Illinois 2023-2024 Regular Session

Illinois House Bill HB2899 Compare Versions

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11 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB2899 Introduced , by Rep. Maurice A. West, II SYNOPSIS AS INTRODUCED: 30 ILCS 105/5.990 new105 ILCS 426/35 110 ILCS 947/35 Amends the Private Business and Vocational Schools Act of 2012. In provisions regarding institution and program approval criteria, provides that a part of the criteria for approval is fair and equitable reimbursement in the case of an unfair or deceptive practice finding. Amends the Higher Education Student Assistance Act. In provisions concerning the monetary award program, makes changes to the provisions regarding the award of grants to applicants enrolled at qualified for-profit institutions, and provides that credits earned during the 2023-2024 academic year at a qualified for-profit institution may not count toward the maximum credit-hour limitation. Sets forth provisions concerning an institution that received monetary award program funds at a time the institution was using unfair or deceptive practices, including refunding State funds to the Illinois Student Assistance Commission and awarding grants to students who attended that institution. Amends the State Finance Act to create the MAP Refund Fund as a special fund in the State treasury. Effective immediately. LRB103 30323 RJT 56751 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB2899 Introduced , by Rep. Maurice A. West, II SYNOPSIS AS INTRODUCED: 30 ILCS 105/5.990 new105 ILCS 426/35 110 ILCS 947/35 30 ILCS 105/5.990 new 105 ILCS 426/35 110 ILCS 947/35 Amends the Private Business and Vocational Schools Act of 2012. In provisions regarding institution and program approval criteria, provides that a part of the criteria for approval is fair and equitable reimbursement in the case of an unfair or deceptive practice finding. Amends the Higher Education Student Assistance Act. In provisions concerning the monetary award program, makes changes to the provisions regarding the award of grants to applicants enrolled at qualified for-profit institutions, and provides that credits earned during the 2023-2024 academic year at a qualified for-profit institution may not count toward the maximum credit-hour limitation. Sets forth provisions concerning an institution that received monetary award program funds at a time the institution was using unfair or deceptive practices, including refunding State funds to the Illinois Student Assistance Commission and awarding grants to students who attended that institution. Amends the State Finance Act to create the MAP Refund Fund as a special fund in the State treasury. Effective immediately. LRB103 30323 RJT 56751 b LRB103 30323 RJT 56751 b A BILL FOR
22 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB2899 Introduced , by Rep. Maurice A. West, II SYNOPSIS AS INTRODUCED:
33 30 ILCS 105/5.990 new105 ILCS 426/35 110 ILCS 947/35 30 ILCS 105/5.990 new 105 ILCS 426/35 110 ILCS 947/35
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77 Amends the Private Business and Vocational Schools Act of 2012. In provisions regarding institution and program approval criteria, provides that a part of the criteria for approval is fair and equitable reimbursement in the case of an unfair or deceptive practice finding. Amends the Higher Education Student Assistance Act. In provisions concerning the monetary award program, makes changes to the provisions regarding the award of grants to applicants enrolled at qualified for-profit institutions, and provides that credits earned during the 2023-2024 academic year at a qualified for-profit institution may not count toward the maximum credit-hour limitation. Sets forth provisions concerning an institution that received monetary award program funds at a time the institution was using unfair or deceptive practices, including refunding State funds to the Illinois Student Assistance Commission and awarding grants to students who attended that institution. Amends the State Finance Act to create the MAP Refund Fund as a special fund in the State treasury. Effective immediately.
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1313 1 AN ACT concerning education.
1414 2 Be it enacted by the People of the State of Illinois,
1515 3 represented in the General Assembly:
1616 4 Section 5. The State Finance Act is amended by adding
1717 5 Section 5.990 as follows:
1818 6 (30 ILCS 105/5.990 new)
1919 7 Sec. 5.990. The MAP Refund Fund.
2020 8 Section 10. The Private Business and Vocational Schools
2121 9 Act of 2012 is amended by changing Section 35 as follows:
2222 10 (105 ILCS 426/35)
2323 11 Sec. 35. Institution and program approval criteria. Each
2424 12 entity seeking a permit of approval is required to demonstrate
2525 13 that it satisfies institution-approval criteria and that each
2626 14 program of study offered meets the program-approval criteria
2727 15 in this Act and any applicable rules. The following standard
2828 16 criteria are intended to measure the appropriateness of the
2929 17 stated educational objectives of the educational programs of a
3030 18 given institution and the extent to which suitable and proper
3131 19 processes have been developed for meeting those objectives.
3232 20 Information related to the satisfaction of the approval
3333 21 criteria outlined in this Section must be supplied to the
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3737 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB2899 Introduced , by Rep. Maurice A. West, II SYNOPSIS AS INTRODUCED:
3838 30 ILCS 105/5.990 new105 ILCS 426/35 110 ILCS 947/35 30 ILCS 105/5.990 new 105 ILCS 426/35 110 ILCS 947/35
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4242 Amends the Private Business and Vocational Schools Act of 2012. In provisions regarding institution and program approval criteria, provides that a part of the criteria for approval is fair and equitable reimbursement in the case of an unfair or deceptive practice finding. Amends the Higher Education Student Assistance Act. In provisions concerning the monetary award program, makes changes to the provisions regarding the award of grants to applicants enrolled at qualified for-profit institutions, and provides that credits earned during the 2023-2024 academic year at a qualified for-profit institution may not count toward the maximum credit-hour limitation. Sets forth provisions concerning an institution that received monetary award program funds at a time the institution was using unfair or deceptive practices, including refunding State funds to the Illinois Student Assistance Commission and awarding grants to students who attended that institution. Amends the State Finance Act to create the MAP Refund Fund as a special fund in the State treasury. Effective immediately.
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7272 1 Board by institutions on forms provided by the Board.
7373 2 Additional information may be requested by the Board to
7474 3 determine the institution's ability to satisfy the criteria.
7575 4 The following must be considered as part of, but not
7676 5 necessarily all of, the criteria for approval of institutions
7777 6 and the programs offered under this Act:
7878 7 (1) Qualifications of governing board members, owners,
7979 8 and senior administrators. At a minimum, these individuals
8080 9 must be of good moral character and have no felony
8181 10 criminal record.
8282 11 (2) Qualifications of faculty and staff.
8383 12 (3) Demonstration of student learning and quality of
8484 13 program delivery.
8585 14 (4) Sufficiency of institutional finances. The
8686 15 institution must demonstrate that it has the financial
8787 16 resources sufficient to meet its financial obligations,
8888 17 including, but not limited to, refunding tuition pursuant
8989 18 to the institution's stated policies. The school must
9090 19 tender financial records, including, but not limited to,
9191 20 financial statements, income statements, and cash flow
9292 21 statements.
9393 22 (5) Accuracy, clarity, and appropriateness of program
9494 23 descriptions. Institutional promotional, advertising, and
9595 24 recruiting materials must be clear, appropriate, and
9696 25 accurate.
9797 26 (6) Sufficiency of facilities and equipment. At a
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108108 1 minimum, these must be appropriate and must meet
109109 2 applicable safety code requirements and ordinances.
110110 3 (7) Fair and equitable refund policies. At a minimum,
111111 4 these must be fair and equitable, must satisfy any related
112112 5 State or federal rules, and must abide by the standards
113113 6 established in Section 60 of this Act and the rules
114114 7 adopted for the implementation of this Act.
115115 8 (8) Appropriate and ethical admissions and recruitment
116116 9 practices. At a minimum, recruiting practices must be
117117 10 ethical and abide by any State or federal rules.
118118 11 (9) Recognized accreditation status. Accreditation
119119 12 with an accrediting body approved by the U.S. Department
120120 13 of Education may be counted as significant evidence of the
121121 14 institution's ability to meet curricular approval
122122 15 criteria.
123123 16 (10) Meeting employment requirements in the field of
124124 17 study. The institution must clearly demonstrate how a
125125 18 student's completion of the program of study satisfies
126126 19 employment requirements in the occupational field. Such
127127 20 information must be clearly and accurately provided to
128128 21 students. If licensure, certification, or their equivalent
129129 22 is required of program graduates to enter the field of
130130 23 employment, the institution must clearly demonstrate that
131131 24 completion of the program will allow students to achieve
132132 25 this status.
133133 26 (11) Enrollment agreements that, at a minimum, meet
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144144 1 the requirements outlined in Section 40 of this Act.
145145 2 (12) Clearly communicated tuition and fee charges.
146146 3 Tuition and fees and any other expense charged by the
147147 4 school must be appropriate to the expected income that
148148 5 will be earned by graduates. No school may have a tuition
149149 6 policy or enrollment agreement that requires that a
150150 7 student register for more than a single semester, quarter,
151151 8 term, or other such period of enrollment as a condition of
152152 9 the enrollment nor shall any school charge a student for
153153 10 multiple periods of enrollment prior to completion of the
154154 11 single semester, quarter, term, or other such period of
155155 12 enrollment.
156156 13 (13) Legal action against the institution, its parent
157157 14 company, its owners, its governing board, or its board
158158 15 members. Any such legal action must be provided to the
159159 16 Board and may be considered as a reason for denial or
160160 17 revocation of the permit of approval.
161161 18 (14) Fair and equitable reimbursement in the case of
162162 19 an unfair or deceptive practice finding. If an institution
163163 20 received monetary award program funds under Section 35 of
164164 21 the Higher Education Student Assistance Act at a time the
165165 22 institution was using an unfair or deceptive practice, as
166166 23 defined by the Federal Trade Commission, and is required
167167 24 to reimburse students for loans taken to pay for their
168168 25 education due to a judgment against the institution after
169169 26 the effective date of this amendatory Act of the 103rd
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180180 1 General Assembly, then any State funds paid to the
181181 2 institution in the time period of that judgment must be
182182 3 refunded to the Illinois Student Assistance Commission
183183 4 under Section 35 of the Higher Education Student
184184 5 Assistance Act. In this paragraph (14), "unfair or
185185 6 deceptive practice" means an act or practice in which a
186186 7 representation, omission, or practice misleads or is
187187 8 likely to mislead a consumer as determined by the Federal
188188 9 Trade Commission.
189189 10 (Source: P.A. 102-1046, eff. 6-7-22.)
190190 11 Section 15. The Higher Education Student Assistance Act is
191191 12 amended by changing Section 35 as follows:
192192 13 (110 ILCS 947/35)
193193 14 Sec. 35. Monetary award program.
194194 15 (a) The Commission shall, each year, receive and consider
195195 16 applications for grant assistance under this Section. Subject
196196 17 to a separate appropriation for such purposes, an applicant is
197197 18 eligible for a grant under this Section when the Commission
198198 19 finds that the applicant:
199199 20 (1) is a resident of this State and a citizen or
200200 21 permanent resident of the United States;
201201 22 (2) is enrolled or has been accepted for enrollment in
202202 23 a qualified institution other than a for-profit
203203 24 institution, unless the applicant was enrolled in a
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214214 1 qualified for-profit institution during the 2022-2023
215215 2 academic year, for the purpose of obtaining a degree,
216216 3 certificate, or other credential offered by the
217217 4 institution, as applicable; and
218218 5 (3) in the absence of grant assistance, will be
219219 6 deterred by financial considerations from completing an
220220 7 educational program at the qualified institution of his or
221221 8 her choice.
222222 9 (b) The Commission shall award renewals only upon the
223223 10 student's application and upon the Commission's finding that
224224 11 the applicant:
225225 12 (1) has remained a student in good standing;
226226 13 (2) remains a resident of this State; and
227227 14 (3) is in a financial situation that continues to
228228 15 warrant assistance.
229229 16 (c) All grants shall be applicable only to tuition and
230230 17 necessary fee costs. The Commission shall determine the grant
231231 18 amount for each student, which shall not exceed the smallest
232232 19 of the following amounts:
233233 20 (1) subject to appropriation, $5,468 for fiscal year
234234 21 2009, $5,968 for fiscal year 2010, $6,468 for fiscal year
235235 22 2011 and each fiscal year thereafter through fiscal year
236236 23 2022, and $8,508 for fiscal year 2023 and each fiscal year
237237 24 thereafter, or such lesser amount as the Commission finds
238238 25 to be available, during an academic year;
239239 26 (2) the amount which equals 2 semesters or 3 quarters
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250250 1 tuition and other necessary fees required generally by the
251251 2 institution of all full-time undergraduate students; or
252252 3 (3) such amount as the Commission finds to be
253253 4 appropriate in view of the applicant's financial
254254 5 resources.
255255 6 Subject to appropriation, the maximum grant amount for
256256 7 students not subject to subdivision (1) of this subsection (c)
257257 8 must be increased by the same percentage as any increase made
258258 9 by law to the maximum grant amount under subdivision (1) of
259259 10 this subsection (c).
260260 11 "Tuition and other necessary fees" as used in this Section
261261 12 include the customary charge for instruction and use of
262262 13 facilities in general, and the additional fixed fees charged
263263 14 for specified purposes, which are required generally of
264264 15 nongrant recipients for each academic period for which the
265265 16 grant applicant actually enrolls, but do not include fees
266266 17 payable only once or breakage fees and other contingent
267267 18 deposits which are refundable in whole or in part. The
268268 19 Commission may prescribe, by rule not inconsistent with this
269269 20 Section, detailed provisions concerning the computation of
270270 21 tuition and other necessary fees.
271271 22 (d) No applicant, including those presently receiving
272272 23 scholarship assistance under this Act, is eligible for
273273 24 monetary award program consideration under this Act after
274274 25 receiving a baccalaureate degree or the equivalent of 135
275275 26 semester credit hours of award payments. However, credits
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286286 1 earned during the 2023-2024 academic year at a qualified
287287 2 for-profit institution may not count toward this maximum
288288 3 credit-hour limitation.
289289 4 (d-5) In this subsection (d-5), "renewing applicant" means
290290 5 a student attending an institution of higher learning who
291291 6 received a Monetary Award Program grant during the prior
292292 7 academic year. Beginning with the processing of applications
293293 8 for the 2020-2021 academic year, the Commission shall annually
294294 9 publish a priority deadline date for renewing applicants.
295295 10 Subject to appropriation, a renewing applicant who files by
296296 11 the published priority deadline date shall receive a grant if
297297 12 he or she continues to meet the eligibility requirements under
298298 13 this Section. A renewing applicant's failure to apply by the
299299 14 priority deadline date established under this subsection (d-5)
300300 15 shall not disqualify him or her from receiving a grant if
301301 16 sufficient funding is available to provide awards after that
302302 17 date.
303303 18 (e) The Commission, in determining the number of grants to
304304 19 be offered, shall take into consideration past experience with
305305 20 the rate of grant funds unclaimed by recipients. The
306306 21 Commission shall notify applicants that grant assistance is
307307 22 contingent upon the availability of appropriated funds.
308308 23 (e-5) The General Assembly finds and declares that it is
309309 24 an important purpose of the Monetary Award Program to
310310 25 facilitate access to college both for students who pursue
311311 26 postsecondary education immediately following high school and
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322322 1 for those who pursue postsecondary education later in life,
323323 2 particularly Illinoisans who are dislocated workers with
324324 3 financial need and who are seeking to improve their economic
325325 4 position through education. For the 2015-2016 and 2016-2017
326326 5 academic years, the Commission shall give additional and
327327 6 specific consideration to the needs of dislocated workers with
328328 7 the intent of allowing applicants who are dislocated workers
329329 8 an opportunity to secure financial assistance even if applying
330330 9 later than the general pool of applicants. The Commission's
331331 10 consideration shall include, in determining the number of
332332 11 grants to be offered, an estimate of the resources needed to
333333 12 serve dislocated workers who apply after the Commission
334334 13 initially suspends award announcements for the upcoming
335335 14 regular academic year, but prior to the beginning of that
336336 15 academic year. For the purposes of this subsection (e-5), a
337337 16 dislocated worker is defined as in the federal Workforce
338338 17 Innovation and Opportunity Act.
339339 18 (f) (Blank).
340340 19 (g) The Commission shall determine the eligibility of and
341341 20 make grants to applicants enrolled at qualified for-profit
342342 21 institutions in accordance with the criteria set forth in this
343343 22 Section. The eligibility of applicants enrolled at such
344344 23 for-profit institutions shall be limited to eligible students
345345 24 under this Section who received a monetary award program grant
346346 25 for attendance at a for-profit institution during the
347347 26 2022-2023 academic year and who satisfy any conditions
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358358 1 otherwise specified by the Board of Higher Education. as
359359 2 follows:
360360 3 (1) Beginning with the academic year 1997, only to
361361 4 eligible first-time freshmen and first-time transfer
362362 5 students who have attained an associate degree.
363363 6 (2) Beginning with the academic year 1998, only to
364364 7 eligible freshmen students, transfer students who have
365365 8 attained an associate degree, and students who receive a
366366 9 grant under paragraph (1) for the academic year 1997 and
367367 10 whose grants are being renewed for the academic year 1998.
368368 11 (3) Beginning with the academic year 1999, to all
369369 12 eligible students.
370370 13 (h) The Commission may award a grant to an eligible
371371 14 applicant enrolled at an Illinois public institution of higher
372372 15 learning in a program that will culminate in the award of an
373373 16 occupational or career and technical certificate as that term
374374 17 is defined in 23 Ill. Adm. Code 1501.301.
375375 18 (h-5) In this subsection (h-5), "unfair or deceptive
376376 19 practice" means an act or practice in which a representation,
377377 20 omission, or practice misleads or is likely to mislead a
378378 21 consumer as determined by the Federal Trade Commission.
379379 22 If an institution received monetary award program funds at
380380 23 a time the institution was using an unfair or deceptive
381381 24 practice, as defined by the Federal Trade Commission, and is
382382 25 required to reimburse students for loans taken to pay for
383383 26 their education due to a judgment against the institution
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394394 1 after the effective date of this amendatory Act of the 103rd
395395 2 General Assembly, then any State funds paid to the institution
396396 3 in the time period of that judgment must be refunded to the
397397 4 Commission, to be deposited into the MAP Refund Fund. The
398398 5 Commission shall use funds appropriated from the MAP Refund
399399 6 Fund to award grants to students who attended that institution
400400 7 during the period in which the institution had a judgment
401401 8 found against it.
402402 9 An institution found to have been using an unfair or
403403 10 deceptive practice must notify students who were enrolled
404404 11 during the period of the judgment about the judgment,
405405 12 electronically and by certified mail, within 6 months after
406406 13 the effective date of this amendatory Act of the 103rd General
407407 14 Assembly. Affected students may apply for a grant under this
408408 15 subsection (h-5) following the effective date of this
409409 16 amendatory Act of the 103rd General Assembly or notification
410410 17 of the judgment against the institution, whichever is later.
411411 18 The application process shall be administered by the
412412 19 Commission and remain open until no funds remain in the MAP
413413 20 Refund Fund, subject to the other provisions of this
414414 21 subsection (h-5).
415415 22 A grant under this subsection (h-5) may not exceed the
416416 23 maximum amount for a monetary award program grant for the
417417 24 academic year that the grant under this subsection (h-5) is
418418 25 awarded, as determined by the Commission. A grant under this
419419 26 subsection (h-5) may be awarded to a student in addition to a
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430430 1 monetary award program grant but may not exceed the cost of
431431 2 attendance at the institution at which the student is
432432 3 enrolled.
433433 4 At the start of the third academic year following the
434434 5 effective date of this amendatory Act of the 103rd General
435435 6 Assembly, the remaining balance in the MAP Refund Fund shall
436436 7 be appropriated to the Commission for the Commission's
437437 8 operating budget for the monetary award program.
438438 9 The MAP Refund Fund is created as a special fund in the
439439 10 State treasury. All refunds of Monetary Award Program funds
440440 11 shall be deposited into the MAP Refund Fund. All money in the
441441 12 Fund shall be used, subject to appropriation, by the
442442 13 Commission for the purposes of this subsection (h-5).
443443 14 (i) The Commission may adopt rules to implement this
444444 15 Section.
445445 16 (Source: P.A. 101-81, eff. 7-12-19; 102-699, eff. 4-19-22.)
446446 17 Section 99. Effective date. This Act takes effect upon
447447 18 becoming law.
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