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ORDINANCE NO. 9731
AN ORDINANCE APPROVING AN AGREEMENT TO
PROVIDE TENANT BASED RENTAL ASSISTANCE
BETWEEN POSADA, INC, A COLORADO NON-PROFIT
CORPORATION, AN THE CITY OF PUEBLO, A
MUNICIPAL CORPORATION, AND AUTHORIZING THE
MAYOR TO EXECUTE SAME
WHEREAS, the City of Pueblo has received an allocation of HOME Investment
Partnership Act Grant funds and the provision for Tenant Based Rental Assistance is an eligible
activity under the HOME Program; and
WHEREAS, the City of Pueblo included Tenant Based Rental Assistance as an eligible
activity in the 2019 Annual Action Plan made public and presented to Council on June 10, 2019;
and
WHEREAS, the City of Pueblo wishes to reduce homelessness within the City of Pueblo
through the City’s Tenant Based Rental Assistance Program; and,
WHEREAS, the City of Pueblo wishes to enter into an agreement with Posada Inc., a
Colorado Non-Profit Corporation to administer the City’s Tenant Based Rental Program; NOW
THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
The Agreement dated June 8, 2020 between Posada, Inc., a Colorado Non-Profit
Corporation, and the City of Pueblo, a Municipal Corporation, (“the Agreement”), for the
management of a tenant-based rental assistance program in an effort to reduce homelessness,
a copy of which is attached and incorporated herein, having been approved as to form by the City
Attorney, is hereby approved.
SECTION 2.
Establishing Project No. HO2002 – Tenant Based Rental Assistance.
SECTION 3.
The funds are available in Fund 251, transferring $143,386.00 from Project No. HO1850,
$320,767.00 from Project No. HO1950, and $35,847 from Project No. HO1960 into Project No.
HO2002, and those funds will be dedicated to this Agreement.
SECTION 4.
The Mayor is hereby authorized to execute the Agreement in the name and on behalf of
the City of Pueblo, where the Mayor may execute the Agreement by electronic signature and such
electronic signature shall be attributable to the Mayor and the City of Pueblo.
SECTION 5.
The officers and staff of the City are directed and authorized to perform any and all acts
consistent with the intent of this Ordinance and the attached Agreements to effectuate the
transactions described therein.
SECTION 6.
If any section, paragraph, clause, or provision of this Ordinance shall for any
reason be held to be invalid or unenforceable, the invalidity or unenforceability of such section,
paragraph, clause, or provision shall not affect any of the remaining provisions of this Ordinance.
THE REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK
SIGNATURE PAGE TO FOLLOW
SECTION 7.
This Ordinance shall become effective on the date of final action by the Mayor and
City Council.
Action by City Council:
Introduced and initial adoption of Ordinance by City Council on May 26, 2020 .
Final adoption of Ordinance by City Council on June 22, 2020 .
President of City Council
Action by the Mayor:
☒ Approved on June 26, 2020 .
□ Disapproved on based on the following objections:
_
Mayor
Action by City Council After Disapproval by the Mayor:
□ Council did not act to override the Mayor's veto.
□ Ordinance re-adopted on a vote of , on
□ Council action on _______ failed to override the Mayor’s veto.
President of City Council
ATTEST
City Clerk
City Clerk’s Office Item # S-1
Background Paper for Proposed
Ordinance
COUNCIL MEETING DATE: May 26, 2020
TO: President Dennis E. Flores and Members of City Council
CC: Nicholas A. Gradisar, Mayor
VIA: Brenda Armijo, City Clerk
FROM: Bryan Gallagher, Director, Housing and Citizen Services
SUBJECT: AN ORDINANCE APPROVING AN AGREEMENT TO PROVIDE TENANT
BASED RENTAL ASSISTANCE BETWEEN POSADA, INC, A COLORADO NON-
PROFIT CORPORATION, AND THE CITY OF PUEBLO, A MUNICIPAL
CORPORATION, AND AUTHORIZING THE MAYOR TO EXECUTE SAME
SUMMARY:
This Ordinance approves a subrecipient agreement between the City and Posada, Inc. for the
management of a Tenant Based Rental Assistance program for the prevention of homelessness.
PREVIOUS COUNCIL ACTION:
The City Council has approved funding for this program in previous years.
BACKGROUND:
The City of Pueblo receives a yearly allocation of HOME funds. Tenant-based rental assistance
(TBRA) is an eligible activity under the HOME program regulations. Posada has previously
managed the Consortium’s Program and a similar program with the State’s Homeless Coalition
and therefore has the capacity and experience to carry out this activity as a subrecipient of the
funds. Under the agreement, Posada will receive $500,000 for direct assistance to eligible
households. The agreement contains $50,000 for case management and administrative
expenses.
FINANCIAL IMPLICATIONS:
Funding is available in the 251 Fund. A local match is a requirement of the HOME Program and
was appropriated by Council under Ordinance 9228 and 9477.
HOME funds previously appropriated and budgeted in the following accounts are hereby
reprogrammed and budgeted for this activity, transferring funds into Project No. HO2002:
Account HO1850 $143,386
Account HO1950 $320,767
Account HO1960 $35,847
Total $500,000
BOARD/COMMISSION RECOMMENDATION:
Not applicable.
STAKEHOLDER PROCESS:
None
ALTERNATIVES:
City Council can choose not to provide funding for this Program.
RECOMMENDATION:
Approval of the Ordinance.
ATTACHMENTS:
Attachment 1: City of Pueblo, Agreement for Tenant Based Rental Assistance Program
Services
Attachment 2: HOME Tenant-Based Rental Assistance Program Policies and Procedures
AGREEMENT FOR TENANT-BASED
RENTAL ASSISTANCE PROGRAM SERVICES
(HOME - §92.209(k))
This Agreement is made and entered into this 22"d day of June 2020, by and between the
City of Pueblo, a Municipal Corporation (hereinafter referred to as "City") and Posada, Inc., a
Colorado Non-Profit Corporation (hereinafter referred to as ``Subrecipient").
WITNESSETH, that:
WHEREAS, the City has entered into agreements with the U.S. Department of Housing
and Urban Development("HUD"), whereby federal financial assistance may be made available to
City on behalf of the Pueblo Consortium ('Consortium") established under agreements between
the City and Pueblo County, Colorado, as a participating jurisdiction for the purpose of expanding
the availability of affordable housing pursuant to the Home Investment Partnerships Act ("the
Act") (42 U.S.C. 12701 et seq.), the Cranston-Gonzales National Affordable Housing Act and
implementing regulations, including but not limited to those at 24 CFR Part 92; and
WHEREAS, in accordance with the provisions of the Act and 24 CFR Sections
92.205(a)(1) and 92.216, a portion of such financial assistance, subject to de-obligation (and
subject to appropriation with respect to any assistance payable out of future fiscal year allotments),
may be made available for the purpose of carrying out specific elements of the participating
jurisdiction's housing strategy including provision of tenant-based rental assistance; and
WHEREAS, Subrecipient has represented to City that it is capable and willing to undertake
certain approved elements of City's housing strategy, including operating a tenant-based rental
assistance program serving disabled individuals with chronic mental health illness, families and
individuals transitioning out of homelessness, and young adults transitioning out of foster care as
identified herein and in the Scope of Services attached hereto as Exhibit"A"; and
WHEREAS, federal financial assistance is necessary and required for such tenant-based
rental assistance; and
WHEREAS, based upon Subrecipient's representations, the City believes Subrecipient is
capable or can reasonably be expected to become capable of performing said approved elements
of City's housing strategy as a Subrecipient.
NOW, THEREFORE, in consideration of the foregoing recitals and the covenants, terms
and conditions set forth herein, the parties agree as follows:
1. PROGRAM AND SUBRECIPIENT SERVICES.
(a) Subrecipient shall operate, as an independent Subrecipient and not as an
agent of City, a rental assistance program for a period of two(2) years, which shall provide
tenant-based rental assistance to serve disabled individuals with chronic mental health
illness who are transitioning from treatment facility residency to independent living in the
community, families and individuals transitioning from homelessness or temporary
residency in homeless shelters to more permanent residency,and young adults transitioning
out of foster care, together hereinafter referred to as the "Program." Subrecipient may also
pay rent and other costs accrued after March 13, 2020 for tenants impacted by the COVID-
19 pandemic, where said rent and costs are in arrears.
(b) Subrecipient shall operate the Program as a Subrecipient for City pursuant
to 24 CFR §92.209(k) in full compliance with the requirements of the HOME regulations,
including but not limited to 24 CFR §92.209. Subrecipient shall perform all services
necessary or desirable to: (i) select tenants in accordance with regulatory criteria, (ii)enter
into rental assistance contracts with tenants for terms not exceeding twenty-four (24)
months, (iii) screen and approve lessors and lessees, (iv) determine the amount of the rent
standard, monthly family adjusted income, and amount of monthly tenant assistance, (v)
disburse funds to landlords to pay for the rent assistance and any security deposits, (vi)
submit periodic requests to City for payment for services and detailing reimbursable
expenditures for the Program, and (vii) perform related case management,job training,job
placement and health referral services ancillary to the rental assistance.
(c) In performing the foregoing services, the Subrecipient shall determine
eligibility for rental assistance in general accordance with HUD Section 8 criteria.
2. FUNDING/REIMBURSEMENT.
(a) Subject to and contingent upon Subrecipient complying with all
requirements of this Agreement, and subject to the availability of HOME funds for the
Program,City agrees to reimburse Subrecipient for eligible Program expenses in an amount
not to exceed in the aggregate, Five Hundred Thousand Dollars (U.S. $500,000.00).
(b) The payment for services and reimbursement described above will be
furnished to Subrecipient for the Program subject to all terms and conditions of this
Agreement and contingent upon Subrecipient executing all documents required by City
and submitting periodic disbursement requests accompanied by documentation
establishing justification for each requested disbursement. Provided that Subrecipient is
not in default of any provisions of this Agreement, the reimbursement shall be disbursed
in accordance with the provisions of paragraphs 3 and 6 of this Agreement.
3. USE OF CONTRACT FUNDS.
The funds provided hereunder will be disbursed to Subrecipient on a periodic basis for
allowed Program expenditures and for Subrecipient services at the rate specified. At no time will
funds for Subrecipient services be advanced before the services are actually performed.
4. SUBRECIPIENT WARRANTIES AND COMMITMENTS.
Subrecipient warrants and represents that (i) it has the requisite authority and capacity to
perform all terms and conditions on Subrecipient's part to be performed hereunder; (ii) that it is
duly organized as a non-profit corporation under state law and is in good standing with the
Secretary of State of Colorado; (iii) that it is aware of and understands its duty to perform all
functions and services in accordance with the regulatory requirements of 24 CFR Part 92 and those
identified in Exhibit "C" hereto; and (iv) that it is accepting federal financial assistance hereunder
subject to certain mandatory repayment provisions.
5. CITY REPRESENTATIVE.
The City shall designate a representative of the City who will be authorized to make all
necessary decisions required of the City on behalf of the Consortium in connection with the
performance of this Agreement, approval of the Program to be undertaken by Subrecipient
hereunder, and the disbursement of funds in connection with operation of the Program. In the
absence of such a designation,the City's Director of Housing and Citizen Services shall be deemed
as City's authorized representative.
6. DISBURSEMENTS.
(a) Subrecipient shall not request disbursement of any funds made available
under this Agreement until the funds are needed for reimbursement of reasonable eligible
costs incurred or become due for services performed, as the case may be. Disbursement of
funds to Subrecipient, as may be authorized under this Agreement, is subject to all of the
following requirements, which shall be conditions precedent to payment: (i) that the
Subrecipient has performed its services and has expended funds after date of this
Agreement for reasonable eligible approved expenditures with respect to the Program, (ii)
that Subrecipient is not in default of any material provision of this Agreement nor
applicable law or regulation, (iii) that Subrecipient has timely submitted requests for
disbursement detailing the eligible expenditures for the Program in a format approved by
City, (iv) that Subrecipient has certified with each payment or disbursement request
compliance with the requirements identified in Exhibit "C" and that all expenditures for
which disbursement is sought were made for and in furtherance of the Program and are an
eligible use of federal assistance under the Act, and (v) that City has timely received from
HUD sufficient federal assistance under the Act to pay the disbursement hereunder.
(b) Payment hereunder is also subject to and may only be disbursed in
accordance with HUD regulations including but not limited to those at 24 CFR Part 92, as
presently promulgated and as same may be revised from time to time in the future. All
payments received by Subrecipient hereunder are subject to repayment by Subrecipient as
provided in 24 CFR Part 92. Funds provided hereunder for Program may only be used for
eligible activities and costs, as provided in 24 CFR Part 92.
(c) The aggregate of all payments made pursuant to this Agreement shall not
exceed Five Hundred Thousand Dollars (U.S. $500,000.00).
(d) Notwithstanding anything in this Agreement, and in addition to all other
conditions precedent, the City may, in its sole discretion, and at any time refuse to make
disbursements of funds, if it has cause to believe any of the following circumstances has
occurred or exists:
(i) There has been any adverse material change in Subrecipient's ability
to operate the Program or in the Program itself;
(ii) Subrecipient has misapplied funds provided hereunder for other than
the purposes stated in this Agreement;
(iii) Subrecipient has defaulted in the performance of any term,condition
or covenants set forth in this Agreement or required of Subrecipient under
the applicable federal regulations.
(e) Upon expiration of the term of this Agreement, or upon any prior
termination, Subrecipient shall transfer to City any funds provided hereunder which are on
hand at the time of expiration or termination together with any accounts receivable
attributable to the use of funds provided hereunder.
7. TERM OF AGREEMENT.
Unless sooner terminated, the term of this Agreement shall be from the date of execution
hereof until May 31, 2022. For purposes of disbursement of funds provided hereunder for the
Program and COVID-19 relief, the services shall be performed from March 13, 2020 until May
31, 2022.
8. TERMINATION OF AGREEMENT.
(a) For Cause. This Agreement may be terminated by City for cause, including
any nonperformance by Subrecipient, upon ten (10) days written notice to Subrecipient
including a statement of the reasons therefor, and after an opportunity for a hearing has
been afforded. If a hearing is requested, it shall be held before the City's Director of
Housing and Citizen Services whose decision as to both the grounds for termination and
the appropriateness thereof shall be final and binding upon both City and Subrecipient. In
accordance with 24 CFR 85.43, as amended, cause for termination shall include any
material failure by Subrecipient to comply with any term of this Agreement.
(b) For Convenience. This Agreement may be terminated for convenience in
accordance with the provisions of 24 CFR 85.44, as amended. This Agreement shall
terminate immediately upon any non-appropriation of funds, or upon any suspension or
non-receipt of federal assistance provided to City under the Act, regardless of cause.
(c) Post Termination Procedures. In the event of termination, Subrecipient
shall continue to be responsible for those matters which survive termination, including
those identified in paragraphs 4, 7, 11, 13, 14, 15, 16, 18, and 19 of this Agreement, unless
City takes over the Program and, in connection therewith, prospectively releases
Subrecipient from one or more specific responsibilities in writing. Additionally, at City's
sole option, all property acquired by Subrecipient with funds provided hereunder, all
unexpended funds provided hereunder, if any, and all program income received by
Subrecipient shall immediately become the sole and separate property of the City and
Subrecipient shall perform all acts and execute all instruments necessary to transfer and
assign such property, funds, and income to City. All documents, data, studies, reports and
work product prepared by Subrecipient under this Agreement or with funds provided
hereunder shall, at the option of the City, become its property and Subrecipient may be
entitled to receive just and equitable compensation only for satisfactory work completed
and eligible costs for which compensation has not previously been paid nor reimbursement
made.
9. ASSIGNABILITY.
This Agreement shall not be assigned or transferred by Subrecipient without the prior
written consent of the City. Any assignment or attempted assignment made in violation of this
provision shall, at City's election, be deemed void and of no effect whatsoever.
10. CONFLICT OF INTEREST.
HOME Regulation 24 CFR, Part 92.356, as amended, is incorporated herein by reference,
and sets forth applicable laws and regulations that apply to Conflict of Interest. Subrecipient, and
its Board of Directors, officers and employees, shall avoid all conflicts prohibited by applicable
regulations, including but not limited to those set forth in 24 CFR Part 92 as presently promulgated
and as same may be revised from time to time in the future.
11. SUBRECIPIENT RECORDKEEPING.
Subrecipient shall maintain records as to the Program work and activities undertaken with
assistance hereunder, services provided, reimbursable expenses incurred in connection with the
Program and complete accounting records. Accounting records shall be kept on a generally
recognized accounting basis and as requested by the City's auditor. Subrecipient agrees to comply
with all applicable uniform administrative requirements described or referenced in 24 CFR Part
92. The compliance provisions attached as Exhibit "B" hereto are also made a part of this
Agreement, and Subrecipient agrees to perform and comply with same. The City, HUD, the
Comptroller General of the United States, the Inspector General of HUD, and any of their
authorized representatives, shall have the right to inspect and copy, during reasonable business
hours, all books, documents, papers and records of Subrecipient which relate to this Agreement
for the purpose of making an audit or examination. Upon completion of the work and end of the
term of this Agreement, or at any time during the period of affordability or within 5 years
thereafter, the City may require all of Subrecipient's financial records relating to this Agreement
to be turned over to the City.
12. MONITORING AND EVALUATION.
The City shall have the right to monitor and evaluate the progress and performance of
Subrecipient to assure that the terms of this Agreement are being satisfactorily fulfilled in
accordance with HUD's, City's, and other applicable monitoring and evaluation criteria and
standards. The City shall at least quarterly review Subrecipient's performance using on-site visits,
progress reports required to be submitted by Subrecipient, audit findings, disbursement
transactions and contact with Subrecipient as necessary. Subrecipient shall furnish to the City
monthly or quarterly program and financial reports of its activities in such form and manner as
may be requested by the City. Subrecipient shall fully cooperate with City relating to such
monitoring and evaluation.
13. SUBRECIPIENT FILES AND INFORMATION REPORTS.
Subrecipient shall maintain files containing information, which shall clearly document all
activities performed in conjunction with this Agreement, including, but not limited to, financial
transactions, conformance with assurances, activity reports, and program income. These records
shall be retained by Subrecipient for a period of five years after the completion of this Agreement.
Activity reports shall be submitted monthly or quarterly no later than the 15`" day of the month
following the end of month or quarter for which the report is submitted.
14. INDEPENDENCE OF SUBRECIPIENT.
Nothing herein contained nor the relationship of Subrecipient to the City, which
relationship is expressly declared to be that of an independent Subrecipient, shall make or be
construed to make Subrecipient or any of Subrecipient's agents, subrecipients, consultants or
employees the agents or employees of the City. Subrecipient shall be solely and entirely
responsible for its acts and the acts of its agents, employees and Subrecipients.
15. LIABILITY & INSURANCE.
(a) As to the City, Subrecipient agrees to assume the risk of all personal injury,
including death and bodily injury, and damage to and destruction of property, including
loss of use therefrom, caused by or sustained, in whole or in part, in conjunction with or
arising out of the performance or nonperformance of this Agreement by Subrecipient,
leases of any property or by the conditions created thereby or resulting therefrom.
Subrecipient further agrees to indemnify and save harmless the City, its officers, agents,
attorneys and employees, from and against any and all claims, liabilities, costs, expenses,
penalties and attorney fees arising from such injuries to persons or damages to property or
based upon or arising out of the performance or nonperformance of this Agreement by
Subrecipient, or out of any violation by Subrecipient of any statute, ordinance, rule or
regulation.
(b) Subrecipient agrees that it shall procure and will maintain during the term
of this Agreement, such insurance as will protect it from claims under workers'
compensation acts, claims for damages because of personal injury including bodily injury,
sickness or disease or death of any of its employees or of any person other than its
employees, and from claims or damages because of injury to or destruction of property
including loss of use resulting therefrom; and such insurance will provide for coverage in
such amounts as set forth in subparagraph (c).
(c) The minimum insurance coverage which Subrecipient shall obtain and keep
in force is as follows:
(i) Workers' Compensation Insurance complying with statutory
requirements in Colorado. The policy shall include an endorsement
Waiving Right of Subrogation.
(ii) Comprehensive General Liability ("CGL") Insurance written on
ISO Form CG 00 01 0196, or a substitute form providing equivalent
coverage,with a limit not less than One Million Dollars($1,000,000.00) per
occurrence, covering liability arising from premises, operations,
independent Subrecipients, personal injury,products completed operations,
and liability assumed under an insured contract. The policy shall identify
the City as an additional insured and Waive Rights of Subrogation.
(d) Subrecipient shall furnish a certificate of insurance certifying the required
insurance coverages to City's Director of Finance prior to disbursement of any funds to
Subrecipient under this Agreement. The certificate of insurance and the policies shall name
the City as an additional insured on the CGL policy.
(e) Nothing in this Agreement is intended, nor should it be construed, to
create any rights, claims, or benefits or assume any liability for or on behalf of any third
party, or to waive any immunities or limitations conferred under federal or state law,
including but not limited to the Colorado Governmental Immunity Act, § 24-10-101 et
seq., C.R.S.
16. CERTIFICATIONS.
Subrecipient agrees to execute and abide by the certifications contained in Exhibit "C"
hereto, which are hereby expressly made a part of this Agreement.
17. AFFIRMATIVE FAIR HOUSING MARKETING PLAN.
For all programs assisting five or more households, Subrecipient has established procedures and
will take steps necessary to affirmatively further Fair Housing in accordance with City policies,
incorporated herein as Exhibit "E", and federal regulations codified at 24CFR570.487(b) and
24CFR92.351, respective of CDBG/HOME funding. Subrecipient has submitted, to the City,
HUD Form 92243, Affirmative Fair Housing Marketing Plan outlining its strategy to encourage
those who are least likely to apply for the services funded by this Agreement.
18. PROGRAM INCOME; REVERSION OF ASSETS.
(a) Unless otherwise authorized by City in writing in a separate instrument
executed after date of this Agreement,all program income,as defined in 24 CFR 92.2, shall
be returned to City within 30 days of receipt by Subrecipient. In the event City authorizes
Subrecipient to retain any portion of program income, it shall only be used to accomplish
the work set forth in this Agreement, including the Scope of Services, and the amount of
funds payable by City to Subrecipient shall be adjusted as provided by 24 CFR 92.503 and
the applicable requirements of 24 CFR 85.
(b) Upon expiration of the term of this Agreement, or upon any prior
termination, Subrecipient shall transfer to City any funds provided hereunder which are on
hand at the time of expiration or termination together with any accounts receivable
attributable to the use of funds provided hereunder.
(c) In the event City incurs any cost or expense in enforcing the requirements
of this Agreement, including but not limited to the requirements of this paragraph 18, or in
bringing any action to recover the amount of any repayment obligation, City shall be
entitled to recover its costs and expenses, including reasonable attorney's fees.
19. RECOGNITION OF HUD, CITY.
In all printed materials, Program descriptions, and other activities undertaken with funds
provided under this Agreement, Subrecipient shall provide recognition that funds have been
provided to Subrecipient by the U.S. Department of Housing and Urban Development and the City
of Pueblo. Recognition shall be accomplished by disclosure of the role of HUD and the City in all
such printed materials.
20. PERA LIABILITY.
The Subrecipient shall reimburse the City for the full amount of any employer contribution
required to be paid by the City of Pueblo to the Public Employees' Retirement Association
("PERA") for salary or other compensation paid to a PERA retiree performing contracted services
for the City under this Agreement. The Subrecipient shall fill out the questionnaire attached as
Exhibit '`D" and submit the completed form to City as part of the signed Agreement.
21. STATE-IMPOSED MANDATES PROHIBITING ILLEGAL ALIENS FROM
PERFORMING WORK.
(a) At or prior to the time for execution of this Contract, Subrecipient shall
submit to the Purchasing Agent of the City its certification that it does not knowingly
employ or contract with an illegal alien and that the Subrecipient has participated or
attempted to participate in the "Basic Pilot Program" created in Public Law 208, 104th
Congress, as amended and expanded in Public law 156, 108th Congress, as amended, that
is administered by the United States Department of Homeland Security in order to confirm
the employment eligibility of all employees who are newly hired for employment in the
United States.
(b) Subrecipient shall not:
(I) knowingly employ or contract with an illegal alien to perform work
under this contract;
(II) Enter into a contract with a Subrecipient that fails to certify to
Subrecipient that the Subrecipient shall not knowingly employ or contract
with an illegal alien to perform work under this contract.
(c) The following state-imposed requirements apply to this contract:
(1) The Subrecipient shall have confirmed or attempted to confirm the
employment eligibility of all employees who are newly hired for
employment in the United States through participation in the Basic Pilot
Program and, if the Subrecipient is not accepted into the Basic Pilot
Program prior to entering into this contract,that the Subrecipient shall apply
to participate in the Basic Pilot Program every three months until the
Subrecipient is accepted or this Contract has been fully completed,
whichever occurs earlier. This provision shall not be required or effective
if the Basic Pilot Program is discontinued.
(II) The Subrecipient is prohibited from using the Basic Pilot Program
procedures to undertake preemployment screening of job applicants while
this Contract is being performed.
(III) If the Subrecipient obtains actual knowledge that a Subrecipient
performing work under this contract knowingly employs or contracts with
an illegal alien, the Subrecipient shall be required to:
A. Notify the Subrecipient and the Purchasing Agent of the City
within three(3)days that the Subrecipient has actual knowledge that
the Subrecipient is employing or contracting with an illegal alien;
and
B. Terminate the subcontract with the Subrecipient if within
three (3) days of receiving the notice required pursuant to
subparagraph (c)(III)A. above the Subrecipient does not stop
employing or contracting with the illegal alien; except that the
Subrecipient shall not terminate the contract with the Subrecipient
if,during such three (3) days,the Subrecipient provides information
to establish that the Subrecipient has not knowingly employed or
contracted with an illegal alien.
(IV) The Subrecipient is required to comply with any reasonable request
by the Colorado Department of Labor and Employment (hereinafter
referred to as -CDLE") made in the course of an investigation that CDLE
is undertaking pursuant to its authority under §8-17.5-102(5), C.R.S.
(d) Violation of this Section by the Subrecipient shall constitute a breach of
contract and grounds for termination. In the event of such termination, the Subrecipient
shall be liable for City's actual and consequential damages.
22. GOVERNING LAW AND VENUE.
This Agreement shall be governed by the laws of the State of Colorado. Venue for any
action arising under this Agreement or for the enforcement of this Agreement shall be in a state
court with jurisdiction located in Pueblo County, Colorado.
23. ATTORNEY'S FEES AND COSTS OF COLLECTION.
In the event that it becomes necessary for the City to bring any action or proceeding to
enforce any provision of this Agreement, to recover damages for Subrecipient's breach of this
Agreement, or to seek specific performance, the City shall be entitled to collect its reasonable
attorneys fees, costs of suit, and costs of collection as part of the judgment in such action or
proceeding, including but not limited to costs of in-house counsel and legal staff
24. ENTIRE AGREEMENT; AMENDMENTS.
The provisions set forth in this Agreement, and all Exhibits and attachments to this
Agreement, constitute the entire and complete agreement of the parties hereto and supersede all
prior written and oral agreements, understandings or representations related thereto. No
amendment or modification of this Agreement, and no waiver of any provision of this Agreement,
shall be binding unless made in writing and executed by the duly authorized officers of both the
Subrecipient and City.
25. SIGNATURES.
The persons signing this Agreement on behalf of Subrecipient represent and warrant that
such persons and Subrecipient have the requisite power and authority to enter into, execute and
deliver this Agreement and that this Agreement is a valid and legally binding obligation of
Subrecipient enforceable against Subrecipient in accordance with its terms.