HomeMy WebLinkAboutC-8281-4A - Community Programs Grant Agreement FY 17-18T
GRANT AGREEMENT
BETWEEN THE CITY OF NEWPORT BEACH AND
v SOMEONE CARES SOUP KITCHEN
This Grant Agreement ("Agreement") is entered into this 2nd day of January, 2018
("Effective Date"), by and between the City of Newport Beach, a California municipal
corporation and Charter City ("City"), and SOMEONE CARES SOUP KITCHEN, a
California nonprofit corporation located at 720 W. 19th Street, Costa Mesa, California
92627 ("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 allows 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 the residents' quality of life.
B. Grantee requested a grant from the City for Fresh foods, such as fruits/ vegetables,
meats/poultry, milk, in addition to paper goods, and a steam table to serve the hot
food out of ("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 Council approved a grant in the amount of Five Thousand Dollars and
00/100 ($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 Dollars
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.
Someone Cares Soup Kitchen Page 1
2. TERM
The term of this Agreement shall commence on the Effective Date and shall
continue in full force and effect until June 30, 2018, unless terminated earlier as provided
herein.
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
Someone Cares Soup Kitchen Page 2
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).
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 and with the ordinary degree of skill and care that would be used
by other reasonably competent practitioners of the same discipline under similar
circumstances.
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.
Someone Cares Soup Kitchen Page 3
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.
5. USE OF GRANT FUNDS
5.1. 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, 2018, Grantee shall notify the City in writing,
and shall be obligated to return the Grant Funds to City within thirty (30) days.
5.2. The City's grant contribution shall only be used for non -secular purposes.
Grantees shall not use the City's grant contribution, or any portion thereof, for any purpose
that violates local, state, or federal law, including, but not limited to, the Establishment
Clause.
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
Someone Cares Soup Kitchen Page 4
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 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: Shannon Santos
Someone Cares Soup Kitchen
720 W. 19th Street
Costa Mesa, CA 92627
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.
Someone Cares Soup Kitchen Page 5
10.2. Termination without Cause. City may terminate this Agreement at any time
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.
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.
Someone Cares Soup Kitchen Page 6
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.
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]
Someone Cares Soup Kitchen Page 7
IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed
on the dates written below.
APPROVED AS TO FORM: CITY OF NEWPORT BEACH,
CITY ATTORNEY'S OFFICE A California municipal corporation
Date: IL/4.41 Date: "2_jir;1\j
By: By:
A C. H p LJAa.,+ Dav
City Attorne C "z' City Manager
ATTEST: /T ��
Date:
By: h4m�4'
-
Leilani I. Brown
City Clerk
Attachment: Exhibit A: Grant Proposal
GRANTEE: SOMEONE CARES SOUP
KITCHEN, a California nonprofit
corporation
Date: Z 3 1 j(,
By:
Teri Hatleberg
Chief Executive Officer
Date: / 23 /
By:
Dan Hamilton
Chief Financial Officer
[END OF SIGNATURES]
Someone Cares Soup Kitchen Page 8
Exhibit A
Grant Funds shall be expended solely for the purchase of Fresh food — such as
fruits/vegetables, meats/poultry, milk, in addition to paper goods to serve the meat on and
for the purchase of a steam table to serve the hot food out of. No Grant Funds may be
used to fund any political activities.
Someone Cares Soup Kitchen Page A-1
• • .IT-ORME'ITPORT BEACH
ProgramsCommunity
Applicant Information
Name of Akr
cant Organization:
�— YOh� CC e- S 5GUApplicant
esentative Contact Information:First
NamI �,Last Name
Title / Affiliation:
Full Address of Organization:
AZO Us, �a s.., �• U OY- 1 t2� =
Phon
a 54g �S10
E ail �,_
S ccnrlor� �'scme�,necc�reskitzd�eil,oPAJ
pe of Entity (indicate one):
nprofit (List type) Community / Neighborhood School
rEntiry
e �- �� I ` r� Other?
ddress (if different frorrf applicant):
Name of Program or Service:
Somcqnc. Lx -res P -un e4-
Type of Program or Service offered to -Newport Beach residents:
ff Y fs I o -I .C,Se- ex{�ri' r)c t )1Un ��' �'r �i�iti SCrzrc;�{�,
Have you previously received City support for this or a similar program or activity?
YES NO
s, please list the programs(s), year(s) and amount(s):
2010 — 14under-yt.1 i 0 rrognlc n -A 4)cvt
ZC111 - N-ur1Tr-relief pra ur-g 5/M
Number of Newport Beach residents participating or receiving services within past year. (Specify
numbers by type of service.)
bei en o P,—x
Percentage of this program devoted or utilized by Newport Beach residents:
�See cncO o rc. - S+ejr) �0 Z
Total annual fundraising/donations/sponsorships received by your organization:
i 4 q4, W, �7
Brief description of program or activity for which you are seeking a grant:
See -5+em -A,3
Explain how your program or activity serves, involves or engages Newport Beach residents (150 -
word maximum):
See �clC r -�kem 4
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?
If you answered yes above, please list the entities or groups and the amount of financial support
requested from each:
(if any): $
assistance
last year (FY 16-17) from the City of Newport
From +h -c Ci I� C� PJ fir, t e/eac h
U I (, ummvffi r �o rcur�s tir E � mcc-�
Amount of financial assistance requested FY 17-18: $ - I/ TL
lha.rllL y)) (M ct(wpcp-, fes' yivr t)uVTt4u I Wh
A detailed description of how the FY 17-18 grant money would be -spent.'
W �'fi i I i ivc1'ti iretli�C he
-sh2r�s,u (L5 lywcd-S/ Pvu)fri
Milk' i h OA c -h c-71 - e p(gae r. L,jj 5 h, sert,,L *ie,
011 _ Ilii S i S gi-W �A %qck Ccgr NYe Leri hca-t h 1'he UF -d
tuE owe l,/K- c cs,Piv k, r>f-(�d e4 a 5U -,am
ku i t hat L-wA (4. Lus#- (-tr -11-1i s 1'5 A
As your organization's representative, please check the box below and type your name in the line
bellow.
VI acknowledge that submission of this application does not guarantee that my organization
VO receive City support.
Name_
Attach event budget and submit the completed application no later than Monday, November 13,
2017 at 12 p.m.
I
It
ITEM 41—
Brief description of program or activities for which you are seeking a grant:
For 30 years, Someone Cares Soup Kitchen's mission is to be servants in the community working
towards eliminating hunger and educating the next generation. We are committed to feeding
the body, mind, and spirit. Someone Cares consists of two primary services, a soup kitchen and
a tutoring program, as well as an abundance of support services. In collaboration with our
community partners, we assist individuals in obtaining health care services, shelter and
housing, legal aid, employment, financial aid, emergency services, domestic violence
counseling, and drug and alcohol recovery services. Someone Cares Soup Kitchen addresses a
significant need to our communities by providing daily meals, tutoring services, and referrals.
ITEM N2 —
Explain how your program or activities serves, involves or engages Newport Beach residents:
Someone Cares believes that no one should go to bed hungry on the street or otherwise,
therefore, we target the needy individuals residing in Costa Mesa and our community
neighbors to receive meals. Many of these individuals are homeless, though we also serve
many low-income families and senior citizens that cannot afford regular meals on their fixed
income. We are unique in this respect. Unlike government -funded food programs, we serve any
person that approaches us for a meal, and we do so without requiring them fill out any forms or
prove that they meet any particular residential qualifications, but simply, serve those who
appear at our doorstep in need of a warm meal. We are thoughtful and engaging and know that
it takes more than just a meal to change the destiny of our guests, and that with a holistic
approach they have a better chance to become self-sufficient and viable members of the
community.
ITEM #3—
Brief description of program or activities for which you are seeking a grant:
For 30 years, Someone Cares Soup Kitchen's mission is to be servants in the community working
towards eliminating hunger and educating the next generation. We are committed to feeding
the body, mind, and spirit. Someone Cares consists of two primary services, a soup kitchen and
a tutoring program, as well as an abundance of support services. In collaboration with our
community partners, we assist individuals in obtaining health care services, shelter and
housing, legal aid, employment, financial aid, emergency services, domestic violence
counseling, and drug and alcohol recovery services. Someone Cares Soup Kitchen addresses a
significant need to our communities by providing daily meals, tutoring services, and referrals.
ITEM 44 —
Explain how your program or activities serves, involves or engages Newport Beach residents:
Someone Cares believes that no one should go to bed hungry on the street or otherwise,
therefore, we target the needy individuals residing in Costa Mesa and our community
neighbors to receive meals. Many of these individuals are homeless, though we also serve
many low-income families and senior citizens that cannot afford regular meals on their fixed
income. We are unique in this respect. Unlike government -funded food programs, we serve any
person that approaches us for a meal, and we do so without requiring them fill out any forms or
prove that they meet any particular residential qualifications, but simply, serve those who
appear at our doorstep in need of a warm meal. We are thoughtful and engaging and know that
it takes more than just a meal to change the destiny of our guests, and that with a holistic
approach they have a better chance to become self-sufficient and viable members of the
community.
Cash Basis Someone Cares Soup Kitchen
Profit & Loss Budget vs. Actual
July 2014 through June 2015
Ordinary Income/Expense
Income
5010.01
4000 Contributions
5010-02
4000-01
- Companies/Corporations
4000-02
Anniversary Celebration
4000-03
- Holiday LetterS
4000-04
- Individual
4000-06
- Grants
4000-07
- Other Events
4000-08
Board Corporate Sponsor
4000-10 -
Friendship Campaign
4000-11
Newletter/Plea Letter
Total 4000 - Contributions
Total Income
Gross Profit
Expense
Bank Service Charges
Uncatagorized Expenses
5000 Employee
5000-01 • Direct Wages
5000-02 - Volunteer Mgmt & Recognition
5000-03 • Casual Labor
5000-04 - Health Insurance
5000-05 - Dental Insurance
5000-06 - Payroll Taxes
5000-08 - Workers Compensation
5000-09 Paychex Payroll Fees
Total 5000 Employee
6
`fe�S1
k'n
�
01 et
5010 Kitchen
5010.01
- Automobile
5010-02
- Equipment
5010-03
Food & Spices
5010-06
- Large Delivery
5010-07
Janitorial Supplies
5010-08
- Paper Goods
Total 5010 -
Kitchen
5020 Tutoring
5020-02 - Technology
5020-03 - Tutoring Supplies
APPROVED BUDGET 2017-2018
60,000
130,000
25,000
70,000
170,000
20,000
3,000
50,000
528,000
290,000
700
1,750
34,800
2,700
23,000
10,800
4,700
368,450
10,000
500
18,000
4,500
4,000
37,000
500
100
Page 7 of 9
Cash Basis Someone Cares Soup Kitchen
Profit & Loss Budget vs. Actual
July 2014 through June 2015
APPROVED BUDGET 2017-2018
Total 5020 Tutoring 600
5030 Guest Services
5030-01 - Emergency Relief 1,500
5030-02 - Guest Necessities 1,300
5030-03 Holidays 1,000
Total 5030 Guest Services 3,800
5040 - Facilities
18,000
5040-01 Technology
1,200
5040-02 - Office Equipment
500
5040-03 - Facilities Maintenance & Repair
3,000
5040-04 - Storage
3,240
5040-05 Property Taxes
8,500
Total 5040 Facilities
16,440
5050 - Facility Utilities
5050-01 - Gas & Electric
18,000
5050-02 - Rubbish
8,800
5050-03 Telephone
3,500
5050-04 - Water
2,000
Total 5050 Facility Utilities
32,300
5060 - 5060 Operations
- Events
5060-01 - Bank Service Charges
1,800
5060-02 - Dues & Subscriptions
350
5060-03 - Insurance
6,000
5060-04 - Legal & Accounting
6,000
5060-05 • Licenses & Permits
250
5060-06 - Meetings & Travel
1,000
5060-07 Office Supplies
1,400
5060-08 - Postage
800
5060-09 Professional Development
500
5060-10 - Marketing
600
5060-11 - Loan Fees
5060-12 - Taxes
200
Total 5060 5060 Operations
18,900
5070 Fundraising Expenses
5070-01
- Events
1,000
5070-02
Anniversary Celebration
10,000
5070-03 -
Grantwriting
0
5070-04 -
Printing & Postage
4,000
5070-05
Newsletter/Plea Letter
1,200
Page 8 of 9
Cash Basis Someone Cares Soup Kitchen
Profit & Loss Budget vs. Actual
July 2014 through June 2015
APPROVED BUDGET 2017-2018
Total 5070 Fundraising Expenses 16,200
Total Expense 493,690
Net Ordinary Income 528,000
Other Income/Expense
Other Income
7010 Interest Income
Total Other Income
Other Expense
Interest Expense
Total Other Expense
Net Other Income
Net Income 34,310
Page 9 of 9