Loading...
HomeMy WebLinkAboutResolution - 2009-R0018 - Contract - TDHCA - CEAP - 01/22/2009Resolution No. 2009-80018 January 22, 2009 Item No. 5.1.1 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, by and between the City of Lubbock and Texas Department of Housing and Community Affairs for the Comprehensive Energy Assistance Program (CEAP), 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 22nd day of January , 2009. TOM MARTIN, MAYOR ATTEST: Reber a Garza, City Secretary APPROVED AS TO CONTENT: v Bill Howerton, Jr., Community Develo.'iient Director APPROVED AS TO FORM: Amy Sim , A istki Ci tt ey gs/ccdocs/LEAP-res-TexDept of Housing&Community Affairs.09 1.6.09 Resolution No. 2009-R0018 TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS CONTRACT NO. 58090000429 FOR THE COMPREHENSIVE ENERGY ASSISTANCE PROGRAM (CEAP) (CFDA # 93.568) SECTION L PARTIES TO THE CONTRACT This contract is made by and between the Texas Department of Housing and Community Affairs (the "Department"), an agency ofthe State of Texas and City of Lubbock (the "Subrecipient"). SECTION 2. CONTRACT PERIOD The period for performance ofthis contract, unless earlier terminated, is January 01, 2009 through December 31, 2009. SECTION 3. SUBRECiPIENT PERFORMANCE Subrecipient shall, on an equitable basis throughout its service area, operate a Comprehensive Energy Assistance Program, (the "CEAP"), in accordance with the terms of this contract and all applicable state and federal regulations. Subrecipient shall assist low-income persons, with priority being given to elderly, persons with disabilities, households with young, children under 6 years of age, households with high energy burden and households with high energy consumption. Subrecipient shall provide services in relation to the current census demographics for age, income, and ethnicity for Subrecipient's service area. Subrecipient shall implement the CEAP in accordance with the Low -Income Home Energy Assistance Act of 1981, as amended, 42 U.S.C. Sec. 8621 et seq. (the "LIHEAP Act' Public Law 97-35), Texas Administrative Code (10 TAC chapter 5) and the LIHEAP State Plan. Services shall include the following categories of assistance: Energy Crisis, Co -Payment, Elderly and Disabled, and Heating/Cooling Systems as well as LIHEAP Assurance 16 activities, as further specified in the Budget (Attachment A) SECTION 4. DEPARTMENT OBLIGATIONS A. In consideration of Subrecipient's satisfactory performance of this contract, Department shall reimburse Subrecipient for the actual allowable costs incurred by Subrecipient in the amount specified in Attachment A ofthis contract. B. Any decision to obligate additional funds or deobligate 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 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 terns ofthis 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 and the State of Texas. Department acknowledges that it has received obligations from those sources, which, if paid, will be suff icient to pay the allowable costs incurred by Subrecipient under this contract. D. Department is not liable for any cost incurred by Subrecipient which: (1) is subject to reimbursement by a source other than CEAP/LIHEAP; (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 not reported to Department on a Monthly Funding/Financial/Performance Report within sixty (60) days following the termination of the Contract Period; or, (4) is not incurred during the Contract Period. (5) is incurred for the purchase or permanent improvement of real property (other than low -cast residential weatherization or other energy-related home repairs). Page I of I I SECTION 5. METHOD OF PAYMENT/CASH BALANCES A. Each month, Subrecipient may request an advance payment by electronically submitting to Department at its offices in Austin, Travis County, Texas, no later than the fifteenth (15th) day of the month prior to the month for which advance payment is sought, a properly completed Funding Report for an amount not to exceed Subrecipienes actual cash needs for the month for which such advance is sought B. 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. The timing and amount of cash advances shall be as close as administratively feasible to the actual disbursement by the Subrecipient for direct program costs and the proportionate share of any allowable indirect costs. 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. Subsection 5(A) notwithstanding, Department reserves the right to utilize a cost reimbursement method of payment 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 ofpayment or (5) Subrecipient owes the Department funds. D. Subrecipient shall refund, within fifteen (15) days of Department's request, any sum of money paid to Subrecipient by Department which Department determines: (l) has resulted in an overpayment to Subrecipient; or (2) has not been spent strictly in accordance with terns of this contract. Failure to comply will result in freezing contract funds and suspending the contract until such time as funds owed to the Department are paid. The 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 or any other contract between the parties. E. All funds paid to Subrecipient under this contract are paid in trust for the exclusive benefit of the eligible clients of the Comprehensive Energy Assistance Program and for allowable administrative, direct services support, assurance 16 activities, direct services, and traming/Lravel expenditures. SECTION 6. COST PRINCIPLES AND ADMINISTRATIVE REQUIREMENTS Except as expressly modified by law or the terns of this contract, Subrecipient shall comply with the cost principles and uniform administrative requirements set forth in the Uniform Grant and Contract Management Standards 1 T.A.C.§5.141 et seq. (the "Uniform Grant Management Standards") provided, however, that all references therein to "local government" shall be construed to mean Subrecipient. Uniform cost principles for local governments are set forth in OMB Circular A-87, and for non-profit organizations in OMB circular A-122. Uniform administrative requirements for local governments are set forth in OMB Circular A-102, and for non -profits in OMB Circular A-110. 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 $540,000, SECTION 7. USE OF ALCOHOLIC BEVERAGES None of the funds provided under this contract shall be used for the payment of salaries to any employee who uses alcoholic beverages during normal work hours as defined by the agency_ No funds provided under this contract for travel expenses shall be used for the purchase of alcoholic beverages Page 2 of 11 SECTION 8. ALLOWABLE ADMINISTRATIVE, ASSURANCE 16 ACTIVITIES, AND DIRECT SERVICES SUPPORT EXPENDITURES Administrative, Assurance 16 Activities (LIHEAP Statute §2605(b)(16)), and Direct Services Support costs incurred by Subrecipient in carrying out this contract shall be allowable up to the maximum percentage of the total allowable contract expenditures within the Contract Period specified in Section 2 ofthis contract, excluding travel costs for training. A. Administrative and Assurance 16 Activities funds are earned through provision of direct services to clients. Subrecipient may choose to submit a final budget revision in October to use its administration, Assurance 16 Activities, and direct services support dollars for direct service categories, however, subrecipient is still required to perform Assurance 16 Activities and Direct Service Support activities B. Direct Services Support expenditures are earned through provision of direct services to clients and must be supported by appropriate documentation of the allowable activities. Direct Service Support includes costs not administrative in nature but those used for outreach and targeting only to eligible households. Allowable expenditures include but are not limited to salaries, fringe benefits, and travel expenditures of staff when conducting outreach, and application intake Subrecipient may opt to use LIHEAP Direct Service Support allocation for direct client services if they have used non-LIHEAP resources to serve the requirements of Direct Service Support. Computer purchases and any related expenditures must be charged to Administration, not Direct Services Support. C. 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 WAP subrecipient. D. 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 9. 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, Subrecipient's failure to comply with any term of this contract. Department shall notify Subrecipient in writing at least thirty (30) days before the date of 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 the Comprehensive Energy Assistance Program, 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 identities possible instances of Baud, abuse, waste, fiscal mismanagement, or other deficiencies in Subrecipient's performance. 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. E. Department shall not be liable for any costs incurred by Subrecipient after termination or during suspension of this contract. SECTION 10. 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 to this contract. SECTION 11. DEPARTMENT DIRECTIVES Department may issue directives which serve to interpret or clarify the terms of this contract. Page 3 of l 1 SECTION 12. MONITORING Department or its designee may conduct on and off-site monitoring and evaluation of Subrecipient's compliance with the terms of this contract. Deparmrerifs monitoring may include a review of the efficiency, economy, and effectiveness 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. 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 such deficiency within a reasonable period of time. Department or its designee may conduct an ongoing program evaluation throughout the contract year. SECTION 13. 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 14. RETENTION AND ACCESSIBILITY OF RECORDS AND FILE MAINTENANCE A. Subrecipient shall maintain financial and programmatic records, and supporting documentation for all expenditures made under this contract, in accordance with the records retention and custodial requirements set forth in the Uniform Grant Management Standards, Common Rule §42. B. Subrecipient shall maintain a client file system to document direct services rendered. Each client file shall contain the following: (1) Client application containing all Department requirements; (2) Documentation/verification of client income for the 30 days preceding their application for all household members 18 years and older, or Declaration of Income Statement (if applicable); as outlined in Title 10, chapter 6, Subchapter C, 10 TAC y 6.205_ (3) Copy ofclient's utility bill(s); (4) Energy consumption history for previous 12 months (when available) (all fuel types) for all components; (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 (when required by component); (7) Notice of Denial Form (if applicable); (8) Right of appeal and procedures (if applicable) for denial or termination of services; (9) Any documentation required by directives, and (10) Client service agreement (as required by component). (ll) Case notes sufficient to document that Assurance 16 activities (needs assessment, referrals, budget counseling, energy conservation education and assistance with energy vendors) have occurred, (12) Priority rating form. (13) Appliance assessment information is required by CEAP and includes at a minimum the following information on all major heating and cooling appliances to include water heaters and refrigerators: Type ofappiiance Efficiency rating Fuel used Location of appliance Size of appt iance Condition Age of appliance Input/Output BTU Size of room where appliance is used Recommendation Page 4 of l 1 Carbon Monoxide (CO) levels for all combustion appliances C. Subrecipient shall maintain complete client files at all times. Costs associated with incomplete files found at the time of program monitoring may be disallowed. D. Subrecipient shall give the U.S. Department of Health and Human Services, the U.S. General Accounting Office, the Texas Comptroller, the State Auditors 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 tight to access shall continue as long as the records are retained by Subrecipient. Subrecipient agrees to maintain such records for three (3) years in an accessible location and to cooperate with any examination conducted pursuant to this Subsection. Subrecipient shall include the substance of this subsection in all subcontracts. Upon termination of this contract, all records are property of the CEAP. SECTION 15. PROCUREMENT STANDARDS A. Subrecipient shall develop and implement procurement procedures which conform to the uniform administrative requirements in Section 6. Subrecipient shall procure supplies, equipment, materials, or services in accordance with its procurement procedures and Policy Issuance #02-10.2. All procurement contracts, other than "small purchases" as defined in Policy Issuance #02-10.2, shall be in writing and shall contain the provisions required by Policy Issuance #02-10.2. B. Subrecipient shall ensure that its subcontractors comply with all applicable terms of this contract as if the performance rendered by the subcontractor was being rendered by Subrecipient. Subrecipient shall inspect all subcontractors' work and shall be responsible for ensuring that it is completed in a good and workmanlike manner. C. Materials and supplies procured by the state may be purchased by Subrecipient from state contracts without requiring additional solicitation. Procurement from state vendors is strongly encouraged and in some instances may be required. D. Subrecipient shall include language in any subcontract that provides the Department the ability to directly review, monitor, and/or audit the operational and financial performance and/or records of work performed under this contract. SECTION 16. REPORTING REQUIREMENTS A. Subrecipient shall electronically submit to Department, no later than fifteen (15) days after the end of each month of the Contract Period, a Funding Report of all expenditures of funds and clients served under this contract during the previous month. B. Subrecipient shall submit to Department, no later than sixty (60) days after the end of the Contract Period, an inventory of all vehicles, tools, and equipment with a unit acquisition cost of $5,000 or more and a useful life of more than one year, if purchased in whole or in part with funds received under this contract or previous Comprehensive Energy Assistance Program contracts. The inventory shall include the vehicles, tools, equipment, and appliances purchased with heating and cooling funds on hand as of the last day of the Contract Period. 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 sixty (60) days after the end of the Contract Period, a final Funding 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 expenditurelperformance report within 60 days of the end of the Contract Period, 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. Pavments 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 Periods, funds may be withheld or this contract suspended or terminated for Subiveipient's failure to submit a past due report or response (including an audit report) from a prior contract or Contract Period. Page 5 of 11 SECTION 17. INDEPENDENT SUBRECIPIENT It is agreed that Department is contracting with Subrecipient as an independent entity. Subrecipient agrees to indemnify Department against any disallowed costs or other claims which may be asserted by any third party in connection with the services to be performed under this contract, SECTION 18. SUBCONTRACTS A. Subrecipient may not subcontract the performance of this contract unless it receives Department's prior written approval. Subrecipient shall submit to Department a signed copy of each such subcontract. Department is in no way liable to Subrecipient'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 Subrecipient. Subcontractors are subject to monitoring and investigation by Department. SECTION 19. CONFLICT OF INTEREST/NEPOTISM A. Subrecipient 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 Subrecipient or appointed as a member of Subrecipient's governing body. (3. Subrecipient agrees that it will comply with Tex. Gov't. Code Ann. Ch. 573 by ensuring that no officer, employee, or member of the governing body of Subrecipient 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. Subrecipient shall ensure that no employee, officer, or agent of Subrecipient participates in the selection, 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. Subrecipient's emplovees, officers, and agents shall neither solicit nor accept gratuities, favors, or anything of monetary value from subcontractors or potential subcontractors. SECTION 29. 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. SECTION 21. LEGAL AUTHORITY A. Subrecipient represents that it possesses the practical ability and legal authority to enter into this contract, receive and manage the funds authorized by this contract, and to perform the services Subrecipient has obligated itself to perform hereunder, S. The person signing this contract on behalf of Subrecipient hereby warrants that he/she has been duly authorized by Subrecipient to execute this contract on behalf of Subrecipient and to bind Subrecipient to the terns 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 Subrecipient, or the person signing this contract, to enter into this contract or to render performances hereunder. Should such suspension or termination occur, Subrecipient is liable to Department for any money it has received for performance of the provisions of this contract. Page 6 of 11 SECTION 22. DEPARTMENT/CEAP TRAVEL AND TRAINING A. In order to encourage attendance by LEAP staff at Department -approved training and/or technical assistance events, the contract has a travel budget. The travel budget cannot be used as program dollars. B. The travel funds are to be used only for Department -approved training events, Subrecipient shall adhere to OMB Circulars (A-87 {2 CFR 225) and A-122 12 CFR 230) as appropriate), its board -approved travel policy, or the State of Texas travel policies. C. From time to time, the Department may choose to add additional funds to this category for other required travel SECTION 23. 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 I imitations: (l) Subrecipient expending $500,000 or more in total Federal awards shall have an audit performed in accordance with the Single Audit Act Amendments of 1996, 31 U.S.C. 7501, and OMB Circular No. A-133, "Audits of States, Local Governments, and Non -Profit Organizations" issued June 30, 1997. For purposes of Section 23, "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, (2) 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, provided, however, that Department shall not make payment for the cost of such audit services until Department has received a satisfactory audit report from Subrecipient, as determined by Department. (3) Subrecipient shall submit three (3)copies of such audit report and any associated management letter to the Department (2 to Portfolio Monitoring and Compliance and 1 to 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. (4) The audit report must include verification of all expenditures by budget category, in accordance with "Attachment A -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. C. Subsection A of this Section 23 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 take such action to facilitate the performance of such audit or audits conducted pursuant to this Section 23 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 four 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. Page 7 of l 1 SECTION 24. APPEALS PROCESS In compliance with the LIIIE.AP 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, according to the Title 10, Part 1, Chapter 5. SECTION 25. POLITICAL ACTIVITY PROHIBITED A. None of the funds provided under this contract shall 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. No funds provided under this contract may 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. C. None of the funds provided under this contract shall be paid to any official or employee who violates any of the provisions of this section. SECTION 26. 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 Friergy Assistance Program. C. Subrecipient may not discriminate against any employee or other person who reports a violation of the terns 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. D. Under Section 2261.053, Government Code, City of Lubbock certifies that the individual or business entity named in this bid or contract is not ineligible to receive the specified contract and acknowledges that this contract may be tenninated and payment withheld if this certification is inaccurate. SECTION 27. FIB 11% CERTIFICATION AGAINST UNDOCUMENTED WORKERS Subrecipient/Local Operator certifies that it, or a branch, division, or department of Subrecipient/Local Operator 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/Local Operator, or a branch, division, or department of Subrecipient/Local Operator is convicted of a violation under 8 U.S.C. Section 1324a, Subrecipient/Local Operator shall repay the public subsidy with interest, at a rate of 5% per annum, not later than the 120th day after the date TDHCA notifies Subrecipient/Local Operator of the violation. SECTION 28. SB 608 CERTIFICATION OF ELIGIBILITY Under Section 2261.053, Texas Government Code, Subrecipient/Local Operator certifies that it is not ineligible to receive this contract and acknowledges that this contract may be terminated and payment withheld if this certification is inaccurate. Page 8 of l 1 SECTION 29. 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 30. 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 Department's right to exercise that or any other right or remedy at a later time. SECTION 31. 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. SECTION 32. PRIOR 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 attachments. SECTION 33. DEBARRED AND SUSPENDED PARTIES 1. Subrecipient must not mare 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, "Debarment and Suspension 45 C.F.R. Part 76" (also, 48 C.F.R. Part 9). 2. Subrecipient certifies that neither it nor its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any Federal department. 3. Where Subrecipient is unable to certify to any of the statements in this certification, such prospective participant shall attach an explanation to this contract. 4. Subrecipient shall include in any subcontracts acknowledgement that failure to adequately perform under this Contract may result in penalties up to and including Debarment from performing additional work for the Department. SECTION 34. ENVIRONMENTAL TOBACCO SMOKE/PRO-CHILDREN ACT OF 1994 Subrecipient agrees that if it or any of its subgrantees provides children's services funded directly or indirectly with Federal dollars, it will comply with 20 U.S.C. 6081 et seq. Part B, Pro -Children Act of 1994, concerning prohibition of smoking in certain indoor facilities providing services to children. Failure to comply with the provisions of this law may result in the imposition of a civil monetary penalty of up to $1,000.00 per day. SECTION 35. ATTACHMENTS The attachments identified below are hereby made a part of this contract (1) Attachment A, Budget SIGNED this day of City of Lubbock By: TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS By This contract is not effective tutless signed by the Executive Director of the Department or authorized designee. Page 9 of 11 TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS CONTRACT NO. 58090000429 FOR. THE COMPREHENSIVE ENERGY ASSISTANCE PROGRAM (LEAP) (CFDA # 93.568) ATTACHMENT A BUDGET DEPARTMENT FINANCIAL OBLIGATIONS $ 1,667,437.00 LEAP FUNDS CURRENTLY AVAILABLE $ 730.00 TRATNTNG TRAVEL ALLOWANCE FUNDS CURRENTLY AVAILABLE BUDGET FOR AVAILABLE ALLOCATIONS BUDGET CATEGORY FUNDS Administration $ 120,265.00 Assurance 16 $ 102,413.00 Direct Services S 1,444,029.00 TOTAL CEAP BUDGET S 1,666,707,00 BUDGET CATEGORY FUNDS Energy Crisis $ 144,403.00 10.00 Co -payment $ 43,32.1.00 3.00 Elderly and Disabled $ 736,455.00 51.00 Heating/Coaling $ 447,649.00 31.00 Direct Service Support $ 72.201.00 5.00 TOTAL DIRECT" SERVICES $ 144,403.00 100.00 Subrecipient's service area consists ofthe following Texas counties: LUBBOCK Page 10 of I I Administrative costs, salaries, fringe benefits, non -training travel, equipment, supplies, audit and office space are limited to 7.00% of the contract expenditures, excluding Training/Travel costs. Assurance 16 Activities costs are limited 6.00% of the contract expenditures excluding Training and Travel costs. Direct Services Support costs are limited to 5.00% of total Direct Services expenditures. Expenditures for Elderly/Disabled and Heating/Cooling must be at least 10% of Direct Service Dollars expended. Friergy Crisis and Co -Payment Percentage will be established by Subrecipicnt. Direct Services Support (may not exceed 5%g[L?irect Services dollars expended). Department's prior written approval for purchase or lease of equipment with an acquisition cost of 55,000 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 Period. A second and final budget revision must be received by the Department on or before October 31, 2009. 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 "Direct Service Support" funds or other funds. Effective Date of Budget: 01/01/2009 Page 11 of 11