STATE OF CALIFORNIA EMPLOYMENT DEVELOPMENT DEPT. (2)

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and Accident Insurance will be carried for those participants not qualifying as "employee" (§ 3350, at seq. of the California Labor Code) for workers' compensation. The Pass -through Entity will be named as "Certificate Holder" of policies secured in compliance with paragraphs (i), (ii), (iii) and (iv) above and will be provided certificates of insurance or insurance company "binders" prior to any disbursement of funds under this subgrant agreement, verifying the insurance requirements have been complied with. The coverage noted in paragraphs (iii) and (iv) above must contain the following clauses: 1. Insurance coverage will not be canceled or changed unless 30 days prior to the effective date of cancellation or change written notice is sent by the Subrecipient to: Employment Development Department, Central Office Workforce Services Division Financial Management Unit, P.O. Box 826880, MIC 69, Sacramento, CA 94280-0001. 2. State of California, its officers, agents, employees, and servants are included as additional insured, but only insofar as the operations under this subgrant agreement are concerned. 3. State of California is not responsible for payment of premiums or assessments on this policy. vi. Subrecipient agrees that the liability insurance herein provided for shall be in effect at all times during the term of this subgrant agreement. In the event said insurance coverage expires at any time or times during the time of this contract, the Subrecipient agrees to provide, at least 30 days before said expiration date, a new certificate of insurance evidencing insurance coverage as provided for herein for not less than the remainder of the term of the subgrant agreement or for a period of not less than one year. New certificates of insurance are subject to the approval of the Pass -through Entity, and the Subrecipient agrees that no work or services shall be performed prior to such approval. The Pass -through Entity may, in addition to any other remedies it may have, terminate this subgrant agreement should Subrecipient fail to comply with these provisions. 6. Resolution A county, city, district or other local public body must provide the state with a copy of a resolution, order, motion, or ordinance of the local governing body which by law has authority to enter into an agreement, authorizing execution of this subgrant agreement. Preferably resolutions should authorize a designated position rather than a named individual. 7. Procurement Standards The Subrecipient must use the methods of procurement in accordance with 2 C.F.R. § 200.320. 8. Grievances and Complaint System Subrecipient will establish and maintain a grievance and complaint procedure in compliance with the WIOA section 181, OMB Guidance, Uniform Requirements, federal regulations and state statutes, regulations and policy. 9. Remedies for Non -Compliance If the Subrecipient fails to comply with Federal statutes, regulations or the terms and conditions of a Federal award, the Pass -through Entity may impose additional conditions, as described in 2 C.F.R. § 200.207, Specific conditions. If the Pass -through Entity determines that noncompliance cannot be remedied by imposing additional conditions, the Pass -through Entity may take one or more of the following actions listed in 2 C.F.R. § 200.338. Page 6 of 17