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(a) A participating provider may spend grant money only for operation of the provider's facility. Categories of allowable expenditures related to operation of a facility are
(1) staff salaries and benefits;
(2) costs of providing for substitute care;
(3) health and safety costs;
(4) costs of supplies, equipment, and activities; and
(5) child development education and training.
(b) If a provider violates the limitations of (a) of this section in spending grant money, the provider shall repay to the department, under a repayment plan approved by the department, the amount of money that was impermissibly spent. If a participating provider defaults on the repayment plan, the provider is suspended from program participation for the remainder of the provider's existing grant period except that if the payments are brought current during that existing grant period, and unless a sanction under (c) of this section is also in effect, the provider will be reinstated for the remainder of that grant period. If a provider is in default on a repayment plan, the provider is ineligible to apply for a grant.
(c) In addition to the sanctions in (b) of this section, the provider is subject to the following sanctions:
(1) for a first violation of (a) of this section, the provider is suspended from program participation for a period of two months, regardless of whether the impermissible spent money has been, or is being, repaid;
(2) for a second violation of (a) of this section, the provider's existing grant is terminated and the provider is permanently ineligible to apply for a grant, regardless of whether the impermissibly spent money has been, or is being, repaid.
(d) If a provider's grant is terminated under (c) of this section, the provider shall return to the department all unexpended grant money.
History: Eff. 9/12/97, Register 143
Authority: AS 14.07.060
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Last modified 7/05/2006