2011-044ORDINANCE NO.
2011-044
AN ORDINANCE OF THE COUNCIL OF THE CITY OF DENTON, TEXAS ACCEPTING A
PROPOSAL AND AWARDING A CONTRACT FOR A UTILITY ASSISTANCE PROGRAM
FOR LOW-INCOME HOUSEHOLDS TO INTERFAITH MINISTRIES IN AN AMOUNT NOT
TO EXCEED $85,000; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Manager has reviewed the proposal of Interfaith Ministries regarding a
Utility Assistance Program known as the PLUS ONE Program which provides for utility assistance
for low-income households; and hereby recommends that the proposal of Interfaith Ministries is
appropriate for the administration of the Utility Assistance Program in the City, as proposed and
submitted; and
WHEREAS, funding for the Utility Assistance Program will be provided by: (1) charitable
contributions made to the PLUS ONE program by citizens and (2) by an allocable portion of Denton
Municipal Utilities late payment penalty funds contributed to the Utility Trust Fund to be
determined by the City of Denton on a regular basis,
WHEREAS, the proposal of Interfaith Ministries approved herein shall be the successor to
the existing PLUS ONE Program, which is also administered by Interfaith Ministries; the Council
finds that this program is and will be beneficial to utility ratepayers and in the best interest of its
citizens; NOW, THEREFORE
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The recitations contained in the preamble hereto are incorporated herewith for
all purposes.
SECTION 2. The City Manager is hereby authorized to execute and accept the "2010-2011
Service Agreement between the City of Denton and Interfaith Ministries" ("Agreement") for the
administration of the Utility Assistance Program for such services, which proposal is attached hereto
and is incorporated herewith by reference
SECTION 3. By the approval and acceptance of the above Agreement, the City accepts the
offer of Interfaith Ministries, and agrees to fund the services in accordance with the terms and
standards as set forth in the Agreement.
SECTION 4. By the acceptance and approval of the above Agreement, the City Council
hereby authorizes the expenditure of funds therefore, in accordance with the Agreement.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By: .
APPROVED AS TO LEGAL FORM:
ANITA BURGESS, CITY ATTORNEY
By: qt~M
2010-2011
SERVICE AGREEMENT BETWEEN
THE CITY OF DENTON, TEXAS AND
INTERFAITH MINISTRIES
This Agreement is made and entered into by and between the City of Denton, a
Texas municipal corporation, acting by and through its City Manager, pursuant to
ordinance, hereinafter referred to as CITY, and Interfaith Ministries, 1109 North Elm,
Denton, TX 76201 a Texas non-profit corporation, hereinafter referred to as
CONTRACTOR.
WHEREAS, CITY has received certain charitable contributions and allocated a
portion of late payment penalty funds to help utility customers who face termination of
services due to financial hardship through the Utility Assistance Program; and
WHEREAS, CITY wishes to engage CONTRACTOR to carry out such project;
NOW, THEREFORE, the parties hereto agree, and by the execution hereof are
bound to the mutual obligations and to the performance and accomplishment of the
conditions hereinafter described.
1. TERM
This Agreement shall commence on or as of April 5, 2011, and shall terminate on
April 4, 2012, unless sooner terminated in accordance with Section 22 "Termination". A
two-year extension of the agreement may be granted upon approval of both
CONTRACTOR and CITY.
2. RESPONSIBILITIES
CONTRACTOR hereby accepts the responsibility for the performance of all
services and activities described in the Utility Assistance Program Guidelines attached
hereto as Exhibit A, and incorporated herein by reference, in a satisfactory and efficient
manner as determined by CITY, in accordance with the terms herein. CITY will consider
CONTRACTOR's executive officer to be CONTRACTOR's representative responsible
for the management of all contractual matters pertaining hereto, unless written
notification to the contrary is received from CONTRACTOR, and approved by CITY.
The CITY's Community Development Administrator will be CITY's
representative responsible for the administration of this Agreement.
3. CITY'S OBLIGATION
A. Limit of Liability. On a monthly basis, CITY will initially provide
CONTRACTOR with a set amount of funding equal to or less than the
amount of funding CITY has available in the Utility Assistance Trust Fund
Page 1 of 18
account. The Utility Assistance trust account holds funds that have been
contributed by citizens. Supplemental funding will be provided by CITY
using funds received through the collection of late payment penalties. The
amount of late payment penalty funds to be provided by CITY will be
determined by staff based on community needs as reported by
CONTRACTOR. The City Council will review the annual funding levels, if
any, on an annual basis beginning in April 2011. The annual funding amount
to be provided to CONTRACTOR is $75,000 to be allocated at a rate of
$6,333.33 per calendar month during the term ending April 4, 2012. Funds are
to be distributed by CONTRACTOR to those utility customers who meet the
criteria of the Utility Assistance Program. On a quarterly basis, CITY will
review expenditure documentation and reconcile payments and expenditure
records. At any time, if CITY funds on hand are exhausted, CONTRACTOR
may submit additional payment requests to CITY. If excess funds are on hand
at the time of the annual review, CITY may elect to decrease the next year's
funding by the amount in reserve.
B. Measure of Liability. In consideration of full and satisfactory services and
activities hereunder by CONTRACTOR, CITY agrees that CONTRACTOR
can recover administrative costs from the funds subject to the limitations and
provisions set forth in this Section and Section 9 of this agreement.
(1) The parties expressly understand and agree that CITY's obligations under
this Section are contingent upon the actual receipt of contributions from
the utility customers of the CITY as well as the annual approval by the
City Council to allocate funds collected for late payment penalties. If
there are no contributions in the Utility Assistance trust fund account or
the allocation of late payment penalty funds changes for any month, CITY
shall notify CONTRACTOR in writing within a reasonable time after such
facts have been determined. Changes to contributions or funding for any
particular month shall not make the CITY liable for any costs that the
CONTRACTOR may incur for the administration of the Utility Assistance
program.
(2) It is expressly understood that this Agreement in no way obligates the
General Fund or any other monies or credits of the City of Denton.
(3) CITY shall not be obligated or liable under this Agreement to any party
for providing funds or provision of any goods or services other than to
CONTRACTOR.
4. COMPLIANCE WITH FEDERAL,
STATE and LOCAL LAWS
CONTRACTOR shall comply with all applicable federal laws, laws of the State
of Texas and ordinances of the City of Denton.
Page 2 of 18
5. REPRESENTATIONS
A. CONTRACTOR assures and guarantees that it possesses the legal authority,
pursuant to any proper, appropriate and official motion, resolution or action
passed or taken, to enter into this Agreement.
B. The person or persons signing and executing this Agreement on behalf of
CONTRACTOR, do hereby warrant and guarantee that he, she, or they have
been fully authorized by CONTRACTOR to execute this Agreement on behalf
of CONTRACTOR and to validly and legally bind CONTRACTOR to all
terms, performances and provisions herein set forth.
C. CITY shall have the right, at its option, to either temporarily suspend or
permanently terminate this Agreement if there is a dispute as to the legal
authority of either CONTRACTOR or the person signing the Agreement to
enter into this Agreement. CONTRACTOR is liable to CITY for any money it
has received from CITY for performance of the provisions of this Agreement
if CITY has suspended or terminated this Agreement for the reasons
enumerated in this Section.
D. CONTRACTOR agrees that the funds and resources provided
CONTRACTOR under the terms of this Agreement will in no way be
substituted for funds and resources from other sources, nor in any way serve
to reduce the resources, services, or other benefits which would have been
available to, or provided through, CONTRACTOR had this Agreement not
been executed.
6. PERFORMANCE BY CONTRACTOR
CONTRACTOR will provide, oversee, administer, and carry out all of the
activities and services set out in the Utility Assistance Program guidelines, attached
hereto and incorporated herein for all purposes as Exhibit A, and in accordance with all
other terms, provisions and requirements of this Agreement.
No modifications or alterations may be made in the Utility Assistance Program's
guidelines without the prior written approval of the CITY.
7. WARRANTIES
CONTRACTOR represents and warrants that:
A. All information, reports and data heretofore or hereafter requested by CITY
and furnished to CITY, are complete and accurate as of the date shown on the
information, data, or report, and, since that date, have not undergone any
significant change without written notice to CITY.
B. Any supporting financial statements heretofore requested by CITY and
furnished to CITY, are complete, accurate and fairly reflect the financial
Page 3 of 18
condition of CONTRACTOR on the date shown on said report, and the results
of the operation for the period covered by the report, and that since said date,
there has been no material change, adverse or otherwise, in the financial
condition of CONTRACTOR.
C. No litigation or legal proceedings are presently pending or threatened against
CONTRACTOR.
D. None of the provisions herein contravenes or is in conflict with the authority
under which CONTRACTOR is doing business or with the provisions of any
existing indenture or agreement of CONTRACTOR.
E. CONTRACTOR has the power to enter into this Agreement and accept
payments hereunder, and has taken all necessary action to authorize such
acceptance under the terms and conditions of this Agreement.
F. None of the assets of CONTRACTOR is subject to any lien or encumbrance
of any character, except for current taxes not delinquent, except as shown in
the financial statements furnished by CONTRACTOR to CITY.
Each of these representations and warranties shall be continuing and shall be
deemed to have been repeated by the submission of each request for payment.
& COVENANTS
A. During the period of time that payment may be made hereunder and so long as
any payments remain unliquidated, CONTRACTOR shall not:
(1) Use the funds provided for any use other than those provided for in the
Utility Assistance Program guidelines.
9. ALLOWABLE COSTS
A. Costs shall be considered allowable only if incurred directly and specifically
in the performance of and in compliance with this Agreement.
B. CITY's prior written authorization is required in order for the following to be
considered allowable costs:
(1) CITY shall not be obligated to any third parties, including any
subcontractors of CONTRACTOR, and CITY funds shall not be used to
pay for any contract service extending beyond the expiration of this
Agreement.
(2) Out of town travel of CONTRACTOR
(3) Any alterations or relocation of the facilities on and in which the activities
specified in Exhibit A are conducted.
Page 4 of 18
(4) Costs or fees for temporary employees or services.
(5) Any fees or payments for consultant services payable to CONTRACTOR
or CONTRACTOR'S Consultants.
(6) Fees for attending out of town meetings, seminars or conferences.
Written requests for prior approval are CONTRACTOR's responsibility and shall
be made within sufficient time to permit a thorough review by CITY. CONTRACTOR
must obtain written approval by CITY prior to the commencement of procedures to
solicit or purchase services, equipment, or real or personal property. Any procurement or
purchase which may be approved under the terms of this Agreement must be conducted
in its entirety in accordance with the provisions of this Agreement.
A. Program administration costs recovered monthly by CONTRACTOR for
Utility Service Trust Funds made available by City equal to $14,000.00 per
calendar year, shall be paid at the rate of $1166.67 per calendar month during
the term ending April 4, 2012.
10. MAINTENANCE OF RECORDS
A. CONTRACTOR agrees to maintain written records that will provide accurate,
current, separate, and complete disclosure of the status of the funds received
under this Agreement, in compliance with the provisions of this Agreement
and the Utility Assistance Program Guidelines, and with any other applicable
Federal and State regulations establishing standards for financial management.
CONTRACTOR's record system shall contain sufficient documentation to
provide in detail full support and justification for each expenditure. Nothing in
this Section shall be construed to relieve CONTRACTOR of fiscal
accountability and liability under any other provision of this Agreement or
any applicable law. CONTRACTOR shall include the substance of this
provision in all subcontracts.
B. CONTRACTOR agrees to retain all books, records, documents, reports, and
written accounting procedures pertaining to the operation of programs and
expenditures of funds under this Agreement for a period of four years
following completion of the plan year.
C. Nothing in the above subsections shall be construed to relieve
CONTRACTOR of responsibility for retaining accurate and current records
which clearly reflect the level and benefit of services provided under this
Agreement.
D. Notwithstanding any other provisions of this Agreement or Utility Assistance
Program guidelines, at any reasonable time and as often as CITY may deem
necessary, the CONTRACTOR shall make available to, all of its records
pertaining solely to the matters only dealing with this Agreement, and not
Page 5of18
otherwise and shall permit CITY, or any of its authorized representatives to
audit, examine, make excerpts and copies of such records, and to conduct
audits of all contracts, invoices, materials, payrolls, records of personnel,
conditions or employment and all other data requested by said representatives.
11. REPORTS AND INFORMATION
At such times and in such form as CITY may require, CONTRACTOR shall
furnish such statements, records, data and information as CITY may request and deem
pertinent to matters covered by this Agreement.
Unless a written exemption has been granted by the CITY, CONTRACTOR shall
submit the most recent yearly audit conducted by independent examiners within ten (10)
days after receipt of such request from the examiners.
12. MONITORING AND EVALUATION
A. CITY shall perform on-site monitoring of CONTRACTOR's performances
under this Agreement.
B. CONTRACTOR agrees that CITY may carry out monitoring and evaluation
activities to ensure adherence by CONTRACTOR to the Utility Assistance
Program guidelines which are attached hereto as Exhibit A, as well as other
provisions of this Agreement.
C. CONTRACTOR agrees to cooperate fully with CITY in the development,
implementation and maintenance of record-keeping systems and to provide
data determined by CITY to be necessary for CITY to effectively fulfill its
monitoring and evaluation responsibilities.
D. CONTRACTOR agrees to cooperate in such a way so as not to obstruct or
delay CITY in such monitoring and to designate one of its staff to coordinate
the monitoring process as requested by CITY staff.
E. After each official monitoring visit, CITY shall provide CONTRACTOR with
a written report of monitoring findings.
F. CONTRACTOR shall submit copies of any fiscal, management, or audit
reports by any of CONTRACTOR's funding or regulatory bodies to CITY
within ten (10) days of receipt of each by CONTRACTOR.
13. DIRECTORS' MEETINGS
During the terms of this Agreement, CONTRACTOR shall cause to be delivered
to CITY copies of all notices of meetings of its Board of Directors, setting forth the time
and place thereof. Such notice shall be delivered to CITY in a timely manner, not less
Page 6 of 18
than 72 hours prior to the meeting time, to give adequate notice, and shall include an
agenda and a brief description of the matters to be discussed. CONTRACTOR
understands and agrees that CITY representatives shall be afforded access to all of the
Board of Directors' meetings.
Minutes of all meetings of CONTRACTOR's governing body shall be available
to CITY within ten (10) working days of approval.
14. INSURANCE
A. CONTRACTOR shall observe sound business practices with respect to
providing such bonding and insurance as would provide adequate coverage for
services offered under this Agreement. CONTRACTOR shall be allowed a
reasonable time to obtain such insurance and bonding from the time of the
signing of the contract.
B. The premises on and in which the activities described in Exhibit A are
conducted, and the employees conducting these activities, shall be covered by
premise liability insurance, commonly referred to as "Owner/Tenant"
coverage with CITY named as an additional insured, within a reasonable time
of signing the contract. Upon request of CONTRACTOR, CITY may, at its
sole discretion, approve alternate insurance coverage arrangements.
C. CONTRACTOR will comply with applicable workers' compensation statues
and will obtain employers' liability coverage where available and other
appropriate liability coverage for program participants, if applicable.
D. CONTRACTOR will maintain adequate and continuous liability insurance on
all vehicles owned, leased or operated by CONTRACTOR. All employees of
CONTRACTOR who are required to drive a vehicle in the normal scope and
course of their employment must possess a valid Texas driver's license and
automobile liability insurance in the amounts and coverage required by law.
Evidence of the employee's current possession of a valid license and
insurance must be maintained on a current basis in CONTRACTOR's files.
E. Actual losses not covered by insurance as required by this Section are not
allowable costs under this Agreement, and remain the sole responsibility of
CONTRACTOR.
F. The policy or policies of insurance shall contain a clause which requires that
City and Contractor be notified in writing of any cancellation of change in the
policy at least thirty (30) days prior to such change or cancellation.
15. EQUAL OPPORTUNITY
A. CONTRACTOR shall comply with all applicable equal employment
opportunity and affirmative action laws or regulations.
Page 7 of 18
B. CONTRACTOR will furnish all information and reports requested by the
CITY, and will permit access to its books, records, and accounts for purposes
of investigation to ascertain compliance with local, state and Federal rules and
regulations.
C. In the event of CONTRACTOR's non-compliance with the non-
discrimination requirements, CITY may cancel or terminate the Agreement in
whole or in part, and CONTRACTOR may be barred from further contracts
with CITY.
16. PERSONNEL POLICIES
Personnel policies shall be established by CONTRACTOR and shall be available
for examination. Such personnel policies shall:
A. Be consistent with CITY's personnel policies, procedures, and practices,
including policies with respect to employment, salary and wage rates, working
hours and holidays, fringe benefits, vacation and sick leave privileges, and
travel, unless exceptions are approved in advance, by CITY; and
B. Be in writing and shall be approved by the governing body of
CONTRACTOR and by CITY.
17. CONFLICT OF INTEREST
A. CONTRACTOR covenants that neither it nor any member of its governing
body presently has any interest, direct or indirect, which would conflict in any
manner or degree with the performance of services required to be performed
under this Agreement. CONTRACTOR further covenants that in the
performance of this Agreement, no person having such interest shall be
employed or appointed as a member of its governing body.
B. CONTRACTOR further covenants that no member of its governing body or
its staff, subcontractors or employees shall possess any interest in or use his
position for a purpose that is or gives the appearance of being motivated by
desire for private gain for himself, or others, particularly those with which he
has family, business, or other ties.
C. No officer, member, or employee of CITY and no member of its governing
body, and no member of the Public Utility Board who exercises any function
or responsibilities in the review or approval of the undertaking or carrying out
of this Agreement shall (1) participate in any decision relating to the
Agreement which affects his personal interest or the interest in any
corporation, partnership, or association in which he has direct or indirect
interest; or (2) have any interest, direct or indirect, in this Agreement or the
proceeds thereof.
Page 8 of 18
18. NEPOTISM
CONTRACTOR shall not employ in any paid capacity any person who is a
member of the immediate family of any person who is currently employed by
CONTRACTOR, or is a member of CONTRACTOR's governing board. The term
"member of immediate family" includes: wife, husband, son, daughter, mother, father,
brother, sister, in-laws, aunt, uncle, nephew, niece, step-parent, step-child, half-brother
and half-sister.
19. PUBLICITY
A. Where such action is appropriate, CONTRACTOR shall publicize the
activities conducted by CONTRACTOR under this Agreement. In any and all
news releases, signs, brochures, or other advertising media, disseminating
information prepared or distributed by or for CONTRACTOR, the advertising
medium shall state that funding through the City of Denton has made the
project possible.
20. NON-RELIGIOUS ACTIVITIES
A. The CONTRACTOR will provide all services under this Agreement in a
manner that is exclusively non-religious in nature and scope. There shall be
no religious services, proselytizing, instruction or any other religious
preference, influence or discrimination in connection with providing the
services hereunder.
21. POLITICAL OR SECTARIAN ACTIVITY
A. None of the performance rendered hereunder shall involve, and no portion of
the funds received by CONTRACTOR hereunder shall be used, either directly
or indirectly, for any political activity (including, but not limited to, an
activity to further the election or defeat of any candidate for public office) or
any activity undertaken to influence the passage, defeat or final content of
legislation.
B. None of the performance rendered hereunder shall involve, and no portion of
the funds received by CONTRACTOR hereunder shall be used for or applied
directly or indirectly to the construction, operation, maintenance or
administration, or be utilized so as to benefit in any manner any sectarian or
religious facility or activity, unless specifically authorized in writing by this
contract and ordinance authorizing Utility Assistance Program.
22. CHANGES AND AMENDMENTS
Page 9 of 18
A. Any alterations, additions, or deletions to the terms of this Agreement shall be
by written amendment executed by both parties, except when the terms of this
Agreement expressly provide that another method shall be used.
B. CONTRACTOR may not make transfer from the funds provided in this
agreement to any other budget item or fund unless provided for in this
Agreement and Utility Assistance Program guidelines.
C. It is understood and agreed by the parties hereto that changes in the State,
Federal or local laws or regulations pursuant hereto may occur during the term
of this Agreement. Any such modifications are to be automatically
incorporated into this Agreement without written amendment hereto, and shall
become a part of the Agreement on the effective date specified by the law or
regulation.
D. CITY may, from time to time during the term of the Agreement, request
changes in Exhibit A. Such changes shall be incorporated in a written
amendment hereto, as provided in Subsection A of this Section.
E. CONTRACTOR agrees to notify CITY in writing of any proposed change in
physical location for work performed under this Agreement at least thirty (30)
calendar days in advance of the change.
F. CONTRACTOR shall notify CITY of any and all changes in personnel or
governing board composition.
G. It is expressly understood that neither the performance of Exhibit A for any
program contracted hereunder nor the transfer of funds between or among said
programs will be permitted.
23. SUSPENSION OF FUNDING
Upon determination by CITY of CONTRACTOR's failure to timely and properly
perform each of the requirements, time conditions and duties provided herein, CITY,
without limiting any rights it may otherwise have, may, at its discretion, and upon ten
(10) working days written notice to CONTRACTOR, withhold further payments to
CONTRACTOR. Such notice may be given by mail to the Executive Officer and the
Board of Directors of CONTRACTOR. The notice shall set forth the default or failure
alleged, and the action required for cure.
The period of such suspension shall be of such duration as is appropriate to
accomplish corrective action, but in no event shall it exceed thirty (30) calendar days. At
the end of the suspension period, if CITY determines the default or deficiency has been
satisfied, CONTRACTOR may be restored to full compliance status and paid all eligible
funds withheld or impounded during the suspension period. If however, CITY determines
that CONTRACTOR has not come into compliance, the provisions of SECTION 24 may
be effectuated.
Page 10 of 18
24. TERMINATION
A. CITY may terminate this Agreement for cause under any of the following
reasons or for other reasons not specifically enumerated in this paragraph:
(1) CONTRACTOR's failure to attain compliance during any prescribed
period of suspension as provided in Section 21; or
(2) CONTRACTOR's violation of covenants, agreements or guarantees of
this Agreement; or
(3) Finding by CITY that CONTRACTOR:
a) is in such unsatisfactory financial condition as to endanger
performance under this Agreement; or
b) is delinquent in payment of taxes, or of costs of performance of
this Agreement in the ordinary course of business; or
(4) Appointment of a trustee, receiver or liquidator for all or substantial part
of CONTRACTOR's property, or the institution of bankruptcy,
reorganization, rearrangement of, or liquidation proceedings by or against
CONTRACTOR; or
(5) The commission by CONTRACTOR of an act of bankruptcy; or
(6) CONTRACTOR's violation of any law or regulation to which
CONTRACTOR is bound or shall be bound under the terms of the
Agreement.
CITY shall promptly notify CONTRACTOR in writing of the decision to
terminate and the effective date of termination. CONTRACTOR will refund any funds
not yet distributed less any administrative cost allowed by this Agreement within thirty
(30) days receipt of written notice of termination.
B. CITY may terminate this Agreement for convenience at any time. If this
Agreement is terminated by CITY for convenience, the termination shall be
made effective by the CITY giving written notice to the CONTRACTOR.
C. CONTRACTOR may terminate this Agreement in whole or in part by written
notice to CITY, if a termination of outside funding occurs upon which
CONTRACTOR depends for performance hereunder. CONTRACTOR may
terminate this Agreement upon the dissolution of CONTRACTOR's
organization not occasioned by a breach of this Agreement.
D. Upon receipt of notice to terminate by CITY or by termination of contract
under subsection C of this paragraph, CONTRACTOR shall return any funds
Page 11 of 18
not yet distributed less any administrative costs allowed by this Agreement,
within thirty (30) days of the termination.
E. Notwithstanding any exercise by CITY of its right of suspension or termination,
CONTRACTOR shall not be relieved of liability to CITY for damages sustained
by CITY by virtue of any breach of the Agreement by CONTRACTOR.
25. NOTIFICATION OF ACTION BROUGHT
In the event that any claim, demand, suit or other action is made or brought by
any person(s), firm corporation or other entity against CONTRACTOR, CONTRACTOR
shall give written notice thereof to CITY within two (2) working days after being notified
of such claim, demand, suit or other action. Such notice shall state the date and hour of
notification of any such claim, demand, suit or other action; the names and addresses of
the person(s), firm, corporation or other entity making such claim, or that instituted or
threatened to institute any type of action or proceeding; the basis of such claim, action or
proceeding; and the name of any person(s) against whom such claim is being made or
threatened. Such written notice shall be delivered either personally, by e-mail or by mail.
26. INDEMNIFICATION
A. It is expressly understood and agreed by both parties hereto that CITY is
contracting with CONTRACTOR as an independent contractor and that as
such, CONTRACTOR shall save and hold CITY, its officers, agents and
employees harmless from all loss or liability of any nature or kind, including
costs and expenses for, or on account of, any claims, audit exceptions,
demands, suits or damages of any character whatsoever resulting in whole or
in part from the performance or omission of any employee, agent or
representative of CONTRACTOR.
B. CONTRACTOR agrees to provide the defense for, and to indemnify and hold
harmless CITY its agents, employees, or contractors from any and all claims,
suits, causes of action, demands, damages, losses, attorney fees, expenses, and
liability arising out of the use of these contracted funds and program
administration and implementation except to the extent caused by the willful
act or omission of CITY, its agents, employees, or contractors.
27. MISCELLANEOUS
A. CONTRACTOR shall not transfer, pledge or otherwise assign this Agreement
or any interest therein, or any claim arising thereunder, to any party or parties,
company or other institution without the prior written approval of CITY.
B. If any provision of this Agreement is held to be invalid, illegal, or
unenforceable, the remaining provisions shall remain in full force and effect
and continue to conform to the original intent of both parties hereto.
Page 12 of 18
C. In no event shall any payment to CONTRACTOR hereunder, or any other act
or failure of CITY to insist in any one or more instances upon the terms and
conditions of this Agreement constitute or be construed in any way to be a
waiver by CITY of any breach of covenant or default which may then or
subsequently be committed by CONTRACTOR. Neither shall such payment,
act, or omission in any manner impair or prejudice any right, power, privilege,
or remedy available to CITY to enforce its rights hereunder, which rights,
powers, privileges, or remedies are always specifically preserved. No
representative or agent of CITY may waive the effect of this provision.
D. This Agreement, together with referenced exhibits and attachments,
constitutes the entire agreement between the parties hereto, and-any prior
agreement, assertion, statement, understanding or other commitment
antecedent to this Agreement, whether written or oral, shall have no force or
effect whatsoever; nor shall an agreement, assertion, statement, understanding,
or other commitment occurring during the term of this Agreement, or
subsequent thereto, have any legal force or effect whatsoever, unless properly
executed in writing, and if appropriate, recorded as an amendment of this
Agreement.
E. In the event any disagreement or dispute should arise between the parties
hereto pertaining to the interpretation or meaning of any part of this
Agreement or its governing rules, codes, laws, ordinances or regulations,
CITY will have the final authority to render or to secure an interpretation.
F. For purposes of this Agreement, all official communications and notices
among the parties shall be deemed made if sent postage paid or hand-
delivered to the parties at the address set forth below:
TO CITY:
Community Development Administrator
City of Denton
101 South Locust Ste 500
Denton, Texas 76205
TO CONTRACTOR:
Condell Garden, Exec. Director
Interfaith Ministries
109 West Sycamore St
Denton Texas 76201
G. This Agreement shall be interpreted in accordance with the laws of the State
of Texas and exclusive venue of any litigation concerning this Agreement
shall be in a court of competent jurisdiction sitting in Denton County, Texas.
IN WITNE S WH REOF this Agreement has been executed on this the
day of , 2011.
CITY OF DENTON, TEXAS
A Texas Municipal Corporation
Page 13 of 18
By: 4"e~ a~
GE E CAMPBELL, CITY MANAGER
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By: "d't
APPROVED AS TO LEGAL FO
ANITA URGES S, CITY AT C
0
By:
INTERFAITH MINISTRIES
~ ~ 0 12
By: L&
CONDELL GARDEN `
EXECUTIVE DIRECTOR
ATTEST:
By:
SECRETARY
Page 14 of 18
EXHIBIT A
UTILITY ASSISTANCE PROGRAM
GUIDELINES
This utility funding program is set up to encourage utility customers to add a monthly
contribution amount to their utility bill or payment. In addition, Denton Municipal
Utilities may from time-to-time allocate an agreed upon amount of late payment penalty
funds to supplement customer donations. The funds will be used to provide financial
assistance to utility customers experiencing financial hardship and whose service is
pending termination or has been terminated for reason of non-payment. These funds are
first collected by the City of Denton and placed in a special Trust Fund designated solely
for this utility assistance program. The City of Denton then disburses the funds on a
monthly basis to the CONTRACTOR, who administers the program.
A. The following guidelines will apply to the use of Program funds to provide assistance:
1. Qualifying Denton Municipal Utility customers will be eligible for only
one payment during a twelve-month period, unless otherwise qualified and
designated as an extreme hardship.
2. Persons receiving assistance must be a City of Denton residential service
customer and have received a statement that reflects a previous balance,
indicating that the customer's utility service is in jeopardy of
disconnection.
3. Assistance may be used for short-term crisis intervention to restore or
maintain utility service.
4. Apparent consistent excessive utility usage will be a negative factor in
determining eligibility. These cases will be referred to the City of Denton
department for review prior to considering and/or providing Program
assistance.
5. The overall financial resources available to the applicant will be
considered in determining eligibility.
6. Program assistance will be in the form of payment made or obligated to
the City of Denton for Denton Municipal Utility service only. There will
no disbursements other than to the City of Denton, Texas by
CONTRACTOR.
7. Priority will be given to households whose circumstances are as follows:
Page 15 of 18
a. Gross family income 65% or less of Area Median Income (AMI).
b. Electricity powered life-support systems are in use.
c. Serious illness exists with a member of the household.
d. Disabled or homebound or elderly residents age 65 years or above,
existing on a fixed income.
e. Small children of that household reside at the dwelling.
f. Recent emergencies such as home fire, layoffs from work, excessive
medical expenses, etc., have occurred and are beyond the applicant's
control.
8. Preferences will be given to families that meet the income guidelines, have
resided in Denton for at least six (6) months, and families who have not
received utility assistance within twelve months of the current application.
9. Although income is not the only criteria for determining eligibility, it will
serve as a strong indicator of need and ability to pay. All requests will be
treated on a case-by-case basis.
B. Following are the current guidelines for Program administration:
CONTRACTOR is required to provide monthly or quarterly financial
and/or beneficiary reports to the CITY and give a Program accounting to
the Public Utilities Board, not less than once per year if requested. The
annual report for the preceding calendar year shall be delivered to the
CITY no later than February 1, of each subsequent year that this
Agreement is in effect.
2. A portion of Program funds may be used to help cover Program
administration costs not-to-exceed the amount of the bid.
3. It is the responsibility of the Utilities Customer Service Department to
obtain the dollar amount donated by customers each month and deposit in
the Trust Fund. The Department shall also report the total amount of late
charges collected for the preceding month for accounting purposes.
4. The Community Development Division will provide the Contractor with
necessary information to allow the Contractor to provide Program
services.
C. Denial of Utility Assistance Trust Funds ("Trust Funds") to utility customer:
Page 16 of 18
1. Except in designated cases of "extreme hardship", the guidelines for the
distribution, use and administration of the Utility Assistance Trust Funds
provided by the City shall be distributed and or applied under these utility
assistance program guidelines.
2. In the event the Contractor does not approve the distribution or use of
Trust Funds to a utility customer and the customer requests a review and
or appeal of the denial, the Contractor shall first have the right to require a
written request from the customer in accordance with current policy
guidelines as may be established from time to time by the Board of
Directors of the Contractor.
3. In the event the Contractor does not approve the distribution or use of
Trust Funds to a utility customer after the review and or appeal of the
denial, the Contractor shall provide customer with a copy of this EXHIBIT
"A" of the Service Agreement and identify the applicable guideline used
for denial of utility assistance.
4. Quarterly reports submitted by Contractor to the City will include
information on number of clients denied assistance and the various reasons
for denial.
5. Periodically or on a case-by-case basis, the City may request a copy of the
Contractor's review and/or appeal file established for purposes of the
City's Utility Assistance Program.
Page 17 of 18
EXHIBIT B
Qualifying Income Limits for Utility Assistance Program
Maximum Income Levels
Low Income
65% AMI - 50% AMI
$31,135 - $23,950
$35,555 - $27,350
$39,975 - $30,750
$44,395 - $34,150
$47,970 - $36,900
$51,545 - $39,650
$55,055 - $42,350
$58,630 - $45,100
Very-Low Income
50% AMI - 30% AMI
$23,950 - $14,370
$27,350 - $16,410
$30,750 - $18,450
$34,150 - $20,490
$36,900 - $22,140
$39,650 - $23;790
$42,350 - $25,410
$45,100 - $27,060
Extremely-Low Income
<30% AM I
$14,369 or Below
$16,409 or Below
$18,449 or Below
$20,489 or Below
$22,139 or Below
$23,789 or Below
$25,409 or Below
$27,059 or Below
Family
Size
1
2
3
4
5
6
7
8
Source:
U.S. Department of Housing and Urban Development
Effective: May 2010
Page 18 of 18