Section 4413 - Subcontracts(a) Contractors may enter into subcontracts for both training and administrative services with a third-party entity for training and/or administrative services, subject to review and approval by ETP.(b) All subcontracts shall include: (1) a provision that the Panel is not a party to the subcontract and is not obligated in any manner to either party for any liability that might arise from the delivery of services under the subcontract;(2) a provision that ETP shall have the right during normal business hours, to examine or audit any and all records, books, papers and documents related to the conduct of the ETP-funded training project to the extent ETP believes necessary; and,(3) a provision that ETP shall have the right during normal business hours to freely observe and monitor, without the presence of the subcontractor or Contractor, all performance under the subcontract, including interviews with trainees and employees.(c) Contractors are entirely liable for ensuring that all subcontractors cooperate to the extent necessary to satisfy performance obligations under their contracts with the Panel.(d) Subcontractors for administrative services must express the fees to be paid with ETP funds as a percentage of payment earned. (See Section 4400(r).) In general, the fees may not exceed thirteen percent (13%) of payment earned for administering a retraining project; or, twenty percent (20%) of payment earned for administering a new-hire training project Contract.(e) A copy of any original subcontract(s) and amendment(s) thereto must be submitted to ETP, upon request. All subcontracts and amendments for administrative services must be in writing. A subcontract or contract amendment that is entered into for the sole purpose of providing training services need not be in writing, so long as the contractor sets forth the terms in a writing that is submitted to ETP, upon request.Cal. Code Regs. Tit. 22, § 4413
1. New section filed 4-12-91; operative 4-12-91 pursuant to Government Code section 11346.2(d) (Register 91, No. 18).
2. Amendment of subsections (a), (b)(3) and (b)(4), new subsections (b)(5)-(b)(10), repealer and new subsections (c) and (d) and amendment of NOTE filed 7-19-96; operative 7-19-96 pursuant to Government Code section 11343.4(d) (Register 96, No. 29).
3. Amendment of section and NOTE filed 11-28-2006; operative 12-28-2006 (Register 2006, No. 48). Note: Authority cited: Section 10205(m), Unemployment Insurance Code. Reference: Sections 10206(a), 10208, 10209(f), Unemployment Insurance Code.
1. New section filed 4-12-91; operative 4-12-91 pursuant to Government Code section 11346.2(d) (Register 91, No. 18).
2. Amendment of subsections (a), (b)(3) and (b)(4), new subsections (b)(5)-(b)(10), repealer and new subsections (c) and (d) and amendment of Note filed 7-19-96; operative 7-19-96 pursuant to Government Code section 11343.4(d) (Register 96, No. 29).
3. Amendment of section and Note filed 11-28-2006; operative 12-28-2006 (Register 2006, No. 48).