SANTA ANA UNIFIED SCHOOL DISTRICT 1a -2010

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was chosen through a request -for -qualification process that the Parties believe was a fair, competitive selection process consistent with Government Code section 4529.12 and consistent with the federal rules of procurement. C. The City acknowledges that the District is undertaking design and construction of the Project. The MPR/CC shall be designed substantially to conform with the Scope of Development attached hereto as Exhibit B, and incorporated by reference. D. Upon completing construction and DSA certification of the MPR/CC, the District will provide to City a complete set of record drawings of the MPR/CC. 2. Payment for MPR/CC Architectural Services. A. The City shall pay for the cost of architectural services from design to DSA certification for the MPR/CC for a not -to -exceed total amount of One Hundred Twenty -Seven Thousand Eight Hundred Twelve Dollars ($127,812). The City shall make payment within thirty (30) days following receipt of a proper invoice evidencing the work performed. B. The Architect has agreed to separately invoice for completing the design of the MPR/CC, preparation of construction documents, and construction administration so that the Parties can determine the cost of those efforts as part of the design of the Project. IV. Add the Following Provisions to Paragraph 28. Terms Required Based on CDBG Funding.: H. Compliance with Law/Program Income. District acknowledges that the funds being provided by City for said project are received by City pursuant to the CDBG Program, as amended, and that expenditures of CDBG funds must be in accordance with the CDBG Program and its requirements. Upon the expiration of this Agreement, any unexpended CDBG funds received by District shall be returned to City unless otherwise provided for in this Agreement or directed by the City. District agrees to comply fully with all federal, state and local laws and court orders applicable to its operation. Program income means gross income received by the recipient or a subrecipient directly generated from the use of CDBG funds. It is the gross income from the use or rental of real property, owned by the recipient or by a subrecipient, that was constructed or improved with CDBG funds, less costs incidental to generation of the income. I. Administrative Requirements/Cost Principles/Audit Standards. The following requirements and standards of 24 CFR § 570.502 must be complied with by the District: 24 CFR Part 85, §§ 85.3, 85.6, 85.12, 85.20, 85.21, 85.22, 85.26, 85.32, 85.33, 85.34, 85.35, 85.36, 85.37, 85.40, 85.41, 85.42, 85.43, 85.44, 85.51, and 85.52; OMB Circular A-87, Cost Principles for State, Local, and Indian Tribal Governments; and OMB Circular A-133, Audits of State and Local Governments. This includes separate accounting of costs for the MPR/CC. J. Subpart K of 24 CFR Part 570. District will carry out its activities in compliance with the requirements of Subpart K of 24 CFR Part 570; however, District does not assume the City's environmental responsibilities or the responsibility for initiating the environmental review process under 24 CFR Part 52 or City's responsibilities under 24 CFR § 570.604.