(1) The department may:

(a) Take one or both of the following actions for the health, safety, and well-being of the children and youth in care:

(i) Limit or restrict a license; or

(ii) Require licensees to enter into a compliance agreement; and

(b) Make exceptions to license an applicant or continue to license a licensee if they do not meet the minimum licensing requirements but can demonstrate that they can provide for the health, safety, and well-being of the children and youth in care.

(2) Licensees:

(a) Must keep a copy of any approved exceptions to the licensing requirements on the premises.

(b) Do not have appeal rights if the department denies a request for an exception to the licensing requirements.