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E. The grant of funds tinder this Agreement may be terminated due to the non - performance of <br />SUBRECIPIENT and/or failure of SUBRECIPENT to perform the work described in Exhibits A and B or failure to <br />meet the performance standards and program goals set forth therein. <br />F, In the event this Agreement is terminated as set forth in subparagraphs XILA. through XILR, <br />inclusive, SUBRECIPIENT agrees to immediately return to CITY upon CITY's demand and prior to any adjudication <br />of SUBRECIPIENT's rights, any and all funds not used, and to comply with paragraph "XI. REVERSION OF <br />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 limitations on <br />the use of CDBG funds which limitations are not presently anticipated. Accordingly, CITY reserves the right to <br />revise this Agreement in order to take account of actions affecting HUD program funding. In the event of funding <br />reduction, CITY may, in its sole and absolute discretion, reduce the budget of this Agreement as a whole or as to costs <br />category, may limit the rate of SUBRECIPIENT's authority to commit and spend funds, or may restrict <br />SUBRECIPIENT's use of both its uncommitted and its unspent funds. Where HUD has directed or requested CITY <br />to implement a reduction in funding, in whole or as to a cost category, with respect to funding for this Agreement, <br />CITY's City Manager or delegate is authorized to act for CITY in implementing and effecting such a reduction and hr <br />revising, modifying, or amending the Agreement for such purposes. If such a reduction in funding occurs, <br />SUBRECIPIENT shall be permitted to de -scope accordingly. Where CITY has reasonable grounds to question <br />SUBRECIPIENT's fiscal accountability, financial soundness, or compliance with this Agreement, CITY may suspend <br />the operation of this Agreement for up to sixty (60) days upon five (5) days written notice to SUBRECIPIENT of its <br />intention to so act, pending an audit or other resolution of such questions. In no event, however, shalt any revisions <br />made by CITY affect expenditures and legally binding commitments made by SUBRECIPIENT before it received <br />notice of such revision, provided that such amounts have been committed in good faith and are otherwise allowable <br />and that such commitments are consistent with HUD cash withdrawal guidelines. <br />XIV. EXCLUSIVITY AND AMENDMENT OF AGREEMENT <br />This Agreement supersedes any and all other agreements, either oral or in writing, between the parties hereto <br />with respect to the use of CITY's CDBG funds by SUBRECIPIENT and contains all the covenants and agreements <br />between the parties with respect to such employment in any manner whatsoever. Each party to this Agreement <br />acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by <br />any party, or anyone acting on behalf of any party, which are not embodied herein, and that no other agreement or <br />amendment hereto shall be effective unless executed in writing and signed by both CITY and SUBRECIPIENT. <br />XV. LAWS GOVERNING THIS AGREEMENT <br />This Agreement shall be governed by and construed in accordance with the laws of the State of California, <br />and all applicable federal laws and regulations. <br />XVI. CLOSE -OUT <br />The SUBRECIPIENT agrees to comply with the closeout procedures detailed in 2 CPR §200.343, <br />including the following: <br />1. SUBRECIPIENT must submit, no later than ninety (90) calendar days after the <br />end date of the period of performance, all financial, performance, and other reports as required by the <br />terms and conditions of the Federal award; <br />13 <br />25C -15 <br />