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C.F.R.Part 18 at http//www access gpo gov/nara/cfr/cfr-table-search.html#panel; (2)Title <br /> 19A North Carolina Administrative Code (N.C.A.C.) Subchapter 513 at <br /> http://reports.oah.state.nc.usIncac.asp. <br /> f. Application of Federal, State, and Local Laws, Regulations, and Directives. To achieve <br /> compliance with changing federal requirements,the Recipient makes note that federal,state <br /> and local requirements may change and the changed requirements will apply to this <br /> Agreement as required. <br /> g. Full and Open Competition. In accordance with 49 U.S.C. § 5325(a), the Recipient agrees to <br /> conduct all procurement transactions in a manner that provides full and open competition. <br /> h. Recipient's Responsibility to Extend Federal and State Requirements to Other Entities. <br /> a. Entities Affected. Only entities that are signatories to this Agreement for the Project <br /> are parties to this agreement. To achieve compliance with certain Federal and State <br /> laws, regulations, or directives, however, other Project participants, such as <br /> subrecipients and third party contractors, will necessarily be involved.Accordingly, <br /> the Recipient agrees to take the appropriate measures necessary to ensure that all <br /> Project participants comply with applicable Federal and State laws, regulations, and <br /> directives affecting their performance <br /> b. Documents Affected. The applicability provisions of Federal and State laws, <br /> regulations, and directives determine the extent to which their provisions affect a <br /> Project participant. Thus, the Recipient agrees to include adequate provisions to <br /> ensure that each Project participant complies with those Federal and State laws, <br /> regulations, and directives. In addition,the Recipient also agrees to require its third <br /> party contractors and subrecipients to include adequate provisions to ensure <br /> compliance with applicable Federal and State laws,regulations,and directives in each <br /> lower tier subcontract and subagreement for the Project. Additional requirements <br /> include the following: (a)Third Party Contracts.Because Project activities performed <br /> by a third party contractor must comply with all applicable Federal and State laws, <br /> regulations, and directives, the Recipient agrees to include appropriate clauses in <br /> each third party contract stating the third party contractor's responsibilities under <br /> Federal and State laws,regulations,and directives,including any provisions directing <br /> the third party contractor to extend applicable requirements to its subcontractors at <br /> the lowest tier necessary. When the third party contract requires the third party <br /> contractor to undertake responsibilities for the Project usually performed by the <br /> Recipient, the Recipient agrees to include in that third party contract those <br /> requirements applicable to the Recipient imposed by the Grant Agreement for the <br /> Project.Additional guidance pertaining to third party contracting is contained in the <br /> FTA's "Best Practices Procurement Manual." (b) Subagreements. Because Project <br /> activities performed by a subcontractor/ subrecipient must comply with all <br /> applicable Federal and State laws,regulations,and directives,the Recipient agrees as <br /> follows: <br /> i. Written Subagreement. The Recipient agrees to enter into a written <br /> agreement with each subrecipient (subagreement) stating the terms and <br /> conditions of assistance by which the Project will be undertaken and <br /> completed. <br /> ii. Compliance with Federal Requirements. The Recipient agrees to implement <br /> the Project in a manner that will not compromise the Recipient's compliance <br /> with Federal and State laws, regulations, and directives applicable to the <br /> Project and the Recipient's obligations under this Agreement for the Project. <br /> Therefore,the Recipient agrees to include in each subagreement appropriate <br /> clauses directing the subrecipient to comply with those requirements <br /> Page 2 of 18 <br />