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HomeMy WebLinkAboutR-94-01004 t j J-9"7 2/17/94 RESOLUTION 9 d 100 NO. A , RESOLUTION AUTHMZING THE CITY MANAGER M ACCEPT 1 THE ECONOMIC ADJUSTMENT ASSISTANCE GRANT, JOINTLY WITH THE CENTER RM HEALTH TECHNOLOGIES, INC., FROM THE U.S. DEPAR naw OF COERCE, E oNaaC DEVE[APMENT ArKENISTRATION, IN THE AMOUNT OF $1, 000, 000, FOR THE PURPOSE OF RENOVATING CERTAIN CITY -OWNED PROPERTY TO HOUSE A BUSINESS INCUBATOR FOR HEALTH TECHNOLOGIES, SAID INCUBATOR TO BE LOCATED AT 1145 NORTfi = 11TH STREW, MIAMI, FLORIDA, SAID ACCEPTANCE SUBJECT TO CONDITIONS AS MORE PARTICULARLY SET F= HEREIN; FURTHER AOTHORSZING THE CITY MANAGER TO ENTER INTO THE NECESSARY AGREE ENT(S), IN A FM ACCEPTABLE TO THE CITY ATTORNEY, M ACCEPT AND IMPLEMENT SAM GRANT, SUBJECT TO APPLICABLE CITY CHARTER AND CODE PROVISIONS. WHEREAS, the U.S. Department of Commerce, Economic Development Administration ("EDA") has set aside funds to promote business expansion and ,job oreation in areas where Hurricane Andrew caused substantial economic 'hardship; and WHEREAS the City leased, for a period of five years commencing on October 22, 1992, the former Personnel Offices of the Municipal Justice Building to the Center for Health Technologies, Inc. ( °CAT") , whose primary goal is to create new health technologies companies using the incubator and other support systems, for a period of five years commencing on October 22, 1992; and WHEREAS, the lease agreement between the City and CRT provides that, subject to approval by the City Commission, the term of the lease may be extended and the area being used by CRT may be expanded, commensurate with the i requesting funds in the amount of $1,000,000 for the renovation of approximately 45,000 square feet of the existing Municipal Justice Building (the "Project Site and WHEREAS, on July 22 , 1993 , the City Commission adopted Resolution No. 93-493 authorizing the City Manager to submit said grant proposal and authorized the City Manager, upon approval by the MA, to accept the grant and to execute the necessary implementing agreements; and ' WHEREAS, the EDA approved the request for funding on December 16, 1993, subject to oonxii.tions, which must be accepted within 45 days of notification i of the approval; and WHEREAS, pursuant to a request from the City and C T, the EDA has extended the deadline for acceptanoe of said grant to February 24, 1994; and WHEREAS, the EDA, as a condition of said grant, requires execution of a Covenant of Purpose, Use and Ownership, which requires the prior written the approval of e MA prior to any sale, lease, transfer, conveyance, or mortgage of any interest in the Project Site or any change in the use of the Project Site, as authorized by the grant, for a period of twenty-five (25) years from the date of completion of renovations to the Project Site; and WAS, the City Commission has stated its acceptance of the grant is subject to the City retaining the right to recall the property and the City not be obligated to repay the government's fair share in the event the Project Site is used for a purpose not authorized by the grant; and. WHEREAS, it will further be necessary to amend the existing lease k agreement with the CHr in order to specifically define the portion of the -2- 9 4 — 100 i r. ,r�,<,�: ,. .. ----1-• -- - _.. _ . CITY OF MIAMI, FLORIDA + INTER -OFFICE MEMORANDUM 36 TO The Honorable Mayor and Members DATE February . 9, 1994 of the City Commission SUBJECT : Resolution Accepting. Grant FROM :. Ces ] O - REFERENCES Cit a er, ENCLOSURES RECOMMENDATION: It is'. respectfully requested that the City Commission .adopt the attached Resolution authorizing the City Manager to accept a grant, jointly with'the Center for Health Technologies, Inc. ;("CHT"),.,from. the U.S. Department of Commerce, Economic Development Administration ("EDA''), in the amount of,$1,000,000 for the:purpose of ,creating a, business incubator for health technologies,; said incubator to be located at 1145 NW 11. Street,. Miami;.: -Florida; further authorizing the City Manager to enter into the necessary agreements, in a form acceptable to the City Attorney, to accept and implement said grant, subject to applicable City.Code Provisions*. BACKGROUND: Pursuant to Resolution 90-16 adopted by the City _Commission on January 11, 1990, the City issued a revocable permit to CHT, for the use-of`approximately 3,000 sq. ft. of space at the old Municipal Justice` Building located at 1145 NW 11 Street for, the purpose of creatinga business incubator for.health technologies; said permit 'provided for an annualusefee of $1.00. .On May 28, 1992,. the City Commission adopted Resolution 92-354 authorizing the City Manager to enter into a lease agreement with CHT for the use of approximately 20,000 sq. ft. of space in addition to the: original 3,000 sq. ft already granted. This:lease agreement; dated October 22, 1992 provided for an initial, -five- year: term at a fee of $1.00 per year. The lease agreement further provided --that in the event CHT is able to secure private and ' public' financing for the development of .the property located at 1145AW 11.`Street for the purpose of establishing a research and development center, then, upon approval by the City -Commission, the lease could be < extended for an additional length of time commensurate with the requirements for obtaining financing for said project. 3h-I 94- 100 The Honorable Mayor And Members , of the'City Commission Page'2 On July 22, 1993, the Commission authorized the City. Manager -to submit a grant application, jointly with CHT, to the US'Department of Commerce, Economic Development Administration (EDA) requesting funds `" iirf the amountof $1 000, 000 for the purpose-, of . creating .. a_ business incubator for health technologies. There are no matching funds necessary for receipt of this grant. Th'e EDA awarded the grant application on December, 16 1993,, subject 4; ,tt conditions, which must be accepted by February 24, 1994. One of the'conditions for receiving this grant is that the City .will: be re"quired to execute a Covenant of Purpose, Use and Ownership which requires the City to use the area being improved, for 25.years from the -date of completion, only for,the intended purpose .of the grant unless>:the' EDA approves an alternateuseof the property. In the event the building is used •for some purpose other than as authorized under. the grant without EDA's approval,_. the City will have to compensate EDA in the amount of the EDA's fair share of the property. This fair share is the percentage of the 'property's value attributable to the EDA grant, multiplied by the current°fair market value of the property at the time of unauthorized use. Based on the current lease, CHT accepted the building in'"as is" condition, `therefore making CHT responsible for, repairs and improvements..-'CHT-anticipates using thesegrantifunds to renovate and improve approximately 45,000 sq. ft. of the existing_ Municipal Justice Building. The Covenant of. Purpose, Use and Ownership does not require the City to enter into a 25 year lease agreement with CHT.':The City may -continue to lease the property to CHT in shorter ,time' periods .. , In'the:event=the City commission approves acceptance.of this award, An item'wi1l be:presented atthe next Commission meeting to amend the existing lease agreement with CHT in order to specifically defihe`the'location to be leased under the expanded lease, as well as'clarify•and assign certain responsibilities related to the grant award; including but not limited to, consideration, insurance, construction schedules, approval of plans, taxes•and maintenance of the:building. r 94- 100 U. S. DEPARTMENT OF COMMERCE ECONOMIC DEVELOPMENT ADMINISTRATION Approval and Award of Grant for Sudden and Severe Economic. Dislocation Implementation Project No. 04-59-03969 The Assistant Secretary of Commerce for Economic Development, acting pursuant to the authority provided by Title IX, Section 903, of the amended Public Works and Economic Development Act of 1965 (Act), hereby approves and awards to The Center for Health Technologies, Inc. and City of Miami, Florida (Grantee), a grant subject to the terms, conditions, and limitations as set forth herein and in the attached Special Terms and Conditions and General Terms and Conditions. This assistance is approved and awarded to enable the Grantee to carry out the objectives of the Act by addressing an economic dislocation caused by Hurricane Andrew. It does not commit the Economic Development Administration (Grantor) to approve requests for any additional funds. The maximum amount of grant assistance hereby awarded is $1,060,000 or one hundred (100) percent of the total project cost, whichever is less. Funds will be made available for the Grantee's eligible expenses in accord with the attached Special Terms and Conditions and`General Terms and Conditions. This Approval and Award of Grant, subject to the Special Terms and Conditions and General Terms and Conditions, shall constitute an ` obligation to make a grant. Such obligation, must be terminated without further cause, if the Grantee fails to sign and return to the'Grantor within forty-five (45) days of approval by the Assistant Secretary, its affirmation of intent as set forth below. ' Dated this r day of ��.�,.�+/1 D1J� 1993. Wilbur F. Hawkins Acting Assistant Secretary for Economic Development 94- 100 - 2 ' Project No. 04-59-03969 II. PROJECT DESCRIPTION AND BUDGET This grant is made to enable Grantee to renovate a portion of a building to be used as an incubator to house start-up health technology companies. Line Items Amount Administrative Expense (a) Interest $ 25,000 25,000 (b) Other Architectural/Engineering Basic Fees 50,000 Other Architectural/Engineering Fees (a) Tests 10,000 Project Inspection Fees 10,000 (a) Resident Construction and Project Improvement 832,381 Contingencies 47.619 Total Estimated Costs $1,000,000 94-- 100 a { - 3 j, • 1 Project No. 04-59-03969 III. ADDITIONAL TERMS r A. PROJECT DEVELOPMENT TIME SCHEDULE: The Grantee agrees to the following project.development time schedule: Time allowed after Grantee affirmation of grant award for: Start of Construction............. ............... 365 days Construction Period .............................. 18 months Project Closeout - All project closeout documents including. final financial information and any required program reports shall be submitted to the Government not more than ninety days after the date the Grantee accepts the completed project from the contractor(s). The Grantee shall pursue diligently the development of the project so as to ensure completion of the project and submission of closeout documents within this time schedule. Moreover, the Grantee shall notify the Government in writing of`any event which could delay substantially the achievement of the project within prescribed time limits. The Grantee further acknowledges that failure to meet the development time schedule may result in the Government's taking action to _terminate the grant in accordance with the regulations set forth at 13 CFR 305.99(b) and 15 CFR 24.43 (53 Fed. Reg. 8048-9, 8102,_March 11, 1988). ;.�►� B. ENGINEERING CERTIFICATE/CERTIFICATE OF TITLE: The Grantee, prior to solicitation of bids for construction of this project, shall furnish to the Government an acceptable Engineering Certificate showing all lands, rights -of -way and easements necessary for construction of the project along with an acceptable Certificate of Title on said lands, rights -of -way and easements showing good and merchantable title free of mortgages or other foreclosable liens. C. ARCHITECT/ENGINEER AGREEMENT: The Grantee, prior to the disbursement of grant funds, shall submit to the Government for approval an Architect/Engineer agreement that meets the requirements of Section I of the EDA publication, "Requirements for Approved Projects," as well as the competitive procurements standards of Department of Commerce Regulation at 15 CFR Part 24 or OMB Circular A-110, as applicable. The fees for basic Architect/Engineer services shall be a lump sum or an agreed maximum and no part of the fees for other services shall be based upon a cost -plus -a- percentage -of -cost or a cost using a multiplier. 94- 100 - 4 - Project No. 04-59-03969 D. GOALS FOR WOMEN AND MINORITIES IN CONSTRUCTION: Department of Labor requirements set forth in 41 CFR 60-4 establish goals and timetables for participation of minorities and women in the construction industry. These regulations apply to all Federally assisted construction contracts in excess of $10,000. The Grantee shall comply with these regulations and shall obtain compliance with 41 CFR 60-4 from contractors and subcontractors employed in the completion of this project by. including such notices, clauses and provisions in the Solicitations for Offers or Bids as required by 41 CFR 60-4 The goal -for the participation of women in each trade area shall be as follows: From April 1, 1981, until further notice: 6.9'percent All changes to this goal,• as published in the Federal Register in accordance with the Office of Federal Contract Compliance Programs regulations at 41 CFR 60-4.6, or any successor regulations, shall hereafter be incorporated by reference into these Special Terms and Conditions. Goalsfor minority participation shall be as prescribed•by Appendix B-80, Federal Register, Volume 45, No. 194, October 3, 1980, or subsequent publications. The Grantee shall include the "Standard Federal Equal Opportunity Construction Contract Specifications" (or cause them to be included, if appropriate) in all Federally assisted contracts and subcontracts of this project. The goals and timetables for minority and female participation may not be less than those published pursuant to 41 CFR 60-4.6. (2 SCLOSURE OF FEDERAL PARTICIPATION: In compliance with. ction 623 of Public Law 102-393, no amount of this grant all be used to finance the acquisition of goods or services ncluding construction services) for the project unless the antes agrees to: specify in any announcement of the awarding of the contract for the procurement of the goods and services involved (including construction services) the amount of Federal funds that will be used to finance the acquisition; and express the amount announced pursuant to paragraph (1) as a percentage of the total cost of the planned acquisition. The foregoing requirements shall not apply to a procurement for goods or services (including construction services) that has an aggregate value of less than $500,000. 94— 100 1 . F. G. - 5 - Project No. 04-59-03969 DRUG -FREE WORKPLACE ACT: The Grantee understands that it is subject to the Drug -Free Workplace Act of 1988, Public Law 100-690, Title V, Subtitle D, and 15 CFR Part 26 (55 FR 21678, May 25, 1990) for projects approved on or after. March 18, 1989. DOC COMMON RULE: On March 11, 1988, the Department of Commerce published regulations, (15 CFR Part 24) 53 Fed. Reg.: 8048, 8087-8103, effective October 1, 1988, prescribing requirements previously prescribed pursuant to Office of Management and Budget (OMB) Circular A-102. Any reference, therefore, to OMB Circular A-102 contained in these Special Conditions or in the General Terms and Conditions of the Grant Agreement, means Department of Commerce Regulation at 15 CFR Part 24. H. NEW RESTRICTIONS ON LOBBYING: This grant is subject to Section 319 of Public Law 101-121, which added Section 1352, regarding lobbying restrictions, to Chapter 13 of Title 31 of the United States Code. The new section is explained by the U.S. Department of Commerce in an "Interim Final Rule," 15 CFR, Part 28 (55 FR 6736-6748, 2/26/90). The Grantee and subrecipients are generally prohibited from using Federal funds for.lobbying the Executive or Legislative Branches of the Federal Government in connection with this grant. The Grantee shall require each person who requests or receives from the Grantee a subgrant, contract, or, subcontract exceeding $100,000 of Federal funds at any tier under this grant, to file a Form CD-512, "Certifications Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion - Lower Tier Covered Transactions and Lobbying" and, if applicable, a Standard Form-LLL, "Disclosure of Lobbying Activities" regarding the use of any nonfederal funds for lobbying. The Grantee shall file and shall further require each subgrantee, contractor, or subcontractor that is subject to the subrecipient Certification and Disclosure -provision of, this Special Condition to file a disclosure form at the end of each calendar quarter in which there occurs any event that requires disclosure or that materially affects the accuracy of the information contained in any disclosure form Previously filed by such person. Disclosure forms shall be handled as described above. An Indian tribe or organization that is seeking an exclusion from Certification and Disclosure requirements must provide (preferably in an attorney's opinion) EDA with the citation 04- 100 s. i -6-- Project No. 04-59-03969 of the provision or provisions of Federal law upon which it relies to conduct lobbying activities that would otherwise be subject to the prohibitions in and to the Certification and Disclosure requirements of Section 319 of Public Law No. 101-121. I. FIRST PRIORITY UNSUBORDINATED LIEN: It is agreed that Part B, Section 2 of the General Terms and Conditions for Construction Components of Title IX Implementation Grants, which requires that EDA be granted a first position, unsubordinated lien against property acquired or improved with grant funds, is waived. It is further agreed that in lieu of this waived',condition, the following Special Condition (J.) applies to this grant. J. COVENANT OF PURPOSE, USE -AND OWNERSHIP: The Grantee agrees that for 25 years from the date of completion, which is acknowledged to be the useful life of this Project, the sale, lease, transfer, conveyance, or mortgage of any interest in the real property acquired or improved in whole or in part with the funds made available through this grant, without the prior written approval of the Assistant Secretary of Commerce for Economic Development, is not an authorized use of such property under this grant, as provided in the Code of Federal Regulations, Title 13, Part 314 (13 CFR Part 314). The Grantee further agrees that in the event it uses the property other than as authorized under this grant, without the prior written approval of the Assistant Secretary, the Grantee will compensate the Government in the amount of the Government's fair share of the property, as provided in the Code of Federal Regulations, Title 13, Part 314 (13 CFR 314). The Governments's fair share is that percentage of the property's value (as of the date of sale, lease, transfer., conveyance, mortgage, or unauthorized use) attributable to the EDA grant, multiplied by the current fair market value of the property at the time of unauthorized use. The Grantee further agrees that, as a prerequisite to accepting the disbursement of any grant funds by EDA, the Grantee shall execute and place of record, against the property acquired or improved in whole or in part with the funds made available through this grant, a Covenant of Purpose, Use, and Ownership stating the substance of this condition. EDA will in its sole discretion determine whether the Covenant is satisfactory, and EDA may require an opinion of counsel for the Grantee that the Covenant is valid and enforceable according to its terms, and has been properly 94- 100 t - 7 - Project No. 04-59-03969 recorded. In the event of breach of any of these covenants for which the government seeks compensation as provided . herein, Grantee on behalf of itself and successors shall guarantee payment thereof. f K. FLOOD INSURANCE: In accordance with.the flood insurance purchase requirements of Section 102(a) of the Flood Disaster Protection Act of 1973 (P.L. 93-234), the Grantee shell submit to the Government, prior to the disbursement of funds, a copy of the flood insurance policy covering the insurable' portions of the project. L. ENVIRONMENTAL: The Grantee, prior to the start of construction, shall furnish to the Government satisfactory evidence that all asbestos materials have been contained within the subject property in accordance with the National Emission Standards for Hazardous Air Pollutants (NESHAPS). M. NAME CHECK REQUIREMENT: The name check requirement applies to nonprofit and for -profit organizations. Both officials:of state and local governments and officials of accredited colleges and universities who are acting on behalf of their. 'respective entities in applying for assistance are exempt from the name check requirement. In addition, -all elected officials of state and local governments who are serving in other capacities when applying for assistance are exempt. 1. The Government reserves the right to take any action affecting this award if, as a result of the name check review, either subsequent to granting of the award or acceptance of the award, one of the following occurs: (a) The Grantee fails to identify, and to submit Form CD-346, "Identification - Applicant For Funding Assistance," or, when required, Form FD-258; "Applicant Fingerprint Chart," for each of the following key individuals: (i) Sole proprietorship - the proprietor; (ii) Partnership - each partner (general and limited) (For Certified Public Accounting firms, only those individuals who have authority to speak for and/or commit the Grantee in the management of the award and/or expend funds are subject to the name check review.); �4_ 100 r 8 - Project No. 04-59-03969 (iii) Corporation each officer; each individual owning or controlling at least 20 percent of the enterprise; the chief financial manager; the project manager; and any other person or entity who has authority to speak for and/or • commit the Grantee in the management of the award and/or expend funds; (iv) Joint venture - each officer of each company in the joint venture; each individual owning or controlling at least 20 percent of each company in the joint venture; the chief financial manager of each company in the joint venture; the project manager; and any other person or entity who has authority to speak for and/or commit the Grantee in the management•of the award and/or expend funds; and; (v) Nonprofit organization -executive director, project manager, chief financial manager and any other person or entity who has authority to speak for and/or commit the Grantee in.the management of the award and/or expend funds. (b) The Grantee, key individual, or any other person associated with this award made an incorrect statement or omitted a material fact on the form CD-346 or form FD-258; (c) Significant adverse findings result from the name check review that reflect on the integrity or responsibility of the Grantee and/or key individual. 2. In the event of a significant adverse finding, the Government, at its discretion, may take one or more of .then following actions: (a) Terminate the award immediately for cause; (b)' Require the removal from association with the management and/or implementation of the project of any person or persons, and if appropriate, to require that the Government be afforded the right of final approval of any person or persons to replace any individual removed as a result of this condition; (c) Make appropriate provisions or revisions at the Government's discretion with respect to method of payment and/or financial reporting requirements. 44- 100 ............... k 'ror 'the purpose o,"`these General Terms and G editions, (a) the •' •.;+'term "Government" - @Cerr, to the Economic Development Administr8� �tion: (b) the ter Secretary" refers to the Assistant ,Secretary of Commsrcc for Economic=Development: and, (c) the iet rm,"Grantee" refers to the undersigned recipient of .,Governmental funds under the agreement to which this is an attachment Made a part thereof. The work, the facilities 'Iand/or-.the property, real or personal, which is financed wholly t6r in part by the Government hereby will be referred to as "the r " ,project. ;4't`he Public Works and Economic Development Act of 1965, 'and its .1. mendmenta are hereinafter referred to as P.L. 89-136, as .amended. •Some -of. the terms and conditions herein contain by- reference nor substance a summary of the pertinent- statute or regulations published in the'Code_of Federal Regulations. To the extent - �...w�.r..�r..r.r��r•..w wry r�.�.r.r.. •;that it is a summary, such term or condition is not in Merogation of, or an amendment to, the statute or regulation. LA11`statutes or regulations whether or not referenced herein are to be applied as amended on the date they are -administered. A. Statutory Requirements The Government shall be under no obligation to disburse funds unless the Grantee is in compliance with the following requirements: 1. The Grantee shall comply, .and require each of its .., contractors and subcontractors employed in the completion of the project to comply with all applicable Federal,'State. Territorial: and local r!; laws, and in particular the following Federal laws and '1~ regulations issued thereunder: a. The Davis -Bacon Act, as amended (40 USC 276a (5) _ (42 USC 3222, as amended) ) b. The Contract Work Hours Standards Act, as amended (40 USC 327-332) s c. The Copeland "Anti -Kickback" Act, as amended. (40 USC 276.(c) s 18 USC 874) d. .Title vi of the Civil Rights Act of 1964, as amended (42 USC 2000d-2000d-4) and Executive Orders 11114, 11246, and 11375, and specifically the following .._ 100 ,kill uiantee will Incorporate or cause to t incorporated into f any .contract'[iconstruction work, or modification 'thereof, as defined in the rules and regulations of the president's `.'.." committee on Equal Opportunity, which is paid for in whole or ° In ;'part with funds obtained from the Federal Government or borrower 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, clauses "During the performance of this contract, the contractor agrees as followss (1) The contractor will.not discriminate a3ainst any employee oe applicant for employment because of race, colort religion, sex, 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'or national origin. Such action shall include, but not be limited to the following: employment, upgrading, demotion, or transfers recruitment or recruitment advertisingt 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. (2) The contractor will. in ail solicitations or aivertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will recelve consideration L•or employment without regard to race, color, religion, sex or national origin. (3) The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract of understanding, a notice to be provided by the agency contracting officer,. advising the labor union or workers" representative or the contractor's commitment under Section 202 of Executive order No. 11246 of September 24, 1965s and shall post copies of the notices inconspicuous places available to employees and applicants for employment. �4-r .1,pp (4) The contractor will comply with all 2 provisions of Txecutive order Ito► 1124G of September 24, 1965, and of the rules, regulations, and relevant orders and amendments of the foregoing, of : the Secretary of Labor. ' (5) 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, and -amendments of the Coragoinq, of the Secretary of Labor, and will permit access to his books, records, and accounts by the Government and the Secretary of Labor for purposes of investigation to r 'ascertain compliance with such rules, regulations and orders. (6) In the event oC the contractor's non— compliance with the'nondisc:imination clauses of this contract or with any of such rules, regulations, or orders, this contract may be cancelled, terminated or suspended in whole or in part and the •contractor. inay be declared ineligible for further Government ' contracts in accordance with procedures authorised in Executive Order No. 11246 of September 24, 1965, and such other sanctions may be imposed and remedies ' .invoked"as provided in Executive order No. 11246 of September 24, 1965, or by rules, regulations, orders,. and amendments of the foregoing, of the Secretary of Labor; or as otherwise provided by law. a (7) The contractor will inclurle the provisions of paragraph (1) through (6) in every subcontract or purchase order unless exempted by rules, -regulations, • _ ar orders of the.Secrjetary 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 the.Government may . direct as a means of enforcing such provisions including sanctions for noncompliance: Provided, however, that in the event that the contractor becomes: involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the Government, the contractor may request the United States• to enter into such litigation to protect the interest of the United States." Q4— 100 The Grantee 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 'Grantee so participating is a state or local government, the above equal opportunity clause is not; Applicable to any agency,.instrumentality or subdivision of such government which does not participate in work on or under the contract. r ,5 The Grantee 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 Government that it will furnish the 'Government such information as they may require For the supervision of such compliance, and that it will'.otherwise assist the Government in the discharge of.its primary responsibility for.s.ecuring compliance: The.Crantee further agrees that it will refrain from entering into any contract or,contract modification subject to Executive Order 11246 of September 24, 1965, with a contractor debarred from, or who has n®t demonstrated eligibility for, Government contracts and. 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 lit subpart D of the Executive Order. in addition, the Grantee agrees that if it fails or refuses to comply with these undertakings the Government may take any or all of the following'' actions: cancel, terminate, or suspend -in whole or in part this grant; refrain from extending any further assistance to the Grantee under the program with respect to which the failure or refusal occurred until satisfactory assurance of future compliance has been received from such Grantee; and refer the case to the Department of Justice for Appropriate legal proceedings. e. Prior to advertising for bids on the construction of the Project# the Grantee will submit a "Certiii- cation of Nonsegregated Facilities" as required by the Pj4.� 100 5 D . `., • • May 9 r 1967, order (32 P.R. 7439, May 19, 1967) on ' Elimination of Segregated facilities, by the secretary • of Labor, agreeing to provide prospective conskruction. contractors on the Project with the following notices i, "NOTICE TO PROSPECTIVE FEDERALLY ASSISTED r CONSTRUCTION CONTRACTORS i A certification of Nonsegregated Facilities, as required by the May 9, 1967, order (32"F.P.. 7439. ? May 19, 1967) on Elimination of Segregated Facilities1. by the, Secretary. of Labor# must be submitted prior to . the award of a Federally assisted construction _ contract exceeding $10.000 which is .not exempt From .; the provisions of the Equal Opportunity clause. ' Contractors receiving Federal assisted construction contract awards exceeding $10,000 which are not exempt .'� from the provisions -of the Equal Opportunity clause o' will be required to provide for the forwarding of the Following notice to prospective subcontractors for :• supplies and construction contracts where the . _ subcontracts exceed $10#000 and are not exempt from •the provisions'of the Equal Opportunity clauses fi NOTICE TO PROSPECTIVE SUBCONTRACTORS OF REQUIREMENT FOR CERTIFICATIONS OF `• NONSEGREGATED FACILITIES ' A certification of: Nonsegregated Facilities, as required ,by the May 9 e 1967, order (32 F.R. 7439. . May'190 1967) on Elimination of Segregated Facilities by the Secretary of Labor, must be submitted prior to the -award of a subcontract exceeding $10000 which is .;, ne't exempt from the provisions of the Equal ' opportunity clause. Contractors receiving subcontract awards exceeding S10,000 which are not exempt From the provisions of the Equal Opportunity clause will be required to provide for the forwarding of this notice to prospective subcontractors for supplies and , construction contracts where the subcontracts exceed $10,000;apd are not exempt from the provisions of the Equal. Opportunity clause." , �� - 100 S f. if the Project includes sewer or other waste ' disposal Facilities, no Government funds will be disbursed• unless the Environmental Protection Agency issues a certificate as required by Section 106, P.L. 89-136, g. The Grantee shall file the certification wind • agreements required by section 711, P.L. 69-136, as amended# 13 CPR 309.7, as amended. h. Public Law 90-480, as amended, and the ' regulations issued thereunder (13 CPR 309.14), prescribing standards for the design and construction of any building or facility intended to be accessible ,,• .` to the public or which may result in the employment of �• handicapped persons therein. t No person in the United States 'shall on the ground of sex be excluded from participating in, be 4,'; - denied the benefits oft or be otherwise subject to _: discrimination in -connection with this 'Project (Section 112 of P.L. 92-65 F amended j 13 CPR Part 311).9 j. Pursuant to Section 504 of the Rehabilitation Act .4 :. of 1973, the Grantee must provide fair and equitable r treatment for. the handicapped. The recipient will :N comply with the Department of Commerce regulation. 15 �•:;•,` CPR Part 8b, implementing Section 504. This regula- tion protects the rights of handicapped persons and t,! establishes a mandate to end discrimination. •°.,. k. The Grantee hereby covenants and agrees to be •• bound by Title 1S CPR Subtitle A, Part 6 (Noll- : Discrimination in Federally Assisted Programs, _• U. S. Department of Commerce), as amended# and by Title 13 CPR Part 311. 1. Age Discrimination Act: The Grantee agrees to t�= ' abide by the regulation of the Department of Commerce pursuant to the provisions of the Age Discrimination •s• :�i: ,Act of 197S (1S CFR Part 20) . The regulation ,. prohibits discrimination on the .basis of age in _ `•'•' programs or activities receiving Federal financial • iss•istance. •• • f=, 04-• 100 } .m. The Grantee hereby agrees that no Funds made available from this grant shall be used, directly or indirectly, for paying attorneys' or consultants' fees f; In connection with securing grants made by ZDA, such as, for example, preparing the application foe this assistance. However, attorneys' and con sultAntal fees incurred for. meeting grant requirements such as, for' '.� example, conducting a title search, or preparing plans' ;• and specifications, may be eligible project costs and • i may be paid out oVkunds made available from this grant provided such'costs are otherwise eligible. c t The Grantee agrees to comply with theirequirements i of the Uniform Relocation Assistance and Real property ' -Acquisition Policies Act of 1970, P.Y.. 91-646, as amended (42 U.S.C. 4601, et seq.); and 49 CFR Part 24. • o.• the Grantee agrees to comply, and require each of its contractors and subcontractors ;to comply with 'all applicable standards, orders, or regulations issued pursubnt to the Clean Air Act, as amended' (42 USC 1857) and Executive Order 11738; and the • :•• Federal:Water Pollution Control, Act, as amended (33 USC,1251), and to*report all violations thereof'to r. �' •• the Environmental Protection Agency and to EDA and. Specifically to comply with the• following: • . • Vor the purpose of this paragraph, the following definitions apply: ' 1� (a) The.term "Recipient" means the Grantee. (b) The term "facility" means .(a) any building.,. plant, installation,, structure, mine. vessel or other -.floating craft, location or site of ' operations (b) owned, leased, or supervised (e) by the •�� Recipient' or its contractors and the latter subcontractors (d) for the construction, supply and service contracts entered into by the Recipient for ' • the purpose'of accomplishing this Projects (2) ';The Recipient agrees to comply with rederal clean air .a•nd water standards during the accomplishment of this Project and specifically agrees to the follecwing: ;.. Page Relision 8-1.90 100 5 w (a) that any facility to be utilized in the ' ' accomplishment of this Project is not listed on the Environmental Protection Agency's (EPA) List- o'f. Violating Facilities pursuant to 40 ;CPR, part'15,20= (b) That in the event a facility utilized • in the accomplishment of this Project becomes listed on the EPA List, the Government may, inter alia, cancel, terminate for default, or suspend for such failure, in whole or in part, the agreement= (c) that it will comply with all the requirements of Section 114 of the Clean Air Act and ' Section 308 of the Federal Water Pollution Control Act relating to inspection, monitoring, entry, reports, and informations as well as all other requirements specified in Section 114 and Section 308, respectively, and all regulations and guidelines issued thereunder) j (d) that it will promptly -notify the Government of the receipt of any notice from the Director, Office of Federal Activities, Environmental Protection Agency,indicating that any facilities utilized or to.be utilized in the accomplishment of this Project is under consideration for listing on the EPA List, of violating Facilities. (e) that it will insect in any of its contracts and require insertion in subcontracts entered - into for the purpose of accomplishing this. Project# unless otherwise exempted pursuant. to the EPA ' regulations implementing the Air or Water Act (40 CFR, Part 1S.S), provisions which shall include the criteria and requirements set forth in this paragraph, including this subparagraph (e); (f) that in the event that either the ,'' '• Recipient or its contractors or the latters' ,:• subcontractors for the construction, supply and .:.. •r• service contacts entered into by the Recipient for the ;' purpose.of.accomplishing this Project were exempted from complying with the above subparagraphs under the provisions of 40 CFR, Part 15.S(a),,the exemption -shall be nullified should the facility give rise to a •:• criminal conviction (See 40 CFR, Part 1S.20) during iy:.i• �4� •100 e. the accomplishment of this Project. Furthermore, With the nullification of the exemption, the above sub- -paragraphs shall be effective. The Recipient shall notify the Government, as soon as the Recipient's, its contractors' or the latters' subcontractorla facility ' is listed For having given rise to a, criminal i conviction noted in 40 CPR, part 15.20. , P. The Grantee hereby agrees 'to comply with the .; requirements of all pertinent rules and regulations issued under and pursuant to the National Environs �• , mental' Policy Act of 1969 (P.L. 90-190) t the National •_' Historic Preservation Act of 1966 (60 State 915. 16 ' USC 470) 1 Executive Order No. 11593 of May,31., 19711 and the Wild and Scenic Rivers Act (P.L. 9d-W)r as amended. Cl The Project will not cause or be a.hazard as a' result of Flood as required by Executive Order 11296. .� The Grantee will fulfill any flood insurance require- ments under the Flood Disaster protection Act of 1973 (P.L. 93-234, 87 Stat. 975) a$ amended, and any ' -regulations issued thereunder by the U. S. Department ' of Housing and Urban Development and/or the Economic Development Administration (13 CPR 309.is) • r. The Project shall not include any facilities for the generation, transmission or distribution of electrical energy or the production or transmission of gas (natural, manufactured.or mixed). .,, s.-' The Grantee warrants that the Project will be properly and efficiently administered, operated and • maintained as required by Section 604, P.L. 89-136. • ;�': Prior to construction completion, the Grantee shall submit evidence. satisfactory to the Government that sufficient funds are available for requisite capital expenditures necessary to commence operations and to ` administer, operate and maintain the Project for its useful life. ' 20 if.compliance with any of the provisions of this Agree- ment would require the Grantee to violate any appli- cable Federal', - State or Territorial law, the Grantee shall', as soon as possible, notify the Government, in, 094- 100 10 writing so that appropriate action may be taken by 'the i Government to allow, if possible, the Grantee to proceed as soon as possible with construction of the" Project. 3. The employment of all laborers and mechanics, including apprentices and trainees, as defined in Parts 31'St and Sat Subtitle A, Title 29. Code of Federal Regulations, as amended, shall be applicable to every invitation for bids, and to every negotiation, request for proposals, or request for quotations, for ` construction contracts. and to every such contract . entered into on the basis of such invitation or -,.. negotiation. Part Sao 3, Subtitle As Title 29, Code of Federal Regulations shall constitute the conditions of each contract in excess of $10000, and each Grantee and contractor shall include•. these conditions or provide for their inclusion, in each such contract. Parts Sao. 4, Sao S, Sao 6,and Sao 7 shall ,�•.,. �. also be included in each such contract for the ' X. ' information of the contractor. Apprentices and trainees shall be hired in accordance with the require" ments of Part Sao Be GENERAL REQUIREMENTS •' 1. Prior'to any solicitation of bids for construction -' work or whenever and so often as the Government ; U requests: a. The . Government may require the Grantee to obtain '_•x,: j in addition to any other steps required by the Agree- ment, approval by the Government of'(i) its final '•: plans and specifications and (ii) the bidding _proce- ; .- •� ' dures for all construction work and for all material c and equipment acquisitions.'•�'•`r� ••; • •,: be The Government may require the Grantee to furnish s evidence satisfactory to the Government that: (1) the Project costs are reasonablet, , (2) it has sufficient funds in addition to the funds_ provided by the Government to complete the Project, including interim financing, if any; 94 too It 4 . t 3 t3) It has obtained, or can obtain, all' land, rights.-ofway, permits, franchises and all Federal, ' 'State and local coordinations and approvals necessary to the completion of the Project, and in all other respects has complied with pertinent Federal, State or . local laws; and, (4) its agreement with an architect/engineer for design and other services specifies a fixed or maximum fee for basic Services. Basic Services are described. in the booklet, Requirements for Approved projects, issued to all Grantees. Grantee expressly agrees to grant to EDA a'•first '• . . i it b ' . •'' t �r or y unsu ordinated lien against, -or security Lnterest in, the property acquired or improved in +hole or -in part with the funds made available through 6his Award- and Approval of Grant. This... -lien or ;ecuri.ty interest must be perfected in accordance with Local law. EDA will, in its sole discretion,. '•• determine whether the lien or security interest which has been granted to EDA is satisfactory, and it may require an opinion of counsel for the Grantee to substantiate that the lien or security interest hes been properly recorded. The Grantee further agrees that in the event that it alienates in any manner, any interest in the real property acquired or improved with EDA grant funds, EDA shall be entitled to recover damages. FDA's regulation at 13 CPR S314.A provides that upon disposition of property acquired or improved with EDA grant funds, EVA shall be entitled to a recovery, based upon the ratio of the percentage of EDA's participation in the total cost of the project o the fair market value of the property at the time of the disposition. For the purposes of the lien, the' amount or EDA's damages shall be the full amount of EDA's grant, plus interest from the date of the disposition. This lien must remain in effect through the useful life of the project as defined in �l3CPR S314.6 (a) . Alienation shall include, but not f'+e limited to sale, lease, rent, option or mortgage. 3. The Grantee shall perform all construction work and make all material, equipment, and any other'property acquisitions by contracts or documents for which prior approval by the Government maybe required. 24- 104 H t �r or y unsu ordinated lien against, -or security Lnterest in, the property acquired or improved in +hole or -in part with the funds made available through 6his Award- and Approval of Grant. This... -lien or ;ecuri.ty interest must be perfected in accordance with Local law. EDA will, in its sole discretion,. '•• determine whether the lien or security interest which has been granted to EDA is satisfactory, and it may require an opinion of counsel for the Grantee to substantiate that the lien or security interest hes been properly recorded. The Grantee further agrees that in the event that it alienates in any manner, any interest in the real property acquired or improved with EDA grant funds, EDA shall be entitled to recover damages. FDA's regulation at 13 CPR S314.A provides that upon disposition of property acquired or improved with EDA grant funds, EVA shall be entitled to a recovery, based upon the ratio of the percentage of EDA's participation in the total cost of the project o the fair market value of the property at the time of the disposition. For the purposes of the lien, the' amount or EDA's damages shall be the full amount of EDA's grant, plus interest from the date of the disposition. This lien must remain in effect through the useful life of the project as defined in �l3CPR S314.6 (a) . Alienation shall include, but not f'+e limited to sale, lease, rent, option or mortgage. 3. The Grantee shall perform all construction work and make all material, equipment, and any other'property acquisitions by contracts or documents for which prior approval by the Government maybe required. 24- 104 H 12 - 4.• The Grantee and Grantor shall accept and apply the , standards and provisions, as applicable, set forth in Office of Management and Budget Circular No.' A•102, Revised (OM13 Circular No. A-102), "Uniform •• Administrative Requirements for Grants -in -Aid to State and Local Governments," and OBM Circular No. A-110, "Uniform Administrative Requirements:. Grants and Agreements with Institutions of Higher Education, Hospitals and Other Nonprofit Organisations". In the event of conflict between the above OMB Circulars an4 enabling legislation, the latter shall prevail. 5o in accordance with OMB Circular No. A-102,, Attach- ment B•, or OMB Circular No. A-110, Attachment He the •' Grantee shall follow its own requirements relating to ' bid guarantees,•performance bonds, and payment bonds .•�: ' unless the construction contract or s'ubcontcaet exceeds s100,o00. For those contracts.or subcontracts �• exceeding 1100,000, the Federal agency may accept the bonding policy and requirements of the Grantee • provided the Federal agency has made'a determination'. ' that the Government's interest is adequately ' protected. if such a determination has not been made, the minimum requirements shall be as follows: .:^r a. • A bid guarantee from each bidder equivalent to five percent of the bid price. The -"bid guarantee" •�: shall consist of a firm commitment such as a bid bond, •:� certified check, -or other negotiable instrument accompanying a bid as assurance that the bidder will, upon acceptance of his bid, execute such contractual documents as may be required within the time specified..��. b. A performance bond on the part of the contractor ' for 100 percent of the contract price. A "performance bond'" is one executed in connection with a' contract to secure fulfillment of all the contractor's obligations ' l4.�•;; under such contract. • Co A payment bond on the part of the contractor for •' :. 1.00 percent of the contract price. A "payment bond" ;,�: is one executed in connection with a contract to • �:•_•• as.suce payment as required by law of all persons supplying labor and material in the execution of the work .provided for in the contract. 94- 100 _0-94 THU �3,.- �8 13 .. r • 5. , The Granter agrees that it will not, without they.. pr for written consent' of the Government, order oC permit Any ' change in the Final plana and specifications which would entail any substantial, variance in tho projeot`l .,, or increase the cost thereok, ?. The Grantee shall provide and maintain on its behalt competent and adequate architectural or engineering • services to design and supervise the development and •' construction of the Project •'.��� � 0, The Grantee shall establish a Project bank account or accounts satisfactory to the Government, into which shall be deposited funds for the financing of the ' Project. 01sbursaments from the Project bank - • . account (O shall be for the purposes and within the amounts for each 11na item in the approVeid project t budget except as otherwise speciCLcail1y'-auth$rixe4 by the Gov$rntnent. The Government reserves ,the right to require the prior 6pproval of disbursements Xrom the . ,+ Project bank account. (Not applicable to State 99 • local Governments. , 9� The Grantee shall cause to be erected at the site of the Project, and maintained during construotiON signs: ; satisfactory to the Government identifying the Project . and indicating the fact that the Government is participating in the development of the Pra5e0t, 100 The Grantee agrees that it will not without the prior written consent of the Government, order or parn►it the. total incurred cost to exceed any' of the line items in the coat estimates approved by the Government for the 1].. The Grantee shall, include in All contracts anti subcontracts, in language aceoptable to the Governtnantr provisions requiring the maximum feasible employment ,of local labor for work which io or reasonably may be clone as on -site work and shall take reasonable steps to assure continuing compliance with , such contract provisions• , i } 4� 100 12. The Grantee shall establish, maintain And preserve, • and require each of its contractors and subcontractors to establish► maintain and preserve property management, project performance, financial management and reporting documents.and systems, and such other books, records, , and other data pertinent to the Project as the Government may require. While such records shall be retained for a period of -three years following receipt of final payment by the Grantee, derailed exceptions are stated in 13 CPR 309.9. 13. The Grantee shall require that each of its contractors and subcontractors render to the Government and the General Accounting Office the right to inspect and monitor all work► materials, payrolls, records and • personnel, invoices and other relevant data and • records pertaining to the development and construction of the Project. 14. The Grantee covenants that each of :•its officials or employees having custody of the Project funds during acquisition, construction, development and operation shall be bonded at all times in an amount at least equal to the total Funds in his custody at any one , time; provided that if the Grantee is a State or local unit of Government, the Bond shall be in such amount as nocinally required by such body. is$ The Grantee shall carry insurance, and require each contractor and subcontractor to carry •insurance, ;of such types' and in such amounts as the Government may specify, with insurance carriers acceptable to the Government; provided that if the Grantee is a State or local unit of Government the insurance requirements normally required by the State or local units of Government will prevail. 16. The Government reserves the right to require the Grantee to submit, prior to the commencement of construction, an independent appraisal. or appraisals by an appraiser or appraisers acceptable to. the Government of the current fair,market value of -any or all of the land and facilities (including buildings, - machinery and equipment) to be included as pant of the ' aggregate cost of the Project. 04—• 100 .. a • i • - 15 17. The Government reserves the right to suspend the i •_ grant, and withhold further payments, or prohibit the .�.» Grantee from incurring additional obligations, pending i . corrective action by the Grantee or .a decision by the .I _.• Government to germinate the grant unless the Project is completed to the satisfaction of the Government. i 16. Costs for interest during the construction period shall not include any interest on borrowed funds. in ' -excess of the .amount needed to pay current project costs. • • `''`• 190 Funds will be made available by way of a check drawn on ; the United States Treasury in accordAnce with all provisions of the grant and all applicable requirements of '.� the U. S. Government including particularly, but . not limited to, OMB Circular No. A-1020 Revised or OMB Circular No. A-110 and OMB Circular No."A-81. The Grantee agrees to request a Treasury Check only to meet actual 'immediate disbursement needs. ,Immediate disbursement ' ' needs are determined as of the latest practical point for ' the Grantee's payment of eligible costs. 20. Disbursement of Funds by the Government. does. not constitute its acceptance of any items -as an eligible Project cost until all, Project costs have been audited anti determined to be reasonable by - the Government* 21. If the actual costs of the Project are -less than the estimated costs, the grant will be reduced .ter the • `` extentnecessary to comply with the .percentage "• limitation sett forth in the Grant Agreement. 220 The Grant Administrator (GRA) , an named in the Special Terns and Conditions, is responsible -Cot the administration of the grant and liaison with the Grantee. The.GRA is also responsible for evaluating the operation of this grant as performed by the - Grantee, and for the acceptance of ail work required under the Grant Award and Terms and Conditionse including the approval of any and all reports and such PaSe Revision 6/13/90 94— 100 . , • other specific responsibilities as.are stipulated in various terms of the graht. The GRA is not authorized to make any commitments, otherwise obligate ,the • .; Government, or authorize any changet that affect the ~'•,' -grant amount, terms or conditions.. Such changes shall `_• be made only with the expressed prior authorization of the Assistant Secretary for Economic bevelopment, or .,. , his designated representative, to be accompllshed•by a written Approval and Award of Grant Amen4ment. , 230 The Grantee shall submit annual reports for each year •. that the assistance continues commencing' -the date this Award is accepted and for one (1) year 'thereafter 14; indicating the status of all activities funded by the grand the costs incurred for each completed and/or alit. partially completed activitye and any, operational costs of .activWes t the degree to vh'ich the :• activities have achieved their goalst,and the overall ►.. effectiveness of the -economic assistance provided in meeting the adjustment needs of the' area. These, reports shall be in accordance with the requirements ' of Attachments H and x 'of OMB Circular No. A-102e as :'•. . amended. Reports shall be submitted to the GRA at the address shown on page one of the Special Terms and Conditions. An information copy of all reports shall t� also be submitted to the Director, Economic Adjustment ; Division, Economic Development Administration; V. S. Department of Commerce, HCHD 7327, 14th and Constitution Avenue, N. W., Washington, Do Co 20230. °*'•� ''� in addition, the Grantee agrees to inform the •'`' Government if events occur which have a significant Impact upon the Project, whether positive or negative +s=; 1n nature. ti:..... 24:. A. The Government shall have the right to terminate A • for cause all or any part of its obligation hereunder (1) Any representation made by the Grantee to y, the Government in connection with the application for :••:' Government assistance shall be incorrect or incomplete ;:' •� In any material respect. (2) The Grantee falls to comply with the essential condition of this Agreement, or that It shall not diligently pursue the development of this ' 94- 100. , -•� 17 T Project to ensure completion. it is expressly ;. ,understood and agreed that the Grantee shall notify � the Regional Director ;in the event -delays occur which ' t �•. substantially affect the accomplishment of the' Project. (3) The intent and purpose of the Project is ..'�'. changed substantially so as tosignificantly affect • the accomplishment of the Project as intended. <!' (4) The Grantee has violated commitments made by I• it in its application and supporting documents cc has ' violated any of 'the terms or conditions of this -• Agreement. (5) Any official, employee, architect; attorney,' ' engineer or inspector of or for the Grantee or any. �. Federal, State or local official or Kep'resentative, ,;•• becomes directly or indirectly interested financially • in the acquisition of any materials or equipmento or. • in any. construction for -the Project, of in, the . •. furnishing of ;any servide to or in connection with' the _ Project# or in any benefit arising therefrom. (6) The Grantee fails to report immediately to the Government any change of authorized representa- ': r ,five (s) acting in lieu of or in behalf of the Grantee.. 25. B.. The obligations hereunder may be terminated For ' convenience ifs (1) Both the Grantee and the Government agree that continuation of the Project would not produce ben£lcial results commensurate with the further . expenditure of funds. (Z) Both the Grantee and the Government shall agree.upon:the termination conditions, including the effective date and, in the case of partial ' terminations, the portion'to be terminated. • •(3) The'Grantee agrees to incur no new ' obligations for the terminated portion after the effective date and to cancel or satisfy all ' outstanding obligations as of that date. 94- 100 Prior to disbursement of any. funds by the Government. 'pursuant to this Award, the Grantee will arrange to ' have all facilities provided in this project, which are financed in whole or in part by Federal funds, covered by a covenant or covenants running with the land on which the facilities are located, binding on successors or transferees or assigness, guaranteeing that those facilities will provide service without discrimination to all persons without regard to their race, color, religion, sex or national origin. The Grantee agrees to comply with the provisions of 13 CPR Part 314 on property management and any -. �:• .amendments thereto, and with any requirements imposed 4 by or pursuant to circulars issued,by OMB and any amendments' thereto* c if the Project includes a water supply system and/or • water facilities, no constructiom.shall be commenced until it has been established to the satisfaction of the Government that the quality and quantity. of water available to the Project is sufficient for the 1 purposes of the Projects provided, however, that If k• the quality and quantity of water available tannob'be �.. determined without the construction of part of the �• Project, the Government may authorize the construction of such pant prior to authorizing construction of the remainder of the Project. '�.�A , The Grantee hereby covenants that in the event it is authorized by the Government to lease any €aeLlities constructed as part of this Project to concessionaires or operators, it will obtain from such concession- aire(s) or operator(s) and submit to the Government ..properly executed -Forms (e.q.o Certificate of -Non-Relocation: Assurances of Compliance with The Department of Commerce Regulations under Title VI of the Civil Rights Act of 1964; and Assurance of Job Opportunities for The Unemployed) prior to completion of the lease agreement(s). The Government may, at its option, require the Grantee to include in the request for construction bids a requirement that each responsive bidder will provide 44- 100 bids on two schedules:, (1) one based on continuing , ,throughout the period of adverse weather, X .construction and (2) one based on the normal shutdown during the %;; same period. The Grantee must reserve -the right to •',' award the construction contract on the basis of the ` low bid on either schedule. •s ' Care must be taken to insure that all work performed ' +:: during the periods of adverse weather are structurally sound and as•durable as work performed under favorable ' weather conditions. The requirement for work during s.•t adverse weather conditions shallbe to stated that the contractor shall not be required to continue work during actual conditions covered by the following weather warnings as issued by the V. S. Weather -. .; Bureau: (1) snow and/or heavy icing,' (2) 'severe : (3) tornado, or (4) hurricane. ,thunderstorms, • 31. Nonexpendable personal property acquired with Government funds will be retained until:,there is no ' longer a need to accomplish the purpose of the ' • Project. After that.time the Grantee shall first use ' such property in other Government projects or secondly a •• in projects of other Federal Governmental agencies] . such other projects being those of the -Grantee t herein. When the Grantee is unable to use the `• �. property as aforesaid the regulations of the Government shall be applied per OMB Circulars A•102, , A-110 or other applicable legal requirements.' Property records shall be maintained accurately and provide for: a description of the property, manufacturer's serial number or other identification •'.; number., percentage of funds used in the purchase of the, property, location, use and condition of the property, and such other data .as may be required per OMB Circulars A-102, A•110 or•other applicable legal requirements. A physical inventory of the property shall be taken, and the results reconciled with the t property records, at least once every two years. A control system shall be in effect to insure adequate safeguards to prevent loss, damage or theft, -any .of which shall be investigated and fully documented. ' 32 i£ construction work is to be performed in a geographical area covered by bid conditions issued by the office of Federal Contract Compliance, the Grantee 0 � 100 2 y ` a,, i shall include such bid conditions as part of its • construction contract, or any modification thereof, in such areas, the Grantee shall also include In contracts for construction work, or any modification thereof, provisions requiring the contractor to report its manpower utilization on a monthly _basis using the latest Optional Form 66, Monthly Manpower Utilization Report. 33. Any program income earned by the Project between the • date of approval and the date of completion shall be ? deducted from'the total Project costs for the purpose • of determining the net costs on which the Federal share of costs will be basedi or added to funds i committed to the Project by the Government and the Grantee and used to further eligible program objectives. ; t 346 The -Grantee shall have the sole authority and full responsibility, without recourse to the Federal Government or any of its agencies, for.the settlement .:. and satisfaction of all contractual and administrative issues arising out of this grant.' i 3S. The Grantee shall submit quarterly performance reports to assure that time . schedules are being met and that projected _work units by time periods are being accomplished. Between required performancereporting dates, Grantee shall inform the Government of all problems, delays or adverse conditions which will materially affect the ability to attain program objectives, 'prevent the meeting of .time schedules and :+ goals, or preclude the attainment of project work units by established time periods. This disclosure shall be accompanied by a statement of the action •,„�' taken, or contemplated, and any Federal assistance ;.•.� needed to resolve the situation. ; 360 The Grantee agrees to' Furnish a copy of the auditor engagement letter upon execution, and . Four copies of the resultant audit report upon issuance, to the .r. Office of Management and Budget (OMB) designated cognizant Federal audit agency. � 94- 100 ; - i • •.•,• - 21 1 �• i �If. the Grantee has no OMB designated cognizant audit • ,,; , Agencyr the copies of the auditor engagement -letter, .." and audit report ahould be sent to the Department of Commerce Regional/District Audit Office responsible ,• +� for Vie area in which the Grantee is located. - j, l = In meeting its audit obligations the Grantee will ;., assure thats " Audits are performed in accordance with the applicable requirements of OMB' Circulars No. A-12 (15 CFR Part 8A) or A-133!* The Grantee agrees that a financial and compliance audit on an .organization -wide `'� 3 .basis will usually be performed annually, but not less i+ frequently than every two years. . • ,. b. Audits are made in accordance with the • •' General Accounting -office Standards for Audit of ;r Governmental or anizations Pro rams, Act v Mes and ,. In Functions, the GuidellmeR For Mmancial- and-Com liance ' Avd PFFederrr7l1y Assisted Programs, any.compl ante • supplements approved by OMB, and generally accepted•. .. auditing standards established by the American Institute of Certified Public Accountants. c. Auditors engaged will meet the qualification requirements -set forth in the -General Accounting Office Standards for Audit of Governmental or anizatons Pro rams Act VI es an Fuhct on5,4n accordance with �* the applicable procurement requirements of Attachment 0 to OMB Circulars 'No. A-102 or A-110.. Nongovernmental auditors must be either independent -certified public accountants or independent licensed.public accountants '+ licensed on or before December 31, 1970. d. The auditor will retain the audit work papery and report•$ for at least three, years from the date of the audit report unless the auditor is r notified in writing by the cognizant Federal audit agency of the need to extend the retention period. The audit work papers, will be trade ,available -upon request ' to the cognizant Federal, audit agency or its designees and the General Accounting Office' or its designees. Pase Revision 5-ZO•-91 *� 15 CFR Parts 8a, 29a, and 29b. 56 FR 15992-15998, 4/19/91 4 _ 100 22 i } e: As required by Department of Commerce ` Administration Order 213•S, Audit Follow-up and Resolut ion, the .Grantee is expected to respond to any t questioned costs and other audit findings and provide additional documentation to support such response Mithin 30 days after the receipt of an audit report from the Office of Inspector General. EDA wil'1 consider any response or documentation received -during this 30-day period in reaching its final determination concerning eligibility of coats t any Grantee response or documentation received by EDA more than 30 days after Grantee receipt of the audit report, and before EDA's final determination, may be considered. FDA's ' final determination shall 'be in -writing and furnished to the Grantee. Actions that result from EDA's finait.:determination such as the establishment of a debt or claim against the Grantee, are not subject to appeal within EDA. f. A final management system will be maintained in accordance with the standards•prescribed in OMB, Circular Noe A-102, Attachments G and P or OM8 Circular Noe A-110, Attachment F, as applieables go Financial records will be retained as well Wall other documents pertinent to the grant in accordance with Attachment C of. OMB Circulars No. A-102 or A-110, as applicable. he Financial reports will be submitted in accordance with the schedule contained in the Terms and Conditions, and in accordance with Attachment N of OMB Circular No. A-102 or Attachment G of OMB Circular No. A-110, as applicable. 370 The Grantee shall notify the Government promptly whenever the amount of the authorized grant, is expected to exceed the needs of the Grantee. ' 38. Except for such aspects as, but not limited to, zoning ' building permits, and recording requirements, this Grant shall be governed by and construed under Federal law. 9'4 — 100 { - 23 ,--, ti � �• 39 By affirming its intention to use the grant awarded, t the Grantee represents that it has not paid, and also, agrees not to pay, any bonus or commission for. the ; ,purpose of obtaining an approval of its application for this assistance. •:400 The Grantee agrees to comply with P.L. 89-136..as k amended, and all regulations issued pursuant thereto, beginning at 13 CPR 30le 11 The Grantee. agrees that the obligations,af the. -Grantee t hereunder shall also be made applicable:to'any sub- grantee or borrower in any agreement by the Grantee to subgrant or lend funds received by the Grantee under r this agreement. 42. No obligations shall be created by Recipient for any purpose pertaining to the operation of -the program or activities for which the funds were awaeded where" the obligation would require performance beyond the expiration date stipulated in the award document. Funds may only be expended -beyond the expiration date for activities such as the preparation of final reports and documents directly associated with the close out' of the award in accordance with OMB Circulars No. A-110 or A•102, and'for obligations •properly created prior to the expiration dated r Verbal or written assurances of refunding shall not constitute authority to obligate -funds for programmatic activities beyond the expiration date. Funds shall not be obligated unless or until an award document is received by the recipient. A t -�nih��! •�, uilul, �atrfy � - 100 • section 3. The City Manager is here -by authorizedZ�, upon approval of said grant, to aooept the same 'and eseoute the '.:.4�e88ary implementing agreement (8). in a f Orm acceptable to the t }. City Attorney. _section 4. Thin Resolution, sball become effective ianmesdiately upon its adoption. PASSIM AM ADOP= this 22nd day of J1,171993. -r--• ZA";'= L. =A= hAYQii ATTBST'" ffiATTY; CITY CLBRK. PMAM 'A= . APP84PM 8Y t 1 .' CAR= L . .JEW A9SISTAn CZTY AT'1an= APP&4''V'8ti A3 M PM AM CQ8R8CT8SSS 40 • ,n A. C= CLL:ra:bss:X374? the 2 w*d a authorization is further subject to compliance Vith asp. re gairements that nay be imposed bg the City Attorney, ag Luau bat not limited to those prescribed by applicable City Charter and Cade provisions. 04_ 100 �✓ herein aathoriratioa is twther snbjeot to oompliaaae with ali regairemeatsthat say be imposed by the City Attorney. i�o].tidiag bat sot limited to those preeoribed by applicable City Charter and Code pro4isioas. 94100,