NAICU Washington Update

State Authorization Regulations Set to Take Effect July 1

June 22, 2015

On June 19, the U.S. Department of Education published a Dear Colleague letter reminding institutions about the impending July 1 implementation date for the state authorization regulations. Unlike prior years, the Department is committed to enforcing the regulations on July 1, and unlikely to delay implementation any further.

The state authorization provisions that will be implemented are those requiring an institution to be authorized by the state in which it has its main location, or in which it has an additional physical location offering at least half of an educational program. The requirements do not deal with the authorization of distance education programs, which were struck down in court and are not currently in effect.

The Dear Colleague letter provides context on how the state authorization regulations will be administered. However, institutions located in states that are not yet in full compliance with the regulations could have an alternative to immediate consequences. The letter clarifies that “Institutions located in States where agencies are still putting in place a sufficient State authorization process may have their current status continued for a reasonable period to permit a State process to become final.” Institutions scheduled to undergo the Title IV recertification process in the near future should be aware of these changes.

For more information on state authorization, including a Q&A and all pertinent Dear Colleagues, institutions should visit the State Authorization Portal on the Department of Education’s website.

NAICU will continue to compile acceptable practices to bring all institutions into compliance.

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