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responsible for all costs or liability arising from its failure, and that of its contractors and subrecipients, to
<br />comply with applicable laws, regulations, executive orders, OMB Circulars or policies.
<br />A.9 CONFLICT OF INTEREST
<br />No officer or employee of the Department; no member, officer, or employee of the Subrecipient or its
<br />designees or agents; no member of the governing body of the jurisdiction in which the project is
<br />undertaken or located; and no other official of the Subrecipient who exercises any functions or
<br />responsibilities with respect to the project during his or her tenure, shall have any personal or pecuniary
<br />gain or interest, direct or indirect, in any contract, subcontract, or the proceeds thereof, for work to be
<br />performed in connection with the project assisted under this Agreement.
<br />The Subrecipient shall incorporate, or cause to incorporate, in all such contracts or subawards, a
<br />provision prohibiting such interest pursuant to this provision.
<br />A.10 CONTRACTING & PRpCUREMENTa. The Subrecipient shall use a competitive procurement process in the procurement and award of
<br />any contracts with contractors or subcontrac{ors that are entered into under the original
<br />agreement award. The procurement process followed shall be in accordance with 2 CFR Part
<br />200.318 General procurement standards through 200.326 Contract provisions, As per OMB
<br />Memo 20-17, certain procurement requirements have been temporarily exempted. For details,
<br />refer to the $pecial Terms and Conditions, Section 6(a).
<br />As required by Appendix ll to 2 CFR Part 200, all contracts entered into by the Subrecipient under
<br />this Agreement must include the following provisions, as applicable:
<br />1) Contracts for more than the simplified acquisition threshold currently set at $250,000, which
<br />is the inflation adjusted amount determined by the Civilian Agency Acquisition Council and
<br />the Defense Acquisition Regulations Council (Councils) as authorized by 41 U.S.C. 1908,
<br />must address administrative, contractual, or legal remedies in instances where contractors
<br />violate or breach contract terms, and provide for such sanctions and penalties as appropriate.
<br />2l All contracts in excess of $10,000 must address termination for cause and for convenience
<br />by the non-federal entity including the manner by which it will be afiected and the basis for
<br />settlement.
<br />3) Equal Employment Opportunity. Except as otherwise provided under 41 CFR Part 60, all
<br />contracis that meet the definition of "federally assisted construction contract" in 41 CFR Part
<br />60-1.3 must lnclude the equal opportunity clause provided under 41 CFR 60-1.4(b), in
<br />accordance with Executive Order 11246, "Equal Employment Opportunity" (30 FR 12319,
<br />12935,3 CFR Part, 1964-1965 Comp., p.339), as amended by Executive Order 11375,
<br />'Amending ExecutivE Order ',1246 Relating to Equal Employment Opportunity," and
<br />implementing regulations at 41 GFR part 60, "Office of Federal Contract Compliance
<br />Programs, Equal Employment Opportunity, Department of Labor,"
<br />4) Davis-Bacon Act, as amended (40 U.S.C, 3141-3148). When required by Federal program
<br />legislation, all prime construction contracls in excess of $2,000 awarded by non-federal
<br />entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C, 3141-
<br />3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part
<br />5, 'Labor Standards Provisions Applicable to Contracts Covering Federally Financed and
<br />Assisted Construction"). ln accordance with the statute, contrac{ors must be required to pay
<br />wages to laborers and mechanics at a rate not less than the prevailing wages specified in a
<br />wage determination made by the Secretary of Labor. ln addition, contractors must be
<br />required to pay wages not less than once a week. The non-federalentig must place a copy
<br />of the current prevailing wage determination issued by the Department of Labor in each
<br />solicitation. The decision to award a contract or subcontract must be conditioned upon the
<br />acceptance of the wage determination. The non-federal entity must report all suspected or
<br />reported violations to the federal awarding agency. The contrac{s must also include a
<br />provision for compliance with the Copeland "Anti-Kickback" Act (40 U.S.C. 3145), as
<br />supplemented by Department of Labor regulations (29 CFR Part 3, 'Contractors and
<br />Subcontractors on Public Building or Public Work Financed in Wrole or in Part by Loans or
<br />Grants from the United States"). The Act provides that each contractor or Subrecipient must
<br />be prohibited from inducing, by any means, any person employed in the construction,
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