Postsecondary Education Implementation of AB 169 Summary

Commission on Postsecondary Education Implementation of AB 169 https://www.leg.state.nv.us/App/NELIS/REL/81st2021/Bill/7518/Overview

Learning Objectives Overview of AB 169 Review specific changes to NRS 394 Identify potential impacts to institutions Understand what documents need to be revised Catalog Enrollment Agreement Website Policies and Procedures Note: CPE will develop a FAQ concerning AB 169 and will post outcomes on the CPE website.

AB 169 Passed both Assembly and Senate with no opposition (81 Session) Underwent significant changes between the initial proposed legislation and the final bill Sponsors met with the Administrator, Chair and Vice Chair of the Commission and some IHL s to discuss business impacts after the initial proposal Limited input was received from licensed institutions Bill changed NRS 394.441 and NRS 394.449 Bill created new section under NRS 394 that has not been assigned a number as of now Becomes law on October 1, 2021 Areas in blue are the additions and changes https://www.leg.state.nv.us/App/NELIS/REL/81st2021/Bill/7518/Overview

New Section (anticipated statute will be identified in NRS 394 after October 1, 2021) A postsecondary educational institution: Shall not engage in recruiting activities where prospective students cannot reasonably be expected to make informed decisions regarding enrollment. 1. The statute does not provide a list of prohibited places but will be up to the Commission to determined if a recruit activity was appropriate. Prohibits institutions of take advantage of persons who are in a difficult financial, physical or mental place in life. This is likely to impact institutions when student may accusations concerning aggressive recruitment practices. Only institutions with Agents are permitted to recruit student outside of the campus locations. Action required for enactment: If the institution has Registered Agents, create a Policy for the Agents concerning enrollment solicitation prohibitions. Institutions are liable for an Agents actions.

New Section (anticipated statute will be identified in NRS 394 after October 1, 2021) A postsecondary educational institution: May engage in recruiting activities at a center for employment opportunities operated by or with the support of the local, state or Federal Government and with the permission of the center for employment opportunities. 1. This was to provide institutions with the ability to work with local employment offices and one stops to assist students with necessary training to become employable. Action required for enactment: Only institutions with Agents are permitted to recruit student (actively sign a student to an enrollment contract) outside of the campus locations. All institutions can provide print material to agencies or have referrals to enroll at the campus location.

NRS 394.441 - Revised NRS 394.441 1. A postsecondary educational institution shall: [1.] (a) Provide students and other interested persons with a current and complete catalog or brochure containing information describing the programs offered, objectives of the program, length of the program, schedule of tuition, fees and all other charges and expenses necessary for completion of the course of study, policies concerning cancellations and refunds, an explanation of the Account for Student Indemnification and other material facts concerning the institution and the program or course of instruction that are likely to affect the decision of the student to enroll therein, together with any other disclosures specified by the Administrator or defined in the regulations of the Commission. The information must be provided before signing an agreement to enroll.

NRS 394.441 - Revised NRS 394.441 Added language of current and complete catalog or brochure and before signing an agreement to enroll. This does not change the requirement but clarifies what is required. Institutions must provide the most recent documents to include any addendums and student handbooks to potential students prior to signing the enrollment agreement. If the enrollment agreement occurs online, the institution must ensure the student can download all documents prior to signing the enrollment agreement. Action required for enactment: Review admissions process both online and in person to ensure student receive documents at specified times

NRS 394.441 - Revised (d) Provide each student with a current and complete copy of the agreement to enroll, dated and signed by the student or the student s guardian and an officer of the institution [.] , which must: (1) Include a statement that the student or the student s guardian and the officer of the institution have reviewed each section of the agreement and had the opportunity to ask questions; (2) Be printed in at least 10-point font; and (3) Include a cancellation policy that: (I) Provides that an agreement to enroll may be cancelled not later than 3 days after signing the agreement; and (II) Contains clear language explaining the process to cancel an agreement to enroll. Action required for enactment: Revise enrollment agreements to meet all three requirements, as necessary.

NRS 394.441 - Revised (1) Include a statement that the student or the student s guardian and the officer of the institution have reviewed each section of the agreement and had the opportunity to ask questions; Strategies to ensure compliance Initialing document sections for acknowledgement Final sign off with the statement if student wishes to proceed without asking questions Staff intervention to finalize enrollment

NRS 394.441 - Revised (3) Include a cancellation policy that: (I) Provides that an agreement to enroll may be cancelled not later than 3 days after signing the agreement; and (II) Contains clear language explaining the process to cancel an agreement to enroll. Discussion: Requires a 100% refund if cancelled with the 3 days NRS 394.449 Refund Policy goes into effect after the 3 days Legislation did not provide any exceptions to new rule May require an institution to revise timelines on when an enrollment agreement is signed Does not include textbooks, equipment and materials that a person uses or opens Process to cancel should be clear and easy to follow

NRS 394.441 - Revised (g) Include a disclosure page or prominent link to the disclosure page on the main page of the Internet website of the postsecondary educational institution. (h) Include a statement indicating where a person can access the complaint policy of the postsecondary educational institution in the catalog or brochure of the institution or on the main page of the Internet website of the postsecondary educational institution. Assumes all institutions have a website Requires all institutions have a policy concerning the filing of complaints Provided options for where the complaint policy resides to permit flexibility for differences with accrediting bodies, other agency requirements or institutional preference

NRS 394.441 - Revised (g) Include a disclosure page or prominent link to the disclosure page on the main page of the Internet website of the postsecondary educational institution. (h) Include a statement indicating where a person can access the complaint policy of the postsecondary educational institution in the catalog or brochure of the institution or on the main page of the Internet website of the postsecondary educational institution. Action required for enactment: Requires updates to website, establishment of a disclosure page with information about the complaint policy either in the catalog, brochure or main page of the website

NRS 394.441 - Revised NRS 394.441 (2). The Commission shall adopt regulations imposing a fine against a postsecondary educational institution that fails to comply with paragraph (g) of subsection 1. Requires the Commission to change the NAC to address fines related to the disclosure page. This will occur in a public workshop and the proposed language and meeting information will be posted on www.cpe.nv.gov site. Anticipated to occur in February 2022. Workshop information will be published on the CPE website at: www.cpe.nv.gov with any proposed language. Institutions are invited to respond to the proposed language.

NRS 394.449 Refund Policy 5. As used in this section, substantially failed to furnish includes cancelling or changing a training program agreed upon in the enrollment agreement without: (a) Offering the student a fair chance to complete the same program or another program with a demonstrated possibility of placement equal to or higher than the possibility of placement of the program in which the student is enrolled within approximately the same period at no additional cost; or (b) Obtaining the written agreement of the student to the specified changes and a statement that the student is not being coerced or forced into accepting the changes, unless the cancellation or change of a program is in response to a change in the requirements to enter an occupation. Action required for enactment: Update Refund policy to include the new provisions for refund. Applies to all students attending the institution.

NRS 394.449 Refund Policy Further defines substantially failed to furnish in the refund policy Creates additional liability on institutions to document when programs are eliminated or changed. Encourages cohort teach outs versus changes mid-program Has a provision for when an occupational standard or requirement for employment occurs to negate institutions liability Requires student acknowledgement that they have not been coerced or forced into accepting changes.

Enforcement Future Licensees: Institutions that become licensed on or after October 1, 2021 will required to address all regulatory changes prior to issuing a provisional license. Provisional Licensees: Need to revise enrollment agreement and catalog and submit to CPE no later than December 1, 2021. Existing institutions: CPE Full term Licensees and Non-CPE institutions that charge tuition (Excluding NSHE) Enrollment agreement NRS 394.441 changes. CPE will review for whichever event occurs first: License Renewal or change applications, reapproval for VA education program participation or if pertinent to a student complaint. Catalog Recommend an addendum to catalog with the added requirements for refund NRS 394.449. Addendums need to reference current catalog and effective date of addendum. All refunds issued on or after October 1, 2021 need to follow the updated regulation regardless of whether the information is published at that time. Website Need to update with a disclosure page and information on filing a complaint with CPE.

FAQs What if our enrollment agreement already has a cancellation policy that provides for cancellation of a three days or greater? If a policy meets or exceed the requirement, no change is needed. Do all students need to receive the revised refund policy? Yes. As of October 1, 2021, institutions must adhere to the new refund policy whether it has been published yet. The institution needs to communicate the change to both new and existing students. What if my institution does not have a website? CPE will provide a reasonable amount of time for the establishment of an institutional webpage. New licensees are prohibited from having an active website prior to receiving the license. CPE will work with individual institutions to address start up issues. What happens if my institution is found in violation of the new regulations? CPE or the SAA will request a correction to institutional documents or website. The correction must be implemented to receive an SAA reapproval or changes/renewal of the CPE license. If the violation pertains to a student refund, the Commission may determine the student is eligible for a refund based on situation.

Questions? Implementation of AB 169