Report Title:

Vocational Schools; Regulation

Description:

Transfers jurisdiction over private trade, vocational, and trade schools from DOE to DCCA.

THE SENATE

S.B. NO.

1254

TWENTY-THIRD LEGISLATURE, 2005

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

relating to private trade, vocational, AND technical schools.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"Chapter

private trade, vocational, AND technical schools

§   -1 Definitions. As used in this chapter, unless the context clearly requires otherwise:

"Department" means the department of commerce and consumer affairs.

"Director" means the director of commerce and consumer affairs.

"Private trade, vocational, and technical school" means any plan or method used by any person or persons, firm, or any other organization or corporation for giving instruction in any form or manner in any trade, occupation, or vocation for a consideration, reward, or promise of any nature, including correspondence schools located within the State. The term does not include "public schools" as defined in section 302A-101.

§   -2 Regulation. The department shall regulate private trade, vocational, and technical schools to protect consumers against false, deceptive, misleading, or unfair practices.

§   -3 License required for private trade, vocational, and technical schools. No private trade, vocational, or technical school shall be operated by any person or persons, firm, or any other private organization or corporation for the purpose of teaching any trade, occupation, or vocation unless there is first secured from the department a license issued in accordance with this chapter in such form as the department may direct.

§   -4 Suspension and revocation of license; procedure. (a) The department, after notice and opportunity for a hearing, may suspend or revoke a license at any time when, in the judgment of the department, the licensee is not complying with this chapter or the rules adopted hereunder. The notice of hearing shall be served personally or sent to the licensee by registered or certified mail with return receipt at the licensee's last known address.

(b) Notice of suspension or revocation shall be served personally upon the licensee or sent to the licensee by registered or certified mail with return receipt. Upon receipt of the notice, the licensee shall immediately forward the licensee's license to the department and cease to operate the private trade, vocational, or technical school.

(c) All proceedings under this section shall be subject to chapter 91.

§   -5 Powers of department. (a) No license shall be issued under this chapter until the department has approved the applicant's advertising method and content, standards and methods of instruction, and equipment provided to students; provided that the department may consult with trade or vocational experts regarding the instruction and equipment.

(b) The department may adopt rules to enforce this chapter pursuant to chapter 91.

§   -6 Penalty. Any person, firm, or corporation that violates this chapter shall be guilty of a misdemeanor, but shall be subject to a maximum fine of not more than $100 or imprisonment for not more than ninety days, or both."

SECTION 2. Section 302A-101, Hawaii Revised Statutes, is amended by repealing the definition of "private trade, technical, or vocational school".

[""Private trade, vocational, or technical school" means any plan or method used by any person or persons, firm, or any other organization or corporation for giving instruction in any form or manner in any trade, occupation, or vocation for a consideration, reward, or promise of whatever nature, including correspondence schools located within the State, except as follows:

(1) Schools maintained, or classes conducted, by employers for their own employees where no fee or tuition is charged;

(2) Courses of instruction given by any fraternal society, benevolent order, or professional organization to its members, which courses are not operated for profit;

(3) Flying schools qualified under the Federal Aviation Administration;

(4) Classes conducted for less than five students at one and the same time;

(5) Classes or courses of instruction that are conducted for twenty or fewer class sessions during any twelve-month period;

(6) Avocational, hobby, recreation, or health classes or courses;

(7) Courses of instruction on religious subjects given under the auspices of a religious organization; and

(8) Schools registered by the department of commerce and consumer affairs or by boards and commissions placed in the department of commerce and consumer affairs for administrative purposes."]

SECTION 3. Sections 302A-424 to 302A-428, Hawaii Revised Statutes, are repealed.

["[§302A-424] Regulation of other schools and classes. The department, at its discretion, may regulate schools, classes, or courses excepted from the definition of "private trade, vocational, or technical school.

§302A-425 License required for private trade, vocational, or technical school. No private trade, vocational, or technical school shall be operated by any person or persons, firm, or any other private organization or corporation for the purpose of teaching any trade, occupation, or vocation unless there is first secured from the department a license issued in accordance with sections 302A-424 to 302A-428 and in such form as the department may direct. The purpose of the licensing and regulation is to protect consumers against practices by private trade, vocational, or technical schools that are false, deceptive, misleading, or unfair, and to help ensure adequate educational quality at private trade, vocational, or technical schools.

[§302A-426] Suspension and revocation of license; procedure. (a) The department, after notice and opportunity for a hearing, may suspend or revoke a license at any time when, in the judgment of the department, the licensee is not complying with sections 302A-424 to 302A-428 or the rules that may be adopted by the board. The notice of hearing shall be served personally or sent to the licensee by registered or certified mail with return receipt at the licensee's last known address.

(b) Notice of suspension or revocation shall be served personally upon the licensee or sent to the licensee by registered or certified mail with return receipt, and the licensee shall forward the licensee's license at once to the department, and cease at once to operate the private trade, vocational, or technical school.

[§302A-427] Powers of department. No license shall be issued under sections 302A-424 to 302A-428 until the department has approved the method and content of the advertising, the standards and the methods of instruction, and the equipment provided. The department may consult with trade or vocational experts as to the equipment provided and the standards and methods of instruction offered. The department may adopt reasonable rules relating to the enforcement of sections 302A-424 to 302A-428.

[§302A-428] Penalty. Any person, firm, or corporation that violates sections 302A-424 to 302A-428 shall be guilty of a misdemeanor, but shall be subject to a maximum fine of not more than $100 or imprisonment for not more than ninety days, or both."]

SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 5. This Act shall take effect on July 1, 2005.

INTRODUCED BY:

_____________________________