Agency Information

Guide Topics

Agency Contact

Kaity McNeill
919-962-4550
klmcneill@northcarolina.edu

Additional Contact

Dan Harrison
919-962-2676
dsharrison@northcarolina.edu

Secretary of State Contact

Elaine Marshall
919-814-5400

Topic 1: Important Agency Information to Note

Provide important web links:

What types of institutions are subject to this agency’s authority? Indicate the types of institutions that your agency authorizes.

  • Note: Some agencies may refer to out-of-state public institutions as “private colleges” in their law.  If this is the case for your agency, please select “public, out-of-state degree granting institutions” for purposes of this Guide so that the out-of-state public institution will find appropriate information.
  • Note: If your agency is a coordinating board, your agency may have one division with some authority such as program approval over in-state public institutions that are established per statute, which is structured differently than another division of your agency with state authorization authority over non-public institutions that they “license” pursuant to different statute(s).

_____ Public, in-state degree granting institutions
__X__ Public, out-of-state degree granting institutions
__X__ Private, in-state, not-for-profit degree granting institutions
__X__ Private, out-of-state, not-for-profit degree granting institutions
__X__ Private, in-state, for-profit degree granting institutions
__X__ Private, out-of-state, for-profit degree granting institutions
_____ Public, in-state, non-degree granting institutions
_____ Public, out-of-state, non-degree granting institutions
_____ Non-degree, not-for profit institutions
_____ Non-degree, for-profit institutions
__X__ Religious institutions
_____ Tribally-controlled institutions
_____ Federal Institutions
_____ Municipal institutions

Does your agency authorize specific academic programs offered by institutions, only institutions themselves, or both?

  • For example, an agency may require an institution apply for licensure for institutional approval and also require the institution to apply for specific program(s) approval.

_____ Institution

_____ Program

__X__ Both

Clarifying comments:

North Carolina General Statute 116-15 gives the Board of Governors of the University of North Carolina authority to issue licenses to nonpublic and out-of-state institutions to conduct post-secondary degree activity in North Carolina. The Board is statutorily empowered to establish the rules, regulations, policies, and procedures it considers necessary to carry out its duties. Undertaking postsecondary activity in North Carolina includes delivery of instruction from another state to residents of North Carolina, whether delivered synchronously or asynchronously. Licenses and exemptions are issued on a program-by-program basis.

Through licensing institutions and granting exemptions from licensure, the Board of Governors performs an important consumer protection function. The Board also assures that post-secondary educational institutions operating wholly or in part in North Carolina provide students with an education of good quality.

The University of North Carolina System Office maintains a staff to implement the licensure statute using the Rules and Standards for Licensure established by the Board of Governors.

Topic 2: Authorization of Distance Education

Does your agency require exclusively online offerings offered by out-of-state institutions to be authorized?

  • Meaning as example, the state regulates an out-of-state institution for merely enrolling a student into a distance education program
  • Meaning as example, a solely online program that does not have any internships and practicums

Yes.

Clarifying comments

N/A.

Topic 3: Accreditation by an Accrediting Agency Recognized by the U.S. Department of Education

Is accreditation by an accrediting agency recognized by the U.S. Department of Education required for an institution to be authorized in your state?

No.

If yes, please check all that apply as appropriate. Accreditation by an accrediting agency recognized by the U.S. Department of Education required for:

____ Public, out-of-state degree granting institutions
____ Private, in-state, not-for-profit degree granting institutions
____ Private, out-of-state, not-for-profit degree granting institutions
____ Private, in-state, for-profit degree granting institutions
____ Private, out-of-state, for-profit degree granting institutions
____ Public, in-state, non-degree granting institutions
____ Public, out-of-state, non-degree granting institutions
____ Non-degree, not-for profit institutions
____ Non-degree, for-profit institutions
____ Religious institutions
____ Tribally-controlled institutions
____ Federal Institutions
____ Municipal institutions

Clarifying comments:

N/A.

Topic 4: Physical Presence Policy

If your agency uses a physical presence standard, how does your agency define physical presence? Include sample triggers.

The Board of Governors of the University of North Carolina defines post-secondary degree activity as awarding a postsecondary degree; or conducting or offering study, experience, or testing for an individual or certifying prior successful completion by an individual of study, experience, or testing, under the representation that the individual successfully completing the study, experience, or testing will receive credit, at least in part, that may be used toward a postsecondary degree. Undertaking postsecondary activity in North Carolina includes delivery of instruction from another state to residents of North Carolina, whether delivered synchronously or asynchronously. Postsecondary degree activity includes conduct with respect to either a complete postsecondary degree program or any study, experience or testing represented as creditable toward a postsecondary degree.

Web link for physical presence definition.

Physical Presence

Does a clinical/internship trigger the requirement for authorization with your agency?

YES

Does a virtual clinical / internship trigger the requirement for authorization with your agency? 

YES

Does a faculty member residing in your state and teaching an online course trigger the requirement for authorization with your agency?

NO

Does advertising targeted to residents of your state trigger the requirement for authorization with your agency?

NO

Does having an administrative site in your state trigger the requirement for authorization with your agency?

YES

Does having a recruiter in your state trigger the requirement for authorization with your agency?

NO

Clarifying comments:

No response provided

Topic 5: Application Process

Please provide a short description of the application process to obtain state authorization.

The Board of Governors has statutory responsibility for issuing licenses and for granting exemptions from licensure. The licensure statute specifies that institutions must meet 15 standards to obtain a license. These 15 standards are described in the Rules and Standards. Institutional representatives, not students, must contact the state concerning application for licensure.   The first step of the licensure process is the preliminary conference, followed by the online application, site visit and review by the Board of Governors.

Web link for application.

Contact stateauthorization@northcarolina.edu

Clarifying comments:

The application is not publicly available.

Topic 6: Fees Associated with Authorization

Is there an application fee associated with the authorization process?

Yes. See below for the fee schedule.

If yes, what is the fee or fee schedule?

Fee Schedule

Web link for fee information.

Fee Information

Clarifying comments:

Application fee for an institution’s first application for licensure is $5,000.00. For institutions applying to offer academic programs in North Carolina, this fee includes up to four degree programs at the associate or bachelor’s levels, two degree programs at the master’s level, or one degree program at the doctoral level. Institutions whose first application for licensure includes degree programs beyond those limits will pay additional application fees. There are also fees associated with the site visits and program reviews.

Topic 7: Surety Bonds

Does your agency require a Surety Bond for authorized out-of-state institutions?

Yes.

Web link for surety bonds.

Contact stateauthorization@northcarolina.edu.

Clarifying comments:

North Carolina requires tuition guarantee bonds. The amount of the bond is based on the maximum amount of unearned tuition held by the institution during its academic year. Contact state authorization staff for information on calculating “unearned tuition held.”

Topic 8: Student Tuition Recovery Fund

Does your agency have a Student Tuition Recovery Fund (or similar fund for higher education institution closure)?

Not for degree-granting institutions.

If yes, for what types of institutions?

N/A.

Web link for student tuition recovery fund.

N/A.

Clarifying comments:

N/A.

Topic 9: Tuition Refund Policy

Does your agency have a Tuition Refund Policy Requirement?

Yes.

If yes, for what types of institutions?

All licensed institutions.

Web link for tuition refund policy.

Tuition Refund Policy

Clarifying comments:

North Carolina has a series of disclosures that must be made in the institutions “catalog,” a term which can include a webpage or webpages. Prospective students must have access to the disclosures for five days prior to any payment to the institution becoming non-refundable.

Topic 10: Reporting

What kinds of information or data must an institution report to your agency as a condition for continued institutional state authorization?

Institutions file an annual report which includes some data reporting – attrition rate by program, graduation rate by program, and job placement rate by program. Job placement rate is only required to be reported if the institution already reports it for some other purpose, such as accreditation.

How frequently do institutions report data?

Institutions submit an annual report, along with annual renewal fees for licensed programs.

Is this information shared publicly?

No.

Web link for reporting.

N/A.

Clarifying comments:

The information received from the annual report is not shared publicly but may be subject to public access under the North Carolina Public Records Law.

Topic 11: Enforcement

What are possible consequences of institutional non-compliance?

The license to operate being suspended or revoked or limited.

Web link for enforcement information.

Enforcement

Clarifying comments:

No response provided

Topic 12: Student Complaints - Non-SARA Participating Institutions

Please describe the process for handling complaints about non-SARA out-of-state postsecondary institutions or programs? (34 CFR 600.9(a))

We gather information from the student filing the complaint. We reach out to the institution regarding the complaint, the process, and the final decision from the institution. If necessary, we include the Consumer Protection Division of the North Carolina Department of Justice.

Web link for the non-SARA complaint form.

Student Complaint Form

How does your agency handle a non-SARA complaint from a resident of its state that is against an out-of-state institution that the agency does not authorize?

No response provided

Is the non-SARA process handled all within your agency or do you divide consumer protection and student complaint duties dependent on the type of institution (Public, Private, Technical, etc.)?

Our agency receives all complaints. Public complaints are handled by the UNC System Office or the NC Community College System. Licensed and exempt institution complaints are handled by the State Authorization Unit within the UNC System Office. Complaints for the 36 private, nonprofit institutions of North Carolina Independent Colleges and Schools (NCICU) are sent to NCICU staff and to the NC Department of Justice.

Who is the contact person or entity for your state for receiving non-SARA student complaints?

  • Contact Name: Kaity McNeill
  • Title: Assistant VP for Higher Education & Regulatory Affairs
  • Agency: State Authorization Unit of the University of North Carolina System
  • Address: 223 S. West Street, Suite 1800, Raleigh, NC  27603
  • Email: stateauthorization@northcarolina.edu
  • Phone: 919-962-4550
  • URL: Student Complaints Website

Clarifying comments:

N/A.

Topic 13: Records Retention

When a higher education institution closes, what is the process your state uses to ensure that transcripts/records are kept available?

Institutions must send records to the State Archives of North Carolina.

From what agency or entity do students request their transcripts/records from a closed higher education institution?

Clarifying comments:

N/A.

Topic 14: Additional Information

Is there anything else about the state authorization process in your state that institutions and others ought to know about?

For questions, please contact us at stateauthorization@northcarolina.edu.

What is your preferred method of communication?

email

 

Please note: There could be additional state agencies with oversight of activities of your institution.