HomeMy WebLinkAboutORANGE, COUNTY OF (27)INSURANCE NOT REQUIRED Return FULLY EXECUTED
copy to COTC M-30 A-2022-094
WORK MAY PROCEED
CLERK OF THE COUNCIL
DATE: GRANT AGREEMENT BETWEEN THE COUNTY OF ORANGE AND THE
CITY OF SANTA ANA IN SUPPORT OF SANTA ANA BUSINESS
O:GD�(julieC�(Sr>Z INTERRUPTION FUND PROGRAM
N This Grant Agreement (the "Agreement") is made and entered into by and between
N the County of Orange, a political subdivision of the State of California, hereinafter
c%1J referred to as "County," and the City of Santa Ana, a municipal corporation, hereafter
caz referred to as "City," with the County and City referred to as "Party," or collectively
as "Parties."
WHEREAS, on February 26, 2020, the County Health Officer declared a local
health emergency based on an imminent and proximate threat to public health from
the introduction of a novel coronavirus (named "COVID-19") in Orange County (the
"COVID-19 Emergency"); and
WHEREAS, on March 2, 2020, the Board of Supervisors adopted Resolution
No. 2020.11 ratifying the local health emergency declared by the County's Health
Officer; and
WHEREAS, on March 4, 2020, the Governor of the State of California
declared a State of Emergency to exist in California due to the threat of COVID-19;
and
WHEREAS the COVID-19 pandemic and the necessary physical distancing
measures implemented have impacted many businesses, leading to business
closures, loss of employee hours and wages, and layoffs; and
WHEREAS, in addition to recovering from the impacts of the COVID-19
pandemic, many small businesses in Downtown Santa Ana (DTSA) are currently
facing economic challenges due to transit rail construction in Downtown Santa Ana
(DTSA) due to the OC Streetcar transit project; and
WHEREAS on March 1, 2022, the Santa Ana City Council approved the
establishment of a Santa Ana Business Interruption Fund (SBIF) Program
pursuant to which the City would provide grants to small businesses in DTSA to
help mitigate the economic impact of transit rail construction on small businesses
that must rely on foot traffic flow as their main source of revenue, such as retailers,
restaurants, and personal care services; and
WHEREAS on May 10, 2022, the Orange County Board of Supervisors
approved the use of $1.2 million of the Second Supervisorial District's allocation of
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American Rescue Plan Act (ARPA) funding to support Santa Ana small businesses
impacted by ongoing streetcar construction and the COVID-19 pandemic; and
WHEREAS, to increase the funding for and expand the scope of the City's
SBIF Program, the Parties have agreed that the County shall transfer the grant
amount described herein to the City.
NOW, THEREFORE, the Parties mutually agree as follows:
1. TERM OF AGREEMENT. The term of this Agreement begins on the
date it is fully executed by the Parties and terminates on December 31, 2022, or
when all obligations under this Agreement are fully satisfied, whichever occurs
earlier.
2. USE OF GRANT AMOUNT
a. City shall use the grant amount provided under this Agreement
to pay for Eligible Expenses that are incurred during the period that begins
on March 1, 2022, the commencement date of the SBIF program, and ends on
December 31, 2022.
b. The term "Eligible Expenses," as used in this Agreement, shall
mean amounts paid by the City as grants under the City's SBIF program
("SBIF Grants") to small businesses with 25 or fewer full-time employees
("Small Businesses"). The City may use up to $50,000, or four percent (4.0%)
of the grant amount, whichever is greater, for costs directly related to
administration of SBIF Grants awarded pursuant to this agreement.
Applicants that have already received an award of City funds under the SBIF
program shall automatically qualify for grants funded by this Agreement.
SBIF Grants to Small Businesses that are funded by the grant amount shall
be distributed in the following amounts per business:
$20,000 — Rents above $6,000
ii. $10,000 — Rents between $3,000 and $6,000
iii. $5,000 — Rents below $2,999
iv. $1,000 — Pre -permitted Pushcart Peddlers with
active permits.
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V. $1,000 — Independent contractors that work in
DTSA most of the time (i.e., 1099 contractors,
artist, estheticians, barbers, etc.).
C. The City shall notify applicants to, and recipients of, SBIF
Grants, which are funded pursuant to this Agreement by the grant amount,
that the grant is provided with "County Funded Support."
d. City must utilize the grant amount in accordance with all
Federal and State laws.
3. PAYMENT OF GRANT AMOUNT
a. The County shall pay City a grant amount of $1,200,000 within
10 business days after this Agreement has been fully executed. All City
expenditures of the grant amount must be for Eligible Expenses as described
in Paragraph 2 of this Agreement.
b. It is understood that the County makes no commitment to fund
this Agreement beyond the terms set forth herein.
C. If City has not spent any portion of the grant amount it has
received under this Agreement to cover Eligible Expenses by December 31,
2022, City shall return to the County by January 31, 2023, the amount
remaining unspent as of December 31, 2022.
4. STATUTES AND REGULATIONS APPLICABLE TO GRANT. City
must comply with all applicable requirements of State, Federal, and County of
Orange laws, executive orders, regulations, program and administrative
requirements, policies and any other requirements governing this Agreement. City
must comply with applicable State and Federal laws and regulations pertaining to
labor, wages, hours, and other conditions of employment. City must comply with new,
amended, or revised laws, regulations, and/or procedures that apply to the
performance of this Agreement. These requirements include, but are not limited to:
a. Political Activity Prohibited. None of the funds, materials,
property, or services provided directly or indirectly under this Agreement
may be used for any partisan political activity, or to further the election or
defeat of any candidate for public office. Funds provided under this
Agreement may not be used for any purpose designed to support or defeat
any pending legislation or administrative regulation.
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b. Tax Reporting. City is responsible for any tax reporting
requirements that arise from City's distribution of economic support to Small
Businesses, including the filing of any required tax forms with the IRS and
the issuance of any required tax forms to recipients of economic support from
the City.
5. REPORTS.
a. Final Report. Upon the earlier of the City's expenditure of the
balance of the grant amount or December 31, 2022, the City shall provide a
report to the County that shall: (1) identify the Eligible Expenses paid from
the grant amount; (2) identify the name and location of each Small Business,
which received a SBIF Grant was funded by the grant amount, and the
amount of the SBIF Grant paid to each Small Business; and (3) state the
balance of the grant amount that the City has not spent, if any.
b. The City shall provide a certification signed by its chief
executive officer with each report required under this Paragraph 5 that the
statements contained in the report are true and that the expenditures
described in the report comply with the uses permitted under Paragraph 2.
C. The City shall maintain supporting documentation for the
reports required by this Paragraph 5 consistent with the requirements of
Paragraph 6.
6. RECORDS MAINTENANCE. Records, in their original form, must be
maintained in accordance with requirements prescribed by the County with respect
to all matters specified in this Agreement. Original forms are to be maintained on file
for all documents specified in this Agreement. Such records must be retained for a
period four (4) years after termination of this Agreement and after final disposition
of all pending matters. "Pending matters" include, but are not limited to, an audit,
litigation or other actions involving records. Records, in their original form pertaining
to matters covered by this Agreement, must be retained within the County of Orange
unless authorization to remove them is granted in writing by the County.
7. RECORDS INSPECTION. At any time during normal business hours
and as often as either the County or the Auditor General of the State of California
may deem necessary, City must make available for examination all its records with
respect to all matters covered by this Agreement. The County and the Auditor
General of the State of California each have the authority to audit, examine and make
excerpts or transcripts from records, including all City's invoices, materials, payrolls,
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records of personnel, conditions of employment and other data relating to all matters
covered by this Agreement. City agrees to provide any reports requested by the
County regarding performance of this Agreement. With respect to inspection of City's
records, the County may require that City provide supporting documentation to
substantiate City's expenses with respect to the City's use or expenditure of the grant
amount.
S. INDEPENDENT CONTRACTOR. The City shall be considered an
independent contractor and neither the City, its employees, nor anyone working
under the City shall be considered an agent or an employee of County. Neither the
City, its employees nor anyone working under the City shall qualify for workers'
compensation or other fringe benefits of any kind through County.
9. PERMITS, LICENSES, APPROVALS, AND LEGAL OBLIGATIONS.
City shall be responsible for obtaining all permits, licenses, and approvals required
for performing any work under this Agreement. City shall be responsible for
observing and complying with any applicable Federal, State, or local laws, or rules
or regulations affecting any such work. City shall provide copies of permits and
approvals to the County upon request.
10. INDEMNITY. The City agrees to indemnify, defend with counsel
approved in writing by County, and hold County, its elected and appointed officials,
officers, employees and agents and those special districts and agencies which
County's Board of Supervisors acts as the governing Board harmless from any claims,
demands or liability of any kind or nature, including but not limited to personal injury
or property damage, arising from or related to the City's receipt, distribution or
expenditure of the grant amount under this Agreement. The provisions of this
paragraph shall survive the termination of this Agreement.
11. NOTICES. All notices, requests, demands and other communications
contemplated, called for, permitted, or required to be given hereunder shall be in
writing. Any written communications shall be deemed to have been duly given upon
actual in -person delivery, if delivery is by direct hand, or upon delivery on the actual
day of receipt or no greater than four (4) calendar days after being mailed by US
certified or registered mail, return receipt requested, postage prepaid, whichever
occurs first. The date of mailing shall count as the first day. All communications
shall be addressed to the appropriate party at the address stated herein or such other
address as the parties hereto may designate by written notice from time to time in
the manner aforesaid.
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City:
Kristine Ridge, City Manager
City of Santa Ana
20 Civic Center Plaza (M31)
Santa Ana, CA 92701
County:
Selina Chan-Wychgel
County of Orange
County Executive Office
333 W. Santa Ana Blvd., 3rd Floor
Santa Ana, CA 92701
12. DEFAULTS. Should either Party fail for any reason to comply with the
contractual obligations of this Agreement within the time specified by this
Agreement, the non -breaching Party reserves the right to terminate the Agreement,
reserving all rights under State and Federal law.
13. ATTORNEY FEES. In any action or proceeding to enforce or interpret
any provision of this Agreement, each Party shall bear its own attorney's fees, costs,
and expenses.
14. ENTIRE CONTRACT: This Agreement contains the entire contract
between the Parties with respect to the matters herein, and there are no restrictions,
promises, warranties or undertakings other than those set forth herein or referred to
herein. No exceptions, alternatives, substitutes, or revisions are valid or binding on
the parties unless authorized by the Parties in writing.
15. AMENDMENTS. No alteration or variation of the terms of this
Agreement shall be valid unless made in writing and signed by the parties; no oral
understanding or agreement not incorporated herein shall be binding on either of the
Parties; and no exceptions, alternatives, substitutes, or revisions are valid or binding
on County unless authorized by County in writing.
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IN WITNESS WHEREOF, the Parties hereto have executed this Agreement
on the day and year dated below.
CITY OF SANTA ANA COUNTY OF ORANGE
A California Municipal Corporation A political subdivision of the State of
California
By:
Kristine Ridge
City Manager
Date:
By:
1Wv-
Rya dge
ant Assi ity Attorney
Date: ,tune 9, 2022
ATTEST -
By:
Daisy Gomez, MMC City Clerk
Clerk of the Council
0
By:
Director, OC Community Resources
Date
Approved as to form:
Digitally signed by Mark SMno
Mark
DN: cn=Mark Se rn no, .-County of
Dange, ouxounty Counsel,
email anarksenino@ Q.Ocgw.c
Servino nm•==D=
Wte 2022.Cfi23140131 UTCd
Mark Servino
Supervising Deputy County Counsel
Date: Tune 23, 2022
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IN WITNESS WHEREOF, the Parties hereto have executed this Agreement
on the day and year dated below.
CITY OF SANTA ANA
A California Municipal Corporation
By:
Kristine Ridge
City Manager
Date:
COUNTY OF ORANGE
A political subdivision of the State of
California
By:
Dire*Oommhunit Resources
Date: 7 Z
Approved as to form:
By: a. V-� By. —
Rya O. I adge
Assi ant I "ity Attorney
Date: June 9, 2022 Date:
ATTEST:
By:
Daisy Gomez, MMC ity Clerk
Clerk of the Council
Mark M91M11YO,WbyMIk Sev a
ON:cn=Mad 5e no, o-Counry of
O,angyouSnunryCounsel,
ServinoNFy .dsery na@w n.nyoa<
U5
mre:zoxz.oez5 uucnt o>ar
Mark Servino
Supervising Deputy County Counsel
June 23, 2022
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