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Statutory Authority: Authority: AS 47.25.001 AS 47.25.071 7 AAC 39.060. Intentional program violation. (a) If the department determines that an intentional program violation has occurred, the department will send a written notice to the facility that

(1) includes the department’s determination, and the basis for that determination;

(2) describes the action the department intends to take, and the effective date of that action; and

(3) advises the facility of the right to request an administrative review under 7 AAC 39.800. (b) A sanction imposed under this section is effective 15 days after the facility receives notice under (a) of this section unless the facility requests an administrative review under 7 AAC 39.800. (c) The department may impose one or more sanctions under this section, including

(1) suspension of payments for two to six months for one or more violations identified in the first investigation of a facility, except as described in (2) of this subsection;

(2) termination if a violation during the first investigation involves the facility claiming attendance for a child who was not enrolled for care in the facility; and

(3) termination of the facility’s participation in the child care grant program for one or more violations identified in a second investigation of the facility. (d) A facility may not bill the department for services provided during a period of suspension or after the facility’s participation in the child care grant program is terminated. (e) The department will reinstate a facility after a period of suspension if the facility submits a new application and continues to meet the applicable requirements of this chapter. (f) A termination imposed by a final department decision is permanent, and the facility may not reapply to participate in the child care grant program. (g) If a facility’s participation in the child care grant program is terminated under this section, the facility shall return all unexpended grant money to the department in accordance