SECTION 227.5. Use of Alternative Dispute Resolution Procedures for Contract Claims

(a) The Authority adopts by reference the model guidelines for resolving disputes with contractors developed by the State Office of Administrative Hearings and the Office of the Attorney General (Model Guidelines for Contract Claims). The Model Guidelines for Contract Claims are located at the Office of Attorney General's internet website: https://www.oag.state.tx.us/notice/model_rules.pdf

(b) Upon receipt of notice of a contract claim under Government Code Chapter 2260, the Executive Director in consultation with the Authority's Dispute Resolution Coordinator shall determine whether use of an alternative dispute resolution (ADR) procedure is an appropriate method for resolving the dispute.

(c) If use of an ADR procedure is determined to be an appropriate method for resolving a contract claim, the Executive Director shall recommend to the claimant that the parties use the Model Guidelines for Contract Claims to structure a negotiation or mediation process in a manner that is most appropriate for the particular dispute considering the contract's complexity, subject matter, dollar amount, or method and time of performance.

(d) If the claimant is amenable to use of an ADR procedure to resolve the claimant's dispute with the Authority, the Authority's General Counsel and Dispute Resolution Coordinator, if not the General Counsel, will collaborate with the claimant to select an appropriate procedure for dispute resolution, and will implement the agreed upon procedure using the Model Guidelines for Contract Claims.

Source Note: The provisions of this §227.5 adopted to be effective August 31, 2011, 36 TexReg 5382