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Home My WebLink About _ 4.11(e)--Accept SWRCB SRF funding and Adopt Budget Resolution GI �" Y C� F � � �- ' � ° � � i � CITY OF REDDING �� REPORT TO THE CITY COUNCIL MEETING DATE: June 16,2026 FROM: Michael Webb, Assistant City ITEM NO. 4.11(e) Manager/Public Works Director ***APPROVED BY*** �� 3,�� .nu„ �� ,,�� 5� � �� ,��,� � � � � 1" irel'We, .. v: aty Vf� a�et Rubliu\ c*rA�.;�Uectetcrr Gr1P�_'02G �}F��'�1'�3(JX �,�ti"�'��.��23a3�TG"I �,., .,, �I`�.a��.7 mwebb@cityofredding.org wtarbox@cityofredding.gov SUBJECT: 4.11(e)--Accept State Water Resources Control Board(SWRCB) State Revolving Fund (SRF) Fundin and Ado t Bud et Resolution Recommendation Authorize and approve the following: (1) Accept State Water Resources Control Board (SWRCB) State Revolving Fund (SRF) funding in the amount of $4,410,000 for the design and construction of the City of Redding Ricardo Avenue wastewater collection system; and (2) Adopt Resolution approving and adopting the 40th Amendment to City Budget Resolution No. 2025-049 appropriating $4,410,000 in SRF funding for the project. Fiscal Impact The State Water Resources Control Board (SWRCB) SRF program will fund up to $4,410,000 which will adequately cover the estimated total project cost of $4,250,000 to design and construct the Ricardo Area wastewater collection system. AZteNnative Action The City Council may decline to accept this grant funding. By doing so, this project will not be designed and constructed, and the public will not have the ability to connect to the new wastewater collection system. Background/Analysis The Ricardo Avenue area is located in the City of Redding; in the vicinity of Bechelli Lane and Loma Vista Drive. The area is comprised of 34 developed parcels which are connected to individual private septic systems, and four undeveloped parcels with no public sewer available to the property location. Most of the surrounding properties were eonnected to the public sewer collection system by the Enterprise Public Utility District in the late 1960s which was annexed into the City in 1976. Septic systems in this low-ineome neighborhood are failing and residents have requested city assistance to connect to sanitary sewer service. Report to Redding City Council June 11,2026 Re: 4.11(e)--Accept SWRCB SRF funding and Adopt Budget Resolution Page 2 On January 19, 2021, the City Council adopted a Resolution authorizing the submission of an application for financial assistance from SWRCB SRF to fund the design and construction of a public wastewater collection system to serve this area. The Resolution also authorized the Public Works Director, Assistant Public Works Director, or their designee to represent the City in carrying out the City's responsibilities under the agreement. The City application for funding has been approved and the City has been awarded a Clean Water Construction Loan from SWRCB SRF up to $4,410,000. This loan is considered non- repayable and therefore acts like a grant, covering all actual costs of this project. Environmental Review Funding acceptance is not a project as defined by the California Environmental Quality Act (CEQA), and no further action is required at this time. Acceptance of the grant funding will allow the design and environmental technical studies to proceed for the public wastewater collection system project. CEQA compliance documentation would be presented to Council at, or prior to, award of the project. Council Priority/City Manager Goals • Government of the 21St Century — `Be relevant and proactive to the opportunities and challenges of today's residents and workforce. Anticipate the future to make better decisions today." Attachments Budget Resolution Location Map Executed Agreement- SWRCB Previous Staff Report O1-19-2021 RESOLUTION NO. 2026 - A RESOLUTION OF THE CITY OF REDDING APPROVING AND ADOPTING THE 40Tx AMENDMENT TO CITY BUDGET RESOLUTION NO. 2025-049 APPROPRIATING $4,410,000 IN SRF FUNDING FOR THE RICARDO AVENUE WASTEWATER PROJECT FOR FISCAL YEAR 2025-2026 BE IT RESOL VED BY THE CITY COUNCIL OF THE CITY OF REDDING THAT Budget Resolution No. 2025-049 be and is hereby amended as follows: FUND DNISION DESCRIPTION 1NCREASE DECREASE 231 6391 Wastewater Capital $4,410,000 THAT account titles and numbers requiring adjustments by this Resolution are as follows: USE SOURCE OF FUNDS OF FUNDS Increase(Decrease)Revenue 231-6391-363840] State Non-grant Funding Wastewater $ 4,410,000 Increase Expenditures 231-6391-7800044 Wastewater Mainlines&Collections $ 4,410,000 Total $ 4,410,000 $ 4,410,000 THAT the purpose is to appropriate $4,410,000 in SRF Funding for the Ricardo Avenue Wastewater Project for Fiscal Year 2025-2026. I HEREBY CERTIFY that the foregoing Resolution was introduced at a regular meeting of the City Council of the City of Redding on the 16th day of June 2026, and was duly adopted at said meeting by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: MIKE LITTAU,Mayor ATTEST: FORIYI APPROVAL: SHARLENE TIPTON, City Clerk BENJAMIN L. STOCK, Interim City Attorney %t E � (; ��t3�t , 4 � J�' k t°t t ..._... � �t��`� �"" [ '� ��,.:) ? ' i � � , ,m.:v, ..._....� t � � � , � � ... .. � ��i �' [ �� __._.�... t ___,.., � _... �` �� x�W �;�'�, ` ,I � `�_,� . , ; � �... , , , - �t u.. �� ,. � :.w. �� mv�:�a ��,� � PR4JE�� S ��j ��-� "° ` '� LOCATIO�1 � � � � '�� '�` __.. ._. .... .._ � � � : =a �r�� r €� ��V �i � ' � \\\ �� `� �:.. „. �.�-:.,� : � 1 �� 1 � f4 � � A t t j �/ [i ILL } t 6 �� ; � ^.m �. � ;t� Y�k �! , �; °��'� � i� „ �� .w� t` k 3 / __ , `� t ....M� � � : .� ...---" . ' � � E�CEDRO AVE � tl � � � �� a ;j ; �° m � ; I� ; �� fF� ; :,. € � _ E t��° ;�� ,� � � ; � , �� . � o;� N � c �;l _.__ �__�. � �� ,� , .. } � � r E (I [ " _ _.s. ��_� _. � J � � � _ _..� 1 > �, � JOAQUIN AVE ... .. . �t @� �' _ ,� _ � , � a�� . � � .� ; � . � � � �: � �� 1 , _� .. `� � �' � � '�° ��i�� , � _ ._ r� ' � �. � ,� � f �( � a m x k � `` �' l��.. � �....�.'�a1��._ �_. � � � ..,. � � ,��..� u� t t3� ��; " ,e � � _._..m._ _. �� .. �� . „ t ��-..�'. l �4 �. �� LOMA VISTA DR ��;; �;�. _ � � � �, ;�....._�:: � ; ,� �.W. x � �� s � , , , � � � 4 �, � , { .. _.._. j� � —. _ ::� .� �� .:- , �� [ �� .. .� � _ ,, , �� --,� �' �� __� � �.._� ....... `� 1 " �,�•: \� E� �� 4 E w� � }{ F[( ( `� t t i�p �E C l ( { 4�g .. �� _ �. '�.._........_» . F �� Z� � �� `� � � x��,�„ }� t9 �;i.__ .. Z� _ �.. � � , � ,��.� ....� ,, ��`� � , `�� , � €� z� �� ( ` 7a Y4 \ � � �.'-- �k ' ^�... � ... .'=:..� ' °� � ' '`,,.`+..�,.,e�� .. ,�..^we f ,F� ��. �{ 'a t '4 o -�a�� 1!� , _ € ; , , ; �� ; `�•``�`, t ��Wrf tt �t � � � � '�'��, �,�....�., r` e......,3 �.f1 � `� _..,..,..,,.`� �°? � � '�.,., I �� ... ...,._:,...�� ... , � ��F, � �. t... ,.,..�...�� ..—,�5 _.. �� ,�,�� t � ��``�. . �mw:, �L `�`'�4�,� �� _m�_�:uuu..—. ; G ti� �� , ..__ � ,ti , F � , , , ..� ,� y ��rv� o,� `, �`' � �� € °n, �� , �� , ��i� �,�� ,, f, � � _ w �,� � � ��,� � � ___ `� � � �� x E � : � i� �� ` 4��``� j3� ��' ;� �� .. � � , ;� .... � t� � ~,�.;;,�,� � ..,,Y �Y �( 71 t �4;q��4 ,��^' .,. ..... �f � ....� ` '�;. ;�� ....... �l � ,, �� M. -� X � ,�, � t�____ _�� _�� .�� n �'�� _a-� �� .. � �€ .. ; �� ___, �.� . � � ,,N '� .;t t ,� �� '`� �,`� L�� °� � � �f; �. e� �; j ...,... � fl �� . . ;�.;F ��xi�,�a��,�� i � _� � � � w k'� �`� p � �� ,, � �`t ,.;� �� ,� `� � i� i: b� � r� � x , �� . � "� .�,>. � �,� ,�� f, � ; s � I � �u i �� , r� '�, �E � �� . } � � � ..�� . � ..._e_aa .. > ir .�. � �T;. . < � � �� w �� 1`��` � N.:: , � x � , .......... � � � �, � ��,� ,. � �� ._ i �� , ��.;� � � � � ;1' 4 ....�,. . . . �.�� .. �oF RFo� CITY OF REDDING EXHIBIT A � — 2 � �f�- � PUB�IC WORKS RICARDO AVE SEWER � '! - � .� DEPARTMENT ��a`' �OCATION MAP 4..��...6;�t.C ��Y#.��..�$� "�.,.��a$S'��uµ��'M1..�c�@`�"��.d�$��.w��:. ��"$� AGREEMENT Nd. d2501�19 BY AR1C3 BETW�EN CITY OF REDDING {'"Recipient") ARID ,��' (��T'�S CALIF�RN1,4 ST,4T�WAT�R RESC�iJRC�S GOt�TF20L BOARD ("State Water Board"j Ft�R THE PU'FtPC7SE OF TFIE PRt�J�CT NO. G-Q6-8621-110 RICAR[7{�AVE SEi'TIC SEWER ("Project'"} • Section 13475 et seq. caf the Water Gode, and Resolution Nc�s.2t325-0022 and 2(725-C?013. PROJEGT FUNC3ING AMOUNT:$4,41t7,000 PRINCIPA�FQF�GIVEhIESS CC7MP(�NEl�7; $4,41t?,fl00 ESTIMRTED R�ASC7NABLE PRt7JECT COST: $4,410,00� ELIGIBLE WC7RK STARI`DA7E: MAY 21, 2021 CCIMPLETION C7F G�NS7RUCTIC}N QATE: SEt�TEMBER 30, 2028 FINAL REIMBlJRS�M�NT REQUEST DA7E: MARCH 1,2029 RECC?RDS RETENTI(�N ENQ DATE: SEP�`EMBER 30, 2t��4 Adobe Acrobat Sign T�ansaction Number..CBJCHBCAABAAnPVvklmSkfLVvYyCjgsE7ZrqhEcc9nVZk� City c�f Redding Project No. C-�6-8621-110 Agreement Nt�: D25C11019 Page 1 of 34 � 1. The State Water Bc�ard and the ftecipient mutually promise, covenant, and agree ta the terms, prc�visians,and conditians of this Ag�eement, including the fc�llowing Exhibits, v✓hich are attach�d hereto or are incorparated by reference°: • EXH1B(T A—S�IJPE�}F WORK AND SGHEDULE • EXN1BiT B—FIJNDING PROVISIONS • EXHlB1T C—GENERAL TERMS AND C(3NC?ITIOh1S • EXHIBlT D—SPECIAL GC7NL ITBC)NS 2. The follawing dacuments are alsa incorpbrated by reference, as wcell as any documents incorpor�ted by ref�rence in Exhibit a� * the Waste Discharge Requirement C?rder No. WL�R R5-2C722-Q040 and �ational Pollutanfi Discharge Elimination System Permit No, CA0079731, and any amendments there#c�; • the federal Qavis-Bacon requirements. By accepting this Agreemenk,#he Recipient acknowledges and �grees ta the terms and conditions provided in the I�� f2��dr�rr�er�t� fia�r E��i�br��i i�r�t� I CJ� �P�(h�t��:/l�r :��c��r/c�r�r��Ic�br� r��ar�r��s�� p�- �ubr��a��r�t�). The Recipient shaBl ensure that tne fallawing language is included in all contracts and subcan#racts funded under this Agreement; By accepting this contract, the contractorackncawledges and agrees to the t�rms and conditions provided in the �csr��r��F��osrisi�in��r 6��ri�-��r��r�d ��I��d,��s l!� �l�� h� �.dd�r .� �. �vl r�r��fceaa�f��ct-' �aui�gcir��-r��i�-��c�s�-�r�d-r�l�t�d-��s�; (Fc�r reference, see alsa &��t�a�:ll� ' .�;�t��br��d�,c�.�ca�rd��ter ;s�sas��t�rc� r�s��I s��r�ts Ic��nsl�r�Jc��r�sb��s.htrr�l.} 3. Party Contacts eturing the term of this Ag�eement are: State Water Board Cit of Reddirr Section: ; Division of Financial Assistance s Name. I Roya Raheb, Name: Michael Webb, ( Pro'ect Mana er Public Works �irector Address; ! 1DCI1 I Street, 16°h Flc�or Address: 777 C ress Ave. Cit , State, Zi ; ' Sacramento, CA 95814 Cit , State, Zi-: Reddin , A 9�t1Q1 Ph�ne: 916 341-5459 Phone: 530 225-4511 Email' Rt� �.Raheb�iwaterb�ard�.��. nv �m�il: mw�bb�7�it ofreddin . ov Each party may change its conkact upon wri�ten natice to the other party. While Parky Contacts are contacts for day-to-day cc�mmunicatinns regarding Prc�jec#work,the Recipient must provide official eommunications and notices to the Division's C�eputy Directar in addition tc�the Party G�ntacts. 4_ Canditions precedent to this Rgreement are set forth as follows: (a} The Reci�ient must deliver to the Divisic�n a resolutic�n authorizing this Agreement and identifying its authorized representative by title. (b) The Recipien#must deliver an opini�n of general ct�unsel satisfactory to the State Water Baard's counsel dated on ar after the date that the Recipient signs this Agreement. 5: The Recipient represents,warrants; and commi�s to the following as of the Eligi6le Wark Start �ate and continuing thereafter for the term of this Agreement,which shall be at least antil the Records Retentic�n End Qate: GW�onstx04xi2025 City of Redding Project No. C-U6-8621_1�p Agr��ment Na:�2501019 Page 2 af 34 (a) The Recipient agrees to ct�mpfy with all terms, provisions, conditians, and commitments of this Agre�ment, including all in�orporated documents. (b) The�xecuti�n and delivery of this Agreement,including all incorporated documents, h�s been duly autharized by the Recipient: Upon execution by bath par�ies, this Agreement constitutes a valid and binding obligation of the Recipient, enfarceable in accordance with its terms, except as such enforcement may be limited by law. (�) None of the transactions contemplated by this Agreement will be or have been made with an actual intent tc� hinder, delay, or d�fraud any present or future creditars of Ft�cipient.7he Recipient is solvent and will nat be rendered insalvent by#he transactions contemplated by this Agreement. The Recipienf is able to pay its debts as they become due, The Recipient maintains sufficient insurance c4verage considering the scape of this Agr�ement, including, fc�r exarnple but not necessarily limited to, general li�bility, automc,bile liability, workers compensatinn and ernploy�r liability, professional liability. (d) The R�ci,pient is in cc�mpliance vvith all State Wat�r B�ard funding agreements to which it is a p��Y� 6. This Agreement, and any amendments heretc�, may be executed and delivered in any number af counterparts,each of which when delivered shali be deemed to be an original, but such caunterparts shail together constitute one document. The parties may sign this Agreement, and any amendments hereto,either by an electranic signature using�method apprc�ved by the State Water Board or by a physical; handwritt�n signature. The parties mutually agree that an electrc�nic sign�ture using a method�pprav�d by the State Water Board is the sarne as a ��ysicaf, h�rrdwrit�er�signature fitar the p�crp�se�crf validity, �nft�rceability, �nt�adrr�issibiiity. GWGonstxQ4xi2025 City of Redding Project No. C-06-8621-1�0 Agreement No:D25010�9 Page 3 ofi 34 kN WiTNESS WHEREC?F, this Agreement has been exeeuted by the parties hereto. CI�f1'OF REDC?1NG: STATE WATIER RESOURCES CONTROI�BOAR�: Micl��ei R.webb ` ( � �r�r �t��;:!��r �y: By: � Name; Michael Webb Name: Jae Karkoski Title: Public Wtarks Ditector `Title: aeputy Dir�etor DivisiQn of Fin�ncial Assistanc� Date: Apr 10, 2026 Date: May 4, 2026 CWConstx04xi2025 Adobe AcrobafSign Transaction Ntimbec.GBJCNBGAABAAnPVvklmSkfLVtK�yCjgsE7ZtqhEcc9nVZk. Gity of Redding Project Na G-06-8621-11n Agreement Nc�;Q2501019 F"age 4 of 34 EXHIBIT A—SCC�RE UF W{�RK AND SCHEDULE A.1 PRQJECT PURPQSE ANa DESCRIPTIC7N: The Projec#is fc�r the benefit of the Recipient and has� Useful Life of at least 20 years; 7he funding under this Agreement will be used to connect hauseholds curr�ntly using onsite wast�water systems to the City"s Clear Creek Wast�:water Treatmant Plan#. A.2 SCt?F'E C)F Wt7RK. The Recipient agrees to da the fcs[lowing: The t'roject will connect approximately 34 households to the Gity of Redding's wastewater collection system for eventual treatment at the City of Redding's Clear Cr�ek Wastewater 7reatment Plant(VWVTP). The Project will'install a wastewater lift station and new collectian systern piping,`including approximate(y 34 new lateral connections. The Praject will also decomrnissic�n appraximately 34 onsite wastewater treatmenfi systems. Upon Completion of�t�nstruction, the Recipient must expeditic�usly initiate Prcaject operations. A,3 SIGNRGE. The Recipi€�nt must place a �rofessionally prepared sign at leas#faur feet tall by eight feet wide made of '1+inch thick exterior grade plywoad or other approved material in a prorninent location on the Project site and must maintain the sign in good cnndition far the duration of Project impiementation.The sign may include anc�ther agency"s required ir�formation and must inelude, prominently dis�layed,the follawing disclosure statement and col�r lo�os (available frarn the Divisian): '�l�ter B��rcl� �-1c��z t��'��tc�� "Funding for this project has been provided in full or in park under California's Clean Water State F2evolving Fund which is capitalized through a variety af funding sources, including grants from the United States Envir+�nm�ntal Protection Agency and state bond praceeds through an agreement with the State W�ter Resc�urces Contrql Bc�ard:" A.4 SCHEbULE. F�ilure to pravide items by the due dates indicated in the table below may constitute a material violation of this Agreement. The Project Man��er may adjust the dates in the"Estimated Due�ate"column of this table, but Cri#ic�l [7ue Date�djustments wil!�equire an amendment to this Agreement. 7he R�cipient must complete and submit all w�rk in time to be appraved by the Divi�ion prior ta Prcaject Completion. As applicable for specific submittals, th�Recipient rnust plan adequate tirne tc�sc�licit, receive, and address comments prior ta submitting the final submittal._The Recipient must submi#the finai Reimbursernent Request prior to the Final Reimbursement Request Date set forth orr th�Cover P�ge: Exhibit A City of Redding Projeet No. G06-862�-110 Agreement No: R2501019 Page 5 of 34 ITEM DESCFZIPTIC7N QF SUBMITTAL CRITICAL CtUE ESTIMATED DUE DATE DATE EXHIBIT A-SCOPE QF WORK A: ADQITIC7NAL SUBMIT7AL(5}TO DIVISOt�N 1. Final Plans and Specifications NIA August 30, 2027 2. Final Budget,Apprcrval Package N/R Nov�mber 30, 2Q27 3. Completion of Construction September 30; 2028 N/A B. REP�RTS 1. Progress Reports N/A Quarkerly 2. Final Praject Inspection and Gertification N/A September 30, 2028 3. Project Cc�mpletion Report N/A Octaber 30, 2a28 4: As Needed Reports NIA As Requested by Division EXNIBI7 B—REIMBIJRSEMENT, BUDGET DETAIL, ,�ND REPORTING PROVISIONS A. REIMBURSEMEf�TS 1. Eligible Work Start Date May 21; 2�21 N/A 2. Reimbursement Requests N/A Quarterly 3. Final Reimbursement F2equest March 1,2029 N/A The Recipient must award fihe prime eonstructian cQntract and begin constructian timely. The Recipient must deliver any request for extension of th�Cc�mpletion of Canstructian date na less than 90 days prior to the Cornpletion af Canstruetion date. The Divisian may require correetive work ta be performed priar to Project Completion. The State Water Board is not obligated to reimburse cc�rrective work under this Agreement., �..5 PROGRESS REPQRTS. The Recipient must provide a progress report to the Qivision each quarker; beginning no lafer than 50 days after execution of this Agreement. The Recipient must provide a progress report with each R�imbur�ement Request. Failure to provide a complete and �ccurate progress report may result in the withholding of Project Funds, as sef forth in Exhibits B and C. A progress report musY contain the follc�wing infarmation; 1. A summary of prc�gressta date including a description c�f progress since the last report, percent construction complete, �aercent cantractor invoiced, and percenfi schedule �lapsed; 2. A description of complianee with environmental requirements; 3. A listing c�f change orders including amc�unt, description c�f work, and change in contraet amount and schedule; and 4. Any prablerns encountered, prap�sed resolution,schedule far resolutian, and status c�f previous prc�blem resolutions: Exhibit A Gity of Redding Project No. C-05�86Z1-11Q Agreement Na:D�5Q1019 F'age 6 r�f 34 A.6 PRt3JECT GCJMPLETIQN REP�RT. 1. The Re�ipient must submit a Projeet Ccampletion Rept�rt ta the�ivision with a capy to the apprapriate Regional Water Bt�arci on or before#he due date estabiished by the DiVision and the Recipient�t the time of final project ins�ection. The Prc�ject Gompletion Report must include the following: {a) Gescriptian of the P'reaject; (b) Description of the water quality problem the Praject sought to address; (c) C�iscussion of the Project's[ikelihaod af successfully addressing that water guali#y probl�m in the future;and (d} �ummary of compliance with applicable environmentat conditions. 2. If the Recipient fails to submit a timely Project Completion Rep�rt; the State Water Board may stop processing pending or fu#ure applications fc�r new financial assistane�,withhald reimbursements under this Agreernent ar other agreements, and begin administrative proceedings: A,7 [RESERVEa]. A.8 FINAL PR()JECT INSPECTIC}N AND GERTIFICRTICJN. Upon cc�mpletion of the Project, the Recipient rnusf provide for a final inspection and must cerkify that the Prajecf'has been cornpfeted in accordance with this Agreernent, any final plans ar�d specificati�ns submitted tc�the State Water Board,and any amendments or modifications thereto. !f the Project invc�lves the planning, investigation,evaluafiion, d�sign, or�ther work requiring interpretation and prc�per applicatior� of engineering, or other pre�f�ssionals,the final inspection and certificatic�n must be canducted by a Califc�rnia Registered Civil Engineer or other appropri�te California registered prafess�dr��L. The resufts af the finaC inspection and certification rnusf be submitted ta the Project Manager: Exhibit A Gity caf Redding Project No. C-t�6-8621=11;0 Agr�ement Nc�: D25t�1 U19 Page 7 of 34 EXHIBIT B—FUNDING PR�VISIOfVS. B.1 ESTIMATED FZERSONABLE CC?ST AND PRC?JECT FIJNDS. The estimated reasonable cost of the#otal Project is set farth c�n the Cover Page a#this Agreement, and is greater than or equal ta the funding antieipated to be prQvided by the State Water Board under this Agreement. Subject ta the terms af#his Agreement,the State Water Board agrees to provide Project Fur�ds not to exce�d the amount of the Project Funding Amount set#orth on the Gc�ver Page of this Agreement. B.� RECIPI�NT CURITRIBU71C7RIS. The Recipient musY pay any and all costs connected with the PrQject including, without limi#ation, any and all Project Costs. If the Project Funds are not sufficient to pay the Project Costs in full, the Recipient must nonetheless complete the Project and payfhat porfion of the Project Costs in excess of available Project Funds,and shall nat be entitled ta any reimbursement therefor from th� State Water Board: The loan component afi this Agreement is fargiven. The estimated amount of peincipal that will be due ta the Sfatie Water Board from the Recipient under this Agreement is Zero dollars and na eents ($Q.�O). 6.3 VERIFIABLE �ATA. Upon request by the Division, the Recipient must submit verifiable data ta support deliverables specified in the Scope of Work: The f�ecipient's f�iBure ta comply with fhis requirement may ba coe�strued as a material breach of this Agreement. B:4 BUL7GET GOSTS. 1. Estimated budget costs are contained in the Summary Pr�oject Cost Table below: TC))TAL ESTIMATED PRt)JECT FUNDING ITEM DESCRIPTION COST AMO(JNT A Construction $3,035,000 $3,035,OQ0 B Pre-Purchased Material/`E ui ment $0 $0 C Real Fro ert or Easement A� uisitian $25,Ot�0 �25,000 63 Ch�rir e Utcier CuN�tir�N ei�� 455,OQQ $�,�i;��0 E Force Account $� $0 F Allowances Soft Costs; $895,OOa $895,000 TC?TAL $4,410,a00 $4,41Q,Ua0 l`he Division's Final Budget Approval and related Form 259 and Forrn 260 will dacumenti a mare detailed budget af eiigibte Prc�ject Cc�sts and i�roject funding amounts. Construction af th� Prc�ject may be corrrple#ed in phases with written �pproval af the Divi$ian. If ccanstructior�prace�ds under separate phases, khe Recipient must submiti a Final �udget Apprc�val package and receive Final Budget Approval fram the Division fior each phase: The Recipient is prc�hibited from requesting disbursement amounts that repr�sent RecipienYs mark-ups to costs invaiced or otherwise requested by consultants or contractors. Reasr�nable indir€:ct costs may be allowable upon approval by the C7ivisian, Exhibit B City of Reddin� Project No. C-f�6=8621-110 At�reement No: C�2501�19 �'3t�2 8 p�� 6,5 LINE ITEM ADJUSTMENTS. Upon written request by the Recipient,the Division may adjust the line iterns af the budget at the time of Divisior�'s Final Budget Approval(s). Upan written request by the Recipient,the Division may also adjust the line items of th�budget at the tirr�e of Recipient's submittal of its fin�E clairn. Any line item adjustrnents tc�the budget that are due to a change in scope c�f wark will require an Agreemenfi amendment; The sum of adjust�d line items in the budget,must nnt exceed the Project Funding Amount. Th�Division may also propose budget adjustments, Under no circumstances may the sum of line items in the budgefi apprc�ved thraugh the Final Budgef Approv�l prracess exceed the Prc�ject Funding A�mount. Any increase in the Project Funding Amount will require�n Agreement amendment; B,6 REIMBURSEMENT PRUCELURE. Except�s may k�e e�therwrise provided in this Agreement, reimbursem�nts will be rn��e as fc�llc�ws: �. Upon execution and delivery of this Agreement by both parties,the Recipient may request immediate reimbursemenfi of any eligible incurr�d planning and d�sign al'lowance costs through submission ta the State Water Board of the R�imbursem�nt Request F+�rm 260 and Form 261, crr �ny amendment thereto, duly complet�d and executed. To b�eligible for r�imbursement, Project Costs, including pCanning and design allowance costs, must have been incurred in compliance with all�pplicable requ�r�ments, including the state and federal cross-cutting requ'srements listed in Exhibits C and D: 2. The Recipient must submit� Reimbursement Request for costs incurred priar to the date this Agreement is exeeuted by the State W�ter Board na later than ninety{90)days after this Agreement is executed by the State Wat�r Board. Late Reimbursernent Requests may not be hr�nored. 3. Additional Project Funds wiil be pramptly disbursed to the Reci�ient upon receipt afi Reimbursement Ftequest Fr�rrn 26C1 and Form�61, or�ny amendment theretv,duly c�mpleted and executed`by the Recipient far incurred costs c€�nsistent with this Agreement, alon�with receipt c�f pragress reports due under this Agreement. 4: The Recipient must not request reirnbursement for any Project Cost untif such cost h�s been incurred and is currentiy due and payable by the Recipient, although the actual�ayment of such cost by the Recipient is not required as a candition of Reimbursement Request. Suppor#ing do�umentation (e:g., receipts) must be subrnitted with each Reimbursement Request: The amount r�quested for F2ecipient's administration costs must includ�a calculation forrriula (i:e:, �c�urs or days warked tirrres the hourly ar daify rate=tota(amaunt cl�imed). Reimbursement of Praject Funds will be made only after receipt of a cc�rrrplete, adequ�tely supported, praperly document�d, and accurately addressed Reimbursement Request. Upon request by the Division, suppQrtinc� documents for profe$sional and administrativ�services must include the emplayees' n�mes,classifica#i�ns, labor rates, hours worked; and descriptions of th�#asks perfc�rmed. Reimbursement Requests submitted withcaut supporting documents may be wholly or partially withheld at the discretion c�f`the aivision. 5. The Recipien#must spend Prc�ject Funds within 30 days of receipt. If the Recipient earns interes€ earned on Pcoject Funds, it must report that interest immediately to the State Water Board. The 5tate Water Board may deduct earned intere�t fr�m future reimbursemer�ts. Exhibi#'B City of Redding Praject No. �-06-86�1-1`10 Agreement No: D2501019 Page 9 of 34 6. The Recipient must nat,request a reimbursement unless that Praject Cc�st is allowable, reasonable, and allc�cable. 7: Notwithstanding any other pravisian of this Agreement, no reimbursement shal(be requir�d at any tirn�or in any manner which is in viala#ian rsf ar in conflict with federal or state laws, palicies, or regulations. Notwithstanding any c�ther prc�vision af this Agreement, the Recipient agrees tn�t the State Water Bc�ard may retain an amount equal to ten percent(10%} of the Project F'unding Amount until Project Campletion. Any retained amaunts due tio the Recipient tivill be promptly disbursed to fhe Recipient,withc�ut interest; upan Praject CQmp9etion. Except as fallows; construction costs and disbursements are not available until after the CDivision has issued a Final Budget Approval for the corresponding costs. The Deputy C?irector of the Division may autharize the disbursement of up t�ten percent(1�°fo) of Ptoje�t Funds fe�r the reimbursement of eligible construction costs and pre-purch�sed materials prior to t�ivision approval of a fina!budg�t form submitted by the F2ecipient. All c�ther construction costs are not eligible for reimbursement until after the Llivisian has approved the carrespcanding final budget form submitted by the Recipient.Construction costs incurred prior to the Eligible Construction Start Date are not eligible for reimburs�ment: B,7 REVERTING FUNCIS AND DISENCUMBRANCE. In the event the Recipient does not submit Reimbursement Requests for all funds encumbered under this Agreement timely, any remaining funds reverf to the State. The State Water Baard may natify the Recipient th�t the project file is closed, and any remaining balance will be disencumbered and unavailable far further use under the P,greement. Exhibit B Gity of Redding Praject No. C-O�-$��1-'�1n Agreetnent No� D2501019 Page 10 of 34 EXHIBIT C—GENERAL TER�S AND C�IVDITIONS GENERAL TERMS ANL?CQNL?ITIC?NS 2019-N�V is post�d at ht� s./! .��erbc��rd�.��.�aa�du��t�r i��a��/�ra r��s/�r�r�ts ia��t�/��rt�r�l t�r��.htr�l and replicated bel�w: , 1. dEFINITIC7NS. Unless otherwise specified in this Agreement, each capitalized t�rm used in this Agreement has the following me�ning: M "Agreement"means this agreement, including all exhibits and attachments hereto: • `"C�ver Page°' means#he frant page of this Agreement. • "C7ays" rneans calendar days unless otherwise expressly indicated. • "�eputy[7irector"means the Deputy Ctirector of the�ivision. • "�3ivision" me�ns the�ivisic�n of Financial Assistance of the State Water Board or any other division c�r ur�it t�f the Stat�Water Board authorized to adrninister this Agreernent. * "Event t�f d�f�ult" means the occurrence of any of the following events: a) A repr�sentation or warranty rnade by or can behalf af the Recipient in this Agreement or in any document furnished by c�r on behaif c�f the Recipient ta the State W�te� Bc�ard pursuant to this Agreement shall prove tc�have been inaccurate, misleading c�r incc�mplete in any material respect, b) Failure by the Recipient to observe and perform any covenant, conditian, or pravision in this,4greement,which failure shall continue for a period of time, to be dekermined by th�:Division; c) Inifiiation of proc�edings seeking arrangement, rearganization, crr any oth�r reli�f under any applicable bankruptey, insolvency; or Qther sirnilar law;the�ppointrnent c�f or taking passes�ion of the Recipienfi's property by a receiver, liquidator, assign�e, trustee, custodian, conservator, or similar official, the Recipient's�nterin�into a general assignmant for the benefit of creditors; the initiation c�f resolu#ions c�r proceedings to terminate#he Recipient°s existence, or any actic�n in furtherance of �ny af the fvregoing; d) A determination pursuant ta Gcav. Cade section 91137 that the Recipi�nt has violated any pravision in Article 9.5 of Ghapter 1 of Part '1 of t�ivision�of Title 2 af the Gc�vernment Code; �r e) Lt�ss t�f the Re�ipienYs righ#s,Jicenses, permits, ar privileges necessary for#he Praject, or the occurrence of any material restraint on the Recipien#'s ent�rprise by a gc�vernment agency or court order. * "Final �eimbursernent Request Date"means the date set forth as such on the Cover Page af thfs Agreement; aftar which date, na furth�r reimbursernents or disbursements may be requested'. * "Fiscal Year"me�ns the period of twrelve{12) mc�nths terminating on June 30 of any ye��: • "GAAp" means generally accepted accounting principles,the unifcarm accounting and reporting procedures set forth in publications of the American Institute of Certified PubCic Exhibit C Gity of Redding Project Na. C-t?6-8621-110 Agreement No: D250'1019 Page 11 of 34 Accountants or its successar, or by any other generally accepted auth4rity an such procedures, and includes,as applicable,the standards set forth by the Governmental Accounting Standards Board or its successor, or the Uniform System of A�counts; as adopted by the California Public Lltrlities Cammission for water utiliYies. • "Material C7bligatian" means an obligation of the Recipient that is material to this transactian. • "Party Cantact" means,for the Recipient; the Autharized Representative of the Recipient ar any designee c�f the Authorized Represent�tive; and, for the Sfiate Water Board, #he Division staff set forth in Section 2 of this Agreement. • "Projecti'° means the Project funded by this Agreement;as describ�d in Exhibits A and �and in the docurrrents incc�rporated by reference herein. • "'Project Completion" means, as determined by the C}ivisian,that the Project is compiete ta the reasc�nable satisfaction of the Division. • "Project Costs" means the ineurred costs of the l�ecipient which are eligible for funding under this Agr�ement, pursuant to applicable statutes, pc�licy, regulations, or guidelines, • "Project Funding Amount"° means the maximum amount payable under this Agreement, as set forth an the Cover Page. • °`Pr+�ject Funds" means all moneys disbursed to the R�cipient by the State Water Baard for eligible ProjeGt Costs pursuant#o this Agreement. � '"Project Manager°m��ns the person designated by the State Water Board to manage performance ofthis Agreement, The Project Manager is set forth on#he Cover Page. • "Records Retention End Qate° means the last date that the Recipient is obligated to maintain records reiated tia this Agreement and is se#fortih c�n#he Caver Page of this Agre�ment: • "Ftegional'Water Quality Cantrol Board"or"Regional Water Board" means the appropriate Regional Water Quality Gantroi �oard. �- • "f�eimburs�m�nt Periac�" m�an�th�pericrcl during which Pr€�j�c:t Ft�n�is may b�disbursed� • "Reimburs�ment Request"' means the Recipient's request for Projec#Funds from the State W�tier Br�ard as set forth in Exhibit B. • "�tate"' means State of California: s "State Water Bcs�ard°' means the Sta#e Water Resources Gontro4 Board. • "Work Completian" means the Recipient"s submittaB of al1 work set forth under Exhibit A for review and approval by the Division. • "Work Gompletion Date"means the date set forth on the Cover I�age c�f this Rgreement and is the last date on which Project Costs may be incurred under this Agreement. • "Year" means calendar year unless c�therwise expressly indicated. Exhib�t C Gity of Redding Prr�ject Nc�. C-b6-$621-�10 Agreernent No: D25�1019 Page ��of 34 2; ACCESS, INSPECTIQN,ANL7 PUBLIC REC{�RDS.The Recipi�nt must ensure that the State Water Board,the St�t�Auditor, or any authorized representative of the faregoing, will have safe and suitable acc�ss tti�the Prc�ject site at alf rea�Qnable times through the Reca�ds Retention �nd Date or useful life of the 1'roject, whichever is langer. The Recipient�cknc+wl�dges that; exc�pt for a subset of inforrnatian regarding archa�c�lo�ical records and persc�n�lly identifiab{e information, the Project records and loc�atir�ns m�y be publ'ic records, inctuding but not limited to all c�f the submissions ace�mpanying th�application, all of the documents incorps�r�ted in#o this Agreem�nt by reference, and �IL reporks, Reimbursement Requests, and supporting dc�cumentation submitted hereunder. 3: ACCbUNTING ANt7 AUDITING STANDARL�S; �INANCIAL MANAtaEMENT SYS�'EMS. The Recipient must maintain GAAP-compliant project accounts, including GAAP r�quirernents relatin� to the reporting of infrastructure assets. Wi#hout limitation af the requirement to maint�in Project accounts in accc�rdance with GAAP;the Recipient must: (a) Establish an officia]fi�e fc�r the P�ojeet which adequately dacumen#s all signifi�an#actions relative to thc Pr+�jec#; (b) �stablish separate accounts which will ad+�quately and accur�tely depict all�mc�ur�ts received and expended on the Project, including all Project�unds received under this Agre�ment; (c) �stab4ish separate accounts which will ad�quately depict all income received which is attributable to th� Prc�ject, specificalfy including any incame attributable tcs P'roject Funds disbursed und�r this�greement; (d) Establish an accounting system which will accurately depict final total casts c�f the Project if authorized underthis Agreem�nt; (e) Establish such accounts and maintain such records as may be ne�essary f�r the�tate to fulfill federal reporking requirem�nts, including any and a8 reporting requirements under federal tax statutes or regulations; and (f� If the Recipi�nt uses its own emplayees, equipment, or resources fiar any phase of the Project, ac�c�unts will be established which reasanably docurnent all emplayee hours charged tca the Praj�ct�nd the associ�ted tasks perfarmed by ea�h employee. 4. AMEND�IENT, �lo amendment or variation of the terms of this Agreement shal(be va#id uniess m�de in writing and signed by both the Recipient and the C�eputy Director ar designee and approved as required. 5. ASSIGNABILITY. This Agreement is ncat assi�nable bythe Recipient,ei#her in whole orin part, withou#the consent of th�St�te Water Board. Arnendment of the Agreernent may be required. 6: AUDfT: The Division may caii for an audit af financial inf�rrnation relative#o the Prajec#if the Division determines that an audit is desirable to assuee program integrity car if an audit taecames necessary bec�use of State or federal requirements. If an audifi is called for, the audit must be perfc�rmed by a cerkified public accvuntant independent of the Recipi�nt and�t the cast of the Recipient. The audit must be in the form required by the Division. The Recipient rnust return, or ensure th�return vf; any�udit disaflowances within 30 days. 7. Bt7ND1NG. Where constructian contractars are used, the Recipi+�nt must nc�t authari�e construction to begin until each cantractor has furnished a performance bc�nd in favc�r of the Recipient in the follawing amounts:faithful performance(100%} crf ec�ntract value; labor and Exhibit C City af Redding Project No. G-06-8621=110 Agreement No: D�501019 i'age 13 of 34 materials (100°l0)of contract Value: This requirement sha1J not appBy to any contract for less than $25,OOQ.00: 8. GONIPETITIVE BIDDING. Recipient must adhere to any applicable State law or local ordinance for competitive bidding �nd applicable lak�ar laws. If Recipient is a private entity,any construction cc�nfiracts related in any way tc�the Project must be let by competitive bid pracedures wh'ich assure award of such cantract�to the Iawest responsive and responsible bidders. Recipient must not award a con�truction cantract until a summary of bids and identification of the selectied lowest respor�sible bidder is submitted to and approved in vvritit�g by the Division. Recipient must prc�vide a full explan�fion if Recipient is propnsing to award a canstruction contract to anyc�ne other than the lowest responsible bidder: 9. COMPLIANCE WITH APF'LICABI�E LAWS, RULES, AND REQUIRENIENTS:The Recipient must,at all times, camplywith and require i#s cantractors and subcontractors to comply with afl app►icable federal and State-Iaws,rules, guidelines, regulations, and requirements and with provisions of the adopted enviranmental mitigation plan, if any, for the useful life of the Project. 10. COMPUTER S�FTWARE; The Recipient certifies that it has appropriate systems and controls in place ta ensure that State funds will not be used in the perfarmance of this Agreement for fhe acquisitian, operation or maintenance of computer saftware in vial�tian'af capyright laws. 11. CONFLICT C�F IN7EREST. The FZeeipient certifies that it, its owners, officers, directars, agents, representatives,and emplopees are in camplianGe with applieable State and federal canflict of interest laws and will remain in comploance for the useful lifie of the Project. Any service provider or contractar with which the R�cipient contraets must not have any role or relationship with the Recipient, that, in effect, substantially limits the Recipient's ability to exereise its rights; includirrg cancellation rights, under the eontract, based on all the facts and circumstances. Public entities are required to have adopt�d conflict of interesfi codes and may be reguired to provide documentation of those codes tt�the Divisian. 12. DATA"MANAGEMENT: The Recipient will undertake appropriate data management activities so that Project data can be incarporated into statewide data systems. 13. DEBARFtEQ; C?ISQUALIFILD, OR EXGLIJDEC? CONTRRCTCIRS, The Recipienti must not contract or allow subcc�ntracting with excluded par#ies. The Recipient must nof contract•with any party who is debarred or suspended or otherwise excluded from or ineligible for participatic�n in �ny work cav�r�e�n, dir�ct�d;fund�d, c�r�dmini�,t�r�d by th�Stat�Wat�r Board pragr�m for which#his funding is authorized. For any w�rk related tca this Agreement, the Recipien#must not contract with�ny individual r�r organizatic�n on the S#ate W�ter E3oard's List of Disqualified Busin�sses and Persons that is identified'as debarred or suspended or ath�rn�aise excluded from ar ineligible fc�r participation in any work overseen, direeted, funded, ar administered by the State Water Bc�ard pragram for which funding under this Agreement is authorized. The State Water Board's List of Disqualified Businesses and Persons is located at htt .Jl �.��#�rb��rd�.��. ssvd�r�ter i��s��l rc� r�rra�/�r�fc�r��r�s�r��l a�db .�h�r�i� 14. �RUG-�RE�WURKPLACE. The Recipient certifies that it will provide a drug-free wc�rkplace in complianc�:with the Drug-Free Wrsrkplace Act(Gov. Cc�de. §§ 8350-8357}. The Recipient shall publish a statement nofiifying employees that the unlawful manufacture; distribution, dispensation, passession, or use of a controlled substance is prohibited in the Recipi�nYs warkplace and specifying the actions to be taken against employees for violations of th�prohibition.The ReGipient shall establish a drug-free awareness program to inform emplayees about th�dangers of drug abuse in the workplace, the Recipi�:nYs poiicy of maintaining a drug-free workplace, any available drug caunseling, rehabilitatican and employ�e assistance pragrams; and penalties that may be imposed upc�n employees for drug abuse vioiations.The Recipient shali provide that Exhibit C Gity af Redding Project Nc�. C-Ofi-8621,110 Agreement No: D2a0�019 Page 14 of 34 every employee wha works on the Project receives a copy of the Recipient's drug-fre�workplace policy statement and agrees to abide by the terms c�f the statement as a condition c�f ernpioyment on the Prc�}ect. 15: ENVIRt�R1i�ENTAL GLE�RANC�. Nc�work that is subject ta Califarnia Environmental Qu�lity Acf (CEQA)or the Natianal Environmental Policy Ac#{N�PA)may�roceed under thi�Agreement until the State Water Board has prc�vided apprc�v�l to proceed. Upcan rec�ipt�nd review of the Recipient's environmental documents,the State Water Board shall make th�apprapria#e envir�nmental findings before determining whether to approve construction or implerr�entation fu+�ding fcrr the Project under#his Agreement. Prr�viding approval for such constructicrn or implem�ntation funding is fupy discretionary. Th�State Water Ba�rd may require changes in the scc�pe r�f work or additic�nal mitigation as a condition tc�providin�construction ar implementation funding under this Agreement. I�ecipient shall not perform any work subject tc,CEQA and/or NEPA before the 5kate Water Bc�ard cc�mpletes its environment�l review and specifies any changes in scope nr additional mitigation that rnay be required. Proceeding with work subje�t#o CEQR and/c�r NERA without appravai by the State Water B�aard shall constitute a breach af a material pravision of#his Agreement. If this Project includes modification of a river or stream channel, the Recipient musf fully mitigat�enviro�mental impacts resulting from the modificati�n. The R�cipient must prc�vide documentatican th�t the environmental irrrpacts resulting frorn such rnodifi�ation wi11 be fuily rr�itigated cc�nsidering a11 c�f the impacts c�f the modification and any mitig�tion, enviranm�ntal enhancement,and environmental benefit resulting from the Project,and whether, on balance,any environmental enhancement or benefit�quals or exc�eds any negative environmental imp�cts of the Praject: 16; FINAL REIMBURSEMENT'REQIJEiT: The E3ecipient agrees t�a ensure that its final Reimbursement Request is received by th�[7ivisian no later than the Final Reimbursement Request C7ate; unless prior approval has been granted by the Qivision. 1f th�finat Fteimbursement R�quest is not received#imely, the undisbursed balance of this Agreement may be deobligated. 17. FRAUL7 ANL7 MiSUS��F Pl7BL1G�UNDS. A11 requests for disbursement must be aecura#e and signed by the Recipient or its Autharized Representative under penalty of perjury. All cosfs submitted pursuant to this Agreement must canly be for the work nr tasks set forth in this Agreement. The Recipient must ncat submit any invc�ice containing costs that are ineligible ar h�v�been reimbursed from other funding sdurces unless requir�d and specifically noted as such {i.e., rn�tch eosts). Any costs for which the Recipient is seeking reirnbursement sh�ll not be reimbursed from any ot�er source: Dauble or rnultiple billing for#ime, services,or any o#her cost is improper and wiH nc�t be eQmpensated. Any suspected occurr�nces of fraud,forgery, embezzlem�nt, theft,or any other misuse of public funds may resulf in susp�nsian c�f disbursements and, notwithstanding any other section in this Agreement,the terminatian of this Agreement requiring the immediate repayment c�f all funds disbursed hereunder. Additionally,the Deputy Director c�f the Divasion may request an audit and re#erthe ma#ter tc�the Attorney General's Office or th�appropria#e district a#tarney's office far criminal prosecution or th� imposition of civil li�bility. 18: FIJNDING CONTINGEN�Y. The State Water Bo�rd's disbursement of funds hereunder is cc�ntingent an the Ftecipient's cornpliance with th�terms and conditions of this Agreement. The State Water Board's obligation tc�disburse#unds is contingent upon the availability af sufficient funds te�permit the disbursements pravided for herein. if sufficient funds are nat�vailabla far�r�y reas�n, including but not limited tc�f�ilure af the fed�ral or State g�vernment to appropriate funds necessary far disbursement of funds, the State Water B�ard shall not ba abligated to make any disbursements to the Recipient under this,�greem�nt. If this Agr�ement's funding for any fiscal year expires clue tc�reversion csr�s reduceci, substantiaPly de{ayed, or cieleted by the Budget Act, by Executive C7rder, or by carder or action ofi the Departrnent of Finance,the State Water Baard Exhibit C City of Redding Praject No. G-Q6-8621-110 �greement No: D2509C�19 Page 15 af 34 has�he opti�n ta either cancel this Agreement with na liability a,ceruing ta the State Water Board, or c�ifer an amendment to the Recipient to reflec#the reduced amount: This provisian shadl be construed as a condition preeedent tc�the obligation of the St�te Water Bc�ard ta m�ke any disbursements under'this Agreement. Nothing in this Agreement shall be construed ta provide the Recipient with a right of priority fior disbursement over any other entity. If any disbursements due the Recipient under this Agr�ement are d�ferred because sufficient funds are unavailable, it is the intention of the State Water Board that such disbursement wiil be made to the Recipient when sufficient funds do becama avaiBabie, but this intentian is not birrding. 19. GOVERNINC LAW. This Agreement is gouerned by and shall be infierpreted in accardance with the laws of the State e�f Caiifarnia. 20. RECIPIENT°S SHARE, The Recipient agrees that it will provid�for the payment c�f its fuil share; if any share is required, of Pro�ect Costs and that all costs cannected with the Prtajecti will be timely paid by the Recipient. 21. INDEMNIFICATIC?N ANd STATE REVIEWS. Th� parties agree that reuiew c�r approval of Prtaject pians and specifications by the State Water Board is for administrative purposes only, including eanfarmity with application and eligibility criteria, and expressly not for the purposes of design defect review or construction feasibility, and does not�elieve the Reeipien#af its responsibility to properly plan, design, construct; aperate, and maintain the Prajeet. To the extent permitted by law, the Recipient agrees ta'indemnify, defend, and hold harmiess the State Water B�aard and any trustee; and their officers, emplayees; and agents for the Bands; if any (callectively, °Indemnified Persons"}, agajnst any loss or liability arising out of any claim ar action brought against any Indemnife�d Persans from and against any and all losses, cla'ims, damages, liabilities, or expenses, of every conceivable kind, character, and nature whatsoever arising out of, resulfiing fram, or in any way eonnected with {1) the Project ar the conditions, occupancy, use, possession, eonduct, or management of,work done in or abcsut, or#he planning, design, acquisitian, installatitin, or constra�ction,af the Projecfi c�r any part thereof; (2)the carrying out of any of th� transactians contemplated by this Agreement ar any related dacument; (3) any violation of any applicable law, rule or regulation,any environmental law(including, without lirnitation,the Federal Comprehensive Environmental Response; Compensation and Liability Act, the Resource Canservation and Recovery Ac#, the California Hazardous Substance Rccaunt Act,the Fed�ral Water Pollutian Control Act,the�iean Air Act, the Toxic Substances Control Ac#,the Qecupational Safety and Health Act, the Safe Drinking Water Act, the California Hazardous Waste Contro!Law, and Caiifornia Wa#er Gode Section 133�4, and�ny successc�rs to said iaws), ruBe or r�gul�tiQn or tih� rel��c�f an�r tcaxic substan��can crr n�ar the Pr�aj��t; �r(A}�ny�Nntre�� statement or alleged untr�e statement of any maferial fact or c�mission ot�lleged omission to state a rnateri�l fact necessary to make#he statements required ta be stated therein, in light of the�ircumstances under which they were made, nat misleading wi#h respect to any infarmatfon provided by the Recipient fior use in any disclosure document utilized in connectian with any of the transactions contemplat�d by this Agreement;except tihose arising from the gross n�gligence or willful miscc�nduct af the Indemnified Persons; �'he Recipient must also provide for the defiense and indemnificatian c�f the Indemnified Persons in any contra�tual prtsvisic�n extending indemnity to#he Recipient in �ny cantract let for the performance of any work und�r this Agreement, and must cause the Indemnified P�rsons to be included within the scope c�f any provision for the indemnification and d�fense of the Recipient in any contr�ct or subcontract. To the fiullest extent permitt�d by law, the Recipient agrees to p�y and discharge any judgment or award entered or rrsade ag�inst lndemnified P�rst�ns with respec#to any such claim or action, and �ny settlement, comprcamise or c�th�r v�aluntary resc�lution. The pravisians of this section survive the term of this Agreement. Exhibit C City of Redding Project No. C-06-�621-110 Agreement No:-D25010�9 Pag�16 of 34 22, INdEP�NDENT ACTC7R. The Recipient, and its agen#s and emplayees, if any,in the perfc�rmance af this Agreement,shall act in an independent ca�acity and nc�t as�fficers, employees, ar agents caf the State Wat�r Baard. 23, INSPECTIt7N. Throughout the useful life-c�f the Project,the State Water Baard shall have the right to inspect the Project area tc�ascertain cc�m�rliance with this Agreement. 24, INTEGRATIQN. This Agreemer�t constitutes the cc�mpl�te and final agreement between the parties. No oral c�r written understanding s�r agreement not incc�rpc�rated in this Agreernent shall be binding on either��rty. 25. LIEN�_ Th�Re�ipient must nr�t make any pledge;of or place any lien on the Project c�r Project assets except upon�onsent of the Divisic�n. 26: N� DISCRIMINATIC7N. The Recipient must comply with Gc�vernment Code sectiion 11135 and the implernenting r�gulations:(Cal.Code Regs, tit. 2, §14��700�t seq.), including, but n�t]imited to, ensuring that no persc�n is unlawfully denied full and equal access to the bene�ts af,or unlawFully�ubje�ted to discrimin�ti�an in fihe operatian of,the F'rc�ject on th�basis of sex, race, color, religican,ancestry, national origin, ethnic group identificatian, age, ment�l disability, physical disability, medical condition, genetic information; marital status, or sexual orientation as�uch terms are defined under Cali�ornia law, for as long as the Recipient retains ownership or pc�ssession of the Project. 1f Project�unds are used to aequire c�r 4mprove real property, the Recipient must inciude a covenant of n+�ndiscriminaticrn running with the land in the instrument effecting or recarding the tiransfer of such real praperty, The F2ecipient rr�ust camply with the #ederal American wstih Qi�abilities Act of 1990 and implementing regulatians as required by Government Code section 11135(b). The Recipient's obligations under this sectidn shall survive the term of this Agreement. Cluring the perFormance of this Agreement; Recipient and its cc�ntra�tors�nd subcc�ntractors�nust not unlawfully discriminate�harass, flr allow har�ssment against any emplayee c�r applicant fc�r employment because af sex, race, color, ancestry, religious creed,natianal c�rigin, sexual orientation, physical disability {including HiV and AIDS), mental disability, medical ccandition{cancer), age�over 4U), rn�rital s#atus, denial of family�are leave,or genetic informatic�n,g�nder,gender id�ntity; g�nder expression, or military and veteran status; The Recipient, its contr�ctors, �nd subcontra�tnrs must ensure that the evaluation and treatment of their emplcryees and applic�nts for employm�nt are free frc�m such discrimination ar►d harassment. The Recipient,its cont�actors; and subconfractars must cornply with the pravisians af the Fair Employment and Hr�using Act and the applicable r�gulatians promulgated th�reunder. {Gav.Code, §12990, subds. {a)-(f�et seq.;Cal. Cc�de Regs., tit. 2, §7285 et seq.) Such regulatipns ar�incorparated intc�this Agreement by reference and made�part herec�f as if set farth in full. Th�Recipient, its contractors, and subcontr�ctors must giv�written notice af thei� abligations under this clause tt�C�bor organizations with which they have�colle�tiv�bargaining or o#her agreemen#. The Recipient must include the nondiscrimination and compliance provisions nf this clause in all subcontracts to perforrrt work under th'is Agreement. 27. NO THiRC}-PARTY R1GH7S. 7his Agr�ernent creates no rights in and grants no remedies to any third party as a beneficiary of this Rgreernent. 28. NO O�LIGATION C7F THE STATE. Any obligation of the Sta#e Water Board herein contained shall nat be�n obligatian, debt,t�r li�bility ofi the 5fiafie and�ny such obligation shall be payable solely�aut of the moneys encumb�red pursu�nt to this Agreem�nt: 29: NaN-WAIVER. Nofhing in this Agreern�nt sh�ll affect or imp�ir the Recipient's obligation to under#ake wc�rk under this Agreement ar shall affect c�r impair the right of the State Water Board to bring suit to enforce such work. Nc�delay or omission c�f the S#ate Water BQ�rd irr fhe exer�is� of any rigl�fi arising upon an Event of Ctefault shall imp�ir any sueh right ar be construed ta be a Exhibit C City Qf Redding Praject Na. C-06-8621-1'i0 Agreement No: D25010�9 Page 17 of 34 waiver of any such Event of Default. The State Water Board may exercise fram time to time and as aften as shall he deemed expedient by the State Water Board; �ny remedy or right provided by law or pursuant to this Agreement. Any w�iver of rights by the State Water Board with respect to a default or other matter arising under this Agreement at any time shall not be considered a w�iver af rights with respect to any other defauMt ar matter. 30. OTHER FUNDNNG 50URCES, INGC7ME RESTRICTIC?NS. If funding for Prc�ject Costs is made available to the Re�ipient from sources oth�r than this Agreement,the Recipienf must notify the Division. The Recipient may retain such�urading up to an amount which equals the Recipient's contriba�tir�n to Project costs. To the exter�t allowed by requirements of ather funding sources, exeess funding must be remitted tt�the State Water Board. 7he Recipient agrees that any refunds, rebates, credits, or ather amounts(including any inter�sttherec�n} accruing to or recetved by the Recipient as related to this Agreement must be paic� by the Recipient to the State Water Board, to the extent that they are praperly allc�cable ta costs for which the Recipient has been reimburs�d by the Skate Water Board under khis Agreement. 31. PERMITS AND AUTHQRIZATIC7NS. Reci'pient must procure all permits; licenses and other authorizafiic�ns necessary ta accomplish tihe work contemplated in this Agreement, pay all charges and fees, and give ali notices necessary and incidental to the due and lawfui prc�secution of the uvork. Signed capies of any such permits or licenses must be submitted to the Division before any construction or implementation begins. Any contractors, outside assaciates,or consultants required by the Recipient in ce�nnectian with the services covered by this Agreerraent shall be limited to such individuals orfirms as were specifically identified and agreed to during negotiations for this Agreement, or as �re specifically authorized by the Sfate Water Board's Project Manager during the performance of this Agreement. Any substitutions in, or additions to,such contractors, associates; or consultants, shall be subject to the prior written approval of the State Water Board's Prc�ject Manager. 32. PREVP�lLIIVG WAGES. If applicable, the Ftecipient agrees ta be bound by ail applicable provisions af State Labor Code regarding prevailing wages. If applicable, the F2ecipient must me�nitor all agreements su6ject ta reimbursement from#his Agreement to ensure that the applicable prevailing wage prQvisions of the State Labor Geade are being me#: division of Ir�dustrial Relations{QIR) requirements may be found at: htt�a l/�w dr�c�.g,�vfl��.��: �c�r more infarmation, please refer to D9Ft's Public Works Manua! at: h�t�:Jl .di�.c�. c�a�7dl��6� �r��l�c�rr�bin�d. c��. 33. PRIdFt COSTS. No costs incurred prior to#he �ligible Wc�rk Start Date are eligible for reimbursement. 34. PRC}FESSI�iVALS.�he Recipient agrees that t�nly licensed professionals wifl be used to perform services under this A�reement where such services are called fc�r. All technical reports required pursuant to this Agreement'that invQlve planning, invesfiigation, evaluation, design, or other work requiring interpretatian and pr�aper applicatit�n of engineering, �rehiteetural, or geologic scienc�s, shall b� prepared by or under the direction of persans r�gistered tQ practice in California pursuant to Business and Prof�ssions Ccade,sections 5536.1, 6735, 783�',and 7835.�. As r�quired bY these I�ws, completed technical reports must bear th�signature(s)and seal(s}c�f the registered professional(s) in a manner such that all work can be ctearly attributed to the professional respansible for the w�rk. 35. REC(7RC7S, INSPECTI(7N,AUDITS, ANC7 INT�RViEWS;REC�RDS RETENTIfJt�.The Recipi�nt must maintain separate books, records and ofiher material relative ta tihe Proj�ct and r�tain such bc�aks, records, sub�c�ntracts; and c�ther material until at least the Reec�rds Re#entian End Rate set forth on the Caver��ge of#his Agreement.The Recipient must r�quire that sach Exhibit C City of Redding Project Na. C-06-8621-11p Agreement No: D2501019 Page 18 af 34 boc�ks, recflrds, and ather material are subject at all reasonable times (at a minimum during normal business haurs)to inspecfiion, copying, and audit by the Stat�Water'Bc�ard, the Dep�rtment of Finance,the California State Auditar, the Bureau of Stat�Audits,or any authorized representatives o#the aforem�ntian�d, including federal funding agencies and their auditars, if any> 1`he Recipi�nt must a11ow and must r�quire its cantractc�rs tc�allow in#erviews during normai business hours t�f any employees whc�might reasonably have informatir�n related tc�such recards. The Recipient agrees to in�lude a similac duty regarding audit, intervi�ws, and records retention in any contract or subcantract related to the performanc�af this Agreement, The prc�visions of this sectic,n survive the term of this Rgreem�nt. 36. RELATED Lll"I�ATIDN. l�nder no circurnstances may the Recipient use funds fram ar�y reimbursement under fihis Agreem�nt to pay casts associa#ed with�ny litigation the Recipient pursues against the State Water Board c�r any Regional W�ter Board. Regardless af the autcome of any such likigation; and notwithstanding any�c�nflicting language in this Agreement, the Recipi�nt agrees to complete the Project funded by this Agreement or tc�repay all of the disbursed funds plus interest: 37. REME�IES. The S#ate Water Board may enfarce its rights under this Agreem�nt by any judicial proceeding,whether at law or in equiky. None of the remedies a�railable to the State Water Bnard shall be exclusive of any c�ther remedy, and e�ch such remedy shall be cumulative�nd in addition to ev�ry other remedy given t�ereunder or now orfiereafter existing at 1��r or in equity. The State V1later goard may exercise any rerrredy, now ar hereafter existing, without exh�usting and withaut regard to any other remedy. Any dispute af the Recipient is limited to the rights and remed'+es provid�d tc�#he Recipient under#his,4greerr�ent and is subject to tY�e procedures pravided tc�the I�ecipient under this Agreemen#. 3�. REPCJRTS-AS NEEDED. The Recipient rnust pravide expeditiously any reparts, data,and informatior�reason�bly required by the Division, including but no#limited ta material necessary or appropriate for evaluatiran of the funding pragr�m or ta fulfill any reparking requirements ofthe State or federal government; 39. RESPt�NS1B�ILITY FOR WC7RK. Th�Recipien#shall be respernsible f�r all work and far persons or entities engaged in vuork perFormed pursuant to this Agreement, including,but not Iimited to, cc�ntractors, subcontractcars,suppliers, and providers af s�rvices. The�tecipi�nt shall be respernsible for r�sponding tcs any and all disptates arising c�ut of its contr�cts for w�rk on the Project, including, but not limit�d to;payment disputes with contractc�rs and subcontractors. The S�tate Water Bo�rd will not mediate disputes lae#ween the Ftecipient�r�d any other entity conc�rning responsibifity for perFormanee c�f work. 44. RIGNTS IN C3AT�. The Recipient agrees that�11 dafa;plans, drawings, speeifications;reports; camput�r progr�ms,operating manuals,nates, and other written or graphic work produe�d in the perf�rmance of this Agreement are subject to the rights of the State as set fcarth in this secti�n: The State shall have the ri�ht to reprorluce, publish, and use all such work, or any part therea#, in any manner and for any pu�poses wh�#soever and to autht�rize others to do so: If any su�h w�rk is copyrightable, the Recipi�;nt may copyright the same, �xcept that, as to any work which is capyrighted by the Recipient, the State reserves a royalty-free, nonexclusive, �nd irr�vocable license trs reprr�duce;publish, and use such wc�rk, c�r any p�rt therec�f, and tr�authorize-others to do sc�, and to re�eive electronic copies frorn the Recipient upc�n requ�st:The �2�cipienfi may disclose, disseminate and use in whole or in part; any final fc�rm data and inform�tian receiv�d, collected, and developed under this Agreement, subject to apprapriat�acknowledgement of credit to the State Water Bo�rd for financial support. 7he Recipient shalf nat utilize the materials for any profit-m�king venture or sell or grant rights to a third par#y whc�intends ta da sa. Exhibit C City af Redding Praject No. G-06-862'I-11t1 agreement No: D2501 t�'19 Page 19 of 34 41. STATE WA7ER BOARa AGTION; COSTS ANQ ATTQRNEY FEES. In the event of litigation between the parties here#o arising from this Agreement, it is agreed that each partiy shall bear ihs own c�sts and attorney fees. 42. S7A�US C�UO. If any action to enforee any right or exercise any remedy shall be brought and either discantinued or d�termined adversely to the State Water Bo�rd, then the State Water Board shall be restored to its ftirmer position, rights, and remedies as if no such action had been brought. 43: TERMINATION, IMMEDIATE REPAYNI�NT, AND INTEREST: This Agreement may b� terminated by writ#en natice at any time, at the�ption of the State Water Board, if: a: the Recipient has receiv�:d funds as a result of a mater�al misrepresentatian in the funding application or other submitted document; or b. upon violation by the Recipi�nt of any mat�ri�i pravision of this Agreement after such violation has been called#a the attention of the Recipient and after failure of the Recipient to bring itself inta compliance with the provisions t�f"this Agreement within a reasonable time as estabfished by the State Waf�r Boarcf. In the event of such terrnination,the Recipient agrees, upon dem�nd, to immediately repay tc�the State Water Board an amount equ�l to the�mount of Project Funds disbursed to the Recipient prior to sueh termination. In the event of termination, interest shall aeerue on al1 amounts ciue at the highest legal rate of interest fram the date that notice af termination is mailed ta the Recipies�t tQ the date of fulf repayment by the Reciptent. 44. TIMING. 7ime is of the essence. The FZecipient must expeditiously proceed with and complete the Project. Fa�lure to proceed accarding to the tim�lines set forfih in this Agreement may require #he Recipient ta repay to the State Water Board all disbursed Project�unds. 46. TRAVEL AND PER DI�M. IVo wark or travel outside the 5tate of Califorrria is permitted under this Agreement uniess the Divisic�n provides priar written authorization. No work c�r travel outside the tJnited States of America is autharized. Failure to cc�mply with this restriction may constitute an Event af�efault and result in terminatiarr Qf this Agreement. Any reimbursement for necessary travel and per diem shall be set pursuant to and at rates nc�t ta exaeed thase set by the CaBifornia Departrnent af Human Resourc�s at�tt�� c�lh�c��crv/�r��lc��°��l��c��Jtr�vel- r�6rr�b�r��rr�ent�,�� , as of the date costs�re ineurred by the RecipienC: 46. IJI�C7ISBURSED FUNDS. The Recipient is not entitled to interest e�rned on undisbursed funds. 47. UNENFt�RCEAE3Ll� PRC�VISlON; SEVERABILITY. ln the�ver�t that any provision of this Agr�ement is unenf�rceable or heid tc�be un€�nforceab9e,then the parties agree that all other provisians of#his Agreement k�ave farce and effect and shall not be affected thereby. 48. UNIC7N AC71VI71ES: 7he Recipient hereby acknowledges the appdicability of Government Code sectic�ns '16645#hrough 16649 ta this Agreement, The Recipient certifies that none af the Project Funds will be used to assisk, promote, or det�r union arganizing. If the Recipient incurs costs or makes expenditures to assist, promote;or deter union arganizing, the Recipient will maintain recards sufficient ko shc�w that no reimbursement firam Project Funds has been soughti fc�r these c�sts and tMe Recipient shail prcrvide th�ase records tc�the Attorney General upon request. 49. VENUE. Any action arisi�g c�ut af this Agreement shall be filed and maintained in the Superiar Cc�urt in and For the Caunty of Sacramento, California. Exhibit C City of Redding Praject No. C-06-8621-110 Agr��ment Idfl:D2501019 Page 2U c�f 34 50. WAIVER AND RIGHTS 4f THE STATE WATER BdAR�. Any waiver of rights by the State Water�oard with respect to a default or other matter arising und�r this Agre�ment at any time shall not be considered a w�iver of rights with r�spect to any other default t�r matter. 51. W,4TER C(�NSERV,4TION,4ND EFFICIEN'CY PR{�GRAMS: The Recipient acknawl�dges that it h�s�ppropriate water cons�nration and efficiency programs in place, and that this provisic�n constitutes a canditian of thi�Agreement: A web link with�xamples of w�ter cc�nservation and efficiency programs is available a#: h�t�.11 .��terb��rd�.c�.��a�alv��r�i�h��/v��r i�su��l rc� r�rn�ldrau�h�/��ms�r��ti�n.�hfe�l. 52. WAT�R DIVERSIQN AND USE: To#he extent applicable, the F2ecipient has cr�mplied'with, and shall continue#o compiy with, the requirements of Watc�r Cc�de,divisic,n 2; part 5:1, section 5100 e#s�q.f�sr filing statements�f w�ter diversion �nd use, 53. WITHHdLC7ING tJF QISBl1RSENiENTS AiVD RElMBURSEMENTS. Notwithstanding any other �rt�vision af this Rgreernent, the State Water Bc,ard rnay withhold all ar any porfion of the Prcrject �unds upon the occurrence�f any af the fa(lowing�vents: a) Failure of the Recipien#ta maintain reasonable�rogress on the Project as determined by the D'ivision; b) Commencement c�f litigation or a judicial or administrative proceeding relat�d to the Project, or Recipi�nt that the State Water Board determinas may impair the timely satisfaction of Recipient's obligations under this Agr�ement; c) Any investagation by State, local, or federal inves#igators or audi#ors, or a grand jury, relating #a the Recipient's fin�ncial management, acc�unting procedures, or interna9 fiscal cnntrols; d) A material adverse ch�nge in the condition of th�Recipien#, ar the Praject; fhat the Division r�asc�rr�bly determines would m�terially impair the Recipienfs ability to satisfy its obligations under this Agreement,or�ny other event that the �ivisic�n reasanably determines would materially impair the Recipient's ability to satisfy its c�bligatic�ns under this Agreement; e) Th� Recipfent's materiaf violation of;c�r threat to materially violate, any provision of this Agreement; f} Suspician af#raud, forg�ry, embezziement, theft,or any other misuse af public#unds by the Recipient or its employe�s,c�r by its contractors c�r agents directly c�r indirectly regarding the Project; g) An event requiring natic�under this Agreement; or h) An Event of L7efault or an event that the Division d�termines may become�n Event of befault. Exhibit G City caf Redding Praject No. C-06-8621-110 Agre�ment No: D2501019 Page 21 of 34 EXHIBIT D—SPECIAL GC7N�ITiONS Q.1 TECHNICA�AND ENVIRC?NN{ENTAL SPEGIAL CC7NDITIONS. Technical: a) The Recipient must abtain a right-of-entry agreement for each property awner prior ta construction on each individual property. The right-c�f entry agreement t�mplate must be submitted to the Divisic,n for raview:The Recipient must satisfy tihis condition for an individual praperty prior to requesting disbursement of construction costs for that property: b} The Recipient shall obtain all required prop�r#y rights prior to the bidding and awarding of any cc�nstruction contract. Prior to any request for reim�aursement far construction costs under this Agreement, the Recipient must deliver a supplemental opinion of counsel satisfactory to the bivision's couns�l that th�Recipient has sufficient property rights in the Project proper#y for the purposes cantemplated in the Agreem�nt, including but not limite�to right-of entry agreements with a minimum of 26 residences, and has camplied with the requirements of the Uniform Relocation Assistance and Real Property Acquisition Pc�licies Aet of 197(?(42 U.S.C. 4601)with respect to any property acquired for the purposes of the Project.No constructian funds will be disbursed under this Agreement until the Recipient satisfies this condition, Environmental: a) The Recipient shall make nn changes in the Project, construction area,ar special conditians, without obfiaining the appropriate and neeessary priar approval from#he State Water Board: bJ The Recipient must notify the Project Manager by phone and by email and the Division by phone at(916) 327-9978 and by email, �I��raV�f��r56�F�s��t�rl��rds c�. �a� within 24 hours of the discovery of any pcatential tribal cultural resource and/c�r archaeologic�l or historical resource, and shall nntify the Qivision promptly upon khe discovery af any unexpected endangered or threatened speeies,as defined in the federal Endangered Specie�Act: Fc�r additional requirements; please refer to�xhibit C af this Agreement: D.2 QEFlNITIt7NS: 1. Notwithstanding Exhibit C;the followring terms have na m�aning#or the purposes of this Agreement: • Work Compi�tion * Work Ctampietic�n Date 2. Each capitalized term used in this Agreement has the fallcrwing meaning: • "Allawance"means an amount based on a percentage of the accepted bid far an eligible project to help defray fihe planning, design, and construction�ngineering and administration casts of the Project. • '"Authorized Representative" means the duly appointed represent�tive of`the Recipient as set forth in the eertified ariginal of the Ftecipient's authorizing resoluticrn that designates th� authorized representative by title. �xhibit C? Gity of Redding Praject Ncs. C-C}�-8521-'110 Agreement No; D25010'19 Page 22 of 34 • "Completian of Construction"means the dat�, as determined by the Division aft�r consulfatit�n with the Recipient,that the wc�rk�f building and erection of the Project is substantially comple#e, and is established on the Cc�ver Page of this Agreernent: • "Eligible Canstruction Start C7ate"means the date set farth c�n#he Caver Pat�e af this Agreement, establishing t�e dat�c�n ar after which construc#ian cc�sts may be incurred and eligible f�r reimbursernent h�reunder. • "Eligible Work Start Date" means the date set forth on the Cover Page of this Agreement, establishing the date on or after which any non-c�nstruction costs may b�incurred and eligible for reimbursement hereunder. • °Enterprise Fund"means the enterprise fund of the Recipient in which Revenues-are depc�sited. • "Ev�nt of Default"m�ans, in additian to th�meanings set forth in Exhibit C,the�s�currence c�f any €�f the followi�g events: a) A material adverse change in the condition of the Recipi�nt�the R�venues, ar the Syst�m,which the Divisic�n reasonably deterrnines wcruld materially impair the R��ipier�t's�biJity to satisfy its obligatians und�r this Agreement. b) F�ilure to operate the�ystem or the Project, unless the L7ivision has given its appraval for such non-operation; c) Th�c+ccurrenee of a rnateriat breach ar event c�#de#ault under any Recipi�nt cabligatiorr that results in the acceleration of principa(or interest or otherwis�requires imm�dia#�pr�payment, repurchase c�r red�mption, or that the Divisian d�#ermines would materi�lly'impair the Recipient's abiiity to satisfy its abligations under this Agreement; • "Final Budget Approva3 (FBA)„ means the bivisicrn's written approval of the final budget fc�r the Prc�ject or a pt�ase e�f the Prcrject. . "Indir�ct Costs"means those costs that are incurred far a common c�r jaint purpase benefiting mare than one cost�bjective and are not readily assic�nable to the Project(i.e., ct�sts that�re not direcfly related to the Prc�ject). Examples of indirect Costs include, but are nc�t limited to: central service casts; general administr�tion of the Recipienfi; non-presject�specific accounting-�nd personnel seruices performed within the Recipient organizatic�nj depreciation or use allowances c�n buildings and equipment;th�costs of t�perating and maintaining nc�n-project-specific facilities; tuition�nd conference fees;generic ov�rhead or markup,and taxes. • "Initiatic�n af C�nstructit�n"means the date that notice to proceed with�v�rk is issued fcar the Project, or, if r�c�#ice to pra�eed is not required,fihe dafie af cc�mm�neement c�f building�nd er�ction of th� Project. • "(Vet Revenues"means, for any FiscalYear, all Revenues received by the Reeipient less the C}perations and Maintenance Costs far such Fiscal Year; • "O�erations and Maintenance Cas#s"m�ans the r�asonabie and necessary costs paid or incurred by the Recipient far maintair�ing �nd operating the System, determined in accordance with GAAP, Exhibif D City af Redding Project No. C-t�6-S621-91Q Agreement No: D2501019 Page 23 of-34 including all reasonable expens�s-af management and repair and all other expenses necessary to maintain and preserve the Systerr7 in goad repair and vvorking order, and including�II reasoaable and necessary administrative costs of fhe Ftecipient that are charged directly or apportioned to the aperation of th�System, such as salaries�nd wages af employees, c�verhead, t�xes(if anY),-the cost�af permi#s, (icenses, and charges to operate the-Sysfiem and insur�nce premiums; but�xcluding,"in all cases depreciation, replacement,and obsolesce�ce charg�s or reserves therefor and amcartization af intangibles. • °'Policy"means the State Water Board"s"Poliey for Implementing the Clean Water State Revc7lving Fund,"as am�nded from time to time, including the Ir�tended'Use Plan in effect as af the executian date of this Agreement. + "Revenues"means,for each Fiscal Year, ali gross income and revenue received or receivable by the Reeipient from the ownership or operation of the System, determined in accaardance wi#h GAAP; including all rates;fees, and charges (inciuding connection fees and charges}as receiv�d by the Recipient for the services of the System; and all ather income and revenue howsoever derived by the Ftecipient from the ownership or operation af the System or arising fr�m the System, including all ineame fram the depasit or investment of any money in th�Enterprise Fund or any rate stabilization fund of the Recipienk car held on the Recipient's behalf, and any refundable depasits made to establish credit, and advances or contributic�ns in aid of construction. � "System" means all wastewater collection, pumping, transport, treatment, storage, and disposal facilities, including land and easements thereof, owned by the Recipient, including the Prajecf; and ail other properties,structures; or works hereafter acquired and constructed by the Recipient and determined#a be a part of the System, together with all additions, betterments, extensions,nr improvements to such facilities, praperkies,structures, or works, or any part therer�f hereafter acquired and constructed. • "Useful Life"means the eccanomicaily useful life of the Project beginning at Pr�aject C+ampleti�n and is set forth in Exhibik A. D.3 ADDITIt�NAL REPRESENTATIORIS AIVD WARRANTIES. The Recipient represents; �arranfs, and covenantis each of the follo�ing: 1. 7he Recipient has nc+t made�ny untrue statement c�f a material fact in its applic�tion far this finaneial assistance or omitited to state in its application a rnateri�l fact that makes the statements in its application not misleading. 2. The Recipient agre�s to fulfill all assurances, d�clarations; r�prese�tations, and commifinents in its application, accompanying documents,and cc�mmunieations fiiled in supp�rt of its request for funding under this Agreement: 3. Th�execution; delivery, and performance by Recipient of this Agreement, including all incorporated doGuments, do not violate�ny provision of any law or regulatian in eff��t as r�f the date of execution of this Agreement by the Recipient, or resuit in any breach or default under any cantract, obligatic�n, indenture, car other instrument to which Recipient is a party or by which Reeipi�nt is bound as of th�date af execution of this Agreem�:nt by the Re�ipient, Exhibit D City of Redding Project No, C-06-8621-'110 Agreement No: C72501(?19 Page 24 af 34 4. There are, as of the date af executian af this Agreement by the Recipient, no pending or,to Recipienfi's knowledge, threat�ned actions, claims, investigations, suits,e�r proceedings before �ny governmental authority, court, or adminisfir�tive ag�ncy which materially affect, or if resolved unfavarably ta the Reci�ient,would materially affect,the#inancial cc�ndition or operations of the Ftecipient, the Revenues, and/or the Project. 5. There,are nc�proceedings, actions;or offers by a public entity ta acquire by purchase or the power of�minent dornain any of the real c�r persanal property related to t�r necessary for the P roject. 6. The Recipient is duly�rganized and existing and in gac,d standing under the laws of the Stat�c�f California. F2�eipient must at all times rnaintain its current legal existenc�and pres�rve and keep in full force and effect its legal rights and authority. Within the preceding ten ye�rs, th�Recipient has not failed to demonstrate compliance with state ar federal audit dis�llc�wances. 7. Any financial sta#ements ar other fin�ncial documentation of Recipient previously delivered to the State Water Board as of the date(s)set farth in such financial statements-or other financial documentation: (a)are materi�lly complete and correct; (b} pres�nt fairly the financial condition of th�Recipi�nt;and(c) have been prepareti in �cccrrciance with G,4�P. Since the date(s}of such fin,�nciel statements or other fin�ncial docum�ntation, there has been no material adverse change in the financial candition c�f the Ftecipient, nor have any assets ar propertie��eflected on such financial statem�nts c�r other financial documentation be�n sold,transferred, assigned, mortgaged, pledged or encumbered,except as previously disclosed in writing by Recipient and approved in wrriting by the State Water Board: 8, The Recipient is current in its continuing disclosure c�bligations associated with its material debt, if any: 9. The Ftecipient has na conflicting ar MaCerial Obligations. 10. l'he Recipient has sufficient real or persc�nal pr�perty rights necessary for the purposes of this Agreernent, not subject to third parky revocatic�n, which rights extend at least t+�the Recc�rds Retentian End Date of this Agreement, axcept�s disclosetl to t�e State Water Board.The Recipient legally pc�ssesses property access rights to any'real or personal property necessary for tne purposes of this Agreement for which the Recipient do�s nat 1egally possess all real ar personal property rights, except as disclased ta the State Water E3oard.'The R�cipient h�s disclosed tc�the State Water Bc�ard all proceeding�, ac#ians, or offers of which the Recipient has knc�wletige c�r belief that rnay in any way affect the Recipient's ability to access or legally passess al!c�f the property ne�essary far tf�e purpose c��this Agreement, including any proce�dings; actions, or offers to le�se; purchase, o�acquire by eminent domain any of the real�r personal property related to or necess�ry for the Prcaject, 11. 7he Ftecipient and i#s principais, con#r��tc�rs, �nd subcontractors;to the best of the Recipienf's knr�wledge and belief,are not presently debarred, suspended, pcoposed#or debarm�nt, declared ineligible, or otherwise excluded from participation in any work overseen; directed, funded,ar administered by the State Water Board program for which fihis funding is authorized; nor have #hey engaged or permitted the perFc�rmance of ser�ices�overed by this Agreement from parties that are deb�rred or suspended or oth�r7nrise�xcluded f�om or ineligible for partieipation in any work overseen, dire�ted,funded, or�dministered by the�ta#e W�fier Bc�ard progr�m fe�r which this funding is autht�rized. Exhibit Q Gity crf Redding Project No. C-06-8621-110 Agreement Nc�: [72�010�9 Page 25 of 34 D.4 ACKNUWLEQGEMENTS. The Reeipient must include the following acknowiedgement in any document, written repork, or brochure to be shared with#he general public prepared in whale or in part pursuant to this Agreernent: • "Funding for fhis praject has been provided in full or in part under the Clean Water State Revalving Fund, which may include capitalization funding from the United States Environmental Pratection Agency fhrough Agreement No. D250�Q19 with the State Water Resourees Cnntrol Board. The contents of this document dc� nc�t necessarily reflect the views and policies c�f the foregoing, nor do the for�going endorse trade names ar recomrnend the use nf cc�mmercial products mentiQned in this dcacument,as w�ll as any images, videa, te�xt, c�r other cantent created by generative artificial intelligence#aols, nc�r does�ny such content necessarily reflect the views and policies of the faregoing,,, Q.5 RATES; FEES,ANC�CHARGES. The Recipient must, to the extent permitted by law, fix, prescribe and collect rates, �ees and charges for the Syskem during each Fiscai Year which are reasanable, fair, and nondiscriminatory and whieh will be sufficient ta generate f2evenues in the amo�rnts necessary to cover Operations and Maintenance Gosfs; and must ensure that Net Ft�venues are in an amount necessary to meet its obligatians under this Agreement. 1"he Recipient may rraake adjustments from time to time in such fe�s and charges and may make such ciassifica#ion thePeaf as it deems necessary, but shall nat reduce the rates;fees and eharges then in effect unless the Net Revenues from such reduced rates, fees, and charges will at all times be sufficient to meet the requirements of this section. D:6 RETURN OF FiJ�lI�S. Ne�twithstandinc� anyother provision af this Agreement, if#he Djvision determines that an Eventof Default has accurred, the Recipient may be required, upon demand, to immediately r�turn to the St�te Water Board any grant crr principal fargiveness amounts received pursuant to this Agreement and pay interest at the highes�legal rate an ail of the foregoing: D.7 QPERATION AND MAINTENANCE. The Recipient shall sufficientfy and properly staff; operate, and maintain the facility and structures constructed nr improved as part of the Prc�ject throughcaut the term c�f this Agreement, consistent with the purpc�ses of fhis Agre�m�nt. T"h�R��ipi�nt�ssum�s all c��a��iiu��is a�7�1 i�r��ii�tea�a0�ce��fis c�f the facilities and structures; the State Water Board shall not be liable for any cost of such maintenance, management r�r aperation. �:8 1NSlJRANC�: Th�Recipient will procure and maintain or cause to be maintained insurance on the Systerrr and Project with responsibie insu'rers, or as part of��easanable syst�m of self-insurance, in such �mounts and against such risks (including darnage tc�or desfiruction ofthe System and Prc�ject}as are usiaally covered in conne�tion with systems similar to the System and Project. Such insurance may be mainfiained by a seBf-insurance plan so lang as such plan prouides for(i}the establishment by the�Zecipient of a separate segregated self-insurance fund in an amount determined (wnitially and on at least an annual basis)kay an independent insurance consultar�t experi�nced in the field of risk management emplaying accepted actuaria!techniques and (ii)#he es#ablishment and maintenance of a claims praces�ing and risk; management program. Exhibit D City af Redding Project No. C-06-8621-110 Agreement No: D2501099 Page 26 of 34 In the event af any damage#o ar des#ruction afi the System or Project caused by the perils cc�vered by such insurance,the net prc�ceeds thereof shall be applied to the recons#ructic�n, repair ar replacement of the damaged or destrt�yed portion of the System or Project. The Recipient must begin such reconstruetian, rep�ir ar repl�cement as expeditiously as pc�ssible, and must pay out of such rret proceeds ail costs and expenses in ct�nnection with such reconstructir�n,repair or repl�cement sa thatfhe same must be completed and the System and Project must be free and ciear of ail claims and liens. Recipi�nt�grees that for any policy of insurance concerning or covering th�cor�structi�n of the Project, it' will c�use, and will require its contractors and subcontractors to caus�, a c�rkificate of insurance to be issued sht�wing the State Water Board, its afficers,agents, employ�es, and servants as'additional insured; �nd must prc�vide the Division with a copy of all such certificates priar t�the cammencement c�f construction of#he Project: Q,9 CON71h1Ut�US USE C1F RRtJJE�T; NC7 LEAaE,SALE, TRANS�ER OF CIWNERSNJP, QR DISPC}SAL OF PROJECT. The Recipient agrees that, except as provided in this Agreement, it will not abandon, substantiatly disc€�nfinue use of, lease, s�lf, transfer ownership�f, car dispose of all or a significant part or portion of the I'ro�ec#during the Useful Life of the Prajecti without prior written approVal of the Division. Such apprcaval may be candifioned as determined ta be appropriafe by the Drvisivn, includir�g ��ondit�on requ�ring rep�yment ofi all dis�bursed Prflject Funds or all or any partion of all remaining funds covered by this Agreerrrent tc�gether wi#h accrued interest and any penalty assessments that rnay be due: D.10 NC?TICE. Upon the cr��urrence of any nf the following events, the Recipient rnust notify the Division's Deputy Directorand Party Contacts by phone and email within th�time specified below: 1. Wi#hin 24 hr�urs, the Recipi�nt must notify the Project Manager by phone and by email and the Division by phone at(916} 327-9978 and by email, �1�� r�F2� ��t��b�a�rd�.��.�r��af any discovery of any poten#ial tribal cultural resource, archaeolr�gic�l or historical re�ource, or human r�mains in the Project area. If th�re are any applicabl�prc�visians af a mitig�tion, monitoring and reporting progr�m adopted for th� project, the Recipient shall comply wifih$uch provisions, The Recipient must coordinate with the Division to determine the appropriat��ourse of action necessary fio mitigate patential impacts. In the event c�f th�discovery of human remains during cc�nstruction of the Project,the Recipient shall cease construcfion and take ather action required by any applicable laws, which rnay include but are nc�t limited to H��Ith and Safety C�de, section 705{7.5 and Public Resources Code; section 5097.98. 2. The R�cipient must notify the Divisit�n and Party Contacts promptly af the occurrence af any of the following events: i. Bankruptcy, insolvency, reeeivership or similar ev�nt of the Recipient, or actions taken in�nticipatiora of any of#he foregoing; ii. Change t�f ownership af the Project(no change of awnership may occur without written consent of the L�ivision); iii. Loss, theft, damage, or impairment to Project, iv. �vents of Default, except as atherwise se#forth in this section; v: A proceeding ar action by a public entity to acquire the Proj�ct byp�wer of eminent domain: Exh'ibit D City of Redding Project No. C-U6-8621-110 Agreemen#No; C?2501019 Page 27 of 34 vi. Any litigation pending or threatened with respect to the Project or the RecipienYs teehnical, managerial or financial capacity or the Recipient's continued existence, c�r any judgrnent ar court order r�lating to such li#igation that has a significant effect on the Project or the System; vii. Gonsideration of dissolution; or dis'incorporafion; viii. Enfarcement actions by or brought on behalf of the State Water Board c�r Regional Water Board. ix. The discovery of a false stat�ment of f�ct or representation made in this Agreement car in the application to the bivisinn fc�r this funding, or in any cerkification, report, or request for reimbursement mada pursu�nt to this Agreement, by the Recipient, its etnplayees, agents, or contr�ctars; x. Any subst�ntiaB change in scope of the Project. The Recipient must undertake no substanti�l change in the scope c�f the I'roject unfil prampt written notice of tihe proposed change has been provided to the Glivision and the;L�ivision has given written approual for the ch�nge; xi. Any circumstance, cambinatian of circumstances, or condition, which is expected ta or daes delay Completion of Canstructian far a peric�d of ninety(90) d�ys or more; xii. �ny disputes related to#he Project that may affect the Recipier�Ys�bility to compBy with th�terms of this Agreement; xiii: Cessation afi all major constructian wr�rk on tihe Project where such cessation of work is expected to c�r daes extend far a period of thirty(30) days or more; xiv. The F2ecipien#must pramptly notify the Division and Party Contacts of#he discovery of any unexpected endangered or threaten�d species, as defined jn the federal Endangered Species Act. Should a federallyprotected sp�cies be unexpectedly encountered during impiementation of the Project, the Recipient agrees to promptly notify the Division. This notification is in addition to the Recipient's obligations under the federal Endangered Species Act; xv. Any f'raj�ct monitc�ring,demon�tr�tion, c�r other implementatiic�n activities requir�d in this Agreement; xvi. Any public or media event publicizing the accomplishments andJc�r results of this Agreement and provide the c�pportunity for attendance and parkicipatican by state representatives with at least ten (10)working days' n4tice to the Division; xuii. Any event requiring notice to the Division pursuant ta any other provision af this Agreement; xViii: The award af#he prime construction contrac#for the Project, and the initiation c�f cc�nstruction ofthe Prcrject; and xix. Ccampletion of CQnstructian, and Project Ct�mpletion: Exhibit I7 City af Redding Project No. C-06-�621-11� Agreement No. D2501019 Page 2$of 34 [7.11 FRAUQ, WASTE,AND ABU'SE. The R�cipient shail prev�nt fraud,waste, and the abuse of Prc,ject Funds, and shall cooperate in any investigation of such activi#i�s that are suspected in conneetion with this,4greement. The Recipient understands that discouery af any evidence af misrepresentation c�r fraud related fio Reimk�ursement Requests, invc�ices, procsf of payment c�f invoices, or other supparting infc>rmatian, ineluding but n�t limited to daubl�ar multiple billing for time; services, or�ny other eligible ccast, may resuit in an administr�tive actic�n by the State Water Board andlar referral to the Attorney General's Office ar the appiicable District Attorney's Office for appropriate action. Th� �tecipient further understands that any suspected accurrences offialse claims,misrepresentati�n, fraud, forgery;theft or any other misuse of Project Funds may result in withholding of reimbursements and/or the terminatian of this Agreement requiring th� irnmedi�te repayment of all funds disbursed hereunder. A person who knowingly makes c�r causes to be made any fa�se statement, rnat�rial misrepresentatian, crr€alse ceetification in any submittal may be subject to a civil penalty, crirninal fine, or imprisc�nment. {Wat. Code, § 13490 et seq.) �:12 D15PUTES. The Recipier�t must continue with the responsibilities under this Agreement during any dispute: The Recipient may; in writing, appeal a staff decision within 3�days tr�#he Deputy�iirector of the D'ivisian or designee, fc�r a final Divisian decision. The I�ecipient rnay appe�l a final Qivision decision to the�tate Water Board wi#hin 3(I days. The(7ffice of the Chief Counsel af the State Water Board will prepare a summary c�f the dispute and make rect�mm�ndations relative to its final resolution,which will b�provided to the State Water Board's �xecutive Dir�ctor and each State Water Board Mem'ber. Upon the motican c�f any Stat�Water B�ard �ember, the State Water B4ard will review and resalve the dispute in the manner determined by the State Water Bc�ard. Should the State Water Board d�terrnine nc�t to review the final Division decision,this decision wiii represent a final agency action on the dispute. This prcavisian does not preclude consideration of legal questions, provided that nothing h�rein shall be construed tc�make final the decisit�n r�f the Stafie Water Board, or any official or representative thereaf, t�n any questi�n of law. This section relating to disputes daes not establish an exclusive procedure for resalving claims within the meaning of Government Cr�de sections 930 and 930:4. D.13 �XE�UTIVE C?RD�R N-6-22—RU�SIAIV S�,NCTIONS. an �l�rch 4,2022, Governor Gavin Newsom issued Executive Order N-6-22(the EC7}regarding Eccanomic Sanctic�ns ag�insf Russia and Russian entities and individuals. "Economic Sanctions" refers to sanctions impc�sed by the U.S. �ov�rnment in respc�nse to Ftussia's acti�ns in Ukraine,as well as any sancti�ns imposed under state law:The EO directs state agencies ta termin�te�antr�cts with, and to refrain from enterirrg any n�w contraets with, individuals or entities that are determined to be a t�rget o# Economic Sanctic�ns. Accnrdingly,should the State Water Board determine Recipient is a target of Economic Sanctions�r is c�nducting prohibited transactic�ns with sanctioned individuals or entities,that shall be grounds for terrr7ination c�f this Agreement,The State Water Board shall provide Recipient advance writ#en notice of such terminatic�r�, allowing Recipierrt at least 3�calendar days tc�provide a wri#ten response.Terminatir�n shall be at the sale discr�tian of the State Water Bo�rd. The Recipient repr�sents that the Recipient is nat a target of economic sanctit�ns impc�sed in response to Russia's actior�s in Ukraine imposed by the Uni#ed States government ar#he State of California, 7he Recipient is required to�c�rnply with the ecanomic sanctions impc�sed rn respnnse tcr Russia's actions in tJkraine, including with respect to, but not limited ta,the federal executive orders identified in California Executiv�O�der N-�-22, located at htt �.IJ . ��:��. ��o��a��r�t��tJ�p��i�d�6��2�9C�303.4�.22-�� IJkr�ir��c��u�i��mC3rd�r.t�df and the s�nctiic�ns identified on the United States Department of the Tr�asury website(h#t��./11��ri�.�r��sury.�c��/��li��gii��u��lfir��r��i�i-��c��ti��J��ii��da��-pr� r�ri��nd� c��r�t ffiinf�rr��tm�r�/�ki��Ao��-ria��i�-r�l�t�dm��tic��3. The R�cipient is required to ct�rnply with�II appiicabie reporting requirements regarding cc�mpliance with th�econamic sanctions, inciuding, but not Iimited to, those reporting requirernents set fr�rth in Califc�rnia Ex�cutiv�Order N-6-22 for all Reeipients Exhibit D City of Redding Project No. C-06-�621-110 Agreement Na:D25t71019 Page 29 of 34 with one or raiore agreements with the State of Galifornia with an aggregated value of Five Nlilli�n Dollars ($5,000;0�0)ar more: IVotwithstanding any other provision in this Agreement,failure to compiy with the econamic sanctions and all applic�ble reporting requirements may result in termination c�f this Agreement. For Recipients wifih an�ggregated agreement value of Five Million Dollars ($S,OOO,OOQ)c�r m�re with the State of California, reparting requirement� include, but are nat limited to, information related to steps taken in response to Russia`s-actions in Ukraine; inciuding but not limited to: 1, Desisting from making any new investments or engaging in financial transactions with Russian institutions or cc�mpanies that are headquartered or have their'principal place of bus�iness in Russia, 2. Not trans#erring technc�lagy tca Russia or companies th�t are headquarkered c�r have their principai place of business in Russia; and 3: Direct support to the government and peaple of Ukraine. D.14 STATE CRt�SS-CIJTTERS'. Recipient represents that,as applicable, it complies and covenants tc�m�intain cornpliance with the foilowing with resp�ct to all Project Costs for the term of this Agreement: + The California Environmental Quality Act{CEQAj, as set forth in Public Resources Code 21Q00 et seq. and in the CEQA Guidelines at Title 14, Qivision 6, Chapter 3, Section 15000 et seq: a Water Conservation requirements, including regulatians in Division 3 of Titfe 23 of#he Californ�a Cade of Regulations. @ Monthly Water Diversion Reporting requirements, including requirements set forth in Water Code section 5103. • Public Works Cc�ntractor FZegistration with Department of lndustrial Reiations requirements, including requirements set farth in Sectians 1725:5 and 177�.1 af the Cabor Code. « Volumetric Pricing &Water Meters requirements, including the requirements c�f Water Cc�de sections 526 and 527. • Urban Water Management Pian req�airements, including the Urban Water Management Planning Act (Water Code, § 10610 et seq,). • Urban Water��m�nd Management requirements, including the requirements af Section �0608.56 of the Water Code. o aelta Plan Consisteney Findings requirements, including the requirements of Water Code secti�n 85225 and California Cc�de of Regulations, title 23, sectian 50Q2. • Agricultural Water Management Pian Consistency requirements, ineluding#he requirements of Water Code section 10852. • Charter City Praject Labor Requirements, including the requirements of Labor Cade sectian 1782 and F'ublic Contract Code section 2503. Exhibit D City of Redding Project Rlo. C-06-862��110 Agreement No: D2a01 b19 Page 3�af 34 • Th�Recipient agrees that it wiii, at all times, comply with and require its contractc�rs and subcantractors ta�c�mply with directiv�s or orders issued pursuant to Division 7 of the Water C�de. • Regulations in Division 4 of Title�2 of the Galifotnia G+�de of Regulations, including but not limited to Califc�rnia Waterw�rks Standards in Ch�pter 16, and Lead and Copper regulations in Chapter 17.5. L1.15 DAMAGES �(�R BF��ACH CtF FEdERAL CQNCIITIORIS. In the event that any breach�af any caf the pravisians of this Agreement by the R�cipient results in the failure of Project�'unds ta be used pursuant to the provisiflns caf this Agreement,or if such breach resui#s in ar�obligatian c�n the part of the State or any subdivision or agency therec�f tc� reimkaurs�#he federaf goverr�ment,the Recipient must immediateVy reimf�urse the State or any subdiVision or agency fihereof in an amount equal tc�any d�rnages paid by or loss incurred by the S#ate�r any subdivision ar agency thereof due#o such breach. D.16 ACGESS AN1J INSPEC710N`. In additian to the obligations set fr�rth in seetian 2 of the General Terms�nd Conditic�ns incorparated in Exhibit C of#his,�greement;the R�cipient must ensure that the United States Environmentai Protectian Agency, the t7ffice af Inspector Generai, any member of Cangress, or any auth�rized representative of the faregoing,will have safe and suitable aecess to the Proje�t site at all reasonable times during the term of the Agreement. C7.1"7 FINANGIAL MANAG�MENT SYSTE(�S. The Recipient must comply with fed�ral standards for financial management syst�ms. The Recipient agrees that, at a minirriurn, its fiscal control and accounting procedures will be sufficient tc�perrrrit preparation afreports required by the federal government and tracking of Project funds to a level of expenditure adequate t�establish that such funds have not been used in violation c�f#ederai or s#ate law ar the term�of this Agreement: D.18 FEDERAL CRC►SS-CUTTERS. The Recipient acknowledges,warrants compliance with,and cav�nants to continuing campliance with the fc�llowing federal terms and conditions with respect to all Projeet Costs for the term e�f this Agreement and for the Useful Life of the Project: i. UNess the Recipient ha�obtained a waiver from USEPA c�n file with the State W�ter Board or unless this Proje�t is not a praject for the constructic�n, alteration,maintenance or repair of a public w�ter system or treatment work, the Recipient shall nc�t purchase"iron and steel products" prc�duced e�utside c�f tihe United States on this Project. lJnless the Recipient ha�c�btained a waiver frc�m U�EPA on file with the State Wat�r Board or unless tihis Project is not�project f�r the consteuctic�r�, alteratian, maintenance or repair of a public w�ter system or treatment work,the Ftecipient hereby certifies that all"iron and ste�f pr�ducts" us�d in the Praject were or will be produced sn the llnited Stat�s. �or purpases af th'is section, the term"irc�n and steel products�� means the follt�wing prnduc#s made primarily of iron ar steel: lined flr unlined pipes and fittings, mani�ole covers�nd other municipal castings, hydrants, #anks, flanges,pipe clamps and restraints, valves, structur�i steel, r�inforced precast concrete, and construction materials. "St�el" means an alloy th�t includes at least 50 percent irar�, between .02 and 2 percent carbon, and may include ather�lements. Exhibit D Gity csf Redding Projeet No. C-06-86Z1-11� Agreement Na: D2501019 Page 31 ofi 34 ii: The Recipient agrees to comply witih the �avis-Baeon provisions incorporated by reference in this Agreement.The Recipient must include in full the Wag�Rate Requirements{Davis-Bacon) language incor�orated by reference in �II c�nstructinn contracts and subcontracts. iii. The Recipient shall ncatify the State Water Bo�rd and the USEPA cantact of public or media events publicizing the accamplishment of significant ev�nts related tc�this Project and provide tihe opportunity for attendanee and participation by federai representatives with at Jeast ten{10) working days' notice. iv. The Recipient sh�ll comply with applicable 11S�PA g�neral terms and conditians found at h�t �;f/u� .e �: ca�l r��/� �- �rs�r�l-t��r�o�-�r�d-��ar�di�ic�n��ff��ti�e-��kcab�r-1-2Q24-�r-I�t��: v. No Recipient may receive funding under this Agreement unless it has provided its Llnique Entity Identifier; assigned by the System for Award managemen#, t�the State Water Board. vi. The R�cipient represents and warrants that it and itis principals are not excluded or disqualified from participating in this transaction as such terms are defined in F'arts 180 and '1532 af Title 2 of the Code of Federal F2egulations(2 CPF�). If tihe Recipient is excluded after execution af this Agreement,the F2ecipient shall nr�tify the Division within ten ('10)d�ys and shall inform the Division of the Recipient's exclusion in any request for amendment of this Agreement. The Recipienk shall comply with Subpart C of Part 180 of 2 CFR, as supplemented by Subpart C o# Part 1532 of 2 CFR. Such compliance is a condition precedent to the State Water Board's performance of its obligations under this Agreement, When entering into a covered transactian as defiined in Parts 180 and 1532 of 2 CFR, the Recipient shall require the other p�rty to the covered transaction#o compfy with Subpart C of Part 180 of 2 CFR, as supplemented by Subpart G of Rart 1532 of 2 CFR: vii. To the extent applicable, the Recipient shail disclose to the State Water Baard any potential conflict of interest consistent�n+ith USE�A's Final Financial Assistance Gonflict of Interest Palicy at htt �.Jla� .� �. cavl r��t�l� ��-Fa��d-�fira�r��i�l-��i�t�r�c�-�c�rifNict�drrt�re�t- c�li� .A canflict of interest may result in disallowance of casts: viii. USEI'A and the State Water Board have the righf to repraduce, publish, use and aufihariz�;others t�reproduce, pubfish and use capyrighted warks or other dafia developed under this assist�nce agreernent.This includes the right to require the Re�ipient to make such works availabie through agency-designated public access repositories. ix; Where an invention is made with Project Funds, USEF'A�znd the State Wat�r B�ard ret�in the right tc�a worldwide, nr�nexclusive, nontransferabie, irrevocable, paid-up lic�nse tca practice the invention owned by th�R�cipi�nt. The Recipient must utilize th� lnteragency Edison extramural invention reporting system at h#t�:d�i�d��c�r�.c�c��and shall notify the Divisi�n when an invent�on report, patent repc�r�;or utilizatian repc�rt is filed. x. The Recipient agrees that any reporks, documents;publications or c�ther materials developed far public distribution supported by this Agreement shall contain fhe Acknov�ledgment statement set forth in Exhibit D; xi. The Recipient acknowBedges that it is encouraged to�o11aw guidelines established under Section 5(l8 af th�Reh�bilitatian Act,codified at 36 C�R Part 1194,with respect ta enabling individuals wi#h disabilities to participate in its prr�grams suppc�rted by this B�raject: xii. The Reciprent, its employees, cas�tractors and subcontracttsrs and th�ir empinyees w�rr�nts that it will not engage in severe forms of tr�ffi�king in per�ons,procure�cnmmercia}sex act during the term nf this Agreement, use forced labor in the performance of this Agreement,c�r engage in Exhibit C? City af Redding Project fVo. C-06-8621-'�'f0 Agreement No: D25�1019 Page 32 af 34 acts that directlysupport or advance trafficking in persons, including (i)destroying,concealing, removing, confiscating, or dtherwis�denying an emplayee access to that employee's identity or immigratican dacuments; (ii}failing to provid�re#urn transportation or pay for refurn transportation costs to an emplc�yee from �country outside the United States to the cvuntry frorn which the employee was recruated upon the end of emplayment if request by the ernpinyee, unless exempfed from the requirement to provide or pay fc�r such return trans��rtation by the Federal department or agency providing or entering into the�rant or caoper�tive agreements or the empiayee is�victim of human tra�cking seeking vic#irn services or legal redress in the ccauntry af employment c�ra witness in a human trafficking enfa�cement actian; (iii)saliciting a person for the purpose of empiayment, c�r offering employment, by means of materially false or fraud'ulent pretenses, representations, or pramises regarding that employment; {iv)charging recruited employees a placement or�ecruitrnent fee; or{v)�r�viding ar ar�angin� housing t4�at fails tc�mee# #he ho�t country"s housing�nd s�fety�tandards. T`he Recipient must include this pravisian in its contrac#s and subcc�n#racts under this�greement. The Recip�ent must ir�form the State Water Board immedia#ely of any information regarding a violatic�n c�f the faregoirig. The Recipient understands that failure to eamply with#his provision may subjec#the State Water Board to loss nf federal funds.The Recipient agrees to compens�te the State Water Board for any such funds lost due tc�its failure tt�comply with this condition,or the failure�af its cantractors or subcontractors to comply with this conditian.The State Water Board may unilaterally termin�te this Agreernent if the Recipient that is a private entity is determined ta hav�vic�lated#he foregoing. xiii. The Recipient c�rkifies to the best of its knowledge and belief that: a. Na f�deral appropri�t�d funds have been paid or will be paid; by ar on behalf crf the Recipient, to any persc�n fcrr influencing or attempting to i'nfluence an officer or emplc�y�e r�f any agency, a Member of"Congress, an t�ificer or employee of Congr�ss, or an employee of a Member of Congress in connectinrr with the awarding of any federal ce�ntract, the rnaking of�ny federal grant„the making of any federal loan,the entering inta of any cooperative agreement, and#he extension, continuation, renewal, amendment,or mc�dificatiorr af any feder�l cantract,grant,loan, ar coc�perative agreement. b. If any funds c�ther than federal appropri�ted funds have been paid or wiN be paid ta any person for influencing or attempting to influ�nce an c�ffi��r or�rnployee of any agency; � Member c�f Cc�ngress in c�nnection with this Agreemenf, the Re�ipient shall compiete and submit Standard Form-L�L;�Disclosure Form to Repor#Lobbying," in accordance with its instructions, and notify the Stata iNater�3a�rd. The Recipient shail r�quire this certification from all parti�s to any cc�ntract or agreement that the Recipient enters into and under which the Recipient incurs costs for which it seeks reimbursement und�r thi�Agraement: xiv. The�2e�ipient must comply with the follc�wing federal non-discrimi'natian-requirements: a. Title VI of the Civil Rights Act af 1964,which preshibits discrimination based on race, color; and natianai origin, including limite�English proficiency {LEP). b. 5ecti�n 504 of the Rehabilitation Act c�f 1973,which prohibits discriminatic�n against perse�ns with disabilities. c: The Age biscrimination Act of 1975;which prahibits age discrimina#ion. d. �ection 13 of the Federal Water Pollution Control Act Amendments of 1972, which prcahibits discrirnin�#ian csn the�asis of sex: e; 4Q CFR Part 7, as it relates to#he foregc�ing. f. All �pplicabl�federal civil rights regulations, including statutory and na#ianal pc�licy requirements (2 CFR s�ction 200:300). Exhibit D Gity of Redding Praject No. C-t16-8621-110 Agreement N�: �25{�1019 Page 33 of 34 xv. If the Prajeet reBates to construction of a publicly owned treatment works, where the Recipient cantracts for progr�m manag�ment, cc�nstructia�n management, feasibility studies, preliminary engineering; design; engineering, surveying, mapping, dr architectural telated services, the Recipient shall ensure that any such contract is negotiated in tt�e same manner as a�ontract far architectural and �ngineering services is negatiated under chapter 1� of title 40, United States Cade;or an equivalent State qualificafiions-based xequirement as determined by the State Water Bc�ard, xvi. If the Project relates to canstruetic�n of a publicly owned treatment works, the Recipient certifies that it has develaped and is implementing a fisc�i sustainabilitq plan for the Project,except as set forth in Exhibit D, that includes an inventory of criticai assets that are a part of the Project, an evaluation of the condikic�n and performance of inven#oried assets or asset groupirrgs; a certificatic�n that the recipient has evaluat�d and will be implementing w�t�r and energy conservatian efForts as part of the plan, and a plan for maintaining, repairing, and, as necessary, replacing the Project and a plan for funding sueh aetivities. xvii. Pracurement Prohibitions under Section 3Q6 of the C1ean Air Act and Section 508 of the C1ean Water Act, including Executive Urder 11738, Administration of tihe Clean Air Act and the Pederal Water Pollution Contral Act with Respect to Feder�l Cc�ntracts, Grants, or Loans; 42 USC §7606, 33 USC§ 136�. Except wh�re the purpose of this Agreement is to rernedy the cause c�f the violation,the Reeipient may not procure goods, services, or materials from suppliers excluded under the federal �ystem for Award Management: ��rn. e�� xviii. Uniform Relocation and Real Property Acquisition Policies Act, Pub. L. 91-646, as amended;42 US�§�46Q1-4655. The Recipient must comply with the Act's implementing regulations at49 CFR 24.101 through 24.105. xix. The Recipient agrees that if its netiwork or information sysfiem is connected to U�EPA networks-to transfer data using systems ather than the Environmental Informatian Exchange Netwark csr USEP,4's Gentral Data Exchange, itwill ensure that any connections are secure, For purpases of thi�subSection, a connec#ian is defined as a dedicated persistent interface between �USEPA information technolagy system and an externaM information technal�gy system for the purpose of #ransferring information.Transitr�ry, user-contrc�lled connectie�ns such as website browsing are excluded from this definition. If the Recipient's connections as defined above dc�not go through the Lnvironmental inforrraation Exch�ange Network�r USEPA's Gentra!Data �xchange; the Recipient agrees ta contact the 11SEPA Project Officer and work with the designated RegionallFleadquarters Informatian Seeurity Officer#o ensure that fhe connections meet tJSEf'A security requirem�nts, including entering into Intercc�nnection Service Agreements as appropriate. This canditiion dc�es �c�t appiy to manual entry af data by the Recipient into systems aperated and used by USEPA's regulatory prc�grams for the submission af r�pc�rting and/c�r cr�mpli�nce datia: xx. All geospatial data created pursuant to this Agreement that is submitted tca the�tate Water Board far use by USEPA or that is submitted directly tc�USEPA must be cansistent with Federak Geographic Data Committee endorsed standards. Information+an these standards miay be faund at .f d�,c�cs�a. xxi. If the Reeipi�nt is a water system that serves 500 or fewer persc�ns, tihe Recipient represents that it has considered publicly-owned wells as an alternative drinking wa#er supply. xxii. The Recipient represents that it is nat a carpora#ion thafi has any unpaid Federal tax liability that has been assessed, for uvhich all judicial and adminiskrative remedies hav�been exhausted or have lapsed, �nd that is nof being �aid in a timely manner pursuant ta an agreement with fh� au#hority responsible for collecting the tax liability; and it is nc�t a cc�rpora#ion that was ecanvieted of a fe�+any criminal violation under a Federal law within th�preceding 24 months. �xhibit D Gity of Redding Praject No. C-06-8621-110 P�greernent No: [725d1019 Page 34 of 34 �iii. The Recipient agrees to cc�mply with, and cequire all contraetors and subcontracfors to comply with, USEF�A's S�ientific Integrity Pcalicy, available at htt �:Ol .��. a��lo��/��sli��-e��- ��i�r��i�i�-ir�te�ri�v, when condu�ting, superuising,and cammunicating science and when using or applying the results of scienca. �or purposes of this condition scientific�ctiviti�s includ�, but ar� nc�t limited to, �r�mputer modelling, eccanornic analysis,field sarnpling, laborafiory experimentation, dem+�nstrating new#echnology, statistical analysis, and writing a review articl�on a scientific issu�. The Recipient shall not suppress, alter, ar atherwise imped�the timely release c�f scientific findings or c�nclusions; intimidate or coerce scier�tists to aiter scientific data, findin�s, or professional t��inic�ns or exert non-�cientific influence on scientific advisory boards; knowingly misrepresent, exagger�te, c�r downplay areas af scientifc uncertasnty;or atherwise violate the USEPA's Scien#ific Integrity Po�icy.The f2ecipient must refrain from acts of research miscQnduct, including publication t,r rep�rting, �s described in lJSEPA's Policy and Procedures for Addressing Research Misc�anduct; Section �.�,and must ensur�scientific findings are generated and disseminated in a timely and#ransparent manner, including scientific research performed by contractors and subcontractars. xxiv, The Recipient agrees to comply with the,4nimal Wel#are Act of 1966(7 USC 213�-2�5�). Recipient alsa agrees to abide by the"U.S. Government Principles fc�r the Utilization and Care af Vertebrate Animals used in Testing, Research, and 7raining,"available at hi� .i1�r�r��.e�ih. ��/�r�s�t�8�l�s�lr�f��s��/�ah�p�i;h�rr��lJ��F��ir��i��: xxv. The Recipient certifiies thafi no Project Funds will be used on: a. Telecomrnunicatic�ns equipment produced by Huawei Technologies Company or ZTE Carpor�tic�n (c�r any subsidiary or affiliate of such er�tities�, video surveillan�e or telecammunications equipment praduced by Hytera Communications Corporation, Nangzhau Hikvisian Digitat Technology Company, �r Dahua Technology Campany(�r any subsidiary or affiliate ofi such entiti�s}; b: Telecommunications or video surveillance s�rvices produced by such entities; c. Telecc+mmunications or video surweillance equipment c�r services produced or provided by an enti#y#hat the Secretary of Defense, in consultatic�n with the C�irectar taf the Natianal Intelligen�e ar the Director of the Federal Bureau of Investigatian, reasanably believes to be an entity owrned or controlled by, s�r atherwise connected to,the governm�nt of a cc�vered fr�reign country� d. Systems that use covered telecammunic�tic�ns equipment c�r services as a substantial c�r essenti�l companent of any system, or as critical technology as part ofi-any system;or e: Qther telecommunications or video surveillance s�rvices ar equipment in vic�l�atic�n af 2 �F�2�d�.216. Exhibit D �, ,�� .��` CITY OF REDDING : � _ :�' REPORT TO THE CITY COUNCIL MEETING DATE: January 19, 2021 FROM: Chuck Aukland, Public ITEM NO. 4.11(a) Works Director ***APPROVED BY*** � „ �: ..�.� i�klanci,F'ubli�Wa�rks�`vr€�c.� ]'�I2�21 S'i�ri T��Ma��,As4sst�nk�"ity = IilOf2t�21 caulcland@ci.redding.ca.us btippin@cityofredding.org SUBJECT: 4.11(a)-- Resolution Approving the City of Redding as Applicant for State Water Resources Control Board State Revolving Fund Grant Recommendation Adopt Resolution approving a financial assistance application to the State Water Resources Control Board's (SWRCB) State Revolving Fund (SRF) to construct a public wastewater collection system for the Ricardo Avenue area. This resolution authorizes the Public Works Director or Assistant Public Works Director to sign and file necessary applications and amendments thereto on behalf of the City of Redding (City). Fiscal Impact This action has no direct fiscal impact. Depending on the available grant funding for the Ricardo Avenue area, additional City of Redding (City) resources may be needed to complete the project. The estimated cost of the project is $2.8 million dollars. Alternative Action The City Council (Council) could decline to apply for grant funding for the Ricardo Avenue area wastewater system. Background/Analysis The Ricardo Avenue area is located in the City of Redding; in the vicinity of Bechelli Lane and Loma Vista Drive. The area is comprised of 34 developed parcels which are connected to individual private septic systems, and four undeveloped parcels with no public sewer available to the property location. 1Vlost of the surrounding properties were connected to the public sewer collection system by the Enterprise Public Utility District in the late 1960s which was annexed into the City in 1976. Report to Redding City Council January 12,2021 Re: 4.11(a)--Resolution for Ricardo Area SRF GrantApplication Page 2 Of the 34,693 parcels in the City of Redding, 31,021 are provided with sanitary sewer service, leaving 3,151 of the remaining parcels (approximately 9 percent) as either undeveloped or operating with private septic systems. Many of these remaining parcels' septic systems are approaching the end of their service life and are constructed within close proximity of each other. The Ricardo Avenue area is one such area, where the Country Club Subdivision was constructed in 1953, and the average lot size is 1/3 acre. Septic systems are designed to percolate wastewater back into the ground where contaminates are filtered out naturally; however, these systems that are built close together tend to saturate soils which can provide poor functionality and contaminate the groundwater supply. Providing access to public sewer collection and treatment service ensures that wastewater is properly treated and disposed of back into surface water sources, while meeting all discharge requirements of the State of California National Pollution Discharge Elimination System (NPDES). California's State Revolving Funds provide qualifying disadvantaged communities with the money to build these types of"septic to sewer"projects. In order to be eligible for optimal funding options, the Ricardo Avenue area residents need to establish their Median Household Income (MHI) for the project area. The SWRCB contracts with the Rural Community Assistance Corporation (RCAC), a private nonprofit organization, to perform MHI surveys under the RCAC's Proposition 1 contract with the SWRCB — Division of Financial Assistance. Pending the outcome of the MHI, the City may apply for grant funding on behalf of the Ricardo Avenue residents. Grant funding may be available to install a new public sewage collection system and connect these parcels to the existing City sewer system. Funds could cover all connection fees and construction of the sewer system, as well as all costs associated with abandoning the existing septic systems and connection of private laterals to the new sewer collection system. Prior to any application submittal, an authorizing resolution is reguired. Staff has prepared the attached resolution for the Council's consideration. The application resolution also provides SWRCB staff with the assurance the City is committed to the project. The resolution has been approved as to form by the City Attorney. Council Pr�iority/City Manage� Goals � This is a routine operational item. Attachments Resolution Location Map RESOLUTION NO.2021- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING AUTHORIZING DESIGNATED CITY OFFICIALS TO FILE AN APPLICATION FOR FINANCIAL ASSISTANCE FOR A FINANCIAL AGREEMENT FROM THE STATE WATER RESOURCES CONTROL BOARD TO ACCEPT AND EXPEND THOSE FUNDS IF THE APPLICATION IS GRANTED WHEREAS, the City of Redding (the "City) desires to apply for grant funding on behalf of the Ricardo Avenue area to construct a public wastewater collection system (the"Project"); and WHEREAS, the City on behalf of the residents of the Ricardo Avenue area intend to finance the planning, design, construction, and associated fees of the Project with monies (the "Project Funds") provided by the State of California, acting by and through the State Water Resources Control Board (the "State Water Board"); and WHEREAS, the State Water Board may fund the Project Funds with proceeds from the sale of obligations, the interest upon which is excluded from gross income for federal income tax purposes (the"Obligations"); and WHEREAS,prior to either the issuance of Obligations or the approval by the State Water Board of the Project Funds, the City desires to incur certain capital expenditures (the "Expenditures") with respect to the Project from available monies of the City; and WHEREAS, the City has determined that those monies to be advanced on and after the date hereof to pay the Expenditures are available only for a temporary period and it is necessary to reimburse the City for the Expenditures from the proceeds of the Obligations; and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Redding as follows: 1. The Public Works Directar or Assistant Public Work� Director (the "Authorized Representative" or designee) is hereby authorized and directed to sign and file, for and on behalf of, the City of Redding, a Financial Assistance Application for the financing agreement from the State Water Board for the planning, design, construction, and associated fees of the Project; 2. The Authorized Representative, or his/her designee, is designated to provide the assurances, certifications, and commitments required for the financial assistance application, including executing a financial assistance agreement from the State Water resources Control Board and any amendments or changes thereto; 3. The Authorized representative, or his/her designee, is designated to represent the City of Redding in carrying out the City's responsibilities under the financing agreement, including certifying disbursement requests on behalf of the City of Redding and compliance with applicable state and�ederal laws. I HEREBY CERTIFY that the foregoing resolution was introduced at a regular meeting of the City Council of the City of Redding on the 19th day of January, 2021, and was duly adopted at said ineeting by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCILMEMBERS: ERIN D. RESNER, Mayor ATTEST: FORM APPROVAL: PAMELA MIZE, City Clerk BARRY E. DeWALT, City Attorney %t E � (; ��t3�t , 4 � J�' k t°t t ..._... � �t��`� �"" [ '� ��,.:) ? ' i � � , ,m.:v, ..._....� t � � � , � � ... .. � ��i �' [ �� __._.�... t ___,.., � _... �` �� x�W �;�'�, ` ,I � `�_,� . , ; � �... , , , - �t u.. �� ,. � :.w. �� mv�:�a ��,� � PR4JE�� S ��j ��-� "° ` '� LOCATIO�1 � � � � '�� '�` __.. ._. .... .._ � � � : =a �r�� r €� ��V �i � ' � \\\ �� `� �:.. „. �.�-:.,� : � 1 �� 1 � f4 � � A t t j �/ [i ILL } t 6 �� ; � ^.m �. � ;t� Y�k �! , �; °��'� � i� „ �� .w� t` k 3 / __ , `� t ....M� � � : .� ...---" . 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