StacksVerified U.S. regulatory reference

7 CFR §1499.16

Verified against eCFR.gov as of June 20, 2026View official text on eCFR.gov
  1. (a)CCC may suspend or terminate an agreement if it determines that:
    1. (1)One of the bases in 2 CFR 200.339 or 200.340 for suspension or termination by CCC has been satisfied;
    2. (2)The continuation of the assistance provided under the agreement is no longer necessary or desirable; or
    3. (3)Storage facilities are inadequate to prevent spoilage or waste of the donated commodities, or distribution of the donated commodities will result in a substantial disincentive to or interference with domestic production or marketing in the target country.
  2. (b)The termination provisions in 2 CFR 200.340 and 200.341 will apply to an agreement.
  3. (c)If an agreement is terminated, the recipient:
    1. (1)Is responsible for the security and integrity of any undistributed donated commodities and must dispose of such commodities only as agreed to by CCC;
    2. (2)Is responsible for any sale proceeds, CCC-provided funds, interest, or program income that have not been disbursed and must use or return them only as agreed to by CCC; and
    3. (3)Must comply with any closeout and post-closeout provisions specified in the agreement and 2 CFR 200.344 and 200.345.