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MTC/City of San Leandro <br />Master Funding Agreement for FY 2021-22 to FY 2030-31 <br />Page 45 <br /> <br /> <br />EXHIBIT B-7 <br />ADDITIONAL TERMS AND CONDITIONS <br />(REGIONAL DISCRETIONARY FEDERAL FUNDS INCLUDING STP AND CMAQ) <br /> <br />1. TERMINATION <br /> Notwithstanding Article 8.0, TERMINATION in the Master Funding Agreement, MTC may <br />terminate this Agreement without cause upon ten (10) days prior written notice. If MTC terminates this <br />Agreement without cause, AGENCY shall be entitled to payment for costs incurred for incomplete <br />deliverables, up to the maximum amount payable for each deliverable. If AGENCY fails to perform as <br />specified in this Agreement, MTC may terminate this Agreement for cause by written notice and <br />AGENCY shall be entitled only to costs incurred for work product acceptable to MTC, not to exceed the <br />maximum amount payable under this Agreement for such work product. <br /> <br />2. RETENTION OF RECORDS <br /> AGENCY agrees to establish and maintain an accounting system confirming to GAAP that is <br />adequate to accumulate and segregate reasonable, allowable, and allocable project costs. <br /> AGENCY further agrees to keep all records pertaining to the project being funded for audit <br />purposes for a minimum of three (3) years following final payment to AGENCY or four (4) years <br />following the fiscal year of the last expenditure under this Agreement, whichever is longer, in <br />accordance with generally accepted accounting principles. Copies of AGENCY audits, if any, <br />performed during the course of Project development and at Project completion shall be forwarded to <br />MTC no later than one hundred eighty (180) days after fiscal year end close. <br /> <br />3. AUDITS <br /> Notwithstanding Article 13.0, AUDITS in the Master Funding Agreement, AGENCY agrees to <br />grant MTC, or any agency that provides MTC with funds for the Project, including but not limited to, <br />the U.S. Department of Transportation, FHWA, the Comptroller General of the United States, the State, <br />and their authorized representatives access to AGENCY’s books and records for the purpose of <br />verifying that funds are properly accounted for and proceeds are expended in accordance with the terms <br />of this Agreement. All documents shall be available for inspection during normal business hours at any <br />time while the Project is underway and for the retention period specified in Article 4. <br /> AGENCY further agrees to include in all its third-party contracts hereunder a provision to the <br />effect that the contractor agrees that MTC, the U.S. Department of Transportation, FHWA, the <br />Comptroller General of the United States, the State, or any of their duly authorized representatives shall <br />have access to and the right to examine any directly pertinent books, documents, papers, and records of <br />such subcontractor, during normal business hours, for the term specified above. The term “contract” as <br />used in this clause excludes agreements not exceeding $25,000. <br /> <br />4. LICENSE TO WORK PRODUCTS <br /> AGENCY hereby grants to MTC an irrevocable, non-exclusive, royalty-free license to use <br />without restriction and share with any person or entity all drawings, designs, specifications, manuals, <br />reports, studies, surveys, models, software, source code and source code documentation, documentation <br />or system architecture, and any other documents, materials, data, and products (“Work Products”) <br />developed, prepared, or assembled by AGENCY or AGENCY’s consultant(s) or its subconsultants <br />pursuant to this Agreement. MTC may exercise their licenses to Work Products through sublicenses to a <br />418