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ATTACHMENT D <br />SUPPLEMENTAL & SPECIAL CONDITIONS <br />If Grantee is indemnified, reimbursed, or otherwise compensated for any loss of, <br />destruction of, or damage to the assets provided or obtained under this Contract, Grantee <br />shall use the proceeds to repair or replace those assets. <br />C. Assets as Collateral Prohibited. <br />Grantees on a cost reimbursement payment method shall not encumber equipment purchased <br />with System Agency funds without prior written approval from the System Agency, <br />f. Disposition of Property. <br />I. Grantee shall follow the procedures in the American Hospital Association's (AHA) <br />"Estimated Useful Lives of Depreciable Hospital Assets" in disposing, at any time during <br />or after the Contract term, of equipment purchased with System Agency, except when <br />federal or state statutory requirements supersede or when the equipment requires licensure <br />or registration by the state, or when the acquisition price of the equipment is equal to or <br />greater than $5,000. <br />2. All oilier equipment not listed in the ANA reference (other than equipment that requires <br />licensure or registration or that has an acquisition cost equal to or greater than $5,000) will <br />be controlled by the requirements of UGMS. <br />3. If, prior to the end of the useful life, any item of equipment is no longer needed to perform <br />services under this Contract, or becomes inoperable, or if the equipment requires licensure <br />or registration or had an acquisition price equal to or greater than $5,000, Grantee shall <br />request disposition approval and instructions in writing from the contract manager <br />assigned to this Contract. <br />4. After an item reaches the end of its useful life, Grantee shall ensure that disposition of any <br />equipment is in accordance with Generally Accepted Accounting Principles, and any <br />applicable federal guidance. <br />g. Closeout of Equipment. <br />At the end of the term of a Contract that has no additional renewals or that will not be renewed <br />(Closeout), or when a Contract is otherwise terminated, Grantee shall submit to the contract <br />manager assigned io this, an inventory of equipment purchased with grant funds and request <br />disposition instructions for such equipment. <br />All equipment purchased with grant funds must be secured by Grantee at the time of Closeout, <br />or termination of this Contract, and must be disposed of according to System Agency's <br />disposition instructions, which may include return of the equipment to System Agency or <br />transfer of possession to another System Agency contractor, at Grantee's expense. <br />Arttcle IX Miscellaneous Provisions of the Health and Human Services Commission Uniform <br />Terms and Conditions — Grant, Version 2.13, is modified by adding the following: <br />Section 9.23 Contracts with Subrecipient and Vendor Subcontractors. <br />a. Grantee may enter into contracts with subrecipient subcontractors unless restricted or otherwise <br />prohibited in the Contract. <br />Y. 03.10.2016 Page 3 <br />