On or about July 20, 1998, the North Iowa Community Action Organization (NICAO) appealed the decision to revoke funding of the Mason City Child Development class for failure to obtain the required NAECP accreditation. This program was initially funding in 1995 to serve 16 4-year-old "at risk" children. The decision to revoke was appealed on 2 grounds: 1) NICAO took the required steps to achieve the requested accreditation. The process takes longer to achieve than is allowed by the council. 2) The Academy sent a different evaluator to the second on-site visit which resulted in deficiencies being noted which were noted cited by the first evaluator.

Pursuant to Administrative rules promulated by the Council, the grantee's responsibilities are listed in 281 IAC 65.14(5). The evidence showed the the center was given several opportunities to achieve accreditation before the $60,000 annual funding was terminated. There was no evidence indicating an error in terminating the funding of this center.

That the Coordinating Council's decision to terminate the funding was affirmed.