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136A.103 INSTITUTION ELIGIBILITY REQUIREMENTS.

Subdivision 1.Eligibility.

(a) A postsecondary institution is eligible for state student aid and to receive state student aid on behalf of students under this chapter 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 meets the requirements of paragraph (b).

(b) A private institution must:

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

(2) meet one of the following criteria:

(i) the institution participates in the federal Pell Grant program under Title IV of the Higher Education Act of 1965, Public Law 89-329, as amended;

(ii) the institution:

(A) was participating in state student aid programs as of June 30, 2010, but does not participate in the federal Pell Grant program under Title IV of the Higher Education Act of 1965, Public Law 89-329, as amended;

(B) requires 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; and

(C) has not had a change in ownership as defined in section 136A.63, subdivision 2; or

(iii) the institution offers only graduate-level degrees or graduate-level nondegree programs and participates in federal financial aid under Title IV of the Higher Education Act of 1965, Public Law 89-329, as amended.

(c) An institution under paragraph (b), clause (2), that changes ownership as defined in section 136A.63, subdivision 2, remains eligible for state student aid for six months following the change in ownership.

Subd. 2.Ineligibility.

A postsecondary institution otherwise eligible for state student aid under this chapter and sections 197.791 and 299A.45 may be determined by the office to be ineligible if the institution:

(1) fails to maintain adequate compliance with administrative and financial standards and compliance with all state statutes, rules, and administrative policies related to state financial aid programs; or

(2) has been 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.

Official Publication of the State of Minnesota
Revisor of Statutes