Failure of Applicant's Establishment to Pass Initial Inspection. Initial Inspection. The Board may not issue a license to a person to operate a horse establishment if the establishment fails to pass inspection. Subsequent Inspection. If an establishment fails to pass its initial inspection, the Board may: Conduct a subsequent inspection after giving the person sufficient time to correct the deficiencies; and Issue a license if it finds during the subsequent inspection that the deficiencies have been corrected. Failure of Licensee's Establishment to Pass Inspection. If, following an inspection, the Board determines that the licensee's establishment does not meet the requirements of the particular class or classes in which the operator is licensed to do business, the following actions shall be taken: The Board shall: Give the licensee written notice of the perceived deficiencies, and Schedule an additional inspection, allowing the licensee a reasonable period of time to complete necessary corrective measures; The licensee, before the additional inspection is scheduled to occur, shall: Complete those measures necessary to correct the perceived deficiencies, and Submit evidence to the Board that satisfactory corrective measures have been completed. If, following the failed first inspection, the licensee does not submit evidence to the Board showing that satisfactory corrective measures have been completed, the Board shall conduct the scheduled additional inspection. If, following this second inspection, the Board determines that the licensee's establishment is still deficient in those areas in which it had been given written notice, the same actions outlined in §B(1) of this regulation shall be taken. If, following a third inspection, the Board again determines that the licensee’s establishment is still deficient in the areas in which it had been given written notice, the Board shall: Bring formal charges against the licensee; and Conduct an administrative hearing in order to determine whether: The operator's license in a particular class or classes should be suspended or revoked for any of the reasons listed in Agriculture Article, §2-715, Annotated Code of Maryland ; or The operator shall pay an administrative penalty as provided under COMAR 15.16.03.