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Page 1 | 2025 Subrecipient Agreement – [NEW LIFE COMMUNITY DEVELOPMENT AGENCY]
AGENCY SERVICE AGREEMENT
Between the City of Bremerton and City of Bremerton Public Works Department
Contract # __________________
COMMUNITY DEVELOPMENT BLOCK GRANT
HUD Grant # B-25-MC-53-0011
AN AGREEMENT, by and between City of Bremerton hereinafter referred to as “City” and, New Life
Community Development Agency hereinafter referred to as “Agency” by which the Agency agrees to carry out
specific activities under City of Bremerton’s Community Development Block Grant Program and establishing certain
other terms and conditions of operation.
IT IS MUTUALLY AGREED AS FOLLOWS:
ARTICLE I. PROJECT
SECTION 1. SCOPE OF SERVICES
The City, as recipient of a Community Development Block Grant (CDBG) from the United States
Department of Housing and Urban Development (HUD), hereby designates the Agency to undertake, in a
satisfactory and proper manner, as determined by the City, and the Agency hereby agrees to undertake, the tasks
necessary to conduct the program/project outlined in Exhibit “A”.
SECTION 2. PROJECT SUMMARY
Project Details
Project Name: Marvin Williams Recreation Center Rehab
Funded Amount: $53,000
Action Plan Year: 2025
Type of Project Public Facility
Service Area: Bremerton
Project Location 725 Park Avenue, Bremerton, WA 98337
Eligibility
National Objective: 24 CFR 570.208(a)(2)(i)
Basic Eligible Activity Citation: 24 CFR 570.201(c) Public facilities and improvements
Matrix Code: 03E
UEI RZ2NSDNRRLG9
Performance Measures
Object of Activity: Suitable Living Environments
Outcome: Availability/Accessibility
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Federal Contract Requirements- 2 CFR Part 200
UEI Number: RZ2NSDNRRLG9
Federal Award Identifier Number
(FAIN): B-25-MC-53-0011
Research or Development
Contract: No
Indirect Cost (IDC) Rate for
Federal Award No
Approved Rate Yes
De Minimis for IDC Rate Not applicable
SECTION 3. TERM OF AGREEMENT
The term of this Agreement is April 30, 2026 through April 30, 2027 but may be extended pursuant to an
amendment to this Agreement as authorized in Article IV, Section 9 (Amendments to Agreement). Should
additional time for auditing this project be required, in accordance with law, this Agreement shall be deemed
automatically extended until such time as the said audit shall be completed. In any event, the term of this
Agreement shall cover the period that the Agency has control over Community Development Block Grant funds,
including program income.
SECTION 4. Conditional Commitment
Notwithstanding any provision of this Agreement, the parties hereto agree and acknowledge that this
Agreement does not constitute a commitment of funds or site approval, and that such commitment of funds or
approval may occur only upon satisfactory completion of environmental reviews and receipt by the City of a release
of funds from the U.S. Department of Housing and Urban Development, if required as determined by the City, and a
notice to proceed from the City. The parties further agree that the provision of any funds to the project is
conditioned on the City’s discretionary decision to proceed with, modify or cancel the project, based on the results
of environmental reviews.
The Agency shall not undertake or commit any funds to physical or choice limiting actions, including
acquisition, demolition, movement, rehabilitation, conversions, repair or construction prior to the environmental
clearance. Violation of this Section may result in the denial of any funds under this Agreement
SECTION 5. PROGRAM REPORTING
The Agency shall submit the Performance Report and the Demographic Report quarterly, as applicable,
due 10 days after the end of each quarter, as required by the City to meet its local obligations and its obligation to
the U.S. Department of Housing and Urban Development. The required report format is provided in EXHIBIT “B”
of this Agreement.
(A) Quarterly reports which shall include the progress made to date, or justification for lack of progress, in
providing the services specified in Article I, Section 1 Scope of Services, of this Agreement according to the
schedule for completion in Article 1 Section 3 Schedule for Completion of this Agreement.
(B) Quarterly reports on demographic, neighborhood residence, and income information regarding persons
assisted by the Agency through this Agreement.
(C) Semi-Annual budget reconciliation which will compare your approved budget with actuals for year-to-date.
(D) Close out reports including a final performance report, inventory of all property acquired or improved with
CDBG funds, and final financial report, upon termination or completion of the award.
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ARTICLE II. FINANCIAL CONDITIONS
SECTION 1. BUDGET AND COMPENSATION
The City shall reimburse the Agency using HUD funding for allowable costs, as determined by the City, in
an amount not to exceed Fifty-Three Thousand Dollars for the services described in EXHIBIT “A”.
The City shall reimburse the Agency for the performance of this Agreement upon completion or partial
completion of the work tasks as accepted and approved by the City pursuant to the submittal of monthly progress
and demographic reports. Payments shall be made upon receipt of a proper invoice in the format provided in
EXHIBIT “C” of this Agreement.
Such reimbursement shall constitute full and complete payment by the City under this Agreement.
Allowable costs shall mean those necessary and proper costs identified in EXHIBIT “D” and approved by the City
unless any or all such costs are disallowed by the State of Washington or the United States.
Any reimbursements made under this Agreement must comply with the applicable requirements of 2CFR
Part 200, Subpart D. The Agency may not request disbursement of funds under this Agreement until the funds are
needed for eligible costs. The amount of each request must be limited to the amount needed.
Project Budget:
See EXHIBIT “D”, Project Budget
Time of Payment: Payment shall be made upon receipt of reimbursement request voucher mailed to:
CDBG Office, City of Bremerton Department of Community, 345 6th Street Suite 100, Bremerton, WA 98337-
1869.
Where Payments Are Made: Payments shall be made to: 345 6th Street STE 100, Bremerton WA 98337
The Agency shall apply the funds received from the City under this Agreement in accordance with the Budget
Summary outlined in Exhibit D. Any request for a line-item expense change shall be submitted in writing and shall
specifically state the reasons for the requested increase and a justification for the corresponding decrease in other
line-item(s). All budget revision and/or amendment requests will be reviewed and approved or denied by the City.
SECTION 2. DOCUMENTATION OF COSTS AND OTHER FINANCIAL REPORTING
All costs shall be supported by properly executed payrolls, time records, invoices, vouchers or other official
documentation, as evidence of the nature and propriety of the charges. All accounting documents pertaining in
whole or in part to this Agreement shall be clearly identified and readily accessible, and upon reasonable notice, the
City and United States shall have the right to audit the records of the Agency as they relate to the work. The
Agency shall also:
(A) Maintain an effective system of internal fiscal control and accountability for all CDBG funds and property
acquired or improved with CDBG funds, and make sure the same are used solely for authorized purposes.
(B) Keep a continuing record of all disbursements by date, check number, amount, vendor, description of items
purchased and line item from which money was expended, as reflected in the Agency’s accounting
records. The line item notations must be substantiated by a receipt, invoice marked “Paid,” or payroll
record.
(C) Maintain payroll and financial records for a period of six (6) years after receipt of final payment under this
Agreement provided that this program has been monitored by HUD and the annual State audit (which
included the CDBG Program), has been completed.
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(D) Permit inspection and audit of its records with respect to all matters authorized by this Agreement by
representatives of the City the State Auditor or the United States at any time during normal business hours
and as often as necessary.
(E) Inform the City concerning any funds allocated to the Agency, that the Agency anticipates will not be
expended during the Agreement period, and permit reassignment of the same by the City to other
agencies.
(F) Repay to the City any funds in its possession at the time of termination of this Agreement that may be due
to the City or the United States.
(G) Maintain complete records concerning the receipt and use of all program income. Program income shall be
reported on a monthly basis on forms provided by the City.
SECTION 3. REIMBURSEMENT
The City shall reimburse the Agency only for actual incurred costs upon presentation of a properly
executed invoice in a form approved by the City. Only those allowable costs directly related to the Agency’s
application, approved by the City shall be paid consistent with Article II Section 2 Documentation of Costs and
Other Financial Reporting. The Amount of each request must be limited to the amount needed for payment of
eligible costs.
Notwithstanding any other provisions in this section, reimbursement for construction contracts shall have
ten percent (10%) of the payment retained until close out of funds pursuant to Article IV, Section 12 of this
Agreement.
In the event the City or United States determines any funds were expended by the Agency for unauthorized
or ineligible purposes or the expenditures constitute disallowed costs in any other way, the City or United States
may order repayment of the same. The Agency shall remit the disallowed amount to the City within thirty (30) days
of written notification of the disallowance.
(A) The Agency agrees that funds determined by the City to be surplus upon completion of the Agreement will
be subject to cancellation by the City.
(B) The Agency agrees that upon expiration of this Agreement, the Agency shall transfer to the City any CDBG
funds on hand at the time of expiration and any accounts receivable attributable to the use of CDBG funds.
(C) The City shall be relieved of any obligation for payments if funds allocated to the City cease to be available
for any cause other than misfeasance of the City itself.
(D) The City reserves the right to withhold payments pending timely delivery of program reports or documents
as may be required under this Agreement.
SECTION 4. PROGRAM INCOME
This project shall not generate any program income
This project may generate program income. Use of any program income received by the Agency with CDBG
funds under this Agreement shall comply with 24 CFR 570.504(c), consistent with the provisions described as
follows.
If authorized above, program income generated from the use of CDBG funds that is allowed to be retained by the
Agency will be considered additional CDBG funds, subject to all conditions applicable to the use of funds described
in this Agreement. All program income shall be substantially disbursed for eligible activities before additional
requests for reimbursement are made to the City. Program income not used in this manner shall be returned to the
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City. Complete records shall be maintained on the receipt and use of all program income. Any program income on
hand when this Agreement is terminated, or received after such termination, shall be reimbursed to the City.
ARTICLE III. FEDERAL CONDITIONS
SECTION 1. BENEFIT TO LOW INCOME PEOPLE
All Agencies providing direct benefit services shall provide such services to benefit very low and low
income persons to the maximum extent feasible (but not less than 51%). Individual persons or families provided a
specific direct benefit or service must qualify under Federal Income Limits as established by HUD. Any deviation
can be made only if it is clear that the service or benefit, to a person who income exceeds very low and low income
persons, is otherwise necessary as an integral part of the activity. The Agency shall maintain records that clearly
document the income range and households size of the persons it serves. Furthermore, the Agency shall maintain
records documenting if the person being served is a female head of household, is handicapped, and/or is an
ethnic/racial minority.
SECTION 2. UNIFORM ADMINISTRATIVE REQUIREMENTS
(A) Agencies which are governmental entities (including public agencies), shall comply with the requirements
and standards of 2 CFR part 200 Uniform Administrative Requirements, Cost Principles and Audit
Requirements.
(B) All agencies are to procure audit services based on 2 CFR Part 200, Subpart F; and
(1) The Agency shall maintain its records and accounts so as to facilitate the audit requirement and
shall ensure that all contractors (performing all or part of the services under this Agreement under a
separate contract with the Agency) also maintain auditable records.
(2) The Agency is responsible for any audit exceptions incurred by its own organization or that of its
Contractors.
(3) The City of Bremerton reserves the right to recover from the Agency all disallowed costs resulting
from the audit.
(4) Responses to any unresolved management findings and disallowed or questioned costs shall be
included with the audit report. The Agency must respond to the City of Bremerton requests for
information or corrective action concerning audit issues within (30) days of the date of request.
SECTION 3. SEPARATION OF CHURCH AND STATE
In addition to, and not in substitution for, other provisions of this Agreement regarding the provision of
services utilizing CDBG funds the Agency agrees that, in connection with such services:
(A) It will not discriminate against any employee or applicant for employment on the basis of religion and will
not limit such services or give preference to persons on the basis of religion;
(B) It will not discriminate against any person applying for such public services on the basis of religion and will
not limit such services or give preference to persons on the basis of religion;
(C) It will provide no religious instruction or counseling, conduct no religious worship or services, engage in no
religious proselytizing, and exert no other religious influence in the provision of such services;
(D) The portion of a facility used to provide services assisted in whole or in part under this Agreement shall
contain no sectarian or religious symbols or decorations while it is being used to provide CDBG funded
services.
SECTION 4. NON-DISCRIMINATION IN EMPLOYMENT AND PURCHASING
The Agency shall comply with Executive Order 11246 as amended by Executive Order 12086 and the
regulations issued pursuant thereto (41 CFR Chapter 60) which provide that no person shall be discriminated
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against on the basis of race, color, religion, sex, or national origin in all phases of employment during the
performance of Federal or federally assisted construction contracts. The Agency shall take affirmative action to
ensure fair treatment in employment, upgrading, demotion, or transfer, recruitment or recruitment advertising, layoff
or termination, rates of pay, or other forms of compensation and selection for training and apprenticeship. The
Agency shall ensure compliance with 24 CFR 570.601. Specifically, the Agency shall ensure that provisions as
follows are included in all construction contracts awarded in excess of $10,000 and monitor compliance:
(A) The Contractor will, in all solicitations or advertisements for employees placed by or on behalf of the
Contractor, state that all qualified applicants will receive consideration for employment without regard to
race, color, religion, sex, or national origin.
(B) The Contractor will send to each labor union or representative of workers with which he had a collective
bargaining Agreement or other contract or understanding, a notice to be provided by the agency
contracting officer, advising the labor union of workers’ representative of the contractor’s commitments
under Section 202 of Executive Order 11246 of September 24, 1965, and shall post copies of the notice in
conspicuous places available to employees and applicants for employment.
(C) The Contractor will furnish all information and reports required by Executive Order 11246 of September 24,
1965, and by the rules, regulations, and order of the Secretary of Labor, or pursuant thereto, and will permit
access to his books, records, and accounts by the contracting agency and the Secretary of Labor for
purposes of investigation to ascertain compliance with such rules, regulations, and orders.
(D) In the event of the Contractor’s noncompliance with the nondiscrimination clauses of this Agreement or with
any of such rules, regulations, or orders, this Agreement may be cancelled, terminated or suspended in
whole or in part and the Contractor may be declared ineligible for further Government contracts in
accordance with procedures authorized in Executive Order 11246 of September 24, 1965, and such other
sanctions in Executive Order 11246 of September 24, 1965, or by rule, regulation, or order of the Secretary
of Labor, or as otherwise provided by law.
(E) The Contractor will include the provisions of this Section (Article III (4)) in every subcontract or purchase
order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to Section
204 of executive Order 11246 of September 24, 1965, so that such provisions will be binding upon each
subcontractor or vendor. The Contractor will take such action with respect to any subcontract or purchase
order as may be directed by the Secretary of Labor as a means of enforcing such provisions including
sanctions for noncompliance; provided, however, that in the event the Contractor becomes involved in, or is
threatened with, litigation with a subcontractor or vendor as a result of such direction, the Contractor may
request the United States to enter into such litigation to protect the interests of the United States.
SECTION 5. LOCAL EMPLOYMENT AND PURCHASING
Funding under this Agreement is subject to the requirements of Section 3 of the Housing and Urban
Development Act of 1968, as amended, 12 USC 1701u. the Agency agrees to comply with provisions of said
Section 3 and the regulations issued pursuant thereto by the Secretary of Housing and Urban Development set
forth in 24 CFR Part 75, and all applicable rules and orders of the Department of Housing and Urban Development
issued there under. The Agency agrees that they are under no contractual or other disability which would prevent
them from complying with these requirements.
Section 3 requires that to the greatest extent feasible, opportunities for training and employment be given
to lower income residents of the project area and Agreements for work in connection with the project be awarded to
business concerns which are located in or owned in substantial part by persons residing in, the area of the project.
Section 3 applies to training, employment, contracting and other economic opportunities arising in connection with
the expenditure of housing assistance and community development assistance that is used for the following
projects: 1. Housing rehabilitation (including reduction and abatement of lead based paint hazards, but excluding
routine maintenance repair and replacement); 2. Housing construction; and 3. Other public construction.
SECTION 6. CONFLICT OF INTEREST
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No member, officer, or employee of the Agency, or its designees or agents, no member of the governing
body of the locality in which the program is situated, and no other public official of such locality or localities who
exercises any function or responsibilities with respect to the program during his tenure or for one year thereafter,
shall have any interest, direct or indirect, in this Agreement or any Subagreement, hereto or the proceeds thereof.
The Agency shall take appropriate steps to assure compliance including incorporation of the following
provision in every Subcontract:
The Contractor covenants that no person who presently exercises any functions or responsibilities in
connection with the City of Bremerton CDBG Program will obtain a personal or financial interest from the
CDBG assisted activity. The Contractor further covenants that he/she presently has no interest in, nor shall
he/she acquire any interest, direct or indirect, either for themselves or those with whom they have
business, or family, which would conflict in any manner or degree with the performance of his/her services
hereunder. The contractor further covenants that in the performance of this Agreement any potential
conflict, on the part of the Contractor or his/her employees, will be disclosed to the Agency and the City.
SECTION 7. DISPLACEMENT, RELOCATION, ACQUISTION AND REPLACEMENT OF HOUSING
` The Agency shall comply with the requirements relating to displacement, relocation, acquisition and
replacement of housing, outlined in 24 CFR CFR § 570.606. The Agency shall take all reasonable steps to
minimize displacement of persons (families, individuals, businesses, non-profit organizations and farms) as a result
of activities assisted with CDBG funds. Any action by the Agency which may result in the displacement of persons
under 24 CFR § 570.606 must receive prior written approval from the City.
SECTION 8. DAVIS BACON AND RELATED ACTS
The Agency shall comply with the requirements of 24 CFR § 570.603, and the Davis-Bacon and Related
Acts (DBRA), 40 U.S.C. 3141 et. seq., when the contract for construction, alteration, and/or repair exceeds $2,000,
or involves the rehabilitation of property with 8 units or more, is federally assisted, and involves the employment of
laborers and/or mechanics to perform the work. The Agency shall comply with the Copeland “Anti-Kickback” Act (40
U.S.C. 3145), as supplemented by the Department of Labor regulations, 29 CFR Part 3. For any agreement in
excess of $100,000 that involves the employment of mechanics or laborers, the Agency shall also comply with the
Contract Work Hours and Safety Standards Act, 40 U.S.C. 3701-3708 and 29 CFR Part 5.
SECTION 9. LEAD BASED PAINT
The Agency shall comply with HUD Lead-Based Regulations (24 CFR Part 35, Subparts A, B, J, K and R),
which require elimination, as far as practical, of immediate hazards, due to the presence of paint in residential
structures which may contain lead to which children under six years of age may be exposed.
SECTION 10. DISCRIMINATION PROHIBITED
(A) The Agency shall not, on the grounds of race, color, sex, religion, national origin, creed, marital status, or
age:
(1) Deny a qualified individual any facilities, financial aid, services or other benefits provided under this
Agreement;
(2) Provide any facilities, services, financial aid, or other benefits which are different, or are provided in
a different manner, from those provided to others under this Agreement;
(3) Subject an individual to segregated or separate treatment in any facility in, or in any matter if
process related to receipt of any service or benefit under this Agreement;
(4) Restrict an individual in any way in access to, or in the enjoyment of any advantage or privilege
enjoyed by others in connection with any service or benefit under this Agreement;
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(5) Treat anyone differently from others in determining if they satisfy any admission, enrollment,
eligibility, membership or other requirement or condition which the individual must meet to be
provided a service or benefit under this Agreement;
(6) Deny anyone an opportunity to participate in any program or activity as an employee which is
different from that afforded others under this Agreement.
(B) The Agency shall abide by all applicable provisions of Section 504 of the HEW Rehabilitation Act of 1973
as amended (implemented in 24 CFR part 8) prohibiting discrimination against handicapped individuals,
and the Age Discrimination Act of 1975 (implemented in 24 CFR part 146) prohibiting discrimination on the
basis of age, either through purpose or intent.
(C) If assignment and/or subcontracting has been authorized in writing, said assignment or subcontract shall
include appropriate safeguards against discrimination in client services binding up on each contractor or
subcontractor. The Agency shall take such action as may be required to ensure full compliance with the
provisions of this section, including sanctions for noncompliance.
SECTION 11. ARCHITECTURAL BARRIERS ACT/AMERICANS WITH DISABILITIES ACT
The Agency shall meet the requirements, where applicable, of the Architectural Barriers Act and the Americans
with Disabilities Act, as set forth in 24 CFR 570.614. A building or facility designed, constructed, or altered with
funds allocated or reallocated under the CDBG program after December 11, 1995 and that meets the definition of
“residential structure” as defined in 24 CFR part 40.2 or the definition of “building” as defined in 41 CFR part 101-
19.602(a) is subject to the requirements of the Architectural Barriers Act of 1968 (42 USC 4151-4157) and shall
comply with the Uniform Federal Accessibility Standards (Appendix A to 24 CFR part 40 for residential structures,
and Appendix A to 41 CFR part 101-19, subpart 101-19.6, for general type buildings). The Americans with
Disabilities Act (“ADA”) (42 USC 12131; 47 USC 155, 210, 218 and 255) requires that the design and construction
of facilities for first occupancy after January 26, 1993 must include measures to make them readily accessible and
usable by individuals with disabilities. The ADA further requires the removal of architectural barriers and
communication barriers that are structural in nature in existing facilities, where such removal is readily achievable --
that is, easily accomplishable and able to be carried out without much difficulty or expense.
SECTION 12. FLOOD DISASTER PROTECTION
The Agency agrees to comply with section 202(a) of the Flood Disaster Protection Act of 1973 (43 U.S.C.
4106) and the regulations in 44 CFR parts 59 through 79.
SECTION 13. REVERSION OF ASSETS.
In accordance with 24 CFR § 570.503(b)(7), upon the expiration of this Agreement, Agency agrees to
transfer to the City any CDBG funds on hand at the time of expiration and any accounts receivable attributable to
CDBG funds. Agency shall also ensure that any real property under Agency’s control that was acquired or
improved with CDBG funds, including loaned funds, in excess of $25,000 is either
(a) used to meet one of the national objectives set forth in 24 CFR § 570.208 until five (5) years after the
expiration of this Agreement, or such longer time as determined by the City; or
(b) if not used in accordance with subsection (a) above, Agency agrees to pay the City an amount equal to
the current market value of the property less any portion of the value attributable to expenditures of
non-CDBG funds for the acquisition of, or improvement to, the property. Such payment shall be treated
as program income by the City. However, no such payment is due after the period of time specified in
subsection (a) above.
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SECTION 14. DEBARMENT AND SUSPENSION.
The Agency agrees to certify that it is not presently debarred, suspended, proposed for debarment,
declared ineligible, or voluntarily excluded by any Federal department or agency in accordance with Executive
Orders 12549 and 12689, 2 CFR Part 2424
SECTION 15. OTHER PROGRAM REQUIREMENTS
The Agency shall carry out each activity in compliance with all Federal laws and regulations described in
Subpart K of 24 CFR 570, regardless if the law is specifically stated in this Agreement, except that:
(A) The Agency does not assume the City’s environmental responsibilities described in Section 570.604; and
(B) The Agency does not assume the City’s responsibility for initiating the review process under Executive
Order 12372.
(C) For Agreements in excess of $150,000, the Agency agrees to comply with the Clean Air Act, 42 U.S.C.
7401-7671q, and the Federal Water Pollution Control Act, 22 U.S.C. 1251-1387.
(D) The Agency agrees to comply with the Byrd Anti-Lobbying Amendment, 31 U.S.C. 1353, where applicable.
(D) If the Agreement involves the acquisition or improvement of real property or equipment, the Agency agrees
to comply with the provisions of 2CFR 200.310 – 200.316.
SECTION 16. BUILD AMERICA, BUY AMERICA ACT.
The Agency must comply with the requirements of the Build America, Buy America (BABA) Act, 41 USC
8301 note, and all applicable rules and notices, as may be amended, if applicable to the Agency’s infrastructure
project. Pursuant to HUD's Notice, "Public Interest Phased Implementation Waiver for FY 2022 and 2023 of Build
America, Buy America Provisions as Applied to Recipients of HUD Federal Financial Assistance" (88 FR 17001),
any funds obligated by HUD on or after the applicable listed effective dates, are subject to BABA requirements,
unless excepted by a waiver. The Act requires Buy America preference for projects with a total project cost of more
than $250,000.
SECTION 17. PUBLIC FACLITY ACTIVITES
The Agency must comply with the requirements of 24 CFR 570.201(c) which describes eligible activities
and provisions for activities involving public facilities. When such facilities are owned by nonprofit entities or
subrecipients, they shall be operated so as to be open for use by the general public during all normal hours of
operation. Public facilities and improvements eligible for assistance under this paragraph are subject to the policies
in § 570.200(b).
ARTICLE IV: GENERAL CONDITIONS
SECTION 1. COMPLIANCE WITH LAWS
The Agency, in performance of this Agreement, agrees to comply with all applicable Federal, State and
Local Laws and ordinances, and the rules and regulations promulgated by the U.S. Department of Housing and
Urban Development, including but not limited to Federal Community Development Block Grant Regulations,
Washington Law Against Discrimination, and other policies and guidelines established for the City of Bremerton
CDBG Program by the Bremerton City Council. Agency agrees to comply with all provisions of the Americans With
Disabilities Act and all regulations interpreting or enforcing such act. Agency agrees to comply with the National
Environmental Policy Act (NEPA) through the entire course of the project. The Agency agrees to certify that it is not
presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded by any Federal
department of agency in accordance with Executive Orders 12549 and 12689, 24 C.F.R. Pt. 24. Additionally the
Agency will certify to anti-lobbying as required by 31 U.S.C. 1352.
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Further the parties agree to the addition of the following as required by Appendix II to 2 CFR Part
200, all contracts entered into by the Subrecipient under this Agreement must include the following
provisions, as applicable:
1) Contracts for more than the simplified acquisition threshold currently set at $250,000,
which is the inflation adjusted amount determined by the Civilian Agency Acquisition Council and the
Defense Acquisition Regulations Council (Councils) as authorized by 41 U.S.C. 1908, must address
administrative, contractual, or legal remedies in instances where contractors violate or breach contract
terms, and provide for such sanctions and penalties as appropriate.
2) All contracts in excess of $10,000 must address termination for cause and for
convenience by the non-federal entity including the manner by which it will be affected and the basis for
settlement.
Equal Employment Opportunity. Except as otherwise provided under 41 CFR Part 60, all contracts
that meet the definition of “federally assisted construction contract” in 41 CFR Part 60-1.3 must include
the equal opportunity clause provided under 41 CFR 60-1.4(b), in accordance with Executive Order
11246, “Equal Employment Opportunity” (30 FR 12319, 12935, 3 CFR Part, 1964-1965 Comp., p. 339),
as amended by Executive Order 11375, “Amending Executive Order 11246 Relating to Equal
Employment Opportunity,” and implementing regulations at 41 CFR part 60, “Office of Federal Contract
Compliance Programs, Equal Employment Opportunity, Department of Labor.”
Davis-Bacon Act, as amended (40 U.S.C. 3141-3148). When required by Federal program
legislation, all prime construction contracts in excess of $2,000 awarded by non-federal entities must
include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as
supplemented by Department of Labor regulations (29 CFR Part 5, “Labor Standards Provisions
Applicable to Contracts Covering Federally Financed and Assisted Construction”). In accordance with
the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less
than the prevailing wages specified in a wage determination made by the Secretary of Labor. In
addition, contractors must be required to pay wages not less than once a week. The non-federal entity
must place a copy of the current prevailing wage determination issued by the Department of Labor in
each solicitation. The decision to award a contract or subcontract must be conditioned upon the
acceptance of the wage determination. The non-federal entity must report all suspected or reported
violations to the federal awarding agency. The contracts must also include a provision for compliance
with the Copeland “Anti-Kickback” Act (40 U.S.C. 3145), as supplemented by Department of Labor
regulations (29 CFR Part 3, “Contractors and Subcontractors on Public Building or Public Work
Financed in Whole or in Part by Loans or Grants from the United States”). The Act provides that each
contractor or Subrecipient must be prohibited from inducing, by any means, any person employed in the
construction, completion, or repair of public work, to give up any part of the compensation to which he
or she is otherwise entitled. The non-federal entity must report all suspected or reported violations to
the federal awarding agency.
5) Contract Work Hours and Safety Standards Act (40 U.S.C. 3701-3708). Where
applicable, all contracts awarded by the non-federal entity in excess of $100,000 that involve the
employment of mechanics or laborers must include a provision for compliance with 40 U.S.C. 3702 and
3704, as supplemented by Department of Labor regulations (29 CFR Part 5). Under 40 U.S.C. 3702 of
the Act, each contractor must be required to compute the wages of every mechanic and laborer on the
basis of a standard work week of 40 hours. Work in excess of the standard work week is permissible
provided that the worker is compensated at a rate of not less than one and a half times the basic rate
of pay for all hours worked in excess of 40 hours in the work week. The requirements of 40 U.S.C.
3704 are applicable to construction work and provide that no laborer or mechanic must be required to
work in surroundings or under working conditions which are unsanitary, hazardous or dangerous.
These requirements do not apply to the purchases of supplies or materials or articles ordinarily
available on the open market, or contracts for transportation or transmission of intelligence.
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6) Rights to Inventions Made Under a Contract or Agreement. If the federal award meets
the definition of “funding agreement” under 37 CFR §401.2 (a) and the recipient or Subrecipient wishes
to enter into a contract with a small business firm or nonprofit organization regarding the substitution of
parties, assignment or performance of experimental, developmental, or research work under that
“funding agreement,” the recipient or Subrecipient must comply with the requirements of 37 CFR Part
401, “Rights to Inventions Made by Nonprofit Organizations and Small Business Firms Under
Government Grants, Contracts and Cooperative Agreements,” and any implementing regulations issued
by the awarding agency.
7) Clean Air Act (42 U.S.C. 7401-7671q.) and the Federal Water Pollution Control Act
(33
U.S.C. 1251-1387), as amended—Contracts and subgrants of amounts in excess of
$150,000 must contain a provision that requires the non-federal award to agree to comply with all
applicable standards, orders or regulations issued pursuant to the Clean Air Act (42 U.S.C. 7401-
7671q) and the Federal Water Pollution Control Act as amended (33 U.S.C. 1251-1387). Violations
must be reported to the federal awarding agency and the Regional Office of the Environmental
Protection Agency (EPA).
In addition, where applicable the following requirements must be met: (1) Compliance with the Copeland
“Anti-Kickback” Act for any contract or subcontract in excess of $2000 for construction or repair (18 U.S.C. 874 and
40 U.S.C. 276c as supplemented by 29 C.F.R. part 5); (3) Contracts or Agreements for the performance of
experimental, developmental, or research work include the rights of the Federal Government and recipient in any
resulting invention in accordance with 37 C.F.R. part 401; (4) for contracts in excess of $100,000, the agency must
comply with all applicable standards, orders or regulations issues pursuant to the Clean Air Act (42 U.S.C. 7401 et
seq.) and the Federal Water Pollution Control Act as amended (33 U.S.C. 1251 et seq.); (5) all agencies must
comply with the Drug-Free Workplace Act of 1988 (42 U.S.C. 701); and (6) for construction projects, all agencies
must comply with, including subcontractors, the Federal Labor Standards Provisions, as issued by the U.S.
Department of Housing and Urban Development.
8) Debarment and Suspension (Executive Orders 12549 and 12689)—A contract award (see 2
CFR 180.220) must not be made to parties listed on the government-wide exclusions in the System for
Award Management (SAM), in accordance with the OMB guidelines at 2 CFR 180 that implement
Executive Orders 12549 (3 CFR part 1986 Comp., p. 189) and 12689 (3 CFR part 1989 Comp., p. 235),
“Debarment and Suspension.” SAM Exclusions contains the names of parties debarred, suspended, or
otherwise excluded by agencies, as well as parties declared ineligible under statutory or regulatory
authority other than Executive Order 12549.
9) Byrd Anti-Lobbying Amendment (31 U.S.C. 1352)—Contractors that apply or bid for an
award exceeding $100,000 must file the required certification. Each tier certifies to the tier above that it
will not and has not used federal appropriated funds to pay any person or organization for influencing or
attempting to influence an officer or employee of any agency, a member of Congress, officer or
employee of Congress, or an employee of a member of Congress in connection with obtaining any
federal contract, grant or any other award covered by 31 U.S.C. 1352. Each tier must also disclose any
lobbying with non-federal funds that takes place in connection with obtaining any federal award. Such
disclosures are forwarded from tier to tier up to the non-federal award.
10) Procurement of recovered materials – As required by 2 CFR 200.323, a non-federal
entity that is a state agency or agency of a political subdivision of a state and its contractors must
comply with section 6002 of the Solid Waste Disposal Act, as amended by the Resource
Conservation and Recovery Act. The requirements of Section 6002 include procuring only items
designated in guidelines of the Environmental Protection Agency (EPA) at 40 CFR part 247 that contain
the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory
level of competition, where the purchase price of the item exceeds $10,000 or the value of the quantity
acquired during the preceding fiscal year exceeded $10,000; procuring solid waste management
services in a manner that maximizes energy procurement of recovered materials identified in the EPA
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guidelines. Notice of federal awarding agency requirements and regulations pertaining to reporting.
Federal awarding agency requirements and regulations pertaining to copyrights and rights in data.
11) Access by the Department, the Subrecipient, the federal awarding agency, the
Comptroller General of the United States, or any of their duly authorized representatives to any
books, documents, papers, and records of the contractor which are directly pertinent to that specific
contract for the purpose of making audit, examination, excerpts, and transcriptions.
12) Retention of all required records for six years after the Subrecipient has made final
payments and all other pending matters are closed.
13) Mandatory standards and policies relating to energy efficiency which are contained in the
state energy conservation plan issued in compliance with the Energy Policy and Conservation Act (Pub.
L. 94–163, 89 Stat. 871).
14) Pursuant to Executive Order 13858 “Strengthening Buy-American Preferences for
Infrastructure Projects,” and as appropriate and to the extent consistent with law, the non- Federal
entity should, to the greatest extent practicable under a Federal award, provide a preference for the
purchase, acquisition, or use of goods, products, or materials produced in the United States, as
required in 2 CFR Part 200.322, in every contract, subcontract, purchase order, or sub-award that
is chargeable against federal financial assistance awards.
15) Per 2 C.F.R. § 200.216, prohibitions regarding certain telecommunications and video
surveillance services or equipment are mandated by section 889 of the John S. McCain National
Defense Authorization Act for Fiscal Year 2019 (FY 2019 NDAA), Pub. L. No. 115- 232 (2018).
16) The Department reserves the right to review the Subrecipient’s procurement plans
and documents and require the Subrecipient to make changes to bring its plans and documents into
compliance with the requirements of 2 CFR Part 200.317 through 200.327. The Subrecipient must
ensure that its procurement process requires contractors and subcontractors to provide adequate
documentation with sufficient detail to support the costs of the project and to allow both the Subrecipient
and Department to make a determination on eligibility of project costs.
17) All contracting agreements entered into pursuant to this Agreement shall incorporate
this Agreement by reference.
SECTION 2. LICENSING AND PROGRAM STANDARDS
The Agency agrees to comply with and to obtain at its own expense, if necessary, all applicable Federal, State, City
or Municipal standards for licensing, certification and operation of facilities and programs, and accreditation and
licensing, certification and operation of facilities and programs, and accreditation and licensing of individuals, and
any other standards or criteria as described in the Agreement to assure quality of services.
SECTION 3. INSURANCE
The Agency shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to
persons or damage to property which may arise from or in connection with the performance of the work hereunder
by the Agency, its agents, representatives, employees, or sub-contractors.
Before execution of this Agreement, the Agency shall provide a Certificate of Insurance evidencing:
1. Automobile Liability: insurance with limits no less than $1,000,000 combined single limit per accident for bodily
injury and property damage; and
2. Commercial General Liability: insurance written on an occurrence basis with limits no less than $1,000,000
combined single limit per occurrence for bodily injury and property damage, and two million dollars ($2,000,000)
aggregate. Coverage shall be on an “occurrence” basis. City of Bremerton shall be named by endorsement as an
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additional insured on the Agency’s insurance policy as respects this contract. Such insurance as carried by the
agency is primary over insurance carried by the City.
3. Excess Liability: insurance with limits not less than $1,000,000 limit per occurrence and aggregate.
4. Professional Liability insurance with limits no less than $1,000,000 limit per occurrence/claim
5. Workers Compensation insurance as statutorily required by the Industrial Insurance Act of the State of
Washington, Title 51, Revised Code of Washington and employer’s liability with limits not less than $1,000,000.
Any payment of deductible or self-insured retention shall be the sole responsibility of the Agency.
All required policies shall be provided on an “occurrence” basis except professional liability insurance (if
required), which may be provided on a “claims-made” basis.
The City, its officials, employees, agents and volunteers shall be named as additional insured on the
Automobile Liability, Commercial General Liability, and Excess Liability insurance policies, as respects work
performed by or on behalf of the Agency, and a copy of an endorsement that is acceptable to the City, which
names the City as an additional insured, shall be attached to the Certificate of Insurance. The City reserves the
right to receive a certified copy of all the required insurance policies and endorsements. The City further reserves
the right to reject any unacceptable policies and/or endorsements.
The Agency’s Commercial General Liability insurance shall contain a clause stating that coverage shall
apply separately to each insured against whose claim is made or suit is brought, except with respects to the limits
of the insurer’s liability.
The Agency’s insurance shall be primary and non-contributory insurance as respects the City and shall
contain a waiver of subrogation against the City for claims arising out of any operations, liabilities and obligations to
which coverage applies. It shall be an affirmative obligation upon the Agency to advise the City’s Risk Manager by
fax at (360) 473-5161, or by certified mail, return receipt requested to the City of Bremerton, attn.: Risk
Management, 345 6th Street, Suite 100, Bremerton, WA 98337 thirty (30) days prior to the cancellation, suspension,
non-renewal or substantive change of any insurance policy set out herein, and failure to do so shall be construed to
be a breach of this Agreement.
Agency shall carry sufficient insurance coverage to protect contract assets from loss due to theft, fraud
and/or undue physical damage, and as a minimum shall purchase a blanket fidelity bond covering all employees in
an amount equal to cash advances from the grantee.
SECTION 4. INDEMNITY
The Agency agrees to defend, indemnify and save harmless the City, its appointed and elected officers and
employees from and against any and all liability, loss, costs, damage and expense, including costs and attorney
fees in defense thereof because of actions, claims or lawsuits for damages resulting from personal or bodily injury,
including death at any time resulting therefrom, sustained or alleged to have been sustained by any person or
persons and on account of damage to property, arising or alleged to have arisen directly or indirectly out of or in
consequence of or the performance or non-performance of the services or subject matter called for in this
Agreement, whether such injuries to persons or damage to property is due to the negligence of Agency, its
subcontractors, agents, successor, assigns. This provision shall be inapplicable to the extent the City is judicially
found solely negligent for such damage or injury.
It is further specifically and expressly understood that the indemnification provided herein constitutes the
agency’s waiver of immunity under industrial insurance, Title 51 RCW, solely for the purposes of this
indemnification. The parties further acknowledge that they have mutually negotiated this waiver.
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SECTION 5. NOTICES
Any notices required to be given by the City to the Agency or by the Agency to the City shall be in writing
and delivered to the following parties at the following addresses:
City: Agency:
CDBG Office Dr. Lillian Robertson
City of Bremerton Community Development New Life Community Development
345 6th Street, Suite 100 725 Park Avenue
Bremerton, WA 98337-1869 Bremerton, WA 98337
City recognition: The Agency shall insure recognition of the role of the City in providing services through
this Agreement. All activities, facilities and items utilized pursuant to this Agreement shall be prominently labeled as
to funding source. In addition, the Agency will include a reference to the support provided herein in all publications
made possible with funds made available under this Agreement.
SECTION 6. CITIZEN PARTICIPATION
The Agency will implement the provisions of this Agreement in such a manner as not impede the
attainment of widespread citizen participation in planning and carrying out the project.
SECTION 7. ASSIGNMENT AND SUBCONTRACTING
The Agency shall not assign or subcontract any portion of the services provided within the terms of this
Agreement without obtaining prior written approval from the City. All terms and conditions of this Agreement shall
apply to any approved subcontract or assignment related to the Agreement.
a. Monitoring: The Agency will monitor all subcontracted services on a regular basis to assure contract
compliance. Results of monitoring efforts shall be summarized in written reports and supported with documented
evidence of follow-up actions taken to correct areas of non-compliance
b. Content: The Agency shall cause all of the provisions of this contract in its entirety to be included in and
made a part of any subcontract executed in the performance of this Agreement.
c. Selection process: the Agency shall undertake to insure that all subcontracts let in the performance of
this Agreement shall be awarded on a fair and open competition basis in accordance with applicable procurement
requirements. Executed copies of all subcontracts shall be forwarded to the City along with documentation
concerning the selection process.
SECTION 8. RESERVATION OF RIGHTS
Failure to insist upon strict compliance with any terms, covenants or conditions of this Agreement shall not
be deemed a waiver of such, nor shall any waiver or relinquishment of such right or power at any time be taken to
be a waiver of any other breach.
SECTION 9. AMENDMENTS TO AGREEMENT
The parties hereby further agree that this Agreement cannot be amended or modified without the written
concurrence of both parties.
SECTION 10. FAILURE TO PERFORM
In the event of a failure by the Agency to comply, with any terms or conditions of this Agreement or to
provide in any manner the activities or other performance as agreed to herein, the City reserves the right to
temporarily withhold all or any part of payment pending correction of the deficiency, suspend all or part of the
Agreement, prohibit the Agency from incurring additional obligations of funds until the City is satisfied that
corrective action has been taken or completed, or recapture funds already disbursed to Agency. The option to
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withhold or recapture funds is in addition to, and not in lieu of, the City’s right to terminate as provided in Article IV
Section 11 of the General Conditions of this Agreement. The City may consider performance under this Agreement
when considering future awards.
SECTION 11. TERMINATION
If the Agency fails to comply with the terms and conditions of this Agreement, the City may pursue such
remedies as are available in accordance with 24 CFR 570.910 including but not limited to, the termination of this
Agreement in the manner specified herein.
(A) Termination for Cause – If the Agency fails to comply with the terms and conditions of this Agreement and
any of the following conditions exist:
(1) The lack of compliance with the provisions of this Agreement are of such scope and nature that the
City deems continuation of this Agreement to be substantially non-beneficial to the public interest;
(2) The Agency has failed to take satisfactory corrective action as directed by the City or its authorized
representative within the time specified by same;
(3) The Agency has failed within the time specified by the City or its authorized representative to
satisfactorily substantiate its compliance with the terms and conditions of this Agreement.
The City may terminate this Agreement in whole or in part, and there upon shall notify in writing the Agency
of the termination, the reasons therefore, and the effective date. The effective date shall not be prior to notification
of the termination by the City to the Agency. Costs resulting from obligations incurred by the Agency after
termination of the Agreement are not allowable unless specifically authorized in writing by the City.
(B) Termination for Convenience
The award may be terminated for convenience, in whole or in part, as follows:
(1) By the City with the consent of the Agency. The two parties shall agree upon the termination
conditions, including the effective date and in the case of partial termination, the portion to be
terminated, or
(2) By the Agency upon submitting written notification to the City. The written notification must set
forth the reasons for the termination, the effective date, and in the case of partial termination, the
portion to be terminated. However, in the case of a proposed partial termination, the City may
terminate the award in its entirety if the City determines that the remaining portion will not
accomplish the purpose for which the award was made.
(C) Termination for Withdrawal, Reduction or Limitation of Funding
In the event that funding from the Federal government is withdrawn, reduced or limited in any way after the
effective date of this Agreement, and prior to its normal completion, the City may summarily terminate this
Agreement as to the funds reduced or limited, notwithstanding any other termination provision of this
Agreement. If the level of funding so reduced or limited is so great that the Department of Community
Development deems that the continuation of the program covered by the Agreement is no longer in the
best interest of the public, the City may summarily terminate this Agreement in whole notwithstanding any
other termination provisions of this Agreement. Termination under this Section shall be effective upon
receipt of written notice by the Agency or its representative.
SECTION 12. CLOSE-OUT
Upon termination of this Agreement, in whole or in part for any reason including completion of the project,
the following provisions shall apply:
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INDEX TO CDBG AGREEMENT
Article I. Project
1. Scope of Services
2. Project Description
3. Term of Agreement
4. Program Reporting
Article II. Financial Conditions
1. Budget and Compensation
2. Documentation of Costs and Other Financial Reporting
3. Reimbursement
4. Program Income
Article III. Federal Conditions
1. Benefit to Low Income People
2. Uniform Administrative Requirements
3. Separation of Church and State
4. Non-Discrimination in Employment and Purchasing
5. Local Employment and Purchasing
6. Conflict of Interest
7. Displacement, Relocation, Acquisition and Replacement of Housing
8. Davis Bacon and Related Act
9. Lead Based Paint
10. Discrimination Prohibited
11. Architectural Barriers Act/Americans with Disabilities Act
12. Flood Disaster Protection
13. Reversion of Assets
14. Debarment
15. Other Program Requirements
16. Build America, Buy America Act
Article IV. General Conditions
1. Compliance with Laws
2. Licensing and Program Standards
3. Insurance
4. Indemnity
5. Notices
6. Citizen Participation
7. Assignment and Subcontracting
8. Reservation of Rights
9. Amendments to Agreement
10. Failure to Perform
11. Termination
12. Close-Out
13. Venue and Choice of Law
15. Severability Clause
16. Integrated Document
EXHIBITS
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A. Scope of Services
B. Reporting
C. Voucher Request for Reimbursement
D. Project Budget
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