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Home My Public Portal About90-010 (01-16-90)RESOLUTION NO. 90 -10 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD TO AUTHORIZE THE AMENDMENT OF PRESENT AND FUTURE SUB - RECIPIENT CONTRACTS TO COMPLY WITH NEW HUD REGULATIONS, EFFECTIVE OCTOBER 1, 1988 WHEREAS, the United States Housing and Community Develop- ment Act of 1974, as amended, established the Community Development Block Grant (CDBG) program to provide decent housing, a suitable living environment and expanding economic opportunities, principally for persons of low and moderate income; and WHEREAS, the City Council desires to comply with all HUD regulations that affect the CDBG program; and WHEREAS, the City has a current sub - recipient contract with Project Impact; and WHEREAS, new HUD regulations require the following sections be included in all sub - recipient contracts: NOW, THEREFORE, the City Council of the City of Lynwood does hereby find, determine order and resolve as follows: I. UNIFORM ADMINISTRATIVE REQUIREMENTS Operating Agency agrees to comply with terms and conditions of OMB Circular No. A -87, "Principles for Determining Costs Applicable to Grants and Contracts with State, Local and Federally recognized Indian Tribal Governments" and with the Sections of 24 CFR Part 85 "Uniform" Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments ". 2. SUSPENSION AND TERMINATION In accordance with 24 CFR 85.43, the City may suspend or terminate this agreement anytime the City deter- mines that the Operating Agency had materially failed to comply with any term or regulation, an assurance or in a State plan or application. 3. REVERSION OF ASSETS Upon expiration of this agreement, the Operating Agency shall transfer to the City al funds on hand and any accounts receivable attributable to the use of CDBG funds. 4. OTHER PROGRAM REQUIREMENTS With the exception of environmental responsibilities (570.604) and responsibility for initiating the review process under the provisions of 24 CFR Part 52, the Operating Agency will conduct its activities in compliance with all Federal laws and regulations described in Subpart K that apply. NOW,! THEREFORE, the City Council of the City of Lynwood. does hereby find, determine, order and resolve as follows: C O N T R A C T This Contract made and entered into this 1st day of July, 1989, by and between the City of Lynwood, a Municipal Corporation, and Project Impact hereinafter referred to as "Operating Agency ". W I T N E S S E T H WHEREAS, the City has entered into a Contract with the United States of America through its Department of Housing -and Urban Development (HUD) to execute the City's Community Develop- ment Block Grant (CDBG) Program under the Housing and Community Development Act of 1974, hereinafter referred to as the "Act" as amended, and WHEREAS, operating Agency has been designated by City to provide public services under said program. NOW, THEREFORE, in consideration of the mutual convenants herein set forth and mutual benefits to be derived therefrom, the parties agree as follows: 1. SCOPE OF SERVICES The operating "Exhibit A a herein by this Agency is to copy of which reference. 2. TIME OF PERFORMANCE Said services provided by operating Agency are to commence not sooner than July 1, 1989, and shall be completed not later than June 30, 1990, however, this contract may be terminated by thirty (30) day notice in writing by either party. In the event of such termination, operating Agency shall be compensated for all services satisfactorily performed prior to the date of notice of termination: 3. COMPENSATION AND METHOD OFF PAYMENT Upon such performance, the City shall reimburse Operating Agency an amount not to exceed $40,000, which shall constitute full and complete reimbursement hereunder provided, for the implementation of the project described in Exhibit A to this Contract. Said reimbursement will only be paid out of funds received by City from the Federal Government under the Act for allowable costs actually incurred for the express purpose specified. The parties understand and agree that such reimbursement, if any, shall be conditional on receipt of said funds by the City from the Department of Housing and Urban Development, and shall not be a charge on any other funds of the City. Operating Agency shall submit to the City, a monthly activity report. Payment to Operating Agency shall be made in four (4) equal quarterly installments on the first day of each calendar quarter, commencing July 1, 1989. Operating Agency shall submit a request for payment in such manner as prescribed by City. Payment shall be made within 30 days from submission. Operating Agency shall also maintain in all files "Exhibit B" (Household Income Certification Statement). I I - I �1 perform the services set forth in is attached hereto and incoporated 4. RECORD KEEPING AND REPORTING Operating Agency shall submit to the City on a monthly basis program progress reports which shall be used to monitor their performance. Operating Agency shall establish an acceptable accounting system, maintain accounting records, office files and other evidence pertaining to costs incurred pursuant to applicable regulations. ' Operating Agency shall make available for inspection and audit to City and HUD representatives, upon request, at any time during the duration of this Contract and during a period of five (5) years thereafter, each project or business activity which is funded in whole or in part with Federal or State grant monies, whether or not such monies are received through the City. All such books and records shall be maintained by Operating Agency at a location in Los Angeles County. Failure of Operating Agency to comply with the requirements of this "Section 4" shall constitute a material breach of Contract upon which the City may cancel, terminate, or suspend this Contract. 5. PROGRAM INCOME All program income derived from the use of CDBG funds shall be documented and reported to the HCDA Manager or designee on a quarterly basis. AUDIT Operating Agency is responsible for conducting annual audits of the Program for Federal and fiscal compliance. Said audits must comform to single audit requirements and are subject to City and HUD review. ' 7. BENEFICIARY DATA Operating Agency shall submit copies of household income certification statements relative to client benefit on a quarterly basis to the HCDA Manager or designee. Said statement shall be submitted on all clients serviced. In the event this information is not able to be ascertained, a written statement designating the reasons for such shall also be submitted. Failure to provide said reports will result in findings of ineligibility for the affected cases, therefore Jeopardizing future payment requests. 8. NONEXPENDABLE PROPERTY A record shall be maintained for each item of nonexpendable property acquired for this program with HUD CDBG funds. Nonexpendable property means tangible personal property having a useful life of more than one (1) year and an acquisition cost of $300 or more per unit. Nonexpendable property shall include tangible personal property, including but not limited to office equipment, and real property and any interest in such real property, including any mortgage or other encumbrances of real property as well as any funds derived from the sale or disposition of nonexpendable property. Any utilization of funds derived from the sale or disposition of nonexpendable property must have prior approval of the HCDA Manager or his designee and otherwise comply with all applicable laws and regulations. In case of the Contract's termination, the City reserves the right to determine the final disposition of said nonexpendable property acquired for this program.with HUD CDBG funds, including funds derived therefrom. Said disposition may include the City taking possession of said nonexpendable property. -I - i f. 9. EXPENDABLE PERSONAL PROPERTY Expendable personal property refers to all tangible personal Property other than nonexpendable property. All purchased expendable personal property with a value of $1,000 or more per unit must have the prior written approval of the HCDA Manager or his designee. All leased equipment of any value must have prior written approval of the HCDA Manager. 10. PURCHASE OR LEASE OF NONEXPENDABLE PROPERTY If for the purposes of implementing this Contract, the Operating Agency must purchase or lease any nonexpendable personal property over $300 in unit value, the Operating Agency shall obtain three (3) documented bids and purchase 'or lease from the lowest bidder. All equipment costing over $50 per unit and having a life expectancy of more than one (1) year shall be properly identified and inventoried, and shall be charged at its actual price deducting all cash discounts, rebates, and allowances received by Operating Agency. This inventory shall be made available to the HCDA Manager, or his designee. 11. JOINT FUNDING For programs in which there are sources of funds in addition to CDBG funds, Operating Agency shall provide proof of such funding. The City shall not pay for any services provided by Operating Agency which are funded by other sources. All restrictions and /or requirements provided for in this Contract relative to accounting, budgeting and reporting apply to the total program regardless of funding source. 12. NOTICES All notices shall be served in writing. The Notices to the Operating Agency shall be sent to the following address. Project IMPACT 3340 Sanborn Avenue Lynwood, CA 90262 Notices, reports and statements to the City shall be delivered or sent to the HCDA Manager or his designee, Department of Community Develpment, City of Lynwood, 11330 Bullis Road, Lynwood, California, 90262. 13. USE OF FUNDS FOR ENTERTAINMENT OR GIFTS Operating Agency certifies and agrees that it will not use funds provided through this Contract to pay for entertainment or gifts. 14. AFFIRMATIVE ACTION Operating Agency agrees to comply with terms and conditions of Executive Order 11246, titles "Equal Employment Opportunity" as amended by Executive Order 11375. (Exhibit "C"). 15. NON - DISCRIMINATION Operating Agency agrees to comply with terms and conditions of ,, Title VI of the Civil Rights Act of 1964, (Exhibit D") Section 3 of the Housing and Community Development Act (HCA) of 1968,. (Exhibit i Ell) and Section 109 of the HCDA of 1974 (Exhibit F") attached hereto. 3 16. UNIFORM ADMINISTRATIVE REQUIREMENTS Operating Agency agrees to comply with terms and conditions of OMB Circular No. A -87, "Principles for Determining Costs Applicable to Grants and Contracts with State, Local and Federally recognized Indian Tribal Governments" ( Exbibit ) and with the Sections of 24 CFR Part 85 "Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments" (Exhibit ) attached hereto. 17. SUSPENSION AND TERMINATION ' In accordance with 24 CFR 85.43 (Exhibit ), the City may suspend or terminate this agreement anytime the City determines that the Operating Agency has materially failed to comply with any term or regulation, an assurance or in a State plan or application. 18. REVERSION OF ASSETS Upon expiration of this agreement, the Operating Agency shall transfer to the City all CDBG funds on hand and any accounts receivable attributable to the use of CDBG funds. 19. OTHER PROGRAM REQUIREMENTS With the exception of environmental responsibilities (570.604) and responsibility for initiating the review process under the provisions of 24 CFR Part 52, the Operating Agency will conduct its activities in compliance with all Federal laws and regulations described in Subpart K (exhibit ) that apply. 20. PERSONNEL AND CONFLICT OF INTEREST Operating Agency represents that it has all personnel and ' agrees not to employed any person employee by or holding an elective or appointed office with the City of Lynwood. 21. INSURANCE Operating Agency will maintain comprehensive liability insurance in amounts customary in the industry. 22. ASSIGNMENT AND DELETION Neither this Agreement nor any of the rights or duties under this Agreement may be assigned or delegated by either party without prior written consent of the other party. 23. ENTIRE AGREEMENT This Agreement contains the entire agreement between the parties thereto and supersedes any and all prior agreements, arrangements, or understandings between the parties relating to the subject matter hereof. 24. MODIFICATIONS 'It is the express intention of both City and Operating Agency that the terms hereof shall comprise the entire Agreement between the parties and it shall not be subject to rescisssion, ' modification or waiver except as defined in a subsequent written instrument executed by both parties hereto. 25. MONITORING The HCDA Manager or designee will monitor the program, nor contract compliance on a quarterly basis commencing , 1989. All findings will be recorded and reported to the Operating Agency and City. _ I 4! Failure to correct designated findings within sixty (60) days of receipt of written notification and /or failure to -meet Projected program goals could result in contract termination. IN WITNESS WHEREOF, the Governing bodies of the paxties; hereto have authorized this Contract and have caused said Contract to be executed by their respective chief execative officers and attested by the executive officers and clerk thereof as of the day, month and year first above written. 51 CITY OF LYNWOOD BY: _Ze TITLE: MAYOR DATE: A X969 OPERATING AGENCY BY: TITLE: DATE: APPROVED AS TO BY: n 5