CONTRACT 5914 Grant AgreementAgreement No. 5914
COUNTY OF LOS ANGELES
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
HOME INVESTMENT PARTNERSHIPS PROGRAMS
PARTICIPATING CITY
COOPERATION AGREEMENT
This Agreement is being entered into on this 18th day o f June 2020 ,, to be effective
on the 1' day of July 2021, by and between the City of El Segundo, hereinafter referred to as
"City," and the County of Los Angeles, by and through the Executive Director of the Los Angeles
County Development Authority, hereinafter referred to as "County" and shall remain in effect for
the three-year qualification period through the 30th day of June 2024. After this date, this
Agreement provides for automatic renewal of participation in successive three-year qualification
periods, unless the County, or the City provides written notice it elects not to participate in a new
qualification period.
WITNESSETH THAT:
WHEREAS, in 1974, the U.S. Congress enacted and the President signed a law entitled,
the Housing and Community Development Act of 1974, as amended, herein called the "Act;" and
WHEREAS, County and City desire to cooperate to undertake, or assist in undertaking,
community development, community renewal of lower income housing assistance activities,
specifically urban renewal and publicly assisted housing, including, but not limited to, the
improvement or development of housing for persons of low- to moderate -incomes, and other
community or urban renewal activities authorized by the Act, the Cranston -Gonzalez National
Affordable Housing Act (NAHA), and the U.S. Housing Act of 1937, as amended;
WHEREAS, the Community Development Block Grant (CDBG) Program, the HOME
Investment Partnerships (HOME) Program, and the Emergency Solutions Grant (ESG) Program
are required to have an approved comprehensive housing strategy as authorized under NAHA;
WHEREAS, the County has requested of the U.S. Department of Housing and Urban
Development, hereinafter referred to as "HUD," that the County be designated as an "Urban
County;"
WHEREAS, the City desires to participate with the County in said program;
WHEREAS, as the Urban County designee, the County will take responsibility and assume
all obligations of an applicant under federal statues, including: the analysis of needs, the setting
of objectives, the development of community development and housing assistance plans, the
consolidated plan, and the assurances of certifications;
WHEREAS, the terms and provisions of this Agreement are fully authorized under State
and local law, and this Agreement provides full legal authority for the County, by and through its
agents and instrumentalities including the Los Angeles County Development Authority, herein
referred as "County," to undertake, or assist in undertaking, essential community development and
housing assistance activities, specifically urban renewal and publicly assisted housing; and
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Agreement No. 5914
WHEREAS, by executing this Agreement, the parties hereby give notice of the intention
to participate in the Urban County CDBG Program.
NOW, THEREFORE, the parties agree as follows;
1. The City hereby authorizes the County to perform, or cause to be performed, those
acts necessary or appropriate to implement the community development and
housing assistance activities, specifically urban renewal and publicly assisted
housing, including, but not limited to, improvement or development of housing for
persons of low- to moderate -income, and other community or urban renewal
activities authorized under the Act specified for the City in the County's
Consolidated Plan which will be funded from annual CDBG and applicable HOME
Programs from Federal annual appropriations and from any program income
generated from the expenditure of such funds. County shall have final authority
and responsibility for selecting projects and annually filing its Final Housing and
Community Development Plan with HUD.
In the event this Agreement extends into succeeding fiscal years and funds have not
been appropriated, this Agreement will automatically terminate as of June 30 of the
then current fiscal year. The County will endeavor to notify the City in writing
within ten (10) days of receipt of non -appropriation notice.
2. This Agreement covers the following formula funding programs administered by
HUD where the County is awarded and accepts funding directly from HUD: The
CDBG Entitlement Program, the HOME Program and the ESG Program.
In executing this Agreement, the City understands that it shall not be eligible to
apply for grants under the Small Cites or State CDBG Programs for appropriations
for fiscal years during the period in which the City is participating in the Urban
County CDBG entitlement program; and further, the City shall not be eligible to
participate in the HOME and ESG programs except through the Urban County.
4. The City may participate in a HOME Program only through the County. Thus,
even if the County does not receive a HOME formula allocation, the City cannot
form a HOME consortium with other local governments.
The term of this Agreement shall commence on July 1, 2021, the beginning date
of the first year of the new Urban County Qualification Period, which will end on
June 30, 2024. After this three (3) year Qualification Period ends, this Agreement
will automatically renew for another period of three (3) years, unless the City
provides written notice at least 60 days prior to the end of the term that it elects not
to participate in a new qualification period. A copy of that notice must be sent to
the HUD Field Office. Towards the end of the three-year term, the County will
notify the City in writing of its right not to participate in the Urban County for a
successive three-year term.
The parties agree to adopt amendments to this Agreement incorporating changes
necessary to meet the requirements for cooperation agreements set forth in the
Urban County Qualification Notice by HUD, prior to the subsequent three-year
extension of the term. Any amendment to this Agreement shall be submitted to
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Agreement No. 5914
HUD as required by the regulations and any failure to adopt required amendments
will void the automatic renewal of the Agreement for the subsequent three-year
term.
This Agreement shall be effective for the period of time required for the expenditure
of all CDBG and/or applicable HOME funds allocated to the City under this
Agreement and appropriations from any program income therefrom and for the
completion of the funded activities. The County and City agree that they cannot
terminate or withdraw from this Agreement while it remains in effect.
The City and the County agree to cooperate to undertake, or assist in undertaking,
community renewal and lower income housing assistance activities, specifically
urban renewal and publicly assisted housing, including, but not limited to, the
improvement or development of housing for persons of low- to moderate -incomes,
and other community or urban renewal activities authorized by the Act.
The City and the County in the performance of this Agreement shall take all actions
necessary or appropriate to assure compliance with the Urban County's certification
under Section 104 (b) of Title I of the Act, as amended, regarding Title VI of the
Civil Rights Act of 1964; the Fair Housing Act and affirmatively furthering fair
housing as cited in 24 CFR 91.225(a); Section 109 of Title I of the Act, which
incorporates Section 504 of the Rehabilitation Act of 1973; the Age Discrimination
Act of 1975, and all other applicable laws and regulations.
Urban County funding is prohibited for activities in, or in support of, any City that
does not affin-natively further fair housing within its local jurisdiction or that
impedes the County's action to comply with the Fair Housing Certification.
The City and County agree that CDBG and HOME funding is prohibited for any
activities in or in support of any cooperating City that do not affirmatively further
fair housing within its own jurisdiction or that impede the County's action to
comply with its fair housing certification.
Pursuant to 24 CFR 570.501 (b), the City is subject to all requirements applicable
to subrecipients, including the requirement of a written agreement as set forth in 24
CFR 570.503.
The City shall report to the County of any income generated by the use of CDBG
or HOME funds received by the City. Any such program income must be remitted
to the County within 30 days of receipt if applicable. Such program income may
be used for eligible activities in accordance with all CDBG and HOME
requirements as may then apply.
10. The County shall be responsible for monitoring and reporting to HUD on the use
of any program income; therefore, the City shall be required to maintain appropriate
record keeping and reporting for this purpose.
11. The City may not sell, trade or otherwise transfer all or any portion of CDBG funds
to another metropolitan city, urban county, unit of general local government, or
Indian tribe, or insular area that directly or indirectly receives CDBG funds in
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exchange for any other funds, credits or non -Federal consideration, but must use
such funds for activities eligible under title I of the Housing and Community Act
of 1974.
12. In the event of grant close-out or termination of this Agreement, any program
income that is on hand or received subsequent to the close-out or change in status
shall be paid to the County within 60 days after grant closeout.
13. All program income generated from the disposition or transfer of real property
acquired or improved by the City, using CDBG and/or HOME funds or program
income, during the term of this Agreement, shall be subject to all the terms and
conditions of this Agreement, particularly Sections 6 through 11.
14. Any real property which is acquired or improved by the City during the term of this
Agreement, in whole or in part, using CDBG and/or HOME funds or program
income in excess of $25,000, shall be subject to the following standards:
a. The County shall be notified by the City in writing of any modification or
change in the use or disposition of such real property from that planned at
the time of the acquisition or improvement. Such notification shall be made
prior to the modification, change in use or disposition.
b. If such real property is sold within five (5) years or transferred for a use
which does not qualify as an eligible activity under CDBG and/or HOME
regulations, the City shall reimburse to the County an amount equal to the
pro-rata share of the current fair market value of the property or proceeds
from the sales. The pro-rata share shall be calculated by multiplying the
current market value by the percentage of the purchase price paid with
CDBG funds or program income.
15, The City shall make available for inspection and audit to County's and HUD's
representatives, upon request, at any time during the duration of this Agreement
and for a period of five (5) years, thereafter, all of its books and records relating to
CDBG and HOME program activities and income.
16. Following the end of the three-year reimbursable contract period and after resolving
any financial or programmatic findings, if a City elects to leave the Los Angeles
County Grant Program, and is not eligible to become an entitlement City, the City
will be unable to request that its allocation or any remain mg balance be transferred
to the City. Any remaining balance will be transferred to the funding pool of the
Supervisorial District in which the City is located.
17. The City has adopted and is enforcing:
a. A policy prohibiting the use of excessive force by law enforcement agencies
within its jurisdiction against any individuals engaged in non-violent civil
rights demonstrations; and
b. A policy of enforcing applicable State and local laws against physically
barring entrance to or exit from a facility or location which is the subject of
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such non-violent civil rights demonstrations within its jurisdiction.
18. The City shall provide a drug -free workplace by:
a. Publishing a statement notifying employees that the unlawful manufacture,
distribution, dispensing, possession, or use of a controlled substance is
prohibited in the City's workplace and specifying the actions that will be
taken against employees for violation of such prohibition.
b. Establishing an ongoing drug -free awareness program to inform employees
about:
The dangers of drug abuse in the workplace;
ii The City's policy of maintaining a drug -free workplace;
iii Any available drug counseling, rehabilitation, and employee
assistance programs; and
iv The penalties that may be imposed upon employees for drug abuse
violations occurring in the workplace.
C. Making it a requirement that each employee to be engaged in the
performance of the grant be given a copy of the statement required by
paragraph "a" of this Section 18.
d. Notifying the employee in the statement required by paragraph "a" of this
Section 18 that, as a condition of employment funded by the CDBG and/or
HOME grant, the employee will:
i Abide by the terms of the statement; and
ii Notify the City in writing of his or her conviction for a violation of
a criminal drug statute occurring in the workplace no later than five
(5) calendar days after such conviction.
e. Notifying the County in writing, within ten (10) calendar days after
receiving notice under subparagraph d(ii) of this Section 18 from an
employee or otherwise receiving actual notice of any such conviction; and
the City must provide written notice, including position or title, of any City
employees convicted of any criminal drug statute to every County officer
or other designee who processed a CDBG or HOME grant which funded
any activity on which the convicted employee was working, unless HUD
has designated an identification numbers) of each affected grant.
f. Taking one (1) of the following actions, within thirty (30) calendar days of
receiving notice under subparagraph d(ii) of this Section 18, with respect to
any employee who is so convicted:
Taking appropriate personnel action against such an employee, up
to and including termination, consistent with the requirements of the
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Agreement No. 5914
Rehabilitation Act of 1973, as amended; or
ii Requiring such employee to participate satisfactorily in a drug abuse
assistance or rehabilitation program approved for such purpose by a
federal, State, local health, law enforcement, or other appropriate
agency.
g. Making a good faith effort to continue to maintain a drug -free workplace
through implementation of paragraphs a, b, c, d, e, and f, of this Section 18.
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IN WITNESS WHEREOF, the Board of Supervisors of the County of Los Angeles has
caused this Agreement to be subscribed by the Executive Director of the Los Angeles County
Development Authority, and the City has subscribed the same through its duly authorized officers,
on the day, month, and year first above written.
County Counsel Certification
The office of the County Counsel hereby certifies that the terns and provisions of this
Agreement are fully authorized under State and local laws, and that the Agreement provides full
legal authority for the County to undertake or assist in undertaking essential community
development and housing assistance activities, specifically urban renewal and public assisted
housing.
By:
Deputy C my Counsel
COUNTY OF LOS ANGELES
By
Z V
EMILIO SALAS
Acting Executive Director
Los Angeles County Development Authority
ATTEST,
City Clerk
APPROVED AS TO FORM:
MARY C. WICKHAM
County Counsel
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f/
I
CITY OF EL SEGUNDO
By
MAYOR OR bESIGNEE
APPROVED AS TO FORM:
w � r
By
City Attorney