HB 125 (BR 247) - R. Meeks, C. Rollins II, F. Nesler, D. Owens, S. Westrom
AN ACT relating to regulation of for-profit postsecondary educational institutions.
Create a new section of KRS Chapter 165 to require that effective July 1, 2012, the supervision of any private for-profit postsecondary educational institution offering an associate degree or higher shall be transferred from the State Board for Proprietary Education to the Council on Postsecondary Education; amend KRS 164.945 to clarify that the definition of "college" includes nonprofit and for-profit colleges; amend KRS 164.947 to clarify that the Council on Postsecondary Education has responsibility for licensing for-profit and nonprofit colleges offering an associate degree or higher; amend KRS 165A.310 to clarify that proprietary schools are for-profit; add definitions of "formal" and "informal" complaints; amend KRS 165A.320 to include traditional, Web-based, and distance learning; amend KRS 165A.340 to add by July 1, 2012, three members to the State Board for Proprietary Education representative of community-based occupations and one program graduate and reduce school member representation on the board by two; clarify the responsibilities of the executive director; require the board to promulgate administrative regulations, including board operations and accountability procedures, to require member institutions to publish outcomes and accountability data; to require institutions to obtain signatures of students that they have been made aware of accountability information; to require quality standards; to review advertisements and recruitment materials pursuant to KRS 367.170; to ensure sufficient bonds to cover reimbursement of student expenses if an institution is closed; to establish procedures for resolving student complaints; amend KRS 165A.370 to clarify investigation and complaint procedures; amend KRS 165A.390 to clarify that a certificate of approval may be suspended or revoked for violations of Kentucky statutes or administrative regulations, or reasonable professional and consumer protection standards; establish a process for transfer of board membership.
HB 125 - AMENDMENTS
HCS - Retain original provisions except change date for transfer of degree granting programs from the State Board for Proprietary Education to the Council on Postsecondary Education from July 1, 2012, to July 1, 2011; amend KRS 164.947 to require that the institutions transferred be issued a conditional license by the council; require that the institutions apply for licensure from the council; require that the institutions apply for regional accreditation unless the school has held national accreditation continuously for 10 years; permit the council to require all for-profit colleges licensed by the council to apply for regional accreditation; amend KRS 165.320 to change the membership of the State Proprietary board to two school representatives, one at large, three from business, one graduate, one from the Education and Workforce Development Cabinet, and one from Kentucky Higher Education Assistance Authority; require annual audits; require security bonds and contributions to student protection fund sufficient to cover reimbursement to students; clarify procedure for resolving complaints; clarify data to be included in report to Interim Joint Committee on Education; remove language related to violation of "reasonable professional and consumer protection standards; amend KRS 165 A.450 to require contributions to student protection fund using scaled fee structure based on enrollment and costs; amend KRS 165.360 to ensure sufficiency of school security bonds; amend KRS 165A.360 to permit adjustment of agent security bonds as needed; amend KRS 164.020 to require each for-profit school licensed by the council to post security bonds, contribute to a student protection fund, and adhere to public disclosure stands; create a new section of KRS Chapter 164 to describe in detail the requirement for bonding, the student protection fund, and disclosure.
HFA (1, F. Nesler) - Retain original provisions, except postsecondary education institutions shall publicly report information the schools are required to report pursuant to Pub. L. No. 110-315 using the Integrated Postsecondary Education Data Systems of the National Center for Educational Statistics.
HFA (2, F. Nesler) - Create a new Section of KRS Chapter 164 to require the president or chief executive officer of for-profit colleges licensed by the Council on Postsecondary education to elect a representative to serve in an advisory capacity to the council and to present the colleges positions on issues; clarify that the Governor may appoint members of the prior State Board for Proprietary Education to the new board if they meet the membership requirements of Section 6 of this Act.
HFA (3, F. Nesler) - Retain original provisions, except to clarify that the business representatives appointed to the State Board for Proprietary Education shall be selected from a list of seven names submitted by the Kentucky Chamber of Commerce and the Kentucky Association of Manufacturers.
HFA (4, R. Meeks) - Retain original provisions except require that the Kentucky Chamber of Commerce and the Kentucky Association of Manufacturers jointly submit seven names to the Governor for consideration in filling the three business representative positions on the State Board for Proprietary Education; require that the schools licensed by the board, in addition to information about the job placement rates, transferability of course credits, and complaint procedures, meet the disclosure requirements with information reported through the Integrated Postsecondary Education Data System to comply with Pub. L. No. 110-315; clarify the same reporting disclosure requirement for schools licensed by the Council on Postsecondary Education; delete the requirement for schools to collect a signed disclosure statement from students; require the presidents or chief executive officers of for-profit colleges licensed by the Council on Postsecondary Education to elect a representative to serve in an advisory capacity to the council; permit the Governor to appoint individuals who served on the previous State Board for Proprietary Education to the new board if they meet membership requirements.
(Prefiled by the sponsor(s).)
Jan 4-introduced in House; to Education (H)
Feb 11-posted in committee
Feb 15-reported favorably, 1st reading, to Calendar with Committee Substitute
Feb 16-2nd reading, to Rules; posted for passage in the Regular Orders of the Day for Thursday, February 17, 2011; floor amendment (1) filed to Committee Substitute
Feb 18-floor amendments (2) and (3) filed to Committee Substitute
Feb 23-floor amendment (4) filed to Committee Substitute
Feb 24-3rd reading, passed 57-38 with Committee Substitute, floor amendment (4)
Feb 25-received in Senate
Mar 1-to Education (S)