CORONAVIRUS, AID, RELIEF AND ECONOMIC SECURITY
ACT COMMUNITY DEVELOPMENT BLOCK GRANT
SUBRECIPIENT AGREEMENT
By and Between the
CITY OF ANAHEIM
and
MIND OC
TABLE OF CONTENTS
Page
Section 1. Definitions 2
Section 2. Subgrant 3
2. 1 Amount of Subgrant 3
2. 2 Maximum Amount of Subgrant 4
2. 3 Disbursement of Subgrant Proceeds 4
2. 4 Conditions Precedent to Disbursement 4
2. 5 Fiscal Limitations 4
2. 6 Programs Utilizing Multiple Funding Sources 4
2. 7 Use of Subgrant Proceeds 5
2. 8 Use of Federal Funds 5
Section 3. Subrecipient' s Services. 5
3. 1 Eligible Activities/ Scope of Services 5
3. 2 Agreement and Provision of Services Nonexclusive 5
3. 3 Time for Performance 5
3. 4 Subrecipient' s Proposal 5
3. 5 Compliance with Law 5
3. 6 Licenses, Permits, Fees and Assessments 5
3. 7 Nondiscrimination and Equal Employment Opportunity 6
3. 8 Familiarity with Work 6
3. 9 Inspection 6
Section 4. Term 6
Section 5. Coordination of Services 6
5. 1 City' s Representative 6
5. 2 Subrecipient' s Representative 6
5. 3 Prohibition Against Subcontracting and Assignments 7
5. 4 Independent Contractor 7
5. 5 Subcontracts 7
Section 6. Insurance and Indemnification 7
6. 1 Insurance 7
6. 1. 1 Required Insurance Coverage 7
6. 1.2 Required Clauses in Policies 8
6. 1. 3 Required Certificates and Endorsements 8
6. 1.4 Remedies for Default Re: Insurance 9
6. 2 Indemnification 9
Section 7. Enforcement of Agreement 10
7. 1 Events of Default 10
7. 2 Immediate Termination for Subrecipient' s Default 10
7. 3 Termination Without Cause 11
7. 4 Attorneys' Fees 11
Section 8. Use and Ownership of Documents and Data. 11
8. 1 Data to be Furnished by City 11
8. 2 Ownership of Documents 11
Section 9. Records, Reports and Audits 11
9. 1 Records and Reports 11
9. 2 Monitoring 11
Section 10. Miscellaneous Provisions 12
10. 1 Waiver 12
10. 2 Notices 12
10. 3 Relationship of Parties 12
10. 4 No Third Party Rights 13
10. 5 Non- Liability of Members, Officials and Employees of the City 13
10. 6 Controlling Law 13
10. 7 Time of the Essence 13
10. 8 Remedies Cumulative. 13
10. 9 Effect of Invalidity. 13
10. 10 Successors and Assigns 13
10. 11 Entire Agreement 13
10. 12 Authority 14
10. 13 Conflicts of Interest 14
10. 14 Time for Acceptance of Agreement by City 14
EXHIBITS
Exhibit A Scope of Services
Exhibit B Operating Budget
Exhibit C Schedule of Compensation
Exhibit D Covenants Re: Use of Federal Funds
Exhibit E Program Income Definition
ii
CORONAVIRUS, AID, RELIEF AND ECONOMIC SECURITY ACT
COMMUNITY DEVELOPMENT BLOCK GRANT SUBRECIPIENT
AGREEMENT
THIS CORONAVIRUS, AID, RELIEF AND ECONOMIC SECURITY
ACT COMMUNITY DEVELOPMENT BLOCK GRANT SUBRECIPIENT
AGREEMENT ( this " Agreement"), dated for purposes of identification as of October 1, 2021 the " Date of Agreement"), is made and enteredinto by and between CITY OF ANAHEIM, a municipal corporation and charter city( the " City"), A
N
D
MIND OC, a California nonprofit Public Benefit Corporation ( the " Subrecipient").
RECITALS
A. The City is the recipient of the federal Coronavirus Aid, Relief and Economic Security Act Public Law 116- 136, the " CARES Act") funds, which in part, included the appropriation of approximately $ 5 Billion in supplemental Community Development Block Grant CDBG) (" CDBG- CV Funds") funding for states, counties, cities and other local entities for purposes of addressing some of the negative economic impacts to local communities CARES Act Funding").
B. Subrecipient is eligible to receive and has submitted an application for a subgrant of CDBG- CV funds for Fiscal Year 2021 - 2022 to defray certain operational costs for providing certain servicesto the community to aid granteesin the preparation, prevention, and response to the Novel Coronavirus ( COVID- 19) pandemic ( hereinafter defined as Subrecipient' s Services") pursuant to applicable federal regulations( 24 C. F. R. Part 570).
C. Subsequentto the City' s approval of Subrecipient' s application, HUD approved the City' s CDBG Application for Fiscal Year 2021 - 2022.
D. The City and the Subrecipient ( each, a " Party" and jointly, the " Parties") desire to enter into this Agreement sothat Subrecipient may receive a grant of a portion of the CDBG- CV Funds in consideration for the provision of Subrecipient's Services to the City and the community in accordance with the applicable federal regulations ( 24 C.F.R. Part 570 and 2 C. F. R. Part 200).
NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE MUTUAL
PROMISES, COVENANTS AND CONDITIONS CONTAINED HEREIN, THE CITY AND THE SUBRECIPIENT AGREE AS FOLLOWS:
1 Section 1. Definitions.
The following capitalized termsusedin this Agreement shall havethe following meanings:
Agreement" meansthis Coronavirus, Aid, Relief andEconomic Security Act Community Development Block Grant Subrecipient Agreement by and between the City and the Subrecipient.
CDBG" is defined in Recital A hereof.
CDBG- CV Funds" is defined in Recital A hereof.
C. F. R." means the Code of Federal Regulations.
City" is defined in the initial paragraph of this Agreement and includes any assigneeof or successorto the rights, powers and responsibilities of the City. The Director of the Department of Community and Economic Development of the City of Anaheim, or such person' s designee ( hereinafter defined as the " City' s Representative") shall represent the City in all matters pertaining to this Agreement. Whenever a reference is made herein to an action or approval to be undertakenby the City, the City' s Representativeis authorized to act on behalf of the City unless this Agreement specifically provides otherwise or the context should otherwise require.
City' s Representative" means the Director of the City' s Community and Economic Development Department, or such person' s designee.
Conditions to Disbursement" is defined in Section 2. 4 hereof.
Costs" means the supplies and materials necessary to provide Subrecipient' s Services, including, without limitation, mileage and telephone costs.
Covenants Re: Use of Federal Funds" means those additional covenants of Subrecipient required due to the federal source of the Subgrant Proceeds which are attached hereto as Exhibit D and incorporated herein by this reference.
Date of Agreement" is defined in the initial paragraph of this Agreement.
Default" is defined in Section 7. 1 hereof.
HUD" is defined in Recital A hereof.
Maximum Amount of Subgrant" means $ 1, 300, 000. 00.
Operating Budget" means the operating budget supplied by Subrecipient which ( i) specifies how Subrecipient proposes that the Subgrant Proceedsbe allocated among the following permitted uses: Salary and Benefits and Costs, and (ii) is attached hereto as Exhibit B and incorporated herein by this reference.
Parties" is defined in Recital E hereof.
2 Program Income" meansgrossincome received by Subrecipientdirectly generatedfrom the useof CDBG Funds. When suchincome is generatedby an activity that is only partially assisted with CDBG Funds, the income shall be prorated to reflect the percentage of CDBG Funds used. See Exhibit E attached hereto and 24 C. F. R. § 570. 500( a) for a fuller description of Program Income.
Progress Reports" is defined in Section 3 of the Scope of Services.
Salary and Benefits" meansthereasonablesalary andbenefits to bepaid by Subrecipient to Staff.
Schedule of Compensation" means the description of the terms of compensation which is attachedhereto as Exhibit C and incorporated herein by this reference.
Scope of Services" means the description of the Subrecipient' s Services which is attached hereto asExhibit A and incorporated herein by this reference.
Staff' meanseach of the persons, individually, and all of the persons, collectively, hired by the Subrecipient to provide Subrecipient's Servicesunder this Agreement.
Subgrant" is defined in Section 2. 1 hereof.
Subgrant Proceeds" means the proceeds of the Subgrant.
Subrecipient" is identified in the initial paragraph of this Agreement and defined pursuant to 24 C. F. R § 570. 500( c). The Subrecipient' s Representative shall represent Subrecipient in all matters pertaining to this Agreement. Whenever a reference is made herein to an action or approval to be undertaken by Subrecipient, the Subrecipient' s Representative is authorized to act on behalf of Subrecipient unless this Agreement specifically provides otherwise or the context should otherwise require.
Subrecipient' s Representative" means Marshall Monrief.
Subrecipient' s Services" means the services provided by Subrecipient pursuant to this Agreement and includes, but is not limited to, the provision of the services set forth in the Scope of Services.
Term" is defined in Section 4 hereof.
Term Expiration Date" means September 30, 2022.
Section 2. Subgrant. The City may provide CDBG funds to Subrecepient in order for Subrecepientto provide certain eligible servicesin connection with City' s desire to develop viable urban communities through community development activities consistent with the general policies set forth in 24 C. F. R. § 570. 200.
2. 1 Amount of Subgrant. Upon satisfaction of the Conditions to Disbursement, the City agreesto grant to Subrecipient a portion of the CDBG Funds in the amounts set forth in the Schedule of Compensation ( collectively, the " Subgrant"), subject to all of the terms, covenants and conditions of this Agreement.
3 2. 2 Maximum Amount of Subgrant. In no event shall the aggregate amount of the Subgrant Proceeds distributed to Subrecipient over the Term of this Agreement exceed the Maximum Amount of Subgrant.
2. 3 Disbursement of Subgrant Proceeds. Upon satisfaction of the Conditions to Disbursement or written waiver thereof by the City, the City shall distribute the SubgrantProceeds in arrears in accordance with the Schedule of Compensation.
2. 4 Conditions Precedent to Disbursement. Subrecipient agreesfurther that the City shall not be obligated to make any disbursement of the Subgrant Proceeds unless and until Subrecipient has fulfilled all of the City' s customary conditions for disbursement of Subgrant Proceeds under the CDBG Program( the" Conditions to Disbursement"). Such conditions include, for purposesof guidance and illustration, but arenot limited to, the following:
A. The City shall have received all insurance certificates required by it pursuant to and in accordance with Section 6. 1 of this Agreement.
B. The City shall have received evidence that (i) Subrecipient has the power to enter into this Agreement, ( ii) all documentsexecutedby Subrecipient pertaining to this Agreement are valid and binding obligations of Subrecipient, enforceable according to their terms and ( iii) the officers and agents executing such documents are duly empowered and authorized to execute them on behalf of Subrecipient.
C. The City shall have received copies of any and all licenses, permits, notices, and certificates required by the City pursuant to and in accordancewith Section 3.6 of this Agreement.
D. The City shall have received and approved the Operating Budget.
The City' s Representative may waive or modify in writing any of the Conditions to Disbursement of the Subgrant Proceeds.
2. 5 Fiscal Limitations. The United States of America, through HUD, may in the future place programmatic or fiscal limitations on CDBG Funds not presently anticipated. Accordingly, the City reservesthe right to revise this Agreement in order to take account of suchactions. In the event of funding reduction, the City may reducethe budget for this Agreement asa whole or may limit the rate by which Subrecipient receivesthe Subgrant for providing Subrecipient' s Services.
If HUD directs the City to implement a reduction in funding, the City' s Representative may act for the City in implementing and effecting suchareduction andin revising the Agreement for such purpose. Where the City' s Representative has reasonable grounds to question the fiscal accountability, financial soundness,or compliance with this Agreement of Subrecipient, the City' s Representative may act for the City in suspending the operation of this Agreement for up to sixty 60) days upon three (3) days' notice to Subrecipient of the City' s intention to so act, pending an audit or other resolution of such questions.
2. 6 Programs Utilizing Multiple Funding Sources. For programs in which there are sourcesof funds in addition to CDBG Funds, Subrecipient shall provide proof of such funding.
The City shall not pay for any services provided by Subrecipient which are funded by other 4 sources. All restrictions and/or requirementsprovided for in this Agreement relative to accounting, budgetingandreportingapplyto thetotalprogramregardlessof fundingsources.
2. 7 Use of Subgrant Proceeds. Subrecipient shall use the Subgrant Proceedsto pay for( i) Salary and Benefits, and( ii) Costs, only and for no other purpose.
2. 8 Use of Federal Funds. Subrecipient acknowledges and agrees that the Subgrant is funded from CDBG- CV Fundsallocated to the City by the United Statesof America through HUD.
Accordingly, Subrecipient hereby provides to the City those covenantsset forth in the Covenants Re: Use of Federal Funds.
Section 3. Subrecipient' s Services.
3. 1 Eligible Activities/ Scope of Services. In compliance with all of the terms and conditionsof thisAgreement,SubrecipientshallprovidetheSubrecipient'sServices,asmorefully setforth in theattachedScopeof Serviceswhich is incorporatedhereinby this reoccurrence. The Subrecipient' s activities meet the definition of eligible activities set forth in 24 C. F. R. § 570. 200 as specifically identified in the Scope of Services. Subrecipient representsand warrants that all Subrecipient' s Services to be provided hereunder shall be performed in a competent, professional and satisfactory manner in accordance with the standards prevalent in the industry for such services.
3. 2 Agreement and Provision of Services Nonexclusive. Subrecipient acknowledges and agrees that this Agreement and the provision of services hereunder is nonexclusive and that the City may enter into similar agreements with other entities for the provision of similar services.
3. 3 Time for Performance. Time is of the essence in the performance of this Agreement. Subrecipientshallperform andcompleteall of Subrecipient's Servicesin a timely and expeditious manner.
Subrecipientshall not be responsiblefor delays causedby circumstancesbeyond its reasonablecontrol, provided that Subrecipient hasdelivered to the City written notice of the cause of any such delay within ten( 10) days of the occurrenceof such cause.
3. 4 Subrecipient' s Proposal. The Scope of Services shall include the Subrecipient' s proposalor bid, if any, which shall be incorporatedhereinby this referenceasthoughfully set forth herein. In the event of any inconsistency between the terms of such proposal and this Agreement, the terms of this Agreement shall govern.
3. 5 Compliance with Law. Subrecipient' s Services shall be provided in accordance with all ordinances, resolutions, statutes, rules, regulations and laws of the City and any Federal, Stateor local governmentalagencyof competentjurisdiction.
3. 6 Licenses, Permits, Fees and Assessments. Subrecipient shall obtain, at Subrecipient's solecostandexpense, suchlicenses, permitsandapprovalsasmayberequiredby law for the performance of Subrecipient' s Services. Subrecipient shall have the sole obligation to pay for any fees, assessmentsand taxes, plus applicablepenaltiesandinterest, which may be imposedby law andwhich arisefrom or arenecessaryfor the performance of the servicesrequired by this Agreement.
5 3. 7 Nondiscrimination and Equal Employment Opportunity. Subrecipient agrees not to discriminate against any person or class of persons by reason of sex, color, race, creed, religion, marital status, familial status, sexualorientation, age, handicap, ancestry, or any other basisprohibited by applicable law. To the extent this Agreement provides that Subrecipient offer accommodations or services to the public, such accommodations or services shall be offered by Subrecipient to the public on fair and reasonable terms.
3. 8 Familiarity with Work. By executing this Agreement, Subrecipient represents and warrants that Subrecipient ( i) has thoroughly investigated and considered Subrecipient' s Services to be performed, ( ii) has carefully considered how Subrecipient's Services should be provided and ( iii) fully understands the facilities, difficulties and restrictions attending the provision of Subrecipient's Servicesunder this Agreement. Should the Subrecipient discover any latent or unknown conditions materially differing from those inherent in the provision of Subrecipient's Services or as representedby the City, Subrecipient shall immediately inform the City of such fact and shall not proceed except at Subrecipient' s risk until written instructions are received from the City.
3. 9 Inspection. The City and HUD and their agentsand representativesshall have the right at any reasonabletime to observethe provision of Subrecipient's Services. The City is under no duty to supervise the provision of Subrecipient' s Services. Any inspection or examination by the City is for the solepurpose of protecting andpreserving the City' srights under this Agreement.
No default of Subrecipient shall be waived by any inspection by the City. In no event shall any inspection by the City be a representation that there has been or will be compliance with this Agreement or that Subrecipientis in compliance with any federal, stateandlocal laws, ordinances, regulations and directives applicable to the performance of this Agreement or the provision of Subrecipient' s Services. Subrecipient shall make or cause to be made such other independent inspections as Subrecipient may desire for Subrecipient's own protection.
Section 4. Term. This Agreement shall be for a term ( the " Term") commencing on October 1,2021 and terminating on the Term Expiration Date, subject to earlier termination asprovided in Subsection 6. 1.4 or Section 7 hereof.
Section 5. Coordination of Services.
5. 1 City' s Representative. The City' s Representative shall represent the City in all matters pertaining to this Agreement. Whenever a reference is made herein to an action or approval to be undertaken by the City, the City' s Representative is authorized to act unless this Agreement specifically provides otherwise or the context should otherwise require.
5. 2 Subrecipient' s Representative. Subrecipient' s Representative shall represent the Subrecipient in all matters pertaining to this Agreement. Subrecipient' s Representative is authorized to act on Subrecipient' s behalf with respect to the services and work to be provided hereunder and make all decisions in connection therewith.
It is expresslyunderstoodthatthe experience, knowledge, capabilityandreputationof the foregoing principal are a substantial inducement for the City to enter into this Agreement.
Therefore, the foregoing principal shall be responsible during the Term of this Agreement for directing all activities of Subrecipient and devoting sufficient time to personally supervise the provisionof Subrecipient's Serviceshereunder. Theforegoingprincipalmaynot be changedby 6 Subrecipient and no other personnel may be assignedto supervisethe Subrecipient's Services to beprovidedhereunderwithout theexpresswritten consentof theCity.
5. 3 Prohibition Against Subcontracting and Assignments. Neither the whole nor any interest in, nor any of the rights or privileges grantedunder this Agreement shall be assignable or transferable or encumbered in any way without the prior written consent of City. Any such purported assignment, transfer, encumbrance, pledge, subuse, or permission given without such consent shall be void as to City. This is a personal services contract and the Subrecipient was chosen on the basis of characteristics unique to the Subrecipient. City shall have the right to unreasonably or arbitrarily withhold its consent to any such assignment, transfer, encumbrance, pledge, subuse, or permission.
5. 4 Independent Contractor. Subrecipient and any agent or employee of Subrecipient shall act in an independent capacity and not as officers or employees of City. City assumesno liability for Subrecipient's actions and performance, nor assumesresponsibility for taxes, bonds, payments, or other commitments, implied, or explicit, by or for Subrecipient.
Subrecipientshall not haveauthority to act as an agenton behalf of City unlessspecifically authorized to do so in writing. Subrecipient acknowledges that it is aware that because it is an independentcontractor, City is making no deduction from any amount paid to Subrecipient and is not contributing to any fund on its behalf. Subrecipient disclaims the right to any fee or benefits except asexpressly provided for in this Agreement.
As respectsall acts or omissions of Subrecipient relating to Subrecipient' s responsibility for taxes,bonds, payments,or other commitments, implied, or explicit, by or for Subrecipient, the Subrecipient agrees to indemnify, defend ( at the City' s option), and hold harmless the City, its officers, agents, employees, representatives, and volunteers from and against any and all claims, demands, defensecosts, liability, or consequentialdamagesof any kind or nature arising out of or in connection with the Subrecipient' s performance or failure to perform under this Section.
5. 5 Subcontracts. Subrecipient shall incorporate the sameor substantially equivalent requirementsasarecontained in this Agreement in all subcontractswhich utilize any CDBG funds and/or support any CDBG program(s) covered by this Agreement consistent with 2 C.F.R. § 200.330; when program(s) utilize( s) from CDBG funds and other funding sources, all funds shall be subjectto CDBG regulations. The Subrecipient, by enteringinto any suchsubcontractfor performance of any portion of its CDBG program, is not relieved of its responsibilities to Recipient as set forth in this Agreement.
Section 6. Insurance and Indemnification.
6. 1 Insurance. Without limiting City' s right to indemnification, it is agreed that Consultant shall secure, prior to commencing any activities under this Agreement, and maintain, during the term of this Agreement, insurancecoverageas follows:
6. 1. 1 Required Insurance Coverage. Consultant shall secure and maintain the following insurancecoverage:
a) Workers' Compensation Insurance as required by California law and Employers Liability Insurance in an amount not less than $ 1, 000, 000 per occurrence. 7 b) Commercial General Liability Insurance, including coverage for Premises and Operations, Contractual Liability, Personal Injury Liability, Products/Completed Operations Liability, and Independent Consultant' s Liability, in an amount not less than $ 2, 000, 000 per occurrence, $ 4, 000, 000 annual aggregate, written on an occurrence form. Such insurance shall be written on a primary basis, but may include a deductible of not more than$ 10, 000 per occurrence, provided that such deductible or self-insured retention is disclosed to City, in writing, at the inception of this Agreement. ( This coverage written with a Self- Insured Retention must be submitted for approval by the Risk Manager prior to the inception of the final Agreement.) c) Comprehensive Automobile Liability Coverage including— as applicable— owned, non- owned, and hired autos, in an amount not less than $ 1, 000, 000 per occurrence, combined single limit, asrequired by California law.
d) Professional Liability Insurance in an amount not less than $ 2, 000, 000 per occurrence, and Consultant shall maintain such coverage for at least one ( 1) year from the termination of this Agreement. Suchinsuranceshall be written on aprimary basis,but may include a deductible of not more than $ 10, 000 per occurrence, provided that such deductible is disclosed to City, in writing, at the inception of this Agreement. ( This coverage written with a Self- Insured Retention must be submitted for approval by the Risk Manager prior to inception of the final Agreement. Bidder must disclose the amount of the Self- Insured Retention and other material terms.)
6. 1. 2 Required Clauses in Policies. Each insurance policy required by this Agreement shall contain the following clause or shall otherwise provide for the following conditions:
This insurance shall not be cancelled, or limited in scope or coverage, until after thirty ( 30) days prior written notice has been given to the City Clerk, City of Anaheim, 200 S. Anaheim Blvd., Anaheim, CA 92805, except in the event of cancellation for non- payment of premium that shall provide for not less than ten( 10) days' notice."
Each insurance policy required by this Agreement, except policies for Professional Liability and Workers' Compensation, shall contain the following clauses or shall otherwise provide for the following conditions:
It is agreed that any insurance maintained by Consultant pursuant to this Agreement shall be primary to, and not contribute with, any insurance or self- insurancemaintained by the City of Anaheim."
The City of Anaheim, its officers, agents, employees, representativesand City- designated volunteers are added as additional insured as respects the acts, omissions, operations and activities of, or on behalf of, the named insured, in regard to products supplied to, or work or servicesperformed for, or related to, the City of Anaheim."
6. 1. 3 Required Certificates and Endorsements. Prior to commencing any work under this Agreement, Consultant shall deliver to ANAHEIM insurance certificates confirming the existence of the insurance required under this Agreement, and including the 8 applicable clauses referenced above. Also, within thirty ( 30) days of the execution date of this Agreement, Consultant shall provide City ( i) endorsements to the insurance policies that add to these policies the applicable clauses referenced above, or ( ii) in lieu of said endorsements, documentation acceptableto City evidencing that the coverage, terms, and conditions set forth in the above- referenced clauses are otherwise included in said insurance policies. Insurance required hereunder shall be placed with insurers( i) admitted to write insurance in California, ( ii) possessing an A. M. Best' s rating of A VII or higher, or( iii) otherwise acceptableto City, with prior written permission from City. In the event that a claim or other legal action is filed against City, and if City, in its good faith opinion, believes it may have coverageunder any of the insurancerequired herein, then City hasthe right to demand, andto receive within a reasonable time period, copies of the insurance policies related to such required insurance; provided, however, that this provision shall not apply if the parties agreethat Consultant shall fully defend,hold harmless, and indemnify City against any suchclaim or other legal action.
6. 1. 4 Remedies for Default Re: Insurance. In addition to other remedies City may have if Consultant fails to provide or maintain any insurancepolicies or policy endorsements to the extent and within the time herein required, City may, at its sole option:
a) Order Consultant to stop work under this Agreement and/or withhold any payment( s) that become due to Consultant hereunder until Consultant demonstrates compliance with the requirements hereof;
b) Terminate this Agreement.
Exercise of any of the above remedies, however, is an alternative to other remedies City may have and is not the exclusive remedy for Consultant' s failure to maintain insuranceor secure appropriate endorsements.
Nothing herein contained shall be construed in any way as limiting the extent that an Consultantmay be held responsiblefor paymentsof damagesto personsorpropertyresulting from Consultant' s, ( or Consultant' s Agent or Sub-Agent, if any) performance of the work covered under this Agreement.
In the event Consultant hires other persons or firms to perform some of the work related to this Agreement, Consultant shall ensure ( i) that the acts or omissions of such persons or firms are covered under the above-referencedliability insurance, or (ii) that such firms maintain insurance equal to or better than, and subject to the same limits, terms and conditions as, the insurance required of Consultant under this Agreement( except for firms that arenot performing professional services— such firms shall not be required to carry the above-referenced professional liability insurance); and in either instance, Consultant shall provide, or cause to be provided, evidence of such insurancecoverage, reasonablyacceptableto City.
City' s Risk Manager is hereby authorized to amendthe requirements setforth herein in the event that such amendment is in City' s best interest.
6. 2 Indemnification. As respects acts, errors or omissions in the performance of professional services, Consultant agreesto indemnify and hold harmless Anaheim, its officials, officers, and employees from and against any and all claims, losses, damages, defense costs, or 9 liability, of any kind or nature, arising directly out of the negligent acts, errors or omissions of the Consultant or any sub- agent in the performance of professional services under this Agreement.
As respects all acts, errors or omissions that do not arise directly out of the performance of professional services, including but not limited to those acts, errors or omissions typically covered by general and automobile liability insurance, Consultant agrees to indemnify, defend ( at City' s option), and hold harmless City, its officials, officers, employees, agents, and representatives from and against any and all claims, losses, damages, defensecosts, or liability, of any kind or nature ( collectively referred to hereinafter as " Claims"), arising out of or in connection with Consultant's (or Consultant' s agent or sub-agent, if any) acts, errors, omissions, or work, relative to this Agreement; except for those Claims that arise out of the sole negligence or willful misconduct of City.
The obligations set forth in this indemnification provision ( i) shall be in effect without regard to whether or not City, Consultant, or any other person maintains, or fails to maintain, insurance coverage, or a self-insurance program, for any such Claims; and (ii) shall survive the termination of this Agreement.
City' sRisk Manager is hereby authorized to amendthe requirements setforth herein in the event that such amendmentis in City' s best interest.
Section 7. Enforcement of Agreement. If through any causethe Subrecipient fails to fulfill in a timely and proper manner its obligations under this Agreement to undertake, conduct or perform the services identified in this Agreement, or if the Subrecipient violates any of the covenants, agreements, or stipulations of this Agreement, the City shall thereupon have the right to terminate this Agreement in accordance with 24 C. F. R. § 570. 509( f) and 2 C. F. R. § 200. 339.
7. 1 Events of Default. For purposes of this Section 7, the word " Default" shall mean thefailureof Subrecipientto performanyof Subrecipient'sdutiesor obligationsor thebreachby Subrecipient of any of the terms and conditions set forth in this Agreement. In addition, Subrecipient shall be deemed to be in Default upon Subrecipient' s ( i) application for, consent to, or suffering of, the appointment of a receiver, trustee or liquidator for all or a substantial portion of its assets, ( ii) making a general assignment for the benefit of creditors, ( iii) being adjudged bankrupt,( iv) filing avoluntary petition or suffering aninvoluntary petition under any bankruptcy, arrangement, reorganization or insolvency law ( unless in the caseof an involuntary petition, the sameis dismissedwithin thirty( 30) daysof suchfiling) or( v) sufferingor permittingto continue unstayed andin effect for fifteen( 15) consecutive daysany attachment, levy, execution or seizure of all or a substantial portion of Subrecipient' s assets or of Subrecipient' s interests hereunder.
City shall not be deemedto be in Default in the performance of any obligation required to be performedby City hereunderunlessanduntil City hasfailedto performsuchobligationfor a period of thirty( 30) daysafter receipt of written notice from Subrecipient specifying in reasonable detail the natureandextentof any suchfailure; provided, however, that if the natureof City' s obligation is suchthat more than thirty( 30) days are required for its performance, then City shall notbedeemedtobein Defaultif City shallcommenceto curesuchperformancewithin suchthirty 30) day period and thereafter diligently prosecutethe sameto completion.
7. 2 Immediate Termination for Subrecipient' s Default. In the event of any Default by Subrecipient, City may immediately terminate this Agreement. Such termination shall be 10 effective immediately upon receipt by Subrecipient of written notice from City. In such event, Subrecipient shall have no further rights hereunder; City shall have all other rights and remedies asprovided by law.
7. 3 Termination Without Cause. Either City or Subrecipient may terminate this Agreementat anytimewithout thenecessityof causeor Defaultby theotherPartyby giving thirty 30) days'notice in writing to the other Party. In such event,thePartiesshall haveno further rights hereunder, except that Subrecipient shall be paid for Subrecipient' s Services rendered and completed prior to such termination.
7. 4 Attorneys' Fees. City and Subrecipient agree that in the event of litigation to enforce this Agreement or terms, provisions and conditions contained herein, to terminate this Agreement, or to collect damagesfor a Default hereunder,the prevailing party shall be entitled to all costs and expenses, including reasonable attorneys' fees, incurred in connection with such litigation.
Section 8. Use and Ownership of Documents and Data.
8. 1 Data to be Furnished by City. City shall furnish to Subrecipient such documents andmaterialsasmayberelevantandpertinentto theprovisionof serviceshereunderasCity may possess or acquire.
8. 2 Ownership of Documents. All documentsand materials furnished by the City to Subrecipientpursuantto Section8.1 hereofshall remainthe property of the City and shall be returned to the City upon termination of this Agreement. All documents and materials prepared by Subrecipienthereundershall becomethe property of the City at the time of paymentto Subrecipient of all fees and expensesfor their preparation, and shall be delivered to the City by Subrecipient at the request of the City. The documents and materials prepared by Subrecipient hereunder shall not be used by the City or others, except for the purpose for which they were intended. The City agreesnot to associateSubrecipient' s namewith any documents or materials not preparedby Subrecipient.
Section 9. Records, Reports and Audits.
9. 1 Records and Reports. Subrecipient shall prepare and submit financial, program progress, monitoring, evaluation, personnel, property and financial records and other reports as requiredby the City andin the format acceptableto the City to assureproperaccountingof all CDBG Funds. Subrecipient shall furnish such information which, in the judgment of the City' s Representative,may be relevant to questionsof compliance with contractual conditions hereunder or granting agencydirectives, or with the effectiveness, legality and goals of the CDBG Program.
9. 2 Monitoring. The City may conduct periodic program monitoring reviews. These reviews will focus on the extent to which the planned program has been implemented and measurable goals achieved, effectiveness of program management, and impact of the program.
Authorized representativesof the City and HUD shall have the right of accessto all activities and facilities operatedby Subrecipient in connection with this Agreement. Facilities include all files, records, and other documents related to the performance of this Agreement. Activities include attendance at all pertinent staff, board of directors, advisory committee, and advisory board meetings and inspection by the City and HUD. Subrecipient shall ensure that its employees and 11 board membersfurnish suchinformation as, in thejudgment of the City and HUD, may be relevant to the question of compliance with contractual conditions and HUD directives, or the effectiveness, legality, and achievementsof the CDBG Program.
Section 10. Miscellaneous Provisions.
10. 1 Waiver. Inaction by City or Subrecipient with respectto a Default hereundershall not be deemed to be a waiver of such Default. The waiver by either City or Subrecipient of any Default hereundershall not be deemedto be a waiver of any subsequentDefault.
10. 2 Notices. All notices, demands or other writings to be made, given or sent hereunder, or which may be so given or made or sent by either City or Subrecipient to the other shall be deemedto have been given when in writing and personally delivered or if mailed on the third ( 3rd) day after being deposited in the United Statesmail, certified or registered, postage prepaid, and addressedto the respectiveParties at the following addresses:
If to City: City Clerk
City of Anaheim
200 S. Anaheim Boulevard, 2nd Floor
Anaheim, California 92805
FAX No. ( 714) 765- 4105
With copies to: Grace Stepter, Acting Director
Department of Community and Economic Development
City of Anaheim
201 S. Anaheim Boulevard, 10th Floor
Anaheim, California 92805
FAX No. ( 714) 765- 4630
City Attorney
City of Anaheim
200 S. Anaheim Boulevard, 3rd Floor
Anaheim, California 92805
FAX No. ( 714) 765- 5123
To Subrecipient: Mind OC
18650 MacArthur Blvd. Suite 220
Irvine, California 92612
Attention: Chief Executive Officer
Telephone No. ( 949) 400- 4157
10. 3 Relationship of Parties. Nothing contained herein shall be deemed or construed by the Parties, nor by any third party, as creatingthe relationshipof principal andagentor of partnership or of joint venture between the Parties, it being understood and agreed that Subrecipient is and will be at all times an independent contractor pursuant to this Agreement and shall not, in any way, be consideredto be an officer, agentor employee of the City. 12 10. 4 No Third Party Rights. The Parties intend that no rights nor remedies be granted to any third party as a beneficiary of this Agreement or of any covenant, duty, obligation or undertaking established herein.
10. 5 Non- Liability of Members, Officials and Employees of the City No member, official or employee of the City shall be personally liable to Subrecipient, or any successorin interest, in the event of any Default or breach by the City or for any amount which may become due to Subrecipient or Subrecipient's successors, or on any obligation under the terms of this Agreement. Subrecipient herebywaives andreleasesany claim Subrecipientmay have againstthe members, officials or employeesof the City with respectto any Default or breach by City or for any amount which may become due to Subrecipient or Subrecipient' s successors, or any obligations under the terms of this Agreement. Subrecipient makes such release with the full knowledge of Civil Code Section 1542 and hereby waives any and all rights thereunder to the extent of this release, if such Section 1542 is applicable. Section 1542 of the Civil Code provides as follows:
A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE
CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER
FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN
BY HIM OR HER MUST HAVE MATERIALLY AFFECTED HIS OR HER
SETTLEMENT WITH THE DEBTOR."
10. 6 Controlling Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California.
10. 7 Time of the Essence. Time is hereby expressly DECLARED to be the essenceof this Agreement and of each and every term, covenant and condition hereof which relates to a date or a period of time.
10. 8 Remedies Cumulative. The remedies given to City and Subrecipient herein shall be cumulative and are given without impairing any other rights given City or Subrecipient by statuteor law now existing or hereafter enactedand the exercise on any one (1) remedy by City or Subrecipient shall not exclude the exerciseof any other remedy.
10. 9 Effect of Invalidity. If any term or provision of this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Agreement, or the application of its terms and provisions to persons and circumstances other than those to which it has been held invalid or unenforceable shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law.
10. 10 Successors and Assigns. This Agreement and the covenants and conditions contained herein shall be binding upon andinure to the benefit of and shall apply to the successors and assignsof City and to the permitted successorsand assignsof Subrecipient, and all references to " City" or " Subrecipient" shall be deemedto refer to and include all permitted successorsand assigns of such Party.
10. 11 Entire Agreement. This Agreement and the exhibits hereto contain the entire agreement of the City and the Subrecipient with respect to the matters covered hereby, and no 13 agreement, statement or promise made by either City or Subrecipient which is not contained herein, shall be valid or binding. No prior agreement, understanding or representationpertaining to any such matter shall be effective for any purpose. No provision of this Agreement may be amended, modified or addedexcept by an agreementin writing signedby City and Subrecipient.
10.12 Authority. Each individual executing this Agreement on behalf of a corporation, nonprofit corporation, partnership or other entity or organization, representsand warrants the he or she is duly authorized to execute and deliver this Agreement on behalf of such entity or organization and that this Agreement is binding upon the same in accordancewith its terms.
Subrecipient shall, at City' s request, deliver a certified copy of it governing board' s resolution or certificate authorizing or evidencing such execution.
10.13 Conflicts of Interest. No member, official or employeeof the City shall have any personal interest, direct or indirect, in this Agreement, nor shall any such member, official or employee participate in any decision relating to this Agreement which affect his or her personal interestsor the interestsof any corporation, partnership or associationin which he or sheis directly or indirectly interested.
10.14 Time for Acceptance of Agreement by City. This Agreement, when executedby Subrecipient and delivered to City, must be authorized, executed and delivered by the City on or before forty- five( 45) daysafter the execution anddelivery by Subrecipientor this Agreement shall be void, except to the extent that Subrecipient and City shall consent in writing to a further extension of time for the authorization, execution and delivery of this Agreement.
Remainder of page intentionally left bank; signatures on next page) 14 IN WITNESS WHEREOF, THE CITY AND THE SUBRECIPIENT HAVE
EXECUTED THIS AGREEMENT AS OF THE RESPECTIVE DATES SET FORTH BELOW.
CITY"
CITY OF ANAHEIM,
a municipal corporation an• t harter city
Dated:
10011?dI By:
Jim ' derpool
City Manager
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9 i•i* 1øz
APPROVED AS TO FORM: DEp I$
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ROBERT FABELA, CITY ATTORNEY
Theresa B- ss ft? IS . 21
City Clerk
By: kk L
Leonie H. Mulvihill
City Attorney
SUBRECIPIENT"
MIND OC,
a California nonprofit Public Benefit Corporation
Aii/
L. L. —
ZDated: / o 5 <'
2(
By:
Marshall Monrief
Chief Executive Officer
143576v2/ LHM
15 ACKNOWLEDGEMENT
A notary public or other officer completing this
certificate verifies only the identity of the
individual who signed the document to which this
certificate is attached, and not the truthfulness,
accuracy, or validity of that document.
State of California )
County of
On before me,
date) here insert name and title of the officer)
personally appeared
here insert name( s) of signer( s))
who proved to me on the basis of satisfactory evidence to be the person( s) whose name( s) is/ are subscribedto the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity/ies, and that by his/her/their signature(s) on the instrument the person( s), or the entity upon behalf of which person(s) acted, executedthe instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraphis true and correct.
Witness my hand and official seal.
Signature) Seal)
EXHIBIT A
SCOPE OF SERVICES
During the Term of this Agreement, Subrecipient shall diligently and continuously provide the following services ( the " Services"):
Section 1. Maintain Office. Throughout the Term of this Agreement, to provide the Services, Subrecipient shall manage and operate a full- time service office Subrecipient' s Office. Additional sites may be added or deleted as mutually agreed upon by the Parties.
Section 2. Hours of Operation. Subrecipient shall provide staff to operate continuously between the hours of 8:00 a.m. and 5:00 p.m., Monday through Friday, except on legal holidays, at Subrecipient' s Office.
Section 3. Subrecipient' s Reports. Subrecipient shall file periodic reports in the format provided by City( each, a " Progress Report") with each invoice for payment Subrecipient submits to the City.
3. 1 Contents. Each Progress Report shall contain, or be accompanied by, an itemized statementshowing all information required by City, including, without limitation:
A. The amount expendedor incurred by Subrecipient and due andpayable for Salary and Benefits, and Costs for such reporting period.
B. The revenue generated by Subrecipient and the source of such revenue for each reporting period.
C. Evidence reasonablysatisfactory to the City' s Representativeshowing that allowable costs and expenses for which Subrecipient seeks reimbursement were actually incurred in the preceding reporting period.
D. A statement showing for each reporting period: ( i) the number of low- income families that received the Subrecipient' s Services, ( ii) a description of each of the Clients served, and ( iii) the type of Subrecipient' s Services provided.
The ProgressReport for the period ending June30, 2018, shall also include Subrecipient's financial statementfor the immediately preceding year, accompaniedby an annual audit report of Subrecipient' s financial statementfor the immediately preceding year, preparedby anindependent certified public accountant.
3. 2 Certification. Each ProgressReport shall be certified as complete and correct by the Subrecipient' s Representative.
Section 4. Subrecipient' s Services. Subrecipient shall provide support to the Anaheim Police Department with addressing the increase in behavioral and mental health crises exacerbatedby COVID- 19.
Exhibit A
Staffing Anproach
Leadership of this team will use a co- manager model that leverages the capacity of a licensed clinical program director and the focus of a city specific supervisor. This model increasesefficiency and capacity as compared to other community crisis models, and it positions the program management team to also respond to calls during regular business hours. For example, the leadership team would be positioned to assist the police with a barricaded, suicidal subject without interrupting the responsetime of the mobile crisis teams on duty.
Further, it is important that the demographics of the team reflect the community served. The city of Anaheim hasa proud history of being a multi- cultural, multi- lingual community. Every effort will be made to ensure the multidisciplinary roles of this team reflect representation of the Vietnamese, Korean, Latin X, and other important communities and stakeholder groups within Anaheim.
Position Role/ Qualifications
Clinical Director Licensed clinician ( LCSW, LMFT, or LPC); responsible for general program management and supervision of crisis intervention workers. They will provide capacity building and support City Supervisor Responsible for equipment maintenance, supplies, staff coordination and oversight, including licensure monitoring, and monitoring van upkeep.
Medical Director The Medical Director provides oversight and guidance regarding protocols, practice and training. The costs for the medical director in the proposed budget will cover the expanded servicesof the Mind OCChief Medical Officer to function in this critical leadership capacity.
Crisis Intervention Must possess 2 years of relevant experience, education, or both; performs de- escalation, Worker-- mediation, suicide assessment and intervention, referral, crisis counseling, and determines Behavioral Health transportability based on mental health symptoms.
Counselor
Crisis Intervention Same responsibilities as Crisis Intervention Worker-- Behavioral Health Counselor as well as Worker-- Health non- emergency health support and referrals. Communication with EMS/ Fire when care is Specialist indicated. Trained in trauma- informed care, harm reduction, motivational interviewing, suicide intervention, and conflict mediation.
Care Coordinator Must possess relevant experience, education, or both; case management services would include helping clients attain proper identification, provide assistance in completing community program intake forms and/ or applications for additional support services, post- crisis intervention contact to monitor and encourage adherence to follow- up care.
Mobile Crisis teams provide care coordination services core to the team' s daily functions, including referral and transport to services as a primary intervention. While on- going, individual case management is not typically included in the service, such extended individual support would improve individual outcomes, and increase overall value of the service. For that reason, the staffing model and budget proposed here includes staffing capacity for enhanced case management.
Exhibit A
Key Model Elements
Embedding the team into the City' s police response systems, with dispatch staff trained to triage, and when appropriate divert certain calls for service to the mobile crisis response team. Such calls are carefully screened to exclude those involving violence, weapons, threats and any other situation where the presence of a uniformed police officer would be needed.
The mobile teams handle non- emergency calls due to mental illness, substance use, homelessness, and related health conditions.
Staff of experienced professionals( crisis intervention workers) who specialize in the care and management of these frequently co-occurring challenges.
The Be Well OC mobile response team will implement a community care model that delivers the following:
Specialized professional staff respond to community needs involving mental illness, substance use, homelessness, and/ or related health challenges. While people in need may at times be struggling with homelessness, the team services all residents.
The service team functions as an essential support to the Police Department and emergency services, relieving first responders of the often time- intensive mental health and social service- related calls.
Specialized response vehicles and transportation for individuals in need to appropriate care facilities, such as shelters, mental health crisis units, health clinics, hospitals, etc.
Determination of appropriate action plans specific to individual client needs, family and patientfollow up care, as well as case management when indicated.
Development of a data dashboard in collaboration with the city to ensure transparency and continuous quality improvement.
Ramp Up Approach
Establishing the initial start of an 18- hour mobile crisis response service will require an appropriate scaling process.The nature of the calls in question requires skilled employees capable of managing a wide variety of difficult circumstances. Training these teams requires skilled program managers who can also do the work of responding to calls. A potential scaling- up process is as follows:
Ramp Up Milestones Timing
Contract signed Day 1
Program Managers hired; vehicles ordered; regular meetings with Month 1
City stakeholders
Day shift employees hired; vehicle retrofit begins; City specific Month 2
policies and procedures developed
Staff training begins; training of dispatch and patrol on how to Month 3
utilize service
Van retrofit completed; 7- day, 12 hours/ day service begins End of Month 3 7- day, 18 hours/ day service begins Month 5- 6
Fully operational 7- day, 18 hours/ day service Months 8- 12 Exhibit A
We will draw on our community knowledge and expertise and work closely with the City and first responders to develop clear plans and protocols including, but not limited to:
Multidisciplinary training
Incoming calls, triage, and team deployment
Community partner care coordination, with emphasis on police and fire General Safety and security practices, with emphasis on high- risk response scenarios Documentation and data, with emphasis on transparency and continuous quality improvement Data
Be Well is committed to excellent service and continuous quality improvement. Transparency in data capture, analysis, and sharing is essential to that effort. Be Well will work closely with the City of Anaheim to ensure a high caliber data process, building on systems already in place. Our data capture will include:
Number of unique individuals served Ethnicity
Number of individuals seen more than once Housing Status Gender Types of service provided and outcomes
Race Number of individuals who refuse service
Total call volume
Vehicle Guidelines
Preferred vehicle is a Ford Transit Extended Length with High Roof, or comparable. A spacious mobile environment optimizes the team' s ability to respond to a variety of mental and health needs. Increased space improves safety and outcomes.
Regardless of the make or model, vehicle modifications are needed to transition the vehicle' s standard function to the specialized capabilities required for this essential, specialized service:
Distinctive modifications listed from front and to back of unit Recommend dual alternators and a 110v/ 400w outlet
for enhanced electrical capability. Fr NIP '
2 1
Before Modification
Vinyl front seats for ease of cleaning.
11 The Crew version comes with 3 seats in the back. These are removed to accommodate a single captain' s chair -- used for trainees, observers, supervisors, etc.
r, r
Cabinets are placed behind this single observation seat and before the dividing glass to the patient area. The
cabinets and surrounding area of the vehicle store
supply bags, AED, oxygen tanks, airway management Q Ti
equipment, fire extinguishers, food, blankets, tarps, and an array of needed tools and additional supplies.
As shown above, there is a barrier
Aft® i Modification
between the cargo compartment
and passenger cab. For patient safety and comfort, the
vehicle requires replacement of this barrier with a
metal- reinforced shatterproof- glass divider.
Exhibit A
The floor and walls of the patient compartment are covered by hard, smooth, durable plastic. The material is easily washable.
Sharp edges are avoided and padding is added where appropriate.
Interior door handles in the back patient transport area are removed.
Interior and exterior lighting is enhanced.
Exhibit A
EXHIBIT B
OPERATING BUDGET
Summary Budget
Annual Personnel Budget 1, 118, 600
Non Personnel Operational Costs 119, 900
Annual Costs 1, 238, 500
One Time Start- Up Costs 61, 500
First Year Total Costs 1, 300, 000
Operating Budget
Personnel Costs FTE Hourly Benefits Annual
Rate ( @25%) Total
Crisis Intervention Worker-- Behavioral Health Counselor 3. 5 30 54, 600 273, 000 Crisis Intervention Worker-- Health Specialist 3. 5 30 54, 600 273, 000 Clinical Director 1 60 31, 200 156, 000
City Supervisor 1 45 23, 400 117, 000
Care Coordinator 2 26 26, 662 133, 309
Administrative Assistant/ Data Input 0. 5 22 5, 720 28, 600 Medical Director N/ A N/ A N/ A 36, 000
Annual Staffing Subtotal 11. 5 196, 182 1, 016, 909
Indirect on Staffing( @10%) 101, 691
Annual Staffing Total 1, 118, 600
Non Personnel Operational Costs
Phones, Software, and other IT infrastructure, etc. 24, 000 Misc. Costs( Office Supplies, Uniforms, CE, etc.) 45, 000 Van Insurance, Fuel*, Upkeep* 40, 000
Indirect 10, 900
Non Personnel Operational Costs Total 119, 900
Ongoing Annual Total 1, 238, 500
One Time Start- Up Costs
Vans and retrofit* 120, 000
Supplies 30, 000
Uniforms, Computers, Phones 15, 000
Indirect 16, 500
One Time Start- Up Costs Subtotal 181, 500
Philanthropic offset for donation of van and retrofit 120, 000) One Time Start- Up Costs Total 61, 500
Exhibit B
Summary Cost, nine 12 ho, ir ! nit with Care Coordination Support Annual Personnel Budget 1, 118, 600
Non- Personnel Operational Costs 119, 900
Annual Costs 1, 238, 500
One Time Start- Up Costs 61, 500
First Year Total Costs 1, 300, 000
Summary Costs: Unit with Case Management Support
This budget depicts the necessary costs of 18- hour staffing and operation of a 7 day/ week mobile crisis team.
Year one actual cost of operations will reveal cost- sharing opportunities across partner cities.
Detailed Costs 18- hour Unit with Care Coordination
One 18- hour Unit with Case Management Support
Personnel Costs FTE Hourly Benefits Annual
Rate @25%) Total
Crisis Intervention Worker-- Behavioral Health Counselor 3. 5 30. 00 54, 600 273, 000 Crisis Intervention Worker-- Health Specialist 3. 5 30. 00 54, 600 273, 000 Clinical Director 1 60. 00 31, 200 156, 000
City Supervisor 1 45. 00 23, 400 117, 000
Care Coordinator 2 26 26, 662 133, 309
Administrative Assistant/ Data Input 0. 5 22. 00 5, 720 28, 600 Medical Director N/ A N/ A N/ A 36, 000
Annual Staffing Subtotal 10. 5 196, 182 1, 016, 909
Indirect on Staffing ( @10%) 101, 691
Annual Staffing Total 1, 118, 600
Non- Personnel Operational Costs
Annual
Total
Phones, Software, and other IT infrastructure, etc. 24, 000 Misc. Costs( Office Supplies, Uniforms, CE, etc.) 45, 000 Van Insurance, Fuel*, Upkeep* 40, 000
Indirect 10, 900
Non- Personnel Operational Costs Total 119, 900
Ongoing Annual Total 1, 238, 500
One Time Start- Up Costs Total
Vans and Retrofit* 120, 000
Supplies 30, 000
Uniforms, Computers, Phones 15, 000
Indirect 16, 500
One Time Start- Up Costs Subtotal 181, 500
Philanthropic offset for donation of van and retrofit 120, 000) One Time Start- Up Costs Total 61, 500
Exhibit B
NOTES Regarding Detailed Costs
Cost savings available through Van/ retrofit expense covered by philanthropic support of Be Well OC Staff noted with asterisks are considered fixed expense. These costs can be shared with partnercities.
Further savings reflected in this estimate through city- provided office space, and/ or shared space with partner cities.
Exhibit B
EXHIBIT C
SCHEDULE OF COMPENSATION
PAYMENT. For work under this Agreement, payment shall be made per invoice for work completed. Within 45 days of delivery of goods or completion of performance of services, CONTRACTOR must promptly render an invoice to CITY or payment may be significantly delayed.
Exhibit C
EXHIBIT D
COVENANTS RE: USE OF FEDERAL FUNDS
Subrecipient acknowledges and agrees that the Subgrant is funded from CDBG Funds allocatedto City by the United Statesof America. Accordingly, Subrecipient covenantsand agrees as follows:
Section 1. Compliance With Law. Subrecipient hereby covenants and agrees that it has complied and will continue to comply with the Housing and Community Development Act of 1974 the " Housing and Community Development Act"), and all applicable Federal, state and local laws, ordinances, regulations, policies, guidelines, and requirements as they relate to acceptance anduseof Federalfunds for this federally- assistedprogram. This Agreement is subjectto all such laws, ordinances, regulations, policies, and guidelines, including, without limitation, the Housing and Community Development Act; 24 C.F.R. Part 58; 24 C.F.R. Part 570; and 2 C.F.R. Part 200.
Section 2. Civil Rights Act. Subrecipient shall comply with the Civil Rights Act of 1964, as amended, and all regulations applicable thereto.
Section 3. Non- Discrimination and Equal Opportunity. Subrecipient shall not discriminate against any employee or applicant for employment on the basis of race, color, religion, sex, age, national origin, or ancestry. Subrecipient shall comply with the following:
A) The requirements of the Fair Housing Act ( 42 U. S. C. 3601- 20) and implementing regulations at 24 C.F.R. Part 100;Executive Order 11063and implementing regulations at 24 C.F.R. Part 107; and title VI of the Civil Rights Act of 1964 ( 42 U. S. C. 2000d- 2000d- 4) and implementing regulations issued at 24 C. F. R. Part 1.
B) The prohibitions against discrimination on the basis of age under the Age discrimination Act of 1975 ( 42 U. S. C. 6101- 07) and implementing regulations at 24 C. F. R. Part 146 and the prohibitions against discrimination against otherwise qualified individuals with disabilities under section 504 of the Rehabilitation Act of 1973 ( 29 U. S. C. 794) and implementing regulations at 24 C. F. R. Part 8. For purposes of the CDBG program, the term " dwelling units" in 24 C. F. R. Part 8 shall include sleeping accommodations.
C) The requirements of Executive Order 11246 and the regulations issued under the Order at 41 C. F. R. chapter 60.
D) The requirements of Executive Orders 11625, 12432, and 12138.
Consistent with HUD' s responsibilities under these Orders, Subrecipient must make efforts to encourageminority and women' sbusinessenterprises in connection with activities funded under this Agreement.
E) The requirement that Subrecipient make known that use of the facilities and services is available to all on a nondiscriminatory basis. Where the Exhibit D— Page 1
proceduresthat Subrecipient intends to use to make known the availability of suchfacilities and servicesare unlikely to reachpersonswith disabilities or persons of any particular race, color, religion, sex, age or national origin within Subrecipient's service areawho may qualify for them, Subrecipient must establish additional procedures that will ensure that these persons are made aware of the facilities and services. Subrecipient must also adopt and implement procedures designed to make available to interested persons information concerning the existence andlocation of servicesand facilities that are accessibleto personswith a disability.
Section 4. Americans with Disabilities. Subrecipient shall not discriminate against handicapped persons in the provision of the Services and shall provide accessibility for handicapped persons to the Services provided under this Agreement. Subrecipient shall comply with all applicable requirements of the Americans with Disabilities Act of 1990and implementing regulations ( 28 C. F. R. Parts 35- 36), in order to provide handicapped accessibility to the extent readily achievable.
Section 5. Training and Employment Opportunities; Section 3 Requirements.
Subrecipient acknowledges that the work to be performed under this Agreement is on a project assisted under a program providing direct federal financial assistance from the U. S. Department of Housing and Urban Development ( the " Department"), and is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U. S. C. § 1701u Section 3"). Section 3 requires, that to the greatestextent feasible, opportunities for training and employment be given to lower income residents and that contracts for work in connection with the project be awarded to business concerns which are located in, or owned in substantial part by, personsresiding in the areaof theproject. Subrecipientshall comply with theprovisions of Section 3 and the regulations issued pursuant thereto by the U.S. Secretary of Housing and Urban Development as set forth in 24 C. F. R. Part 135, and all applicable rules and orders of the Department issued thereunder prior to the execution of this Agreement.
5. 1 Notice to Labor Organizations. Subrecipient shall send to each labor organization or representative of workers with which it has a collective bargaining agreement or other contract or understanding, if any, a notice advising such labor organization or workers' representative of its commitments under the Section 3 clause ( set forth in Section 5.2 of this Exhibit) and shall post copies of the notice in conspicuous places available to employeesand applicants for employment or training.
5. 2 Include in Subcontracts. Subrecipient shall include a Section 3 clause in every subcontract for work in connection with the project and shall, at the direction of the applicant for or recipient of federal financial assistance, take appropriate action pursuant to the subcontractupon a finding that the subcontractor is in violation of regulations issued by the Secretary of Housing and Urban Development, 24 C. F. R. Part 135. Subrecipient shall not subcontractwith any subcontractorwhere it hasnotice or knowledge that the latter has been found in violation of regulations under 24 C.F.R. Part 135 and shall not let any subcontract unless the subcontractor has first provided it with a preliminary statementof ability to comply with the requirements of said regulations.
5. 3 Sanctions. Compliance with the provisions of Section 3, the regulations set forth in 24 C. F. R. Part 135, and all applicable rules and orders of the Department issued Exhibit D— Page 2
thereunder prior to the execution of this Agreement shall be a condition of the federal financial assistanceprovided to the project, binding upon the applicant or recipient for such assistance, its successors, and assigns. Failure to fulfill these requirements shall subject Subrecipient, its subcontractors, its successors, and assigns to those sanctions as are specified by 24 C.F.R. Part 135.
Section 6. Conflicts of Interest. In addition to the conflict of interest requirements in 2 C. F. R.
Part 200, no person:
A) who ( i) is an employee, agent, consultant, officer, or elected or appointed official of Subrecipient, a Staterecipient, or anonprofit recipient( or of any designated public agency) that receives CDBG Subgrant amounts and ( ii) exercisesor has exercised any functions or responsibilities with respectto assisted activities, or
B) who is in aposition to participate in adecision making processor gain inside information with regard to such activities,
shall obtain a personal or financial interest or benefit from the activity, or have an interest in any contract, subcontract, or agreement with respect thereto, or the proceeds thereunder, either for him or herself or for thosewith whom he or shehasfamily or businessties, during his or her tenure, or for one year thereafter. HUD may grant an exception to this exclusion asprovided in 24 C.F.R. § 570. 611 ( d) and( e).
Section 7. Certification Regarding Lobbying. Subrecipient certifies, to the best of its knowledge and belief, that:
A) No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or any employee of a Member of Congress in connection with the awarding of any Federalcontract, the making of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement.
B) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence any officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or any employee of a Member of Congressin connection with this Federal contract, grant, loan, or cooperative agreement, Subrecipient shall complete and submit Standard Form- LLL," Disclosure Form to Report Lobbying," in accordance with its instructions.
C) Subrecipient shall require that the language of this certification be included in the award documents for all subawards at all tiers ( including subcontractors, subgrants, and contracts under grants, loans, and cooperative agreements), and that all Subrecipient's shall certify and disclose accordingly.
Exhibit D— Page 3
Section 8. Drug Free Workplace.
8. 1 Certification. Subrecipient hereby certifies to City that Subrecipient will provide a drug-free workplace by:
A) publishing a statement notifying its employees that the unlawful manufacture, distribution, dispensation, possession, or use of a controlled substance is prohibited in Subrecipient' s workplace and specifying the actions that will be taken against employees for violations of such prohibition;
B) establishing a drug-free awarenessprogram to inform employees about:
i) the dangers of drug abuse in the workplace;
ii) Subrecipient' s policy of maintaining a drug-free workplace; iii) any available drug counseling, rehabilitation, and employee assistance program; and
iv) the penalties that may be imposed upon employees for drug abuse violations;
C) making it a requirement that each employee to be engaged in the performance of Services under this Agreement be given a copy of the statementrequired by subparagraph (a);
D) notifying the employee in the statement required by subparagraph ( a), that as a condition of employment, the employee will:
i) abide by the terms of this statement; and
ii) notify Subrecipient of any criminal drug statute conviction for a violation occurring in the workplace no later than five ( 5) days after such conviction;
E) notifying City within ten ( 10) days after receiving notice of a conviction under subparagraph ( d)( ii) from an employee or otherwise receiving actual notice of such conviction;
F) imposing a sanction on, or requiring the satisfactory participation in a drug abuse assistance or rehabilitation program by, any employee who is so convicted, asrequired by 41 U.S.C. 703; and
G) making a good faith effort to continue to maintain a drug- free workplace through implementation of subparagraphs ( a), ( b), ( c), ( d), ( e), and ( f).
8. 2. Suspension. Subrecipient acknowledges and agrees that this Agreement shall be subject to suspension of payment or termination, or both, and Subrecipient shall be subject to Exhibit D— Page 4
suspension or debarment if the Executive Director of City or her official designee determines, in writing, that:
A) Subrecipient has made false certification under Section 8. 1; B) Subrecipient violates such certification by failing to carry out the requirements of subparagraphs ( a), ( b), ( c), ( d), ( e), ( f) or( g) of Section 8.1; or
C) such a number of Subrecipient' s employees have been convicted of violations of criminal drug statutesfor violations occurring in the workplace as to indicate that Subrecipient has failed to make a good faith effort to provide a drug-free workplace asrequired by Section 8.
Section 9. Use of Debarred, Suspended or Ineligible Contractors. Subrecipient shall comply with the provisions of 24 C.F.R. Part 24 relating to the prohibition on employment, engagementof services, awarding of contracts, or funding of any contractors or subcontractors during any period of debarment, suspension, or placement in ineligibility status.
Section 10. Lead- Based Paint. Subrecipient shall comply with the requirements, as applicable, of the Lead- Based Paint Poisoning Prevention Act ( 43 U. S. C. 4821- 4846) and implementing regulations at 24 C. F. R. Part 34. In addition, Subrecipient must also meet the following requirementsrelating to inspection andabatementof defective lead-basedpaint surfaces:
A) Treatment of defective paint surfaces must be performed before final inspection and approval of the renovation, rehabilitation or conversion activity under this Agreement.
B) Appropriate action must be taken to protect shelter occupants from the hazards associated with lead- based paint abatement procedures.
Section 11. Beneficiary Qualification. Subrecipient covenants and agreesthat at least fifty- one percent ( 51%) of the beneficiaries of the Services will be low and moderate income persons or households. Under CDBG regulations, the following clientele categories are presumedto be low and moderate income persons and can qualify for service regardless of income: abused children, battered spouses, illiterate persons, and migrant farm workers. Beneficiaries qualifying on the basis of income shall have an annual income equal to or less than HUD Section 8 ( of the United States Housing Act of 1937) Income Limits. HUD Section 8 Income Limits for the City PMSA define the maximum family income for low and moderate income households.
Subrecipient is responsible for obtaining from City current applicable HUD Section 8 Income Limits for the Term of this Agreement.
Section 12. Flood Insurance. No site proposed on which renovation, major rehabilitation, or conversion of a building is to be assistedunder this Agreement shall be located in an areathat has been identified by the Federal Emergency ManagementAgency( FEMA) as having special flood hazards, unless:
A) either( i) the community in which the areais situated is participating in the National Flood Insurance Program and the regulations thereunder ( 44 Exhibit D— Page 5
C. F. R. parts 59 through 79) or ( ii) less than a year has passed since FEMA notification regarding such hazards.
B) Subrecipient will ensure that flood insurance on the structure is obtained in compliance with Section 102( a) of the Flood Disaster Protection Act of 1973 (42 U. S.C. 4001, et seq.).
Section 13. Coastal Barriers. Subrecipient shall comply with the Coastal Barrier Resources Act, 16 U. S.C. 3501, which provides that no financial assistanceunder this Agreement may be made available within the Coastal Barrier Resources System.
Section 14. Religious and Political Activities. Subrecipient agrees that Subgrant Proceeds shall be used exclusively for performance of the work required under this Agreement, and that no funds made available under this Agreement shall be used to promote religious or political activities. Further, Subrecipient agreesthat it will not perform, nor permit to be performed, any religious or political activities in connection with the performance of this Agreement.
14. 1 Primarily Religious Organizations. If Subrecipient is a primarily religious organization, Subrecipient agrees that Subrecipient shall provide shelter and the Services in a mannerthat is free from religiousinfluencesandin accordancewith the following principles:
A) Subrecipient shall not discriminate against any employee or applicant for employment on the basis of religion and will not limit employment or give preference in employment to persons on the basis of religion.
B) Subrecipient shall not discriminate against any person applying for shelter or any of the Services on the basis of religion and shall not limit such housing or Servicesor give preference to personson the basis of religion.
C) Subrecipient shall ( i) provide no religious instruction or counseling, ( ii) conduct no religious workshop or services, ( iii) engage in no religious proselytizing, and (iv) exert no other religious influence in the provision of shelter or the Services.
14. 2 Wholly Secular Private Nonprofit Organizations Established by a Primarily Religious Organizations. If Subrecipient is a wholly secular private nonprofit organization establishedby a primarily religious organization, Subrecipient shall provide the Services in a manner that is free from religious influences and in accordance with the principles set forth in Section 14. 1.
If Subrecipient elects to enter into a contract with the religious organization to provide shelter or the Services, the religious organization must agree in the contract to carry out its contractual responsibilities in a manner free from religious influences and in accordance with the principles set forth in Section 14. 1.
Section 15. Reversion of Assets. Upon the expiration or termination of this Agreement, Subrecipient shall transfer to City any CDBG Funds on hand and any accounts receivable attributable to the use of CDBG Funds. If at the time of the expiration or termination of this Exhibit D— Page 6
Agreement there is under the control of Subrecipient any real property that was acquired or improved in whole or in part with CDBG Funds in excess of Twenty-Five Thousand Dollars 25, 000), then such real property shall either be:
A) used to meet one( 1) or more of the national objectives set forth in 24 C. F. R. 570. 208 for not less than five ( 5) years after the date of expiration or termination of this Agreement, or such longer period of time as determined appropriateby City; or
B) disposed of, within five ( 5) years after the date of expiration or termination of this Agreement, in a manner which results in City being reimbursed in the amount of the then current fair market value of said real property less any portion thereof attributable to expenditure of non- CDBG funds for said acquisition or improvement.
Section 16. Program Income. Any Program Income received by Subrecipient shall be returnedto City. Any Program Income on handwhen this Agreement expires or received after the expiration of this Agreement shall be paid to City asrequired by 24 C.F.R. 570.503(8).
Section 17. No Disability. Subrecipient certifies and agrees that it is under no contractual or other disability which would prevent it from complying with all pertinent laws and regulations.
Section 18. Patents and Copyrights. Subrecipient acknowledges and agrees that HUD reserves a royalty- free, nonexclusive, and irrevocable license to reproduce, publish or otherwise use, and to authorize others to use, for Federal Government purposes:
A) The copyright in anywork developedunderthe Subgrantor this Agreement; B) Any rights of copyright to which Subrecipient purchases ownership with Subgrant Proceeds;
C) The patent for any invention developed under the Subgrant or this Agreement; and
D) Any rights in any patent to which Subrecipient purchasesownership with Subgrant Proceeds.
Section 19. Records, Reporting and Monitoring.
19. 1 Records and Reports. Subrecipient shall prepare and submit financial, program progress, monitoring, evaluation, personnel, property and financial records and other reportsasrequiredby City andin theformatacceptableto City to assureproperaccounting of all Federal and non- Federal project funds. Subrecipient shall furnish such information which, in the judgment of City' s Representative, may be relevant to questions of compliance with contractual conditions hereunder or granting agency directives, or with the effectiveness, legality and goals of the program. Subrecipient will establish a record keeping system which is consistent with Title 24 Code of Federal Regulations Sections 570.110. Suchrecords shall be maintained and available to City for at leastthree( 3) years following the completion of the program, at a minimum, and in the event of litigation, Exhibit D— Page 7
claim, or audit, the records shall be retained until all litigation, claims, and audit findings involving the recordshave been fully resolved.
Subrecipientwill submit quarterly reportsto City specifying Program Income earned. Each report shall contain, or be accompaniedby, an itemized statementshowing all information required by City, including, without limitation:
A) The amount expendedor incurred by Subrecipient and due andpayable for the Subrecipient's Servicesfor suchreporting quarter.
B) The revenue generatedby Subrecipient and the sourceof such revenue for each reporting quarter.
C) A statement showing for each reporting quarter: ( i) a description of each of the Clients serviced, ( ii) the number of the Clients receiving shelter at the Shelters, ( iii) the type of counseling sessionconducted, the number of each type of counseling sessions conducted, and the number of the Clients attending eachsuchcounseling session,(iv) the type of educational sessions conducted, the number of each type of educational session conducted, and the number of the Clients attending each such educational session, and (v) a quarterly narrative which specifies any additional services provided.
The quarterly report for the last quarter of the fiscal year ending June 30 shall also include Subrecipient's financial statementfor the immediately preceding year, accompaniedby an annual audit report of Subrecipient' s financial statementfor the immediately preceding year.
Each report shall be certified as complete and correct by the executive director of Subrecipient.
19. 2 Monitoring. City will conduct periodic program monitoring reviews. These reviews will focus on the extent to which the planned program has been implemented and measurable goals achieved, effectiveness of program management, and impact of the program. Authorized representatives of City and HUD shall have the right of access to all activities and facilities operated by Subrecipient under this Agreement. Facilities include all files, records, and other documents related to the performance of this Agreement.
Activities include attendanceat staff, board of directors, advisory committee, and advisory boardmeetings andinspection by City andHUD representatives. Subrecipient shall ensure that its employeesandboard members furnish suchinformation as,in thejudgment of City and HUD representatives, may be relevant to the question of compliance with contractual conditions and HUD directives, or the effectiveness, legality, and achievements of the program.
19. 3 Accounting. Subrecipient shall establish, and maintain on a current basis, an adequateaccrual and accounting systemin accordancewith generally acceptedaccounting principles and standards.
19. 4 Audits. Subrecipient is required to arrange for an independent financial and compliance audit annually for each fiscal year Federal funds are received under this Agreement. Audits must be in compliance with C. F. R. 2 Part 200. An audit may be Exhibit D— Page 8
conducted by Federal, State, or local funding source agencies as part of City' s audit responsibilities. The results of the independent audit must be submitted to City within thirty( 30) daysof completion. Within thirty( 30) days of the submittal of said audit report, Subrecipient shall provide a written response to all conditions of findings reported in said audit report. The responsemust examine eachcondition or finding andexplain a proposed resolution, including a schedule for correcting any deficiency. All conditions or finding corrective actions shall take place within six ( 6) months after receipt of the audit report.
City and its authorized representativesshall at all times have accessfor thepurposeof audit or inspection to any and all books, documents, papers, records, property, and premises of Subrecipient. Subrecipient staff will cooperatefully with authorized auditors when they conduct audits and examinations of Subrecipient' s program.
If indications of misappropriation or misapplication of the funds granted under this Agreement cause City to require a special audit, the cost of the audit will be encumbered and deducted from the Subgrant. Should City subsequentlydetermine that the special audit was not warranted, the amount encumbered will be restored to the Subgrant. Should the special audit confirm misappropriation or misapplication of funds, Subrecipient shall promptly reimburse City the amount of misappropriation or misapplication. In the event City uses the judicial system to recover misappropriated or misapplied funds, Subrecipient shall reimburse City for legal fees and court costsincurred in obtaining the recovery.
Subrecipient agrees that in the event the program established hereunder is subjected to audit exceptions by appropriate federal audit agencies, it shall be responsible for complying with such exceptions andpaying City the full amount of City' s liability to the funding agencyresulting from such audit exceptions.
19. 5 Confidentiality of Records. Subrecipient shall adhere to the requirement of the National Affordable Housing Act ( Pub. L. 101- 625, November 28, 1990) contained in Section 832(e)(2)(c) that grantees (i) develop and implement procedures to ensure the confidentiality of recordspertaining to any individual provided family violence prevention or treatment services under any project assisted" under the CDBG Program and( ii) that the address or location of any family violence shelter project assisted under the CDBG Program will, except with written authorization of the person or persons responsible for the operation of such shelter, not be made public.
Section 20. Property Acquisition During Term.
20. 1 Non- Expendable Property. A record shall bemaintained by Subrecipient for each item of non-expendableproperty acquired for this program with Subgrant Proceeds. This record shall be provided to City as well as being available for inspection and audit upon the request of City. Non-expendableproperty meanstangible personal property having a useful life of more than one ( 1) year and an acquisition cost of Three Hundred Dollars 300. 00) or more per unit. Subrecipient shall not purchase or agree to purchase non- expendable property without the prior written approval of City. Upon completion or early termination of this Agreement, City reservesthe right to determine the final disposition of such non- expendable property in compliance with applicable laws and regulations. Such disposition may include, but is not limited to, City taking possession of such non- expendable property.
Exhibit D— Page 9
20. 2 Expendable Property. Expendable property refers to all tangible personal property other than non- expendable personal property. Subrecipient shall not purchase or agree to purchase expendable personal property at a cost of Three Hundred Dollars 300.00) or more per unit without the prior written approval of City.
20. 3 Purchase or Lease of Non- Expendable Property or Equipment. Subrecipient shall obtain three documented bids prior to purchasing or leasing any non-expendable property or equipment over Three Hundred Dollars ($ 300. 00) in unit value. Subrecipient shall purchase or lease from the lowest responsive and responsible bidder. All equipment that has a purchase or lease price of over Fifty Dollars ($ 50. 00) in unit- value and life expectancy of more than one ( 1) year shall be properly identified and inventoried and shall be charged at its actual price. Such inventory shall be provided to City as well as being available for inspection and audit upon the request of City.
Section 21. Travel and Conference Restrictions. Subrecipient covenants and agrees that travel and conference expenses will not be paid for by funds provided through this Agreement.
Section 22. Privacy. Subrecipient agrees and shall ensure that no information about or obtained from any person receiving serviceshereunder shall be voluntarily disclosed in any form identifiable with suchperson without first obtaining the written consentof such person.
Exhibit D — Page 10
EXHIBIT E
DEFINITION OF PROGRAM INCOME
ProgramIncome"meansgrossincomereceivedby therecipientor asubrecipientdirectly generated from the use of CDBG Funds. When such income is generatedby an activity that is only partially assisted with CDBG Funds, the income shall be prorated to reflect the percentage of CDBG Funds used.
Program income includes, but is not limited to the following:
a) Proceedsfrom the disposition by sale or long term lease of real property purchased or improved with CDBG Funds;
b) Proceeds from the disposition of equipment purchased with CDBG Funds; c) Gross income from the use or rental of real or personal property acquired by the recipient or a sub- recipient with CDBG Funds, less the costs incidental to the generation of such income;
d) Grossincome from the useor rental of real property owned by the recipient or a sub- recipient that was constructed or improved with CDBG Funds, less the costs incidental to the generation of such income;
e) Paymentof principal and interest on loans made using CDBG Funds; f) Proceeds from the sale of loans made with CDBG Funds; g) Proceedsfrom the sale of obligations securedby loans made with CDBG Funds;
h) Interest earned on funds held in a revolving fund account; i) Interest earnedon program income pending disposition of suchincome; and j) Funds collected through special assessments made against properties owned and occupied by households not of low and moderate income, where such assessments are used to recover all or part of the CDBG portion of a public improvement.
Program income does not include interest earned( except for interest described in 570. 513) on cash advances from the U. S. Treasury. Such interest shall be remitted to HUD for transmittal to the U. S. Treasury and will not be reallocated under section 106 or( d) of the Act. Examples of other receipts that are not considered program income are proceeds from fund-raising activities carried out by sub- recipients receiving CDBG assistance; funds collected through special assessments used to recover the non- CDBG portion of a public improvement; and proceeds from the disposition of real property acquired or improved with CDBG Funds when such disposition occurs after the applicable time period specified in 24 C. F. R. § 570. 503( b)( 8) for sub- recipient controlled property or 24 C. F. R. § 570.505 from recipient controlled property.
Exhibit E