# Eligibility for Funding

(a) A current contractor is eligible to apply for new or additional funds except when one or more of the following conditions apply during the RFA cycle: 

              (1) the contractor is on conditional status because of fiscal or programmatic noncompliance as described in section 18303 or 18304; or 

              (2) the CDE's Child Development Division has conducted a compliance review pursuant to section 18023 and the contractor has failed to cure items of fiscal and programmatic noncompliance identified in the review within 12 months of the issuance of the compliance review report; or 

              (3) the CDE reduced the contractor's current year maximum reimbursement amount due to the contractor's inability to utilize its full contract amount, whether through low enrollment or low expenditures for the same contract type. 

(b) An applicant that is not a current CDE contractor is not eligible to apply for funding if one of the following conditions apply: 

              (1) the contractor had a previous contract with the CDE that was terminated or not continued by the CDE for fiscal or programmatic noncompliance as described in section 18303 or 18304 within three years immediately preceding the date the RFA was posted; or 

              (2) the applicant contractor has an outstanding accounts receivable balance with the CDE; or               

              (3) the applicant contractor has a delinquent audit with the CDE pursuant to section 18073.

> NOTE: Authority cited: Sections 8261 and 8269, Education Code. Reference: Sections 8261, 8406.6, 8447.5 and 8448, Education Code.


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