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SECTION 12: EQUIPMENT: OWNERSHIP, MAINTENANCE, USEFUL LIFE & DISPOSAL <br />12.1 Ownership Of Equipment. Except as otherwise provided herein, Subrecipient shall retain <br />ownership of equipment purchased pursuant to the terms of the grant. Subrecipient may not, <br />during the term of the grant, transfer or convey its ownership interest in the equipment. <br />Subrecipient shall not at any time during the term of the grant convert any facility equipment <br />which was acquired pursuant to the grant to a use other than those for which the assistance <br />was originally approved. <br />Equipment purchased with Recreational Boating Safety Act funds shall be used only for <br />the purpose for which it was purchased and no other purpose, whether or not the <br />Subrecipient continues to be supported by Recreational Boating Safety Act grant funds. <br />Observed/reported incidents of unauthorized use of MLE equipment shall be addressed by the <br />following: <br />1) Any observed/reported incident of unauthorized use of MLE funded vessels will be <br />followed -up by MLE communication with the Subrecipient. MLE may conduct site visits <br />or contact area boaters for supplemental information as necessary. <br />2) In those instances where the MLE determines that an unauthorized use of a MLE <br />funded vessel has occurred, the MLE will provide written notification to the operator of <br />its determination with a warning that continued misuse or abuse of MLE-funded <br />vessels and equipment may result in: <br />a) the removal of misused equipment from the facility; and/or <br />b) an assessment against the operator for reimbursement of the federal contribution <br />against the current market value of the vessel. <br />12.2 Title. Title to equipment purchased under this Agreement shall vest in the Subrecipient. If the <br />Subrecipient determines that it cannot use the equipment for the stated grant purposes at any <br />point prior to the end of the equipment's useful life, but after the end of this award period and <br />any extensions thereof, the Subrecipient shall inform MLE in writing within 30 days of such <br />determination. Such equipment shall be transferred by the Subrecipient to a third party <br />approved by MLE for use for grant purposes in accordance with applicable provisions of state <br />and federal law. Should the equipment not be transferred to another state parks RBS approved <br />law enforcement agency in accordance with this provision, the equipment shall either be <br />returned to MLE for use for grant purposes, or it shall be disposed in accordance with 50 CFR <br />Part 85; and 2 CFR Part 200. <br />12.3 Useful Life. Beyond the acquisition grant period of performance and throughout the duration <br />of the equipment's useful life, the equipment must continue to be used in the program or project <br />for which it was acquired, as Recreational Boating Safety Act Program. When no longer needed <br />for the original program or project, equipment may be used in other activities in the following <br />order of priority: <br />a. Activities supported under a Federal award from the Federal awarding agency which <br />funded the original program or project; then <br />b. Activities under Federal awards from other Federal awarding agencies; then <br />c. Any activities consistent with the administration of the Washington State Parks and <br />Recreation Commission. <br />MLE 123-401 Subrecipient Agreement - Boating Program (FFA Grant Award) Page 12 of 35 <br />