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<br />6.3A <br />Page 26 <br /> <br />54. CURRENT STATE EMPLOYEES: Project Sponsor acknowledges and accepts <br />that no State officer or employee shall engage in any employment, activity, or <br />enterprise from which the officer or employee receives compensation or has a <br />fInancial interest and which is sponsored or funded by any State agency, unless <br />the employment, activity, or enterprise is required as a condition of regular State <br />employment. Project Sponsor also acknowledges and accepts that no State officer <br />or employee shall contract on his or her own behalf as an independent contractor <br />with any State agency to provide goods or services. <br /> <br />55. FORMER STATE EMPLOYEES: Project Sponsor acknowledges and accepts <br />that, for the two-year period from the date he or she left State employment, no <br />former State officer or employee may enter into a contract in which he or she <br />engaged in any of the negotiations, transactions, planning, arrangements, or any <br />part of the decision-making process relevant to the contract while employed in <br />any capacity by any State agency. Project Sponsor also acknowledges and <br />accepts that, for the twelve-month period from the date he or she left State <br />employment, no former State officer or employee may enter into a contract with <br />any State agency if he or she was employed by that State agency in a policy- <br />making position in the same general subject area as the proposed contract within <br />the twelve-month period prior to his or her leaving State service. <br /> <br />56. GOVERNING LAW: This Implementation Agreement is governed by and shall <br />be interpreted in accordance with the laws of the State of California. <br /> <br />DEFAULT AND INDEMNIFICATION <br /> <br />57. DEFAULT PROVISIONS: Project Sponsor will be in default under this <br />Implementation Agreement if any of the following occur: <br /> <br />a. Breach of this Implementation Agreement, or any supplement or amendment <br />to it, or any other agreement between Project Sponsor and BACW A <br />evidencing or securing Project Sponsor's obligations; <br /> <br />b. Making any false warranty, representation, or statement with respect to this <br />Implementation Agreement; <br /> <br />c. Failure to operate or maintain Project in accordance with this Implementation <br />Agreement; or <br /> <br />d. Failure to make any remittance required by this hnplementation Agreement. <br /> <br />Should an event of difault occur, BA CW A may do any or all qf the following: <br /> <br />e. Declare Project Sponsor's share of the State Grant funds be immediately <br />repaid to BACW A, with interest. which interest shall be equal to State of <br />California general obligation bond interest rate in effect at the time of the <br />default; <br /> <br />(00907<l92) <br /> <br />22 <br />