HomeMy WebLinkAboutResolution - 2013-R0056 - Contract - TX DHCA - CEAP - 02/14/2013Resolution N0. 2013-R0056
February 14, 2013
Item No. 5.2.2
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock is hereby authorized and directed to
execute for and on behalf of the City of Lubbock, a Contract, by and between the City of
Lubbock and Texas Department of Housing and Community Affairs for the
Comprehensive Energy Assistance Program, and all related documents. Said Contract is
attached hereto and incorporated in this resolution as if fully set forth herein and shall be
included in the minutes of the City Council.
Passed by the City Council this 14th day of ___February , 2013.
GLE . ROBERTSON, MAYOR
ATTEST:
Rebe a Garza, City Secretary
APPROVED AS TO CONTENT:
Phyllj rown, Interim Community Development Director
:f
APPROVED AS TO FORM:
Amy �Agist ney
r
Res.CDBG-TexDept of Housing -Comprehensive Energy Assist Prog.13
1.24.2013
Resolution No. 2013-R0056
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS
CONTRACT NO. 58130001622 FOR THE
COMPREHENSIVE ENERGY ASSISTANCE PROGRAM (CEAP)
(CFDA # 93.568)
SECTION 1. PARTIES TO THE CONTRACT
This Comprehensive Energy Assistance Program Contract No. 58130001622 (the "Contract") is made by and between the Texas
Department of Housing and Community Affairs, a public and official agency of the State of Texas (the "Department"), and Cn} of
Lubbock, a political subdivision (the "Subrecipient"), hereinafter the "Parties".
SECTION 2. CONTRACT PERIOD
The period for performance of this Contract, unless earlier terminated, is January 01, 2013 through December 31. 2013 (hereinafter
the "Contract Term").
SECTION 3. SUBRECIPIENT PERFORMANCE
Subrecipient shall, on an equitable basis throughout its service area, operate a Comprehensive Energy Assistance Program,
(hereinafter the "CEAP"), in accordance with the Economic Opportunity Act of 1964 (Public Law 88-452), the Low -Income Home
Energy Assistance Act of 1981 as amended (42 U.S.C. Sec. 8621 et seq.) (Title XXVI of the Omnibus Budget Reconciliation Act of
1981, Public Law 97-35, as amended) (hereinafter the "LIHEAP Act"), Chapter 2306 of the Texas Government Code (hereinafter
the "State Act"), the implementing State regulations under Title 10, Part 1, Chapter 5, Subchapters A and D of the Texas
Administrative Code, as amended or supplemented from time to time (hereinafter the "State Rules"), the LIHEAP State Plan,
Subrecipient's Service Delivery Plan as defined in the State Rules, the Department's guidance related to CEAP, all applicable state
and federal regulations and the terms of this Contract. Subrecipient shall assist low-income households with priority being given in
no particular order to elderly, persons with disabilities, households with a young child 5 years of age or under, households with high
energy burden and households with high energy consumption. Subrecipient shall implement the CEAP in accordance with the
Certifications attached hereto as Exhibit A, the Budget attached hereto as Exhibit B, the Personal Responsibility and Work
Opportunity Act of 1996 ("PRWORA") Requirements for the CEAP attached hereto as Exhibit C, the Documentation of Disability
requirements attached hereto as Exhibit D, and all such Exhibits incorporated herein for all relevant purposes; the assurances,
certifications, and all other statements made by Subrecipient in its application funding under this Contract; and with all other terms,
provisions, and requirements herein set forth. Subrecipient shall perform direct services under this Contract beginning on January
7, 2013 and continuing until the end of the Contract Term in accordance with the State Rules, amended to be effective January 7,
2013.
SECTION 4. DEPARTMENT OBLIGATIONS
A. In consideration of Subrecipient's satisfactory performance of this Contract, Department shall reimburse Subrecipient for the
actual allowable costs for administrative expenditures and Assurance 16 activities as defined herein incurred by Subrecipient
during the Contract Term and for the actual allowable costs for direct services incurred by Subrecipient on or after January 7,
2013, in the amount specified in Exhibit B, Budget, of this Contract.
B. Any decision to obligate additional funds or deobligate funds shall be made in writing by Department in its sole discretion
based upon factors including, but not limited to, the status of funding under grants to Department, the rate of Subrecipient'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 Subrecipient's overall compliance with the terms of this Contract.
C. Department's obligations under this Contract are contingent upon the actual receipt of funds from the U S. Department of
Health and Human Services. if sufficient funds are not available to make payments under this Contract, Department shall
notify Subrecipient in writing within a reasonable time after such fact is determined. Department shall then terminate this
Contract and will not be liable for the failure to make any payment to Subrecipient under this Contract. Department
acknowledges that it has received obligations from those sources which, if paid, will be sufficient to pay the allowable costs
incurred by Subrecipient under this Contract.
D. Department is not liable for any cost incurred by Subrecipient which:
is subject to reimbursement by a source other than Department;
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2 is for performance of services or activities not authorized by the LIHEAP Act, or which is not in accordance with the
terms of this Contract;
3. is for non -administrative services such as direct services incurred from January 1, 2013 to January 6, 2013,
4. is not incurred during the Contract Term;
5. is not reported to Department on a monthly expenditure or performance report within forty five (45) days following the
end of the Contract Term; or
6. is incurred for the purchase or permanent improvement of real property
E. Subrecipient shall refund, within fifteen (15) days of the Department's request, any sum of money paid to Subrecipient which
Department determines has resulted in an overpayment or has not been spent in accordance with the terms of this Contract
F. Notwithstanding any other provision of this Contract, the total of all payments and other obligations incurred by Department
under this Contract shall not exceed the sum of
$1,015,302.00.
SECTION 5. METHOD OF PAYMENT/CASH BALANCES
A. Each month, Subrecipient may request an advance payment of CEAP funds under this Contract. As per the Uniform Grant
Management Standards, 34 T.A.C. §20.421 et seq (herein "UGMS"), Subrecipient's requests for advances shall be limited to
the amount needed and be timed to be in accordance with actual immediate cash requirements of the Subrecipient in carrying
out the purpose of this Contract.
B. Subrecipient shall establish procedures to minimize the time elapsing between the disbursement of funds from Department to
Subrecipient and the expenditure of such funds by Subrecipient.
C. Subrecipient must request an advance payment by submitting a properly completed monthly expenditure report to the
Department through the electronic reporting system no later than the fifteenth (15th) day of the month prior to the month for
which advance payment is sought.
D. Subsection 4(A) notwithstanding, Department reserves the right to utilize a modified cost reimbursement method of payment,
whereby reimbursement of costs incurred by a Subrecipient is made only after the Department has reviewed and approved
backup documentation provided by the Subrecipient to support such costs for all funds if (1) Subrecipient 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 Subrecipient; (3) Subrecipient violates any of the terms of this
Contract; (4) Department's funding sources require the use of a cost reimbursement method of payment or (5) Subrecipient
owes the Department funds.
E. Department may offset or withhold any amounts otherwise owed to Subrecipient under this Contract against any amount owed
by Subrecipient to Department arising under this Contract.
F. All funds paid to Subrecipient under this Contract are paid in trust for the exclusive benefit of the eligible clients of the CEAP
and for allowable direct services incurred on or after January 7, 2013, and for allowable administrative expenditures and
Assurance 16 activities defined below incurred during the Contract Term, including but not limited to training/travel
expenditures and services that encourage and enable households to reduce their home energy needs and thereby the need for
energy assistance (hereafter "Assurance 16 activities") as defined in the LIHEAP Act
SECTION 6. COST PRINCIPLES AND ADMINISTRATIVE REQUIREMENTS
A Except as expressly modified by law or the terms of this Contract, Subrecipient shall comply with the cost principles and
uniform administrative requirements set forth in the UGMS. All references therein to "local government" shall be construed to
mean Subrecipient.
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B. Uniform cost principles for political subdivisions are set forth in OMB Circular A-87 as implemented by 2 C.F.R. Part 225.
Uniform administrative requirements for politicall subdivisions are set forth in OMB Circular A-102. OMB Circular A-133
"Audits of States, Local Governments, and Non -Profit Organizations," sets forth audit standards for governmental
organizations and other organizations expending Federal funds. The expenditure threshold requiring an audit under Circular
A-133 is $500,000.
C. Notwithstanding any other provision of this Contract, Department shall only be liable to Subrecipient for costs incurred or
performances rendered for activities specified in the LIHEAP Act.
D. Subrecipient may incur costs for activities associated with the closeout of the CEAP Contract for a period not to exceed forty
five (45) days from the end of the Contract Tenn defined in Section 2 of this Contract.
SECTION 7. TERMINATION AND SUSPENSION
A Pursuant to §5.17 of the State Rules, 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, Subrecipient's failure to
comply with any tern of this Contract or reasonable belief that Subrecipient cannot or will not comply with the requirements of
the Contract If the Department determines that a Subrecipient has failed to comply with the terms of the Contract, or has failed
to provide services that meet appropriate standards, goals, or other requirements established by the Department, Department
will notify Subrecipient of the deficiencies to be corrected and require the deficiencies be corrected prior to implementing
termination.
B. Subrecipient's failure to expend the funds provided under this Contract in a timely manner may result in either the termination
of this Contract or Subrecipient's ineligibility to receive additional funding under CEAP, or a reduction in the original
allocation of funds to Subrecipient.
C. Nothing in this Section shall be construed to limit Department's authority to withhold payment and immediately suspend this
Contract if Department identifies possible instances of fraud, abuse, waste, fiscal mismanagement, or other deficiencies to
Subrecipient's performance including but not limited to, Subreceipient's failure to correct any monitoring findings on this or
any state contract or on a single audit review. Suspension shall be a temporary measure pending either corrective action by
Subrecipient or a decision by Department to terminate this Contract
D. Notwithstanding any exercise by Department of its right of termination or suspension, Subrecipient shall not be relieved of any
liability to Department for damages by virtue of any breach of this contract by Subrecipient. Department may withhold any
payment due to Subrecipient until such time as the exact amount of damages due to Department is agreed upon or is otherwise
determined in writing between Parties.
E. Department shall not be liable for any costs incurred by Subrecipient after termination or during suspension of this Contract.
SECTION 8. ALLOWABLE EXPENDITURES
A The allowability of Subrecipient's costs incurred in the performance of this Contract shall be determined in accordance with the
provisions of Section 4 and the regulations set forth in the LIHEAP Act and the State Rules, subject to the limitations and
exceptions set forth in this Section
B. CEAP funds may be used for administrative activities and Assurance 16 activities during the Contract Tenn as well as other
allowable expenditures under this Contract such as direct services incurred on or after January 7, 2013 until the end of the
Contract Term, and include the following:
Conducting Assurance 16 activities, to include needs assessment, referrals, budget counseling, energy conservation
education and assistance with energy vendors;
2. Providing assistance to low income households in meeting their home energy costs,
Intervening in energy crisis situations; or
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4. Department -approved travel and training.
C. CEAP funds allow up to 6% of the award amount to be utilized for administrative costs. Administrative costs incurred by
Subrecipient in performing this Contract are to be based on actual programmatic expenditures and shall be allowed up to the
amount outlined in Exhibit B of this Contract. Eligible administrative costs include costs related to staff performance of
management, accounting and reporting activities.
D. Administrative and Assurance 16 Activities funds as defined under and in accordance with the State Rules are earned through
provision of direct services to clients. Subrecipient may choose to submit a final budget revision no later than forty five (45)
days prior to the end of the Contract Term to use its administration and Assurance 16 activities funds for direct service
categories; however, Subrecipient is still required to perform Assurance 16 activities.
E. Subrecipient shall provide direct services to clients on or after January 7, 2013 and within sixty (60) days of receipt of funds
under this Contract pursuant to §5.406(b) of the State Rules, effective January 7, 2013.
SECTION 9. RECORD KEEPING REQUIREMENTS
A. Subrecipient shall maintain fiscal and programmatic records and supporting documentation for all expenditures of funds made
under this Contract in accordance with the UGMS, Section 111, Common Rule: State Uniform Administrative Requirements for
Grants and Cooperative Agreements, Subpart C -Post Award Requirements, _42.
B. Open Records. Subrecipient acknowledges that all information collected, assembled, or maintained by Subrecipient pertaining
to this Contract is subject to the Texas Public Information Act, Chapter 552 of Texas Government Code and must provide
citizens, public agencies, and other interested parties with reasonable access to all records pertaining to this Contract subject to
and in accordance with the Texas Public Information Act.
C. Subrecipient shall give the U.S. Department of Health and Human Services, the U.S. General Accounting Office, the Texas
Comptroller, the State Auditor's 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 Subrecipient, all records pertaining to this Contract Such right to access shall
continue as long as the records are retained by Subrecipient. Subrecipient agrees to maintain such records in an accessible
location for the greater of. (i) four (4) years; (ii) if notified by the Department in writing, the date that the final audit is
accepted with all audit issues resolved to the Department's satisfaction; (iii) if any litigation claim, negotiation, inspection, of
other action has started before the expiration of the required retention period records must be retained until completion of the
action and resolution of all issues which arise under it; (iv) a date consistent with any other period required by federal or state
law or regulation. Subreciptent agrees to cooperate with any examination conducted pursuant to this Subsection. Upon
termination of this Contract, all records are property of the Department
D. Subrecipient shall maintain a client file system to document direct services rendered. The direct services must be rendered on
or after January 7, 2013. Each client file shall contain the following:
Client application containing all Department requirements;
Documentation/verification of client income for the thirty (30) days preceding their application for all household
members eighteen (18) years and older, or Declaration of Income Statement (DIS) (if applicable). In order to use the
DIS form, each subrecipient shall develop and implement a written policy and procedure on the use of the form,
including policies requiring a client statement of efforts to obtain documentation of income with a notarized client
signature; as outlined in § 5.407(e) of the State Rules.
3. Copy ofclient's utility bill(s);
4. Energy consumption history for previous twelve (12) months (all fuel types) (not applicable for Household Crisis),
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5 Documentation of payment (Documentation of payment may be maintained in a separate file, but must be accessible to
the Department.);
6. Documentation of benefits determination;
7. Notice of Denial Form (if applicable);
8. Right of appeal and procedures for denial or termination of services (if applicable);
9. Any documentation required by directives;
10. Priority rating form; and
11. Case notes sufficient to document that Assurance 16 activity has occurred.
E. Subrecipient shall maintain complete client files at all times. Costs associated with incomplete files found at the time of
program monitoring may be disallowed.
SECTION 10. REPORTING REQUIREMENTS
A. Subrecipient shall electronically submit to Department, no later than fifteen (15) days after the end of each month of the
Contract Term, a Funding Report of all expenditures of funds and clients served under this Contract during the previous month.
These reports are due even if Subrecipient has no new activity to report during the month.
B. Subrecipient shall submit to Department, no later than forty five (45) days after the end of the Contract Term, an inventory of
all vehicles, tools, and equipment with a unit acquisition cost of $5,000 and /or a useful life of more than one year, if purchased
in whole or in part with funds received under this Contract or previous CEAP contracts. The inventory shall include the
vehicles, tools, equipment, and appliances purchased with Energy Crisis funds on hand as of the last day of the Contract Term.
Subrecipient acknowledges that all equipment and supplies purchased with funds from the CEAP are the property of CEAP and
as such, stay with the Subrecipient which provides CEAP services in the service area.
C Subrecipient shall electronically submit to Department, no later than forty five (45) days after the end of the Contract Term, a
final report of all expenditures of funds and clients served under this Contract Failure of Subrecipient to provide a full
accounting of funds expended under this Contract may result in the termination of this Contract and ineligibility to receive
additional funds. if Subrecipient fails to submit a final expenditure/performance report within 45 days of the end of the
Contract Tenn, Department will use the last report submitted by Subrecipient as the final report
D. If Subrecipient 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 Subrecipient 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 Subrecipient
receives funds from Department over two or more Contract Terms, funds may be withheld or this Contract suspended or
terminated for Subrecipient's failure to submit a past due report or response (including an audit report) from a prior contract or
Contract Term.
E. Subrecipient shall provide the Department with a Data Universal Numbering System (DUNS) number and a Central Contractor
Registration (CCR) System number. The DUNS number must be provided in a document from Dun and Bradstreet and the
current CCR number must be submitted from a document retrieved from the https:Hwww.sam.gov/portal/public/SAM/ website.
These documents must be provided to the Department prior to the processing first payment to Subrecipient. Subrecipient shall
maintain a current DUNS number and CCR number for the entire Contract Term.
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SECTION 11. VENDOR AGREEMENTS
For each of Subrecipient's vendors, Subrecipient shall implement and maintain a vendor agreement that contains assurances relating
to fair billing practices, delivery procedures, and pricing procedures for business transactions involving CEAP clients. All vendor
agreements are subject to monitoring procedures performed by TDHCA. All vendor agreements must be renegotiated every two
years.
SECTION 12. CHANGES AND AMENDMENTS
A. Any change, addition or deletion to the terms of this Contract required by a change in federal or state law or regulation is
automatically incorporated herein and is effective on the date designated by such law or regulation
B. Except as specifically provided otherwise in this Contract, any changes, additions, or deletions to the terms of this Contract
shall be in writing and executed by both Parties to this Contract. if any Party returns an executed copy by facsimile machine or
electronic transmission, the signing party intends the copy of its authorized signature printed by the receiving machine or the
electronic transmission, to be its original signature.
C. Written requests for Contract amendment must be received by the Department by no later than forty five (45) days prior to the
end of the Contract Term.
SECTION 13. PROGRAM INCOME
Subrecipient shall account for and expend program income derived from activities financed in whole or in part with funds provided
under this Contract in accordance with the UGMS, Common Rule, §_.25 and OMB Circular A-102, Attachment, 2e.
SECTION 14. TECHNICAL ASSISTANCE AND MONITORING
Department may issue technical guidance to explain the rules and provide directions on terms of this Contract. Department or its
designee may conduct on and off-site monitoring and evaluation of Subrecipient's compliance with the terms of this Contract
Department's monitoring may include a review of the efficiency, economy, and efficacy of Subrecipient's performance Department
will notify Subrecipient in writing of any deficiencies noted during such monitoring. Department may provide training and technical
assistance to Subrecipient in correcting the deficiencies noted. Department may require corrective action to remedy deficiencies
noted in Subrecipient's accounting, personnel, procurement, and management procedures and systems in order to comply with State
or Federal requirements Department may conduct follow-up visits to review the previously noted deficiencies and to assess the
Subrecipient's efforts made to correct them. Repeated deficiencies may result in disallowed costs. Department may terminate or
suspend this Contract or invoke other remedies Department determines to be appropriate in the event monitoring reveals material
deficiencies in Subrecipient's performance, or Subrecipient fails to correct any deficiency within a reasonable period of time, as
determined by the Department. Department or its designee may conduct an ongoing program evaluation throughout the Contract
Term
SECTION 15. INDEPENDENT SUBRECIPIENT
It is agreed that Department is contracting with Subrecipient as an independent contractor Subrecipient agrees to indemnify
Department against any disallowed costs or other claims which may be asserted by any third parry in connection with the services to
be performed by Subreciptent under this Contract.
SECTION 16. PROCUREMENT STANDARDS
A. For making procurements under this contract, Subrecipient shall comply with 45 C.F.R. Part 92, OMB Circular A-102, 10
T.A.C. §5.10, and all applicable federal, state, and local laws, regulations, and ordinances.
B. Subrecipient may not use funds provided under this Contract to purchase personal property, equipment, goods, or services with
a unit acquisition cost (the net invoice unit price of an item of equipment) of more than $5,000 unless Subrecipient has received
the prior written approval of Department for such purchase.
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C. Upon the termination or non -renewal of this Contract, Department may transfer title to any such property or equipment having
a unit acquisition cost (the net invoice unit price of an item of equipment) of $5,000 or more to itself or to any other entity
receiving Department funding.
SECTION 17. SUBCONTRACTS
A Subrecipient may not subcontract the primary performance of this Contract, including but not limited to expenditure and
performance reporting and drawing funds through the Community Affairs Contract System, and only may enter into properly
procured contractual agreements for consulting and other professional services, if Subrecipient has received Department's prior
written approval. Subrecipient may subcontract for the delivery of client assistance without obtaining Department's prior
approval. Any subcontract for the delivery of client assistance will be subject to monitoring by the Department as per Section
14
B. In no event shall any provision of this Section 17, specifically the requirement that Subrecipient obtain Department's prior
written approval of a subcontractor, be construed as relieving Subrecipient of the responsibility for ensuring that the
performances rendered under all subcontracts are rendered so as to comply with all of the terms of this Contract, as if such
performances rendered were rendered by Subrecipient. Department's approval under this section does not constitute adoption,
ratification, or acceptance of Subreciptent's or subcontractor's performance hereunder. Department maintains the right to
monitor and require Subrecipient's full compliance with the terms of this Contract. Department's approval under this section
does not waive any right of action which may exist or which may subsequently accrue to Department under this Contract.
SECTION 18. AUDIT
A. Subrecipient shall arrange for the performance of an annual financial and compliance audit of funds received and performances
rendered under this Contract, subject to the following conditions and limitations:
Subrecipient expending $500,000 or more in total Federal awards or $500,000 in total state financial assistance shall
have an audit performed in accordance with the Single Audit Act Amendments of 1996, 31 U.S.0 7501, and OMB
Circular No. A-133, "Audits of States, Local Governments, and Non -Profit Organizations" issued June 30, 1997. For
purposes of this Section 18, "Federal financial assistance" means assistance provided by a Federal agency in the form of
grants, contracts, loans, loan guarantees, property, cooperative agreements, interest subsidies, insurance or direct
appropriations, or other assistance, but does not include amounts received as reimbursement for services rendered to
individuals in accordance with OMB guidelines. The term includes awards of Federal financial assistance received
directly from Federal agencies, or indirectly through other units of State and local government;
Sections 4 D (3) and (4) above notwithstanding, Subrecipient may utilize funds budgeted under this Contract to pay for
that portion of the cost of such audit services properly allocable to the activities funded by Department under this
Contract
Subrecipient shall submit three (3) copies of such audit report and any associated management letter to the Department,
two (2) copies of the audit report to Department's Compliance and Asset Oversight Division and one (1) copy of the
audit report to the Department's Community Affairs Division within the earlier of thirty (30) days after receipt of the
auditor's report(s), or nine (9) months after the end of the audit period. Subrecipient shall make audit report available for
public inspection within thirty (30) days after receipt of the audit report(s). Audits performed under this Section are
subject to review and resolution by Department or its authorized representative. Subrecipient shall submit such audit
report to the Federal clearinghouse designated by OMB in accordance with OMB A-133.
4 The audit report must include verification of all expenditures by budget category, in accordance with Exhibit B, Budget,
of this Contract.
B. The cost of auditing services for a Subrecipient expending less than $500,000 in total Federal awards per fiscal year is not an
allowable charge under Federal awards.
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C. Subsection A of this Section 18 notwithstanding, Department reserves the right to conduct an annual financial and compliance
audit of funds received and performance rendered under this Contract. Subrecipient agrees to permit Department or its
authorized representative to audit Subrecipient's records and obtain any documents, materials, or information necessary to
facilitate such audit.
D. Subrecipient understands and agrees that it shall be liable to the Department for any costs disallowed pursuant to financial and
compliance audit(s) of funds received under this Contract. Subrecipient further understands and agrees that reimbursement to
Department of such disallowed costs shall be paid by Subrecipient from funds which were not provided or otherwise made
available to Subrecipient under this Contract.
E. Subrecipient shall facilitate the performance of such audit or audits conducted pursuant to this Section 18 as Department may
require of Subrecipient.
F. Subrecipient shall procure audit services through an open, competitive process at least once every four years. The auditor shall
retain working papers and reports for a minimum of the three years after the date of directive of the auditor's report to the
Subrecipient. Audit working papers shall be made available upon request to Department at the completion of the audit, as part
of a quality review, to resolve audit findings, or to carry out oversight responsibilities consistent with the purposes of this
Section. Access to working papers includes the right to obtain copies of working papers, as is reasonable and necessary.
G. For any fiscal year ending within or immediately after the Contract Term, Subrecipient must submit an "Audit Certification
Forth" (available from the Department) within sixty (60) days after the Subrecipient's fiscal year end.
SECTION 19. MANAGEMENT OF EQUIPMENT AND INVENTORY
A. Subrecipient shall comply with Subchapter A of the State Rules
B. Subrecipient may not use funds provided under this Contract to purchase personal property, equipment, goods, or services with
a unit acquisition cost (the net invoice unit price of an item of equipment) of more than $5,000 unless Subrecipient has received
the prior written approval of Department for such purchase
C. Upon the termination or non -renewal of this Contract, Department may transfer title to any such property or equipment having
a useful life of one year or more or a unit acquisition cost (the net invoice unit price of an item of equipment) of $5,000 or more
to itself or to any other entity receiving Department funding.
SECTION 20. TRAVEL AND TRAINING
The travel funds are to be used only for Department -approved training events. Subrecipient shall adhere to OMB Circular A-87 and
either its board -approved travel policy, or in the absence of such a policy, the State of Texas travel policies.
SECTION 21. BONDING AND INSURANCE REQUIREMENTS
A. if Subrecipient will enter in to a construction or facility improvements contract with a third -party in the amount of $25,000 of
greater, Subrecipient must execute with the contractor a payment bond in the full amount of the contract. if the Subrecipient
will enter in to contract with a prime contractor in excess of $100,000, a performance bond in the full amount of the contract is
also required. These bonds must be executed by a corporate surety authorized to do business in Texas, a list of which may be
obtained from the State Insurance Department. Such assurances of completion will run to the Department as obligee and must
be documented prior to the start of construction.
B. Subrecipient shall maintain adequate personal injury and property damage liability insurance. Subrecipient is encouraged to
obtain pollution occurrence insurance in addition to the general liability insurance. Generally, regular liability insurance
policies do not provide coverage for potential effects of many health and safety measures, such as lead disturbances and other
pollution occurrence items. Subrecipient should review existing policies to determine if lead contamination is covered. if it is
not, Subrecipient should consider securing adequate coverage for all construction projects. Additional liability insurance costs
may be paid from administrative funds. The Department strongly recommends the Subrecipient require their contractors to
carry pollution occurrence insurance to avoid being liable for any mistakes the contractors may make. Each agency should get a
legal opinion regarding the best course to take for implementing the pollution occurrence insurance coverage.
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SECTION 22. LITIGATION AND CLAIMS
Subrecipient shall give Department immediate written notice of any claim or action filed with a court or administrative agency
against Subrecipient and arising out of the performance of this Contract or any subcontract hereunder. Subrecipient shall furnish to
Department copies of all pertinent papers received by Subrecipient with respect to such action or claim.
SECTION 23. LEGAL AUTHORITY
A. Subrecipient assures and guarantees that it possesses the legal authority to enter into this Contract, to receive and manage the
funds authorized by this Contract, and to perform the services Subrecipient has obligated itself to perform hereunder. The
execution, delivery, and performance of this Contract will not violate Subrecipient's constitutive documents or any requirement
to which Subrecipient is subject and represents the legal, valid, and binding agreement of Subrecipient, enforceable in
accordance with its terms.
B. The person signing this Contract on behalf of Subrecipient hereby warrants that he/she has been duly authorized by Contract to
execute this Contract on behalf of Subrecipient and to validly and legally bind Subrecipient to the terms, provisions and
performances herein
C. Department shall have the right to suspend or terminate this Contract if there is a dispute as to the legal authority of either
Subrecipient, or the person signing this Contract on behalf of Subrecipient, to enter into this Contract or to render performances
hereunder. Subrecipient is liable to Department for any money it has received from Department for performance of the
provisions of this Contract, if the Department has terminated this Contract for reasons enumerated in this Section 23
SECTION 24. COMPLIANCE WITH LAWS
A. FEDERAL. STATE AND LOCAL LAW. Subrecipient shall comply with the LIHEAP Act, the federal rules and regulations
promulgated under the LIHEAP Act, the State Act, the State CEAP Rules, LIHEAP State Plan, and all federal, state, and local
laws and regulations applicable to the performance of this Contract.
B. DRUG-FREE WORKPLACE ACT OF 1988. The Subrecipient affirms by signing this contract that it is implementing the
Drug -Free Workplace Act of 1988.
U. PRO -CHILDREN ACT OF 1994. Subrecipient shall follow the requirements of the Pro -Children Act of 1994, (20 U S.0 Sec.
6081 et seq.) which requires that smoking not be permitted in any portion of any indoor facility owned or leased or contracted
by an entity and used routinely or regularly for the provision of health, day care, education, or library services to children under
the age of 18 if the services are funded by Federal programs either directly or through States or local governments by Federal
grant, contract, loan or loan guarantee.
D. LIMITED ENGLISH PROFICIENCY (LEP). Subrecipients must provide program applications, forms, and educational
materials in English, Spanish, and any appropriate language, based on the needs of the service area and in compliance with the
requirements in Executive Order 13166 of August 11, 2000. To ensure compliance, the Subrecipient must take reasonable
steps to insure that persons with Limited English Proficiency have meaningful access to the program. Meaningful access may
entail provide language assistance services, including oral and written translation, where necessary.
SECTION 25. PREVENTION OF WASTE, FRAUD, AND ABUSE
A. Subrecipient 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 shall address possible waste, fraud, and abuse by
Subrecipient, its employees, clients, vendors, subcontractors and administering agencies. Subrecipient'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. Subrecipient 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. Subrecipient shall immediately notify Department of any
discovery of waste, fraud, or abuse. Subrecipient shall fully cooperate with Department's efforts to detect, investigate, and
prevent waste, fraud, and abuse in the Comprehensive Energy Assistance Program.
Page 9 of 19
C. Subrecipient 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 26. CERTIFICATION REGARDING UNDOCUMENTED WORKERS
Pursuant to Chapter 2264 of the Texas Government Code, by execution of this Contract, Subrecipient hereby certifies that
Subrecipient/Local Operator, or a branch, division, or department of Subrecipient does not and will not knowingly employ an
undocumented worker, where "undocumented worker" means an individual who, at the time of employment, is not lawfully admitted
for permanent residence to the United States or authorized under law to be employed in that manner in the United States. If, after
receiving a public subsidy, Subrecipient, or a branch, division, or department of Subrecipient is convicted of a violation under 8
U.S C. Section 1324a(f), Subrecipient shall repay the public subsidy with interest, at a rate of five percent (5%) per annum, not later
than the 120th day after the date the Department notifies Subrecipient of the violation..
SECTION 27. CONFLICT OF INTEREST/NEPOTISM
A. Subrecipient shall maintain written standards of conduct governing the performance of its employees engaged in the award and
administration ofcontracts.
B. No employee, officer, or agent of Subrecipient shall participate in the selection, award, or administration of a contract
supported by federal funds if a real or apparent conflict of interest would be involved. Such a conflict would arise when the
employee, officer, or agent, any member of his or her immediate family, his or her partner, or an organization which employs or
is about to employ any of the Parties indicated herein, has a financial or other interest in the firm selected for an award.
C. The officers, employees, and agents of the Subrecipient shall neither solicit nor accept gratuities, favors, or anything of
monetary value from contractors, or parties to subagreements. Subrecipients may set standards for situations in which the
financial interest is not substantial or the gift is an unsolicited item of nominal value. The standards of conduct shall provide
for disciplinary actions to be applied for violations of such standards by officers, employees, or agents of the Subrecipient.
D. Subrecipients who are local governmental entities shall, in addition to the requirements of this Section, follow the requirements
of Chapter 171 of the Local Government Code regarding conflicts of interest of officers of municipalities, counties, and certain
other local governments.
E. Failure to maintain written standards of conduct and to follow and enforce the written standards is a condition of default under
this Contract and may result in termination of the Contract or deobligation of funds.
SECTION 28. POLITICAL ACTIVITY PROHIBITED
A. Funds provided under this Contract shall not be used for influencing the outcome of any election, or the passage or defeat of
any legislative measure. This prohibition shall not be construed to prevent any official or employee of Subrecipient from
furnishing to any member of its governing body upon request, or to any other local or state official or employee, or to any
citizen, information in the hands of the employee or official not considered under law to be confidential information Any
action taken against an employee or official for supplying such information shall subject the person initiating the action to
immediate dismissal from employment.
B. Funds provided under this Contract may not be used directly or indirectly to hire employees or in any other way fund or
support candidates for the legislative, executive, or judicial branches of government of Subrecipient, the State of Texas, or the
government of the United States.
SECTION 29. NON-DISCRIMINATION AND EQUAL OPPORTUNITY
A. A person shall not 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, on the grounds of race, color, religion, sex, national origin, age, disability, political
affiliation or belief.
Page 10 of 19
B. Subrecipient agrees to carry out an Equal Employment Opportunity Program in keeping with the principles as provided in
PresidenPs Executive Order 11246 of September 24, 1965.
C. Subrecipient will include the substance of this Section 29 in all subcontracts.
SECTION 30. CERTIFICATION REGARDING CERTAIN DISASTER RELIEF CONTRACTS
The Department may not award a Contract that includes proposed financial participation by a person who, during the five year
period preceding the date of this Contract, has been convicted of violating a federal law in connection with a contract awarded by
the federal government for relief, recovery, or reconstruction efforts as a result of Hurricane Rita, as defined by Section 39.459,
Utilities Code, Hurricane Katrina, or any other disaster occurring after September 24, 2005; or assessed a penalty in a federal, civil
or administrative enforcement action in connection with a contract awarded by the federal government for relief, recovery, or
reconstruction efforts as a result of Hurricane Rita, as defined by Section 39.459, Utilities Code, Hurricane Katrina, or any other
disaster occurring after September 24, 2005.
By execution of this Contract, the Subrecipient/Local Operator hereby certifies that it is eligible to participate in this Program and
acknowledges that this Contract may be terminated and payment withheld if this certification is inaccurate
SECTION 31. MAINTENANCE OF EFFORT
Funds provided to Subrecipient 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, Subrecipient had this Contract
never been executed.
SECTION 32. DEBARRED AND SUSPENDED PARTIES
By signing this Contract, Subrecipient certifies that its principal employees, board members, agents, or contractors agents are not
included in the Excluded Parties List System (EPLS) maintained by the General Services Administration (GSA). Subrecipient also
certifies that it will not award any funds provided by this Contract to any party that is debarred, suspended, or otherwise excluded
from or ineligible for participation in federal assistance programs under Executive Order 12549. Subrecipient agrees that prior to
entering into any agreement with a potential subcontractor that the verification process to comply with this requirement will be
accomplished by checking the System for Award Management (SAM) at www.sam.gov and including a copy of the results in its
project files.
SECTION 33. FAITH BASED AND SECTARIAN ACTIVITY
Funds provided under this Contract may not be used for sectarian or inherently religious activities such as worship, religious
instruction or proselytization, and must be for the benefit of persons regardless of religious affiliation. Subrecipient shall comply
with the regulations promulgated by the HHS at 45 C.F.R. §87.2.
SECTION 34. COPYRIGHT
Subrecipient may copyright materials developed in the performance of this Contract or with funds expended under this Contract.
Department and HHS shall each have a royalty -free, nonexclusive, and irrevocable right to reproduce, publish, or otherwise use, and
to authorize others to use, the copyrighted work for government purposes
SECTION 35. 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 be 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 Departmenfs right to exercise that or any other right
or remedy at a later time.
Page 11 of 19
SECTION 36. SEVERABILITY
If any section or provision of this Contract is held to be invalid or unenforceable by a court or administrative tribunal of competent
jurisdiction, the remainder shall remain valid and binding.
SECTION 37. ORAL AND WRITTEN AGREEMENTS
A. 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 Contract.
B. The attachments enumerated and denominated below are a part of this Contract and constitute promised performances under
this Contract:
I Exhibit A, Certification Regarding Lobbying for Contracts, Grants, Loans, and Cooperative Agreements
2 Exhibit B, Budget
3 Exhibit C, PRWORA Requirements for the Comprehensive Energy Assistance Program
4 Exhibit D, Documentation of Disability
SECTION 38. SPECIAL CONDITIONS
A. In order to achieve compliance with the LIHEAP Act, Subrecipient must coordinate with other energy related programs
Specifically, Subrecipient must make documented referrals to the local Weatherization Assistance Program subrecipient and the
Lite Up Texas program administered by the Public Utility Commission of Texas
B. Subrecipient shall accept applications for CEAP benefits at sites that are geographically accessible to all households in the
service area. Subrecipient shall provide elderly and disabled individuals the means to submit applications for CEAP benefits
without leaving their residence or by securing transportation for them to the sites that accept such applications.
SECTION 39. APPEALS PROCESS
In compliance with the LIHEAP Act, Subrecipient must provide an opportunity for a fair administrative hearing to individuals
whose application for assistance is denied, terminated or not acted upon in a timely manner. Subrecipient must establish a denial of
service complaint procedure in accordance with §5.405 the State Rules.
SECTION 40. USE OF ALCOHOLIC BEVERAGES
Funds provided under this Contract may not be used for the payment of salaries to any Subrecipient's employees who use alcoholic
beverages while on active duty, for travel expenses expended for alcoholic beverages, or for the purchase of alcoholic beverages
SECTION 41. FORCE MAJURE
if the obligations are delayed by the following, an equitable adjustment will be made for delay or failure to perform hereunder:
A. Any of the following events: (i) catastrophic weather conditions or other extraordinary elements of nature or acts of God; (ii)
acts of war (declared or undeclared), (iii) acts of terrorism, insurrection, riots, civil disorders, rebellion or sabotage; and (iv)
quarantines, embargoes and other similar unusual actions of federal, provincial, local or foreign Governmental Authorities; and
B. The non-performing party is without fault in causing or failing to prevent the occurrence of such event, and such occurrence
could not have been circumvented by reasonable precautions and could not have been prevented or circumvented through the
use of commercially reasonable alternative sources, workaround plans or other means.
Page 12 of 19
SECTION 42. TIME IS OF THE ESSENCE
Time is of the essence with respect to Subrecipients compliance with all covenants, agreements, terms and conditions of this
Contract.
SECTION 43. COUNTERPARTS AND FACSIMILE SIGNATURES
This Contract may be executed in one or more counterparts each of which shall be deemed an original but all of which together shall
constitute one and the same instrument. Signed signature pages may be transmitted by facsimile or other electronic transmission,
and any such signature shall have the same legal effect as an original
SECTION44. NUMBER, GENDER
Unless the context requires otherwise, the words of the masculine gender shall include the feminine, and singular words shall
include the plural.
SECTION 45. NOTICE
A If notice is provided concerning this Contract, notice may be given at the following (herein referred to as "Notice Address"):
As to Department:
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS
P. O. Box 13941
Austin, Texas 78711-3941
Attention: Michael DeYoung
Telephone: (512)- 475-3950
Fax: (512) - 475-3935
michael.deyoung a@tdhca.state.tx us
As to Subrecipient:
City of Lubbock
PO Box 2000
Lubbock, TX 79457
Attention: Phyllis Brown, Interim C. D. Director
Telephone: (806) 775-2301 Fax: (806) 775-3917 Email: pbrown@mylubbock.us
mylubbock.us
B. All notices or other communications hereunder shall be deemed given when delivered, mailed by overnight service, or five days
after mailing by certified or registered mail, postage prepaid, return receipt requested, addressed to the appropriate Notice
Address as defined in the above Subsection A of this Section 45.
Page 13 of 19
SECTION 46. VENUE AND JURISDICTION
This Contract is delivered and intended to be performed in the State of Texas. For purposes of litigation pursuant to this Contract,
venue shall lie in Travis County, Texas.
EXECUTED to be effective on :1/1/2013
City of Lubbock
a political subdivision
By:
Title:
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS,
a public and official agency of the State of Texas
By:
Title. Its duly authorized officer or representative
Page 14 of 19
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS
CONTRACT NO. 58130001622 FOR THE FY 2013
COMPREHENSIVE ENERGY ASSISTANCE PROGRAM (CEAP)
(CFDA # 93.568)
EXHIBIT A
CERTIFICATION REGARDING LOBBYING FOR
CONTRACTS, GRANTS, LOANS, AND COOPERATIVE AGREEMENTS
City of Lubbock.
a political subdivision
The undersigned certifies, to the best of its knowledge and belief, that.
I. No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing
or attempting to influence an officer or employee of an agency, a member of congress, an officer or employee of congress, or an
employee of a member of congress in connection with the awarding of any federal contract, the making of any federal grant, the
making of any federal loan, the entering into of any cooperative agreement, or modification of any federal contract, grant, loan,
or cooperative agreement
2. 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, the undersigned shall
complete and submit standard form -LLL, "Disclosure Form to Report Lobbying", in accordance with its instructions.
The undersigned shall require that the language of this certification be included in the award documents for all sub -awards at
all tiers (including subcontracts, sub -grants, and contracts under grants, loans, and cooperative agreements) and that all
sub -recipients shall certify and disclose accordingly.
This certification is material representation of fact on which reliance was placed when this transaction was made or entered into
Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S.
Code Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more
than $100,000 for each such failure.
City of Lubbock
a political subdivision
By:
Title:
Date:
Page 15 of 19
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS
CONTRACT NO. 58130001622 FOR THE FY 2013
COMPREHENSIVE ENERGY ASSISTANCE PROGRAM (CEAP)
(CFDA # 93.568)
EXHIBIT B
BUDGET
City of Lubbock,
a political subdivision
DEPARTMENT FINANCIAL OBLIGATIONS
$ 1015,302 00 CEAP FUNDS CURRENTLY AVAILABLE
$ I,2OUA0 TRAINING TRAVEL ALLOWANCE FUNDS CURRENTLY AVAILABLE
BUDGET CATEGORY
FUNDS
%
Administration
$ 63.381.00
50.00
Assurance 16
$ 67,667.00
50 00
Direct Services
$ 883,054.00
10000
TOTAL CEAP BUDGET
$ 1,014,102.00
BUDGET CATEGORY
FUNDS
%
Household Crisis
$ 441,527.00
50.00
Utility Assistance
$441,52700
50 00
TOTAL DIRECT SERVICES
$ 883.054.00
10000
Subrecipient's service area consists of the following Texas counties:
LUBBOCK
Page 16 of 19
Administrative costs, salaries, fringe benefits, non -training travel, equipment, supplies, audit and office space are limited to 6.2% of
the contract expenditures, excluding Training/Travel costs. All other administrative costs, exclusive of administrative costs for
Assurance 16 Activities, must be paid with nonfederal funds.
Assurance 16 Activities costs will be the maximum allowable under the total State of Texas LIHEAP award but at least 6.6% of the
contract expenditures excluding Training and Travel costs.
Department's prior written approval for purchase or lease of equipment with an acquisition cost of $5,000 and over is required.
Approval of this budget does not constitute prior approval for such purchases.
Funds may not be used for the purchase or improvement of land, or the purchase, construction, or permanent improvement of any
building or facility.
Subrecipient is limited to only one budget revision request during the first 6 months of the Contract Term A second and final
budget revision must be received by the Department no later than 45 days prior to the end of the Contract Term.
Subrecipient shall provide outreach services under all components in this category. Failure to do so may result in contract
termination. Subrecipient must document outreach, whether the outreach is conducted with CEAP funds or other funds.
Page 17 of 19
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS
CONTRACT NO. 58130001622 FOR THE FY 2013
COMPREHENSIVE ENERGY ASSISTANCE PROGRAM (CEAP)
(CFDA # 93.568)
EXHIBIT C
PRWORA REQUIREMENTS
Citv of Lubbock ,
a political subdivision
If an individual is applying for LIHEAP funds, a Subrecipient must verify that the individual applying for LIHEAP funds is a
qualified recipient for funding under the Personal Responsibility and Work Opportunity Act of 1996, ("PRWORA"), Pub. L.
104-193, 110 Stat. 2105, codified at 8 U.S.C. § 1601 et. seq., as amended by the Omnibus Appropriations Act, 1997, Pub. L.
104-208.
To ensure that a non-qualified applicant does not receive "federal public benefits," a unit of general purpose government that
administers "federal public benefit programs" is required to determine, and to verify, the individual's alienage status before granting
eligibility 8 U.S.0 § 1642 (a) and (b). Subrecipient must use the SAVE verification system to verify and document qualified alien
eligibility
An exception to the requirement of verification
non-profit charitable organization. To be eligible
organization is "nonprofit" if it is organized and
member or its shareholders, and is precluded from
is "charitable" if it is organized and operated for
accepted legal sense as developed by judicial decis
underprivileged, as well as religiously -affiliated
1997 at 62 Fed. Reg. 61344.
of alienage status
for this exemption, an
operated for purposes
distributing any gains
charitable purposes.
ions. It includes organ
organizations and ed
applies when the applicant's eligibility is
organization must be both "nonprofit" and
other than making gains or profits for the
or profits to its members or shareholders
The term "charitable" should be interpreted
izations dedicated to relief of the poor and
ucational organizations. Federal Register o
Page 18 of 19
determined by a
"charitable." An
organization, its
An organization
in its generally
distressed or the
n November 17,
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS
CONTRACT NO. 58130001622 FOR THE FY 2013
COMPREHENSIVE ENERGY ASSISTANCE PROGRAM (CEAP)
(CFDA # 93.568)
EXHIBIT D
DOCUMENTATION OF DISABILITY
City of Lubbock,
a political subdivision
1. All CEAP purchases of portable heating/cooling units are allowable only for households "that include at least one member that
is elderly, disabled, or a child aged 5 or younger when Subrecipient has met local weather crisis criteria, pursuant to 10 TAC
5.423(d)(4). No other reason for purchase, including medical reasons, shall be accepted. Notwithstanding the provisions under
10 TAC 10 TAC 5.402, 10 TAC 5.422(c), 10 TAC 5.422(d)(3), and 5.423(d)(4), under NO CIRCUMSTANCES should clients'
medical information be collected or kept by Subrecipients.
2. Documentation of Disability must NOT include protected health information as defined in the Texas Health and Safety Code,
Subtitle I, Chapter 181.
Page 19 of 19