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<br />. <br />TEXAS TRAFFIC SAFETY PROGRAM AGREEMENT )O3F <br />G7. Audit <br />The Subgrantee shall comply with the requirements of the Single Audit Act of 1984, PL 98-502, <br />ensuring that the single audit report includes the coverage stipulated in the following, as <br />appropriate: . ....;;; <br /> . Paragraphs 6, 8, and 9 of OMB Circular A-I28, "Audits of State and Local <br /> Governments," or, <br />-- . OMB Circular A-133, "Audits of Institutions of Higher Education and Other <br /> Nonprofit Institutions." <br />G8. Subcontracts <br />Any subcontract for 'professional services rendered by individuals or organizations not a part of <br />the Subgrantee's organization shall not be executed without prior authorization and approval of <br />the subcontract by the Department and, when federal funds are involved, the U.S. Department <br />of Transportation. <br />Subcontracts in excess of $25,000 shall contain all required provisions of this agreement. <br /> .. <br />No subcontract will relieve the Subgrantee of its responsibility under this agreement. <br />G9. Termination <br />The Department may terminate this agreement at any time before the date of completion <br />whenever it is determined that the Subgrantee has failed to comply with the conditions of the <br />agreement. The Department sh~l give written notice to the Subgrantee at least seven days <br />prior to the effective date of termination and specify the effective date of termination and the <br />reason for termination. <br /> I <br />If both parties to this agreement agree that the continuation of the agreement would not <br />produce beneficial results commensurate with the further expenditure of funds, the parties shall <br />agree upon the termination conditions, including the effective date and the portion to be <br />terminated. <br />Upon termination of this agreement, whether for cause or at the convenience of the parties <br />hereto, all finished or unfinished documents, data, studies, surveys, reports, maps, drawings, <br />models, photographs, etc. prepared by the Subgrantee shall, at the option of the Department, <br />become the property of the Department. <br />The Department shall compensate the Subgrantee for those eligible expenses incurred during <br />the agreement period which are directly attributable to the completed portion of the work <br />covered by this agreement, provided that the work has been completed in a manner satisfactory <br />and acceptable to the Department. The Subgrantee shall not incur new obligations for the <br />terminated portion after the effective date of termination. <br /> Page 7 of 13 <br />