Section 17-802.3-7 - Contracts and monitoring(a) The child care grants shall be awarded through a contract with the recipient.(b) The department or its designee shall monitor the contract to ensure compliance with this chapter and the terms of the contract.(c) Prior to executing a contract, a recipient shall provide evidence of compliance with: (1) The business registration and tax clearances required by section 17-802.3-4; and(2) The insurance requirements in accordance with section 346-157, HRS.(d) Payment of funds shall be made within thirty-days after the contract with the recipient is executed, except for additional grant awards determined under section 17-802.3-6(c).(e) A recipient of a child care grant shall comply with the terms of the contract including reporting requirements and reconciliation of expenditures paid for with grant funds by the deadlines established in the contract.(f) A recipient of a child care grant who withholds or omits any material fact or deliberately misrepresents facts to the department or its designee shall be in violation of this chapter.. In addition to any other penalties provided by law, a recipient found by the department to have violated this chapter or the terms of its contract shall be prohibited from applying for any department grant for a period of five years from the date of termination of the contract or determination by the department of the violation of this chapter.(g) Grant funds paid to a recipient and determined to be inappropriate or unallowable costs in accordance with section 17-802.3-4(a)(8) shall be repaid by the recipient to the department by: (1) Cash refund made directly to the department or its designee; or(2) Appropriate action under state law against the income and assets of the recipient.(h) The department may: (1) Send periodic bills requesting payment from the recipient;(2) Collect and compute any cash refunds toward the balance owed of the total overpayment; or(3) Require the recipient to repay the total balance of inappropriate or unallowable costs before the recipient can be authorized to care for a child whose family receives a child care subsidy from the department.(i) Recipients subject to recovery of grant funds that are determined to be overpaid due to the identification of inappropriate or unallowable costs shall be provided written notice by the department or its designee stating: (1) The reason, dates, and the amount of the overpayment; and(2) Method by which the overpayment shall be recovered.Haw. Code R. § 17-802.3-7
[Eff 3/4/2022] (Auth: HRS § 91-3, § 91-4, 2020 Haw. Sess. Laws 9, Part XII, §§ 27-28; HRS § 346-14) (Imp: 2020 Haw. Sess. Laws 9, Part XII, §§ 27-28; HRS § 346-14)