Common use of BUDGET CONTINGENCY Clause in Contracts

BUDGET CONTINGENCY. If the Budget Act of the current year covered under the Agreement does not appropriate sufficient funds for the TSS Program, the Agreement shall be of no force and effect. This provision shall be construed as a condition precedent to the obligation of the State to perform any services under the Agreement. In this event, the State shall have no liability to furnish any considerations under the Agreement and the GSA shall not be obligated to perform any provisions of the Agreement. If funding for any fiscal year after the current year covered by the Agreement is reduced or deleted by the Budget Act for purposes of this program, the State shall have the option to either cancel the Agreement with no liability occurring to the State or offer an Agreement amendment to the GSA to reflect the reduced amount of services to be provided.