SECTION 9.366. Determination of Noncompliance; Sanctions

(a) The department may determine that the contractor or respondent failed to satisfy the requirements of this subchapter.

(b) If a noncompliance determination is made under this section, the department may impose a sanction. The available sanctions are:

(1) letter of reprimand;

(2) denial of the award of the contract;

(3) termination of the contract;

(4) required participation in HUB outreach programs;

(5) a report to the comptroller of noncompliance in the manner described by 34 TAC §§20.101 - 20.108 (relating to Procurement);

(6) require payment of liquidated damages; and

(7) any other remedy available by law.

(c) Factors to be considered in issuing sanctions include:

(1) the magnitude and type of the violation;

(2) the degree of the contractor's or respondent's culpability;

(3) steps taken by the contractor or respondent to rectify the situation;

(4) the contractor's or respondent's record of performance on other department projects; and

(5) whether the contractor or respondent falsified, misrepresented, or withheld information.

(d) Within ten days after the date of the final determination under this section, the department will notify the contractor or respondent in writing of the determination. The notice will include the reasons for that determination and specify any resulting sanctions.

Source Note: The provisions of this §9.366 adopted to be effective September 1, 2012, 37 TexReg 5320