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1 f <br /> • <br /> The responsibility for the design,development, construction, implementation, operation and maintenance <br /> of the project, as these phrases are applicable to this project, is solely that of the Subrecipient, as is <br /> responsibility for any claim or suit of any nature by any third party related in any way to the project. <br /> Prior to the start of any construction activity, the Subrecipient shall ensure that all applicable federal, <br /> state, and local permits and clearances are obtained, including, but not limited to, FEMA compliance with <br /> the National Environmental Policy Act, the National Historic Preservation Act, the Endangered Species <br /> Act, and all other environmental laws, regulations, and executive orders. <br /> The Subrecipient shall defend, at its own cost, any and all claims or suits at law or in equity, which may <br /> be brought against the Subrecipient in connection with the project. The Subrecipient shall not look to the <br /> Department, or to any state or federal agency, or to any of their employees or agents, for any <br /> performance, assistance, or any payment or indemnity, including, but not limited to, cost of defense <br /> and/or attorneys' fees, in connection with any claim or lawsuit brought by any third party related to any <br /> design, development, construction, implementation, operation and/or maintenance of a project. <br /> A.27 SEVERABILITY <br /> If any court of rightful jurisdiction holds any provision or condition under this Agreement or its application <br /> to any person or circumstances invalid, this invalidity does not affect other provisions, terms or conditions <br /> of the Agreement, which can be given effect without the invalid provision. To this end, the terms and <br /> conditions of this Agreement are declared severable. <br /> A.28 SINGLE AUDIT ACT REQUIREMENTS (including all AMENDMENTS) <br /> Non-federal entities, as subrecipients of a federal award,that expend$750,000 or more in one fiscal year <br /> of federal funds from all sources, direct and indirect, are required to have a single or a program-specific <br /> audit conducted in accordance with 2 CFR Part 200 Subpart F. Non-federal entities that spend less than <br /> $750,000 a year in federal awards are exempt from federal audit requirements for that year, except as <br /> noted in 2 CFR Part 200 Subpart F. As defined in 2 CFR Part 200, the term "non-federal entity" means <br /> a State, local government, Indian tribe, institution of higher education, or non-profit organization that <br /> carries out a federal award as a recipient or subrecipient. <br /> Subrecipients that are required to have an audit must ensure the audit is performed in accordance with <br /> Generally Accepted Government Auditing Standards (GAGAS) as found in the Government Auditing <br /> Standards (the Revised Yellow Book) developed by the United States Comptroller General and the OMB <br /> Compliance Supplement. The Subrecipient has the responsibility of notifying its auditor and requesting <br /> an audit in compliance with 2 CFR Part 200 Subpart F, to include the Washington State Auditor's Office, <br /> a federal auditor, or a public accountant performing work using GAGAS, as appropriate. Costs of the <br /> audit may be an allowable grant expenditure as authorized by 2 CFR Part 200.425. <br /> The Subrecipient shall maintain auditable records and accounts so as to facilitate the audit requirement <br /> and shall ensure that any sub-contractors also maintain auditable records. The Subrecipient is <br /> responsible for any audit exceptions incurred by its own organization or that of its sub- <br /> contractors. Responses to any unresolved management findings and disallowed or questioned costs <br /> shall be included with the audit report. The Subrecipient must respond to Department requests for <br /> information or corrective action concerning audit issues or findings within 30 days of the date of <br /> request. The Department reserves the right to recover from the Subrecipient all disallowed costs <br /> resulting from the audit. <br /> After the single audit has been completed, and if it includes any audit findings, the Subrecipient must <br /> send a full copy of the audit and its corrective action plan to the Department at the following address no <br /> later than nine (9) months after the end of the Subrecipient's fiscal year(s): <br /> Contracts Office <br /> Washington Military Department <br /> Finance Division, Building #1 TA-20 <br /> Camp Murray, WA 98430-5032 <br /> If the Subrecipient claims it is exempt from the audit requirements of 2 CFR Part 200 Subpart F, the <br /> Subrecipient must send a completed "2 CFR Part 200 Subpart F Audit Certification Form" <br /> (https://www.mii.wa.gov/emergency-management-division/grants/requiredgrantforms)to the Department <br /> at the address listed above identifying this Agreement and explaining the criteria for exemption no later <br /> than nine(9) months after the end of the Subrecipient's fiscal year(s). <br /> DHS-FEMA-EMPG-FY 17 P3,h17 of 36 City of Everett, El 8-069 REVISED <br />