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HomeMy WebLinkAboutRes1963-320 r A'_ _EPT ANCE OF THE GRANT OFFER RESOLUTION NO. 320 WHEREAS, there has been filed with the Government in behalf of I j' , / CITY OF SEWARD \ (herein called the Applicant) an application, Project Number APW-A1aska-39G dated January 21. 1963 , for Federal assistance under the Public Works Acceleration Act, Public Law 87-658, and the UNITED STATES OF AMERICA, acting by and through the Regional Director of Community Facilities, has transmitted to the Applicant for acceptance a Grant Offer dated July 3, 1963 of Federal assistance in connection with the Project referred to in said applica- tion and described in said Offer; and WHEREAS, said Grant Offer has been fully consid~red in accordance with all pertinent rules of procedure and legal requirement's, and made a part of the Applicant's pUblic records; and WHEREAS, it is deemed advisable and in the public interest that said Grant Offer be accepted; NOW, THEREFORE, be it Resolved by The Common Council of the City of Seward (Naae of Applicant) that the said Grant Offer, a true and correct copy of which, including the Special Conditions and the Terms and Conditions, is hereto attached, be and the same hereby is accepted without reservation or qualification, and the Ap- plicant agrees to comply with the provisions thereof. Passed by the aforementioned governing body of the Applicant on the of July. 1963 15th day Date _ Julv 15. 1963 (Signed) '1<'~~Z- AttEst: &~~~, 8eatrice T::. /vatts TItle fJ;f,~v~J el~k;;-T~1<r~ 'Acceptance of the above-mentioned Grant Offer Mayor Pro-Tern (Applicant's Attorney) Address: Box 156 Seward, Alaska 99664 Housing and Home Finance Agency Community Facilities Administration CFA-U22 (2-63) Iprevious Editions Obsolete I ".. RECORDING OFFICER I S CERTIFICATE of the I, the undersigned. the duly qualified and acting City of Seward City Clerk-Treasurer Seward ...Alaska , and the keeper of the journal of proceedings of the said City Council of the City of Seward (herein called the "Governing Body"), do hereby certify: 1. That the attached Resolution (herein called the "Acceptance"), is a true and correct copy of a resolution as finally adopted at a meeting of the Governing Body held on the 15th day of Julv . 1963. and duly recorded in my office; 2. That said meeting was duly convened and held in all respects in accordance with law and to the extent required by law due and proper notice of such meeting was given; and a legal quorum was present throughout the meeting. a legally sufficient number of members of the Governing Body voted in the proper manner and for the adoption of said Acceptance; that all other requirements and proceedings incident to the proper adoption or passage of said resolution have been duly fulfilled, carried out, and otherwise observed; and that I am authorized to execute this Certificate. IN WITNESS WHEREOF. I have hereunto set my hand and affixed the official seal of the City of Seware . this 15th day of Julv , 1963. By ~-<L;~<:~ FzO~ Beatrice E. Watts Title City Clerk-Treasurer City of Seward.. ( SEAL) r~ CF4-1121 (2-63) HOUSING AND HOME FINANCE AGENCY COMMUNITY FACILITIES ADMINISTRATION Project No. APW.Alaska-39G Offer Date JU, :1 1963 ACCELERATED PUBLIC WORKS PROGRAM Contract No. H-602-1996 GRANT OFFER Subject to the Terms and Conditions, dated 11-62 , attached hereto and made a part hereof as Exhibit "A," and the Special Conditions attached hereto and made a part hereof as Exhibit "B," the Housing and Home Finance Agency, hereinafter referr58 to as the Government, hereby offers to make a grant of $ 86.530 or percent of the eligible proj ect cost, whichever is the lesser, to City of Seward (herein called the "Applicant"), in order to aid in financing the construction of essential public works or facilities present,ly estimated to cost $ 193,060 consisting of fire station to be built on foundation ofaxistin~ station destroyed by fire, (herein called the "Project"): Provided, that in the event the actual eligible project cost as determined by the Government upon completion is less than $ ]73 oAo , . the amount of the grant shall be reduced so that the grant amount shall not exceed the above percentage of the actual eligible project cost. Upon acceptllnce, this Offer, together wi th the Terms and Condi tions and the Special Condi tions referred to, shall become the "Grant Agreement. " Prior to disbursement of any Government grant monies hereunder, the Applicant shall have the right to terminate this Grant Agreement effective fifteen days after giving notice of termination to the Government. The Government shall have the right to terminate this Grant Agreement, effective upon fifteen days notice thereof to the Applicant, whenever it determines that the Applicant has failed to proceed promptly with the construction and financing of the project. This Offer must be accepted within fifteen days from the date of receipt. Housing and Home Finance Agency Community Facilities Administration Ol\otGtNJ.L SIGr~m .J J,. R. t-uru.d, . By ....,...___-+-__~_w.......... L R. DllRKlE D..., far Hortllwlst ''PIlaU.., Iprevious Editions Obsolete I r ....-. ... ~-... CFA-1120 (11-62) HOUSING AND HOME FINANCE AGENCY COMMUNITY FACILITIES ADMIIITSTRATION TERHS AND CONDITIONS Constituting Part of the Grant Agreement Providing for the Financing and Construction of Public Works or Facilities Under Title II of the Housing Amendments of 1955, as Amended by the Public Works Acceleration Act, Public Law 87-658. Section 1. Definitions. As used in these Terms and Conditions: "Government" means the United States of America. "Project" means the Public Works or Facilities covered by the Grant Agreement. "Grant Agreement" means the contract between the Government and the Applicant covering the Project and includes both these Terms and. Conditions and other contract instrwnents. "Applicant" means the public entity designated in the Grant Agreement. "Project Costs" means the cost of construction work for the Project, cost of necessary architectural/engineering services, legal, administrative and clerical costs, cost of land acquisition, necessary travel expenses, interest during construction and development, and other necessary miscellaneous expenses, all as determined by the Government. . "Eligible Project Costs" means Project Costs less the costs of land, rights-of-way, initial operating supplies and equipment with the exception of those items directly or reasonably required for the completion of construction, planning financed by a Planning Advance under Section 702 of the Housing Act of 1954-,- as amended, and any other ineligible miscellaneous expenses, all as determined by the Government. "Depository Banlc" means a banle or trust company 'l.11ich is a member of the Federal Deposit Insurance Cor~oration. Section 2. Prerequisites to Government's Obligations. The Government shall be under no obligation to disburse funds under the Grant Agreement if: (a) Representations. Arr:! representation made by the Applicant to the Govern- ment in connection with the application shall be incorrect or incomplete in any material respect, or the Government detemines that the Applicant has failed to proceed promptly with Project financing or construction; r~ (b) Concurrence by Government. The Applicant, having submitted to the Government any of the documents mentioned in Section 10 hereof which under the established procedures require the Government t s prior approval, shall have proceeded to make related expenc::'.tureo or inctl:' reln.tco. obllga:'j:l.oll13 w:l:i;hout having been advised by the Govc::l1mcnt t?:lS.t the same o.::e satLl:.:'actor;{; it being the pUI""J?ose of' this prO"T.l.3~_on to :111s'-\,":'e that no e.ction ',liJ.1 be ta1\'.en in the development of the Projec'1; vTh:I.ch wouJ.d l'(:oult i:1 leg,g). or contro.ct.J.!\J. violation render:l.ng it ill'lpoHs:l.blc :'?nr the c-rcrv~~::'":1l1lel1t to ma.:r,e the g.:n11.1; here.. under or for the part:t.es to accOlIJ?l:i.sh the ob~~cds of the G;:ror!; AG7.'l'~Cl!lI)::lt; (c) Prohibited Interests. If any off'icial 01' the Applicant 1;ho is authorized in such capacity and on behalf' of' the Am;>lice.nt to negotiate, make, accept or approve, or to take any part in negotiating, mai.::tng, accepting, or approving any architectural, engineering, ~cnfl}?ection, cons';;:t':iction, materials, supply, or equipment contract or any subco:'.trcct in connection wi th the construction of the Project, EJ:all bcco!1c di:~Qctly or in(li:~ect~r I interested personally in any such contrf...ct or Subco11tr:c\ct, or if any offic:'Al, employee, architect, attorney, engineer or inspector of' or for the Applicant who is authorized in such capacity and on behalf' of the Applicant to exercise any legislative, executive, supervisory or other functions in connection with the construction of the Project, shall become directly or indirectly interested personaLly in al~ C0:18tl~ction, me~cri~ls, supply, equi:pment or insurance contract, in any subcontract or any other contract pertaining to the Project. Section 3. Ap-plicant t s Funds. The Applicant shall initiate and prosecute to completion all proceedings necessary to enable the Applicant to provide its share of the Project Costs on or prior to the time that such funds are needed to meet project costs. Section 4. Legs.l ~rntte:;:'G. The Ap:?:L!.em:t S:1.n}~ .:;c1l:(~ al..... 8.c-',;:'.ons neC'!fH3ar:r to enable it to finance, constl~ct" mld dcvelo-..;> the i."ro:ect :7.n d.'le t:.w~, fUl",1, aw:J, manner as required by !aii' and the Grant Ag::(!0mmt. Section 5. Prerequ.-l..si tea to Gl!l.D':; r!.:'.Gb'(!::!:E~~ltS. P::~_0l' to t::1<;' (rt")"\Te:':l.l!tlellt disbursing any portion of the gJ.'a..""1'G proceeds, t:1.e Aj!.f':L:l.eo.ll-!; H:lE'.J.1 prcHcnt satisfactory evidence that: (a) It has obtained, or can obtain, all lc.nc"'.., righ'~s "of "wP.y, caacl.lents, perm.i. tA, franchises, Federal, State, Count3', and I>-1unicij;>al :l.]?1')."')VaJ.s l"'!quired in connection with the construction and operation of the Project, incluc"'.ing approval of the final plans and specirications by the al'PropriateState authori ties; (b) It has the funds or a firm and. b~"n(lj.!lg cOLlllli t:.aent to j)roviue i t8 shm:'e of: the Project costs; (c) It has deposited into the Construction Account, in addition to the grant proceeds, any portion then available of' the :funds to be furn1shed by the Applicant to meet its share of the Project costs and that it will prODJ;Pt~ deposit any remaining portion of its share of Project costs in order that all payments in connection with the Project can be made as the same becane due; (d) The Project can be cODJ;Pleted at a total cost satisfactory to the Govern- ment which 'W"ill be wi thin the amount of' funds available theref'or; (e) The Applicant (1) has f'o:rmal1y amended its capital improvement plan, budget or other schedule, or is in the process of so amending it, to incorporate the increase in its planned net expenditures f'or capital improvements pursuant to the resolution f'urnished 'With the grant applica- tion; (2) has secured, or is in the process of securing, approval of the amendments by any State or other :public bod:y having author! ty in such matters; and (3) has arranged for, or is proceeding expedi tious~ to obtain, the funds needed for such increase in expenditures. Section 6. Grant Disbursements. The Applicant may requisition disbursements against the grant as follows: ~ III 25% upon a:p:proval of the award of the construction contract(s). 2 50'/0 when construction is 50% complete. 3 15% upon final inspection. 4 10'/0 after Project completion and audit, subject to adjustment to reflect the actual cost as determined by the Government. Such requisitions shall be accompanied by such supporting data as the Govern- ment may require and shall be honored by the Government, subj ect to the provisions of the Grant Agreement. No request for review of a. determination of the Government affecting the grant :payable under the Agreement 'W"ill be considered unless such. request is received by the Government not later than three months following notice to the Applicant of such determination. All accounting records including bank deposit slips, cancelled checks and other supporting docUIIlents and construction contract awards shall be retained inta.ct for audit or inspection by the Government's authorized representatives. Section 7. Construction Account. The Applicant shall set up in a Depository Bank) or with the fiscal agency of the Applicant fixed by law, a separate account or accounts (herein collective:q called the "Construction Account") into which shall be deposited the proceeds of the Government grant and the funds required by the provisions of the Grant Agreement to be furnished by the Applicant to assure the payment of all Project costs. Moneys in the Construction Account shall be expended only for such purposes as shall have been previous~ specified in the project cost estimates a.pproved by the Government. The Applicant shall pay all Project costs from the Construction Account. Moneys in the Construction Account shall be secured by the Depository Bank in the manner prescribed by statutes relating to the securing of public funds. Where the moneys on deposit in the Construction Account exceed the estimated disbursements on account of the Project for the next 90 days, the Applicant may direct the Depository Bank to invest S'.lch e~p.eS3 funds in direct obligat:to:c's 0f, oJ:" obl::.ga.- tions the principal of and iHi;e:,,"Cst on "rhi.ch e::::e gv.G.:m::rtecd bJ', the U:';.i:ted S.:;c.';;(.~~3 Government, which shal]. matu.::,,~ not :.a"ecx' than J.8 mor::ths a,f'f;e:' the (lG.t~ of s'_1c11 investment and which shall be subject to redempUon at an::.r time ay the ho:.c1.c:~' thereof. The ea.rn1ngs from any ::r..1t~l1 invcR-:;men.ts shaJ..:.. be 0.epo3:ttec1. in tbe (hr- struction Account ~J the Applicant. After completion of construction and pl.\yment of all costs of the PoL'oject, P1W balance in the ConstrUction Account shall remain therein pending determinat~on by the Government of the totl;ll. Project cost and the Fee.e:.~a1 g:;:'a.'1t. Such ba'..a'1cr~ shall be used to refund promptly to the Gove:=ent any OI.-erpayment mr;.cle with respect to the Federal gl'ant; any amo'.l.u.t ~uhereaftcr ::-emain:tng sh2_U.. ;,e FJ.vai.lc')le for disposition by the Applicant in accm:-da.nce with its oJehe:- CO::lt:'''C.Ct'lPJ. ag::r~()- ments, applicable State 01" lOGal lB.'" or other governing c0116.it1ons. Section 8. Prompt Procedure--Economic Constroction. The A:;;rp_lic8Ilt cvvenants amI agrees that it will proceed promptly with all matters necessary to the financing and the development of the Project; and that the Project will be undeJ:'taken 8J'.cl developed in such manner that econorrcr wi..ll be promoted in such develo:;:>ment 8.."1(1. :J..n the construction work. Section 9. Approvals and Pel.,ni~;s. The Applicant sb,~.l o~)tain aj??T':nra.:'..s 2.::td permits required by law as a conditioil pl'ecedent to the e.cquisitivn, cor,st:7U.c-i.;io:'., development, and operation of the ~:oject. Section 10. ~ubmission of JCroc_~_e..d2-l1€'~__<:.9pt:.."acta~ oth,:!' Docume::Jts. The Applicant shall submit to the Gove::,1lllent s'lch elata.. rL~?ori;s, ;:r.;c-:;~ B.nd C.OC1:- menta relating to the constl"Uct:!.on, financing, and o?e::o.tion of tl:,e P::"Oject e.s the Government may requi:l.'e. Ap~:"01..-el of the Ga-;o:'~:1JIlent mUElt be o~)"~ainea. pri,)j.' to the assignment of any inte::-est in or :?<-":\'"u of B..'J:Y COllt::n.ct :ceJ.at:i.ng to the Project. Section 11. Construction by Contrar:t. ALl "FOrk on the I':!:oject f",lla1.J. be c.one under contract and wer-,f O:rlflO:-t~iility f"J:1f1ll be given fo::: free, O:'Jen and com:?etit:l:ve bidding for each a:ld eve:t:'J const::clc'~ion., m2;te:r~i.al, fulG. eg~LtlJlilcnt cO'1t:rC'.ct. The Applicant shall give such publicit;\' by aC.vertise:nent or ce.:~s fOl' bids ~J i",; fo:' the furnishing to it of work, labo:-, mt~terials, and eQ.uipmcllt as :~equired by applicable law and 8,S will provide ac.equ.ate com:peti-c:toI2; e.na th0 avard of each contrac~ then-efor shall be m~~L_af'ter a:oprov~_.7,L.:th..e_SO\26JIi~'::;~~ to---0~_l'Y.)'efJ':; responslble bidder as S')012 8.S I'~'<J.ct~-'~t~.;)]_e; P;:,)v::'de:::j tJ-:C'.t in ti.:;e s"J2.e,:"tiO:1 01' equipment or materials ''7~he A:PP.ii'~a!1t-llk'l.Y-, in tS:e i-Tc,,:~cst 0-: s"u2.J"'.ll.-'1:xJ.ze.ti::m or ultimate economy, if the p,c.vantage of 51:ch stw.:;c.nyo.;.ze:J;;.oa or 8".'.C'1 u:~.:tima"t,e economy- is clearly e'"riden.Jc, av?.,rc. a Cr)llt~"C~..::t t"J a ::"es:?onc~:~2.r~ ~:~~_dc:L" o';-:,he:r t:~_G~-:l the lowest in pril1c. The AP':plkent s1~~J.l oota;_:.1 :;::e C-)::.~'x:-::e;1'~a of t~e G')Ve:l~::'- ment before approvi~g S"'iC,),.,.:--.""-t,, ...,1 ~.,"1-1" "" -:-.'"-e p.~)'"...:. , _ ..J. ~.. _.>'""_......~_ "Jl... .. __~... ~.l...i Q VJ ",.., .~_, It. \,.,..... \,I. r- (a) Contracts and subcontracts shall provide for submission at such employment and other data relating to construction of the project as the Applicant ma;v require. (b) The Applicant shall incl.ude in each of its construction contracts a provisicnt requiring the contractor, insofar as practicabl.e, to give preference, in the hiring of workers for the Project, to quallfied l.oca1. 1.abor. The provision al.so will require each contractor to insert the same or a sim:l.l.a.r provision in each subcontract for the Project. Section 12. Changes in Construction Contract. .AIry change in a construction contract shall be submitted to the Government for approval.. Construction contracts shall incl.ude a provision specifying that the above requirement will be met. Section l.3. Contract SeQurity. The Applicant sballrequire that each construction contractor shall furn1.sh a performance bond in an amount at l.east equal. to 100 per- cent of his contract price as security for the faith:t:u1. performance of bis con"trant and al.so a payment bond in an amount not l.ess than 50 percent of his contract price or in a penal. sum not less than that prescribed by State, territorial., or local 1.aw, as security for the PS\YDlent of all persons performing 1.abor on the Project under his contract and furnishing materials in connection with his contract. The perfornnnce bond and the payment bond may be in one or in separate instruments in accordance with local. 1.aw. Section 14. Insurance During Construction. The Applicaflt:;shall require that eaah of its construction contractors and his subcontractors shall maintain, during the life of his contract, Workmen's Compensation Insurance, Public Liability and Property Uunage Insurance in amounts and on terms satisfactory to the Government. The Applicant shall maintain Builders I Risk Insurance (fire and extended coverage) on a 100 percent basis on the insurable portions of the Project for the benefit' of the owner, prime contractor, and all subcontractors as their interests may appear, until the Project is completed and is accepted by the Applicant. Section 15. (a) Wage Rates: Upon receipt of the list of wage rates detemined by the Secretary of Labor in accordance with the Act of March 3, l.93l.,. (Davis- :Bacon Act, as amended), the Applicant shall include such list in all contracts cal.11ng for work on the Project and require adherence thereto. The Applicant shall al.so require of each of its contractors that such list shall be posted at appropriate conspicuous points on the site of the Project. Unless otherwise required by 1.aw, wage rates need not be l.isted for non-manual. workers, including executive J su;pervisory, administrative and clerical. euwloyees. If J a.:t'ter the award of the contract, it becanes necessary to enwloy B.l\Y" person in a trade or occu;pe.tion not c1.assi:fied in the above list, such person shall be paid at not less than a rate to be determined by the Secretary of labor. Such approved minimum rate shall be retroactive to the time at the initial. euwloyment 01' such person in :f\ueh trade or occupation. The contractor shall notify the Applicant of his intention to euwl.oy persons in trades or occupations not classified in suf':f'icient time for the Applicant to obtain approved rates for such trades or occupations. I (b) ~act Work Hours: The Applicant shall comply with the provisions of the Contract Work Hours Star.de.rds Act (P.L. 87-581) which provides that the Applicant will also require of its contractors that no laborer or mechanic shall be required or permitted to be f'Jnployed in such work in excess of eight hours in any calendar day or in excess of forty hou=s in any wor~Teek unless such laborer or mechanic receives campensBtion at a rate not less than one and one-half times his basic rate of pay for all hou:rs worked in excess of deht hours in ccny co.l<mut',!, day or , in excess of forty hours in such workweek as the case may be. Section 16. ~1Jtlent of EmJ?loy~. The Applicant shall require of its cO:.lt,~actors that all employees engaged i!l ~"ork on the Project be paid in full (leBs deductions made mandatory by law) not less often than once each week. Section 17. Wp',ge Under.--.l?E"-yments and Adjustments. The Applicant shall requi::e of each of its contracto)."s the.t.. in cases of underpayment of wages by the cor.tr.actor, the Applicant i!J8,Y withhoJ_d from such contre.etor out of payments due, an amount sufficient to pay worke::s emplo-Jed. .on the work covered by his contract the c.iffe::ence between the wages required to be paid under the con.cract and the wages actually paid such workert3 for the tote.l number of hours worked and may dis'bU!'lcle s..,ch amounts so withheld by it foZ' a'1Q on account of the contractor to the respective employees to whom they a.':'c due. Section 18. Al11;:,-..I<,".ickfJa~k 8t~~'i;ute. The so-called Anti-Kickback Statute, Public I.e.w No. 324,0 T31'Cnror,::g:~:er;:sJ a.Y'p'rO'red June 13, 1934 (48 Stat. 1948 as 8.m~na.ed), and the regu~,at.ionF.l :l.r.::med pu:..'sue,nt thereto, axe a part of the Grant Agree.ue:I1+', and the App:L1..cant shu~l ca.1!ill;\r,o 8,1111 reqvire each of its contractors employed in the construc~;ion, 1?,:osect:.tlon~ 0;' GOln:pletion of the P.i:'oject to comply theI'(:!w:tth, and to cause his sUbcontr8cto~s to do likewise. Section 19. !,-cc:1.tiPI~t:.-.:-'7")''!.::.!2-:,:Lg.:.,,!. ~'he A:pp1i~8.'1t f.lm.ll requ:tre of' its contractors that prec:s;ul'il.\l1 ulJa/.:'.. '~)e I~:e:t',~iseu at all times for the p:~otection of pe:,'~:',':1S (including em:?la:rees) ,'9~-:.d !>1:'O:'1o=.:ty, a.nd that MZal'(lous conditions be guar<:.e-i as/linst or eJ.i:m.'.::lI!.t,';Q. Section 20. ~rW~")l-~-is~.').::~a:,ld Im::;?ection. The Applicant sha~l provic.e "-,-1d l!I<il!l:':;""in. on its aim bel18,l:~ C(>>'ll".QGtent and adequate architectural or enginee:!'ing se::'Vices covering the s.'.1:;;>l;;::i:'V'ir:d.o'-l and ins~ection of the development ana. co~st!~\lcl;ion of the Project. Section 21. Nmlc1iscr::ruii~.ai?ion. The Applicant shall require that tl1ere shall be no discriminfJ:GioI! e.g2,~,nst ~xq employee who is employed in carrying out the Project, or aga::.TIst ~ applicant for such employment, because of race, religion, color or r.atiol;"1..a:L o::igin. This provision shall inClude, but not be llmitec. to, the following: emp1.o~/ment, upgrading, demotion, or transfer; recruitment or recruitment achrel:'tis1.r!g,: layo:ff or termination; rates of payor other forms of compensation; end 881cction fo~ training, including apprenticeship. r' The Applicant shall insert the foregoing provision of this Section in all its . contracts for Project work and will require all of its contractors for such work to insert a similar provision in all subcontracts for Project work; Provided, that the foregoing provisi~n o-::t!:.is Scctlon sbE'.~~. n.ot app:q to con~racts or subcontracts for st:'J.:1(]a,:d comra.ere:tal 8U)?,r.lies or :::'o.W mB.'c;;!:d.....ls. The Applicant sha.ll pos'c at trIe Pl:oject, in cono;?:'.cuous ple.r'es availn.ble to employees and applic/:l.t.""1ts 'Zo"!: e?lpJ.o.y:meu"(;, noti,~~s to be :?!,ovidec1. by the Government setting f'orth the PJ~O"'li.S~tO::l':: o:C: t::ti..~ ::o.0l'\C'J.sc!":!.mi:nn::;ion cJJ'l.Ule. Section 22. Payments to Contracto:~s. Not later than the fifteenth day of each calendar month the Applicant sball make a partial payment to each construction contractor on the basis of'a duly certified and approved estimate of the work perf'ormed during the precedi.'1g calendar month by the particular contractor, but shall retain until f'inal completion and acce:;;rcance of all work covered by the particular contract a reasonable amount, specified in the contract, sufficient to insure the proper perf'orma.11ce of' the contrr.ct. Section 23. Audit and Inspection. The Applicant shall require of' its contractors that the Government I s authorized representatives be perJlli tted, and it will itself permit them to inspect all work, materials, payrolls, records of' personnel, invoices of materials and other relevant data, and records appertaining to the development of' the Project; and shall pennit the Goverrunent' s authorized representa.- tives to inspect or audit the bool~s, records, and acc01.mts of' the Applicant pertain- ing to the Grant and the developncnt of' the P::oject. Section 24. Signs. The Applicant shall cause to be erected at the site of the Project, and maintained during construction, signs satisfactory to the Government identifying the Project and indicating the fact that the Government is participating in the development of' the Projed. Section 25. Operatj,on of ?r;2.J~'et. Th~ Appli:;tUlt CO'Jei1..'m';S that it will operate and maintain the Project or prCT{:.rle fo:;: the opm:-at:f.on antl. ma.:1.ntenance thereof, to serve the objects and purrloses -J:or 1flu.ch t:1e G:nnt has been rilade ava:J.lable under the Federal law' and the tel"lllS of the Grant ~.'ceuent. Section 26. Surety. The Applicn.l1t c;:wcnants 'Ghat each of its officials or employees having custody of Project f'uncls during acquisition, construction, and development of the Project, 8haJ.J. be 'oonaec, a.t e.11 tlLles :l.n an omount at least equal to the total funds in his custo(l~ at any one tine. Section 27. Interest of Third }'ariies. benefit of third parties. The Governnent to any party other than the Applicant. The Grant Agreement is not for the shL\ll not be obligated or liable hereunder Section 28. Interest of Members of 0:::- Dels.~~.'::;es ":;2.22}::.!E.~' No member of or delega.te ,to the Congress of the United States shall be o:.dmitted to any share or part of this Grant Agreement or to IlllY bene:f:!::; ar~.sir.G t~er8frcrn. r Section 29. Bonus or COIIIIIIission. By execution of the Grant Agreement the Applicant represents that it has not paid and, also, agrees not to pay, any bonus or camn:1ssion for the purpose of obtaining an approval of its applica- tion for the Grant hereunder. Section 30. State or Territorial Iaw. ADything in the Grant Agreement to the contrary notwithstanding, nothing in the Grant Agreement shall require the Applicant to observe or enforce compliance with any provision thereof, perform any other act or do any other thing in contravention of any applicable State or territorial law: Provided, That if any of the provisions of the Grant Agree- ment violate any applicable State or territorial. law, or if compliance with the provisions of the Grant Agreement Mould require the Applicant to violate any applicable State or territorial law, the Applicant will at once notify the Government in writing in order that appropriate changes and modifications may be made by the Government and the Applicant to 'the end that the Applicant may proceed as soon as possible with the construction of the Project. ! (5-17-63) EXHIBIT B SPECIAL CONDITIONS Proj ect No. APW-tl..tl....$_)", The following Special Conditions are made a part of the Grant Agreement for the above-numbered project. I. The Applicant agrees that: (a) Within sixty (60) days from the date of receipt of the Grant Offer, it wi II furnish the Government satisfactory evidence that its share of the project cost is available or that firm and binding arrangements have been entered into to provide such funds as they are needed to meet project costs. (b) Within 120 days from the date of receipt of the Grant Offer, it will cause on-site labor to be employed in the construction of the project. Failure of the Applicant to comply with the foregoing shall give the Government the right to terminate the Grant Agreement. 2. The Government shall have the right to reduce the amount of grant set forth in the Grant Offer, upon giving the applicant written notice, if the eligible project costs after award of the construction contracts are determined by the Government to be less than the estimated costs upon which the stipulated amount of the grant was based. 3. The Terms and Conditions (CFA-1120, 11-62) attached hereto are hereby modified as follows: Section 26. Surety is modified by deleting the Section in its entirety.