(a) The Agency may suspend a contract whenever grounds for debarment exist.
(b) Suspension will result in one or more of the following:
  (1) The Agency may withhold payments, wholly or partly, to the contractor during the period of suspension.
  (2) The Agency may refuse to accept a bid, offer, application, or proposal from, or to award a contract to, the affected contractor during the period of suspension.
  (3) The Agency may remove existing customers referred from or cease referring customers to a suspended contractor and may transfer existing customers to other contractors.
(c) If the Agency determines that the underlying reasons for suspension have been resolved in favor of the respondent, the Agency must, if applicable:
  (1) pay the withheld payments for services that were provided during the suspension and that met the terms of an existing contract; and
  (2) resume contract payments and customer referrals.
(d) If the Agency determines that the underlying reasons for suspension are not resolved in favor of the respondent, the Agency shall institute debarment proceedings.
(e) In accordance with terms specified by the Agency, an individual whose contract has been placed in suspension may not:
  (1) receive a contract;
  (2) submit an offer, bid, application, or proposal for a contract; or
  (3) provide goods or services to Agency customers either directly or indirectly while working for an Agency contractor.
(f) A suspension may be applied against an individual, an entire legal entity, or a specified part of a legal entity.

Source Note: The provisions of this §858.12 adopted to be effective June 17, 2015, 40 TexReg 3638; duplicated effective September 1, 2016, as published in the Texas Register September 2, 2016, 41 TexReg 6773; amended to be effective July 6, 2020, 45 TexReg 4532