State Education Department

Tuition Reimbursement Account Financial Statements

The Tuition Reimbursement Account, which is administered by the State Education Department, was created to protect the financial interests of students attending certain post-secondary private schools. When these schools close or are found to be in violation of the State Education Law, the Account can be used to refund the tuition and student loans of the students who were attending the schools. The Account is financed by an assessment levied on the schools’ tuition revenue and by fines and penalties assessed against schools violating the Education Law. As of March 31, 2002, the Account’s fund balance reportedly totaled $1.8 million. We audited the Account’s balance sheet as of March 31, 2002, as well as the related statements of revenue, expenditures and changes in the Account’s fund balance for the year then ended. The assessments levied by the Department are to be based on certified financial statements submitted by the schools. Since such statements were not submitted by many of the schools, we were unable to render an opinion on the accuracy of the Account’s reported revenues.

For a complete copy of Report 2002-S-49 click here.