Disclosure of criminal record

1. Each member of the governing body of the applicant, the chief executive officer, and any employees, volunteers, or agents who receive and disburse funds on behalf of the governing body, or who provide any direct service to eligible individuals, shall disclose to the department if they have been found guilty of, pled guilty to, or pled no contest to a criminal offense or been placed on the Medicaid exclusion list. 2. The applicant or licensee shall conduct federal and state criminal background checks on all individuals employed who work with eligible individuals, including volunteers. If the applicant or licensee is contracting or subcontracting with other entities, there must be an agreement ensuring federal and state criminal background checks have been completed on all individuals employed who work with eligible individuals, including volunteers. 3. The applicant or licensee shall disclose to the department the names, type of offenses, dates of having been found guilty of, pled guilty to, or pled no contest to a criminal offense, and position and duties within the applicant's organization of employees and volunteers with a criminal record. 4. Disclosure may not disqualify the applicant from licensure or an individual from employment or volunteering, unless the applicant or individual has been found guilty of, pled guilty to, or pled no contest to, a crime having direct bearing on the capacity of the applicant, employee, or volunteer to provide a service under the provision of this chapter or the convicted applicant, employee, or volunteer is not sufficiently rehabilitated. 5. The department shall determine the effect of an applicant, employee, or volunteer having been found guilty of, pled guilty to, or pled no contest to, a criminal offense.