Section 2790.130  Reinstatement After Termination

a)         An applicant or an institution whose eligibility has been terminated may not file a request for reinstatement until 18 months after the effective date of termination.

b)         After the minimum termination period, the applicant or the institution may request Commission reinstatement of its eligibility.  The request must be in writing and must show that the applicant or the institution has corrected the violations on which the termination was based; has paid in full all liabilities, reimbursements and refunds; and meets all qualifications for eligibility.

c)         Within 90 days after receipt of the request for reinstatement, the Commission shall respond to the applicant or the institution by:

1)         granting its request;

2)         denying its request;

3)         granting the request subject to other limitations; or

4)         conducting a program review to determine that all violations have been corrected, in accordance with Section 2700.60, Audits and Investigations.

d)         If the Commission denies the request or establishes limitations, the applicant or the institution, upon request, will be granted an opportunity to show cause why eligibility should be fully reinstated.

e)         The applicant's or the institution's request for a show cause meeting shall not waive the right to participate in any or all programs administered by the Commission if it complies with such continuing limitations pending the outcome of the meeting.

f)         A school that is also a lender and whose eligibility as a participating school has been terminated, may not be considered for reinstatement as a lender until it is reinstated as an eligible school.

g)         If a request for reinstatement is denied, the applicant or the institution may request reinstatement 18 months after the most recent request, unless the Commission agrees to consider an earlier request.

(Source:  Amended at 22 Ill. Reg. 11123, effective July 1, 1998)