EMERGENCY RULES An agency may adopt a new or amended section or repeal an existing section on an emergency basis if it determines that such action is necessary for the public health, safety, or welfare of this state. The section may become effective immediately upon filing with the Texas Register, or on a stated date less than 20 days after filing and remaining in effect no more than 120 days. The emergency action is renewable once for no more than 60 additional days. Symbology in amended emergency sections. New language added to an existing section is indicated by the use of bold text. [Brackets] indicate deletion of existing material within a section. TITLE 19. EDUCATION Part I. Texas Higher Education Coordinating Board Chapter 7. Texas State Postsecondary Review Program Subchapter C. State Review Standards and Procedures 19 TAC sec.7.42 The Texas Higher Education Coordinating Board adopts on an emergency basis an amendment to sec.7.42. The reason for emergency adoption is the requirement of federal law requiring the adoption of the rule on fewer than 30 days notice. It is anticipated that the Secretary of Education will approve the review standards of the TXSPRE by May 1. Title IV, Part H, Subpart 1 of the Higher Education Act of 1965 requires the TXSPRE to begin to conduct reviews of referred institutions upon approval of state review standards by the Secretary of Education. The amendment to the rule is proposed under Texas Education Code, sec.61.051. sec.7.42. State Review Standards. If an institution has been identified for review based on referral by the Secretary under sec.7.21 of this title (relating to Reviews Based on Secretary Referral)
    or selection by the Board under sec.7.22 of this title (relating to Reviews Initiated by the Board)
      , it shall be reviewed on the basis of the following standards, compliance guidelines, and referenced regulations. (1) Catalogs and Other Documents. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668, Subpart D, 34 Code of Federal Regulations, sec.668, 16(h), and HEA 485(a)
        [See subparagraph (2)(C) of this section (Review Standard Number 2)]. (2) Courses and Programs. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, Subpart F
          [sec.668.14(b)(9)(10)(i) (59 FedReg 22426 (1994)); 34 Code of Federal Regulations, Subpart D, sec.sec.668.41-668.44 (1993); 34 Code of Federal Regulations, Subpart F, ssec.668.71-668.74 (1993); and 20 United States Code, sec.1092(a) (1994) (HEA, Part G, sec.485(a))]. (3) Admissions Standards. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668.7(b) [(1993); 34 Code of Federal Regulations, sec.600.5 (59 FedReg 22337 (1994)); and 34 Code of Federal Regulations, sec.600.7 (59 FedReg 22339 (1994))]. (4) Academic Progress. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668.7(c) and 34 Code of Federal Regulations, s668.16(e)
            [sec.667.21(b)(3) (59 FedReg 22295 (1994)); 34 Code of Federal Regulations, sec.668.7(c) (1993); and 34 Code of Federal Regulations, sec.668.16(e) (59 FedReg 22431 (1994))]. (5) Student Records. (A) Review Standard Number 5. The institution shall maintain records for each student that include: (i) transcripts that contain a student's name, address, and social security number; (ii) dates of attendance and completion or termination; (iii) a copy of the enrollment agreement (if any); (iv) a record of all courses (including remedial courses) taken at the institution; (v) a record of any credit granted; (vi) the total number of credit or clock hours of instruction received; (vii) grades and dates of enrollment for each course or unit of instruction; (viii) cumulative grade for completed work; (ix) an explanation of the grading system; (x) financial aid records; and (xi) other such [student] records as prescribed by federal laws and regulations. (B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668.23(h) and 34 Code of Federal Regulations, s668.36
              [sec.667.21(b)(3) (59 FedReg 22295 (1994)); 34 Code of Federal Regulations, sec.668.23(h)(1) to sec.668.24 (59 FedReg 22440- 22441 (1994)); and 34 Code of Federal Regulations, sec.668.36 (1993).] (6) Safety. (A)-(B) (No change.) (C) References. None [are cited]. (7) Financial and Administrative Adequacy. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668.15 and 34 Code of Federal Regulations, sec.668.16
                [(59 FedReg 22428-22431 (1994)); 34 Code of Federal Regulations, sec.668.16 (59 FedReg 22431-22433 (1994)); 34 Code of Federal Regulations, s668.23 (59 FedReg 22439 (1994)); and 34 Code of Federal Regulations, s668.82 (59 FedReg 22444 (1994))]. (8) Closure Plan. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668.15[(d)-(e) (59 FedReg 22428 (1994))]. (9) Cost/Benefits. (A) Review Standard Number 9. This standard applies to vocational programs with certificates or degrees less than a baccalaureate degree, obtainable through courses of study less than four years in length, which have as their objective preparing students for gainful employment in specific recognized occupations. For each of these programs, the institution shall obtain and make available to students information regarding the total costs of tuition and fees for completing the program and the average remuneration an employee earns in the occupation for which the program is designed to prepare the student. (i) (No change.) (ii) See Review Standard Number 11 for length of course; see Review Standard Number 17 for placement rates; and for quality of training, see sec.7.62 of this title (relating to Peer Review Standards)
                  . (B) Compliance Guideline Number 9. The institution shall be considered in compliance if the sum of tuition and fees charged to complete the program is not greater than two-thirds of the average earnings for the occupation based on Texas verified NOICC
                    [state or regional data]. For programs one year or less, the earnings period shall be one year. For programs longer than one year, the earnings period shall be the same length as the vocational program. (C) References. 34 Code of Federal Regulations, sec.600.4, 34 Code of Federal Regulations, sec.600.5, 34 Code of Federal Regulations, sec.600.6, and 34 Code of Federal Regulations, sec.668.14(b)(26)
                      [34 Code of Federal Regulations, sec.600.2 (59 FedReg 22336 (1994)); 34 Code of Federal Regulations, sec.sec.600.4-600.6 (59 FedReg 22337-22341 (1994)); and 34 Code of Federal Regulations, sec.668.14(b)(26) (59 FedReg 22427 (1994))]. (10) Occupational Information. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668.14(b)(10) and 34 Code of Federal Regulations, sec.668.74
                        [(i)-(ii) (59 FedReg 22426 (1994))]. (11) Program Length. (A)-(C) (No change.) (D) References. 34 Code of Federal Regulations, sec.668.8 [(a)-(e)(iv) and sec.668.8(k)-(l) (59 FedReg 22421 (1994))]. (12) 600-Clock Hour Programs. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668.8(d) [-(e)(iv) (59 FedReg 22421 (1994))]. (13) Legal Qualifications. (A) Review Standard Number 13. The institution shall not have an owner, chief executive officer, [member of a governing board,] or shareholder (if applicable) who has been: (i)-(iii) (No change.) (B) Compliance Guideline Number 13. The institution shall be considered in compliance if it provides current notarized certification that no owner, chief executive officer, shareholder [or board member] has been either convicted of, or pled nolo contendere or guilty to, a crime involving the misappropriation, misuse, acquisition, use, or expenditure of funds; judicially determined to have committed fraud involving funds; or found liable in a civil proceeding for misappropriation with misuse of funds. (C) References. 34 Code of Federal Regulations, sec.668.14(b)(18), 34 Code of Federal Regulations, s668.15(c)(1)(i), and 34 Code of Federal Regulations, s668.82(d)
                          [sec.600.7(a)(3) (59 FedReg 22339 (1994)); 34 Code of Federal Regulations, sec.600.30(a)(7) (59 FedReg 22343 (1994)); 34 Code of Federal Regulations, sec.668.14(b)(18) (59 FedReg 22426 (1994)); 34 Code of Federal Regulations, sec.668.15(c)-(d) (59 FedReg 22428 (1994)); and 34 Code of Federal Regulations, sec.668.82(a)-(c) (59 FedReg 22450 (1994))]. (14) Institutional Complaints Procedures. (A)-(B) (No change.) (C) References. None
                            [34 Code of Federal Regulations, sec.667. 21(b)(3) (59 FedReg 22295 (1994))]. (15) Advertising, Promotion, and Recruitment. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668.14(b)(10), 34 Code of Federal Regulations, sec.668.14(b)(22), and 34 Code of Federal Regulations, s668, Subpart F
                              [ ssec.668.71-668.74 (1993); 34 Code of Federal Regulations, s668.14(b)(10) (59 FedReg 22426 (1994)); and 34 Code of Federal Regulations, s668.14(b)(22) (59 FedReg 22427 (1994))]. (16) Refund Policies. (A)-(B) (No change.) (C) References. 34 Code of Federal Regulations, sec.668.22 and 34 Code of Federal Regulations, sec.668, Appendix A
                                [(59 FedReg 22436 (1994)); and 34 Code of Federal Regulations, Appendix A to Part 668 (59 FedReg 22453 (1994))]. (17) Success Standards. (A) (No change.) (B) Compliance Guideline Number 17. (i) Compliance Guideline (Completion/Graduation) (I) With regard to programs [equal to or] less than 600 clock hours, the reviewed institution shall be considered in compliance if its most recently calculated completion/graduation rate meets or exceeds the Secretary's requirements. (II) With regard to [Coordinating] Board approved associate degree and [Coordinating] Board approved certificate programs greater than or equal to
                                  600 clock hours, the reviewed institution shall be in compliance if its most recently calculated completion/graduation rate meets or exceeds the standards established in the [Coordinating] Board's technical education guidelines and the Community and Technical Colleges Division performance measures for institutional effectiveness
                                    [Performance Measures and Core Standards for Postsecondary Technical Education Programs], as revised. (III) With regard to all other programs, the reviewed institution shall be considered in compliance if its most recently calculated completion/graduation rate is equal to or greater than 85% of the median of similar institutions in the state or region, as classified by the [Coordinating] Board. (ii) Compliance Guideline (Withdrawal) The institution shall be considered in compliance if its withdrawal rate is [in compliance with federal requirements, which currently is] equal to or less than 33%. (iii) Compliance Guideline (Placement Rate) The institution shall be considered in compliance if, with respect to its vocational and professional programs, the placement rate of graduates in occupations related to their educational programs is equal to or greater than the following: Programs greater than or equal to
                                      600 clock hours-60% and programs [equal to or] less than 600 clock hours-70%. Related programs and occupations will be determined by reference to the Texas-verified NOICC Master Crosswalk. (iv) Compliance Guideline (Licensure Examination Pass Rate). The institution shall be considered in compliance if, for appropriate programs of study, the licensure examination pass rate for two of the past three years equals or exceeds national or state rates for the examination. (C) References. 34 Code of Federal Regulations, sec.668.8(e) (f) and (g), 34 Code of Federal Regulations, s668.16(I), HEA 485(a)(1)(L), and HEA 485(a)(3)
                                        [(h) (59 FedReg 22421 (1994)); 34 Code of Federal Regulations, sec.668.16(l) (59 FedReg 22431 (1994)); and 20 Code of Federal Regulations, s1092(a) (1994) Student Right-to-Know Act of 1990, as amended HEA, Part G, sec.485(a)]. Issued in Austin, Texas, on May 30, 1995. TRD-9506597 James McWhorter Assistant Commissioner for Administration Texas Higher Education Coordinating Board Effective date: June 1, 1995 Expiration date: September 29, 1995 For further information, please call: (512) 483-6160