(A) Except as provided in division (B) of this section, the department of medicaid shall deduct the following from the next available medicaid payment the department makes to a nursing facility provider who continues to participate in medicaid:

1. (1) Any amount the provider is required to refund, and any interest charged, under section 5165.41 of the Revised Code;
2. (2) The amount of any penalty imposed on the provider under section 5165.42 of the Revised Code.