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ARTICLE VII: FINANCING <br /> A. Funding necessary to implement this Agreement will be derived from federal and <br /> state funds. This will not preclude the ability of the Consortium to receive and use <br /> funds from other sources. <br /> B. The member units of local government acknowledge that they are jointly and <br /> severally accountable for liabilities arising from activities under the Workforce <br /> Investment Act and other funds received by the Local Workforce Development <br /> Area. <br /> C. As between the member units themselves, liability shall be apportioned as follows: <br /> 1. To the extent that one or more (but not all) of the member units can be <br /> identified as benefiting from funds, the expenditure of which is disallowed for <br /> any reason, said units shall be liable for the repayment of such funds. <br /> 2. To the extent that one or more of the member units cannot be identified as the <br /> benefiting units of the funds in question, any disallowed expenditure shall be <br /> divided among the m_nber units on a pro rata basis, based on the percentage <br /> of all funds allocated to each of the member units of government for the <br /> program year during which the disallowed funds were disbursed. <br /> D. The member units of government shall contractually be held harmless by the <br /> program service providers from liabilities arising out of activities by the said service <br /> providers under any funds covered by this Agreement. Each service provider will be <br /> required in its contract for services to maintain a faithful performance blanket bond <br /> and liability insurance coverage (or similar such coverage), which to the extent <br /> possible under prevailing insurance practices, shall name the member units of <br /> government as additional insured's. <br /> ARTICLE Vlll: OWNERSHIP OF REAL PROPERTY <br /> The Grant Recipient and Fiscal Agent nor the Regional Partnership Workforce <br /> Development Board will neither acquire nor dispose of real property. <br /> ARTICLE IX: AMENDMENTS <br /> In accordance with North Carolina G.S. Section 160-A-464 (7)this Agreement <br /> may be amended at anytime -apon consent of all parties as evidenced by <br /> resolutions of chief elected officials of the undersigned local government and <br /> approved by the state. Whenever the position of designated Chief Elected <br /> Official becomes vacant the individual selected as a replacement shall be <br /> selected from the Consortium and the Agreement shall be amended. <br /> ARTICLE X: TERMINATION <br /> The parties to this Agreement may request termination at any time upon six <br /> months prior written notice, such termination to be effective when the Governor <br /> considers Local Area (LA) re-designations or at the end of the then current sub- <br /> Consortium Agreement Page 3 <br />