28 C.F.R. § 42.213 – Full hearing.

(a) At any time after notification of noncompliance under § 42.208, but before the conclusion of the 120-day suspension period referred to in § 42.210, a State government or unit of general local government may request a hearing on the record in accordance with 5 U.S.C. 554 in order to contest the findings of determination of noncompliance made under § 42.208. The Office shall initiate the hearing within 60 days of request.
(b) Within 30 days after the conclusion of the hearing, or, in the absence of a hearing, at the conclusion of the 120-day period referred to in § 42.210, the Director of OJARS shall make a finding of compliance or noncompliance.
1. (1) If the Director makes a finding of noncompliance, the Director shall:
  1. (i) Notify the Attorney General in order that the Attorney General may institute a civil action under section 815(c)(3) of the JSIA;
  2. (ii) Cause to have terminated the payment of funds under the JSIA and/or the Juvenile Justice Act; and
  3. (iii) If appropriate, seek repayment of funds.
2. (2) If the Director makes a finding of compliance, payment of the suspended funds and reconsideration of applications shall resume.