AB427: Bill Text

LRB-2869/2

GMM:nwn&med:rs

2011 - 2012 LEGISLATURE

2011 Assembly BILL 427

December 14, 2011 - Introduced by Representative Nass, cosponsored by Senator Schultz, by request of The Educational Approval Board (EAB). Referred to Committee on Colleges and Universities.

AB427,2,18 An Act to repeal 37.70, 38.50 (1) (b), 38.50 (1) (e) 6., 38.50 (1) (e) 8., 38.50 (7) (b), 38.50 (8) (h), 38.50 (8) (i), 38.50 (10) (title), 38.50 (11) (a) (intro.), 38.50 (11) (a) 1., 38.50 (11) (a) 2. and 38.50 (11) (b) 2.; to renumber 38.50 (title), 38.50 (1) (d), 38.50 (7) (i), 38.50 (8) (c) 2., 38.50 (8) (c) 7., 38.50 (8) (d), 38.50 (8) (e), 38.50 (10) (c) (intro.), 38.50 (10) (c) 4., 38.50 (11) (title), 38.50 (12) (title), 38.50 (12) (a) 1., 38.50 (13) (title), 38.50 (13) (a) 2. (intro.), 38.50 (13) (a) 2. a., 38.50 (13) (a) 2. b., 38.50 (13) (a) 2. d., 38.50 (13) (a) 2. e., 38.50 (13) (a) 3., 38.50 (13) (a) 4., 38.50 (13) (b) and 38.50 (13) (c); to renumber and amend 38.50 (1) (intro.), 38.50 (1) (a), 38.50 (1) (c), 38.50 (1) (e) (intro.), 38.50 (1) (e) 1., 38.50 (1) (e) 2., 38.50 (1) (e) 3., 38.50 (1) (e) 4., 38.50 (1) (e) 5., 38.50 (1) (e) 7., 38.50 (1) (f), 38.50 (1) (g), 38.50 (2), 38.50 (3), 38.50 (5), 38.50 (7) (intro.), 38.50 (7) (a), 38.50 (7) (c), 38.50 (7) (d), 38.50 (7) (e), 38.50 (7) (f), 38.50 (7) (g), 38.50 (7) (h), 38.50 (8) (title), 38.50 (8) (a), 38.50 (8) (b), 38.50 (8) (c) (intro.), 38.50 (8) (c) 1., 38.50 (8) (c) 3., 38.50 (8) (c) 4., 38.50 (8) (c) 5., 38.50 (8) (c) 6., 38.50 (8) (f), 38.50 (8) (g), 38.50 (10) (a), 38.50 (10) (b), 38.50 (10) (c) (title), 38.50 (10) (c) 1., 38.50 (10) (c) 2., 38.50 (10) (c) 3., 38.50 (10) (cm), 38.50 (10) (d), 38.50 (10) (e), 38.50 (10) (f), 38.50 (11) (a) 3., 38.50 (11) (b) 1., 38.50 (11) (c), 38.50 (11) (d), 38.50 (12) (a) (intro.), 38.50 (12) (a) 1m., 38.50 (12) (a) 2., 38.50 (12) (b), 38.50 (12) (c), 38.50 (12) (d), 38.50 (12) (e), 38.50 (13) (a) (intro.), 38.50 (13) (a) 1., 38.50 (13) (a) 2. c., 38.50 (13) (d), 71.07 (5r) (a) 2., 71.28 (5r) (a) 2. and 71.47 (5r) (a) 2.; to amend 15.406 (6) (a) 1., 20.292 (2) (g), 20.292 (2) (gm), 20.292 (2) (i), 29.506 (7m) (a), 45.20 (1) (d), 45.20 (2) (a) 1., 45.20 (2) (a) 2. (intro.), 45.20 (2) (c) 1., 45.20 (2) (d) 1. (intro.), 45.21 (2) (a), 71.05 (6) (b) 28. (intro.), 71.07 (5r) (a) 6. b., 71.07 (5r) (b) 1., 71.07 (5r) (b) 2., 71.07 (5r) (c) 3. a., 71.07 (5r) (c) 3. b., 71.07 (5r) (c) 4., 71.28 (5r) (a) 6. b., 71.28 (5r) (b) 1., 71.28 (5r) (b) 2., 71.28 (5r) (c) 3. a., 71.28 (5r) (c) 3. b., 71.28 (5r) (c) 4., 71.47 (5r) (a) 6. b., 71.47 (5r) (b) 1., 71.47 (5r) (b) 2., 71.47 (5r) (c) 3. a., 71.47 (5r) (c) 3. b., 71.47 (5r) (c) 4., 111.335 (1) (cx), 182.028, 460.05 (1) (e) 1., 944.21 (8) (b) 3. a. and 948.11 (4) (b) 3. a.; to repeal and recreate 20.292 (2) (g); and to create 37.01 (2), 37.10 (2) to (6), 37.15, 37.30 (title), 37.30 (2), 37.35 (2), 37.35 (3) (c), (d), (e) and (g), 37.35 (8), 37.40 (title), 37.45, 37.50 and 115.28 (7g) of the statutes; relating to: the purposes, authority, and responsibilities of the Educational Approval Board and the regulation of schools by that board.

Analysis by the Legislative Reference Bureau

Education

Other educational and cultural agencies

Under current law, the Educational Approval Board (EAB) is required to protect the general public by inspecting and approving private trade, correspondence, business, and technical schools, changes of ownership or control of those schools, teaching locations used by those schools, and courses of instruction offered by those schools and to regulate the soliciting of students for courses and courses of instruction offered by those schools. Current law also requires EAB to perform certain actions to protect students, prevent fraud, and encourage generally accepted educational standards at those schools. Those actions include requiring schools offering courses and courses of instruction to residents of this state to furnish information concerning their facilities, curricula, instructors, enrollment policies, tuition and other charges and fees, refund policies, and policies concerning the negotiability of promissory instruments received in payment of tuition and other charges.

Current law also prohibits a solicitor representing any school from soliciting students for a course or course of instruction for a consideration or remuneration, except upon the actual business premises of the school, unless the solicitor first secures a solicitor's permit from EAB, and includes provisions relating to application for and issuance of solicitor's permits, refusal or revocation of those permits, and consequences for soliciting students without a permit. Moreover, current law permits EAB to indemnify a student, parent, or sponsor from an appropriation commonly referred to as the student protection fund if a school closure results in losses to the student, parent, or sponsor. Finally, current law permits EAB to take possession of the student records of schools, including certain schools not approved by EAB, that have discontinued their operations, are proposing to discontinue their operations, or are in imminent danger of discontinuing their operations, if the records are in danger of being destroyed, secreted, mislaid, or otherwise being made unavailable to the person who is the subject of the record. Schools not approved by EAB whose student records EAB may take into possession include tax-exempt schools that were incorporated in this state before January 1, 1992, or that had their headquarters and principal places of business in this state before 1970; schools that are licensed, approved, and supervised by other state agencies; schools approved by the Department of Public Instruction for the training of teachers; and schools accredited by accrediting agencies recognized by EAB.

This bill moves the powers and duties of EAB from a chapter of the statutes relating to the Technical College System to its own newly created chapter, reorganizes those powers and duties, and makes various substantive changes with respect to those powers and duties. Specifically, the bill does the following:

1. Purposes. Specifies that the purposes of EAB are to protect the general public and to support quality educational options and requires EAB to accomplish those purposes by doing all of the following:

a. Evaluating and approving schools, which the bill redefines to mean, subject to certain exceptions, any individual, partnership, association, corporation, or limited liability company doing business within this state, whether located within or outside this state, that offers, maintains, provides, or conducts for a fee a course of study that provides practical or academic instruction, education, or training leading to a diploma, certificate, degree, or other indicia that a student has acquired knowledge or skills (program), including any private trade, technical, career, distance learning, or degree-granting school.

b. Collecting and disseminating outcome and satisfaction information for the students of schools.

c. Performing annual reviews of schools.

d. Conducting regular on-site evaluations of schools.

e. Holding schools accountable for improving their performance and effectiveness.

f. Supporting options for innovative and quality programs offered by schools.

2. Accountability. Requires EAB to develop, periodically review, and, if appropriate, revise a strategic plan and to use the strategic plan to evaluate annually EAB's performance and effectiveness.

3. Authority. Requires EAB to approve schools, programs that another state agency or board is not authorized to approve or accept, changes of ownership or control of schools, teaching locations used by schools, and school representatives who, in places other than a school, attempt to secure the enrollment of students in the school if those schools, programs, changes of ownership or control, meet the requirements and standards established by EAB and that comply with rules promulgated by EAB. In the case of a school that offers a program that another state agency or board is authorized to approve or accept, including a program leading to a credential that is required for licensure or a program providing professional development for a licensee, the bill requires EAB to cooperate with that other state agency or board in the approval of the school by EAB and the approval or acceptance of the program by that other state agency or board. The bill also grants to the state superintendent of public instruction the exclusive authority to approve or accept programs offered in this state leading to the licensure of teachers and schools that, in this state, offer only those programs.

4. Responsibility. Requires EAB to perform certain actions to hold schools accountable for achieving satisfactory student outcomes and to ensure that programs meet generally accepted educational, occupational, and industry standards, including establishing standards and criteria for approving schools offering programs that are delivered primarily by distance learning and requiring a school, prior to enrolling a student who is a resident of this state, to provide the student with a catalog that includes information about the following:

a. The school's mission, facilities, programs, and instructors.

b. The school's policies concerning enrollment and admissions, academic progress, and student conduct.

c. Student services, including employment assistance services, that the school provides.

d. The school's complaint procedures.

e. Student outcome and satisfaction information.

f. The school's fees, refund policies, and policies concerning the negotiability of promissory instruments received in payment of fees.

g. Any other information EAB considers necessary to hold schools accountable for achieving satisfactory student outcomes and to ensure that programs meet generally accepted educational, occupational, and industry standards.

5. Reporting. Requires an approved school to submit annually to EAB all of the following:

a. Information about the school as prescribed by EAB, including a current school catalog, an enrollment contract, if one is used, copies of advertising used by the school, and financial information as EAB considers necessary.

b. Student satisfaction and outcome information, including information on the number of students from the prior year who are continuing in the current year, the number of new students starting in the current year, the number of students who have dropped out or withdrawn since the prior year, the number of students who are anticipated to continue next year, the number of students completing a program, the number of completers successfully employed, and such other information as EAB considers necessary.

c. A report on the school's progress in achieving the goals of its institutional plan.

6. Recruiting. Deletes, effective 24 months after the date of publication of the bill, the statutory provisions relating to solicitor's permits, but retains EAB's responsibility to regulate student recruitment and to issue permits to school representatives.

7. Student protection fund. Permits EAB to pursue any legal action it considers necessary to recover any losses paid from the student protection fund.

8. Student records. Eliminates the authority of EAB to take possession of the student records of a school not approved by EAB that has discontinued its operations, is proposing to discontinue its operations, or is in imminent danger of discontinuing its operations.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB427, s. 1 Section 1. 15.406 (6) (a) 1. of the statutes is amended to read:

AB427,5,10 15.406 (6) (a) 1. Six massage therapists or bodywork therapists licensed under ch. 460 who have engaged in the practice of massage therapy or bodywork therapy for at least 2 years preceding appointment. One member appointed under this subdivision shall be a representative of a massage therapy or bodywork therapy school approved by the educational approval board under s. 38.50 ch. 37. One member appointed under this subdivision shall be a representative of a massage therapy or bodywork therapy program offered by a technical college in this state. No other members appointed under this subdivision shall be directly or indirectly affiliated with a massage therapy or bodywork therapy school or program.

AB427, s. 2 Section 2. 20.292 (2) (g) of the statutes is amended to read:

AB427,6,6 20.292 (2) (g) Proprietary school programs. The amounts in the schedule for the examination and approval of proprietary school programs under ch. 37. Ninety percent of all moneys received from the issuance of solicitor's representative's permits under s. 38.50 (8) 37.70 and from the fees under s. 38.50 (10) 37.40 (3) (c) and all moneys received from the fees under s. 38.50 (13) (d) 37.65 (4) shall be credited to this appropriation account.

AB427, s. 3 Section 3. 20.292 (2) (g) of the statutes, as affected by 2011 Wisconsin Act .... (this act), is repealed and recreated to read:

AB427,6,12 20.292 (2) (g) Approval of school programs. The amounts in the schedule for the examination and approval of school programs under ch. 37. Ninety percent of all moneys received from the fees under s. 37.40 (3) (c) and all moneys received from the fees under s. 37.65 (4) shall be credited to this appropriation account.

AB427, s. 4 Section 4. 20.292 (2) (gm) of the statutes is amended to read:

AB427,6,19 20.292 (2) (gm) Student protection. All moneys received from fees received under s. 38.50 (10) (c) 4. 37.40 (3) (d) and from amounts recovered under s. 37.50 (1), for the purpose of indemnifying students, parents, or sponsors under s. 38.50 (10) (a) 37.50 (1) and for the purpose of preserving under s. 38.50 (11) 37.55 the students student records of schools, as defined in s. 38.50 (11) (a) 2., that have discontinued their operations.

AB427, s. 5 Section 5. 20.292 (2) (i) of the statutes is amended to read:

AB427,6,25 20.292 (2) (i) Closed schools; preservation of student records. All moneys received from fees collected under s. 38.50 (11) (d) 37.55 (4) to be used for the administrative costs of taking possession of, preserving, and providing under s. 37.55 copies of student records of schools, as defined in s. 38.50 (11) (a) 2., that have discontinued their operations.

AB427, s. 6 Section 6. 29.506 (7m) (a) of the statutes is amended to read:

AB427,7,6 29.506 (7m) (a) The department shall issue a taxidermy school permit to a person who applies for the permit; who, on August 15, 1991, holds held a valid taxidermist permit issued under this section; and who, on August 15, 1991, operates operated a taxidermy school approved by the educational approval board under s. 38.50 38.51, 1991 stats.