1.1 	A bill for an act
1.2 	relating to higher education; authorizing participation in interstate reciprocity 
1.3 	agreement;amending Minnesota Statutes 2012, section 136A.01, subdivision 2; 
1.4 	proposing coding for new law in Minnesota Statutes, chapter 136A.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2012, section 136A.01, subdivision 2, is amended to read:
1.7 		Subd. 2.Responsibilities. (a) The Minnesota Office of Higher Education is 
1.8 	responsible for:
1.9 	(1) necessary state level administration of financial aid programs, including 
1.10 	accounting, auditing, and disbursing state and federal financial aid funds, and reporting on 
1.11 	financial aid programs to the governor and the legislature;
1.12 	(2) approval, registration, licensing, and financial aid eligibility of private collegiate 
1.13 	and career schools, under sections 136A.61 to 136A.71 and chapter 141;
1.14 	(3) determining whether or not to enter into an interstate reciprocity agreement 
1.15 	regarding postsecondary distance education with similar agencies in other states;
1.16 	(3) (4) negotiating and administering reciprocity agreements;
1.17 	(4) (5) publishing and distributing financial aid information and materials, and other 
1.18 	information and materials under section 136A.87, to students and parents;
1.19 	(5) (6) collecting and maintaining student enrollment and financial aid data and 
1.20 	reporting data on students and postsecondary institutions to develop and implement a 
1.21 	process to measure and report on the effectiveness of postsecondary institutions;
1.22 	(6) (7) administering the federal programs that affect students and institutions on a 
1.23 	statewide basis; and
2.1 	(7) (8) prescribing policies, procedures, and rules under chapter 14 necessary to 
2.2 	administer the programs under its supervision.
2.3 	(b) The office may match individual student data from the student record enrollment 
2.4 	database with individual student financial aid data collected and maintained by the office 
2.5 	in order to audit or evaluate federal or state supported education programs as permitted by 
2.6 	United States Code, title 20, section 1232g(b)(3), and Code of Federal Regulations, title 
2.7 	34, section 99.35. The office shall not release data that personally identifies parents or 
2.8 	students other than to employees and contractors of the office.

2.9 	Sec. 2. [136A.658] EXEMPTION; STATE AUTHORIZATION RECIPROCITY 
2.10 	AGREEMENT SCHOOLS.
2.11 	(a) The office may participate in an interstate reciprocity agreement with similar 
2.12 	agencies in other states if it determines that participation is in the best interest of 
2.13 	Minnesota postsecondary students.
2.14 	(b) If the office decides to participate in an interstate reciprocity agreement, an 
2.15 	institution that meets the following requirements is exempt from the provisions of sections 
2.16 	136A.61 to 136A.71:
2.17 	(1) the institution is situated in a state which is also participating in the interstate 
2.18 	reciprocity agreement;
2.19 	(2) the institution has been approved to participate in the interstate reciprocity 
2.20 	agreement by the institution's home state and other entities with oversight of the interstate 
2.21 	reciprocity agreement; and 
2.22 	(3) the institution has elected to participate in and operate in compliance with the 
2.23 	terms of the interstate reciprocity agreement.