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6.2A Page 22 clause to labor organizations with which they have a collective bargaining or other Agreement. ' (e) The Contractor shal] include the nondiscrimination and compliance provisions of this clause in all subcontracts to perform work under the Agreement. 4.13 No Third Party Rights. The parties to this Agreement do not create rights in, or grant remedies to, any third party as a beneficiary of this Agreement, or of any duty, covenant, obligation or undertaking established herein. 4.14 Operation and Maintenance; insurance. The Contractor agrees to properly staff, operate and maintain all portions of the Project for at least 20 years from the project completion date (see Exhibil A) years or the desigr► lifa of thc devices in accordance with all applicable state and federal laws, rules and regulations. The Contractor certifies that it has in place a��d will maintain a reserve fund for this purpose. See Exhibit D-l. The Contractor will procure and maintain or cause to be maintained insurance on the System with responsible insurers, or as part of a reasonable system of self-insurance, in such amounts and against such risks (including damage to or destruction of the System) as are usually covered in connection with systems similar to the System. Such insurance may be maintained by the maintenance of a self-insurance plan so long as any such plan provides for (i) the establisliment by the Contractor of a separate segregated self-insurance fund funded in an amount determined (initially and on at least an annual basis) by an independent insurance consultant experienced in the field of risk management employing accepted actuarial techniques and (ii) the establishment and maintenance of a claims processing and risk management program. In the event of any damage to or destruction of the System caused by the perils covered by such insurance, the net proceeds thereof shall be applied to the reconstruction, repair or replacement of the damaged or destroyed portion of the System. The Contractor shall begin such reconstruction, repair or replacement as expeditiously as possible, and shaEl pay out of such net proceeds all costs and expenses in connection with such reconstruction, repair or replacement so that the same shall be coinpleted and the System shall be free and clear of all claims and liens. 4.15 Permits, Subcontracting, Remedies and Debarment. The Contractor shall procure a11 pertnits and licenses necessary to accomplish the work contemplated in this Agreement, pay all charges aiid fees, and give all notices necessary and incidental to lhe due and lawful prosecution of the work. Signed copies of any such permits or licenses shall be submitted to the Division before , construction begins. ! Any subcontractors, outside associates, or consultants required by the Contractor in connection with the services covered by this Agreement shall be ]imited to such individuals or firms as were specifically identified and agreed to during negotiations for this Agreement, or as are specifically authorized by the State Water Board's Project Representative through ABAG during the performance of this Agreement. Any substiiutions in, or '� additions to, such subcontractors, associates, or consultants, shall be subject to the prior written approval of the Division. The Contractor shall not subcontract with any party who is debarred or suspended or otherwise excluded from or ineligible for participation in federal assistance programs under Executive Order 12549, "Debarment and Suspension." The Contractor shall not subcontract with any individual or organization on USEPA's List of Violating Facilities. (40 CFR, Part 31.35, Gov. Code, § 4477) , The Contractor certifies to the best of its knowledge and belief, that it and its principals: 18