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HomeMy WebLinkAbout1996-10-01; City Council; 13824; APPROVAL OF 1996-97 SUBRECIPIENT AGREEMENTS FOR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDSf .) 0 a CITY OF CARLSBAD - Ad NDA BILL IEPT. H/RED TITLE. APPROVAL OF 1996-97 SUBRECIPIENT AGREEMENTS FOR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS DEPT. HD. &B CITY ATTY. C;TY MGR.s RECOMMENDED ACTION: Adopt Resolution No. ‘% -315 Development Block Grant Funds. to approve 1996-97 Subrecipient Agreements for federal Community ITEM EXPLANATION: On April 16, 1996. and subsequently on June 19, 1996, the City Council selected the organizations to receive federal Community Development Block Grant (CDBG) Entitlement funding for the 1996-97 program year. Prior to disbursing CDBG funding for the subrecipients, the City must complete the appropriate environmental reviews and execute a written agreement for the various approved project(s). Subrecipient agreements with two subrecipients have been prepared and are attached .as Exhibit 2 for City Council review and approval at this time. The following subrecipients will receive CDBG funds for activities to benefit low and moderate-income Carlsbad residents: . Catholic Charities La Posada de Guadalupe $ 9,790 . Community Resource Center Homeless Prevention Program $ 4,850 As required by federal regulations, staff has completed the required environmental review documentation for the above CDBG funded projects. Staff has determined that the grants for these projects are exempt from environmental review under 24 CFR Section 58.34 (a)(9). The environmental review documentations for these projects are on file in the Housing and Redevelopment Department. FISCAL IMPACT: No fiscal impact on the General Fund. All of the,projects will be funded through the CDBG program. EXHIBITS: 1. Resolution No. 96 -3/s approving the ‘I 996-97 Subrecipient Agreements for federal .CDBG funds. 2. 1996-97 Subrecipient Agreements. f / 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 I9 20 21 22 23 24 25 26 27 28 e CITY COUNCIL RESOLUTION NO. 9 6 - 3 15 0 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING SUBRECIPIENT AGREEMENTS FOR THE CITY OF CARLSBAD'S 1996-97 FEDERAL COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM WHEREAS, on April 16, 1996 and subsequently on June 19, 1996, the City Council City of Carlsbad, California selected the programs to receive funding under the City's 1 Cornunity Development Block Grant (CDBG) Program; WHEREAS, the City Council of the City of Carlsbad, California has considered the r subrecipient agreements for 1996-97 Community Development Block Grant funds; WHEREAS, the City has determined that these Community Development Block Grant activities are exempt from environmental review under 24 CFR Section 58.34 (a)(9); and, WHEREAS, the City Council has taken all testimony into account; NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the above recitations are true and correct. 2. That the City Council hereby approves the 1996-97 Community Developmen Grant Subrecipient Agreements, on file in the City Clerk's office, for the fo organizations: Catholic CharitiedLa Posada de Guadalupe and Community R Center/Homeless Prevention Program. That the Mayor is authorized to sign the Community Development Block Subrecipient agreements on behalf of the City of Carlsbad. 3. PASSED, APPROVED AND ADOPTED by the City Council of the City of C: California, on the Is t day of October , 1996, by the followin to wit: AYES: Council Members Lewis, Nygaard, Kulchin, Hall and Finnila NOES: None ABSTAIN: None - ABSENT: None ,iTTEST: LL!xIk 4. R7a%) ALETHA L. RAUTENKRANZ, City Clerk 1 * 0 0 AGREEMENT BETWEEN THE CITY OF CARLSBAD AND CATHOLIC CHARITIES FOR 1996-97 FEDERAL COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS THIS AGREEMENT, made and entered into as of this / c T day of 1996 by and between the CITY OF CARLSBAD, a municipa corporation, hereinafter referred to as "City", and CATHOLIC CHARITIES, a non-profi organization, hereinafter referred to as "Subrecipient". 0 or&@& RECITALS WHEREAS, the City has applied for and received funds from the United States Governmen under Title I of the Housing and Community Development Act of 1974, Public Law 93-383 to func eligible activities which benefit persons of low and moderate income; WHEREAS, the City has the need to provide shelter or services to homeless or near homeles: persons/families which result in an improved situation through employment, permanent housing treatment of mental, or substance abuse problems, etc.; WHEREAS, the City has the need to provide assistance to non-profit public service provider! who meet the basic needs related to food, shelter, clothing and, in some cases, health care of lowe; income persons; WHEREAS, the City has the need to provide assistance to non-profit public service provider: who offer counseling and self-improvement programsiactivities for lower income persons; WHEREAS, the Subrecipient can provide one or more of these basic services for low and moderate income households with some assistance from the City; and, WHEREAS, the City has determined that La Posada de Guadalupe Shelter is exempt from environmental review under 24 CFR Part 58, Section 58.34(a)(9); NOW, THEREFORE, in consideration of these recitals and the mutual covenants containec herein, City and Subrecipient agree as follows: 1. STATEMENT OF WORK The City has allocated federal 1996-97 Community Development Block Grant (CDBG) funds in the amount of nine thousand seven hundred and ninety dollars ($9,790) for operation of tht La Posada De Guadalupe homeless shelter (50 beds) located at 2472-2476 Impala Drive in Carlsbad. Transitional shelter will be provided to homeless men for maximum stay of 90 days. Every effort shall be made by the Subrecipient to expend the allocated funds in their entirety by June 30, 1997. If the Subrecipient will be unable to expend all of the funds allocated to the project by the noted date, the Subrecipient shall request an extension from the City for continued use of the funds on the approved project. Based on progress made by the Subrecipient towards completing the subject project, the City will either agree to grant the extension or notiiy the Subrecipient that the funds must be reallocated to another eligible project due to slow project progress. 1 e 0 2. DISBURSEMENT OF FUNDS The City shall reimburse the Subrecipient with CDBG funds for administrative costs related tc the provision of services for eligible residentdcitizens of Carlsbad for the period beginning Jul 1, 1996 and ending June 30, 1997. Payment for eligible administrative expenses shall be mad’ in accordance to budget information to be submitted to the City and in accordance wit1 performance. The reimbursements for costs shall not exceed a total of $9,790. The Cit: shall not provide any payments/reimbursements in advance of actual expenditures by th, Subrecipient. The Subrecipient shall submit a “Reimbursement Request” to the City to request payment fo program administration costs. Prior to receiving reimbursement, the City will verify that th Subrecipient has provided services in compliance with all applicable Federal, state, and loca rules and regulations governing these funds, and in a manner satisfactory to the City. Each request for reimbursement shall include documentation to verify expenditure of funds ar consistent with the project descriptionidefinition as approved by the City Council. Payrol records, receipts, paid invoices including an itemized statement of all costs are samples o appropriate methods of reimbursement documentation. The Subrecipient may request reimbursements anytime after this agreement is approved by thc City Council and continue until the expiration date, or amended expiration date, of thir agreement. 3. PROGRAM INCOME The Subrecipient shall report, to the City, any interest, or other income, earned as a direc result of the use of federal CDBG funds for the program outlined within this agreement. AI reported program income may be retained by the Subrecipient for costs related to the subjec program activities. However, the program income, retained by the Subrecipient, must bt expended before additional funds are requested from the City. The requirements are set fort1 in the federal regulations Sections 570.504 (c) which are incorporated herein by reference. 4. LABOR, MATERIALS AND SUPPLIES: The Subrecipient shall furnish all labor, materials and services and bear all expenses necessar: to provide the subject program as outlined in this agreement. Under this agreement, the City’s only financial obligation to the Subrecipient is to provide the CDBG funds of $9,790 maximuu as allocated by the City Council for program year 1996-97. 5. RECORDS AND REPORTS The Subrecipient shall maintain all records required by the Federal regulations specified in 2L CFR part 570.506 that are pertinent to the activities to be funded under this Agreement. Sucf records shall include but not be limited to: a. b. c. Iiecords providing a full description of each activity undertaken; Iiecords denionstrating each activity undertaken meets on of the National Objectives o the CDBG program; Iiecords required to determine the eligibility of activities; 2 e 0 d. Records required to document the acquisition, improvement, use or disposition of rea property acquired or improved with CDBG assistance; e. Records documenting compliance with the fair housing and equal opportunit: components of the CDBG program; f. Documentation of all CDBG funds received from the City, eligible expenses incurrec for administration of each activity, and other financial records as required by 24 CFF Part 570.502, and OMB Circular A-1 10; and, Any other related records as the City shall require to demonstrate compliance wit1 applicable Federal, state, and local rules and regulations governing these funds. The Subrecipient shall submit quarterly "Progress Reports" during the program year beginnin) July 1, 1996 and ending June 30, 1997 within fifteen (15) calendar days of the end of eacl quarter. The final progress report is due no later than July 15, 1997. The report must includc sufficient information to assist the City in monitoring the Subrecipient's performance. Thi Subrecipient must demonstrate satisfactory performance prior to reimbursement fo expenditures. At a minimum, the performance reports shall include the following information: g- a. Total number of personsihouseholds participating in the program during reportel period; Total number of participants from Carlsbad; Number of low/moderate income Carlsbad persons/households participating in th program during the reporting period; Age and ethnic background of Carlsbad participants; Summary of program(s) provided to Carlsbad participants; and b. C. d. e. The Subrecipient shall maintain client data demonstrating client eligibility for service provided. Such data shall include at the minimum client name, address, ethnicity, income lev€ or other basis for determining eligibility, and description of service provided. This data sha' assist the Subrecipient in completing the required quarterly progress reports to be submitted t the City. The Subrecipient shall maintain separate accounting records for the federal CDBG fund provided by the City. The City, Federal Grantor Agency, Comptroller General of the Unite States, or any of their duly-authorized representatives shall have access to all book: above project for the purpose of audit, examination, excerpts and transcriptions. Unless otherwise notified by the City, the Subrecipient shall retain all financial record: supporting documents and statistical reports related to the project identified under th agreement for a period of three (3) years after the termination of all activities funded under th Agreement. All records subject to an audit finding must be retained for three (3) years fro] the date the finding is made or until the finding has been cleared by appropriate officials ar the Subrecipient has been given official written notice. If the Subrecipient shall receive more than $25,000 in total federal funds in one fiscal ye; from the City of Carlsbad and/or any other city or agency, the Subrecipient is required I submit a Single Audit Report. As required by the Federal Single Audit Act, the Subrecipie shall be required to submit, to the City, a comprehensive financial audit prepared by i documents, papers and records maintained by the Subrecipient which directly pertain to th 3 0 e independent, neutral third-party auditor. The audit shall cover financial operations of thi Subrecipient for the period beginning July 1, 1996 and ending June 30, 1997 and is due no later than one year after expiration of the agreement. The Subrecipient shall also be required tc submit a second audit for the period covered under fiscal year beginning July 1, 1997 anc ending June 30, 1998 for any funds received in fiscal year 1997-98 per this Agreement. 6. PROGRAM REQUIREMENTS The Subrecipient agrees to comply with the requirements of Title 24 of the Code of Federa Regulations, Part 570 (the Housing and Urban Development regulations concernins Community Development Block Grants). The Subrecipient also agrees to adhere to the term: of the City's CDBG Application and Subrecipient Agreement and with assurances an( agreements made, by the City, to the United States Department of Housing and Urbai Development. The Subrecipient shail coinply with applicable Uniform Administrative Requirements a: described in Section 570.502 of the federal regulations for the CDBG Program; the federa requirements are set forth. by reference, as a provision of this agreement. The Subrecipient shall carry out all activities in compliance with all Federal laws ana regulations as described in Subpart K, such as labor standards (Davis Bacon Act), fair housing requirements of the CDBG Program Regulations, except that: a. The Subrecipient will not assume the City's environmental responsibilities as described in Section 570.604; and The Subrecipient will not assume the City's responsibility for initiating the revieu process required under the provisions of Executive Order 12372 described at 570.612 of the Code of Federal Regulations. b. The provisions of Subpart K, of the CDBG Program Regulations, are set forth, by reference, a3 a condition of this agreement. The Subrecipient shall comply with all federal regulations related to the use of CDBG funds by religious organizations, if applicable to this agreement and the approved project outlined herein. CHANGES IN USE OF FUNDS Changes in the use of CDBG funds must be approved by the City Council. If the Subrecipient desires a change in the use of the CDBG funds following approval of this agreement, a written request must be submitted to the City for review by the Council. No change in use of the CDBG funds will be permitted by the City without prior formal approval by the Council. 7. 8. NONDISCRIMINATION CLAUSE The Subrecipient shall coinply with all state and federal laws regarding nondiscrimination in the provision of services and the equal opportunity employrnent of personnel. 4 0 0 9. SUSPENSION AND TERMINATION OF AGREEMENT In accordance with Section 24, Parts 85.43 and 85.44 of the Code of Federal Regulations, th agreement may be suspended or terminated if the Subrecipient fails to comply with any term(! of the award and/or the award is terminated for convenience. Section 24, Parts 85.43 an 85.44 of the Code of Federal Regulations are set forth, by reference, as provisions of th agreement. 10. REVERSION OF ASSETS Upon expiration of the agreement, the Subrecipient shall transfer to the City any CDBG func. on hand at the time of expiration and any accounts receivable attributable to the use of CDB( funds. The Subrecipient shall be required to use any real property under the Subrecipient' control that was acquired or improved in whole or in part with CDBG funds in excess c $25,000 to either be: a> Used to meet one of the national objectives in 24 CFR Section 570.208 of the feder; regulations until five (5) years after expiration of the agreement; or, Disposed of in a manner that results in the City being reimbursed in the amount of th current fair market value of the property less any portion of the value attributable t expenditures of non-CDBG funds for acquisition, or improvement to, the property. Reimbursement is not required after the period of time specified in paragraph (a) of th section. b) 11. HOLD HARMLESS AGREEMENT The City, its officers, and employees shall not be liable for any claims, liabilities, penalties fines, or any damage to goods, properties, or effects of any person whatsoever, nor fo personal injuries or death caused by, or claimed to have been caused by, or resulting from, an, intentional or negligent acts, errors or omission of Subrecipient or Subrecipient's agents employees, or representatives in completion of the project outlined in this agreement. Subrecipient agrees to defend, indemnify, and save free and harmless the City and its officer and employees against any of the foregoing liabilities or claims of any kind and any cost/an expense that is incurred by the City on account of any of the foregoing liabilities, includin liabilities or claims by reason of alleged defects in any plans and specifications for the projec or facility. 12. ASSIGNMENT OF AGREEMENT The Subrecipient shall not assign this agreement or any monies due thereunder without thc prior written consent of the City. 13. SUCCESSORS OR ASSIGNS Subject to the provisions of this Subrecipient Agreement Paragraph 11, "Hold Harmles Agreement," all terms. conditions, and provisions hereof shall insure to and shall bind each o the parties hereto, and each of their respective heirs, executors, administrators, successors, anc assigns 5 0 0 14, INSURANCE If the Subrecipient shall receive more than $5,000 from the City in CDBG funds and/or othe funds, the Subrecipient shall obtain and maintain policies of general liability insurance and combined policy of worker's compensation and employers liability insurance from an insuranc company authorized to do business in the State of California which meets the requirements c City Council Resolution No. 91-403 in an insurable amount of not less than one million dollar ($1,000,000) each, unless a lower amount is approved by the City Attorney or the Cit Manager. This insurance shall be in force during the term of this agreement and shall not be cancele without thirty (30) days prior written notice to the City sent by certified mail. The City shall be named as an additional insured on these policies. The Subrecipient shal furnish certificates of insurance to the City before commencement of work. IN WITNESS WHERJ3OF the parties hereto have caused this agreement to be executed as o the day and year first written above. CATHOLIC CHARITIES, a non-profit organization, /' / /' Sister Rayl'vlonda DuVall, Executive Director ipal corporation of the State of California ATTEST: ALETHA L. RAUTENKRANZ, CITY CLERK \ APPROVE AS TO FORM: RONALD R. BALL, c i*ri T%ORNEY 6 E e e AGREEMENT BETWEEN THE CITY OF CARLSBAD AND THE COMMUNITY RESOURCE CENTER FOR 1996-97 FEDERAL COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS THIS AGREEMENT, made and entered into as of this / rdt- day 0 OCA 1996, by and between the CITY OF CARLSBAD, a municipal corporation hereinafter referred to as "City", and COMMUNITY RESOURCE CENTER, a non-prof organization, hereinafter referred to as "Subrecipient". RECITALS WHXREAS, the City has applied for and received funds from the United States Governmen under Title I of the Housing and Community Development Act of 1974, Public Law 93-383 to fun( eligible activities which benefit persons of low and moderate income; WHEREAS, the City has the need to provide shelter or services to homeless or near homeles; persons/families which result in an improved situation through employment, permanent housing treatment of mental, or substance abuse problems, etc. ; WHEREAS, the City has the need to provide assistance to non-profit public service provider: who meet the basic needs related to food, shelter, clothing and, in some cases, health care of lowe income persons; WHEREAS, the City has the need to provide assistance to non-profit public service provider: who offer counseling and self-improvement programs/activities for lower income persons; WHEREAS, the Subrecipient can provide one or more of these basic services for low and moderate income households with some assistance from the City; and, WHEREAS, the City has determined that the Community Resource Center's Homeless Prevention Program is exempt from environmental review under 24 CFR Part 58, Section 58.34(a)(9); NOW, THEREFORE, in consideration of these recitals and the mutual covenants containec herein, City and Subrecipient agree as follows: 1. STATEMENT OF WORK The City has allocated federal 1996-1 997 Community Development Block Grant (CDBG: funds, in the amount of four thousand eight hundred and fifty dollars ($4,850) to the Homeles: Prevention Program offered at the Subrecipient's office located at 3 138 Roosevelt Street in Carlsbad, California. CDBG funds will be used for administrative costs associated with provision of social services and direct assistance in an effort to help low/moderate income persons maintain adequate housing. Every effort shall be made by the Subrecipient to expend the allocated funds in their entirety by June 30, 1997. If the Subrecipient will be unable to expend all of the funds allocated to the project by the noted date, the Subrecipient shall request an extension from the City for continued use of the funds on the approved project. Based on progress made by the Subrecipient towards completing the subject projeci, the City will either agree to grant the 1 0 extension or notify the Subrecipient that the funds must be reallocated to another eligiblf project due to slow project progress. 2. DISBURSEMENT OF FUNDS The City shall reimburse the Subrecipient with CDBG funds for administrative costs related tc the provision of services for eligible residents/citizens of Carlsbad for the period beginning Jul; 1, 1996 and ending June 30, 1997. Payment for eligible administrative expenses shall be madc in accordance to budget information to be submitted to the City and in accordance wit1 performance. The reimbursements for costs shall not exceed a total of $4,850. The Cit! shall not provide any paymentsireimbursements in advance of actual expenditures by thl Subrecipient. The Subrecipient shall submit a "Reimbursement Request" to the City to request payment fo program administration costs. Prior to receiving reimbursement, the City will verify that thl Subrecipient has administered the Homeless Prevention Program in compliance with a1 applicable Federal, state, and local rules and regulations governing these funds, and in 2 manner satisfactory to the City. Each request for reimbursement shall include documentation to verify expenditure of funds arc records, receipts, paid invoices including an itemized statement of all costs are samples 01 appropriate methods of reimbursement documentation. The Subrecipient may request reimbursements anytime after this agreement is approved by thc City Council and continue until the expiration date, or amended expiration date, of thi: agreement. consistent with the project descriptionidefinition as approved by the City Council. Payrol 3. PROGRAM INCOME The Subrecipient shall report, to the City, any interest, or other income, earned as a direc result of the use of federal CDBG funds for the program outlined within this agreement. AI reported program income may be retained by the Subrecipient for costs related to the subjec program activities. However, the program income, retained by the Subrecipient, must bc expended before additional funds are requested from the City. The requirements are set fort1 in the federal regulations Sections 570.504 (c) which are incorporated herein by reference. 4. LABOR, MATERIALS AND SUPPLIES: The Subrecipient shall furnish all labor, materials and services and bear all expenses necessary to provide the subject program as outlined in this agreement. Under this agreement, the City': only financial obligation to the Subrecipient is to provide the CDBG funds of $4,850 maximurr as allocated by the City Council for program year 1996-97. 5. RECORDS AND REPORTS The Subrecipient shall maintain all records required by the Federal regulations specified in 24 CFR part 570.506 that are pertinent to the activities to be funded under this Agreement. Sucl- records shall include but not be limited to. 2 e 0 a. Records providing a full description of each activity undertaken; b. Records demonstrating each activity undertaken meets on of the National Objectives o the CDBG program; C. Records required to determine the eligibility of activities; d. Records required to document the acquisition, improvement, use or disposition of rea property acquired or improved with CDBG assistance; e. Records documenting compliance with the fair housing and equal opportunit; components of the CDBG program; f. Documentation of all CDBG funds received from the City, eligible expenses incurrec for administration of each activity, and other financial records as required by 24 CFR Part 570.502, and OMB Circular A-1 10; and, Any other related records as the City shall require to demonstrate compliance witf applicable Federal, state, and local rules and regulations governing these funds. The Subrecipient shall submit quarterly "Progress Reports" during the program year beginninj quarter. The final progress report is due no later than July 15, 1997. The report must includc sufficient information to assist the City in monitoring the Subrecipient's performance. Thc Subrecipient must demonstrate satisfactory performance prior to reimbursement fo expenditures. At a minimum, the performance reports shall include the following information: a. b. C. Number of lowimoderate income Carlsbad persons/households participating in the d. e. The Subrecipient shall maintain client data demonstrating client eligibility for service: provided. Such data shall include at the minimum client name, address, ethnicity, income level or other basis for determining eligibility, and description of service provided. This data shall assist the Subrecipient in completing the required quarterly progress reports to be submitted to the City. The Subrecipient shall maintain separate accounting records for the federal CDBG funds provided by the City. The City, Federal Grantor Agency, Comptroller General of the United States, or any of their duly-authorized representatives shall have access to all books, documents, papers and records maintained by the Subrecipient which directly pertain to the above project for the purpose of audit, examination, excerpts and transcriptions. Unless otherwise notified by the City, the Subrecipient shall retain all financial records, supporting documents and statistical reports related to the project identified under this agreement for a period of three (3) years after the termination of all activities funded under this Agreement. All records subject to an audit finding must be retained for three (3) years from the date the finding is made or until the finding has been cleared by appropriate officials and the Subrecipient has been given official written notice. g. July I, 1996 and ending June 30, 1997 within fifteen (15) calendar days of the end of eacl Total number of persons/households participating in the program during reported period; Total number of participants from Carlsbad; program during the reporting period; Age and ethnic background of Carlsbad participants; Summary of program(s) provided to Carlsbad participants; and 3 0 e If the Subrecipient shall receive more than $25,000 in total federal funds in one fiscal yea from the City of Carlsbad and/or any other city or agency, the Subrecipient is required tc submit a Single Audit Report. As required by the Federal Single Audit Act, the Subrecipien shall be required to submit, to the City, a comprehensive financial audit prepared by ai independent, neutral third-party auditor. The audit shall cover financial operations of thl Subrecipient for the period beginning July 1, 1996 and ending June 30, 1997 and is due no later than one year after expiration of the agreement. The Subrecipient shall also be required tc submit a second audit for the period covered under fiscal year beginning July 1, 1997 anc ending June 30, 1998 for any funds received in fiscal year 1997-98 per this Agreement. 6. PROGRAM REQUIREMENTS The Subrecipient agrees to comply with the requirements of Title 24 of the Code of Federa Regulations, Part 570 (the Housing and Urban Development regulations concernin1 Community Development Block Grants). The Subrecipient also agrees to adhere to the term: of the City's CDBG Application and Subrecipient Agreement and with assurances an( agreements made, by the City, to the United States Department of Housing and Urbai Development. The Subrecipient shall comply with applicable Uniform Administrative Requirements a described in Section 570.502 of the federal regulations for the CDBG Program; the federa requirements are set forth, by reference, as a provision of this agreement. The Subrecipient shall carry out all activities in compliance with all Federal laws an( regulations as described in Subpart K, such as labor standards (Davis Racon Act). fair housin! requirements of the CDBG Program Regulations, except that: a. The Subrecipient will not assume the City's environmental responsibilities as describec in Section 570.604; and The Subrecipient will not assume the City's responsibility for initiating the revien process required under the provisions of Executive Order 12372 described at 570.61; of the Code of Federal Regulations. b. The provisions of Subpart K, of the CDBG Program Regulations, are set forth, by reference, a: a condition of this agreement. The Subrecipient shall comply with all federal regulations related to the use of CDBG funds bj religious organizations, if applicable to this agreement and the approved project outlinec herein. CHANGES IN USE OF FUNDS Changes in the use of CDBG funds must be approved by the City Council. If the Subrecipient desires a change in the use of the CDBG funds following approval of this agreement, a written request must be submitted to the City for review by the Council. No change in use of the CDBG funds will be permitted by the City without prior formal approval by the Council. 7. 4 0 0 8, NONDISCRIMINATION CLAUSE The Subrecipient shall comply with all state and federal laws regarding nondiscrimination in thr provision of services and the equal opportunity employment of personnel. SUSPENSION AND TERMINATION OF AGREEMENT In accordance with Section 24, Parts 85.43 and 85.44 of the Code of Federal Regulations, thi agreement may be suspended or terminated if the Subrecipient fails to comply with any term(s of the award and/or the award is terminated for convenience. Section 24, Parts 85.43 an( 85.44 of the Code of Federal Regulations are set forth, by reference, as provisions of thi: agreement. 9. 10. REVERSION OF ASSETS lJpon expiration of the agreement, the Subrecipient shall transfer to the City any CDBG fund, 011 hand at the time of expiration and any accounts receivable attributable to the use of CDBC funds. The Subrecipient shall be required to use any real property under the Subrecipient', control that was acquired or improved in whole or in part with CDBG funds in excess o $25,000 to either be: a> Used to meet one of the national objectives in 24 CFR Section 570.208 of the federa: regulations until five (5) years after expiration of the agreement; or, Disposed of in a manner that results in the City being reimbursed in the amount of tht current fair market value of the property less any portion of the value attributable tc expenditures of non-CDBG funds for acquisition, or improvement to, the property. Reimbursement is not required after the period of time specified in paragraph (a) of thi: section. b) 11. HOLD HARMLESS AGREEMENT The City, its officers, and employees shall not be liable for any claims, liabilities. penalties, fines, or any damage to goods, properties, or effects of any person whatsoever, nor for personal injuries or death caused by, or claimed to have been caused by, or resulting from, any intentional or negligent acts, errors or omission of Subrecipient or Subrecipient's agents, employees, or representatives in completion of the project outlined in this agreement. Subrecipient agrees to defend, indemnify, and save free and harmless the City and its officers and employees against any of the foregoing liabilities or claims of any kind and any cost/and expense that is incurred by the City on account of any of the foregoing liabilities, including liabilities or claims by reason of alleged defects in any plans and specifications for the project or facility. 12. ASSIGNMENT OF AGREEMENT The Subrecipient shall not assign this agreement or any monies due thereunder without the prior written consent of the City. 5 3 0 e 9 13. SUCCESSORS OR ASSIGNS Subject to the provisions of this Subrecipient Agreement Paragraph 11, "Hold Harmless the parties hereto, and each of their respective heirs, executors, administrators, successors, and assigns. 14. INSURANCE Agreement," all terms, conditions, and provisions hereof shall insure to and shall bind each 01 If the Subrecipient shall receive more than $5,000 from the City in CDBG funds and/or other hnds, the Subrecipient shall obtain and maintain policies of general liability insurance and a combined policy of worker's compensation and employers liability insurance from an insurance company authorized to do business in the State of California which meets the requirements of City Council Resolution No. 91-403 in an insurable amount of not less than one million dollars ($1,000,000) each, unless a lower amount is approved by the City Attorney or the City Manager. This insurance shall be in force during the term of this agreement and shall not be canceled without thirty (30) days prior written notice to the City sent by certified mail. The City shall be named as an additional insured on these policies. The Subrecipient shall furnish certificates of insurance to the City before commencement of work. IN WITNESS WHEREOF the parties hereto have caused this agreement to be executed as of the day and year first written above. COMMUNITY RESOURCE CENTER, a non-profit organization I corporation of the State of California ATTEST: u\ - ALETNA L. RAUTENKRA APPROVED AS TO FORM: & YL cL,,qL&] > RO~ALD R. BALL, fi 6