Authority: IC 4-13-16.5

Affected: IC 4-13-1; IC 4-13-16.5-9; IC 4-13.6

Sec. 2. (a) Revocation of certification can occur if, based on notification by the enterprise of a change in its circumstances, or other information that comes to the attention of the department, there is reasonable cause to believe that a currently certified enterprise is ineligible.

(b) The department may base a decision to revoke certification, on one (1) or more of the following and by adhering to IC 4-13-16.5- 9:

1. (1) Changes in the enterprise's circumstances since the certification of the enterprise by the department that render the enterprise unable to meet the eligibility standards of this rule.
2. (2) Information or evidence not available to the department at the time the enterprise was certified.
3. (3) Information that was concealed or misrepresented by the enterprise in previous certification actions by the department.
4. (4) A change in the certification standards or requirements since the enterprise was certified.
5. (5) A documented finding that the department's initial determination to certify the enterprise was clearly erroneous.
6. (6) Noncompliance with 25 IAC 9-4-4(e), 25 IAC 9-7-1(a), or 25 IAC 9-7- 1(b).

(c) During the pendency of a proceeding to determine if an enterprise's IVOSB should be revoked the enterprise shall retain its certification until a final determination is issued.

(d) When an enterprise's certification as an IVOSB has been revoked and is no longer subject to judicial review, the department will take the following action relative to prime contractors who have relied in good faith upon the certification of the disqualified entity:

1. (1) When a prime contractor has made a commitment to use the disqualified enterprise, or there has been a commitment to use the enterprise as a prime contractor, but a subcontract or contract has not been executed before the order to show cause provided for in subsection (a) has been issued, the ineligible enterprise does not count toward the contract goal or overall goal. The prime contractor must:

   1. (A) meet the contract goal with an eligible enterprise; or
   2. (B) demonstrate that it has made a good faith effort to do so.

2. (2) If a prime contractor has executed a subcontract with the enterprise before the department has issued a notice to show cause, the prime contractor may continue to:

   1. (A) use the enterprise on the contract; and
   2. (B) receive credit toward its goal for the enterprise's work.

(e) The remaining portion of the decertified enterprise's performance of the contract shall not count toward the state of Indiana's overall annual goal of IVOSB participation.

(Indiana Department of Administration; 25 IAC 9-8-2; filed Jun 6, 2017, 12:34 p.m.: 20170705-IR-025160265FRA; errata filed May 18, 2020, 9:29 a.m.: 20200603-IR-025200281ACA; readopted filed Oct 20, 2020, 1:55 p.m.: 20201118-IR-025200463RFA)