§ 176 -   Postsecondary schools chartered in Vermont

§ 176. Postsecondary schools chartered in Vermont

(a) Applicability. All postsecondary schools whose primary operation is in the state of Vermont are subject to this section.

(b) Definitions. Definitions. As used in this section:

(1) "Postsecondary school" means any person who offers or operates a program of college or professional education for credit or a degree.

(2) "Offer" means, in addition to its usual meanings, advertising, publicizing, soliciting, or encouraging any person in this state, directly or indirectly, in any form, to perform the act described. "Offer" includes the use in the name of an institution or in its promotional material, of a term such as "college," "university" or "institute" which is intended to indicate that the business is an institution which offers postsecondary education.

(3) "Degree" means any award which is given by a postsecondary school for completion of a program or course and which is designated by the term degree, associate, bachelor, baccalaureate, masters, or doctorate, or any similar award which the state board includes by rule.

(4) "Operate" means to establish, keep or maintain any facility or location from or through which education is offered or given, or educational degrees are offered or granted. The term includes contracting with any person to perform any such act.

(5) "Accredited" means accredited by any regional or national institutional accrediting agency recognized by the state board.

(c) State board approval.

(1) Every postsecondary school which is subject to this section shall:

(A) apply for a certificate of approval from state board prior to registering its name with the secretary of state pursuant to Title 11, Title 11A, or Title 11B;

(B) apply for and receive a certificate of approval from the state board prior to offering postsecondary credit-bearing courses or programs and prior to admitting the first student; and

(C) notify each applicant for enrollment in writing, on an application, enrollment, or registration form to be signed by the applicant, that credits earned at the school are transferable only at the discretion of the receiving school.

(2) Every postsecondary school shall secure a certificate of degree-granting authority from the state board before it confers or offers to confer a degree.

(d) Exemptions. The following are exempt from all the requirements of this section except for the requirements of subdivision (c)(1)(C) of this section:

(1) Programs of education sponsored by a bona fide trade, labor, business or professional organization recognized by the state board if they are:

(A) conducted solely for that organization's membership or for members of the particular industries or professions served by that organization; and

(B) not available to the public on a fee basis.

(2) The University of Vermont and the Vermont State Colleges.

(3) Postsecondary schools currently licensed or approved by a Vermont state occupational licensing board.

(4) Postsecondary schools which are accredited.

(5) Nondegree-granting and noncredit-granting postsecondary schools which offer only training in the vocations.

(6) Religious instruction which does not result in earning credits or a degree.

(e) Issuance. On proper application, the state board shall issue a certificate of approval or a certificate of degree-granting authority, or both, to an applicant whose goals, objectives, programs and resources, including personnel, curriculum, finances and facilities, are found by the state board to be adequate and appropriate for the stated purpose and for the protection of students and the public interest. In the case of a course or program offered by correspondence, the applicant shall provide proof of application for a license pursuant to chapter 85 of this title. The certificate shall be for a term not exceeding five years. The certificate may be subject to conditions, terms or limitations.

(f) Renewal. Certificates under this section may be renewed on application in the same manner as originally issued.

(g) Revocation. Any certificate may be revoked by the state board at any time for good cause relating to the conditions, terms and limitations of approval.

(h) Advice. Prior to any action taken by the state board with respect to any application for degree-granting authority, the board shall obtain the advice of the Vermont Higher Education Council, Incorporated.

(i) The board may adopt rules and perform investigations in order to effectuate the purposes of this section.

(j) In the event that a postsecondary school does not comply with the provisions of subsection (c) of this section or is denied the issuance of a certificate of approval or a certificate of degree-granting authority, the postsecondary school shall forthwith cease to operate.

(k) The attorney general, upon request of the state board, may bring an action to enjoin the operation of a postsecondary school which is operating in violation of this section.

(l) Any person, group, or entity, or any owner, officer, agent, or employee thereof, who willfully violates subsection (c) or (j) of this section shall be fined not to exceed $1,000.00 or imprisoned for not more than one year or both. Each day's violation shall be a separate violation. (Added 1981, No. 124 (Adj. Sess.), § 1, eff. March 2, 1982; amended 1989, No. 263 (Adj. Sess.), § 1, eff. June 20, 1990; 2001, No. 19, § 1; 2003, No. 107 (Adj. Sess.), § 1.)