Oklahoma SB 760: Higher education; providing exemption for certain organizations and institutions. Emergency.

Bill Text

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SENATE FLOOR VERSION
February 25, 2025

SENATE BILL NO. 760 By: Prieto

An Act relating to higher education; amending 70 O.S.
2021, Section 4103, as amended by Section 1, Chapter
122, O.S.L. 2023 (70 O.S. Supp. 2024, Section 4103),
which relates to accreditation of private
institutions of higher education; updating statutory
reference; providing exemption for certain
organizations and institutions; updating statutory
language; providing an effective date; and declaring
an emergency.

BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 70 O.S. 2021, Section 4103, as
amended by Section 1, Chapter 122, O.S.L. 2023 (70 O.S. Supp. 2024,
Section 4103), is amended to read as follows:
Section 4103. A. As used in this section:
1. “Degree-granting institution” means an institution that
offers education leading to an associate’s degree or higher;
2. “Non-degree-granting activity” means offering education or
training that does not lead to an associate’s degree or higher; and
3. “State authorization reciprocity agreement” means an
agreement among states, districts, and territories that establishes

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comparable standards for providing distance education from their
postsecondary educational institutions to out-of-state students.
B. All private and out-of-state public degree-granting
institutions shall be accredited by an accrediting agency which is
recognized by the Secretary of the United States Department of
Education as a reliable authority as to the quality of education or
training offered by institutions of higher education for the
purposes of the Higher Education Act of 1965, as amended.
Additionally, for the purposes of consumer protection and to
maintain financial eligibility for Title IV funding as described in
34 CFR Part 600, institutions shall be authorized according to the
policies and procedures established by the Oklahoma State Regents
for Higher Education. These policies and procedures shall be
limited to the minimum necessary to ensure that private and out-of-
state degree-granting institutions that operate in this state by any
modality meet the same standards of academic quality and fiscal
responsibility required for institutions of higher education within
The Oklahoma State System of Higher Education. Beginning with the
2023-2024 academic year, the State Regents shall:
1. Establish and collect fees annually from applicants for
authorization as necessary to cover the costs of authorization;
2. Require applicants for authorization to submit payment in an
amount established by the State Regents into the Tuition Recovery
Revolving Fund created in Section 2 Section 4103.1 of this act

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title, which shall be used to offset student tuition losses in the
event an authorized institution closes or ceases operations; and
3. Be authorized to deny, not renew, or revoke an institution’s
authorization if it is found to be in violation of the Oklahoma
statutes, it fails to meet the minimum authorization standards
established by the State Regents, or an accrediting agency or other
government entity revokes its approval, which is material to the
continuity of the institution. An institution subject to the
provisions of this paragraph shall be given reasonable notice and an
opportunity to be heard prior to a decision to deny, not renew, or
revoke authorization.
C. The following institutions shall be exempt from this
section:
1. Private institutions participating in the Oklahoma Tuition
Equalization Grant program; and
2. Out-of-state public and private institutions participating
in a state authorization reciprocity agreement that only conduct
activities in Oklahoma that are acceptable under the terms and
conditions of the state authorization reciprocity agreement; and
3. Religious organizations or any degree-granting institutions
whose primary purpose is to provide religious training or
theological education and which are exempt from taxation pursuant to
the provisions of Section 501(c)(3) of the Internal Revenue Code of
1986, as amended.

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D. Non-exempt institutions engaged in non-degree granting non-
degree-granting activities, such as offering certificates and
diplomas, shall be subject to the standards administered by the
Oklahoma Board of Private Vocational Schools.
E. The State Regents shall promulgate rules to implement the
provisions of this section.
SECTION 2. This act shall become effective July 1, 2025.
SECTION 3. It being