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TITLE 40SOCIAL SERVICES AND ASSISTANCE
PART 1DEPARTMENT OF AGING AND DISABILITY SERVICES
CHAPTER 49CONTRACTING FOR COMMUNITY SERVICES
SUBCHAPTER EENFORCEMENT BY HHSC, TERMINATION BY CONTRACTOR, AND NO OFFER OF STANDARD CONTRACT BY HHSC
DIVISION 4SANCTIONS
RULE §49.531Sanction by HHSC

(a) HHSC may take one or more of the following sanctions:

  (1) for any contractor, impose a vendor hold in accordance with §49.532 of this division (relating to Vendor Hold);

  (2) for any contractor, recoup funds in accordance with §49.533 of this division (relating to Recoupment);

  (3) for any contractor, terminate the contract in accordance with §49.534 of this division (relating to Termination of Contract by HHSC); and

  (4) for a contractor that has a contract for the HCS Program or TxHmL Program, impose an administrative penalty in accordance with §49.535 of this division (relating to Administrative Penalties in HCS and TxHmL Programs).

(b) For a sanction described in subsection (a)(1) or (3) of this section, HHSC may consider factors in determining the sanction to be taken, including:

  (1) the extent and seriousness of the contractor's non-compliance with the contract that is the subject of the sanction;

  (2) the contractor's history of previous non-compliance with:

    (A) the contract that is the subject of the sanction;

    (B) a contract other than the one that is the subject of the sanction;

    (C) a contractual agreement with HHSC; and

    (D) a contractual agreement with a governmental entity other than HHSC;

  (3) previous action taken or sanctions imposed against the contractor by DADS or HHSC; and

  (4) the contractor's written response to HHSC's finding that the contractor is not in compliance with the contract.


Source Note: The provisions of this §49.531 adopted to be effective September 1, 2014, 39 TexReg 6637; amended to be effective September 1, 2018, 43 TexReg 5230; amended to be effective April 28, 2020, 45 TexReg 2725

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