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HomeMy WebLinkAbout08344 ORD - 02/01/1967IMS:JKH:2- 1-67. i AN ORDINANCE AUTHORIZING AND REAUTHORIZING THE CITY MANAGER, HERBERT W. WHITNEY, FOR AND ON BEHALF OF THE CITY OF CORPUS CHRISTI, TO EXECUTE AN URBAN MASS TRANS- PORTATION CAPITAL GRANT CONTRACT WITH THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT OF THE UNITED STATES OF AMERICA, A COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF, AND AUTHORIZING AND REAUTHORIZING THE SAID CITY MANAGER TO EXECUTE SUCH OTHER INSTRUMENTS AS ARE NECESSARY AND PROPER TO CONSUMMATE THE PROCURING OF A GRANT OF FUNDS FROM THE FEDERAL GOVERNMENT TO BE USED IN CONJUNCTION WITH THE CITY'S FUNDS FOR THE PURCHASE OF IMPROVEMENTS IN CONNECTION WITH THE ACQUISITION AND IMPROVEMENT OF A PUBLIC TRANSIT SYSTEM BY THE PURCHASE OF NEW BUSES AND IMPROVEMENTS TO THE SYSTEM, AND FOR CONTINGENCIES; AND DECLARING AN EMERGENCY. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. THAT THE CITY MANAGER, HERBERT W. WHITNEY, BE, AND HE IS HEREBY, AUTHORIZED AND REAUTHORIZED, FOR AND ON BEHALF OF THE CITY OF CORPUS CHRISTI, TO EXECUTE AN URBAN MASS TRANSPORTATION CAPITAL GRANT CONTRACT WITH THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT OF THE UNITED STATES OF AMERICA, A COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF, AND AUTHORIZING AND REAUTHORIZING THE SAID CITY MANAGER TO EXECUTE SUCH OTHER INSTRUMENTS AS ARE NECESSARY AND PROPER TO CONSUMMATE THE PROCURING OF A GRANT OF FUNDS FROM THE FEDERAL GOVERNMENT TO BE USED IN CONJUNCTION WITH THE CITY'S FUNDS FOR THE PURCHASE OF IMPROVEMENTS IN CONNECTION WITH THE ACQUISITION AND IMPROVEMENT OF A PUBLIC TRANSIT SYSTEM BY THE PURCHASE OF NEW BUSES AND IMPROVEMENTS TO THE SYSTEM, AND FOR CONTINGENCIES. SECTION 2. THE NECESSITY TO IMMEDIATELY EXECUTE THE AFORESAID CONTRACT AND SUCH OTHER INSTRUMENTS AS ARE NECESSARY AND PROPER TO CON- SUMMATE THE PROCURING OF A GRANT OF FEDERAL FUNDS IN CONNECTION WITH ACQUISITION AND IMPROVEMENT OF A PUBLIC TRANSIT SYSTEM CREATES A PUBLIC EMERGENCY AND AN IMPERATIVE PUBLIC NECESSITY REQUIRING THE SUSPENSION OF THE CHARTER RULE THAT NO ORDINANCE OR RESOLUTION SHALL BE PASSED FINALLY ON THE DATE OF ITS INTRODUCTION AND THAT SUCH ORDINANCE OR RESOLUTION s � SHALL BE READ AT THREE SEVERAL MEETINGS OF THE CITY COUNCIL, AND THE MAYOR HAVING DECLARED THAT SUCH EMERGENCY AND NECESSITY EXIST, HAVING REQUESTED THAT SUCH CHARTER RULE BE SUSPENDED AND THAT THIS ORDINANCE BE PASSED FINALLY ON THE DATE OF ITS INTRODUCTION AND TAKE EFFECT AND BE IN FULL FORCE AND EFFECT FROM AND AFTER ITS PASSAGE, IT IS ACCORDINGLY SO ORDAINED, THIS THE__Ia_l DAY OF FEBRUARY, 1967. ATTEST: I/ t C(T)( SECRETARY MAYOR - ' THE CITY OF CORPUS CHRISTI, TEXAS APPROVED AS TO LEGAL FORM THIS DAY OF FEBRUARY, 1967: ,�,, L F CITY ATTORNEY UNITED STATES OF ERICA DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Y URBAN TRANSPORTATION ADMINISTRATION WASHINGTON, D. C. Project No. TEX -UTG -3 Contract No. H- URBAN MASS TRANSPORTATION CAPITAL GRANT CONTRACT BETWEEN THE CITY OF CORPUS CHRISTI Texas AND THE UNITED STATES OF AMERICA • URBAN MASS TRANSPORTATION CAPITAL GRANT CONTRACT PART I Project No. TEX -UTG -3 Contract No. H- THIS CONTRACT, consisting of this Part I. and the terms and conditions (form H- 512(b) dated 6 -66) forming Part II hereof (which together are here- in called the "Contract "), effective on the date herein below specified, by and between the United States of America (herein.called the "Government ") and the City of Corpus Christi, Texas (herein called the "Public Body ") WITNESSETH: i In consideration of the mutual covenants, promises and representations herein, the parties hereto agree as follows: 1 Sec. 1. Puroose of Contract - The purpose of this Contract is to provide for the undertaking of an urban mass transportation capital improve- ment project (herein called the "Project "), with Government financial assis- tance to the Public Body in the form of a capital grant (herein called the "Grant "), under the Urban Pass Transportation Act of 1964 (herein called the 'Act ") and to state the terms and conditions upon which such assistance will be provided and the understandings as to the manner in which the Project will be undertaken and completed and the Project facilities and equipment will be used. I Sec. 2. The Project - The Public Body agrees to undertake and com- plete the Project, and to provide for the use of Project facilities and equipment, substantially as described in its Application filed with and approved by the Government and in accordance with the terms and conditions of this Contract. The Project consists of the purchase of 12 transit buses, 4 service vehicles, 56 fare boxes, shop and garage equipment, office equip- went, and the existing.garage site and related facilities of the Nusces Transportation Company; the purchase of approximately 19 new 35-passenger and 8 new 45- passenger air - conditioned diesel transit buses less tires; improvements to existing buildings and parking areas; and contingencies. It is estimated that the total cost of the Project will not exceed One Million Fifty -Six Thousand Dollars ($1,056,000). I I . 2 Sec. 3• The Grant - In order to assist the Public Body in financing that portion of the total cost of the Project which the. Department of Hous- ing and Urban Development (HUD) determines cannot reasonably be financed from revenues of the public transportation system in which the Project fa- cilities and equipment are to be used (herein called the ":let Project Cost "), such Net Project Cost being estimated to be One Million Fifty -Six Thousand Dollars ($13056,000), the Government will make a Grant in an amount equal to one -half of the actual Net Project Cost, as determined by HUD upon completion of the Project, or in the amount of Five Hundred Twenty -Eight Thousand Dollars ($5283000), whichever is the lesser, provided that the Government will make an additional Grant in an amount equal to one -sixth of the actual Net Project Cost, as so determined by HUD, or in the amount of One Hundred Seventy -Six Thousand Dollars ($1761000)3 whichever is the lesser, if within three years from the date of this grant contract HUD determines that the planning requirements of Section 4(a) of the Act have been fully met. The Public Body agrees that it will provide from sources other than 1 (a) Federal funds, (b) receipts from the use of the Project facilities and equipment, or (c) revenues of the public transportation system in which such facilities and equipment are used, funds in the amount sufficient, together with the Grant to assure payment of the actual Net Project Cost. The Public Body further agrees that no refund or reduction of the amount so provided will be made at any time, unless there is at the same time a refund to the Government of a proportional amount of the Grant. Sec. 4. Use of Project Facilities and Equipment - The Public Body agrees that the Project facilities and equipment will be used for the pro- vision of mass transportation service within its urban area for the period of the useful life of such facilities and equipment, as determined in ac- cordance with generally accepted accounting standards and approved by HUD, which period shall not in any case exceed twenty years. If during the period of their useful life any Project facilities or equipment are sold, other than for their replacement in such service with like facilities or equipment, the Public Body agrees to remit to the Government a proportional amount of the sale proceeds determined on the basis of the ratio of the b actual Grant made by the Government to the actual cost of the Project as determined in accordance with this Contract. If during such period any Project facilities or equipment are devoted to uses other than the pro- vision of mass transportation service within the urban area of the Public Body, such proportional amount of the fair market value thereof (as ap- proved by HUD) shall likewise be paid to the Government. The Public Body further agrees that during the useful life of the Project facilities and equipment it will submit to HUD such financial statements and other data as may be deemed necessary by HUD to assure com- pliance with this Section. 3 Sec. 5. Labor Warranty - The Public Body warrants that the Project will not adversely affect the employment and working conditions of its employees or the employees of any other carrier within the service area of the Public Body. In the event that such employees are adversely affected, the Public Body agrees that appropriato protective arrangements for such employees will be made as required by Section 13(c) of the Act. Sec. 6. Counterparts of Contract_ - This Contract may be simultaneously executed in several counterparts, each of which so executed shall be deemed to be an original, and such counterparts together shall constitute one and the same instrument. IN 721NMS WHEREOF, the Public Body has caused this Contract to be duly executed in its behalf, and, thereafter the Government has caused the same to be duly executed in its behalf this day of 1967. SZ, CITY OF CORPUS CHRISTI Texas ATTEST BY City Manager Title UNITED STATES OF AFRICA DEPARTMENT OF HOUSING AND URBAN DEPELOPIWT Director Urban Transportation Administration TABLIti 0? CONTFIJTS Pago Section 101. Definitions .................... ............................... 2 Section 102. Accomplishmcnt of the Project (a) General Requirements ... ............................... 2 (b) Pursuant to Federal., State and Local Law .............. 2 (c) Funds of the Public Body .............................. 2 (d) Submission of Proceedings, Contract and Other bocuments ........ ............................... 2 Section 103. The Project Budget ............. ............................... 3 Section.104. Accounting Records (a) 7stablishment and Maintenance of Accounting Records ... 3 (b) Funds Received or Kade Available for the Project ...... 3 (c) Costs Incurred for the Project ........................ 3, (d) Documentation of Project Costs ........................ 3 (e) Checks, Orders, and Vouchers .......................... 3 (f) Audit Reports .......... ............................... 4 Section 105. Requisitions and Payments (a) Preliminary Action by the Public Body ................. 4 (b) Government's Obligations .................... I......... 4 (1) N,isrepresentation (2) Litigation (3) Concurrence by Government (4) Conflict of Interests (5) Default (c) Disallowed Costs ....... ............................... 5 Section 106. Termination or Suspension of Government's Obligations (a) Termination or Suspension Generally ................... 5 (b) Action Subsequent to Notice of Termination or Suspension ............. ............................... 5 Section 107. Remission of Project Account Upon Completion of Project ....... 6 Section 108. Audit and Inspection ........... ............................... 6 Section 109. Contracts of the Public Body .. ........ • ....... .......' 6 Section 110. Restrictions, Prohibitions, Controls, and Labor Provisions (a) Equal INployment Opportunity ..........................• 6 (b) Construction Contracts — Nondiscrimination ............ 6 (c) Title VI — Civil :Lights Act of 1964 .•..••••.••••..•.•. 9 (d) Competitive Bidding .... ............................... 9 e Prohibited Interests ... .....................:......... 9 (f) Patent Idghts .......... .....................•......... 10 (g) Interest of I•;embers of or Delegates to Congress ....... 10 (h) Labor Provisions — Construction ....................... 10 Section 111. Construction Contracts (a) Changes in Construction Contracts ..................... 14 (b) Contract Security ...... ............................... 14 (c) Insurance During Construction ......................... 14 (d) Signs ................. ............................... 15 (e) Provisions of Construction Contracts .................. 15 Section 112. 1,1iscellaneous Provisions (a) Air Pollution .......... ............................... 15 (b) Government Not Obligated to Third Parties ............. 15 (c) Mien Rights and H,?medies Not Waived ................... 15 (d) How Contract Affected by Provisions Being Held Invalid ................ ............................... 15 (e) Bonus or Coiiudssion .... ............................... 15 (f) State or Territorial I.aw .............................. 15 s 2 DEPAI MENT OF HOUSING AND URBAN DEVLLOPPOINT UWAN TRANSPORTATION ADMINISTRATION GRANT CONTRACT PART II — TERMS AND CONDITIONS Constituting part of the GRANT CONTRACT providing for Federal financial assistance under the provisions of the Urban Mass Transportation Act of 1964. Section 101. Definitions. As used in these Terms and Conditions: "Government" means the United States of America. • "HUD" means the Department of Housing and Urban Development, or as the context may require, the Secretary of the Depart- ment of Housing and Urban Development, or other person who may at the time be acting in the capacity of the Secretary or authorized representative, or any other person otherwise authorized to perform the functions to be performed here- under by HUD as that term is used in this Contract. "Application" means the written application for Federal financial assistance for the Project, together with all explanatory, supporting, or supplementary documents, heretofore filed with HUD by or on behalf of the Public Body, which has been accepted and approved by HUD. Section 102. Accomplishment of the Project. (a) General Requirements. The Public Body shall commence, carry on, and complete the Project with all practicable dispatch, in a sound, economi- cal, and efficient manner, and in accordance with the provisions hereof, the Application, and all applicable laws. (b) Pursuant to Federal. State, and Local law. In the event that any election, referendum, approval, permit, notice, or other proceeding or authorization is requisite under applicable law to enable the Public Body to enter into this Contract or to undertake the Project hereunder, or to observe, as- sume, or carry out any of the provisions of this Contract, the Public Body will initiate and cDnsu mnate, as provided by law, all actions necessary with respect to any such matters so requisite. (c) Funds of the Public Body. The Public Body shall initiate and prosecute to completion all proceedings necessary to enable the Public Body to provide its share of the Project costs on or prior to the time that such funds are needed to meet Project costs. (d) Submission of Proceedings. Contract and Other Documents. The Public Body shall submit to the Government such data, reports, records, contract and other documents relating to the Project as the Government may require. 4 , • 3 Section 103. The Project Hudget. A Project budget shall be prepared and main- tained by the Public Body. The Public Body shall carry out the Project and shall incur obligations against and make disbursements of Project Funds only in conformity with the latest approved budget for the Project. The budget may be revised from time to time, but no budget or revision thereof shall be ef- fective unless and until HUD shall have approved the same. Section 104• Accounting. Records. (a) Establishment and Maintenance of Accounting Records, The Public Body shall establish for the Project, in conformity with uniform requirements estab- lished by HUD to facilitate the administration of the Grant program, separate accounts to be maintained within its existing accounting system or set up independently. Such accounts are referred to herein collective- ly as the "Project Account." (b) Funds Received or Made Available for the Project. The Public Body shall appropriately record in the Project Account, and deposit in a bank or trust company which is a member of the Federal Deposit Insurance Corpo- ration, all Grant payments received by it from the Government pursuant to this Contract and all other funds provided for, accruing to, or other- wise received on account of the Project, which Government payments and other funds are herein collectively referred to as "Project Funds." The ' Public Body shall require the depositories of Project Funds to secure continuously and'fully all Project Funds in excess of the amounts insured under Federal plans, or under State plans which have been approved for the deposit of Project Funds by HUD, by the deposit or setting aside of collateral of the types and in the manner as prescribed by State law,for the security of public funds, or approved by HUD. (e) Costs Incurred for the Project. The Public Body shall charge to the Project Account all eligible costs of the Project. Costs in excess of the latest approved budget or attributable to actions which have not re- ceived the required approval of HUD shall not be considered eligible costs. (d) Documentation of Project Costs. All costs, charged to the Project, in- cluding any approved services contributed by the Public Body or others, shall be supported by properly executed payrolls, time records, invoices, contracts, or vouchers evidencing in proper detail the nature and pro- priety of the charges. (s) Checks, Orders, and Vouchers. Any check or order drawn by the Public Body with respect to any item which is or will be chargeable against the Project Account will be drawn only in accordance with a properly eigned 'Voucher then on file in th,a office of the Public Body stating a in proper detail the purpose for which such check or order is drawn. All checks, payrolls, invoices, contracts, vouchers, orders, or other accounting documents pertaining in whole or in part to the Project shall 4 • be clearly identified, readily accessible, and, to the extent feasible, kept separate and apart from all other such documents. (f) Audit Reports. At the request of HUD, the Public Body shall provide for -;each of its fiscal years for which the Project Account remains open, an audit report prepared either by its official auditor or audit agency or an independent certified public accountant, reflecting in detail the use of the funds of the Government, the Public Body, and those from any other source with respect to the Project. Section 105. Requisitions and Payments. (a) Preliminary Action by the Public Body. In order to obtain any Grant pay- ment, the Public Body shall: (1)- File with HUD its requisition therefor including its estimates of cash needs, on form or forms prescribed by HUD, and such other data pertaining to the Project Account (as defined in Section 104 (a) hereof) and the Project as HUD may require, to justify and support the payment requisitioned; and (2) Comply with all applicable provisions of this Contract. (b) Governmentls Obligations. Subject to other provisions hereof, the Govern- ment will honor such requisitions in amounts and at times deemed by HUD to be proper to insure the carrying out of the Project and payment of the eligible costs thereof in accordance herewith. However, notwithstanding any other provision of this Contract, the Government may elect by notice in writing not to make a.payment on account of the Project if: (1) Misrepresentation. The Public Body shall have made any mis- representation of a material nature in its Application, or any supplement thereto or amendment thereof, or in or with respect to any document or data furnished therewith or pur- suant hereto; (2) Litigation. There is then pending litigation with respect to the performance by the Public Body of any of its duties or. obligations which may jeopardize or adversely affect the Proj- ect, this Contract, or payments to the Project; (3) Concurrence by Government. The Public Body shall have taken any action pertaining to the Project which under the established procedures requires the prior approval of HUD or shall have proceeded to make related expenditures or incur related obli- gations without having been advised by HUD that the same are satisfactory; _4 i 5 (k) Conflict of Interests. There has been any violation of the conflict of interest provisions contained in Section 110(e) hereof; or (5) Default. The Public Body shall be in default under any of the provisions pf this Contract. (c) Disallowed Costs. In determining the amount of the Grant, the Government will exclude all Project costs incurred by the Public Body prior to the date of this Contract, or prior to the date of the approved budget for the Project, whichever is earlier, costs incurred by the Public Body which are not provided for in the latest approved budget for the Project, and costs attributable to goods or services received under a contract or other arrangement which has not been approved in writing by HUil. Section 106. Termination or Suspension of Government's Obligations. (a) Termination or Suspension Generally. If the Public Body abandons or, before completion, finally' discontinues the Project; or if, by reason of any of the events or conditions set forth in paragraphs (1) to (5), inclusive, of Section 105(b) hereof, or for any other reason, the com- mencement, prosecution, or,.- timely completion of the Project by the Public Body is rendared improbable, infeasible, impossible, or illegal, the Government may, by written notice to the Public Body, suspend any or all of-its obligations under this Contract until such time as the event or condition resulting in such suspension has ceased or been corrected, or the Government may terminate any or all of its obligations under this Contract. (b) Action Subsequent to Notice of Termination or Suspension. Upon receipt of any final termination notice under this Section, the Public Body shall proceed promptly to carry out the actions required therein which may in- clude:any or all of the following: (1) necessary action to terminate or suspelid, as the case may be, Project activities and contracts and such other action as may be required or desirable to keep to a minimum the costs upon the basis of which the Grant is to be computed; (2) furnish a statement of the status of the Project activities and of the Project Account as well as a proposed schedule, plan, and budget for terminating or suspending and closing out Project activities and contracts, and other undertakings the costs of which are otherwise includable as Project costs; and (3) remit to the Government such portion of the Grant payment pre- viously received as is determined by HUD to be due the Government under the provisions of this Section. The closing out shall be carried out in conformity with the latest schedule, plan, and budget as approved by HUD, or upon the basis of terms and conditions imposed by HUD upon the failure of the Public Body to furnish the schedule, plan, and budget within a reasonable time. The acceptance of a remittance by the Government of any or all Project Funds previously received by the Public Body or the clos- ing out of Federal financial participation in the Project shall not con- stitute a waiver of any claim which the Government may otherwise have arising out of this Contract. 0.- 6 ' Section 107. Remission of Project Account Upon Completion of Project. Upon completion of the Project, and after payment, provision for payment, or re- imbursement of all Project costs payable from the Project Account is made, the Public Body shall remit to the Government any unexpended balance in the Project Account less its proportionate share thereof. Section 108. Audit and Inspection. The Public Body shall permit, and shall require its contractors to permit the Government's authorized representatives to inspect all work, materials, payrolls, records of personnel, invoices of materials and other relevant data and records; and to audit the books, records, and accounts of the Public Body, pertaining to the Grant and the development of the Project. Section 109. Contracts of the Public Body. Except as otherwise authorized in writing by HUD, the Public Body shall not execute any contract or obligate itself in any other manner with any third party with respect to the Project without the prior written concurrence of HUD. Section 110. Restrictions, Prohibitions, Controls, and Labor Provisions. (a) Equal Employment Opportunity. In connection with the carrying out of any Project, the Public Body shall not discriminate against any employee or applicant for employment because of race, creed, color or national origin. The Public Body will take affirmative action to ensure that applicants are-employed, and that employees are treated during employment, without regard to their race, creed, color or national origin. Such action shall include, but not be limited to, the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship.. The Public Body shall insert the foregoing provision (modified only to show the particular contrad- tual relationship) in all its contracts in connection with the develop- ment or operation of the Project, except contracts'for standard commercial supplies or raw materials and contracts referred to in subsection (b) of this Section 110(Qb, and shall require all such contractors to insert a similar provision in all subcontracts, except subcontracts for standard commercial supplies or raw materials. When the Project involves instal- lation, construction, demolition, removal, site improvement, or similar work, the Public Body shall post, in conspicuous places available to employees and applicants for employment for Project work, notices to be provided by HUD setting forth the provisions of this nondiscrimination clause. (b) Construction Contracts - Nondiscrimination. The Public Body shall in- corporate or cause to be incorporated into any contract for construction work, including rehabilitation, alteration, conversion, extension, demo- lition or repair of buildings, highways, or other changes or improvements to real property, including facilities providing utility services, or modification thereof, as defined in the rules and regulations of the Secretary of Labor, which is not exempt from the provisions of Executive . i Order No. 11246 of September 21�, 1965, and which is paid for in whole or in part with funds obtained under this Contract, the following equal op- portunity clause: "During the performance of this contract, the contractor agreess•4mu- as follows: I(1) The Contractor will not discriminate against any employee or applicant for employment because of race, creed, color, or national origin. The contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment without regard to their race, creed, color or national or- igin. Such action shall include, but not be limited to the following; employment, upgrading, demotion or transfer; re- cruitment or recruitment advertising, layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the Public Body setting forth the provisions of this nondiscrim- ination clause. '(2) The contractor will, in all solicitations or ad- vertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, creed, color or national origin. 1(3) The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice to be provided advising the labor union or workers' representative of the contractor's commitments under this section, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. 1(4) The contractor will comply with all provisions of Executive Order No. 11246 of September 24, 1965, and of the rules, regulations and relevant orders of the Secretary of Labor. '(5) The contractor will furnish all information and reports required by Executive Order No. 11246 of September 24, 1965, and by the rules, regulations, and orders of the said Secretary of Labor, or pursuant thereto, and will permit ac- cess to his books, records and accounts by the Public Body, the Secretary of Housing and Urban Development, and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations and orders. • '(6) In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of such rules, regulations or orders, this contract may be cancelled, terminated or suspended in whole or in part and the contractor may be declared ineligible for further Government contracts qr federally assisted construction con- ' tracts in accordance krith procedures authorized in brecutive Order No. 11246 of September 24, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive �'• Order No. 11246 of September 24, 1965, or by rule, regulation or order of the Secretary of labor, or as otherwise provided by law. 1(7) The contractor will include the provisions of paragraphs (1) through (7) in every subcontract or purchase order unless exempted by rules, regulations or orders of the Secretary of Labor issued pursuant to Section 204 of Executive Order No. 11246 of September 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The con- tractor will take such action with respect to any subcontract or purchase order as the Public Body or the Secretary of Hous- ing and Urban Development may direct as a means of enforcing such provisions, including sanctions for noncompliance; pro- vided, however, that in the event a contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the Public Body, or the Secretary of Housing and Urban Development, the contractor may request the United States to enter into such litigation to protect the interests of the United States. " The Public Body will-be bound by the seven provisions of the equal oppor- tunity clause in Section 110(b) in any federally assisted construction work, which it performs itself other than through the permanent work force directly employed by an agency of government. The Public Body,:agroes that it will cooperate actively with the Secretary of Housing and Tdrban Development and the Secretary of Labor in obtaining the compliance of contractors and subcontractors with the provisions set forth in Section 110(b).and with the rules, regulations, and relevant orders of the Secretary of Labor, will obtain and furnish to the Secre- tary of Housing and Urban Development and to the Secretary of Labor such information as they may require for the supervision of such compliance, and that it rriill otherwise assist the Secretary of Housing and Urban De- velopment in the discharge of the Department's primary responsibility for securing compliance. The Public Body will carry out such sanctions and penalties for violation of the equal opportunity clause as may be imposed upon contractors and subcontractors by the Secretary of Labor or the Secretary of Housing and Urban Development. The Public Body will re- frain from entering into any contract subject to l.xecutive Order No. 11246 a or extension or other modification of such a contract with a contractor who has been debarred from Government contracts and federally assisted construction contracts under fart II, Subpart D, of executive Order No. 11246, or who hat; not demonstrated his eligibility for such contracts as provided in Part II of Executive Order No. 11216. In the event the Public Body fails and refuses to comply with its undertakings, the Pub- lic Body agrees that the Government (i) may cancel, terminate, or suspend this Contract in whole or in part, (ii) may refrain from extending any further assistance under the program with respect to which the failure or refusal occurred until satisfactory assurance of future compliance has been received from the Public Body, or (iii) may refer the case to the Department of Justice for appropriate legal proceedings. (c) Title VI - Civil Rights Act of 1964. The Public Body will comply with all the requirements imposed by Title VI of the Civil Rights Act of 1964 (78 Stat. 252), the Regulations of HUD issued thereunder (2) CFR,Subtitle A, Part 1, Section 1.1 et. seq.), and the assurance by the Public Body pursuant thereto. (d) Competitive Bidding. The Public Body will give full opportunity for free, open, and competitive bidding, for each contract to be let by it calling for construction or the furnishing., of any materials, supplies, or equip- ment to be paid for with Project Funds; will give such publicity to its advertisements or calls for bids for each such contract as will provide adequate competition; and the award of each such contract, when made, will be made by it as soon as practicable to the lowest responsible bid - der: Provided, That in the selection of materials, equipment, or supplies, the Public Body may, in the interest of standardization or ultimate econ- omy, if the advantage of such standardization or ultimate economy is clearly evident and appropriate provision for such action is included by it in the proposed contract documents upon which bids are invited, award a contract to a responsible bidder other than the lowest in price: Pro- vided, further, That if the estimated amount of the proposed contract, as estimated by the Public Body, is $2,500 or less, such contract may, except where contrary to the requirements of State or local law, be let by the Public Body on the basis of informal bidding: Provided, further That.contracts in amounts of $1,000 or less may, except where contrary to the requirements of State and local law, be made from time to time by the Public Body without negotiation or competitive bidding and without observance of the other provisions of this subsection (d): and Provided, further, That if the Public Body finds, and HUD concurs, that the pur- chase of materials, equipment, or supplies needed are of a type or class' that are not competitively available and the obtaining of such materials, equipment, or supplies can be made more economically by purchase in the open market by negotiation rather than by competitive bidding, the Pub- lic Body may do so. (e) Prohibited Interests. Neither the Public Body nor any of its contractors or their subcontractors shall enter into any contract, subcontract, or arrangei:.ent in connection with the Project or any property included or planned to be included in the Project, in which any member, officer, or q . 10 employee of the Public Body or the locality during his tenure or for one year thereafter has any interest,•direct or indirect. If any such present or former member, officer, or employee involuntarily acquires or had acquired prior to the beginning of his tenure any such interest, and if such interest is immediately disclosed to the Public Body and such dis- closure is entered upon the minutes of the Public Body, the Public Body with the prior approval of HUD, may waive the prohibition contained in this subsection: Provided, That any such present member, officer or employee shall not participate in any action by the Public Body or the locality relating to such contract, subcontract, or arrangement. The Public Body shall insert in all contracts entered into in connection with the Project or any property included or planned to be included in any Project, and shall require its contractors to insert in each of their subcontracts, the following provision: "No member, officer, or employee of the Public Body or of the locality during his tenure or for one year thereafter shall have any interest, direct or indirect, in this con- tract or the proceeds thereof." The provisions of this subsection shall not be applicable to any agreement between the Public Body and its fiscal depositories, or to any agreement for utility services the rates for which are fixed or controlled by a Governmental agency. (f) Patent Rir*hts. Any patentable result arising out of this Contract, as well as all information, designs, specifications, know —how, data, and findings, shall be made available to the Government for public use, unless HUD shall in a specific case where it is legally permissible determine that it is in the public interest that it not be so made available. (g) Interest of Members of or Delegates to Congress. No member of or delegate to the Congress of the United States shall be admitted to any share or part of this Grant Contract or to any benefit arising therefrom. (h) Labor Provisions — Construction. The following provisions shall be ap- plicable, to all construction contracts let by the Public Body in carry- ing out he Project involving $2,000 or more. (1) Minimum wages. (i) All mechanics and laborers employed or working upon the site of the work, will be paid unconditionally and not less often than once a week, and without subsequent deduction or rebate on any account (except such payroll deductions as are per- mitted by regulations issued by the Secretary of labor under the Copeland Act (29 CFR Part 3), the full amounts due at time of payment computed at wage rates not less than those contained in the wage de- termination decision of the Secretary of labor applicable to the Project, r � 11 regardless of any contractual relationship which may be alleged to exist between the contractor and such laborers and mechanics; and the wage determination decision shall be posted by the contrac- tor at the site of the work in a prominent place where it can be easily seen by the workers. For the purpose of this clause, con- tributions made or costs reasonably anticipated under section 1(b)(2) of the Davis -Bacon Act on behalf of laborers or mechanics are con- sidered wages paid to such laborers or mechanic's, subject to the provisions of 29 CFR 5.5(a)(1)(iv). Also for the purpose of this clause, regular contributions made or costs incurred for more than a weekly period under plans, funds, or programs, but covering the particular weekly period, are deemed to be constructively made or incurred during such weekly period. (ii) The contracting officer shall require that any class of laborers or mechanics which is not listed in the wage determination and which is to be employed under the contract, shall be classified or reclassified conformably to the wage determination, and a report of the action taken shall be sent by HUD to the Secretary of Labor. In the event the interested parties cannot agree on the proper classification or reclassification of a particular class of laborers and mechanics to be used, the question accompanied by the recommen- dation of the contracting officer shall be referred to the Secretary for final determination. (iii) The contracting officer shall require, whenever the minimum wage rate prescribed in the contract for a class of laborers or mechanics includes a fringe benefit which is not expressed as an , hourly wage rate 'and the contractor is obligated to pay a cash eouiv- alent of such a fringe benefit, an hourly cash equivalent thereof to• be established. In the event the interested parties cannot agree upon a cash equivalent of the fringe benefit, the question, accompanied by the recommendation of the contracting officer, shall be referred to the Secretary of Labor for determination. (iv) The contractor may consider as part of the wages of any laborer or mechanic the amount of any costs reasonably anticipated in providing benefits 'under a plan or program described in section l(b)(2)(B) of the Davis -Bacon Act, or any bonafide fringe benefits not expressly listed in section 1(b)(2) of the Davis -Bacon Act, or otherwise not listed in the wage determination decision of the Secretary of Labor which is included in this contract, only when the Secretary of Labor has found, upon-the written request of the contractor, that the ap- plicable standards of the Davis -Bacon Act have been met. Whenever practicable, the contractor should request the Secretary of Labor to make such findings before the making of the contract. In the case of unfunded plans and programs, the Secretary of Labor may require the contractor to set aside in a separate account assets for the meeting of obligations under the plan or program. 12 (2) Withholding. [IUD may withhold or cause to be withheld from the contractor so much of the accrued payments or advances as may be considered necessary to pay laborers and mechanics em- ployed by the contractor or any subcontractor on the work the full amount of wages required by the contract. In the event of failure to pay any laborer or mechanic employed or working on the site of the work, all or part of the wages required by the contract, HUD may, after written notice to the contractor, sponsor, applicant, or owner, take such action as may be necessary to cause the sus- pension of any further payment, advance, or guarantee of funds until such violations have ceased. (3) Payrolls and basic records. (i) Payrolls and basic records relating thereto will be maintained during the course of the work and preserved for a period of three years thereafter for all laborers and mechanics working at the site of the work. Such records will contain the name and address of each such employee, his correct classification, rates of pay (including rates of con- tributions or costs anticipated of the types described in see - tion 1(b)(2) of the Davis -Bacon Act), daily and weekly number of hours worked, deductions made and actual wages paid. Whenever the Secretary of Labor has found under 29 CPR 5.5(a)(l)(iv) that the wages of any laborer or mechanic include the amount of any costs reasonably anticipated in providing benefits under a plan or pro - gram.described in section 1(b)(2)(B) of the Davis -Bacon Act, the contractor shall maintain records which show that the commitment to provide such benefits is enforceable, that the plan or program is financially responsible, and that the plan or program has been communicated in writing to the laborers or mechanics affected, and records which show the costs anticipated or the actual cost in- curred in providing such benefits. (ii) The contractor will submit weekly a copy of all payrolls to the Public Body for transmission to HUD. The copy shall be ac- companied by a statement signed by the employer or his agent in- dicating that the payrolls are correct and complete, that the wage rates contained therein are not less than those determined by the Secretary of labor and that the classifications set forth for each laborer or mechanic conform with the work he performed. A submission of the "Weekly Statement of Compliance" which is re- quired under this contract and the Copeland regulations of the Secretary of Labor (29 CPR, Part 3) and the filing with the initial payroll or any subsequent payroll of a copy of any findings by the Secretary of Labor under 29 CPR 5.5(a)(1)(iv) shall satisfy this requirement. The prime contractor shall be responsible for the submission of copies of payrolls of all subcontractors. The con - tractor will make the records required under the labor standards clauses of the contract available for inspection by authorized representatives of HUD and the Department of labor, and Trill permit 13 such representatives to interview employees during working hours on the job. (ty), Apprentices. Apprentices will be permitted to work as such'6aly when they are registered, individually,�',under a bona fide apprb,tU,iceship program registered with a State apprenticeship agency which AA recognized by the Bureau of Apprenticeship and Training, United,States Department of Labor; or, if no such recognized agency exists in a State, under a program registered with the Bureau of Apprenticeship and Training, United States Department of Labor. The allowable ratio of apprentices to journeymen in any craft clas- sification shall not be greater than the ratio permitted to the contractor as to his entire work force under the registered program. Any employee listed on a payroll at an apprentice wage rate, who is not registered as above, shall be paid the wage rate determined by the Secretary of Labor for the classification of work he actually performed. The contractor or subcontractor will be required to fur- nish to the contracting officer written evidence of the registration of his program and apprentices as well as of the appropriate ratios and wage rates, for the area of construction prior to using any ap- prentices on the contract work. (5) Compliance with Copeland Regulations (29 CFR Part 3). The contractor shall comply with the Copeland Regulations (29 CFR Part 3) of the Secretary of Labor which are herein incorporated by reference. (6) Contract termination; debarment. A breach of clauses (1) through (5) and (10) may be grounds for termination of the con —, tract, and for debarment as provided in 29 CFR 5.6. (7) Overtime requirements. No contractor or subcontractor contracting for any part of the contract work which may require or involve the employment of laborers or mechanics shall require or permit any laborer or mechanic in any workweek in which he is employed on such work to work in excess of eight hours in any calendar day or in excess of forty hours in such workweek unless such laborer or mechanic receives compensation at a rate not less than one and one —half times his basic rate of pay for all hours worked in excess of eight hours in any calendar day or in excess of forty hours in such workweek, as the case may be. (8) Violation; liability for unpaid wages; liquidated damages. In the event of any violation of the clause set forth in subpara- graph(7), the contractor and any subcontractor responsible there- fore shall be liable to any affected employee for his unpaid wages. In addition, such contractor and subcontractor shall be liable to the United States (in the case of work done under contract for the District of Columbia or a territory, to such District or to such • 14 territory), for liquidated damages. Such liquidated damages shall be computed with respect to each individual laborer or mechanic employed L violation of the clause set forth in subparagraph (7), in the sum of 1;10 for each calendar day on which such employee was required or permitted to work in excess of eight hours or in excessiof the standard workweek of forty hours without payment of the overtime wages required by the clause set forth in subparagraph {7), (9) Withholding for liquidated damages. HUD may withhold or cause to be withheld, from any moneys payable on account of work performed by the contractor or subcontractor, such sums as may administratively be determined to be necessary to satisfy any lia- bilities of such contractor or subcontractor for liquidated damages as provided in the clause set forth in subparagraph (8). (16) The contractor shall insert in any subcontracts the clauses set forth in subparagraphs (1) through (9) of this para- graph and such other clauses as HUD may by appropriate instruc- tions require, and also a clause requiring the subcontractors to include these clauses in any lower tier subcontracts which they may enter into, together with a clause requiring this insertion in any further subcontracts that may in turn be made. Section 111. Construction Contracts. (a) Chanties in Construction Contracts. Any substantial change in a construction contract shall be submitted to HUD for prior approval. Construction con- tracts shall include a provision specifying that the above requirement will be met. (b) Contract Security. The Public Body shall require that each construction contractor shall furnish a performance bond in an amount at least equal to 100 percent of his contract price as security for the faithful performance of his contract and also a payment bond in an amount not less than 50 per- cent of his contract price or in a penal sum not less than that prescribed by State, territorial, or local law, as security for the payment of all persons performing, labor on the Project under his contract and furnish- ing materials in connection with his contract. The performance bond and the payment bond may be in one or in separate instruments in accordance with local law.- (c) Insurance Durin,g�:.Cnnstruction. The Public Body shall require that each of its construction'eontractors and his subcontractors shall maintain, dur- ing, the life of 4s contract, Workmen's Compensation Insurance, Public Liability, Property Damage, and Vehicle Liability Insurance in amounts and on terms satisfactory to HUD. 15 (d) S_iM. The Public Body shall cause to be erected at the site of construc- tion, and maintained during, construction, signs satisfactory to HUD iden- tifying the Project and indicating the fact that the Government is par- ticipating in the development of the Project. (e) Provisions of Construction Contracts. In accordance with Section 109 here- of the terms and conditions of each construction contract are subject to prior approval by HUD. In addition to the requirements of this Section 111, each construction contract shall contain, among others, provisions re- quired by subsections (b), (e), (g), and (h) of Section 110 hereof. Section 112. Miscellaneous Provisions. (a) Air Pollution. All proposals for the acquisition, construction,-recon- struction, or improvement of facilities or equipment shall be presented to HUD for approval. In rendering such approval, HUD shall take into consideration whether such facilities or equipment is designed and equip- ped to prevent and control air pollution. (b) Government Not Obligated to Third Parties. The Government shall not be obligated or liable hereunder to any party other than the Public Body. (c)' When Rights and Remedies Not Waived. In no event shall the making by the Government of any Grant payment to the Public Body constitute or be con- strued as a waiver by the Government of any breach of covenant or any de- fault which may then exist, on the part of the Public Body, and the making of any such payment by the Government while any such breach or default shall exist shall in no wise impair or prejudice any right or remedy avail- able to.the Government in respect of such breach or default. (d) How Contract Affected by Provisions Being Held Invalid. I£ any provision of this Contract is held invalid, the remainder of this Contract shall not be affected thereby if such remainder would then continue to conform to the terms and'requirements of applicable law. (e) Bonus or Commission. By execution of the Grant Contract the Public Body represents that it has not paid and, also, agrees not to pay, any bonus or commission for the purpose of obtaining an approval of its application for the Grant hereunder. (f) State or Territorial Law. Anything in the Grant Contract to the contrary notwithstanding, nothing in the Grant Contract shall require the Public Body to observe or enforce compliance with any provision thereof, perform any other act or do any other thing in contravention of any applicable State or territorial law: Provided, That if any of the provisions of the Grant Contract violate any applicable State or territorial law; or if • i CORPUS CHRISTI, TEXAS DAY OF`���,9,4z., TO THE MEMBERS OF THE CITY COUNCIL CORPUS CHRISTI, TEXAS FOR THE REASONS SET FORTH IN THE EMERGENCY CLAUSE OF THE FORE- GOING ORDINANCE, A PUBLIC EMERGENCY AND IMPERATIVE NECESSITY EXIST FOR THE SUSPENSION OF THE CHARTER RULE OR REQUIREMENT THAT NO ORDINANCE OR RESOLUTION SHALL BE PASSED FINALLY ON THE DATE IT IS INTRODUCED, AND THAT SUCH ORDINANCE OR RESOLUTION SHALL BE READ AT THREE MEETINGS OF THE CITY COUNCILS I, THEREFORE, HEREBY REQUEST THAT YOU SUSPEND SAID CHARTER RULE OR REQUIREMENT AND PASS THIS ORDINANCE FINALLY ON THE DATE IT IS INTRO- DUCED, OR AT THE PRESENT MEETING OF THE CITY COUNCIL. RESPECTFULLY, MAYOR THE CITY OF CORPUS CHRISTI, TEXAS THE CHARTER RULE WAS SUSPENDED BY THE FOLLOWING VOTE: DR. MLI VER FURMAN JACK BLpCKMON PATRICK J. DUNNE DR. P. JIMENEZ, JR. KEN MCDANIEL RONN I E S 1 2EMORE Q� /1Ji WM. H. WALLACE THE ABOVE ORDINANCE WAS PASSED BY THE FOLLOWING VOTE: DR. MCIVER FURMAN loa JACK BLACKMON //i�pj PATRICK J. DUNNE — _-"O�� DR. P. JIMENEZ, JR. KEN MCDANIEL RONNIE SIZEMORE -"— WM. H. WALLACE /J