HF 2649

Introduction - 94th Legislature (2025 - 2026)

Posted on 03/24/2025 03:02 p.m.

A bill for an act
relating to higher education; requiring disclosure of employment opportunities for
fields of study; modifying institution eligibility for state student aid; requiring
report; amending Minnesota Statutes 2024, section 136A.103.

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

Section 1.

Minnesota Statutes 2024, section 136A.103, is amended to read:

136A.103 INSTITUTION ELIGIBILITY REQUIREMENTS.

(a) A postsecondary institution is eligible for state student aid under chapter 136A and
sections 197.791 and 299A.45, if the institution is located in this state and:

(1) is operated by this state or the Board of Regents of the University of Minnesota; or

(2) is operated privately and, as determined by the office, meets the requirements of
paragraph (b).

(b) A private institution must:

(1) maintain academic standards substantially equivalent to those of comparable
institutions operated in this state;

(2) be licensed or registered as a postsecondary institution by the office; and

(3)(i) by July 1, 2010, participate in the federal Pell Grant program under Title IV of
the Higher Education Act of 1965, Public Law 89-329, as amended; or

(ii) if an institution was participating in state student aid programs as of June 30, 2010,
and the institution did not participate in the federal Pell Grant program by June 30, 2010,
the institution must require every student who enrolls to sign a disclosure form, provided
by the office, stating that the institution is not participating in the federal Pell Grant program.

(c) An institution that offers only graduate-level degrees or graduate-level nondegree
programs is an eligible institution if the institution is licensed or registered as a postsecondary
institution by the office.

(d) An eligible institution under paragraph (b), clause (3), item (ii), that changes
ownership as defined in section 136A.63, subdivision 2, must participate in the federal Pell
Grant program within four calendar years of the first ownership change to continue eligibility.

(e) An institution that loses its eligibility for the federal Pell Grant program is not an
eligible institution. The office may terminate an institution's eligibility to participate in state
student aid programs effective the date of the loss of eligibility for the federal Pell Grant
program.

(f) An institution must maintain adequate administrative and financial standards and
compliance with all state statutes, rules, and administrative policies related to state financial
aid programs.

(g) The office may terminate a postsecondary institution's eligibility to participate in
state student aid programs if the institution is terminated from participating in federal
financial aid programs by the United States Department of Education for a violation of laws,
regulations, or participation agreements governing federal financial aid programs.

new text begin (h) An eligible institution under this section must prominently display in the institution's
catalog and on its website information that will assist prospective students in making
informed decisions. This information must include job placement rates for each of the
institution's specific fields of study and gainful employment outcomes, including median
earnings of graduates. The institution must annually report job placement and earnings
information to the office, according to metrics developed by the office. The office must
randomly audit the institutions to ensure compliance and report noncompliance to the chairs
and ranking minority members of the legislative committees with jurisdiction over higher
education.
new text end