Program Fraud and False or Fraudulent Statements or Related Acts
Contractor acknowledges that the provisions of the Program Fraud Civil Remedies Act of 1986,
as amended, 31 USC 3801 et seq. and USDOT regulations, "Program Fraud Civil Remedies," 49
CFR 31, apply to its actions pertaining to this project. Upon execution of the underlying contract,
contractor certifies or affirms the truthfulness and accuracy of any statement it has made, it
makes, it may make, or causes to be made, pertaining to the underlying contract or PTA assisted
project for which this contract work is being performed. In addition to other penalties that may
be applicable, contractor further acknowledges that if it makes, or causes to be made, a false,
fictitious, or fraudulent claim, statement, submittal, or certification, the US Government reserves
the right to impose the penalties of the Program Fraud Civil Remedies Act (1986) on contractor
to the extent the US Government deems appropriate.
The Contractor also acknowledges that if it makes, or causes to be made, a false, fictitious, or
fraudulent claim, statement, submission, or certification to the Federal Government under a
contract connected with a project that is financed in whole or in part with Federal assistance
originally awarded by FTA under the authority of 49 U.S.C chapter 53, the Government reserves
the right to impose the penalties of 18 U.S.C L001 and 49 U.S.C. 5323 (1) on the Contractor, to
the extent the Federal Government deems appropriate.
The Contractor agrees to include the above two clauses in each subcontract financed in whole or
in part with Federal assistance provided by FTA. [tis further agreed that the clauses shall not be
modified, except to identity the subcontractor whe will be subject to the provisions.
Termination
Applicability — All Contracts over $10,000.
I. Termination for Convenience (General Provision) the recipient may terminate this
contract, in whole or in part, at any lime by written notice to contractor when it is in the
recipient's best interest. Contractor shall be paid its costs, including contract close-out costs, and
profit on work performed up to the time of termination. Contractor shall promptly submit its
termination claim to the recipient. If contractor is in possession of any of the recipients property,
contractor shall account for same, and dispose of it as the recipient directs.
2. Termination for Default [Breach or Cause] (General Provision) If contractor does not
deliver items in accordance with the contract delivery schedule, or, if the contract is for services,
and contractor fails to perform in the manner called for in the contract, or if contractor fails to
comply with any other provisions of the contract, the recipient may terminate this contract for
default, Termination shall be effected by serving a notice of termination to contractor setling
forth the manner in which contractor is in default. Contractor shall only be paid the contract price
for supplies delivered and accepted, or for services performed in accordance with the manner of
performance set forth in the contract. If it is later determined by the recipient that contractor had
an excusable reason for not performing, such as a strike, fire, or flood, events which are not the
fault of or are beyond the control of contractor, the recipient, after setting up a new delivery or
performance schedule, may allow contractor to continue work, or treat the termination as a
termination for convenience.
