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HomeMy WebLinkAboutC-8281-2 - Community Programs Grant Agreement FY 16-17GRANT AGREEMENT BETWEEN THE CITY OF NEWPORT BEACH AND SERVING PEOPLE IN NEED, INC. This Grant Agreement ("Agreement") is entered into this 31St day of March, 2017 ("Effective Date"), by and between the City of Newport Beach, a California municipal corporation and Charter City ("City"), and SERVING PEOPLE IN NEED, INC., a California nonprofit corporation located at 151 Kalmus Drive, Suite H-2, Costa Mesa, California 92626 ("Grantee'). City and Grantee are at times individually referred to as "Party" and collectively as "Parties" herein. RECITALS A. It is the policy of the City Council that the City's budget specifically allow the City Council to direct revenue towards non-profit agencies, community groups, community events, or enhancement projects with worthy projects or programs which the City Council deems beneficial to residents' quality of life. B. Grantee requested a grant from the City for ongoing operational support ("Grant Proposal"). C. The City Council determined the Grant Proposal is for a worthy project that will benefit the City's residents' quality of life. D. The City douncil approved a grant in the amount of Five Thousand and 00/100 Dollars ($5,000.00) ("Grant Funds") to Grantee pursuant to certain conditions regarding expenditure, reporting, and accounting requirements. NOW, THEREFORE, the Parties agree as follows: 1. GRANT 1.1. City awards to Grantee Grant Funds in the amount of Five Thousand and 00/100 ($5,000.00) as requested by Grantee in the Grant Proposal attached hereto as Exhibit A and incorporated herein by reference, or such other amount as authorized by the City Council. 1.2. Grant Funds shall be disbursed by City to Grantee as follows (select one): ® At the time of execution of this Agreement. 2. TERM The term of this Agreement shall commence on the Effective Date and shall continue in full force and effect until June 30, 2017 unless terminated earlier as provided herein. SERVING PEOPLE IN NEED, INC. Page 1 3. RESTRICTIONS ON USE OF FUNDS 3.1. The Grant Funds are subject to the following expenditure conditions ("Approved Uses'): 3.1.1. The Grant Funds shall be expended solely for the purposes provided in Exhibit A; 3.1.2. The Grant Funds shall not be used for any activity that would violate City, state or federal statutory or decisional law such as regulations affecting non-profit or tax exempt organizations exempt from taxation pursuant to Section 501(c)(3) of the Internal Revenue Code; and 3.2. Grantee further warrants to City that the Grant Funds will be spent solely for the Approved Uses and the Grant Funds shall be used by Grantee during this Agreement's term otherwise the Grant Funds shall be returned to City, as provided in Section 5 below. 4. REPORTING AND ACCOUNTING REQUIREMENTS 4.1. At all times during the term of this Agreement, Grantee shall maintain true, proper, and complete books, records, and accounts (collectively, "Books and Records") in which shall be entered fully and accurately all transactions taken with respect to the operations of Grantee under the Grant Proposal and the expenditure of the Grant Funds. Grantee shall maintain the Books and Records in accordance with Generally Accepted Accounting Principles. 4.2. If the Grantee has been audited by an independent auditor or has been the subject of a compliance audit/examination by a grantee or regulatory agency during the past three years, audit reports and management letters indicating compliance violations, fraud, illegal acts, material weaknesses in internal control structure or reportable conditions, in connection with such audits shall be delivered to the City thirty (30) days prior to the effective date of this agreement. If no audits or events as described above have occurred during this period, the Grantee shall provide City a written assertion that no audits or similar examinations have occurred during the three (3) year period and an assertion that the Grantee is not aware of any events or conditions, described above, or other information that might reasonable impact City's decision to fund the grant as requested. 4.3. City reserves the right to designate its own employee representative(s) or its contracted representative(s) with a Certified Public Accounting firm who shall have the right to audit Grantee's accounting procedures and internal controls of Grantee's financial systems as they relate to the Grant Proposal and to examine any cost, revenue, payment, claim, other records or supporting documentation resulting from any items set forth in this Agreement. Any such audit(s) shall be undertaken by City or its representative(s) at mutually agreed upon reasonable times and in conformance with generally accepted auditing standards. Grantee agrees to fully cooperate with any such audit(s). SERVING PEOPLE IN NEED, INC. Page 2 4.4. This right to audit shall extend during the length of this Agreement and for a period of three (3) years or longer, if required by law, following the date of any Grant Funds tendered under this Agreement. Grantee agrees to retain all necessary records/documentation for the entire length of this audit period. 4.5. Grantee shall, upon conclusion of the event, furnish the City with a Balance Sheet and Income Statement describing the receipt and disbursement activities of Grantee with respect to the Grant Funds. In its sole and absolute discretion, the City may also require Grantee to submit: (i) quarterly check registers and descriptions of each disbursement; (ii) budget -to -actual -results; and (iii) a statement of position describing the assets and liabilities associated with the Grant event. All reports, including a post -event evaluation, shall be due to the City no later than forty-five (45) days following the conclusion of the event. In the event that an independent audit is conducted, Grantee shall forward a copy of the audited report to the City for review, including any Management Letter, Report on Internal Controls, or Reportable Conditions letter generated during the course of the audit. 4.6. Grantee agrees to exercise prudent financial management processes including proper oversight of all assets, budget preparation, and timely reporting including budget -to -actual -comparisons. 4.7. All Approved Uses shall be performed by Grantee or under Grantee's supervision. Grantee represents that it possesses the professional and technical skills required to perform the services required by this Agreement, and that it will perform all services with a standard of care and in a manner commensurate with the community professional standards. 4.8. If Grantee has supported Political Action Committees(s) (PACs) during the past three (3) years, the Grantee shall hire an independent auditor to perform limited, agreed-upon testwork procedures to provide City assurance that City sponsored event profits did not subsidize the funding of Political Action Committees (PACs) and event proceeds were adequately segregated from funds used to support PACs. Agreed upon procedures may include a review of a detail list of the past three (3) years of PAC contributions and expenditures, including: a. An identifying donor number, date and amount of each reported contribution; and b. A detail of expenditures sufficient enough to determine that the expenditures were solely for PAC -related expenses; and c. Any retained earnings or fund balance at the end of each fiscal year. Substantive documentation for the contribution and expenditure should be available upon request. City shall approve the agreed-upon testwork procedures prior to the commencement of fieldwork. SERVING PEOPLE IN NEED, INC. Page 3 5. USE OF GRANT FUNDS The Grant Funds shall be used solely by Grantee for the Approved Uses and for no other use. In the event that the Grant Funds are not used for the Approved Uses or are not expended by or before June 30, 2017, Grantee shall notify the City in writing, and shall be obligated to return the Grant Funds to City within thirty (30) days. 6. INDEMNIFICATION 6.1. To the fullest extent permitted by law, Grantee shall indemnify, defend and hold harmless City, its City Council, boards and commissions, officers, agents, volunteers, and employees (collectively, the "Indemnified Parties") from and against any and all claims (including, without limitation, claims for bodily injury, death or damage to property), demands, obligations, damages, actions, causes of action, suits, losses, judgments, fines, penalties, liabilities, costs and expenses (including, without limitation, attorney's fees, disbursements and court costs) of every kind and nature whatsoever (individually, a Claim; collectively, "Claims"), which may arise from or in any manner relate (directly or indirectly) to this Agreement (including the negligent and/or willful acts, errors and/or omissions of Grantee, its principals, officers, agents, employees, vendors, suppliers, consultants, subcontractors, anyone employed directly or indirectly by any of them or for whose acts they may be liable or any or all of them). 6.2. Notwithstanding the foregoing, nothing herein shall be construed to require Grantee to indemnify the Indemnified Parties from any Claim arising from the sole negligence or willful misconduct of the Indemnified Parties. Nothing in this indemnity shall be construed as authorizing any award of attorney's fees in any action on or to enforce the terms of this Agreement. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Grantee. 7. GRANTEE INDEPENDENCE In the performance of this Agreement, the Grantee, and the agents and employees of Grantee, shall act in an independent capacity and are not officers, employees or agents of the City. The manner and means of performing the Approved Uses are under the control of Grantee, except to the extent they are limited by statute, rule or regulation and the expressed terms of this Agreement. Nothing in this Agreement shall be deemed to constitute approval for Grantee or any of Grantee's employees or agents, to be the agents or employees of City. Grantee shall have the responsibility for and control over the means of performing the Approved Uses, provided that Grantee is in compliance with the terms of this Agreement. Anything in this Agreement that may appear to give City the right to direct Grantee as to the details of the performance or to exercise a measure of control over Grantee shall mean only that Grantee shall follow the desires of City with respect to the results of the Approved Uses. 8. PROHIBITION AGAINST TRANSFERS Grantee shall not assign, sublease, hypothecate or transfer this Agreement or any of the services to be performed under this Agreement, directly or indirectly, by operation of SERVING PEOPLE IN NEED, INC. Page 4 law or otherwise without prior written consent of City. Any attempt to do so without written consent of City shall be null and void. 9. NOTICES 9.1. All notices, demands, requests or approvals to be given under this Agreement shall be given in writing and conclusively shall be deemed served when delivered personally or on the third business day after the deposit thereof in the United States mail, postage prepaid, first class mail, addressed as hereinafter provided. 9.2. All notices, demands, requests or approvals from Grantee to City shall be addressed to the City at: Attn: City Manager City of Newport Beach 100 Civic Center Drive P.O. Box 1768 Newport Beach, CA 92658-8915 9.3. All notices, demands, requests or approvals from City to Grantee shall be addressed to Grantee at: Attn: Jean H. Wegener Serving People in Need, Inc. 151 Kalmus Drive, Ste. H-2 Costa Mesa, CA 92626 10.TERMINATION 10.1. Termination for Cause. Grantee shall be in default if Grantee fails or refuses to perform any duty required by the Agreement or performs in a manner inconsistent with the terms, conditions and restrictions in this Agreement. In such event, City shall give Grantee, thirty (30) days written notice to cure, if the default can be cured and City shall be entitled to terminate this Agreement if Grantee has not cured the default within the thirty (30) day cure period. City shall be entitled to immediately terminate this Agreement if the default cannot be cured through corrective action. If terminated for cause, Grant Funds shall be returned to the City pursuant to Section 5. This Agreement is made on an annual basis, and as such is subject to non -renewal at its termination. 10.2. Termination without Cause. City may terminate this Agreement at anytime with or without cause upon seven (7) days written notice to Grantee, any remaining Grant Funds in Grantee's possession at the time of termination shall be returned to City pursuant to Section 5. 10.3. Specific Performance. Grantee agrees that the City has the legal right, and all necessary conditions have been satisfied, to specifically enforce Grantee's obligations pursuant to this Agreement. SERVING PEOPLE IN NEED, INC. Page 5 11. STANDARD PROVISIONS 11.1. Recitals. City and Grantee acknowledge that the above Recitals are true and correct and are hereby incorporated by reference into this Agreement. 11.2. Compliance With all Laws. Grantee shall at its own cost and expense comply with all statutes, ordinances, regulations and requirements of all governmental entities, including federal, state, county or municipal, whether now in force or hereinafter enacted. 11.3. Waiver. A waiver by either Party of any breach, of any term, covenant or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant or condition contained herein, whether of the same or a different character. 11.4. Integrated Contract. This Agreement represents the full and complete understanding of every kind or nature whatsoever between the parties hereto, and all preliminary negotiations and agreements of whatsoever kind or nature are merged herein. No verbal agreement or implied covenant shall be held to vary the provisions herein. 11.5. Conflicts or Inconsistencies. In the event there are any conflicts or inconsistencies between this Agreement and the Grant Proposal or any other attachments attached hereto, the terms of this Agreement shall govern. 11.6. Interpretation. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of the Agreement or any other rule of construction which might otherwise apply. 11.7. Amendments. This Agreement may be modified or amended only by a written document executed by both Grantee and City and approved as to form by the City Attorney. 11.8. Severability. If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect. 11.9. Controlling Law And Venue. The laws of the State of California shall govern this Agreement and all matters relating to it and any action brought relating to this Agreement shall be adjudicated in a court of competent jurisdiction in the County of Orange, State of California. 11.10. Equal Opportunity Employment. Grantee represents that it is an equal opportunity employer and it shall not discriminate against any contractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age or any other impermissible basis under law. 11.11. No Attorney's Fees. In the event of any dispute or legal action arising under this Agreement, the prevailing party shall not be entitled to attorney's fees. SERVING PEOPLE IN NEED, INC. Page 6 11. 12. Counterparts. This Agreement may be executed in two (2) or more counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument. [SIGNATURES ON NEXT PAGE] SERVING PEOPLE IN NEED, INC. Page 7 IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: z By: Aa�4ney Harp o3 Cit ATTEST: Date: BrownLeilani 1. City Clerk �)i P LlI-I FOR Attachment: Exhibit A: Grant Proposal CITY OF NEWPORT BEACH, A California municipal corporation Date: 5 ( 1 I p By: �- Dave iff City Manager GRANTEE: Serving People in Need, Inc., a California nonprofit corporation Date: : uoe emn Chi f Exec e Officer - Mffi7een Flanagan Chi4f Financial Officer [END OF SIGNATURES] SERVING PEOPLE IN NEED, INC. Page 8 Exhibit A Grant Funds shall be expended solely to assist Newport Beach residents who are homeless or low-income and in crisis, with rental assistance, food, gas or bus coupons to get to employment, clothing from our Clothes Closet and hygiene items. No Grant Funds may be used to fund any political activities. SERVING PEOPLE IN NEED, INC. A-1 CITY OF NEWPORTCommunity - •. Application for pnl� Applicant Information Name of Applicant Organization: d 0t- Serving People In Need, Inc. CITY �r Applicant Representative Contact Information: Applicant First Name Last Name Jean Wegener Title / Affiliation: Executive Director Full Address of Organization: 151 Kalmus Drive, Suite H-2, Costa Mesa, CA 92626 Phone Email 714-751-1101, ext. 12 1 jeanw@spinoc.org Type of Entity (indicate one): Nonprofit (List type) Community! Neighborhood School 501 (c) 3) Other? Entity Address (if different from applicant): Name of Program or Service: Guided Assistance to Permanent Placement Housing Program (GAPP) Type of Program or Service offered to Newport Beach residents: Rental assistance, move-in costs to housing, food, bus passes and suppport services for low-income and homeless families with children and individuals. Have you previously received City support for this or a similar program or activity? YES X NO If yes, please list the programs(s), year(s) and amount(s): GAPP Housing Program: CDBG, 2014-2015,$14,000 Human Services Awards: Received from the GAPP Housing Program, CDBG, 2013-2014, $14,000 Council since 2008. Substance Abuse Program: CDBG, 2012-2013, $10,000 Substance Abuse Program: CDBG, 2011-2012 $9,246 Number of Newport Beach residents participating or receiving services within past year. (Specify numbers by type of service.) Rental Assistance: 15 families, Food: 279 individuals, utilities: 9, prescriptions: 4 individuals , gas coupons related to employment: 31 individuals, bus coupons related to employment: 7 individuals, hygiene items: 78 individuals Percentage of this program devoted or utilized by Newport Beach residents: 5% Total annual fundraising/donations/sponsorships received by your organization: $1,165,316 Brief description of program or activity for which you are seeking a grant: SPIN provides move-in costs to housing, rental assistance, individualized case management and support services to homeless and low-income families with children and has maintained a 90% of higher (96% currently) success record in assisting families to be able to maintain housing after successfully exiting SPIN's programs. (Success percentages are from an independent study comparing 108 housing programs in Orange County and SPIN'S database) Explain how your program or activity serves, involves or engages Newport Beach residents (150- word maximum): SPIN works closely with churches, the Interfaith Shelter Network and other outreach programs within the City of Newport Beach. Some of the groups we work with are: Our Lady Queen of Angels, St. Andrew's, Helping Hands, Oasis, the Interfaith Shelter Network, etc. Our goal is to assist Newport residents who are in crisis and need assistance with rent, food, bus coupons, gas cards, hygiene items, clothing, etc. SPIN was founded in Newport Beach and had 1,293 volunteers in 2015 for its programs, the majority of whom are Newport Beach residents. The request for City of Newport Beach support must include a list of other Yes No City entities, groups or programs (e.g., CDBG,, Discretionary Funds, Special Event grants, etc.) from which the applicant is seeking financial support. Are you seeking support from other City entities? X If you answered yes above, please list the entitles or groups and the amount of financial support requested from each: United Way FACES grant: $100,000 Received Foundation Grants: $115,000 Received Government Grants: $410,314 Awarded National Charity League of Newport-Mesa: $5,000 Recveived Individual Program Donations: $5,000 Received received last year (FY 15 - (if any): $ 5,000 Amount of financial assistance requested FY 16-17: $ 5,000 of how the FY 16-17 grant money would be spent: Funds from the FY 2016-2017 would be used to assist Newport Beach residents who are homeless or low- income and in crisis with rental assistance, food, gas or bus coupons to get to employment, clothing from our Clothes Closet and hygiene items. Separate from the grant funds, referrals will be made to other services that may be needed. As your organization's representative, please below. and type your name X I acknowledge that submission of this application does not guarantee that my organization will receive City support. r , Name: Jean H. Wegener W� K- -,7- Attach event budget and submit the completed application no later than Monday, October 13, 2016 at 4 p.m.