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Child Care Provider Registration Agreement Page 22 7.0 TERMINATION 7.1 YOUR RIGHTS AND OBLIGATIONS UPON TERMINATION In the event of termination or suspension of this Agreement by the Department, such termination or suspension shall not affect your obligation to: 1. Indemnify the Department and the State for any claim by any other party against the State or Department arising from your performance of this Agreement and for which you would otherwise be liable under this Agreement. To the extent not permitted by A.R.S. § 41-621 et. seq. or A.R.S. § 35-154, the provisions of this subsection shall not apply; 2. Stop all work and minimize all further costs to the State as directed by a verbal or written notice of termination, whichever you receive first; or, 3. Deliver to the State, upon request, all documents, data, and reports prepared by you under the Agreement, which shall become the property of the State. 7.2 TERMINATION FOR CONVENIENCE The State reserves the right to terminate this Agreement in whole or in part at any time when in the best interests of the State without penalty or recourse. Upon notice of termination, you agree to stop all work as directed in the notice, and minimize all further costs to the State. In the event of termination under this subsection, all documents, data and reports prepared by you under the Agreement shall become the property of the State. If the Department terminates this Agreement under this subsection, the Department shall not reimburse you for any services delivered subsequent to the date of your termination. If the Department has already reimbursed you for services after the date of termination, you agree to promptly reimburse the Department. You shall be entitled to receive reimbursement for authorized services that are delivered before the effective date of the termination. 7.3 TERMINATION B Y THE CHILD AND ADULT CARE FOOD PROGRAM FOR FRAUD If you are the subject of a “Dropped for Cause” or “Termination” for fraud by the Department of Education Child and Adult Food Program (CACFP), the Department may immediately terminate this Agreement. If the Department terminates this Agreement under this subsection, the Department shall not reimburse you for any services delivered subsequent to the date of your termination with the CACFP. If the Department has already reimbursed you for services after the date of CACFP termination, you shall promptly reimburse the Department. You shall be entitled to receive reimbursement for authorized services that were delivered before the effective date of your CACFP termination. 7.4 TERMINATION FOR FAILURE TO MAINTAIN LICENSING STANDARDS 1. The Department will terminate this Agreement if your license, certificate, approval or permit to provide child care services has expired or is terminated, denied, suspended, revoked or temporarily closed. 2. Termination of this Agreement shall coincide with the last date on which a valid license, certificate, approval, or permit was in effect. Such termination may be retroactive, in which case, ADES will not reimburse you for any services delivered subsequent to the actual termination and shall be entitled to recoup any amount paid to you for such services. 7.5 TERMINATION FOR DEFAULT 1. This Agreement is subject to immediate termination by the Department if: a. You fail to comply or meet the fingerprinting requirement of Section 2.5, Fingerprinting Requirements, of this Agreement; b. You fail to comply with immigration laws and regulations; c. You fail to comply with a State audit process to randomly verify your employment records as stipulated in Section 2.3, E-Verify, of this Agreement; CCA-1210B (4-16) – Arizona Department of Economic Security