(a) The coordinating board shall approve only those private or independent colleges or universities that are private or independent institutions of higher education as defined by § 61.003 or are located within this state and meet the same program standards and accreditation as public institutions of higher education as determined by the board.
(b) The coordinating board may temporarily approve a private or independent institution of higher education as defined by § 61.003 that previously qualified under Subsection (a) but no longer holds the same accreditation as public institutions of higher education. To qualify under this subsection, an institution must be:
(1) accredited by an accreditor recognized by the board;
(2) actively working toward the same accreditation as public institutions of higher education;
(3) participating in the federal financial aid program under 20 U.S.C. § 1070a; and
(4) a “part B institution” as defined by 20 U.S.C. § 1061(2) and listed in 34 C.F.R. § 608.2.

(c) The coordinating board may grant temporary approval for a period of two years and may renew the approval twice.
(d) The coordinating board shall approve a private or independent institution of higher education as defined by § 61.003 that previously qualified under Subsection (a) but no longer holds the same accreditation as public institutions of higher education. To qualify under this subsection, an institution must be:
(1) accredited by an accreditor recognized by the board;
(2) a work college, as that term is defined by 20 U.S.C. § 1087-58; and
(3) participating in the federal financial aid program under 20 U.S.C. § 1070a.