Page:United States Statutes at Large Volume 106 Part 1.djvu/676

 106 STAT. 644 PUBLIC LAW 102-325—JULY 23, 1992 associated, or affiliated trade association or membership organization; "(2) among the membership of the board of the accrediting agency or association there shall be one public member (who is not a member of any related trade or membership organization) for each six members of the board, with a minimimi of one such public member, and guidelines are established for such members to avoid conflicts of interest; "(3) dues to the accrediting agency or association are paid s^arately from any dues paid to any related, associated, or affiliated trade association or membership organization; and "(4) the budget of the accrediting agency or association is developed and determined by the accrecUting agency or association without review or resort to consultation with any other entity or organization. "(c) OPERATING PROCEDURES REQUIRED,— No accrediting agency or association may be approved by the Secretary for the purpose of thistitle,unless the agency or association— "(1) performs, at regularly established intervals, on-site inspections and reviews of institutions of higher education (at least one of which inspections at each institution that provides vocational education and training shall be unannounced), with particular focus on educational quaUty and progrsim effectiveness, and ensures that accreditation team members are welltrained and knowledgeable with respect to their responsibilities; "(2) requires that any institution of higher education subject to its jurisdiction which plans to establish a branch campus submit a business plan, including projected revenues and expenditures, prior to opening the branch campus; "(3) agrees to conduct, as soon as practicable, but within a period of not more than 6 months of the establishment of a new branch campus or a change of ownership of an institution of higher education, an on-site visit of that branch campus or of the institution after a change of ownership; "(4) requires that teach-out agreements among institutions are subject to approval by the accrediting agency or association consistent with standards promulgated by such agency or association; "(5) maintains and makes publicly available written materials regarding standards and procedures for accreditation, appeal procedures, and the accreditation status of each institution subject to its jurisdiction; and "(6) discloses publicly whenever an institution of higher education subject to its jurisdiction is being considered for accreditation or reaccreditation. "(d) LENGTH OF APPROVAL.— No accrediting agency or association may be approved by the Secretary for the purpose of this Act for a period of more than 5 years. "(e) INITIAL ARBITRATION RULE. —The Secretary may not recognize the accreditation of any institution of higher education unless the institution of higher education agrees to submit any dispute involving the final denial, withdrawal, or termination of accreditation to initial arbitration prior to any other legal action. "(f) JURISDICTION. — Notwithstanding any other provision of law, any civil action brought by an institution of higher education seeking accreditation from, or accredited by, an accrediting agency or association approved by the Secretary for the purpose of this title

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