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South Coast Contract No, ML14012 <br />Air Quality Management District Glean Transportation <br />MomFunding from the MSRC <br />AS 2766/MSRC LOCAL GOVERNMENT MATCH PROGRAM CONTRACT <br />1, PARTIES - The partles to this Contract are the South Coast Air Quality Management District (hereinafter <br />referred to as "SCAQMD' whose address is 21865 Copley Drive, Diamond Bar, California 91765.4178, and <br />the City of Santa Ana (hereinafter referred to as 'CONTRACTOR") whose address is 20 Civic Center Plaza, <br />Santa Ana, California 92701, <br />2, RECITALS <br />A. SCAQMD is the local agency with primary responsibility for regulating stationary source air pollution <br />within the geographical boundaries of the South Coast Air Quality Management District in the State of <br />California (State), SCAQMD is authorized under State Health & Safety Code Section 44225 (AB 2766) <br />to levy a fee on motor vehicles for the purpose of reducing air pollution from such vehicles and to <br />implement the California Clean Air Act, <br />B, Under AS 2766, SCAQMD's Governing Board has authorized the imposition of the statutorily set motor <br />vehicle fee. By taking such action, the State's Department of Motor Vehicles (DMV) is required to collect <br />such fee and remit it periodically to SCAQMD, <br />C. AS 2766 further mandates that thirty (30) percent of such vehicle registration fees be placed by <br />SCAQMD Into a separate account for the sole purpose of implementing and monitoring programs to <br />reduce air pollution from motor vehicles, <br />D, AS 2766 creates a regional Mobile Source Air Pollution Reduction Review Committee (MSRC) to <br />develop a work program to fund projects from the separate account. Pursuant to approval of the work <br />program by SCAQMD's Governing Board, SCAQMD authorized this Contract With CONTRACTOR for <br />equipment or services described in Attachment 1- Statement of Work, expressly incorporated herein by <br />this reference and made a part hereof of this Contract. <br />E. CONTRACTOR has met the requirements for receipt of AB 2766 Discretionary Funds as set fotfh in <br />CONTRACTOR's Local Government Match Program Application /Proposal dated 'October 10, 2013, <br />F. CONTRACTOR is authorized to do business in the State of California and attests that it is in good tax <br />standing with the California Franchise Tax Board, <br />G. All parties to this Contract have had the opportunity to have this Contract reviewed by their attorney, <br />3, DMV FEES � CONTRACTOR acknowledges that SCAQMD cannot guarantee that the amount of fees to be <br />collected under AB 2766 will be sufficient to fund this Contract. CONTRACTOR further acknowledges that <br />payment under this Contract is contingent upon SCAQMD receiving sufficient funds from the DMV, and that <br />SCAQMD assumes no responsibility for the collection and remittance of motor vehicle registration fees, <br />4, AUDIT AND RECORDS RETENTION <br />A. CONTRACTOR shall, at least once every two years, or within two years of the termination of the <br />Contract if the term is less than two years, be subject to an audit by SCAQMD or its authorized <br />representative to determine If the revenues received by CONTRACTOR were spent for the reduction of <br />pollution from motor vehicles pursuant to the Clean Air Act of 1988. <br />B. CONTRACTOR agrees to maintain records related to this Contract during the Contract term and <br />continue to retain these records for a period of two years beyond the Contract term, except that in no <br />case shall CONTRACTOR be required to retain more than the most recent five years' records, <br />SCAQMD shall coordinate such audit through CONTRACTOR'S audit staff, <br />20D -3 <br />