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3. Workers' Compensation. Any and all employees of the City or other persons 63 <br />while engaged in the performance of any work or services required or <br />permitted by the City under this agreement will not be considered employees <br />of Mn/DOT, and any and all claims that may arise under the Workers' <br />Compensation Act of Minnesota on behalf of said employees, or other persons <br />while so engaged, will in no way be the obligation or responsibility of <br />Mn/DOT. The City will require proof of Workers' Compensation Insurance <br />from any contractor and sub -contractor. <br />F. AUDIT. <br />1. The City will comply with the Single Audit Act of 1984 and Office of <br />Management and Budget (OMB) circular A-133 including amendments and <br />successors thereto, which are incorporated herein by reference. <br />2. As provided under Minnesota Statutes Section 16C.05, subdivision 5, all <br />books, records, documents, and accounting procedures and practices of the <br />City are subject to examination by the United States Government, Mn/DOT, <br />and either the Legislative Auditor or the State Auditor as appropriate, for a <br />minimum of six years. The City will be responsible for any costs associated <br />with the performance of the audit. <br />G. MAINTENANCE. The City assumes full responsibility for the operation and <br />maintenance of any facility constructed or improved under this Agreement. <br />H. CLAIMS. The City will pay any and all lawful claims arising out of or incidental <br />to the performance of the Project work. The City acknowledges that Mn/DOT is <br />acting only as the City's agent for receipt and disbursement of federal funds, and <br />not as a principal or co -principal with respect to the Project. In all events, the City <br />will indemnify Mn/DOT and hold Mn/DOT harmless from any claims arising out <br />of the Project. <br />II. DUTIES OF Mn/DOT. <br />A. ACCEPTANCE. Mn/DOT accepts designation as Agent of the City for the receipt <br />and disbursement of federal funds and will act in accordance herewith. <br />B. PROJECT ACTIVITIES. <br />1. Mn/DOT will make the necessary requests to the FHWA for authorization to <br />use federal funds for the Project, and for reimbursement of eligible costs <br />pursuant to the terms of this agreement. <br />2. Mn/DOT will provide to the City copies of the required Federal -aid clauses to <br />be included in the proposal solicitation and will provide the required Federal - <br />aid provisions to be included in the Proposal. <br />3. Mn/DOT will review and certify the DBE participation and notify the City <br />Agreement no. 48082 <br />-6- <br />