2010-021 RES APPROVING AND AUTHORIZING EXECUTION OF PROFESSIONAL MANAGEMENT SERVICES AGREEMENT W/ MUNICPAL DEV SERVICESRESOLUTION NO. 2010-021
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS,
APPROVING AND AUTHORIZING THE EXECUTION OF A PROFESSIONAL
MAIVAGEMEIVT SERVICES AGREEMENT WITH MUNICIPAL DEVELOPMENT
SERVICES TO IMPLEMENT A CONTRACT ADMINISTRATION SYSTEM UNDER
THE GEIVERAL DIRECTIOIV OF THE TEXAS DEPARTMEIVT OF AGRICULTURE
UNDER THE TEXAS CAPITAL FUND INFRASTRUCTURE GRANT PROGRAM FOR
INFRASTRUCTURE IMPROVEMENTS TO PROVIDE A SUPPLY OF TREATED
WATER FOR A COMMERCIAL DAIRY OPERATION LOCATING IN LAMAR
COUNTY, TEXAS; MAKING OTHER FINDIIVGS AND PROVISIONS RELATED TO
THE SUBJECT; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City of Paris is a participant in the Texas Capital Funds (TCF) grant from
the Texas Department of Agriculture (TDA) under the Infrastructure Grant Program and is a
recipient of grant funds for infrastructure improvements to provide a supply of treated water for
a commercial dairy operation locating in Lamar County, Texas; and,
WHEREAS, the City of Paris is in need of management services under the aforesaid TDA -
TCF Infrastructure Program; and,
WHEREAS, the City of Paris has received a proposal for such services from Municipal
Development Services in the form attached hereto as Exhibit A; and,
WHEREAS, it is deemed to be in the best interest of the City of Paris that the City enter
into a professional services agreement with Municipal Development Services.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS,
TEXAS:
Section 1. That the findings set out in the preamble to this resolution are hereby in all
things approved.
Section 2. That the proposal of Municipal Development Services to implement a
contract administration system under the general direction of the TDA and for certain services in
connection with the Texas Capital Fund Infrastructure Grant Program for infrastructure
improvements to provide a supply of treated water for a commercial dairy operation locating in
Lamar County, Texas as set forth in Exhibit A attached hereto, be and the same is hereby
accepted; and,
Section 3. That the City Manager be, and he is hereby authorized and directed to
execute on behalf of the City of Paris a Professional Management Services Agreement with
Municipal Development Services substantially in accordance with the form attached hereto as
Exhibit A, and any and all other necessary documents to effectuate this Agreement.
Section 4. That this resolution shall be effective from and after its date of passage.
PASSED AND APPROVED this 8th day of February, 2010.
ATTEST:
.
J nice Ellis, City Clerk
APPROVED AS TO FORM:
W. Kent McIlyar, Ci A orney
sse Ja es Freelen, Mayor
AGREEMENT FOR PROFESSIONAL SERVICES
This Agreement is entered into by the City of Paris, a home-rule municipal corporation hereinafter called
"CITY" and Municipal Development Services, a Texas Corporation, acting herein through a duly authorized
officer, hereinafter called "MDS" for Management and Administrative Assistance in the administration of a
Texas Capital Fund (TCF) grant from the Texas Department of Agriculture (TDA) for infrastructure
improvements on behalf of Daisy Brand Operating LLC dba Daisy Farms.
WITNESSETH:
For the mutual promises and benefits herein described, the parties agree as follows:
1. Term of Agreement: This Agreement shall become effective on the day it is signed by the last party
hereto, and shall continue in effect thereafter until the services provided for herein have been
performed, or until terminated as provided herein.
2. Services to be Performed bv MDS: NIDS shall diligently and timely perform the Professional
Management and Administrative Assistance in the administration of a Texas Capital Fund (TCF)
grant from the Texas Department of Agriculiure (TDA) for infrastructure improvements on behalf of
Daisy Brand Operating LLC dba Daisy Farms.
3. Compensation of MDS: The CITY shall compensate MDS for the services provided and accepted
by CITY pursuant to this Agreement and in accordance with the Payment Schedule attached hereto
as Exhibit B. Provided, however, total compensation under this Agreement shall not exceed the
amount quoted in Exhibit B without prior written authorization from the City Manager of the City of
Paris, Texas.
4. Independent Contractor: NIDS covenants and agrees that MDS is an independent contractor and not
an officer, agent, servant or employee of CITY; that MDS sha11 have exclusive control of and
exclusive right to control the details of the work performed hereunder and a11 persons performing
same, and shall be responsible for the acts and omissions of its officers, agents, employees,
contractors, subcontractors and MDSs; that the doctrine of respondeat superior sha11 not apply as
between CITY and MDS, its officers, agents, employees, contractors, subcontractors and MDSs, and
nothing herein shall be construed as creating a partnership or joint enterprise between CITY and
MDS.
5. Indemnification: MDS hereby agrees to release, defend, indemnify and hold the CITY and its
elected officials, officers, agents and employees harmless from and against a11 damages, injuries
(including death), claims, property damages (including loss of use), losses, demands, suits,
judgments and costs, including reasonable attorney's fees and expenses, in any way arising out of,
related to, or resulting from the services provided by MDS pursuant to this Agreement, but only to
the extent caused by the negligent act of omission or intention wrongful act of omission of MDS, its
officers, agents, employees, subcontractors, subconsultants, licensees, invitees or any other third
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EXHIBIT A..
parties for whom MDS is legally responsible (hereinafter "Claims). MDS is expressly required to
defend CITY against a11 such claims and/or lawsuits.
6. Insurance Requirements: MDS agrees to meet all insurance requirements set out below, and to
require all subcontractors and/or subconsultants who perform work for MDS on this Project to meet
these insurance requirements as well:
MDS shall maintain insurance for this Project in accordance with the following required coverages
and limits, and sha11 furnish a copy of said policies or properly executed Accord Certificates to the
City upon execution of this Agreement and throughout the
Contract term. The City of Paris, its elected officials, officers and employees sha11 be included and
covered as Additional Insured's on all policies listed below except the Professional Liability and
Workers Compensation policies.
General Commercial Liability $500,000 per occurrence5 1,000,000 aggregate
Commercial Auto Liability $500,000 per occurrence/$1,000,000 aggregate
Professional Liability $1,000,000 per claim and in the aggregate
Workers Compensation State required minimum limits
7. Termination of Contract for Cause. If, through any cause, the Consultant shall fail to fulfill in a
timely and proper manner his/her obligations under this Contract, or if the Consultant sha11 violate
any of the covenants, agreements, or stipulations of this Contract, the City shall thereupon have the
right to terminate this Contract by giving written notice to the Consultant of such termination and
specifying the effective date thereof, at least five days before the effective date of such termination.
In such event, a11 finished or unfuushed documents, data, studies, surveys, drawings, maps, models,
photographs and reports prepared by the Consultant under this Contract shall, at the option of the
City, become its property and the Consultant sha11 be entitled to receive just and equitable
compensation for any work satisfactorily completed hereunder.
Notwithstanding the above, the Consultant sha11 not be relieved of liability to the City for damages
sustained by the City by virtue of any breach of the Contract by the Consultant, and the City may
withhold any payments to the Consultant for the purpose of set-off until such times as the exact
amount of damages due the City from the Consultant is determined.
8. Termination for Convenience of the Citv. The City may terminate this Contract at any time by
giving at least ten (10) days notice in writing to the Consultant. If the Contract is terminated by the
City as provided herein, the Consultant will be paid for the time provided and expenses incurred up
to the termination date. If this Contract is ternunated due to the fault of the Consultant, Paragraph 1
hereof relative to termination sha11 apply.
9. Reuse of Documents: All documents prepared by NIDS for City pursuant to this Agreement are
instruments of service for the specific project contemplated under this Agreement. They are not
intended for reuse on extensions of that project, or on any other project. Any reuse without written
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verification or adaptation by MDS for the specific purpose intended will be at CITY's sole risk and
without liability to MDS.
10.
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11.
Notices: Any notices to be given hereunder by either party to the other may be effected either by
personal delivery, in writing, or by registered or certified mail, to the following address:
Director City Manager
Municipal Development Services City of Paris, Texas
P.O. Box 1705 P.O. Box 9037
Forney, TX 75126 Paris, Texas 75460
Other Provisions: The parties hereto further agree as follows:
(a) Texas Law to Apply Successors; Construction. This Agreement sha11 be construed under
and in accordance with the laws of the State of Texas. It shall be binding upon, and inure to
the benefit of, the parties hereto and their representatives, successors and assigns. Should any
provisions in this Agreement later be held invalid, illegal or unenforceable, they sha11 be
deemed void, and the remainder of this Agreement sha11 be construed as if such provision
had never been contained herein.
(b) Non-Assi ng ment. The parties hereto further agree that during the term of this agreement, ttie
services to be provided hereunder shall remain the sole responsibility of NIDS, and that MDS
sha11 not during the term of this agreement assign, subcontract, or in any other way authorize
or retain other parties to provide such services without the express written consent of City
Manager of the City of Paris, Texas.
(c) No Waiver. No waiver of either party's rights under tlus Agreement sha11 be deemed to have
been made unless expressed in writing and signed by an authorized representative of that
Party.
(d) Sole Parties to Agreement. This Agreement sha11 not create any rights or benefits to anyone
except the CITY and MDS, and contains the entire agreement between the parties. Ora1
modifications to this agreement shall have no force or effect.
(e) Venue. The parties agree that the laws of the State of Texas shall govern this Agreement,
and that a11 aspects of this Agreement are performable in Lamar County, Texas. Exclusive
venue for any claim or lawsuit arising out of or related to this Agreement sha111ie in Lamar
County, Texas.
Any Amendment or Supplement to this Agreement shall be in writing, and be signed by the
appropriate authorized parties for both CITY and MDS.
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IN WITNESS WHEREOF, the parties, having read and understood this Agreement, have executed such in
duplicate copies, each of which shall have full dignity and force as an original.
CONSULTANT: MUNICIPAL
DEVELOPMENT SERVICES
By:
Kim Lacey, Director
Date:
ATTEST:
(Corporate Seal)
Mayor
Date
OWNER: CITY OF PARIS, TEXAS
By:
Kevin Carruth, City Manger
Date:
ATTEST:
(Seal)
Director
Date
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EXHIBIT A
SCOPE OF SERVICES
Municipal Development Services shall provide the following scope of services as needed:
A. Project Mana e~ ment
l. Develop a recordkeeping system consistent with program guidelines, including the
establishment of a filing system
2. Maintenance of filing system
3. Provide general advice and technical assistance to City personnel on implementation of
proj ect and regulatory matters
4. Assist in the procurement of professional consulting engineering services through the
request for proposal process, if applicable, and as required by the TCDP regulations
5. Furnish City with necessary forms and procedures required for implementation of project
6. Assist the City in meeting all special condition requirements that may be stipulated in the
contract between the City and TDA
7. Prepare and submit to Office documentation necessary for amending the TCDP contract
8. Conduct re-assessment of environmental clearance for any program amendments
9. Prepare and submit quarterly reports (progress and minority hiring)
10. Prepare Recipient Disclosure Report form for Locality signature and submittal
11. Establish procedures to document expenditures associated with local administration of
the project
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12. Provide guidance and assistance to City regarding acquisition of property:
• Submit required reports concerning acquisition activities to Office
• Establish a separate acquisition file for each parcel of real property acquired
• Determine necessary method(s) for acquiring real property
• Prepare correspondence to the property owners for the City's signature to acquire
the property or to secure an easement
• Assist the City in negotiation with property owner(s)
13. Maintain TCDP Property Management register for any property/equipment purchased or
leased
14. Serve as liaison for the City during any monitoring visit by staff representatives from
either TDA or HUD
B. Financial Mana e~ent
l. Assist the City in proving its ability to manage the grant funds to the state's audit
division.
2. Assist the City in establishing and maintaining a bank account (Direct Deposit account)
and/or separate local bank account, journals and ledgers.
3. Assist the City in submitting the required Accounting System Certification letter, Direct
Deposit Authorization Form (if applicable), and/or Depository/Authorized Signatory
form to Office.
4. Prepare all fund drawdowns on behalf of the City in order to ensure orderly, timely
payments to all contracting parties within the allotted time period.
5. Review invoices received for payment and file back-up documentation
6. Provide general advice and technical assistance to City personnel on implementation of
project and regulatory matters
7. Assist the City in establishing procedures to handle the use of any TCDP program
income.
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C. Environmental Review
1. Prepare environmental assessment.
2. Coordinate environmental clearance procedures with other federal or state agencies and
interested parties responsible for implementing applicable laws.
3. Document consideration of any public comments.
4. Prepare any required re-assessment of environmental assessment.
5. Ensure compliance with EO 11988 for projects in the flood plains.
6. Prepare Request for Release of Funds and certifications to be sent to the Office.
D. Acquisition
1. Prepare required acquisition reports(s).
2. Obtain documentation of ownership for City-owned property and/or ROWs.
3. Maintain a separate file for each parcel of real property acquired.
4. Determine necessary method(s) for acquiring real property.
5. Prepare correspondence with property owners.
6. Assist City in negotiations with property owner(s).
7. Prepare required acquisition reports and submit to the Office.
E. Construction Mana egLment
1. Establish procedures to document expenditures associated with local construction of the
project (if force account is applicable).
• Assist City in determining whether and/or what TCDP contract activities will be
carried out in whole or in part via force account labor.
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• Assist City in determining whether or not it will be necessary to hire temporary
employees to specifically carry out TCDP contract activities.
• Assist City in maintaining adequate documentation of personnel, equipment and
materials expended/used and their costs.
2. Assist City in documenting compliance with all federal and state requirements related to
equal employment opportunity.
3. Assist City in documenting compliance with all federal and state requirements related to
minimum wage and overtime pay requirements.
4. Provide assistance to or act as local labor standards officer. Notify the Office in writing
of name, address, and phone number of appointed labor standards compliance officer.
5. Request wage rates from the Office.
6. Provide sample TCDP contract documents to engineer.
7. Advertise for bids.
8. Make ten-day call to the Office.
9. Verify construction contractor eligibility with the Office.
10. Review construction contract.
11. Conduct pre-construction conference and prepare minutes.
12. Submit any reports of additional classification and rates to the Office.
13. Issue Notice of Start of Construction to the Office.
14. Review weekly payrolls, including compliance follow-ups. Conduct employee
interviews.
15. Process change orders approved by City and the project engineer and submit to the Office
prior to execution with the construction contractor.
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16. Obtain Certificate of Construction Completion/Final Wage Compliance Report and
submit to the Office.
17. Provide general advice and technical assistance to City personnel on implementation of
project and regulatory matters.
F. Fair Housing / Equal Opportunity
1. Assist the City in developing, implementing and documenting new activities to
affirmatively further fair housing activities during the contract period.
2. Maintain documentation of all project beneficiaries by ethnicity and gender.
3. Prepare Section 3 and Affirmative Action Plan.
4. Prepare all Section 504 requirements.
5. Provide all applicable equal opportunity provisions and certifications for inclusion in bid
packet
G. Relocation
1. Prepare and submit local relocation guidelines to Office for approval.
2. Assist City in identifying individuals to be relocated and prepare appropriate notices.
3. Interview relocatees and identify assistance needs.
4. Maintain a relocation record for each individual/family.
5. Provide education/assistance to relocatees.
6. Inventory local available housing resources and maintain a referral list.
7. Issue appropriate notices to relocatees.
8. Ensure that all payments are made in a timely manner.
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H. Rehabilitation of Private Propertv
1. Prepare and submit local rehabilitation guidelines to the Office for approval.
2. Assist City in establishing escrow account and obtaining Office approval.
3. Develop outreach and necessary application processing/verification forms.
4. Screen applicants.
5. Prepare work write-ups and cost estimates.
6. Issue Notice to Proceed to construction contractor(s).
7. Conduct interim/final inspections, process final contract documents, and maintain a
record of beneficiaries.
8. Maintain client files following Office requirements.
1. Audit / Close-out Procedures
1. Prepare the final Project Completion Report, including Minority Business Report,
Recipient Disclosure/Update Report, documentation of fair housing activities and
Certificate of Completion.
2. Assist City in resolving any monitoring and audit findings.
3. Assist City in resolving any third party claims.
4. Provide auditor with TCDP audit guidelines.
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EXHIBIT B
COST OF SERVICES
The City of Paris shall compensate Municipal Development Services for their professional
services as follows:
Services Rendered
Fee
Set Up Record Keeping
$4,000.00
Environmental Review
8,000.00
Special Conditions Fulfilled
10,000.00
Quarterly Reports
7,000.00
Jobs & Low/Mod Documentation
6,000.00
Bid Letting Award
5,000.00
Construction Compliance/Davis Bacon
9,000.00
TCF Contract Documents
8,000.00
Close-Out Documents
3,000.00
TOTAL
$60,000.00
These fees shall be billed on a percentage of completion basis and shall be payable upon the
receipt of an invoice from MDS.
Any additional services desired by the City and not associated with the general services outlined
in Part II - Scope of Services shall be billed as mutually agreed to by both parties.
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EXHIBIT C
TERMS AND CONDITIONS
Termination of Contract for Cause. If, through any cause, the Consultant shall fail to fulfill in a
timely and proper manner his/her obligations under this Contract, or if the Consultant shall
violate any of the covenants, agreements, or stipulations of this Contract, the City shall
thereupon have the right to terminate this Contract by giving written notice to the Consultant of
such termination and specifying the effective date thereof, at least five days before the effective
date of such termination. In such event, all finished or unfinished documents, data, studies,
surveys, drawings, maps, models, photographs and reports prepared by the Consultant under this
Contract shall, at the option of the City, become its property and the Consultant shall be entitled
to receive just and equitable compensation for any work satisfactorily completed hereunder.
Notwithstanding the above, the Consultant shall not be relieved of liability to the City for
damages sustained by the City by virtue of any breach of the Contract by the Consultant, and the
City may withhold any payments to the Consultant for the purpose of set-off until such time as
the exact amount of damages due the City from the Consultant is determined.
2. Termination for Convenience of the City. The City may terminate this Contract at any time by
giving at least ten (10) days notice in writing to the Consultant. If the Contract is terminated by
the City as provided herein, the Consultant will be paid for the time provided and expenses
incurred up to the termination date. If this Contract is terminated due to the fault of the
Consultant, Paragraph 1 hereof relative to termination shall apply.
3. Changes. The City may, from time to time, request changes in the scope of the services of the
Consultant to be performed hereunder. Such changes, including any increase or decrease in the
amount of the Consultant's compensation, which are mutually agreed upon by and between the
City and the Consultant, shall be incorporated in written amendments to this Contract.
4. Personnel.
a. The Consultant represents that he/she has, or will secure at his own expense, all personnel
required in performing the services under this Contract. Such personnel shall not be employees
of or have any contractual relationship with the City.
b. All of the services required hereunder will be performed by the Consultant or under
his/her supervision and all personnel engaged in the work shall be fully qualified and shall be
authorized or permitted under State and Local law to perform such services.
c. None of the work or services covered by this Contract shall be subcontracted without the
prior written approval of the City. Any work or services subcontracted hereunder shall be
specified by written contract or agreement and shall be subject to each provision of this Contract.
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5. Assi nabilitv. The Consultant shall not assign any interest on this Contract, and shall not transfer
any interest in the same (whether by assignment or novation), without the prior written consent
of the City thereto: Provided, however, that claims for money by the Consultant from the City
under this Contract may be assigned to a bank, trust company, or other financial institution
without such approval. Written notice of any such assignment ar transfer shall be furnished
promptly to the City.
6. Reports and Information. The Consultant, at such times and in such forms as the City may
require, shall furnish the City such periodic reports as it may request pertaining to the work or
services undertaken pursuant to this Contract, the costs and obligations incurred or to be incurred
in connection therewith, and any other matters covered by this Contract.
7. Records and Audits. The Consultant shall insure that the City maintains fiscal records and
supporting documentation for all expenditures of funds made under this contract in a manner that
conforms to OMB Circular A-87, Section 570.490 of the Regulations, and this Contract. Such
records must include data on the racial, ethnic, and gender characteristics of persons who are
applicants for, participants in, or beneficiaries of the funds provided under this Contract. City
shall retain such records, and any supporting documentation, for the greater of three years from
closeout of the Contract or the period required by other applicable laws and regulations.
8. Findings Confidential. All of the reports, information, data, etc., prepared or assembled by the
Consultant under this contract are confidential and the Consultant agrees that they shall not be
made available to any individual or organization without the prior written approval of the City.
9. Cop r~ight. No report, maps, or other documents produced in whole or in part under this Contract
shall be the subject of an application for copyright by or on behalf of the Consultant.
10. Compliance with Local Laws. The Consultant shall comply with all applicable laws, ordinances
and codes of the State and local governments, and the Consultant shall save the City harmless
with respect to any damages arising from any tort done in performing any of the work embraced
by this Contract.
11. Equal Emplovment Opportunity. During the performance of this Contract, the Consultant agrees
as follows:
a. The Consultant will not discriminate against any employee or applicant for employment
because of race, creed, sex, color, handicap or national origin. The Consultant will take
affirmative action to ensure that applicants are employed, and that employees are treated
during employment, without regard to their race, creed, sex, color, handicap or national
origin. Such action shall include, but not be limited to, the following: Employment,
upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or
termination; rates of pay or other forms of compensation; and selection for training,
including apprenticeship. The Consultant agrees to post in conspicuous places, available
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to employees and applicants for employment, notices to be provided by the City setting
forth the provisions of this non-discrimination clause.
b. The Consultant will, in all solicitation or advertisements for employees placed by or on
behalf of the Consultant, state that all qualified applicants will receive consideration for
employment without regard to race, creed, color, sex, handicap or national original.
c. The Consultant will cause the foregoing provisions to be inserted in all subcontracts for
any work covered by this Contract so that such provisions will be binding upon each
subcontractor, provided that the foregoing provisions shall not apply to contracts or
subcontracts for standard commercial supplies or raw materials.
d. The Consultant will include the provisions a. through c. in every subcontract or purchase
order unless exempted.
12. Civil Rights Act of 1964. Under Title VI of the Civil Rights Act of 1964, no person shall, on the
grounds of race, color, or national origin, be excluded from participation in, be denied the
benefits of, or be subjected to discrimination under any program or activity receiving Federal
financial assistance.
13. Section 109 of the Housing and Community Development Act of 1974. No person in the United
States shall on the ground of race, color, national origin, or sex be excluded from participation in,
be denied the benefits of, or be subjected to discrimination under any program or activity funded
in whole or in part with funds made available under this title.
14. "Section 3" Comp.liance in the Provision of Training Employment and Business Opportunities.
a. The work to be performed under this contract is on a project assisted under a program
providing direct Federal financial assistance from the Office of Housing and Urban
Development and is subject to the requirements of Section 3 of the Housing and Urban
Development Act of 1968, as amended, 12 U.S.C. 1701u. Section 3 requires that to the
greatest extent feasible opportunities for training and employment be given lower income
residents of the project area and contracts for work in connection with the project be
awarded to business concerns that are located in, or owned in substantial part by persons
residing in the area of the project.
b. The parties to this contract will comply with the provisions of said Section 3 and the
regulations issued pursuant thereto by the Secretary of Housing and Urban Development
set forth in 24 C.F.R. 235, and all applicable rules and orders of the Office issued
thereunder prior to the execution of this Contract. The parties to this Contract certify and
agree that they are under no contractual or other disability that would prevent them from
complying with these requirements.
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c. The contractor will send to each labor organization or representative of workers with
which he/she has a collective bargaining agreement ar other contract or understanding, if
any, a notice advising the said labor organization or workers' representative of his/her
commitments under this Section 3 clause and shall post copies of the notice in
conspicuous places available to employees and applicants for employment or training.
d. The contractor will include this Section 3 clause in every subcontract for work in
connection with the project and will, at the direction of the applicant for or recipient of
Federal financial assistance, take appropriate action pursuant to the subcontract upon a
finding that the subcontractor is in violation of regulations issued by the Secretary of
Housing and Urban Development, 24 C.F.R. Part 135. The contractor will not
subcontract with any subcontractor where it has notice or knowledge that the latter has
been found in violation of regulations under 24 C.F.R. Part 135 and will not let any
subcontract unless the subcontractor has first provided it with a preliminary statement of
ability to comply with the requirements of these regulations.
e. Compliance with the provisions of Section 3, the regulations set forth in 24 C.F.R. Part
135, and all applicable rules and orders of the Office issued hereunder prior to the
execution of the contract, shall be a condition of the federal financial assistance provided
to the project, binding upon the applicant or recipient for such assistance, its successors
and assigns. Failure to fulfill these requirements shall subject the applicant or recipient,
its contractors and subcontractors, its successors and assigns to those sanctions specified
by the grant or loan agreement or contract through which federal assistance is provided,
and to such sanctions as are specified by 24 C.F.R. Part 135.
15. Section 503 Handicapped (if $2 500 or Over) Affirmative Action for Handicapped Workers.
a. The contractor will not discriminate against any employee or applicant for employment
because of physical or mental handicap in regard to any position for which the employee
or applicant for employment is qualified. The contractor agrees to take affirmative action
to employ, advance in employment and otherwise treat qualified handicapped individuals
without discrimination based upon their physical or mental handicap in all employment
practices such as the following: Employment, upgrading, demotion or transfer,
recruitment, advertising, layoff or termination, rates of pay or other forms of
compensation, and selection for training, including apprenticeship.
b. The contractor agrees to comply with the rules, regulations, and relevant orders of the
Secretary of Labor issued pursuant to the Act.
c. In the event of the contractor's non-compliance with the requirements of this clause,
actions for non-compliance may be taken in accordance with the rules, regulations, and
relevant orders of the Secretary of Labor issued pursuant to the Act.
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d. The contractor agrees to post in conspicuous places, available to employees and
applicants for employment, notices in a form to be prescribed by the Director, provided
by or through the contracting officer. Such notices shall state the contractor's obligation
under the law to take affirmative action to employ and advance in employment qualified
handicapped employees and applicants for employment, and the rights of applicants and
employees.
e. The contractor will notify each labor union or representative of workers with which it has
a collective bargaining agreement or other contract understanding, that the contractor is
bound by the terms of Section 503 of Rehabilitation Act of 1973, and is committed to
take affirmative action to employ and advance in employment physically and mentally
handicapped individuals.
f. The contractor will include the provisions of this clause in every subcontract or purchase
order of $2,500 or more unless exempted by rules, regulations, or orders of the Secretary
issued pursuant to Section 503 of the Act, so that such provisions will be binding upon
each subcontractor with respect to any subcontract or purchase order as the Director of
the Office of Federal Contract Compliance Programs may direct to enforce such
provisions, including action for non-compliance.
16. Interest of Members of a Citv. No member of the governing body of the City and no other
officer, employee, or agent of the City who exercises any functions or responsibilities in
connection with the planning and carrying out of the program, shall have any personal financial
interest, direct or indirect, in this Contract, and the Consultant shall take appropriate steps to
assure compliance.
17. Interest of Other Local Public Officials. No member of the governing body of the Locality and
no other public official of such Locality, who exercises any functions or responsibilities in
connection with the planning and carrying out of the program, shall have any personal financial
interest, direct or indirect, in this Contract; and the Consultant shall ta.ke appropriate steps to
assure compliance.
18. Interest of Consultant and Employees. The Consultant covenants that he/she presently has no
interest and shall not acquire interest, director indirect, in the study area or any parcels therein or
any other interest which would conflict in any manner or degree with the performance of his/her
services hereunder. The Consultant further covenants that in the performance of this Contract, no
person having any such interest shall be employed.
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