Housing Hope HCS-15-42-1213-198(1) 7/25/2016

2. SEPA The Agency retains responsibility for fulfilling the requirements of the State Environmental Policy Act ("SEPA") and regulations and ordinances adopted thereunder. 3. Compliance as a Pre-Condition Notwithstanding any provision of this agreement, the parties hereto agree and acknowledge that this agreement does not constitute a commitment of funds or site approval, and that such commitment of funds or approval may occur only upon satisfactory completion of environmental review and receipt by Snohomish County of a release of funds from the U.S. Department of Housing and Urban Development under 24 CFR Part 58. The parties further agree that the provision of any funds to the project is conditioned on the participating jurisdiction's determination to proceed with, modify or cancel the project based on the results of a subsequent environmental review. Performance by the Agency under this Loan Agreement shall include satisfaction of all applicable requirements of the National and State Environmental Policy Acts. No funds may be committed to a HOME activity or project before completion of the environmental review and approval of the request for release of funds and related certification, except as authorized by 24 CFR Part 58. 4. Contracting Requirements a. This Loan Agreement is subject to the requirements of the Clean Air Act, as amended, 42 U.S.C. § 1857 et seq., the Federal Water Pollution Control Act, as amended, 33 U.S.C. § 1351 et seq., and the regulations of the Environmental Protection Agency with respect thereto, as amended from time to time. In compliance with said regulations, the Agency shall enforce and cause or require to be inserted in full in all contracts and subcontracts, with respect to any nonexempt transaction thereunder funded with assistance provided under this Loan Agreement, the following requirements: 1) A stipulation by the contractor or subcontractor that any facility to be utilized in the performance of any nonexempt contract or subcontract is not listed on the List of Violating Facilities issued by the Environmental Protection Agency ("EPA") pursuant to 40 CFR § 15.20, as amended; 2) Agreement by the contractor to comply with all the requirements of Section 114 of the Clean Air Act, as amended (42 U.S.C. § 1857c-8), and Section 308 of the Federal Water Pollution Control Act, as Amended HOME Loan Agreement Housing Hope's Kennedy Court Improvement Project Page 11 of 53