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City of San Leandro <br /> Agreement No.: 11- 806 -550 <br /> Project No.: C -06- 7002 -110 <br /> (b) The Recipient, its contractors, and subcontractors shall insure that the evaluation and <br /> treatment of their employees and applicants for employment are free from such • <br /> discrimination and harassment. <br /> (c) The Recipient, its contractors, and subcontractors shall comply with the provisions of the Fair <br /> Employment and Housing Act (Gov. Code §12990 (a -f) et seq.) and the applicable <br /> regulations promulgated thereunder (California Code of Regulations, Title 2, Section 7285 et <br /> seq.). The applicable regulations of the Fair Employment and Housing Commission <br /> implementing Government Code Section 12990 (a -f), set forth in Chapter 5 of Division 4 of <br /> Title 2 of the California Code of Regulations, are incorporated into this Agreement by <br /> reference and made a part hereof as if set forth in full. <br /> (d) The Recipient, its contractors, and subcontractors shall give written notice of their obligations <br /> under this clause to labor organizations with which they have a collective bargaining or other <br /> Agreement. <br /> (e) The Recipient shall include the nondiscrimination and compliance provisions of this clause in <br /> all subcontracts to perform work under the Agreement. <br /> 5.17 No Third Party Rights. <br /> The parties to this Agreement do not create rights in, or grant remedies to, any third party as a <br /> beneficiary of this Agreement, or of any duty, covenant, obligation or undertaking established <br /> herein. <br /> • <br /> 5.18 Operation and Maintenance; Insurance. <br /> The Recipient agrees to properly staff, operate and maintain all portions of the Project during its <br /> useful life in accordance with all applicable state and federal laws, rules and regulations. <br /> The Recipient will procure and maintain or cause to be maintained insurance on the System with <br /> responsible insurers, or as part of a reasonable system of self- insurance, in such amounts and <br /> against such risks (including damage to or destruction of the System) as are usually covered in <br /> connection with systems similar to the System. Such insurance may be maintained by the <br /> maintenance of a self- insurance plan so long as any such plan provides for (i) the establishment <br /> by the Recipient of a separate segregated self- insurance fund funded in.an amount determined <br /> (initially and on at least an annual basis) by an independent insurance consultant experienced in <br /> the field of risk management employing accepted actuarial techniques and (ii) the establishment <br /> and maintenance of a claims processing and risk management program. <br /> In the event of any damage to or destruction of the System caused by the perils covered by such <br /> insurance, the net proceeds thereof shall be applied to the reconstruction, repair or replacement <br /> of the damaged or destroyed portion of the System. The Recipient shall begin such <br /> reconstruction, repair or replacement as expeditiously as possible, and shall pay out of such net <br /> proceeds all costs and expenses in connection with such reconstruction, repair or replacement so <br /> that the same shall be completed and the System shall be free and clear of all claims and liens. If <br /> • such net proceeds are insufficient to enable the Recipient to pay all remaining unpaid principal <br /> portions of the Installment Payments, the Recipient shall provide additional funds to restore or <br /> replace the damaged portions of the System. <br /> 22 <br /> 10,0c 110 <br />