38 CFR § 48.500
How are violations of this part determined for recipients other than individuals?
November 5, 2020
A recipient other than an individual is in violation of the requirements of this part if the Secretary determines, in writing, that—
(a) The recipient has violated the requirements of subpart B of this part; or
(b) The number of convictions of the recipient's employees for violating criminal drug statutes in the workplace is large enough to indicate that the recipient has failed to make a good faith effort to provide a drug-free workplace.