SECTION 7.1907. Denial of Final Certificate of Authority and Extension of Initial Certificate of Authority

(a) If the commissioner refuses to grant a final certificate of authority to an applicant that fails to meet the requirements of §7.1906 of this title (relating to Application for Final Certificate of Authority), notice of refusal shall be in writing. Such notice shall set forth the basis for the refusal, and shall also constitute 30 days' advance notice of revocation of the initial certificate of authority.

(b) The initial certificate of authority may be extended for up to one year at the discretion of the commissioner on a determination that the multiple-employer welfare arrangement is likely to meet the requirements of this subchapter within one year. No more than one extension of the initial certificate of authority shall be granted, regardless of the length of time for which an extension was granted.

(c) If the applicant submits a written request for hearing within 30 days after mailing of the notice of refusal, revocation of the initial certificate of authority shall be temporarily stayed. The commissioner shall promptly conduct a hearing in which the applicant shall be given an opportunity to show compliance with the requirements of this subchapter.

Source Note: The provisions of this §7.1907 adopted to be effective May 27, 1994, 19 TexReg 3686.