Common use of - FINANCIAL PENALTIES Clause in Contracts

- FINANCIAL PENALTIES. Errors committed by the Contractor that result in the inappropriate disbursement of HAP/UAP monies cannot be collected through the Authority’s standard accounting practices to recapture inappropriately disbursed monies directly from the participant and/or landlord of record. Therefore, if the Authority determines that a file is out of compliance with the requirements for the administration of the Program and the result is the inappropriate disbursement of HAP/UAP monies due to errors committed by the Contractor, financial penalties may be assigned to the Contractor by the Authority. If the Contractor was not assigned to the voucher file for the duration of the period of non- compliance, financial penalties will only be charged for the time period when the Contractor was responsible for the voucher file after any applicable grace period provided by the Authority due to the transfer of the voucher file. The Contractor will be given proper notice of the error including the amount of the financial penalty to be assessed.