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Department to terminate the Agreement for the Project. In general, termination of Federal and <br />State assistance for the Project will not invalidate obligations properly incurred by the Contractor <br />before the termination date to the extent those obligations cannot be canceled. If, however, the <br />Department determines that the Contractor has willfully misused Federal /State assistance by <br />failing to make adequate progress, failing to make reasonable and appropriate use of Project <br />property, or failing to comply with the terms of this Agreement for the Project, the Department <br />reserves the right to require the Contractor to refund the entire amount of Federal and State <br />assistance provided for the Project or any lesser amount as the Department may determine. <br />Expiration of any Project time period established for the Project does not, by itself, constitute an <br />expiration or termination of the Agreement for the Project. The Department, before issuing <br />notice of Agreement termination, shall allow the Contractor a reasonable opportunity to correct <br />for noncompliance. Upon noncompliance with the nondiscrimination section (Section 8) of this <br />Agreement or with any of the said rules, regulations or orders, this Agreement may be <br />cancelled, terminated, or suspended in whole or in part and the Contractor may be declared <br />ineligible for contracts in accordance with procedures authorized in Executive Orders No. 11246 <br />and No. 11375, and such other sanctions may be imposed and remedies invoked as provided in <br />the said Executive Order or by rule, regulation or order of the Secretary of Labor, or as <br />otherwise provided by law. In addition to the Department's rights of termination described <br />above, the Department may terminate its participation in the Project by notifying and receiving <br />the concurrence of the Contractor within sixty (60) days in advance of such termination. <br />b. The Contractor. The Contractor may terminate its participation in the Project <br />by notifying and receiving the concurrence of the Department sixty (60) days in advance of the <br />termination. <br />Page 34 of 36 <br />