(a) Requirements in this section apply to all types
of contracts with DARS.
(b) Debarment is the termination of rights to continue
an existing contract, to receive a new contract, to participate as
a contractor or manager, to provide goods or services to DARS consumers
either directly or indirectly while working for a DARS or HHSC contractor,
or to make a bid, offer, application, or proposal for a DARS or HHSC
contract. The debarment is for a specified time commensurate with
the seriousness of the violation, the extent of the violation, prior
impositions of sanctions or penalties, willingness to comply with
program rules and directives, and other pertinent information. Generally,
debarment does not exceed six years. Where conditions warrant, a longer
period may be imposed.
(c) Suspension is the temporary suspension of a contractor's
or potential contractor's rights to conduct business with DARS or
HHSC. A suspension is in effect until an investigation, hearing, or
trial is concluded and DARS can make a determination about:
(1) the contractor's future right to contract or subcontract;
or
(2) a potential contractor's future right to have DARS
or HHSC consider its offer, bid, proposal, or application.
(d) For purposes of both debarment and suspension of
contractual rights, DARS or HHSC may impute the conduct of an individual,
corporation, partnership, or other association to the contractor,
potential contractor, or the responsible entity of the contractor
or potential contractor with whom the individual, corporation, partnership,
or other association is employed or otherwise associated. Even though
the underlying conduct may have occurred while an individual, corporation,
partnership, or other association was not associated with the contractor
or potential contractor, suspension of contractual rights or debarment
may be imposed. Remedial actions taken by the responsible officials
of the contractor or potential contractor are considered in determining
whether either suspension of contractual rights or debarment is warranted.
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