43 Tex. Admin. Code § 10.102
In addition to the imposition of sanctions under Subchapter F of this chapter (relating to Sanctions For Ethical Violations By Entities Doing Business With The Department), the department may disqualify an entity with a conflict of interest described by § 10.6(b) of this chapter (relating to Conflict of Interest) from participating in a contract to which the conflict applies, or may deny payment for work performed by the former department employee under the contract. The department may not disqualify or deny payment to an entity under this section if the department has issued to the entity a written determination under § 10.6 of this chapter that the facts that are the basis of the disqualification or denial do not constitute a conflict of interest.
43 Tex. Admin. Code § 10.102