Regulator seeks to close down coding bootcamps in California

By VCPOST Staff Reporter

Jan 30, 2014 12:00 AM EST

A number of learn-to-code bootcamps in California are now fighting to stay alive after regulators gave them a stern warning. Unless these organizations comply, they face an imminent shutdown and a fine of $50,000, according to VentureBeat.

In mid-January, Hackbright Academy, Zipfian Academy, App Academy, Hack Reactor, and others, received cease and desist letters from the Bureau for Private Postsecondary Education (BPPE). These bootcamps have not yet received approval from the regulator and are thus unlicensed postsecondary educational institutions. These firms have two weeks to start complying or be closed down by force, the report detailed.

BPPE spokesperson Russ Heimerich explained: "Our primary goal is not to collect a fine. It is to drive them to comply with the law. As long as they are making a good effort to come into compliance with the law, they fall down low on our triage of problem children. We will work with them to get them licensed and focus on more urgent matters."

These coding bootcamps offer to train individuals in digital skills for a price. The programs usually last from 10 to 12 weeks. The tuition fee for every course varies widely, the report noted.

The said institutions fear they will fall into bankruptcy because the process of complying with the regulations can take up to 18 months. Startups say regulators are hindering innovation. Regulators, on the other hand, believe that they are just protecting consumers from fraud, VentureBeat reported.

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