MN SF4497

Establishes termination procedures requiring 90-day notice before the office can terminate an institution's eligibility to participate in state student aid programs, with opportunity for hearing under chapter 14.

Increases annual registration renewal fee from $1,200 to $2,000 for postsecondary institutions and creates new $500 student complaint fee for institutions with more than five complaints per year.

Modifies surety bond requirements for institutions in financial distress, changing calculation methods and establishing priority order for using closure funds: data destruction, state aid reimbursement, student refunds, veteran benefits, and administrative costs.

Expands institutional approval criteria to include mandatory predispute arbitration clause prohibition, student complaint processes, cooperation with office monitoring, and strengthens risk analysis metrics for detecting institutions vulnerable to closure.

Adds three-tier processing fee structure ($750-$7,500) for in-state institutions participating in interstate reciprocity agreements for distance education, based on full-time enrollment levels.