Section 519.120  Noncompliance with Designation, Memorandum of Understanding

a)         If the Department determines that a tenant is not complying with the requirements of the designation certificate, MOU or all of the provisions of the Act, the Director shall:

1)         Notify the tenant, in writing, that its designation certificate is temporarily revoked, the date of revocation, the reason for the revocation, and the option to cure or seek a hearing contesting the revocation.

2)         Temporarily suspend the designation certificate, except in instances of noncompliance where the use of certified quantum computing campus no longer supports tenants or quantum computing activities.

3)         Notify the Department of Revenue of the temporary suspension and the starting date.

b)         Upon notice of noncompliance, the tenant will have 30 days to either:

1)         Cure the cause of the noncompliance and provide documentation sufficient to demonstrate the tenant has cured the noncompliance; or

2)         Request a hearing under Article 10 of the Illinois Administrative Procedure Act [5 ILCS 100].

c)         If within the 30 days after receipt of the notice described in subsection (a)(1), the certified tenant provides documentation sufficient to demonstrate cure of the noncompliance, then the Director will inform the Department of Revenue of the date the temporary suspension is lifted.

d)         If, after notice and any hearing, the Director determines that a noncompliance event exists, the Director shall issue to the Department of Revenue notice to that effect, stating the noncompliance date and requesting proceedings be initiated to recover wrongfully exempted State taxes or an erroneous refund, within the meaning of the Illinois Income Tax Act [35 ILCS 5].

e)         If a tenant neither cures the cause of noncompliance nor requests a hearing within the prescribed period, the temporary suspension shall become permanent and the Director shall notify the Department of Revenue of the permanent revocation and request proceedings be initiated to recover wrongfully exempted State taxes or an erroneous refund, within the meaning of the Illinois Income Tax Act.

f)         Alleged noncompliance shall include, but is not limited to, the following:

1)         a demonstration that the tenant failed materially to comply with the terms and conditions of the MOU;

2)         determination, upon investigation, that the tenant, or any of their agents or representatives, provided false or misleading information to the Department; or

3)         a failure to submit any reports as required by the MOU.