23-1265ORDINANCE NO. 23-1265
AN ORDINANCE OF THE CITY OF DENTON AUTHORIZING THE CITY MANAGER TO
EXEcurE A FUNDING AGREEMENT BETWEEN THE CITY AND DENTON CITY-COUNTY DAY
SCHOOL, ngc. TO PROVDE COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS FOR THE
PRESCHOOL PROGRAM IN DENTON, TEXAS; AUTHORIZING THE EXPENDITURE OF FUNDS
IN AN AMOUNT NOT TO EXCEED $25,000.00; AND PROVDnVG AN EFFECTIVE DATE.
WHEREAS, the City of Denton (the “City”) has received Community Development Block Grant
(“CDB(Y’) fbnds from the U.S. Department of Housing and Urban Development (“HUD”) under Title I of
the Housing and Community Development Act of 1974, as amended; CDBG Program, CFDA Number 14-
218; and
WHEREAS, the City has adopted a budget and included therein an authorized budget for the ex-
penditure ofCDBG fUnds in accordance with its 2023-2027 City of Denton Consolidated Plan; and
WHEREAS, the Community Services Advisory Committee ("CSAC") of the City has reviewed the
proposal for services of Denton City-County Day School, Inc. (the “SUBRECIPIENF”) for the Preschool
Program and has determined that the SUBRECIPIENF performs an important service for the residents of
Denton without regard to race, religion, color, age, or national origin, and the CSAC recommends the award
of CDBG funds for such services in accordance with the 2023-2027 City of Denton Consolidated Plan
pursuant to the 2023-2024 Community Development Block Grant Service Agreement between the City and
SUBRECIPIENT attached hereto as Attachment 1 and incorporated herein for all purposes (the “Agree-
ment”); and
WHEREAS, the Preschool Program will provide a benefit to low- and moderate-income persons in
the City of Denton; and
WHEREAS, the City has designated the Community Development Division as the division respon-
sible for the administration of the Agreement and all matters pertaining thereto; and
WHEREAS, the City Council deems it in the public interest to enter into the Agreement in support
of much needed services for Denton residents; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENFON HEREBY ORDAINS:
SECTION 1. The findings and recitations in the preamble of this ordinance are incorporated herein
by reference as true and as if fully set forth in the body of this ordinance.
SECTION 2. The City Manager or their designee is hereby authorized to execute the Agreement
with Denton City-County Day School, Inc. to provide for the Preschool Program.
SECTION 3. The City Manager or their designee is hereby authorized to expend funds in an amount
not to exceed $25,000.00 CDBG funds in the manner specified in the Agreement, and to take any other
actions that may be necessary or convenient, in the reasonable opinion of either the City Manager or the
City Attorney, to carry out the City’s rights and obligations under the Agreement.
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SECTION 4. This ordinance shall become effective immediately upon its passage and approval.
The motion to approve this ordinance was made by BrIn_ Bd,_ic and seconded by
sf '~- D'., eU '- if, , Hc C, *e . The ordinance was passed and approved by the following vote L-Z
Aye Nay Abstain Absent
Mayor Gerard Hudspeth:
Vicki Byrd, District 1 :
Brian Beck, District 2:
Paul Meltzer. District 3:
Joe Holland, District 4:
Brandon Chase McGee, At Large Place 5:
Chris Watts, At Large Place 6:
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PASSED AND APPROVED this the 2e'-J 2023.
ATTEST:
JESUS SALAZAR, CITY SECRETARY L\\\tIll it III
APPROVED AS TO LEGAL FORM:
MACK REDqWAND, CITY ATTORNEY
Digitally sIgned by Scott
BY: gan%Bray
4a5t:b?023'09'15 14:22:38
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2023-2024 COMMUNITY DEVELOPMENT BLOCK GRANT SERVICE AGREEMENT
BETWEEN THE CITY OF DENTON, TEXAS AND
DENTON COUNTY FRIENDS OF THE FAMILY, INC.
This 2023-2024 Grant Service Agreement (“Agreement”) is made and entered into by and between the City of Den-
ton, a Texas municipal corporation, acting by and through its City Manager, hereinafter referred to as “CITY,” and
Denton County Friends of the Family, Inc., a Texas nonprofit corporation, hereinafter referred to as
'’SUBRECIPIENT."
WHEREAS, CITY has received certain funds from the U.S. Department of Housing and Urban Development
(“HUD”) under Title I of the Housing and Community Development Act of 1974, as amended (the “ACT”); CDBG
Program, CFDA Number 14-218; and
WHEREAS, CITY's Community Services Advisory Committee (“CSAC”) has reviewed the SUBRECIPIENT’s pro-
posal for services and has determined that SUBRECIPIENT performs an important service for the residents of the
City of Denton without regard to race, religion, color, age, or national origin, and the CSAC recommends
SUBRECIPIENT’s proposal for services; and
WHEREAS, CITY has determined that the SUBRECIPIENT’s proposal for services can provide needed services to
the residents of the City of Denton in accordance with the 2023-2027 City of Denton Consolidated Plan and will
benefit low- and moderate-income persons in the City of Denton, and desires to enter into an agreement for such
services; and
WHEREAS, CITY has adopted a budget and included therein an authorized budget for the expenditure of funds in
accordance with its 2023-2027 City of Denton Consolidated Plan and 2023 Action Plan;
WHEREAS, CITY has designated the Community Development Division as the division responsible for the admin-
istration of this Agreement and all matters pertaining thereto; and
WHEREAS, CITY’s City Council has approved the expenditure of up to $50,000.00 in CDBG funds consistent with
the terms of this Agreement;
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 October 1, 2023, and shall terminate on September 30, 2024, unless
sooner terminated in accordance with Section 25 “Termination.”
2. RESPONSIBILITIES
SUBRECIPIENT hereby accepts the responsibility for the performance of all services and activities described in the
Scope of Services attached hereto as Exhibit A, and incorporated herein by reference, in a satisfactory and efficient
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manner as determined by CITY, in accordance with the terms herein. CITY will consider SUBRECIPIENT’s exec-
utive officer to be SUBRECIPIENT’s representative responsible for the management of all contractual matters per-
taining hereto, unless written notification to the contrary is received from SUBRECIPIENT and approved by CITY.
The CITY’s Director of Community Services will be CITY’s representative responsible for the administration of this
Agreement. Beneficiaries of the activities to be provided hereunder must reside in the City of Denton and
SUBRECIPIENT certifies that the activities carried out with these funds shall meet the Community Development
Block Grant (“CDBG”) program’s National Objective of benefit to low and moderate-income persons.
SUBRECIPIENT shall provide services to persons whose income is equal to or lower than 80% of the median income
of the Dallas standard metropolitan statistical area. To accomplish this, the SUBRECIPIENT shall use the current
applicable income limits published by HUD for lower income housing assistance under Section 8 of the United States
Housing Act of 1937. Income eligibility shall be determined by the sum of the gross income of all individuals residing
in the household. Services must be provided directly to or on behalf of specific identified eligible clients. Eligibility
documentation must be included in each client’s file and updated annually, or services must be provided to a clientele
that is within a “presumed benefit” category as specified in 24 CFR 570.208.
3. REPRESENTATIONS
SUBRECIPIENT 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.
The person or persons signing and executing this Agreement on behalf of SUBRECIPIENT, do hereby warrant
and guarantee that he, she, or they have been fUlly authorized by SUBRECIPIENT to execute this Agreement on
behalf of SUBRECIPIENT and to validly and legally bind SUBRECIPIENT to all terms, performances, and
provisions herein set forth.
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 SUBRECIPIENT or the person signing the Agreement to
enter into this Agreement. SUBRECIPIENT 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.
SUBRECIPIENT agrees that the funds and resources provided SUBRECIPIENT under the terms of this Agree-
ment 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,
SUBRECIPIENT had this Agreement not been executed.
A.
B
C.
D
4. OBLIGATIONS
CITY agrees to the following terms and conditions:
A. Limit of Liability. CITY will reimburse SUBRECIPIENT for expenses incurred pursuant to and in accordance
with the Budget attached hereto as Exhibit B, and incorporated herein by reference, and the Scope of Services
herein attached as Exhibit A. Notwithstanding any other provision of the Agreement, the total of all payments
and other obligations made or incurred by CITY hereunder shall not exceed the sum of Fifty Thousand Dollars
– $50,000.00
B. Measure of Liability. In consideration of full and satisfactory performance of the services and activities here-
under by SUBRECIPIENT and receipt of a requisition for payment with appropriate documentation of expendi-
tures, CITY shall make payments to SUBRECIPIENT based on the Budget in Exhibit B, subject to the limitations
and provisions set forth in Exhibit B and in this Section and Section 7 of this Agreement. Payments may be
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contingent upon certification of the SUBRECIPIENT’s financial management system in accordance with the
standards specified in 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Re-
quirements for Federal Awards.
( 1) The parties expressly understand and agree that CITY’s obligations under this Section are contingent upon
CITY’s receipt and appropriation of adequate CDBG ftmds to meet CITY’s liabilities under this Agreement.
If adequate funds are not available to make payments under this Agreement, CITY shall notify
SUBRECIPIENT in writing within a reasonable time after such fact has been determined. CITY may, at its
option, either reduce the amount of its liability or terminate the Agreement. If funds eligible for use for
purposes of this Agreement are reduced, CITY shall not be liable for farther payments due to
SUBRECIPIENT under this Agreement.
(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 liable for any cost or portion thereof which:
(a) has been paid or reimbursed, or is subject to payment or reimbursement, from any other source;
(b) was incurred prior to the beginning date or after the ending date specified in Section 1 ;
(c) is not in strict accordance with the terms of this Agreement, including all exhibits attached hereto;
(d) has not been billed to CITY within 90 calendar days following billing to SUBRECIPIENT, or termi-
nation of the Agreement, whichever date is earlier; or
(e) is not an allowable cost as defined by Section 10 of this Agreement or in the Budget set forth in
Exhibit B
(4) CITY shall not be liable for any cost or portion thereof which is incurred with respect to any activity of
SUBRECIPIENT requiring prior written authorization from CITY, or after CITY has requested that
SUBRECIPIENT furnish data concerning such action prior to proceeding farther, unless and until CITY
advises SUBRECIPIENT to proceed.
(5) CITY shall not be obligated or liable under this Agreement to any party other than SUBRECIPIENT for
payment of any monies or provision of any goods or services.
(6) Funding not expended within the term of this Agreement will revert to the City of Denton’s CDBG budget
for use on alternative services or projects.
SUBRECIPIENT’S Obligations. In consideration of the receipt of funds from the CITY, the SUBRECIPIENT
agrees to the following terms and conditions:
(1) Fifty Thousand Dollars ($50,000.00) may be paid to SUBRECIPIENT by CITY under the terms of this
Agreement on a reimbursement basis. Subrecipient shall be eligible for reimbursement only for expenditures
made in accordance with the Budget, set forth in Exhibit B to complete those services described in the Scope
of Services in Exhibit A. SUBRECIPIENT shall not utilize these funds for any other purpose.
(2) SUBRECIPIENT will establish, operate, and maintain an account system for this program that will allow for
a tracing of funds and a review of the financial status of the program. The system will be based on generally
accepted accounting principles as recognized by the American Institute of Certified Public Accountants.
(3) SUBRECIPIENT will permit authorized officials of CITY to review its books at any time.
(4) SUBRECIPIENT will reduce to writing all of its rules, regulations, and policies and file a copy with CITY’s
Community Development Office along with any amendments, additions, or revisions upon request.
(5) SUBRECIPIENT will not enter into any contracts that would encumber CITY funds for a period that would
extend beyond the term of this Agreement.
C
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(6) SUBRECIPIENT will promptly pay all bills when submitted unless there is a discrepancy in a bill; any errors
or discrepancies in bills shall be promptly reported to CITY’s Community Development Division for further
direction.
(7) SUBRECIPIENT will appoint a representative who will be available to meet with CITY officials when re-
quested.
(8) SUBRECIPIENT will indemnify and hold harmless CITY, its officers, elected and appointed officials,
agents, employees, and contractors from any and all claims and suits arising out of the services or activities
ofSUBRECIPIENT, its employees, and/or contractors.
(9) SUBRECIPIENT will submit to CITY copies of year-end audited financial statements.
5. COMPLIANCE WITH FEDERAI. STATE, AND LOCAL LAWS
SUBRECIPIENT shall comply with all applicable federal laws, laws of the State of Texas, and ordinances of the
City of Denton.
SUBRECIPIENT agrees to abide by the conditions of and comply with the requirements of the Office of Man-
agement and Budget’s 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Re-
quirements for Federal Awards.
SUBRECIPIENT shall give the CITY, HUD, the Comptroller General of the United States, the Auditor of the
State of Texas, and any of their authorized representatives, access to and the right to reproduce all records be-
longing to or in use by SUBRECIPIENT pertaining to this Agreement. Such access shall continue as long as
SUBRECIPIENT retains the records. SUBRECIPIENT shall maintain such records in an accessible location for
at least three (3) years after the end of the term.
SUBRECIPIENT agrees to abide by the conditions of this Agreement and all other applicable Federal, state, and
local laws and regulations such as the requirements of the Secretary of Labor in accordance with the Davis-Bacon
Act as amended, the provisions of the Contract Work Hours Safety Standards Act, the Copeland “Anti-Kickback
Act” (40 U.S.C. 276a-276a-5; 40 USC 327 and 40 USC 276c) pertaining to the performance of this Agreement.
SUBRECIPIENT shall refrain from entering into any subcontract for services without prior approval in writing
by CITY of the qualifications of the subcontractor to perform and meet the standards of this Agreement. All
subcontracts entered into by the SUBRECIPIENT will be subject to the requirements of this Agreement. The
SUBRECIPIENT agrees to be responsible to CITY for the performance of any subcontractor.
SUBRECIPIENT shall not use funding under this Agreement to influence the outcome of elections or the passage
or defeat of any legislative measures. SUBRECIPIENT understands that funds provided to it pursuant to this
Agreement are funds which have been made available to CITY by the Federal Government (U.S. Department of
Housing and Urban Development) under the ACT, in accordance with an approved Grant Application and spe-
cific assurances. Accordingly, SUBRECIPIENT assures and cenifies that it will comply with the requirements
of the ACT and with regulations promulgated thereunder, and codified at 24 CFR Part 570. The foregoing is in
no way meant to constitute a complete compilation of all duties imposed upon SUBRECIPIENT by law or ad-
ministrative ruling, or to narrow the standards which SUBRECIPIENT must follow.
SUBRECIPIENT farther agrees and certifies that if the regulations and issuances promulgated pursuant to the
ACT are amended or revised, it shall comply with them, or notify CITY, as provided in Section 23 of this Agree-
ment
SUBRECIPIENT is required to comply with the applicable Uniform Administrative Requirements, Cost Princi-
pIes, and Audit Requirements for Federal Awards as described in 24 CFR §570.502 and 24 CFR Part 570 subpart
K with the exceptions noted below:
( 1) SUBRECIPIENT does not assume CITY’S environmental responsibilities described at 24 CFR §570.604.
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A.
B.
A.
B.
C.
D.
E.
F
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(2) SUBRECIPIENT does not assume the CITY’s responsibility for initiating the review process under the pro-
visions of 24 CFR Part 52.
SUBRECIPIENT agrees to comply with 24 CFR Part 135 – Section 3 Regulations, and all applicable rules and
orders issued thereunder prior to the execution of this Agreement. The SUBRECIPIENT certifies that no con-
tractual or other disability exists which would prevent compliance with these requirements.
G.
6. PERFORMANCE BY SUBRECIPIENT
SUBRECIPIENT will provide, oversee, administer, and carry out the activities and services set out in the Scope of
Services described in Exhibit A, utilizing the funds in accordance with the budget described in Exhibit B. Both parties
agree and acknowledge that the amount of funds provided hereunder is necessary and sufficient payment for full and
satisfactory performance of the program in accordance with all terms, provisions, and requirements of this Agree-
ment. No modifications or alterations may be made to the Scope of Services or Budget without the prior written
approval of the CITY’s Director of Community Services.
7. PAYMENTS
Payments to SUBRECIPIENT. The CITY shall pay to SUBRECIPIENT a maximum amount of money not to
exceed Fifty Thousand Dollars- $50,000.00 for services rendered under this Agreement. The CITY will pay these
funds on a reimbursement basis to SUBRECIPIENT within twenty-one days after CITY has received supporting
documentation of eligible expenditures. Expenses incurred on or after October 1, 2023 may be eligible for nim-
bursement. Documentation of expenditures must be submitted to the Community Development Division by the
dates required by Community Development. SUBRECIPIENT’S failure to provide the information on a timely
basis may jeopardize present or future fLmding.
(1) Funds are to be used for the sole purpose of providing the services described in the Scope of Services in
Exhibit A and based on the Budget in Exhibit B.
(2) SUBRECIPIENT’s reimbursement request for any one-month period will not exceed one-fourth (1/4) of
any budgeted line items for costs as specified in Exhibit B without prior written authorization from the
CITY
(3) if, in CITY’s sole judgment, SUBRECIPIENT’s reimbursement request for any period does not provide
sufficient documentation of allowable expenditures or if CITY requests inspection or verification of claimed
expenditures after receipt of a reimbursement request, CITY may withhold reimbursement for those expend-
itures for an amount of time deemed reasonable by CITY pending such inspection, verification, or receipt of
documentation.
Excess Payment. SUBRECIPIENT shall refund to CITY within ten working days of CITY’s request, any sum
of money which has been paid by CITY and which CITY at any time thereafter determines:
( 1) has resulted in overpayment to SUBRECIPIENT; or
(2) has not been spent strictly in accordance with the terms of this Agreement; or
(3) is not supported by adequate documentation to nIlly justify the expenditure.
Disallowed Costs. Upon termination of this Agreement, should any expense or charge for which payment has
been made be subsequently disallowed or disapproved as a result of any auditing or monitoring by CITY, HUD,
or any other Federal agency, SUBRECIPIENT will refbnd such amount to CITY within ten working days of a
written notice to SUBRECIPIENT, which specifies the amount disallowed. Refunds of disallowed costs may not
be made from these or any funds received from or through CITY.
Reversion of Assets
A
B.
C
D
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( 1) SUBRECIPIENT, upon expiration of this Agreement, shall transfer to the CITY any funds on hand at the
time of expiration and any accounts receivable attributable to the use of funds.
(2) The reversion of these financial assets shall be in addition to any other remedy available to CITY either at
law or in equity for breach of this Agreement.
Obligation of Funds.
( 1) in the event that actual expenditure rates deviate from SUBRECIPIENT’s provision of a corresponding level
of performance, as specified in Exhibit A, CITY hereby reserves the right to reappropriate or recapture any
such under expended funds.
(2) if CITY finds that SUBRECIPIENT is unwilling and/or unable to comply with any of the terms of this
Agreement, CITY may require a refund of any and all money expended pursuant to this Agreement by
SUBRECIPIENT, as well as any remaining unexpended funds which shall be refunded to CITY within ten
working days of a written notice to SUBRECIPIENT to revert these financial assets.
Contract Close Out. SUBRECIPIENT shall submit a final expenditure report, for the time period covered by
the last invoice requesting reimbursement of funds under this Agreement, within 15 working days following the
close of the Agreement period.
E.
F
8. ALLOWABLE COSTS
Costs must comply with eligible CDBG Program Activities pursuant to guidance published by HUD and CDBG
regulations located at 24 CFR Part 570.
Costs shall be considered allowable only if incurred directly and specifically in the performance of and in com-
pliance with this Agreement and in conformance with the standards and provisions of Exhibits A and B.
Approval of SUBRECIPIENT’s Budget, Exhibit B, does not constitute prior written approval, even though cer-
tain items may appear herein. CITY’s prior written authorization is required in order for the following to be
considered allowable costs:
1 ) Encumbrances or expenditures during any one-month period which exceeds one-fourth (1/4) of the total
budget for any particular line-item as specified in Exhibit B.
2) CITY shall not be obligated to any third parties, including any subcontractors ofSUBRECIPIENT, and CITY
funds shall not be used to pay for any contract service extending beyond the expiration of this Agreement.
3) Any alterations or relocation of the facilities on and in which the activities specified in Exhibit A are con-
ducted;
4) Any alterations, deletions, or additions to the Budget detail incorporated in Exhibit B;
5) Costs or fees for temporary employees or services;
6) Any fees or payments for consultant services; and
7) Fees for attending out of town meetings, seminars, or conferences.
Written requests for prior approval are SUBRECIPIENT’s responsibility and shall be made within sufficient time
to permit a thorough review by CITY. SUBRECIPIENT must obtain written approval by CITY prior to the com-
mencement of procedures to solicit or purchase services 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.
Expenditures will not be reimbursed to the SUBRECIPIENT for the purchase of real property or equipment.
These are not allowable costs under this Agreement.
A.
B.
C
D.
E
9. PROGRAM INCOME
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A.For purposes of this Agreement, “Program Income” means earnings of SUBRECIPIENT realized from activities
resulting from this Agreement or from SUBRECIPIENT’s management of funding provided or received hereun-
der. Such earnings include, but are not limited to, income from interest, usage or rental or lease fees, income
produced from contract-supported services of individuals or employees or from the use or sale of equipment or
facilities of SUBRECIPIENT provided as a result of this Agreement, and payments from clients or third parties
for services rendered by SUBRECIPIENT under this Agreement.
SUBRECIPIENT shall maintain records of the receipt and disposition of Program Income in the same manner as
required for other contract funds, and reported to CITY in the format prescribed by CITY. CITY and
SUBRECIPIENT agree that any fees collected for services performed by SUBRECIPIENT shall be used for
payment of costs associated with service provision. Revenue remaining after payment of all program expenses
for service provision shall be considered Program Income and shall be subject to all the requirements of this
Agreement and the regulations found at 24 CFR § 570.504.
SUBRECIPIENT shall include this Section in its entirety in all of its sub-contracts which involve other income-
producing services or activities,
It is SUBRECIPIENT’s responsibility to obtain from CITY a prior determination as to whether or not income
arising directly or indirectly from this Agreement, or the performance thereof, constitutes Program Income.
SUBRECIPIENT is responsible to CITY for the repayment of any and all amounts determined by CITY to be
Program Income, unless otherwise approved in writing by CITY.
B.
C.
D.
10. REPORTS AND INFORMATION
At such times and in such form as CITY may require, SUBRECIPIENT shall furnish such statements, records, data,
and information as CITY may request and deem pertinent to matters covered by this Agreement. SUBRECIPIENT
shall submit beneficiary and financial reports to CITY no less than once every three months. The beneficiary report
shall detail client information, including race, ethnicity, income, female head of household, and other statistics re-
quired by CITY. The financial report shall include information and data relative to all programmatic and financial
reporting as of the commencement date specified in Section 1 of this Agreement. Unless the CITY has granted a
written exemption, SUBRECIPIENT shall submit an audit conducted by independent examiners in accordance with
Generally Accepted Accounting Principles. If the SUBRECIPIENT expends $750,000 or more in federal funding,
the audit must be conducted in accordance with OMB audit requirements in 2 CFR Part 200, as applicable, within
thirty days after receipt of the auditor’s report(s) or within nine months after the end of the audit period, unless a
different period is specified in a program-specific audit guide.
11. MONITORING AND EVALUATION
SUBRECIPIENT agrees to participate in a monitoring and evaluation system whereby the services can be continu-
ously monitored. CITY shall perform monitoring of the SUBRECIPIENT’s performances under this Agreement.
A. SUBRECIPIENT agrees that CITY may carry out monitoring and evaluation activities to ensure adherence by
SUBRECIPIENT to the Scope of Services, Program Goals, and Objectives, which are attached hereto as Exhibit
A, as well as other provisions of this Agreement.
B. SUBRECIPIENT agrees to cooperate tally with CITY and provide data determined by CITY to be necessary for
CITY to effectively fulfill its monitoring and evaluation responsibilities.
C. SUBRECIPIENT 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.
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D.SUBRECIPIENT agrees to make available its financial records for review by CITY at CITY's discretion. In
addition, SUBRECIPIENT agrees to provide CITY the following data and reports, or copies thereof:
(1) All external or internal evaluation reports;
(2) Performance/beneficiary reports to be submitted in the schedule published by the CITY’s Community De-
velopment Division. Reports shall include such information as requested by the CITY’s Community Devel-
opulent Division including but not limited to: number of persons or households assisted, race, gender, disa-
bility status, and household income. Beneficiary reports shall be due to CITY within 15 working days after
the completion of required reporting period. SUBRECIPIENT agrees to submit financial statements no less
than once every three months. Each statement shall include current and year to date period accounting of all
revenues, expenditures, outstanding obligations, and beginning and ending balances. Financial reports shall
be due to CITY within 15 working days after the completion of required reporting period; and
(3) An explanation of any major changes in program services.
To comply with this section, SUBRECIPIENT agrees to maintain records that will provide accurate, current,
separate, and complete disclosure of the status of funds received and the services performed under this Agree-
ment. SUBRECIPIENT’s record system shall contain sufficient documentation to provide in detail full support
and justification for each expenditure. SUBRECIPIENT agrees to retain all books, records, documents, reports,
and written accounting procedures pertaining to the services provided and expenditure of funds under this Agree-
ment for the period of time and under the conditions specified by the CITY. Nothing in the above subsections
shall be construed to relieve SUBRECIPIENT of responsibility for retaining accurate and current records, which
clearly reflect the level and benefit of services, provided under this Agreement.
After each official monitoring on-site visit, CITY shall provide SUBRECIPIENT with a written report of monG
toring findings, documenting findings, and concerns that will require a written response to the CITY. An ac-
ceptable written response must be received by the CITY within 60 days from the SUBRECIPIENT’s receipt of
the monitoring report or audit review letter. Future payments under this Agreement can be withheld for the
SUBRECIPIENT’s failure to submit a written response within 60 days.
SUBRECIPIENT shall submit copies of any fiscal, management, or audit reports by any of the
SUBRECIPIENT’s fbnding or regulatory bodies to CITY within ten working days of receipt by the
SUBRECIPIENT.
E.
F.
G.
12. MAINTENANCE OF RECORDS
SUBRECIPIENT agrees to maintain 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 Exhibit A and
Exhibit B, and with any other applicable Federal and State regulations establishing standards for financial man-
agement. SUBRECIPIENT’s expenditures of funds made under this Agreement will conform to 2 CFR §200,
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, as they
pertain to costs incurred, audits, program income, administration, and other activities and ftmctions.
SUBRECIPIENT’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 SUBRECIPIENT of fiscal
accountability and liability under any other provision of this Agreement or any applicable law. SUBRECIPIENT
shall include the substance of this provision in all subcontracts.
SUBRECIPIENT agrees to retain all books, records, documents, reports, and written accounting procedures per-
taining to the operation of programs and expenditures of funds under this Agreement for five years after the
termination of all activities fUnded under this Agreement.
A.
B
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C.
D
Nothing in the above subsections shall be construed to relieve SUBRECIPIENT of responsibility for retaining
accurate and current records which clearly reflect the level and benefit of services provided under this Agreement.
At any reasonable time and as often as CITY may deem necessary, the SUBRECIPIENT shall make available to
CITY, HUD, or any of their authorized representatives, all of its records and shall permit CITY, HUD, or any of
their 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 of employment, and all other
data requested by said representatives.
13. DIRECTORS’ MEETINGS
During the term of this Agreement, SUBRECIPIENT 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 to give adequate notice, and shall include an agenda and a brief description of the matters to be
discussed. SUBRECIPIENT understands and agrees that CITY representatives shall be afforded access to all of the
Board of Directors’ meetings. Minutes of all meetings of SUBRECIPIENT’s governing body shall be available to
CITY within ten days after Board approval.
14. WARRANTIES
SUBRECIPIENT 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, accu-
rate, and fairly reflect the financial condition ofSUBRECIPIENT 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 SUBRECIPIENT.
C, No litigation or legal proceedings are presently pending or threatened against the SUBRECIPIENT.
D. None of the provisions herein contravene or are in conflict with the authority under which SUBRECIPIENT is
doing business or with the provisions of any existing indenture or agreement of SUBRECIPIENT,
E. SUBRECIPIENT 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 SUBRECIPIENT is subject to any lien or encumbrance of any character, except for current
taxes not delinquent, except as shown in the financial statements fbmished by SUBRECIPIENT to CITY.
G. 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.
15. COVENANTS
During the period of time that payment may be made hereunder and so long as any payments remain unliquidated,
SUBRECIPIENT shall not, without the prior written consent of the Director of Community Services or her au-
thorized representative:
a. Mortgage, pledge, or otherwise encumber or suffer to be encumbered, any of the assets of
SUBRECIPIENT now owned or hereafter acquired by it, or permit any pre-existing mortgages, liens, or
other encumbrances to remain on, or attached to, any assets of SUBRECIPIENT which are allocated to
the performance of this Agreement and with respect to which CITY has ownership hereunder.
A
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DocuSign Envelope ID: FAD3C3E7-0D5545BC-99EC>-71C434D62010
Sell, assign, pledge, transfer, or otherwise dispose of accounts receivables, notes, or claims for money
due or to become due.
b
c. Sell, convey, or lease all or a substantial part of its assets.
d. Make any advance or loan to, or incur any liability for any other firm, person, entity, or corporation as
guarantor, surety, or accommodation endorser.
e. Sell, donate, loan, or transfer any equipment or item of personal property purchased with funds paid to
SUBRECIPIENT by CITY, unless CITY authorizes such transfer in writing.
SUBRECIPIENT agrees, upon written request by CITY, to require its employees to attend training sessions
sponsored by the Community Development Division.
B.
16. INSURANCE
SUBRECIPIENT shall observe sound business practices with respect to providing such bonding and insurance
as would provide adequate coverage for the services provided pursuant to this Agreement.
The premises on and in which the services and activities described in Exhibit A are conducted, and the employees
conducting these services and activities, shall be covered by premise liability insurance, commonly referred to as
“Owner/Tenant” coverage, with CITY named as an additional insured. Upon request ofSUBRECIPIENT, CITY
may, at its sole discretion, approve alternate insurance coverage arrangements.
SUBRECIPIENT will comply with applicable workers’ compensation statutes and will obtain employers’ liabil-
ity coverage where available and other appropriate liability coverage for program participants, if applicable.
SUBRECIPIENT will maintain adequate and continuous liability insurance on all vehicles owned, leased, or
operated by SUBRECIPIENT. All employees of SUBRECIPIENT 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. Evidence of the employee’s current possession of a valid license and insurance must be maintained on
a current basis in SUBRECIPIENT’s files
Actual losses not covered by insurance as required by this Section are not allowable or eligible costs under this
Agreement, and remain the sole responsibility of SUBRECIPIENT.
The policy or policies of insurance shall contain a clause which requires that CITY and SUBRECIPIENT be
notified in writing of any cancellation or change in the policy at least 30 days prior to such change or cancellation.
A.
B.
C.
D.
E.
F.
17. CIVIL RIGHTS / EQUAL OPPORTUNITY
SUBRECIPIENT shan comply with all applicable equal employment opportunity and affirmative action laws or
regulations. The SUBRECIPIENT shall not discriminate against any employee or applicant for employment
because of race, color, creed, religion, national origin, gender, age, or disability. The SUBRECIPIENT will take
affirmative action to ensure that all employment practices are free from such discrimination. Such employment
practices include but are not limited to the following: hiring, upgrading, demotion, transfer, recruitment or re-
cruitment advertising, layoff, termination, rates of pay or other forms of compensation, and selection for training,
including apprenticeship.
SUBRECIPIENT shall comply with all applicable equal employment opportunity and affirmative action laws or
regulations. 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 the ACT, Section 504
of the Rehabilitation Act of 1973, the Americans with Disabilities Act of 1990, the Age Discrimination Act of
1975, Executive Order 1 1063 and Executive Order 1 1246 as amended by Executive Orders 11375 and 12086.
A.
B
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DocuSign Envelope ID: FAD3C3E7-0D55-45BC-99E0-71C434D62010
C.
D.
E
SUBRECIPIENT 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.
In the event of SUBRECIPIENT’s non-compliance with the non-discrimination requirements, CITY may cancel
or terminate the Agreement in whole or in part, and SUBRECIPIENT may be barred from further contracts with
CITY
[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 contract. As
used in this contract, the term “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 percent (51%) owned and controlled by minority group members or women. For the
purpose of these definitions, “minority group members” are Afro-Americans; Spanish-speaking, Spanish sur-
named, or Spanish-heritage Americans; Asian Americans; and American Indians. SUBRECIPIENT may rely on
written representations by businesses regarding their status as minority and female business enterprises in lieu of
an independent investigation.]
18. PERSONNEL POLICIES
Personnel policies shall be established by SUBRECIPIENT and shall be available for examination. Such personnel
policies shall:
A. include policies with respect to employment, salary and wage rates, working hours and holidays, fringe benefits,
vacation and sick leave privileges, and travel;
B. be in writing; and
C. be approved by the governing body of SUBRECIPIENT.
19. CONFLICT OF INTEREST
SUBRECIPIENT 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 per-
formed under this Agreement. SUBRECIPIENT 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.
SUBRECIPIENT further covenants that no member of its governing body or its staff, subcontractors, or employ-
ees shall possess any interest in or use his/her position for a purpose that is or gives the appearance of being
motivated by desire for private gain for himsel£(herself, or others, particularly those with which he/she has family,
business, or other ties.
No officer, member, or employee of CITY and no member of its governing body who exercises any function or
responsibilities in the review or approval of the undertaking or carrying out of this Agreement shall participate
in any decision relating to the Agreement which affects his or her personal interest or the interest in any corpo-
ration, partnership, or association in which he or she has a direct or indirect interest.
A.
B.
C
20. NEPOTISM
SUBRECIPIENT 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 SUBRECIPIENT, or is a member of SUBRECIPIENT’s governing board. The
term “member of immediate family” includes: wife, husband, son, daughter, mother, father, brother, sister, in-laws,
aunt, uncle, nephew, niece, stepparent, stepchild, half-brother, and half-sister,
Page 11 of 23
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