b) The applicant must comply with the application as approved by the Board. Applicants who do not comply with the terms of an approved application may have disbursement reduced or denied. In determining whether there will be a reduction or denial of disbursements, the Board will compare the terms of the approved application with the actual practices of the approved applicants, and;

1. 1) Any variance from the approved application that results in the negation of the existence of the factors necessary for approval of disbursements pursuant to Section 1700.50(d) of these rules shall result in the denial of disbursements; or
2. 2) Any variance that does not negate the reasons for approval pursuant to 1700.50(d), but results in a requirement of a lesser amount of funds than approved previously, will result in a reduction of disbursements to that level actually required.