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cl. Urrlce of Management ancl Buaget L;ircular/~-, ,u ~,,uu~,~3, un~u~m <br /> e. Office of Management and Budget Circular A-122 entitted, "Cost <br /> Principles for Non-profit Organizations"; <br />(C) Financial assistance provided under this agreement shall not be used directly <br /> or indirectly: <br /> 1. for construction, such as construction of mass transit systems, and <br /> exclusive bus lanes; <br /> 2. to subsidize fares for public transportation; or <br /> 3. for subsidies for utility rate demonstrations or State insulation tax <br /> credits. <br />(D) Materials and supplies purchased with funds received as a result of this <br /> agreement shall be accounted for separately from all other materials and suppties <br /> obtained from any other source. Materials and supplies on hand from prior <br /> weatherization programs may be purchased at-cost, with funds received through this <br /> agreement. All such purchases shall be accounted for by the Subcontractor in <br /> inventory records maintained to account for funds expended, under this agreement. <br /> <br />Section 7: Audit an__d Inspection. The Subcontractor shall permit, and shall require its <br />subcontractors in writing as part of any subcontract agreement, to permit the Subgrantee, the <br />Comptroller General of the United States and the Department of Energy, or their authorized <br />representative to audit and/or inspect all work, materials, payrolls, and other data and records <br />with regard to this contract and to audit the books, records, and accounts of the <br />Subcontractor pertaining to this contract. <br /> <br />Section 8: Contract Changes. Any proposed changes in this contract shall be in <br />writing, submitted to and approved and executed by the Subgrantee before performance of <br />any work involved in the proposed change. <br /> <br />Section 9: This agreement is subject to and incorporates the attached Parts I! and III, as <br />if written word for word herein. <br /> <br />Section 10: The Subcontractor agrees to assist the Subgrantee in complying with all of the <br />Conditions Governing Grants under the National Energy Conservation Policy Act. <br /> <br />Section 11: The continued performance of this contract by the Subgrantee is <br />dependent upon the availability of funds for this purpose and the Subcontractors <br />ability to carry out the purpose of the Weather~=tion Assistance Program as <br />prescribed in the North Carolina WAP State Plan (including all program guidance, <br />manuals, laws, rules and regulations), as well as, consistent with Part !1 Section t of <br />thio agreement. Should funds for this purpose cease to be available, this contract <br />ehall automatically terminate. <br /> <br />Section 12: Honesty and Fidelity Bonds. The Subcontractor shall maintain throughout the <br />duration of this Contract '; H~3nesty and Fidelity bond that protects the program against theft, <br />damages, or other at)uses th~ may occur while this contract is in force. Such Honesty and <br />Rdelity bonds should be at least 15% of the total funds awarded under this Co,i~act. The <br />Subgrantes recommends that the Subcontractor also maintain liabir~y insurance to protect <br />against personal injury and property damage sustained dudng weatherization activities. <br /> <br /> <br />