Revises licensure process for out-of-State institutions of higher education.

S3814 SHI Statement 3/16/26

SENATE HIGHER EDUCATION COMMITTEE

STATEMENT TO

SENATE, No.
3814

with
committee amendments

STATE
OF NEW JERSEY

DATED:
�MARCH
16, 2026

����� The Senate Higher Education Committee reports
favorably and with committee amendments Senate Bill No. 3814.

����� As amended, this bill requires an out-of-State
institution seeking to offer a college credit-bearing course, academic degree
completion program, or complete academic degree program with a physical
presence in the State to petition the Secretary of Higher Education (secretary)
for licensure.�

����� The bill details the specific information that is
required to be included in the licensure petition.� The bill also requires that
an impact analysis of the proposed course or program be included in the
petition.� The analysis will consider issues such as the unmet demand in the
State for the course or program and its impact on clinical placements and
supervisor availability to students enrolled in existing in-State programs.� ����������� �

����� The bill directs the secretary to review all licensure
petitions and distribute a brief summary of the petition�s content, and
information on how to access the petition on the website of the Office of the
Secretary of Higher Education, to all institutions of higher education in the
State, and provide an opportunity for public comment.� The secretary would then
send the petition and all comments received on the petition to the New Jersey
Presidents� Council for review and recommendation to the secretary within 60
days of receipt of the information.� Finally, after considering the
recommendation of the New Jersey Presidents� Council, the secretary is required
to issue a final determination on the petition.� The secretary is directed to license
only those institutions that meet all the petition requirements and whose
proposed offerings:

�

meet State standards of quality and provide a plan for the
ongoing monitoring of student outcomes;

�

are fiscally viable;

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serve a demonstrable need and demonstrate that the proposed
course or program will not unduly impact existing in-State programs; and

�

are in accordance with the comprehensive Statewide plan for
higher education required under current law, if applicable.�

����� The bill requires the secretary to prepare an annual
report on the petitions submitted pursuant to this bill, detailing the number
of petitions reviewed, their outcomes, and summarizing recommendations provided
by the New Jersey Presidents� Council.�

����� Under the bill, each out-of-State institution licensed
to provide a course or program in the State is required to provide an annual
report to the secretary.� The report would include certain information on
enrollment, program and faculty changes, student outcomes, and clinical and
field placements.�

����� The bill directs the secretary to ensure that an
out-of-State institution licensed to provide a course or program in the State
meets a minimum acceptable level of performance, as determined by the
secretary.� The secretary may suspend or revoke the institution's license if
the secretary determines the out-of-State institution:

�

fails to meet the minimum acceptable level of performance;

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misrepresents data submitted to the secretary or fails to meet
reporting standards; or

�

adversely impacts the access of students enrolled in an in-State
institution of higher education to clinical and field placements.

����� Current regulations promulgated by the Office of the
Secretary of Higher Education have established a process for the approval of
courses and programs offered in New Jersey by out-of-State institutions.� This
bill revises that process.

�����

COMMITTEE AMENDMENTS
:

����� The committee amended the bill to:

�

modify a requirement that the petition for licensure include documentation
demonstrating that any academic program intended to prepare students for
professional licensure or certification in the State is designed to meet the
educational requirements of the applicable State licensing or certification
authority;

�

specify that the secretary will send the petition and comments
from other institutions of higher education related to the petition to the New
Jersey Presidents� Council within 60 days of receipt of the information;

�

provide that a license authorized pursuant to the bill will be
for a period not exceeding three years for the initial license and may be
subsequently reauthorized for a period not exceeding five years; and

�

remove a provision in the bill that excluded proprietary
information within a petition from the secretary�s annual report on petitions
and from disclosure through the open public records act.