2001-283S \Our Documents\Ordinances\0 l~Pubh¢ Transit Grant Ordinance2 doc
O INANCENO OtTI-d ¢.9
AN ORDINANCE AUTHORIZING THE CITY MANAGER TO FILE APPLICATIONS AND
EXECUTE GRANTS AND SUBSEQUENT AMENDMENTS WITH THE U S DEPARTMENT
OF TRANSPORTATION FEDERAL TRANSIT ADMINISTRATION AND THE TEXAS
DEPARTMENT OF TRANSPORTATION FOR GRANTS FOR FUNDING PUBLIC
TRANSPORTATION AS AUTHORIZED BY 49 U S C §5307 AND OTHER APPLICABLE
LAWS, AND PROVIDING AN EFFECTIVE DATE
WHEREAS, the Secretary of Transportation is authorized to award grants for mass
transportatton programs, and
WHEREAS, the City is a recipient of US Department of Transportation Federal Transit
Adrmmstmtlon funds anthonzed by Congress under 49 USC §5307 and the City is authorized to
make application for such funds m accordance with 49 USC §5301, et seq, the National Cap,tal
Transportation Act of 1969, as amended, the Transportation Efficiency Act for the 2 l~l century of
1998, as amended, and other applicable laws, and
WHEREAS, the Grant Agreement, which incorporates the Federal Transit Admlmstrat~on's
Master Agreement, if approved, w~ll impose certmn obl,gat~ons upon the City of Denton, including
providing local share project costs, and
WHEREAS, the estimated total amount of the eligible project cost is approximately
$1,000,000 00, and
WHEREAS, the U S Department of Transportation requires, in accordance with the
provisions of Titles VI and VII of the Clwl Pdghts Act of 1964, as amended, that the apphcant give
an assurance that it will comply with Tffie VI of the Civil Rtghts Act of 1964 and the Department
of Transportation reqmrements thereunder and other applicable federal laws and regulations, and
WHEREAS, it is the goal of the applicant that disadvantaged business enterprises be
utilized to the fullest extent possible in connection with the project, and that defimte procedures
shall be established and adrmmstered to ensure that disadvantaged businesses shall have maximum
construction contracts, supplies, equipment, contracts, or consultant and other services to the extent
allowed by law, and
WHEREAS, The State of Texas is authorized under Tex Trans Code Ch 455, to assist
the City m procuring federal md for establishing and mmntmumg public and mass transportation
projects, NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SI~.(2TIIDNI 1. The City Manager, or his designee, is authorized to file apphcat~ons and
execute grants and subsequent amendments on behalf of the City of Denton, Texas, with the U S
Departm~mt of Transportataon and the Texas Department of Transportataon to md in the financing of
public transportat, on pursuant to 49 U S C §5307
~ The C~ty Manager, or bas designee, ~s authorized to execute and file an
assurance or any other document reqmred by the U S Department of Transportation effectuating
the purpose of T~tles VI and VII of the C~wl Pdghts Act of 1964
,qRf2TION '~. The City Manager, or his designee ~s authorized to furnish such adthtlonal
lnformatmn, assurances, or cert~ficauons as the U S Department of Transportation may reqmre m
connect~oa w~th the program of projects
SRf2TION 4. The City Manager, or bas designee, ~s authorized to set forth and execute
dmdvantaged business enterprise pohcles
~qRCTIONI 5. The C~ty Manager, or bas designee, ~s anthonzed to execute a grant
agreement, in substantmlly the form of the attached Grant Agreement, wbach ~s incorporated as a
part of tbas ordinance, along w~th any other agreement documents necessary to secure the grant on
behalf of the C~ty of Denton, Texas w~th the U S Department of Transportation for aid ~n the
finanmng of the capttal, and operating assistance program of proJects and budget, and to expend the
necessary funds as may be required by the condition of the grant
SECTION fi The City Manager, or bas designee ~s authorized to make an apphcat~on w~th
and then execute a Pubhe Transportatton Contract, and subsequent amendments, on behalf of the
C~ty of Denton, Texas, w~th the Texas Department of Transportation to md an the financing of
pubhc transportation, and to execute any other cert~ficatlons or documents necessary to implement
the Contract, and to expend the necessary funds as may be reqmred by the cond~taon of the grant
.qR, CTI('}N 7 Thts orchnance shall become effective ~mmechately upon ~ts passage and
approval
PASSED AND APPROVED this the 6~/~--b~day of &~'- ,2001
EULINE BROCK, MAYOR
ATTEST
JENNIFER WALTERS, CITY SECRETARY
:EyRB~TTORNEY
PAGE 2
SUBRECIPIENT City of Denton
STATE/LOCAL PUBLIC TRANSPORTATION (SECTION 5307 Subprovlder) GRANT AGREEMENT
GRANT AGREEMENT, NO URB 020t (t8)
STATE PROJECT NO 51218F1007
Service Area City of Denton
STATE/LOCAL URBAN PUBLIC
TRANSPORTATION GRANT AGREEMENT
THE STATE OF TEXAS §
THE COUNTY OF TRAVIS §
THIS GRANT AGREEMENT Is made by and between the State of Texas, acting through the Texas
Department of Transportation, hereinafter called the "State," and the C~ty of Denton, hereinafter
called the "Subreclp~ent"
WITNESSETH
WHEREAS, Transportabon Code, Chapter 455, authonzes the State to assist the Subrec~p~ent In
procunng a~d for the purpose of establishing and maintaining pubhc and mass transportabon projects
and to adm~mster funds appropriated for pubhc transportation under Transportation Code, Chapter
456, and,
WHEREAS, the Subrec~plent, as a 49 U S C Section 5307 urban pmwder, submitted an application
for state financial assistance to be used to prowde transportabon serwces as described ~n Attachment
A, and,
WHEREAS, the Texas Transportation Commission has approved the request Minute Order Number
108566,
NOW, THEREFORE, ~n cons~derabon of the premises and of the mutual covenants hereinafter set
forth, the State and the Subrec~p~ent hereto agree as follows
AGREEMENT
ARTICLE 1 GRANT PERIOD
This grant agreement becomes effective when fully executed by both parties, or on September 1,
2001, whichever ~s later This grant agreement shall terminate on August 31, 2002, unless
terminated or otherwise modified as hereinafter prowded
ARTICLE 2 PROJECT DESCRIPTION
The Subreclp~ent shall commence, carry out and complete the public transportabon project described
m Attachment A, Approved ProJect Description, w~th all practicable dispatch, ~n a sound, economical
and efficient manner The Subrec~plent shall carryout the public transportation project described ~n
Attachment A, Approved Project Descnptlon in accordance with the provisions of the Project
Descr~pbon, th~s grant agreement, federal and state law, and federal and state regulations
If applicable, the Subrac~p~ent shall beg~n competitive procurement procedures no later than thirty
(30) days after the effecbve date of this grant agreement for the purchase of the approved line ~tem(s)
referenced ~n Attachment B, Approved ProJect Budget No later than s~xty (60) days after the ~ssuance
of pubhc notification, the Subrec~plent shall pubhcly open all bids The Subrec~p~ent shall ~ssue a
purchase order,no later than thirty (30) days after the open~ng of an acceptable bid The Subreclp~ent
shall notify the department ~n wnt~ng when it ~s necessary to exceed these deadhnes
ARTICLE 3 COMPENSATION
A. The maximum amount payable under th~s grant agreement w~thout mod~flcabon ~s $310,085 00
provided that expendlturas are made in accordance w~th the amounts and for the purposes
authorized in Attachment A, Approved ProJect Descnpt~on and Attachment B, Approved Project
Budget
The State's reimbursement to the Subraclp~ent ~s contingent upon the ava~lab~hty of appropriated
funds The State shall have no hab~hty for any claims submitted by the Subrec~p~ent or its
subcontractors, vendors, manufacturers or supphers ~f sufficient federal or state funds are not
available to pay the Subrec~p~ent's claims
C. To be ehglble for reimbursement under th~s grant agreement, a cost must be ~ncurred w~thm the
grant agreement period specified ~n Article 1, Grant Period, and be authorized ~n Attachment A,
Approved ~Project Descripbon and Attachment B, Approved Project Budget
]). The Subreclplent must submit requests for reimbursement to the State no more frequently than
monthly and no later than forty-five (45) days after the date of the invoices submitted for
reimburse~ment The Subraciplent will use ~nvoice statements acceptable to the State Add~bonal
documentation to support any cost Incurred during the b~lhng penod may be required at the
d~screbon of the State As a m~nimum, each b~lhng must be accompamed by a summary by
budget line item which ~nd~cates the total amount authonzed for each hne ~tem, previous
expenditures, current period expend~turas and the balance rema~mng ~n the line ~tem
F.. The onglnal and one copy of the ~nvolce is to be submitted to the following address
Jay R Nelson, P E
District Engineer
Texas Department of Transportation
P.O. Box 133067
Dallas, Texas 75313-3067
F. The State will make payment w~thin thirty (30) days of the receipt of properly prepared requests
for re~mburaement
C.. The Subfeciplent will submit a final bllhng w~th~n forty-five (45) days of the completion or
terminat~0n of the grant agreement In accordance w~th Article 1, Grant Penod
H. The Subreciplent shall pay all subcontractors for work performed w~th~n ten (10) days after the
Subrec,pl~nt receives payment for the work performed by the subcontractor Also, any retained
momes on a subcontractor's work shall be pa~d to the subcontractor w~th~n ten (10) days after
the Subreclplent receives any reta~nage payment The State shall not be responsible for the
debts of the Subrec~pient
The above requirements are also apphcable to all sub-t~er subcontractors and the above
provisions shall be made a part of all subcontracts
Failure to comply w~th any of the above raqu~raments may cause w~thhold~ng of payments to the
Subrec~plent and will be grounds for termmabon of th~s grant agreement by the State
ARTICLE 4 AMENDMENTS
.~ Except as noted below, changes ~n the scope, objecbves, cost or durabon of the project
authorized here~n shall be enacted by wntten amendment approved by the part~es hereto before
additional work may be performed or additional costs recurred Any amendment so approved
must be executed by both parbes w~th~n the grant period specified In Arbcle 1, Grant Penod The
Subrec~p~ent ~s authorized to re-budget w~thout a formal amendment when the proposed rews~on
involves an increase in one category and a corresponding decrease in another, provided however,
that any such rews~on meets all of the following cntena -_
1 Does not result in the need for add~bonal funds, and,
2 Does not exceed ten percent of the current total approved budget and the federal or state
funding exceeds $100,000, and,
3 Does not involve a transfer of funds from an authorized capital equipment purchase to
another category, and,
4 Does not ~nvolve a transfer of funds from training to another expense category, and,
5 Does not ~nvolve a transfer of funds from construcbon to a non-construcbon category, and,
6 Does not ~nvolve a transfer of funds from a d~rect to ~nd~rect cost category
]~ If a proposed revision meets all of the criteria hsted above, the Subrec~p~ent must not~fy the State
~n wnt~ng before the rews~on ~s made, describing the rews~on, explaining the need, and certifying that
~t comphes w~th the above criteria
ARTICLE 5 SUBCONTRACTS
The Subrec~p~ent shall not enter ~nto any subcontract w~th individuals or orgamzabons for the
purchase of equipment and/or to prowde professional services w~thout prior authorization and
consent to the subcontract by the State Subcontracts ~n excess of $25,000 shall contain all reequ~red
prows~ons required by state or federal law Subrec~p~ents shall furmsh the department nobce of the
intent to award a purchase order or contract to any ~nd~wduals or orgamzat~ons not a part of the
Subrec~plent's orgamzatlon when the amount of the purchase meets or exceeds the threshold level ~n
the Government Code or Local Government Code (or $15,000 for those ent~t~es not covered by the
Government Code or Local Government Code) requ~nng formal compebbve procurement Purchases
shall not be split out to stay below the threshold amount No subcontract w~ll reheve the Subrec~p~ent
of its respons~b~hty under th~s grant agreement
ARTICLE 6 AUDIT REQUIREMENTS
Subrec~p~ent audit procedures shall meet or exceed the audit reequ~rements outhned ~n apphcable
Federal Office of Management and Budget (OMB) pubhcabons as follows OMB Circular A-21, Cost Principles for Educational Insbtut~ons
OMB Circular A-87, Cost Pnnc~ples for State and Local Governments
OMB Circular A-122, Cost Pnnclples for Nonprofit Organ~zabons
OMB Circular A-133, Audits of States, Local Governments and Non-Profit Orgamzat~ons
ARTICLE 7 PROCUREMENT STANDARDS
Subrec~p~ent procurement standards shall meet or exceed the requirements of 49 C F R §18 36
~nclud~ng standards for compet~tive procurements, methods of procurement, contracting w~th small
and m~nonty firms, women's business enterprise and labor surplus area firms, contract cost and price,
awarding agency rewew, ~nsurance and bonding
3
The Subrec~p~ent's procurement system must include but not be I~m~ted to the following procurement
standards Procurement procedures which reflect apphcable state and local laws and regulations ,
prowded that the procurements conform to apphcable federal law and the standards ~dent~fled in this
section
A A contract adm~n~strabon system which ensures that contractors perform ~n accordance w~th the
terms, conditions, and specifications of their contracts or purchase orders
B. A wntten code of standards of conduct governing the performance of employees engaged ~n the
award and admln~strebon of contracts No employee, officer, or agency of the Subrec~p~ent shall
parbcipate,ln selection or ~n the award or administration of a contract supported by state or
federal funds if a conflict of ~nterest, real or apparent, would be ~nvolved A process for rewew of
proposed @rocurements to avoid purchase of unnecessary or duplicative ~tems
C Use of state and local ~ntergovernmental agreements for procurement or use of common goods
and services to foster greater economy and efficiency
D. Use of value engineering clauses in contracts for construcbon projects
E. Awards made only to responsible contractors possessing the ab~hty to perform successfully
under the terms and conditions of a proposed procurement, g~vmg consideration to such matters
as contractor Integrity, compliance with public pohcy, record of past performance, and financial
and technical resources
F Records sufficient to detail the s~gnlficant history of procurement, including rationale for the
method of,procurement, select,on of contract type, contractor select~on or rejection, and the
basis for the contract pnce
G Limited use of t~me-and-materials contracts
H Use of good administrative prect~ces and sound bus~ness judgment to settle contractual and
adm~mstrat~ve issues arising out of procurements
Protest procedures to handle and resolve disputes relating to procurements and prompt
d~sclosure to the State of ~nformat~on regarding the protest
J. Procurement trensact~ons conducted in a manner that provides full and open competition
K These standards w~ll only apply to the project descnbed ~n Attachment A, Approved Project
Description
Upon procurement of items under th~s grant agreement, the Subreclp~ent shall submit to the State a
I~st of all bidders and subcontractors that quoted on the procured ~tems The Subrec~p~ent shall
submit the list with their requests for reimbursements and must ~nclude names, addresses, telephone
numbers, and type(s) of work quoted,
ARTICLE 8. ~ROPERTY MANAGEMENT
The State must concur ~n the award of all purchase orders for non-expendable personal property as
defined ~n 49 C F R Section 18 31
ARTICLE 9. EQUIPMENT MANAGEMENT
A. Management standards include, but are not I~m~ted to
1 Malr~taln equipment records that include a description of the equipment, a serial number or
other Identification number, the source of equipment, who holds t~tle, the acquisition date
and cost of the equipment, percentage of federal and state part~c~pabon in the cost of the
equipment, the location, use and condition of the equipment, maintenance h~story for each
vehicle, and ultimate d~spos~t~on data ~nclud~ng the date of d~sposal and sale price
2 Con~:luct a physical ~nventory of the equipment at least once every two (2) years and
reconcile the inventory w~th equipment records described ~n the preceding paragraph
4
3 Develop a control system to ensure adequate safeguards to prevent loss, damage, or theft
of the equipment Any loss, damage, or theft shall be investigated
4 Develop and follow procedures to keep the equipment maintained and ~n good condition At
a minimum, the Subrec~p~ent shall follow the vehicle maintenance schedule recommended
by the manufacturer, showing the date the maintenance was performed Maintenance
records shall be provided to the State upon request
5 Request d~spos~t~on ~nstruct~ons from the State, and ~f authorized to sell the equipment, use
proper sales procedures to insure the h~ghest possible return
6 The Subrec~plent wdl comply w~th Title 43, Texas Adm~n~strat~v..~...Code §31 53, to protect
the public investment in real property and equipment purchased in whole or m part w~th
state or federal funds In the event that project equipment ~s not used m the proper manner
or ~s w~thdrawn from pubhc transportation services, the Subrec~p~ent shall immed~ately
notify the State The State reserves the right to direct the sale or transfer of property
acquired under th~s grant agreement upon determination by the State that said property has
not been fully or properly used
All vehicles purchased under this grant agreement shall comply with the Motor Vehicle Safety
Standards established by the US Department of Transportation
C, Irrespective of coverage by insurance, unless otherwise approved in writing by the State, in the
event of less or damage to proJect property, whether by casualty or fire, the fair market value will
be the value of the property immediately before the casualty or fire
1), The Subreciplent shall not~fy the State immediately of theft, wreck, vandahsm or other
destruction of proJect-related facihtles or equipment
ARTICLE 10 COORDINATION
According to Title 43 of the Texas Admlnistrabve Code §31 49, the Subrec~p~ent will at all times
coordinate the prowslon of public transportation servmes with other transportation operators, both
pubhc and private, ~n the area The Subreclp~ent will furnish the State cop~es of any agreement
resulting from such coordination Agreements that authorize the payment of project funds to another
entity are subject to the approval requirements descnbed ~n Article 5, Subcontracts
ARTICLE 11 LABOR PROTECTION PROVISIONS
If applicable, the Subrec~plent shall comply w~th the labor protection provisions as listed below
The Subreclplent agrees that the following terms and conditions shall apply for the
protection of employees In the mass passenger transportabon industry ~n the area of the
project
A, The project shall be carried out in such a manner and upon such terms and conditions as w~ll
not advemely affect employees ~n the mass passenger transporfat~on ~ndustry within the servme
area of the proJect
All rights, privileges, and benefits 0ncludlng pension rights and benefits) of employees (including
employees already retired) shall be preserved and continued
¢, The Subrecip~ent shall be financially responsible for any deprivation of employment or other
worsemng of employment position as a result of the project
]) In the event an employee ~s terminated or la~d off as a result of the project, he or she shall be
granted pnonty of employment or reemployment to fdl any vacant pos~t~on for which he or she ~s,
or by tra~ning or retraining can become, quahfled In the event training ~s required by such
5
employment or reemployment, the Subrec~p~ent shall prowde or provide for such training or
retraining at no cost to the employee
Any employee who is la~d off or otherwise deprived of employment or placed in a worse poslt~on
with respect to compensation, hours, working conditions, fnnge benefits, or nghts and privileges
pertaining thereto at any t~me dunng his or her employment as a result of the project, including
any program of efficiencies or economies directly or ~nd~rectly related thereto, shall be entitled to
receive any applicable rights, pnwleges and benefits as specified m the employee protecbve
arrangement certified by the Secretary of Labor under Section 405(b) of the Ra~l Passenger
Service Act of 1970 on April 16, 1971 An employee shall not be regarded as depnved of
employment or placed m a worse position with respect to compensabon, etc, in case of his or
her resignat~on, death, retirement, d~sm~ssal for cause, or failure to work due to disability or
dlsc~phne The phrase "as a result of the proJect" as used here~n shall ~nclude events occurnng in
anticipation of, dunng, and subsequent to the project
F. In the event any provis~on of these condlbons is held to the inval~d or otherwise unenforceable,
the Subreciplent, the employees and/or their representatives may invoke the junsd~ct~on of the
Secretary of Labor to determine substitute fair and equitable employee protective arrangements
which shall be Incorporated m these conditions The Subrec~p~ent agrees that any controversy
respecting the project's effects upon employees, the ~nterpretat~on or apphcatlon of these
cond~t~onst and the d~sposit~on of any claim aris~ng hereunder may be submitted by any party to
the d~spute including the employees or their representative for determination by the Secretary of
Labor, whose decision shall be final
C.. The Subreciplent shall maintain and keep on file all relevant books and records ~n sufficient detail
as to provide the basic information necessary to the making of the decisions called for m the
preceding paragraph
[-[. The Subrec~p~ent w~ll post, in a prominent and accessible place, a not~ce stabng that the
Subrecipient is a recipient of Federal assistance under the Federal Transit Act and has agreed
to cemplylwith the provis~ons of 49 U S C, Section 5333(b)
The not~ce shall also specify the terms and conditions set forth hereto for the protection of employees
ARTICLE 12 MONITORING
A. The State will monitor the progress of the proJect authonzed ~n this agreement using appropriate
and necessary inspections, ~ncludmg but not limited to penod~c reports, physical ~nspect~on of
project facilities, telephone conversations, letters, and conferences
]~. The State shall momtor and conduct fiscal and/or program audits of the Subreclp~ent and ~ts
contractors to verify the extent of services prowded under the terms of the grant agreement
Represer~tatives of the State or Federal government shall have access to project fac~htles and
records at all reasonable t~mes
ARTICLE t3. IREPORTS
A The Subrecipient shall submit wntten or electronic reports at ~ntervals and in a format
prescn~ed by the State
1 Quarterly Operating Report - No later than fifteen (15) working days after the end of the
quarter, for which the report ~s made, the Subrec~plent shall submit an acbwty report to the
State ~ At a minimum, the quarterly operating report will ~nclude the number of vehicles m
operation, total one-way passenger tnps, total miles traveled, total expenses, ~nclud~ng
admin~strat~ve and operating expenses, revenue, ~nclud~ng fares and donations, operabng
cost per vehicle mile, operabng cost per passenger trip, and number of passengers per mile
traveled The State may require more frequent operating reports for reasons of ~ts own, or ~f
the Subreclp~ent does not prowde the reports in a timely manner or ~f the reports indicate
unfavorable trends
2 Status of Procurements - If the grant includes the purchase of vehicles or other capital
equipment, the Subreclplent shall submit a quarterly report consisting of a brief narrative
including but not hm~ted to procurement mdestones, ~ncludlng date of purchase order, vendor
name and location, and estimated dehvery date
3 Status of Construction - If the grant includes construction, the Subreclp~ent shall submit
quarterly narrative reports which include but are not hm~ted to the i~o_Q.gress of construction
Ii, Regardless of the type of assistance ~ncluded ~n the grant, the Subreclp~ent shall promptly
advise the State in wnt~ng if at any t~me the progress of the project wdl be negatively or
positively ~mpacted, ~ncludlng
1 Problems, delays or adverse conditions that wdl materially affect the Subrec~p~ent's abd~ty to
attain program objectives, prevent the meeting of t~me schedules and goals, or preclude the
attainment of project work umts by estabhshed t~me periods Th~s d~sclosure shall be
accompanied by a statement of the acbon taken, or contemplated, by the Subrec~p~ent and
any State assistance needed to resolve the situation
2 Favorable developments or events that wdl enable the Subrec~plent to meet time schedules
and goals sooner than anticipated or produce more work units than originally projected
Every two (2) years, or more frequently when instructed by the State, the Subrecip~ent shall
conduct a physical inventory of grant-supported property as set forth in Article 9, Equipment
Management, and furnish the State a copy of the inventory
C The Subrec~p~ent shall develop performance goals and management objectives in accordance
w~th T~tle 43, Texas Administrative Code {}31 36
I), The Subrec~plent shall maintain wntten maintenance records for each grant-supported vehicle,
and shall make such records avadable to the State upon request As a minimum, the
Subreclp~ent shall comply with the manufacturer's recommended maintenance schedule
ARTICLE 14 DISPUTES AND REMEDIES
.4,, The Subreclplent shall be responsible for the settlement of all contractual and adm~nlstratwe
issues anslng out of procurements entered in support of the grant
Ii, Any dispute concerning the work hereunder, additional costs, or any other non-procurement
~ssue shall be submitted for resolution by informal mediation, in accordance w~th the
requirements of the Governmental D~spute Resolution Act, Chapter 2009, Government Code,
unless the subject matter applies under Title 43, Texas Adm~mstrat~ve Code {}9 2
C, Th~s agreement shall not be considered as specifying the exclusive remedy for any default, but
all remedies ex~st~ng at law and in equity may be avaded of by either party and shall be
cumulative
ARTICLE 1{i TERMINATION
A The State may terminate th~s grant agreement at any time before the date of completion
whenever it is determined that the Subrec~p~ent has faded to comply with the conditions of the
grant agreement The State shall g~ve written notice to the Subrec~p~ent at least thirty (30) days
prior to,the effectwe date of termination and specify the effective date of termination, the
reason ,for the termination, and other termination ~nstruct~ons Additionally, if the State notifies
the Subrec~p~ent of a major deficiency and the Subreclp~ent does not respond ~n the manner
reequlred by the State, the State will, within ten (10) working days, exercise ~ts contract
termination rights, direct the d~sposlt~on of equipment purchased w~th grant funds, or both
B If both parties to th~s grant agreement agree that the continuation of the grant would not
produce beneficial results commensurate w~th the further expenditure of funds, the part~es
shall agree upon the termination conditions, ~nclud~ng the effective date In the event that both
part~es agree that resumption of the grant ~s warranted, a new grant agreement must be
developed and executed by both part~es
C Either the State or the Subrec~p~ent may terminate th~s agreement by g~wng notice m writing
one to the other for reasons of ~ts own and not subject to the approval of the other party In the
event of termination for convenience, neither the State nor the Subreclplent shall be subject to
additional habd~ty except as otherwise prowded m th~s agreement
I) Upon termination of th~s grant agreement, whether for cause or at the convemence of the
part~es hereto, t~tle to all property and equipment remains w~th the Subreclplent subject to the
obligations and conditions set forth In this grant agreement and 49 C F R 18 31 and 18 32,
unless the state or federal funding agency issue disposition ~nstruct~ons to the contrary
~,, In the event of termination, the State may compensate the Subreclp~ent for those eligible
expenses incurred dunng the grant penods that are d~rectly attributable to the completed
port,on of the grant covered by this grant agreement, provided that the grant has been
completed In accordance with the terms of the grant agreement The Subreclplent shall not
incur new obhgations for the terminated port~on after the effective date of termination Except
w~th respect to defaults of subcontractors, the Subrec~plent shall not be in default by reason of
any fadure in performance of th~s grant agreement m accordance w~th its terms (including any
failure by the Subreciplent to progress In the performance of the work) ~f such fadure arises out
of causes beyond the control and w~thout the default or negligence of the Subrec~p~ent Such
causes may include but are not limited to acts of God or of the public enemy, acts of the
Government in e~ther Its sovereign or contractual capacity, fires, floods, epidemics, quarantine
restrictions, stnkes, freight embargoes, and unusually severe weather In every case, however,
the failure to perform must be beyond the control and w~thout the fault or neghgence of the
Subrec~plent
ARTICLE 16, HISTORICALLY UNDERUTILIZED BUSINESS (HUB) PARTICIPATION FOR PUBLIC
TRANSPORTATION CONTRACTS
It ~s the pohcy of the Texas Department of Transportation (TxDOT) to ensure that HUBs shall have an
equal opportunity to participate ~n the performance of contracts, to create a level playing field on
which HUBs can compete fairly for contracts and subcontracts, to ensure nondiscrimination on the
basis of race, color, national origin, or gender in the award and administration of contracts, to help
remove barriers to the parbcipabon of HUBs in TxDOT contracts, and, to assmt ~n the development of
firms that can compete successfully in the market place outside the HUB program
The Subrec~pient and any subcontractor will strive to meet the following annual HUB goals by offenng
HUBs the opportumty to compete fairly for contracts and subcontracts HUB participation should be
reported monthly by using Attachment H-3
11 9% fo~ heavy construction other than budding contracts,
26 1% for all building construction, includ~ng general contractors and operatwe builders contracts,
57 2% for all special trade construction contracts,
20% for professional services contracts,
33% for all other serv~oes contracts, and
12 6% for commodities contracts
The Subrec~p~ent and any subcontractor shall not d~scnm~nate on the bas~s of race, color, national
origin or sex in the award and performance of contracts These requirements shall be physically
included ~n any subcontract
Failure to carry out the requirements set forth above shall constitute a mater~al breach of th~s contract
and may, after the notification of the State, result in termination of the contract by the TxDOT or other
such remedy as the TxDOT deems appropriate
ARTICLE 17 CONTROL OF SUBSTANCE ABUSE
A The Subrac~plent will certify comphance w~th 49 C F R Parts 40, 653 and 654 on or before
September 1st of each year, using the certification form furnished by the State
lB, Section 5307 Subrec~p~ent's will submit a copy of the Management Information System (MIS)
reports by March 15th of each year using forms furnished by the State
¢, Section 5311 Subreclplent's w~ll submit required Management Information System (MIS) reports
on or before February 15th of each year using forms furnished by the State
ARTICLB 18, PROHIBITED ACTIVITIES
A Neither the Subracip~ent nor any subcontractor shall use federal or state assistance funds for
pubhcity or propaganda purposes designed to support or defeat legislation pending before
Congress er the Texas Legislature No member of or delegate to the Congress of the Umted
States shall share m th~s grant agreement or benefit from it, except ~n the same manner as the
general pubhc
B No member, officer or employee of the Subreclplent dunng his tenure or one (1) year thereafter
shall have any interest, d~rect or ~nd~rect, ~n this grant agreement or the proceeds thereof
C Texas Transportation Commission pohcy mandates that employees of the Texas Department of
Transportation (TxDOT) shall not accept any benefits, g~fts or favors from any person doing
bus~ness or who reasonably speaking may do bus~ness w~th the State under th~s grant agreement
The only exceptions allowed are ordinary business lunches and ~tems that have received the
advanced written approval of TxDOT's Executive Director
D Any persons doing business w~th or who may reasonably speaking do business w~th the State
under th~s grant agreement may not make any offer of benefits, g~fts or favors to TxDOT
employees, except as mentioned here above Failure on the part of the Subreclplent to adhere to
th~s pohcy may result in the termination of this grant agreement
E The Subreclp~ent w~ll comply w~th Texas Government Code, Chapter 573, by insunng that no
officer, employee or member of the Subreciplent's governing board or of the Subreclp~ent's
contractors or subcontractors shall vote or conf~rm the employment of any person related w~thln
the second degree by affinity or third degree by consanguinity to any member of the governing
body or t(~ any other officer or employee authorized to employ or supervise such person This
prohibition, shall not prohibit the employment of a person who shall have been continuously
employed for a period of two (2) years prior to the election or appointment of the officer,
employee, govermng body member related to such person ~n the prohibited degree
ARTICLE 19 OPEN MEETINGS
If applicable, the Subrec~p~ent will comply w~th Texas Government Code, Chapter 551, which requires
all regular, special or called meetings of governmental bodies to be open to the public, except as
otherwise prowded by law or specifically permitted in the Texas Const~tubon
ARTICLE 20 INDEMNIFICATION
A. To the extent permitted by law, the Subrec~p~ent shall ~ndemn~fy and save harmless the State
from all claims and hablhty due to acbwbes of ~ts agents, employees or volunteers performed
under this agreement and which result from an error, omission or negligent act of the
Subrec~p~ent or of any person employed by the Subrec~plent
B To the e~tent permitted by law, the Subreclp~ent shall also save harmless the State from any
and all expenses, including attorney fees, which might be incurred by the State ~n litigation or
otherwise resisting said claim or hab~htles which might be ~mposed on the State as a result of
acbwt~es by the Subrecip~ent, ~ts agents, employees or volunteers
C. The Subraclpient acknowledges that it ~s not an agent, servant or employee of the State and
that ~t ~s responsible for its own acts and deeds and for those of ~ts agents, employees or
volunteers dunng the performance of the grant agreement
ARTICLE 21. COMPLIANCE WITH LAWS
The Subreclp~ent shall comply with all federal, state and local laws, statutes, ordinances, rules and
regulations, and the orders and decrees of any courts or admlmstratlve bodies or tribunals ~n any
matter affecting the performance of this grant, including without I~m~tat~on workers' compensation
laws, mimmum and maximum salary and wage statutes and regulabons, nond~scnm~nabon laws and
regulabons, and hcens~ng laws and regulations When required, the Subreclplent shall furnish the
State with satisfactory proof of compliance therewith
ARTICLE 22. NONCOLLUSlON
The Subrec~p~ent warrants that ~t has not employed or retained any company or person, other than a
bona fide employee working for the firm, to solicit or secure this grant, and that ~t has not pa~d or
agreed to pay any company or person, other than a bona fide employee, any fee, commission,
percentage, brokerage fee, g~ft or any other consideration contingent upon or resulting from the
award or making of this grant If the Subrec~p~ent breaches or violates th~s warranty, the State shall
have the right to annul this agreement without liability or, ~n ~ts d~screbon, to deduct from the grant
price or consideration, or otherwise recover, the full amount of such fee, commission, brokerage fee,
g~ft, or conbngent fee
ARTICLE 23. NOT APPLICABLE
ARTICLE 24 NOT APPLICABLE
ARTICLE 25. PROGRAM INCOME
A. Except for ~ncome from royalbes and proceeds from the sale of real property or
equipment, the Subreciplent shall retain program ~ncome and apply such income to
allowable capital or operating expenses
The Submc~p~ent shall comply with standards governing the receipt and apphcatlon of program
~ncome as set forth ~n 49 C F R §18 25, Program Income Program income means gross ~ncome
]0
received by the Subrec~p~ent d~rectly generated by a grant supported activity, or earned only as a
result of th~s grant agreement during the t~me penod specified ~n Article 1, Grant Period
C. Program income ~ncludes ~ncome from fees for services performed, from the use or rental of real
or personal property acquired w~th grant funds, from the sale of commodities or ~tems fabncated
under a grant agreement, and from payments of pnnc~pal and ~nterest on loans made w~th grant
funds Except as otherwise provided m federal regulations, program ~ncome does not include
grant funds, rebates, credits d~scounts, refunds, and the interest earned on any of these
receipts
ARTICLE 26 SUCCESSORS AND ASSIGNS
The Subrec~p~ent b~nds themselves, their successors, assigns, executors and adm~mstrators ~n
respect to all covenants of this agreement The Subrec~p~ent shall not s~gn, sublet or transfer their
~nterest ~n th~s agreement w~thout the written consent of the State
ARTICLE 27, LEGAL CONSTRUCTION
In case any one or more of the provisions contained ~n th~s agreement shall for any reason be held to
be Invalid, dlegel or unenforceable ~n any respect, such ~nvahd~ty, dlegahty or unenforceabd~ty shall not
affect any other provis~on thereof and th~s agreement shall be construed as if such ~nvahd, illegal or
unenforceable ,provision had never been contained herein
ARTICLE 28 PRIOR AGREEMENTS
Th~s agraement constitutes the sole and only agreement of the part~es hereto and supersedes any
prior understandings or written or oral agreements between the part~es respecting the pubhc
transportation grant specifically authorized and funded under th~s agreement
ARTICLE 29 SPECIAL PROVISIONS FOR CONSTRUCTION AND REPAIR CONTRACTS
.4,,S~gns - The Subrec~p~ent shall cause to be erected at the s~te of construction, and maintained
dunng construction, s~gns satisfactory to the State and the U S Department of Transportation
~denbfy~ng the project and indicating that the Government ~s participating in the development of
the proJect, Hazardous Materials - The Subraclplent will conduct an inspect~on of the budding for
hazardous materials, asbestos and lead-based paint Removal and disposal will be in
accordance w~th local, state and federal regulations, pnor to the m~t~at~on of construction
ARTICLE 30, NOT APPLICABLE
ARTICLE 3t. SIGNATORY WARRANTY
The undersigned signatory for the Subreclp~ent hereby represents and warrants that he or she ~s an
officer of the organization for which he or she has executed th~s agreement and that he or she has full
and complete,authority to enter into th~s agreement on behalf of the orgamzatlon
ARTICLE 32, INCORPORATION OF PROVISIONS
Attachments A through H are attached hereto and incorporated ~nto this contract as ~f fully set forth
hereto
]!
IN TESTIMONY WHEREOF, the parties hereto have caused these presents to be executed ~n
duphcate counterparts
Executed for the Executive D~rector and approved for SUBRECIPIENT
the Texas Transportation Commission for the purpose
and effect of activating and/or carrying out the orders, Subreclp/~nt Name City of Denton
established policies or work programs heretofore Jl \ !
approvedcommlssionand authorized by the Texas Transportation B~'y~/[~'~[/Slgn/~'e
of
Aut ho-'~'Z~
Officer
Jay R( NelSon, I~ E
D~stridt~Eng~neer~ Typed, Pnnted or Stamped Name
Typed, Printed or Stamped Name Date <~ ~/~-~,/O I
Title Dlstnct Enmneer,
I
ATTACHMENT A
APPROVED PROJECT DESCRIPTION
The application for State and Federal assistance, as submitted to the State, ~s hereby ~ncorporated
ate this agreement as the project description, unless described below
e) Describe the services to be provided by your agency/organization If fixed routes are
included, describe the complementar~ par&transit system Types of Services
1) Fixed Route (non-com~uter)
Fixed route service is provided within the city limits of Denton along eight (8) - thirty
minutes operated with one hour headways during the hour of 6 am - 9 pm M-F and 9em - 6 pm
on Sat Ail vehicles are lift-equipped The regular fare for this service is $$5, $ 50
for children 6 - 18 and $ 35 for seniors and persons with disabilities
2) Complementary Par&transit to Fixed Route
This service is provided for persons with qualifying disabilities as established in the
Americans with Disabilities Act who are unable to access the fixed route system and is
operated during the same hours as the fixed route The service area extends3/4mile beyond
the fixed route boundaries The regular fare for this service is $1 50
3) Passenger Rail
4) Demand Response Systems
5) Commuter Service
b) List service area, population served Describe any unserved areas in the urban transit
district, an~ any plans to provide transportation to such areas
The fixed route service area is approximately 54 square miles (the Denton urbanized area)
with a population of 79,250 Within the urbanized area there are a few areas =hat are not
served directly by the fixed route (within 3/4 mile) Persons in these areas are served
using a Dial-a-Ride system where a vehicle is dispatched to transport passengers to the
closest fixed route bus stop
c) Describe any proposed or existing contracts that will affect the Section 5307 system
(~intenance, dispatching,
Currently, the City of Denton contracts with SPAN for driver and dispatching services as
well as for ~inor maintenance issues on the buses The LINK system will be looking at
contracting with the Parks & Recreations Department for bus stop maintenance
d) Explai~ what steps you have taken to coordinate the proposed service with each of
the other transportation providers (both public and private) in your area. Attach any
agreements, letters of support, minutes of meetings, etc , to proposal~
The City of Denton is the designated provider in the Denton urbanized area However, we
contract services with the Denton County transportation provider, SPAN
e) Describe any special services provided.
The city frs&sport&rich service currently offers demand/response services to those living
outside a four-block radius from a bus route There is no extra charge for this service
The city als0 provides a "transfer bus" to person who may have missed their transfer due
to their bus arriving late to the transfer station
f) Describe any special trips provided
Attachment A
The City of Denton does not provide any special trips other than for Emergency Action
Plan drills
g) Describe any transportation provided for school children
School children may ride the city's system for $0 50 Ail vehicles are marked with
"Caution - Children may be exiting "
h) Describe how transit is marketed to the general publicz
No formal marketing is done for the system Press releases are used for any type of
change or promotional issues
i) If applicable, describe how the Section 5310 program has been integrated into your
eystem~
The City of Denton currently does not use 5310 program funds for elderly and d~sabled
transportatIon services
J) Describe hew services are provided to Health and H~man Services clients (including
but not limited to Medicaid, TA~F, Welfare-to-Work clients)
No special or direct rides are provided for Health and Human Services clients The C~ty
of Denton does not actively seek reimbursements from Health and Human Services off~ces
for clients who use the LINK system
Attachment A
Small Urban-~ectton 5307
State Public Transportation Grant Agreement
Attachment B
Approved Project Budget
Effective Date September 1, 2001
Project Completion Data August 31, 2002
Subreclpienl City of Denton
State Contract Number URB 0201 (18)
Statt Project Number $1218F1007 ~
FTA Grant Number
Apportionment Year
Service Area City of Denton
Capital Type 11Expenslofl $320,58500 5615./o $180 000 O0 $9058500 $5000000 0
preventive maintenance $149 500 O0 80 27% $120 000 O0 $19 500 O0 $10 000 O0 0
$0 00 0 00% $0 00 $0 00 $0 00 0
$000 000% $000 $000 $000 0
Categmy Total $470,085 00 63 82% $300,000 00 $110 085 00 $60,000 00 0
Plannlnil $75,000 00 80 00% $60 000 00 $0 00 $15,000 00 0
Operatln~ Operating^sslstar~ce $800,00000 5000% $40000000 $20000000 $20000000 0
Pre Jeer Totals $1,.345,085 00 S760,000 00 S310,085 00 $27~,000 00 0
$0 00 0 00% $0 00 $0 00 $0 00 0
City of Denton
GRANT AGREEMENT NO URB 0201 (t8)
STATE PROJECTNO 51218F1007
Attachment C
DISCLOSURE OF LOBBYING ACTIVITIES
Complete this term to OlSClOSe iooo¥1n~ ac[iVl[leS pur~uum ~u o, ,-, o ,~ 1352
1 Type of Federal Action .__ 2 Status of Federal Act;on 3 Report Type
a contract a bid/offer/apphcabon a ;n~bal fihng
b material change
b grant b mit~al award
c cooperative agreement c post award For Material Change Only
d loan
¢ loan guarantee year.__ quarter
£ loan ;nsurance date of last report
4 Name and Address of Reportmg Entity 4 If Reporting Enbty in No 4 ~s Subawardee, Enter Name
Name and Address of Prime
Address
Prime Subawardee
Tier~ If known
6 Federal DepartmentJAgency 7 Federal Program Name/Description
CFDA Number~ if apphcable
8 Federal Action Number, If known 9 Award Amount, ~f known
10 a Name and Address of Lobbying Entity 10 b Individual Perform;ng Services (~ncludlng address ~f
(~f individual, last name, first name, MI) different from No 10a)
(last name, first name, MI)
(attach Contin,uation Sheet(s) SF-LLL-Ar If
11 Amount of Payment (check all that apply) 12 Form of Payment (check all that apply)
a cash
$ actual b ~n-k~nd, specify nature
planned value
13 Type of PaYment (cheek all that apply)
a retainer c commission e deferred
b one,time fee d contingent fee f other, specify
14 Bnef Description of Services Performed or to be Performed and Date(s) of Service, including officar(s),
employee(s), or Member(s) contacted, for Payment Indicated in Item 11
15 Continuation ,Sheet(s) SF-LLL-A attached Yes No
1 6 Information requested through this form is Authorized Representative
authorized by title 31 U S C section 1352 This
disclosure of lobbying activities is a material
representation of fact upon which reliance was placed
by the tier abovelwhen this transaction was made or Title
entered into This disclosure ~s required pursuant to 31
U S C 1352 This Information will be reported to the gnature
Congress sem~-annual and will be available for public IJ ~/~
inspect~on Any person who fails to file the required Telephone (~? ~{~ ~-~-.~-
d,sclosure shall be subject to a civil penalty of not less
than $10,000 and not more than $100,000 for each such Date
failure
Attachment D
FEDERAL PROVISIONS
TABLE OF CONTENTS
Section I Project Implementation A General Requirements
B U S DOTAdmin~strative Requirements
C Application of Federal, State, and Local Laws and Regulations
D Significant Parbcipabon by a Third Party Contractor
E Subreclpient's Responsibil~ty to Extend Federal Requirements to Other Enbbes
F No Federal Government Obligations to Third Part~es
G Changes In Project Performance (ie, D~sputes, Breaches, Defaults or L~bgation)
Section 2 Ethics A Debarment and Suspension
B Lobbying Restrictions
C False or Fraudulent Statements or Claims
Section 3,, Accounting Records
A Project Accounts
B Documentation of Project Costs and Program Income
Section 4 Reporting, Record Retention, and Access A Record Retention
B Access to Records of Recipients and Subracipients
C Project Close-out
Section 5 Costs Reimbursed
Section 6 Civil Rights
A Disadvantaged Business Enterprise
B ~ss to Sen/ices for Persons with Limited English Proficiency
C Other Nondiscrimination Statutes
Section 7, Not Applicable
Section 8 Procurement A Federal Standards
B Exclusionary or Discriminatory Speciflcabons
C Bus Seat Specifications
D Clean Air and Clean Water
E Preference for Recycled Products
F Ardnltactural, Engineering, Design, or Related Services
G Award to Other than the Lowest Bidder
H Rolling Stock
Bonding
J National Intelligent Transportation Systems Architecture and Standards
Section 9~ Leases
A Capltsl Leases
B Leases Involving Certificates of Participat~on
C Cross-Border Leases
~ Patent Rights A General
B Federal R~ghts
Sect on '1'1. Rights In Data and Copyrights
A Definition
B State and Federal Restrictions
C Federal Rights in Data and Copyrights
D Special R~ghts in Data for Research, Development, Demonstration, and Special Studies
(Planning) Projects
E Hold Harmless
! Attachment D
F Restrictions on Access to Patent R~ghts
G Statutory Requirements to Release Data
Section 12 Use of Real Property, Equipment, and Supphes A Use of Project Property
B General Federal Requirements
C 5310 Program
D Maintenance
E Records
F Encumbrance of Project Property
G Transfer of Project Property
H Disposition of Project Property
Misused or Damaged Project Property
J Obligations After Project Close-out
Section 13 Insurance
A Minimum Requirements
B Flood Hazards
Section 14 Relocation
A Relocation Protections
B Nondiscrimination In Housing
Section 15 Real Property A Lend Acquisition
B Covenant Assuring Nondiscrimination
C Recording Title of Real Property
D FTA Approval of Changes In Real Property Ownership
Section 16 Construction A Drafting, Review, and Approval of Construction Plans and Specificat~ons
B Supervision of Construction
C Construction Reports
D Project Management for Major Capital Projects
E Seismic Safety
Section 17 Employee Protections A Construction Activities
B Activities Not Involving Construction
C State and Local Government Employees
D Transit Employee Protective Arrangements
Section 18, Environmental Requlramenta A Use of Public Lands
B Coastal Zone Management
C Environmental Justice
Section 19~ Energy Conservation
~ State Management and Monitoring Systems
~ Not Applicable
Section 22~ Not Applicable
Section 23, Metrto System
Section 24~. Substance Abuse
A Drug Abuse
B Alcohol Abuse
Section 21~ State Safety Oversight of Rail Fixed Guldeway Public Systems
Section 26. Seat Belt Use
Attachment D
Section 27 Special Requirements for Urbanized Area Formula Projects A Fares and Services
B Audit Requirements
C Half-Fare Requirements
D Procurement of an Associated Capital Maintenance Product
E Transit Security
F Restrictions on the Use of Formula Asmstance for Operations
G Reporting Requirements
H Criminal Sancbons
Section 28 Not Apphcable
Section 29 Special Requirements for Job Access and Reverse Commute Gr._a_n_t~_Projects
A General Requirements
B Restrictions on the Use of Grant Funds
Section 30 Special Requirements for Over.the-Road Bus Accessibility Projects
A General Requirements
B Special Requlraments
C FTA Notice
Section 31~ Disputes, Breaches, Defaults, or Other Litigation
A Notification
B Federal Interest In Recovery
C Enforcement
D State and FTA Concurrence
3 Attachment D
FEDERAL GENERAL TERMS AND CONDITIONS
FOR PUBLIC TRANSPORTATION PROJECTS
This document contains standard terms and conditions governing the admln~strabon of a public transportabon project
supported w~th Federal assistance through the Texas Department of Transportation ("State")
The State and the Subraciplent/Subgrantee ("Subrec~ptent") understand and agree that not every provision of th~s
document will apply to every Subrecipient or every project depending upon the nature of the ProJect and the secbon of the
statute authorizing the financial assistance
Thus, in consideration of the mutual covenants, premises, and representations here~n, the State and the Subreclp~ent
agree as follows
Section 1, Project Implementation
A General requirements
I Effective Date The effective date of this agreement is the date of final execution by both part,es The
Subraciplent agrees to begin the Project in a timely manner
2 Subraciplent's Capacity The Subreciplent agrees to maintain or acquire sufficient legal, financial,
tachnlcal, and managerial capacity to plan, manage, and complete the Project, and provide for the use of
Project facilitlee and equipment, to comply with the terms of the agreement, and all applicable Federal
laws, executive orders, regulations, directives, and published policies governing this Project
3Completion Dates The Subreciplent agrees to complete the Project In a timely manner
B U S DOT Administrative Requirements The Subreclplent acknowledges that Federal administrative raquiraments
differ based on the type of entity receiving Federal assistance
1 A Subraclplent that Is a State, a local government, or an Indian tribal government agrees to comply with
U S DOT regulations, "Uniform Administrative Requirements for Grants and Cooperative Agreements to
State and Local Governments," 49 C F R Part 18
2 A Subreciplent that is an Institution of higher education or a nonprofit organizabon agrees to comply w~th
U S DOT regulations, "Uniform Administrative Requirements for Grants and Agreements with Institutions
of Higher Education, Hospitals, and Other Non-Profit Organizations," 49 C F R Part 19
C Application of Federal, State, and Local Laws and Regulations The Subreciplent acknowledges that Federal
laws, re .gulations, polio es, and re atad adm n stretive practices appl;Cable to the Project may be modified from
time to time The Subreolpient agrees that the moat recent of such Fedora requirements will govern the
admlnisttafion of the Project at any particular time, unless FTA issues a written determination otherwise
The Subreciplent agrees to include notice in each agreement with any third party contractor participating In the
Project that State or Federal requirements may change and the changed requirements will apply to the Project as
required, unless the State or Federal Government determines otherwise
D Significant Participation by a Third Party Contractor Although the Subraclplent may enter Into a third party
contract'ln which the third party contractor agrees to provide property or services In support of the Project, or even
carry out Project activities normally performed by the Subracipient, the Subracipient continues to remain
responsible to the Federal Transportation Adminlstrafion (FTA) for comphanca with Federal raqulrements
E Subreciplent's Responsibility to Extend Federal Requirements to Other Ent~fies
1 Entities Affected The Subraciplent agrees to take appropriate measures necessary to ensure any third
party contractors comply with applicable Federal requirements
2 Documents Affected The Subreclpient agrees to require its third party contractors to include adequate
provisions to ensure compliance with applicable Federal requirements in each lower tier subcontract and
subagraement financed in whole or in part with financial assistance
F No State or Federal Government Obligations to Third Parties The Subreciptsnt agrees that, absent the State or
Federali Government's express written consent, the State or Federal Government shall not be subject to any
obligations or liabilities to any Subreclplent or any third party contractor, or any other person
4 Attachment D
G Changes In Project Performance (~ e, Disputes, Breaches, Defaults or L~bgat~on) The Subrec~plent agrees to
notify the State immediately of any change in conditions (such as ~ts legal, financial, or technical capacity), or any
other event that may significantly affect the Subrec~ptent's ability to perform the Project
Section 2 Ethics
A Debarment and Suspension The Subreciplent agrees to comply, and assures the compliance of any third party
contractor, w~th Executive Order Numbers 12549 and 12689, "Debarment and Suspension," 31 U S C {}6101
note, and U S DOT regulations, "Governmentw~de Debarment and Suspension (Nonprocurement)," w~th~n 49
C F R Part 29
B Lobbying Restrictions The Subreclpient agrees to
1 Refrain from using Federal assistance funds to support lobbying,
2 Comply, and assure the compliance of each third party contractor at any t~er w~th U S DOT regulabons,
"New Restrictions on Lobbying," 49 C F R Part 20, modified as necessary by 31 U S C {}1352
3 Comply with Federal statutory previsions to the extent applicable prohibiting the use of Federal
assistance funds for activities designed to influence Congress or a State legislature on legislation or
appropriations, except threugh preper, official channels
4 Sign the Lobbying Certification attached
C False or Fraudulent Statements or Claims The Subrac~pient acknowledges and agrees that
1 The Pregram Fraud Civil Remedies Act of 1986, as amended, 31 U S C §{}3801 et seq and U S DOT
regulations, "Pregram Fraud Civil Remedies," 49 C F R Part 31, apply to Its acbvlties in connection with
the Project Accordingly, by executing the agreement, the Subreclplent certifies or affirms the truthfulness
and accuraoy of each statement it has made, it makes, or it may make in connection with the Project
covered by the agreement In addition to other penalties that may apply, the Subreclpient also
acknowledges that if it makes a false, fictitious, or fraudulent claim, statement, submission, or certification
to the State or Federal Government, the Federal Government reserves the right to Impose the penalties
of the Program Fraud Civil Remedies Act of 1986, as amended, to the extent the Federal Government
deems appreprlata
2 If the Subraciptsnt makes a false, fictitious, or fraudulent claim, statement, subm~ssion, or cert~ficabon to
the State In connection with an urbanized area formula project financed w~th Federal assistance
authorized for 49 U S C §5307, the Government reserves the r~ght to impose the penalties of 18 U S C
{}1001 and 49 U S C §5307(n)(1), to the extent the Federal Government deems appropnata
Section 3 Accounting Records
A Project Accounts The Subractplent agrees to establish and maintain for the Project either a separate set of
accounts, or separate accounts within the framework of an established accounting system, that can be identified
with the Project The Subreoiplent agrees that all checks, payrolls, invoices, contracts, vouchers, orders, or other
accounting documents related In whole or In part to the Project shall be clearly idenbfled, readily accessible and
available to FTA upon its request, and, to the extent feasible, kept separate from documents not related to the
Project
B Documentation of Project Costs and Pregram Income The Subraciplent agrees to support all costs charged to
the Project, Including any approved services contributed by the Subrec~plent or others, w~th properly executed
payrolls, time records, Invoices, contracts, or vouchers describing in detail the nature and propriety of the
charges The Subreclplent also agrees to maintain accurate records of all program income derived from
implementing the Project, except certain ~ncome determined by FTA to be exempt from the general Federal
program Income requlraments
Section 4 Reporting, Record Retention, and Access
..~ Recerd Retention The Subraciplent agrees to maintain intact and readily accessible all data, documents, reports,
records, contracts, and supporting materials relating to the Project as the State or the Federal Government may
raquira during the course of the Project and for four years thereafter
~, Access to Records Upon request, the Subrac~pient agrees to permit and require ~ts Subrec~pients to permit the
U S Secretary of Transportation, the Comptroller General of the Umted States, and the State, or their authorized
representatives, to inspect all Project work, materials, payrolls, and other data, and to audit the books, records,
and accounts pertalmng to the Project
$ Attachment D
C Project Close-out Project close-out does not alter the reporting and record retention requirements of this
Agreement
Section 5 Costs Reimbursed
The Subrec~plent understands and agrees that Project costs eligible for partlc~pabon must comply with all the following
requirements
1 Conform with the Attachment A, Approved Project Descnpbon, the Attachment B. Approved Project
Budget, and all other terms of the agreement,
2 Are necessary in order to accomplish the Project,
3 Are reasonable for the goods or services purchased,
4 Are actual net costs to the Subreclpient (~ e, the price pa~d minus any refunds, rebates, or other ~tems of
value received by the Subrec~plent that have the effect of reducing the cost actually incurred, excluding
program income),
5 Are Incurred within the agreement time period,
§ Are satisfactorily documented,
7 Are treated consistently in accordance with accounbng pnnc~ples and procedures approved by the State,
8 Are eligible under State and Federal law, regulation, rule. or guldehnes for partic~pabon, and
Unless permitted otherwise by Federal statute or regulation, comply w~th the (1) U S Office of
Management and Budget (OMB) ClrcularA-87, Revised, "Cost Principles for State and Local
Governments" if the Subreclplent Is a local government or an Indian tribal government, (2) OMB Circular
A-21, Revised, "Cost Principles for Educational Institutions" If the Subreciplent Is an institution of higher
education, (3) OMB Clmular A-122, Revised, "Cost Principles for Non-Profit Organizations" If the
Subroelplent is a private nonprofit organization, or (4) Federal Acquisition Regulation, 48 C F R Chapter
I, Subpart 3t 2, "Contracts with Commercial Organizations" if the Subreoipient is a for-profit organization
Additionally, the Subreclpient shall comply with the requirements of the Single Audit Act of 1984, P L 98-
802, ensuring that the single audit report includes the coverage stipulated In OMB Circular A-133
Section 6 Civil Rights
The Subreclplent agrees to comply with all applicable civil rights statutes and implementing regulations including, but not
I~mtled to, the following
A Disadvantaged Business Enterprise The Subrecipient agrees to take the following measures to facIMate
participation by disadvantaged business enterprises (DBE) In the Project The Subreciplent agrees
1 to comply with section 1101(b) of TEA-21.23 U S C §101 note, and U S DOT ragulat~ons, "Part~cipat~on
by Disadvantaged Business Enterprises In Department of Transportation Financial Assistance Programs,"
49 C F R Part 26, and
2 It shall not discriminate on the basis of race, color, national origin, or sex in the award and performance of
any third party contract, or subagreement supported with Federal assistance derived from the U S DOT
or In the administration of Its DBE program or the requirements of 49 C F R Part 26, and to take all
necessary and reasonable steps under 49 C F R Part 26 to ensure nondlscflmlnation in the award and
administration of all third party contracts and subagreements supported with Federal assistance derived
from the U S DOT The Reclplent's DBE program, as required by 49 C F R Part 26 and approved by the
U S DOT, is Incorporated by reference and made part of the agreement Implementation of this DBE
program Is a legal obligation, and failure to carry out its terms shall be treated as a violation of the
agreement Upon notification of its failure to ~mplement its approved DBE program, the U S DOT may
impose sanctions as provided for under 49 C F R Part 26 and may, in appropriate cases, refer the matter
for enforcement under 18 U S C §1001, and/or the Program Fraud Civil Remedies Act, 31 U S C §{}3801
et seq
B Access to Servlcas for Pemons with Limited Enghsh Proficiency The Subrec~plent agrees to comply with
applicable Federal guidance Issued in compllanca w~th Executive Order No 13166, "Improving Access to
Services for Persons with Limited English Proficiency," August 11,2000
C Other Nondiscrimination Statutes The Subreciplent agrees to comply with all apphcable raqulraments of any
other nondiscrimination statute(s) that may apply to the Project
Section 7 Not Applicable
6 Attachment D
Section 8 Procurement
To the extent apphcable, the Subreclp~ent agrees to comply with the followrng third party procurement requirements
A Federal Standards The Subrec~p~ent agrees to comply w~th FTA C~rcular 4220 1D, "Third Party Contracting
Requirements," including any revision or replacement thereof, and apphcable Federal regulabons or
requirements, ~nciud~ng FTA third pady contracting regulations when promulgated The FTA Best Prect~ces
Procurement Manual provides additional procurement guidance Nevertheless, be aware that the FTA Best
Prect~ces Procurement Manual is focused on procurement processes and may omit certain Federal
requirements applicable to the work to be performed
B Exclusionary or D~scrlminatory Spec~ficabons Apart from ~ncons~stent requirements ~mposed by Federal
statute or regulabons, the Subrecip~ent agrees to comply with the requirements of 49 U S C §5323(h)(2) by
refraining from using any Federal assistance awarded by FTA to support procurements using exclusionary or
d~scrlmlnatory speclflcabons
C Bus Seat Speclflcabons The Subreciplent may use specifications conform__m~.w~th the requirements of 49
U S C §5323(e) to acquire bus seats
D Clean Air and Clean Water The Subrecipient agrees to include in third party contracts exceeding $100,000
adequate previsions to ensure that Project participants report the use of faclhtles placed or likely to be placed
on EPA's "List of Violating Faclhtles," refrain from using viclat~ng facilities, report violations to FTA and the
Regional EPA Office, and comply with the Inspection and other apphcable requirements of
1 Section 114 of the Clean Air Act, as amended, 42 U S C §7414, and other applicable previsions of the
Clean Air Act, as amended, 42 U S C §§7401 et seq, and
2 Section 308 of the Federal Water Pollution Control Act, as amended, 33 USC §1318, and other
provisions of the Federal Water Pollution Control Act, as amended, 33 U S C §§1251 et ceq
E Preference for Recycled Products To the extent apphcable, the Subreclplent agrees to comply with U S
Environmental Protection Agency (U S EPA) "Comprehensive Procurement Guidelines for Products
Containing Recovered Materials," 40 C F R Part 247, implementing section 6002 of the Resource
Conservation and Recovery Act, as amended, 42 U S C §6962, and otherwise provide a competitive
preference for products and services that conserve natural resources and protect the environment and are
energy efficient
F Architectural, Engineering, Design, or Related Services When procunng architecturel, engineering, or related
services, the Subreclplent agrees to comply with the previsions of 49 U S C §5325(b), e~ther by negotiating
for those services in the same manner as a contract for architectural and engineering services Is negobated
under Title IX of the Federal Property and Administrative Services Act of 1949, as amended, 40 U S C §§541
et seq, or by using an equivalent quahficabons-based requirement of the State When, awarding contracts for
architectural, engineering, or related services, the Subrecipient agrees to accept undisputed audits conducted
by other governmental agencies, in accordance with 23 U S C §112(b)(2) (C) through (F) To the extent the
Subreclplent qualifies for an exception in accordance with 49 U S C §5325(b), however, this subsection does
not apply
G Award to Other than the Lowest Bidder In accordance with 49 U S C §5325(c), a Subreciplent may award a
third party contract to a party other than the lowest bidder, when such an award furthers object~ves consistent
with the purposes of 49 U S C Chapter 53 and any implement~ng regulations, d~rectives, circulars, manuals,
or other guidance FTA may issue and Is consistent with state law
HRolling Stock In acquiring rolling stock, the Subreclpient agrees as follows
I Method of Acqulslflon The Subreciplent may award a third party contract for rolling stock based on ~nitlal
capital costs, performance, standardization, life cycle costs, and other factors, or based on a competitive
preocurement process, In accordance with 49 U S C §5326(c)
2 Multi-year Options In accordance with 49 U S C §5326(b)(1), a Subreclplent may procure rolling stock
using financial assistanCe appropriated for 49 U S C Chapter 53 using a contract with an option, not to
exceed 5 years after the date of the original contract, to purchase additional rolling stock or replacement
3 Pre-Award and Post-Dehvery Requirements The Subrec~p~ent agrees to comply with the requirements of
49 U S C §5323(m) and FTA regulations, "Pre-Award and Post-Dehvery Audits of Rolling Stock
Purchases," 49 C F R Part 663, and any revision thereto
4 Bus Testing To the extent applicable, the Subrecipient agrees to comply with the requirements of 49
U S C §5323(c) and FTA regulations, "Bus Testing," 49 C F R Part 665, and any revision thereto
I Bonc~ing To the extent applicable, the recipient agrees to comply with the following bonding requirements
1 Construction Activities The Subreclplent agrees to provide b~d guarantee, oontract performance, and
payment bonding to the extent deemed adequate by FTA and applicable Federal regulations, and comply
with any other bonding requirements FTA may issue
2 Other Activities The Subreclplent agrees to comply with any other bonding requirements or restrictions
FTA may Impose
J Nabonal Intelligent Transportation Systems Architecture and Standards The Subreciplent agrees to conform,
to the extent applicable, to the National Intelligent Trensportatmn Standards architecture in comphance with
section 5206(e) of TEA-21, 23 U S C §502 note, and w~th FHWA/FTA's "Transportabon Equity Act for the
? Attachment D
21st Century, the Interim Guidance on Conformity w~th the Nabonal Intelligent Transportation Systems (ITS)
Architecture and Standards," 63 Fed Reg 70443 et seq, December 21 1998, and other subsequent Federal
d~rect~ves that may be tssued
Section 9 Leases
· A Capital Leases To the extent applicable, the Subrec~p[ent agrees to comply wtth FTA regulations, "Capttal
Leases," 49 C F R Part 639, and any revision thereto
B Leases Involwng Certificates of Participation The Subrec~p~ent agrees to obtain FTA concurrence before
entenng into a leasing arrangement involwng the issuance of certificates of partlc~pabon ~n connecbon w~th
the acquislt~on of any capital asset
C Cross. Border Leases To the extent applicable, the Subrec~p~ent agrees to comply w~th FTA Circular 7020 1,
"Cross-Border Leasing Guldehnes," Apnl 26, 1990, ~n connecbon w~th the acqu~s~bon of capital assets
~nvolving a cross-border lease
Section 10 Patent Rights
A General if any invention, Improvement, or discovery of the Subrecipient or any of its third party contractors is
conceived or first actually reduced to practice in the course of or under the Project, and that Invention,
improvement, or discovery is patentable under the laws of the United States of America or any foreign
country, the Subraclptsnt agrees to notify FTA Immediately and provide a detailed report
B Federal Rights The Subraclplent agrees that Its rights and responsibilities, and those of each third party
contractor at any tier pertaining to that invention, improvement, or d~scovery will be determined in accordance
with applicable 8tata and Federal laws, regulations, including any waiver thereof Absent a detarmlnat~on In
writing to the contrary by the State and Federal Government, the Subreclplent agrees to transmit to the State
and FTA those rights due the State and Federal Government in any invention, Improvement, or d~scovery
resulting from that third party contract as specified In U S Department of Commerce regulations, "R~ghts to
Inventions Made by Nonprofit Organizations and Small Business Firms Under Government Grants, Contracts
and Cooperative Agreements," 37 C F R Part 401 (implementing the Prasident~al Memorandum [Statement]
on Government Patent Policy to the Heads of Executive Departments and Agencies, dated February 18,
1983, 19 Weekly Comp Pres Doc 252-253, Feb 28, 1983), irrespective of the status of the Recipient, any
Subraclptsnt, or any third party contractor at any tier (I e, a large business, small business, State government
or State Instrumentality, local government, nonprofit organization, institution of higher education, Individual,
etc )
Section 11 Rights In Data and Copyrights
A Definition The term "subject data" used In this section means recorded information, whether or not
copyrighted, that is delivered or specified to be delivered under the agreement Examples include, but are not
limited to computer software, standards, specifications, eng~neering drawings and associated lists, process
sheets, manuals, technical reports, catalog item Idenbflcetions, and related information The term "subject
data" used in this section does not Include financial reports, cost analyses, or similar information used for
Project administration
B State and Federal Restrictions Except for Its own internal use, the Subreclplent may not publish or reproduce
subject data in whole or in part, or In any manner or form, nor may the Subreclptsnt authorize others to do so,
without the written consent of the State and Federal Government, untd such t~me as the State and Federal
Government may have either released or approved the release of such data to the public unless the
Subreclplent Is an institution of higher learning
C Federal Rights in Data and Copyrights The Subraclpient agrees to provide to the State and Federal
Government a royalty-free, non-exclusive and irrevocable license to reproduce, publish, or otherwise use, and
to authorize others to use, for State and Federal Government purposes the "subject data" As used in the
previous sentence, "for State and Federal Government purposes," means use only for the direct purposes of
the State and Federal Government Without the copyright owner's consent, the State and Federal
Government may not extend to other parties the State or Federal Government's I~cense to
I Any subject data developed under the agreement or under a third party contract financed by the
agreement, whether or not a copyright has been obtained, and
2 Any rights of copyright to which a Subreclplent or a third party contractor purchases ownership with
Federal assistance
D Special Rights In Data for Research, Development, Demonstrabon, and Special Studies (Planning) Projects
FTA's and the Stata's purpose in providing financial assistance for a special studies (planning), research,
development, or demonstration Project, is to increase transportabon knowledge, rather than limit the benefits
of the Project to participants in the Project Therefore, unless FTA and the State determine otherwise, the
Subraciplent of financial assistance to support a research, development, demonstration, or a special studies
(planning) Project agrees that, in addition to the rights in data and copyrights of th~s agreement, FTA and the
State may make available to any FTA recipient, Subrecip~ent, third party contractor, or third party
8 Attachment D
subcontractor, e~ther FTA's or the State's license in the copyright to the subject data or a copy of the subiect
data If the Project ~s not completed for any reason whatsoever, all data developed under that Project shall
become subject data and shall be delivered as the FTA and the State may d~rect Th~s Subsecbon does not
apply to adaptations of automatic data processing equipment or programs for the Subrec~p~ent s us whose
costs are hnanced w~th Federal funds for capital Proiects
E Hold Harmless Except as prohibited or otherwise hm~ted by law, the Subrec~p~ent agrees to indemnify, save,
and hold harmless the State and the Federal Government and ~ts officers, agents, and employees acting
w~th~n the scope of their official duties against any hab~hty, including costs and expenses, resulting from any
w~llful or intenbonal wolabon by the Subrec~p~ent of proprietary rights, copyrights, or right of pnvacy, arising
out of the pubhcatlon, translation, reproduction, dehvery, use, or d~spos~bon of any data furmshed under the
Project
F Restrictions on Access to Patent R~ghts Nothing ~n th~s secbon shall ~mply a hcense to the State and the
Federal Government under any patent or be construed to affect the scope of_e~...v, hcense or other right
otherwise granted to the Federal Government under any patent
G Statutory Requirements to Release Data The Subreciplent understands and agrees that data and informat~on
submitted may be required to be made available for d~ssem~nabon under the Texas Pubhc Informatton
(Government Code, Chapter 552) or Freedom of Information Act, or other Federal statute(s) In accordance
with Implementation instructions contained in 49 C F R §19 36, rewsed March, 2000, to the extent apphcable,
and any subsequent applicable State or Federal requirements that may be promulgated
Section 12 Use of Real Property, Equipment, and Supplies
Unless otherwise approved by FTA, the Subraclplent agrees to comply with the following requirements with respect to real
property, equipment, and supplies
A Use of Property The Subreclplent agrees to use Project real property, equipment, and supplies for
appropriate Project purposes (which may include joint development purposes that generate program income,
both during and after the award period used to support transit actiwbes) for the duration of the useful life of
that property, as required by FTA Should the Subreciplent unreasonably delay or fail to use Project property
during the useful life of that property, the Subraciplent agrees that it may be required to return the entire
amount of the Federal assistance expended on that property The Subracipient further agrees to notify FTA
~mmedlataly when any Project property is w~thdrawn from Project use or when Project property Is used in a
manner substantially d~fferant from the representabons made in the Application or the Project Descnpt~on for
the Grant Agreement
B General Federal Requirements A Subreclplent that is a State, a local government, or an indian tribal
government agrees to comply with property management standards of 49 C F R §§18 31 through 18 34,
including any amendments thereto, and other apphcable guidelines or regulations the Federal Government
may issue A 8ubraclplent that is an Institut~on of higher education, or a private nonprofit organization, agrees
to comply with 49 C F R §§19 30 through 19 37, including any amendments thereto, and other applicable
guidelines or regulations the Federal Government may issue Any exception to the requirements of 49 C F R
§§18 31 through 18 34, and to 49 C F R §§19 30 through 19 37, requires the express approval of the State
and Federal Government A Subraclplent that is a for-profit organization agrees to comply w~th property
management standards satisfactory to FTA Nevertheless, FTA has established specific reimbursement
requirements for premature dispositions of certain Project equipment (i e, when Project equipment is
withdrawn from appropriate use before the expiration of the equipment's useful life estabhshed by FTA)
C 53~10 Program The Subraclplent, where practical, shall make available the vehicle purchased under this
program to provide transportation to other elderly persons and persons with disabilities beyond the
Subreclpient's own clients when not being used for grant-related purposes According to FTA C 9070 f E, the
ReolplentJSubreclplent shall also provide transportation to the general public on an Incidental basis if such
service does not interfere with transportation services for the general elderly and d~sabled public
D Malntananca The Subraclpient agrees to maintain Project real property and equipment in good operating
order, in compliance with any guidelines, d~rectives, or regulations the State or FTA may issue
E Records The Subreclplent agrees to keep satisfactory records regarding the use of Project real property,
equipment, and supplies, and submit to the FTA upon request such informabon as may be required to assure
compliance
F Encumbrance of Project Property The Subrac~pient agrees to maintain satisfactory continuing control of
Project real property or equipment Thus, absent written authonzaflon by FTA permitting otherwise
1 Wrlttan Transacbons The Subreclplent agrees to refrain from executing any transfer of title, lease, hen,
pledge, mortgage, encumbrance, third party contract, grant anticipation note, alienation, or any other
obligation that in any way would affect the Federal or State interest in any Project real property or
equipment
2, Oral Transactions The Subraciplent agrees to refrain from obligating itself m any manner to any third
party with respect to Project real property or equipment
9 Attachment D
3 Other Actions The Subrecip~ent agrees to refrain from taking any action that would e~ther adversely affect
the Federal or State ~nterest or tmpa~r the Reclplent's continuing control of the use of Project real property
or equipment
G Transfer of Project Property The Subrec~pmnt understands and agrees as follows
1 Subreclp~ent Request The Subreclplent may transfer assets f~nanced w~th Federal assistance authorized
for 49 U S C chapter 53 to a pubhc body to be used for any pubhc purpose w~th no further obligation to
the Federal Government, provided the transfer ~s approved by the State and Federal Transit Administrator
and conforms w~th the requirements of 49 U S C §§5334(g)(1) and (2)
2 Direction The Subrec~p~ent agrees that the State may d~rect the d~spos~t~on of, and even require the
Subrecipmnt to transfer t~tle to, any real property, equipment, or supphes financed w~th Federal
assistance
3 Leasing Project Property to Another Pady if the Subrec~plent leases any Project asset to another party,
the Subraclplent agrees to retain ownership of the leased asset, and assure that the lessee w~ll use the
Project asset appropriately, either through a "Lease and Supervisory Agreement" between the
Subraciplent and lessee, or another similar document Upon request, the Subreclplent agrees to prowde
a copy of any relevant documents
H Disposition of Project Property With prior FTA and State approval, the Subrec~plent may sell, transfer, or
lease Project property and use the proceeds to reduce the gross project cost of other eligible capital transit
projeCts to the extent permitted by 49 U S C §5334(g)(4) Nevertheless, the Subrac~plent agrees that the
State may establish the useful life for Project property, and that the Subraciplent will use Project property
continuously and appropriately throughout that useful life
1 Project Property Whose Useful Life Has Expired When the useful life of Project Property has expired, the
Subraclplent agrees to comply with FTA's and the State's disposition requirements
2 Project Property Prematurely Withdrawn from Use For property withdrawn from appropriate use before
Its useful life has expired, the Subraclplent agrees as follows
a) Notification Requirement The Subraclplent agrees to notify the State Immediately when any Project
real property, equipment, or supplies are prematurely withdrawn from appropriate use, whether by
planned withdrawal, misuse, or casualty loss
b) Calculating the Fair Market Value of Prematurely Withdrawn Project Property The Subreclplent
agrees that the Federal Government retains a Federal interest In the fair market value of Project
property prematurely withdrawn from mass transportation use The amount of the Federal Interest In
the property shall be determined on the basis of the ratio of the Federal assistance awarded by the
Federal Government for the property to the actual cost of the Property The Subreciplent agrees that
the fair market value of property prematurely withdrawn from use will be calculated as follows
1) Equipment and Supplies Unless otherwise determined in writing by the State, fair market value
shall be calculated by straight-line depraclat~on of the equipment or supplies, based on the useful
life of the equipment or supplies estabhshed or approved by the State
The fair market value of equipment and supplies shall be the value Immediately before the
occurrence prompting the withdrawal of that property from use In the case of equipment or
supplies lost or damaged by fire, casualty, or natural disaster, the fair market value shall be
calculated on the basis of the condition of that property Immediately before the fire, casualty, or
natural disaster, Irrespective of the extent of Insurance coverage As authorized by 49 C F R
§18 32(b), the State may use Its own disposition procedures, provided that those procedures
comply with the State's laws
2) Real Property The Subreclplent agrees that the fair market value of real property shall be
determined either by competent appraisal based on an appropriate date approved by the Federal
Government, as provided by 49 C F R Part 24, or by straight line depreciation, whichever Is
greater
3) Exceptional Circumstances The State reserves the right to require the use of another method of
determining the fair market value of property In unusual circumstances, the Subrec~plent may
request that another reasonable valuation method be used Including, but not limited to,
accelerated depreciation, comparable sales, or established market values In determining
whether to approve such a request, the State may consider any action taken, omission made, or
unfortunate occurrence suffered by the Subreclplent with respect to the preservation or
conservahon of Project property withdrawn from appropriate use
c) Obligations Unless otherwise approved in writing by the State, the Subreciplent is required to remit to
the State the Federal interest in the fair market value of Project real property, equipment, or supplies
prematurely withdrawn from appropriate use In the case of fire, casualty, or natural disaster, the
Subraciplent may fulfill Its responsibilities w~th respect to the Federal Interest remaining in the
damaged equipment or supplies by either
Attachment D
1) Investing an amount equal to the rema~mng Federal ~nterest m hke-k~nd equipment or supphes
that are ehg~ble for assistance wlthtn the scope of the Project that prowded financial assistance
for the damaged equipment or supphes, or
2) Returning an amount equal to the remaining Federal ~nterest ~n the damaged properly
I M~sused or Damaged Project Property if any damage to Project real property, equipment, or supphes results
from abuse or m~suse of that property occurnng w~th the Subrec~p~ent's knowledge and consent, the
Subrec~pient agrees to restore that real property or equipment to ~ts original cond~bon or refund the value of
the Federal interest in the damaged property, as the State may require
J Obhgations After Project Close-out A Subrecipient that ~s a State, local, or Indian tribal government agrees
that ProJect close-out w~ll not alter its property management obhgabons and apphcable State and Federal
rules and regulabons and other FTA requirements or d~recbves
Section 13 Insurance
In addition to any other Insurance requirements that may apply ~n connecbon w~th the Project, the Subec~p~ent agrees as
follows A Minimum Requirements At a minimum, the Subreclpient agrees to comply with the Insurance requirements
normally Imposed by the laws, regulations, and ordinances imposed by ~ts State and local governments For
construction and/or repair contracts, the Subrecip~ent shall comply with insurance requirements as
establisheq In 49 C F R Part 18
B Flood Hazards To the extent applicable, the Subreclplent agrees to comply with the flood insurance
purchase requirements of section 102(a) of the Flood D~saster Protection Act of 1973, 42 U S C §4012a(a),
with respect to any Project activity Involving construction or acquislbon hawng an insurable cost of $10,000 or
more
Section 114 Relocation
When relocation of Individuals or businesses is required, the Subrecipient agrees to comply with the following
requirements
A Relecetlon Protections The Subraolplent agrees to comply with the Uniform Relocation Assistance and Real
Property Aoquleltlon Policies Act of 1970, as amended, 42 U S C §§4601 et seq, and U S DOT regulations,
"Uniform Relocation and Real Property Acquisition for Federal and Federally Assisted Programs," 49 C F R
Part 24, which provide for fair and equitable treatment of persons d~splaced or whose property is acquired as
a result of Federal and federally assisted programs These requirements apply to all ~nterests in real property
acqulrad for Project purposes regardless of Federal participation in purchases
B Nondiscrimination in Housing The Subrec~plent agrees to comply w~th Title VIII of the Civil Rights Act of
1968, 42 U S C §§3601 et seq and Executive Order No 12892, "Leadership and Coord~nabon of Fair
Housing In Federal Programs Affirmatively Furthenng Fair Housing," 42 U S C §3608 note, when carrying
out Its responsibilities to provide housing used to meet Federal relocation requirements
Section 15 Real Property
For Projects involving real property, the Subreclptsnt agrees as follows
A Land Acquisition The Subraclplent agrees to comply with the Uniform Relocation Assistance and Real
Property Acquisition Policies Act of 1970, as amended, 42 U S C §{}4601 et seq, and U S DOT regulabons,
"Uniform Relocation and Real Property Acquisition for Federal and Federally Assisted Programs," 49 C F R
Part 24 These requirements apply to all Interests in real property acquired for Project purposes regardless of
Federal participation in purchases
B Covenant Assuring Nondiscrimination The Subreciptsnt agrees to include a covenant In the title of the real
property to assure nondiscrimination during the useful life of the Project
C Recording Title to Real Property To the extent required by the State and FTA, the Subreclplent agrees to
rec~ord the State and Federal Interest In the title of real property
D Approval of Changes in Real Property Ownership The Subracipient agrees that it witl not d~spose of, modify
the use of, or change the terms of the real property fltts, or other interest m the s~te and faclllbes w~thout
permission and instructions from the State
Section '16.. Construction
For actlwties Involving construction, the Subreclplent agrees as follows
A Drafting, Review, and Approval of Construction Plans and Spec~flcabons To the extent required by the State,
the Subraclplent agrees to comply with State requests pertaining to the drafting, rewew, and approval of
construotion plans and specifications
B Supervision of Construction The Subraciplent agrees to prowde and maintain competent and adequate
engineering supervision at the construction site to ensure that the complete work conforms to the approved
plans and speclficabons
Attachment D
C Construcbon Reports The Subreclptent agrees to prowde progress reports and such other ~nformat~on as
may be required by the State
D Project Management for Major Capital Projects The Subrec~p~ent agrees to comply w~th FTA regulabons,
"Project Management Oversight," 49 C F R Part 633, and any rews~on thereto, apphcable to a Major Capital
Project
E Seismic Safety The Subrectplent agrees to comply with the U S DOT regulations at 49 C F R Part 41,
Execubve Order No 12699, "Seismic Safety of Federal and Federally-Assisted or Regulated New Buddtng
Construction," 42 U S C {}7704 note, pursuant to the Earthquake Hazards Reducbon Act of 1977, as
amended, 42 U S C §§7701 et seq, pertaining to se~smtc safety ~n DOT asststed construction projects
(specifically, 49 C F R §41 117), and w~th any ~mplementmg guidelines FTA may issue
Section 17 Employee Protections
A Construction Actiwt~es The Subrecipient agrees to comply, and assures the comphance of each contractor to
any tier, with the following employee protecbon requirements for construcbon employees
I Davis-Bacon Act. as amended, 40 U S C §§276a - 276a(7), FTA's enabhng leg~slabon requ~ring
compliance with the Davis-Bacon Act, at 49 U S C §5333(a), and U S DOL regulations, "Labor
Standards Provisions Applicable to Contracts Govermng Federally F~nanced and Assisted Construcbon
(also Labor Standards Provisions Applicable to Nonconstrucbon Contracts Subject to the Contract Work
Hours and Safety Standards Act)," 29 C F R Part 5,
2 Contract Work Hours and Safety Standards Act, as amended, parbculady with the requ~raments of secbon
102 of the Act, 40 U S C §§327 - 332, and U S DOL regulations. "Labor Standards Provisions Applicable
to Contracts Governing Federally Financed and Assisted Construction (also Labor Standards Provisions
Applicable to Nonconstructlon Contracts Subject to the Contract Work Hours and Safety Standards Act)."
29 C F R Part 5, and with section 107 of the Act, 40 U S C §333, and U S DO[. regulations. "Safety and
Health Regulations for Construction," 29 C F R Part 1926, and
3 Copeland "Anti-Kickback" Act, as amended, 18 U S C §874 and 40 U S C §276c, and U S DOL
regulations, "Contractors and Subcontractors on Public Building or Pubhc Work F~nanced In Whole or in
part by Loans or Grants from the United States," 29 C F R Part 3
B Activities Not Involving Construction The Subracipient agrees to comply, and assures the compliance of
contractors at any tier, with any applicable employee protecbon requirements for nonconstructlon employees
of section 102 of the Contract Work Hours and Safety Standards Act, as amended, 40 U S C §§327 - 332,
and U S DOL regulations, "[.abor Standards Provisions Appliceble to Contracts Governing Federally
Financed and Assisted Construction (also Labor Standards Provisions Apphcable to Nonconstruct~on
Contracts Subject to the Contract Work Hours and Safety Standards Act)," 29 C F R Part 5
C State and Local Government Employees The Subreciplent agrees that the minimum wage and overbme
provisions of the Fair Labor Standards Act, as amended, 29 U S C §§206 and 207, apply to employees
performing Project work Involving commeme, and apply to any State or local government employees that are
public transit authority employees Thus, the Subrecipient, agrees to comply with the Fair Labor Standards
Act's minimum wage and overtime requirements for employees performing Project work
D Transit Employee Protective Arrangements If transit employee protective arrangements required by U S
DOL apply to transit operations performed In connecbon with the Project, the Subraciplent agrees to comply
with the applicable requirements for its Project as follows
I Standard Transit Employee Protective Arrangements To the extent that the Project Involves transit
operations, the Subraclplent agrees to implement the Project in compliance with terms and cond~tions the
U S Secretary of Labor has determined to be fair and equitsbie to protect the Interests of any employees
affected by the Project and that meet the requirements of 49 U S C §5333(b), and of the U S DOL
guidelines, "Section 5333(b), Federal Transit Law," 29 C F R Part 215 and any amendments thereto
These terms and conditions are Identified In U S DOL's certification of transit employee protecbve
arrangements to FTA The Subreciplent agrees to Implement the Project in compliance with the
conditions stated in that U S DOL certification That U S DOL certification and any documents cited
therein are incorporated by reference The requirements of th~s paragraph do not apply to Projects for the
eldedy and persons with disabilities that are authorized by 49 U S C §5310(a)(2) or to Projects for
nonurbanlzed areas that are authorized by 49 U S C §5311, separate requirements for those Projects
are contained in Subsections 17 D(2) and 17 D(3) of th~s Agreement
2 Transit Employee Protective Arrangements for Projects for Elderly and Persons w~th Disabilit~es
Authorized by 49 U S C §5310(a)(2) To the extent that the U S Secretary of Transportabon has
determined or determines in the future that employee protective arrangements required by 49 U S C
§5333(b) are necessary or appropriate for a public body Subracipient under the Project, the Subreciplent
agrees to carry out the Project in compliance w~th the terms and conditions determined by the Secretary
of Labor necessary to meet the requirements of 49 U S C §5333(b), and the U S DOL guidelines,
"Section 5333(b), Federal Transit Law," at 29 C F R Part 215, and any amendments thereto These
terms and conditions are identified in U S DOL's certification of transit employee protecbve arrangements
12 Attachment O
to FTA The Subrac~p~ent agrees to implement the Project ~n compliance wtth the cond~bons stated ~n that
U S DOL certification That U S DOL certification and any documents c~ted there~n are ~ncorporated by
reference and made part of th~s Agreement
3 Transit Employee Protecbve Arrangements for Proiects in Nonurbamzed Areas Authorized by 49 U S C
§5311 The Subrec~p~ent agrees to comply with the terms and condlbons of the Spectal Warranty for the
Nonurbanized Area Program agreed to by the Secretanes of Transportabon and Labor, dated May 31,
1979, U S DOL ~mplementing procedures, and any rews~ons thereto
Section 18 Environmental Requirements
The Subrec~p~ent recognizes that many Federal and State laws ~mpos~ng enwronmental and resource conservation
requirements may apply to the Project Some, but not all, of the major Federal laws that may affect the Project include the
National Environmental Policy Act of 1969, as amended, 42 U S C §§4321 et seq, the Clean A~r Act, as amended, 42
U S C §§7401 et seq and scattered sections of 29 U S C, the Federal Water Pollut~ontrol Act, as amended, 33
U S C §§1251 et seq, the Resource Conservation and Recovery Act, as amended, 42-LT'S C §§6901 et seq, and the
Comprehensive Environmental Response, Compensation, and Liability Act, as amended, 42 U S C §§9601 et seq The
Subreclplent also recognizes that U S EPA, FHWA and other Federal agencies have issued, and in the future are
expected to issue, regulations, guidelines, standards, orders, d~rect~ves, or other requirements that may affect the Project
Thus, the Subra¢lplent agrees to comply, and assures the compliance of each Subreciplent and each contractor, with any
such Federal requlraments as the Federal Government may now or in the future promulgate Listed below are
requirements of particular concern to FTA and the Recipient The Subrecipient agrees that those laws and regulations do
not constitute the Reclplent's entire obligation to meet all Federal environmental and resource conservabon requirements
A Use of Public Lands The Subreclplent agrees that no publicly owned land from a park, recreation area, or
wildlife or waterfowl refuge of national, State, or local significance as determined by the Federal, State, or
local officials having Jurisdiction thereof, or any land from a historic site of national, State, or local significance
may be used for the Project unless FTA makes the specific findings required by 49 U S C §303
B Coastal Zone Management The Subraclplent agrees to assure Project consistency with the approved State
management program developed under the Coastal Zone Management Act of 1972, as amended, 16 U S C
§§1451 et seq
C Environmental Justice The Subreciplent agrees to comply w~th the pohcies of Executive Order No 12898,
"Federal Actions to Address Environmental Justice in M~nonty Populabons and Low-income Populabons," 42
U S C §4321 note
Section 19 Energy Conservation
The Subrecipient agrees to comply with the mandatory energy efficiency standards and policies within the apphcable
State energy conservation plans issued in compliance with the Energy Pohcy and Conservation Act, 42 U S C §§6321 et
seq
~ State Management and Monitoring Systems
The Subraciplent agrees to comply with applicable requirements of joint FHWA/FTA regulabons, "Management and
Monitoring Systems," 23 C F R Parts 500 and 49 C F R Part 614, to the extent applicable
~ Not Applicable
~ Not Applicable
~ Metric System
As required by U S DOT or FTA, the Subreclplent agrees to use the metric system of measurement ~n ~ts Project
activities, pursuant to the Metric Conversion Act, as amended by the Omnibus Trade and Competitiveness Act, 15 U S C
§§205a et seq,, Executive Order No 12770, "Metric Usage in Federal Government Programs," 15 U S C §205a note, and
other U S DOT or FTA regulations, guidelines, and policies To the extent practicable and feasible, the Subreciplent
agrees to accept products and services with dimensions expressed ~n the metnc system of measurement
~ Substance Abuse
A Drug Abuse The Subraclplent agrees
1 The Subreclplent agrees to comply w~th U S DOT regulations, "Drug-Free Workplace Requirements
(Grants)," 49 C F R Part 29, Subpart F, as modified by 41 U S C §§702 et seq
2 To the extent apphceble, the Subreclpient agrees to comply with FTA regulations, "Preventton of
Prohibited Drug Use ~n Transit Operations," 49 C F R Part 653, including subsequent FTA regulations
when promulgated, and any guidance on the drug abuse prowsions of 49 U S C §5331 that FTA or U S
DOT may issue
B Alcohol Abuse To the extent applicable, the Subrec~pient agrees to comply w~th FTA regulations, "Prevention
of Alcohol Misuse in Transit Operations," 49 C F R Part 654, including subsequent FTA regulations when
! 3 Attachment D
promulgated, and any guidance on the alcohol abuse provisions of 49 U S C {}5331 that FTA or U S DOT
may ~ssue
Section 25 State Safety Oversight of Rail Fixed Guldeway Public Systems
To the extent apphcable, the Subrec~plent agrees to comply with 49 U S C §5330, and FTA regulabons, "Rail F~xed
Gu~deway Systems, State Safety Oversight," 49 C F R Part 659, and any guidance that FTA or U S DOT may ~ssue to
~mplement 49 U S,C §5330
Section 26 Seat Belt Use
Pursuant to Executive Order No 13043, April 16, 1997, 23 U S C §402, the Subrec~p[ent ~s encouraged to adopt on-the-
job seat belt use policies and programs for ~ts employees when operabng company-owned, rented, or personally-operated
vehicles and ~nclude this prowsion in third party contracts, entered ~nto under th~s Project
Section 27 Special Requirements for Urbanized Area Formula Projects
'l'he following requirements apply to all Projects financed with Federal assistance authorized for 49 U S C §5307
A Fares and Services Before raising fares or instituting a major reduction of service, the Subrecipient agrees to
use its established administrative process to solicit and consider public comment
B Audit~Requlraments The Subreclpient agrees that the State or Federal Government may conduct or require
the Subreciptsnt to engage an independent entity to conduct annual or more frequent reviews and audits
required by 49 U S C §5307(1) and applicable regulations or guidelines that the Federal Government may
issue
C Half-Fare Requirements The Subraclplent agrees that the fares or rates charged the elderly and persons with
disablllttss during nonpeak hours for transportation using or involving Project facilities and equipment will not
I exceed one-half of the rates that generally apply to other persons at peak hours, whether the operation of
such, facilities and equipment is by the 8ubraclplent or another entity under lease or otherwise The
Subreciplent agrees to give the rate required herein to any person presenting a Medicare card duly issued to
that Individual pursuant to Title II or Title XVIII of the Social Security Act, 42 U S C §§401 et seq, and 42
U S C §§1395 et seq
D Procurement of an Associated Capital Maintenance Product in accordance with the terms of 49 U S C
§5326(d), the Subreclplent may, without prior Federal approval, procure an eligible associated capital
mai tenance product by contract directly with the origina supplier or manufacturer of the item to be replaced,
pro~ded that the Recipient (1) first certifies in writing that such manufacturer or supplier is the on y source of
that ~tem and the price of that item is no higher than the price paid for that item by like customers, and (2)
compiles with applicable Buy America statutory and regulatory requirements
E Transit Security Each fiscal year, the Subraclplent agrees to spend at least one (1) percent of its funds
authorized by 49 U $ C §5307 for transit security Projects, unless the Subreclpient has certified to FTA that
such expenditures are not necessary
F Restrictions on the Use of Formula Assistance for Operahons A Subreciplent permitted to use Federal
assistance authorized for 49 U S C §5307 to support operations agrees as follows
1 To comply with the restrictions of 49 U S C §§5307(b)(1) end 5307(f) In using urbanized area formula
funds for operating assistance, unless permitted otherwise by FTA
2 Financial assistance authorized by 49 U 8 C §5307 may be applied to the Net Project Cost of the
Subraclplent's operating expenses Incurred during the Project time period set forth in the Approved
Project Budget and, with FTA approval, may be extended to a later date to the extent permitted by law,
iprovided that the applicable operating assistance Ilmltstion is not exceeded
G Reporting Requirements For each fiscal year, the Subreciplent agrees to conform, and assures that any
transit operator to which the Subraclpient provides funds authorized by 49 U S C §5307 will conform, to the
repOrting system and the uniform system of accounts and records required by 49 U S C §5335(a) for FTA's
national transit database and FTA regulations, "Uniform System of Accounts and Records and Reporting
System," 49 C F R Part 630, which includes various reports required for FTA's national transit database
H Criminal Sanctions The criminal sanctions of 49 U S C §1001 apply to any submission or certificate provided
for the Urbanized Area Formula Program authorized by 49 U 8 C §5307
Section 28 Not Applicable
~ Special Requirements for Job Access and Reverse Commute Grant Projects
The Subrecipient agrees to comply with following requirements ~n admlmstering Projects financed w~th Federal
assistance authorized for section 3037 of TEA-21, 49 U S C §5309 note
A General Requirements The Subreciplent agrees to comply w~th any applicable Federal requirements or
guidance that may be Issued to Implement the Job Access and Reverse Commute Grant Program,
authorized by section 3037 of TEA 21, 49 U S C §5309 note
14 Attachment D
B Restrictions on the Use of Grant Funds The Subrec~pient agrees that ~t w~ll not use any grant funds awarded
for Section 3037 Projects to support the costs of planning or coord~nabon acbwbes, in compliance with section
3037(e) of TEA-21,49 U S C §5309 note
Section 30 Special Requirements for Over-the-Road Bus Accessibility Projects
The Subrec~ptent agrees to comply with following requirements ~n administering Projects financed with Federal assistance
authorized for section 3038 of TEA-21, 49 U S C {}5310 note
A General Requirements The Subreciplent agrees to comply with any apphcable Federal requirements or
guidance that may be ~ssued to implement the Over-the-Road Bus Access~blhty Program authorized by
section 3038 of TEA-21, 49 U S C §5310
B Special Requirements The Subreciplent agrees to comply with U S DOT regulabons, "Transportabon
SerVices for Individuals with Disabilities (ADA)," 49 C F R Part 37, Subpart H, "Over-the-Road Buses," and
jmntlU S Architectural and Transportation Barriers Compliance Board/U S DQT. regulahons, "Americans W~th
Disabilities (ADA) Accessibility Specifications for Transportation Vehicles," 3~'~'F R Part 1192 and 49 C F R
Part~ 38
C FTA Notice The provisions of FTA Notice, "Over-the-Road Bus Access~bihty Program Grants," 65 Fed Reg
2772-2786 (January 18, 2000), and any subsequent revision thereto, supersede confl~ct[ng provis~ons of th~s
Agreement
~ Disputes, Breeches, Defaults, or Other Litigation
The Subreciplerlt agrees that the State and FTA has a vested interest in the settlement of any dispute, breach, default, or
litigation involving the Project Aocordingly
A Notification ,The Subreclplent agrees to notify the State of any current or prospective major d~sputa, breach, default,
or litigation, that may affect the State or Federal Government's interests in the Project or the administration or
enforcement of laws or regulations If the Subreclplent seeks to name the State or the Federal Government as a party
to litigation for any reason, In any forum, the Subreclplent agrees to inform the State before doing so
B Federal Interest in Recovery The Federal Government retains the right to a proportionate share, based on the
percentage of the Federal share awarded for the Project, of proceeds derived from any third party recovery, except
that the Subreclplent may return any Ilquldatad damages recovered to its Project Account in I~eu of returning the
Federal share to the Federal Government
(~ Enforcement The Subreclplent agrees to pursue all legal rights w~thin any third party contract
D State and FTA Concurrence The State and FTA reserve the right to concur in any compromise or settlement of any
claim involving the Project and the Subreclplent
! 5 Attachment D