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(1). Insurance coverage will not be canceled or changed unless 30 days prior <br />to the effective date of cancellation or change written notice is sent by <br />the Subrecipient to. <br />Employment Development Department <br />Central Office Workforce Services Division <br />Financial Management Unit <br />P. 0. Box 826880, MIC 69 <br />Sacramento, CA 94280-0001 <br />(2), State of California, its officers, agents, employees and servants are <br />included as additional insured, but only insofar as the operations under this <br />subgrant agreement are concerned. <br />(3). The State of California is not responsible for payment of premiums or <br />assessments on this policy. <br />7. Resolution <br />A county, city, district or other local public body must provide the state with a <br />copy of a resolution, order, motion, or ordinance of the local governing body which <br />by law has authority to enter into an agreement, authorizing execution of this <br />subgrant agreement. Preferably resolutions should authorize a designated position <br />rather than a named individual. <br />8. Funding <br />It is mutually understood between the parties that this subgrant agreement may have <br />been written before ascertaining the availability of congressional and legislative <br />appropriation of funds, for the mutual benefit of both parties, in order to avoid <br />program and fiscal delays which would occur if the subgrant agreement was executed <br />after that determination was made. <br />This subgrant agreement is valid and enforceable only if (1) sufficient funds <br />are made available by the State Budget Act of the appropriate state fiscal years <br />covered by this subgrant agreement for the purposes of this program, <br />and (2) sufficient funds available to the state by the United States Government for <br />the fiscal years covered by this subgrant agreement for the purposes of this program. <br />In addition, this subgrant agreement is subject to any additional restrictions, <br />limitations, or conditions enacted by the Congress and Legislature or <br />any statue enacted by the Congress and Legislature which may affect the <br />provisions, terms, or funding of this subgrant agreement in any manner. <br />a). At the expiration of the terms of this subgrant agreement or upon termination <br />prior to the expiration of this subgrant agreement, funds not obligated for the <br />purpose of this subgrant agreement will be immediately remitted to the <br />Pass -through Entity, and no longer available to the Subrecipient. <br />b). The Pass -through Entity retains the right to suspend financial assistance, <br />in whole or in part, to protect the integrity of the funds or to ensure proper <br />operation of the program, providing the Subrecipient is given prompt notice and <br />the opportunity for an informal review of the Pass -through Entity's decision. The <br />EDD Chief Deputy Director or his designee will perform this informal review and <br />will issue the final administrative decision within 60 days of receiving the <br />written request for review. Failure on the part of the Subrecipient or a <br />Subcontractor of the Subrecipient to comply with the provisions of this <br />subgrant agreement, or with the WIOA or regulations, when such failure involves <br />fraud or misappropriation of funds, may result in immediate withholding of funds. <br />c). The local Chief Elected Official (CEO) of a unit of general local government <br />designated as a Local Workforce Development Area (Local Area) shall be <br />liable to the EDD for all funds not expended in accordance with WIOA, and <br />shall return to the EDD all of those funds. If there is more than one unit of <br />general local government in a Local Area, the CEO(s) will be the individual(s) <br />Page 10 of 21 <br />