HF4256 (Legislative Session 94 (2025-2026))

Expiration date for exemption to reporting and marketing requirements for institutions contracting with online program management companies removed.

Related bill: SF4472

AI Generated Summary

Purpose

  • To change the rules governing higher education contracts with online program management (OPM) companies by removing the expiration date of an exemption from reporting and marketing requirements. The bill aims to make this exemption permanent. It also maintains a specific exception for certain contract amendments.

Main Provisions

  • Amends Minnesota Statutes 2024 section 135A.195 subdivision 6.
  • Exemption: Institutions of higher education contracting with online program management companies are exempt from certain reporting and marketing requirements. The bill removes the sunset date, making this exemption permanent (no expiration).
  • carve-out for pre-2023 amendments: Notwithstanding the exemption, an addendum or amendment to a contract entered into on or before July 1, 2023 that increases or decreases the number of managed programs does not receive the exemption and is subject to the reporting and marketing requirements.
  • Current expiration: Under existing law, this subdivision expires July 1, 2028, but the bill intends to remove that expiration.

Practical Effect

  • Institutions can continue working with OPMs without needing to comply with reporting and marketing requirements indefinitely.
  • If a contract or its amendments were entered before July 1, 2023 and involve changing the number of managed programs, those specific changes would still be subject to reporting/marketing requirements.

Significant Changes to Existing Law

  • Eliminates the expiration date (sunset) for the exemption from reporting and marketing requirements for OPM contracts.
  • Maintains a clear exception for certain pre-2023 contract amendments that change the number of managed programs.

Potential Implications

  • Increases or preserves regulatory relief for most OPM contracts in higher education.
  • Keeps a narrow compliance path for older contract amendments that altered the number of managed programs.

Relevant Terms online program management (OPM) companies exemption reporting requirements marketing requirements managed programs contract addendum amendment institution of higher education Minnesota Statutes 2024 section 135A.195 subdivision 6 sunset date July 1, 2028 July 1, 2023

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 12, 2026HouseActionIntroduction and first reading, referred toHigher Education Finance and Policy

Citations

 
[
  {
    "analysis": {
      "added": [
        "Adds an exemption in Subd.6 for addenda or amendments to contracts entered into on or before July 1, 2023 that increase or decrease the number of managed programs."
      ],
      "removed": [],
      "summary": "This bill amends Minnesota Statutes 2024, section 135A.195, subdivision 6, to create an exemption from the reporting and marketing requirements for institutions contracting with online program management companies. It specifies that the exemption applies to addenda or amendments to contracts entered into by an institution of higher education on or before July 1, 2023 that increases or decreases the number of managed programs, and it provides an expiration for the exemption on July 1, 2028.",
      "modified": [
        "Reframes Subd.6 to include the exemption and to set an expiration date of July 1, 2028."
      ]
    },
    "citation": "135A.195",
    "subdivision": "subd.6"
  }
]

Progress through the legislative process

17%
In Committee
Loading…