Notice of Proposed Rule

DEPARTMENT OF EDUCATION
Commission for Independent Education
RULE NO.: RULE TITLE:
6E-4.005: Student Protection Fund; Trainout Procedures for Closure
PURPOSE AND EFFECT: The purpose of the proposed rule is to define annual tuition revenue generated in Florida and to require use of a form to report this information to the Commission and to require institutions to list assets and liabilities on a form and to list the type of financial statement provided by the institution on a form. The effect of the proposed rule is to clarify the term to assist institutions when calculating payments into the Student Protection Fund and to promote efficiency by requiring the use of a form in transmitting this information to the Commission.
SUMMARY: Non-degree nonpublic institutions are assessed a fee to support the Student Protection Fund. This Fund is used to complete the training of a student who enrolls in a school that terminates a program or ceases operation before the student has completed his program of study. The fee is based upon .0005 of the annual tuition revenue generated in Florida. The proposed rule defines that term and requires licensed institutions to report the information on CIE Form 604, Selected Financial Data, which is incorporated by reference in Rule 6E-2.004.
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.
The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: The proposed rule is not expected to exceed any of the criteria set forth in Section 120.541(2)(a), Florida Statutes, and thus, a legislative ratification is not required under Section 120.541(3), Florida Statutes. This determination is based upon information found in the Statement of Estimated Regulatory Costs, experience in this area and input at the rule workshops.
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: 1005.37 FS.
LAW IMPLEMENTED: 1005.35(4)(g), 1005.36(3), 1005.37 FS.
A HEARING WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW:
DATE AND TIME: November 15, 2011, 9:00 a.m.
PLACE: Andrew Jackson High School, 3816 N. Main St., Jacksonville, Florida
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

THE FULL TEXT OF THE PROPOSED RULE IS:

6E-4.005 Student Protection Fund; Trainout Procedures for Closure.

Subsections (1)-(4), paragraphs (6)(a) and (b) of this rule shall apply to all licensed nonpublic nondegree schools. Subsection (5) and paragraph (6)(c) shall apply to all licensed institutions.

(1) through (2) No change.

(3) Assessment Paid by Licensed Nondegree Schools. Each licensed school shall pay annually to the fund a specified amount equal to .0005 of the annual gross tuition revenue generated in Florida.

(4) Computation and Payment of Assessment.

(a) through (c) No change.

(d) The full and timely payment of the assessment is a condition of licensure. Failure to make such payment shall be grounds for disciplinary action against the school, or for changing the status of a school which is Licensed by Means of Accreditation to a Provisional License, or for denial of an application for license renewal.

(e) Licensed nondegree institutions shall report annual tuition revenue generated in Florida on CIE Form 604, entitled Selected Financial Data as incorporated by reference in Rule 6E-2.004, F.A.C. CIE Form 604 may be obtained without cost from the Commission’s website at www.fldoe.org/cie or by writing to the Commission for Independent Education, 325 West Gaines Street, Suite 1414, Tallahassee, Florida 32399-0400.

(5) through (6) No change.

Rulemaking Specific Authority 1005.37 FS. Law Implemented 1005.35(4)(g), 1005.36(3), 1005.37 FS. History–New 4-2-03, Amended_________.


NAME OF PERSON ORIGINATING PROPOSED RULE: Samuel L. Ferguson, Executive Director, Commission for Independent Education
NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Gerard Robinson, Commissioner, Department of Education
DATE PROPOSED RULE APPROVED BY AGENCY HEAD: October 3, 2011
DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAW: September 2, 2011