Senate Bill 685 Summary

• Establishes a State Board of Proprietary Schools consisting of seven members (including the President of the NC Community College System, two gubernatorial appointees, and four General Assembly appointees) to regulate proprietary school licensing and operations.

• Creates an Office of Proprietary Schools under the State Board's direction with an executive director and staff funded through fees in the Commercial Education Fund.

• Transfers proprietary school regulatory authority from the President of the Community College System to the newly created State Board of Proprietary Schools for licensing, inspections, and enforcement.

• Designates the State Board of Proprietary Schools as the Student Protection Fund Advisory Committee to oversee a fund compensating students for losses when proprietary schools cease operations or lose licensure.

• Becomes effective January 1, 2012, with board appointments required within 30 days and two positions in the Community Colleges System Office terminated effective July 1, 2011.