(1) If a written response is received by the state or other governmental entity within 21 days from the date of the notice required by Section 63A-3-303 and a hearing is requested in the written response, the state or other governmental entity shall:

1. (a) set a hearing date within 28 days of the receipt of the response; and
2. (b) mail written notice of the hearing to the debtor at least 14 days before the date of the hearing.