(1) Basis for Invalidating. The Executive Officer may modify or delete a Certified CI and invalidate credits or recalculate deficits based on any of the following:

(2) Notice. Upon making an initial determination that a credit (other than a provisional credit), deficit calculation, or Certified CI (other than a provisionally certified CI) may be subject to modification, deletion, recalculation, or invalidation under subsection (b)(1), above, the Executive Officer will notify all potentially affected parties, including those who hold or generate credits or deficits based on a Certified CI that may be invalid, and may notify any linked program. The notice shall state the reason for the initial determination, and may be distributed using the LRT-CBTS. Any party receiving such notice may submit, within 20 days, any information that it wants the Executive Officer to consider. The Executive Officer may request information or documentation from any party likely to have information or records relevant to the validity of a credit, deficit calculation, or Certified CI. Within 20 days of any such request, a regulated entity shall make records and personnel available to assist the Executive Officer in determining the validity of the credit, deficit calculation, or Certified CI.

(3) Interim Account Suspension. When the Executive Officer makes an initial determination pursuant to the preceding subsection, the Executive Officer may immediately take steps to suspend an account or a Certified CI as needed to prevent additional accrual of credits or deficits under the Certified CI and to prevent transfer of potentially invalid credits or deficits. Suspension of an account may include locking an account within the LRT-CBTS to prevent credit transfers or report alteration.

(4) Final Determination. Within 50 days after making an initial determination under sections 95495(b)(1) and (2), above, the Executive Officer shall make a final determination based on available information whether, in his or her judgment, any of the bases listed in subsection (b)(1) exists, and notify affected parties and any linked program. If the final determination invalidates credits or deficit calculations, the corresponding credits and deficits will be added to or subtracted from the appropriate LRT-CBTS accounts. Where such action creates a deficit in a past compliance period, the deficit holder has 60 days from the date of the final determination to purchase sufficient credits to eliminate the entire deficit. A return to compliance does not preclude further enforcement actions.

(5) Adjustment of Invalidated Credits or Miscalculated Deficits. The Executive Officer will seek the following options to address any invalid credits or miscalculated deficits in the program: