Current through Register Vol. 46, No. 12, March 20, 2024
(a) Institutions of higher education and
vocational institutions shall be responsible for the accuracy of information
provided the corporation concerning an applicant's fulfillment of the following
eligibility criteria:
(1) that the applicant
is enrolled for that term as a full-time student as defined in section
2201.1
of this Subchapter;
(2) that the
applicant is matriculated at that institution;
(3) that the applicant is enrolled in a
program of study for which the award or awards may be made, and that such
program is conducted in accordance with its approval or registration as
determined by the commissioner; and
(4) that the applicant has satisfied the
standards established pursuant to section
145-2.2
of this Title, or has been granted a waiver of such standards pursuant to
section
145-2.2(b)(5)
of this Title, or has been certified to receive a supplemental tuition
assistance program award pursuant to Education Law, section
667-a.
(b) Institutions shall also be responsible
for the accuracy of information reported to the corporation concerning the term
structure of the institution, tuition and educational fees charged the
applicant and reported to the corporation, and for reporting to the corporation
the failure of an applicant, at the time of application or at any time
thereafter, to satisfy any other eligibility requirement for an award, where
the institution has knowledge of such circumstances.
(c) Institutions shall certify, on forms and
in the manner prescribed by the board, each recipient's eligibility to receive
an award made pursuant to this Subchapter. Such certification shall be made as
of the date that the student incurred or would have incurred a full tuition
liability for that term of attendance, and shall state that the applicant
fulfilled all criteria of subdivision (a) of this section and shall state the
tuition liability actually incurred. Institutional certification of student
eligibility for any term for which payment is requested must be completed and
returned to the corporation no later than 30 days after the end of such payment
term as assigned to an institution by the corporation for the purposes of
payment, or 60 days after receipt of the payment roster on which a student
appears, whichever is later. Institutional changes to student certification
must be made on forms provided by the corporation no later than 90 days after
the end of the term for which a student is being certified, or 90 days after
the date of the remittance advice on which the student whose record is to be
changed appears, whichever is later. The date of issuance of any document from
the corporation and the postmark on any document submitted by an institution
shall be determinative.
(d)
whenever the corporation gives written notification to a student of the amount
of an award of student financial aid such student will receive under the
provisions of this Subchapter, such written notification shall be accepted by
the institution as a deferment against tuition charges pending the issuance of
such moneys by the corporation, unless:
(1)
the institution has more current or accurate information on file indicating the
student will receive a different amount from that calculated by the
corporation, in which event the institution's calculated amount shall be
accepted as a deferment against tuition charges pending the issuance of such
moneys by the corportion; or
(2)
the institution is waiting for the student to complete correction of financial
aid forms or supply information for income verification, in which case,
deferment shall not be required until such time as the student has completed
his or her responsibilities.
(e)
(1) No
college or vocational institution providing approved programs as defined in
Education Law, section
601(4) may participate in
the general, academic performance or other award programs described in this
Chapter unless it has entered into written awards participation agreement with
the corporation. The effective period of the agreement shall be fixed by the
president; however, a new agreement must be executed upon a change of ownership
of the college or vocational institution, which shall mean a transfer of the
majority of shares in the case of a corporation. This agreement shall set forth
the college or vocational institution's obligation to comply with all laws and
regulations governing the award programs and, in addition, shall set forth such
schools obligation to:
(i) make payment of
refunds created due to receipt of prepayment pursuant to section
2206.3(b)
of this Title upon the request of or within a time period established by the
president;
(ii) comply with the
procedures set forth in the programs policy and procedures manual issued
periodically by the corporation and revisions thereto;
(iii) credit each students account with
financial aid award payments received within seven days from the date the
applicant incurred a full tuition liability for that semester, quarter or term
of attendance, or within seven days from the receipt, by the institution of
payments or prepayments associated with such student's award, whichever is
later. As soon as possible, but not more than 45 days from such crediting, the
institution shall disburse to the student financial aid payments received in
excess of funds owed the institution or, with the written consent of the
student, apply such funds to items due for a subsequent term;
(iv) not certify any award recipient in the
event the college or vocational institution has information indicating that the
award recipient is not eligible for an award. In such event such school shall
report the information to the corporation, and the corporation shall commence
an investigation to determine the recipient's eligibility;
(v) in the case of a for-profit college or
vocational institution, provide information, upon the request of the president,
regarding the ownership of the institution; and
(vi) provide the corporation notice of any
disciplinary action brought against it by any state or Federal
agency.
(2) Failure on
the part of the college or vocational institution to comply with the terms of
the participation agreement established pursuant to this subdivision shall be
grounds for the suspension, limitation or termination of such school's
participation in the award programs administered by the corporation, pursuant
to Part 2006 of this Title; provided, however, that no such action shall be
taken except after a hearing conducted in accordance with the State
Administrative Procedure Act.
(f)
(1)
Each college or vocational institution participating in the awards programs
administered by the corporation shall report to the corporation, in such form
and at such times as prescribed by the president:
(i) the records which it maintains
demonstrating the eligibility of award recipients attending such college or
vocational institution;
(ii) the
manner in which it maintains such records;
(iii) the location of such records;
and
(iv) the length of time the
college or vocational institution intends to maintain such records.
(2) In the event there is a
substantial change in any of the information provided to the corporation
pursuant to paragraph (1) of this subdivision, subsequent to the last report
but prior to the submission of the next report, the college or vocational
institution shall promptly report such change to the corporation if the
president shall so prescribe.
(3)
The president may suspend, limit or terminate a college or vocational
institution's participation in the general, academic and other award programs
administered by the corporation in the event it shall be determined, after a
hearing conducted in accordance with the State Administrative Procedure Act and
pursuant to the provisions set forth in Part 2006 of this Title, that the
institution has failed or refused to submit such report after written demand
therefor, or shall have willfully submitted a materially false
report.
(g)
(1) Registered business schools offering
two-year programs approved for tuition assistance awards shall, under the
circumstances set forth in paragraph (2) of this subdivision, submit to the
president a statement of such school's financial operations and condition as of
the end of the school's most recent fiscal period, prepared by an independent
public accountant. Such statement which shall be issued following an
examination of such school's books and records in accordance with generally
accepted auditing standards, shall be made in conformity with generally
accepted accounting principles applied on a consistent basis, and shall contain
a certification by the independent public accountant that he or she has
disclosed any and all material facts known to him or her, disclosure of which
is necessary to make the financial statements or financial information not
misleading. In the event a school is not the sole business operated by its
owner the president may require a statement of the financial operations and
condition of such owner.
(2) The
president may require a statement as described above under the following
circumstances:
(i) during the negotiation of
the repayment of award funds owed to the corporation by a registered business
school, and at any time during the pendency of any installment repayment
agreement which results from those negotiations;
(ii) prior to such school participating in
the tuition assistance awards program for the first time; and
(iii) where evidence has been received by the
president which indicates a lack of fiscal stability or integrity at the
school.
(3) Failure to
comply with any requirement made by the president pursuant to this subdivision
shall be grounds for termination or denial of participation of the subject
school, pursuant to Part 2006 of this Title.
