(1) Final grant awards determination, along with a prioritized listing arranged by highest score of applicants will be made by the department committee. The department committee shall advise the advisory group, in writing, of its determination of grant award(s) along with the prioritized listing of additional eligible applicants. If the department committee does not follow the recommendation(s) of the advisory group, the department committee will provide its reasons for not doing so in writing to the advisory committee.

(2) Successful applicants, also referred to as "grantees", that are to be awarded grants by the department will negotiate a contract with the department. Grant amounts will be awarded prior to the end of the state fiscal year.

(3) The contract will be administered by the Hospital and Clinic Services Bureau, Health Resources Division of the department.

(4) The contract may be terminated for nonperformance or underperformance on the part of the grantee. The department committee may make a determination of nonperformance or underperformance based on the grantee's demonstrated work toward accomplishing the objectives of their request for proposal. The grantee will be notified by the department committee of its determination of nonperformance or underperformance. The grantee will be afforded an opportunity to remedy the nonperformance or underperformance. The department committee may make a determination of continuing nonperformance or underperformance based on the grantee's demonstrated work toward accomplishing the objectives of their request for proposal. The grantee will have the right to seek all contractual and judicial remedies available if aggrieved by the determination of continuing nonperformance or underperformance of the department committee.

(5) Grant awards will not supplant already available funds and in-kind resources.

(6) Grant award monies will cease once federal monies are received by the successful applicant for the same purpose as this grant award.

(7) In the event of (4) or facility closure, the department reserves the right to recoup unused capital grants and/or assets purchased with the monies derived from this grant award.

(8) Benchmarks and other reporting tools may be used by the department to determine a grantee's performance.

(9) Grant awards amounts may be expended over a time period not to exceed one year beyond the end of the biennium the grant was awarded if the project requires it and if legislative funding permits it. After that time period has elapsed, an application must be submitted for continuation of state funding based upon compliance with grant requirements and meeting performance measures.