12 after the hearing that the school fails to meet any of the 1 13 registration criteria, or that information contained in the 1 14 registration application is false, misleading, or incomplete, 1 15 the commission shall deny registration. The commission shall 1 16 make the final decision on each registration. However, the 1 17 decision of the commission is subject to judicial review in 1 18 accordance with section 17A.19.1 19 Sec. 2. Section 261B.3A, subsection 3, Code 2017, is amended 1 20 to read as follows: 1 21 3. The commission may grant a provisional registration to 1 22 a school that isnotaccredited by an agency or organization 1 23 that is recognized by the United States department of 1 24 education or its successor agency while the school is seeking 1 25 authority to provide programs under that accreditation at 1 26 a location in this state. The commission shall determine 1 27 the duration of the provisional registration, not to exceed 1 28 two years. During the provisional registration period, the 1 29 school shall, at six=month intervals, submit to the commission 1 30 documentation of its progress towardachieving accreditation 1 31receiving authorization. The commission may renew the school's 1 32 provisional registration at its discretion if the documentation 1 33 submitted indicates that the school is making progress toward 1 34accreditationauthorization. 1 35 Sec. 3. Section 261B.6, Code 2017, is amended to read as 2 1 follows: 2 2 261B.6 List of schools. 2 3 The commission shall maintain a list of registered schools 2 4 and the list and the information submitted undersections 2 5 261B.3 and 261B.4this chapter are public records under chapter 2 6 22. 2 7 Sec. 4. Section 261B.9, unnumbered paragraph 1, Code 2017, 2 8 is amended to read as follows: 2 9 Prior to the commencement of a course of instruction and 2 10 prior to the receipt of a tuition charge or fee for a course 2 11 of instruction, a school shall provide written disclosure 2 12 to students of the following informationaccompanied by a 2 13 statement that the information is being provided in compliance 2 14 with this section: 2 15 Sec. 5. Section 261B.11A, Code 2017, is amended to read as 2 16 follows: 2 17 261B.11A Ineligibility for state student aid programs. 2 18 1. Students attending schools required to register under 2 19 this chapter are ineligible for state student financial aid 2 20 programs established under chapter 261. This subsection does 2 21 not apply to students attending a for=profit accredited private 2 22 institution as defined in section 261.25, subsection 2. 2 23 2. A school required to register under this chapter that 2 24 is prohibited from offering state aidor advertisingshall not 2 25 advertise that state aid is or may be available to students 2 26 attending the school. 2 27 EXPLANATION 2 28 The inclusion of this explanation does not constitute agreement with 2 29 the explanation's substance by the members of the general assembly. 2 30 This bill relates both to a requirement that certain 2 31 postsecondary schools register with and be approved by the 2 32 college student aid commission, and to student eligibility for 2 33 state student financial aid programs. 2 34 Code chapter 261B requires certain postsecondary schools 2 35 to register with the commission in order to operate in 3 1 Iowa or otherwise offer its programs to Iowa residents. 3 2 Currently, the commission may deny registration and the 3 3 authorization to operate in Iowa to a school that fails to 3 4 meet registration criteria or provides false, misleading, or 3 5 incomplete information in connection with its application 3 6 for registration. The bill authorizes the commission to 3 7 also deny, suspend, or revoke a school's registration if 3 8 the school engaged in conduct prohibited under Code section 3 9 261B.13. Currently, Code section 261B.13 prohibits a 3 10 postsecondary school from operating in this state if the 3 11 school does not qualify for an exemption and is not accredited 3 12 by an accrediting agency recognized by the U.S. department 3 13 of education. Code section 261B.13 also prohibits a school 3 14 that is registered or otherwise authorized to operate in this 3 15 state from entering into an agreement to conduct a course of 3 16 instruction, confer a degree, or conduct any other aspect of 3 17 its operation with another school that is in violation of the 3 18 Code section. 3 19 The bill authorizes the commission to grant provisional 3 20 registration for not more than two years to a school if the 3 21 school is accredited elsewhere and is seeking the authorization 3 22 of the accrediting agency or organization to provide programs 3 23 in Iowa under that accreditation. 3 24 Under the bill, lists and information submitted under the 3 25 Code chapter are public records. The bill strikes a provision 3 26 requiring approved schools to include on written disclosures 3 27 provided to students, prior to the commencement of classes and 3 28 receipt of tuition or fees, a statement that the information 3 29 disclosed is provided in compliance with Code section 261B.9. 3 30 A Code provision making students who are attending schools 3 31 that are required to register with the commission ineligible 3 32 for state student financial aid programs is, under the bill, 3 33 inapplicable to students attending a for=profit accredited 3 34 private institution, as defined for purposes of the Iowa 3 35 tuition grant. 4 1 Currently, a school required to register with the commission 4 2 is prohibited from offering state aid or advertising that state 4 3 aid is or may be available to students attending the school. 4 4 The bill provides that a school which is required to register 4 5 with the commission and is prohibited from offering state aid 4 6 shall not advertise that state aid is or may be available to 4 7 students attending the school. 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