LACMTA No. LOA.P000F1605 (1982) -34-
APPENDIX IV
ASSURANCES AND UNDERSTANDINGS REGARDING
RECEIPT AND USE OF PROPOSITION A FUNDS
The undersigned, in conjunction with the receipt of funds derived
from the one-half cent sales tax imposed by Ordinance No. 16
(Prop. A) of the Los Angeles County Transportation Commission
(Commission) ,' and as required by the Commission' s Local Return
Program Guidelines, hereby provides the following assurances
and understandings .
A. The undersigned hereby assures the Commission:
1. That Prop. A funds will not be substituted for property
tax funds which are currently funding existing public
transportation programs';
2. That Prop. A funds will be used for public transit purposes
as defined in the Commission' s Local Return Program Guide-
lines;
3. That the undersigned will submit to the Commission a
description of the use of funds :
a. For service expansion or new service: at least 60 days
before encumbrance of funds;
b. for other projects: at least 30 days before encumbrance
of funds;
4. Any proposed use of funds will not duplicate or compete
with any existing publicly-funded transit or paratransit
service;
5. That Prop. A funds will be used within the year of receipt
plus three years thereafter unless specific permission for
' a time extension is granted by the Commission;
6. That the undersigned will submit to the Commission an
annual preliminary report on use of funds within 90 days
of the close of the fiscal year;
7. Unless otherwise required by the Commission, an audited
report, certified by a Certified Public Accountant, will
be submitted to the Commission within 180 days of the
close of the fiscal year and that this report will be
paid for out of the undersigned' s Prop. A funds;
8. That the description of the intended use of the funds,
as submitted to the Commission, is an accurate depiction
of the project to be implemented;
9. That any change in project scope of financing, defined
as a 10% increase or decrease in project area, mileage
or funds, will be submitted to the Commission not more
than 30 days after the decision to change scope and
in any case at least 60 days before that change in scope
is implemented;
10. That all projects proposed for Prop. A funding will meet the
legal requirements of the Commission' s Prop. A Ordinance and
the Commission' s Local Return Program Guidelines criteria.
B. The undersigned further understands and agrees:
1. That the Commission will require the undersigned to return
any Prop. A funds and may impose interest penalties on any
expenditure found to be illegal or improper under the
terms of the Commission's Prop. A Ordinance or the Commis-
sion' s Local Return Program Guidelines;
2 . That the undersigned will assume all responsibilities for
compliance with applicable CEQA and NEPA requirements
regarding projects to be funded in part or in whole with
Prop. A funds;
3. That the undersigned will comply with all applicable
federal, state and local requirements as to affirmative
action, fair labor practices and public health and safety;
4 . That the undersigned will either utilize the State Con-
troller' s Uniform System of Accounts and Records to
accommodate uses and disbursements of Prop. A funds or
will establish a separate Prop. A Local Transit Assistance
(PALTA) accounting system which will allow financial and
compliance audits of Prop. A fund transactions and expen-
ditures to be conducted;
5. That any Prop. A funds not encumbered within the year of
receipt of funds plus three years thereafter, or as may
be extended by the Commission, will be returned to the
Commission upon request therefrom.
IN WITNESS WHEREOF the undersigned
has executed this "Assurances and
Understandings Regarding Receipt
and Use of Proposition A Funds"
this 5th day of October , 1982
by its duly authorized officer:
CITY OF Rancho Palos Verdes
BY
'')ent.d.41-TA144161gy
City Managor
(TITLE)
DATE October 5, 1982