Code of Federal Regulations Title 2. Grants and Agreements § 2.3485.415 What must I do if a Federal agency excludes the participant or a principal after I enter into a covered transaction?

(a) You as a Federal agency official may continue covered transactions with an excluded person, or under which an excluded person is a principal, if the transactions were in existence when the person was excluded. You are not required to continue the transactions, however, and you may consider termination. You should make a decision about whether to terminate and the type of termination action, if any, only after a thorough review to ensure that the action is proper.

(b) You may not renew or extend covered transactions (other than no-cost time extensions) with any excluded person, or under which an excluded person is a principal, unless you obtain an exception under § 3485.137.

(c) Title IV, HEA transactions. If you are a title IV, HEA participant—

(Authority:  E.O. 12549 (3 CFR 1986 Comp., p. 189);  E.O. 12689 (3 CFR 1989 Comp., p. 235);  sec. 2455, Pub.L. 103–355, 108 Stat. 3327 (31 U.S.C. 6101 note);  20 U.S.C. 1082, 1094, 1221e–3, and 3474)