048-20 - Resolution - Amendment to Agreement with Department of Commerce Related to the Cares Act Funding Due to COVID-19RESOLUTTON NO. 048-20
A RESOLUTION OF THE CITY OF PORT ORCHARD, WASHINGTON,
AUTHORIZING THE MAYOR TO ENTER INTO AN AMENDMENT TO
THE INTERAGENCY AGREEMENT WITH DEPARTMENT OF
COMMERCE RELATED TO THE CARES ACT FUNDING DUE TO
covtD-19.
WHEREAS, the economic and public health impact from the coronavirus pandemic has
been sudden and unprecedented; and
WHEREAS, the City of Port Orchard has spent significant unbudgeted financial resources
to combat and respond to COVID-19 for its employees, citizens and businesses; and
WHEREAS, the City of Port Orchard was awarded 5431,700 of CARES Act funding for local
governments, administered through the Washington Department of Commerce, for costs incurred
due to the public health emergence with respect to the COVID-19 during the period of March 1,
2020 thru October 3L,2O2O; and
WHEREAS, on June 23, 2020, consistent with requirements from Commerce to access the
allocated funds, the City Council adopted Resolution No. 027-20, authorizing the Mayor to execute
an lnteragency Agreement with Commerce; and
WHEREAS, the City of Port Orchard eligibility for funds has since increased by S2tS,850 to
a total amount up to 5647,550 of CARES Act funding for local governments, administered through
the Washington Department of Commerce, for costs incurred due to the public health emergence
with respect to the COVID-19 during the period of March t,2O2O thru November 30, 2O2O; and
WHEREAS, the City of Port Orchard will continue to incur unbudgeted expenses due to
COVID-L9, and desires to seeking the additional funding provided by the CARES Act and the
additional time to request for reimbursement; and
WHEREAS, the Department of Commerce requires the City to execute an amendment to
the lnteragency Agreement with the Department prior to receiving the additional funds and the
additional time extension, and the contract as amended covers the City's rights and obligations
under the program; now, therefore,
THE CtTy COUNCTL OF THE C|TY OF PORT ORCHARD, WASHTNGTON, HEREBY RESOLVES
AS FOLLOWS:
THAT: The City Council authorizes the Mayor to execute an amendment to the
lnteragency Agreement with Department of Commerce related to the COVID-L9 CARES
Act Funds for Local Governments in Washington State program, attached hereto as
Exhibit A and incorporated herein by this reference.
Resolution No. 048-20
Page 2 of 4
THAT: This Resolution shall be take full force and effect upon passage and signatures
hereon.
PASSED by the City Council of the City of Port Orchard, SIGNED by the Mayor and attested
by the City Clerk in authentication of such passage this l-3th day of October 2020.
Robert Putaansuu, Mayor
ATTEST
Bra tn earson,MMC, City Clerk SEAL
Amendment
Contract Number: 20-65 41 C-288
Amendment Number: A
Washington State Department of Commerce
Local Government Division
Community Capital Facilities Unit
Coronavirus Relief Fund for Local Governments
COMMERCE, defined as the Department of Commerce, and the Contractor, as defined above, acknowledge and accept the terms
of this Contract As Amended and attachments and have executed this Contract Amendment on the date below to start as of the date
and year referenced above. The rights and obligations ofboth parties to this Contract As Amended are governed by this Contract
Amendment and the following other documents incorporated by reference: Contractor Terms and Conditions including Attachment
"A" - Scope of Work, Attachment "B" - Budget & Invoicing, Attachment "C'- A-19 Certification, Attachment *D'- A-19
Activity Report. A copy of this Contract Amendment shall be attached to and made a part of the original Contract between
COMMERCE and the Contractor. Any reference in the original Contract to the'oContract" shall mean the "Contract as Amended".
1. Contractor
City of Port Orchard
2l 6 Prospect St
PORT ORCHARD, Washin glon 98366-5326
2. Contractor Doing Business As (optional)
3. Contractor Representative (only if updated)
Heidi Draper
Accounting Assistant II I
(360) 876-4407
hdraper@cityofportorchard.us
4. COMMERCE Representative (only if updated)
Janet Eaton POBox42525
Project Manager l0l I Plum St SE
(360) 725-3166 Olympia, W A 98504-2525
Fax 360-586-5880
janet.eaton@commerce.wa. gov
5. Original Contract Amount
(and any previous amendments)
$431,700.00
6. Amendment Amount
$21 5,850.00
7. New Contract Amount
$647,ss0.00
8. Amendment Funding Source
Federal: X State: Other:N/A
9. Amendment Start Date
Date of Execution
10. Amendment End Date
November 30,2020
11. Federal Funds (as applicable):
$647,550.00
Federal Agency:
US Dept. of the Treasury
CFDA Number:
21.019
12. Amendment Purpose:
To provide additional funding for costs incurred due to the public health emergency with respect to the Coronavirus Disease 20 19
(COVID-19) during the period of March 1,2020 thru November 30,2020. Final invoices must be received by December 15,2020.
FORCONTRACTOR
Rob Putaansuu, Mayor \
il
Date
\.- ^,r-O Mark K. Barkley, Assistant Director, Local Government Div
APPROVED AS TO FORM ONLY
Sandra Adix
Assistant Attorney General
'il.rA11At A
Date
FOR COMMERCE
Date
Department of Commerce
Amendment
This Contract is amended as follows:
Contract amount has been increased by $2{5,850.00.
Contract end date has been extended from October 31, 2020 to November 30,
2020.
Final reimbursement request must be received by December 15,2020.
ALL OTHER TERMS AND CONDITIONS OF THIS CONTRACT REMAIN IN FULL FORCE
AND EFFECT,
2
[Amended] Exhibit B to the Agreement with KEDA
AGRX,EMENT FOR THE RECEIPT OF FUNDS FROM
PORT ORCHARD CARES, SMALL BUSINESS RENT RELIEF PROGRAM
THIS AGREEMENT is entered into on this _day of _2020, by and between the
City of Port Orchard, hereinafter "the City," and recipient of a grant award
under the Port Orchard Cares, Small Business Rent Relief Program, hereinafter "the Recipient."
RECITALS
WHEREAS, on March 27,2020, the United States Congress adopted the Coronavirus Aid,
Relief, and Economic Security Act ("CARES Act") which, among other things, amended Section
601(a) of the Social Security Act and established the Coronavirus Relief Fund into which Congress
appropriated $150 billion to make payments for specified uses to States and certain local
govemments; and
WHEREAS, the Coronavirus Relief Fund is available to reimburse government recipients
for necessary expenditures incurred due to the COVID-19 public health emergency that were not
accounted for in the government recipient's most-recently appropriated budget and that were
incurred during the period between March 1,2020 and December 30, 2020; and
WHEREAS, guidance issued by the U.S. Treasury Department indicates that necessary
expenditures incurred due to the COVID-19 public health emergency include costs incurred to
support local businesses that suffered losses due to COVID-19 business interruptions, or incurred
costs for personal protective equipment or other materials, supplies and equipment needed to safely
operate following a COVID-19-related closure; and
WHERLAS, the State of Washington has decided to distribute a certain portion of its share
of the CARES Act funds to Washington Cities, including the City ofPort Orchard, with such funds
being administered through the Washington State Department of Commerce; and
WHEREAS, under the Washington State Department of Commerce Interagency
Agreement with the City of Port Orchard through the Coronavirus Relief Fund for Local
Governments reimbursable expenditures must be incurred during the period between March 1,
2020 and October 31,2020 in order for the State of Washington to closeout its contracts in time to
meet the United States Treasury's December 30,2020 end date; and
WHEREAS, the City established the Port Orchard Small Business Rent Relief Program
("Program"), the focus of which is to provide short-term economic stability via monetary grants
to quali$ring businesses and community organizations located within City limits for rent relief;
and
WHEREAS, the City has determined the Recipient eligible for assistance under this
Program.
NOW, THEREFORE, the parties herein do mutually agree as follows
1.
[Amended] Exhibit B to the Agreement with KEDA
1. Award Amount and Eligible Expenses. The total amount to be awarded to Recipient
under the Program isS ("Program Award Funds"). Recipient shall use Program
Award Funds only to pay or reimburse Recipient for business leasehold rent(s) ("Eligible
Expenses") incured during the time period set forth in Section 2.
Recipient agrees and acknowledges that the Program Award Funds shall be paid on
behalf of the Recipient by the City directly to the landlord/owner identified on the
supplied lease agreement.
* *Recipient Initial to Acknowledge:
Expenditure of Program Award Funds on Ineligible Expenses by the Recipient or
landlord/owner shall be subject to recapture at the discretion of the City. The Recipient
agrees to repay to the City, within thirty (30) days or such other the time specified by the
City, allProgram Award Funds determined by the City to have been spent by the Recipient
on an lneligible Expense. ln the alternative, the City may recapture such funds from
payments due under this Agreement, if any.
2. Time Period. All Eligible Expenses must be incurued by the Recipient between March l,
2020 and October 31, 2020. Any expenses incurred before or after this period are not
Eligible Expenses for Program Award Funds. The Recipient understands that any expenses
incurred more than Program Award Funds are the Recipient's sole responsibility and will
not be paid by the City.
3. Compliance with Federal, State and Local Laws. The Recipient shall comply with and
obey all applicable federal, state and local laws, regulations, and ordinances. Should the
Recipient's spending of the Program Award Funds be inconsistent with applicable laws,
provisions of this Agreement, or otherwise inappropriate, the City shall have the right to
the return of any portion of the Funds that are later determined to have been spent in
violation of applicable laws. In the alternative, the City may recapture such funds from
payments due under this Agreement. The City shall not exercise this right until it has given
written notice of noncompliance with applicable laws or this Agreement to Recipient, and
allowed Recipient a period of ten (10) days from the date of notice for Recipient to cure
the noncompliance. The right of recapture provided in this section is in addition to and not
in lieu of any right which Washington law provides for breach of contract.
a. Requirement to Provide Accurate lnformation. The Recipient understands and
acknowledges that providing false information on any documents submitted to the
City or its designees as part of the Recipient's participation in the Program may
constitute fraud, and may be subject to civil and/or criminal penalties andlor
sanctions.
b. No Use of Program Award Funds for Expenses Covered by Other Programs. The
Recipient shall not use Program award funds to cover payroll or other employee-
related or business-associated costs for which the Recipient has received other
federal, state or regional funds, including without limitation funds made available
2
[Amended] Exhibit B to the Agreement with KEDA
under the Payroll Protection Program ("PPP") or unemployment insurance
compensation.
c. Certification Regarding Debarment, Suspension, Ineligibility and Voluntary
Exclusion - Lower Tier Covered Transaction. Recipient certifies, by signing this
Agreement that neither it nor its principals is presently debarred, suspended,
proposed for debarment, declared ineligible, or voluntarily excluded from
participation in this transaction by any Federal or State department or agency.
4. Maintenance of Records. The Recipient shall maintain accurate written records, including
accounting records such as invoices, sales receipts, and proof of payment, books,
documents, data and other evidence that reflects all of Recipient's direct and indirect
expenditures of Program Award Funds. These records must be sufficient to demonstrate
that the funds have been used in accordance with Section 601(d) of the Social Security Act.
The City may at any time review the documentation to determine the Recipient's
conformance with the requirements of the Program, and the Recipient shall make available
to the City, upon request, all of the Recipient's records and documents with respect to all
matters covered by this Agreement.
a. The City may require the Recipient to provide additional documentation if the
existing documentation is deemed incomplete.
b. The Recipient shall retain all records related to this Agreement for a period of six
(6) years following the receipt of Program Award Funds. These recordso including
materials generated under the contract, shall be subject at all reasonable times to
inspection and review by the City, and to an audit by the Washington State
Department of Commerce, personnel duly authorized by Commerce, the Office of
the State Auditor, and federal and state officials so authorized by law, regulation or
agreement.
c. If any litigation, claim or audit is started before the expiration of the six (6) year
period provided in Section 4(b) above, the records shall be retained until all
litigation, claims, or audit findings involving the records have been resolved.
5. Kitsap Economic Development Alliance. The City is partnering with the Kitsap
Economic Development Alliance ("KEDA") to administer this Program. Recipients may
be contacted by the KEDA regarding this Program and are encouraged to contact the
KEDA with questions about the Program.
6. No Employee Relationship. The Recipient understands and acknowledges that neither the
Recipient nor any officer, employee or agent of the Recipient shall be considered to be an
employee of the City, nor entitled to any benefits accorded City employees, by virtue of
the services provided under this Agreement. The City shall not be responsible for assuming
the duties of an employer with respect to the Recipient or any employee of the Recipient.
3
[Amended] Exhibit B to the Agreement with KEDA
7. Indemnification. The Recipient shall indemniff and hold the City harmless against any
claim or liability of any nature in connection with or arising in any manner out of this
Agreement. In the event of any dispute between the Recipient and its employees,
subcontractors or anyone with a claim to some or all of the Recipient's Program award
funds, the Recipient shall be responsible for resolution of any such claim and the City shall
have no responsibility or obligation in the resolution process or outcome. The Recipient
shall ensure that any sub-recipient of any Program award funds shall agree to defend and
indemni$r the City to the extent and on the same terms and conditions as the Recipient.
8. Non-discrimination. The Recipient shall conduct its business and use funds in a manner
which assures fair, equal and non-discriminatory treatment of all persons, including
maintaining open hiring and employment practices, and compliance with all requirements
of applicable federal, state or local laws or regulations related to hiring and employment
practices and providing services to all persons, without discrimination as to any person's
race, color, religion, sex, sexual orientation, disabled veteran condition, physical or mental
handicap or national origin.
9. Complete Agreement. This Agreement sets forth the complete expression of the
agreement between the Parties, and any oral representations or understandings not
incorporated herein are excluded.
10. Waiver. Any waiver by the Recipient or the City of the breach of any provision of this
Agreement by the other party will not operate, or be construed, as a waiver of any
subsequent breach by either party or prevent either party from thereafter enforcing any
such provisions.
11. Modification. This Agreement may only be amended by written agreement signed by both
Parties.
12. Severability. If any part of this Agreement is found to be in conflict with applicable laws,
such part shall be inoperative, null and void, insofar as it is in conflict with said laws, and
the remainder of the Agreement shall remain in full force and effect.
13. Notices.
A. Notices to the City of Port Orchard shall be sent to the following address:
City of Port Orchard
Attn: Finance Director
Porl Orchard, WA
B. Notices to the Recipient shall be sent to the following address:
4
fAmended] Exhibit B to the Agreement with KEDA
14. Assignment of Contract. The Recipient shall not assign this contract without the prior
written consent of the City.
15. Venue. This Agreement shall be governed by the law of the State of Washington and
venue for any lawsuit arising out of this Agreement shall be in King County.
16. Disclaimer of Liability. Washington State Department of Commerce and the State of
Washington are not liable for claims or damages arising from the Recipient's performance
of this Agreement.
IN WITNESS WHEREOF, the City and Recipient have executed this Agreement as of the
date first above written.
CITY OF PORT ORCHARD,
WASHINGTON RECIPIENT
[Recipient's Complete Legal Name]
By
Its: Mayor
Date:
ATTEST:
Brandy Rinearson, City Clerk
Date:
APPROVED AS TO FORM:
Charlotte A. Archer, City Attorney,
Date:
Typed/Printed Name
Its:
By:
Date:
5