Bill Text: NJ S1112 | 2022-2023 | Regular Session | Introduced
Bill Title: Requires certain institutions of higher education and degree-granting proprietary institutions to submit certain documentation on online program managers to Secretary of Higher Education.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2022-01-31 - Introduced in the Senate, Referred to Senate Higher Education Committee [S1112 Detail]
Download: New_Jersey-2022-S1112-Introduced.html
Sponsored by:
Senator SANDRA B. CUNNINGHAM
District 31 (Hudson)
SYNOPSIS
Requires certain institutions of higher education and degree-granting proprietary institutions to submit certain documentation on online program managers to Secretary of Higher Education.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning online program managers in higher education and supplementing Title 18A of the New Jersey Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. As used in this act:
"Online program manager" means an entity that enters into a contract or agreement related exclusively to online degree and certificate program delivery, including online programs with required in-person clinical and other instruction, with an institution of higher education or a proprietary degree-granting institution to provide one or more of the following services on behalf of the institution in exchange for financial compensation: advertising and marketing services; recruiting, admissions, and financial services; instruction services; student support services; technology resources and support services; and curriculum development services.
2. a. Each institution of higher education and proprietary degree-granting institution that enters into a contract or agreement with an online program manager shall submit an annual expenditure report to the Secretary of Higher Education concerning the spending activities of the online program manager. At a minimum, the annual expenditure report shall include:
(1) the information provided by the online program manager pursuant to subsection b. of this section;
(2) the total payments made by the institution to the online program manager during each semester of the prior academic year;
(3) the number of students who received State financial assistance during the prior academic year and were enrolled in each academic program for which the online program manager provided services; and
(4) the amount of State operating aid received by the institution, on a per-student basis, during the prior academic year, and the per-student amount provided to the online program manager.
b. An online program manager that enters into a contract or agreement with an institution of higher education or a proprietary degree-granting institution shall submit an annual report to the chief financial officer of the institution detailing all expenditures made on behalf of the institution during the prior academic year. In addition to any other information required by the Secretary of Higher Education, the annual report shall specify the amounts expended by the online program manager on each of the following categories of expenditure:
(1) advertising and marketing services;
(2) recruiting, admissions, and financial services;
(3) instruction services;
(4) student support services;
(5) technology resources and support services; and
(6) curriculum development materials.
c. The Secretary of Higher Education shall publish each annual expenditure report received pursuant to this section on the Internet website of the Office of the Secretary of Higher Education.
3. Each institution of higher education and proprietary degree-granting institution that enters into a contract with an online program manager shall submit a copy of the contract to the Secretary of Higher Education for review within 60 days following:
a. the execution of a new contract;
b. a substantive change in the terms of a contract;
c. the renewal of a contract; and
d. the effective date of this act, in the case of a contract in effect on the effective date of this act.
4. a. Any information filed with the secretary pursuant to this act may be disclosed in accordance with P.L.1963, c.73 (C.47:1A-1 et seq.), except that confidential information shall not be disclosed by the secretary to any person other than employees and representatives of the Office of the Secretary of Higher Education.
b. An institution of higher education or proprietary degree-granting institution shall separately identify any confidential information filed with the office pursuant to this act. Any information that is not identified as confidential information shall be considered public information and subject to disclosure.
c. As used in this section, "confidential information" means information contained in a report or contract filed with the office pursuant to this act that has been certified by the General Counsel or Chief Financial Officer preparing the filing as confidential or proprietary information.
5. The Secretary of Higher Education shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), necessary to effectuate the provisions of this act.
6. This act shall take effect immediately.
STATEMENT
This bill requires each institution of higher education and degree-granting proprietary institution that contracts with an online program manager (OPM) to submit an annual expenditure report to the Secretary of Higher Education concerning the spending activities of the company.
To assist in the preparation of this report, the bill requires the OPM to submit an annual report to the institution detailing all expenditures made on behalf of the institution during the prior academic year. In addition to any other information required by the Secretary of Higher Education, this report would be required to specify the amounts expended by the OPM on each of the following categories of expenditure: (1) advertising and marketing services; (2) recruiting, admissions, and financial services; (3) instruction services; (4) student support services; (5) technology resources and support services; and (6) curriculum development materials.
Under the bill, the annual expenditure report submitted by the institution to the secretary would be required to include, at a minimum, the following information: (1) the information provided in the OPM's annual report; (2) the total payments made by the institution to the OPM during each semester of the prior academic year; (3) the number of students who received State financial assistance during the prior academic year and were enrolled in each academic program for which the OPM provided services; and (4) the amount of State operating aid received by the institution on a per-student basis during the prior academic year, and the per-student amount provided to the OPM.
The bill also requires the Secretary of Higher Education to publish each annual expenditure report on the Internet website of the Office of the Secretary of Higher Education.
Under this bill, an institution of higher education and proprietary degree-granting institution are required to submit a copy of any contract between the institution and an online program manager to the Secretary of Higher Education for review within 60 days following: (1) the execution of a new contract; (2) any substantive change in contractual terms; (3) the renewal of a contract; and (4) for any contract currently in effect, the effective date of this bill.
The bill further provides that any information filed with the secretary pursuant to the bill's provisions may be disclosed in accordance with P.L.1963, c.73 (C.47:1A-1 et seq.), commonly referred to as the open public records act. An institution of higher education or proprietary degree-granting institution will be required to separately identify any confidential information filed with the office pursuant to the bill, and any information that is not identified as confidential information will be considered public information and subject to disclosure.
As used in the bill, "confidential information" is defined to include information contained in a report or contract filed with the office pursuant to the bill that has been certified by the General Counsel or Chief Financial Officer preparing the filing as confidential or proprietary information.
