To revise the rule for Closing an Institution to clarify the requirements for closing institution and providing records to the Commission for Independent Education following closure.

 

DEPARTMENT OF EDUCATION

Commission for Independent Education

RULE NO.:RULE TITLE:

6E-2.009Closing an Institution

PURPOSE AND EFFECT: To revise the rule for Closing an Institution to clarify the requirements for closing institution and providing records to the Commission for Independent Education following closure.

SUMMARY: The proposed rule revises the information that closing institutions are required to provide the Commission; revises the requirements for closure plans submitted to the Commission; specifies which student records the Commission requires for safekeeping upon closure and requires said records be transferred in an electronic format.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION:

The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has been prepared by the Agency.

It is anticipated that the Rule will be cost neutral for most institutions and result in a cost saving to some private postsecondary institutions licensed by the Commission. Most of the institutions already maintain student educational records electronically so the rule is cost neutral for these institutions. For others the requirement to maintain student records electronically only applies to records created after July 1, 2021 so any cost should be minimal. Further, the cost of mailing electronic student records is less than the cost of mailing hard copies, so it is anticipated that the rule will result in a cost savings for some institutions.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 1005.22(1)(e)1, 1005.31(2), FS.

LAW IMPLEMENTED: 1005.31(2), 1005.36, FS.

A HEARING WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW:

DATE AND TIME: April 1, 2020, 9:00 a.m.

PLACE: Mater Academy Charter Middle/High School, 7901 NW 103rd Street, Hialeah Gardens, FL 33016

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Samuel L. Ferguson, Executive Director, Commission for Independent Education, 325 West Gaines Street, Suite 1414, Tallahassee, Florida 32399-0400; [phone].

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

6E-2.009 Closing an Institution.

At least 30 days prior to closing an institution, its owners, directors or administrators shall notify the Commission in writing, and follow the provisions of Section 1005.36, F.S. Failure to comply with the statute shall be grounds for civil and criminal penalties as provided therein.

In order to conduct an orderly closing, a licensed institution shall:

(1) Notify the Commission in writing at least thirty (30) days prior to closing the institution, pursuant to Section 1005.36, F.S.

(2) Provide the Commission a report of all currently enrolled students, including the following information for each student: name, current mailing address, personal email address, telephone number, program of study, number of credits/hours completed, number of credits/hours remaining, projected enrollment status on the date report submitted and again at the time of closure and plan for completion of the student’s training and/or refund.

(3) Submit to the Commission a written plan for closure as prescribed by the Commission to include, as applicable:

(a) A plan for the closing institution to complete the training of current students;

(b) A plan for an institution other than the closing institution to complete the training of current students and a copy of a written agreement between that institution and the closing institution;

(c) A plan for providing refunds to current students not completing their training; and,

(d) Sample notices that the institution will provide to each student regarding completion of training and/or refunds.

(e) The anticipated date by which all student records will be transferred to the Commission. Student records must be updated as of the last day of operation and transferred to the Commission within thirty (30) days of ceasing operation. Beginning July 1, 2021, all student records for students enrolled after that date must be transferred in an electronic format prescribed by the Commission. Student records must include, for each student:

1. Enrollment agreements, if applicable;

2. Transcripts containing all information as required by Rule 6E-1.003(60), F.A.C.;

3. Financial records, such as ledgers and financial aid documentation; and,

4. Appellations, such as diplomas, degrees, or certificates of completion.

Rulemaking Authority 1005.22(1)(e)1. FS. Law Implemented 1005.36 FS. History–New 12-5-74, Formerly 6E-4.01(5), Amended 11-11-75, 3-7-77, 5-7-79, 10-13-83, Formerly 6E-2.09, Amended 11-29-89, 12-10-90, 10-19-93, 4-11-00, 1-7-03,____.

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Samuel L. Ferguson, Executive Director, Commission for Independent Education.

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: The commission for Independent Education.

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: February 20, 2020

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: January 8, 2020