MADISON, Wis. -

A near east side day care announced on its Facebook page that it will keep its license after the state investigated accusations of sexual abuse.

The state Department of Children and Families temporarily revoked the Red Caboose Day Care Center’s child care license in mid-July for allegations of sexual abuse.

An email sent to parents was posted on Red Caboose's website, and said there will be some new policies, procedures and training put in place to better protect children and families.

According to the letter, the DCF will monitor the new policies, and will report on requirements and training initiatives.

The letter said the day care center has been fined $3,000, and its Youngstar rating will be dropped from five stars to two stars through Jan. 3, 2015, which is when they will be allowed to resubmit for accreditation.

"The quality of care children see at the center will be unparalleled," the letter said. "We are committed to being even more vigilant, and to make sure your lives and routines are not disrupted going forward."

The revocation letter, sent by DCF in July, said the Williamson Street nonprofit organization's license was being revoked because someone at the facility "created a condition that directly threatens the health, safety or welfare of any child under the care."

On July 8 the state was notified of evidence of sexual abuse of a 2-year-old child in the care of Red Caboose by a volunteer helping at the center, according to the letter.

Officials said in March two employees were notified of the alleged abuse and did not immediately report it to authorities.

The day care center also allegedly allowed the volunteer to continue to help at the center and have contact with the children after administrators were told about the alleged behavior, according to the letter.

With the reinstatement of its license, the center can start enrolling children again, and Wisconsin Shares will be reinstated.

The Red Caboose Day Care Center is one of the longest running facilities in Madison, operating since 1972.