(b) Basis for termination. The Office of Long-Term Care may terminate a facility's Level II assisted living facility license if a facility:

1. (1) Permits, aids, or abets in the commission of any unlawful act in connection with the operation of the Level II assisted living facility;
2. (2) Refuses to allow entry or inspection by the office;
3. (3) Fails to make any or all records set forth in 20 CAR § 411-1601(d) available to representatives or agents of the Department of Human Services or the office, unless such refusal is made pursuant to court order or during the pendency of an appeal specifically on the issue of the release of the records, or the records are records created by the quality assessment unit;
4. (4) Closes, either voluntarily or through action of the state;
5. (5) Operator or owner refuses to obtain a criminal record check of any individual required to undergo a criminal record check pursuant to Rules for Conducting Criminal Record Checks for Employees of Long-Term Care Facilities, 20 CAR pt. 404, or pursuant to Arkansas Code § 20-33-201 et seq.;
6. (6) Is cited for a third Class A violation within six (6) months of the citation of the first Class A violation, or is cited for a third Class B violation within six (6) months of the citation of the first Class B violation, in accordance with Arkansas Code §§ 20-10-205 and 20-10-206; or
7. (7) Has conditions wherein the health, safety, or welfare of residents are imperiled, and no other remedy exists that would ensure the continued health, safety, or welfare of the residents.