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EXHIBIT 1 <br />origin or ancestry, and to seek out qualified local tradespeople for contracting and subcontracting bids. <br />Contractors and subcontractors must comply with regulations issued under this Act and pertaining to labor <br />standards and HUD Handbook 1344.1. These provisions apply whether HOME funds are used for construction <br />or non -construction costs. <br />The City of Santa Ana has established a Community Workforce Agreement (CWA) with the goal of ensuring that <br />the community is a part of the workforce on public works construction projects. The CWA applies to city -funded <br />affordable housing projects, and imposes requirements on the project that will be enforced in any final agreement <br />with the City. The Developer will be solely responsible for compliance with the CWA and ensuring any <br />contractors comply with the CWA. Among other things, the CWA requires that all contractors working on CWA <br />covered projects participate in a process for using local and skilled workers from the union hiring halls of the <br />various construction trades. It is the contractor's responsibility to ensure that the project's craft hours are <br />performed at least 30% by workers from Tier 1 and 2 ZIP codes and/or veterans and Building Trades Multi -Trade <br />Craft Core Curriculum Pre -Apprenticeship Program graduates, regardless of where the live. Tier 1 ZIP codes <br />are those comprising the City of Santa Ana and Tier 2 ZIP codes are those comprising Orange County. <br />The local hire attainment will be calculated by dividing the hours reported as performed by local workers on <br />Certified Payroll Reports by the total number of hours reported on Certified Payroll Reports. It is the prime <br />contractor's responsibility to determine how to attain that goal. Although each subcontractor is not required to <br />meet the goals, the project overall must meet it. <br />Lead -based Paint: Housing assisted with HOME funds constitutes HUD -associated housing for the purpose of <br />the Lead -Based Paint Poisoning Prevention Act and the Lead Safe Housing Rule, and is therefore subject to 24 <br />CFR Part 35. Unless otherwise provided, borrowers are responsible for testing and abatement. <br />For more information, please see 24 CFR Part 92. <br />IV. DEVELOPER REQUIREMENTS AND RESPONSIBILITIES <br />L INSURANCE <br />Prior to undertaking performance of work under this Agreement, Developer shall maintain and shall <br />require its subcontractors, if any, to obtain and maintain insurance as described below: <br />1) Commercial General Liability Insurance. Developer shall maintain commercial general liability <br />insurance, which shall include, but not be limited to protection against claims arising from bodily and <br />personal injury, including death resulting there from and damage to property, resulting from any act <br />or occurrence arising out of Developer's operations in the performance of this Agreement, including, <br />without limitation, acts involving vehicles. The amounts of insurance shall be not less than the <br />following: single limit coverage applying to bodily and personal injury, including death resulting there <br />from, and property damage, in the total amount of $2,000,000 per occurrence, $2,000,000 in the <br />aggregate. <br />2) Business automobile liability insurance, or equivalent form, with a combined single limit of not less <br />than $2,000,000 per occurrence. Such insurance shall include coverage for owned, hired and non - <br />owned automobiles. <br />3) Worker's Compensation Insurance. In accordance with the provisions of Section 3300 of the Labor <br />Code, Developer is required to be insured against liability for worker's compensation or to undertake <br />self-insurance. Prior to commencing the performance of the work under this Agreement, Developer <br />agrees to obtain and maintain any employer's liability insurance with limits not less than $1,000,000 <br />per accident. <br />City of Santa Ana Community Development Agency <br />Request for Proposals for Affordable Homeownership Opportunities <br />Page 19 <br />