Chapter 122:5-1 Community Service Block Grant Funding
As used in the rules of the office of community assistance.
(A) "Withholding" means action taken by the office of community assistance in the community services division ("OCA/CSD") to hold back the payment of funds temporarily at the commencement of a new grant period and fiscal year pending the eligible entity's satisfactory completion of the approval application process, outstanding major issues from the prior fiscal year, for just cause, and for a period of time not to exceed sixty days.
(B) "Suspension" means action taken by OCA/CSD to exclude an eligible entity temporarily from receiving payment in whole or in part for a period of time not to exceed ninety days.
(C) "Termination" means action taken by OCA/CSD to terminate the eligible entity's grant and cease payment in whole or in part after a public hearing on the record.
Five Year Review (FYR) Dates: 06/16/2016 and 09/02/2021
Promulgated Under: 119.03
Statutory Authority: 122.68(E)
Rule Amplifies: 122.68
Prior Effective Dates: 10/10/84 (Emer.), 1/1/85, 2/3/04
(A) Withholding and suspension in general. The deputy chief of the community services division through its office of community assistance("OCA/CSD") may withhold or suspend community services block grant ("CSBG") funds to an eligible entity if field monitoring and/or evaluation, desk monitoring and/or evaluation, or fiscal audits reveal noncompliance with established state or federal policies, grant requirements, office of community services directives, fiscal procedures, program performance targets or other willful or negligent failure on the part of the eligible entity to perform its responsibilities.
(B) Action to suspend CSBG funds will be taken only after less severe corrective actions have been tried; unless the chief of the office of community services determines that immediate action is necessary due to the seriousness of the violation or is necessary to protect CSBG funds or property. Serious violations would include, but are not necessarily limited to, evidence of fraud, embezzlement or gross mismanagement.
(C) Written notification of intent to withhold or suspend CSBG funds. The deputy chief of the community services division shall provide a written "Notification of Intent to Withhold or Suspend CSBG Funds" by certified mail, return receipt requested, to the chairperson of the governing board of the eligible entity to effectuate the process of withholding or suspension of CSBG funds.
(D) The "Notification of Intent to Withhold or Suspend CSBG Funds" shall specify:
(1) The reasons for such proposed actions; sections of the statutes, rules, regulations or contractual obligations with which the eligible entity is not in compliance;
(2) The corrective actions and the date (not less than thirty days after the date of the notice) by which they must be taken;
(3) A statement informing the eligible entity which action OCA/CSD may take if the grantee does not achieve compliance within the time specified in the notice, or does not provide satisfactory assurances that actions have been initiated which will achieve compliance in a timely manner.
(E) In all but extreme cases, eligible entities will be given a reasonable period of time, but in no case more than ninety days, to make necessary improvements, whereupon CSBG funding may resume.
(F) In extreme cases, when the deputy chief of the office of community assistance has determined termination of CSBG funding is appropriate in accordance with rule 122-2-03 of the Administrative Code, the "Notification of Intent to Withhold or Suspend CSBG Funds" shall be accompanied by a "Notification of Intent to Terminate" as described in rule 122-2-03 of the Administrative Code.
(A) Termination in general. The deputy chief of the community services division may terminate community service block grant ("CSBG") funding to an eligible entity in any of the following instances:
(1) The deputy chief of the community services division determines that the governing board of the eligible entity cannot or will not take the necessary action to bring the eligible entity into compliance within the time allowed by the community development division through its office of community services ("OCA/CSD").
(2) The deputy chief of the community services division determines that the nature or extent of noncompliance is extreme and warrants immediate termination of CSBG funding.
(3) The eligible entity is no longer officially recognized as a community action agency as a result of dedesignation procedures described in divisions (B)(1) and (B)(2) of section 122.701 of the Revised Code.
(4) The eligible entity fails to comply with provisions of the grant agreement.
(5) For any of the reasons set forth in the rules of the Administrative Code which govern CSBG funding.
(B) The deputy chief of the community services division shall provide a written "Notification of Intent to Terminate" by certified mail, return receipt requested, to the chairperson of the governing board of the eligible entity. The notification shall include the charges for such proposed action; sections of the statutes, rules, regulations or contractual obligations that the eligible entity is charged with violating; a statement informing the eligible entity of their right to request a public hearing on the proposed termination by making a written request within thirty days of the time of the mailing of the notice. The notice shall also inform the party that the eligible entity may be represented by an attorney, or by such other representative as designated by a majority of the governing board of the eligible entity.
(C) When any notice required by this provision to be sent by certified mail is returned because of inability to deliver, the notice required shall be sent by ordinary mail evidenced by a certificate of mailing to the chairperson of the eligible entity.
(D) The failure of the deputy chief of the community services division to give notice in the manner provided in this rule shall invalidate any termination order entered pursuant to such hearing.
(A) The hearing shall be within fifteen days of the request, but not prior to seven days, of the date of the "Notification of Intent to Terminate" unless otherwise agreed upon in writing by both the division and the eligible entity.
(B) After the hearing officer has called the hearing to order, the parties may be given an opportunity to present opening statements; thereafter, the parties shall present their evidence in the sequence determined by the hearing officer.
(C) When a witness is introduced to provide testimony or evidence in a contested case hearing, the witness shall, prior to testifying, be identified by name and address and shall take an oath of affirmation administered by the hearing officer.
(D) The hearing officer shall be a state of Ohio employee not involved in the decision to terminate.
(E) The hearing procedures shall include, but are not limited to, the following:
(1) For good cause, a hearing may be rescheduled by the hearing officer;
(2) The eligible entity may be represented at the hearing by
(a) an attorney;
(b) such other representative, who is not an attorney and has been designated to represent the eligible entity by a majority of the governing board.
(3) To introduce into the record documentary evidence and bring witnesses to the hearing;
(4) To have records or documents relevant to the issues produced by their custodian when the records or documents are kept by or for the state, contractor or a subcontractor in the ordinary course of business and where prior reasonable notice has been given to the presiding officer;
(5) To question any witnesses or parties;
(6) The hearing officer shall not be bound by the "Ohio Rules of Evidence" and shall prescribe the conduct of the hearing;
(7) Additional procedures may be set forth by the hearing officer, or at the request of the parties if approved by the hearing officer in whose sole discretion hearing procedures shall rest.
(A) The hearing officer shall, within fifteen calendar days following the hearing, provide the deputy chief of the community services division with a written decision.
(B) Within seven calendar days of the receipt of the written decision of the hearing officer, the deputy chief of the community services division shall provide the director of the Ohio development services agency with a written recommendation.
(C) Within fifteen calendar days of the receipt of the written recommendation of the deputy chief of the community services division, the director of the Ohio development services agency, or his designee who shall not be an officer or employee within the community services division, shall issue a final decision on behalf of the state.
(D) A proposed and final decision shall include findings of fact and regulations supporting such actions. Findings of fact shall be based solely on the evidence in the record and on matters officially noticed in the record, and, if set forth in statutory language, shall be accompanied by a concise and explicit statement of underlying facts supporting the findings.
(E) The deputy chief of the community services division shall give prompt notice of the decision of the director of the Ohio development services agency by mailing a copy of the decision by certified mail, return receipt requested, to the chairperson of the governing board of the eligible entity.
(F) Review by the secretary of health and human services. In accordance with Pub. L. No. 97-35 of the United States Code, as amended by Pub. L. No. 98-558 of the United States Code, the eligible entity may appeal the decision of the state to the secretary of the United States department of health and human services and request the secretary to review any termination of community services block grant funding to a community action agency, or migrant and seasonal farmworker organization.