HomeMy WebLinkAboutC2009-551 - 10/27/2009 - ApprovedAmerican Recovery and Reinvestment Act of 2009 (Recovery Act)
Community Development Block Grant Recovery
(CDBG-R)
SUBRECIPIENT AGREEMENT
BETWEEN
,~„ City of Corpus Christi
and
Coastal Bend Center for Independent Living
FOR
Seventh Street Building Improvements
CBCIL
This agreement ("Agreement") is entered into by and between the City of Corpus Christi, Texas
("City"), and the Coastal Bend Center for Independent Living, a Texas nonprofit corporation
("Subrecipient").
WHEREAS, the City has applied for and anticipates receiving funds from the United States
Department of Housing and Urban Development ("HUD") from the Community Development Block Grant
Recovery funding ("CDBG-R") under Title XII of the American Recovery and Reinvestment Act of 2009
[Public Law 111-5; 123 Stat. 115 (Feb. 17, 2009)] (hereinafter referred to as the "Recovery Act") to
provide one-time grant funding to Subrecipients for qualified projects and project activities;
WHEREAS, the Subrecipient has applied to the City for CDBG-R funding for a project, which
project has been approved for funding by the City Council; and
WHEREAS, the City and Subrecipient desire to enter into this funding Agreement for CDBG-R
funded projects and activities.
NOW, THEREFORE, it is agreed between the parties to this Agreement that the following
provisions govern the planned CDBG-R project:
I. SCOPE OF SERVICE
A. Projects and Activities
Subrecipient has requested CDBG-R funds to construct building improvements on its facilities on Seventh
Street in Corpus Christi, Texas, on property owned by Subrecipient ("Project"). Such Project will also
include full compliance with achieving relevant regulatory objectives and criteria specified under the
Recovery Act. A copy of the budget and construction schedule for the Project is attached as Exhibit "A,"
the contents of which are incorporated by reference into this Agreement as if set out in their entirety in
this document.
B. General
1. The Project services and goods provided under this Agreement are to be funded in whole or in
part with funds awarded to the City as a prime recipient of funding under the Recovery Act. The
2009-551 'ery contractor and subcontractor working at Subrecipient's direction under
Res. 028375 'rred to collectively herein as "Contractor" or "Contractors") agrees that it will
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comply with all Recovery Act requirements applicable to this Agreement. The Subrecipient
agrees that it will provide all information and documentation required by the City and HUD in
order to comply with the Recovery Act requirements.
2. The Recovery Act requires the City to make quarterly reports to HUD and other agencies of the
federal government documenting the expenditure and use of the Recovery Act funds awarded for
the work performed under this Agreement. Subrecipient agrees to cooperate fully with the City by
providing the information required by the federal government as a condition of the award of
Recovery Act funds for the work performed under this Agreement. This reporting requirement is
mandatory upon Subrecipient and any Contractors and must be accomplished within the
specified time frames. Failure by the Subrecipient to meet these time frames or to provide
complete and accurate information cannot be tolerated and may subject this Agreement to
suspension or termination.
3. The Subrecipient shall record, maintain, and provide the Recovery Act information in such format
as may be required by the City and HUD. The Subrecipient shall further assist the City in
satisfying other requirements of the Recovery Act including, but not limited to, providing complete
cooperation in the performance of financial and performance audits as may be necessary to track
the use of Recovery Act funds.
4. Failure on the part of the Subrecipient to record, maintain, and provide information regarding the
use of Recovery Act funds in the Project and work performed under this Agreement, or to provide
such other assistance as may be needed to comply with federal requirements, will constitute a
breach of this Agreement and may be enforced by (a) the withholding of payments otherwise due
under the terms of this Agreement, (b) action for specific performance, (c) termination of this
Agreement by City, (d) potential disqualification from future HUD funded projects for a defined
period of time, and (e) any other remedy provided by law or by the terms of this Agreement.
a. The City shall provide:
Overall policy guidance on matters pertaining to this Agreement.
2. Review and approve all CDBG-R staff positions requested by Subrecipient to
ensure program compliance.
Evaluation and monitoring of reports completed by Subrecipient in order to
recommend changes for improvement or clarity.
Monitoring of CDBG-R related projects and activities to assure compliance with
all local, State, and federal laws and regulations in order to provide legal
assurances to HUD.
5. Notification to Subrecipient in writing of any noncompliance, stating clearly the
nature of the noncompliance, the corrective action required, the time allowed for
corrective action, and the sanctions to be imposed in case of failure.
6. An accounting system to control the drawdown, receipt, and disbursement of
CDBG-R funds.
7. Submission to Subrecipient in a timely fashion requests for necessary
documents, information, and statistics required by the City in order to carry out
the terms of this Agreement.
Notification to Subrecipient of schedules, timelines, etc., for submission of all
required Recovery Act documents to the City.
The City's Community Development Division will do the following: (a) serve as
the local administrator for HUD's Integrated Disbursement & Information System
(IDIS) and will process all requests to HUD from Subrecipient; (b) the City's
2009-2010 CDBG-R Agreement Page 2 of 21
Finance Department will process all CDBG-R reimbursement requests from
Subrecipient for drawdown via IDIS; (c) the Community Development Division will
be responsible for activity setup and quarterly activity accomplishment data input
in IDIS for CDBG-R projects.
b. The Subrecipient shall:
1. Register with Dun & Bradstreet to obtain a DUNS number (See
http://fedgov.dnb.com/webform for reference) and provide the unique DUNS
number prior to award. A DUNS number is a unique 9 (nine) digit number which
is a requirement for federal agreements and grants.
2. Register on the Central Contractor Registration (CCR) at
http://www.ccr.gov/startregistration.aspx.
3. Not be debarred or suspended from working on federally assisted projects. (See
https://www.epls.gov for reference.).
4. Have an office located in the City of Corpus Christi.
5. Coordinate information gathering with the City to assist in the preparation of
quarterly submissions to HUD.
6. Provide to the City, as requested, a copy of plans, studies, contracts, and other
documents related to funding of this Agreement.
7. Provide to the City status reports, as requested by the local administrator, of
Subrecipient and its Contractors performing under this Agreement.
8. Maintain a monthly program reporting system for local use and for preparation in
filing the Consolidated Annual Performance and Evaluation Report (CAPER) and
maintain other records as specified in 24 CFR Part 570, Section 570.506.
9. Make available all reports, maps, records, surveys, and other data relating to the
work tasks, Project, and Project-related activities specified under this Agreement
to the City upon request.
10. Prepare and administer labor compliance and equal opportunity reports of
Subrecipient and its Contractors.
11. Prepare a detailed schedule outlining the Project work to be completed during
the current program year. This schedule must be consistent with approved
Project budgeted activities and approved by the City in advance.
12. Permit the City Manager, the Secretary of HUD, and the Comptroller General of
the United States, or their respective duly authorized representatives, to audit,
inspect, examine, and make excerpts from all of its books, accounts, records,
files, and other papers relating to the Project and activities listed in the Scope of
Services in this Agreement and to inspect all work being undertaken in
connection therewith. Subrecipient agrees that it will cause to be conducted its
own annual audit of records and accounts relating to the Project and activities
undertaken hereby, all in accordance with OMB Circular A-133 or relevant
circular issued. Subrecipient's independent audit report shall be submitted to the
City within thirty (30) days of receipt by Subrecipient and will be made a part of
the City's overall audit file of CDBG-R program activities.
2009-2010 CDBG-R Agreement Page 3 of 21
13. Maintain financial records (monthly source documentation to support
reimbursement requests) and provide for processing of payments to others for
Project activities administered by Subrecipient.
14. Coordinate information gathering with appropriate City departments and divisions
to assist in the preparation and administration of the City's Consolidated Annual
Action Plan (CARP).
15. Coordinate with applicable City departments and divisions in the preparation of
the City's annual CARP, Strategic Action Plan, and the CAPER.
C. NationalObiectives
All Project activities funded with Recovery Act funds must meet one of the HUD's National
Objectives: benefit low- and moderate-income persons; aid in the prevention or elimination of
slums or blight; or meet community development needs having a particular urgency, as defined in
24 CFR 570.208.
2. The Subrecipient certifies, by execution of this Agreement and acceptance of grant funding, that
the Project and all Project activities carried out under this Agreement will meet one or more of the
federal government's National Objectives.
D. Levels of Accomplishment -Goals and Performance Measures
The Subrecipient agrees to provide the following levels of Project services:
1) Complete building improvements to the facilities on Seventh Street in Corpus Christi,
Texas, on property owned by Subrecipient, as specified on Exhibit "A."
The completion of these building improvements at the facilities will ensure that sufficient
space is available and that there are no interruptions to the provision of essential services
to Subrecipient's clients as they access necessary services at the facility. In addition, the
installed improvements will contribute to a fundamental and enhanced quality of life and
provide a safe environment for Subrecipient's clients. Any rehabilitation or construction
Project work contracted using CDBG-R funds will put crews back to work, generate sales for
material suppliers and sales tax revenue for the City, and provide essential services.
American goods and supplies will be used.
All work will be performed by licensed and bonded Contractors.
E. Staffing
Any changes in key personnel assigned by Subrecipient or their general responsibilities under this Project
are subject to the prior approval of the City.
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F. Performance Monitoring
1. The City will monitor the performance of the Subrecipient against goals and performance
standards as stated above. Substandard performance as determined by the City will constitute
noncompliance with this Agreement. If action to correct such substandard performance is not
taken by the Subrecipient within a reasonable period after being notified by the City, Agreement
suspension or termination procedures will be initiated.
2. The expenditures specified below (in "Budget') will be monitored by the City to ensure that:
a. No more than 10 percent of the total grant amount is spent on administration and
planning;
b. No more than 15 percent of the total grant amount is spent on public services; and
c. At least 70 percent of the total grant amount will benefit persons of low and moderate
income.
G. Term of Agreement
This Agreement between the parties commences on the date of final execution and ends on January 31,
2011.
I1. BUDGET
Descri tion Amount
Grant - CBCIL Seventh Street Im rovements $25,378
This funding will be used to complete facility improvements to the
Subrecipient's building on Seventh Street.
TOTAL CDBG-R BUDGET $25,378
II1. PAYMENT
It is expressly agreed and understood that the total grant amount to be paid by the City under this
Agreement shall not exceed $25,378. Draw downs by the Subrecipient for the payment of eligible
expenses must be made against the line item budgets specified in Section II of this Agreement, as shown
in Exhibit "A," and in accordance with all required performances and obligations under this Agreement.
IV. NOTICES
1. Notices required under this Agreement must be in writing and delivered via First Class mail
(certified, return receipt requested, postage prepaid), commercial courier, personal delivery, or
sent by facsimile or other electronic means. Any notice sent or delivered as previously stated is
effective on the third day following the date of mailing, delivery, or transmission, respective of the
method utilized.
2. All notices and other written communications under this Agreement must be addressed to the
individuals in the capacities indicated below, unless otherwise modified. by subsequent written
notice.
2009-2010 CDBG-R Agreement Page 5 of 21
3. Other communications and details concerning this Agreement must be directed to the following
contract representatives:
f • •
Daniel Galle os, CD Pro ram Administrator f. i` i i i`i` •` i
Ms. Jud Tel e, Executive Director
1201 Leopard Street
Cor us Christi, TX 78401 1537 Seventh Street
Cor us Christi, TX 78404
Phone: 361 826-3017 Phone: 361 883-8461
Fax: 361 844-1740 Fax: 361 883-4820
Email: daniel cctexas.com Email:
With a co to: ~ a co to'
Eddie Orte a, Director N ,Board Chair erson
Nei hborhood Services De t. Coastal Bend Center for Inde endent Livin
P. O. Box 9277
Cor us Christi, TX 78469-9277
Cor us Christi, TX
Phone: 361 826-3044 Phone: 361 - ~
Fax: 361 826-3011 Fax: 361 P
Email: eddieo cctexas.com Email:
V. GENERAL CONDITIONS
A. General Compliance
For purposes of this Agreement, the requirements set forth in the Notice of Allocations,
Applications, Application Procedures, and Requirements for CDBG-R under the Recovery Act
(the "Notice"), the requirements set forth under the CDBG-R Fund heading of Division A, Title XII
of the Recovery Act, and the submissions pursuant to the Notice are incorporated into this
Agreement by reference as if set out in their entirety in this document. Additionally, a copy of
HUD's "Job Counting Guidance" document is attached to this Agreement as Exhibit "B," the
contents of which are incorporated into this Agreement as if set out in their entirety in this
instrument. The Subrecipient agrees to comply with the provisions of all of the foregoing.
The Subrecipient also agrees to comply with all other applicable federal, State and local laws,
regulations, rules, and policies governing the funds provided under this Agreement. The
Subrecipient further agrees to utilize funds available under this Agreement to supplement rather
than supplant funds otherwise available to Subrecipient.
B. "Independent Contractor"
Nothing contained in this Agreement is intended to, or shall be construed in any manner, as creating or
establishing the relationship of employer/employee between the parties. The Subrecipient shall, at all
times, remain an "independent contractor" with respect to the services to be performed under this
Agreement. The City shall be exempt from payment of all unemployment compensation, FICA, retirement,
life and medical insurance, and Workers' Compensation Insurance, as the Subrecipient is an independent
contractor.
C. Subcontractor Flow-Down Requirements
Subrecipient agrees that it shall include these supplemental terms and conditions, including this
requirement, in any of its contracts and subcontracts in connection with the Project and Project activities
funded in whole or in part with funds made available under the Recovery Act.
2009-2010 CDBG-R Agreement Page 6 of 21
D. Hold Harmless
1. The Subrecipient covenants and agrees that it will indemnify and hold City
harmless of, from, and against all claims, demands, actions, damages, losses,
costs, liabilities, expenses, and judgments recovered from or asserted against
the City on account of injury or damage to persons or property (including,
without limitation on the foregoing, workers' compensation, death, and
premises defects) to the extent any such damage or injury maybe incident to,
arise out of, or be caused, either proximately or remotely, wholly or in part, by
an act or omission, negligence, or misconduct on the part of the City, its officers,
employees, or agents ("Indemnitees"), acting pursuant to this Agreement and
with or without the express or implied invitation or permission of the Subre-
cipient, or on the part of the Subrecipient or any of its agents, servants, em-
ployees, contractors, patrons, guests, licensees, or invitees entering upon the
Facilities being improved or used pursuant to this Agreement, or when any such
injury or damage is the result, proximate or remote, wholly or in part, of the
violation by Indemnitees, the Subrecipient or any of its agents, servants, em-
ployees, contractors, patrons, guests, licensees, or invitees of any law, ordi-
nance, or governmental order of any kind, or when any such injury or damage
may in any other way arise from or out of the Improvements being constructed
at the Facilities or out of the use or occupancy of the Improvements to the
Facilities or the use of the Facilities itself by the Indemnitees, the Subrecipient,
or any of its agents, servants, employees, contractors, patrons, guests,
licensees, or invitees, and including, without limitation, any damages or costs
which may occur as a result of the design of the Improvements to the Facilities,
the bidding process, actual construction of the Improvements to the Facility,
administration of the construction contracts by the City or its designee, physical
failure of the Improvements to the Facilities prior to the completion and accep-
tance of the Improvements by the City, if applicable, and completion and ac-
ceptance by the Subrecipient, failure of the Improvements to the Facilities to
work as designed, failure of any contractor, subcontractor, or manufacturer to
honor its warranties, or failure of the Subrecipient to maintain the Improve-
ments to the Facilities or maintain the Facilities itself.
2. These terms of indemnification are effective upon the date of final execution of
this Agreement and whether or not such injury or damage may result from the
contributory negligence or concurrent negligence of Indemnitees, but not if such
damage or injury may result from the sole negligence or willful misconduct of
Indemnitees.
3. The Subrecipient covenants and agrees that, in case the City is made a party to
any litigation against the Subrecipient or in any litigation commenced by any
party other than the Subrecipient relating to this Agreement, the Subrecipient
2009-2010 CDBG-R Agreement Page 7 of 21
shall, upon receipt of notification and at its own expense, investigate all claims
and demands, attend to their settlement or other disposition, defend the City in
all actions based thereon with legal counsel satisfactory to the City Attorney,
and pay all charges of attorneys and all other costs and expenses of any kind
whatsoever arising from any said claims, demands, actions, damages, losses,
costs, liabilities, expenses, or judgments.
4. The provisions of this section survive the termination or expiration of this
Agreement.
E. Workers' Compensation
The Subrecipient shall provide Workers' Compensation insurance coverage for all of its employees
involved in the Project and in the performance of this Agreement.
F. Insurance and Bonding
The Subrecipient shall carry sufficient insurance coverage to protect Agreement assets from loss due to
theft, fraud, and undue physical damage and, at a minimum, shall purchase a blanket fidelity bond
covering all employees in an amount equal to cash advances from the City. The Subrecipient shall
comply with the bonding and insurance requirements of 24 CFR 84.31 and 84.48, Bonding and
Insurance.
G. City Recognition
The Subrecipient shall ensure recognition of the role of the City in providing Project services and funding
to Subrecipient through this Agreement. All activities, facilities, and items utilized pursuant to this
Agreement must be prominently labeled as to funding source. In addition, the Subrecipient must include
a reference to the support or funding provided herein in all publications made possible with grant funds
made available under this Agreement.
H. Amendments
The City or Subrecipient may amend this Agreement at any time provided that such amendments
make specific reference to this Agreement and are executed in writing, signed by a duly
authorized representative of each organization, and approved by the City Manager. Such
amendments shall not invalidate this Agreement nor relieve or release the City or Subrecipient
from its obligations under this Agreement.
2. The City may, in its discretion, amend this Agreement to conform with federal, State, or local
governmental laws, regulations, rules, policies, or guidelines and available funding amounts, or
for other reasons. If such amendments result in a change in the funding, the scope of services,
or significant deviations in the schedule of the Project activities to be undertaken as part of this
Agreement (deemed a "major" change), such modifications will be incorporated only by written
amendment authorized and signed by both the City and Subrecipient.
Suspension and Termination
In accordance with 24 CFR 85.43, 570.502, and 570.503, the City may suspend or terminate this
Agreement if the Subrecipient materially fails to comply with any terms of this Agreement, which
include, but are not limited to, the following:
2009-2010 CDBG-R Agreement Page 8 of 21
a. Failure to comply with any of the laws, regulations, rules, or provisions referred to in this
Agreement, or such statutes, regulations, ordinances, rules, executive orders, and HUD
guidelines, policies, or directives as may become applicable at any time;
b. Failure, for any reason, of the Subrecipient to fulfill in a timely and proper manner its
obligations under this Agreement;
c. Ineffective or improper use of funds provided under this Agreement; or
d. Submission by the Subrecipient to the City reports that are incorrect, incomplete, or
misrepresentative in any material respect.
In accordance with 24 CFR 85.44, this Agreement may also be terminated for convenience by
either the City or the Subrecipient, in whole or in part, by setting forth the reasons for such
termination, the effective date, and, in the case of partial termination, the portion to be terminated.
However, if in the case of a partial termination, the City determines that the remaining portion of
the funding award will not accomplish the purpose for which the award was made, the City may
terminate the award in its entirety. Subrecipient shall be reimbursed (in addition to the above
payment) for that portion of the actual out-of-pocket expenses (not otherwise reimbursed under
this Agreement) incurred by Subrecipient during the Agreement period which are directly
attributable to the uncompleted portion of the services covered by this Agreement.
J. Job Creation and Retention
The Subrecipient shall provide to the City an estimate of the number of new positions created and
filled, positions retained, or previously existing unfilled positions that are filled or retained as a
result of this Agreement. The estimated number must be expressed as full-time equivalent (FTE)
positions, calculated cumulatively as all hours worked divided by the total number of hours in a
full-time schedule. The Subrecipient shall update the information regarding jobs creation and
retention on a quarterly basis and shall provide each updated report to the City no later than five
(5) business days before the end of each calendar quarter.
2. The Subrecipient shall provide a brief description of the types of jobs created or jobs retained in
the United States and outlying areas. This description may rely on job titles, broader labor
categories, or the SubrecipienYs existing practice for describing jobs, provided, however, the
terms are widely understood and describe the general nature of the work.
K. Buy American
The Recovery Act prohibits use of Recovery Act funds for a project for the construction,
alteration, maintenance, or repair of a public building or public work unless all of the iron, steel,
and manufactured goods used in the project are produced in the United States.
2. The law requires that this prohibition be applied in a manner consistent with United States
obligations under international agreements, and it provides for waiver by the head of the federal
agency awarding the Recovery Act funds under three circumstances:
a. Iron, steel, or relevant manufactured goods are not produced in the United States in
sufficient and reasonably available quantities and of a satisfactory quality;
b. Inclusion of iron, steel, or manufactured goods produced in the United States will
increase the cost of the overall project by more than 25 percent; or
c. Applying the domestic preference would be inconsistent with the public interest.
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L. Conflict between Documents
In the event of a conflict between the terms of this Agreement, including its incorporated exhibits, and the
Recovery Act requirements, the provisions of the Recovery Act are controlling.
M. Revisions or Amendments to Recovery Act
Subrecipient acknowledges that the Recovery Act may require changes due to future revisions or
amendments of the Recovery Act and agrees that it shall comply with any such changes upon receipt of
written notification from the City of such changes. Such changes will become a material part of the
Agreement without the necessity of either party executing an amendment to this Agreement.
VI. ADMINISTRATIVE REQUIREMENTS
A. Financial Management
Federal Uniform Administration Requirements: Insofar as they are applicable to activities conducted
under this Agreement, Subrecipient agrees to comply with the requirements of the U.S. Office of
Management and Budget (OMB) Circular A-87, "Cost Principles for State and Local Governments," with
Revised Circular A-102, "Grants and Cooperative Agreements with State and Local Governments," and
with 24 CFR Part 85 (the "common rule"), "Administrative Requirements for Grants and Cooperative
Agreements to State, Local and Federally Recognized Indian Tribal Governments." Subrecipient shall
refer to Federal regulations 570.502, 570.10, 24 CFR Parts 84.20 and 85.20, and Treasury Circular 1075,
in addition to the following:
7. Accounting Standards
The Subrecipient agrees to comply with 24 CFR 84.21-28 and agrees to adhere to the
accounting principles and procedures required therein, utilize adequate internal controls, and
maintain necessary source documentation for all costs incurred.
2. Cost Principles
The Subrecipient shall administer its Project, Project activities, and program in conformance with
OMB Circulars A-122, "Cost Principles for Non-Profit Organizations," orA-21, "Cost Principles for
Educational Institutions," as applicable. These principles must be applied for all costs incurred
whether charged on a direct or indirect basis.
3. Auditing
a. The Subrecipient shall retain all books, records, and other documents to this Agreement
for five (5) years after final payment. The U.S. Comptroller General and his/her
representatives are vested with the authority to:
Examine any records of the Subrecipient or any of its Contractors, or any State
or local agency administering such Agreement, that directly pertain to, and
involve transactions relating to, the Agreement or any subcontract; and
Interview any officer or employee of the Subrecipient or any of its Contractors, or
of any State or local government agency administering the Agreement, regarding
such transactions.
Additionally, the Recovery Act provides authority for any representatives of an
appropriate U.S. Inspector General to examine any records or interview any employee or
officers of the Subrecipient or its Contractors working on, under, or through this
2009-2010 CDBG-R Agreement Page 10 of 21
Agreement. The Subrecipient is advised that any representatives of an appropriate
appointed Inspector General have the authority to examine any record and interview any
employee or officer of the Contractor, its subcontractors, or other firms working on this
Agreement. This right of examination shall also include inspection at all reasonable times
of the Subrecipient's or its Contractors' plans, or pants of them, engaged in performing
the Agreement. Any deficiencies noted in audit reports must be fully cleared by the
Subrecipient within thirty (30) days after receipt by the Subrecipient. The City shall
have, in addition to any other audit or inspection right in this Agreement, all the audit and
inspection rights contained in this section.
4. Close-outs
The Subrecipient's obligation to the City shall not end until all close-out requirements are
completed. Activities during this close-out period shall include, but are not limited to, the following:
making final payments, disposing of Project assets (including the return of all unused materials,
equipment, unspent cash advances, program income balances, and accounts receivable to the
City), and determining the custodianship of records. Notwithstanding the foregoing, the terms of
this Agreement shall remain in effect during any period that the Subrecipient has control over
Recovery Act funds.
B. Reportinct Procedures
State agencies and other prime recipients, such as the City, receiving Recovery Act funds must submit a
report to the Federal Government containing information on the use of Recovery Act funds no later than
ten (10) calendar days after the end of each calendar quarter. This reporting requirement may be
delegated to Subrecipients. Accordingly, Subrecipient agrees to provide the City with such information,
no later than five (5) calendar days after the end of each calendar quarter.
C. Procurement
1. Compliance
The Subrecipient shall comply with current City policies concerning the purchase of equipment
and shall maintain inventory records of all non-expendable personal property as defined by such
policy as may be procured with Project funds provided under this Agreement. All Project assets
(unexpended program income, property, equipment, etc.) shall revert to the City upon termination
of this Agreement. (Refer to 570.502, 24 CFR Parts 84.40-48 and 85.36).
2. OMB Standards
Unless specified otherwise within this Agreement, Subrecipient shall procure all materials,
property, or services in accordance with the requirements of 24 CFR 84.40-48.
VII. PERSONNEL & PARTICIPANT CONDITIONS
A. Civil Rights
1. Compliance
The Subrecipient agrees to comply with Title VI of the Civil Rights Act of 1964 as amended, Title
VIII of the Civil Rights Act of 1968 as amended, Section 104(b) and Section 109 of Title I of the
Housing and Community Development Act of 1974 as amended, Section 504 of the Rehabilitation
Act of 1973, the Americans with Disabilities Act of 1990, the Age Discrimination Act of 1975,
Executive Order 11063, and Executive Order 11246 as amended by Executive Orders 11375,
11478, 12107 and 12086.
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2. Nondiscrimination
The Subrecipient agrees to comply with the non-discrimination in employment and contracting
opportunities laws, regulations, and executive orders referenced in 24 CFR 570.607, 570.601,
570.602, as revised by Executive Order 13279. The applicable non-discrimination provisions in
Section 109 of the HCDA are still applicable.
B. Land Covenants
This Agreement is subject to the requirements of Title VI of the Civil Rights Act of 1964 (P. L. 88-352) and
24 CFR 570.601 and 570.602. In regard to the sale, lease, or other transfer of land acquired, cleared or
improved with assistance provided under this Agreement, the Subrecipient shall cause or require a
covenant running with the land to be inserted in the deed or lease for such transfer, prohibiting
discrimination as herein defined, in the sale, lease or rental, or in the use or occupancy of such land, or in
any improvements erected or to be erected thereon, providing that the City and the United States are
beneficiaries of and entitled to enforce such covenants. The Subrecipient, in undertaking its obligation to
carry out the Project assisted under this Agreement, agrees to take such measures as are necessary to
enforce such covenant and will not itself so discriminate.
C. Architectural Barriers Act of 1968
The Architectural Barriers Act of 1968 U.S.C. 4151 is applicable to this Agreement and requires that the
design of any facility constructed with funds from this title comply with the "American Standard
Specifications for Making Buildings and Facilities Accessible to and Usable by the Physically
Handicapped," Number A-117.1-19, as modified (42 CFR 101-17.703). It will require that the design of
any building constructed or rehabilitated with funds paid to Subrecipient by the City under this Agreement
will comply with the "American Standard Specifications for Making Buildings and Facilities Accessible to
and Useable by the Physically Handicapped."
D. Section 504
The Subrecipient agrees to comply with all Federal regulations issued pursuant to compliance with
Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794), which prohibits discrimination against the
individuals with disabilities or handicaps in any Federally assisted program. The City shall endeavor to
provide the Subrecipient with any guidelines necessary for compliance with that portion of the regulations
in force during the term of this Agreement; however, failure to provide any relevant guidelines does not
relieve the Subrecipient of required compliance.
E. Affirmative Action
1. Approved Plan
The Subrecipient agrees that it shall be committed to carry out, pursuant to the City's specifica-
tions, an Affirmative Action Program in keeping with the principles as provided in President's
Executive Order 11246 of September 24, 1966. The City shall endeavor to provide Affirmative
Action guidelines to the Subrecipient to assist in the formulation of such program.
2. Women and Minority-Owned Businesses (W/MBE)
Subrecipient will use its best efforts to afford small businesses, minority business enterprises, and
women's business enterprises the maximum practicable opportunity to participate in the
performance of this Agreement. As used in this Agreement, the terms "small business" means a
business that meets the criteria set forth in section 3(a) of the Small Business Act, as amended
(15 U.S.C. 632), and "minority and women's business enterprise" means a business at least fifty-
one (51) percent owned and controlled by minority group members or women. For the purpose of
this definition, "minority group members" are Afro-Americans, Spanish-speaking, Spanish
2009-2010 CDBG-R Agreement Page 12 of 21
surnamed or Spanish-heritage Americans, Asian-Americans, and American Indians. The
Subrecipient may rely on written representations by businesses regarding their status as minority
and female business enterprises in lieu of an independent investigation.
3. Notibcations
Subrecipient will send to each labor union or representative of workers with which it has a
collective bargaining agreement or other contract or understanding, a notice, to be provided by
the Subrecipient's contracting officer with the approval of the City's local administrator, advising
the labor union or worker's representative of the Subrecipient's commitments under this
Agreement and shall post copies of the notice in conspicuous places available to employees and
applicants for employment.
4. Equal Employment Opportunity and Affirmative Action (EEO/AA) Statement
Subrecipient shall, in all solicitations or advertisements for employees placed by or on behalf of
the Subrecipient, state that it is an Equal Opportunity or Affirmative Action employer. (Refer to 24
CFR 570.601-602, 24 CFR 570.607, 41 CFR 60, Executive Orders 11246, 12086, 12 U. S. C.
1701. Additionally, public notices and job vacancies should be published in minority publications
whenever possible.
5. Subcontract Provisions
Subrecipient shall include the provisions of Paragraphs VILA, "Civil Rights," and B, "Affirmative
Action," as shown in this Agreement, in every contract, subcontract, and purchase order,
specifically or by reference, so that such provisions will be binding upon each of its own
Contractors, subcontractors, and suppliers.
F. Employment Restrictions
1. Prohibited Activity
a. Subrecipient is prohibited from using funds provided under this Agreement and personnel
employed in the administration of the Project for political activities, inherently religious
activities, lobbying, political patronage, and nepotism activities.
No member, officer, or employee of the City or Subrecipient or their designees or agents,
including employees and officers of community and advisory agencies that assist City
and Subrecipient in developing the projects, who exercises any functions or responsibili-
ties with respect to the program during his/her tenure or for one (1) year thereafter, shall
have any interest, direct or indirect, in any contract or subcontract or the proceeds thereof
for work to be performed in connection with the program assisted under this grant.
Subrecipient agrees to incorporate or cause to be incorporated in all its agreements with
its designees or agents, and including the above described groups, and in all
agreements, contracts, and subcontracts for work to be performed in connection with the
Project or program assisted under the grant, including agreements with all subrecipients
as defined in 24 CFR 570.204, provisions similar to the above that prohibits all such
interests pursuant to the purposes of the U.S. Department of Housing and Urban
Development's conflict of interest provisions, as contained in 24 CFR 570.611, 24 CFR
Parts 84 and 85.
2. Labor Standards
a. The Recovery Act requires that all laborers and mechanics employed by Contractors and
subcontractors on projects funded directly by, or assisted in whole or in part by, and
through the federal government pursuant to the Recovery Act, shall be paid wages at
2009-2010 CDBG-R Agreement Page 13 of 21
rates not less than those prevailing on projects of a character similar in the locality as
determined by the Secretary of Labor in accordance with Subchapter IV of Chapter 31 of
Title 40, United States Code. Pursuant to Reorganization Plan No. 14 and the Copeland
Act, 40 U.S.C. 3145, the U.S. Department of Labor has issued regulations at 29 CFR
Parts 1, 3, and 5 to implement the Davis-Bacon and related Acts. Regulations in 29 CFR
5.5 instruct agencies concerning application of the standard Davis-Bacon contract
clauses set forth in that section. The standard Davis-Bacon contract clauses found in 29
CFR 5.5(a) are incorporated into this Agreement by reference and in any subcontracts
that that are in excess of $2,000 for construction, alteration, or repair (including painting
and decorating).
b. Inquiries concerning the application of Davis-Bacon requirements to a particular federally
assisted project should be directed to the Federal agency funding the project. The
Secretary of Labor retains final coverage authority under Reorganization Plan Number
14.
3. Salaries
a. The salaries paid under this Agreement shall be in accordance with the following
provision of OMB Circular A-87 and 24 CFR Part 92.207(a)(1), "Eligible Administrative
and Planning Costs."
General. Compensation for personal services includes all remuneration, paid currently or
accrued, for services rendered during the period of performance under the grant
agreement, including but not necessarily limited to wages, salaries, and supplementary
compensation and benefits (Section B.13). The costs of such compensation are
allowable to the extent that total compensation for individual employees: (1) is reasonable
for the service rendered, (2) follows an appointment made in accordance with State,
local, or Indian Tribal Government laws and rules and which meets Federal merit system
or other requirements, where applicable. Compensation for employees engaged in
federally assisted activities will be considered reasonable to the extent that it is consistent
with that paid for similar work in other activities of the State, local, or Indian Tribal
Government. In cases where the kinds of employees required for the federally assisted
activities are not found in the other activities of the State, local, or Tribal Government,
compensation will be considered reasonable to the extent that it is comparable to that
paid for similar work in the labor market in which the employing government competes for
the kind of employees involved. Compensation surveys providing data representative of
the labor market involved will be an acceptable basis for evaluating reasonableness.
c. The City may, at its discretion, complete a salary comparability study within the intent of
OMB Circular A-87, Paragraph 10(a).
The Subrecipient shall comply with the minimum wage and maximum hourly provisions of
the Fair Labor Standards Act, and applicable provisions of the Davis-Bacon Act and the
Contract Work Hours Standards Act.
4. "Section 3" Clause
a. Compliance. Compliance with the provisions of Section 3 of the HUD Act of 1968, as
amended, and as implemented by the regulations set forth in 24 CFR 135, and all
applicable rules and orders issued hereunder prior to the execution of this Agreement,
shall be a condition of the Federal financial assistance provided under this Agreement
and binding upon the City, the Subrecipient and any of the Subrecipient's Contractors
and subcontractors. Failure to fulfill these requirements shall subject the City, the
Subrecipient and any of Subrecipient's Contractors and subcontractors, their successors
and assigns, to those sanctions- specified by the Agreement through which Federal
2009-2010 CDBG-R Agreement Page 14 of 21
assistance is provided. The Subrecipient certifies and agrees that no contractual or other
disability exists that would prevent compliance with these requirements.
Subrecipient further agrees to comply with these "Section 3" requirements and to include
the following language in all subcontracts executed under this Agreement:
"The work to be performed under this agreement is a project assisted
under a program providing direct Federal financial assistance from HUD
and is subject to the requirements of Section 3 of the Housing and
Urban Development Act of 1968, as amended (12 U.S.C. 1701).
Section 3 requires that, to the greatest extent feasible, opportunities for
training and employment be given to low- and very low-income residents
of the project area, and that agreements for work in connection with the
project be awarded to business concerns that provide economic
opportunities for low- and very low-income persons residing in the
metropolitan area in which the project is located."
The Subrecipient further agrees to ensure that opportunities for training and employment
arising in connection with a housing rehabilitation (including reduction and abatement of
lead-based paint hazards), housing construction, or other public construction project are
given to low- and very low-income persons residing within the metropolitan area in which
the CDBG- R funded project is located; where feasible, priority should be given to low-
and very low-income persons within the service area of the project or the neighborhood in
which the project is located, and to low- and very low-income participants in other HUD
programs; and award contracts for work undertaken in connection with a housing
rehabilitation (including reduction and abatement of lead-based paint hazards), housing
construction, or other public construction project to business concerns that provide
economic opportunities for low- and very low-income persons residing within the
metropolitan area in which the CDBG-R funded project is located; where feasible, priority
should be given to business concerns that provide economic opportunities to low- and
very low-income residents within the service area or the neighborhood in which the
project is located, and to low- and very low-income participants in other HUD programs.
Subrecipient certifies and agrees that no contractual or other legal incapacity exists that
would prevent compliance with these requirements.
b. Notifications. Subrecipient agrees to 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 said labor organization or worker's representative
of its commitments under this Section 3 clause and shall post copies of the notice in
conspicuous places available to employees and applicants for employment or training.
c. Subcontracts. Subrecipient will include this Section 3 clause in every subcontract and
will take appropriate action pursuant to the subcontract upon a finding that the Contractor
or subcontractor is in violation of regulations. Subrecipient will not subcontract with any
entity where it has notice or knowledge that the latter has been found in violation of
regulations under 24 CFR Part 135 and will not let any subcontract unless the entity has
first provided it with a preliminary statement of ability to comply with the requirements of
these regulations.
G. Conduct
7. Assignability
Subrecipient shall not assign or transfer any interest in this Agreement without the prior written
consent of the City thereto; provided, however, that claims for money due or to become due to
the Subrecipient from the City under this Agreement may be assigned to a bank, trust company,
2009-2010 CDBG-R Agreement Page 15 of 21
or other financial institution without such approval. Notice of any such assignment or transfer shall
be furnished promptly to the City.
2. Subcontracts
a. Approvals. Subrecipient shall not enter into any subcontracts with any agency or
individual in the performance of this Agreement without the written consent of the City
prior to the execution of such agreement.
b. Monitoring. Subrecipient will monitor all subcontracted services on a regular basis to
assure Agreement compliance. Results of monitoring efforts shall be summarized in
written reports and supported with documented evidence of follow-up actions taken to
correct areas of noncompliance.
Content. Subrecipient shall cause all of the provisions of this Agreement in its entirety to
be included in and made a part of any subcontract executed in the performance of this
Agreement.
Selection Process. Subrecipient shall undertake to ensure that all subcontracts let in the
performance of this Agreement shall be awarded on a fair and open competition basis in
accordance with applicable procurement requirements. Executed copies of all
subcontracts shall be forwarded to the City along with documentation concerning the
selection process upon request.
e. Debarred or Suspended List Ineligible Contractors. Subrecipient shall utilize
http://www.epls.gov to access the excluded parties' list system and verify for themselves
that subject vendors are not debarred or suspended. It is recommended that a printout
from the above website documenting that the vendor is not on the excluded parties list be
placed in the vendor file at the time the contract is awarded or when annual expenditures
with the vendor reach the small purchase threshold. (Refer to 24 CFR 570.503 (b)(1).
3. Hatch Act
Subrecipient agrees that no funds provided, nor personnel employed under this Agreement, shall
be in any way or to any extent engaged in the conduct of political activities in violation of Chapter
15 of Title V of the United States Code.
4. Conflict of Interest
Subrecipient agrees to abide by the provisions of 24 CFR 84.42 and 570.611, which include, but
are not limited to, the following:
a. The Subrecipient shall maintain a written code or standards of conduct that shall govern
the performance of its officers, employees, or agents engaged in the award and
administration of agreements supported by Federal funds.
No employee, officer, or agent of the Subrecipient shall participate in the selection, or in
the award, or administration of, a contract supported by Federal funds if a conflict of
interest, real or apparent, would be involved.
c. No covered persons who exercise or have exercised any functions or responsibilities with
respect to the CDBG-R/Recovery Act-assisted activities, or who are in a position to
participate in adecision-making process or gain inside information with regard to such
activities, may obtain a financial interest in any contract, or have a financial interest in any
contract, subcontract, or agreement with respect to the CDBG-R/Recovery Act-assisted
2009-2010 CDBG-R Agreement Page 16 of 21
activity, or with respect to the proceeds from the CDBG-R/Recovery Act-assisted activity,
either for themselves or those with whom they have business or immediate family ties,
during their tenure or for a period of one (1) year thereafter. For purposes of this
paragraph, a "covered person" includes any person who is an employee, agent,
consultant, officer, or elected or appointed official of the City, the Subrecipient, or any
designated public agency.
5. Lobbying
The Subrecipient hereby certifies that:
a. No Federal appropriated funds have been paid or will be paid, by or on behalf of it, 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 an employee of a Member
of Congress in connection with the awarding of any Federal contract, the making of any
Federal grant, the making of any Federal loan, the entering into 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 an officer or employee of any agency, a
Member of Congress, an officer or employee of Congress, or an employee of a Member
of Congress in connection with this Federal contract, grant, loan, or cooperative
agreement, it will complete and submit Standard Form-LLL, "Disclosure Form to Report
Lobbying," in accordance with its instructions; and
c. Subrecipient shall require that the language of paragraph (d) of this certification be
included in the award documents for all subawards at all tiers (including subcontracts,
subgrants, and agreements under grants, loans, and cooperative agreements) and that
all Subrecipients shall certify and disclose accordingly.
d. Lobbying Certification. This certification is a material representation of fact upon which
reliance was placed when this transaction was made or entered into. Submission of this
certification is a prerequisite for making or entering into this transaction imposed by
Section 1352, Title 31 of the United States Code. Any person who fails to file the
required certification shall be subject to a civil penalty of not less than $10,000 and not
more than $100,000 for each such failure.
6. Copyright
If this Agreement results in any copyrightable material or inventions, the City and grantor Federal
agency reserves the right to royalty-free, non-exclusive and irrevocable license to reproduce,
publish or otherwise use and to authorize others to use, the work or materials for governmental
purposes.
7. Religious Activities
Subrecipient agrees that funds provided under this Agreement will not be utilized for inherently
religious activities prohibited by 24 CFR 570.200(j), such as worship, religious instruction,
proselytization or to construct, rehabilitate, maintain, or restore religious structures (including
those that may be historic properties) currently used for religious purposes. Recovery Act grant
funds also may not be used to construct, acquire, rehabilitate, maintain, or restore structures or
other real property owned by "pervasively sectarian" organizations. This requirement applies
whether or not the property is used for religious services or instructions or is used in any other
way for religious activities. Subject to applicable federal laws, the following provisions apply:
a. The public services provided are exclusively non-religious in nature and scope;
2009-2010 CDBG-R Agreement Page 17 of 21
There are no religious services, proselytizing, instruction, or any other religious
influences in connection with the public services; and
c. There is no religious discrimination in terms of employment or benefits under the public
services.
Recovery Act funds may be used only for the provision of public services and not for the
construction, rehabilitation, or restoration of any facility owned by the religious organization where
the services are to be provided. A narrow exception to this prohibition is that minor repairs may
be made where such repairs: (i) are directly related to the public services, (ii) are located in a
structure used exclusively for non-religious purposes, and (iii) constitute in dollar terms a minor
portion of the expenditure for the public service. Subrecipient shall confer with the local
administrator prior to committing funds to Projects to which this section may or does apply.
8. Drug Free Workplace
Subrecipient shall comply with the provisions to maintain DDrug-Free Workplace in accordance
with the Drug-Free Workplace Act of 1988 (P.L. 100-690, Title V, Subtitle D).
VIII. ENVIRONMENTAL CONDITIONS
A. Air and Water
Subrecipient agrees to comply with the following requirements insofar as they apply to the performance of
this Agreement:
Clean Air Act, 42 U.S.C., 7401, et seq.;
Federal Water Pollution Control Act, as amended, 33 U.S.C., 1251, et seq., as amended,
1318 relating to inspection, monitoring, entry, reports, and information, as well as other
requirements specified in said Section 114 and Section 308, and all regulations and
guidelines issued thereunder; and
c. Environmental Protection Agency (EPA) regulations pursuant to 40 CFR Part 50,
as amended.
B. Flood Disaster Protection
In accordance with the requirements of the Flood Disaster Protection Act of 1973 (42 U.S.C. 4001),
Subrecipient shall assure that, for activities located in an area identified by the Federal Emergency
Management Agency (FEMA) as having special flood hazards, flood insurance under the National Flood
Insurance Program is obtained and maintained as a condition of financial assistance for acquisition or
construction purposes (including rehabilitation).
C. Lead-Based Paint
Subrecipient agrees that any construction or rehabilitation of residential structures with assistance
provided under this Agreement shall be subject to HUD Lead-Based Paint Regulations at 24 CFR
570.608, and 24 CFR Part 35, Subpart B. Such regulations pertain to all CDBG-assisted housing and
require that all owners, prospective owners, and tenants of properties constructed prior to 1978 be
properly notified that such properties may include lead-based paint. Subrecipient shall ensure that such
notification point out the hazards ,of lead-based paint and explain the symptoms, treatment, and
precautions that should be taken when dealing with lead-based paint poisoning and the advisability and
availability of blood lead level screening for children under seven. The notice should also point out that if
lead-based paint is found on the property, abatement measures may be undertaken. The regulations
2009-2010 CDBG-R Agreement Page 18 of 21
further require that, depending on the amount of Federal funds applied to a property, paint testing, risk
assessment, treatment, and/or abatement may be conducted.
D. Historic Preservation
Subrecipient agrees to comply with the Historic Preservation requirements set forth in the National
Historic Preservation Act of 1966, as amended (16 U.S.C. 470) and the procedures set forth in 36 CFR
Part 800, Advisory Council on Historic Preservation Procedures for Protection of Historic Properties,
insofar as they apply to the performance of this Agreement. In general, this requires concurrence from
the State Historic Preservation Officer for all rehabilitation and demolition of historic properties that are
fifty years old or older or that are included on a Federal, State, or local historic property list.
IX. SANCTIC}NS
The U.S. Department of Housing and Urban Development may impose sanctions or other corrective
actions upon the City and Subrecipient for failure to carry out the Community Development/CDBG-R
Program in accordance with laws and regulations relating thereto. The City will, therefore, periodically
review the services provided under this Agreement to determine whether or not:
a. Subrecipient has carried out the services provided hereunder as described in the City's
Consolidated Annual Action Plan and Annual Strategic Plan;
b. Subrecipient has complied with the requirements of the Housing and Urban Development
legislation and other applicable laws and regulations;
c. Subrecipient has a continuing capacity to carry out those services covered under this
Agreement in a timely manner; and
d. Sanctions and other corrective or remedial actions as described in 24 CFR Section
570.910 are appropriate. When such corrective or remedial actions are appropriate and
such actions are not taken within the time and in a manner outlined in a "notification of
noncompliance", all or part of a requisition for payment of funds may be withheld pending
corrective action, contract renegotiation, suspension, or termination.
X. WAIVER
The City's failure to act with respect to a breach by the Subrecipient does not waive its right to act with
respect to subsequent or similar breaches. The failure of the City to exercise or enforce any right or
provision shall not constitute a waiver of such right or provision.
XI. PREAMBLE; SECTION HEADINGS AND SUBHEADINGS
The preamble (introductory portion) of this Agreement is incorporated into this document by reference.
The section headings and subheadings contained in this Agreement are included for convenience only
and shall not limit or otherwise affect the terms of this Agreement.
XII. ENTIRE AGREEMENT
This Agreement constitutes the entire agreement between the City and Subrecipient for the use of grant
funds received under this Agreement, and it supersedes all prior or contemporaneous communications
2009-2010 CDBG-R Agreement Page 19 of 21
and proposals, whether electronic, oral, or written, between the City and Subrecipient with respect to this
Agreement.
(SIGNATURE PAGE FOLLOWS)
2009-2010 CDBG-R Agreement Page 20 of 21
IN WITNESS WHEREOF, the City of Corpus Christi and the Coastal Bend Center for Independent Living
caused their authorized representatives to execute this Agreement as follows:
ATTEST:
~-
Armando Chapa
City Secretar/y~j
Date: ~/ 12--1 ~~
CITY OF CORPUS CHRISTI
/_
'~gef R. Escobar
City Manager
Date: 3~! t ~ L V
Approved as to form only: / 2010
Elizab~,fh R. Hundley
Assistant City Attorney
for the City Attorney
SUBRECIPIENT: Coastal Bend Center for Independent Living
,/
P inted Name Title
Si n ture Date
ACKNOWLEDGMENT
STATE OF TEXAS §
§ KNOW ALL BY THESE PRESENTS:
COUNTY OF NUECES §
Th' instrument wa acknowledged before me on the day of~,~ , 2010,
by in his/her capacity as the ~~,/n ~ ~6~~0 .~ ~,.1(~,~n
of the Coas Bend Ce r for Independent Living, a Texas non-pr fit corporation, on behalf of
the corporation.
,; errs
>~~~~",. LAURISA LYNN BAKLIK
= Notary Public, State of Texas
~` :~,~ My Commission Expires
,~;; ,°o~ March 09, 2011
2009-2010 CDBG-R Agreement Page 21 of 21
Attachment
CBCIL SCOPE OF WORK
CBClL proposes to use CDBG-R funds for hard development costs associated
with infrastructure modernization to_ provide services to people with disabilities
who are low or moderate income.
CBCIL's physical property will be enhanced for usability and safety by consumers
and employees who are people with disabilities, and wil! preserve or create jobs
within the private sector to:
1. construct. fencing and install automatic operated gates for entry and exit to
the property;
2. repair and re-pave entry to the property parking lot;
f~~ ~--stipe the parking lot and front street entragce for accessible parking;
4. purchase and install storm gutters and humcane shutters on the building;
and
5. purchase and install an environmentally-friendly grounds irrigation system.
These projects are estimated to preserve or create eleven (11) jobs within the
construction-related industries, providing investment needed to increase
economic efficiency.
EXHIBIT
'Rft t.~'f 1,,.
HUD RECOVERY ACT ~ ~ ~ ~~~~~ ~`,
~~ JOB COUNTING CLARIFICATION ~ ~ ~~~ ,
AND EXAMPLES ~fi,~- ~~:
For detailed guidance on jobs reporting under Section 1512 of the American Reinvestment and Recovery Act
("Recovery Act") recipients should consult OMB Memorandum M-10-08, available at
http://www.Whitehouse.govlomb(assetslmemoranda 2010/m10-08.pdf. As a supplement to the OMB memoranda, HUD's
Job Counting Guidance summarizes several key aspects of the job counting process and includes example scenarios
relevant to HUD grantees.
Key Provisions of OMB's Job Counting Process
• Recipients must report on Full-Time Equivalents (FTEs), not the number of persons employed. In calculating
an FTE, the number of actual hours worked in Recovery Act-funded jobs is divided by the number of hours
representing a full work schedule for the kind of job being estimated. Thus, if a full-time work schedule for an
organization is 40 hours a week, the full schedule for a quarter would be 520 hours (40 hours/week x 13 weeks = 520
hours). If an employee worked 260 total hours during the quarter, that employee would account for 0.5 FTE's (260
hours worked / 520 hours in a full work schedule = 0.5 FTE's). The exact method for calculating FTE's is detailed in
OMB's memorandum, and is demonstrated in the examples below.
• FTE's should be reported for the reporting quarter only. This is a change from OMB's. prior guidance. In
previous guidance, recipients were required to sum all hours worked from the current and all prior quarters and divide
that total against a cumulative sum of all full-time hours from the current and prior reporting quarters. The new
guidance changes the job estimate calculation such that the recipient will now report job estimate totals by dividing
the hours worked in the reporting quarter (i.e., the most recent quarter) by the hours in a full-time schedule in that
quarter. Recipients will no longer be required to sum across multiple quarters of data as part of the formula
• Recipients must include only created or retained jobs that are funded by the Recovery Act award. This is also
a change from prior guidance. Previously, a subjective determination was required if a job existed due to the
Recovery Act funding. Now, recipients should simply include all jobs that are funded by the Recovery Act award and
exclude all other jobs. The OMB definitions are as follows:
o A job created is a new position created and filled, or an existing unfilled position that is filled, that is funded
by the Recovery Act.
o A job retained is an existing position that is now funded by the Recovery Act.
• A job is funded by the Recovery Act if Recovery Act funding will be used to reimburse the cast of the
position. A funded job is defined as one in which wages or salaries are either paid for or will be reimbursed with
Recovery Act funding. Thus, a job that is paid initially with non-Recovery Act dollars may be reported as created or
retained as long as such dollars eventually will be reimbursed with Recovery Act funds for the jobs being repor#ed.
• Jobs funded partially with Recovery Act funds must only be counted based on the proportion funded by the
Recovery Act. Thus, if a project receives 50% of its funds from the Recovery Act, employees funded by that project
should only be counted at a 50°lo rate in the FTE formula. Further details on this process are included in OMB's
guidance memo. The examples below also illustrate this process.
• Prime Recipients must provide reports on jobs created and retained by their funding recipients. Prime
recipients are required to generate estimates of job impact by directly collecting specific data from sub-recipients and
vendors on the total FTE resulting from asub-award. Though the prime recipient may delegate reporting
responsibility tosub-recipients, the prime recipient is ultimately responsible for the data provided.
• The final result of the FTE calculation for the quarter should be entered in the "Number of Jobs" field in
FederalReporting.gov.
~"
r
Job Counting Examples
Below is a Job Counting Examples from one HUD Recovery Act Program. Over the next few days, leading up to
January 1St, additional examples will be added.
Office of Healthy Homes and Lead Hazard Control -Job Count Calculation Example
The City's Lead Safe Program consists of a Project Director, Program Manager, Risk Assessor, Health Educator and a Contracting
firm.
Employee Job Title
- Funded by the
Recovery Act
(YesH!lo) Total Hours
Worked % Funded
by ARRA Hours
Funded by
ARRA FTE for Job Count
Reporting on
FederalReportinp:gcv
Pro ect Director No 520 0% 0 0.00
Program Manager Yes 520 75% 390 0.75
Risk Assessor Yes 375 100% 375 0.72
Health Educator Yes 520 50% 260 0.50
Contracting Firm Yes 840 100% 840 1.62
Total Hours Worked in Quarter 2775 1865
Total FTEs for the Quarter to be Reported Using FederalReporting.gov 3.59
The Lead Safe Program will report a total of 3.59 FTEs in the total "Number of Jobs" Created and Retained data field at
FederalReaortina.aov. The total number of Jobs Created or Retained for the quarter is based on the following calculations:
The City's Lead Program hires a new Program Manager to work on the Lead Hazard Control Program grant at 75% of the time
with funds awarded under the ARRA Lead-based Paint Hazard Control grant competition. (Note that only a position for which
wages or salaries are either paid for or will be reimbursed wifh Recovery Acf funding should be reported.) The remaining 25% of
the Program Manager's time is dedicated to coordinating CDBG Rehabilitation for the City. Using a standard work-week of 40
hours, the City reports quarterly as follows:
390 Recovery Act Hours Worked and Funded by Recovery Act Money .0.75 FTE
520 Hours in Full-time Quarter
The City will include 0.75 FTEs into the total "Number of Jobs" data field at FederalReoortinq aov.
The City Lead Program hires a contracting firm to remediate lead-based paint hazards through funding provided under ARRA.
The contracting firm works on a total of 7 lead hazard control jobs in the quarter, for a total of 280 hours (40 hours x 7 jabs) for
each employee on the site. The jobs are completed by one crew of three workers. The City reports 280 hours for each worker, or
840 total hours worked under ARRA funding during that quarter.
840 Recovery Act Hours Worked and Funded by Recovery Act Money .1.62 FTE
520 Hours in Full-time Quarter
The City will include 1.62 FTEs into the total "Number of Jobs" data field at FederalReoorting:aov.
~ ~~~
The City hires a Lead InspectorlRisk Assessor through a competitive bid process. This contract stipulates that the Lead Inspector
complete all inspections and risk assessments for the City's lead program. The total number of hours is estimated at 390 hours
per quarter, or 30 hours per week. The City reports only actual hours worked during the quarter. However, based on the actual
hours worked of 375 (e.g.for illustrative purposes) the City reports the following quarterly information:
375 Recovery Act Hours Worked and Funded by Recovery Act Money .0.72 FTE
520 Hours in Full-time Quarter
The City will include 0.72 FTEs into the total "Number of Jobs" data field at FederalReportinq,,gov.
The City hires a Health Educator to educate the public about lead poisoning risks to children in the community. The Health
Educator is funded by the lead program using ARRA funding for 20 hours per week, while the remaining time is dedicated to other
public health education programs not funded by ARRA. The City reports the following quarterly information:
260 Recovery Act Hours Worked and Funded by Recovery Act Money .0.50 FTE
520 Hours in Full-time Quarter
The City will include 0.50 FTEs into the total "Number of Jobs" data field at FederalReportinQ.gov.
Office of Native American Programs -Jab Count Calculation Example
The Tribally Designated Housing Entity has received a Recovery Ac# grant and is completing a major new construction and rehab
housing project with the funds. In order to complete the project, they have created several new positions and hired new
employees to fill these positions. All of these positions are funded at some level with ARRA grant funds. Some are fully funded
while others are only partially funded with the ARRA grant funds. Some of the created positions are full-time, some are part-time,
and some are through contractors that will be hired to complete the projec#. The new positions and the associated employment
scenarios are described as follows:
• Two new employees, Ms. Jessica String and Mr. John Stevens, have been hired full-time based on a 40 hour work week and
100% of their salary will be paid with ARRA funds. They have worked 520 hours in this reporting quarter (13 weeks X 40
hours). They count as 1.0 FTEs each for job calculation reporting.
• Mr. Andy Lawrence, Program Specialist, has been hired full-time at 40 hours per week but only 80% of his position will be
funded with the ARRA grant funds. His remaining time will be applied to non ARRA programs. He has worked 520 hours this
reporting quarter. He will count as .80 FTEs for job calculation reporting.
• Mr. Tim Johnson, Financial Analyst, has been hired at 40 hours per week but will only have 50% of his salary paid by ARRA
funds. The remaining time will be applied to non ARRA programs. He has worked 520 hours in this reporting quarter. He will
count as .50 FTEs for job calculation reporting.
• Mr. Lloyd Balance, Housing Director, has been hired full-time based on a 40 hour work week and 140% of his salary will be
paid with ARRA funds. However, he has only worked 400 hours in this reporting quarter (10 weeks X 40 hours). He will count
as .77 FTEs forjob calculation reporting.
• Mr. Tim Webel, Program Secretary, has been hired full-time based on a 40 hour work week and 100% of his salary will be
paid with ARRA funds. However, he has only worked 320 hours in this reporting quarter (8 weeks X 40 hours}. He will count
as .62 FTEs forjob calculation reporting.
• Mr. Wayne Rollins, Office Specialist, has been hired full-time based on a 40 hour work week and 100% of his salary will be
paid with ARRA funds. However, he has only worked 260 hours in this reporting quarter (32.5 days X 8 hours). He will count
as .50 FTEs for job calculation reporting.
• Mr. Elvis John, Receptionist, has been hired full-time based on a 40 hour work week but only 50% of his salary will be paid
with ARRA funds. The remaining time will be applied to non ARRA programs. He has only worked 260 hours in this reporting
quarter (32.5 days X 8 hours). He will count as .25 FTE for job calculation reporting.
• Mr. Durane Naillon, Electrician, has been hired full-time based on a 35 hour work week (which is the local standard for this
position) and 100% of his salary will be paid with ARRA funds. He has worked 455 hours in this reporting quarter (13 weeks X
35 hours). Since this is full-time based on his scheduled work week, he will count as 1.00 FTEs for job calculation reporting.
• Mr. John Fernandes, Sanitation Clerk, has been hired full-time based on a 35 hour work week (which is the TDHE standard
for this position) and only 50% of his salary will be paid with ARRA funds. The remaining time will be applied to non ARRA
programs. He has worked 455 hours in this reporting quarter (13 weeks X 35 hours). He will count as .50 FTEs for job
calculation reporting.
• Mr. Baxter Doggie, Payroll Clerk, has been hired at 40 hours per week but will only have 25% of his salary paid by ARRA
funds. The remaining time will be applied to non ARRA programs. He has worked 520 hours in this reporting quarter (13
weeks X 40 hours). He will count as .25 FTEs for job calculation reporting.
• Mrs. Sammy Whiner, Training Specialist, has been hired full-time based on a 40 hour work week but only 50% of her salary
will be paid with ARRA funds. The remaining salary will be applied to non ARRA programs. She has only worked 260 hours in
this reporting quarter (32.5 days X $ hours). She will count as .25 FTEs for job calculation reporting.
• Andrea's Architectural design, LLC has been hired to complete the needed design elements of the project as a vendor. The
architectural firm has had to hire new staff to complete the job and they all work a 40 hour workweek. The certified payroll
records show that the new staff has worked 1,040 hours in this reporting quarter. All of these hours were paid with ARRA
grant funds. They will count as 2.00 FTEs for job calculation reporting.
• Night Owl Heating Systems, Inc. has been hired to complete the installation of several hundred furnaces as a vendor. The firm
has had to hire new staff to complete the job and they all work a 35 hour workweek. The certified payroll records show that
the new staff has worked 4,550 hours in this reporting quarter. All of these hours were paid with ARRA grant funds. They will
count as 10.00 FTEs for job calculation reporting.
Result of Calculation:
N
,.,
Jessica String, Program Manager u to r 1 F
.,
40 i e i vas."
~
520 rot Jo '•. 19.43
..
100.00%
John Steaens,Compliance Othcer 40 520 100.00°k
Andy Lawrence, Program Specialist 40 520 80.00%
Tim Johnson, Financial Analyst 40 520 50.00%
Lloyd Ballance, Housing Director 40 400 100.00°~
'Tim Webel, Program Secretary 40 320 100.00°~
Wayne Rollins, Ofice Specialist 40 260 100.00°k
Elus John, Receptionist 40 260 50.00%
Durane Naillon, Electrician 35 455 100.00°I°
John Fernandes, Sanitation Clerk 35 455 50.00%
Baxter Doggie, Payroll Clerk 40 520 25.00°k
Sammy Whiner, Training Specialist 40 260 50.00%
Andrea's Architectural Design, LLC 40 1,040 10D.00%
Night Owl Heating Systems, Inc. 35 4,550 100.00
/~ ~,
Public Housing Capital Fund -Job Count Calculation Examples
Example #1: The PHA is only using ARRA grants to fund a project
Anytown Housing Authority is using its Capital Fund Recovery Act Grant (CFRG) to renovate the bathrooms in 7 public
housing units. The PHA has hired three contractors to work full-time on the renovation. A full-time work week for
Anytown Housing Authority is 40 hours. In order to ensure that the PHA records the number of jobs created and
retained by the Recovery Act correctly in to Federalreporting.gov, the PHA follows the simple calculations for full-time
equivalents (FTE) outlined below.
Determine quarterly hours in a full-time schedule
In order to determine the Quarterly hours in afull-time schedule, multiples the full-time work week (40 hours) by 52
weeks and then divides by four.
40 hours in a full-time work week schedule
X 52 weeks in a vear
2080 total work hours in a year
2080 total work hours in a year
4 reportin4 quarters in a vear
520 total work hours in a quarter
Using the quarterly hours for a standard full-time schedule, the PHA determines that the three contractors work 1560
hours in the quarter
520 quarterly hours X 3 (Full-time employees)=1560
520 quarterly hours
X 3 contractors
1560 total hours worked for the quarter
Calculate FTEs
In order to get the calculation for the number offull-time equivalents to report into Federalreporting.gov, the PHA
divides the total hours worked for the quarter (1560) by the quarterly hours in a full-time schedule (520).
1560 Hours Worked and Funded by Recovery Act / 520 Quarterly Hours in a Full-Time Schedule = 3.0 FTEs Created
or Retained
1560 total hours worked and funded by the Recovery Act for the quarter
= 520 quarterly hours in a full-time schedule
~~ ~ ~ t~
3.0 FTEs created or retained
n town Housin Autority will re ort 3 FTE into the "Number of Jobs" data field in FederalRe ortin . ov
Example #2: If the PHA has a project with multiple funding streams (i.e. partially funded by the Recovery Act):
Assume now that the Green Acres Housing Authority is using ARRA funds to supplement a project funded using regular FY09
Capital Fund money to renovate 150 public housing units. In addi#ion to the 10 full-time staff already employed by the housing
authority. Green Acres hires five painters to fix up the units who are paid using Recovery Act funds.
Green Acres receives a Recovery grant used to renovate several units of public housing and had already allocated 80% of the
funding needed from the regular FY 09 Capital Fund grant. The Recovery grant provides the additional 20% of the necessary
funding.
Determine quarterly hours in a full-time schedule
The PHA uses a standard 40 hour work week, leading to 2080 total work hours in a year or 520 hours in a quarter.
5 painters @ 520 hours = 2600 total hours for the quarter
Calculate FTEs
2600 Recovery Act Funded Hours Worked for the Quarter
= 5 FTE
520 Quarterly Hours in a Full-Time Schedule
Adjust to reflect partial ARRA funding
Green Acres has identified 5 FTEs for the construction project; however, it will not report that number in its Section 1512 reporting
because onl 20% of the funding for the project came from its Capital Fund Recovery grant. It takes the additional step required
for projects with multiple funding streams (i.e. partially funded by the Recovery Act).
The PHA will calculate the share of FTEs for the whole project to the correlating proportion of Recovery funding on the project.
Green Acres makes this last calculation in order to report its jobs estimate for this project.
5 Total Project FTE x 20% = 1 Recovery FTE
Green Acres will re ort 1 FTE into the "Number of Jobs" data field in FederalRe ortin . ov
1
J ~ ~' r
Example #3: If the PHA has temporary or seasonal staff working on a project:
In this example, the Shady Oaks Housing Authority is only using ARRA funds to renovate four public housing units. The
Executive Director hires iwo full- time construction workers in addition to one part-time electrician to do the renovation work. It is
not until April 2010 that the units can be painted so the PHA hires one temporary painter during the 2^~ quarter of 2010 (April-
June). After the work is complete at the end of June, the painter is no longer needed to complete the unit renovations.
Considering these circumstances, when the PHA reports on jobs created and retained each quarter, the PHA does not count the
temporary employee's time in the quarters that he did not work. During the second quarter of 2010, the PHA will then add the
hours worked by that employee for the quarter to account for all employees whose jobs were created/retained by ARRA for the
quarter.
The table below shows the FTE calculations through the lifecycle of the 18 month renovation project that uses full-time, part-time,
and temporary workers with the number of hours worked varying each quarter and afull-time schedule based on 2080 hours per
year or a 40-hour work week. Remember, total hours worked is divided by the hours for afull-time schedule each quarter to get
the FTEs reported at the bottom of the table. Please note that when the temporary employee is counted for the 2~' quarter, the
number of FTEs increases slightly to reflect the increase in hours worked relative to a full-time schedule for the quarter.
Period
Full-Time Schedule 3rd qtr
520 4th qtr
520 1st qtr
520 2nd qtr
520 3rd qtr
520 4th qtr
520
Full Time Employee 1 520 520 520 520 520 520
Full Time Employee 2 520 520 520 520 520 520
Part Time Employee (half time) 260 260 260 260 260 260
Temporary Employee (650 hrs,j 0 t} 0 520 0 0
Total Hours Worked 1300 1300 1300 1820 1300 1300
Quarterly FTE Reported 2.50 ' 2.50 2.50 3.50 2.50 2.50
~~~(jT~