| (a) Following receipt of a contractor's notice of claim,
the executive director of the department or other representative designated
in the contract shall review the contractor's claim(s) and the department’s
counterclaim(s), if any, and initiate negotiations with the contractor
to attempt to resolve the claim(s) and counterclaim(s).
(b) Subject to subsection (c) of this section, the
parties shall begin negotiations within a reasonable period of time,
not to exceed 60 days following the later of:
(1) the date of termination of the contract;
(2) the completion date, or substantial completion
date in the case of construction projects, in the original contract;
or
(3) the date the department receives the contractor's
notice of claim.
(c) The department may delay negotiations until after
the 180th day after the date of the event giving rise to the claim
of breach of contract by:
(1) delivering written notice to the contractor that
the commencement of negotiations will be delayed; and
(2) delivering written notice to the contractor when
the department is ready to begin negotiations.
(d) The parties may conduct negotiations according
to an agreed schedule as long as they begin negotiations no later
than the deadlines set forth in subsections (b) or (c) of this section,
whichever is applicable.
(e) Subject to subsection (f) of this section, the
parties shall complete the negotiations that are required by this
chapter as a prerequisite to a contractor's request for contested
case hearing no later than 270 days after the department receives
the contractor's notice of claim.
(f) The parties may agree in writing to extend the
time for negotiations on or before the 270th day after the department
receives the contractor's notice of claim. The agreement shall be
signed by representatives of the parties with authority to bind each
respective party and shall provide for the extension of the statutory
negotiation period until a date certain. The parties may enter into
a series of written extension agreements that comply with the requirements
of this section.
(g) The contractor may request a contested case hearing
before the State Office of Administrative Hearings ("SOAH") pursuant
to §51.213 of this title (relating to Request for Contested Case
Hearing) after the 270th day after the department receives the contractor's
notice of claim, or the expiration of any extension agreed to under
subsection (f) of this section.
(h) The parties may agree to mediate the dispute at
any time before the 270th day after the department receives the contractor's
notice of claim or before the expiration of any extension agreed to
by the parties pursuant to subsection (f) of this section. The mediation
shall be governed by the provisions of this subchapter.
(i) Nothing in this section is intended to prevent
the parties from agreeing to commence negotiations earlier than the
deadlines established in subsections (b) and (c) of this section,
or from continuing or resuming negotiations after the contractor requests
a contested case hearing before SOAH.
|
