Tenn. Comp. R. & Regs. 0030-01-05-.06 - TERMINATION OF AREA PLAN FUNDING

(1) The termination of funding means the cancellation of State or federal assistance, in whole or in part, under a contract at any time prior to the date of completion.

(2) The Commission may terminate State or federal support for an area plan prior to the end of an approval budget year or project period if:

(a) The Area Agency violates the conditions under which the contract was approved;

(b) Program performance is inadequate, or,

(c) Nonfederal resources are not available.

(3) If the Commission terminates funding for an area plan, it will notify the Area Agency in writing of the action being taken and the reasons for such action. This notice will be given at least thirty (30) days prior to the effective date of termination and will specify any reports to be completed, the right of the Area Agency to appeal, and the procedure to be followed for appeal.

(4) The Commission shall grant to any Area Agency whose area plan has been terminated, in whole or in part, an opportunity for a hearing in accordance with the provisions set forth in Section 0030-1-8-.02 of these rules.

(5) The Commission or Area Agency may terminate the contract, in whole or in part, when both parties agree that the continuation of the project would not produce beneficial results commensurate with the further expenditure of funds. The two parties shall agree upon the termination conditions, including the effective date and, in case of partial terminations, the portion to be terminated. The Area Agency shall not incur new obligations for the terminated portion after the effective date, and shall cancel as many outstanding obligations as possible. The Commission shall allow full credit to the Area Agency for the federal share of the non-cancellable obligations, properly incurred by the Area Agency prior to termination.

Notes

Tenn. Comp. R. & Regs. 0030-01-05-.06

Original rule filed July 6, 1982; effective August 6, 1982.

Authority: T.C.A. § 14-6-105.