SHEEO State Authorization Inventory. Michigan Last Updated: May 2013

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1 SHEEO State Authorization Inventory Michigan Last Updated: May 2013 Please note: For purposes of this survey, the terms authorize and authorization are used generically to include approve, certify, license, regulate, recognize, empower, or similar actions relative to the operation, provision, or availability of postsecondary education in your state. 1. Agency and Contact Information a. Agency Name: Michigan Department of Licensing and Regulatory Affairs o Description: Michigan Department of Licensing and Regulatory Affairs has authority over private colleges, universities, and non degree granting proprietary schools. o Contact: Michael Beamish Michigan Department of Licensing and Regulatory Affairs Bureau of Commercial Services Licensing Division PO Box Lansing, MI beamishm@michigan.gov o Please state who institutions should contact if they have questions about your agency s authority, policies, or application process? See above. b. Links: Link to regulations: _35414_2739,00.html c. The following agencies also have responsibility for authorization in the state Proprietary School Licensing Sources (please see Attachment 1) d. If the division of responsibility among these agencies is not clear, please explain. Page 1 of 10

2 2. Types of Educational Providers Authorized a. Please indicate the types of institutions that your agency authorizes, using the list below. Please answer yes or no to each item. Feel free to provide a short explanation of any ambiguity, including any necessary clarification of instate, out of state, or other terminology. Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Public, in state degree granting institutions Public, out of state degree granting institutions Private, in state, not for profit degree granting institutions Private, out of state, not for profit degree granting institutions Private, in state, for profit degree granting institutions Private, out of state, for profit degree granting institutions Public, in state, non degree granting institutions Public, out of state, non degree granting institutions Non degree, not for profit institutions Non degree, for profit institutions Religious institutions Tribally controlled institutions Clarifying comments: b. Is an institution required to obtain approval from more than one agency to be authorized in your state (excluding purely programmatic approvals)? If so, please explain. c. Is accreditation required for an institution to be authorized in your state? o If yes, please explain: For degree granting o If yes, what type of accreditation is required? Please, check all that apply as appropriate. X Regional X National Programmatic/specialized Clarifying comments: Page 2 of 10

3 d. Does your agency authorize specific academic programs offered by institutions or only institutions themselves? Both. e. Programs in certain subject areas that may require separate approval. Education Please see Attachment 1. Nursing Please see Attachment 1. Social Work Please see Attachment 1. Counseling Psychology Please see Attachment 1. Allied Health Professions and related programs Please see Attachment 1. Others [please list] Please see Attachment Exemptions a. Are certain institutions or programs exempt by law or policy from your state authorization requirements? No. o If yes, please describe which institutions or programs the exemption applies to and how it works? If available, please provide any pertinent web links. o If yes, how does the institution or program claim an exemption? For example, is the exemption automatic as long as it meets specified criteria, does the institution or program notify the agency and the exemption is granted, is there an application process, etc.? b. If an institution or program is exempt from state authorization, are there any other state requirements that an institution would need to fulfill in order to operate in your state (e.g., providing contact information, list of programs, etc.)? Page 3 of 10

4 c. Does your state constitution or do your state laws provide any exemptions for religious institutions? Yes narrow exemption. o Are all religious institutions exempt (please describe)? No. Please see x?page=getobject&objectname=mcl a o Are religious institutions that award only religious degrees or certificates exempt (please describe)? No. o Are certain religious institutions exempt that meet other criteria (please describe)? Yes. Please see x?page=getobject&objectname=mcl a 4. Authorization of Distance Education a. Does your agency require purely (100%) distance education programs, including online or correspondence study programs that enroll residents of your state, to be authorized without regard to physical presence? On line no/ correspondence yes. b. If not, does your agency determine whether an institution must be authorized based on a physical presence or operating standard? Yes. 5. Physical Presence Policy Common Triggers a. If your agency uses a physical presence standard, how does your agency define physical presence? If available, please provide a link to that policy or a citation to the relevant regulation giving that standard. Brick and mortar of some type and providing face to face instruction. b. Please specify whether any of the following activities would constitute a physical presence or signify operating in your state, assuming that the named activity is Page 4 of 10

5 the institution s sole activity in your state. Please answer yes or no to each question. In addition you may provide a short explanation of any ambiguity. o Permitting a student to complete an internship, externship, field experience, or clinical practicum organized by the institution? No. o Does this apply only to distance education students or more generally? o Permitting a student to complete an internship, externship, field experience, or clinical practicum found by the student acting independently? No. o Does this apply only to distance education students or more generally? o Employing full time faculty in the state to provide instruction via distance education programs to students in the state? No. o What about adjunct faculty? No. o Employing full time faculty in the state to provide instruction via distance education programs solely to students outside of the state? No. o What about adjunct faculty? No. o Having a contract/agreement between the institution and in state institutions or in state entities to provide services for students (i.e. library, gym, computer centers, etc.)? Case by case evaluation, generally no, for cited examples. o Organized, consistent, on the ground recruiting of students in the state by employees or agents of the institution? Yes, requires permit if institution has degree authority below the baccalaureate in home state. Page 5 of 10

6 o What if the agent is only recruiting students in the state on an occasional basis (i.e. at job fairs)? Yes, requires permit if institution has degree authority below the baccalaureate in home state. o Advertising in local media sources that are largely viewed by residents of the state? No. o Advertising in national media sources that can be accessed by residents of the state? No. o Having computer servers or other equipment located in the state? Yes. o Hosting short term, face to face, seminars or conferences in the state where students meet in person? Case by case evaluation. o Employing mentors, tutors, or preceptors in the state to aid students, who are residents of the state, on an individual basis? No. o Requiring a student to take a proctored exam at a location or with an entity in the state prescribed by the institution? No. o Requiring a student to take a proctored exam with an entity in the state chosen by the student but approved by the institution? No. o Other [please explain] c. Of the activities or conditions listed above that alone would not constitute a physical presence, are there any that if combined would create a physical presence? Page 6 of 10

7 6. Application Process a. Please provide a short description of the application process to obtain state authorization. If available, please provide web links to the specific references to all applicable state laws, regulations, manuals, forms, or other pertinent documents. Non degree Granting: Degree Granting: Policies and Procedures on the Establishment and Approval of NonPublic Colleges and Universities in Michigan Please see Attachment 2. Related memos and documents: b. Generally, how long does it take to approve applications (assuming that the agency has received all required information from the institution)? Please provide a typical range if appropriate days. c. What is the authorization duration? 1 year non degree granting. Perpetual degree granting as long as adequacy is maintained. d. What does an institution need to do to maintain authorization? Non degree granting license renewal/ degree granting, as long as adequacy of 5 areas found in law are maintained. e. What kinds of information or data must an institution report to your agency as a condition for continued authorization? How frequently is this reported or updated? Is this information published or shared publicly? Non degree program starts, completions and placements. Degree granting none currently. f. Can an institution lose its authorized status? If so, how? Fail to renew, degree granting lose accreditation. Page 7 of 10

8 g. Can a multi institutional system or college corporation apply to your agency for authorization on behalf of all of its component institutions? If so, please describe the process. Case by case, most likely no, only for component institutions actually operating in state. h. Would multi institution public systems be treated the same as multi location forprofit institutions? Yes. i. What distinctive features in your authorization process would be useful for applicants to know (e.g., certain times during the year that you process applications for authorization, sharing of applications or information about proposed programs with institutions or other stakeholders in your state for comment)? N/A. j. Is your agency currently planning to amend its application process by the end of 2011? No. o If yes, please provide a brief description of the anticipated change. o If yes, when does the agency expect the change to be fully implemented? 7. Fees Associated with Authorization a. Is there an application fee to initiate the authorization process? If so, what is the fee or fee schedule? Please provide a web link if available. Yes. Non degree Granting: $1,315 Fees may be adjusted according to the Consumer Price Index. Degree Granting: No Fee b. Are there any other costs associated with the state authorization process (e.g. site visits, hiring a reviewer, surety bond, tuition recovery fund, agent licensing, etc.)? Non degree surety bond. c. What are the costs, if any, to renew authorization? Non degree Varies by student head count $ $ Page 8 of 10

9 d. What costs are associated with receiving a waiver or exemption to authorization? Not applicable. 8. Interstate Reciprocity a. Do your state regulations explicitly allow or prohibit interstate reciprocal agreements about authorization? If so, please describe. Not explicitly allowed or prohibited. b. What is the process, if any, to obtain a reciprocal agreement with your state? c. Are there any reciprocal agreements currently in place or under consideration? If so, please list those agreements. d. If interstate reciprocal agreements are not addressed in your regulations, would your agency consider establishing such agreements? Please elaborate. 9. Consumer Protection and Student Complaints a. Does your agency have a process for handling complaints about postsecondary institutions or programs? If yes, please describe the process or provide a web link to the material that describes the complaint process. Yes. And/ or ,00.html o If yes, does this complaint process extend to institutions not authorized by the agency that may enroll residents of the state (such as explicitly distance education programs with no physical presence or exempt institutions)? No. o If available, please provide a web link to the complaint form. o Who is the contact person for receiving complaints? Please include name, title, address, phone, and if available. b. If your agency has no formal process for handling complaints related to postsecondary institutions, what state agency would handle a complaint? Page 9 of 10

10 10. Enforcement a. If your agency finds that an institution or program is operating in your state without authorization, what is the resulting warning or enforcement action? Refer to Attorney General and/or local law enforcement. b. Can an institution or program appeal a warning or enforcement action? If yes, please describe the process or provide web links to the regulations/policies. 11. Legislative or Regulatory Changes a. Is your agency no or state legislature planning to amend its regulations or alter its physical presence policy by the end of 2011? Cannot speak for the state legislature. o If yes, please provide a brief description of the anticipated change. o If yes, when does the agency expect the change to be fully implemented? b. Is your agency no or state legislature making changes in your state regulations or statutes so that institutions with locations in your state would be considered legally authorized in accordance with the federal institutional eligibility regulations? Cannot speak for the state legislature. o If yes, please provide a brief description of the anticipated change. o If yes, when does the agency expect the change to be fully implemented? c. Is your agency or state legislature making any other changes in your state regulations or statutes with regard to state authorization? Cannot speak for the state legislature. o If yes, please provide a brief description of the anticipated change. o If yes, when does the agency expect the change to be fully implemented? 12. Is there anything else about the authorization process in your state that we and others ought to know about? Page 10 of 10

11 Proprietary School Licensing Sources Administrative Guidelines PROPRIETARY SCHOOL LICENSING SOURCES Section 17.0 Page 1 of 5 REV.6/15/10 Attachment 1 PROPRIETARY SCHOOL LICENSING SOURCES The following information is provided to help prospective schools with State of Michigan license requirements. Most privately operated organizations that offer non-degree occupational training for a fee or other consideration are legally required to be licensed by Michigan Department of Licensing and Regulatory Affairs (LARA), Division of Licensing. Nonprofit organizations offering occupational training are also subject to licensing requirements. Schools that are headquartered in another state but offer training at a Michigan location must have the appropriate Michigan license. (Authority: Public Act 148 of 1943 as amended.) Schools that are located in another state but collect fees from, recruit, and serve Michigan residents must apply for a certificate of compliance. Each solicitor must be licensed by LARA Proprietary Schools Licensing section to solicit business in Michigan. (Authority: Public Act 40 of 1963.) Schools that prepare students to enter certain specialized occupations may be licensed or approved by a State of Michigan agency other than the LARA, Division of Licensing, or by both LARA, Division of Licensing and another State agency. If an area of study is not specifically listed below, then the Division of Licensing is responsible for program approval and school licensing requirements. If you have questions or need a license application, you may call LARA, Bureau of Licensing, at License applications and further information is available on the Proprietary School Licensing section website at Aeronautics Schools Aeronautics schools and programs teaching flying and ground work relative to flying are inspected and licensed annually by the Michigan Department of Transportation, Bureau of Aeronautics, Capital City Airport, Lansing, Michigan For information on Aeronautics schools and programs, call For a listing of aeronautics schools licensed by the Michigan Department of Transportation go to: Schools teaching aircraft mechanics, dispatchers and technicians are licensed by the Proprietary School Licensing section. Asbestos Abatement Training Programs The Michigan Department of Licensing and Regulatory Affairs, Construction, Safety and Health Division- Asbestos Program, 7150 Harris Drive, P.O. Box 30671, Lansing, Michigan, license Asbestos Abatement/Hazardous Material Training schools and programs. For information on Asbestos Abatement Training schools and programs, please call For a list of approved Asbestos Training Programs go to: ch.y=10

12 Proprietary School Licensing Sources Administrative Guidelines PROPRIETARY SCHOOL LICENSING SOURCES Section 17.0 Page 2 of 5 REV.6/15/10 Lead Abatement Training Programs Training providers accredited under the Lead Abatement Act: Act Nos. 219 & 220, Public Acts of 1998 Act No. 644, Public Acts of 2002 Act Nos. 400, 431, 432, 433, 434; Public Acts of 2004 Amendments to Michigan Public Health Code Act 368 of Public Acts of 1978 Are not required to hold proprietary school license. Contact Certification and Compliance Officer, Department of Community Health, Lead Abatement: Barber and Cosmetology Schools The Michigan Department of Licensing and Regulatory Affairs, Board of Barber Examiners and Board of Cosmetology, P.O. Box 30018, Lansing, Michigan licenses Barber and Cosmetology schools and programs. For information on Barber and Cosmetology schools and programs, please call For further information, log on to or For a list of approved Barber schools go to: For a list of approved Cosmetology schools go to: Commercial Vehicle Training Programs Truck driver training schools and programs are licensed by the Michigan Department of State, Driver Programs Division-Driver Education Section, 430 West Allegan Street, 3 rd Floor, Lansing, MI For information on truck driver training schools and programs, please call For further information, log on to For a list of approved Truck Driver Training Schools go to: Exceptions: The Proprietary School Licensing section licenses heavy equipment schools. Driver Training programs are licensed by the Michigan Department of Education. For information please call For further information, log on to Select Offices, then Grants Coordination and School Support, then Pupil Transportation. For a list of approved Driver Training programs go to:

13 Proprietary School Licensing Sources Administrative Guidelines PROPRIETARY SCHOOL LICENSING SOURCES Section 17.0 Page 3 of 5 REV.6/15/10 Emergency Medical Services (EMS) Programs The Proprietary School Licensing section of the Michigan Department of Licensing and Regulatory Affairs licenses Paramedic and EMS schools in cooperation with the Michigan Department of Community Health (MDCH), 1. All facilities offering Paramedic programs, must be licensed as a proprietary school through LARA and have Paramedic program approval from MDCH. Exclusions: Hospitals licensed by MDCH under the Public Health Code, State of Michigan approved colleges, and secondary schools, adult education centers and vocational/technical schools that operate under the authority of the State Board of Education must have Paramedic program approval from MDCH only. 2. All facilities offering any other type of EMS program must be licensed as a proprietary school through DELEG and have EMS program approval from MDCH. Exclusions: Life support agencies and hospitals licensed by MDCH under the Public Health Code, State of Michigan approved colleges, and secondary schools, adult education centers and vocational/technical schools that operate under the authority of the State Board of Education, must have EMS program approval from MDCH only. For information on EMS programs, contact EMS and Trauma Systems Section, Capitol View Building, 6 th Floor, 201 Townsend St., Lansing, Michigan 48913, telephone or log on to Select Emergency Medical Services. Insurance Training Programs The Michigan Department of Licensing and Regulatory Affairs, Office of Financial and Insurance Services (OFIS), approves all continuing education and pre-licensure training providers. For information on insurance and mortgage training programs, please call, or log on to Select Licensing. For a list of approved insurance training programs go to: Nursing Programs The Licensing Division of the Michigan Department of Licensing and Regulatory Affairs licenses all schools offering non-degree Registered Nursing and Licensed Practical Nurse training. These schools must also have their individual programs approved by the Michigan Board of Nursing, Department of Community Health, Bureau of Health Professions, P.O. Box 30670, Lansing, Michigan For information on nursing schools and programs, please call For further information, log on to For a list of degree granting Nurse training programs go to:

14 Proprietary School Licensing Sources Administrative Guidelines PROPRIETARY SCHOOL LICENSING SOURCES Section 17.0 Page 4 of 5 REV.6/15/10 Nurse Aide Training The Licensing Division of the Michigan Department of Licensing and Regulatory Affairs licenses all Nurse Aide training programs conducted by non-state licensed nursing homes. This also includes Nurse Aide training programs conducted by state licensed nursing homes if they provide training to anyone other than their own employees or employees of another state licensed nursing home. In all instances, these schools must also have their individual programs approved by the Department of Community Health, Bureau of Health Professions, P.O. Box 30670, Lansing, Michigan For information on nurse aide programs, please call For further information, log on to For a list of degree granting Nurse training programs go to: Private Security The Proprietary School Licensing section of the Michigan Department of Licensing and Regulatory Affairs licenses all private security police training schools. These schools must also have their individual programs approved by the Michigan Commission on Law Enforcement Standards, 106 W. Allegan Street, Suite 600, Lansing, MI For information on private security police schools and programs, please call For further information log on to For a list of MCOLES approved police training academies go to: Real Estate, Builders, and Auctioneering The Proprietary School Licensing section of the Michigan Department of Licensing and Regulatory Affairs licenses all Real Estate schools. These schools must also have their individual programs and instructors approved by the Michigan Department of Licensing and Regulatory Affairs, Testing and Education Services, P.O. Box 30018, Lansing, Michigan For information on Auctioneer and Real Estate schools and programs, please call For information on Residential Builders schools and programs, please call For further information, log on to Select Commercial Services and Corporations, Licensing Services, then Auctioneers, Residential Builders, or Real Estate. Pesticide and Plant Pest Management Programs The Michigan Department of Agriculture licenses all Pesticide and Plant Pest Management programs. For information on Pesticide and Plant Pest Management programs, please call For further information, log on to Utility Company Education Programs The Michigan Public Service Commission (MPSC) licenses Utility Company Education programs. Utility companies that provide education programs to their commercial customers on how to reduce energy costs as part of their Energy Optimization Plans approved by the Michigan Public Service Commission (MPSC) as required by P.A. 295 of 2008 are exempt from licensing as a proprietary school. For information on Utility Company Education programs, please call (517) For further information, log on to If a school/ training provider / utility company expand outside of the scope of Michigan Public Service Commission approval, in terms of program offerings, or audience e.g. offering courses to the general public, they would then be required to be licensed as a proprietary school.

15 Attachment 2 POLICIES AND PROCEDURES ON THE ESTABLISHMENT AND APPROVAL OF NONPUBLIC COLLEGES AND UNIVERSITIES IN MICHIGAN Michigan Department of Energy, Labor and Economic Growth Bureau of Workforce Transformation Lifelong Learning Division Private Postsecondary Education May

16 NOTICE TO THE PUBLIC Executive Order No (October 2, 2003) transferred all of the statutory powers relating to post secondary educational corporations from the Department of Career Development to the Department of Energy, Labor and Economic Growth. This includes Sections 170 to 177 of the Michigan General Corporations Act, 1931 PA 327, MCL to 177, and Section 10(c) of 1964 PA 287, MCL (c), regarding educational corporations and foundations. The Michigan General Corporations Act was amended by 2006 PA 420. This act formalized the Department of Energy, Labor and Economic Growths authority over private colleges and universities and removed reference to the State Board of Education. 2

17 TABLE OF CONTENTS I. Frequently Asked Questions II. Introduction A. Educational Enterprises Defined B. Names of Educational Enterprises C. Degree Nomenclature D. Triennial Inspections by the Department of Energy, Labor and Economic Growth E. Annual Reports to the Department of Energy, Labor and Economic Growth III. Adequacy of Educational Enterprises A. Housing Space and Administrative Facilities B. Educational Programs C. Laboratories, Libraries, and Other Teaching Facilities D. Faculty and Staff E. Required Capitalization F. Approval/Determination G. Procedures for Inspection by Department of Energy, Labor and Economic Growth IV. Outline of a Report to the Department of Energy, Labor and Economic Growth Requesting Approval to Operate a Private College or University APPENDICES A. Educational Corporations (Act 327 of the Public Acts of 1931, as amended, Michigan Compiled Laws ) B. Nonincorporated, Privately Operated Institutions (Act No. 142 of the Public Acts of 1964, as amended, Michigan Compiled Laws ) C. Foreign Corporations (Act 284 of the Public Acts of 1972, Michigan Compiled Laws

18 I. FREQUENTLY ASKED QUESTIONS Establishing a Non-Public Postsecondary Educational Institution in Michigan Frequently Asked Questions Revised May 2010 All Non Public Postsecondary Educational Institutions that would like to conduct educational programs that are post-high school in nature must be approved by the State under Michigan statutes to operate a college or a postsecondary institution before it opens. This includes individuals, corporations, and nonincorporated bodies regardless if they are for-profit or non-profit entities. The following options are available to operate as a postsecondary institution: 1) Non-Incorporated Private Educational Institution (Institute): To offer an educational program and grant degrees, you may apply for approval as a Non-Incorporated Private Educational Institution under Public Act 142 of Non-Incorporated Private Educational Institutions are not required to be education corporations. The proposed institution must meet minimum standards to demonstrate adequacy of resources in the following areas: a. housing space and administration facilities; b. educational programs leading to the diplomas or degrees; c. laboratory, library, and other teaching facilities; d. instructional staff. The proposed institution must submit a written proposal that addresses these four areas. As a Non-Incorporated Private Education Institution, the institution would be able to grant diplomas, certificates, and degrees. Use of the word, college or university however, is not permitted under Section 171 of the General Corporation Act. Regional or national accreditation from a United States Department of Education recognized accrediting body is a prerequisite for consideration of approval. 2) Educational Corporation (Private College or University): If the organization desires to be to incorporated and offer degrees as a Private College or University, they must organize as an Educational Corporation under Public Act 321 of 1937 as amended, the General Corporation Act or receive approval as Foreign Corporation (out of state institution) under Act 284 of 1972, which provides the authority to conduct business in Michigan. The proposed Private College or University must demonstrate it meets the five areas of adequacy required under Section of the General Corporation Act. The proposed institution must submit a written proposal that addresses each of the five areas of adequacy. The five areas of adequacy that must be met are: a. the housing space and administration facilities which it possesses or proposes to provide for its declared field or fields of education are adequate; b. its proposed educational program leading to the diplomas or degrees which it proposes to offer is adequate; 4

19 c. its laboratory, library, and other teaching facilities which it possess or proposes to provide are adequate; d. it has or proposes to employ an adequate staff, fully trained for the instruction proposed, and; e. at least 50% of its capital, whether of stock or in gifts, devises, legacies, bequests or other contributions of money or property, has been paid in or reduced to possession. An Educational Corporation may grant diplomas, certificates, and degrees. Use of the word, college, or university is permitted under the conditions found in the General Corporation Act. Regional or national accreditation from a United States Department of Education recognized accrediting body is a prerequisite for consideration of approval. 3) Trade Schools, Business Schools, and Institutes Career focused schools may organize instruction under The Private Trade Schools, Business Schools, and Institutes Act (PA 148 of 1943 as amended) and may be incorporated as a for- profit or non- profit corporation or unincorporated. The school must adequately complete a new school permit application. The application addresses the criteria in the Act regarding the method and content of the advertising, the standards and the methods of instruction, the personnel, and the operating and instructional practices of the school. An on-site inspection is conducted to verify the findings in the application. After one successful year of operation, a license must be annually renewed. The use of the term college or university cannot be used nor can degrees be granted under this organizational structure. The organization would be able to grant certificates of participation and completion and/or diplomas to students. There is a one-time application fee and an annual renewal fee to be licensed. ADDITIONAL CONSIDERATIONS 1) Religious Entities A Church, organized as an Ecclesiastic Corporation, for the purpose of teaching its religious beliefs and principles may not operate as a college offering a program of study beyond secondary education. Section 171 of the General Corporation Act does not permit a Church to use the word, "college, or university " and grant degrees without forming an educational corporation. However, an Ecclesiastic Corporation may operate a postsecondary institution and charge fees for the purpose of teaching its religious beliefs and principles by applying for a license under The Private Trade Schools, Business Schools, and Institutes Act (PA 148 of 1943) and grant diplomas. 2) Operating Without State Approval The Authentic Credentials in Education Act, PA 100 of 2005 prohibits schools from providing degrees, diplomas or other credentials unless authorized by the State. A person damaged by violation of this act may bring a civil action to recover damages of at least $100, Further Questions If you have further questions regarding the procedure in applying for authority to operate a nonpublic postsecondary education institution, please contact: Michael Beamish at or beamishm@michigan.gov 5

20 II. INTRODUCTION The Michigan Department of Energy, Labor and Economic Growth has broad authority regarding the establishment and approval of nonpublic institutions of higher education. This authority is derived principally from language contained in the State s General Corporation Code, 1 which requires approval of the Department of Energy, Labor and Economic Growth prior to the issuance of a corporate charter which would permit the granting of college degrees and approval of revisions of charters affecting the educational purpose of the institution. Similar authority over non-incorporated, privately operated colleges is provided under s separate legislative act. 2 The Department of Energy, Labor and Economic Growth also has authority over nonpublic institutions from outside of Michigan seeking to conduct classes or programs for degree credit within the state. 3 In general, The Department of Energy, Labor and Economic Growth is empowered to review, prior to operation, any proposed corporation charter containing authority for granting of collegiate credit or leading to the award of any collegiate degree, which would be conducted within the State of Michigan by a nonpublic institution. The Department of Energy, Labor and Economic Growth must also give prior approval to any amendments to existing articles of incorporation of a nonpublic college or university which wishes to expand its scope of operation of degree offerings beyond that permitted by its present charter. Specifically, the Department of Energy, Labor and Economic Growth must review the proposed program in the following areas: 1. Housing space and administrative facilities 2. Proposed Educational program 3. Laboratory, library, and other teaching facilities 4. Faculty and staff 5. Minimum paid-in capital as required by Act 327. The Attorney General has ruled that the Department of Energy, Labor and Economic Growth must make a finding of adequacy on each of the five areas prior to completion of filing of articles of incorporation (or issuance of a Certificate of Authority in the case of out-of-state institutions). No courses or programs may be conducted in the state until the review process has been completed, the Department of Energy, 1 Act No. 327 of the Public Acts of 1931, as amended (Michigan Compiled Laws ) Appendix B. 2 Act No. 142 of the Public Acts of 1964, as amended (Michigan Compiled Laws ) Appendix C. 3 Act No. 284 of the Public Acts of 1972, (Michigan Compiled Laws ) Appendix D. 6