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HomeMy WebLinkAboutResolution - 4295 - Contract -TDHCA - Comprehensive Assistance Energy Program - 10_28_1993Resolution No. 4295 October 28, 1993 Item # 14 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 a Contract and all related documents during the effective dates of the Contract, by and between the City of Lubbock and the Texas Department of Housing and Community Affairs for the Comprehensive Energy Assistance Program, attached herewith, which shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council tf' ATTEST: J Betty UJohnson,VCity Secretary APPROVED AS TO CONTENT: — Nu�" Jim er ram, Assistant City Manager APPROVED AS TO FORM: IJ ouen �ra U. vanaiver, rTr Assistant City Attorney DGV:dp\AGENDA-D1\ENERGY.RES October 20, 1993 TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS CONTRACT NO. 594048 FOR THE FY 1994 COMPREHENSIVE ENERGY ASSISTANCE PROGRAM SECTION 1. PARTIES TO THE CONTRACT This contract is made by and between the Texas Department of Housing and Community Affairs, an agency of the State of Texas (the "Department") and City of Lubbock, Community Services Department (the "Contractor"). SECTION 2. CONTRACT PERIOD This contract shall commence on September 30, 1993, and unless terminated earlier, shall end on June 30, 1994 (the "Contract Period"). SECTION 3. CONTRACTOR PERFORMANCE Pursuant to the Low -Income Home Energy Assistance Act of 1981, as amended, 42 U.S.C. Sec. 8621 et M. (the "LH- EAP Act") Contractor shall operate, on an equitable basis throughout Contractor's service area, a Comprehensive Energy Assistance Program, (the "CEAP"), in accordance with the terms of this contract and all applicable state and federal regulations. Services shall include Case Management, Energy Crisis, Co -Payment, Elderly Assistance, and Heating/Cooling Systems as further specified in the Performance Statement (Exhibit "A"), the Budget (Exhibit "B"), and the Allowable Activities Document (Exhibit "C"). Contractor's service area consists of the following Texas counties: Lubbock SECTION 4. DEPARTMENT OBLIGATIONS A. In consideration of Contractor's satisfactory performance of this contract, Department shall reimburse Contractor for the actual allowable costs incurred in the amount of: FY '94 Available Funds: One Hundred Sixty -One Thousand Two Hundred Seventy -Nine and no/100 Dollars ($161,279.00) B. By written notice to Contractor, Department may obligate additional funds under Section 4(A). For planning purposes only, Contractor may assume that the total award to Contractor during the Contract Period will be: FY'94 Anticipated Funds: Four Hundred Fifty -Six Thousand Seven Hundred Ninety -Seven and no/100 Dollars ($456,797.00). PAGE 1 OF 10 C. Any decision to obligate additional funds shall be made by Department based upon factors, including but not limited to, the status of funding under grants to Department, the rate of Contractor's utilization of funds under this or previous contracts, the existence of questioned or disallowed costs under this or other contracts between the parties, and Contractor's overall compliance with the terms of this contract. D. Department's obligations under this Section are contingent upon the actual receipt of funds from the U.S. Department of Health and Human Services and the State of Texas. Department acknowledges that it has received obligations from those sources, which, if paid, will be sufficient to pay the allowable costs incurred by Contractor under this contract. E. Department is not liable for any cost incurred by Contractor which: (1) is subject to reimbursement by a source other than Department; (2) is for performance of services or activities not authorized by the LE HEAP Act, or which is not in accordance with the terms of this contract; (3) is not reported to Department on a Monthly Funding/Financial/Performance Report within sixty (60) days following the termination of this contract; or, (4) is not incurred during the Contract Period. SECTION 5. METHOD OF PAYMENT/CASH BALANCES A. For each month of the Contract Period, Contractor may request an advance payment by submitting to Department at its offices in Austin, Travis County, Texas, no later than the twentieth (20th) day of the month prior to the month for which advance payment is sought, a properly completed Monthly Funding/Financial/Performance Report and a State of Texas Purchase Voucher for an amount not to exceed Contractor's actual cash needs for the month for which such advance is sought. B. Contractor's requests for advances shall be limited to the minimum amount needed for the effective performance of this contract, and shall be timed as closely as possible to coincide with Contractor's actual immediate cash requirements. Contractor shall establish procedures to minimize the time elapsing between the transfer of funds from Department to Contractor and the disbursal of such funds by Contractor. C. Department reserves the right to utilize a cost reimbursement method of payment if (1) Contractor maintains excessive cash balances or requests advance payments in excess of thirty (30) days' need; (2) Department identifies any deficiency in the internal controls or financial management system used by Contractor; (3) Contractor violates any of the terms of this contract; or (4) Department's funding sources require the use of a cost reimbursement method of payment. PAGE 2 OF 10 D. Contractor shall refund, within fifteen (15) days of Department's request, any sum of money paid to Contractor by Department which Department determines (1) has resulted in an overpayment to Contractor or (2) has not been spent strictly in accordance with terms of this contract. Department may offset or withhold any amounts otherwise owed to Contractor under this contract against any amount owed by Contractor to Department arising under this contract. E. All funds paid to Contractor under this contract are paid in trust for the exclusive benefit of the eligible recipients of the Comprehensive Energy Assistance Program and for allowable administrative expenditures. SECTION 6. COST PRINCIPLES AND ADMINISTRATIVE REQUIREMENTS Except as specifically modified by law or the terms of this contract, Contractor shall comply with the cost principles and uniform administrative requirements set forth in the Uniform Grant and Contract Management Standards for State Agencies, 1 T.A.C. §§ 5.141 et seq. (the "Uniform Grant Management Standards") provided that all references therein to "local government" shall be construed to mean Contractor. SECTION 7. ALLOWABLE ADMINISTRATIVE EXPENDITURES Administrative costs incurred by Contractor in carrying out this contract shall be allowable up to a maximum of 7.2165% of the total allowable contract expenditures within the Contract Period. SECTIONS. TERMINATION AND SUSPENSION A. Department may terminate this contract, in whole or in part, at any time Department determines that there is cause for termination. Cause for termination includes but is not limited to Contractor's failure to comply with any term of this contract. Department shall notify Contractor in writing at least thirty (30) days before the date of termination. B. Nothing in this Section shall be construed to limit Department's authority to withhold payment and immediately suspend Contractor's performance of this contract if Department identifies possible instances of fraud, abuse, waste, fiscal mismanagement, or other deficiencies in Contractor's performance. Suspension shall be a temporary measure pending either corrective action by Contractor or a decision by Department to terminate this contract. C. Notwithstanding any exercise by Department of its right of termination or suspension, Contractor shall not be relieved of any liability to Department for damages by virtue of any breach of this contract by Contractor. Department may withhold any payment due to Contractor until such time as the exact amount of damages due to Department is agreed upon or is otherwise determined. D. Department shall not be liable for any costs incurred by Contractor after termination or during suspension of this contract. PAGE 3 OF 10 SECTION 9. CHANGES AND AMENDMENTS Any change in the terms of this contract required by a change in federal or state law or regulation is automatically incorporated herein effective on the date designated by such law or regulation. Except as otherwise specifically provided herein any other change in the terms of this contract shall be by amendment in writing and signed by both parties. SECTION 10. DEPARTMENT ISSUANCES Department may issue regulations or policy directives which serve to establish Contractor eligibility or interpret and clarify the terms of this contract. Such regulations or policy directives shall be in the form of Issuances. Issuances shall not alter the terms of this contract so as to relieve Department of any obligation to reimburse an allowable cost incurred by Contractor prior to the effective date of the Issuance or five days after such Issuance is mailed or delivered to Contractor, whichever is later. All Issuances promulgated by Department, whether before or after the execution of this contract, shall govern the performance of this contract until specifically rescinded by Department. SECTION 11. MONITORING Department or its designee may conduct on and off -site monitoring and evaluation of Contractor's compliance with the terms of this contract. Department's monitoring may include a review of the efficiency, economy, and effectiveness of Contractor's performance. Department will notify Contractor in writing of any deficiencies noted during such monitoring. Department may provide training and technical assistance to Contractor in correcting the deficiencies noted. Department may require or suggest corrective action to remedy deficiencies noted in Contractor's accounting, personnel, procurement, and management procedures and systems. Department may conduct follow-up visits to review the previously noted deficiencies and to assess the efforts made to correct them. Department may terminate or suspend this contract or invoke other remedies Department determines to be appropriate in the event monitoring uncovers material deficiencies in Contractor's performance or if Contractor fails to correct any deficiency within a reasonable period of time. Department or its designee may conduct an ongoing program evaluation throughout the contract year. SECTION 12. RETENTION AND ACCESSIBILITY OF RECORDS A. Contractor shall maintain fiscal records and supporting documentation for all expenditures made under this contract in accordance with the retention and custodial requirements for records set forth in the Uniform Grant Management Standards, Common Rule § .42. B. Contractor shall maintain a client file system to document direct services rendered. Each client file shall contain the following: 1. Department's Client application; 2. DocumentationNerification of Client Income; 3. Declaration of Income Eligibility (when required); 4. Copy of Client's Utility Bill(s); PAGE 4 OF 10 5. Documentation of Payment. (Documentation of payment may be maintained in a separate file, but must be accessible at the site where client files are maintained.); 6. Benefits Determination Form; and, 7. Notice of Denial Form. C. Contractor shall give the U.S. Department of Health and Human Services, the U.S. General Accounting Office, and Department, or any of their duly authorized representatives, access to and the right to examine and copy, on or off the premises of Contractor, all records pertaining to this contract. Such right to access shall continue as long as the records are retained by Contractor. Contractor agrees to maintain such records in an accessible location and to cooperate with any examination conducted pursuant to this Subsection. Contractor shall include the substance of this subsection in all subcontracts. SECTION 13. REPORTING REQUIREMENTS A. Contractor shall submit, for receipt by Department no later than twenty (20) days after the end of each month of the Contract Period a Monthly Funding/Financial/Performance Report of all expenditure of funds under this contract during the previous month. B. Contractor shall submit to Department no later than sixty (60) days after the end of the Contract Period an inventory of all equipment acquired in whole or in part with funds received under this contract. Upon the termination of this Contract, Department may transfer title to any nonexpendable personal property so acquired to itself or to any other entity receiving funds under the LIHEAP Act. C. Contractor shall submit to Department no later than sixty (60) days after the termination of this contract, a final Monthly Funding/Financial/Performance Report of all expenditures of funds under this contract. The failure of Contractor to provide a full accounting of funds expended under this contract may result in the termination of this contract and holding contractor ineligible to receive additional funds. D. If Contractor fails to submit, in a timely and satisfactory manner, any report or response required by this contract, Department may withhold any or all payments otherwise due or requested by Contractor hereunder. Payments may be withheld until such time as the delinquent report or response is received by Department. If the delinquent report or response is not received within forty-five (45) days of its due date, Department may suspend or terminate this contract. If Contractor receives funds from Department over two or more contract periods, funds may be withheld or this contract suspended or terminated for Contractor's failure to submit a report or response (including a report of audit) past due from a prior contract. SECTION 14. INDEPENDENT CONTRACTOR It is agreed that Department is contracting with Contractor as an independent contractor. Contractor agrees to indemnify Department against all disallowed costs or other claims which may be asserted by any third party in connection with Contractor's performance of this contract. PAGE 5 OF 10 SECTION 15. SUBCONTRACTS A. Contractor may not subcontract the performance of this contract unless it receives Department's prior written approval. Contractor shall submit to Department a signed copy of each such subcontract. Department is in no way liable to Contractor's subcontractor(s). B. Subcontractors shall comply with the terms of this contract to the same extent as if the performance rendered by the subcontractor were being rendered by Contractor. Subcontractors will be subject to monitoring and investigation by Department. SECTION 16. CONFLICT OF INTEREST/NEPOTISM A. Contractor covenants that neither it nor any member of its governing body presently has or shall acquire any interest, direct or indirect, which would conflict in any manner with the performance of this contract. No person having such interest shall be employed by Contractor or appointed as a member of Contractor's governing body. B. Contractor agrees that it will comply with TEX. REV. CIV. STAT. ANN. ART. 5996 by ensuring that no officer, employee, or member of the governing body of Contractor shall vote or confirm the employment of any person related within the second degree by affinity or third degree by consanguinity to any member of the government body or to any other officer or employee authorized to employ or supervise such person. C. Contractor shall ensure that no employee, officer, or agent of Contractor shall participate in the selection, or in the award or administration of a subcontract supported by funds provided hereunder if a conflict of interest, real or apparent, would be involved. Such a conflict of interest would arise when: 1) the employee, officer, or agent 2) any member of his or her immediate family 3) his or her partner or 4) any organization which employs or is about to employ, any of the above, has a financial or other interest in the firm or person selected to perform the subcontract. D. Contractor's employees, officers, and/or agents shall neither solicit nor accept gratuities, favors, or anything of monetary value from subcontractors, or potential subcontractors. SECTION 17. NON-DISCRIMINATION AND EQUAL OPPORTUNITY No person shall on the grounds of race, color, religion, sex, national origin, age, handicap, political affiliation or belief be excluded from participation in, be denied the benefits of, be subjected to discrimination under, or be denied employment in the administration of or in connection with any program or activity funded in whole or in part with funds made available under this contract. PAGE 6 OF 10 SECTION 18. LEGAL AUTHORITY A. Contractor represents that it possesses the legal authority to enter into this contract and to perform the services Contractor has obligated itself to perform hereunder. B. The person signing this contract on behalf of Contractor hereby warrants that he/she was been duly authorized by Contractor to execute this contract on behalf of Contractor and to bind Contractor to the terms herein set forth. C. Department shall have the right to suspend or terminate this contract if there is a dispute as to the legal authority of either Contractor or the person signing this contract to enter into this contract or to render performances hereunder. Contractor is liable to Department for any money it has received from Department for performance of the provisions of this contract, if Department has suspended or terminated this contract for reasons enumerated in this Section 18. SECTION 19. APPEALS PROCESS In compliance with the LMEAP Act, Contractor must provide an opportunity for a fair administrative hearing to individuals whose application for assistance is denied, or not acted upon in a timely manner by: I) Providing written notification to applicant of denial of assistance within ten (10) days of the adverse determination which shall include written instructions of the appeals process. Applicants wishing to appeal a decision must provide written notice to Contractor within 10 days of receipt of the denial notice. 2) Requiring each CEAP Contractor to establish a written appeals procedure which shall, at a minimum, include the following provisions: a. Establish an appeals committee composed of at least three (3) persons. b. Appeals must be heard by the committee within 10 days of Contractor's receipt of the appeal. c. Tape record all appeal hearings. d. Require a majority vote to sustain the appeal and approve assistance for the applicant. e. Require a majority vote to deny the appeal and provide written notification to applicant the results of the appeal by close of business the following business day. The notification must include the applicant's right to appeal an adverse determination to the Department. PAGE 7 OF 10 f. To appeal to the Texas Department of Housing & Community Affairs, an applicant must provide an appeal request to Department in writing within 10 days of an adverse determination by Contractor. Department will review the tape recording of the hearing, the committee's decision and any other relevant information the Department requests. No oral testimony will be allowed. Department will notify all parties in writing of its decision within 30 days of the receipt of the appeal. SECTION 20. AUDIT A. Contractor shall arrange for the annual performance of a financial and compliance audit of the funds received under this contract. The audit shall be made in accordance with the Single Audit Act of 1984, 31 U.S.C. sec 7501 et seq. (herein the "Audit Act"), and OMB Circular No. A-128, "Audits of State and Local Governments", 45 CFR Part 74, Appendix J or OMB Circular No. A- 133, "Audits of Instructions of Higher Education and other nonprofit Institutions", 45 C.F.R. Part 74, Appendix I. Where a contract is awarded for audit services, the contract shall include a reference to the Audit Act and OMB Circular A-128 or A-133. Contractor shall take such action to facilitate the performance of the audit(s) conducted pursuant to this Section as Department may require. Audits are to be conducted in accordance with GAGAS (generally accepted government auditing standards). B. Contractor shall submit three (3) copies of the report of such audit to Department no later than one hundred twenty (120) days after the end of the audit periods. Audits performed under this Section are subject to review and resolution by Department or its authorized representative after the end of the audit period. C. Contractor shall take immediate appropriate corrective action after issuance of the audit report in instances of material noncompliance with laws, regulations or this contract. Contractor shall be liable to Department for any costs disallowed pursuant to financial and compliance audits(s) of funds received under this contract. Reimbursement to Department of disallowed costs shall be paid by Contractor from funds which were not made available to Contractor under any contract with Department. SECTION 21. POLITICAL AND SECTARIAN ACTIVITY PROHIBITED A. No funds received by Contractor hereunder may be used for any political activity including, but not limited to, any attempt to influence the outcome of any election or the passage or defeat of any legislation or appropriation. B. No funds received by Contractor under this contract may be used, either directly or indirectly, to support any religious or anti -religious activity. PAGE 8 OF C. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this federal contract, grant, loan, or cooperative agreement, Contractor shall complete and submit a Certification Regarding Lobbying form in accordance with its instructions and 45 CFR Part 93. SECTION 22. PREVENTION OF WASTE, FRAUD, AND ABUSE A. Contractor shall establish, maintain, and utilize systems and procedures to prevent, detect and correct waste, fraud and abuse in activities funded under this contract. The systems and procedures are to address possible waste, fraud and abuse by Contractor, its employees, recipients, vendors and administering agencies. Contractor's internal control systems and all transactions and other significant events are to be clearly documented, and the documentation is to be readily available for monitoring by Department. B. Contractor shall give Department complete access to all of its records, employees, and agents for the purposes of any investigation of the Comprehensive Energy Assistance Program. Contractor shall immediately notify Department of any discovery of waste, fraud or abuse. Contractor shall fully cooperate with Department's efforts to detect, investigate, and prevent waste, fraud and abuse in the Comprehensive Energy Assistance Program. C. Contractor may not discriminate against any employee or other person who reports a violation of the terms of this contract or of any law or regulation to Department or to any appropriate law enforcement authority, if the report is made in good faith. SECTION 23. MAINTENANCE OF EFFORT Funds provided to Contractor under this contract may not be substituted for funds or resources from any other source nor in any way serve to reduce the funds or resources which would have been available to or provided through Contractor had this contract never been executed. SECTION 24. NO WAIVER Any right or remedy given to Department by this contract shall not preclude the existence of any other right or remedy, nor shall any action taken in the exercise of any right or remedy by deemed a waiver of any other right or remedy. The failure of Department to exercise any right or remedy on any occasion shall not constitute a waiver of Department's right to exercise that or any other right or remedy at a later time. SECTION 25. SEVERABILITY If any portion of this contract is held to be invalid by a court or administrative tribunal of competent jurisdiction, the remainder shall remain valid and binding. PAGE 9 OF 10 SECTION 26. ORAL AND WRITTEN AGREEMENTS: All oral and written agreements between the parties relating to the subject matter of this contract have been reduced to writing and are contained in this document and the exhibits attached hereto. SECTION 27. DEBARRED AND SUSPENDED PARTIES Contractor must not make any award (subgrant or contract) to any party which Is debarred or suspended or Is otherwise excluded from or ineligible for participation in Federal assistance programs under Executive Order 12549, and 45 CFR Part 76. SECTION 28. EXHIBITS The exhibits identified below are hereby made a part of this contract (1) Exhibit A, Performance Statement (2) Exhibit B, Budget (3) Exhibit C, Allowable Activites Document Executed this 28th day of October 1993. APPROVED AS TO CONTENT: Jim Bm, Assistant City Manager APPROVED AS TO FORM: 1 --�P62�G. Vandiver, First Assistant City Attorney CITY QF LU TEXAS DEPARTMENT OF HOUSING AND COM1r1 NI A NEIGHBORHGQD SERVICES COMMUNITY AFFAIRS r David R. BY: Henry Flores Executive Director This Contract is not effective until signed by the Executive Direcotr of Department or designee. PAGE 10 of 10 Page 1 of 8 ATTACHMENT 2 GRANT PROPOSAL EVALUATION FORM COVER SHEET GRANT NAME: Comprehensive Energy Assistance Program GRANT AGENCY: Texas Department of Housing & Community Affairs GRANT FISCAL PERIOD: September 30, 1993 to June 30, 1994 MONTH/DATE/YEAR TO MONTH/DATE/YEAR CITY DEPARTMENT/INDIVIDUAL PREPARING GRANT: Sylvia A. Martinez -Flores _(Whom to contact in case of questions) APPROVALS: DEPUTY CITY MANAGER Upon completion of approvals, return to: \0 \ � DATE � O%aL DATE /a --2d- ?3 DATE DATE Sylvia A. Martinez -Flores Community & Neighborhood Services INDIVIDUAL CITY DEPARTMENT OR SECTION DEADLINE DATE A25-1 CITY OF LUBBOCK GRANT PROPOSAL EVALUATION FORM INSTRUCTIONS: Page 2 of 8 This form must be completed and signed by the appropriate individuals in order for a grant application to be evaluated and approved by the City Manager. I. State, as clearly as possible, the goals and objectives of the proposed project for which a grant is being sought. Within the past year, the Community and Neighborhood Services Department has participated in a state pilot project (Agency: The Texas Department of Housing and Community Affairs), which provided for energy assistance through a comprehensive case management approach to services. The state analyzed the findings and has created the Comprehensive Energy Assistance Program, which combines the LIHEAP pilot project and the Energy Crisis Program. This new program has a four -prong approach for providing energy services: a) energy emergency assistance for individuals in need of immediate assistance; b) co -payment will provide energy assistance to individuals for a three-month period and requires comprehensive service management, mandatory trainings (energy efficiency, nutritional and dietician, etc.); and c) elderly assistance, which will provide energy assistance to the elderly. The current available funding for the program is a total of $161,279. A. Is this the fulfillment of an identifiable community (Lubbock) goal? If so, list the source of the identified goal. Yes. 2005 Committee goal, United Way of Lubbock Community Needs Assessment B. Is this the fulfillment of an identifiable community (Lubbock) need? If so, please provide quantifiable data (studies, etc.) that illustrate the community need and how this grant will meet that need: Yes. Estimates are that approximately 12% of the citizens live below the poverty guideline within the Lubbock community. This grant will be able to assist individ- uals within those guidelines with energy assistance. A25-2 Page 3 of 8 2. List at least three measures by which City Staff and City Council might be able to evaluate the program in order to determine that it has reached the goals and objectives described in Question 1. - Individuals receiving energy assistance - Clients receiving comprehensive training from utility companies, financial training and energy conservation 3. Will this program benefit the Lubbock community as a whole? If not, please provide a detailed profile of the individuals or groups that will benefit from the program. No. Individuals within Lubbock County who are low-income and are in need of basic human needs (food, shelter, and/or clothing). 4. Are other agencies (other than the City of Lubbock) available to administer this program? Yes. If so, list the agencies: 1) Although there are a wide variety of agencies that provide social services, the State of Texas has designated the City of Lubbock to administer this grant. 2) The services provided through the Community and Neighborhood Services Department are unduplicated within Lubbock County. A25-3 Page 4 of 8 5. Are other agencies administering similar programs? If so, list the other agencies. No. If not, why not? Not in this community. 6. Is the program or activity provided by this grant required by state or federal law or required as a condition of other ongoing state or federal programs? Please explain: No. 7. Does the grant require a local match? If so, in what amount? Is the match in the form of cash or an in -kind contribution? No. A25-4 Page 5 of 8 8. Is the grant for capital or operating program? Please describe specifically what the funds will be used for (personnel, supplies, services, capital outlay, capital projects, etc.). Operating programs. Administrative (7.2165q) - Includes salary and fringe benefits for one employee Outreach Activities - Advertisement, training materials, etc. Direct Services (92.7835%) - Energy assistance payments to utility companies. A. If the grant is for capital outlay or a capital project, will it result in ongoing City operational costs? If so, explain in detail. B. If the grant is for an operating program or programs, is it a one-time grant which will result in ongoing City expenses, if the program is to be continued in the future? This grant has combined two grants, which have been on -going, into one comprehensive program. Future funding is dependent on Congressional action. A25-5 Page 6 of 8 C. Does the grant require continuation of the program, at City expense, after grant funding has expired? If so, how long will the City be obligated to expend local funds, and in what areas? Be specific. No funding is required from the City of Lubbock after this grant expires. 9. Is the grant a one-time grant, a one-time grant with an option to renew the grant, or an on -going grant? If the grant is on -going, how many years has the grant been provided to the City, and what year does the upcoming period represent (2nd year, 5th year, etc.). If the grant has an option to renew, how often can it be renewed, and what are the terms of renewal? Please explain. This is the first year for this particular grant. This grant is to be reviewed on an annual basis. The City Council will make the determination whether to renew this grant. 10. Are indirect costs reimbursed by the grant? No. A25-6 page 7 of 8 11. Are grant audit costs reimbursed by the grant? No. 12. What is the immediate (twelve-month) impact of the grant program on City employee allocation and utilization? How will this affect their work hours, productivity, etc. on City programs and activities? No impact. Additional funds for direct services. 13. What is the long-term (five-year) financial and manpower impact of the grant program both on the community and on the City organization? Not applicable. A25-7 Page 8 of 8 14. Provide, in as much detail as possible, a 5-year Revenue and Expenditure Projection for the grant -related program beginning with the current year or the first year this grant will be in effect. Show any ongoing costs to the City, even if the grant is only for one year. If the grant is renewable or ongoing, show the estimated revenues and expenditures for future years that you intend to renew/continue the grant (up to five years). Be sure to fully explain the source and type of revenues (in -kind) contribution, reimbursement of expenses, etc.) and fully explain the specific types of expenditures (payroll for 1/2 time clerk, purchase desk, capital project construction, etc.). Attach additional sheets if necessary. FOR GRANT FISCAL YEAR (FROM October 1 to September 30): 1994 1995* 1996* 1997* 1998* Revenues Federal Grant 161,279 169,343 177,810.15 186,700.66 196,035.69 State Grant - - - - - Local Match - - - - Other - - - - - Total Revenues 161,279 169,343 177,810.15 186,700.66 196,035.69 FOR GRANT FISCAL YEAR (FROM October 1 to September 30): 1994 1995 1996 1997 1998 Expenditures Personnel 11,639 12,221 12,831.67 13,473.25 14,146.92 Supplies -0- -0- -0- -0- -0- Maintenance -0- -0- -0- -0- -0- Other Charges 149,640 157,122 164,978.48 173,227.41 181,888.77 Capital Outlay -0- -0- -0- -0- -0- Capital Project -0- -0- -0- -0- -0- Total Expenditures 161,279 169,343 177,810.15 186,700.66 196,035.69 * Dependent on federal funding approval ** 5% Estimated expenditure/revenue A25-8 TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS EXHIBIT A PERFORMANCE STATEMENT COMPREHENSIVE ENERGY ASSISTANCE PROGRAM CONTRACT NO. 594048 WITH CITY OF LUBBOCK, COMMUNITY SERVICES DEPARTMENT PAGE 1 OF 1 TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS EXHIBIT A PERFORMANCE STATEMENT COMPREHENSIVE ENERGY ASSISTANCE PROGRAM CONTRACT NO. 694048 WITH CITY OF LUBBOCK, COMMUNITY SERVICES DEPARTMENT BUDGET CATEGORY FUNDS PERCENT Administration $ 11639.00 7.2165% Direct Services 149 640.00 92.7835% Case Management 25 000.00 % Energy Crisis ** 15 000.00 % Co —Payment 74,000.00 % Elderly Assistance 15 640.00 % Heating/CoolingHeating/Cooling Systems 20 000.00 % TOTAL at 100% 161 279.00 100% NOTES: Administrative costs, salaries, fringe benefits, travel, equipment, supplies, audit and office space are limited to 7.2165% of the contract expenditures. *Contractor may adjust dollar amounts within the following components at levels not to exceed 10% of Direct Services amount: Energy Crisis (may not exceed 40% of Direct Service Dollars expended), Co —Payment, Elderly, and Heating/Cooling Systems. The Case Management Component may not be adjusted above the amount specified without prior written approval from the Department. **May allocate up to 40% of the Direct Services allowance. Department's prior written approval for purchase or lease of equipment with acquisition cost of $5,000 and over is required. Approval of this budget does not constitute prior approval. Availability of budget funds if controlled by SECTION 4(A), DEPARTMENT OBLIGATIONS, of this contract. Funds may not be used for the purchase or improvement of land, or the punccase, construction, or permanent improvement of any building or facility. PAGE 1 OF 1 EXHIBIT C ALLOWABLE ACTIVITIES DOCUMENT COMPREHENSIVE ENERGY ASSISTANCE PROGRAM I. PROGRAM GUIDELINES A. DEFINITIONS The primary intent of this program is to make funds available to enable Contractor to respond to energy needs affecting low-income households. Under this program, a household is not entitled to a preset amount of assistance. The term "household" means any individual or group of individuals who live together as one economic unit and customarily purchase residential energy in common or who make undesignated payments for energy in the form of rent. In order for a household to receive assistance through the Comprehensive Energy Assistance Program, the household must meet the following criteria: Have a gross annual income less than 125% of the current Poverty Income Guidelines. Contractor shall provide all potential clients the opportunity to make an application for the Comprehensive Energy Assistance Program. B. PRIORITY Contractor should give priority to eligible households containing one or more persons age 60 or above, a handicapped individual, and families with young children under the age of six. Contractor demonstrates adherence to these priorities by documenting special outreach efforts directed at these populations. Department will monitor Contractor on these efforts. Handicapped persons means any individual who (1) meets the definition in Section 7 (6) of the Rehabilitation Act of 1973, (2) is under a disability as defined in Section 1616 (a)(3)(A) or 233 (d)(1) of the Social Security Act or in Section 102 (7) of Construction Act, or (3) receives benefits under Chapter I 1 or 15 Title 38, United States Code. The term handicapped is further clarified to include individuals who are unable to engage in any substantial employment by reasons of any medically determinable physical or mental condition which can be expected to last for a continuous period of not less than twelve (12) months (or in the case of a child under the age of 18, if he/she suffers from any medically determinable physical or mental impairment or comparable severity). Handicapped also means any individual who has attained the age of 55 and is blind and who by reason of such blindness is no longer able to continue working in the field previously engaged. PAGE 1 OF 9 Mental impairment means a disability attributable to mental retardation, cerebral palsy, epilepsy, or another neurological condition of any individual closely related to mental retardation or to require treatment similar to that required for mentally retarded individuals. C. SERVING RENTERS The provisions set by this plan for non -renters also apply to those renters who have a separate meter or who pay their utility and/or fuel bills separately from the rent. For those renters who pay heating and utility bills as part of their rent, Contractor shall make special efforts to determine the portion of the rent that constitutes the fuel and/or utility payment. Contractor shall exercise care when negotiating with the landlords so the cost of utilities quoted is in line with the consumption for similar residents of the community. If Contractor pays the landlord, then the landlord must furnish evidence that he/she has paid the bill. II. PROGRAM ELIGIBILITY A. INCOME ELIGIBILITY GUIDELINES Contractor should only distribute available funds under the Comprehensive Energy Assistance Program to households needing energy related assistance and having an income less than 125% of the current Poverty Income Guidelines as issued by the Secretary of Planning and Evaluation, U. S. Department of Health and Human Services. When the Poverty Income Guidelines are updated, this program will follow the most current published guidelines. Income refers to total annual cash receipts before taxes from all sources. Income is more fully described in the current Poverty Income Guidelines. Contractor shall annualize income data for a part of a year in order to determine eligibility. Each Contractor should determine the method of annualizing most appropriate to that locality and abide by that method only for all recipients equally through the end of the contract period. During a contract period, a Contractor may not utilize a combination of income calculation methods. B. DETERMINATION OF INCOME Applicants must submit proof of income. Proof may consist of checks, check stubs, award letters, employee statements, etc., showing the gross monthly income, if any. In the exceptional case when proof of income is unavailable, an applicant must sign a declaration of income statement. In such cases, Contractor will verify income eligibility. Verifying PAGE 2 OF 9 income through some source other than the applicant's statement. Another member of the applicant's household may not provide this verification. Verification efforts shall be completed by the end of the next working day from when the declaration of income eligibility statement was provided. C. INCOME DISREGARD Payments made under this program are not considered income for the purpose of determining eligibility or benefits under any income maintenance program, including, but not limited to, public assistance, veteran benefits, food stamps, etc. III. PROGRAM ASSISTANCE A. ASSISTANCE Contractor may only provide the following types of assistance with funds from the Comprehensive Energy Assistance Program contract. 1. Payment to vendors and suppliers of fueUutilities, goods, and other services for past due or current bills related to the procurement of energy to heat/cool a residence. 2. Assist households in developing goals for self-sufficiency through case management. This may involve coordination of resources, referrals to other programs, and client involvement in developing an energy co -payment plan. 3. Provide utility assistance to low-income elderly households most vulnerable to the high cost of energy for home heating and cooling. 4. Replacing/retrofitting/repair of household heating and cooling systems if needed. 5. Provide assistance for an energy related crisis. 6. Contractor may pay water bills only when such cost include expenses from operating an evaporative water cooler unit or when the water bill is an inseparable part of a utility energy bill. As a part of the intake process, outreach and coordination, contractor shall confirm that a client owns a properly connected and operational cooler and has used it within sixty (60) days prior to cool the dwelling. Whenever possible, contractor shall negotiate with the utility providers to pay only the energy portion of the bill. PAGE 3 OF 9 7. Purchase, lease, or repair of butane or propane tanks as well as the gas lines associated with the tanks not to exceed the household's maximum allowable assistance and if such service ensures the flow of heat to the household. 8. Contractor may only pay a reconnection fee in line with the registered tariff filed with the Public Utility Commission and/or Texas Railroad Commission. Payment cannot exceed that stated tariff cost. Contractor must negotiate to reduce the costs to cover the actual labor and material and to assure that the utility does not assess a penalty for delinquency in payments. 9. Contractor may not pay a security deposit except when state law requires such a payment, or if the Public Utility Commission or Texas Railroad Commission has listed such a payment as an approved cost, and where required by law, tariff or regulation or a deferred payment agreement includes such a payment. Contractor cannot pay any such security deposit the energy provider will eventually return to the client. 10. While utility/fuel rates and repair charges may vary from vendor to vendor, Contractor will negotiate for the lowest possible payment. Contractor must obtain a signed vendor agreement from the energy vendor receiving direct LIHEAP payments from the contractor. 11. Contractor may make payment to landlords on behalf of eligible renters who pay their utility and/or fuel bills indirectly. Contractor shall notify each participating household of the amount of assistance paid on its behalf. Contractor must document this notification. Contractor shall maintain proof of utility or fuel bill payment. IV. OUTREACH AND COORDINATION Contractor shall document and provide outreach activities designed to assure that eligible households, especially households with elderly and/or handicapped, are made aware of the Comprehensive Energy Assistance Program. Outreach activities shall include the activities fisted below or other activities that serve the purpose of advertising the availability of the Comprehensive Energy Assistance Program. Provide information through home visits, site visits, group meetings or by telephone for the physically infirmed (i.e. elderly or handicapped); Distribute posters/flyers and other information materials in local and county social services agencies, offices of aging, social security offices, etc. Provide information on the program and eligibility criteria in articles in local newspapers or broadcast media announcements, utilizing Spanish (or Vietnamese) media where appropriate; PAGE 4 OF 9 Coordinate with other low-income services to provide LIHEAP information in conjunction with other programs. Provide information on one-to-one basis for applicants in need of translation or interpretation assistance; Provide LIHEAP application, forms, and energy education materials in Spanish; Work with energy providers in identifying potential applicants; Assist applicants to gather needed documentation; and Mail information and application. In order to achieve compliance with the LIHEAP Act, Contractor must coordinate with other energy related programs. Specifically, Contractor must make referrals to the local Weatherization Assistance Program contractor. Contractor shall accept applications for CEAP benefits at sites that are geographically accessible to all households in the service area. Contractor shall provide physically infirmed individuals the means to submit applications for CEAP benefits without leaving their residence or, transportation to the sites that accept such applications. V. APPEALS PROCESS In compliance with the Low -Income Home Energy Assistance Act, Contractor shall provide an appeals process as specified in Section 19 of this contract. VI. BENEFIT A. ENERGY CRISIS COMPONENT A bona fide energy crisis exists when extraordinary events or situations have depleted or will deplete household financial resources and/or have created problems in meeting basic household expenses, particularly bills for energy so as to constitute a threat to the health or well-being of the household, particularly the elderly, the handicapped, or very young children. NOTE: A utility termination notice alone does not constitute an energy crisis. PAGE 5 OF 9 In no event shall the sum of all energy crisis assistance provided for the contract year made to or on behalf of any household exceed the actual amount needed to ameliorate the household's energy -related crisis or $600.00, whichever is less, under this Energy Crisis Component. Where necessary to prevent undue hardships or extreme health dangers from an energy crisis, Contractor may directly issue a voucher to provide: Temporary shelter not to exceed $150.00 per household for the duration of the contract period in the limited instances that inoperable heating/cooling appliances or supply of power to the dwelling is disrupted causing temporary evacuation of household members. Payments shall not be made for rent or mortgages and; Emergency deliveries of fuel not to exceed $150.00 per delivery per household. Purchase of portable heating/cooling units not to exceed $150.00 per household for the duration of the contract period. These emergency funds, whether for emergency fuel deliveries or purchase of portable heating/cooling units with a limit of $150.00 or temporary shelter with a limit of $150.00, shall be considered part of the total maximum household allowable assistance. Funds for this program shall not be used to weatherize dwelling units, for medicine, food, transportation assistance, or penalties or fines assessed to clients. Time Limits for Assistance Contractor shall ensure that it will: Provide within forty-eight (48) hours after a household completes the application process for energy crisis benefits, some form of assistance to resolve the energy crisis if such household is eligible to receive such benefits; Provide within 18 hours after a household completes the application process for crisis benefits, some form of assistance to resolve the energy crisis if such household is eligible to receive such benefits and faces a life -threatening situation. For clients who have already lost service or are in immediate danger of losing service, the 48-hour time limit (18 hours in life -threatening situations) commences upon completion of the application process. The application process is considered to be complete when an agency representative accepts an application and terminates the client interview. Contractor must maintain written documentation in the client file that they averted the crisis within the appropriate time deadline. PAGE 6 OF 9 Example: If agency staff calls an energy vendor to either restore or delay a cut-off of the utility, document the call in the client file. Documentation should state 1) who made the call, 2) the date of the call, 3) the person called, and 4) the action taken. In order to assure that those applicants with the lowest income and the highest energy cost, taking into account family size, receive the highest level of assistance, the contractor shall base Energy Crisis payments on the following plan: HOUSEHOLDS WITH MAXIMUM INCOMES OF: ALLOWABLE ASSISTANCE 0-50% of Poverty Households would receive amount needed to solve crisis up to an amount not to exceed $600. 51-80% of Poverty Households would receive amount needed to solve crisis up to an amount not to exceed $580. 81-to less than 125% of Poverty Households would receive amount needed to solve crisis up to an amount not to exceed $560. Contractor may not establish lower local limits of assistance. B. CO -PAYMENT COMPONENT Contractor must obtain the average existing (fuel) cost for its service area from the energy vendors. The data should show the average consumption cost for the average household for each month of the year within the area. Contractor must obtain the clients' consumption and billing history for the preceding 12 months. Contractor may do so by either directly contacting the energy vendor on behalf of the individual client, or having the client obtain their own consumption history. Client/household consumption histories will provide the Contractor with the following information: Client's energy costs can be compared to the average household costs for that particular vendor. If the client has a consumption higher than that of the average household in the vendor's service area, this client may receive priority service in accordance with the U.S. Department of Health and Human Services (HHS) Assurance #5. This client may also be targeted for energy conservation education and services, budgeting and referrals on an as needed basis under case management. PAGE 7 OF 9 As a planning tool, Contractor may base future utility assistance payments and co - payments on the previous years billing. This will aid the client to budget the household expenses and will allow Contractor to maintain a running fund balance of available funds. Within the case management approach, the Contractor and the client will be able to monitor the success or failure of the conservation efforts undertaken by the client by comparing this year's bill to the previous year's bill. Maximum Benefit Levels for Co -Payment Component: CEAP co -payment clients will be enrolled in the program for a period of three months and a maximum of six months. Clients may be terminated at any time during the Co -Payment program for either attaining the goal of self-sufficiency or for failure to comply with the agency/client agreement. Utility payments on behalf of clients to utility vendors will be made on a sliding scale co -payment system designed by the subgrantee. In accordance with HHS regulations (Assurance #5), the program must target clients with the least income and the greatest energy costs. To abide by the assurance, Contractors must follow the matrix below. Clients may receive up to 100% of the bill and arrears for the first month's bill and the agreed co -payment plan as long as it does not exceed the set maximum amounts established for their income levels for the program year. 0-501/o of the federal poverty guidelines 51-80% of the federal poverty guidelines 81-125% of the federal poverty guidelines C. ELDERLY ASSISTANCE COMPONENT -Not to exceed $1000.00 for the program year -Not to exceed $900.00 for the program year -Not to exceed $800.00 for the program year In order for the program to meet the needs of the elderly, special provisions are made under the utility assistance benefit structure. Measures of self-sufficiency for the elderly should be defined as increasing their options for accessing available resources through referrals to medical and/or nutritional programs. The elderly may be given the option to participate in a co -payment plan. Payments on behalf of the elderly will be made based on the previous year's bill. Excess amounts over the actual bill will be treated as a credit with the utility company for the client. PAGE 8 OF 9 In order to meet the requirements of LIHEAP Assurance 45, Contractor must follow the matrix outlined below. Elderly clients may receive up to 100% of their bills within the contract year, including arrears, as long as the cost does not exceed the maximum allowable benefit and no more than two payments per season are made. Payments should be limited to the highest consumption months during which time the elderly are most vulnerable to energy related stress. This period may be determined by the local subgrantee. 0-50% of the federal poverty guidelines 51-80% of the federal poverty guidelines 81-125% of the federal poverty guidelines - Not to exceed $1000.00 for the program year - Not to exceed $900.00 for the program year - Not to exceed $800.00 for the program year D. REPLACEMENT/RETROFIT, AND REPAIR OF HEATING/COOLING SYSTEMS CEAP clients are eligible for replacement, retrofit, and repair of heating and cooling systems. The rep] acement/retrofit/repair must be based on need, i.e., an energy audit of the home has determined that the replacement/retrofit/repair of a heating/cooling element will be cost effective and will result in a reduction of energy consumption. Energy audits must be conducted by qualified professionals, from either within the agency, such as the weatherization program, or outside the agency. In contracting out for the service, the Contractor must follow the ECP Policy Issuance 88-10.1 for procuring goods and services. The services may include the cleaning, tuning and evaluation of systems, repair and upgrade of existing components, and replacement of unsafe or inoperable systems. Cooling systems, such as central air conditioners, window air conditioner units and evaporative coolers will be allowed under the CEAP program. Heating systems, such as central heating systems, vented and unvented space heaters, and wall heaters will be allowed under the CEAP program. The maximum allowable cost is as follows: Heating and Cooling Systems - Not to exceed $1000.00 per household for the combined systems. PAGE 9 OF 9 CITY OF LUBBOCK TO: FROM: SUBJECT: DATE: MEMO Bob Cass, City Manager Jim Bertram, Assistant City Manager Agenda Comments -- October 28, 1993 City Council Meeting October 19, 1993 CITY OF LUBBOCK AGENDA ITEM SUMMARY ITEM#/SUBJECT: # Consider a resolution authorizing the Mayor to execute a contract and all related documents between the city of Lubbock and the Texas Department of Housing and Community Affairs for the Comprehensive Assistance Energy Program. BACKGROUND/DISCUSSION: Within the past year, the Community and Neighborhood Services Department has participated in a state pilot project (Agency: The Texas Department of Housing and Community Affairs), which provided for energy assistance through a comprehensive case management approach to services. The state analyzed the findings and has now created the Comprehensive Energy Assistance Program, which combines the Low Income Heating Energy Assistance Program pilot project and the Energy Crisis Program. This new program has a three -pronged approach for providing energy services: a) energy emergency assistance for individuals in need of immediate assistance with maximum assistance of $1,000 per household. The estimated number of households to be assisted are 170. b) co -payment will provide energy assistance to individuals for a three-month period and requires comprehensive service management, mandatory trainings (energy efficiency, nutritional and dietician, etc.); and a maximum assistance of $1,000 per house- hold The estimated number of households to be assisted are 170. Bob Cass, City Manager October 19, 1993 Page 2 c) elderly assistance, which will provide energy assistance to the elderly with a maximum assistance of $1,000 per household. The estimated number of household to be assisted are 170. The current available funding for the program is a total of $161, 279: Administrative (7.2165%) $ 11,639 Direct Services (92.7835%) 149,640 $161,279 The least amount to be received for this program is $161,279. However, the maximum amount that could be received is $456,797. This would allow for a total of $432,832 in direct services. The prepaid maximum to be received is contingent upon the availability of federal funds. SUMMARY/RECOMMENDATION: The City of Lubbock Community and Neighborhood Services Department administers other energy assistance programs which help individuals in need of assistance. Due to the comprehensive services provided through these funds, the City staff recommends the approval of this grant. TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS Ann W. Richards BOARD MEMBERS GOVERNOR MEMORANDUM Paul R. Rodriguez Chairman Henry Flores Harvey Clemons Jr. EXECUTIVE DIRECTOR Elizabeth Flores Richard C. Hile TO: Sylvia Martinez -Flores, Community Services Supervisor Joseph Kemp Y Y P Walter Martinez CITY OF LUBBOCK, COMMUNITY SERVICES DEPARTMENT Judith McDonald Mary Sanger Susan Sharlot FROM: J. Al Almaguer, Program Manager Energy Assistance Section 11ty DATE: September 30, 1993 SUBJECT: Comprehensive Energy Assistance Program (CEAP) Contract No. 594048 Enclosed is the nine -month contract to implement the new Comprehensive Energy Assistance Program. Please review, complete Exhibits A and B, sign and return the complete original document to this office. A fully executed copy will be mailed to you. I urge you to share the following information with your assigned program and fiscal staff: • CEAP is the new concept replacing the Utility Assistance Program and Pilot Projects. It includes the Energy Crisis Program as a component. • Current contract funding is available from the "delayed" FFY '93 LIHEAP. Remaining funds within the planning figure will be from the FFY '94 LII-iEAP grant, upon the U.S. Department of Health and Human Services' acceptance of Texas' Plan/Application. • CEAP allows for local program flexibility but, all operations must comply with the LII3EAP assurances. • Coordinate and complete Exhibit A. Please return with Contract. • Coordinate and complete Exhibit B. Indicate dollar amount and percentage of the Direct Service funds you plan to expend for each of the Direct Service components. The Energy Crisis component may not exceed 40% of the Direct Service dollars. You must return this page as part of the completed contract. 811 BARTON SPRINGS ROAD - SUITE 100 0 P. O. BOX 13941 • AUSTIN, TEXAS 78711-3941 • (512) 475-3800 Memorandum CEAP Contract Page 2 • Frequent coordination and written agreements between your office and area energy suppliers will facilitate the success of the CEAP. • LIIIEAP funds are available on an advance basis. Requests must be limited to 30-days' need. • The Energy Assistance Section is finalizing the CEAP forms and will provide you a supply shortly. The Department looks forward to a productive year in this joint venture implementing the Comprehensive Energy Assistance Program If you have any related questions or request for specific training and/or technical assistance, please notify your assigned EA Program Officer. JAA: at Enclosure CEAPMEMO TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS Ann W. Richards BOARD MEMBERS GOVERNOR Paul R. Rodriguez Chairman Henry Flores Harvey Clemons Jr. EXECUTIVE DIRECTOR Elizabeth Flores Richard C. Hile Joseph Kemp Walter Martinez Judith McDonald MEMORANDUM Mary Sanger Susan Sharlot TO: Sylvia Martinez -Flores, Community Services Supervisor CITY OF LUBBOCK, COMMUNITY SERVICES DEPARTMENT FROM: J. Al. Almaguer, Program Manager Energy Assistance Section DATE: November 16, 1993 RE: Comprehensive Energy Assistance Program Contract No. 594048 Enclosed is your executed copy of the above referenced document. If you have any questions, please contact your assigned Energy Assistance Program Officer. JAA:smg Enclosure cletter 811 BARTON SPRINGS ROAD - SUITE 100 • P. O. BOX 13941 • AUSTIN, TEXAS 78711-3941 • (512) 475-3800 Resolution No. 4295 October 28, 1993 Item #14 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 a Contract and all related documents during the effective dates of the Contract, by and between the City of Lubbock and the Texas Department of Housing and Community Affairs for the Comprehensive Energy Assistance Program, attached herewith, which shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council tf'- ATTEST: J Betty Obhn-so-n—,VCity Secretary APPROVED AS TO CONTENT: im er ram, Assistant City Manager APPROVED AS TO FORM: l U�Wd G. vandiver, FTr Assistant City Attorney DGV:dp\AGENDA-D1\ENERGY.RES October 20, 1993 TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS CONTRACT NO. 594048 FOR THE FY 1994 COMPREHENSIVE ENERGY ASSISTANCE PROGRAM SECTION 1. PARTIES TO THE CONTRACT This contract is made by and between the Texas Department of Housing and Community Affairs, an agency of the State of Texas (the "Department") and City of Lubbock, Community Services Department (the "Contractor"). SECTION 2. CONTRACT PERIOD This contract shall commence on September 30, 1993, and unless terminated earlier, shall end on June 30, 1994 (the "Contract Period"). SECTION 3. CONTRACTOR PERFORMANCE Pursuant to the Low -Income Home Energy Assistance Act of 1981, as amended, 42 U.S.C. Sec. 8621 et seq. (the "LIHEAP Act") Contractor shall operate, on an equitable basis throughout Contractor's service area, a Comprehensive Energy Assistance Program, (the "CEAP"), in accordance with the terms of this contract and all applicable state and federal regulations. Services shall include Case Management, Energy Crisis, Co -Payment, Elderly Assistance, and Heating/Cooling Systems as further specified in the Performance Statement (Exhibit "A"), the Budget (Exhibit "B"), and the Allowable Activities Document (Exhibit "C"). Contractor's service area consists of the following Texas counties: Lubbock SECTION 4. DEPARTMENT OBLIGATIONS A. In consideration of Contractor's satisfactory performance of this contract, Department shall reimburse Contractor for the actual allowable costs incurred in the amount of FY '94 Available Funds: One Hundred Sixty -One Thousand Two Hundred Seventy -Nine and no/100 Dollars ($161,279.00) B. By written notice to Contractor, Department may obligate additional finds under Section 4(A). For planning purposes only, Contractor may assume that the total award to Contractor during the Contract Period will be: FY '94 Anticipated Funds: Four Hundred Fifty -Six Thousand Seven Hundred Ninety -Seven and no/100 Dollars ($456,797.00). PAGE 1 OF 10 C. Any decision to obligate additional funds shall be made by Department based upon factors, including but not limited to, the status of funding under grants to Department, the rate of Contractor's utilization of funds under this or previous contracts, the existence of questioned or disallowed costs under this or other contracts between the parties, and Contractor's overall compliance with the terms of this contract. D. Department's obligations under this Section are contingent upon the actual receipt of funds from the U.S. Department of Health and Human Services and the State of Texas. Department acknowledges that it has received obligations from those sources, which, if paid, will be sufficient to pay the allowable costs incurred by Contractor under this contract. E. Department is not liable for any cost incurred by Contractor which: (1) is subject to reimbursement by a source other than Department; (2) is for performance of services or activities not authorized by the LH- EAP Act, or which is not in accordance with the terms of this contract; (3) is not reported to Department on a Monthly Funding/Financial/Performance Report within sixty (60) days following the termination of this contract; or, (4) is not incurred during the Contract Period. SECTION 5. METHOD OF PAYMENT/CASH BALANCES A. For each month of the Contract Period, Contractor may request an advance payment by submitting to Department at its offices in Austin, Travis County, Texas, no later than the twentieth (20th) day of the month prior to the month for which advance payment is sought, a properly completed Monthly Funding/Financial/Performance Report and a State of Texas Purchase Voucher for an amount not to exceed Contractor's actual cash needs for the month for which such advance is sought. B. Contractor's requests for advances shall be limited to the minimum amount needed for the effective performance of this contract, and shall be timed as closely as possible to coincide with Contractor's actual immediate cash requirements. Contractor shall establish procedures to minimize the time elapsing between the transfer of funds from Department to Contractor and the disbursal of such funds by Contractor. C. Department reserves the right to utilize a cost reimbursement method of payment if (1) Contractor maintains excessive cash balances or requests advance payments in excess of thirty (30) days' need; (2) Department identifies any deficiency in the internal controls or financial management system used by Contractor; (3) Contractor violates any of the terms of this contract; or (4) Department's funding sources require the use of a cost reimbursement method of payment. PAGE 2 OF 10 D. Contractor shall refund, within fifteen (15) days of Department's request, any sum of money paid to Contractor by Department which Department determines (1) has resulted in an overpayment to Contractor or (2) has not been spent strictly in accordance with terms of this contract. Department may offset or withhold any amounts otherwise owed to Contractor under this contract against any amount owed by Contractor to Department arising under this contract. E. All funds paid to Contractor under this contract are paid in trust for the exclusive benefit of the eligible recipients of the Comprehensive Energy Assistance Program and for allowable administrative expenditures. SECTION 6. COST PRINCIPLES AND ADMINISTRATIVE REQUIREMENTS Except as specifically modified by law or the terms of this contract, Contractor shall comply with the cost principles and uniform administrative requirements set forth in the Uniform Grant and Contract Management Standards for State Agencies, 1 T.A.C. §§ 5.141 et seq. (the "Uniform Grant Management Standards") provided that all references therein to "local government" shall be construed to mean Contractor. SECTION 7. ALLOWABLE ADMINISTRATIVE EXPENDITURES Administrative costs incurred by Contractor in carrying out this contract shall be allowable up to a maximum of 7.2165% of the total allowable contract expenditures within the Contract Period. SECTION 8. TERMINATION AND SUSPENSION A. Department may terminate this contract, in whole or in part, at any time Department determines that there is cause for termination. Cause for termination includes but is not limited to Contractor's failure to comply with any term of this contract. Department shall notify Contractor in writing at least thirty (30) days before the date of termination. B. Nothing in this Section shall be construed to limit Department's authority to withhold payment and immediately suspend Contractor's performance of this contract if Department identifies possible instances of fraud, abuse, waste, fiscal mismanagement, or other deficiencies in Contractor's performance. Suspension shall be a temporary measure pending either corrective action by Contractor or a decision by Department to terminate this contract. C. Notwithstanding any exercise by Department of its right of termination or suspension, Contractor shall not be relieved of any liability to Department for damages by virtue of any breach of this contract by Contractor. Department may withhold any payment due to Contractor until such time as the exact amount of damages due to Department is agreed upon or is otherwise determined. D. Department shall not be liable for any costs incurred by Contractor after termination or during suspension of this contract. PAGE 3 OF 10 SECTION 9. CHANGES AND AMENDMENTS Any change in the terms of this contract required by a change in federal or state law or regulation is automatically incorporated herein effective on the date designated by such law or regulation. Except as otherwise specifically provided herein any other change in the terms of this contract shall be by amendment in writing and signed by both parties. SECTION 10. DEPARTMENT ISSUANCES Department may issue regulations or policy directives which serve to establish Contractor eligibility or interpret and clarify the terms of this contract. Such regulations or policy directives shall be in the form of Issuances. Issuances shall not alter the terms of this contract so as to relieve Department of any obligation to reimburse an allowable cost incurred by Contractor prior to the effective date of the Issuance or five days after such Issuance is mailed or delivered to Contractor, whichever is later. All Issuances promulgated by Department, whether before or after the execution of this contract, shall govern the performance of this contract until specifically rescinded by Department. SECTION 11. MONITORING Department or its designee may conduct on and off -site monitoring and evaluation of Contractor's compliance with the terms of this contract. Department's monitoring may include a review of the efficiency, economy, and effectiveness of Contractor's performance. Department will notify Contractor in writing of any deficiencies noted during such monitoring. Department may provide training and technical assistance to Contractor in correcting the deficiencies noted. Department may require or suggest corrective action to remedy deficiencies noted in Contractor's accounting, personnel, procurement, and management procedures and systems. Department may conduct follow-up visits to review the previously noted deficiencies and to assess the efforts made to correct them. Department may terminate or suspend this contract or invoke other remedies Department determines to be appropriate in the event monitoring uncovers material deficiencies in Contractor's performance or if Contractor fails to correct any deficiency within a reasonable period of time. Department or its designee may conduct an ongoing program evaluation throughout the contract year. SECTION 12. RETENTION AND ACCESSIBILM OF RECORDS A. Contractor shall maintain fiscal records and supporting documentation for all expenditures made under this contract in accordance with the retention and custodial requirements for records set forth in the Uniform Grant Management Standards, Common Rule § .42. B. Contractor shall maintain a client file system to document direct services rendered. Each client file shall contain the following: 1. Department's Client application; 2. Documentation/Verification of Client Income; 3. Declaration of Income Eligibility (when required); 4. Copy of Client's Utility Bill(s); PAGE 4 OF 10 5. Documentation of Payment. (Documentation of payment may be maintained in a separate file, but must be accessible at the site where client files are maintained.); 6. Benefits Determination Form; and, 7. Notice of Denial Form. C. Contractor shall give the U.S. Department of Health and Human Services, the U.S. General Accounting Office, and Department, or any of their duly authorized representatives, access to and the right to examine and copy, on or off the premises of Contractor, all records pertaining to this contract. Such right to access shall continue as long as the records are retained by Contractor. Contractor agrees to maintain such records in an accessible location and to cooperate with any examination conducted pursuant to this Subsection. Contractor shall include the substance of this subsection in all subcontracts. SECTION 13. REPORTING REQUIREMENTS A Contractor shall submit, for receipt by Department no later than twenty (20) days after the end of each month of the Contract Period a Monthly Funding/Financial/Performance Report of all expenditure of funds under this contract during the previous month. B. Contractor shall submit to Department no later than sixty (60) days after the end of the Contract Period an inventory of all equipment acquired in whole or in part with funds received under this contract. Upon the termination of this Contract, Department may transfer title to any nonexpendable personal property so acquired to itself or to any other entity receiving funds under the LIHEAP Act. C. Contractor shall submit to Department no later than sixty (60) days after the termination of this contract, a final Monthly Funding/Financial/Performance Report of all expenditures of funds under this contract. The failure of Contractor to provide a full accounting of funds expended under this contract may result in the termination of this contract and holding contractor ineligible to receive additional funds. D. If Contractor fails to submit, in a timely and satisfactory manner, any report or response required by this contract, Department may withhold any or all payments otherwise due or requested by Contractor hereunder. Payments may be withheld until such time as the delinquent report or response is received by Department. If the delinquent report or response is not received within forty-five (45) days of its due date, Department may suspend or terminate this contract. If Contractor receives funds from Department over two or more contract periods, funds may be withheld or this contract suspended or terminated for Contractor's failure to submit a report or response (including a report of audit) past due from a prior contract. SECTION 14. INDEPENDENT CONTRACTOR It is agreed that Department is contracting with Contractor as an independent contractor. Contractor agrees to indemnify Department against all disallowed costs or other claims which may be asserted by any third party in connection with Contractor's performance of this contract. PAGE 5 OF 10 SECTION 15. SUBCONTRACTS A. Contractor may not subcontract the performance of this contract unless it receives Department's prior written approval. Contractor shall submit to Department a signed copy of each such subcontract. Department is in no way liable to Contractor's subcontractor(s). B. Subcontractors shall comply with the terms of this contract to the same extent as if the performance rendered by the subcontractor were being rendered by Contractor. Subcontractors will be subject to monitoring and investigation by Department. SECTION 16. CONFLICT OF INTEREST/NEPOTISM A. Contractor covenants that neither it nor any member of its governing body presently has or shall acquire any interest, direct or indirect, which would conflict in any manner with the performance of this contract. No person having such interest shall be employed by Contractor or appointed as a member of Contractor's governing body. B. Contractor agrees that it will comply with TEX. REV. CIV. STAT. ANN. ART. 5996 by ensuring that no officer, employee, or member of the governing body of Contractor shall vote or confirm the employment of any person related within the second degree by affinity or third degree by consanguinity to any member of the government body or to any other officer or employee authorized to employ or supervise such person. C. Contractor shall ensure that no employee, officer, or agent of Contractor shall participate in the selection, or in the award or administration of a subcontract supported by funds provided hereunder if a conflict of interest, real or apparent, would be involved. Such a conflict of interest would arise when: 1) the employee, officer, or agent 2) any member of his or her immediate family 3) his or her partner or 4) any organization which employs or is about to employ, any of the above, has a financial or other interest in the firm or person selected to perform the subcontract. D. Contractor's employees, officers, and/or agents shall neither solicit nor accept gratuities, favors, or anything of monetary value from subcontractors, or potential subcontractors. SECTION 17. NON-DISCRIMINATION AND EQUAL OPPORTUNITY No person shall on the grounds of race, color, religion, sex, national origin, age, handicap, political affiliation or belief be excluded from participation in, be denied the benefits of, be subjected to discrimination under, or be denied employment in the administration of or in connection with any program or activity funded in whole or in part with funds made available under this contract. PAGE 6OF10 SECTION 18. LEGAL AUTHORITY A. Contractor represents that it possesses the legal authority to enter into this contract and to perform the services Contractor has obligated itself to perform hereunder. B. The person signing this contract on behalf of Contractor hereby warrants that he/she was been duly authorized by Contractor to execute this contract on behalf of Contractor and to bind Contractor to the terms herein set forth. C. Department shall have the right to suspend or terminate this contract if there is a dispute as to the legal authority of either Contractor or the person signing this contract to enter into this contract or to render performances hereunder. Contractor is liable to Department for any money it has received from Department for performance of the provisions of this contract, if Department has suspended or terminated this contract for reasons enumerated in this Section 18. SECTION 19. APPEALS PROCESS In compliance with the LIIIEAP Act, Contractor must provide an opportunity for a fair administrative hearing to individuals whose application for assistance is denied, or not acted upon in a timely manner by: 1) Providing written notification to applicant of denial of assistance within ten (10) days of the adverse determination which shall include written instructions of the appeals process. Applicants wishing to appeal a decision must provide written notice to Contractor within 10 days of receipt of the denial notice. 2) Requiring each CEAP Contractor to establish a written appeals procedure which shall, at a minimum, include the following provisions: a. Establish an appeals committee composed of at least three (3) persons. b. Appeals must be heard by the committee within 10 days of Contractor's receipt of the appeal. c. Tape record all appeal hearings. d. Require a majority vote to sustain the appeal and approve assistance for the applicant. e. Require a majority vote to deny the appeal and provide written notification to applicant the results of the appeal by close of business the following business day. The notification must include the applicant's right to appeal an adverse determination to the Department. PAGE 7 OF 10 f. To appeal to the Texas Department of Housing & Community Affairs, an applicant must provide an appeal request to Department in writing within 10 days of an adverse determination by Contractor. Department will review the tape recording of the hearing, the committee's decision and any other relevant information the Department requests. No oral testimony will be allowed. Department will notify all parties in writing of its decision within 30 days of the receipt of the appeal. SECTION 20. AUDIT A. Contractor shall arrange for the annual performance of a financial and compliance audit of the funds received under this contract. The audit shall be made in accordance with the Single Audit Act of 1984, 31 U.S.C. sec 7501 et seq. (herein the "Audit Act"), and OMB Circular No. A-128, "Audits of State and Local Governments", 45 CFR Part 74, Appendix J or OMB Circular No. A- 133, "Audits of Instructions of Higher Education and other nonprofit Institutions", 45 C.FRR Part 74, Appendix I. Where a contract is awarded for audit services, the contract shall include a reference to the Audit Act and OMB Circular A-128 or A-133. Contractor shall take such action to facilitate the performance of the audit(s) conducted pursuant to this Section as Department may require. Audits are to be conducted in accordance with GAGAS (generally accepted government auditing standards). B. Contractor shall submit three (3) copies of the report of such audit to Department no later than one hundred twenty (120) days after the end of the audit periods. Audits performed under this Section are subject to review and resolution by Department or its authorized representative after the end of the audit period. C. Contractor shall take immediate appropriate corrective action after issuance of the audit report in instances of material noncompliance with laws, regulations or this contract. Contractor shall be liable to Department for any costs disallowed pursuant to financial and compliance audits(s) of funds received under this contract. Reimbursement to Department of disallowed costs shall be paid by Contractor from funds which were not made available to Contractor under any contract with Department. SECTION 21. POLITICAL AND SECTARIAN ACTIVITY PROHIBITED A. No funds received by Contractor hereunder may be used for any political activity including, but not limited to, any attempt to influence the outcome of any election or the passage or defeat of any legislation or appropriation. B. No funds received by Contractor under this contract may be used, either directly or indirectly, to support any religious or anti -religious activity. PAGE 8 OF C. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this federal contract, grant, loan, or cooperative agreement, Contractor shall complete and submit a Certification Regarding Lobbying form in accordance with its instructions and 45 CFR Part 93. SECTION 22. PREVENTION OF WASTE, FRAUD, AND ABUSE A. Contractor shall establish, maintain, and utilize systems and procedures to prevent, detect and correct waste, fraud and abuse in activities funded under this contract. The systems and procedures are to address possible waste, fraud and abuse by Contractor, its employees, recipients, vendors and administering agencies. Contractor's internal control systems and all transactions and other significant events are to be clearly documented, and the documentation is to be readily available for monitoring by Department. B. Contractor shall give Department complete access to all of its records, employees, and agents for the purposes of any investigation of the Comprehensive Energy Assistance Program. Contractor shall immediately notify Department of any discovery of waste, fraud or abuse. Contractor shall fully cooperate with Department's efforts to detect, investigate, and prevent waste, fraud and abuse in the Comprehensive Energy Assistance Program. C. Contractor may not discriminate against any employee or other person who reports a violation of the terms of this contract or of any law or regulation to Department or to any appropriate law enforcement authority, if the report is made in good faith. SECTION 23. MAINTENANCE OF EFFORT Funds provided to Contractor under this contract may not be substituted for funds or resources from any other source nor in any way serve to reduce the funds or resources which would have been available to or provided through Contractor had this contract never been executed. SECTION 24. NO WAIVER Any right or remedy given to Department by this contract shall not preclude the existence of any other right or remedy, nor shall any action taken in the exercise of any right or remedy by deemed a waiver of any other right or remedy. The failure of Department to exercise any right or remedy on any occasion shall not constitute a waiver of Department's right to exercise that or any other right or remedy at a later time. SECTION 25. SEVERABILITY If any portion of this contract is held to be invalid by a court or administrative tribunal of competent jurisdiction, the remainder shall remain valid and binding. PAGE 9 OF 10 SECTION 26. ORAL AND WRITTEN AGREEMENTS: All oral and written agreements between the parties relating to the subject matter of this contract have been reduced to writing and are contained in this document and the exhibits attached hereto. SECTION 27. DEBARRED AND SUSPENDED PARTIES Contractor must not make any award (subgrant or contract) to any party which is debarred or suspended or is otherwise excluded from or ineligible for participation in Federal assistance programs under Executive Order 12549, and 45 CFR Part 76. SECTION 28. EXHIBITS The exhibits identified below are hereby made a part of this contract (1) Exhibit A, Performance Statement (2) Exhibit B, Budget (3) Exhibit C, Allowable Activites Document Executed this 28th day of October 1993. APPROVED AS TO CONTENT: t Jim Bsitr m, Assistant City Manager APPROVED AS TO FORM: '0�rzl G. Vandiver, First Assistant City Attorney \CITY F L7AN=Z1 COM NSERVICES i David R. TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS LI&I 110%A BY: Henry F es Executive DiMitor This Contract is not effective until signed by the Executive Direcotr of Department or designee. PAGE 10 of 10 TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS EXHIBIT A PERFORMANCE STATEMENT COMPREHENSIVE ENERGY ASSISTANCE PROGRAM CONTRACT NO. 12404g WITH CITY OF LUBBOCK, COMMUNITY SERVICES DEPARTMENT NUMBER NUMBER ACTIVITIES DESCRIPTION OF OF HOUSEHOLDS PERSONS SERVED SERVED Contractor shall develop a Comprehensive Energy Assistance Program which will provide assistance to they>: J -.� minimum number of households and persons identified in � this table for low-income residents of the geographic area referred to in Section 3 of this contract. �:.�1 11 ���Jf 'J /.%'�:. � ylJl� �Y,��1 � V. 0 NMI ,• j Entries are estimated figures and may vary between ` components, which reflect service area needs and /.. rI :::::.JJ "l.;i'•J%//:: `;,�,•.�:};,:;�;:��:�.�fr,;:::,; Y f %'•' f' •Yi:?.: :<,fi�,!�:'., �%;< I:F IC �'�f/,.:.l, limitations established in Exhibit B of this contract. .,{rf:{i:?i+iYf: f`:?.`:;:}i:Y:}�•i?� ffr.: ':l;J?$:::>{+.4h:?:iiii:>{i::.'?iiff� li: €%�!:-:?':•:":,::,•::.,..:••:,1,•,,..,:::.:::. ..f)y>i' i�fi?•iif:/+f J!.'r'ii 5::+r.:%ii ::.yf:f:..li,/.J...+..., �� . h.� ENERGY CRISIS 30 105 CO -PAYMENT 85 298 ELDERLY ASSISTANCE 25 45 HEATING/COOLING SYSTEMS 20 n TOTAL 160 518 PAGE 1 OF 1 TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS EXHIBIT B BUDGET COMPREHENSIVE ENERGY ASSISTANCE PROGRAM CONTRACT NO.5,Q4048 WITH CITY OF LUBBOCK, COMMUNITY SERVICES DEPARTMENT BUDGET CATEGORY FUNDS PERCENT Administration (7.2165) $ 11,639.00 % Direct Services 92.7835%)* $ 149,640.00 % Case Management $ 25,000.00 15.5 % Energy Crisis ** $ 15,000.00 9.3% Co -Payment $ 74,000.00 45.8% —Elderly Assistance $ 15,640.00 9.7% -Heating/CoolingSystems $ 20,000.00 12.4 % —Heating/Cooling Total at 100% $ 161279.00 100% J=: Administrative costs, salaries, fringe benefits, travel, equipment, supplies, audit and office space are limited to 7.2165% of the contract expenditures. *Contractor may adjust dollar amounts within the following components at levels not to exceed 10% of Direct Services amount: Energy Crisis (may not exceed 40% of Direct Service Dollars expended), Co -Payment, Elderly, and Heating/Cooling Systems. The Case Management Component may not be adjusted above the amount specified without prior written approval from the Department. **May allocate up to 40% of the Direct Services allowance. Department's prior written approval for purchase or lease of equipment with acquisition cost of $5,000 and over is required. Approval of this budget does not constitute prior approval. Availability of budget funds is controlled by SECTION 4(A), DEPARTMENT OBLIGATIONS, of this contract. Funds may not be used for the purchase or improvement of land, or the purchase, construction, or permanent improvement of any building or facility. PAGE 1 OF 1 EXHIBIT C ALLOWABLE ACTIVITIES DOCUMENT COMPREHENSIVE ENERGY ASSISTANCE PROGRAM I. PROGRAM GUIDELINES A. DEFINITIONS The primary intent of this program is to make funds available to enable Contractor to respond to energy needs affecting low-income households. Under this program, a household is not entitled to a preset amount of assistance. The term "household" means any individual or group of individuals who live together as one economic unit and customarily purchase residential energy in common or who make undesignated payments for energy in the form of rent. In order for a household to receive assistance through the Comprehensive Energy Assistance Program, the household must meet the following criteria: Have a gross annual income less than 125% of the current Poverty Income Guidelines. Contractor shall provide all potential clients the opportunity to make an application for the Comprehensive Energy Assistance Program. IMMIRVA •4 Contractor should give priority to eligible households containing one or more persons age 60 or above, a handicapped individual, and families with young children under the age of six. Contractor demonstrates adherence to these priorities by documenting special outreach efforts directed at these populations. Department will monitor Contractor on these efforts. Handicapped persons means any individual who (1) meets the definition in Section 7 (6) of the Rehabilitation Act of 1973, (2) is under a disability as defined in Section 1616 (a)(3)(A) or 233 (d)(1) of the Social Security Act or in Section 102 (7) of Construction Act, or (3) receives benefits under Chapter 11 or 15 Title 38, United States Code. The term handicapped is further clarified to include individuals who are unable to engage in any substantial employment by reasons of any medically determinable physical or mental condition which can be expected to last for a continuous period of not less than twelve (12) months (or in the case of a child under the age of 18, if he/she suffers from any medically determinable physical or mental impairment or comparable severity). Handicapped also means any individual who has attained the age of 55 and is blind and who by reason of such blindness is no longer able to continue working in the field previously engaged. PAGE 1 OF 9 Mental impairment means a disability attributable to mental retardation, cerebral palsy, epilepsy, or another neurological condition of any individual closely related to mental retardation or to require treatment similar to that required for mentally retarded individuals. C. SERVING RENTERS The provisions set by this plan for non -renters also apply to those renters who have a separate meter or who pay their utility and/or fuel bills separately from the rent. For those renters who pay heating and utility bills as part of their rent, Contractor shall make special efforts to determine the portion of the rent that constitutes the fuel and/or utility payment. Contractor shall exercise care when negotiating with the landlords so the cost of utilities quoted is in line with the consumption for similar residents of the community. If Contractor pays the landlord, then the landlord must furnish evidence that he/she has paid the bill. II. PROGRAM ELIGIBILITY A. INCOME ELIGIBILITY GUIDELINES Contractor should only distribute available funds under the Comprehensive Energy Assistance Program to households needing energy related assistance and having an income less than 125% of the current Poverty Income Guidelines as issued by the Secretary of Planning and Evaluation, U. S. Department of Health and Human Services. When the Poverty Income Guidelines are updated, this program will follow the most current published guidelines. Income refers to total annual cash receipts before taxes from all sources. Income is more fully described in the current Poverty Income Guidelines. Contractor shall annualize income data for a part of a year in order to determine eligibility. Each Contractor should determine the method of annualizing most appropriate to that locality and abide by that method only for all recipients equally through the end of the contract period. During a contract period, a Contractor may not utilize a combination of income calculation methods. B. DETERMINATION OF INCOME Applicants must submit proof of income. Proof may consist of checks, check stubs, award letters, employee statements, etc., showing the gross monthly income, if any. In the exceptional case when proof of income is unavailable, an applicant must sign a declaration of income statement. In such cases, Contractor will verify income eligibility. Verifying PAGE 2 OF 9 income through some source other than the applicant's statement. Another member of the applicant's household may not provide this verification. Verification efforts shall be completed by the end of the next working day from when the declaration of income eligibility statement was provided. C. INCOME DISREGARD Payments made under this program are not considered income for the purpose of determining eligibility or benefits under any income maintenance program, including, but not limited to, public assistance, veteran benefits, food stamps, etc. III. PROGRAM ASSISTANCE A. ASSISTANCE Contractor may only provide the following types of assistance with funds from the Comprehensive Energy Assistance Program contract. I. Payment to vendors and suppliers of fueVutilities, goods, and other services for past due or current bills related to the procurement of energy to heat/cool a residence. 2. Assist households in developing goals for self-sufficiency through case management. This may involve coordination of resources, referrals to other programs, and client involvement in developing an energy co -payment plan. 3. Provide utility assistance to low-income elderly households most vulnerable to the high cost of energy for home heating and cooling. 4. Replacing/retrofitting/repair of household heating and cooling systems if needed. 5. Provide assistance for an energy related crisis. 6. Contractor may pay water bills only when such cost include expenses from operating an evaporative water cooler unit or when the water bill is an inseparable part of a utility energy bill. As a part of the intake process, outreach and coordination, contractor shall confirm that a client owns a properly connected and operational cooler and has used it within sixty (60) days prior to cool the dwelling. Whenever possible, contractor shall negotiate with the utility providers to pay only the energy portion of the bill. PAGE 3 OF 9 7. Purchase, lease, or repair of butane or propane tanks as well as the gas lines associated with the tanks not to exceed the household's maximum allowable assistance and if such service ensures the flow of heat to the household. 8. Contractor may only pay a reconnection fee in line with the registered tariff filed with the Public Utility Commission and/or Texas Railroad Commission. Payment cannot exceed that stated tariff cost. Contractor must negotiate to reduce the costs to cover the actual labor and material and to assure that the utility does not assess a penalty for delinquency in payments. 9. Contractor may not pay a security deposit except when state law requires such a payment, or if the Public Utility Commission or Texas Railroad Commission has listed such a payment as an approved cost, and where required by law, tariff or regulation or a deferred payment agreement includes such a payment. Contractor cannot pay any such security deposit the energy provider will eventually return to the client. 10. While utility/fuel rates and repair charges may vary from vendor to vendor, Contractor will negotiate for the lowest possible payment. Contractor must obtain a signed vendor agreement from the energy vendor receiving direct LIHEAP payments from the contractor. 11. Contractor may make payment to landlords on behalf of eligible renters who pay their utility and/or fuel bills indirectly. Contractor shall notify each participating household of the amount of assistance paid on its behalf. Contractor must document this notification. Contractor shall maintain proof of utility or fuel bill payment. IV. OUTREACH AND COORDINATION Contractor shall document and provide outreach activities designed to assure that eligible households, especially households with elderly and/or handicapped, are made aware of the Comprehensive Energy Assistance Program. Outreach activities shall include the activities listed below or other activities that serve the purpose of advertising the availability of the Comprehensive Energy Assistance Program. Provide information through home visits, site visits, group meetings or by telephone for the physically infirmed (i.e. elderly or handicapped); Distribute posters/flyers and other information materials in local and county social services agencies, offices of aging, social security offices, etc. Provide information on the program and eligibility criteria in articles in local newspapers or broadcast media announcements, utilizing Spanish (or Vietnamese) media where appropriate; PAGE 4 OF 9 Coordinate with other low-income services to provide LIHEAP information in conjunction with other programs. Provide information on one-to-one basis for applicants in need of translation or interpretation assistance; Provide LIHEAP application, forms, and energy education materials in Spanish; Work with energy providers in identifying potential applicants; I Assist applicants to gather needed documentation; and Mail information and application. In order to achieve compliance with the LIHEAP Act, Contractor must coordinate with other energy related programs. Specifically, Contractor must make referrals to the local Weatherization Assistance Program contractor. Contractor shall accept applications for CEAP benefits at sites that are geographically accessible to all households in the service area. Contractor shall provide physically infirmed individuals the means to submit applications for CEAP benefits without leaving their residence or, transportation to the sites that accept such applications. V. APPEALS PROCESS In compliance with the Low -Income Home Energy Assistance Act, Contractor shall provide an appeals process as specified in Section 19 of this contract. VI. BENEFIT A. ENERGY CRISIS COMPONENT A bona fide energy crisis exists when extraordinary events or situations have depleted or will deplete household financial resources and/or have created problems in meeting basic household expenses, particularly bills for energy so as to constitute a threat to the health or well-being of the household, particularly the elderly, the handicapped, or very young children. NOTE: A utility termination notice alone does not constitute an energy crisis. PAGE 5 OF 9 In no event shall the sum of all energy made to or on behalf of any household the household's energy -related cfisis or Crisis Component. crisis assistance provided for the contract year exceed the actual amount needed to ameliorate $600.00, whichever is less, under this Energy Where necessary to prevent undue hardships or extreme health dangers from an energy crisis, Contractor may directly issue a voucher to provide: Temporary shelter not to exceed $150.00 per household for the duration of the contract period in the limited instances that inoperable heating/cooling appliances or supply of power to the dwelling is disrupted causing temporary evacuation of household members. Payments shall not be made for rent or mortgages and; Emergency deliveries of fuel not to exceed $150.00 per delivery per household. Purchase of op rtable heating/cooling units not to exceed $150.00 per household for the duration of the contract period. These emergency funds, whether for emergency fuel deliveries or purchase of portable heating/cooling units with a limit of $150.00 or temporary shelter with a limit of $150.00, shall be considered part of the total maximum household allowable assistance. Funds for this program shall not be used to weatherize dwelling units, for medicine, food, transportation assistance, or penalties or fines assessed to clients. Time Limits for Assistance Contractor shall ensure that it will: Provide within forty-eight (48) hours after a household completes the application process for energy crisis benefits, some form of assistance to resolve the energy crisis if such household is eligible to receive such benefits; Provide within 18 hours after a household completes the application process for crisis benefits, some form of assistance to resolve the energy cfisis if such household is eligible to receive such benefits and faces a life -threatening situation. For clients who have already lost service or are in immediate danger of losing service, the 48-hour time limit (18 hours in life -threatening situations) commences upon completion of the application process. The application process is considered to be complete when an agency representative accepts an application and terminates the client interview. Contractor must maintain written documentation in the client file that they averted the crisis within the appropriate time deadline. PAGE 6 OF 9 Example: If agency staff calls an energy vendor to either restore or delay a cut-off of the utility, document the call in the client file. Documentation should state 1) who made the call, 2) the date of the call, 3) the person called, and 4) the action taken. In order to assure that those applicants with the lowest income and the highest energy cost, taking into account family size, receive the highest level of assistance, the contractor shall base Energy Crisis payments on the following plan: HOUSEHOLDS WITH MAXIMUM INCOMES OF: ALLOWABLE ASSISTANCE 0-50% of Poverty Households would receive amount needed to solve crisis up to an amount not to exceed $600. 51-80% of Poverty Households would receive amount needed to solve crisis up to an amount not to exceed $580. 81-to less than 125% of Poverty Households would receive amount needed to solve crisis up to an amount not to exceed $560. Contractor may not establish lower local limits of assistance. B. CO -PAYMENT COMPONENT Contractor must obtain the average existing (fuel) cost for its service area from the energy vendors. The data should show the average consumption cost for the average household for each month of the year within the area. Contractor must obtain the clients' consumption and billing history for the preceding 12 months. Contractor may do so by either directly contacting the energy vendor on behalf of the individual client, or having the client obtain their own consumption history. Client/household consumption histories will provide the Contractor with the following information: Client's energy costs can be compared to the average household costs for that - particular vendor. If the client has a consumption higher than that of the average household in the vendor's service area, this client may receive priority service in accordance with the U.S. Department of Health and Human Services (HHS) Assurance #5. This client may also be targeted for energy conservation education and services, budgeting and referrals on an as needed basis under case management. PAGE 7 OF 9 As a planning tool, Contractor may base future utility assistance payments and co - payments on the previous years billing. This will aid the client to budget the household expenses and will allow Contractor to maintain a running fund balance of available funds. Within the case management approach, the Contractor and the client will be able to monitor the success or failure of the conservation efforts undertaken by the client by comparing this year's bill to the previous year's bill. Maximum Benefit Levels for Co -Payment Component: CEAP co -payment clients will be enrolled in the program for a period of three months and a maximum of six months. Clients may be terminated at any time during the Co -Payment program for either attaining the goal of self-sufficiency or for failure to comply with the agency/client agreement. Utility payments on behalf of clients to utility vendors will be made on a sliding scale co -payment system designed by the subgrantee. In accordance with HHS regulations (Assurance #5), the program must target clients with the least income and the greatest energy costs. To abide by the assurance, Contractors must follow the matrix below. Clients may receive up to 100% of the bill and arrears for the first month's bill and the agreed co -payment plan as long as it does not exceed the set maximum amounts established for their income levels for the program year. 0-50% of the federal poverty guidelines -Not to exceed $1000.00 for the program year 51-80% of the federal poverty guidelines -Not to exceed $900.00 for the program year 81-125% of the federal poverty guidelines -Not to exceed $800.00 for the program year C. ELDERLY ASSISTANCE COMPONENT In order for the program to meet the needs of the elderly, special provisions are made under the utility assistance benefit structure. Measures of self-sufficiency for the elderly should be defined as increasing their options for accessing available resources through referrals to medical and/or nutritional programs. The elderly may be given the option to participate in a co -payment plan. Payments on behalf of the elderly will be made based on the previous year's bill. Excess amounts over the actual bill will be treated as a credit with the utility company for the client. PAGE 8 OF 9 In order to meet the requirements of LIHEAP Assurance #5, Contractor must follow the matrix outlined below. Elderly clients may receive up to 100% of their bills within the contract year, including arrears, as long as the cost does not exceed the maximum allowable benefit and no more than two payments per season are made. Payments should be limited to the highest consumption months during which time the elderly are most vulnerable to energy related stress. This period may be determined by the local subgrantee. 0-50% of the federal poverty guidelines 51-80% of the federal poverty guidelines 81-125% of the federal poverty guidelines - Not to exceed $1000.00 for the program year - Not to exceed $900.00 for the program year - Not to exceed $800.00 for the program year D. REPLACEMENT/RETROFIT, AND REPAIR OF HEATING/COOLING SYSTEMS CEAP clients are eligible for replacement, retrofit, and repair of heating and cooling systems. The replacement/retrofit/repair must be based on need, i.e., an energy audit of the home has determined that the replacement/retrofit/repair of a heating/cooling element will be cost effective and will result in a reduction of energy consumption. Energy audits must be conducted by qualified professionals, from either within the agency, such as the weatherization program, or outside the agency. In contracting out for the service, the Contractor must follow the ECP Policy Issuance 88-10.1 for procuring goods and services. The services may include the cleaning, tuning and evaluation of systems, repair and upgrade of existing components, and replacement of unsafe or inoperable systems. Cooling systems, such as central air conditioners, window air conditioner units and evaporative coolers will be allowed under the CEAP program. Heating systems, such as central heating systems, vented and unvented space heaters, and wall heaters will be allowed under the CEAP program. The maximum allowable cost is as follows: Heating and Cooling Systems - Not to exceed $1000.00 per household for the combined systems. PAGE 9 OF 9