MI SB0221

Establishes the "Higher Education Authorization and Distance Education Reciprocal Exchange Act" to allow Michigan colleges and out-of-state institutions to provide distance education to Michigan residents through reciprocal agreements with other states or higher education compacts.

Designates the Department of Licensing and Regulatory Affairs to negotiate reciprocal agreements, authorize participating institutions, and collect application and renewal fees ($2,000 for in-state institutions, $5,000 for out-of-state institutions).

Requires participating colleges and out-of-state providers to ensure students receive paid services or receive financial compensation if courses are terminated early, protect student records, adopt written complaint policies, and meet 2009 Council of Regional Accrediting Commissions distance education standards.

Empowers the department to limit, suspend, deny, or revoke authorizations for violations, assess administrative fines up to $1,000 per violation (maximum $5,000 for multiple violations from same transaction), and order restitution to affected students.

Sunsets the act on September 30, 2017, with an effective date of June 9, 2015.