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HomeMy WebLinkAboutCity Council Committees - Operations Committee - 02/16/2016 (2) Unless otherwise noted, the Operations Committee meets at 4 p.m. on the first and third Tuesday of each month in Kent City Hall, Council Chambers East, 220 4th Ave S, Kent, 98032. For additional information please contact Jennifer Hays at 253-856-5700. Any person requiring a disability accommodation should contact the City Clerk’s Office at 253-856-5725 in advance. For TDD relay service call Washington Telecommunications Relay Service at 1-800-833-6388. Operations Committee Agenda Councilmembers: Bill Boyce – Les Thomas – Dana Ralph, Chair February 16, 2016 4 p.m. Item Description Action Speaker Time Page 1. Call to order Chair Ralph 1 2. Roll Call Chair Ralph 1 3. Changes to the Agenda Chair Ralph 1 4. Approval of Check Summary Report dated 1/16/2016 thru 1/31/2016 YES Chair Ralph 2 5. Approval of Meeting Minutes Dated February 2, 2016 YES Chair Ralph 2 1 6. Emergency Management Performance Grant MOU – Recommend YES Aaron BeMiller Robert Goehring 5 5 7. Director’s Report - Finance NO Aaron BeMiller 5 75 This page intentionally left blank OPERATIONS COMMITTEE MINUTES February 2, 2016 Committee Members Present: Dana Ralph, Chair; Bill Boyce; and Les Thomas. The meeting was called to order by Dana Ralph at 4:05 p.m. 1. ROLL CALL. 2. CHANGE TO AGENDA. There were no changes to the agenda. 3. APPROVAL OF THE CHECK SUMMARY REPORT DATED 1/01/2016 THRU 1/15/2016. B. Boyce moved to approve the check summary report dated 1/01/16 through 1/15/16. L. Thomas seconded the motion, which passed 3-0. 4. APPROVAL OF MINUTES DATED JANUARY 19, 2016. L. Thomas moved to approve the Operations Committee minutes dated January 19, 2016. B. Boyce seconded the motion, which passed 3-0. 5. LODGING TAX ADVISORY COMMITTEE BOARD MEMBER EXPANSION ORDINANCE - RECOMMEND. Economic and Community Development Director Ben Wolters asked members to move forward clarifying language pertaining to staggered terms in Ordinance No. 4176 which was adopted during the December 8, 2015 council meeting. The ordinance increased the number of members appointed to the Lodging Tax Advisory Committee from seven to nine members. In order to alleviate confusion concerning the terms of the two new additional members, and to remain consistent with state law, minor changes to the Kent City Code are required. It was noted that this is a house-cleaning request therefore there is no impact to the budget. B. Boyce moved to recommend City Council adopt clarifying language pertaining to term limits in Ordinance No. 4176 amending Chapter 2.54 of the Kent City Code, entitled “Lodging Tax Advisory Committee,” to increase the number of committee members from seven to nine. L. Thomas seconded the motion, which passed 3-0. 6. BUDGET CERTIFICATION FOR ANNEXATION SALES TAX CREDIT-RESOLUTION - RECOMMEND. Deputy Finance Director Barbara Lopez requested certification of the difference between Panther Lake annexation area revenues and expenditures for July 1, 2016 through June 30, 2017. Estimated costs for the annexation area for the State’s fiscal year 2016 is anticipated to be $12,792,765 to provide City services to those residents, while the City 1 Operations Committee Minutes February 2, 2016 Page: 2 anticipates revenues of $8,028,475 from property taxes, sales taxes and other sources. The net of the revenues and costs produces a deficit of $4,764,290 which is the amount being certified as the amount of annexation sales tax credit the City is requesting from the State. This certification period is the seventh year the City will receive the annexation sales tax credit, which will expire June 30, 2020. L. Thomas moved to recommend Council approve the resolution certifying the Panther Lake annexation sales tax credit of $4,764,290 for the period July 1, 2016 through June 30, 2017. B. Boyce seconded the motion, which passed 3-0. 7. DIRECTOR’S REPORT. Finance Director Aaron BeMiller and Ms. Lopez discussed three items for the report:  Ms. Lopez discussed the City’s business license compliance efforts and the steps taken in relicensing a business and enforcing the collection of business and occupations tax (B&O). The current practice only allows a $50 fine if a business license is not relicensed in a timely manner and is difficult to enforce. The new practice is if payment is not received for a license, a correction letter followed by a notice of violation letter will be sent advising a business they have a fine of $500. Moving forward, the Finance and Law departments are working to make changes to the business license code to: clarify the language that it is not renewing rather reissuing a license; build-in different compliance steps starting with civil infractions, possible criminal offences then injunctions; lastly, reviewing business license classifications for appropriateness of different events.  Mr. BeMiller talked about the approval of an interlocal agreement between the City and Regional Fire Authority (RFA) to complete the 72nd street project. In the agreement, the RFA will pay the City $1.2 million over the next ten years. That will leave an upfront funding gap of $1.2 million to complete the project. The City will use $200,000 of interest revenue from the 2008 bond. The other $1 million would be collected from an inter-fund loan from the drainage fund. The inter-fund loan will be paid back by the earlier mentioned RFA interlocal agreement. Finance plans to recommend this to committee members at a future meeting.  Mr. BeMiller provided a quick update on closing out 2015 books. Earlier this year strategic transfers were discussed regarding the excess general fund dollars: $500,000 has been transferred to ShoWare Center operating fund to front load the repayment of the no-interest SMG loan; $500,000 paid down an additional year of the Public Works allocation payback the general fund is making to the utilities for the change in cost allocation methodology; transferred $500,000 to the other capital projects fund for strategic land purchases; and, transferred $100,000 into the facility space study project for the 2017 portion. With the revenues still coming in and expenses a bit lower than anticipated two more transfers were made for: $250,000 was transferred for the LEOFF 1 fund to 2 Operations Committee Minutes February 2, 2016 Page: 3 replenish that fund; and, $50,000 transfer for the facility space fund for 2015 portion of the study. That said, the general fund is still expected to have a fund balance of 13 percent of the 2016 budgeted general fund expenditures. The meeting was adjourned at 4:30 p.m. by D. Ralph. J. Hays Jennifer Hays Operations Committee Secretary 3 This page intentionally left blank 4 Kent Council Operations Committee EMPG Agreements FINANCE Aaron BeMiller Director Phone: 253-856-5260 Fax: 253-856-6255 Address: 220 Fourth Avenue S. Kent, WA. 98032-5895 DATE: February 16, 2016 TO: Operations Committee FROM: Aaron BeMiller, Finance Director SUBJECT: Emergency Management Performance Grant MOU – Recommend MOTION: Recommend Council authorize the Mayor to sign the Memorandum of Understanding with the Kent Fire Department Regional Fire Authority regarding the administration of a Emergency Management Performance Grant, subject to final terms and conditions acceptable to the Finance Director and the City Attorney. SUMMARY: On December 8, 2015 the City Council authorized acceptance of a federal Emergency Management Performance Grant from the Washington Military Department in the amount of $81,876 for the period June 1, 2015 through August 31, 2016. The purpose of this grant is to assist with the enhancement, sustainment and improvement of state, local, and tribal emergency management programs. Regional fire authorities and fire protection districts are not eligible to receive these grants directly from the Washington Military Department. Accordingly, these grants are awarded directly to the City and are then passed-through to the Kent Fire Department RFA. The City is required under federal grant requirements to enter into separate grant agreements with the Kent Fire Department RFA for each award. Subsequent to the execution of this MOU, it may be amended in recognition of EMPG grant agreements accepted by the City. These amendments, if any, would be routed to the Mayor and Fire Chief for approval and would not require approval of either the Kent City Council or the Kent Fire Department Regional Fire Authority Governance Board. BUDGET IMPACT: N/A EXHIBITS: Memorandum of Understanding 5 MOU, Kent & RFA EMPG E16-108 i HOMELAND SECURITY AWARD MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF KENT AND KENT FIRE DEPARTMENT REGIONAL FIRE AUTHORITY EMERGENCY MANAGEMENT PERFORMANCE GRANT GRANT AGREEMENT NUMBER E16-108 This Memorandum of Understanding (MOU), entered into this day of , between the City of Kent, a Washington municipal corporation (hereinafter the "City") and the Kent Fire Department Regional Fire Authority (hereinafter the "RFA"), a Washington municipal corporation formed in accordance with Chapter 52.26 RCW. RECITALS WHEREAS, the City is an applicant for Emergency Management Performance Grant (“EMPG”) funds (Catalogue of Federal Domestic Assistance-CFDA 97.042) under Public Law 113-76, as amended by Post-Katrina Emergency Management Reforms Act of 2006 (PKEMRA), as amended, (Pub. L. No. 109-295) (Title 6 U.S.C Chapter 762, Section 662, Public Law 109-295, Title 6 U.S.C. 762, as amended by Earthquake Hazards Reduction Act of 1977, Public Law 95-124, Title 42 U.S.C 7701, as amended by Robert T. Stafford Disaster Relief and Emergency Assistance Act, Public Law 93- 288, Title 42 U.S.C 5121, as amended by National Flood Insurance Act of 1968, Public Law 90-448, Title 42 U.S.C 4001; and WHEREAS, the City desires to contract with the RFA for the performance of certain eligible activities described within this MOU; and WHEREAS, it is appropriate and mutually desirable that the RFA be designated by the City to undertake the aforementioned eligible activities, so long as the requirements of the EMPG award, Homeland Security regulations, and state and local laws are adhered to, as provided for herein; and WHEREAS, the purpose of this MOU is to provide for cooperation between the City and the RFA, as the parties to this MOU, in the provision of such eligible activities; and WHEREAS, the parties are authorized and empowered to enter into this MOU pursuant to the OMB Circular A-133, Chapter 39.34 RCW, and/or by the Constitution and the enabling laws of the State of Washington; NOW THEREFORE, For and in consideration of the terms and conditions provided in this MOU, the parties mutually covenant and agree as follows: 6 MOU, Kent & RFA EMPG E16-108 ii INDEX TO MOU PART I - GENERAL CONDITIONS .............................................................................................................. 1. Scope Of MOU .......................................................................................................................... 1 2. Scope Of Project....................................................................................................................... 1 3. Purpose And Primary Objective .................................................................................................. 1 4. Commencement And Termination Of MOU ................................................................................... 2 5. Administration ......................................................................................................................... 2 6. Compensation And Method Of Payment ....................................................................................... 2 7. Eligible Costs ........................................................................................................................... 3 8. Operating Budget ..................................................................................................................... 3 9. Amendments ........................................................................................................................... 3 10. Assignment And Subcontracting ................................................................................................. 3 11. Hold Harmless And Indemnification............................................................................................. 4 12. Project Close-Out ..................................................................................................................... 4 13. Insurance ................................................................................................................................ 4 14. Conflict Of Interest ................................................................................................................... 5 15. Suspension And Termination Of MOU .......................................................................................... 5 PART II - FEDERAL, STATE, AND LOCAL PROGRAM REQUIREMENTS ............................................................. 1. Nondiscrimination ..................................................................................................................... 6 2. Procurement Standards ............................................................................................................. 8 3. Uniform Administrative Requirements And Cost Principles.. ........................................................... 8 4. Labor Standards ....................................................................................................................... 8 5. Data Universal Numbering System.............................................................................................. 9 6. Administrative And/Or Financial Requirements ............................................................................. 9 7. Reimbursement/Invoicing Procedures ......................................................................................... 9 8. Reporting Requirements ............................................................................................................ 9 9. Equipment Management ........................................................................................................... 9 10. Environmental and Historical Preservation ................................................................................... 9 11. Procurement ............................................................................................................................ 9 12. NIMS Compliancy ................................................................................................................... 10 13. EMPG Program Specific Requirements ....................................................................................... 10 14. General Terms And Conditions................................................................................................ 10 15. EMPG Work Plan.. ................................................................................................................... 10 16. Public Information .................................................................................................................. 10 17. Other Federal And State Requirements ..................................................................................... 10 18. Local Requirements ................................................................................................................ 11 PART III - MONITORING AND REPORTING REQUIREMENTS ......................................................................... 1. Monitoring ............................................................................................................................. 11 2. Fiscal Reporting Responsibilities………………………………………………………………….…………………………………………..11 3. Audits ................................................................................................................................... 11 PART IV – RECORDKEEPING REQUIREMENTS ............................................................................................ 1. Program Records and Inspections ............................................................................................. 12 2. Financial Records ................................................................................................................... 13 3. Records Of Program Operations, Management And Evaluation ...................................................... 13 4. Procurement Records .............................................................................................................. 13 5. Nondiscrimination And Equal-Opportunity Records ..................................................................... 13 6. Conflict Of Interest ................................................................................................................. 14 7. Verification Of Subcontractor’s Eligibility .................................................................................... 14 7 MOU, Kent & RFA EMPG E16-108 1 PART I - GENERAL CONDITIONS 1. SCOPE OF MOU The agreement between the parties shall consist of this MOU and its signature page; the recitals page; the general conditions and any special conditions; the federal, state and local program requirements; the monitoring and reporting requirements; the recordkeeping requirements; each and every project exhibit, appendix, and attachment incorporated into the MOU; all matters and laws incorporated by reference herein; and any written amendments made according to the general conditions. This MOU supersedes any and all former agreements applicable to projects attached as Exhibits to this MOU. 2. SCOPE OF PROJECT The RFA shall use the funds provided herein only to perform the activities authorized by this MOU and as set forth in the Washington State Military Department Grant Agreement No. E16-108 (Grant Agreement), which is attached as Exhibit A and incorporated by this reference. This MOU may be amended in writing from time to time, in accordance with the general conditions, for the purpose of adding new projects, amending the scope of work, or for any other lawful purpose. 3. PURPOSE AND PRIMARY OBJECTIVE The purpose of the Grant Agreement (Exhibit A) is to provide U.S. Department of Homeland Security (DHS) Emergency Management Performance Grant (EMPG) funds to local jurisdictions and tribes with emergency management programs to support and enhance those programs as described in the 15EMPG Work Plan (Exhibit C of the Grant Agreement). Pursuant to Section III Purpose of the Interlocal Agreement for the Division of Services Resulting from the Formation of the Kent Fire Department Regional Fire Authority, the RFA performs the following services on behalf of the City: Fire Prevention, Emergency Management, and Fire Investigation Services. Further, Exhibit C Office of Emergency Management of the Interlocal Agreement requires the RFA to apply for and manage all disaster recovery grants, Emergency Performance Grants, and other public assistance grants. Emergency Management Performance Grants (EMPG) can only be awarded to cities, counties and tribes with emergency management programs. Therefore, the RFA is not eligible to receive Emergency Performance Grants (EMPG) directly from the Washington State Military Department. Because the RFA administers the City’s emergency management program, the City is providing the EMPG funds received pursuant to the Grant Agreement to the RFA. 8 MOU, Kent & RFA EMPG E16-108 2 4. COMMENCEMENT AND TERMINATION OF MOU This MOU will commence on June 1, 2015 1 and will terminate on August 31, 2016, unless otherwise extended in writing through an amendment to the Grant Agreement. No work on a project funded by this MOU shall occur prior to June 1, 2015. The RFA shall take all necessary precautions and shall be responsible for the safety of its employees, agents, and subcontractors in the performance of the contract work and shall utilize all protection necessary for that purpose. Costs incurred prior to start date of this MOU will not be reimbursed. This MOU is contingent upon the availability of funds to be allocated through federal appropriations. Therefore, should funds to support RFA’s services not be made available through anticipated federal appropriations, this MOU shall immediately terminate without risk or liability to the City and without obligation to disburse funds or to reimburse RFA any funds expended in anticipation of funding availability. All work shall be done at RFA’s own risk, and RFA shall be responsible for all losses associated with services provided before the City issues its written notice to proceed. All acts consistent with the authority of the MOU and prior to the date of the MOU’s execution are hereby ratified and affirmed, and the terms of this MOU shall be deemed to have applied. 5. ADMINISTRATION A. The RFA shall appoint a liaison person who shall be responsible for overall administration of EMPG funded project(s) and coordination with the City's Finance Department. The person appointed shall be designated in Exhibit B, which is attached and incorporated by this reference. The RFA shall also designate one or more representatives who shall be authorized to submit the A- 19 Invoice Form and completed Reimbursement Spreadsheet (in the format provided by the Washington State Military Department) detailing the expenditures for which reimbursement is sought, which are established through the Grant Agreement. B. The RFA shall provide ten (10) days written notice to the City of any changes in program personnel as established through this MOU and Article I Key Personnel of the Grant Agreement. 6. COMPENSATION AND METHOD OF PAYMENT A. The City shall reimburse the RFA only for eligible costs allowed pursuant to, and in an amount not to exceed the amount specified, in the Grant Agreement, and according to the procedures developed by the City of Kent. Reimbursement 1 Any work performed in conformance with this MOU prior to the date of signing, but no earlier than June 1, 2015, is hereby ratified. 9 MOU, Kent & RFA EMPG E16-108 3 shall be based on the A-19 Invoice Form, and completed Reimbursement Spreadsheet, which shall be submitted to the Military Department by the RFA's authorized representative. B. The RFA shall submit an A-19 Invoice Form and completed reimbursement no later than the due dates listed within the Timeline (Exhibit D of the Grant Agreement), but not more frequently than monthly. The City reserves the right to demand and recover reimbursements made for ineligible costs. 7. ELIGIBLE COSTS A. All costs incurred must be reasonable, necessary and of a nature which clearly relate to the specific purposes and end product of the Grant Agreement under which the services are being performed. Care must be taken by all concerned in incurring costs to assure that expenditures conform to these general standards and the following criteria for eligibility of costs. B. To be eligible for reimbursement, costs must: (1) Conform to the terms and conditions of the Grant Agreement; (2) Be necessary and reasonable for proper and efficient execution of the contractual requirements and in accordance with an approved budget; (3) Be no more liberal than policies, procedures, and practices applied uniformly to other activities of the RFA; (4) Be accorded consistent treatment through application of account policy and procedures approved and/or prescribed herein; (5) Not be allowable under or included as costs of any other federal, state, local or other RFA-financed programs in either prior or current periods; (6) Be net of all applicable credits such as purchase discounts, rebates or allowances, sales of publication or materials, or other income or refunds; and (7) Be fully documented. 8. OPERATING BUDGET The RFA shall apply the funds received from the City under this MOU in accordance with Exhibit E Budget of the Grant Agreement. 9. AMENDMENTS Either party may request modifications in the scope of permissible activities, terms, or conditions of this MOU. Proposed modifications which are mutually agreed upon shall be incorporated by a written amendment to this MOU. Subsequent to the execution of this MOU, it may be amended in recognition of EMPG grant agreements accepted by the City. These amendments, if any, will be routed to the Mayor and Fire Chief for approval and do not require approval by either the Kent City Council or the Kent Fire Department Regional Fire Authority Governance Board. 10 MOU, Kent & RFA EMPG E16-108 4 10. ASSIGNMENT AND SUBCONTRACTING A. The RFA shall not assign any portion of this MOU without the written consent of the City, and it is further agreed that said consent must be sought by the RFA not less than fifteen (15) days prior to the date of any proposed assignment. B. Any work or services assigned or subcontracted hereunder shall be subject to each provision of this MOU and proper bidding procedures to the extent herein. 11. HOLD HARMLESS AND INDEMNIFICATION A. The RFA agrees that it is financially responsible and liable to the City for any audit exception or other financial loss to the City which occurs due to the RFA's negligence or failure to comply with the terms of this MOU unless such audit exception or other financial loss is the result of the City’s negligence or failure to comply with the terms of this MOU in which case the City shall be financially responsible for such audit exception or other financial loss. B. The RFA further agrees to defend, indemnify, and hold the City, its elected and appointed officials, agents, and employees, while acting within the scope of their duties as such, harmless from and against all claims, demands, and causes of action of any kind or character, including the cost of defense thereof, arising in favor of any person(s), including RFA's employees or third parties on account of personal injuries, death, or damage to property arising out of services performed or omissions of services or in any way resulting from the acts or omissions of the RFA and/or its agents, employees, volunteers, subcontractors, or representatives under this MOU. C. The City further agrees to defend, indemnify, and hold the RFA, its elected and appointed officials, agents, and employees, while acting within the scope of their duties as such, harmless from and against all claims, demands, and causes of action of any kind or character, including the cost of defense thereof, arising in favor of any person(s), including City’s employees or third parties on account of personal injuries, death, or damage to property arising out of services performed or omissions of services or in any way resulting from the acts or omissions of the City and/or its agents, employees, volunteers, subcontractors, or representatives under this MOU. 12. PROJECT CLOSE-OUT The RFA acknowledges and agrees that the amounts set forth in the Grant Agreement shall be used only to reimburse the RFA for eligible costs incurred by the RFA during the period set forth in said Grant Agreement and that upon expiration of such period, or upon earlier termination pursuant to this MOU, the RFA shall have no interest in any said amount which is not required to reimburse the Agency for eligible costs incurred before such expiration or earlier termination. 11 MOU, Kent & RFA EMPG E16-108 5 13. INSURANCE The RFA shall maintain insurance in the types and amounts set forth in Exhibit C, which is attached and incorporated by this reference. 14. CONFLICT OF INTEREST A. Interest of Officers, Employees, or Agents - No officer, employee, or agent of the City or RFA who exercises any functions or responsibilities in connection with the planning and carrying out of the City EMPG program or the RFA's project, or any other person who exercises any functions or responsibilities in connection with the City’s Finance Department, shall have any personal financial interest, direct or indirect, in the MOU, and the City and RFA shall take appropriate steps to assure compliance. B. Interest of Subcontractor and Their Employees - The RFA agrees that it will incorporate into every contract or subcontract, which is required to be in writing and made pursuant to this MOU, the following provisions: The Contractor covenants that no person who presently exercises any functions or responsibilities in connection with the City EMPG program has any personal financial interest, direct or indirect, in this MOU. The Contractor further covenants that he/she presently has no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance of his/her services hereunder. The Contractor further covenants that in the performance of this MOU, no person having any conflict of interest shall be employed. Any actual or potential conflict of interest on the part of the Contractor or his/her employees must be disclosed to the RFA and the City. 15. SUSPENSION AND TERMINATION OF MOU A. Suspension for Failure to Perform - In the event of a failure to comply with any terms or conditions of this MOU or failure to provide in any manner the activities or other performance as agreed to herein, the City reserves the right to withhold all or any part of payment, suspend all or any part of the MOU, or prohibit the RFA from incurring additional obligations of funds until the City is satisfied that corrective action has been taken or completed. The option to withhold funds is, in addition to and not in lieu of, the City's right to terminate the MOU pursuant to Paragraph (B) of this Section 15. B. Termination of MOU by the City - This MOU is subject to termination upon thirty (30) days written notice by the City to the Agency in the event that: (1) The RFA mismanages or makes improper or unlawful use of EMPG funds; (2) The RFA fails to comply with any term or condition expressed herein or any applicable federal, state, or local regulations or ordinances; 12 MOU, Kent & RFA EMPG E16-108 6 (3) EMPG funds no longer become available from the federal government or through the City; (4) The RFA fails to carry out activities required by this MOU; or (5) The RFA fails to submit reports or submits incomplete or inaccurate reports in any material respect. C. Termination of MOU by the RFA - This MOU is subject to termination upon thirty (30) days written notice by the RFA to the City in the event that: (1) The City fails in its commitment under this MOU to provide funding for services rendered, as herein provided; or (2) EMPG funds no longer become available from the federal government or through the City. D. Unless otherwise terminated pursuant to Paragraphs (B) and (C) of this Section 15, this MOU shall terminate on the termination date specified in Part 1 Section 1 of the MOU and shall be subject to extension only by mutual agreement and amendment in accordance with Part I, Section 9 of this MOU. E. Upon termination of this MOU, any unexpended balance of Grant Agreement funds shall remain with the City. F. In the event termination occurs under Paragraph (B) of this Section 15, the RFA shall return to the City all funds that were expended in violation of the terms of this MOU, if any, including, but not limited to, any unexpended EMPG funds distributed to the RFA under this MOU, any accounts receivable, or any assets or interests therein of any type and in any form acquired, leased, or rehabilitated with EMPG monies. PART II - FEDERAL, STATE, AND LOCAL PROGRAM REQUIREMENTS 1. NONDISCRIMINATION A. General – The RFA shall comply with all federal, state, and local laws, regulations, and policies. No person shall, on the grounds of age, race, creed, color, sex, sexual orientation, religion, national origin, marital status, honorably discharged veteran or military status, or disability (physical, mental, or sensory) be denied the benefits of, or otherwise be subjected to discrimination under any project, program, or activity, funded, in whole or in part, under the Grant Agreement. B. Specific Discriminatory Actions Prohibited: (1) The RFA shall not, under any program or activity to which this MOU may apply, directly or through contractual or other arrangements, on the grounds of age, sex, marital status, race, creed, religion, color, national origin, or the presence of any sensory, mental, or physical handicap: 13 MOU, Kent & RFA EMPG E16-108 7 i. Deny any person facilities, services, financial aid, or other benefits provided under the program or activity. ii. Provide any person with facilities, services, financial aid, or other benefits which are different, or are provided in a form different, from that provided to others under the program or activity. iii. Subject any person to segregated or separate treatment in any facility or in any matter or process related to receipt of any service or benefit under the program or activity. iv. Restrict in any way access to or enjoyment of any advantage or privilege enjoyed by others in connection with facilities, services, financial aid, or other benefits under the program or activity. v. Treat any person differently from others in determining whether the person satisfies any admission, enrollment, eligibility, membership, or other requirement or condition which individuals must meet in order to be provided facilities, services, or other benefits provided under the program or activity. vi. Deny any person any opportunity to participate in a program or activity as an employee. (2) The RFA shall not utilize criteria or methods of administration which have the effect of subjecting individuals to unlawful discrimination on the basis of age, race, creed, color, sex, sexual orientation, religion, national origin, marital status, honorably discharged veteran or military status, or disability (physical, mental, or sensory). C. Employment: (1) In all solicitations under this MOU, the RFA shall state that all qualified applicants will be considered for employment. The words "equal opportunity employer" in advertisements shall constitute compliance with this section. (2) The RFA shall not unlawfully discriminate against any employee or applicant for employment in connection with the MOU because of age, sex, marital status, race, creed, religion, color, national origin, or the presence of any sensory, mental, or physical handicap, except when there is a bona fide occupational limitation. Such action shall include, but not be limited to the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training (Chapter 49.46 RCW, Executive Order 11246, as amended). (3) The RFA shall not unlawfully discriminate against any employee or applicant for employment in connection with the MOU because of age, race, creed, color, sex, sexual orientation, religion, national origin, marital status, honorably discharged veteran or military status, or disability (physical, mental, or sensory). D. Contractors and Suppliers: 14 MOU, Kent & RFA EMPG E16-108 8 (1) No contractor, subcontractor, union, or vendor engaged in any activity under this MOU shall engage in any unlawful discrimination as defined in any federal, state, or local law. (2) EMPG funds shall not be used directly or indirectly to employ, award contracts to, or otherwise engage the services of, or fund any contractor or sub-recipient during any period of debarment, suspension, or placement in ineligibility status. 2 CFR Part 180 and Federal Executive Orders 12549 and 12689. E. Notice: The RFA shall include the provisions of the appropriate subsections A, B, C, D, and E of this Part II, Section 1 in every contract or purchase order for goods and services under this MOU, and shall send to each labor union or representative of workers with which it has a collective bargaining agreement or other contract or understanding, a notice advising the said labor union or worker's representative of the commitments made in these subsections. 2. PROCUREMENT STANDARDS In awarding contracts pursuant to this MOU, the RFA shall comply with all applicable requirements of local and state law for awarding contracts, including but not limited to procedures for competitive bidding, contractor's bonds, and retained percentages (Ch. 60.28 RCW, Ch. 39.12 RCW, and Ch. 39.04 RCW). In addition, the RFA shall comply with the requirements of 44 CFR Part 13 Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments. Where federal standards differ from local or state standards, the stricter standards shall apply. 3. UNIFORM ADMINISTRATIVE REQUIREMENTS AND COST PRINCIPLES The RFA shall comply with the policies, guidelines, and requirements of OMB Circular Nos. A-102, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments (also known as “A-102 Common Rule” and are also located within Title 44 CFR Part 13), and OMB Circular A-87 Cost Principles for State, Local, and Indian Tribal Governments relocated to 2 CFR Part 225. 4. LABOR STANDARDS A. The RFA shall require that project construction contractors and subcontractors for contracts exceeding $2,000 awarded by the RFA pay their laborers and mechanics at wage rates in accordance with the Davis-Bacon Act, as amended (40 U.S.C. 276a through 276a-7), as supplemented by Department of Labor regulations (29 CFR Part 5). In addition to complying with these federal labor standards, the RFA shall further require that all project construction contractors comply with all applicable state and local public works bidding and contracting regulations, specifically including, without limitation, the prevailing wage 15 MOU, Kent & RFA EMPG E16-108 9 provisions set forth in Ch. 39.12 RCW and all regulations adopted by the State of Washington Department of Labor and Industries. B. The RFA shall require that project construction contractors and subcontractors comply with Federal Labor Standards Provisions and the Davis-Bacon wage determinations. For construction contracts, a copy of the Federal Labor Standards Provisions and the current Davis-Bacon wage determinations must be included in all construction bid specs and/or contracts over $2,000. 5. DATA UNIVERSAL NUMBERING SYSTEM Pursuant to 2 C.F.R. §25.100(a), the City is required to establish a Dun and Bradstreet (D & B) Data Universal Numbering System (DUNS) as a universal identifier in order to receive federal financial assistance. In addition, programs or subrecipients receiving subawards from the City shall establish a DUNS. 2 C.F.R. § 25.200(c)(1). The RFA shall provide its DUNS to the City. 6. ADMINISTRATIVE AND/OR FINANCIAL REQUIREMENTS The RFA will comply with all requirements as reflected in Article II Administrative And/Or Financial Requirements of the Grant Agreement. 7. REIMBURSEMENT/INVOICING PROCEDURES The RFA will comply with all requirements as reflected in Article II Administrative And/Or Financial Requirements of the Grant Agreement and Part I Section 6 Compensation And Method of Payment of the MOU. 8. REPORTING REQUIREMENTS The RFA will comply with all requirements as reflected in Article II Administrative And/Or Financial Requirements of the Grant Agreement and Part I Section 6 Compensation And Method of Payment of the MOU. 9. EQUIPMENT MANAGEMENT The RFA will comply with all requirements as reflected in Article II Administrative And/Or Financial Requirements of the Grant Agreement. 10. ENVIRONMENTAL AND HISTORICAL PRESERVATION The RFA will comply with all requirements as reflected in Article II Administrative And/Or Financial Requirements of the Grant Agreement. 11. PROCUREMENT The RFA will comply with all requirements as reflected in Article II Administrative And/Or Financial Requirements of the Grant Agreement. 16 MOU, Kent & RFA EMPG E16-108 10 12. NIMS COMPLIANCY The RFA will comply with all National Incident Management System (NIMS) requirements as reflected in Article II Administrative And/Or Financial Requirements of the Grant Agreement. 13. EMPG PROGRAM SPECIFIC REQUIREMENTS The RFA will comply with all requirements as reflected in Article II Administrative And/Or Financial Requirements of the Grant Agreement. 14. GENERAL TERMS AND CONDITIONS The RFA will comply with all General Terms and Conditions established through Exhibit B General Terms and Conditions of the Grant Agreement. 15. EMPG WORK PLAN The RFA will administer the EMPG award in accordance with the Work Plan established through Exhibit C 15EMPG Work Plan of the Grant Agreement. 16. PUBLIC INFORMATION A. In all news releases and other public notices related to projects funded under this MOU, the RFA shall include information identifying the source of funds as the City of Kent EMPG program. B. Pursuant to Exhibit B Part A.23 of the Grant Agreement, the RFA agrees to submit to the Washington Military Department prior to issuance all advertising and publicity matters relating to the Grant Agreement wherein the Department’s name is mentioned or language used from which the connection of the Department’s name may, in the Department’s judgment, be inferred or implied. The RFA agrees not to publish or use such advertising and publicity matters without the prior written consent of the Department. C. The RFA acknowledges that this MOU and any other information provided by it to the City and/or relevant to the project(s) described in the Exhibit(s), are subject to the Washington State Public Disclosure Act, Chapter 42.56 RCW, except to the extent specifically exempted from disclosure therein. 17. OTHER FEDERAL AND STATE REQUIREMENTS The absence of mention in this MOU of any other federal or state requirements, which apply to the award and expenditure of federal funds made available by this MOU, is not intended to indicate that those federal or state requirements are not applicable to RFA activities. The RFA shall comply with all other federal and state requirements relating to the expenditure of federal funds, including but not limited to the Hatch Act (5 U.S.C. § 15) regarding political activities and the Architectural Barrier Act of 1968 (42 U.S.C. § 4151, et seq.). 17 MOU, Kent & RFA EMPG E16-108 11 18. LOCAL REQUIREMENTS The activities performed under this MOU are for the purposes of serving residents of the RFA service area and the RFA shall, to the extent reasonably possible, not use said funds to provide services outside the RFA service area, or for any other purpose, except as specifically authorized by this MOU. III - MONITORING AND REPORTING REQUIREMENTS 1. MONITORING Article II Administrative And/Or Financial Requirements Part 7 Subrecipient Monitoring of the Grant Agreement reflects that the Military Department will monitor the activities of the Sub-grantee from award to close-out. The RFA understands and agrees that it will be monitored by the City and the Military Department from time to time to assure compliance with all terms and conditions of this MOU and all applicable local, state, and federal laws, regulations, and promulgated policies. Monitoring by the City under this MOU may include, but not be limited to on-site inspections by City staff. The City reserves the right to contract with another local government or other contracting party to perform this service. The RFA shall provide to the City a copy of any Military Department monitoring report no later than thirty (30) days after the issuance of the report to the RFA. The RFA shall provide to the City its response and corrective action plan for all areas of concern contained in the monitoring report. 2. FISCAL REPORTING RESPONSIBILITIES The RFA shall provide fiscal statements or reports as may be required from time to time by the City, which statements or reports, or both, must indicate the status of all accounts and funds being used to perform under this MOU. The RFA shall maintain proper documentation and records of all expenditures incurred pursuant to the terms of this MOU in a manner as will facilitate auditing by the Department of Homeland Security, the Washington Military Department, and/or the City. 3. AUDITS A. If the RFA expends a total of $500,000 or more in federal financial assistance and has received federal financial assistance from the City during its fiscal year, it shall have an independent audit conducted of its financial statement and conditions, which shall comply with the requirements of generally accepted auditing standards (GAAS); General Accounting Office (GAO’s) Standards for Audits of Governmental Organizations, Programs, Activities, and Functions; and OMB Circular A-133, as amended, and as applicable. Such audits are to be performed by the Washington State Auditor’s Office (SAO). 18 MOU, Kent & RFA EMPG E16-108 12 The RFA shall provide a copy of the audit report to the City no later than thirty (30) days after the audit’s completion or six (6) months subsequent to the end of the RFA’s fiscal year, whichever date is sooner. The RFA shall provide to the City its response and corrective action plan for all findings and reportable conditions contained in its audit. When reference is made in its audit to a Management Letter or other correspondence made by the auditor, the RFA shall provide copies of those communications and the RFA’s response and corrective actions plan. B. The Catalog of Federal Domestic Assistance (CFDA) number for the EMPG program is 97.042. PART IV – RECORDKEEPING REQUIREMENTS 1. PROGRAM RECORDS AND INSPECTIONS The RFA shall make, maintain, and preserve books and records, of whatever form, detailing all EMPG-related expenditures and costs incurred by the RFA. All such books and records shall be made available to representatives of the City or the Military Department, or both, for formal inspection and, where necessary, copying. Intentional noncompliance with this provision shall constitute a material breach of this MOU. Throughout the term of this MOU, the RFA shall establish and maintain current the records described in this Section. These records shall conform to the requirements and specifications of their individual source authorities, which are cited herein. Be advised that the listing in this Section is intended only to assist the RFA in identifying the required records and their respective authorities, and is not all inclusive. A. Time for Retention of Records - Except where otherwise specifically provided, all records as of the end of the term of this MOU shall be kept in an accessible file for at least six (6) years following final payment and closure of the grant under the Grant Agreement. B. Contract and Amendments - A complete copy of this MOU and all amendments thereto and notices there under. C. Records of City Approvals - Copies of all requests for amendments or revisions to this MOU and the City’s subsequent approval or denial of such requests as are required under this MOU. D. Subcontracts and Agreements - Complete copies of all contracts, subcontracts, and agreements with third parties into which the RFA enters in the performance under this MOU; and all correspondence, reports, and other documentation pertaining to such contracts, subcontracts, and agreements. E. Additional Contract Requirements - The RFA shall submit to the City a copy of the most recent independent financial audit and a current list of the RFA’s board of directors. 19 MOU, Kent & RFA EMPG E16-108 13 2. FINANCIAL RECORDS The RFA shall maintain all accounting records that accurately record the source and application of all funds; and recording funds received under this MOU, all other receipts, assets, authorizations and appropriations, obligations, disbursements and unobligated balances. The records must: A. Permit comparison of actual outlays with budgeted amounts; B. Permit reporting of financial data on the accrual basis; C. Be supported by source documentation; D. Be independently audited usually annually, but not less frequently than every two years. 3. RECORDS OF PROGRAM OPERATIONS, MANAGEMENT AND EVALUATION The RFA shall maintain all records of: A. Operating policies and procedures; B. Employee qualifications, training, and evaluation; C. Principal operations data: work units completed; clients served, classified by client and service characteristics; staff hours utilized; etc. D. Self-evaluation of services, programs, and employment practices for compliance with 504 and ADA requirements. 4. PROCUREMENT RECORDS The RFA shall maintain all records of: A. RFA's adopted code of conduct governing officers' and employees' actions in contracting and purchasing; B. RFA's standard operating procedures for authorizing and executing purchases and contract procurements of various sizes and types. C. RFA’s individual purchases or contracts over $10,000 as required by 44 CFR Part 13, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments. D. RFA’s procurement procedures utilized and the bases for supplier selection/contract award, for individual purchases or contracts over $10,000. 5. NONDISCRIMINATION AND EQUAL-OPPORTUNITY RECORDS The RFA shall maintain: A. A tabulation of all RFA employees classified by race, position, and salary in the format of the U.S. Equal Employment Opportunity Commission Form EEO-4. B. Data identical to that required under A. and B. above for any subcontractor or agent employed in the performance under this MOU. 20 MOU, Kent & RFA EMPG E16-108 14 C. Documentation of all substantive actions taken to assure that no prohibited discrimination occurs in the conduct of any of the RFA's operations. D. Documentation of all actions taken to make minority residents aware of the RFA's services and provide them with equal access to benefits. E. Record of the racial classification and gender of the majority owners of each private for-profit business with which the RFA contracts with any funds provided under this MOU. 6. CONFLICT OF INTEREST A. The RFA shall maintain records documenting that all RFA board members, officers, employees and consultants have been informed of the conflict of interest provisions of Exhibit B Part A.9 of the Grant Agreement and have acknowledged understanding those provisions. B. The RFA shall maintain a complete record of all requests for exceptions submitted under the Grant Agreement. 7. VERIFICATION OF SUBCONTRACTOR’S ELIGIBILITY The RFA shall maintain records documenting that the RFA, all subcontractors, and consultants have been determined not to be currently debarred, suspended, denied participation or declared ineligible to participate in federal government funded programs. 21 MOU, Kent & RFA EMPG E16-108 15 KENT FIRE DEPARTMENT REGIONAL FIRE AUTHORITY: Sign in blue or black ink only __________ Print Name: Jim Schneider ______ Title: Fire Chief _____________ DATE: _____ CITY OF KENT: _____ Print Name: Suzette Cooke Title: Mayor _____ DATE: _____ APPROVED AS TO FORM: Kent Law Department 22 MOU, Kent & RFA EMPG E15-135 EXHIBIT A MEMORANDUM OF UNDERSTANDING Grant Agreement EMPG Grant Agreement Number E16-108 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 MOU, Kent & RFA EMPG E16-108 EXHIBIT B MEMORANDUM OF UNDERSTANDING Appointment of Liaison EMPG Grant Agreement Number E16-108 The Kent Fire Department Regional Fire Authority appoints the following person as the liaison for the Memorandum of Understanding between the City and the Kent Fire Department Regional Fire Authority; this person shall be responsible for overall administration of the EMPG funded program: Liaison: _Jennifer Keizer Emergency Management Specialist 70 MOU, Kent & RFA EMPG E16-108 EXHIBIT C INSURANCE REQUIREMENTS FOR EPMG SUB-AWARD AGREEMENT Insurance The RFA shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the RFA, their agents, representatives, employees or subcontractors. A. Minimum Scope of Insurance RFA shall obtain insurance of the types described below: 1. Commercial General Liability insurance shall be written on ISO occurrence form CG 00 01 or its equivalent, with minimum limits of $3,000,000 per occurrence and in the aggregate for each 1 year policy period. This coverage may be any combination of primary, umbrella or excess liability coverage affording total liability limits of not less than $3,000,000 per occurrence and in the aggregate. Products and Completed Operations coverage shall be provided for a period of 3 years following Substantial Completion of the work. The Commercial General Liability insurance shall be endorsed to provide the Aggregate per Project Endorsement ISO form CG 25 03 11 85. The City shall be named as an Additional Insured under the Contactor’s Commercial General Liability insurance policy with respect to the work performed for the City. All endorsements adding Additional Insureds shall be issued on form CG 20 10 11 85 or a form deemed equivalent, providing the Additional Insureds with all policies and endorsements set forth in this section. 2. Automobile Liability insurance covering all owned, non-owned, hired and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 3. Workers’ Compensation coverage as required by the Industrial Insurance laws of the State of Washington. B. Minimum Amounts of Insurance RFA shall maintain the following insurance limits: 1. Commercial General Liability insurance shall be written with minimum limits of $3,000,000 per occurrence and in the aggregate for each 1 year policy period. This coverage may be any 71 MOU, Kent & RFA EMPG E16-108 EXHIBIT C (Continued) combination of primary, umbrella or excess liability coverage affording total liability limits of not less than $3,000,000 per occurrence and in the aggregate. Products and Completed Operations coverage shall be provided for a period of 3 years following Substantial Completion of the work. 2. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of $1,000,000 per accident. C. Other Insurance Provisions The insurance policies are to contain, or be endorsed to contain, the following provisions for Automobile Liability and Commercial General Liability: 1. The RFA’s insurance coverage shall be primary insurance as respect the City. Any insurance, self-insurance, or insurance pool coverage maintained by the City shall be excess of the RFA’s insurance and shall not contribute with it. 2. The RFA’s insurance shall be endorsed to state that coverage shall not be cancelled by either party, except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to the City. 3. The City of Kent shall be named as an additional insured on all policies (except Professional Liability) as respects work performed by or on behalf of the RFA and a copy of the endorsement naming the City as additional insured shall be attached to the Certificate of Insurance. The City reserves the right to receive a certified copy of all required insurance policies. The RFA’s Commercial General Liability insurance shall also contain a clause stating that coverage shall apply separately to each insured against whom claim is made or suit is brought, except with respects to the limits of the insurer’s liability. D. RFA’s Insurance for Other Losses The RFA shall assume full responsibility for all loss or damage from any cause whatsoever to any tools, RFA’s employee owned tools, machinery, equipment, or motor vehicles owned or rented by the RFA, or the RFA’s agents, suppliers or contractors as well as to any temporary structures, scaffolding and protective fences. 72 MOU, Kent & RFA EMPG E16-108 EXHIBIT C (Continued) E. Waiver of Subrogation The RFA and the City waive all rights against each other any of their Subcontractors, Sub-subcontractors, agents and employees, each of the other, for damages caused by fire or other perils to the extend covered by Builders Risk insurance or other property insurance obtained pursuant to the Insurance Requirements Section of this Contract or other property insurance applicable to the work. The policies shall provide such waivers by endorsement or otherwise. F. Acceptability of Insurers Insurance is to be placed with insurers with a current A.M. Best rating of not less than A:VII. G. Verification of Coverage RFA shall furnish the City with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the Automobile Liability and Commercial General Liability insurance of the RFA before commencement of the work. H. Subcontractors RFA shall include all subcontractors as insureds under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the same insurance requirements as stated herein for the RFA. 73 This page intentionally left blank 74 Kent Council Operations Committee Consolidating Budget Adjustment FINANCE Aaron BeMiller, Director Phone: 253-856-5260 Fax: 253-856-6255 Address: 220 Fourth Avenue S. Kent, WA. 98032-5895 DATE: February 16, 2016 TO: Kent City Council Operations Committee FROM: Aaron BeMiller, Finance Director SUBJECT: Director’s Report MOTION: No motion: Non-action item SUMMARY: The Finance Director will report out financial or operational item(s). BUDGET IMPACT: BACKGROUND: 75