All of the following shall apply to cooperative agreements:

1. (a) The department or contractor may terminate, upon a minimum of 30 days written notice, any cooperative agreement.
2. (b) The department may reject a request for proposal or a request for application response based on an entity’s or organization’s failure to comply with contracted requirements in prior contracts or cooperative agreements with the department.
3. (c) The organization or unit of state and local government shall be liable to return any funds for failure to comply with the requirements of the cooperative agreement.