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IV.RECEPIENT OBLIGATION <br /> Recipient shall utilize CSLFR funds to administer a rent assistance program for residents of San Marcos, <br /> Texas for the purpose of supporting recovery of the community. Such expenditures shall be compliant <br /> with the federal rules and regulations,31CFR Part 35. <br /> All funds must be expended by December 31,2026_No later than December 31,2026,Recipient will <br /> provide to the City a comprehensive accounting of expenditures made with CSLFR funds. <br /> A. General Administration <br /> The Agency agrees to: <br /> • Maintain financial records in sufficient detail to show clearly the expenses that are being <br /> reimbursed with program funds as detailed; and <br /> • Ensure that all personnel working with the program understand they have a responsibility to <br /> communicate upward any operating problems and non-compliance with laws and regulations; <br /> and <br /> • Use the Hays County rent assistance program income guidelines,capped at 80%area median <br /> income; and <br /> • Include the ability to pay the first month's rent(this helps people who are moving from <br /> homelessness or motel into an apartment); and <br /> • Eliminate the requirement that the applicant has to demonstrate the ability to pay one month <br /> after receiving assistance; and <br /> • Eliminate the requirement for a budget meeting;and <br /> • Allow payment of 6-months rent. <br /> V. COMPLIANCE WITH LAWS <br /> Recipient shall comply with all applicable laws,ordinances,codes and regulations of the state,local and <br /> federal governments. <br /> VI. INDEPENDENT CONTRACTOR AND INDEMNITY <br /> It is expressly understood and agreed that the Recipient agrees to hold the City harmless and to indemnify <br /> it from and against any and all claims, demands and causes of action of every kind and character which <br /> may be asserted by any third party occurring or in any way incident to, arising out of, or in connection <br /> with the utilization of CSLFR funds distributed through the City under this Agreement. <br />