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5!05 <br />ther party. In the event of such termination, SU BRECI PI ENT shall only be entitled to reim- <br />bursement for approved expenses incurred to the effective date of termi nation. <br />B. This Agreement maybe suspended or terminated by CITY upon five (5) days' written <br />noti ce for vi of ad on by SU BRECI PI ENT of Federal, state and/or I ocal I aws govern ng the use of <br />Emergency Shelter Grant funds Furthermore, the SU BRECI PI ENT shall comply with the Con - <br />di ti onal Use permi t requi repents For fai I ure to comp) y wi th the aforementi oned terms, suspen- <br />si on or termi nati on shal I resul t, and SU B RECI PI ENT shal I onl y be enti tl ed to rei mbursanent for <br />approved expenses i ncurred up to the effective date of psi on or termi nati on. <br />C. In the event SU B RECI PI ENT defaults by failing to fulfill all or any of its obligations <br />hereunder, CITY may ded are a default and termination of the Agreement by written notice to <br />SUBRECI PI ENT, which default and termination shall be effective on a date stated in the notice <br />whi ch i s to be not I ess than ten (10) days after certifi ed mai I i ng or personal servi ce of such no- <br />tice, <br />o- <br />tice, unless such default is cured before the effective date of termination stated in such notice. If <br />terminated for cause, CITY shall be relieved of further I i abi I ity or responsi bi I i ty under this <br />Agreement, or as a resul t of the termi nati on thereof, i nd udi ng the payment of money, except for <br />payment for approved expenses incurred for services sati sfactori I y and ti mel y performed prior to <br />the mai I i ng or cervi ce of the noti ce of termi nation, and except for rei mbursement of (1) any <br />payments made for services not subsequently performed in a ti mel y and satisfactory manner, and <br />(2) costs i ncurred by Cl TY i n obtai ni ng substi tote performance. <br />D. The grant of funds under this Agreernent maybe terminated for convenience. <br />E. The grant of funds under this Agreement maybe terminated due to the non- <br />performance of SUBRECI PIENT and/or failure of SUBRECI PENT to perform the work de- <br />scri bed i n Exhi bi is A and B or fai 1 ure to meet the performance standards and program goal s set <br />forth therei n. <br />F. I n the event thi s Agreement i s termi nated as set forth i n Secti on X.A through X. E, i n - <br />d usi ve, SU BRECI PI ENT agrees to i mmedi atel y return to CI TY, upon Cl TY's danand and pri or <br />to any adj udi cad on of SU B RECI PI ENT's ri gh% any and al I funds not used under thi s Agree- <br />ment. <br />XII. LIMITATION OF FUNDS <br />The U ni ted States of America, through HUD, may, in the future, place programmatic or <br />fiscal I i mitati ons on the use of ESG funds which I i mi tati ons are not presently anticipated. Ac- <br />cordi ngl y, Cl TY reserves the ri ght to revi se thi s Agreement i n order to take account of acti ons <br />affecti ng H U D program fundi ng. I n the event of fundi ng reducti on, Cl TY may, i n i is sol a and <br />absol ute discretion, reduce the budget of this Agreement as a whole or as to costs category, may <br />I i mi t the rate of SU B RECI PI ENT's authori ty to commi t and spend funds, or may restri ct SU B- <br />RECI PI ENT's use of both its uncommitted and its unspent funds Where HUD has directed or <br />requested Cl TY to i mpl anent a reducti on i n fundi ng, i n whol a or as to a cost category, wi th re- <br />spect to fundi ng for thi s Agreement, Cl TY's Ci ty M anagen or del agate i s authori zed to act for <br />20 <br />