Loading...
HomeMy WebLinkAboutItem No. 07 - CDBG Agreement 2021-22 yearCity Council Agenda Report City of Lake Elsinore 130 South Main Street Lake Elsinore, CA 92530 www.lake-elsinore.org File Number: ID# 21-339 Agenda Date: 9/28/2021 Status: Approval FinalVersion: 1 File Type: Council Consent Calendar In Control: City Council / Successor Agency Agenda Number: 7) Approval of Community Development Block Grant (CDBG) Supplemental Agreement for the 2021-2022 Program Year Authorize the Mayor to execute the Supplemental Agreement with the County of Riverside for the Use of 2021-2022 Community Development Block Grant (CDBG) Funds. Page 1 City of Lake Elsinore Printed on 9/28/2021 REPORT TO CITY COUNCIL To: Honorable Mayor And Members of the City Council From: Jason Simpson, City Manager Prepared by: Brendan Rafferty, Fiscal Officer Date: September 28, 2021 SUBJECT: Approval of Community Development Block Grant (CDBG) Supplemental Agreement 2021-2022 Program Year Recommendations Authorize the Mayor to execute the Supplemental Agreement between the County of Riverside and the City of Lake Elsinore for the Use of 2021-2022 Community Development Block Grant Funds. Background At its regularly scheduled meeting on December 8, 2020, the City Council approved the Community Development Block Grant (CDBG) projects for the fiscal year 2021-2022. At that time, the City Council decided to allocate FY 2021-2022 CDBG funds for the following:  City of Lake Elsinore  Assistance League of Temecula Valley  Helping Our People In Elsinore, Inc. (H.O.P.E.)  Vista Community Clinic  Boys & Girls Club of Southwest County Discussion On September 14, 2021, the City received a “Supplemental Agreement for the Use of 2021-2022 Community Development Block Grant Funds” (Agreement). Executed copies of the Agreement must be returned to the County of Riverside Housing, Homelessness Prevention, and Workforce Solutions (HHPWS) no later than October 24, 2021, for the Board of Supervisors to approve; after which, a fully executed agreement 2021-22 CDBG Supplemental Agreement September 28, 2021 Page 2 of 2 will be forwarded to the City along with the “authorization to incur costs.” When staff receives the authorization, we are then able to release funds to the approved projects with the assurance of reimbursement from the County of Riverside to the City of Lake Elsinore. The City of Lake Elsinore requested $596,000 for the program year 2021-2022; however, HHPWS notified staff that the total amount this year increased to $621,943. Out of the $621,943, twelve percent (13%) is to be used for administrative costs. The remaining $541,090 is allocated to public service programs and capital improvement. The approved allocation is as follows: 1.LE.75-21 Vista Community Clinic Program $22,000 1.LE.76-21 Lake Community Center Rehabilitation $451,690 1.LE.74-21 Boys & Girls Club Scholarship Program $10,000 0.236-21 H.O.P.E. Pantry Program $30,000 0.231-21 Operation School Bell $27,400 Total $541,090 Fiscal Impact There is no fiscal impact to the 2021-2022 General Fund. Projects are paid through the CDBG reimbursement process once the “authorization to incur costs” has been issued by the County of Riverside. Exhibits: A - Supplemental Agreement for the Use of 2021-2022 CDBG Funds I File No.: 1.LE.74-21,1.LE.75-21,I.LE.76-21 2 0.231-21,0.236-21 3 4 SUPPLEMENTAL AGREEMENT FOR THE USE OF 2021-2022 COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS 5 6 This Supplemental Agreement ("Agreement") is entered into this day of 7 2021, by and between the COUNTY OF RIVERSIDE, a political subdivision 8 of the State of California, herein called, "COUNTY," and the CITY OF LAKE ELSINORE, 9 herein called "CITY." COUNTY and CITY are collectively referred to as "Parties" and 10 individually as "Party." 11 The COUNTY and CITY mutually agree as follows: 12 1. GENERAL. COUNTY and CITY have executed a Cooperation Agreement, dated 13 November 30"', 2020 ("Cooperation Agreement"), whereby CITY elected to participate with 14 COUNTY, which has qualified as an "Urban County" for purposes of receiving Community 15 Development Block Grant (CDBG) funds ("CDBG"), and to assist and undertake essential 16 community development and housing assistance activities pursuant to the Housing and 17 Community Development Act of 1974, Title 1, as amended, Public Law 93-383 hereinafter 18 referred to as "Act." Said Cooperation Agreement, dated November 30"', 2020, is incorporated 19 herein by reference and made a part of this Agreement as if each and every provision was set forth 20 herein. 21 2. PURPOSE. CITY has been allocated$541,090 in CDBG Entitlement funds for the 22 2021-2022 CDBG program year. CITY promises and agrees to undertake and assist with the 23 community development activities,within its jurisdiction, by utilizing the sum of$483,690 CDBG 24 Entitlement Funds, as specifically identified in Exhibits) A, B,C,D and E, attached hereto, and 25 are incorporated herein by this reference,for the following project(s)(collectively,the"Projects"): 26 A)LLE.74-21 Boys & Girls Club Scholarship Program, $10,000 27 B)LLE.75-21 Vista Community Clinic Program, $22,000 28 Page 1 of 24 I QLLE.76-21 Lake Community Center Rehabilitation Phase II, $451,690. 2 CITY has allocated the remaining$57,400 from its 2021-2022 CDBG allocation to 3 certain activities identified below, hereinafter referred to as "County-wide Activities,"that will be 4 directly administered by COUNTY: 5 D) 0.231-21 Operation School Bell $27,400 6 E) 0.236-21 H.O.P.E. Pantry Program $30,000 7 3. TERM OF AGREEMENT. The term of this Agreement for the implementation of 8 the Project(s) shall be for a period of one (1) year from July 1, 2021, to termination on June 30, 9 2022. 10 4. COMPLETION SCHEDULE. CITY shall proceed consistent with the completion I 1 schedule set forth in Exhibit(s) A, B, C, D and E attached hereto and incorporated herein. 12 5. EXTENSION OF TIME. In the event the Project(s)are not substantially completed by 13 the time set forth in the applicable completion schedule(s) due to a force majeure event (See 14 Section 40 below), the COUNTY may consider extending the schedule for the completion of the 15 project(s). Times of performance for other activities may also be extended in writing by 16 COUNTY. If substantial progress toward completion in conformance with the completion 17 schedule, as determined by COUNTY in its discretion, of the project(s) are not made during the 18 term of this Supplemental Agreement, COUNTY may suspend or terminate this Supplemental 19 Agreement pursuant to the termination procedures set forth in the section titled "Termination," 20 and the entitlement funds associated with the Project(s) may be reprogrammed by the COUNTY 21 after appropriate notice is provided to the City. 22 6. LETTER TO PROCEED. CITY shall not initiate nor incur expenses for the CDBG- 23 funded Projects or activities covered under the terms of this Supplemental Agreement as set forth 24 in Exhibit(s) A, B, C, D, and E attached hereto, prior to receiving written authorization from 25 COUNTY to proceed. 26 7. NOTICES. Each notice, request, demand, consent, approval or other 27 communication (hereinafter in this Section referred to collectively as "notices" and referred to 28 Page 2 of 24 I singly as a "notice") which the CITY or COUNTY is required or permitted to give to the other 2 party pursuant to this Agreement shall be in writing and shall be deemed to have been duly and 3 sufficiently given if. (a)personally delivered with proof of delivery thereof(any notice so delivered 4 shall be deemed to have been received at the time so delivered); or (b) sent by Federal Express(or 5 other similar national overnight courier) designating early morning delivery (any notice so 6 delivered shall be deemed to have been received on the next Business Day following receipt by 7 the courier); or (c) sent by United States registered or certified mail, return receipt requested, 8 postage prepaid, at a post office regularly maintained by the United States Postal Service (any 9 notice so sent shall be deemed to have been received two days after mailing in the United States), 10 addressed to the respective parties as follows: 1 I COUNTY CIIY 12 Heidi Marshall Jason Simpson 13 Riverside County HHPWS Director City of Lake Elsinore 14 P.O. Box 1528 130 S. Main Street 15 Riverside, CA 92502 Lake Elsinore, CA 92532 16 8. DISBURSEMENT OF FUNDS. 17 A. COUNTY's Board of Supervisors shall determine the final disposition and 18 distribution of all funds received by COUNTY under the Act consistent with Sections 2 and 3 of I9 this Supplemental Agreement. COUNTY, through its Department of Housing, Homelessness 20 Prevention, and Workforce Solutions, shall make payment of the CDBG funds to CITY as set 21 forth in the attached Exhibit(s) A, B, C, D and E. It is the CITY's responsibility to monitor all 22 project activities set forth in the attached Exhibit(s) A,B, C, D, and E.,and to ensure compliance 23 with applicable federal regulations and the terms of this Supplemental Agreement. 24 B. CITY shall comply with timely drawdown of CDBG Entitlement funding 25 by expeditiously implementing and completing the COUNTY-approved,CDBG-funded Projects. 26 CITY acknowledges that CITY's drawdown performance directly impacts the COUNTY's overall 27 program drawdown rate. If the CITY's unobligated CDBG fund balance, as of January 31, 2022, 28 Page 3 of 24 I exceeds one hundred and seventy-five percent(175%)of the CITY's 2021-2022 CDBG allocation, 2 the COUNTY may, in its sole discretion, take the necessary administrative actions to reduce the 3 CITY's CDBG fund balance. Necessary actions include, but are not limited to, reprogramming the 4 excess CDBG fund balance to other eligible activities as selected by COUNTY. COUNTY may, 5 in its sole and absolute discretion, authorize CITY in writing, prior to January 31, 2022, to exceed 6 the CDBG fund balance requirement. 7 C. CITY shall comply with timely drawdown of CDBG funds by submitting 8 monthly requests for reimbursement or other COUNTY approved reimbursement schedules. All 9 disbursements of CDBG funds will be on a reimbursement basis and made within thirty (30) days 10 after the COUNTY has received the CITY's reimbursement request including documentation 11 supporting expenditures. 12 D. All authorized obligations incurred in the performance of the Supplemental 13 Agreement for projects eligible under the following CDBG regulations must be reported in writing 14 to COUNTY no later than June 1, 2022: 15 1. Acquisition [24 Code of Federal Regulations (CFR) 570.201 (a)] 16 2. Clearance Activities [24 CFR 570.201 (d)] 17 3. Interim Assistance [24 CFR 570.201 (0] 18 4. Code Enforcement [24 CFR 570.202 (c)] 19 All public service activities [24 CFR 570.201 (e)] and other eligible activities under this 20 Supplemental Agreement must be implemented, completed, and obligations reported in writing to 21 the COUNTY by the CITY no later than the completion schedules set forth in the attached Exhibits 22 to this Supplemental Agreement. "CFR" as used herein refers to the Code of Federal Regulations. 23 9. RECORDS AND INSPECTIONS. 24 A. CITY shall establish and maintain financial, programmatic, statistical, and 25 other supporting records of its operations and financial activities in accordance with the Uniform 26 Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 27 CFR Part 200), and 24 CFR Section 570.502 (a), as they relate to the acceptance and use of federal 28 Page 4 of 24 I funds under this Agreement. Said records shall be retained for a period of four (4) years from the 2 date that the activity or program funded with the CDBG Grant is closed out by the COUNTY and 3 reported as complete in the Comprehensive Annual Performance and Evaluation Report(CAPER). 4 Exceptions to the four (4) year retention period requirement, pursuant to 2 CFR 200.333 include, 5 but not limited to, the following: 6 i. if any litigation, claim, or audit is started prior to the expiration of 7 the four (4) year period; 8 ii. when the CITY is notified in writing by the COUNTY, HUD, or 9 other Federal agency to extend the retention period; 10 iii. records for real property and equipment acquired with CDBG funds 11 must be retained for four (4) years after final disposition; 12 iv. when the records are transferred by the CITY to the COUNTY, 13 HUD, or other Federal agency, the four(4) year period is not applicable. 14 B. CITY shall obtain an external audit in accordance with the Uniform 15 Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 16 CFR Section 200.500). Audits shall usually be performed annually but not less frequently than 17 every two years. Nonprofit institutions and government agencies that expend less than $750,000 a 18 year in Federal awards are exempt from Federal audit requirements, but records must be available 19 for review by appropriate officials of the Federal grantor agency or subgranting entity. The audit 20 report shall be submitted to the COUNTY within 180 days after the end of the COUNTY'S fiscal 21 year. 22 C. CITY shall maintain a separate account for the CITV S CDBG Entitlement 23 funds received as set forth in Exhibit(s)A, B, C, D, and E., attached hereto. 24 D. Pursuant to 2 CPR 200.336, CITY shall, during the normal business horns, 25 make available to COUNTY, the U.S. Department of Housing and Urban Development (HUD), 26 or other authorized representative, for the examination and copying, all of its records and other 27 materials with respect to matters covered by this Agreement and provide reasonable access to 28 Page 5 of 24 I CITY staff for the purpose of interview and discussion related to the records and documents. 2 E. CITY shall not retain any program income as defined in 24 CFR 570.500. 3 Said program income shall be used only for the activities that are the subject of this Agreement. 4 Further, all provisions of this Agreement shall apply to such activities. 5 F. The CITY shall ensure that at least fifty-one percent (51%) of the persons 6 benefiting from all CDBG-funded activities or projects designated as serving limited clientele [24 7 CFR 570.208(a)(2)(i)] are of low and moderate-income and meet the applicable household income 8 guidelines. The CITY shall provide the required income certification and direct benefit 9 documentation, in writing, to the COUNTY pursuant to the reporting requirement of each activity 10 as set forth in Exhibit(s) A, B, C, D, and E. attached hereto. In the event that CITY engages the 11 services of a sub-contractor to implement CDBG-funded activities, the CITY must collect, in 12 writing, all required income certification and direct benefit documentation from subcontractors 13 prior to submittal to the COUNTY pursuant to the reporting requirement of each activity as set 14 forth in Exhibit(s) A, B, C, D, and E. attached hereto. 15 10. COMPLIANCE WITIH LAWS. CITY shall comply with all applicable federal, 16 state, and local laws, regulations, and ordinances and any amendments thereto and the federal 17 regulations and guidelines now or hereafter enacted pursuant to the Act. More particularly, CITY 18 is to comply with those regulations found in the Uniform Administrative Requirements, Cost 19 Principles, and Audit Requirements for Federal Awards (2 CFR Part 200), and 24 CFR Part 570. 20 CITY is to abide by the provisions of the Community Development Block Grant Manual, prepared 21 by COUNTY and cited in the above-mentioned Cooperation Agreement. CITY shall comply, if 22 applicable,with Section 3 of the Housing&Urban Development Act of 1968 (12 U.S.C.A. Section 23 1701u), as amended, a copy of which is attached hereto as Exhibit "S", and incorporated herein 24 by this reference. CITY shall adhere to the restrictions set forth in 24 CFR 570.200 0) and 24 CPR 25 Section 5.109, which is attached hereto as Exhibit "R", a copy of which is incorporated herein by 26 this reference, pertaining to inherently religious activities. CITY shall comply with the Additional 27 Federal Requirements, if applicable, attached hereto as Exhibit "AFR", and incorporated herein 28 Page 6 of 24 I by this reference. 2 11. COOPERATION WITH HOUSING ACTIVITIES. CITY shall cooperate with 3 COUNTY in undertaking essential community development and housing assistance activities, 4 specifically urban renewal and public assistance housing, and shall assist COUNTY in 5 implementing and undertaking the goals and strategies identified in the 2019-2024 Five Year 6 Consolidated Plan, pursuant to 24 CFR Part 91 and other requirements of the Community 7 Development Block Grant Program. 8 12. LEAD AGENCY FOR COMPLIANCE WITH THE CALIFORNIA 9 ENVIRONMENTAl, QUALITY ACT (CEQA). Pursuant to Title 14 CCR Section 1501(d), the 10 CITY is designated as the lead agency for the projects that are the subject matter of this I Supplemental Agreement. 12 13. HOLD HARMLESS AND INDEMNIFICATION. In contemplation of the 13 provisions of Section 895.2 of the California Government Code imposing certain tort liability 14 jointly upon public entities solely by reason of such entities being parties to an agreement as 15 defined by Section 895 of the Code, the Parties hereto, pursuant to the authorization contained in 16 Section 895.4 and 895.6 of the Code, agree that each Party shall be liable for any damages 17 including, but not limited to, claims, demands, losses, liabilities, costs and expenses including 18 reasonable attorneys' fees, resulting from the negligent or wrongful acts or omissions of their 19 employees or agents in the performance of this Agreement, and each Party shall indemnify,defend 20 and hold harmless the other Parties from such claims, demands, damages, losses or liabilities for 21 their negligence. The hold harmless and indemnification obligations set forth herein shall survive 22 the termination and expiration of this Agreement. 23 14. INSURANCE. Without limiting or diminishing the CITY's obligation to 24 indemnify or hold the COUNTY harmless, CITY shall procure and maintain or cause to be 25 maintained, at its sole cost and expense,the following insurance coverage's during the term of this 26 27 Agreement. 28 a. Workers' Compensation: Page 7 of 24 I If the CITY has employees as defined by the State of California, the CITY shall 2 maintain statutory Workers' Compensation Insurance (Coverage A) as prescribed by the laws of 3 the State of California. Policy shall include Employers' Liability (Coverage B) including 4 Occupational Disease with limits not less than$1,000,000 per person per accident. The policy shall 5 be endorsed to waive subrogation in favor of the County of Riverside. 6 b. Commercial General Liability: 7 Commercial General Liability insurance coverage, including but not limited to, 8 premises liability, contractual liability, products and completed operations liability, Personal and 9 advertising injury, and cross liability coverage, covering claims which may arise from or out of 10 CITY'S performance of its obligations hereunder. Policy shall name the County of Riverside as 11 Additional Insured. Policy's limit of liability shall not be less than $1,000,000 per occurrence 12 combined single limit. If such insurance contains a general aggregate limit, it shall apply 13 separately to this agreement or be no less than two (2) times the occurrence limit. 14 C. Vehicle Liability: 15 16 If vehicles or mobile equipment are used in the performance of the obligations 17 under this Agreement, then CITY shall maintain liability insurance for all owned, non-owned or 18 hired vehicles so used in an amount not less than$1,000,000 per occurrence combined single limit. 19 If such insurance contains a general aggregate limit, it shall apply separately to this agreement or 20 be no less than two (2) times the occurrence limit. Policy shall name the County of Riverside as 21 Additional Insured. 22 d. General Insurance Provisions - All lines: 23 (i). Any insurance carrier providing insurance coverage hereunder shall 24 be admitted to the State of California and have an A M BEST rating of not less than A: VIII (A:8) 25 unless such requirements are waived, in writing, by the County Risk Manager. If the County's 26 Risk Manager waives a requirement for a particular insurer such waiver is only valid for that 27 specific insurer and only for one policy term. 28 Page 8 of 24 I (ii). The CITY'S insurance carrier(s) must declare its insurance self- 2 insured retentions. if such self-insured retentions exceed $500,000 per occurrence such retentions 3 shall have the prior written consent of the County Risk Manager before the commencement of 4 operations under this Agreement. Upon notification of self-insured retention unacceptable to the 5 COUNTY, and at the election of the Country's Risk Manager, CITY'S carriers shall either; 1) 6 reduce or eliminate such self-insured retention as respects this Agreement with the COUNTY, or 7 2) procure a bond which guarantees payment of losses and related investigations, claims 8 administration, and defense costs and expenses. 9 (iii). CITY shall cause CITY'S insurance carrier(s) to furnish the County 10 of Riverside with either 1) a properly executed original Certificate(s) of Insurance and certified 11 original copies of Endorsements effecting coverage as required herein, and 2) if requested to do so 12 orally or in writing by the County Risk Manager, provide original Certified copies of policies 13 including all Endorsements and all attachments thereto, showing such insurance is in full force and 14 effect. Further, said Certificate(s) and policies of insurance shall contain the covenant of the 15 16 insurance carrier(s) that thirty (30) days written notice shall be given to the County of Riverside 17 prior to any material modification, cancellation, expiration or reduction in coverage of such 18 insurance. In the event of a material modification, cancellation, expiration, or reduction in 19 coverage, this Agreement shall terminate forthwith, unless the County of Riverside receives,prior 20 to such effective date, another properly executed original Certificate of Insurance and original 21 copies of endorsements or certified original policies, including all endorsements and attachments 22 thereto evidencing coverage's set forth herein and the insurance required herein is in full force and 23 effect. CITY shall not commence operations until the COUNTY has been furnished original 24 Cerlificate (s) of Insurance and cent{fled original copies of endorsements and ifrequested, certif ed 25 original policies of insurance including all endorsements and any and all other attachments as 26 required in this Section. An individual authorized by the insurance carrier to do so on its behalf' 27 shall sign the original endorsements,/or each policy and the Certificate oflnsurance. 28 Page 9 of 24 I (iv). It is understood and agreed to by the parties hereto that the CITY'S 2 insurance shall be construed as primary insurance, and the COUNTY'S insurance and/or 3 deductibles and/or self-insured retention's or self-insured programs shall not be construed as 4 contributory. 5 (v). If, during the term of this Agreement or any extension thereof, there 6 is a material change in the scope of services; or, there is a material change in the equipment to be 7 used in the performance of the scope of or, the term of this Agreement, including any extensions 8 thereof, exceeds five (5) years, the COUNTY reserves the right to adjust the types of insurance 9 required under this Agreement and the monetary limits of liability for the insurance coverage's 10 currently required herein, if; in the County Risk Manager's reasonable judgment, the amount or 11 type of insurance carried by the CITY has become inadequate. 12 (vi). CITY shall pass down the insurance obligations contained herein to 13 all tiers of subcontractors working under this Agreement. 14 (vii). The insurance requirements contained in this Agreement may be 15 16 met with a program(s) of self-insurance acceptable to the COUNTY. 17 (viii). CITY agrees to notify COUNTY of any claim by a third party or 18 any incident or event that may give rise to a claim arising from the performance of this Agreement. 19 15. INDEPENDENT CONTRACTOR. The CITY is, for purposes relating to this 20 Supplemental Agreement, an independent contractor and shall not be deemed an employee of the 21 COUNTY. It is expressly understood and agreed that the CITY (including its employees, agents 22 and subcontractor's)shall in no event be entitled to any benefits to which the COUNTY employees 23 are entitled, including but not limited to overtime, any retirement benefits, worker's compensation 24 benefits, and injury leave or other leave benefits. There shall be no employer-employee 25 relationship between the parties; and the CITY shall hold the COUNTY harmless from any and all 26 claims that may be made against the COUNTY based upon any contention by a third party that an 27 employer-employee relationship exists by reason of this Supplemental Agreement. It is further 28 understood and agreed by the parties that the CITY in the performance of this Supplemental Page 10 of 24 I Agreement is subject to the control or direction of the COUNTY merely as to the results to be 2 accomplished and not as to the means and methods for accomplishing the results. 3 16. NONDISCRIMINATION. CITY shall abide by 24 CFI2 Sections 570.601 and 4 570.602 of Title 24 of the Code of Federal Regulations which requires that no person in the United 5 States shall on the grounds of race, color, national origin, sex, sexual orientation, gender identity, 6 or veterans status be excluded from participation in, be denied the benefits of, or be subjected to 7 discrimination under any program or activity funded in whole or in part with Community 8 Development finds. 9 CITY shall abide by and include in any subcontracts to perform work under this 10 Supplemental Agreement, the following clause: 11 "During the performance of this Supplemental Agreement, CITY and its subcontractors 12 shall not unlawfully discriminate against any employee or applicant for employment 13 because of race, religion, color, national origin, ancestry, physical disability, medical 14 condition, marital status, veterans status, sexual orientation, gender identity, age (over 40) 15 or sex. CITY and subcontractors shall insure that the evaluation and treatment of their 16 employees and applicants for employment are free of such discrimination. CITY and 17 subcontractors shall comply with the provisions of the Fair Employment and Housing Act 18 (California Government Code Section 12900 et seq.). The applicable regulations of the 19 Fair Employment and Housing Commission are implementing California Government 20 Code Section 12990 et seq.,set forth in Chapter 1 of Division 4.1 of Title 2 of the California 21 Administrative Code are incorporated into this Agreement by reference and made a part 22 hereof as if set forth in full. CITY and its subcontractors shall give written notice of their 23 obligations under this clause to labor organizations with which they have a collective 24 bargaining or other agreement." 25 17. PROHIBITION AGAINST CONFLICTS OF INTEREST 26 A. CITY and its assigns, employees, agents, consultants, officers and elected 27 and appointed officials shall become familiar with and shall comply with the Uniform 28 Page 11 of 24 I Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 2 CFR Part 200) and the CDBG regulations prohibiting conflicts of interest contained in 24 CPR 3 570.611. 4 B. The Subrecipient shall maintain a written code or standards of conduct that 5 shall govern the performance of its officers, employees or agents engaged in the award and 6 administration of contracts supported by Federal funds. 7 C. No employee, officer or agent of the Subrecipient shall participate in the 8 selection, or in the award, or administration of, a contract supported by Federal funds if a conflict 9 of interest, real or apparent, would be involved. 10 D. No covered persons who exercise or have exercised any functions or 11 responsibilities with respect to CDBG-assisted activities, or who are in a position to participate in 12 a decision-making process or gain inside information with regard to such activities, may obtain a 13 financial interest in any contract, or have a financial interest in any contract, subcontract, or 14 agreement with respect to the CDBG-assisted activity, or with respect to the proceeds from the 15 CDBG-assisted activity, either for themselves or those with whom they have business or 16 immediate family ties, during their tenure or for a period of one (1) year thereafter. For purposes 17 of this paragraph, a"covered person' includes any person who is an employee, agent, consultant, 18 officer, or elected or appointed official of the Grantee, the Subrecipient, or any designated public 19 agency. 20 E. CITY understands and agrees that no waiver of exception can be granted to 21 the prohibition against conflict of interest except upon written approval of HUD pursuant to 24 22 CPR 570.611(d). Any request by CITY for an exception shall first be reviewed by COUNTY to 23 determine whether such request is appropriate for submission to HUD in the COUNTY'S sole and 24 absolute discretion. In determining whether such request is appropriate for submission to HUD, 25 COUNTY will consider the factors listed in 24 CPR 570.611(d)(2). 26 F. Prior to the distribution of any CDBG funding under this Supplemental 27 Agreement, CITY shall provide COUNTY, in writing, a list of all employees, agents, consultants, 28 Page 12 of 24 I officers and elected and appointed officials who are in a position to participate in a decision making 2 process, exercise any functions or responsibilities, or gain inside information with respect to the 3 CDBG activities funded under this Agreement. CITY shall also promptly disclose to COUNTY 4 any potential conflict, including even the appearance of conflict that may arise with respect to the 5 CDBG activities funded under this Supplemental Agreement. 6 G. Any violation of this Section 17 shall be deemed a material breach of this 7 Supplemental Agreement, and the Supplemental Agreement shall be immediately terminated by 8 the COUNTY. 9 18. LOBBYING. CITY certifies to the best of its knowledge and belief, that: 10 a. No federally-appropriated funds have been paid or will be paid, by or on 11 behalf of the CITY, to any person for influencing or attempting to influence an officer or employee 12 of any agency, a member of Congress, an officer or employee of Congress, or an employee of a 13 member of Congress in connection with the awarding of any federal contract, the making of any 14 federal grant, the making of any federal loan, the entering into of any cooperative agreement, and 15 the extension, continuation, renewal, amendment, or modification of any federal contract, grant, 16 loan, or cooperative agreement. 17 b. If any funds other than federally-appropriated funds have been paid or will 18 be paid to any person for influencing or attempting to influence an officer or employee of any 19 agency, a member of Congress, an officer or employee of Congress, or an employee of a member 20 of Congress in connection with this federal contract, grant, loan, or cooperative agreement, the 21 CITY shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in 22 accordance with its instructions. 23 C. CITY shall require that the language of this certification be included in the 24 award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts 25 under grants, loans, and cooperative agreements) and that all sub-recipients shall certify and 26 disclose accordingly. This certification is a material representation of fact upon which reliance 27 was placed when this transaction was made or entered into. 28 Page 13 of 24 1 2 19. TERMINATION. 3 A. CITY. CITY may not terminate this Agreement except upon express written 4 consent of COUNTY, pursuant to 2 CFR 200.339 (a)(3). 5 B. COUNTY. Notwithstanding the provisions of Paragraph 19a above, 6 COUNTY may suspend or terminate this Supplemental Agreement upon a ten (10) day written 7 notice to CITY of action being taken and the reason for such action including, but not limited to, 8 the following reasons: 9 (1) In the event CITY fails to perform the covenants herein contained 10 at such times and in such manner as provided in this Supplemental Agreement; and 11 (2) In the event there is a conflict with any federal, state or local law, 12 ordinance, regulation or rule rendering any of the provisions of this Supplemental Agreement 13 invalid or untenable; or 14 (3) In the event the funding from the Department of Housing and Urban 15 Development referred to in Sections 1 and 2 above is terminated or otherwise becomes 16 unavailable. 17 C. This Agreement may be terminated and/or funding suspended, in whole or 18 in part, for cause in accordance with the Uniform Administrative Requirements, Cost Principles, 19 and Audit Requirements for Federal Awards (2 CFR 200.339). Cause shall be based on the failure 20 of the CITY to materially comply with either the terms or conditions of this Agreement. Upon 21 suspension of funding, the CITY agrees not to incur any costs related thereto, or connected with, 22 any area of conflict from which the COUNTY has determined that suspension of funds is 23 necessary. CITY acknowledges that failure to comply with Federal statutes, regulations, or the 24 terms and conditions of this Agreement may be considered by the COUNTY in evaluating future 25 CDBG and non-CDBG funding applications submitted by CITY. 26 D. Upon suspension or termination of this Supplemental Agreement, CITY 27 shall return any unencumbered funds which it has been provided by COUNTY. In accepting said 28 Page 14 of 24 I finds, COUNTY does not waive any claim or cause of action it may have against CITY for breach 2 of this Supplemental Agreement. 3 E. Reversion of Assets 4 1. Upon expiration or termination of this Supplemental Agreement,the 5 CITY shall transfer to the COUNTY any CDBG funds on hand at the time of expiration of the 6 Supplemental Agreement as well as any accounts receivable held by CITY which are attributable 7 to the use of CDBG funds awarded pursuant to this Supplemental Agreement. 8 2. Any real property under the CITY'S control that was acquired or 9 improved in whole or in part with CDBG funds (including CDBG funds provided to the CITY in 10 the form of a loan) in excess of$25,000 is either: 11 (i) Used to meet one of the National Objectives pursuant to 24 12 CFR 570.208 until five years after expiration of this agreement, or for such longer period of time 13 as determined to be appropriate by the COUNTY; or 14 (ii) Not used in accordance with Clause(i)above, in which event 15 the CITY shall pay the COUNTY an amount equal to the current market value of the property less 16 any portion of the value attributable to expenditures of non-CDBG funds for the acquisition of, or 17 improvement to, the property. 18 20. PUBLICITY. Any publicity generated by CITY for the Projects funded pursuant to 19 this Supplemental Agreement will make reference to the contribution of the COUNTY, the 20 Department of Housing, Homelessness Prevention, and Workforce Development, and the 21 Community Development Block Grant Program in making the project possible. 22 21. PROGRAM MONITORING AND EVALUATION. CITY and its subcontractors 23 shall be monitored and evaluated in terms of its effectiveness and timely compliance with the 24 provisions of this Supplemental Agreement and the effective and efficient achievement of the 25 CDBG National Objectives as set forth in Exhibit(s)A,B,C, D, and E. attached hereto. Quarterly 26 reports shall be due on the last day of the month immediately following the end of the quarter 27 being reported. The quarterly written reports shall include, but shall not be limited to,the following 28 Page 15 of 24 I data elements: 2 A. Title of program, listing of components, description of activities/operations. 3 B. The projected goals, indicated numerically, and also the goals achieved (for 4 each report period). In addition, identify by percentage and description, the progress achieved 5 towards meeting the specified goals and identify any problems encountered in meeting goals. 6 C. If the CDBG-funded activity meets a National Objective under 24 CFR 7 570.208 (a)(2)(i), CITY will report the following: 8 1) Total number of direct beneficiaries (clientele served) with 9 household incomes at: 10 • Above 80% MHI I I • Between 50% and 80% MHI (Low-Income) 12 • Between 30% and 50% MHI (Very Low-Income) 13 • Less than 30% MHI (Extremely Low-Income) 14 2) Total number and percent (%) of the clientele served that have 15 household incomes at or below 80% MHI 16 3) Racial ethnicity of clientele 17 4) Number of Female-Headed Households 18 D. CITY shall report, in writing, and cause its subcontractors to report, in 19 writing, beneficiary statistics monthly to Housing, Homelessness Prevention, and Workforce 20 Solutions (HHPWS) on the pre-approved Direct Beneft Form and Self-Certification Form 21 (certifying income, family size, and racial ethnicity) as required by HUD. Updated forms are to be 22 provided to CITY by IIIIPWS should HUD implement changes during the term of this 23 Supplemental Agreement. CITY and subcontractors will collect and provide all necessary data 24 required by HUD pertaining to the Specific Outcome Indicators as identified in HUD's 25 Community Planning and Development (CPD) Outcome Performance Measurement System. 26 22. PRIOR AUTHORIZATION. CITY shall obtain COUNTY's written approval 27 from HHPWS prior to implementing the following "high risk" activities funded with CDBG 28 Page 16 of 24 I assistance: 2 A. Construction of public facilities (project plans and specifications); 3 B. Acquisition of real property; 4 C. Historic Preservation; 5 D. Relocation; and 6 P. Economic Development 7 23. PRIOR COUNTY APPROVAL (CONSTRUCTION ACTIVITIES). CITY shall 8 obtain COUNTY's written approval, through its IIHPWS, of the project plans, specifications, 9 and construction documents prior to CITY'S construction of same for all projects consisting of 10 CDBG-funded construction activities. The COUNTY neither undertakes nor assumes nor will 11 have any responsibility or duty to CITY or to any third party to review, inspect, supervise, pass 12 judgment upon or inform CITY or any third party of any matter in connection with the 13 development or construction of the improvements, whether regarding the quality, adequacy or 14 suitabilityof the plans, an labor, service equipment or material furnished to theproperty, an p � Y � Y 15 person furnishing the same, or otherwise. CITY and all third parties shall rely upon its or their 16 own judgment regarding such matters, and any review, inspection, supervision, exercise of 17 judgment or information supplied to CITY or to any third party by the COUNTY in connection 18 with such matter is for the public purpose of assisting with a community development and 19 housing activity pursuant to the Act, and neither CITY (except for the purposes set forth in this 20 Agreement)nor any third party is entitled to rely thereon. The COUNTY shall not be responsible 21 22 for any of the work of construction, improvement, or development of the property. 23 It is the responsibility of CITY, without cost to COUNTY, to ensure that all applicable 24 localjurisdiction land use requirements will permit development of the property and construction 25 of the improvements and the use, operation, and maintenance of such Improvements in 26 accordance with the provisions of this Agreement. Nothing contained herein shall be deemed to 27 entitle Sponsor to any local jurisdiction or County permit or other local jurisdiction or County 28 Page 17 of 24 I approval necessary for the development of the Property, or waive any applicable local 2 jurisdiction or County requirements relating thereto. This Agreement does not(a) grant any land 3 use entitlement to CITY, (b) supersede, nullify, or amend any condition which may be imposed 4 by the local jurisdiction in connection with approval of the development described herein, (c) 5 guarantee to CITY or any other party any profits from the development of the Property, or (d) 6 amend any local jurisdiction or County laws, codes or rules. 7 24. PRIOR COUNTY APPROVAL (AQUISITION ACTIVITIES). CITY shall obtain 8 COUNTY's written approval and authorization to proceed, through its HHPWS , of all CDBG- 9 funded real property acquisition activities. 10 25. REAL PROPERTY ACQUIRED OR PUBLIC FACILITY CONSTRUCTED 11 WITH CDBG FUNDS. When CDBG funds are used, in whole or in part, by CITY to acquire 12 real property or to construct a public facility, CITY will comply with the Uniform Administrative 13 Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Section 14 200.311); National Environmental Policy Act of 1969 (42 U.S.C.A. §4321, et seq.); the 15 16 California Environmental Quality Act(Cal. Pub. Resources Code §21000, et seq.); the Uniform 17 Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended (42 18 U.S.C.A. §4630, et seq.); and the COUNTY's Five Year Consolidated Plan. In addition, the 19 following is to occur: 20 a. Title to the real property shall vest in CITY; 21 b. The real property will be held by CITY, or the constructed facility will be 22 maintained by the CITY,for a minimum period of five(5)years from the date the CDBG-funded 23 activity is closed-out and reported as complete by the COUNTY through the Comprehensive 24 Annual Performance and Evaluation Report (CAPER); 25 C. While held by CITY, the real property or the constructed facility is to be 26 used exclusively for the purposes for which acquisition or construction was originally approved 27 by COUNTY; 28 Page 18 of 24 I d. Written approval from COUNTY must be secured if the property or the 2 facility is to be put to an alternate use that is consistent with the COUNTY'S Five Year 3 Consolidated Plan or the applicable federal regulations governing CDBG funds; 4 C. Should CITY desire to use the real property or the constructed facility,prior 5 to the completion of the mandatory five-year period,for a purpose not consistent with applicable 6 federal regulations governing CDBG funds or to sell the real property or facility, then: 7 (1) If CITY desires to retain title, CITY will reimburse COUNTY the 8 amount that represents the percentage of current fair market value that is identical to the 9 percentage that CDBG funds initially comprised of monies paid to acquire the property or 10 construct the facility; or it (2) If CITY sells the property or facility or is required to sell the 12 property or facility, CITY shall reimburse COUNTY the amount that represents the percentage 13 of proceeds realized by the sale that is identical to the percentage that CDBG funds initially 14 comprised of monies paid to acquire the property or construct the facility. This percentage 15 amount will be calculated after deducting all actual and reasonable cost of sale from the sale 16 17 proceeds. 18 26. ENTIRE AGREEMENT. This Supplemental Agreement, including any 19 attachments or exhibits hereto constitutes the entire Supplemental Agreement of the parties with 20 respect to its subject matter and supersedes all prior and contemporaneous representations, 21 proposals, discussions and communications, whether oral or in writing. No oral understanding or 22 agreement not incorporated herein shall be binding on any of the parties hereto. Each of the 23 attachments and exhibits attached hereto is incorporated herein by this reference. 24 27. SEVERABILITY. Each section, paragraph and provision of this Supplemental 25 Agreement is severable from each other provision, and if any provision or part thereof is declared 26 invalid, the remaining provisions shall remain in full force and effect. 28. EMPLOYMENT OPPORTUNITIES TO BE CAUSED BY PROJECT. CITY 27 28 agrees to notify in writing, and to cause any subcontractor implementing CDBG-funded Projects Page 19 of 24 I to notify, in writing, the Riverside County Workforce Development Center of any and all job 2 openings that are caused by the CDBG-funded Projects under this Supplemental Agreement. 3 29. MINISTERIAL ACTS. The Director of Housing, Homelessness Prevention, and 4 Workforce Solutions or designee(s) are authorized to take such ministerial actions as may be 5 necessary or appropriate to implement the terms, provisions, and conditions of this Supplemental 6 Agreement as it may be amended from time-to-time by COUNTY. 7 30. PROJECT ELIGIBILITY. As to CITY or its claimants, COUNTY shall bear no 8 liability for any later determination by the United States Government, the U.S. Department of 9 Housing and Urban Development, or any other person or entity that CITY is or is not eligible 10 under 24 CFR Part 570 to receive CDBG entitlement funds from the COUNTY. 11 31. SOURCE OF FUNDING. CITY acknowledges that the source of funding pursuant 12 to this Supplemental Agreement is Community Development Block Grant funds (CFDA 14.218), 13 and the Grant Award Number is B-21-UC-06-0506. 14 32. ASSIGNMENT. The CITY shall not make any assignment or transfer in any form 15 with respect to this Supplemental Agreement, without prior written approval of the COUNTY. 16 33. INTERPRETATION AND GOVERNING LAW. This Supplemental Agreement 17 and any dispute arising hereunder shall be governed by and interpreted in accordance with the laws 18 of the State of California. This Supplemental Agreement shall be construed as a whole according 19 to its fair language and common meaning to achieve the objectives and purposes of the parties 20 hereto, and the rule of construction to the effect that ambiguities are to be resolved against the 21 drafting party shall not be employed in interpreting this Supplemental Agreement, all parties 22 having been represented by counsel in the negotiation and preparation hereof. 23 34. WAIVER. Failure by a party to insist upon the strict performance of any of the 24 provisions of this Supplemental Agreement by the other party, or the failure by a party to exercise 25 its rights upon the default of the other party, shall not constitute a waiver of such party's rights to 26 insist and demand strict compliance by the other party with the terms of this Supplemental. 27 Agreement thereafter. 28 Page 20 of 24 1 35. JURISDICTION AND VENUE: Any action at law or in equity arising under this 2 Supplemental Agreement or brought by a party hereto for the purpose of enforcing, construing or 3 determining the validity of any provision of this Supplemental Agreement shall be filed only in 4 the Superior Court of the State of California, located in Riverside, California,and the parties hereto 5 waive all provisions of law providing for the filing, removal or change of venue to any other court 6 or jurisdiction 7 36. USE OF PROPERTY. Whenever federal CDBG funds or program income are used, 8 in whole or in part, for the purchase of equipment or personal property, the property shall not be 9 transferred from its originally funded use, by CITY or the CITY'S subcontractor implementing 10 the CDBG-funded activity, for a period of five (5) years from the close-out date of the grant from 11 which CDBG assistance was provided. The CITY shall maintain a current inventory for COUNTY 12 monitoring and review. 13 37. AUTHORITY TO EXECUTE. The persons executing this Supplemental 14 Agreement or exhibits attached hereto on behalf of the parties to this Supplemental Agreement 15 hereby warrant and represent that they have the authority to execute this Supplemental Agreement 16 and warrant and represent that they have the authority to bind the respective parties to this 17 Supplemental Agreement to the performance of its obligations hereunder. 18 38. EFFECTIVE DATE. The effective date of this Supplemental Agreement is the date 19 the parties sign the Supplemental Agreement. If the parties sign the Supplemental Agreement on 20 more than one date, then the last date the Supplemental Agreement is signed by a party shall be 21 the effective date. 22 39. COUNTERPARTS. This Supplemental Agreement may be signed by the 23 different parties hereto in counterparts, each of which shall be an original but all of which together 24 shall constitute one and the same agreement. 25 40. FORCE MAJEURE. 26 A. Performance by either party hereunder shall not be deemed to be in default 27 where delays or defaults are due to war,insurrection, strikes, lock-outs,riots, floods, earthquakes, 28 Page 21 of 24 I fires, casualties, acts of God, acts of the public enemy, epidemics, pandemic, quarantine 2 restrictions, freight embargoes, lack of transportation, governmental restrictions or priority, 3 litigation, unusually severe weather, inability to secure necessary labor, material or tools, delays 4 of any contractor, sub-contractor or supplier, acts of the other party,acts or failure to act of a public 5 or governmental agency or entity, or any causes beyond the control or without the fault of the party 6 claiming an extension of time to perform. 7 B. An extension of time for any such cause(a"Force Majeure Delay")shall be 8 for the period of the enforced delay and shall commence to run from the time of the commencement 9 of the cause, if notice by the party claiming such extension is sent to the other party within thirty 10 (30) calendar days of knowledge of the commencement of the cause. Notwithstanding the 11 foregoing, none of the foregoing events shall constitute a Force Majeure Delay unless and until 12 the party claiming such delay and interference delivers to the other party written notice describing 13 the event, its cause,when and how such party obtained knowledge, the date the event commenced, 14 and the estimated delay resulting therefrom. Any party claiming a Force Majeure Delay shall 15 deliver such written notice within thirty (30) calendar days after it obtains knowledge of the event. 16 41. MODIFICATION OF AGREEMENT. This Supplemental Agreement may be 17 modified or amended only by a writing signed by the duly authorized and empowered 18 representative of COUNTY and CITY respectively. 19 42. DIGITAL AND ELECTRONIC SIGNATURES. The parties agrees to the use of 20 electronic signatures, such as digital signatures that meet the requirements of the California 21 Uniform Electronic 'Transactions Act (("CUETA") Cal. Civ. Code §§ 1633.1 to 1633.17). The 22 parties further agree that the electronic signatures of the parties included in this Agreement are 23 intended to authenticate this writing and to have the same force and effect as manual 24 signatures. Electronic signature means an electronic sound, symbol, or process attached to or 25 logically associated with an electronic record and executed or adopted by a person with the intent 26 to sign the electronic record pursuant to CUETA as amended from time to time. Digital signature 27 28 Page 22 of 24 I means an electronic identifier,created by computer, intended by the party using it to have the same 2 force and effect as the use of a manual signature, and shall be reasonably relied upon by the parties. 3 For purposes of this section, a digital signature is a type of "electronic signature" as defined in 4 subdivision (i) of Section 1633.2 of the Civil Code. 5 6 7 [Remainder of Page Intentionally Blank] 8 [Signatures on Following Page] 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Page 23 of 24 1 2 3 IN WITNESS WHEREOF, the COUNTY and the CITY have executed this Agreement as 4 of the dates set forth below. 5 6 COUNTY OF RIVERSIDE, CITY OF LAKE ELSINORE, a political subdivision of the a general city law 7 State of California 8 9 BY: BY: Michael Walsh, Name: 10 Deputy Director Title: 11 12 Date: Date: 13 14 APPROVED AS TO FORM: ATTEST: 15 Gregory P. Priamos, County Counsel 16 17 By: BY: Amrit P. Dhillon, City Clerk 18 Deputy County Counsel 19 APPROVED AS TO FORM: 20 21 BY: 22 City Attorney 23 24 25 26 27 28 Page 24 of 24 EXHIBIT "R" (Page 1 of 6) 24 C.E.R. § 5 . 109 Equal participation of faith-based organizations in HUD programs and activities . Effective: May 4 , 2016 (a) Purpose. Consistent with Executive Order 13279 (issued on December 12, 2002, 67 FR ..._................._. 77141) , entitled "Equal Protection of the Laws for Faith-Based and Community ---------- Organizations, " as amended by Ixecuti-ve Or_dex 13559 (issued on November 17, 2010, 75 FR '71319) , entitled "Fundamental Principles and Policymaking Criteria for Partnerships With Faith-Based and Other Neighborhood Organizations, " this section describes requirements for ensuring the equal participation of faith-based organizations in HUD programs and activities . These requirements apply to all HUD programs and activities, including all of HUD' s Native American Programs, except as may be otherwise noted in the respective program regulations in title 24 of the Code of federal Regulations (CFR) , or unless inconsistent with certain HUD program authorizing statutes . b) Definitions . The following definitions apply to this section: Direct Federal financial assistance means Federal financial assistance provided when a Federal Government agency or an intermediary, as defined :in this section, selects the provider and either purchases services from that provider (i .e . , via a contract) or awards funds to that provider to carry out an activity (e.g. , via grant, sub-grant, sub-award, or cooperative agreement) . The recipients of sub-grants or sub-awards that receive Federal financial assistance through State-administered programs (e.g. , flow-through programs) are considered recipients of direct Federal financial assistance . In general, Federal financial assistance shall be treated as direct, unless it meets the definition of indirect Federal financial assistance. Federal financial assistance means assistance that non-Federal entities receive or administer in the forms of grants, contracts, loans, loan guarantees, property, cooperative agreements, food commodities, direct appropriations, or other assistance, but does not include a tax credit, deduction, or exemption. Indirect Federal financial assistance means Federal financial assistance provided when the choice of the provider is placed in the hands of the beneficiary, and the cost of that service is paid through a voucher. , certificate, or other similar means of Government-funded payment. Federal financial assistance provided to an organization is considered indirect when the Government program through which the beneficiary receives the voucher, certificate, or other similar means of Government-funded payment is neutral EXHIBIT "R" (Page 2 of 6) toward religion; the organization receives the assistance as a result of a decision of the beneficiary, not a decision of the Government; and the beneficiary has at least one adequate secular option for the use of the voucher, certificate, or other similar means of Government-funded payment. Intermediary means an entity, including a nongovernmental organization, acting under a contract, grant, or other agreement with the Federal Government or with a State, tribal or local government that accepts Federal financial assistance and distributes that assistance to other entities that, in turn, carry out activities under HUD programs . (c) Equal participation of faith-based organizations in HUD programs and activities . Faith-based organizations are eligible, on the same basis as any other organization, to participate in HUD programs and activities . Neither the Federal Government, nor a State, tribal or local government, nor any other entity that administers any HUD program or activity, shall discriminate against an organization on the basis of the organization' s religious character or affiliation, or lack thereof. In addition, decisions about awards of Federal financial assistance must be free from political interference or even the appearance of such interference and must be made on the basis of merit, not based on the religious character or affiliation, or lack thereof, of an organization. (d) Separation of explicitly religious activities from direct Federal financial assistance . (1) A faith-based organization that applies for, or participates in, a HUD program or activity supported with Federal financial assistance retains its independence and may continue to carry out its mission, including the definition, development, practice, and expression of its religious beliefs, provided that it does not use direct Federal financial assistance that it receives (e .g. , via contract, grant, sub-grant, sub-award or cooperative agreement) to support or engage in any explicitly religious activities (including activities that involve overt religious content such as worship, religious instruction, or proselytization) , or in any other manner prohibited by law. (2) A faith-based organization that receives direct Federal financial assistance may use space (including a sanctuary, chapel, prayer hall, or other space) in its facilities (including a temple, synagogue, church, mosque, or other place of worship) to carry out activities under a HUD program without removing religious art, icons, scriptures, or other religious symbols . In addition, a faith-based organization participating in a HUD program or activity retains its authority over its internal governance, and may retain religious terms in its organization' s name, select its board members on a religious basis, and include religious references in its organization' s mission statements and other governing documents . EXHIBIT "R" (Page 3 of 6) (e) Explicitly religious activities . If an organization engages in explicitly religious activities (including activities that involve overt religious content such as worship, religious instruction, or proselytization) , the explicitly religious activities must be offered separately, in time or location, from the programs or activities supported by direct Federal financial assistance and participation must be voluntary for the beneficiaries of the programs or activities that receive direct Federal financial assistance. (f) Intermediary .responsibilities to ensure equal participation of faith- based organizations in HUD programs . If an intermediary—acting under a contract, grant, or other agreement with the Federal Government or with a State, tribal or local government that is administering a program supported by Federal financial assistance—is given the authority to select a nongovernmental organization to receive Federal financial assistance under a contract, grant, sub-grant, sub-award, or cooperative agreement, the intermediary must ensure that such organization complies with the requirements of this section. If the intermediary is a nongovernmental organization, it retains all other rights of a nongovernmental organization under the program' s statutory and regulatory provisions . (g) Beneficiary protections . Faith-based organizations that carry out programs or activities with direct Federal financial assistance from HUD must give written notice to beneficiaries and prospective beneficiaries of the programs or activities describing certain protections available to them, as provided in this subsection. In addition, :if a beneficiary or prospective beneficiary objects to the religious character of the organization carrying out the programs or activities, that organization must promptly undertake reasonable efforts to identify and refer the beneficiary or prospective beneficiary to an alternative provider to which the beneficiary or prospective beneficiary has no such objection. (1) Written notice. The written notice must state that: (i.) The organization may not discriminate against a beneficiary or prospective beneficiary on the basis of religion, religious belief, a refusal to hold a religious belief, or a refusal to attend or participate in a religious practice; (.ii) The organization may not require beneficiaries to attend or participate in any explicitly religious activities that are offered by the organization, and any participation by beneficiaries .in such activities must be purely voluntary; EXHIBIT "R" (Page 4 of 6) (iii) The organization must separate, in time or location, any privately funded explicitly religious activities from activities supported by direct Federal financial assistance; (iv) If a beneficiary objects to the religious character of the organization, the organization must undertake reasonable efforts to identify and refer the beneficiary to an alternative provider to which the beneficiary has no such objection; and (v) Beneficiaries or prospective beneficiaries may report an organization' s violation of these protections, including any denial of services or benefits by an organization, by contacting or filing a written complaint to HUD or the intermediary, if applicable. (2) Timing of notice. The written notice must be given to prospective beneficiaries before they enroll in any HUD program or activity. When the nature of the program or activity or exigent circumstances make it impracticable to provide the written notice in advance, the organization must provide written notice to beneficiaries of their protections at the earliest available opportunity. (3) Referral requirements . (i) If a beneficiary or prospective beneficiary of a program or activity that receives direct Federal financial assistance from HUD objects to the religious character of an organization that carries out the program or activity, that organization must promptly undertake reasonable efforts to identify and refer the beneficiary or prospective beneficiary to an alternative provider to which the beneficiary or prospective beneficiary has no such objection. (ii) A referral may be made to another faith-based organization, if the beneficiary or prospective beneficiary has no objection to that provider based on the provider' s religious character. But if the beneficiary or prospective beneficiary requests a secular provider, and a secular provider is available, then a referral must be made to that provider. (iii) Except for activities carried out by telephone, Internet, or similar means, the referral must be to an alternative provider that is in reasonable geographic proximity to the organization making the referral and that carries out activities that are similar in substance and quality to those offered by the organization. The alternative provider also must have the capacity to accept additional beneficiaries . (iv) If the organization determines that :it is unable to identify an alternative provider, the organization shall promptly notify the intermediary or, if there :is no intermediary, HUD. If HUD or an intermediary is notified that an organization is unable to identify an alternative provider, HUD or the intermediary, as appropriate, shall promptly determine EXHIBIT "R" (Page 5 of 6) whether there is any other suitable alternative provider to which the beneficiary or prospective beneficiary may be referred. An intermediary that receives a request for assistance in identifying an alternative provider may request assistance from HUD. (4) Recordkeeping. A faith-based organization providing a referral under paragraph (g) (3) of this section must document a beneficiary or prospective beneficiary' s request for a referral, whether the beneficiary or prospective beneficiary was referred to another provider, to which provider the beneficiary or prospective beneficiary was referred, and if the beneficiary or prospective beneficiary contacted the alternative provider, unless the beneficiary or prospective beneficiary requests no follow up. (h) Nondiscrimination requirements . Any organization that receives Federal financial assistance under a HUD program or activity shall not, in providing services or carrying out activities with such assistance, discriminate against a beneficiary or prospective beneficiary on the basis of religion, religious belief, a refusal to hold a religious belief, or a refusal to attend or participate in a religious practice. However, this section does not require any organization that only receives indirect Federal financial assistance to modify its program or activities to accommodate a beneficiary that selects the organization to receive indirect aid. (i) Exemption from Title VII employment discrimination requirements . A religious organization' s exemption from the Federal prohibition on employment discrimination on the basis of religion, set forth in section 702 (a) of the Civil Rights Act of 1964 (42 U.S . C. 2000e :I.) , is not forfeited when the organization participates in a HUD program. Some HUD programs, however, contain independent statutory provisions that impose certain nondiscrimination requirements on all grantees . Accordingly, grantees should consult with the appropriate HUD program office to determine the scope of applicable requirements . (j ) Acquisition, construction, and rehabilitation of structures . Direct Federal financial assistance may be used for the acquisition, construction, or rehabilitation of structures only to the extent that those structures are used for conducting eligible activities under a HUD program or activity. Where a structure is used for both eligible and explicitly religious activities (including activities that involve overt religious content such as worship, religious instruction, or proselytization) , direct Federal financial assistance may not exceed the cost of the share of acquisition, construction, or rehabilitation attributable to eligible activities in accordance with the cost accounting requirements applicable to EXHIBIT "R" (Page 6 of 6) the HUD program or activity. However, acquisition, construction, or rehabilitation of sanctuaries, chapels, or other rooms that a HUD-funded faith-based organization uses as its principal place of worship, may not be paid with direct Federal financial assistance . Disposition of real property by a faith-based organization after its use for an authorized purpose, or any change in use of the property from an authorized purpose, is subject to Government-wide regulations governing real property disposition (2 CFR part 200, subpart D) and the HUD program regulations, as directed by HUD. k) Commingling of Federal and State, tribal, and local funds. If a State, tribal, or local government voluntarily contributes its own funds to supplement direct Federal financial assistance for an activity, the State, tribal or local government has the option to segregate those funds or commingle them with the direct Federal financial assistance. However, if the funds are commingled, the requirements of this section apply to all of the commingled funds . Further, if a State, tribal, or local government is required to contribute matching funds to supplement direct Federal financial assistance for an activity, the matching funds are considered commingled with the direct Federal financial assistance and, therefore, subject to the requirements of this section. Some HUD programs' requirements govern any activity assisted under those programs. Accordingly, recipients should consult with the appropriate HUD program office to determine the scope of applicable requirements . Credits [69 FR 41717, July 9, 2004; 80 FR 75934, Dec. 7, 2015; 81 FR 19416, April 4, 20161 SOURCE: 61 FR 5202, Feb. 9, 1996; 61 FR 9041, March 6, 1996; 61 FR 9537, March 8, 1996; 61 FR 11113, March 18, 1996; 61 FR 13616, March 27, 1996; 61 FR 54498, Oct. 18, 1996; 70 FR 77743, Dec. 30, 2005; 73 FR 72340, Nov. 28, 2008; 75 FR 66258, Oct . 27, 2010; 77 FR 5674, Feb. 3, 2012; 80 FR 42352, July 16, 2015; 81 FR 19416, April 4, 2016; 81 FR 80798, Nov. 16, 2016; 81 FR 90657, Dec. 14, 2016, unless otherwise noted. AUTHORITY: 12 U. S.C. 1701x; 42 U.S.C. 1437a, 1437c, 1437d, 1437f, 1437n, 3535 (d) ; Sec. 327, Pub.L. 109-115, 119 Stat. 2936; Sec. 607, Pub.L. 109---162, 119 Stat. 3051 (42 U.S .C. 14043e et seq. ) ; E.O. 13279, 67 FR 77141, 3 CFR, 2002 Comp. , p. 258; and E.O. 13559, 75 FR 71319, 3 CFR, 2010 Camp. , p. 273. ; 29 U. S.C. 794, 42 U. S.C. 1437a, 1437c, 1437c-l (d) , 1437d, 1437f, 1437n, 3535 (d) , and Sec. 327, Pub.L. 109-115, 119 Stat. 2936; 42 U.S.C. 3600-3620; 42 U. S.C. 5304 (b) ; 42 U. S .C. 12101 et seq. ; 42 U.S .C. 12704-12708; E.O. 11063, 27 FR 11527, 3 CFR, 1958-1963 Comp. , p. 652; E.O. 12892, 59 FR 2939, 3 CFR, 1994 Comp. , p. 849. EXHIBIT "S" Page 1 of 2 Economic Opportunities for Section 3 Residents and Section 3 Business Concerns Sec. 135 . 38 Section 3 clause . All section 3 covered contracts shall include the following clause (referred to as the Section 3 clause) : A. The work to be performed under this contract is subject to the requirements of section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S .C.A. 170lu (section 3) . The purpose of section 3 is to ensure that employment and other economic opportunities generated by HUD assistance or HUD-assisted projects covered by section 3, shall., to the greatest extent feasible, be directed to low- and very low-income persons, particularly persons who are recipients of HUD assistance for housing. B. The parties to this contract agree to comply with HUD' s regulations in 24 CFR part- 135, which implement section 3 . As evidenced by their execution of this contract, the parties to this contract certify that they are under no contractual or other impediment that would prevent them from complying with the part 135 regulations . C. The contractor agrees to send to each labor organization or representative of workers with which the contractor has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers ' representative of the contractor' s commitments under this section 3 clause, and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice . The notice shall describe the section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, the quali:[.icaticns for each; and the name and location of the person (s) taking applications for each of the positions; and the anticipated date the work shall begin. EXHIBIT "S" Page 2 of 2 A. The contractor agrees to include this section 3 clause in every subcontract subject to compliance with regulations in 24 CFR part 135, and agrees to take appropriate action, as provided in an applicable provision of the subcontract or in this section 3 clause, upon a finding that the subcontractor is in violation of the regulations in 24 CFR part 135. The contractor will not subcontract with any subcontractor where the contractor has notice or knowledge that the subcontractor has been found in violation of the regulations in 24 CFR part 135. B. The contractor will certify that any vacant employment positions, including training positions, that are filled (1) after the contractor is selected but before the contract is executed, and (2) with persons other than those to whom the regulations of 24 CFR part 135 require employment opportunities to be directed, were not filled to circumvent the contractor' s obligations under 24 CFR part 135. C. Noncompliance with HUD' s regulations in 24 CFR part 135 may result in sanctions, termination of this contract for default, and debarment or suspension from future HUD assisted contracts . D. With respect to work performed in connection with section 3 covered Indian housing assistance, section 7 (b) of the Indian Self-Determination and Education Assistance Act (25 U. S .C. 450e) also applies to the work to be performed under this contract . Section 7 (b) requires that to the greatest extent feasible (i) preference and opportunities for training and employment shall be given to Indians, and (ii) preference in the award of contracts and subcontracts shall be given to Indian organizations and Indian-owned Economic Enterprises . Parties to this contract that are subject to the provisions of section 3 and section 7 (b) agree to comply with section 3 to the maximum extent feasible, but not in derogation of compliance with section 7 (b) . ADDITIONAL FEDERAL REQUIREMENTS PAGE 1 OF 4 EXHIBIT "AFR" Additional Federal Requirements Whereas, the work under this Agreement is subject to applicable Federal, State, and local laws and regulations, including but not limited to the regulations pertaining to the Community Development Block Grant (24 CFR Part 570) and the Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (2 CFR 200) . All contractors, sub- contractors, consultants, and sub-consultants agree to comply with, and are subject to, the following Federal requirements (if applicable) : 1 . Equal Employment Opportunity: Compliance with Executive Order 11246 of September 24, 1965, entitled "Equal Employment Opportunity", as amended by Executive Order 11375 of October 13, 1967, and as supplemented in Department of Labor Regulations (41 CFR chapter 60) . The SUBRECIPIENT will not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. SUBRECIPIENT will ensure that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex or national origin. The SUBRECIPIENT will take affirmative action to ensure that applicants are employed and the employees are treated during employment, without regard to their race color, religion, sex, or national origin. Such actions shall include, but are not limited to, the following: employment, up-grading, demotion, or transfer; recruitment or recruitment advertising; rates of pay or other forms of compensation; and selection for training, .including apprenticeship. The SUBRECIPIENT agrees to post in a conspicuous place, available to employees and applicants for employment, notices to be provided by the County setting forth the provisions of this non-discrimination clause; 2 . Copeland "Anti-Kickback" Act (18 U.S.C. Section 874 and 40 U.S.C.A. Section 3145) : All contracts and subgrants in excess of $2, 000 for construction or repair awarded by recipients and subrecipients shall include a provision for compliance with the Copeland "Anti-Kickback" Act (18 U. S.C. Section 874) , as supplemented by Department of Labor Regulations (29 CFR Part 3, "Contractors and Subcontractors on Public Building or Public Work Financed in Whole or in Part by Loans or Grants from the United States") ("ACT") . The Act provides that each contractor or subrecipient shall be prohibited from inducing, by any means, any person employed in the construction, completion, or .repair of public work, to give up any part of the compensation to which he is otherwise entitled. The recipient shall report all suspected or reported violations to HUD. 3 . Davis-Bacon Act, as amended (40 U.S.C.A. Section 3141-3148) : When required by Federal program legislation, all construction contracts awarded by the recipients and subrecipients of more than $2, 000 shall include a provision for compliance with the Davis-Bacon Act (40 U. S.C.A. Section 31.48) and as ADDITIONAL FEDERAL REQUIREMENTS PAGE 1 OF 4 EXHIBIT "AFR" supplemented by Department of Labor Regulations (29 CFR Part 5, "Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction") . Under the Davis Bacon Act, contractors shall be required to pay wages to laborers and mechanics at a rate not less than the minimum wages specified in a wage determination made by the U. S . Secretary of Labor. In addition, contractors shall be required to pay wages not less than once a week. The recipient shall place a copy of the current prevailing wage determination issued by the U. S . Department of Labor in each solicitation and the award of a contract shall be conditioned upon the acceptance of the wage determination. The recipient shall report all suspected or reported violations to HUD. 1 . Contract Work Hours and Safety Standards Act (40 U.S.C.A. 3701-3708) : Where applicable, all contracts awarded by SUBRECIPF.INT in excess of $2, 000 for construction contracts and in excess of $2, 500 for other contracts that involve the employment of mechanics or laborers shall include a provision for compliance with the Contract Work Hours and Safety Standards (40 U. S .C.A. 3701-3708) , as supplemented by Department of Labor Regulations (29 CFR Part 5) . Under Section 40 U. S .C.A. 3702, each contractor shall be required to compute the wages of every mechanic and laborer on the basis of a standard workweek of 40 hours . Work in excess of the standard workweek is permissible provided that the worker is compensated at a rate of not less than 1 112 times the basic rate of pay for all hours worked in excess of 40 hours in the workweek. 40 U. S .C.A. 3704 is applicable to construction work and provides that no laborer or mechanic shall be required to work in surroundings or under working conditions which are unsanitary, hazardous or dangerous . These requirements do not apply to the purchases of supplies or materials or articles ordinarily available on the open market, or contracts for transportation or transmission of intelligence . 2 . Rights to Inventions Made Under a Contract or Agreement: Contracts or agreements for the performance of experimental, developmental, or research work shall provide for the rights of the Federal Government and the recipient in any resulting invention in accordance with 37 CFR Part 401, "Rights to Inventions Made by Nonprofit Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative Agreements, " and any implementing regulations issued by HUD. 3 . Rights to Data and Copyrights: Contractors and consultants agree to comply with all applicable provisions pertaining to the use of data and copyrights pursuant to 48 CFR Part 27 . 404-3, Federal Acquisition Regulations (FAR) . 4 . Air Pollution and Control (formally known as the Clean Air Act) (42 U.S.C.A. 7401 et seq. ) and the Federal Water Pollution Control Act (33 U.S.C.A. Section 1251 et seq. ) , as amended: Contracts and subgrants of amounts in excess of $100, 000 shall contain a provision that requires the recipient- to agree to comply with all applicable standards, orders or regulations issued pursuant to the Clean Air Act. (42 U.S .C.A. 7401 et seq. ) and the Federal Water Pollution ADDITIONAL FEDERAL REQUIREMENTS PAGE 3 OF 4 EXHIBIT "AFR" Control Act as amended (33 U. S .C.A. Section 1251 et seq. ) . Violations shall be reported to HUD and the Regional Office of the Environmental Protection Agency (EPA) . 5. Anti-Lobbying Certification (31 U.S.C.A. 1352) : The language of the certification set forth in this paragraph below shall be included in all contracts or subcontracts entered into in connection with this grant activity and all SUSRECIPIENTS 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 31 U. S .C.A. Section 1352 . Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10, 000 and no more than $100, 000 for such failure . "The undersigned certifies, to the best of his or her knowledge or belief, that: No Federal appropriated funds have been paid or will be paid, by or on behalf of it, 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 Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement; 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, he/she will complete and submit Standard Form - LLL, "Disclosure Form to Report Lobbying, " in accordance with its instructions . " 9. Debarment and Suspension (Executive Orders (E.O. ) 12549 and 12689) : No contract shall be made to parties listed on the General Services Administration' s List of Parties Excluded from Federal Procurement or Nonprocurement Programs in accordance with E.O. s 12549 and 12689, "Debarment and Suspension, " as set forth at 2 CFR Part 2424 . This list contains the names of parties debarred, suspended, or otherwise excluded by agencies, and contractors declared ineligible under statutory or regulatory authority other than E.O. 12549 . Contractors with awards that exceed the small purchase threshold shall provide the required certification regarding its exclusion status and that of its principal employees . 10 . Drug-Free Workplace Requirements: The Anti-Drug Abuse Act of 1988 (41 U.S .C.A. Section 8101-8103) requires grantees (including individuals) of federal ADDITIONAL FEDERAL REQUIREMENTS PAGE 4 OF 4 EXHIBIT "AFR" agencies, as a prior condition of being awarded a grant, to certify that they will provide drug-free workplaces . Each potential recipient must certify that it will comply with drug-free workplace requirements in accordance with the Act and with HUD' s rules at 2 CFR Part 2424 . 11 . Access to Records and Records Retention: The Consultant or Contractor, and any sub-consultants or sub-contractors, shall allow all duly authorized Federal, State, and/or County officials or authorized representatives access to the work area, as well as all books, documents, materials, papers, and records of the Consultant or Contractor, and any sub-consultants or sub- contractors, that are directly pertinent to a specific program for the purpose of making audits, examinations, excerpts, and transcriptions . The Consultant or Contractor, and any sub-consultants or sub-contractors, further agree to maintain and keep such books, documents, materials, papers, and records, on a current basis, recording all transactions pertaining to this agreement in a form in accordance with generally acceptable accounting principles . All such books and records shall be retained for such periods of time as required by law, provided, however. , notwithstanding any shorter periods of retention, all books, records, and supporting detail shall be retained for a period of at least four (4) years after the expiration of the term of this Agreement. 10 . Federal Employee Benefit Clause: No member of or delegate to the congress of the United States, and no Resident Commissioner shall be admitted to any share or part of this agreement or to any benefit to arise from the same. 11 . Energy Efficiency: Mandatory standards and policies relating to energy efficiency which are contained in the State energy conservation plan issued in compliance with the Energy Policy and Conservation Act (Pub. L. 94 - 163, Dec. 22, 1975; 42 U. S . C.A. Section 6201, et seq. , 89 Stat. 871) . 12 . Procurement of Recovered Materials (2 CFR 200.322 . ) : A non-Federal entity that is a state agency or agency of a political subdivision of a state and its contractors must comply with 42 U. S.C. Section 6962 of the Solid Waste Disposal Act (42 U. S .C.A. Section 6901, et seq. ) , as amended by the Resource Conservation and Recovery Act . The requirements of Section 6002 include procuring only items designated in guidelines of the Environmental Protection Agency (EPA) at 40 CFR Part 247 that contain the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition, where the purchase price of the item exceeds $10, 000 or the value of the quantity acquired by the preceding fiscal year exceeded $10, 000; procuring solid waste management services in a manner that maximizes energy and resource recovery; and establishing an affirmative procurement program for procurement of recovered materials identified in the EPA guidelines. EXHIBIT A File No.: 11E.74-21 SUPPLEMENTAL AGREEMENT SCOPE OF WORK (PUBLIC SERVICE) I. GENERAL INFORMATION CITY NAME: City of Lake Elsinore DUNS#:9913773 ADDRESS: 130 S. Main Street Lake Elsinore, CA 92532 CITY PROGRAM CONTACTS: Brendan Rafferty, Fiscal Officer SUBRECIPIENT NAME: Boys & Girls Club of Southwest County ADDRESS: 130 S. Main Street,Lake Elsinore, CA 92532 PHONE : 951-699-1526 FAX : E-MAIL : shellyf(ZDbecswc.org PROJECT NAME: Boys& Girls Club Scholarship Program PROJECT LOCATION: 16275 Grand Avenue Lake Elsinore CA 92530 LEVEL OF ENVIRONMENTAL CLEARANCE: EXEMPT [24 CFR 58.34 (a)(4)] CDBG ELIGIBILITY CODE: 24 CFR 570.201 (e)Public Services PROJECT FUNDING SUMMARY: $10,000 Project to be administered by County (HHPWS) on behalf of CITY: YES ❑ NO IL SCOPE OF SERVICE A. Activities City will be responsible for administering a 2021-2022 Community Development Block Grant for the Boys & Girls Club Scholarship Program in a manner satisfactory to the County of Riverside and consistent with any standards required as a condition of providing these funds. Such program will include the following activities eligible under the Community Development Block Grant program: Activity #1 The Boys and Girls Club of'Southwest County provides after-school programs to students. The program consist of sports and fitness, health and life skills, academic and career programs. CDBG funds will used,for "scholarships"to income eligible youth. Page 1 of 6 EXHIBIT A File No.: 11E.74-21 B. National Objective All activities funded with CDBG funds must comply with one of more of the CDBG program's National Objective Criteria as required under 24 CFR 570.200(a)(2). CITY certifies that the activity (ies) carried out under this Agreement will meet the following National Objective: National Objective Criteria: 570.208 (a)(2)(i)(B) CFR Reference: Low Mod Limited Clientele Income Certification C. Levels of Accomplishment—Goals and Performance Measures The City agrees to provide the following levels of program services: Activity Units Total Total per Month Units/Year Unduplicated Persons Activity#1 20 20 Unit of Service is defined as: scholarships CPD OUTCOME PERFORMANCE MEASUREMENT Objectives (select one): ® Creating Suitable Living Environments ❑ Providing Decent Affordable Housing ❑ Creating Economic Opportunities Outcome(select one): ❑ Availability/Accessibility ® Affordability ❑ Sustainability (promoting livable or viable communities) D. City Capacity By executing this Supplemental Agreement, the City certifies that it and its subrecipients have the appropriate nurnber of trained and knowledgeable staff, adequate facilities, proper equipment, required licensing and permitting, and sufficient amount of financial resources necessary to implement and carry out the activities funded with CDBG funds. City will immediately notify County of any significant changes in organizational management, assigned staff, change in facilities, loss or change in matching funds, or any other,event that could potentially impact City's performance under this Agreement. Any changes in the above items are subject to the prior approval of the County. E. Performance Monitoring The County of Riverside will monitor the performance of the City and its subrecipients against goals and performance standards as stated above. Substandard performance as detennined by the County will constitute noncompliance with this Agreement. If action to correct such substandard performance is not taken by the City within a reasonable period of time after being notified by the County, contract suspension or termination procedures will be initiated. Page 2 of 6 EXHIBIT A File No.: 11E.74-21 F. Program Budget It is expressly agreed and understood that the total amount to be paid by the County under this Agreement shall not exceed $10,000. Drawdowns for the payment of eligible expenses shall be made against the line- item budgets specified in this Section and in accordance with performance. Payments may be contingent upon certification of the Subrecipient's financial management system in accordance with the standards specified in Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards(2 CFR Part 200). The County may require a more detailed budget breakdown than the one contained herein, and the City shall provide such supplementary budget information in a timely fashion in the form and content prescribed by the County. Any amendments to the budget must be approved in writing by both the County and City. Line Item CDBG Total Non-CDBG Total Notes Granted Funds Activity/Project Funds Budget Total Direct Program $ 10,000 $20,000 $30,000 Expenses Salaries Fringe Office Space(Program Only) Utilities Communications Reproduction/Printing Supplies and Materials Mileage Equipment(Program Only) Audit Transportation Other: Scholarships x Total Indirect Program $ 10,000 Expenses Indirect Costs (Specify)* * All indirect costs must be pre-approved by the County. City must submit an Indirect Cost Allocation Plan to County, in a form specified by County, demonstrating the appropriate share of general and administrative costs. Page 3 of 6 EXHIBIT A File No.: 11E,74-21 G. Total Amount of Non- CDBG Leveraging TYPE SOURC' AMOUNT i SOURCE AMOUNT SOURCE AMOUNT f TOTAL J FEDERAL f STATE/LOCAL PRIVATE OTHER , Fees �$20,000 � $20,000 TOTAL: $20,000 11I. ADMINISTRATIVE REQUIREMENTS A. Accounting Standards The City agrees to comply with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 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. B. Cost Principles The City shall administer its program in conformance with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 200). These principles shall be applied for all costs incurred whether charged on a direct or indirect basis. C. Documentation and Record Keeping 1. Records to be Maintained. The City and its subrecipients 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. Such records shall include but not be limited to: i. Records providing a full description of each activity undertaken; ii. Records demonstrating that each activity undertaken meets one of the National Objectives of the CDBG program.; iii. Records required to determine the eligibility of activities; iv. Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with CDBG assistance; V. Records documenting compliance with the fair housing and equal opportunity components of the CDBG program; vi. Financial records as required by 24 CFR 570.502, and 2 CFR 200; and vii. Other records necessary to document compliance with Subpart K of 24 CFR Part 570. Page 4 of 6 EXHIBIT A File No.: 11E.74-21 2. Records Retention: The City shall retain all CDBG-related financial records, supporting documents, contracts, and agreements for a period of four(4) years. The retention period begins on the date of the submission of the County's annual performance and evaluation report to HUD in which the activities assisted under the Agreement are reported for the final time. The City will retain all National Objective documentation, including low-moderate income certification, ethnicity, and other pertinent data for a period of four (4) years after submission of the County's annual performance and evaluation report to HUD. Notwithstanding the above, if there is litigation, claims, audits, negotiations or other actions that involve any of the records cited and that have started before the expiration of the four-year period, then such records must be retained until completion of the actions and resolution of all issues. 3. Client Data: The City shall maintain client data demonstrating client eligibility for services provided. Such data shall include, but not be limited to, client name, address, income level or other basis for determining eligibility, and description of service provided. Such information shall be made available to County monitors or their designees for review upon request. 4. Disclosure: The City understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the County's or City's responsibilities with respect to services provided under this contract, is prohibited by applicable federal and State law unless written consent is obtained from such person receiving service and, in the case of a minor,that of a responsible parent/guardian. 5. Close-outs: The City's obligation to the County shall not end until all close-out requirements are completed. Activities during this close-out period shall include, but are not limited to making final payments, disposing of program assets (including the return of all unused materials, equipment, unspent cash advances, program income balances, and accounts receivable to the County), and determining the custodianship of records. Notwithstanding the foregoing, the teens of this Agreement shall remain in effect during any period that the City has control over CDBG funds, including program income. 6. Audits &hrspections: All City records with respect to any matters covered by this Agreement shall be made available to the County, HUD, and the Controller General of the United States or any of their authorized representatives, 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 City within 30 days after receipt by the City. Failure of the City to comply with the above audit requirements will constitute a violation of this contract and may result in the withholding of future payments. 'Fire City hereby agrees to have an annual agency audit conducted in accordance with current County policy concerning subrecipient audits, the Single Audit Act, and the Office of Management and Budget (OMB) Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Costs Principles, and Audit Requirements for Federal Awards(Uniform Guidance). Page 5 of 6 EXHIBIT A File No.: 11E.74-21 IV. PROJECT IMPLEMENTATION AND SCHEDULE Unless pre-approved by County, CITY will perform and complete the activities described in Section II in conformance with the schedule of tasks and inilestones listed below: Tasks/Milestone Start Date Completion Date Complete Sponsor July 2021 August 2021 Training Implement Program Activities July 1, 2021 ------------ Execute Supplemental Supplemental Agreement October 2021 November 2021 &Notice to Incur Cost City Submits Quarterly November 2021 March 18, 2022 2 Performance Reports to County County Monitoring of City TBD TBD Performance City Submits Monthly November 2021 March 18, 2022 ' Direct Benefit Reports City Submits Reimbursement November 2021 March 18, 2022 ' Requests 1 The Notice to Incur Cost Letter will provide the specific program implementation date for this CDBG-funded activity. 2, 3, 4 Submittal of required documentation is determined by the specific benefit period of the CDBG- funded activity. Confirm performance requirements with CDBG Program Manager. CDBG Program Services Complete March 18,2022 V. SPECIAL CONDITIONS/PERFORMANCE REQUIREMENTS City must collect income self-certifications from every individual or family participating in CDBG- funded activities or the parent or legal euardian o£eveiv child participating in CDBG-funded activities. This includes family income, family size, and ethnicity. All this documentation must be submitted to HHPWS on a monthly basis. Once the Notice to hrcur Cost letter is received,City must submit monthly reimbursement requests unless another schedule is approved, in writing, by HHPWS. Further, at least 75% of all 2021-22 CDBG funds must be drawn down by January 14, 2022, and 100%of all 2021-22 CDBG funds must be drawn down by March 18, 2022. Failure to meet this draw down schedule will result in the closing or cancellation of the CDBG grant and reprograming of remaining funds. Page 6 of 6 EXHIBIT B File No.: 11E.75-21 SUPPLEMENTAL AGREEMENT SCOPE OF WORK (PUBLIC SERVICE) I. GENERAL INFORMATION CITY NAME: City of Lake Elsinore DUNS#:73383754 ADDRESS: 130 S. Main Street Lake Elsinore, CA 92532 CITY PROGRAM CONTACTS: Brendan Rafferty, Fiscal Officer SUBRECIPIENT NAME: Vista Community Clinic ADDRESS: 130 S. Main Street, Lake Elsinore, CA 92532 PHONE : (760) 631-5000 FAX : (760)414-3701 E-MAIL : ceo(a)vcc org PROJECTNAME: Vista Community Clinic Program PROJECT LOCATION: 30195 Fraser Drive Lake Elsinore CA 92530 LEVEL OF ENVIRONMENTAL CLEARANCE: EXEMPT 124 CFR 58.34 (a)(4)] CDBG ELIGIBILITY CODE: 24 CFR 570.201 (c)Public Services PROJECT FUNDING SUMMARY: $22,000 Project to be administered by County (HHPWS) on behalf of CITY: YES ❑ NO El IL SCOPE OF SERVICE A. Activities City will be responsible for administering a 2021-2022 Community Development Block Grant for the Vista Community Clinic Program in a manner satisfactory to the County of Riverside and consistent with any standards required as a condition of providing these funds. Such program will include the following activities eligible under the Community Development Block Grant program: Activity#1 Vista Cotnnnenity Clinic Health Center provides medical care and assistance with obtaining health insurance to low-income residents of Lake Elsinore. CDBG.funds will be used,for staff costs of a Certified Enrollment Counselor (direct cost) and other eligible program expenses. Page 1 of 6 EXHIBIT B File No.: 11E.75-21 B. National Objective All activities funded with CDBG funds must comply with one of more of the CDBG program's National Objective Criteria as required under 24 CFR 570.200(a)(2). CITY certifies that the activity (ies) carried out under this Agreement will meet the following National Objective: National Objective Criteria: 570.208 (a)(2)(i)(B) CFR Reference: Low Mod Limited Clientele Income Certification C. Levels of Accomplishment—Goals and Performance Measures The City agrees to provide the following levels of program services: Activity Units Total Total per Month Units/Year Unduplicated Persons Activity #1 100 100 Unit of Service is defined as: clients served CPD OUTCOME PERFORMANCE MEASUREMENT Objectives (select one): ® Creating Suitable Living Environments ❑ Providing Decent Affordable Housing ❑ Creating Economic Opportunities Outcome(select one): ® Availability/Accessibility ❑ Affordability ❑ Sustainability(promoting livable or viable communities) D. City Capacity By executing this Supplemental Agreement, the City certifies that it and its subrecipients have the appropriate number of trained and knowledgeable staff, adequate facilities, proper equipment, required licensing and permitting, and sufficient amount of financial resources necessary to implement and carry out the activities funded with CDBG funds. City will immediately notify County of any significant changes in organizational management, assigned staff, change in facilities, loss or change in matching funds, or any other event that could potentially impact City's performance under this Agreement. Any changes in the above items are subject to the prior approval of the County. E. Performance Monitoring The County of Riverside will monitor the performance of the City and its subrecipients against goals and performance standards as stated above. Substandard performance as determined by the County will constitute noncompliance with this Agreement. If action to correct such substandard performance is not taken by the City within a reasonable period of time after being notified by the County, contract suspension or termination procedures will be initiated. Page 2 of 6 EXHIBIT B File No.: 1.1-E.75-21 F. Program Budget It is expressly agreed and understood that the total amount to be paid by the County under this Agreement shall not exceed $22,000.Drawdowns for the payment of eligible expenses shall be made against the line- item budgets specified in this Section and in accordance with performance. Payments may be contingent upon certification of the Subrecipient's financial management system in accordance with the standards specified in Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CPR Part.'200). The County may require a more detailed budget breakdown than the one contained herein, and the City shall provide such supplementary budget information in a timely fashion in the form and content prescribed by the County. Any amendments to the budget must be approved in writing by both the County and City. Line Item CDBG.Granted Total Non- Total Notes Funds CDBG Funds Activity/Project Budget _ Total Direct Program $ 22,000 $39,673 $61,673 Expenses Salaries X Fringe X Office Space(Program Only) Utilities Communications Reproduction/Printing Supplies and Materials Mileage Equipment(Program Only) Audit Transportation Other: Other Eligible Expenses X Total Indirect Program $ Expenses Indirect Costs (Specify)* * All indirect costs must be pre-approved by the County. City must submit an Indirect Cost Allocation Plan to County, in a form specified by County, demonstrating the appropriate share of general and administrative costs. Page 3 of 6 EXHIBIT B File No.: 11E.75-21 G. Total Amount of Non- CDBG Leveraging TYPE SOURCE OUNT SOURCE AMOUNT SOURCE AMOUNT ! TOTAL FEDERAL � HRSA �$39,673 {� $39,673 STATE/LOCAL PRIVATE OTHER TOTAL: $39,673 III. ADMINISTRATIVE REQUIREMENTS A. Accounting Standards The City agrees to comply with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 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. B. Cost Principles The City shall administer its program in conformance with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 200). These principles shall be applied for all costs incurred whether charged on a direct or indirect basis. C. Documentation and Record Keeping 1. Records to be Maintained. The City and its subrecipients 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. Such records shall include but not be limited to: i Records providing a full description of each activity undertaken; ii. Records demonstrating that each activity undertaken meets one of the National Objectives of the CDBG program; i. Records required to determine the eligibility of activities; iv. Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with CDBG assistance; V. Records documenting compliance with the fair housing and equal opportunity components of the CDBG program; vi. Financial records as required by 24 CFR 570.502, and 2 CFR 200; and vii. Other records necessary to document compliance with Subpart K of 24 CFR Part 570. Page 4 of 6 EXHIBIT B File No.: 11E.75-21 2. Records Retention: The City shall retain all CDBG-related financial records, supporting documents, contracts, and agreements for a period of four(4) years. The retention period begins on the date of the submission of the County's annual performance and evaluation report to HUD in which the activities assisted under the Agreement are reported for the final time. The City will retain all National Objective documentation, including low-moderate income certification, ethnicity, and other pertinent data for a period of four (4) years after submission of the County's annual performance and evaluation report to HUD. Notwithstanding the above, if there is litigation, claims, audits, negotiations or other actions that involve any of the records cited and that have started before the expiration of the four-year period, then such records must be retained until completion of the actions and resolution of all issues. 3. Client Data: The City shall maintain client data demonstrating client eligibility for services provided. Such data shall include, but not be limited to, client name, address, income level or other basis for determining eligibility, and description of service provided. Such information shall be made available to County monitors or their designees for review upon request. 4. Disclosure: The City understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the County's or City's responsibilities with respect to services provided under this contract, is prohibited by applicable federal and State law unless written consent is obtained from such person receiving service and, in the case of a minor,that of a responsible parent/guardian. 5. Close-outs: The City's obligation to the County shall not end until all close-out requirements are completed. Activities during this close-out period shall include, but are not limited to making final payments, disposing of program assets (including the return of all unused materials, equipment, unspent cash advances, program income balances, and accounts receivable to the County), and determining the custodianship of records. Notwithstanding the foregoing, the terms of this Agreement shall remain in effect during any period that the City has control over CDBG funds, including program income. 6. Audits & Inspections: All City records with respect to any matters covered by this Agreement shall be made available to the County, HUD, and the Controller General of the United States or any of their authorized representatives, 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 City within 30 days after receipt by the City. Failure of the City to comply with the above audit requirements will constitute a violation of this contract and may result in the withholding of future payments. The City hereby agrees to have an annual agency audit conducted in accordance with current County policy concerning subrecipient audits, the Single Audit Act, and the Office of Management and Budget (OMB) Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Costs Principles, and Audit Requirements for Federal Awards(Uniform Guidance). Page 5 of 6 EXHIBIT B File No.: 11E.75-21 IV. PROJECT IMPLEMENTATION AND SCHEDULE Unless pre-approved by County, CITY will perform and complete the activities described in Section 11 in conformance with the schedule of tasks and milestones listed below: Tasks/Milestone Start Date Completion Date Complete Sponsor July 2021 August 2021 Training Implement Program Activities July 1, 2021 ---------------- Execute Supplemental Agreement October 2021 November 2021 &Notice to Incur Cost City Submits Quarterly November 2021 March 18, 2022 2 Performance Reports to County County Monitoring of City TBD TBD Performance City Submits Monthly November 2021 March 18, 2022' Direct Benefit Reports City Submits Reimbursement November 2021 March 18, 2022' Requests I The Notice to Incur Cost Letter will provide the specific program implementation date for this CDBG-funded activity. 2, 3, 4 Submittal of required documentation is determined by the specific benefit period of the CDBG- funded activity. Confirm performance requirements with CDBG Program Manager. CDBG Program Services Complete March 18,2022 V. SPECIAL CONDITIONS/PERFORMANCE REQUIREMENTS Sponsor must collect income self-certifications from every individual or family participating in CDBG- funded activities or the parent or legal guardian of every child participatin in CDBG-funded activities. This includes family income, family size, and ethnicity. Sponsor is required to collect income verification documentation from at least 10% of the participants. All of this documentation must be submitted to HHPWS on a monthly basis unless otherwise authorized in writing by CDBG program staff. Page 6 of 6 EXHIBIT C File No.: 11E.76-21 SUPPLEMENTAL AGREEMENT SCOPE OF WORK (NON-PUBLIC SERVICE) 1. GENERAL INFORMATION CITY NAME: City of Lake Elsinore DUNS #: 21798863 ADDRESS: 130 S. Main Street Lake Elsinore, CA 92532 PROGRAM CONTACTS: Grant Yates, Executive Director PHONE: (951)674-3124 FAX: E-MAIL: gyates((�lake-elsinore.org PROJECT NAME: Lake Community Center Rehabilitation Phase 11 PROJECT LOCATION: 310 W.Graham Avenue, Lake Elsinore, CA 92530 LEVEL OF ENVIRONMENTAL CLEARANCE: Categorical Exclusion CDBG ELIGIBILITY CODE: 570.201 (c) PROJECT FUNDING SUMMARY: $451,690 Project to be administered by County (HHPWS) on behalf of City: YES ❑ NO II. SCOPE OF SERVICE A. Activities City will be responsible for administering a 2021-2022 Community Development Block Grant for the Lake Community Center Rehabilitation Phase II in a manner satisfactory to the County of Riverside and consistent with any standards required as a condition of providing these funds. Such program will include the following activities eligible under the Community Development Block Grant program: Activity#1 The City of Lake Elsinore will utilize CDBG funds for the continuation of the Lake Community Center rehabilitation project. Rehabilitation includes ADA accessibility upgrades, HVAC systems including air, heating, and ventilation, plumbing, and electrical system, and constructing an entry to the facility for added security. CDBG funds will be used to pay for design, construction, project nianagement, compliance monitoring, inspection, and other related expenses. Lake Community Center Rehabilitation Phase LL B. National Objective Page I of 6 EXHIBIT C File No.: 11E.76-21 All activities funded with CDBG funds must comply with one of more of the CDBG program's National Objective Criteria as required under 24 CPR 570.200(a)(2). City certifies that the activity(ies) carried out under this Agreement will meet the following National Objective: National Objective Criteria: 570.208 (a)(1)(i) CFR Reference: Low Mod Area C. Levels of Accomplishment—Goals and Performance Measures The City agrees to implement and complete the following activity(ies): Activity #I accessibility upgrades, HVAC systems including air, heating, and ventilation, plumbing, and electrical system, and constructing an entry to the facility for added security. Activity #2 design, construction, project rnanagenzent, compliance monitoring, inspection, and other related expenses. CPD OUTCOME PERFORMANCE MEASUREMENT Objectives(select one): ® Creating Suitable Living Environments ❑ Providing Decent Affordable Housing ❑ Creating Economic Opportunities Outcome (select one): ® Availability/Accessibility ❑ Affordability ❑ Sustainability(promoting livable or viable communities) D. City Capacity By executing this Supplemental Agreement, the City certifies that it has the appropriate number of pained and knowledgeable staff, adequate facilities, proper equipment, required licensing and permitting, and sufficient amount of financial resources necessary to implement and carry out the activities funded with CDBG funds. City will immediately notify County of any significant changes in organizational management, assigned staff, change in facilities, loss or change in matching fiords, or any other event that could potentially impact the City or subreeipient's performance under this Agreement. Any changes in the above items are subject to the prior approval of the County. E. Performance Monitoring The County of Riverside will monitor the performance of the City and its subrecipients against goals and performance standards as stated above. Substandard performance as determined by the County will constitute noncompliance with this Agreement. If action to correct such substandard performance is not taken by the City within a reasonable period of time after being notified by the County, contract suspension or termination procedures will be initiated. F. Program Budget Page 2 of 6 EXHIBIT C File No.: 11E.76-21 It is expressly agreed and understood that the total amount to be paid by the County under this Agreement shall not exceed 45$ 1,690 Drawdowns for the payment of eligible expenses shall be made against the line item budgets specified in this Section and in accordance with performance. Payments may be contingent upon certification of the Subrecipient's financial management system in accordance with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 200). The County may require a more detailed budget breakdown than the one contained herein, and the City shall provide such supplementary budget information in a timely fashion in the form and content prescribed by the County. Any amendments to the budget must be approved in writing by both the County and City. Line Item CDBG Granted Total of Non- Total Activity/Project Notes Funds CDBG Funds Budget Design/Engineering Costs X Project Administration Costs X Construction Costs X Acquisition Costs Relocations Costs Capital Equipment Costs Code Enforcement Clearance Interim Assistance Indirect Costs: Other Related Expenses X TO G. Total Amount of Non- CDBG Leveraging TYPE SOURCE AMOUNT SOURCE AMOUNT SOURCE AMOUNT TOTAL FEDERAL STATE/LOCAL ' PRIVATE Page 3 of 6 EXHIBIT C File No.: 11E.76-21 OTHER TOTAL: III. ADMINISTRATIVE REQUIREMENTS A. Accounting Standards The City agrees to comply with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 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. B. Cost Principles The City shall administer its program in conformance with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 200). These principles shall be applied for all costs incurred whether charged on a direct or indirect basis. C. Documentation and Record Keeping 1. Records to be Maintained The Subrecipient shall 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. Such records shall include but not be limited to: 1 Records providing a full description of each activity undertaken; ii. Records demonstrating that each activity undertaken meets one of the National Objectives of the CDBG program; iii. Records required to determine the eligibility of activities; iv. Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with CDBG assistance; V. Records documenting compliance with the fair housing and equal opportunity components of the CDBG program; vi. Financial records as required by 24 CFR 570.502, and 2 CFR 200; and vii. Other records necessary to document compliance with Subpart K of 24 CFR Part 570. 2. Records Retention The City shall retain all CDBG-related financial records, supporting documents, contracts, and agreements for a period of four(4)years. The retention period begins on the date of the submission of the County's annual performance and evaluation report to HUD in which the activities assisted under the Agreement are reported for the final time. The City will retain all National Objective documentation, including low-moderate income certification, ethnicity, and other pertinent data for a period of four(4) years after submission of the County's annual performance and evaluation report to HUD.Notwithstanding the above, if there is litigation, claims, audits, negotiations or other actions that involve any of the records cited and that have started before the expiration of the four-year period, then such records must be retained until completion of the actions and resolution of all issues. Page 4 of 6 EXHIBIT C File No.: 11E.76-21 3. Client Data The City shall maintain client data demonstrating client eligibility for services provided. Such data shall include, but not be limited to, client name, address, income level or other basis for determining eligibility, and description of service provided. Such information shall be made available to County monitors or their designees for review upon request. 4. Disclosure The City understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the County's or City's responsibilities with respect to services provided under this contract, is prohibited by applicable federal and State law unless written consent is obtained from such person receiving service and, in the case of a minor, that of a responsible parent/guardian. 5. Close-outs The City's obligation to the County shall not end until all close-out requirements are completed. Activities during this close-out period shall include, but are not limited to: making final payments, disposing of program assets (including the return of all unused materials, equipment, unspent cash advances, program income balances, and accounts receivable to the County), and determining the custodianship of records. Notwithstanding the foregoing, the terms of this Agreement shall remain in effect during any period that the City has control over CDBG funds, including program income. 6. Audits&Inspections All City records with respect to any matters covered by this Agreement shall be made available to the County, HUD, and the Controller General of the United States or any of their authorized representatives, at any time during normal business how's, 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 City within 30 days after receipt by the City. Failure of the City to comply with the above audit requirements will constitute a violation of this contract and may result in the withholding of future payments. The City hereby agrees to have an annual agency audit conducted in accordance with current County policy concerning subrecipient audits the Single Audit Act, and the Office of Management and Budget(OMB) Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Costs Principles, and Audit Requirements for Federal Awards (Uniform Guidance). IV. PROJECT IMPLEMENTATION AND SCHEDULE Unless pre-approved by County, City will perform and complete the activities described in Section 11 in conformance with the schedule of tasks and milestones listed below: Tasks/Milestone Start Date Completion Date Complete CDBG Training July 2021 July 2021 Implement Project Activities Upon Notification from HHPWS Execute Supplemental Agreement September 2021 October 2021 Page 5 of 6 EXHIBIT C File No.: 11E.76-21 &Notice to Incur Cost Tasks/ Milestone Start Date Completion Date Submit Quarterly Performance Start October 2021 Reports to County Through June 2022 Comity Monitoring of City To be determined by Program Manager Program/Performance Specific Project Activities I. City executes Supplemental Agreement; receives Authorization to Incur Cost letter 2. City prepares final construction documents(incorporating Special Federal Provisions)for HHPWS review and approval 3. HHPWS authorizes City to advertise for bids 4. HHPWS reviews and approves bidding process 5. City awards construction contract 6. City and HHPWS conduct"pre-construction meeting" 7. HHPWS authorizes City to issue"Notice to Proceed" City Submits Reimbursement Requests Monthly Submittal ❑ Other Schedule CD13G-funded Project Complete June 15,2022 V. SPECIAL CONDITIONS/PERFORMANCE REQUIREMENTS City must follow proper procurement and construction policies and procedures of the City and CDBG regulations. No construction will shall commence using CDBG funding without prior Notice to Proceed. Pre-Construction meeting required. City is required to contact the County Program Manager for review prior to submission of RFP, construction activity or cost without prior written approval. County must be contacted 10 days in advance for attendance of Pre-Construction meeting. Original Certified payrolls to be submitted on a weekly basis to County. Page 6 of 6 File No.: 0.231-21 EXHIBIT D SPONSOR'S AGREEMENT SCOPE OF WORK (PUBLIC SERVICE) I. GENERAL INFORMATION SPONSOR NAME: Assistance League of Temecula Valley DUNS#: 868952920 ADDRESS: 28720Temecula, A 925 0 nua Temecula, CA 92590 PROGRAM CONTACTS: Dorcas Shaktman, Executive Director PHONE: 951-970-6034 FAX: E-MAIL: dshakunan@verizon.net PROJECT NAME: Operation School Bell PROJECT LOCATION: 28720 Via Montezuma, Temecula, CA 92590 LEVEL OF ENVIRONMENTAL CLEARANCE: EXEMPT 124 CFR 58.34 (a)(4)] CDBG ELIGIBILITY CODE: 24 CFR 570.201 (e) Public Services PROJECT FUNDING SUMMARY: $61,431 I"' District $8,000 3"' District $5,000 Lake Elsinore S27,400 Murrieta $21,031 II. SCOPE, OF SERVICE A. Activities Sponsor will be responsible for administering a 2021-2022 Community Development Block Grant for the Operation School Bell in a manner satisfactory to the County of Riverside and consistent with any standards required as a condition of providing these funds. Such program will include the following activities eligible under the Community Development Block Grant program: Activity #1 Operation School Bell will use CDBG,funds to provide school supplies, new clothing and shoes to children and youth ages 4-17 from low-income,families at multiple shopping events.for eligible children. B. National Objective Page 1 of 6 File No.: 0.231-21 EXHIBIT D All activities funded with CDBG funds must comply with one or more of the CDBG program's National Objective Criteria as required under 24 CER 570 200(a)(2). Sponsor certifies that the activity (ies) carried out under this Agreement will meet the following National Objective: National Objective Criteria: 570.208 (a)(2)(i)(B) CER Reference: Low Mod Limited Clientele Income Certification C. Levels of Accomplishment—Goals and Performance Measures The Sponsor agrees to provide the following levels of program services: Activity Units Total Total per Month Units/Year Unduplicated Persons Activity 41 400 400 Unit of Service is defined as: Youths receiving scholarships. CPD OUTCOME PERFORMANCE MEASUREMENT Objectives (select one): ® Creating Suitable Living Environments ❑ Providing Decent Affordable Housing ❑ Creating Economic Opportunities Outcome (select one): ® Availability/Accessibility ❑ Affordability ❑ Sustainability (promoting livable or viable communities) D. Sponsor Capacity By executing this Sponsor's Agreement, the Sponsor certifies that it has the appropriate number of trained and knowledgeable staff, adequate facilities, proper equipment, required licensing and permitting,and sufficient amount of financial resources necessary to implement and carry out the activities funded with CDBG funds. Sponsor will immediately notify County of any significant changes in organizational management, assigned staff, change in facilities, loss or change in matching funds, or any other event that could potentially impact Sponsor's performance under this Agreement. Any changes in the above items are subject to the prior approval of the County. E. Performance Monitoring Page 2 of 6 File No.: 0.231-21 EXHIBIT D The County of Riverside Grantee will monitor the performance of the Sponsor against goals and performance standards as stated above. Substandard performance as determined by the County will constitute noncompliance with this Agreement. If action to correct such substandard performance is not taken by the Sponsor within a reasonable period of time after being notified by the County, contract suspension or termination procedures will be initiated. F. Program Budget It is expressly agreed and understood that the total amount to be paid by the County under this Agreement shall not exceed $61,431. Drawdowns for the payment of eligible expenses shall be made against the line item budgets specified in this Section and in accordance with performance.Payments may be contingent upon certification of the Subrecipient's financial management system in accordance with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CPR Part 200). The County may require a more detailed budget breakdown than the one contained herein, and the Sponsor shall provide such supplementary budget information in a timely fashion in the form and content prescribed by the County. Any amendments to the budget must be approved in writing by both the County and Sponsor. CDBG Granted Total Non- Total Notes Line Item Funds CDBG Funds Activity/Project Budget _ Total Direct Program $ 619431 Expenses Salaries Fringe Office Space (Program Only) Utilities Communications Reproduction/Printing Supplies and Materials X Mileage Equipment(Program Only) Audit Transportation Other: New clothing and X shoes Total Indirect Program $ Expenses hldirect Costs (Specify)* Page 3 of 6 File No.: 0.231-21 EXHIBIT D G. Total Amount of Non- CDBG Leveraging TYPE SOURCE AMOUNT rsouRcE AMOUNT SOURCE AMOUNT TOTAL FEDERAL STATE/LOCAL Temecula F$18,534 �--. F T-1 —F-%ls-,534 PRIVATE Private $18,985 F ~- F —F$18,985 ­-[-- OTHER Donations $113,000 �' $113,000 TOTAL: $150,519 III. ADMINISTRATIVE REQUIREMENTS A. Accounting Standards The Sponsor agrees to comply with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards(2 CFR Part 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. B. Cost Principles The Sponsor shall administer its program in conformance with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 200). These principles shall be applied for all costs incurred whether charged on a direct or indirect basis. C. Documentation and Record Keeping 1. Records to be Maintained The Subrecipient shall 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. Such records shall include but not be limited to: i Records providing a full description of each activity undertaken; ii. Records demonstrating that each activity undertaken meets one of the National Objectives of the CDBG program; iii. Records required to determine the eligibility of activities; iv. Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with CDBG assistance; V. Records documenting compliance with the fair housing and equal opportunity components of the CDBG program; vi. Financial records as required by 24 CFR 570.502, and 2 CFR 200; and vii. Other records necessary to document compliance with Subpart K of 24 CFR Part 570. Page 4 of 6 File No.: 0.231-21 EXHIBIT D 2. Records Retention The Sponsor shall retain all financial records,supporting documents,statistical records,and all other records pertinent to the Agreement for a period of four (4) years. The retention period begins on the date of the submission of the County's annual performance and evaluation report to HUD in which the activities assisted under the Agreement are reported on for the final time. Notwithstanding the above, if there is litigation, claims, audits, negotiations or other actions that involve any of the records cited and that have started before the expiration of the four-year period,then such records must be retained until completion of the actions and resolution of all issues, or the expiration of the four-year period, whichever occurs later. 3. Client Data The Sponsor shall maintain client data demonstrating client eligibility for services provided. Such data shall include, but not be limited to, client name, address, income level or other basis for determining eligibility, and description of service provided. Such information shall be made available to County monitors or their designees for review upon request. 4. Disclosure The Sponsor understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the County's or Sponsor's responsibilities with respect to services provided under this contract, is prohibited by applicable federal and State law unless written consent is obtained from such person receiving service and, in the case of a minor,that of a responsible parent/guardian. 5. Close-outs The Sponsor's obligation to the County shall not end until all close-out requirements are completed. Activities during this close-out period shall include, but are not limited to: making final payments, disposing of program assets(including the return of all unused materials,equipment,unspent cash advances, program income balances, and accounts receivable to the County), and determining the custodianship of records.Notwithstanding the foregoing,the terms of this Agreement shall remain in effect during any period that the Sponsor has control over CDBG funds, including program income. 6. Audits & Inspections All Sponsor records with respect to any matters covered by this Agreement shall be made available to the County, HUD, and the Controller General of the United States or any of their authorized representatives, 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 Sponsor within 30 days after receipt by the Sponsor. Failure of the Sponsor to comply with the above audit requirements will constitute a violation of this contract and may result in the withholding of future payments. The Sponsor hereby agrees to have an annual agency audit conducted in accordance with current Comity policy concerning subrecipient audits, the Single Audit Act, and the Office of Management and Budget (OMB) Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Costs Principles, and Audit Requirements for Federal Awards(Uniform Guidance) Page 5 of 6 File No.: 0.231-21 EXHIBIT D IV. PROJECT IMPLEMENTATION AND SCHEDULE Unless pre-approved by County, Sponsor will perform and complete the activities described in Section II in conformance with the schedule of tasks and milestones listed below: Tasks/Milestone Start Date Completion Date Complete Online Sponsor Training July 2021 August 2021 Implement Program Activities July 1, 2021 r ---------------- Execute Sponsor's Agreement September 2021 November 2021 &Notice to Incur Cost Sponsor Submit Quarterly September 2021 March 18, 2022 Z Performance Reports to County Sponsor Submits Monthly September 2021 March 18, 2022' Direct Benefit Reports Sponsor Submits Reimbursement Requests September 2021 March 18, 2022 " 1 The Notice to hicur Cost Letter will provide the specific program implementation date for this CDBG-frnided activity. 2, 3, 4 Submittal of required documentation is determined by the specific benefit period of the CDBG-funded activity. Confirm performance requirements with CDBG Program Manager. CDBG Program Services Complete March 18, 2022 V. SPECIAL CONDITIONS /PERFORMANCE REQUIREMENTS Sponsor must collect income self-certifications from every individual or family participating in this CDBG-funded activity. The parent or legal guardian must complete the income certification on behalf of a child participating in the program. This certification must include family income, family size, and ethnicity. Sponsor is also required to collect income verification documentation. Sponsor must calculate these participants' incomes pursuant to HUD's Online Income Eligibility Calculator (wwwJrudcxchange mfg/ incomecalculator) or comparable method. This documentation must be submitted to HHPWS on a monthly basis. Once the Notice to hicur Cost letter is received, Sponsor must submit monthly reimbursement requests unless another schedule is approved, in writing, by HHPWS. Further, at least 75% of all 2021-22 CDBG funds must be drawn down by January 14, 2022, and 100% of all 2021-22 CDBG funds must be drawn down by March 18, 2022. Failure to meet this draw down schedule will result in the closing or cancellation of the CDBG grant and reprograming of remaining funds. Page 6 of 6 File No.: 0.236-21 EXHIBIT E SPONSOR'S AGREEMENT SCOPE OF WORK (PUBLIC SERVICE) I. GENERAL INFORMATION SPONSOR NAME. Helping Our People in Elsinore, Inc. DUNS #:6655633 ADDRESS: 506 W. Minthorn Street Lake Elsinore, CA 92530 PROGRAM CONTACTS: Brett Masters, Executive Director PHONE: 951-751-5828 FAX: _ E-MAIL: brett@dreameenterle.org PROJECT NAME: H.O.P.E. Pantry Program ------ PROJECT LOCATION: 506 W Minthorn Street, Lake Elsinore, CA 92530 LEVEL OF ENVIRONMENTAL CLEARANCE: EXEMPT 124 CFR 58.34 (a)(4)] CDBG ELIGIBILITY CODE: 24 CFI2 570.201 (e) Public Services PROJECT FUNDING SUMMARY: $74,446 1"' District $40,640 Lake Elsinore $30,000 Canyon Lake $3,806 II. SCOPE OF SERVICE A. Activities Sponsor will be responsible for administering a 2021-2022 Community Development Block Grant for the H.O.P.E. Pantry Program in a manner satisfactory to the County of Riverside and consistent with any standards required as a condition of providing these funds. Such program will include the following activities eligible under the Community Development Block Grant program: Activity 41 fLORE, provides meals to needy.families, seniors, and homeless persons in the Lake Elsinore, Sedco Hills, Canyon Lake, Wildomar, and Lakeland Village. CDBG funds will be used for consumable supplies, space costs, utilities,food, transportation, and operational costs. Page I of 6 File No.: 0.236-21 EXHIBIT E B. National Objective All activities funded with CDBG funds must comply with one or more of the CDBG program's National Objective Criteria as required under 24 CPR 570.200(a)(2). Sponsor certifies that the activity (ies) carried out under this Agreement will meet the following National Objective: National Objective Criteria: 570.208 (a)(2)(i)(B) CPR Reference: Low Mod Limited Clientele Income Certification C. Levels of Accomplishment—Goals and Performance Measures The Sponsor agrees to provide the following levels of program services: Activity Units Total Total per Month Units/Year Unduplicated Persons Activity #1 2500 2500 Unit of Service is defined as: Clients Served CPD OUTCOME PERFORMANCE MEASUREMENT Objectives (select one): ® Creating Suitable Living Environments ❑ Providing Decent Affordable Housing ❑ Creating Economic Opportunities Outcome (select one): ® Availability/Accessibility ❑ Affordability ❑ Sustainability (promoting livable or viable communities) D. Sponsor Capacity By executing this Sponsor's Agreement, the Sponsor certifies that it has the appropriate number of trained and knowledgeable staff, adequate facilities,proper equipment,required licensing and permitting,and sufficient amount of financial resources necessary to implement and carry out the activities funded with CDBG funds. Sponsor will immediately notify County of any significant changes in organizational management, assigned staff, change in facilities, loss or change in matching funds, or any other event that could potentially impact Sponsor's performance under this Agreement. Any changes in the above items are subject to the prior approval of the County. Page 2 46 File No.: 0.236-21 EXHIBIT E E. Performance Monitoring The County of Riverside Grantee will monitor the performance of the Sponsor against goals and performance standards as stated above. Substandard performance as determined by the County will constitute noncompliance with this Agreement. If action to correct such substandard performance is not taken by the Sponsor within a reasonable period of time after being notified by the County, contract suspension or termination procedures will be initiated. F. Program Budget It is expressly agreed and understood that the total amount to be paid by the County under this Agreement shall not exceed$74,446. Drawdowns for the payment of eligible expenses shall be made against the line item budgets specified in this Section and in accordance with performance. Payments may be contingent upon certification of the Subrecipient's financial management system in accordance with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 200). The County may require a more detailed budget breakdown than the one contained herein, and the Sponsor shall provide such supplementary budget information in a timely fashion in the form and content prescribed by the County. Any amendments to the budget must be approved in writing by both the County and Sponsor. Line Item CDBG Total Non- Total Notes Granted Funds CDBG Funds Activity/Project Bud et Total Direct Program $ 74,446 $90,000 $164,446 Expenses Salaries Fringe Office Space (Program Only) x Utilities x Communications Reproduction/Printing Supplies and Materials x Mileage Equipment(Program Only) Audit Transportation x Other: Total Indirect Program $ Expenses Indirect Costs (Specify)* Page 3 of 6 File No.: 0.236-21 EXHIBIT E G. Total Amount of Non- CDBG Leveraging -[TYPE i SOURCE , AMOUNT SOURCE AMOUNT FSOURCE AMOUNT FTOTAI FEDERAL STATE/LOCAL Bus. Orgs $36,000 �— [$36,000 PRIVATE Donations $48,000 � FS48,000 OTHER Grants $6,000 $6,000 TOTAL: $90,000 IIL ADMINISTRATIVE REQUIREMENTS A. Accounting Standards The Sponsor agrees to comply with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 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. B. Cost Principles The Sponsor shall administer its program in conformance with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 200). These principles shall be applied for all costs incurred whether charged on a direct or indirect basis. C. Documentation and Record Keeping 1. Records to be Maintained The Subrecipient shall 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. Such records shall include but not be limited to: i Records providing a full description of each activity undertaken; ii. Records demonstrating that each activity undertaken meets one of the National Objectives of the CDBG program; iii. Records required to determine the eligibility of activities; iv. Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with CDBG assistance; V. Records documenting compliance with the fair housing and equal opportunity components of the CDBG program; vi. Financial records as required by 24 CFR 570.502, and 2 CFR 200; and vii. Other records necessary to document compliance with Subpart K of 24 CFR Part 570. Page 4 of 6 File No.: 0.236-21 EXHIBIT E 2. Records Retention The Sponsor shall retain all financial records, supporting documents, statistical records, and all other records pertinent to the Agreement for a period of four (4) years. The retention period begins on the date of the submission of the County's annual performance and evaluation report to I-IUD in which the activities assisted under the Agreement are reported on for the final time. Notwithstanding the above, if there is litigation, claims, audits, negotiations or other actions that involve any of the records cited and that have started before the expiration of the four-year period, then such records must be retained until completion of the actions and resolution of all issues,or the expiration of the four-year period, whichever occurs later. 3. Client Data The Sponsor shall maintain client data demonstrating client eligibility for services provided. Such data shall include, but not be limited to, client name, address, income level or other basis for determining eligibility, and description of service provided. Such information shall be made available to County monitors or their designees for review upon request. 4. Disclosure The Sponsor understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the County's or Sponsor's responsibilities with respect to services provided under this contract, is prohibited by applicable federal and State law unless written consent is obtained from such person receiving service and, in the case of a minor, that of a responsible parent/guardian. 5. Close-outs The Sponsor's obligation to the County shall not end until all close-out requirements are completed. Activities during this close-out period shall include, but are not limited to: making final payments, disposing of program assets (including the return of all unused materials, equipment, unspent cash advances, program income balances, and accounts receivable to the County), and determining the custodianship of records. Notwithstanding the foregoing, the terms of this Agreement shall remain in effect during any period that the Sponsor has control over CDBG funds, including program income. 6. Audits & Inspections All Sponsor records with respect to any matters covered by this Agreement shall be made available to the County, HUD, and the Controller General of the United States or any of their authorized representatives, 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 Sponsor within 30 days after receipt by the Sponsor. Failure of the Sponsor to comply with the above audit requirements will constitute a violation of this contract and may result in the withholding of future payments. The Sponsor hereby agrees to have an annual agency audit conducted in accordance with current County policy concerning subrecipient audits,the Single Audit Act,and the Office of Management and Budget (OMB) Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Costs Principles, and Audit Requirements for Federal Awards (Uniform Guidance) Page 5 of 6 File No.: 0.236-21 EXHIBIT E IV. PROJECT IMPLEMENTATION AND SCHEDULE Unless pre-approved by County, Sponsor will perform and complete the activities described in Section II in conformance with the schedule of tasks and milestones listed below: Tasks/Milestone Start Date Completion Date Complete Sponsor Training July 2021 August 2021 Implement Program Activities July 1, 2021 1 - - - - - - - - - - - - Execute Sponsor's Agreement October 2021 November 2021 &Notice to Incur Cost Sponsor Submits Quarterly November 2021 Z March 18, 2022 2 Performance Reports to County Sponsor Submits Monthly November 2021 March 18, 2022' Direct Benefit Reports Sponsor Submits Reimbursement November 2021 March 18, 2022 4 Requests 1 The Notice to Incur Cost Letter will provide the specific program implementation date for this CDBG-funded activity. 2,3,4 Submittal of required documentation is determined by the specific benefit period of the CDBG-funded activity. Confirm performance requirements with CDBG Program Manager. CDBG Program Services Complete March 18, 2022 V. SPECIAL CONDITIONS/PERFORMANCE REQUIREMENTS Sponsor must collect income self-certifications from every individual or family participating in this CDBG- funded activity. The parent or legal guardian must complete the income certification on behalf of a child participating in the program. This certification must include family income, family size, and ethnicity. Sponsor is also required to collect income verification documentation from at least 10% of all participants. Sponsor must calculate these participants' incomes pursuant to HUD's Online Income Eligibility Calculator htt2s://www.hudexchan2e info/incomecalculator/dashboard/?incomecalculatoraction=type of assistance.cdb national_objective or comparable method.This documentation must be submitted to HHPWS on a monthly basis. Once the Notice to Incur Cost letter is received, Sponsor must submit monthly reimbursement requests unless another schedule is approved, in writing, by HHPWS. Further, at least 75% of all 2021-22 CDBG funds must be drawn down by January 14, 2022, and 100% of all 2021-22 CDBG funds must be drawn down by March 18, 2022. Failure to meet this draw down schedule will result in the closing or cancellation of the CDBG grant and reprograming of remaining funds. Page 6 of 6