CDBG Contract - Near Northwest Neighbors - CDBG Administration

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for all articles so supplied. E. Audits and Reviews: 1. City and Federal Audits. (a) The City shall require governmental agency and nonprofit agency audits consistent with 24 CFR Parts 84 and 85, respectively, for those agencies that have combined expenditures of federal financial assistance totaling Seven Hundred Fifty Thousand Dollars ($750,000) a year or more. Agencies with expenditures totaling $750,000 or more from all federal sources for the most recent ended fiscal year shall have a Single Audit conducted in accordance with the Single Audit Act, OMB Circular A-133 and Generally Accepted Government Auditing Standards for that fiscal year. Agencies that do not qualify for an A-133 audit shall submit a CPA Audited Financial Statement, or at a minimum a Certified Annual Financial Statement (CFA). Audited Financial Statements and CFAs will be accepted only from those agencies that can document they did not qualify for an A- 133 audit. Agencies shall ensure that their independent auditors conduct the proper type of audit. A-133 Single Audits shall be submitted to the City no later than nine (9) months after the end of the agency's fiscal year; CPA Audited Financial Statements and CFAs shall be submitted no later than nine (9) months after the end of the fiscal year. (b) The City may make an examination of the Agency's fidelity bonding and fiscal and accounting procedures to determine whether these procedures meet the requirements of this Contract. (c) At any time during normal business hours and as often as the City, HUD and/or the Comptroller General of the United States may deem necessary, there shall be made available to the City, HUD and/or representatives of the Comptroller General for examination all of its records with respect to all matters covered by this Contract. Further, the Agency shall permit the City, HUD, and/or representatives of the Comptroller General to audit, examine and make excerpts of transcripts from such records, and to make audits of all contracts, invoices, materials, payrolls, records of personnel, conditions of employment and other data relating to all matters covered by this Contract. 2. Periodic Review. At regular intervals during the term of this Contract the City may conduct reviews of the content and progress of the Agency services. If, as a result of such review, it is the opinion of the City that revisions to the Scope of Services/Program Description are necessary or the methods employed by the Agency are inappropriate, the City may require such revisions by notifying the Agency in writing. Upon receipt of such notification of revision, the Agency shall, within ten (10) days, propose the manner in which such revisions shall be made. The proposed revisions shall be subject to the City's written approval and amendment to this Contract. F. Termination. 1. By giving five (5) working days written notice specifying the effective date, the City may terminate this Contract in whole or in part for cause, which shall include: (a) failure, for any reason, of the Agency to fulfill in a timely and proper manner its obligations under this Contract, including compliance with the approved program and Contract conditions, and such statutes, executive orders, and HUD directives as may become applicable at any time; (b) submission by the Agency to the City of reports that are incorrect or incomplete in any material respect; (c) ineffective or improper use of funds provided under this Contract; (d) failure of the Agency to supply the City with monthly reports and data necessary to the continuing planning process of the City; or (e) suspension or termination by HUD of the grant to the City under which this Contract is made, or the portion of it delegated by this Contract; provided, however, that if the grant is merely reduced and in the absence of any contrary HUD directive, the Agency may readjust its budget and recommend CDBG Program Contract Page 3