(a) Decision by a hearing examiner. If the hearing is held by a
hearing examiner such hearing examiner shall either make an initial
decision, if so authorized, or certify the entire record including his
recommended findings and proposed decision to the Secretary for a final
decision, and a copy of such initial decision or certification shall be
mailed to the applicant or recipient and the complainant. Where the
initial decision is made by the hearing examiner the applicant or
recipient may within 30 days of the mailing of such notice of initial
decision file with the Secretary his exceptions to the initial decision,
with his reasons therefor. In the absence of exceptions, the Secretary
may on his own motion within 45 days after the initial decision serve on
the applicant or recipient a notice that he will review the decision.
Upon the filing of such exceptions or of such notice of review the
Secretary shall review the initial decision and issue his own decision
thereon including the reasons therefor. The decision of the Secretary
shall be mailed promptly to the applicant or recipient and the
complainant, if any. In the absence of either exceptions or a notice of
review the initial decision shall constitute the final decision of the
Secretary.
(b) Decisions on record or review by the Secretary. Whenever a
record is certified to the Secretary for decision or he reviews the
decision of a hearing examiner pursuant to paragraph (a), or whenever
the Secretary conducts the hearing, the applicant or recipient shall be
given reasonable opportunity to file with him briefs or other written
statements of its contentions, and a copy of the final decision of the
Secretary shall be given in writing to the applicant or recipient and
the complainant, if any.
(c) Decisions on record where a hearing is waived. Whenever a
hearing is waived pursuant to Sec. 31.9(a) a decision shall be made by
the Secretary on the record and a copy of such decision shall be given
in writing to the applicant or recipient and to the complainant, if any.
(d) Rulings required. Each decision of a hearing officer or the
Secretary shall set forth his ruling on each finding, conclusion, or
exception presented, and shall identify the requirement or requirements
imposed by or pursuant to this part with which it is found that the
applicant or recipient has failed to comply.
(e) Content of orders. The final decision may provide for suspension
or termination of, or refusal to grant or continue Federal financial
assistance, in whole or in part, under the program involved, and may
contain such terms, conditions, and other provisions as are consistent
with and will effectuate the purposes of the Act and this part,
including provisions designed to assure that no Federal financial
assistance will thereafter be extended under such program to the
applicant or recipient determined by such decision to be in default in
its performance of an assurance given by it pursuant to this part, or to
have otherwise failed to comply with this part, unless and until it
corrects its noncompliance and satisfies the Secretary that it will
fully comply with this part.
(f) Post-termination proceedings. (1) An applicant or recipient
adversely affected by an order issued under paragraph (c) of this
section shall be restored to full eligibility to receive Federal
financial assistance if it satisfies the terms and conditions of that
order for such eligibility or if it brings itself into compliance with
this regulation and provides reasonable assurance that it will fully
comply with this regulation.
(2) Any applicant or recipient adversely affected by an order
entered pursuant to paragraph (c) of this section may at any time
request the 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 paragraph (f)(1) of this section. If the Secretary
determines that those requirements have been satisfied, he shall restore
such eligibility.
(3) If the Secretary denies any such request, the applicant or
recipient may submit a request for a hearing in writing, specifying why
it believes the 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 issued by the Secretary. The
applicant or recipient will be restored to such eligibility if it proves
at such a hearing that it satisfied the requirements of paragraph (f)(1)
of this section. While proceedings under this paragraph are pending, the
sanctions imposed by the order issued under paragraph (e) of this
section shall remain in effect.
[29 FR 16284, Dec. 4, 1964. Redesignated and amended at 38 FR 17958,
July 5, 1973]
