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<br /> (b) This subagreement may be terminated in whole or in part in writing by the recipient for
<br /> its convenience, providerl that the contractor is given (1) not less. than ten (10) ca1endar days
<br /> written notice (de1ivered by certifieá mail, return receipt requested) of intent to terminate,
<br /> and (2) an opportlJnity for consultation with the terminating party prior to termination.
<br /> (c) If termination for default is effected by the recipient, an equitable adjustment in
<br /> the pr1ce provided for in this subagreement shall be made, but (1) no amount shall be allowed
<br /> for anticipated profit on unperformed services or other work, and (2) any payment due to the contractor
<br /> at tne time of termi na t i on '11ay be adju s ted to cover any addit i ona 1 cos ts to the reci pi ent because
<br /> of the contractor's default. If termination for default is effected by the contractor, or if
<br /> termi hat i on for conveni ence is effected by tne reci pi ent, the equitable adJustment sha 11 include
<br /> a reasonable profit for services or other work performed. The equitable adjustment for any termination
<br /> shall provide for payment to the contractor for services rendered and expenses incurred prior to
<br /> the termination, in addition to terminati,on settlement costs reasonably incurred by the contractor
<br /> re 1 a t i ng to commitr:Jents wh i ch had become fi rm pri or to the termi nat i on.
<br /> (d) Upon receipt of a termination action under paragraphs (a) or (b) above, th~ contractor
<br /> shall (1) prOO1ptly discontinue all affected work (unless the notice directs otherwise), and
<br /> (2) deliver or otherwise make available to the recipient all data, drawings, specifications,
<br /> reports, estimates, summaries, and such other information and materials as may have been accumulated
<br /> by the contractor in performing this subagreement, whether completed or in process.
<br /> (e) Upon tef111ination under paragraphs (a) or (b) above, the .recipient may take over the
<br /> work and may award another party a subagreement to complete the work under this subagreement.
<br /> (f) If, after termination for failure of the contractor to fulfill contractual obligations,
<br /> it is detef111ined that the contractor had not failed to fuHi11 contractual obligations, the termination
<br /> shall be deemed to hav.e been for the convenience of the recipient. In such event, adjustment
<br /> of the subagreement prièe shall be made as provided in paragraph (c) of this clause.
<br /> 7. REMEDIES
<br /> Unless otherwise provided in' this subagreement, all claims, courtter-claims, disputes and other
<br /> matters in guestion between the recipient and the contractor arising out of, or relating to, this
<br /> subagreement or the breach of it will be decided by arbitration if .the parties mutj1a11y agree, or in
<br /> a court of compet1?nt jurisdiction within the State in '"hich the recipient is located.
<br /> 8. PRICE REDUCTION FOR DEFECTIVE COST OR PRICING DATA
<br /> NOTE - The fo11owing clause ies to I) any ~ubaqreement negotiated between the reciDient
<br /> and its contractor in excess of ,GOO', neoot 1 ated subaoreement dl'1endments or chance orders
<br /> 1n excess of )lOO,£JO al lect1ng the pr1ce of a forma IV advert1sed, comoetltlVe¡y awarded, fixed
<br /> price suoaqreement; or '3) anv lower tler suba reement or purchase order in excess of 5100,000
<br /> under a SUoaqreement otner than a formal v advertised, cOffiDetitlvei awarded, fixed orice suba reement.
<br /> This cause ooes not appi to suôaareements awarded on the basis of effective price cÐmpetition.
<br /> (a) The contractor and subcontractor, where appropriate, assure that the cost and pricing data
<br /> submitted fo~ eval"Uation with respect to negotiation of prices for negotiated subagreements, lower
<br /> tier subagreements and change orders is based on current, accurate and cor¡¡plete data supported
<br /> by their books and records. If the recipient or EPA detef111ines that any price.(including profit)
<br /> neg~tiated in connection with this subagreement, lower tier subagreement or amendment thereunder
<br /> was increased by any significant sums because the data provided was incomplete, inaccurate or not
<br /> current at the time of submission, then such price or costs er profit shall be reduced accordingly
<br /> and the reciþient shall modify the subagreement in writing to reflect such action.
<br /> (b) Failure to agree on a reduction shall be subject to the re~edies clause of this subagreement.
<br /> (NOTE - Since the suDaqreement is subject to reduction under this clause by reason of defective
<br /> cost or oricin data submitted in connectlon witn lower tier suba reements, the contractor ma
<br /> wisn to lOC ude a Clause ln each lower t1 er sucaGreement reo'J 1 r1 n the ~wer tler subcontractor
<br /> to approor1ate~ 1ndemnlry the contractor. It 1S also expected that any ower tler subcontractor
<br /> suoJect to such 1nòemn1tlcatHJn wi]] generall require substantlai1 Slmilar 1ndemnificat1on
<br /> or deteCtlve cost or r1Clnq data suDmltted ower tler contractors.
<br /> 9. AUDIT; ACCESS TO RECORDS
<br /> (a) The contractor sha11 maintain books, records, documents and other evidence direc'tly
<br /> pertinent to perfon11ance on EPA funded ,"ork under this subagreement in accordance with generally
<br /> accepted accounting principles and practices consistently applied, and 40 CFR Part 30, in effect on
<br /> the date of execution of this sub.agreement. The contractor shall also maint.ain the financial informatiqn
<br /> and data used in the preparÙion or support of the cost submission required under 40 CFR, 33.290 for
<br /> any negotiated svba~reement or change order and a copy of the cost summary submitted to the recipient..
<br /> The United States Environœenta1 Protection Agency, the Comptroller Genera1 of the United States, the
<br /> United States Department of Labor, the recipient, and (the State) or any of their authorized representatives
<br /> shal1 have access to a11 such books, records, documents, and other evidence for the purpose of
<br /> inspection, audit and copying during norma1 business hours. The contrattor will provide proper
<br /> faci1ities for such access and inspect10n.
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