SUBRECIPIENT AGREEMENT FY 2011-2012 - HOUSING POOL ACTIVITIESCYTY OF CLEARWATER, FLORIDA
AND
CLEARWATER NEIGHBORHOOD HOUSING SERVICES, INC.
FY2011.-2012
SUBRECIPIENT AGREEMENT
(Housing Pool Activities)
THIS SUBRECIPIENT AGREEMENT as entered inta on this lst day of October 2011, by and between
the City oi Clearwater, a Florida municipal carporation, having its principal office at 112 South Osceola
Avenue, Clearwater, Florida, hereinafter referred to as the "City", and the Clearwater Neighborhaod
Housing Services, Tnc., hereinafter referred to as the "Provider" or "Subrecipient", whose principal address
is: 608 Narth Garden Avenue, Clearwater, FL 33755.
WITNESSETH:
'�VHEREAS, the City has entered into an agreement with the U.S. Department of Housing and
Urban Development (HUD) for the purpose of conducting a Housing and Community Development
Program with federal financial assistance under Title I of the Housing and Community Development Act of
1974, as amended, hereinafter called "Act" (42 U.S.C. 5341 et seq.); and the Cranston-Gonzalez National
�tfordable Housing Act of 1990 (42 U.S.C. 12701 et seq.); and
WHEREAS, the City has entered into an agreement with the U. S. Department of Housing and
Urban Development for the purpase af canducting the Community Development Block Grant (CDBG) (24
(CFR 570) ar�d the HOME Investment Partnership (HOME) Pragram (42 CFR 92) with federal assistance
under Title II oi the Cranston-Gonzalez National Affordable Housing Act of 1990, as amended (42 U.S.C.
12701-12839); and
WHEREAS, the City has entered into an agreement with the State of Florida for the puxpose of
conducting the State Housing Initiatives Partnership (SHIP) Program with State of Florida assistance under
the William E. Sadowski Housing Act (Section 420.907 - 420.9079, Florida Statutes, and Rule 67-37,
Florida Administrative Code (FAC)) which was signed into law on July 7, 1992; and
WHEREAS, the City has determined thraugh its Fiscal Year 2011-2016 Consolidated Plan and
FY2�11-2Q12 Consalidated Action Plan, which was adopted an July 21, 2011, the necessity for praviding
affordable housing opportunities and housing education and counseling services to very low to moderate-
inco�ne hous�holds residing in Clearwater;
WHEREAS, the City desires ta engage the Provider to rendEr certain services in connection
therewith:
NOW, THEREFORE, the parties hereto agree as follaws:
SECTION Y: SCOPE OF SERVICES
The Provider agrees to provide City fwzds for the provision of dowri payrnent assistance and closing costs
assistance to househ�lds who are very-low to moderate income in accordance with the City's "Housing
Pool — Underwriting Guidelines, Polices and Procedures", as amended, all in accordance with the projected
accomplishments attached and rnade a fully binding part of this Agreement, as Appendix 1, as follows:
Funds will be made available to the Provider far program delivery fees and loanable funds to operate
their Homeownership Pragranz. The Homeownership Pragram will provide downpayment and closing
costs assistance to the very low and low to moderate-income househalds �vho want to purchase a home
within the City of Clearwater.
SECTION II: CONDITION OF SERVICE
The Provider hereby agrees to the following:
A. The Program shall se�rve eligible very-low and moderate-income persons living in Clearwater. The
Provider shall certify that the activities carried out with fur�ds pr�vided under this Agreernent will
meet ane or rnore of the CDBG program's National Objectives —1) benefit law to moderate income
persons, �) aid in the prevention or eliminatian of slum and blight, 3) meet cornmunity
development needs having a particular urgency — as defined in 24 CFR 570.20$ and all applicable
rules and regulations as contained in the federal HOME Investment Partnership at�d State of Florida
State Housing Initiatives Partnership (SHIP) programs.
B. The Provider shall rnaintain in its file the docwnentation on which basis it determines that the
praject benefits low and moderate-income persons, minorities and residents of Clearwater. Such
records shall include, but nat be limited to profiles id�ntifying financial classificatian, head of
household, ethnicity, race and gender, or area benefit data, as required.
C. The Arovider shall maintain a citizen participation mechanism, which will include, but not be
limited ta the following:
1. Logging citizen comments or complaints when received.
2. Copies of comments and/ar complaints received in writing.
3. Copies of responses to camplaints and/or explanatians of resolutions to coxnplaints.
D. The Provider shall comply with Subpart c— Past Award Requirements �f the Office of
Management and Budget (OMB) Circular No. A-110, "Unifarm Aclministrative Requirements for
Grants and Agreements with Institutions of Higher Education, Hospitals and Other Non-Profit
Organizations", incorporated by reference into this Agreement.
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E. Costs incurred under this program shall be in compliance with Federal Management Circular No.
A-122, "Cost Principles for Non-Profit �rganizations", incorporated by reference into this
Agreement.
F. The Provider shall abide by those provisions of 24 CFR Part 570 subpart J, when applicable,
incorporated by reference into this Agreement.
G. No expenditures or abligations shall be incurred for the program prior to approval and release of
funds from the U.S. Departrr�ent af Housing and Urban Development and/or the State o� Flarida.
Further, it is expressly understood that in the event no funds are released from the U.S. Department
of Housing and Urban Development and/or the Sta�te of Florida in connection with this Program,
tl�en the City is not liable for any claims under this contract.
H. The Operating Agency hereby certifies that, in the implementation of prajects funded by this
Agreement and in all of its other operations, it will comply with all requirements of Section 504
af the Rehabilitatian Act of 1973 (29 USC 794) (arid the implementing regulations at 24 CFR 8),
the Americans with Disabilities Act of 1990 (Public Law (PL) 101-336), and all state and local
laws requiring physical and program accessibility to people with disabilities, and a�rees to
defend, hold harmless and indemnify the City from and against any and all liability for any
nancampliance on the part of the Operating Agency. Funds awarded under this Agreemeant may
be de-obligated shauld any af the following occur.
(1) Natificatian by HUD to the City that said project is ineligible because of project
lacation, services provided, or any other reason cited by HUD;
(2) Notificatian by HCTD to the City that said project is deficient and that continued support
of the project is not providing an adequate level of services to low income and minority
people; or
(3) Written notiiication from HUD to the City that the program funds made available to the
City are being curtailed, withdrawn, or atherwise restricted.
(4) Fails to file required reports or meet project pragress or completion deadlines;
(5) Materially fails to c�mply with any provision of this Agreement (which may result in
suspension or termination in accordance with 24 CFR 85.43 or OMB Circular A-110,);
(6) Expends funds under this Agreement for ineligible activities, services or items;
(7) Irnplements the project prior to natification from the City that the federal environmental
review process has been completed;
(8) Violates Labor Standards requirements; or
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(9) Fails to comply with written notice from the City of substandard performance under the
terms of this Agreement.
I. The Provider shall certify, pursuant to Section 109 of the Act, that no person shall be denied the
benefits of the program on the ground of race, color, national origin or sex.
J. The Provider agrees that to the extent that it staffs the Program with persorinel not presently
employed by said party, it will take affirmative action in atternpting to employ low income persons
residing in the City oi Clearwater, particularly minority graup members.
K. The Provider shall comply with the pravisions of 24 CFR 570.504 (c), "Program Income" and meet
t�.e definitian of program income deiined in 24 CFR 570.500 which generally states that program
income is gross income r�ceived by the recipient or a Subrecipient directly generated from the use
of CDBG funds. All program incarr►e generated through the use of Community Developrnent Block
Grant, HOME Investrnent Partnership Program, and State Housing Initiatives Partnership programs
shall be returned to the City within 45 days after receipt by the Subrecipient. In those instances
where the City allows the sub-recipient to retain pragram incorne, these funds shall be expended �or
CDBG eligible activities, previously approved by the City in accardance with the projected
accomplishments and budget descriptions attached ta this Agreement. In addition, at the end of the
pragram year, the City rnay require remittance of all or part of any CDBG program income balances
(including investments thereo� held by the subrecipient (except those needed for immediate cash
needs, cash balances of a revolving loan fund, cash balances from a lump sum drawdown, or cash
or investments held far sectian 108 security needs).
L. The Pravider shall transfer to the City any CDBG funds on hand at the time af expiration and any
accounts receivable attribut�ble to the use af CDBG funds. All real property acquired ar improved
in whole or in part with CDBG funds in excess of $25,OU0 shall be:
(1) Used ta meet ane of the national objectives in Section 24 CFR Part 570.20$ until five years
after expiration of the agreement, or fro such longer periad of time as determined ta be
appropriate by the City; ar
(2) If not used as stated above, the provider shall pay ta City an amount equal to the cuxrent
market value of the property less any portion af the value attributable to expenditures on
non-CDBG funds far the acquisition of or improvement to, the prop�rty. The payment shall
be considered program income.
A subrecipient receiving HOME funds must transfer to the City any HOME funds on hand at
the time of expiration of this Agreement and any accounts receivable attributable to the use of
HOME funds.
A subrecipient of SHIP funds recognizes that funds may revert ta the City in accordance with
the provisions of the City's local housing assistance plan.
M. The Provider shall comply with First Amendment Church/5tate principles, as follows:
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l. It will not discriminate against any employee or applicant for employment on the basis of
religion and will nat limit employment or give preference in employment to persons on the
basis of religion.
2. It will nat discrirninate against any person applying for public services on the basis of
religion and will not lim�it such s�rvices or give preference to persons on the basis of
religion.
3. It will provide no religious instruction or counseling, conduct no religious worship or
services, engage in no religiaus proselytizing, and exert no other religious influence in the
provisian af such public services.
4. The portion of a facility used to provide public services assisted in whole or in part under
this Agreement shall contain no sectarian or religious syrn.bols ar decorations.
5. The funds received under this Agreement shall not be used to construct, rehabilitate, or
restore at�y religiaus facility which is owned by the Provider and in which the public
services are to be provided. However, minor repairs may rnade if such repairs are directly
related to the public services; aze located in a structuxe used exclusively for non-religious
purpases; and constitute, in dollar terms, only a minor portion of the CDBG expenditure for
the public services.
N. The Provider shall transfer to the City upon expiration of this Agreement, any CDBG, HOME
and/or SHIP fiuxds on hand at the time of expiration and any accounts receivable attributable to the
use of CDBG, HOME and/or SHIP funds. The following restrictians and limitations apply to any
real property under the Pravider's contral, which was acquired or improved in whole ar in part with
CDSG funds in excess of $25,000:
1. Any real properiy under the Provider's control must be used to meet one of the National
Objectives in the CDBG Regulations, 24 CFR Part 570.20$ until five years or such longer
period of time as determined appropriate by the City after expiration of the Agreement.
Land-banking is a prohibited activity under the City's programs.
2. If the real property is sold within the period of time specified above, the properly must be
disposed of in a manner which results in. the City being reimbursed in the amount of the cutrent
fair market value af the property, less any portion thereof attributable to expenditures on non-
CDBG funds for acquisition of, or improvement to, the property. Such reimbursement is
required.
O. The Provider agrees that when sponsoring a praject financed in whole or in part under this
Ag�reement, all natices, informational pamphlets, press releases, advertisements, descriptions of the
sponsorship of the project, research reports, and similar public notices prepared and released by the
Frovider shall include the statement:
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FUNDED SY
THE CITY OF CLEARWATER
COMMUNITY DEVELOPMENT BLOCK GRANT,
HOME INVESTMENT PARTNERSHIP, AND
STATE HOUSING IIVITIATIVES PARTNERSHIP PROGRA,MS
In written materials, the words "CITY OF CLEARWATER COMMUNITY DEVELOPMENT
BLOCK GRANT FUNDS, HOME INVESTMENT PARTNERSHIP PROGRAM FUNDS,
AND STATE HOUSYNG INITITATIVES PARTNERSHIP PRUGRAM FUNDS
ADMINISTERED BY THE HOUSING DIVISION OF THE CITY OF CLEARWATER —
ECONONIIC DEVELOPMENT AND HOUSING DEPARTMENT" shall appeaz in the same
size letters ar type as the name of the Provider.
P. The Provider shall ensure the following when entering inta a sub-contract agreement:
1. The full correct legal name of the party shall be identified.
2. The "Scope of Services" shall describe the activities to be performed.
Q. The Frovider shall maintain sufficient records in accordance with 24 CFR 570.502 and 570.506 to
detern�ine campliance vvith the requirements of this Agreement, the Cammunity Development
Block Grant Program and all applicable laws and regulations.
This dacumentation shall include, but not be limited to, the following:
Baoks, recards and documents in accordance with generally accepted accaunting principles,
procedures and practices which su#�iciently and properly reflect all revenues and
expenditures of furids provided directly or indirectly by this Agreement, including rnatching
funds and pragram income.
2. Time sheets for split-funded employees who work an more than one activity, in order ta
recard the CDBG, HOME, and/or SHIF activity delivery cost by praject and the non-CDBG
related charges.
How the Statutory National Objective(s) and the eligibility requirement(s) under which
funding have been received, have been met. These also include special requirernents such
as necessary and appropriate determinations, incame certifications, and written agreements
with beneficiaries, where applicable.
R. The Provider is responsible for maintaining and storing all recards pertinent to this Agreement in an
orderly fashion in a readily accessible, permanent and secured location for a penod of five (5) years
after expiration of this Agreement, with the following exception: if any litigation, claim or audit is
started before the expiration date of the three year period, the records will be rnaintained until all
litigation, claims or audit findings invalving these records are resolved. The City shall be informed
in writing after closeout of this Agreement, of the address where the records are ta be kept.
SECTION III: OTHER CONTRACTUAL PROVISIONS
A. Labor Standards
Except with respect to the rehabilitation of residential properiy designed far residential use for
less than eight households, the provider and all subcantractars engaged in contracts in excess of
$2,000 for the construction, completion, rehabilitation, or repair of any building or work financed
in whole or in part with assistance provided under this Agreement are subject ta the federal labor
standards provisions which govern the payment of wages arid the ratio of apprentices and trainees
ta journey workers. Under the ternts af the Davis-Bacon Act, as amended, the provider is
required to pay all laborers and mechanics employed on canstruction work wages at rates nat less
than those prevailing on similar canstruction in the locality as determined by the Secretary of
Labor, and shall pay overtime compensation in accordance with and subject to the provisions of
the contract Work Hours and Safety Standards Act (40 USC 32�-332), and the provider shall
comply with all r�gulatians issued pursuant to these Acts and with other applicable Federal laws
and regulations pertaining to labor standards, including the Copeland "Anti-Kickback" Act.
Provided, that if wage rates are higher than those required under the regulations are imposed by
State or lacal laws, nothing hereunder is intended to relieve the provider of its obligation, if any,
to require payment af the higher rates.
S. Flood Disaster Protection
This Agreement is subject to the requirements af the Flood Disaster Protection Act af 1973 (PL
93-234). Use of any assistance provided under this Agreement for acquisition or canstruction in
an area identified as having special flood hazards shall be subject to the mandatory purchase of
flood insurance in accordance with the requirements of Section 102(a) of said Act.
C. CCean Air and FederaC Water Pollution Coritrvl Act (Applicable to Contracts and Subco�ztracts
Which Exceed $100,000
The provider shall comply with and require each subcontractor to comply with all applicable
standards of the Clean Air Act of 1970, (42 USC 74p1 et seq.), as amended, the Federal Water
Pollution Control Act (33 USC 12S 1 et seq.), as amended, and the regulations of the
Environmental Protection Agency with respect thereto, at 40 CFR Part 32 as amended from time
ta time.
D. Provision of the Hatch Act
Neither the provider program nor the funds provided therefore, nor th.e personnel ernployed in the
administration of the pragrarr� shall be in any way or to any extent engaged in the conduct of
political activities in contravention of Chapter 15 of Title 5, USC.
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E. Lead-Based Paint
Any grants or loans made by the provider for the rehabilitation of residential structures with
assistance provided under this Agreement shall be made subject to the provisions fax the
�limination af lead-based paint hazards under 24 CFR Part 35. Operating Agency will comply
with the requirements of 24 CFR 570.608 for notification, inspection, testing, and abatement
procedures concerning lead-based paint. Such regulations require that all owners, prospective
owners, and tenants of properties constructed prior to 1978 be properly notified that such
properties may contain lead-based paint Such notification shall point out the hazaxds of lead-
based paint and explain the symptoms, treatment, and precautians that should be taken when
dealing with lead-based paint poisaning.
F. Special Assessments
Provider shall not attempt to recaver any capita.l costs af public improvements assisted in whole
or in part with funds pravided under Section 106 of the Act (42 USC 5305) or with amounts
resulting from a guarantee under Section 108 (42 USC 5308) of the Act by assessing any amount
against properties owned and occupied by persons of low and moderate incarne, including any
fee charged or assessment rnade as condition of obtaining access to such public improvements,
unless (1) funds received under Section 106 ofthe Act are used to pay the proportion of such fee
or assessment that relates to the capital costs of such public improvements that are financed fram
revenue sources ather than undex Title 1 af the Act, or (2) for puiposes of assessing any amount
against properties owned and occupied by persons of moderate income, the grantee certifies to
the Secretary of HUD that lacks su�ficient funds received under Section 106 of the Act to comply
with the requirements of subparagraph (1).
G. Acquisitdon, Rehabrlitatzan, and Demolitian oj Real Properry and DispCacement of Persons
and Businesses
Frovider shall comply with the "City of Clearwater, Housing Division, Community Develapment
k3lock Grant Yrogram Plan for Minimizing the llisplacement af Yersons As a Kesult of
Community Development Block Grant Funded Activities" and "City of Clearwater, Housin�
Division, Community Development Black Grant Program Residential Anti-displacement and
Relocation Assistance Flan." Provider shall conduct any acquisition, rehabilitation, or
demolition af real property, and any negotiations for acquisition, rehabilitation or demolition of
real property in compliance with the Un.iiarm Relocatian Assistance and Real Property
Acquisition Policies Act of 1970, as amended, Section 10�(d) of the Act, and the im.pl�menting
regulatians at 49CFR 24 and 24 CFR 574.6Q6. Unless specifically permitted, the provider shall
not cause either temporary or permanent involuntary displacement of persons or businesses. If
the provider causes the involuntary temporary or permanent displacement af any person or
business as a result of Community Development Block Grant activities, it shall comply with the
City's "Plan to Assist Persons Actually Displaced by Community Development Block Grant
Activities," and Operating Agency shall provide all notices, advisory assistance, relocation
benefits, and replacement dwelling units as required by the Unifortn Relocation Assistance and
Real Froperty Acquisitian Policies Act of 1970, as amended, Section 10�(d) of the Act, and the
implementing regulations at 49 CFR 24 and 24 CFR 570.606. The Provider hereby agrees to
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defend, to pay, and to indemnify the City from and against, any and all claims and liabilities for
relacation benefits or the provision af replacement dw�lling units required by federal statutes and
regulations in cannectian vvith activities undertaken pursuant to this Agreernent.
H. Lobbying Restrictions
Provider certifies that, to the best af its knowledge and belief:
No Federal Appropriated funds have been paid or will be paid, by or on behalf of it, to any
person for influencing an officer or employee of any agency, a Member of Cangress, an officer or
employee of Congress, or an eznployee of a Mernber of Congress in connection with the
awarding of any Federal contract, the making of any Federal grant, the making of any Federal
loan, the entering into of any cooperative agr�ement, and the extension, continuation, renewal,
amendment, or nnodification af any Federal contract, grant, loan, or cooperative agreement;
If any funds other than Federal appropriated funds have been paid or will be paid to any person
for influencing or attempting to influence an officer or em.ployee of any agency, a Member of
Congress, an officer ar ernplayee of Congress, or an employee of a Member of Cangress, in
connection with this Federal contract, grant loan or caoperative agreement, it will complete and
submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accardance with its
instructians; and
It will require that the language of this paragraph H be included in the award documents for all
sub-awards at all tiers (including subcantracts, sub-grants, and contracts under grants, loans and
cooperative agreements) and that all Subrecipients shall certify and disclose accordingly.
This certiiication is a material representation of fact upon which reliance was placed when this
transaction was made nr entered into. Submission of this certification is a prerequisite for
making or entering into this transaction imposed by 31 USC 1352. Any persan who fails to file
the required certification shall be subject to a civil penalty of not less than $1 �,000 and not znore
than $100,000 for each such failure.
SECTION IV: TERM OF AGREEMENT
This Agreernent shall be deemed effective upon approval and release of funds by the U.S. Department of
Hausing and Urban Development and/or the State of Florida and being duly executed by both parties,
whichever is later.
The term of this agreement shall be frorn October 1, 2011 to September 30, 2012. The term may be
amended if both execute a written agreement.
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SECTION V: TERMINATION
The City and the Provider agree:
A. This Agreement may be terminated by either party hereto by written notice of the other party of
such intent to terminate at least thiriy (30) days prior ta the effective date of such termination.
B. This Agreement may be termiriated in whole or in part, for convenience, when both parties agree
upon the termination conditians. A written notiiication shall be required and shall include the
following: r�asan for the ternnination, the effective date, and in the case of a partial termination, the
actual portion to be termin�ated. However, if, in the case of a partial termination, the City
deternlines that the remaining portion of the Agx'eement will not accomplish the purposes af such
Agreement, the City may terminate such in its entirety.
C. The City may place the Pravider in default of this Agreement, and may suspend or terminate this
Agreement in whole, or in part, for cause.
1. Cause shall include, but not be limited to, the following:
a. Failure to comply and/or perform in accordance with this Agreement, or any federal
statute or regulatian.
b. Submitting reports to th� City, which are late, incorrect or incamplete in any
material respect.
c. Implementatian af this Agreement, for any reason, is rendered impossible or
infeasible.
d. Failure to r�spond in writing to any concerns raised by the City, including
substantiating documents when required/requested by the City.
e. Any evidence of fraud, mismanagement, and/or waste, as determined by the City's
monitoring of the Subrecipient, and applicable HUD rules and regulations.
2. The City shall notify the Provider in writing when the Provider has been placed in default.
Such notification shall include actions taken by the City, such as withholding of payments,
actions to be taken by the Provider as a condition precedent to clearing the deiiciency and a
reasonable date for compliance, which shall be na more than fifteen (15) days from
notification date.
3. The City shall notify the Provider in writing when sufficient cause is found for termination
of this Agreernent. The Provider shall be given no more than fifteen (15) days in which to
reply in writing, appealing the termination priar ta final action being taken by the City.
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D. Let it be further understood that upon curtailment of, or regulatory constraints placed on, the funds
of the U.S. Department of Housing and Urban Development and/ar the State of �'lorida, this
Agreement will terminate effective as of the time that it is determined such fiulds are no longer
available.
E. Costs of the Provider resulting from obligatians incurred during a suspensian or after termination,
are not allowable unless the City expressly authorizes thern in the notice of suspension ar
terniination or subsequently. Other costs during suspension ar after termination which are
necessary and nat reasonably avoidable are allowable if:
1. The costs result from obligations which were properly incurred before the effective date of
suspension or termination, are not in anticipation of it, and in the case of terminatian, are
noncancelable, and
2. The costs would b� allawable if the award were not suspended ar expired normally at the
end of the Agreement in which the termir�atian takes effect.
F. Upon termination of the Agreement, tbe Provider and the City shall meet to discuss the City's
determination if any amounts are to be repaid ta the City or if additional amounts are due the
Pravider.
�T I�1 i��►i i�1►1 �7u ��1►Y K"
Any alterations, variations, modifications or waivers of this Agreement shall only be valid when they have
been reduced in writing and duly signed by both parties. Any changes, which do not substar►tially change
the scope of the project au�d/or th� Project Implementation Schedule or increase, the total amaunt payable
under this Agreement, shall be valid only when reduced to writing and signed by the City Administratian
and the Provider.
The City sha11 not reimburse the Provider for autlays in excess of the funded amount of the Agreement
unless and until the City officially, in writing, approves such expenditure by executing a written
modification to the original Agreement.
SECTION VII: METHOD OF PAYMENT
It is expressly understood and agreed that the tatal cornpensation to be paid hereunder for actual
expenditures incurred shall be reserved to implement the Provider's Homeownership Program.
It is expressly understood and agreed that the total compensation to be paid hereunder far actual
expenditures incurred shall be reserved in the City's Housing Pool. The Housing Pool may be comp�sed
of funding from the CDBG, HOME, and SHIP prograrns. There shall be no prograrn incorne generated
through these programs by the Subrecipient.
Subrecipients may access these funds after their projects have been approved by the City's Housing
Division. Priar to approval, all Subrecipients must forward to the City a project analysis on each activity
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they are requesting funds. Once appraved by the City, a proj�ct reserve will be prepared £ar the
Subrecipient to use an all eligible project costs.
For Housing Educatian and Counseling, type activities, the allowable amounts that a Subrecipient can
submit reimbursement are cantained in "Exhibit A", as amended, of the "Underwriting Guidelines, Palices
And Procedures For pown Payment And Closing Costs Assistance - Hausing Education, Counseling and
Foreclasure Prevention/Counseling - Fee Schedule".
HOME funds made available through this agreement are provided to the City of Clearwater by the U. S.
Deparkment of Housing and Urban Development. These funds are placed in a Hausing Paol for housing
development activities by lacal housing providers. Access to tk�ese funds will be made available on a first
came, first serve, and first eligible basis.
Each Subrecipient must present the City with a formal pay request once the project reaches the payment
standards identified in the project description. Funds may be advanced for the purchase of vacant
properties on a case-by-case basis, as first approved by the City. Generally payrnents to Subrecipients
will be forwarded upon request at the completion/closing of each project. The City will not be obligated
to pay closing costs, taxes, insurance or lot maintenance on current or prior land purchases.
Allowable payments will be those as outlined in the City of Clearwater Program Guidelines for the
Housing Poal, as amended, that covers down payment and clasing casts assistance, infill housing
activities and housing education and counseling for individuals and families assisted through the City's
programs.
All projects/activities funded through the Housing Pool must be approved by the City priar to commitment
of funds by the Provider. The Provider shall certify that program participants meet all applicable program
requirements and all hornes constructed must meet all applicable building and local codes. Funds
requested by the Provider m.ust be far actual costs/fees and each request for reimbursernent shall include
source rnaterial for all referenced requests
The funds must be expended in accordance with the terms and conditions of the Agreement. Funds set
aside for this agency may increase or decrease, subject to production performance. Production will be
reviewed quarterly ar�d will be based upon the goals the Pravider established in their program
implementation schedule. Any remaining balance of funds shall revert to the City or other approved
pravider(s). Such compensation shall be paid in accordance with the projected accomplishments and
budget descriptions attached hereto and made a part hereaf as Appendix 1.
A. The Provider shall submit monthly requests far payment for actual expenditures (or na expenditures
during the month), including applicable back-up documentation, no later tk�an the tenth (lOth) day
of the succeeding month and the City will provide reimbursement, upon approval, within twenty
(20) working days after receipt of the same, and if all required documentation is submitted with
request and if all documentation is correct.
B. The City agrees ta pay the Pravider for expenditures incurred under this Ag�reement on an as needed
basis in accordance with the Budget and Praject Implementa.tion Schedule attached hereto and
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made a part hereof as Appendix 1. Line item transfers are allowable anly within each component
and may not exceed in the aggregate fifteen percent (15%) of each line item without t�rior written
approval of the City. All changes amounting to more than fifteen percent (15%) require prior
written approval.
SECTIQN VIII: EQUAL EMPLOYMENT OPPORTUNITY
During the performance of this contract, the Operating Agency agrees as follows:
1. The Operating Agency shall nat discriminate against any employee or applicant for employment
because of race, color creed, religion, sex age, handicap, disability, sexual orientation, ancestry,
national origin, marital status, familial status, ar any other basis prohibited by applicable law.
The Operating Agency shall take affirmative action to ensure that applicants are employed and
that employees are treated during emplayment without regard to their race, color, creed,
religion, sex age, handicap, disability, sexual orientation, ancestry, or national origin. Such
action shall include, but not be limited to the fallawing: Ernplayrnent, upgrading, demotion or
transFer, recruitment ar recruitment advertising, layoff or termination, rates of pay or other forms
of compensation, and selection for training including apprenticeship. The Operating Agency
agrees to post in conspicuous places, available to employees and applicants for employment,
natices ta be pravided setting farth tkie pravisions of this nondiscrimination clause.
2. The Operating Agency will, in all solicitations or advertisements for employees placed by or on
behalf of the operating Agency, state that all qualified applicants will receive consideration for
employment without regard to race, color creed religion, sex age, handicap, disability, sexual
orientation, ancestry, national arigin, marital status, ar any other basis prohibited by applicable
law.
3. The Operating Agency will send ta each labor union or representative of workers with which is
has a collective bargaining agreement or ather contract af understanding, a notice to be provided
advising the said labor union or workers; representatives of the Operating Agency's
commitments under this section, and shall post copies oi the notice in conspicuous places
available to employees and applicants for employment.
4. The Operating Agency will comply\ with all pravisians a� Executive Order 11246, Equal
Employment opportunity, of September 24, 1965, as amended by Executive Orders 11478,
August $, 19G9 a.nd 12086, October 5, 1978, copies of which are an file and available at the City
and of the rules regulations, and relevant orders of the Secretary of Labor.
5. The Operating Agency will furnish all information and reports required by Executive Order
11246 af September 24, 19f S, as amended, and by rules, regulations, and orders of the Secretary
of Labor, or pursuant thereto, and will permit access to its books, records, and accounts by HUD
and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules,
regulations, and orders.
13
6. In the event of the Operating Agency's nancampliance with the nondiscrimination clauses of
this cantract ar with any of the said rules, regulations, or orders, this cantract may be cancelled,
terminated, or suspended in whole or in part and the Operating Agency may be declared
ineligible for further Government contracts or federally assisted canstructian cantracts in
accordance with procedures authorized in Executive Order 11246 of September 24, 1965, as
amended, and such other sanctions may be imposed and remedies invoked as provided in
Executive nrder 11245 of September 24, 1965, as amended, or as otherwise provided by law.
7. The Operating Agency will include the portion of the sentence immediately preceding paragraph
(1) and the provisions of paragraphs (1) tluough (7) 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 af September 24, 1965, as amended, so that such
pravisians will be binding upon each subcontractor or vendor. The Operating Agency will take
such action with respect to any subcontract ar purchase order as HUD may direct as a means of
enforcing such provisions, including sanctions for noncom.p�iance; pravided, however, that in
the event an Operating Agency becames involved in, or is threatened with, litigation with a
subcontractor or vendor as a result of such direction by HUD, the Operating Agency may
request the United States to enter into such litigation to protect the interests of the United States.
A. EquaC Opportunity in Partieipatiori
The Pravider shall adher� to the regulatians established in the Housing and Community Development
Act of 197�, and in conformance with City policy and all requirements impased by or pursuant to the
Regulations of HUD (24 CFR Part 570.601 and 570.602) issued pursuant to Section 109, no person in
the United States shall on the ground of race, color creed, religion, sex, age, handicap, disability, sexual
orientation, ancestry national origin, marital status, familial status, or any other basis prohibited by
applicable law be excluded from participation in, be denied the benefits af, or be subjected to
discriminatian under, and pragram ar activity funded in whole or in part with Community Development
Block Grant Program funds.
B. Specific (not exclusive) Discriminatory Actions Prohihited:
The Pravider may not directly ar through contractual or other arrangements, on the ground of race, color,
creed, religion, sexual orientation, ancestry, national origin, marital status, familial status, age handicap,
disability, sex or any ath�r basis prohibited by applicable law:
(1) Deny any facilities, services, financial aid, or other benefits provided under the program
or activity.
(2) Provide any facilities, sex-vices, financial aid, or other bene�ts, which are different or are
provided in a different form from that provided to others under the program or activity.
(3) Subject to segregat�d ar separate treatment in any facility, or in any mater or process
related to receipt of any service or benefit under the program or activity.
14
(4) Restrict in any way access to, ar the enjoyment of any adva�tage ar privilege enjoyed by
athers in connection with facilities, services, iinancial aid or other benefits under the
program or activity.
(S) Treat an individual differently from athers in determining whether the individual satisfies
any admission, enrollment, eligibility, membership, or ather requirements or condition
which the individual must meet in order ta be provided any facilities, services, or other
benefit provided under the pragram or activity.
(G) Deny any person with the legal right to work an opportunity to participate in a program or
activity as an emplayee.
C. Business and Employment Opportuttities jor Lower Income Residents, Worrzen-Owned
Business Enterprises, and Minorily-Uwned Susiness Enterprises
The Provider shall conform with the rules and regulations set forth under Sectian 3 of the Housing and
Urban Development Act of 1968, (12 USC 1701u), as amended, and the HUD regulations issued
pursuant thereto at 24 CFR Fart 135. This Act r�quires that, to the greatest extent feasible, opportunities
for training and employment be given to lower income residents of the project area, and cantracts 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 azea af the project. In all solicitations for bids, the contractor
must, before signing the contract, provide a preliminary staternent of the workforce, needs and plans for
passible training and employment of lower income persons. When an Operating Agency utilizes the
bidding procedure ta let a bid, the invitation or solicitation for bids shall advise prospective cantractors
of the requirements of Section 3 of the Hausing and Urban Development Act of 1968, as amended, and
the clause shall be inserted as a component part of any contract or subcontract. Please see Appendix 3.
If an Operating Agency solicits or requests an invitation for bids, every effort feasible will be made to
contact minority-ow�ned and wornen-owned business enterprises for a response to the solicitation or
invitation for bidders.
D. Nattdiserimination in FederaCCy Assisted Pwograms
The Provider shall comply with Title VI of the Civil Rights Act of 1964 (PL 88-352, 42 USC 2��Od et
seq.) and the Fair Housing Act (42 USC 3601 19, 31). In accordance with City policy and Title VT of the
Civil Rights Act of 1964 (FL 88-352), in the sale, lease of other transfer of land acquired, leased or
improved with assistance pravided under this Agreement, the deed or lease for such transfer shall
contain a covenant prohibiting discrimination upon the basis af race, calor, creed, religion, sex handicap,
disability, sexual orientation, ancestry, national arigin, marital status, or familiar status, in the sale, lease
or rental, or in the use or occupancy of such land or any improvements erected or to be erected therean.
The Provider will comply with Title VIII of the Civil Rights Act of 1968 (PL 90-284, 42 USC 3601 et
seq.) as amended and will administer all programs and activities related to housing and community
development in a manner to affirmatively further fair housing.
SECTION IX: CONFLICT OF INTEREST
l5
The Pravider covenants that no person, under its employ who presently exercises ar�y :Functions ar
responsibilities in connection with Community Development Block Grant Program, HOME Tnvestment
Partnerslup Prograrn and State Housing Initiatives Program funded activities, has any personal fmancial
interests, direct or indirect, in this Agreement. The Provider covenants that in the performance of this
Agreexnent, no person having such conflicting interest shall be employed. The Provider covenants that it
will comply with all provisions of 24 CFR 570.611 "Conflict of Interest", and the State Statutes governing
canflicts of interest. The Frovider shall disclose, in writing, to the City any possible conflicting interest or
apparent impropriety that is covered by the abave provisions. This disclosure shall occur immediately
upan knowledge of such possible conflict. The City will then render an opinion, which shall be binding on
both parties.
SECTION X: INDEMN�FICATION AND INSURANCE
The Provider shall indemnify and hold hanmless the City frarn any and all claims, liability, losses and
causes of action, which may arise out of the Agreement. The Pravider shall pay a11 clairns and losses of
any nature whatsoever in connection therewith and shall defend or pay to defend all suits braught against
the City, when requested, au�d shall pay all costs and judgrnents which may be issued thereon.
Autamabile and vehicle caverage sha11 be required when the use of automobiles and other vehicles are
involved in any way in the performance of the Agreement.
The Provider shall subrnit ta the City an ORIGINAL Certificate of Insurance.
All liability insurance coverage shall be approved by the City prior to the release af any funds under this
Agreement. Generally, the amount of coverage necessary would be at a minimum of $300,000. Further, in
the event evidence of the required insurance is not forwarded to the City within thiriy (30) days afier the
execution of this Agreement, this Agreement may be terminated at the City's option and any payments then
due may be permanently withheld by the City and the City will have no further abligatian under this
contract ar any Subrecipient cantract.
SECT�ON XY: REPORTING AND EVALUATION �UIREMENTS
Maintaining credibility for the community development effort rests heavily on the ability to produce an
impact in low/rnoderate income ar�as, through progress in accomplishing scheduled activities. An
effective method far maintaining project pragress against a previausly established schedule is through
project evaluation and reporting, which will consist of both written reparts and staff discussions on a
regular basis. The Pravider also assures prornpt and efficient submission of the following:
A. Manthlv Renorts - are due na later than the tenth (lOth) day of the succeeding month and shall
include the request for payment when applicable. A monthl re ort is due re ardless if an funds
have been expended. Contents of the Monthly Report, attached hereto and made a part hereof as
Appendix 2, shall include but not nec�ssarily be limited ta the follawing:
16
1. The "Financial Report & Implementation SwYUnary" �'orm, which shall include the request
for payment and documentation, as applicable. .
2. The "Pragram Activity Report"
3. The "Request for Reimbursement" Form
4. Instructions for Appendix 2 Forms
S. Final Evaluation - Within. thirty (30) days of contract completion, a final report documenting haw
the Statutory National Objective and the eligibility requirernents were met, must be submitted by
the Provider ta the City's Hausing Division for review and approval. Tl�e cantents af it shall
include a cumulative total of the data submitted during the program's operation. Further, such
repart shall include statistical fmdings, which depict program efficiency; i.e., the number of dollars
spent, including non-CDBG funding sources, to render actual service to program recipients, atid an
overall evaluation of the program's effectiveness, and quantitative results. The fmal report will be
evaluated and the Pravider will be notified if additional data is necessary or that the projecdactivity
is considered "closed-out".
C. Other RenortinQ Reauirements may be required by the City in the event of program changes, need
for additional information or docwnentation and/or legislation amendments. The Provider shall be
informed, in writing, if any changes become necessary.
Reparts and/or requested documentation not received by the due date, shall be cansidered
delinquent, and may be considered by the City as sufficient cause to suspend CDBG, HOME, and
SHIP payments to the Provider.
SECTION XII: AUDIT AND INSPECTIONS
At any time during normal business hours and as often as City and/or Federal Government representatives
may deem necessary, there shall be made available to representatives of the City and/or the Federal
Government an opportunity to review, inspect ar audit all records, docurnentation, and any other data
relating to all matters covered by the Agreement.
An annual organization audit shall be submitted to the City 120 days after the end of the Pravider's fiscal
year. The submitted audit shall include any management letters and agency responses to the management
letters. The audit shall be performed in accordance with OMB Circular A-110 Attachment F, OMB
Circular A-133. Tf this Agreement is closed-out prior to the receipt af an audit report, the City reserves the
right ta recover any disallowed costs identifed in an audit after such closeout.
SECTION XIII: REVERSION OF ASSETS
The Provider sha11 transfer to the City any CDBG, HOME or SHIP funds on hand (including program
income) or any accounts receivable attributable to the use of CDBG, HOME or SHIP funds should the
agency close its doors. The �'rovider shall also transfer to the City any real praperty in the Pravider's
17
control that was acquired ar impraved in whole ar in part of with CDBG, HOME or SHIP funds, unless it
is used to (1) meet one of the national objectives in Section 570.208 until iive years after the expiration of
this agreement, or for such longer period of time as determined to be appropriate by the recipient; �r (2) if
not used for eligible activity, the Provider shall pay to the City an amount equal to the cuxrent to the current
market value af the property less any portion of the value attributable to expenditures of non-CDBG,
HOME or SHIP funds for the acquisition of or improvement to, the property.
SECTION XIV: COMPLIANCE WITH LOCAL STATE & FEDERAL REGULAT�ONS
The Pravider agrees ta comply with all applicable federal regulations as they may apply to program
administration. Additionally, the Provider will comply with all state and local laws and ardinances hereto
applicable.
SECTION XV: ADDITIONAL CONDITIONS AND COMPENSATION
It is expressly understood and agreed by the parties hereto that monies contemplated by this Agreement to
be used for compensation originated from grants of federal Community Development Block Grant Funds,
HOME Investment Partnership Program Funds and State Housing Initiatives Partnership Funds, and must
be implemented in full compliance with a11 of HUD's and the State of Florida rules and regulations.
It is expressly understood and agreed that in the event of curtailment ar non-production of said federal gra�nt
funds, that the finaticial sowrces necessary to continue to pay the Provider compensation will not be
available and that this Agreement will thereby terminate effective as of the tinne that it is determined that
said funds are no langer available.
In the event of such determination, the Pravider agrees that it will nat look to, nor seek to hold liable, the
City or any individual member of the City Commission thereof personally for the performance of this
Agreement and all of the parties hereto shall be released from further liability each to the other under the
terms of this Agreement.
1$
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their duly
authorized officials on the day and date first above indicated.
Countersigned:
r � �
Frank V. Hibbard
Mayor
Continued:
Approved as to form:
Laura Mahany
Assistant City Attorney, II
CLEARWATER NEIGHBORHOOD
HOUSING SERVICES, INC.
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CITY OF CLEARWATER, FLORIDA
BY� 1� _ �..�"�
William B. Horne, TI
City Manager
Attest:
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Rosemarie Call, MPA, CM
City Clerk
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APPENDIX 1
Provider's Program Budget
Clearwater Neighborhood Housing Services FY 11-12
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APPENDIX 1
Provider's Program Implementation Schedule
Clearwater Neighborhood Housing Services FY 11-1Z
Planrned �ct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Impl�mentation
Steps
APPENDIX 3
EQUAL EMPLOYMENT OPPORTUNITY CLAUSE
FOR CONTRACTS SUBJECT TO EXECUTIVE ORDER 11235
The applicant hereby agrees that it will incarparate or cause to be incorporated into any contract for
construction work, or modification thereof, as defined in the regulations of the Secretary af Labar 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 the grant, contract, laan insurance, or
guarantee, or undertaken pursuant to any Federal program invalving such grant, contract, loan, insurance,
or guarantee, the following Equal Opportunity clause:
During the performance of this contract, the contractor agrees as follows:
(1) The contractor will not discriminate against any employee or applicant for employment because of
race, calor, religion, sex, or national origin. The cantractor will take affirmative action to ensure
that applicants are employed, and that employees are treated during employment without regard to
their race, colar, religion, sex, ar n.atianal origin. Such action shall include, but not be limited to the
following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising;
layoff ar termination; rates of pay or �ther forn�s af compensation; and selection af training,
including apprenticeship. The contractor agrees to post in a conspicuous place, available to
emplayees and applicants for employment, natices ta be provided s�tting forth the provision af this
nondiscrimination clause.
(2) The contractor will, in all solicitations or advertisements for employees placed by or behalf of the
contractor, will state that all qualified applicants will receive cansideration far �mployment without
regard to race, color, religion, sex ar natianal origin.
(3) The contractor will send to each labor union or representative of workers with which he has a
callective bargaining agreement ar other contract ar understanding, a notice ta be provided advising
the said labor union or workers' representative of the contractor's commitments under this section,
and shall post capies of the notice in conspicuous places available to ernplayees and applicants for
�rr�ploy�ment.
(4) The contractor will comply with all provisions of Executive Order 11246 of September 24, 1965,
and of the rules, regulatians, and relevant arders of the Secretary af Labar.
(S) The cont�actor will furnish all information and reports required by Executive Order 11245 of
September 24, 1965, and by rules, regulations, and orders of the Secretary of Labor, or pursuant
thereto, and will perinit access to his books, records, and accounts by the administering agency and
the Secretary af Labor for purposes af investigatian ta ascertain compliance with such rules,
regulations, and orders.
(6) In the event of the contractor's non-compliance with the non-discrimination clauses of this contract
ar with any af the said rules, regulations, or orders, this contract may be canceled, terminated, or
suspended in whole or in part and the contractor may be declared ineligible for further government
1
contracts or federally assisted construction cantracts in accordance with procedures authorized in
Executive Order 11246 of September 24, 1965, or by ru1e, regulatian, or order of the Secretary of
Labor, ar as otherwise provided by law.
(7) The contractor will include the portian of the sentence immediately preceding paragraph (1), and
the provisions af paragraphs (1) through (7) in every subcontract ar purchase order unless exempted
by rules, regulations, or orders of the Secretary af 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
pw:'chase order as the administering agency may direct as a means of enforcing such provisions,
including sanctions for non-compliance provided, however, that in the event a contractor becomes
involved in or is threatened with, litigation with a subcontractor or vendar as a result of such
direction by the administering agency, the contractar may request the United States to enter into
such litigation to protect the interest of the United States.
Tl�e 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 wark: provid�d that, if the
applicant sa participating is a State or local government, the above Equal Opportunity clause is not
applicable to any agency, instnimentality or subdivision af such 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 af Labor such informatian as they may require for the
supervision oi such cornpliance, and that it will otherwise assist the administering agency in the discharge
of the agency's primary responsibility for securing campliance.
The applicant further agrees that it will refrain from entering into any contract or contract madificatian
subject to Executive Order 11246 of September 24, 1965, with a cantractor debarred from, or who has not
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 af the equal opportunity
clause as may be irnposed upan contractors and subcontractors by the administering agency of the Secretary
af Labar pursuant to Par 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, suspend in whole or in part this grant (contract, loan, insurance
guarantee); r�frain from extending any further assistance to the applicant under the program with respect to
which the failure or refund accwred 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.
�a
FEDERAL - SECTION � CLAUSE
A. The work to be performed under this contract is on a praject assisted under a program providing
direct Federal financial assistance fram the Department of Housing and Urban Development and is
subject to th� requirernents of Section 3 of the Housing and Urban Development Act of 1968, as
amended, 12 U.S.C. 1701u. Section 3 requires that to the greatest extent feasible, opportunities �or
traizung and employment be given to lower incorne residents of the project area, and contracts for
work in connection with the project be awarded ta business concerns which aze lacated in, or
owned in substantial part by persons residing in the area of the praject.
B. The parties to this contract will comply with the provision of said Section 3 and the regulations
issued prxrsuant thereto by the Secretary of Housing and Urban Development set farth in 24 CFR
135, and all applicable rules and orders of the Department issued there tuzder priar ta the execution
�f this contract. The parties ta this contract certify and agree that they are under no cantractual or
other disability, which would prevent them from complying with these requirements.
C. The contractor will send to each labor orgariization or representative of workers with which he has
a collective bargaining agreement or other canh'act ar understanding, if any, a notice advisir�g the
saad labor organization af warkers' representa.tive of his commitments under this Section 3 Clause
and shall post capies of the natice in conspicuous places available to emplayees and applicants for
employment or training.
D. The contractor will include this Section 3 Clause in every subcontract for work in connection with
the project and will, at the direction of the applicant for or recipient of Federal financial assistance,
take appropriate actian �ursuant to the subcontract upon a�nding that the subcontractor is in
violation of regulations issued by the Secretary of Housing and Urban Development, 24 CFR 135
The contract�r will nat subcontract with any subcontractor where it has notice ar knowledge that
the latter has been found in violation of regulations under 24 CFR 135, and will nat 1et any
subcantract unless the subcontractor has first provided it with a preliminary statement of ability to
comply witki the requirements af these regulations.
E. Compliance with the provisions a� Section 3, the regulations set forth in 24 CFR 135, and all
applicable rules and orders of the Department issued hereunder prior ta the execution of the
contract, shall be a condition of the federal financial assistance provided to the project, binding
upon the applicant or recipient for such assistance, its successars, and assigns. Failure to fulfill
these requirements shall subject the applicant or recipient, its contractors a.tid subcontractors, its
successors, and assigns to those sanctions specified by the grant or loan agreement or contract
through which Federal assistance is provided, and ta such sanctions as are specified by 24 CFR
135.
3