Bell Gardens City Council
January 27, 2025

EXHIBIT F
24'
o For construction under an award, submit SF -424D, Standard Assurances (Construction), submitted via the forms generated by ND Grants, in addition to or instead of SF -424B
• SF-LLL, Disclosure of Lobbying Activities, submitted via the forms generated by ND Grants
• Indirect Cost Agreement or Proposal, submitted as an attachment in ND Grants if the budget includes indirect costs and the applicant is required to have an indirect cost rate agreement or proposal. If the applicant does not have or is not required to have an indirect cost rate agreement or proposal, please see Section D.13 of this NOFO, "Funding Restrictions and Allowable Costs," for further information regarding allowability of indirect costs and whether alternatives to an indirect cost rate agreement or proposal might be available, or contact the relevant FEMA staff identified in Section G of this NOFO, "DHS Awarding Agency Contact Information" for further instructions.

Generally, applicants have to submit either the non -construction forms (i.e., SF -424A and SF -424B) or construction fauns (i.e., SF -424C and SF -424D), meaning that applicants that only have construction work and do not have any non -construction work need only submit the construction foinis (i.e., SF -424C and SF -424D) and not the non -construction forms (i.e., SF -424A and SF -424B), and vice versa. However, applicants who have both construction and non -construction work under this program need to submit both the construction and non - construction forms.
b. Program -Specific Required Forms and Information
I. IJ DEVELOPMENT: SHSP AND UASI
As part of the FY 2023 HSGP application process for SHSP and UASI funds, applicants must develop formal IJs that address the proposed investments. Failure to fulfill all of the terms contained in this section will be considered by DHS/FEMA in its evaluation of the effectiveness of the IJs submitted to meet the minimum percent spend requirement for the National Priority Areas. Failure to sufficiently align projects to the National Priority Areas and meet the minimum percent spend requirement will result in funds being placed on hold until those issues are addressed.

FY 2023 SHSP and UASI applications must include one (1) IJ and at least one (1) respective project for each of the five National Priority Areas with a minimum spend requirement (Soft Targets/Crowded Places, Intelligence and Information Sharing, Countering Domestic Violent Extremism, Election Security, and Community Preparedness and Resilience) identified in this NOFO. Each of these IJs must also meet or exceed the minimum percent spend requirement based on the applicant's SHSP and UASI allocation stated in this NOFO. All projects associated with the minimum spend of a National Priority Area must be submitted in the same IJ. SAAs may submit complete project - level information at the time of application but are not required to do so at the time of application. However, any SHSP or UASI application that does not include an IJ for each National Priority Area that meets the minimum spend requirement will have that funding placed on hold (up to the National Priority Area minimum percent and up to 30% of the total SHSP or UASI allocations) until those IJs and project -level details that sufficiently address the National Priority Areas are received and approved by DHS/FEMA.

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Each IJ must demonstrate how proposed investments:
• Support terrorism preparedness; and
• Support building capability and/or closing capability gaps or sustaining capabilities identified in the community's THIRA/SPR process.

Each IJ must explain how the proposed investments will support the applicant's efforts to:
• Prevent a threatened or an actual act of terrorism;
• Prepare for all hazards and threats, while explaining the nexus to terrorism preparedness;
• Protect citizens, residents, visitors, and assets against the greatest threats and hazards, relating to acts of terrorism; and/or
• Respond quickly and equitably to save lives, protect property and the environment, and meet basic human needs in the aftermath of an act of terrorism or other catastrophic incidents.

If not included in the application, SHSP and UASI recipients must submit complete project -level information for each SHSP and UASI IJ as part of the Biannual Strategy Implementation Report (BSIR) due by January 30, 2024. This includes IJs for the National Priority Areas.

DHS/FEMA will evaluate the effectiveness of the projects submitted in support of the National Priority Areas, either at the time of application or as part of the December 2023 BSIR due January 30, 2024. DHS/FEMA will not reduce FY 2023 HSGP awards based on the effectiveness review but will work with recipients to ensure compliance with the National. Priority Area requirements based on the results of the effectiveness review.

Recipients and subrecipients will not be peuuitted to expend funding under the National Priority Areas until the effectiveness of the proposed projects has been reviewed and confirmed by FEMA.

H. DEVELOPMENT OF INVESTMENTS AND PROJECTS: SHSP AND UASI • Applicants must propose at least 5 and may include up to 12 investments. • Within each investment, applicants must propose at least one project to describe the activities they plan to implement with SHSP and UASI funds. There is no limit to the number of projects that may be submitted.
• Required National Priority Area IJs must include the name of the priority in the investment name for easy identification.
• All requested funding must be associated with specific projects. For each project, several pieces of information must be provided to submit the project for consideration in the application, including:
o Project name;
o Project description;
o Subrecipient name, if applicable;
o Recipient type (e.g., state or local);
o Project location (zip code of the primary location of the project); FY 2023 HSGP NOFO
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26 o Primary core capability the project supports;
o Whether the project activities are shareable and deployable; and o Which National Priority Area (if any) the project supports. • Projects should describe how the proposed investment supports building capability and/or closing capability gaps or sustaining capabilities identified in the THIRA/SPR process. • FEMA encourages states to use any DHS provided assessments, such as those performed by DHS's Protective Security Advisors and Cybersecurity Advisors, when developing their IJs.

NATIONAL PRIORITY AREA INVESTMENTS: SHSP AND UASI.

States are encouraged to review the Strategic Framework for Countering Terrorism and Targeted Violence when developing investments.
• Soft Targets/Crowded Places (3%)
Soft targets and crowded places are increasingly appealing to terrorists and other violent extremist actors because of their relative accessibility and the large number of potential targets. This challenge is complicated by the prevalent use of simple tactics and less sophisticated attacks. Segments of our society are inherently open to the general public, and by nature of their purpose do not incorporate strict security measures. Given the increased emphasis by terrorists and other violent extremist actors to leverage less sophisticated methods to inflict harm in public areas, it is vital that the public and private sectors collaborate to enhance security of locations such as transportation centers, parks, restaurants, shopping centers, special event venues, polling places, and similar facilities.

The malicious use of unmanned aircraft systems poses a threat to the safety and security of the American people, communities, and institutions. Technologies to detect or mitigate unmanned aircraft systems are an allowable use under the HSGP in accordance with the Domestic Counter -Unmanned Aircraft Systems (UAS) National. Action Plan. Recipients should ensure that, prior to the testing, acquisition, installation, or use of UAS detection and/or mitigation systems, they seek the advice of counsel experienced with both federal and state criminal, surveillance, and communications laws which may apply to the use of such technologies.

Given the increased risk to soft targets and crowded places, at least one investment must be in support of the state's and high -risk urban area's efforts to protect soft targets/crowded places. Additionally, the proposed investment must meet or exceed the FY 2023 national priority percentage for soft targets/crowded places and will also be subject to DHS/FEMA's evaluation of the effectiveness of the proposed investments.

States are also encouraged to engage DHS' Protective Security Advisors' security assessments of soft targets to ensure that recommendations from those assessments are taken into consideration when allocating grant funding.

Additional resources and information regarding securing soft targets and crowded places are available through the Cybersecurity and Infrastructure Security Agency and the National Institute of Standards and Technology.

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• Information and Intelligence Sharing (3%)
Effective homeland security operations rely on access to, analysis of, and the timely sharing of open source, unclassified, and classified information, suspicious activity reports, tips/leads, and actionable intelligence on indicators and behaviors to accurately identify, assess, and mitigate a wide array of threats against the United States, including terrorism, threats to life, targeted violence, and other threats within the DHS mission space. Accordingly, DHS works diligently to enhance intelligence collection, integration, analysis, and information sharing capabilities to ensure partners, stakeholders, and senior leaders receive actionable intelligence and information necessary to infoiiu their decisions and operations. A critical and statutorily charged mission of DHS is to deliver intelligence and information to federal, state, local, tribal, and territorial governments and private sector partners. Cooperation and information sharing among state, local, tribal, territorial, and federal partners across all areas of the homeland security enterprise, including counterterrorism, while upholding privacy, civil rights, and civil liberties protections, is critical to homeland security operations and the prevention of, preparation for, protection against, and response to acts of terrorism, and other threats to life and criminal acts of targeted violence. Counterterrorism includes both international and domestic terrorism, cybersecurity, border security, transnational organized crime, immigration enforcement, economic security, and other areas.

Given the importance of information sharing and collaboration to effective homeland security solutions, at least one investment must be in support of the state's and high -risk urban area's efforts to enhance information sharing and cooperation with DHS and other federal agencies. As noted above, this requirement must include at least one dedicated fusion center project. Additional instructions on development of the fusion center project can be found below. Applicants must justify persuasively how they will contribute to the information sharing and collaboration purposes of the investment and a culture of national preparedness. Additionally, the proposed investment must meet or exceed the FY 2023 national priority percentage for information sharing and will also be subject to DHS/FEMA's evaluation of the effectiveness of the proposed investments.

Additional resources and information regarding collaboration and information sharing are available through the Department's Office of Intelligence and Analysis. • Domestic Violent Extremism (3%)
As stated in the Homeland Threat Assessment October 2020, domestic violent extremists, including ideologically motivated lone offenders and small groups, present the most persistent and lethal terrorist threat to the Homeland. These violent extremists capitalize on social and political tensions, which have resulted in an elevated threat environment.

They utilize social media platforms and other technologies to spread violent extremist ideologies that encourage violence and influence action within the United States. The COVID-19 pandemic has further created an environment that may lead to accelerated mobilization to targeted violence and/or radicalization to domestic terrorism, including leveraging lawful protests to incite violence, intimidate targets, and promote their violent extremist ideologies.

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28 Given the rise of domestic violent extremism in recent years, at least one investment must be in support of the state's and high -risk urban area's efforts to combat the rise, influence, and spread of domestic violent extremism. Additionally, the proposed investment must meet or exceed the FY 2023 national priority percentage for domestic violent extremism and will also be subject to DHS/FEMA's evaluation of the effectiveness of the proposed investments.

Additional resources and infoiillation regarding domestic violent extremism are available through Center for Prevention Programs and Partnerships Homeland Security (dhsa ov} • Cybersecurity (no minimum percent)
Today's world is more interconnected than ever before, but with increased connectivity comes increased risk of our adversaries, including terrorists, exploiting cyber vulnerabilities and weaknesses to disrupt our way of life. While not required, applicants are encouraged to submit an investment related to their ongoing or near-teuii high priority cybersecurity projects. The investment will be subject to DHS/FEMA's evaluation of the effectiveness of the proposed investments. Cybersecurity investments must support the security and functioning of critical infrastructure and core capabilities as they relate to preventing, preparing for, protecting against, or responding to acts of terrorism. Recipients and subrecipients of FY 2023 HSGP grant awards will be required to complete the 2023 Nationwide Cybersecurity Review (NCSR), enabling agencies to benchmark and measure progress of improving their cybersecurity posture. The Chief Information Officer (CIO), Chief Information Security Officer (CISO), or equivalent for each recipient should complete the NCSR. If there is no CIO or CISO, the most senior cybersecurity professional should complete the assessment. The NCSR is available at no cost to the user and takes approximately 2-3 hours to complete. The 2023 NCSR is estimated to be open from October 2023 through February 2024.

The NCSR is an annual requirement for recipients and subrecipients of HSGP funds and is taken once for each fiscal year award. Additionally, FEMA recognizes that some subawards will not be issued until after the NCSR has closed. In such cases, such subrecipients will be required to complete the first available NCSR offered after the subaward has been issued by the pass -through entity. Although not required by SLTTs that did not receive HSGP funds, all SLTT agencies with preparedness responsibilities are highly encouraged to participate and complete the NCSR to evaluate their cybersecurity posture. For detailed information and background on the NCSR, please see IB 439.

Additional resources and information regarding cybersecurity and cybersecurity perfoiimiance goals are available through the Cybersecurity and Infrastructure Security Agency, Cross -Sector Cybersecurity Performance Goals CISA, and the National Institute of Standards and Technology.
• Community Preparedness and Resilience (3%)
Community organizations are the backbones of American civic life, both during "blue skies" and in the aftermath of terrorist attacks. Community organizations, such as FY 2023 HSGP NOFO
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29 homeless shelters, food banks, public libraries, faith -based institutions, and nonprofit medical providers must have the capabilities to withstand acts of terrorism and provide essential services, especially to members of underserved communities, in the aftermath of an attack. In addition, individual citizens and volunteer responders, such as Community Emergency Response Teams, are often the first on the scene after a terrorist attack. The ability of these volunteers to provide assistance to their fellow citizens prior to the arrival of professional first responders is paramount to a community's resilience. FEMA's 2022 National Household Survey recorded a 4% decline in the number of Americans that have taken at least three preparedness actions to bolster individual and household resilience. In addition, the COVID-19 pandemic has placed a significant burden on community -based organizations such as homeless shelters, food banks, public libraries, faith -based institutions, and nonprofit medical providers to continue to provide key services during and after disasters, including acts of terrorism. This National Priority Area will bolster community preparedness and resilience by investing in local, community -driven capabilities.

Additionally, equity in emergency management requires proactively prioritizing actions that reinforce cultural competency, accessibility, and inclusion, as well as reflect the historical context of specific groups of people. To that end, states, territories, and high - risk urban areas are strongly encouraged to explore how SHSP- and UASI-funded activities can address the needs of underserved, at -risk communities to help ensure consistent and systematic, fair, just, and impartial treatment of all individuals before, during, and after a disaster.

The focus on equity and investing in strategies that meet the needs of underserved communities will strengthen the whole of community system of emergency management.

Substantial and ongoing prioritization of, and investment in, underserved communities is essential for the entire system to be effective and efficient. Engaging the whole community requires all members of the community to be part of the emergency management team, including representatives of underserved communities, diverse community members, social and community service groups and institutions, faith -based and disability advocacy groups, academia, professional associations, the private and nonprofit sectors, and government agencies that may not traditionally have been directly involved in emergency management. The whole community includes children; older adults; individuals with disabilities and others with access and functional needs; those from religious, racial, and ethnically diverse backgrounds; people with limited English proficiency; and owners of animals including household pets and service animals.

These factors underpin the requirement that at least one investment must be in support of the state's and urban area's efforts to address community preparedness and resilience.

Additionally, the proposed investment must meet or exceed the FY 2023 national priority percentage for community preparedness and resilience and will also be subject to DHS/FEMA's evaluation of the effectiveness of the proposed investments.

Additional resources and information regarding community preparedness and resilience are available through Individuals and Communities FEMA.gov.

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30 • Election Security (3%)
In January 2017, DHS designated the infrastructure used to administer the Nation's elections as critical infrastructure. This designation recognizes that the United States' election infrastructure is of such vital importance to the American way of life that its incapacitation or destruction would have a devastating effect on the country. Securing election infrastructure, ensuring its continued operation in the face of threats and harassment, advancing the safety of election officials, and ensuring an election free from foreign interference are national security priorities. Threats to election systems are constantly evolving, so defending these systems requires constant vigilance, innovation, and adaptation. As such, at least one investment must be in support of the state's and high -risk urban area's efforts to enhance physical election security and/or cyber election security. Additionally, the proposed investment must meet or exceed the FY 2023 national priority percentage for election security and will also be subject to DHS/FEMA's evaluation of the effectiveness of the proposed investments.

The SAA must include the State's Chief Election Official for all projects and matters related to the election security National Priority Area. Any activities proposed that could be used to suppress voter registration or turnout will not be approved.

Additional resources and infoiiiiation regarding election security are available through the Cybersecurity and Infrastructure Security Agency.

IV. DEVELOPMENT OF FUSION CENTER PROJECTS: SHSP AND UASI Each applicant must identify a fusion center project that will:
• Indicate alignment to a designated Fusion Center; and • Provide both a brief narrative description and funding itemization for the proposed project activities that directly support the designated fusion center.

The descriptive narrative and the financial itemization should align improvement or sustainment requests with fusion center activities as they relate to the Fusion Center Performance Measures found in the Preparedness Grants Manual.

Sample Fusion Center Funding Itemization
A sample project description and funding itemization are below. For the itemized projects, clearly identify the anticipated fusion center performance improvement or sustainment as a result of the proposed funding.

The X Fusion enhancement project will fund:
• Salaries, benefits, and training for X number of Fusion Center intelligence analysts • Travel costs associated with fusion center analyst training • This project will directly sustain the Center's current capabilities and performance and directly aligns with performance measures 2023.XXX
• We anticipate seeing an improvement in the quality and quantity of analytic production and responses to requests for information as a direct result of the funding of this project
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The funding itemization for a fusion center project should include the amount and percent of each relevant solution area. As an example:

Solution A a and Amoun o P °posed
Pe t of Propo i
Funding
2 Planning:

Fundin
$10,000
Organization:
$200,000
48%
Equipment:
$200, 000
48%
Training:
$10,000
2 Exercises:
$0
0%
Total:
$420,000
100%
V. COMPLETING ISIS IN THE GRANT REPORTING TOOL (GRT): SHSP AND UASI In the Related Documents section of the Grants.gov posting, applicants can find the IJ template and instructions for collecting the required information for investments and projects.

Additionally, applicants should utilize the Project Worksheet located in Grants.gov posting to assemble the information required for each project, which will facilitate the input of that information into the GRT.

Applicants must ensure the appropriate National Priority Area "Investment Type" (Overview Tab — Investment Information Section) is selected for the corresponding National Priority Area.

VI. DEVELOPMENT OF CONCEPT OF OPERATIONS FOR OPSG
As part of the FY 2023 OPSG application process, each eligible local unit of government at the county or federally recognized tribal government level must develop a strategic plan called a Concept of Operations (CONOP)/Application, which is a foiuial proposal of action to address a specific situation and forms the basis for Operations Orders, in coordination with state and federal law enforcement agencies, to include, but not limited to CBP/USBP.

CONOPs that are developed at the county level should be inclusive of city, county, tribal, and other local law enforcement agencies that are eligible to participate in OPSG operational activities, and the CONOP/Application should describe participating agencies in the Executive Summary.

CONOP/Application details should include the names of the agencies, points of contact, and individual funding requests. All CONOPs/Applications must be developed in collaboration with the local USBP sector office, the SAA, and the local unit of government. Requests for funding in CONOPs/Applications must be based on risks and the operational enforcement support requirements of its corresponding USBP Sector, as well as the national priorities identified below. USBP Sector offices will forward the CONOPs to USBP Headquarters for vetting and coordination. Applicants will forward corresponding OPSG Applications to the SAA for submission to FEMA. USBP Headquarters will reconcile all submitted CONOPs with the OPSG Applications. FEMA will review and evaluate all CONOPs and OPSG Applications and funding will be allocated based on the review and selection criteria identified in this NOFO.

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32 OPSG Applicants will be required to clearly articulate and identify how the CONOPs will address the national priority identified below:
• Information and Intelligence Sharing and Cooperation
Effective border security operations rely on access to, analysis of, and the timely sharing of open source, unclassified, and classified infonnation, suspicious activity reports, tips/leads, and actionable intelligence on indicators and behaviors to accurately identify, assess, and mitigate a wide array of threats against the United States, including terrorism, threats to life, targeted violence, and other threats within the DHS mission space.

Accordingly, DHS works diligently to enhance intelligence collection, integration, analysis, and info' illation sharing capabilities to ensure partners, stakeholders, and senior leaders receive actionable intelligence and information necessary to inform their decisions and operations. One critical, statutorily required mission of DHS is to deliver intelligence and information to federal, state, local, and tribal governments and private sector partners. Cooperation and information sharing among state, federal, and local partners across all areas of the homeland security enterprise, including both international and domestic terrorism, cybersecurity, transnational organized crime, economic security, border security, immigration enforcement, and other areas, while upholding privacy, civil rights and civil liberties protections, is critical to homeland security operations and the prevention of, preparation for, protection against, and responding to acts of terrorism, and other threats to life and criminal acts of targeted violence.

Given the importance of information sharing and collaboration to effective homeland security solutions, the CONOP must support the recipient's efforts to enhance information sharing and cooperation with DHS and other federal agencies. Applicants must justify persuasively how they will contribute to the infoiivation sharing and collaboration purposes of the OPSG program and a culture of national preparedness.

Additional resources and information regarding collaboration and information sharing are available through the Department's Office of Intelligence and Analysis.

VII. DETAILED Budget
Applicants must provide budget summary worksheets for all funds requested at the time of application. The budget summary worksheets must be complete, reasonable, and cost- effective in relation to the proposed project and should provide the basis of computation of all project -related costs (including management and administrative costs) and any appropriate narrative. FEMA must be able to thoroughly evaluate the projects being submitted based on the information provided. FEMA must be able to determine how much funding is being passed through to subrecipients for each sub -program (UASI, SHSP, OPSG). Consequently, applicants must provide an appropriate level of detail within the budget summary worksheets to clarify what will be purchased and spent. Sample budget summary worksheets are available on the grants.gov posting for the HSGP in the Related Documents tab and may be used as a guide to assist applicants in the preparation of budgets and budget narratives.

12. Other Submission Requirements
Fusion Center Investments
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Of the proposed SHSP- and UASI-funded investments, one single project must be in support of a designated fusion center. Recipients must coordinate with the fusion center when developing a fusion center project prior to submission. See additional information on how to develop the fusion center projects below and in the Preparedness Grants Manual.

Emergency Communications Investments
All emergency communications investments must describe how such activities align with needs identified in their Statewide Communication Interoperability Plan (SCIP). Recipients must coordinate with their Statewide Interoperability Coordinator (SWIC) and/or Statewide Interoperability Governing Body (SIGB) when developing an emergency communications investment prior to submission to ensure the project supports the statewide strategy to improve emergency communications and is compatible and interoperable with surrounding systems. Effective project alignment will require advance coordination with the SWIC and consultation with governing bodies such as the SIGB or Statewide Interoperability Executive Committee, as they serve as the primary steering group for the statewide Interoperability strategy. Additionally, recipients should consult subject matter experts serving on governance bodies, such as broadband experts, chief information officers, representatives from utilities, or legal and financial experts, when developing proposals. The investment name must include the words "emergency communications" to easily identify any emergency communications investments.

13. Intergovernmental Review
An intergovernmental review may be required. Applicants must contact their state's Single Point of Contact (SPOC) to comply with the state's process under Executive Order 12372 (See Executive Orders National Archives and Intergovernmental Review (SPOC List) (whitehouse.gov)).

14. Funding Restrictions and Allowable Costs
All costs charged to awards covered by this NOFO must comply with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements at 2 C.F.R. Part 200, unless otherwise indicated in the NOFO, the terms and conditions of the award, or the Preparedness Grants Manual. This includes, among other requirements, that costs must be incurred, and products and services must be delivered, within the period of perfoiniance of the award. See 2 C.F.R. § 200.403(h) (referring to budget periods, which for FEMA awards under this program is the same as the period of performance).

Federal funds made available through this award may be used for the purpose set forth in this NOFO, the Preparedness Grants Manual, and the terms and conditions of the award and must be consistent with the statutory authority for the award. Award funds may not be used for matching funds for any other federal awards, lobbying, or intervention in federal regulatory or adjudicatory proceedings. In addition, federal funds may not be used to sue the Federal Government or any other government entity. See the Preparedness Grants Manual for more information on funding restrictions and allowable costs. a. Prohibitions on Expending FEMA Award Funds for Covered Telecommunications Equipment or Services
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34 Recipients and subrecipients of FEMA federal financial assistance are subject to the prohibitions described in section 889 of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 `FY 2019 NDAA), Pub. L. No. 115-232 (2018) and 2 C.F.R. §§ 200.216, 200.327, 200.471, and Appendix II to 2 C.F.R. Part 200. Beginning August 13, 2020, the statute — as it applies to FEMA recipients, subrecipients, and their contractors and subcontractors — prohibits obligating or expending federal award funds on certain telecommunications and video surveillance products and contracting with certain entities for national security reasons.

Guidance is available at Prohibitions on Expending FEMA Award Funds for Covered Telecommunications Equipment or Services, FEMA Policy #405-143-1, or superseding document.

Additional guidance is available at Contract Provisions Guide: Navigating Appendix II to Part 200 - Contrast Provisions for Non -Federal Entity Contracts Under Federal Awards fema. uov�.

Effective August 13, 2020, FEMA recipients and subrecipients may not use any FEMA funds under open or new awards to:
• Procure or obtain any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology of any system;
• Enter into, extend, or renew a contract to procure or obtain any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology of any system; or • Enter into, extend, or renew contracts with entities that use covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part of any system.

REPLACEMENT EQUIPMENT AND SERVICES
FEMA grant funding may be permitted to procure replacement equipment and services impacted by this prohibition, provided the costs are otherwise consistent with the requirements of the NOFO and the Preparedness Grants Manual.

II. DEFINITIONS
Per section 889(f)(2)-(3) of the FY 2019 NDAA and 2 C.F.R. § 200.216, covered telecommunications equipment or services means:
i. Telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation, (or any subsidiary or affiliate of such entities); ii. For the purpose of public safety, security of Government facilities, physical security surveillance of critical infrastructure, and other national security purposes, video surveillance and telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company (or any subsidiary or affiliate of such entities);
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35 iii. Telecommunications or video surveillance services provided by such entities or using such equipment; or
iv. Telecommunications or video surveillance equipment or services produced or provided by an entity that the Secretary of Defense, in consultation with the Director of National Intelligence or the Director of the Federal Bureau of Investigation, reasonably believes to be an entity owned or controlled by, or otherwise connected to, the People's Republic of China.

Examples of the types of products covered by this prohibition include phones, internet, video surveillance, and cloud servers when produced, provided, or used by the entities listed in the definition of "covered telecommunications equipment or services." See 2 C.F.R. § 200.471. b. Pre Award Costs
Pre -award costs are allowable only with the prior written approval of DHS/FEMA and as included in the award agreement. To request pre -award costs, a written request must be included with the application, signed by the A0R of the entity. The letter must outline what the pre -award costs are for, including a detailed budget break-out of pre -award costs from the post -award costs, and a justification for approval.
c. Management and Administration (M&A) Costs
M&A costs are allowed. Recipients may use a maximum of up to 5% of HSGP funds awarded for their M&A, and any funds retained are to be used solely for M&A purposes associated with the HSGP award. Subrecipients may also use a maximum of up to 5% of the funding passed through by the state solely for M&A purposes associated with the HSGP award. M&A activities are those directly relating to the management and administration of HSGP funds, such as financial management and monitoring. M&A expenses must be based on actual expenses or known contractual costs. M&A requests that are simple percentages of the award, without supporting justification, will not be allowed or considered for reimbursement.

M&A costs are not operational costs. They are the necessary costs incurred in direct support of the grant or as a result of the grant and should be allocated across the entire lifecycle of the grant. Examples include preparing and submitting required programmatic and financial reports, establishing and/or maintaining equipment inventory, documenting operational and equipment expenditures for financial accounting purposes, responding to official informational requests from state and federal oversight authorities, including completing the Civil Rights Evaluation Tool as required by DHS, and grant performance measurement or evaluation activities. Please see the Preparedness Grants Manual for additional information on direct costs.

Recipients or subrecipients may apply or credit M&A funding toward the recipient's requirement to allocate funding toward the National Priority Areas. For example, if a recipient spends $5,000 to manage or administer its funding dedicated toward its soft targets/crowded places investment, the recipient may credit that funding toward its requirement to allocate at least 3% of its award to the enhancing the protection of soft targets and crowded places National Priority Area.

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36 A state's HSGP funds for M&A calculation purposes includes the total of its SHSP, UASI, and OPSG awards. While the SAA may retain up to 5% of this total for M&A, the state must still ensure that all subrecipient award amounts meet the mandatory minimum pass -through requirements that are applicable to each HSGP program. To meet this requirement, the percentage of SHSP and UASI funds passed through to local or tribal jurisdictions must be based on the state's total HSGP award prior to withholding any M&A.

In retaining these funds, states may retain a maximum of 2.5% of the OPSG allocation, which must be withheld from the pass -through to each subrecipient county or tribe in an equal percentage. The SAA may also retain additional funding from its SHSP award to manage and administer the OPSG award, but that additional amount is also capped at an amount equal to 2.5% of the OPSG award. Examples applying this principle:

SAA 1:

Total award: $6,000,000
SHSP: $1,000,000 OPSG: $2,500,000 UASI: $2,500,000
M&A Maximum: $300,000 (5% of $6,000,000)
Maximum M&A for SHSP = $50,000
Maximum M&A for OPSG = $125,000. Of that amount, $62,500 (2.5%) may be retained from the OPSG allocation, and the other $62,500 would come from the SHSP allocation. Any amount used to manage and administer OPSG that is charged to SHSP may be above and beyond the $50,000 available to manage the SHSP allocation.

Maximum M&A for UASI = $125,000
SAA 2:

Total award: $4,500,000
SHSP: $3,500,000 OPSG: $1,000,000
M&A Maximum: $225,000 (5% of $4,500,000)
Maximum M&A for SHSP = $175,000
Maximum M&A for OPSG = $50,000. Of that amount, $25,000 (2.5%) may be retained from the OPSG allocation, and the other $25,000 would come from the SHSP allocation. Any amount used to manage and administer OPSG that is charged to SHSP may be above and beyond the $175,000 available to manage the SHSP allocation.

HSGP recipients are also reminded that any M&A charged to a recipient's or subrecipient's UASI funding must be directly allocable to administration of the UASI grant program and cannot be used to cover M&A costs that are directly allocable to SHSP or OPSG funding.

Similarly, any M&A charged to a recipient's or subrecipient's SHSP or OPSG funding cannot be used to cover M&A costs directly allocable to UASI funding.

Please note, IB 365: Management and Administration Costs in the Homeland Security Grant Prom and DHS/FEMA Policy 207-087-1 do not apply to awards made in FY 2023 under this NOFO. Please also reference IB 416 for additional clarification on OPSG M&A, but to the extent that there is any conflict between LB 41.6 and this NOFO, the requirements of this NOFO will apply to FY 2023 awards made under this NOFO.

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7 d. Indirect Facilities & Administrative (F&A) Costs
Indirect costs are allowable under this program as described in 2 C.F.R. Part 200, including 2 C.F.R. § 200.414. Applicants with a current negotiated indirect cost rate agreement that desire to charge indirect costs to an award must provide a copy of their negotiated indirect cost rate agreement at the time of application. Not all applicants are required to have a current negotiated indirect cost rate agreement. Applicants that are not required by 2 C.F.R.

Part 200 to have a negotiated indirect cost rate agreement but are required by 2 C.F.R. Part 200 to develop an indirect cost rate proposal must provide a copy of their proposal at the time of application. Applicants who do not have a current negotiated indirect cost rate agreement (including a provisional rate) and wish to charge the de minimis rate must reach out to the FEMA Grants Management Specialist for further instructions. Applicants who wish to use a cost allocation plan in lieu of an indirect cost rate must also reach out to the FEMA Grants Management Specialist for further instructions. Post -award requests to charge indirect costs will be considered on a case -by -case basis and based upon the submission of an agreement or proposal as discussed above or based upon on the de minimis rate or cost allocation plan, as applicable.
e. Funds Transfer Restrictions
The recipient is prohibited from transferring funds between programs (includes SHSP, UASI, and OPSG). Recipients can submit an investment/project where funds come from multiple funding sources (e.g., SHSP and UASI), however, recipients are not allowed to divert funding from one program to another due to the risk -based funding allocations, which were made at the discretion of DHS/FEMA.
f. Other Direct Costs
I. PLANNING
Planning costs are allowed under this program. Please see the Preparedness Grants Manual for more information.

II. ORGANIZATION
Organization costs are allowed under this program. Please see the Preparedness Grants Manual for more information.

III. EQUIPMENT
Equipment costs are allowed under this program. Please see the Preparedness Grants Manual for more information.
• General Purpose Equipment
HSGP allows expenditures on general purpose equipment if it aligns to and supports one or more core capabilities identified in the Goal and has a nexus to terrorism preparedness.

General purpose equipment, like all equipment funded under the HSGP, must be sharable through the EMAC3 and allowable under 6 U.S.C. § 609, and any other applicable provision of the Homeland Security Act of 2002, as amended. Examples of such general-purpose ;Except for American Samoa and the Commonwealth of the Northern Mariana Islands, which are not required to belong to EMAC at this time.

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equipment may include:
o Law enforcement/general use vehicles (OPSG only);
o Emergency medical services equipment and vehicles;
o Fire service equipment and vehicles, to include hose, pump accessories, and foam concentrate for specialized chemical/biological/radiological/nuclear/explosive (CBRNE) response;
o Interoperability of data systems, such as computer aided dispatch (CAD) and record management systems (RMS); and
o Office equipment for staff engaged in homeland security program activity. • Controlled Equipment
For decades, the federal government has provided equipment to state, local, and tribal law enforcement agencies (LEAs) through federal grants. Some federal grant programs have assisted LEAs as they carry out their critical missions to keep the American people safe. The equipment acquired by LEAs through these programs includes administrative equipment, such as office furniture and computers. Some federal grant programs also may include military and military -styled equipment, firearms, and tactical vehicles provided by the federal government, including property covered under 22 C.F.R. Part 121 and 15 C.F.R. Part 774 (collectively, "controlled equipment").

However, not all equipment that is considered controlled equipment is allowable under the HSGP. As noted in Section B of FEMA Policy 207-22-0002, Prohibited or Controlled Equipment Under FEMA Awards, certain equipment is prohibited and is not allowable under HSGP. Grant funds under this program may not be used for the purchase of equipment not approved by DHS/FEMA. For example, the purchase of tracked armored vehicles, camouflage unifoinis, weapons, and weapons accessories, including ammunition, is generally not allowed with HSGP funds.'
For some controlled equipment that is allowable under the HSGP, additional documentation, justifications, reviews, and approvals are required, including but not limited to proof of policies and procedures to safeguard individuals' privacy, civil rights, and civil liberties.

Contact your Preparedness Officer if you have questions concerning HSGP requirements for controlled equipment requests.

Grant funds under this program must comply with the aforementioned FEMA Policy 207- 22-0002, Prohibited or Controlled Equipment Under FEMA Awards. As per this FEMA Policy, excepted or controlled equipment must remain in the possession of the original FEMA grant recipient and may not be transferred. The use of controlled equipment under a 'This applies to all homeland security personnel and is not limited to M&A staff, and costs are to be captured outside the cap on M&A costs.

FEMA issued Policy 207-22-0002 in response to Executive Order (EO) 14074, Advancing Effective, Accountable Policing and Criminal Justice Practices to Enhance Public Trust and Public Safcty, which President Joseph R. Biden issued on May 25, 2022. EO 14074 directs the DHS to prohibit the use of grant funding to purchase certain types of military equipment by state, local, tribal, and territorial law enforcement agencies and to comply with and implement the recommendations stemming from EO 13688, which established prohibited equipment and controlled equipment lists.

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39 Memorandum of Understanding or other regional sharing agreement (see Section D.6 of this FEMA Policy) does not constitute a transfer of controlled equipment.

DHS/FEMA will continue to collaborate with federal agency partners to ensure that there is a consistent and reasonable approach to the restrictions placed on controlled equipment expenditures while continuing to support these investments when there is a justifiable need.

Further, DHS/FEMA will continue to maintain an awareness of the evolving policy developments related to controlled equipment expenditures and keep grant recipients up to date on future developments.

IV. TRAINING
Training costs are allowed under this program. Please see the Preparedness Grants Manual for more information. Recipients are encouraged to consider tuition -free courses offered by FEMA first, before investing in training. For more information and a catalog of courses please refer to the National Preparedness Course Catalog at NTED.

V. EXERCISES
Exercise costs are allowed under this program. Please see the Preparedness Grants Manual for more information.

VI. PERSONNEL
Personnel hiring, overtime, and backfill expenses are permitted under this grant to perform allowable HSGP planning, organization, training, exercise, and equipment activities. Under OPSG, overtime costs are allowable only in so far as they meet the intent of the program.

All recipients and subrecipients of HSGP funds, including SHSP, UASI, and OPSG allocations, may not use more than 50% of their awards to pay for personnel activities unless a waiver is approved by FEMA. For more information on the 50% personnel cap, please see FEMA 1B 421 b, Clarification on the Personnel Reimbursement for Intelligence Cooperation and Enhancement of Homeland Security Act of 2008 (Public Law 1.1.0-412) — the PRICE Act. Please see the Preparedness Grants Manual for more information.

VII. OPERATIONAL OVERTIME
Operational overtime costs are allowed under this program. Prior to use of funds for operational overtime, recipients must receive approval from DHS/FEMA. Operational overtime costs are also subject to the 50% personnel cap. For more information on the 50% personnel cap, please see FEMA IB 421b. For more information about operational overtime costs for SHSP, UASI, and OPSG, please see the Preparedness Grants Manual.

Operational Overtime Costs for SHSP and UASI
As stated in the Preparedness Grants Manual, in support of efforts to enhance capabilities for detecting, deterring, disrupting, and preventing acts of terrorism and other catastrophic events, operational overtime costs are allowable for increased protective security measures at critical infrastructure sites or other high -risk locations and to enhance public safety during mass gatherings and high -profile events. SHSP or UASI funds may be used to support select operational expenses associated with increased security measures in the authorized categories in the authorized categories outlined in the Preparedness Grants Manual. FEMA retains the FY 2023 HSGP NOFO
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EXHIBIT F
40 discretion to approve other types of requests that do not fit within one of these categories.

Except for an elevated National Terrorism Advisory (NTAS) alert, SHSP or UASI funds may only be spent for operational overtime costs upon prior written approval by FEMA.

Post -event operational overtime requests will only be considered on a case -by -case basis, where it is demonstrated that exigent circumstances prevented submission of a request in advance of the event or activity.

Operational Overtime Costs for OPSG
As stated in the :Preparedness Grants Manual, OPSG funds should be used for operational overtime costs associated with law enforcement activities in support of border law enforcement agencies for enhanced border security. Overtime shall be reimbursed consistent with the non-federal entity's overtime policy and the requirements as stated in the Preparedness Grants Manual.

VIII. TRAVEL
Domestic travel costs are allowed under this program, as provided for in this NOFO and in the Preparedness Grants Manual. International travel is not an allowable cost under this program unless approved in advance by DHS/FEMA.

IX. CONSTRUCTION AND RENOVATION
Construction and renovation costs to achieve capability targets related to preventing, preparing for, protecting against, or responding to acts of terrorism are allowed under this program. For construction and renovation costs to be allowed, they must be specifically approved by DHS/FEMA in writing prior to the use of any program funds. Limits on the total amount of grant funding that may be used for construction or renovation may apply.

Additionally, recipients are required to submit SF -424C and SF -424D.

A11 proposed construction and renovation activities must undergo an Environmental Planning and Historic Preservation (EHP) review, including approval of the review from FEMA, prior to undertaking any action related to the project. Failure of a grant recipient to meet these requirements may jeopardize Federal funding. Please see the Preparedness Grants Manual for more information.

X. MAINTENANCE AND SUSTAINMENT
Maintenance- and sustainment-related costs, such as maintenance contracts, warranties, repair or replacement costs, upgrades, and user fees, are allowable. Please see the Preparedness Grants Manual for more information.

XI. CRITICAL EMERGENCY SUPPLIES
Critical emergency supplies are allowed under this program. Please see the Preparedness Grants Manual for more information.

XII. SECURE IDENTIFICATION
Secure Identification costs are allowed under this program. Please see the Preparedness Grants Manual for more information.

FY 2023 HSGP NOFO
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41 Allowable Cost Matrix
The following matrix provides allowable cost activities that fall under each of the cost categories noted above. Recipients and subrecipients must follow all applicable requirements in 2 C.F.R.

Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. HSGP funds may be used to cover the costs for evaluating the impact of these grants on the state or urban area's core capabilities and capability gaps. This list is not exhaustive, therefore, if there are any questions regarding allowable costs, please contact the appropriate HQ FEMA Preparedness Officer. For additional information on allowable costs, see the Preparedness Grants Manual.

Allowable Program Activities
Allowable Planning Costs

SHSP UASI OPSG
Developing hazard/threat-specific annexes
Developing and implementing homeland security support programs and adopting ongoing DHS/FEMA nationalinitiatives
Developing related terrorism and other catastrophic event prevention activities Developing and enhancing plans and protocols
Developing or conducting assessments
Hiring of full- or part-time staff or contract/consultants to assist with planning, engagement, and volunteer management activities
Materials required to conduct planning, engagement, and volunteer management activities
Travel/per diem related to planning, engagement, and volunteer management activities Overtime and backfill costs (in accordance with operational Cost Guidance) ssuance of Western Hemisphere Travel Initiative -compliant Tribal identification cards Activities to achieve planning inclusive of people with disabilities and others with access and functional needs and limited English proficiency.

Coordination with Citizen Corps Councils for public information/education and development of volunteer programs
Coordination and material support to Citizen Corps Councils and local firehouses for the establishment, training and maintenance of CERTs
U
)(late governance structures and
processes and -plans for emergency communications
Development, and review and revision of continuity of operations plans Development, and review and revision of the THIRA/SPR and continuity of operations plans
Developing or conducting equity assessments to address planning and preparedness disparities for historically underserved communities
Allowable Organizational Activities
Note: Personnel hiring, overtime, and backfill expenses are permitted under this grant only to the extent that such expenses are for the allowable activities within the scope of the grant.

Program management
Development of whole community partnerships
Structures and mechanisms for information sharing between the public and private sector
plementing models, programs, and workforce enhancement initiatives FY 2023 HSGP NOFO
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42 Allowable Program Activities
Tools, resources, and activities that facilitate shared situational awareness between the public and private sectors

SHSP UASI OPSG
Y Y
Operational support
y
y
Utilization of standardized resource management concepts y
y
Responding to an increase in the threat level under the National Terrorism Advisory System (NTAS), or needs in resulting from a National Special Security Event Y
Y
Reimbursement for select operational expenses associated with increased security measures at critical infrastructure sites incurred (up to 50% of the allocation) Y
Y
Y
Overtime for information, investigative, and intelligence sharing activities (up to 50% of the allocation)
Y
Y
Y
Hiring of new staff positions/contractors/consultants for participation in information/intelligence analysis and sharing groups or fusion center activities (up to 50% of the allocation).

Y
Y
Y
Hiring or maintaining staff positions/contractors/consultants at SLTT levels to deliver community preparedness training, resources and material to schools, community -based organizations, faith -based institutions and local businesses.

Y
Y
N
Hiring or maintaining staff positions/contractors/consultants to create, support and maintain CERT or Teen CERT
Y
Y
N
Cost of migrating online services to the ".gov" domain
Y
Y
N
Allowable Equipment Categories
Personal Protective Equipment
Allowable Equipment Categories
Explosive Device Mitigation and Remediation Equipment
Y
Y
N
CBRNE Operational Search and Rescue Equipment
Y
Y
N
Information Technology
Y
Y
Y
Cybersecurity Enhancement Equipment
Y
Y
N
Interoperable Communications Equipment
Y
Y
Y
Detection
Y
Y
Y
Decontamination
Y
Y
N
Medical countermeasures
Y
Y
Y
Power (e.g., generators, batteries, power cells)
Y
Y
Y
CBRNE Reference Materials
Y
Y
N
CBRNE Incident Response Vehicles
Y
Y
N
Terrorism Incident Prevention Equipment
Y
Y
Y
Physical Security Enhancement Equipment
Y
Y
Y
Inslection and Screening Systems
Y
Y
Y
Animal Care and Foreign Animal Disease
Y
Y
N
CBRNE Prevention and Response Watercraft
Y
Y
N
CBRNE Prevention and Response Unmanned Aircraft
Y
Y
N
CBRNE Aviation Equipment
Y
Y
N
CBRNE Logistical Support Equipment
Y
Y
N
Intervention Equipment (e.g., tactical entry, crime scene processing) Y
Y
Y
Critical emergency supplies
Y
Y
N
General use vehicle acquisition, lease, and rental
©©
Y
Specialized vehicle acquisition, lease, and rental
Y
Y
Y
Other Authorized Equipment
Y
Y
Y
Allowable Training Costs
"
N
Overtime and backfill for emergency preparedness and response personnel attending DHS/FEMA-sponsored and approved training classes FY 2023 HSGP NOFO
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EXHIBIT F
43 Allowable Program Activities
Overtime and backfill expenses for part-time and volunteer emergency response personnel participating in DHS/FEMA training
Training workshops and conferences
Activities to achieve training inclusive of people with disabilities and others with access and functional needs and limited English proficiency Full- or part-time staff or contractors/consultants
Trave
Su
es
nstructor certification/re-certification
Coordination with Citizen Corps Councils and CERT in conducting training exercises Preparedness training for community preparedness initiatives and programs nteroperable communications training
Activities to achieve planning inclusive of people with limited English proficiency mmigration enforcement training
Allowable Exercise Related Costs
Design, Develop, Conduct, and Evaluate an Exercise
Full- or part-time staff or contractors/consultants
Overtime and backfill costs, including expenses for part-time and volunteer emergency response lersonnellarticipating in DHS/FEMA exercises
e
entation of HSEEP
Activities to achieve exercises inclusive of people with disabilities and others with access and functional needs
Trave
Su
ones
nteroperable communications exercises
Allowable Exercise Related Costs
Activities to achieve planning inclusive of people with limited English proficiency Allowable M&A Costs
Hiring of full- or part-time staff or contractors/consultants to assist with the management of the respective grant program, application requirements, and compliance with reporting and data collection requirements Development of operating plans for information collection and processing necessary to res-ond to DHS/FEMA data calls
Overtime and backfill costs
Travel
eeting related expenses
Authorized office equipmen
Recurring expenses such as those associated with cell phones and faxes during the period of performance of the grant program
Leasing or renting of space for newly hired personnel during the period of performance of the grant grogram
Completing the Civil Rights Evaluation Too
Conducting activities related to evaluating project effectiveness for HSGP-funded projects
ETPA Costs
Integration and interoperability of systems and data, such as CAD and RMS, to facilitate the collection,
Maturation, enhancement, and sustainment of designated state and major Urban Area fusion centers, including information sharing and analysis, threat recognition, terrorist interdiction, and intelligence analyst training and salaries (subject to certain conditions FY 2023 HSGP NOFO
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44 Allowable Program Activities
Regional counterterrorism training programs for small, medium, and large jurisdictions to exchange information and discuss the current threat environment, lessons learned, and best practices to help prevent, protect against, and mitigate acts of terrorism

SHSP UASI OPSG
Y Y N
Coordination of regional full-scale training exercises (federal, state, and local law enforcement participation) focused on terrorism -related events Y
N
Law enforcement Chemical, Biological, Radiological, Nuclear, and high yield Explosives detection and response capabilities, such as bomb detection/disposal capability development, sustainment, or enhancement, including canine teams, robotics platforms, and x-ray technology
Y
Y
N
Coordination between fusion centers and other operational analytic, and investigative efforts
Y
Y
N
Implementation, maintenance, and sustainment of the Nationwide Suspicious Activity Reporting Initiative
Y
Y
N
Implementation of the "If You See Something, Say Something®" campaign Y
Y
N
Increase physical security, through law enforcement personnel and other protective measures, by implementing preventive and protective measures at critical infrastructure locations
Y
Y
N
E. Application Review Information

1. Application Evaluation Criteria
a. Programmatic Criteria
I. RISK METHODOLOGY
The risk methodology determines the relative risk of terrorism faced by a given area considering the potential risk of terrorism to people, critical infrastructure, and economic security. The analysis includes, but is not limited to, threats from violent domestic extremists, international terrorist groups, and individuals inspired by terrorists abroad. See the Preparedness Grants Manual for additional information on the risk methodology.

NOTE: The THIRA/SPR process is separate from the risk methodology and its results do not affect grant allocations.

The Risk Methodology is used to inform allocations under HSGP. For more information on the SHSP, UASI, and OPSG allocation processes, please see Section B.1 of this NOFO, "Available Funding for the NOFO."

IL APPLICATION EVALUATION CRITERIA
FEMA will evaluate the FY 2023 HSGP applications for completeness, adherence to programmatic guidelines, and anticipated effectiveness of the proposed investments.

FEMA's review will include verification that each IJ and project:
• Aligns with at least one core capability identified in the Goal; • Demonstrates how investments support building capability and/or closing capability gaps or sustaining capabilities identified in the THIRA/SPR process; and • Supports a NIMS-typed resource and whether those assets are deployable/shareable to support emergency or disaster operations per existing EMAC agreements.

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45!
In addition to the above, FEMA will evaluate whether proposed projects are: 1) both feasible and effective at reducing the risks for which the project was designed; and 2) able to be fully completed within the three-year period of performance. FEMA will use the information provided in the application and after the submission of the first BSIR to determine the feasibility and effectiveness of a grant project. To that end, IJs should include:
• An explanation of how the proposed project(s) will achieve objectives as identified in the SPR, including expected long-term impact where applicable, and which core capability gap(s) it helps to close and how;
• A summary of the status of planning and design efforts accomplished to date (e.g., included in a capital improvement plan); and
• A project schedule with clear milestones.

Recipients are expected to conform, as applicable, with accepted engineering practices, established codes, standards, modeling techniques, and best practices, and participate in the development of case studies demonstrating the effective use of grant funds, as requested.

FEMA will also review any submitted National Priority Area -aligned IJs and projects to ensure they meet the minimum spend requirements. Additional infoiivation on how the National Priority Area IJs and projects will be reviewed for effectiveness is included in the Review and Selection Process section below.
b. Financial Integrity Criteria
Prior to making a federal award, FEMA is required by 31 U.S.C. § 3354, as enacted by the Payment Integrity Infoiination Act of 2019, Pub. L. No. 116-117 (2020); 41 U.S.C. § 2313; and 2 C.F.R. § 200.206 to review information available through any Office of Management and Budget (OMB) -designated repositories of governmentwide eligibility qualification or financial integrity information, including whether the applicant is suspended or debarred.

FEMA may also pose additional questions to the applicant to aid in conducting the pre -award risk review. Therefore, application evaluation criteria may include the following risk -based considerations of the applicant:
i. Financial stability;
ii. Quality of management systems and ability to meet management standards; iii. History of performance in managing federal award;
iv. Reports and findings from audits; and/or
v. Ability to effectively implement statutory, regulatory, or other requirements. c. Supplemental Financial Integrity Criteria and Review Prior to making a federal award where the anticipated total federal share will be greater than the simplified acquisition threshold, currently $250,000:
i. FEMA is required to review and consider any information about the applicant, including information on the applicant's immediate and highest -level owner, subsidiaries, and predecessors, if applicable, that is in the designated integrity FY 2023 HSGP NOFO
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EXHIBIT F
46 and performance system accessible through the System for Award Management (SAM), which is currently the Federal Awardee Performance and Integrity Information System (FAPIIS).

An applicant, at its option, may review information in FAP11S and comment on any information about itself that a federal awarding agency previously entered.
iii. FEMA will consider any comments by the applicant, in addition to the other information in FAPIIS, in making a judgment about the applicant's integrity, business ethics, and record of performance under federal awards when completing the review of risk posed by applicants as described in 2 C.F.R. § 200.206.

2. Review and Selection Process
a. SHSP and UASI
All proposed investments will undergo a federal review by DHS/FEMA to verify compliance with all administrative and eligibility criteria identified in the NOFO. The federal review will be conducted by FEMA HQ Preparedness Officers. FEMA HQ Preparedness Officers will use a checklist to verify compliance with all administrative and eligibility criteria identified in the NOFO. Recipients must be able to demonstrate how investments support building capability and/or closing capability gaps or sustaining capabilities identified in the THIRA/SPR process. IJs will be reviewed at both the investment and project level.

Emergency communications investments will be jointly reviewed by FEMA and CISA's Emergency Communications Division (ECD) to verify compliance with SAFECOM Guidance on Emergency Communications Grants (SAFECOM Guidance). FEMA and ECD will coordinate directly with the recipient on any compliance concerns and will provide technical assistance as necessary to help ensure full compliance.

Additional Effectiveness Evaluation Criteria for the National Priority Areas FEMA will evaluate the FY 2023 HSGP IJs and projects submitted in support of the National Priority Areas for anticipated effectiveness. FEMA's review will include verification that each IJ or project meets the National Priority Area required spend percentages.

Cybersecurity investments will be reviewed by DHS/FEMA, CISA, and other DHS components as appropriate, for compliance with purposes and requirements of the priority investment area. Proposed investments will be reviewed for effectiveness using the criteria set forth in this NOFO.

Soft Targets/Crowded Places investments will be reviewed by DHS/FEMA, CISA, and other DHS components as appropriate, for compliance with purposes and requirements of the priority investment area. Proposed investments will be reviewed for effectiveness using the criteria set forth in this NOFO.

FY 2023 HSGP NOFO
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EXHIBIT F
4 Information Sharing and Cooperation Investments will be reviewed by DHS/FEMA, DHS Office of Intelligence and Analysis, and other DHS components as appropriate, for compliance with purposes and requirements of the priority investment area. Proposed investments will be reviewed for effectiveness using the criteria set forth in this NOFO.

For additional information on Fusion Center requirements, please see the Preparedness Grants Manual.

Domestic violent extremism investments will be reviewed by DHS/FEMA, DHS Office of Intelligence and Analysis, DHS Center for Prevention Programs and Partnerships, and other DHS components as appropriate, for compliance with purposes and requirements of the priority investment area. Proposed investments will be reviewed for effectiveness using the scoring criteria set forth in this NOFO.

Community preparedness and resilience investments will be reviewed by DHS/FEMA and other DHS components as appropriate, for compliance with purposes and requirements of the priority investment area. Proposed investments will be reviewed for effectiveness using the scoring criteria set forth in this NOFO.

Election security investments will be reviewed by DHS/FEMA, CISA, and other DHS components as appropriate, for compliance with purposes and requirements of the priority investment area. Proposed investments will be reviewed for effectiveness using the scoring criteria set forth in this NOFO.

FEMA will determine whether the proposed approach is clear, logical, and reasonable to address the priority areas of interest and contribute to a culture of national preparedness.

This includes factors such as the objectives and strategies proposed to address the priority area, how the objectives and strategies overcome legal, political, or practical obstacles to reduce overall risk, the process, and criteria to select additional relevant projects, and the approach to monitor awards to satisfy the funding percentage allocations.

For applicants that elect to submit IJs and project -level details for the National Priority Areas at the time of application, effectiveness will be evaluated prior to award. If the projects are found to not sufficiently align with the National Priority Area(s), applicants may have funds placed on hold (up to 30%) until the projects are revised to satisfactorily address the National Priority Areas.

For applicants that elect to submit IJs and project -level details for the National. Priority Areas as part of the December 2023 BSIR, they will have funds placed on hold in the amount of 30%. The hold will be released only after their December 2023 BSIR submission has been reviewed, and projects related to the National Priority Areas deemed in alignment by DHS/FEMA.

SAAs are still required to meet pass -through requirements even if funds are on hold related to the National Priority Areas.

FY 2023 HSGP NOFO
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EXHIBIT F
48 To that end, IJs should include:
• How the proposed investment addresses the National. Priority Area; • An explanation of how the proposed projects were selected and will achieve objectives and strategies to build or sustain the core capability gaps identified in the SPR, including expected long-term impact where applicable; and • A summary of the collaboration efforts to prevent, prepare for, protect against, and respond to acts of terrorism as well as anticipated outcomes of the project.

For FY 2023 SHSP and UASI investments and projects related to the National Priority Areas, effectiveness will be evaluated based on the following four factors:
• Investment Strategy (40%): Proposals will be evaluated based on the quality and extent to which applicants describe an effective strategy that demonstrates that proposed projects support the program objective of preventing, preparing for, protecting against, and responding to acts of terrorism, to meet its target capabilities, and otherwise reduce the overall risk to the high -risk urban area, the state, or the Nation.
• Budget (20%): Proposals will be evaluated based on the extent to which applicants describe a budget plan for each investment demonstrating how the applicant will maximize cost effectiveness of grant expenditures.
• Impact/Outcomes (40%): Proposals will be evaluated on how the investment helps the jurisdiction close capability gaps identified in its SPR and addresses the relevant National Priority Area outlined in this NOFO. Further, proposals will be evaluated on their identification and estimated improvement of core capability(ies), the associated standardized target(s) that align with their proposed investment, and the ways in which the applicant will measure and/or evaluate improvement. • Past Performance (additional consideration): Proposals will be evaluated based on the applicants demonstrated capability to execute the proposed investments. In evaluating applicants under this factor FEMA will consider the infoiuiation provided by the applicant and may also consider relevant information from other sources. b. OPSG
Applications will be reviewed by the SAA and USBP Sector Headquarters for completeness and adherence to programmatic guidelines and evaluated for anticipated feasibility, need, and impact of the Operations Orders. For more information on Operations Orders and other requirements of OPSG, see the Preparedness Grants Manual.

DHS/FEMA will verify compliance with all administrative and eligibility criteria identified in the NOFO and required submission of Operations Orders and Inventory of Operations Orders by the established due dates. DHS/FEMA and USBP will use the results of both the risk analysis and the federal review by DHS/FEMA to make recommendations for funding to the Secretary of Homeland Security.

FY 2023 HSGP NOFO
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EXHIBIT F
49 FY 2023 OPSG funds will be allocated among the eligible jurisdictions based on risk -based prioritization using the OPSG Risk Assessment described above. Final funding allocations are determined by the Secretary of Homeland Security, who may consider information and input from various law enforcement offices or subject -matter experts within the Department.

Factors considered include, but are not limited to threat, vulnerability, miles of the border, and other border -specific law enforcement intelligence, as well as the feasibility of FY 2023 Operations Orders to designated localities within border states and territories.

F. Federal Award Administration Information

1. Notice of Award
Before accepting the award, the AOR and recipient should carefully read the award package.

The award package includes instructions on administering the grant award and the tei ins and conditions associated with responsibilities under federal awards. Recipients must accept all conditions in this NOFO and the Preparedness Grants Manual as well as any specific terms and conditions in the Notice of Award to receive an award under this program.

Recipients must accept their awards no later than 60 days from the award date. The recipient shall notify FEMA of its intent to accept and proceed with work under the award or provide a notice of intent to decline through the ND Grants system. For instructions on how to accept or decline an award in the ND Grants system, please see the ND Grants Grant Recipient User Guide, which is available at Non -Disaster Grants Management System FEMAogov along with other ND Grants materials.

Funds will remain on hold until the recipient accepts the award through the ND Grants system and all other conditions of the award have been satisfied or until the award is otherwise rescinded. Failure to accept a grant award within the 60 -day timeframe may result in a loss of funds.

See the Preparedness Grants Manual for information on Notice of Award.

2. Pass -Through Requirements
Awards made to the SAA for HSGP carry additional statutorily mandated pass -through requirements. Pass -through is defined as an obligation on the part of the SAA to make funds available to local units of government, combinations of local units, tribal governments, or other specific groups or organizations. These entities are defined at 6 U.S.C. § 101(13) as:
• A county, municipality, city, town, township, local public authority, school district, special district, intrastate district, council of governments (regardless of whether the council of governments is incorporated as a nonprofit corporation under State law), regional or interstate government entity, or agency or instrumentality of a local government.
• An Indian tribe or authorized tribal organization, or in Alaska a Native village or Alaska Regional Native Corporation.
• A rural community, unincorporated town or village, or other public entity.

Four criteria must be met to pass -through grant funds:

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50'
• The SAA must make a firm written commitment to passing through grant funds to subrecipients;
• The SAA's commitment must be unconditional (i.e., no contingencies for the availability of SAA funds);
• There must be documentary evidence (i.e., award document, terms, and conditions) of the commitment; and
• The award terms must be communicated to the subrecipient.

Timing and Amount
The SAA must pass -through at least 80% of the funds awarded under SHSP and UASI to the above -defined local or tribal units of government within 45 calendar days of receipt of the funds. "Receipt of the funds" occurs either when the SAA accepts the award or 15 calendar days after the SAA receives notice of the award, whichever is earlier.

SAAs are sent notification of HSGP awards via the GPD's ND Grants system. If an SAA accepts its award within 15 calendar days of receiving notice of the award in the ND Grants system, the 45 calendar days pass -through period will start on the date the SAA accepted the award. Should an SAA not accept the HSGP award within 15 calendar days of receiving notice of the award in the ND Grants system, the 45 calendar days pass -through period will begin 15 calendar days after the award notification is sent to the SAA via the ND Grants system.

It is important to note that the period of performance start date does not directly affect the start of the 45 calendar days pass -through period. For example, an SAA may receive notice of the HSGP award on August 25, 2023, while the period of performance dates for that award September 1, 2023, through August 31, 2026. In this example, the 45 -day pass - through period will begin on the date the SAA accepts the HSGP award or September 9, 2023 (15 calendar days after the SAA was notified of the award), whichever date occurs first. The period of performance start date of September 1, 2023 would not affect the timing of meeting the 45 -calendar day pass -through requirement.

Other SHSP and UASI Pass -Through Requirements
The signatory authority of the SAA must certify in writing to DHS/FEMA that pass -through requirements have been met. A letter of intent (or equivalent) to distribute funds is not considered sufficient. A letter of intent is not a firm commitment and if issued before FEMA makes the award, then a letter of intent is also not unconditional since it is inherently conditioned on receipt of funds.

The pass -through requirement does not apply to SHSP awards made to the District of Columbia, Guam, American Samoa, the U.S. Virgin Islands, or the Commonwealth of the Northern Mariana Islands. The Commonwealth of Puerto Rico is required to comply with the pass -through requirement, and its SAA must also obligate at least 80% of the funds to local units of government within 45 calendar days of receipt of the funds.

Under SHSP, the SAA may retain more than 20% of funding for expenditures made by the FY 2023 HSGP NOFO
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state on behalf of the local unit(s) of government, such as expenditures by the state in order to pass through goods or services to local unit(s) of government in lieu of cash. This may occur only with the written consent, such as a Memorandum of Understanding, between the SAA and the local unit(s) of government. Separate written consent is necessary for each local unit of government in which more than 20% of funding is retained on their behalf by the state. The written consent must specify the amount of funds to be retained and the intended use of funds, including whether any goods or services will be passed through in lieu of cash. It must also be signed by authorized representatives of both the state and the local unit of government.

States shall review their written consent agreements yearly and ensure that they are still valid. If a written consent agreement is already in place from previous fiscal years, DHS/FEMA will continue to recognize it for FY 2023, unless the written consent review indicates the local government is no longer in agreement. If modifications to the existing agreement are necessary, the SAA should contact their assigned FEMA HQ Preparedness Officer.

However, even if a written consent agreement is in place from previous fiscal years, the SAA must still initially carry out the pass -through documentation for its FY 2023 award and comply with the four pass -through criteria described above before the written consent agreement can take effect for purposes of the FY 2023 funding.

Additional OPSG Requirements
The recipient is prohibited from obligating or expending funds provided through this award until each unique and specific county -level or equivalent Operational Order/Fragmentary Operations Order budget has been reviewed and approved through an official electronic mail notice issued by DHS/FEMA removing this special programmatic condition.

3. Administrative and National Policy Requirements
In addition to the requirements of in this section and in this NOFO, FEMA may place specific terms and conditions on individual awards in accordance with 2 C.F.R. Part 200.

In addition to the information regarding DHS Standard Terms and Conditions and Ensuring the Protection of Civil Rights, see the Pre 3aredness Grants Manual for additional information on administrative and national policy requirements, including:
• EHP Compliance;
• FirstNet;
• NIMS Implementation; and
• SAFECOM Guidance.
a. DHS Standard Terms and Conditions
A11 successful applicants for DHS grant and cooperative agreements are required to comply with DHS Standard Teinis and Conditions, which are available online at: DHS Standard Terms and Conditions.

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The applicable DHS Standard Terms and Conditions will be those in effect at the time the award was made. What terms and conditions will apply for the award will be clearly stated in the award package at the time of award.
b. Ensuring the Protection of Civil Rights
As the Nation works towards achieving the National Preparedness Goal, it is important to continue to protect the civil rights of individuals. Recipients and subrecipients must carry out their programs and activities, including those related to the building, sustainment, and delivery of core capabilities, in a manner that respects and ensures the protection of civil rights for protected populations.

Federal civil rights statutes, such as Section 504 of the Rehabilitation Act of 1973 and Title VI of the Civil Rights Act of 1964, along with DHS and FEMA regulations, prohibit discrimination on the basis of race, color, national origin, sex, religion, age, disability, limited English proficiency, or economic status in connection with programs and activities receiving federal financial assistance from FEMA.

The DHS Standard Terms and Conditions include a fuller list of the civil rights provisions that apply to recipients. These terms and conditions can be found in the DHS Standard Terms and Conditions. Additional information on civil rights provisions is available at External Civil Rights Division FEMA.gov.

Monitoring and oversight requirements in connection with recipient compliance with federal. civil rights laws are also authorized pursuant to 44 C.F.R. Part 7.

In accordance with civil rights laws and regulations, recipients and subrecipients must ensure the consistent and systematic fair, just, and impartial treatment of all individuals, including individuals who belong to underserved communities that have been denied such treatment. c. Environmental Planning and Historic Preservation (EHP) Compliance As a federal agency, FEMA is required to consider the effects of its actions on the environment and historic properties to ensure that all activities and programs funded by FEMA, including grant -funded projects, comply with federal EHP laws, Executive Orders, regulations, and policies, as applicable.

All non -critical new construction or substantial improvement of structures in a Special Flood Hazard Area must, at a minimum, apply the flood elevations of the Federal Flood Risk Management Standard's Freeboard Value Approach unless doing so would cause the project to be unable to meet applicable program cost-effectiveness requirements. All other types of projects may choose to apply the flood elevations of the Federal Flood Risk Management Standard's Freeboard Value Approach. See Executive Order (EO) 14030, Climate -Related Financial Risk and FEMA. Policy #-206-21-0003, Partial Implementation of the Federal Flood Risk Management Standard for Hazard Mitigation Assistance Programs (Interim) (fema.gov).

All GPD actions, including grant -funded actions, must comply with National Flood Insurance Program criteria or any more restrictive federal, state, or local floodplain FY 2023 HSGP NOFO
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management standards or building code (44 CFR § 9.11(d)(6)). A11 GPD-funded non -critical actions in 1% annual chance floodplains (also known as 100 -year floodplains) that involve new construction or substantial improvement of structures must be elevated, at a minimum, to the lower of:
• Two feet above the 1% annual chance flood elevation (also known as the base flood elevation), in accordance with the Federal Flood Risk Management Standard (FFRMS) "Freeboard Value Approach" (FVA); or
• The 0.2% annual chance flood elevation. Where 0.2% annual chance flood elevations are not available, such actions must be elevated to at least two feet above the 1% annual chance flood elevation.

All GPD-funded critical actions in 0.2% annual chance floodplains (also known as 500 -year floodplains) that involve new construction or substantial improvement of structures must be elevated, at a minimum, to the higher of:
• Three feet above the 1% annual chance flood elevation; or • The 0.2% annual chance flood elevation. Where 0.2% annual chance flood elevations are not available, such actions must be elevated to at least three feet above the 1% annual chance flood elevation.

See EO 11988, Floodplain Management, as amended by EO 13690, Establishing a Federal Flood Risk Management Standard and a Process for Further Soliciting and Considering Stakeholder Input.

Recipients and subrecipients proposing projects that have the potential to impact the environment, including, but not limited to, the construction of communication towers, modification or renovation of existing buildings, structures, and facilities, or new construction including replacement of facilities, must participate in the FEMA EHP review process. The EHP review process involves the submission of a detailed project description along with any supporting documentation requested by FEMA in order to determine whether the proposed project has the potential to impact environmental resources or historic properties.

In some cases, FEMA is also required to consult with other regulatory agencies and the public in order to complete the review process. Federal law requires EHP review to be completed before federal funds are released to carry out proposed projects. FEMA may not be able to fund projects that are not incompliance with applicable EHP laws, Executive Orders, regulations, and policies.

DHS and FEMA EHP policy is found in directives and instructions available on the FEMA.gov EHP page, the FEMA website page that includes documents regarding EHP responsibilities and program requirements, including implementation of the National.

Environmental Policy Act and other EHP regulations and Executive Orders.

The GPD EHP screening form is located at FEMA Form. Additionally, all recipients under this funding opportunity are required to comply with the FEMA GPD EHP Policy Guidance, FEMA Policy #108-023-1.

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54 d. National Incident Management System (NIMS) Implementation In expending funds under this program, recipients that are state, local, tribal, or territorial governments must ensure and maintain adoption and implementation of NIMS. The state, local, tribal, or territorial government must show adoption of NIMS during any point of the period of perfoiiiiance. The list of objectives used for progress and achievement reporting is at https://www.fema.gov/emergency-managers/nims/implementation-training .

Emergency management and incident response activities require carefully managed resources (personnel, teams, facilities, equipment, and/or supplies) to meet incident needs. Using standardized resource management concepts such as typing, credentialing, and inventorying, promote a strong national mutual aid capability needed to support delivery of core capabilities. Additional information on resource management, NIMS resource typing definitions, job titles, and position qualifications is on FEMA's website at NIMS Components - Guidance and Tools I FEMA Toy.

FEMA developed the National Incident Management System Guideline for the National Qualification System to describe national credentialing standards and to provide written guidance regarding the use of those standards. This guideline describes credentialing and typing processes and identifies tools which Federal Emergency Response Officials and emergency managers at all levels of government may use both routinely and to facilitate multijurisdictional coordinated responses.

Although state, local, tribal, and private sector partners (including nongovernmental organizations) are not required to credential their personnel in accordance with these guidelines, FEMA strongly encourages them to do so to leverage the federal investment in the Federal Information Processing Standards 201 infrastructure and to facilitate interoperability for personnel deployed outside their home jurisdiction.

Additional info' ration about NIMS in general is available at National Incident Management System FEMA.gov.
e. Emergency Communications Investments
If an entity uses HSGP funding to support emergency communications investments, the following requirements shall apply to all such grant -funded communications investments in support of the emergency communications priorities and recognized best practices:
• The signatory authority for the SAA must certify in writing to DHS/FEMA their compliance with the SAFECOM Guidance. The certification letter should be coordinated with the SWIC for each state and must be uploaded to ND Grants at the time of the first Program Performance Report submission. • A11 states and territories must designate a full-time SWIC who has the authority and resources to actively improve interoperability with emergency management and response agencies across all levels of government, to include establishing statewide plans, policies, and procedures, and coordinating decisions on communications investments funded through federal grants. Note that the designated full-time SWIC may also be the state's or territory's cybersecurity point of contact. SWIC status FY 2023 HSGP NOFO
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55 infolivation will be maintained by CISA and will be verified by FEMA GPD through programmatic monitoring activities.
• By the period of performance end date, all states and territories must update the SCIP, with a focus on communications resilience/continuity, to include assessment and mitigation of all potential risks identified in the SCIP: natural disasters, accidental damage (human failures), intentional damage (sabotage, terrorism), cybersecurity, etc. Following the initial update, the SCIP should be updated on an annual basis.

SCIP status information will be maintained by CISA and will be verified by FEMA GPD through programmatic monitoring activities.

All states and territories must test their emergency communications capabilities and procedures (as outlined in their operational communications plans) in conjunction with regularly planned exercises (separate/addition emergency communications exercises are not required). Exercises should be used to both demonstrate and validate skills learned in training and to identify gaps in capabilities. Resilience and continuity of communications should be tested during training and exercises to the greatest extent possible. Further, exercises should include participants from multiple jurisdictions, disciplines, and levels of government and include emergency management, emergency medical services, law enforcement, interoperability coordinators, public health officials, hospital officials, officials from colleges and universities, and other disciplines and private sector entities, as appropriate. Findings from exercises should be used to update programs to address gaps in emergency communications as well as emerging technologies, policies, and partners.

Recipients are encouraged to increase awareness and availability of emergency communications exercise opportunities across all levels of government.

States, territories, and other eligible grant recipients are advised that HSGP funding may be used to support communications planning (including the cost of hiring a SWIC, participation in governance bodies and requirements delineated above), training, exercises, and equipment costs. Costs for transitioning to the FirstNet network may also be eligible.

More infoiuiation regarding FirstNet can be found in the Preaarcdness Grants Manual.

4. Reporting
Recipients are required to submit various financial and programmatic reports as a condition of award acceptance. Future awards and funds drawdown may be withheld if these reports are delinquent.

See the Preparedness Grants Manual for information on reporting requirements.

5. Monitoring and Oversight
Per 2 C.F.R. § 200.337, FEMA, through its authorized representatives, has the right, at all reasonable times, to make site visits or conduct desk reviews to review project accomplishments and management control systems to review award progress and to provide any required technical assistance. During site visits or desk reviews, FEMA will review recipients' files related to the award. As part of any monitoring and program evaluation activities, recipients must permit FEMA, upon reasonable notice, to review grant -related records and to interview the organization's staff and contractors regarding the program.

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56 Recipients must respond in a timely and accurate manner to FEMA requests for information relating to the award. Failure to respond in this manner may result in funding holds on current and future awards until the requested information is provided.

See the Preparedness Grants Manual for information on monitoring and oversight.

G. DHS Awarding Agency Contact Information

1. Contact and Resource Information
a. Program Office Contact
FEMA has assigned state -specific Preparedness Officers for the HSGP. If you do not know your Preparedness Officer, please contact the Centralized Scheduling and Information Desk (CSID) by phone at (800) 368-6498 or by email at askcsid(u)fema.dhs.gov, Monday through Friday, 9:00 AM - 5:00 PM ET.
b. Centralized Scheduling and Information Desk (CSID)
CSID is a non -emergency comprehensive management and info' cation resource developed by FEMA for grants stakeholders. CSID provides general information on all FEMA grant programs and maintains a comprehensive database containing key personnel contact information at the federal, state, and local levels. When necessary, recipients will be directed to a federal point of contact who can answer specific programmatic questions or concerns.

CSID can be reached by phone at (800) 368-6498 or by e-mail at [email protected], Monday through Friday, 9:00 AM - 5:00 PM ET.
c. Grant Programs Directorate (GPD) Award Administration Division GPD's Award Administration Division (AAD) provides support regarding financial matters and budgetary technical assistance. Additional guidance and infotivation can be obtained by contacting the AAD's Help Desk via e-mail at ASK-GMD(a),fema.dhs.gov. d. Equal Rights
The FEMA Office of Equal Rights (OER) is responsible for compliance with and enforcement of federal civil rights obligations in connection with programs and services conducted by FEMA and recipients of FEMA financial assistance. All inquiries and communications about federal civil rights compliance for FEMA grants under this NOFO should be sent to [email protected].
e. Environmental Planning and Historic Preservation
GPD's EHP Team provides guidance and information about the EHP review process to recipients and subrecipients. All inquiries and communications about GPD projects under this NOFO or the EHP review process, including the submittal of EHP review materials, should be sent to radehninfo alema.dhs. ov.

2. Systems Information
a. Grants.gov
For technical assistance with Grants.gov, call the customer support hotline 24 hours per day, 7 days per week (except federal holidays) at (800) 518-4726 or e-mail at support;u)grantsgov.

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57 b. Non -Disaster (ND) Grants
For technical assistance with the ND Grants system, please contact the ND Grants Helpdesk. at ndgrants@fema,dhs.gov or (800) 865-4076, Monday through Friday, 9:00 AM - 6:00 PM ET. User resources are available at Non -Disaster Grants Management System FEMA.gov. c. Payment and Reporting System (PARS)
FEMA uses the Payment and Reporting System (PARS) for financial reporting, invoicing, and tracking payments. FEMA uses the Direct Deposit/Electronic Funds Transfer (DD/EFT) method of payment to recipients. To enroll in the DD/EFT, recipients must complete a Standard Form 1199A, Direct Deposit Form. If you have questions about the online system, please call the Customer Service Center at (866) 927-5646 or email ask - G MD(ci>,fema.dhs.gov.

H. Additional Information
GPD has developed the Preparedness Grants Manual to guide applicants and recipients of grant funding on how to manage their grants and other resources. Recipients seeking guidance on policies and procedures for managing preparedness grants should reference the Preparedness Grants Manual for further information. Examples of information contained in the Preparedness Grants Manual include:
• Actions to Address Noncompliance
• Audits
• Case Studies and Use of Grant -Funded Resources During Real -World Incident Operations
• Community Lifelines
• Conflicts of Interest in the Administration of Federal Awards and Subawards • Disability Integration
• National Incident Management System
• Payment Information.
• Period of Performance Extensions
• Procurement Integrity
• Record Retention
• Whole Community Preparedness
• Other Post -Award Requirements

1. Termination Provisions
FEMA may terminate a federal award in whole or in part for one of the following reasons.

FEMA and the recipient must still comply with closeout requirements at 2 C.F.R. §§ 200.344-200.345 even if an award is terminated in whole or in part. To the extent that subawards are permitted under this NOFO, pass -through entities should refer to 2 C.F.R. § 200.340 for additional information on termination regarding subawards. a. Noncompliance
If a recipient fails to comply with the terms and conditions of a federal award, FEMA may terminate the award in whole or in part. If the noncompliance can be corrected, FEMA may first attempt to direct the recipient to correct the noncompliance. This may take the form of a FY 2023 HSGP NOFO
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Compliance Notification. If the noncompliance cannot be corrected or the recipient is non- responsive, FEMA may proceed with a Remedy Notification, which could impose a remedy for noncompliance per 2 C.F.R. § 200.339, including termination. Any action to terminate based on noncompliance will follow the requirements of 2 C.F.R. §§ 200.341-200.342 as well as the requirement of 2 C.F.R. § 200.340(c) to report in FAPIIS the recipient's material failure to comply with the award terms and conditions. See also the section on Actions to Address Noncompliance in this NOFO or in the Preparedness Grants Manual. b. With the Consent of the Recipient
FEMA may also terminate an award in whole or in part with the consent of the recipient, in which case the parties must agree upon the termination conditions, including the effective date, and in the case of partial teiuiination, the portion to be terminated. c. Notification by the Recipient
The recipient may terminate the award, in whole or in part, by sending written notification to FEMA setting forth the reasons for such termination, the effective date, and in the case of partial termination, the portion to be terminated. In the case of partial termination, FEMA may deteiiuine that a partially terminated award will not accomplish the purpose of the federal award, so FEMA may terminate the award in its entirety. If that occurs, FEMA will follow the requirements of 2 C.F.R. §§ 200.341-200.342 in deciding to fully terminate the award.

2. Program Evaluation
Recipients and subrecipients are encouraged to incorporate program evaluation activities from the outset of their program design and implementation to meaningfully document and measure their progress towards meeting an agency priority goal(s). Title I of the Foundations for Evidence -Based Policymaking Act of 2018 (Evidence Act e, Pub. L. No, 115-435 (2019) urges federal awarding agencies and federal assistance recipients and subrecipients to use program evaluation as a critical tool to learn, to improve equitable delivery, and to elevate program service and delivery across the program lifecycle. Evaluation means "an assessment using systematic data collection and analysis of one or more programs, policies, and organizations intended to assess their effectiveness and efficiency." Evidence Act § 101 (codified at 5 U.S.C. § 311). Evaluation costs are allowable costs (either as direct or indirect), unless prohibited by statute or regulation.

In addition, recipients are required to participate in a DHS-led evaluation if selected, which may be carried out by a third -party on behalf of the Program Office or DHS. By accepting grant funds, recipients agree to participate in the evaluation, which may include analysis of individuals who benefit from the grant, and provide access to program operating personnel and participants, as specified by the evaluator(s) during the award.

3. Period of Performance Extensions
Extensions to the period of performance for this program are allowed. Extensions to the POP identified in the award will only be considered through formal, written requests to the recipient's FEMA Preparedness Officer and must contain specific and compelling justifications as to why an extension is required. Recipients are advised to coordinate with FY 2023 HSGP NOFO
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59 the FEMA Preparedness Officer as needed when preparing an extension request. Please see the Preparedness Grants Manual for more information.

4. Financial Assistance Programs for Infrastructure
a. Build America, Buy America Act
Recipients and subrecipients must comply with the Build America, Buy America Act (BABAA), which was enacted as part of the Infrastructure Investment and Jobs Act §§ 70901-70927, Pub. L. No. 117-58 (2021); and Executive Order 14005, Ensuring the Future is Made in All of America by All of America's Workers. See also OMB Memorandum M-22- 11, Initial Implementation Guidance on A wlication of Buy America Preference in Federal Financial Assistance Programs for Infrastructure.

None of the funds provided under this program may be used for a project for infrastructure unless the iron and steel, manufactured products, and construction materials used in that infrastructure are produced in the United States.

The Buy America preference only applies to articles, materials, and supplies that are consumed in, incorporated into, or affixed to an infrastructure project. As such, it does not apply to tools, equipment, and supplies, such as temporary scaffolding, brought to the construction site and removed at or before the completion of the infrastructure project. Nor does a Buy America preference apply to equipment and furnishings, such as movable chairs, desks, and portable computer equipment, that are used at or within the finished infrastructure project but are not an integral part of the structure or permanently affixed to the infrastructure project.

To see whether a particular FEMA federal financial assistance program is considered an infrastructure program and thus required to include a Buy America preference, please see Programs and Definitions: Build America, Buy America. Act FEMA. ov and Build America, Buy America Act Frequently Asked Questions (FAQs) FEMA.gov. Additional information is found in Buy America Preference in FEMA Financial Assistance Programs for Infrastructure. FEMA Interim Policy #207-22-0001.
b. Waivers
When necessary, recipients (and subrecipients through their pass -through entity) may apply for, and FEMA may grant, a waiver from these requirements.

A waiver of the domestic content procurement preference may be granted by the agency awarding official if FEMA determines that:
• Applying the domestic content procurement preference would be inconsistent with the public interest.
• The types of iron, steel, manufactured products, or construction materials are not produced in the United States in sufficient and reasonably available quantities or of a satisfactory quality.
• The inclusion of iron, steel, manufactured products, or construction materials produced in the United States will increase the cost of the overall project by more than 25%.

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60 For FEMA awards, the process for requesting a waiver from the Buy America preference requirements can be found on FEMA's website at: "Buy America" Preference in FEMA Financial Assistance Programs for Infrastructure FEMA.gov. c. Definitions
Construction materials: an article, material, or supply other than an item primarily of iron or steel; a manufactured product; cement and cementitious materials; aggregates such as stone, sand, or gravel; or aggregate binding agents or additives that is or consists primarily of non-ferrous metals, plastic and polymer -based products (including polyvinylchloride, composite building materials, and polymers used in fiber optic cables), glass (including optic glass), lumber, paint, and drywall.

Domestic content procurement preference: Means all iron and steel used in the project are produced in the United States; the manufactured products used in the project are produced in the United States; or the construction materials used in the project are produced in the United States.

Federal financial assistance: Generally defined in 2 C.F.R. § 200.1 and includes all expenditures by a federal agency to a non-federal entity for an infrastructure project, except that it does not include expenditures for assistance authorities relating to major disasters or emergencies under sections 402, 403, 404, 406, 408, or 502 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act relating to a major disaster or emergency declared under section 401 or 501, respectively, or pre and post disaster or emergency response expenditures.

Infrastructure: Infrastructure projects which serve a public function, including at a minimum, the structures, facilities, and equipment for, in the United States, roads, highways, and bridges; public transportation; dams, ports, harbors, and other maritime facilities; intercity passenger and freight railroads; freight and intermodal facilities; airports; water systems, including drinking water and wastewater systems; electrical transmission facilities and systems; utilities; broadband infrastructure; and buildings and real property; and structures, facilities, and equipment that generate, transport, and distribute energy.

Produced in the United States means the following for:
• Iron and steel: All manufacturing processes, from the initial melting stage through the application of coatings, occurred in the United States. • Manufactured products: The product was manufactured in the United States, and the cost of the components of the manufactured product that are mined, produced, or manufactured in the United States is greater than 55% of the total cost of all components of the manufactured product, unless another standard for determining the minimum amount of domestic content of the manufactured product has been established under applicable law or regulation.
• Construction Materials: All manufacturing processes for the construction material occurred in the United States.

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61 Project: is any activity related to the construction, alteration, maintenance, or repair of infrastructure in the United States.

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Cal OES

GOVERNOR'S OFFICE

OF EMERGENCY SERVICES
Fiscal Year 2023
Homeland Security Grant Program
California Supplement to the
Federal Notice of Funding Opportunity
October 2023

Table of Cont6MT'i 5023
SECTION 1 —OVERVIEW 1
Federal Program Announcement
Information Bulletins
Grant Management Memoranda
Purpose of the California Supplement
Eligible Subrecipients
Tribal Allocations
Subrecipient Allocations
Supplanting
Public/Private Organizations
Debarred/Suspended Parties
Key Changes to the FY 2023 Homeland Security Grant Program SECTION 2 -FEDERAL CHANGES AND INITIATIVES 4
FY 2023 National Priorities
National Campaigns and Programs
National Cybersecurity Review
NIMS Implementation
Law Enforcement Terrorism Prevention Activities
Management and Administration
Indirect Costs
Organization Costs - Overtime
Personnel Cap
Equipment Typing/Identification and Use
Equipment Maintenance/Sustainment
Emergency Communications Projects
Telecommunications Equipment and Services Prohibitions
Small Unmanned Aircraft Systems
Emergency Operations Plans
Conflict of Interest
Build America Buy America Act (BABAA)
SECTION 3 -STATE CHANGES AND INITIATIVES 14
FY 2023 Investments
California Homeland Security Strategy Goals
State Initiative Funding
"On Behalf Of"
Public Alert and Warning
SECTION 4 -REQUIRED STATE APPLICATION COMPONENTS 16
Financial Management Forms Workbook
Subrecipient Grants Management Assessment
Application Attachments
Standard Assurances
Operational Areas and Urban Areas

EXHIBIT F
Operational Areas Only
Urban Areas Only
Fusion Centers Only
State Agencies and Tribes Only
SECTION 5 -THE STATE APPLICATION PROCESS 21
Application Submission
Late or Incomplete Application
HSGP Contact Information
Subaward Approval
SECTION 6 -POST AWARD REQUIREMENTS 23
Payment Request Process
Advances and Interest Earned on Advances
Semi -Annual Drawdown Requirements
Modifications
Training
Exercises, Improvement Plans, and After -Action Reporting Procurement Standards and Written Procedures
Procurement Thresholds
Procurement Documentation
Noncompetitive Procurement
Performance Bond
Environmental Planning and Historic Preservation
Construction and Renovation
Inventory Control and Property Management
Equipment Disposition
Performance Reporting
Extension Requests
Progress Reports on Grant Extensions
Monitoring
Failure to Submit Required Reports
Suspension/Termination
Closeout
Records Retention

ATTACHMENTS
A - FY 2023 HSGP Allocations
B - FY 2023 HSGP Timeline
C - FY 2023 HSGP Program Checklist

Section 1 - Overvigirl'TQ23
Federal Program
Announcement
In February 2023, the U.S. Department of Homeland Security (DHS)/Federal Emergency Management Agency (FEMA)
issued the Fiscal Year (FY) 2023 Homeland Security Grant Program (HSGP), Notice of Funding Opportunity (NOFO)
and the FEMA Preparedness Grants Manua/.

Subrecipients must follow the programmatic requirements in the NOFO, FEMA Preparedness Grants Manual, and the
applicable provisions of the Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal Awards located in Title 2, Code of Federal
Regulations C.F.R.), Part 200.

Information DHS issues Information Bulletins (IBs) to provide updates, Bulletins clarification, and new requirements throughout the life of the grant.

Grant Cal OES issues Grant Management Memoranda (GMMs)
Management which provide additional information and requirements Memoranda regarding HSGP funds.

Purpose of the The FY 2023 HSGP California Supplement to the NOFO California (State Supplement) is intended to complement, rather than Supplement replace, the NOFO and the FEMA Preparedness Grants Manua/. Applicants are highly encouraged to thoroughly
read the NOFO and the Preparedness Grants Manual
before referring to the State Supplement. The State
Supplement will emphasize differences between the FY
2022 and FY 2023 HSGP and highlight additional California policies and requirements applicable to FY 2023 HSGP.

Eligible Eligible Applicants, referred to as Subrecipients, include Subrecipients Counties/Operational Areas (OAs), Urban Areas (UAs), State Agencies (SAs), Departments, Commissions, and
Boards who have or can obtain appropriate state
Department of Finance budget authority for awarded
funds, and federally recognized tribes located in California.

Tribal The NOFO strongly encourages Cal OES to provide HSGP Allocations funds directly to tribes in California. To implement this requirement, a special Request for Proposal will be issued to California's federally recognized tribes. All Subrecipients are encouraged to coordinate with tribal governments to
ensure that tribal needs are considered in their grant
applications.

EXHIBIT F
Subrecipient FY 2023 HSGP Subrecipient final allocations are provided in Allocations Attachment A and reflect reductions to Subrecipients who did not submit minimum thresholds for National Priority Areas, including Subrecipients opting out of the award
altogether, and increases to Subrecipients that are helping meet statewide minimum level National Priority Area
requirements.

Supplanting
Grant funds must be used to supplement existing funds, not replace (supplant) funds that have been appropriated for the same purpose. Subrecipients may be required to
provide supporting documentation that certifies a
reduction in non-federal resources that occurred for
reasons other than the receipt or expected receipt of
federal funds. Supplanting will result in the disallowance of the activity associated with this improper use of federal grant funds.

Public/Private Subrecipients may contract with other public or private Organizations organizations to perform eligible activities on approved HSGP projects.

Debarred/ Subrecipients must not make or permit any award Suspended (subaward or contract) at any tier, to any party, that is Parties debarred, suspended, or otherwise excluded from, or ineligible for, participation in federal assistance programs.

Subrecipients must obtain documentation of eligibility
before making any subaward or contract using HSGP funds and must be prepared to present supporting
documentation to monitors/auditors.

Before entering into a Grant Subaward, the Subrecipient must notify Cal OES if it knows if any of the principals under the subaward fall under one or more of the four criteria listed at 2 C.F.R. § 180.335. The rule also applies to
Subrecipients who pass through funding to other local
entities.

EXHIBIT F
Debarred/
Suspended
Parties
Cont.

Key Changes to
the FY 2023
HSGP
If at any time after accepting a subaward, Subrecipients learn that any of its principals fall under one or more of the criteria listed at 2 C.F.R. § 130,335, immediate written notice must be provided to Cal OES and all grant activities halted until further instructions are received from Cal OES. The rule also applies to subawards passed through by Subrecipients to local entities.

National Priority Areas: There are six National Priority Areas (NPAs) for FY 2023. SHSP and UASI applicants must include one Investment Justification (IJ) for each NPA that has a minimum spend requirement, where applicable. For the
NPAs with no minimum spend requirement, the Department
of Homeland Security strongly encourages recipients to
make investments in those areas as they are of critical national concern. For those NPAs that have an associated minimum spend, all projects related to meeting the
minimum spend for those NPAs must be included in the
same IJ.

The six NPAs, along with the relevant minimum spend
requirement, are:
• Enhancing information and intelligence sharing and
cooperation with federal agencies, including the
Department of Homeland Security - 3% minimum;
• Enhancing the protection of soft targets/crowded
places - 3% minimum;
• Enhancing cybersecurity - no minimum requirement;
• Enhancing community preparedness and resilience -
3% minimum;
• Combating domestic violent extremism - 3% minimum;
• Enhancing election security - NEW: 3% minimum.

EXHIBIT F
Key Changes to
the FY 2023
HSGP
Cont.

Law Enforcement Terrorism Prevention Activities: Increased from 30% to 35% of the subaward.

Build America, Buy America Act (BABAA):

FY 2023 HSGP is subject to BABAA requirements. The BABAA requires all federal agencies, including FEMA, to ensure that no federal financial assistance for "infrastructure" projects is provided unless all of the iron, steel, manufactured
products, and construction materials used in the project are produced in the United States. The BABAA requirements only apply to awards or funds obligated on or after
January 2, 2023, and do not apply to awards or funds
obligated during the waiver period from July 1, 2022,
through January 1, 2023.

EXHIBIT F
Section 2 - Federal Changes and Initiatives 13
FY 2023 National
Priorities
DHS/FEMA annually publishes the National Preparedness
Re ort (NPR) to report national progress in building,
sustaining, and delivering the core capabilities outlined in the goal of a secure and resilient nation. This analysis provides a national perspective on critical preparedness trends for whole community partners to use to inform
program priorities, allocate resources, and communicate with stakeholders about issues of concern.

HSGP Subrecipients are required to prioritize grant funding to demonstrate how investments support closing capability gaps or sustaining capabilities identified in the Threat Hazard Identification and Risk Assessment
(THIRA)/Stakeholder Preparedness Review (SPR) process.

DHS/FEMA continually assesses changes to the threat
landscape to further the National Preparedness Goal
(NPG) of a secure and resilient nation. The following are national priority areas for FY 2023, including the
corresponding percentage of funds required in each area:
• Enhancing information and intelligence sharing and
cooperation with federal agencies, including DHS - 3%;
• Enhancing the protection of soft targets/crowded
places - 3%;
• Enhancing cybersecurity - no minimum;
• Enhancing community preparedness and resilience -
3%
• Combating domestic violent extremism through
enhanced intelligence collection & analysis, training,
and community resilience - 3%; and
• Enhancing election security - 3% minimum.

The NPA specifically addressing emerging threats has been removed, but activities in this category remain allowable expenses under other investment areas. Further, applicants must spend a minimum of 30% of their SHSP and UASI
awards across the six NPAs but have new flexibility on how that funding is allocated. Although 15% is required in
minimum spending across five NPAs, as noted above, the
remaining 15% can be allocated across any of the six
NPAs. Enhancing Cybersecurity NP does not require a
minimum allocation.

EXHIBIT F
FY 2023 National
Priorities
Cont.

National Priority projects will be reviewed for effectiveness by DHS/FEMA and must be deemed effective prior to the
obligation or expenditure of funds.

Projects requiring additional information for DHS/FEMA to determine effectiveness of the project, or projects
deemed ineffective, will have a hold placed on their
subaward pending submission of requested information
and DHS/FEMA approval. Once a project is approved by
DHS/FEMA, modifications to the project have special
restrictions regarding modifications as indicated below:

Modifications which do not change the project scope and do not decrease the overall project budget can be
processed via regular modification request.

Modifications which change the project scope or
decrease the overall project budget will require DHS/FEMA approval and must be requested on the National Priority Proect Modification Form.

Effectiveness will be evaluated by DHS/FEMA,
Cybersecurity and Infrastructure Security Agency,
DHS Office of Intelligence and Analysis, DHS Center for Prevention Programs and Partnerships, and/or other
DHS components, as appropriate. FEMA will determine
whether the proposed approach is dear, logical, and
reasonable to address the priority areas of interest and contribute to a culture of national preparedness, based on the following four factors:
• Investment Strategy (40%): Projects will be evaluated based on the quality and extent to which the strategy
effectively demonstrates supporting the program
objective of preventing, preparing for, protecting
against, and responding to acts of terrorism, to meet its target capabilities, and otherwise reduce the overall risk to the high -risk urban area, the state, or the nation. • Budget (20%): Projects will be evaluated based on the extent to which a budget plan for each investment
demonstrates how grant expenditures maximize cost
effectiveness.

EXHIBIT F
FY 2023 National
Priorities Cont.

National
Campaigns and
Programs
• Impact/Outcomes (40%): Projects will be evaluated on
how this investment helps the jurisdiction close
capability gaps identified in its Stakeholder
Preparedness Review and addresses NPs outlined in the
FY 2023 NOFO. Further, projects will be evaluated on
their identification and estimated improvement of core
capability(ies), the associated standardized target(s)
that align with their proposed investment, and the ways in which improvements are measured and/or
evaluated.
• Past Performance (additional consideration): Projects will be evaluated based on the Subrecipient's
demonstrated capability to execute the proposed
investments. Under this factor, FEMA will consider the
information provided by the Subrecipient and may also
consider relevant information from other sources.

A detailed description of allowable investments for each NP is included in the FY 2023 HSGP NOFO ;Section A
Whole Community Preparedness - Subrecipients should
engage with the whole community to advance individual
and community preparedness and to work as a nation to
build and sustain resilience. In doing so, Subrecipients are encouraged to consider the needs of individuals with
access and functional needs and limited English
proficiency in the activities and projects funded by the grant.

Subrecipients should utilize established best practices for whole community inclusion and engage with stakeholders
to advance individual and jurisdictional preparedness and resilience. Subrecipients are encouraged to consider the necessities of all Californians in the activities and projects funded by the grant, including children, seniors, individuals with disabilities or access and functional needs, individuals with diverse culture and language use, individuals with lower economic capacity, and other underserved
populations.

EXHIBIT F
National
Campaigns and
Programs Cont.

Active Shooter Preparedness - DHS developed a
comprehensive Active Shooter Preparedness website,
which strives to enhance national preparedness through a whole -community approach by providing the necessary
products, tools, and resources to help all stakeholders prepare for and respond to an active shooter incident.

Subrecipients are encouraged to review the referenced
active shooter resources and evaluate their preparedness needs.

Soft Targets and Crowded Places - States, territories, UAs, and public and private sector partners are encouraged to identify security gaps and build capabilities that address security needs and challenges related to protecting
locations or environments that are easily accessible to large numbers of people on a predictable or semi -
predictable basis that have limited security or protective measures in place, including town centers, shopping malls, open-air venues, outside hard targets/venue perimeters, and other places of meeting and gathering. For more
information, please see DHS's Hometown Security Program.

Community Lifelines - FEMA created Community Lifelines
to reframe incident information and impacts using plain language and unity of effort to enable the integration of preparedness efforts, existing plans, and identifies unmet needs to better anticipate response requirements.

Additional information may be found at the Community
Lifelines Implementation Toolkit website.

Strategic Framework for Countering Terrorism and Targeted Violence - DHS adopted the DHS Strategic Framework for
Countering Terrorism and Targeted Violence which
explains how the department will use the tools and
expertise that have protected and strengthened the
country from foreign terrorist organizations to address the evolving challenges of today.

EXHIBIT F
National
Campaigns and
Programs Cont.

Countering Violent Extremism (CVE) Training - Foreign
terrorist groups and individual terrorist thought leaders recruit or inspire Westerners to carry out attacks against western and U.S. targets, including individuals living in communities with the U.S. via, but not limited to, print, video, and social media, as well as through personal
interaction. But we also know that violent extremism is not a phenomenon restricted solely to one community and
that any effort to counter violent extremism must be
applicable to all ideologically motivated violence. Efforts to provide information and training regarding CVE should emphasize the strength of local communities' approach.

National The National Cybersecurity Review (NCSR) is a required Cybersecurity assessment for all Subrecipients of State Homeland Security Review Program (SHSP) and Urban Areas Security Initiative (UASI) funding to be completed between October and
February 2024.

NIMS
Implementation
The NCSR is a no -cost, anonymous, and annual self -
assessment designed to measure gaps and capabilities of state, local, tribal, territorial, nonprofit, and private sector agencies' cybersecurity programs.

Additionally, FEMA recognizes that some subawards will
not be issued until after the NCSR has closed. In these cases, Subrecipients will be required to complete the first available NCSR offered after the subaward has been
issued by Cal OES.

The Chief Information Officer (CIO), Chief Information
Security Officer (CISO), or equivalent should complete the NCSR. If there is no CIO or CISO, the most senior
cybersecurity professional should complete the
assessment. Additional information may be found in IB 439 and 429a.

Prior to the allocation of any federal preparedness awards, Subrecipients must ensure and maintain the adoption and implementation of the National Incident Management
System (NIMS).

EXHIBIT F
Law Enforcement
Terrorism
Prevention
Activities
Management
and
Administration
Indirect Costs
At least 35% of the grant funding under SHSP and UASI must be dedicated to Law Enforcement Terrorism Prevention
Activities (LETPA). This required LETPA allocation can be from SHSP, UASI, or both and may be met by funding
projects in any combination of the six NPAs and any other investments.

Allowable expenditures can be found in the authorizing
legislation, Preparedness Grants Manual, Information
Bulletin 'IB, No. 473 Supplemental Guidance for LETPA
Expenditures, the National Prevention Framework, and
National Protection Framework.

For an activity to be counted towards the LETPA
requirement, it must have a law enforcement terrorism
prevention nexus. If an activity is listed in the authorizing legislation or can be directly tied to a capability in the National Prevention Framework or shared capability in the National Protection Framework, then it is presumed to have law enforcement nexus and be a LETPA. For all other
claimed activities, nexus to law enforcement and terrorism prevention must be dearly explained.

Refer to IB 485 - FY23 LETPA Supplemental Guidance to the NOFO for further direction on how to account for LETPA
activities, best practices for submitting LETPA investments, and information on how to distinguish LETPA from other
activities .

The Management and Administration (M&A) allowance for
Subrecipients is set at a maximum of 5% for FY 2023 HSGP.

Indirect costs are allowable under the FY 2023 HSGP Grant Award.

Subrecipients with an indirect cost rate approved by their cognizant federal agency may claim indirect costs based on the established rate. Indirect costs claimed must be calculated using the base approved in the indirect cost negotiation agreement. A copy of the approved
negotiation agreement is required at the time of
application.

EXHIBIT F
Indirect Costs
Cont.

Organization
Costs - Overtime
Indirect costs are in addition to the M&A allowance and must be included in the Grant Award application as a
"Project" and reflected in the FMFW on the Indirect Cost Tab if being claimed under the award.

Indirect costs must be claimed no more than once
annually, and only at the end of the Subrecipient's fiscal year. An exception to this rule applies if there is a mid -year change to the approved indirect cost rate; in this case, costs incurred to date must be claimed. At that time, a Grant Subaward Modification reflecting the rate change
must also be submitted to Cal OES, along with a copy of the new Indirect Cost Rate Agreement.

Operational overtime costs are allowable for increased
security measures at critical infrastructure sites if associated with detecting, deterring, disrupting, and preventing acts of terrorism and other catastrophic events.

Pursuant to page A-4 of the Preparedness Grants Manual, all operational overtime requests must clearly explain how the request meets the criteria of one or more of the
categories listed in Table 2: Authorized Operational
Overtime Categories.

Requests must address the threat environment as it relates to the event or activity requiring operational overtime support and explains how the overtime activity is
responsive to the threat.

Post -event operational overtime requests will only be
considered on a case -by -case basis, where it is
demonstrated exigent circumstances prevented
submission of a request in advance of the event or activity.

Requests for overtime costs must be submitted to Cal OES via Allo ability Request Log (ARL, Form at the time of
application, if the activity will occur within one year of the final application submission. All subsequent requests must be submitted at least 60 days in advance of the activity.

AI► operational overtime costs must be formally pre -
approved in writing by DHS/FEMA.

EXHIBIT F
Personnel Cap
Equipment
Typing/
Identification
and Use
Pursuant to 6 U.S,C. § 609 br, SHSP and UASI funds may be used for personnel costs, totaling up to 50 percent of each fund source. A Subrecipient may request this requirement be waived by DHS/FEMA, via Cal OES. Requests for
personnel cap waivers must be submitted separately for
each fund source in writing to the Program Representative on official letterhead, with the following information:
• Documentation explaining why the cap should be
waived;
• Conditions under which the request is being submitted; and
• A budget and method of calculation of personnel costs both in percentages of the Grant Award and in total
dollar amount (waivers must be calculated separately
for SHSP and UASI, outlining salary, fringe benefits, and any M&A costs).

Subrecipient requests to exceed the personnel cap must
be received by Cal OES at the time of application.

Subaward modifications impacting the personnel cap will be reviewed on a case -by -case basis and may require the submittal of the above -mentioned information.

Please see IB 421b for more information on the waiver
process.

Allowable HSGP equipment is listed on the FEMA
Authorized Equipment List (AEL) website.

Subrecipients that allocate HSGP funds towards equipment are required to type and identify the capability associated with that equipment. The FEMA Resource Typing Library
Tool 'RTLT can be used to help determine the type and
capability.

Per FEMA policy, the purchase of weapons and weapon
accessories are not allowed with HSGP funds. Special rules apply to pharmaceutical purchases, medical
countermeasures, and critical emergency supplies; refer to page A-10 of the FEMA Preparedness Grants Manual for
additional information.

EXHIBIT F
Equipment Typing/
Identification and
Use Cont.

Expenditures for general purpose equipment are allowable if they align to and support one or more core capabilities identified in the NPG, and in addition, are
deployable/sharable through the Emergency
Management Assistance Compact and allowable under
6 U.S.C. § 609. Refer to the NOFO and Preparedness Grants Manual for examples of allowable general-purpose
equipment.

Equipment Use of HSGP funds for maintenance contracts, warranties, Maintenance/ repair or replacement costs, upgrades, and user fees are Sustainment allowable as described in FEMA IBs 336 and 379, as well as Grant Programs Directorate (GPD) Policy FP -205-402-125-1.

Emergency All Subrecipient emergency communications projects must Communications comply with the SAFECOM Guidance on Emergency Projects Communications Grants and describe in their FMFW how such activities align with the goals of the Statewide
Communications Interoperability Plan.

Telecom Effective August 13, 2020, section 889(f)(2)-(3) of the John Equipment and S. McCain National Defense Authorization Act for FY 2019 Services (NDAA, and 2 C.F.R. § 200.216, 200.471, and Appendix II to Prohibitions 2 C.F.R. Part 200 prohibit DHS/FEMA Recipients and Subrecipients (including their contractors and
subcontractors) from using any FEMA funds under open or new awards for the following telecommunications
equipment or services:
1) Telecommunications equipment produced by Huawei
Technologies Company or ZTE Corporation, (or any
subsidiary or affiliate of such entities);
2) For the purpose of public safety, security of government facilities, physical security surveillance of critical
infrastructure, and other national security purposes,
video surveillance and telecommunications equipment
produced by Hytera Communications Corporation,
Hangzhou Hikvision Digital Technology Company, or
Dahua Technology Company (or any subsidiary or
affiliate of such entities);
3) Telecommunications or video surveillance services
provided by such entities or using such equipment; or

EXHIBIT F
Telecom Equipment
and Services
Prohibitions Cont.

Prohibited and
Controlled
Equipment
4) Telecommunications or video surveillance equipment or services produced or provided by an entity that the
Secretary of Defense, in consultation with the Director of National Intelligence or the Director of the Federal Bureau of Investigation, reasonably believes to be an
entity owned or controlled by, or otherwise connected
to, the People's Republic of China.

Additional guidance is available in FEMA Policy #405-143- 1, Prohibitions on Expending FEMA Award Funds for
Covered Telecommunications Equipment or Services
Effective May 25, 2022, Executive Order (EO' 14074,
Advancing Effective, Accountable Policing and Criminal
Justice Practices to Enhance Public Trust and Public Safety, Section 12(a) of EO 14074 directs the Department of
Homeland Security (DHS) to review its grant programs and, consistent with applicable law, prohibits the use of grant funding to purchase certain types of military equipment by state, local, tribal, and territorial law enforcement
agencies (LEAs).

For all awards issued on or after January 1, 2023, The policy directly prohibits certain types of equipment outright
(prohibited equipment), whereas other types of equipment may be controlled, or LEAs are required to submit
certifications prior to purchase.

Even if equipment is listed as controlled equipment and is not outright prohibited, that does not automatically make it allowable under a particular FEMA program. Recipients and Subrecipients should refer to applicable program
guidance or contact your Program Representative to
determine if a particular type of equipment is allowable under that program.

Additional information regarding Prohibited and Controlled Equipment is available on FEMA Policy 207-22-0002.

EXHIBIT F
Small Unmanned
Aircraft Systems
Emergency
Operations Plans
Conflict of
Interest
All requests to purchase Small Unmanned Aircraft Systems (SUAS) with FEMA grant funding must comply with FEMA
Policy 207-22-0002 and include copies of the policies and procedures in place to safeguard individuals' privacy, civil rights, and civil liberties of the jurisdiction that will purchase, take title to, or otherwise use the SUAS equipment. The Authorized Equipment Listing for 030E-07-SUAS details
questions that must be included in the Aviation Request justification. Reference the Presidential Memorandum:

Promoting Economic Competitiveness While Safeguarding
Privacy, Civil Rights, and Civil Liberties in Domestic Use of Unmanned Aircraft Systems for additional information.

FEMA approval is required before a SUAS can be
purchased with HSGP grants funds.

Subrecipients should update their Emergency Operations
Plan (EOP) at least once every two years to remain
compliant with the Comprehensive Preparedness Guide
101 version 2.0.

To eliminate and reduce the impact of conflicts of interest in the subaward process, Subrecipients and pass -through entities must follow their own policies and procedures
regarding the elimination or reduction of conflicts of
interest when making subawards. Subrecipients and pass - through entities are also required to follow any applicable federal, state, local, and tribal statutes or regulations governing conflicts of interest in the making of subawards.

Subrecipients must disclose to their Program
Representative, in writing, any real or potential conflict of interest as defined by the federal, state, local, or tribal statutes or regulations, which may arise during the
administration of the HSGP subaward within five days of learning of the conflict of interest.

EXHIBIT F
Build America,
Buy America Act
(BABAA)
Under FEMA financial assistance programs, the BABAA
requirements apply to:
• New awards made on or after January 2, 2023,
• New funding that FEMA obligates to existing awards or through renewal awards on or after January 2, 2023;
and
• Infrastructure projects.

Funds provided under this program may not be used for a project for infrastructure unless the iron and steel,
manufactured products, and construction materials used
in that infrastructure are produced in the United States.

The Buy America preference only applies to articles,
materials, and supplies that are consumed in, incorporated into, or affixed to an infrastructure project. As such, it does not apply to tools, equipment, and supplies, such as
temporary scaffolding, brought to the construction site and removed at or before the completion of the
infrastructure project. Additionally, the Buy America
preference does not apply to equipment and furnishings, such as movable chairs, desks, and portable computer
equipment, that are used at or within the finished
infrastructure project but are not an integral part of the structure or permanently affixed to the infrastructure
project.

When necessary, Subrecipients may apply for a waiver
from these requirements. Additional information regarding the BABAA can be found on FEMA's website under
Buy America Preference Buy America Preference.

EXHIBIT F
FY 2023
Investments
The State prioritized the following investment strategies for the FY 2023 subawards:

1. Enhance Information and Intelligence Sharing and
Cooperation with Federal Agencies, including DHS
(National Priority);

2. Enhance the Protection of Soft Targets/Crowded Places (National Priority);

3. Enhance Cybersecurity (National Priority);

4. Enhancing Community Preparedness and Resilience
(National Priority);

5. Combating Domestic Violent Extremism (National
Priority);

6. Strengthen Emergency Communications Capabilities
Through Planning, Governance, Technology, and
Equipment;

7. Enhance Medical and Public Health Preparedness;

8. Strengthen Information Sharing and Collaboration (non - Fusion Center);

9. Enhance Multi-Jurisdictional/Inter-Jurisdictional All- Hazards/Whole Community Incident Planning, Response
& Recovery Capabilities;

10. Protect Critical Infrastructure and Key Resources
(includes Food and Agriculture); and

11. Enhance Election Security (National Priority).

EXHIBIT F
Section 3 - State Changes and Initiatives 12 23
California
Homeland
Security Strategy
Goals
State Initiative
Funding
"On Behalf Of"
Public Alert and
Warning
The State prioritized the following California Homeland Security Strategy Goals for the FY 2023 subawards:

1. Enhance Information Collection, Analysis, and Sharing, in Support of Public Safety Operations Across California;

2. Protect Critical Infrastructure and Key Resources from All Threats and Hazards;

3. Strengthen Security and Preparedness Across
Cyberspace;

4. Strengthen Communications Capabilities through
Planning, Governance, Technology, and Equipment;

5. Enhance Community Preparedness;

6. Enhance Multi-Jurisdictional/Inter-Jurisdictional All - Hazards Incident Catastrophic Planning, Response, and
Recovery Capabilities;

7. Improve Medical and Health Capabilities;

8. Enhance Incident Recovery Capabilities;

9. Strengthen Food and Agriculture Preparedness; and

10.Enhance Homeland Security Exercise, Evaluation, and
Training Programs.

For FY 2023, Cal OES shall retain 20% of the SHSP and 18.5% of the UASI funding for state initiatives.

Cal OES may, in conjunction with local approval
authorities, designate funds "on behalf of" local entities who choose to decline or fail to utilize their subaward in a timely manner.

Cal OES encourages Subrecipients to consider the use of this funding to assist their jurisdiction's alignment with the State of California Alert and Warning Guidelines,
developed pursuant to Senate Bill 833 of the 2018
Legislative Session.

EXHIBIT F
Section 4 - Required State Application Components 12 23 Financial
Management
Forms
Workbook
The FY 2023 Cal OES FMFW includes:

Grant Subaward Face Sheet - Use the Grant Subaward Face Sheet to apply for grant programs. The Grant Subaward Face Sheet must be signed and submitted in portrait format. An active UEI# (Formerly DUNS#) is required. UEI registration information is available sam.gov.

Authorized Body of 5 - Provide the contact information of Authorized Agents (AA), delegated via the Governing Body Resolution (GBR) or Signature Authorization Form, including staff related to grant activities. More than one person is
recommended for designation as the AA; in the absence of an AA, an alternate AA can sign requests.

Project Ledger - The project ledger is used in the application process to submit funding information and is used for submitting cash requests, Grant Subaward Modifications, and assists with the completion of the Biannual Strategy Implementation Report (BSIR).

Planning Tab - Provides detailed information on grant -funded planning activities with a final product identified.

Organization Tab - Provides detailed information on grant -funded organizational activities.

Equipment Tab - Detailed information must be provided under the equipment description for all grant -funded equipment. AEL numbers must be included for all items of equipment. Always refer to the AEL for a list of allowable equipment and conditions, if any.

Training Tab - Provides detailed information on grant -funded training activities. All training activities must receive Cal OES approval prior to starting the event, including a Training Feedback number. The Training Request Form must be submitted and approved to obtain a Training Feedback number and should be submitted at least 30 days in advance.

Exercise TAB - Provides detailed information on grant -funded exercises.

M&A Tab - Provides information on grant -funded M&A activities.

Indirect Costs Tab - Provides information on indirect costs.

EXHIBIT F
Financial Consultant -Contractor Tab - Provides detailed information on Management grant -funded consultants and contractors.

Forms
Workbook Authorized Agent Page - The AA Page must be submitted with Cont. the application, all cash requests, and Grant Subaward Modifications. The AA Page must include a valid signature on file with Cal OES and the date.

Subrecipient Per 2 C.F.R. § 200.332, Cal OES is required to evaluate the risk of Grants non-compliance with federal statutes, regulations, and grant Management terms and conditions posed by each Subrecipient of pass - Assessment through funding. The Subrecipient Grants Management Assessment Form contains questions related to an organization's experience in the management of federal grant awards. It is used to determine and provide an appropriate level of technical assistance, training, and grant oversight to Subrecipients during the subaward. The questionnaire must be completed and
returned with the grant application.

Application Federal Funding Accountability and Transparency Act (FFATA) Attachments Financial Disclosure - Use the FFATA Financial Disclosure Form to provide the information required by the Federal Funding Accountability and Transparency Act of 2006.

Certification Regarding Lobbying - Use the Certification Regarding Lobbying Form to certify lobbying activities, as stipulated by the Byrd Anti -Lobbying Amendment,
31 U.S.C. § 1352.

Intelligence Analysts Certificates - Pursuant to the Preparedness Grants Manual, Cal OES must have certificates for completion of training for fusion center analytical personnel. Please provide copies of certificates for each intelligence analyst, if applicable.

UASI Footprint (UASIs Only) - The Urban Area Working Group (UAWG) establishes the `footprint' of the UA. A map or list defining the footprint must be included with the application.

UAWG Member Roster (UASIs Only) - A list of all current UAWG members with positions or titles.

Indirect Cost Rate Agreement - If claiming indirect costs at a federally -approved rate, please provide a copy of the approved indirect cost rate agreement.

EXHIBIT F
Standard The Standard Assurances list the requirements to which the Assurances Subrecipients will be held accountable. All Applicants will be required to submit a signed, original of the FY 2023 Standard Assurances as part of their FY 2023 HSGP application. The required Standard Assurances can be found only in PDF format on the Cal OES website.

NOTE: Self-created Standard Assurances will not be accepted.

Operational Governing Body Resolution - The GBR appoints AAs (identified by Areas and the individual's name or by a position title) to act on behalf of the Urban Areas governing body and the Applicant by executing any actions necessary for each application and subaward. All Applicants are required to submit a copy of an approved GBR with their grant application. Resolutions may be valid for up to three grant years given the following:
• The resolution identifies the applicable grant program (e.g., EMPG and/or HSGP);
• The resolution identifies the applicable grant years, (e.g., FY 2023, FY 2024, FY 2025; and
• Adheres to any necessary elements required by local
protocols, rules, etc., if applicable.

Resolutions that only identify a single grant program will only be valid for that single program. Resolutions that do not identify applicable grant years will only be valid for the grant year in which the resolution was submitted.

Authorized Agent Information - For each person or position appointed by the governing body, identify the individual in the Authorized Body of 5 ledger of the FMFW.

All changes in AA and contact information must be provided to Cal OES in writing. If the GBR identifies the AA by name, a new Resolution is needed when changes are made. If the GBR
identifies the AA by position and/or title, changes may be made by submitting a request on the entity's letterhead, signed by an existing AA. Cal OES will not accept signatures of an AA's designee, unless authorized by the GBR. A change to an AA's designee must be submitted on agency letterhead and signed by the AA, announcing the change to their designee.

EXHIBIT F
Operational Approval Authority Body - OAs must appoint an Anti -Terrorism Areas Only Approval Body (Approval Authority) to have final approval of the OA's application for HSGP funds. Each member of the Approval Authority must provide written agreement with the OA's
application for HSGP funds. The Approval Authority shall consist of the following representatives, and additional voting members may be added by a simple majority vote of the following standing members:
• County Public Health Officer or designee responsible for Emergency Medical Services
• County Fire Chief or Chief of Fire Authority
• Municipal Fire Chief (selected by the OA Fire Chiefs) • County Sheriff
• Chief of Police (selected by the OA Police Chiefs)
Urban Areas
Only
Urban Area Working Groups - Membership in the UAWG must provide either direct or indirect representation for all relevant jurisdictions and response disciplines (including law enforcement, fire service, EMS, hospitals, public health, and emergency management) that comprise the defined UA. It also must be inclusive of local Citizen Corps Council and tribal representatives.

The UAWG should also ensure the integration of local emergency management, public health, and health care systems into a coordinated sustained local capability to respond effectively to a mass casualty incident. Additional group composition criteria are found in the FEMA Preparedness Grants Manual.

Threat Hazard Identification and Risk Assessment - Subrecipients are required to submit a THIRA for all 32 core capabilities.

Beginning in 2019, UAs are required to submit a THIRA every three years. An annual capability assessment will still be required.

Stakeholder Preparedness Review - The SPR is an annual grant requirement for all states, territories, and UAs. It is an annual capability assessment, which helps jurisdictions identify capability gaps and prioritize investment requirements to reach the targets set in their THIRA.

All fusion center investments must align to, and reference, specific performance areas of the assessment that the funding is intended to support.

EXHIBIT F
Fusion Fusion Centers are also required to follow all Reporting and Centers Only Administrative Metrics for California Fusion Centers, as set forth in the Governor's Homeland Security Advisor/Cal OES Director's letter dated March 16, 2016. These operational and administrative metrics set forth an integrated and coordinated approach for regular and proactive information and intelligence sharing between all fusion centers in the California State Threat Assessment System (STAS).

State
Agencies and
Tribes Only
State Agencies, and federally recognized tribes may submit the Signature Authorization Form in lieu of a GBR, signed by the most senior ranking official, such as the Secretary, Director, President, Chancellor, or Chairperson.

EXHIBIT F
Section 5 - State Application Process 12 25
Application Subrecipients must submit an electronic copy of their completed Submission FMFW to their Program Representative for review. After the application is approved, a completed copy of the FMFW, along with all other application components must be submitted, with official signatures, by the application due date. During the application process, if it is determined not all allocated funds can be expended by the end of the period of performance, please inform a Program Representative as soon as possible. The completed application should be received by Cal OES no later than the date provided in the FY 2023 HSGP Timeline, referenced as Attachment B.

Late or Late or incomplete applications may be denied. If an application Incomplete is incomplete, the Program Representative may request Application additional information. Requests for late submission of applications must be made in writing to the Program
Representative prior to the application due date. Cal OES has sole discretion to accept or reject a late or incomplete grant application.

HSGP Contact All Subrecipient application materials, questions, comments, and Information correspondence should be directed to:

California Governor's Office of Emergency Services
ATTN: Grants Management (Building F)
Homeland Security Grants Unit
3650 Schriever Avenue
Mather, CA 95655
Darlene Arambula
Christopher Camacho
Laura Halverstadt
Antoinette Johnson
Jim Lane
Tyrone Freeman
Abigayle Tirapelle
(916) 845-8427
(916) 845-8789
(916) 845-8899
(916) 845-8260
(916) 845-8428
(916) 328-7750
(916) 845-8400
The Program Representative Regional Assignments Map is
available at the Cal OES website under "Regional Assignments".

EXHIBIT F
Subaward Subrecipients will receive a formal notification of award no later Approval than 45 days after Cal OES accepts the federal grant award. The award letter must be signed, dated, and returned to Cal OES within 20 calendar days. Once the completed application, along with the signed award letter, is received and approved, reimbursement of eligible subaward expenditures may be
requested using the Cal OES FMFW.

EXHIBIT F
Section 6 — Post Award Requirements I 2023
Payment Request
Process
To request an advance or cash reimbursement of HSGP
funds, Subrecipients must first complete a payment request using the Cal OES HSGP FMFW, returning it to the appropriate Program Representative. Subrecipients who fail to follow the workbook instructions may experience delays in processing the payment request.

Payments can only be made if the Subrecipient has an
approved application.

Advances and An Advance payment is a payment that is requested before Interest Earned on Subrecipients have disbursed the funds for program purposes.

Advances Subrecipients may be paid an advance, provided they maintain a willingness and ability to maintain procedures to minimize the time elapsing between the receipt of funds and their disbursement. The timing and amount of advance
payments must be as close as administratively feasible to the actual disbursements by the Subrecipient for project costs.

Federal rules require advances to be deposited in interest - bearing accounts. Interest earned amounts up to $500 per year may be retained by Subrecipients for administrative expenses; any additional interest earned on federal advance payments must be returned annually to Cal OES.

Semi -Annual All Subrecipients must report expenditures and request funds Drawdown at least semi-annually throughout the period of performance.

Requirements Semi-annual drawdowns should occur by March and October of each calendar year following final approval of the subaward application, except for the final cash request, which must be submitted within 20 calendar days after the end of the period of performance.

Modifications
Post -award budget and scope modifications must be
requested using the Cal OES HSGP FMFW vl .23, signed by the Subrecipient's AA, and submitted to the Program
Representative.

The Subrecipient may implement grant modification
activities, and incur associated expenses, only after receiving written final approval of the modification from Cal OES.

EXHIBIT F
Modifications Subrecipients must provide a written justification with all Cont. modification requests. The justification may be included in the body of the e-mail transmitting the request, or in a document attached to the transmittal e-mail. Please reference GMM 2018-17 for additional information regarding modification requests.

Modifications to NP Projects have additional restrictions as indicated below:

Modifications which do not change the project scope and do not decrease the overall project budget can be
processed via regular modification request.

Modifications which change the project scope or decrease the overall project budget will require DHS/FEMA approval and must be requested on the National Priority Proect
Modification Form.

Training All grant -funded training activities must receive Cal OES Requirements approval prior to starting the training event. Cal OES shall allow Subrecipients to develop a "placeholder" for future training conferences when an agenda has not been
established at the time Subrecipient applications are due.

Please work with a Program Representative and the Training Branch to identify a possible "placeholder" for these types of training activities.

When seeking approval of non-DHS/FEMA developed
courses, course materials must be submitted with the
approval requests. Conditional approvals are not offered.

Subrecipients must complete a Training Request Form and submit it electronically to the Cal OES Training Branch to be approved with a Training Feedback Number before
beginning any training activities. This includes project components like travel to, materials for, or attendance in training courses. Training Feedback Numbers should be
obtained no later than 30 days before the first day of the training or related activities. Requests that are submitted with less than 30 days prior to the start of the training or activity are not guaranteed to be approved in time and run the risk of training being unallowable. Training Feedback numbers must

EXHIBIT F
Training
Requirements
Cont.

Exercises,
Improvement
Plans, and After -
Action Reporting
Procurement
Standards and
Written
Procedures
be included on the FMFW Training Ledger to be considered for reimbursement.

For more information on this or other training -related inquiries, contact the Cal OES Training Branch at (916) 845-8745 or [email protected].

Subrecipients should engage stakeholders to identify long- term training and exercise priorities. These priorities should address capability targets and gaps identified through the THIRA and SPR process, real -world events, previous exercises, and national areas for improvement identified in the NPR.

Subrecipients must report on all exercises conducted with HSGP grant funds. An After -Action Report
(AAR)/Improvement Plan (IP) or Summary Report (for
Seminars and Workshops) must be completed and submitted to Cal OES within 90 days after exercise/seminars/workshops are conducted. It is acceptable to submit an Exercise
Summary Report for Seminars and Workshops in lieu of a full AAR/IP.

Please e-mail AAR/IPs and Summary Reports to:
• [email protected]
• [email protected]
• [email protected]
For exercise -related issues and/or questions, please email the Cal OES Exercise Team at [email protected].

Exercise costs will not be considered for reimbursement until an AAR/IP is received by Cal OES.

Subrecipients must conduct procurement using documented local government procurement procedures, or the federal procurement standards found in 2 C.F.R. Part 200, whichever are more strict. Subrecipients must also have written conflict of interest policies governing the actions of its employees engaged in the selection, award and administration of
contracts, including disciplinary actions for violations of such standards.

EXHIBIT F
Procurement Effective June 20, 2018, the micro -purchase threshold was Thresholds increased from $3,500 to $10,000 and the simplified acquisition threshold was increased from $150,000 to
$250,000. These increases apply to all Subrecipient
procurements executed on or after June 20, 2018.

Refer to IB 434 for additional information.

Procurement Non-federal entities, other than states and territories, are Documentation required to maintain and retain records sufficient to detail the history of procurements, covering at least the rationale for the procurement method, contract type, contractor selection or rejection, and the basis for the contract price. For any cost to be allowable, it must be adequately documented. Examples of the types of documents that would meet this requirement include, but are not limited to:
• Solicitation documentation, such as requests for quotes, invitations for bids, or requests for proposals;
• Responses to solicitations, such as quotes, bids, or
proposals;
• Pre -solicitation independent cost estimates and post - solicitation cost/price analyses on file for review by federal personnel, if applicable;
• Contract documents and amendments;
• Documents demonstrating inclusion of required contract provisions; and
• Other documents required by federal regulations
applicable at the time the grant was awarded to the
Subrecipient.

Noncompetitive All noncompetitive procurements exceeding the simplified Procurement acquisition threshold requires Cal OES prior written approval to be eligible for reimbursement. This method of procurement must be approved by the local Purchasing Agent prior to submitting a request for Cal OES approval. A copy of the Purchasing Agent's approval must be included with the
Cal OES Request for Noncompetitive Procurement
Authorization form. Cal OES may request additional
documentation that supports the procurement effort.

EXHIBIT F
Noncompetitive
Procurement
Cont.

Performance
Bond
Environmental
Planning and
Historic
Preservation (EHP)
Cal OES will not reimburse for any noncompetitive
procurement contracts for any HSGP terrorism -related
training, regardless of the cost of the training. Exceptions to this policy may be approved in limited circumstances, e.g., related to a procurement effort that has resulted in
inadequate competition. Please refer to GMM2017-01 A and GMM2021-05 for additional guidance.

Due to the risks associated with delays in vendor delivery of large equipment procurements, DHS/FEMA allows
Subrecipients to obtain a "performance bond" for items that are paid for up front to ensure delivery of the equipment within the grant period of performance.

Cal OES requires Subrecipients to obtain a performance bond when procuring any equipment item over $250,000, or for any vehicle, aircraft, or watercraft that requires full or partial payment prior to receiving the final product(s).

Performance Bond Waivers may be granted on a case -by - case basis and must be submitted to Cal OES prior to
procurement.

DHS/FEMA is required to ensure all activities and programs that are funded by the agency comply with federal
Environmental Planning and Historic Preservation (EHP)
regulations. Subrecipients proposing projects or activities (including, but not limited to, training, exercises, the installation of equipment, and construction or renovation projects) that have the potential to impact the environment, or a historic structure must participate in the EHP screening process. EHP Screening Memos must include detailed project information, explain the goals and objectives of the proposed project, and include supporting documentation.

DHS/FEMA may also require the Subrecipient to provide a confidential California Historical Resources Information System (CHRIS) report in addition to the EHP Screening Form.

Determination on the necessity of a CHRIS report is based upon information disclosed on the form. Program
Representatives will provide additional instructions should this report be required.

EXHIBIT F
Environmental
Planning and
Historic
Preservation (EHP)
Cont.

Construction and
Renovation
EHP Screening Requests should be submitted to Cal OES as early as possible. All projects/activities triggering EHP must receive DHS/FEMA written approval prior to commencement of the funded activity.

Updated information may be referenced in the FEMA GPD
EHP Policy Guidance.

When applying for construction activity at the time of
application, including communication towers, Subrecipients must submit evidence of approved zoning ordinances,
architectural plans, any other locally required planning permits, and a notice of federal interest. Additionally, Subrecipients are required to submit an SF -424C Budget and Budget Detail that cites project costs. Communication tower construction requests also require evidence that the Federal Communications Commission's Section 106 review process
was completed.

Subrecipients using funds for construction projects must comply with the Davis -Bacon Act. Subrecipients must ensure that their contractors or subcontractors for construction projects pay workers no less than the prevailing wages for laborers and mechanics employed on projects of a
character like the contract work in the civil subdivision of the state in which the work is to be performed.

Project construction using SHSP and UASI funds may not
exceed $1,000,000 or 15% of the grant subaward (for the purposes of limitations on funding levels, communications towers are not considered construction).

Written approval for construction must be provided by
DHS/FEMA prior to the use of any HSGP funds for construction or renovation. No construction activities (including site preparation, utility installations, and any groundbreaking activities) or equipment installations on existing structures, may begin until the EHP review process is complete.

EXHIBIT F
Inventory Control Subrecipients must use standardized resource management and Property concepts for resource typing and credentialing, in addition to Management maintaining an inventory by which to facilitate the effective identification, dispatch, deployment, tracking, and recovery of resources.

Subrecipients must have an effective inventory management system, to include:
• Property records that document description, serial/ID number, fund source, title information, acquisition date, cost, federal cost share, location, use, condition, and ultimate disposition;
• A physical inventory conducted at least every two years; • A control system to prevent loss, damage, and theft of grant purchased equipment and supplies; and
• Adequate maintenance procedures to keep the property
in good condition.

Equipment When original or replacement equipment acquired under the Disposition HSGP is no longer needed for program activities, the Subrecipient must contact the Program Representative to request disposition instructions. See 2 C.F.R. § 200.313`e).

Performance Subrecipients must complete a BSIR each Winter and Summer Reporting using the DHS/FEMA Grants Reporting Tool (GRT) for the duration of the subaward period of performance or until all grant activities are completed and the subaward is formally closed by Cal OES. Failure to submit a BSIR could result in subaward reduction, suspension, or termination.

Access to the BSIR may be obtained through the GRT. To
create a new account, please click the link that reads, "Register for an account" and follow the instructions
provided. The Subrecipient will be required to ensure up-to- date project information is entered. The Project Ledger in the FMFW may assist with the BSIR data entry process. For
additional assistance with the GRT, please contact your Program Representative.

EXHIBIT F
Extension
Requests
Extensions to the initial period of performance identified in the subaward will only be considered through formal, written requests to your Program Representative. Upon receipt of the extension request, Cal OES will:

1. Verify compliance with performance reporting
requirements by confirming the Subrecipient has
submitted all necessary performance reports;

2. Confirm the Subrecipient has provided sufficient
justification for the request; and

3. If applicable, confirm the Subrecipient has demonstrated sufficient progress in past situations where an extension was authorized by Cal OES.

Extension requests will be granted only due to compelling legal, policy, or operational challenges, must be project - specific and will only be considered for the following reasons:

1. Contractual commitments with vendors that prevent
completion of the project within the period of
performance;

2. The project must undergo a complex environmental
review which cannot be completed within this timeframe;

3. Projects are long-term by design and therefore,
acceleration would compromise core programmatic
goals; and

4. Where other special circumstances exist.

To be considered, extension requests must be received no later than 60 days prior to the end of the Subrecipient's period of performance and must contain specific and
compelling justifications as to why an extension is required. All extension requests must address the following:

1. Grant program, fiscal year, and award number;

2. Reason for delay;

3. Current status of the activity/activities;

4. Approved period of performance termination date and
new project completion date;

5. Amount of funds drawn down to date;

6. Remaining available funds, both federal and non-federal;

EXHIBIT F
Extension
Requests
Cont.

7. Budget outlining how remaining federal and non-federal funds will be expended;

8. Plan for completion, including milestones and timeframes for each milestone and the position/person responsible for implementing the plan for completion; and

9. Certification the activity/activities will be completed within the extended period of performance without any
modification to the original Project Scope.

General questions regarding extension requirements and the extension request form, should be directed to your Program Representative. For additional information, please see IB 379.

Extension requests for personnel and salaries do not meet the requirements of IB 379 and will not be granted. Subrecipients are expected to complete all grant -funded personnel
activities by the end of the subaward period of performance.

Progress Reports All Subrecipients that receive Cal OES approval to extend on Grant their FY 2023 Grant Subaward period of performance may be Extensions required to submit progress reports indicating completed and future project milestones on all extended projects. Progress reports must be submitted electronically to the Subrecipient's Program Representative. Deadlines for the submission of progress reports will be established at the time of extension approval.

Monitoring
Cal OES Grants Monitoring actively monitors Subrecipients, through day-to-day communications, programmatic site
visits, desk, and on -site compliance assessments. The purpose of the compliance assessment is to ensure Subrecipients are in compliance with applicable state and federal regulations, grant guidelines, and programmatic requirements.

Monitoring activities may include, but are not limited to:
• Verifying entries recorded on the FMFW categories are properly supported with source documentation;
• Eligibility of and support for expenditures, typically covering two to three years of data;
• Comparing actual Subrecipient activities to those
approved in the grant application and subsequent

EXHIBIT F
Monitoring
Cont.

Failure to Submit
Required Reports
modifications, including the review of timesheets and
invoices as applicable;
• Procurements and contracts;
• Ensuring equipment lists are properly maintained and
physical inventories are conducted;
• Ensuring advances have been disbursed in accordance
with applicable guidelines; and
• Confirming compliance with Standard Assurances; and
• Information provided on performance reports and
payment requests
NOTE: It is the responsibility of all Subrecipients that pass down grant funds to other entities, to maintain and utilize a formal process to monitor the grant activities of their subawards. This requirement includes, but is not limited to, on -site verification of grant activities, as required. It is common for Subrecipients to receive findings in a programmatic site visit or compliance assessment, which require a Corrective Action Plan (CAP) to be submitted by Subrecipients. Those Subrecipients who fail to submit a CAP, as required, shall have a "hold" placed on any future reimbursements until the "finding" is resolved.

Periodic reporting is required by the grant. Subrecipients who miss a single reporting deadline may receive a letter
addressed to their Board of Supervisors informing them of the failure to report. County OAs and tribes who fail to report twice consecutively may have subsequent awards reduced
by 10% until timely reporting is reestablished; UASIs may have a "hold" placed on any future reimbursements.

Suspension/ Cal OES may suspend or terminate grant funding, in whole or Termination in part, or other measures may be imposed for any of the following reasons:

Suspension/
• Failure to submit required reports.
• Failure to expend funds in a timely manner consistent with the grant milestones, guidance, and assurances.
• Failure to comply with the requirements or statutory
progress toward the goals or objectives of federal or state law.
• Failure to make satisfactory progress toward the goals or objectives set forth in the Subrecipient application.
• Failure to follow Grant Subaward requirements or Special Conditions.

EXHIBIT F
Termination • Proposing or implementing substantial plan changes to Cont. the extent that, if originally submitted, the application would not have been selected for funding.
• False certification in the application or document.
• Failure to adequately manage, monitor, or direct the
grant funding activities of their Subrecipients.

Closeout
Records Retention
Before taking action, Cal OES will provide the Subrecipient reasonable notice of intent to impose corrective measures and will make every effort to informally resolve the problem.

Cal OES will close-out Subrecipient awards when it
determines all applicable administrative actions and all required work of the federal award have been completed.

Subawards will be dosed after:
• All funds have been requested and reimbursed, or
disencumbered;
• Receiving all applicable Subrecipient reports indicating all approved work has been completed, and all funds have
been distributed;
• Completing a review to confirm the accuracy of reported information;
• Reconciling actual costs to subawards, modifications, and payments; and
• Verifying the Subrecipient has submitted a final BSIR showing all grant funds have been expended.

The records retention period is three years from the date of the Cal OES Grant Closeout letter, or until any pending litigation, claim, or audit started before the expiration of the three-year retention period has been resolved and final action is taken.

For indirect cost rate proposals, cost allocation plans, or other rate computation records, the start of the record retention period is dependent on whether the proposal, plan, or other computation is required to be submitted to the federal
government (or to the pass -through entity) for negotiation purposes. See 2 C.F.R. § 200.334'f;
In order for any cost to be allowable, it must be adequately documented per 2 C.F.R. § 200.403 q,.

EXHIBIT F
Records Retention
Cont.

The Cal OES Grant Closeout Letter will notify the Subrecipient of the start of the records retention period for all
programmatic and financial grant -related records.

If the State Administrative Agency's award remains open after the Subrecipient's submission of the final BSIR, Cal OES will complete any additional BSIR reporting required under the award on behalf of the Subrecipient.

Closed grants may still be monitored and audited. Failure to maintain all grant records for the required retention period could result in a reduction of grant funds, and an invoice to return costs associated with the unsupported activities.

If documents are retained longer than the required retention period, FEMA, the DHS Office of Inspector General,
Government Accountability Office, and pass -through entity have the right to access these records as well. See 2 C.F.R. §§ 200.334, 200.336.

EXHIBIT F
Attachment A - FY 2023 HSGP Allocations 12
23 *SHSP allocations reflect National Priority Area project adjustments Operational Area
State Homeland Security Program (SHSP)
Total Award Operational Area
Total Award

ALAMEDA
ALPINE
1,650,795 ORANGE
76,145 PLACER
... . . ... . . ...
3,091,413
465,161
AMADOR
113,439 PLUMAS
93,069
BUTTE
267,310 ... RIVERSIDE
2,398,207

CALAVERAS
117,971 SACRAMENTO
1,578,910
COLUSA

CONTRA COSTA
94,168 SAN BENITO
1,178,218

SAN BERNARDINO
137,459
2,161,778

DEL NORTE
100,963 ...,.; SAN DIEGO
3,210,706

EL DORADO
256,682 SAN FRANCISCO
878,889
FRESNO
1,039,636 SAN JOAQUIN
823,130
GLENN
102,425 SAN LUIS OBISPO
342,774

HUMBOLDT
203,934 SAN MATEO
785,321

IMPERIAL
246,059 ..... • SANTA BARBARA
499,634
INYO
93,103 SANTA CLARA
. . . .. .. . . .
1,882,403
KERN
942,855 . SANTA CRUZ
329,271
KINGS
220,012 SHASTA
247,205
LAKE
126,762 SIERRA
78,080
LASSEN
103,878 SISKIYOU
116,809

LOS ANGELES
MADERA
9,481,457
225,138
MARIN
320,277

MARIPOSA
102,042

MENDOCINO
168,349
MERCED
346,225
SOLANO
SONOMA
501,615
535,157

STANISLAUS
599,128
SUTTER
169,572
TEHAMA
132,940

TRINITY
90,284
MODOC
83,289 TULARE
528,108
MONO
87,762 TUOLUMNE
127,741

MONTEREY
488,715 VENTURA
870,207
NAPA
204,898 YOLO
285,965
NEVADA
71,574 YUBA
*Total
153,481
41,728,498
38

EXHIBIT F
Fusion Centers
Region
Total Award

SAN FRANCISCO BAY AREA
1,792,050

SACRAMENTO/CENTRAL VALLEY AREA
2,565,000

GREATER LOS ANGELES AREA
2,887,500

SAN DIEGO AREA
2,047,500

ORANGE AREA
835,000
*Total
10,127,050
* SHSP allocations reflect National Priority Area project adjustments Urban Areas Security Initiative (UASI)
*A minimum of 35% of UASI funding must be for Law Enforcement Terrorism Prevention Urban Area
Federal
Allocation to
State
Allocation to
UASI
State Initiatives

ANAHEIM/SANTA ANA AREA
5,250,000
4,278,750
971,250

BAY AREA
36,493,265
29,742,011
6,751,254

LOS ANGELES/LONG BEACH AREA
66,174,270
53,932,030
12,242,240

RIVERSIDE AREA
3,900,000
3,178,500
721,500

SACRAMENTO AREA
3,800,000
3,097,000
703,000

SAN DIEGO AREA
16,445,560
13,403,131
3,042,429
Total
132,063,095
107,631,422
24,431,673

Attachment B - FY 2023 HSGP Timeline 12

EXHIBIT F
)3
DHS/FEMA Announcement of 2023 HSGP NOFO
February 13, 2023
Cal OES Application Due to DHS
May 18, 2023
DHS Award to California
September 25, 2023
Subrecipient period of performance begins
September 1, 2023
2023 HSGP California Supplement release
October 2023
Subrecipient Workshops
October 2023
Subrecipient Awards (45 days from DHS award)
October 2023
Subrecipient Final Applications for FY23 Due to
Cal OES
December 29, 2023
Subrecipient period of performance ends
May 31, 2026
Final Cash Requests due to Cal OES
Within twenty (20) calendar
days after end of grant
Cal OES's period of performance ends
August 31, 2026

Attachment C: FY 2023 HSGP Application Checkk#IBITV23
Subrecipient: FIPS#:

Program Representative:

Financial Management Forms Workbook:
❑ Grant Award Face Sheet
❑ Authorized Body of 5
❑ Project Ledger
❑ Planning Tab
❑ Organization Tab
❑ Equipment Tab
❑ Training Tab
❑ Exercise Tab
❑ Consultant/Contractor Tab
❑ Management & Administration Tab
❑ Indirect Cost Tab
❑ Authorized Agent Sheet
Attachments:
❑ Original Counter -Signed Award Letter
❑ Governing Body Resolution (Certified)
❑ Standard Assurances (Signed Originals)
❑ FFATA Certification
❑ Lobbying Certification
❑ Subrecipient Grant Management Assessment Form
❑ Indirect Cost Rate Negotiation Agreement
❑ Personnel Cap Waiver (If Applicable)
❑ Intelligence Analyst(s) Certificates (If Applicable)
UASI Only:
❑ UASI Footprint
❑ UAWG Roster
State Agencies and Tribes Only:
❑x Signature Authority Form (in lieu of Governing Body Resolution) For Cal OES Use Only
Reviewed by:

Management Approval:

Date:

Date:

LOS ANGELES COUNTY/DEPARTMENT OF AUDITOR -CONTROLLER EXHIBIT G

SHARED SERVICES DIVISION

GRANT PAYMENT REQUEST
7W 7
77 77777777
Please submit Grant Payment Request Form along with legible supporting documents to:

Grants auditor.lacountv.gov
In the event e-mail is not available, you can mail your Grant payment request to (please do not fax or send duplicates):

Department of Auditor -Controller
Shared Services Division / Attn: Grants Unit
320 W. Temple Street, Room 380
Los Angeles, CA 90012
}

1. Grant Name & Year:

1. Sub -recipient's Name: (reimbursement check will be made payable to a payee entered

3. Taxpayer ID #:

4. Contact's Name:

2. Mailing Address (please let us know where you want your check delivered, including attention line if necessary):

4. Contact's phone:

4. Contact's e-mail:

VIM RD

1. SOLUTION AREA
(e.g. equipment, training,
planning, exercise, organization)

2. PROJECT #
(e.g. 011.22)

4. EHP required?
(Environmental 8 Historic
Preservation)
No
Yes
(attach State
Approval)

5. VENDOR'S INVOICE #
(Maximum of 5 invoices)
isr

6. PURCHASE METHOD
(including Training)
If Competitive,
indicate the # of
bids.

Non -Competitive
Bid
Sole Source

7.CLAIM
AMOUNT
(indicate the
amount per each
line)
I certify that (please use the checkbox):

1. I am the duly authorized officer of the claimant herein and this claim is in all respect true and correct. All expenditures were made in accordance with applicable laws, rules, regulations and grant conditions and assurances.

2. All instructions for this form were followed and all the supporting documentation (per instructions) is included with this claim.

AUTHORIZED SIGNATURE

AUTHORIZED PRINTED NAME
AUTHORIZED CONTACT INFORMATION (If different from Section B):

PHONE #
E-MAIL:

AUTHORIZED TITLE
NOTE: This For
Revised on April 2021
ended for Internal SSD review purpose only.
$ 0.00
STAMP WITH RECEIVED DATE HERE:

ASSIGNED INVOICE NO.:

EXHIBIT G

COUNTY OF LOS ANGELES

DEPARTMENT OF AUDITOR -CONTROLLER / SHARED SERVICES DIVISION Purpose of these instructions:

To assist sub -recipients in completing the Grant Payment Request. We appreciate your participation in this program, for questions or suggestions please use our e-mail below to contact us. Please do not send these instructions to us, they are to be used for your guidance only.
aktinwwwwwwwwwwwyq
In numeral 1 of this section, please enter the name and year of the grant program that you are submitting for payment. In addition, please help us expedite the process of your Homeland Security claims by:
• Completing the Grant payment request correctly and according to these instructions. • Submitting your Grant payment request using our e-mail --> [email protected] (please do not fax documents). • Sending your Grant payment request only once (we do not require original documents and duplicates will slow down our process). • Using the checkboxes to ensure all the required supporting documents and files accompany your Grant payment request. Supporting documents are flagged for your convenience with a checkbox within the corresponding areas. • Ensuring that all documents attached to your Grant payment requests are legible. • Submitting Grant payment request timely. We do not guarantee the process of Grant payment requests that are submitted late or too close to the final due date. Reimbursable expenditures need to be charged within the performance period of the grant and submitted to us as soon as they are incurred.

The following numerals provide the instructions to fill in the corresponding numeral in the form:

1. Please enter the name of the agency requesting for payment. The name of the agency should be typed according to its signed agreement and as you need it to appear in the payee line of the reimbursement check.

2. Please enter the complete address (street number and name, city, zip code) and attention line where you will need to receive the reimbursement check. Please note that this is not necessary for L.A. County departments.

3. Please enter the tax ID of the governmental entity requesting payment. Please leave blank for L.A. County departments.

4. Please enter the information of the person that can assist us with detail claim questions.

In order to expedite your Grant payment request, in this area's grid, include a maximum of five (5) invoices or reimbursements charges (one charge or one invoice per line). The invoices or charges need to share the same solution area, project #.

The following numerals provide the instructions to fill in the corresponding numeral in the form:

1. Enter the solution area corresponding to the claim. This information is found in the latest budget of the grant. Examples of solution areas are:
equipment, training, planning or exercise.

2. Enter the project # corresponding to the claim. This information is found in the latest budget of the grant. An example of Item # is 17.020.

4. Check with an X under either yes or no according to the claim's Environmental & Historical Preservation (EHP) requirements from the State. EHP approval needs to be obtained from the State prior to the start of the project on certain equipment items (see AEL description) or training/exercise projects. Please attach the following:
a) State EHP Approval: if required by the state for your claim.

Revised on 11/20/2017

EXHIBIT G
00 fif
INA 'St IAA At INA At IAA At INA At IAA At INA At IAA At INA At IAA At INA At IAA At INA At IAA At INA At IAA At INA At IAA At INA At IAA At

5. If the expenditures that you are claiming were purchased thru a vendor or contractor, please enter the invoice # in the grid area. Please note that you are responsible for following acceptable purchasing policies and for documenting your procurement process. Additionally please include the following documentation with your claim:
a)
b)
c)
d)
e)
f)
g)
Copy of the invoice: Please attach an invoice that provides sufficient information to be used as a cross reference with the items described in your grant line item and AEL #. When the invoice includes items that are not being claimed or that belong to different claims or grants, please circle and designate on the invoice the items that you are requesting for reimbursement. Each item circled must have a project #, a funding source, and a total. Purchase orders and price quotes will not be accepted in the place of the invoice.

Copy of the purchase order
Print out of the corresponding AEL # (Authorized Equipment List number). The AEL listing can be found at:
https://www.fema.gov/grants/g uidance-tools/authorized-equipment-list Proof of payment of the invoice: The proof of payment for L.A. County Departments is the printout from e -CAPS showing that the check cleared the bank. The proof of payment for other than L.A. County Department is the corresponding copy of the bank's cleared check .

Calculations for use tax paid: When use tax is paid, clearly show the calculations of the use tax in the invoice included in your claim.

Proof of payment of the use tax: Please provide official documents which authenticate the remittance of the use tax to the state, the amount and the reference to the invoice being claimed.

Federal Debarment Listing: Please provide a screen print out of the queried Federal Debarment Listing at sam.gov/SAM/. The listing needs to be queried prior to the selection of the vendor.

6. If you are claiming services, supplies, training related costs, or any other type of items purchased thru a vendor or contractor or government agency, please indicate with an X the method that you used to acquire the items (do not leave blank or mark more than one). Please note that competitive bid, non-competitive bid or sole source are the only valid purchasing methods. a)
b)
c)
Competitive Bid: for projects that received more than one bid. Please indicate number of bids received (must be more than one).

Non -Competitive Bid: for single bid purchases of $250,000 or more (effective June 21, 2018) to a single vendor or a single project, please attach the approval from the State. The approval needs to be requested from the State prior to the start of the project.

Sole Source: for non -bid purchases of $250,000 or more effective (June 21, 2018) to a single vendor or a single project, please attach the approval from the State. The approval needs to be requested from the State prior to the start of the project.

7. Enter the amount of your claim after you verify that your budget is sufficient to cover your request. When the amount of the budget is not sufficient, please let your Program Coordinator know of the possible need for budget modification.

8. Enter the "Total Amount" by adding the subtotal claims included in each line.

The following numerals provide the instructions to fill in the corresponding numeral in the form:

1. Please read and check the box provided if you are an authorized signor.

2. Please read and check the box provided if you are an authorized signor.

3. Please sign the Grant payment request if you are an authorized signor of your agency. 4 & When the authorized person is the same as the contact person in Section B you do not need to enter the authorized contact information. If the

5. authorized person and the contact person in Section B are different, please enter all the fields in this area as requested.

Revised on 11/20/2017

EXHIBIT G
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For Equipment Claims:
a)
Equipment Inventory Listing (Print out & Excel File): Please include both the printout of the listing and the corresponding excel file with your claim. The excel file is used to submit your claim with the state and the printout as backup document for audits. If there is no serial # for your equipment please assign a valid ID tag, or write "Consumable" (if it applies) or write N/A. please do NOT leave the corresponding space blank. *1Please refer to the Instructions to Equip Inty Tab for completion procedures of Equipment Inventory.

Additionally, please enter the appropriate CBRNE Mission (Chemical, Biological, Radiological, Nuclear, or Explosive) in the column titled "Equipment Description & Quantity". This only applies to vehicles with AEL # 12VE-00-MISS (Vehicle Specialized Mission:CBRNE).

You need to inform us of any changes on the items above . This applies to each piece of equipment added in the Inventory Listing, including when the items are disposed and/or no longer useful. We will update the master inventory listing (per grant requirement) according to the information you give us. Please make sure that you include all the attachments that are necessary to provide us with the requested information.

For Training Claims:
a)
b)
c)
State Sole Source Approval: If you are claiming training related costs thru a Non -Competitive Bid or Sole Source training provider, regardless the purchased amount, please attach the State's approval (effective December 03, 2018). The approval needs to be requested from the State prior to the start of the project.

State -Sponsored Training Reporting Form (with the tracking request #): Please add this form along with the Training Request Form Training Officer (POC), which you completed at the website, to the claim's backup documentation. All the backup documentation submitted for the training claim needs to agree with the training period and the detail description on the Training Reporting Form and the line item of the Grant. Training request #'s must be obtained from the State prior to the start of the project.

Receipts and paid invoices: please include the complete copy of the receipts and paid invoices with your claim for itemized costs such as air plane tickets, hotel stays, instructor's fees, workshop cost, facilities fees, consulting services, etc. Additionally, you will need to include the documents requested in numeral 5 under Section C.

If you are including personnel cost with your training claim, please add the following:
d)
e)
f)
9)
h)
Personnel List (Print out & Excel File): Please include both the printout of the listing and the corresponding excel file with your claim. The excel file is used to submit your claim with the state and the printout as backup document for audits.

Documents that certify completion of the training: please attach supporting documents that show the class name, dates of training, # of hours of the training class, printed name and signature of individual taking the class and approval signature from supervisor or trainer (attach the information for backfilled positions also). Examples of documents that certify completion of training are:
• Attendance sheets (signed by employee and instructor) • Sign in sheets (same as above) • Signed training certificates Summary Listing of Charges: Please use the Training Summary Sheet form provided in this claim packet that clearly shows the breakdown of the training charges per employee and that match the total claimed. This form includes the following: employee name, assignment, job title, date, salary, hours claimed, regular rate, overtime rate, employee benefits rate, claim amount per employee, clear calculations of amount claimed per employee and total (equal to the amount claimed).

Please ensure that the Training Summary Sheet is verified/approved by an authorized signatory, with printed name and title, and dated.

Backup for the Benefits Rate: If you are adding benefits to your claim, please make sure that you include the official calculation for the rate used.

Timecards: Include a printout of the corresponding timecards. Manual timecards need to indicate the # of hours charged per day to the grant, supervisor's signature, employee name and signature. Automatic system generated timecards need to be approved and include the name of the employee and hours charged per day to the grant.

Explanation of timekeeping codes: When the supporting documentation (timesheet, payroll register, etc.) includes timekeeping codes please provide a printout with the explanation of the usage as detailed as possible.

Revised on 11/20/2017

1)
k)

EXHIBIT G
Payroll register: The payroll register needs to clearly support and explain the amount claimed per employee. It also needs to show the salary, hourly rate, employee benefits and overtime rate.

Roster of backfilled positions: When you are claiming overtime for a backfilled position, please attach the backfilled roster to your claim.

The roster needs to include the name of the backfilling employees, a short description of duties performed, the corresponding employee whose duties were covered and the dates accordingly. Please make sure that the roster is signed and that you include documentation corresponding to the employee covered by the backfilling position.

For Planning Claims:
a)
b)
c)
d)
Deliverable (or final product): Please include with your claim the final product of the planning activity (deliverable) that was identified in the grant award.

Signed Certificate of Completion: The certificate of completion can be an e-mail confirming that the planning activity was completed.

Invoices: If your planning claim includes charges invoiced by vendors, please see requirements and documents you need to attach to your claim form under Section C (numeral 5 and numeral 6).

Supporting Documentation for Personnel Cost: When your planning claim includes personnel cost, please see d) to i) under Training Claim (supporting documents needed) and add to the documentation.

For Exercise Claims:
a)
b)
c)
Proof of State Approval of After Action Report (AAR): In order for your AAR to be approved you have to submit it to the State using the ODP Portal (see link below), within 90 days after completion of the exercise. You need to notify the State when the AAR is uploaded so they can proceed with the approval process.
https://hseep.dhs.gov/DHS_SSO/
Invoices: If your exercise claim includes charges invoiced by vendors please see requirements and documents you need to attach to your claim form under Section C (numeral 5 and numeral 6).

Supporting Documentation for Personnel Cost: When your exercise claim includes personnel cost, please see d) to i) under Training Claim (supporting documents needed) and add to the documentation.

For Organization Claims: Please see above b) and c) under Exercise Claims Revised on 11/20/2017

EXHIBIT G

GRANT PROPERTY AND EQUIPMENT INVENTORY LISTING
GRANT NAME:

SUB -RECIPIENT: _
DATE OF REPORT:

Grant Project AEL
Year Number No.

Description of Property
Serial # or SAFECOM Source of Department Vendor Invoice Acquisition % of FED Other ID # Consult Property (Title Holder) Name Number Date Cost Participation (Yes/No/NA) (SHSP or
EMPG Grant
Program
Location
Use & Condition
(N=New, Date Sale Price
D=Deployed,
O=Out of
Service. L=Lost.

Disposition
N:Grants/S brecipient Monitoring/Form /Propery & Equipment Inventory Listing Revised 12/2019
Zj79 40 9EZ abed

EXHIBIT G
Equipment Inventory Listing
Procedures for Completion
OBJECTIVE:

Field
(1)
(2)
(3)
(4)
(5)
(7)
(8)
(9)
(10)
(11)
(12)
(13)
(14)
(15)
(16)
(17)
(18)
(19)
(20)
(21)
To provide an equipment inventory listing that links the State Homeland Security Workbook, to the Equipment Ledger and to the Equipment Listing to simplify the tracking and accountability; and to eliminate duplication and confusion.

Date Element
Grant Name
Sub -Recipient
Date of Report
Grant Year
Project #
AEL No.

Description
Serial # or Other ID #
Safecom consult
Source of Property
Title Holder
Vendor Name
Invoice Number
Acquisition Date
Acquisition Cost
% of Fed Part
Location
Use & Condition
Disposition data
Sale Price
Procedure
SHSP or EMPG
Name of your agency
Date report completed {1}
Grant Year of funds used to purchase equipment
Project Number (from Grant Workbook Project Sheets)
Authorized Equip Listing No (from Grant Workbook)
Description of the equipment
Serial # or Other identification # used
Fill out either by Yes, No, or N/A
Funding source, Le, SHSP, EMPG, etc.

Name of agency (City/Department)
Name of the vendor
Invoice number
Date equipment acquired
Cost of the individual equipment item
Fed participation in the cost of equipment
Location of equipment
Use & condition {2}
Date of disposition
Sale price, If applicable, or N/A for not applicable
The Equipment Inventory Listing must be completed in its entirety to meet the objective of the form.

Note {1}: This date should be the date the physical inventory of equipment was taken and the results reconciled with the equipment records (at least once every two years).
{2} Indicate: N = New, D = Deployed, O = Out of Service, L = Lost & S = Stolen Distribution
Copy maintained in sub -recipient file
Copy forwarded to Shared Services Division

EXHIBIT G
Training Summary
Sheet
Grant Name
Jurisdiction Name:

Training Provider:

OHS Approved Course Title:

Non-SLGCP Course Title & OHS Tracking No.
(requires pre -approval thru OEM)
Date of Course:

Class/ Exercise Duration/Hours:

EMPLOYEE NAME
TITLE

TRAINING
REQUEST #
(for Training only).

TRAINING

START DATE

TRAINING END
DATE
SALARY
OT
_HOURS_

REG RATE
OT PAY
Are you
claiming
for
Employee
Benefits?
Employee
Benefits Rate
CLAt
TOTAL
3 5
6 7
8 9
10 GRAND TOTAL
Approved by:

Zj79 40 LEZ abed
Authorized Signature
Print Name and Title
Date

CALIFORNIA GOVERNOR'S OFFICE OF EMERGENCY SERVICES (Cal OES)

PLANNING ROSTER
Project
Planning Activity
Solution Area
Sub -Category
Discipline
Funding Source
Total Cost
Total Claimed
Cash Request
Number
Final Product
G

GRAND TOTAL
Approved by:

Authorized Signature
Zj79 40 8EZ abed
F M F W v1.09- 06/09
Print Name and Title
Date

CALIFORNIA GOVERNOR'S OFFICE OF EMERGENCY SERVICES (Cal OES) Approved by:

Authorized Signature
Zj79 40 6EZ abed
F M F W v1.09- 06/09
Print Name and Title
Date

EXHIBIT G

8. Notes on Personnel Cost:

In general, costs associated with:
• Work performed under contract for a specific deliverable DOES NOT count against the personnel cap, however,
• Work performed under contract for an undefined period, such as for personnel costs supporting operational activities, including general planning, training or exercise activities DO count against the personnel cap; and
Li Work performed by all non -contractor personnel, including for full- or part-time staff and operational overtime DO count against the personnel cap.

The following examples would not count towards the personnel cap:
• Vendor installation of a radio tower;
Li Vendor training on new equipment purchased;
• Contractor hired to create an Emergency Operations Plan; Li Contractor hired to provide deliveries of ICS 400; and • Contractor hired to assist with planning, training, evaluating, and reporting the effectiveness of a specific exercise.

The following examples would count towards the personnel cap:
• Contractor hired to be the State's WMD training instructor with no specific deliverables under contract;
• Contractor hired to facilitate unidentified number of exercises throughout the performance period;
• Contractor hired to be the part-time auditor of Homeland Security Grants throughout the year; and Li Contractor hired to be an intelligence analyst.

CALIFORNIA GOVERNOR'S OFFICE OF EMERGENCY SERVICES (Cal OES)

EXHIBIT G
Project
Employee Name
Project / Deliverable
Funding
Source
Discipline
Solution Area
Solution Area Sub
Category
Dates of Payroll
Period
Total Salary &
Benefits charged
for this Reporting
Period
Total Project
Hours
REIMB
Request #
N/A
Total Cost Charged
to Grant
CO
CD
N
0 CA
IV
F'IFW v1.15a - 2015

EXHIBIT H
Subrecipient Monitoring Instrument
Subrecipient Monitoring Instrument

PROJECT TITLE
Los Angeles County State Homeland Security Program
Monitoring Reports
A. FINANCIAL REPORTING REQUIREMENTS
Objective
To determine that the Subrecipient implemented corrective action to address findings noted in its Single Audit that is related to the Homeland Security Grant.

Verification

1. Was a Single Audit completed for Grant Year 2014-15
and 2015-16?

2. If yes, did the Subrecipient forward a copy to the
Homeland Security Grant Administrator (HSGA) by
March 30th of the year following the audit?

3. Did the Single Audit(s) identify findings related to the Homeland Security Grant? If yes, please continue.

If no, please mark N/A and continue to Section B.

4. Did the Subrecipient develop a corrective action plan that addresses the finding(s)?

5. Did the Subrecipient send a copy of a corrective action plan to the HSGA?

6. Did the Subrecipient implement the corrective action plan?
Yes No Comment

EXHIBIT H
B. TRAINING
Objective
To determine that the Training expenditures were appropriately documented and that the activities aligned with the project' s goals and objectives. If the Training activities involved employees, determine if the Subrecipient appropriately documented the Training expenditures using employee timecards, sign -in sheets, and certificates of training. If the Training activities involved using consultants or contractors, determine if the Subrecipient followed the appropriate procurement procedures to hire the consultants or contractors. Use Worksheets 1 and 3 (See Attachment E — Subrecipient Monitoring Worksheets).

Verification

1. Did the Subrecipient receive funding for Training
expenditures? If yes, then continue. If no, continue
to next section.

2. Did the Subrecipient receive prior approval from
the State either via email or other documentation
and did it include the training course name and
number?

3. If the Training expenditures relate to the use of
employees, did the Subrecipient appropriately
document the Training expenditures using employee
timecards, sign -in sheets and certificates of training?

4. If Training expenditures relate to the use of
consultants/contractors, did the Subrecipient follow
proper procurement procedures to hire the consultants
or contractors?

5. Did the Subrecipient accurately report the Training
expenditures in their accounting records?

6. For Projects with overtime expenditures for Training:
a. Did the Subrecipient maintain employee timecards
to appropriately document the overtime expenditures?
b. Did the Subrecipient accurately report the overtime
expenditures in their accounting records?
Yes No Comments

EXHIBIT H
B. TRAINING (Continued)
Verification

7. For Projects with backfill expenditures for Training:
a. Does the Subrecipient have documentation that
the backfill expenditures were approved by the
State?
b. Did the Subrecipient appropriately document the
backfill expenditures using employee timecards and
sign -in sheets?
c. Did the Subrecipient accurately report the
expenditures in their accounting records?

8. Were employee timecards utilized in Training activities signed and dated by the employee and direct supervisor?

9. Were the Training expenditures consistent with the State approved grant award and/or post award modification(s)?

10. Ensure the Subrecipient corrected areas of noncompliance that remain outstanding and were reported as findings in prior Grant Year monitoring reports submitted by HSGA:
a. If the Project prior Grant Year monitoring report
finding was resolved, explain resolution, and indicate
such in the current report as resolved.
b. If the Project prior Grant Year report finding is not resolved, indicate why it has not been resolved and
what the Subrecipient is doing to resolve the prior
year finding and indicate such in the current report.

Yes No Comments

EXHIBIT H
C. PLANNING
Objective
To determine that the Planning expenditures were appropriately documented and that the activities aligned with the project's goals and objectives. If the Planning activities involved employees, determine if the Subrecipient appropriately documented the Planning expenditures using employee timecards and sign -in sheets. If the Planning activities involved using consultants or contractors, determine if the Subrecipient followed the appropriate procurement policies. Use Worksheets 1. and 3 (See Attachment E —Subrecipient Monitoring Worksheets).

Verification

1. Did the Subrecipient receive funding for Planning
expenditures? If yes, continue. If no, continue to
next section.

2. Did the Subrecipient appropriately document the
Planning expenditures providing copies of the
support documentation that indicated the efforts
made to produce the final product and a copy of
the product produced?

3. If Planning expenditures relate to the use of employees, did the Subrecipient use employee timecards and
sign -in sheets?

4. If Planning expenditures relate to the use of
consultants/contractors, did the Subrecipient
follow proper procurement procedures to hire
the consultants or contractors?

5. Did the Subrecipient accurately report the
Planning expenditures in their accounting records?

6. For Projects with overtime expenditures for
Planning:
a. Did the Subrecipient maintain employee
timecards to appropriately document the
overtime expenditures?
Yes No Comments

EXHIBIT H
C. PLANNING (Continued)
Verification
b. Did the Subrecipient accurately report the
overtime expenditures in their accounting
records?

7. For Projects with backfill expenditures for Planning:
a. Does the Subrecipient have documentation
that the backfill expenditures were approved
by the State?
b. Did the Subrecipient appropriately document
the backfill expenditures using employee
timecards and sign -in sheets?
c. Did the Subrecipient accurately report the
backfill expenditures in their accounting
records?

8. Were the employee timecards utilized in Planning
activities signed and dated by the employee and
direct supervisor?

9. Were the Planning expenditures consistent with the
State approved grant award and/or post award
modification(s)?

10. Ensure the Subrecipient corrected area of
noncompliance that remain outstanding and were
reported as findings in prior Grant Year monitoring
reports submitted to HSGA:
a. If the project prior Grant Year monitoring report
finding was resolved, explain resolution, and
indicate such in the current report as resolved.
b. If the project prior Grant Year monitoring report
finding is not resolved, indicate why it has not been
resolved and what the Subrecipient is doing to
resolve the prior year finding and indicate such in
the current report.

Yes No Comments

EXHIBIT H
D. EQUIPMENT
Objective
To determine that the project Equipment expenditures are supported by invoices and that a listing of the Equipment/property is maintained by the Subrecipient. To determine that the purchases are aligned with the project's goals and objectives. Use Worksheets 2 and 3 (See Attachment E — Subrecipient Monitoring Worksheets).

Verification

1. Did the Subrecipient receive funding for Equipment
expenditures? If yes, continue. If no, continue to
next section.

2. Did the Subrecipient maintain invoices to support
the Equipment expenditures?

3. Did the Subrecipient follow proper procurement
procedures to purchase the Equipment and were
the items listed in the federal "Authorized
Equipment List" and/or "Standardized Equipment List"?

4. Did the Subrecipient accurately report the
Equipment expenditures in their accounting records?
Yes No Comments

5. Did the Subrecipient maintain an Equipment
inventory that listed the following:
a) Description of Equipment,
b) Serial number or other identification number,
c) AEL number,
d) Fund/source/grant year,
e) Title holder,
f) 100 percent of federal participation. If no, then identify percentage, g) Acquisition date,
h) Acquisition cost,
i) Quantity,
j) Equipment location,
k) Use and condition of Equipment,
I) Disposal date and sale price of the Equipment

6. Did the Subrecipient conduct an inventory of
Equipment purchased with Cal/0ES grant funds at
least once every two years?

EXHIBIT H
D. EQUIPMENT (Continued)
Verification

7. Was the Equipment physically inspected to ensure:
a. The Equipment existed and agreed to inventory
listing?
b. The Equipment worked and adequately trained
staff are available to operate the Equipment?

8. Did the Subrecipient maintain Equipment in a secure
location?

9. For property other than Equipment, i.e. supplies, did the Subrecipient have controls and accountability to
safeguard and ensure that the items are used and
solely for authorized purposes?

10. For Equipment disposal, if any:
a. Was the disposition consistent with federal
regulations?
b. What is the status of the proceeds received from the disposal?

11. Did the Subrecipient have a policy for damaged,
destroyed, lost or stolen Equipment including but
not limited to informing the Cal/OES, steps to replace the Equipment and an investigative process?

12. Were the Equipment expenditures consistent with
State approval grant award and/or post award
modification(s)?
Yes No Comments

13. Ensure the Subrecipient corrected areas of noncompliance that remain outstanding and were reported as findings in prior Grant Year monitoring reports maintained by HSGA:
a. If the project prior Grant Year monitoring report finding was resolved, explain resolution, and indicate such in
the current report as resolved.
b. If the project prior Grant Year monitoring report finding is not resolved, indicate why it has not been resolved
and what the Subrecipient is doing to resolve the prior year finding and indicate such in the current report.

EXHIBIT H
E. EXERCISE
Objective
To determine that the Exercise expenditures were appropriately documented and the activities align with project's goals and objectives. If the Exercise activities involved employees, determine if the Subrecipient appropriately documented the Exercise expenditures using timecards and sign -in sheets. If the Exercise activities involved using consultants or consultants, determine if the Subrecipient followed the appropriate procurement procedure. Use Worksheets 1 and 3 (See Attachment E — Subrecipient Monitoring Worksheets).

Verification

1. Did the Subrecipient receive funding for Exercise
expenditures? If yes, continue. If no, continue to
next section.

2. Did the Subrecipient receive prior approval from the State either via email or other documentation and did it include the Exercise course name and number?

3. If the Exercise expenditures relate to the use of employees, did the Subrecipient appropriately document the Exercise expenditures using employee timecards, sign -in sheets, and certificates for Exercise?

4. If the Exercise expenditures relate to the use of consultants/ contractors, did the Subrecipient follow proper procurement procedures to hire the consultants or contractors?

5. Did the Subrecipient accurately report the Exercise
expenditures in their accounting records?

6. For Projects with overtime expenditures for Exercise:
a. Did the Subrecipient maintain employee timecards
to appropriately document the overtime expenditures?
b. Did the Subrecipient accurately report the overtime
expenditures in their accounting records?
c. Did the Subrecipient accurately report the backfill
expenditures in their accounting records?

7. For Projects with backfill expenditures for Exercise:
a. Does the Subrecipient have documentation that
the backfill expenditures were approved by the State?
b. Did the Subrecipient appropriately document the
backfill expenditures using employee timecards and
sign -in sheets?
Yes No Comments

EXHIBIT H
E. EXERCISE (Continued)
Verification

8. Were the employee timecards utilized in the Exercise activities signed and dated by the employee and direct supervisor?

9. Were the Exercise expenditures consistent with the State approved grant award and/or post award modifications?

10. Ensure the Subrecipient corrected areas of noncompliance that remain outstanding and were reported as findings in prior Grant Year monitoring reports:
a. If the Project prior Grant Year monitoring report finding was resolved, explain resolution and indicate such in
the current report as resolved.

Yes No Comments
b. If the Project prior Grant Year monitoring report finding is not resolved, indicate why it has not been resolved and what the Subrecipient is doing to resolve the prior year finding and indicate such in the current report.

EXHIBIT H
F. ORGANIZATION
Objective
To determine that the Organization expenditures were appropriately documented and that the activities align with the project's goals and objectives. If the Organization activities involved employees, determine if the Subrecipient appropriately documented the Organization expenditures using employee timecards and sign -in sheets. If the Organization activities involved using consultants or contractors, determine if the Subrecipient followed the appropriate procurement policies. Use Worksheets 1. and 3 (See Attachment E — Subrecipient Monitoring Worksheets).

Verification

1. Did the Subrecipient receive funding for Organization expenditures? If so, continue. If no, continue to next section.

2. If the Organization expenditures relate to the use of employees, did the Subrecipient document the expenditures using employee timecards, sign -in sheets, or with other support documentation that substantiated the expense?

3. If the Organization expenditures relate to the use of consultants or contractors, did the Subrecipient follow proper procurement procedures to hire the consultants
or contractors?

4. Did the Subrecipient accurately report the Organization expenditures in their accounting records?

5. For Projects with overtime expenditures for Organization:
a. Did the Subrecipient maintain employee timecards to
appropriately document the overtime expenditures?
b. Did the Subrecipient accurately report the overtime
expenditures in their accounting records.?
Yes No Comments

EXHIBIT H
F. ORGANIZATION (Continued)
Verification

6. For Projects with backfill expenditures for Organization:
b. Does the Subrecipient have documentation that the
backfill expenditures were approved by the State?
c. Did the Subrecipient appropriately document the
backfill expenditures using employee timecards and
other payroll documentation?

7. Were employee timecards utilized in Organization activities signed and dated by the employee and direct supervisor?

8. Were the Organization expenditures consistent with the State approved grant award and/or post award modification(s)?

9. Ensure that the Subrecipient corrected areas of noncompliance that remain outstanding and were reported as findings in prior Grant Year monitoring reports maintained by HSGA:
a. If the Project prior Grant Year monitoring report finding was resolved, explain resolution and indicate such in the current report as resolved.
b. If the Project prior Grant Year monitoring report finding is not resolved, indicate why it has not been resolved and what the Subrecipient is doing to resolve the prior year finding and indicate such in the current report.

Yes No Comments

CITY OF BELL GARDENS

OFFICE OF THE CITY MANAGER
TO: Honorable Mayor and City Council Members
FROM: Michael B. O'Kelly, City Manager
BY: Bernardo Iniguez, Director of Public Works/Facilities SUBJECT: Consideration of a Resolution Approving a Contract Services Agreement with Precision Concrete Cutting for Sidewalk Inspection Services
MEETING DATE: January 27, 2025
RECOMMENDATION: It is staffs recommendation that the City Council:
1 Adopt the attached Resolution approving a Contract Services Agreement with Precision Concrete Cutting for Sidewalk Inspection Services for an annual not -to - exceed amount of $38,979.85; and

2. Authorize the City Manager to execute the Contract Services Agreement, subject to City Attorney approval as to form.

BACKGROUND/DISCUSSION:

The City of Bell Gardens (City) maintains approximately 85 miles of sidewalk within its boundaries. It is important that these sidewalks are inspected on a regular basis as they continue to lift, mainly from tree roots, which may result in hazardous conditions and increase the City's liability from potential trip and fall incidents. The City performs these sidewalk inspections on a biennial basis to maintain compliant pathways.

Master Agreement by JPIA
The California Joint Powers Insurance Authority (CJPIA) created a master services agreement to allow member agencies to take advantage of favorable pricing related to sidewalk inspection and maintenance. After following its own selection process, the CJPIA entered into an agreement with Precision Concrete Cutting (PCC) on February 15, 2023. As a member agency of the CJPIA, the City may utilize their master services agreement to perform sidewalk inspection services.

Procurement of Sidewalk Inspection Services

Under Section 3.04.100(E) of the Bell Gardens Municipal Code, the City's purchasing policy allows for an exception to the purchasing policy when the supplier offers the same or better price, terms and conditions as a supplier offered as the lowest responsible bidder under a competitive procurement conducted by another city or public agency. The City is a member of CJPIA and membership entitles the City to utilize their master services agreement to perform sidewalk inspection services.

Following the terms and conditions in the JPIA agreement, PCC would inspect sidewalks and provide an inspection report that includes the identification, location, and description of each problem, photographs, plotted GPS maps, and recommended action to be taken.

This includes noting the size of the hazard, in height, length, and square footage. The fee schedule is based on a cost of $386 per sidewalk mile.

Staff is recommending an award of Contract Services Agreement to PCC for an annual not -to -exceed of $38,979.85. The term of the Contract Services Agreement would be for one year with up to two additional one-year extensions. Upon completion of the inspections, City staff will make the necessary repairs to identified hazards utilizing various repair methods such as grinding, patching and/or removal and replacement.

CONCLUSION:

If approved, sidewalk inspections would begin by February 2025 and be completed by August 2025.

FISCAL IMPACT:

Funds for contracted services are included in the FY 2024-2025 budget.

APPROVED ELECTRONICALLY BY:

Michael B. O'Kelly, City Manager
Stephanie Vasquez, City Attorney
Manuel Carrillo, Director of Finance and Administrative Services

RESOLUTION NO. 2025-08

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BELL

GARDENS, CALIFORNIA, APPROVING A CONTRACT SERVICES

AGREEMENT BY AND BETWEEN THE CITY OF BELL GARDENS AND

PRECISION CONCRETE CUTTING FOR SIDEWALK INSPECTION

SERVICES
WHEREAS, the City of Bell Gardens ("City") requires inspection of sidewalks citywide to assess paths of travel and address the deterioration of aging sidewalks, expansion of roots, and ground settlement; and
WHEREAS, as part of its maintenance operations, the City completes Sidewalk Inspections on a biennial basis to identify and locate potential sidewalk hazardous conditions; and
WHEREAS, under Section 3.04.100(E) of the Bell Gardens Municipal Code, the City's purchasing policy allows for an exception when the supplier offers the same or better price, terms and conditions as a supplier offers the lowest responsible bidder under a competitive procurement conducted by another city or public agency; and WHEREAS, the City is a member of the California Joint Powers Insurance Authority ("CJPIA") and membership entitles the City to access cooperative solutions to address members' risks and implement best practices; and WHEREAS, on February 13, 2023, CJPIA entered into a Master Services Agreement ("CJPIA Agreement") with Precision Concrete Cutting on behalf of its members for sidewalk inspection and maintenance services; and WHEREAS, this CJPIA Agreement provides members with favorable pricing for sidewalk assessment and repair services, which translates to significant cost savings when compared to members seeking the services on an individual basis; and WHEREAS, the City obtained a quotation from Precision Concrete Cutting ("PCC") and staff has determined that PCC possesses the skills, experience, and expertise required to competently provided the services and tasks contemplated under the CJPIA Agreement: and
WHEREAS, the City desires to avail itself of the CJPIA Agreement to enter into a Contract Services Agreement with PCC for sidewalk inspection services for an annual not -to -exceed amount of $38,979.85 for one (1) year with the option of two (2) one-year extensions.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Bell Gardens as follows:

Resolution No. 2025-08
SECTION 1. The City Council, after consideration of the staff report and presentation, discussion, oral testimony and evidence presented to the City Council, hereby finds that the above recitals are true and correct and incorporate them herein.

SECTION 2. The City Council hereby approves a Contract Services Agreement for Sidewalk Inspection Services by and between the City and Precision Concrete Cutting, in a form approved by the City Attorney.

SECTION 3. The City Council further authorizes the City Manager to execute the Contract Services Agreement between the City and Precision Concrete Cutting, consistent with this Resolution along with any ancillary documents reasonably necessary to effectuate the intent of this Resolution.

SECTION 4. The City Clerk shall attest and certify to the passage and adoption of this Resolution and enter it into the book of original resolutions, and it shall become effective immediately upon its approval.

PASSED, APPROVED, and ADOPTED this 27th day of January, 2025.

THE CITY OF BELL GARDENS
Jorgel Chavez, Mayor
APPROVED AS TO FORM: ATTEST:

Stephanie Vasquez
City Attorney
2 of 3
Daisy Gomez
City Clerk

Resolution No. 2025-08
I, , City Clerk of the City of Bell Gardens, hereby CERTIFY that City Council Resolution No. 2025-XXwas adopted by the Bell Gardens City Council at a regular meeting of the City Council held on January 27, 2025, and was approved and passed by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

Daisy Gomez ,City Clerk
3 of 3

2025

CONTRACT SERVICES AGREEMENT
(Contractor: Precision Concrete Cutting)
(Nature of Engagement: Sidewalk Trip Hazard Inspection Services) THIS CONTRACT SERVICES AGREEMENT (hereinafter, "Agreement") is made and entered into this day of 2025 (hereinafter, the
"Effective Date") by and between the CITY OF BELL GARDENS, a municipal corporation (hereinafter, "City") and PRECISION CONCRETE CUTTING (hereinafter, "Contractor").

For the purposes of this Agreement, City and Contractor may be referred to collectively by the capitalized term "Parties." The capitalized term "Party" may refer to City or Contractor interchangeably.

RECITALS
WHEREAS, City is a municipal corporation organized under the laws of the State of California, with power to contract for services necessary to achieve its purpose; and WHEREAS, City requires sidewalk trip hazard inspection services; and WHEREAS, City is a member of the California Joint Powers Insurance Authority ("CJPIA"); and
WHEREAS, on November 22, 2019, The California Joint Powers Insurance Authority ("CJPIA") entered into a Master Services Agreement with Contractor on behalf of its member cities for sidewalk inspection and maintenance services ("CJPIA Agreement"); and
WHEREAS, per Section 3.04.100(E) (Exceptions) of Chapter 3.04 (Purchasing System) of the Bell Gardens Municipal Code (hereinafter, "Section 3.04.100"), the purchasing policy may be dispensed with when supplies, services or materials can be produced from a supplier who offers the same or better prices, terms and/or conditions as the supplier previously offered as the lowest responsible bidder under competitive procurement conducted by another city or public agency; and WHEREAS, authorized under Section 3.04.100(E) of the Bell Gardens Municipal Code but such to certain terms and conditions set forth, City wishes to avail itself of the terms of the CJPIA Agreement to enter into a Contract Services Agreement with Contractor for sidewalk trip hazard inspection services; and WHEREAS, City desires to enter into an agreement with Precision Concrete Cutting for sidewalk trip hazard inspection services upon the conditions set forth below; and
WHEREAS, the execution of this Agreement was approved by the Bell Gardens City Council at its Regular Meeting of January 27, 2025.

NOW, THEREFORE, for and in consideration of the mutual covenants and conditions herein contained, City and Contractor agree as follows:
1

SECTION 1. SCOPE OF WORK.

A. Subject to the terms and conditions of this Agreement, Contractor agrees to provide City with sidewalk trip hazard inspection services. The various tasks and related services to be performed by Contractor in the written proposal of Contractor entitled "Sidewalk Trip Hazard Inspection Requests" dated January 23, 2024 (hereinafter, the "Contractor Proposal"). The Contractor Proposal is attached and incorporated hereto as Exhibit "A". For purposes of this Agreement, the capitalized term "Work" shall refer to the services in the CJPIA Agreement. The prices charged by Contractor to City for the Work listed in the Contractor Proposal shall be no greater than the prices charged to the CJPIA under the CJPIA Agreement. Except as otherwise provided herein the Work shall in all respects meet the specifications for identical services set forth under the CJPIA Agreement.

A true and correct copy of the CJPIA Agreement is attached and incorporated hereto as Exhibit "B".

B. Contractor shall provide all labor, materials, tools, supplies, equipment, services, tasks and incidental and customary work necessary to competently perform and timely complete the Work. Contractor shall perform the Work in accordance with the terms and conditions of this Agreement and in accordance with such other written or verbal directives as may be issued by City.

C. By executing this Agreement, Contractor warrants that Contractor: (i) has thoroughly investigated and considered the nature of the work, services and tasks to be performed under this Agreement; (ii) has carefully considered how the Work should be performed; and (iii) fully understands the facilities, difficulties, and restrictions attending performance of the services under this Agreement.

Contractor warrants that it will inspect any location where the Work is to be performed and acquaint itself with the conditions of the location prior to commencing any of the Work requested by City. Should the Contractor discover any latent or unknown conditions which will materially affect the performance of the services hereunder, Contractor shall immediately inform the City of such fact and shall not proceed, except at Contractor's risk until written instructions are received from the City Representative as defined herein.

D. In the event Contractor ceases to perform the Work agreed to under this Agreement or otherwise abandons any undertaking contemplated herein prior to completion and acceptance of the Work, Contractor shall deliver to City immediately and without delay, all materials, records and other work product prepared or obtained by Contractor in the performance of this Agreement.

Furthermore, Contractor shall only be compensated for the reasonable value of the services, tasks and other work performed up to the time of cessation or abandonment, less a deduction for any damages, costs or additional expenses which City may incur as a result of Contractor's cessation or abandonment.

SECTION 2. TERM.

A. This Agreement shall have a term of one (1) year commencing from the Effective Date (hereinafter, the "Term"). The Term of the Agreement may be extended by 2

the City subject to its same terms and conditions for a maximum of two (2) one- year extensions, provided the City Manager issues written notice of its intent to extend the Term of the Agreement prior to the expiration of the initial Term.

B. Nothing in this Section shall operate to prohibit or otherwise restrict the City's ability to terminate this Agreement at any time for convenience or for cause.

C. Contractor shall perform the Work continuously and with due diligence. Contractor shall cooperate with City and in no manner interfere with the Work of City, its employees or other consultants, contractors or agents.

D. Contractor shall not claim or be entitled to receive any compensation or damage because of the failure of Contractor, or its subcontractors, to have related services or tasks completed in a timely manner.

E. Contractor shall at all times enforce strict discipline and good order among Contractor's employees.

F. Contractor, at its sole expense, shall pay all sales, consumer, use or other similar taxes required by law.

SECTION 3. PROSECUTION OF WORK.

A. Contractor shall perform the Work contemplated under this Agreement on an as - needed, as requested basis. Nothing in this Agreement shall be construed to grant Contractor the exclusive right to perform any of the types of services or tasks contemplated under this Agreement nor shall anything in this Agreement be construed to entitle Contractor to the receipt of any sums under this Agreement, except to the extent City requests the performance of any Work in the manner described below and such Work is in fact performed and completed by Contractor and accepted by City. City requests for the performance of specific services or tasks contemplated under this Agreement shall be made in the form of a written work order(s) issued by the City Representative (each such written request hereinafter referred to as a "Work Order"). Each Work Order shall include the following information:

1. A detailed description of the specific services or tasks requested;

2. The location of where the particular services or tasks are to be performed, if applicable;

3. A not -to -exceed budget for performing the services or tasks;

4. A timeline for completing the requested services or tasks;

5. Any other information City deems necessary and relevant to the requested services or tasks; and

6. The signature of the City Representative, confirming that the services or tasks have been authorized by the City Representative.

B. Contractor shall perform no Work under this Agreement without a written request from the City Representative, containing the information set forth in Section 3(A), above.
3

C. Time is of the essence in the performance of Work under this Agreement, and in the absence of a specific schedule or other instructions from the City Representative, Contractor shall begin and complete performance of the Work to completion in a timely and a diligently manner as possible.

SECTION 4. COMPENSATION.

A. Contractor shall perform all the Work in accordance with the rates set forth in the Contractor Proposal.

B. Contractor's total compensation during the Term of this Agreement shall not exceed the annual aggregate sum of THIRTY-EIGHT THOUSAND NINE HUNDRED SEVENTY-NINE DOLLARS AND EIGHTY-FIVE CENTS ($38,979.85) (hereinafter, the "Annual Not -to -Exceed Sum"). Contractor further agrees that the Annual Not -to -Exceed Sum is inclusive of compensation for all labor, materials, tools, supplies, equipment, services, tasks and incidental and customary work necessary to competently perform and timely complete the Work. Contractor shall have no right or entitlement to any overage contingency sums authorized by the City Council, unless the City Representative authorizes the expenditure of such overage contingency funds in writing in the City Representative's sole and absolute discretion.

C. The Annual Not -to -Exceed Sum will be paid to Contractor in monthly increments as the Work is completed. Following the conclusion of each calendar month, Contractor will submit to City an itemized invoice indicating the work performed and the tasks completed during the recently concluded calendar month, including the Work and tasks performed and the reimbursable out-of-pocket expenses incurred. If the amount of Contractor's compensation includes hours worked by Contractor's personnel, the invoice shall indicate the number of hours worked in connection with the specific service or task requested, the persons responsible for performing the Work, the rate of compensation at which such services and tasks were performed, the subtotal for each task and service performed and a grand total for all services performed. Within thirty (30) calendar days of receipt of each invoice, City shall notify Contractor in writing of any disputed amounts included in the invoice. Within forty-five (45) calendar days of receipt of each invoice, City shall pay all undisputed amounts included on the invoice. City shall not withhold applicable taxes or other authorized deductions from payments made to Contractor.

SECTION 5. STANDARD OF CARE.

A. Contractor represents, acknowledges and agrees as follows:

1. Contractor shall perform all work skillfully, competently and to the highest standards applicable to the Contractor's field;

2. Contractor represents all personnel assigned to perform the Work for City under this Agreement shall possess the skill, training, and experience necessary to competently perform the Work and shall at all times possess and maintain all licenses, certifications and/or qualifications necessary to perform 4

the Work;

3. Contractor shall perform all work in a manner reasonably satisfactory to the City;

4. Contractor shall comply with all applicable federal, state and local laws and regulations, including the conflict of interest provisions of Government Code Section 1090 and the Political Reform Act (Government Code Section 81000 et seq.). Contractor's compliance with applicable laws will include, without limitation, compliance with all applicable Cal/OSHA requirements and applicable regulations of the Federal Department of Housing and Urbanization;

5. Contractor understands the nature and scope of the Work to be performed under this Agreement as well as any and all schedules of performance;

6. In the performance of this Agreement, Contractor shall supply and deploy personnel, equipment, tools, and materials necessary, in the reasonable opinion of City, to perform all Work in compliance with the standard of care set forth in this Section and to time complete all Work as specified by the Scope of Work or other written order;

7. All of Contractor's employees and agents (including but not limited to Contractor's subcontractors and subconsultants) possess all licenses, permits, certificates, qualifications and approvals of whatever nature that are legally required to perform the tasks and services contemplated under this Agreement and all such licenses, permits, certificates, qualifications and approvals shall be maintained throughout the term of this Agreement; and

8. Contractor shall perform, at Contractor's sole cost and expense, any tasks necessary to correct any errors or omissions caused by Contractor's failure to comply with the standard of care set forth in this Section or by any like failure on the part of Contractor's employees, agents, contractors, subcontractors and subconsultants. Such effort by Contractor to correct any errors or omissions shall be commenced immediately upon their discovery by either Party and shall be completed within seven (7) calendar days from the date of discovery or such other extended period of time authorized by the City Representative in writing in the City Representative's sole and absolute discretion.

B. The Parties acknowledge and agree that Contractor shall perform, at Contractor's own cost and expense and without any reimbursement from City, any services or tasks necessary to correct any errors or omissions caused by Contractor's failure to comply with the standard of care set forth under this Section or by any like failure on the part of Contractor's employees, agents, contractors, subcontractors and subconsultants. Such effort by Contractor to correct any errors or omissions shall be commenced immediately upon their discovery by either Party and shall be completed within seven (7) calendars days from the date of discovery or such other extended period of time authorized by the City Representative in writing and absolute discretion. The Parties acknowledge and agree that Contractor's acceptance of any work performed by Contractor or on Contractor's behalf shall not constitute a release of any deficiency or delay in performance. The Parties 5

further acknowledge, understand and agree that Contractor has relied upon the foregoing representations of Contractor, including but not limited to the representation that Contractor possesses the skills, training, knowledge and experience necessary to perform the Work in a skillful and competent manner equivalent to, the standard of performance generally recognized as being employed by professionals performing the same type of work and services in the State of California.

SECTION 6. REPRESENTATIVES.

A. City Representative. For the purposes of this Agreement, the contract administrator and City's representative shall be Bernardo Iniguez, Director of Public Works/Utilities (hereinafter, the "City Representative"). It shall be Contractor's responsibility to assure that the City Representative is kept informed of the progress of the performance of the services, and Contractor shall refer any decisions which must be made by City to the City Representative. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the City Representative.

B. Contractor Representative. For the purposes of this Agreement, Tyler Durna, Sales Manager, is hereby designated as the principal and representative of Contractor authorized to act on its behalf with respect to Contractor's performance under this Agreement and to make all decisions in connection therewith (hereinafter, the "Contractor Representative"). Notice to the Contractor Representative whether written or verbal shall constitute notice to Contractor. The Contractor's Representative shall supervise and direct the Work, using their best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

SECTION 7. CONTRACTOR'S PERSONNEL.

A. Contractor represents that it has, or will secure at its own expense, all personnel required to perform the Work and all other services and tasks necessary for Contractor to competently and timely complete the improvements contemplated under this Agreement. All Work, services and tasks will be performed under Contractor's supervision, and Contractor's personnel engaged in the performance of the work, services and tasks contemplated under this Agreement shall possess the qualifications, permits and licenses required by applicable law to perform such work, services and tasks.

B. Contractor shall obtain at its sole cost and expense such licenses, permits, and approvals as may be required by law for the performance of the Work. Contractor shall have the sole obligation to pay for any fees, assessments and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the Contractor's performance of the Work, and shall indemnify, defend and hold harmless City against any such fees, assessments, taxes, penalties, or interest levied, assessed, or imposed against City hereunder.

C. Contractor shall be solely responsible for the satisfactory work performance of all 6

personnel engaged in performing the Work.

In the event that City, in its sole reasonable discretion, at any time during the term of this Agreement, desires the removal of any person or persons assigned by Contractor to perform services pursuant to this Agreement, Contractor shall remove any such person immediately upon receiving notice from City of the desire of City for the removal of such person or persons.

E. Contractor shall be responsible for payment of all employees' and subconsultants' wages and benefits and shall comply with all requirements pertaining to employer's liability, workers' compensation, unemployment insurance, and Social Security.

F. Contractor shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the performance of the Work contemplated under this Agreement.

SECTION 8. SUBSTITUTION OF KEY PERSONNEL. Contractor has represented to City that certain key personnel will perform and coordinate the Work under this Agreement. Should one or more of such personnel become unavailable, Contractor may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Contractor cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Work in a manner acceptable to the City, or who are determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Contractor at the request of the City.

SECTION 9. PREVAILING WAGES AND GENERAL LABOR COMPLIANCE AND REPORTING.

A. Contractor and any subcontractor performing or contracting any portion of the Work shall comply with all applicable provisions of the California Labor Code for all workers, laborers and mechanics of all crafts, classifications or types, including, but necessarily limited to the following:

1. In accordance with California Labor Code Section 1810, eight (8) hours of labor in performance of the Work shall constitute a legal day's work under this Contract. Contractor and any subcontractor shall pay workers overtime pay (not less than 1 1/2 times the base rate of pay) as required by California Labor Code Section 1815. Contractor and any subcontractor shall, as a penalty to the City, forfeit twenty-five dollars ($25) for each worker employed in the execution of the contract by the respective contractor or subcontractor for each calendar day during which the worker is required or permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar week in violation to the provisions of Article 3 of Chapter 1 of Part 7, Division 2 of the California Labor Code, which is incorporated by this reference as though fully set forth herein.

2. Pursuant to the provisions of California Labor Code, Sections 1770 et. seq., 7

Contractor and any subcontractor under Contractor shall pay not less than the prevailing rate of per diem wages as determined by the Director of the California Department of Industrial Relations. Pursuant to the provisions of California Labor Code Section 1773.2, Contractor is hereby advised that copies of the prevailing rate of per diem wages and a general prevailing rate for holidays, Saturdays and Sundays and overtime work in the locality in which the work is to be performed for each craft, classification, or type of worker required to execute the Contract, are on file at the Public Works Yard, which copies shall be made available to any interested party on request. Contractor shall post a copy of said prevailing rate of per diem wages at each job site.

B. As required by Section 1773.1 of the California Labor Code, Contractor shall pay travel and subsistence payments to each worker needed to execute the Work, as such travel and subsistence payments are defined in the applicable collective bargaining agreements filed in accordance with this Section.

C. To establish such travel and subsistence payments, the representative of any craft, classification, or type of workman needed to execute the contracts shall file with the Department of Industrial Relations fully executed copies of collective bargaining agreements for the particular craft, classification or type of work involved. Such agreements shall be filed within ten (10) days after their execution and thereafter shall establish such travel and payments.

D. Contractor shall comply with the provisions of Section 1775 of the California Labor Code and shall, as a penalty to City, forfeit up to fifty dollars ($50) for each calendar day, or portion thereof, for each worker paid less than the prevailing rate of per diem wages for each craft, classification, or type of worker needed to execute the contract. Contractor shall pay each worker an amount equal to the difference between the prevailing wage rates and the amount paid worker for each calendar day or portion thereof for which a worker was paid less than the prevailing wage rate. Contractor is required to pay all applicable penalties and back wages in the event of violation of prevailing wage law, and Contractor and any subcontractor shall fully comply with California Labor Code Section 1775, which is incorporated by this reference as though fully set forth herein.

E. Contractor and any subcontractor shall maintain and make available for inspection payroll records as required by Labor Code Section 1776, which is incorporated by this reference as though fully set forth herein. Contractor is responsible for ensuring compliance with Labor Code Section 1776 and shall keep accurate payroll records containing all such information as maybe called for under Labor Code Section 1776 and other applicable provisions of State law.

Contractor and any subcontractors shall, when they employ any person in any apprenticeable craft or trade, apply to the joint apprenticeship committee administering the apprenticeship standards of the craft or trade in the area of the work site for a certificate approving Contractor or subcontractor under the apprenticeship standards for the employment and training of apprentices in the area or industry affected; and shall comply with all other requirements of Section 1777.5 of the California Labor Code, which is incorporated by this reference as though fully set forth herein. The responsibility of compliance with California Labor 8

Code Section 1777.5 during the performance of this contract rests with Contractor.

Pursuant to California Labor Code Section 1777.7, in the event Contractor knowingly fails to comply with the provisions of California Labor Code Section 1777.5, civil penalties will be assessed. Contractor shall also be subject to California Labor Code Section 1777.1.

G. In accordance with the provisions of Article 5, Chapter 1, Part 7, Division 2 (commencing with Section 1860), and Chapter 4, Part 1, Division 4 (commencing with Section 3700) of the California Labor Code, Contractor is required to secure the payment of compensation to its employees and for that purpose obtain and keep in effect adequate Workers' Compensation Insurance and Employers Liability Insurance. If Contractor, in the sole discretion of the City satisfies the City of the responsibility and capacity under the applicable Workers' Compensation Laws, if any, to act as self -insurer, Contractor may so act, and in such case, the insurance required by this paragraph need not be provided. Contractor is advised of the provisions of Section 3700 of the California Labor Code, which requires every employer to be insured against liability for Workers' Compensation or to undertake self-insurance in accordance with the provisions of that Code and shall comply with such provisions and have Employer's General Liability limits of $1,000,000 per accident before commencing the performance of the Work of this Contract.

The Notice to Proceed with the Work under this Contract will not be issued, and Contractor shall not commence the Work, until Contractor submits written evidence that it has obtained full Workers' Compensation Insurance coverage for all persons whom it employs or may employ in carrying out the Work under this Contract. This insurance shall be in accordance with the requirements of the most current and applicable state Workers' Compensation Insurance Laws. In accordance with the provisions of Section 1861 of the California Labor Code, Contractor in signing this Contract certifies to the City as true the following statement: "I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for Workers' Compensation or to undertake self-insurance in accordance with the provisions of that Code, and I will comply with such provisions before commencing the performance of the Work of this contract." A subcontractor is not allowed to commence the Work on the project until verification of Workers' Compensation Insurance coverage has been obtained and verified by Contractor and submitted to the Public Work's Director for the City's review and records.

In accordance with the provisions of Section 1727 of the California Labor Code, the City, before making payment to Contractor of money due under a contract for public work, shall withhold and retain therefrom all amounts required to satisfy any civil wage and penalty assessment issued by the Labor Commissioner, along with the terms of Chapter 1, Part 7, Division 2 of the California Labor Code (commencing with Section 1720). But no sum shall be withheld, retained or forfeited, except from the final payment, without a full investigation by either the Division of Labor Standards Enforcement or by the City.

SECTION 10. PROHIBITED INTERESTS. Contractor warrants, represents and maintains that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor, to solicit or secure this Agreement.

Further, Contractor warrants and represents that it has not paid nor has it agreed to pay 9

any company or person, other than a bona fide employee working solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the absolute and unfettered right to rescind this Agreement without liability or penalty. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

SECTION 11. INDEPENDENT CONTRACTOR.

A. All acts of Contractor, its agents, officers, subcontractors and employees and all others acting on behalf of Contractor relating to the performance of this Agreement, shall be performed as independent contractors and not as agents, officers, or employees of City. Contractor, by virtue of this Agreement, has no authority to bind or incur any obligation on behalf of City. Contractor has no authority or responsibility to exercise any rights or power vested in City. No agent, officer, or employee of City is to be considered an employee of Contractor. It is understood by both Contractor and City that this Agreement shall not, under any circumstances, be construed or considered to create an employer -employee relationship or a joint venture.

B. Contractor, its agents, officers, subcontractors and employees are and, at all times during the Term of this Agreement, shall represent and conduct themselves as independent contractors and not as employees of City.

C. Contractor shall determine the method, details and means of performing the Work.

Contractor shall be responsible to City only for the requirements and results specified in this Agreement and, except as expressly provided in this Agreement, shall not be subjected to City's control with respect to the physical action or activities of the Contractor in fulfillment of this Agreement. Contractor has control over the manner and means of performing the services under this Agreement.

Contractor is permitted to provide services to others during the same period as it provides services to City under this Agreement. If necessary, Contractor has the responsibility for employing other persons or firms to assist Contractor in fulfilling the terms and obligations under this Agreement.

If in the performance of this Agreement any third persons are employed by Contractor, such persons shall be entirely and exclusively under the direction, supervision, and control of Contractor. All terms of employment including hours, wages, working conditions, discipline, hiring, and discharging or any other term of employment or requirement of law shall be determined by the Contractor.

E. It is understood and agreed that as an independent contractor and not an employee of City neither the Contractor nor Contractor's assigned personnel shall have any entitlement as a City employee, right to act on behalf of City in any capacity whatsoever as an agent, or to bind City to any obligation whatsoever.

F As an independent contractor, Contractor hereby indemnifies and holds City harmless from any and all claims that may be made against City based upon any 10

contention by any third party that an employer -employee relationship exists by reason of this Agreement.

SECTION 12. CONFLICTS OF INTEREST. Contractor hereby warrants for itself, its employees, and subcontractors that those persons presently have no interest and shall not obtain any interest, direct or indirect, which would conflict in any manner with the performance of the services contemplated by this Agreement. No person having such conflicting interest shall be employed by or associated with Contractor in connection with this project. Contractor hereby warrants for itself, its employees, and subcontractors that no such person shall engage in any conduct which would constitute a conflict of interest under any City ordinance, state law or federal statute. Contractor agrees that a clause substantially similar to this Section shall be incorporated into any sub -contract that Contractor executes in connection with the performance of this Agreement.

SECTION 13. NON-DISCRIMINATION. During the performance of this Agreement, Contractor and its subcontractors shall not unlawfully discriminate against any employee or applicant for employment because of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, gender, gender identity, gender expression, age, sexual orientation, reproductive health decision making or military and veteran status. Contractor and subcontractors shall ensure that the evaluation and treatment of their employees and applicants for employment are free of such discrimination. Contractor and subcontractors shall comply with the provisions of the Fair Employment and Housing Act (Gov. Code, Section 12900 et seq.). The applicable regulations of the Fair Employment and Housing Act, set forth in Part 2.8, Division 3, of Title 2 of the Government Code are incorporated into this Contract by reference and made a part hereof as if set forth in full. Contractor and its subcontractors shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other agreement. This Contractor shall include the nondiscrimination and compliance provisions of this clause in all subcontracts to perform the Work under this Agreement.

SECTION. 14. INDEMNIFICATION.

A. To the fullest extent permitted by law, Contractor hereby agrees, at its sole cost and expense, to defend, protect, indemnify, and hold harmless City and City's elected and appointed officials, officers, attorneys, agents, employees, volunteers, successors, and assigns (collectively "Indemnitees") from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, expenses, judgments, penalties, liens, and losses of any nature whatsoever, including fees of accountants, attorneys, or other professionals and all costs associated therewith (collectively "Liabilities"), arising or claimed to arise, directly or indirectly, out of, in connection with, resulting from, or related to any act, failure to act, error, or omission of Contractor or any of Contractor's officers, agents, servants, employees, subcontractors, materialmen, suppliers or their officers, agents, servants or employees, arising or claimed to arise, directly or indirectly, out of, in connection with, resulting from, or related to this Agreement and the performance or failure to perform any term, provision, covenant, or condition of the Agreement, including this indemnity provision. This indemnity provision is effective regardless of any prior, concurrent, or subsequent active or passive negligence by Contractor and shall operate to fully indemnify Indemnitees 11

against any such negligence. This indemnity provision shall survive the termination of the Agreement and is in addition to any other rights or remedies which Indemnitees may have under the law or elsewhere under this Agreement.

Payment is not required as a condition precedent to an Indemnitee's right to recover under this indemnity provision, and an entry of judgment against any one or more of the Indemnitees shall be conclusive in favor of the Indemnitees' right to recover under this indemnity provision. Contractor shall pay Indemnitees for any attorney's fees and costs incurred in enforcing this indemnification provision.

Notwithstanding the foregoing, nothing in this instrument shall be construed to encompass (a) Indemnitees' sole negligence or willful misconduct to the limited extent that the underlying Agreement is subject to Civil Code § 2782(a), or (b) the contracting public agency's active negligence to the limited extent that the underlying Agreement is subject to Civil Code § 2782(b). This indemnity is effective without reference to the existence or applicability of any insurance coverage(s) which may have been required under the Agreement or any additional insured endorsements which may extend to Indemnitees. Accountants, attorneys, or other professionals employed by Indemnitor to defend Indemnitees shall be selected by Indemnitees. Contractor, on behalf of itself and all parties claiming under or through it, hereby waives all rights of subrogation and contribution against the Indemnitees, while acting within the scope of their duties, from all claims, losses and liabilities arising out of or incident to activities or operations performed by or on behalf of the Indemnitor regardless of any prior, concurrent, or subsequent active or passive negligence by the Indemnitees.

B. Contractor's obligations under this or any other provision of this Agreement will not be limited by the provisions of any workers compensation act or similar act.

Contractor expressly waives its statutory immunity under such statutes or laws as to the Indemnities.

C. Contractor agrees to obtain executed indemnity agreements with provisions identical to those in this Section from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Contractor in the performance of this Agreement. In the event Contractor fails to obtain such indemnity obligations for the benefit of City, Contractor agrees to be fully responsible and indemnify, hold harmless and defend City, its officers, agents, employees and volunteers from and against any and all claims and losses, costs or expenses for any damage due to death or injury to any person and injury to any property resulting from any alleged, intentional, reckless, negligent or otherwise wrongful acts, errors or omissions of Contractor or any of its officers, employees, servants, agents, subcontractors, volunteers or any other person or entity involved by, for, with or on behalf of Contractor in the performance of this Agreement. Such costs and expenses shall include reasonable attorneys' fees incurred by counsel of City's choice.

D. City does not, and shall not; waive any rights that it may possess against Contractor because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement. This hold harmless and indemnification provision shall apply regardless of whether or not any insurance policies are determined to be applicable to the claim, demand, damage, liability, loss, cost or expense. Contractor agrees that Contractor's 12

covenant under this Section shall survive the termination of this Agreement.

E. Contractor shall fully comply with the workers' compensation laws regarding Contractor and Contractor's employees. Contractor further agrees to indemnify and hold City harmless from any failure of Contractor to comply with applicable workers' compensation laws. City shall have the right to offset against the amount of any fees due to Contractor under this Agreement any amount due to City from Contractor as a result of Contractor's failure to promptly pay to City any reimbursement or indemnification arising under this Section.

SECTION 15. INSURANCE.

A. Contractor shall at all times during the term of this Agreement carry, maintain, and keep in full force and effect, insurance as follows:

1. Commercial General Liability Insurance with minimum limits of One Million Dollars ($1,000,000) for each occurrence and in the aggregate for any personal injury, death, loss or damage.

2. Automobile Liability Insurance for any owned, non -owned or hired vehicle used in connection with the performance of this Agreement with minimum limits of One Million Dollars ($1,000,000) per accident for bodily injury and property damage.

3. Worker's Compensation insurance as required by the State of California.

B. Contractor shall require each of its sub -consultants or sub -contractors to maintain insurance coverage that meets all of the requirements of this Agreement.

C. The policies required by this Agreement shall be issued by an insurer admitted in the State of California and with a rating of at least A:VII in the latest edition of Best's Insurance Guide.

Contractor agrees that if it does not keep the insurance required in this Agreement in full force and effect, City may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, City may take out the necessary insurance and pay, at Contractor's expense, the premium thereon.

E. Prior to commencement of Work under this Agreement, Contractor shall file with City's Risk Manager a certificate or certificates of insurance showing that the insurance policies are in effect and satisfy the required amounts and specifications required pursuant to this Agreement.

F. Contractor shall provide proof that policies of insurance expiring during the Term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Such proof will be furnished at least two weeks prior to the expiration of the coverages.

G. The general liability and automobile policies of insurance shall contain an endorsement naming City, its elected officials, officers, agents, employees, 13

attorneys, servants, volunteers, successors and assigns as additional insureds.

All of the policies shall contain an endorsement providing that the policies cannot be canceled or reduced except on thirty (30) days' prior written notice to City.

Contractor agrees to require its insurer to modify the certificates of insurance to delete any exculpatory wording stating that failure of the insurer to mail written notice of cancellation imposes no obligation, and to delete the word "endeavor" with regard to any notice provisions.

All policies of Commercial General Liability and Automobile Liability insurance shall be primary and any other insurance, deductible, or self-insurance maintained by the City, its officials, officers, employees, agents, or volunteers shall not contribute with this primary insurance. Policies shall contain or be endorsed to contain such provisions.

All insurance coverage provided pursuant to this Agreement shall not prohibit Contractor, and Contractor's employees, agents, subcontractors, or volunteers from waiving the right of subrogation prior to a loss. Contractor hereby waives all rights of subrogation against City, its officials, officers, employees, agents and volunteers.

Any deductibles or self -insured retentions must be approved by City. At the option of City, Contractor shall either reduce or eliminate the deductibles or self -insured retentions with respect to City, or Contractor shall procure a bond guaranteeing payment of losses and expenses.

K. If Contractor is a Limited Liability Company, general liability coverage must be amended so that the Limited Liability Company and its managers, affiliates, employees, agents, and other persons necessary or incidental to its operation are insureds.

Procurement of insurance by Contractor shall not be construed as a limitation of Contractor's liability or as full performance of Contractor's duties to indemnify, hold harmless and defend under Section 15 of this Agreement.

M. In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced immediately so as to avoid a lapse in the required coverage, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Contractor or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Agreement effective upon notice.

N. City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

SECTION 16. RECORDS AND INSPECTION. Contractor shall keep, and require subcontractors to keep, such books and records as shall be necessary to document the performance of the Work and enable the City to evaluate the performance of the Work.

The Contract Officer shall have full and free access to such books and records at all times 14

during normal business hours of City, including the right to inspect, copy, audit, and make records and transcripts from such records. Such records shall be maintained for a period of four (4) years following completion of the services hereunder, and the City shall have access to such records in the event any audit is required.

SECTION 17. TERMINATION.

A. Termination for Convenience. City may immediately terminate this Agreement for convenience, without cause and without penalty or liability at any time upon the issuance of written notice to Contractor specifying the effective date of such termination. Such termination for convenience shall be made in writing signed by the City Manager. Contractor may only terminate this Agreement for cause.

B. Termination for Cause. In the event either Party fails to perform any duty, obligation, service or task set forth under this Agreement (or fails to timely perform or properly perform any such duty, obligation, service or task set forth under this Agreement), an event of default (hereinafter, "Event of Default") shall occur. For all Events of Default, the Party alleging an Event of Default shall give written notice to the defaulting Party (hereinafter referred to as a "Default Notice") which shall specify: (i) the nature of the Event of Default; (ii) the action required to cure the Event of Default; (iii) a date by which the Event of Default shall be cured, which shall not be less than the applicable cure period set forth in this Section or if a cure is not reasonably possible within the applicable cure period, to begin such cure and diligently prosecute such cure to completion. The Event of Default shall constitute a breach of this Agreement if the defaulting Party fails to cure the Event of Default within the applicable cure period or any extended cure period allowed under this Agreement. An Event of Default shall include, but shall not be limited to the following: (i) Contractor's failure to fulfill or perform its obligations under this Agreement within the specified time or if no time is specified, within a reasonable time; (ii) Contractor's and/or its employees' disregard or violation of any federal, state, local law, rule, procedure or regulation; (iii) the initiation of proceedings under any bankruptcy, insolvency, receivership, reorganization, or similar legislation as relates to Contractor, whether voluntary of involuntary; (iv) Contractor's refusal or failure to perform or observe any covenant, condition, obligation or provision of this Agreement; and/or (v) City's discovery that a statement representation or warranty by Contractor relating to this Agreement is false or erroneous in any material respect, including any statement, representation or warranty set forth in the Equipment Specifications.

1. Contractor shall cure the following Event of Default within the following time periods:

Within three (3) business days of City's issuance of a Default Notice for any failure of Contractor to timely provide City or City's employees or agents with any information and/or written reports, documentation or work product which Contractor is obligated to provide to City or City's employees or agents under this Agreement. Prior to the expiration of the 3 -day cure period, Contractor may submit a written request for additional time to cure the Event of Default upon a showing that Contractor has commenced efforts to cure the Event of Default and that 15

the Event of Default cannot be reasonably cured within the 3 -day cure period. The foregoing notwithstanding, City shall be under no obligation to grant additional time for the cure of an Event of Default under this subsection that exceeds seven (7) calendar days from the end of the initial 3 -day cure period; or
ii. Within thirty (30) calendar days of City's issuance of a Default Notice for any other Event of Default under this Agreement. Prior to the expiration of the 30 -day cure period, Contractor may submit a written request for additional time to cure the Event of Default upon a showing that Contractor has commenced efforts to cure the Event of Default and that the Event of Default cannot be reasonably cured within the 30 -day cure period. The foregoing notwithstanding, City shall be under no obligation to grant additional time for the cure of an Event of Default under this subsection that exceeds thirty (30) calendar days from the end of the initial 30 -day cure period.

If an Event of Default relates to a material falsehood or misrepresentation set forth in Exhibit "A" that is not susceptible to a cure, City in its sole and absolute discretion may elect to treat the falsehood or misrepresentation as a breach of this Agreement or waive the falsehood or misrepresentation. The foregoing notwithstanding, the prior waiver of a falsehood or misrepresentation as an Event of Default shall not operate as a waiver or any other falsehood or misrepresentation later discovered by City.

2. Except as otherwise specified in this Agreement, City shall cure any Event of Default asserted by Contractor within thirty (30) calendar days of Contractor's issuance of a Default Notice, unless the Event of Default cannot reasonably be cured within the 30 -day cure period. Prior to the expiration of the 30 -day cure period, City may submit a written request for additional time to cure the Event of Default upon a showing that City has commenced its efforts to cure the Event of Default and that the Event of Default cannot be reasonably cured within the 30 -day cure period. The foregoing notwithstanding, an Event of Default dealing with City's failure to timely pay any undisputed sums to Contractor shall be cured by City within five (5) calendar days from the date of Contractor's Default Notice to City.

3. City, in its sole and absolute discretion, may also immediately suspend Contractor's performance under this Agreement (or the performance of any specific task or function performed by Contractor under this Agreement) pending Contractor's cure of any Event of Default by giving Contractor written notice of City's intent to suspend Contractor's performance (hereinafter, a "Suspension Notice"). City may issue the Suspension Notice at any time upon the occurrence of an Event of Default. Upon such suspension, Contractor shall be compensated only for those services and tasks which have been rendered by Contractor to the reasonable satisfaction of City up to the effective date of the suspension. No actual or asserted breach of this Agreement on the part of City shall operate to prohibit or otherwise restrict City's ability to suspend this Agreement as provided herein.
16

4. No waiver of any Event of Default or breach under this Agreement shall constitute a waiver of any other or subsequent Event of Default or breach. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.

5. The duties and obligations imposed under this Agreement and the rights and remedies available hereunder shall be in addition to and not a limitation of any duties, obligations, rights and remedies otherwise imposed or available by law.

In addition to any other remedies available to City at law or under this Agreement in the event of any breach of this Agreement, City, in its sole and absolute discretion, may also pursue any one or more of the following remedies:

I. Upon written notice to Contractor, the City may immediately terminate this Agreement in whole or in part;
ii. Upon written notice to Contractor, the City may extend the time of performance;
iii. The City may proceed by appropriate court action to enforce the terms of the Agreement to recover damages for Contractor's breach of the Agreement or to terminate the Agreement; or
iv. The City may exercise any other available and lawful right or remedy.

Contractor shall be liable for all legal fees plus other costs and expenses that City incurs upon a breach of this Agreement or in the City's exercise of its remedies under this Agreement.

6. In the event City is in breach of this Agreement, Contractor's sole remedy shall be the suspension or termination of this Agreement and/or the recovery of any unpaid sums lawfully owed to Contractor under this Agreement for completed services and tasks. In no event shall Contractor be entitled to receive more than the amount that would be paid to Contractor for the full performance of the services required by this Agreement.

7. No waiver of any default or breach under this Agreement shall constitute a waiver of any other default or breach, whether of the same or other covenant, warranty, agreement, term, condition, duty or requirement contained in this Agreement. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.

SECTION 18. FORCE MAJEURE. The Term shall be extended in the event of any delays due to unforeseeable causes beyond the control of Contractor and without the fault or negligence of Contractor, including but not limited to severe weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/or acts of any governmental agency, including the City, if the Contractor shall within three (3) calendar days of the commencement of such delay notify the City 17

Representative in writing of the causes of the delay. The City Representative shall ascertain the facts and the extent of delay, and extend the time for performing the services for the period of the enforced delay when and if in the judgment of the City Representative such delay is justified. The City Representative's determination shall be final and conclusive upon the parties to this Agreement. In no event shall Contractor be entitled to recover damages against the City for any delay in the performance of this Agreement, however caused, Contractor's sole remedy being extension of the Agreement pursuant to this Section.

SECTION 19. NOTICES. Any notices, bills, invoices, or reports required by this Agreement shall be deemed received on: (a) the day of delivery if delivered by hand or overnight courier service during Contractor's and City's regular business hours; or (b) on the third business day following deposit in the United States mail, postage prepaid, to the addresses heretofore below, or to such other addresses as the parties may, from time to time, designate in writing.

If to CITY: If to CONTRACTOR:

City of Bell Gardens
7100 S. Garfield Avenue
Bell Gardens, CA 90201
Attn: Bernardo Iniguez, Director of
Public Works/Utilities
Phone: 562-806-7700
Precision Concrete Cutting
13089 Peyton Drive, #C235
Chino Hills, CA 91709
Attn: Tyler Durna, Sales Manager
Phone: 909-539-7740
SECTION 20. PROHIBITION. Contractor shall not delegate, transfer, subcontract or assign its duties or rights hereunder, either in whole or in part, without City's prior written consent, and any attempt to do so shall be void and of no effect. City shall not be obligated or liable under this Agreement to any party other than Contractor.

SECTION 21. ATTORNEY FEES. In the event that City or Contractor commences any legal action or proceeding to enforce or interpret the provisions of this Agreement, the prevailing party shall be entitled to recover its costs of suit, including reasonable attorney's fees.

SECTION 22. ENTIRE AGREEMENT. All documents referenced as exhibits in this Agreement are hereby incorporated in this Agreement. Except as expressly provided in this Agreement or its Exhibits, in the event of any conflict or inconsistency between the express provisions of this Agreement and provisions of any document incorporated by reference, the provisions of this Agreement shall prevail and control. This instrument contains the entire Agreement between City and Contractor with respect to the subject matter herein. No other prior oral or written agreements are binding on the parties. Any modification of this Agreement will be effective only if it is in writing and executed by both City and Contractor.

SECTION 23. GOVERNING LAW; JURISDICTION. This Agreement shall be interpreted and governed according to the laws of the State of California. In the event of litigation between the Parties, venue, without exception, shall be in the Los Angeles County Superior Court of the State of California. If, and only if, applicable law requires that all or 18