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HomeMy WebLinkAbout4727 RESOLUTION NO. 4,727 A RESOLUTION AUTHORIZING EXECUTION OF GRANT AGREEMENT; AND FOR OTHER PURPOSES WHEREAS, The City of Little Rock, Arkansas ( Applicant) has heretofore submitted an application to the United States of America, Department of Housing and Urban Development (Government) for a grant under Section 702 of the Housing and Urban Development Act of 1965 , as amended, to aid in financing a certain public works identified as Pro- ject No. WSF-AR-06-37-1011; and WHEREAS, the Government has approved the said application and has submitted to the Applicant a certain Grant Agreement (Agreement) for approval and execution by the Applicant, which said Agreement is satisfactory. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE 4 CITY OF LITTLE ROCK, ARKANSAS . SECTION 1. The said Agreement, a copy of which is attached hereto, be and the same is hereby approved. The City Manager is hereby authorized and directed to execute the said Agreement in the name and on behalf of the Applicant, in as many counterparts as may be necessary, and the 4 City Clerk is hereby authorized and directed to affix or impress the official seal of the Applicant thereon and to attest the same. The City Manager is directed to forward the said executed counterparts of the said Agreement to the Government, together with such other documents evidencing the approval and authorization to execute the same as may be required by the Government. SECTION 2 . This Resolution shall be in full force and effect from and after its adoption. ADOPTED: January 18, 1972 ATTEST: :t APPROVED: f City Cle Mayor s . c . U, S. DEPARTMENT,OF HOUSING AND URBAN DEVELOPMENT GRANT AGREEMENT • (Water and Serer Facilities Grant Program) Name of Applicant: Project No. WSF_AR-06-37-1011 CITY OF LITTLE ROCK, ARKANSAS Federal Contract No. WSF-AR-06-37-1011(G) Address: (Include Zip Code) City Hall Little Rock, Arkansas 72201 • THIS GRANT AGREEMENT dated as of by and between the City of Little Rocks Arkansas, (herein called the "Applicant"), and the United States of America, Secretary of Housing and Urban Development (herein called the "Government") : NOW, THEREFORE, THIS AGREEMENT WITNESSETH: That for and in consideration of the mutual promises hereinafter contained, the parties hereto do covenant and agree as follows: Section 1. Amount and Purpose. Subject to the Terms and Conditions attached hereto and made a part hereof, and the provisions of this Agreement, the Govern- ment will make a Grant to the applicant on account of the Project. The Grant shall in no event exceed the lesser of (i) 50 percent of the Eligible Project Cost, not including the cost of relocation payments and assistance, as determined by the Government on completion of the Project, such cost presently estimated at $ 399,000.00 , and the Government's share of the cost of relocation payments and assistance provided by the applicant in connection with the Project as specified in Section 5 of this Agreement, or (ii) $ 176,000,00 Section 2. Description of the Project. The project shall consist of new storm drainage facilities consisting of box culvert structures, inlets, and connecting pipes to carry surface drainage. (herein called the "Project") . • Section 3. Government Field Expense. The amount of the fixed fee for Government Field expense referred to in Section 33 of the attached Terms and - Conditions shall be $ 1,400.00 , Section 4. Reduction in Grant. The Government shall have the right to reduce the amount of the Grant upon giving the Applicant written notice, if the Eligible Project Cost after award of construction contract is determined by the Government to be less than the estimated cost upon which the stipulated amount of the Grant was based. 1 • t ' 2. • Section 5. Relocation Payments. The applicant agrees to make relocation payments and payments for eligible expenses incidental to transfer of title and condemnation litigation, and tL, provide relocation assistance to or on behalf of • eligible displacees in, accordance with and to the full extent permitted by the regulations or other requirements of the Secretary of Housing and Urban Develop- . ment and within the bugetary limits of this Agreement. Notwithstanding any . other provision of this Agreement, the Government shall provide a Grant to fund the first $25,000 of the cost to the applicant of providing such payments and - assistance for each eligible displacee, pursuant to such regulations or other requirements, displaced prior to July 1, 1972. Costs of the applicant for providing such payments and assitance in excess of said $25,000 per eligible displacee on account of displacement occurring prior to July 1, 1972, and all costs of the applicant for providing such payments and assistance on account of displacement occurring on_or after July 1, 1972, shall be treated and funded as are other eligible project costs. Grant funds from the total amount thereof set forth in Section 1 of this Agreement, used to fund the cost of relocation payments and assistance in accordance with this Section of this Agreement shall . not without the prior written consent of the Secretary of Housing and Urban Development, exceed $ 0. Section 6. Special Conditions. The Government's obligation to make the Grant is also subject to the Special Conditions attached hereto and made a part hereof as Attachment None IN WITNESS WHEREOF, this Agreement has been executed in the name and on behalf of the City of Little Rock, Arkansas by the undersigned official, and under its official seal, attested by its , and in the name and on behalf of the United States of America, Secretary of Housing and Urban Development, by the undersigned official. CITY OF LITTLE ROCK, ARKANSAS By (Signature (SEAL) wM ATTEST: ' (Type Name and Title) (Signature) (Type Name and Title) ` UNITED STATES OF AMERICA Secretary of Housing and Urban Development • — By Area Director • Little Rock Area Office - (Date) ATTACHMENT "A" • • TERMS AND CONDITIONS Constituting Part of the Grant Agreement Providing for the Financing and Construction of Water or Sewer Facilities Under Title VII of the . Housing and Urban Development Act of 1965, Public Law 89-117, August 10, 1965. Section 1. Definitions.--As used in these Terms and Conditioas: "Government" means the United States of America. "Project" means the Water or Sewer Facilities covered by the Grant Agreement. "Grant Agreement" means the contract between the Government and the Grantee covering the Project and includes both these Terms and Conditions and any other contract documents attached thereto or made a part thereof. "Grantee" means the public entity or entities designated in the Grant Agreement. "Project Cost" 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 other necessary miscellaneous expenses. "Eligible Project Cost" means the cost of construction, of land acquired for the project, and of site improvements, all as . determined by the Government. "Depository" means a bank or trust company which is a member of the Federal Deposit Insurance Corporation. "Project Site" means any of the land, rights-of-way, easements, or other interests in land acquired by the Grantee in connection • with the development of the site. "Secretary" means the Secretary of Housing and Urban Development or his authorized representative. Section 2. Prerequisites to Government's Obligations.--The Government shall be under no obligation to disburse funds under the Grant Agreement if: • (a) Representations.--Any representation made by the Grantee to the Government in connection with the application, shall be incorrect or incomplete in any material respect, or the Government determines that the Grantee has failed to proceed promptly with Project financing or construction. (b) Concurrence by Government.--The Grantee having submitted to the Government the documents mentioned in Section 16 hereof, shall have proceeded without having been advised by the Government that the same are.satisfactory; it being the purpose of this provision to insure that no action will be taken in the development of the project which HUD-111420 (6-71) • would result in legal or contractual violation rendering it impossible for the Government to make the grant hereunder or for • the parties to accomplish the objects of the Agreement, (c) Prohibited Interests.---Any official or employee of the Grantee who excrc:ises any functions or responsibilities in connection with the carrying out of the Project has, during his tenure or for three years thereafter, an interest in any real .property included in the project, or any financial interest, direct or indirect, in any contract or subcontract pertaining to the project. The Grantee shall adopt and enforce such measures as are required by Section '33 of these Terms and Conditions to effectuate this provision. • (d) Litigation.--There is then pending litigation with respect to performance by the Grantee of any of its duties or obligations which may jeopardize or adversely affect the Project or this Grant Agreement. • (e) Performance.--Any event has occurred which makes the accomplishment of the Project by the Grantee impossible, improbable, infeasible, or illegal. Section 3. Grantee's Iunds.--The Grantee shall initiate and prosecute to completion all proceedings necessary to enable the Grantee to provide its share of the Project Cost on or prior to the time that such funds are needed to meet project costs. Section 4. Legal Matters.--The Grantee shall take all actions necessary to enable it to finance, construct, and develop the project in due time, form and manner as required by law and the Grant Agreement. Section 5. Land Acauistion.--The Grantee covenants and agrees that in acquiring real property for the project it will be guided to the greatest extent practicable under. State law by the land acquisition policies in Section 301 and the provisions of Section 302 of the "Uniform Relocation and Real Property Acquisition Policies Act of 1970" and that it will comply with Sections 303 and 304 of said Act. Section 6. Job 9por"tunities for Un-and Under-employed--Applicant shall be responsible for assuring, in accordance with such rules or procedures as may be prescribed by the Government, that to the maximum extent practicable there are provided in connection with the construction of this project new job opportunities for the unemployed and underemployed. In carrying out this responsibility applicant shall include or cause to be included in all contracts for construction work in connection with the Project a provision stating that the contractor (1) - shall, to the maximum extent practicable, follow hiring and employment practices which will assure that performance of Project work results in new job opportunities for the unemployed and underemployed, and (2) shall insert or cause to be inserted the same or a similar provision in each construction subcontract. Sections 7-8. [RESERVED] - HUD-41420 (6-71) 2 • • Section 9. Records of Negotiations.--The Grantee covenants and agrees that it will maintain complete and accurate records of all negotiations and other actions affecting. acquisition of any property in connection with the Project and such records shall be available for inspections by representatives of the Government. Such records shall be maintained in one place for a period of at least three years following completion of construction. of the Project. • Section 10. Disbursement of Grant Funds for Land Acouisition.--The Grantee may requisition disbursemenis on account of grant provided in the Agreement for acquisition of land at any time after receipt of the Agreement as needed to enable the Grantee to make payment as required under Section 5 above, provided (1) no impediment exists which would prevent carrying forward of the Project and (2) the Grantee has a firm and binding commitment for its share of the Project costs, and (3) the cost of the land so acquired is acceptable to the Government. In the event the Project for any reason is subsequently abandoned, the Grantee covenants and agrees that it will repay any funds disbursed hereunder. Section 11. Grant Disbursements.--The Grantee may requisition disbursements on . account of the grant provided in the Agreement at any time. Such requisitions shall be accompanied by such supporting data as the Government may require. The Government shall honor, subject to the provisions of the Agreement, such requisitior_E in amounts and at times deemed by it to be proper to insure the expeditious prosecution and payment to the costs of the Project. All disbursements by the Government on account of grant provided in the Agreement shall be deposited directly in the Granteers designated depository by the Government. No request for review • of a determination of the Government affecting the grant payable under the Agree- .ment will be considered unless such request is received by the Government not later thanthree months following notice to the Grantee of such determination. In no event shall the total amount of grant funds disbursed to pay land and construction costs exceed 90 percent of the grant amount specified in the Agree- ment for such costs until after the Project has been completed and audited, and the final grant amount determined by the Government. Section 12. Prerequisites to Disbursements.--Priorto the Government disbursing any portion of the grant except as provided otherwise in Section 10 above, the Grantee shall present satisfactory evidence that: (a) It has obtained, or can obtain, all land, rights-of-way, easements, permits, franchises, Federal, State, County, and Municipal approvals required in connection with the construction and operation of the Project, including approval of the final plans and specifications by the appropriate State authorities; (b) It has the funds or a firm and binding commitment to provide its shares of the Project Cost; (c) It has deposited into the designated Account, any portion then available of the funds to be furnished by the Grantee to meet its share of the Project Cost and that it will promptly deposit any remaining portion of its share of the Project Cost in order that all payments in connection with the Project can be made as the same • become due; HUD-4l420 (6-71) 3 (d) The Project can'be completed at a total cost satisfactory to the Government which will be within the amount of funds available • therefor; and . . • (e) It is able to provide or obtain the provision of all necessary building or household connections and local collection or distribution laterals as determined by the Government from sources • other than grant funds hereunder. ..: Section 13. Construction Account.--The Grantee shall establish and maintain 'with a designated Depository, or a fiscal agency of the Grantee fixed by law, a separate account or accounts (herein collectively called the "Construction 'Account") into which shall be deposited any temporary loans, Government grants, and the additional funds required by the provisions of the Grant Agreement to be :,j' furnished by the Grantee in order to assure the payment of all Project Costs. Moneys in the Construction Account shall be expended only for such purposes as shall have been previously specified in the Project Cost estimates approved by the Government. The Grantee shall pay all Project Costs from the Construction Account. Moneys in the Construction Account shall be secured by the Depository 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 disburse- ments on account of the Project for the next 90 days, the Grantee may direct the Depository to invest such excess funds in direct obligations of, or obligations the principal of and interest on which are guaranteed by, the United States Government, which shall mature not later than 18 months after the date of such . investment and which shall be subject to redemption at any time by the holder thereof. • • After completion of construction and payment of all costs of the Project, any balance in the Construction Account shall remain therein pending determination by the Government of the total Project Cost and the grant. Such balance shall be used•to refund promptly to the Government any overpayment made, with respect to the grant; any amount thereafter remaining shall be available for disposition by the Grantee in accordance with its other contractual agreements, applicable . State or local law or other governing conditions. Section 14. Prompt Procedure - Economic Construction.--The Grantee covenants • and agrees that it .will proceed promptly with all matters necessary to the financing and the development of the Project; aid that the Project will be under- taken and developed in such manner that economy will be promoted in such develop- ment and in the construction work. Section 15'. Approvals and Permits.--The Grantee shall obtain approvals and permits required by law as a condition precedent to the acquisition, construction, development, and operation of the Project. • HUD-141420 (6-71) • • • . • • • Section 16. Submission of Proceeding; Contract and Otho • Documents.--The Grantee shall submit to the Government such data, reports, records and documents relating to the financing, construction, and operation of the project as the Government may require. Approval of the Government must be obtained prior to the assignment of any interest in or part of any contract relating to the Project. Section 17. Construction by Contract.--All work on the Project shall be done under contract and every opportunity shall be given for free, open and competitive bidding for each and every construction, material, and equipment contract. The Grantee shall give such publicity by advertisement or calls for bids by it for the furnishing to it of work, labor, materials, and equipment as required by applicable law and as will provide adequate competition; and the award of each contract therefor shall be made, to the lowest responsible bidder as soon as practicable: Provided, that in the selection of equipment or materials the Grantee may, in the interest of standardization or ultimate economy, if the advantage of such standardization or such ultimate economy is clearly evident, and if permissible under applicable local lair, award a contract to a responsible bidder other than the lowest in price. The Grantee shall prior to the award of a contract, obtain verification from the Government proposed contractor is not debarred from participating in Federally assisted construction activities. Similar verification is required for subcontracts relating to the Project. Section 18. Changes in Construction Contract.--Any change in a construction contract shall be submitted to the Government. • ' Section 19. Contract Security.--The Grantee shall require that each construction contractor shall furnish a performance bond in an amount at least equal to 100 percent of his contract price as security for the faithful performance of his contract and also a payment bond in an amount not less than 100 percent of his contract price or in a penal sum not less than that prescribed by State, territorial, or local law, whichever is greater as security for the payment of all persons performing labor on the Project under his contract and furnishing materials in connection with his contract. The performance bond and the payment bond may be in one or separate instruments in accordance with local law. Section 20. Insurance During Construction.--The Grantee shall require that each of its contractors and all subcontractors maintain during the life of his contract, Workmen's Compensation Insurance, Public Liability, Property Damage, and Vehicle Liability Insurance, in amounts and on terms satisfactory to the Government. Until the Project is completed and accepted by the Grantee, the Grantee or (at the option of the Grantee) the contractor is required to maintain Builders Risk Insurance (fire and extended coverage) on a 100 percent basis (completed value form) on the insurable portion of the Project for the benefit of the Grantee the prime contractor, and all subcontractors, as their interests may appear. Section 21. Wage Rates.--The Grantee shall comply with the provisions of the Act of March 3, 1931 (Davis-Bacon Act, 40 USC sec. 1276), as amended, and the applicable rules and regulations issued by the Secretary of Labor thereunder which are incorporated herein by reference. The Grantee shall cause to be inserted HUD-41420 5 in each contract or subcontract subject to the Davis-Bacon Act the specific .provisions required by the regulations of the Secretary of Labor. Section 22. Contract Work Hours.--The Grantee shall comply with the provisions of the Contract Work Hours Standards Act (110 USC secs. 327-332) and the applicable rules and regulations issued by the Secretary of Labor thereunder which are incorporated herein by reference. The Grantee shall cause to be inserted in each contract or subcontract subject to the Work Hours Standards Act the specific provisions required by the above regulations. Section 23. Copeland Act.--The G.ar_tee,shall comply- with the provisions of the Act (Anti-Kickback) . 48 Stat. 1918, as amended, and the applicable rules and regulations issued bythe Secretary of Labor thereunder which are incorporated herein by reference. The Grantee shall cause to be inserted in each contract or subcontract subject to the Copeland Act the specific provisions required by the above regulations. • Section 211. Payment of Fmpl.oyees.--The Grantee shall require of its contractors that all employees engaged in wor.c on the Project be paid in full (less deductions made mandatory by law) not less often than once each week. Section 25. Accident Prevention.--The Grantee shall require of its contractors that precaution shall be exercised at all times for the protection of persons (including employees) and property, and that hazardous conditions be guarded against or eliminated. Section 26. Sipervision and Inspection.--The Grantee shall provide and maintain on its own behalf competent and adequate architectural or engineering services covering the supervision and inspection of the development and construction of the Project. Section 27. Civil Rights Act of 196h .--The Grantee covenants and agrees that it will comply with Title VI of the Civil Rights Act of 19611 (40 USC 2000d), and with the rules and regulations (211 CFR, Subtitle A) of the Department of Housing and Urban Development issued pursuant thereto. Section 28. Payments to Contractors.--Not later than the fifteenth day of each calendar month the Grantee shall make a partial payment to each construction contractor on the basis of a duly certified and approved estimate of the work performed during the preceding calendar month by the particular contractor, but shall retain until final completion and acceptance of all work covered by the particular contract a reasonable amount, specified in the contract, sufficient to insure the proper performance of the contract. Section 29. Inspection of. Work and oflbcor Maintenance of Records.--The Grantee= shall require of its contractors that the Government's authorized representatives be permitted, and it will itself permit them to inspect all work, materials, pay- rolls, records of personnel, invoices of materials and other relevant data and records appertaining to the development of the Project. The Grantee shall maintain proper and accurate financial records, books and accounts pertaining to the grant and the development of the Project that will readily disclose (1) relocation costs, (2) eligible and ineligible construction costs, and (3) other Project costs, and shall permit the Government's authorized representatives to examine such books, • HUD-111120 (6-71) • • records, and accounts including weekly contractors payrolls. The Grantee agrees to maintain all of the aforesaid data; records and invoices in one place for at least a period of three years following completion of construction of the Project. Section 30. Signs.--The Grantee 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 Project. Section 31. Audit.--The Grantee shall contract at its own expense for an audit of the Project by an independent certified or licensed public accountant; a copy of the contract shall be furnished to the Government; and three copies of the audit •report in substance satisfactory to the Government shall be furnished promptly to the Government. Section 32. Government Field Expense.--The Government will deluct the amount of the fixed fee for Government Field Expenses specified in Section 3 of the Grant . Agreement from the grant. Section 33. Interest of Public' Officials and Employees.--'The Grantee shall adopt and enforce measures to assure that no official or employee of the Grantee who -_ exercise any functions or responsibilities in connection with the carrying out of the Project-has during his tenure, or for three years thereafter, interest in any real property included in•the Project, or any financial interest, direct-- • or indirect, in any contract or subcontract pertaining to the Project. If any such official or employee presently owns or controls or in the future acquires any such interest, he shall immediately disclose it to the Grantee. The Grantee shall promptly advise the Secretary of the facts and circumstances concerning any disclosure made to it, and the Secretary shall advise the Grantee of the action to be taken. A necessary easement acquired by condemnation or at fair market value shall not be considered an interest in real property within the meaning of this section.- -- • Section 34. Interest of Third Parties.--The Government shall not be liable or obligated under this Agreement to any party other than the Grantee. Section 35. Interest of Members of or Delegates to Congress.--No member of or delegate to the Congress of the United States shall be admitted to any share or part of this Agreement or to any benefit arising therefrom. Section 36. Bonus or Commission.--By execution of the Agreement, the Grantee_ ., represents that it' -as not paid and, also, agrees not to pay, any bonus commission or fee for the purpose of obtaining an approval of its application for the grant hereunder, or any other approval by the Government which may be necessary -- under this Agreement. - HUD-41420 (6-71) • 7 • Section 37. State or. Territorial Law.--Anything in the Agreement to the contrary notwithstanding, nothing in the Agreement shall require the Grantee to observe or enforce compliance with any provision thereof, perform any other act or do any other thing in contraventioncf any applicable State or territorial law: Provided, That if any of the provisions of the Agreement violate any applicable State or territorial law, or if compliance with the provisions of the Agreement would require the Grantee to violate any applicable State or territorial law, the Grantee will at once notify the Government in writing in order that appropriate changes and modifications may be made by the Government and the Grantee to the end that the Grantee may proceed as soon as possible with the construction of the project. Section 38. Waivers.--Subject to the applicable Federal law, any liability or remedy which the Government may have under this Agreement may be waived in writing by the Government by a formal waiver and either with or without the execution of any amendatory or supplementary agreement, if in the opinion of the Government this Agreement as so modified will still conform to the . provisions and requirements of applicable laws. However, in no event shall the making by the Government of any grant payment to the Grantee constitute or be construed as a waiver by the Government of any breach or any default which may- then exist on the part of the Grantee, including but not limited to non- compliance with any of the prerequisites set forth in Section 2 hereof. The making of any such payment shall in no way impair or prejudice any right or. . remedy available to the Government with respect to such breach or default. Section 39. Termination or Suspension of the Agreement.--The Government may terminate or suspend this Agreement upon the violation of any of the terms • or conditions of this Agreement. The Government shall not be limited to recovery of all or part of the grant for any such violation, but shall also be entitled to injunctive or other equitable relief as appropriate. Section 0. How Agreement Affected by Provisions Being Held Invalid.--If any provisions of this Agreement is held invalid, the remainder of this Agreement shall not be affected thereby if it is in conformity with the terms and require- ments of applicable laws. Section ill. O.eration Sale or Disposal of the Project.--The Grantee covenants and agrees that: (a) . It will operate and maintain the Project, or provide for the operation and maintenance thereof, to serve the objects and purposes for which the grant has been made available under Federal law and the terms of the Grant Agreement. (b) It will not sell, lease, or otherwise dispose of the Project or any portion thereof without prior written approval of the Government. Such approval will be based upon such conditions as the Government deems appropriate and may include repayment of all or part of the grant. HUD-41420 (6-71) 8 (c) The Government shall not be limited to recoVery of all or part of the grant for enforcement of the requirerrlents of this Section, but shall also be entitled to injunctive or 'other equitable relief as appropriate. • • • • • HUD-411420 (6-71) 9 . U. S. Department of Housing and Urban Development Attachment "C" EQUAL EMPLOYMENT OPPORTUNITY.. Water and Sewer Facilities Grant Program (F) Equal Employment Opportunity (1) Activities and Contracts Not Subject to Executive Order. 1146. • In the carrying out of the Project, the Applicant will not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. The Applicant 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 or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprentice- ship. The Applicant agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the Government setting forth the provisions of this nondiscrimination clause. The Applicant tell, in all solicitations or advertisements for employees placed by or on behalf of the Applicant, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, or national origin. • The Applicant will incorporate the foregoing requirements of this paragraph (1) in all of its contracts for Project work, except contracts governed by paragraph (2) of this subsection and contracts for standard commercial supplies or raw materials, and will require all of its contractors for such work to incorporate such requirements in all subcontracts for Project work. • (2) Contracts Subject to Executive Order 1126•--The Applicant hereby agrees that it will incorporate or cause to be incorporated into any contract for construction work, or modification thereof, as defined in the regulations of the Secretary of Labor at 41 CFR Chapter 60, which is paid for in whole or in part with funds obtained from the • Federal Government pursuant to a grant, contract, loan, insurance, or guarantee, or undertaken pursuant to any Federal Program involving such grant, contract, loan, insurance, or guarantee, the following equal opportunity clause: "During the performance of this contract, the contractor agrees as follows: "(a) The contractor will not discriminate against any. employee or applicant for employment because of race, color, religion, sex, or national origin. The contractor will take affirmative HUD • (6-71) • L y • -2- 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 transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided setting forth the provisions of this Equal Opportunity clause. "(b) The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex or national origin. "(c) The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice to be provided advising the said labor union or workers' representatives of the contractor 's commitments under this Section, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. "(d) The contractor will comply with all provisions of Executive Order 112116 of September 2! , 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor. "(e) The contractor will furnish all information and reports required by Executive Order 1124.6 of September 214, 1965, and by rules, regulations, and orders of the Secretary of Labor, or pursuant thereto; and will permit access to his books, records, and accounts by the Department of Housing and Urban Development and the Secretary of Labor for purpose of investigation to ascertain compliance with such rules, regulations, and orders. "(f) In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of • HUD (6-71) • -3- • • thesaid 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 contracts or federally assisted construction contracts in accordance with procedures authorized in • Executive Order 11216 of September 21, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive Order 11216 of September 21, 1965, or by rules, • regulations, or orders of the Secretary of Labor, or as - otherwise provided by law. "(g) The contractor will include the portion of the sentence immediately preceding subparagraph (a) and the provisions of subparagraphs (a) through (g) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to Section 201 of Executive Order 11216 of September 24, 1965, so that such provisions will he binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as the Department of Housing and Urban Development may direct as a means of enforc- ing such provisions, including sanctions for noncompliance: Provided, however, That in the event a contractor becomes • • involved in, or is threatened with, litigation with a sub- contractor or vendor as a result of such direction by the Department of Housing and Urban Development, the contractor may request the United States to enter into such litigation to protect the interests of the United States." The Applicant further agrees that it will be bound by the above • equal opportunity clause with respect to its mm employment practices when it participates in federally assisted construction work: Provided, That if the Applicant so participating is a State or local government, the above equal opportunity clause is not applicable to any agency, instrumentality or subdivision of such government which does not participate in work on or under the contract. (3) Contract for Construction.--As used in this subsection, "contract for construction" means any contract or agreement for demolition, site clearance, site preparation, or rehabilitation, any contract for the disposition of Project Land, and any contract for construction on Project Land retained by the Applicant. • HUD (6-71) • • • • • i _4- (14) ; Enforcement Obligations of the Applicant.--The Applicant agrees that • it will assist and cooperate actively with the Department of Housing and Urban Development 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 Department of Housing and Urban Development and the Secretary of Labor such informa- tion as they may require for the supervision of such compliance, and that it will otherwise assist the Department of Housing and Urban Development in the discharge of the said Department's primary responsibility for securing compliance. The Applicant agrees that it will refrain from entering into any contract modification subject to Executive Order 11216 of September 24, • 1965, with a contractor debarred from, or who has not demonstrated eligibility for, Government contracts and federally assisted construction contracts pursuant to the above cited 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 Department of Housing and Urban Development or the Secretary-of Labor pursuant to Part II, Subpart D of the Executive Order. In addition, the Applicant agrees that if it fails or refuses to comply with these undertakings, the Department of Housing and Urban Development may take any or all of the following actions: cancel, terminate, or suspend in whole or in part this Contract; refrain from extending any further assistance to the • Applicant under the Project with respect to which the failure or refusal occurred until satisfactory assurance of future compliance • has been received from the Applicant;and refer the case to the Department of Justice for appropriate legal proceedings. • I 1 • • HUD (6_71) • • • . .s • •