Code of Federal Regulations (Last Updated: July 5, 2024) |
Title 34 - Education |
Subtitle B - Regulations of the Offices of the Department of Education |
Chapter VI - Office of Postsecondary Education, Department of Education |
Part 668 - Student Assistance General Provisions |
Subpart G - Fine, Limitation, Suspension and Termination Proceedings |
§ 668.97 - Reinstatement after termination.
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§ 668.97 Removal of limitationReinstatement after termination.
(b(a)
limited may not apply for removal of the limitation before the expiration of 12 months from the effective date of the limitation.(1) An institution whose participation in a Title IV, HEA program has been
limitedterminated may file a request for reinstatement of that participation.
(2) A third-party servicer whose eligibility to contract with any institution to administer any aspect of the institution's participation in a Title IV, HEA program has been
removal of the limitationterminated may file a request
for reinstatement of that eligibility.
c(
Theb)
may not apply for removal of the limitation before theAn institution whose participation has been terminated or a third-party servicer
of -whose eligibility has been terminated may request reinstatement only after the later of the expiration
Twelveof—
(1)
limitationEighteen months from the effective date of the
termination; or
(2) A debarment or suspension under Executive Order 12549 (3 CFR, 1986 Comp., p. 189) or the Federal Acquisition Regulations, 48 CFR part 9, subpart 9.4.
d) If the(
servicer requests removal of the limitation, the request must be in writing and show that the institution or servicer, as applicable,c) To be reinstated, an institution or
the limitationthird-party servicer must submit its request for reinstatement in writing to the Secretary and must—
(1) Demonstrate to the Secretary's satisfaction that it has corrected the violation or violations on which
.its termination was based
(e) No later than 60 days after the Secretary receives the request, the Secretary responds to the institution or servicer -
(1) Granting its request;
(2) Denying its request; or
(3) Granting the request subject to other limitation or limitations.
(f) If the Secretary denies the request or establishes other limitations, the Secretary grants the institution or servicer, upon the institution's or servicer's request, an opportunity to show cause why the participation or eligibility, as applicable, should be fully reinstated.
(g) The institution's or servicer's request for an opportunity to show cause does not waive -
(1) The institution's right to participate in any or all Title IV, HEA programs if it complies with the continuing limitation or limitations pending the outcome of the opportunity to show cause; and
(2) The servicer's right to contract with any institution to administer any aspect of the institution's participation in any Title IV, HEA program, if the servicer complies with the continuing limitation pending the outcome of the opportunity to show cause.
, including payment in full to the Secretary or to other recipients of funds that the institution or servicer, as applicable, has improperly received, withheld, disbursed, or caused to be disbursed;
(2) Meet all applicable requirements of this part; and
(3) In the case of an institution, enter into a new program participation agreement with the Secretary.
(d) The Secretary, within 60 days of receiving the reinstatement request—
(1) Grants the request;
(2) Denies the request; or
(3) Grants the request subject to a limitation or limitations.
(Approved by the Office of Management and Budget under control number 1840–0537)
[59 FR 22451, Apr. 29, 1994, as amended at 59 FR 34964, July 7, 1994. Redesignated at 82 FR 6257, Jan. 19, 2017]