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<br />Page 3 of 5 <br /> <br />E. All administrative obligations and expenditures must be incurred and <br />documented in accordance with Federal Circulars OASC-IO, A-8? (revised), <br />OMBA-I~2 (revised) current federal regulations, and published State <br />policies; <br /> <br />F. State reserves the right to exclude and/or recover any expenditures <br />that have been claimed and/or paid that are not authorized by the reg- <br />ulations and/or directives pertaining to the program; <br /> <br />G. T~e case.ioad -:.:~"tity shall be w:::~igned by State t, 3iving wrh" <br />notice of same to Project and may be subject to change from time to <br />time upon written notice to Project from State performance data <br />reflecting participation shall be submitted monthly to the State. <br /> <br />H. State reserves the right to withhold a proportionate amount of earned <br />administrative funds when evidence exists that nutrition education is <br />not being provided by Project, or that Project is not complying with <br />the provisions of USDA and/or State directives; <br /> <br />I. State reserves the right to grant exceptions to the above funding fornula <br />as descri:,ed in Section II, para;:o:raphs Band C al,ovE'. <br /> <br />J. At the option of the State, provide every two years an independent <br />organizational wide audit, or State WIC Program audit of financial <br />operations which is conducted in accordance with the guidelines contained <br />in the Office of Management and Budget Circular A-102 (revised), Attachment <br />P, published January 1981; <br /> <br />K. Performance of Section II of this agreement shall be contingent upon <br />funds being made available by USDA. <br /> <br />III. <br /> <br />For and in consideration of the mutual benefits accruing to both parties <br /> <br />of this agreement, it is further agreed and understood that: <br /> <br />A. State and/or USDA shall have the right through their representatives <br />to inspect, examine, investigate. and evaluate the program described <br />in Section I above and the facilities provided by Project under this <br />agreement at any time during normal business hours, and at other <br />times by nutual agreement made in advance; <br /> <br />B. It is further agreed and understood that in the event state and <br />federal laws affecting either Project or State are amended so as <br />to render fulfillment of this agreement on the part of either Project <br />or State unfeasible or impossible, then in that event both Project and <br />State shall be discharged from further obligation claimed under the <br />terms of the agreement except for equitable settlement of the respective <br />accrued interests up to the date of termination. It is further agreed <br />and understood that if the total amount of funds made available by <br />USDA are inadequate co, fulfill the obligations incurred by reason <br />of this agreement, then this agreement shall be void as to both parties; <br /> <br />D. The terms of this agreement shall not be modif ied or changed in any <br />way other than by the consent in writing of both parties hereto, in <br />the manner authorized by law; <br /> <br />E. <br /> <br />This agreement <br />continue u:-Itil <br />vide': herein. <br />thereafter, by <br /> <br />shall become effective on October 1, 1982, and shall <br />Septem~er 30, 1983, unless terminated earlier as pro- <br />State may renew this agreement for each fiscal year <br />notice in writing given to Project; <br /> <br />F. This agreement may be terminated upon 30 days written notice on the <br />part of either party hereto and State may terminate this agreement <br />imuediarely upon receipt of evidence that the terms and conditions of <br />this agreemen: and/or USDA and/or State regulations and/or policies <br />have not been fully complied with by Project. Allowable and approved program <br />