HomeMy WebLinkAboutE-7 Staff Report - Acceptance of USDA Forestry GrantCONSENT ITEM
E-7
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
VIA: SERGIO GONZALEZ, CITY MANAGER
FROM: MIKI CARPENTER, DIRECTOR OF COMMUNITY RESOURCES
DATE: JUNE 3, 2024
SUBJECT: ACCEPTANCE OF GRANT FROM U.S. DEPARTMENT OF AGRICULTURE
(USDA) FOR THE COMMUNITY CANOPY: NURTURING CLIMATE RESILIENCE
IN DISADVANTAGED NEIGHBORHOODS THROUGH URBAN FORESTRY
PROJECT
BACKGROUND:
The City of Azusa submitted an application and was awarded a federal grant in the amount of
$2,000,000 from the USDA for the FY 24 Community Canopy: Nurturing Climate Resilience in
Disadvantaged Neighborhoods through Urban Forestry project. The proposed grant activities align with
existing, ongoing efforts and will prioritize urban and community forestry as essential for enhancing
human health and welfare. The proposed actions will accept the grant and approve corresponding budget
amendments to incorporate the grant funds into the appropriate fiscal year budgets.
RECOMMENDATIONS:
Staff recommends that City Council take the following actions:
1) Accept the grant award from the U.S. Department of Agriculture; and,
2)Authorize the City Manager to execute the Grant Agreement, in a form acceptable to the City
Attorney, on behalf of the City, subject to non-substantive changes made by the City Manager
and City Attorney.
ANALYSIS:
If accepted, the City of Azusa Department of Community Resources would oversee the U.S.D.A. funded
project to accomplish the following goals:
Goal #1 – To improve community health outcomes and uplift environmental justice, the City of Azusa
will develop a holistic and person-centered Azusa Community Canopy Urban Forestry Plan.
Approved
City Council
June 3, 2024
USDA Grant Acceptance
June 3, 2024
Page 2
Goal #2 – To enhance and expand equitable urban tree canopy cover, the City of Azusa will contract
with a local tree organization to plant tress in disadvantaged Census tracts.
Goal #3 – To engage the community and provide paid on-the-job training, the City of Azusa will
contract with a local organization to launch the Azusa Community Canopy Workforce Program.
Goal #4 – To foster individuals, groups, and organizations in the communities served to become
engaged participants in urban forestry and convservation, the City of Azusa will collaborate with
community leaders to develop an urban forestry and environmental stewardship engagement and
education program.
Goal #5 – To increase community and environmental resilience, the City of Azusa will contract a local
organization to revitalize the community garden at Memorial Park by creating a Micro Urban Forest.
FISCAL IMPACT:
There is no immediate fiscal impact associated with the recommended actions. Upon Council acceptance
of the grant in the amount of $2,000,000, staff will amend the appropriate fiscal year budgets for the
period of performance, which is through 5/15/29.
Prepared by: Reviewed and Approved:
Nikki Rosales Miki Carpenter
Senior Management Analyst Director of Community Resources
Fiscal Review by: Reviewed and Approved by:
Talika M. Johnson Sergio Gonzalez
Director of Administrative Services City Manager
Attachment:
1) Grant Agreement
Caring for the Land and Serving People Printed on Recycled Paper
FEDERAL FINANCIAL ASSISTANCE
AWARD OF DOMESTIC GRANT 24-DG-11052021-229
Between
CITY OF AZUSA
And The
USDA, FOREST SERVICE
REGION 5
STATE & PRIVATE FORESTRY
Project Title: Community Canopy: Nurturing Climate Resilience in Disadvantaged
Neighborhoods through Urban Forestry
Upon execution of this document, an award to City of Azusa, hereinafter referred to as “City
of Azusa,” in the amount of $2,000,000, is made under the authority of Cooperative Forestry
Assistance Act, P.L. 95-313 as amended,16 USC 2105 and Public Law 117-169, Subtitle D,
Section 23003(a). The Federal Assistance Listing (formerly Catalog of Federal Domestic
Assistance - CFDA) number and name are 10.727 IRA Urban & Community Forestry. City
of Azusa accepts this award for the purpose described in the application narrative. Your
application for Federal financial assistance, dated April 25, 2024, and the attached Forest
Service provisions, ‘Forest Service Award Provisions,’ are incorporated into this letter and
made a part of this award.
This authority requires a match of 1:1, however match has been waived under the provision
of Public Law 117-169 (Inflation Reduction Act) and based on assurance from the
Cooperator that 100% of the work and funding will benefit disadvantaged communities,
which your organization has agreed to provide as shown in the attached application,
financial plan and narrative.
As addressed in Provision E and F, the financial status and performance reports are due on a
semi-annual basis for the periods ending June 30 and December 31. The final performance
report is to be submitted no later than 120 days from the expiration date of the grant. The first
reports will be due July 30, 2024, for the period ending June 30, 2024.
Send the financial status reports to Kathryn Custard at the address on page 2, and the
performance reports to Alicia Sanchez-Scott at the address on page 2 of this award and as
shown in the narrative.
This is an award of Federal financial assistance. Prime and sub-recipients to this award are
subject to the OMB guidance in subparts A through F of 2 CFR Part 200 as adopted and
supplemented by the USDA in 2 CFR Part 400. Adoption by USDA of the OMB guidance in 2
CFR 400 gives regulatory effect to the OMB guidance in 2 CFR 200 where full text may be
found.
Electronic copies of the CFRs can be obtained at the following internet site: www.ecfr.gov. If
you are unable to retrieve these regulations electronically, please contact your Grants and
Agreements Office at (707) 980-9711.
Attachment 1
OMB 0596-0217
Expiration Date: 11/30/2017
Rev. (12-13)
Page 2 of 25
The following administrative provisions apply to this award:
A. LEGAL AUTHORITY. City of Azusa shall have the legal authority to enter into this
award, and the institutional, managerial, and financial capability to ensure proper
planning, management, and completion of the project, which includes funds sufficient
to pay the non-Federal share of project costs, when applicable.
B. PRINCIPAL CONTACTS. Individuals listed below are authorized to act in their
respective areas for matters related to this award.
Principal Cooperator Contacts:
Cooperator Program Contact Cooperator Administrative Contact
Miki Carpenter
Director of Community Resources
320 N. Orange Place
Azusa, CA 91702
Telephone: 626-512-5280
Email: mcarpenter@azusaca.gov
Nikki Rosales
Senior Management Analyst
320 N. Orange Place
Azusa, CA 91702
Telephone: 626-812-5261
Email: nrosales@azusaca.gov
Principal Forest Service Contacts:
Forest Service Program Manager
Contact
Forest Service Administrative Contact
Alicia Sanchez-Scott
Assistant Program Manager
Urban & Community Forestry
State & Private Forestry
1323 Club Drive
Vallejo, CA 94592
Cell: 805-450-8369
Email: alicia.sanchezscott@usda.gov
Kathryn Custard
Program Specialist
USDA Forest Service
State & Private Forestry
1323 Club Drive
Vallejo, CA 94592
Telephone: (707) 980-9711
Email: kathryn.custard@usda.gov
C. SYSTEM FOR AWARD MANAGEMENT REGISTRATION REQUIREMENT
(SAM). City of Azusa shall maintain current organizational information and the
original Unique Entity Identifier (UEI) provided for this agreement in the System for
Award Management (SAM) until receipt of final payment. This requires annual review
and updates, when needed, of organizational information after the initial registration.
More frequent review and updates may be required for changes in organizational
information or agreement term(s). Any change to the original UEI provided in this
agreement will result in termination of this agreement and de-obligation of any
remaining funds. For purposes of this agreement, System for Award Management
(SAM) means the Federal repository into which an entity must provide information
Award Number: 24-DG-11052021-229
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required for the conduct of business as a Cooperative. Additional information about
registration procedures may be found at the SAM Internet site at www.sam.gov.
D. ADVANCES AND REIMBURSABLE PAYMENTS – FINANCIAL ASSISTANCE.
Advances and reimbursable payments are approved under this award. Only costs for
those project activities approved in (1) the initial award, or (2) modifications thereto,
are allowable. Requests for payment must be submitted on Standard Form 270 (SF-
270), Request for Advance or Reimbursement, and must be submitted no more than
monthly. In order to approve a Request for Advance Payment or Reimbursement, the
Forest Service shall review such requests to ensure advances or payments for
reimbursement are in compliance and otherwise consistent with OMB, USDA, and
Forest Service regulations.
Advance payments must not exceed the minimum amount needed or no more than is
needed for a 30-day period, whichever is less. If the Recipient receives an advance
payment and subsequently requests an advance or reimbursement payment, then the
request must clearly demonstrate that the previously advanced funds have been fully
expended before the Forest Service can approve the request for payment. Any funds
advanced, but not spent, upon expiration of this award must be returned to the Forest
Service.
The Program Manager reserves the right to request additional information prior to
approving a payment.
The invoice must be sent by one of three methods: Send a copy to:
EMAIL (preferred):SM.FS.asc_ga@usda.gov
FAX: 877-687-4894
POSTAL: USDA Forester Service
Budget & Finance - Grants and Agreements
4000 Masthead St, NE
Albuquerque, NM 87109
E. ELECTION OF DE MINIMIS INDIRECT RATE. City of Azusa has elected to use the
de minimis indirect cost rate of 10% of modified total direct costs (MTDC) as allowed
under 2 CFR 200.414 (f). This rate must be used consistently for all Federal awards
until such time as City of Azusa chooses to negotiate for a rate, which they may apply
to do at any time. If a new rate is negotiated and utilized the de minimis rate can no
longer be utilized.
F. PRIOR WRITTEN APPROVAL. City of Azusa shall obtain prior written approval
pursuant to conditions set forth in 2 CFR 200.407.
G. MODIFICATIONS. Modifications within the scope of this award must be made by
mutual consent of the parties, by the issuance of a written modification signed and
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dated by all properly authorized signatory officials, prior to any changes being
performed. Requests for modification should be made, in writing, at least 45 days prior
to implementation of the requested change. The Forest Service is not obligated to fund
any changes not properly approved in advance.
H. PERIOD OF PERFORMANCE. This agreement is executed as of the date of the
Forest Service signatory official signature. Pre-award costs will not be allowed except
on a case-by-case basis through WO program approval at the WO level. Regional
awards may make that decision at the regional level for awards at that level on a case-
by-case basis.
The end date, or expiration date is 05/15/2029. This instrument may be extended by a
properly executed modification. See Modification Provision above.
I. AUTHORIZED REPRESENTATIVES. By signature below, each party certifies that
the individuals listed in this document as representatives of the individual parties are
authorized to act in their respective areas for matters related to this award. In witness
whereof the parties hereto have executed this award.
SERGIO GONZALES, City Manager
City of Azusa
Date
SHERRY HAZELHURST, Director
USDA Forest Service, State & Private Forestry,
Region 5
Date
The authority and the format of this award have been reviewed and approved for
signature.
JACQUELINE WOODRUFF
Forest Service Grants Management Specialist
Date
Award Number: 24-DG-11052021-229
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ATTACHMENT A: FOREST SERVICE AWARD PROVISIONS
A. COLLABORATIVE ARRANGEMENTS. Where permitted by terms of the award and
Federal law, City of Azusa a may enter into collaborative arrangements with other
organizations to jointly carry out activities with Forest Service funds available under this
award.
B. FOREST SERVICE LIABILITY TO THE RECIPIENT. The United States shall not be
liable to City of Azusa for any costs, damages, claims, liabilities, and judgments that arise
in connection with the performance of work under this award, including damage to any
property owned by City of Azusa or any third party.
C. NOTICES. Any notice given by the Forest Service or City of Azusa will be sufficient
only if in writing and delivered in person, mailed, or transmitted electronically by e-mail
or fax, as follows:
To the Forest Service Program Manager, at the address specified in the award.
To City of Azusa, at the address shown in the award or such other address
designated within the award.
Notices will be effective when delivered in accordance with this provision, or on the
effective date of the notice, whichever is later.
D. SUBAWARDS. Prior approval is required to issue subawards under this grant. The
intent to subaward must be identified in the approved budget and scope of work and
approved in the initial award or through subsequent modifications. Approval of each
individual subaward is not required, however the cooperator must document that each
sub-recipient does NOT have active exclusions in the System for Award Management
(sam.gov).
The Cooperator must also ensure that they have evaluated each subrecipient’s risk in
accordance with 2 CFR 200.332 (b).
Any subrecipient under this award must be notified that they are subject to the OMB
guidance in subparts A through F of 2 CFR Part 200, as adopted and supplemented by
the USDA in 2 CFR Part 400. Any sub-award must follow the regulations found in 2
CFR 200.331 through .333.
All subawards $30,000 or more must be reported at fsrs.gov in compliance with 2 CFR
170. See Attachment B for full text.
E. FINANCIAL STATUS REPORTING. A Federal Financial Report, Standard Form SF-
425 (and Federal Financial Report Attachment, SF-425A, if required for reporting
multiple awards), must be submitted semi-annually. These reports are due 30 days after
the reporting period ending June 30 and December 31. The final SF-425 (and SF-425A,
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if applicable) must be submitted either with the final payment request or no later than 120
days from the expiration date of the award. These forms may be found at
https://www.grants.gov/web/grants/forms.html.
F. PROGRAM PERFORMANCE REPORTS. The recipient shall perform all actions
identified and funded in application/modification narratives within the performance
period identified in award.
In accordance with 2 CFR 200.301, reports must relate financial data to performance
accomplishments of the federal award.
City of Azusa shall submit semi-annual performance reports. These reports are due 30
days after the reporting period ending June 30 and December 31. The final
performance report shall be submitted either with City of Azusa’s final payment
request, or separately, but not later than 120 days from the expiration date of the award.
- Additional pertinent information: To support consistent and transparent public
access to project outcomes funded through the Inflation Reduction Act, grantees are
required to report quantitative and qualitative project accomplishments for reporting
periods ending June 30 and December 31 to a public-facing Impact Reporting
Platform. Grantees will be provided instructions for project impact reporting.
G. NOTIFICATION. City of Azusa shall immediately notify the Forest Service of
developments that have a significant impact on the activities supported under this award.
Also, notification must be given in case of problems, delays or adverse conditions that
materially impair the ability to meet the objectives of the award. This notification must
include a statement of the action taken or contemplated, and any assistance needed to
resolve the situation.
H. CHANGES IN KEY PERSONNEL. Any revision to key personnel identified in this
award requires notification of the Forest Service Program Manager by email or letter.
I. USE OF FOREST SERVICE INSIGNIA. In order for City of Azusa to use the Forest
Service insignia on any published media, such as a Web page, printed publication, or
audiovisual production, permission must be granted by the Forest Service’s Office of
Communications (Washington Office). A written request will be submitted by Forest
Service, Program Manager, to the Office of Communications Assistant Director, Visual
Information and Publishing Services prior to use of the insignia. The Forest Service
Program Manager will notify City of Azusa when permission is granted.
J. FUNDING EQUIPMENT. Federal funding under this award is not available for
reimbursement of City of Azusa’s purchase of equipment. Equipment is defined as
having a fair market value of $5,000 or more per unit and a useful life of over one year.
Supplies are those items that are not equipment.
Award Number: 24-DG-11052021-229
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K. PUBLIC NOTICES. It is Forest Service's policy to inform the public as fully as possible
of its programs and activities. City of Azusa is encouraged to give public notice of the
receipt of this award and, from time to time, to announce progress and accomplishments.
City of Azusa may call on Forest Service's Office of Communication for advice
regarding public notices. City of Azusa is requested to provide copies of notices or
announcements to the Forest Service Program Manager and to Forest Service's Office
Communications as far in advance of release as possible.
L. FOREST SERVICE ACKNOWLEDGED IN PUBLICATIONS, AUDIOVISUALS,
AND ELECTRONIC MEDIA. City of Azusa shall acknowledge Forest Service support
in any publications, audiovisuals, and electronic media developed as a result of this
award. Follow direction in USDA Supplemental 2 CFR 415.2.
M. COPYRIGHTING. City of Azusa is/are granted sole and exclusive right to copyright any
publications developed as a result of this award. This includes the right to publish and
vend throughout the world in any language and in all media and forms, in whole or in
part, for the full term of copyright and all renewals thereof in accordance with this award.
No original text or graphics produced and submitted by the Forest Service shall be
copyrighted. The Forest Service reserves a royalty-free, nonexclusive, and irrevocable
right to reproduce, publish, or otherwise use, and to authorize others to use the work for
federal government purposes.
This right shall be transferred to any sub-awards or subcontracts.
This provision includes:
The copyright in any work developed by City of Azusa under this award.
Any right of copyright to which City of Azusa purchase(s) ownership with any
federal contributions.
N. NONDISCRIMINATION STATEMENT – PRINTED, ELECTRONIC, OR
AUDIOVISUAL MATERIAL. City of Azusa shall include the following statement, in
full, in any printed, audiovisual material, or electronic media for public distribution
developed or printed with any Federal funding.
In accordance with Federal law and U.S. Department of Agriculture (USDA) civil
rights regulations and policies, this institution is prohibited from discriminating on
the basis of race, color, national origin, sex, age, disability, and reprisal or
retaliation for prior civil rights activity. (Not all prohibited bases apply to all
programs.)
Program information may be made available in languages other than English.
Persons with disabilities who require alternative means of communication for
program information (e.g., Braille, large print, audiotape, and American Sign
Language) should contact the responsible State or local Agency that administers
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the program or USDA’s TARGET Center at (202) 720-2600 (voice and TTY) or
contact USDA through the Federal Relay Service at (800) 877-8339.
To file a program discrimination complaint, a complainant should complete a Form
AD-3027, USDA Program Discrimination Complaint Form, which can be obtained
online at https://www.ocio.usda.gov/document/ad-3027, from any USDA office, by
calling (866) 632-9992, or by writing a letter addressed to USDA. The letter must
contain the complainant’s name, address, telephone number, and a written
description of the alleged discriminatory action in sufficient detail to inform the
Assistant Secretary for Civil Rights (ASCR) about the nature and date of an alleged
civil rights violation. The completed AD-3027 form or letter must be submitted to
USDA by:
(1) Mail: U.S. Department of Agriculture, Office of the Assistant Secretary for
Civil Rights, 1400 Independence Avenue SW, Washington, D.C. 20250-9410; o
(2) Fax: (833) 256-1665 or (202) 690-7442; or
(3) Email: program.intake@usda.gov.
If the material is too small to permit the full Non-Discrimination Statement to be
included, the material will, at a minimum, include the alternative statement:
“This institution is an equal opportunity provider.”
O. DISPUTES. In the event of any issue of controversy under this agreement, the parties
may pursue Alternate Dispute Resolution (ADR) procedures to voluntarily resolve those
issues. These procedures may include, but are not limited to conciliation, facilitation,
mediation, and fact finding.
Should the parties be unable to resolve the issue of controversy through ADR, then the
Signatory Official will make the decision. A written copy of the decision will be provided to
the Cooperator.
Decisions of the Signatory Official shall be final unless, within 30 days of receipt of the
decision of the Signatory Official, the Cooperator appeals the decision to the Forest
Service's Deputy Chief, State, Private, and Tribal Forestry (SPTF). Any appeal made
under this provision shall be in writing and addressed to the Deputy Chief, SPTF,
USDA, Forest Service, Washington, DC 20024. A copy of the appeal shall be
concurrently furnished to the Signatory Official.
A decision under this provision by the Deputy Chief, SPTF, is final. The final decision
by the Deputy Chief, SPTF, does not preclude the Cooperator from pursuing remedies
available under the law.
P. AWARD CLOSEOUT. City of Azusa must submit, no later than 120 calendar days after
the end date of the period of performance, all financial, performance, and other reports as
required by the terms and conditions of the Federal award.
Any unobligated balance of cash advanced to City of Azusa must be immediately
refunded to the Forest Service, including any interest earned in accordance with 2 CFR
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200.344(d).
If this award is closed without audit, the Forest Service reserves the right to disallow
and recover an appropriate amount after fully considering any recommended
disallowances resulting from an audit which may be conducted later.
Q. TERMINATION. This award may be terminated, in whole or part pursuant to 2 CFR
200.340.
R. DEBARMENT AND SUSPENSION. City of Azusa shall immediately inform the Forest
Service if they or any of their principals are presently excluded, debarred, or suspended
from entering into covered transactions with the federal government according to the
terms of 2 CFR Part 180. Additionally, should City of Azusa or any of their principals
receive a transmittal letter or other official federal notice of debarment or suspension,
then they shall notify the Forest Service without undue delay. This applies whether the
exclusion, debarment, or suspension is voluntary or involuntary. The Recipient shall
adhere to 2 CFR Part 180 Subpart C in regards to review of sub-recipients or contracts for
debarment and suspension.
All subrecipients and contractors must complete the form AD-1048, Certification
Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion, Lower Tier
Covered Transactions. Blank forms are available electronically. Completed forms
must be kept on file with the primary recipient.
S. MEMBERS OF CONGRESS. Pursuant to 41 U.S.C. 22, no member of, or delegate to,
Congress shall be admitted to any share or part of this award, or benefits that may arise
therefrom, either directly or indirectly.
T. SCIENTIFIC INTEGRITY: USDA is committed to the highest levels of integrity in all of
our scientific activities and decision making. This includes to performing, recording and
reporting the results of scientific activities with honesty, objectivity, and transparency.
All persons performing under this agreement shall adhere to the principles of scientific
integrity described in Departmental Regulation (DR) 1074-001.
U. GEOSPATIAL DATA. All data collected will meet the requirements of the Geospatial
Data Act of 2018 where applicable. This will always include the documentation of all
relevant metadata standards, use of standard data formats; description of quantitative
measures of uncertainty and source of uncertainty and sources of uncertainty associated
with the data. Additionally, the data must meet specific standards specified elsewhere to
ensure the data is useful to support the USDA’s mission. The recipient/cooperator agrees
to comply with USDA’s Department-wide enterprise geospatial data management policy
implemented in Departmental Regulation 3465-001 which establishes the USDA policy
for defining the strategic direction necessary to optimize the management of the USDA
geospatial data and geospatial infrastructure, including all geospatial data created for, by,
and enhanced by USDA.
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V. PUBLIC ACCESS TO SCHOLARLY PUBLICATIONS AND DIGITAL SCIENTIFIC
RESEARCH DATA. The recipient agrees to comply with USDA’s Department-wide
public access policy implemented in Departmental Regulation 1020-006 which
establishes the USDA policy for public access to scholarly publications and digital
scientific research data assets. The USDA will make all peer-reviewed, scholarly
publications and digital scientific research data assets arising from unclassified scientific
research supported wholly or in part by the USDA accessible to the public, to the extent
practicable.
W. BUY AMERICA BUILD AMERICA. Recipients of an award of Federal financial
assistance from a program for infrastructure are hereby notified that none of the funds
provided under this award may be used for an infrastructure project unless:
(1) All iron and steel used in the project are produced in the United States—this
means all manufacturing processes, from the initial melting stage through the
application of coatings, occurred in the United States;
(2) All manufactured products used in the project are produced in the United
States— this means the manufactured 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 percent of the
total cost of all components of the manufactured product, unless another standard
that meets or exceeds this standard has been established under applicable law or
regulation for determining the minimum amount of domestic content of the
manufactured product; and
(3) All construction materials are manufactured in the United States—this means
that all manufacturing processes for the construction material occurred in the United
States. The construction material standards are listed below.
Incorporation into an infrastructure project. 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.
Categorization of articles, materials, and supplies. An article, material, or supply should
only be classified into one of the following categories: (i) Iron or steel products; (ii)
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Manufactured products; (iii) Construction materials; or (iv) Section 70917(c) materials.
An article, material, or supply should not be considered to fall into multiple categories. In
some cases, an article, material, or supply may not fall under any of the categories listed
in this paragraph. The classification of an article, material, or supply as falling into one of
the categories listed in this paragraph must be made based on its status at the time it is
brought to the work site for incorporation into an infrastructure project. In general, the
work site is the location of the infrastructure project at which the iron, steel,
manufactured products, and construction materials will be incorporated.
Application of the Buy America Preference by category. An article, material, or supply
incorporated into an infrastructure project must meet the Buy America Preference for
only the single category in which it is classified.
Determining the cost of components for manufactured products. In determining whether
the cost of components for manufactured products is greater than 55 percent of the total
cost of all components, use the following instructions:
(a) For components purchased by the manufacturer, the acquisition cost, including
transportation costs to the place of incorporation into the manufactured product
(whether or not such costs are paid to a domestic firm), and any applicable duty
(whether or not a duty-free entry certificate is issued); or
(b) For components manufactured by the manufacturer, all costs associated with the
manufacture of the component, including transportation costs as described in
paragraph (a), plus allocable overhead costs, but excluding profit. Cost of
components does not include any costs associated with the manufacture of the
manufactured product.
Construction material standards. The Buy America Preference applies to the following
construction materials incorporated into infrastructure projects. Each construction
material is followed by a standard for the material to be considered “produced in the
United States.” Except as specifically provided, only a single standard should be applied
to a single construction material.
(1) Non-ferrous metals. All manufacturing processes, from initial smelting or
melting through final shaping, coating, and assembly, occurred in the United States.
(2) Plastic and polymer-based products. All manufacturing processes, from initial
combination of constituent plastic or polymer-based inputs, or, where applicable,
constituent composite materials, until the item is in its final form, occurred in the
United States.
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(3) Glass. All manufacturing processes, from initial batching and melting of raw
materials through annealing, cooling, and cutting, occurred in the United States.
(4) Fiber optic cable (including drop cable). All manufacturing processes, from the
initial ribboning (if applicable), through buffering, fiber stranding and jacketing,
occurred in the United States. All manufacturing processes also include the
standards for glass and optical fiber, but not for non-ferrous metals, plastic and
polymer-based products, or any others.
(5) Optical fiber. All manufacturing processes, from the initial preform fabrication
stage through the completion of the draw, occurred in the United States.
(6) Lumber. All manufacturing processes, from initial debarking through treatment
and planning, occurred in the United States.
(7) Drywall. All manufacturing processes, from initial blending of mined or
synthetic gypsum plaster and additives through cutting and drying of sandwiched
panels, occurred in the United States.
(8) Engineered wood. All manufacturing processes from the initial combination of
constituent materials until the wood product is in its final form, occurred in the
United States.
Waivers. When necessary, recipients mayapply for, and the agency may grant, a waiver
from these requirements. The agency should notify the recipient for information on the
process for requesting a waiver from these requirements.
When the Federal agency has made a determination that one of the following exceptions
applies, the awarding official may waive the application of the Buy America Preference
in any case in which the agency determines that:
(1) applying the Buy America Preference would be inconsistent with the public
interest;
(2) 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; or
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(3) 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 percent.
A request to waive the application of the Buy America Preference must be in writing. The
agency will provide instructions on the format, contents, and supporting materials
required for any waiver request. Waiver requests are subject to public comment periods
of no less than 15 days and must be reviewed by the Made in America Office.
There may be instances where an award qualifies, in whole or in part, for an existing
waiver described at USDA Buy America Waivers for Federal Financial Assistance | USDA.
Definitions
“Buy AmericaPreference”meansthe“domestic contentprocurementpreference” set
forth in section 70914 of the Build America, Buy America Act, which requires the head of
each Federal agency to ensure that none of the funds made available for a Federal award for
an infrastructure project may be obligated unless all of the iron, steel, manufactured
products, and construction materials incorporated into the project are produced in the
United States.
“Construction materials” means articles, materials, or supplies that consist of only one of
the items listed in paragraph (1) of this definition, except as provided in paragraph (2) of
this definition. To the extent one of the items listed in paragraph (1) contains as inputs
other items listed in paragraph (1), it is nonetheless a construction material.
(1) The listed items are:
(i) Non-ferrous metals;
(ii) Plastic and polymer-based products (including polyvinylchloride, composite
building materials, and polymers used in fiber optic cables);
(iii) Glass (including optic glass);
(iv) Fiber optic cable (including drop cable);
(v) Optical fiber;
(vi) Lumber;
(vii) Engineered wood; and
(viii) Drywall.
(2) Minor additions of articles, materials, supplies, or binding agents to a construction
material do not change the categorization of the construction material.
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“Infrastructure” means public infrastructure projects in the United States, which
includes, at a minimum, the structures, facilities, and equipment for 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
including electric vehicle (EV) charging.
“Infrastructure project” means any activity related to the construction, alteration,
maintenance, or repair of infrastructure in the United States regardless of whether
infrastructure is the primary purpose of the project. See also paragraphs (c) and (d) of 2
CFR 184.4.
“Iron or steel products” means articles, materials, or supplies that consist wholly or
predominantly of iron or steel or a combination of both.
X. TRAFFICKING IN PERSONS.
1. Provisions applicable to a Recipient that is a private entity.
a. You as the Recipient, your employees, Subrecipients under this award, and
Subrecipients’ employees may not:
(1) Engage in severe forms of trafficking in persons during the period of time
that the award is in effect;
(2) Procure a commercial sex act during the period of time that the award is in
effect; or
(3) Use forced labor in the performance of the award or subawards under the
award.
b. We as the Federal awarding agency may unilaterally terminate this award,
without penalty, if you or a Subrecipient that is a private entity:
(1) Is determined to have violated a prohibition in paragraph a.1 of this award
term; or
(2) Has an employee who is determined by the agency official authorized to
terminate the award to have violated a prohibition in paragraph a.1 of this
award term through conduct that is either:
i. Associated with performance under this award; or
ii. Imputed to you or the subrecipient using the standards and due
process for imputing the conduct of an individual to an organization
that are provided in 2 CFR part 180, ‘‘OMB Guidelines to Agencies
on Government wide Debarment and Suspension
(Nonprocurement),’’.
2. Provision applicable to a Recipient other than a private entity. We as the Federal
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awarding agency may unilaterally terminate this award, without penalty, if a
subrecipient that is a private entity:
a. Is determined to have violated an applicable prohibition in paragraph a.1 of this
award term; or
b. Has an employee who is determined by the agency official authorized to
terminate the award to have violated an applicable prohibition in paragraph a.1
of this award term through conduct that is either—
(1) Associated with performance under this award; or
(2) Imputed to the subrecipient using the standards and due process for
imputing the conduct of an individual to an organization that are provided
in 2 CFR part 180, ‘‘OMB Guidelines to Agencies on Governmentwide
Debarment and Suspension (Nonprocurement),’’
3. Provisions applicable to any recipient.
a. You must inform us immediately of any information you receive from any
source alleging a violation of a prohibition in paragraph a.1 of this award term.
b. Our right to terminate unilaterally that is described in paragraph a.2 or b of this
section:
(1) Implements section 106(g) of the Trafficking Victims Protection Act of
2000 (TVPA), as amended (22 U.S.C. 7104(g)), and
(2) Is in addition to all other remedies for noncompliance that are available to
us under this award.
c. You must include the requirements of paragraph a.1 of this award term in any
subaward you make to a private entity.
4. Definitions. For purposes of this award term:
a. ‘‘Employee’’ means either:
(1) An individual employed by you or a subrecipient who is engaged in the
performance of the project or program under this award; or
(2) Another person engaged in the performance of the project or program
under this award and not compensated by you including, but not limited to,
a volunteer or individual whose services are contributed by a third party as
an in-kind contribution toward cost sharing or matching requirements.
b. ‘‘Forced labor’’ means labor obtained by any of the following methods: the
recruitment, harboring, transportation, provision, or obtaining of a person for
labor or services, through the use of force, fraud, or coercion for the purpose of
subjection to involuntary servitude, peonage, debt bondage, or slavery.
c. ‘‘Private entity’’:
(1) Means any entity other than a State, local government, Indian tribe, or
foreign public entity, as those terms are defined in 2 CFR 175.25.
(2) Includes:
i. A nonprofit organization, including any nonprofit institution of
higher education, hospital, or tribal organization other than one
included in the definition of Indian tribe at 2 CFR 175.25(b).
ii. A for-profit organization.
d. ‘‘Severe forms of trafficking in persons,’’ ‘‘commercial sex act,’’ and
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‘‘coercion’’ have the meanings given at section 103 of the TVPA, as amended
(22 U.S.C. 7102).
Y. DRUG-FREE WORKPLACE.
1. City of Azusa agree(s) that it will publish a drug-free workplace statement and
provide a copy to each employee who will be engaged in the performance of any
project/program that receives federal funding. The statement must
a. Tell the employees that the unlawful manufacture, distribution, dispensing,
possession, or use of a controlled substance is prohibited in its workplace;
b. Specify the actions City of Azusa will take against employees for violating that
prohibition; and
c. Let each employee know that, as a condition of employment under any award,
the employee:
(1) Shall abide by the terms of the statement, and
(2) Shall notify City of Azusa in writing if they are convicted for a violation of
a criminal drug statute occurring in the workplace, and shall do so no more
than 5 calendar days after the conviction.
2. City of Azusa agree(s) that it will establish an ongoing drug-free awareness
program to inform employees about
a. The dangers of drug abuse in the workplace;
b. The established policy of maintaining a drug-free workplace;
c. Any available drug counseling, rehabilitation and employee assistance
programs; and
d. The penalties that you may impose upon them for drug abuse violations
occurring in the workplace.
3. Without the Program Manager’s expressed written approval, the policy statement
and program must be in place as soon as possible, no later than the 30 days after
the effective date of this instrument, or the completion date of this award,
whichever occurs first.
4. City of Azusa agrees to immediately notify the Program Manager if an employee is
convicted of a drug violation in the workplace. The notification must be in
writing, identify the employee’s position title, the award number of each award on
which the employee worked. The notification must be sent to the Program
Manager within 10 calendar days after City of Azusa learns of the conviction.
5. Within 30 calendar days of learning about an employee’s conviction, City of Azusa
must either
a. Take appropriate personnel action against the employee, up to and including
termination, consistent with the requirements of the Rehabilitation Act of 1973
(29 USC 794), as amended, or
b. Require the employee to participate satisfactorily in a drug abuse assistance or
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rehabilitation program approved for these purposes by a Federal, State or local
health, law enforcement, or other appropriate agency.
Z. PROHIBITION AGAINST USING FUNDS WITH ENTITIES THAT REQUIRE
CERTAIN INTERNAL CONFIDENTIALITY AGREEMENTS.
1. The recipient may not require its employees, contractors, or subrecipients seeking to
report fraud, waste, or abuse to sign or comply with internal confidentiality
agreements or statements prohibiting or otherwise restricting them from lawfully
reporting that waste, fraud, or abuse to a designated investigative or law
enforcement representative of a Federal department or agency authorized to receive
such information.
2. The recipient must notify its employees, contractors, or subrecipients that the
prohibitions and restrictions of any internal confidentiality agreements inconsistent
with paragraph (1) of this award provision are no longer in effect.
3. The prohibition in paragraph (1) of this award provision does not contravene
requirements applicable to any other form issued by a Federal department or agency
governing the nondisclosure of classified information.
4. If the Government determines that the recipient is not in compliance with this award
provision, it;
a. Will prohibit the recipient’s use of funds under this award in accordance with
sections 743, 744 of Division E of the Consolidated Appropriations Act, 2016,
(Pub. L. 114-113) or any successor provision of law; and
b. May pursue other remedies available for the recipient’s material failure to
comply with award terms and conditions.
AA. ELIGIBLE WORKERS. City of Azusa shall ensure that all employees complete the I-9
form to certify that they are eligible for lawful employment under the Immigration and
Nationality Act (8 U.S.C. 1324(a)). City of Azusa shall comply with regulations
regarding certification and retention of the completed forms. These requirements also
apply to any contract or supplemental instruments awarded under this award.
BB. FREEDOM OF INFORMATION ACT (FOIA). Public access to award or agreement
records must not be limited, except when such records must be kept confidential and
would have been exempted from disclosure pursuant to Freedom of Information
regulations (5 U.S.C. 552). Requests for research data are subject to 2 CFR 315(e).
Public access to culturally sensitive data and information of Federally-recognized
Tribes may also be explicitly limited by P.L. 110-234, Title VIII Subtitle B §8106
(2009 Farm Bill).
CC. TEXT MESSAGING WHILE DRIVING. In accordance with Executive Order (EO)
13513, “Federal Leadership on Reducing Text Messaging While Driving,” any and all
text messaging by Federal employees is banned: a) while driving a Government owned
vehicle (GOV) or driving a privately owned vehicle (POV) while on official Government
business; or b) using any electronic equipment supplied by the Government when driving
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any vehicle at any time. All Cooperators, their Employees, Volunteers, and Contractors
are encouraged to adopt and enforce policies that ban text messaging when driving
company owned, leased or rented vehicles, POVs or GOVs when driving while on
official Government business or when performing any work for or on behalf of the
Government.
DD. PROMOTING FREE SPEECH AND RELIGIOUS FREEDOM. As a recipient of USDA
financial assistance, you will comply with the following:
1. Do not discriminate against applicants for sub-grants on the basis of their religious
character.
2. 7 Code of Federal Regulations (CFR) part 16.3(a), Rights of Religious
Organizations.
3. Statutory and National policy requirements, including those prohibiting
discrimination and those described in Executive Order 13798 promoting free speech
and religious freedom, 2 CFR 200.300.
EE. PROHIBITION ON CERTAIN TELECOMMUNICATIONS AND VIDEO
SURVEILLANCE SERVICES OR EQUIPMENT. The cooperator (including
subrecipients) is responsible for compliance with the prohibition on certain
telecommunications and video surveillance services or equipment identified in 2 CFR
200.216. See Public Law 115-232, Section 889 for additional information.
In accordance with 2 CFR 200.216, the grantee (including subrecipients) is prohibited
from obligating or expending loan or grant funds for covered telecommunications
equipment or services to:
(1) procure or obtain, extend or renew a contract to procure or obtain;
(2) enter into a contract (or extend or renew a contract) to procure; or
(3) obtain the equipment, services or systems.
FF. DAVIS BACON WAGES FOR CONSTRUCTION. Following the requirement in
Section 41101 of the Bipartisan Infrastructure Law, P.L. 117-58, Davis-Bacon wage rates
must be applied for all laborers and mechanics employed by contractors or subcontractors
in the performance of construction, alteration, or repair work on a project assisted in
whole or in part by funding made available under this Act. Laborers and mechanics shall
be paid wages at rates not less than those prevailing on similar projects in the locality, as
determined by the Secretary of Labor in accordance with subchapter IV of chapter 31 of
title 40, United States Code (commonly referred to as the ‘‘Davis-Bacon Act’’).
GG. INVESTING IN AMERICA SIGNAGE. For any Bipartisan Infrastructure Law or
Inflation Reduction Act funded public construction project in the amount of $250,000 or
more, the Cooperator shall visibly post clear and prominent signs acknowledging the
source of funding. See Office of Management and Budget Memorandum CA-23-6.
For any construction project less than $250,000 or a non-construction project, the
Cooperator is encouraged to display a poster or utilize other appropriate Investing in
America media. Specific sign and poster design criteria may be found in the USDA Style
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Guide. Production costs of Investing in America signs shall be reasonable. To maintain
reasonable costs, the Cooperator is encouraged to use recycled or recovered materials
when producing signs. In the event production of such signs and/or posters will result in
unreasonable costs, expenses or burden to the Cooperator, production will not be
required, and the Forest Service should be notified.
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ATTACHMENT B: 2 CFR PART 170
Appendix A to Part 170—Award Term
I. Reporting Subawards and Executive Compensation
a. Reporting of first-tier subawards.
1. Applicability. Unless you are exempt as provided in paragraph d. of this award term, you
must report each action that equals or exceeds $30,000 in Federal funds for a subaward to
a non-Federal entity or Federal agency (see definitions in paragraph e. of this award
term).
2. Where and when to report.
i. The non-Federal entity or Federal agency must report each obligating action
described in paragraph a.1. of this award term to http://www.fsrs.gov.
ii. For subaward information, report no later than the end of the month following the
month in which the obligation was made. (For example, if the obligation was made on
November 7, 2010, the obligation must be reported by no later than December 31,
2010.)
3. What to report. You must report the information about each obligating action that the
submission instructions posted at http://www.fsrs.gov specify.
b. Reporting total compensation of recipient executives for non-Federal entities.
1. Applicability and what to report. You must report total compensation for each of your
five most highly compensated executives for the preceding completed fiscal year, if—
i. The total Federal funding authorized to date under this Federal award equals or
exceeds $30,000 as defined in 2 CFR 170.320;
ii. in the preceding fiscal year, you received—
(A) 80 percent or more of your annual gross revenues from Federal procurement
contracts (and subcontracts) and Federal financial assistance subject to the
Transparency Act, as defined at 2 CFR 170.320 (and subawards), and
(B) $25,000,000 or more in annual gross revenues from Federal procurement
contracts (and subcontracts) and Federal financial assistance subject to the
Transparency Act, as defined at 2 CFR 170.320 (and subawards); and,
iii. The public does not have access to information about the compensation of the
executives through periodic reports filed under section 13(a) or 15(d) of the Securities
Exchange Act of 1934 (15 U.S.C. 78m(a), 78o(d)) or section 6104 of the Internal
Revenue Code of 1986. (To determine if the public has access to the compensation
information, see the U.S. Security and Exchange Commission total compensation
filings at http://www.sec.gov/answers/execomp.htm.)
2. Where and when to report. You must report executive total compensation described in
paragraph b.1. of this award term:
i. As part of your registration profile at https://www.sam.gov.
ii. By the end of the month following the month in which this award is made, and
annually thereafter.
c. Reporting of Total Compensation of Subrecipient Executives.
1. Applicability and what to report.Unless you are exempt as provided in paragraph d. of
this award term, for each first-tier non-Federal entity subrecipient under this award, you
shall report the names and total compensation of each of the subrecipient’s five most
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highly compensated executives for the subrecipient’s preceding completed fiscal year,
if—
i. in the subrecipient’s preceding fiscal year, the subrecipient received—
(A) 80 percent or more of its annual gross revenues from Federal procurement
contracts (and subcontracts) and Federal financial assistance subject to the
Transparency Act, as defined at 2 CFR 170.320 (and subawards) and,
(B) $25,000,000 or more in annual gross revenues from Federal procurement
contracts (and subcontracts), and Federal financial assistance subject to the
Transparency Act (and subawards); and
ii. The public does not have access to information about the compensation of the
executives through periodic reports filed under section 13(a) or 15(d) of the Securities
Exchange Act of 1934 (15 U.S.C. 78m(a), 78o(d)) or section 6104 of the Internal
Revenue Code of 1986. (To determine if the public has access to the compensation
information, see the U.S. Security and Exchange Commission total compensation
filings at http://www.sec.gov/answers/execomp.htm.)
2. Where and when to report. You must report subrecipient executive total compensation
described in paragraph c.1. of this award term:
i. To the recipient.
ii. By the end of the month following the month during which you make the subaward.
For example, if a subaward is obligated on any date during the month of October of a
given year (i.e., between October 1 and 31), you must report any required
compensation information of the subrecipient by November 30 of that year.
d. Exemptions.
If, in the previous tax year, you had gross income, from all sources, under $300,000, you are
exempt from the requirements to report:
i. Subawards, and
ii. The total compensation of the five most highly compensated executives of any
subrecipient.
e. Definitions. For purposes of this award term:
1. Federal Agency means a Federal agency as defined at 5 U.S.C. 551(1) and further
clarified by 5 U.S.C. 552(f).
2. Non-Federal entity means all of the following, as defined in 2 CFR part 25:
i. A Governmental organization, which is a State, local government, or Indian tribe;
ii. A foreign public entity;
iii. A domestic or foreign nonprofit organization; and,
iv. A domestic or foreign for-profit organization
3. Executive means officers, managing partners, or any other employees in management
positions.
4. Subaward:
i. This term means a legal instrument to provide support for the performance of any
portion of the substantive project or program for which you received this award and
that you as the recipient award to an eligible subrecipient.
ii. The term does not include your procurement of property and services needed to carry
out the project or program (for further explanation, see 2 CFR 200.331).
iii. A subaward may be provided through any legal agreement, including an agreement
that you or a subrecipient considers a contract.
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5. Subrecipient means a non-Federal entity or Federal agency that:
i. Receives a subaward from you (the recipient) under this award; and
ii. Is accountable to you for the use of the Federal funds provided by the subaward.
6. Total compensation means the cash and noncash dollar value earned by the executive
during the recipient’s or subrecipient’s preceding fiscal year and includes the following
(for more information see 17 CFR 229.402(c)(2)).
END OF ATTACHMENT B: 2 CFR PART 170
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ATTACHMENT C: WHISTLEBLOWER NOTICE
Whistleblowers perform an important service to USDA and the public when they come
forward with what they reasonably believe to be evidence of wrongdoing. They should never
be subject to reprisal for doing so. Federal law protects federal employees as well as personal
services contractors and employees of Federal contractors, subcontractors, grantees, and
subgrantees against reprisal for whistleblowing. USDA bears the responsibility to ensure
that nothing in a non-disclosure agreement which a contractor, subcontractor,
grantee, or subgrantee requires their employees to sign should be interpreted as limiting
their ability to provide information to the Office of Inspector General (OIG).
41 U.S.C. § 4712 requires the head of each executive agency to ensure that its contractors
inform their workers in writing of the rights and remedies under the statute.
Accordingly, it is illegal for a personal services contractor or an employee of a Federal
contractor, subcontractor, grantee, or subgrantee to be discharged, demoted, or otherwise
discriminated against for making a protected whistleblower disclosure. In this context, these
categories of individuals are whistleblowers who disclose information that the individual
reasonably believes is evidence of one of the following:
• Gross mismanagement of a Federal contract or grant;
• A gross waste of Federal funds;
• An abuse of authority relating to a Federal contract or grant;
• A substantial and specific danger to public health or safety; or
• A violation of law, rule, or regulation related to a Federal contract (including the
competition for or negotiation of a contract) or grant.
To be protected under 41 U.S.C. § 4712, the disclosure must be made to one of the
following:
• A Member of Congress, or a representative of a committee of Congress;
• The OIG;
• The Government Accountability Office (GAO);
• A Federal employee responsible for contract or grant oversight or management
at USDA;
• An otherwise authorized official at USDA or other law enforcement agency;
• A court or grand jury; or
• A management official or other employee of the contractor, subcontractor, or
grantee who has the responsibility to investigate, discover, or address
misconduct.
Under 41 U.S.C. § 4712, personal services contractors as well as employees of contractors,
subcontractors, grantees, or subgrantees may file a complaint with OIG, who will investigate
the matter unless they determine that the complaint is frivolous, fails to allege a violation of
the prohibition against whistleblower reprisal, or has been addressed in another proceeding.
OIG’s investigation is then presented to the head of the executive agency who evaluates the
facts of the investigation and can order the contractor, subcontractor, grantee, or subgrantee
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to take remedial action, such as reinstatement or back pay.
Federal Acquisition Regulation (FAR) Subpart 3.903, Whistleblower Protections for
Contractor Employees, Policy, prohibits government contractors from retaliating against a
contract worker for making a protected disclosure related to the contract. FAR Subpart
3.909-1 prohibits the Government from using funds for a contract with an entity that requires
its employees or subcontractors to sign internal confidentiality statements prohibiting or
restricting disclosures of fraud, waste, or abuse to designated persons. This prohibition does
not contravene agreements pertaining to classified information. The regulation also requires
contracting officers to insert FAR clause 52.203-17, Contractor Employee Whistleblower
Rights and Requirement to Inform Employees of Whistleblower Rights,in all solicitations and
contracts that exceed the Simplified Acquisition Threshold as defined in FAR Subpart 3.908.
This clause requires notification to contractor employees that they are subject to the
whistleblower rights and remedies referenced in 41 U.S.C. § 4712.
In order to make a complaint alleging any of the violations mentioned above, one should
complete the OIG Hotline form located at: https://www.usda.gov/oig/hotline. For additional
information, they may also visit the WPC’s webpage at: https://www.usda.gov/oig/wpc or
they may directly contact the WPC at OIGWPC@oig.usda.gov.
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ATTACHMENT D: SUPPLEMENTAL PROVISIONS
JUSTICE 40 INITIATIVE. Executive Order (EO) 14008, Tackling the Climate Crisis at Home
and Abroad, was signed on January 27, 2021. This EO commits federal agencies to providing
40% of federal benefits to disadvantaged communities. When the cooperator is considering a
sub-award or contract to be executed under this agreement, the cooperator shall consider the
requirements of EO 14008, section 223, OMB M-21-28 and OMB-23-09.