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<br />C. The termination of this Agreement and payment of any amount in the settlement as prescribed <br />herein shall extinguish all rights, duties, obligations and liabilities of the STATE and the GRANTEE <br />under this Agreement. <br /> <br />8. DISPUTES <br /> <br />The GRANTEE shall be responsible for the settlement of all contractual and administrative issues <br />arising out of procurement made by the GRANTEE in -support of this grant program. Any disputes <br />concerning the work or obligations defined herein or additional costs, or any non-procurement issues <br />shall be settled at the sole discretion of the STATE. <br /> <br />9. INDEMNIFICATION <br /> <br />To the extent authorized by the Constitution and Laws of the State of Texas the GRANTEE shall <br />indemnify and hold harmless the STATE, its officers and employees from all third party claims for <br />injury to, or death of, persons and damage to, or loss of, physical property directly due to activities of <br />itself, its agents, contractors, officers or employees, performed under this Agreement and which result <br />from the negligence or willful misconduct of the GRANTEE or of any person employed by the <br />GRANTEE. The GRANTEE shall also indemnify and hold harmless the STATE, its officers and <br />employees from any and all expenses, including attorney fees, which might be incurred by the <br />STATE, its officers and employees as a result of such activities by the GRANTEE, its agents, <br />contractors, officers and employees. <br /> <br />10. COMPLIANCE WITH LAWS <br /> <br />The GRANTEE shall comply with all federal, state and local laws, statutes, ordinances, rules, <br />regulations, and the orders and decrees of any court, or administrative bodies or tribunals in any <br />manner affecting the performance of this Agreement. <br /> <br />11. ASSURANCES <br /> <br />The GRANTEE assures that no person shall, on the grounds of race, creed, color, handicap, national <br />origin, gender, political affiliation or beliefs, be excluded from, be denied benefit of, or be subject to <br />discrimination under any program or activity funded in whole or in part under this Agreement. <br />Incorporated by reference the same as if specifically written herein are rules, regulations, and all other <br />requirements imposed by law, including but not limited to compliance with those pertinent rules and <br />regulations of the State of Texas and those of United States agencies providing funds to the State of <br />Texas. <br /> <br />To the extent it applies, GRANTEE shall comply with Texas Government Code, Chapter 783, 1 <br />TAC 5.141 et seq., and the Uniform Grant Management Standards, State Uniform Administrative <br />Requirements for Grants and Cooperative Agreements, Section III, Subpart B, ~_.14 (Attached <br />as "Attachment 2"). <br /> <br />12. AUDIT REQUIREMENTS <br /> <br />The GRANTEE hereby agrees to comply with the requirements specified in the Single Audit Act, 31 <br />U.S.C. ~~ 7500 etseq. (Supp.1999) (Public Law 104-156), as applicable. <br /> <br />Page 5 of 8 <br />Contract Number lO-DEM-LEPC-OOl <br />