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Agreement is to provide Grantee with the Grant Funds, and that City is not an awarding authority <br />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 designateits empfo_y_ee_ropLes_entatives, 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 indemnify, <br />defend, and hold harmless City, and its elected and appointed officials, officers, employees and <br />agents, (collectively, the "Indemnified Parties") from and against any and all claims (including, <br />without limitation, claims for bodily injury, death or damage to property), demands, obligations, <br />damages, actions, causes of action, suits, losses, judgements, fines, penalties, liabilities, costs and <br />expenses (including, without limitation, attorney's fees, disbursements and court costs) of every <br />kind and nature whatsoever (individually, a "Claim;" collectively, "Claims"), which may arise from <br />or in any manner relate (directly or indirectly) to this Agreement and Grantee's undertaking of the <br />Improvement Work (including the negligent and/or willful acts, error and/or omission of Grantee, <br />its principals, officers, agents, employees, vendors, suppliers, consultants, subcontractors, anyone <br />employed directly or indirectly by any of them or for whose acts they may be liable for any or all <br />of them). Notwithstanding the foregoing, nothing herein shall be construed to require Grantee to <br />indemnify the Indemnified Parties from any Claim arising from the sole negligence or willful <br />misconduct of the Indemnified Parties. This indemnity shall apply to all claims and liability <br />regardless of whether any insurance policies are applicable. The policy limits do not act as a <br />limitation upon the amount of indemnification to be provided by Grantee. <br />2 <br />X:1cmo\Agreements\Larry Jacinto Construction, Inc, Grant Agreement (Zanja Trail Parking Lot) FY23-0031,docx-msv2 <br />