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Memorandum of Understanding with Helping Hands Food KO OP Inc. and Saint Vincent de Paul Society at St. Patrick Catholic Church and Teen Job Corps, Inc. P 0 g MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF MIAMI BEACH AND HELPING HANDS FOOD KO OP INC., AND SAINT VINCENT DE PAUL SOCIETY AT ST. PATRICK CATHOLIC CHURCH, AND TEEN JOB CORPS, INC. THIS MEMORANDUM OF UNDERSTANDING ("MOU" and/or the "Agreement") is made this s da y of J Ctiotai , 201.E between the City of Miami Beach, a municipal corporation of the State 6f Florida ("CITY"), and the following Community Partners ("Community Partners"): • Helping Hands Food Ko Op Inc. • The Saint Vincent De Paul Society at St. Patrick Catholic Church (St. Patrick Church) • Teen Job Corps, Inc. WHEREAS, the City has determined, through its One-Year Action Plan for federal funds for Fiscal Year 2014/2015, the necessity for engaging the Community Partners to render the following project in Miami Beach: delivery of groceries to food- insecure households; and WHEREAS, the Community Partners are providing services for a high priority need identified in the City's FY 2013-2017 Consolidated Plan approved by the City Commission on June 5, 2013; and WHEREAS, the City Manager's designee, as designated in Section 22 herein, shall be responsible for monitoring this MOA on behalf of the City unless otherwise indicated in this MOA; and WHEREAS, on December 17, 2014, pursuant to Resolution Number 2014- 28866, the City Commission authorized the City Manager to execute this MOA with the Community Partners for the provision of a grocery delivery program; and NOW, THEREFORE, in consideration of the mutual benefits contained herein, CITY and Community Partners agree as follow: Section 1. Agreement Documents: Agreement documents shall consist of this Agreement and four(4) Exhibits, all of which are incorporated by reference into this Agreement: • Exhibit A- Scope of Services • Exhibit B - Documentation • Exhibit C - Budget • Exhibit D - Financial Management for CDBG-Funded Activities • Exhibit E— Monitoring Checklist Page 1 of 28 Section 2. Statement of Work: The Community Partners agree to implement the Program in accordance with Exhibits A and B, and as summarized as follows: Provision of Grocery Packages: Community Partners will assist with the receipt and storage of food items from a variety of food distribution sources (including Farm Share and • Sysco)for the packaging and delivery to income-eligible households. Section 3. Agreement Amount: City agrees to make available General Fund Grant funds in the amount of $10,000 and $18,558.80 in Community Development Block Grant funds for use by the Community Partners and as delineated in Exhibit C during the Term of the Agreement. Section 4. Alterations: Any proposed alterations in the Program including, without limitation, the Budget in Exhibit C, shall first be submitted, reviewed, and approved in writing by the City Manager. Section 5. Method of Payment and Reporting Requirements: The Community Partners agree to submit monthly Project Status Reports describing the progress made by Community Partners in achieving the objectives identified in the Scope of Services, and shall include photographs of recent progress. The status report shall be submitted no later than ten (10) days after the end of each month. Other reporting requirements may be required by the City in the event legislative amendments are enacted or as the City Manager may reasonably deem necessary. The Community Partners shall be informed, in writing, if any changes become necessary. Section 6. Monitoring: The City, at its discretion, through the City Manager's designee, shall schedule no less than one (1) annual on-site monitoring visit with the Community Partners to evaluate the progress and performance of the Program and to provide technical assistance; a desk top review of the activities may be conducted in lieu of an on-site visit. Section 7. Additional Conditions and Compensation - It is expressly understood and agreed by the parties hereto that monies to be used by the Community Partners for compensation, as contemplated by this Agreement, originate from grants of Community Development Block Grant (CDBG) funds from the U.S. Department of Housing and Urban Development (HUD) and must be implemented in full compliance with all of HUD's rules and regulations. It is expressly understood and agreed that in the event of curtailment or non-production of said federal funds, the financial sources necessary to continue to pay the Community Partners all or any portions of the funds contemplated herein will not be available, and that this Agreement will thereby terminate effective as of the time that it is determined by the City Manager, in his sole discretion and judgment, that said funds are no longer available. Section 8. Compliance with Local, State and Federal Regulations - The Community Partners agree to comply with all applicable federal regulations as they may apply to Program administration and to carry out Page 2 of 28 each activity in compliance with the laws and regulations as described in 24 CFR 92 Subpart K, as same may be amended from time to time. Additionally, the Community Partners will comply with all State and local (City and County) laws and ordinances hereto applicable. Section 9. Subcontract: No part of this Agreement may be assigned or subcontracted. Section 10. Term: This Agreement shall be deemed to have commenced retroactively on October 1, 2014 and shall terminate on December 1, 2015. Section 11. Termination of Agreement: 11.1 Termination for Convenience: The City and the Community Partners agree that the City, through its City Manager may terminate this Agreement, for convenience and without cause, upon written notice to the parties, at least thirty (30) days prior to the effective date of such termination. In the event of such termination for convenience, the City shall cease any payments to the Community Partners for costs resulting from obligations, which were not properly incurred before the effective date of termination. Additionally, the Community Partners shall be solely responsible for submitting a final report, as provided in Section 5 of the Agreement, detailing all Program objectives, activities and expenditures up to the effective date of the termination. Said "final report" shall be due within five (5) working days following the effective date of the termination. Upon timely receipt of Community Partners' "final report", the City, at its sole discretion, shall determine the amount (if any) of CDBG funds to be returned to the City as a result of any incomplete Program items and/or items not satisfactorily performed, and shall provide the Community Partners with written notice of any monies due. Said monies shall be due immediately and payable upon receipt of such notice by Community Partners. 11.2 [Intentionally omitted] 11.3 Termination for Lack of Funds: In the event of curtailment of, or regulatory constraints placed on the funds by HUD, this Agreement will terminate, effective as of the time that it is determined such funds are no longer available. Costs of the Community Partners resulting from obligations incurred after termination are not allowable unless the City expressly authorizes them in the notice of termination, or subsequent thereto. Other costs after termination which are necessary and not reasonably avoidable are allowable if, in the sole discretion of the City: a. The costs resulting from obligations which were properly incurred before the effective date of termination, are not in anticipation of it, and, in the case of termination, are noncancelable; and b. The costs would be allowable if the award expired normally at the end of the funding period in which the termination takes effect. Page 3 of 28 Section 12. Equal Employment Opportunities: The Community Partners shall comply with equal employment opportunities as stated in Executive Order 11246, entitled "Equal Employment Opportunity" as amended Executive Order 11375, and as supplemented in Department of Labor regulations. Section 13. Program Income: [Intentionally deleted] Section 14. Religious Organization or Owned Property: [Intentionally deleted] Section 15. Reversion of Assets: [Intentionally deleted] Section 16. Conformity to HUD regulations: The Community Partners agree to abide by guidelines set forth by HUD for the administration and implementation of the CDBG Program, including applicable Uniform Administrative Requirements set forth in 24 CFR 92.508, and applicable federal laws and regulations in 24 CFR 92. In this regard, the Community Partners agrees that duly authorized representatives of HUD shall have access to any books, documents, papers and records of the Community Partners that are directly pertinent to this Agreement for the purpose of making audits, examinations, excerpts and transcriptions. The Community Partners shall comply with the requirements and standards of OMB Circular No. A-122, "Cost Principles for Non-profit Organizations", or OMB Circular No. A-21, "Cost Principles for Educational Institutions" as applicable. The Community Partners shall comply with the following provisions of the Uniform Administrative requirements of OMB Circular A- 110 (implemented at 24 CFR Part 84, "Uniform Administrative Requirements for Grants and Agreements With Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations") or the related HOME provision, as specified in this paragraph: a. Subpart A- "General"; b. Subpart B - "Pre-Award Requirements", except for 84.12, "Forms for Applying for Federal Assistance"; c. Subpart C- "Post-Award Requirements", except for: (1) Section 84.22, "Payment Requirements" - Grantees shall follow and 85.21 in making payments to the standards of 85.20(b)(7) g p y Community Partners; (2) Section 84.23, "Cost Sharing and Matching"; (3) Section 84.24, "Program Income" ; (4) Section 84.25, "Revision of Budget and Program Plans"; (5) Section 84.32, "Real Property" ; (6) Section 84.34(g), "Equipment" Page 4 of 28 (7) Section 84.51(b), (c), (d), (e), (f), (g), and (h), "Monitoring and Reporting Program Performance"; (8) Section 84.52, "Financial Reporting"; (9) Section 84.53(b), "Retention and access requirements for records". Section 84.53(b) applies with the following exceptions: (10) Section 84.61, "Termination" ; and d. Subpart D - "After-the-Award Requirements" - except for 84.71, "Closeout Procedures". Section 17. [Intentionally deleted] Section 18. Examination of Records: The Community Partners shall maintain sufficient records in accordance with 24 CFR 92.508 to determine compliance with the requirements of this Agreement, the CDBG, and all applicable laws and regulations. This documentation shall include, but not be limited to, the following: a. Books, records and documents in accordance with generally accepted accounting principles, procedures and practices, which sufficiently and properly reflect all revenues and expenditures of funds provided directly or indirectly by this Agreement, including matching funds. These records shall be maintained to the extent of such detail as will properly reflect all net costs, direct and indirect labor, materials, equipment, supplies and services, and other costs and expenses of whatever nature for which reimbursement is claimed under the provisions of this Agreement; b. Time sheets for split-funded employees, which work on more than one activity, in order to record the CDBG activity delivery cost by Program and the non-CDBG related charges; and c. How the Statutory National Objective(s) as defined in 24 CFR 205 and the eligibility requirement(s) under which funding has been received, have been met. These also include special requirements such as necessary and appropriate determinations as defined in 24 CFR 92.203, income certifications, and written Agreements with beneficiaries, where applicable. The Community Partners are responsible for maintaining and storing all records pertinent to this Agreement in an orderly fashion in a readily accessible, permanent and secured location for a period of four (4) years after expiration of this Agreement, with the following exception: if any litigation, claim or audit is started before the expiration date of the four year period, the records will be maintained until all litigation, claims or audit findings involving these records are resolved. The City shall be informed in writing after closeout of this Agreement, of the address where the records are to be kept. Page 5 of 28 Section 19. Audits and Inspections: At any time during normal business hours, and as often as City and/or Federal Government representatives may deem necessary, the Community Partners shall make available all records, documentation, and any other data relating to all matters covered by the Agreement for review, inspection or audit. Section 20. Conflict of Interest: The Community Partners covenant that no person under its employ who presently exercises any functions or responsibilities in connection with Community Development funded activities has any personal financial interests, direct or indirect, in this Agreement. The Community Partners covenants that in the performance of this Agreement, no person having such conflicting interest shall be employed. The Community Partners covenant that it will comply with all provisions of 24 CFR 92.356 "Conflict of Interest", and the Federal, State, County and City of Miami Beach statutes, regulations, ordinances or resolutions governing conflicts of interest. The Community Partners shall disclose, in writing, to the City any possible conflicting interest or apparent impropriety that is covered by the above provisions. This disclosure shall occur immediately upon knowledge of such possible conflict. The City will then render an opinion, which shall be binding on both parties. Section 21. Venue: This Agreement shall be governed by, and construed in accordance with, the laws of the State of Florida, both substantive and remedial, without regard to principles of conflict of laws. The exclusive venue for any litigation arising out of this Agreement shall be Miami-Dade County, Florida, if in state court, and the U.S. District Court, Southern District of Florida, if in federal court. Section 22. Notices: All notices required under this Agreement shall be sent to the parties at the following address: City: Jimmy L. Morales, City Manager City of Miami Beach 1700 Convention Center Drive Miami Beach, FL 33139 and City Manager's Designee: Maria L. Ruiz, Director Housing and Community Services City of Miami Beach 555 17th Street Miami Beach, FL 33139 Community Partners: Ahraon Greenberg, Vice President Helping Hands Food Ko Op Inc. 4000 Alton Road Miami Beach, FL 33140 Page 6 of 28 St. Patrick Church 3716 Garden Avenue Miami Beach, Florida 33140 Deborah Ruggiero, Executive Director Teen Job Corps 7536 Gary Avenue Miami Beach, Florida 33141 IN WITNESS WHEREOF, THE CITY OF MIAMI BEACH OFFICE OF HOUSING AND COMMUNITY DEVELOPMENT AND THE CITY OF MIAMI BEACH OFFICE OF COMMUNITY SERVICES have executed this Agreement as of the day and year first written above by their duly authorized representatives. HELPING HANDS FOOD KO OP INC. a Florida not-for-profit corporation (/&f/2O3' Aharon Greenberg, Vice-President Date N i CHURCH ��`ENT DE AUL SOCIETY AT ST. PATRICK CHURCH BY: ST. PATRICK CATH• ;4•� � i �ilson, Officer Date TEEN JOB CORPS, INC. A Florida not-for-profit corporation ' / 24c Deborah Ruggiero, 'xec41i f Director Pat: CITY OF MIAMI BEACH a Florida Municipal corporation: ATTEST: 1 ^�. like- � — = NIUMIIIIIr �s Rafae . Granath, City r le � . J,��i y L. Mo les, City Manager 'f n'•., G ran s:-i H 96 A FO RM & LANGUAGE &FOR EXECUTION Page 7 of 28 D61-444 Dote City Attorney 'r EXHIBIT "A" "SCOPE OF SERVICES" The Community Partners agree to provide the following: Community Partner � r-a;Service�- �=�k 'Units rs Documentation Helping Hands Food Ko 1 lb Butter Packages 270 Invoice O. Inc. 1 dozen e•• •acka•es 1,170 St. Patrick Church Grocer •ackages 1,170 Invoice Teen Job Corps, Inc. Package & Delivery of 1,170 Invoice & Delivery •rocer packa•es Receipts Related Definitions: Davis-Bacon Act Compliance — The Davis-Bacon Act applies to contractors and subcontractors performing on federally funded or assisted contracts in excess of $2,000 for the construction, alteration, or repair (including painting and decorating) of public buildings or public works. Davis-Bacon Act and Related Act contractors and subcontractors must pay their laborers and mechanics employed under the contract no less than the locally prevailing wages and fringe benefits for corresponding work on similar projects in the area. The Davis-Bacon Act directs the Department of Labor to determine such locally prevailing wage rates. Affordable housing rehabilitation projects of eight (8) or more units using CDBG funds must ensure Davis-Bacon Act compliance. Affordable housing rehabilitation projects of 12 or more units using HOME funds must ensure Davis- Bacon Act compliance. Environmental Review Projects must have an Environmental Review unless they meet criteria specified in HUD regulations that would exempt or exclude them from Request for Release of Funds (RROF) and environmental certification requirements (24 CFR sections 58.1, 58.22, 58.34, 58.35 and 570.604). Evidence of Procurement — All expenses incurred with grant funds require evidence of procurement according to this Agreement. Please carefully read the Agreement and related HUD rules to ensure compliance. HUD Income Limits — The Community Partner must ensure that HUD Income Limits (household income) are utilized when determining client eligibility for HUD- funded services. Income limits are posted further below. Monthly Progress Report — The Community Partner is required to submit a monthly project progress report by thelOth of the following month. The report must be signed by the person who prepared the report as well as the agency's authorizing party. The report summarizes the progress made, expenses incurred and deliverables completed. This report must be completed regardless of Page 8 of 28 whether or not funds are requested. Monthly Financial Report — The Community Partner is required to submit a monthly financial report by the 10th of the following month regardless of whether or not funds are requested. The report delineates project expenses incurred including non-City funds and must include the corresponding evidence of expense incurred for any expense which is being submitted for reimbursement. Monthly Proformas — All Capital projects with multiple (more than one) funding sources require the submission of monthly proformas to the City. Professional Services Contracts — Professional services funded through this Agreement must adhere to procurement guidelines as appropriate and have executed written agreements between the Community Partner and the respective Vendor. Contracts must, at a minimum, specify the cost, timeline and scope of service. A copy of all professional service contracts must be submitted to the City prior to reimbursement request. Proof of Insurance — Evidence of appropriate and required insurance must be submitted prior to contract execution. No City funds will be disbursed prior to submission of required insurance coverage. Retainage — All capital projects are subject to the withholding of 10 percent of appropriate expenses in the form of a retainage. All retained funds will be released when the project fulfills its National Objective. Section 3 Compliance — Any Agreement greater than $200,000 that involves rehabilitation, housing construction, or other public construction, requires the Community Partner complete and submit to the City Form HUD 60002, Section 3 Summary Report, Economic Opportunities for Low- and Very-Low Income Persons (OMB No. 2529-0043). Service Deliverables Services must be delivered as follows: For Helping Hands Food Ko Op Inc.: e Service Sarvice— iof Service r':,, ;`,Service rLocation, Timeframe Butter 1 pound package St. Patrick's Church 30 orders p/contract Eggs 1 dozen St. Patrick's Church ; 39 orders p/contract For St. Patrick Church: fy a '¢F Service Unit of Service:. Service Location Timeframe Grocery Packages 1 varied food package St. Patrick's Church 39 orders p/contract Page 9 of 28 For Teen Job Corps, Inc.: Service ( Unit of Service Service Location Timeframe Delivery of Grocery 1 varied food package Throughout City i 39 weeks p/contract Packages Service Benchmarks For Helping Hands Food Ko Op Inc.: Service Benchmark(s) Butter Invoice and delivery to St. Patrick's Church Eggs Invoice and delivery to St. Patrick's Church For St. Patrick Church: Service Benchmark(s) Grocer Packa•es Invoice and deliver to Teen Job Cores, Inc. For Teen Job Corps, Inc.: Service Benchmark(s) Packaging and Delivery of Invoice and delivery to income-eligible households Grocer Packa•es Service Documentation Services will be deemed as provided when the following documentation is provided within the noted timeframes: For Helping Hands Food Ko Op Inc.: Service Documentation Submission Deadline Butter& Eggs Invoice from supplier I Within 30 days of receipt For St. Patrick Church: Service Documentation I Submission Deadline Grocery Packages Invoice detailing items in grocery packages Within 30 days of delivery I For Teen Job Corps, Inc.: Service Documentation Submission Deadline Delivery I Invoice w/households receiving packages 1 Within 30 days of delivery Page 10 of 28 Applicable Federal Regulations The Community Partner must apply to all applicable federal regulations including: I. Non-Discrimination and Equal Access No person in the United States shall on the grounds of race, color, national origin, religion or sex be excluded, denied benefits or subjected to discrimination under any program funded in whole or in part by CDBG/HOME funds. The Community Partners must take measures to ensure non-discriminatory treatment, outreach and access to program resources. This applies to employment and contracting, as well as to marketing and selection of program participants. Fair Housing and Equal Opportunity The Community Partners must comply with all the following Federal laws, executive orders and regulations pertaining to fair housing and equal opportunity. They are summarized below: Title VI of the Civil Rights Act of 1964, As Amended (42 USC 2000d et seq.): States that no person may be excluded from participation in, denied the benefits of, or subjected to discrimination under any program or activity receiving Federal financial assistance on the basis of race, color or national origin. The regulations implementing the Title VI Civil Rights Act provisions for HUD programs may be found in 24 CFR Part 1. The Fair Housing Act (42 USC 3601-3620): Prohibits discrimination in the sale or rental of housing, the financing of housing or the provision of brokerage services against any person on the basis of race, color, religion, sex, national origin, handicap of familial status. Fair Housing Act implementing regulations may be found in 24 CFR Part 100-115. Equal Opportunity in Housing (Executive Order 11063, as amended by Executive Order 12259): Prohibits discrimination against individuals on the basis of race, color, religion, sex or national origin in the sale, rental, leasing or other disposition of residential property, or in the use or occupancy of housing assisted with Federal funds. Equal Opportunity in Housing regulations may be found in 24 CFR Part 107. Age Discrimination Act of 1975, As Amended (42 USC 6101): Prohibits age discrimination in programs receiving Federal financial assistance. Age Discrimination Act regulations may be found in 24 CFR Part 146. Section 109 of Title I of the Housing and Community Development Act of 1974: Requires that no person shall be excluded from participation in, denied the benefits of, or be subjected to discrimination under any program or activity funded with CDBG/HOME funds on the basis of race, color, religion, national origin or sex. Page 11 of 28 1 Handicapped Accessibility The CDBG/HOME regulations also require adherence to the three following regulations governing the accessibility of Federally-assisted buildings, facilities and programs. Americans with Disabilities Act (42 USC 12131; 47 USC 155, 201, 218 and 225): Provides comprehensive civil rights to individuals with disabilities in the areas of employment, public accommodations, state and local government services and telecommunications. The Act, also referred to as the ADA, also states that discrimination includes the failure to design and construct facilities (built for first occupancy after January 26, 1993) that are accessible to and usable by persons with disabilities. The ADA also requires the removal of architectural and communication barriers that are structural in nature in existing facilities. Removal must be readily achievable, easily accomplishable and able to be carried out without much difficulty or expense. • Fair Housing Act: Multi-family dwellings must also meet the design and construction requirements at 24 CFR 100.205, which implement the Fair Housing Act (42 USC 3601-19) Section 504: Section 504 of the Rehabilitation Act of 1973 prohibits discrimination in federally assisted programs on the basis of handicap. Section 504 imposes requirements to ensure that "qualified individuals with handicaps" have access to programs and activities that receive Federal funds. Under Section 504, recipients and Community Partners are not required to take actions that create unique financial and administrative burdens or after the fundamental nature of the program. For any Community Partners principally involved in housing or social services, all of the activities of the agency -- not only those directly receiving Federal assistance -- are covered under Section 504. Contractors or vendors are subject to Section 504 requirements only in the work.they do on behalf of the Community Partners or the City. The ultimate beneficiary of the Federal assistance is not subject to Section 504 requirements. The Architectural Barriers Act of 1968 (42 USC 4151-4157): Requires certain Federal and Federally-funded buildings and other facilities to be designed, constructed or altered in accordance with standards that ensure accessibility to, and use by, physically handicapped people. II. Employment and Contracting The Community Partners must comply with the regulations below governing employment and contracting opportunities. These concern equal opportunity, labor requirements and contracting/procurement procedures. Equal Opportunity The Community Partners must comply with the following regulations that ensure equal opportunity for employment and contracting: Page 12 of 28 Equal Employment Opportunity, Executive Order 11246, as amended: Prohibits discrimination against any employee or applicant for employment because of race, color, religion, sex or national origin. Provisions to effectuate this prohibition must be included in all construction contracts exceeding $10,000. Implementing regulations may be found at 41 CFR Part 60. Section 3 of the Housing and Urban Development Act of 1968: Requires that, to the greatest extent feasible, opportunities for training and employment arising from CDBG/HOME funds will be provided to low-income persons residing in the program service area. Also, to the greatest extent feasible, contracts for work (all types) to be performed in connection with CDBG/HOME will be awarded to business concerns that are located in or owned by persons residing in the program service area. Minority/Women's Business Enterprise: Under Executive Orders 11625, 12432 and 12138, the City and the Community Partners must prescribe procedures acceptable to HUD for a minority outreach program to ensure the inclusion, to the maximum extent possible, of minorities and women, and entities owned by minorities and women, in all contracts (see 24 CFR 85.36(e)). Labor Requirements The Community Partners must comply with certain regulations on wage and labor standards. In the case of Davis-Bacon and the Contract Work Hours and Safety Standards Acts, every contract for construction (in the case of residential construction, projects with eight or more units) triggers the requirements. Davis-Bacon and Related Acts (40 USC 276(A)-7): Ensures that mechanics and laborers employed in construction work under Federally-assisted contracts are paid wages and fringe benefits equal to those that prevail in the locality where the work is performed. This act also provides for the withholding of funds to ensure compliance, and excludes from the wage requirements apprentices enrolled in bona fide apprenticeship programs. Contract Work Hours and Safety Standards Act, as amended (40 USC 327- 333): Provides that mechanics and laborers employed on Federally-assisted construction jobs are paid time and one-half for work in excess of 40 hours per week, and provides for the payment of liquidated damages where violations occur. This act also addresses safe and healthy working conditions. Copeland (Anti-Kickback) Act (40 USC 276c): Governs the deductions from paychecks that are allowable. Makes it a criminal offense to induce anyone employed on a Federally assisted project to relinquish any compensation to which he/she is entitled, and requires all contractors to submit weekly payrolls and statements of compliance. Fair Labor Standards Act of 1938, As Amended (29 USC 201, et. seq.): Establishes the basic minimum wage for all work and requires the payment Page 13 of 28 of overtime at the rate of at least time and one-half. It also requires the payment of wages for the entire time that an employee is required or permitted to work, and establishes child labor standards. Contracting and Procurement Practices The CDBG/HOME programs are subject to certain Federal procurement rules. In addition, the City and the Community Partners must take measures to avoid hiring debarred or suspended contractors or Community Partners and conflict-of- interest situations. Each is briefly discussed below. Procurement: For the City, the procurement standards of 24 CFR 85.36 apply. For non-profit organizations receiving CDBG/HOME funds, the procurement requirements at 24 CFR Part 84 apply. Conflict of Interest: The CDBG regulations require grantees (the City), state recipients and Community Partners (the Community Partners) to comply with two different sets of conflict-of-interest provisions. The first set of provisions comes from 24 CFR Parts 84 and 85. The second, which applies only in cases not covered by 24 CFR Parts 84 and 85, is set forth in the CDBG regulations. Both sets of requirements are discussed below. - The provisions at 24 CFR 85.36 and 24 CFR 84.42 apply in the procurement of property and services by grantees (the City), state recipients, and Community Partners (the Community Partners). These regulations require the City and the Community Partners to maintain written standards governing the performance of their employees engaged in awarding and administering contracts. At a minimum, these standards must: - Require that no employee, officer, agent of the City or the Community Partners shall participate in the selection, award or administration of a contract supported by CDBG/HOME if a conflict-of- interest, either real or apparent, would be involved; - Require that employees, officers and agents of the City or the Community Partners not accept gratuities, favors or anything of monetary value from contractors, potential contractors or parties to Sub- Agreements; and - Stipulate provisions for penalties, sanctions or other disciplinary actions for violations of standards. A conflict would arise when any of the following has a financial or other interest in a firm selected for an award: An employee, agent or officer of the City or the Community Partners; Any member of an employee's, agent's or officer's immediate family; An employee's, agent's or officer's partner; or An organization that employs or is about to employ an employee, agent or officer of the City or the Community Partners. Page 14 of 28 - The CDBG/HOME regulations at 24 CFR 570.611 and 24 CFR 92.356 governing conflict-of-interest apply in cases not covered by 24 CFR 85.36 and 24 CFR 84.42. These provisions cover employees, agents, consultants, officers and elected or appointed officials of the grantee (the City), state recipient or Community Partner (the Community Partners). The regulations state that no person covered who exercises or has exercised any functions or responsibilities with respect to CDBG/HOME activities or who is in a position to participate in decisions or gain inside information: - May obtain a financial interest or benefit from a CDBG activity; or - Have an interest in any contract, subcontract or agreement for themselves or for persons with business or family ties. This requirement applies to covered persons during their tenure and for one year after leaving the grantee (the City), the state recipient or Community Partner (the Community Partners) entity. Upon written request, exceptions to both sets of provisions may be granted by HUD on a case-by-case only after the City has: Disclosed the full nature of the conflict and submitted proof that the disclosure has been made public; and - Provided a legal opinion from the City stating that there would be no violation of state or local law if the exception were granted. Debarred contractors: In accordance with 24 CFR Part 5, CDBG/HOME funds may not be used to directly or indirectly employ, award contracts to or otherwise engage the services of any contractor or Community Partner during any period of debarment, suspension or placement of ineligibility status. The City should check all contractors, subcontractors, lower-tier contractors or Community Partners against the Federal publication that lists debarred, suspended and ineligible contractors. Ill. Environmental Requirements The City is responsible for meeting a number of environmental requirements, including environmental reviews, flood insurance, and site and neighborhood standards. Environmental Review The City is responsible for undertaking environmental reviews in accordance with the requirements imposed on "recipients" in 24 CFR 58. Reviews must be completed, and Requests for Release of Funds (RROF) submitted to HUD before CDBG/HOME funds are committed for non-exempt activities. Private citizens and organizations may object to the release of funds for CDBG/HOME projects on certain procedural grounds relating to environmental review (see 24 CFR 58.70 - 58.77). To avoid challenges, grantees (the City) and Community Partners (the Community Partners) should be diligent about meeting procedural requirements. Page 15 of 28 Flood Insurance Section 202 of the Flood Disaster Protection Act of 1973 (42 USC 4106): Requires that CDBG/HOME funds shall not be provided to an area that has been identified by the Federal Emergency Management Agency (FEMA) as having special flood hazard, unless: The community is participating in the National Flood Insurance Program, or it has been less than a year since the community was designated as having special flood hazards; and Flood insurance is obtained. IV. Lead-based Paint On September 15, 1999, the "Requirements for Notification, Evaluation and Reduction of Lead-Based Paint Hazards in Federally Owned Residential Property and Housing Receiving Federal Assistance; Final Rule" was published within title 24 of the Code of Federal Regulations as part 35 (24 CFR 35). The regulation was issued under sections 1012 and 1013 of the Residential Lead- Based Paint Hazard Reduction Act of 1992, which is Title X (ten) of the Housing and Community Development Act of 1992. Sections 1012 and 1013 of Title X amended the Lead-Based Paint Poisoning Prevention Act of 1971, which is the basic law covering lead-based paint in federally associated housing. The regulation sets hazard reduction requirements that give much greater emphasis to reducing lead in house dust. Scientific research has found that exposure to lead in dust is the most common way young children become lead poisoned. Therefore, the new regulation requires dust testing after paint is disturbed to make sure the home is lead-safe. Specific requirements depend on whether the housing is being disposed of or assisted by the federal government, and also on the type and amount of financial assistance, the age of the structure, and whether the dwelling is rental or owner occupied. On April 22, 2008, the EPA issued a rule requiring the use of lead-safe practices and other actions aimed at preventing lead poisoning to protect against the hazards created by exposure to lead dust in existing structures built prior to 1978. Under the rule, all contractors performing renovation, repair and painting projects that disturb lead-based paint in homes, child care facilities, and schools built before 1978 must be certified and follow specific work practices to prevent lead contamination. This rule (40 CFR Part 745) is enforced as of April 22, 2010. The rule must be executed by all sub-contractors. Property Exempt from Lead-based paint regulation: • Housing built since January 1, 1978, when lead paint was banned for residential use; • Housing exclusively for the elderly or people with disabilities, unless a child under age 6 is expected to reside there; • Zero-bedroom dwellings, including efficiency apartments, single-room occupancy housing, dormitories or military barracks; • Property that has been found to be free of lead-based paint by a certified lead-based paint inspector; Page 16 of 28 • Property where all lead-based paint has been removed; • Unoccupied housing that will remain vacant until demolished; • Non-Residential property; and • Any rehabilitation or housing improvement that does not disturb a painted surface. Types of housing subject to 24 CFR 35: • Federally-Owned housing being sold; • Housing receiving a federal subsidy that is associated with the property, rather than with the occupants (project-based assistance); • Public housing; • Housing occupied by a family (with a child) receiving tenant-based subsidy (such as a voucher or certificate); • Multifamily housing for which mortgage insurance is being sought; and • Housing receiving federal assistance for rehabilitation, reducing homelessness, and other special needs. If you want copies of the regulation or have general questions, you can call the National Lead Information Center at (800) 424-LEAD, or TDD (800) 526-5456 for the hearing impaired. You can also download the regulation and other educational materials at http://www.hud.gov/offices/lead/index.cfm. For further information, you may call HUD at (202) 755-1785, ext. 104, or e-mail HUD at lead regulationsa,hud.gov. V. Displacement, Relocation, Acquisition and Replacement of Housing CDBG/HOME projects involving acquisition, rehabilitation or demolition may be subject to the provisions of the Uniform Relocation Act (URA). Demolition or conversion of units with CDBG funds may trigger Section 104 (d) (also known as the "Barney Frank Amendment" requirements.) VI. Compliance with National Objective The Community Partners will ensure and maintain evidence that activities assisted with CDBG/HOME funds from the City of Miami Beach comply with the primary National Objective, "Benefit to Low and Moderate Income Persons" and will provide services or activities that benefit at least 51% low and moderate income persons. A low or moderate-income household is defined as: a household having an income equal to or less than the limits cited below. Individuals who are unrelated but are sharing the same household shall each be considered as one-person households. Low and Moderate Household Income Limits (Effective 05/14/2010) (Source: U.S. Department of Housing & Urban Development) (Note: Low-Income (80% of Median Income), Very Low-Income (50 % of Median Income), Extremely Low (30% of Median Income) Page 17 of 28 HUD Income Limits for FY 2014 AMI Income 1 2 '4k 3 4 , r .5 6 :Category ~,person ,,-;persons persons ,persons persons.`; persons persons 3 persons Extremely Low 14,300 16,350 19,790 23,850 27,910 31,970 36,030 40,090 (30%) $48,400 Very Low(50%) 23,800 27,200 30,600 34,000 36,750 39,450 42,200 44,900 Low Income 38,100 43,550 49,000 54,400 58,800 63,150 67,500 71,850 (80%) Change Orders/Budget Amendments The goal should be to limit the use of Change Orders or Budget Amendments. Both require prior written approval by the City Manager. To request a Change Order or Budget Amendment, a written request for changes must be submitted to your Grant Monitor delineating the changes and providing a detailed justification for making the request. Approvals of any changes are at the sole discretion of the City Manager. No budget amendment will be processed after June 30, 2015 for Public Service Projects. No budget amendment will be processed for Capital Projects Budgets after eighty (80) percent of the available funds have been drawn. Budget amendments or Change Orders that deviate from the original scope will be rejected and the funds in question may be subject to recapture at the sole discretion of the City Manager. Compliance with Local Rules, Regulations, Ordinances and Laws The Community Partner must remain in compliance with all local rules, regulations, ordinances and laws (including having an active business license and the resolution of all Code Compliance and Building Department violations) in addition to those specified in the body of the Agreement. In addition, the Community Partner must not owe any monies to the City at the time of Agreement execution or final release of grant funds. The City will verify with the Finance Department to ensure that no monies are due the City prior to Agreement execution. Furthermore, the Community Partner must not have any outstanding and/or open Code Compliance or Building Department violations at the time of the Agreement's execution. Any pending issues must be disclosed. Those violations which are open at the time of the Agreement's execution and are expected to remain open for the foreseeable future require the submission and approval of a remediation plan submitted to the City. Page 18 of 28 Cost Allocation Plans Cost Allocation Plans (CAP) must be submitted for any employee/contractor whose salary or compensation is not wholly funded by City funds. The CAP must include the sources of compensation, percentage of work charged by funding source and requires the submission of detailed time sheets distinguishing the work compensated through City funds. Salary reimbursements will not be processed without an approved CAP and weekly/bi-weekly timesheets, as appropriate. Davis Bacon Reporting Requirements Community Partners funded for construction projects must notify the City at least twenty-four (24) business hours in advance of construction start or an extended delay. Community Partners funded for construction projects must notify the City at least twenty-four (24) business hours in advance of any new classification reporting for work in order to enable the City to conduct mandated Davis Bacon Act compliance interviews. Any failures to notify the City in a timely manner must be addressed within twenty-hour (24) business hours of the classifications reporting to the job site. Desk Audit The City will conduct a desk audit of the Community Partner, utilizing the City's Monitoring Checklist, no later than 120 days from the commencement of services to determine if a project site monitoring is required. The City's Contract Manager will contact the Community Partner, if necessary, to ensure that information needed for Desk Audit is on file. Employee/ Contractor File Review The following documentation must be included in the Community Partner's employee/contractor file for those employees/contractors providing services under this contract. The following must be included in the employee files: • Employment Application • Evidence of degree/credentials • Job Description Signed by Employee • Evidence of Required Experience Page 19 of 28 • Florida Background Criminal Screening, if applicable • National FBI Background Criminal Screening (Level 2), if applicable • Affidavit of Good Moral Character, if applicable • Proof of Knowledge of Policies & Procedures, if applicable • 1-9 Verification on File The City reserves the right to inspect those employee/contractor files whose salaries are funded in part or in whole by its funds. Evaluation In its continuing effort to ensure contract compliance and performance, the City will evaluate the Community Partner in its fulfillment of the terms of this agreement including, but not limited to, the following measures: • Agreement compliance • Leverage and fiscal soundness • Accuracy and timeliness of Monthly Progress Reports • Accuracy and timeliness of Monthly Financial Reports • Adherence to project timelines • Fulfillment of prescribed outcomes Fiscal Stability The Community Partner is required to maintain fiscal stability throughout the terms of this Agreement. This is to ensure the Community Partner's ability to fulfill the terms of this Agreement and meeting of the National Objective. For affordable housing developers, fiscal stability policies are encouraged in anticipation of additional HUD guidance regarding fiscal oversight for rental projects. More so, as projects have extended lives, fiscal stability underscores the long-term viability of the housing units. Leverage For HOME-funded projects, the Community Partner must demonstrate the commitment of other sources of funds committed to the City-funded project. Furthermore, all other identified funds must be in place prior to the use of HOME funds. The documentation that demonstrates this fiscal leverage is the Subsidy Layering Review and underwriting. Page 20 of 28 Monitoring & Performance Reviews The City reserves the right to inspect, monitor and/or audit the Community Partner to ensure contractual compliance. This includes, but is not limited to: • Review of on-site service delivery • Inspection and review of client, budgetary and employee files (for those employees providing services under this Agreement) While Desk Audits will be conducted to determine the need for an on-site monitoring visit, any monitoring visit will take place within 180 days of the commencement of services. The City will notify the Community Partner a minimum of three (3) business days prior to a monitoring visit. Reference Exhibit E for additional information. Performance Ratings The Community Partner agrees that its Performance Rating, the score awarded for performance on the following measures, will be posted on the City's website on an annual basis: • Timely and accurate submission of Monthly Progress Report • Timely and accurate submissions of Monthly Financial Reports (reimbursement requests) • Delivery of contracted service units Ratings will be given for each performance measure based on the following: ormance<-' e.asureE -a. ing :'a Iona e.' : core Timely and accurate submission of > "0" for failing to submit on time Monthly Progress Report > "25" for submitting on time Timely and accurate submissions of > "0" for failing to submit accurate Monthly Financial Report report with back-up material on time (reimbursement requests) f > "25" for submitting accurate report on time Delivery of contracted service units Possible score of 0 to 50 based upon within contracted timeframe , completion of projected service units. Score is pro-rated if total projected service units are not met. Proformas/Sources & Uses Reports Capital projects must submit certified monthly proformas or Sources and Uses reports that indicate project funding sources and correlating uses. Proformas Page 21 of 28 must be certified by the preparing party as well as the agency's signatory as reflected within this Agreement. Reporting Requirements The Contractor will provide the City with a Monthly Progress Report and Monthly Financial Report by the 10" of the following month utilizing the forms provided by the City. In the event that the 10th of the month lands on a Saturday, Sunday or holiday, the report must be submitted the following business day. The following chart depicts the submission dates for the term of this Agreement: < Monthro Date orSubmission � October 2014 N/A November 2014 N/A December 2014 N/A January 2015 February 10, 2015 February 2015 March 10, 2015 March 2015 April 10, 2015 April 2015 May 11, 2015 May 2015 June 10, 2015 June 2015 July 10, 2015 July 2015 August 10, 2015 August 2015 September 10, 2015 September 2015 October 12, 2015 Monthly reports will be submitted via any of the following methods: • Standard mail • Hand delivery Monthly reports will not be considered acceptable unless the following is met: • City-provided forms are completely and accurately completed • Necessary back-up materials are included (evidence of expense incurred, invoices, time logs, executed AIA Forms, etc.) • Reports bear the signature of the person preparing the report and the Community Partner's authorized signatory Monthly Progress Reports should encapsulate a project's progress in alignment with the funds expended. Progress photos and additional reporting material is encouraged. Page 22 of 28 Timeliness of Reimbursement Requests Reimbursement requests must be submitted no later than sixty (60) days from the incurrence of the expense. The City will strictly monitor this element. Please note that cancelled checks must be submitted in conjunction with all reimbursement requests. Therefore, the Community Partner should calendar itself accordingly to ensure that reimbursement requests are submitted to the City in a timely manner. Furthermore, at least sixty (60) percent of your allotted grant funds must be expended by June 30, 2015 as demonstrated by the total value of reimbursements processed. Capital projects will be reviewed and judged based on their implementation schedule. Training Requirements The Community Partner must ensure that the person responsible for preparing the Monthly Progress Report and Monthly Financial Report attends the City's Community Partner Reporting Training and places the attendance certificate in the employee's personnel file for inspection by the City during its monitoring visit. Additional Documentation The following documentation must be submitted with this executed agreement: • All required insurance certificates • Copy of current audit • Copy of required business licenses and permits Page 23 of 28 EXHIBIT "®" "DOCUMENTATION" The Community Partner agrees to provide the following documents as part of its reporting requirements: To Document Insurance Coverage: • Copy of insurance policy or binder(with proof of payment) with limits and scope of coverage To Document Client Eligibility and Service: • Client attendance logs • Intake and screening forms • Executed client consent agreements To Document Fiscal Leverage: • Monthly project proformas (for capital projects only) To Document Procurement: • Evidence of at least three (3) quotes obtained for service/item • Formal bid process including advertisement, scope, respondents and scoring To Document Expenses Incurred: • Cancelled checks with copy of referenced invoice • Electronic payroll ledgers with corresponding bank transactions (statement) • Executed professional service agreements (subject to procurement) • Executed and notarized AIA Forms (for capital projects only) • Executed and Filed Release of Lien (for capital projects only) • Copies of valid work permits ad clearances (for capital projects only) To Document Constructio n Completion: • Certificate of Occupancy (CO) To Document Lease-up of Affordable Housing: • Rent rolls • Tenant applications (with proof of income) and executed leases Page 24 of 28 EXHIBIT "C" "BUDGET" The attached budget reflects the scope of expenses that may be incurred through this Agreement. All expenses must comply with applicable rules and regulations including Procurement. This chart reflects the CDBG and General Fund monies to be paid to the Community Partners: Partner/Cost CDBG General Total Funds Fund Monies Helping Hands Food Ko Op Inc. Butter(1 lb. x 30 units)x 9 weeks $ 928.80 Eggs (1 dz. X 30 units)x 39 weeks $ 1,755.00 Manual Forklift 1 unit $ 2,700.00 $ 5,383.80 St. Patrick Church Grocery(30 units @$12.50)x 39 wks $12,708.80 $ 1,916.20 Manual Forklift(1 unit)' $ 2,700.00 Truck Rental 39 da s x$100 2 $ 5,850.00 $23,175.00 Teen Job Corps, Inc. N/A N/A N/A Contract and funds via CDBG Grant Agreement for FY 14/15 1 —The acquisition of Manual Forklifts will enable the Community Partners to take advantage of free food and commodity donations provided by Farm Share and Feeding South Florida 2—The truck rental will enable Community Partners to mutually access foods purchased and/or donated via Feeding South Florida by consolidating transportation expenses for participating Community Partners Page 25 of 28 EXHIBIT "D" "FINANCIAL MANAGEMENT" regulations, each program must have a financial management To comply with federal regu p g g system that provides accurate, current and complete disclosure of the financial status of the activity. This means the financial system must be capable of generating regular financial status reports which indicate the dollar amount allocated for each activity (including any budget revisions), amount obligated (i.e., for which contract exists), and the amount expended for each activity. The system must permit the comparison of actual expenditures and revenues against budgeted amounts. The City must be able to isolate and to trace every CDBG dollar received and prove where it went and for what it was used. The City is responsible for reviewing and certifying the financial management of any operating agency, which is not a City department or bureau, in order to determine whether or not it meets all of the above requirements. If the agency's system does not meet these requirements and modifications are not possible, the City must administer the CDBG funds for the operating agency. Support for Expenditures Sufficient support for expenses depends on the type of expenditure. They normally include the following items: • Salaries - Should be supported by proper documentation in personnel files of hire date, position, duties, compensation, raises with effective date, termination date, and similar type information. Non-exempt employees are required by law to complete a timesheet showing number of hours they worked during the day. All employees paid in whole or in part from CDBG funds should prepare a time sheet indicating the hours worked on CDBG projects for each pay period. Based on these time sheets and the hourly payroll costs for each employee, a voucher statement indicating the distribution of payroll charges should be prepared and placed in the appropriate files.) • Employee Benefits - Should be supported by personnel policies and procedures manual, describing the types of benefits, eligibility and other relevant information.) • Professional Services- Should be supported by a complete and signed copy of the contract between the organization and the independent contractor, describing at the minimum, period of service, type of service and method for payments, in addition to the invoice from the private contractor.) • Purchases - At a minimum, purchases should be supported by a purchase order, packing list and vendor invoice. Credit card statements, travel itineraries, vendor statements and similar items do not represent support for an expense. Page 26 of 28 Records Accounting records must be supported by source documentation. Invoices, bills of lading, purchase vouchers, payrolls and the like must be secured and retained for four years in order to show for what purpose funds were spent. Payments should not be made without invoices and vouchers physically in hand. All vouchers/invoices should be on vendor's letterhead. Financial records are to be retained for a period of four years, with access guaranteed to the City, to HUD or Treasury officials or their representative. Audits For years beginning after June 30, 1996, all nonprofit organizations, state governments, and local governments that receive Federal funding fall under the revised OMB Circular A-133, Audits of States, Local Governments, and Nonprofit Organizations. Non-Federal entities that expend $500,000 or more in a year in Federal awards must have a single or program-specific audit. One copy of the Community Partner or vendors' audited financial statement shall be submitted to the City immediately following the end of the fiscal year(s) during which CDBG funds are received. All auditees must submit to the Federal Audit Clearinghouse (FAC) a data collection form (Form SF-SAC) and reporting package upon completion of the annual audit in accordance with OMB Circular A-133. The deadline for this submission is the earlier of the 30 days after receipt of the auditor's report(s), or nine months after the end of the audit period, unless a longer period is agreed to in advance by the cognizant or oversight agency for the audit. Address for submission is: The Federal Audit Clearinghouse 1201 E. 10th Street Jeffersonville, IN 47132 Phone (301)457-1551 or(800)253-0696 Email: gov.fac(a�census.gov Web: http://harvester.census.qov/sac Page 27 of 28 EXHIBIT"E" "MONITORING CHECKLIST" Page 28 of 28 EC C Cs) N It' E iii d d a) m _O E.-2 .co Q) CI) E 0) O •C E u_ V U O a) U •o ^L I.L 0) co n 0 0 2 . . .... a) - E co .c ' o W o Ea) co m oU Q . _• ca o N o 'O cp E. d . 2-p + 0 D a) a) a) ct 40 • .0 E L V +-. O V m tea, p N O U cc N (o o. co a)❑-, a! � X a) W 'o w0 UMW O % 2 o _ 2 CL DE ❑❑❑ ❑o a, a-s w 0)U 0 0 CD 0, • Q Q UH g . oc a) �' aEi Z v � w 0y oD a) a) ` CO .� c.) p I nd a) V u) > ;y❑ C a,� E (n W N �:, Q p L V :a 2 = .E E -,S p �aa) cu La, O cu O .• .0 c co c U fY ›- co100 •�•s a) ❑❑ ❑❑❑❑❑Q a, ...o .. V � h�❑JQ E o 3 En p c.) Q a U CD 0 Q) fl C • U V c E 7cfi �� ) V° 22 0Zi 0 co U ❑❑❑ DD Q Q 0 m co 4 o Q =_ d 0 d U O a) _ > as 0 y Q O `_ > r° E(/) o O _ �+ a) t L. 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