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4 . "Section 3" Clause <br />' a. Compliance <br /> Compliance with the provisions of Section 3 , the <br /> regulations set forth in 24 CFR 135 , and all ap- <br /> plicable rules and orders issued hereunder prior <br /> to the execution of this contract, shall be a con- <br /> dition of the federal financial assistance <br /> provided under this contract and binding upon the <br /> City, the Subrecipient, and any subSubrecipients . <br /> Failure to fulfill these requirements shall sub- <br /> ject the City, the Subrecipient, and any sub- <br /> • Subrecipients, their successors and assigns, to <br /> those sanctions specified by the agreement through <br /> which federal assistance is provided. The Sub- <br /> recipient certifies and agrees that no contractual <br /> or other disability exists which would prevent <br /> compliance with these requirements . <br /> The Subrecipient further agrees to comply with <br /> these "Section 3" requirements and to include the <br /> - following language in all subcontracts executed <br /> under this Agreement: <br /> "The work to be performed under this contract is <br /> a project assisted under a program providing <br /> direct federal financial assistance from HUD and <br /> is subject to the requiremeats of Section 3 of <br /> the Housing and IIrban Development Act of 1968, <br /> as amended, 12 II. S .C. 1701. Section 3 requires <br /> that to the greatest extent feasible, opportun- <br /> ities for training and employment ]�e given to <br /> lower incou►e residents of the proj�ct area and <br /> contracts for work in connection w.�.th the <br /> project be awarded to business concerns which <br /> are located in, or owned in substantial part <br /> by persons residing in the areas of the project. " <br /> The Subrecipient certifies and agrees that no con- <br /> t::actual or other disability exists which would <br /> prevent compliance with the requir�nents . <br /> b . Subcontracts <br /> The Subr.ecipient will include this Section 3 <br /> clause in every subcontract and will take ap- <br /> propriate action pursuant to the subcontract upon <br /> a finding that the subSubrecipient is in violation <br /> of regulations issued by the Grantor Agency. The <br /> Subrecipient wi'll not subcontract. with any sub- <br /> Subrecipient where it has notice or knowledge that <br /> 14 <br />