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HomeMy WebLinkAbout25L - CDBG REQUEST FOR , COUNCIL ACTION a ~ a~~~ CITY COUNCIL MEETING DATE: CLERK OF COUNCIL USE ONLY: JUNE 21, 2010 TITLE: APPROVED ? As Recommended COMMUNITY DEVELOPMENT BLOCK ? As Amended GRANT AMENDMENT AND AWARD FOR ? Ordinance on 15~ Reading ? Ordinance on 2nd Reading SENIOR SERVICES ? Implementing Resolution ? Set Public Hearing For CONTINUED TO f, ~'~,,,,~C{------- FILE NUMBER CITY MANAGER RECOMMENDED ACTION 1. Amend the Fiscal Year 2010-2011 Community Development Block Grant program to increase the Parks, Recreations and Community Services Agency allocation by $2,500 from FY 2009-10 unexpended funds for a total allocation of $58,500. 2. Authorize the City Manager and the Clerk of the Council to execute the attached sub- recipient agreement with Community SeniorServ, Inc. in the amount of $58,500, subject to non-substantive changes approved by the City Manager and City Attorney. DISCUSSION In April 2010, the Parks and Recreation and Community Services Agency (PRCSA) was allocated Community Development Block Grant (CDBG) funding to support the Senior Meals Programs. PRCSA, which manages and coordinates a variety of programs and activities for seniors, will utilize the allocation of CDBG funds to enter into asub-recipient agreement with Community SeniorServ Inc. to continue to provide these two programs in Santa Ana effective July 1, 2010 through June 20, 2011. The Meals on Wheels program prepares and delivers three meals daily directly to the home of homebound, frail, and socially isolated seniors in the City. A registered dietician plans the meals to assure 100% of the U.S. Nutritional Recommended Daily Allowance -consisting of breakfast, a cold lunch and a frozen dinner. In addition to meals, clients benefit from daily contact with delivery staff, as well as the calls and/or visits from case workers who regularly check on their well-being. The Senior Lunch Program would be offered at three sites in Santa Ana (Santa Ana Senior Center, Southwest Senior Center and Vietnamese Community Center) to help alleviate poor nutrition among the vulnerable elderly population, especially prevalent among those who live alone and/or 25L-1 CDBG Amendment and Award for Senior Services June 21, 2010 Page 2 on limited income. This nutrition program seeks to enhance the physical and mental well-being of the elderly population by: • Encouraging a sense of dignity; • Providing stimulating activities and volunteer opportunities; and • Augmenting participants' financial resources by providing donation-based meals. The Senior Lunch Program meals are also planned and certified by a dietician to meet one third of each person's daily nutritional needs, based on FDA guidelines. FISCAL IMPACT Funds are available in the CDBG account (no. 13518783-69135/11750701172). APPROVED AS TO FUNDS AND ACCOUNTS: Gerardo R. Mouet Francisco Gutierrez Executive Directo Executive Director Parks, Recreatio and Finance & Management Services Agency Community Servi es Agency Cynthia J. Nelson Deputy City Manager for Development Services Community Development Agency CJN/NTE/FH/kg Exhibit 1. Agreement 25L-2 5/11/10 AGREEMENT BETWEEN THE CITY OF SANTA ANA AND COMMUNITY SENIORSERV FOR USE OF COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS This Agreement, is hereby made and entered into this 1st day of July, 2010, by and between the City of Santa Ana, a charter city and municipal corporation of the State of California ("CITY") and Community SeniorServ, a California nonprofit corporation ("SUBRECIPIENT"). WITNESSETH Recitals: A. T he C TTY, as an en titlement r ecipient an d g rantee o f t he U nited S fates D eparhnent o f Housing a nd U rban D evelopment ("HUD") Community D evelopment B lock G rant ("CDBG") Program, desires to enter this Agreement with the SUBRECIPIENT for the expenditure of CDBG funds in accordance with Title 24, Part 570 of Code of Federal Regulations 24 CFR 570.000, et seq. ("CDBG REGS"); and B. CITY has applied for and received CDBG funds from HUD pursuant to Title I of the Housing and Community Development Act of 1974, Public Law 93-383, as amended ("ACT"); and C. The SUBRECIPIENT is a private nonprofit agency that has been selected by the CITY to r eceive C DBG f ands a nd a dminister s uch f financial a ssistance; a nd t o pr ovide the services described in Exhibit A, in accordance with the schedule of performance included therein, hereinafter referred to as "said program". SUBRECIPIENT represents that it is qualified and willing to operate said program and certifies that the activities carried out with funds provided under this Agreement will meet one or more of the CDBG program's National Objectives (24 CFR Part 570.208). D. SUBRECIPIENT agrees that it will adhere to the performance measurements and outcomes as indicated on Exhibit A-1 (Outcome Tracking). Failure to follow the measurements and meet the stated outcomes may constitute breach of contract that could result in termination of this Agreement or serve as reason for the City to recapture the grant funds awarded to SUBRECIPIENT pursuant to this Agreement. E. The CITY and SUBRECIPIENT have duly executed this Agreement for the expenditure of such funds; and WHEREFORE, it is ag reed b y an d b etween t he parties that the f oregoing R ecitals are a substantive pa rt of this Agreement a nd t he f ollowing t erms a nd c onditions a re a pproved a nd together with all exhibits and attachments hereto, shall constitute the entire Agreement between the CITY and SUBRECIPIENT: 1 EXHIBIT 1 25L-3 5/11/10 I. SUBRECIPIENT'S OBLIGATIONS A. Non-Profit Status - Representations and Warranties. (a) Authority. SUBRECIPIENT is a duly organized and existing non-profit corporation in good standing and authorized to do business under the laws of the State of California. SUBRECIPIENT has full right, power and lawful authority to accept the funding hereunder and to undertake all obligations as provided herein and the execution, performance and delivery of this Agreement by SUBRECIPIENT has been fully authorized by all requisite actions on the part of SUBRECIPIENT. (b) Experience. SUBRECIPIENT is a qualified provider of the services to be provided hereunder. (c) Familiarity With Services Required. By executing this Agreement, SUBRECIPIENT warrants that (i) it has thoroughly investigated and considered the services to be performed and provided hereunder, (ii) it has carefully considered how the services should be performed, and (iii) it fully understands the facilities, difficulties and restrictions attending performance of the services under this Agreement. (d) No Conflict. To the best of SUBRECIPIENT'S knowledge, SUBRECIPIENT'S execution, delivery and performance of its obligations under this Agreement will not constitute a default or a breach under any contract, agreement or order to which SUBRECIPIENT is a party or by which it is bound. (e) No Bankruptcy. SUBRECIPIENT is not the subject of any current or threatened bankruptcy proceeding. (f) No Pending Legal Proceedings. SUBRECIPIENT is not the subject of a current or threatened litigation that would or may materially affect SUBRECIPIENT'S performance under this Agreement. (g) Application Veracity. All provisions of and information provided in SUBRECIPIENT'S application for funding submitted to CITY including any exhibits are true and correct in all material respects. (h) No Pending Investigation. SUBRECIPIENT is not aware that it is the subject of any current or threatened criminal or civil action investigation by any public agency, including without limitation a police agency or prosecuting authority, that would relate to affect performance of the Agreement or provision of services hereunder. B. Amount of Grant and Quarterly Disbursement. The amount granted to SUBRECIPIENT is $ 58,500 ("CDBG FUNDS"), and such funds shall be expended by SUBRECIPIENT on or before June 30, 2011. The CDBG FUNDS shall be disbursed by CITY to SUBRECIPIENT on a quarterly basis on or before the 15`h of each of the following months (October, January, April and July) subject to and upon receipt and approval of a complete 2 25L-4 5/11/]0 quarterly activity report from SUBRECIPIENT, with the final payment subject to the satisfaction of the condition precedent of submittal of complete reporting information due on or before July 15 of the applicable funding year, as hereinafter more fully set forth. SUBRECIPIENT shall be obligated to perform such duties as would normally extend beyond the term, including but not limited to obligations with respect to indemnification, audits, reporting, data retention reporting, and accounting.. Failure to provide any of the required documentation and reporting will cause CITY to withhold all or a portion of a request for reimbursement, or return the entire reimbursement package to SUBRECIPIENT, until such documentation and reporting has been received and approved by CITY. C. Use of Funds. SUBRECIPIENT agrees to use all federal funds provided by CITY to SUBRECIPIENT pursuant to this Agreement to operate said program, as set forth in "Exhibit A," attached hereto and by this reference incorporated herein. SUBRECIPIENT'S failure to perform as required may, in addition to other remedies set forth in this Agreement, result in readjustment of the amount of funds CITY is otherwise obligated to pay to SUBRECIPIENT hereunder. D. Allowable C osts. SUBRECIPIENT a grees to c omplete s aid program on or before June 30, 2011 and to use said funds to pay for necessary and reasonable costs allowable under the federal law and regulations to operate said program. Said amounts shall include, but not be limited to,wages, a dministrative c osts, a nd e mployee b enefits c omparable to o ther s imilarly s ituated employees. Other allowable program costs are detailed in the Budget, as set forth in "Exhibit B," attached h ereto an d b y t his r eference i ncorporated herein. SUBRECIPIENT s hall a se a 11 income received f rom s aid f ands onl y f or t he s ame par poses f or w hick said f ands m ay be expended pursuant to the terms and conditions of this Agreement. E. Licensing. SUBRECIPIENT ag rees t o o btain an d m aintain al l r equired 1 icenses, registrations, accr editation an d i nspections f rom al 1 ag encies g overning i is o perations. SUBRECIPIENT s hall e nsure t hat its s taff s hall also obtain a nd ma intain a 11 r equired 1 icenses, registrations, accr editation an d i nspections f rom al 1 ag encies g overning S UBRECIPIENT's operations hereunder. Such 1 icensing r equirements i nclude obtaining a C ity bus iness 1 icense, a s applicable. F. Zoning. SUBRECIPIENT a grees t hat a ny f acility/property us ed i n f urtherance of said pr ogram s hall be s pecifically z oned a nd pe rmitted for s uch us e(s) a nd a ctivity(ies). Should SUBRECIPIENT fail to have the required land entitlement and/or permits, thus violating any local, state o r f ederal r ales an d r egulations r elating t hereto, S UBRECIPIENT s hall i mmediately m ake good-faith of forts t o g ain co mpliance w ith local, state o r f ederal r ales an d r egulations f ollowing written n otification o f said violation(s) f rom t he C ITY o r o ther au thorized ci ting ag ency. SUBRECIPIENT shall notify CITY immediately of any pending violations. Failure to notify CITY of pe nding violations, or t o r emedy s uch know n vi olation(s) s hall r esult in t ermination of grant funding hereunder. S UBRECIPIENT m ust make a 11 c orrections r equired to br ing t he facility/property i nto c ompliance w ith the 1 aw within s ixty (60) da ys of not ification of the violation(s); failure to gain compliance within such time shall result in termination of grant funding hereunder. 3 25L-5 5/11/10 G. Separation of A ccounts. A 11 f ands r eceived by S UBRECIPIENT f rom C ITY pursuant t o this A greement s hall be maintained in a n a ccount in a f ederally i nsured ba nking or savings and loan institution with record keeping of such accounts maintained pursuant to applicable OMB C ircular A -110 r equirements. SUBRECIPIENT is n of r equired to ma intain separate depository accounts for CDBG FUNDS; provided however, the SUBRECII'IENT must be able to account f or r eceipt, o bligation a nd e xpenditure o f C DBG F UNDS par suant to ap plicable O MB Circular A-110 requirements. H. Audit R eport Requirements. SUBRECIPIENT agrees t hat i f S UBRECIPIENT receives Five Hundred Thousand Dollars ($500,000.00) or more in federal funds, SUBRECIPIENT shall ha ve a n a nnual a udit c onducted by a c ertified p ublic acco untant i n acco rdance w ith t he standards a s s et f orth a nd pub lished b y t he U nited S tates O ffice of Management a nd B udget. SUBRECIPIENT shall provide CITY with a copy of said audit by October 1 of the year following the program year in which this Agreement is executed. I. Record Keepin eporting. SUBRECIPIENT shall keep and maintain complete and adequate r ecords a nd r eports t o a ssist C ITY i n m eeting a nd m aintaining i is r ecord ke eping responsibilities under the CDBG REGS, including the following: (1) Records a. Documentation evidencing program income requirements in conformity with 24 CFR 570.504(b((2)(i), (ii) and 24 CFR 570.503(b)(3) and 24 CFR 570.208(a)(2)(B) of the income level of persons and/or families participating in or benefiting by the SUBRECIPIENT program. b. Documentation of the number of persons and/or families participating in or benefiting by the SUBRECIPIENT program. c. Household information shall include number of persons, identification of head of household, race/ethnicity, and income verification. d. Documentation of all CDBG FUNDS received from CITY. e. Documentation of expenses as identified in the Budget Proposal, including evidence of incurring the expense, invoices for goods or services, copies of any and all contracts or documentation pertaining to costs for subcontractors, plus all other invoices for which CDBG FUNDS were expended, and any payments therefor. f. Any such other related records as CITY shall reasonably require or as required to be maintained pursuant to the CDBG REGS. (2) Reports (i) Payment Request. Concurrently with the submittal of each quarterly report, on or before the 15th day of October, January, 4 25L-6 5/11/10 April and July, SUBRECIPIENT shall submit both: an original invoice and true copies of invoices, receipts, agreements, copies of any and all contracts or documentation pertaining to costs for subcontractors or other documentation supporting and evidencing how the CDBG FUNDS have been expended during the applicable quarter. (ii) Quarterly Activity Report: SUBRECIl'IENT agrees to keep monthly records of all ethnic and racial statistics of persons and families benefited by SUBRECIPIENT in the performance of its obligations under this Agreement, including, but not limited to, the number of low and moderate income persons and households assisted in accordance with federal income limits, the number of female heads of households assisted, new program information and year-to-date program statistics on expenditures, caseload and activities.. Failure to provide any of the required documentation and reporting will cause CITY to withhold all or a portion of a request for reimbursement, or return the entire reimbursement package to SUBRECIPIENT, until such documentation and reporting has been received and approved by CITY. J. Access to Records. CITY and the United State Government and/or their representatives shall have access for purposes of monitoring, auditing, and examining SUBRECIPIENT's activities and performance, to books, documents and papers, and the right to examine records of SUBRECIPIENT's subcontractors, bookkeepers and accountants, employees and participants in regard to said program. CITY and the United States Government and/or their representatives shall also schedule on-site monitoring at their discretion. Monitoring activities may also include, but are not limited to, questioning employees and participants in said program and entering any premises or any site in which any of the services or activities funded hereunder is conducted or in which any of the records of SUBRECIPIENT are kept. Nothing herein shall be construed to require access to any privileged or confidential information as set forth in federal or state law. K. Location of R ecords/Required L ength of R ecord K eepin All acco unting r ecords, reports, a nd evidence pe rtaining t o a 11 c osts, e xpenses a nd t he C DBG FUNDS of SUBRECIPIENT a nd a 11 doc uments r elated t o t his A greement s hall be maintained a nd ke pt available at SUBRECIPIENT' S office or place of business for the duration of the Agreement and thereafter for five (5) years after completion of an audit inconformity with the CDBG REGS's. Records w hich r elate to (a) c omplaints, c laims, a dministrative p roceedings o r litig ation a rising out of the performance of this Agreement, or (b) costs and expenses of this Agreement to which CITY or any other governmental a gency t akes e xception, shall be retained be yond t he five (5) years until complete resolution or disposition of such appeals, litigation claims, or exceptions. In the event SUBRECIPIENT does not make the above-referenced documents available within the city of S anta A na, California, S UBRECIPIENT ag rees t o p ay al l n ecessary and r easonable e xpenses incurred by CITY in conducting any audit at the location where said records and books of account are maintained. 5 25L-7 5/11/10 L. Compliance with Law/Program Income. SUBRECIPIENT acknowledges that the funds being provided by CITY for said program are received by CITY pursuant to the ACT as amended and t hat expenditures of t hese f ands shall be i n a ccordance w ith t he A CT a nd a 11 pe rtinent regulations issued b y a gencies of t he f ederal g overnment,including, but not 1 invited t o, a 11 regulations f ound a t T itle 24 of t he C ode of F ederal R egulations. P rogram i ncome received b y SUBRECIPIENT s hall b e r eturned t o C TTY unl ess o therwise pr ovided f or a n t his A greement. SUBRECIPIENT ag rees t o co mply f ally w ith al l f ederal, s fate a nd local laws an d co art o rders applicable to its operation whether or not referred to in this Agreement. M. Standing. S UBRECIPIENT s hall be i n g ood s tanding, w ithout s uspension by the California Secretary of State, Franchise Tax Board and Internal Revenue Service. Any change in the corporate status or suspension of SUBRECIPIENT shall be reported immediately to CITY. N. Confidentiality. W ithout prejudice t o a ny of her pr ovisions of this A greement, SUBRECIPIENT shall, where applicable, maintain the confidential nature of information provided to it concerning participants in accordance with the requirements of federal and state law. However, SUBRECIl'IENT s hall s ubmit t o CITY a nd or HUD or i is r epresentatives, a 11 r ecords r equested, including a udit, a xaminations, monitoring a nd ve rifications of r eports submitted b y SUBRECIPIENT, costs incurred and services rendered hereunder. O. Independent C ontractor. S UBRECIPTENT ag rees t hat t he p erformance o f obligations hereunder is rendered in its capacity as an independent contractor and that it is in no way an agency of CITY. P. Violation of T erms and C onditions. SUBRECIPIENT a grew t hat i f SUBRECII'IENT vi olates a ny of t he t erms a nd c onditions of t his A greement or any pr for Agreement w hereby C DBG f ands w ere r eceived b y S UBRECIPIENT, o r i f S UBRECIPIENT reports inaccurately, or if on audit there is a disallowance of certain expenditures, SUBRECIPIENT agrees to remedy the acts or omissions causing the disallowance and repay CITY all amounts spent in v iolation thereof. I f SUBRECIPIENT e ngaged i n f raudulent a ctivity t o ob fain a nd/or justify expenditure of the CDBG funds granted hereunder, SUBRECIPIENT shall be required to reimburse the CITY of all such funds that were obtained/spent under fraudulent circumstances. Q. Equipment. S UBRECIPIENT a grew t o m aintain a r ecord f or each item of n on- expendable p ersonal property a cquired unde r t he t erms of t his A greement. S aid r ecord s hall b e made available to CITY upon request. The term "non-expendable personal property" shall include leased and purchased equipment. R. Prohibited U se. SUBRECIPIENT h ereby certifies an d a grew th at it w ill n of u se funds provided through this Agreement to pay for entertainment, meals or gifts. S. Lobbying. S UBRECIPIENT c ertifies th at it w ill c omply w ith f ederal law (31 U.S.C. 1352) and regulations found at 24 C FR Part 87, which provide that no appropriated funds maybe expended by the recipient of a federal contract, grant, loan or cooperative agreement to pay any pe rson f or i nfluencing or a ttempting t o i nfluence a n of facer or employee of a ny a gency, 6 25L-8 5/11/10 Member of Congress, or an of facer or e mployee of a M ember of Congress i n c onnection w ith awarding o f an y f ederal co ntract, t he m aking o f an y f ederal g rant o r l oan, en tering i nto an y cooperative ag reement a nd t he e xtension, r enewal, am endment o r m odification o f an y f ederal contract, grant, loan or cooperative agreement. S UBRECIPIENT shall sign a certification to that effect in a form as set forth in "Exhibit C," attached hereto and by this reference incorporated herein. SUBRECIPIENT s hall s ubmit s aid signed c ertification to CITY prior t o performing a ny of its obligations under this Agreement and prior to any obligation arising on the part of CITY to pay any sums to SUBRECIPIENT under the terms and conditions of this Agreement. If any funds other than Federal appropriated funds have been paid or will be paid to any pe rson f or i nfluencing or a ttempting t o influence a n of facer or employee of a ny a gency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress i n c onnection with t his F ederal c ontract, g rant, l oan, or c ooperative a greement, t he undersigned shall c omplete a nd s ubmit a " Disclosure F orm to Report L obbying," i n a ccordance with its instructions (see C-1). T. Financial Interest. SUBRECII'IENT agrees that except for the use of CDBG funds to pay salaries and other related administrative or personnel costs, no persons who exercise or have exercised any function with respect to CDBG activities assisted under the terms of this Agreement, or who are in a position to participate in adecision-making process or gain inside information with regard to such activities, may obtain a financial interest or benefit from aCDBG-assisted activity of SUBRECII'IENT, e ither f or t hemselves or t hose with w hom they ha ve f amily or bus iness t ies, during their tenure or for one year thereafter. This prohibition applies to any person who is an employee, agent, consultant, officer, or elected or appointed official of CITY, or of any designated public agencies, or the SUBRECIPIENT. U. Davis-Bacon Act. All laborers and mechanics employed by contractors or subcontractors in the performance of construction work, including alterations and repairs, in excess of $2,000.00, financed in whole or in part with federal funds shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined in accordance with the Davis-Bacon Act, as amended, 40 U.S.C. sections 276a - 276a-5. Any such construction contract shall include and comply with the required contract provisions and rules set forth in 29 C.F.R. §5.5. Further, t he pa yroll r eports (along w ith t he "Statement of Compliance") and ba sic r ecords a re required to be maintained and submitted, or made available, pursuant to 29 C.F.R. §5.5(a)(3). No payment, advance, grant, loan or guarantee of funds shall be approved by the federal agency unless there i s o n f ale w ith the ag ency a cer tification b y t he co ntractor that the co ntractor an d i is subcontractors ha ve c omplied w ith the provisions of 2 9 C.F.R. § 5.5. A breach of t he c ontract clauses in 29 C .F.R. §5.5 maybe grounds for termination of the contract, and for debarment as a contractor/subcontractor, as provided in 29 C.F.R. §5.12. Labor standards interviews/investigations shall be made as necessary to assure compliance [29 C.F.R. §5.6(a)(3)]. V. Drub Free Workplace. S UBRECIPIENT certifies that it has established the following drug-free workplace policy: 7 25L-9 5/11/10 1. T he unl awful m anufacture, di stribution, dispensing, pos session or use of a controlled substance is prohibited in the workplace for any employee involved in a federally funded program. 2. As an employee working in conjunction with a federally funded program, the employees of SUBRECIPIENT will be required to: a) Abide by the terms above in statement 1. b) Notify appropriate officials of SUBRECIPIENT and CITY officials of any c riminal dr ug s tatute c onviction f or a vi olation oc curring i n t he w orkplace n of later than five days after such conviction. 3. T he C ITY and t he U nited S tate D epartment of Housing and U rban Development will be notified within ten days after receiving notice of any such violation. 4. Within 30 days of receiving such notice, appropriate personnel action will be taken against such employee, up to and including termination. Each s uch e mployee s hall be r equired t o pa rticipate s atisfactorily i n a dr ug a Buse assistance or rehabilitation program approved for such purposes by a federal, state or local health, law enforcement, or other appropriate agency. W. Uniform A dministrative R equirements for N on-Governmental S ubrecipients/Non- Profits. The following requirements and standards must be complied with: OMB Circular A-122 "Cost P rinciples f or N on-Profit O rganizations" or O MB C ircular A -21 "Cost Principles f or Educational Institutions", as applicable; 24 CFR Part 84, "Grants and Agreements with Institutions of H igher E ducaiton, H ospitals, a nd O ther N on-Profit O rganizations," a s modified by 24 C FR 570.502(b); a nd, O MB C ircular A -133, "Audits of S tates, L ocal G overnments a nd N on-Profit Organizations". X. Subpart K of 24 CFR 570. SUBRECIPIENT will carry out its activities in compliance with the requirements of Subpart K of 24 CFR 570, however SUBRECIPIENT does not assume the CITY's environmental responsibilities or the responsibility for initiating the environmental review process under 24 CFR Part 52. II. CITY'S OBLIGATIONS A. Payment of Funds. Upon execution of this Agreement by SUBRECIPIENT, CITY shall pay to SUBRECIPIENT from CDBG funds, when, if and to the extent received from HUD, for CITY's 2010-2011 CDBG program year amounts expended by SUBRECII'IENT in carrying out said program for fiscal year 2010-2011 pursuant to this Agreement up to a maximum aggregate payment of fifty-eight thousand five hundred Dollars ($58,500) in installments determined by CITY. Payments shall be made to SUBRECIPIENT through the submission of invoices on a quarterly basis on or before the 15`h of the following months (October, January, April and July) in a form prescribed by CITY, detailing such expenses. 8 25L-10 5/11/10 CITY shall pay such invoices within thirty (30) days after receipt thereof provided CITY is satisfied that such expenses have been incurred and documented within the scope and provisions of this Agreement and that SUBRECIPIENT is in compliance with the terms and conditions of this Agreement. Failure to provide any of the required documentation and reporting will cause CITY to withhold all or a portion of a request for reimbursement, or return the entire reimbursement package to SUBRECIPIENT, until such documentation and reporting has been received and approved by CITY. B. Audit of Account. CITY shall include an audit of the account maintained by SUBRECIPIENT in CITY's annual audit of all CDBG FUNDS in accordance with Title 24 of the Code of Federal Regulations and other applicable federal laws and regulations. C. Common Rule: Pursuant to CFR 85.40(a), the CITY manages the day-to-day operations of e ach g rant a nd s ubgrant s upported a ctivities. C ITY s taff h as d etailed k nowledge o f t he g rant program r equirements a nd m onitors g rant a nd s ubgrant s upported a ctivities t o a sure c ompliance with F ederal r equirements. Such monitoring c overs e ach pr ogram, f unction a nd a ctivity a nd performance goals are reviewed periodically. D. Environmental Review: In accordance with 24 CFR 58, the CITY is responsible for undertaking environmental review and maintaining environmental review records for each applicable project. E. Performance Monitoring: CITY shall monitor the performance of the SUBRECIPIENT against goals and performance standards required herein. Substandard performance as determined by the CITY will constitute non-compliance with this Agreement. If action to correct such substandard performance is not taken by the SUBRECIPIENT within a reasonable period of time after being notified by the CITY, contract suspension or termination procedures will be initiated. III. NONDISCRIMINATION SUBRECIPIENT agrees that no person on the ground of race, age, color, national origin, religion or sex will be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity funded in whole or in part with CDBG funds. IV. CONFLICT OF INTEREST Pursuant t o t he c onflict o f interest r equirements s et forth in 24 C FR 576.57 a nd O MB Circulars 1-102 and A-110, SUBRECIl'IENT agrees that no officer, employee, agent or assignee of CITY having direct or indirect control of any CDBG monies granted to the CITY, inclusive of the subject C DBG F UNDS, shall s erve a s a n of facer of S UBRECIPIENT. F urther, a ny c onflict o r potential c onflict o f i nterest o f any o fficer o f S UBRECII'IENT s hall b e fully d isclosed in w rating prior to the e xecution of t his A greement a nd s aid w rating s hall be at tached an d d eemed f ully 9 25L-11 5/I1/10 incorporated a s a pa rt hereof. N otice s hall be s ent b y S UBRECIPIENT t o C ITY r egarding a ny changes or modifications to its board of directors and list of officers. V. SPECIAL CERTIFICATION FOR RELIGIOUS ENTITIES If SUBRECIPIENT is a r eligious entity, SUBRECIPIENT hereby agrees that in connection with the provision of the services SUBRECIPIENT shall provide with CDBG funds, in accordance with 24 CFR 570.200(j): ' A. SUBRECIPIENT s hall n of d iscriminate ag ainst any employee or a pplicant f or employment on t he ba xis of r eligion a nd s hall not 1 imit e mployment or g ive pr eference i n employment to persons on the basis of religion. B. SUBRECIPIENT shall not discriminate against any person applying for the services SUBRECIl'IENT agrees to provide under the terms of this Agreement on the basis of religion and shall n of 1 imit such s ervices o r g ive p reference t o ap plicants f or s uch s ervices o n t he basis o f religion. C. SUBRECIPIENT s hall NOT p rovide r eligious instruction or c ounseling, c onduct any religious worship or services, or engage in any religious proselytizing, or exert any religious influence in the provision of the services in said program. The parties agree that this covenant is intended to and shall be construed for the limited purpose of assuring compliance with respect to the use of C ITY f ands b y S UBRECIPIENT w ith a pplicable c onstitutional l imitations r expecting t he establishment of religion as set forth in the establishment clause under the First Amendment of the United States Constitution and Article I, Section 4 of the California Constitution, and is not in any manner intended to restrict other activities of SUBRECIPIENT. D. Where t he services to b e pr ovided u nder s aid pr ogram a re rendered on pr operty owned by the primarily religious entity SUBRECIPIENT, CDBG funds may also be used for minor repairs t o such p roperty which ar e d irectly r elated t o the co st o f r endering t he s ervices under s aid program, w here t he c ost c onstitutes i n do llar to rms o my a n in cidental p ortion o f th e C DBG expenditure for rendering the services under said program. VI. PROHIBITION OF NEPOTISM SUBRECIPIENT a grees not t o h ire or pe rmit t he hiring of a ny pe rson t o f ill a pox ition funded through this Agreement if a member of that person's immediate family is employed in an administrative capacity by SUBRECIPIENT. For the purposes of this section, the term "immediate family" means spouse, child, mother, father, brother, sister, brother-in-law, sister-in-law, father-in- law, mother-in-law, s on-in-law, d aughter-in-law, a ant, unc le, niece, nephew, s tepparent a nd stepchild. T he term " administrative c apacity" means ha ving s election, hi ring, s upervisor o r management responsibilities. 10 25L-12 5/I1/10 VII. NOTICES Notices to the parties s hall, un less o therwise r equested i n w rating, be s ent b y U . S. M ail, postage prepaid, and addressed as follows: TO CITY: City of Santa Ana Community Development Agency (M-25) 20 Civic Center Plaza P.O. Box 1988 Santa Ana, California 92702-1988 TO SUBRECIPIENT: Mr. Randy Platt Community SeniorServ 1200 N. Knollwood Circle Anaheim, CA 92801 VIII. ASSIGNABILITY None of the duties of, or work to be performed by, SUBRECIPIENT under this Agreement shall be subcontracted or a ssigned t o a ny a gency, c onsultant, or person w ithout t he pr for w ritten consent of CITY. S UBRECIPIENT must submit all subcontracts and other agreements that relate to t his A greement to CITY. N o subcontract o r a ssignment s hall terminate o r a lter the legal obligations of SUBRECIPIENT pursuant to this Agreement. IX. HOLD HARMLESS SUBRECIPIENT shall indemnify, defend and save harmless CITY, its officers, employees, agents, representatives and volunteers from and against any and all damages to or for loss of use of property and for injuries to or death of any person or persons, including property and employees or agents of C ITY, a nd s hall de fend, i ndemnify and s ave ha rmless C ITY, i is of facers, e mployees, agents, representatives and volunteers from and against any and all claims, demands, suits, actions or proceedings of any kind or nature, including, but not byway of limitation, workers compensation claims a nd i ncluding at torney f ees an d r easonable ex penses f or litigation o r s ettlement, r esulting from or arising out of the negligent or wrongful acts, errors or omissions of SUBRECIPIENT, its officers, di rectors, e mployees, a gents, s ubcontractors a nd s uppliers a rising out o f SUBRECIPIENT's performance of this Agreement. X. INSURANCE A. In accordance with the provisions of Section 3300 of the Labor Code, if SUBRECIPIENT has a ny employees i t i s r equired t o be i nsured a gainst 1 iability f or w orker's compensation or t o un dertake self-insurance. P rior t o commencing pe rformance o f t his 11 25L-13 5/11/10 Agreement, SUBRECIPIENT agrees to obtain and maintain employer's liability insurance with limits not 1 ess t han $1, 000,000 pe r a ccident. If S UBRECIPIENT h as no employees, no r workers' compensation coverage, i t m ust ex ecute a D eclaration available f rom t he C ITY, an d update as is necessary. B. SUBRECIl'IENT s hall undertake self-insurance, or shall obtain, a t its s ole c ost, a policy or policies of commercial general liability insurance, or equivalent form, with a combined single limit of not less than $1,000,000 per occurrence. Such i nsurance s hall: (1) na me t he C ity of S anta A na, i is of facers, a gents, representatives, employees and volunteers as additional insureds; (2) be primary with respect to insurance or self-insurance programs maintained by the CITY; (3) contain standard separation of insured's pr ovisions; a nd (4) give to C ITY p rompt a nd time ly n otice of c laim ma de o r s uit instituted arising out of SUBRECIPIENT's operations hereunder. SUBRECIPIENT s hall: (a) p rior to e xercising a ny r fight a nder th is A greement, furnish p roperly executed certificates of i nsurance a nd a dditional i nsured e ndorsement t o t he CITY which shall clearly evidence all coverages required above; (b) provide that such insurance shall not be materially changed or terminated except on 30 days prior written notice to the CITY; (c) m aintain s uch i nsurance f or t he pe riod c overed b y t his A greement;and (d) r eplace s uch certificates for policies expiring prior to the expiration of this Agreement. XI. REVERSION OF ASSETS A. Upon the expiration of this Agreement, SUBRECIPIENT shall transfer to CITY any CDBG f ands on ha nd a t t he time of the e xpiration of this A greement a s w ell a s a ny a ccounts receivable attributable to the use of CDBG funds. [24 CFR 570.503(b)(8).] B. Any real property under SUBRECIPIENT's control that was acquired or improved in whole or in part with CDBG funds in excess of $25,000.00 must either be: 1. Used, where CITY has given written approval, to meet one of the national objectives stated in 24 CFR 570.208 until five (5) years after expiration of this Agreement, or for such longer period of time as determined to be appropriate by CITY; or 2. If not us ed i n a ccordance w ith s ubparagraph A a bove, S UBRECIPIENT shall pay to CITY an amount equal to the current fair market value of the property less any portion of the value attributable to the expenditure of non-CDBG funds for acquisition of, or improvement to, the property. Such payment is program income to CITY. C. Subject t o t he ob ligations s et f orth he rein, t itle t o e quipment a cquired un der t he terms o f this A greement w ill vest up on a cquisition i n SUBRECIPIENT. When said e quipment which h as b een acq aired i n acco rdance w ith t his Agreement an d al 1 ap placable r egulations is n o longer needed for said program, disposition of said equipment will be made as follows: 12 25L-14 5/11/10 1. Items of e quipment w ith a c urrent pe r uni t f air market value of 1 ess t han $5,000.00 maybe retained, sold or otherwise disposed of with no further obligation to CITY. 2. Items of equipment with a current fair market per unit value of $5,000.00 or more maybe retained or sold and CITY shall have the right to an amount calculated by multiplying the current market value or proceeds from the sale by CITY's share of federal funds used to acquire the equipment, in accordance with 24 CFR 85.32(e)(2). D. SUBRECII'IENT he reby agrees, upon t he de mand of C TTY, t o execute, acknowledge and deliver, or cause any person or entity who may have any claim to rights hereunder or unde r a ny doc ument, i nstrument or a greement e xecuted i n f urtherance of the services a nd activities to be performed hereunder, to execute, acknowledge and deliver, to CITY assignment(s), quitclaim deed(s) or such of her a nd f urther i nstruments, doc uments a nd agreements a s m ay be necessary, i n the s ole and absolute discretion of C ITY, t o ve st i n CITY a 11 o f S UBRECIPIENT's right, title and i nterest (if any i t m ay have) i n and t o C ITY, C DBG or other federal, s tate a nd/or local accounts or program funds or allocation of funds to which CITY is or maybe entitled, either for its own account or as fiduciary or trustee for others, which were obtained for the purpose of the performance of this Agreement or any previous agreements relating to the same subject matter or activities a s t his A greement, together w ith a ny i nstruments, l owns, g rants or a dvances b y SUBRECII'IENT on behalf of CITY, in furtherance of the activities hereunder or thereof. SUBRECIPIENT's obligations and responsibilities s et forth in this paragraph "XI. REVERSION OF AS SETS." a nd i n paragraph "XII. TERMINATION"and of her r equirements pertaining to program income shall not be affected by the termination of this Agreement and shall survive the date of t ermination of t his A greement f or s uch period of t ime as C ITY a nd/or H UD deems necessary for the responsibilities, duties and obligations to be performed and completed to the satisfaction of CITY and HUD. XII. TERMINATION A. This A greement may b e to rminated o n th irty (30) d ays' w ritten n otice b y either party. In the event of such termination, SUBRECIPIENT shall only be entitled to reimbursement for approved expenses incurred to the effective date of termination. B. This A greement m ay be suspended or t erminated b y C TTY upon f ive (5) da ys' written notice for violation by SUBRECIl'IENT of Federal Laws governing the use of Community Development Block Grant Funds. In the event of such suspension or termination, SUBRECII'IENT shall only be entitled to reimbursement for approved expenses incurred up t o the effective date of suspension or termination. C. Pursuant to 24 CFR 85.43, in the event SUBRECIPIENT defaults by failing to fulfill all or any of its obl igations he reunder, C ITY may de dare a de fault a nd t ermination of this Agreement by written notice to SUBRECIPIENT, which default and termination shall be effective on a date stated in the notice which is to be not less than ten (10) days after certified mailing or personal service of such notice, unless such default is cured before the effective date of ternlination 13 25L-15 5/] 1/10 stated i n s uch no tice. If t erminated f or c ause, C ITY s hall be relieved of f urther liability o r responsibility under this Agreement, or as a result of the termination thereof, including the payment of money, except for payment for approved expenses incurred for services satisfactorily and timely performed prior to the mailing or service of the notice of termination, and except for reimbursement of (1) any pa yments m ade f or s ervices no t s ubsequently pe rformed i n a t imely a red s atisfactory manner, and (2) costs incurred by CITY in obtaining substitute performance. D. The g rant of funds un der t his A greement m ay b e t erminated f or co nvenience i n accordance with 24 CFR 85.44. E. The g rant of funds un der t his A greement m ay be terminated due t o t he non - performance of SUBRECIPIENT and/or failure of SUBRECIPENT to perform the work described in E xhibits A a red B or failure t o m eet t he pe rformance s tandards a red pr ogram g oals s et f orth therein. F. In t he ev ent this A greement is terminated as s et f orth i n s ubparagraphs X ILA. through X II.E.,inclusive, S UBRECIPIENT a grees t o i mmediately r eturn t o C ITY upon C ITY's demand and prior to any adjudication of SUBRECIPIENT's rights, any and all funds not used, and to comply with paragraph "XI. REVERSION OF ASSETS" of this Agreement. XIII. LIMITATION OF FUNDS The United States of America, through HUD, may in the future place programmatic or fiscal limitations on the use of CDBG funds which limitations are not presently anticipated. Accordingly, CITY reserves the right to revise this Agreement in order to take account of actions affecting HUD program funding. In the event of funding reduction, CITY may, in its sole and absolute discretion, reduce t he b udget o f t his A greement as a w hole o r as t o co sts cat egory, m ay 1 imit t he r ate o f SUBRECII'IENT's authority to commit and spend funds, or may restrict SUBRECIPIENT's use of both i is u recommitted a red i is u nspent f ands. W here H UD ha s di rected or r equested C ITY t o implement a reduction in funding, in whole or as to a cost category, with respect to funding for this Agreement,CITY's C ity M anager o r d elegate i s authorized to a ct f or C ITY i n i mplementing a red effecting s uch a r eduction a red i n r evising,modifying, or a mending t he A greement f or s uch purposes. I f s uch a r eduction i n funding occurs, SUBRECIPIENT s hall be permitted to de -scope accordingly. W here C ITY h as r easonable g rounds to que stion S UBRECIPIENT's f fiscal accountability, financial soundness, or c ompliance w ith this A greement, CITY m ay s uspend t he operation of this A greement f or up t o s ixty (60) da ys upon f five (5) days w ritten no tice to SUBRECIl'IENT of its intention to so act, pending an audit or other resolution of such questions. In no e vent, h owever, s hall a ny r evisions m ade b y C ITY a ffect e xpenditures a red 1 egally bi nding commitments made by SUBRECIPIENT before it received notice of such revision, provided that such a mounts ha ve been c ommitted i n g ood f aith a red a re o therwise a llowable a red t hat s uch commitments are consistent with HUD cash withdrawal guidelines. 14 25L-16 5/11/10 XIV. EXCLUSIVITY AND AMENDMENT OF AGREEMENT This Agreement supersedes any and all other agreements, either oral or in writing, between the parties hereto with respect to the use of CITY's CDBG funds by SUBRECIPIENT and contains all t he co venants an d ag reements b etween t he p arties w ith r espect t o s uch em ployment i n an y manner w hatsoever. E ach pa riy t o t his A greement a cknowledges t hat nor epresentations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on be half of any party, w hich a re not embodied he rein, a nd t hat no of her a greement or amendment he reto s hall be e ffective u mess e xecuted in w riting a nd s igned b y bot h C ITY a nd SUBRECIPIENT. XV. LAWS GOVERNING THIS AGREEMENT This Agreement shall be governed by and construed in accordance with the laws of the State of California, and all applicable federal laws and regulations. XVI. VALIDITY The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement. XVII. MISCELLANEOUS PROVISIONS a. Each undersigned represents and warrants that its signature herein below has the power, authority and right to bind their respective parties to each of the terms of this Agreement, and shall indemnify CITY fully, including reasonable costs and attorney's fees, for any injuries or damages to CITY in the event that such authority or power is not, in fact, held by the signatory or is withdrawn. b. All Exhibits and Attachments referenced herein and attached hereto shall be incorporated as if fully set forth in the body of this Agreement. c. No delay or omission by either party hereto to exercise any right or power accruing upon any noncompliance or default by the other party with respect to any of the terms of this Agreement s hall imp air any such r fight or power or be c onstrued t o be a w aiver t hereof. A waiver by either of the parties hereto of any of the covenants, conditions, or agreements to be performed by the other shall not be construed to be a waiver of any succeeding breach thereof or of any other covenant, condition or agreement herein contained. 15 25L-17 5/11/10 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the last date and year written below. ATTEST: CITY OF SANTA ANA MARIA D. HUIZAR DAVID N. REAM Clerk of the Council City Manager APPROVED AS TO FORM: JOSEPH W.FLETCHER City Attorney By: LISA E. STORCK Assistant City Attorney SUBRECIPIENT: DATE: Name: RANDY PLATT Title: CEO Tax ID: 95-2771715 16 25L-18 City of Santa Ana Scope of Work Name of Organization Community SeniorServ Name of Funded Program Meals On Wheels AND Senior Lunch Program Annual Accomplishment Goal I. Total number of unduplicated clients (Santa Ana and Non-Santa Ana Residents) anticipated to be served by the funded ro ram, named above, during the 12-month contract period. 11,100 Persons II. Number of unduplicated Santa Ana residents expected to be served by the funded program during the 12-month contract period. 960 Persons Program and Funding Description III. Description of Work - In the space below, describe the program to be funded during the 12-month contract period. What specific activities will be undertaken during the contract period. Please be concise in your response. Only the viewable space will print. Santa Ana CDBG funds will be utilized to help fund the raw food costs of meals on wheels and congregate lunch meals to Santa Ana older adult participants. Participants in the Meals on Wheels program will receive 3 meals per day 5 days per week during the 2010/11 fiscal year. Additionally, clients will receive case management services and other ancillary services when needed (personal care, homemaking, chore, home safety checks, and community referrals). Each client will be assessed quarterly by their assigned case manager/case worker. Participants in the Senior Lunch program's will be provided a daily (Monday-Friday) lunch program at 3 nutrition sites in Santa Ana. Locations: Southwest Senior Center Santa Ana Senior Center Vietnamese Community Center Schedule of Performance Estimate the number of unduplicated Santa Ana residents to be served by the funded program during the 12-month contract period per quarter. (Enter number of new Santa Ana clients served each quarter. If they were served in quarter 1 do not count them again in quarter 2 Quarter 1: July 1 -September 30 700 Persons Quarter 2: October 1 -December 31 90 Persons Quarter 3: January 1 -March 31 90 Persons Quarter 4: April 1 -June 30 80 Persons 960 Total unduplicated Santa Ana Residents to be served. Schedule of Invoicing Estimate the amount of grant funds to be requested durin the 12-month contract period on a quarterly basis. Quarter 1: July 1 -September 30 $ 42,340.00 Quarter 2: October 1 -December 31 $ 5,394.00 Quarter 3: January 1 -March 31 $ 5,394.00 Quarter 4: April 1 -June 30 $ 5,372.00 $ 58,500.00 Total Grant Exhibit A Page 1 of 1 25L-19 City of Santa Ana Performance Outcome Tracking Activity/ Program Outcome Tracking Goal HUD Outcome Tracking HUD Goal Meals On Track number of participants 80% of participants will Track number of persons assisted: Accessibility for the Wheels remaining independent remain independent during -with new access to a service purpose of creating Program the time services are -with improved access Suitable Living provided. Environments Track seniors receiving Accessibility for the Senior Lunch referrals to services 90% of seniors will be Track number of persons assisted: purpose of creating Program linked to services sought -with new access to a service Suitable Living -with improved access Environments Describe how you will gather the tracking information, noted above, for that activity. Information is gathered for all participants in both programs (Meals on Wheels and Congregate Meals) during the initial assessment and then once annually. This information is updated in our database tracking network (SAMS) system and is then printed in quarterly reports which assist in completing our quarterly CDBG reports. The SAMS system supports all the basic demographic information required in the reports. Exhibit A-1 Page 1 of 1 25L-20 Final Budget Organization Name Community SeniorServ Program Name Meals On Wheels AND Senior Lunch Program Expenditures Expenses Funded by Santa Cate o Ana Administrative Staff Salaries & Benefits $ - Program Staff Salaries & Benefits $ - Contractual/Professional Services $ - Office Supplies Rent Communications Utilities Insurance Other:List below 1 Raw Food $ 58,500 2 In Kind 3 Program Supplies 4 Travel/Training 5 Vehicle/Building 6 Outreach and Other Total $ 58,500 LIST ALL OTHER PROGRAM FUNDS THAT HAVE BEEN SECURED (Total Funds for Program must equal Total Program Budget above) Source Amount Santa Ana $ 58,500 Total Funds for the Program $ 58,500 Exhibit B Page 1 of 1 25L-21 Funded Personnel Name of Organization: Community SeniorServ Name of Program Meals On Wheels AND Senior Lunch Program ADMINISTRATIVE STAFF Position Title Annual Annual Total Funds Requested Percent of Maximum (only list funded positions) Salary Benefits Compensation for this position time serving Amount of Santa Ana eligible Compensation NA $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Total Amount Re nested $ - PROGRAM STAFF Position Title Annual Annual Total Funds Requested Percent of Maximum (only list funded positions) Salary Benefits Compensation for this position time serving Amount of Santa Ana eligible m nation N/A $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Tota] Amount Re nested $ - CONTRACTUAL/PROFESSIONAL SERVICES Type of Service Annual Contract Amount Total Funds Requested Percent of Maximum (only list funded services) Compensation for this position time serving Amount of Santa Ana eligible Com ensation N/A $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Total Amount Re nested $ - Exhibit B-1 Page 1 of 1 25L-22 Certification Regarding Lobbying Certification for Contracts Grants, Loans, and Cooperative Agreements The undersigned certifies, to the best of his or her knowledge and belief, that: (1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contact, grant, loan or cooperative agreement. (2) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions. (3) The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontract, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U. S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. Grantee/Contactor Organization Program Title Name of Certifying Officer Signature Date EXHIBIT C Page 1 of 2 25L-23 SUBRECIPIENT warrants the following: 1. SUBRECIPIENT will comply with Public Law 88-352, Title VI of the Civil Rights Act of 1964 (42 U. S. C. section 2000 et seq.) and implementing regulation in 24 CFR Part 1. 2. No person in the United States shall on the ground of race, color, religion, national origin, or sex, be excluded from participation in, or be denied the benefits of, or be subjected to discrimination under any program or activity funded in whole or in part with community development funds made available pursuant to the ACT. 3. All laborers and mechanics, employed by contractors or subcontractors in the performance of construction work financed in whole or in part with community development funds shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined in accordance with the Davis-Bacon Act, as amended, 40 U. S. C. Sections 276 a 1-5, except for individuals who perform services for which they volunteered; do not receive compensation for such services; or are paid expenses, reasonable benefits, or a nominal fee for such services; and are not otherwise employed at any time in construction work. 4. SUBRECIPIENT will comply with all Federal statutes applicable to projects funded with community development funds, except that (a) SUBRECIPIENT does not assume CITY'S environmental responsibilities described at 24 CFR 570.604; and (b) SUBRECIPIENT does not assume CITY'S responsibility for initiating the review process under Executive Order 12372. EXHIBIT C Page 2 of 2 25L-24