Audits

(1) Commission staff may conduct audits to ensure compliance with the Act and these rules. Audits may be performed at the authorized location or by requesting that the institution forward copies of student records to Commission staff. In the case of the latter, the provided AUTHORIZATION AND REGULATION OF REGULARLY AUTHORIZED CHAPTER 1540-01-02 POSTSECONDARY EDUCATIONAL INSTITUTIONS records will be retained by Commission staff as working papers but will be destroyed when the audit is closed. (2) Commission staff may audit an authorized institution at any time without notice to the institution. However, unless the circumstances mandate that no notice can or should be given, Commission staff should provide at least seventy-two (72) hours’ notice. Notice shall be given by email to the institutional director. (3) Failure to comply with any audit request may be an audit finding, and Commission staff may recommend that the Executive Director take adverse action, including but not limited to assessing a fine, placing the institution on conditional authorization status, or revoking authorization. (4) Commission staff will provide the institution with an audit report that lists any findings and the frequency. The report shall require the institution to propose corrective action for all findings or to show cause why the Executive Director or Commission should not take adverse action, including but not limited to assessing a fine, placing the institution on conditional authorization status, or revoking authorization. (5) Tuition increases that in the opinion of the Commission are excessive, unreasonable or exceed initial disclosure to students may result in an in-depth audit of the institution’s financial stability.