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Resolution 2007-005 RESOLUTION NO. 2007- 05 A RESOLUTION BY THE BOARD OF COUNTY COMMISSIONERS, COLLIER COUNTY, FLORIDA, AUTHORIZING THE COUNTY MANAGER OR HIS DESIGNEE TO APPLY FOR A FEDERAL TRANSIT AGENCY SECTION 5310 GRANT, TO REVISE AND EXECUTE ANY REQUIRED DOCUMENTATION, AND TO ACCEPT, ON BEHALF OF THE COUNTY, ANY SUCH GRANT A WARDED. WHEREAS, 49 U.S.C.~ 5310 authorizes the Secretary of Transportation to make grants and loans to local government authorities such as Collier County to help provide mass transportation services to meet the special needs of elderly individuals and individuals with disabilities; and WHEREAS, each year, through an application process administered by the Florida Department of Transportation, the Collier County Transportation Disadvantaged program has obtained funds that are used for the purchase of vehicles and for the provision of transportation services to the elderly and disabled residents of Collier County; and WHEREAS, the Collier County Local Coordinating Board (LCB) has requested that the Collier County Board of County Commissioners apply this year for FTA 49 U.S.c.g 5310 funds in order to purchase vehicles to transport the elderly and disabled residents of Collier County; and WHEREAS, the Board of County Commissioners of Collier County, Florida, has authority to apply for and accept grants from the Florida Department of Transportation as authorized by Chapter 341, Florida Statutes, and by the Federal Transit Administration Act of 1964, as amended. NOW THEREFORE, BE IT RESOLVED by the Board of County Commissioners, Collier County, Florida, that: 1. The County Manager, or his designee, is hereby authorized to revise and execute any and all documents necessary to apply for the Federal Transit Administration Section 5310 Grant, including executing the Certification and Assurance to FDOT document, a copy of which documents are attached hereto, to approve any budget amendments necessary to receive these funds, and to accept these funds on behalf of the County. 2. Any decision to terminate or otherwise not accept the Grant shall first require approval by the Board of County Commissioners as an agenda item. 3. This Resolution shall be effective immediately upon signature by the Chairman. This Resolution adopted after motion, second and majority vote favoring same, this 9th day of Jan~ary, 2007. ATTEST: DWIGHT E. BROCK, Clerk By:.o..t.QA .~... ~ O. L D tv Clerk Attest IS 11....." , It 9I'lturt on 1 · d as'to form and legal sufficiency: 2/~ cott Teac , Assistant County Attorney BOARD OF COUNTY COMMISSIONERS COLLIERCOUNT~DA BY:~~ ' Frank Halas, ai ~ APPLICATION FOR 2. DATE SUBMITTED Applicant Identifier FEDERAL ASSISTANCE January 12, 2007 1. TYPE OF SUBMISSION: 3. DATE RECEIVED BY STATE State Application Identifier APllllcation pre~llcatlon o Construction Construction 4. DATE RECEIVED BY FEDERAL AGENCY F ederalldentlfier rxl Non-Construction o Non-Construction . ",..,...,<.<'w, Legal Name Collier County Board of County Commissioners Organizational Unit Address (give city, county, state and zip code) Name ana telepnone numDer Of person to be contactea on matters Involving 2885 South Horseshoe Drive this application (give area code) Naples, FI34104 Sue Faulkner, Principal Planner (239)213-5889 E-mail: suefaulkner@colliergov.net fax (239) 213-5899 6. EMPLOYER IDENTIFICATION NUMBER (EIN) 7. TYPE OF APPLICANT (onto' Ippropriolo 10110' In box) ~ 5 I 9 610101015 5181 A. s".. H. Independent School Dist. B. COWlty I. State controlled Institute orHiJ,hcr Leaminl C. Municipal 1. PrivlccUniversity ~ D ContinuatiCWI D D. Township K. Indian Tribe New Kevlslon E. Inlcnt8lC L. Individual F. Intcrmunicipal M. Profit Organization If Rcvision. enter appropriate 1ctter(1) in OOx(I). G. Special Dittrict N. Other (SpecifY) A. Increuc Award B. Decr<aIc Awanl C.Inc:reaIC Duration D. Decrease Duration Other (SpecilY) 9. NAME OF FEDERAL AGENCY FEDERAL TRANSIT ADMINISTRA TION 10. CATALOG OF FEDERAL DOMESTIC 12 o I 015 11 131 11. DESCRIPTIVE TITLE OF APPLICANTS PROJECT: Purchase of three (3) replacement and one (1) expanded ASSISTANCE NUMBER service paratransit vehicle. TITLE FodoroI TfIIfI8It Admin/_on Soctfon 5310 """""'" 12. AREAS AFFECTED BY PROJECT (citieo. COlInli.., '''I.., etc.) Requested Federal funds this Grant $253,600 Collier County, Florida 13. PROPOSED PROJECT 14. CONGRESSIONAL DISTRICTS OF Start Date EndinB D.tc a. Applicant lb. Project 711/20071 613012008 14 14 IS. ESTIMATED FUNDING 16. IS APPLICATION SUBJECT TO REVIEW BY STATE EXECUTIVE ORDER 12372 PROCESS? I. Federal $ 253,600 a. YES DHIS PREAPPLlCA TlON, APPLICATION WAS MADE A V A1LA.BLE TO THE b. ADDllcont STATE EXECUTIVE ORDER 12372 PROCESS FOR REVIEW ON C.stlt. $ 31,700 Date: 1/1212007 d. Locol $ 31,700 b. NO PROGRAM IS NOT COVERED BY EO 12372 8. other D OR PROGRAM HAS NOT BEEN SELECTED BY STATE FOR REVIEW f. Proaf1lm Income 17. IS THE APPLICANT DELINQUENT ON ANY FEDERAL DEBT'I $ 317,000 CJ,. If"Ycl-lttach an cxplanation EJ . TOTAL 18. TO THE BEST OF MY KNOWLEDGE AND BELIEF ALL DATA IN THIS APPLICATION PREPARATION ARE TRUE AND CORRECT. THE DOCUMENT HAS BEEN DULY AUTHORIZED BY THE GOVERNING BODY OF THE APPLICANT AND THE APPLICANT WILL COMPLY WITH THE ATTACHED ASSURANCES IF THE ASSISTANCE IS AWARDED. a. Typed Name of Aud ~~ Rop,osontorive I~ Tide c. Telephone number Norman Fe( Transportation Administrator 1(239) 774-8192 d. SiIDI/f:~ ~R"1'1;L e. Date Signed ,.___ ' .1- 1//1 j" 7 '-~1"'~' . Slandard Fonn 424 (REV 4.88) Authorized for Local Reproduction Prescribed by OMS CircuJar A-102 2 TRANSPORTATION - RELATED OPERATING and ADMINISTRATIVE EXPENSES Name of Applicant: Collier County Board of County Commissioners Date Completed 1/10/2007 FI8cal Period from 7/1/07 - 6/30/08 EXPENSE CATEGORY TOTAL EXPENSE Labor (501) Frlnae and Benefits (502) S.rvlces (503) Materials and SUDDII.. (504) V.hlele Malntenanc. (504.01' Utilities (505) Insuranc. (506) Lic.ns. and Taxes (507) Purchased Tran81t S.rvlc. "(508) $ 2,346,198 Mlsc.llaneou. (509) L..... .nd R.ntal. (512) O.Dreci.tlon (513) T atal. $2,346,198 3 . OPERATING and ADMINISTRATIVE REVENUE Name of Applicant Organization:Collier County Board of County Commissioners Date Completed 12/1912007 OPERATING REVENUES Fiscal Period from 7/01/07 - 6130108 TOTAL REVENUE Pa..enger Fares for Transit Services T_ $142,545 T $26,321 Special Transit Fares (402) $246,516 School Bus Service Revenue (403) Frelaht Tarrlffs 1404) Charter Service Revenues (405) Auxiliary Transportation Revenue. (406) Non-Transportation revenues (407) Total Operating Revenues OTHER REVENUES Taxes Levied directly by Transit System 1408) Local Cash Grants and Reimbursements 1409) $817,102 Local Special Fare Assistance 1410) State Cash Cash Grants and Reimbursements (411 ) $1,0604,915 State Special Fare Assistance (412) Federal Cash Grants and Reimbursements (413) $154,961 Interest Income (414) Contributed Service. (430) Contributed Cash 1431) Subsidy from Other Sectors of ODeratlons 1440) Total of Other Revenue. GRAND TOTAL REVENUES $2,452,380 f;ollier Area TralUlit Listing 0' t;apiial Assesis .. Asset # Item' FixedlQute I Make Description Year Replacement Engine P~atransit Year Rebuild * 12-14 month delivery-order in 2007 10147 Bus Para transit Ford E350 Van 2001 2006 replaced 10148 Bus Paratransit Ford E350 Van 2001 2006 replaced 10168 Bus Para transit Ford E350 Van 2001 2006 replaced 10149 Bus Para transit Ford E350 Van 2001 2006 replaced 30035 Bus Paratransit Ford StarT ran Bus 2003 2007 30036 Bus Paratransit Ford StarT ran Bus 2003 2007 31622 Bus Paratransit Ford E450 2003 2008 42782 Bus Paratransit Ford E450 2003 2007 42783 Bus Paratransit Ford E450 2004 2009 42811 Bus Paratransit Ford E350 Van 2003 2008 42812 Bus Paratransit Ford E350 Van 2003 2009 ~ Bus Paratransit Ford E350 Van 2003 2008 42814 Bus Paratransit Ford E350 Van 2003 2008 50380 Bus Paratransit Ford E450 2003 2008 60052 Bus Paratransit Chevrolet Glaval Bus 2006 2011 60053 Bus Paratransit Chevrolet Glaval Bus 2006 2011 ~ Bus Para transit Chevrolet Glaval Bus 2006 2011 60058 Bus Paratransit Chevrolet Glaval Bus 2006 2011 60059 Bus Paratransit Chevrolet Glaval Bus 2006 2011 oending Bus Paratransit Chevrolet Glaval Bus 2007 CAPITAL REQUEST VEHICLE REQUEST Number Estimated Cost FTA GMIS Code RorE Of Requested Options Vehicles 25' wide body diesel buses with 11ft and 2 we positions (In each) 11. R 3 $255,000 11. E 1 $62,000 11. 11. 11. 11. Sub-Total $317,000 OTHER CAPITAL REQUEST Estimated Cost FTA GMIS Code Quantity Brief Description 11. 11. 11. 11. 11. 11. OTHER CAPITAL SUBTOTAL VEHICLE SUBTOTAL $ $317,000 + OTHER CAPITAL SUBTOTALS o 317,000 X 80% II Federal Request $ $253,600 FY 2007 Grant application, 5310 EXHIBIT A: Current System Description: FTA - 5310 Currently, Collier Area Transit provides transportation services to the general public. Services provided include fixed route bus service and paratransit service. The public transit services are managed by a contracted management company; McDonald Transit Associates, Inc. Paratransit service is available seven days per week, 24 hours per day. All service is provided by contracted operators. Paratransit service is door to door. Drivers will assist anyone who appears to need assistance, especially the frail and elderly and those who are mentally or physically disabled, from their door to their seat on the vehicle. Drivers will not go into a home and cannot go to rooms of nursing homes or hospitals due to time constraints and liability issues. Office hours are from 7:00 a.m. to 5:30 p.m. Monday through Friday. After hours calls are forwarded to one of the contracted carriers who have actual operations twenty-four hours per day. All available funds will be used to carry out the mission of the Collier County Local Coordinating Board, which is to carry out a coordinated and comprehensive approach to planning, developing and providing transportation services that meet the needs of transportation disadvantaged persons. It is estimated that over 122,028 one-way trips will be provided during the current fiscal year. Fares for the general public will be the same as other passenger fares. Fares for the paratransit program are implemented as regulated by each funding source. ADA fares are set up at $2.00 per one-way trip, lower than allowed by regulations and based on Collier Area Transit's fixed route bus fares. As mentioned above, service is managed by a contracted management company, McDonald Transit Associates, Inc. service is provided by carriers under contract to McDonald Transit using vehicles owned by the County and by the carriers. Currently, the provider operates 14 routes and provides back up service with additional vehicles. Collier Area Transit's fixed route operates nine routes, using 14 buses in peak service. Collier Area Transit's paratransit program operates an average of 25 routes and or manifests each day; using an average of 15 Collier County owned vehicles. The balance of the routes are operated vehicles provided by private-for-profit providers. All the maintenance of vehicles is performed by Collier County Fleet Management. Safety is a primary concern of all transportation entities. Our current vehicle inventory is supplied elsewhere in this grant application. As can be seen, many of the vehicles presently in the Collier TD Fleet have high mileage on them. The CTC would like to be able to replace three vehicles and expand the fleet by one vehicle. Required for Section 5310 EXHIBIT A-1 DATA INFORMATION FACT SHEET PART 1 - For Section 5310 Applicants Only Type of Service Existing If Grant Is Awarded 1 Number of one-way passenger trips provided to elderly and persons With disabilities (E&D):** Year 122,028 122,028 2 Number of individual E&D persons Served: (Unduplicated):* Year 1,062 1,062 3 Percentage of E&D needing wheelchair positions: Avg. 13% 13% 4 Number of vehicles to provide service: Avg. 26 26 5 Number of ambulatory seats: Avg. 226 226 6 Number of wheelchair positions: Avg. 23 23 7 Vehicle miles traveled: Per Year 1,318,179 1,318,179 8 Avg. Vehicle Miles per day 4,225 4,225 9 Normal number of days in operation per week: 6 6 10 Normal hours of vehicle operation per day: 10 10 11 Average trip length: 10.80 10.80 * Estimates are acceptable ** See page 50 for definition of one-way passenger trip. EXHIBIT B: Proposed Project Description: FTA - 5310 The Collier County Board of County Commissioners is requesting FT A Section 5310 funds in the amount of $253,600 (80%). State match funds in the amount of $31,700 (10%) will also be requested. This will be matched with local funds in the amount of $31,700. Funds from this grant will be used to purchase replacement vehicles to continue the existing level of service. The vehicles scheduled for replacement have exceeded their useful life and must be replaced if normal service is to continue. These and other vehicles will be used to provide paratransit transportation services throughout the county. The vehicles will be leased to providers under contract. Maintenance of these vehicles will be performed by the Collier County Management Department. Section 5310 funding for these vehicles is essential if service is to continue. Collier County currently provides over $1,000,000 each year to provide paratransit service. The current fleet of vehicles is inadequate due to their age and condition. If this grant is not approved, Collier County may be forced to use some of the Local Operating funds to purchase replacement vehicles. Collier Area Transit provides ADA, Medicaid, and Transportation Disadvantaged, and agency funded paratransit trips for the at-risk population of Collier County, including those with disabilities, low income, or the elderly. Without 5310 funds for replacement vehicles, Collier County may have to implement the prioritization of Transportation Disadvantaged paratransit trips as allowed by the State of Florida Commission for the Transportation Disadvantaged. Trips would be reduced and many passengers would not have access to recreational, medical, shopping and other life sustaining transportation. A Budget is provided elsewhere in the grant application. to Exhibit C - Public Notice Insert ad here PRINT ABLE:Classifieds: Mach2: Results page Page 1 of 1 To print this page, select File then Print from your browser Printable Version Courtesy of Naples Daily News Notice of Action - NOTICE OF PUBLIC HEARING All interested parties within Collier County are hereby advised that the Collier County Board of Commissioners is applying to the Florida Department of Transportation for a capital grant under Section 5310 of the Federal Transit Act of 1991, as amended, for the purchase of four (4) lift-equipped Body-onChassis buses to be used for the provision of public transit services within Collier County. The estimated cost of each vehicle is between $65,000 and $82,000. A Public Hearing has been scheduled on Wednesday, January 17, 2007, 9 a.m. at the Alternative Transportation Modes Dept., 2885 South Horseshoe Drive, Naples for the purpose of advising all interested parties of service being contemplated if grant funds are awarded, and to ensure that contemplated services would not represent a duplication of current or proposed services provided by existing transit or paratransit operators in the area. This hearing will only be conducted if, and only if, a written request for a hearing is received prior to January 12,2007. Requests for a hearing must be addressed to Sue Faulkner, Principal Planner, Collier County Transportation Services Division, 2885 South Horseshoe Drive, Naples, FL 34104 and a copy sent to Mr. Terry Beacham, Public Transportation Manager, Florida Department of Transportation District One, P.O. Box 1249,801 N. Broadway, # 110, Bartow, FL 33830-1249. For more information, call Sue Faulkner at 7748192. Jan. 3 No. 1497407 Date: 01/03/2007 Editions: http://marketplace.naplesnews.com/mach2/nap/print/printable.action ?CatId=notices&ClassI... 1/3/2007 01/10/2007 23:28 2392634703 :~oreign Account Number o H230 j~d * 14 97407 1\d Net CO:!lt $181.80 llame (Primary) BOARD OF ::OUNTY COMMISS Company (Primary) ~;treet 1 (Primary) PO 80,: 413016 eit y (Pdroi-ry) NAPLES ~;tate (Primary) FL ;;rp (Primary) 34101-3016 (239) 77 1-4434 Phone (Primary) Class Code 0114 - Notice ot Action ~:tart Date 01/03/2007 01/03/2007 Etop Date ~repayment Amount $0.00 Jrl Sales Rep. 716 - Beck, J. Riley ~idth 1 C epth 72 NOTICE OF Pl.lllIC HEAItINa All tntl!nut" parties wlthlr, Collier Count)' an! he -eby ilclvlsed th* the Co f. Countr IIIwd of Con ImlaIIIMfS Is~ pl11ng to the "arId. Di!- PlIrtrn1~nt of T~. tlon fc r a ~.ltal ,ram under sectl." 5310 of tll. F. ~ral TraMlt Ad of 1"2. as amtncIMI, for the"" .ctlan Of four (4) lift... flp"d Ikld)'-on- Ctru! 5 bUSIl' to be uSIICl fl.,. the provlsfOll of J)ulllic tr.nslt servbls wlt"lr CollIer Cou~. "thee!tlmmd calt 0' l!iIch v!hlcle Is betwel!r1 565,000 WId SIZ.aoo. A Pub Ie Hearing hu bun Jchedull!iI 0" Weclnnd." Januuy 17. 2007. 9 Lm. lit"" Alter- native Tran.sJlortatlon Mallei Dt!pt.. ;rill IOuth MortrllS101 ~ ~ 'or till' rUI'POH of ... vlt'Ilt;~ IIMmttf Nt. till 0' S.rvlce lie'... eontt""lat.- If ,rant fl.lnCls H'- awardee!, and to t'IlSllTI! that contem. P Iiltl!d Sl!rv Ices would not rtq; rul!l'lt .. Ifupllca- llan 01 cumnt or pro- posed leI'Vlces provldlld by oxlltinl traMIt or lliVatI'l.nSIt operators In IhI!_1. Thll h.!.r'nl wltl onlY be CO"C1I.lCt.. If. anil 001)1 If. . wrttt.n reo... for.. tM~ 'I I'lICIIiMd ~![ JMliIll'Y 12,2007. Requef ts for 4 Ilarlrll mUJt I'. Hdr9..eCl to SUI! FaJll!ntr, "rlllel"' ~'anne -, eO Iller eount)< Transport_Ion SIrvloU Dlvl511lnhZ1I85 South HOrst'J Ol! Drive, Napl!!s. FL 3uOIIIIld a coP)' J !nt to Mr, Terry B.achi m, ~ub"c Trans- CLASS I PAGE 01 Q/3- ~g91 01/10/2007 23:28 portetlon ~tpr~ FIO'idl~ OT Trillllll ...-~ o~l..o. 1M..I N. ..... . no. 1lIr. tt)W. . 3-.U4I. . I'or IIIore 'nttnrlMlOfl. ~l " . 'ftloIIIcMr lit 'r7'" 8112. J&n. 3 NO.1""'" 2392634703 CLASS PAGE 02 Exhibit D -- Coordination The Collier County BCC is the Community Transportation Co rdinator (CTC) for Collier County'l I . ,.."., ~-'-~'.__._-'---"'-"-'""-'" "_._---~-~-,- Exhibit F - Federal Certifications and Assiances ; Appendix A FEDERAL FY 2007 CERTIFICATIONS AND ASSURANCES FOR FTA ASSISTANCE Name of Applicant: Collier Countv Board of County Commissioners The Applicant agrees to comply with applicable requirements of Categories I _ XV. (The Applicant may make this selection in lieu of individual selections below.) X OR The Applicant agrees to comply with the applicable requirements of the following categories it has selected: I. Certifications and Assurances Required of Each Applicant. II. Lobbying Certification III. Effects on Private Mass Transportation Companies IV. Public Hearing Certification for a Project with Substantial Impacts V. Certification for the Purchase of Rolling Stock VI. Bus Testing Certification. VII. Charter Service Agreement. VIII. School Transportation Agreement. IX. Certification for Demand Responsive Service X. Substance Abuse Certifications XI. Certification for a Project Involving Financing Costs XII. Certifications for the Urbanized Area Formula Program and the Job Access and Reverse Commute Program XIII. Certifications for the Elderly and Persons with Disabilities Program XIV. Certifications for the Nonurbanized Area Formula Program XV. Certifications for the State Infrastructure Bank (SIB) Program (Both sides of this Signature Page must be appropriately completed and signed where indicated.) Appendix A FEDERAL FISCAL YEAR 2007 FTA CERTIFICATIONS AND ASSURANCES Required of all Applicants for FT A assistance and all FT A Grantees with an active capital or formula project Name of Applicant: Collier County Board of County Commissioners Name and Relationship of Authorized Representative: Norman E. Feder BY SIGNING BELOW I, Norman E. Feder, on behalf of the Applicant, declare that the Applicant has duly authorized me to make these certifications and assurances and bind the Applicant's compliance. Thus, the Applicant agrees to comply with all Federal statutes, regulations, executive orders, and administrative guidance required for each application it makes to the Federal Transit Administration (FT A) in Federal Fiscal Year 2007. FTA intends that the certifications and assurances the Applicant selects on the other side of this document, as representative of the certifications and assurances in Appendix A, should apply, as required, to each project for which the Applicant seeks now, or may later, seek FTA assistance during Federal Fiscal Year 2007. The Applicant affIrmS the truthfulness and accuracy of the certifications and assurances it has made in the statements submitted herein with this document and any other submission made to FT A, and acknowledges that the provisions of the Program Fraud Civil Remedies Act of 1986, 31 U.S.C. 380 I et seq~, as implemented by U.S. DOT regulations, "Program Fraud Civil Remedies," 49 CFR part 31 apply to any certification, assurance or submission made to FTA. The criminal fraud provisions of 18 U.S.C. 1001 apply to any certification, assurance, or submission made in connection with the Urbanized Area Formula Program, 49 U.S.C. 5307, and may apply to any other certification, assurance, or submission made in connection with any other program administered by FT A. In signing this document, I declare under penalties of perjury that the foregoing certifications and assurances, and any other statemen made by me on behalf of the Applicant are true and correct. Date: I {Ilk? , , Signature Name: Norman .Feder Authorized Rep esentative of Applicant AFFIRMA nON OF APPLICANT'S A ITORNEY for Collier County Board of County Commissioners (Name of Applicant) As the undersigned legal counsel for the above named Applicant, I hereby affirm to the Applicant that it has authority under state and local law to make and comply with the certifications and assurances as indicated on the foregoing pages. I further affirm that, in my opinion, the certifications and assurances have been legally made and constitute legal and binding obligations on the Applicant. I further affIrm to the Applicant that, to the best of my knowledge, there is no legislation or litigation pending or imminent that might adversely affect the validity of these certifications and assurances, or of the performance of the project. Furthermore, if I become aware of circumstances that change the accuracy of the foregoing statements, I will notify the Applicant prompt which ay so inform FT A. Date: /eJ..},h) tJ b . Signature Name: Scott Teach. Assist Applicant's Attorney Each Applicant for FT A financial assistance (except 49 U.S.C, 53l2(b) assistance) and each FT A Grantee with an active capital or formula project must provide an Attorney's affirmation of the Applicant's legal capacity. The Applicant may enter its PIN number in lieu of the electronic signature of its Attorney, provided the Applicant has on file this Affirmation of its Attorney dated this Federal fiscal year. EXHIBIT H APPLICANT CERTIFICATION AND ASSURANCE TO FDOT To be completed and sil!Ded by an individual authorized by the 2overnin2 board of the applicant a2enCy and submitted with the 2rant application. The Collier County BCC certifies and assures to the Florida Department of Transportation in regard to its Application for Assistance under 49 V.S.C. Section 5310 dated January 9,2007 1) It shall adhere to all Certifications and Assurances made to the federal government in its Application. 2) It shall comply with Section 341.051 Florida Statutes and Chapter 14-73 Florida Administrative Code. 3) It has the fiscal and managerial capability and legal authority to file the application. 4) Local matching funds will be available to purchase vehicles/equipment at the time an order is placed. 5) It will carry adequate insurance to maintain, repair, or replace project vehicles/equipment in the even of loss or damage due to an accident or casualty. 6) It will maintain project vehicles/equipment in good working order for the useful life of vehicles/equipment. 7) It will return project vehicles/equipment to the Department if, for any reason, they are no longer needed or used for the purpose intended. 8) It recognized the Department's authority to remove vehicles/equipment from its premises, at no cost to the Department, if the Department determines the vehicles/equipment are not used for the purpose intended, improperly maintained, uninsured, or operated unsafely. 9) It will not enter into any lease of project vehicles/equipment or contract for transportation services with any third party without prior written approval of the Department. 10) It will notify the Department within 24 hours of any accident or casualty involving project vehicles/equipment, and submit related reports as required by the Department. 11) It will submit an annual financial audit report to the Department, if required by the Department. Date: 'I" /"., Signature: Norman Feder, ransportation Administrator Typed name and title