Amendment No. 1 to the Memorandum of Understanding with Helping Hands Food Ko-Op Inc. AMENDMENT NO. 1
TO MEMORANDUM OF UNDERSTANDING, DATED JANUARY 19, 2016, BETWEEN
THE CITY OF MIAMI BEACH
AND HELPING HANDS FOOD KO-OP INC.
THIS AMENDMENT NO. 1 (the "Amendment") to the Memorandum of
Understanding dat.0 January 19, 2016 ("MOU" and/or the "Agreement") is entered into
this I day of 0%47 2016 ("Effective Date") by and between the CITY
OF MIAMI BEACH (the "City"), a Florida municipal corporation having its principal office
at 1700 Convention Center Drive, Miami Beach, Florida 33139, and HELPING HANDS
FOOD KO-OP INC. ("Community Partner"), a Florida municipal corporation having its
principal office at 4000 Alton Road, Miami Beach, Florida 33139.
WITNESSETH:
WHEREAS, the City has determined, through its One-Year Action Plan for
federal funds for FY 2015/2016, the necessity for engaging the Community Partner to
render the following project in Miami Beach: grocery assistance to benefit low and
moderate-income City of Miami Beach residents; and
WHEREAS, the One-Year Action Plan for FY 2015/2016 was made available to
the public for comment at the City Commission meeting on July 8, 2015, for a 30-day
public review and comment period from July 9 through August 7, 2015; and
WHEREAS, pursuant to the Agreement, the City originally agreed to provide
Community Partner with Community Development Block Grant ("CDBG") funds in the
amount of$28,000, and City General Funds in the amount of$10,000; and
WHEREAS, the City has identified additional CDBG funds, in the amount of
$10,275, to fund the cost of packing and delivery of the groceries; and
WHEREAS, the City now desires to amend the Agreement to provide
Community Partner with additional funding so that Community Partner may provide
packing and delivery services.
NOW, THEREFORE, in consideration of the mutual promises contained herein,
the parties hereby amend the MOU as follows:
1. Exhibit A, entitled "Scope of Services," is hereby deleted in its entirety and
replaced with the attached Exhibit A.
2. Exhibit C, entitled "Budget," is hereby deleted in its entirety and replaced with the
attached Exhibit C.
Page 1 of 2
3. Section 3 of the MOU, entitled "Agreement Amount," is hereby deleted in its
entirety and replaced with the following language:
Section 3. Agreement Amount: The City agrees to make available
General funds in the amount of $10,000, and Community Development
Block Grant Funds in the amount of $38,275, for use by the Community
Partner during the Term of the Agreement (hereinafter, the aforestated
amount including, without limitation, any additional amounts included
thereto as a result of any subsequent amendment to the Agreement, shall
be referred to as the "Funds").
4. All other terms and conditions of the MOU shall remain unchanged and in full
force and effect.
IN WITNESS WHEREOF, the City and the Community Partner have executed this
Amendment No.1 to the Agreement as of the day and year first written above by their
duly authorized representatives.
HELPING HANDS FOOD KO-OP INC.
6'/.50/2p l C
Aharon Greenberg, Vice President Date
CITY OF MIAMI BEACH OFFICE OF HOUSING AND COMMUNITY SERVICES
•r
Maria L. Ruiz, CS Director Date '7f (1(..
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
CITY OF MIAMI BEACH W-0, '
a Florida Municipal corporation .,
City Attorney Date
KITES • N
CiyClerk 49,0.. ......cM .4 age
?AfP L . .. C fLRrRpt .. r '• I Print Name .,_-- Prtrat
!NCORP' 'ORATED
l , II
Date ,,,,,(,, ,_. Qate.�'`;/7
,,,i 6 2 o ,'
Page 2 of 2
EXHIBIT "A"
"SCOPE OF SERVICES"
The Community Partner, who may be referred to as the "Sub-Recipient," agrees to provide the
following services:
Community Partner Service Units of Service
Helping Hands Food Ko-Op Provision of Eggs, Milk, Butter, 2,000
Inc. Fruits, Vegetables, and Perishable
Goods
Helping Hands Food Ko-Op Packing and Delivery 34
Inc.
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.
Monthly Progress Report — The Sub-Recipient 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 whether or not funds are requested.
Monthly Financial Report— The Sub-Recipient 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
Page 1 of 20
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 Sub-Recipient 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 dispersed 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 that Sub-Recipient to 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:
Service _ Unit of Service Service Location Ti'meframe
Eggs, Milk, Butter, 2,000 Helping Hands Food October 1, 2015—
Fruits, Vegetables, Ko-Op Inc. September 30,2016
and Perishable Goods
Packing and Delivery 34 Helping Hands Food February 1, 2016—
Ko-Op Inc. to 50 September 30,
family locations 2016
Service Benchmarks
Service Benchmark(s).
Eggs, Milk, Butter, Fruits, • Invoice and supporting documentation to City of
Vegetables, and Perishable Miami Beach Office of Community Services
Goods
Delivery • Supporting documentation to City of Miami Beach
Office of Community Services
Page 2 of 20
Service Documentation
Services will be deemed as provided when the following documentation is provided within the
noted timeframes:
Service Documentation Submission Deadline
Eggs, Milk, Butter, 1. Invoice/ Receipts Submit Weekly Finance
Fruits, Vegetables, from Supplier Reports after service is
and Perishable Goods demonstrating that delivered, which reports
food items were shall be submitted within
purchase and paid five business days after
for. service is delivered.
2. Credit Card and/or Submit Monthly
Bank Statements Programmatic Progress
demonstrating how after service is delivered,
items were paid for. which reports shall be
submitted within the first
five days of the following
month.
Packing and Delivery 1. Canceled check Submit Weekly Finance
demonstrating proof Reports after service is
of payment for delivered. Reports shall be
packing and delivery. submitted within five
2. Packing Slip business days after
indicating all grocery service is delivered.
items within grocery Submit Monthly
bag(s). Programmatic Progress
3. Delivery Receipt after service is delivered.
including a signature Reports shall be submitted
of the individual within the first five days of
receiving grocery the following month.
bag(s).
4. Odometer Reading
indicating the
beginning and ending
mileage.
Applicable Federal Regulations
The Sub-Recipient hereby agrees to abide by and comply with to all applicable federal
regulations including:
Page 3 of 20
1. 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 funds. The Provider 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 Provider 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 or 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 funds on
the basis of race, color, religion, national origin or sex.
Affirmative Marketing
The Provider must adopt affirmative marketing procedures and requirements for all CDBG-
assisted housing with five or more units. Requirements and procedures must include:
• Methods for informing the public, owners and potential tenants about fair housing laws
and the Provider's policies (for example: use of the Fair Housing logo or equal
opportunity language);
Page 4 of 20
• A description of what owners and/or the Provider will do to affirmatively market housing
assisted with CDBG funds;
• A description of what owners and/or the Provider will do to inform persons not likely to
apply for housing without special outreach;
• Maintenance of records to document actions taken to affirmatively market CDBG-
assisted units and to assess marketing effectiveness; and
• A description of how efforts will be assessed and what corrective actions will be taken
where requirements are not met.
Handicapped Accessibility
The CDBG 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
Sub-Recipients are not required to take actions that create unique financial and
administrative burdens or after the fundamental nature of the program. For any Provider
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 Provider 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.
Page 5 of 20
•
•
ll. Employment and Contracting
The Provider must comply with the regulations below governing employment and contracting
opportunities. These concern equal opportunity, labor requirements and
contracting/procurement procedures.
Equal Opportunity
The Provider must comply with the following regulations that ensure equal opportunity for
employment and contracting:
• 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
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 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 Provider 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 Provider 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.
Page 6 of 20
• 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 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 program is subject to certain Federal procurement rules. In addition, the City and
the Provider must take measures to avoid hiring debarred or suspended contractors or Sub-
Recipients 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 funds, the procurement requirements at 24 CFR
Part 84 apply.
• Conflict of Interest: The CDBG regulations require grantees (the City), state recipients
and Sub-Recipients (the Provider) 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 Sub-Recipients
(the Provider). These regulations require the City and the Provider 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 Provider shall participate
in the selection, award or administration of a contract supported by CDBG if a
conflict-of-interest, either real or apparent, would be involved;
- Require that employees, officers and agents of the City or the Provider 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 Provider;
Page 7 of 20
- 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 Provider.
- The CDBG regulations at 24 CFR 570.611 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 sub recipient (the Provider). The regulations
state that no person covered who exercises or has exercised any functions or
responsibilities with respect to CDBG 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 Sub-Recipient (the Provider) 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 funds may not be used
to directly or indirectly employ, award contracts to or otherwise engage the services of
any contractor or Sub-Recipient during any period of debarment, suspension or
placement of ineligibility status. The City should check all contractors, subcontractors,
lower-tier contractors or Sub-Recipients 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
Page 8 of 20
Requests for Release of Funds (RROF) submitted to HUD before CDBG funds are committed
for non-exempt activities. Private citizens and organizations may object to the release of funds
for CDBG projects on certain procedural grounds relating to environmental review (see 24 CFR
58.70 - 58.77). To avoid challenges, grantees (the City) and Sub-Recipients (the Provider)
should be diligent about meeting procedural requirements.
Flood Insurance
Section 202 of the Flood Disaster Protection Act of 1973 (42 USC 4106): Requires that CDBG
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;
Page 9 of 20
• 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;
• 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.dov/offices/lead/index.cfm. For further information, you may call HUD at (202)
755-1785, ext. 104, or e-mail HUD at lead requlationsahud.gov.
V. Displacement, Relocation, Acquisition and Replacement of
Housing
CDBG projects involving acquisition, rehabilitation or demolition may be subject to the
provisions of the Uniform Relocation Act (UDA). 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 Provider will ensure and maintain evidence that activities assisted with CDBG 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.
Page 10 of 20
Low and Moderate Household Income Limits
(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)
HUD Income Limits for FY 2015
Median Income for Miami-Dade Area = $49,900
Effective date 03/06/2015
1 2-Person 3-Person 4 - 5 - 6-Person 7 - 8-
Person Person Person Person Person
30%
Limits $14,250 $16,250 $20,090 $24,250 $28,410 $32,570 $36,730 $40,890
Very
Low $23,700 $27,100 $30,500 $33,850 $36,600 $39,300 $42,000 $44,700
Income
Low $37,950 $43,350 $48,750 $54,150 $58,500 $62,850 . $67,150 $71,500
Income
Change Orders/Budget Amendments
The goal should be to limit the use of Change Orders or Budget Amendments. Change Orders
and Budget Amendments 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 Sub-Recipient must remain incompliance with all local rules, regulations, ordinances and
laws (including having an active business license) in addition to those specified in the body of
the Agreement. In addition, the Sub-Recipient must not owe any monies to the City at the time
of Agreement execution or final release of grant funds.
Page 11 of 20
The City will verify with the Finance Department to ensure that no monies are due the City prior
to Agreement execution.
Employee/ Contractor File Review
The following documentation must be included in the Sub-Recipient'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
• 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
Sub-Recipient 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
Page 12 of 20
Fiscal Stability
The Sub-Recipient is required to maintain fiscal stability throughout the terms of this Agreement.
This is to ensure the Sub-Recipient'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 Sub-Recipient 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.
Monitoring & Performance Reviews
The City reserves the right to inspect, monitor and/or audit the Sub-Recipient 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)
Monitoring visits will take place within 120 days of the commencement of services. The City will
notify the Sub-Recipient a minimum of three (3) business days prior to a monitoring visit.
Performance Ratings
The Sub-Recipient 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:
Page 13 of 20
Performance Measure Rating Rationale & Score
Timely and accurate submission of Monthly ➢ "0" for failing to submit on time
Progress Report ➢ "25" for submitting on time
Timely and accurate submissions of Monthly ➢ "0" for failing to submit accurate report
Financial Report(reimbursement requests) with back-up material on time
➢ "25" for submitting accurate report on
time
Delivery of contracted service units within Possible score of 0 to 50 based upon
contracted timeframe completion of projected service units. Score
is pro-rated if total projected service units
are not met.
Proformas
Capital projects must submit certified monthly proformas that indicate project funding sources
and correlating uses. Proformas 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 10th of the following month. 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:
Month Date or Submission
October 2015 November 10, 2015
November 2015 December 10, 2015
December 2015 January 11, 2016
January 2016 February 10, 2016
February 2016 March 10, 2016
March 2016 April 11, 2016
April 2016 May 10, 2016
May 2016 June 10, 2016
June 2016 July 11, 2016
July 2016 August 10, 2016
August 2016 September 12, 2016
September 2016 October 10, 2016
Page 14 of 20
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:
• Forms are completely and accurately filled
• 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 Sub-Recipient's
authorized signatory
Monthly Progress Reports should encapsulate a project's progress in alignment with the funds
expended.
Rent Roll Submissions
Sub-Recipients using City funds for the creation or rehabilitation of affordable housing must
submit tenant rent rolls within thirty (30) days of meeting the National Objective and every year
thereafter for a minimum of fifteen (15) years in adherence with the affordability period required
with use of these funds. For completed projects, certified tenant rolls must be submitted
annually by November 1st. Tenant rolls must be certified by the Sub-Recipient Agency's
authorized signatory.
Those projects with a longer affordability period require annual tenant rolls for the period of
affordability established in the City's Restrictive Covenant and/or mortgage. These tenant rolls
must be submitted by November 1st of each year of affordability. Tenant rolls must be certified
by the Sub-Recipient Agency's authorized signatory.
Retainage
All capital projects utilizing HUD funds are subject to a ten (10) percent retainage that will not be
released until the National Objective is met. Retainage will be held as appropriate from all
submitted reimbursement requests.
Subsidy Layering Review
All affordable housing projects using CDBG/HOME funds require the completion of an
independent Subsidy Layering Review and underwriting. These reviews must be completed
prior to the project being submitted via HUD's IDIS system and precedes the incurrence of any
related funds. Therefore, no capital projects will be deemed eligible for reimbursement until the
Subsidy Layering Review and underwriting have been received and accepted by the City.
Page 15 of 20
The expense for the Subsidy Layering Review and underwriting services are eligible for
reimbursement if the project proceeds but is not eligible for reimbursement otherwise.
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 Sub-Recipient
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, 2016 as demonstrated by the total value of reimbursements processed. Capital Projects will
be reviewed and judged based on their implementation schedule.
Training Requirements
The Sub-Recipient must ensure that the person responsible for preparing the Monthly Progress
Report and Monthly Financial Report attends the City's Sub-Recipient 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 16 of 20
EXHIBIT "B"
"Documentation"
The Sub-Recipient 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 adding the City of Miami Beach as additional insured
To Document Expenses Incurred:
• Food Item related expenses:
a. Invoice/ receipts from supplier with detailed list of items purchased
b. Cancelled checks
c. Bank statements
d. Any additional documents as requested by the City
• Packing and Delivery related expenses:
a. Invoice/ receipts from supplier with detailed list of items purchased
b. Cancelled checks
c. Odometer reading stating mileage at starting and finishing of delivery
d. Packing slip indicating all grocery items being delivered
e. Delivery receipt including a signature of the individual receiving grocery bag(s)
Page 17 of 20
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 and Davis Bacon Act.
Community Partner/ CDBG Funds General Funds Total
Service
Helping Hands Food Ko- $28,000 $10,000 $38,000
Op Inc. / Provision of
Grocery Items (Eggs, Milk,
Butter, Fruits, Vegetables,
and Perishable Goods)
Helping Hands Food Ko- $10,275 $0.00 $10,275
Op Inc./ Packing and
Delivery
Total $38,275 $10,000 $48,275
Page 18 of 20
EXHIBIT "D"
"Financial Management"
To comply with federal regulations, each program must have a financial management 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, and 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 19 of 20
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 five 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 five 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 sub-recipient 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. 10`h Street
Jeffersonville, IN 47132
Phone (301) 457-1551 or (800) 253-0696
Email: qov.faccensus.gov
Web: http://harvester.census.gov/sac
Page 20 of 20