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GENERAL TERMS AND CONDITIONS <br /> INTERAGENCY AGREEMENT <br /> STATE FUNDS <br /> 9. INDEMNIFICATION <br /> Each party shall be solely responsible for the acts of its employees, officers, and agents. <br /> 10. LICENSING, ACCREDITATION AND REGISTRATION <br /> The Contractor shall comply with all applicable local, state, and federal licensing, accreditation and <br /> registration requirements or standards necessary for the performance of this Contract. <br /> 11. RECAPTURE <br /> In the event that the Contractor fails to perform this Contract in accordance with state laws, federal <br /> laws, and/or the provisions of this Contract, COMMERCE reserves the right to recapture funds in an <br /> amount to compensate COMMERCE for the noncompliance in addition to any other remedies available <br /> at law or in equity. <br /> Repayment by the Contractor of funds under this recapture provision shall occur within the time period <br /> specified by COMMERCE. In the alternative, COMMERCE may recapture such funds from payments <br /> due under this Contract. <br /> 12. RECORDS MAINTENANCE <br /> The Contractor shall maintain books, records, documents, data and other evidence relating to this <br /> contract and performance of the services described herein, including but not limited to accounting <br /> procedures and practices that sufficiently and properly reflect all direct and indirect costs of any nature <br /> expended in the performance of this contract. <br /> The Contractor shall retain such records for a period of six(6)years following the date of final payment. <br /> At no additional cost, these records, including materials generated under the contract, shall be subject <br /> at all reasonable times to inspection, review or audit by COMMERCE, personnel duly authorized by <br /> COMMERCE, the Office of the State Auditor, and federal and state officials so authorized by law, <br /> regulation or agreement. <br /> If any litigation, claim or audit is started before the expiration of the six(6)year period,the records shall <br /> be retained until all litigation, claims, or audit findings involving the records have been resolved. <br /> 13. SAVINGS <br /> In the event funding from state, federal, or other sources is withdrawn, reduced, or limited in any way <br /> after the effective date of this Contract and prior to normal completion, COMMERCE may suspend or <br /> terminate the Contract under the "Termination for Convenience" clause, without the ten calendar day <br /> notice requirement. In lieu of termination, the Contract may be amended to reflect the new funding <br /> limitations and conditions. <br /> 14. SEVERABILITY <br /> The provisions of this contract are intended to be severable. If any term or provision is illegal or invalid <br /> for any reason whatsoever, such illegality or invalidity shall not affect the validity of the remainder of <br /> the contract. <br /> 15. SUBCONTRACTING <br /> The Contractor may only subcontract work contemplated under this Contract if it obtains the prior written <br /> approval of COMMERCE. <br /> If COMMERCE approves subcontracting, the Contractor shall maintain written procedures related to <br /> subcontracting, as well as copies of all subcontracts and records related to subcontracts. For cause, <br /> COMMERCE in writing may: (a) require the Contractor to amend its subcontracting procedures as they <br /> relate to this Contract; (b) prohibit the Contractor from subcontracting with a particular person or entity; <br /> or(c) require the Contractor to rescind or amend a subcontract. <br /> Every subcontract shall bind the Subcontractor to follow all applicable terms of this Contract. The <br /> Contractor is responsible to COMMERCE if the Subcontractor fails to comply with any applicable term <br /> or condition of this Contract. The Contractor shall appropriately monitor the activities of the <br /> State of Washington Interagency Agreement Updated August 2019 <br /> Department of Commerce Page 5 <br />