HomeMy WebLinkAboutSubrecipient Agreement HopesourceSUBRECIPIENT AGREEMENT
Between
Kittitas County and HopeSource
This Agreement is made between Kittitas County (herein called the Local Government) and
HopeSource (herein called Subrecipient) for the Public Services to low-and moderate-income persons
in Kittitas County project (herein called the Project).
Local Government RepreSentative Subrecipient Representative
Judy Pless, Budget and Finance Manager Susan Grindle, Chief Executive Officer
Phone 509-962-7502 HopeSource
Fax 509-962-7687 Phone 509-925-1448
Email judy .pless@co.kittitas.wa.us Fax 509-925-1204
Email skgrindle@hopesource.us
Start Date End Date Federal Funds Amount $81,003
July 1,2017 June 30, 2018 CFDA # 14.228
US Department of Housing & Urban Development
Passed through Kittitas County
As the Washington State Department of Commerce (COMMERCE) is authorized by the federal
Department of Housing and Urban Development (HUD) to provide funds to units of local government
selected to undertake and carry out projects under the Washington State Community Development
Block Grant (CDBG) Program in compliance with all applicable local, state, and federal laws,
regulations and policies; and
As the Local Government has applied for and received a CDBG award, contract number 17-62210-008,
to fund the Project; and
As it benefits the Local Government to engage the Subrecipient to accomplish the Scope of Service and
the objectives of the local CDBG project;
The parties agree that:
1. SCOPE OF SERViCE
A. Local Government Responsibilities
The Local Government is responsible for administration of the CDBG contract, and ensuring
CDBG funds are used in accordance with all program requirements [(24 CFR 570.501(b)] and its
CDBG contract with COMMERCE referenced above. The Local Government will provide such
assistance and guidance to the Subrecipient as may be required to accomplish the objectives and
conditions set forth in this Agreement.
Agreement 2017-2018 CDBG-SR
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B. Subrecipient Responsibilities
The Subrecipient will complete in a satisfactory and proper manner as determined by the Local
Government the attached tasks (Attachment A) to accomplish the objectives of the Project. The
Subrecipient will periodically meet with the Local Government to review the status of these tasks.
2. TIME OF PERFORMANCE
The effective date of this Agreement will be July 1,2017 and complete execution ofthis
agreement will be June 30, 2018.
3. BUDGET
The Local Government will pass through to the Subrecipient no more than $81,003 in CDBG
funds for eligible incurred costs and expenses for the Project according to the following budget.
CCBO Budget Project Activities Budget
Code Amount "Must complete each bullated project activity to meet the corresponding milestone.
as Public $81.003 I Deliver the direct services Identified in the COSG application through the local community action
Services program.
• Allocate and manage public services funds as established In the approved subreclplent agreement
and budgel
I Meet Ihe OOSG nallonal ob/ectlve o~ prl1'clp ally b811aO!It,g low. and ll1oderale ·lncoM\ft persons.
I AccohlPlJsh HUQ '$ ou,lco me or !11creash,g 1M avallllbi lity 81'd accesslbltlty of. services to achieve
HUO's obJoclive of creating ~ultilb l e "vll,g Qlwlronmenls.
The Indirect Cost Rate: _% Federally Approved Indirect Rate, or 10% de minimis rate, or fill
out "NI A" declining to charge indirect
The Local Government may require a more detailed budget breakdown, and the Subrecipient will
provide such supplementary budget information in a timely fashion in the form and content
prescribed by the Local Government. Any amendments to this Agreement's Budget must first be
determined by the Local Government as consistent with its CDBG contract with COMMERCE and
then approved in writing by the Local Government and the Subrecipient.
Indirect Cost Rate if the Subrecipient chooses to charge Indirect under this grant, the Subrecipient
shall provide their indirect cost rate that has been negotiated between their entity and the Federal
Government. Ifno such rate exists, a de minimis indirect cost rate of 10% of modified total direct
costs (MTDC) will be used.
"Modified Total Direct Costs (MTDC)" shall mean all direct salaries and wages, applicable fringe
benefits, materials and supplies, services, travel, and up to the first $25,000 of each subaward
(regardless ofthe period of performance of the subawards under the award). MTDC excludes
equipment, capital expenditures, and rental costs.
Any amendments to this Agreement's Budget must first be determined by the Local Government
as consistent with its CDBG contract with Commerce and then approved in writing by the Local
Government and the Subrecipient.
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4. PAYMENT
The Local Government will reimburse the Subrecipient in accordance with the payment
procedures outlined in the CDBG Management Handbook, Financial Management Section for all
allowable expenses agreed upon by the parties to complete the Scope of Service.
Reimbursement under this agreement will be based on billings, supported by detail invoices and
other appropriate documentation of costs actually incurred. It is expressly understood that claims
for reimbursement will not be submitted in excess of actual, immediate cash requirements
necessary to carry out the purposes of the agreement. Funds available under this Agreement will
be utilized to supplement rather than supplant funds otherwise available.
It is understood that this agreement is funded in whole or in part with CDBG funds through the
Washington State CDBG Program as administered by COMMERCE and is subject to those
regulations and restrictions normally associated with federally-funded programs and any other
requirements that the state may prescribe.
5. PERFORMANCE MO lTORING
The Local Government will monitor the performance of the Subrecipient by tracking project
progress, reviewing payment requests for applicable costs, managing the timely pass-through of
CDBG funds, overseeing compliance with CDBG requirements, and ensuring recordkeeping and
audit requirements are met. Substandard performance as determined by the Local Government
will constitute noncompliance with this Agreement.
If action to correct such substandard performance is not taken by the Subrecipient within a
reasonable period oftime after being notified by the Local Government, contract suspension or
termination procedures will be initiated.
6 . SPECIAL COND ITIONS
There are no Special Conditions
7. GENERAL CONDITIONS
A. Genef'al Co m plian c e
The Subrecipient agrees to comply with:
• The requirements of Title 24 of the Code of Federal regulations, Part 570 (HUD
regulations concerning CDBG); and
• Ail other applicable Federal, state and local laws, regulations, and policies, governing
the funds provided under this Agreement.
B. CDBa atio nal Obj ective
The Subrecipient certifies the activities carried out under this Agreement meet a CDBG
Program National Objective defined in 24 CFR 570.208.
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C . lnde pendent Cont ractor
Nothing contained in this Agreement is intended to, or will be construed in any manner, as
creating or establishing the relationship of employer/employee between the parties. The
Subrecipient will at all times remain an "independent contractor" with respect to the services
to be performed under this Agreement. The Local Government will be exempt from payment
of all Unemployment Compensation, FICA, retirement, life and/or medical insurance and
Workers' Compensation Insurance, as the Subrecipient is an independent contractor.
D . Hold Harmless
The Subrecipient will hold harmless, defend and indemnify the Local Government from any
and all claims, actions, suits, charges and judgments whatsoever that arise out of the
Subrecipient's performance or nonperformance of the services or subject matter called for in
this Agreement.
E. Workers Com pe n at ion
The Subrecipient will provide Workers' Compensation Insurance Coverage for all of its
employees involved in the performance of this Agreement.
F. Ins uran ce an d Bond ing
The Subrecipient will carry sufficient insurance coverage to protect contract assets from loss
due to theft, fraud and/or undue physical damage, and as a minimum will purchase a blanket
fidelity bond covering all employees in an amount equal to cash advances from the Local
Government. A copy of the certificate of insurance will be provided to the Local
Government.
The Subrecipient shall furnish the Local Government with properly executed certificate of
insurance or a signed policy endorsement which shall clearly evidence all insurance required
in this section prior to commencement of services . The certificates will, at a minimum, list
limits of liability and coverage. The certificate will provide that the underlying insurance
contract will not be cancelled or allowed to expire except on thirty (30) days prior written
notice to the Local Government.
G. Fundin g Sow-cc R ecog niti on
The Subrecipient will insure recognition of the roles of COMMERCE, the WA State CDBG
program, and the Local Government in providing services through this Agreement. All
activities, facilities and items utilized pursuant to this Agreement will be prominently labeled
as to funding source. In addition, the Subrecipient will include a reference to the support
provided herein in all publications made possible with funds inade available under this
Agreement.
H. Amendments
The Local Government or Subrecipient may amend this Agreement at any time provided that
such amendments make specific reference to this Agreement, and are executed in writing,
signed by a duly authorized representative of each organization, and approved by the Local
Government's governing body. Such amendments will not invalidate this Agreement, nor
relieve or release the Local Government or Subrecipient from its obligations under this
Agreement.
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L Susp ens io n o r T erminat ion
In accordance with 2 CFR 200.338-9, the Local Government may suspend or terminate this
Agreement if the Subrecipient materially fails to comply with any terms ofthis Agreement,
which include (but are not limited to) the following:
1. Failure to comply with any of the rules, regulations or provisions referred to herein, or
such statues, regulations, executive orders, and HUD guidelines, policies or directives as
may become applicable at any time;
2. Failure, for any reason, of the Subrecipient to fulfill in a timely and proper manner its
obligations under this Agreement.
3. Ineffective of improper use of funds provided under this Agreement; or
4. Submission by the Subrecipient to the Local Government of reports that are incorrect or
incomplete in any material respect.
In accordance with 2 CFR 200.339, this Agreement may also be terminated for convenience
by either the Local Government or the Subrecipient, in whole or in part, by setting forth the
reasons for such termination, the effective date, and, in the case of partial termination, the
portion to be terminated. However, if in the case of a partial termination, the Local
Government determines that the remaining portion ofthe award will not accomplish the
purpose for which the award was made, the Local Government may terminate the award in
its entirety.
8. ADMINIST RA TIVE REQUIREMENTS
A. Financial Management
1. Ac count ing S ta ndards
The Subrecipient agrees to comply with 2 CFR 200 and agrees to adhere to the
accounting principles and procedures required therein, utilize adequate internal controls,
and maintain necessary source documentation for all costs incurred.
2 . Cost Princi pJes
The Subrecipient will administer its program in conformance with 2 CFR 200. These
principles will be applied for all costs incurred whether charged on a direct or indirect
basis .
3. Du pJication of Costs
The Subrecipient certifies that work to be performed under this Agreement does not
duplicate any work to be charged against any other contract, subcontract or other source.
B . D o cume ntati on an d R ecord Keeping
1. Records to Be Maintained
The Subrecipient will maintain all records required by the Federal regulations specified in
24 CFR 570.506 that are pertinent to the activities to be funded under this Agreement and
those records described in the CDBG Management Handbook. Such records will include
but not be limited to:
a. Records providing a full description of each activity undertaken;
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b. Records demonstrating that each activity undertaken meets one ofthe National
Objectives of the CDBG program;
c. Records required to determine the eligibility of activities;
d. Records required to document the acquisition, improvement, use or disposition of
real property acquired or improved with CDBG assistance;
e. Records documenting compliance with the civil rights components of the CDBG
program;
f. Financial records as required by 24 CFR 570.502, and 2 CFR 200.333;
g. Labor standards records required to document compliance with the Davis Bacon
Act, the provisions of the Contract Work Hours and Safety Standards Act, and all
other applicable Federal, state and local laws and regulations applicable to
CDBG-funded construction projects; and
h. Other records necessary to document compliance with Subpart K of 24 CFR Part
570.
2. Access to Record and Retenti on
Local Government, the Washington State Department of Commerce, and other
authorized representatives of the state and federal governments shall have access to any
books, documents, papers and records of the Subrecipient that are directly pertinent to
this Agreement for the purposes of making audit, examination, excerpts and
transcriptions.
All such records and all other records pertinent to this agreement and work undertaken
under this Agreement will be retained by the Subrecipient for a period of six years after
final audit ofthe Local Government's CDBG project, unless a longer period is required
to resolve audit findings or litigation. In such cases, the Local Government will request a
longer period of record retention.
3. Audits and Inspections
All Subrecipient records with respect to any matters covered by this Agreement will be
made available to the Local Government, COMMERCE, and duly authorized officials of
the state and federal government, at any time during normal business hours, as often as
deemed necessary, to audit, examine, and make excerpts or transcripts of all relevant
data.
Any deficiencies noted in audit reports must be fully cleared by the Subrecipient within
30 days after receipt by the Subrecipient. Failure of the Subrecipient to comply with the
above audit requirements will constitute a violation of this Agreement and may result in
the withholding of future payments.
The Subrecipient that expends $750,000 or more in a fiscal year in federal funds from all
sources hereby agrees to have an annual agency audit conducted in accordance with
current Local Government policy concerning Subrecipient audits and 2 CRF 200.501.
The Catalog of Federal Domestic Assistance (CFDA) number is 14.228.
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C. Repo rt ing
1. Progra m Incom e
The Subrecipient will report annually all program income (as defined at 24 CFR
570.500(a)) generated by activities carried out with CDBG funds made available under
this Agreement. The use of program income by the Subrecipient will comply with the
requirements set forth at 24 CFR 570.504.
2. Periodic Re ports
The Subrecipient, at such times and in such forms as the Local Government may require,
will furnish the Local Government such periodic reports as it may request pertaining to
the work or services undertaken pursuant to this agreement, the costs and obligations
incurred or to be incurred in connection therewith, and any other matters covered by this
agreement.
D. Use and Reversion of Assets
The use and disposition of real property and equipment under this Agreement will be in
compliance with the requirements of2 CFR 200.311 and 313, 24 CFR 570.502, 570.503,
570.504, as applicable, which include but are not limited to the following:
1. The Subrecipient will transfer to the Local Government any CDBG funds on hand and
any accounts receivable attributable to the use of funds under this Agreement at the time
of expiration, cancellation, or termination.
2. Real property under the Subrecipient's control that was acquired or improved, in whole
or in part, with funds under this Agreement in excess of $25,000 will be used to meet one
of the CDBG National Objectives pursuant to 24 CFR 570.208 until ten (10) years after
the contract between COMMERCE and the Local Government is closed. Ifthe
Subrecipient fails to use CDBG-assisted real property in a manner that meets a CDBG
National Objective for this 10-year period of time, the Subrecipient will pay the Local
Government an amount equal to the current fair market value of the property less any
portion of the value attributable to expenditures ofnon-CDBG funds for acquisition of, or
improvement to, the property after the CDBG program's approval. Such payment will
constitute program income to the Local Government. The Subrecipient may retain real
property acquired or improved under this Agreement after the expiration ofthe ten-year
period.
3. In cases in which equipment acquired, in whole or in part, with funds under this
Agreement is sold, the proceeds will be program income. Equipment not needed by the
Subrecipient for activities under this Agreement will be (a) transferred to the Local
Government for CDBG-eligible activities as approved by the CnBG program or (b)
retained after compensating the Local Government.
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9. PERSONNEL AND PARTICIPANT CONDITIONS
A. Civil Rights
Title VI of the CivilRights Act of 1964:
Under Title VI of the Civil Rights Act of 1964, no person will, on the grounds of race, color,
creed, religion, sex or national origin, be excluded from participation in, be denied the
benefits of, or be subjected to discrimination under any program or activity receiving federal
financial assistance.
Section 109 of the Housing and Community Development Act of 1974:
No person in the United States will on the grounds of race, color, creed, religion, sex or
national origin be excluded from participation in, be denied benefits of, or be subjected to
discrimination under any program or activity funded in whole or in part with funds made
available under this title.
Age Discrimination Act · f L975, as Amended
No person will be excluded from participation, denied program benefits, or subjected to
discrimination on the basis of age under any program or activity receiving federal funding
assistance. (42 U.S.C. 610 et. seq.)
Section 504 of the Rehabilitation Act of 1973, as Amended
No otherwise qualified individual will, solely by reason or his or her disability, be excluded
from participation (including employment), denied program benefits, or subjected to
discrimination under any program or activity receiving Federal funds. (29 U.S.C. 794)
PubHc Law 101-336, Americans with Disabilities Act of 1990
Subject to the provisions ofthis title, no qualified individual with a disability will, by reason
of such disability, be excluded from participation in or be denied the benefits of the services,
programs, or activities of a public entity, or be SUbjected to discrimination by any such entity.
B. Section 3 of the Housing aJid Community Developmen't Act of 1968
Compliance in the Provision of Training, Employment, and Business Opportunities:
1. The work to be performed under this agreement is on a project assisted under a program
providing direct federal financial assistance from HUD and is subject to the requirements
of Section 3 ofthe Housing and Urban Development Act of 1968, as amended, 12 U.S.C.
1701 u. Section 3 requires that to the greatest extent feasible opportunities for training
and employment be given lower-income residents of the project area; and contracts for
work in connection with the project be awarded to business concerns which are located
in, or owned in substantial part, by persons residing in the area of the project.
2. The parties to this contract will comply with the provisions of said Section 3 and the
regulations set forth in 24 CFR 135, and all applicable rules and orders ofHUD and
COMMERCE issued thereunder prior to the execution ofthis contract. The parties to
Agreement 2017-2018 CDBG-SR
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this contract certify and agree that they are under no contractual or other disability that
would prevent them from complying with these provisions.
3. The Subrecipient will send to each labor organization or representative of workers with
which he has a collective bargaining agreement or other contract or understanding, if any,
a notice advising the said labor organization or workers' representative of his
commitments under this Section 3 clause and will post copies of the notice in
conspicuous places available to employees and applicants for employment or training.
4. The Subrecipient will include this Section 3 clause in every subcontract for work in
connection with the project and will, at the direction of the applicant, or recipient of
federal financial assistance, take appropriate action pursuant to the subcontract upon a
finding that the subcontractor is in violation of regulations issued by the Secretary of
HUD, 24 CFR Part 135. The Subrecipient will not subcontract with any subcontractor
where it has notice or knowledge that the latter has been found in violation of regulations
under 24 CFR Part 135 and will not let any subcontract, unless the subcontractor has first
provided it with a preliminary statement of ability to comply with the requirements of
these regulations.
5. Compliance with the provisions of Section 3, the regulations set forth in 24 CFR Part
135, and all applicable rules and orders ofHUD and COMMERCE issued hereunder
prior to the execution of the contract, will be a condition of the federal financial
assistance provided to the project, binding upon the applicant or recipient for such
assistance, its successors, and assigns. Failure to fulfill these requirements will subject
the applicant, or recipient, its consultants and subcontractors, its successors and assigned
to those sanctions specified by the grant or loan agreement or contract through which
federal assistance is provided, and to such sanctions as are specified by 24 CFR Part 135.
C. Conduct
1. Assignabi lity
The Subrecipient will not assign or transfer any interest in this Agreement without the
prior written consent of the Local Government thereto; provided, however, that claims for
money due or to become due to the Subrecipient from the Local Government under this
contract may be assigned to a bank, trust company, or other financial institution without
such approval. Notice of any such assignment or transfer will be furnished promptly to
the Local Government and COMMERCE.
2. Conflict ofInterest
No member of the Local Government's governing body and no other public official of
such locality, who exercises any functions or responsibilities in connection with the
planning or carrying out of the project, will have any personal financial interest, direct or
indirect, in this agreement; and the Subrecipient will take appropriate steps to assure
compliance.
The Subrecipient agrees to abide by the provisions of 2 CFR 200.318 and 24 CFR
570.611, which includes maintaining a written code or standards of conduct that will
govern the performance of its officers, employees or agents engaged in the award and
administration of contracts supported by Federal funds.
Agreement 2017-2018 CDBG-SR
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The Subrecipient covenants that its employees have no interest and will not acquire
interest, direct or indirect, in the study area or any parcels therein or any other interest
which would conflict in any manner or degree with the performance of services
hereunder. The Subrecipient further covenants that in the performance of this
Agreement, no person having such interest will be employed.
3. Certification Regarding Debarment Suspensiol1 .lneligjbmty~lIld Vo lun tary Exclu sio n -
Lower Tier Covered Transactions
a. The lower tier contractor certifies, by signing this contract that neither it nor its
principals is presently debarred, suspended, proposed for debarment, declared
ineligible, or voluntarily excluded from participation in this transaction by any
Federal department or agency.
b. Where the lower tier contractor is unable to certify to any of the statements in this
contract, such contractor will attach an explanation to this contract.
c. The contractor further agrees by signing this contract that it will not knowingly enter
into any lower tier covered transaction with a person who is debarred, suspended,
declared ineligible, or voluntarily excluded from participation in this covered
transaction.
D. _Copyright
Ifthis Agreement results in any copyrightable material or inventions, the Local Government
andlor COMMERCE reserves the right to royalty-free, non-exclusive and irrevocable license
to reproduce, publish or otherwise use and to authorize others to use, the work or materials
for governmental purposes.
E. Religiolls , Act! v jties
The Subrecipient agrees that funds provided under this Agreement will not be utilized for
inherently religious activities prohibited by 24 CFR 570.200(j), such as worship, religious
instruction, or proselytization.
10. SEVERABILITY
If any provision of this Agreement is held invalid, the remainder of the Agreement will not be
affected thereby and all other parts ofthis Agreement will nevertheless be in full force and effect.
11. PERFORMANCE WAIVER
The Local Government's failure to act with respect to a breach by the Subrecipient does not waive
its right to act with respect to subsequent or similar breaches. The failure of the Local Government
to exercise or enforce any right or provision will not constitute a waiver of such right or provision.
12. ENTIRE AGREEMENT
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This Agreement constitutes the entire agreement between the Local Government and the
Subrecipient for the use of funds received under this Agreement and it supersedes all prior
communications and proposals, whether electronic, oral, or written between the Local Government
and the Subrecipient with respect to this Agreement.
The attachments to this Agreement is Attachment A the Scope of Work and Budget
IN WITNESS WHEREOF, the Local Government and the Subrecipient have executed this agreement as
of the date and year last written below.
KITIm
BY:-i~~~~~:::::a.._~"",====-__
Title: Chairman, Board of Co Commissioners _
Date: 12-19-2017 _________ _ Date: --------------------------------
Approved As To Legal Form:
Attorney
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CDBG Budget Budget
Code Amount
05 Public $81 ,003 · Services · · ·
ATIACHMENT A -SCOPE OF WORK AND BUDGET
Grantee: Kittitas County
Contract No. 17-62210-008
Section B: Project Activities, Milestones and Budget (continued)
Project Activities
"Must complete each bulleted project activity to meet the corresponding milestone.
Deliver the direct services identified in the CDBG application through the local community action
program.
Allocate and manage public services funds as established in the approved subrecipient agreement
and budget.
Meet the CDBG national objective of principally benefiting low-and moderate-income persons.
Accomplish HUD's outcome of increasing the availability and accessibility of services to achieve
HUD's objective of creating suitable living environments .
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Performance
Milestones
Approximately
3,500 LMI persons
receive direct
services by
6/30/2018