| (a) Owners with knowledge of a school's impending closure
shall notify the Agency as soon as possible or practical.
(b) Prior to closure a school must:
(1) contact the Agency regarding a school survey visit
and the process required to close out the school records;
(2) complete any closure documents required by the
Agency;
(3) provide information on any teach out plans or arrangements;
and
(4) complete any other requirements deemed necessary
by the Agency for an orderly closure.
(c) The Agency may impose penalties, sanctions, or
both on an owner, as defined by §807.2(30) of this chapter, or
on a person associated with a school closure for a school's failure
to comply with proper closure procedures.
(d) The Agency may declare a school to be closed when:
(1) written notification is received by the Agency
from the school owner stating the school will close;
(2) Agency determines that the school facility has
been vacated without prior notification of a change of address given
to the Agency;
(3) an owner with multiple school locations transfers
all students from one school location to another school location;
(4) the school dismisses all students, contrary to
the school's class schedule as printed in the school catalog; or
(5) the school fails to maintain the faculty, facilities,
equipment, or courses of instruction on the basis for which approval
was issued.
(e) After the Agency determines that a school will
close or is closed, the Agency will attempt to notify students concerning
their options to accept a teach-out or to receive a proportional tuition
refund based on available funds. Notification to students may include
constructive notice in news media, student meetings, or mailings to
students.
(f) Each teach-out requires approval of the Agency
to determine whether the course of instruction is available, reasonable,
and comparable with the course of instruction of the closed school.
The teach-out is subject to the following conditions:
(1) Transfers of students from a closed school to another
school under the same ownership shall not constitute a teach-out.
(2) In order to be eligible for a teach-out, students
shall submit a signed statement of acceptance to the teach-out school
by the deadline as established by the Agency.
(3) The school offering the teach-out shall give credit
for all comparable training received at the closed school, as determined
by the Agency.
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