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ATTACHMENT 1 Page 2 of 3 Recipient agrees to conduct an ongoing assessment of the rental assistance and supportive services required by the participants in the program ; to assure the adequate provisions of supportive services to the participants in the program ; to be responsible for overall administration of this grant, including overseeing any subrecipients , contractors and subcontractors ; and to comply with such other terms and conditions , including record keeping and reports (which must include racial and ethnic data on participants for program monitoring and evaluation purposes ) , as the Secretary may establish for purposes of carrying out the program in an effective and efficient manner . The recipient and project sponsor, if any , will not knowingly allow illegal activities in any unit assisted with S + C funds . Recipient agrees to draw Grant Funds for and to make rental assistance payments on behalf of eligible program participants at least quarterly . A default shall consist of any use of Grant Funds for a purpose other than as authorized by this Agreement, noncompliance with the Act, Rule , any material breach of the Agreement, failure to expend Grant Funds in a timely manner, or misrepresentations in the Application submission which , if known by HUD , would have resulted in a grant not being provided . Upon due notice to the Recipient of the occurrence of any such default and the provision of a reasonable opportunity to respond , HUD may take one or more of the following actions . ( a ) direct the Recipient to submit progress schedules for completing approved activities , ( b) issue a letter of warning advising the Recipient of the default, establishing a date by which corrective actions must be completed and putting the Recipient on notice that more serious actions will be taken if the default is not corrected or is repeated , ( c) direct Recipient to establish and maintain a management plan that assigns responsibility for carrying out remedial actions ; ( d ) direct the Recipient to suspend , discontinue or not incur costs for the affected activity ; ( e ) reduce or recapture the grant; (f) direct the Recipient to reimburse the program accounts for costs inappropriately charged to the program , (g ) continue the Grant with a substitute Recipient selected by HUD , ( h ) other appropriate action including , but not limited to , any remedial action legally available , such as affirmative litigation seeking declaratory judgment, specific performance , damages, temporary or permanent injunctions and any other available remedies . No delay or omissions by HUD in exercising any right or remedy available to it under the Agreement shall impair any such right or remedy or constitute a waiver or acquiescence in any Recipient default . 2