55C - RESO - WORKFORCE INVESTMENT ACT

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WIA SUBGRANT AGREEMENT Exhibit HB Subgrantee: SANTA ANA WORK CENTER Page 5 of 14 SUBGRANT NO: R970558 MODIFICATION NO: NEW state and local law, for the award and monitoring of contracts which contain acceptable standards for insuring accountability. c'). The system for awarding contracts will contain safeguards to insure that the Subgrantee does not contract with any entity whose officers have been convicted of fraud or misappropriation of funds within the last two years. 6. Insurance Except for city and county governmental entities, Subgranteea must provide the Subgrantor evidence of the coverage specified in a, b, c and d below. The evidence of coverage shall include the registration number of the subgrant agreement for identification purposes. a). Subgrantee will obtain a fidelity bond in an amount of not less than N /A prior to the receipt of funds under this subgrant agreement. If the bond ie canceled or reduced, Subgrantee will immediately so notify the Subgrantor. In the event the bond is canceled or revised, the Subgrantor will make no further disbursements until it is assured that adequate coverage has been obtained. b). Subgrantee will provide general liability insurance with a combined limit of $1,000,000 or public liability and property damage coverage with a combined limit of not less than $1,000,000. c). Subgrantee will provide broad form automobile liability coverage with limits as set forth in (b) above, which applies to both owned/leased and non-owned automobiles used by the Subgrantee or its agents in performance of this aubgrant agreement, or, in the event that the Subgrantee will not utilize owned/leased automobiles but intends to require employees, trainees or other agents to utilize their own automobiles in performance of this subgrant agreement, Subgrantee will secure and maintain on file from all such employees, trainees or agents a self-certification of automobile insurance coverage. d). Subgrantee will provide Worker's Compensation Insurance, which complies with provisions of the California Labor Code, covering all employees of the Subgrantee and all participants enrolled in work experience programs. Medical and Accident insurance will be carried for those participants not qualifying as "employee" (Section 3350, et seq. of the California Labor Code) for Worker's Compensation. e). The Subgrantor will be named as "Certificate Holder" of policies secured in compliance with paragraphs a-d above and will be provided certificates of insurance or insurance company "binders" prior to any disbursement of funds under this subgrant agreement, verifying the insurance requirements have been complied with. The coverage noted in b and c above must contain the following clauses: (1). Insurance coverage will not be canceled or changed unless 30 days prior to the effective dat8 of cancellation or change written notice is sent by the Subgrantee to: Employment Development Department WIA - Financial Management IInit P.O. Box 626880, MIC 69 Sacramento, CA 94280-0001 (2). State of California, its officers, agents, employees and servants are included as additional insured, but only insofar ae the operations under this subgrant agreement are concerned. (3). The State of California is not responsible for payment of premiums or assessments on this policy 7. Resolution A county, city, district or other local public body must provide the state with a copy of a resolution, order, motion, or ordinance of the local governing body which by law has authority to enter into an agreement, authorizing execution of this subgrant agreement. Preferably resolutions should authorize a designated position rather than a named individual. Funding It is mutually understood between the parties that this subgrant agreement may have been written before ascertaining the availability of congressional and legislative appropriation of funds, for the nfutual benefit of both parties, in order to avoid program and fiscal delays which would occur if the aubgrant agreement was executed after that determination was made. This subgrant agreement is valid and enforceable only if (1) sufficient funds-are made available by the State Budget Act of the appropriate state fiscal years covered by this subgrant agreement for the purposes of this program and; (2) sufficient funds available to the state by the United States Government for the fiscal years covered by this subgrant agreement for the purposes of this program. In addition, this subgrant agreement is subject to any additional restrictions, limitations, or conditions enacted by the Congress and Legislature or any statue enacted by the 55C-10