2023 Tennessee Code › Title 49 - EDUCATION (§§ 49-1-NEW — 49-50-1703) › Chapter 7 - POSTSECONDARY AND HIGHER EDUCATION GENERALLY (§§ 49-7-NEW — 49-7-3003) › Part 20 - POSTSECONDARY EDUCATION AUTHORIZATION ACT OF 1974 (§§ 49-7-2001 — 49-7-2023) › Section 49-7-2022 - Optional expedited authorization

(a)
(1)
Postsecondary educational institutions accredited by an institutional accrediting agency recognized by the United States department of education may apply for optional expedited authorization as provided for in this part.
(2)
Provisional initial optional expedited authorization may be granted by the executive director or commission staff subject to review and ratification by the commission. Provisional authorization must contain limitations as to time, procedures, functions, and other conditions as deemed necessary.
(3)
The term for which authorization is given shall not extend for more than six (6) years and may be issued for a lesser period of time on terms and conditions specified by, or otherwise determined by, the commission. An institution that receives multi-year authorization shall annually submit a certification of compliance on a form provided by the commission, and shall pay the requisite fee by the date established by the commission.
(b)
Optional expedited authorization is available to postsecondary educational institutions that submit the following documentation to the commission:
(1)
Evidence of accreditation from an institutional accrediting agency recognized by the United States department of education indicating that the location for which authorization is being sought is accredited or properly recognized by the accreditor;
(2)
Documentation evidencing an established, clearly articulated, and comprehensive process for the resolution of consumer complaints;
(3)
Documentation evidencing that the institution is authorized or exempt from authorization in the state where it is primarily located, if the institution is not authorized in this state;
(4)
A signed application for optional expedited authorization on a form provided by the commission;
(5)
Documentation evidencing all requisite program approvals from other state licensing boards or commissions, if applicable; and
(6)
Documentation evidencing that the institution meets and maintains financial standards and institutional stability acceptable by the accreditor for the purpose of maintaining accreditation or by the United States department of education for the purpose of being a Title IV eligible institution.
(c)
Upon the receipt of an institution's application, the commission shall conduct a detailed review and verification and, upon satisfactory examination of all submitted documentation, issue an optional expedited authorization subject to this section.
(d)
If the commission, upon review and consideration of the application, determines that the applicant is not eligible and fails to meet the optional expedited authorization criteria established in this section, then the commission shall notify the applicant of its decision to deny the application and set forth the reasons for the denial in writing.
(e)
Issuance of optional expedited authorization must demonstrate full compliance with the minimum standards established under this part and fulfill all of the requirements for the institution's state authorization.
(f)
Institutions satisfying the requirements of this section and receiving optional expedited authorization shall not be subject to any other authorization requirements under this part, but remain subject to §§
49-7-2012
,
49-7-2013
,
49-7-2014
,
49-7-2015
,
49-7-2016
, and
49-7-2018
.
(g)
To assist the commission with its duty of consumer protection, any institution receiving optional expedited authorization under this section shall:
(1)
Timely report to the commission any illegal or unethical conduct by employees, agents, contractors, or third-party service providers related to the delivery of educational programs and services to students, including any corrective action and remedies taken by the institution;
(2)
Notify the commission, within five (5) business days, of:
(A)
An action taken by an accrediting agency with regard to the institution's accreditation status, including revocation, suspension, probation, warning, or similar action;
(B)
The institution's receipt of notice of legal action involving the institution, or its parent entity if applicable, and Tennessee students, related to the delivery of educational programming or student or consumer practices, including class action lawsuits;
(C)
The institution's use of a letter of credit or a cash management agreement with the United States department of education;
(D)
A governmental agency's public announcement of an investigation of the institution. The institution shall notify the commission whether the investigation is related to the institution's academic quality, financial stability, or student or consumer practices;
(E)
A change of ownership; or
(F)
A change of institutional director;
(3)
Provide any information requested by the commission necessary to monitor the institution's eligibility for optional expedited authorization;
(4)
Provide complaint resolution policies and procedures to the institution's students, and cooperate with the commission in the investigation or resolution of student complaints; and
(5)
Provide the following data, subject to the commission's requirements:
(A)
Student-level data on enrollment and credential attainment;
(B)
Job placement data;
(C)
Costs of attendance;
(D)
Federal student cohort default rates; and
(E)
A comprehensive list of all programs offered at the institution.
(h)
Optional expedited authorization remains available only to those institutions maintaining the eligibility standards required under this section. Optional expedited authorization must be issued to the owner or governing body of the applicant institution and is nontransferable. If the institution's ownership changes, then the new owner or governing body must apply for a new authorization as provided for by the commission. The commission shall terminate an institution's authorization if the institution fails to apply for a new authorization following a change in the institution's ownership.
(i)
The commission may revoke, or make conditional, an issued optional expedited authorization for:
(1)
Loss of, or failure to meet, any of the listed criteria for authorization in subsection (b);
(2)
Just cause; or
(3)
Failure to fulfill the requirements in subsection (g).
(j)
Immediately upon the commission's revocation of an institution's optional expedited authorization, the institution is subject to all remaining provisions of this part, applicable administrative rules and procedures for issuance of authorization, and must reapply for authorization under §
49-7-2008
. An institution for which the commission revokes an optional expedited authorization is ineligible to reapply for optional expedited authorization until the commission determines that the institution has resolved each of the grounds for revocation.
(k)
The commission may investigate any signed student complaint involving postsecondary educational institutions authorized under this section; provided, however, that initial responsibility for the investigation and resolution of complaints resides with the institution against which the complaint is made. Once the institution's complaint process is exhausted, the commission may investigate and coordinate resolution of any student complaint with the assistance of other government agencies, as necessary.
(l)
The commission shall develop, and make available on its website, graduation rates and statistics on credential attainment for institutions authorized under this section and include a hyperlink on its website to each institution's website.
(m)
An institution authorized under this section shall develop and make available to the public on the institution's website the most up-to-date version of the following information:
(1)
Costs of attendance;
(2)
Information on whether academic credits attained are transferable to other institutions operating in Tennessee;
(3)
Executed articulation and transfer of credit agreements with other institutions operating in Tennessee, if applicable; and
(4)
Federal student cohort default rates.
Amended by 2022 Tenn. Acts, ch. 1044, s 32, eff. 7/1/2022.
Amended by 2019 Tenn. Acts, ch. 82, s 2, eff. 7/1/2019.
Amended by 2018 Tenn. Acts, ch. 790, Secs.s 7, s 8, s 9, s 10, s 11, s 12, s 13 eff. 4/20/2018.
Added by 2016 Tenn. Acts, ch. 868, s 3, eff. 10/1/2016.