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If an AC Appeal goes through and successfully rejects a decision, the Process says that this happens:
If the number of votes to reject exceeds the number of votes to approve, the decision is overturned. In that case, there are the following possible next steps:
The proposal is rejected.
The proposal is returned for additional work, after which the applicable decision process is re-initiated.
Who decides between these two possible steps? I suspect that the intended original meaning was the Director / the Team. While that makes sense for proposals that originate with the Team, I don't think it'd be particularly reasonable for the Team to be able to decide whether someone else is allowed or not to try and make an amended proposal.
So I think there should only be one outcome: the decision is overturned, and the Process doesn't decide if it should be submitted again after additional work or not. That should be up to the people who proposed it in the first place. They can give up, or try some more.
If the number of votes to reject exceeds the number of votes to approve, the decision is overturned. After additional work to attempt to address the causes of rejection, those who had initiated the proposal may submit a revised one, following the ordinary applicable process.