1. (a) CJD will monitor the activities of grantees as necessary to ensure that grant funds are used for authorized purposes in compliance with all applicable statutes, rules, regulations, guidelines, and the provisions of grant agreements, and that grantees achieve grant purposes.
2. (b) The monitoring program may consist of formal audits, monitoring reviews, and technical assistance. CJD may implement monitoring through on-site review at the grantee and/or subgrantee location or through a desk review. In addition, CJD may request grantees to submit relevant information to CJD, pursuant to §3.2529 of this chapter, to support any monitoring review.
3. (c) Grantees must make available to CJD or its agents all requested records relevant to a monitoring review. CJD may make unannounced monitoring visits at any time. Failure to provide adequate documentation upon request may result in disallowed costs or other remedies for noncompliance as detailed under §3.2517 of this chapter.
4. (d) After a monitoring review, the grantee will be notified in writing of any noncompliance identified by CJD in the form of a preliminary report.
5. (e) The grantee shall respond to the preliminary report and the deficiencies or recommendations, and submit a corrective action plan to CJD within a time frame specified by CJD.

6. (f) The corrective action plan shall include:

   1. (1) the titles of the persons responsible for implementing the corrective action plan;
   2. (2) the corrective action to be taken; and
   3. (3) the anticipated completion date.
7. (g) If the grantee believes corrective action is not required for a noted deficiency or recommendation, the response shall include an explanation and specific reasons. CJD will determine whether the response is adequate to resolve the deficiency or recommendation.
8. (h) CJD's approval of the corrective action plan is required before the grantee implements the corrective action plan. The grantee's response and the approved corrective action plan shall become part of the final report.
9. (i) The grantee shall resolve all required actions identified in the final report within the time frame specified by CJD.

Source Note:The provisions of this §3.2601 adopted to be effective February 24, 2000, 25 TexReg 1297; amended to be effective September 9, 2001, 26 TexReg 6645; amended to be effective December 16, 2002, 27 TexReg 11729; amended to be effective October 13, 2003, 28 TexReg 8873; amended to be effective June 9, 2004, 29 TexReg 5575.