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(6) Incorporation of Provisions: ADMINISTERING AGENCY shall include the provisions of <br />paragraphs (1) through (6) in every sub -agreement, including procurements of materials and <br />leases of equipment, unless exempt by the REGULATIONS, or directives issued pursuant thereto. <br />ADMINISTERING AGENCY shall take such action with respect to any sub -agreement or <br />procurement as STATE or FHWA may direct as a means of enforcing such provisions including <br />sanctions for noncompliance, provided, however, that, in the event ADMINISTERING AGENCY <br />becomes involved in, or is threatened with, litigation with a sub -applicant or supplier as a result of <br />such direction, ADMINISTERING AGENCY may request STATE enter into such litigation to <br />protect the interests of STATE, and, in addition, ADMINISTERING AGENCY may request the <br />United States to enter into such litigation to protect the interests of the United States. <br />APPENDIX B TO EXHIBIT B <br />Page 23 of 26 <br />