41 CFR § 105-74.500
How are violations of this part determined for recipients other than individuals?
June 9, 2020
A recipient other than an individual is in violation of the requirements of this part if the Administrator of General Services 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.