N.J. Admin. Code § 9A:2-1.5

Current through Register Vol. 56, No. 24, December 18, 2024

Section 9A:2-1.5 - Procedures that apply when the Secretary determines there is a risk of imminent closure

(a) Upon a determination by the Secretary that an institution is at risk of imminent closure, OSHE shall notify the institution no later than five business days from the date the determination is made by the Secretary. The notification shall be in writing and shall include:

1. A summary of the Secretary's determination;

2. The results of the review process, including the analytical methodology utilized by OSHE;

3. A description of the procedures at (b) and (c) below; and

4. A request for additional information from the institution, if applicable.

(b) Unless extended by the Secretary for good cause, no later than five business days from the receipt of the Secretary's determination that the institution is at risk of imminent closure, the institution shall:

1. Notify the Secretary of any known liabilities, risks, or financial issues at the institution;

2. Provide, to the Secretary, any information requested pursuant to (a)4 above; and

3. Prepare and submit, to the Secretary, a contingency plan for closure, which shall meet the requirements set forth at N.J.S.A. 18A:3B-91.d(3).

(c) The institution may submit additional information to OSHE that the institution deems relevant to the Secretary's determination, including updated data, within 10 business days of the date of the notification sent pursuant to (a) above. Upon the submission of additional relevant information by the institution, the Secretary may extend, upon request, the period to submit a contingency plan for closure pursuant to (b)3 above by an additional 10 business days, and the Secretary:

1. Shall review the additional information submitted;

2. Shall notify the institution within 10 business days of the date of submission whether the determination that the institution is at risk of imminent closure remains unchanged;

3. Shall require an institution determined to remain at risk of imminent closure to submit a contingency plan for closure within 10 business days of the date of the notification made pursuant to (c)2 above; and

4. May request an institution found no longer to be at risk of imminent closure to submit a risk mitigation plan pursuant to N.J.A.C. 9A:2-1.6.

N.J. Admin. Code § 9A:2-1.5

Adopted by 54 N.J.R. 491(d), effective 3/21/2022