R2014-116 EXECUTION OF PUBLIC TRANSPORTATION CAPITAL ASSISTANCE GRANT AGREEMENT

Home Browse Search

CAP-14-1034-ILL, Contract No. 4464 The Grantee shall keep satisfactory records with regard to the use of the Project Facilities and shall submit to the Department, upon request, such information as the Department may require in order to assure compliance with this ITEM, and the Grantee shall immediately notify the Department in all cases where Project Facilities are used in a manner substantially different from that described in the Grantee's final approved application. The Grantee shall maintain, in an amount(s) and form satisfactory to the Department, such insurance or self-insurance as will be adequate to protect Project Facilities throughout the period of required use. The cost of such insurance shall not be an item of allowable cost under this Agreement. The Grantee shall also submit, from time to time, to the Department upon request, a certification that the Project Facilities are still being used in accordance with the terms of this Agreement and further certify that no part of the local contribution to the cost of the Project has been refunded or reduced. B. Maintenance and Withdrawn Property-The Grantee agrees to maintain any Project Facilities at a high level of cleanliness, safety, and mechanical soundness and in accordance with any guidelines, directives, or regulations that the manufacturer, contractor, or the Department may issue, the stricter standard shall apply unless excused by the Department. For vehicles, the manufacturer's suggested maintenance and inspection schedule will be considered the minimum maintenance standard that must be adhered to. For vehicles, the Grantee must establish and follow a written maintenance plan which includes, pre-trip inspections, a preventive maintenance program, and documentation of repairs. The Department shall have the right to conduct periodic inspections for the purpose of confirming proper maintenance pursuant to this Section. The Department reserves the right to require the Grantee to restore, repair or replace Project Facilities or pay for damage as a result of abuse, neglect, or misuse of such Project Facilities. If, at anytime during the useful life of the Project Facilities, any of the Project Facilities are not used for the purposes specified in this Agreement, whether by planned withdrawal, misuse or casualty loss, the Grantee shall immediately notify within thirty (30) days and receive approval from the Department prior to disposing of such Project Facilities. Any such disposition shall be in accordance with Department procedures and this Agreement. (1) Interest in Property- Unless otherwise approved by the Department, the Grantee agrees to remit to the Department the State interest in the fair market value, if any, of any item of the Project Facilities whose unit value exceeds$5,000, or the Project Facility, at the option of the Department. The portion of that interest shall be determined on the basis of the ratio of the assistance provided by the Department for the particular Project Facility to the actual cost of the Project. In the event the Project Facility is prematurely destroyed by fire, casualty, or natural disaster, the Grantee may, alternatively, fulfill its responsibilities with respect to the damaged facilities by investing an amount equal to the value of the remaining State interest in like-kind facilities that are eligible for assistance within the scope of the Project. (2) Fair Market Value-The following requirements apply to the calculation of fair market value: (a) Proiect Facilities- Unless otherwise approved in writing by the Department, the fair market value of any of the Project Facilities will be the value of that property at the time immediately before the occurrence that prompted the withdrawal of the Project Facilities from transit use. The fair market value shall be calculated by the one of the following: (1)appraised value consistent with State standards, (2) on a straight line depreciation of the Project Facilities, based on a useful life approved by the Department irrespective of the reason for withdrawal of Project Facilities from transit use, or(3)the actual proceeds from the public sale of such property, whichever method is approved by the Department with an objective to State Capital Grant Page 9