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HomeMy WebLinkAboutResolution - 3595 - Emergency Shelter Funding Agreement -LRMH&MRC- Building Renovations, CLC - 04/25/1991DWM:da RESOLUTION Resolution No. 3595 April 25, 1991 e Item 416 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock an Emergency Shelter Funding Agreement by and between the City of Lubbock and Lubbock Regional Mental Health and Mental Retardation Center, Community Living Center, attached herewith, which shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council this 25th day of April , 1991. �C w B. C. MCRINN, fiAYOR ATTEST: Ran tte Boyd, City Se ret ry APPROVED AS TO CONTENT: Sandy Oglem�;ee ommun ty Development Administrator APPROVErS FORM: Dennis W. McG 1 Tr al Attorney Resolutioh No. 3595 April 25, 1991 Item #16 EMERGENCY SHELTER FUNDING AGREEMENT BETWEEN THE CITY OF LUBBOCK AND LUBBOCK REGIONAL MENTAL HEALTH AND MENTAL RETARDATION CENTER COMMUNITY LIVING CENTER THE STATE OF TEXAS § COUNTY OF LUBBOCK § This Agreement is entered into this 25th day of April , 1991, between the City of Lubbock, Texas, a home rule municipal corporation, hereinafter called "City" and Lubbock Regional Mental Health and Mental Retardation Center, a nonprofit agency of the State of Texas created at the request of a local government pursuant to Article 5547-2.03 Vernon Texas Civil Statutes (MHMR Act 1965, as amended), a political subdivision whose role is to perform public service in a particular field, hereinafter referred to as "Center". WITNESSETH: WHEREAS, the City is obligated to do and perform certain services in its undertaking of an Emergency Shelter Grants Program pursuant to Subpart B of Title IV of the Stewart B. McKinney Homeless Assistance Act (Pub. L.100-77); and WHEREAS, the Center is a nonprofit Center offering services to the homeless; and WHEREAS, the Center and the services it provides have been found to meet the criteria for funding under provisions 576.23(b) of the Emergency Shelter Regulation for Nonprofit Recipients; and WHEREAS, the renovation, major rehabilitation and conversion of facilities for the homeless, provision of essential services for the homeless, and the payment of maintenance, operation (excluding staff), rent, repair, security, fuels, equipment, insurance, utilities and furnishing, developing and implementing homeless prevention activities are fundable by the Department of Housing and Urban Development; and WHEREAS, the provision of shelter and services to the homeless is the predominant purpose of the transaction; continuing supervision by the City together with statutory and contractual requirements provide sufficient assurance that this purpose will be accomplished; and an audit provides sufficient protection of the handling of public money; NOW THEREFORE, the City and Center do hereby mutually agree as follows: SECTION 1. AGREEMENT PERIOD This agreement shall commence on April 25, 1991, and shall terminate on March 18, 1992. SECTION 2. CENTER PERFORMANCE Center shall conduct, in a satisfactory manner as determined by City, an Emergency Shelter Grants Program pursuant to Subpart B of Title IV of the Stewart B. McKinney Homeless Assistance Act (Pub. L. 100-77), hereinafter referred to as the Act. Center shall perform all activities in accordance with the terms of the Performance Statement, hereinafter referred to as Exhibit A; the Budget, hereinafter referred to as Exhibit B; the Applicable Laws and Regulations, hereinafter referred to as Exhibit C; the assurances, certifications, and all other statements made by Center in its application for the project funded under this agreement; and with all other terms, provisions, and requirements set forth in this agreement. 1 SECTION 3. CITY OBLIGATIONS A. In consideration of full and satisfactory performance of the activities referred to in Section 2 of this agreement, City shall be liable for actual and reasonable costs incurred by Center during the agreement period for performances rendered under this agreement by Center, subject to the limitations set forth in this Section 3. 1. It is expressly understood and agreed by the parties hereto that City's obligations under this Section 3 are contingent upon the actual receipt of adequate federal funds to meet City's liabilities under this agreement. If adequate funds are not available to make payments under this agreement, City shall notify Center in writing within a reasonable time after such fact is determined. City shall terminate this agreement and will not be liable for failure to make payments to Center under this agreement. 2. City shall not be liable to Center for any costs incurred by Center, or any portions thereof, which have been paid to Center or which are subject to payment to Center, or which have been reimbursed to Center or which are subject to reimbursement to Center by any source other than City or Center. 3. City shall not be liable to Center for any costs incurred by Center which are not allowable costs, as set forth in Section 5(B) of this agreement. 4. City shall not be liable to Center for any costs incurred by Center or for any performances rendered by Center which are not strictly in accordance with the terms of this agreement, including the terms of Exhibit A, Exhibit B, and Exhibit C of this agreement. 5. City shall not be liable to Center for any costs incurred by Center in the performance of this agreement which have not been billed to City by Center within sixty (60) days following termination of this agreement. 6. City shall not be liable for costs incurred or performances rendered by Center before commencement of this agreement or after termination of this agreement. B. Center shall refund to City any sum of money which has been paid to Center by City which City determines has resulted in overpayment to Center, or which City determines has not been spent by Center strictly in accordance with the terms of this agreement. Such refund shall be made by Center to City within thirty (30) working days after such refund is requested by City. C. Notwithstanding any other provision of this agreement, the total of all payments and other obligations incurred by City under this agreement shall not exceed the sum of Thirty Four Thousand Six Hundred and No/100 Dollars ($34,600.00). SECTION 4. METHOD OF PAYMENT A. Center shall submit to City invoices for items purchased. City shall determine the reasonableness of each purchase and shall not make disbursement of any such payment until City has reviewed and approved each purchase. Payment of approved purchases will be made by the City directly to the supplier. B. Notwithstanding the provisions of Section 4(A) of this agreement, it is expressly understood and agreed by the parties hereto that payments under this agreement are contingent upon Center's full and satisfactory performance of its obligations under this contract. 2 C. It is expressly understood and agreed by the parties hereto that any right or remedy provided for in this Section 4 or in any other provision of this agreement shall not preclude the exercise of any other right or remedy under this agreement or under any provision of law, nor shall any action taken in the exercise of any right or remedy be deemed a waiver of any other rights or remedies. Failure to exercise any right or remedy hereunder shall not constitute a waiver of the right to exercise that or any other right or remedy at any time. SECTION 5. UNIFORM ADMINISTRATIVE REQUIREMENTS AND COST PRINCIPLES A. Center shall comply with Office of Management and Budget (OMB) Circulars Nos. A-110 and A-112. B. The allowability of costs incurred for performances rendered hereunder by Center shall be determined in accordance with OMB Circular No. A-122. Notwithstanding any other provision of this agreement, City shall only be liable to Center for costs incurred or performances rendered for activities specified in 24 CFR Sec. 576.21(a) (54 Fed Reg 46801 (November 7, 1989).) City shall not be liable to Center for costs incurred or performances rendered for any other activities, than those authorized under.§ 576.21(a), (b) and (c). C. Recipients and subrecipients which are governmental entities shall comply with the requirements and standards of OMB Circular No. A-87, OMB Circular A-128, and 24 CFR Part 85. SECTION 6. CENTER'S MATCH A. Center shall be liable to City for providing an amount of funds equal to the amount of funds provided by City under this agreement for performances hereunder. Such funds must be provided from sources other than under this agreement. This amount shall be referred to hereinafter as Center's match. B. Amounts may be counted toward Center's match only if such amounts are costs or resources of a type specified by budget categories delineated in Exhibit B and only if such amounts are computed in accordance with this subsection. In calculating the amount of Center's match, Center may include the value of any donated material or building; the value of any lease on a building; any salary paid to staff of Center in carrying out the activities required under this agreement; and the time and services contributed by volunteers to carry out such activities, determined at the rate of $5 per hour. Center shall determine the value of any donated material or building, or any lease using any method reasonably calculated to establish a fair market value. SECTION 7. RETENTION AND ACCESSIBILITY OF RECORDS A. Center shall comply with the retention and custodial requirements for records specified in Attachment C of OMB Circular No. A-110. B. Center shall give the United States Department of Housing and Urban Development, the Inspector General, the Comptroller General of the United States, and City, or any of their duly authorized representatives, access to and the right to examine all books, accounts, records, reports, files, and other papers, things or property belonging to or in use by Center pertaining to this agreement. Such right shall continue as long as the records are retained by Center. 3 SECTION 8. REPORTING REQUIREMENTS A. Center shall submit to City such reports on the operation and performance of this agreement as may be required by City including, but not limited to, the reports specified in this Section 8. B. Center shall furnish City with monthly financial statements of the project or services being funded under this agreement. Such statements shall contain all the information as may be requested by the Community Development Administrator regarding the performance of the Center's activities. C. Center shall submit to City an annual performance report. Such reports shall be in a format prescribed by City and shall include the amount of the funds obligated and expended for each of the four categories of eligible activities described in 575.21(a)(1),(2),(3) and (4). The initial annual performance report is required for the period ending December 31 following the execution of this agreement, and is due no later than 10 days after December 31. Center must continue to submit this report annually until all emergency shelter grant amounts are reported as expended. D. In addition to the limitations on liability otherwise specified in this agreement, it is expressly understood and agreed by the parties hereto that if Center fails to submit to City in a timely and satisfactory manner any report required by this agreement, City may, at its sole option and in its sole discretion, withhold any or all payments otherwise due or requested by Center hereunder. If City withholds such payments, it shall notify Center in writing of its decision and the reasons therefor. Payments withheld pursuant to this paragraph may be held by City until such time as the delinquent obligations for which funds are withheld are fulfilled by Center. SECTION 9. MONITORING City reserves the right to perform periodic on-site monitoring of Center's compliance with the terms and conditions of this agreement, and the adequacy and timeliness of Center's performances under this agreement. After each monitoring visit, City shall provide Center with a written report of the monitor's findings. If the monitoring report notes deficiencies in Center's performances under the terms of this agreement, the monitoring report shall include requirements for the timely correction of such deficiencies by Center. Failure by Center to take action specified in the monitoring report may be cause for suspension or termination of this agreement, as provided in Sections 17 and 18 of this agreement. SECTION 10. INDEPENDENT CONTRACTOR It is expressly understood and agreed by the parties hereto that City is contracting with Center as an Independent Contractor, and that Center, as such, agrees to hold City harmless and to indemnify City from and against any and all claims, demands, and causes of action of every kind and character which may be asserted by any third party occurring or in any way incident to, arising out of, or in connection with the services to be performed by Center under this agreement, its use or occupancy of the emergency shelter structure, or by the negligence of its agents or employees. Center shall give to City prompt and timely written notice of any claim instituted which in any way, directly or indirectly, contingently or otherwise, affects or might affect City, and City shall have the right to compromise and defend same to the extent of its own interests. The Center shall not at any time or in. any manner represent that it or any of its agents or employees are in any manner agents or employees of the City. 4 SECTION 11. SUBCONTRACTS A. Center shall only subcontract for performances described in this agreement to which the federal labor standards requirements apply after Center has submitted a Subcontractor Eligibility form, as specified by City, for each such approval, based on the information submitted, of Center's intent to enter into such proposed subcontract. Center, in subcontracting for any performances described in this agreement, expressly understands that in entering into such subcontracts, City is in no way liable to Center's subcontractor(s). B. In no event shall any provision of this Section 11, specifically the requirement that Center obtain City's prior written approval of a subcontractor's eligibility, be construed as relieving Center of the responsibility for ensuring that the performances rendered under all subcontracts are rendered so as to comply with all of the terms of this agreement, as if such performances rendered were rendered by Center. C. City's approval under Section 11 does not constitute adoption, ratification, or acceptance of Center's or subcontractor's performance hereunder. City maintains the right to insist upon Center's full compliance with the terms of this agreement, and by the act of approval under this Section 11, City does not waive any right of action which may exist or which may subsequently accrue to City under this agreement. D. Center shall comply with all applicable federal, state, and local laws, regulations, and ordinances for making procurements under this contract, including Circular No. A-110, Attachment O Procurement Standards. SECTION 12. CONFLICT OF INTEREST In addition to the requirements of OMB Circular No. A-110 and 24 CFR Part 85, Center shall ensure that no person who is an employee, agent, consultant, officer, or elected or appointed official of City or Center, who exercises or has exercised any functions or responsibilities with respect to activities performed pursuant to this agreement, or who is in a position to participate in a, decision making process or gain inside information with regard to such activities, may obtain a personal or financial interest or benefit from the activity, or have an interest in any contract, subcontract, or agreement with respect to the activity or the proceeds of any contract, subcontract, agreement related to the activity, either for himself or herself or those with whom he or she has family or business ties, during his or her tenure or for one year thereafter. SECTION 13. LEGAL AUTHORITY A. Center assures and guarantees that Center possesses the legal authority to enter into this agreement to receive funds authorized by this agreement, and to perform the services Center has obligated itself to perform hereunder. B. The person or persons signing and executing this agreement on behalf of Center, or representing themselves as signing and executing this agreement on behalf of Center, do hereby warrant and guarantee that he, she or they have been duly authorized by Center to execute this agreement on behalf of Center and to validly and legally bind Center to all terms, performances, and provisions herein set forth. C. City shall have the right to suspend or terminate this agreement if there is a dispute as to the legal authority of either Center or the person signing this agreement to enter into this agreement or to render performances hereunder. Center is liable to City for any money it has received from City for performance of the 5 provisions of this agreement if City has suspended or terminated this agreement for reasons enumerated in this Section 13. SECTION 14. LITIGATION AND CLAIMS Center shall give City immediate notice in writing of 1) any action, including any proceeding before an administrative agency, filed against Center arising out of the performance of any subcontract hereunder; and 2) any claim against Center, the cost and expense of which Center may be entitled to have reimbursed by City. Except as otherwise directed by City, Center shall furnish immediately to City copies of all pertinent papers received by Center with respect to such actions or claims. SECTION 15. SECTARIAN ACTIVITY None of the performances rendered by Center under this agreement shall involve and no portion of the funds received by Center under this agreement shall be used in support of any sectarian or religious activity, nor shall any facilities used in the performance of this agreement be used for sectarian instruction or as a place of religious worship. SECTION 16. CHANGES AND AMENDMENTS A. Except as specifically provided otherwise in this agreement, any alternations, additions, or deletions to the terms of this agreement shall be by amendment hereto in writing and executed by both parties to this agreement. B. It is understood and agreed by the parties hereto that performances under this agreement must be rendered in accordance with the Act, the regulations promulgated under the Act, the assurances and certifications made to City by Center, and the assurances and certifications made to the United States Department of Housing and Urban Development by the City with regard to the operation of the Emergency Shelter Grants Program. Based on these considerations, and in order to ensure the legal. and effective performance of this agreement by both parties, it is agreed by the parties hereto that the performances under this contract may be amended in the following manner: City, on behalf of the Department of Housing and Urban Development, may from time to time during the period of performance of this agreement issue policy directives which serve to establish, interpret, or clarify performance requirements under this agreement. Such policy directives shall be promulgated by the U.S. Department of Housing and Urban Development, shall have the effect of qualifying the terms of this agreement, and shall be binding upon Center, as if written herein, provided however, that said policy directives shall not alter the terms of this agreement so as to release City of any obligation specified in Section 3 of this agreement to reimburse costs incurred by Center prior to the effective date of said policy directives. C. Any alterations, additions, or deletions to the terms of this agreement which are required by changes in Federal law or regulations are automatically incorporated into this agreement without written amendment hereto, and shall become effective on the date designated by such law or regulation. SECTION 17. SUSPENSION Notwithstanding the provisions of Texas Civil Statutes, Article 601f, in the event that Center fails to comply with any term of this agreement, City may, upon written notification to Center, suspend this agreement in whole or in part and withhold further payments to Center, and prohibit Center from incurring additional obligations of funds under this agreement. SECTION 18. TERMINATION A. City shall have the right to terminate this agreement, in whole or in part, at any time before the date of completion specified in Section 1 of this agreement whenever City determines that Center has failed to comply with any term of this agreement. City shall notify Center in writing prior to the thirtieth (30th) day preceding the date of termination of such determination; the reasons for such termination; the effective date of such termination; and in the case of partial termination, the portion of the contract to be terminated. B. Either of the parties to this agreement shall have the right to terminate this agreement, in whole or in part, when both parties agree that the continuation of the activities funded under this agreement would not produce beneficial results commensurate with the further expenditure of funds; provided that both parties agree, in writing, upon the termination conditions, including the effective date of such termination; and in the case of partial termination, the portion of the agreement to be terminated. C. Upon termination or receipt of notice to terminate, whichever occurs first, Center shall cancel, withdraw, or otherwise terminate any outstanding orders or subcontracts related to the performance of this agreement or the part of this agreement to be terminated, and shall cease to incur costs thereunder. City shall not be liable to Center or to Center's creditors for costs incurred after termination of this agreement. D. Notwithstanding any exercise by City of its rights of suspension under Section 17 of this agreement, or of early termination. pursuant to this Section 18, Center shall not be relieved of any liability to City for damages due to City by virtue of any breach of this agreement by Center. City may withhold payments to Center until such time as the exact amount of damages due to City from Center is agreed upon or is otherwise determined. SECTION 19. AUDIT A. City reserves the right to conduct a financial and compliance audit of funds received and performances rendered under this agreement. Center agrees to permit City, the U.S. Department of Housing and Urban Development, or their authorized representatives to audit Center's records and to obtain any documents, materials, or information necessary to facilitate such audit. B. Center understands and agrees it shall be liable to City for any costs disallowed pursuant to financial and compliance audit(s) of funds received under this agreement. Center further understands and agrees that reimbursement to City of such disallowed costs shall be paid by Center from funds which were not provided or otherwise made available to Center under this agreement. C. Center shall take such action such audit or audits conducted City or the U.S. Department of require of Center. SECTION 20. SPECIAL CONDITIONS A. Use as an Emergency Shelter to facilitate the performance of pursuant to this Section 19 as Housing and Urban Development may 1. Any building for which emergency shelter grant amounts are used for one or more of the eligible activities described in 24 CFR 576.21 (a)(1) must be maintained as a shelter for the homeless for not less than a three-year period, or for not less than a 10 -year period if the grant amounts are used for major rehabilitation or conversion of the building. Any building for which emergency shelter grant amounts are used for eligible activities described in 24 CFR 576.21(a)(2).or (a)(3) must be maintained as a shelter for the homeless for the period during which such assistance is provided. A substitute site or shelter may be used during this period, so long as the same general population is served. Using emergency shelter grant amounts for eligible activities in 24 CFR 576.21 (a) (4) does not trigger either the three- or ten-year period. 2. The three- and 10 -year periods referred to in paragraph B(1) of this section begin to run: a) In the case of a building that was not operated as an emergency shelter for the homeless before receipt of grant amounts under this part, on the date of initial occupancy as an emergency shelter for the homeless. b) In the case of a building that was operated as an emergency shelter before receipt of grant amounts under this part, on the date that grant amounts are first obligated to the shelter. 3. Specifically, the Center shall be required to maintain the building, for which emergency shelter grant amounts are used, as a shelter for the homeless for not less than a three year period from the date this agreement is executed. This requirement will terminate on April 25, 1994. B. Building Standards Any building for which emergency shelter grant amounts are used for renovation, conversion, or major rehabilitation must meet local government code, safety and sanitation standards. C. Deadlines for Using Grant Amounts Center shall expend all funds provided under this agreement by March 18, 1992. D. Religious Activities Center shall ensure that activities performed under this agreement shall be carried on in a manner free from religious influence. SECTION 21. ORAL AND WRITTEN AGREEMENTS A. All oral and written agreements between the parties to this agreement relating to the subject matter of this agreement that were made prior to the execution of this agreement have been reduced to writing and are contained in this agreement. B. The attachments enumerated and denominated below are hereby made a part of this agreement, and constitute promised performances by Center in accordance with Section 2 of this agreement. 1. Exhibit A, Performance Statement, 1 page 2. Exhibit B, Budget, 1 page 3. Exhibit C, Applicable Laws and Regulations, 2 pages For purposes of determining venue and the law governing this agreement, activities under this agreement are performed in the City and County of Lubbock, State of Texas. This agreement contains the entire agreement of the parties; and no representations, inducements or other covenants between the parties not included herein shall be of any force or effect. 8 IN WITNESS WHEREOF, the City and the Center have executed this Agreement as of the first day above written. CITY OF LUBBOCK LUBBOCK REGIONAL MENTAL HEALTH MENTAL RETARDATION CENTER s • • •` k ckj11Au . C. MCMINN, MAYOR CHAIRPERSON, BOARD OF DIRECTORS ATTEST: Rane to Boyd city secretary APPROVED AS TO CONTENT: Sandy Og ree Community Development Administrator APP RO TO FORM: ssistant City Attorney 9 ATTEST: (740-rz 4' -ez� Sectttary Executive Director EXHIBIT A PERFORMANCE STATEMENT LUBBOCK REGIONAL MHMR CENTER COMMUNITY LIVING CENTER Center shall carry out the following activities as described in its 1991 Emergency Shelter Grants program application: Section 1. Renovation, Major Rehabilitation/Conversion City shall provide a grant to the Lubbock Regional MHMR for the sum of Thirty Four Thousand Six Hundred and No/100 Dollars ($34,600.00) for the renovation of the East Building at 1617 28th Street. Matching funds of Thirty Four Thousand Six Hundred and No/100 Dollars ($34,600.00) shall be from staff salaries. N n • a rt m A 'pa LCI O m O C O m C na in rt r• r• oo °, b' u. r- O P. rt N an r• m 4 a b' r- r - rt a rt r• O V9. 0 LJ O rt rn n o a o n 0 rt C) O a. En io). IF3 of O W rt Pi N N O O O O En O r - En H P) 0 H m P) H O r- rn m a rt 0 r c x x O n x � °z r rzj DC HH w zr H �x to z� H ti M H �x U 3 t1J Z H EXHIBIT C APPLICABLE LAWS AND REGULATIONS Contractor shall comply with the Act specified in Section 2 of this agreement and with the rules and regulations promulgated thereunder at 24 C.F.R. Part 576 (53 Fed. Reg. 30191 (August 10, 1988)], and any revisions thereto; the OMB Circulars and the Management Standards specified in Section 5 of this contract; Treasury Circular 1075 (31 C.F.R. part 205); and with all other federal, state, and local laws and regulations applicable to the activities and performances rendered by Contractor under this contract including, but not limited to, the laws and the regulations promulgated thereunder and specified in Section A through J of this Exhibit C. A. Nondiscrimination and Equal Opportunity 1. The requirements of Title VIII of the Civil Rights Act of 1968, 42 U.S.C. 3601 through 3620, and implementing regulations at 24 CFR part 100; Executive Order 11063 and implementing regulations at 24 CFR Part 107; and Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d through 2000d- 4) and implementing regulations issued at 24 CFR Part 1; 2. The prohibitions against discrimination on the basis of age under the Age Discrimination Act of 1975 (42 U.S.C. 6101- 6107) and the prohibitions against discrimination against otherwise qualified individuals with handicaps under section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794); 3. The requirements of Executive Order 11246 and the regulations issued under the Order at 41 CFR Chapter 60; and 4. The requirements of Section 3 of the Housing and Urban Development Act of 1968, 12 U.S.C. 1701u (see 5 570.607(b) of this chapter); and 5. The requirements of Executive Orders 11625, 12432, and 12138. Consistent with HUD's responsibilities under these Orders, the corporation must make efforts to encourage the use of minority and women's business enterprises in connection with activities funded under this agreement. 6. The requirement that the recipient or grantee make known that use of the facilities and services is available to all on a nondiscriminatory basis. Where the procedures that a recipient or grantee intends to use to make known the availability of the ESG services are unlikely to reach persons with handicaps or persons of any particular race, color, religion, sex or national origin within their service area who may qualify for such services, the recipient or grantee must establish additional procedures that will ensure that these persons are made aware of the facility and services. Grantees and recipients must also adopt and implement procedures designed to make available to interested persons information concerning the existence and location of services and facilities that are accessible to persons with a handicap. B. Applicability of OMB Circulars The policies, guidelines and requirements of 24 CFR part 85 (codified pursuant to OMB Circular No. A-102) and OMB Circular No. A-87, as they relate to the acceptance and use of emergency shelter grant amounts by states and units of general local government, and OMB Circular Nos. A-110 and A-112 as they relate to the acceptance and use of emergency shelter grant amounts by private nonprofit organizations. C. Lead -Based Paint The requirements as applicable, of the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. 4821 through 4846) and implementing regulations at 24 CFR Part 35. In addition, the grantee must also meet the following requirements relating to inspection and abatement of defective lead-based paint surfaces: (1) Treatment of defective paint surfaces must be performed. before final inspection and approval of the renovation, rehabilitation or conversion activity under this part; and (2) Appropriate action must be taken to protect shelter occupants form the hazards associated with lead-based paint abatement procedures. D. Conflicts of Interest In addition to conflict of interest requirements in OMB Circulars A-102 and A-110, no person 1) who is an employee, agent, consultant, officer, or elected or appointed official of the City or nonprofit recipient (or any designated public agency) that receives emergency. shelter grant amounts and who exercises or has exercised any functions or responsibilities to assisted activities or 2) who is in a position to participate in a decision making process or gain inside information with regard to such activities may obtain a personal or financial interest or benefit from the activity, or have an interest, in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, either for him or herself or those with whom he or she has family or business ties, during his or her tenure or for one year thereafter. (HUD may grant an exception to this exclusion as provided in 5 570.611 (d) and (e).) E. Use of Debarred, Suspended, or Ineligible Contractors The provisions of 24 CFR Part 24 relating to the employment, engagement of services, awarding of contracts, or funding of any contractors or subcontractors during any period of debarment, suspension, or placement in ineligibility status. F. Flood Insurance No site proposed on which renovation, major rehabilitation, or conversion of a building is to be assisted under this part, may be located in an area that has been identified by the Federal Emergency Management Agency (FEMA) as having special flood hazards, unless the community in which the area is situated is participating in the National Flood Insurance Program and the regulations thereunder (44 CFR Parts 59 through 79) or less than a year has passed since FEMA notification regarding such hazards, and the corporation will ensure that flood insurance on the structure is obtained in compliance with section 102(a) of the Flood Disaster Protection Act of 1973 (42 U.S.C. 4001 et. seq.). G. Coastal Barriers In accordance with the Coastal Barrier Resources Act, 16 U.S.C. + 3501, no financial assistance under this part may be made available within the Coastal Barrier Resources System. H. Drug Free Workplace Act of 1988 Each recipient will maintain a drug free workplace in accordance with the requirements of 24 CFR part 24, subpart F. 2 I. Audit Private nonprofit organizations are subject to the audit requirements of OMB Circular A-110. J. Intergovernmental Review The requirements of Executive Order 12372 and the regulations issued under the order at 24 CFR, part 52, to the extent provided by Federal Register notice in accordance with 24 CFR 52.3.