2006-255
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S:\Our Documents\Ordinances\06\Interfaith Ministries Ord.doc
ORDINANCE NO. d (leG - ,;<S.!J
AN ORDINANCE ACCEPTING A PROPOSAL AND AWARDING A CONTRACT FOR A '
UTILITY ASSISTANCE PROGRAM FOR LOW-INCOME HOUSEHOLDS; PROVIDING
FOR THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE
DATE (RFP 3504 UTILITY ASSISTANCE PROGRAM AWARDED TO INTERFAITH
MINISTRIES).
WHEREAS, the City has solicited, received and reviewed Interfaith Ministries' response
to the Request for Proposals for a Utility Assistance Program in accordance with the procedures
of State law and City ordinances; and
WHEREAS, the City Manager or designated employee has reviewed and recommended
that the herein described proposal is appropriate for administration of the Utility Assistance
Program as submitted; and
WHEREAS, funding for the Utility Assistance Program is provided by rate payers
through contributions to the Utility Trust Fund; NOW, THERFORE
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The proposal submitted by Interfaith Ministries for the administration of
the Utility Assistance Program is hereby accepted and approved as being the most responsible
and appropriate proposal for such services;
SECTION 2. By the acceptance and aRproval of the above request for proposals, the City
accepts the offer of Interfaith Ministries and their proposal and agrees to purchase the services in
accordance with the terms, and standards for the specified sums contained in the Request for
Proposals and related documents.
SECTION 3. The City and Interfaith Ministries having approved and accepted the
service proposal, wish to enter into a formal written agreement and as a result of the acceptance,
approval and awarding of the contract, the City Manager or his designated representative is
hereby authorized to execute the written contracts which shall be attached hereto; provided that
the written contract is in accordance with the terms, conditions and specified sums contained in
the Request for Proposals and related documents herein approved and accepted.
SECTION 4. By the acceptance and approval of the above Request for Proposals, the
City Council hereby authorizes the expenditure of funds therefore in the amount and in
accordance with the approved bids or pursuant to a written contract made pursuant thereto as
authorized herein.
SECTION 5. This ordinance shall be,come effective immediately upon its passage and
approval.
PASSED AND APPROVED this the /rJ,i!! day of ~f!e,;; 7i:mdtA)
~~OR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
,2006.
S:\Om Documents\Contracts\06\CDBG Funding Agreements 2006-07\Utility Asst Agreement06.doc
2006-2007
SERVICE AGREEMENT BETWEEN
THE CITY OF DENTON 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, 109 West Sycamore,
Denton, TX 76202 a Texas non-profit corporation, hereinafter referred to as
CONTRACTOR.
WHEREAS, CITY has received certain charitable contributions 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.
I. TERM
This Agreement shall commence on or as of September I, 2006, and shall
terminate on August 31, 2009, 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 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 account. The Utility
Assistance trust account holds funds that have been contributed by citizens.
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.
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.
(I) 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. If there are no contributions in the
Utility Assistance trust fund account for any month, CITY shall notify
CONTRACTOR in writing within a reasonable time after such fact has
been determined. The lack of any contributions 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
other than CONTRACTOR for providing funds or provision of any goods
or servIces.
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.
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.
Page 2 of 17
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
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.
Page 3 of 17
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.
8. 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. ALLOW ABLE 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.
(3) Any alterations or relocation of the facilities on and in which the activities
specified in Exhibit A are conducted.
(4) Costs or fees for temporary employees or services.
(5) Any fees or payments for consultant services.
(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 procurernent or
Page 4 of 17
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.
C. Program administration costs recovered for each month's services by
CONTRACTOR for Utility Service Trust Funds made available by City up to
$25,000 per calendar year, shall be paid at the rate of $333.33 per calendar month
or sixteen percent (16%) of the trust funds for a minimum of $4,000.00 per
calendar year. Program administration services by CONTRACTOR for Utility
Service Trust Funds made available by City in excess of $25,000 per calendar
year, shall be paid at the rate of fifteen percent (15%) of the trust fund amount
that exceeds $25,000 up to a maximum combined total of$12,000.00 per calendar
year. Program administration costs will be deducted by CONTRACTOR from the
monthly funding amount provided by the CITY.
10. MAINTENANCE OF RECORDS
A. CONTRACTOR 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 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 the period of time and
under the conditions specified by CITY.
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 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.
Page 5 of 17
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.
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 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 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.
Page 6 of 17
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. 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.
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-
Page 7 of 17
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 approved 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 who exercises any function or responsibilities in the
review or approval of the undertaking or carrying out of this Agreement
shall (I) 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.
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.
Page 8 of 17
19. 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 authorized by this contract
and ordinance authorizing Utility Assistance Program.
20. CHANGES AND AMENDMENTS
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 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 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.
Page 9 of 17
21. 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 XXII
may be effectuated.
22. TERMINATION
A. CITY may terminate this Agreemcnt for cause under any of the following reasons
or for other reasons not specifically enumerated in this paragraph:
(I) CONTRACTOR's failure to attain compliance during any prescribed
period of suspension as provided in Section 21
(2) CONTRACTOR's violation of covenants, agreements or guarantees of
this Agreement.
(3) Finding by CITY that CONTRACTOR:
(a) is in such unsatisfactory financial condition as to endanger
performance under this Agreement;
(b) is delinquent in payment of taxes, or of costs of performance of this
Agreement in the ordinary course of business.
(4) Appointment ofa trustee, receiver or liquidator for all or substantial part
of CONTRACTOR's property, or institution of bankruptcy,
reorganization, rearrangement of or liquidation proceedings by or against
CONTRACTOR.
(5) The commission of an act of bankruptcy.
Page 100fl?
(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 wntmg 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 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 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.
23. 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 or by mail.
24. 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 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
Page 11 of 17
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.
25. 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.
C. In no event shall any payment to CONTRACTOR hereunder, or any other
act or failure of CITY to insist in anyone 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
Page 12 of 17
among the parties shall be deemed made if sent postage paid to the parties
at the address set forth below:
TO CITY:
TO CONTRACTOR:
Community Development Administrator
City of Denton
101 S Locust Ste 500
Denton, Texas 76205
Condell Garden, Exec. Dir
Interfaith Ministries
109 W Sycamore St
Denton TX 76201
G. This Agreement shall be interpreted in accordance with the laws of the
State of Texas and venue of any litigation concerning this Agreement shall
be in a court competent jurisdiction sitting in Denton County, Texas.
IN WITNESS OF WHICH
day of &,ptElJ1h A)
this Agreement has been executed on this the _ /:2.--g.
,2006.
CITY OF DENTON
BY~~
HOWARD MARTIN, CIT MANAGER
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
~~\\~~<1liuA->
APPR~~~ LEGAL FpRM:
EDWIN:UPORNEY
BY: r
BY: ((Ndt} JJI(U:& /J,,-
EXECUTIVE DIRECTOR
ATTEST:
By:d;~v / At~J/)
BOARD SECRETARY
Page 13 of 17
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. The contributed 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 monthly 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 one
payment during a twelve-month period, unless otherwise 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 the customer's utility service is in jeopardy of disconnection.
3. Assistance will 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 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.
7. Priority will be given to households whose circumstances are as follows:
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 therein.
d. Disabled or homebound or elderly residents existing on a fixed
Income.
Page 140fl7
e. Small children reside therein.
f. Recent emergencies such as home fire, layoffs from work, excessive
medical expenses, etc., have occurred.
8. Preferences will be given to families that meet the income guidelines, have
resided in Denton for at least six (6) months, and 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:
I. CONTRACTOR is required to provide monthly 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.
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 collected from customers each month and deposit
in the Trust Fund.
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:
I. 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
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"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.
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EXHIBIT B
Qualifying Income Limits for Utility Assistance Program
Maximum Income Levels
Family Low Income Very-Low Income Extremely-Low Income
Size 65% AMI - <50% AMI 50% AMI- <30% AMI ~30% AMI
$30,250 . $23,301 $23,300 - $13,951 $13,950 or Below
2 $34,600 . $26,601 $26,600 - $15,951 $15,950 or Below
3 $38,900 . $29,951 $29,950 - $17,951 $17,950 or Below
4 $43,250 . $33,251 $33,250 - $19,951 $19,950 or Below
5 $46,700 . $35,901 $35,900 - $21,551 $21,550 or Below
6 $50,150 . $38,551 $38,550 - $23,151 $23,150 or Below
7 $53,600. $41,251 $41,250 - $24,751 $24,750 or Below
8 $57,050. $43,901 $43,900 - $26,351 $26,350 or Below
Source:
U.S. Department of Rousing and Urban Development
Effective: March 2006
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