S Grant - Community and Schools Phase III Tobacco Use Prevention and Cessation Initiative Grant Acceptance

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1. Grantee shall not use funds awarded under this Agreement to substitute or supplant funds from other sources that are currently supporting any existing services. 2. Cost Principles- Grantee shall follow all applicable cost principles, including but not limited to Federally established guidelines: OMB Circular A-87, OMB Circular A-22, or 'OMB Circular A-122 as recommended by the NC State Auditor. 3. Travel and Subsistence Rates- All travel and subsistence expenses must be reimbursed under the prevailing State rates and policies for State employees. State travel rates may be found in the Budget Manual at www.osbm.state.nc.us. All conference registration and related travel expenses over $75.00 must be pre-approved in writing by Commission staff. International travel shall not be reimbursed. under this Contract. E. For-Profit Prohibited -Grantee will not direct Clients of this Project to purchase goads or services from any for-profit entities with whom Grantee has a formal or informal relationship. F. Inability to Perform -Grantee will immediately notify the Commission in writing of any event that may significantly affect its ability to perform the Project, including but not limited to the loss of funding from any other sources or changes in the organization's status, staff make-up or structure. G. Binding Obligation -This Agreement constitutes a binding obligation of Grantee, enforceable against it in accordance with its terms. H. Authority and Approvals -Execution and delivery of this Agreement have been duly authorized by all necessary action on the part of Grantee. The Agreement does not violate any applicable organizational document of the Grantee or any agreement or undertaking to which it is a Party or by which it is otherwise bound. All consents or approvals, if any are required, from any governmental authority(ies) as a condition to the execution and delivery of this Agreement by the Grantee or the performance of any of its obligation under the Agreement have been obtained. I. No Adversarial Proceedings -There is no action, suit, proceeding, or investigation in law or equity or before any court, public board or body pending or to the Grantee's knowledge, threatened against or affecting it, that could or might adversely affect the Project or any of the transactions contemplated by the Agreement, the validity or enforceability of the Agreement or the Grantee's ability to discharge its obligations under this Agreement. J. Insurance and Indemnity -Grantee has sufficient insurance and/or adequate resources to protect itself, the Commission, the Commission staff and others against any liability or loss as set forth in Section VIII below. Section IV Grantee's Obligations The Grantee agrees to perform the following: A. Performance Obligations: 1. Scope of Project -Grantee shall in a timely and professional manner develop, perform and complete all the work set out in Attachments A, A-l, A-2, A-3 and A-4. The work shall be performed in the Area of Service designated in Attachment C.