HB 97 amends Utah’s private postsecondary education disclosure requirements. It requires schools to provide clear written disclosures before enrolling a student or accepting payment, including the school’s identity and location, enrollment qualifications, program details, tuition and fees, financing terms, accreditation status, complaint-filing information, and student outcome information required by rule. The bill also clarifies the school’s cancellation and refund policy, including the timing of the three-business-day cooling-off period.
A key substantive change is that the bill defines the cooling-off period so that it cannot end before midnight on the third business day after the latest of several events: signing the enrollment agreement, paying for services, first attending the school, or first accessing services. It also exempts a reasonable deposit from the amount a school must refund if a student rescinds during that period, so long as the deposit does not exceed 10% of the total cost of first-term tuition. The bill makes related technical and conforming changes and takes effect May 7, 2025.
Impact
The bill amends Utah Code Section 13-34-109, which governs required disclosures by private postsecondary schools. Its main legal effect is to refine the timing and scope of mandatory refund rights and disclosure obligations for schools that enroll students or accept payment, while preserving the existing three-business-day rescission framework. It also narrows refund exposure for schools by allowing retention of a reasonable deposit within the stated cap, and it reinforces website-based complaint disclosure options.
Sentiment
The bill appears to have been broadly supported and noncontroversial. It passed the House and Senate with unanimous votes at each recorded stage, including committee recommendations and floor readings, suggesting general agreement that the changes were clarifying and consumer-protective rather than politically divisive. The absence of recorded opposition or committee discussion indicates a largely favorable reception.
Contention
No notable opposition is reflected in the available record. The only potentially sensitive issue is the balance between student protections and school flexibility: consumer advocates could focus on ensuring students can fully recover payments during the cooling-off period, while postsecondary schools may favor the new ability to keep a limited deposit and the clarified timing rules. However, the unanimous votes suggest these issues were not contentious in practice.