Common use of Contract Contingency Clause in Contracts

Contract Contingency. This Contract is at all times contingent upon the availability and receipt of state or federal funds that the Department has allocated to this Contract; and, if funds for this Contract become unavailable during any budget period, this Contract may be immediately terminated or reduced by the Department, in its sole determination. The Department shall notify the Contractor when it knows that funds for this Contract will be reduced or eliminated. The Contractor may terminate the Contract based upon such notification. If the Contractor terminates this Contract based on the Department’s notice to reduce or eliminate funding, the Contractor must notify the Department in writing of its intent to terminate the Contract within fifteen (15) calendar days of receipt of the Department’s notification. The notice must contain the actual date of termination and the Contractor’s date of termination must not be less than ten (10) calendar days from the Department’s receipt of such notice and it must not exceed ninety (90) calendar days from the date the Department receives such notice. If the Contractor properly notifies the Department in accordance with this section, the Contractor will be paid at the contracted rate(s) in effect on the day services are delivered until the last child is removed in accordance with the contract termination procedures.