HomeMy WebLinkAbout10293ORDINANCE NO. 10293
AN ORDINANCE APPROVING AND AUTHORIZING THE
MAYOR TO SIGN A GRANT AGREEMENT BETWEEN THE CITY
OF PUEBLO, A COLORADO MUNICIPAL CORPORATION AND
THE SOUTHEASTERN COLORADO HERITAGE CENTER, INC.,
D/B/A THE PUEBLO HERITAGE MUSEUM, A COLORADO
NONPROFIT CORPORATION, AS AUTHORIZED BY SECTION
603 OF THE AMERICAN RESCUE PLAN ACT AND U.S.
TREASURY FINAL RULE 31 CFR 35.6 AND AUTHORIZING THE
PAYMENT OF TEN THOUSAND DOLLARS ($10,000) FROM
PROJECT NO. CI2113 - AMERICAN RESCUE PLAN ACT, FOR
PURPOSES THEREOF
WHEREAS, on March 11, 2021, President Biden signed the U.S. Senate-amended H.R.
1319 (P.L. 117-2) known as the American Rescue Plan Act (hereinafter “ARPA”); and
WHEREAS, on May 10, 2021, the U.S. Treasury issued the Interim Final Rule to
implement ARPA in Title 31, Part 35 of the Code of Federal Regulations (“CFR”); and
WHEREAS, on January 6, 2022, the U.S. Treasury issued, with an effective date of April
1, 2022, the Final Rule to implement ARPA in Title 31, Part 35 of the Code of Federal
Regulations (“CFR”); and
WHEREAS, under the Final Rule, recipients may use Coronavirus Local Fiscal Recovery
Funds (“CLFRF”) to respond to the COVID-19 public health emergency and the negative
economic consequences resulting therefrom; and
WHEREAS, under ARPA Section 603 (c)(1)(A) and (3) and the Final Rule 31 CFR
35.6(b)(7) recipients may use CLFR Funds to award grants to nonprofit organizations that are
responding to the negative economic impacts of the COVID-19 public health emergency; NOW,
THERFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
The Grant Agreement (“Agreement”) dated October 11, 2022, between and the City of
Pueblo, a Colorado Municipal Corporation and the Southeastern Colorado Heritage Center, Inc.
d/b/a Pueblo Heritage Museum, a Colorado Nonprofit Corporation (hereinafter referred to as the
“Heritage Museum”), a copy of which is attached hereto, having been approved as to form by
the City Attorney, is hereby approved.
SECTION 2.
The Mayor is hereby authorized to execute said Agreement for and on behalf of the City
and the City Clerk is authorized to affix the seal of the City thereto and attest same.
SECTION 3.
Funds in the amount of $10,000 are hereby authorized to be paid from Project No.
CI2113 – American Rescue Plan Act, to the Heritage Museum for purposes of mitigating the
financial hardship caused by a decline in visitors and revenue as a result of the COVID-19
pandemic as described in the attached Agreement.
SECTION 4.
The officers and staff of the City are authorized to perform any and all acts consistent
with this Ordinance and the attached Agreement to implement the policies and procedures
described herein.
SECTION 5.
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 September 26, 2022 .
Final adoption of Ordinance by City Council on October 11, 2022 .
President of City Council
Action by the Mayor:
☒ Approved on October 15, 2022 .
□ 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 # R1
Background Paper for Proposed
Ordinance
September 26, 2022
COUNCIL MEETING DATE:
TO: President Heather Graham and Members of City Council
CC: Mayor Nicholas A. Gradisar
VIA: Marisa Stoller, City Clerk
FROM:
Dan Kogovsek, City Attorney
SUBJECT: AN ORDINANCE APPROVING AND AUTHORIZING THE MAYOR TO
SIGN A GRANT AGREEMENT BETWEEN THE CITY OF PUEBLO, A
COLORADO MUNICIPAL CORPORATION AND THE SOUTHEASTERN
COLORADO HERITAGE CENTER, INC., D/B/A THE PUEBLO
HERITAGE MUSEUM, A COLORADO NONPROFIT CORPORATION,
AS AUTHORIZED BY SECTION 603 OF THE AMERICAN RESCUE
PLAN ACT AND U.S. TREASURY FINAL RULE 31 CFR 35.6 AND
AUTHORIZING THE PAYMENT OF TEN THOUSAND DOLLARS
($10,000) FROM PROJECT NO. CI2113 - AMERICAN RESCUE PLAN
ACT, FOR PURPOSES THEREOF
SUMMARY:
This Ordinance approves and authorizes the Mayor to sign a Grant Agreement with the
Southeastern Colorado Heritage Center, Inc. d/b/a Pueblo Heritage Museum, a
Colorado nonprofit corporation (hereinafter referred to as the “Heritage Museum”) to
mitigate the financial hardship caused by a decline in visitors and revenue as a result of
the COVID-19 pandemic (hereinafter “Project”) as authorized by Section 603 of the
American Rescue Plan Act and U.S. Treasury Final Rule 31 CFR 35.6. Funds for the
project, in the amount of $10,000 will be paid out of Project No. CI2113, the American
Rescue Plan Act.
PREVIOUS COUNCIL ACTION:
By Ordinance No. 9931, approved on May 17, 2021, the City Council established
Project No. CI2113 and budgeted and appropriated up to $36.7 million in funds which
were expected to be distributed to the City from the American Recovery Plan Act
(“ARPA”) for covered costs and eligible expenses to be incurred during the period
which began on March 3, 2021 until December 31, 2024 (to be expended by December
31, 2026).
BACKGROUND:
The Pueblo Heritage Museum was closed in the 2020 fiscal year in compliance with
local and state public health mandates. The museum made the decision to keep the
staff that was employed at the time on the payroll. Although the museum’s doors
remained closed during these times, the costs for businesses overhead continued to
accumulate, including insurance costs, utilities, staff salaries, taxes, and other general
operating expenses. In general, the museum had a total expense broken into two main
categories: salaries and other compensation which totaled $40,669 and other expenses
which totaled $45,151. As a result of the pandemic, the museum’s admissions fell from
1,842 visitors in 2019 to 587 visitors in 2020. The Heritage Museum reopened in June,
2021 after a revamp of staff and exhibit space.
The Heritage Museum is a nonprofit organization disproportionately impacted by the
COVID-19 public health emergency, operating in a qualified census tract under 31 CFR
35.6.(b) (3) (C). In addition, the Museum is a member of the tourism industry eligible for
reimbursement of payroll costs and covered benefits for employees, the compensation
of returning employees and financial support for operations and maintenance of existing
equipment and facilities under 31 CFR 35.6.(b) (3) (D).
FINANCIAL IMPLICATIONS:
The Heritage Museum will receive $10,000 in ARPA funds from Project No.CI2113.
BOARD/COMMISSION RECOMMENDATION:
Not applicable to this Ordinance.
STAKEHOLDER PROCESS:
Not applicable to this Ordinance.
ALTERNATIVES:
City Council could decide not to support the Heritage Museum.
RECOMMENDATION:
Approval of the Ordinance.
ATTACHMENTS:
1. Heritage Museum - Proposed Grant Agreement - ARPA Funds
GRANT AGREEMENT
THIS GRANT AGREEMENT ("Agreement") is made and entered into this 11th day
of October, 2022, (hereinafter "Effective Date") by and between the City of Pueblo, a
Colorado municipal corporation, hereinafter referred to as the "City" and the Southeastern
Colorado Heritage Center, Inc. d/b/a Pueblo Heritage Museum, a Colorado nonprofit
corporation, hereinafter referred to as the "Grantee" or "Museum." City and
Grantee/Museum are sometimes each referred to as a "Party" and collectively "Parties."
RECITALS
The following recitals are incorporated in and made a part of this Agreement.
WHEREAS, on March 11, 2021, President Biden signed the U.S. Senate-amended
H.R. 1319 (P.L. 117-2) known as the American Rescue Plan Act (hereinafter "ARPA");
and
WHEREAS, on May 10, 2021 , the U.S. Treasury issued the Interim Final Rule to
implement ARPA in Title 31, Part 35 of the Code of Federal Regulations ("CFR"); and
WHEREAS, by Ordinance No. 9931, approved on May 17, 2021, the City Council
established Project No. CI2113 and budgeted and appropriated up to $36.7 million in
funds which were expected to be distributed to the City from ARPA for covered costs and
eligible expenses to be incurred during the period which began on March 3, 2021 until
December 31, 2024 (to be expended by December 31, 2026); and
WHEREAS, on January 6, 2022, the U.S. Treasury issued, with an effective date
of April 1, 2022, the Final Rule to implement ARPA in Title 31, Part 35 of the Code of
Federal Regulations ("CFR"); and
WHEREAS, under the Final Rule, recipients may use Coronavirus Local Fiscal
Recovery Funds ("CLFRF") to respond to the COVID-19 public health emergency and the
negative economic consequences resulting therefrom; and
WHEREAS, Grantee has requested that the City use CLRF funds to mitigate the
financial hardship caused by a decline in visitors and revenue as a result of the COVID-
19 pandemic (hereinafter "Project"); and
WHEREAS, the City desires to disburse funds from Project No. C12113 to the
Grantee for the aforesaid purpose.
NOW, THEREFORE, in consideration of the foregoing recitals and the terms and
conditions set forth herein and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged by the Parties, the Parties hereto mutually
agree as follows:
1. FACTUAL BASIS FOR THE GRANT AWARD
(a) Pueblo Heritage Museum was closed in the 2020 fiscal year in compliance
with local and state public health mandates. The museum made the decision to keep the
staff that was employed at the time on the payroll.
(b) Although the museum's doors remained closed during these times, the
costs for businesses overhead continued to accumulate, including insurance costs,
utilities, staff salaries, taxes, and other general operating expenses. In general, the
museum had a total expense broken into two main categories: salaries and other
compensation which totaled $40,669 and other expenses which totaled $45,151.
(c) As a result of the pandemic, the museum's admissions fell from 1,842
visitors in 2019 to 587 visitors in 2020.
(d) Grantee reopened in June, 2021 after a revamp of staff and exhibit space.
(e) Grantee is a nonprofit organization disproportionately impacted by the
COVID-19 public health emergency, operating in a qualified census tract under 31 CFR
35.6.(b) (3) (C).
(f) Grantee is a member of the tourism industry eligible for reimbursement of
payroll costs and covered benefits for employees, the compensation of returning
employees and financial support for operations and maintenance of existing equipment
and facilities under 31 CFR 35.6.(b) (3) (D).
2. RESPONSIBILITIES OF GRANTEE
Prior to receiving ARPA funds under this Agreement, Grantee is required to provide the
City with the following information and documentation:
1. Federal SAM Unique Entity ID;
2. City Sales Tax License;
3. State Sales Tax License;
4. Certificate of Good Standing from the Office of the Secretary of State.
3. PAYMENTS TO GRANTEE
(a) The aggregate of all payments made hereunder shall not exceed Ten
Thousand Dollars (U.S. $10,000). Payment will be made within thirty (30) days following
approval of this Agreement by the City Council of the City of Pueblo and execution of this
Agreement by the Grantee.
(b) Upon expiration of the term of this Agreement or upon any prior termination,
Grantee shall transfer to City any funds provided hereunder which are on hand at the time
of expiration or termination.
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4. TERM OF PROJECT AND AGREEMENT
(a) The term of the Project shall be from Effective Date set forth above to
December 31, 2023 unless sooner terminated as herein provided.
(b) The term of this Agreement shall be from the Effective Date set forth above
to December 31, 2023 unless sooner terminated as herein provided.
5. TERMINATION OF AGREEMENT
(a) For Cause: This Agreement may be terminated by City for cause, including
any nonperformance by the Grantee, upon ten (10) days written notice to Grantee
including a statement of the reasons therefore, and after an opportunity for a hearing has
been afforded. If a hearing is requested, it shall be held before the City's Mayor whose
decision shall be final. The determination of the City as to the cause of termination and
the appropriateness thereof shall be final and binding upon both City and Grantee. Cause
for termination shall include any material failure by Grantee to comply with any term of
this Agreement.
(b) For Convenience: This Agreement may be terminated by City for
convenience upon ten (10) days written notice to Grantee, which decision shall not be
subject to appeal.
(c) Post Expiration and Termination Procedures: Upon expiration or in the
event of a prior termination, all remaining and unspent grant funds, shall immediately
become the sole and separate property of the City and the Grantee shall perform all acts
and execute all instruments necessary to transfer and assign such funds to the City.
6. ASSIGNABILITY
This Agreement shall not be assigned or transferred by the Grantee 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.
7. ENTIRE AGREEMENT; AMENDMENTS
The provisions set forth in 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 provisions of this Agreement shall be binding unless made in writing and
executed by the duly authorized officers of both the Grantee and City.
8. GOVERNMENTAL IMMUNITY.
The City does not waive or intend to waive, by any provisions of this Agreement, the
monetary limitations or any other rights, immunities and protections provided by the
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Colorado Governmental Immunity Act § 24-10-101 to 120, C.R.S., or otherwise available
under applicable law.
9. NO THIRD-PARTY BENEFICIARIES.
It is expressly understood and agreed that enforcement of the terms and conditions of
this Agreement and all rights of action relating to such enforcement shall be strictly
reserved to the Parties and nothing contained in this Agreement shall give or allow any
such claim or right of action by any other third party. It is the express intention of the
Parties that any person other than the Parties receiving services or benefits under the
Agreement shall be deemed an incidental beneficiary only.
10. LITIGATION, VENUE AND WAIVER OF TRIAL BY JURY.
In the event of any litigation arising under this Agreement, the court shall award to the
prevailing Party its costs and reasonable attorney fees. Exclusive venue for any such
litigation shall be Pueblo County, Colorado. All such litigation shall be filed in the District
Court, County of Pueblo, State of Colorado, and each Party submits to the personal and
subject matter jurisdiction of such District Court. To the fullest extent permitted by law,
the Parties hereby waive their right to a trial by jury.
11. SEVERABILITY.
If any provision of this Agreement is determined by a court of competent jurisdiction to be
invalid or unenforceable, the remainder of this Agreement shall nonetheless remain in full
force and effect.
12. RULES OF CONSTRUCTION.
The Parties acknowledge that the Parties and their counsel have reviewed and revised
this Agreement and that the normal rule of construction to the effect that any ambiguities
are to be resolved against the drafting Party shall not be employed in the interpretation of
this Agreement or any exhibits or amendments hereto.
13. WAIVER.
The waiver or failure to enforce any provision of this Agreement shall not operate as a
waiver of any future breach of any such provision or any other provision hereof.
14. NO MONETARY DAMAGES AGAINST CITY.
In consideration of City entering into the Agreement, Grantee waives and discharges City,
its officers, agents and employees from any and all claims for any monetary damages
whether such claims arise under tort, contract, statutory or any other law.
15. COUNTERPARTS.
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This Agreement may be executed in two (2) or more counterparts and each such
counterpart shall be deemed for all purposes to be an original and all such counterparts
shall together constitute but one and the same original.
16. SIGNATURES.
The persons signing this Agreement on behalf of Grantee represent and warrant that such
persons and Grantee have the requisite power and authority to enter, execute and deliver
this Agreement and that this Agreement is a valid and legally binding obligation of Grantee
enforceable against Grantee in accordance with its terms.
IN WITNESS, WHEREOF, the Grantee and the City have executed this Agreement
as of the date first above written and under the laws of the State of Colorado.
ATTEST: CITY OF PUEBLO
A COLORADO MUNICIPAL
CORPORATION
By 9i(G'^i4!6,l °'Cgs'iir'
City CI Nicholas A Gradisar, Mayor
[S E A L]
Grantee:
SOUTHEASTERN COLORADO
HERITAGE CENTER, INC. D/B/A
PUEBLO HERITAGE CENTER
a Colorado nonprofit corporation
ATTEST:
By B ' e ��
Signature Signa ure
Name Name/OG4`''"1414dt CItIf,.(
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