(a) Any contract entered into under this part may be cancelled for cause when the contractor fails to perform the work called for under the contract or fails to permit an Indian Education Committee to perform its duties pursuant to this part.
(b) Before cancelling the contract, the Bureau will advise the contractor in writing of the following:
(1) The reasons why the Bureau is considering cancelling the contract.
(2) The contractor will be given an opportunity to bring its work up to an acceptable level.
(c) If the contractor does not overcome the deficiencies in its contract performance, the Bureau shall cancel the contract for cause. The Bureau will notify the contractor, in writing, of the cancellation. The notice shall give the reasons for the cancellation and the right of the contractor to appeal under subpart C of 43 CFR part 4.
(d) When a contract is cancelled for cause, the Bureau will attempt to perform the work by another contract.
(e) Any contractor that has a contract cancelled for cause must demonstrate that the cause(s) which led to the cancellation have been remedied before it will be considered for another contract.