Executed by Mayor Bower Settlement Agreement~or~8---.~6 83 y
SETTLEMENT AGREEMENT
I. PARTIES
This Settlement Agreement (Agreement) is entered into by, between, and among
Miami-Dade County, Monroe County, the City of Miami, the City of Hialeah, and the City of
Miami Beach, former member jurisdictions of the South Florida Employment and Training
Consortium ("SFETC") and the State of Florida Agency for Workforce Innovation ("the
Agency").
II. PREAMBLE
A. WHEREAS, Miami-Dade County, Monroe County, the City of Miami, the City
of Hialeah, and the City of Miami Beach entered into a Consortium Agreement effective
July 1, 2004 and expiring on June 30, 2006; and
B. WHEREAS, the aforesaid Consortium Agreement created the South Florida
Employment and Training Consortium ("SFETC"); and
C. WHEREAS, the Chief Elected Officials of the aforesaid former member
jurisdictions of the SFETC served as the Chief Elected Officials for Region 23 of the State
of Florida pursuant to the federal Workforce Investment Act of 1998 and state law; and
D. WHEREAS, Paragraph 11 of the aforesaid Consortium Agreement states:
11. Each member jurisdiction of the Consortium agrees to
promptly contribute to any SFETC liability incurred
under this Agreement as follows:
a. No liability shall be paid by any Consortium
member or by the SFETC unless ordered by a
court of competent jurisdiction or other superior
state or federal government entity or unless
otherwise agreed by affirmative vote of the
SFETC Board. The majority vote necessary to
approve payment of any financial claim or
financial liability shall include the vote of either
the City of Miami or Miami-Dade County to be
effective.
b. Costs and other expenses disallowed by the
state or federal government or by the
SFETC/SFW Boards with respect to contracts
between the SFETC/SFW Boards and an
individual Consortium member jurisdiction for the
provision of workforce services shall be paid by
and shall be the financial liability solely of the
same individual Consortium member jurisdiction.
c. Costs and other expenses disallowed with
respect to contracts between SFETC/SFW
Boards and any service providers or caused by
SFW staff errors shall be paid by and shall be
the financial liability of:
Miami-Dade County 42.2%
Miami, City of 33.3%
Hialeah, City of 11.1
Miami Beach, City of 6.7%
Monroe County 6.7%
TOTAL 100%
and
E. WHEREAS, the Agency, a superior state governmental entity, sent a
Management Decision to the South Florida Workforce Board dated September 27, 2006,
pertaining to an audit of federal funds awarded through the Agency for the Year Ended
June 30, 2005, which states in pertinent part: "AWI has established a debt for the
disallowed costs associated with Finding CF 2005-6 in the amount of $651,282. This debt
must be repaid to AWI using anon-Federal funding source. We request that this payment
is made by December 31, 2006."; and
F. WHEREAS, Finding CF 2005-6 found unjustified prepaid transportation costs
in the amount of $651,282.00 for three programs: U.S. Department of Labor, passed
through the Agency, WIA Cluster; U.S. Department of Health and Human Services, passed
through the Agency, Temporary Assistance for Needy Families; U.S. Department of Health
and Human Services, passed through the Florida Department of Children and Families,
Refugee and Entrant Assistance Program; and
G. WHEREAS, the Agency determined that under OMB Circular A-133 Allowable
Costs/Cost Principles, costs must be documented in accordance with OMB Circular A-102
Common Rule for State, Local, and Indian Tribal Governments to a point where costs can
be determined to be allowable or not; and
H. WHEREAS, Section 29 U.S.C.A. 2832(3)(B)(i)(I) provides that the Chief
Elected Official(s) shall serve as the local grant recipient and shall be liable for any misuse
of the federal grant funds; and
I. WHEREAS, 20 CFR Section 667.705 provides that the grant recipient is
responsible for all federal funds under its grant(s) and that the political jurisdiction(s) ofthe
Chief Elected Official(s) is liable for any misuse of the grant funds allocated to the local
area; and
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J. WHEREAS, the aforesaid former member jurisdictions of the SFETC have
provided to the Agency additional documentation related to the disallowed costs, and the
Agency has reviewed this documentation and determined that the aforesaid former
member jurisdictions of the SFETC have justified $307,594.00 of the disallowed costs.
III. TERMS AND CONDITIONS
NOW, THEREFORE, in consideration of mutual promises, covenants, and
obligations set forth below, and for good and valuable consideration as stated herein, the
parties agree as follows:
1. The aforesaid former member jurisdictions of the SFETC agree to repay the
amount of $343,688.00 in disallowed costs to the Agency, from anon-federal funding source
within thirty (30) days from the date of execution of this Settlement Agreement by all parties.
Along with the payment, the aforesaid former member jurisdictions of the SFETC shall provide
a schedule, which sets forth the grant, grant amount, and grant year for the repayment
costs of $343,688.00.
a. In accordance with Paragraph 11.b. of the Consortium Agreement, the
City of Hialeah shall pay the Agency For Workforce Innovation the sum of $575.00 from a
non-federal funding source not later than thirty (30) days from the date of execution of this
Settlement Agreement by all parties.
b. In accordance with Paragraph 11.c. of the Consortium Agreement,
Miami-Dade County shall pay the Agency For Workforce Innovation the sum of
$144,793.68 (derived by subtracting $575.00 from $343,688.00 and multiplying the
resulting sum of $343,113.00 by 42.2%) from anon-federal funding source not later than
thirty (30) days from the date of execution of this Settlement Agreement by all parties.
c. In accordance with Paragraph 11.c. of the Consortium Agreement, the
City of Hialeah shall pay the Agency For Workforce Innovation the sum of $38,085.54
(derived by subtracting $575.00 from $343,688.00 and multiplying the resulting sum of
$343,113.00 by 11.1%) from anon-federal funding source not later than thirty (30) days
from the date of execution of this Settlement Agreement by all parties.
d. In accordance with Paragraph 11.c. of the Consortium Agreement, the
City of Miami shall pay the Agency For Workforce Innovation the sum of $114,256.62
(derived by subtracting $575.00 from $343,688.00 and multiplying the resulting sum of
$343,113.00 by 33.3%) from anon-federal funding source not later than thirty (30) days
from the date of execution of this Settlement Agreement by all parties.
e. In accordance with Paragraph 11.c. of the Consortium Agreement,
Monroe County shall pay the Agency For Workforce Innovation the sum of $22,988.57
(derived by subtracting $575.00 from $343,688.00 and multiplying the resulting sum of
$343,113.00 by 6.7%)from anon-federal funding source not later than thirty (30) days from
the date of execution of this Settlement Agreement by all parties.
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f. In accordance with Paragraph 11.c. of the Consortium Agreement, the
City of Miami Beach shall pay the Agency For Workforce Innovation the sum of $22,988.57
(derived by subtracting $575.00 from $343,688.00 and multiplying the resulting sum of
$343,113.00 by 6.7%)from anon-federal funding source not later than thirty (30) days from
the date of execution of this Settlement Agreement by all parties.
2. The aforesaid former member jurisdictions of the SFETC and the Agency
acknowledge hereby that the U.S. Department of Labor and the U.S. Department of Health
and Human Services have the authority to demand repayment of misused federal funds from
the recipients of those funds. The aforesaid former memberjurisdictions of the SFETC agree
that if either the U.S. Department of Labor or the U.S. Department of Health and Human
Services requires either the Agency or the aforesaid former member jurisdictions of the
SFETC to repay federal funds related to Final Management Decision Finding CF 2005-6, the
aforesaid former member jurisdictions of the SFETC shall fully indemnify the Agency for the
entire amount of such a repayment, to wit, the balance of $307,594.00.
3. The parties also acknowledge that U.S. Department of Labor or the U.S.
Department of Health and Human Services may require the repayment of prepaid
transportation costs in addition to the amount that is the subject of this Settlement Agreement.
If either the U.S. Department of Labor or the U.S. Department of Health and Human Services
requires either the Agency or the aforesaid former member jurisdictions of the SFETC to repay
these federal funds, the aforesaid former member jurisdictions of the SFETC will indemnify the
Agency for any disallowed costs attributable to SFETC.
4. Upon execution of this Settlement Agreement by all parties, the parties shall file
a Joint Notice of Settlement and Voluntary Dismissal of DOAH Case No. 06-4333.
5. The parties hereto stipulate and agree that this document represents the entire
agreement by, between, and among them and that the provisions contained herein may not be
changed or altered without the express written consent of all of the parties.
6. All of the parties hereto participated in the preparation of this stipulation and
Settlement Agreement, and in the process of preparation thereof, each and all of the parties
acknowledge hereby that each party was fully and adequately represented by its own
respective legal counsel and has received legal advice from its own respective legal counsel.
7. In the event of any litigation arising out of this Settlement Agreement, this
Settlement Agreement shall not be construed in favor of or against any party by reason of its
process of preparation.
8. All parties to this Settlement Agreement shall bear their own respective legal
costs and attorney's fees, if any, with respect to the preparation and execution of this
Settlement Agreement and DOAH Case No. 06-4333.
9. This Settlement Agreement shall be effective on the date of signature of the
last signatory to this Settlement Agreement ("Effective Date"), to wit, the date that all of the
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parties hereto have executed this Settlement Agreement. Facsimiles of signatures shall
constitute acceptable, binding signatures for purposes of this Settlement Agreement. This
Settlement Agreement shall be signed in counter-part originals by each and all of the
parties hereto and each such counter-part original shall be deemed an original for all
purposes. Each such counter-part original of each and all of the aforesaid former members
of the SFETC shall be executed by the duly authorized respective Chief Elected Official of
the aforesaid former member jurisdictions of the SFETC.
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IN WITNESS HEREOF, THE CHIEF ELECTED OFFICIALS AND THE
AGENCY HAVE EXECUTED THIS AGREEMENT:
FORMER MEMBER JURISDICTIONS OF THE
SOUTH FLORIDA TRAINING AND EMPLOYMENT CONSORTIUM
Miami-Dade County
DATED: BY:
DATED: BY:
Mayor
Miami-Dade County
Approved as to form and legal sufficiency by
County Attorney
Monroe County
Mayor
Monroe County
Approved as to form and
County Attorney
City of Miami
DATED: BY:
DATED: BY:
DATED:.? a ~ ~ BY:
City Clerk
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FORM ~ LANGUAGE
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Mayor
City of Miami
Approved as to form and legal sufficiency by
City Attorney
City of Hialeah
Mayor
City of Hialeah
Approved as to form and legal sufficiency by
City Attorney
City of Miami Beach
ayor
City of Miami Beach
Approved a form and le sufficiency b
City Att ey
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legal sufficiency by
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IN WITNESS HEREOF, THE CHIEF ELECTED OFFICIALS AND THE
AGENCY HAVE EXECUTED THIS AGREEMENT:
Miami-Dade County
DATED: BY:
Mayor
Miami-Dade County
Approved as to form and legal sufficiency by
County Attorney
~;, ~ ~ , , __., Monroe County
BY:
DATED:
DATED:
DATED:
Approved as to form
City of Miami
~~G~S
BY:
BY:
Mayor
City of Miami
Approved as to form and legal sufficiency by
City Attorney
City of Hialeah
Mayor
City of Hialeah
Approved as to form and legs! sufficiency by
City Attorney
City of Miami
BY:
~ of Miami Beach
as to form and legal sufficiency by
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AGENCY FOR WORKFORCE INNOVATION
DATED: BY' DEPUTY DIRECTOR
BARBARA K. GRIFFIN,
Agency for Workforce Innovation
Approved as to form and legal sufficiency.
KIMBERLY SISKO WARD, DEPUTY GENERAL COUNSEL
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