What's happening
This bill allows small private career schools with under $100,000 in tuition and aid to file unaudited financial statements, requiring audits only every three years.
Why it matters
Reduces compliance costs for very small private career schools. by allowing them to submit unaudited financial statements most years, which can lower administrative burdens and free up resources for instruction or student services.
Still maintains oversight and accountability. by requiring a full audit every three years and giving the commissioner authority to demand an audit at any time if there are signs of financial misreporting or suspicious changes in tuition revenue.
Encourages the survival of smaller vocational schools. that might otherwise struggle with the cost of annual audits, helping to preserve student access to niche or local training opportunities not served by larger institutions.
Includes safeguards to prevent abuse. by letting the commissioner intervene if a school provides false information or suddenly reports a significant, unexplained drop in tuition, aiming to balance regulatory relief with consumer protection.
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Who cares
Headline styles
Ease Rules for Small Schools
Plain English, a few words. Used as the page title.
Sponsors
2 Co-sponsors
History
- Referred to higher education
- Referred to higher education
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
4012
2019-2020 Regular Sessions
IN ASSEMBLY
January 31, 2019
Introduced by M. of A. HYNDMAN, DICKENS -- read once and referred to the Committee on Higher Education
AN ACT to amend the education law, in relation to licensed private career schools with gross tuition of less than one hundred thousand dollars; and providing for the repeal of such provisions upon expiration thereof
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Paragraph e of subdivision 4 of section 5001 of the education law is amended by adding a new subparagraph (iv) to read as follows:
(iv) Schools whose gross tuition is less than one hundred thousand dollars in a school fiscal year and which receive less than one hundred thousand dollars in state and federal student financial aid in a school fiscal year shall file with the commissioner an unaudited financial statement in a format prescribed by the commissioner, provided, however, that for such schools, audited financial statements shall be required every three years, at minimum, with reviewed financial statements allowed during the years where an audited financial statement is not filed. Upon a determination by the commissioner that a school has submitted false or inaccurate statements or that a significant, unsubstantiated decline in gross tuition has occurred, the commissioner may require any such school to file an audited financial statement pursuant to this paragraph even during years when reviewed statements would ordinarily be allowed.
§ 2. This act shall take effect immediately and shall expire and be deemed repealed 5 years after such date.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06208-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.