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Page 12 of 12 <br /> d. In the event of the Department's non-compliance with clauses of this <br /> contract, the State may cancel, terminate, or suspend this contract in <br /> whole or in part and the Department may be declared ineligible for further <br /> State contracts or agreements. Such terminations for non-compliance <br /> shall not occur until: (1)the provisions of Section K-1 (a-c) have been <br /> followed, documented, and have failed to provide a resolution, (2) all <br /> other reasonable administrative remedies have been exhausted. <br /> 2. If the Department or the State should be determined out of compliance with the <br /> provisions of the contract, either party may file a formal appeal with the Office of <br /> Administrative Hearings. <br /> IN WITNESS WHEREOF, the Department and the State have executed this <br /> agreement in duplicate originals, one of which is retained by each of the parties. <br /> LOCAL SIGNATURES STATE OF NORTH CAROLINA <br /> �9 <br /> Health Director Date <br /> By <br /> State Health Director <br /> or Authorized Agent <br /> Finance Officer Dafe <br /> wgm.,4A L s Lq <br /> Chairman of County Commissioners C ate <br /> (when required) <br />