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A bill for an act
relating to higher education; requiring postsecondary institutions to report
enrollment fraud to the Office of Higher Education; requiring a report; proposing
coding for new law in Minnesota Statutes, chapter 136A.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
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[136A.052] ENROLLMENT FRAUD.
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Subdivision 1.
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Applicability.
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(a) This section applies to the following postsecondary
institutions:
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(1) institutions governed by the Board of Trustees of the Minnesota State Colleges and
Universities; and
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(2) private postsecondary institutions that are eligible institutions as defined in section
136A.103, paragraph (a), that are participating in the federal program under Title IV of the
Higher Education Act of 1965, Public Law 89-329, as amended.
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(b) Institutions governed by the Board of Regents of the University of Minnesota are
requested to comply with this section.
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Subd. 2.
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Definitions.
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(a) For purposes of this section, the following terms have the
meanings given.
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(b) "Commissioner" means the commissioner of the Office of Higher Education.
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(c) "Enrollment fraud" includes any act of intentional deception or misrepresentation
for the purpose of accessing financial aid, campus information technology systems, or
student support systems at a postsecondary institution.
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(d) "Purported student" means an actor engaged in or attempting to engage in enrollment
fraud.
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Subd. 3.
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Duty to report fraud.
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(a) A postsecondary institution that detects an instance
of enrollment fraud must report that instance to the commissioner within 30 days of the
detection.
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(b) An institution's report to the commissioner under paragraph (a) must include, at
minimum:
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(1) the amount of state financial aid for which the purported student qualified; and
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(2) the amount of state financial aid disbursed before the institution detected the
enrollment fraud, if any.
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Subd. 4.
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Commissioner's report.
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(a) The commissioner shall report annually beginning
July 15, 2027, to the chairs and ranking minority members of the legislative committees
with jurisdiction over higher education on the number of instances of enrollment fraud at
postsecondary institutions. The report must include:
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(1) the total number of enrollment fraud instances reported statewide;
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(2) the total amount of state financial aid purported students attempted to claim; and
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(3) the total amount of state financial aid disbursed to purported students.
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(b) Data must be disaggregated by institution, institution type, program type, and any
other facts determined to be relevant by the commissioner.
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