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V. Award to Responsible Contractors. The Contractor agrees to award third party
<br /> contracts only to responsible contractors who possess potential ability to successfully perform under
<br /> the terms and conditions of the proposed procurement. Consideration will be given to such matters as
<br /> contractor integrity, compliance with public policy, record of past performance, and financial and
<br /> technical resources. Contracts will not be awarded to parties that are debarred, suspended, or
<br /> otherwise excluded from or ineligible for participation in Federal assistance programs or activities in
<br /> accordance with the Federal debarment and suspension rule, 49 C.F.R. 29. For procurements over
<br /> $25,000, the Contractor shall comply, and assure the compliance of each third party contractor and
<br /> subrecipient at any tier, with the debarment and suspension rule. FTA and the Department recommend
<br /> that grantees use a certification form for projects over $25,000, which are funded in part with Federal
<br /> funds. A sample certification form can be obtained from the Department. The Contractor also agrees to
<br /> check a potential contractor's debarment/suspension status at the following Web site:
<br /> http://epis.arnet.gov/.
<br /> W. Procurement Notification Requirements. With respect to any procurement for goods
<br /> and services (including construction services) having an aggregate value of $500,000 or more (in
<br /> Federal funds), the Contractor agrees to:
<br /> (1) Specify the amount of Federal and State funds that will be used to finance the
<br /> acquisition in any announcement of the contract award for such goods or services; and
<br /> (2) Express the said amount as a percentage of the total costs of the planned
<br /> acquisition.
<br /> X. Contract Administration System. The Contractor shall maintain a contract
<br /> administration system that ensures that contractors/subcontractors perform in accordance with the
<br /> terms, conditions, and specifications of their contracts or purchase orders.
<br /> y. Access to Third Party Contract Records. The Contractor agrees, and agrees to
<br /> require its third party contractors and third party subcontractors, at as many tiers of the Project as
<br /> required, to provide to the Federal and State awarding agencies or their duly authorized
<br /> representatives, access to all third party contract records to the extent required by 49 U.S.C. § 5325(g),
<br /> and retain such documents for at least five (5) years after project completion.
<br /> Section 15. Leases.
<br /> a. Capital Leases. To the extent applicable, the Contractor agrees to comply with FTA
<br /> regulations, "Capital Leases,"49 C.F.R. Part 639, and any revision thereto.
<br /> b. Leases Involving Certificates of Participation. The Contractor agrees to obtain the
<br /> Department's concurrence before entering into any leasing arrangement involving the issuance of
<br /> certificates of participation in connection with the acquisition of any capital asset.
<br /> Section 16. Hold Harmless. Except as prohibited or otherwise limited by State law or except to
<br /> the extent that FTA or the Department determines otherwise in writing, upon request by the Federal or
<br /> State Government, the Contractor agrees to indemnify, save, and hold harmless the Federal and State
<br /> Government and its officers, agents, and employees acting within the scope of their official duties
<br /> against any liability, including costs and expenses, resulting from any willful or intentional violation by
<br /> the Contractor of proprietary rights, copyrights, or right of privacy, arising out of the publication,
<br /> translation, reproduction, delivery, use, or disposition of any data furnished under the Project. The
<br /> Contractor shall not be required to indemnify the Federal or State Government for any such liability
<br /> caused by the wrongful acts of Federal or State employees or agents.
<br /> Section 17. Use of Real Property, Equipment, and Supplies. The Contractor understands
<br /> and agrees that the Federal/State Government retains a Federal/State interest in any real property,
<br /> equipment, and supplies financed with Federal/State assistance (Project property) until, and to the
<br /> extent, that the Federal/State Government relinquishes its Federal/State interest in that Project
<br /> property. With respect to any Project property financed with Federal/State assistance under this
<br /> Agreement, the Contractor agrees to comply with the following provisions, except to the extent FTA or
<br /> the Department determines otherwise in writing:
<br /> a. Use of Project Property. The Contractor agrees to maintain continuing control of the use of
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