House Bill No. 7098 aims to provide tuition refunds to former students of Stone Academy's practical nurse education program who were enrolled between November 1, 2021, and February 28, 2023, but did not graduate. The bill establishes new eligibility criteria for these students, allowing them to receive refunds from the private career school student protection account if they have not received credit for their courses at another institution, have not previously received a refund, and have not participated in a teach-out or taken a proctored comprehensive predictor examination after the bill's effective date. The application deadline for these refunds is set for June 30, 2026.
The bill also repeals and replaces Section 67 of public act 23-204, which previously allowed refunds only for students who completed courses that did not comply with legal requirements. The new provisions expand eligibility and stipulate that the Office of Higher Education will determine the refund amounts, which cannot exceed the tuition paid. Additionally, the state may seek reimbursement from Stone Academy or its owners for the stipends and refunds paid from the protection account. The bill is expected to incur a one-time cost of approximately $610,000, with an estimated 300 former students eligible for refunds.