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In the event the Grant Funds are not used for the Improvement Work, Grantee shall provide written <br />notification to City and shall return the Grant Funds in full to City within ten (10) days of such <br />notice If the Grant Funds are not fully expended by or. before April 19, 2024, Grantee shall return <br />the unexpended Grant Funds to City within thirty (30) days of such date. <br />Section 3. Compliance with California Labor Code. In performing the Improvement <br />Work, Grantee shall comply with all applicable federal, state, and local laws, including, but not <br />limited to, any applicable provisions of the California Labor Code. City makes no representation <br />to Grantee as to whether the Improvement Work constitutes a "Public Work" as that term is defined <br />by California Labor Code section 1720, and Grantee acknowledges and agrees that Grantee shall <br />be solely responsible and liable for the determination of whether such Improvement Work <br />constitutes a "Public Work." Grantee further acknowledges and agrees that City's sole obligation <br />under this Agreement is to provide Grantee with the Grant Funds, and that City is not an awarding <br />authority for any contract entered into by Grantee for the Improvement Work, nor is City otherwise <br />undertaking any "Public Work" for purposes of California Labor Code section 1781 Grantee shall <br />defend, indemnify, and hold harmless City and its elected and appointed officials, officers, and <br />employees from and against any and all losses, damages, costs, claims, causes of action and <br />liability based upon the assertion that City or Grantee has failed to comply with any applicable <br />provision of the California Labor Code in connection with Grantee's undertaking of the <br />Improvement Work. <br />Section 4. Reporting and Accounting Requirements. <br />A. Grantee shall maintain true, proper, and complete books, records and accounts <br />(collectively, "Books and Records") in which shall be entered fully and accurately all transactions <br />taken with respect to the Improvement Work and the expenditure of the Grant Funds. Grantee shall <br />maintain the Books and Records in accordance with Generally Accepted Accounting Principles, <br />B City reserves the right to designate its employee representatives, or its contracted <br />representatives with a Certified Public Accounting firm, who shall have the right to audit Grantee's <br />Books and Records as they relate to the Grant Proposal, and to examine any cost, revenue, <br />payment, claim or other records or supporting documentation relating to Grantee's use and <br />expenditure of the Grant Funds. Any such audit shall be undertaken by City or its representatives <br />at mutually agreed upon reasonable times, and in conformance with generally accepted auditing <br />standards. Grantee agrees to fully cooperate with any such audit. <br />C City's right to audit shall extend for a period of three (3) years following the date <br />of City's provision of the Grant Funds to Grantee. Grantee agrees to retain all records and <br />documentation relating to the Grant Proposal and Grantee's expenditure of the Grant Funds for <br />such period. <br />Section 5. Indemnification. To the fullest extent permitted by law, Grantee shall <br />indemnify, defend and hold harmless City, and its elected and appointed officials, officers, <br />employees and agents, (collectively, the "Indemnified Parties") from and against any and all claims <br />(including, without limitation, claims for bodily injury, death or damage to property), demands, <br />obligations, damages, actions, causes of action, suits, losses, judgements, fines, penalties, <br />2 <br />i.:\ca\djm\Agreements\Redlands Historical Museum Grant Agreement.FY21-0102.docx.jn <br />