[Code of Federal Regulations]
[Title 34, Volume 3]
[Revised as of July 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 34CFR690.7]

[Page 898-899]
 
                           TITLE 34--EDUCATION
 
 CHAPTER VI--OFFICE OF POSTSECONDARY EDUCATION, DEPARTMENT OF EDUCATION
 
PART 690_FEDERAL PELL GRANT PROGRAM--Table of Contents
 
            Subpart A_Scope, Purpose and General Definitions
 
Sec. 690.7  Institutional participation.

    (a) An institution may not participate in the Federal Pell Grant 
Program if the institution--
    (1) Offers at least one eligible program for purposes of the ACG 
Program, as defined in 34 CFR 691.2(d), but does not participate in the 
ACG Program; or
    (2) Offers at least one eligible program for purposes of the 
National SMART Grant Program, as defined in 34 CFR 691.2(d), but does 
not participate in the National SMART Grant Program.
    (b) If an institution begins participation in the Federal Pell Grant 
Program during an award year, a student enrolled and attending that 
institution is eligible to receive a Federal Pell Grant for the payment 
period during which the institution enters into a program participation 
agreement with the Secretary and any subsequent payment period.
    (c) If an institution becomes ineligible to participate in the 
Federal Pell Grant Program during an award year, an eligible student who 
was attending the institution and who submitted a valid SAR to the 
institution, or for whom the institution obtained a valid ISIR, before 
the date the institution became ineligible is paid a Federal Pell Grant 
for that award year for--
    (1) The payment periods that the student completed before the 
institution became ineligible; and

[[Page 899]]

    (2) The payment period in which the institution became ineligible.
    (d)(1) If an institution loses its eligibility to participate in the 
FFEL or Direct Loan program under the provisions of subpart M of 34 CFR 
part 668, it also loses its eligibility to participate in the Federal 
Pell Grant Program for the same period of time.
    (2) That loss of eligibility must be in accordance with the 
provisions of 34 CFR 668.187.
    (e) An institution which becomes ineligible shall, within 45 days 
after the effective date of loss of eligibility, provide to the 
Secretary--
    (1) The name and enrollment status of each eligible student who, 
during the award year, submitted a valid SAR to the institution before 
it became ineligible;
    (2) The amount of funds paid to each Federal Pell Grant recipient 
for that award year;
    (3) The amount due each student eligible to receive a Federal Pell 
Grant through the end of the payment period during which the institution 
became ineligible; and
    (4) An accounting of the Federal Pell Grant expenditures for that 
award year to the date of termination.

(Authority: 20 U.S.C. 1070a)

[50 FR 10717, Mar. 15, 1985, as amended at 51 FR 43161, Nov. 28, 1986; 
56 FR 56916, Nov. 6, 1991; 59 FR 54730, Nov. 1, 1994; 60 FR 61816, Dec. 
1, 1995; 64 FR 58294, Oct. 28, 1999; 65 FR 65651, Nov. 1, 2000; 69 FR 
12277, Mar. 16, 2004; 71 FR 38004, July 3, 2006]