HB 1089

1
A bill to be entitled
2An act relating to independent postsecondary education;
3amending s. 1005.31, F.S.; providing requirements of
4independent postsecondary educational institutions
5licensed by the Commission for Independent Education;
6providing requirements for an investigative process for
7licensure of applicants; revising provisions relating to
8applicant status; providing for inspections; creating s.
91005.375, F.S.; specifying acts that constitute violations
10and providing penalties therefor; amending s. 1005.38,
11F.S.; providing requirements for investigation of a
12suspected violation of the chapter or rules; providing
13additional grounds for disciplinary actions; providing for
14a final order to dismiss a complaint or impose specified
15penalties; providing for imposition and collection of an
16assessment relating to investigation and prosecution of a
17case; providing for an emergency suspension or restriction
18order; creating s. 1005.385, F.S.; requiring the
19commission to adopt rules relating to issuance of a
20citation to an institution and violations for which a
21citation may be issued; specifying requirements for
22issuance; amending s. 1010.83, F.S.; providing for the
23inclusion in the Institutional Assessment Trust Fund of
24fees and fines imposed on institutions; specifying
25separate accounts; revising uses of funds in the trust
26fund; providing an effective date.
27
28Be It Enacted by the Legislature of the State of Florida:
29
30     Section 1.  Subsections (1) and (4) of section 1005.31,
31Florida Statutes, are amended, subsections (6) through (13) are
32renumbered as subsections (7) through (14), respectively, and
33new subsections (6) and (15) are added to said section, to read:
34     1005.31  Licensure of institutions.--
35     (1)(a)  Each college or school operating within this state
36must obtain licensure from the commission unless the institution
37is not under the commission's purview or jurisdiction as
38provided in s. 1005.06.
39     (b)  Each licensee is solely responsible for notifying the
40commission in writing of the licensee's current mailing address
41and the location of the institution. A licensee's failure to
42notify the commission of a change of address constitutes a
43violation of this paragraph, and the licensee may be disciplined
44by the commission. Notwithstanding any other provision of law,
45service by regular mail to a licensee's last known address of
46record with the commission constitutes adequate and sufficient
47notice to the licensee for any official communication to the
48licensee by the commission.
49     (4)  Approved-applicant status shall be extended to all
50institutions that have submitted a complete application, as
51defined in rule, for provisional licensure and paid all
52attendant fees. An incomplete application shall expire 1 year
53after initial filing. In granting approved-applicant status, the
54commission shall provide to commission staff and the institution
55a list of specific omissions or deficiencies. Institutions
56granted approved-applicant status may not advertise, offer
57programs of study, collect tuition or fees, or engage in any
58other activities not specifically approved by the commission. If
59the commission, or the commission staff if specifically directed
60by the commission, determines that identified the omissions or
61deficiencies have been provided for or corrected, the
62institution may be awarded a provisional license.
63     (6)  The commission shall ensure through an investigative
64process that applicants for licensure meet the standards as
65defined in rule. When the investigative process is not completed
66within the time set out in s. 120.60(1) and the commission has
67reason to believe that the applicant does not meet licensure
68standards, the commission or the executive director of the
69commission may issue a 90-day licensure delay, which shall be in
70writing and sufficient to notify the applicant of the reason for
71the delay. The provisions of this subsection shall control over
72any conflicting provisions of s. 120.60(1).
73     (15)  Duly authorized agents and employees of the
74commission shall have the power to inspect, in a lawful manner
75at all reasonable hours, any applicant for licensure or licensed
76independent postsecondary educational institution.
77     Section 2.  Section 1005.375, Florida Statutes, is created
78to read:
79     1005.375  Violations; penalties.--
80     (1)  Each of the following acts constitutes a felony of the
81third degree, punishable as provided in s. 775.082, s. 775.083,
82or s. 775.084:
83     (a)  Operating an independent postsecondary educational
84institution without a valid, active license issued pursuant to
85this chapter.
86     (b)  Obtaining or attempting to obtain a license to operate
87an institution by fraudulent misrepresentation.
88     (c)  Using or attempting to use a license that has been
89suspended or revoked.
90     (2)  Each of the following acts constitutes a misdemeanor
91of the second degree, punishable as provided in s. 775.082 or s.
92775.083:
93     (a)  Knowingly concealing information relating to
94violations of this chapter.
95     (b)  Willfully making any false oath or affirmation when
96required to make an oath or affirmation pursuant to this
97chapter.
98     Section 3.  Subsections (6) and (8) of section 1005.38,
99Florida Statutes, are amended, and subsections (9) through (12)
100are added to said section, to read:
101     1005.38  Actions against a licensee and other penalties.--
102     (6)  The commission may conduct disciplinary proceedings
103through an investigation of any suspected violation of this
104chapter or any rule of the commission, including a finding of
105probable cause and making reports to any law enforcement agency
106or regulatory agency.
107     (a)  The commission shall cause to be investigated a
108suspected violation of any provision of this chapter or any rule
109of the commission. Regardless of the source of information
110regarding the suspected violation, an investigation may be
111continued until it is completed and an investigative report is
112presented to a probable cause panel of the commission.
113     (b)(a)  The commission shall notify an institution or
114individual of the substance of any complaint that is under
115investigation unless the executive director and chairperson of
116the commission board concur that notification would impede the
117investigation. The commission may also withhold notification to
118a person under investigation for an act that constitutes a
119criminal offense.
120     (c)(b)  The determination of probable cause shall be made
121by a majority vote of the probable cause probable-cause panel,
122the membership of which shall be provided by rule. After the
123panel declares a finding of probable cause, the commission may
124issue an administrative complaint and prosecute such complaint
125under chapter 120.
126     (d)(c)  A privilege against civil liability is granted to
127any informant or any witness who provides information in good
128faith for an investigation or proceeding conducted under this
129section.
130     (e)  Upon written request by an informant, the commission
131shall notify the informant of the status of an investigation,
132civil action, or administrative proceeding.
133     (8)  The commission shall adopt rules to identify grounds
134for imposing disciplinary actions for violations of this chapter
135or rules of the commission or for denial of a license, which
136must include at least the following grounds:
137     (a)  Attempting to obtain action from the commission by
138fraudulent misrepresentation, bribery, or through an error of
139the commission.
140     (b)  Action against a license or operation imposed under
141the authority of another state, territory, or country.
142     (c)  Delegating professional responsibilities to a person
143who is not qualified by training, experience, or licensure to
144perform the responsibilities.
145     (d)  False, deceptive, or misleading advertising.
146     (e)  Conspiring to coerce, intimidate, or preclude another
147licensee from lawfully advertising his or her services.
148     (f)  Violating or repeatedly violating any provision of
149this chapter or any rule adopted pursuant thereto.
150     (g)  Operating with a revoked, suspended, or inactive
151license.
152     (h)  Violating any lawful order of the commission
153previously entered in a disciplinary hearing or failing to
154comply with a lawfully issued subpoena.
155     (9)  The commission shall enter a final order either
156dismissing a complaint or imposing one or more of the following
157penalties for any violation of this chapter or any rule of the
158commission:
159     (a)  Denial of an application for licensure.
160     (b)  Revocation or suspension of a license.
161     (c)  Imposition of an administrative fine of no less than
162$100 and no more than $5,000 for each count or separate
163violation. Such fine shall be deposited in the Institutional
164Assessment Trust Fund pursuant to s. 1010.83.
165     (d)  Placement of a licensee on probation for a period of
166time and subject to such conditions as the commission may
167specify.
168     (e)  Issuance of a written reprimand to an institution.
169Such reprimand shall be posted in a prominent place at the
170institution for such period of time as the commission may
171specify.
172     (10)  In any case in which the commission imposes a fine or
173an assessment of costs and the fine or assessment is not paid
174within a reasonable time, such reasonable time to be prescribed
175in commission rule or in the order assessing such fine or
176assessment, the commission or the Department of Legal Affairs
177may contract for the collection of, or bring a civil action to
178recover, the fine or assessment.
179     (11)  The commission shall not reinstate the license of an
180institution, or cause a license to be issued to an institution
181it has deemed unqualified, until such time as it is satisfied
182that the institution has complied with all the terms and
183conditions set forth in the final order.
184     (12)  The commission shall issue an emergency order
185suspending or limiting the license of an institution if there is
186a finding that an immediate danger to the public health, safety,
187or welfare requires emergency action. The executive director of
188the commission shall review the matter to determine if the
189emergency suspension or restriction order is warranted. Nothing
190in this subsection shall be construed to limit the authority of
191the executive director to issue an emergency order.
192     Section 4.  Section 1005.385, Florida Statutes, is created
193to read:
194     1005.385  Authority to issue citations.--
195     (1)  The commission shall adopt rules to permit the
196issuance of citations. A citation shall be issued to an
197independent postsecondary educational institution and shall
198contain the institution's name and address, the institution's
199license number if applicable, a brief factual statement, the
200sections of law allegedly violated, and the penalty imposed. A
201citation must clearly state that the subject may choose, in lieu
202of accepting the citation, to dispute the matter in the citation
203and must provide the subject all rights for either an informal
204hearing to dispute the facts before the commission or a formal
205hearing to dispute the facts before an administrative law judge
206from the Division of Administrative Hearings pursuant to chapter
207120. However, if the subject does not dispute the matter in the
208citation within 30 days after the citation is served, the
209citation becomes a final order and constitutes discipline. The
210penalty shall be a fine or other conditions as established by
211rule.
212     (2)  The commission shall adopt rules designating
213violations for which a citation may be issued. A violation so
214designated shall be a violation for which there is no
215substantial threat to the public health, safety, or welfare.
216     (3)  The commission shall be entitled to recover the costs
217of investigation, in addition to any penalty provided according
218to rule, as part of the penalty levied pursuant to a citation.
219     (4)  A citation must be issued within 6 months after the
220filing of a complaint that is the basis for the citation.
221     (5)  Service of a citation may be made by personal service
222or certified mail, restricted delivery, to the subject at the
223subject's last known address of record.
224     Section 5.  Section 1010.83, Florida Statutes, is amended
225to read:
226     1010.83  Institutional Assessment Trust Fund.--
227     (1)  Chapter 99-32, Laws of Florida, re-created the
228Institutional Assessment Trust Fund to be administered by the
229Department of Education pursuant to this section and rules of
230the State Board of Education. The trust fund shall consist of
231all fees and fines imposed upon nonpublic colleges and schools
232pursuant to this chapter and chapter 1005, including all fees
233collected from nonpublic colleges and schools for participation
234in the Student Protection Fund and the statewide common course
235designation and numbering system. The department shall maintain
236separate revenue accounts for the operation of the Commission
237for Independent Education independent colleges and universities;
238the Student Protection Fund nonpublic career education; and the
239Department of Education.
240     (2)  Funds from the trust fund shall be used for purposes
241including, but not limited to, the following:
242     (a)  Authorized expenses of the Commission for Independent
243Education respective boards in carrying out its their required
244duties.
245     (b)  Financial assistance programs for students who attend
246nonpublic institutions licensed by the board.
247     (c)  Educational programs for the benefit of current and
248prospective owners, administrators, agents, authorized groups of
249individuals, and faculty of institutions receiving a license, a
250certificate of exemption, or an authorization by the board.
251     (b)(d)  Authorized expenses from of the Department of
252Education account incurred as a result of the inclusion of
253nonpublic colleges in the statewide course numbering system.
254     (c)  Expenses authorized by the Commission for Independent
255Education from the Student Protection Fund account to complete
256the training of students enrolled in an institution that
257terminates a program or ceases operation while the student is
258enrolled or to facilitate the retrieval or safekeeping of
259records from a closed institution.
260     (3)  The Commission for Independent Education board may
261utilize other individuals or entities to administer the programs
262authorized in subsection (2).
263     Section 6.  This act shall take effect July 1, 2005.


CODING: Words stricken are deletions; words underlined are additions.