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d. An application is required and the client or representative refuses or fails to sign the application form; or e. Funding is not available; or f. The client refuses or fails to supply information or verification requested or to request assistance and authorize the department to secure the required information or verification from other sources (signing a general authorization for release of information to the department does not meet this responsibility); or g. The client fails to cooperate with a quality control review or with an investigation conducted by the department of inspections and appeals. 170.5(3) Termination. Child care assistance may be terminated when the department determines that: a. The client no longer meets the eligibility criteria in subrule 170.2(2); or b. The client’s income exceeds the financial guidelines; or c. The client refuses or fails to supply information or verification requested or to request assistance and authorize the department to secure the required information or verification from other sources (signing a general authorization for release of information to the department does not meet this responsibility); or d. No payment or only partial payment of client fees has been received within 30 days following the issuance of the last billing; or e. Another resource is available to provide the service or a similar service free of charge that allows parents to select from the full range of eligible providers; or f. Funding is not available; or g. The client fails to cooperate with a quality control review or with an investigation conducted by the department of inspections and appeals. 170.5(4) Reduction. Authorized units of service may be reduced when the department determines that: a. Continued provision of service at the current level is not necessary to meet the client’s service needs; or b. Another resource is available to provide the same or similar service free of charge that will meet the client’s needs and allow parents to select from the full range of eligible providers; or c. Funding is not available to continue the service at the current level. When funding is not available, the department may limit on a statewide basis the number of units of child care services for which payment will be made. 170.5(5) Provider agreement sanction. If Form 470-3871 or 470-3871(S) is terminated for any of the reasons in subrule 170.5(1), the agreement shall remain terminated for the time periods set forth below: a. The first time the agreement is terminated, the provider may reapply for another agreement at any time. b. The second time the agreement is terminated, the provider may not reapply for another agreement for 12 months from the effective date of termination. c. The third or subsequent time the agreement is terminated, the provider may not reapply for another agreement for 36 months from the effective date of termination. d. The department shall not act on an application for a child care assistance provider agreement submitted by a provider during the sanction period. [ARC 7740B, IAB 5/6/09, effective 6/10/09; ARC 8506B, IAB 2/10/10, effective 3/1/10; ARC 9651B, IAB 8/10/11, effective 10/1/11; ARC 1893C, IAB 3/4/15, effective 7/1/15; ARC 3092C, IAB 6/7/17, effective 7/1/17; ARC 6965C, IAB 4/5/23, effective 6/1/23] 441—170.6(237A) Appeals. Notice of adverse action shall be given in accordance with 441—Chapter 16. The right to appeal shall be given in accordance with 441—Chapter 7. [ARC 6965C, IAB 4/5/23, effective 6/1/23] 441—170.7(237A) Provider fraud. 170.7(1) Fraud. The department shall consider a child care provider to have committed fraud when: a. The department of inspections and appeals, in an administrative or judicial proceeding, has found the provider to have obtained by fraudulent means child care assistance payment in an amount in excess of $1,000; or Human Services[441] IAC 6/10/26 Ch 170, p.17