This bill mandates that institutions of higher education and degree-granting proprietary institutions submit annual expenditure reports to the Secretary of Higher Education regarding their contracts with online program managers (OPMs). The reports must include detailed information such as total payments made to the OPM, the number of students receiving state financial assistance, and the amount of state operating aid received on a per-student basis. Additionally, OPMs are required to provide an annual report to the institutions detailing their expenditures across various categories, including advertising, student support services, and curriculum development.

Furthermore, the bill stipulates that institutions must submit copies of their contracts with OPMs to the Secretary for review within 60 days of execution, renewal, or any substantive changes. It also outlines the handling of confidential information, ensuring that only designated personnel can access sensitive data while maintaining transparency for non-confidential information. The Secretary of Higher Education is tasked with publishing the annual expenditure reports on their website, promoting accountability and oversight in the financial dealings between institutions and OPMs.