Requires public institution of higher education to adopt withdrawal policy permitting refund for certain extenuating circumstances.

This bill requires all New Jersey public colleges and universities to create a policy allowing students to withdraw for serious personal issues (like illness, injury, hospitalization, or mental health needs) and receive a refund. It mandates that institutions define "extenuating circumstances" to include these specific health-related situations and establish clear criteria for determining when a student's education is hindered. The policy must refund tuition and fees for the semester of withdrawal if the circumstances prevented learning, and also provide refunds for unused housing or meal plan charges. Refunds for students receiving financial aid or state aid will follow existing federal and state refund regulations.