| (a) If a contractor is notified of sanctions and fails to correct the deficient condition(s) in the time and manner as indicated by the OAG, the OAG may: (1) Demand repayment of funds from the contractor to the OAG; (2) Withhold or suspend reimbursement of all or part of the awarded funds pending compliance by the contractor or its subcontractor(s); (3) Reduce the amount of the contract or award; or (4) Terminate the contract. The OAG may require the contractor to return any equipment purchased with contract funds. (b) If the contractor remains out of compliance with these rules, related requirements or OAG procedures, the OAG may deny future funding to the contractor. |