(a) Any petition submitted pursuant to Health and Safety Code Section 38061 shall be filed with either the Health and Welfare Agency, or the component department within that Agency, whichever is involved in the direct service contractual dispute. The petition shall be filed within 30 days after exhaustion of the grievance procedure established in accordance with Health and Safety Code Section 38036.

(b) The Office of Administrative Hearings shall schedule a hearing on the petition filed by a private, non-profit human service organization to commence no later than 30 days following the date that such petition is received by the Health and Welfare Agency or the component department within that Agency. The Office of Administrative Hearings, upon a showing of good cause, may extend the 30 day period within which the hearing must start.

(c) The Office of Administrative Hearings shall prepare and issue a proposed decision within 30 days following the date the case is submitted by the parties. The proposed decision shall be transmitted to the Health and Welfare Agency, or the component department within that Agency, whichever is involved in the direct service contractual dispute. The proposed decision shall be in such form that it may be adopted as the decision in the case.