Regulation

== ** If the college enrolls a student from another state without obtaining a required state approval, that student is not eligible for any title IV, HEA funds, and the Department of Education “expects to continue to hold institutions responsible for the return of title IV funds that were obtained without the requisite State authorization to receive them, and it likewise retains the ability to take other actions against noncompliant institutions.” ** ==

==** Colleges must have filed any required paperwork ** by July 1, 2011. After July 1, the college must have filed the authorization paperwork, if it is required, before enrolling a student from another state. ==

Beginning July 1, 2011, institutions that enroll students from other states could be asked to prove that they have been approved to operate in those states. Failure to provide the proof to operate in a state will put the federal financial aid eligibility of students residing in that state in jeopardy. This is not a change in requirements; however, it is a change in enforcement of requirements.

=**DRAFT State Authorization Reciprocity**= Here is a draft of a State Authorization Reciprocity Agreement (SARA) to reduce the number of contacts each college must make in order to comply with state regulations: @http://www.csg.org/NCIC/documents/WorkingDraft.pdf