1.1                          A bill for an act 
  1.2             relating to higher education; private business, trade, 
  1.3             and correspondence schools; requiring legislative 
  1.4             committee review of Minnesota Statutes, chapter 141, 
  1.5             to address changes in technology; authorizing the 
  1.6             operation of training firms; amending Minnesota 
  1.7             Statutes 1998, sections 141.21, subdivisions 3, 6, and 
  1.8             by adding subdivisions; 141.22; 141.25, subdivision 
  1.9             9a; 141.28, subdivisions 1 and 3; 141.29; 141.30; and 
  1.10            141.35; proposing coding for new law in Minnesota 
  1.11            Statutes, chapters 3; and 141. 
  1.12  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.13     Section 1.  [3.223] [LEGISLATIVE REVIEW.] 
  1.14     Standing committees of the legislature, with appropriate 
  1.15  jurisdiction over higher education, shall review and update 
  1.16  chapter 141 every five years to address changes and developments 
  1.17  in new technology. 
  1.18     Sec. 2.  Minnesota Statutes 1998, section 141.21, 
  1.19  subdivision 3, is amended to read: 
  1.20     Subd. 3.  [SOLICITOR.] "Solicitor" means a person who for a 
  1.21  salary or for commission, acts as an agent, independent 
  1.22  contractor, salesperson, or counselor on behalf of a school in 
  1.23  procuring or attempting to procure students or enrollees for a 
  1.24  course of instruction by solicitation in any form made at any 
  1.25  place except on the actual business premises of the school and 
  1.26  except for rendering public information service at the 
  1.27  invitation or permission of a school or educational organization.
  1.28     Sec. 3.  Minnesota Statutes 1998, section 141.21, 
  2.1   subdivision 6, is amended to read: 
  2.2      Subd. 6.  [COURSE OF INSTRUCTION.] "Course of instruction" 
  2.3   means any classroom, correspondence long-distance learning, or 
  2.4   extension course of instruction or any combination thereof.  
  2.5      Sec. 4.  Minnesota Statutes 1998, section 141.21, is 
  2.6   amended by adding a subdivision to read: 
  2.7      Subd. 8.  [STUDENT.] "Student" means a natural person who 
  2.8   receives instruction from a school. 
  2.9      Sec. 5.  Minnesota Statutes 1998, section 141.21, is 
  2.10  amended by adding a subdivision to read: 
  2.11     Subd. 9.  [TRAINEE.] "Trainee" means a natural person who 
  2.12  receives instruction from a training firm, as defined in section 
  2.13  141.352, subdivision 2. 
  2.14     Sec. 6.  Minnesota Statutes 1998, section 141.21, is 
  2.15  amended by adding a subdivision to read: 
  2.16     Subd. 10.  [LONG-DISTANCE LEARNING.] "Long-distance 
  2.17  learning" means any method of learning outside of traditional 
  2.18  in-classroom instruction, including, but not limited to, the use 
  2.19  of:  United States mail and other correspondence; Internet, web 
  2.20  site, and other on-line computer-based training; interactive 
  2.21  Internet classrooms; or CD-ROM self-instruction. 
  2.22     Sec. 7.  Minnesota Statutes 1998, section 141.21, is 
  2.23  amended by adding a subdivision to read: 
  2.24     Subd. 11.  [WEB SITE.] "Web site" is a location on the 
  2.25  World Wide Web made up of one or more pages, or any computer 
  2.26  connected to the Internet and available via a host name, domain 
  2.27  name, or uniform resource locator or URL.  
  2.28     Sec. 8.  Minnesota Statutes 1998, section 141.22, is 
  2.29  amended to read: 
  2.30     141.22 [CITATION.] 
  2.31     Sections 141.21 to 141.36 may be cited as the Private 
  2.32  Business, Trade and Correspondence Long-Distance Learning School 
  2.33  and Training Firm Act.  
  2.34     Sec. 9.  Minnesota Statutes 1998, section 141.25, 
  2.35  subdivision 9a, is amended to read: 
  2.36     Subd. 9a.  [CORRESPONDENCE LONG-DISTANCE LEARNING CATALOG.] 
  3.1   Before a license is issued to a school exclusively offering 
  3.2   a correspondence long-distance learning course of instruction, 
  3.3   the school shall furnish to the office a catalog or brochure 
  3.4   containing the following: 
  3.5      (1) school policy and regulations about standards of 
  3.6   progress for the student including the grading system of the 
  3.7   school, the minimum grades considered satisfactory, conditions 
  3.8   for interruption for unsatisfactory grades or progress, a 
  3.9   description of any probationary period allowed by the school, 
  3.10  and conditions of reenrollment for those students terminated for 
  3.11  unsatisfactory progress; 
  3.12     (2) a course outline for each course offered showing course 
  3.13  objectives, subjects or units in each lesson of the course, type 
  3.14  of work or skill to be learned, and the total number of lessons 
  3.15  for each course of instruction; and 
  3.16     (3) all items listed in subdivision 9, except items in 
  3.17  clauses (3) and (5). 
  3.18     Sec. 10.  Minnesota Statutes 1998, section 141.28, 
  3.19  subdivision 1, is amended to read: 
  3.20     Subdivision 1.  [NOT TO ADVERTISE STATE APPROVAL.] Schools, 
  3.21  training firms, and agents of and solicitors of schools, 
  3.22  and solicitors training firms may not advertise or represent in 
  3.23  writing or orally that such school or training firm is approved 
  3.24  or accredited by the state of Minnesota, except that any school, 
  3.25  training firm, agent, or solicitor may advertise that the school 
  3.26  or training firm and solicitor have been duly licensed or 
  3.27  registered by the state.  
  3.28     Sec. 11.  Minnesota Statutes 1998, section 141.28, 
  3.29  subdivision 3, is amended to read: 
  3.30     Subd. 3.  [FALSE STATEMENTS.] No school, training firm, 
  3.31  agent, or solicitor shall make, or cause to be made, any 
  3.32  statement or representation, oral, written or visual, in 
  3.33  connection with the offering or publicizing of a course, if such 
  3.34  school, training firm, agent or solicitor knows or reasonably 
  3.35  should have known the statement or representation to be false, 
  3.36  fraudulent, deceptive, substantially inaccurate or misleading.  
  4.1      Sec. 12.  Minnesota Statutes 1998, section 141.29, is 
  4.2   amended to read: 
  4.3      141.29 [REVOCATION OF LICENSE, REGISTRATION, OR PERMIT.] 
  4.4      Subdivision 1.  [GROUNDS.] The office may, after notice and 
  4.5   upon providing an opportunity for a hearing, pursuant to chapter 
  4.6   14 if requested by the parties adversely affected, refuse to 
  4.7   issue, refuse to renew, revoke, or suspend any license, 
  4.8   registration, or solicitor's permit for any one or any 
  4.9   combination of the following grounds: 
  4.10     (a) Violation of any provisions of sections 141.21 to 
  4.11  141.36 or any rule promulgated by the office; 
  4.12     (b) Furnishing to the office false, misleading, or 
  4.13  incomplete information; 
  4.14     (c) Presenting to prospective students information relating 
  4.15  to the school which is false, fraudulent, deceptive, 
  4.16  substantially inaccurate or misleading; 
  4.17     (d) Refusal to allow reasonable inspection or supply 
  4.18  reasonable information after written request therefor by the 
  4.19  office; 
  4.20     (e) The existence of any circumstance which would be 
  4.21  grounds for the refusal of an initial or renewal license under 
  4.22  section 141.25.  
  4.23     Subd. 2.  [APPEAL.] Any order refusing, revoking, or 
  4.24  suspending a school's license, a training firm's registration, 
  4.25  or a solicitor's permit is appealable in accordance with chapter 
  4.26  14.  Where a school or training firm has been operating and its 
  4.27  license or registration has been revoked, suspended, or refused 
  4.28  by the office, the order is not effective until the final 
  4.29  determination of the appeal unless immediate effect is ordered 
  4.30  by the court.  
  4.31     Subd. 3.  [POWERS AND DUTIES.] The office shall have (in 
  4.32  addition to the powers and duties now vested therein by law) the 
  4.33  following powers and duties: 
  4.34     (a) To negotiate and enter into interstate reciprocity 
  4.35  agreements with similar agencies in other states, if in the 
  4.36  judgment of the office such agreements are or will be helpful in 
  5.1   effectuating the purposes of Laws 1973, chapter 714; 
  5.2      (b) To grant conditional school license or training firm 
  5.3   registration for periods of less than one year if in the 
  5.4   judgment of the office correctable deficiencies exist at the 
  5.5   time of application and when refusal to issue school license or 
  5.6   training firm registration would adversely affect currently 
  5.7   enrolled students or trainees; 
  5.8      (c) The office may upon its own motion, and shall upon the 
  5.9   verified complaint in writing of any person setting forth fact 
  5.10  which, if proved, would constitute grounds for refusal or 
  5.11  revocation under Laws 1973, chapter 714, investigate the actions 
  5.12  of any applicant or any person or persons holding or claiming to 
  5.13  hold a license, registration, or permit.  However, before 
  5.14  proceeding to a hearing on the question of whether a license, 
  5.15  registration, or permit shall be refused, revoked or suspended 
  5.16  for any cause enumerated in subdivision 1, the office may grant 
  5.17  a reasonable time to the holder of or applicant for a license, 
  5.18  registration, or permit to correct the situation.  If within 
  5.19  such time the situation is corrected and the school or training 
  5.20  firm is in compliance with the provisions of this chapter, no 
  5.21  further action leading to refusal, revocation, or suspension 
  5.22  shall be taken.  
  5.23     Sec. 13.  Minnesota Statutes 1998, section 141.30, is 
  5.24  amended to read: 
  5.25     141.30 [INSPECTION.] 
  5.26     (a) The office or a delegate may inspect the instructional 
  5.27  books and records, classrooms, dormitories, tools, equipment and 
  5.28  classes of any school or applicant for license or training firm 
  5.29  or applicant for registration at any reasonable time.  The 
  5.30  office may require the submission of a certified public audit, 
  5.31  or if there is no such audit available the office or a delegate 
  5.32  may inspect the financial books and records of the school or 
  5.33  training firm.  In no event shall such financial information be 
  5.34  used by the office to regulate or set the tuition or fees 
  5.35  charged by the school or training firm.  
  5.36     (b) No agent or employee of the state of Minnesota shall 
  6.1   divulge to any person other than a member of the office, or duly 
  6.2   constituted law enforcement official, any data obtained from an 
  6.3   inspection of the financial records of a school or training 
  6.4   firm, except in connection with a legal or administrative 
  6.5   proceeding commenced to enforce a requirement of law.  
  6.6      Sec. 14.  Minnesota Statutes 1998, section 141.35, is 
  6.7   amended to read: 
  6.8      141.35 [EXEMPTIONS.] 
  6.9      None of the provisions of sections 141.21 to 141.36 shall 
  6.10  apply to the following: 
  6.11     (a) colleges authorized by the laws of Minnesota or of any 
  6.12  other state or foreign country to grant degrees; 
  6.13     (b) schools of nursing accredited by the state board of 
  6.14  nursing or an equivalent public board of another state or 
  6.15  foreign country; 
  6.16     (c) public schools as defined in section 120A.05, 
  6.17  subdivisions 9, 11, 13, and 17; 
  6.18     (d) private schools complying with the requirements of 
  6.19  section 120A.22, subdivision 2; 
  6.20     (e) private and parochial nonprofit schools exempt from 
  6.21  taxation under the constitution of Minnesota; 
  6.22     (f) courses taught to students in a valid apprenticeship 
  6.23  program taught by or required by a trade union; 
  6.24     (g) schools exclusively engaged in training physically or 
  6.25  mentally handicapped persons for the state of Minnesota; 
  6.26     (h) schools now or hereafter licensed by boards authorized 
  6.27  under Minnesota law to issue such licenses; 
  6.28     (i) schools and educational programs, or training programs, 
  6.29  conducted by persons, firms, corporations, or associations, for 
  6.30  the training of their own employees, for which no fee is charged 
  6.31  the employee; 
  6.32     (j) schools engaged exclusively in the teaching of purely 
  6.33  avocational, recreational, or remedial subjects as determined by 
  6.34  the office.  Private schools teaching a method or procedure to 
  6.35  increase the speed with which a student reads are not within 
  6.36  this exemption; 
  7.1      (k) driver training schools and instructors as defined in 
  7.2   section 171.33, subdivisions 1 and 2; 
  7.3      (l) classes, courses, or programs conducted by a bona fide 
  7.4   trade, professional, or fraternal organization, solely for that 
  7.5   organization's membership; 
  7.6      (m) courses of instruction in the fine arts provided by 
  7.7   organizations exempt from taxation pursuant to section 290.05 
  7.8   and registered with the attorney general pursuant to chapter 
  7.9   309.  "Fine arts" means activities resulting in artistic 
  7.10  creation or artistic performance of works of the imagination 
  7.11  which are engaged in for the primary purpose of creative 
  7.12  expression rather than commercial sale or employment.  In making 
  7.13  this determination the office may seek the advice and 
  7.14  recommendation of the Minnesota board of the arts; 
  7.15     (n) classes, courses, or programs intended to fulfill the 
  7.16  continuing education requirements for licensure or certification 
  7.17  in a profession, which classes, courses, or programs have been 
  7.18  approved by a legislatively or judicially established board or 
  7.19  agency responsible for regulating the practice of the 
  7.20  profession, and which are offered primarily to a person who 
  7.21  currently practices the profession; 
  7.22     (o) classes, courses, or programs intended to prepare 
  7.23  students to sit for undergraduate, graduate, postgraduate, or 
  7.24  occupational licensing and occupational entrance examinations; 
  7.25     (p) classes, courses, or programs of a seminar nature 
  7.26  providing 16 or fewer hours of instruction that are not part of 
  7.27  the curriculum for an occupation or are not intended to prepare 
  7.28  a person for entry level employment; 
  7.29     (q) classes, courses, or programs of a seminar nature 
  7.30  providing instruction in personal development, modeling, or 
  7.31  acting; and 
  7.32     (r) training or instructional programs, in which one 
  7.33  instructor teaches an individual student, that are not part of 
  7.34  the curriculum for an occupation or are not intended to prepare 
  7.35  a person for entry level employment; and 
  7.36     (s) solicitors acting on behalf of training firms. 
  8.1      Sec. 15.  [141.351] [EXEMPTION; TRAINING FIRMS.] 
  8.2      None of sections 141.21 to 141.36 shall apply to the 
  8.3   training of individuals by training firms. 
  8.4      Sec. 16.  [141.352] [DEFINITIONS.] 
  8.5      Subdivision 1.  [SCOPE.] For the purposes of this section, 
  8.6   the following terms have the meanings given. 
  8.7      Subd. 2.  [TRAINING FIRM.] A "training firm" is a private, 
  8.8   for-profit person that provides specific, accelerated, computer 
  8.9   and software courses of instruction. 
  8.10     Subd. 3.  [COURSES OF INSTRUCTION.] (a) "Courses of 
  8.11  instruction" shall provide personal skill or business practice 
  8.12  development in specific computer and software areas, including, 
  8.13  but not limited to:  computer applications and graphics; 
  8.14  network, server, and system administration; Internet and World 
  8.15  Wide Web; or other computer or information-related technology.  
  8.16     (b) Successful completion of the course of instruction may 
  8.17  provide certification or similar affirmation demonstrating the 
  8.18  trainee: 
  8.19     (1) has achieved an industry standard or other level of 
  8.20  proficiency with the specific technology; or 
  8.21     (2) is prepared to take a test, the passing of which 
  8.22  indicates industry standard or other level of proficiency with 
  8.23  the specific technology. 
  8.24     Subd. 4.  [ACCELERATED.] "Accelerated" means courses, 
  8.25  whether offered individually or as part of a comprehensive 
  8.26  learning track or program, that: 
  8.27     (1) do not run on a traditional quarter or semester 
  8.28  schedule; 
  8.29     (2) may be completed by the trainee intensively, over a 
  8.30  short period of time; and 
  8.31     (3) if self-based training, may be completed by the trainee 
  8.32  according to the trainee's own schedule. 
  8.33     Sec. 17.  [141.353] [TRAINING FIRMS; REGISTRATION.] 
  8.34     Subdivision 1.  [REQUIRED.] No training firm shall 
  8.35  maintain, advertise, solicit for, or conduct any course of 
  8.36  instruction in Minnesota without first obtaining registration 
  9.1   from the office. 
  9.2      Subd. 2.  [CONTRACT UNENFORCEABLE.] Any contract entered 
  9.3   into with any person for a course of instruction after November 
  9.4   15, 1969, by or on behalf of any person operating any training 
  9.5   firm to which a registration has not been issued pursuant to 
  9.6   this section, shall be unenforceable in any action brought 
  9.7   thereon. 
  9.8      Subd. 3.  [APPLICATION.] Application for registration shall 
  9.9   be on forms prepared and furnished by the office, and shall 
  9.10  contain the following: 
  9.11     (a) the title or name of the training firm, together with 
  9.12  ownership and controlling officers, members, managing employees, 
  9.13  and director; 
  9.14     (b) the specific fields of instruction which are offered or 
  9.15  reasonably expected to be offered, and the specific purposes of 
  9.16  such instruction; 
  9.17     (c) the places where such instruction can be offered; 
  9.18     (d) a listing of the equipment available for instruction in 
  9.19  each course of instruction if instruction is provided at the 
  9.20  training firm facility or a facility contracted on the training 
  9.21  firm's behalf; 
  9.22     (e) the maximum enrollment to be accommodated with 
  9.23  equipment available in each specified course of instruction; 
  9.24     (f) the qualifications of instructors and supervisors in 
  9.25  each specified course of instruction, as determined by industry 
  9.26  course standards; 
  9.27     (g) a current balance sheet, income statement, and adequate 
  9.28  supporting documentation, prepared and certified by an 
  9.29  independent public accountant or CPA; 
  9.30     (h) copies of all media advertising and promotional 
  9.31  literature, brochures, and web sites currently used or 
  9.32  reasonably expected to be used by such school; and 
  9.33     (i) copies of all enrollment agreement forms and contract 
  9.34  forms used in Minnesota. 
  9.35     Subd. 4.  [CERTIFICATION.] Each application shall be signed 
  9.36  and certified to under oath by the proprietor if the applicant 
 10.1   is a proprietorship, by the managing partner if the applicant is 
 10.2   a partnership, or by the authorized officers of the applicant if 
 10.3   the applicant is a corporation, association, company, firm, 
 10.4   society, or trust. 
 10.5      Subd. 5.  [BOND.] No registration shall be issued to any 
 10.6   training firm which maintains, conducts, solicits for, or 
 10.7   advertise within the state of Minnesota any course of 
 10.8   instruction, unless the applicant files with the office a 
 10.9   continuous corporate surety bond in the sum of $10,000 
 10.10  conditioned upon the faithful performance of all contracts and 
 10.11  agreements with trainees made by the applicant.  Such bond shall 
 10.12  run to the state of Minnesota and to any person who may have a 
 10.13  cause of action against the applicant arising at any time after 
 10.14  the bond is filed and before it is canceled for breach of any 
 10.15  contract or agreement made by the applicant with any trainee.  
 10.16  The aggregate liability of the surety for all breaches of the 
 10.17  conditions of the bond shall not exceed the principal sum of 
 10.18  $10,000.  The surety of any such bond may cancel it upon giving 
 10.19  60 days notice in writing to the office and shall be relieved of 
 10.20  liability for any breach of condition occurring after the 
 10.21  effective date of cancellation.  In lieu of bond, the applicant 
 10.22  may deposit with the state treasurer the sum of $10,000 in cash 
 10.23  or securities such as may be legally purchased by savings banks 
 10.24  or for trust funds in an aggregate market value of $10,000. 
 10.25     Subd. 6.  [RESIDENT AGENT.] Training firms domiciled 
 10.26  outside the state of Minnesota which offer, advertise, solicit 
 10.27  for, or conduct any course of instruction within the state of 
 10.28  Minnesota shall first file with the secretary of state a sworn 
 10.29  statement designating a resident agent authorized to receive 
 10.30  service of process.  Such statement shall designate the 
 10.31  secretary of state resident agent for service of process in the 
 10.32  absence of an agent otherwise so designated.  In the event a 
 10.33  training firm fails to file such statement, the secretary of 
 10.34  state is hereby designated as the resident agent authorized to 
 10.35  receive service of process.  Such authorization shall be 
 10.36  irrevocable as to causes of action arising out of transactions 
 11.1   occurring prior to the filing of written notice of withdrawal 
 11.2   from the state of Minnesota filed with the secretary of state. 
 11.3      Subd. 7.  [MINIMUM STANDARDS.] No registration shall be 
 11.4   issued unless the office first determines: 
 11.5      (a) that the applicant has a sound financial condition with 
 11.6   sufficient resources available to meet the training firm's 
 11.7   financial obligations; to refund all tuition and other charges, 
 11.8   within a reasonable period of time, in the event of dissolution 
 11.9   of the school or in the event of any justifiable claims for 
 11.10  refund against the training firm, and for the proper use and 
 11.11  support of the school to be maintained; 
 11.12     (b) that the applicant has satisfactory training facilities 
 11.13  with sufficient tools and equipment and the necessary number of 
 11.14  work stations to train adequately the trainees currently 
 11.15  enrolled, and those proposed to be enrolled if training is 
 11.16  conducted on the physical premises of the training firm; 
 11.17     (c) that the applicant employs a sufficient number of 
 11.18  qualified instructors trained by experience or education or 
 11.19  both, to give the training contemplated; 
 11.20     (d) that the premises and conditions under which the 
 11.21  trainees work and study are sanitary, healthful, and safe, 
 11.22  according to occupancy codes; 
 11.23     (e) that the contract or enrollment agreement used by the 
 11.24  training firm complies with the following provisions: 
 11.25     (1) the name and address of the training firm must be 
 11.26  clearly stated; 
 11.27     (2) inclusion of a clear and conspicuous disclosure that 
 11.28  such agreement becomes a legally binding instrument between the 
 11.29  trainee and the training firm of services rendered and 
 11.30  appropriate fees assessed, unless canceled pursuant to section 
 11.31  141.271; 
 11.32     (3) must contain the training firm's cancellation and 
 11.33  refund policy which shall be clearly and conspicuously entitled, 
 11.34  "Buyer's Right to Cancel"; 
 11.35     (4) the total cost of the course including tuition and all 
 11.36  other charges shall be clearly stated; 
 12.1      (5) the name and description of the course, including the 
 12.2   number of hours of classroom instruction or self-based study or 
 12.3   both, shall be included; 
 12.4      (6) contracts or agreements shall not contain wage 
 12.5   assignment provisions nor confessions of judgment clauses; 
 12.6      (7) each contract or enrollment agreement shall contain a 
 12.7   clear and conspicuous explanation of the form and means of 
 12.8   notice the trainee should use in the event the trainee elects to 
 12.9   cancel the contract or sale, the effective date of cancellation, 
 12.10  and the name and address of the seller to which the notice 
 12.11  should be sent or delivered; and 
 12.12     (f) that there has been no adjudication of fraud or 
 12.13  misrepresentation in any criminal, civil, or administrative 
 12.14  proceeding in any jurisdiction against the training firm or its 
 12.15  owner, officers, agents, or sponsoring organization. 
 12.16     Subd. 8.  [FEES AND TERMS OF REGISTRATION.] (a) 
 12.17  Applications for initial registration under this section shall 
 12.18  be accompanied by a nonrefundable application fee of $250 for a 
 12.19  training firm with one to five employees.  The fee is $500 for a 
 12.20  training firm with five to 20 employees.  For a training firm 
 12.21  with more than 20 employees, the fee is $750.  
 12.22     (b) All registrations shall expire one year from the date 
 12.23  issued by the office.  Each renewal application shall be 
 12.24  accompanied by a nonrefundable renewal fee of $100 for a 
 12.25  training firm with one to five employees.  For a training firm 
 12.26  with five to 20 employees, the fee is $150.  For a training firm 
 12.27  with more than 20 employees, the fee is $250. 
 12.28     (c) Application for renewal of registration shall be made 
 12.29  at least 30 days before the expiration of the training firm's 
 12.30  current registration.  Each renewal form shall be supplied by 
 12.31  the office.  It shall not be necessary for an applicant to 
 12.32  supply all information required in the initial application at 
 12.33  the time of renewal unless requested by the office. 
 12.34     (d) Provide for a review every three years of all 
 12.35  registrants to verify compliance with law and provide full 
 12.36  disclosure to the office. 
 13.1      Subd. 9.  [CATALOG, BROCHURE, OR WEB SITE.] Before a 
 13.2   registration is issued to a training firm, the training firm 
 13.3   shall furnish to the office a catalog, brochure, or web site 
 13.4   containing the following: 
 13.5      (1) name and address of the training firm and its governing 
 13.6   body and officials; 
 13.7      (2) a calendar of the training firm showing relevant course 
 13.8   information; 
 13.9      (3) detailed schedule of fees, charges for tuition, books, 
 13.10  supplies, tools, laboratory fees, service charges, rentals, 
 13.11  deposits, and all other charges; 
 13.12     (4) policy and regulations, including an explanation of 
 13.13  section 141.354, about refunding tuition, fees, and other 
 13.14  charges if the trainee does not enter the course, withdraws, or 
 13.15  the course is discontinued; 
 13.16     (5) a description of the on-site training facilities; and 
 13.17     (6) a course outline for each course offered showing course 
 13.18  objectives, subjects or units in the course, type of work or 
 13.19  skill to be learned, and approximate times of course. 
 13.20     Subd. 10.  [CONTRACTS.] Immediately upon signing of the 
 13.21  contract by the prospective trainee, the training firm or agent 
 13.22  thereof shall furnish to the prospective trainee an exact 
 13.23  duplicate copy of contract. 
 13.24     Sec. 18.  [141.354] [TRAINING FIRMS; REFUNDS.] 
 13.25     Subdivision 1.  [TRAINING FIRMS USING WRITTEN CONTRACTS.] 
 13.26  Notwithstanding anything to the contrary, every training firm 
 13.27  which utilizes a written contract shall refund all tuition, 
 13.28  fees, and other charges paid by a trainee, if the trainee gives 
 13.29  written notice of cancellation within five business days after 
 13.30  the day on which the contract was executed or before 
 13.31  commencement of the course of instruction, less an 
 13.32  administrative fee not to exceed $100. 
 13.33     Subd. 2.  [TRAINING FIRMS NOT USING WRITTEN 
 13.34  CONTRACTS.] Notwithstanding anything to the contrary, every 
 13.35  training firm which does not utilize a written contract shall 
 13.36  refund all tuition, fees, and other charges paid by a trainee, 
 14.1   if the trainee gives written notice of cancellation within five 
 14.2   business days after the day on which the contract was executed 
 14.3   or before commencement of the course of instruction, less an 
 14.4   administrative fee not to exceed $100. 
 14.5      Subd. 3.  [EQUIPMENT AND SUPPLIES.] The fair market retail 
 14.6   price, if separately stated in the catalog and contract or 
 14.7   enrollment agreement, of equipment or supplies furnished to the 
 14.8   trainee, which the trainee fails to return in condition suitable 
 14.9   for resale within ten business days following cancellation may 
 14.10  be retained by the training firm and may be deducted from the 
 14.11  total cost for tuition, fees, and all other charges when 
 14.12  computing refunds.  An overstatement of the fair market retail 
 14.13  price of any equipment or supplies furnished the trainee shall 
 14.14  be considered inconsistent with this provision. 
 14.15     Subd. 4.  [TIME OF REFUND.] Each training firm shall 
 14.16  acknowledge in writing any valid notice of cancellation within 
 14.17  ten business days after the receipt of such notice and within 30 
 14.18  business days shall refund to the trainee any amounts due and 
 14.19  arrange for termination of the trainee's obligation to pay any 
 14.20  sum in excess of that due under the cancellation and refund 
 14.21  policy. 
 14.22     Subd. 5.  [CANCELLATION OCCURRENCE.] Written notice of 
 14.23  cancellation shall take place on the date the letter of 
 14.24  cancellation is postmarked or, in the cases where the notice is 
 14.25  hand-carried, it shall occur on the date the notice is delivered 
 14.26  to the training firm. 
 14.27     Sec. 19.  [EFFECTIVE DATE.] 
 14.28     This act is effective the day following final enactment.  
 14.29  Any training firm, as defined by this act, that is in the 
 14.30  application process for licensure as a school, or that has been 
 14.31  licensed as a school in order to comply with the school 
 14.32  licensing requirements of Minnesota Statutes, chapter 141, is 
 14.33  only required to comply with the provisions of this act relating 
 14.34  to training firms.  All fees paid to the office by the training 
 14.35  firm during 1999, for licensure as a school, will be credited by 
 14.36  the office and applied to registration fees established by 
 15.1   section 17.  Any remaining balances carry forward to the 
 15.2   subsequent years' renewal fees.