N.Y. Comp. Codes R. & Regs. tit. 8 § 2205.3

Current through Register Vol. 46, No. 50, December 11, 2024

Section 2205.3 - Institutional responsibilities

(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.

N.Y. Comp. Codes R. & Regs. Tit. 8 § 2205.3