Private Career Schools in New Jersey Need Surety Bond

Private career schools in New Jersey need a surety bond

Private career schools in New Jersey will see changes to their surety bond as of December 19, 2016. Private career schools are regulated by the Department of Labor and Workforce Development’s Center for Occupational Employment Information (COEI).

Private career schools are defined as either for profit or not for profit schools that charge tuition or receive public funding for preparing students for further education or the workforce. Published in Volume 24, Issue 48 of the New Jersey Register, the new regulations will require these schools to post a bond that is $20,000 or 5% of annual gross tuition income from the previous three years, whichever amount is greater.

In addition to the surety bond provision, the regulations also require the issuance of a Certificate of Approval by New Jersey’s Department of Labor and Workforce Development and Department of Education. The Certificate is valid for two years and must be prominently displayed at the private career school.

Private career school owner-applicants must submit the following documents to be reviewed by the Department of Education’s Training Evaluation Unit:

  • Completed application form
  • Statement of Assurances guaranteeing the accuracy and truthfulness of application information
  • Chart organizing school’s ownership hierarchy
  • Proof of designated business account separate from owner or owners’ other accounts
  • $20,000 surety bond
  • Proof of authority to conduct business in New Jersey
  • Proof of liability and workers’ compensation insurance
  • Proof of compliance with state Uniform Construction Code for fire, health and occupancy
  • Proof of ownership or rental agreement for no less than one year
  • Copy of the facility floor plan, showing the locations of at least fire exits, classrooms/labs, restrooms and file cabinets containing student records
  • School catalogue, student contract and student transcript that include minimum information as outlined in Section 12:41-2.2(b) 13-15 of the new regulations
  • Record retention plan
  • Copy of school advertising materials
  • Proof of appropriate school entry standards

Copies of these forms and detailed checklists are available on the Department of Labor and Workforce Development’s website. Applicants must pay a non-refundable $1,150 application fee, made payable to the State Treasurer. Schools must also submit an application for renewal every two years when the school renews its Certificate of Approval along with a $900 renewal application fee. If a school submits its renewal after its Certificate has expired, it will be required to pay the original $1,150 fee. If a renewal application is submitted more than 30 days after the Certificate’s expiration, the school will be considered closed by the state.

Get in touch with the Department of Labor and Workforce Development for more information about the new regulations. If you’re ready, the experts at can help you get bonded in New Jersey.


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About the Author

Melanie Baravik
Melanie is a senior at the University of Missouri - Columbia studying English with an emphasis in creative writing. She is a member of the marketing department and outreach team for, a leading provider of online bonding for clients nationwide.