HomeMy WebLinkAboutHuntington Beach Community Clinic - Subgrantee Agrmt for computer and telephones - Housing and Community Development Block Grant Program (CDBG) 7/1/96 (Exp Date 6/30/97) - 1996-07-010 1 0 1- 6--on .
Council/Agency Meeting Held: 7/1 A is
Deferred/Continued to:
Wj pproved ❑ Conditionally Approved ❑ Denied
City Clerk's Sig ature
Council Meeting Date: July 1, 1996
Department ID Number: ED-96-40
CITY OF HUNTINGTON BEACH
REQUEST FOR COUNCIL ACTION
SUBMITTED TO: -HONORABLE MAYOR AND CITY COUNCIL MEMBERS
SUBMITTED BY: MICHAEL T. UBERUAGA, City Administrat r C_"
PREPARED BY: DAVID C. BIGGS, Director of Economic Development Ove
SUBJECT: Subgrantee Loan Agreement between the City of Huntington Beach
and the Huntington Beach Community Clinic
Statement of• Issue, Funding Source, Recommended Action, Alternative Action(s), Analysis, Environmental Status, Attachment(s)
Statement of Issue: A loan agreement between the City of Huntington Beach and the
Huntington Beach Community Clinic needs City Council approval.
Fundinq Source: Community Development Block Grant, Reprogrammed Funds
Recommended Action: Move to approve and authorize the Mayor and City Clerk to
execute the Subgrantee Loan Agreement between the City of Huntington Beach and the
Huntington Beach Community Clinic for a maximum of $100,000 in Community Development
Block Grant funds.
Alternative Action(s): Do not approve the loan agreement.
Analysis: The Huntington Beach Community Clinic (the Clinic), moving to a new facility
located at 8041 Newman Street, Huntington Beach, applied for $100,000 in financial
assistance from the City's Community Development Block Grant program. The Clinic
proposes to use the funds for the purchase and installation of a computer and telephone
system, and the preparation of the parking lot at the new site. On June 7, 1996, the Citizen
Advisory Board recommended the reprogramming of $100,000 to the Clinic project. After
holding a public hearing, City Council approved the reprogramming to the project on June
17, 1996. Staff recommends that a maximum of $100,000 be awarded as a forgivable loan
prorated over a five year period for the purchase and installation of computer and telephone
equipment and the refinishing of the parking lot.
E
REQUEST FOR COUNCIL ACT�N
MEETING DATE: July 1, 1996
DEPARTMENT ID NUMBER: ED-96-40
The Clinic serves low income persons, maintains income data, and is receiving $35,000
annually in CDBG for its public service activities for 1995/96 and 1996/97. The CDBG funds
may assist eligible non-profit agencies with capital costs (acquisition, construction,
reconstruction, rehabilitation or installation of the facility or improvement). The Clinic's initial
request was for such purpose; however, due to an accelerated move, the Clinic requested to
have the CDBG funds applied to other ancillary costs, such as computers and telephone
equipment. In a June 20, 1996 letter from HUD, the activity may be assisted within the 20%
administrative cap. There is adequate spending authority within the City's administrative
category for 1996/97. As such, this activity will not impact the public services cap of 15%.
According to federal regulations, the Clinic, as a subrecipient, is required to follow the
procurement procedures of the Office of Management and Budget (OMB) Circular A-122;
"Cost Principals for Non-profit Organizations" and OMB Circular A-133, "Audits of
Institutions of Higher Education and Other Nonprofit Institutions" (as set forth in 24 CFR part
45, and OMB Circular A-110 (implemented at 24 CFR part 84, "Uniform Administrative
Requirements for Grants and Agreements...")
The City's standard depreciation of such equipment is five years and the minimum period of
time that a capital project must meet the national objectives of the CDBG program is five
years. Applying this period as a minimum, a five year loan period is established, forgiving
$20,000 each year as long as the Clinic provides the eligible CDBG activity. The Clinic will
be obligated to return the prorated funds to the City in the event the Clinic no longer
provides an eligible activity.
The attached contract between the City of Huntington Beach and the Huntington Beach
Community Clinic is approved as to form by the City Attorney's office and provides for the
requirements of the CDBG program. Staff recommends that Council approve the contract.
Environmental Status: Exempt
Attachment(s):
Subgrantee Loan Agreement between the City of Huntington Beach
and the Huntington Beach Community Clinic
E139640.130C -2- 06/24/96 8:22 AM
SUBGRANTEE LOAN AGREEMENT BETWEEN
THE CITY OF HUNTINGTON BEACH AND
HUNTINGTON BEACH COMMUNITY CLINIC FOR FEDERAL
COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS
THIS AGREEMENT is entered into this I,o, day ofQ�,_ , 1996,
between the CITY OF HUNTINGTON BEACH, a municipal corporation of the State of
California, hereinafter referred to as "CITY," as an entitlement recipient in the U. S. Department
of Housing and Urban Development's Community Development Block Grant Program, and the
HUNTINGTON BEACH COMMUNITY CLINIC, a nonprofit California corporation,
hereinafter referred to as "SUBGRANTEE," for the expenditure of Community Development
Block Grant (CDBG) funds;
The Community Development Block Grant Program, hereinafter referred to as "CDBG,"
mandates that a Subgrantee Agreement be executed in order that such funds be utilized by the
parties hereto.
IT IS HEREBY AGREED that the following provisions are approved and shall constitute
the entire agreement between the CITY and SUBGRANTEE:
The purpose of loaning $100,000 in CDBG funds to SUBGRANTEE shall be
solely for the expansion of SUBGRANTEES facility in accordance with the Scope of Work,
Attachment No. 1, which is hereby incorporated by this reference. CDBG funds shall be
expended within a time period not exceeding six (6) consecutive months following the date of
execution of this agreement, in installments determined by CITY. Disbursements shall be made to
SUBGRANTEE following the submission of invoices in a form prescribed by CITY, detailing
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such expenses. SUBGRANTEE agrees to submit requests for disbursement fifteen (15) days
after the end of each monthly period.
CITY shall disburse funds based upon the submittal of such invoices within thirty (30)
days after receipt thereof, provided CITY is satisfied that such expenses have been incurred within
the scope of this Agreement and that SUBGRANTEE is in compliance with the terms and
conditions of this Agreement. CITY has the right to recapture all or a portion of Block Grant
Funds not requested for disbursement 30 days after the end of the six-month period mentioned
herein.
2. SUBGRANTEE agrees to conduct all activities of the organization, whether
funded in whole or in part by CDBG funds from CITY, in accordance with the provisions
contained in the Federal Office of Management and Budget ("OMB") Circular A-87 and its
attachments, including those for contracts in excess of Ten Thousand Dollars ($10,000.00) and
including the provisions relating to audit requirements and resolution of audit findings as provided
in Circular A-128. SUBGRANTEES who have received $25,000 or more in grant funds are
required to submit an annual report including either a single audit or program audit reports, which
evidence an audit was completed in accordance with specific program requirements of the OMB
Circular (i.e., A-128 or A-133).
3. PAYMENT OF LOAN - (or) Forgivable Loan Provisions. The CITY shall have
the right to recapture all or a prorata share of Block Grant funds disbursed to SUBGRANTEE
should the SUBGRANTEE fail to comply with all of the terms and conditions of this agreement
or refuse to accept any conditions which may subsequently be imposed by the U. S. Department
of Housing and Urban Development for the operation of the Community Development Block
Grant Program, or if SUBGRANTEE should close and cease operations within five (5) years of
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•
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the date this agreement is approved by CITY. At the conclusion of the five year period, the loan
will be fully forgiven.
4. SUBGRANTEE shall not dispose of any real or personal property acquired in full
or in part with CDBG funds through sale, use, or relocation without the express and prior written
permission of the CITY, and SUBGRANTEE agrees to maintain program records for a minimum
of three years after the close-out of the subgrant and to make such records available for on -site
monitoring by CITY not less than annually and to periodic inspections by HUD officials during
this three-year period.
5. SUBGRANTEE agrees that no officer, employee, agent, or assignee of CITY
having direct or indirect control of CDBG funds granted to the CITY shall serve as an officer of
SUBGRANTEE. Further, any conflict or potential conflict of interest of any officer of
SUBGRANTEE shall be fully disclosed to the CITY prior to the execution of this agreement and
shall be attached to and become a part hereof.
6. SUBGRANTEE agrees that any earned interest income on funds generated
through the use or investment of funds received from CITY shall be used in conformance with
program income requirements set forth in Code of Federal Regulations 570.504. The
SUBGRANTEE shall disclose to the CITY all program income received utilizing CDBG funds
administered under this Agreement.
7. SUBGRANTEE agrees that in the event it is unable to perform or defaults upon
any provision contained herein, the CITY shall have the right to recapture the full amount of
funds granted to SUBGRANTEE.
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•
8. SUBGRANTEE acknowledges that the CITY shall disburse funds to
SUBGRANTEE only upon execution of this agreement, and CITY is empowered only to provide
funds to SUBGRANTEE pursuant to the provisions of this agreement.
:9. SUBGRANTEE hereby agrees to protect, defend, indemnify and hold and save
harmless CITY, its officers, and employees against any and all liability, claims, judgments, costs
and demands, however caused, including those resulting from death or injury to
SUBGRANTEE'S employees and damage to SUBGRANTEE'S property, arising directly or
indirectly out of the obligations or operations herein undertaken by SUBGRANTEE, including
those arising from the passive concurrent negligence of CITY, but save and except those which
arise out of the active concurrent negligence, sole negligence, or the sole willful misconduct of
CITY. SUBGRANTEE will conduct all defense at its sole cost and expense. CITY shall be
reimbursed by SUBGRANTEE for all costs or attorney's fees incurred by CITY in enforcing this
obligation.
10. Pursuant to California Labor Code Section §1861, SUBGRANTEE
acknowledges awareness of Section 3700 et seq. of said code, which requires every employer to
be insured against liability for workers' compensation; SUBGRANTEE convenants that it will
comply with such provisions prior to commencing performance of the work hereunder.
SUBGRANTEE shall maintain such workers compensation insurance in an amount of not
less than One Hundred Thousand dollars ($100,000) bodily injury by accident, each occurrence,
One Hundred Thousand Dollars ($100,000) bodily injury by disease, each employee, and Two
Hundred Fifty Thousand Dollars ($250,000) bodily injury by disease, policy limit, at all times
incident hereto, in forms and underwritten by insurance companies satisfactory to CITY.
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SUBGRANTEE shall require all subcontractors to provide such workers' compensation
insurance for all of the subcontractor's employees. SUBGRANTEE shall furnish to CITY a
certificate of waiver of subrogation under the terms of the worker's compensation insurance and
SUBGRANTEE shall similarly require all subcontractors to waive subrogation.
11. SUBGRANTEE shall carry at all times incident hereto, on all operations to be
performed hereunder, general liability insurance including coverage for bodily injury, property
damage, products/completed operations, and blanket contractual liability. Said insurance shall
also include automotive bodily injury and property damage liability insurance. All insurance shall
be underwritten by insurance companies in forms satisfactory to CITY for all operations,
subcontract work, contractual obligations, project or completed operations and all owned vehicles
and non -owned vehicles. Said insurance shall name the CITY, its officers, agents and employees
and all public agencies as determined by the CITY as Additional Insureds. SUBGRANTEE shall
subscribe for and maintain said insurance policies in full force and effect during the life of this
Agreement, in an amount of not less than One Million Dollars ($1,000,000) combined single limit
coverage. If coverage is provided under a form which includes a designated general aggregate
limit, such limit shall be no less than One Million Dollars ($1,000,000). In the event of aggregate
coverage, SUBGRANTEE shall immediately notify CITY of any known depletion of limits.
SUBGRANTEE shall require its insurer to waive its subrogation rights against CITY and agrees
to provide certificates evidencing the same.
12. SUBGRANTEE agrees to comply with all requirements and utilize fair
employment practices in accordance with the California Government Code sections 12900 et seq.
13. The CITY has ascertained from the Director of Industrial Relations of the State of
California the general prevailing rate of per diem wages and the general prevailing rate for legal
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holiday and overtime work in the locality in which the works is to be performed for each craft or
type of work needed to execute this Agreement, and the same has been set forth by resolution on
file in the office of the City Clerk of CITY. SUBGRANTEE and any subcontractor under it shall
pay not4ess than said prevailing wage rates to all workers employed on this Subgrantee
Agreement, as required by California Labor Code Sections 1771 and 1774. In accordance with
the provisions of Section 3700 SUBGRANTEE agrees to secure payment of compensation to
every employee.
14. Pursuant to this Agreement and in accordance with section 1774 and 1775 of the
California Labor Code, SUBGRANTEE shall, a penalty to CITY, forfeit twenty-five dollars
($25) for each calendar day or portion thereof for each worker paid (either by SUBGRANTEE or
any of its subcontractors) less than the prevailing wage rate established for that particular craft or
type of work.
15. California Labor Code, Section 1810 et seq., shall apply to the performance of
this Agreement; thereunder, not more than eight (8) hours shall constitute one day's work and
SUBGRANTEE and each subcontractor employed by its hereunder, shall not require more than
eight (8) hours of labor per day or forty (40) hours per week from any one person employed by it
hereunder, except as stipulated in California Labor Code, Section 1815. SUBGRANTEE and
each subcontractor employed by it hereunder shall, in accordance with Section 1812, keep an
accurate record, open to inspection at all reasonable hours, showing the name and actual hours
worked each calendar day and each calendar week by each worker employed in connection with
the PROJECT.
16. Pursuant to this Agreement and in accordance with California Labor Code Section
1813, SUBGRANTEE shall, as a penalty to CITY, forfeit twenty-five dollars ($25) for each
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worker employed hereunder by SUBGRANTEE or any subcontractor for each calendar day
during which such worker is required or permitted to work more than eight (8) hours in any one
(1) calendar day or forty (40) hours in any one (1) calendar week in violation of California Labor
Code Section 1815.
17. Section 1773.8 of the California Labor Code, regarding the employment of
apprentices, is applicable to this PROJECT.
18. Section 1777.5 of the California Labor Code, regarding the employment of
apprentices, is applicable to this paragraph.
19. SUBGRANTEE agrees to keep accurate payroll record showing the name,
address, social security number, work classification, straight time and overtime hours worked
each day and week, and the actual per diem wages paid to each journeyman, apprentice or worker
employed by it in connection with the project and agrees to require each of its subcontractors to
do the same. SUBGRANTEE further agrees that its payroll records and those of its
subcontractors, if any, shall be available at all reasonable times to the CITY, and the employee or
his representative, and the Division of Labor Standards Enforcement and the Division of
Apprenticeship Standards, and to comply with all of the provisions of California Labor Code
Section 1776, in general.
20. It is understood and agreed that the SUBGRANTEE is, and shall be, acting at all
times hereunder as an independent contractor and not as an employee of CITY. SUBGRANTEE
shall secure, at its expense, and be responsible for any and all payment of income tax, social
security, state disability insurance compensation, unemployment compensation and other payroll
deductions for SUBGRANTEE and its officers, agents and employees, and all business licenses, if
any, in connection with the project.
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•
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21. All notices pertaining to this Agreement, and any communications from the parties
may be made by delivery of said notices in person or by depositing said notices in the U.S. Mail,
registered or certified mail, return, receipt requested, postage prepaid and addressed as follows:
To CITY:
City of Huntington Beach
Director of Economic Department
2000 Main Street
Huntington Beach, CA 92648
To SUBGRANTEE:
Jacqueline Cherewick, Executive Director
Huntington Beach Community Clinic
17692 Beach Boulevard, Ste. 200
Huntington Beach, CA 92647
Any of the parties may cancel this Agreement by giving thirty (30) days written notice of
said cancellation to the other party hereto. In the event of termination or cancellation for any
reason, CITY shall be liable for services rendered up to such termination.
This document fully expresses all understandings of the parties concerning all matters
covered and shall constitute the total Agreement. No prior written or oral provisions or
understanding, between the parties shall have any force or effect. No addition to or alteration of
the terms of this Agreement shall be valid unless made in writing and formally adopted in the same
manner as this Agreement.
22. This Agreement shall be void and its terms shall have no force or effect whatsoever
if not signed by authorized agents or officers of SUBGRANTEE within thirty (30) days of receipt
of this document. It shall be the responsibility of the CITY to transmit this agreement and any
other necessary documentation to SUBGRANTEE and to record the date of receipt thereof.
8
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
by and through their authorized officers the day, month and year first above written.
SUBGRANTEE
HUNTINGTON BEACH COMMUNITY
CLINIC
By:
Cath Gr n, President
A444(31E 4146 /its , 5MP-T-*Xy
RE WED AND APPROVED:
r
City AdnAnistrator
CITY OF HUNTINGTON BEACH, A
municipal corporation of the State of
California
Mayor
ATTEST:
&&444"
City Clerk
APPROVED AS TO FORM:
- Ae:�:Y�
'City Attorney
INITIATED AND APPROVED:
C,
Di ector of Economic Development
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PA06WER THIS CERTIFICATE: is ISSUED AS A MATTER OF INFORMATION
ONLY AND CONFERS NO RIGHTS UPON THE 'CERTIFICATE
Chapman & Associates Inc HOLDER. THIS CERTIFICATE DOES NOT AMEND EXTEND OR
261 North San Gabriel Blvd. ALTER THE COVERAGE AFFORDED BY T14E POL 6ES KLOYW.
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EXCLUSIONS AND CONVTKNb. QF SUCH POLICIES. LIMITS SI TOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
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The City of Huntington Beach, it's officers, agents and employees are
named as additional insured vAti► respect to the operations at the insured.
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M14ULO ANY OF im ABOVE DESCAWD NxsM N CARMLEO DEPOSE 1N!
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EXPIRAWK DATE RIEREOF, THE IMANO COMPANY WILL 91100r.eaalM MAIL
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ADDITIONAL INSURED FOR LIMITED PURPOSES --FUNDING SOURCE
'This endorsement modifies insurance provided under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE FORM
PROFESSIONAL LIABILITY COVERAGE FORM
NONONNED AND HIRED AUTO COVERAGE FORM
The PERSONS INSURED Sections of the applicable coverage forme are amended to include as Insureds the person(s) and
organiiationts) listed below. but only with respect to their liability arising out of the Named Insured'sactivities within the scope of
funding contracts between the Named Insured and the persons or organizations listed below:
City 6f Huntington Beach
Risk Management Department
2000 Main Street
Huntington Beach, California 92648
No other extension or modification of coverage is expressed. intended or implied by this endorsement.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
This endorsement when countersigned by an Authorized Representative of the Company shall take effect on the date indicated
Wow.
Endorsement Effective Date: 1/l/90 at 12:01 a.m. Pacific Standard Time
Endorsement Retroactive Date: 1/24/87 at 12.01 a.m. Pacific Standard Time
Named Insured: Huntington Beach Conmtunity Clinic
Policy Number: CM00273CA90
Endorsement Number: 3
CMAI 02 01 88
Date of Issue: 7/6/90
CLINIC MUTUAL INSURANCE COMPANY
Risk Retention rjroup
by:
CITY OF HUNTINGTON BEACH
2000 MAIN STREET
OFFICE OF THE CITY CLERK
CONNIE BROCKWAY
CITY CLERK
July 18, 1996
Jacqueline Cherewick, Executive Director
Huntington Beach Community Clinic
17692 Beach Boulevard, Ste. 200
Huntington Beach, CA 92647
CALIFORNIA 92648
The City Council of the City of Huntington Beach at their meeting held July 1, 1996,
approved the Subgrantee Loan Agreement Between The City of Huntington Beach and
Huntington Beach Community Clinic for Federal Community Development Block Grant
Funds.
Enclosed is a copy of the executed agreement for your records
If you have any questions regarding this matter, please call the Office of the City Clerk
at (714) 536-5227.
Connie Brockway, CMC
City Clerk
Enclosure
cc: Liz Ehring, Economic Development
g:\cc\agrmt
( Telephone: 714-536-5227
•
Attachment 1
HUNTINGTON BEACH COMMUNITY CLINIC
SCOPE OF SERVICES
JULY 111 1996 - JUNE 303,1997
The Huntington Beach Community Clinic Project will exclusively include the purchase and
installation of the following equipment at 8041 Newman Street, Huntington Beach,
California:
A. Upgraded Telephone System
B: Upgraded Computer System
These systems specifications are further described in the Clinic's proposal dated May 2,
1996 and are incorporated herein.
The following aspects of the Clinic's proposal are not authorized as initially reviewed:
A. The parking lot refinishing.
B. Application fees for parking variances, label charges and reapproval
of plans
Council/Agency Meeting Held: 7�r I `7 6
.
Deferred/Continued to:
U Approved ❑ Conditionally Approved ❑ Denied
City Clerk's Sig tore
Council Meeting Date: July 1, 1996
Department ID Number: -96-43
CITY OF HUNTINGTON BEACH
REQUEST FOR CITY COUNCIL ACTION =.-
SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS
SUBMITTED BY: MICHAEL T. UBERUAGA, City Administr
PREPARED BY: DAVID C. BIGGS, Economic Development Director
SUBJECT: Approval of Community Development Block Grant (CDBG)
Subgrantee Agreements
Statement of Issue, Funding Source, Recommended Action, Alternative Action(s), Analysis, Environmental Status, Attachment(s)
Statement of Issue: The approved Community Development Block Grant (CDBG) budget
for the 1996/97 fiscal year allocates a total of $314,510 for 16 public service agencies, of
which twelve need individual subgrantee agreements. Individual agreements between the
City and each Subgrantee agency must be approved and executed by City Council before
disbursement of CDBG funds.
Funding Source: Community Development Block Grant (CDBG) Funds
(E-H Q-E D-865-4-08-00).
Recommended Action: Motion to:
1. Approve and authorize the Mayor and City Clerk to execute twelve individual subgrantee
agreements based on the sample contract (as approved by the City Attorney) between the
City and each public service agency (Attachment 1)
2. Waive the usual insurance requirements from the subgrantee contracts. (In previous
years the prevailing insurance requirements have not applied to the Subgrantee agencies.)
Alternative Actions : Do not approve the Community Development Block Grant (CDBG)
subgrantee agreements for the twelve agencies.
Analysis: The Department of Housing and Urban Development (HUD) allows up to 15% of
the total CDBG grant to be allocated for public services. On May 6, 1996, City Council
selected and approved sixteen public service agencies totaling $314,510 for the 1996/97
Community Development Block Grant (CDBG) program. Twelve of the sixteen non-profit
agencies require new individual subgrantee agreements.
HUD regulation (24 CFR 570.503 (B) (1)) requires the City to have a written subgrantee
agreement with non -profits who provide a public service for the City. Before disbursing
funds, individual agreements between the City and each public service agency must be fully
executed, allowing the city to disburse funds for services rendered.
The twelve non-profit agencies approved by City Council that require subgrantee
agreements are:
Ecumenical Service Alliance(ESA)
$ 24,000
Adult Day Services
10,000
Boys and Girls Clubs of Fountain Valley
25,000
Feedback Foundation
5,320
Interval House Crisis Shelter
25,000
Hotline of Southern California
5,000
Huntington Beach Youth Shelter
(A Program Of Volunteers of America)
5,000
Huntington Beach Community Clinic .
35,000
Orange County Council on Aging
5,000
Orange County Interfaith Shelter
5,000
Literacy Volunteers of America
5,000
Community Services Program (CSP)
26,400
$175,720
The agencies that do not require a subgrantee agreement are:
Project Self -Sufficiency (includes Program Income) $ 62,500
Oakview Community Center 40,500
Seniors Outreach Center, (2) PT Case Workers 21,090
OCTA (Two year contract, expires 1997) 14,700
$315,400
The agreement designates the grant amount allocated each public service agency and
specifies the nature and scope of the services to be provided to the City of Huntington
- Beach; -and also requests -the Insurance requirements be waived due to the hardship of the
additional costs to the non-profit.
Subgrantees are required to submit quarterly reports detaining expenses, progress towards
goals and objectives, budget control and requests for payment. Each quarterly report is
reviewed to satisfy the requirement of the agreement between the city and the subgrantee.
If the City is satisfied, funds -requested by the subgrantee will be disbursed.
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REQUEST FOR CITY COUNCIL ACTION
MEETING DATE: July 1, 1996 DEPARTMENT ID NUMBER: 96-43
The Department of Housing and Urban Development (HUD) requires the City to monitor
each subgrantee in the year it is funded. Monitoring insures that the subgrantee complies
with the agreement with the City, Federal requirements and regulations, ensures the
eligibility and performance of each program and agency. Financial monitoring includes;
program performance, program compliance, general management practices, Financial
management, record keeping, and specific activity, services. An exit conference concludes
each monitoring and invites questions or comments the agency may have concerning the
monitoring.
Environmental Status: Exempt
Attachment(s):
1. Community Development Block Grant (CDBG) Sample Subgrantee
Agreement.
96SBGRNT.DOC -3- 06/19/96 4:27 PM
on
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SUBGRANTEE AGREEMENT BETWEEN THE CITY OF
HUNTINGTON BEACH AND HUNTINGTON BEACH COMMUNITY CLINIC
FOR HOUSING AND COMMUNITY
DEVELOPMENT BLOCK GRANT PROGRAM
THIS AGREEMENT is entered into this i s t day of July ,
1996, between the CITY OF HUNTINGTON BEACH, a municipal corporation of
the State of California, hereinafter referred to as "CITY," as an entitlement recipient
in the U. S. Department of Housing and Urban Development's Housing and
Community Block Grant Program, and the Huntington Beach Community Clinic, a
nonprofit California corporation, hereinafter referred to as "SUBGRANTEE," for
the expenditure of Block Grant funds;
The Housing and Community Development. Block Grant Program, hereinafter
referred to as "CDBG," mandates that a Subgrantee Agreement be executed in order
that such funds be utilized by the parties hereto.
IT IS HEREBY AGREED that the following provisions are approved and
shall constitute the entire agreement between the CITY and SUBGRANTEE:
1. The purpose of the subgranting of CDBG funds to SUBGRANTEE
shall be solely for salaries and benefits for one counselor for the children's program
in the operation of SUBGRANTEE' S facility located at 8041 Newman Blvd., #200,
Huntington Beach, CA 92647 in accordance with the Budget and Statement of
Intended Beneficiaries, Attachment 1 and Scope of Work, Attachment 2, which are
hereby incorporated by this reference.
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2. The SUBGRANTEE is a nonprofit California corporation duly
organized under the laws of the State of California, whose officers are: President,
Cathy Green and Secretary, Maggie Higgins.
3. The total amount granted to SUBGRANTEE is $35,000 and such funds
shall be expended within a time period not exceeding twelve (12) consecutive
months, July 1, 1996, through June 30, 1997, following the date of execution of this
agreement, in installments determined by CITY. Payment shall be made to
SUBGRANTEE following the submission of quarterly invoices in a form prescribed
by CITY, detailing such expenses. SUBGRANTEE agrees to submit requests for
reimbursement fifteen (15) days after the end of each quarter which are:
1. July through September,
2. October through December,
3. January through March, and
4. April through June.
CITY shall pay such invoices within thirty (30) days after receipt thereof, provided
CITY is satisfied that such expenses have been incurred within the scope of this
Agreement and that SUBGRANTEE is in compliance with the terms an conditions of
this Agreement. City has the right to recapture all or a portion of Block Grant
Funds not requested for reimbursement 30 days after the end of the fiscal year, June
30, 1997.
4. SUBGRANTEE agrees to conduct all activities of the organization,
whether funded in whole or in part by CDBG fends from CITY, in accordance with
the provisions contained in the Federal Office of Management and Budget ("OMB ")
Circular A-87 and its attachments, including those for contracts in excess of Ten
Thousand Dollars ($10,000.00) and including the provisions relating to audit
requirements and resolution of audit findings as provided in Circular A-128.
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SUBGRANTEES who have received $25,000 or more in grant funds are
required to submit an annual report including either a single audit or program audit
reports, which evidence an audit was completed in accordance with specific program
requirements of the OMB Circular (i.e., A-128 or A-133).
5. The CITY shall have the right to recapture all or a portion of Block
Grant funds disbursed to SUBGRANTEE should the SUBGRANTEE fail to comply
with all of the terms and conditions of this agreement or refuse to accept any
conditions which may subsequently be imposed by the U. S. Department of Housing
and Urban Development for the operation of the Community Development Block
Grant Program.
b. SUBGRANTEE shall not dispose of any real or personal property
acquired in full or in part with CDBG funds through sale, use, or relocation without
the express and prior written permission of the City, and SUBGRANTEE agrees to
maintain program records for a minimum of three years after the close-out of the
subgrant and to make such records available for onsite monitoring by CITY not less
than annually and to periodic inspections by HUD officials during this three-year
period.
7. SUBGRANTEE agrees that no officer, employee, agent, or assignee of
CITY having direct or indirect control of CDBG funds granted to the CITY shall
serve as an officer of SUBGRANTEE. Further, any conflict or potential conflict of
interest of any officer of SUBGRANTEE shall be fully disclosed to the City prior to
the execution of this agreement and shall be attached to and become a part hereof.
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8. SUBGRANTEE agrees that any earned interest income on funds
generated through the use or investment of funds received from CITY shall be used
in conformance with program income requirements set forth in Code of Federal
Regulations 570.504. The SUBGRANTEE shall disclose to the CITY all program
income received utilizing CDBG funds administered under this Agreement.
9. SUBGRANTEE agrees that in the event it is unable to perform or
defaults upon any provision contained herein, the CITY shall have the right to
recapture the full amount of funds granted to SUBGRANTEE.
10. SUBGRANTEE acknowledges that the CITY shall disburse funds to
SUBGRANTEE only upon execution of this agreement, and CITY is empowered
only to provide funds to SUBGRANTEE pursuant to the provisions of this
agreement.
11. SUBGRANTEE hereby agrees to protect, defend, indemnify and hold
and save harmless CITY, its officers, and employees against any and all liability,
claims, judgments, costs and demands, however caused, including those resulting
from death or injury to SUBGRANTEE' S employees and damage to
SUBGRANTEE' S property, arising directly or indirectly out of the obligations or
operations herein undertaken by SUBGRANTEE, including those arising from the
passive concurrent negligence of CITY, but save and except those which arise out of
the active concurrent negligence, sole negligence, or the sole willful misconduct of
CITY. SUBGRANTEE will conduct all defense at its sole cost and expense. CITY
shall be reimbursed by SUBGRANTEE for all costs or attorney's fees incurred by
CITY in enforcing this obligation.
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12. Pursuant to City Council Resolution 6277, on July 1, 1996 the City
Council by its action waived its requirement that the SUBGRANTEE provide proof
of Worker's Compensation and General Liability insurance, for the period between
July 1, 1996 to June 30, 1997.
13. .' Pursuant to California Labor Code Section 1861, SUBGRANTEE
acknowledges awareness of Section 3700 et seq. of said code, which requires every
employer to be insured against liability for workers' compensation; SUBGRANTEE
convenants that it will comply with such provisions prior to commencing
performance of the work hereunder.
REST OF PAGE NOT USED
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14, SIGNATURES/TIME OF EXECUTION
This agreement shall be void and its terms shall have no force or effect
whatsoever if not signed by authorized -agents or officers of SUBGRANTEE within
thirty (30) days of receipt of this document. It shall be the responsibility of the City
to transmit this agreement and any other necessary documentation to SUBGRANTEE
and to record the date of receipt thereof.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to
be executed by and through their authorized officers the day, month and year first
above written.
SUBGRANTEE
Huntington Beach Community Clinic,
a nonprofit California corporation
By:
Cathy G en, fUsident
ATTEST:
City Clerk
/REVIEWED'AND APPROVED:
'OzCity Administrator
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CITY OF HUNTINGTON BEACH
a municipal corporation of the
State of California
L:::�: 4at-_
Mayor
APPROVED AS TO FORM:
Z-. -, � �- //� -
it Attorney f-e-' tbj�o^
INIt TED AND APPROVED:
pLd G-
Director of Economic Development
The t` non-profit agencies approved by City Counc at require subgrantee
agre6ments are.
"Ecumenical Service Alliance(ESA)
Adult Day Services
Boys and Girls Clubs of Fountain Valley
Feedback Foundation
Interval House Crisis Shelter
Hotline of Southern California
Huntington Beach Youth Shelter
$ 24,000��""�`"~
10,000��'` yt
25,000--Y-�!a/�
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(A Program Of Volunteers of America)
Huntington Beach Community Clinic
5,000 // / /f
F
35,000
/0 i
Orange County Council on Aging
Orange County Interfaith Shelter
5,0002-7-t-#�
5,000-`� i�Jy
Literacy Volunteers of America
5,000 r o
Community Services Program (CSP)
26,400,.rrt44&-f nor ?
$175, 720
The agencies that do not require a subgrantee agreement are:
Project Self -Sufficiency (includes Program Income) $ 62,500
Oakview Community Center 40,500
Seniors Outreach Center, (2) PT Case Workers 21,090
OCTA (Two year contract, expires 1997) 14.700
$315, 400
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CITY OF-HUNTINGT�ON BEACH
2000 MAIN STREET
OFFICE OF THE CITY CLERK
CONNIE BROCKWAY
CITY CLERK
November 19, 1996
Cathy Green, President
Huntington Beach Community Clinic
8041 Newman Boulevard, No. 200
Huntington Beach, California 92647
Dear Ms. Green:
CALIFORNIA 92648
The City Council of the City of Huntington Beach at the regular meeting held
July 1, 1996, approved execution of the enclosed subgrantee agreement between
the city and Huntington Beach Community Clinic for Housing And Community
Development Block Grant funds.
Enclosed is a duly executed copy of the agreement for your records.
Sincerely,
Connie Brockway v
City Clerk
CB:jc
Enclosure: Agreement
G:followup:agrrnt]tr/T 1BClinic.jc
(Telephone: 714.536.52271