(i) If accreditation has not been achieved by the expiration
date, the provisionally-granted Certificate of Authorization will
be withdrawn, the institution's authorization to offer degrees will
be terminated, and the institution will be required to comply with
the provisions of §7.8 of this chapter (relating to Institutions
Not Accredited by a Board-Recognized Accreditor).
(ii) Subsequent provisionally-granted Certificates
of Authorization will not be issued.
(iii) At least ninety (90) days prior to expiration
of the certificate, institutions operating under a provisionally-granted
Certificate of Authorization must submit either an application for
a Certificate of Authorization under this section or an application
for a Certificate of Authority under §7.8 of this chapter.
(G) Institutions under an existing Certificate of Authorization
must immediately notify the Board if the institution or its main campus
becomes subject to a sanction by its Board-recognized accreditor.
The institution must provide documentation explaining its current
status and actions taken to comply with the accrediting agency's standards
or criteria, including a timeline for returning to compliance, in
order to maintain accreditation.
(2) Restrictions Placed on Institution under Sanctions
by Its Accreditor
(A) If an institution is under sanctions by its accreditor,
limitations appropriate for the sanction shall be placed upon the
institution's Certificate of Authorization. Limitations may include,
but are not limited to:
(i) Restrictions on adding degree programs to its authorization;
(ii) An increase in the amount of financial reserves,
lines of credit or surety instrument required to maintain a Certificate
of Authorization; and
(iii) Review every six months, including unannounced
site visits.
(B) The Board will notify the institution via letter
of all restrictions placed upon its Certificate of Authorization due
to its accreditors' sanctions.
(C) The Board will place a notice of all sanctions
placed upon an institution via the Board's website.
(D) Restrictions and public notification will be removed
upon written documentation from the institution's accreditor that
all sanctions have ended.
(3) Grounds for Revocation of any Certificate of Authorization.
(A) Institution no longer holds a Certificate of Approval
or Letter of Exemption issued by the Texas Workforce Commission.
(B) Institution loses accreditation from Board-recognized
accreditor.
(C) Institution's Accreditor is removed from the U.S.
Department of Education or the Board's list of approved accreditors.
(i) If the institution's Certificate of Authorization
is revoked due to its accrediting agency's removal from the U.S. Department
of Education and/or the Board's list of approved accreditors, the
Board, or Board staff as delegated, shall set a provisional time period
within which institutions may continue to operate, not to exceed any
provisional time period set by the United States Department of Education.
(ii) If the institution's Certificate of Authorization
is revoked due to its accrediting agency's removal from the U.S. Department
of Education or the Board's list of approved accreditors, a request
to extend its Certificate of Authorization for the provisional time
period set under paragraph (2)(C) of this section, must be submitted
to the Commissioner within ten (10) days of publication, by either
the U.S. Department of Education or the Board, of such revocation.
(D) Institution fails to comply with data reporting,
substantive change notification requirements, or annual review reporting
requirements.
(E) Board staff recommends revocation based on deficiencies
in compliance with the principles addressed in §7.4 of this chapter
as evidenced by lack of compliance with the Board-recognized accreditor's
standards, which are found in annual review documentation and not
corrected by the institution upon request by Board staff.
(F) Institution offers degrees for which it does not
have accreditor approval.
(4) Process for Removal of Authorization.
(A) Commissioner notifies institution of grounds for
revocation as outlined in paragraph (2) of this section unless paragraph
(2)(C) above applies and the Board sets a provisional time period
for compliance.
(B) Upon receipt of the notice of revocation, the institution
shall not enroll new students and may only grant or award degrees
or offer courses leading to degrees in Texas to students enrolled
on the date of notice of revocation until it has either been granted
a Certificate of Authority to grant degrees, or has received a determination
that it did not lose its qualification for a Certificate of Authorization.
(C) Within ten (10) days of its receipt of the Commissioner's
notice, the institution must provide, as directed by Board staff,
one or more of the following:
(i) proof of its continued qualification for the exemption;
or
(ii) submit data as required by §7.13 of this
chapter; or
(iii) a plan to correct any non-compliance or deficiencies
which lead to revocation; or
(iv) a plan to seek new Board-recognized accreditation;
or
(v) written intention to apply for a Certificate of
Authority within 60 days of the notice of revocation; or
(vi) a written teach-out plan, which must be approved
by Board staff before implementation.
(D) After reviewing the evidence, the Commissioner
will issue a notice of determination, which in the case of an adverse
determination, shall contain information regarding the reasons for
the denial, and the institution's right to a hearing.
(E) If a determination under this section is adverse
to an institution, it shall become final and binding unless, within
forty-five (45) days of its receipt of the adverse determination,
the institution invokes the administrative remedies contained in Chapter
1, Subchapter B of this title (relating to Dispute Resolution).
(F) If a determination allows the institution to continue
operating, a new Certificate of Authorization will be provisionally-granted.
Provisions for continued operation under the new Certificate of Authorization
may include, but are not limited to:
(i) requirements to provide updates to Board staff
on a monthly basis;
(ii) continued progress toward full compliance with
all Board rules and requirements;
(iii) continued progress toward new Board-recognized
accreditation, if applicable, or toward approval for a Certificate
of Authority; and
(iv) other requirements imposed by the Board.
(G) Certificates of Authorization which are provisionally-granted
after a notice of revocation continue only as long as the institution
complies with all such provisions.
(5) Closure of an Institution.
(A) The governing board, owner, or chief executive
officer of an institution that plans to cease operation shall provide
the Board with written notification of intent to close at least ninety
(90) days prior to the planned closing date.
(B) If an institution closes unexpectedly, the governing
board, owner, or chief executive officer of the school shall provide
the Board with written notification immediately.
(C) If an institution closes or intends to close before
all currently enrolled students have completed all requirements for
graduation, the institution shall assure the continuity of students'
education by entering into a teach-out agreement with another institution
authorized by the Board to hold a Certificate of Authority, with an
institution operating under a Certificate of Authorization, or with
a public or private institution of higher education as defined in
Texas Education Code §61.003. The agreement shall be in writing,
shall be subject to Board approval, shall contain provisions for student
transfer, and shall specify the conditions for completion of degree
requirements at the teach-out institution. The agreement shall also
contain provisions for awarding degrees.
(D) The Certificate of Authorization for an institution
is automatically withdrawn when the institution closes. The Commissioner
may grant to an institution that has a degree-granting authority temporary
approval to award a degree(s) in a program for which the institution
does not have approval in order to facilitate a formal agreement as
outlined under this section.
(E) The curriculum and delivery shall be appropriate
to accommodate the remaining students.
(F) No new students shall be allowed to enter the transferred
degree program unless the new entity seeks and receives permanent
approval for the program(s) from the Board.
(G) The institution shall transfer all academic records
pursuant to §7.15 of this chapter (relating to Academic Records
Maintenance, Protection, and Repository of Last Resort).
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Source Note: The provisions of this §7.7 adopted to be effective December 6, 2009, 34 TexReg 8515; amended to be effective May 26, 2010, 35 TexReg 4152; amended to be effective November 29, 2010, 35 TexReg 10497; amended to be effective February 26, 2013, 38 TexReg 1152; amended to be effective August 15, 2013, 38 TexReg 5070; amended to be effective November 23, 2016, 41 TexReg 9113; amended to be effective February 28, 2018, 43 TexReg 1068 |