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r <br />b. It agrees to comply with any affirmative action plan or steps for equal employment opportunity required <br />by 14 CFR Part 152, Subpart E, as part of the affirmative action program or by any Federal, State, or <br />local agency or court, including those resulting from a conciliation agreement, a consent decree, court <br />order, or similar mechanism. The sponsor agrees that State or local affirmative action plans will be <br />used in lieu of any affirmative action plan or steps required by 14 CFR Part 152, Subpart E, only when <br />they fully meet the standards set forth in 14 CFR 152.409. The sponsor agrees to obtain a similar <br />assurance from its covered organizations, and to cause them to require a similar assurance of their <br />covered suborganizations, as required by 14 CFR Part 152, Subpart E. <br />36. Minority Business Enterprise (MBE). <br />a. It is the policy of the Department of Transportation that minority business enterprises as defined in <br />49 CFR Part 23 shall have the maximum opportunity to participate in the performance of contracts <br />financed in whole or in part with Federal funds under this agreement. Consequently, the MBE <br />requirements of 49 CFR Part 23 apply to this agreement. <br />b. The sponsor or its contractor agrees to ensure that minority business enterprises, as defined in <br />49 CFR Part 23, have the maximum opportunity to participate in the performance of contracts and <br />subcontracts financed in whole or in part with Federal funds provided under this agreement. In this <br />regard, the sponsor or its contractors shall take all necessary and reasonable steps in accordance with <br />49 CFR Part 23 to ensure that minority business enterprises have the maximum opportunity to compete for <br />and perform contracts. The sponsor and its contractors shall not discriminate on the basis of race, <br />color, national origin, or sex in the award and performance of DOT-assisted contracts. <br />c. If, as a condition of assistance, the sponsor has submitted and the Department has approved a minority <br />business enterprise affirmative action program which the sponsor agrees to carry out, this program is <br />incorporated in this financial assistance agreement by reference. This program shall be treated as a <br />legal obligation and failure to carry out its terms shall be treated as a violation of this financial <br />assistance agreement. Upon notification to the sponsor of its failure to carry out the approved <br />program, the Department shall impose such sanctions as noted in 49 CFR Part 23, Subpart E, which <br />sanctions may include termination of the agreement or other measures which may affect the ability of the <br />sponsor to obtain future DOT financial assistance. <br />d. The sponsor agrees to advise such subrecipient, contractor, or subcontractor that failure to carry out <br />the requirements in 49 CFR Part 23, paragraph 23.43(a), shall constitute a breach of contract and, after <br />notification of the Department, may result in termination of the agreement or contract by the sponsor or <br />such remedy as the sponsor deems appropriate. <br />e. Concerning lessees, the sponsor agrees that it shall not exclude MBEs from participation in business <br />opportunities by entering into long-term, exclusive agreements with non-MBEs for the operation of major <br />transportation-related activities or major activities for the provision of goods and services to the <br />facility or to the public on the facility as set forth in 49 CFR Part 23. <br />37. Equal Opportunity Clause. <br />a. It agrees that it will be bound by the equal opportunity clause of 41 CFR Part 60-1.4 with respect to <br />its own employment practices when it participates in Federally assisted construction work: provided <br />that if the applicant so participating is a state or local government, the equal opportunity clause is <br />not applicable to any agency, instrumentality, or subdivision of such Government which does not <br />participate in work on or under the contract. <br />b. It agrees that it will assist and cooperate actively with the FAA and the Secretary of Labor in <br />obtaining the compliance of contractors and subcontractors with the equal opportunity clause and rules, <br />regulations, and relevant orders of the Secretary of Labor, that it will furnish the FAA and the <br />Secretary of Labor such information as may be required for the supervision of such compliance, and that <br />it will otherwise assist the FAA in the discharge of the agency's primary responsibility for securing <br />compliance. <br />o. It further agrees that it will refrain from entering into any contract or contract modification, subject <br />to Executive Order 11246, of September 24, 1965, with a contractor debarred from, or who has not <br />demonstrated eligibility for, Government contracts and Federally assisted construction contracts <br />pursuant to the Executive Order and will carry out such sanctions and penalties for violation of the <br />equal opportunity clause as may be imposed upon contractors and subcontractors by the FAA or the <br />Secretary of Labor pursuant to Part II, Subpart D of the Executive Order. In addition, the sponsor <br />agrees that if it fails or refuses to comply with these undertakings, the FAA may take any or all of the <br />following actions: cancel, terminate, or suspend in whole or in part this grant (contract, loan, <br />insurance guarantee); refrain from extending any further assistance to the sponsor under the program <br />with respect to which the failure or refusal occurred until satisfactory assurance of future compliance <br />has been received from the sponsor; or refer the case to the Department of Justice for appropriate legal <br />proceedings. <br />FAA Form 5100-100 (8-81) Page 10