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<br /> THE TEXAS TRAFFIC SAFETY PROGRAM <br /> Article 4. Limitation of Liability (cont.) <br /> If at any time during the contract period the State determines that there is <br /> insufficient funding to continue the project, the State shall so notify the Local <br /> Government, giving notice of intent to terminate the contract. Such termination <br /> will be conducted in such a manner that will minimize disruption to the Local <br /> Government and the State, and as further specified in General Provision 09, <br /> Termination. <br /> If any claim submitted during the 60 days following the termination of this contract <br /> for reason of insufficient federal funds is not paid within 90 days after the end of the <br /> fiscal year in which the cost is incurred, the State shall not be liable for payment at a <br /> later date. The Local Government expressly waives any further claim if sufficient <br /> funds are not available to the State for payment of the Local Government's claim. <br /> The Local Government shaH indemnify, defend, and hold the State harmless from <br /> any and all claims and lawsuits by third parties arising from or incident to the <br /> State's non-payment of the Local Government's claim under this contract. This <br /> indemnification, defense and hold harmless agreement by the Local Government <br /> includes the payment of all damages, expenses, penalties, fines, costs, charges, and <br /> attorney fees,.ifthe claims or lawsuits are based upon the State's non~payment of <br /> claims submitted under this contract. The Local Government shall defend any suits <br /> brought upon all such claims and lawsuits and pay all costs and expenses incidental <br /> thereto, but the State shall have the right at its option to participate in the defense of <br /> any suit, without relieving the Local Government of any obligation hereunder. <br /> Article 5. Contract Amendments <br /> If at any time during the contract period the Sta~ determines that additional funds <br /> are needed to continue the project and the maximum amount payable is insufficien t, <br /> a written amendment is to be executed to authorize additional funds, if the State and <br /> the Local Government determine to continue project funding. <br /> Other changes in the scope, compleXity, or cost of the project shall be authorized by <br /> written amendment hereto. The amendment shall be agreed upon by the parties to <br /> this contract and shall state the change to the mutual satisfaction of the parties. In <br /> no event will the contract period be extended unless a written amendment is <br /> executed before the completion date specified in Article 1. <br /> Page 3 of 13 <br />