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City of Eugene / State of Oregon - Dept. of Transportation <br />Agreement No. 26415 <br />14. This 1 R Project Agreement does not require a Right of Way Services agreement as <br />described in Agency's Certification Master Agreement, but requires right of way <br />certification. Agency shall complete and sign the attached Right of Way Certification <br />form, shown on "Exhibit B", attached hereto and by this reference made a part hereof. <br />15. This Agreement may be terminated by mutual written consent of both Parties. <br />16. If Agency fails to meet the requirements of this Agreement or the underlying federal <br />regulations, State may withhold the Agency's proportional share of Highway Fund <br />distribution necessary to reimburse State for costs incurred by such Agency breach. <br />17. Agency shall, at its own expense, maintain and operate the Project upon completion <br />and throughout the useful life of the Project at a minimum level that is consistent with <br />normal depreciation and/or service demand. State and Agency agree that the useful <br />life of this Project is defined as eight (8) years. <br />18. State may conduct periodic inspections during the life of Agency Certification Projects <br />to verify that Projects are being properly maintained and continue to serve the <br />purpose for which federal funds were provided. <br />19. State may terminate this Agreement effective upon delivery of written notice to <br />Agency, or at such later date as may be established by State, under any of the <br />following conditions: <br />a. If Agency fails to provide services called for by this Agreement within the time <br />specified herein or any extension thereof. <br />b. If Agency fails to perform any of the other provisions of this Agreement, or so fails <br />to pursue the work as to endanger performance of this Agreement in accordance <br />with its terms, and after receipt of written notice from State fails to correct such <br />failures within ten (10) days or such longer period as State may authorize. <br />c. If Agency fails to provide payment of its share of the cost of the Project. <br />d. If State fails to receive funding, appropriations, limitations or other expenditure <br />authority sufficient to allow State, in the exercise of its reasonable administrative <br />discretion, to continue to make payments for performance of this Agreement. <br />e. If federal or state laws, regulations or guidelines are modified or interpreted in <br />such a way that either the work under this Agreement is prohibited or if State is <br />prohibited from paying for such work from the planned funding source. <br />20. Because of the ARRA funding requirements, Agency must advance the Project for <br />obligation of funds prior to March 1, 2010. If State determines that the ARRA funds <br />will not be, or are unlikely to be, obligated for construction prior to March 1, 2010, <br />State may terminate this Agreement effective upon delivery of written notice to <br />Page 4 of 11 <br />