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HomeMy WebLinkAboutResolution - 4187 - Agreement - LMHMR Center - Emergency Shelter Funding - 06_24_1993Resolution No. 4187 June 24, 1993 Item #30 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock an Emergency Shelter Funding Agreement between the City of Lubbock and Lubbock Mental Health and Mental Retardation Center. Said Agreement is attached hereto and incorporated in this Resolution as if fully set forth herein and shall be included in the minutes of the Council,----, Passed by the City Council this ATTEST: BettyOM' JdIffton, City Secretary APPROVED AS TO CONTENT: Sandy Og re ousing & Community Developm tAdministrator APPROVED AS TO FORM: Linda L. Chamales, Assistant City Attorney LLC:js/ESFAHHMR.RES DZ-Agenda/June 15, 1993 Resolution No. 4187 June 24, 1993 Item #30 EMERGENCY SHELTER FUNDING AGREEMENT BETWEEN THE CITY OF LUBBOCK AND LUBBOCK REGIONAL MENTAL HEALTH AND MENTAL RETARDATION CENTER JIM KIMMEL CENTER THE STATE OF TEXAS $ COUNTY OF LUBBOCK $ This Agreement is entered into this 24th day of June , 1993, between the City of Lubbock, Texas, (hereinafter called "City") and Lubbock Regional MHMR Center, a nonprofit organization (hereafter called "Grantee"). WHEREAS, the City is obligated to do and perform certain services in its undertaking of an Emergency Shelter Grants Program pursuant to Subpart B of Title IV of the Stewart B. McKinney Homeless Assistance Act (Pub. L.100-77); and WHEREAS, the Grantee is a nonprofit Grantee offering services to the homeless; and WHEREAS, the Grantee and the services it provides have been found to meet the criteria for funding under provisions 576.23(b) of the Emergency Shelter Regulation for Nonprofit Recipients; and WHEREAS, the renovation, major rehabilitation and conversion of facilities for the homeless, provision of essential services for the homeless, and the payment of maintenance, operation (excluding staff), rent, repair, security, fuels, equipment, insurance, utilities and furnishing, developing and implementing homeless prevention activities are fundable by the Department of Housing and Urban Development; and WHEREAS, the provision of shelter and services to the homeless is the predominant purpose of the transaction; continuing supervision by the City together with statutory and contractual requirements provide sufficient assurance that this purpose will be accomplished; and an audit provides sufficient protection of the handling of public money; WHEREAS, the City desires to contract with the Grantee to make available assistance to the Lubbock Regional MHMR Jim Kimmel Center, located at 1210 Texas Avenue, Lubbock, Texas. that: NOW, THEREFORE, it is agreed between the parties hereto 1 I. SCOPE OF SERVICE A. City Responsibilities: 1. City agrees to provide Grantee assistance from Department of Housing and Urban Development funds in an amount not to exceed $25,500.00 in return for Grantee performing the activities set forth in this Agreement as consideration for said funds. 2. It is expressly understood and agreed by the parties hereto that City's responsibilities are contingent upon the actual receipt of adequate federal funds to meet City's liabilities under this agreement. If adequate funds are not available to make payments under this agreement, City shall notify Grantee in writing within a reasonable time after such fact is determined. City shall terminate this agreement and will not be liable for failure to make payments to Grantee under this agreement. 3. City shall not be liable to Grantee for any costs incurred by Grantee, or any portions thereof, which have been paid to Grantee or which are subject to payment to Grantee, or which have been reimbursed to Grantee or which are subject to reimbursement to Grantee by any source other than City or Grantee. 4. City shall not be liable to Grantee for any costs incurred by Grantee which are not allowable costs, as set forth in 24 CFR Sec. 576.21, Subpart B. 5. City shall not be liable to Grantee for any costs incurred by Grantee or for any performances rendered by Grantee which are not strictly in accordance with the terms of this agreement. 6. City shall not be liable to Grantee for any costs incurred by Grantee in the performance of this agreement which have not been billed to City by Grantee within sixty (60) days following termination of this agreement. 7. City shall not be liable for costs incurred or performances rendered by Grantee before commencement of this agreement or after termination of this agreement. 2 B. Grantee Responsibilities: 1. Grantee shall conduct, in a satisfactory manner as determined by City, an Emergency Shelter Grants Program pursuant to Subpart B of Title IV of the Stewart B. McKinney Homeless Assistance Act (Pub. L. 100-77), hereinafter referred to as the Act. 2. Grantee shall perform all activities in accordance with the terms of the Performance Statement, hereinafter referred to as Exhibit A; the Budget, hereinafter referred to as Exhibit B; the Applicable Laws and Regulations, hereinafter referred to as Exhibit C; the assurances, certifications, and all other statements made by Grantee in its application for the project funded under this agreement; and with all other terms, provisions, and requirements set forth in this agreement. 3. Grantee shall submit to City such reports on the operation and performance of this agreement as may be required by City including, but not limited to, the reports specified in this Section I(B). 4. Grantee shall furnish City with monthly financial statements of the project or services being funded under this agreement. Such statements shall contain all the information as may be requested by the Community Development Administrator regarding the performance of the Grantee's activities. 5. Grantee shall submit to City an annual performance report. such reports shall be in a format prescribed by City and shall include the amount of the funds obligated and expended for each of the four categories of eligible activities described in 575.21 Subpart B. The initial annual performance report is required for the period ending December 31 following the execution of this agreement, and is due no later than 10 days after December 31. Grantee must continue to submit this report annually until all emergency shelter grant amounts are reported as expended. 6. In addition to the limitations on liability otherwise specified in this agreement, it is expressly understood and agreed by the parties hereto that if Grantee fails to submit to City in 3 a timely and satisfactory manner any report required by this agreement, City may, at its sole option and in its sole discretion, withhold any or all payments otherwise due or requested by Grantee hereunder. If City withholds such payments, it shall notify Grantee in writing of its decision and the reasons therefor. Payments withheld pursuant to this paragraph may be held by City until such time as the delinquent obligations for which funds are withheld are fulfilled by Grantee. 7. Grantee shall refund to City any sum of money which has been paid to Grantee by City which City determines has resulted in overpayment to Grantee, or which City determines has not been spent by Grantee strictly in accordance with the terms of this agreement. Such refund shall be made by Grantee to City within thirty (30) working days after such refund is requested by City. C. GRANTEE'S MATCH 1. Grantee shall be liable to City for providing an amount of funds equal to the amount of funds provided by City under this agreement for performances hereunder. Such funds must be provided from sources other than under this agreement. This amount shall be referred to hereinafter as Grantee's match. 2. Amounts may be counted toward Grantee's match only if such amounts are costs or resources of a type specified by budget categories delineated in Exhibit B and only if such amounts are computed in accordance with this subsection. In calculating the amount of Grantee's match, Grantee may include the value of any donated material or building; the value of any lease on a building; any salary paid to staff of Grantee in carrying out the activities required under this agreement; and the time and services contributed by volunteers to carry out such activities, determined at the rate of $5 per hour. Grantee shall determine the value of any donated material or building, or any lease using any method reasonably calculated to establish a fair market value. 4 II. TIME OF PERFORMANCE This Agreement shall commence July 1, 1993, and shall terminate March 31, 1994. III. PAYMENT A. Grantee shall submit to City invoices for items purchased. City shall determine the reasonableness of each purchase and shall not make disbursement of any such payment until City has reviewed and approved each purchase. Payment of approved purchases will be made by the City directly to the supplier. B. Notwithstanding the provisions of Section III(A) of this agreement, it is expressly understood and agreed by the parties hereto that payments under this agreement are contingent upon Grantee's full and satisfactory performance of its obligations under this contract. C. It is expressly understood and agreed by the parties hereto that any right or remedy provided for in this Section III or in any other provision of this agreement shall not preclude the exercise of any other right or remedy under this agreement or under any provision of law, nor shall any action taken in the exercise of any right or remedy be deemed a waiver of any other rights or remedies. Failure to exercise any right or remedy hereunder shall not constitute a waiver of the right to exercise that or any other right or remedy at any time. IV. NOTICES Communication and details concerning this Agreement shall be directed to the following contract representatives: Sandy Ogletree, Gene Menefee, Executive Director City of Lubbock Lubbock Regional MHMR P. O. Box 2000 1210 Texas Avenue Lubbock, TX 79457 Lubbock, TX 79401 V. SPECIAL CONDITIONS A. Use as an Emergency Shelter 1. Any building for which emergency shelter grant amounts are used for one or more of the eligible activities described in 24 CFR 576.21 (a)(1) must be maintained as a shelter for the homeless for not less than a three-year period, or for not less 5 than a 10-year period if the grant amounts are used for major rehabilitation or conversion of the building. Any building for which emergency shelter grant amounts are used for eligible activities described in 24 CFR 576.21(a)(2) or (a)(3) must be maintained as a shelter for the homeless for the period during which such assistance is provided. A substitute site or shelter may be used during this period, so long as the same general population is served. Using emergency shelter grant amounts for eligible activities in 24 CFR 576.21 (a) (4) does not trigger either the three- or ten-year period. 2. The three- and 10-year periods referred to in paragraph A(1) of this section begin to run: a) In the case of a building that was not operated as an emergency shelter for the homeless before receipt of grant amounts under this part, on the date of initial occupancy as an emergency shelter for the homeless. b) In the case of a building that was operated as an emergency shelter before receipt of grant amounts under this part, on the date that grant amounts are first obligated to the shelter. 3. Specifically, the Grantee shall be required to maintain the building, for which emergency shelter grant amounts are used, as a shelter for the homeless for not less than a three year period from the date this agreement is executed. This requirement will terminate on July 1, 1996 B. Building Standards Any building for which emergency shelter grant amounts are used for renovation, conversion, or major rehabilitation must meet local government code, safety and sanitation standards. C. Deadlines for Using Grant Amounts Grantee shall expend all funds provided under this agreement by March 31, 1994. D. Religious Activities Grantee shall ensure that activities performed under this agreement shall be carried on in a manner free from religious influence. E. Requirements Grantee agrees to comply with the requirements of Title 24 Code of Federal Regulations, Part 576 of the Housing and Urban Development regulations concerning Emergency Shelter Grant Program, Stewart B. McKinney Homeless Assistance Act and all federal regulations and policies issued pursuant to these regulations. Grantee further agrees to utilize funds available under this Agreement to supplement rather than supplant funds otherwise available. VI. GENERAL CONDITIONS A. General Compliance Grantee agrees to comply with all applicable federal, state and local laws and regulations governing the funds provided under this Agreement which were made available under City's Emergency Shelter Grant Program. B. Monitoring City reserves the right to perform periodic on -site monitoring of Grantee's compliance with the terms and conditions of this agreement, and the adequacy and timeliness of Grantee's performances under this agreement. After each monitoring visit, City shall provide Grantee with a written report of the monitor's findings. If the monitoring report notes deficiencies in Grantee's performances under the terms of this agreement, the monitoring report shall include requirements for the timely correction of such deficiencies by Grantee. Failure by Grantee to take action specified in the monitoring report may be cause for suspension or termination of this agreement, as provided in Sections VI(I) and VI(J) of this agreement. C. INDEPENDENT CONTRACTOR It is expressly understood and agreed by the parties hereto that City is contracting with Grantee as an Independent Contractor, and that Grantee, as such, agrees to hold City harmless and to indemnify City from and against 7 any and all claims, demands, and causes of action of every kind and character which may be asserted by any third party occurring or in any way incident to, arising out of, or in connection with the services to be performed by Grantee under this agreement, its use or occupancy of the emergency shelter structure, or by the negligence of its agents or employees. Grantee shall give to City prompt and timely written notice of any claim instituted which in any way, directly or indirectly, contingently or otherwise, affects or might affect City, and City shall have the right to compromise and defend same to the extent of its own interests. The Grantee shall not at any time or in any manner represent that it or any of its agents or employees are in any manner agents or employees of the City. D. Subcontracts 1. Grantee shall only subcontract for performances described in this agreement to which the federal labor standards requirements apply after Grantee has submitted a Subcontractor Eligibility form, as specified by City, for each such approval, based on the information submitted, of Grantee's intent to enter into such proposed subcontract. Grantee, in subcontracting for any performances described in this agreement, expressly understands that in entering into such subcontracts, City is in no way liable to Grantee's subcontractor(s). 2. In no event shall any provision of this Section 11, specifically the requirement that Grantee obtain City's prior written approval of a subcontractor's eligibility, be construed as relieving Grantee of the responsibility for ensuring that the performances rendered under all subcontracts are rendered so as to comply with all of the terms of this agreement, as if such performances rendered were rendered by Grantee. 3. City's approval under Section 11 does not constitute adoption, ratification, or acceptance of Grantee's or subcontractor's performance hereunder. City maintains the right to insist upon Grantee's full compliance with the terms of this agreement, and by the act of approval under this Section 11, City does not waive any right of action which may exist or which may subsequently accrue to City under this agreement. 4. Grantee shall comply with all applicable federal, state, and local laws, regulations, and ordinances for making procurements under this contract, including Circular No. A-110, Attachment O Procurement Standards. E. LEGAL AUTHORITY 1. Grantee assures and guarantees that Grantee possesses the legal authority to enter into this agreement to receive funds authorized by this agreement, and to perform the services Grantee has obligated itself to perform hereunder. 2. The person or persons signing and executing this agreement on behalf of Grantee, or representing themselves as signing and executing this agreement on behalf of Grantee, do hereby warrant and guarantee that he, she or they have been duly authorized by Grantee to execute this agreement on behalf of Grantee and to validly and legally bind Grantee to all terms, performances, and provisions herein set forth. 3. City shall have the right to suspend or terminate this agreement if there is a dispute as to the legal authority of either Grantee or the person signing this agreement to enter into this agreement or to render performances hereunder. Grantee is liable to City for any money it has received from City for performance of the provisions of this agreement if City has suspended or terminated this agreement for reasons enumerated in this Section 13. F. Litiaation and Claims Grantee shall give City immediate notice in writing of 1) any action, including any proceeding before an administrative agency, filed against Grantee arising out of the performance of any subcontract hereunder; and 2) any claim against Grantee, the cost and expense of which Grantee may be entitled to have reimbursed by City. Except as otherwise directed by City, Grantee shall furnish immediately to City copies of all pertinent papers received by Grantee with respect to such actions or claims. G. Sectarian Activity None of the performances rendered by Grantee under this agreement shall involve and no portion of the funds received Vj by Grantee under this agreement shall be used in support of any sectarian or religious activity, nor shall any facilities used in the performance of this agreement be used for sectarian instruction or as a place of religious worship. H. Changes and Amendments 1. Except as specifically provided otherwise in this agreement, any alternations, additions, or deletions to the terms of this agreement shall be by amendment hereto in writing and executed by both parties to this agreement. 2. It is understood and agreed by the parties hereto that performances under this agreement must be rendered in accordance with the Act, the regulations promulgated under the Act, the assurances and certifications made to City by Grantee, and the assurances and certifications made to the United States Department of Housing and Urban Development by the City with regard to the operation of the Emergency Shelter Grants Program. Based on these considerations, and in order to ensure the legal and effective performance of this agreement by both parties, it is agreed by the parties hereto that the performances under this contract may be amended in the following manner: City, on behalf of the Department of Housing and Urban Development, may from time to time during the period of performance of this agreement issue policy directives which serve to establish, interpret, or clarify performance requirements under this agreement. Such policy directives shall be promulgated by the U.S. Department of Housing and Urban Development, shall have the effect of qualifying the terms of this agreement, and shall be binding upon Grantee, as if written herein, provided however, that said policy directives shall not alter the terms of this agreement so as to release City of any obligation specified in Section 3 of this agreement to reimburse costs incurred by Grantee prior to the effective date of said policy directives. 3. Any alterations, additions, or deletions to the terms of this agreement which are required by changes in Federal law or regulations are automatically incorporated into this agreement without written amendment hereto, and shall become 10 effective on the date designated by such law or regulation. I. Suspension Notwithstanding the provisions of Texas Civil Statutes, Article 601f, in the event that Grantee fails to comply with any term of this agreement, City may, upon written notification to Grantee, suspend this agreement in whole or in part and withhold further payments to Grantee, and prohibit Grantee from incurring additional obligations of funds under this agreement. J. Termination 1. City shall have the right to terminate this agreement, in whole or in part, at any time before the date of completion specified in Section II of this agreement whenever City determines that Grantee has failed to comply with any term of this agreement. City shall notify Grantee in writing prior to the thirtieth (30th) day preceding the date of termination of such determination; the reasons for such termination; the effective date of such termination; and in the case of partial termination, the portion of the contract to be terminated. 2. Either of the parties to this agreement shall have the right to terminate this agreement, in whole or in part, when both parties agree that the continuation of the activities funded under this agreement would not produce beneficial results commensurate with the further expenditure of funds; provided that both parties agree, in writing, upon the termination conditions, including the effective date of such termination; and in the case of partial termination, the portion of the agreement to be terminated. 3. Upon termination or receipt of notice to terminate, whichever occurs first, Grantee shall cancel, withdraw, or otherwise terminate any outstanding orders or subcontracts related to the performance of this agreement or the part of this agreement to be terminated, and shall cease to incur costs thereunder. City shall not be liable to Grantee or to Grantee's creditors for costs incurred after termination of this agreement. 11 4. Notwithstanding any exercise by City of its rights of suspension under Section 17 of this agreement, or of early termination pursuant to this Section 18, Grantee shall not be relieved of any liability to City for damages due to City by virtue of any breach of this agreement by Grantee. City may withhold payments to Grantee until such time as the exact amount of damages due to City from Grantee is agreed upon or is otherwise determined. K. Audit 1. City reserves the right to conduct a financial and compliance audit of funds received and performances rendered under this agreement. Grantee agrees to permit City, the U.S. Department of Housing and Urban Development, or their authorized representatives to audit Grantee's records and to obtain any documents, materials, or information necessary to facilitate such audit. 2. Grantee understands and agrees it shall be liable to City for any costs disallowed pursuant to financial and compliance audit(s) of funds received under this agreement. Grantee further understands and agrees that reimbursement to City of such disallowed costs shall be paid by Grantee from funds which were not provided or otherwise made available to Grantee under this agreement. 3. Grantee shall take such action to facilitate the performance of such audit or audits conducted pursuant to this Section 19 as City or the U.S. Department of Housing and Urban Development may require of Grantee. L. Oral and Written Agreements 1. All oral and written agreements between the parties to this agreement relating to the subject matter of this agreement that were made prior to the execution of this agreement have been reduced to writing and are contained in this agreement. 2. The attachments enumerated and denominated below are hereby made a part of this agreement, and constitute promised performances by Grantee in accordance with Section I(B) of this agreement. 12 1. Exhibit A, Performance 2. Exhibit B, Budget 3. Exhibit C, Applicable Statement Laws and Regulations VIII. PERSONNEL AND PARTICIPANT CONDITIONS CONDUCT A. Prohibited Activity Grantee is prohibited from using funds provided herein or personnel employed in the administration of the program for political activities; sectarian, or religious activities; lobbying, political patronage, and nepotism activities. 2. Conflict of Interest In addition to the requirements of OMB Circular No. A-110 and 24 CFR Part 85, Grantee shall ensure that no person who is an employee, agent, consultant, officer, or elected or appointed official of City or Grantee, who exercises or has exercised any functions or responsibilities with respect to activities performed pursuant to this agreement, or who is in a position to participate in a decision making process or gain inside information with regard to such activities, may obtain a personal or financial interest or benefit from the activity, or have an interest in any contract, subcontract, or agreement with respect to the activity or the proceeds of any contract, subcontract, agreement related to the activity, either for himself or herself or those with whom he or she has family or business ties, during his or her tenure or for one year thereafter. For purposes of determining venue and the law governing this agreement, activities under this agreement are performed in the City and County of Lubbock, State of Texas. This agreement contains the entire agreement of the parties; and no representations, inducements or other covenants between the parties not included herein shall be of any force or effect. 13 IN WITNESS WHEREOF, the City and the Grantee have executed Agreement as of the first day above written. F6UCK LUBBOCK REGIONAL MENTAL HEALTH M AL RETAR A ON CENTER ccD RN, YOR effAZRPERSOIV, BOARff OF DIRECTORS ATTEST: 13ettt M. Joh son City Secretary APPROVED AS TO CONTENT: ATT /-/_ 7 44�1_ ( )X�K� Secretary G e Menefee, Executive erector Sandy Og tr Housing & Community Development Administrator APPROVED AS TO FORM: Linda Chamales Assistant City Attorney 14 EXHIBIT A PERFORMANCE STATEMENT LUBBOCK REGIONAL MHMR CENTER Grantee shall carry out the following activities as described in its 1993 Emergency Shelter Grant program application: Section 1. Renovation, Major Rehabilitation/Conversion City shall provide a grant to the Lubbock Regional MHMR for the sum of Twenty Five Thousand Five Hundred and No/100 Dollars ($25,500.00) for renovation of the facility at 1202 Main Street. Category EXHIBIT B LUBBOCK REGIONAL MENTAL HEALTH AND MENTAL RETARDATION CENTER JIM KIMMEL CENTER Budget Contract Funds Match Funds Total Source of Match Renovation, major rehabil- $25,500.00 $25,500.00 $51,000.00 Salaries itation, conversion of building. EXHIBIT C APPLICABLE LAWS AND REGULATIONS Contractor shall comply with the Act specified in Section 2 of this agreement and with the rules and regulations promulgated thereunder at 24 C.F.R. Part 576 [53 Fed. Reg. 30191 (August 10, 1988)), and any revisions thereto; the OMB Circulars and the Management Standards specified in Section 5 of this contract; Treasury Circular 1075 (31 C.F.R. part 205); and with all other federal, state, and local laws and regulations applicable to the activities and performances rendered by Contractor under this contract including, but not limited to, the laws and the regulations promulgated thereunder and specified in Section A through J of this Exhibit C. A. Nondiscrimination and Equal Opportunity 1. The requirements of Title VIII of the Civil Rights Act of 1968, 42 U.S.C. 3601 through 3620, and implementing regulations at 24 CFR part 100; Executive Order 11063 and implementing regulations at 24 CFR Part 107; and Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d through 2000d- 4) and implementing regulations issued at 24 CFR Part 1; 2. The prohibitions against discrimination on the basis of age under the Age Discrimination Act of 1975 (42 U.S.C. 6101- 6107) and the prohibitions against discrimination against otherwise qualified individuals with handicaps under section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794); 3. The requirements of Executive Order 11246 and the regulations issued under the Order at 41 CFR Chapter 60; and 4. The requirements of Section 3 of the Housing and Urban Development Act of 1968, 12 U.S.C. 1701u (see 570.607(b) of this chapter); and 5. The requirements of Executive Orders 11625, 12432, and 12138. Consistent with HUD's responsibilities under these Orders, the corporation must make efforts to encourage the use of minority and women's business enterprises in connection with activities funded under this agreement. 6. The requirement that the recipient or grantee make known that use of the facilities and services is available to all on a nondiscriminatory basis. Where the procedures that a recipient or grantee intends to use to make known the availability of the ESG services are unlikely to reach persons with handicaps or persons of any particular race, color, religion, sex or national origin within their service area who may qualify for such services, the recipient or grantee must establish additional procedures that will ensure that these persons are made aware of the facility and services. Grantees and recipients must also adopt and implement procedures designed to make available to interested persons information concerning the existence and location of services and facilities that are accessible to persons with a handicap. B. Applicability of OMB Circulars The policies, guidelines and requirements of 24 CFR part 85 (codified pursuant to OMB Circular No. A-102) and OMB Circular No. A-87, as they relate to the acceptance and use of emergency shelter grant amounts by states and units of general local government, and OMB Circular Nos. A-110 and A-112 as they relate to the acceptance and use of emergency shelter grant amounts by private nonprofit organizations. C. Lead -Based Paint The requirements as applicable, of the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. 4821 through 4846) and implementing regulations at 24 CFR Part 35. In addition, the grantee must also meet the following requirements relating to inspection and abatement of defective lead -based paint surfaces: (1) Treatment of defective paint surfaces must be performed before final inspection and approval of the renovation, rehabilitation or conversion activity under this part; and (2) Appropriate action must be taken to protect shelter occupants form the hazards associated with lead -based paint abatement procedures. D. Conflicts of Interest In addition to conflict of interest requirements in OMB Circulars A-102 and A-110, no person 1) who is an employee, agent, consultant, officer, or elected or appointed official of the City or nonprofit recipient (or any designated public agency) that receives emergency shelter grant amounts and who exercises or has exercised any functions or responsibilities to assisted activities or 2) who is in a position to participate in a decision making process or gain inside information with regard to such activities may obtain a personal or financial interest or benefit from the activity, or have an interest in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, either for him or herself or those with whom he or she has family or business ties, during his or her tenure or for one year thereafter. (HUD may grant an exception to this exclusion as provided in 570.611 (d) and (e) • ) E. Use of Debarred, Suspended, or Ineligible Contractors The provisions of 24 CFR Part 24 relating to the employment, engagement of services, awarding of contracts, or funding of any contractors or subcontractors during any period of debarment, suspension, or placement in ineligibility status. F. Flood Insurance No site proposed on which renovation, major rehabilitation, or conversion of a building is to be assisted under this part, may be located in an area that has been identified by the Federal Emergency Management Agency (FEMA) as having special flood hazards, unless the community in which the area is situated is participating in the National Flood Insurance Program and the regulations thereunder (44 CFR Parts 59 through 79) or less than a year has passed since FEMA notification regarding such hazards, and the corporation will ensure that flood insurance on the structure is obtained in compliance with section 102(a) of the Flood Disaster Protection Act of 1973 (42 U.S.C. 4001 et. seq.). G. Coastal Barriers In accordance with the Coastal Barrier Resources Act, 16 U.S.C. 3501, no financial assistance under this part may be made available within the Coastal Barrier Resources System. H. Drug Free Workplace Act of 1988 Each recipient will maintain a drug free workplace in accordance with the requirements of 24 CFR part 24, subpart F. I. Audit Private nonprofit organizations are subject to the audit requirements of OMB Circular A-110. J. Intergovernmental Review The requirements of Executive Order 12372 and the regulations issued under the order at 24 CFR, part 52, to the extent provided by Federal Register notice in accordance with 24 CFR 52.3.