00-122 Charities Housing DevelopmentCOMMUNITY DEVELOP~IAENT BLOCK GRANT
CITY/NON-PROFIT AGREEMENT
This AGREEMENT is entered into by rind between the CITY OF CUPERTINO, a
municipal corporation in the State of California (hereinafter "CITY"), and CHARITIES
HOUSING DEVELOPMENT CORPORATION, a non-profit corporation (hereinafter
"CORPORATION"). The allocation of funds pursuant to this AGREEMENT shall be a
loan/grant. If the allocation is a loan, then Exhibit E (the Loan Agreement) shall be
attached hereto and become part of this AGREEMENT by this reference as though fully
set forth herein. CITY approved the allocation and distribution of Community
Development Block Grant (hereinafter "CDBG") funds to the CORPORATION on A ril 5,
1999.
WITNE:~ETH
WHEREAS, CITY has received CDBG funds through a Joint Power Agreement
with the County of Santa Clara, which is an Urban County entitled to CDBG funds from
the United States Department of Housing and Urban Development (hereinafter "HUD").
WHEREAS, CITY has agreed to the use by CORPORATION, as a subrecipient,
of a portion of the CITY'S CDBG allocation for a housing program to serve the residents
of CITY and shall benefit low and very-low income households.
NOW, THEREFORE, the parties agree as follows;
I. PROGRAM
CITY agrees to allocate a portion of its CDBC~ funds, and/or program income as defined
in 24 CFR 570 Subpart J, "Grant Administration", as a subrecipient, being the sum of
Twenty Thousand and No Cents Dollars ($20,000.00) for the purpose of implementing
the housing program (hereinafter PROGRAM), as more particularly described in
numerous exhibits marked as noted herein, attached to this AGREEMENT, incorporated
by this reference, as though fully set forth, as follows: Exhibit "A" (Agency Description),
Exhibit "B" (Project Work Plan), Exhibit "C" (f~roposed Implementation Time Schedule),
Exhibit "D" (Budget), Exhibit "E" (Certifications), Exhibit "F" (Assurances), Exhibit "G"
(Insurance Requirements), and Exhibit "H" (Lean Agreement), if applicable.
II. TERM
A. The purpose of this AGREEMENT i:~ for the CITY to disburse CDBG funds.
Unless amended prior to it's expiration, the term of this AGREEMENT for
disbursement purposes shall begin one 7/1/00 and shall terminate on 6/30/01; or
unless terminated earlier pursuant to Section V or Section VII of this
AGREEMENT. Invoices requesting disbursements submitted after the expiration
of the AGREEMENT will be honorE;d only for charges incurred during the
AGREEMENT term. Funding which remains unexpended for 90 days following
expiration of this AGREEMENT will be returned for future reallocation to eligible
activities.
B. The term of the expenditure by CORPORATION for the grant amount provided
for herein shall begin on 7/1/00 and terminate on the earliest of the following
dates as set forth herein: 6/30/01, or later date per amendment to this
AGREEMENT; the date of the expenditure of the total grant provided for herein;
upon the termination date established pursuant to Section V or Section VII of this
AGREEMENT. The term of the Loan Agreement shall be as specified therein
(see Exhibit H, if applicable).
III. OBLIGATIONS OF CORPORATION
A. Organization of CORPORATION. CORPORATION shall:
1) Provide CITY with copies of the following documents, evidencing filing
with the appropriate governmental agency:
a) Its Articles of Incorporation under the laws of the State of California;
b) A copy of the current Bylaws of CORPORATION;
c) Documentation of its Internal Revenue Service non-profit status;
d) Names and addresses of the current Board of Directors of
CORPORATION; and,
e) An adopted copy of CORPORATION'S personnel policies and
procedures, and approved affirmative action plan.
2) During the AGREEMENT term, immediately report any changes,
subsequent to the date of this AGREEMENT, in CORPORATION'S
Articles of Incorporation, Bylaws, Board of Directors, personnel policies
and procedures, affirmative action plan, or tax exempt status to
PROGRAM MANAGER.
3) Maintain no member of its Board of Directors as a paid employee, agent,
independent contractor, or subcontractor under this AGREEMENT.
4) Open to the public, meetings of its Board of Directors, if required by
California's open meeting laws, except meetings, or portions thereof,
dealing with personnel or litigation matters or as otherwise provided by
law.
5) Keep minutes of all its regular and special meetings.
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6) Comply with all provisions of California and Federal Non-Profit
Corporation Laws.
B. Program Performance by CORPORATION. CORPORATION shall:
1) Conduct the Program within :ianta Clara County, for the purpose of
benefiting low and very-low income households.
2) File quarterly reports as required by CITY on the type and number of
services rendered through th~~ operation of the PROGRAM, and a
description of the beneficiaries of these services, and said reports shall
evaluate the manner in which the PROGRAM is achieving its objectives
and goals according to the standards established by CITY. The progress
reports shall be due ten days alter the close of each reporting period and
shall cover the three months immediately preceding the date on which the
report is filed.
3) Coordinate its services with other existing organizations providing similar
services in order to foster community cooperation and to avoid
unnecessary duplication of services.
4) Seek out and apply for other sources of revenue in support of its operation
or services from local, state, federal and private sources and, in the event
of receipt of such award, inform CITY within ten days.
5) Include an acknowledgment of CITY funding and support on PROGRAM
stationery and on all appropriate project-related publicity and publications
using words to the effect: "funded in whole or in part by the City of
Cupertino through the Housing :end Community Development Act of 1974,
as amended."
C. Fiscal Responsibilities of CORPORATION. CORPORATION shall:
1) Appoint and submit the name of a fiscal agent who shall be responsible for
the financial and accounting activities of CORPORATION, including the
receipt and disbursement of CORPORATION funds. The CITY shall
immediately be notified in writing of the appointment of any new fiscal
agent and that agent's name.
2) CORPORATION shall comply with the requirements and standards of
OMB Circular No. A-122 "Cost Principles for Non-Profit Organizations, and
with the following Attachments to OMB Circular A-110":
a) Attachment A, "Cash De~~ositories", except for paragraph 4
concerning deposit insur~ince;
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b) Attachment B, "Bonding and Insurance";
c) Attachment C, "Retention and Custodial Requirements for
Records", except that in lieu of the provisions in paragraph 4, the
retention period for records pertaining to individual CDBG activities
starts from the date of submission of the annual performance and
evaluation report, as prescribed in 570.507, in which the specific
activity is reported on for the final time;
d) Attachment F, "Standards for Financial Management Systems";
e) Attachment H, "Monitoring and Reporting Program Performance",
paragraph 2;
f) Attachment N, "Property Management Standards", except for
paragraph 3 concerning the standards for real property, and except
that paragraphs 6 and 7 are modified so that:
i) In all cases in which personal property is sold, the proceeds
shall be program income, and
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ii) Personal property not needed by the CORPORATION for
CDBG activities shall be transferred to the recipient for the
CDBG program or shall be retained after compensating the
recipient; and
g) Attachment O, "Procurement Standards".
3) Document all PROGRAM costs by maintaining records in accordance with
Section III, Paragraph D below.
4) Submit to the CITY, within ten (10) days of the end of each quarter, a
request for payment, together with all supporting documentation.
5) Submit for approval by CITY any lease agreement either contemplated or
in effect.
6) Certify current and continuous insurance coverage, subject to CITY
approval and in accordance with requirements as outlined in Exhibit G,
"Insurance".
7) If applicable, submit an indirect cost plan to CITY for approval.
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8) 1) through 7) are express conditions precedent to disbursement of any
CITY funding and failure to con'~ply with these conditions will, at discretion
of CITY, result in suspension of funding or termination of this
AGREEMENT.
9) If CORPORATION does not use CDBG funds in accordance with this
AGREEMENT, CORPORATIO~J is liable for repayment of all disallowed
costs. Disallowed costs may k~e identified through audits, monitoring or
other sources. CORPORATION shall be required to respond to any
adverse findings which may lead to disallowed costs subject to provisions
of OMB Circular A-122, "Cost Principles for Non-Profit Organizations".
D. Establishment and Maintenance of Records. CORPORATION shall:
1) Maintain complete and accurate records of all its transactions including,
but not limited to, contracts, invoices, time cards, cash receipts, vouchers,
canceled checks, bank statements, client statistical records, personnel,
property and all other pertinent records sufficient to reflect properly (a) all
direct and indirect costs of whatever nature claimed to have been incurred
or anticipated to be incurred to perform this AGREEMENT or to operate
the PROGRAM, and (b) all other matters covered by this AGREEMENT.
E. Preservation of Records. CORPORATION shall preserve and make available its
records until:
1) the expiration of five years from the date of final payment to
CORPORATION under this AGFEEMENT; or
2) for such longer period, if any as is required by applicable law; or
3) if this AGREEMENT is completely or partially terminated, the records
relating to the work terminated :shall be preserved and made available for
a period of five years from the date of termination.
F. Examination of Records; Facilities. At any time during normal business hours,
and as often as may be deemed necE;ssary, CORPORATION agrees that HUD
and the CITY, and/or any duly authori;~ed representatives may until expiration of
(a) five years after final payment under this AGREEMENT, (b) five years from the
date of termination of this AGREEMENT, or (c) such longer period as may be
described by applicable law, have access to and the right to examine its plants,
offices and facilities used in the pE~rformance of this AGREEMENT or the
operation of the PROGRAM, and all its records with respect to the PROGRAM
and all matters covered by this AGREEMENT. CORPORATION also agrees that
CITY or any duly authorized repre~;entatives shall have the .right to audit,
examine, and make excerpts or transactions of and from, such records and to
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make audits of all contracts and subcontracts, invoices, payrolls, records of
personnel, conditions of employment, materials and all other data relating to the
PROGRAM and matters covered by this AGREEMENT. CORPORATION will be
notified in advance that an audit will be conducted. CORPORATION will be
required to respond to any audit findings, and have the responses included in the
final audit report. The cost of any such audit will be borne by CITY.
G. Compliance with Law. CORPORATION shall become familiar and comply with
and cause all its subcontractors, independent contractors, and employees, if any,
to become familiar and comply with all applicable federal, state and local laws,
ordinances, codes, regulations and decrees including, but not limited to, those
federal rules and regulations, executive orders, and statutes identified in Exhibit
F ("Assurances"). Specifically, CORPORATION shall comply with the
requirements and standards of OMB Circular No. A-122, "Cost Principles for
Non-Profit Organizations ,and the attachments to OMB Circular No. A-110 as
described in "III. OBLIGATIONS OF CORPORATION, C. Fiscal
Responsibilities of CORPORATION.
H. Suspension and Termination. In accordance with 24 CFR 85.43, suspension or
termination of this AGREEMENT may occur if the CORPORATION materially
fails to comply with any term of the award, and that the award may be terminated
for convenience in accordance with 24 CFR 85.44.
I. Reversion of Assets. In the event HUD were to cancel the PROGRAM for any
reason, the CORPORATION shall transfer to the CITY any CDBG funds on hand
at the time of expiration and any accounts receivable attributable to the use of
CDBG funds. The document directing reversions of assets shall also include
. provisions designed to ensure that any real property under the CORPORATION's
control that was acquired or improved in whole or in part with CDBG funds in
excess of $25,000 is, at the CORPORATION's option, either:
1) Used to meet one of the national objectives in 570.901 for a period of five
years after expiration of this AGREEMENT, or for such longer period of
time as determined to be appropriate by the CITY; or,
2) Disposed of in a manner that results in the CITY being reimbursed in the
amount of the current fair market value of the property, less any portion of
the value attributable to expenditures of non-CDBG funds for acquisition
of, or improvement to, the property (reimbursement is not required after
the period of time specified in III. I, 1).
IV. OBLIGATIONS OF CITY
A. Method of Payment. During the term of this AGREEMENT, CITY shall reimburse
CORPORATION for all allowable costs and expenses incurred in connection with
the PROGRAM, not to exceed the total sum of Twenty Thousand Dollars and No
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Cents ($20,000.00), except that CITY may, at any time in its absolute discretion,
elect to suspend or terminate payment to CORPORATION, in whole or in part,
under this AGREEMENT based on CORPORATION'S non-compliance,
including, but not limited to, incomplE~te documentation of expenses, failure to
substantially meet goals and objectives as required in Exhibit B, ("Project Work
Plan"), failure to submit adequate progress reports as required herein or other
incidents of non-compliance as described in Section V, Paragraph B of this
AGREEMENT or based on the refi~sal by CORPORATION to accept any
additional conditions that may be imposed by HUD at any time, or based on the
suspension or termination of the grant to CITY made pursuant to the Housing
and Community Development Act of 1ia74, as amended.
V. CONTRACT I~OMPLIANCE
A. Monitoring and Evaluation of Services. Evaluation and monitoring of the
PROGRAM performance shall be thE; mutual responsibility of both CITY and
CORPORATION. CORPORATION shall furnish all data, statements, records,
information and reports necessary for PROGRAM MANAGER to monitor, review
and evaluate the performance of the PROGRAM and its components. CITY shall
have the right to request the services of an outside agent to assist in any such
evaluation. Such services shall be pai~~ for by CITY.
B. Noncompliance. If CORPORATION fails to comply with any provision of this
AGREEMENT, CITY shall have the right to terminate this AGREEMENT or to
require corrective action to enforce compliance with such provision. Examples of
noncompliance include, but are not limited to:
1) If CORPORATION (with or wii:hout knowledge) has made any material
misrepresentation of any nature with respect to any information or data
furnished to CITY in connection with the PROGRAM.
2) If there is pending litigation with respect to the performance by
CORPORATION if any of its dui:ies or obligations under this AGREEMENT
which may materially jeopardize; or adversely affect the undertaking of or
the carrying out of the PROGR~~M.
3) If CORPORATION has taken any action pertaining to the PROGRAM,
which action required CITY approval, and such approval was not obtained.
4) If CORPORATION is in default sander any provision of this AGREEMENT.
5) If CORPORATION makes improper use of CITY funds.
6) If CORPORATION submits tc~ CITY any report which is incorrect or
incomplete in any material respect.
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7) If CORPORATION fails to meet all provisions of the County of Santa Clara
CDBG REALLOCATION GUIDELINES.
8) If CORPORATION fails to meet the stated objectives in Exhibit B ("Project
Work Plan").
C. Corrective Action Procedure. CITY, in its absolute discretion and in lieu of
immediately terminating this AGREEMENT upon occurrence or discovery of
noncompliance by CORPORATION under this AGREEMENT, shall have the
right to give CORPORATION notice of CITY'S intention to consider corrective
action to enforce compliance. Such notice shall indicate the nature of the non-
compliance and the procedure whereby CORPORATION shall have the
opportunity to participate in formulating any corrective action recommendation.
CITY shall have the right to require the presence of CORPORATION'S officer(s)
and EXECUTIVE DIRECTOR at any hearing or meeting called for the purpose of
considering corrective action.
In the event that CORPORATION does not implement the corrective action
recommendations in accordance with the corrective action timetable, CITY may
suspend payments hereunder or terminate this AGREEMENT.
D. Termination for Cause. Notwithstanding anything to the contrary contained in
the foregoing, CITY may terminate this AGREEMENT by written notice to
CORPORATION, for any of the following reasons: non-compliance as set forth in
Section V, B are not corrected; if CORPORATION is in bankruptcy or
receivership; if a member of the CORPORATION'S Board of Directors or the
EXECUTIVE DIRECTOR is the subject of investigation for wrongdoing; or if there
is reliable evidence that CORPORATION is unable to operate the PROGRAM.
Termination under this section shall be effective on the date notice of termination
is received or such later date as may be specified in the notice.
VI. PROGRAM COORDINATION
A. CITY. The City Manager shall assign a single PROGRAM MANAGER for CITY
who shall render overall supervision of the progress and performance of this
AGREEMENT by CITY. All services agreed to be performed by CITY shall be
under the overall direction of the PROGRAM MANAGER.
B. CORPORATION. AS OF THE DATE HEREOF, CORPORATION has
designated Daniel Wu to serve as~~XECUTIVE DIRECTOR and to assume
overall responsibility for the progress and execution of this AGREEMENT. The
CITY shall be immediately notified in writing of the appointment of a new
EXECUTIVE DIRECTOR.
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NOTICES. All notices or other correspondence required or contemplated by this
AGREEMENT shall be sent to the parties at the following addresses:
CITY: Housing Services Division
c/o Vera Gil, Program Manager
10300 Torre Avenue
Cupertino. CA 95014
CORPORATION: Daniel Wu
Name and Title of Executive Director
Charities Housing Development Corporation
Corporation
195 E.. San Fernando St., San Jose, CA 95112
Address of Corporation
All notices shall either be hand delivered or sent by United States mail, registered
or certified, postage prepaid. Notices given in such a manner shall be deemed
received when hand delivered or seventy-two (72) hours after deposit in the
United States mail. Any party may change his or her address for the purpose of
this section by giving five days written notice of such change to the other party in
the manner provided in this section.
VII. TERMIINATION
A. In addition to the CITY'S right to terminate for cause set forth in Section V, either
CITY or CORPORATION may suspend or terminate this AGREEMENT for any
reason by giving thirty (30) days prior written notice to the other party. Upon
receipt of such notice, performance of the services hereunder will be immediately
discontinued.
B. Upon termination, either under this ~~ection VII or Section V, CORPORATION
shall:
1) be paid for all documented services actually rendered to CITY to the date
of such termination; provided, however, CITY shall be obligated to
compensate CORPORATION only for that portion of CORPORATION'S
services which are allowable costs and expenses as determined by an
audit or other monitoring device;
2) turn over to CITY immediately any and all copies of studies, reports and
other data, whether or not completed, prepared by CORPORATION or its
subcontractors, if any, in connection with this AGREEMENT. Such
materials shall become property of CITY. CORPORATION, however,
shall not be liable to CITY'S usE; of incomplete materials or for CITY'S use
of completed documents if used for other than the services contemplated
by this AGREEMENT; and
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3) transfer to the CITY any CDBG funds on hand and any accounts
receivable attributable to the use of CDBG funds. All assets acquired with
CDBG funds shall be returned to the CITY unless otherwise negotiated by
separate contract per the provisions of the Santa Clara County CDBG
REALLOCATION GUIDELINES.
C. Upon termination of this AGREEMENT, CORPORATION shall immediately
provide CITY access to all documents, records, payroll, minutes of meetings,
correspondence and all other data pertaining to the CDBG entitlement fund
granted to CORPORATION pursuant to this AGREEMENT.
VIII. PURCHASING REAL OR PERSONAL PROPERTY
The CORPORATION and CITY will be accountable for all applicable Federal
Regulations as detailed by 24 CFR Part 570, Subpart J, i.e. 570.500 (Definitions),
570.503 (Agreements with Subrecipients), 570.504 (Program Income), and 570.505
(Use of Real Property), with regards to the use and disposal of Real or Personal
Property purchased in whole, or in part, with CDBG funds.
In addition, 24 CFR Part 85 (the Common Rule) includes definitions, which apply to
CDBG Real Property, however, the Common Rule section governing Real Property
(CFR 85.31) DOES NOT APPLY TO CDBG ACTIVITIES.
The following definitions will apply to this AGREEMENT:
1) Definitions. 24 CFR, Part 58 (Common Rule) 85.3
a) Equipment means tangible, non-expendable, personal property having a
useful life of more than one year and an acquisition cost of $5,,000 or more
per unit.
b) Title as defined in detail in 24 CFR, Part 85.32 (a).
c) Use as defined in detail in 24 CFR, Part 85.32 (c) (1 ).
d) Supplies as defined in detail in 24 CFR, Part 85.33.
e) Procurement, Use and Disposition of Real Property as defined in detail by
24 CFR, Part 570.503 (Agreements with Subrecipients), 5.70.505 (Use of
Real Property), and 570.504 (Program Income).
Security Document. As a condition precedent to CITY releasing funds for the purchase
of real property or an option to purchase real property, CORPORATION shall prepare
and execute a promissory note, deed of trust or other AGREEMENT restricting the use
of said real property for purposes consistent with this AGREEMENT, HUD and CDBG
requirements.
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IX. PROGRAM INCOME
Income generated by the PROGRAM shall bE~ regulated by all provisions of 24 CFR 570
Subpart J "Grant Administration", 570.50:: "Agreements with Subrecipients", and
570.504 "Program Income". In addition, all provisions of the CITY REALLOCATION
GUIDELINES will apply.
X. INDEPENDENT CONTRACTOR
This is an AGREEMENT by and between independent contractors and is not intended
and shall not be construed to create the relationship of agent, servant, employee,
partnership, joint venture or association between CORPORATION and CITY.
CORPORATION, including its officers, empl~~yees, agents or independent contractors
or subcontractors, shall not have any clairn under this AGREEMENT or otherwise
against CITY for any Social Security, Worker's Compensation, or employee benefits
extended to employees of CITY.
XI. ASSIG~IABILITY
A. This AGREEMENT may not be assumed nor assigned to another
CORPORATION, PERSON, PARTNERSHIP or any other entity without the prior
written approval of CITY.
B. None of the work or services to be performed hereunder shall be assigned,
delegated or subcontracted to third p~~rties without the prior written approval of
CITY. Copies of all third party contracts shall be submitted to CITY at least ten
days prior to the proposed effective clate. In the event CITY approves of any
such assignment, delegation or sub-contract, the subcontractors, assignees or
delegates shall be deemed to bE; employees of CORPORATION, and
CORPORATION shall be responsible for their performance and any liabilities
attaching to their actions or omissions.
XII. DISCLOSURE OF CONFIDENTIAL CLIENT INFORMATION
CITY and CORPORATION agree to maint~~in the confidentiality of any information
regarding applicants for services offered by the PROGRAM pursuant to this
AGREEMENT or their immediate families which may be obtained through application
forms, interviews, tests, reports from public:, agencies or counselors, or any other
source. Without the written permission of the applicant, such information shall be
divulged only as necessary for purposes related to the performance or evaluation of the
services and work to be provided pursuant to this AGREEMENT, and then only to
persons having responsibilities under this i~GREEMENT, including those furnishing
services under the PROGRAM through approved subcontracts.
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XIII. HOLD HARMLESS
In addition to the indemnity set forth in Exhibit G, "Insurance Requirements",
CORPORATION shall indemnify and hold harmless the CITY, its employees and
elected officials, boards and commissions, with respect to any damages, including
attorney's fees and court costs, arising from:
1) the failure of the PROGRAM to comply with applicable laws, ordinances,
codes, regulations and decrees, including without limitation those set forth
in Exhibit E, "Certifications", or,
2) any negligence or omission arising out of any work or services provided by
CORPORATION, its officers, employees, agents or subcontractors under
the PROGRAM or this AGREEMENT.
XIV. WAIVER OF RIGHTS AND REMEDIES
In no event shall any payment by CITY constitute or be construed to be a waiver by
CITY of any breach of the covenants or conditions of this AGREEMENT or any default
which may then exist on the part of CORPORATION, and the making of any such
payment while any such breach or default shall exist shall in no way impair or prejudice
any right or remedy available to CITY with respect touch breach or default. In no event
shall payment to CORPORATION by CITY in any way constitute a waiver by CITY of its
rights to recover from CORPORATION the amount of money paid to CORPORATION
on any item which is not eligible for payment under the PROGRAM or this
AGREEMENT.
XV. NON-DISCRIMINATION
In connection with the performance of this AGREEMENT, CORPORATION assures that
no person shall be subject to discrimination because of sex, race, religion, ethnic
background, sexual preference, age, handicapped status, or union activity.
XVI. AMENDMENTS
Amendments to the terms or conditions of this AGREEMENT shall be requested in
writing by the party desiring such amendments, and any such amendment shall be
effective only upon the mutual agreement in writing of the parties hereto.
XVII. INTEGRATED DOCUMENT
This AGREEMENT contains the entire Agreement between CITY and CORPORATION
with respect to the subject matter hereof. No written or oral Agreements with any
officer, agent or employee of CITY prior to execution of this Agreement shall affect or
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modify any of the terms of obligations contained in any documents comprising this
Agreement.
XVIII. MISCELLANEOUS
A. The captions of this AGREEMENT are for convenience of reference only, and the
words contained therein shall in no way be held to explain, modify, amplify or aid
in the interpretation, construction or meaning of the provisions of this
AGREEMENT.
B. All exhibits attached hereto and referred to in this AGREEMENT are incorporated
herein by this reference as if set forth fully herein.
IN WITNESS WHEREOF, the parties have e~:ecuted this AGREEMENT in duplicate the
day and year above written.
Charities Housing Development I;or~orationr
AGENCY: (CIT~( OF QUPERTINO:
-Z.1~.~
actingExecutive irector David W. Knapp, City a ager
Daniel Wu
ATTEST:
tel.
Kimberly Smit
City Clerk
APPROVED AS TO FO~tM AND
LEGALITY:, ~ // ~
City Attorney
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PROJECT WORK PLAN
FY
Caritas Housing
AGENCY NAME Charities Housing Development Corp ...
PROJECT NAME HomeSafe Santa Clara
Responsible Staff Person(s) and
Approximate Percentage of the
Time Charged to this Activity
Director (.l0 FTE)
Project Manager
Project #
Activity for Period
(Quarterly 3-mo. period)
Supervise staff, manage and administer
the project
Coordinate Development Team and Activity
Perform Financial Revier~s
Report to fenders as required
Exhibit B
Date Prepared: 11/00
Santa Clara County HCD
Products or Milestones
ongoing
1st qtr -
2nd qtr -
3rd qtr - Construction
4th qtr - Construction
ongoing
ongoing
Rev. 1 1 /6/97
BUDGET
FY
Caritas Housing
AGENCY NAME Chari ties Ho ai ng D v l opmpnt Corporation
PROJECT NAME HomeSafe Santa Clara PROJECT #
Exhibit D
Date Prepared:_ 11/00
County of Santa Clara HCD
LINE ITEM JUL AUG SEPT OCf NOV DEC JAN FEB MAR APR MAY JUN TOTAL
SALARIES
Personnel
Benefits
OFFICE EXPENSE
Rent
Phone/FAX
Printing
Travel
Utilities
PROJECT EXPENSES
Accounting Services
Auditing Fees
Insurance
Davis Bacon Compliance
'ROJECT CONSTRUCTION 20,000 20,000
Appraisal
Engineering Services
Architectural/Design
Acquisition
r
'OTAL
20,000 20,000
ev. 7/2/98
EXHIBIT E
CERTIFICATIONS
In accordance with the applicable statui:es and the regulations governing the
consolidated plan regulations, the jurisdiction certifies that:
Affirmatively Further Fair Housing -The jurisdiction will affirmatively further fair housing,
which means it will conduct an analysis of impediments to fair housing choices within
the jurisdiction, take appropriate actions to ~~vercome the effects of any impediments
identified through that analysis, and maintain records reflecting that analysis and actions
in this regard.
Anti-displacement and Relocation Plan - It will comply with the acquisition and
relocation requirements of the Uniform Relocation Assistance and Real Property
Acquisition Policies Act of 1970, as amended, and implementing regulations at 49 CFR
24; and it has in effect and is following a residential anti-displacement and relocation
assistance plan required under section 104(c) of the Housing and Community
Development Act of 1974, as amended, in ~~onnection with any activity assisted with
funding under the CDBG or HOME programs.
Drug Free Workplace - It will or will continue ~to provide adrug-free workplace by:
1) Publishing a statement notifying employees that the unlawful manufacture,
distribution, dispensing, possession, or use of a controlled substance is
prohibited in the grantee's workplace and specifying the actions that will be taken
against employees for violation of such prohibition;
2) Establishing an on-going drug-free awareness program to inform employees
about .. .
a) The dangers of drug abuse in the workplace;
b) The grantee's policy of maintaining adrug-free workplace;
c) Any available drug counseling, rehabilitation, and employee assistance
programs; and
d) The penalties that may be imposed upon employees for drug abuse
violations occurring in the work place.
3) Making it a requirement that each emF~loyee that engages in the performance of
the grant be given a copy of the statement required by paragraph 1;
4) Notifying the employee in the statement required by paragraph 1 that, as a
condition of employment under the grant, the employee will .. .
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a) Abide by the terms of the statement; and
b) Notify the employer in writing of his or her conviction for a violation of a
criminal drug statute occurring in the workplace not later than five calendar
days after such conviction;
5) Notifying the agency in writing, within ten calendar days after receiving notice
under subparagraph 4(b) from an employee or otherwise receiving actual notice
of such conviction. Employers of convicted employees must provide notice,
including position title, to every grant officer or other designee on whose grant
activity the convicted employee was working, unless the Federal agency has
designated a central point for the receipt of such notices. Notice shall include the
identification number(s) of each affected grant;
6) Taking one of the following actions, within 30 calendar days of receiving notice
under subparagraph 4(b) with respect to any employee who is so convicted .. .
a) Taking appropriate personnel action against such an employee, up to and
including termination, consistent with the requirements of the
Rehabilitation Act of 1973, as amended; or
b) Requiring such employee to participate satisfactorily in a drug abuse
assistance or rehabilitation program approved for such purposes by a
Federal, State or local health, law enforcement, or other appropriate
agency;
7) Making a good faith effort to continue to maintain adrug-free workplace through
implementation of paragraphs 1, 2, 3, 4, 5 and 6.
Anti-Lobbying - To the best of the jurisdiction's knowledge and belief:
1) No Federal appropriated funds have been paid or will be paid, by or on behalf of
it, to any person for influencing or attempting to influence an officer or employee
of any agency, a Member of Congress, an officer or employee of Congress, or an
employee of a Member of Congress in connection with the awarding of any
Federal contract, the making of any Federal grant, the making of any Federal
loan, the entering into of any cooperative agreement, and the extension,
continuation, renewal, amendment or modification of any Federal contract, grant,
loan or cooperative agreement;
2) If any funds other than Federal appropriated funds have been paid or will be paid
to any person for influencing or attempting to influence an officer or employee of
any agency, a Member of Congress, an officer or employee of Congress, or an
employee of a Member of Congress in connection with this Federal contract,
grant, loan or cooperative agreement, it will complete and submit Standard Form-
LLL, "Disclosure Form to Report Lobbying", in accordance with its instructions;
and
3) It will require that the language of paragraph (n) of this certification be included in
the award documents for all sub-awards at all tiers (including subcontracts, sub-
grants, and contracts under grants, lo;~ns and cooperative agreements) and that
all subrecipients shall certify and disclose accordingly.
Authority of Jurisdiction -The consolidated plan is authorized under State and local law
(as applicable) and the jurisdiction posse~;ses the legal authority to carry out the
programs for which it is seeking funding, in accordance with applicable HUD
regulations.
Consistency with plan -The housing activities to be undertaken with CDBG, HOME,
ESG and HOPWA funds are consistent with the strategic plan.
Section 3 - It will comply with the section 3 cf the Housing and Urban Development Act
of 1968, and implementing regulations at 24 c~FR Part 135.
Signature/Authorized Official
Date
County Executive
Title
Specific CDBG Certifications
The Entitlement Community certifies that:
Citizen Participation - It is in full compliance and following a detailed citizen participation
plan that satisfies the requirements of 24 CFR 91.105.
Community Development Plan -Its consolidated housing and community development
plan identifies community development and housing needs and specifies both short-
term and long-term community development objectives that provide decent housing and
expand economic opportunities primarily for persons of low and moderate income. (See
CFR 24 570.2 and CFR 24 part 570)
Following aPlan - It is following a current consolidated plan (or Comprehensive Housing
Affordability Strategy) that has been approved by HUD.
1) Maximum Feasible Priority. With respect to activities expected to be assisted
with CDBG funds, it certifies that is has developed its Action Plan so as to give
maximum feasible priority to activities which benefit low and moderate-income
families or aid in the prevention or elimination of slums or blight. The Action Plan
may also include activities which the grantee certifies are designed to meet other
community development needs having a particular urgency because existing
conditions pose a serious and immediate threat to the health or welfare of the
community, and other financial resources are not available);
2) Overall Benefit. The aggregate use of CDBG funds including section 1108
guaranteed loans during program years 2000-2001 (a period specified by the
grantee consisting of one, two or three specific consecutive program years), shall
principally benefit persons of low and moderate income in a manner that ensures
that at least 70 percent of the amount is expended for activities that benefit such
persons during the designated period;
3) Special Assessment. It will not attempt to recover any capital costs of public
improvements assisted with CDBG funds including Section 108 loan guaranteed
funds by assessing any amount against properties owned and occupied by
persons of low and moderate income, including any fee charged or assessment
made as a condition of obtaining access to such public improvements.
However, if CDBG funds are used to pay the portion of a fee or assessment that
relates to the capital costs of public improvements (assisted in part with CDBG
funds) financed from other revenue sources, an assessment or charge may be
made against the property with respect to the public improvements financed by a
source other than CDBG funds.
The jurisdiction will not attempt to recover any capital assets of public
improvements assisted with CDBG funds, including Section 108, unless CDBG
funds are for used to pay the proportion of fee or assessment attributable to the
capital costs of public improvements financed from other revenue sources. In
this case, an assessment or charge may be made against the property with
respect to the public improvements fin~~nced by a source other than CDBG funds.
Also, in the case of properties owned and occupied by moderate-income (not
low-income) families, an assessment or charge may be made against the
property for public improvements financed by a source other than CDBG funds if
the jurisdiction certifies that it lacks CDBG funds to cover the assessment.
Excessive Force - It has adopted and is enforcing:
1) A policy prohibiting the use of exce:;sive force by law enforcement agencies
within its jurisdiction against any individuals engaged in non-violent civil rights
demonstrations; and
2) A policy of enforcing applicable State and local laws against physically barring
entrance to or exit from a facility or I~~cation which is the subject of such non-
violent civil rights demonstrations within its jurisdiction.
Compliance with Anti-discrimination Laws - The grant will be conducted and
administered in conformity with Title VI of the Civil Rights Act of 1984 (42 USC 2000d),
the Fair Housing Act (42 USC 3601-3619), and implementing regulations.
Lead-Based Paint -Its notification, inspection, testing and abatement procedures
concerning lead-based paint will comply with 1:he requirements of 24 CFR §570.608;
Compliance with Laws - It will comply with applicable laws.
APPENDIX TO CERTIFICATIONS
INSTRUCITONS CONCERNING LOBBYING AND DRUG-FREE WORKPLACE
A. Lobbying Certification
This certification is a material representation of fact upon which reliance was
placed when this transaction was made or entered into. Submission of this
certification is a prerequisite for making or entering into this transaction imposed
by section 1352, title 31, US Code. Any person who fails to file the required
certification shall be subject to a civil penalty of not less than $10,000 and not
more than $100,000 for each such failure.
B. Drug -Free Workplace Certification
1. By signing and/or submitting this application or grant agreement, the
grantee is providing the certification.
2. The certification is a material representation of fact upon which reliance is
placed when the agency awards the grant. If it is later determined that the
grantee knowingly rendered a false certification, or otherwise violates the
requirements of the Drug-Free Workplace Act, HUD, in addition to any
other remedies available to the Federal Government, may take action
authorized under the Drug-Free Workplace Act.
3. For grantees other than individuals, Alternate I applies. (This is the
information to which jurisdictions certify).
4. For grantees that are individuals, Alternate II applies. (Not applicable to
jurisdictions.)
5. Workplaces under grants, for grantees other than individuals, need not be
identified on the certification. If known, they may be identified in the grant
application. If the grantee does not identify the workplaces at the time of
application, or upon award, if there is no application, the grantee must
keep the identity of the workplace(s) on file in its office and make the
information available for Federal inspection. Failure to identify all known
workplaces constitutes a violation of the grantee's drug-free workplace
requirements.
6. Workplace identifications must include the actual address of buildings (or
parts of buildings) or other site: where work under the grant takes place.
Categorical descriptions may b~~ used (e.g., all vehicles of a mass transit
authority or State highway department while in operation, State employees
in each local unemployment office, performers in concert halls or radio
stations).
7. If the workplace identified to thc: agency changes during the performance
of the grant, the grantee shall inform the agency of the change(s), if it
previously identified the workplaces in question (see paragraph five).
8. The grantee may insert in the space provided below the site(s) for the
performance of work done in connection with the specific grant:
Place of Performance (Street acldress, city, county, state, zip code)
County of Santa Clara
Housing and Community Development Program
1735 North First Street, Suite 2~i5
San Jose. CA 95112
9. Definitions of terms in the Nonprocurement Suspension and Debarment
common rule and Drug-Free Workplace common rule apply to this
certification. Grantees' attention is called in particular to the following
definitions from these rules:
"Controlled substance" means a controlled substance in Schedules I
through V of the Controlled Substances Act (21 U.S.C. 312) and as further
defined by regulation (21 CFR 1308.11 through 1308.15);
"Conviction" means a finding of guilt (including a plea of polo contendera)
or imposition of sentence, or b~~th by any judicial body charged with the
responsibility to determine violations of the Federal or State criminal drug
statutes;
"Criminal drug statute" means a Federal or non-Federal criminal statute
involving the manufacture, distribution, dispensing, use or possession of
any controlled substance;
"Employee" means the employee of a grantee directly engaged in the
performance of work under a grant, including: (I) All "direct charge"
employees; (ii) all "indirect charge" employees, unless their impact or
involvement is insignificant to the performance of the grant; and (iii)
temporary personnel and con~;ultants who are directly engaged in the
performance of work under the grant and who are on the grantee's payroll.
This definition does not include workers not on the payroll of the grantee
EXHIBIT F
ASSURANCES
ASSURANCES. CONTRACTOR hereby assr.ires and certifies that it will comply with all
regulations, policies, guidelines and requirements applicable to the acceptance and use of
Federal funds for this Federally-assisted progr,sm and will be responsible for implementing
and complying with all relevant future changes to Federal Regulations or OMB Circulars.
Specifically CONTRACTOR gives assurances and certifies with respect to the PROGRAM
that it is in compliance with the following Regulations as defined by 24 CFR Part 570,
Subpart J; 24 CFR Part 570, Subpart K; and will be conducted and administered in
conformity with "Public Law 88-352 and Public L.aw 90-284.
1. 570.601 Public Law 88-352 and Public Law 90-284; affirmatively furthering fair
housing; Executive order 11063, as amended by Executive Order 12259 addresses
discrimination. HUD regulations implementing Executive Order 11063 are contained
in 24 CFR, Part 107.
2. 570.602 Section 109 of the Act addresses discrimination.
3. 570.603 Labor Standards.
4. 570.604 Environmental Standards.
5. 570.605 National Flood Insurance Progr~~m.
6. 570.606 Relocation, Displacement and Acquisition.
7. 570.607 Employment and Contracting Ot~portunities.
8. 570.608 Lead-Based Paint.
9. 570.609 Use of Debarred, Suspended, or Ineligible Contractors or Subrecipients.
10. 570.610 Uniform Administrative Requirernents and Cost Principles. The COUNTY, its
subrecipients, agencies or instrumentalities, shall comply with the policies, guidelines,
and requirements of 24 CFR, Part 8:5(Common Rule), and A-110 (Grants and
Agreements with Non-Profit Organizations), A-122 (Cost Principles for Non-Profits),
A-128 (Audits of State and Local Governments-implemented at 24 CFR Part 24) and
A-133 (Audits of Institutions of Higher Education and Other Non-Profit Institutions), as
applicable, as they relate to the acceptance and use of Federal funds under this part.
The applicable sections of 24 CFR Part 85 and OMB Circular A-100 are set forth at
570.502.
11. 570.611 Conflict of Interest
12. 570.612 Executive Order 12372 allows States to establish its own process for review
and comment on proposed Federal finan~~ial assistance programs, specifically the use
of CDBG funds for the construction or pls~nning of water or sewer facilities.
1
EXHIBIT G
BASIC INSURANCE AND BOND REQUIREMENTS FOR
COUNTY/NON-PROFIT CONTRACTS
Definition of Contractor: The "Contractor" as the word is used herein is the party
contracting with the County of Santa Clara far the direct distribution of CDBG funds. If
your organization will be contracting for construction work (such as general contractors
building rental apartments) to undertake a Program (as defined in this Non-
Profit/County Contract) then the requirement:; set forth herein shall be complied with by
the party contracted with for construction work protecting both the non-profit and the
County.
Indemnity
The Contractor shall indemnify, defend, and hold harmless the County of Santa Clara
(hereinafter "County"), its officers, agents anc~ employees from any loss, liability, claim,
injury or damage arising out of, or in connection with performance of this Contract by
Contractor and/or its agents, employees or subcontractors, excepting only loss, injury or
damage caused solely by the acts or omissic-ns of personnel employed by the County.
It is the intent of the parties to this Contract 1:o provide the broadest possible coverage
for the County. The Contractor shall reimburse the County for all costs, attorneys' fees,
expenses and liabilities incurred with respect to any litigation in which the Contractor is
obligated to indemnify, defend and hold harmless the County under this Contract.
Insurance
Without limiting the Contractor's indemnific~ition of the County, the Contractor shall
provide and maintain at its own expense, during the term of this Contract, or as may be
further required herein, the following insurance coverages and provisions:
A. Evidence of Coverage
Prior to commencement of this Contract, the Contractor shall provide on the County's
own form or a form approved by the County'; Insurance Manager an original plus one
copy of a Certificate of Insurance certifying tf~at coverage as required herein has been
obtained and remains in force for the period required by this Contract. The contract
number and project name must be stated on the Certificate of Insurance. The
County's Special Endorsement form shall accompany the certificate. Individual
endorsements executed by the insurance carrier may be substituted for the County's
Special Endorsement form if they provide 1:he coverage as required. In addition, a
certified copy of the policy or policies shall be provided by the Contractor upon request.
This verification of coverage shall be sent to the address as shown on the County's
Certificate of Insurance form and to the Housing and Community Development Program
at the address set forth in this Contract at :section VI. PROGRAM COORDINATION,
Paragraph C., NOTICES. The Contractor shell not issue a Notice to Proceed with the
work under this Contract until it has obtained all insurance required and such insurance
EXHIBIT G -NON-PROFITS 1 REVISED 6/8/95
has been approved by the County. This approval of insurance shall neither relieve nor
decrease the liability of the Contractor.
B. Notice of Cancellation of Reduction of Coverage
All policies shall contain a special provision for thirty (30) days prior written notice of any
cancellation or reduction in coverage to be sent to the Clerk of the Board of
Supervisors, 70 W. Redding Street, San Jose, CA 95110, and to the Housing and
Community Development Program at 1735 North First Street, Suite 265, San Jose, CA
95112.
C. Qualifying Insurers
All policies shall be issued by companies which hold a current policy holder's alphabetic
and financial size category rating of not less than A VIII, according to the current Best's
Key Rating Guide, unless otherwise approved by the County's Insurance Manager.
D. Insurance Required
1. Comprehensive General Liability Insurance -for bodily injury (including death)
and property damage which provides limits of not less than one million dollars
($1,000,000) combined single limit (CSL) per occurrence.
OR
2. Commercial General Liability Insurance -for bodily injury (including death) and
property damage which provides limits as follows:
a. General limit per occurrence - $1,000,000
b. General limit aggregate - $2,000,000
c. Products/Completed Operations- $1,000,000 aggregate
d. Personal Injury limit - $1,000,000
If coverage is provided under a Commercial General Liability Insurance form, the
carrier shall provide the County Insurance Manager with a quarterly report of the
amount of aggregate limits expended to that date. If over 50% of the aggregate
limits have been paid or reserved, the County may require additional coverage to
be purchased by the Contractor to restore the required limits.
3. For either type of insurance, coverage shall include:
a. Premises and Operations
EXHIBIT G -NON-PROFITS 2 REVISED 6/895
b. Products/Completed Operations with limits of one million dollars
($1,000,000) per occurrence/ aclgregate to be maintained for two (2) years
following acceptance of the work by the County.
c. Contractual Liability expressly including liability assumed under this
Contract.
d. Personal Injury liability.
e. Independent Contractors' (ProtE~ctive) liability.
f. Severability of Interest clause providing that the coverage applies
separately to each insured except with respect to the limits of liability.
4. For either type of insurance, coverage shall include the following endorsements,
copies of which shall be provided to th~~ County:
a. Additional Insured Endorsement::
Such insurance as is afforded by this policy shall also apply to the County
of Santa Clara, and members ot~ the Board of Supervisors of the County of
Santa Clara, and the officers, agents and employees of the County of
Santa Clara, individually and colllectively, as additional insureds.
b. Primary Insurance Endorsement:
Such insurance as is afforded by the additional insured endorsement shall
apply as primary insurance, ;end other insurance maintained by the
County of Santa Clara, its officers, agents, and employees shall be
excess only and not contributing with insurance provided under this policy.
c. Notice of Cancellation or Change of Coverage Endorsement:
This policy may not be cancelled nor the coverage reduced by the
Company without 30 days prier written notice of such cancellation or
reduction in coverage to the County of Santa Clara at the address shown
on the Certificate of Insurance.
d. Contractual Liability Endorsement:
This policy shall apply to liability assumed by the insured under written
contract with the County of Santa Clara.
e. Personal Injury Endorsement:
EXHIBIT G -NON-PROFITS 3 REVISED 6/8/95
The provisions of this policy shall provide Personal Injury coverage.
f. Severability of Interest Endorsement:
The insurance afforded by this policy shall apply separately to each
insured who is seeking coverage or against whom a claim is made or a
suit is brought, except with respect to the Company's limit of liability.
5. Comprehensive Automobile Liability Insurance for bodily injury (including death)
and property damage which provides total limits of not less than one million
dollars ($1,000,000) combined single limit per occurrence applicable to all
owned, non-owned and hired vehicles.
6. Worker's Compensation and Employer's Liability Insurance for:
a. Statutory California Workers' Compensation coverage including a broad
form all-states endorsement.
b. Employer's Liability coverage for not less than one million dollars
($1,000,000) per occurrence for all employees engaged in services or
operations under this Contract.
c. Inclusion of the County and its governing board(s), officers,
representatives, agents, and employees as additional insureds, or a
waiver of subrogation.
7. Professional Errors and Omissions Liability Insurance
This type of insurance should be provided by persons/entities you contract with
to provide you with professional services.
a. Limits of not less than one million dollars ($1,000,000).
b. If this policy contains a self retention limit, it shall not be greater than ten
thousand dollars ($10,000) per occurrence/event.
c. This coverage shall be maintained for a minimum of two (2) years
following termination of this Contract.
Any exceptions to the above requirements must first be approved by the County.
8. Bond Requirements
EXHIBIT G -NON-PROFITS 4 REVISED 6/8/95
Fidelity Bond -Before receiving compensation under this Contract, Contractor
will furnish County with evidence thhat all officials, employees, and agents
handling or having access to funds re~~eived or disbursed under this Contract, or
authorized to sign or countersign checks, are covered by a BLANKET FIDELITY
BOND in an amount of AT LEAST fifteen percent (15%) of the maximum
financial obligation of the County ci1red herein. If such bond is cancelled or
reduced, Contractor will notify County immediately, and County may withhold
further payment to Contractor until pn~per coverage has been obtained. Failure
to give such notice may be cause for termination of this Contract, at the option of
the County.
9. Special Provisions
The following provisions shall apply to this Contract:
a. The foregoing requirements ors to the types and limits of insurance
coverage to be maintained by the Contractor and any approval of said
insurance by the County or its insurance consultant(s) are not intended to
and shall not in any manner limit or qualify the liabilities and obligations
otherwise assumed by the Contractor pursuant to this Contract,
including but not limited to the ~~rovisions concerning indemnification.
b. The County acknowledges that some insurance requirements contained in
this Contract may be fulfilled by self-insurance on the part of the
Contractor. However, this shall not in any way limit liabilities assumed by
the Contractor under this Contract. Any self-insurance shall be approved
in writing by the County.
c. The County reserves the right to withhold payments to the Contractor in
the event of material noncompliance with the insurance requirements
outlined above.
d. If the Contractor fails to maint~~in such insurance as is called for herein,
the County must order the Contractor to immediately suspend work at
Contractor's expense until a ne~N policy of insurance is in effect.
EXHIBIT G -NON-PROFITS 5 REVISED 6/8/95
ADDENDUM TO EXHIBIT "G"
BASIC INSURANCE AND BOND REQUIREMENTS
FOR CONSTRUCTION PROJECTS USING COUNTY FUNDS
If your organization will be contracting for construction work (such as general
contractors building rental apartments) to undertake a Program (as defined in this Non-
Profit/County Contract) then the requirements set forth in this Addendum to Exhibit "G"
shall be complied with by the party contracted with for construction work protecting both
the non-profit and the County.
Indemnity
The General Contractor (hereinafter referred to as "General") shall indemnify, defend,
and hold harmless the County of Santa Clara (hereinafter "County"), its officers, agents
and employees, and the Contractor, it's officers, agents and employees from any loss,
liability, claim, injury or damage arising out of, or in connection with performance of this
Contract by General and/or its agents, employees or subcontractors, excepting only
loss, injury or damage caused solely by the acts or omissions of personnel employed by
the County or the Contractor. It is the intent of the parties to this Contract to provide the
broadest possible coverage for the County and the Contractor. The General shall
reimburse the County and the Contractor for all costs, attorneys' fees, expenses and
liabilities incurred with respect to any litigation in which the General is obligated to
indemnify, defend and hold harmless the County and the Contractor under this
Contract.
Insurance
Without limiting the General's indemnification of the County and the Contractor, the
General shall provide and maintain at its own expense, during the term of this Contract,
or as may be further required herein, the following insurance coverages and provisions:
A. Evidence of Coverage
Prior to commencement of this Contract, the General shall provide an original plus one
copy of a Certificate of Insurance certifying that coverage as required herein has been
obtained and remains in force for the period required by this Contract. The contract
number and project name must be stated on the Certificate of Insurance. Individual
endorsements executed by the insurance carrier shall accompany the Certificate.
This verification of coverage shall be sent to the Contractor at the address stated below
and to the Housing and Community Development Program at 1735 North First Street,
Suite 265, San Jose, CA 95112. The Contractor shall not issue a Notice to Proceed
with the work under this Contract until it has obtained all insurance required and such
insurance has been approved by the Contractor and final approval by the County. This
approval of insurance shall neither relieve nor decrease the liability of the Contractor.
EXHIBIT G -NON-PROFITS 6 REVISED 6/8/95
B. Notice of Cancellation or Reduction of Coverage
All policies shall contain a special provision for thirty (30) days prior written notice of any
cancellation or reduction in coverage to tie sent to the Housing and Community
Development Program as stated above, and the Contractor at the following address:
Charities Housing Development Corporation
Contractor's Name
195 E. San Fernando
Street Address
San Jose, CA 95112.
City, Sta~:e, Zip
C. Qualifying Insurers
1. All policies shall be issued by comp~~nies which hold a current policy holder's
alphabetic and financial size category rating of not less than A VIII, according to
the current Best's Key Rating Guide, unless otherwise approved by the County.
2. Surety coverage (including bid, penFOrmance and payment bonds) shall be
required as follows:
a. For projects in excess of $100,C100:
1. Either a California Admitted Surety OR a current Treasury Listed
Surety (Federal Register); and either a current A.M. Best A IV rated
Surety OR a current Standard and Poors (S&P) rating of A;
2. An admitted surety insurer which complies with the provisions of
the Code of Civil Procedure, Section 995.660*;
O F;
3. In lieu of 1 & 2, a company of equal financial size and stability that
is approved by the Couni:y's Insurance/Risk Manager.
b. For projects between $25,000 and not exceeding $100,000:
1. A California Admitted Surety and either a current A.M. Best B rated
Surety OR a current Standard and Poors (S&P) rating of B B;
OR
2. An admitted surety insurer which complies with the provisions of
the Code of Civil Procedure, Section 995.660';
California Code of Civil Procedure Section 995.660 in summary, states that an admitted surety must provide: 1) the
original, or a certified copy of instrument authorizing the person who executed the bond to do so; 2) a certified copy
of the Certificate of Authority issued by the Insurance Cornmissioner; 3) a certificate from County Clerk of Santa
Clara County that Certificate of Authority has not been surrendered, revoked, canceled, annulled or suspended; 4) a
EXHIBIT G -NON-PROFITS 7 REVISED 6/8/95
OR
3. In lieu of 1 & 2, a company of equal financial size and stability that
is approved by the County's Insurance/Risk Manager.
D. Insurance Required
1. Comprehensive General Liability Insurance -for bodily injury (including death)
and property damage which provides limits of not less than one million dollars
($1,000,000) combined single limit (CSL) per occurrence.
OR
2. Commercial General Liability Insurance -for bodily injury (including death) and
property damage which provides limits as follows:
a. General limit per occurrence - $1,000,000
b. General limit aggregate - $2,000,000
c. Products/Completed Operations- $1,000,000 aggregate
d. Personal Injury limit - $1,000,000
If coverage is provided under a Commercial General Liability Insurance form, the
carrier shall provide the County Insurance Manager with a quarterly report of the
amount of aggregate limits expended to that date. If over 50% of the aggregate
limits have been paid or reserved, the County may require additional coverage to
be purchased by the General to restore the required limits.
3. For either type of insurance, coverage shall include:
a. Premises and Operations
b. Products/Completed Operations with limits of one million dollars
($1,000,000) per occurrence/aggregate to be maintained for two (2) years
following acceptance of the work by the County.
c. Contractual Liability expressly including liability assumed under this
Contract.
d. Personal Injury liability.
e. Independent Contractors' (Protective) liability
financial statement showing the assets and liabilities of the insurer at the end of the quarter calendar year, prior to 30
days next preceding the date of the execution of the bond.
EXHIBIT G -NON-PROFITS $ REVISED 6/85
f. Severability of Interest clause providing that the coverage applies
separately to each insured excE~pt with respect to the limits of liability.
4. For either type of insurance, coveragE~ shall include the following endorsements,
copies of which shall be provided to the County and the Contractor:
a. Additional Insured Endorsement:
Insurance afforded by this policy shall also apply to the County of Santa
Clara and Contractor as additional insureds.
b. Primary Insurance Endorsement:
Insurance afforded by the additional insured endorsement shall apply as
primary insurance, and other insurance maintained by the County of
Santa Clara and the Contractor shall be excess only and not contributing
with insurance provided under this policy.
c. Notice of Cancellation or Change of Coverage Endorsement:
This policy may not be canceled nor the coverage reduced by the
Company without 30 days prior written notice of such cancellation or
reduction in coverage to thE; County of Santa Clara Housing and
Community Development Program, and the Contractor at the addresses
set forth on page 10 of this Addendum.
d. Severability of Interest Endorsement:
The insurance afforded by this policy shall apply separately to each
insured who is seeking coverage or against whom a claim is made or a
suit is brought, except with res~~ect to the Company's limit of liability.
5. Comprehensive Automobile Liability Insurance for bodily injury (including death)
and property damage which provides total limits of not less than one million
dollars ($1,000,000) combined single limit per occurrence applicable to all
owned, non-owned and hired vehicles.
6. Worker's Compensation and Employeir's Liability Insurance for:
a. Statutory California Workers' Compensation coverage including a broad
form all-states endorsement.
EXHIBIT G -NON-PROFITS 9 REVISED 6/8/95
b. Employer's Liability coverage
($1,000,000) per occurrence fo
operations under this Contract.
for not less than one million dollars
r all employees engaged in services or
7. Work and Materials Insurance (including but not limited to Builder's Risk, Course
of Construction, Installation Floater or similar first party property insurance for
covering the interest of the Contractor and the County) shall be provided by the
Contractor.
The Contractor's coverage shall provide the following:
a. Coverage shall be provided on an "all-risk" basis.
b. Coverage shall be provided on the work and materials which are the
subject of this Contract, whether in process or manufacture or finished,
including "in transit" coverage to the final agreed upon destination of
delivery, and including loading and unloading operations, and such
coverage shall be in force until the work and materials are accepted by
the County.
c. County and non-profit shall be named as additional insured as its
interests may appear at the time of loss.
d. Coverage shall be in an amount no less than the full replacement value of
the property at the time of loss.
e. The deductible shall not exceed $1,000 per occurrence unless otherwise
approved by the County and shall be borne by the Contractor.
f. If the construction contractor fails to maintain such insurance as is called
for herein, the County shall have cause to terminate this Contract in
accordance with Section V, paragraph B.
8. Bond Requirements
The following bond requirements apply:
a. Contract Bonds -Prior to execution of the Contract, Contractor shall file
with the County on the approved forms, the two surety bonds in the
amounts and for the purposes noted below, duly executed by a reputable
surety company satisfactory to County, and Contractor shall pay all
premiums and costs thereof and incidental thereto. Both Contractor and
the sureties shall sign each bond.
EXHIBIT G -NON-PROFITS ~ ~ REVISED 6/8/95
b. The "payment bond for public works" shall be in an amount of one
hundred percent (100%) of thE; Contract price, as determined from the
prices in the bid form, and shall insure to the benefit of persons
performing labor or furnishing materials in connection with the work of the
proposed Contract. This bond shall be maintained in full force and effect
until all work under the Contract is completed and accepted by the
County, and until all claims for raterials and labor have been paid.
c. The "performance bond" shall be in an amount of one hundred percent
(100%) of the Contract price as determined from the prices in the bid
form. and shall insure the faithful performance by Contractor of all work
under the Contract. It shall ~~Iso insure the replacing of, or making
acceptable, any defective materials or faulty workmanship.
Should any surety or sureties bE~ deemed unsatisfactory at any time by the
County notice will be given Contractor to that effect, and Contractor shall
forthwith substitute a new suret~~ or sureties satisfactory to the County. No
further payment shall be deemE;d due or will be made under the Contract
until the new sureties qualify arn~ are accepted by the County.
All alterations, time extensions, extra and additional work, and other
changes authorized by the Specifications, or any part of the Contract, may
be made without securing consE~nt of the surety or sureties on the contract
bonds.
9. Special Provisions
The following provisions shall apply to this Contract:
a. The foregoing requirements pis to the types and limits of insurance
coverage to be maintained b~~ the General and any approval of said
insurance by the County or they Contractor are not intended to and shall
not in any manner limit or qualify the liabilities and obligations otherwise
assumed by the General pur;>uant to this Contract, including but not
limited to the provisions concerning indemnification.
b. The Contractor reserves the right to withhold payments to the General in
the event of material noncompliance with the insurance requirements
outlined above.
c. The Contractor shall notify the County Housing and Community
Development Program promptly of all losses or claims over $25,000
resulting from work perfoirmed under this contract, or any
products/completed operation:; loss or claim against the contractor
resulting from any of the contrac;tor's work.
EXHIBIT G -NON-PROFITS 11 REVISED 6/8/95