Quick Links     • Colleges     • Occupational Schools     • Financial Aid

• Academic Program Search      • Alternate Certification Rte      • Ed Info Center

Information for Schools

Procedures for Approval

• Submit a complete application to the Department of Higher Education no less than 120 days prior to the date on which you plan to open your school (per Sec. 10a-22k-3 of the Regulations of State Agencies).

• Submission of a financial statement/forecast (see financial requirements).

• Submit a $40,000 Irrevocable Letter of Credit which will be held for 12 years from the date of initial approval.  Irrevocable letter of credit must be issued by a bank with its main office or branch located within the State of Connecticut.

• Submission of a non-refundable $2,000 Application Fee filed with the application of the proposed school.

• A review of the application by the Department which may require you to provide additional information.

• The Department will conduct an evaluation visit (per Sec. 10a-22k-4 of the Regulations of State Agencies), using the evaluation criteria contained in Sec. 10a-22k-5 of the Regulations of State Agencies

• Following the visit, the evaluation team chairperson will submit an evaluation report based on the findings by the evaluation team which will include areas of improvement. A recommendation of authorization or non-authorization will be submitted to the Commissioner once evidence of corrections to any findings is provided.

• Once initial approval is granted, a school is required to renew their authorization annually for 3 consecutive years (per Sec. 10a-22k-7 of the Regulations of State Agencies).  Following the 4^th consecutive year of re-authorization, a school may be eligible for a renewal of authorization for a period of up to 5 years.

Irrevocable Letter of Credit

No certificate to operate a new private occupational school shall be issued by the commissioner pursuant to section 10a-22c(d) of Connecticut’s General Statutes, until such private occupational school seeking authorization files with the commissioner an irrevocable letter of credit in the penal amount of $40,000 guaranteeing the payments required of the school to the private occupational school student protection account in accordance with the provisions of section 10a-22u. The letter of credit shall be payable to the private occupational school student protection account in the event that such school fails to make payments to the account as provided in subsection (a) of section 10a-22u or in the event the state takes action to reimburse the account for a tuition refund paid to a student pursuant to the provisions of section 10a-22v provided the amount of the letter of credit to be paid into the private occupational school student protection account shall not exceed the amounts owed to the account. The letter of credit required by this subsection shall be released 12 years after the date of initial approval, provided evidence of fiscal soundness has been verified.

AP Page 10 Letter of Credit Information (PDF document)
AP Page 11-12 Letter of Credit Sample (PDF document)

Administrative Capability

Each approved private occupational school and each branch of the school located in Connecticut must have a director located at the school or branch who is responsible for daily oversight of the school's or branch's operation. 

Financial Forecast

Prospective financial statements will present, to the best of the responsible party’s knowledge and belief, an entity’s expected financial position, results of operation, and changes in financial position.  A financial forecast is based on the responsible party’s assumptions reflecting conditions it expects to exist and the course of action it expects to take.  A financial forecast may also be expressed in specific monetary amounts, as a single estimate of forecasted results or as a range where the responsible party selects key assumptions to form a range within which reasonably expects the items subject to the assumption to actually fall.  A forecast represents what the responsible party thinks is going to happen for the first 12 months of operation.

Financial Forecast must: be prepared by management and reviewed by a CPA or licensed public accountant, conform to Generally Accepted Accounting Procedures, and use accrual basis of accounting.

• Minimum Items for Submissions:

• Balance sheet

• Income statement

• Statement of change in equity or fund balance

• Statement of cash flows

• Footnotes or notes to financial statements

• Cover letter prepared by the licensed certified public accountant or licensed public accountant stating the scope of the review or audit, any opinions, and standards and principles followed

• FIN Page 13 Affirmation of Statement of Position (PDF document)

Also see:

• FIN Page 1 Instructions - Checklist (PDF document)

• FIN Page 2 Detailed Instructions (PDF document)

• FIN Page 3-4 Balance Sheet (PDF document)

• FIN Page 5 Schedule of Assets (PDF document)

• FIN Page 6 Schedule of Liabilities (PDF document)

• FIN Page 7 Income Statement (PDF document)

• FIN Page 8 Schedule of Income (PDF document)

• FIN Page 9 Schedule of Expenses (PDF document)

• FIN Page 10 Cash Flows (PDF document)

• FIN Page 11-12 Schedule of Changes and Adjustments (PDF document)

Renewal Application Process

• The Department of Higher Education will provide the school a renewal application packet 180 days prior to the date of expiration of the school’s most recent certificate of authorization.  The renewal application packet will include: an application, and copies of the Connecticut General Statutes, Regulations of State Agencies, and Financial Requirements.

• The school will submit a complete application to the Department with the required renewal fees of $200 per school and $200 per branch, 120 days prior to the date of expiration of the school’s most recent certificate of authorization.

• The Department will determine that the occupational school meets all the conditions of its recent authorization, and the filing of documentation with the commissioner that the occupational school has a passing financial ratio score as required by 34 CFR 668, as amended from time to time.

• The Department will conduct an evaluation visit per Sec. 10a-22k-4 of the Regulations of State Agencies.  Please see the Sec. 10a-22k-5 of the Regulations for the evaluation criteria that will be used for the visit.

• Following the visit, the evaluation team chairperson will submit an evaluation report based on the findings by the evaluation team which will include recommendations for improvement. A recommendation of authorization or non-authorization will be submitted to the commissioner once evidence of corrections to any findings has been provided.

• Except for initial visits, the Commissioner of Higher Education shall accept institutional accreditation by an accrediting agency recognized by the U. S. Department of Education in satisfaction of the requirements of Sections 10a-22b and 10a-22d of Connecticut’s General Statutes, including evaluation requirements, unless the Commissioner finds reasonable cause not to rely upon such accreditation.

• A representative from the Department shall be invited to participate, as an observer, in all initial and renewal accreditation visits by an accrediting agency recognized by the U. S. Department of Education.

• Each private occupational school shall keep financial records in conformity with generally accepted accounting principles. An annual financial statement detailing the financial status of the school shall be prepared by school management and reviewed or audited by a licensed certified public accountant or licensed public accountant in accordance with standards established by the American Institute of Certified Public Accountants. A copy of such financial statement shall be filed with the commissioner on or before the last day of the fourth month following the end of the school's fiscal year, except in the case of a nationally accredited school recognized by the United States Department of Education, in which case such financial statement shall be due on or before the last day of the sixth month following the end of the school's fiscal year. Only audited financial statements shall be accepted from a nationally accredited school. Upon a nonaccredited school's written request, the commissioner may authorize, for good cause shown, a filing extension for a period not to exceed sixty days. No filing extensions shall be granted to a nationally accredited school.  

Change of Courses or Programs

Application Sections to be Revised and Submitted to the Department of Higher Education at least 60 days before any intended revisions of the conditions of authorization.  These changes can include but not be limited to adding, deleting, and revising a course or program.

AP Page 1 Application Cover Page (PDF document)
AP Page 2-6 Instructions (PDF document)
AP Page 19 Campus Roster (PDF document)
AP Page 26-27 Instructor Form (PDF document)
AP Page 28 Waiver of Instructor (PDF document)
AP Page 29-30 Recruiter Form (PDF document)
AP Page 31 Program - Course List (PDF document)
AP Page 32 Program - Course Information (PDF document)
AP Page 34 Student Records (PDF document)
AP Page 35-36 Enrollment Agreement (PDF document)
AP Page 37-38 Catalog (PDF document)

Change of School Ownership

The school owner or director must send a letter to the Department of Higher Education announcing the proposed change of ownership at least 60 days prior to the proposed sale.  The Department will acknowledge the proposed change of ownership with a letter requesting the following:

From the Present Owner

• A draft copy of the proposed sales agreement so that we can review it prior to the signing.  The purpose of our initial review is to assure that such regulatory items as the maintenance of school and student records , the continuation of the school’s obligation to teach students who have not completed their program and the issuance of tuition refunds are addressed.

• A final copy of the duly completed and signed sales agreement with applicable attachments and covenants.

• Any and all outstanding documents or payments which you, the previous owner, may owe to this office prior to the execution of the proposed changes of ownership, for example: private occupational school student protection account fund payments, annual fees, annual reviewed or audited financial statements, etc.

• Management-prepared financial statements for the period through the transfer of ownership if this date does not coincide with the end of your fiscal year.

From the Proposed New Owner

• Evidence that the proposed new ownership has net worth consisting of sufficient liquid assets pr other evidence of fiscal soundness to operate the school during the period of authorization as required by Sec. 10a-22k-5(i) of the Regulations of State Agencies.  The evidence should be as follows:

  • If the school is to be part of an existing corporation, partnership or proprietorship, submit a financial forecast for the twelve-month period following the date of the proposed transfer.

  • If the school is to be part of a new corporation, partnership or proprietorship, a reviewed financial forecast of the school's operations for the twelve-month period following the date of the proposed transfer.

• Submission of a complete application, $2,000 non-refundable application fee and $200 non-refundable application fee for each branch campus.

• Submit $40,000 Irrevocable Letter of Credit to be held for 12 years from the date of the change of ownership.  The Letter of Credit must be issued by a bank with its main office or branch located within the State of Connecticut.

Change of School Name

Applicable application sections submitted to the Department of Higher Education at least 60 days before any intended change of school name:

AP Page 1 Application Cover Page (PDF document)
AP Page 2-6 Instructions (PDF document)
AP Page 7-8 Business Status (PDF document)
AP Page 9 Additional Facilities (PDF document)
AP Page 10 Letter of Credit Information (PDF document)
AP Page 11-12 Letter of Credit Sample (PDF document)
AP Page 13 Insurance (PDF document)
AP Page 19 Campus Roster (PDF document)
AP Page 20-22 School Director Form (PDF document)
AP Page 23-25 Campus Director Form (PDF document)
AP Page 26-27 Instructor Form (PDF document)
AP Page 28 Waiver of Instructor (PDF document)
AP Page 29-30 Recruiter Form (PDF document)
AP Page 31 Program - Course List (PDF document)
AP Page 32 Program - Course Information (PDF document)
AP Page 34 Student Records (PDF document)
AP Page 35-36 Enrollment Agreement (PDF document)
AP Page 37-38 Catalog (PDF document)
AP Page 39 Diploma (PDF document)
AP Page 40 Complaints (PDF document)
AP Page 43 Non-Discrimination Clause (PDF document)
AP Page 44 Affidavit of School Closure (PDF document)
AP Page 45-46 Designation of Agent of Service (PDF document)

Change of Location of School, Branches, Classroom Sites

Applicable application sections submitted to the Department of Higher Education at least 60 days before any intended revisions of the Conditions of Authorization:

AP Page 1 Application Cover Page (PDF document)
AP Page 2-6 Instructions (PDF document)
AP Page 7-8 Business Status (PDF document)
AP Page 9 Additional Facilities (PDF document)
AP Page 13 Insurance (PDF document)
AP Page 14 Fire Marshal Approval (PDF document)
AP Page 15 Zoning Officer Approval (PDF document)
AP Page 34 Student Records (PDF document)
AP Page 35-36 Enrollment Agreement (PDF document)
AP Page 37-38 Catalog (PDF document)
AP Page 39 Diploma (PDF document)
AP Page 45-46 Designation of Agent of Service (PDF document)

New Branch Campus and Classroom Sites

Applicable application sections submitted to the Department of Higher Education at least 60 days before any intended revisions of the Conditions of Authorization:

AP Page 1 Application Cover Page (PDF document)
AP Page 2-6 Instructions (PDF document)
AP Page 7-8 Business Status (PDF document)
AP Page 9 Additional Facilities (PDF document)
AP Page 13 Insurance (PDF document)
AP Page 14 Fire Marshal Approval (PDF document)
AP Page 15 Zoning Officer Approval (PDF document)
AP Page 19 Campus Roster (PDF document)
AP Page 20-22 School Director Form (PDF document)
AP Page 23-25 Campus Director Form (PDF document)
AP Page 26-27 Instructor Form (PDF document)
AP Page 28 Waiver of Instructor (PDF document)
AP Page 29-30 Recruiter Form (PDF document)
AP Page 31 Program - Course List (PDF document)
AP Page 32 Program - Course Information (PDF document)
AP Page 34 Student Records (PDF document)
AP Page 35-36 Enrollment Agreement (PDF document)
AP Page 37-38 Catalog (PDF document)
AP Page 39 Diploma (PDF document)
AP Page 40 Complaints (PDF document)
AP Page 43 Non-Discrimination Clause (PDF document)
AP Page 44 Affidavit of School Closure (PDF document)
AP Page 45-46 Designation of Agent of Service (PDF document)

Required Documents for Financial Statement Submission

A copy of the school’s audited and reviewed annual financial statements must be filed each year with the Commissioner.  Each private occupational school shall keep financial records in conformity with generally accepted accounting principles. An annual financial statement detailing the financial status of the school shall be prepared by school management and reviewed or audited by a licensed certified public accountant or licensed public accountant in accordance with standards established by the American Institute of Certified Public Accountants. A copy of such financial statement shall be filed with the commissioner on or before the last day of the fourth month following the end of the school's fiscal year, except in the case of a nationally accredited school recognized by the United States Department of Education, in which case such financial statement shall be due on or before the last day of the sixth month following the end of the school's fiscal year. Only audited financial statements shall be accepted from a nationally accredited school. Upon a nonaccredited school's written request, the commissioner may authorize, for good cause shown, a filing extension for a period not to exceed sixty days. No filing extensions shall be granted to a nationally accredited school

Required Documents for Submission:

• Balance sheet

• Income statement

• Statement of change in equity or fund balance

• Statement of cash flows

• Footnotes or notes to financial statements

• Cover letter prepared by the licensed certified public accountant or licensed public accountant stating the scope of the review or audit, any opinions, and standards and principles followed

• FIN Page 13 Affirmation of Statement of Position (PDF document)

Composite Scoring System for Financial Review

Composite Scoring System:  The U.S. Department of Education, with the help of KPMG Peat Marwick, LLP (Dec. 1997), developed a composite scoring system for schools seeking to participate in the federal Title IV student assistance programs.  The scoring system is made up of three ratios which measure five fundamental elements of financial health: viability, profitability, liquidity, ability to borrow, and capital resources.  Each private occupational school’s passing financial ratio score is the same as required by 34 CFR 668, as amended from time to time.

• Primary Reserve Ratio - measures viability and liquidity.

• Equity Ratio - measured ability to borrow and capital resources

• Net Income Ratio - measures profitability

A weighted average of the three ratios is derived resulting in one final score for the school.

Fee Schedule

• Application Fee – New Schools:  $2,000; New Branch:  $200
• Annual Fee:  $200 per school, $200 per branch
• Renewal of Authorization:  $200 per school, $200 per branch
• Change of Location:  No Fee
• Quarterly Payments into the Student Protection Account:  .005% of Net Quarterly Tuition Revenue
• Change of Ownership:  Application Fee – $2,000; Each Branch:  $200
• Annual Out-of-State School Representative Fee – $500

How to Close a School

The following steps must be followed in the event private occupational school needs to cease operations:

• Notify the Department of Higher Education at least 60 days prior to school closure, in writing, so that we may work with  you.

• The Department, in writing, will acknowledge the school's intention to close and outline the necessary procedures to follow:

  • Verify that all course work will be or has been completed by current students.  If they have not completed their training, please provide the department with names and addresses of schools, names of students and expected completion dates since these students may be transferring to other institutions to complete their program of study.
  • Verify whether there are refunds due to any students.

  • Notify the department as to whether records will be maintained by you as prescribed in Section 10a-22k-5(f) of the Regulations of State Agencies or shall be filed with the Connecticut Commissioner of Higher Education.  The following student records must be preserved and maintained into perpetuity:  (1)admission and cumulative records of students including the results of achievement tests, if any, academic grades and attendance showing the names and permanent address of each student; (2)the date the student began instruction at the school; (3)a copy of the individual enrollment agreement; (4)information about each program in which the student is or was enrolled, including name of program, length of program in clock hours or credit hours, tuition paid in each calendar quarter; and (5)date of last instruction or of course completion.

  • Verify whether, if applicable, final payment has been made to the Student Protection Fund.

  • Complete and return Affidavit of Requirements for School Closure (POSA AP Page 44)

  • Complete and return Designation of Agent of Service and Maintenance of Records (POSA AP Pages 45 and 46)

  • Return Certificate of Authorization.

• Once these steps have been completed, if applicable, the Irrevocable Letter of Credit will be returned to the bank of origination for cancellation.

• The Commissioner, in writing, will acknowledge the closure of the school.

Out-Of-State Representatives

FAQs

• What is a Private Occupational School?  It is a person, board, association, partnership, corporation, limited liability company or other entity offering instruction in any form or manner in any trade, industrial, commercial or service occupation for any remuneration, consideration reward or promise of whatever nature.

• What is the role of the Connecticut Department of Higher Education? As charged by statute, the Department is to maintain standards of quality, assure the fullest possible use of available resources, promote responsiveness to economic, societal and student needs, offer education and training opportunities key to the state's development, protect academic freedom, and ensure educational opportunity.

• What types of schools does our Department authorize? The Department has approved a variety of schools that provide vocational training which can lead to entry level employment.  These schools range from offering programs in electronics, automotive, dog grooming, bartending, certified nurses aid, massage therapy and many more.

• What types of schools are exempt from authorization by our Department?  Exempt from authorization are schools that offer instruction under public supervision and control; instruction conducted by a firm or organization solely for the training of its own employees; or instruction offered by a school authorized by the General Assembly to confer degrees.

• How do I apply to become a Private Occupational School?  Refer to the Initial/Renewal Application section of this web site and/or contact our Department directly using the Contact Information section of this web site.

• Can I operate a school while my application is pending?  No.  In Connecticut, only schools approved by the CT Commissioner of Higher Education can operate.  Filing an application indicates the intention of becoming approved but does not assure that all the conditions of authorization have been met.

• Can I submit a partial new school application and submit the remaining documents at a later date?  No.  The application must be submitted in it’s entirety.  In addition to the application, this would also include the financial forecast and irrevocable letter of credit.

• What is an Irrevocable Letter of Credit?  It is a document used to guarantee payments required of the school to the private occupational school student protection account in accordance with the provisions of section 10a-22u of the Connecticut General Statutes.  The $40,000 letter of credit shall be made with a Connecticut bank and made payable to the private occupational school student protection account in the event that such school fails to make payments to the account or in the event the school closes improperly and a tuition refund needs to be paid to a student.

• At what intervals are school authorizations renewed?  All schools must receive one initial authorization followed by three annual renewal visits.  Following the final annual visit, a school may be eligible for an extended authorization of not more than five years. 

• What is the difference between authorization and accreditation?  A school receives approval/authorization by the Connecticut Commissioner of Higher Education to operate in the State of Connecticut.  This is the first level of approval.  Once a school receives the Commissioner’s approval, it may voluntarily apply for accreditation by an independent accrediting council that has been recognized by the U.S. Department of Education.  Accreditation is a separate approval process where the school meets an independent accrediting council’s evaluation standards.  A school that has met the independent accrediting council’s evaluation standards and has received accreditation, may apply to the federal government to participate in Title IV financial aid.

Community Service | Employment Opportunities | Gear Up | News & Reports | Pandemic Flu Planning | Related Links | Search Site | Statutes, Regulations & Licensing | Veterans