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5/] 1/10 <br /> stated i n s uch no tice. If t erminated f or c ause, C ITY s hall be relieved of f urther liability o r <br /> responsibility under this Agreement, or as a result of the termination thereof, including the payment <br /> of money, except for payment for approved expenses incurred for services satisfactorily and timely <br /> performed prior to the mailing or service of the notice of termination, and except for reimbursement <br /> of (1) any pa yments m ade f or s ervices no t s ubsequently pe rformed i n a t imely a red s atisfactory <br /> manner, and (2) costs incurred by CITY in obtaining substitute performance. <br /> D. The g rant of funds un der t his A greement m ay b e t erminated f or co nvenience i n <br /> accordance with 24 CFR 85.44. <br /> E. The g rant of funds un der t his A greement m ay be terminated due t o t he non - <br /> performance of SUBRECIPIENT and/or failure of SUBRECIPENT to perform the work described <br /> in E xhibits A a red B or failure t o m eet t he pe rformance s tandards a red pr ogram g oals s et f orth <br /> therein. <br /> F. In t he ev ent this A greement is terminated as s et f orth i n s ubparagraphs X ILA. <br /> through X II.E.,inclusive, S UBRECIPIENT a grees t o i mmediately r eturn t o C ITY upon C ITY's <br /> demand and prior to any adjudication of SUBRECIPIENT's rights, any and all funds not used, and <br /> to comply with paragraph "XI. REVERSION OF ASSETS" of this Agreement. <br /> XIII. LIMITATION OF FUNDS <br /> The United States of America, through HUD, may in the future place programmatic or fiscal <br /> limitations on the use of CDBG funds which limitations are not presently anticipated. Accordingly, <br /> CITY reserves the right to revise this Agreement in order to take account of actions affecting HUD <br /> program funding. In the event of funding reduction, CITY may, in its sole and absolute discretion, <br /> reduce t he b udget o f t his A greement as a w hole o r as t o co sts cat egory, m ay 1 imit t he r ate o f <br /> SUBRECII'IENT's authority to commit and spend funds, or may restrict SUBRECIPIENT's use of <br /> both i is u recommitted a red i is u nspent f ands. W here H UD ha s di rected or r equested C ITY t o <br /> implement a reduction in funding, in whole or as to a cost category, with respect to funding for this <br /> Agreement,CITY's C ity M anager o r d elegate i s authorized to a ct f or C ITY i n i mplementing a red <br /> effecting s uch a r eduction a red i n r evising,modifying, or a mending t he A greement f or s uch <br /> purposes. I f s uch a r eduction i n funding occurs, SUBRECIPIENT s hall be permitted to de -scope <br /> accordingly. W here C ITY h as r easonable g rounds to que stion S UBRECIPIENT's f fiscal <br /> accountability, financial soundness, or c ompliance w ith this A greement, CITY m ay s uspend t he <br /> operation of this A greement f or up t o s ixty (60) da ys upon f five (5) days w ritten no tice to <br /> SUBRECIl'IENT of its intention to so act, pending an audit or other resolution of such questions. <br /> In no e vent, h owever, s hall a ny r evisions m ade b y C ITY a ffect e xpenditures a red 1 egally bi nding <br /> commitments made by SUBRECIPIENT before it received notice of such revision, provided that <br /> such a mounts ha ve been c ommitted i n g ood f aith a red a re o therwise a llowable a red t hat s uch <br /> <br /> commitments are consistent with HUD cash withdrawal guidelines. <br /> 14 <br /> 25L-16 <br /> <br />