Common use of Non-availability of Funding Clause in Contracts

Non-availability of Funding. If the General Assembly fails to appropriate funds or if funds are not otherwise made available for continued performance for any fiscal period of a TOA or SWO under this Contract succeeding the first fiscal period, the TOA or SWO shall be canceled automatically as of the beginning of the fiscal year for which funds were not appropriated or otherwise made available; provided, however, that this will not affect either the State’s rights or the Contractor’s rights under any termination clause in this Contract. The effect of termination of the TOA or SWO will be to discharge both the Contractor and the State from future performance of the TOA or SWO, but not from their rights and obligations existing at the time of termination. The Contractor shall be reimbursed for the reasonable value of any nonrecurring costs incurred but not amortized in the price of the TOA or SWO. The State shall notify the Contractor as soon as it has knowledge that funds may not be available for the continuation of TOA or SWO for each succeeding fiscal period beyond the first.