SPS 404.04SPS 404.04 Criteria for approval of schools and programs of instruction. SPS 404.04(1)(a)(a) The program, curriculum and instruction must be of such quality, content and length as may reasonably and adequately achieve the stated objective for which offered and comparable to similar programs in approved schools. SPS 404.04(1)(b)(b) The administrators and instructors of the school shall have suitable educational qualifications and experience, and be of good reputation and character. SPS 404.04(1)(c)(c) The school shall have a sufficient number of instructors to provide adequate student-teacher ratios. SPS 404.04(1)(cm)(cm) The school shall demonstrate that its instructors have the occupational, academic and teaching qualifications needed for the programs they teach. SPS 404.04(1)(d)(d) The approval of programs, which are innovative and not comparable to currently approved private or public programs, shall be based on demonstrable quality and documented labor market needs, a description of the program development process and evidence of third-party review. SPS 404.04(2)(2) Facilities. The school shall have adequate space, suitable and sufficient equipment, and sufficient and appropriate instructional materials to carry out its program. SPS 404.04(3)(3) Advertising. All advertising and promotional materials shall be consistent with the requirements set forth in ch. SPS 405. SPS 404.04(4)(4) Refund policy. The school shall have a policy for refund of unused portions of tuition, fees and other charges at least equal to the established minimum standards as set forth in ch. SPS 408. SPS 404.04(5)(a)(a) A school may not deny enrollment to any student, or make any distinction or classification of students, solely on account of sex, race or creed. SPS 404.04(5)(b)(b) A school must make reasonable accommodations for students and employees with disabilities. SPS 404.04(6)(6) The school must be shown to be in sound financial condition. SPS 404.04(7)(a)(a) A school shall have procedures to evaluate its educational programs, improve instruction and review overall operations. SPS 404.04(7)(b)(b) Evaluations shall include student, alumni and employer feedback on the effectiveness of the curriculum. SPS 404.04(7)(c)(c) The school shall provide annual enrollment information, using its definitions, delineating number of dropouts, completers, graduates and employed. SPS 404.04 HistoryHistory: Cr. Register, December, 1972, No. 204, eff. 1-1-73; am. (3) (a) and (5), cr. (8), Register, June, 1990, No. 414, eff. 7-1-90; renum. from EAB 5.06, am. (1) (a), (b), (c), (2), r. (1) (d), (3), (6) and (8), cr. (1) (d), (5), (7) and (8), renum. (4), (5) and (7) to be (3), (4) and (6) and am., Register, October, 1997, No. 502, eff. 12-1-97; CR 02-135: r. (8) Register April 2003 No. 568, eff. 5-1-03; CR 03-126: cr. (1) (cm) Register May 2004 No. 581, eff. 6-1-04; correction in (3), (4) made under s. 13.92 (4) (b) 7., Stats., Register November 2017 No. 743. SPS 404.05SPS 404.05 Approval of subjects and programs on a credit basis. SPS 404.05(1)(1) A school may measure a program in degree credits if: SPS 404.05(2)(2) A school may measure a program in vocational credits if the program was approved in vocational credits. SPS 404.05(3)(3) A school which seeks approval to offer a new or revised program on a credit basis shall: SPS 404.05(3)(b)(b) Specify on the application for approval whether the school uses quarter or semester credits; SPS 404.05(3)(c)(c) Specify on the application for approval whether the school desires to use degree credits or vocational credits; and SPS 404.05(4)(4) A school which seeks approval to convert an approved program from hours to credits shall: SPS 404.05(4)(b)(b) Specify on the application for approval whether the school uses quarter or semester credits; SPS 404.05(4)(c)(c) Specify on the application for approval whether the school desires to use degree credits or vocational credits; and SPS 404.05(5)(5) In addition to meeting the requirements in sub. (3) or (4) as appropriate, a school which seeks approval of a program measured on a quarter credit basis shall: SPS 404.05(5)(a)(a) Award one quarter credit for no fewer than 10 hours of lecture, plus 20 hours of outside preparation or the equivalent. SPS 404.05(5)(b)(b) Award one quarter credit for no fewer than 20 hours of laboratory work plus necessary outside preparation. SPS 404.05(5)(c)(c) Award one quarter credit for no fewer than 30 hours of shop. SPS 404.05(5)(d)(d) Award one quarter credit for no fewer than 30 hours of off-campus practical training such as a residency, externship, internship, or practicum. SPS 404.05(6)(6) In addition to meeting the requirements in sub. (3) or (4) as appropriate, a school which seeks approval of a program measured on a semester credit basis shall: SPS 404.05(6)(a)(a) Award one semester credit for no fewer than 15 hours of lecture, plus 30 hours of outside preparation or the equivalent. SPS 404.05(6)(b)(b) Award one semester credit for no fewer than 30 hours of laboratory work plus necessary outside preparation. SPS 404.05(6)(c)(c) Award one semester credit for no fewer than 45 hours of shop. SPS 404.05(6)(d)(d) Award one semester credit for no fewer than 45 hours of off-campus practical training such as a residency, externship, internship, or practicum. SPS 404.05 HistoryHistory: Cr. Register, June, 1990, No. 414, eff. 7-1-90; am. (3) (intro.), (a), (4) (intro.) and (5) (intro.), cr. (3m), Register, March, 1993, No. 447, eff. 4-1-93; renum. from EAB 5.065, am. (1) (a), (2), (3), r. (1) (b), renum. (3m), (4), (5) to be (4), (5), (6) and am., Register, October, 1997, No. 502, eff. 12-1-97; correction in (3) (a), (d), (4) (a), (d) Register November 2017 No. 743. SPS 404.06SPS 404.06 Financial stability and student protection. SPS 404.06(1)(a)(a) As a condition of obtaining and retaining approval, a school shall provide a surety bond on a form specified by the department. Except as provided in pars. (b) and (c), the amount of surety shall be the lesser of $25,000 or 125% of unearned tuition. SPS 404.06(1)(b)(b) No surety bond may be less than $1,000 or an amount equal to $2,000 for each representative the school employs. SPS 404.06(1)(c)(c) The bonding requirements set forth in this section may be reduced upon a determination that they are excessive in relation to the risk of economic loss to which Wisconsin residents are exposed in the case of any particular school, based upon evidence of a stable fiscal history, satisfactory completion and placement rates, accreditation by a recognized accrediting body or other stability criteria the schools may offer for department review. SPS 404.06(1)(d)(d) The bond shall be executed by the school as principal and by a surety company qualified and authorized to do business in the state of Wisconsin as a surety. SPS 404.06(1)(e)(e) A surety on a bond may be released after the surety has provided written notice directed to the department at least 30 days prior to the release. SPS 404.06(2)(b)2.2. If at any time the appropriation balance of s. 20.165 (1) (jr), Stats., is less than $500,000, at a rate determined by the department based on a multiplier equal to the percentage of all schools’ total adjusted gross annual revenue needed to bring the appropriation under s. 20.165 (1) (jr), Stats., to $500,000, but not to exceed $10,000 for an individual school. SPS 404.06(2)(c)(c) The fee shall paid at the same time the school makes its second payment annual renewal fee as required under s. SPS 404.10 (2) (d) and is due no later than March 1 of the calendar year for which the school is applying for renewal. SPS 404.06(2)(d)(d) A school that makes the student protection fee payment required after March 1, shall pay for each month or part of a month the payment is late, a late fee of $50 or 1.5% of the student protection fee payment, whichever is greater. SPS 404.06(2)(e)(e) The department shall discontinue collecting student protection fees under this subsection during the period that the balance of the appropriation under s. 20.165 (1) (jr), Stats., exceeds $1,000,000. SPS 404.06(3)(3) Use of surety bonds and student protection funding. SPS 404.06(3)(a)(a) The department may use a surety bond on which it has collected to provide indemnification to any student, parent, guardian, or sponsor suffering loss or damage as a result of the following. SPS 404.06(3)(a)1.1. Fraud or false representation used in procuring a student’s enrollment. SPS 404.06(3)(a)3.3. A student being unable to complete the program or programs because the school failed to perform its contractual obligations. SPS 404.06(3)(b)(b) Indemnification under this section may not exceed the advanced tuition, book fees, supply fees, or equipment fees paid or liable to be paid for regardless of the number of years that a school’s bond is in force. The aggregate liability of the surety bond may not exceed the penal sum of the bond. The surety bond may be continuous. SPS 404.06(3)(c)(c) To the extent that the surety bond is unable to fully cover the losses incurred by a student, parent, guardian, or sponsor when a school closes, the department may authorize the full or partial payment of those losses from the student protection appropriation under s. 20.165 (1) (jr), Stats. SPS 404.06(3)(d)(d) The department may use a surety bond on which is has collected or funds from the student protection appropriation to arrange for a teach–out of students. SPS 404.06 HistoryHistory: Cr. Register, December, 1972, No. 204, eff. 1-1-73; am. (2), Register, June, 1990, No. 414, eff. 7-1-90; renum. from EAB 5.07, am. (1) and (5), renum. (2) to be (3) and am., cr. (2), Register, October, 1997, No. 502, eff. 12-1-97; CR 02-135: am. (1), (3) and (5), cr. (6) Register April 2003 No. 568, eff. 5-1-03; CR 03-126: r. and recr. Register May 2004 No. 581, eff. 6-1-04; CR 05-112: am. (2) (b) (intro.), cr. (2) (b) 1. and 2. Register April 2006 No. 604, eff. 5-1-06; corrections in (2) (e) and (3) (c) made under s. 13.93 (2m) (b) 7., Stats., Register April 2006 No. 604; correction in (1) (a), (c), (e), (2) (b) 2., (e), (3) (a), (c), (d) made under s. 13.92 (4) (b) 6., Stats., and correction in (2) (a), (b) 1., 2., (c), (e), (3) (a) 2., 4., (c) made under s. 13.92 (4) (b) 7., Stats., Register November 2017 No. 743; correction in (3) (a) 2. made under s. 13.92 (4) (b) 7., Stats., Register December 2018 No. 756. SPS 404.07SPS 404.07 Agent for service of process. SPS 404.07(1)(1) All schools seeking approval must provide the name and Wisconsin address of a designated agent upon whom any process, notice, or demand may be served. SPS 404.07(2)(2) If during any period a school fails to appoint or maintain in this state an agent for service of process, such failure shall be cause for revocation of approval. SPS 404.07(3)(3) Nothing herein contained shall limit or affect the right to serve any process, notice or demand required or permitted by law to be served upon a foreign corporation in any other manner now or hereafter permitted by law. SPS 404.07 HistoryHistory: Cr. Register, December, 1972, No. 204, eff. 1-1-73; renum. from EAB 5.08 and am. (1) and (2), Register, October, 1997, No. 502, eff. 12-1-97; correction in (1) made under s. 13.92 (4) (b) 6., Stats., Register November 2017 No. 743; CR 20-004: am. (1) Register June 2020 No. 774, eff. 7-1-20. SPS 404.08(1)(1) Periodic Review. The department shall investigate and evaluate all approved schools and programs. The method of review shall include: SPS 404.08(1)(a)(a) Information from the following: federal trade commission, better business bureaus, the Wisconsin department of justice, other state or other official approval agencies, local school officials or interested persons. SPS 404.08(1)(c)(c) Conferences with officials or representatives of the school involved or with interested persons including former students or parents of former students. SPS 404.08(2)(2) Complaints. In addition to investigation upon its own initiative, the department may investigate any school and its programs upon receipt of a complaint from an interested person. SPS 404.08(2)(a)(a) A student with a complaint against a school shall make a reasonable effort to resolve the complaint directly with the school. SPS 404.08(2)(b)(b) The department shall conduct an investigation upon receipt of a written complaint filed within one year after the student’s last recorded date of attendance; SPS 404.08(2)(b)1.1. If preliminary findings indicate a violation of s. 440.52, Stats., or chs. SPS 404 to 411, or of an established school policy, the department shall attempt, through mediation to bring about a settlement. SPS 404.08(2)(b)2.2. If a settlement proposed by the department is rejected by a school, the department may conduct a hearing and impose any of the intermediate sanctions under s. SPS 404.01 (4m) or subject the school to a summary suspension of its approval. SPS 404.08(2)(b)3.3. If a complaint charging fraud or false representation used in procuring a student’s enrollment is upheld and if a settlement cannot be reached, the department shall make a demand upon the schools bond and if not paid shall bring action in any court in the state of Wisconsin. SPS 404.08 HistoryHistory: Cr. Register, October, 1997, No. 502, eff. 12-1-97; CR 02-135: am. (2) (b) 1. and r. and recr. (2) (b) 2. Register April 2003 No. 568, eff. 5-1-03; correction in (2) (b) 1. made under s. 13.93 (2m) (b) 7., Stats., Register April 2006 No. 604; correction in (1), (2) (intro.), (b) made under s. 13.92 (4) (b) 6., Stats., and correction in (2) (b) 1., 2. made under s. 13.92 (4) (b) 7., Stats., Register November 2017 No. 743. SPS 404.09SPS 404.09 List of approved schools and courses of instruction. A directory of approved schools and programs shall be distributed to all approved schools and to others upon request. SPS 404.09 HistoryHistory: Cr. Register, December, 1972, No. 204, eff. 1-1-73; renum. from EAB 5.10, am. (1), r. (2), Register, October, 1997, No. 502, eff. 12-1-97.
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Department of Safety and Professional Services (SPS)
Chs. SPS 400- ; Educational Approval
administrativecode/SPS 404.05(4)(a)
administrativecode/SPS 404.05(4)(a)
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