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General Assembly Raised Bill No. 998
January Session, 2021
LCO No. 4293
Referred to Committee on HIGHER EDUCATION AND
EMPLOYMENT ADVANCEMENT
Introduced by:
(HED)
AN ACT CONCERNING CO MPILED FINANCIAL STATEMENTS FOR
CERTAIN PRIVATE OCCUPATIONAL SCHOOLS .
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Subsection (c) of section 10a-22b of the general statutes is 1
repealed and the following is substituted in lieu thereof (Effective July 1, 2
2021): 3
(c) Each person, board, association, partnership, corporation, limited 4
liability company or other entity which seeks to offer occupational 5
instruction shall submit to the executive director, or the executive 6
director's designee, in such manner as the executive director, or the 7
executive director's designee, prescribes, an application for a certificate 8
of authorization which includes, but need not be limited to, (1) the 9
proposed name of the school; (2) ownership and organization of the 10
school including the names and addresses of all principals, officers, 11
members and directors; (3) names and addresses of all stockholders of 12
the school, except for applicants which are listed on a national securities 13
exchange; (4) addresses of any building or premises on which the school 14 Raised Bill No. 998
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will be located; (5) description of the occupational instruction to be 15
offered; (6) the proposed student enrollment agreement, which includes 16
for each program of occupational instruction offered a description, in 17
plain language, of any requirements for employment in such occupation 18
or barriers to such employment pursuant to state law or regulations; (7) 19
the proposed school catalog, which includes for each program of 20
occupational instruction offered a description of any requirements for 21
employment in such occupation or barriers to such employment 22
pursuant to state law or regulations; (8) financial statements detailing 23
the financial condition of the school pursuant to subsection (d) of this 24
section and subsection (g) of section 10a-22d, as amended by this act, 25
prepared by management and reviewed or audited, or, for a 26
nonaccredited school annually [enrolling fewer than ten students] 27
receiving less than fifty thousand dollars in tuition revenue, compiled, 28
by an independent licensed certified public accountant or independent 29
licensed public accountant; and (9) an agent for service of process. Each 30
application for initial authorization shall be accompanied by a 31
nonrefundable application fee made payable to the private occupational 32
school student protection account in the amount of two thousand 33
dollars for the private occupational school and two hundred dollars for 34
each branch of a private occupational school in this state. Any 35
application for initial authorization that remains incomplete six months 36
after the date such application was first submitted to the Office of 37
Higher Education shall expire and the office shall not approve such 38
expired application for authorization. 39
Sec. 2. Subsection (g) of section 10a-22d of the general statutes is 40
repealed and the following is substituted in lieu thereof (Effective July 1, 41
2021): 42
(g) Each private occupational school shall keep financial records in 43
conformity with generally accepted accounting principles. An annual 44
financial statement detailing the financial status of the school shall be 45
prepared by school management and reviewed or audited, or, for a 46
nonaccredited school annually [enrolling fewer than ten students] 47
receiving less than fifty thousand dollars in tuition revenue, compiled, 48 Raised Bill No. 998
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by a licensed certified public accountant or licensed public accountant 49
in accordance with standards established by the American Institute of 50
Certified Public Accountants. A copy of such financial statement shall 51
be filed with the executive director on or before the last day of the fourth 52
month following the end of the school's fiscal year, except in the case of 53
a nationally accredited school recognized by the United States 54
Department of Education, in which case such financial statement shall 55
be due on or before the last day of the sixth month following the end of 56
the school's fiscal year. Only audited financial statements shall be 57
accepted from a nationally accredited school. Upon a nonaccredited 58
school's written request, the executive director may authorize, for good 59
cause shown, a filing extension for a period not to exceed sixty days. No 60
filing extensions shall be granted to a nationally accredited school. 61
This act shall take effect as follows and shall amend the following
sections:
Section 1 July 1, 2021 10a-22b(c)
Sec. 2 July 1, 2021 10a-22d(g)
Statement of Purpose:
To change the eligibility of private occupational schools that can file a
compiled financial statement from schools that enroll less than ten
students to schools that receive less than fifty thousand dollars in tuition
revenue.
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except
that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not
underlined.]