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Update - Emergency Rental Assistance Pgrm
STAFF REPORT CITY OF PALM DESERT CITY MANAGER'S OFFICE MEETING DATE: September 24, 2020 PREPARED BY: Christopher Gerry, Senior Management Analyst REQUEST: Emergency Rental Assistance Program Update Recommendation Receive and file an update on the Emergency Rental Assistance Program using Community Development Block Grant (CDBG-CV) funds. Background On March 27, 2020, U.S. Congress passed and subsequently the president signed into law the economic stimulus bill known as the Coronavirus Aid, Relief and Economic Securities Act (CARES Act). As a result, the City of Palm Desert received $241,144 in CDBG-CV funds through the U.S. Department of Housing and Urban Development (HUD). The purpose of CDBG-CV funds is to prevent, prepare for, and respond to the coronavirus pandemic. On May 14, 2020, the City Council approved using CDBG-CV funds for an Emergency Rental Assistance Program (Program). The Program serves as an economic recovery tool for rental properties and a safety net for lower and moderate -income households financially impacted by the coronavirus pandemic. The Program provides qualified households with rental arrears up to $5,000 from April 2020 and/or beyond. Approval allowed City staff to move forward with the development of the Program before the completion and submission of the appropriate federal plans to HUD. The Council -approved policy guidelines (Attachment A) serve as the basis for the program guidelines (Attachment B). On May 27, 2020, the City released a Request for Proposal (RFP) to nonprofit organizations interested in operating the Program. Nonprofit organizations were notified of the opportunity through an existing outreach list and public notice published in the newspaper as well. A copy of the RFP (excluding attachments) can be found as Attachment C. On May 28, 2020, the City Council held a public hearing and approved the submission of certain HUD documents (i.e., Consolidated Plan Amendment and Action Plan Amendment) that identified the allocation of CDBG-CV funds toward the Program. Whereas the City Council previously approved the Program in concept (May 14, 2020), HUD requires this public hearing and formal submission of federal documents in order to receive CDBG-CV funds. By June 15, 2020 (application deadline), the City received two proposals from nonprofit organizations interested in administering the Program. Of the two applications, City staff recommended entering into a subrecipient agreement with the Jewish Family Service of the Desert (JFSD). This nonprofit organization displayed substantial experience in providing case September 24, 2020 - Staff Report Emergency Rental Assistance Program Page 2of3 management and direct financial assistance, and offered the most dedicated staffing hours to the Program. A copy of the JFSD's proposal can be found as Attachment D. On June 25, 2020, the City Council approved the subrecipient agreement with JFSD in an amount not to exceed $20,000 to operate the Program. The subrecipient agreement was executed following HUD's approval of the grant agreement (July 14, 2020). The subrecipient agreement can be found as Attachment E. On July 3, 2020, City staff opened the application period for rental property owners to opt -in to the Program. An electronic application (https://arcq.is/lvva8b) was issued to streamline the process for rental property owners and the collection and analysis of information for City staffs review. Outreach efforts to advertise the Program include: • Requested electronic distribution to members of the Palm Desert Area Chamber of Commerce and California Desert Association of Realtors; • Published two public notices (consecutive weeks) in the Desert Sun; • Notified 160 property owners (possessing two units or more) via regular mail; and • Gave a presentation to members of the California Desert Association of Realtors. By July 17, 2020 (application deadline), the City received 19 applications representing 1,547 rental units across Palm Desert. Upon review, City staff determined four applications were ineligible due not meeting federal requirements. On August 11, 2020, the City issued agreements (Attachment F) and requested additional information from 15 rental property owners consistent with the policy and program guidelines. The deadline for rental property owners to return the agreements and provide additional information was August 25, 2020. Twelve (12) rental property owners compiled by the deadline and the remaining three owners withdrew their applications. Therefore, these 12 contracted rental property owners represent 1,454 rental units. More importantly, these rental properties represent 130 households having missed payments since April 2020 and/or beyond. Furthermore, those missing payments represent approximately $249,000. On September 1, 2020, JFSD submitted a letter to all 130 households notifying them of the emergency rental assistance opportunity. In order to ensure households did not assume the letter was "junk mail" and as an attempt at equitable service delivery, the City submitted the same letter to these households, but within a City envelope. Finally, the rental property owners have been contacting their respective households as well. A copy of the letter sent to the identified households can be found as Attachment G. By September 16, 2020 (application deadline), the identified households must submit an electronic application (https://arcq.is/OaGHTH) as an initial step to qualify for emergency rental assistance. An update on the volume of household applications and missing payment amounts will be provided at the City Council meeting. September 24, 2020 - Staff Report Emergency Rental Assistance Program Page 3 of 3 Upon receipt of applications, JFSD will work with each household on qualifying them for emergency rental assistance (Attachment H). Following the qualification process and receipt of supporting documentation (Attachment I), the City will issue payment directly to the rental property owners. City staff anticipated updating the Outside Agency Funding Committee on the status of the Program and presenting an allocation plan in the near future. However, contingent upon the volume of applications, the City may be in a position to provide emergency rental assistance to all qualified households that applied for the Program. City staff anticipates closing out the Program after assisting these qualified households associated with the rental properties that previously opted in to the Program. Fiscal Analysis There is no fiscal impact associated with this request. LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW ASSISTANT CITY MANAGER Bff Robert W. Hargreaves City Attorney R,- bygda- Randy Bynder Interim City Manager yew -a 144 141002G Janet Moore Director of Finance NIA Andy Firestine Assistant City Manager Interim City Manager: Raady a sdet Attachments A. Policy Guidelines B. Program Guidelines C. Request for Proposal (Nonprofit Organizations) D. Proposal (JFSD) E. Subrecipient Agreement (JFSD) F. Rental Property Agreement G. Rental Assistance Opportunity Letter H. Household Qualification Forms I. Document Checklist Attachment A Policy Guidelines City of Palm Desert Community Development Block Grant (CDBG) Emergency Rental Assistance Program Policy Guidelines The City will subcontract with a nonprofit organization (Subrecipient) to provide an Emergency Rental Assistance Program (Program) to eligible households living in selected rental properties located in Palm Desert. The Program serves as a homelessness prevention safety net for residents and an economic recovery tool for rental properties. 1. Eligible Costs Costs include up to $5,000 per eligible household for rental arrears for April 2020 and/or beyond. Rental arrears cannot exceed a maximum three consecutive months. Amounts per eligible participating household will be recommended by the Subrecipient to the City, and may exceed the amount on a case -by -case basis and subject to available funds. Utilities arrears are ineligible. 2. Eligible Households Households shall meet all of the following qualifying criteria: • Earn less than 80% percent of the area median income. • Experience loss of income directly related to the coronavirus. • Delinquent on rent payment, including partial payments, for April 2020 and/or beyond. • Reside within a rental property that has opted into the Program. • No rental property eviction existed or was filed prior to March 19, 2020. 3. Eligible Rental Properties Rental properties shall meet all of the following qualifying criteria: • Located within the jurisdictional limits of Palm Desert. • Own and operate any market -rate rental unit, including a single-family residence and an accessory dwelling unit. • Advertise the opportunity for emergency rental assistance to all households delinquent on rent payment(s) for April 2020 and/or beyond. • Assist eligible participating households with obtaining the appropriate documentation for emergency rental assistance. • Waive late fees for delinquent rent payment(s) for eligible participating household(s) selected for emergency rental assistance. 4. Prioritization The City will take a strategic approach to identify and set -aside funds equitably to rental properties based upon specific criteria (e.g., household income, geography and percentage of households late on payments). In turn, the respective rental properties will work with the Subrecipient to offer all households delinquent on rent payment(s) an opportunity to apply for emergency rental assistance. Attachment B Program Guidelines City of Palm Desert Community Development Block Grant (CDBG) Emergency Rental Assistance Program Program Guidelines 1. Background Under the Coronavirus Aid, Relief and Economic Securities Act (CARES Act), the City of Palm Desert (City) received a special allocation of funds (CDBG-CV) through the U.S. Department of Housing and Urban Development (HUD). The purpose of CDBG-CV funds are to prevent, prepare for, and respond to the coronavirus pandemic. The CARES Act also provided statutory waivers for flexibility related to the Community Development Block Grant (CDBG) Program. As a result, the City has developed an Emergency Rental Assistance Program (Program) for lower and moderate -income households. The Program provides qualified households rental assistance arrears from April 2020 and/or beyond. The Program serves as an economic recovery tool for owners of rental properties (Rental Properties) and a safety net for qualified lower and moderate -income households financially impacted by the coronavirus. The program will operate for a limited time. The City has contracted with the nonprofit organization, the Jewish Family Service of the Desert (Subrecipient), to recommend, qualify and case manage households applying for and receiving emergency rental assistance through the Program. The City and Subrecipient will generally serve as the points of contact for Rental Properties and households, respectively. These guidelines are intended to ensure programmatic and fiscal consistency as well as clarify the roles and responsibilities of all stakeholders. Please note the City Council previously approved policy guidelines, which are incorporated herein. The City reserves the right to revise these guidelines. 2. Eligible Rental Properties Rental Properties shall meet all of the qualifying criteria, as follows: 2.1. Location Rental Properties must be located within the jurisdictional limits of Palm Desert. The City is responsible for qualifying the location. 2.2. Type Rental Properties must be market -rate rental housing. Eligible housing types include multi -family homes (two units or more), single-family homes and accessory dwelling units. The City is responsible for verifying property type. City of Palm Desert Program Guidelines Page 2 of 6 2.3. Rental Property Contact Information Rental Properties must provide the contact information for all households missing full or partial rent payment(s) from April 2020 and/or beyond. The City and Subrecipient will jointly conduct outreach to inform households of the rental assistance opportunity. To ensure an equal opportunity, Rental Properties must provide to the City an inclusive list of households missing payment(s). 2.4. Documentation Assistance If a household is qualified as eligible or determined to be eligible, Rental Properties must assist the respective household and/or Subrecipient with providing the appropriate documentation for the qualifying household to obtain rental assistance, if applicable or as necessary. 2.5. Late Fee Waiver Rental Properties must have already waived late fees for missing rent payment(s) for qualified households. Rental property must also submit a declaration acknowledging the late fees have/will (depending or when the program would require) waived and proof such as rent roll or rental payment statement for the specific unit. 3. Eligible Households Households shall meet all of the qualifying criteria, as follows: 3.1. Household A household is defined as all persons occupying the same housing unit. The occupants may be a single family, one person living alone, two or more families living together, or any other group of related or unrelated persons who occupy the same rental unit. A household must also be in good standing with all other leasing terms and rules. 3.2. Household Income Household income is defined as the total amount of income received from all sources by all household members (over 18 years of age) occupying the rental unit. The household income calculated based on the family size may be equal to, but cannot exceed 80% of the Riverside County area median income. The Subrecipient will be responsible for qualifying the criteria. City of Palm Desert Program Guidelines Page 3 of 6 3.3. Loss of Income Households must have experienced a loss of income directly related to the coronavirus. The Subrecipient will be responsible for qualifying the criteria. 3.4. Missing Rent Payments Households must be missing rent payment for April 2020 and/or beyond. The amounts can include full or partial payments remaining due to Rental Properties. The City will be responsible for qualifying the criteria. 3.5. Evictions Households must not have been facing eviction prior to the Governor's Executive Order (March 19, 2020). The City will be responsible for qualifying the criteria. 3.6. Duplication of Benefits Participation in other rental assistance programs is considered a duplicative benefit, which is ineligible per the funding source. Programs include: 3.6.1. Households with a tenant -based voucher; 3.6.2. Households residing in project -based voucher communities; 3.6.3. Households residing in public housing; and 3.6.4. Households receiving other government -based rental assistance. The Subrecipient will be responsible for qualifying this criteria. 4. Eligible Costs 4.1. Amount A qualified household may receive up to $5,000 for rental arrears only. Amounts per qualified household will be recommended by the Subrecipient with concurrence by the City, and may exceed the limitation at the discretion of the City on a case -by -case basis and subject to available funds. 4.2. Term Rental arrears must be for the month of April 2020 and/or beyond. Rental arrears cannot exceed a period of three consecutive months as well. The Subrecipient will qualify the criteria. City of Palm Desert Program Guidelines Page 4 of 6 5. Roles and Responsibilities The following roles and responsibilities are presented chronologically and concurrently. 5.1. Application Period for Rental Properties (Opt -in Period) Rental Properties will have a limited time to opt -in to the Program through an application process. The City is responsible for the application process. The City will be responsible for the qualifying the criteria. 5.2. Agreement with Rental Properties and Submission of Additional Information The City will request Rental Properties to enter into an agreement consistent with the policy guidelines and other federal requirements. The City will also request additional information, including the contact information for each household missing payment(s) from April 2020 and/or beyond; IRS Form W-9; and a business license (if applicable). 5.3. Application Period for Rental Properties With assistance from the City, the Subrecipient will submit a letter via hardcopy to all households previously missing payments that are located on the Rental Properties. The letter will inform households of the rental assistance opportunity. Furthermore, households will be notified of an electronic application period. The Subrecipient may provide a hardcopy application and/or application assistance to households, upon request. Households will be directed to contact the Subrecipient during all stages of the Program. 5.4. Application Review The City will subsequently provide the applications to the Subrecipient. The City and Subrecipient will jointly review the applications to ensure households have met the eligibility requirements. For households that do not meet eligibility requirements, the Subrecipient will notify them accordingly. The City and Subrecipient will also jointly review the applications based upon certain criteria. The City and Subrecipient will develop funding recommendations based upon a review of the eligible applications. Funding is contingent upon the household providing the Subrecipient the appropriate supporting documentation sufficient to determine eligibility. 5.5. Household Notification After developing recommendations, the Subrecipient will submit a letter via hardcopy and electronically (if available) to all households not selected for the Program. Concurrently, the Subrecipient will notify the recommended households of City of Palm Desert Program Guidelines Page 5 of 6 their preliminary eligibility and request supporting documentation. The Subrecipient is encouraged to refer resources to the household, upon request. 5.6. Household Submission of Support Documentation Households recommended for funding must submit the appropriate supporting documentation to the Subrecipient. The supporting documentation must be complete to ensure federal compliance with the funding source. The Subrecipient will be responsible for collecting all the supporting documentation from each of the eligible households recommended for funding. 5.7. Subrecipient Review of Support Documentation The Subrecipient will be responsible for reviewing the support documentation. The City can also provide technical assistance to the Subrecipient, if necessary. If the support documentation is incomplete, the Subrecipient must contact the household and request the respective information. If the household is unresponsive to the request within a reasonable time, the Subrecipient may request the City to cancel a household's funding recommendation. 5.8. City Approval of Support Documentation Once the Subrecipient has obtained all the necessary support documentation, the City will receive and approve each case file accordingly. This step serves as the final review by the City to ensure that the appropriate support documentation programmatically qualifies the household for the Program. A final checklist will be signed by the Subrecipient and City to ensure compliance. 5.9. Fiscal Approval of Support Documentation Upon approval of the final checklist, the Subrecipient will submit an invoice to the City for the payment amount. The City will be responsible for issuing payments to the Rental Properties on behalf of the households. A copy of the payment (check) will be included in the case file. The City's Finance Department reserves the right to request additional supporting documentation and/or deny any request lacking support documentation. 6. Support Documentation As identified throughout these guidelines, the Subrecipient and City will share some responsibilities related to support documentation. The collection and review of support documentation to qualify households will be the most labor-intensive task associated with the Program. Unless stated otherwise, the Subrecipient is responsible for collecting and reviewing support documentation to qualify households. City of Palm Desert Program Guidelines Page 6 of 6 6.1. Household Income In order to determine household income limits, each member of the household must provide specific support documentation. Household members under 18 years old are excluded from the household income calculation, but must remain included in the household size. While cash assets are not calculated in household income, the Subrecipient shall use this information when making a funding recommendation for the household. The income documentation must be current within 30 days of qualifying for service. The support documentation to verify income includes: 6.1.1. Identification (over 18 years of age); 6.1.2. Lease agreement; 6.1.3. Household qualification form; 6.1.4. Proof of income, including: 6.1.1.1 Sixty (60) days of all banks statements for each member of the household; and 6.1.1.2 Sixty (60) days of all sources of income. 6.2. Proof of Financial Hardship The households must display proof of financial hardship directly because of the coronavirus pandemic. The support documentation must include: 6.2.1. Proof of missing payments (e.g., delinquency letter); and 6.2.2. Proof of loss of income, including: 6.2.2.1. Lay-off notice from employer; or 6.2.2.2. Proof of unemployment benefits; or 6.2.2.3. Proof of reduced hours/earnings. 7. Conclusion These guidelines have incorporated various federal and local policies and procedures. To serve as quality control, other forms have been created to ensure each step of compliance. Each form must be completed and placed in the project file as well. Attachment C Request for Proposal City of Palm Desert Request for Proposal (RFP) for an Emergency Rental Assistance Program RFP Release: RFP Response Deadline: May 27, 2020 June 15, 2020 (By 5:00 p.m.) RFP Decision: June 22, 2020 For questions regarding this RFP, please contact: Palm Desert City Hall 74510 Fred Waring Drive Palm Desert, CA 92260 760-776-6335 cgerry@cityofpalmdesert.org Table of Contents 1. Introduction 3 2. Program Overview and Objectives 3 2.1. Roles and Responsibilities 3 3. Eligibility 6 3.1. Households 6 3.2. Rental Properties 7 3.3. Rental Assistance 7 4. Proposal Requirements 7 5. Submittal Requirements 9 5.1. Estimated Timeline 9 5.2. Proposal Format and Directions 9 6. Reservation of Rights 10 Attachments A. Policy Guidelines B. Program Process Map C. Supporting Documentation D. 2020 HUD Household Income Requirements E. Subrecipient Agreement CITY OF PALM DESERT REQUEST FOR PROPOSAL 1. Introduction Under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), entitlement jurisdictions through the U.S. Department of Housing and Urban Development (HUD) will receive special allocations of funds (CDBG-CV) to prevent, prepare for, and respond to the coronavirus. The CARES Act also includes statutory waivers for program flexibility. As a result, the City of Palm Desert (City) seeks a qualified nonprofit organization (Subrecipient) in this Request For Proposal (RFP) to manage an Emergency Rental Assistance Program (Program) for low and moderate -income households impacted by the coronavirus pandemic. The Program serves as a homelessness prevention safety net for residents and an economic recovery tool for rental properties. The City is budgeting $250,000 toward the Program, including case management and emergency rental assistance (i.e., rental arrears). If there is an increase in funding in the future, the City may request amending the Subrecipient Agreement to extend the term and/or provide for additional services. Furthermore, the Program is anticipated to serve 40 to 50 eligible households with emergency rental assistance in arrears since April 2020 and beyond. The Program is anticipated to operate 90 to 120 days. 2. Program Overview and Objectives Because of the coronavirus pandemic, numerous households throughout Palm Desert have faced financial hardships due to a loss of income. Consequently, many households have found it difficult to pay rent from April 2020 and beyond. Research of seven market - rate rental properties (approximately 1,100 units) in Palm Desert indicated that 18% of households have been unable to pay the full amount of rent for April and May 2020. On May 14, 2020, the Palm Desert City Council approved Program policy guidelines (Attachment A). The City anticipates taking a proactive approach and having a collaborative relationship with the selected Subrecipient to execute the Program in an expeditious manner. A process map of the Program can be found as Attachment B. 2.1. Roles and Responsibilities In order for the Program to be successful, multiple stakeholders are required to have specific roles and take certain responsibilities. Therefore, those roles and responsibilities shall include, but not limited to, the following activities: 2.1.1. City of Palm Desert The City is ultimately responsible as the lead agency to ensure the adherence of all federal requirements, including within the CARES Act. Furthermore, the City desires to expend these funds in an expeditious CITY OF PALM DESERT REQUEST FOR PROPOSAL manner in order to serve eligible households in need of assistance now. Some of the City's roles include, but are not limited to: 2.1.1.1. Develop and receive applications from market -rate rental properties interested in opting in to the Program. 2.1.1.2. Review applications and determine the market -rate rental properties that will receive an allocation of funds for emergency rental assistance (note this role allocates funds per property based on certain criteria, not per household). 2.1.1.3. Select and work collaboratively with the Subrecipient to manage the Program, and ensure the adherence to all federal requirements, including within the CARES Act. 2.1.1.4. Issue payments to rental properties on behalf of eligible households based upon the recommendations provided by the Subrecipient and in accordance with the established or approved payment protocol. The City may advance funds to the Subrecipient in order to issue payments (to be determined). 2.1.1.5. Conduct onsite monitoring of the Subrecipient to ensure adherence to all federal requirements, including within the CARES Act, and to close out the Program. 2.1.2. Rental Properties As businesses within the community, rental properties have been impacted by the coronavirus pandemic. Households have remained stably housed due to a moratorium on evictions, but the respective moratorium ends on May 31, 2020. The City recognizes the moratorium is a fluid situation. While the moratorium is beneficial for households, rental properties are losing revenue through missed and delayed payments, regardless of other subsidies provided within the CARES Act. Rental properties will likely continue to lose revenue after the moratorium and until experiencing economic recovery. Therefore, the Program was partially developed as an economic development tool. Rental properties are expected to take an active role in the Program. Some of the rental properties' roles include, but are not limited to: 2.1.2.1. Opt -in (via application) for households to be eligible to apply for the Program; this process will be managed by the City, not the Subrecipient. ■ CITY OF PALM DESERT REQUEST FOR PROPOSAL 2.1.2.2. If applying and receiving an allocation of funds from the City, the rental property will advertise the opportunity for emergency rental assistance to all households delinquent payment(s). on rent 2.1.2.3. Assist the Subrecipient and eligible participating household(s) with identifying and obtaining the appropriate documentation for emergency rental assistance. 2.1.2.4. Waive any late fees for delinquent rent payment(s) for eligible participating household(s). 2.1.3. Households As previously mentioned, research indicates that 18% of households from sampled market -rate rental properties in Palm Desert have been unable to pay the full amount of rent for April and May 2020. Because of the coronavirus pandemic, there is an increase in demand for rental assistance exceeding the amount available funds. Some of the households' roles include, but are not limited to: 2.1.3.1. Apply directly to the Subrecipient for emergency rental assistance by the deadline (date to be determined). 2.1.3.2. If selected for emergency rental assistance, work collaboratively with the Subrecipient and rental property, and provides the appropriate supporting documentation (Attachment C) in a timely manner (as determined by the Subrecipient). 2.1.3.3. Consider referrals for supportive services to ensure the eligible participating household remains stabilized housed in the future. 2.1.4. Subrecipient The Subrecipient serves as the critical nexus between the City and all stakeholders. Although the City will work collaboratively with the Subrecipient, there is an expectation that the Subrecipient will address nearly all questions and requests for information from stakeholders. Some of the Subrecipient's roles include, but are not limited to: 2.1.4.1. Enter into a Subrecipient Agreement (Attachment E) with the City, which includes adherence to all federal requirements. CITY OF PALM DESERT REQUEST FOR PROPOSAL 2.1.4.2. Verify and document selected rental properties advertised the opportunity for emergency rental assistance to all households delinquent on rent payment(s). 2.1.4.3. Receive emergency rental assistance applications from households of selected rental properties by the deadline (date to be determined). 2.1.4.4. Make funding recommendations per eligible household to the City for administrative approval. 2.1.4.5. Process emergency rental assistance payments for eligible participating households and rental properties (one-time payments must go directly to the rental property and not the household). 2.1.4.6. Obtain the appropriate supporting documentation from eligible participating households and rental properties. 2.1.4.7. Offer referrals for supportive services to ensure the eligible participating households remain stabilized housed in the future. 2.1.4.8. Answer nearly all questions and requests for information from rental properties and households during all stages of the Program. 2.1.4.9. Work collaboratively with the City during onsite monitoring to ensure adherence to all federal requirements, including within the CARES Act, and to close out the Program. 3. Eligibility 3.1. Households Eligible households must meet all of the following qualifying criteria: 3.1.1. Earn less than 80% percent of the area median income (Attachment D). 3.1.2. Experience loss of income directly related to the coronavirus. 3.1.3. Delinquent on rent payment, including partial payments, for April 2020 and/or beyond. 3.1.4. Reside within a rental property that has opted into the Program. CITY OF PALM DESERT REQUEST FOR PROPOSAL 3.1.5. No rental property eviction existed or was filed prior to March 19, 2020. 3.2. Rental Properties Eligible rental properties must meet all of the following qualifying criteria: 3.2.1. Located within the jurisdictional limits of Palm Desert. 3.2.2. Own and operate any market -rate rental unit, including a single-family residence and an accessory dwelling unit. 3.2.3. Advertise the opportunity for emergency rental assistance to all households delinquent on rent payment(s) for April 2020 and/or beyond. 3.2.4. Assist eligible participating households with obtaining the appropriate documentation for emergency rental assistance. 3.2.5. Waive late fees for delinquent rent payment(s) for eligible participating household(s) selected for emergency rental assistance. 3.3. Rental Assistance Costs include up to $5,000 per eligible participating household for rental arrears for April 2020 and/or beyond. Rental arrears cannot exceed a maximum three consecutive months. Amounts per eligible participating household will be recommended by the Subrecipient to the City, and may exceed the amount on a case -by -case basis and subject to available funds. Utilities arrears are ineligible. 4. Proposal Requirements As previously mentioned, the City seeks a Subrecipient, i.e., qualified nonprofit organization, to manage an Emergency Rental Assistance Program for low and moderate - income households impacted by the coronavirus pandemic. The Program aims to maintain housing stability of Palm Desert households by collecting and vetting rental assistance applications to evaluate financial need; connecting eligible participating households to supportive services; and providing any additional resources to support stable housing. The City anticipates the selected Subrecipient will have experience in working with low and moderate -income households; providing a combination of case management and supportive services; possessing knowledge of rental assistance programs (preferably experience) and adhering to federal requirements, specifically in the CDBG Program. The Subrecipient is encouraged to review the Subrecipient Agreement in advance to ensure CITY OF PALM DESERT REQUEST FOR PROPOSAL the ability to meet all federal requirements. Interested Subrecipients shall submit a proposal that includes the information, as follows: 4.1. Transmittal Letter. Include a signed (scanned) letter of transmittal stating the Subrecipient's understanding of the Program; committing to operate the Pilot Program within the time period; and outlining why the Subrecipient believes itself to be most qualified to implement the Program. 4.2. Case Management. Describe the Subrecipient's experience in providing case management services, specifically to low and moderate -income households. Furthermore, describe the Subrecipient's experience in providing rental assistance programs, if applicable. 4.3. Federal Contracts. Describe the Subrecipient's experience in receiving and administrating contracts utilizing federal funds, specifically the CDBG Program funds. 4.4. Supportive Services. Describe the Subrecipient's experience in providing supportive services to low and moderate -income households. In addition, provide examples of what agencies and supportive services the Subrecipient may intend on utilizing throughout the Program. 4.5. Program Staffing and Management. Describe Program staffing, including any information available that indicates the experience of the proposed personnel that will work in the Program. In addition, describe the Subrecipient's internal controls or management of the proposed personnel. 4.6. Organizational Capacity. Describe the Subrecipient's organizational capacity by identifying the amount of personnel in the organization (in terms of full-time equivalents), and the total budget for the current fiscal year. 4.7. Cost. Indicate the costs specifically to manage the program, excluding costs for emergency rental assistance payments. Include the projected staffing hours (weekly), hourly rates and fringe benefits, supplies, and any other operational costs to manage the Program. Include a total not -to -exceed amount as well. 4.8. Schedule. The City anticipates the Program can be completed in 90 to 120 days following the execution of the Subrecipient Agreement. If the timeline does not seem appropriate, indicate a recommended revised timeline (in days). 4.9. Policy Guidelines and/or Subrecipient Agreement Deviation. Indicate if there are any exceptions and/or recommended practices that deviate from the policy guidelines and/or Subrecipient Agreement. CITY OF PALM DESERT REQUEST FOR PROPOSAL 5. Submittal Requirements The Subrecipient shall submit an electronic proposal to the email address below no later than the indicated date and time. Upon submission, applicants will receive an electronic confirmation within one business day. If you do not receive confirmation, please contact City staff below immediately. If you have questions regarding eligibility or the application process, please contact Christopher Gerry, Management Analyst, by calling (760) 776-6335 or emailing cgerry@cityofpalmdesert.org. Submit proposals to this email address as well. Questions will be attempted to be addressed within 24 hours of submission. 5.1. Estimated Timeline An estimated timeline for this RFP includes: 5.1.1. RFP Release: 5.1.2. RFP Response Deadline: 5.1.3. RFP Decision: 5.2. Proposal Directions and Format May 27, 2020 June 15, 2020 (by 5:00 p.m.) June 22, 2020 The Subrecipient is required to submit a proposal that addresses in chronological order the Proposal Requirements (Section 4) identified in Section 4.1 through Section 4.9. Use the same titles of each of the respective sections in the proposal. In addition, the Subrecipient shall use the format, as follows: 5.2.1. Length: Not exceed five pages, excluding the transmittal letter. 5.2.2. Font Type: Ariel, Calibri, Century Gothic or Cambria. 5.2.3. Font Size: 11 or 12 point font. 5.2.4. Margins: 1-inch margins. Failure to provide all required submittals in completed form may result in a non -responsive proposal and given no consideration. Proposals must be neat, complete, and fully address the information requested in Section 4 (Sections 4.1. through 4.9.). CITY OF PALM DESERT REQUEST FOR PROPOSAL 6. Reservation of Rights The City reserves the right to accept or reject any or all proposals or portions thereof without stated cause. The City reserves the right to amend, cancel or re -issue the RFP. Upon selection of a finalist(s), the City by its proper officials shall attempt to negotiate and reach a final agreement with the finalist(s). If the City, for any reason is unable to reach a final agreement with this finalist(s), the City then reserves the right to reject such finalist and negotiate a final agreement with another finalist(s) who has the next most viable proposal. The City may accept the proposal that demonstrates the best ability to meet the needs of the City. The City reserves the right to waive any formalities, defects, or irregularities, in any proposal, response, and/or submittal where the acceptance, rejection or waiving of such is in the best interests of the City. The City reserves the right to disqualify any proposal, before or after opening, upon evidence of collusion, intent to defraud, or any other illegal practice on the part of the Subrecipient. CITY OF PALM DESERT REQUEST FOR PROPOSAL Attachment D Proposal — Jewish Family Service of the Desert Jewish Family Service o, f the Desert 490 S. FARRELL DRIVE, SUITE C208, PALM SPRINGS, CA 92262 Pt-IONE (760) 325-4088 FAx (760) 778-3781 WEB www.jfsdesert.org /err JFS DESERT June 15, 2020 Attn: Christopher Gerry City of Palm Desert 74510 Fred Waring Drive Palm Desert, CA 92260 Dear Mr. Gerry: On behalf of Jewish Family Service of the Desert (JFS), please accept this proposal for submission to the City of Palm Desert's Emergency Rental Assistance Program. JFS requests your consideration of a $16,511 grant (not to exceed $20,000) to manage a case management and emergency assistance program for approximately 50 Palm Desert families impacted by the COVID-19 pandemic. Program components include emergency rental assistance and referrals to other supportive services in the community to support immediate and long-term housing stability. City of Palm Desert funds will be used to provide emergency rental assistance to eligible households earning less than 80% of the area median income and living in eligible rental properties, in accordance with other stated qualifying criteria within the pilot period of 120 days. Established in 1982, JFS is a nonsectarian, nonprofit organization that provides case management, mental health counseling, and social services to Coachella Valley residents with low- to moderate -incomes. In response to the COVID-19 pandemic, JFS drastically redesigned its functions to observe shelter -in -place orders while ensuring that clients could still receive critical services. Beginning in mid -March, both case management and mental health services were provided via telecare. Demonstrating its fervent commitment to meeting the enhanced needs of its vulnerable clients, JFS will continue offeringtelecare, as needed, once its offices reopen on July 1. Should you have any questions about the application or the program, Executive Director Kraig Johnson can be reached at (760) 325-4088, ext. 101, or kjohnson@jfsdesert.org. We sincerely appreciate your consideration and welcome the opportunity to partner with the City of Palm Desert to provide a homelessness prevention safety net for residents and support economic recovery for rental property owners. Sincerely, Kr9gJohnson Executive Director 10.01011*10 Jewish Federation or TN- DEER Jl+ GeabenefudaryoftineUnitedi ay of the Desert and a member agency ofSheAssoth&noffewiibFamgand Childreres4 ntddi. Jewish Family Service of the Desert City of Palm Desert - Emergency Rental Assistance Program Case Management. Describe the Subrecipient's experience in providing case management services, specifically to low and moderate -income households. Furthermore, describe the Subrecipient's experience in providing rental assistance programs, if applicable. Since 1999, Jewish Family Service of the Desert ()FS) has provided case management services to seniors ages 55 and older, with direct financial assistance, including rental assistance, beginning around 15 years ago. In early 2019, in response to the federal government shutdown, JFS expanded its case management program to include people of all ages. Currently, JFS primarily serves seniors living on fixed incomes, adults earning low wages in service industry and agricultural jobs, and individuals at -risk of homelessness. Prior to the COVID-19 crisis, many of JFS's clients were precariously housed, meaning that one unexpected bill could lead to their inability to pay rent or utilities and they could face eviction, a situation made more dire due to the pandemic's financial implications. To meet these enhanced needs, JFS transitioned to telecare on March 13, 2020, and has successfully responded to an 82% increase in requests for case management assistance in April. In FY 2018-19, IFS served 2,915 Coachella Valley residents across all programs, including 1,223 case management clients, representing a 9% program increase from the previous year —and a 20% increase in services provided. Of those provided with case management, 90% were from low and moderate income households and 489 clients received emergency financial assistance-314 (64%) were seniors age 55 or older and 175 (36%) were younger than 55—and 108 (22%) clients received rental assistance. Regarding rental assistance, JFS case managers have experience communicating with and making direct payments to landlords and advocating for clients facing eviction, something that will be important when COIVD-19 related eviction moratoriums are lifted. Historically, approximately 10% of JFS case management clients are residents of Palm Desert. Irrespective of this proposal, JFS anticipates that the case management program will serve at least 1,348 clients in FY20-21, with an estimated 555 clients receiving financial emergency assistance and 123 of those being for rental assistance. Of those who receive emergency assistance, 70% will report their immediate emergency crisis situation has been resolved, 70% will report improved financial stability, and 60% will report an increase in quality of life. Federal Contracts. Describe the Subrecipient's experience in receiving and administrating contracts utilizing federal funds, specifically the CDBG Program funds. JFS has been receiving and administrating contracts utilizing federal funds since 2015, including Emergency Food and Shelter National Board Program (EFSP) funds through the U.S. Department of Homeland Security's Federal Emergency Management Agency (DHS/FEMA) and Community Development Block Grant (CDBG) funds through the U.S. Department of Housing and Urban Development (HUD). City of Palm Springs has contracted with JFS for the administration of CDBG funds for the past five consecutive 1 years, in the amounts of $15,000 annually in FY2015-16, FY2016-17, and FY2018-19 and $25,523 in FY-2019-20. These funds were specifically to be used for emergency financial support for residents of the Coachella Valley, with half the funds designated for Palm Springs residents and the other half made available Valley -wide. Expected numbers of unduplicated clients and client services have been surpassed each year, and the City of Palm Springs is currently considering provision of CDBG funds to JFS despite their financial concerns. They understand the importance of emergency financial assistance for residents and are making funds available even during these tough economic times. Further, JFS reporting associated with reimbursement of CDBG funding has never been returned or questioned. A separate proposal for CDBG funds via Riverside County is currently pending. Supportive Services. Describe the Subrecipient's experience in providing supportive services to low and moderate -income households. In addition, provide examples of what agencies and supportive services the Subrecipient may intend on utilizing throughout the Program. Historically, 96% of JFS's clients have been from low to moderate income households. JFS case management program offerings include emergency financial assistance for necessities such as rent, utilities, medication, dental payments, and food expenses; transportation services for seniors QFS Express); socialization programs to reduce isolation; and client advocacy services, coordinating intervention with other assistance agencies, such as Social Security and Adult Protective Services. Three case managers collaborate with property managers, to advocate on behalf of clients who are facing evictions or other actions, and with providers of goods and utilities to, for instance, have a client's bill reduced or even eliminated. The case management process includes an assessment, service plan, and follow-up. JFS also relies on an extensive network of partners and collaborators, providing referrals for linkages to supportive services. Case management services include connection to available support —such as the California Employment Development Department (EDD), CalFresh, and Medi-Cal—and provide assistance navigating the complex low-income housing and Section 8 applications processes. Case managers collaborate with other providers of support (e.g., Lift to Rise, United Way of the Desert, Catholic Charities, Salvation Army, Riverside County Office on Aging, Senior Advocates of the Desert, and Community Action Partnership of Riverside Count) to offer higher levels of, for instance, financial support than would be otherwise available through any one agency. The Community Outreach Manager coordinates the local Senior Collaborative, comprised of agencies such as local senior centers, Inland Counties Legal Services, Well in the Desert, Martha's Village & Kitchen, Coachella Valley Rescue Mission, Elder Love USA, the Galilee Center, and Desert Healthcare District. Referrals are often made to or through these agencies and others. Program Staffing and Management Describe Program staffing, including any information available that indicates the experience of the proposed personnel that will work in the Program. In addition, describe the Subrecipient's internal controls or management of the proposed personnel. 2 When the case management program expanded to support non -seniors in early 2019, JFS increased staffing by 1.5 FTE, but the need has continued to increase as a result of the financial fallout from COVID-19. Additionally, to observe shelter -in -place orders, on March 13, JFS began converting its programs, including case management, to telecare. In April 2020, JFS case managers served 178 unduplicated clients, an 82% increase over April 2019. JFS is dedicated to meeting the community's need for its critical services, and will reopen its offices, in accordance with the Governor's reopening safety plan, on July 1. Teleservices will continue to be offered, as needed. Primary case management program staff includes: (1) Lisa Schmid, Case Manager with JFS for 18+ years; (2) Wendy Leon -Johnson, MFTI, with more than 2 years of case management experience; and (3) Mirella Orozco, Case Manager with more than 1 year of case management experience. The program is overseen by Executive Director, Kraig Johnson, who brings over 16 years of nonprofit leadership experience to the role. Prior to joining JFS, he was a Program Director for Stars Behavioral Health Group, focusing on the provision of mental health services for transitional -age youth in Riverside County, and he was the Co -Chair of Riverside County's TAY Collaborative and a Board member of the Coachella Valley Health Consortium. He has extensive experience in program development and authoring grant requests. He is currently a Steering Committee member for the Coachella Valley Resource Collaborative. JFS case managers conduct a thorough screening of all emergency requests, obtain the required documentation (including items in this RFP's Attachment C), and verify income/need. Note that for its current process, JFS requires an application request, a California driver's license or identification, the lease agreement, proof of delinquent rent payment, and lastly, when requested by property management, a certification form as acceptance of emergency rental assistance. JFS's Executive Director reviews all requests for emergency assistance; once need has been determined and all other means of financial assistance have been exhausted, the Executive Director will approve the request. Then case managers coordinate services with landlords, utility companies, and other vendors to pay bills directly. JFS follows up with clients to make sure services have been provided by vendors and emergency situations have been resolved. JFS gathers both quantitative and qualitative data for its case management program. The number of unduplicated case management clients, number of services, and the amount of emergency financial assistance provided are tracked, and program evaluation is based on a survey provided to clients. Case management clients are asked four questions immediately after the conclusion of services: Do you have a greater understanding of available community resources? Are you now more financially stable? Have these services improved your quality of life? Would you recommend JFS services to others? Case management clients are also called within three months of the end of service and asked if their conditions are stable or if additional support is needed. JFS has recently created an evaluation tool that will provide estimated financial benefits stemming from JFS services, 3 allowing for the quantification of impact. Preliminary results will be available in August 2020. Organizational Capacity. Describe the Subrecipient's organizational capacity by identifying the amount of personnel in the organization (in terms of full-time equivalents), and the total budget for the current fiscal year. JFS employs 24 individuals with a full-time equivalent (FTE) of 18.4. Current staff position include Executive Director; Clinical Director; Director of Finance, HR & Accounting; Director of Major Gifts & Fundraising; Director of IT and Operations; Front Desk Coordinator; and Accounting Assistant. Current personnel is comprised of credentialed care managers, an intake coordinator, licensed clinical social workers, licensed marriage and family therapists, master's level associate counselors, a National Association of Professional Geriatric Care Managers (NAPGCM), and a records desk coordinator. Seven (7) bilingual staff members are available to assist Spanish-speaking clients. The total operating budget for July 1, 2019 - June 30, 2020 (FY2019-20) is $1,922,368 and the projected budget for FY2020-21 is 1,980,040. Cost Indicate the costs specifically to manage the program, excluding costs for emergency rental assistance payments. Include the projected staffing hours (weekly), hourly rates and fringe benefits, supplies, and any other operational costs to manage the Program. Include a total not -to -exceed amount as well. Excluding emergency rental assistance payments, JFS estimates the total cost to manage the proposed case management program at $16,511—not to exceed $20,000. While time per client varies based on complexity, the following estimates are based on 3 hours per 50 clients (150 hours), or approximately 9 hours per week for 17 weeks. Personnel Salaries & Wages • Case management staff (average $21 per hour) $3,150 • Management and program support $6,280 Fringe Benefits $2,640 Consultants & Contract Services $0 Subtotal $12,070 Non -personnel Space Costs $1,550 Rental, Lease, Purchase Equip. $230 Consumable Supplies $140 Travel $100 4 Telephone $100 Serve/Program Delivery Cost (Electronic Health Records) $260 Other Costs $560 Indirect Expenses (10%) Subtotal Total $2,940 $1,501 $16,511 Schedule. The City anticipates the Program can be completed in 90 to 120 days following the execution of the Subrecipient Agreement. If the timeline does not seem appropriate, indicate a recommended revised timeline (in days). JFS anticipates that the proposed project could be competed within 120 days. Policy Guidelines and/or Subrecipient Agreement Deviation. Indicate if there are any exceptions and/or recommended practices that deviate from the policy guidelines and/or Subrecipient Agreement No exceptions or practices that deviate from policy guidelines are recommended. 5 Attachment E Subrecipient Agreement CONTRACT NO. C38720H Community Development Block Grant Program Subrecipient Agreement No. C38720H DUNS # 073034220 CAGE CODE: 7FWD1 This Subrecipient Agreement is made June 25, 2020, by and between the City of Palm Desert (Grantee) and the Jewish Family Services of the Desert (Subrecipient). Recitals WHEREAS, Grantee is an entitlement jurisdiction with the U.S. Department of Housing and Urban Development (HUD) for purposes of receiving Community Development Block Grant (CDBG) funds, to assist and undertake essential community development and housing assistance activities pursuant to the Housing and Community Development Act of 1974; and WHEREAS, with the approval of Grantee and HUD, a portion of its allocation has been awarded to Subrecipient in the amount not to exceed $20,000.00 to be used for the Emergency Rental Assistance Program; and WHEREAS, clients benefit from the services provided by Subrecipient, and at least 51 percent of those benefiting from the services must qualify as low and moderate -income persons; and THEREFORE, IT IS AGREED: 1. TERM. The term of this Agreement for the activity shall be made for a period commencing July 1, 2020, and ending June 30, 2021, unless an extension for funding is approved by the City Manager or designee. 2. SCOPE OF SERVICES. A. ACTIVITY DESCRIPTION. Subrecipient will be responsible for administering a CDBG funded activity titled Emergency Rental Assistance Program in a manner satisfactory to Grantee and consistent with any standards required as a condition of providing these funds. Such program will include the following activities'eligible under the CDBG Program: Activity: Emergency Rental Assistance Program Who Will Be Served: Palm Desert Households Location of Services: 490 South Farrell Dr., Palm Springs, CA 92262 CONTRACT NO. C38720H B. NATIONAL OBJECTIVE. Activities funded with CDBG funds must meet one of the Program's National Objectives (Title 24, Part 570, Sections 570.200(a)(2) and (3), 570.208(a)-(d), and 570.506): a. ❑x Benefit low and moderate -income persons b. ❑ Aid in the prevention or elimination of slums or blight c. ❑ Meet community development needs having a particular urgency All households served by Subrecipient must be low and moderate -income. C. PERFORMANCE MEASURES. Estimated amount served during the term: a. Amount served: 50 households D. PERFORMANCE MONITORING. Grantee as a HUD recipient is responsible •for monitoring all Subrecipients as outlined below: a. Does activity meet CDBG National Objective identified b. Conformance with Agreement c. Record -keeping system (570.506) d. Financial management system (84.21.-28 — nonprofit) e. Insurance f. Procurement g. Equipment and real property h. Non-discrimination and actions to further fair housing i. Conclusion and follow-up of monitoring 3. REPORTING AND PAYMENT PROCEDURES. A. REPORTING. Per 570.502 and 570.507, Subrecipient agrees to submit the Self Certification Forms (if applicable) and Direct Benefit Activity Reports for duplicated and unduplicated clients to the Grantee on a monthly basis from July 1, 2020, to June 30, 2021. In addition, Subrecipient shall report the following narrative and statistical information through the Quarterly and Annual Report Forms. Information such as: amount of persons assisted (by age, gender, senior 62 years of age or older, race,income level; head of household, how many in family, services provided, etc.); amount of people that will be provided with new or improved access to services and/or facilities, the number of beds created (homeless or rehabilitation facilities), if applicable. (Data collection examples: case manager logs, sign -in sheet, tracking logs, client intake forms, scan card system, or other systems designed to obtained information.) Public facilities improvements or construction projects will require the above information pertaining to the participation in the organization's overall program(s), and once the project is completed, data pertaining specifically to that facility will be reported under the Annual Follow-up Report. Subrecipient CONTRACT NO. C38720H and Grantee with reasonable notice of, and the opportunity to comment on any proposed change, and either: the new use qualifies as meeting one of the. national objectives in Section 570.208 and is not a building for the general conduct of government or if Subrecipient determines, after citizens participation, that it is appropriate to change the use of the property to a use which does not qualify under Section 570.208, it may retain or dispose of the property for the changed use if Grantee is reimbursed in the amount of the current fair market value of the property, less any portion of the value attributable to expenditures of non-CDBG funds for acquisition of, and improvements to the property. If the change occurs after closeout (five years), the provisions governing income from the disposition of the real property in Section 570.504(b)(4) or (5), as applicable, shall apply to the use of funds reimbursed. The property will no longer be subject to CDBG requirements after reimbursement of CDBG program income per 24 CFR 570.505(d). Subrecipient provided CDBG funds for the purchase of land, facilities, and/or buildings; equipment, capital improvements, rehabilitation, or other similar activities shall not sell, sublease, loan, reassign or any other such action that relinquishes control, ownership, or change of use without prior written request to and written authorization from Grantee and, if necessary, HUD. In all cases in which equipment, land, facilities, etc. acquired, in whole or in part, with CDBG funds under this Agreement is sold, the proceeds shall be program income (prorated to reflect the extent to that funds received under the Agreement were used to acquire such items). Items no longer needed by Subrecipient for activities under this Agreement shall be (a) transferred to Grantee for the CDBG Program or (b) retained after compensating Grantee (an amount equal to the current fair market value of the items les the percentage of non-CDBG funds used to acquire the items). 4. FINANCIAL AND RECORDS MANAGEMENT. A. ACCOUNTING STANDARDS. Subrecipient agrees to comply with 24 CFR 84.21-28 and agrees to adhere to account principles and procedures required therein, utilize adequate internal controls, and maintain necessary source documentation for all costs incurred. COST PRINCIPLES. Subrecipient shall administer its program and comply with applicable financial standards according to OMB Circular A-122 (non- profit) or A-21 (Educational Institution) as applicable. These principles shall be applied to all costs incurred whether charged on a direct or indirect basis. Subrecipient shall also have in place a financial system that tracks sources CONTRACT NO. C38720H and uses of funds or "fund accounting" method. Accounting systems should include chart of accounts, cash receipts journal, cash disbursement journal, payroll journal, general ledger, and any other form that may be required as part of the organizations accounting/financial tracking system. C. AUDITING. Subrecipient shall be subject to audit requirements contained in the Single Audit Act Amendment of 1996 (31 USE 7501 -7507) and revised OMB Circular A133. Subrecipient shall be subject to random audits by Grantee, HUD, and the Comptroller 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 in its administration of the CDBG Program and federally funded activity. All CDBG funded activity records and related documents shall be made available as well as required financial records/data for the Subrecipient. Failure of Subrecipient to comply with the above audit requirements will constitute a violation of this Agreement and may result in the withholding of future payments and/or reimbursement of funds paid. Subrecipient agrees to have an annual agency audit conducted in accordance with Grantee policy concerning Subrecipient audits and OMB Circular A-133. D. RECORDS MANAGEMENT AND RETENTION. Subrecipient shall maintain all records required by the federal regulations specified in 24 CFR 570.506, that are pertinent to the use and expenditure of funds under this Agreement as well as all documents pertaining to the activity and required reporting records. All documents and records shall be made available for inspection and copying during normal business hours by Grantee or designee or by HUD upon request. Such records shall include but not limited to: a. Records providing a full description of each activity undertaken; b. Records demonstrating that activity meets one of the national objectives of the CDBG Program; c. Records required to determine the eligibility of activities; d. Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with CDBG assistance; e. Records documenting compliance with the fair housing and equal opportunity components of the CDBG Program; f. Financial records as required by 24 CFR 570.502 and 24 CFR 84.21- 28; g. Tracking, monitoring, direct benefits forms, self -certification forms, reports, etc. required as part of compliance with this Agreement; h. Client data demonstrating client eligibility or services provided including but not limited to client name or client tracking number, address, contact information, ethnicity, income level, or other basis for determining eligibility, and description of services provided. i. Any and all other documents related to the CDBG funded program or CONTRACT NO. C38720H project relative to this Agreement; and j. Other records necessary to document compliance with Subpart K of 24 CFR Part 570. Subrecipient shall retain all financial records, supporting documents, statistical records, and any and all other documents/records pertinent to this Agreement for a period of not less than five (5) years from the date of the last reimbursement payment. The retention period begins on the date of the submission of Grantee's annual performance and evaluation report to HUD in which the activities assisted under this 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 five-year period, then such records must be retained until completion of the actions and resolution of all issues, or the expiration of the five-year period, whichever occurs later. E. DISCLOSURE. Subrecipient 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 Grantee's or Subrecipient's responsibilities with respect to services provided under this Agreement, is prohibited by the applicable state and federal laws unless written consent is obtained from such person receiving service and, in the case of a minor, that of a responsible parent/guardian. F. CLOSE OUT. Subrecipient's obligation to Grantee shall not end until all close-out requirements are complied with and 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 Grantee), and determining the custodianship of records. Notwithstanding the foregoing, the terms of this Agreement shall remain in effect during any period that Subrecipient has control over CDBG funds, including program income. 5. PERSONNEL AND PARTICIPANT CONDITIONS. A. PURSUANT TO LABOR CODE — SECTION 1861. Execution of the Agreement by the parties constitutes their agreement to abide by all applicable provisions of the California Labor Code; constitutes Subrecipient's certification that it is aware of the provisions of said Code and will comply with them; and further constitutes Subrecipient's certification as follows: "I am aware of the provisions of Section 3700 of the California Labor Code which required every employer to be insured against liability for worker's compensation or to undertake self-insurance in accordance with the provisions of that code and I will comply with such CONTRACT NO. C38720H may be required to submit additional information as requested by Grantee or HUD. If Subrecipient fails to follow the reporting requirements, it may result in Grantee's request to reimburse previous funds paid and/or forfeiture of remaining grant funds. B. ANNUAL FOLLOW-UP REPORT. Subrecipient agrees to submit the Annual Follow-up Report as provided by Grantee no later than August 30th of the year following grant expiration or close of project, if a time extension was granted. This report will include similar information to direct benefits activity and quarterly reports but will include information related specifically to the CDBG funded program/project and facility operation, if a portion of the facility or the facility as a whole was unoccupied at the time of activity. C. FUNDS. Grantee agrees to provide Subrecipient with funds equal to the amount allocated through CDBG funds, as stated above. Grantee shall disburse the funds on a reimbursable basis. Subrecipient shall provide copies of invoice(s), bank statements, etc. as required for reimbursement in a timely manner. Funds may be reimbursed only for those verified expenses for the eligible uses as noted in Exhibit A. D. PROGRAM INCOME. Subrecipient shall report monthly all program income (as defined at 24 CFR 570.500(a) generated by activities carried out with CDBG funds made available under this contract, if any. The use of program income by Subrecipient shall comply with the requirements set forth at 24 CFR 570.504. By way of further limitations, Subrecipient may use such income during the contract period of activities permitted under this contract and shall reduce requests for additional funds by the amount of any such program income balances on hand. All unexpended program income shall be returned to Grantee at the end of the contract period. Any interest earned on cash advances from the U.S. Treasury and from funds held in a revolving fund account is not program income and shall be remitted promptly to Grantee. E. INDIRECT COSTS. If indirect costs are charged, Subrecipient will develop an indirect cost allocation plan for determining Subrecipient's share of administrative costs and shall submit such plan to the Grantee for approval, in a form approved by Grantee. F. PAYMENT PROCEDURES. Grantee will pay Subrecipient funds available under this Agreement based upon information submitted by Subrecipient and consistent with any approved budget and Grantee policy concerning payments. With the exception of certain pre -approved advances, payment will be made for eligible expenses actually incurred and paid by Subrecipient (on a reimbursement basis), and not to exceed actual expenses incurred. Payments will be adjusted by Grantee in accordance with advance fund and program income balances available in Subrecipient account. In addition, Grantee reserves the right to liquidate funds available under this Agreement for costs CONTRACT NO. C38720H incurred by Grantee on behalf of Subrecipient. G. PROCUREMENT. Subrecipient shall comply with Grantee policy concerning the purchase of equipment, fixed assets, and other similar items and shall maintain inventory records of all non -expendable personal property as defined by such policy as may be procured with funds provided herein. All program assets (unexpended program income, property, equipment, etc.) shall revert to Grantee upon termination of this Agreement. OMB Standards. Unless specified otherwise within this Agreement, Subrecipient shall procure all materials, property, or services in accordance with the requirements of 24 CFR 84.40-48. H. USE AND REVERSION OF ASSETS. The use and disposition of real property and equipment under this Agreement shall be in compliance with the requirements of 24 CFR Part 84 and 24 CFR 570.502, 570.503, and 570.504, as applicable, which include but are not limited to the following: a. Subrecipient shall transfer to Grantee any CDBG funds including program income on hand as well as any accounts receivable attributed to the use of CDBG funds at the time of expiration, cancellation, or termination. b. REAL PROPERTY ACQUISITION AND/OR IMPROVEMENT. Real property acquired or improved in part (or in whole) with CDBG funds in excess of $25,000 shall continue to be utilized by the funded organization as approved and meet one of the national objectives in Section 570.208 until five (5) years after expiration of Agreement or longer as may be determined by Grantee. If not used in accordance with Section 570.208, Subrecipient shall pay Grantee an amount equal to the current fair market value of the property less any portion of the value attributable to expenditures of non-CDBG funds for the acquisition of or improvement to the property. Subrecipient may retain real property acquired or improved under this Agreement after the expiration of the five-year period (or such longer period of time as the Grantee deems appropriate). If activity term extended five (5) year period would also be extended. c. USE AND DISPOSITION OF REAL PROPERTY. Subrecipient awarded $25,000 or more in CDBG funds for acquisition or improvement (e.g., including construction and equipment purchases) in whole or in part shall comply with CDBG Regulation 24 CFR 570.505 relative to use of real property as noted for five years commencing when funds are first spent for property until after close out of the grant. Subrecipient may not change the use or planned use of any such property (including the beneficiaries of such use) from that for which the acquisition or improvement was made unless Subrecipient provides affected citizens CONTRACT NO. C38720H provisions before commencing the performance of this contract." Subrecipient agrees to comply with the requirements of the Secretary of Labor in accordance with the Davis -Bacon Act as amended, the provisions of Contract Works Hours and Safety Standards Act (40 U.S.C. 327 et seq.) and all other applicable Federal, state, and local laws and regulations pertaining to labor standards insofar as those acts apply to the performance of this Agreement. Subrecipient agrees to comply with the Copeland Anti - •Kick Back Act (18 U.S.C. 874 et. seq.) and its implementing regulations of the U.S. Department of Labor at 29 CFR Part 5. B. DISCRIMINATION. Subrecipient shall provide services to all clientswho need and request such services, so long as economic resources permit. Subrecipient shall abide by Sections 570.601 and 570.602 of Title 24 of the Federal code of regulations which requires that no persons in the United States shall, on the grounds of race, color, national origin, or sex, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity funded in whole or in part with the CDBG funds. C. CIVIL RIGHTS. a. COMPLIANCE. Subrecipient agrees to comply with all State and Federal civil rights laws and regulations and with Title VI of the Civil Rights Act of 1964 as amended, Title VIII of the Civil Rights Act of 1968 as amended, Section 104(b) and Section 109 of Title I of the Housing and Community Development Act of 1974 as amended, Section 504 of the Rehabilitation Act of 1973, the Americans with Disabilities Act of 1990, the Age Discrimination Act of 1975, Executive Order 11063, and Executive Order 11246 as amended by Executive Orders 11375, 11478, 12107, and 12086. b. NONDISCRIMINATION. Subrecipient agrees to comply with the non- discrimination in employment, and contracting opportunities laws, regulations, and executive orders referenced in 24 CFR 570.607, as revised by Executive Order 13279. The applicable non-discrimination provisions in Section 109 of the HCDA are still applicable. c. LAND COVENANTS. This Agreement is subject to the requirements of Title VI of the Civil Rights Act of 1964 (P.L. 88-352) and 24 CFR 570.602. In regard to the sale, lease, or other transfer of land acquired, cleared or improved with assistance provided under this Agreement, Subrecipient shall cause or require a covenant running with the land to be inserted in the deed or lease of such transfer, prohibiting discrimination as herein defined, in the sale, lease or rental, or in the use of occupancy of such CONTRACT NO. C38720H land, or in any improvements erected or to be erected thereon, providing that Grantee and the United States are beneficiaries of and entitled to enforce such covenants. Subrecipient,, in undertaking its obligation to carry out the program assisted hereunder, agrees to take such measures as are necessary to enforce such covenant, and will not itself so discriminate. d. SECTION 504. Subrecipient agrees to comply with all State and Federal regulations issued pursuant to compliance with Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794), which prohibits discrimination against the individuals with disabilities or handicaps in any Federally assisted program. Grantee will provide Subrecipient with guidelines necessary for compliance with portions of the regulations in force during the term of this Agreement. D. AFFIRMATIVE ACTION. a. APPROVED AFFIRMATIVE ACTION PLAN. Subrecipient agrees that it shall be committed to carry out pursuant to Grantee's specifications an Affirmative Action Program in keeping with the principles as provided in President's Executive Order 11246 of September 24, 1966. Grantee shall provide Affirmative Action guidelines to Subrecipient to assist in the formulation of such program. Subrecipient shall submit a plan for an Affirmative Action Program for approval prior to the award of funds. b. EQUAL EMPLOYMENT CLAUSE. Subrecipient agrees not to discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. Subrecipient will take affirmative action to ensure that applicants are employed and that employees are treated during employment, without regard to their race, color, religion, sex, or national origin. Such action shall include, but not be limited to, the following: employment, up grading, demotion, or transfer, recruitment, or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. Subrecipient agrees to post in a conspicuous place, available to employees and applicants for employment, notices to be provided by the Grantee setting forth the provisions of this non- discriminating clause. Subrecipient will ensure that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, or national origin. c. SECTION 3 EMPLOYMENT OPPORTUNITY. Per Section 3 of the Housing and Urban Development Act of 1968, as amended (12 U.S.C. 1701) and as implemented by the regulations set forth in 24 CFR 135, and all applicable rules and orders issued hereunder prior to the execution of this Agreement. CONTRACT NO. C38720H Subrecipient agrees to make every effort to promote, advertise, encourage, and hire very low to low-income person(s) and/or person(s) within the community of said activity and shall incorporate this stipulation into all agreements with all contractors, subcontractors, and vendors working on activities funded as part of this Agreement. This stipulation pertains to any and all types of training and employment related activities as a result of this Agreement. This stipulation only requires that Subrecipient hire said person(s) if additional employees are needed to complete activity. Employment can be temporary (project based) or permanent dependent upon the need of the employer. Activities undertaken to meet this requirement shall be reported by Subrecipient to Grantee. In addition, Subrecipient shall notify each labor organization or representative of workers with which it has a collective bargaining agreement or other contract or understanding, if any, of its commitment under this Section 3 clause and shall post copies of the notice in conspicuous places available to employees and applicants for employment or training. Subrecipient further agrees to comply - with these "Section 3" requirements and to include'.the following language in all subcontracts executed under this Agreement: "The work to be performed under this Agreement is an activity assisted under a program providing direct federal financial assistance from HUD and is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended (12 U.S.C. 1701). Section 3 requires that to the greatest extent feasible opportunities for training and employment be given to very -low and low-income residents of the project area, and that contracts for work in connection with the project be awarded to business concerns that provide economic opportunities for very low and low-income persons residing in the metropolitan area in which the project is located." Subrecipient certifies and agrees that no contractual or other legal incapacity exists that would prevent compliance with these requirements. d. SECTION 3 BUSINESS OPPORTUNITY. Per Executive Order 12421 dated July 14, 1983, Subrecipient agrees to make every effort to promote, advertise, encourage, purchase, and contract with businesses and subcontractors that are considered 51% or more minority and/or women owned, owned by low or very low-income residents, employs a CONTRACT NO. C38720H substantial number of low or low-income residents, or provides subcontracting or business development opportunities to businesses owned by low to very low-income residents. (Low-income persons means families (including single persons) whose incomes do not exceed 80 per centum of the median income for the area.) Subrecipient shall incorporate this stipulate into all agreements with all subcontractors working on activity. Activities undertaken to meet this requirement shall be reported by Subrecipient to Grantee. e. ACCESS TO RECORDS. Subrecipient shall furnish and cause each of its own subrecipients or subcontractors to furnish all information and reports required hereunder and will permit access to its books, records, and accounts by Grantee or designee, HUD or its agent(s), or other authorized federal officials for purposes of investigation to ascertain compliance with the rules, regulations, and provisions stated herein. f. NOTIFICATION. Subrecipient will send each labor union or representative of workers with which it has a bargaining agreement or other contract or understanding of workers a notice advising of the Subrecipient's commitments hereunder, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. g. EQUAL EMPLOYMENT OPPORTUNITY. Subrecipient will, in all solicitations or advertisements for employees or other activities undertaken pertaining to this Agreement by or on behalf of the Subrecipient, state that it is an Equal Opportunity or Affirmative Action employer. h. Subrecipient shall include the provision of Section 5, Items C (Civil Rights) and D (Affirmative Action) in every subcontract or purchase order, specifically or by reference, so that such provisions will be binding upon each of its own subrecipients, subcontractors or vendors. 6. LICENSING. Subrecipient agrees to obtain and maintain all licenses, registrations, accreditation, and inspections from all agencies governing its operations. Subrecipient shall ensure that its staff shall also obtain and maintain all required licenses, registrations accreditation and inspections from all agencies governing Subrecipient's operations hereunder. 7. INDEMNIFICATION. Subrecipient shall indemnify and hold Grantee harmless from all claims, damages or liability, including all reasonable attorney fees and costs incurred in defending any claims arising out of or in connection with Subrecipient's activity, including but not by the way of limitation any action or claim for worker's compensation. CONTRACT NO. C38720H 8. CONFLICT OF INTEREST. Subrecipient shall familiarize itself with CDBG regulations prohibiting conflicts of interest contained in 24 CFR 84.42 and 570.611. Subrecipient, its assigns, employees, agents, consultants, and officers shall comply with and shall not violate any provision of the regulations. Any violation shall be deemed a material breach of this Agreement and the Agreement shall be immediately terminated by Grantee. A. Subrecipient shall maintain a written code or standards of conduct that shall govern the performance of its officers, employees or agents engaged in the award and administration of contracts supported by federal funds. B. No employee, officer or agent of Subrecipient shall participate in the selection, or in the award, or administration of, a contract supported by federal funds if a conflict of interest, real or apparent, would be involved. C. No covered persons who exercise or have exercised any functions or responsibilities with respect to CDBG-assisted activities, or who are in a position to participate in a decision -making process or gain inside information with regard to such activities, may obtain a financial interest in any contract, or have a financial interest in any contract, subcontract, or agreement with respect to the CDBG-assisted activity, or with respect to the proceeds from the CDBG- assisted activity, either for themselves or those with whom they have business or immediate family ties, during their tenure or for a period of one (1) year thereafter. For purposes of this paragraph, a "covered person" includes any person who is an employee, agent, consultant, officer, or elected or appointed official of Grantee, Subrecipient, or any designated public agency. 9. BYRD ANTI -LOBBYING AMENDMENT. Subrecipient certifies that they will not or have not used federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, or officer or employee of Congress in connection with obtaining any Federal contract, grant, loan, cooperative agreement, or any other award including the extension, continuation, renewal, amendment, or modification of same. Subrecipient shall disclose any lobbying with non-federal funds that takes place in conjunction with obtaining any federal award. (This Act pertains to all contractors and subcontractors who apply or bid for an award of $100,000 or more.) 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 is connection with this Agreement, contract, grant, loan, or cooperative agreement or other document, Subrecipient will complete and submit Standard Form —LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions; and CONTRACT NO. C38720H It will require that the language in the following paragraph"Lobbying Certification" be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly: Lobbying Certification: This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S.C. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. 10. HATCH ACT. Subrecipient agrees that no funds provided, nor personnel employed under this Agreement, shall be in any way or to any extent engaged in the conduct of political activities in violation of Chapter 15 of Title V or the U.S.C. 11. COPYRIGHT. If this Agreement results in any copyrightable material or inventions, Grantee and/or grantor agency reserves the right to royalty -free, non-exclusive and irrevocable license to reproduce, publish or otherwise use and to authorize others to use, the work or materials for governmental purposes. 12. RELIGIOUS ACTIVITIES. Subrecipient agrees that funds provided under this Agreement will not be utilized for inherently religious activities prohibited by 24 CFR 570.200(j), such as worship, religious instruction or proselytization. 13. ELIGIBILITY. As to Subrecipient or its claimants, Grantee shall bear no liability for any later determination by the United States Department of Housing and Urban Development or any other person or entity that Grantee or Subrecipient is or is not eligible under 24 CFR Part 570 to receive CDBG funds. 14. Organizations provided CDBG funding are required to offer the specific program funded for a minimum of five (5) years from the date of award. 15. CONDUCT. A. ASSIGNABILITY. Subrecipient shall not assign or transfer any interest in this Agreement without the prior written consent of Grantee thereto; provided, however, that claims for money due or to become due to the Subrecipient from Grantee under this Agreement may be assigned to a bank, trust company, or other financial. institution without such approval. Notice of any such assignment or transfer shall be furnished to Grantee. B. SUBCONTRACTS. a. APPROVALS. Subrecipient shall obtain Grantee's prior written approval CONTRACT NO. C38720H before executing any subcontracts. b. MONITORING. Subrecipient shall monitor all subcontractors services on a regular basis to ensure contract compliance. Written summarization reports of monitoring shall be prepared including follow-up actions to correct non-compliance issues, if any, and placed in file. c. CONTENT. Subrecipient shall cause all of the provisions of this Agreement in its entirety to be included in and made a part of any subcontracts executed in the performance of this Agreement. d. SELECTION PROCESS. Subrecipient shall undertake to insure that all subcontracts let in the performance of this Agreement shall be awarded on a fair and open competition basis in accordance with applicable procurement requirements. Executed copies of all subcontracts shall be forwarded to Grantee along with documentation concerning the selection process. 16. UNIFORM ADMINISTRATIVE REQUIREMENTS. Subrecipients shall comply with applicable uniform administrative requirements as described in CDBG Regulation 24 CFR 570.502(b), 570.502, 570.503(b)(4), and 570.610. 17.OTHER PROGRAM REQUIREMENTS. Subrecipient shall be in compliance with all federal laws and regulations described in CDBG Regulation 24 CFR 570.501, 570.503(b)(5), 570.600-603, 570.605-614 except those outlined in Section 570.604 and 24 CFR Part 52. 18. DRUG -FREE WORKPLACE REQUIREMENTS. Subrecipient to certify that it will comply with the drug -free workplace requirements in accordance with the Act and HUD's rules at 24 CFR Part 24, Subpart F. (Drug -Free Workplace Act of 1988, (42 U.S.C.701)). 19. FALSE CLAIMS ACT. Subrecipient shall be subject to the False Claims Act (31 U.S.C. § 3729-3733, also called the Lincoln Law) which is federal law that allows people who are not affiliated with the government to file actions against subrecipients claiming fraud against the government. Under the False Claims Act those who knowingly submit, or cause another person or entity to submit, false claims payment of government funds are liable for three times the government's damages plus civil penalties of $5,500 to $11,000 per false claim. The False Claims Act explicitly excludes tax fraud. Section.3729(e) states that the Act "does not apply to claims, records, or statements made under the Internal Revenue Code." 20. INSURANCE. Subrecipient shall have and maintain workers compensation, employee liability, automobile insurance, comprehensive public liability, property CONTRACT NO. C38720H damage, and other insurance that may be specific to the organization or required as part of the award. 21. ENVIRONMENTAL CONDITIONS. Subrecipient agrees to comply with the following environmental conditions: A. AIR AND WATER. Federal Water Pollution Control Act, as amended, 33 U.S.C., 1251, et. Seq., as amended, 1318 as well as other requirements specified in said Section 114 and Section 308 and all regulations and guidelines issued thereunder and including Environmental Protection Agency (EPA) regulations pursuant to 40 CFR Part 50, as amended. B. FLOOD DISASTER PROTECTION. Flood Disaster Protection Act of 1973 (42 U.S.C. 4001), Subrecipient shall assure that for activities located in an areas identified by the Federal Emergency Management Agency (FEMA) as having special flood hazards, flood insurance under the National Flood Insurance Program is obtained and maintained as a condition of financial assistance for acquisition or construction purposes (including rehabilitation). C. LEAD -BASED PAINT. Subrecipient shall be subject to HUD Lead -Based Paint Regulations at 24 CFR 570.608 and 24 CFR Part 35, Subpart B. D. HISTORIC PRESERVATION. Subrecipient shall comply with Historic Preservation requirements as set forth in the National Historic Preservation Act of 1966, as amended (16 U.S.C. 470) and the procedures set forth in 36 CFR Part 800, Advisory Council on Historic Preservation Procedures for Protection of Historic Properties, insofar as the apply to the performance of this Agreement. 22. SEVERABILITY. In any provision of this Agreement is held invalid, the remainder of the Agreement shall not be affected thereby and all other parts of this Agreement shall nevertheless be in full force and effect. 23. WAIVER. Grantee's failure to act with .respect to a breach by Subrecipient does not waive its right to act with respect to subsequent or similar breaches. The failure of Grantee to exercise or enforce any right or provision shall not constitute a waiver of such right or provision. 24. ENTIRE AGREEMENT. This Agreement constitutes the entire Agreement between Grantee and Subrecipient for the use of funds received under this Agreement and it supersedes all prior or contemporaneous communications and proposals, whether electronic, oral, or written between Grantee and Subrecipient with respect to this Agreement. CONTRACT NO. C38720H 25. SUSPENSION AND TERMINATION. Agreement may be suspended or terminated in accordance with CDBG 24 CFR 85.43 if Subrecipient materially fails to comply with terms of Agreement, grant award (reporting, monitoring, tracking, ineffective or improper use of funds, lack of timely and proper implementation of its obligations pertaining to this Agreement), rules, regulations or provisions referred to herein, statutes, regulations, executive orders, HUD guidelines, policies or directives as may become applicable at any time. Also, award may be terminated for convenience in accordance with 24 CFR 85.44. This Agreement contains the entire Agreement of the parties and supersedes all other prior negotiations, understandings or agreements. The Agreement may only be modified by the written consent of the parties. Subrecipient: By: ' /�rrGi Jolr��s�I Print Name Grantee: By: 7 /3 Zoze Dat cr 47/ 3— z0 Gina Nestande, Mayor City of Palm Desert, Attest: .Grac L. Rocha; Interim City Clerk City of Palm Desert Date 7-/y�-oLc Date CONTRACT NO. C38720H Exhibit A CDBG Activity Budget Total Activity Budget Personnel Salaries & Wages $ 11,430 Fringe Benefits $ 4,129 Subtotal: $ 15,559 Non -personnel Space Costs $ 1,550 Rental, Lease, Purchase Equip. $ 230 Consumable Supplies $ 140 Travel $ 100 Telephone $ 100 Service/Program Delivery Cost $ 260 Other Costs $ 560 Subtotal: $ 2,940 Indirect Expenses (10%) $ 1,501 Total: $ 16,511 Attachment F Rental Property Agreement City of Palm Desert Community Development Block Grant Emergency Rental Assistance Program Rental Property Agreement This Rental Property Agreement (Agreement) is made by and between the City of Palm Desert (City) and the rental property owner (Rental Property Owner) on behalf of the rental property identified and acknowledged in this Agreement (Rental Property). Recitals Whereas, the City is a Direct Entitlement City with the U.S. Department of Housing and Urban Development (HUD) for purposes of receiving Community Development Block Grant (CDBG) funds, to assist and undertake essential community development and housing assistance activities pursuant to the Housing and Community Development Act of 1974; and Whereas, under the federal Coronavirus Aid, Relief and Economic Securities Act (CARES Act), the City received a special allocation of funds, Community Development Block Grant Coronavirus (CDBG-CV), through HUD; and Whereas, CDBG-CV funds are intended to prevent, prepare for, and respond to the coronavirus pandemic; and Whereas, the CARES Act also provided statutory waivers for flexibility related to the (CDBG) Program; and Whereas, the Palm Desert City Council has approved CDBG-CV an Emergency Rental Assistance Program (Program), including policies guidelines incorporated herein, for qualified low and moderate -income households impacted by the coronavirus pandemic residing in the jurisdictional limits of the City in need of temporary rental assistance; and Whereas, Rental Property Owner submitted an application to opt -in the Program. Therefore, Rental Property Owner agrees under the penalty of perjury to the following: 1. Rental Property Owner confirms that all information provided in Program application (Exhibit A) is complete and accurate. 2. Rental Property Owner owns the Rental Property identified in the application previously provided to opt -in to the Program. 3. Rental Property identified in the Program application is located within the jurisdictional limits of the City. Rental Property Agreement Page 2 of 7 4. Rental Property Owner has waived late fees for delinquent payment(s) for the qualified household(s) since April 2020, and acknowledges that late fees will be waived throughout the duration of the Program. 5. Rental Property Owner provides the information requested in Exhibit B, and confirms the respective information is complete and accurate. 6. Rental Property Owner assists with obtaining the obtaining the appropriate supporting documentation required for an eligibility review, and all other actions required by the City or its Subrecipient in furtherance of the defined program and policy guidelines. 7. Rental Property Owner provides the support documentation identified in Exhibit C and confirms the respective information is complete and accurate. 8. Rental Property Owner, to his or her knowledge, confirms that he or she, and all affiliates, officers, partners, agents, representatives, employees or parties, have not entered into a collusive arrangement with any person, including any household member, or entity with the intent to defraud the City and federal government through the Program. 9. To the fullest extent permitted by law, Rental Property Owner shall defend, indemnify and hold the City, its officials, officers, employees, volunteers, and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Rental Property Owner, its officials, officers, employees, subconsultants or agents in connection with the performance of Rental Property Owner, the Program or this Agreement, including without limitation the payment of all expert witness fees, attorney's fees and other related costs and expenses except such loss or damage caused by the sole negligence or willful misconduct of the City. 10. Agreement may not be amended or assigned by either party without the written consent of the other party. 11. Agreement shall inure to the benefit of and be binding upon successors and assigns of the parties. 12. Agreement shall be deemed a contract made under the laws of the State of California and for all purposes shall be government by and construed in accordance with laws of the State of California. 13. City makes no representations as to the tax implications of the Program. The City is unable to provide legal or tax advice to Rental Property Owner and encourages Rental Property Owner to seek appropriate professional advice on the federal and state tax implications of any funds received from the City under the Program. Rental Property Agreement Page 3 of 7 14. This Agreement constitutes the entire Agreement between the City and Rental Property Owner under this Agreement, and it supersedes all prior or contemporaneous communications and proposals, whether electronic, oral, or written between City and Rental Property Owner with respect to this Agreement. 15. All recitals are incorporated herein. By signature of the Agreement, Rental Property Owner hereby agrees to the terms and conditions herein, and acknowledges that submission of this information does not guarantee rental assistance for its Rental Property. Rental Property Address: Rental Property Name (if applicable): Rental Property Owner Name: Rental Property Owner Signature: Date: Rental Property Agreement Page 4of7 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of On before me. Date Here Insert Name and Title of the Officer personally appeared Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Place Notaty Seal Above WITNESS my hand and official seal. Signature Signature of Notary Public OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: ©2014 National Notary Association • www.NationalNotary.org • 1-800-US NOTARY (1-800-876-6827) Item #5907 Rental Property Agreement Page 5 of 7 Exhibit A Rental Property Owner Application (Initial application attached) Rental Property Agreement Page 6 of 7 Exhibit B Inclusive List of Households Rental Property Owner shall provide an all-inclusive list of households missing payments from April 2020 and/or beyond, including names, addresses and missing payment amounts. Reprint and use Exhibit B if needing additional space below. Rental Property Agreement Page 7 of 7 Exhibit C Support Documentation The Rental Property Owner shall submit the documents, as follows: 1. All-inclusive list of households missing payments from April 2020 and/or beyond, including names, addresses and missing payment amounts (Exhibit B); 2. City of Palm Desert business license (for Rental Property Owner with three units or more on Rental Property); and 3. IRS Form W-9 Request for Taxpayer Identification Number and Certification. Attachment G Rental Assistance Opportunity Letter 1 FS DESERT 490 S. Farrell Drive, Suite C208, Palm Springs, CA 92262 P.:c.r.1L (760) 325-4088 -AY, (760) 778-3781 www.jfsdesert.org Our Valley... Our Passion! September 1, 2020 Re: Emergency Rental Assistance Program — Apply by September 16, 2020 Dear Household, The City of Palm Desert and the nonprofit agency, Jewish Family Service of the Desert, have partnered to offer an Emergency Rental Assistance Program (Program) to qualified Palm Desert households directly impacted by the coronavirus pandemic. Your rental property owner / apartment complex has opted into this Program for households previously missing rental payments since April 2020 and/or beyond. If meeting qualifications, your household may be eligible for up to $5,000 in rental assistance. Program qualifications include, but are not limited to: • Experiencing a loss of income directly related to the coronavirus pandemic; • Earning less than 80% of the Riverside County area median income (see electronic application for more information regarding household income limits); • Missing a rental payment(s) from April 2020 and/or beyond; and • Other requirements outlined in the electronic application. If interested, please submit an electronic application (https://arcg.is/OaGHTH) to the Jewish Family Service of the Desert by 5:00 p.m. on Wednesday, September 16, 2020. Additional instructions and program information can be found on the electronic application. Please contact our organization as soon as possible if you do not have access to a computer. For additional questions, please contact the Jewish Family Service of the Desert by emailing casemanagement@ ifsdesert.org or leaving a telephone message at 760-325-4088 ex. 250. Sincerely, Kraig Johnson Executive Director 241 Jewish Federation OF THE DESERT United r Way ,. WOW lNr M w pawl • Attachment H Household Qualification Forms f 1 JJF Jewish Family Service of the Desert 490 S Farrell Drive, Unit C 208 DESERT Palm Springs, CA 92262 Emergency Rental Assistance Program Community Development Block Grant (CDBG-CV) Household Qualification Form (Internal Use) This form shall be completed by staff from the Jewish Family Service of the Desert (JFSD), and included in each case file per household. 1. Household Information Tenant Name (must be on lease): Household Address: 2. Household Income JFSD staff shall insert the information below for all household members. Monthly income is not required for household members under 18 years of age. Household Member's Name Age Monthly Income $ $ $ $ $ $ $ $ $ $ $ $ Total Monthly Income: Annual Income: $ Page 1 of 2 1 JFS DESERT Jewish Family Service of the Desert 490 S Farrell Drive, Unit C 208 Palm Springs, CA 92262 3. Loss of Household Income 3.1. Direct Impact from the Coronavirus Pandemic Has the household experienced a loss of income directly related to the coronavirus pandemic, and has that loss of income affected the household's ability to pay its monthly rent to its property owner. Yes No 3.2. Missing Rental Payment(s) Due to the financial hardship, which three consecutive month(s) and amount(s) is the household missing payment(s) and requesting rental assistance? April 2020 $ May 2020 $ June 2020 $ July 2020 $ August 2020 $ 4. Household Eligibility Based upon the program requirements, is the household eligible for rental assistance? Yes No 5. Funding Recommendation What is the funding recommendation for rental assistance by the Subrecipient? Page2of2 fr 4 JJF Jewish Family Service of the Desert 490 S Farrell Drive, Unit C 208 DESERT Palm Springs, CA 92262 Emergency Rental Assistance Program Community Development Block Grant (CDBG-CV) Household Qualification Form (Household Member Use) All household members (over 18 years of age) shall complete this form. Please attach proof of identification as Exhibit A. Please complete Exhibit B (Household Member Income) and Exhibit C (Proof of Financial Hardship), and provide the appropriate supporting documentation. Household Member Name: Household Member Age: Household Address: Phone Number: Email Address: Duplication of Benefits Participation in other rental assistance programs is considered a duplicative benefit, which is ineligible per the funding source. Has the household member received or anticipates receiving rental assistance funds for missing payments identified in the household eligibility form? Yes No If yes, please describe the rental assistance program that you have received assistance. Under penalty of perjury, 1 hereby affirm that the information provided by the household member herein, including the initial application, is complete and accurate to the best of my knowledge. 1 understand that the falsification, misrepresentation or omission offact on this household eligibility form (or any supporting documents) will be cause for denial of my application. 1 understand submission of this application does not guarantee rental assistance. Household Member Name: Household Member Signature: Date: Page 1of4 ri JFS DESERT Jewish Family Service of the Desert 490 S Farrell Drive, Unit C 208 Palm Springs, CA 92262 Exhibit A Proof of Identification (Attach supporting documentation) Page 2 of 4 fs J FSJewish Family Service ofthe Desert J 490 S Farrell Drive, Unit C 208 DESERT Palm Springs, CA 92262 Exhibit B Household Member Income Source of Income Please indicate all sources of income. The sources of income must have supporting documentation for the last 60 days. Please attach supporting documentation to this exhibit. Source of Income Dollar Amount (per month) Employment $ Social Security / Pension $ Child Support / Alimony $ Unemployment Benefits $ CalFresh (Food Stamps) $ Other Cash Aid / Government Aid $ Other Source of Income $ Total: $ Other Source of Income Please describe the source of income if the household member identified "other cash aid / government aid" and/or "other source of income" above. Cash Assets Please indicate all bank accounts and/or cash on hand for the household member above. The household must submit bank statements as supporting documentation for the last 60 days. Please note while cash assets are not calculated in household income, the Subrecipient shall use this information when making a funding recommendation for the household. Bank Accounts & Cash on Hand Dollar Amount Bank Account(s) $ Cash on Hand $ Total: $ Page 3of4 rif JFs DESERT Jewish Family Service of the Desert 490 S Farrell Drive, Unit C 208 Palm Springs, CA 92262 Exhibit C Proof of Financial Hardship Please identify the loss of household income directly related to the coronavirus pandemic. Furthermore, please attach the supporting documentation to this exhibit. Proof of financial hardship may include, but is not limited to: • Proof of missing payments (e.g., delinquency letter); and • Proof of loss of income, including: o Lay-off notice from employer; or o Proof of unemployment benefits; or o Proof of reduced hours/earnings. Page 4 of 4 Attachment I Document Checklist City of Palm Desert Community Development Block Grant (CDBG-CV) Emergency Rental Assistance Program Document Checklist The Subrecipient must complete and submit this document checklist with each request for rental emergency rental assistance. The documents required per household include: Tenant (must be on lease): Address: Rental Assistance Payment Request: $ Rental Property Information 1. Initial application (electronic) 2. Cover letter (accompanying rental property agreement) 3. Rental property agreement (notarized) 4. IRS Form W-9 Request for Taxpayer Identification Number and Certification 5. Business license (if applicable) 6. List of households missing payments 7. Cover letter & copy of rental arrears check Household 8. Cover letter (identifying opportunity) 9. Household qualification forms 10. Initial household application (electronic) 11. Lease agreement 12. Household qualification forms 13. Proof of income 14. Proof of missing payment(s) 15. Proof of financial hardship 16. Identification (over 18 years of age) By signing this form, I acknowledge that I have reviewed and approved the case file, including the support documentation identified on this checklist, for the household above. Subrecipient Name (Print) Subrecipient Signature Date City Staff Name (Print) City Staff Signature Date