(a) The Texas Education Agency (TEA) may take one or more of the following actions specified in 2 Code of Federal Regulations, §200.339, as appropriate in the circumstances, if a grantee or subgrantee materially fails to comply with any term of an award, whether stated in a federal statute or regulation as an assurance, in a state plan or application, in a notice of award, or elsewhere:
  (1) temporarily withhold cash payments pending correction of the deficiency by the grantee or subgrantee or more severe enforcement action by the awarding agency;
  (2) disallow (that is, deny both use of funds and matching credit for) all or part of the cost of the activity or action not in compliance;
  (3) wholly or partly suspend or terminate the current award for the grantee's or subgrantee's program;
  (4) withhold further awards for the program; or
  (5) take other remedies that may be legally available.
(b) In taking enforcement action, TEA shall provide the grantee or subgrantee an opportunity for any hearing, appeal, or other administrative proceeding to which the grantee or subgrantee is entitled under any statute or regulation applicable to the action involved.

Source Note: The provisions of this §157.1082 adopted to be effective May 8, 1996, 21 TexReg 3708; amended to be effective May 28, 2012, 37 TexReg 3829; amended to be effective November 28, 2023, 48 TexReg 6902