Appendix 4: Sample ConstructionContract Language
NOTE: ALLCONTRACTSMUST HAVE A CLAUSE REQUIRING COMPLIANCE WITH THEAISREQUIREMENT.THISISANEXAMPLEOFWHATCOULDBEINCLUDEDINALLCONTRACTSIN PROJECTSTHAT USE SRFFUNDS.EPA MAKESNO CLAIMSREGARDING THELEGALITY OFTHIS CLAUSE WITH RESPECT TO STATE ORLOCALLAW.
The Contractoracknowledges to and for thebenefit oftheCity/Town/Special District ______(“Purchaser”)and the State of Colorado (the “State”) that it understands the goodsandservices underthis Agreementare being fundedwith monies made available bythe CleanWater State RevolvingFundand/orDrinkingWater State RevolvingFundthat havestatutoryrequirements commonlyknown as“AmericanIronand Steel;” thatrequiresall oftheironandsteelproducts used in the project tobe produced in theUnited States(“AmericanIronandSteelRequirement”)includingironandsteelproductsprovidedbytheContactor pursuantto this Agreement. TheContractor herebyrepresentsandwarrantstoandfor the benefit ofthe Purchaser and the Statethat(a) theContractor hasreviewedandunderstands theAmericanIronandSteelRequirement,(b) all oftheironandsteelproducts used in the projectwill beand/or have been produced in the UnitedStatesin a manner that complies with the AmericanIronandSteelRequirement,unless a waiver oftherequirement is approved,and(c) the Contractor will provide anyfurther verifiedinformation,certification or assuranceof compliance with thisparagraph, or information necessaryto supporta waiver ofthe AmericanIronandSteelRequirement,asmaybe requestedbythePurchaserorthe State.Notwithstandinganyother provision ofthis Agreement,anyfailure to complywith thisparagraphbytheContractor shallpermit the Purchaser or State to recoveras damages against theContractor anyloss, expense, or cost (includingwithout limitationattorney’sfees) incurredbythe Purchaseror State resultingfromanysuchfailure (includingwithoutlimitation anyimpairment orloss of funding,whether in whole orin part,from the State oranydamagesowedto the State bythe Purchaser). Whilethe Contractor has no directcontractualprivitywith theState,as alenderto the Purchaser for thefunding ofits project, the Purchaser and the Contractoragree that the State is athird-partybeneficiaryand neither this paragraph (noranyotherprovision ofthis Agreement necessarytogive this paragraphforce oreffect) shall be amended orwaivedwithout the priorwrittenconsent oftheState.