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<br />5/05 <br /> <br />there is on file with the agency a certification by the contractor that the contractor and its <br />subcontractors have complied with the provisions of 29 C.F.R. ~5.5. . A breach of the contract <br />clauses in 29 C.F.R. ~5.5 may be grounds for termination of the contract, and for debarment as a <br />contractor/subcontractor, as provided in 29 C.F.R. ~5.12. Labor standards interviews/investigations <br />shall be made as necessary to assure compliance [29 C.F.R. ~5.6(a)(3)]. <br /> <br />V. Drug Free Workplace. SUBRECIPIENT certifies that it has established the <br />following drug-free workplace policy: <br /> <br />I. The unlawful manufacture, distribution, dispensing, possession or use of a controlled <br />substance is prohibited in the workplace for any employee involved in a federally funded program. <br /> <br />2. As an employee working in conjunction with a federally funded program, the <br />employees of SUBRECIPIENT will be required to: <br /> <br />a) Abide by the terms above in statement I. <br />b) NotifY appropriate officials of SUBRECIPIENT and CITY officials of any <br />criminal drug statute conviction for a violation occurring in the workplace not later than five <br />days after such conviction. <br /> <br />3. The United State Department of Housing and Urban Development will be notified <br />within ten days after receiving notice of any such violation. <br /> <br />4. Within 30 days of receiving such notice, appropriate personnel action will be <br />taken against such employee, up to and including termination. <br /> <br />Each such employee shall be required to participate satisfactorily in a drug abuse assistance or <br />rehabilitation program approved for such purposes by a federal, state or local health, law <br />enforcement, or other appropriate agency. <br /> <br />II. CITY'S OBLIGATIONS <br /> <br />A. Payment of Funds. Upon execution of this Agreement by SUBRECIPIENT, CITY shall <br />pay to SUBRECIPIENT from CDBG funds, when, if and to the extent received from HUD, for <br />CITY's 2006-07 CDBG program year amounts expended by SUBRECIPIENT in carrying out said <br />program for 2006-07 pursuant to this Agreement up to a maximum aggregate payment of Fourteen <br />Thousand Dollars ($14.000) in installments determined by CITY. Payments shall be made to <br />SUBRECIPIENT through the submission ofinvoices on a quarterly basis (October, January, April <br />and July) in a form prescribed by CITY, detailing such expenses. CITY shall pay such invoices <br />within thirty (30) days after receipt thereof provided CITY is satisfied that such expenses have been <br />incurred and documented within the scope and provisions ofthis Agreement and that <br />SUB RECIPIENT is in compliance with the terms and conditions ofthis Agreement, and in <br />compliance with Title X and the LBP Regs. <br /> <br />15 <br />