Minnesota Session Laws - 2019, Regular Session

CHAPTER 34--H.F.No. 2849

An act

relating to higher education; providing student relief from Argosy University closure; requiring a report.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin RELIEF FOR STUDENTS AFFECTED BY ARGOSY UNIVERSITY CLOSURE. new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the terms in this subdivision have the meanings given. new text end

new text begin (b) "Argosy" means Argosy Education Group LLC as well as any parent, subsidiary, or related organization, or any legal representative of such an organization, including a court-appointed receiver. new text end

new text begin (c) "Argosy University, Twin Cities" means the Argosy University campus located in Minnesota that closed on March 8, 2019. new text end

new text begin (d) "Eligible student" means a student who meets the eligibility requirements in subdivision 2. new text end

new text begin (e) Unless otherwise specified, terms used in this section have the meanings given in Minnesota Statutes, chapter 136A. new text end

new text begin Subd. 2. new text end

new text begin Eligibility. new text end

new text begin A student is eligible for assistance under this section if the student: new text end

new text begin (1) was enrolled at Argosy University, Twin Cities, during the academic term that began on January 17, 2019, and because of that enrollment: new text end

new text begin (i) was awarded a state grant under Minnesota Statutes, section 136A.121, and, as of March 8, 2019, had not received refunds on financial aid in excess of tuition and fees due to them as a direct result of actions or omissions by Argosy; new text end

new text begin (ii) was awarded a postsecondary child care grant under Minnesota Statutes, section 136A.125, and had not received the grant funds by March 8, 2019; or new text end

new text begin (iii) borrowed from the SELF loan program under Minnesota Statutes, sections 136A.15 to 136A.1701, and had SELF loan disbursements made to Argosy on or after January 1, 2019; or new text end

new text begin (2) was enrolled at Argosy University, Twin Cities, during the summer or fall terms of the 2018-2019 academic year, and because of that enrollment: new text end

new text begin (i) was awarded an Indian scholarship under Minnesota Statutes, section 136A.126, and had unresolved problems with refunds or credits of aid as of March 8, 2019; new text end

new text begin (ii) was awarded Minnesota GI Bill educational assistance under Minnesota Statutes, section 197.791, and had unresolved problems with refunds or credits of aid as of March 8, 2019; or new text end

new text begin (iii) borrowed from the SELF loan program under Minnesota Statutes, sections 136A.15 to 136A.1701, had SELF loan disbursements made to Argosy, and had unresolved problems with refunds due to the student or the lender as of March 8, 2019. new text end

new text begin Subd. 3. new text end

new text begin Authorized actions. new text end

new text begin (a) Notwithstanding any law to the contrary in Minnesota Statutes, chapter 136A, the commissioner may establish procedures sufficient to take the following actions, where appropriate, to assist eligible students: new text end

new text begin (1) make payments of state grant refunds in excess of tuition and fees directly to students at their last known addresses; new text end

new text begin (2) make payments of postsecondary child care grant awards directly to students at their last known addresses; new text end

new text begin (3) reverse disbursements of SELF loans made on or after January 1, 2019; new text end

new text begin (4) reverse disbursements of SELF loans to settle any unresolved refunds due to the lender; and new text end

new text begin (5) inform recipients of an Indian scholarship or GI Bill award that they have the option to request payments directly and, where applicable, make such payments to the students. new text end

new text begin (b) Any claim the eligible student may have against any legally responsible person or entity arising from a SELF loan under Minnesota Statutes, sections 136A.15 to 136A.1701, is subrogated to the state if an eligible student accepts a loan disbursement reversal under this section. The eligible student must agree in writing to the subrogation interest of the state. The state must pursue all claims arising from a SELF loan made to an eligible student against any legally responsible person or entity, including, but not limited to, Argosy, when it is in the best interests of the state. The state's subrogation right is limited to the amount of the SELF loan disbursement reversal made under this section. The rights of the state under this paragraph are in addition to other available remedies and claims. new text end

new text begin (c) The commissioner must establish a deadline of no later than October 31, 2019, after which payments to students will no longer be processed. new text end

new text begin (d) The commissioner shall post to the Office of Higher Education website any procedures and related deadlines established under this section. The commissioner must also provide this information in a report to the chairs and ranking minority members of the legislative committees with jurisdiction over higher education. new text end

new text begin (e) Procedures established under this subdivision are exempt from Minnesota Statutes, chapter 14, and Minnesota Statutes, sections 14.385 and 14.386, do not apply. new text end

new text begin Subd. 4. new text end

new text begin Report required. new text end

new text begin By November 30, 2019, the commissioner must report to the chairs and ranking minority members of the legislative committees with jurisdiction over higher education regarding actions taken under this section. The report must include an explanation of: new text end

new text begin (1) the current state of the Argosy closure matter, including any unresolved problems; new text end

new text begin (2) all teach outs, articulation agreements, and transfer options available for students affected by the Argosy closure; new text end

new text begin (3) any payments made to eligible students under this section; new text end

new text begin (4) any SELF loan disbursement reversals completed under this section; new text end

new text begin (5) any other action the Office of Higher Education has taken with regard to Argosy; and new text end

new text begin (6) suggested legislative action to prevent future school closures and provide additional assistance to students affected by school closures. new text end

new text begin Subd. 5. new text end

new text begin Expiration. new text end

new text begin This section expires June 30, 2020. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

Presented to the governor May 17, 2019

Signed by the governor May 17, 2019, 5:52 p.m.