2. AGMT MLK Center Lease: YPIC

Dr. Martin Luther King, Jr. Neighborhood Center Lease
This Lease (“Lease”) is entered into in Yuma, Arizona, as of the _____ day of ________________,
2026, by and between the City of Yuma, an Arizona municipal corporation (“Lessor” or “City”),
and Yuma Private Industry Council, Inc., an Arizona non-profit corporation (“YPIC” or “Lessee”).
The Subrecipient Agreement attached as Attachment “A” is a separate agreement included for
guidance and incorporation of such terms where specified.
The parties agree as follows:
1. Description of Premises. Lessor leases to Lessee the property located at 300 South 13th
Avenue and 1471 West 3rd Street, Yuma, Arizona 85364. The Premises consists of
approximately 10,000 square feet in one building and includes two parking lots (“Premises”).
2. Term.
a. The initial term of this Lease begins on September 1, 2026 and ends on August 31, 2027,
unless terminated earlier under this Lease. The Lease may be extended for two (2)
additional one-year terms only if Lessor approves the extension in writing. Lessee must
submit any extension request to the City Administrator at least 60 days before the current
term expires, and the City Administrator may approve such request in the City
Administrator’s discretion.
b. When this Lease expires or terminates, Lessee must surrender the Premises to Lessor in
good condition and repair, reasonable wear and tear excepted.
3. Termination. This Lease automatically terminates at the end of the then-current term unless
extended in writing. Either party may request and shall have the right to force early termination
by giving the other party at least 90 days’ prior written notice. Early termination is effective
only as provided in the notice or as otherwise agreed in writing by the parties.
4. Holding Over. Lessee may not remain in possession after this Lease expires or terminates
without Lessor’s written consent. If Lessee holds over without consent, the holdover does not
renew or extend this Lease, and Lessee must pay holdover rent equal to five hundred dollars
($500) per month, plus any other amounts due under this Lease.
5. Rent. Lessee must pay Lessor annual rent of One Dollar ($1.00), due on the first day of the
Lease term and annually thereafter. Lessee may pay rent for the entire Lease term when this
Lease is signed. Rent payments must be mailed or delivered to:
Customer Services Division
One City Plaza
Yuma, Arizona 85364-1436
As part of Rent, Lessee must also fulfil all obligations stated in this Lease.
MLK CENTER LEASE – YPIC
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6. Use. Lessee may use the Premises only to provide the services described in Attachment A,
including services to youth, teens, and residents of the Carver Park Neighborhood and
surrounding communities. Lessee may not use or allow the Premises to be used for any other
purpose without Lessor’s prior written consent signed by the City Administrator.
7. Condition of Premises and Contents.
a. Lessee accepts the Premises and contents in their current “as-is” condition.
b. At the end of this Lease, Lessee must return the Premises and contents in substantially the
same condition as received, reasonable wear and tear excepted.
c. Before vacating, Lessee must remove all personal property and trade fixtures that are not
permanently affixed to the Premises. Lessee may not alter, improve, damage, or permit
damage to the Premises without Lessor’s prior written consent.
8. Relocation Benefits. Lessee is not entitled to relocation benefits.
9. Taxes. In addition to rent, Lessee must pay any excise, sales, property, privilege, or other tax
imposed by a governmental authority and attributable to Lessee’s rent, use, occupancy, or
operations at the Premises, unless applicable law provides otherwise.
10. Compliance with Law and Insurance Requirements. Lessee must use the Premises in a
lawful manner and may not use or allow any use that increases Lessor’s insurance rates, causes
cancellation of insurance, or violates any requirement of Lessor’s insurance policies. Lessee
must comply, at Lessee’s sole cost, with all federal, state, county, and municipal laws,
ordinance, rules, and regulations applicable to the Premises or Lessee’s use of the Premises.
11. Utilities and Services. Rent does not include utilities, janitorial services, facility maintenance,
or operating services. Lessee is solely responsible for all charges associated with the operation
of the Premises, including electricity, water, wastewater, gas, sanitation, telephone, internet
access, alarm monitoring, pest control, HVAC maintenance, fire sprinkler inspections,
backflow inspections, fire extinguisher inspections and maintenance, landscape maintenance,
and any other services designated by the city or deemed necessary by Lessee.
12. Maintenance, Repairs, and Alterations.
a. Lessee must keep the Premises in good condition and repair during the Lease term,
reasonable wear and tear excepted. Lessee must maintain, repair or replace any damage to
the Premises or the building, regardless of cause. Lessor has no obligation to maintain,
repair, or replace the Premises or any part of the Premises unless this Lease expressly states
otherwise.
b. Lessor may enter the Premises at reasonable times and with reasonable notice to inspect
the Premises, perform maintenance, make repairs, or show the Premises to prospective
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tenants or purchasers during the last 90 days of the term. Lessor may enter without prior
notice in an emergency.
c. Lessee may make non-structural alterations only with Lessor’s prior written approval,
which will not be unreasonable withheld.
d. Lessee is responsible for loss or damage to Lessee’s merchandise, equipment, supplies, and
other personal property, including loss or damage caused by vandalism, theft, glass
breakage, casualty, or fire.
e. Lessee must promptly repair any damage to the Premises caused by Lessee or Lessee’s
employees, agents, contractors, subtenants, representatives, licensees, invitees, or
operations. If Lessee fails to make required repairs, Lessor may make the repairs, and
Lessee must reimburse Lessor as additional rent on demand.
13. Insurance.
a. Before the commencement of any services, the Lessee must provide the City with
certificates of insurance and endorsements identifying this Agreement by name. All
required insurance policies, except Workers’ Compensation and Professional Liability must
name the City, and City’s employees, as Additional Insured with endorsement. All required
policies, including Workers’ Compensation and Professional Liability insurance, must
contain endorsement waiving subrogation against the Lessor, and Lessee hereby waives
any subrogation against the City. All policies, except Workers’ Compensation and
Professional Liability, must include an endorsement providing that such insurance under
Lessee’s policy is primary insurance and that any other insurance maintained by the City
is excess and non-contributing with the insurance required under this section. Policies must
be written on a per occurrence basis. The Lessee must give the City 30 days written notice
before canceling, terminating, or altering any policy. The Lessee’s failure to furnish
evidence of insurance will be considered a breach.
The Certificate Holder must be named as follows: City of Yuma, Yuma, Arizona
All certificates are to be sent to: purchasingweb@yumaaz.gov
b. The Lessee must carry Workers’ Compensation Insurance to cover obligations imposed by
federal and state statutes having jurisdiction of employees engaged in the performance of
the work or services, and Employer’s Liability Insurance of not less than $100,000.00 for
each accident, $100,000.00 disease for each employee, and $500,000.00 disease policy
limit. The policy must contain a waiver of subrogation against the City of Yuma by the
insurance carrier. Lessee also waives subrogation. The Lessee mut require sub-Lessee(s)
to provide Workers’ Compensation and Employer’s Liability with at least as much coverage
as that provided by the Lessee.
c. The Lessee must carry Commercial/Business Automobile Liability with a combined single
limit for bodily injury and property damages of not less than $1,000,000.00 for each
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occurrence on all vehicles the Lessee uses, whether owned or leased, in the performance
of the work or services under this Agreement. If hazardous materials or wastes are
transported, CA 9948 endorsement must be included and $3,000,000.00 per accident limits
for bodily injury and property damage will apply.
d. The Lessee must carry Commercial General Liability insurance with an unimpaired limit
of not less than $1,000,000.00 for each occurrence with a General Aggregate Limit of
$2,000,000.00. The policy must be primary. Lessee must provide annual Certificates of
Insurance and endorsements of continued coverage. No endorsement limiting or excluding
a required coverage is permitted. All coverages shall be on an occurrence basis. The
additional insured endorsement required shall be on an ISO Form CG 20 10 12 19 or any
replacement.
e. The Lessee must carry Umbrella/Excess Liability insurance with an unimpaired limit of
not less than $2,000,000.00 per occurrence combined limit bodily injury and property
damage, in excess of the Commercial General Liability, Automobile Liability and
Employer’s Liability, as required above.
f. The Lessee must carry Professional Liability coverage for errors and omissions arising out
of the work or service performed by the Lessee, Lessee’s agents, and employees, with an
unimpaired limit of $2 million each claim and $2 million all claims.
g. The amount and types of insurance coverage requirements set forth will in no way be
construed as limiting the scope of the indemnity in Section 22.
14. Vacation or Abandonment. Lessee may not vacate or abandon the Premises during the Lease
term. If Lessee abandons, vacates, or surrenders the Premises, is disposed by legal process, or
leaves personal property on the Premises after vacating, Lessor may treat the property as
abandoned to the extent permitted by law. Vacation or abandonment does not relieve Lessee
of Lessee’s obligation to pay rent or maintain required insurance for the remainder of the Lease
term unless Lessor agrees otherwise in writing.
15. Assignment and Subletting.
a. Lessee may not assign this Lease or any interest in this Lease without Lessor’s prior written
consent.
b. Lessee may sublet offices only with Lessor’s prior written approval signed by the City
Administrator. Any approved subtenant must be a nonprofit organization the provides
CDBR-eligible services to low- and moderate-income individuals.
c. Lessee must require each subtenant to maintain public liability and property damage
insurance from an insurer authorized to do business in Arizona, with limits at least equal
to Lessee’s required limits. Each subtenant policy must name and endorse Lessor as an
additional insured and must provide that any insurance maintained by Lessor is excess and
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noncontributory with subtenant providing Lessor with required endorsements and
certificates in the same manner as required for Lessee.
d. Lessee must document and report to Lessor, on a quarterly basis, all income generated from
office space and multipurpose room rentals. Any such income shall be considered CDBG
program income and must be reinvested into operation of the MLK Neighborhood Center
and handled in accordance with Attachment A whose terms are incorporated by reference.
16. Default and Remedies.
a. If Lessee breaches this Lease and fails to cure the breach within any applicable notice-and-
cure period required by law or this Lease, Lessor may exercise any remedy available at law
or in equity, including termination of this Lease, recovery of possession through lawful
process, recovery of unpaid rent and additional rent, and recovery of damages caused by
the breach.
b. Lessor’s remedies are cumulative. Exercise of one remedy does not waive or limit any
other remedy.
c. If Lessor retakes possession after a default, Lessor may store personal property left on the
Premises at Lesseee’s expense and risk, to the extent permitted by law.
17. Restrictions of Record. This Lease is subject to all recorded restrictions, leases, easements,
encumbrances, and other matters affecting Lessor’s title or possession of the Premises.
18. Non-Waiver. Lessor’s waiver of any breach must be in writing and is not a waiver of any
other breach or later breach. Acceptance of rent is not a waiver of Lessee’s breach of this
Lease.
19. Rules and Regulations. Lessor may adopt reasonable rules and regulations for the use, entry,
operation, management, safety, care, preservation, cleanliness, and good order of the Premises.
Lessee must comply with those rules and regulations after receiving written notice of them.
20. Successors and Assigns. This Lease shall not be assigned with written consent of the Lessor.
Subject to such restrictions on assignment, this Lease binds and benefits the parties and their
permitted successors and assigns.
21. Effectiveness. This Lease is effective when both parties have signed and delivered it and all
blanks have been completed.
22. Indemnity.
a. To the fullest extent permitted by law, Lessee must indemnify, defend, and hold harmless
Lessor and its officers, officials, employees, and agents from and against all claims, costs,
liabilities, judgments, losses, damages, and expenses, including attorneys’ fees and costs,
arising out of or related to any act, omission, negligence, willful misconduct, or fault of
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Lessee or Lessee’s employees, agents, contractors, subcontractors, subtenant,
representatives, licensees, or invitees occurring on or related to the Premises or this Lease.
b. This indemnity includes liability, remediation costs, or response costs under CERCLA,
state law, municipal ordinance, or other environmental law arising from contamination of
the Premises or surrounding environment, or from any release or discharge of waste or
hazardous materials caused or permitted by Lessee, whether intentional or accidental.
c. This indemnity provision survives expiration or earlier termination of this Lease.
23. Force Majeure. If all or part of the Premises becomes unsafe, unsuitable for use, or
uninhabitable because of an act of God, natural disaster, war, or other event beyond Lessee’s
reasonable control, Lessor may elect not to repair or replace the Premises. If Lessor determines
that the Premises cannot reasonably be repaired, Lessee’s rent obligation ends as of the date of
the event. Lessee must remove its personal property from the Premises if feasible.
24. Environmental. Lessee may not cause or permit hazardous materials, including petroleum
products, to be generated, used, treated, stored, released, or disposed of, in, on, or under the
Premises except in compliance with applicable law and with Lessor’s written consent.
25. ADA, Civil Rights, and Other Required Compliance.
a. Lessee must comply with the Americans with Disabilities Act and must indemnify the City
for costs, damages, attorney’s fees, staff time, and expenses arising from any claim alleging
Lessee’s violation of the ADA.
b. Lessee may not discriminate on the basis of race, religion, color, age, sex, national origin,
disability, or any other classification protected by applicable law in performing this Lease,
and must comply with Title VII of the Civil Rights Act of 1964 and all other applicable
civil-rights laws.
c. Lessee may not participate in or cooperate with an international boycott as defined in
Section 999(b)(3) and (4) of the Internal Revenue Code, as amended, or engage in conduct
prohibited by Arizona law.
d. Lessee must include substantially similar requirements in any sublease or other agreement
related to Lessee’s obligations under this Lease.
26. Time. Time is of the essence for all obligations under this Lease unless this Lease states
otherwise.
27. Entire Agreement; Amendments. This Lease contains the entire agreement between the
parties regarding the Premises. No statement, promise, or inducement not included in this
Lease or in another written agreement signed by the parties is binding. This Lease may be
amended only by a written document signed by both parties.
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28. Dispute Resolution. A claim, dispute, or other matter arising out of or related to this Lease
may be submitted to mediation if both parties agree in writing. A party requesting mediation
must provide the request in writing to the other party.
29. Conflict of Interest. This Lease is subject to A.R.S. §38-511, as amended.
30. Governing Law; Venue. Arizona law governs this Lease. Any judicial proceeding or legal
action arising out of or related to this Lease must be filed in the Superior Court of Yuma County,
Arizona, and each party waives any right to remove the proceeding to another court except as
required by law.
31. No Partnership or Agency. This Lease does not create a partnership, joint venture, principal-
agent relationship, or employment relationship between the parties.
32. Severability. If any provision of this Lease is held invalid or unenforceable, the remainder of
the Lease remains in effect to the fullest extent permitted by law.
In witness whereof, the parties have executed this Lease through their authorized representatives
as of the date written above.
City of Yuma Yuma Private Industry Council
_________________________
_________________________ _________________________
John D. Simonton Nidia Herrera
Acting City Administrator Executive Director
Attest:
_________________________
Janet L. Pierson
City Clerk
Approved as to form:
_________________________
Richard W. Files
City Attorney
MLK CENTER LEASE – YPIC
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ATTACHMENT A:
SUBRECIPIENT AGREEMENT
CITY OF YUMA
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)
A Federally Funded Project
SUBRECIPIENT AGREEMENT
THIS AGREEMENT, entered into between the CITY OF YUMA, a municipal corporation, ("CITY")
and Yuma Private Industry Council (YPIC), an Arizona nonprofit corporation,
("SUBRECIPIENT").
RECITALS
The CITY is a recipient of Community Development Block Grant (CDBG) funds for the program
years of July 1, 2026 through June 30, 2027 from the United States Department of Housing and
Urban Development ("HUD").
The SUBRECIPIENT is a nonprofit corporation qualified for CDBG funds and capable of providing
services that will meet one or more of the National Objectives, 1) benefit to low or moderate
income persons, 2) aid in the prevention or elimination of slums or blight, 3) meeting community
development needs having a particular urgency.
The CITY wishes to engage the SUBRECIPIENT to assist in providing grant eligible services.
THEREFORE, in consideration of the above recitals, the parties agree as follows:
AGREEMENT
1.0 AGREEMENT DOCUMENTS
This AGREEMENT consists of this document and all attachments, exhibits, addenda, or other
documents referenced. It may also include future amendments.
2.0 WORK SCOPE
In accordance with the provisions of 24 CFR Part 570 and the terms of this AGREEMENT, the
SUBRECIPIENT agrees to complete the Project described in Exhibit A: Statement of Work
("Project").
3.0 USE OF FACILITY
3.1 Subrecipient is granted the use of the Dr. Martin Luther King Jr. Neighborhood
Center (“MLK Center”) to provide public services to low and moderate income
people that reside in the City of Yuma.
3.2 Subrecipient may sublet office space in the MLK Center to non-profit organizations
that meet one or more of the National Objectives of the CDBG program and that
will provide public services to low and moderate income people that reside in the
City of Yuma.
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3.3 The Subrecipient is encouraged to rent the MLK Center multi-purpose room as
frequently as possible. The Subrecipient shall develop rental guidelines and a fee
schedule appropriate for the space. The fee schedule should cover the cost of the
operations and maintenance for the additional use of the multi-purpose room. The
CITY shall review and approve the rental guidelines and fee schedule.
3.4 Program Income: The SUBRECIPIENT shall report to the CITY quarterly all
program income (as defined at 24 CFR 570.500(a)) generated by rental of office
space and the multipurpose room. The use of program income by the
SUBRECIPIENT shall comply with the requirements set forth at 24 CFR 570.504.
By way of further limitations, the SUBRECIPIENT may use such income during the
AGREEMENT period for activities permitted under this AGREEMENT. All
unexpended program income shall be returned to the CITY at the end of the
AGREEMENT period. Any interest earned on cash advances from the U.S.
Treasury and from funds held in a revolving fund account is not program income
and shall be remitted promptly to the CITY.
3.5 Reversion of Assets: Upon termination of this AGREEMENT, the SUBRECIPIENT
must transfer all CDBG funds on hand and all accounts receivable attributable to
the use of the MLK Center as required under HUD regulations.
4.0 SUBRECIPIENT'S OBLIGATIONS
The SUBRECIPIENT and the PROJECT must meet all applicable requirements of
the HUD CDBG program and this AGREEMENT.
5.0 CITY'S OBLIGATIONS
5.1 The CITY will provide technical assistance to aid the SUBRECIPIENT in complying
with federal provisions governing the use of grant funds.
5.2 The CITY is responsible for intergovernmental reviews defined in Executive Order
12372.
5.3 The CITY will complete environmental reviews required by the federal grant
program guidelines.
6.0 AGREEMENT DURATION
The term of this AGREEMENT begins on July 1, 2026 and ends on June 30, 2027. The term
may be extended by written mutual consent of the City Administrator or designee and the
SUBRECIPIENT. Extensions are governed by the terms of this AGREEMENT.
7.0 UNIFORM ADMINISTRATIVE REQUIREMENTS
Under 24 CFR 570.502(b) and 570.506, the SUBRECIPIENT must maintain and submit to the
CITY upon request for a period of five years, the following records and reports (further described
in Exhibit B: Administrative Requirements):
7.1 Records showing that the SUBRECIPIENT is a qualified SUBRECIPIENT for
CDBG funds under HUD regulations;
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7.2 Records showing that participating citizens served meet the income and other
criteria required by federal law, and that no unlawful discrimination occurs in the
solicitation or selection process of lower income persons;
7.3 Financial records required by federal regulations or directives, e.g. applicable A-
102 and A-110 (2)(h) regarding annual audits;
7.4 Quarterly performance reports, submitted by the tenth working day of each
calendar quarter to the Neighborhood Services Division of the CITY, describing
the activities undertaken, funds expended, and results achieved during the
preceding quarter.
8.0 CONDITIONS
8.1 Conditions for Religious Organizations: In accordance with the First Amendment
of the U.S. Constitution, CDBG funds may not be used for activities described in
24 CFR 570.200 (j).
8.2 Certifications: SUBRECIPIENT must comply with all Certifications as described
and executed in Exhibit C: Certifications and Other Uniform Administrative
Requirements.
8.3 Acknowledgements: SUBRECIPIENT must acknowledge the role of HUD and the
CITY CDBG program in providing services through this AGREEMENT. All
activities, facilities and items utilized pursuant to this AGREEMENT shall be
prominently labeled as to the funding source. In addition, the SUBRECIPIENT will
include a reference to the support provided herein in all publications made possible
with funds made available under this AGREEMENT.
A. No reports, maps or other documents produced in whole or in part
under this AGREEMENT shall be the subject of any application for
copyright by or on behalf of the SUBRECIPIENT or by any employee of the
SUBRECIPIENT. The SUBRECIPIENT shall advise the CITY or its
designee at the time of delivery of any copyrighted or subject to copyright
work furnished under this AGREEMENT, or any adversely held copyrighted
or subject to copyright material incorporated in any such work and of any
invasion of the right of privacy therein contained.
B. The CITY may duplicate, use, and disclose in any manner and for
any purpose whatsoever, within the limits established by federal and state
laws and regulations, all information relating to this AGREEMENT.
9.0 TERMINATION
9.1 Termination: This AGREEMENT may be terminated by the following:
A. Under 24 CFR 85.44, both parties may terminate the AGREEMENT
for convenience. The parties must agree upon the termination conditions
and effective date of termination. The party terminating must notify the
other party in writing with the reasons for termination.
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B. Under 24 CFR 85.43, the CITY may suspend or terminate the
AGREEMENT if the SUBRECIPIENT violates any provision of this
AGREEMENT.
C. This AGREEMENT terminates when the LEASE agreement is
terminated.
9.2 Compliance With Law: The SUBRECIPIENT must comply with all federal, state,
and local laws and ordinances applicable to its performance under this
AGREEMENT (further described in Exhibit C: Certifications and Other Uniform
Administrative Requirements).
Exceptions: SUBRECIPIENT does not assume environmental responsibilities as
described in CFR 570.604, or responsibilities for initiating the intergovernmental
review process of Executive Order 12372 as described at CFR 570.612.
9.3 Attorney Fees and Costs: If either party brings an action or proceeding for failure
to observe any of the terms or provisions of this AGREEMENT, the prevailing party
may recover, as part of the action or proceeding, all litigation, arbitration and
collection expenses, including, but not limited to, witness fees, court costs, and
reasonable attorney fees.
9.4 Arbitration: If the parties mutually agree, claims, disputes or other matters in
question may be submitted for arbitration and decided according to the Arizona
Uniform Rules of Procedure for Arbitration. Request for arbitration must be filed in
writing with the other party to this AGREEMENT.
9.5 Remedies: If either party breaches or defaults on this AGREEMENT, the other
party is entitled to exercise all available legal and equitable rights and remedies.
10.0 INSURANCE/BOND REQUIREMENTS
10.1 Insurance: Prior to the occupying the facility, the SUBRECIPIENT must provide
the CITY with certificates of insurance or bonds as stated in Exhibit D:
Bonds/Insurance.
10.2 Indemnification: The SUBRECIPIENT must defend and indemnify the CITY, its
agents and employees, against all claims, damages, losses, and expenses
resulting from the SUBRECIPIENT's negligent or intentional acts, mistakes, or
omissions in performance of this AGREEMENT.
11.0 GENERAL PROVISIONS
Communication and details concerning this AGREEMENT shall be directed to the following:
CITY: The City of Yuma SUBRECIPIENT: Yuma Private Industry Council
Cynthia Blot, Assistant Director of Adriana McBride, Deputy Administrator
Neighborhood Services
MLK CENTER LEASE – YPIC
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Cynthia Blot@YumaAz.gov Amcbride@ypic.com
Neighborhood Services & Economic Development 3834 W. 16th Street
One City Plaza, Yuma, AZ 85364
Yuma, AZ 85364
(928) 373-5187 (928) 329-0990 ext. 1711 (fax) (928) 782-9905
11.1 Successor and Assigns: This AGREEMENT is not assignable unless both parties
mutually consent otherwise in writing. The requirements of this AGREEMENT are
binding upon the heirs, executors, administrators, successors, and assigns of both
parties.
11.2 Governing Law: The laws of the State of Arizona govern this AGREEMENT as to
validity, interpretation, and performance.
11.3 Waiver: If either party fails to require the other party to perform any provision of
this AGREEMENT, that failure does not prevent the party from later enforcing that
provision. Neither party is released from any responsibilities or obligations imposed
by law or this AGREEMENT if the other party fails to exercise a right or remedy.
All waivers of performance must be in writing, signed by the party waiving.
11.4 Severability: If any terms, parts, or provisions of the AGREEMENT documents
are for any reason invalid or unenforceable, the remaining terms, parts, or
provisions are nevertheless valid and enforceable.
11.5 Integration: The AGREEMENT documents contain the entire AGREEMENT
between the parties, and no oral or written statements, promises, or inducements
made by either party or its agents not contained or specifically referred to in this
AGREEMENT are valid or binding. All modifications to this AGREEMENT must
be in writing, signed and endorsed by the parties.
11.6 No Partnership: Nothing in this AGREEMENT constitutes a partnership or joint
venture between the parties, and neither party is the principal nor agent of the
other.
11.7 Independent Contractor: SUBRECIPIENT is an independent contractor and its
employees are not CITY employees for any purpose, including the payment of any
employer's taxes such as FICA, unemployment, and workers' compensation.
11.8 Venue: The parties must institute and maintain any legal actions or other judicial
proceedings arising from this AGREEMENT in the Superior Court in Yuma
County, Arizona.
11.9 Authority: The CITY and SUBRECIPIENT warrant that each party has full power
and authority to enter into and perform this AGREEMENT in accordance with its
terms, and that the individual executing this AGREEMENT is authorized to do so.
11.10 Further Documents and Acts: The CITY and the SUBRECIPIENT will execute
and deliver all necessary documents and perform all acts reasonably requested
by the other party or by an escrow agent if required to consummate the sale
transaction, construction work, or other activities described in this AGREEMENT.
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11.11 Employment Eligibility. SUBRECIPIENT warrants, and shall require its
subcontractors to warrant, that it is in compliance with all federal immigration
laws and regulations that relate to its employees and with A.R.S. § 23-214
relating to verification of employment eligibility. A breach of this warranty shall be
deemed a material breach of the AGREEMENT and is subject to penalties up to
and including termination of this AGREEMENT. CITY retains the legal right to
inspect the papers of any SUBRECIPIENT or subcontractor employee who works
on this AGREEMENT to ensure that SUBRECIPIENT or its subcontractors are
complying with this warranty.
11.12 Lawful Presence. SUBRECIPIENT shall be required under this Agreement to
comply with the provisions of Arizona Revised Statutes §§ 1-501 Eligibility for
Federal Public Benefits, and 1-502 Eligibility for State or Local Public Benefits
relating to demonstration of lawful presence in the United States.
11.13 Limited English Proficiency (LEP). SUBRECIPIENT must have a Limited English
Proficiency (LEP) Language Assistance Plan (LAP). If SUBRECIPIENT does not
have one, they may follow the CITY’s LEP Plan.
IN WITNESS WHEREOF, the parties hereto executed this AGREEMENT by their properly
authorized representatives as follows:
DATED this ___________________________day of_________________________, 2026.
CITY OF YUMA Yuma Private Industry Council
______________________________ __________________________________
John D. Simonton Nidia Herrera
Acting City Administrator Executive Director
ATTEST:
______________________________ __________________________________
Janet Pierson Date
City Clerk
APPROVED AS TO FORM:
______________________________
Richard W Files
City Attorney
MLK CENTER LEASE – YPIC
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SUBRECIPIENT AGREEMENT
Exhibits
A. Statement of Work
1. Program Description
2. Level of Accomplishment – Goals and Performance Measures
3. Budget
4. Special Conditions/Reporting Requirements
B. Administrative Requirements
C. Certifications and Other Uniform Administrative Requirements
D. Bonds/Insurance
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Exhibit A
Statement of Work
1. PROGRAM/PROJECT/ACTIVITY DESCRIPTION
Yuma Private Industry Council (YPIC) provides quality workforce development and career
resources that enhance economic growth in Yuma. YPIC will lease the Dr. Martin Luther
King, Jr. Neighborhood Center to provide job training and educational opportunities for
low and moderate income (LMI) people in the City of Yuma. With prior approval from the
CITY, YPIC is permitted to sublet office space to non-profit organizations that provide
CDBG-eligible services to low and moderate income people. YPIC may allow non-profits
providing services for LMI during the event at below market rates and must report on the
persons served.
National Objective – Low/Mod Limited Clientele 570.208 (a) (2) (A)
Eligible Activity – Public Services (General) 24 CFR 570.201(e)
2. LEVEL OF ACCOMPLISMENT – GOALS AND PERFORMANCE MEASURES
The level of accomplishment may include such measures as units rehabbed, persons or
households assisted, or counseling sessions provided and should also include time
frames for performance.
SUBRECIPIENT agrees to provide the following levels of program service:
Activity Units per Month Total Units/Year
MLK Neighborhood Center Operation 100 1,200
Units of service will be the number of people provided services at the facility.
3. BUDGET
All program income received from the MLK facility must be used to operate the facility
being used to provide eligible public services to LMI residents. The SUBRECIPIENT
agrees to submit a Project Budget to the CITY, within 30 days of the effective date of the
SUBRECIPIENT AGREEMENT, a Project Budget.
4. SPECIAL CONDITIONS/REPORTING REQUIREMENTS
The SUBRECIPIENT agrees to obtain a completed application for assistance from every
applicant for whom assistance is sought and/or provided. Applications must be available
in English and Spanish. The SUBRECIPIENT shall submit a Quarterly SUBRECIPIENT
Performance Report in an approved report format. In addition, at the completion of this
AGREEMENT, the SUBRECIPIENT shall provide a year-end analysis and report of the
services provided. The number, ethnicity, gender, income eligibility status, disability
status, single head of household of all applicants and/or beneficiaries of the funded Project
activities shall be disclosed and stated. SUBRECIPIENT must require tenants to submit
Performance Reports and this information must be included in the reports submitted to the
CITY.
Attachment A: Subrecipient Agreement
Exhibit A: Statement of Work
Page 1 of 1

Exhibit B
Administrative Regulations
A. FINANCIAL MANAGEMENT
1. Accounting Standards: The SUBRECIPIENT agrees to comply with Attachment F
of OMB Circular A-110 and agrees to adhere to the accounting principles and
procedures required therein, utilize internal controls, and maintain necessary
source documentation for all costs incurred.
2. Cost Principles: The SUBRECIPIENT shall administer its program in conformance
with OMB Circulars A-122, "Cost Principles for Non-Profit Organizations," or A-21,
"Cost Principles for Educational Institutions," as applicable; (and if the
SUBRECIPIENT is governmental or quasi-governmental agency, the applicable
sections of 24 CFR Part 85, "Uniform Administrative Requirements for Grants and
Cooperative AGREEMENTs to State and Local Governments,") for all costs
incurred.
B. DOCUMENTATION AND RECORD KEEPING
1. Records to be Maintained: The SUBRECIPIENT shall maintain all records
required by the federal regulations specified in 24 CFR Part 570.506, and that are
pertinent to the activities to be funded under this AGREEMENT. Types of records
required to be maintained by SUBRECIPIENT shall include but are not be limited
to:
a. Records providing a full description of each activity undertaken;
b. Records demonstrating that each activity undertaken meet one of the
National Objectives of the CDBG program;
c. Records required to determine the eligibility of activities;
d. Records required to document the acquisition, improvement, use or
disposition of real property acquired or improved with CDBG assistance;
e. Records documenting compliance with the fair housing and equal
opportunity components of the CDBG program;
f. Financial records required by 24 CFR Part 570.502, 24 CFR 84.21 – 28,
and OMB Circular A-110; and
g. Other records necessary to document compliance with Subpart K of 24
CFR 570.
2. Retention: The SUBRECIPIENT shall retain all records pertinent to expenditures
incurred under this AGREEMENT for a period of five (5) years after the termination
of all activities funded under this AGREEMENT, or after the resolution of all
Federal audit findings, which ever occurs later. Records for non-expendable
property acquired with funds under this AGREEMENT shall be retained for five (5)
Attachment A: Subrecipient Agreement
Exhibit B: Administrative Regulations
Page 1 of 4

years after final disposition of such property. Records for any displaced person
must be kept for five (5) years after he/she has received final payment.
3. Client Data: The SUBRECIPIENT and tenants shall maintain client data
demonstrating client eligibility for services provided. Such data shall include, but
not be limited to, client name, address, income level or other basis for determining
eligibility, and description of service provided. Such information shall be made
available to CITY monitors or their designees for review upon request.
4. Disclosure: The SUBRECIPIENT and tenants understand that client information
collected under this AGREEMENT is private and the use or disclosure of such
information, when not directly connected with the administration of the CITY’S or
SUBRECIPIENT'S responsibilities with respect to services provided under this
AGREEMENT, is prohibited unless written consent is obtained from such person
receiving service and, in the case of a minor, that of a responsible parent/guardian.
5. Property Records: The SUBRECIPIENT shall maintain real property inventory
records that clearly identify properties purchased, improved or sold. Properties
retained shall continue to meet eligibility criteria and shall conform to the "changes
in use" restrictions specified in 24 CFR Parts 570.503(b)(8).
6. National Objectives: The SUBRECIPIENT agrees to maintain documentation that
demonstrates that the activities carried out through the use of the MLK Center
provided under this AGREEMENT meet one or more of the CDBG program's
national objectives - 1) benefit low/moderate income persons, 2) aid in the
prevention or elimination of slums or blight, 3) meet community development
needs having particular urgency - as defined in 24 CFR part 570.208.
7. Close-Outs: SUBRECIPIENT obligation to the CITY shall not end until all close-out
requirements are completed. Activities during this close-out period shall include,
but are not limited to; making final payments, disposing of program assets
(including the return of all unused materials, equipment, unspent cash advances,
program income balances, and receivable accounts to the CITY,) and determining
the custodianship of records. Notwithstanding the foregoing, the terms of this
AGREEMENT shall remain in effect during any period that the SUBRECIPIENT
has control over CDBG funds, including program income.
8. Audits & Inspections: All SUBRECIPIENT records with respect to any matters
covered by this AGREEMENT shall be made available to the CITY, grantor
agency, their designees or the Federal Government, at any time during normal
business hours, as often as the CITY or grantor agency (Department of Housing
and Urban Development) deems necessary, to audit, examine, and make excerpts
or transcripts of all relevant data. Any deficiencies noted in audit reports must be
fully cleared by the SUBRECIPIENT within 30 days after receipt by the
SUBRECIPIENT. Failure of the SUBRECIPIENT to comply with the above audit
requirements will constitute a violation of this AGREEMENT and may result in the
withholding of future payments. The SUBRECIPIENT hereby agrees to have an
annual agency audit conducted in accordance with current CITY policy concerning
SUBRECIPIENT audits and OMB Circular A-133.
Attachment A: Subrecipient Agreement
Exhibit B: Administrative Regulations
Page 2 of 4

C. REPORTING AND PAYMENT PROCEDURES
1.. Program Income: The SUBRECIPIENT shall report (quarterly) all program income
as defined at 24 CFR 570.500(a) generated by activities carried out with CDBG
funds made available under this AGREEMENT. The use of program income by the
SUBRECIPIENT shall comply with the requirements set forth at 24 CFR 570.504.
By way of further limitations, the SUBRECIPIENT may use such income during the
AGREEMENT period for activities permitted under this AGREEMENT. All unused
program income shall be returned to the CITY at the end of the AGREEMENT
period. Any interest earned on cash advances from the U.S. Treasury and from
funds held in a revolving fund account is not program income and shall be remitted
promptly to the CITY.
2. Progress Reports: The SUBRECIPIENT shall submit regular Progress Reports to
the CITY in the form, content, and frequency as required by the CITY.
D. PROCUREMENT
1. Compliance: The SUBRECIPIENT shall comply with current CITY policy
concerning the purchase of equipment and shall maintain an inventory record of
all non-expendable personal property as defined by such policy as may be
procured with funds provided herein. All program assets (unexpended program
income, property, equipment, etc.) shall revert to the CITY upon termination of this
AGREEMENT.
2. OMB Standards: Unless specified otherwise within this AGREEMENT, the
SUBRECIPIENT shall procure all materials, property, or services in accordance
with the requirements of 24 CFR 84.40-48.
3. Use and Reversion of Assets: The use and disposition of real property and
equipment under this AGREEMENT shall be in compliance with the requirements
of 24CFR Part 8f and 24CFR 570.502, 570.503, and 570.504, as applicable,
which include but are not limited to the following:
a. The SUBRECIPIENT shall transfer to the CITY any CDBG funds on hand and
any accounts receivable attributable to the use of funds under this
AGREEMENT at the time of expiration, cancellation, or termination.
b. Real property under the SUBRECIPIENT’S control that was acquired or
improved, in whole or in part, with funds under this AGREEMENT in excess
of $25,000 shall be used to meet one of the CDBG National Objectives
pursuant to 24 CFR 57.208 until five (5) years after expiration of this
AGREEMENT (or such longer period of time as the CITY deems
appropriate). If the SUBRECIPIENT fails to use CDBG-assisted real property
in a timely manner that meets a CDBG National Objective for the prescribed
period of time, the SUBRECIPIENT shall pay the CITY an amount equal to
the current fair market value of the property less any portion of the value
attributable to expenditures of non-CDBG funds for acquisition of, or
Attachment A: Subrecipient Agreement
Exhibit B: Administrative Regulations
Page 3 of 4

improvement to, the property. Such payment shall constitute program income
to the CITY. The SUBRECIPIENT may retain real property acquired or
improved under this AGREEMENT after the expiration of the five-year period
(or such longer period of time as the CITY deems appropriate).
c. In all cases in which equipment acquired, in whole or in part, with funds under
this AGREEMENT is sold, the proceeds shall be program income (prorated to
reflect the extent to that funds received under this AGREEMENT were used
to acquire the equipment). Equipment not needed by the SUBRECIPIENT for
activities under this AGREEMENT shall be (a) transferred to the CITY for the
CDBG program or (b) retained after compensating the CITY (an amount
equal to the current fair market value of the equipment less the percentage of
non-CDBG funds used to acquire the equipment).
Attachment A: Subrecipient Agreement
Exhibit B: Administrative Regulations
Page 4 of 4

Exhibit C
Certifications and Other Uniform Administrative Requirements
A. UNIFORM ADMINISTRATIVE REQUIREMENTS
By virtue of signing the AGREEMENT the SUBRECIPIENT agrees to comply with all
applicable uniform administrative requirements as discussed in this AGREEMENT, CDBG
Program Handbooks, and OMB Circulars A-110, A-122, A-133, and the Single Audit Act
of 1984, as applicable.
B. EQUAL OPPORTUNITY
The SUBRECIPIENT agrees to comply with:
1. Title VI of the Civil Rights Act of 1964 (Pub. L. 88- 352), and the regulations issued
pursuant thereto (24 CFR Part 1).
2. Title VIII of the Civil Rights Act of 1968 (Pub. L. 90- 284), as amended.
3. Section 109 of the Housing and Community Development Act of 1974.
4. Executive Order 11063 on equal opportunity in housing and nondiscrimination in
the sale or rental of housing built with Federal assistance.
5. Executive Order 11246, and the regulations issued pursuant thereto (24 CFR Part
130 and 41 CFR Chapter 60 as amended by Executive Orders 11375, 11478,
12107 and 12086)
6. Section 3 of the Housing and Urban Development Act of 1968, as amended.
7. Federal Fair Housing Act of 1988, P.L. 100-430.
8. The prohibitions against discrimination on the basis of age under the Age
Discrimination Act of 1973, 42. U.S.C. 6101-07, and the prohibitions against
discrimination against persons with handicaps under Section 504 of the
Rehabilitation Act of 1973, (P.L. 93112), as amended, and the regulations at 24
CFR Part 8.
9. The American Disabilities Act and Section 504 of the Rehabilitation Act, as
amended.
10. The requirements of the Architectural Barriers Act of 1966 at 42 U.S.C. 4151-415.
11. The non-discrimination in employment and contracting opportunities laws,
regulations, and Executive Order 13279. The applicable non-discrimination
provisions in Section 109 of the HCDA are still applicable.
C. INTEREST OF OFFICIALS AND CONFLICT OF INTEREST
The SUBRECIPIENT agrees to abide by the provisions of Arizona Revised Statutes 38-
511 et seq. and of 24CFR 84.42 and 570.611, which include (but are not limited to) the
following:
No member of or delegate to the Congress of the United States shall be admitted to any
share or part of this AGREEMENT or to any benefit to arise from the same. No member,
officer, or employee of the SUBRECIPIENT or its designees or agents, no member of the
governing body of the locality in which the program is situated during his tenure or for one
(1) year thereafter, shall have any interest, direct or indirect, in any contract or subcontract,
or the proceeds thereof, for work to be performed in connection with the program assisted
Attachment A: Subrecipient Agreement
Exhibit C: Certifications and Other Uniform Administrative Requirements
Page 1 of 5

under this AGREEMENT. The SUBRECIPIENT will comply with applicable conflict of
interest provisions, incorporate such in all contracts and establish safeguards to prohibit
employees from using positions for a purpose that is or gives the appearance of being
motivated by a desire for private gain for themselves or others, particularly those with
whom they have family business, or other ties.
D. HATCH ACT
The SUBRECIPIENT agrees that no funds provided, nor personnel employed under this
AGREEMENT, shall be in any way or to any extent engaged in the conduct of political
activities in violation of Chapter 15 of Title V of the U.S.C.
E. SECTION 3 CLAUSE
Compliance with the provisions of Section 3 of the HUD Act of 1968, as amended, and as
implemented by the regulations set forth in 24 CFR 135, and all applicable rules and orders
issued hereunder prior to the execution of this AGREEMENT, shall be a condition of the
Federal financial assistance provided under this AGREEMENT and binding upon the
CITY, the SUBRECIPIENT and any of the SUBRECIPIENT’s Subrecipients and
subcontractors. Failure to fulfill these requirements shall subject the CITY, the
SUBRECIPIENT and any of the SUBRECIPIENT’s Subrecipients and subcontractors,
their successors and assigns, to those sanctions specified by the AGREEMENT through
which Federal assistance is provided. The SUBRECIPIENT certifies and agrees that no
contractual or other disability exists that would prevent compliance with these
requirements.
The SUBRECIPIENT further agrees to comply with these “Section 3” requirements and to
include the following language in all subcontracts executed under this AGREEMENT:
“The work to be performed under this AGREEMENT is a project assisted under
a program providing direct Federal financial assistance from HUD and is subject
to the requirements of Section 3 of the Housing and Urban Development Act of
1968, as amended (12 U.S.C. 1701). Section 3 requires that to the greatest
extent feasible opportunities for training and employment be given to low- and
very low-income residents of the project area, and that contracts for work in
connection with the project be awarded to business concerns that provide
economic opportunities for low- and very low-income persons residing in the
metropolitan area in which the project is located.”
F. CONDUCT
1. Assignability: The SUBRECIPIENT shall not assign or transfer any interest in this
AGREEMENT without the prior written consent of the CITY thereto; provided,
however, that claims for money due or to become due to the SUBRECIPIENT from
the CITY under this AGREEMENT may be assigned to a bank, trust company, or
other financial institution without such approval. Notice of any such assignment or
transfer shall be furnished promptly to the CITY.
Attachment A: Subrecipient Agreement
Exhibit C: Certifications and Other Uniform Administrative Requirements
Page 2 of 5

2. Subcontracts:
a. Approvals: The SUBRECIPIENT shall not enter into any subcontracts with any
agency or individual in the performance of this AGREEMENT without the written
consent of the CITY prior to the execution of such agreement.
b. Monitoring: The SUBRECIPIENT will monitor all subcontracted services on a
regular basis to assure contact compliance. Results of monitoring efforts shall be
summarized in written reports and supported with documented evidence of follow-
up actions taken to correct areas of noncompliance.
c. Content: The SUBRECIPIENT shall cause all of the provisions of this
AGREEMENT in its entirety to be included in and made a part of any subcontract
executed in the performance of this AGREEMENT.
d. Selection Process: The SUBRECIPIENT shall undertake to insure that all
subcontracts in the performance of this AGREEMENT shall be awarded on a fair
and open competition basis in accordance with applicable procurement
requirements. Executed copies of all subcontracts shall be forwarded to the CITY
along with documentation concerning the selection process.
G. LABOR STANDARDS PROVISIONS
The SUBRECIPIENT agrees to administer and enforce the labor standards requirements
of the Davis Bacon Act, as amended at 40 U.S.C. 276a-276a-5, and the Contract Work
Hours and Safety Standards Act at 40 U.S.C. 327-333.
H. COMPLIANCE WITH ENVIRONMENTAL REQUIREMENTS
Notwithstanding any provision of this award, the parties hereto agree and acknowledge
that this award does not constitute a commitment of funds or site approval, and that such
commitment of funds or approval may occur only upon satisfactory completion of
environmental review and receipt by the CITY of a release of funds from HUD under 24
CFR Part 58, as applicable. The parties further agree that the provision of any funds to
the project is conditioned on the CITY’s determination to proceed with, modify or cancel
the project based on the results of a subsequent environmental review.
The SUBRECIPIENT agrees to comply with any conditions resulting from the CITY's
compliance with the provisions of the National Environmental Policy Act of 1969 and the
other provisions of law specified at 24 CFR 58 insofar as the provisions of such Act apply
to activities set forth in Section A. Statement of Work.
The SUBRECIPIENT agrees to comply with the provisions of Executive Order 11990,
relating to evaluation of flood hazards and Executive Order 11288 relating to the
prevention, control and abatement of water pollution and the requirements of the Flood
Disaster Protection Act of 1973 (P.L. 93234).
This AGREEMENT is also subject to the requirements of the Clean Air Act, as amended,
42 U.S.C. 1857 et seq.; the Federal Water Pollution Control Act, as amended, 33 U.S.C.
Attachment A: Subrecipient Agreement
Exhibit C: Certifications and Other Uniform Administrative Requirements
Page 3 of 5

1251 et seq.; P.L. 89-665, the Archaeological and Historic Preservation Act of 1974 (P.L.
93-291), Executive Order 11593, and the procedures prescribed by the Advisory Council
on Historic Preservation in 36 CFR Part 800, and the regulations of the Environmental
Protection Agency (EPA) with respect thereto, at 40 CFR Part 15, as amended from time
to time.
J. PROPERTY DISPOSITION
Real or personal property purchased in whole or in part with CDBG funds shall not be
disposed through sale, use, or location without the written permission of the CITY. The
proceeds from the disposition of real property shall be considered Program Income.
K. LOBBYING
The SUBRECIPIENT will ensure that, to the best of its knowledge and belief of the
undersigned:
1. No Federal appropriated funds have been paid or will be paid, by or on behalf of
the SUBRECIPIENT, to any person for influencing or attempting to influence an
officer or employee of any agency, a Member of Congress, an officer or employee
of Congress, or an employee of a Member of Congress in connection with the
awarding of any Federal contract, the making of any Federal grants, the making of
any Federal loan, the entering into of any cooperative AGREEMENT, and the
extension, continuation, renewal or amendment of any Federal contract.
2. If any funds other than Federal appropriated funds have been paid or will be paid
to any person for influencing or attempting to influence an officer or employee of
any agency, a Member of Congress, an officer or employee of a Federal contract,
grant, loan, or cooperative AGREEMENT, the SUBRECIPIENT shall complete and
submit Standard Form LLL, "Disclosure Form to Report Lobbying," in accordance
with its instructions.
3. The SUBRECIPIENT shall require that the language of this certification be
included in the award documents for all sub-awards at all tiers (including
subcontracts, sub-grants, and contracts under grants, loans, and cooperative
agreements) and all shall certify and disclose accordingly.
"This certification is a material representation of fact upon which reliance
was placed when this transaction was made or entered into. Submission of
this certification is a prerequisite for making or entering into this transaction
imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file
the required certification shall be subject to a civil penalty of not less than
$10,000.00 and not more than $100,000.00 for each such failure."
L. COPYRIGHT
If this AGREEMENT results in any copyrightable material or inventions, the CITY and/or
grantor agency reserves the right to royalty-free, non-exclusive and irrevocable license to
reproduce, publish or otherwise use and to authorize others to use, the work or materials
for governmental purposes.
Attachment A: Subrecipient Agreement
Exhibit C: Certifications and Other Uniform Administrative Requirements
Page 4 of 5

M. RELIGIOUS ACTIVITIES
The SUBRECIPIENT agrees that funds provided under this AGREEMENT will not be
utilized for inherently religious activities prohibited by 24 CR 570.200(j), such as worship,
religious instruction, or proselytization.
O. RECORDS TO BE MAINTAINED
Each SUBRECIPIENT shall establish and maintain sufficient records to enable the CITY
and HUD to determine whether the SUBRECIPIENT has met the requirements of this
AGREEMENT. At a minimum, the following records are needed, and should be maintained
for three years after the date of close-out of this AGREEMENT by CITY. It is the
responsibility of the CITY to notify the SUBRECIPIENT as to the date of the AGREEMENT
close-out.
All files shall be clearly labeled with the following information: CDBG AGREEMENT
number, Name of CITY, Activity number and shall contain the following information and
documents:
1. AGREEMENT with the CITY and any amendments.
2. General correspondence regarding the AGREEMENT.
3. Financial management records and audits.
4. Documentation of compliance with Section 504.
5. The Civil Rights Certification and documentation on the ethnicity, gender, disability
status, single-head of household of all applicants for and recipients of benefits and/or
services.
6. Procurement and contracting documents for each professional service procured or
for each major item of equipment or materials purchased, with smaller items
aggregated.
7. Bids and construction contracts.
8. Labor Standards records and documents for each prime contractor.
9. Policies and procedures for technical assistance and a record of each
applicant/entity assisted.
Attachment A: Subrecipient Agreement
Exhibit C: Certifications and Other Uniform Administrative Requirements
Page 5 of 5

Exhibit D
Bonds and Insurance
A. BONDS
The SUBRECIPIENT shall purchase a blanket fidelity bond covering all employees in an
amount equal to cash advances from the CITY.
B. INSURANCE
1. Without limiting any of their obligations or liabilities and at their own expense, the
SUBRECIPIENT must purchase and maintain the stipulated minimum insurance with
companies duly licensed to do business in the state of Arizona. All policies and
forms must be satisfactory to the CITY. Use of alternative insurers requires CITY's
prior approval.
2. The insurance policies, except Worker's Compensation, required by this
AGREEMENT, must name the CITY, its agents and employees, as Additional
Insured, and must specify that insurance afforded the SUBRECIPIENT is primary
insurance. Any insurance coverage carried by the CITY or its employees is excess
coverage, and not contributory coverage to that provided by the SUBRECIPIENT.
The Commercial General Liability additional insured endorsement will be at least as
broad as the Insurance Service Office, Inc.'s, Additional Insured, Form B, CCG
20101185, or any of its replacements.
3. The SUBRECIPIENT must maintain all insurance in full force and effect until the
Project is satisfactorily completed and formally accepted. Failure to maintain the
required insurance may, at the sole discretion of the CITY, constitute a material
breach. Prior to the receipt of any funds, the SUBRECIPIENT must provide the CITY
with certificates of insurance with endorsements, or bonds.
4. The policies may provide coverage that contains deductible or self-insured
retentions. Such deductible or self-insured retentions are not applicable with respect
to the coverage provided to the CITY under such policies. The SUBRECIPIENT is
solely responsible for deductible or self-insured retention, and the CITY may require
the SUBRECIPIENT to secure the payment of such deductible or self-insured
retentions by a surety bond or an irrevocable and unconditional letter of credit.
5. The SUBRECIPIENT must carry Commercial General Liability insurance with an
unimpaired limit of not less than $1,000,000 for each occurrence with a
$2,000,000.00 General Aggregate Limit. The policy must include coverage for bodily
injury, products/completed operations and blanket contractual covering, but not
limited to, the liability assumed under the indemnification provisions of this
AGREEMENT. The CITY prefers an occurrence type policy, however, in the event
the General Liability insurance policy is written on a claims made basis, coverage
must extend for two years past completion and acceptance of the Project as
evidenced by annual Certificates of Insurance.
MLK CENTER LEASE WITH YPIC
PAGE 6 OF 26

6. The SUBRECIPIENT must carry Worker’s Compensation Insurance to cover
obligations imposed by federal and state statutes having jurisdiction of employees
engaged in the performance of the work or services. The SUBRECIPIENT must
require any subcontractors of the SUBRECIPIENT to provide Worker’s
Compensation with at least as much coverage as that provided by SUBRECIPIENT.
MLK CENTER LEASE WITH YPIC
PAGE 7 OF 26