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HomeMy WebLinkAboutContracts & Agreements_94-2009CITY OF ECONOMIC DEVELOPMENT REDEVELOPMENT NEIGHBORHOOD HOUSING TO: Lorrie Poyzer, City Clerk FROM: Josefina Aguilar, Redevelopment Project Mana er DATE: August 26, 2009 r SUBJECT: CDBG Separation Agreement and Transfer of Funds Enclosed is a copy of the executed CDBG Separation Agreement and joint resolution between the County and the City of Redlands for the official records. Please contact me if you have any questions or require additional information. REDEVELOPMENT DEPARTMENT 210 E. Citrus Ave, P.O. Box 3005, REDLANDS, CA 92373 (909) 335-4755 - FAX (909) 792-8715 DEPARTMENT OF COMMUNITY DEVELOPMENT AND HOUSINGrrh,ItWM 290 North D Street, Sixth Floor - San Bernardino, CA 92415-0040 - (909) 388-0800 Fax (909) 388-0858 August 25, 2009 Ms. Josefina Aguilar Redevelopment Project Manager City of Redlands P.O. Box 3005 Redlands, CA 92373 RE: TRANSFER OF FUNDS UNDER 24 CFR 570.510 Dear Ms. Aguilar: COUNTY OF SAN BERNARDINO Mitch Slagerman, Director RECEIVED AUG 2 g 2009 Enclosed is a copy of the executed Community Development Block Grant (CDBG) Separation Agreement and joint resolution between the County and the City of Redlands to allow the City to separate from the County's CDBG Entitlement Program and to allow HUD to transfer $645,871.47 in unexpended County CDBG funds to the City's Letter of Credit. The Separation Agreement meets the required criteria for a legally binding agreement as identified in 24 CFR 570.510, "Transferring projects from urban counties to metropolitan cities". In addition, we have also enclosed a copy of the letter to the Department of Housing and Urban Development, on behalf of the County of San Bernardino, that requests the transfer of these funds to the City of Redland's, "Letter of Credit". Please contact me if you require additional information. I can be reached at (909) 388-0808. Sincerely, YAN ANDERSON Interim Supervising CDH Analyst BA/JH/CB Attachments Board at Supervisors MARK H. UFFER BRAD MITZELFELT .. . First District NEIL DERRY . . County Administrative Officer PAUL BIANE .. Second District GARY C. OVITT, Chair ..... .. Third District JOSiE GONZALES, Vice Chair.. .. Fifth District . . . . Fourth District DEPARTMENT OF COMMUNITY DEVELOPMENT AND HOUSING 290 North D Street, Sixth Floor - San Bernardino, CA 92415-0040 - (909) 388.0800 Fax (909) 388-0858 August 10, 2009 Mr. Chin Woo Choi, CPD Program Manager HUD -LA Field Office 611 W. 6th Street, Suite 1000 Los Angeles, CA 90017 RE: TRANSFER OF FUNDS UNDER 24 CFR 570.510 Dear Mr. Choi: . BERNARDINO DirectorMitch Slagerman, We are respectfully requesting that under the provisions of 24 CFR 570.510, the Department of Housing and Urban Development (HUD) transfer $645,871.47 in Community Development Block Grant (CDBG) funds from the County of San Bernardino's "Letter of Credit" to the City of Redlands "Letter of Credit". Enclosed is a copy of the executed Community Development Block Grant (CDBG) Separation Agreement and joint resolution between the County and the City of Redlands to allow the City to separate from the County's CDBG Entitlement Program and to allow HUD to transfer $645,871.47 in unexpended County CDBG funds to the City's Letter of Credit. The Separation Agreement meets the required criteria for a legally binding agreement as identified in 24 CFR 570.510, "Transferring projects from urban counties to metropolitan cities". In addition, we have also enclosed an official Record of Action that authorizes the Department of Community Development and Housing, on behalf of the County of San Bernardino, to submit the written request to your office for the transfer of funds. We would appreciate it if your office could transfer the unexpended County CDBG funds to the City's Letter of Credit by September 30, 2009. Please contact me if you require additional information in order to process this request. I can be reached at (909) 388-0808. Sincesely MITCH Director MS/JH/CB Attachments cc: Daphne L. Nisperos-Wang, Senior CPD Representative Board of Supervisors MARK H. UFFER BRAD MITZELFELT ... . First District NEIL DERRY Third District County Administrative Officer PAUL BIANE .. Second District . . . . . . GARY C. OVITT, Chair ..... ..... . ..... Fourth District JOSIE GONZALES, Vice Chair.. . , ... ... Fifth District REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS OF SAN BERNARDINO COUNTY, CALIFORNIA AND RECORD OF ACTION July 14, 2009 FROM: MITCH SLAGERMAN, Director Department Of Community Development and Housing SUBJECT: AGREEMENT WITH THE CITY OF REDLANDS TO SEPARATE THE CITY FROM THE COUNTY COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM 1. Adopt a JointResolution(Resolution NO. 2009-164) with the City of Redlands (City) to approve the Separation Agreement and to authorize the County to submit a request to HUD to separate the City of Redlands from the County Community Development Block Grant (CDBG) program and transfer unexpended CDBG funds to the City's letter of credit. 2. Approve the CDBG Separation Agreement (Agreement No. 09-705) with the City of Redlands to separate the City from the County CDBG program and allow the U.S. Department of Housing and Urban Development (HUD) to transfer $645,871.47 in unexpended County CDBG funds to the City's CDBG letter of credit. 3. Direct staff to submit the Separation Agreement and Joint Resolution to HUD along with a request to HUD to approve and process the separation and transfer transaction, including preparation of necessary grant agreement documents. 4. Authorize the Chairman of the Board of Supervisors to sign a HUD -supplied grant agreement and any subsequent related documents required to remove the $645,871.47 of County CDBG funds from the County's CDBG letter of credit. (Affected District: Third) (Presenter: Mitch Slagerman, Director, 388-0808) Each year the County of San Bernardino receives an entitlement grant under the Community Development Block Grant (CDBG) program to allow the funding of activities that benefit low- and moderate -income persons. The amount of the County's annual CDBG entitlement grant is based on the demographics of its unincorporated communities and cooperating cities. Once a city reaches a Population of 50,000 they may choose to maintain a separate CDBG program and receive direct HUD funding. HUD refers to these cities as "Metropolitan Cities." Although the City of Redlands achieved Metropolitan City status some time ago, they agreed to continue participation in the County's CDBG program. On February 11, 2008, the City of Redlands advised the Department Of Community Development and Housing (CDH) that effective July 1, cc: CIDI-1-Slagerman w/3 agrees & resos City C/o CDH w/agree & resolution ACR-Accts Payable Mgr w/agr & reso EBIX-BPO c/o Risk Mgmt w/agr & reso CDH-Anderson CDH-Milian CO. Counsel-Blakemore CAO-Valdez File w/agree ed 7/29/09 ITEM 044 Rea 070OR1 Page I of 2 Supervisors LM - 71`SKA_BEM1ARDI Nit; AND CITY OF REDLANDS COUNTY RESOLUTION No. 2009-164 CITY RESOLUTION NO. 6848 A JOINT RESOLUTION AUTHORIZING A REQUEST I TO THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) FOR SEPARATION AND TRANSFER OF COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS TO THE CITY OF REDLANDS LETTER OF CREDIT On Tuesday July 14 2009, on motion of Supervisor Biane duly seconded by Supervisor Derry and carried, the following resolution is adopted by the Board of Supervisors of San BernirdinQ County, State of California. WHEREAS, the County of San Bernardino under a Cooperative Agreement, was authorized to accept Community Development Block Grant (CDBG) funding on the behalf of the City of Redlands; and, WHEREAS the City of Redlands is a Metropolitan (entitlement) City eligible to administer its own CDBG funds directly through the Department of Housing and Urban Development (HUD); and, WHEREAS, on July 1, 2009, the City of Redlands will begin receiving its CDBG allocation directly from HUD; and, WHEREAS, the County of San Bernardino has $645,871.47 of City unspent CDBG funds from past years for the purpose of completion of eligible projects within the City of Redlands; and, WHEREAS, the City will be unable to expend the $645,871.47 held by the County of San Bernardino by June 30, 2009; and, WHEREAS, it is necessary to transfer the funds from the County of San Bernardino to the City of Redlands in order to implement the separation and transfer of funds and obligations; and, WHEREAS, the City Council , of Redlands has adopted its Resolution No. , 6a48 on June 22-2009. NOW, THEREFORE BE IT RESOLVED, that the County Board of Supervisors and City Council of the City of Redlands approves the Agreement for the separation and transfer of $645,871.47 in unspent CDBG funds. This Joint Request shall accompany a duly executed agreement in a submission by the County of its separation and transfer request to HUD. PASSED AND ADOPTED by the Board of Supervisors of the County of San Bernardino, State of California, by the following vote: AYES: SUPERVISORS NOES: SUPERVISORS: Mitzelfelt, Biane, Derry, Ovitt, Gonzales None ABSENT: SUPERVISORS: None STATE OF CALIFORNIA ) ss COUNTY OF SAN BERNARDINO ) 1, DENA M. SMITH, Clerk of the Board of Supervisors of the County of San Bernardino, State of California, hereby certify the foregoing to be a full, true and correct COPY of the record of the action taken by the Board of Supervisors, by vote of the members present, as the same appears in the Official Minutes of said Board at its meeting of July 14 2009. APPROVED AS TO FORM RUTH E. STRINGER County Counsel By: Lee,— MICHELL EMORE Principal Assi nt ounty Counsel for CDH Date:-- S'-6 f PASSED AND ADOPTED this 22nd day of June 2009, by the following vnt#4- rtb: NOES: ABSENT: CITY OF REDLANDS APPROVED AS TO FORM: CITY ATTORNEY By: DANIEL J. MCHU H COUNCILMEN: COUNCILMEN: COUNCILMEN: Gilbreath, Gallagher, Aguilar, Bean; Mayor Harrison None None J 01N7 i R . �RISO Mayor ATTEST: CITY CLERK By: OFAT POY County of San Bernardino FAS CONTRACT TRANSMITTAL CONTRACTOR City of Redlands Federal ID No. or Social Security No. 95-6000766 Contractor's Representative Address - P.O. Box,3005, Redlands, CA 92373 Nature of Contract: FOR COUNTY I 1.4zic nilit v Phone (909) 798-7591 This contract, between the County of San Bernardino and City of Redlands, provides, for the transfer of $645,871.47 of Community Development Block Grant (CDBG) funds from the County's letter of credit; Each year the County receives an entitlement grant under the CDBG program to � I I ow the funding ", ,City of Redlands' letter of credit. p_ of activities that benefit low- and moderate -income persons. The amount of the County's CDBG entitlement grant is based on the demographics of its unincorporated communities and cooperating citi6s.Once a city reaches a Population of 50,000, they may choose to maintain their separate CDBG program and t',eceiVeo direct U.S. Department of Housing and Urban Development (HUD) funding. HUD refers to these cities"a-S W I etropolitan Cities". Although the City of Redlands achieved Metropolitan City status some time ago, they agreed to tontinue participating in til�e 6 n,ty's,.CDBG Program. On February 11, 2008, the City of Redlands advised the DeTartrnent'6f Community Qey6lop"men't and HQusi I ng (CD . H) that effective July 1, 2009, it will become a separate entitlement jurisdiction. At that time, the City will be e4Jjg'fb'16'to receive CDBG funds directly from HUD. The City, in a letter dated 90iril 28, 2009, has requei* that the County transfer the remaining County CDBG funds, designated for City prol tsj6 the' City's letter of credit: "':,HUD rejulifioiis under 24 CFR 570.510 permit the requests of separation and transfer of thiE°CDBG funds. The xtlo . ... ..... .. tl of,the contract and resolution will authorize the separation and transfer of funds. The attached contract consists o, o pages as t"al Fo�sign in blue ink) 10- NeVIeWed as to Contract Compliance Pro ► a*af t Date Date le)612YI ,09 ­0MI U I let TL "T I Date • AugY �rlcontroLle_r-_Re�z_oLdmr Use On I n Contract Database 0 Input Date Keyed By COMMUNITYi. BLOCK•a PROGRAM SEPARATION AND a w OF CDBG FUNDS a • EEMENT WITH CITY OF This Agreement is made and entered into, by and between the County of San Bernardino of the State of California, hereinafter referred to as "COUNTY", and the City of Redlands, a city within COUNTY, hereinafter referred to as "CITY". WITNESSETH WHEREAS, there has been enacted into law, Public Law 93-383, the Housingand Community Development Act of 1974 (Act), the primary objective of which is the development of viable urban communities by providing federal assistance for community development activities in urban areas; and, WHEREAS, COUNTY is an "Urban County" as that term is used in the Act, and is authorized to apply for and accept Community Development Block Grant (CDBG) program (CFDA No. 14.218) funds with respect to its unincorporated territory and with respect to included units of general local government to undertake or assist in the undertaking of essential community development and housing assistance activities; and, WHEREAS, CITY is a unit of general local government located within the territorial boundaries of the COUNTY; and, WHEREAS, on June 21, 2005, CITY and COUNTY entered into a Cooperative Agreement, No. 05-539, for submission of a proposal to the Department of Housing and Urban Development, hereinafter referred to as (HUD), for the period July 1, 2006 to June 30, 2009; and, WHEREAS, pursuant to that Cooperative Agreement, COUNTY currently retains $645,871.47 of COUNTY CDBG funds in its letter of credit that was allocated to CITY priority need projects during the period of July 1, 2006 to June 30, 2009; and, WHEREAS, CITY qualifies as a Metropolitan City and CITY has accepted entitlement status which, beginning July 1, 2009, enables it to receive CDBG funds directly from HUD and to carry out CDBG-funded activities outside the Urban County; and, WHEREAS, CITY does not expect to complete CDH project No. 111-3211112906, ADA Curb, Ramps and Sidewalk Improvements in Target Area, hereinafter referred to as "PROJECT" prior to June 30, 2009, to be reimbursed by COUNTY from those funds; and, WHEREAS, the parties desire the project be implemented by the CITY; and, WHEREAS, CITY has requested the transfer of the $645,871.47 in CDBG funds from the Urban County to the City of Redlands; and, WHEREAS, CITY and COUNTY agree to transfer responsibility for administration of funds being transferred from the COUNTY's letter of credit to the CITY's letter of credit, as authorized by CDBG regulation 24 CFR 570.510. NOW iwconsiderationof the mutual benefits to be derived therefrom, the parties agree as follows: covenants herein set forth and the mutual A. COUNTY and CITY agree to the separation and transfer of $645,871.47 Of CDBG funds between COUNTY and CITY, as provided for in CDBG regulations 24 CFR 570.510. Said transfer of CDBG funds from COUNTY letter of credit and the subsequent transfer of said CDBG funds to CITY letter of credit shall occur by June 30, 2009, or when completed by HUD. B. CITY will use the transferred funds to design and construct PROJECT, upon completion of environmental processing pursuant to the National Environmental Policy Act, or CITY may reallocate the transferred funds in accordance with 24 CFR 91 to one or more projects that a eligible types of CDBG activities and that meet one of the CDBG national objectives, as prescribed in 24 CFR 570.208. j re C. COUNTY has responsibility for all expenditures and un-liquidated obligations associated with PROJECT before the time of said separation and transfer of CDBG funds, and COUNTY shall remain responsible for all audit and monitoring findings associated with those expenditures and obligations even after said separation and transfer. D. CITY has the responsibility for all other audit and monitoring findings after the transfer of said CDBG funds to CITY letter of credit. E. Program income, if any, generated from activities carried out with the transferred funds shall revert to the CITY CDBG program and be used for one or more eligible types of CDBG activiti that meet at least one of the CDBG national objectives. es F. CITY has the responsibility Of complying with any and all other provisions of the CDBG program, as may be required by HUD. TRANSFER OF FUNDS FROM COUNTY TO CINUBG PROJECT UPON SEPARATION AN[ A. WORK TO BE PERFORMED; CITY shall implement PROJECT described in Attachment "A" hereof (entitled "Scope of Work" fully in accordance with the terms of the 2006-2007 CDBG Action Plana ) pproved y the COUNTY and submitted to HUD in application for funds to carry out PROJECT anbd the certifications which were submitted concurrently with said Action Plan. The COUNTY 2006-2007 CDBG Action Plan and Certifications form is hereby incorporated b reference into this contract fully as if set forth herein. y CITY shall also undertake the same obligations to COUNTY that COUNTY has undertaken to HUD pursuant to said Action Plan and Certifications. CITY shall hold COUNTY harmless against indemnity for any claims, damages or losses that it may suffer with respect to HUD on account of any failure on part of CITY to Comply with the requirements of any such obligation. CITY and COUNTY each agrees to cooperate with the other to the extent necessary to complete the separation of funds pursuant to this Agreement Each agrees to participate with the other to the extent necessary in the event of any HUD -conducted audit. rt B. COMPLIANCE WITH LAWS: All parties agree to be bound by applicable federal, state and local laws, ordinances, regulations and directives as they pertain to the performance of this Contract. This Contract is subject to and incorporates the terms of the ACT; 24 Code of Federal Regulations, Part 570, Chapter V and; U.S. Office of Management and Budget Circular A-87. C. TERM: This Contract shall commence when executed by the parties and shall continue in effect until terminated as Provided herein or until CITY fully carries Out its obligations under this Contract, D. INDEMNIFICATION: CITY agrees to indemnify, defend (with counsel reasonably approved by COUNTY) and hold harmless COUNTY and its authorized officers, employees, agents and volunteers from any and all claims, actions, losses, damages, and/or liability arising out of this Contract from and cause whatsoever, including the acts, errors or omissions of any person and for any costs or expenses incurred by COUNTY on account of any claim therefore, except where such indemnification is prohibited by law. This indemnification provision shall apply regardless of the existence or degree of fault of indemnities. CITY shall indemnify, defend and hold harmless COUNTY and its respective authorized officers, employees, agents and volunteers from any liability, claims, losses, demands, and actions incurred by COUNTY as a result of the determination by HUD or its successor that activities under taken by each of CITY under the Program(s) fail to comply with any laws, regulations or Policies applicable thereto or that any funds billed by and disbursed to CITY under this Contract were improperly expended. This Section D shall survive the termination of this Contract. E. AMENDMENTS: VARIATIONS This writing with attachments embodies the whole of this Contract of the parties are no oral Contracts contained herein. Except as herein provided, additions rti hereto. The re or variations of the terms of this Contract shall not be valid unless made in the form of a written Contract formally approved and executed by the parties. amendment to this F. NOWAIVER: No failure, inaction, neglect or delay by COUNTY in exercising any of its rights under this Contract shall operate as a waiver, forfeiture or abandonment of such rights or any other rights under this Contract. G. NOTICE: Any notice or notices required or permitted to be given pursuant to this Contract shall be personally served by the party giving notice or shall be served by certified mail. Notices shall be sufficient if personally served on or if sent by certified mail, Postage prepaid, addressed to: �COUNTY County of San Bernardino Department Of Community Development and Housing 290 North D Street, Sixth Floor San Bernardino, CA 92415-0040 21a City of Redlands P.O. Box 3005 Redlands, CA 92373 %Z-Zs . IN WITNESS WHEREOF, the parties have caused this Contract to be executed as of the day 2nd year written above. Mm Chairman Date: JUL 14 2009 SIGNED AND CERTIFIED THAT A COPY OF THIS DOCUMENT HAS BEEN DELIVERED TO THE CHAIRMAN OF THE BOARD L--A Date: JUL 14 2009 RUTH E. STRINGER County Counsel By: MICHELLE K MORE Principal Assis nt unty Counsel for CDH Date: 4 -zr-ol By: i HARR N, Mayor 9w Date: June 22, 2009 ATTEST: By: LOR E POYZ it Clerk' By: DANI L J. MCHLrVH, City Attorney ATTACHMENT A PRO JECTIACTIVITY TITLE: Redlands: ADA Curb Ramps and Sidewalk Improvements in Target Area ACTIVITY LOCATION: Various Locations in the City of Redlands CDBG Target Areas ACTIVITY DESCRIPTION- This Project consists of the design and construction of handicapped - accessible �curb, ramp, sidewalk and driveway approaches in various locations in the City of Redlands CDBG target areas. ESTIMATED TIME SCHEDULE: p CITY will make all good faith and reasonable efforts to implement the project in compliance with the following estimated implementation schedule, or earlier: Project Completion: 24 months from date of transfer of funds ESTIMATED BUDGET: CITY shall make all good faith and reasonable efforts to complete the work under this Contract within the following estimated budget. In no case shall CITY be entitled to, or shall COUNTY provide CITY with more than $645,871.47 for work performed under this Contract.