The United States Secretary of Education requires that institutions as a whole maintain accreditation from a recognized institutional agency in order to be eligible to participate in funding programs under Title IV of the Higher Education Act of 1965. This connection, in some cases, makes NASD accreditation a necessity for an independent school of dance.
Under regulations of the United States Department of Education (USDE) applicable to institutions participating in Title IV of the Higher Education Act (HEA) and therefore to the programs of those institutions, NASD and the U.S. Secretary of Education have responsibilities to each other if either or both of them have reason to believe that any institution or program NASD accredits is failing to meet its Title IV, HEA program responsibilities, or is engaged in fraud or abuse.
NASD policies regarding these reporting responsibilities are found in the NASD Handbook, Rules of Practice and Procedure, Part II, Article IV. Commission Policies, Section 4. “Policies and Rules Concerning USDE Title IV.”