Arizona Laws 32-3072. Student tuition recovery fund
A. The student tuition recovery fund is established and shall be administered by the board. A person who is injured by a private postsecondary education institution ceasing operations may recover from the fund an amount that does not exceed the actual damages sustained.
Terms Used In Arizona Laws 32-3072
- Assessment: means the amount a private postsecondary education institution is required to pay to the student tuition recovery fund. See Arizona Laws 32-3071
- Board: means the state board for private postsecondary education. See Arizona Laws 32-3001
- Ceasing operations: means that a private postsecondary education institution has stopped offering educational courses or programs to the public for any reason. See Arizona Laws 32-3071
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Distance learning instruction: means a written correspondence or online education program for students who are enrolled in an institution licensed under this chapter. See Arizona Laws 32-3071
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Fund: means the student tuition recovery fund. See Arizona Laws 32-3071
- institution: means an educational institution that is subject to licensure under this chapter. See Arizona Laws 32-3071
- Newly enrolled student: means a student who is enrolling with a private postsecondary education institution for the first time. See Arizona Laws 32-3071
- Person: includes a corporation, company, partnership, firm, association or society, as well as a natural person. See Arizona Laws 1-215
- Prepaid tuition: means monies that are advanced to an educational institution before the educational institution provides its service. See Arizona Laws 32-3071
- Total course cost: means the tuition and other fees that are charged by the private postsecondary education institution for each course offered. See Arizona Laws 32-3071
B. Each private postsecondary education institution that collects prepaid tuition shall annually pay an assessment to the board for each newly enrolled student in an amount equal to the sum of two-tenths of one percent of the total course cost for each newly enrolled student, not to exceed $10 per student. A private postsecondary education institution is not required to pay more than $25,000 per annual assessment period. A private postsecondary education institution is not required to pay assessments for newly enrolled students who are not residents of this state and for whom the institution has paid a student tuition recovery fund assessment or an assessment to a similar fund in the student’s state of residence. A private postsecondary education institution is not required to pay assessments for students who are not residents of this state and who are enrolled in distance learning instruction.
C. If on June 30 of any year the balance in the fund exceeds $500,000, and on notice by the board to institutions, only institutions and schools that are newly or provisionally licensed during or after that fiscal year then ended shall pay the assessment.