ARTICLE 20.6. Office of Student Assistance and Relief [94949.7 - 94949.8]
( Article 20.6 added by Stats. 2016, Ch. 593, Sec. 27. )
There is hereby established an Office of Student Assistance and Relief for the purpose of advancing and promoting the rights of prospective students, current students, or past students of private postsecondary educational institutions.
(Added by Stats. 2016, Ch. 593, Sec. 27. (SB 1192) Effective January 1, 2017. Repealed as of January 1, 2027, pursuant to Section 94950.)
(a) The duties of the office shall be vested in a chief, who shall be appointed by the director. The chief, and each staff employee of the office, shall have experience and expertise, commensurate with his or her position, advocating on behalf of students and consumers and shall have knowledge in the state and federal laws governing student protection, student financial aid and loan programs, and the policies and practices of private postsecondary educational institutions.
(b) For purposes of this article, “office” means the Office of Student Assistance and Relief.
(Added by Stats. 2016, Ch. 593, Sec. 27. (SB 1192) Effective January 1, 2017. Repealed as of January 1, 2027, pursuant to Section 94950.)
Duties of the office shall include all of the following:
(a) Conducting outreach and providing information and assistance to students who have been affected by the unlawful activities or closure of an institution regarding their rights under state and federal law, including information about how and where to file a complaint, and to ensure that those students successfully access available state and federal relief programs. No later than July 1, 2017, the office shall prioritize and immediately conduct the activities outlined in Section 94949.73.
(b) Serving as a primary point of contact to address the needs of private postsecondary education students and
working in consultation with state and federal agencies, including, but not limited to, the Student Aid Commission, the Office of the Chancellor of the California Community Colleges, the Department of Veterans Affairs, the federal Consumer Financial Protection Bureau, and the United States Department of Education.
(c) The office may also conduct both of the following activities:
(1) Provide outreach to students and prospective students to provide them with, among other information, information on making informed decisions in selecting postsecondary educational institutions, student rights regarding school performance disclosures, enrollment agreements, and cancellation and refund policies, how to contact the office and the bureau for assistance, student loan rights and assistance, and free nonprofit community based resources.
(2) Conduct data and information research concerning industry trends and enforcement actions from various sources, including, but not limited to, annual reports provided to the bureau pursuant to Section 94934, the United States Department of Education, accrediting agencies, and the California Department of Veterans Affairs to help determine the trends and potential violations of the act. The office shall advise the director and bureau chief of its findings.
(d) The office shall provide, pursuant to Section 9795 of the Government Code, to the Legislature an annual written update regarding the office’s progress in protecting students and conducting the duties of the office.
(Added by Stats. 2016, Ch. 593, Sec. 27. (SB 1192) Effective January 1, 2017. Repealed as of January 1, 2027, pursuant to Section 94950.)
(a) The office shall provide individualized assistance to students to relieve or mitigate the economic and educational opportunity loss incurred by those students who attended a Corinthian Colleges, Inc., institution or other eligible institution.
(b) Specific services provided by the office shall include all of the following:
(1) Outreach and education to students regarding the assistance available from the office.
(2) Screening requests for assistance received by the office and providing individualized assistance to help students determine their relief eligibility, identify and obtain necessary documents, complete and submit
applications, and provide additional services as necessary.
(c) For purposes of this section, “other eligible institution” means an institution identified by the office whose unlawful activities or closure has resulted in its students being eligible for repayment from the Student Tuition Recovery Fund, debt relief from the United States Department of Education, or other student financial aid relief.
(d) (1) The office shall quarterly report by posting on the bureau’s internet website, through September 1, 2018, on all of the following:
(A) A summary of the outreach and education activities conducted by the office pursuant to the requirements of paragraph (1) of subdivision (b) and the number of students served from Corinthian Colleges, Inc., institutions and every other eligible institution.
(B) A detailed summary of services provided to those students, as follows:
(i) The number of students assisted with submitting Student Tuition Recovery Fund claims to the bureau by the office, and of the claims submitted, the number that are pending, on appeal, or have been approved or denied. For the claims that have been approved, the office shall report the amount of student loans canceled, the total of student loans paid off, the total amount of cash reimbursed to students, and the total amount of educational credit granted.
(ii) The number of students assisted with submitting federal loan forgiveness claims, and of the claims submitted, the number of those claims that are pending, on appeal, or have been approved or denied. For the claims that have been approved, the office shall report the estimated total in
student loans canceled and the total amount of funds refunded to students.
(iii) The number of students assisted with private student loan relief, other than through Student Tuition Recovery Fund claims, and a summary of assistance provided and relief outcomes obtained.
(iv) The number of students whom the office helped to obtain income-dependent repayment plans on their federal loans, and of those students, the number of students helped out of default on the federal loans through consolidation or rehabilitation.
(2) The office shall provide, pursuant to Section 9795 of the Government Code, the Legislature, the department, and the bureau a final report summarizing the information submitted pursuant to paragraph (1) by January 1, 2019.
(Amended by Stats. 2023, Ch. 510, Sec. 104. (SB 887) Effective January 1, 2024. Repealed as of January 1, 2027, pursuant to Section 94950.)
(a) An institution that qualifies as a public institution of higher education pursuant to subdivision (b) of Section 94858.5, that is operated by another state, and that maintains a physical presence in this state may apply for an approval to operate from the bureau.
(b) (1) With regard to a public institution of higher education approved pursuant to this section, the bureau shall administer and enforce this chapter, and the regulations adopted pursuant to this chapter, in the same manner and to the same extent as if such institutions were private postsecondary educational institutions, as defined in Section 94858.
(2) A public institution of higher education approved pursuant to this section is subject to the provisions of, and the regulations adopted pursuant to, this chapter in the same manner and to the same extent as if it was a private postsecondary educational institution, as defined in Section 94858, including the provisions related to fees, annual reports, compliance inspections, and the Student Tuition Recovery Fund.
(3) Approval of a public institution of higher education pursuant to this section does not, in and of itself, qualify the institution for participation in the Cal Grant Program established pursuant to Chapter 1.7 (commencing with Section 69430) of Part 42 of Division 5.
(c) As necessary or appropriate, the bureau shall publish public guidance regarding the application of this chapter and the regulations adopted pursuant to this chapter to a public institution of higher education approved pursuant to this section. The bureau’s development and publication of any such guidance is exempt from the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code. The bureau shall, on or before July 1, 2024, amend any regulations that conflict with this section.
(Added by Stats. 2022, Ch. 544, Sec. 19. (SB 1433) Effective January 1, 2023. Repealed as of January 1, 2027, pursuant to Section 94950.)