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HomeMy WebLinkAboutContract 30420 `QTY SECRETARY y. �,, .1 RACT NO, n FIRST AMENDMENT TO CITY SECRETARY CONTRACT NO. 25858 WHEREAS, on April 28, 2003, the City of Fort Worth and Polytechnic Community Development Corporation made and entered into City Secretary Contract No. 25858, (the "contract") as authorized by M&C C-19379 adopted by the City Council on December 17, 2002; WHEREAS, Polytechnic Community Development Corporation desire to extend the contract for an additional one (1) year term and City of Fort Worth has agreed to such extension; WHEREAS, it the mutual desire of the Parties to amend the contract; NOW, THEREFORE, the City of Fort Worth ("City"), acting by and through Dale A. Fisseler, its duly authorized acting Assistant City Manager, and Polytechnic Community Development Corporation ("Contractor"), acting by and through Opal Barrett, its duly authorized President, do hereby agree as follows: I. GENERAL PROVISIONS 1. Purpose The third full paragraph of this section is amended to be and read as follows. "The City certifies that Contractor is a Community Housing Development Organization ("CHDO"), however, Contractor is acting as a subrecipient under this contract amendment. The funds generated from the sale of homes developed under this contract are considered program income and Contractor may use the program income from the sale of these homes to develop additional single family housing including expending program income for site acquisition, new housing construction, and the purchase, rehabilitation and resale of existing homes during the term of the contract." 2. Duration This section is amended to be and read as follows: This contract is extended for twelve (12) months beginning on the date of execution of this contract amendment. This contract may be extended for an additional one (1) year term. Contractor shall request such extension in writing and submit the request to the City sixty (60) days prior to the end of the term. The City may then approve extension of the contract for the additional one (1) year term. It is specifically understood that it is solely within the City's discretion whether to approve or deny Contractor's request. Page 1 9. DUTIES AND RESPONSIBILITIES OF CITY A. Disbursement of Funds This section is amended to be and read as follows: "The City will furnish federal grant funds pursuant to a grant received from the United States Department of Housing and Urban Development ("HUD") through the Home Investment Partnerships ("HOME") Program No. M-01-MC-48-0204, Catalog of Federal Domestic Assistance ("CFDA") No. 14.239 for use as stated herein. The City will monitor the use of such funds to ensure appropriate use of the funds. Funds shall be disbursed after execution of this contract and any amendments hereto in compliance with the provisions herein. Payment of expenses will require completion of a"Request for Funds" form (Attachment I)." B. Amount of Funds This section is amended to be and read as follows: "It is agreed that the total distribution of HOME funds made available to or paid on behalf of Contractor during the term of this contract amendment shall not exceed the sum of ONE HUNDRED THIRTEEN THOUSAND FIVE HUNDRED SEVENTY-SIX and No/100 DOLLARS ($113,576.00). "Contractor will use the ONE HUNDRED THIRTEEN THOUSAND FIVE HUNDRED SEVENTY-SIX and No/100 DOLLARS ($113,576.00) for housing development in accordance with Exhibit B —"Development Budget"." 10. DUTIES AND RESPONSIBILITIES OF CONTRACTOR A. Statement of Work Budget and Time Line for Goals and Expenditures The first full paragraph of this section is amended to be and read as follows: "Contractor will utilize HOME funds provided under this contract to pay certain of its program delivery expenses to promote and develop affordable housing for low and very-low income families. HOME funds may only be used to provide Contractor funding for activities that are eligible and allowable expenditures pursuant to Sections 92.205 and 92.206 of the HOME Regulations." H. Cost Principles The second full paragraph of this section is amended to be and read as follows. Page 2 "All non-federal entities that expend $300,000 or more in federal funds within one year, regardless of the source of the Federal award, must submit an annual audit to City prepared in accordance with specific reference to OMB Circular A-133. The audit may cover either Contractor's fiscal year during which this contract is in force or cover the period of this contract or any amendment hereto. The audit must be prepared by an independent certified public accountant, be completed within twelve (12) months following the end of the period being audited and be submitted to City within thirty (30) days of its completion. Contractor's audit certification is attached hereto as Exhibit D - Audit Certification Form and City Housing Department Audit Requirements. The Audit Certification Form must be submitted to City within sixty (60) days of the end of period being audited (Contractor's fiscal year). Costs of preparation of this audit may be an allowable expenditure of Federal funds in an amount proportional to that of the Federal funds used in Contractor's total agency operating budget. Non- profit entities that expend less than $300,000 a year in Federal funds are exempt from Federal audit requirements for that year, but records must be available for review or audit by officials of the appropriate Federal agency, City, and General Accounting Office ("GAO")." 11. PROHIBITION AGAINST DISCRIMINATION The first full paragraph of this section is amended to be and read as follows. "Contractor, in the execution, performance or attempted performance of this contract, will not unlawfully discriminate against any person or persons because of sex, race, religion, age, disability, color, national origin or familial status, nor will Contractor permit its officers, members, agents, employees, subcontractors or program participants to engage in such discrimination." Exhibit D attached to the contract is hereby replaced with the Exhibit D attached hereto. All other terms and conditions of City Secretary Contract No. 25858 not amended herein remain unaffected and in full force and effect, are binding upon the Parties, and are hereby ratified by the Parties. (Remainder of Page Intentionally Left Blank) Page 3 IN WITNESS WHEREOF, the parties hereto have-execute four copies of this ontract amendment in Fort Worth, Tarrant County, Texas, this &Xb* day of A.D. 2004. ATTEST: CITY OF FORT WORTH By: City Secretary Assistant City Manager APPROVED AS TO FORM AND LEGALITY: Asst. City Attorney -0/- 1 qSr7Q retract Authorization POLYTECHNIC COMMUNITY 00— DEVELOPMENT CORPORATION t e By: Opal Barrett, President Page 4 i STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the under ' 4d tl .ri�t a�Notary Public in and for the State of Texas, on this day personally appearedir, own to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the City of Fort Worth and that he executed the same as the act of said City of Fort Worth for the purposes and consideration therein expressed and in the capacity therein stated. IVEN UNDER MY HAND AND SEAL OF OFFICE this _ day of A.D. 2004. r r otary Public in and for the State of Texas o'*.P&91, KAREN EDWARDS-FISHE STATE OF TEXAS § Notary Public,State of Texas I My Commiss on ExP"s COUNTY F T {; Moy n7 zoos O ARRANT § BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on this day personally appeared Opal Barrett, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of Polytechnic Community Development Corp. and that she executed the same as the act of said Polytechnic Community Development Corp. for the purposes and consideration therein expressed and in the capacity therein stated as its duly authorized officer or representative. GIVEN, ER MY HAND AND SE OF OFFICE this +� day of A.D. 2004. AA 1.�Y P Notary Public in and for the State of Texas o�� Rose M Walker 2; �; y My Commission Expires �coF�+P September 18,2004 Page 5 ] % IT D C= OF FORT 'WORTH HOUSING DEPARTMENT Audit Certification Form_ - Subrecipienf.- Fiscal-Year E-ndifig: f I Mo Day Yr ❑ We have exceeded the federal expenditure threshold of $300,000. We will have our Single Audit or Program Specific Audit completed and will submit the audit report within nine, (9) months after the end of the audited fiscal year. ❑ We -did not exceed the $300,000 federal expenditure threshold required for a Single Audit or a Program Specific Audit to be performed-this fiscal year. (Fill out schedule below) Federal Expenditure Disc.Iosule f=ederal Funds Must be filled out if Single Audit"or Program Audit is not required.- Pass Through Program Name& Confracf Federal Grantor Grantor CFDA Number Number Expenditures Total Federal Expenditures for this Piscal Year $ Printed Name Title (Must be CFO, CEO or equivalent) Authorized signature(Must be CFO, CEO or equivalent) -Phone Number Date Failure to submit-this or a similar statement or failure to submit a completed single audit package as described in the audit requirements by the required due date will result in suspension of funding and will affect eligibility for future funding. Submif this form to the City of Fort Worth within 60 days after the end of your Fiscal year i ' f CITY OF FORT WORTH HOUSING DEPARTMENT AUDIT REQUIREMENTS Organizations expending $300,000 or more in federal awards (from City of Fort Worth and other funding sources) during their fiscal years shall obtain either an annual single audit or a prografn specific audit. Organizations may have a program specific audit in accordance with OMB Circular A-133 if they expended funds for only one federal program as listed in the Catalog of Federal Domestic Assistance (CFDA). If funds are spent for more than one federal program, a single audit is required. The audited time period is the organization's fiscal year, and not the City of Fort Worth's funding period. The audit shall be conducted by a certified public accountant (CPA) that is licensed at the time of the audit by 'th.e appropriate regulatory body. The CPA shall meet all of the .general standards. concerning qualifications, independence, due professional care and quality control as required .by Government .Auditing Standards, including the requirements for continuing professional education and external peer reviews. Auditor selection must adhere to federal/City procurement requirements. A separate supplementary schedule of revenues, expenditures and changes in fund balance for each City. of Fort Worth contract is no longer required. The Schedule of Expenditures of Federal Awards should list City of Fort Worth 's contract numbers, the total expended for each individual federal program, and the CFDA number (OMB A-133 § .310). The independent auditor's report should include all of the relevant items listed on the "Audit Report Checklist." Additional guidance on'the-conduct and reporting of these audits is contained in the latest issuance of the following publications: Government Auditing Standards issued by the Comptroller General of the United States, 2003 OMB Circular A-133 as revised 6/30/97 and amended June 2003 OMB CircularA-133 Compliance Supplement AICPA's Statement of Position 98-3, "Audits of States, Local Governments, and Not-for-Profit Organizations Receiving Federal Awards" Various AICPA audit guides for nonprofits, colleges and universities and health and welfare organizations AICPA's Audit Risk Alert "State and Local Governmental Developments" All organizations that receive a City of Fort Worth award must submit the provided Audit Certification Form which certifies whether you are subject to a single/program audit. Organizations receiving-federal awards from the City of Fort Worth who are not required to have an audit shall certify in writing to the agency, The organizations Chief Executive Officer or Chief Financial Officer shall make the .certification within .60 days of the end of the'organization's fiscal year. The following items should be submitted to fhe. City of Fort Worth Housing Department within the required timeframe: Due 80 days after brganization's fiscal year end: (required for all subrecipients) • Completed Audit Certification Form Due within the earlier of 30 days after receipt of the auditor's report or nine months afterthe end of the audit period. • Two copies of the eritire audit report issued by the CPA • Two copies of any management letter issued by the CPA in conjunction with, the audit report • Two copies of management's comments o'n all findings, recommendations, & questiohed costs contained in the audit report and management letter, including a detailed corrective action plan Failure to submit any, of these items by the required due date may result in holds on current draw requests, suspension of the organization's contract(s) and eligibility for future funding. If the organization does not meet the- requirements of having a single/program audit conducted, records must still be kept available for review or audit by City of Fort Worth staff(Oiv1B A-133 Subpart B Sec 200(d). If additional information is needed concerning the audit requirements, please call (817) 392-6141. C= OF FORT WORTH OUSTNG DEPARTMENT SINGLE AUDIT REPORT C=CKLIST The Department developed this eheckiis-t to help organizations improve the quality and completeness of audit repgrts. General Purpose or Basic Financial Statements of the Organization Opinion/Report on Organization's Financial Statements in accordance With ' Government Auditing Standards Notes to the General Purpose or Basic Finan-cial Statements of the Organization A Schedule of Ex enditures of Federal Awards including the Department's contract numbers, the total. expended for the federal program, and -the CFDA number (OMB A-133 Subpart C Sec 310): Opinion/Report on Schedule of Expenditures of Federal and State Awards Report -on Compliance and on lnternal Control Over Financial Re ortin Based on an Audit of Financial Statements Performed in Accordance -'With' GovernmentAuditmg Standards_ (OMB A-133 §505 (b)) Report on Compliance with Requirements Applicable to Each Major.Program and Internal Control over Compliance in Accordance with OMB Circular A-133. (OMB A-133 § 505 (c)) Schedule of Findings- and Questioned Costs. (OMB A-133 §. 505d), including: Summary Schedule of Prior Audit Findings reporting the status of all findings included in the prior audit's schedule of findings and questioned costs. (OMB A' 133 Sec. 315 (a) and (b)) Corrective Action Plan including (OMB A-133 Sec. 315 (c)) name of person responsible for the corrective action, corrective action planned, anticipated completion' date, and explanation and reason if auditee does not agree with findings or believes correction is not required. A11 reports are signed and dated by the auditor Two copies of the audit reports are submitted Two copies of the management letter, if issued in conjunction with the audit report repo Two copies of cornrnents by management concerning all findings and recommendations included in management letter, including a corrective action plan ` R City of Fort Worth, Texas C�ayc�r and c��rncyt � u ' C C mm n'catio DATE REFERENCE NUMBER LOG NAME 12/17/02 **C-'19379 05POLYTEC PAGE SUBJECT 1 of 2 REALLOCATION OF FUNDS FOR THE POLYTECHNIC COMMUNITY DEVELOPMENT CORPORATION RECOMMENDATION: It is recommended that the City Council: 1. Approve the future reallocation of an estimated $70,000.00 in Home Investment Partnerships Program (HOME) funds consisting of the net proceeds from the sale of two single family homes in the Polytechnic Model Blocks, and $113,576.47 of unexpended balance from the City's Poly New Construction account to the Polytechnic Community Development Corporation (PCDC)s Housing Development Fund, contingent upon receipt of the funds; and 2. Authorize the City Manager to: • Amend City Secretary Contract No. 26932 with the PCDC, executed on July 18, 2001, to reflect the above allocation of funds to the PCDC Housing Development Fund, bringing the total contract amount to $407,983 in HOME and Community Development Block Grant (CDB.G) funds; and • Further amend this contract, as needed, to achieve project goals provided the amendment is within the scope of the project and in compliance with applicable laws and regulations; and • Extend or renew the contract if the PCDC requests an extension or renewal. DISCUSSION: The Polytechnic neighborhood received Model Blocks (MB) designation in 1996 and was awarded $1.2 million to implement its strategic plan. The purpose of the MB program is to organize and empower neighborhoods so that they may effectively identify their needs and work toward meeting those needs in partnership with government and other sectors in the community. One of the Polytechnic MB's goals is to provide affordable homeownership I p pportunities. To implement this goal, the Polytechnic MB initially allocated $240,000 for a revolving fund to pr ovide construction financing for new homes to be built on vacant lots in the MB area. The initial objective was to build four homes. Pending the establishment of a Polytechnic nonprofit community development corporation a prerequisite to receiving City federal funds), the Polytechnic MB requested the City, through the Fort Worth Housing Finance Corporation (FWHFC), to build these four homes. The PCDC received its 501(c)3 designation from the Internal Revenue Service and its Community Housing Development Organization (CHDO) certification from the City in January 2001. The net proceeds from the sale of two homes which the FWHFC built and sold in 2001 have been -eallocated to the PCDC's Housing Development Fund. FWHFC has completed two more homes this /ear, completing the initial goal of four homes. The PCDC has requested that the net proceeds from he sale of these two homes and any unexpended balance in the City's new construction fund for 'olytechnic MB also be reallocated to the PCDC. The PCDC will co^±roue Its or"eowre-s io -5 r cra^ k M� V i w City of Fort Worth, Texas "ClUor A"d__T__ DATE REFERENCE NUMBER LOG NAME PAGE 12/17/02 **C-19379 05POLYTEC I 2 of 2 SUBJECT REALLOCATION OF FUNDS FOR THE POLYTECHNIC COMMUNITY DEVELOPMENT CORPORATION The Economic and Community Development Committee approved this recommendation on November 12, 2002. The Polytechnic MB is located in COUNCIL DISTRICT 5. FISCAL INFORMATION/CERTIFICATION: The Finance Director certifies that upon approval of the above recommendations, funds will be available in the current operating budget, as appropriated, of the Grants Fund. RR:k >ubtnitted for City Manager's FL--ND ACCOUNT CENTER AMOUNT � office by: i CITY SECRETARY I (to) � 1) GR76 539120 1 005206113750 1 $113,576.47 ,eid Rector 6140 1) GR76 I 539120 005206113xxx $ 70,000.00 )riginating Department Head: I I :rome Walker 7537 (aom) i 1 i GRrr -- dditiooal Informatio❑ < nriract _ _, — --- - _- -----