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<br />ARTICLE 7 <br />Reporting ReQuirements <br /> <br />7.1. Administrator shall submit to Department such reports on the operation and performance of this Contract <br />as may be required by Department, including but not limited to the reports specified in this Article 7. <br />Administrator shall provide Department with all reports necessary for Department's compliance with 24 C.F.R. <br />part 92. <br /> <br />7.2. In addition to the limitations on liability otherwise specified in this Contract, it is expressly understood <br />and agreed by the Parties hereto that if Administrator fails to submit to Department in a timely and satisfactory <br />manner any report required by this Contract, Department may, at its sole option and in its sole discretion, <br />withhold any or all payments otherwise due or requested by Administrator hereunder. If Department withholds <br />such payments, it shall notify Administrator in writing of its decision, the reasons for this action and the time <br />period in which Administrator must bring itself into compliance. Payments withheld pursuant to this paragraph <br />may be held by Department until such time as the Administrator is in compliance with the requirements for <br />which funds are being withheld. If Administrator fails to perform as required within the stated cure period, <br />Department may terminate this Contract and Administrator hercby agrees and acknowledges that upon <br />termination, Administrator's rights to any funds shall be terminated. <br /> <br />ARTICLE 8 <br />Monitoring <br /> <br />The Department reserves the right, from timc to time, to carry out field inspections to ensure compliance with the <br />requirements of this Contract. Administrator shall attcnd an implementation workshop, as scheduled by the <br />Department. After each monitoring visit, Department shall provide Administrator with a written report of the <br />monitor's findings. If the monitoring reports note deficiencies in Administrator's performance under the terms of <br />this Contract, the monitoring report shall includc requirements for the timely correction of such deficiencies by <br />Administrator. Failure by Administrator to take the action specified in the monitoring report may be cause for <br />suspension, termination or repayment of this Contract, as provided in Articles 16, 17 and Article 18 of this <br />Contract. <br /> <br />ARTICLE 9 <br />I ndellendent Contractor <br /> <br />It is expressly understood and agreed by the Parties hereto that Department is contracting with Administrator as <br />an Independent Contractor, und that Administrator, as such, agrees to hold Department harmless and to <br />indemnity Department from and against any and all claims, demands, and causes of action of every kind and <br />character which may be asserted by any third party occurring or in any way incident to, arising out of, or in <br />connection with the services to be performed by Administrator under this Contract. <br /> <br />. <br />.:. <br /> <br />539076 <br />Page 4 of 17 <br />