THE STATE EDUCATION DEPARTMENT / THE UNIVERSITY OF THE STATE OF NEW YORK / ALBANY, NY 12234

 

TO:

Higher Education and Professional Practice Committee

FROM:

Johanna Duncan-Poitier

 

 

 

SUBJECT:

Proposed Amendment to the Regulations of the Commissioner of Education Relating to Monetary Assessments Of Licensed Private Schools, Registered Business Schools/Computer Training Facilities, and For-Profit English as a Second Language (ESL) Schools

DATE:

July 29, 2005

STRATEGIC GOAL:

Goal 5

AUTHORIZATION(S):

 

 

 

 

 

SUMMARY

 

Issue for Discussion

 

Should the Regents amend sections 126.10(j)(2)(i)(a), 126.10(j)(11), and 126.17(c) of the Regulations of the Commissioner of Education, relating to monetary assessments of licensed private schools, registered business schools/computer training facilities, and for-profit English as a Second Language (ESL) schools. 

 

Reason(s) for Consideration

 

          Review of policy.

 

Proposed Handling

 

          The proposed amendment is before the Committee for discussion in September 2005 and will be submitted for action at the November 2005 Regents meeting.

 

 

 

Procedural History

 

A Notice of Proposed Rule Making will be published in the State Register on August 17, 2005.

 

Background Information

 

The purpose of the proposed amendment is to clarify the requirements for the monetary assessment of new schools and for-profit English as a Second Language (ESL) Schools for the tuition reimbursement account and the proprietary vocational school supervision account.  The amendment specifies in regulation the existing method that the State Education Department uses for assessing new schools for the tuition reimbursement account and the proprietary vocational school supervision account.  It is also needed to clarify the existing assessment requirement applicable to for-profit ESL schools, specifying the percentage of gross tuition that is assessed.    The amendment clarifies existing requirements and procedures and represents no change in current practice.

 

Recommendation

 

          N/A

 

Timetable for Implementation

 

The effective date of the proposed amendment is November 24, 2005.

AMENDMENT TO THE REGULATIONS OF THE COMMISSIONER OF EDUCATION

          Pursuant to sections 207, 5001, and 5007 of the Education Law.

1.  Clause (a) of subparagraph (i) of paragraph (2) of subdivision (j) of section 126.10 of the Regulations of the Commissioner of Education is amended effective November 24, 2005, as follows:

          (a) Schools shall apply for initial certification on an application form prescribed by the commissioner and shall submit with such application a nonrefundable and nontransferable $250 certificate fee [and a nonrefundable and nontransferable initial certification assessment for the tuition reimbursement fund as prescribed in paragraph (11) of this subdivision].

2.  Paragraph (11) of subdivision (j) of section 126.10 of the Regulations of the Commissioner of Education is amended effective November 24, 2005, as follows:

          (11) Supervision account and tuition reimbursement account assessments.

          (i) The commissioner shall annually assess each school an assessment equal to [two-tenths] five-tenths of one percent of its gross tuition, as determined by the audited statement of revenue or unaudited statement of revenue, as required by this subdivision, [which] of which three-tenths of one percent shall accrue to the benefit of the tuition reimbursement account and two-tenths of one percent shall accrue to the benefit of the proprietary vocational school supervision account. 

          (ii) . . .

          (iii) For ESL schools in operation in the year prior to the issuance of their [license or registration] certification, such annual assessments prescribed in this paragraph shall begin in their initial year of [licensure or registration] certification, based on the schools' gross tuition from such previous year.  For new ESL schools, the commissioner shall base the assessments prescribed in this paragraph on the annualized gross tuition of the school computed by the department from financial reports from the school as required by the department, and the assessments shall be prorated based upon the number of quarters that the school has operated in the assessment year.

 (iv)  . . .

3.  Subdivision (c) of section 126.17 of the Regulations of the Commissioner of Education is repealed and a new subdivision (c) of section 126.17 is added, effective November 24, 2005, as follows:

(c) New schools.  For new schools, the commissioner shall base the assessments for the tuition reimbursement account and the proprietary vocational school supervision account, pursuant to sections 5001(9) and 5007(10) of the Education Law, on the annualized gross tuition of the school computed by the department from financial reports from the school as required by the department, and the assessments shall be prorated based upon the number of quarters that the school has operated in the assessment year.