Bill Text: NJ S495 | 2022-2023 | Regular Session | Amended
Bill Title: Requires Secretary of Higher Education and DOLWD to establish performance quality standards for career-oriented programs of study offered by institutions of higher education, degree-granting proprietary institutions, and private career schools.
Spectrum: Partisan Bill (Democrat 5-0)
Status: (Introduced - Dead) 2022-06-29 - Substituted by A1695 (1R) [S495 Detail]
Download: New_Jersey-2022-S495-Amended.html
SENATE, No. 495
STATE OF NEW JERSEY
220th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2022 SESSION
Sponsored by:
Senator JOSEPH P. CRYAN
District 20 (Union)
Senator SANDRA B. CUNNINGHAM
District 31 (Hudson)
Co-Sponsored by:
Senators Singleton and Turner
SYNOPSIS
Requires Secretary of Higher Education and DOLWD to establish performance quality standards for career-oriented programs of study offered by institutions of higher education, degree-granting proprietary institutions, and private career schools.
CURRENT VERSION OF TEXT
As reported by the Senate Higher Education Committee on June 9, 2022, with amendments.
An Act concerning 1[information provided by] career-oriented programs of study at1 institutions of higher education1, degree-granting proprietary institutions,1 and private career schools, 1[amending P.L.2009, c.197,]1 and supplementing 1[P.L.1989, c.293 (C.34:15C-1 et seq.), and Title 45 of the Revised Statutes] P.L.2009, c.197 (C.18A:3B-44 et seq.) and P.L.2005, c.354 (C.34:15C-10.1)1.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1[1. Section 2 of P.L.2009, c.197 (C.18A:3B-44) is amended to read as follows:
2. a. [A four-year public] An institution of higher education and a proprietary institution which has been authorized to offer licensed degree programs shall provide for public inspection on its website comprehensive information on the cost of attendance, the graduation rates of admitted students, and the faculty of the institution, and shall also provide for public inspection on its website employment data for recent graduates of the institution. The purpose of the information shall be to maximize the awareness of students and their families of the costs associated with enrollment in the institution, the institution's success in ensuring the graduation and employment of its students, and the composition of the teaching faculty that a student will encounter in his coursework. The institution shall post, and annually update, a student consumer information report on its website that includes, if applicable:
(1) overall two-year and three-year graduation rates, and overall four-year and six-year graduation rates, as applicable;
(2) two-year and three-year graduation rates by demographic group, and four-year and six-year graduation rates by demographic group, as applicable;
(3) two-year and three-year graduation rates by major, and four-year and six-year graduation rates by major, as applicable;
(4) two-year and three-year graduation rates for student-athletes, and four-year and six-year graduation rates for student-athletes, as applicable;
(5) the student transfer rate, including the rate of students who graduate from a county college and subsequently enroll in a four-year institution of higher education;
(6) an overview of the institutions to which former students of that [college or university] institution have transferred prior to the completion of a degree;
(7) the cost for the current
academic year of attending the
institution including tuition, student fees, room and board, and books and
materials;
(8) a description of the types of financial assistance offered directly by the institution to both student-athletes and to students who do not participate in athletic programs at the institution;
(9) the percent of student-athletes who receive financial assistance directly from the institution and the average value of the assistance and the percent of students who do not participate in athletic programs at the institution who receive financial assistance directly from the institution and the average value of the assistance;
(10) the total projected cost for an incoming freshman to live on campus and complete a degree in four years and the total projected cost for an incoming freshman to commute to school and complete a degree in four years;
(11) the total projected cost for an incoming freshman to live on campus and complete a degree in six years and the total projected cost for an incoming freshman to commute to school and complete a degree in six years;
(12) average student loan indebtedness of four-year graduates for both students who live on campus and students who commute, and average student loan indebtedness of two-year graduates;
(13) average student loan indebtedness of six-year graduates for both students who live on campus and students who commute, and average student loan indebtedness of three-year graduates;
(14) average student loan indebtedness of a student who withdraws from the institution prior to the completion of a degree program for both students who live on campus and students who commute;
(15) an overview of the institution's faculty, including the percentage of faculty employed as a tenured professor, the percentage of faculty employed as a full-time non-tenured professor, and the percentage of faculty employed as an adjunct or visiting professor;
(16) the percentage of courses taught by each of the different categories of faculty; [and]
(17) an indicator of each academic department's capacity to serve the students majoring within that department's programs, as determined by the [Commission on] Secretary of Higher Education; and
(18) employment data beginning with data compiled for students who graduate from the institution during the 2021-2022 academic year. The employment data shall include, but need not be limited to, the employment rate and average annual salary of students by academic major two years following the academic year in which the students graduated from the institution, and the number and percentage of students who are employed two years following the academic year in which the students graduated from the institution, as compiled in the comparative report and provided by the Secretary of Higher Education pursuant to section 10 of P.L. , c. (C. ) (pending before the Legislature as this bill).
The institution shall provide with all paper applications for admission to the institution a hard copy of the information prepared pursuant to this section.
b. [A four-year public] An institution of higher education and a proprietary institution authorized to offer licensed degree programs shall conform to the guidelines, criteria, and format prescribed by the [Commission on] Secretary of Higher Education in reporting the information required pursuant to this section.
c. [A four-year public] An institution of higher education and a proprietary institution authorized to offer licensed degree programs shall submit its student consumer information report to the [Commission on] Secretary of Higher Education for inclusion in a comparative profile of the student consumer information reports of all [four-year public] institutions of higher education.
d. [A four-year public] An institution of higher education and a proprietary institution authorized to offer licensed degree programs shall ensure that the page of its Internet site which includes its student consumer information report contains a link to the page of the [Commission on] Secretary of Higher Education's Internet site that includes the comparative profile required pursuant to subsection b. of section 3 of this act.
e. [A four-year public] An institution of higher education and a proprietary institution authorized to offer licensed degree programs shall ensure that the Internet site for submitting an online application to the institution contains a link to the institution's student consumer information report.
f. [A four-year public] An institution of higher education and a proprietary institution authorized to offer licensed degree programs shall require the parent or guardian of a student applying for admission into the institution, or the student if he is an independent adult, to sign and submit a statement acknowledging that he has reviewed the institution's student consumer information report.
(cf: P.L.2009, c.197, s.2)]1
1[2. Section 3 of P.L.2009, c.197 (C.18A:3B-45) is amended to read as follows:
3. a. The [Commission on] Secretary of Higher Education shall issue guidelines and criteria for collecting and calculating the information required pursuant to section 2 of this act and shall prescribe a uniform reporting method for posting the information.
b. The [Commission on] Secretary of Higher Education shall annually compile the student consumer information reports submitted pursuant to subsection c. of section 2 of this act into a comparative profile of all [four-year public] institutions of higher education and proprietary institutions authorized to offer licensed degree programs. The [commission] secretary shall present the information on its website in a manner that allows [college] students and their families to easily compare student consumer information across public institutions, across independent institutions, and across proprietary institutions authorized to offer licensed degree programs.
(cf: P.L.2009, c.197, s.3)]1
1[3. (New section) Within 12 months of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), the Secretary of Higher Education shall establish a performance quality standard for programs of study offered by institutions of higher education and proprietary institutions authorized to offer licensed degree programs. The standard shall be based on the ratio of the earnings of students in the programs to the tuition and fees charged to those students net of any institutional grant aid. The secretary shall ensure that the programs of study meet a minimum acceptable level of performance for the standard, up to and including revocation of an institution's license to award academic degrees.
The secretary, in consultation with the Attorney General and the Commissioner of Labor and Workforce Development, shall adopt, in accordance with the "Administrative Procedure Act," P.L. 1968, c.410 (C.52:14B-1 et seq.), rules and regulations as may be necessary to implement the provisions of this section.]1
1[4. (New section) a. A private career school authorized to offer an educational program required for licensure, registration or certification in a profession or occupation regulated by a professional or occupational board established in the Division of Consumer Affairs shall provide for public inspection on its website comprehensive information on the cost of attendance, the graduation or completion rates of admitted students, and the faculty of the school, and shall also provide for public inspection on its website employment data for recent graduates. The purpose of the information shall be to maximize the awareness of students of the costs associated with enrollment in the school, the success in ensuring the graduation and employment of its students, and the composition of the teaching faculty that a student will encounter in his coursework. The school shall post, and annually update, a student consumer information report on its website that includes, if applicable:
(1) overall graduation or completion rates;
(2) graduation or completion rates by demographic group;
(3) the student transfer rate;
(4) an overview of the schools to which former students have transferred prior to the completion of an educational program;
(5) the amount of any school charges, including tuition and fees;
(6) a description of the types of financial assistance offered directly by the school to students;
(7) the total projected cost for an incoming student to complete the educational program;
(8) average student loan indebtedness of graduates;
(9) average student loan indebtedness of a student who withdraws from the school prior to the completion of the educational program;
(10) an overview of the school's faculty, including the percentage of faculty employed on a full-time basis and the percentage of faculty employed on a part-time basis; and
(11) employment data beginning with data compiled for students who graduate from the school during the 2021-2022 academic year. The employment data shall include, but need not be limited to, the employment rate and average annual salary of students two years following the academic year in which the students graduated from the school, as compiled in the comparative report and provided by the Attorney General pursuant to section 10 of P.L. , c. (C. ) (pending before the Legislature as this bill).
The school shall provide with all paper applications for admission a hard copy of the information prepared pursuant to this subsection.
b. A private career school shall conform to the guidelines, criteria, and format prescribed by the Attorney General in reporting the information required pursuant to subsection a. of this section. The institution shall submit its student consumer information report to the Attorney General for inclusion in a comparative profile of the student consumer information reports of all such schools.
c. A private career school shall ensure that the page of its Internet site which includes its student consumer information report contains a link to the page of the Attorney General's Internet site that includes the comparative profile required pursuant to subsection b. of section 5 of P.L. , c. (C. ) (pending before the Legislature as this bill).
d. A private career school shall ensure that the Internet site for submitting an online application to the institution contains a link to the institution's student consumer information report.
e. A private career school shall require a student applying for admission to the school to sign and submit a statement acknowledging that he has reviewed the school's student consumer information report.]1
1[5. (New section) a. The Attorney General shall issue guidelines and criteria for collecting and calculating the information required pursuant to section 4 of P.L. , c. (C. ) (pending before the Legislature as this bill) and shall prescribe a uniform reporting method for posting the information.
b. The Attorney General shall annually compile the student consumer information reports submitted pursuant to subsection b. of section 4 of P.L. , c. (C. ) (pending before the Legislature as this bill) into a comparative profile of all private career schools authorized to offer educational programs required for licensure, registration, or certification in professions or occupations regulated by a professional or occupational board established in the Division of Consumer Affairs. The Attorney General shall present the information on its website in a manner that allows students to easily compare student consumer information across private career schools.]1
1[6. (New section) Within 12 months of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), the Attorney General shall establish a performance quality standard for private career schools authorized to offer an educational program required for licensure, registration, or certification in a profession or occupation regulated by a professional or occupational board established in the Division of Consumer Affairs. The performance quality standard shall be based on the ratio of the earnings of students in private career schools to the tuition and fees charged to those students net of any school grant aid. The Attorney General shall ensure that private career schools meet a minimum acceptable level of performance for this standard, up to and including revocation of a school's authorization to offer educational programs regulated by a professional or occupational board in the Division of Consumer Affairs.
The Attorney General, in consultation with the Secretary of Higher Education and the Commissioner of Labor and Workforce Development, shall adopt, in accordance with the "Administrative Procedure Act," P.L. 1968, c.410 (C.52:14B-1 et seq.), rules and regulations as may be necessary to implement the provisions of this section.]1
1[7. (New section) a. A private career school authorized by the Department of Labor and Workforce Development to offer one or more occupational training programs shall provide for public inspection on its website comprehensive information on the cost of attendance, the graduation or completion rates of students, and the faculty of the school, and shall also provide for public inspection on its website employment data for recent graduates of the school. The purpose of the information shall be to maximize the awareness of students of the costs associated with enrollment in the school, the success in ensuring the graduation and employment of its students, and the composition of the teaching faculty that a student will encounter in his coursework. The school shall post, and annually update, a student consumer information report on its website that includes, if applicable:
(1) overall graduation or completion rates;
(2) graduation or completion rates by demographic group;
(3) the student transfer rate;
(4) an overview of the schools to which former students have transferred prior to the completion of a program;
(5) the amount of any school charges, including tuition and fees;
(6) a description of the types of financial assistance offered directly by the school to students;
(7) the total projected cost for an incoming student to complete a program;
(8) average student loan indebtedness of graduates;
(9) average student loan indebtedness of a student who withdraws from the school prior to the completion of an occupational program;
(10) an overview of the school's faculty, including the percentage of faculty employed on a full-time basis and the percentage of faculty employed on a part-time basis; and
(11) employment data beginning with data compiled for students who graduate from the school during the 2021-2022 academic year. The employment data shall include, but need not be limited to, the employment rate and average annual salary of students two years following the academic year in which the students graduated from the school, as compiled in the comparative report and provided by the Commissioner of Labor and Workforce Development pursuant to section 10 of P.L. , c. (C. ) (pending before the Legislature as this bill).
The school shall provide with all paper applications for admission to the school a hard copy of the information prepared pursuant to this subsection.
b. The private career school shall conform to the guidelines, criteria, and format prescribed by the commissioner in reporting the information required pursuant to this section. The school shall submit its student consumer information report to the commissioner for inclusion in a comparative profile of the student consumer information reports of all such schools.
c. A private career school shall ensure that the page of its Internet site which includes its student consumer information report contains a link to the page of the department's Internet site that includes the comparative profile required pursuant to subsection b. of section 8 of P.L. , c. (C. ) (pending before the Legislature as this bill).
d. A private career school shall ensure that the Internet site for submitting an online application to the school contains a link to the school's student consumer information report.
e. A private career school shall require a student applying for admission to sign and submit a statement acknowledging that he has reviewed the school's student consumer information report.]1
1[8. (New section) a. The Commissioner of Labor and Workforce Development shall issue guidelines and criteria for collecting and calculating the information required pursuant to section 7 of P.L. , c. (C. ) (pending before the Legislature as this bill) and shall prescribe a uniform reporting method for posting the information.
b. The commissioner shall annually compile the student consumer information reports submitted pursuant to subsection b. of section 7 of P.L. , c. (C. ) (pending before the Legislature as this bill) into a comparative profile of all private career schools authorized to offer one or more occupational training programs. The commissioner shall present the information on its website in a manner that allows students to easily compare student consumer information across private career schools regulated by the department.]1
1[9. (New section) Within 12 months of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), the Commissioner of Labor and Workforce Development shall establish standards for private career schools authorized by the department to offer one or more occupational training programs. The standards shall be based on the ratio of the earnings of students in private career schools to the tuition and fees charged to those students net of any school grant aid. The commissioner shall ensure that private career schools meet a minimum acceptable level of performance for the standard, up to and including revocation of a school's certificate of approval.
The commissioner, in consultation with the Secretary of Higher Education and the Attorney General, shall adopt, in accordance with the "Administrative Procedure Act," P.L. 1968, c.410 (C.52:14B-1 et seq.), rules and regulations as may be necessary to implement the provisions of this section.]1
1[10. (New section) a. As used in this section, "career-oriented program of study" means a program that delivers occupation-specific skills and knowledge of all aspects of an industry, provides technical skill proficiency, and culminates in the attainment of an industry-recognized postsecondary credential.
b. No later than the beginning of the 2021-2022 academic year, the Secretary of Higher Education, the Department of Labor and Workforce Development, and the Division of Consumer Affairs shall enter into a memorandum of understanding to develop a data system that will collect the employment data for students who graduate or withdraw prior to the completion of a degree program from an institution of higher education or from a proprietary institution authorized to offer licensed degree programs in the State, or from a private career school, to produce an employment comparative report for all institutions and schools.
The Department of Labor and Workforce Development shall also initiate efforts to enter into an agreement with other states for the sharing of unemployment insurance information for the purposes of P.L. , c. (C. ) (pending before the Legislature as this bill).
c. An institution of higher education, a proprietary institution authorized to offer licensed degree programs, and a private career school shall submit to the department, as applicable, for each student who graduates or withdraws from the institution or school in an academic year or school year:
(1) the student's social security number;
(2) the student's degree program or professional and occupational program;
(3) the student's graduation date or date of withdrawal and portion of the program completed at withdrawal from the institution or school;
(4) information on the student's loan debt obtained from the federal student loan program and any loans the institution or school has certified, arranged, or is otherwise aware of, or of which it should reasonably be aware; and
(5) institutional or school charges for which the student is responsible net of any institutional or school grant aid.
An institution of higher education, a proprietary institution authorized to offer licensed degree programs, and a private career school shall also submit to the department the clear identification of the institution's or school's career-oriented programs of study.
The department shall adopt standards and procedures to prevent any State agency from publishing, disclosing, or releasing information which could identify any individual and shall not publish, disclose, or otherwise release information which could identify any individual.
d. The department shall submit the employment information compiled pursuant to this section to the Secretary of Higher Education, the Attorney General, and the Commissioner of Labor and Workforce Development. The secretary, Attorney General, and commissioner, respectively, shall use the information to compile an employment comparative report for each institution of higher education, degree-granting proprietary institution, and private career school which shall include, as applicable:
(1) the employment rate and average annual salary of students by academic major, in the case of an academic degree program, or program in the case of private career schools, two years following graduation from the institution or school;
(2) the employment rate and average annual salary of students two years following the academic year in which the students graduated from the institution or school; and
(3) the employment rate and average annual salary of students two years following withdrawal from the institution or school prior to the completion of a degree program or school program.
The secretary, Attorney General, and commissioner shall distribute the employment comparative report to each institution of higher education, proprietary institution authorized to offer licensed degree programs, and private career school for inclusion on the institution's or school's website and inclusion in the student consumer information report prepared by the institution or school.]1
1[11. (New section) Three years following the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), the Secretary of Higher Education, Attorney General, and Commissioner of Labor and Workforce Development shall submit a report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), the Legislature. The report shall include recommendations on the ability to use the data collected pursuant to subsection c. of section 10 of P.L. , c. (C. ) (pending before the Legislature as this bill) to establish a Statewide gainful employment requirement that requires an institution or school to demonstrate that its graduates earn enough to adequately repay their student loans by meeting a certain debt-to-income ratio, and any other recommendations for establishing a gainful employment requirement.]1
11. (New section) a. As used in this section, "career-oriented program of study" means a program that provides occupation-specific knowledge and technical skill proficiency that culminates in the attainment of a license for a specific occupation or is represented by the institution as preparing students for employment in a specific occupation. "Career-oriented program of study" shall not include a program dedicated primarily to the education or training of ministers, priests, rabbis or other professional persons in the field of religion.
b. Within 12 months of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), the Secretary of Higher Education shall establish a performance quality standard for career-oriented programs of study offered by institutions of higher education and degree-granting proprietary institutions. In establishing the standard, the secretary shall consider the ratio of the tuition and fees charged to students in the career-oriented program net of any institutional grant aid to the average earnings of New Jersey workers employed in the specific occupation for which the career-oriented program prepares students.
c. The secretary shall ensure that career-oriented programs of study offered by institutions of higher education and degree-granting proprietary institutions meet a minimum acceptable level of performance, as determined by the secretary. In the event that the secretary determines that a program does not meet the minimum acceptable level of performance, the secretary shall suspend or terminate that program and take additional action to suspend or revoke the institution's license to award academic degrees.
d. An institution of higher education or degree-granting proprietary institution shall submit to the secretary the clear identification of the institution's career-oriented programs of study in a form and in a manner as determined by the secretary.
e. The secretary shall adopt, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations as may be necessary to implement the provisions of this section.1
12. (New section) a. Within 12 months of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), the Commissioner of Labor and Workforce Development shall establish performance quality standards for:
(1) private career schools, referred to and defined as "qualifying schools" under section 4 of P.L.1989, c.293 (C.34:15C-1), authorized jointly under section 13 of P.L.2005, c.354 (C.34:15C-10.1) by the Commissioner of Labor and Workforce Development and the Commissioner of Education to operate in New Jersey; and
(2) private career schools authorized by a professional or occupational board established within the Division of Consumer Affairs, in the Department of Law and Public Safety, to offer an educational program required for licensure, registration, or certification in a profession or occupation regulated by a professional or occupational board established within the division.
b. In establishing the performance quality standards, the Commissioner of Labor and Workforce Development shall consider the ratio of the tuition and fees charged to students in the program net of any institutional grant aid to the average earnings of New Jersey workers employed in the specific occupation for which the program prepares students.
(1) In the event that the Commissioner of Labor and Workforce Development determines that a program offered by a private career school does not meet the minimum acceptable level of performance, the Commissioner of Labor and Workforce Development and the Commissioner of Education shall, pursuant to section 13 of P.L.2005, c.354 (C.34:15C-10.1), revoke, suspend or make conditional the certificate of approval issued under that law.
(2) In the event that the Commissioner of Labor and Workforce Development determines that an educational program required for licensure, registration, or certification in a profession or occupation regulated by a professional or occupational board established within the Division of Consumer Affairs does not meet the minimum acceptable level of performance, the Commissioner of Labor and Workforce Development shall issue a written determination directing the applicable board within the Division of Consumer Affairs to suspend or revoke the private career school's license or accreditation to offer such program.
c. All private career schools, including those operating with a certificate of approval issued jointly by the Commissioner of Labor and Workforce Development and the Commissioner of Education, and those authorized by a professional or occupational board established within the Division of Consumer Affairs to offer an educational program required for licensure, registration, or certification in a profession or occupation regulated by a professional or occupational board established within the Division of Consumer Affairs, shall submit a quarterly report to the Commissioner of Labor and Workforce Development that includes:
(1) the tuition and fees charged for each program;
(2) a record for each student enrolled in each program. The student record shall include, but not be limited to: the student's social security number, gender, date of birth, date of enrollment, any date of completion, date of termination, date of start in a job, date of application for a license, licensing examination result, date of issuance of a license, and any credential issued; and
(3) any additional information that may be required by the Commissioner of Labor and Workforce Development.
d. Each private career school may be required by the Commissioner of Labor and Workforce Development to submit additional reports on a more frequent basis.
(1) In the event that the Commissioner of Labor and Workforce Development determines that a program offered by a private career school has failed to submit any report required under this section, the Commissioner of Labor and Workforce Development and the Commissioner of Education shall, pursuant to section 13 of P.L.2005, c.354 (C.34:15C-10.1), revoke, suspend or make conditional the certificate of approval issued under that law.
(2) In the event that the Commissioner of Labor and Workforce Development determines that an educational program required for licensure, registration, or certification in a profession or occupation regulated by a professional or occupational board established within the Division of Consumer Affairs has failed to submit any report required under this section, the Commissioner of Labor and Workforce Development shall issue a written determination directing the applicable board within the division to suspend or revoke the private career school's license or accreditation to offer such program.
e. Upon receiving the written determination from the Commissioner of Labor and Workforce Development directing the suspension or revocation of the private career school's license or accreditation to offer a program, the applicable board within the Division of Consumer Affairs may delay the effective date of the suspension or revocation for a reasonable time if it determines that doing so is necessary for the applicable board, or the affected private career school at the direction of the applicable board, to protect the interests of students.
f. Nothing in this section shall be construed to affect the authority of a professional or occupational board established within the Division of Consumer Affairs to suspend or revoke the license or accreditation of a private career school pursuant to Title 45 of the Revised Statutes.
g. The Commissioner of Labor and Workforce Development, in consultation with the Commissioner of Education and the Attorney General, shall adopt, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations as may be necessary to implement the provisions of this section.1
1[12.] 3.1 This act shall take effect immediately.
