(1) In determining the amount of the initial penalty to be imposed under KRS 216.537 to 216.590, the cabinet shall consider at least the following factors:
(a) The gravity of the violation, including the probability that death or serious physical or mental harm to a resident will result or has resulted; the severity of the actual or potential harm, and the extent to which the provisions of the applicable statutes or regulations were violated;
(b) The reasonable diligence exercised by the licensee and efforts to correct violations;
(c) The number and type of previous violations committed by the licensee; and (d) The amount of assessment necessary to insure immediate and continued compliance.
(2) This section shall not apply to assisted living communities licensed under KRS 194A.700 to 194A.729.