Kan. Admin. Regs. § 110-3-9

Current through Register Vol. 43, No. 40, October 3, 2024

Section 110-3-9 - Terms of suspension

(a) If a Kansas partnership fund loan recipient or pending loan recipient has failed to comply with the loan award stipulations, standards, or conditions, the following actions may be taken by the secretary, after providing written notice:

(1) The loan may be suspended in whole or in part and any further payments withheld; and

(2) the loan recipient or pending loan recipient may be prohibited from incurring additional obligations for loan funds. Only necessary and proper costs, as determined by the secretary of commerce, which could not reasonably have been avoided during the suspension period shall be allowable.

(b) Within 30 days from the date of the notice, the loan recipient or pending loan recipient shall take corrective action and provide a detailed written explanation to the secretary of commerce which describes the corrective actions taken.

(c) Within 21 calendar days of receiving the written explanation, the explanation shall be reviewed by the secretary, and a written response shall be provided to the loan recipient or pending loan recipient indicating that:

(1) Sufficient corrective action has been taken; or

(2) formal loan termination procedures will be taken under the terms of K.A.R. 110-3-10.

(e) Suspension shall be considered a temporary action pending either corrective action or termination, and therefore shall not be considered a "final" action with any right of appeal.

Kan. Admin. Regs. § 110-3-9

Authorized by and implementing L. 1988, Ch. 394, Sec. 2; effective Feb. 27, 1989.