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perforniance and/or records of work perfornled undcr this Conti-act by any third-party, <br />including subcontractors, contractors aiid consultailt or service provider. <br />E. Adniinistrator shall include in any subcontracts that failure to adequately perfonn under <br />tllis Contract may result in penalties up to and including Debarnient from performing <br />additional work for the Department. <br />SECTION 11. CONFLICT OF INTEREST <br />A. Administrator shall ensure that no employee, agent, consultant, offrcer or elected or <br />appointed official of Administrator, who exercises or has exercised any functions or <br />responsibilities with respect to activities assisted with funds provided under this contract <br />or who is in a position to participate in a decision making process, or gain inside <br />infonnation with regard to such activities, may obtain a personal or financial interest or <br />benefit from a HOME assisted activity, or have an interest in any contract, subcontract, or <br />agreement (or the proceeds thereofl with respect to a HOME assisted activity either for <br />themselves or those with whom they have family or business ties, during their tenure or <br />for one year thereafter. <br />B. Administratar shall ensure that no employee, officer, or agent of Administrator shall <br />participate in the selection, or in the award or administration of a subcontract supported <br />by funds provided hereunder if a conflict of interest, real or apparent, would be involved. <br />Such conflict of interest would arise when: I) the employee, officer, or agent; 2) any <br />member of his or her immediate family; 3) his or her partner; or 4) any organization <br />which employs, or is about to employ any of the above, has a financial or other interest in <br />the firm or person selected to perform the subcontract. Administrator shall comply with <br />24 CFR §92.356 (exceptions can only be waived by HUD). <br />C. No owner, developer or sponsor of HOME-assisted housing, including their officers, <br />employees, agents, consultants or elected or appointed officials may occupy a HOME- <br />assisted unit in a development (with the exceptions of (1) an individual living in a <br />HOME-assisted rental housing development where he/she is a project manager or a <br />maintenance worker in that development and (2) an individual receiving HOME funds to <br />acquire ar rehabilitate his/her principal residence). <br />D. None of the funds provided under this contract may be paid to an entity or organization <br />that provides downpayment assistance if the activities of that entity or organization are <br />financed in whole ar in part, directly or indirectly, by contributions, service fees, or other <br />payments from the sellers of housing, whether or not made in conjunction with the sale of <br />specific housing acquired with funds provided under this contract. <br />E. Administrator shall include the substance of this Section I 1 in all of its subcontracts. <br />SECTION 12. NONDISCRIMINATION AND FAITH-BASED ACTNITIES <br />A. Administrator shall ensure that no person shall, on the grounds of race, color, religion, <br />sex, handicap, familial status, or national origin, be excluded from participation in, be <br />denied the benefits of, or be subjected to discrimination under, any program or activity <br />funded in whole or in part with funds provided under this contract. <br />ATTACHMENT A <br />HOME Contract #1001053 <br />Page 9 of 21 <br />~a~-3~ <br />