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City of Santa Ana <br />State Water Board Grant Agreement No. 14-449-550 <br />Amendment 1 <br />Page 15 of 21 <br />17, INCOME RESTRICTIONS: The Grantee agrees that any refunds, rebates, credits, or other amounts <br />(including any interest thereon) accruing to or received by the Grantee under this Agreement shall be paid by <br />the Grantee to the State, to the extent that they are properly allocable to costs for which the Grantee has <br />been reimbursed by the State under this Agreement. <br />18. INDEPENDENT ACTOR: The Grantee, and its agents and employees, if any, in the performance of this <br />Agreement, shall act in an independent capacity and not as officers, employees or agents of the State Water <br />Board. <br />19, INSPECTION: The State Water Board, the Bureau of State Audits, or any authorized representative of the <br />foregoing, shall have suitable access to the Project site at all reasonable times during Project implementation <br />and thereafter for the useful life of the Project to ascertain compliance with this Agreement and its goals. <br />The Grantee acknowledges that the Project records and location are public records. <br />20, INSURANCE: Throughout the life of the Project, the Grantee shall maintain a self-insurance program against <br />fire, vandalism and other loss, damage, or destruction of the facilities or structures constructed pursuant to <br />this Agreement, if any. Proof of such a program must be provided by the Grantee to the State Water Board. <br />The Grantee shall notify the State Water Board in writing of any material amendment to the self -insurer's <br />articles, charter, or agreement of incorporation, association or co -partnership which alters its coverage of the <br />Project. In the event of any damage to or destruction of the Project or any larger system of which it is a part, <br />the net proceeds of insurance shall be applied to the reconstruction, repair or replacement of the damaged <br />or destroyed parts of the Project or its larger system. The Grantee shall begin such reconstruction, repair, or <br />replacement as expeditiously as possible and shall pay out of such net proceeds all costs and expenses in <br />connection with such reconstruction, repair or replacement so that the same shall be completed and the <br />larger system shall be free of all claims and liens. <br />21. NONDISCRIMINATION: <br />a. During the performance of this Agreement, the Grantee and its consultants and contractors shall not <br />unlawfully discriminate, harass, or allow harassment against any employee or applicant for employment <br />because of sex, race, color, ancestry, religious creed, national origin, sexual orientation, physical <br />disability (including HIV and AIDS), mental disability, medical condition (cancer), age (over 40), marital <br />status, and denial of family care leave. <br />b. The Grantee, its consultants, and contractors shall ensure that the evaluation and treatment of their <br />employees and applicants for employment are free from such discrimination and harassment. <br />c. The Grantee, its consultants, and contractors shall comply with the provisions of the Fair Employment and <br />Housing Act (Gov. Code, § 12990) and the applicable regulations promulgated thereunder (Cal. Code <br />Regs., tit. 2, § 7285 et seq.). The applicable regulations of the Fair Employment and Housing <br />Commission implementing Government Code section 12990, set forth in Chapter 5 of Division 4 of Title <br />2 of the California Code of Regulations, are incorporated into this Agreement by reference and made a <br />part hereof as if set forth in full. <br />d. The Grantee, its consultants, and contractors shall give written notice of their obligations under this <br />clause to labor organizations with which they have a collective bargaining or other Agreement, if any. <br />e. The Grantee shall include the nondiscrimination and compliance provisions of this clause in all <br />subcontracts to perform work under the Agreement. Failure by the Grantee to carry out these <br />requirements and applicable requirements of 40 C.F.R. part 33 is a breach of a material provision of this <br />Agreement which may result in its termination. <br />22. NO THIRD PARTY RIGHTS: The parties to this grant Agreement do not create rights in, or grant remedies <br />to, any third party as a beneficiary of this grant Agreement, or of any duty, covenant, obligation or <br />undertaking established herein. <br />