The following words and terms, when used in this subchapter, have the following meaning, unless the context clearly indicates otherwise.
  (1) Claim--A demand for damages by the contractor based upon the Department of State Health Services' (department) alleged breach of the contract.
  (2) Commissioner--The commissioner of the department.
  (3) Contract--A written agreement between the department and a contractor by the terms of which the contractor agrees to provide goods or services, by sale or lease, to or for the department.
  (4) Contractor--Independent contractor who has entered into a contract directly with the department. The term does not include:
    (A) the contractor's subcontractor, officer, employee, agent, or other person furnishing goods or services to a contractor; or
    (B) an employee of the department.
  (5) Counterclaim--A demand by the department based upon the contractor's claim.
  (6) Day--A calendar day. If an act is required to occur on a day falling on a Saturday, Sunday, or holiday, the first working day that is not one of these days should be counted as the required day for purpose of this subchapter.
  (7) Event--An act or omission, or a series of acts or omissions, giving rise to a claim.
  (8) Goods--Supplies, materials, or equipment.
  (9) Mediation--A consensual process in which an impartial third party, the mediator, facilitates communication between the parties to promote reconciliation, settlement, or understanding among them, but does not impose his judgment on the issues.
  (10) Negotiation--A consensual bargaining process in which the parties attempt to resolve a claim and counterclaim.
  (11) Parties--The department and the contractor that have entered into a contract in connection with which a claim of breach of contract has been filed under this subchapter.
  (12) Services--The furnishing of skilled or unskilled labor or consulting or professional work, or a combination thereof, excluding the labor of an employee of the department.
  (13) Unit of state government--The state or an agency, department, commission, bureau, board, office, council, court, or other entity that is in any branch of state government and that is created by the Constitution or statute of this state, including a university system or institution of higher education. The term does not include a county, municipality, court of a county or municipality, special purpose district, or other political subdivision of this state.

Source Note: The provisions of this §4.13 adopted to be effective September 16, 2010, 35 TexReg 8369