09.12.43.17

.17 Deregistration of Defunct Programs.

A. A sponsor that has ceased operation of an apprenticeship program without having notified the Council and requested voluntary deregistration in accordance with Regulation .15 of this chapter may be deregistered in accordance with this section.

B. Verification of Operation.

(1) If it appears that a program sponsor has ceased operations, gone out of business, or moved out of the State, the Director shall make reasonable efforts to ascertain whether the program sponsor is operating an apprenticeship program.

(2) The Director shall submit to the Council:

(a) A report containing all pertinent facts and circumstances concerning the Director's efforts to ascertain whether the program sponsor has ceased operating an apprenticeship program; and

(b) Copies of all relevant documents and records substantiating the Director's efforts.

C. Notice to Program Sponsor.

(1) If, based upon the Director's report, the Council determines that the program sponsor has ceased operation, the Council shall notify the program sponsor in writing of the Council's:

(a) Determination of reasonable cause; and

(b) Intent to deregister the apprenticeship program.

(2) Notice of deregistration from the Council shall:

(a) Be sent by certified mail with return receipt requested to the sponsor's last known address; and

(b) State that the:

(i) Program sponsor appears to have ceased operation,

(ii) Council has made a determination of reasonable cause to deregister the program, and

(iii) Apprenticeship program is automatically deregistered within 30 days of the date of the notice unless the sponsor, within 15 days of receipt of the notice, requests a hearing under §E of this regulation or provides the Council with evidence of continued business operation in the State, including, but not limited to, a current business address and telephone number as to where the apprenticeship program is being conducted.

D. Automatic Deregistration.

(1) If a request for a hearing is not made and evidence of continued business operation in the State is not provided, the apprenticeship program shall be automatically deregistered 30 days from the date of the notice.

(2) The Council shall:

(a) Give public notice of the deregistration; and

(b) Notify all federal, State, and local agencies involved together with any registered apprentices remaining in the apprenticeship program.

E. Request for Hearing. If the sponsor requests a hearing:

(1) The Director shall transmit to the Office of Administrative Hearings a report containing all the information listed in §B(2) of this regulation;

(2) The Council shall request that the Office of Administrative Hearings convene a hearing in accordance with Regulation .19 of this chapter;

(3) An administrative law judge shall:

(a) Conduct a deregistration hearing, and

(b) Submit, in writing to the Council, proposed findings of fact and a recommended decision; and

(4) The Council shall make a final decision on the basis of the record before it.

F. Evidence of Continued Operation.

(1) Instead of requesting a hearing, the sponsor may, within 15 days of receipt of the notice, provide the Council with evidence of continued operation in the State.

(2) The timely submission of evidence of continued operation in the State is considered a request for a hearing.

(3) If, after reviewing the evidence presented, the Council determines that the evidence of continued operation is insufficient, the Council shall refer the matter to the Office of Administrative Hearings for a deregistration hearing in accordance with this regulation.

G. Notice of Deregistration. If, after a hearing, deregistration is ordered, the Council shall:

(1) Give public notice of the order; and

(2) Notify:

(a) The sponsor, and

(b) All federal, State, and local agencies involved together with any registered apprentices remaining in the apprenticeship program.

H. Applicable Deregistration Proceedings.

(1) The deregistration proceedings of this section apply when the Council has reasonable cause to believe the program sponsor is no longer operating.

(2) If the Council's determination of reasonable cause is made based upon other grounds, deregistration proceedings shall follow the procedures of Regulation .15 of this chapter.