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HomeMy WebLinkAbout20A - AA - ROOSEVELT WALKER CONSTRUCTIONCITY COUNCIL MEETING DATE: DECEMBER 6, 2016 TITLE: AGREEMENT AMENDMENTS WITH SANTA ANA UNIFIED SCHOOL DISTRICT FOR JOINT USE AND REIMBURSEMENT OF CONSTRUCTION COST FOR ROOSEVELTIWALKER SITE {STRATEGIC PLAN NO. 5, 4A} � W CITY MAN GER CLERK OF COUNCIL USE ONLY: APPROVED ❑ As Recommended ❑ As Amended ❑ Ordinance on 1" Reading ❑ Ordinance on 2nd Reading ❑ Implementing Resolution 171 Set Public Hearing For-_,,, CONTINUED TO FILE NUMBER Authorize the City Manager and Clerk of the Council to execute an amendment to the joint -use agreement with Santa Ana Unified School District for the programming of Roosevelt/Walker site for a 30 -year term, with the option for two, 10 -year renewals to include language for both parties to contribute $50,000 per year into an irrevocable trust for repairs, subject to non -substantive changes approved by the City Manager and City Attorney. Authorize the City Manager and Clerk of the Council to execute an amendment to the reimbursement agreement with Santa Ana Unified School District for the reimbursement of construction costs of the Roosevelt/Walker site improvements by increasing the reimbursement amount by $2,587,509, for a total amount of $7,517,509, subject to non - substantive changes approved by the City Manager and City Attorney. 3. Approve an appropriation adjustment for FY 16/17 to recognize $498,248 from prior year fund balance and appropriate $223,248 into Residential Development District 2 and $275,000 into Residential Development District 3. DISCUSSION On June 20, 2011 City Council adopted a resolution authorizing staff to apply for a Proposition 84 "Safe Drinking Water, Water Quality and Supply, Flood Control, River and Coastal Protection Bond Act" grant. The City was awarded the grant in the amount of $5 million to develop park improvements at Roosevelt Elementary School. Improvements will include a 10,000 sq. ft. Community Center, play equipment area, lighted basketball court, lighted parking lot, security lighting, running track, synthetic turf sports field, sports lighting, decomposed granite running track, fencing, landscaping, and site improvements. The joint use agreement will allow the public to access the center, play equipment area and basketball court during school hours and the 20A-1 Agreement Amendments with Santa Ana Unified School District for Joint -Use and Reimbursement of Construction Costs for Roosevelt/Walker Site December 6, 2016 Page 2 running track and field after school hours. The grant requires the City to enter into a 30 year Joint -Use Agreement with the Santa Ana Unified School District (SAUSD). Since the SAUSD is familiar with the Department of State Architect's requirements concerning construction on school property, the District will perform the design, construction and inspection of the Joint -Use improvements. The reimbursement agreement requires the District to obtain all necessary permits/insurance and to perform all improvements under the State Grant terms for reimbursement. Together, SAUSD and City staff will review plans and monitor improvements to ensure the project is implemented per City approval. In spring 2016, the SAUSD solicited bids from qualified companies for construction of the site. This process resulted in a construction cost that was more than the available funding at the time. Therefore after discussions with SAUSD, the recommendation was to re -bid the contract in fall with the hope of a more competitive price, due to an expected decrease in construction projects. Additionally, the project was value engineered to further lower the cost. On November 1, 2016 the SAUSD opened bids with a lowest responsive bidder price of $6,300,000. The reimbursed agreement with SAUSD will be $7,517,509, which includes $902,509 of soft costs and $315,000 for contingency. This amount exceeds the Proposition 84 funds available. The City will use Community Development Block Grant funds in the amount of $2,089,261 and Park Acquisition and Development funds in the amount of $498,248 to complete the project. Additionally, the City is requesting an amendment to the joint -use agreement to include language so that the City and SAUSD each contribute $50,000 per year into an irrevocable trust. The funds from the trust will be used for necessary repairs and replacement of facilities. The Technical Advisory Committee shall review and determine the necessary repairs and allocation of the Trust Fund dollars to complete the necessary repairs. Approval of this item will be contingent upon City Council approval of the Substantial Amendment to the 2016-2017 Annual Action Plan for the reallocation of Community Development Block Grant Funds and authorization of its submission to the US Department of Housing and Urban Development. STRATEGIC PLAN ALIGNMENT Approval of this item allows the City to meet Goal #5 - Community Health, Livability, Engagement & Sustainability, Objective #4 (Support neighborhood vitality and livability), Strategy A (Support the design and construction of parks to provide increased open space and opportunities for recreation throughout the city, construct the Roosevelt Walker Park and Community Center, and develop concepts and proposals for the Library Park in the Civic Center and Centennial Santa Ana River Eco -Park). 20A-2 Agreement Amendments with Santa Ana Unified School District for Joint -Use and Reimbursement of Construction Costs for Roosevelt/Walker Site December 6, 2016 Page 3 FISCAL IMPACT An appropriation adjustment to recognize prior year fund balances and appropriations to the respective accounts and fiscal year is shown below. Accounting Unit FY 16/17 Revenue District 2-Acq. and Dev.-Prior Year Carry Forward -(no. 31213002-50001) $223,248 District 3-Acq. and Dev.-Prior Year Carry Forward -(no. 31313002-50001) $275,000 Expenditure Residential Development District 2 (no. 31213260-69135) $223,248 Residential Development District 3 (no. 31313260-69135) $275,000 Funds are available in the following accounts for the specified years: Accounting Unit FY 16/17 FY17/18 Parks, Recreation and Community Services Agency (no. 01113250-62320) $50,000 Community Development Block Grant (no. 13518783-69135) $2,089,261 Residential Development District 2 (no. 31213260-69135) $223,248 Residential Development District 3 (no. 31313260-69135) $275,000 1/ Gerardo Mouet Executive Director Parks, Recreation and Community Services Agency Robert C. Cort Deputy City Manager City Manager's Office APPROVED AS TO FUNDS AND ACCOUNTS: Francisco Gutierrez $� Executive Director Finance and Management Services Agency Exhibits: 1. Amendment to the joint -use agreement with Santa Ana Unified School District 2. Amendment to the reimbursement agreement with Santa Ana Unified School District 20A-3 20A-4 FIRST AMENDED AND RESTATED JOINT USE AGREEMENT BY AND BETWEEN SANTA ANA UNIFIED SCHOOL DISTRICT AND THE CITY OF SANTA ANA (ROOSEVELT -WALKER SCHOOL) THIS FIRST AMENDED AND RESTATED JOINT USE AGREEMENT ("Agreement") is dated as of , 2016, by and between the Santa Ana Unified School District ('District"), a public school district duly organized and existing under the laws of the state of California, and the City of Santa Ana ("City"), a charter city and municipal corporation duly organized and existing under the constitution and laws of the state of California (together, "Parties"). RECITALS: A. The District owns and operates both Roosevelt Elementary School, which is located at 501 S. Halladay Street, Santa Ana, California, and Walker Elementary School, which is located at 811 E. Bishop Street, Santa Ana, California. B. The Roosevelt and Walker Elementary School sites share the property located at the southwest corner of Standard Ave and Chestnut Street, which is suitable for a community center and park site. C. California Education Code §t0900 et seq., authorizes District to organize, promote, and conduct programs for community recreation and to cooperate in providing community recreation programs and facilities. D. The City has received a grant through the Statewide Park Development and Community Revitalization Program of 2008, and a grant through the United States Department of Housing and Urban Development's ("HUD") Community Development Block Grant ("CDBG") program, providing funding to construct improvements to the running track, install sports lighting at the basketball court, install a park site, construct a 10,000 square foot community center, install a parking lot for access to the park site and install fencing and landscaping around the park site. E. The City and District desire to undertake a coordinated use of the improved sports facilities and community center in order to allow maximum use by the schools, community residents and sports organizations. F. The partnership between the City and District created by this Joint Use Agreement is intended to improve general health and wellness for the residents of the Roosevelt and Walker Schools community. G. City and District entered into the original Joint Use Agreement, dated March 13, 2013 ("Original Joint Use Agreement'), to provide for the joint use and maintenance of the community center, parking lot and sports and recreation facilities. H. The Parties now desire to replace the Original Joint Use Agreement, and make other changes thereto, with this Agreement which hereby replaces all terms and conditions of the Original Joint Use Agreement with the new terms and conditions set forth herein, and the Original Joint Use Agreement shall henceforth be of no further force or effect. .+ P NOW, THEREFORE, for and in consideration of the mutual promises and agreements contained herein, the Parties hereto agree as follows: 1. DEFINITIONS. The following definitions shall apply to the terns as used in this Agreement: A. "Joint Use Property" shall mean that certain real property and improvements thereon described in Exhibit "A" attached hereto. B. "Joint Use Facilities" shall mean (1) the athletic field and track, and (2) one-half of the Community Center building as identified by the parties at final design of the building, all as identified in Exhibit "B" attached hereto. C. "Public Facilities" shall mean the one-half of the Community Center building as identified by the parties at final design of the building , basketball/volleyball court, tot lot, restroom and parking lot at the northeast comer of Roosevelt/Walker School site, as identified in Exhibit "C", attached hereto. Said Public Facilities shall be open during the hours that City parks are open to the public. D. "Technical Advisory Committee" shall mean that certain committee created and appointed by the City Manager of the City and the Superintendent of the District pursuant to the Joint Use Agreement between the Parties pertaining to Godinez High School at Centennial Park. The Technical Advisory Committee shall be responsible for resolving conflicts in scheduling of and reviewing allocations of funds for repairs to the Joint Use Facilities at Roosevelt/Walker Elementary Schools, as further set forth herein this Agreement. E. "Regular School Hours" shall mean 6:00 am through 4:00 pin, Monday through Friday (excluding state and national holidays observed by the District) unless changed by agreement of the Parties. F. "District Time" shall mean the time during Regular School Hours, when the District shall have the right to schedule use of the Joint Use Facilities. G. "City Time" shall mean those days and hours, outside of District Time, when the City shall have the right to schedule use of the Joint Use Facilities. 2. TERM AND COMMENCEMENT. This Agreement shall commence on 2016, and shall run for a term of thirty (30) years. Upon the written agreement of the Parties, the term may be extended for up to two additional ten year terns. 3. PERMITTED USE OF FACILITIES. The rights of the City to schedule use of the Joint Use Facilities shall be determined based on the following. A. District Use. District shall have the right, without prior consent of the City, to schedule use of the Joint Use Facilities during District Time and, on a priority basis, for activities during City Time upon timely notice to the City and in compliance with the provisions herein ("District Use"). However, if City has 2F„ldybitd already scheduled a program for the Joint Use Facilities, then District shall provide City with an acceptable alternate location on the Roosevelt -Walker School Site. District Use shall not include any priority use of the Public Facilities of the Community Center, but the District may request use of the Public Facilities of the Community Center. ii. A separate point of access or agreed upon control system will be provided for the City's use of the Public Facilities of the Community Center. B. City Use. City shall have the right at its discretion to schedule activities in the Joint Use Facilities during City time. ii. City shall have the exclusive light to schedule activities in the Public Facilities during Regular School Hours and City Time. iii. City shall have exclusive use of the Public Facilities during Regular School Hours. During non -Regular School Hours, City shall have access and use of all Public Facilities on the Roosevelt -Walker site. iv. The City shall be responsible for and have the authority to schedule use of the Joint Use Facilities during City Time. V. The City shall establish a system to provide for the coordination and scheduling of its use of the Joint Use Facilities during City Time, including a procedure for reserving the use of the Joint Use Facilities during City Time. C. Priority for Youth Snorts. The City will utilize the athletic field and track portions of the Joint Use Facilities during City Time exclusively for youth sport organizations with priority given to youth sport organizations that have the greatest number of youth that live within a '/a -mile radius of the Joint Use Property. D. District Priority. Priority will be given to a school or District Use of the Joint Use Facilities during City Time. In the event that District desires to use the Joint Use Facilities outside of District Time, it agrees it will schedule use of the Joint Use Facilities through the City. If District's use preempts previously scheduled City or youth sports organization use, District shall use its reasonable efforts to provide City with an acceptable alternate location for the preempted organization. E. City Programming. The City may conduct its own programs or do so through a third party, so long as done in the same manner and under the same conditions for programming in other City facilities and meets any applicable State or Federal anti- discrimination requirements and school -site safety standards such as prohibition of alcoholic beverages and tobacco. Reservation fees collected by City for City use of the Joint Use Facilities shall be retained by City. The City shall also comply with all requirements and restrictions on the collection of admission fees or other charges, per the Civic Center Act (Education Code Section 10900 et seq.), when it charges and collects and retains reservation fees, user fees or other charges for City use of Joint Use Facilities. The City shall not charge the District and the District shall not charge the City for any use of the Joint Use Facilities and/or the Public Facilities of the Community Center. F. Scheduling Conflicts. To the extent scheduling conflicts cannot be resolved informally by the parties, the Technical Advisory Committee shall be responsible for resolving conflicts in scheduling of the Joint Use Facilities. G. Facilities Users' General Liability Insurance. The City will ensure that each entity that receives from City a permit to utilize the Joint Use Facilities on City Time shalt have general liability insurance coverage in the amount of at least $1,000,000 per occurrence, and that the District and City are named as additional insureds on the applicable policies. H. Supervision of Joint Use Facilities. District shall be responsible for appropriate supervision while using the Joint Use Facilities during District Time. ii. The City shall be responsible for appropriate supervision while using the Joint Use Facilities during City Time. Custodial. Normal custodial services of the Joint Use Facilities will be the responsibility of the District during District Time. For third -party programs' use of the Joint Use Facilities scheduled through the City's reservation system during City Time, the City shall reimburse the District monthly for the cost to have a custodian on-site ($40 per hour, for a minimum of 2 hours and will change year-to-year based on the District's staff costs, subject to Technical Advisory Committee approval). In the event that the third -party program leaves the Joint Use Facilities in a disorderly manner beyond normal use, as determined by the Technical Advisory Committee, the City shall reimburse the District for an additional two (2) hours of custodial time. The City shall be responsible to provide custodial services for the Public Facilities. Maintenance. Normal maintenance of the Joint Use Facilities will be the responsibility of the District. District shall be responsible to maintain its portion of the interior of the Community Center building, outdoor lighting, painting, re -roofing, and acts of vandalism in the Community Center footprint. The City shall be responsible to maintain its portion of the interior of the Community Center building, the Public Facilities, and the sports lighting at the Joint Use Facilities, K. Repairs. Damages. Each party shall be responsible for damage occurring during its use of the Joint Use Property, Joint Use Facilities and/or Public Facilities. ii. Repairs. District shall be responsible for repair of the Joint Use Facilities. City shall be responsible for repair of the Public Facilities. Provided, however, District and City shall submit to the Technical Advisory Committee for review any plans for repairs required on the Joint Use Facilities or Pubic Facilities, 264-'t respectively. Upon review of any submitted plans, the Technical Advisory Committee shall determine whether and to what extent the other Party will share in the cost of the repairs to either the Joint Use Facilities or Public Facilities, as applicable. iii. Repair Fund Escrow. The Parties desire to establish an escrow account of funds added on an annual basis specifically to be expended on repairs for the Joint Use Property, hereafter referred to as "Repair Fund." Each party shall deposit Fifty Thousand Dollars ($50,000) by August 1 of each year for the tern of this Agreement, unless otherwise agreed upon in writing by the Parties, for the purpose of funding necessary repairs and replacement of the facilities of the Joint Use Property. The Technical Advisory Committee shall review any necessary repairs and determine the amount of Repair Fund dollars to be allocated for the performance and completion of said necessary repairs. The Technical Advisory Committee shall further monitor the Repair Fund to assess and determine whether the Parties' annual deposit therein should be adjusted pursuant to the repairs previously performed on and/or anticipated to be required for the Joint Use Property. L. Utilities. City shall pay for all utility services furnished to the Public Facilities and sports and security lighting on the athletic field. District shall pay for all utility services furnished to the Joint Use Facilities except the sports and security lighting mentioned above. M. Further Funding Sources. The Parties to this Joint Use Agreement will cooperate in good faith to seek further funding for improvements to the Joint Use Facilities and other common areas at the Roosevelt and Walker Elementary Schools and agree that if such funding and improvements are made, that this Joint Use Agreement will be amended to encompass the renovated areas and additional provisions related thereto. However, the City represents and warrants that no tax increment revenue from its redevelopment areas will be provided. N. Materials and Equipment. District shall furnish all materials and equipment in District's sole discretion necessary for the Joint Use portion of the Community Center. City shall furnish materials and equipment in City's discretion necessary for the Public Use portion of the Community Center. 4. CHARGE, S FOR USE OF JOINT USE FACILITIES. The City may charge and may be required to charge persons and organizations that use the Joint Use Facilities during City Time, in compliance with the provisions of Education Code section 10900 et seq., a user fee or charge as set by resolution of the City Council. The purpose of this fee is for the City to recover costs it incurs in scheduling the use of the Joint Use Facilities. District shall not charge the City for the use of the Joint Use Facilities during non -school hours. 5. INDEMNIFICATION. A. District shall defend, indemnify and save and hold harmless City, its officers, officials, employees, and agents from and against any and all liability, loss, damage, expenses, costs (including without limitation costs and fees of litigation of any nature) arising out of or in connection with District's performance of this Agreement or District's failure to comply with any of District's obligations .Mb contained in the Agreement caused by District, its officers, agents or employees except such loss or damage which was caused by the sole negligence or willful misconduct of City. In the event City is named as codefendant, District shall notify City of such fact and shall represent City in such legal action unless City undertakes to represent itself as codefendant in such legal action, in which case City shall bear its own litigation costs, expenses and attorney's fees. B. City shall defend, indemnify and save and hold harmless District, its officers, officials, employees, and agents from and against any and all liability, loss, damage, expenses, costs (including without limitation costs and fees of litigation of any nature) arising out of or in connection with City's performance of this Agreement or City's failure to comply with any of City's obligations contained in the Agreement caused by City, its officers, agents or employees except such loss or damage which was caused by the sole negligence or willful misconduct of District. In the event District is named as codefendant, City shall notify District of such fact and shall represent District in such legal action unless District undertakes to represent itself as codefendant in such legal action, in which event District shall bear its own litigation costs, expenses and attorney's fees. 6. INSURANCE. Both the City and the District shall maintain, for the period covered by this Agreement, at their own respective costs, their own respective policy or policies of general liability insurance and property insurance. Each party waives subrogation of its insurance coverage for the other entity. Self-insurance authorized by state law and/or maintained by the City or the District in the regular course of business for its other activities shall satisfy this requirement. 7. NOTICES. All notices, statements, demands, requests, consents, approvals, authorizations, appointments, or designations hereunder by either party to the other shall be in writing and shall be deemed given and served upon the other party, if delivered personally or three (3) days after depositing in the United States mail, postage prepaid, addressed as follows: If to CITY: and City of Santa Ana 20 Civic Center Plaza P.O. Box 1988 Santa Ana, CA 92702 Attn: Clerk of the Council City of Santa Ana Parks, Recreation and Community Services 26 Civic Center Plaza P.O. Box 1988 Santa Ana, CA 92702 Attn: Gerardo Monet If to DISTRICT: Santa Ana Unified School District 1601 E. Chestnut Santa Ana, CA 92701 26;Cib Attn: Orin Williams 8. ENTIRE AGREEMENT. This Agreement supersedes any and all agreements, either oral or written, between the parties hereto with respect to the subject matter of this Agreement, and contains all of the covenants and agreements between the parties with respect to this matter. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made with regard to this matter by any party, or anyone acting on behalf of any party, which are not embodied herein, and that no other agreement, statement, or promise regarding this matter not contained in this Agreement shall be valid or binding. Any modification or amendment of this Agreement will be effective only if it is in writing and signed by both parties to this Agreement. 9. APPLICABLE LAW. This Agreement has been made and entered into in the State of California and the laws of said State shall govern the validity and interpretation hereof and the parties' performance hereunder. 10. SEVERABILITY. Whenever possible, each provision of this Agreement shall be interpreted in such a manner as to be effective and valid under applicable law, but if any provision of this Agreement shall be held by a court of competent jurisdiction to be invalid, void or unenforceable under the applicable law, such provision will be ineffective to the extent of such prohibition or invalidity, without invalidating the remainder of such provision, or the remaining provisions of this Agreement. 11. REMEDIES FOR BREACH. Any material default in the performance of any terms or conditions of this Agreement, by either party, shall constitute a breach of this Agreement. The non - defaulting party shall provide thirty (30) day written notification to cure each and every breach identified in the notification. In the event that the defaulting party fails to cure its default within such period of time, the non -defaulting party shall have the right, notwithstanding any other provision of this Agreement, to terminate this Agreement without further notice and without prejudice to any other remedy to which it may be entitled at law, in equity, or under this Agreement. The failure of a party to object to any default in the performance of the terms and conditions of this Agreement shall not constitute a waiver of either that tern or conditions or any other term or condition of this Agreement. 12. BINDING EFFECT AND NONASSIGNABILITY. This Agreement and all the terms, covenants, conditions, and agreements herein contained shall be binding upon and inure to the benefit of the Parties and their respective successors. This Agreement shall not be assignable by either Party. [SIGNATURES ON FOLLOWING PAGE] 2kycla�bit� ,� IN WITNESS WHEREOF, this Agreement has been duly approved by both District and City. The "District" The "City" Santa Ana Unified School District, City of Santa Ana a political subdivision of the State of California A Charter City Dated: Dated: By: Orin Williams Assistant Superintendent Facilities & Governmental Relations By: Stefanie P. Phillips, Ed.D. Superintendent of Schools Approved as to Form By: Philip J. Henderson Attorney, Orbach Huff Suarez Sr Henderson 3 264-1 By: David Cavazos City Manager Attest: By: _ Maria D. Huizar Clerk ofthe Council Approve sta F ': Soma a lh City Attorney By 2. `/iv aro ge sist nt ity Attorney Exhibit "A" JOINT USE PROPERTY Exhibit 1 20A-13 s v• M1 i 3nN3AV inNiS3HJ 1SV3 20A-14 i Q x x w Z a a H a W U Z O W LU �— 0 N W d N w H � Z z O p J W W N O O w s X LU Exhibit `B" JOINT USE FACILITIES Exhibit 1 20A-15 �: W J z i w { 0 0' inN3AV inN1S3H:) 1SV3 20A-16 m :.Q x w J a a LU U z Ln OW U LU J N < W Q N w N F - z ~ _ z O p J W W N 0 n L X LL Exhibit "C" PUBLIC FACILITIES Exhibit 1 20A-17 inN3AV ION S3HJ 1SV3 20A-18 U x w Q a F- CL LJJ U Z Ow W J N U W N LL U J Zm Z) O C- J W W V) O/�/ LL FIRST AMENDMENT TO AGREEMENT BETWEEN THE CITY OF SANTA ANA AND SANTA ANA UNIFIED SCHOOL DISTRICT REGARDING REIMBURSEMENT OF CONSTRUCTION COSTS FOR ROOSEVELT -WALKER ELEMENTARY SCHOOL INCORPORATING PROP. 84 GRANT AND CDBG REQUIREMENTS THIS FIRST AMENDMENT TO THE REIMBURSEMENT AGREEMENT ("First Amendment") is entered into this day of 2016, by and between the City of Santa Ana, a charter city and municipal corporation ("Cit)') and the Santa Ana Unified School District, a public school district ("District"). RECITALS A. On March 18, 2013, the City entered into Reimbursement Agreement #A-2013-043 ("said Agreement") with the District regarding the reimbursement of design and construction costs for improvement of the multi-purpose sports and recreation facilities (the "Facilities") at Roosevelt -Walker Elementary School (the "Project"). B. hi accordance with the terms and conditions of said Agreement, the parties desire to amend said Agreement to increase funding for the Project. C. In addition, the City, as an entitlement recipient and grantee of the United States Department of Housing and Urban Development ("HUD") Community Development Block Grant ("CDBG") Catalog of Federal Domestic Assistance (CFDA) Number 14.218, Federal Award Identification Numbers (FAIN) B -14 -MC -06-0508, B -15 -MC -06- 0508, B -16 -MC -06-0508, award amounts of $5,560,186, $5,434,375 and $5,286,263 respectively, on July 1, 2014, July 1, 2015, and July 1, 2016 respectively, desires to amend said Agreement to include the expenditure of CDBG funds in accordance with Title 24, Part 570 of Code of Federal Regulations (24 CFR 570.000), et seq., to pay for design and construction of the Project. NOW THEREFORE, in consideration of the mutual and respective promises, and subject to the terms and conditions of said Agreement, except as herein modified, the parties agree as follows: 1. Section 2, subsection b, of said Agreement shall be amended to read as follows: "The City shall reimburse the District for preconstruction costs, which shall include design costs, and construction costs for the Facilities in a total not to exceed the amount of Seven -Million, Five -Hundred Seventeen Thousand, Five -Hundred Nine Dollars ($7,517,509.00), which includes Four -Million, Nine -Hundred and Thirty Thousand Dollars ($4,930,000.00) in Prop 84 funds from the State, Two -Million, Eighty -Nine Thousand, Two -Hundred Sixty -One Dollars ($2,089,261.00) in CDBG funds from HUD, Two -Hundred Twenty -Three Thousand, Two -Hundred Forty -Eight Dollars ($223,248.00) in A&D District 2 Available Funds from the City, and Two -Hundred Seventy -Five Thousand Dollars ($275,000.00) in A&D District 3 Available Funds from the City. The City shall pay invoices submitted by the District within thirty (30) days following receipt of invoice as set forth above, subject to receipt of Prop 84 funds from the 1 2 Fyckibit,f 9 State and availability of CDBG Rinds from HUD. The City shall retain Seventy-Thous<aad Dollars ($70,000.00) for costs associated with contract administration and CEQA compliance required by the grant." 2. Section 2, subsection d, of said Agreement shall be deleted. 3. Section 4, subsection a, of said Agreement shall be amended to read as follows: "This Agreement shall begin on the date first stated above and terminate ninety days after District files a Notice of Completion regarding the Facilities or by June 30, 2019, whichever is the earlier. The City may extend the term of the Agreement with a writing signed by the City Manager and City Attorney. Except as indicated, herein, neither party may terminate this Agreement." 4. Section 11.5, shall be added to said Agreement and read as follows: 1111.5. Terms Required Based on CDBG Funding The following terms are made apart of this Agreement, as required by the Parties' participation in and use of funds from the HUD CDBG program. A. Use of Debarred, Suspended, or Ineligible Participants. The Parties shall comply with the provisions of 24 CFR 570.609 relating to the employment, engagement of services, awarding of contracts, or funding of any contractor or subcontractor during any period of debarment, suspension, or placement in ineligibility status. B. No Pending Investigation. Each Party asserts that, to the best of its knowledge, it is not the subject of any current or threatened criminal or civil action investigation by any other public agency, including without limitation a police agency or prosecuting authority, which would relate to performance of the Agreement or provision of services hereunder. C. Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. District shall comply with applicable uniform requirements as described in 24 CFR 570.502. The following requirements and standards must be complied with: 2 CFR Part 200 et al. District shall procure all materials, property, or services in accordance with the requirements of 2 CFR 200.318-326. D. Other Program Requirements. District shall carry out each activity in compliance with all federal laws and regulations described in Subpart IC of 24 CFR 570. District will carry out its activities in compliance with the requirements of Subpart K of 24 CFR 570, however District does not assume the City's environmental responsibilities or the responsibility for initiating the environmental review process tinder 24 CFR Part 52, 2(�Ai 2U B. Reversion of Assets. District shall comply with the following: 1. Upon the expiration of this Agreement, District shall transfer to City any CDBG funds on hand at the time of the expiration of this Agreement as well as any accounts receivable attributable to the use of CDBG funds. [24 CPR 570.503 (b)(7)] 2. Any real property under District control that was acquired or improved in whole or in part with CDBG funds in excess of $25,000.00 must either be: a. Used, where City has given written approval, to meet one of the national objectives stated in 24 CPR 570.208 until five (5) years after expiration of this Agreement, or for such longer period of time as determined to be appropriate by City; or b. If not used in accordance with subparagraph (a) above, District shall pay to City an amount equal to the current fair market value of the property less any portion of the value attributable to the expenditure of non-CDBG funds for acquisition of, or improvement to, the property, Such payment is program income to City. F, Audit Report Requirements. The District agrees that if the District expends Seven Hundred Fifty Thousand Dollars ($750,000) or more in federal funds, the District shall have an annual audit conducted by a, certified public accountant in accordance with the standards as set forth and published by the United States Office of Management and Budget. The District shall provide City with a copy of said audit by April 1 of the year following the program year in which this Agreement is executed. G. Record Keeping/Reporting. Both Parties shall keep and maintain complete and adequate records and reports to assist one another in 'meeting and maintaining its record keeping responsibilities sunder applicable law, which includes Title 24, Part 570 of Code of Federal Regulations (24 CFR 570.000), et seq. The Parties agree to share with each other the guidelines and parameters of required record keeping. The Parties agree to keep all Project records for at least five (5) years from the date of completion of the Project. Records to be maintained include: project plans, procurement documents, labor compliance doctiunents, documentation of project expenses, including evidence of incurring the expense, invoices for goods or services, copies of any and all contracts or documentation pertaining to costs for subcontractors, plus all other invoices and proof of payment for which CDBG fiords were expended, and any payments therefor. H. Access to Records. City and the United States Government and their representatives or auditors shall have access for purposes of monitoring, auditing, and examining Districts activities and performance, to books, documents and papers, and the right to examine records of Districts subcontractors, bookkeepers and accountants, employees and participants in regard to said program. City and the United States Government and their representatives or auditors shall also schedule on-site monitoring at their discretion. Monitoring activities may also include, but are not limited to, questioning employees and participants in said program and entering any premises or any site in which any of the services or activities funded hereunder is conducted or in which any of the records of District are kept. Nothing herein shall be construed to require access to any privileged or confidential information as set forth in federal or state law. L Econonue Opportunities for Low Income People. To the extent allowable under applicable state law, the Parties shall implement the goals of Section 3 of the Housing and Urban Development Act of 1968 that requires employment and other economic opportunities arising in connection with housing rehabilitation, housing construction and other public construction projects which shall, to the extent feasible and consistent with existing federal, state and local laws and regulations, be given to low and very low-income persons. To the extent applicable, the Parties shall comply and/or cause compliance with Section 3 Clause requirements for the Project. Labor Standards/Prevailing Wage. The District agrees to comply with the requirements of the Secretary of Labor in accordance with the Davis -Bacon Act as amended, the provisions of Contract Work Homs and Safety Standards Act (40 U.S.C. 327 et seq.) and all other applicable federal, state and local laws and regulations pertaining to labor standards insofar as those acts apply to the performance of this Agreement, The District agrees to comply with the Copeland Anti -Dick Back Act (18 U.S.C. 874 et seq.) and its implementing regulations of the U.S. Department of Labor at 29 CFR Part 5, The District shall maintain documentation that demonstrates compliance with hour and wage requirements of this part. Such documentation shall be made available to the City for review upon request. In its contract(s) for construction of the Project, the District shall include a provision that states in pertinent part: If there is a difference between the general prevailing wage rates determined by the Director of the Department of Industrial Relations ("California Prevailing Wages") and the applicable minimum wage rates determined by the Secretary of Labor ("Federal Wages") for similar classifications of work, the Contractor and its Subcontractors of every tier shall pay their workers not less than the higher wage rate. K. Lobbying. The Parties shall ensure that they comply with federal law (31 U.S,C. 1352) and regulations found at 24 CFR Part 87, which provide that no appropriated funds may be expended by the recipient of a federal contract, grant, loan or cooperative agreement to pay any person for influencing or attempting to influence an officer or employee of any agency, Member of Congress, or an officer or employee of a Member of Congress in connection with awarding of any federal contract, the making of any federal grant or loan, entering into any cooperative agreement and the extension, renewal, amendment or modification of any federal contract, grant, loan or cooperative agreement. 2UA-22 L. Indirect Cost Rate. Pursuant to 2 CFR §200.331(a)(4), the Indirect Cost Rate for the award shall be an approved federally recognized indirect cost rate negotiated between the District and the Federal government, or, if no such rate exists, the de minimis indirect cost rate as defined in 2 CPR §200.414(b) Indirect (F&A) costs. For this Agreement, the de minimis indirect cost rate of 0% will apply. M. Program Income. District shall comply with program income requirements set for the in 24 CFR 570.504(c). Program income received by the District shall be returned to the City unless otherwise provided for in this Agreement. N, Equipment. The purchase of equipment is not allowable under this Agreement. 0. Prohibited Use. District hereby certifies and agrees that it will not use funds provided through this Agreement to pay for entertainment, meals or gifts, or other prohibited uses. P. Women- and Minority -Owned Businesses. District will use its best efforts to afford small businesses, minority business enterprises, and women's business enterprises the maximum practicable opportunity to participate in the performance of this Agreement in accordance with the requirements of 2 CFR 200.321 "Contracting with small and minority businesses, women's business enterprises, and labor surplus area firms". As used in this Agreement, the term "small business" means a, business that meets the criteria set forth in section 3(a) of the Small Business Act, as amended (15 U.S.C. 632), and "minority and women's business enterprise" means a business at least fifty-one percent (51 %) owned and controlled by minority group members or women. For the purpose of this definition, "minority group members" are African-Americans, Spanish-speaking, Spanish surnamed or Spanish -heritage Americans, Asian -Americans, and American Indians. District may rely on written representations by businesses regarding their status as minority and female business enterprises in lieu of an independent investigation. Q. Conflict of Interest. Pursuant to the conflict of interest requirements set forth in 24 CFR 570.611 and 2 CFR 200.112, the District certifies that no member, officer, employee, agent or assignee of the City having direct or indirect control of any CDBG monies granted to the City, inclusive of the subject CDBG fiends, shall serve as an officer of the District. Further, any conflict or potential conflict of interest of any officer of the District shall be fully disclosed in writing prior to the execution of this Agreement and said writing shall be attached and deemed frilly incorporated as a part hereof. Notice shall be sent by the District to the City regarding any changes or modifications to its board of directors and list of officers. R. Limitation of Funds. The United States of America, through HUD, may in the future place programmatic or fiscal limitations on the use of CDBG funds which limitations are not presently anticipated. Accordingly, the City reserves the right to revise this Agreement in order to take account of actions affecting HUD program funding, In the event of funding reduction, the City may, in its sole and absolute 5 discretion, reduce the budget of this Agreement as a whole or as to costs category, may limit the rate of the Districts authority to commit and spend fiords, or may restrict the Districts use of both its uncommitted and its unspent funds. Where HUD has directed or requested the City to implement a reduction in funding, in whole or as to a cost category, with respect to funding for this Agreement, the City's City Manager or delegate is authorized to act for the City in implementing and effecting such a reduction and in revising, modifying, or amending the Agreement for such purposes, If such a reduction in funding occurs, the District shall be permitted to de -scope accordingly. In no event, however, shall any revisions made by the City affect expenditures and legally binding commitments made by the District before it received notice of such revision, provided that such amounts have been committed in good faith and are otherwise allowable and that such conm ritments are consistent with HUD cash withdrawal guidelines. Closeout. The District agrees to comply with the closeout procedures detailed in 2 CFR §200.343, including the following: I . District must submit, no later than ninety (90) calendar days after the end date of the period of perfonnance, all financial, performance, and other reports as required by the terms and conditions of the Federal award; 2. Unless the City authorizes an extension, District must liquidate all obligations incurred wider the Federal award not later than ninety (90) calendar days after the end date of the period of perfonnance as specified in the terms and conditions of the Federal award; 3. District must promptly refund any balances of unobligated cash that the City paid in advance or paid and that is not authorized to be retained by District for use in other projects (See OMB Circular A-129 and 2 CFR §200.345); 4. District must account for any real and personal property acquired with Federal funds or received from the Federal government in accordance with 2 CFR §§200.310-200.316 and 200.329; and, 5. The City should complete all closeout actions for the Federal award no later than one year after receipt and acceptance of all required final reports. T. Liability Resulting from CDBG Requirements. Notwithstanding any other provision provided herein, the Parties acknowledge and agree that any amounts, including without linutation costs, charges, fees, penalties, or delays of the Proj cot, incurred by the District directly or indirectly arising out of, connected with, or resulting from the obligations required by the Parties' participation in and use of fiords from the 1 -IUD CDBCr program, including as a result of any audit performed in connection therewith, shall be home by and the responsibility of the City, except as otherwise mutually agreed to in writing by the Parties or if said amounts are incurred wholly because of the sole negligence or willful misconduct of the District. 2UA-b 2 4 Upon written notice by the District, City shall pay directly or reimburse the District for said amounts within thirty (30) days of District's notice. 5. Except as hereinabove modified, the terms and conditions of said Agreement remain unchanged and in full force and effect. This First Amendment may be executed in any number of counterparts all of which when taken together shall constitute one and the same document. This First Amendment shall be governed by and construed in accordance with the laws of the State of California. IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to said Agreement the date and year first above written. ATTEST: MARIA D. HUIZAR Clerk of the Council APPROVED AS TO FORM: Sonia R. Carvalho 12; n By:A HODGE sis tCityAttomey RECOMMENDED FOR APPROVAL: CN Y 0 i i; /:1 DAVID CAVAZOS City] Manager SANTA ANA UNIFIED SCHOOL DISTRICT: Name: Title: DUNS: GERARDO MOUET, Executive Director Parks, Recreation & Community Services Agency 20A-26