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15 <br /> SECTION 13. RECOVERY OF PAYMENTS <br /> A. Recovery for Noncompliance.In the event that the sponsor fails to expend funds under this Agreement in accordance with state <br /> and federal laws, and/or the provisions of the Agreement,or meet its percentage of the project total,RCO reserves the right to <br /> recover grant award funds in the amount equivalent to the extent of noncompliance in addition to any other remedies available at <br /> law or in equity. <br /> B. Overpayment Payments.The sponsor shall reimburse RCO for any overpayment or erroneous payments made under the <br /> Agreement.Repayment by the sponsor of such funds under this recovery provision shall occur within 30 days of demand by <br /> RCO.Interest shall accrue at the rate of twelve percent(12%)per annum from the time that payment becomes due and owing. <br /> C. Requirements for Federal Subawards.The pass-through entity(RCO)may impose any of the remedies as authorized in 2 C.F.R <br /> §§200.207 Specific conditions and/or 200.338 Remedies for noncompliance(2013). <br /> SECTION 14. COVENANT AGAINST CONTINGENT FEES <br /> The sponsor warrants that no person or selling agent has been employed or retained to solicit or secure this Agreement on an <br /> Agreement or understanding for a commission,percentage,brokerage or contingent fee,excepting bona fide employees or bona fide <br /> established agents maintained by the sponsor for the purpose of securing business.RCO shall have the right,in the event of breach <br /> of this clause by the sponsor,to terminate this Agreement without liability or,in its discretion,to deduct from the Agreement grant <br /> amount or consideration or recover by other means the full amount of such commission,percentage,brokerage or contingent fee. <br /> SECTION 15. INCOME AND USE OF INCOME <br /> A. RCFB Projects.See WAC 286-13-110 for additional requirements for projects funded from the RCFB. <br /> B. Income. <br /> ' 1. Compatible source.The source of any income generated in a funded project or project area must be compatible with the <br /> funding source and the Agreement. <br /> • <br /> 2. Fees.User and/or other fees may be charged in connection with land acquired or facilities developed,maintained, <br /> renovated,or restored with funding board grants if the fees are consistent with the: <br /> (a) Value of any service(s)furnished; <br /> (b) Value of any opportunities furnished;and <br /> (c) Prevailing range of public fees in the state for the activity involved. <br /> (d) Excepted are Firearms and Archery Range Recreation Program safety classes (firearm and/or hunter)for <br /> which a facility/range fee must not be charged(RCW 79A.25.210). <br /> C. Use of income.Regardless of whether income or fees in a project work site(including entrance,utility corridor permit,cattle <br /> grazing,timber harvesting,farming,etc.)are gained during or after the reimbursement period cited in the Agreement,unless <br /> precluded by state or federal law,the revenue may only be used to offset: <br /> 1. The sponsor's matching resources; <br /> 2. The project's total cost; <br /> 3. The expense of operation,maintenance,stewardship,monitoring,and/or repair of the facility or program assisted by the <br /> funding board grant; <br /> 4. The expense of operation,maintenance,stewardship,monitoring,and/or repair of other similar units in the sponsor's <br /> system;and/or <br /> 5. Capital expenses for similar acquisition and/or development and renovation. <br /> D. Requirements for Federal Subawards.Sponsors must also comply with 2 C.F.R.§200.307 Program income(2013). <br /> SECTION 16. PROCUREMENT REQUIREMENTS <br /> A. Procurement Requirements. If Sponsors have a procurement process that follows applicable state and/or required federal <br /> procurement principles,it must be followed. If no such process exists the sponsor must follow these minimum procedures: <br /> 1. Publish a notice to the public requesting bids/proposals for the project; <br /> 2. Specify in the notice the date for submittal of bids/proposals; <br /> 3. Specify in the notice the general procedure and criteria for selection;and <br /> 4. Comply with the same legal standards regarding unlawful discrimination based upon race,ethnicity,sex,or sex-orientation <br /> that are applicable to state agencies in selecting a bidder or proposer. <br /> This procedure creates no rights for the benefit of third parties,including any proposers,and may not be enforced or subject to <br /> review of any kind or manner by any other entity other than the RCO.Sponsors may be required to certify to the RCO that they <br /> have followed any applicable state and/or federal procedures or the above minimum procedure where state or federal procedures <br /> do not apply. <br /> RCO 14-1274D Page 11 of 28 <br /> 72 <br />