(1) In order that appropriate maximum State aid reimbursement rates for foster care services provided by authorized agencies, and maintenance services provided in approved schools for the handicapped may be promulgated in a timely manner, authorized agencies and such schools shall submit the required fiscal, programmatic and statistical reports and forms relating to the standards and cost of providing foster care and educational maintenance services to the department prior to November 1st of each year. Agencies and schools which submit completed forms and reports to the department shall be notified in writing by the department if such reports or forms need clarification or supplementation. An agency or school which is so notified will be given an additional 30 days from the date of the notice to submit the corrected forms or reports. An authorized agency or approved school for the handicapped which fails to submit the required forms and reports or submits part but not all of the required forms and reports to the department by November 1st will be deemed to have failed to meet the submittal deadline.

(2) If for good cause shown, an agency or school is unable to meet the November 1st deadline, the agency or school may request an extension which must include an explanation of why the extension is needed. This request shall be submitted in writing to the department prior to the November 1st due date. The department may grant an extension of up to 30 days. A further extension may be granted until December 31st, if there are unusual circumstances which are beyond the control of the agency or school and which justify the extension. If the unusual circumstances continue to exist beyond December 31st, the department may grant one- month extensions until the agency or school is able to submit its mandated reports and forms. All extensions granted by the department pursuant to this paragraph shall be forwarded in writing to the appropriate authorized agency or school.

(3) Those authorized agencies and schools which are late in submitting the required forms or reports, or fail to respond within 30 days to a written request from the department for additional or clarifying information on forms or reports already submitted, will be subject to a penalty. Such penalty shall result in a reduction in the allowable administrative cost component of the agency's or school's maintenance rate for a specified period of time. The administrative component for family boarding home programs is composed of the same administrative cost accounts as are used in establishing the administrative component for the group foster care programs and approved schools. The amount of the penalty will depend upon the number of days after November 1st which expire prior to receipt of the required reports and forms by the department. The penalties will be determined in accordance with the following schedule:

(4) The department shall start counting the number of days late on November 2nd. For those agencies or schools which are granted an extension by the department pursuant to paragraph (2) of this subdivision, the count will start the day after the extension expires. For those agencies or schools which receive a written request for additional or clarifying information pursuant to paragraph (1) of this subdivision, the penalty count starts on the 31st day after the date of such written request if the requested additional material is not submitted within the 30 days allowed. If the due date falls on a weekend or holiday, the count will begin on the next business day. Every day which qualifies as a late day shall be counted when determining the total number of days that an agency or school is late in submitting the required documentation to the department. The total number of days beyond the date authorized for submitting required reports or forms pursuant to this Part or the date authorized for submitting supplemental information shall be considered in establishing the total number of late days and the amount of the penalty.