Transcript CDBG & HOPWA Manager’s Workshop
Program
Welcome and Overview Introductions Handouts
◦ ◦ ◦ ◦ ◦ ◦ Each Subrecipient will be assigned a Grant Project Coordinator (GPC) to act as their point of contact for their CDBG/HOPWA Award HOPWA – Sam CDBG Public Service – Ron/Mike CDBG Improvements – Chris/Sam CDBG Housing – Jameela CDBG Economic Development – Ron/Mike CDBG CNOG - Ron/Mike We have several open positions, GPCs may change.
Resources – ◦ Regulations: CDBG: http://www.ecfr.gov/cgi-bin/text idx?c=ecfr&rgn=div5&view=text&node=24:3.1.1.3.4&i dno=24 HOPWA: dno=24 http://www.ecfr.gov/cgi-bin/text idx?c=ecfr&rgn=div5&view=text&node=24:3.1.1.3.7&i
◦ Resources – Hud Technical Assistance https://www.onecpd.info/
◦ Resources – City of Providence Website http://www.providenceri.com/planning/community -development
Funding Sources: ◦ Community Development Block Grant: $5,272,711.91
◦ Housing for Persons with Aids: $831,644
Funding Sources: ◦ Community Development Block Grant: $5,272,711.91
◦ Housing for Persons with Aids: $831,644
Public Services (Youth Programs, Basic Needs, Community Centers, etc) 25% Affordable Housing 13% CDBG Grants by Activity Type Improvements (Parks, Sidewalks, Building Improvements, etc) 34% Consolidated Neighborhood Opportunity Grants 28%
Housing 10% Consolidated Neighborhood Opportunity Grants by Category Economic Development 11% Improvements 53% Public Services 26%
Eligible Populations under CDBG & HOPWA 50% of AMI -> 80% of AMI -> http://www.huduser.org/portal/datasets/il/il13/index.html
◦ Income Limits for CDBG are updated Annually, Subrecipients are responsible for ensuring they use the current income limit! Limits can be found online at: http://www.huduser.org/portal/datasets/il/il13/in dex.html
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Contracts will be signed ONLY when the office has received & reviewed: ◦ Updated Scope of Work ◦ Updated Budget ◦ Procurement Plan ◦ Permits and Licenses (Where applicable) ◦ Section 504 Handicap Accessibility Questionnaire ◦ Audited Financial Statements ◦ Copy of Applicable Insurance Documents
AND
◦ ◦ ◦ ◦ Contracts will be signed ONLY when the Subrecipient has attended: Annual Program Workshop Annual Fiscal Workshop One on One Contracting Session, & Any other trainings throughout the year.
AND
◦ ◦ Contracts will be signed ONLY when the City has conducted: An Environmental Review (for all projects, including Public Service) An onsite inspection (for Construction, Acquisition, & Improvement Projects ONLY) Failure to comply with any of the these requirements may result in forfeiture of Funding provided to Subrecipient.
Contracts bind the City and the Subrecipient for CDBG or HOPWA funds. Contracts can ONLY be revised upon written authorization from the City.
Compliance with the Program Manual is a requirement of the Contract.
Subrecipients shall NOT expend any funds under the contract, prior to the contract signing or after the contract end date.
Expenditures must be in conformance with the APPROVED budget and meet reasonableness standards, etc.
Any costs under CDBG/HOPWA must be in direct support of the funded activity.
Ellen Cynar, MS, MPH Healthy Communities Office November 2013
“The City of Providence has made a commitment to improve health outcomes for city residents and is implementing a broad array of strategies to address issues such as nutrition, food insecurity, access to quality food, addiction, and more.” Source: Community Development Program Funding Application Handbook
“Community Development-funded programs should be aligned with the goals of the Healthy Communities Initiative when relevant and practicable.” 1.
2.
a) Organizations administering food or nutrition programs should: b) Align their food service programs with 2010 Dietary Guidelines for Americans (DGA).
Display at least one USDA “My Plate” poster at every location where food is served.
Food programs should not offer sugar-sweetened beverages.
Source: Community Development Program Funding Application Handbook
“Community Development-funded programs should be aligned with the goals of the Healthy Communities Initiative when relevant and practicable.” 1.
2.
a) Organizations administering food or nutrition programs should: b) Align their food service programs with 2010 Dietary Guidelines for Americans (DGA).
Display at least one USDA “My Plate” location where food is served.
poster at every Food programs should not offer sugar-sweetened beverages .
Source: Community Development Program Funding Application Handbook
Food service connected to programs funded by grant ◦ ◦ ◦ Includes food served: At program events At program meetings As part of program’s breakfast, lunch, dinner, and/or snacks
Provide science-based advice for food choices ◦ ◦ ◦ ◦ ◦ ◦ ◦ Overarching guidelines: Make half your plate fruits and vegetables Switch to skim or 1% milk Make at least half your grains whole Vary your protein food choices Choose foods and drinks with little or no added sugars Look out for salt (sodium) in processed foods Eat fewer foods that are high in solid fats Source: USDA, HHS, http://www.choosemyplate.gov/food groups/downloads/MyPlate/DG2010Brochure.pdf
A drink with sugar added ◦ Sugar examples: Sugar, brown sugar, corn sweetener, corn syrup, sucrose, fructose, glucose, high-fructose corn syrup ◦ SSB examples: Non-diet sodas, sweetened teas, sports and energy drinks, sweetened waters and juices, and blended coffee drinks ◦ Replacements: water, seltzer water, skim/1% milk Source: NYC Department of Health, http://www.nyc.gov/html/doh/downloads/pdf/cdp/cdp-pop-the fact.pdf
Example policy guidelines: Have water available throughout the event Provide fruits and vegetables as snacks Whenever possible, offer foods in single serving portions Source: RI Department of Health, http://www.health.ri.gov/publications/policies/HealthyEatingAtEvents.p
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Ellen Cynar Healthy Communities Office 401-421-7740 x733 [email protected]
◦ ◦ ◦ ◦ ◦ ◦ Wide variety possible Housing & other real property activities Economic development Pubic facilities Public services CBDO activities Planning and administration Others ◦ Reg cites §570.201 - §570.206, §570.482
Statutory cites at Section 105 See other web modules for more details on eligible activities
Regs expressly prohibit: ◦ ◦ ◦ ◦ ◦ ◦ Buildings for conduct of government & general government expenses Political activities New housing construction (some exceptions) Income payments Purchase of equipment Operating and maintenance expenses Some exceptions for ED and CBDO activities, interim assistance
Reg cite §570.208, 570.480
All CDBG activities must: ◦ Benefit low/mod income persons ◦ Prevent or eliminate slums and blight OR ◦ Meet an urgent need
NATIONAL OBJECTIVES
LOW/MOD
Area Benefit Limited Clientele Housing Jobs
SLUM/BLIGHT
Area Basis Spot Basis Urban Renewal
URGENT NEED !
Activities that benefit all residents of area ◦ 51% LMI persons Area must be
primarily
residential Must determine service area of activity Typical activities: water/sewer, parks, community centers
Documentation Needed for Area Benefit Service area MUST be determined before CDBG assistance can be provide. This can be done through a map.
Document the Census Track and Block Group that your agency serves.
Include any clients that may live outside your service area but utilize the agency's services This information is available at http://gis.providenceplanning.org/PVD_2010CensusViewer/
51% of participants are LMI persons Participation limited to LMI persons only Nature and location indicate low/mod benefit Typical activities: job training, senior services, facilities for persons with special needs
◦ Activities that benefit specific populations who reside in Providence Presumed clientele Abused Children Battered Spouses Elderly persons Severely disabled Homeless persons Illiterate adults Person living with AIDS
Area must meet definition of slum/blighted area under state/local law AND Meet either A) or B) below: A) At least 25% of properties throughout the area experience 1 or more of the following conditions: Physical deterioration of buildings or improvements Abandonment of properties; Chronic high occupancy turnover rates or chronic high vacancy rates in commercial/industrial buildings; Significant declines in property values or abnormally low property values relative to other areas in community; or Known or suspected environmental contamination.
B) The public improvements in the area are in a general state of deterioration Typical activities: code enforcement, infrastructure, commercial rehabilitation
Activities that address specific conditions of blight, physical decay or environmental contamination not in slum/blight area Activities limited: acquisition, clearance, relocation, historic preservation, remediation of environmentally contaminated properties, or building rehab ◦ ◦ Acquisition & relocation must be precursor to another eligible activity that addresses slum/blighted conditions Rehab limited to elimination of conditions detrimental to public health & safety
◦ ◦ To meet the urgent need test: Existing conditions pose serious & immediate threat to health/welfare of community Existing conditions are recent or recently became urgent ◦ ◦ Generally 18 months Recipient cannot finance on its own Other funding sources not available Typical activities: infrastructure, interim assistance, rehab of community facilities
Scope of Work describes the task to be undertaken with CDBG/Hopwa Funds ◦ Most be detailed ◦ Updates staff to any changes since application We will review proposed scopes of work with Subrecipients one on one in the contracting sessions.
Completing the Form: ◦ ◦ Provide an updated Summary Describe outcome measurements
PROGRAM/SERVICE # SERVED # OR % DESCRIPTION OF PROJECTED OUTCOME/RESULT
• • Outcomes = resulting benefits of service Not participant/enrollment numbers, hours of service provided, number of times a service delivered.
PROGRAM/ SERVICE
Senior Nutrition Program Pregnant Teen Education Citizenship Class
# SERVED
50 100
# OR %
60% 80% 90%
DESCRIPTION OF PROJECTED OUTCOMES
Will demonstrate improved health outcomes by achieving at least one of the following: lowered blood pressure; achieving target weight; demonstrating improved nutrition knowledge/skills through post test Newborns will achieve healthy birth weight Fathers will attend & assist with birth of child 80 Financial Empowerment 50 60 50 30 40 50 Will enroll and take US Citizenship Test Will achieve passing score on Test Will open and regularly maintain an appropriate checking account Will reduce or eliminate use of predatory financial services (e.g. check cashing) Will complete a Savings Plan
◦ ◦ ◦ Completing the Form: Detail Project Timeline List Project Staffing List Current Board Members Public Service Activities must be complete by 6/30/14.
All other activities must be complete by 12/31/14.
Extensions may be granted on a case by case basis, but are discouraged. Subrecipient timeliness and compliance will be taken into account when reviewing extensions.
Any grant funds not spent by the contract end date will be forfeited.
Completing the Form: ◦ ◦ ◦ Agencies must select a National Objective Documentation must be provided to illustrate that the objective is met IF the national objective is not met, FUNDS MUST BE RETURNED
◦ National Objective Area Benefit and Limited Clientele are mutually exclusive! Don’t select both.
◦ If activity serves an entire area which qualifies as LMI, it’s Area Benefit (example: neighborhood parks, sidewalks) ◦ If activity serves a limited number of people or target population, it’s limited clientele (example: boys/girls club, food pantry, senior center)
Homeless Shelter =
Homeless Shelter = Limited Clientele (LMC)
Park Improvements=
Park Improvements = Area Benefit
Afterschool Program =
Afterschool Program = Limited Clientele
Community Center =
Community Center = Area Benefit
Demonstrating Area Benefit Must outline boundaries for service Contact your Grant Project Coordinator for Assistance
Demonstrating Limited Clientele requires keeping documentation of: ◦ ◦ Household Income Household Size Income is calculated based on the Section 8 process.
◦ ◦ Documentation can be: Self Certification (Client signs paperwork) 3 rd Party Verification (Paystubs, benefit letters)
Every Activity must submit a clear and concise project budget showing sources and uses.
Any modifications between budget categories must be approved by the City.
No costs which may be considered as entertainment in nature will be reimbursed with CDBG funds
Budget Categories Include: ◦ Non-Administrative Personnel Costs ◦ Non-Administrative Office Costs ◦ General Program Delivery Costs ◦ Capital Assets/Equipment/Computers ◦ Construction Costs
Budget Categories Include: ◦ Non-Administrative Personnel Costs Staffing Associated with Direct Service Not Administrators ◦ Non-Administrative Office Costs Associated with Activity/Direct Service Cannot pay MORTGAGE Must be reasonable (need cost allocation plan, if splitting between multiple funding sources)
Budget Categories Include: ◦ General Program Delivery Costs Supplies less than $500 Direct Services to Client (Bus tickets, books, etc) Travel Insurance Food/Snacks - Eligible only for clients, and must be an integral part of the program such as after school snacks for children or lunch for pre-school.
Budget Categories Include: ◦ Capital Assets/Equipment/Computers Supplies more than $500 or Item with useful life beyond 1 year.
Examples include: Industrial Kitchen Equipment Computers Playground Equipment
Budget Categories Include: ◦ Improvement/Acquisition Costs Expenses association with rehabilitation and/or acquisition of a facility or property.
Would only include Contracted Services Professional and technical services not performed by staff.
Examples include: Purchase of Land Contractor Expenses associated with renovating a building NO NEW CONSTRUCTION (Unless CBDO)
New Budget Forms, Require Greater Detail Break out Fringe Must keep track of actual time charged to CDBG (not a %)
The following activities may not be assisted with CDBG funds: ◦ Administrative Activities ◦ Planning Activities (unless you receive written permission) ◦ Activities not performed in compliance with CDBG regulations ◦ Maintenance & Operation of a Building (Does not Apply to a Public Service Activity)
The following activities may not be assisted with CDBG funds: ◦ Buildings for the general conduct of government. This includes operating and maintenance expenses. Exceptions are operation and maintenance associated with public service activities, interim assistance, and CDBG program staff.
◦ ◦ ◦ ◦ General government expenses except to carry out the CDBG program.
Political or religious activities.
Construction equipment.
Fire protection equipment unless part of a public facility.
◦ The following activities may not be assisted with CDBG funds: Personal furnishing or property.
◦ Food not related to direct service delivery to clients.
◦ Furnishings that are not integral structural fixtures.
◦ New housing construction except for land acquisition and other specific circumstances.
◦ Income payments and other subsistence payments made to individuals or a family.
• Protect health and safety of our clients, • Avoid or mitigate any harm to the surrounding environment and project site.
• Avoid litigation that could stop project on the procedural or on environmental grounds • Avoid monitoring findings and/or loss of HUD financial assistance to your project • REQUIRED – by Federal Law & Regulation under the National Environmental Policy Act of 1969 (NEPA) and NEPA related laws 1
• The City of Providence will conduct the Environmental Review for Subrecipients • However, Subrecipients must understand the time restraints & limitations.
• Remember NO WORK can be done until an Environmental Review is completed.
• In most cases the City will not sign a CDBG/HOPWA contract until an Environmental Review has taken place. 1
Five levels of review: 24 CFR Part 58.34(a) ◦ Exempt 24 CFR Part 58.35 ◦ Categorically Excluded, but Subject to 24 CFR Part 58.5 ◦ Categorical Excluded, NOT subject to 24 CFR Part 58.5 ◦ Environmental Assessment 24 CFR Part 58.36
◦ Environmental Impact Statement 24 CFR Part 58.37
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Choice Limiting Action
• • Choice Limiting Action: • • Undertaking tasks (even with non CDBG/HOPWA funds) prior to an environmental review being completed.
No work can be done from Application Submission to Environmental Review §58.22: Limitations on activities pending clearance 79
Choice Limiting Action
• • HUD assistance may not be committed until environmental review completed and RROF approved Non-HUD funds cannot be committed if activity/project would have adverse environmental impact or limit choice of reasonable alternatives 80
Choice Limiting Actions, cont’d
• Cannot start project prior to completion of environmental review and release of funding Includes Property acquisition Leasing Demo Rehab Construction Site Improvements 81
Choice-limiting actions reduce or eliminate your opportunity to choose alternatives.
The subrecipient is responsible to let the City know of any changes made to a project. Be aware that if you change the scope of the project (location, size of lines, etc.) it can affect the level of review that is required for that project. 82
If federal funds are being used for any “part” of a project, environmental review must: ◦ Be done on the entire project and ◦ Will be held to the most stringent classification that the project includes.
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“A real or seeming incompatibility between a person’s private interests and his or her public or fiduciary duties.”
Two Types of Conflict of Interest: Procurement Non-Procurement 85
What Regulations and Rules apply for CDBG purposes?
24 CFR § 570.611 states:
No person who is an employee, agent, consultant, officer, or elected or appointed official of recipient or sub-recipient who:
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Exercises any functions or responsibilities w/ respect to CDBG activities, Is in a position to participate in the decision making process, Or gains inside information with regard to such activities may:
Obtain a financial interest or benefit from a CDBG activity.
Have a financial interest in any contract with respect to a CDBG activity or its proceeds.
For themselves or those they have business or immediate family ties.
ALERT
:
Reg applies during the person’s tenure and for one year thereafter.
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Procurement of: ◦ Supplies ◦ Equipment ◦ ◦ Construction Services
Key point – ALL other Conflicts of Interest are NON-PROCUREMENT
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HUD may grant an exception to Conflict of Interest on a case-by-case basis.
Recipient must request an exception in writing.
ALERT!
ALL Conflict of Interest documents MUST be included in any request for an exception!!!
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◦ ◦
Threshold Requirements:
Public disclosure of conflict.
Opinion of Recipient’s attorney that exception does not violate State or local law.
HUD legal counsel determines whether threshold requirements are met.
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Cindy Civic is a City Council member of the City of Providence: ◦ Cybil is also Vice-president of the Board of Directors of Friends for Life of South Providence(FFLSP). ◦ ◦ She does not receive a salary or any other compensation for serving on FFLSP’s Board.
FFLSP is a subrecipient of $25,000 in CDBG grant funds from the City.
Is there a conflict of interest?
A. No, as long as Cybil resigns from her position as VP of FFLSP’s Board. B. No, because Cybil has no financial interest in FFLSP.
C. Yes, because FFLSP received $25,00 in CDBG grants.
D. Yes, unless FFLSP gives the County back the $25,000 of CDBG funds.
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B. No, because Cybil has no financial interest in FFLSP.
* Cybil may continue to serve as a City Council member and also as VP of FFLSP’s Board.
* A conflict of interest would arise in this situation only if Cybil received a salary or other compensation for her FFLSP Board service. 24 CFR §570.611(b) 94
sought a contractor to complete some drainage ◦ The project will be funded with CDBG funds.
◦ ◦ which will oversee the project.
Jones Constructors, Inc. was the low bidder for the ◦ contract.
construction company are brothers-in-law.
•
This is a procurement of construction services covered by 24 CFR §85.36.
95 M
Can Bay County award the contract to Constructors?
B.
bid.
Yes, because they are not immediate family C. No, a conflict of interest exists because they are immediate family members.
D. No, as long as Eric does not physically handle the 96
C. No, a conflict of interest exists because they are immediate family members.
* Conflict of interest exists for an agent of the grantee to administer a contract supported by federal funds if a member of his “immediate family” has a financial interest in the company selected for the award.
* Accordingly, it would be a conflict of interest for Eric Smith and Associates to administer a construction contract funded with CDBG money, since Eric Smith’s brother-in-law is the President of Jones Constructors, Inc.
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Would it make a difference in the last example if Bay County were to pay Eric Smith and Associates its engineering fees for overseeing the project out of the County’s general revenue fund and not with CDBG money?
No .
The fact that Bay County is paying Eric Smith and Associates out of general revenues would not prevent the occurrence of a conflict of interest in the previous example.
Eric Smith and Associates, as an agent of Bay County, cannot administer a CDBG funded contract for the County in which his brother-in-law has a financial interest. 24 CFR § 85.36(b)(3).
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◦ The City of Longhorn, Texas, is seeking an exception from HUD for a conflict of interest under the CDBG regs.
In connection with the City’s request, the City Attorney rendered an opinion that there might be a violation of the Texas Non-profit Corporation Act if the conflict of interest was not disclosed to disinterested members of the non-profit subrecipient’s Board, or is not “fair” to the non-profit subrecipient.
Is there a problem here?
A. Yes, because the City Attorney’s opinion did not explicitly state the exception request would not violate State or local law. B.
Yes, because the State Attorney General should have sent the letter not the City Attorney.
C. No, because there is only a remote possibility the conflict would violate local or state law.
D. No, unless the conflict the City Attorney’s letter is sufficient to met the threshold requirements.
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A. Yes, because the City Attorney’s opinion did not explicitly state the exception request would not violate State or local law.
◦ HUD’s CDBG conflict of interest regs contain certain “threshold” requirements which must be satisfied.
One such requirement is that the recipient’s counsel must opine that the interest for which the exception is sought would not violate state or local law. 24 CFR § 570.611(d)(1)(ii) Accordingly, HUD must deny the requested exception pending receipt of an acceptable recipient’s attorney’s opinion. 10 2
Subrecipients are required to submit a quarterly report for all contracted activities Reports are due on the 15 th of each quarter Reports must be signed by Executive Director or Authorized personnel Incomplete reports will returned for corrections At project completion, a closeout report must be completed.
Reporting ◦ Applies to all CDBG/HOPWA funded activities ◦ Report all individual beneficiary data for LMC activities (including race, ethnicity, income, etc) Measurable goals and outcomes must be included in your quarterly report ◦ Only report on data items relevant to the specific activity performed
Data is reported in a timely fashion Be consistent with all of the data categories - Race/ethnicity - Income levels - Accomplishment narrative
Duplicative Data Inaccurate Data Missing accomplishments Failure to submit a complete report will result in denied requests for reimbursement.
Program Files should contain: ◦ Original executed copy of the agreement with the city ◦ ◦ Any amendments to the application and agreement Correspondence relating to the grant award ◦ Copies & Backup of Requests for Reimbursement ◦ Any other information pertinent to the CDBG Grant (URA, Insurance, etc) ◦ Documentation of Program measurable goals and expectations
Records must demonstrate compliance with HUD and city regulations.
Records shall be kept for 5 years after closeout of the CITY’S grant with HUD (typically assume 10 years from contract signing) GPCs will let Subrecipients know of specific grant close dates
Client Files should contain: ◦ An application for assistance, if applicable ◦ Client Income Documentation or Certification Form ◦ ◦ ◦ Documentation as to services provided to the client and any outcomes of service, for example, if a client is referred to another agency for services, a follow up contact is required to document the services the client received Copies of any program requirements Pre and post program evaluations, if applicable
◦ ◦ ◦ ◦ ◦ ◦ ◦ All Subrecipients must obtain and maintain at their local offices, the following information on each client served: Client name and address Gender Ethnicity/race Head of household status Income of all Household members Household Size Languages Spoken
◦ ◦ ◦ Exceptions to Income Documentation ONLY: Clients of a battered women's shelter.
Seniors 62 years of age and older.
Persons with recognized disabilities.
All other documentation is still required.
◦ Documentation of Income: Beneficiaries must demonstrate to the Subrecipient that they meet the income requirements through 3 rd party documentation whenever possible (paystubs, benefit letters, etc).
◦ When 3 rd party verification is not possible, a client may sign a certification indicating their income. A sample certification is included below:
◦ ◦ Documentation of Income: Remember to document Household size too! Have clients sign & certify: I/We certify that the information given on household composition and income is accurate and complete to the best of my/our knowledge and belief. I/We understand that false statements or information are punishable under Federal law.
◦ Documentation of Income: Have clients sign & certify: I/We also understand that false statements or information are grounds for termination of assistance. I/We hereby certify that my household size and income are as stated above. I/We consent to verification of this information by the service provider, the City Of Providence, or other governmental officials as required.
Monitoring is not a “one time” event, its ongoing throughout the entire lifespan of the funds.
Review occurs onsite and remotely.
Risk-based approach may be utilized when needed to determine which communities should be prioritized for monitoring.
Technical assistance may be requested prior to or in conjunction with monitoring effort
◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ Subrecipients may rate highly for risk if: Recent Changes in Staff (especially in leadership) Large CDBG Grant (over 50,000) Difficulty with Timeliness Audit Findings Complexity of Project (CNOGs) Time since last onsite monitoring visit Number of CDBG grants Comments from the Public/Clients/News Non-responsive to City Requests for Information Failure to submit Quarterly Reports
Onsite Monitoring Visit: ◦ Notification Call or Letter ◦ Entrance Conference ◦ Exit Conference ◦ Follow-up Letter Subrecipients usually have 30 days to respond to a monitoring letter (if findings or concerns are found).
Common Monitoring Issues: ◦ Services are not Documented ◦ Goals are not being met ◦ Eligibility of Clients is not Documented (income & household size) ◦ Program files are not in order ◦ Insufficient Backup for purchases (especially bids & quotes) Letter will corrective actions for findings identified.
Monitoring – ◦ Most Checklists are available online: ◦ http://www.hud.gov/offices/cpd/library/monitoring/ha ndbook.cfm#3 (UNDER CDBG) ◦ Common checklists include: National Objective Lists Procurement Financial Management
CDBG funds cannot be used to support proselytize persons.
CDBG assistance may not be used for inherently religious activities.
However, CDBG funds may be used to rehabilitate buildings owned by primarily religious entities if the entity agrees to provide all eligible activities under this program in a manner that is free from religious influences and to be used for a wholly secular purpose.
CDBG funds may not finance facilities or equipment for political purposes or engage in other partisan political activities.
If all parties and organizations have access to the facility on an equal basis and are assessed equal rent or use charges, then political activities may occur on an incidental basis.
Under the Hatch Act, any person employed by a Community Development program may not undertake certain political activities nor be a candidate for elected office unless candidacies are nonpartisan.
Subrecipient may not use appropriated Federal funds for lobbying the Executive or Legislative Branches of the Federal Government in connection with a specific contract, grant, or loan.
Subrecipients shall maintain current insurance for the full term of the CDBG project.
◦ Must be Primary Coverage ◦ Subcontractors must also be insured
◦ ◦ Subrecipients shall maintain current insurance for the full term of the CDBG project.
Includes: Workman’s Compensation Automobile Insurance (minimum amount of $500,000 combined single limit per occurrence for bodily injury and property damage) Comprehensive or Commercial General Liability Insurance (Coverage in the minimum amount of $1,000,000) Minimum Standards may be amended on a case by case basis. Talk to your GPC.
All required insurance shall be endorsed to contain: "The City Of Providence, its employees, officers, agents and volunteers are hereby added as additional insureds, but only as respects work done by, for, or on behalf of the named insured under Agreement with the City Of Providence."
Workman’s Comp and Employee Liability Insurance must include the following language: "Thirty (30) days prior written notice shall be given to the City Of Providence in the event of cancellation, reduction in coverage, or non-renewal of this policy for whatever reason."
Proof of Coverage A subrecipient shall provide its insurance broker(s) with a full copy of these insurance provisions and provide the City of Providence on or before the effective date of their CDBG Agreement with Certificate of Insurance for all required coverage. Copies of all the required Endorsements listed above shall be attached to the Certificate(s) of Insurance or other evidence of insurance acceptable to the City Of Providence, which shall be provided by Subrecipient’s insurance company as evidence of the stipulated coverage. This Proof of Coverage shall then be mailed to the City Of Providence at the following address: City Of Providence Division of Community Development 444 Westminister, Suite 3A Providence, RI 02903
• • CDBG Subrecipients are prohibited from discriminating on the basis of: ◦ ◦ ◦ ◦ ◦ Race Color Religion National origin Disability Status (Including prior Alcohol & Illegal Substance Addictions) ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ Familial status Ethnicity Gender Gender Identity Language(s) Spoken Literacy Sexual Orientation Veteran Status (i.e. no families in a homeless shelter for single women. Discuss with your GPC.
Discrimination is prohibited in delivery of services, program administration, and any enforcement mechanisms.
Subrecipients shall take all reasonable steps to minimize the displacement of persons as a result of CDBG activities.
◦ ◦ ◦ Some of the responsibilities of Subrecipients under URA include: Providing the owner or tenant with just compensation and reimbursing expenses associated with the relocation.
Providing relocation advisory services.
Providing a minimum 90 days written notice to vacate.
Subrecipients must ensure meaningful access to their programs and activities by persons who do not speak English as their primary language and who have limited ability to speak, read, write, or understand English.
If 25% or more of a CDBG Activity’s service clientele has limited English proficiency and speaks a non-English language, the CDBG Activity must provide key documents translated in that population’s language. If 50% or more of a CDBG Activity’s service clientele has limited English proficiency and speaks a non-English language, the CDBG Activity must make every attempt to provide assistance to a person in their designated language, either through translation services or by employing staff who speak the language.
If CDBG funds are provided for counseling, mental health services, medical services, and/or case management, these services MUST be provided in the client’s native language, regardless of the size of the population the provider serves.
If Subrecipients have questions or need technical assistance they are encouraged to contact their GPC.
Provisions of the Drug-Free Workplace Act of 1988 require that Subrecipients: ◦ Publish and give a policy statement to all covered employees informing them that the unlawful manufacture, distribution, dispensation, possession or use of a controlled substance is prohibited in the covered workplace.
◦ Establish a drug-free awareness program to make employees aware of a) the dangers of drug abuse in the workplace; b) c) d) the policy of maintaining a drug-free workplace; any available drug counseling, rehabilitation, and employee assistance programs; and the penalties that may be imposed upon employees for drug abuse violations.
Provisions of the Drug-Free Workplace Act of 1988 require that Subrecipients: ◦ Notify employees that as a condition of receiving CDBG funds, the employee must a) abide by the terms of the policy statement; and b) notify the employer, within five calendar days, if he or she is convicted of a criminal drug violation in the workplace.
◦ Notify the City within 10 days after receiving notice that a covered employee has been convicted of a criminal drug violation in the workplace.
Angel Taveras, Mayor City of Providence
Introduction
The city of Providence Ordinance #193, passed on May 9 th 1990, requires a minimum of 10% participation of minority owned enterprises (MBEs) and 10% of Woman-owned business enterprises (WBEs), in all city-funded and directed public construction program projects and municipal purchases of goods and services.
City of Providence Policy
To support and enhance the fullest possible participation of firms owned and controlled by Minority and Women Business Enterprises, it is in the best interest of the City of Providence to promote the equitable utilization of MWBEs in city contracts. For example prime contractors will utilize MWBEs to enable the city’s purchasing department to meet or exceed the goal set forth in the ordinance.
General Vision of Minority & Women Businesses Enterprises
The MWBEs stimulate the economic growth in the City of Providence, by the creating of more jobs within the urban community.
The City of Providence is home to far greater percentage of Minority & Women owned businesses than the rest of the State of Rhode Island.
However, Minorities own relatively few firms relative to their percent of labor force. (Table 1).
Vision Details of Minority & Women Owned Businesses
For example, Hispanics make up 36% of the Providence resident labor force and own 22% of the City of Providence businesses classified by ownership.
Blacks make up 15% of resident labor force and own 11% of classified businesses.
Half (50%) of the Providence resident labor force is female, while only 32% of classifiable businesses in the City of Providence are owned by women.
Businesses Owned by Minority & Women in the City of Providence
Factors that Contribute to the Lack of Participation
The believe of lack of transparency in the process.
Misperception of the inside deal.
Lack of knowledge of the bidding process.
State Certification.
Challenges
Lack of knowledge to put the bid together Bonding issue to operate Financial Security to sustain the city payment policy Lack knowledge in budgeting their own job Computer skills to appropriately navigate the system.
Minority & Women Owned Businesses
Certification Process
The State of Rhode Island office of Minority Business Enterprise holds the certification.
This process is important because it verifies that minority and women owned a majority of firms that meet the US. Small Business Administration definition for a MBE or WBE.
Give the opportunity to MWBE to participate in the RFP as a prime contractor or as a subcontractor.
Eligibility
A small business concern which is at least fifty-one percent (51%) owned and controlled by one or more socially and economically disadvantage individuals or in the case of a publicly owned business, at least fifty one (51%)of the stock of which is owned by one or more socially and economically disadvantaged individuals; and whose management and daily business operations are controlled by one or more such individuals.
How to apply for the State of Rhode Island Certification?
Firms seeking certification as MWBE or DBE must complete and submit the following certification documents.
Please note that the State requires that you provide five (5) separate and completed sets of the application form and all required supporting documentation.
Out of state firms must first seek certification from their home state Unified Certification Program (UPC) prior to seeking certification in the State of Rhode Island.
Please note the average processing time for a complete application is approximately eight(8) to ten (ten) weeks.
How to Register as a Vendor
Complete the State of Rhode Island Minority and Disadvantaged Business Enterprise (DBE Uniform Certification Application), “Amendment to DBE Uniform Certification Application”. The application can be downloaded at www.mbe.ri.gov
.
Complete Personal Financial Addendum to MBE/WBE/DBE Certification Affidavit (Statement of Personal Net Worth). Available at www.mbe.ri.gov
.
Complete DbE Affidavit of Certification (Complete DBE Affidavit of Certification).
W9 Form (W9 Form).
Forward the completed forms to.
Minority Business Enterprise Compliance Office RI Department of Administration One Capitol Hill – 2 nd Floor Providence, RI 02908 (401)574-8670 phone (401)574-8387 fax
Register with the City of Providence
Once you have been certified as an MBE/WBE/DBE by the State of Rhode Island, you must separately register with the City of Providence as an MBE/WBE Vendor.
Go to www.providenceri.com
, on the right side of the screen select the department of public property, scroll down under purchasing, select Vendor Information Center that will take you to Vendor Center and then hit online vendor registration.
Mr. Ernesto Figueroa MBE/WBE Compliance 25 Dorrance Street Providence, Rhode Island 02903 (401)421-7740. Ext. 663 [email protected]
Subrecipients must perform their own analysis of cost before executing contracts Subrecipients must certify in writing that costs are reasonable and indicate the basis for that determination Contractor bids are not sufficient by themselves
Subrecipients must document with pictures and text the scope of work that is needed, then carry out a cost analysis The City will inspect all projects to determine appropriate scope and reasonable costs Lead hazard risk assessments may also be required On Solid Ground 15 6
Subrecipients must, and the City may, inspect: ◦ at prescribed intervals ◦ ◦ ◦ ◦ ◦ whenever a change order complaint by owner/tenant/neighbor prior to covering over (e.g., wiring and plumbing before drywall) at all draws unannounced times The City will inspect at ALL draws.
On Solid Ground 15 7
Work performed List trades on site Take photos Materials delivered Delays or problems Weather Non-conforming work Who is present for inspection Job site discussions that involve corrective measures Any code inspection problems Anticipated scheduled deliveries On Solid Ground 15 8
◦ ◦ What do you do when: The inspection finds incomplete or deficient work?
There are issues the project is not designed to address?
• • Work with your GPC. Deficient work could result in stoppage of work and payments, until project corrected and re-inspected.
On Solid Ground 15 9
◦ ◦ ◦ ◦ ◦ Subrecipients must: Ensure contractors and vendors perform in accordance with contracts or purchase orders Maintain written employees codes of conduct and procedures for procurement Provide for open competition Document all procurement actions Adopt written procedures for managing procurement and resolving disputes
Who makes the procurement selection decision?
For any subrecipient, the Federal and City requirements apply For a developer or property owner, City rules apply On Solid Ground 16 1
◦ ◦ ◦ ◦ ◦ For all major construction work, Subrecipients must follow the formal Bid Process with Sealed bids.
Bid process includes: Prepare cost estimate Publish invitation for bids in local paper Sealed bids, public bid opening Explain in writing bidder selection Assure reasonableness through comparison to original cost analysis On Solid Ground 16 2
◦ ◦ ◦ For any procurements for minor construction projects: Obtain and record in writing at least three price quotations Select lowest price among similar products Compare quotes to cost analysis MUST DOCUMENT PROCESS!
On Solid Ground 16 3
To Ensure timely reimbursement these items must be completed Agency Responsibilities • Pre-Construction Meeting with DCD Staff • Have three apples to apples bids • Have one bid from a certified WBE Contractor • Contact staff when the job has started • Notice of Award to Contractor • Notice to Proceed • Letter of satisfaction • Requisition • Inspection 16 4
To Ensure timely reimbursement these items must be completed Contractor Must have if applicable • Insurance Binder • Contractor’s License • Obtain Permit • Fill out and submit completed & Certified Payroll HUD 257 • Monthly Utilization Form • Employee’s must be interviewed for prevailing wage compliance 16 5
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Standards guarantee fair wages and compensation for workers Helps provide a level playing field for bidders Local grantee must ensure and document compliance Transgressions endanger future funding Required by CDBG program and other federal laws 16 7
• Davis-Bacon Act $2,000 The Davis Bacon and Related Acts (DBRA) requires all contractors and subcontractors performing work with federal dollars for construction contracts or federally assisted contracts in excess of • To pay their laborers and mechanics not less than the prevailing wage rates and fringe benefits for corresponding classes of laborers and mechanics employed on similar projects in the area. 16 8
What are the requirements of the Davis-Bacon Act • Prevailing wage is the combination of the basic hourly rate and any fringe benefits listed in a Davis-Bacon wage determination.
• The contractor’s obligation to pay at least the prevailing wage listed.
• Payment can be made by cash wages or by a combination of cash wages and employer-provided bona fide fringe benefits.
• Payment must be based on all hours worked on the site of the work.
• Apprentices or trainees may be employed at less than the rates listed. Some exceptions to be taken into consideration.
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What are the requirements of the Davis-Bacon Act • Contractors and subcontractors are required to pay covered workers weekly.
• Contractors must submit weekly certified payroll records to the contracting agency.
• Contractors must post the applicable Davis-Bacon wage determination with the poster on the job site.
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Enacted in 1934 (40 U.S.C. 276c) Prohibits “kickbacks” Requires contractors to submit certified payrolls with a signed “statement of compliance” each week 17 1
All laborers and mechanics employed by contractors or subcontractors Requires payment of at least prevailing wages Requires weekly payment of wages Usually applied through “Related Acts” 17 2
The Department of Labor (DOL) has published rules and instructions concerning Davis-Bacon and other labor laws in the Code of Federal Regulations (CFR). They can be found in Title 29 CFR Parts 1, 3, 5, 6 and 7 17 3
Review weekly payrolls and compliance statements Conduct employee interviews See that underpaid workers receive restitution Maintain contract management system and compliance files 17 4
Building - sheltered enclosures that house persons, machinery, equipment, etc. Also apartment buildings over 4 stories Residential - single family houses, townhouses, and apartment buildings up to four stories Highway - roads, highways, sidewalks, parking areas, and other paving work not incidental to other construction Heavy - projects that can’t be classified as Building, Residential or Highway 17 5
◦ ◦ ◦ ◦ Competitive bidding: Modifications published less than 10 days before bid opening are not applicable if there is not sufficient time to notify bidders Lock-in at bid opening awarded within 90 days provided contract is Must update wage determination if contract award is more than 90 days UGLG must verify that wage rates are current 17 6
All laborers and mechanics must: ◦ ◦ Be paid not less often than once a week Receive at least 1½ times regular rate of pay for all hours worked over 40 per week Each employer must: ◦ Submit weekly certified payrolls reflecting all hours worked 17 7
Laborer / Mechanic: anyone performing construction work on the project Supervisors are covered if they spend their time performing manual work 20% Project Superintendents if they do work in listed trades, they must be paid the appropriate wage listed on the Wage Determination 17 8
Only apprentices & trainees registered in an approved program may be paid less than the applicable wage rate “Approved program” means a program registered with the DOL or a DOL- recognized State Apprenticeship Agency 17 9
Making Davis Bacon Work A Contractor’s Guide to Davis-Bacon http://www.hudclips.org/sub_nonhud/cgi/pd fforms/4812-LR.pdf
Federal Wage Determinations http://www.wdol.gov/ 18 0