2023/2024 In-year Policy Changes

With the extraordinary growth in the private career college sector, Alberta’s Government is implementing measures to bring Student Aid to a more sustainable level that is in-line with average student enrolment growth rates. Alberta Student Aid is doing so to ensure higher education remains accessible to Albertans and that current and future generations have the support they need to succeed.

Alberta’s government will implement the following measures effective January 1, 2024:

• Private Career Colleges will be allowed 10 per cent growth in the number of students accessing Alberta Student Aid.
  • This is not a cap on enrolment, but a cap on the number of students accessing student aid.
  • The cap will be based on previous student aid academic funding years and measured over the current academic funding year. (Student aid’s academic funding year is August 1 through July 31, annually).
  • This cap is being implemented under the requirements of the Alberta Institution Designation Agreement (AIDA).
• Pause designations for new institutions for Alberta Student Aid funding for 12 months including institutions that are currently in their waiting period.

Cap Student Aid Funding at 10 Per Cent

• Under the Alberta Institution Designation Agreement (AIDA), effective January 1, 2024, Alberta Student Aid is placing a cap on the number of private career college students accessing Alberta student aid.
• The cap will be applied to any private career college that exceeds a 10 per cent increase in student aid funded students over one academic funding year (August 1 to July 31, annually).
• If the private career college has fewer than 200 students receiving student aid, their cap for the current academic year will be 200 students. For the next academic year, the private career college will be allowed the cap number plus 10 per cent more students.

Example:  School A has been designated for funding with Alberta Student Aid since 2021. They have started with 110 students being funded by Alberta Student Aid. In February 2024, they reach the threshold of 200 students. Their calculations are as follows:

• 2021: 110 students
• 2022: 143 students
• February 2024: 200 students = cap reached
• August 2024: 200 students X 10% = 220 students

Once School A reaches 200 students, Alberta Student Aid would impose a cap on their Alberta funding. In this example, their cap for 2024 would be 200 students and their cap for the next academic year that starts on August 2024 would be 220 students.  

• Any student aid application from a private career college that has reached their cap will not be assessed for Alberta Student Loans or Alberta Student Grants.
• Students may still be eligible to receive the maximum amounts available for Canada Student Loans and Canada Student Grants, if applicable; however, this funding might not fully cover their total financial needs for attending their programs.
• The cap will be dependent upon when the institution was first active. The base rule to identify Alberta private career college student maximums is based on 2019 student aid student counts with 10 per cent added for each year since 2019 until the current academic year. 
  • There is an exception – if 2019 was not the first year students from the institution received funding, the next academic funding year (2020) would be used instead in the calculation.

Example:  School B has been designated for funding with Alberta Student Aid since 2019.  They have started with 200 students being funded by Alberta Student Aid. Their calculations are as follows:

• 2019: 200 students X 10% = 220 students permitted to be funded in 2020
• 2020: 220 students X 10% = 242 students permitted to be funded in 2021
• 2021: 242 students X 10% = 266.2 students permitted to be funded in 2022
• 2022: 2 students X 10% = 292.82 students permitted to be funded in 2023

Therefore, the cap for 2023 is: 290 students (Note: student aid will round the number to the nearest tenth student).

Example:  New School C has been designated for funding with Alberta Student Aid since 2023. They currently have 100 students being funded by Alberta Student Aid. Their calculations are as follows:

• 2023: 100 students X 10% = 110 students
  
  Since School C is a new school and their enrollment in Student Aid is below 200 students funded, Alberta Student Aid would not impose a cap on their growth yet.

A 30-day notification period will be in effect for impacted private career colleges, in which the private career college will receive a letter from Alberta Student Aid alerting them that they are approaching their cap. Impacted private career colleges will receive a follow up notification once they have met their 10 per cent cap. 

• Students’ applications will be approved for both Alberta loans and grants and federal loans and grants until the date the institution reaches its cap.
• Following the cap being reached, students will only receive federal loans and grants for funding at that respective institution until the following academic funding year.

Advanced Education reserves the right to override the cap on a case-by-case basis.

Student Aid Cap Exemption Criteria

Private Career Colleges that fall under one of the following circumstances may request an exemption from the cap:

• The PCC is offering a regulated program (e.g., Health Care Aide); or
• The PCC is offering a hairstyling program that is accredited by the Registrar or offered as classroom instruction as part of an apprenticeship education program, under the Skilled Trades and Apprenticeship Education Act.

The Private Career Colleges must also meet all of the following criteria in order to be exempted:

• Must be in good standing under the Private Vocational Training Act (PVTA), for the entirety of operations, or the most recent three years, whichever is shorter.
• Must be in good standing under its AIDA.
• Must not be in the red zone (59.9% or less) for repayment rates in the previous year. For more information, please refer to Repayment Rate Benchmarks.

Note: If a PCC is approved for an exemption, the exemption will be taken into consideration for calculating their cap for the following academic year. The exemptions will only apply to each individual program within the institution.

Pause New Applications for Designation

• The designation of all new private career colleges has been placed on hold starting January 1, 2024. Private career colleges will be eligible for designation again starting January 1, 2025.
  
  
• Designation requests submitted on or after January 1, 2024 will be subject to the existing 12 months waiting period.
  
  
• Institutions who have served some or all of their waiting period under designation policy will further be impacted due to the pause.
  
  Example: School A started their waiting period for designation in September 2023. School A will be eligible for designation on January 1, 2025. During this pause, schools that are already designated and request an eligibility review for a new program designation will not be affected.

Pause on Designation Exemption Criteria

Private Career Colleges that fall under one of the following circumstances may request an exemption from the 12-month pause on designation:

• The PCC is offering a regulated program (e.g., Health Care Aide); or
• The PCC is offering a hairstyling program that is accredited by the Registrar or offered as classroom instruction as part of an apprenticeship education program, under the Skilled Trades and Apprenticeship Education Act.

Private Career Colleges must also meet all of the following criteria in order to be exempted:

• Must be in good standing under the Private Vocational Training Act (PVTA), for the entirety of operations, or the most recent three years, whichever is shorter.
• Must meet the designation requirements of the Student Aid Operational Policy and Procedure Manual and all other applicable policy, guidelines, regulation, and legislation.

Process for Requesting an Exemption

Each Private Career College seeking an exemption must complete a form, which will be attached to their notice letter. Alberta Student Aid will evaluate each PCC request against the exemption criteria and send follow up communication notifying the PCC of any change in their cap or designation pause. If Private Career Colleges do not have a copy of the exemption form, they may request the form by emailing the Student Aid Executive Director's inbox at: SAA.ExecutiveDirectorsOffice@gov.ab.ca.

Process for Requesting an Appeal for Exemptions

An appeal process has been developed for any institution that is not satisfied with the determination. Private Career Colleges requesting an appeal would need to send in a formal written request for an appeal to the Student Aid Executive Director's inbox at: SAA.ExecutiveDirectorsOffice@gov.ab.ca. Further instructions regarding the appeal process will be sent back to the Private Career College on how to appeal.

Licensing of Programs at Alberta Private Career Colleges (under the Private Vocational Training Act)

Before becoming eligible for designation for the purposes of student aid, programs offered at Alberta private career colleges must be licensed by the Private Career Colleges Branch as required under the Private Vocational Training Act. Licensing requirements for PCCs consider both industry support for the program and the institution’s ability to safely and effectively deliver that program to students. The application and licensing process requires that the PCC demonstrate labour market demand for the program and evidence that the industry supports the proposed curriculum.

Career programs offered by Alberta PCCs must be licensed by the Government of Alberta in accordance with the Private Vocational Training Act and the Private Vocational Training Regulation.

The licensing process has been designed to help PCCs understand and comply with the Private Vocational Training Act and Regulation. This is to ensure that rigorous program development and planning has taken place. For more information on the licensing process or to contact the PCC Branch, visit Alberta Private Career Colleges website.

Designation Process

After the above licensing process has been completed, Alberta Student Aid receives an internal request to review the new PCC and its licensed program(s) for designation. At this time, the PCC is reviewed against the Alberta Private Career College Institution Designation Requirements, discussed below.

Alberta Institution Designation Agreement (AIDA)

After licensing requirements have been met and if the institution meets the designation eligibility criteria, private career colleges may have their programs designated for student financial assistance by signing an Alberta Institution Designation Agreement (AIDA). This agreement sets out the policies and guidelines that an institution must adhere to in the administration of student aid to maintain designation status. Compliance with the AIDA is monitored by the Program Accountability and Designation Unit of Alberta Student Aid.

See a sample of the AIDA on the Resources for Schools section.

Alberta Private Career College Institution Designation Requirements

To be designated for Alberta and/or Canada student loans and grants, an Alberta private career college (PCC) must meet the following requirements:

1. have signed and adhere to the Alberta Institution Designation Agreement for Student Aid which will require the educational institution to comply with legislation, permit audits and to meet other requirements including to:
1. insure its operations under a contract of General Liability Insurance, in accordance with the Insurance Act, in an amount not less than $2,000,000 insuring against bodily injury, personal injury, and property damage,
2. establish and publish its tuition and fee policies,
2. have the educational institution owner attend training offered by Alberta Student Aid,
3. collect and report information to Advanced Education as required,
4. develop and provide a loan repayment strategy, and       
5. adhere to the Institution Designation Waiting Period.                                                 

Once a newly licensed PCC meets the Alberta Private Career Colleges Institution Designation requirements, its licensed program(s) will be approved for designation status. A newly licensed PCC has designation status when at least one of its licensed programs is designated for student aid.

Alberta Student Aid receives an internal request to review a new program for designation status when a designated PCC offers a newly licensed program. Each newly licensed program will become eligible for designation status provided the program meets the Alberta Private Career Colleges Program Designation Requirements.

Institution Designation Waiting Period

Any educational institution, including a new campus (as defined in the Private Vocational Training Regulation) for existing PCCs, that does not have a program licensing application under review by the Private Careers Colleges branch of Advanced Education before

May 29, 2020 will be subject to the Institution Designation Waiting Period Policy. Educational institutions with programs that are currently in the process of being licensed and/or designated by May 29, 2020 will not be impacted. A PCC that has been licensed prior to May 29, 2020 will not be subject to the Institution Designation Waiting Period for new programs at the same campus. 

Before a program at an Alberta PCC campus can be considered for designation for Alberta and/or Canada student aid, at least one post-secondary level program licensed under the Private Vocational Training Act (PVTA) offered by the campus must have been licensed for at least 12 months. The PCC must have had student attendance in a program for which they have applied for designation during the Institution Designation Waiting Period.

The Institution Designation Waiting Period only applies for the first program submitted for designation review for each campus. Any additional programs licensed within the Institution Designation Waiting Period will be eligible for designation once the Institution Designation Waiting Period for the first program has passed.

Example:

• If Program A is licensed on January 31, 2018 and Program B is licensed on June 1, 2018, both Program A and Program B will be eligible for designation on January 31, 2019.

Additional time beyond the Institution Designation Waiting Period may be required to validate student attendance as Student Aid will use the annual reporting process for licensing under the PVTA to confirm this information.

Stop orders and/or Director’s orders issued under the PVTA or other significant compliance or legal issues related to the operation of the educational institution that occur within the Institution Designation Waiting Period between licensing and designation will be taken into account and may impact an educational institution’s final designation eligibility.

Examples:

• Failure to meet annual reporting requirements for licensed programs;
• Concerns regarding the adequacy of the educational institution’s financial resources for the continued provision of licensed programs;
• Educational institutions are not delivering programs as licensed;
• Compliance issues pertaining to student complaints and student enrollment contracts.

Request for Exemption from Institution Designation Waiting Period

Request for Exemption from Institution Designation Waiting Period

An existing Alberta PCC that is opening a new campus in Alberta may request an exemption from the Institution Designation Waiting Period if they are seeking designation status for the new campus.

A request for exemption may only be submitted after the new campus has been licensed under the Private Vocational Training Act (PVTA).

A request for exemption from the Institution Designation Waiting Period will be reviewed by the Executive Director of Student Aid on a case-by-case basis.

Past performance and compliance history will be taken into account for existing PCCs that wish to request exemption from the Institution Designation Waiting Period for the new campus.

No requests for exemptions will be considered from an existing Alberta PCC that has had a repayment rate result in the red zone (unacceptable 0-59.9%) in any of the last three most recent years at any of its campuses. At least one of the existing Alberta PCC campuses must have three or more years of historical repayment rates.

No requests for exemptions will be considered from an existing Alberta PCC with stop orders and/or Director’s orders issued under the PVTA.

An educational institution may contact the Program Accountability and Designation Unit if they wish to request for exemption from the Institution Designation Waiting Period by sending an email to: piaunit@gov.ab.ca.

Alberta Student Aid will review the request and may contact the educational institution if additional information is required. As part of this review, Alberta Student Aid may conduct a compliance review of the existing Alberta PCC campuses and a meeting with the educational institution’s representatives may be scheduled to seek further clarification.

Once a decision has been made, the educational institution’s designated representative will be notified in writing.

Program Designation Requirements

To be designated for full-time Alberta and Canada student loans and grants, a program offered by an Alberta PCC must meet the General Program Designation Requirements as well as the following requirements:

1. be licensed under the Private Vocational Training Act,
2. be offered by an educational institution that has signed the Alberta Institution Designation Agreement,
3. be post-secondary in nature and result in a certificate, diploma or degree credential,
4. be a program of 12 weeks or more in length,
5. if the Minister considers the employment of graduates to be relevant, the potential for employment for graduates of the program is acceptable to the Minister, and
6. have at least 20 instruction/practicum hours on average per week.

A program that meets criteria (a) through (e) but is only delivered with less than 20 instruction/practicum hours per week is not eligible to be designated for Canada student aid but may be designated for part-time Alberta student aid only.

If a program is delivered online, additional designation requirements must be met.