Sec. 105.6. Report of the hearing officer

(a) The hearing officer shall submit a written report to the Comptroller containing the following findings of fact and conclusions of law:

(1) whether or not there has been a conviction or determination which has not been reversed on final appeal against the contractor or substantially owned or affiliated person, firm, partnership or corporation;

(2) whether or not the contractor has fulfilled the notification requirements of the contract with regard to the conviction or determination, and if not, whether such failure was without justification;

(3) what the costs and effects of the termination of the contract will be on the interests of the State and the business of the contractor; and

(4) any other findings or conclusions which the hearing officer believes to be relevant.

(b) Based on the foregoing, the hearing officer shall make recommendations to the Comptroller as follows:

(1) whether or not the contract must be terminated pursuant to section 139-h of the State Finance Law and, if the contract must be terminated; and

(2) on what date the contract should be terminated. If the hearing officer recommends that the contract be terminated prior to the date that the Comptroller makes his determination, the hearing officer shall allow for the direct costs incurred by the contractor unless the hearing officer has found that the contractor has failed, without justification, to comply with the notice requirements. In such case, the hearing officer may recommend that payment for such direct costs not be allowed.