Bill Text: NH SB134 | 2013 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relative to the division of higher education and the higher education commission.

Spectrum: Bipartisan Bill

Status: (Passed) 2013-07-02 - Signed by the Governor on 06/28/2013; Chapter 0164; Effective 06/28/2013 [SB134 Detail]

Download: New_Hampshire-2013-SB134-Introduced.html

SB 134-FN – AS INTRODUCED

2013 SESSION

13-0873

04/05

SENATE BILL 134-FN

AN ACT relative to the division of higher education and the higher education commission.

SPONSORS: Sen. Stiles, Dist 24; Sen. D'Allesandro, Dist 20; Sen. Carson, Dist 14; Sen. Odell, Dist 8; Sen. Larsen, Dist 15; Rep. Gile, Merr 27; Rep. Lovejoy, Rock 36; Rep. Ladd, Graf 4; Rep. Abrami, Rock 19

COMMITTEE: Health, Education and Human Services

ANALYSIS

This bill:

I. Revises the duties and membership of the higher education commission.

II. Revises the application and approval process for institutions of higher learning to seek and receive approval from the higher education commission.

III. Establishes the higher education commission fund.

IV. Repeals department of education rulemaking authority for tuition waiver and scholarship programs for children of firefighters, police officers, and foster children.

V. Places approval of out-of-state branches of institutions of higher learning within the authority of the higher education commission.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

13-0873

04/05

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Thirteen

AN ACT relative to the division of higher education and the higher education commission.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Division of Higher Education. RSA 21-N:8-a is repealed and reenacted to read as follows:

21-N:8-a Division of Higher Education.

I. There is hereby established within the department the division of higher education, under the supervision of an unclassified director of higher education who shall be responsible for providing support to the higher education commission established in paragraph II.

II.(a) There is hereby established a higher education commission which shall consist of the following members:

(1) The president of the university of New Hampshire, the president of Keene state college, the president of Plymouth state university, and the president of Granite State college.

(2) Two presidents from institutions within the community college system of New Hampshire, to be chosen by the board of trustees of the community college system.

(3) The chancellor of the university system of New Hampshire.

(4) The chancellor of the community college system of New Hampshire.

(5) The commissioner of the department of education.

(6) Six representatives of the private 4-year colleges in New Hampshire appointed by the governor and council on recommendation by the New Hampshire College and University Council, with no more than one representative from any one college.

(7) One member to be appointed by the governor and council as a representative from a for-profit college or university not a member of the New Hampshire College and University Council.

(8) Four members to be appointed by the governor and council who shall be residents of the state and of the lay public, having no official connection with any college, university, or private postsecondary career school as an employee, trustee, or member on a board of directors.

(b) The terms of appointed members, except as otherwise indicated above, shall be for 5 years and until a successor is appointed and qualified. Vacancies shall be filled for the unexpired term.

(c) Commission appointments shall be made in such a way as to preserve broad and equitable representation on the basis of gender, ethnicity, and socioeconomic groups in the state.

(d) The members of the commission shall serve without compensation, but may be reimbursed for actual travel and other expenses incurred in the performance of their duties on the commission from funds appropriated to the department of education specifically for this purpose.

(e) The commission shall:

(1) Regulate institutions of higher education pursuant to RSA 292:8-b through RSA 292:8-kk. The commission may accept accreditation by a recognized accrediting association in place of its own evaluation.

(2) Administer financial aid programs as provided in state law for students attending higher education institutions.

(3) Apply for, accept, and expend state, federal, or other grants.

(4) Oversee the functions of the Veterans Education Services as authorized by Congress.

(5) Establish and collect reasonable annual fees related to the performance of statutory duties.

(6) Enter into cooperative interstate or international agreements to further operating efficiencies, student access, and educational opportunities.

(7) Be the designee for the integrated postsecondary education data system as developed by the United States Department of Education.

(8) Adopt rules, pursuant to RSA 541-A relative to:

(A) Organization and operation of the higher education commission established in this section.

(B) Approval and regulation of institutions of higher education pursuant to RSA 292:8-b through RSA 292:8-kk.

(C) Administration of financial aid programs for institutions of higher education.

(D) Establishment and collection of reasonable fees for functions performed by the division of higher education and the higher education commission as required in this section.

(9) Assume other responsibilities as may be provided in state or federal law.

2 Scholarships for Orphans of Veterans. Amend RSA 193:21 to read as follows:

193:21 Payment. The amounts payable to recipients shall be determined by the department of education, division of higher education. The [department] higher education commission established in RSA 21-N:8-a shall determine the eligibility in accordance with rules adopted under RSA 541-A of the children who make application for the benefits provided for in this subdivision.

3 Higher Education Corporations; Organization. Amend RSA 292:8-c through RSA 292:8-h to read as follows:

292:8-c Organization. The articles of agreement for the purpose of organizing a corporation for the establishment of an institution [for postsecondary education or] of higher learning shall be submitted to the commission for its consent for said incorporation.

292:8-d Approval. No articles of agreement for the incorporation of institutions [for postsecondary or higher education] of higher learning shall be recorded in the office of the secretary of state unless or until consent for said incorporation has been obtained from the commission.

292:8-e General Statement. The commission shall approve as a corporation of higher learning only such institutions as have been evaluated according to procedures and standards established by the commission. The commission may accept accreditation or program approval by a recognized accrediting body in place of its own independent evaluation.

292:8-ee Freedom From Liability. No employee of the division, member of the commission, or any member of an evaluation committee established under any provision of this subdivision shall be held personally liable, either as an individual or as a member of a group[, for any loss which may accrue to an educational institution as a result of the denial of degree granting authority under any section of this subdivision], so long as said employee or member was acting in good faith in the furtherance of duties as an employee of the division or member of the commission or an evaluation committee. All such members shall be entitled to the protections afforded by RSA 99-D.

292:8-f Submission of Plans; Higher Education Commission Fund.

I. Any person or entity desiring to establish an institution of higher learning shall submit to the commission[, at the time approval is requested for its articles of incorporation,] its plans, which shall be evaluated by the commission [prior to granting its certificate]. Such evaluation shall include among other things the adequacy of the buildings or proposed buildings, instructional facilities and provisions for safety and well-being of its students, the qualifications of the faculty, the character of the program of studies and the adequacy of financial resources. The commission shall establish a fee for the review of plans under this section which shall not exceed $100.

II. There is hereby established the higher education commission fund in the office of the state treasurer. This fund shall be nonlapsing and continually appropriated to the higher education commission for the purposes of this chapter. All fees collected under paragraph I of this section shall be deposited into this fund.

292:8-ff Continuing Review.

I. The commission shall conduct periodic reevaluations of educational institutions incorporated under this chapter[, and of any degree granting authority under RSA 292:8-h].

II. The commission shall conduct a special reevaluation of any educational institution, if:

(a) The institution is sold or transferred to, or merged with, another entity; or

(b) There is a substantial change in the governance of the institution.

III. The commission shall suspend or revoke the [accreditation] approval or degree granting authority of any institution which no longer meets the standards established by rule under RSA 21-N:8-a, II(e).

IV. Any institution which has not conducted regular instruction for 3 consecutive years and whose charter has not been repealed shall, before announcing a resumption of instruction, submit plans to the commission and be evaluated and approved under RSA 292:8-f.

V. Any institution which has not awarded a particular degree for 4 years shall seek and receive approval by the commission before resuming the awarding of that degree.

292:8-g Limitation on Name. Notwithstanding the provisions of RSA 292:3 no person, school, association or corporation shall use in any way the term “junior college” or “college” or “university” in connection with an institution, or use any other name, title or descriptive matter tending to designate that it is an institution of higher learning unless it has been incorporated under the provisions of this chapter. [The provisions of this section shall not apply to a person, school, association or corporation which has been authorized to use said terms by law prior to January 1, 1965.] Any person, school, association or corporation authorized by a special act of the legislature shall not change its name to include any of said terms under the provisions of RSA 292:8-l unless its amendment therefor shall be submitted to and approved by the commission prior to being filed in the office of the secretary of state.

292:8-h Granting of Degrees.

I. This section shall apply to all educational institutions within the state granting degrees or seeking to do so, except the following:

(a) Any institution now granting degrees which has been in continuous operation since before 1775;

(b) [Repealed.]

(c) [Publicly supported institutions placed by the legislature under the authority of the state board of education] Institutions of the university system of New Hampshire pursuant to RSA 187-A and institutions of the community college system of New Hampshire pursuant to RSA 188-F.

II. No educational institution shall grant degrees unless authorized by name to do so by an act of the legislature.

III. The commission shall specify the degrees an institution may grant, and the commission may renew, for a set term of years, degree granting authority [granted by the legislature. The commission’s actions shall be subject to biennial certification by the legislature]. The commission shall report its [action] activity by January 31 of each odd-numbered year to both the house and senate standing committees on education.

IV. Any out-of-state institution of higher learning planning to establish a branch campus or offer courses, programs, or degrees in this state, shall apply to the commission for evaluation and approval of its plans. If such plans are not approved or if approval is withdrawn by the commission, all operations and publicity of the out-of-state institution shall cease without delay.

4 Higher Education Corporations; Reports Required. Amend RSA 292:8-kk to read as follows:

292:8-kk Reports Required.

I. When any institution of higher learning ceases the regular conduct of instruction, [either temporarily or permanently, whether or not the corporation is dissolved, the original written academic record, or a legible, certified copy thereof as defined by the institution, of] 2 certified transcripts and an electronic copy of the same for each student who [has been] was registered for instruction at the institution shall be forwarded to the commission together with a course catalogue for each year in which the institution operated, and an explanation of the institution’s credit and grading system. The commission shall preserve these records and upon request of the individual concerned, shall furnish a certified copy[, or reasonable number of such copies,] of the individual’s record. The fee for each record so furnished to be paid to the commission shall be sufficient to cover related costs.

II. All transcript request fees collected by the commission under this section shall be deposited into [a nonlapsing, revolving fund to be used for managing the storage, maintenance, and retrieval of closed school transcripts] the higher education commission fund established in RSA 292:8-f, II.

5 New Subparagraph; Application of Receipts; Higher Education Commission Fund. Amend RSA 6:12, I(b) by inserting after subparagraph (310) the following new subparagraph:

(311) The higher education commission fund established in RSA 292:8-f, II.

6 Repeal. The following are repealed:

I. RSA 21-N:9, III, relative to department of education rulemaking for tuition waiver and scholarship programs for children of firefighters, police officers, and foster children, is repealed.

II. RSA 186:13-b, relative to approval of branches of out-of-state institutions.

III. RSA 186:13-c, relative to penalties for establishing an unapproved branch of an out-of-state institution.

7 Effective Date. This act shall take effect 60 days after its passage.

LBAO

13-0873

Revised 02/07/13

SB 134 FISCAL NOTE

AN ACT relative to the division of higher education and the higher education commission.

FISCAL IMPACT:

The Department of Education states this bill, as introduced, may increase state restricted expenditures in FY 2013 and each fiscal year thereafter, and decrease state restricted revenues by an indeterminable amount in FY 2014 and each fiscal year thereafter. There will be no fiscal impact on county and local revenues or expenditures.

METHODOLOGY:

The Department of Education states this bill revises the duties of the Higher Education Commission and establishes the higher education commission fund. The proposed legislation designates the higher education commission fund as nonlapsing and continually appropriated to the Commission. The Department notes the proposed legislation does not authorize any new or additional fees, however, the creation of a nonlapsing and continually appropriated fund may increase state restricted expenditures by an indeterminable amount in FY 2013 and each fiscal year thereafter. The continuous appropriation of the fund would allow expenditures from the fund to become dependent upon revenues to the fund. State restricted expenditures could therefore increase to the extent prior year revenues to the fund exceed prior year expenditures from the fund, and are carried forward into subsequent fiscal years.

Although the proposed legislation does not authorize any new or additional fees to be charged by the Department, the bill does limit the amount of the fee charged by the Commission for the review of plans submitted by any person or entity desiring to establish an institution of higher learning to $100. The Department states the current fees for the review of submitted plans is currently between $750 and $20,000 per review. The Department notes the annual revenue from these fees can vary depending upon external market factors and therefore cannot accurately predict the future fiscal impact of limiting the fee. However, the Department states these fees produced $95,000 in revenue in FY 2012 and are anticipated to produce $50,000 in revenue in FY 2013. The Department estimates the limitation of these fees to $100 would have reduced FY 2012 revenue by $92,200 to $2,800 and would reduce anticipated FY 2013 revenue by $47,500 to $2,500.

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