AI-assisted research summary: A proprietary school must disclose specified cost, completion, placement, and related information to the student and the college student aid commission before the student becomes obligated to pay.
1. For purposes of this section, “proprietary school” means the same as defined in section 714.23, subsection 1. 2. A proprietary school shall, prior to the time a student is obligated for payment of any moneys, inform the student and the college student aid commission of all of the following: a. The current total cost of the postsecondary educational program as charged by the proprietary school. b. An estimate of fees that may be charged to the student by others in order to obtain a recognized educational credential, including but not limited to fees for examination or licensure. c. The percentage of students who successfully complete the postsecondary educational program and the percentage who terminate prior to completing the postsecondary educational program in accordance with paragraph “e”. d. If claims are made by the proprietary school as to successful placement of students in jobs upon completion of the proprietary school’s postsecondary educational programs, the proprietary school shall, in accordance with paragraph “e”, provide the student with all of the following: (1) The percentage of graduating students who were placed in jobs in fields related to the postsecondary educational programs. (2) The percentage of graduating students who went on to further education immediately upon graduation. (3) The percentage of students who, ninety days after graduation, were without a job and had not gone on to further education. (4) The method by which the proprietary school collected and verified the validity of data provided in accordance with this paragraph “d”. e. Information provided by the proprietary school in accordance with paragraph “c” and, if applicable, paragraph “d”, shall include all of the following additional data: (1) The applicable program name and the normal length of time required to complete the program. (2) The total number of students in the cohort for which data is reported and the year in which the students began the program. (3) The percentages of students that met the conditions described in paragraph “c” and, if applicable, paragraph “d”, by the most recent ending date for program completion in each of the school’s programs. f. If claims are made by the proprietary school as to income levels of students who have graduated and are working in fields related to the proprietary school’s postsecondary educational programs, the proprietary school shall inform the student of the method used to derive such information. 3. A proprietary school that is initiating operation for the first time is exempt from data reporting under subsection 2, paragraphs “c” and “d”, until the school’s first biennial renewal application under section 714.24, subsection 5. 4. This section shall not apply to any of the following: a. A proprietary school that is eligible for federal student financial aid under Tit. IV of the federal Higher Education Act of 1965, as amended. b. A person described in section 714.23, subsection 11. 88 Acts, ch 1274, §47; 89 Acts, ch 296, §87; 90 Acts, ch 1222, §4; 2007 Acts, ch 10, §182; 2012 Acts, ch 1077, §19; 2021 Acts, ch 158, §10 Referred to in §261G.4, 714.21A, 714.24