Current through Register Vol. 48, No. 12, March 22, 2024
a) For
purposes of this Section, "change of ownership", "sale" or "transfer" of a
corporation means the transfer of more than 50% of stock during a 14-day
period. For purposes of this Section, "change of ownership", "sale" or
"transfer" of a partnership means a change of more than 50% of the partners
during a 14-day period. For purposes of this Section, "change of ownership",
"sale" or "transfer" of an LLC means a change of more than 50% of the members
during a 14-day period. Any change of ownership of a parent business entity
that owns the school's owner shall not be considered a change of ownership of
the school.
b) If a licensed school
is to be sold or otherwise transferred, the new owner must notify the Division
at least 30 days in advance of the effective date of the transfer of ownership.
The notification shall include a signed and dated letter from the pre-transfer
owner acknowledging the planned sale of transfer.
c) Upon filing notice to the Division, the
new owner may continue to operate the school under the previously issued
license, provided that the new owner submits an application for licensure with
the Division within 30 days after the effective date of the transfer of
ownership by submitting to the Division:
1) A
signed and completed school application;
2) A detailed 81/2 x 11 inch floor plan that
is:
A) drawn to scale;
B) shows dimensions;
C) that has all areas labeled;
D) has all fixtures shown; and
E) demonstrates compliance with the
requirements of Section
1175.305;
3) A copy of:
A) a lease agreement showing at least a
1-year commitment to the use of the school site, the address of the school
site, the name of the lessor, and the name of the lessee; or
B) the certification of school site
ownership;
4) A copy of
the enrollment agreement that will be utilized by the new owner;
5) A copy of curricula that will be used by
the new owner;
6) A sample copy of
the school's official transcript;
7) A Commitment Statement, as provided in the
licensure application packet, signed and dated by the school's chief
administrative officer;
8) List of
all the names, addresses and current status of all schools in which the
applicant has previously owned any interest, and a declaration as to whether
any of these schools were ever denied accreditation or licensing or lost
accreditation or licensing from any government body or accrediting
agency;
9) If the new owner is a
corporation, limited liability company, or partnership, a copy of the
following:
A) if the owner is a domestic
corporation, a filed copy of the Articles of Incorporation filed with the
Secretary of State or, in the case of a foreign corporation, a filed copy of
the Authority to Transact Business in Illinois accepted by and filed with the
Secretary of State;
B) if the owner
is a domestic limited liability company, a copy of the Articles of Organization
that were filed with the Secretary of State or, if the owner is a foreign
limited liability company, a copy of the Application for Admission to Transact
Business as a Foreign Limited Liability Company accepted by and filed with the
Secretary of State; or
C) if the
owner is a partnership, a listing of all partners and their
addresses;
10) If the new
owner will be conducting business under an assumed name as described in the
Assumed Business Name Act [ 805 ILCS 405 ], a copy of the application to adopt
an assumed name filed with the government office responsible for approving the
assumed name;
11) An official fire
inspection report by the local fire inspection authority conducted within 6
months prior to application approving the school site;
12) A financial statement indicating
sufficient current finances exist to operate the school for at least 3 months.
The Division will not accept a bank statement as sufficient proof to meet this
requirement. This financial statement shall include reporting cash assets on
hand and any liabilities and shall be prepared by either a certified public
accountant or a person knowledgeable about the finances of the school. Any
financial statement submitted by a person who is not a certified public
accountant must contain a signed statement certifying under penalty of perjury
that the information is true and accurate based upon inspection of the
financial records of the school;
13) If a name change is to also occur, all
documents submitted must include the new name, and the new owner must submit a
sample of the new school seal and a photo of the new school sign; and
14) The required fee set forth in Section
1175.100.
d) Once the items listed in subsection (c)
have been received, the Division shall conduct an inspection prior to approval
of the change of ownership. Approval will be granted if all of the requirements
of this Subpart K have been met.
e)
If the new owner fails to submit a new application within 30 days, or if the
Division does not approve the school, the school shall remain closed until
final Division approval is received.
f) The new owner is responsible for ensuring
that the school is in compliance with all current provisions of the Act and
this Part