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Wagner-Peyser Act, Title 38 of the United States Code, and other employment and training <br />programs at the state and local level. <br />Subrecipient will consult with the appropriate labor organizations and/o r employer <br />representatives in the design, operation or modification of the programs under this <br />subgrant agreement. <br />5. Subcontracting <br />a). Any of the work or services specified in this subgrant agreement which will be <br />performed by other than by the Subrecipient will be evidenced by a written agreement <br />specifying the terms and conditions of such performance. <br />b). The Subrecipient will maintain and adhere to an appropriate system, consistent <br />with federal, state and local law, for the award and monitoring of contracts which <br />contain acceptable standards for insuring accountability. <br />c). The system for awarding contracts will contain safeguards to insure that the <br />Subrecipient does not contract with any entity whose officers have been convicted <br />of fraud or misappropriation of funds within the last two years. <br />6.Insurance <br />Except for city and county governmental entities. Subrecipients must provide the <br />Pass- through Entity evidence of the coverage specified in a, b, c and d below. The <br />evidence of coverage shall include the registration number of the subgrant agreement <br />for identification purposes. <br />a). Subrecipient will obtain a fidelity bond in an amount of not less than <br />prior to the receipt of funds under this subgrant agreement. If the bond is <br />canceled or reduced, Subrecipient will immediately notify the Pass -through Entity. <br />In the event the bond is canceled or revised, the Pass -through Entity will make no <br />further disbursements until it is assured that adequate coverage has been obtained. <br />b). Subrecipient will provide general liability insurance with a combined limit of <br />$1,000,000, or public liability and property damage coverage with a combined limit <br />of not less than $1,000,000. <br />c). Subrecipient will provide broad form automobile liability coverage with limits <br />as set forth in (b) above, which applies to both owned/leased and non -owned <br />automobiles used by the Subrecipient or its agents in performance of this subgrant <br />agreement. Or, in the event that the Subrecipient will not utilize owned/leased <br />automobiles but intends to require employees, trainees or other agents to utilize <br />their own automobiles in performance of this subgrant agreement, Subrecipient <br />will secure and maintain on file from all such employees, trainees or agents a <br />self -certification of automobile insurance coverage. <br />d). Subrecipient will provide worker's compensation insurance, which complies with <br />provisions of the California Labor Code, covering all employees of the <br />Subrecipient and all participants enrolled in work experience programs. Medical <br />and Accident Insurance will be carried for those participants not qualifying as <br />"employee" (Section 3350. et seq. of the California Labor Code) for worker's <br />compensation. <br />a). The Pass -through Entity will be named as "Certificate Holder" of policies secured <br />in compliance with paragraphs 6(a-d) above and will be provided certificates of <br />insurance or insurance company "binders" prior to any disbursement of funds <br />under this subgrant agreement, verifying the insurance requirements have been <br />complied with. The coverage noted in paragraphs 6(b) and 6(c) above must contain <br />the following clauses: <br />Page 9 of 21 <br />