All subagreements for personal and professional services for
design or construction expected to exceed $25,000 in the aggregate shall
include the following subagreement provisions.
a) Subagreements for personal and
professional construction services shall include:
1) Evidence that affirmative steps have been
taken in accordance with 40 CFR
33 to assure that disadvantaged business
enterprises are used when possible as sources of supplies, equipment,
construction, and services consistent with the provisions of the Agency's
Operating Agreement with USEPA.
2)
An audit and access to records clause that provides as follows:
A) Subsections (a)(2)(B) through (E) shall be
included in all contracts and all subcontracts directly related to project
services that are in excess of $25,000.
B) Books, records, documents, and other
evidence directly pertinent to performance of PWSLP loan work under this
agreement shall be maintained in accordance with generally accepted accounting
principles. The Agency or any of its authorized representatives shall have
access to the books, records, documents, and other evidence for the purpose of
inspection, audit, and copying. Facilities shall be provided for access and
inspection.
C) Audits conducted
pursuant to this provision shall be in accordance with auditing standards
generally accepted in the United States.
D) All information and reports resulting from
access to records pursuant to subsection (a)(2)(B) shall be disclosed to the
Agency. The auditing agency shall afford the engineer an opportunity for an
audit exit conference and an opportunity to comment on the pertinent portions
of the draft audit report. The final audit report shall include the written
comments, if any, of the audited parties.
E) Records under subsection (a)(2)(B) shall
be maintained and made available during performance of project services under
this agreement and for 3 years after the final loan closing. In addition, those
records that relate to any dispute pursuant to Section 662.650 (Disputes),
litigation, the settlement of claims arising out of project performance, costs
or items to which an audit exception has been taken shall be maintained and
made available for 3 years after the resolution of the appeal, litigation,
claim or exception.
3) A
covenant against contingent fees clause as follows:
"The professional services contractor warrants that no person
or selling agency has been employed or retained to solicit or secure this
contract upon an agreement or understanding for a commission, percentage,
brokerage, or contingent fee, excepting bonafide employees. For breach or
violation of this warranty, the loan recipient shall have the right to annul
this agreement without liability or to deduct from the contract price or
consideration, or otherwise recover, the full amount of the commission,
percentage, brokerage, or contingent fee."
4) A Certification Regarding Debarment,
Suspension, and Other Responsibility Matters (EPA Form 5700-49) showing
compliance with federal Executive Order 12549.
5) A description of the scope and extent of
the project work.
6) The schedule
for performance and completion of the contract work including, when
appropriate, dates for completion of significant project tasks.
7) A method of compensation.
8) A clause as follows:
"No contractor or subcontractor shall discriminate on the
basis of race, color, national origin or sex in the performance of this
contract. The contractor or subcontractor shall carry out applicable
requirements of 40 CFR Part 33 in the award and administration of contracts
awarded under the PWSLP. Failure by the contractor or subcontractor to carry
out these requirements is a material breach of this contract which may result
in the termination of this contract or other legally available
remedies."