Loading...
HomeMy WebLinkAboutPR 15670: AMERICAN RECOVERY & REINVESTMENT ACT (ARRA) GRANTMemorandum City of Port Arth ur, Texas To: Steve Fitzgibbons, City Manager From: Rebecca Underhill, CPA, Assistant City Mana iri s ration Date: December 11, 2009 Subject: Proposed Resolution 15670 Presented for City Council consideration and approval is PR 15670 which accepts the grant agreement and reporting agreement between the City of Port Arthur and the Texas Water Development Board for the American Recovery and Reinvestment Act (ARRA) grant in the amount of $15,080,000. This grant was applied for in June, and the work has been engineered and bid in an expedited process in order to meet the requirements of the ARRA program. The grant was approved by the TWDB in September and the grant documents were received this week. Again, due to the time constraints of the program, the documents were executed and returned to the TWDB in order to meet the deadlines imposed. S:~Finance~Resolutions~PR 15670 TWDB Grant.doc P. R. NO. 15670 ru 12/11/09 RESOLUTION NO. A RESOLUTION ACCEPTING A GRANT AGREEMENT. AND A REPORTING AGREEMENT WITH THE TEXAS WATER DEVELOPMENT BOARD CLEAN WATER STATE REVOLVING FUND FUNDED THROUGH THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009, TWDB CONTRACT NUMBER G100003 WHEREAS, on June 30, 2009, the City Council adopted Resolution 09-245 authorizing the City Manager to submit a grant application with the Texas Water Development Board (TWDB) for funding through the Clean Water State Revolving Fund, American Recovery and Reinvestment Act of 2009 Intended Use Plan program; and , WHEREAS, this application was for funding in the amount of $15,080,000 for sanitazy sewer rehabilitation projects and wastewater treatment improvements; and WHEREAS, on September 17, 2009, the TWDB found that the City qualifies as a disadvantaged community. and agreed, under Resolution No. 09-104 to provide a grant in the amount of $15,080,000 to the City of Port Arthur; and. WHEREAS, the TWDB delivered the grant agreement and reporting agreement to the City of Port Arthur on December 7, 2009,_ and due to the time sensitive nature of the ARRA program, required the documents be returned by December 11, 2009; and WHEREAS, the Mayor executed the agreements on behalf of the City. - NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: Section I . That the facts and opinions in the preamble are true and correct. Section 2. That the City Council of the City of Port Arthur, Texas, accepts the Grant Agreement and the Reporting Agreement attached hereto as `Exhibit A' and `Exhibit B'. Section 3. That a copy of the caption of this Resolution be spread upon the Minutes of the City Council of the City of Port Arthur. READ, ADOPTED, AND APPROVED, this 15`h day of December, 2009, AD, at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following vote: AYES: Mayor: Councilmembers: S:\Finance\Resolu[ions\PR 15670 TWDB Grant.doc , Mayor ATTEST: Terri Hanks, City Secretary APPROVED AS TO FORM: G~- Valecia Tizeno, A ~ g City Attorney APPROVED FOR ADMINISTRATION: Steve Fitzgibbons, City Manager Rebecca Underhill, Assistant City Manager /Administration Johri Comeaux, Assistant City Manager /Operations Ross Blackketter, Director of Public Works S:\Finance\Resolutions\PR 15670 TWDB Grant.doc Exhibit A - GYant Agpeement S:~F'inance\Resolutions~PR 15670 TWDB Grnnt.doc Grant Agreement Clean Water State Revolving Fund American Recovery and Reinvestment Act of 2009 TEXAS WATER DEVELOPMENT BOARD AND CITY OF PORT ARTHUR ORANGE AND JEFFERSON COUNTIES, TEXAS BOARD CONTRACT NO. G100003 BOARD RESOLUTION NO.' 09-104 CFDA #.66.458 IUP Project No. 73036 i TEXAS WATER DEVELOPMENT BOARD BOARD CONTRACT NO. G100003 CWSRF: GRANT AGREEMENT AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 STATE OF TEXAS § COUNTY OF TRAVIS § . WHEREAS, the City of Port .Arthur, located in Orange and Jefferson Counties, Texas, (the "City', has filed an application for a grant in the amount of $15,080,000 from the Clean Water' State Revolving Fund ("CWSRF") -American Recovery and Reinvestment Act of 2009, (the ``ARRA"), Special Capitalization Grant to finance Sanitary Sewer Line rehabilitation and Wastewater Treatment Plant rehabilitation and WHEREAS, on September 17, 2009 the Boazd found that the City qualifies as a disadvantaged community pursuant to 31 TAC §375:19 and agreed, under ResolutionNo. 09-104 to provide a Grant in the amount of $15,080,000 from the Account to the City; WHEREAS, the City will use the Grant funds to construct Sanitary Sewer Line rehabilitation and Wastewater Treatment Plant rehabilitation, (the "Project"); WHEREAS, the City has represented that portions of this Project, will satisfy the EPA Green Reserve criteria, and the EPA has determined that the Green Reserve criteria is satisfied; and WHEREAS, the Board and the City, are the "Parties" to this Grant Agreement (the "Agreement"). NOW THEREFORE, the Parties mutually agree to adhere to the terms ofthis Agreement and to administer the funds provided through this Agreement in conformance with all applicable state and federal laws, and regulations, Boazd Resolutions, and all terms and conditions set forth herein. ARTICLE I. AUTHORITY 1.01. The Board enters into this Agreement pursuant to the authority granted under TEx. WATER CODE, CH. 15, SUBCHAPTER J; the FEDERAL WATER POLLUTION CONTROL ACT (A/K/A CLEAN WATER ACT), 33 U.S.C. §1251 et seq., the AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 (P.L. 111-5) and the Special Capitalization Grant Agreement executed between the Board and the EPA. 1.02. The City enters into this Agreement pursuant to the authority granted under the Texas Constitution, as a home rule city. City of Port Arthur Project No. 73036 CWSRF-ARRA Grant Agreement ., ARTICLE II. DEFINITIONS 2.01. These definitions apply to this Agreement and any terms not defined herein or in applicable Board regulations are given their ordinary meaning. ' ARRA means the AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 (Pub.L. 111-5). Agreement means this Grant Agreement and all exhibits, attachments, and written amendments hereto. Board means the Texas Water Development Board. ~ ~ , Buy American means the requirements of ARRA § 1605 and the regulations at 2 CFR Part 176 which require the use of American made iron, steel and manufactured goods in the Project funded under this Agreement. Clean `Vater Act means the FEDERAL WATER POLLUTION CONTROL ACT (Pub.L. 92-500) as amended by the WATER QUALITY ACT of 1987 (Pub.L. 100-4), 33 U.S.C. § 1251 et seq. Contract means a procurement contract funded under this Agreement. CFR means Code of Federal Regulations. Disadvantaged community means a Texas community where the area in which the Project will provide service has an adjusted annual median household income which is no more than 75% of the state annual median household income, and if the service azea is not charged for sewer services, has a household cost factor for water rates that is greater than or equal to 1.0%, or if the service area is charged for water and sewer services, has a combined household cost factor for water and sewer rates that is greater than or equal to 2.0%. EA means the Executive Administrator of the Texas Water Development Boazd. Eligible Expense means allowable. costs as defined in 40 CFR §31.22 relating to allowable costs; OMB Circulaz A-87; the TEX. WATER CODE, CH.15, suBCxAPTER J; and applicable regulations at 31 TAGChapters 363 and 375. EPA means the U.S. Environmental Protection Agency. Green Project Reserve means a Project or portion of a Project thatmeets the criteria for inclusion in the ARRA Green Project Reserve, including green infrastmcture, water or energy efficiency improvements or other environmentally innovative activities. ObIB means the U.S. Office of Management and Budget. City of Port Arthur ~ 3 Protect No. 73036 CWSRF-ARRA Grant Agreement Outlay or Expenditure Report means federal form SF 271 or other equivalent report as prescribed by the Boazd. , Parties means the Boazd and the City, the signatories to this Agreement. Project means the Project funded under this Agreement. Reporting Agreement means a binding agreement between the Parties that establishes the requirements and procedures for compliance with ARRA reporting requirements. SRF means State Revolving Funds established pursuant to TEx. WATER CODE, CHAPTER I5, SUBCHAPTER J. TAC means the Texas Administrative Code. ARTICLE III. GRANT DOCUMENTS 3.01. This Agreement consists of the following documents, all fully incorporated herein, and to be construed in this order of precedence. (A) This Ageement and all Exhibits attached hereto; (B) Boazd Resolution No. 09-104; and (C) The City's Application for Financial Assistance ARTICLE IV. DEOBLIGATION OF FUNDS PURSUANT TO ARRA, TITLE VII, THE City UNDERST?u~TDS, AGREES, AND ACCEPTS THAT THE FUNDS PROVIDED UNDER THIS AGREEMENT ARE SUBJECT TO DEOBLIGATION UNLESS: (A) THE FUNDS GR?u~ITED HEREIN ARE COlvll'IITTED TO AN EXECUTED, BINDING CONSTRUCTION CONTRACT FOR THE PROJECT BY FEBRUARY 17, 2010; or (B) THE PROJECT IS ACTUALLY UNDER CONSTRUCTION BY FEBRUARY 17, 2010. THE BOARD SHALL TERMINATE THIS AGREEMENT AND THE ENTITY SHALL REIMBURSE THE BOARD IN FULL FOR ALL FUNDS RECEIVED HEREUNDER UNLESS THE PROJECT IS UNDE_ R CONSTRUCTION OR CObIMITTED TO A BINDING CONSTRUCTION CONTRACT BY FEBRUARY 17, 2010, UNLESS THE EA HAS GRANTED AN EXTENSION OF TIME UNDER §5.01 OF THIS AGREEMENT. City of Port Arthur ' 4 Project No. 73036 CW SRF-ARRA Grant Agreement ARTICLE V. GENERAL ARRA CONDITIONS 5.01. INITIATION OF CONSTRUCTION. (A) Time of Initiation. The City has represented that it is ready to proceed to construction or to fund a construction contract on the first receipt of funds hereunder. The City agrees that it shall begin construction of Project within 30 days of execution of this Agreement. The EA may grant extensions of time to initiate construction for good cause shown. (B) ARRA Logo. The City and its contractors and subcontractors shall ensure that all Project sites display the ARRA logo in a manner that informs the public that the Project is funded by ARRA. The ARRA logo may be obtained from: U.S. Environmental Protection Agency Grant Programs Section, 6MD-CG 1445.Ross Avenue, Suite 1200 Dallas, Texas 75202-2722 5.02. L1li IITATION ON USE OF FUNDS. This Agreement is funded with federal funds which shall be expended only on the Project, as described in EXHIBIT A, the Board approved design plans and specifications and construction documents, and in<accordance with the approved budget contained in EXHIBIT B. Pursuant to 40 CFR §31.30(c)(2), City shall obtain prior written approval for any budget revision which would result in the need for additional funds for construction. Pursuant to 40 CFR §31.22, allowable costs are to be determined in accordance with the principles contained in OMB Circular A-87, as supplemented. FUNDS PROVIDED BY THIS AGREEMENT SHALL NOT BE USED TO PURCHASE, LEASE OR"OTHERWISE OBTAIN REAL PROPERTY NOR ANY TEMPORARY OR PERMANENT INTEREST IN REAL PROPERTY. FUNDS PROVIDED BY THIS AGREEMENT SHALL NOT BE USED FOR ANY CASINO OR OTHER GAMBLING ESTABLISHMENT, ?,QUARNM, ZOO, GOLF COURSE, OR SWIMMING POOL. ARRA §1604. 5.03. ADMINISTRATION OF GRANT FUNDS. The City shall administer the grant pursuant to the terms,of this AgreemenYand 40 CFR Part 31 (relating to Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments), 40 CFR Part 33 (relating to Participation by Disadvantaged Business Enterprises. in EPA Programs), 40 CFR Patt 34 (relating to New Restrictions on Lobbying), 2 CFR Part 1532 (relating to EPA Implementation of OMB Guidance on Nonprocurement Debarment and Suspension), and 2 CFR Part 176 (relating to Award Terms for Assistance Agreements that Include Funds under the ARRA, including Buy American requirements). This Agreement requires compliance with these federal regulations. City of Port Arthur Project Na. 73036 CWSRF-ARRA Grant Agreement 5.04. OPERATION AND MAINTENANCE OF PROJECT. The City undertakes and agrees to assure proper oversight, operation and maintenance, including financial, technical and managerial aspects of the Project for a period that lasts through the design life of the Project. 5.05. COPYRIGHT. The EPA and the Board reserve aroyalty-free, nonexclusive, and irrevocable license to reproduce, publish or otherwise use, and to authorize others to use the copyright in any work developed under this Agreement and any rights of wpyright to which the City purchases ownership with funds from this Agreement. 5.06. LABOR STATUTES AND REGULATIONS. The City agrees, understands and accepts that City shall comply with the following when expending funds received under this Agreement. (A) EQUAL EMPLOYMENT OPPORTUNITY. The City shall comply with Executive Order 11246 of September 24,1965,`entitled "Equal Employment Opportunity," as amendedbyExecutive Order 11375 of October 13, 1967, and as supplemented in U.S. Department of Labor regulations at 41 CFR chapter 60 (relating to Office of Federal Contract Compliance, EEO). City shall include this . provision in any contract or subcontract in excess of S 10,000 as required by 40 CFR § 31.36. (B) DAMS-BACON ACT WAGE RATES. In accordance with ARRA §1606, the City, its' contractors and its subcontractors for a Project that is funded in whole or in part with ARRA funds shall pay all laborers and mechariics at rates not less than those prevailing on similar Projects in the same locality, as determined by the U.S. Secretary of Labor's Wage and Hour Division, in conformance with the DAVtS -BACON ACT, 40 U.S.C. §§3141 et seq. as amended and in conformance with the U.S. Department of Labor regulations at 29 CFR Part 5. (Labor Standazds Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction) and 29 CFR Part 3. (Contractors and Subcontractors on Public Work Financed in Whole or in Part by Loans or Grants from the United States). (C) CONTRACT WORK HOURS AND SAFETY STANDARDS ACT. The City shall ensure that its contractors and subcontractors comply with the CONTRACT WORK HOURS nND SaeETY STANDARDSACT, §§103 and 107, 40 U.S.C. § 3701-§ 3708 as snpplementedbyU.S.Department of -Labor regulations'at 29 CFR Part 5. (D) WHISTLEBLOWER PROTECTION. hi accordance with ARRA §1553, the City, its contractors and its subcontractors shall prohibit the dischazge of, demotion of or discrimination against anyperson disclosing information that the employee reasonablybelieves is evidence of gross mismanagement of an agency contract or grant relating to covered funds; a gross waste of covered funds; a substantial and specific danger to public health or safety related to the implementation or use of covered funds; an abuse of authority related to the implementation or use of covered funds; or a violation of law, rule, or regulation related to an agency contract (including the competition for or negotiation of a contract) or grant, awarded or issued relating to covered funds. City of Port Arthur Project No. 73036 CWSRF-ARRA Grant Agreement 5.07. BUY AMERICAN: AMERICAN IRON. STEEL AND MANUFACTURED GOODS. In accordance with ARRA § 1605, none of the funds made available by this grant may be used for the construction, alteration, maintenance; or repair of a publicly-owned treatment works or appurtenant facilities unless all of the iron, steel; and manufactured goods used in the Project are produced in the United States, subject to certain limited exceptions established by the EPA. The City shall comply with federal regulations detailing this requirement at 2 CFR Part 176 relating to ARRA-Buy American-Construction Materials. The City's constmction contractor is responsible for determining whether a waiver of this provision is required and to apply for such waiver to EPA, Region 6 by. emailing the request in the form of a Word document (.doc) to region6waiver@epa.gov. The request shall include the information and applicable supporting data required at 2 CFR § 176.140(c) and (d). 5.08. FALSE CLAIMS ACT. The City, its contractors and sub-contractors must include in all Project bid solicitations and Project contracts a requirement that the Parties shall promptly refer to an appropriate inspector general or to the EPA inspector general any credible evidence that a principal, employee; agent, contractor, subcontractor, or otherperson has submitted a false claim under the FALSE CLAIMS ACT or has committed a criminal or civil violation of laws pertaining to fraud, conflict of interest, bribery, gratuity, or similaz misconduct involving ARRA funds. The .City- and its contractors and subcontractors shall be required to provide the EPA Office of Inspector General with any information, records or other documentation requested by that office. 5.09. ARRA STANDARDS APPLICABLE TO ENTIRE PROJECT.. The City will require all contractors and subcontractors on the Project being financed with ARRA proceeds to comply with ARRA requirements for the entire Project, whether funded in whole or in part under ARRA, including but not limited to the "Buy American" requirements set.forth in §1605, the reporting requirements set forth in § 1512, and the prevailing wage rate requirements set forth in § 1606 of the ARRA. ARTICLE VI GRANT FIJNDS~ Release of Funds Accountins and Records 6.01. PRE-RELEASE CONDITIONS. The Board shall not release any funds hereunder until the City has fulfilled the following conditions of this Agreement. The Parties mutually understand and agree that other conditions for the release of fiinds maybe determined during the course of this Project, and therefore the Parties agree to negotiate in good faith the terms of any future conditions for the release of funds. No funds shall be released until the following conditions are met. (A) Comnliance with ARRA Reporting Requirements. (1) No funds shall be released for reimbursement of expenses or for any other purpose unless the City has complied with all ARRA reporting requirements. Compliance with reporting requirements means that the City has submitted accurate, timely reports as required under ARRA, ARTICLE. VII of this Agreement, and the Reporting Agreement. City of Port Arthur ~ 7 Project No. 73036 CW SRF-ARRA Grant Agreement (2) The reporting and assurances requirements as described in the Reporting Agreement and in ARRA § 1512 are the contractual responsibility of the City. Failure to submit required reports to Board maybe grounds for termination of the ageement and the return of any funds expended on the Project. The reports shall be due as established in the Reporting Agreement. (B) Water Conservation and Drought Contingency Plan: If applicable; prior to construction of the Project, the City shall adopt a water conservation and drought contingency plan that complies with TEX. WATER CODE § 11.1271 and § 11.1272 and the Board's rules at 31 TAC §363.1 S. (D) Resolution Conditions. The City shall comply with all conditions in the Board Resolution prior to release of funds hereunder. 6.02. REIMBURSEMENTS. The funds provided under this Agreement shall be disbursed only on a reimbursement basis, unless otherwise authorized by the EA. The City shall submit an invoice to the EA for.the eligible expenses listed and identified in EXHIBIT B. The amount requested shall not exceed the budgeted amount associated with activity listed on EXHIBIT B. 4 6.03. INVOICES AND ACCOUNTING. (A) Timing of and Content of Invoices. The City shall submit monthly invoices, or other appropriate documentation, for eligible expenses incurred during the previous month as specified by the EA. The EA may require the submission of invoices more frequently than monthly. Invoices and documentation shall include detail sufficient to demonstrate that the expenses incurred were eligible Project expenses: The City shall not be reimbursed for eligible expenses that are not timely submitted to the Board. (B) karate Accounting. The City shall maintain separate, distinct accounting records for all ARRA funds expended on the Project. Funding from other sources, including mainstream SRF, shall be separately tracked and reported according to the requirements applicable to each source. Additionally, separate accounting is required for funds expended on Green Reserve portions of the Projects, which are: Main Wastewater Treatment Plant Variable Rate Drives; Port Acres fine bubble diffusers; Port Acres Wastewater Treatment Plant Variable Rate Drives; Sewer rehabilitation within the city basin LC 709; Sewer rehabilitation within the city basin SE 435; and Sewer rehabilitation within the city basin EV 75. City of Port Arthur Project No. 73036 CWSRF-ARRA Grant Agreement (C) Unexpended Advanced Funds and Separate Bank Account. The City shall establish a sepazate bank account at a state or nationally-chartered bank or trust department that is ` designated as an official federal or state depository institution. This account must be insured up to the maximum amount allowed by the Federal Deposit Insurance Corporation. This separate account shall be the exclusive depository for funds received under this Agreement. Such account shall be secured and collateralized in a manner consistent with the laws of this state; in particular, the deposit and investment of these public funds must comply with the TEXAS PUBLIC FtINDS INVESTMENT Acr, Chapter 2256, Tex. Gov't Code, and the PUBLIC FUNDS COLLATERAL ACT, Chapter 2257, Tex..Gov't Code, as well as the City's written investment plan. (D) Ineligible Expenditures.., When either the City or the EA determines that an ineligible expense was paid with funds received under this Agreement, the City shall: (1) Promptly deposit to the separate account an amount equal to the cost of the ineligible expenses, and (2) Promptly notify the EA of the nature of the ineligible expenditure and provide evidence satisfactory to the EA that funds equal to the cost of the ineligible expenses have been deposited to the separate account. (3) If the EA notifies the City that an ineligible expense was paid with funds disbursed to the City, the EA shall discontinue all payments under this Agreement. No further funds shall be disbursed until the EA has received satisfactory evidence that the City has deposited funds into the separate account in an amount equal to the cost of the ineligible expenses. (4) The City may use the funds deposited into the separate account only as authorized by the EA. The EA may, but is not required to, direct the use of the funds deposited into the sepazate account for any activity listed on Exhibit B. (E) Final Accounting Review. Upon termination of this Agreement, or completion of the Project, the Board shall perform a final accounting review of the eligible expenditures made by the City and of the payments made to the City under this Agreement. The final accounting shall determine whether payments made to the City exceeded the Project's eligible expenses. If the final accounting reveals that the Project's eligible expenses were less than the payments made by the Board to the City, then the City.shall reimburse the Boazd for the excess payments; such reimbursement shall occur within 30 days of noticeby the EA. 6.04. ENVIRONMENTAL CONTAMINATION. Grant funds shall not be used for sampling, testing, removing or disposing of contaminated soils or any other environmental media at the Project site. The City agrees to indemnify, hold harmless and protect the Board from any and all claims, causes of action or damages to the person or property of third Parties arising from the sampling, analysis, transport, storage, treatment and .disposition of any contaminated sewage sludge, contaminated sediments and/or contaminated media that may be generated by the City, its contractors, subcontractors, consultants, agents, officials and employees as a result of activities relating to the Project to the extent permitted by law. City of Port Arthur 9 Project No. 73036 CWSRF-ARRA Grant Agreement 6.05. RECORDS AND AUDITS. (A) Duty to Maintain Records. The City shall maintain financial accounting documentation pursuant to this Agreement in accordance with Generally Accepted Accounting Principles and 40 CFR Part 31 relating to Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments. The City shall also require its contractors to maintain financial accounting records consistent with Generally Acceptable Accounting Principles and with 40 CFR'Part 31. All accounting and other financial . documentation shall be accurate, current, and shall reflect recordation of the transactions at or about the time the transactions occurred. (1) SNGLE AUDIT ACT of 1984, P.L. 98-502. The City shall comply with the SNGLE AUDIT ACT and with OMB Circulazs A-133 and A-128 as supplemented byhaving an audit made in accordance with OMB Circulazs as required. (2) Green Reserve. Proiects. If all or part of the Project is designated as a Green Reserve Project, then City shall maintain separate tracking of the expenses related to an approved Green Reserve Project as described in Section 6.03(B). (B) Duty to Retain Records. The City shall retain all financial records and supporting documents and any other documents pertinent to the Project inaccordance with the requirements of 40 CFR Part 31 relating to Uniform Administrative Requirements for Grants and Cooperative Agreements with State and Local Govenments, and specifically with 40 CFR §31.42 relating to retention and access to records. The Board requires the City to retain all records related to this Agreement for a period of four (4) years after submission of final expenditure report and closeout. (C) Public Records. The City understands and agrees that all documents relating to this Agreement aze subject to the PUBLIC INFORMATION ACT, Tex. Gov't Code, Ch. 552, and that such documents may not be withheld from public disclosure, except in accordance with law and with the rulings of the Texas Attorney General. The City shall promptly respond to a request by the Board for copies of any of City records related to this Ageement: (D) Access to Records. (1) State Auditor. By executing this Agreement, the City accepts the authority of the Texas State Auditor's Office to conduct audits and investigations in connection with all funds received pursuant to this Agreement. The City shall comply with directives from the Texas State Auditor and shall cooperate in any such investigation or audit. The City agrees to provide the Texas State Auditor with access to any information the Texas State Auditor considers relevant to the investigation or audit. The City also agrees to include a provision in any Contract or Subcontract related to this Agreement that requires the contractor and the subcontractor to submit to audits and investigation by the State Auditor's. Office in connection with all funds received pursuant to the Contractor Subcontract. (2) Board EPA and Comptroller General of the United States. The City agrees that the Board, the EPA, and the Comptroller General of the United States shall have full access to any books, documents, papers, and records which are related to the funds expended under this Agreement and that further these federal entities may make audit, examination, excerpts, and transcriptions of any such books, documents, papers, and records pursuant to 40 CFR §31.36. City of Port Arthur 10 Project No. 73036 CWSRF-ARRA Grant Agreement The standazds of administration, property management, audit procedures, procurement and financial management, and the records and facilities of the City and its contractors aze subject to audit and inspectiomby the Board and by the EPA and by any other authorized State or federal entity. All books, documents, papers, and records of the City related to this Agreement shall be made available for audit, examination, excerption, and transcription by the staff of the Board within a reasonable time after a request from the Boazd. The City understands and agrees that the EPA's Regional Administrator may, after a thirty daywritten notice, review any records the Regional Administrator deems necessary to determine compliance with all federal requirements concerning the federal funds provided under this Grant Agreement. 6.06. GRANT CLOSEOUT. The City shall submit all financial, performance, and other reports within ninety (90) days of termination of the grant provided hereunder. Closeout of this grant does not affect City's requirements or the U.S. or State of Texas rights relating to audit and funds recovery, records retention, and property management. ARTICLE VII REPORTING REOIIIREMENTS 7.01. SUBMISSION OF REPORTS. The City shall comply with all federal and state reporting requirements applicable to the receipt and disbursement of ARRA funds, as detailed in a separate Reporting Agreement to be executed by and between the City and the Executive Administrator. No funds shall be released to reimburse expenses or for any other purpose uhless the City has complied with all of the ARRA reporting requirements. Compliance with reporting requirements means that the City has submitted accurate, timely reports as required by EPA, the OMB, and other applicable federal and state entities. 7.02. CONTRACTORS AND SUBCONTRACTORS MUST REPORT. The City shall require that any contractor or subcontractor paid with funds from this Agreement must submit reports pursuant to the Reporting Agreementbetween the Parties. 7.03. REGISTRATION WITH CENTRAL CONTRACTOR REGISTRATION (CCR). Pursuant t0 the FEDERAL FUNDING ACCOUNTABILITY AND TRANSPARENCY ACT OF 2006, Pub. L.109-282 and ARRA, the City will be required to obtain a Data Universal Numbering System (DUNS) Number and register with CCR, and maintain current registration at all times during which the Board loan agreement is active. or under construction. 7.04. ADDITIONAL REPORTING. The City agees to comply with. any additional or supplemental requirements or guidance related to ARRA reportingupon notification from the Boazd. Any change in reporting requirements shall be evidenced in the Parties' Reporting Agreement. City of Port Arthur 11 Project No. 73036 CWSRF-ARRA Grant Agreement ARTICLE VIII, PROJECT IMPLEMENTATION 8.01. PROJECT SCHEDULE. The City shall perform the obligations undertaken pursuant to this Agreement within the times specified in the Project Schedule; attached hereto and identified as EXHIBIT C. The $A, in his sole discretion, may terminate funding under this Agreement if City fails to adhere to the Project Schedule. 8.02. EXTENSION OF TIME. The City may request an extension of time to complete the Project by submitting a written request to the EA. The written request shall state the facts that require an extension of time. The EA, in his sole discretion, may grant or deny an extension of time and shall provide a response to the request in writing. 8.03. PROCUREMENT. (A) State Procurement Requirements. All purchases for goods, services or commodities made with funds provided under this Agreement shall comply with Texas state or local procurement and contracting laws, including the PROFESSIONAL AND CONSULTING SERVICES ACT, Tex. Gov't Code, Chapter 2254. (B) Federal Procurement Requirements. (1) State and Local Laws. Applicable State and local laws regarding procurement may be used when expending the federal funds received under this Agreement. City shall maintain a written code of standazds of conduct for their employees engaged in procurement and contract management. City is encouraged to use value engineering clauses in construction contracts and is required to procure construction contracts through a competitive process. (2) Disadvantaged Business Enterprises. The City agrees to ensure, to the fullest extent possible, that the stated DBE fair share percentages of federal funds for construction, supplies, services, and equipment are made available to organizations owned or controlled by socially and economically disadvantaged individuals, women, and historically black colleges and universities. The City agrees to comply with 40 CFR Part 33 relating to Participation by Disadvantaged Business Enterprises in U.S. EPA Programs.. The fair share goals are: Minority BusinessEnterprise: SERVICES 16.1%; SUPPLIES 9.7%; EQUIPMENT 7.2%; CONSTRUCTION 39.8%; Women Business Enterprise: SERVICES 21.3%,' SUPPLIES 5.2%; EQUIPMENT 4.1 %; CONSTRUCTION 6.7%. _ City of Port Arthur 12 Project No. 73036 CWSRF-ARRA Grant Agreement (3) Debarred and Suspended Vendors. Prior to selecting any contractor, the City shall ensure that the contractor is not listed on the federal Excluded Parties List System and is not suspended or disbarred by either the State of Texas or the federal government. See the following websites for for lists of suspended and debarred federal and state vendors: www.e ls. ov www window state tx us/procurement/proe/vendor~erformance/debarred (4) Prevailing W age Rates. Pursuant to section 5.06(B) of this Agreement, the City, its contractors and its subcontractors shall comply with the DAMS -BACON ACT and with 40 CFR §31.36 unless specifically stated otherwise herein. (5) Buy American. Pursuant to section 5.07 of this Agreement„each construction contract for the Project shall contain provision requiring compliance with Buy American pursuant to 2 CFR § 176.140. {6) No Geographic Preferences. The City shall not utilize any local geographic preferences contained in state or local procurement statutes when evaluating bids or proposals. (7) Preference for Recycled Materials. Pursuant to OMB Circular 102-A section 2(h), the City shall comply with the RESOURCE CONSERVATION AND RECOVERY ACT OF 1976 (RCRA), 42 U.S.C. §6962 by granting a preference for the purchase of specific `' products containing recycled materials identified in EPA guidelines set forth in 40 CFR Parts'247-253 when procuring goods or commodities with funds provided by this Agreement: 8.04. PLANS AND SPECIFICATIONS. (A) 'The City shall construct the Project pursuant to plans and specifications certified by an engineer licensed in the State of Texas and reviewed and approved by the Boazd. (B) Changes to Plans and Specifications /Green Reserve Proiects. The City agrees that any changes to the Board approved plans or specifications or Project scope for the Project, including any changes to the Green Reserve portion of the Project, as described in Section 6.03(B), shall not be implemented without the written approval of the EA. Any Project or portion of Project identified as a Green Reserve Project shall be constructed pursuant to the plans andspecifications as approved for funding under this Agreement. Pursuant to 40 CFR §31.30(d), NO REVISION TO THE SCOPE OR OBJECTIVES OF THE PROJECT SHALL BE PERMITTED WITHOUT THE PRIOR WRITTEN APPROVAL OF THE EA. (C) Federal Authorities. The City shall ensure compliance with the federal statutes (crosscutting Federal Authorities) listed in EXHIBIT D and applicable regulations. (D) Construction Activities. The City shallcomplywiththeNATtONALENVtRON,~tENTALPOLICY ACr and the implementing regulations at 40 CFR Part 6, Subparts A through C. City of Port Arthur 13 Project No. 73036 CWSRF-ARRA Grant Agreement 8.05. STOP WORK ORDER. The EA may issue a Stop Work Order (SWO), in writing, to the City at any time. The SWO shall provide the City with notice of the facts underlying the determination to issue the SWO. The SWO may require an immediate cessation of work or the cessation of work at a definite future date. The SWO shall provide the City with a definite limited time to cure the conditions underlying the SWO. , (A) ,The City's Response. The City shall respond to the SWO, in writing, and shall provide the EA with a detailed plan to address and cure the conditions underlying the SWO. The City shall provide the response within three (3) business days from his receipt of the SWO. (B) EA's Reply The EA may accept, reject, or amend the City's request for opportunity to cure and shall provide notice of such action to the City within three business days of receipt of the response. The EA may issue an amended SWO that allows resumption of work contingent upon the City execution of the plan to cure. The amended SWO may modify the City plan to cure only in a manner consistent with the terms and conditions of this Agreement. (C) The City's Option. The City shall notify the EA within three (3) business days whether he accepts the amended SWO. If the City does not accept the amended SWO, the EA shall terminate this Agreement. Upon successful completion of the plan to cure the conditions underlying the SWO, the City shall continue work to complete all obligations under this Agreement. 8.06. NSPECTION. The Boazd may inspect the Project site at any time. The Boazd may also inspect the City's programs related to the Project. If the EA fmds deficiencies or that the program or Project is being improperly of inadequately operated, then the EA may issue a SWO pursuant to Section 8.05 of this Agreement and require corrective action. ARTICLE IX. GENERAL PROVISIONS 9.01. COMPLIANCE WITH APPLICABLE LAWS. The City shall comply with all applicable provisions statutes and rules of the Board and more particularly with 31 TAC Chapter 375 and with all applicable federal regulations herein and regulations required by ARRA. The City shall comply with the applicable federal laws and rules listed in EXHIBIT D. 9.02. NO AGENCY. The City is an independent entity and not an agent of the State of Texas. The City shall not represent itself to be an agent of the State nor shall the City misrepresent its status under this Agreement. This Ageement creates a contractual relarionship only between the Parties. The City is solely responsible and liable for all payments to its engineering contractors and any other contractors or subcontractors engaged for work on the Project. City of Port Arthur 14 Project No. 73036 CW SRF-ARRA GrantAgreement 9.03. NO LOBBYING. The City agrees to comply with 40 CFR Part 34 relating to New Restrictions on Lobbying. The City understands and agrees that none of the funds provided under this Agreement shall be expended to pay any. person for influencing or attempting to influence an officer or employee of any federal, a Member of Congress, or any officer of employee of federal or of Members of Congress with regazd to the awarding of any federal contract; federal grant; federal loan, or the extension, continuation, renewal, amendment or modification of any federal contract, loan, or grant. 9.04. INSURANCE LICENSE AND PERMITS. The City is solely responsible for liability resulting from negligent acts or omissions of the City, its employees or agents. The City shall obtain such insurance in an amount sufficient to protect the interests of the Board and the Project. The City shall indemnify and hold the Board and the State of Texas harmless, to the extent that the City may do so in accordance with State law; from any and all losses, damages, liability or claims therefore, on account of personal injury, death, or property damage of any nature whatsoever caused by the City, its agents, employees, servants, or representative arising out of activities under this Agreement. The City shall be solely and entirely responsible for procuring all appropriate property rights, real or personal, easements; licenses, and permits that may be lawfully required by any competent authority for the City to perform the subject work. .9.05. FORCE MA7EURE. Uniess otherwise provided, neither the City nor the Board nor any agency of the State of Texas, shall be liable to the other for any delay in, nor failure of performance, of a requirement contained in this Agreement caused byforce majeure. The existence of such causes of delay or failure shall extend the period of performance until after the causes of delay or failure have been removed provided the non-performing party exercises all reasonable due diligence to perform. -Force majeure is defined as acts of God, war, strike, fires, explosions, or other causes that aze beyond the reasonable control of either party and that by exercise of due foresight such party could not reasonably have been expected to avoid, and which, by the exercise of all reasonable due diligence, such party is unable to overcome. Each party must inform the other in writing with proof of receipt within two (2) business days of the existence of such force majeure or otherwise waive this right as a defense. 9.06. ENTIRE AGREEMENT. This Agreement including all EXHIBITS attached hereto constitutes the entire agreement between the Board and the City and no prior or contemporaneous oral or written promises or representations shall be binding on either PARTY. The EXHIBITS attached aze fully incorporated into and aze part of this Ageement. (A) Modification. No modification of any provision of this Agreement shall be effective unless such modification is in writing and signed by authorized representatives ofeach party and is expressly stated to be a modification of this Agreement. (B) No Waiver. The failure of any party to insist upon the strict performance of any ofthe terms, provisions, or conditions of this Agreement shall not be construed as a waiver or relinquishment for the future of any such term, provision, or condition or any other term, provision, or condition. City of Port Arthur 15 Project No. 73036 CWSRF-ARRA Grant Agreement 9.07. TITLES. The titles of the Articles, Sections, Subsections, Pazagraphs, or Subparagraphs of this Agreement are intended strictly for the convenience of the Parties and shall have no effect and shall neither limit nor amplify the provisions of this Agreement itself. 9.08. TERM. This Agreement shall terminate on August 31, 2014 unless a written extension is executed by the Parties prior to August 31, 2014. The Board is not required to extend the termination date of this Agreement. 9.09. TERMINATION. The Board may terminate this Agreement at any time for cause or for convenience. Termination shall be effective thirty (30) days after written notice of the intent to terminate is received by the City. Upon receipt of such notice, the City shall immediately discontinue all work in connection with the performance of this Agreement and shall promptly cancel all existing orders or other financial commitments chargeable to funding provided pursuant to this Agreement. The City, upon receiving a termination notice, shall submit a statement showing in detail the work performed, any payments received by the City, and any. payments made by or due from the City to any contractor pursuant to the terms of this Agreement prior to the date .of termination. Within thirty (30) days, the City shall re-pay to the Board any funds ieceived from the Board that the City has not expended. The City shall have no remedy at law or in equity against the BOARD. THE BOARD,MAY TERMINATE THIS AGREEMENT EFFECTIVE IbIMEDIATELY AND WITHOUT PRIOR NOTICE IF City DOES NOT HAVE THE AUTHORIZED PROJECT UNDER CONSTRUCTION OR THE FUNDS PROVH)ED HEREUNDER COMMITTED TO A CONSTRUCTION CONTRACT BY FEBRUARY 17, 2010. 9.10. LAW and VENUE. The validity, operation, and performance of this Agreement shall be governed and controlled by the laws of the State of Texas, the TEXAS WATER CODE, the CLEAN WATER ACT, the ARRA and all applicable regulations, and the terms and conditions of this Ageement shall be construed and interpreted in accordance with the law of the State of Texas and applicable federal laws and regulations. Any legal proceeding arising out of this agreement shall be brought in the applicable state or federal court in Travis County, Texas. 9.11. NO DEBT CREATED CONTINGENT PAYMENT. The Parties agee and understand that by this Agreement the State of.Texas is not lending its credit to the City or in any other manner creating a debt on behalf of the State of Texas. Payments by the Boazd under this Agreement are subject to the availability of appropriated funds. 9.12. SEVERANCE. If one or more provisions in this Agreement is held to be null, void, voidable, or for any reasons whatsoever, of no force and effect, such provisions shall be construed as severable from the remainder of this Agreement and shall not affect the validity of any other provisions of this Agreement which shall remain of full force and effect. City of Port Arthur _ 16 Project No. 73036 •. CWSRF-ARRA GranYAgreement 9.13. NON-ASSIGNABLE. The terms and conditions ofthe financial assistance prodded bythis Agreement may not be assigned, transferred, or subcontracted in any manner without the express written consent of the Board. 9.14. NOTICES. All notices, notifications, or requests required orpermitted to be given under this Agreement, unless otherwise specified, shall be in writing and addressed as set forthbelow, and shall be given by personal delivery or transmitted by United States certified mail return receipt requested, postage prepaid, to the addresses of the PARTIES shown below. Notice shall be effective when received by the party to whom notice is sent, as follows: Texas Water Development Board .Attn: John Steib Director, ARRA Program P.O. Box 13231 Austin, Texas 78711-3231 Telephone {512) 463-7509 City of Port Arthur Attn:. Hon: Debris Prince, Mayor P.O. Box 1089 Port Arthur, TX 77641-1087 Telephone: 409-983-8105 This Agreement is effective on the date signed by the Executive Administrator. City of Port Arthur , Project No. 73036 ~ 17 CWSRF-ARRA Grant Agreement BOARD CONTRACT NO. G100003 ARRA FUNDS ' GRANT AGREEMENT SIGNATURE PAGE' TEXAS WATER DEVELOPMENT.BOARD J. Kevin Ward Executive Administrator CITY OF PORT ARTHUR, TEXAS eloris Prince Mayor. Date: City of Port Arthur • , Project No. 73036 • CWSRF-ARRA Grant Agreement Date: /~ - / D ' °'~ 18 K EXHIBIT A CITY OF PORT ARTHUR PROJECT SCOPE BOARD CONTRACT NO. G100003 (BOARD RESOLUTION NO. 09-104) ARRA FUNDS GRANT AGREEiVIENT The City of Port Arthur (City) wastewater collection system is experiencing si~rificant inflow. and infiltration and deterioration of pipe. The City proposes the rehabilitation of approximately forty miles of pipe in the proposed project. The project also includes the replacement and/or rehabilitation of wastewater treatment plant (WWTP) process components. City of Port Arthur 19 Project No. 73036 CWSRF-ARRA Grant Agreement EXHIBIT B CITY OF PORT ARTHUR PROJECT BUDGET BOARD CONTRACT NO. G100003 (BOARD RESOLUTION N0.09-104) ARRA FUNDS (:RANT AGREEMENT Board Local ~ ARRA TOTAL Pra'ect Items Commitment $ Share $ Share S Share S Construction $14,170,000.00 52,748,577.00 52,748,577.00 Contract65ewer rehabilitation ~ 52,813,306.00 52,813,306.00 Contract 7 Sewer rehabilitation 53,085,560.00 53,085,560.00 Contract 8 Sewer rehabilitation Contract 5 Pott Acres/ Main W WTP rehabilitation 55,210,462.00 55,210,462.00 $312,095.00 5312,095.00 Contract 2 Sewer rehabilitation Constmction Subtotal 514,170,000.00 50.00 514,170,000.00. 514.170,000.00 Land, Easements, ROW Engineering Planning Basic 50.00 - ,. $0.00 _ Environmental Surveying ' 50.00 Water Conservation Plan Permitting Other (specify) ~ , Design gamic ~ 50.00 Permitting .. Geotechnical $0.00 - Ocher(specify) Construction Basic 5305,000.00 5305,000.00 5305,000.00 Resident Inspection 5605,000.00 5605.000.00 5fi05,000.00 O&M Manual 50.00 Consinction Staking 50.00 Testing Other (s eci ) - Ex rnses Financial, Le al & Administrative Financial Advisor - Bond Counsel Bond Issuance Casts Bond Insurance , Attorney General - Other (specify) -Administration 50.00 Loan Origination Charge 50.00 Conlin encies 50.00 00 080 000 515 50.00 SI5,080,000.00 515,080,000.00 TOTAL , . , City of Port Arthur Project No. 73036 20 CWSRF-ARRA Grant Agreement EXHIBIT C CITY OF PORT ARTHUR PROJECT SCHEDULE- BOARD CONTRACT NO. G100003 (BOARD RESOLUTION N0.09-104) ARRA FUNDS GRANT AGREEMENT Execute En ineering Contract November 3, 2009 Start of Pro~ect. January 13, 2010 Com lete Pro~ect March 8, 2011 Grant Close Out December 8, 2011. City of Port Arthur 21 Project No. 73036 CWSRF-ARRA Grant Agreement EXHIBIT D CITY OF PORT ARTHUR LIST OF APPLICABLE FEDERAL LAWS AA'D AUTHORITIES FEDER~IL CROSS-CUTTERS BOARD CONTRACT NO. G100003 (BOARD RESOLUTION N0.09-104) ARRA FUNDS GRANT AGREEMENT ElY~'IR©1~tMENTAI~/NATU~L-~RE50URGES~AU'fHORITIES~ "~~~~~' Clean Air Act 42 USC §§7401 et seq. Coastal Barrier Resources Act 16 USC §§3501 et seq. Coastal Wetlands Planning, Protection and Restoration Act 16 USC §§3951 et seq. Coastal Zone Management Act 16 USC §§1451 et seq. Endangered Species Act 16 USC §§ 1531 et seq. Farmland Protection Policy Act 15 USC §§1539-1549 , Federal Water Pollution Control Act 33 U.S.C. §§ 1251 et seg. Fish and Wildlife Coordination Act 16 USC §§661-667e Magnunson-Stevens Fishery Conservation & Management Act 16 USC §§ 1800-1884 Safe Drinking Water Act 42 USC §§300f-300j-26 Wild and Scenic Rivers Act 16 U.S.C. §§1271-1287 Executive Order No. 12898 (relating to Environmental Justice) Executive Order No. 11988 (relating to Flood Plain Management) Executive Order No. 12148 (relating to Flood Plain Management) Executive Order No. 11990 (relating to the Protection of Wetlands) City of Port Arthur Project No. 73036 22 CWSRF-ARRA Grant Agreement ~GIYIL RI„~HTS EQUAT. EMPL~O~hiENT OPPORT[INTTY ADA~AUTHORITTES ~ ~~ Age Discrimination Act of 1967 29 USC §§621. et seq. Civil Rights Act of 1964 Rehabilitation Act of 1973 Executive Order No Executive Order No Businesses) Executive Order No Executive Order No Executive Order No Businesses)- 11246 (relating to Equal Employment Opportunities) 11625 (relating to Women, Minority-Owned 11250 (relating to the Rehabilitation Act) 11914 (relating to the Rehabilitation Act) 12138 (relating to Women, Minority-Owned 42 USC §§ 1971 et seq. ' 29 USC §§501 et seq. C T RAIL T.~O CRI ~sAiTT ORITIES s , ~ " ~,,~~ ~ ~ ~ ~~~ Archeological and Historic Preservation Act 16 USC §469 National Historic Preservation Act 16 USC'§470 rECONOMICOT>HER7EG~AL~A~7THORTTIES ~~ ~~~ _~~-V~ .,~~ =~ Demonstration Cities and Metropolitan Development Act 42 USC §3334 Drug-Free Workplace Act 41 USC §701 New Restrictions on Lobbying 31 USC § 1352 Uniform Relocation and Real Property Acquisition Policies Act 42 USC §§4601 et seq. Executive Order No. 12549 (relating to Debarment and Suspension) Executive Order No. 12372 (relating to Demonstration Cities Act) Executive Order No. 11738 (relating to Federal Grants and Loans) City of Port Arthur Project No. 73036 ~ 23 CWSRF-ARRA Grant Agreement Historical Preservation/Antiquities Antiquities Act Archeological and Historic Preservation Act Archeological Resources Protection Act Historic Sites, Buildings and Antiquities Act National Historic Preservation Act Coastal Zone/Bavs/Estuarv Protection Coastal Wetlands Planning, Protection and Restoration Act Coastal Zone Management Act Estuaries and Clean Waters Act The Estuary Protection Act Fish and Wildlife Programs Endangered Species Act Federal Aid in Wildlife Restoration Act Fish & Wildlife Act , Fish and Wildlife Conservation Act Fish and Wildlife Coordination Act Magnusson-Stevens Fishery Conservation & Management Act Migratory Bird Conservation Act National Wildlife Refuge System Administration Act Refuge Recreation Act Sustainable Fisheries Act Forest Preservation Proarams Cooperative Forestry Assistance Act Forest and Rangeland Renewable Resources Planning Act National Forest Management Act National Trails System Act Land Preservation/Conservation Pro rams Farmland Protection Policy Act Federal Land Policy and Management Act Land and Water- Conservation Fund Act Wilderness Act City of Port Arthur ' Project No. 73036 24 CWSRF-AItRA Grant Agreement, Watershed/Flood/Rivers Programs Flood Control Act Land and Water Conservation Fund Act Recreation and Public Purposes Act Water Resources Planning Act , Watershed Protection and Flood Prevention Act Wild and Scenic Rivers Act Wetlands Programs Coastal Wetlands Planning, Protection and Restoration Act Emergency Wetland Resources Act North American Wetlands Conservation Act City of Port Arthur Project No. 73036 CWSRF-ARRA Grant Agreement 25 Exhibit B -Reporting Agreement S:1Finance~Resolutions\PR ]5670 TWDB Grant.doc Reporting Agreement Clean Water State Revolving Fund American Recovery and Reinvestment .Act of -2009 TEXAS WATER DEVELOPMENT BOARD AND CITY OF PORT ARTHUR ORANGE AND JEFFERSON COUNTIES, TEXAS TWDB CONTRACT NO. G100003 " TWDB BOARD COMMITMENT NO. 09-104 FEDERAL GRANT AWARD NO. 2W-96692401 ' CFDA NO. 66.458 REPORTING AGREEIVTENT Clean Water State Revolving Fund Project Financing under the AMERICAN RECOVERYAIV'D REINVESTi'fIENTRCT OF 2009 This Reporting Agreement is between the TEXAS WATER DEVELOPMENT BOARD (the "Board' or "TWDB") an agency of the State of Texas and the City of Port Arthur located in Orange and Jefferson Counties, Texas (the "City"). The City has applied for a grant in the amount of ~15,08Q,000 from the Clean Water State Revolving Fund - American Recovery and Reinvestment Act of 2009 ("ARRA") Special Capitalization Grant to provide funds to finance certain wastewater system improvements. Compliance with certain reporting requirements under ARRA and the TWDB's administration of the ARRA Special Capitalization Grant is a material condition for the City's financing. Accordingly, and in consideration of the mutual covenants and agreements contained in this Agreement, the Boazd and the City agree as follows: ' ARTICLE 1: INTRODUCTION Section 1.01. SCOPE OF REPORTING AGREEMENT. The City agrees and assures that by accepting ARRA funds through this Agreement it, its contractor(s), and its subcontractor(s) will fully comply with the requirements under the Federal Funding Accountability and Transparency Act of 2006, the Government Funding Transpazency Act of 2008, and § 1512(c) of ARRA, and any requirements that may hereafter be issued by the federal government or the State of Texas to ensure compliance with ARRA and other related federal and state laws. Further, it is understood that this Agreement is subject to all applicable terms and conditions of ARRA. It is anticipated that future guidance on requirements for tracking and reporting expenditures of ARRA funds will be issued by the Director of the federal Office of Management and Budget ("OMB") or other, federal or state agencies.. The City specifically assures that it, its contractor(s), and its subcontractor(s) will comply with all such requirements, as published at any time during the Agreement period. Section 1.02. DEFINITIONS. In addition to all other words and terms defined herein, and unless a different meaning or intent clearly appeazs from the context, the following words and terms shall have the following meanings, respectively, whenever they are used herein: r ARRA -The AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009, (Pub.L. 111-5). Agreement -This Reporting Agreement, together with all exhibits attached, and all amendments and supplements to this Agreement. Agreement Period -This Reporting Agreement will be in effect through completion of the Project. City of Port Arthur Project No. 73036 2 CWSRF-ARRA Reporting Agreement ARTICLE II: GENERAL REQIIIREMENTS Section 2.01. REQUIRED DATA ELEMENTS. The City shall require that any contractor or subcontractor that is or will be paid with ARRA funds pursuant to this Agreement to submit timely reports to the City containing the necessary data elements described in §1512(c) of ARRA, 2 CFR Part 176, and any other reporting elements deemed necessary under federal and state statutes and regulations. Specifically, the City will be responsible for reporting the number of jobs created or retained expressed as full- time equivalent, a narrative description of the employment impact of the ARRA funded work, the total amount of job hours created or retained, the total amount of wages paid for job hours created or retained, the Data Universal Number System ("DUNS') number, or if not available, the name and zip code of the vendor's headquarters, for payments made to.vendors greater than 525,000, and the percent of project completion. Section 2.02. DEADLINES & PROCEDURES. The City agrees to follow all procedures and deadlines for reporting expenditures of ARRA funds as set out in the attached Reporting Guidance. Section 2.03. SEGREGATION AND PAYMENT OF COSTS. ARRA funds must remain. segregable and be tracked and reported separately from other sources of funds used for the Project from the date of commitment under TWDB Resolution No. 09-104 through completion of the Project. Financial and accounting systems should be revised as necessary to segregate, track and maintain these ARRA funds apart and sepazate from other revenue streams. No part of the funds from ARRA shall be commingled with any other funds or used for a purpose other than thaf of making payments for costs allowable for the Project. _ Section 2.04. DATA COLLECTION AND ACCESS TO RECORDS. Section 1514 and 1515 of ARRA gives the federal Environmental Protection Agency ("EPA") Office of Inspector General ("OIG") responsibility for review of ARRA funded projects and provides authority to examine all records of the City including contracts or subcontracts and anyone else involved in the Project. The City agrees to compile, maintain, and allow the EPA, the Boazd, and any other authorized state or federal entity to inspect information pertaining to programs or activities developed as a result of the City's awazd of funds under ARRA. The City understands and agrees that the Board's acceptance of this information is not a representation of its accuracy or completeness. Section 2.05. REGISTRATION WITH CENTRAL CONTRACTOR REGISTRATION. Pursuant to the Federal Funding Accountability and Transparency Act, Pub. I;. 109-282 (2006), as may be amended, and ARRA, the City will be required to obtain a DUNS Number, to register with.. Central Contractor Registration ("CCR"), and to maintain current registration at all times through completion of the Project. Section 2.06. ADDITIONAL REPORTING. additional or supplemental requirements or requirements upon notification from the Board. City of Port Arthur Project No. 73036 CWSRF-ARRA Reporting Agreement. The City agrees to comply with any guidance related to ARRA reporting 4 ARTICLE IIL ENFORCEABILITY Section 3.01 STRICT COMPLIANCE REQUIRED FOR REPORTING. No ARRA funds shall be released for reimbursement of expenses or for any other purpose unless the City has complied with all ARRA reporting requirements. Compliance with reporting requirements means that the City has submitted accurate, timely reports as required under ARRA and ARTICLE II of this Agreement. Section 3.02. ADMINISTRATIVE REMEDIES FOR NONCOMPLAINCE. If the City fails to comply with all applicable federal and state requirements governing the use of ARRA funds, the Boazd may withhold or suspend, in whole or in part, funds awarded under the program, or may initiate a civil or administrative proceeding to recover misspent funds. This provision is in addition to all other remedies for recovery ofmisspent ARRA funds available to the Board under all applicable federal and state statutes and regulations. .Section 3.03. CIVIL AND CRIMINAL SANCTIONS FOR FALSE STATEMENTS. The City understands that it is a federal crime under 18 U.S.C. Section 1001, in any matter within the jurisdiction of the executive branch of the U.S. Government, to knowingly and willfully make any materially false, fictitious, or fraudulent statement or representation, or to make or use any false writing or document knowing that it. contains the same. The City understands that presenting a false.or fraudulent claim; in whole or in part, or causing same, may subject the City to civil and/or criminal penalties as .provided for under the False Claims Act, 31 U.S.C. Section-3729 - 3733. The City understands that it is a felony offense under Section 37.10; Texas Penal Code, to knowingly make a false entry in, or false alteration of, a government record, or to make, present, or use a governmental record with knowledge of its falsity, when the actor has the intentto harm or defraud another. ' In WITNESS WHEREOF, the Texas Water Development Board and the City have executed this Agreement and it shall become effective on the date of the Executive Administrator's signature: TEXAS WATER DEVELOPMENT BOARD CITY OF PORT ARTHUR J. Kevin Wazd Executive Administrator -e ~"/'Y~/I~r~' eloris Prince Mayor Date: ~ '~' ~ /U - D 9 City of Port Arthur Project No. 73036 CWSRF-ARRA Reporting Agreement