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LAC CDBG Project Nos. D96691-11 and D98694-11 L � COUNTY OF LOS ANGELES AGREEMENT TO IMPLEMENT A COMMUNITY DEVELOPMENT BLOCK GRANT(CDBG)PROJECT WITH A GOVERNMENTAL AGENCY Operating Agency: CITY OF RANCHO PALOS VERDES Contract Number: 106060 The Operating Agency is hereby authorized to implement the CDBG Project identified above upon execution of this Agreement by the Operating Agency's authorized signatory. Said implementation shall be in full accordance with the requirements,conditions,and assurances defined in the Contract Number 106060,between the Operating Agency and the County of Los Angeles. In addition, the Operating Agency agrees to comply with the following: 1. SCOPE OF SERVICE. The Project described in the Exhibit A(s),listed below,shall be implemented. 2. TIME OF PERFORMANCE. Services are to commence as of July 1,2011,and be completed no later than June 30,2012. 3. BUDGET SECTION. No more than the amounts specified in the Project Description and Activity Budget,Exhibit A to this Contract,which is attached hereto and incorporated herein by this reference may be spent for the separate cost categories specified in Exhibit A without written approval of the County. Project No. Project Name Amount D96691-11 CDBG PROGRAM MANAGEMENT $11865.00 D98694-11 HOME IMPROVEMENT PROGRAM $140000.00 CITY OF RANCHO PALOS VERDES TOTAL $151,865.00 Revised 4/09 -1- City of Rancho Palos Verdes COUNTY OF LOS ANGELES Operating Agency RayHollandON: WHbyRayHolld ON:cn=Ray Holland,o=Cky a Rancho Pets verd .R0 ema ,dyhQrpv.com.c:US B y: Date:2011.07.0710:48:23-OT00' By: SA1 AT-211 Title: Title: Director,CDBG Community Development Commission of the County of Los Angeles Revised 1/21/04—gpa04-05 Los Angeles County Community Development Commission Exhibit A Community Development Commission County of Los Angeles Project Description and Activity Budget Contract No. 70741 Version 0 PROJECT OPERATING AGENCY Project No: D96691-11 Organization Title: CDBG Program Management Name: City of Rancho Palos Verdes Type:Participating City Funding Period: 7/1/2011 To: 6/30/2012 Jurisdiction:Rancho Palos Verdes CDC Program Mgr: Karen Hamilton Proiect Administration Judy A.Huey, Senior Administrative Analyst City of Rancho Palos Verdes 30940 Hawthorne Blvd. Rancho Palos Verdes, CA 90275-5391 Tel.No. (310) 544-5427 Fax No. (310) 544-5292 E-mail:judyhrpv.com Eligibility Summary Funding Source: CDBG I-II JD Code: 21A General Program Administration Eligibility Citation: 570.206 (a)(1)(2)(3)(4)(b) National Objective: OTH Nat. Objective Citation: 570.208(d) (4) Est.Accomplishments: Performance Indicator: Other Activity Summary This continuing project provides funding for the general management, oversight, and coordination of the City's Community Development Block Grant(CDBG) funded projects. CDBG funds will pay for personnel and non-personnel costs including CDBG consultant services. Special Conditions The Operating Agency must maintain payroll and time attendance records signed by the employee and approved by the supervisor. Time distribution records must reflect total work time on a daily basis by program and/or funding source, as applicable. Project No: D96691-11 Version: 0 • Los Angeles County Community Development Commission Exhibit A The Operating Agency will comply with procurement standards outlined in 24 CFR, Part 85, Section 85.36 of the Common Rule, entitled Procurement, for the purchase of all equipment, supplies, and contracted services using CDBG funds. The Operating Agency shall maintain during the term of this Contract and for a period of five(5) years after the expiration of the contract complete and adequate financial records and accounts as considered necessary by the Community Development Commission(CDC)to assure proper accounting for all program funds and to support all program expenditures. These records and accounts shall include, but not be limited to,the following: * A double-entry General Ledger that supports the costs charged to the CDBG or ESG Program; * Records documenting procurement of goods and services; * Contracts for goods or services; * Lease or Rental Agreements; * Invoices; * Billing Statements; * Cancelled Checks; * Timecards signed by employees and supervisors; * Personnel Authorization Records; * Payroll Registers; * Payroll Tax Records; * Bank Statements; * Bank Reconciliations; and * Documentation to support the allocation of costs. The Operating Agency shall execute a professional services agreement with each consultant/contractor prior to incurring any costs or distributing any CDBG or ESG funds, in compliance with federal contractual requirements. The Operating Agency shall submit adequate financial documentation to support the program expenditures reported in the monthly CDBG Funding Request forms. The financial supporting documentation will include contracts for goods or services, evidence of procurement, lease or rental agreements, invoices, billing statements,cancelled checks,timecards signed by employee and supervisors, payroll registers, payroll tax records, bank statements, bank reconciliations, a detailed General Ledger that supports the costs charged to the CDBG program, and an approved cost allocation method for indirect costs charged. Failure to submit the necessary supporting documentation will result in the disallowance of costs. Contracted Services/Subrecipients Diana Cho and Associates 16716 E. Rocky Knoll Road Hacienda Heights, CA 91745 The city has chosen to renew their one-year term contract with CDBG Consultant, Diana Cho, for a Project No: D96691-11 Version: 0 Los Angeles County Community Development Commission Exhibit A second year with the option to renew for a third year maximum. The consultant will provide support to the overall administration of the CDBG program, including: A. Preparation of agreements, planning summary documents, project descriptions, budgets and amendments, planning future CDBG projects and obtaining supporting documentation to qualify CDBG funded projects; B. Coordination with City staff to complete all projects, including bid specifications and RFQ's; C. Preparation of quarterly and annual performance reports and other monitoring requirements; and D. Maintenance of CDBG project files. Funding Summary Cost Category Amount Uncategorized $11,865.00 Total $11,865.00 Service Area Region Population Low/Mod Pop Grand Total: 0 0 NaN Low/Mod Project No: D96691-11 Version: 0 Los Angeles County Community Development Commission Exhibit A Community Development Commission County of Los Angeles Project Description and Activity Budget Contract No. 70741 Version 0 PROJECT OPERATING AGENCY Project No: D98694-11 Organization Title: Home Improvement Program Name: City of Rancho Palos Verdes Type: Participating City Funding Period: 7/1/2011 To:6/30/2012 Jurisdiction:Rancho Palos Verdes CDC Program Mgr: Karen Hamilton Project Administration Judy A.Huey, Senior Administrative Analyst City of Rancho Palos Verdes 30940 Hawthorne Blvd. Rancho Palos Verdes,CA 90275-5391 P: (310) 544-5427 F: (310) 544-5292 E-mail:judyh@rpv.com Eligibility Summary Funding Source: CDBG HIM)Code: 14A Rehabilitation: Single-Unit Residential Eligibility Citation: 570.202 (a)(1)(b)(2)(4)(5)(7)(9)(1 1)(f) National Objective: LMH Nat. Objective Citation: 570.208(a)(3) Est. Accomplishments: 6 Performance Indicator: Housing Units Activity Summary This continuing project provides grants and/or deferred loans,to low-and moderate-income homeowners, residing in the City of Rancho Palos Verdes. Grants and loans will be issued for the mitigation of building and safety code deficiencies/violations and minor home repairs. Grants(up to a maximum of$7,000)and/or no interest deferred loans (up to a maximum of $13,000)will be given to low-and moderate-income single unit homeowners. As required, program income generated from the loans due to the sale of a property, refinance of the loan other than to lower the interest rate, or the transferring of the property title will be returned CDBG. Project No: D98694-11 Version: 0 Los Angeles County Community Development Commission Exhibit A Rehabilitation work will consist of work such as roofing, foundation repairs, electrical wiring, plumbing, heating/cooling systems,termite/rodent elimination on a one-time basis to preserve and assist rehabilitation work, home protection measures, home security devices, removal of material and architectural barriers restricting the mobility and accessibility of elderly or severely disabled clients, and the elimination of specific conditions detrimental to public health and safety that have been identified by the City. CDBG funds will be used for personnel and non-personnel costs. In addition, CDBG funds will be used for lead-based paint and asbestos testing and abatement. CDBG funds will also be used to contract with a consultant to assist the Operating Agency in program administration, advertising and marketing the program, program-related office supplies, and escrow and loan document preparation fees. Special Conditions Per NESHAP(40 CFR Part 61), Cal-OSHA Rule 1529, and South Coast AQMD Rule 1403,the operating agency is required to test the work area for asbestos containing materials (ACM)where necessary. If ACM is identified,then removal, disposal, and/or handling of the materials shall be conducted by a certified asbestos contractor in accordance with applicable regulations. Suspect asbestos containing materials include flooring materials, wall materials, ceiling materials, and roofing materials. Per 36 CFR Part 800-Protection of Historic Properties (Section 106 Historic Review) and 24 CFR Part 55-Floodplain Management:the Operating Agency shall submit to the Community Development Commission(CDC) a Basic Property Identification Form for all work to be performed on each property to be rehabilitated. Review and clearance of proposed actions through this process must be granted PRIOR to incurring any costs or starting the rehabilitation of the property. Historic properties that may be adversely impacted will be evaluated by the State Historic Preservation Officer(SHPO). Floodplain review and public noticing in compliance with the National Environmental Policy Act(NEPA) of 1969 must also be completed where applicable. Each property must be cleared through this office on an INDIVIDUAL basis. Per 24 CFR 35 and Cal-OSHA Rule 1532.1,the operating agency is required to evaluate, complete testing for, and reduce lead-based paint hazards,when necessary, in structures proposed for rehabilitation activities.Notification of hazard(s)must be provided to owners, occupants, and workers, as necessary. The operating agency shall maintain appropriate records to indicate compliance with these regulations on a property-by-property basis. Projects subject to Part 35, Lead-Based Paint Poisoning Prevention in Certain Residential Structures, must comply with the regulation and follow procedures based on the funding amount for each project. The Operating Agency must maintain payroll and time attendance records signed by the employee and approved by the supervisor. Time distribution records must reflect total work time on a daily basis by program and/or funding source, as applicable. The Operating Agency will comply with procurement standards outlined in 24 CFR, Part 85, Section 85.36 of the Common Rule, entitled Procurement, for the purchase of all equipment, supplies, and contracted services using CDBG funds. Project No: D98694-11 Version: 0 Los Angeles County Community Development Commission Exhibit A The Operating Agency will track and report all program income generated from the use of CDBG or ESG funds, as defined in 24 CFR,Part 84.24 of the Uniform Administrative Requirements. Program income is defined as gross income received by the subgrantee or subrecipient directly generated by a grant-supported activity, or earned only as a result of the grant agreement. Program income includes, but is not limited to: * Fees and donations collected from participants on public service programs; * Applicable bid fees from construction or rehabilitation activities; * Principal and interest collections on loans made with CDBG funds; * Fees from the use or rental of real or personal property; and * Proceeds from the disposition of property purchased or improved with CDBG funds. Program income must be recorded as revenues in the CDBG cost center of the Operating Agency's General Ledger. If applicable and upon receiving approval from the Community Development Commission(CDC),the program income may be used for payment of other eligible project expenditures that are not paid with CDBG funds. Otherwise,the funds must be remitted to the CDC accompanied by the Return Funds Transmittal form within 30 days of receipt. The Operating Agency shall maintain during the term of this Contract and for a period of five(5) years after the expiration of the contract complete and adequate financial records and accounts as considered necessary by the Community Development Commission(CDC)to assure proper accounting for all program funds and to support all program expenditures. These records and accounts shall include, but not be limited to,the following: * A double-entry General Ledger that supports the costs charged to the CDBG or ESG Program; * Records documenting procurement of goods and services; * Contracts for goods or services; * Lease or Rental Agreements; * Invoices; * Billing Statements; * Cancelled Checks; * Timecards signed by employees and supervisors; * Personnel Authorization Records; * Payroll Registers; * Payroll Tax Records; * Bank Statements; * Bank Reconciliations; and * Documentation to support the allocation of costs. The Operating Agency shall execute a professional services agreement with each consultant/contractor prior to incurring any costs or distributing any CDBG or ESG funds, in compliance with federal contractual requirements. The Operating Agency shall submit adequate financial documentation to support the program expenditures reported in the monthly CDBG Funding Request forms. The financial supporting documentation will include contracts for goods or services, evidence of procurement, lease or rental agreements, invoices, billing statements, cancelled checks,timecards signed by employee and Proiect No: D98694-11 Version: 0 Los Angeles County Community Development Commission Exhibit A supervisors, payroll registers, payroll tax records, bank statements, bank reconciliations, a detailed General Ledger that supports the costs charged to the CDBG program, and an approved cost allocation method for indirect costs charged. Failure to submit the necessary supporting documentation will result in the disallowance of costs. Operating Agency must maintain documentation ensuring that 100%of households assisted are equal to or less than 80%Area Median Income(AMI). Contracted Services/Subrecipients MDG Associates, Inc. 10722 Arrow Route, Suite 822 Rancho Cucamonga, CA 91730 Esther Luis, Consultant The city has chosen to renew their one-year term contract with MDG Associates for a second year with the option to renew for a third year maximum,to provide administrative services and technical assistance for the Home Improvement Program. Funding Summary Cost Category Amount Uncategorized $140,000.00 Total $140,000.00 Service Area Region Population Low/Mod Pop Rancho Palos Verdes 40,790 4,432 Grand Total: 40,790 4,43210.87% Low/Mod Project No: D98694-11 Version: 0