Required Subcontract Provisions

18031

Every subcontract shall specify:

(a) The dates within which the subcontractor is to perform the contract. The time for subcontractor performance shall not begin prior to, nor shall the time extend beyond, the time period of the contract between the contractor and the State.

(b) The dollar amount of the subcontract or specify an amount not to exceed a maximum dollar amount.

(c) The service(s) to be provided under the subcontract.

(d) The responsibilities of each party under the subcontract.

(e) That the subcontractor, and the agents and employees of the subcontractor, in the performance of the subcontract, are acting in an independent capacity and not as officers or employees or agents of the State of California.

(f) That modifications of the subcontract shall be in writing, and that for subcontracts in excess of the amount stated in the annual child development contract, prior written Child Development Division (CDD) approval is required unless the subcontract is otherwise exempt from prior CDD approval.

(g) That the subcontract is the complete and exclusive statement of the mutual understanding of the parties and that the subcontract supersedes and cancels all previous written and oral agreements and communications relating to the subject matter of the subcontract.

(h) Remedies, in case of a breach of contract, for subcontracts in excess of $10,000.00.

(i) That the State of California retains title to any equipment or supplies purchased with State funds and that the equipment shall be returned to the contractor upon termination of the subcontract. The subcontract shall also specify that the subcontractor shall obtain prior written approval from the contractor and the CDD for any unit of equipment that costs in excess of the amount stated in the annual child development contract.

(j) That the subcontractor shall be reimbursed for travel and per diem expenses only at rates that do not exceed the rates paid to the majority of California Department of Education's represented employees computed in accordance with State Department of Personnel Administration regulations, Title 2, California Code of Regulations, Subchapter 1.

(k) That the subcontractor agrees to indemnify and hold harmless the State of California, its officers, agents and employees from any and all claims and losses occurring or resulting to any and all contractors, subcontractors, materialmen, laborers and any other person, firm or corporation furnishing or supplying work, services, materials or supplies in connection with the performance of the subcontract, and from any and all claims and losses occurring or resulting to any person, firm or corporation that may be injured or damaged by the subcontractor in the performance of the subcontract.

(l) That for those subcontracts requiring CDD prior approval, the subcontractor shall maintain records for program review, evaluation, audit and/or other purposes and make the records available to agents of the State for a period of five years.

(m) Contain provisions of the “Nondiscrimination Clause” included in the prime contract as specified in Title 2 California Code of Regulations, Chapter 5, section 8107.

NOTE: Authority cited: Section 8261, Education Code. Reference: Section 8261, Education Code.

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