§ 6-51-606 - School license generally.
               	 		
6-51-606.    School license generally.
    (a)  No  persons shall operate, conduct, maintain, or offer to operate in this  state a school as defined in this subchapter, or solicit the enrollment  of students residing in the state, unless a license is first secured  from the State Board of Private Career Education issued in accordance  with the provisions of this subchapter and the rules and regulations  promulgated by the board.
(b)    (1)  Application  for a license shall be filed in the manner and upon the forms  prescribed and furnished by the director for that purpose.
      (2)  The  application shall be signed by the applicant and properly verified and  shall contain such information as may apply to the type and kind of  school, satellite school, or extension course site for which a license  is sought.
(c)    (1)  Any license issued shall be restricted to the programs of study specifically indicated in the application for a license.
      (2)  The holder of a license shall present a supplementary application for approval of additional programs of study.
(d)  The license shall remain the property of the State of Arkansas and shall be returned to the director upon cause.
(e)  If  the board, acting by and through the director, after evaluating the  school as to kind and type, is unable to make a determination regarding  initial approval of a licensure application within sixty (60) days of  receipt of the application and required documentation, it shall issue a  temporary license valid for a period of not more than six (6) months,  pending an investigation. If the investigation of the school does not  reveal anything justifying revoking, or denying reissue, of the  temporary license, a license will be issued that will continue in force  until the time of such expiration as a regular license.
(f)  After  a license is issued to any school by the board on the basis of its  application, it shall be the responsibility of the school to notify  immediately the board of any changes in the ownership, administration,  location, faculty, or programs of study on the forms and in the manner  prescribed by the board.
(g)  In the  event of the sale of such school, the license granted to the original  owner or operators shall not be transferable to the new ownership or  operators, but application for a new license must be made and approved  prior to the new ownership's taking over operation of the school.
(h)  The  board shall have the power to deny issuing a new or renewal license, to  revoke an existing license, or to place a licensee on probation, if in  its discretion it determines that:
      (1)  The licensee has violated any of the provisions of this subchapter or any of the rules and regulations of the board;
      (2)  The applicant or licensee has knowingly presented to the board incomplete or misleading information relating to licensure;
      (3)  The  applicant or licensee has pleaded guilty, entered a plea of nolo  contendere, or has been found guilty in a criminal proceeding,  regardless of whether or not the adjudication of guilt or sentence is  withheld, deferred, or suspended by a court of this state, another  state, or the federal government of:
            (A)  Any felony; or
            (B)  Any  act involving moral turpitude, gross immorality, or which is related to  the qualifications, functions, and duties of a licensee;
      (4)  The  applicant or licensee has intentionally failed or refused to permit the  board or its representatives to inspect the school or classes or has  intentionally failed or refused to make available to the board, at any  time when requested to do so, full information pertaining to any or all  items of information contained in an application for license or  pertaining to the operation of the school;
      (5)  The  applicant has failed or refused to submit to the board an application  for license or renewal in the manner and on the forms prescribed;
      (6)  A  licensed admissions representative has failed or refused to display or  produce his or her license when requested to do so by prospective  students or designated officials of the board;
      (7)  The  applicant or licensee has failed to provide or maintain premises,  equipment, materials, supplies, or conditions in accordance with minimum  standards as established by rules and regulations;
      (8)  The  licensee has been found by the board or a court of law to have  perpetrated fraud or deceit in advertising of the school or programs of  study or in presenting to prospective students information relating to  the school, programs of study, employment opportunities, or  opportunities for enrollment in institutions of higher education;
      (9)  The  licensee has in its employ admissions representatives who have not been  licensed but are actively engaged in the practice of attempting to  enroll students;
      (10)  The  licensee has failed to provide and maintain standards of instruction or  qualified administrative, supervisory, or instructional staff as  established by rules and regulations;
      (11)  The  applicant or licensee is unable to provide and maintain financial  resources in sufficient amount to equip and maintain the school or  classes;
      (12)  The licensee has moved the school into new premises or facilities without first notifying the director;
      (13)  The  licensee has offered training or instruction in programs of study which  have not been approved and authorized in accordance with rules and  regulations;
      (14)  A licensed  admissions representative has solicited prospective students to enroll  in a school which has not been licensed by the board or which is not  listed on his or her license;
      (15)  There was a change in the ownership of the school without proper notification to and approval from the board;
      (16)  The  licensee has failed to notify the director or to provide written  documentation as to the cause that the license of a school has been  suspended or revoked or the school has been placed on probation or a  show cause issued in another state or by another regulatory agency;
      (17)  The licensee has failed to notify the director of legal actions initiated by or against the school; or
      (18)  The licensee fails to make tuition refunds to the students or their lenders in compliance with current regulations.
(i)  The board shall have the power to revoke a license if in its discretion it determines that:
      (1)  The  licensee has failed to cure a deficiency leading to a license probation  within the time as may be reasonably prescribed by the board;
      (2)  The licensee while on probation has been found by the board to have incurred an additional infraction of this subchapter; or
      (3)  The  licensee has closed a school without first having completed the  training of all students currently enrolled or having made tuition  refunds to students or their lenders.
(j)  The board may impose sanctions pursuant to    25-15-217.
(k)    (1)  Unless  directed to do so by court order, the board shall not, for a period of  five (5) years following revocation, reinstate the license of a school  or allow an owner of any such school to seek licensure of another  school.
      (2)  Upon expiration of  licensure status, the school must apply for an original license in  accordance with the provisions of this subchapter.
(l)    (1)  Upon  closure of a school located in Arkansas and licensed under any  provision of this subchapter, whether for license revocation or any  other cause, all student financial aid records for the previous three  (3) years and all student transcripts regardless of age must be  delivered to the director.
      (2)  Delivered records shall be arranged in alphabetical order and stored in boxes or in data format at the discretion of the board.
      (3)  The director shall be responsible for the proper security, storage, and maintenance of all such records.