Account Holder Obligations

(1) Account Holders shall agree to use the funds deposited in the IEA for any, or any combination of, the following expenses: (a) Tuition or fees at a Participating School; (b) Textbooks required by a Participating School; (c) Tutoring Services provided by an individual tutor who meets the requirements set by the Department or a tutoring organization accredited by one (1) of the following: any accreditation division of Cognia (the North Central Association Commission on Accreditation and School Improvement (NCA CASI), the Northwest Accreditation Commission (NWAC), and the Southern Association of Colleges and Schools Council on Accreditation and School Improvement (SACS CASI)), the Middle States Association of Colleges and Schools (MSA), the New England Association of Schools and Colleges (NEASC), the Western Association of Schools and Colleges (WASC), or the Council on Occupational Education (COE); (d) Payment for purchase of curriculum, defined as instructional educational materials for an academic course of study for a particular content area, including any supplemental materials required by the curriculum; (e) Fees for transportation paid to a Fee-for-Service Transportation Provider. Transportation fees can only be used for transportation to schools and educational providers (including tutors and therapists); (f) Tuition or fees for a Non-public Online Learning Program or Course that meets the requirements set by the Department; (g) Fees for nationally standardized norm-referenced achievement tests, Advanced Placement examinations, or any examinations related to college or university admission; (h) Contributions to a Coverdell education savings account established under 26 U.S.C. § 530 for the benefit of the Participating Student; (i) Educational Therapies or services, including copays or coinsurance, for Participating Students; (j) Services provided under a contract with a public school, including individual classes and extracurricular programs; (k) Tuition or fees at an Eligible Postsecondary Institution; (l) Textbooks required for courses at an Eligible Postsecondary Institution; INDIVIDUALIZED EDUCATION ACCOUNTS CHAPTER 0520-01-11 (m) Fees for the management of the IEA by private financial management firms; (n) Computer Hardware and Other Technological Devices approved by the Department or a licensed treating physician, if the computer hardware is used for the student’s educational needs and is a required device for communication or physical access to instruction due to the adverse impact of the disability for which the student qualifies to receive an IEA or allows a student to access instruction or instructional content; or (o) Contributions to an Achieving a Better Life Experience (ABLE) account in accordance with the ABLE Act, compiled in T.C.A. Title 71, Chapter 4, Part 8, for the benefit of a Participating Student; provided, that the funds are used only for the student’s education expenses subject to the rules established by the ABLE Program and that the student meets the qualifications to participate in the ABLE Program pursuant to the ABLE Act, and § 529A of the Internal Revenue Code of 1986 (26 U.S.C. § 529A), as amended, and all rules, regulations, notices, and interpretations released by the United States Department of Treasury, including the Internal Revenue Service (IRS). (2) Account Holders shall obtain pre-approval for Educational Therapies, Computer Hardware and Other Technological Devices, Tutoring Services, and any other expenses identified by the Department. If pre-approval is not obtained, the expense shall be deemed an unapproved expenditure. An Account Holder may request pre-approval by completing and submitting the Department’s pre-approval form. For computer hardware and technological devices, a licensed treating physician may also submit the pre-approval form. (3) After the initial payment to the IEA, the Account Holder shall submit expense reports and receipts for all IEA funds expended in accordance with the procedures set by the Department before the next IEA payment is disbursed. (4) In accordance with the procedures of the Department, the Department may immediately and permanently remove any Participating Student from eligibility for an IEA if the Account Holder fails to comply with the terms of the IEA Agreement or applicable laws, rules or procedures, or misspends funds. The Account Holder may appeal the Department’s decision pursuant to the appeal procedures outlined in this Chapter. (5) If the Department determines that IEA funds have been misspent, the Department shall notify the Account Holder, and the Account Holder shall repay the misspent amount in the manner and within the timeframe set by the Department. The Department is authorized to freeze, suspend, and/or withdraw funding directly from the student’s IEA for reasons including, but not limited to, fraud, misuse of funds, Account Holder failure to comply with the terms of the state laws, rules, procedures, or the Agreement, if the student returns to the LEA, or if funds were deposited into the account in error. The Account Holder may appeal the Department’s decision pursuant to the appeal procedures outlined in this Chapter.