HomeMy WebLinkAboutContract 16742002-0046
ANOKA COUNTY COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
AGREEMENT
between
THE COUNTY OF ANOKA,
A POLITICAL SUBDIVISION OF THE STATE OF MINNESOTA,
BY AND THROUGH THE ANOKA COUNTY HOUSING & REDEVELOPMENT AUTHORITY,
A PUBLIC BODY CORPORATE AND POLITIC
AND
CITY OF COLUMBIA HEIGHTS
This Agreement is entered into this 1st day of July, 2002, between the County of Anoka, a political
subdivision of the State of Minnesota, by and through the Anoka County Housing and Redevelopment
Authority, a public body corporate and politic (hereinafter referred to as the "HRA"), and the City of Columbia
Heights (hereinafter referred to as the "Agency"):
RECITALS
Ao
The County of Anoka (hereinafter "County") is an urban county applicant for block grant funds under
the Housing and Community Development Act of 1974 (the Act), Pub. L. 93-383 as amended, and
will receive block grant funds for the purpose of carrying out eligible community development and
housing activities under the Act and under regulations promulgated by the Department of Housing and
Urban Development (HUD) at 24 CFR p. 570;
An Urban County Consortium has been established by a Joint Cooperation Agreement between the
County and municipal corporations within the County, the terms of which specify allocation of block
grant funds to those participating jurisdictions for use in accordance with the County Housing
Assistance and Community Development Plans accepted by participating jurisdictions and reviewed
by HUD;
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The County has entered into a joint powers agreement with the HRA to administer the Community
Development Block Grant Program and delegated to the HRA the rights, duties and obligations to
disperse, monitor and administer funds under the Community Development Block Grant program, in a
manner consistent with terms and condition imposed on the County by agreement, County resolution,
HUD regulations, and the Community Development Block Grant Plan;
The HRA desires to have certain services performed by the Agency as described within this
agreement, and as authorized by County resolutions for the purpose of implementing eligible activities
under the Act and HUD regulations;
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It is appropriate and mutually desirable that the Agency be designated by the HRA to undertake the
aforementioned eligible activities, so long as the requirements of the Act, HUD Regulations, state law
and local law are adhered to, as provided for herein;
The purpose of this Agreement is to provide for cooperation between the HRA and the Agency, as the
parties in this agreement, in implementing such eligible activities in the manner described above;
The parties are authorized and empowered to enter into this Agreement by the Laws of the State of
Minnesota.
H. The attached exhibits as listed below are hereby incorporated in this agreement and made a part hereof: '
PART I.
PART II.
PART III.
Exhibit A
Exhibit B
Exhibit C
Exhibit D
Exhibit E
Exhibit F
Exhibit G
Exhibit H
GENERAL CONDITIONS
FEDERAL AND LOCAL PROGRAM REQUIREMENTS
EVALUATION AND RECORD KEEPING
Project Description and Budget
Objectives of CDBG Funds
Anoka County Board Resolution No. 85-42
Anoka County Board Resolution No. 85-23
Anoka County Board Resolution No. 86-70
Certification
· Equal Employment Opportunity Certification
Federal Labor Standards Provisions
I. In consideration of payments, covenants, and agreements hereinafter mentioned, to be made and
performed by the parties hereto, the parties, mutually covenant and agree as provided ~eement.
COUNTY AGENCY / I
Steve Novak, Division Manager
Governmental 'Services
Dated:
APPROVED AS TO FORM:
Name (typed): Gary L. Peterson
Title: ~ ~3.~'''~
Dated:. 5-'~ '" .~ ~(~J'~-.
Name (typed): Walter R. Fehst
Dated: ~r~/~//~'"~. /
Hereinafter, references to the "County" shall be deemed to be references to the Anoka County Housing and
Redevelopment Authority.
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PART I.
1.
GENERAL CONDITIONS
SCOPE OF AGREEMENT
The Agreement between the parties shall consist of the signature page, the general conditions; the
federal, state and local program requirements; the evaluation and record keeping requirements, each
and every project exhibit incorporated into the Agreement; all matters and laws incorporated by
reference herein; and any written amendments made according to the general conditions. This
Agreement supersedes any and all former agreements applicable to projects attached as exhibits to this
Agreement.
2. SCOPE OF SERVICES
The Agency shall perform and carry out in a satisfactory and proper manner the services set forth in
the Exhibit(s) attached hereto. In the case of multiple projects, each project shall correspond to a
separate exhibit. This Agreement may be amended from time to time, in accordance wi, th the general
conditions, for the purpose of adding new projects, amending the scope of work, or for any other
lawful purpose.
3. cOMMENCEMENT AND TERMINATION OF PROJECTS
Upon release of project-related funds by HUD pursuant to federal regulations, the County shall furnish
the Agency with written notice to proceed. No work on the project shall occur prior to the notice to
proceed without written approval from the County. Termination dates for individual projects shall be
specified in ~e appropriate exhibits and be in compliance with County Board Resolution #85-23,
attached as Exhibit D. Costs incurred after the termination date will not be reimbursed. The
termination date may be changed through amendment of this Agreement.
4. ADMINISTRATION
The Agency shall appoint a liaison person who shall be responsible for overall administration of
block ~rant funded proiect(s) and coordination with the County Housing and Community
Development Program. The Agency shall also designate one or more representatives who shall
be authorized to sign the monthly Voucher and Reporting Form. The names of the liaison
persons and representatives shall be specified in the Exhibits.
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For all agencies which are presently parties to Joint Cooperation Agreements with the County
covering planning, ..di_stribution of funds, and program execution under the Act, the Agency
remains subject to the provisions of such agreement.
5. COMPENSATION AND METHOD OF PAYMENT
Ao'
The County shall reimburse the Agency for the services specified in the Exhibits in an amount
specified on Exhibit A. Reimbursement shall be based on a Community Development Voucher
and Reporting Form submitted with supporting documents and signed by the Agency's authorized
representative.
The Agency shall submit a properly executed Voucher and Reporting Form no later than fifteen
(15) working days after the close of each billing period. The County will make payment to the
Agency not more than twenty-one (21) working days after said invoice is received and approved
by Anoka County.. The County will issue a statement of correction voucher in the event that the
voucher request is erroneous. Payment does not constitute absolute approval.
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6. OPERATING BUDGET
The Agency shall apply the funds received from the County under this Agreement in accordance with
the requirements of the Exhibit(s) attached hereto.
7. FUNDING ALTERNATIVES AND FUTURE SUPPORT
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The Agency shall report all program income generated under this Agreement for the purposes
specified herein or generated through the project(s) funded under this Agreement. All program
income shall be forwarded to Anoka County, except as provided in Exhibit C. The County
will maintain a record of program income received by individual projects for future use by the
subgrantee for eligible CDBG activities.
B. The County makes no commitment to future support and assumes no obligation for future support
of the activities contracted for herein, except as expressly set forth in this Agreement.
Should anticipated sources of revenue not become available to the County for use in the
Community Development Block Program, the County shall immediately notify the Agency in
writing and the County will be released from all contracted liability for that portion of the
Agreement covered by funds not received by the County.
8. AMENDMENTS
Either party may request modifications in the scope of services, terms, or conditions of this Agreement.
Proposed modifications which are mutually agreed upon shall be incorporated by written amendment
to this Agreement. A written amendment may affect a project or projects authorized by this
Agreement or may be of general application.
9. ASSIGNMENT AND SUBCONTRACTING
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The Agency shall not assign any portion of this Agreement without the written consent of the
County, and it is further agreed that said consent must be sought by the Agency not less than
fifteen (I 5) days prior to the date of any proposed assignment.
Any work or services assigned or subcontracted hereunder shall be subject to each provision of
this Agreement and proper bidding procedures contained therein. The Agency agrees that it is as
.fully responsible to the County for the acts and omissions of its subcontractors and of their
employees and agents, as it is for the acts and omissions of its own employees and agents.
10. HOLD HARMLESS AND INDEMNIFICATION
A. The Agency further agrees that it is financially responsible (liable) for any audit exception which
occurs due to its negligence or failure to comply with the terms of the Agreement.
The Agency agrees to protect and save the County, its elected and appointed officials, agents, and
employees while acting within the scope of their duties as such, harmless from and against all
claims, demands, and causes of action of any kind or character, including the cost of defense
thereof, arising in favor of the Agency's employees or third parties on account of personal
injuries, death or damage to property arising out of services performed or omissions of services or
in any way resulting from the acts or omissions of the Agency and/or its agents, employees,
subcontractors or representatives under this Agreement.
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11. INSURANCE
For all agencies which are no__[ municipal corporations organized under the laws of the State of
Minnesota, the following insurance requirements shall apply:
A. Public Liability Insurance
The Agency shall obtain and maintain continuously public liability insurance necessary to protect
the public on the subject premises naming the County of Anoka and the Anoka County Housing
and Redevelopment Authority as additional insured to the extent of One Million and no/100
Dollars ($1,000,000.00) General Liability Insurance including bodily injury and property damage
with umbrella excess liability of One Million and no/100 Dollars ($1,000,000.00) and provide
proof of Worker's Compensation Insurance pursuant to the Statutes of the State of Minnesota.
B. Building Risk Insurance
The Agency shall cause to be maintained, during the period that contract work is in progress, All
Risk Builder's Insurance, (including fire, vandalism, malicious mischief and extended coverage)
in an amount not less than the value of destructible contract work in place.
C. Proof of Insurance
The Agency shall provide certificates of insurance required under this section, or, upon request of
the County, duplicates of the policies as evidence of the insurance protection afforded. Such
insurance policies shall not be reduced or canceled without thirty (30) days prior written notice to
the CountY.
12. CONFLICT OF INTEREST
Interest of Officers, Employees, or Agents - No employee, agent, consultant, officer, or elected or
appointed official of the Agency who exercises any functions or responsibilities with respect to
Block Grant Program activities assisted under this Program or who are in a position to participate
in a decision malting process or gain inside information with regard to such activities, may obtain
a personal or financial interest or benefit from the activity, or have an interest in any contract,
subcontract or agreement with respect thereto, or the proceeds thereunder, either for themselves
or those with whom they have family or business ties, during their tenure or for one year
thereafter.
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Interest of Subcontractor and Their Employees - The Agency agrees that it will incorporate into
every subcontract required to be in writing and made pursuant to this Agreement the following
provisions:
The Contractor covenants that no person who presently exercises any functions or
responsibilities in connection with the Block Grant Program, has any personal financial
interest, direct or indirect, in this Contract. The Contractor further covenants that he
presently has no interest and shall not acquire any interest, direct or indirect, which would
conflict in any manner or degree with the performance of his services hereunder. The
Contractor further covenants that in the peffo .finance of this Contract no person having any
conflicting interest shall be employed. Any interest on the part of the Contractor or his
employees must be disclosed to the Agency and the County.
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13. DATA PRIVACY
All data collected, created, received, maintained, or disseminated, or used for any purposes in the
course of the Provider's performance of this Agreement is governed by the Minnesota Government
Data Practices Act, Minnesota Statutes 2001, Section 13.01 et seq. or any other applicable State
statutes and any State rules adopted to implement the Act, as well as State statutes and Federal
regulations on data privacy. The Provider agrees to abide by these statutes, rules, and regulations and
as they may be amended.
14. TERMINATION
A. This Agreement is subject to termination upon thirty (30) days written notice by the County
should:
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(1) the Agency mismanage or make improper or unlawful use of Agreement funds;
(2) the Agency fail to comply with the terms and conditions expressed herein or the applicable
regulations and directives of the Federal Government, State, or County;
(3) the Agency fail to provide work or services expressed by this Agreement; or
(4) the Agency fail to submit reports or submit incomplete or inaccurate reports in any material
respect.
This Agreement may be terminated by the County immediately upon the receipt by the County of
notice of the loss of federal funding for the Community Development Block Grant Program or
any project of the Agency.
This Agreement is subject to termination upon thirty (30) days written notice by the Agency
should:
(1) the County fail in its commitment under this Agreement to provide funding for services
rendered, as herein provided; or
(2) Block Grant funds become no longer available from the Federal Government or through the
County.
Otherwise this Agreement shall terrmnate on the latest termination date specified on the
Exhibit(s) attached hereto and shall be subject to extension only by mutual agreement and
amendment in accordance with the General Conditions of this Agreement except the County may
terminate the agreement if funds are not expended as required by Exhibit D.
Upon termination of this Agreement any unexpended balance of Agreement funds shall remain in
the County Block Grant fund.
In the event that termination occurs under paragraph A (1) of this section, the Agency shall return
to the County all funds which were expended in violation of the terms of this Agreement.
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15. REvERsIoN OF ASSETS
Upon the expiration or termination of this agreement, the Agency shall transfer to the County any
CDBG funds on hand or in the accounts receivable attributable to the use of CDBG funds. In addition,
at the expiration or termination of this agreement, any real property under the Agency's control that
was acquired or improved in whole or in part with CDBG funds in excess of $25,000.00 shall be
disposed of in a manner which results in the agency being reimbursed in the amount of the current fair
market value of the property less any portion thereof attributable to the expenditures of non-CDBG
funds for acquisition of, or improvement to, the real property. Such reimbursement shall not be
required if the conditions of 24 CFR 570.503(b)(8)(i) are met and satisfied.
16. DISPOSITION OF PROGRAM INCOME
Upon the expiration or termination of this agreement, program income shall be returned by the Agency
to the County.
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PART II.
1.
FEDERAL AND LOCAL PROGRAM REQUIREMENTS
GENERAL REQUIREMENTS
The Agency shall comply with the Housing and Community Development Act of 1974, Public Law
93-383 as amended, and Implementing Regulations at 24 CFR p. 570.
2. PROCUREMENT STANDARDS
In awarding contracts pursuant to this Agreement, the Agency shall comply with all applicable
requirements of local and state law for awarding contracts, including but not limited to procedures for
competitive bidding, contractor's bonds, and retained percentages. In addition, the Agency shall
comply with the requirements of the U.S. Office of Management and Budget Circular A-102 or A:I
as appropriate, relating to bonding, insurance and procurement standards; and with Executive Order
11246 regarding nondiscrimination bid conditions for projects over Ten Thousand and no/100 Dollars
($10,000.00). Where federal standards differ from local or state standards, the stricter standards shall
apply. The federal standard of Ten Thousand and no/100 Dollars ($10,000.00) for competitive
bidding shall apply only if the applicable state or local standard for competitive bidding is less strict
than Ten Thousand and no/100 Dollars ($10,000.00).
ENVIRONMENTAL REVIEW
A.
National Environmental Policy Act - The County retains environmental review responsibility for
purposes of fulfilling requirements of the National Environmental Policy Act as implemented by
HUD Environmental Review Procedures (24 CFR pt. 58). The County may require the Agency
to furnish data, information and assisiance for the County's review and assessment in determining
whether an Environmental Impact Statement must be prepared.
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State Environmental Policy Act - Agencies which are branches of government under Minnesota
Law retain responsibility for fulfilling the requirements of the State Law regarding environmental
policy and conservation, and regulations and ordinances adopted thereunder, ffthe agency is not
a branch of government under Minnesota Law, the County may require the agency to furnish
data, information and assistance as necessary to enable the County to comply with the State
Environmental Policy Act.
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Satisfaction of Environmental Requirements - Project execution under this Agreement by either
the County or the Agency shall not proceed until satisfaction of all applicable requirements of the
National and State Environmental Policy Acts. A written notice to proceed will not be issued by
the County until all such requirements have been met.
4. NON-DISCRIMINATION
A. General
The Agency shall comply with all federal, state and local laws prohibiting discrimination on the
basis of age, sex, sexual orientation, marital status, race, creed, color, national origin or the
presence of any sensory, mental or physical handicap or any other basis now or hereafter
prohibited by Law. These requirements are specified in Section 109 of the Housing and
Community Development Act of 1974; Civil Rights Act of 1964, Title VI; Civil Rights Act of
1964, Title VII; Executive Order 11063; Executive Order 11246; and Section 3 of the Housing
and Urban Development Act of 1968. Specifically, the Agency is prohibited from taking any
discriminatory actions defined in the HUD Regulations at 24 CFR 570.602 Section 109 and shall
take such affirmative and corrective actions as are required by the Regulations at CFR 570.602.
These requirements are summarized in the following paragraphs:
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B. Pro,ram Benefit
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The Agency shall not discriminate against any resident of the project service area by denying
benefit from or participation in any block grant funded activity on the basis of race, color, sex,
sexual orientation, or national origin. (Civil Rights Act of 1964, Title VI; Civil Rights Act of
1964, Title VII; Section 109, Housing and Community Development Act of 1974).
Fair Housing
The Agency shall take necessary and appropriate actions to prevent discrimination in federally
assisted housing and lending practices related to loans insured or guaranteed by the federal
government, (Civil Rights Act of 1964, Tire VII; Executive Order 11063)
Employment
(1)
In all solicitations under this Agreement, the Agency shall state that all qualified applicants
will be considered, for employment. The words "equal opportunity employer" in
advertisements shall constitute compliance with this-section.
(2)
The Agency shall not discriminate against an employee or applicant for employment in
connection with this Agreement because of age, marital status, race, creed, color, national
origin, or the presence of any sensory, mental or physical handicap, except when there is a
bona fide occupational limitation. 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. (Executive Order 11246 as amended)
(3)
To the greatest extent feasible, the Agency shall provide training and employment
opportunities for lower income residents within the area served by block grant assisted
projects (Section 3, Housing and Community Development Act of 1968, as amended).
E. Contractors and Suppliers
(1)
No contracior, subcontractor, union or vendor engaged in any activity under this Agreement
shall discriminate in the sale of materials, equipment or labor on the basis of age, sex,
sexual orientation, marital status, race, creed, color, national origin, or the presence of any
sensory, mental, or physical handicap. Such practices include upgrading, demotiom
recruiting, transfer, layoff,, termination, pay rate, and advertisement, for employment.
(Executive Order 11246 as amended.)
(2)
(3)
All firms and organizations described above shall be required to submit to the Agency
certificates of compliance demonstrating that they have, in fact, .complied with the
foregoing provisions; provided, that certificates of compliance shall not be required from
firms and organizations on contracts and/or yearly sales of less than $10,000.
To the greatest extent feasible, the Agency shall purchase supplies and services for
activities under this agreement from vendors and contractors whose businesses are located
in the area served by block grant funded activities or owned in substantial part by project
area residents. (Section 3, Housing. and Community Development Act of 1968, as
amended.)
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F. Notice
(1)
The Agency shall include the provisions of the appropriate precedin~ subsections A, B, C,
D, and E of this section in every contract or purchase order for goods and services undez'
t. his A~reement and shall send to each labor union or representative of workers with which
it has a collective bargaining agreement or other contract or understanding a notice advising
the said labor union or worker's representative of the commitments made in these
subsections.
(2) In advertising for employees, goods or services for activities under this Agreement, the
agency shall utilize minority publications in addition to publications of general cimulation.
5. LABOR STANDARDS
The Agency shall require that project construction contractors and subcontractors pay their labOrers
and mechanics at wage rates in accordance with' the Davis-Bacon Act, as amended (40 USC sections
327-333); provided that this section shall not apply to rehabilitation of residential property designed
for residential use by fewer than eight families.
A copy of the current Davis-Bacon wage rate and HUD form 4010. and 92010 (copies of which are
· attached'hereto) must be'included in all construction bid.specs and contracts over Two Thousand and
no/100 Dollars ($2,000.00).
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PROPERTY MANAGEMENT
The Agency agrees that any nonexpendable personal property, purchased wholly or in part with
agreement funds at a cost of Five Hundred and no/100 Dollars ($500.00) or more per item, is
upon its purchase or receipt the property of the County and/or federal government. Final
ownership and disposition of such property shall be determined under the provisions of the U.S.
Office of Management and Budget Circular No. A-102 or A-1 i0 as appropriate.
The Agency shall be responsible for all such property, including its care and maintenance.
The Agency shall admit the County's property management officer to the Agency's premises for
the purpose of marking such property, as appropriate, with county property tags.
The Agency shall meet the following procedural requirements for all such property:
(1) Property records shall be maintained accurately and provide for: a description of the
property; manufacturer's serial number or other identification number; acquisition date and
cost; source of the property; percentage of block grant funds used in the purchase of
property; and location, use, and condition of the property.
(2) A physical inventory of property shall be taken and the results reconciled with the property
records at least once every two (2) years to verify the existence, current utilization, and
continued need for the property.
(3)
A control system shall be in effect to insure adequate safeguards to prevent loss, damage, or
theft to the property. Any loss, damage, or theft of the property shall be investigated and
fully documented..
(4) Adequate maintenance procedures shall be implemented to keep the property in good
condition.
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7. ACQUISITION AND RELOCATION
Ahy acquisition of real property for any activity assisted under this Agreement shall comply with
Title III of the Federal Uniform Relocation Assistance and Real Property Acquisition Policies Act
of 1970 (hereinafter referred to as the Uniform Act) (42 USC section 4601) and the Regulations
at 24 CFR pt. 42.
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Any displacement of persons, business, nonprofit organizations or farms as~the result of
acquisition of real property assisted under this Agreement shall comply with Title I1 of the
Uniform Act as amended by the Uniform Relocation Act as amended Title IV of the Surface
Transportation and Uniform Relocation Assistance Act as amended (Pub. L 100-17, 101 Stat.
246-256) and the Regulations at 49 CFR pt. 24. The Agency shall comply with the Regulations
pertaining to costs of relocation and written policies, as specified by 24 CFR section 570.606 (a)
& (b).
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In any activity assisted under this agreement which results in demolition or conversion to another
use of low/moderate income housing, the agency will follow the requirements set forth in the
revised section 104(d) of the. Housing and Community Development Act of 1974, as amended,
and implementing regulations.
8. HISTORIC PRESERVATION
The Agency shall meet the historic preservation requirements of Public Law 89-665 and the
Archeological and Historic Preservation Act of 1974 (Pub. L. 93-291) and Executive Order 11593,
including the procedures prescribed by the Advisory Council on Historic Preservation in the
Regulations at 36 CFR pt. 800. Activities affecting property listed in or found to be eligible for
inclusion in the National Register of Historic Places will be subject to requirements set forth in HUD
Environmental Review Procedures at 24 CFR pt. 58.
9. ARCHITECTURAL BARRIERS
Any facility constructed pursuant to this Agreement shall comply with design requirements of the
Architectural Barriers Act of 1968 (42 USC section 4151 et. seq. & 24 CFR 40, et. seq.).
10. NONPARTICIPATION IN POLITICAL ACTIVITIES
The Agency shall comply with the provisions of the Hatch Act (5 USC Chapter 15).
11. CONDITIONS FOR RELIGIOUS ORGANIZATIONS
12.
13.
The Agency agrees that funds provided under this contract will not be utilized for religious activities,
to promote religious interests, or for the benefit of a religious organization in accordance with the
Federal regulations specified in 24 CFR 570.200(j).
NATIONAL FLOOD INSURANCE
The Agency may not receive Community Development Block Grant funding for acquisition or
construction for use in any area that has been identified as having special flood hazards and is not
participating in the National Flood Insurance Program, as provided by Section 3(a) of the Flood
Disaster Protection Act of 1973 (Pub. L. 93- 234) and the Regulations thereunder (24 CFR Ch. 58.6,
subchap. B). The Agency shall comply with the Regulations at 24 CFR section 570.605.
AIR AND WATER POLLUTION
The Agency shall comply with the provisions of the Clean Air Act, as amended (42 USC section 1857
et seq.) and the Federal Water Pollution Control Act, as amended (33 USC sections 1251 et seq.) and.
the regulations issued thereunder (40 CFR pt. 15).
14. LEAD-BASED PAINT POISONING
The Agency shall comply with the HUD Lead-Based Paint Regulations (24 CFR pt. 35) issued
pursuant to the Lead-Based Paint Poisoning Prevention Act (42 USC sections 4831 et seq.) requiring
(1) prohibition of the use of lead-based paint (whenever funds under this Agreement are used directly
or indirectly for construction, rehabilitation, or modernization of residential structures); (2) elimination
of immediate lead-based paint hazards in residential structures; and (3) notification of the hazards of
lead-based paint poisoning to purchasers and tenants of residential structures constructed prior to
1978.
All work performed on lead-containing surfaces must conform to lead-safe practices and be completed
by workers who are either supervised by an EPA-certified abatement supervisor or be performed by
workers trained in lead-safe work practices. If abatement options are specified in the work write-up,
the contractor must hire an EPA-certified and state-licensed abatement contractor and submit proof of
their current state license and insurances.
15. NON-DISCRIMINATION BASED ON DISABILITY
When and where applicable, the agency shall comply with Section 504 of the Rehabilitation Act of
1973, as amended (29 U.S.C. 794) and Title II of the Americans with Disabilities Act as amended,
Public Law 101-336 (1990), to ensure fliat no otherwise qualified individual with a disability in the
United States shall, solely by reason of his or her handicap, be excluded from participation in; be
denied the benefits of, or be subjected to discrimination under any program or activity receiving
financial assistance under this agreement.
16. NON-SUBSTITUTION FOR LOCAL FUNDING
The Block Grant Funding made available under this Agreement shall not be utilized by the Agency to
reduce substantially the amount of local financial support for community development activities below
the level of such support prior to the availability of funds under this Agreement.
17. PUBLIC OWNERSHIP
For Agencies which are not municipal corporations organized under the laws of the State of
Minnesota, it may become necessary to grant the County a property interest where the subject project
calls for the acquisition, construction, reconstruction, rehabilitation, or installation of publicly-owned
facilities and improvements. The Agency shall comply with current County policy regarding transfer
of a property interest sufficient to meet the public ovcnership requirement.
18. PUBLIC INFORMATION
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In all news releases and other public notices related to projects funded under this Agreement, the
Agency shall include information identifying the source of funds as the Anoka County
Community Development Block Grant Program.
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For all construction projects the Agency shall erect a sign to County specifications at the
construction site, identifying the source of funds, except that this requirement may be waived for
construction projects of Ten Thousand and no/lO0 ($10,000.00) Dollars or less.
19. APPLICABLE UNIFORM ADMINISTRATIVE REQUIREMENTS
An Agency which is the governmental entity (including public agencies) shall comply with the
requirements and standards of OMB Circular No. A-87, "Principles for Determining Costs
Applicable to Grants and Contracts with State, Local and Federally recognized Indian Tribal
Governments," OMB Circular A-133, "Audits of State and Local Governments and with the
following sections of 24 CFR Part 85 "Uniform Administrative Requirements for Grants and
Cooperative Agreements to State and Local Governments":
(1)'
(2)
(3)
(4)
(5)
(6)
(7)
(8)
Section 85.20,
Section 85.21,
Section 85.22,
Section 85.26,
Section 85.32,
proceeds shall
Section 85.33,
Section 85.34,
Section 85.35,
Section 85.36,
Section 85.37,
(9)
(10)
(11)
(12)
(13)
(14) Section
through
(15) Section
(16) Section 85.42,
(17) Section 85.43,
(18) Section 85.44,
(19) Section 85.51,
(20) Section 85.52,
Section 85.3, "Definitions";
Section 85.6, "Additions and Exceptions";
Section 85.12, "Special grant or subgrant conditions for 'high-risk' grantees";
"Standards for financial management systems,", except paragraph (a);
"Payment," except as modified by' 570.513;
"Allowable costs";
"Non-federal audits";
"Equipment," except in all cases in which the equipment is sold, the
be grogram income;
"Supplies";
"Copyrights"; . _
"Subawards to debarred and suspended parties";
"Procurement," except paragraph (a);
"Subgrants";
85.40, "Monitoring and reporting program performance," except paragraphs Co)
(d) and paragraph (f);
85.41, "Financial reporting," except paragraphs (a), (b), and (e);
"Retention and access requirements for records";
"Enforcement";
"Termination for convenience";
"Later disallowances and adjustments" and
"Collection of amounts due."
An Agency if it is not a governmental entity, shall comply with the requirements and standards of
OMB Circular No. A-122, "Cost Principles for Non Profit Organizations" or OMB Circular No.
A-21, "Cost Principles for Educational Institutions," as applicable, and with the following
Attachments to OMB Circular No. A-110.
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PART III.
1.
EVALUATION AND RECORD KEEPING
EVALUATION
The Agency agrees to participate with the County in any evaluation project or performance report, as
designed by the County or the appropriate Federal agency, and to make available all information
required by any such evaluation process.
2. AUDITS AND INSPECTIONS
The Agency shall obtain an independent audit for any calendar year during which the agency received
at least $300,000 of Federal funds. Such audit shall be made by qualified individuals who are
sufficiently independent of those who authorize the expenditure of Federal funds. The audit report
shall state that the audit was performed in accordance with the generally accepted governmental audit
standards for financial and compliance audits of the U. S. General Accounting Office Star~dards for
Audit of Governmental Organizations, Pro,ams, Activities, and Functions, and the provisions of
OMB A- 110. When applicable, the Agency shall also comply with the audit requirements of revised
OMB Cimular A-133 dated June 24, 1997.
The records and documents with respect to all matters covered by this contract shall be subject at all
times to inspection, review or audit by the County, Federal or State officials so authorized by law
during the performance of this contract and during the period of retention specified in this Part IlL
RECORDS
As required by HUD Regulations, 24 CFR pt. 570, the Agency shall compile and maintain the
following records:
Financial Management - Such records shall identify adequately the source and application of
funds for activities within this Agreement, in accordance with the provisions of the U.S. Office of
Management and Budget Circular A-102 or A-110 as appropriate. These records shall contain
information pertaining to grant awards and authorizations, obligations, unobligated balances,
assets, liabilities, outlays, and income.
Citizen Participation - Narrative and other documentation describing the process used to inform
citizens concerning the amount of funds available, the ranges of project activities undertaken, and
opportunities to participate in funded block grant projects.
Relocation - Indication of the overall status of the relocation workload and a separate relocation
record for each person, business, organization, and farm operation displaced or in the relocation
workload.
Property Acquisition - Agency files must contain (a) invitation to owner to accompany appraiser
during inspection, (b) at least one property appraisal, (c) statement of basis for determination of
just compensation, (d) written offer of just compensation, (e) all documents involving
conveyance, (f) settlement cost reporting statement, and (g) notice to surrender possession of
premises.
Equal Opportunity - The Agency shall maintain racial, ethnic, and gender data showing the extent
to which these categories of persons have participated in, or benefited from, the activities camed
out under this Agreement. The Agency.shall also maintain data which records its affirmative
action in equal opportunity employment, and its good-faith efforts to identify, train, and/or hire
lower- income residents of the project area and to utilize business concerns which are located in
or owned in substantial part by persons residing in the area of the project.
-14-
Labor Standards - Records shall be maintained regarding compliance of all contractors
performing construction work under this Agreement with the labor standards made applicable by
24 CFR 570.603.
G. Determinations of Condition of Slum and Blight
The agency will submit:
(~)
an attorney's opinion that an area designated as slum or blighted for the purpose of
qualifying a CDBG activity meets the State or local definition of same;
(2) the boundary of the area so designated;
(3)
a list of the conditions the CDBG-funded activity is intended to address. In the event that
a single property is designated as blighted, the community must submit a certified building
inspector's report on the conditions leading to that determination.
H. Economic Development
The agency will maintain copies of financial statements that indicate the historical and projected
income of a company approved for CDBG assistance. Those records will include three years of
profit and loss statements, balance statements and projected income statements. The agency will
also keep records indicating the amount and terms of assistance provided together with an
explanation of how the assistance provided meets the "necessary and appropriate" requirements
communicated in the June 2, 1987 Stokvis memorandum.'
I. Such other records as may be required by the County and/or HUD.
4. RETENTION OF RECORDS
Required records shall be retained for a period of three (3) years after termination of this Agreement,
except as follows: (I) Records that are the subject of audit findings shall be retained for three (3) years
after such findings have been resolved. (2) Records for nonexpendable property shall be retained for
three (3) years after its final disposition. Nonexpendable property is defined in the U.S. Office of
Management and Budget Circular No. A-102 or A-110 as appropriate.
REPORTS
The Agency shall submit such reports as required by the County on a monthly and annual basis and
also prior to project execution.
-15-
Exhibit A
Project Description and Budget
Amount of CDBG funds provided by Anoka County for the program year beginning 2002 to
City of Columbia Heights for projects listed below.
A description of the project and the target population to be served as provided by the agency as
indicated in the submitted application for CDBG funding on file in the Community Development
Department by the above-named organization is summarized below.
Budgets:
Project # Agency/City & Project Description Amount Funded
~/23 City o~ Columbia ~Ieights - Industrial Redevelopment $50,000.00
The City of Columbia Heights is committed to improving its
commercial and industrial areas through efficient redevelopment.
The City Council would like to focus its energies on redeveloping
blighted properties in industrial areas, to establish a better image,
and enhance the tax base. The cityis asking for a planning grant to
identify existing industrial businesses, a market analysis of these
properties, and a future plan that would determine the highest and
best use of these properties. The planning grant would be used to
attract development to an area that has been overlooked,
underutilized, and is in desperate need of improvements.
Individuals/Households to Benefit from Project: Choose One
Total: $50,000.00
Liaison per Section 4A: Walter R. Fehst
Authorized to sign vouchers & reports per Section 4A:
Walter R. Fehst
Printed Name
Signature
Projects to be completed by: December 31, 2003
Per Anoka County Board
Resolution #85-23
EXHIBIT B
Urban Anoka County CDBG
2002 Final Statement of Community Development
Objectives of Funds
Pursuant to Community Development Block Grant regulations, Anoka County has made available to the
public the following statement of final use of 2002 Anoka County CDBG funds. Citizens, non-profit
groups, and other interested persons are invited to comment upon this statement and upon Anoka
County's perfo(mance of the CDBG program by contacting Anoka County Community Development,
Government Center, 2100-3rd Avenue, Anoka, MN 55303, telephone number 763-323-5709,
Attention: Karen Skepper.
SPECIFIC OBJECTIVES
FOR
2002 ANOKA COUNTY
CDBG PROGRAM
The following objectives have been established for assisting communities and citizen groups in the
formulation of specific program activities.
Support decent, safe housing for residents in Anoka County through: (1) rehabilitation of
existing structures; (2) eligible assistance for construction of new lower income housing; (3)
acquisition of housing suitable to meet lower income needs.
Assist program efforts to redevelop blighted areas through: acquisition and clearance,
upgrading public facilities and utilities, encouraging new development, seeking local financial
commitment to the effort.
Develop and upgrade public facilities and utilities which serve primarily lower income persons
or which are an integral part of redevelopment efforts in blighted areas.
Support economic development in Anoka County to provide new jobs, primarily for lower
income persons.
5. Promote the removal of architectural barriers.
Provide funding for public service activities which serve primarily lower income persons.
Planning and administration to support the above. .
The above objectives were developed in cooperation with the communities in Anoka County and are
based on need as illustrated by statistics drawn from the 1990 census data and comments from
community residents. Overall, they are a continuation of past CDBG programs, with many communities
sustaining efforts begun in those years.
Ii.
DATE
OFFERED BY COi~IblISStO~'~Ei~
BOAR . COUNTY COMMISSIONERS
Anoka County, Minnesota
~Or~-~], I?~$ RESOLUTION NO,
Longfetd
COUNTY BOARD POLICY -
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM INCOME
AMENDING P~SOLUTIONS 81-107 AND 82-53
WHEF~EA$, Title I of the Housing and Community Development Act of 1~7~, os
amended provides for o program of Community Development Block Grants; and, .
Wt-tE~EAS, the Anoko County 8oard of Commissioners has been designated os on
"Urbon County" by the FeOerol Housing and Urban Development Deportment and
consequently is eligible to p~ticipate in the National Community Development
~rant Pr~ram;
WI--~EIREA$, the Anoka County Boarc[ of Commissioners h~ directed the
pre!~arotion of a plan under the Commun[ty Development Block Grant Program in
concert with the municipalities of Anoka County; anct,
WHEJREAS, as a portion of said plan, municipalities os the sub-grantee of
Community Development Bloc~< Grant funds may utilize said funds in various program
forms to benefit Iow and moderate income persons, to aid in the prevention or
etim[natlon of slums or blight or to meet other community development needs h~ving a
p~ticulor urgency because of threat to heotth and safety; and,
WHEP, EAS, "program income" means gross income earned by the sub-grantee
from the grant supported activity such as: oroceeds from the sale of real or personal
property, interest earned on escrow accounts~ revolving rehabilitation accounts or
lump sum rehabilitation accounts, income from service fees, sole of commodities,
usage or rental Fees, loon proceeds from rehabilitation or economic development loans,
and interest earned on revolving loans and proceeds from special assessments levied to
recover the cost of constructing a i:~blic works or facility to the extent that such cost
was initially paid with the Community [Development 8lock Cront funds; and,
WHEREAS, in accordance with Federal regulations, Anoka County as the
Community Development Block (srant recipient must receive all program income. The
County then may use said functs for any eligible Community Development Block (sront
activity and the County must expend revenues generated by program income before
further drawdown requests will be outhorizer~; and,
WHEREAS, payments of interest and principal due on economic development
loans to private industry, which are made to a revolving loan account which was
opt~roved as ¢ C.D.G.8. gr~nt to ¢ State,certified I~ol development ~r~rotion ~e
not co~idered by. HUD to be "pr~r~m income":
NOW, THEREFORE, BE IT RESOLVED that the Anoka County Board of
Commissioners does hereby establish as a matter of policy that:
All income from COiR(S-funded activities which meets the above definition of
program income, shall be promptly forwarded to Anoka County.
2)
Each LOC which has o COiRG revolving loan account for economic development
will retain loan repayments within the account for continued use for economic
development and that /'he County or the city will execute an agreement with the'
LOC which will include:
a)
Prohibition of conflict of interest os provided in HUD Regulation 2~CFR
Part 570.~I I.
b) Compliance with Title VI of the Clvi[ Rights Act of
c)
Requirement for the LOC to submit quarter',y reports to the Anoka County
Community Development Director regarding the use and results of
expenditure of funds from the revolving loan account for so long ~ Anoka
County remains an entitlement county.
Exhibit
RESOLUTION //85-4?. (Continued)
Page 2
3)
Anoka County will establish os of May I, I,~85, o revolving loan account for
deposit .of att ~conomic development loan payments received by Anoka County.
IRE IT FURTHER RESOLVED that, oil program income received by Anoka County
from activities funded in total or part from a municipality's COBG project will
increase that community's budget for eligible CDSG activities and shall therefore be
ow:liable ta tile community far future exDenditure pursuant to the Joint Coaper~:tion
Agreement in effect at the time of expenditure.
YES
District t~1 - h-lac= X I-lac=
District t~'2 - 8urm(=n X lRurman
District #2 - Lcncjfeld X L. angfeld
District It~ - Kordiak X Kordiak
(District tt.~ - Cenaiko X Cenaiko
District #6 _ McCarron X McCorron
District t17 - Erh~rt X Erhart
State of Minnesota ) SS
County of Anoko )
I, John "Joy" McLinden, County Administrator, Anako County, Minnesota, Hereby
certify that I have compared the foregoing cagy af the resolution of the County J~oard
of said County with the original record thereof on f~le ih the Administration Office,
Anoka County, Minnesota, ~ stated in the minutes of the proceedings of said 8oord at
O meeting duty hetd on April 2], I c)85, and that the some is a true and correct cody of
said original record and of the whole thereof, and that said resolution was duly l:x:ssed
by said Board ct said meeting.
Witness my hand and seal this ?.2rd day of April, 1785.
BOARD .:)F COUNTY COMMISSIONERS
Anoka County, Minnesota
RESOLUTIOn? NO
DATE Februar'~ ZI, 178S _
OFFERED BY COM~ISS[OR'ER Langretd
TIMELY EXP1ENOITU]=:LF- OF C.O.8.G. FLJNOS
WHEF~EAS, Anoko County is an Entitlement County and therefore receives
annual Community OeveloDmerit J~iock Crant (CO~) alJ~at[o~ ~rom the U.~.
ge~tment of H~sing and Urban Oevelogment; and,
WHEREAS, the Anna County 8aerd of C. ammissianers.mekes these CD~G Funds.
available to municipalities in Anok~ County Jar eligible proj~ts~ and,
WHEREAS, Anna County, as the grantee, is r~s~onsibJe for the timely
exDenditure af C~G [unds[ and,
WHEreAS, Anna County's perfarma~e is measured in ~art by such timely
performance~ and,
WHEREAS, Anna County may be subject to HOD ~iscal sa~tio~ for f~ilure ta
expend COeG [unds within o reasonable Deriod o~ time:
NOW, THEREFORE, BE IT RESOLVED that the An~ County Board of
Commissioners adopts th~ followi~ Policy Regarding Schedule for Expenditure
Community O~v~lopment Bilk Cran~ Funds by Anna County Subgrante~s:
POLICY RECARDIN~ SCHEDULE FOR EXPENOITURE OF
COMMUNITY DEVELOPMENT 8LOCK GRANT FUNDS
~ Y ANOKA COUNTY
Community O~veloDment Bilk Grant Funds will be reserved for ~ligible ~dgeted
subgrante~ activities Jar up to 18 months after notic~ of avalJob[li~y o~ such ~unds
~xpenditure. If a community ~ails to ~xpend C~8C ~roi~t Funds within tha~
limit, the An~a County Bo~d o~ Commissioners will withdraw ~he all~ation For-that
proj~t.
In order t~at communities may h~e ~d~uate notice of the impending w~th~rawal~
County C~ staff will notify these communities which have nat committed C~
groj~t ~un~s within 12 months after the start a~ t~e a~olic~le CD~ Dr~ram
that con~ition. Such notice will enabie those communities ta re-evaluate proj~ts and
to pr~ram the fun~ if n~es~ry.
Those communities which are in violation of the 18 month rule et the time of
a~ this goiicy will be given six months From the date af the County ~oard ResOlution
refereeing this polio, ta ex~end their CgG~ Droj~t Funds. At the end o~ the six
month peri~ the f~ds will ~e su~j~t to withdrawal.
Th~ Anna County ~o~d m~ on an individual case basis, elect to w~ive ~he 18 month
rule if the 8Doral sh~ld determine that the ~raject delay is c~sed ~y ~orces ~tside
the control of the community and that praj~t cam~leHon is legible within
reasonable ¢m~nt af time.
Fun~ which revert to Anna County shall be reall~ated at the dJscr, tjon o~ the
Coun~ Board to either other praters submitted by ¢ommuni.Hes or ta County-wide
activJtie~
Any cammuni~ Dosed gr~ ur' other su~rcn~ ~f comm,,nifi~s must be notified af
this ~olic~ when they ~e considered far CO~ ~unding.
Exh'~bf t O
P-J~SOLUTION 1~-~3 (Continued)
District //I - H,:as
Oistrlct tl'l - E~urmon
District I13 - Langfeid
Oistrict 11~, - Nordiak
District f/5 - Cenaiko
District t1~ - McCorron
District//7 o Erhart.
YES
X Haas
X Burmah
X Lar~cjfeld
X Cenaiko
X : McCarron
X ~rhcrt
NO
State of Minnesota } SS
County of Anaka )
[, John "Jay" McL[nden, County Administrator, Ant;ko County, Minnesota, hereby
certify that I have comoar~d the foregoing coo)' of the r~s,olufion of the County 8aard
of said County with the original record thereof on f~le in the Administration Office,
An0ka County, Minne~t~, as stated in the mitres of the ~r~eedings o~ said 8odrd ~t
a meeting duly held on February 2l', 1~85, and that the same is a tree ~nd corr~t.c~y
oE said original record and of th~ whole thereof, ~nd that s~id resolution was] duly'
Witness my hand and seal this 2lst d~y of F¢~ruary, 1~5.
~N ,,j~,,,
'COUNTY' AC)MINISTRATOR
I!
BOARD _~F COUNTY COMMISSIONERS
Anoka County, Minnesota
Auoust IT, 1786
DATE ' ' RESOLUTION NO.
Haas Stet fen
OFFEND BY '~ON[MISSIO~R
COUNTY BOARD POLICY -
COMMUNITY DEVELOPMENT BLOCK GRANT PROC~RAM INCOME
AMENDING RESOLUTION 85-a,2
WHEREAS, Title I of the Housing and Community Development Act of 177~, as
amended provides for a program of Community Development Block Grants; and,
WHEF~EA$, the Anoka County Board of Commissioners has been designated as an
"Urban County" by the Federal Housing and Urban Development Department and
consequently ;s eligible to participate in the National Community Development Block
Grant Progrom; (:nd,
W~EREAS, the Anoka County Board of Commissioners has directed the
preparation of ¢ plan under the Community Development Block Grant Program in
concert with the municipalities of Anoka County; and,
WHEREAS, as a portion of said plan, munlcipalit[es as the sub-grantee of
Community Development Block Grant funds may utilize said funds in various program
forms to benefit Iow and moderate income persons, to aid in the prevention or
elimination of slums or blight or to mee~ other community development needs having a
particular urgency because af threat to health and safety; and,
WHEREAS, "program income" means income earned by the sub-grantee Fram the
grant supported act{vlty such as: proceeds from the sale of real or personal property,
interest earned on escrow accounts, revolving rehabilitation accounts or lump sum
rehooilitafian accounts, income from service fees, sale of commodities, usage or
rental fees, loan proceeds t:rom rehabilitation or economic development loans, and
interest earned on revolving loans and proceeds from special ~sessments levied to
recover the cast of constructing a public works or facility to the extent that such cost
was initially paid with the Community Development Block Grant funds; and,
WHEREAS, in accordance with Federal regulations, An°ko County as the
Community Development Black (]rant recipient must receive oil program income, to
be used [or any eligible Community Development.Block (]rant activity and the County
must expend revenues generated by program income before Further drawdown requests
will be authorized:
NOW, THEREFORE, BE IT RESOLVED that the Anoka County Board of
Commissioners does hereby establish ~ a matter of policy that:
I)
Z)
3)
All CDI](] program income meeting the above definition, except payments to a
County-approved L[DC revolving loan account, shall be promptly forwarded to
Anoka County,
Each LOC which has ¢ CDB(] revolving loan account for economic development
will retain loan repayments within the account for continued use for economic
development subiect to all CDBG regulations, and that the County or the city
will execute an agreement with the L. DC which will include:
o) Prohibition of con'Ilar of interest as provided in HUD Regulation
Part 570.~1 I.
b) Compliance with Title VI of the Civil Rights Act of I
c) Requirement Far the LDC to subm[t quarterly reports to the Anoka County
Community Devetooment Director regarding the use and results af
exOenditure of funds from the revolving loan account for so long. as Anoka
County remains an entitlement county.
d) Any other provisions required by State or Federal law or regulation.
Anoko County hc~s established as of May l, l~85, a revolving loan account for
deposit of oil economic development loan payments received by Anoka County.
BE IT FURTHER RESOLVED that, all program income received by Anaka County
Exhibi~ E
IRE~SOLUTION #8~-70
Page 2
YES
[District #1 - Haas SteEl:eh
[District/t2 - Burmah X
District #3 - Longfeld Absen~
Oisrric~ It~ - Kordiok X
Oistrict #5 - Cenoiko X
OJstrict #~ - M6CQrron X
District #7 - ~rhcrt X
Burmah
Langfetd
Kardiak
Cenaiko
McCarron
Erhart
NO
State of Minnesota ) SS
County of Anoka )
I, John "Joy" McLinden, County Administrator, Anoka County, Minnesota, hereby
c~rtiFy that I have compared the Foregoing copy of the resolution of the County Board
of said County with the original record thereof on file in the Administration Office,
Anoka County, Minnesota, as stated in the minutes of the proceedings of said Board 'at
a meeting duly held on August t2, 178~, and that the same is a true and correct.copy
of said original record (:nd of the whale thereoi, and that said resolution was duly
pessed by said Board at said meeting.
Witness my hand and seal this 12th day of August,
~UNTY ADMINISTRATOR
EXHIBIT F
CERTIFICATION
The Undersigned, on behalf of the Agency, certifies, to the best of h/s or her knowledge and belief, that:
(1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any
person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an
officer or employee of Congress, or an employee of a Member 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 of any cooperative
agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant,
loan, or cooperative agreement.
(2) 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 employee of any agency, a Member of Congress, an officer or employee of
Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or
cooperative agreement, the undersigned shall complete and submit Standard Form -LLL, "Disclosure Form to Report
Lobbying," in accordance with its instructions.
(3) The undersigned shall require that the language of this certification-be included in the award documents for all
subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative
agreements) and that all subrecipients shall certify and disclose accordingly.
This certification is a material representation of fact upon which reliance was placed when this transaction was made
or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed
by section 1332, title 31, U.S. C~'~x,Any person who fails to file the required certification shall be subject to a civil
penalty of not less that $10,07nd~nd~more than $100,000 for each such failure.
Equal Employment
Opportunity Certification
Excerpt From 41 CFR {}60-1.4(b)
U.S. Department of Housing
and Urban Development
Office of Housing
Federal Housing Commissioner
Exhibit G
Department of Veterans Affairs
The applicant hereby agrees that it will incorporate or cause to be
incorporated into any contract for construction work, or modifi-
cation thereof, as defined in the regulations of the Secretary of
Labor at 41 CFR Chapter 60, which is paid for in whole or in part
with funds obtained from the Federal Government or borrowed
on the credit of the Federal Govemment pursuant to a grant,
contract, loan insurance, or guarantee, or undertaken pursuant to
any Federal program involving such grant, contract, loan, insur-
ance, 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, color, religion,
sex, or national origin. The contractor will take affirmative
action to ensure that applicants are employed, and that em-
ployees 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: Employ-
ment, upgrading, demotion, or transfer; recruitment or re-
cruitment 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 nondiscrimination clause.
(2) 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 considerations for em-
ployment without regard to race, color, religion, sex, or
national origin.
(3) The contractor will send to each labor union or representative
of workers with which it has a collective bargaining agree-
ment or other contract or understanding, a notice to be
provided advising the said labor union or workers' represen-
tatives 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.
(4) The contractor will comply with all provisions of Executive
Order 11246 of September 24, 1965, and of the rules, regu-
lations and relevant orders of the Secretary of Labor.
(5) The contractor will furnish all information and reports re-
quired by Executive Order I 1246 of September 24, 1965, 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 the administering agency and the Secretary
of Labor for purposes of investigation to ascertain compli-
ance with such rules, regulations, and orders.
(6) In the event of the contractor's noncompliance with the
nondiscrimination clauses of this contract or with any of the
said rules, regulations, or orders, this contract may be can-
celed, terminated, or suspended in whole or in part and the
contractor may be declared ineligible for further Govern-
ment contracts or federally assisted construction contracts in
accordance with procedures authorized in Executive Order
11246 of September 24, 1965, and such other sanctions may
be imposed and remedies invoked as provided in Executive
Order 11246 of September 24, 1965, or by rule, regulation, or
order of the Secretary of Labor, or as otherwise provided by law.
(7) The contractor will include the portion of the sentence imme-
diately preceding paragraph (1) and the provisions of para-
graphs (1) through (7) in every subcontract or purchase order
unless exempted by rules, regulations, or orders of the Sec-
retary of Labor issued pursuant to section 204 of Executive
Order 11246 of September 24, 1965, so that such provisions
will be binding upon each subcontractor or vendor. The
contractor will take such action with respect to any subcon-
tract or purchase order as the administering agency may
direct as a means of enforcing such provisions, including
sanctions for noncompliance: Provided, however, That in
the event a contractor becomes involved in, or is threatened
with, litigation with a subcontractor or vendor as a result of
such direction by. the administering agency the contractor
may request the United States to enter into such litigation to
protect the interests of the United States.
The applicant further agrees that it will be bound by the above equal
opportunity clause with respect to its own employment practices
when it participates in federally assisted construction work:
Provided, That if the applicant so participating is a State or local
government, the above equal opportunity clause is not applicable
to any agency, instrumentality or subdivision of 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 of Labor such information as they may
require for the supervision of such compliance, and that it will
otherwise assist the administering agency in the discharge of the
agency's primary responsibility for securing compliance.
The applicant further agrees that it will refrain from entering into
any contract or contract modification subject to Executive Order
11246 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
Executive order and will carry out such sanctions and penalties
for violation of the equal opportunity clause as may be imposed
Walter R. Fehst, City Manaaer
Firm Name and Address
City of Columbia Heights
590 40th Avenue NE
Columbia Heights, MN 55421
form HUD-92010 (1/82)
VA form 26-421
upon contractors and subcontractors by the administering agency
or the Secretary of Labor pursuant to Part II, Subpart D of the
Executive order. In addition, the applicant agrees that if it fails or
refuses to comply with these undertakings, the administering
agency may take any or all of the following actions: Cancel,
terminate, or suspend in whole or in part this grant (contract, loan,
insurance, guarantee); refrain from extending any further assis-
tance to the applicant under the program with respect to Which the
failure or refund occurred until satisfactory assurance of future
compliance has been received from such applicant; and refer the case
to the Department of Justice for appropriate legal proceedings.
Excerpt from HUD Regulations
200.410Definition of term "applicant".
(a) In multifamily housing transactions where controls over the
mortgagor are exercised by the Connnissioner either through
the ownership of corporate stock or under the provisions of
a regulatory agreement, the term "applicant" as used in this
subpart shall mean the mortgagor.
(b) In transactions other than those specified in paragraph(a) of
this section, the term "applicant" as used in this subpart shall
mean the builder, dealer or contractor performing the con-
struction, repair or rehabilitation work for the mortgagor or
other borrower.
200.420Equal Opportunity Clause to be included in contracts and
subcontracts.
(a) The following equal opportunity clause shall be included in
each contract and subcontract which is not exempt:
During the performance of this contract, the contractor agrees
as follows:
(1) The contractor will not discriminate against any em-
ployee or applicant for employment because of race, creed,
color, or national origin. The contractor will take affirmative
action to ensured that applicants are employed, and that
employees are treated during employment without regard to
their race, creed, color, 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 ap-
prenticeship. The contractor agrees to post in conspicuous
places, available to employees and applicants for employ-
ment, notices to be provided setting forth the provisions of
the nondiscrimination clause.
(2)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 race, creed, color, or national origin.
(3) The contractor will' send to each labor union or repre-
sentative of workers with which he has a collective bargain-
ing agreement or other contract or understanding, a notice, to
be provided, advising the said labor union or workers' repre-
sentative of the contractor's conunitments under this section,
and shall post copies of the notices in conspicuous places
available to employees and applicants for employment.
(4) The contractor will comply with all provisions of Ex-
ecutive Order 10925 of March 6 1961, as amended, and of the
regulations, and relevant orders of the President's Commit-
tee on Equal Employment Opportunity created thereby.
(5) The contractor will furnish all information and reports
required by Executive Order 10925 of March 6, 1961, as
amended, and by the regulations, and orders of the said
Committee, or pursuant thereto, and will permit access to his
books, records, and accounts by HUD and the Committee for
purposes of investigation to ascertain compliance with such
regulations, and orders.
(6) In the event of the contractor's non-compliance with
the nondiscrimination clause of this contract or with any of
the said regulations, or orders, this contract may be can-
celled, terminated or suspended in whole or in part and the
contractor may be declared ineligible for further Govern-
ment contracts or Federally-assisted construction contracts
in accordance with procedures authorized in Executive Order
10925 of March 6, 1961, as amende, and such other sanctions
may be imposed and remedies invoke s provided in the said
Executive Order or by regulations, or order of the President' s
Committee on Equal Employment Opportunity, or as other-
wise provided by law,
(7) The contractor will include the provisions of Para-
graphs(l) through (7) in every subcontract or purchase order
unless exempted by regulations, or orders of the President's
Committee on Equal Employment Opportunity issued pursu-
ant to Section 303 of Executive Orde~ 10925 of March 6,
!961, as amended, so that such provisions will be binding
upon each subcontractor or vender. The contractor will take
such action with respect to any subcontract or purchase
orders as HUD may direct as a means of enforcing such
provisions, including sanctions for noncompliance: Provided,
however, that in the event the contractor becomes involved
in, or is threatened with, litigation with a subcontractor or
vender as a result of such direction by HUD, the contractor
may request the United States to enter into such litigation to
protect the interests of the United States.
(b) Except in subcontracts for the performance of construction
work at the site of construction, the clause is not required to
be inserted in subcontracts below the second tier. Subcontracts
may incorporate by referenced to the equal opportunity clause.
200.425Modification in and exemptions from the regulations in
this subpart.
(a) The following transactions and contracts are exempt from the
regulations in this subpart:
(i) . Loans, mortgages, contracts and subcontracts not ex-
ceeding $i0,000.
(2) Contract and subcontracts not exceeding $i00,000 for
standard commercial supplies or raw material;
(3)Contracts and subcontracts under which work is to be or has
been performed outside the United States and where no recruit-
ment of workers within the United States in involved. To the
extent that work pursuant to such contracts is done within the
Untied States, the equal opportunity clause shall be applicable;
(4) Contracts for the sale of Government property where
no appreciable amount of work is involved; and
(5) Contracts and subcontracts for an indefinite quantity
which are not to extend for ore than one year if the purchaser
determines that the amounts to be ordered under any such
contract or subcontract are not reasonably expected to exceed
$100,000 in the case of contracts or subcontracts for standard
commercial supplies and raw materials, or $10,000 in the
case of all other contracts and subcontracts.
form HUD-92010 (1/82)
VA form 26-421
;Federal Labor Standards Provisions
U.S. Department of Housing
and Urban Development
Applicability
The Project or Program to which the construction work covered by
this contract pertains is being assisted by the United States of America
and thc forl.o.wing Fcdcr41 Labor Standards Provisions arc included in
this Contract pursuant to thc provisions applicable to such Federal
assistancc.
A. 1. (i) Minimum Wages. All laborers and mechanics employed
or working upon the site of the work (or under thc United States Hous-
lng Act of 1937 or under the Housing Act of 1949 in thc construction
or development of thc project), will be p~id unconditionally and not
less often than once a week. and without subsequent deduction or re-
bate on any account.(except such payroll deductions as arc permitted
by regulations issued by the Secretary of Labor under the Copcland
Act (29 CFR Part 3), the full amount of wages and bona fide fringe
benefits (or cash equivalents thereof~ due at time of payment com-
puted at rates not less than those contained in thc wage determination
of the Secretary of Labor which is attached hereto and made a pan
hereof, regardless of any contractual relationship which may bc al-
leged to exist between thc contractor and such laborers and mechan-
ics. Contributions made or costs reasonably anticipated for bona fide
fringe benefits under Section l(b)(2) of the Davis-Bacon Act on be-
half of laborers or mechanics are considered wages paid to such la-
borers or mechanics, subject to thc provisions of 29 CFR-5.$(a)(l)(iv);
also, regular contributions made or costs incurred for more than a
weekly period (but not less often than quarterly) under plans, funds,
or programs, which cover the particular weekly period, axe deemed to
:be constructively made or incurred during such weekly period.
Such laborers and mechanics shall be paid the appropriate wage rate
and fringe benefits on the wage dctcrrnination for thc classification of
work actually performed, without regard to skill, except as provided
in 29 CFR Part 5.$(a)(4). Laborers or mechanics performing work in
more than one classification may be compcnsatcd at thc rate specified
for each classification for the time actually worked therein: Provided.
That the employcr's payroll records accurately sci forth the time spent
in cach classification in which work is pcrformcd. Thc wage determi-
nation (including any additional classification and wage rates con-
formed under 29 CFR Part $.~(a)(1)(ii) and the Davis-Bacon poster
OVH-1321) shall be posted at all times by the contractor and its sub-
contractors at thc site of the work in a prominent and accessible, place
where it can be easily seen by the workers.
(ii) (a) Any class of laborers or mechanics which is not listed in thc
wage determination and which is to be employed under the contract
shall be classified in conformance with thc wage determination. HUD
shall approve an additional ~lassification and wage rate and fringe
benefits therefore only when the following criteria have been met:
(1) The work to be performed by the classification requcstad is not
performed by a classification in thc wage determination; and
(2) Thc classification is utilized in the area by the construction in-
dustry; and
(3) The proposed wage rate. including any bona fide fringe benefits,
bears a reasonable relationship to the wage rates contained in thc wage
determination.
(b) If the contractor and the laborers and mechanics to be employed
in thc classification (if known), or their representatives, and HUD or
· its designee agree on thc classification and wage rate (including the
amount designated for fringe benefits where appropriate), a report of
thc action taken shall be sent by HUD or its designee to thc Adminis-
trator of thc Wage and Hour Division, Employment Standards Admin-
istration, U.S. Department of Labor, Washington, D.C. 20210. The
Administrator, or an authorized representative, will approve, modify,
or disapprove every additional classification action within 30 days of
receipt and so advise HUD or its designee or will nodfy HUD or its
designee within the 30-day period that additional time is necessary.
(Approved by the Office of Management and Budget under OMB con-
trol number 1215-0140.)
(c) In the event the contractor, the laborers or mechanics to be em-
ployed in the classification or their representatives, and HUD or its
designee do not agree on thb proposed classification and wage rate
(including the amount designated for fringe benefits, where appropri-
ate), HUD or its designee shall refer the questions, including the views
of all interested parties and the recommendation of HUD or its desig-
nee, to the Administrator for determination. The Administrator, or an
authorized representative, will issue a determination within 30 days
of receipt and so advise HUD or its designee or will notify HUD or its
designee within the 30-day period that additional time is necessary.
(Approved by the Office ~f Management and Budget under OMB Con-
trol Number 1215-0140.)
(d) The wage rate (including fringe benefits where appropriate) de-
termined pursuant to subparagraphs (I)(b) or (c) of this paragraph,
shall be paid to all workers performing work in the classification un-
der this contract from the first day on which work is performed in the
classification.
(iii) Whenever the minimum wage rate prescribed in the contract for
a class of laborers or mechanics includes a fringe benefit which is not
expressed as an hourly rate, the contractor shall either pay the benefit
as stated in the wage determination or shall pay another bona fide
fringe benefit or an hourly cash equivalent thereof.
(iv) If thc contractor docs not make payments to a trustee or other
third person, thc contractor may consider as part of the wages of any
laborer or mechanic the amount of any ¢osLs reasonably anticipated
in providing bona fide fringe benefits under a plan or program, Pro-
vided, That the Secretary of Labor has found, upon the written re-
quest of the contractor, that the applicable standards of the Davis-
Bacon Act have been met. The Secretary of Labor may require the
contractor to set aside in a separate account assets for the meeting of
obligations under the plan or program. (Approved by the Office of
Management and Budget under OMB Control Number 121.$-0140.)
2. Withholding. HUD or its designee shall upon its own action or
upon written request of an authorized represeatative of the Depart-
ment of Labor withhold or cause to be withheld from the contractor
under this contract or any other Federal contract with the same prime
contractor, or any other Federally-assisted contract subject to Davis-
Bacon prevailing wage requirements, which is held by the same prime
contractor so much of the accrued payments or advances as may be
considered necessary to pay laborers and mechanics, including ap-
prentices, trainees and helpers, employed by thc contractor or any
subcontractor the full amount of wages required by the contract In the
event of failure to pay any laborer or mechanic, including any appren-
tice, trainee or helper, employed or working on the site of the work
(or under the United States Housing Act of 1937 or under the Housing
Act of 1949 in the construction or development of the project), all or
part of the wages required by the contract, HUD or its designee may,
after written notice to the contractor, sponsor, applicant, or owner,
take such action as may be necessary to cause the suspension of any
further payment, advance, or guarantee of funds until such violations
form HUD..4010 (2/84)
Previous edition is obsolete Page I of 4
reL Handbook 1344.1
have ccas~d. HUD or its designee may, after written notice to thc
contractor, disburse such amounts withheld for and on account of the
contractor or subcontractor to the respective employees to whom they
are due. The Comptroller General shall make such disbursements in
the case of direct Davis-Bacon Act contracts.
3. (i) Payrolls and basic records. Payrolls and basic records relat-
ing thereto shall bc maintained by thc contractor during thc course of
the work preserved for a period of three years thcreaftcr for all labor-
ers and mechanics working at the site of the work (or under thc United
States Housing Act of 1937. or under the Housing Act of 1949, in the
construction or devclopmcnt of the project). Such records shall con-
rain the name, address, and social security number of each such worker,
his or her correct classification, hourly rates of wages paid (including
rates of contributions or costs anticipated for bona fide fringe ben-
cfits or cash cquivalents thcrcof of thc types dcscribcd in Section
l(b)(2)(B) of thc Davis-bacon Act), daily and weekly number of hours
worked, deductions made and actual wages paid. Whcnever the Sec-
rotary of Labor has found under 29 CFR 5.5 (a)(l)(iv) that the wages
of any laborer or mechanic include thc amount of any costs reason.
ably anticipated in providing bcncfits under a plan or program dc-
scribed in Section I(b)(2)(B) of the Davis-Bacon Act, thc contractor
shall maintain records which show that the commitmcnt to provide
such benefits is cnforccablc, that thc plan or program is financially
responsible, and that thc plan or program has been communicated in
writing to the laborers or mechanics affected, and records which show
the costs anticipated or the actual cost incurred in providing such ben-
efits. Contractors employing apprentices or trainees under approved
programs shall maintain written evidence of the registration of ap-
prenticeship programs and certification of trainee programs, thc reg.
istration of thc apprentices and trainees, and thc ratios and wage rates
prescribed in the applicable programs. (Approved by the Office of
Management and Budget under OM B Control Numbers 1215-0140
and 1215-0017.)
(ii) (a) The contractor shall submit weekly for each week in which
any contract work is performed a copy of all payrolls to HUD or its
designee if the agency is a patty to thc contract, but if the agcncy is
not such a party, thc contractor will submit the payrolls to thc appli-
cant sponsor, or owncr, as the case may bc, for transmission to HUD
or its designee. Thc payrolls submitted shall set out accurately and
completely ail of the information required to bc maintained under 29
CFR Part $.5(a)(3)(.i). This information may be submitted in any form
desired. Optional Form WH-347 is available for this purpose and
may be purchased from the Superintendent of Documents (Federal
Stock Number 029-005-00014-1), U.S. Government Printing Offlcc,
Washington, DC. 20402. Thc prime contractor is rcsponsibic for thc
submission of copies of payrolls by nil subcontractors. (Approved by
the Off ice of Management and Budgct under OMB Control Number
1215-0149.)
Co) P-ach payroll submitted shall be accompanied by a "Statcment of
Compliance," signed by the contractor or subcontractor or his or her
agent who pays or supervises the payment of the persons employed
under thc contract and shall certify thc following:
(1) That the payroll for thc payroll period contains the information
required to be maintained under 29 CFR Part 5.$ (a)(3)(i) and that
such information is correct and complete;
(2) That each laborer or mechanic (including each helper, apprentice,
and trainee) employed on thc contract during thc payroll period has
been paid the full wcckly wages earncd, without rebate, aithcr dj-
. rectly or indirectly, and that no deductions have been made either
directly or indirectly from the full wages earned, other than permis-
siblc deductions as set forth in 29 CFR Part 3;
(3) That each laborer or mechanic has been paid not less than the
applicable wage rates and fringe benefits or cash equivalents for the
classification of work performed, as specified in the applicable wage
determination incorporated into the contract.
(c) The weekly submission of a properly executed certification set
forth on the reverse side of Optional Form WH-347 shall satisfy the
requirement for submission of the "Statement of Compliance" required
by paragraph A.3.(ii)(b) of this section.
(d) The falsification of any of the above certifications may subject
the contractor or subcontractor to civil or criminal prosecution under
Section 1001 of Title lB and Section 231 of Title 31 of the United
Statcs Code.
(iii) The contractor or subcontractor shall make the records required
under paragraph A.3.(i) of this section available for inspection, copy-
ing, or transcription by authorized representatives of HUD or its des-
ignce or thc Department of Labor, and shall permit such represents.
tires to interview employees during working hours on the job. If the
contractor or subcontractor fails to submit the required records or to
make them available, HUD or its designee may, after written notice to
the contractor, sponsor, ~.pplicant or owner, take such action as may
be necessary to cause the suspension of any further payment advance,
or guarantee of funds. Furthermore, failure to submit the required
records upon request or to make such records available may be grounds
· for debarment action pursuant to 29 CFR Part 5.12. 4. Apprentices and Trainees,
(i) Apprentices. Apprentices will be permitted to work at less than
the predetermined rate for the work they performed when they are
employed pursuant to and individually registered in a bona fide ap-
prenticeship program registered with the U.S. Department of Labor,
Employment and Training Administration, Bureau of Apprenticeship
and Training, or with a State Apprenticeship Agency recognized by
the Bureau, or if a person is employed in his or her first 90 days of
probationary employment as an apprentice in such an apprenticeship
program, who is not individually registered in the program, but who
has been certified by the Bureau of Apprenticeship and Training or a
State Apprenticeship Agency (where appropriate) to be eligible for
probationary employment as an apprentice. The allowable ratio of
apprentices to journeymen on the job site in any craft classification
shall not be greater than the ratio permitted to the contractor as to the
entire work force under the registered program. Any worker listed on
a payroll at an apprentice wage rate, who is not registered or other-
wise employed as stated above, shall be paid not less than the appli-
cable wage rate on the wage determination for the classification of
work actually performed. In addition, any apprentice performing work
on the .job site in excess of the ratio permitted under the registered
program shall be paid not less than thc applicable wage rate on the
wage determination for the work actually performed. Where a con-
tractor is performing construction on a project in a locality other than
that in which its program is registered, the ratios and wage rates (ex-
pressed in percentages of the journeyman's hourly rate) specified in
the contractor's or subcontractor's registered program shall be ob-
serve. Every apprentice must be paid at not less than thc rate speci-
fied in the registered program for the apprentice's level of progress,
expressed as a percentage of thc journeymen hourly rate specified in
the applicable wage determination. Apprentices shall be paid fringe
benefits in accordance with the provisions of the apprenticeship pro-
gram. If the apprenticeship program docs not specify fringe benefits,
apprentices must be paid the full amount of fringe benefits listed on
the wage determination for the applicable classification. If the Ad-
ministrator determines that a different practice prevails for the appli.
cable apprentice classification, fringes shall be paid in accordance
form HUD-4010 (2/84)
Previous ec~lJon Is obsolete Page 2 of 4 ref. Handbook 1344.1
~with that determination. In the event the Bureau of Apprenticeship
and Training, or a State Apprenticeship Agency recognized by the
Bureau. withdraws approval of an apprenticeship program, the con-
tractor will no longer be permitted to utilize apprentices at less than
the applicable predetermined rate for the work performed until an
acceptable program is approved.
(ii) Trainees. Except as provided in 29 CFR 5.16, trainees will not
be permitted' to work at less than the predetermined rate for the work
performed unless they arc employed pursuant ',to and individually
registered in a program which has received prior approval, evidenced
by formal certification by the U.S. Department of Labor, Employ-
ment and Training Administration. The ratio of trainees to journey-
men on the job site shall not be greater than permitted under the plan
approved by the Employment and Training Administration. Every
trainee must be paid at not less than the rate specified in {he approved
program for the traincc's level of progress, expressed as a percentage
of the journeyman hourly rate specified in the applicable wage deter-
mination. Trainees shall bc paid fringe benefits in accordance with
the provisions of the trainee program. If thc trainee program does not
mention fringe benefits, trainees shall be paid the full amount of fringe
benefits listed on thc wage determination unless the Administrator of
the Wage and Hour Division determines that thcrc is an apprcnticc-
shil{ program associated with the corresponding journeyman wage rate
on the wage dctcrmination which provides for less than full fringe
bcncfits for apprentices. Any employee listed on thc payroll at a trainee
rate who is not registered and participating in a training plan approved
by the Employment and Training Administration shall be paid not less
than the applicable wage rate on thc wage determination for the work
actually performed. In addition, any trainee performing work on thc
job site ia ex~css of thc ratio permitted under thc rcgistcred program
shall be paid not less than thc applicable wage rate on thc wage deter-
mination for thc work actually performed. In thc event thc Employ-
mcnt and Training Administration withdraws approval of a training
program, the contractor will no longer be permitted to utilize trainees
at less than thc applicable predetermined rate for the work performed
until an acceptable program is approved.
(iii) Equal employment opportunity. Thc utilization of appren-
tices, trainees and j.ourneymcn under this pan shall bc in conformity
with thc equal employment opportunity requirements of Executive
Order 11246, as amended, and 29 CFR Part 30.
5. Compliance with Copeland Act requirements. The contractor
shall comply with the requirements of 29 CFR Part 3 which are incor-
porated by reference in this contradt
6. Subcontracts. Thc contractor or subcontractor will insert in any
subcontracts thc clauses contained in 29 CFR 5.5(a)(1) through (10)
and such other clauses as HUD or its designee may by appropriate
instructions require, and also"a clause requiring the subcontractors to
include these clauses in any lower tier subcontracts. The prime con-
tractor shall bc responsible for thc compliance by any subcontractor
or lower tier subcontractor with ail thc contract clauses in 29 CFR
Pan 5.5.
7. Contract terminaUon; debarment. A breach of thc contract
clauses in 29 CFR 5.5 may be grounds for termination of the contract
and for debarment as a contractor and a subcontractor as provided in
29 CFR 5.12.
8. CompUance with Davis-Bacon and Related Act Requirements. All
rulings and interpretations of thc Davis-Bacon and Related Acts con-
taincd in 29 CFR Parts I, 3, and 5 arc herein incorporated by refer-
ence in this contract
9. Disputes concerning labor standards. Disputes arising out of
.thc labor standards provisions of this contract shall not bc subject to
thc general disputes clause of this contract. Such disputes shall be
resolved in accordance with the procedures of the Depanment of La-
bor set forth in 29 CFR Pans 5, 6, and 7. Disputes within the meaning
of this clause include disputes between the contractor (or any of its
subcontractors) and HUD or its designee, the U.S. Department of La-
bor, or the employees or their representatives.
10. (i) Certification of Eligibility. By entering into this contract
the contractor certifies that neither it (nor he or she) nor any person or
firm who has an interest in the contractor's firm is a person or firm
ineligible to be awarded Government contracts by virtue of Section
3(a) of the Davis-Bacon Act or 29 CFR 5.12(a)(1) or to be awarded
HUD contracts or participate in HUD programs pursuant to 24 CFR
Part 24.
(ii) No pan of this contract shall be subcontracted to any person or
firm ineligible for award of a Government contract by virtue of Sec.
lion 3(a) of the Davis-Bacon Act or 29 CFR 5.12(a)(l) or to be awarded
HUD contracts or participate i.n HUD programs pursuant to 24 CFR
Part 24.
(iii) Thc penalty for making false statements is prescribed in thc U.S.
Criminal Code, 18 U.S.C. 1001. Additionally, U.S. Criminal Code,
Section I 01 0, Title 18, U.S.C., "Federal Housing Administration
transactions", provides in part: "Whoever, for the purpose of... in-
fluencing in any way the action of such Administration ..... makes,
utters or publishes any statement knowing the same to be false .....
shall be fined not more than $5,000 or imprisoned not more than two
years, or both."
11. Complaints, Proceedings, or Testimony by Employees. No
laborer or mechanic to whom the wage, salary, or other labor stan-
dards provisions of this Contract are applicable shall be discharged or
in any other manner discriminated against by thc Contractor or any
subcontractor because such employee has filed any complaint or in-
stituted or caused to be instituted any proceeding or has testified or is
about to testify in any proceeding under or relating to thc labor stan-
dards applicable under this Contract to his employer.
B. Contract Work Hours and Safety Standards Act. As used in
this paragraph, the terms "laborers" and "mechanics" include watch-
men and guards.
(1) Overtime requirements. No contractor or subcontractor con-
tracting for any part of the contract work which may require or in-
volve the employment of laborers or mechanics shall require or per.
mit any such laborer or mechanic in any workweek in which he or she
is employed on such work to work 'in excess of eight hours in any
calendar day or in excess of forty hours in such workweek unless such
laborer or mechanic receives compensation at a rate not less than one
and one-half times the basic rate of pay for all hours worked in excess
of eight hours in any calendar day or in excess of forty hours in such
workweek, whichever is greater.
(2) Violation; liability for unpaid wages; liquidated damages, la
the event of any violation of the clause set forth in subparagraph (1)
of this paragraph, the contractor and any subcontractor responsible
therefor shall be liable for the unpaid wages. In addition, such con-
tractor and subcontractor shall be liable to the United States (in the
case of work done under contract for the District of Columbia or a
territory, to such District or to such territory), for liquidated dam-
ages. Such liquidated damages shall be computed with respect to
each individual laborer or mechanic, including watchmen and guards,
employed in violation of the clause set forth in subparagraph (1) of
this paragraph, in the sum of $I0 for each calendar day on which such
individual was required or permitted to work in excess of eight hours
or in excess of the standard workweek of forty hours without payment
of the overtime wages required by the clause set forth in sub para-
graph (1) of this paragraph.
form HUD-4010 (2/84)
Previous edition is obsolete Page 3 of 4 faf. Handbook 1344.1
(3) Withholding for unpaid wages and liquidated damages. HUD
or its designee shall upon its own action or upon written request of an
authorized representative of the Department of Labor withhold or cause
to be withheld, from any moneys payable on account of work per-
formed by the contractor or subcontractor under any such contract or
any other Federal contract with the same prime contract, or any other
Federally-.assisted contract subject to the Contract Work Hours and
Safety Standards Act which is held by the same prime contractor such
sums as may be determined to be necessary to satisfy any liabilities
of such contractor or subcontractor for unpaid wages and liquidated
damages as provided in the clause set forth in subparagraph (2) of this
paragraph.
(4) Subcontracts. The contractor or subcontractor shall insert in any
subcontracts the clauses set forth in subparagraph (!) through (4) of
this paragraph and also a clause requiring the subcontractors to in-
clude · these clauses in any lower tier subcontracts. The prime con-
tractor shall be responsible for compliance by any subcontractor ox
lower tier subcontractor with the clauses set forth in subparagraphs
(I) through {4) of this paragraph.
C. Health and Safety .
(1) No laborer or mechanic shall be required to work in surroundings
or under working conditions which are unsanitary, hazardous, or dan-
gerous to his health and safety as determined under construction safety
and health standards promulgated by the Secretary of Labor by regu-
lation.
(2) The Contractor shall comply with all regulations issued by the
Secretary of Labor.pursuant to Title 29 Part 1926 (formerly part 151
8) and failure to comply may result in imposition of sanctions pursu-
ant to the Contract Work Hours and Safety Standards Act (Public Law
91-54, 83 Stat 96}.
(3) The Contractor shall include the provisions of this Article in ev-
ery subcontract so that such provisions will be binding on each sub-
contractor. The Contractor shall take such action with respect to any
subcontract as the Secretary of Housing and Urban Development or
the Secretary of Labor shall direct as a means of enforcing such pro-
visions.
form HU D-.4010 (2/84)
Previous edition is obsolete Page 4 of 4 ref. Handbook 1344.1