Form Hud 52531a - Pbv Agreement To Enter Into Housing Assistance Payments Contract - New Construction Or Rehabilitation Page 31

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Urban Development or the Secretary of Labor shall direct as a means of enforcing
such provisions.
2.5-2.7 RESERVED
2.8 WAGE AND CLAIMS ADJUSTMENTS
The owner shall be responsible for the correction of all violations under section 2.4,
including violations committed by other contractors. In cases where there is evidence of
underpayment of salaries or wages to any laborers or mechanics (including apprentices
and trainees) by the owner or other contractor or a failure by the owner or other
contractor to submit payrolls and related reports, the owner shall be required to place an
amount in escrow, as determined by HUD sufficient to pay persons employed on the
work covered by the Agreement the difference between the salaries or wages actually
paid such employees for the total number of hours worked and the full amount of wages
required under this Agreement, as well as an amount determined by HUD to be sufficient
to satisfy any liability of the owner or other contractor for liquidated damages pursuant to
section 2.4. The amounts withheld may be disbursed by HUD for and on account of the
owner or other contractor to the respective employees to whom they are due, and to the
Federal Government in satisfaction of liquidated damages under section 2.4.
2.9 RESERVED
2.10 EVIDENCE OF UNIT(S) COMPLETION; ESCROW
(a) The owner shall evidence the completion of the unit(s) by furnishing the PHA, in
addition to the requirements listed in Part I of this Agreement, a certification of
compliance with the provisions of sections 2.4 and 2.8 of this Agreement, and that to the
best of the owner’s knowledge and belief there are no claims of underpayment to laborers
or mechanics in alleged violation of these provisions of the Agreement. In the event there
are any such pending claims to the knowledge of the owner, the PHA, or HUD, the owner
will place a sufficient amount in escrow, as directed by the PHA or HUD, to assure such
payments.
(b) The escrows required under this section and section 2.8 of shall be paid to HUD, as
escrowee, or to an escrowee designated by HUD, and the conditions and manner of
releasing such escrows shall be designated and approved by HUD.
Page 14 of 15
HUD 52531B
Agreement, Part 2 of 2
Previous Editions are obsolete
Project-based Voucher Program

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