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HomeMy WebLinkAboutCity of Pasco - 2018 CDBG Subrecipient Agreement (369 CDBG Program Admin)COMMUNITY DEVELOPMENT BLOCK GRANT CONTRACT DATA SHEET City Agency : Contract Number: Contract Signed : Contract Start: City of Pasco-Community & Economic C-2018-1-1 Contract End: Development Amendment: Mr. Rick White, Director 525 N 3rd Ave Pasco , WA 99301 BRIEF PROJECT SUMMARY ATTACHMENT 1-D 1/1/2018 12/31 /2018 CDBG fund s provide for sala ry and benefits for the Block Grant Administrator to plan, administer and provide for the successful delivery of housing, community development and ec onomic activities. The City receive s funds for CDBG, HOME and NSP activities. The Block Grant Administrator ensures compliance with local, sta te and federal rules, regulations and laws for p r ograms that primarily benefit low to moderate income people in Pa sco. PERFORMANCE INDICATOR : Other LOCATION: 525 N Third Avenue, Pa sco, WA 99301 SERVICE AREA: City-wide CONTRACT LINE ITEM DETAIL HUD IDIS HUD IDIS EST LINE NATIONAL ACTIVITY TITLE PROJECT ACTIVITY UNITS ITEM OBJECTIVE NUMBER NUMBER 2018-1 369 54116 21A N/R General Program Administration Total Contract Amount NW PROJECT# GR4CDAD1800 CDBG CONTACT DOLLAR AMOUNT $146,605.00 $146,605.00 Listed below is yo ur CDBG Block Grant Administrator with phone number and email address. P lease contact your grant adminis trator di rectl y for te chnical assis tanc e: Ang ie P itm an , (509) 543-5739, pitrn a na@pasco-wa.gov PROJECT CONTACT This is the contact pers on id e ntified for Contract/Project Admini stration. All information requests re la tin g to your contract/proj ect wi ll be sent to thi s pers on. If thi s p erson has changed or c hanges during the course of your contract please inform Angi e Pitman at (509) 54 3-5739 or b y emai l at: pitmana@pasco -wa.gov or note c hanges on thi s sheet and mail a copy so we can keep our data base updated. current Database lo fQ cm atj on First. .................. Angie Last ................. .Pitman Address ............ 525 N 3rd Ave City .................. .Pasco State ................. WA Postal ............... 99301 Email ................ pitmana@pasco-wa.gov Phone .............. (509) 543-5739 CONTRACT FACE SHEET Agen cy Contract Nu mber/HUD IDIS Contract A mou nt City of Pasco-Community & Economic C -20 18-1-1 369 $146,605 Development 525 N 3rd Ave Mod ifi ed A mo unt Pasc o WA 9930 I Agen cy R epresenta tive S ta rt Date E nd Date Mr.Rick White January I , 2018 December 3 I , 2018 Director City of P asco-Community & Economic Modifi ed Date Developmen t (509) 545-3441 whiter<@nasco-wa .gov Fede ral F unding Autho ri ty U.S. Department of Housing and Urban Development (HUD) F e deral Funds C FDA N umbe r 14.218 Serv ice A rea C ounty P age Number 525 N Third Avenue, Pas co, WA 9930 1 Fra nklin County 1 Tax ID N umber Numbe r of Pages 91-6001264 C ontract Purpose CDBG funds provide for sa lary and ben efits for the Block Grant Administrator to plan , admini ster and provide for the su ccessful delivery of housing, community development and economic activities . T h e City receives fund s for CDBG, HOME and NSP activities. The B lock Grant Administrator ensures compliance w ith local , state and federa l rules, regu lations and laws for programs that primarily benefit low to moderate income people in Pasco. IN WITNESS WHEREOF, City of Pa sco and Contractor acknowledge and accept the terms of thi s agreement and attachments he reto and have executed this agreement a s of the date and year written below. The ri ghts and obli gations of both parties to this agreement are governed by: Contract Cover Page T his Face Sh eet, Contract Docum ent Attachment A: Statemen t of Work an d Budget, Appl ication & L etter to Incur Costs Attachment B: State and Federal Requi rements and Assurances, General Condition s Attach ment C: Reports and Forms Ci ty Representative: City of Pasco ~ ~ I o/2crk8 Rick White, Director t Da te C ommunity & Economic Deve lopment Agency Re presentative: City of Pasco-Community & Economic Development CJJJq@J?. ~ to/_i?/1,@ Angie Pitman , Block G r ant Administrator Date Community & Economic D eve lopme nt Subrecipient Agreement with: City of Pasco-Community & Economic Development Through City of Pasco Community Development Block Grant Program U.S. Department of Housing & Urban Development Grant No. B-2018-MC-530009 Start date: CFDA 14.218 HUD Activity: 369 Contract Number: C-2018-1-1 Project Number: GR4.CD.AD.18.00 January 1, 2018 City of Pasco, Community & Econom ic Development Department www .pasco-wa .gov INTER-AGENCY RECIPIENT DEPARTMENT AGREEMENT Citv of Pasco-Community & Economic Development 369 CDBG Program Administration This Agreement is made between City of Pasco (herein called the City) and City of Pasco- Community & Economic Development, a department of the City, (herein called Recipient Department) for the CDBG Program Administration project (herein called the Project), HUD ID 369. Whereas, C it y has received an award (Federal Award Identification Number B-l 8 -MC -53-0009) authorized by the United States federal government under Title I of the Housing and Community Development Act of 1974 (Public Law 93-383) to provide funds to undertake and carry out projects under the Community Development Block Grant (CDBG) Program Entitlement Grants (CFDA 14 .218) in compliance with all applicable local, state, and federal laws, regulations and policies; and Whereas the Recipient Department has applied for and received a CDBG award, contract number C-2018-1-1 , to fund the Project; and Whereas , it benefits the City to engage the Recipient Department t o accomplish the Scope of Services and the objectives of the CDBG project; Now therefore, The parties agree that: I. SCOPE OF SERVICES A. City Res pons ibilities The City is responsible for administration of the CDBG contract, and ensuring CDBG funds are used in accordance with all program requirements, pursuant to 24 CFR 570.50 I (b ). The City will provide such assistance and guidance to the Recipient Department, a department of the City, as may be required to accomplish the objectives and conditions set forth in this Agreement. The City is responsible for completing the following tasks to accomplish the objectives of the Project: Principal Tasks • Completing Environmental Review • Labor Compliance Monitoring • Contract Administration Monitoring & Reporting B. Recipient Department Responsibilities The intent of this Agreement is as follows: CDBG funds provide for salary and benefits for the Block Grant Administrator to plan, administer and provide for the successful delivery of housing, conununity development and economic activities. The City receives funds for CDBG, HOME and NSP activities. The Block Grant Administrator ensures compliance with local, state and federal rules, regulations and laws for programs that primarily benefit low to moderate income people in Pasco. The Recipient Department will complete in a satisfactory and proper manner as determined by the City the following construction/non-construction tasks to accomplish the objectives of the project principally benefiting low-and moderate-income persons. The Recipient Department will periodically meet with the City to review the status of these tasks. C-2018-1-1 369 CDBG Administration Page I of26 Principal Tasks • Project Management • Financial Management & Internal Controls • Accomplishment & Financial Reporting • Recordkeeping • Civil Rights Compliance • Reporting • Procurement • Construction Contract Management • Labor Compliance 2. TIME OF PERFORMANCE A. Effective Date The effective date of this Agreement will be the date the parties sign and complete execution of this agreement and will be in effect for the time period during which the Recipient Department remains in control of CDBG funds or other CDBG assets. Eligible costs may be reimbursed if incurred during the program year, January 1 through December 31 , if all requirements of this agreement have been met. Multi-year and/or on- going activities may be reimbursed for costs incurred prior to the effective date, with a written Letter to Incur Costs if requirements of the Annual Action Plan including Citizen Participation have been met. 8. Closeout The Recipient Department 's obligation to the City does not end until all closeout requirements are completed. The City will close-out the Federal award when it determines that all applicable administrative actions and all required work of the Federal award have been completed by the Recipient Department. The City and the Recipient Department will comply with the closeout procedures of 2 CFR 200.343 and the post-closeout procedures of 2 CFR 300.344. Activities during the closeout period include but are not limited to: identifying any closeout costs or contingent liabilities subject to payment after the execution of any grant closeout agreement, making final payments, disposing of program assets, determining the custodianship of records, and determining a records retention schedule. 3. AGREEMENT REPRESENTATIVES Notices required by this Agreement shall be in writing and delivered via mail, personal delivery or sent by facsimi le or other electronic means. Any notice delivered or sent as aforesaid shall be effective on the date of delivery or sending. All notices and other written communications under this Agreement shall be addressed to the individuals in the capacities indicated below, unless otherwise modified by subsequent written notice. Each party to this Agreement shall have a representative. The person named in the agreement or appointed from time to time as representative, acts on behalf of the party. Each party may change its representative upon providing written notice to the other party. Communication and details concerning this contract shall be directed to the following representatives: C -20 18-1-1 369 CDBG Administ ra ti o n Page 2 of 26 City City of Pasco-Community & Economic Development Department Rick White, Director 525 N Third A venue Pasco, WA 99301 (509) 545-3441 Phone (509) 545-3499 Fax whiter@pasco-wa.gov 4. BUDGET Recipient Department City of Pasco-Community & Economic Development Angela Pitman, Block Grant Administrator 525 N 3rd Ave PO Box 293 Pasco, WA 99301 (509) 543-5739 Phone pitmana@ pasco-wa.gov Email The City will pass through to the Recipient Department no more than one hundred forty-six thousand six hundred five and no/100 ($146,605) in CDBG funds for eligible incurred costs and expenses for the Project according to the following project budget. Project #GR4CDAD1800 -IDIS #369 Budgeted Amount Budeet Element Salaries & Wages $72,291 Personnel Benefits 29 ,147 Supplies 1,200 Services 29,307 Indirect Cost Rate: 10% de mini mis rate, or fill out "N/ A" declining to 14 ,660 charge indirect CDBGTOTAL $146 ,605 Non-CDBG (General Fund) or Other source, Specify $ I 3,883 GRAND TOTAL $160,488 The City may require a more de tailed budget breakdown, and th e R ecipient Department will provide such supplementary budget information in a timely fashion in th e form and content prescribed by the City. Indirect Cost Rate if the Recipient Department chooses to charge indirect costs under this grant, the Recipient Department shall provide their indirect cost rate that has been negotiated between their entity and the Federal Government. If no such rate exists, a de minimis indirect cost rate of I 0% of modified total direct costs (MTDC) will be used. Indirect costs are allowable provided administrative cap will not be exceeded. "Modified Total Direct Costs (MTDC)" shall mean all direct salaries and wages , applicable fringe benefits, materials and supplies, services, travel, and up to the first $25,000 of each sub- award (regardless of the period of performance of the sub-awards under the award). MTDC excludes equipment, capital expenditures, and rental costs. Any amendments to this Agreement's Budget must be evaluated and approved in writing by the City and the Recipient Department. C-20 18-1-1 369 C DBG Adminis tration Page 3 o f 26 5. PAYMENT The City shall reimburse the Recipient Department for all allowable expenses agreed upon by the parties to complete the Scope of Service. Reimbursement under this Agreement will be based on billings, supported by appropriate documentation of costs actually incurred. It is expressly understoo d that claims for reimbursement will not be submitted in excess of actual, immediate cash requirements necessary to carry out the purposes of the agreement. Funds available under this Agreement will be utili zed to supplement rather than supplant funds otherwise available. It is unders tood that this Agreement is funded in whole or in part with CDBG fund s through the U.S . Department of Housing and Urban Development ("HU D") and is subject to those regulations and restrictions normally associated with federally-funded programs and any other requirements that the City may prescribe. 6. PERFORMANCE MONITORING The City will monitor the performance of the Recipient Department by tracking project progress, reviewing payment requests for applicable costs, managing the timely pass-through of CDBG funds , overseeing compliance with CDBG requirements, and ensuring recordkeeping and audit requirements are met. Substandard performance as determined by the City will constitute noncompliance with this Agreement. If action to correct such substandard perfonnance is not taken by the Recipient Department within a reasonable period of time after being notified by the C ity, contract s uspension or termination procedures will be initiated. 7. SPECIAL CONDITIONS A. Eligibility This is an eligible CDBG activity based upon HUD Matrix Code 21 A , General Program Administration, the Recipient Department agrees to comply with the requirements of Title 24 C FR 570.206 ; and all o ther applicable Federal, state and local laws, regulati ons, and policies, governing the funds provided under this Agreement. B. CDBG National Objective The Recipient Department certifies the activities carried out under this Agreement meet a CDBG Program National Objective defined in 570.205-Program Administration. City-wide C. Levels of Accomplishment Proposed accomplishment: Other 54116 -N/R Levels of accomplishment m ay include such measures as persons or househo ld s assisted , jobs created or retained, facilities , etc. and also should include time frames for performance. To complete this proposal , the Recipient Department will pl an, administer and implement the project as descri bed in the Recipient Department's grant application included in this Agreement as EXHIBIT A , which includes a description of the work to be performed, a schedule with benchmarks for achievement, and detailed budget. Any change(s) in the C-20 18-1-1 369 CDBG Adminis tration Page 4 of 26 project scope, budget, location, or in the number of beneficiaries served must be proposed and submitted in writing to the City prior to incurring any costs. Such changes will be considered by formal request to modify or amend thi s Agreement. 8. GENERAL CONDITIONS A. General Compliance The Recipient Department agrees to comply with: • The requirements of Title 24 CFR 570 (HUD regulations for CDBG); and • All other applicable Federal, State and Local laws, regulations, and policies, governing the funds provided under this Agreement. B. CDBG National Objective The Recipient Department certifies the activities carried out under this Agreement meet a CDBG Program National Objective defined in Title 24 CFR 570.205 . C. Funding Source Recognition The Recipient Department will ensure recognition of the roles of U.S. Department of Housing and Urban Development, and the City of Pasco CDBG Program in providing services through this Agreement. All activities, facilities and items utilized pursuant to this Agreement will be prominently labeled as to the funding source. [n addition, the Recipient Department will include a reference to the support provided herein in all publications made possible with funds made available under this Agreement. D. Amendments The City or Recipient Department may amend this Agreement at any time provided that such amendments make specific reference to this Agreement, and are executed in writing, signed by a duly authorized representati ve of each organization, and approved by the City 's certifying official or delegate. Such amendments will not invalidate this Agreement, nor relieve or release the City or Recipient Department from its obligations under this Agreement. E. Remedies. Suspension, and Termination I. If the Recipient Department fails to comply with Federal statutes, regulations or the terms and conditions of the award, the City may impose additional conditions, as described in 2 CFR 200.207. If the Federal awarding agency or City determines that noncompliance cannot be remedied by imposing additional conditions, the Federal awarding agency or City may take one or more of the following actions, as appropriate in the circumstances: a. Temporarily withhold cash payments pending correction of the deficiency by the Recipient Department or more severe enforcement action by the City; b. Disallow (that is, deny both use of funds and any applicable matching credit for) all or part of the cost of the activity or action not in compliance; c. Wholly or partly s uspend or tenninate the award; C-20 18-1-1 369 C DBG Administration Page 5 o f 26 d. Initiate suspension or debarment proceedings as authorized under 2 CFR part 180 and recommend that such a proceeding be initiated by the Federal awarding agency; e. Withhold further Federal awards for the project or program; or f. Take other remedies that may be legally available. 2. In accordance with 2 CFR 200.338-9, the City may suspend or terminate this Agreement in the following circumstances: a. If the Recipient Department fails to comply with the terms and conditions of a Federal award; b. For cause; c. With the consent of the Recipient Department, in which case the two parties must agree upon the termination conditions, including the effective date and , in the case of partial termination, the portion to be terminated; d. By the Recipient Department upon sending to the City written notification setting forth the reasons for such tennination, the effective date, and, in the case of partial termination, the portion to be terminated. However, if the City determines in the case of partial termination that the reduced or modified portion of the Federal award or sub-award will not accomplish the purposes for which the Federal award was made, the City may terminate the Federal award in its entirety 3. When a Federal award is tenninated or partially tenninated , the City will remain responsible for compliance with the requirements in 2 CFR 200.343 and 2 CFR 200.344. F. Equal Employment Opportunity 1. During the perfonnance of thi s contract, the contractor (the Recipient Department) agrees as follows: a. The contractor will not discriminate against any employee or applicant for employment because of race, color, religion, sex, sexual 01ientation, gender identity, or national origin. The contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, sex, sexual orientation, gender identity, or national origin. Such action shall include, but not be limited to the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination ; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the contracting officer setting forth the provisions of this nondiscrimination clause. b. The contractor will, in all solicitations or advancements for employees placed by or on behalf of the contractor, state that all qualified applicants will recei ve consideration for employment without regard to race, color, religion, sex , sexual orientation, gender identity, or national origin. c. The contractor will not discharge or in any other manner discriminate against any employee or applicant for employment because such employee o r applicant has C-20 18-1-1 369 C DBG Administrat ion Pa ge 6 o f 26 inquired about, discussed, or disclosed the compensation of the employee or applicant or another employee or applicant. This provision shall not apply to instances in which an employee who has access to the compensation information of other employees or applicants as a part of such employee's essential job functions discloses the compensation of such other employees or applicants to individuals who do not otherwise have access to such information, unless such disclosure is in response to a formal complaint or charge, in furtherance of an investigation, proceeding, hearing, or action, including an investigation conducted b y the employer, or is consistent with the contractor's legal duty to furnish inforn1ation. d. The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice, to be provided by the agency contracting officer, advising the labor union or workers' representative of the contractor's commitments under Section 202 of Executive Order No. 11246 of September 24, 1965 , and shall post copies of the notice in conspicuous places available to employees and applicants for employment. e. The contractor will comply with all provisions of Executive Order No. 11246 of Sept. 24, 1965, and of the rules , regulations, and relevant orders of the Secretary of Labor. f. The contractor will furnish all information and reports required by Executive Order No. 11246 of September 24, 1965 , and by the rules , regulations , and orders of the Secretary of Labor, or pursuant thereto, and will permit access to hi s books, records, and accounts by the contracting agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules , regulations, and orders. g. In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of such rules, regulations, or orders, thi s contract may be cancelled, terminated, or suspended in whole or in part and the contractor may be declared ineligible for further Government contracts in accordance with procedures authorized in Executive Order No. 11246 of Sept. 24, 1965, and such other sanctions may be imposed and remedies invoked as prov ided in Executive Order No. 11246 of September 24, 1965 , or by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law. h . The contractor will include the provi s ions of paragraphs (1) through (8) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to Section 204 of Executive Order No. 11246 of September 24, 1965 , so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as may be directed by the Secretary of Labor as a means of enforcing such provisions including sanctions for noncompliance: Provided, however, that in the event the contractor becomes invol ved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction, the contractor may request the United States to enter into such litigation to protect the interests of the United States. [Sec. 202 amended by EO 11375 of Oct. 13 , 1967, 32 FR 14303 , 3 CFR, 1966-1970 Comp., p. 684, EO 12086 of Oct. 5, 1978, 43 FR 46501 , 3 CFR, 1978 Comp., p. 230, EO 13665 of April 8, 20 14, 79 FR 20749, EO 13672 of July 21, 2014, 79 F R 42971] C -20 18-1 -1 369 CDBG A dministra tion Page 7 of26 2. [All contracts that meet the defi,nition of "federally assisted construction contract '' in .f.J CFR Part 60-1.3 must also include this language ; if it is not a 'federally assisted construction contract ". this Subsection 2 is not necessary]: The applicant hereby agrees that it will incorporate or cause to be incorporated into any contract for construction work, or modification thereof, as defined in the regulations of the Secretary of Labor at 41 CFR Chapter 60, which is paid for in whole or in part with funds obtained from the Federal Government or borrowed on the credit of the Federal Government pursuant to a grant, contract, loan, insurance, or guarantee, or undertaken pursuant to any Federal program involving such grant, contract, loan, insurance, or guarantee, the following equal opportunity clause: During the performance of this contract, the contractor agrees as follows: a. The contractor will not discrimina te against any employee or applicant for employment because of race, color, religion, sex, sexual orientation, gender identity, or national origin. The contractor will take affinnative action to ensure that applicants are employed, and that employees are treated during employment without regard to their race, color, religion, sex, sexual orientation, gender identity, or national origin. Such action shall include, but not be limited to the following: Employment, upgrading, demotion, or tran sfer; recruitment o r recruitment advertising; layoff or tennination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided setting forth the provisions of thi s nondiscrimination clause. b. The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will recei ve consideration for employment without regard to race, color, religion, sex, sexual orientation , gender identity, or national origin. c. The contractor will not discharge or in any other manner discriminate against any employee or applicant for employment because such employee or applicant has inquired about, discussed, or disclosed the compensation of the employee or applicant or another employee or applicant. This provision shall not apply to instances in which an employee who has access to the compensation information of other employees or applicants as a part of such employee's essential job functions discloses the compensation of such other employees or applicants to indi vi duals who do not otherwise have access to such information, unless such disclosure is in response to a fonnal complaint or charge, in furtherance of an investigation, proceeding, hearing, or action, including an investigation conducted by the employer, or is consistent with the contractor's legal duty to furni s h information. d. The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice to be provided advising the said labor union or workers' representatives of the contractor's commitments under this section, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. C-2018-1-1 369 C DBG Administrati o n Page 8 of26 e. The contractor will comply with all prov1s10ns of Executive Order 11246 of September 24, 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor. f. The contractor will furnish all information and reports required by Executive Order 11246 of September 24, 1965 , and by rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to hi s books, records, and accounts by the administering agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such mies, regulations, and orders. g. In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of the said rules, regulations, or orders, thi s contract may be canceled, terminated, or suspended in whole or in part and the contractor may be declared ineligible for further Government contracts or federally assisted construction contracts in accordance with procedures authorized in Executive Order 11246 of September 24, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive Order 11246 of September 24, 1965, or b y rule, regulation, or order of the Secretary of Labor, or a s otherwise provided by law. h. The contractor will include the portion of the sentence immediately preceding paragraph (1) and the provisions of paragraphs (I) through (8) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to section 204 of Executive Order 11246 of September 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as the administering agency may direct as a means of enforcing such provisions, including sanctions for noncompliance: Provided, however, that in the event a contractor becomes involved in , or is threatened with, litigation with a subcontractor or vendor as a res ult of such direction by the administering agency, the contractor may request the United States to enter into such litigation to protect the interests of the United States. The applicant further agrees that it will be bound by the above equal opportunity clause with respect to its own employment practices when it participates in federally assisted construction work: Provided, That if the applicant so participating is a State or local government, the above equal opportunity clause is not applicable to any agency, instrumentality or subdivision of s uch government which does not participate in work on or under the contract. The applicant agrees that it will assist and cooperate actively with the administering agency and the Secretary of Labor in obtaining the compliance of contractors and subcontractors with the equal opportunity clause and the rules, regulations, and relevant orders of the Secretary of Labor, that it will furnish the administering agency and the Secretary of Labor such information as they may require for the supervision of such compliance, and that it will otherwise assist the administering agency in the discharge of the agency's primary responsibility for securing compliance. The applicant further agrees that it will refrain from entering into any contract or contract modification s ubject to Executive Order 11246 of September 24, 1965 , with a contractor debarred from, or who has not demonstrated eligibility for, Government contracts and C-20 18-1 -1 369 C DBG Administration Page 9 of 26 federally assisted construction contracts pursuant to the Executive Order and will carry out such sanctions and penalties for violation of the equal opportunity clause as may be imposed upon contractors and subcontractors by the administering agency or the Secretary of Labor pursuant to Part II , Subpart D of the Executive Order. In addition, the applicant agrees that if it fails or refuses to comply with these undertakings, the administering agency may take any or all of the following actions: Cancel, terminate, or suspend in whole or in part this grant ( contract, loan, insurance, guarantee); refrain from extending any further assistance to the applicant under the program with respect to which the failure or refund occurred until satisfactory assurance of future compliance has been received from such applicant; and refer the case to the Department of Justice for appropriate legal proceedings. G. Labor Standards The Recipient Department agrees to comply with the requirements of the Secretary of Labor in accordance with the Davis-Bacon Act (40 U.S.C. 3141-3144, 3146-3148) as amended, the provisions of Contract Work Hours and Safety Standards Act (40 U.S.C. 327 et seq.) as amended, and all other applicable federal , state and local laws and regulations pertaining to labor standards insofar as those acts apply to the perfonnance of this Agreement. The Recipient Department agrees to comply with 18 U.S.C. 874 et seq. and implementing regulations of the Department of Labor at 29 CFR Part 5, the Copeland "Anti-Kickback" Act (40 U.S.C. 3145) as supplemented by Department of Labor regulations (29 CFR Part 3), and the Contract Work Hours and Safety Standards Act (40 U.S.C. 3701-3708). The Recipient Department shall maintain documentation that demonstrates compliance with hour and wage requirements of this part. Such documentation shall be made available to the City for review upon request. The Recipient Department understands that the City 's decision to enter into this Agreement is conditioned upon the Recipient Department's acceptance of and agreement to the following: 1. The Recipient Department or any subcontractor shall pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. The Recipient Department or any subcontractor shall pay all mechanics and laborers employed directly on the site of the work, unconditionally and at least once a week, and without subsequent deduction or rebate on any account, the full amounts accrued at time of payment, computed at wage rates not less than those stated in the advertised specifications, regardless of any contractual relationship which may be alleged to exist between the contractor or subcontractor and the laborers and mechanics; 2. The Recipient Department will post the scale of wages to be paid in a prominent and easily accessible place at the site of the work; and 3. There may be withheld from the Recipient Department so much of accrued payments as the contracting officer considers necessary to pay to laborers and mechanics employed by the Recipient Department or any subcontractor on the work the difference between the rates of wages required by the contract to be paid laborers and mechanics on the work and the rates of wages received by the laborers and mechanics and not refunded to the Recipient Department or subcontractors or their agents. C -20 18-1-1 369 C DBG Adminis tration Page 10 of26 The Recipient Department agrees that, except with respect to the rehabilitation or construction of residential property containing less than eight (8) units , all contractors engaged under contracts in excess of $2 ,000.00 for construction, renovation or repair work financed in whole or in part with assistance provided under this contract, shall comply with state and federal requirements adopted by the City pertaining to such contracts and with the applicable requirements of the regulations of the Department of Labor, under 29 CFR Parts 1, 3, 5 and 7 governing the payment of wages and ratio of apprentices and trainees to journey workers ; provided that , if wage rates higher than those required under the regulations that are imposed by state or local law, nothing hereunder is intended to relieve the Recipient Department of the obligation, if any, to require payment of the higher wage. The Recipient Department shall cause or require to be inse1ted in full , in all such contracts subject to such regulations, provisions meeting the requirements of this paragraph. 9. ADMINISTRATIVE REQUIREMENTS A. Financial Management 1. Accounting Standards The Recipient Department agrees to comply with 2 CFR 200.300 and agrees to adhere to the accounting principles and procedures required therein, utilize adequate internal controls, and maintain necessary source documentation for all costs incurred. 2. Cost Principles The Recipient Department will administer its program in conformance with 2 CFR 200.400. These principles will be applied for all costs incurred whether charged on a direct or indirect bas is. 3. Duplication of Costs The Recipient Department certifies that work to be performed under this Agreement does not duplicate any work to be charged against any other contract, subcontract or other source. B. Documentation and Record Keeping 1. Records to Be Maintained The Recipient Department will maintain all records required by Federal regulations, including those specified in 24 CFR 570.506 and 24 CFR Part 85.20 that are pertinent to the activities to be funded under this Agreement. Such records will include but not be limited to: a. Records providing a full description of each activity assisted (or being assisted) with CDBG funds , including its location (if the acti vity has a geographical locus), the amount of CDBG funds budgeted, obligated and expended for the activity, and the provision in subpart C under which it is eligible; b. Records demonstrating that each activity undertaken meets one of the National Objectives of the CDBG program set forth in 24 CFR 570.506; c. Records that demonstrate that the recipient has made the determinations required as a condition of eligibility of certain activities, as prescribed in 24 CFR 570.20 I (f), C -20 18-1-1 369 C DBG Administration Page 11 o f 26 570.201 (i)(2), 570.201 (p ), 570.201 ( q), 570.202(b )(3), 570.206(f), 570.209, 570.210, and 570.309 ; d. Records which demonstrate compliance with § 570.503(b )(7) or § 570.505 regarding any change of use of real property acquired or improved with CDBG assistance; e. Records documenting compliance with the civil rights components of the CDBG program, and fair housing and equal opportunity records; f. Records that demonstrate compliance with the citizen part1c1pation requirements prescribed in 24 CFR part 91 , subpart B, for entitlement recipients; g. Records which demonstrate compliance with the requirements in § 570.606 regarding acquisition, displacement, relocation, and replacement housing; h. Financial records, in accordance with the applicable requirements listed in § 570.502, including source documentation for entities not subject to 2 CFR part 200. Recipient Department shall maintain evidence to support how the CDBG funds provided to such entities are expended. Such documentation must include, to the extent applicable, invoices, schedules containing comparisons of budgeted amounts and actual expenditures, construction progress schedules signed by appropriate parties (e.g., general contractor and/or a project architect), and/or other documentation appropriate to the nature of the activity. Recipient Department records pertaining to obligations, expenditures, and drawdowns must be able to relate financial transactions to either a specific origin year grant or to program income received during a specific program year; 1. Labor standards records required to document compliance with the Davis Bacon Act (40 U.S.C. 3141-3144, 3146-3148) as amended, the provisions of Contract Work Hours and Safety Standards Act (40 U.S.C. 327 et seq.) as amended, State prevailing wage law and all other applicable Federal, state and local laws and regulations applicable to CDBG-funded construction projects; J. Agreements and other records related to lump sum disbursements to private financial institutions for financing rehabilitation as prescribed in§ 570.513; and k. Other records necessary to document compliance with 24 CFR 570.600-614 Subpart K-Other Program Requirements or other applicable laws and regulations, including: • Affinnatively Fm1hering Fair Housing • Section I 09 • Labor Standards • Environmental Reviews • National Flood Insurance program • Displacement, relocation , acquisition and replacement of housing • Employment and contracting opportunities • Lead Based Paint • Use of Debarred, suspended or ineligible contractors or subrecipients • Uniform administrative requirements and cost principles • Conflict of Interest C-20 18 -1-1 369 CDBG Adminis tration Page 12 of26 • Executive Order 123 72 • Eligibility restrictions for certain resident aliens • Architectural Barriers Act and the Americans with Disabilities Act. 2. Access to Records and Retention The City and other authorized representatives of the state and federal governments shall have access to any books, documents, papers and records of the Recipient Department that are directly pertinent to this Agreement for the purposes of making audit , examination, excerpts and transcriptions. All such records and all other records pertinent to this Agreement and work undertaken under this Agreement will be retained by the Recipient Department for a period of six (6) years after final audit of the CDBG project, unless a longer period is required to resolve audit findings or litigation. In such cases, the City will request a longer period of record retention. 3. Audits and Inspection Records The Recipient Department that expends $750,000 or more in a fiscal year in federal funds from all sources hereby agrees to have an annual agency audit conducted in accordance with current uniform administrative requirements 2 CFR 200.50 I; the reference Catalog of Federal Domestic Assistance (CFDA) number is 14.218 for the audit. Any deficiencies noted in audit reports must be fully resolv ed by the Recipient Department within thirty (30) days after receipt by the Recipient Department. Failure of the Recipient Department to comply with the above audit requirements will constitute a violation of this Agreement and may result in the withholding of future payments. The Recipient Department is responsible for any audit exceptions incurred by its own organization or that of its Contractors. The City reserves the right to recov er from the Recipient Department all disallowed costs resulting from the audit. All Recipient Department records with respect to any matters covered b y thi s Agreement will be made available to the City, and duly authorized officials of the state and federal government, at any time during normal business hours, as often as deemed necessary, to audit, examine, and make excerpts or transcripts of all relevant data. The Recipient Department shall maintain beneficiary data demonstrating eligibility for services provided. Such data shall include, but not be limited to , name, address, income level or other basis for determining eligibility, and description of service provided . Such infonnation shall be made available to City or their designees for review upon request. The Recipient Department understands that beneficiary information collected under this contract is private and the use or disclosure of such infonnation, when not directly connected with the administration of the City's and/or Recipient Department 's responsibilities with respect to services provided under this contract, is prohibited unless written consent is obtained from such person receiving service and, in the case of a minor, that of a responsible parent/ guardian. C-20 18-1-1 369 C DBG Admini stration Page 13 o f 26 C. Reporting 1. Program Income The Recipient Department will report annually all program income, as defined by 24 CFR 570.500, generated by activities carried out with CDBG funds made available under thi s Agreement. The use of program income by the Recipient Department will comply with the requirements set forth by 24 CFR 570.504. The Recipient Department may use such income during the contract period for activities pern1itted under this contract and shall reduce any request for additional funds by the amount of any such program income balance on hand. All unexpended program income shall be returned to the City at the end of the contract period. Any interest earned on cash advances from the U.S. Treasury and from funds held in a revolving fund account is not program income and shall be remitted promptly to the City. 2. Periodic Reports The Recipient Department, at such times and in s uch fonns as the City may require, w ill furnish the City such periodic reports as it may request pertaining to the work or services undertaken pursuant to this Agreement, the costs and obligations incurred or to be incurred in connection therewith, and an y other matters covered by this Agreement. The Recipient Department will submit quarterly progress reports and financial reports in the form , content, and frequency as required by the City. Repo rts will be submitted in the formats provided by the C ity, which are attached to thi s agreement as EXHIBIT C. Progress reports are to be submitted quarterly, by the 15th of the month following the end of the preceding quarter. The Recipient Department will submit a final summary report upon project completion. Reimbursement for project costs incurred will be contingent upon the regular and timely submission of required reports. Reports not submitted, submitted late or incomplete may result in reduced funding . The Federal Funding Accountability and Transparency Act (FF A TA), p assed in 2006 and amended in 2008 , requires infonnation disclo sure concerning entities receiv ing financial assistance through Federal awards such as contracts, sub-contracts, grants, and sub-grants . Awardees are required to report selected infonnation within 30 days of awards and sub- award s greater than $25 ,000. All sections of the FF AT A reporting form must be completed immediately and returned to the City to facilitate required FF AT A infonnation reporting. D. Use and Reversion of Assets The use and disposition of real property and equipment under this Agreement will be in compliance with the requirements of 2 CFR 200.311 and 313 , 24 CFR 570.502, 570.503 , 570.504, as applicable, which include but are not limited to the following: l. The Recipient Depa1tment will transfer to the City any CDBG fund s on hand and any accounts receivable attributable to the use of funds under this Agreement at the time of expiration, cancellation, or termination. 2 . Real property under the Recipient Department's control that was acquired or improved, in whole or in part, with funds under this Agreement in excess of $25 ,000 will be used to meet one of the C DBG National Objectives pursuant to 24 CFR 570.208 until fi ve (5) C-20 18-1-1 369 C DBG A dminist ration Page 14 of26 years after the contract is closed. If the Recipient Department fails to use CD BG-assisted real property in a maimer that meets a CDBG National Objective for this 5-year period of time, the Recipient Department w ill pay the City an amount equal to the current fair market valu e of the property less any portion of the value attributab le to expenditures of non-CDBG funds for acquisition of, or improvement to, the property after the CDBG program 's approval. Such payment will constitute program income to the Ci ty. The Recipient Department may retain real property acquired or improved under this Agreement after the expiration of the ten-year period. 3. In cases in which equipment acquired, in whole or in part, with funds under this Agreement is sold, the proceeds will be program income. Equipment not needed by the Recipient Department for activities under this Agreement will be (a) transferred to the City for CDBG-elig ibl e activities as approved by the CDBG program or (b) retained after compensating the City. 10. PERSONNEL AND PARTICIPANT CONDITIONS The Recipient Department understands and agrees to comply with each of the following conditions: A. Civi l Rights 1. Title VI of the Civil Rights Act of 1964: Under Title VI of the Civil Rights Act of 1964, no person will, on the grounds of race, color, creed, religion, sex or national origin, be excluded from participation in , be denied the benefits of, or be subjected to discrimination under any program or activity receiving federa l financial assistance. 2. Section 109 of the Hous ing and Community Development Act of 1974: No person in the United States will on the grounds of race, color, creed, religion , sex or national origin be excluded from participation in, be denied benefits of, or be subjected to discrimination under any program or activity funded in whole or in part with funds made avai lab le under this title. 3. Age Discrimination Act of 1975, as Amended No perso n will be excluded from participation, denied program benefits, or subjected to discrimination on the basis of age under any program or activity receiving federal funding assistance. ( 42 U.S.C. 610 et. seq.) 4. Section 504 of the Rehabilitation Act of 1973 , as Amended No otherwise qualified individual will, solely by reason or his or her disability, be excluded from participation (including employment), denied program benefits, or subjected to d is crimination under any program or activi ty receiving Federal funds. (29 U.S.C. 794) 5. Public Law IO 1-336, Americans with Disabilities Act of I 990 Subject to the provisions of this title, no qualified individual with a disability will, by reason of such di sability, be excluded from participation in or be denied the bene fit s of the services, programs, or activities of a public entity, or be subjected to discrimination by any such entity. C -20 18-1-1 369 CDBG Admini strati on Page 15 of26 6. Architectural Barriers Act of 1968, as Amended Certain federally-funded building or facilities shall be designed , constructed or altered to ensure accessibility to, and use by, physically handicapped persons. Some buildings and facilities that include CDBG funds subject to the Architectural Barriers Act must comply with the Uniform Federal Accessibility Standards (24 CFR Part 40 appendix A for residential structures and 41 CFR Part 101-19 Appendix A for general buildings). (42 U.S.C. 4151- 4157) 7. Americans with Disabilities Act of 1990 Prohibited discrimination against disabled persons includes the failure to design and construct facilities (first occupied after January 26, 1993) that are accessible to and usable by persons with disabilities. The ADA also requires the removal of architectural and communication barriers that are structural in nature in existing facilities. (42 U.S.C. 12131 ; 47 U .S .C . 155 ,201 ,218 and 225) B . Section 3 of the Housing and Community Development Act of I 968 (12 U.S.C. 1701 u) Compliance in the Provision of Training, Employment, and Business Opportunities: I. The work to be performed under this agreement is on a project assisted under a program providing direct federal financial assistance from HUD and is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended , 12 U .S.C. 1701 u. Section 3 requires that to the greatest extent feasible opportunities for training and employment be given lower-income residents of the project area; and contracts for work in connection with the project be awarded to business concerns which are located in , or owned in substantial part, by persons residing in the area of the project. 2. The parties to this contract will comply with the provisions of said Section 3 and the regulations set forth in 24 CFR I 35, and all applicable rules and orders of HUD and the City issued thereunder prior to the execution of this contract. The parties to this contract certify and agree that they are under no contractual or other disability that would prevent them from complying with these provisions. 3. The Recipient Department will send to each labor organization or representative of workers with which he has a collective bargaining agreement or other contract or understanding, if any, a notice advising the said labor organization or workers' representative of his commitments under this Section 3 clause and will post copies of the notice in conspicuous places available to employees and applicants for employment or training. 4 . The Recipient Department will include this Section 3 clause in every subcontract for work in connection with the project and will, at the direction of the applicant, or recipient of federal financial assistance, take appropriate action pursuant to the subcontract upon a finding that the subcontractor is in violation of regulations issued by the Secretary of HUD, 24 CFR 135. The Recipient Department will not subcontract with an y subcontractor where it has notice or knowledge that the latter has been found in violation of regulations under 24 CFR 135 and will not let any subcontract, unless the subcontractor has first provided it with a preliminary statement of ability to compl y with the requirements of thes e regulations. C-2018-1-1 369 C DBG Adminis tration Pa ge 16 of26 5. Compliance with the provisions of Section 3, the regulations set forth in 24 CFR 135 , and all applicable rules and orders of HUD and the City issued hereunder prior to the execution of the contract, will be a condition of the federal financial assistance provided to the project, binding upon the Recipient Department of such assistance, its successors, and assigns. Failure to fulfill these requirements will subject the Recipient Department, its consultants and subcontractors, its successors and assigned to those sanctions specified by this Agreement, and to such sanctions as are specified by 24 CFR 135. C. Conduct 1. Assignability The Recipient Department will not assign or transfer any interest in this Agreement without the prior written consent of the City thereto ; provided, however, that claims for money due or to become due to the Recipient Department from the City under this contract may be assigned to a bank, trust company, or other financial institution without such approval. Notice of any such assignment or transfer will be furnished promptly to the City. 2. Conflict of Interest No member of the City's governing body and no other public official of such locality, who exercises any functions or responsibilities in connection with the planning or carrying out of the project, will have any personal financial interest, direct or indirect, in this Agreement; and the Recipient Department will take appropriate steps to assure compliance. The Recipient Department agrees to abide by the provisions of 2 CFR 200.31 8 and 24 CFR 570.611 , which includes maintaining a written code or standards of conduct that will govern the performance of its officers, employees or agents engaged in the award and administration of contracts supported by Federal funds. The Recipient Department covenants that its employees have no interest and will not acquire interest, direct or indirect, in the study area or any parcels therein or any other interest which would conflict in any manner or degree with the performance of services hereunder. The Recipient Department further covenants that in the performance of this Agreement, no person having such interest will be employed by the Recipient Department. 3. Certification regarding Debannent, Suspension, Ineligibility and Voluntary Exclusion - Lower Tier Covered Transactions a. The lower tier contractor certifies, by signing thi s contract that neither it nor its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any Federal department or agency. b. Where the lower tier contractor is unable to certify to any of the statements in thi s contract, such contractor will attach an explanation to this contract. c. The contractor further agrees by signing this contract that it will not knowingly enter into any lower tier covered transaction with a person who is debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered tran saction. C -20 18-1-1 369 C DBG Adminis tration Page 17 of26 D. Procurement The Recipient Department shall unde11ake to ensure that all subcontracts let in the performance of this Agreement shall be awarded on a fair and open competition basis in accordance with applicable federal , state and local procurement requirements. Executed copies of all subcontracts shall be forwarded to the City along with documentation concerning the selection process. E. Subcontracts The Recipient Department may, upon the City's specific written approval of the contract instrument, enter into any subcontract or procurement action authorized as necessary for the successful completion of this Agreement. All procurement actions and subcontracts shall be in accordance with applicable federal and state law relating to contracting by public agencies. Th e Recipient Departm ent shall cause all of th e provisions of this contract in its entire ty to be included in and made a part of any subcontra ct executed in th e p erformance of this Agreement. Copyright If this Agreement results in any copyrightable material or inventions, the City reserves the right to royalty-free, non-exclusive and irrevocable license to reproduce, publish or otherwise use and to authorize others to use, the work or materials for governmental purposes. G. Religious Activities The Recipient Department agrees that funds provided under this Agreement will not be utilized for inherently religious activities prohibited by 24 CFR 570 .200(j), such as worship, religious instruction, or proselytization. H . Lobbying The Recipient Department is prohibited from using funds provided herein or personnel employed in the administration of the program for political activities, lobbying, or political patronage. The Recipient Department agrees to comply with the relevant sections of the Byrd Anti-Lobbying Amendment (31 U.S.C. 1352). 11. ENVIRONMENTAL CONDITIONS All projects must obtain an overall environmental clearance before any funds provided under this Agreement are obligated. The Recipient Department must comply with the provisions of the National Environmental Policy Act of 1969 (42 U.S.C. Section 4321 , et seq.) and 24 CFR Part 58. The purpose of this Act is to attain the widest use of the environment without degradation, risk to health or safety or other undesirable and unintended consequences. An overall environmental review, which includes completion of a statutory checklist, detennination of significant impact, and publication of a finding of significant impact or finding of no significant impact for each project by site address, is required. Such environment review will be completed by the City. The Recipient Department will supply the City any and all infonnation required to make final determination of environmental impact once an individual site address has been identified. The Recipient Department must submit environmental checklists and documentation to the City prior C -20 18-1-1 369 CDBG Administ ra tion Page 18 of26 to committing any funds to a project or requesting that funds be released for the project. The City must certify that the proposed project will not significantly impact the environment and that the Recipient Department has complied with en vironmental regulations prior to release of funds. The Recipient Department agrees to notify City immediately of any changes to the project address, or scope of work and refrain from making any expenditures until a new environmental clearance has been completed. Funds will not be disbursed for reimbursement of expenditures on any project that fails to meet these conditions. A. Environmental Protection The Recipient Department agrees to comply with the following requirements insofar as they apply to the performance of this Agreement: Clean Air Act, 42 U.S.C., 7401, et seq., as amended; Federal Water Pollution Control Act (a.k.a. the Clear Water Act), 33 U .S.C., 1251 , et seq., as amended; and Environmental Protection Agency (EPA) regulations pursuant to 40 CFR Part 50, as amended. B. Flood Disaster Protection In accordance with the requirements of the Flood Disaster Protection Act of 1973 ( 42 U.S.C. 400 I), the Recipient Department shall assure that for activities located in an area identified by the Federal Emergency Management Agency (FEMA) as having special flood hazards, flood insurance under the National Flood Insurance Program is obtained and maintained as a condition of financial assistance for acquisition or construction purposes (including rehabilitation). C. Lead Based Paint Subpart B of 24 CFR Part 35 and Section 40 I (b) of the Lead Based Paint Poisoning Prevention Act apply to CDBG assisted rehab and construction requiring that lead based paint ha zards must be eliminated to the extent practicable. The Recipient Department agrees that any construction or rehabilitation of residential structures with assistance provided under this Agreement shall be subject to HUD Lead Based Paint Regulations at 24 CFR 570.608, and 24 CFR Part 35, Subpart B. Such regulations pertain to all CDBG assisted housing and require that all owners, prospective owners, and tenants of properties constructed prior to 1978 be properly notified that such properties may include lead based paint. Such notification shall point out the hazards of lead based paint and explain the symptoms, treatment and precautions that should be taken when dealing with lead based paint poisoning and the advisability and availability of blood lead level screening for children under seven . The notice should also point out that if lead based paint is found on the property, abatement measures may be undertaken. The regulations further require that, depending on the amount of federal funds applied to a property, paint testing, risk assessment , treatment and/or abatement may be conducted . D. Historic Preservation The Recipient Department agrees to comply with the Hi storic Preservation requirements set forth in the National Historic Preservation Act of 1966, as amended (16 U.S.C. 470) and the procedures set forth in 36 CFR Part 800, Advisory Council on Historic Preservation Procedures for Protection of Historic Properties, insofar as they apply to the performance of this agreement. In general, this requires concurrence from the State Historic Preservation C-20 18-1-1 369 CDBG Administration Page 19 o f 26 Officer for all rehabilitation and demolition of historic properties that are fifty years old or older or that are included on a federal, state, or local historic property list. E. Energy Efficiency The Recipient Department agrees to comply with the mandatory standards and policies relating to energy efficiency which are contained in the state energy conservation plan issued in compliance with the Energy Policy and Conservation Act (42 U.S.C. 6201). 12. SEVERABILITY If any provision of this Agreement is held invalid, the remainder of this Agreement will not be affected thereby and all other parts of this Agreement will nevertheless be in full force and effect. 13. PERFORMANCE WAIVER The City's failure to act with respect to a breach by the Recipient Department does not waive its right to act with respect to subsequent or similar breaches. The failure of the City to exercise or enforce any right or provision will not constitute a waiver of such right or provision. 14. DISPUTE RESOLUTION This Agreement has been and shall be construed as having been made and entered into and delivered within the State of Washington, and it is agreed by each party hereto that this Agreement shall be governed by the laws of the State of Washington and applicable federal laws. In the event of a dispute regarding the enforcement, breach, default, or interpretation of this Agreement, said dispute shall be resolved by the City's City Council. 15. ENTIRE AGREEMENT This Agreement constitutes the entire agreement between the City and the Recipient Department for the use of funds received under this Agreement and it supersedes all prior communications and proposals, whether electronic, oral, or written between the City and the Recipient Department with respect to this Agreement. C-2018-1-1 369 CDBG Administration Page 20 of26 IN WITNESS WHEREOF, the City and the Recipient Department have executed this Agreement as of the date and year last written below. CITY OF PASCO RECIPIENT DEPARTMENT By:_W~lL __ By ~I?~ Rick White, Community & Economic Development Angie Pitman, Community & Economic Director Development Date: __ ('o--1----(-=-llf---+l ........... rt>"-------Date: __ \_<:>~(_;;.._>~/ _1~------- Approved As To Form: Leland B Ken-, City Attorney C-20 18-1-1 369 C DBG Administ ration Page 2 1 o f 26 EXHIBIT A Table 3 Grant Application Letter to Incur Costs A -1 U.S. Department of Housing and Urban Development Jurisdiction's Name: Table 3 Consolidated Plan Listing of Projects City of Pasco, 525 North 3 rd A venue, Pasco, WA 99301 Priority Need: Goal All/Strategy All, Program Administration Project Title: HUD ID 369 -CDBG Program Administration Project Description: 0MB Approval No. 2506-0117 (Exp. 8/31/2008) CDBG funds provide for salary and benefits for the Block Grant Administrator to plan, administer and provide for the successful delivery of housing, community development and economic activities. The City receives funds for CDBG, HOME and NSP activities. The Block Grant Administrator ensures compliance with local, state and federal rules, regulations and laws for programs that primarily benefit low to moderate income people in Pasco. Objective category: Suitable Living Environment Outcome category: Availability/ Accessibility Location/Target Area: 525 N Third Avenue, Pasco, WA 99301 City-wide The primary purpose of the project is to help: D th e Homel ess D Person s w ith HIV/AIDS Objective Number Project ID SLE--1 0001 HUD Matrix Code CDBG Citation 2 1A-General Program 57 0.206 Administration Type of Recipient CDBG National Objective City N/R-5 70.205 Start Date (mm/dd/yyyy) Completion Date (mm/dd/yyyy) 1/1/2018 12/31/2018 Performance Indicator Annual Units 23 -Other 54116 Local ID Units Upon Completion GR4CDAD1 800 D Persons w ith Disabilities Funding Sources: CDBG Other Funding HOME HOPWA Total Formula Prior Year Funds Assisted Housing PHA ESG Total D Public Ho using Needs CDBG ..................... $.146,605.-oo ... . ······························..,$·1·3 ,.883 ... . 0 ................................................................... 0 0 ....................................... __ _ 0 ................................................................... 0 ······• ........................................................... . 0 ................................................................... 0 $160,488.00 Applicant Address Project Name Contact Person Telephone Federal Tax ID # CDBG Funds Requested Community Development Block Grant Application 2018 Program Year City of Pasco -Community & Economic Development 525 N. Third Avenue, Pasco , WA 99301 CDBG Program Administration Rick White, C&ED Di rector 545-3441 Email whiter@pasc o-wa.gov 9 1-001264 DUNS# ---------- (required ) $139,000 009974598 (required) Leverage $62, 730 1. Describe your project and its proposed loca tion, including wha t exactly t he CDBG fu nd s will be used for, a desc ription of th e perso n s you will be serving, an d why the project is needed . CDBG funds are used to plan , administer and deliver housing and community need s, ensure compliance with local, state and federal rule s, regulations and laws and provide for the successful delivery of programs that primarily benefit low-moderate income people. Project delivery is often charged against the ad min and planning line item, however, time correctly charged to the project does not count against the admin and planning cap (20%). 2. De sc ribe the unmet need in the community using statistics, demographics or o ther factual information. All CDBG activities in Pa sc o benefit primarily low-moderate income person s. Census tracts 201,202,203 BG 3&4 and 204 are 71% LMI, there are 24,190 person s, 17,171 of which are LMI. Admin and planning benefits all of Pasco re sidents. 3. Refer to t he Community Priority Needs {EXHIBIT A). -what Goa l, St ra tegy, Objective and Outcome does yo ur p roject f ulfi ll? Goal# _A_L_L ___ Strategy # Objective# ----Ou t come# 4 . Projects will be ranked acco rding to the local allocat ion priorities. Refer to Allocation Policy (EXHIBIT B) (Check on ly one box) A. High Priori t y O B. Average Priority O C. Low Priority O D. No Priority 0 ALL Explai n how your application satisfies that priority: ALL PRIORITIES -Thi s activity serves every type of eligible activity allowabl e under CDBG/HOME/NSP regulations. 2018 CDBG Application 1 5. How does your application meet the National Objective of primari ly benefiting low and moderate-income persons? (Check only one box -a, b, c, d) NOT REQUIRED FOR PLANNING & ADMIN a. D Yo u receive income data verifica t ion from each individual or household beneficiary of the program(LMC/LMH) b. D Your project serves only the following clientele (LMI Pre sumed Benefi t): (check only one box) D Elderly p ers ons D Illiterate persons D Battered spouses D Hom el ess persons D Abused children D Migrant farm workers D Severely di sa bl ed adults 0 Perso ns living with AIDS/HIV D Other: Des cri be c. D You r project will create jobs that employ low to moderate-income employees (LMJ). d. D You r project/activity serves only a limited area which is prove n by American Community Survey data to be primarily low-moderate income (LMA). Complete Item 6 Below: 6. Pro vide a vicinity map (se parate page) showi ng the location of the project and service area. Include a narrative description of the project boundaries (or address) and the area to be served (LMA). Attach pages if necessary. Boundaries: CITY -W IDE, City of Pasco city limits Project Ad dress/Loca tion: 525 N THIRD AVENUE Census Block Tract(s)# ALL Group(s)# -----------ALL 7. Provide *Performance Indicators, Objectives and Outcomes (EXHIBIT CJ b enchmarks you hope to ac h ieve in program year 2018, e.g., How many unduplicated persons will be served, how many houses will be r ehabbed, how many jobs created, how m any public buildings or parks will be improved Do not inflate your estimates -the numbers provided will be used to assess your proposed project's success. As long as Pasco is an entitlement city, CDBG funds will be utilized for planning & administration of the grant. Milestone/Goal (include numerical performance progress if any) 1st Quarter Closeout prior year grant and prepare Consolidated Pla n Evaluation Report (CAPER) Complete environmental review for current program year awarded projects Execu t e subrecipient agreements 2"0 Quarter Prepare Request for Proposa l for next grant year 3'0 Quarter Desk and Site Monitoring of all activities Reporting Budget Pre pa ration Fund activities for drawdown 4'" Quarter Submit Annual Action Plan for next grant year Timeliness 2018 CD BG Application 2 " Public Facility -Buildings Porks Facility -People " Public Service -People -Individuals " Public Facility -Community Infrastructure -People " Forode -Businesses or Jobs -People/Individuals " Rehabilitation -Houses -Households " Economic Development -Jobs or businesses -Individuals/People Number Performance CDBG Cost Per Total CDBG Other CDBG Served Indicator Unit Cost Cost 1st Quarter 2nd Quarter 3rd Quarter 41 " Quarter *TOTAL SERVED 61310 People $3.29= $139,000 +$67,730 8. Of the total number "Served" listed in the above table, please categorize your clientele by the following criteria: Number of clients below 30% median income *Total must Number of clients below 50% median income match total Number of clients below 80% median income 32995 Served abo ve. -------------Tot a I Pasco residents served 61310 53% AMI Number of elderly clients Number of minority clients Number of disabled clients Number of Female Head of Household ------------- ------------- 9. What is the dollar amount of CDBG funds your agency has received in the past three years? 2015 2016 Kennewick Supp I em en ta I housing information 2017 Pasco 120,000 120,000 131,000 Richland 10 What impact will your project have in the community? How will you mea sur e your success? Planning and admin activities provide support and technical assistance for all eligible activities. Each year accomplishments are reported in IDIS, and published in the Consolidated Annual Plan Evaluation Report. 11 The following are the ma ximum income guidelines for 2016 CDBG funded program s (8 0% is the ma ximum eligible). These guidelines will be updated in early 2018. 2017 HUD income Limit Guidelines for Kennewick-Pasco -Richland Effective June 6, 2016 1 Person 2 People 3 People 4 People S People 6 People 7 People 8 People 30% 13,700 16,240 20,420 24,600 28,780 3 2,960 37,140 41,3 20 50% 22,800 26,050 29,300 32,550 35,200 37,800 40,400 43,000 80% 36,500 4 1,700 46,900 5 2,100 56,300 60,450 64,650 68,800 Median 4 5,600 52,100 58,600 65,100 70,400 75,600 80,800 86,000 For Information Only, 2018 Income Limits will apply. 12 Give a detailed breakdown of the total budget for this project by line item. Show where the CDBG funds you are requesting will be applied toward the line items listed below. Li st any other so urces of fund s you w ill use to match with the CDBG funds . Your total expenses should equal the amount of CDBG fund s requested and all other source funds . Plea se provide supplementary documentation for the budget if available. 2018 CDBG Application 3 Source of Other Requested CDBG Other CDBG Expense Funds TOTAL BUDGET ADMIN Fund s Funds CDBG Programs PERSONNEL: Salaries 79,270 79,270 Benefits 30,375 30,375 0 0 OPERATIONS: 0 0 Rent/Lease 0 0 Utilities 0 0 Supplies 5,835 5,835 Prof Services 20,000 14,195 380 Administrative 34,195 Consultants 0 0 *Carry Over from PY 0 PROJECT DELIVERY 0 0 0 380 Administrative 3,520 7,950 380 Administrative 11,470 382 Owner Rehab 0 5,756 382 Owner Rehab 5,756 384 Fa~ade Rehab 0 1,000 384 Fa~ade Rehab 1,000 385 Publ ic Fae/Pk 0 7,745 385 Public Fae/Pk 7,745 386 PSK Tech Ass t 0 6,084 386 PSK Tech As st 6,084 387 Infrastructure 0 20,000 387 Infrastructure 20,000 0 0 0 PROPERTY: 0 0 0 Purcha se Pric e 0 0 0 Clo si ng Co st s 0 0 0 OTHER (De scribe): 0 0 0 0 0 0 TOTAL 139,000 62,730 201,730 13 Are the abov e "other sources" of fu nds secured? Pr ovide documentation of budget for source of other funds: Funds for project delive ry are w ill be allocated from unobligated funds . Funds are estimated based on the previous year's allocations, funds are reasonably secure the amount of entitlement allocations is not known until Congress passes the budget. 14 If you do not receive the r equested fund s, or rec eive only a portion o f what you request, what will you do? Many projects will not receive administrative or project delivery support, projects may be scaled back to what may be feasible without support. Alternative funding sources would sought out. 15 If your request includes recu r ring costs such as staff time, supplies, etc ., what is your plan to secure funds for these needs in the future? (The purpose of CDBG funds is not to fund projects that are the general responsibility of government or to maintain the operation of a non-profit organization .) Up to 20% of entitlement funds is permitted to be used for planning and administration of the grant. As long as we receive entitlement monies planning and administration will be funded from the grant. 2018 CDBG Application 4 16 Self-Assessment, Check "yes" or "no" for each of the following questions: Risk Assessment Question? Yes No 1. Is your organization new to the CDBG program? IX] 2 . Is this a new activity for the organization? • [gJ a. Has this activity been completed successfully in prior years? [gJ • b. Ha ve CDBG performance goals been met in prior years? [gJ • 3. Does the organization have unresolved audit findings? IX] 4. Is staff responsible for the CDBG project new or inexperienced? [gJ 5. Does your project displace or relocate any individual or business? [gJ 6. Does your project involve construction / renovation? • [gJ a. Do you own the property? • • b. Do you have experience with federal Da vis-Bacon wage requirements? • • 7 . What type of CDBG activity is your project? (Choose one) 1) Administration [gJ 2) Public Service • 3) Economic Development • 4) Affordable Housing (acquisition/rehabilitation, etc.) • 5) Public Facility (Buildings/Parks, etc.) • 6) Code Enforcement • 7) Community Infrastructure (curb/gutter/sidewalks/sewer/water, etc.) • 8) Revitalization (Describe): • 2018 CDBG App lication 5 Certifications and Assurances I/we make the following certifications and assurances as a required element of the Application to which it is attached , understanding that the truthfulness of the facts affirmed here and the continuing compliance with these requirements are conditions precedent of the award or continuation of the related contract(s). The City of Pasco reserves the right at its so le discretion to reject any or all ap plication s received without penalty and is not obligated to enter into a contract of any appl icant. Incomplete, late or ineligible Application packets may be returned to the applicant without further consideration. I understand that the City will not reimburse for any costs incurred in the preparation of this Application . All applications will become the property of the City, and I/we claim no proprietary right to the ideas, writings, items or samples . SUBMI TTED BY : Rick White, C&ED Director June 26, 2017 Date 2018 CDBG Application 6 COMMUNITY' DEVELOPMENT DEPARTMENT 509-545-3441 I FAX 509-545-3499 P.O. BOX 293, 525 NORTH THIRD AVENUE, PASCO, WASHINGTON 99301 Mr. Ri ck Wh ite, D irecto r City of P asco-Community & Economic Developmen t 525 N 3rd Ave PO Box 293 P asco, WA 9930 I May 8, 2018 Subject: C-2018-1-1, CDBG Subrecipient Agreemen t Award 369 CDBG Program Admin is tration Letter to Incur Costs Dear Mr. White: I am pleased to inform you that s ubject activity has been selecte d by the Pasco City Council (Resolu tion 3795) to receive up to $139,000 in 2018 Community Developmen t Block Grant (CDBG) funds. This award is contingent upo n receipt of Community Developme nt B lock Grant entitlement award from the U. S . Department of Ho using a nd Urban Develo pment (H UD). T h is award is based o n your e li gibility review of your 2018 C DBG Grant a p plication for C DBG Program Administration. A ny departure from the infonnation in th e app lication, as approved, such as changes to the scope of work, budget or s chedule m ay lead to the rescission of the award. Please no tify thi s department in writing imme diately of potential changes of this natu re. Th is letter allows your o rgan ization to incur costs in an amount not to exceed te n percent of your award for the following activities not requiring an environmental review, which may be needed to begin your project: • Pre limin ary env ironmental studies and review of 24 CFR 58.5 laws and authorities including Section I 06 of the National Hi s toric Preser vation Act of 1996; • Pre limin aiy e ngi neering tcasibil it y studies to the extent needed for the environmental assessment; • Project related administra ti on costs including s taffing, advertisements and other administrative expenses; When work is started on the bas is of this letter, CDBG procurement procedures, tenns, an d requirements must be met for development of contracts and agreements for any o f the above activit ies. Cons tructi on projects requiring a n e n v ironme nt a l review cannot be committed (contracts signed or work started), nor can H UD o r non-HUD funds be committed , until specific procedures required by the Sta te Environmental Pol icy Act (SEP A) a nd the National Environmental Policy Act (NEPA ) have been completed and the time period for public review, if applicable, has expired. A ll activit ies must meet the full requirements of2 C FR 200 Unifon11 Admin istrative Requirements, Cost Principles, a nd Audit Requirement s for Federal Awards. Eligible costs wi ll be reimbursed only after a written agreement has been fonna lly executed, an environmental review is complete, and all costs to deemed to be allowable, reasonable and necessary. Kryst le Shanks w ill assist in developin g this contract which we expect to finali ze wi thin 7 days from execution o f the final H U D award letter. In preparation, staff from your o rgani zation may request an e lectronic copy of P laying b y the Rul es s ubreci pient handbook or individual grants management training. If more than one request for training is received a CDBG Management Worksh op will be schedul ed to accommodate those reques ts. You may contact me directl y at (509) 543-5739 or via email at pinnana<iLt,pasco-wa.gov o r by contacting Krys tle Shanks at (509)545-3441 or via email at shanksk@ pasco-wa.gov. We look forwa rd to workin g wit h you on thi s worthwh il e project. Enclosures : Written Agreement Angela R. P itman, CDBG Administrator Community & Economic Development EXHIBIT B State and Federal Requirements and Assurances B-1 Attachment B STATE AND FEDERAL REQUIRE MENTS AND ASSURANCES In addition to laws listed in the general terms and conditions of this Agreement, the Grantee assures compliance with the following regulations as t hey pertain lo lhe local project. Contact the City if you want assistance in obtaining a copy of these regulations. A. HOUSING AND COMMUNITY DEVELOPMENT 1. Public Law 90-284, Title VIII of the Civil Rights Act of 1968 (42 U.S.C. 3601 et seq .), common ly referred to as the Federal Fair Housing Act, as amended by the Fair Housing Amendments Act of 1988 (P.L. 100-430) 2. Executive Order 11063, as a mended by Executive Order 12259 (24 CFR Part 107) 3 . The Housing and Community Development Act of 1974 , as amended through 1992: Sections 109; 104 (b) 4; 104 (d); and 104 (I), which prohibit discrimination and requi re identification of housing and community development needs; a "residential anti- displacement and relocation assistance plan"; and adoption and enforcement of policies prohibiting the use of excessive force. 4 . Title II and Ill of the Uniform Relocation Assistance and Real Pro perty Acquisition Policies Act of 1970 (42 U S.C. 4630) as amended in 1989) 5 . Title IV of the Lead-Based Paint Poisoning Prevention Act (42 U.S.C . 4831 b) 6 . Public Law 110-289, section 3, "Emergency Assistance for the Redevelopment of Abandoned and Foreclosed Homes" (also referred to as the Neighborhood Stabilization Program), of the Housing and Economic Recovery Act, 2008 (Docket No . FR -5255-1 - 01 ) 7 . The America n Recovery and Reinvestment Act of 2009 B . LABOR 1 . Davis-Bacon A ct, as amended (40 U .S.C. 3141 et seq .) 2 . Prohibition of Use of CDBG for Job-Pirating Acti vities. 24 CFR Part 570.482(1), revis ed June 2006 C. ENVIRONMENT AL AND CULTURAL 1. The National Environmental Policy Act of 1969 (NEPA) (42 U .S .C . Section 4321 el seq., and 24 CFR Part 51) 2. The Clean Air Act , as amended (42 U .S .C. 7401 el seq .) 3. HUD Environmental Criteria and Standards (24 CFR Part 58) 4. Executive Order 11990. May 24, 1977, a s amended by Executive Order 11990: Protection of Wetlands (42 FR 26961 et seq .) 5. The Wild and Scenic Rivers Act of 1968, as amended (16 U.S.C. 1271 et seq .) 6. Executive Order 11988, May 24 , 1977: Floodplain Management and Wetland Protection (42 FR 26951 et seq .) 7. Coastal Zone Management Act of 1972, as amended (16 U.S.C. 1451 et seq.) 8 . The Endangered Species Act of 1973, as amended (16 U.S.C. 1531 et seq.) 9 . The Reservoir Salvage Act of 1960, as amended by the Archaeological and Historic Preservation Act of 1974 (16 U.S.C. 469 et seq .) 10. The Safe Drinking Water Act of 1974, as amended (42 U.S .C. 300f et seq ., 21 U.S.C. 349, as amended, and 40 CFR Part 149 (Environmental Protection Agency)); 11. The Federal Water Pollution Control Act of 1972, as amended. including the Clean Water Act of 1977, Public Law 92-212 (33 U.S.C. Section 1251 et seq.) 12. The Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act of 1976 (42 U .S .C. Section 6901 et seq .) 13 . The Fish and Wildlife Coordination Act of 1958, as amended (16 U.S.C . Section 661 et seq .) 14. The National Historic Preservation Act of 1966 (16 U.S .C. 470) 15. The Archaeological and Historical Data Preservation Act of 1974 (16 U.S .C . 469a -1 et seq .) 16. Executive Order 11593, Protection and Enhancement of the Cultural Environment, May 13, 1971 17. Farmland Protection Policy Act of 1981 (7 U.S.C. 4201 et seq . and 7 CFR Part658) 18. Environmental Justice (Executive Order 12898), as amended by Executive Order 12948 19. Explosive and Flammable Operations (Section 2 of th e Housing Act of 1949, as amended (42 U.S C. 1441 ), Section 7(d) of the Dept HUD Act of 1965 (42 U.S .C. 3535(d)), Section 2 of th e Housing and Urban Development Act of 1969 (42 U.S.C. 1441(a)), and 24 CFR Part 51 Subpart C) 20. Airport Clear Zones and Accident Potential Zones (Section 2 of the Housing Act of 1949 as amended (42 U SC. 144 1 ), affirmed by Section 2 of the Housing and Urban Development Act of 1969, P.L. No 90-448, Section 7(d) of the Dept HUD Act of 1965 (42 U.S.C. 3535(d)), and 24 CFR Part 51 Subpart D) 21. Toxic Chemicals and Radioactive Materials (Comprehensive Environmental Response , Compensation, and Liability Act of 1980 as amended by Superlund Amendments and Reauthorization Act and 24 CFR 58.5(i)) 22. Determining Conformity of Federal Actions to State or Federal Implementation Plans (Environmental Protection Agency -40 CFR Parts 6, 51, and 93) STATE 1 . Relocation Assistance and Real Property Acquisition Policy, Chapter 8.26 RCW 2. Prevailing Wages on Public Works, Chapter 39 .12 RCW 3. State Environmental Policy Act (SEPA), Chapter 43.21 C RCW 4. State Building Code, Chapter 19.27 RCW: Energy Related Building Standards , Chapter 19.27A RCW: and Provisions in Buildings for Aged and Handicapped Persons. Chapter 70.92 RCW 5 . lnterlocal Cooperation Act, Chapter 39.34 RCW 6 . State Environmental Poli cy Act (SEPA), Chapter 43 .21(C) RCW 7. Noise Control, Chapter 70.107 RCW 8. Shoreline Management Act of 1971 , Chapter 90.58 RCW 9 . Governor's Executive Order 89-10, December 11, 1989: Protection of Wetlands . and Governor's Executive Order 90-04 , April 21, 1990: Protection of Wetlands GEI\JERAL TERMS AND CONDITIONS 1. DEFINITIONS As used throughout th is Contract, th e following terms shall have the meaning set forth belo w: A. "Authorized Representative" s hall mean the Director a nd/or th e designee authorized in writing to act on the Director's behalf. B. "Subrecipient" shall mean the entity identified on the face s heet perform ing service(s) under th is Contract, and shall include all employees and agents of the Subreci p ient. C . "City" shall mean the City of Pasco, Com munity & Economic Development Depar1m ent or its successor agenc y. D . "Personal Information" shall mean information identifiable to any person , including, but not limited to, information that relates to a person's name , health, rin ances, education , business, use or receipt of governmental services or other act iv it ies , addresses, telephone numbers , social security numbers , driver license n umber s, other identifying numbers, and any financial identifiers. E. "State " shall mean the state of Washington. F. "Subcontractor" shall mean one not in th e employment of the Subrecipient , who is performing a ll or part of those services under a separate contract with the Subrecipient. The terms "subcontractor" and •subcontractors· mean subcontractor(s) in any tier. 2. ALL WRITINGS CONTAINED HEREIN This Agree ment contains all the terms and conditions agreed upon by the parties . No other understandings , oral or otherwise, regarding the subject matter of this Agreement shall be deemed to exist or to bind any of the parties hereto. 3 . AMENDMENTS This Agreement may be amended by mutual agreement of the parties . Such amendments sh all not be bi nding unless they are in writing and signed by personnel authorized to bind each of the par1ies . 4 . ASSIGNMENT Neither this Agreement, nor any claim a rising under this Agre ement, shall be transferred or ass igned by t he Subrecipient without prior written consent of City. 5 . ATTORNEYS' FEES Unless expressly permitted under another provision of the Contract, in the event of litigati on or other action brought to enforce Contract terms , each party agrees to bear its own attorneys fees and costs . 6. AUDIT A . General Requirements Subrecipients are to procure audit services based on the following guidelines . The Subreci pient shall maintain its records and accounts so as to facilitate the audit requirement and shall ensure that Contractors a lso maintain auditable records . T he Subreciplent is responsible for any audit exceptions inc urred by its own organization or that of its Contractors. City reserves the r ight to recover fro m the Subrecipient all d isallowed costs resulting from the audit. Su brecipient Agreement for Federal Funds GENERAL TERM S AND CONDITIONS As applicable, Subrecipients required to have an audit must ensure the audits are performed in accordance with Generally Acce pted Auditing Standards (GAAS}; Government Auditing Standards (the Revised Yellow Book) developed by the Comptroller General. Responses to any unresolved management findings and disallowed or questioned costs shall be included with the audit report. The Subrecipient must respond to City requests for information or corrective action concerning audit issues within thirty (30) days of the date of request. B. Federal Funds Requirements• 0MB Circular A-133 Audits of States, Local Governments and Non-Profit Organizations Subrecipients expending $500,000 or more in a fiscal year in federal funds from all sources, direct and indirect, are required lo have an audit conducted in accordance with Office of Management and Budget (0MB} Revised Circular A-133 "Audits of States , Local Governments, and Non-Profit Organizations ' Revised 0MB A-133 requires the Subrecipienl to provide the auditor with a schedule of Federa l Expenditure for the fiscal year(s) being audited. The Schedule of State Financial Assistance must be included . Both schedules include: Grantor agency name Federal agency Federal program name Other identifying agreement numbers Catalog of Federal Domestic Assistance (CFDA) number Grantor agreement number Total award amount including amendments (total grant award) Beginning balance Current year revenues Current year expenditures Ending balance Program total If the Subrecipient is a state or local government entity, the Office of the State Auditor shall conduct the audit. Audits of non-profit organizations are to be conducted by a certified public accountant selected by the Subrecipient in accordance with 0MB Circular A-110 "Uniform Admin is trative Requirements for Grants and Agreements with institutions of Higher Education, Hospitals, and Other Non-Profit Organizations." The Subreciplent shall include the above audit requirements in any subcontracts. In any case, the Subrecipient's financial records must be available for review by City. C. Documentation Requirements The Subrecipient must send a copy of any required audit Report ing Package as described in 0MB Circular A-133, Part C, Section 320(c) no later than nine (9) months after the end of the Subrecipient's fiscal year(s) to. City of Pasco Community & Economic Development Department 525 N Third Avenue Pasco. WA 99301 c Corrective action plan for audit f ind ings within three (3) months of the audit being received by City. o Copy of the Management Letter Subrecipient Agreement for Federal Funds 2 GENERAL TERMS AND CONDITIONS 7. CERTIFICATION REGARDING DEBARMENT, SUSPENSION OR INELIGIBILITY AND VOLUNTARY EXCLUSION-PRIMARY ANO LOWER TIER COVERED TRANSACTIONS A. Subrecipient, defined as the primary participant and it principals, certifies by signing these General Terms and Conditions that to the best of its knowledge and belief that they: 1 . Are not presently debarred. suspended, proposed for debarment, declared ineligible , or voluntarily excluded from covered transactions by any Federal department or agency. 2. Have not w ithin a three-year period preceding this Agreement, been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain , or performing a public or private agreement or transaction , violation of Federal or State antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of re cords, making false statements , tax evasion, receiving stolen property, making false claims, or obstruction of justice; 3. Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (Federal , State, or local} with commission of any of the offenses enumerated in paragraph (1 )(b) of this section; and 4. Have not within a three-year period preceding the signing of th is Agreement had one or more public transactions (Federal, State , or local) terminated for cause of default. B. Where the Subrecipient is unable to certify to any of the statements in this Agreement , the Subrecipient shall attach an explanation to this Agreement. C. The Subrecipient agrees by signing this Agreement that it shall not knowingly enter into any lower tier covered transaction with a person who is debarred , suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by City. D. The Subrecipient further agrees by ~igning this Agreement that it will include the clause title d "Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion- lower Tier Covered Transaction," as is below, without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions: CERTIFICATION REGARDING DEBARMENT, SUSPENSION OR INELIGIBILITY AND VO LUNT ARY EXCLUSION -LOWER TIER COVERED TRANSACTIONS a) The lower tier contractor certifies , by signing this Agreement that neither it nor its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or vo luntarily excluded from participation in this transaction by any Federal department or agency. b) Where the lower tier contractor is unable to certify to any of the statements in this Agreement , such contractor shall attach an explanation to this Agreement. E. The te rms covered transaction, debarred, suspended, Ineligible, lower tier covered transaction, person, primary covered transaction, principal, and voluntarily excluded , as used in this section, have the meanings set out in the Definitions and Coverage sections of the rules implementing Executive Order 12549. You may contact City for assistance in obtaining a copy of these regulations. 8. CONFIDENTIALITY/SAFEGUARDING OF INFORMATION A. "Confidential Information' as used in this section includes · 1. All material provided to the Subrecipient by City that is designated as ·confidential" by City; 2. All material produced by the Subrecipient that is designated as "confidential" by City; and Subrecipient Agreement for Federal Funds 3 GENERAL TERMS AND CONDITIONS 3. All Personal Information in the possession of the Subrecipient that may not be disclosed under state or federal law. "Personal Information· includes but is not limited to information related to a person's name, health, finances , education, business, use of government services , addresses, telephone numbers, social security number. driver's license number and other identifying numbers , and "Protected Health Information• under the federal Hea lth Insurance Portability and Accountability Act of 1996 (HIPAA). B. The Subrecipient shall comply with all state and federal laws related to the use, sharing, transfer, sale, or disclosure of Confidential Information. The Subrecipient shall use Confidential Information solely for the purposes of this Agreement and shall not use, share , transfer, sell or disclose any Confidential Information to any third party except with the prior written consent of City or as may be required by law. The Subrecipient shall take all necessary steps to assure that Confidential Information is safeguarded to prevent unauthorized use, sharing , transfer , sale or disclosure of Confidential Information or violation of any state or federal laws related thereto. Upon reques t, the Subrecipient shall provide City with its policies and procedures on confidentiality. City may require changes to such policies and procedures as they apply to this Agreement whenever City reasonably determines that changes are necessary to prevent unauthorized disclosures. The Subrecipient shall make the changes within the time period specified by City. Upon request, the Subrecipient shall immediately return to City any Confidential Information that City reasonab ly determines has n ot been adequately protected by the Subrecipient against unauthorized disclosure. C. Unauthorized Use or D isclosure. The Subrecipient shall notify City within five (5) working days of any unauthorized use or disclosure of any confidential information, and shall take necessary steps to mitigate the harmful effects of such use or disclosure . 9. CONFORMANCE If any provision of this contract violates any statute or rule of law of the state of Washington, it is considered modified lo conform to that statute or rule of law. 10. COPYRIGHT PROVISIONS Unless otherwise provided, all Materials produced under this Agreement shall be considered ·works for hire• as defined by the U.S. Copyright Act and shall be owned by City. City shall be considered the author of such Materials. In the event the Materials are not considered ·works for hire• under the U.S. Copyright laws, the Subrecipient hereby irrevocably assigns all right, title, and interest in all Materials, including all intellectual properly rights , moral rights , and rights of publ icity to City effective from the moment of creation of such Materials . "Materials" means all items in any format and includes, but is not limited to, data , reports , documents, pamphlets, advertisements , books , magazines, s urveys, studies, computer programs , films . tapes , and/or sound reproductions. "Ownership" includes the right to copyright, patent, register and the ability lo transfer these rights . For Materials that are delivered under the Agreement, but that incorporate pre-existing materi als not produced under the Agreement, the Subrecipient hereby grants to City a nonexclusive, royalty-free , irrevocable license (with rights to sublicense to others) in such Materials to translate , reproduce , distribute, prepare derivative works , publicly perform, and publicly display. The Subrecipient warrants and represents that the Subrecipient has all rights and permissions , including intellectual property rights, moral rights and rights of publicity, necessary to grant such a license to City. The Subrecipient shall exert all reasonable effort to advise City, at the time of delivery of Materials furnished under this Agreement, of all known or potential invasions of privacy contained therein and of any portion of such document which was not produced in the performance of this Agreement. The Subrecipient shall provide City with prompt written notice of each notice or claim of infringement received by the Subrecipient with respect to any Materials delivered under this Agreement. Ci1y shall have the right to modify or remove any restrictive markings placed upon the Materials by the Subrecipient. Su brecipient Agreement for Federal Funds 4 GENERAL TERMS AND CONDIT IONS 11. DISALLOWED COSTS The Subrecipient is res p on s ible for a ny audit exceptions or disallowed costs incurred by its own organization or that of its Contractors. 12. DISPUTES Except as otherwise provided in th is Agreement, when a dispute arises between the parties and it cannot be resolved by d ire c t negotiation, either party may request a d ispute hearing with th e Director of City, who m a y designate a neutral person to decide the dispute . The request for a dispute hearing must: • be in writing; • state the disputed issues; • state the relative positions of the parties; • state the Subrecipient 's name, address, and Agreement number; and " be mailed to the Director and the other party's (respondent's) Agreement Representative within three (3) working days afte r the parties agree tha t they cannot resolve the dispute. The respondent shall send a written answer to the requestor's statement to both the Director or the Director's designee and th e requester w ithin five (5) working days. The Director or designee shall review the written statements and reply in writing to b oth parties within ten (10) working d ays. The Director o r designee may extend this period if necessary by notifying the parties . The decision shall not be admissible in any succeeding judicial or quasi-judicial pro ceeding The parties agree that this dispute process sh all prec ede any a ction in a j udicial or quasi -judicial tribunal. Nothin g in this Agreement shall be construed to limit th e parties· choice of a mutuall y acce pta ble alternate dispute r esolution (ADR ) method in addition to the dispute hear ing procedure outl ined above . 13. DUPLICATE PAYMENT The Subrecipient cert ifies that work to be performed under this contract does not duplicate any work to be charged against any other contract, subcontract, or other source . 14. ETHICS/CONFLICTS OF INTEREST In performing under this Agreement , the Subrecipient shall assure com pliance w ith the Ethics in Public Service Act (Chapter 42.52 RCW) and any other applicable state or f ederal law related to ethics or conflicts of inte rest. 15. GOVERNING LAW AND VENUE This Agreement shall be construed a nd interpreted in accordance with the laws of the state of Washington, and the venue of any action brought hereunder shall be in the Superior Court for Franklin County. 16. INDEMNIFICATION To the fullest extent permitte d by law, the Subrecipient shall indemnify , defend, and hold harmless the state of Was hington, City, all other agencies of the State and all officers , agents and employees of the State , from and against all claims or damages for injuries to persons or property or death arising out of or incident to the performance or failure to perform the Agreement. The Subreciplenl's obligation to indemnify, defend, and hold harmless includes any claim by the Subrecipient's agents , employees, represen tatives . or any Subcontractor or its agents, employees, or representatives. Subrecipient Agreement for Federal Funds 5 GENE RAL TERMS AND CONDITIONS The Subrecipien1's obligation to indemnify, defend, and hold harmless shall not be elim inated or reduced by any actual or alleged concurrent negligence of the State or its agents, agencies, employees and officers . Subcontracts shall include a comprehensive indemnification clause holding harmless the Subrecipient, C ity, the state of Washington, its officers, employees and authorized agents. The Subrecipient waives its immunity under Title 51 RCW to the extent it is required to indemnify, defend and hold harmless the State and its agencies, officers, agents or employees . 17. INDEPENDENT CAPACITY OF THE CONTRACTOR The parties intend that an independent contractor relationship will be created by this Contract. The Subrecipient and its employees or agents performing under this Contract are no1 employees or agents of the state of Washington or City. The Subrecipient will not hold itself out as or claim to be an officer or employee of City or of the state of Washington by reason hereof, nor will the Subr ecipient make any claim of right, privilege or benefit which would accrue to such officer o r employee under law. Conduct and control of the work will be solely with the Subrecipient. 18. INDUSTRIAL INSURANCE COVERAGE The Subrecipient shall comply w ith all applicable provisions of Title 51 RCW , Industrial Insurance. If the Subrecipient fails to provide industria l insurance coverage or fails to pay premiums or penalties o n behalf of its employees as may be required by law, City may collect from the Subrecipient the full amount payable to the Industrial Insurance Accident Fund . City may deduct the amounl owed by the Subrec1pient to the acci dent fund from the amount payable to the Subrecipient by City under this Contract, and transmit the deducted amount to the Department of Labor and Industries , (L&I) Division of Insurance Services. This provision does not waive any of L&l's rights to c ollect from th e Subrecipient. 19. LAWS The Subrecipient shall comply with all applicable laws, ordinances, codes, reg ulations , and policies of local, state, and federal governments, as now or hereafter amended, including, but not limited to· United States Laws, Regulations and Circulars {Federal} A. Audits Office of Manage ment and Budget (0MB) Revised Circular A-133 "Audits of States, Local Governments, and Non-Profit Organizations." B . Labor and Safety Standards Convict Labor, 18 U .S .C . 751 , 752 , 4081, 4082 . Drug-Free Workplace Act of 1988, 41 USC 701 et seq. Federal Fair Labor Standards Act, 29 U .S .C . 201 et seq. Work. Hours and Safety Act of 1962, 40 U .S.C. 327-330 and Department of Labor Regulations , 29 CFR Part 5 . C . Laws against Discrimination Age Discrimination Act of 1975, Public Law 94-135, 42 U .S .C . 6101-07 , 45 CFR Part 90 Nondiscrimination in Federally Assisted Programs. Americans with Disabilities Act of 1990, Public Law 101 -336 Equal Employment Opportunity, Executive Order 11246, as amended by Ex ecutive O rder 1 1375 and supplemented in U.S . Department of Labor Regulations, 41 CFR Chapter 60. Executive Order 11246. as amended by EO 11375, 11478, 12086 and 12102. Subrecipient Agreement for Federal Funds 6 GENERAL TERMS AND CONDITION S Handicapped Employees of Government Subrecipients, Rehabilitat ion Act of 1973, Section 503, 29 U .S .C. 793. Handicapped Recipients of Federal Financial Assistance, Rehabilitation Act of 1973, Section 504 , 29 u .s .c . 794 . Minority Business Enterprises, Executive Order 11625, 15 U.S .C. 631 . Minority Business En terprise Development, Executive Order 12432, 48 FR 32551 . Nondiscrimination and Equal Opportunity, 24 CFR 5 .105(a). Nondiscrimination in benefits , Title VI of the Civil Rights Act of 1964 , Public Law 88-3 52, 42 U.S.C . 2002d et seq, 24 CFR Part 1 . Nondiscrimination in employment , Title VII of the Civil Right s Acl of 1964 , Public Law 88-352. Nond iscrimination in Federally Assisted Construction Contracts , Executive Order 11246, 42 U.S .C . 2000e, as amended by Executive Order 11375, 41 CFR Chapter 60 . Section 3, Housing and Urban Development Act of 1968, 12 USC 1701 u (See 24 CFR 570.607(b)). D. Office of Management and Budget Circulars Cost Principles for State, Local and Indian Tribal Governments, 0MB Circular A-87 , 2 CFR , Part 225. Cost Principles for Nonprofit Organizations, 0MB Circular A-122 (if the Subrecipient is a nonprofit organization). Grants and Cooperative Agreements with State and Local Governments, 0MB Circular A-102 (if the Subrecipient is a local government or federally recognized Indian tribal government). Uniform Administrative Requirements for Grants and Other Agreements with Institutions of Higher Edu cation, Hospitals and Othe r Nonprofit Organizations, 0MB Circular A-110 . E . Other Anti-Kickback Act, 18 U.S .C . 87 4 ; 40 U .S .C . 276b, 276c; 41 U.S .C . 51-54 . Governmental Guidance for New Restrictions on Lobbying; Interim Final Guidance, Federal Register 1 , Vol. 54, No . 243\Wednesday, December 20, 1989. Hatch Political Activity Act, 5 U .S .C . 1501-8. Internal Revenue Service Rules, August 31, 1990 . Lobbying and Disclosure, 42 USC 3537a and 3545 and 31 USC 1352 (Byrd Anti-Lobbying Amendment). 31 U.S .C . 1352 provides that contractors who apply or bid for an award of $100,000 or more must file the required certification . Each tier certifies to the tier above that it will not and has not used Federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant or other award covered by 31 U.S.C . 1352. Each tier must disclose any lobbying with non-Federal funds that takes place in connection with obtaining any Federal award . Such disclosures are forwarded from tier to tier up to the recipient. Non-Supplanting Federal Funds. Section 8 Housing Assistance Payments Program . F. Privacy Privacy Act of 1974, 5 U.S.C. 552a . Subrecipient Agreement for Fe deral Funds 7 GENER AL TERMS AND CONDITIO N S Washington State Laws and Regulations A. Affirmative action , RCW 41 .06 .020 (11 ). B . Boards of directors or officers of non-profit corporations -Liability -Lim itations , RCW 4 .24 .2 64. C . Disclosure-campaign finances-lobbying, Chapter 42.17 RCW . D . Discrimination-human rights commission, Chapter 49 .60 RCW . E. Ethics in public service, Chapter 42.52 RCW . F. Office of mino rity and women 's business enterprises , Chapter 39 .19 RCW and Chapter 326-02 WAC . G. Open public meetings act , Chapter 42.30 RCW . H . Publ ic records act, Chapter 42 .56 RCW . I. State budgeting, accounting, and reporting system, Chapter 43.88 RCW . 20. LICENSING. ACCREDITATION AND REGISTRATION The Subrecipient shall comply with all applicable local , stale, and federal licensing, accred itation and registration requirements or standards necessary for the performance of this Contract. 21 . LIMITATION OF AUTHORITY Only the Authorized Representative or Authorized Rep resentat ive's designee by writing (designation to be made prior to action) shall have the express. implied , or apparent auth orit y to alter, amend, modify, or waive any clause or condition of this Contract. 22. NONCOMPLIANCE WITH NONDISCRIMINATION LAWS During the performance of this Agreement , the Subrecipient shall comply with all feder al , stale , and local nondiscrimination laws, regulations and policies. In the event of the Subrecipient's non - compliance or refusal to comply w ith any nondiscrimination law, regulation or policy, this Agreement may be rescinded, canceled or terminated in whole or in part, and the Subrecipient may be declared ineligible for further Agree ments with City. The Subrecipient shall , however, be given a reasonable time in which to cure th is noncompliance. Any dispute may be resolved in accordance with the "Disputes" procedure set forth herein . 23 . POLITICAL ACTIVITIES Political activity of Subrecipient employee s and officers are limited by the State Campaig n Finances and Lobbying provisions of Chapter 42 .17 RCW and the Federal Hatch Act 5 USC 1501 -1508. No funds may be used for working for or against ballot measures or for or against the cand idacy of any person for public office. 24. PREVAILING WAGE LAWS All contractors and subcontractors performing work on a construction project funded through this agreement shall comply with prevailing wage laws by paying the higher of state or federal prevailing wages according to. State Prevailing Wages on Public Works , Chapter 39 .12 RCW, as applicable to the Project funded by this agreement, including but not limited to the filing of the ·statement of Intent to Pay Prevailing Wages· and "Affidavit of Wages Paid" as requi red by RCW 39.12.040 . The Subrecipient shall ma intain records sufficient to evidence compliance with Chapter 39.12 RCW , and shall make such records available for City's review upon request ; or The Davis Bacon Act , 40 U.S.C. 276a-276a-5 and related federa l acts provide that all laborers and mechanics employed by co ntractors or subcontractors in the performance sha ll be paid wages at Subrecipient Agreem ent for Federal Funds 8 GENERAL TERMS AND CONDITIONS rates not less than those prevailing on similar construction in the locality as determined by the Secretary of Labor. 25. PROCUREMENT STANDARDS FOR FEDERALLY FUNDED PROGRAMS A Subrecipient wh ich is a local government or Indian Tribal government must establish procurement policies and procedures in accordance with 0MB Circulars A-102, Uniform Administrative Requirements for Grants in Aid for State and Local Governments, for all purchases funded by this Agreement. A Subrecipient which is a nonprofit organization shall establish procurement policies in accordance with 0MB Circular A-110, Uniform Administrative Requirements for Grants and Agreements with Nonprofit Agencies, for all purchases fu n ded by this Agreement. The Subrecipient's procurement system should include at least the following : 1. A written code or standard of conduct that shall govern the performance of its officers , employees, or agents engaged in the awarding of contracts using federal funds . 2 . Procedures that ensure all procurement transactions shall be conducted in a manner to provide, to the maximum extent practical, open and free competition. 3. Minimum procedural requirements , as follows: a . Follow a procedure to assure the avoidance of purchasing unnecessary or duplicative items. b. Solicitations shall be based upon a clear and accurate description of the technical requirements of the procured items . c Positive efforts shall be made to use small and minorit)•-owned bus inesses. d . The t ype of procuring instrument (fixed price , cost reimbursement) shall be determined by the Subrecipient, but must be appropriate for the particular procurement and for promoting the best interest of the program involved . e . Contracts shall be made only with reasonable subcontractors who possess the potential ability to perform successfully under the terms and cond itions of the proposed procurement. f . Some form of price or cost analysis should be performed in connection with every procurement action . g. Procurement records and files for purchases shall include all of the following : 1) Subrecipient selection or rejection. 2) The basis for the cost or price 3) Justification for lack of competitive bids if offers are not obtained . h. A system for Agreement administration to ensure Subrecipient conformance with terms, conditions and specifications of this Agreement , and to ensure adequate and t imely follow-up of all purchases . 4. Subrecipient and Subcontractor must receive prior approval from City for using funds from this Agreement to enter into a sole source Agreement or an Agreement where only one bid or proposa l is received when value of this Agreement is expected to exceed $5,000. Prior approval requests shall include a copy of proposed contracts and any related procurement documents and justification for non-competitive procurement, if applicable. 26. PROHIBITION AGAINST PAYMENT OF BONUS OR COMMISSION The funds provided under t his Contract shall not be used in payment of any bonus or commission for the purpose of obtaining approval of the applicat ion for such funds or any other approva l or Subrecipient Agreement f or Federal Funds 9 GENERAL TERMS AND CONDITIONS concurrence under this Contract provided, however, that reasonable fees or bona fide technical consultant, managerial, or other such services. other than actual solicitation, are not hereby prohibited if otherwise e ligible as project costs. 27. PUBLICITY The Subrecipient agrees not to publish or use any advertising or publicity materials in which the state of Washington or City's name is mentioned , or language used from which the connection with the state of Washington's or City's name may reasonably be inferred or implied, without the prior written consent of City. 28. RECAPTURE In the event that th e Subrecipient fails to perform this Agreement In accordance with state laws . federal laws. and/or the provisions of this Agreement, City reserves the right lo recapture funds in an amount to compensate City for the noncompliance in addition to any other remedies available at law or in equity. 29 . RECORDS MAINTENANCE The Subrecipient shall maintain all books . records. documents, data and other evidence relating to this Agreement and performance of the services descri bed herein, including but not limited to accounting procedures and practices which sufficiently a nd properly reflect all direct and indirect costs of any nature expended in the performance of this Agreement. Subrecipient shall retain such records for a period of six years following the date of final payment. If any litigation, c laim or audit is started before the expiration of the six (6) year period , the records shall be retained until all litigation, claims, or audit findings involving the records have been finally resolved. 30 . REGISTRATION WITH DEPARTMENT OF REVENUE If req uired by law, the Subrecipient shall complete registration with the Washington State Department of Revenue. 31. SAVINGS In the event funding from state. federal , or other sources is withdrawn, reduced , or limited in any way after the effective dale of this Agreement and prior to normal completion , City may terminate the Agreement under the "Termination for Convenience" clause, without the ten calendar day notice requirement. In lieu of termination, the Agreement may be amended to reflect the new funding lim itation s and conditions 32. SEVERABILITY If any provision of this Agreement or any provision of any document incorporated by reference shall be held invalid , such invalidity shall not affect the other provisions of this Agreement that can be given effect without the invalid provision, if such remainder conforms to the requirements of law and the fundamental purpose of this Agreement and to this end the provisions of this Agreement are declare d to be severable . 33 . SUBCONTRACTING The Subrecipient may only subcontract work contemplated under this Contract if it obtains th e prior written approval of City. If City approves subcontracting, the Subrecipient shall maintain written procedures related to subcontracting, as well as copies of all subcontracts and records related to subcontracts . For cause, City In writing may: (a) require the Subrecipient to amend its subcontracting proced ures as they relate Subrecipient Agreement for Federal Funds 10 GENERAL TERMS AND CONDITIONS to thi s Contract; (b) prohibit the Subrecipient from subcontracting with a particular person or entity; or (c) require the Subrecipient to rescind or amend a subcontract. Every subcontract shall bind the Subcontractor to follow all applicable terms of this Contract. The Subrecipient is responsible to City if the Subcontractor fails to comply with any applicable term or condition of this Contract. The Subrecipient shall appropriately monitor the activities of the Subcontractor to assure fiscal conditions of this Contract. In no event shall the existence of a subcontract operate lo release or reduce the liability of the Subrecipient to City for any breach in the performance of the Subrecipient's duties. Every subcontract shall include a term that City and the State of Washington are not l iable for claims or damages arising from a Subcontractor's performance of the subcontract. 34. SURVIVAL The terms , conditions, and warranties contained in 1his Agreement that by their sense and context are intended lo survive the co m plet ion of the performance, cancellation or term ination of this Agreement shall so survive . 35. TAXES All payments accrued on account of payroll taxes , unemployment contri buti ons, the Subrecipienl's income or gross receipts. any other ta xes, insurance or expenses for the Subrecipienl or its staff shall be the sole respons ibility of the Subrecipient. 36. TERMINATION FOR CAUSE I SUSPENSION In event City determines th at the Subrecipient failed to comply with any term or condition of this Agreement, City may terminate th e Agreement in whole or in part upon written not ice to the Subrecipient. Such termination sh all be deemed "for cause • Termination shall take effect on the date specified in the notice . In the alternative, City upon written notice may allow the Subrecipient a specific period of ti me in which to correct the non-compliance. During the corrective -action lime period , City may suspend further payment to the Subrecipient in whole or in part, or may restrict the Subrecipient's right to perform duties under this Agreement. Failure by the Subrecipienl to take timely corrective action shall allow City to term inate the Agreement upon written notice to the Subrecipient. "Termination for Cause" shall be deemed a "Terminat ion for Convenience• when City determines that the Subrecipient did not fail to comply with the terms of the Agreement or when City determ ines the failure was not caused by the Subrecipient's actions or negligence. If the Agreement is terminated for cause , the Subrecipient shall be liable for damages as authorized by law, including, but not limited to , any cost difference between the original Agreement and the replacement Agreement , as well as all costs associated with entering into the replacement Agreement (i e ., competitive bidding, mailing, advertising, and staff time). 37. TERM INATION FOR CONVENIENCE Except as otherwise provided in this Agreement, City may, by ten {10) business days written notice, beginning on the second day after the mailing, terminate this Agreement, in whole or in part. If this Agreement is so terminated, City shall be liable only for payment required under the terms of this Agreement for services rendered or goods delivered prior lo the effective date of termination. 38 . TERMINATION PROCEDURES Af ter receipt of a notice of termination , except as otherwise directed by City, the Subrecipient shall: A. Stop work under the Agreement on the date, and to the extent specified , in the notice; B. Place no further orders or subcontracts for materials , services, or facilities related to the Agreement ; Subrecipient Agreement for Feder al Fun d s 11 GEl'I/ERAL TERMS AND CONDITIONS C. Assign to City all of the rights, title, and interest of the Subrecipient under the orders and subcontracts so terminated , in which case City has the right, at its discretion, to settle or pay any or all claims arising out of the termination of such orders and subcontracts . Any attempt by the Subrecipient to settle such claims must have the prior written approval of City, and D. Preserve and transfer any materials, Agreement deliverables and/or City property in the Subrecipient's possession as directed by City. Upon termination of the Agreement, City shall pay the Subrecipient for any service provided by the Subrecipient under the Agreement prior to the date of termination . City may withhold any amount due as City reasonably determines is necessary to protect City against potential loss or liability resulting from the termination. City shall pay any withheld amount to the Subrecipienl if City later determines that loss or liability will not occur. The rights and remedies of City under this section are in addition to any other rights and remedies provided under thi s Agreement or otherv,1ise provided under law. 39. WAIVER Waiver of any default or breach shall not be deemed to be a waiver of any subsequent default or breach. Any waiver shall not be construed to be a modification of the terms of this Agreement unless stated to be such in writing and signed by Authorized Representative of City. Subrecipient Agreement for Federal Funds 12 ✓ FFATA (All) V PROGRESS REPORTS (All) EXHIBIT C Reports and Forms ~PROGRAM INCOME (Economic Development or Revolving Loan Funds) ~ CONTRACTOR COMPLIA CE FORM (All) .,,,,... CONTRACTOR/SUBCONTRACTOR ACTIVITY (Construction Only -Over$ I 0,000) v LABOR COMPLIANCE REPORT (Construction Only -Over $2,000) V SECTIO 3 PLAN (All -$100,000 and over in Awards and/or Contracts) C-1