(a) An applicant or recipient adversely affected by an order
suspending, terminating or refusing to grant or continue Federal
financial assistance shall be restored to full eligibility to receive
Federal financial assistance if it satisfies the terms and conditions of
that order for such eligibility, brings itself into compliance with this
part and satisfies the Assistant Secretary that it will fully comply
with section 504 and this part.
(b) Any applicant or recipient adversely affected by an order
suspending, terminating or refusing to grant or continue Federal
financial assistance may request the Assistant Secretary to restore
fully its eligibility to receive Federal financial assistance. Any such
request shall be supported by information showing that the applicant or
recipient has met the requirements of subparagraph (a) of this
paragraph. If the Assistant Secretary determines that those requirements
have been satisfied, the applicant's or recipient's eligibility shall be
restored.
(c) If the Assistant Secretary denies any such request, the
applicant or recipient may submit a written request for a hearing,
specifying why it believes the Assistant Secretary to have been in
error. It shall thereupon be given an expeditious hearing, with a
decision on the record, in accordance with rules of procedure specified
in this part. The applicant or recipient will be restored to such
eligibility if it proves at such hearing that it satisfied the
requirements of paragraph (a) of this section. While proceedings under
this paragraph are pending, the sanctions imposed by the order
suspending, terminating or refusing to grant or continue Federal
financial assistance shall remain in effect.