(2) Upon receiving the application, the youth authority shall cause an investigation of the affairs and methods of the youth care center and, if it finds that the center meets the requirements of ORS 420.870, shall grant its application for state support.
(3) At such times as the youth authority may require, all youth care centers receiving state support under the provisions of ORS 420.855 to 420.885, shall file with the youth authority a financial and statistical report, and a report on the content and conduct of the youth care center, in such form as may be prescribed by the youth authority. If any youth care center fails to file the prescribed reports within 30 calendar days after requested by the youth authority, no further state support shall be paid until it has complied with the provisions of this subsection. [1967 c.444 §5; 1969 c.196 §1; 1971 c.401 §65; 1995 c.422 §118]