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Program Attachments, all or a part of this Contract may be terminated with or without cause as <br />set forth below. <br />Section 16.02 Effect of Termination. Termination is the permanent withdrawal of Contractor's <br />authority to obligate previously awarded funds before that authority would otherwise expire or <br />the voluntary relinquishment by Contractor of the authority to obligate previously awarded <br />funds. Contractor's costs resulting from obligations incurred by Contractor after termination of <br />an award are not allowable unless expressly authorized by the notice of termination. Upon <br />termination of this Contract or Program Attachment, as applicable, Contractor shall cooperate <br />with DSHS to the fullest extent possible to ensure the orderly and safe transfer of responsibilities <br />under this Contract or Program Attachment, as applicable, to DSHS or other entity designated by <br />DSHS. Upon termination of all or part of this Contract, Department and Contractor will be <br />discharged from any further obligation created under the applicable terms of this Contract or the <br />Program Attachment, as applicable, except for the equitable settlement of the respective accrued <br />interests or obligations incurred prior to termination and for Contractor's duty to cooperate with <br />DSHS, and except as provided in the Survivability of Terms section of the General Terms <br />Article. Termination does not, however, constitute a waiver of any remedies for breach of this <br />Contract. In addition, Contractor's obligations to retain records and maintain confidentiality of <br />information shall survive this Contract. <br />Section 16.03 Acts Not Constituting Termination. Termination does not include the <br />Department's (1) withdrawal of funds awarded on the basis of the Contractor's underestimate of <br />the unobligated balance in a prior period; (2) withdrawal of the unobligated balance at the <br />expiration of the term of a program attachment; (3) refusal to extend a program attachment or <br />award additional funds to make a competing or noncompeting continuation, renewal, extension, <br />or supplemental award; (4) non - renewal of a contract or program attachment at Department's <br />sole discretion; or (5) voiding of a contract upon determination that the award was obtained <br />fraudulently, or was otherwise illegal or invalid from inception. <br />Section 16.04 Termination Without Cause. <br />a) Either Party may terminate this Contract or a Program Attachment, as applicable, with at <br />least thirty (30) calendar days prior written notice to the other Party, except that if <br />Contractor seeks to terminate a Contract or Program Attachment that involves residential <br />client services, Contractor must give the Department at least ninety (90) calendar days <br />prior written notice and must submit a transition plan to ensure client services are not <br />disrupted. <br />b) The Parties may terminate this Contract or a Program Attachment by mutual agreement. <br />c) Either Party may terminate this Contract or a Program Attachment with at least thirty (30) <br />calendar days prior written notice to the other Party in the event funds become <br />unavailable through lack of appropriations, budget cuts, transfer of funds between <br />programs or health and human services agencies, amendments to the Appropriations Act, <br />health and human services consolidations, or any disruption of current appropriated <br />funding for this Contract or Program Attachment. <br />d) Department may terminate this Contract or a Program Attachment immediately when, in <br />the sole determination of Department, termination is in the best interest of the State of <br />Texas. <br />General Provisions (Core Subrecipient) 2010 36 <br />