(1) If the person or contractor named in the notice of infraction does not wish to contest the notice of infraction, the person or contractor shall pay to the department, by check or money order, the amount of the penalty prescribed for the infraction. When a response which does not contest the determination is received by the department with the appropriate payment, the department shall make the appropriate entry in its records.
(2) If the person or contractor named in the notice of infraction wishes to contest the notice of infraction, the person or contractor shall respond by filing an answer of protest with the department specifying the grounds of protest.
(3) If any person or contractor issued a notice of infraction:
(a) Fails to respond to the notice of infraction as provided in subsection (1) of this section; or
(b) Fails to appear at a hearing requested pursuant to subsection (2) of this section;
the administrative law judge shall enter an appropriate order assessing the monetary penalty prescribed for the infraction and shall notify the department of the failure to respond to the notice of infraction or to appear at a requested hearing.