| (1) The requirement in subsection (h)(3) of this section for a school readiness integration partnership may be exempted if Head Start and/or licensed child care programs required for school readiness integration planning are unavailable in a local community. A school district must provide proof of inability to enter into a school readiness integration partnership by submitting an Exemption Request form in the grant application signed by the superintendent or his/her designee, including a statement signed by the authorized member of the school district's board of trustees certifying inability to submit the required school readiness integration plan based upon unavailability of eligible entities and programs with which to coordinate. An open-enrollment charter school board may also provide a statement certifying inability to enter into a school readiness integration plan based on limitations of the approved charter. (2) All requests for exemptions from program requirements must be submitted as part of the application. (3) A Tier 2 grantee may request an exemption from the requirement in subsection (b)(2) of this section to participate in the SRCS if the Tier 2 grantee was not using a Kindergarten reading diagnostic instrument compatible with the SRCS by April 2, 2009, the original adoption date of this section. The grantee will be required to establish a policy for providing another source of valid and reliable data to demonstrate program effectiveness. Approval of a request for an exemption from the requirement to participate in the SRCS will also apply to the condition of operation specified in subsection (h)(3)(A) of this section. However, a district receiving such an exemption will be required to allow evaluation of Kindergarten-Grade 2 student performance by the state, or its designee or its evaluator, using a Kindergarten reading diagnostic instrument compatible with the SRCS or any other developmentally appropriate diagnostic assessment instrument. (k) Technical assistance. The TEA or its contractors will provide technical assistance, contingent on available funding, to implement proven school readiness components to selected school districts and their school readiness integration partners. Based on a comprehensive analysis of student performance, SRCS results, periodic activity/progress reports, final evaluation reports, and other relevant data from grantees, selected grantees and their school readiness integration partners will be required to participate in the technical assistance. (l) Evaluation. Each grantee operating a prekindergarten program using Prekindergarten Early Start Grant Program funds must comply with evaluation procedures consistent with the TEC, §29.154, in a manner established by the commissioner. Annual submission of evaluation reports based on program quality and student performance will be required in the manner and time set forth in the application for funding. (m) Revocation. (1) The commissioner may revoke a grant award for the Prekindergarten Early Start Grant Program based on the following factors: (A) noncompliance with application assurances and/or the provisions of this section; (B) lack of program success as evidenced by progress reports and program data; (C) failure to participate in data collection and audits; (D) failure to meet performance standards specified in the application; or (E) failure to provide accurate, timely, and complete information as required by the TEA to evaluate the effectiveness of the Prekindergarten Early Start Grant Program. (2) A decision by the commissioner to revoke the grant award of a Prekindergarten Early Start Grant Program is final and may not be appealed. (n) Recovery of funds. The commissioner may audit the use of grant funds and may recover funds against any state provided funds. (o) Implementation. The funding structure delineated in subsection (e) of this section takes effect beginning with school year 2011-2012.