6.7.4_Liquidated_Damages.docx

This is a Liquidated Damages schedule for the Tennessee Department of Correction's Evidence-Based Programming contract. The document outlines financial penalties for contractor non-compliance across six operational categories. Program delivery penalties range from $200 to $700 per incident for failures including non-utilization of mandated Evidence-Based Programming curricula, failure to facilitate scheduled classes, untimely enrollment of referred individuals, curriculum deviations, and delays in opening cohorts. Reporting and documentation penalties span $200 to $500 per occurrence for failures including late submission of monthly operational summaries, weekly attendance rosters, annual reports, and other contractual deliverables, with additional daily penalties of $50 to $50 per day for prolonged delays. Training and staff qualifications penalties range from $200 to $500 per occurrence for uncertified facilitators delivering curriculum, late submission of Quality Assurance and Fidelity Plans, and untimely facilitator certification documentation. Staffing and personnel penalties of $500 per occurrence apply to missing background check documentation and incomplete TDOC NEO/BCPT training prior to facilitation.

Technology and security penalties include $500 per occurrence for failure to notify the State of security incidents within 24 hours and $200 per incident for failure to delete recordings within required retention periods. Data protection and security penalties are the most severe, ranging from $500 to $1,000 per occurrence for failures including non-compliance with FIPS encryption requirements for State data, untimely submission of SOC 2 Type 2 reports, and failure to complete annual penetration testing. These liquidated damages apply throughout the contract term, which runs from October 1, 2025, through June 30, 2030, with renewal options available.