HomeMy WebLinkAbout11/04/2024 07.G. Resolution authorizing the City Manager to execute the funding agreements with Housing and Urban Development (HUD) for the 2024 HOME and CDBG grant contracts i4
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BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 7.G.
For Meeting of: November 4, 2024
ITEM TITLE: Resolution authorizing the City Manager to execute the funding
agreements with Housing and Urban Development (HUD) for the
2024 HOME and CDBG grant contracts
SUBMITTED BY: Bill Preston, Community Development Director
SUMMARY EXPLANATION:
On December 5, 2023, the Yakima City Council conducted the second public meeting to review the draft
2024 Annual Action Plan (AAP). Review by HUD also requires the City of Yakima to execute the 2024
contracts for funding approval with HUD for HOME and Community Development Block Grant (CDBG).
The City received the draft funding agreements on August 28, 2024, and the amounts of the funding was
included in the 2024 AAP.
The 2024 AAP provides the program details of how these funds will be used. The attached agreements
will now authorize spending on these programs.
ITEM BUDGETED: Yes
STRATEGIC PRIORITY 24-25: A Resilient Yakima
RECOMMENDATION: Adopt Resolution.
ATTACHMENTS:
Resolution_CDBG and HOME Grants_2024
Grant_Agreement_2024_08_29_WA_-_Yakima_2024_HOM E_M24-MC530203
Grant_Agreement 2024_08_29_WA_-_City_of_Yakima_2024_CDBG_B-24-MC-53-0008
2024_08_29_Yakima_2024 AAP_GrantAgreement Transmittal_Letter
46
RESOLUTION NO. R-2024-
A RESOLUTION authorizing the City Manager to accept the 2024 Community
Development Block Grant (CDBG) and HOME Funds and execute the
Funding contracts as mandated by the Department of Housing and Urban
Development (HUD).
WHEREAS, the City of Yakima completed the review of the Draft 2024 Annual Action Plan
on December 5, 2023, and submitted the draft document for review, as required annually by HUD
for receiving federal funds; and
WHEREAS, the Office of Neighborhood Development Services fulfilled the requirements
for two public input meetings held on November 21, 2023, and on December 5, 2023, as well as
provided an open 30 day written comment period from November 20, 2023, to December 19,
2023; and
WHEREAS, the City was notified by HUD on August 28, 2024, via letter, that its allocations
for the 2024 year are $1,013,0648 in Community Development Block Grant funding and
$458,940.23 in HOME funding; and
WHEREAS, the 2024 program year funding approval contracts for CDBG and HOME
grants are required to be executed before funding draws can occur for the 2024 program year;
and
WHEREAS, the funding will be utilized pursuant to the Consolidated Plan and terms and
conditions of each federal program; and
WHEREAS, the City Council of the City of Yakima finds it is in the best interest of the City
and its residents to execute the funding contracts for CDBG and HOME Fund Programs, now,
therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
That the City Council of the City of Yakima authorizes the City Manager to accept the
program year grants and execute the funding contracts for the 2024 funding approval contracts
for CDBG in the amount of$1,013,068.00 and HOME in the amount of$458,940.23.
ADOPTED BY THE CITY COUNCIL this 4th day of November, 2024.
Patricia Byers, Mayor
ATTEST:
Rosalinda Ibarra, City Clerk
1
47
Docusign Envelope ID:96B0565B-DECE-40AC-8691-67E461C6A7EC U.S.Department of Housing and Urban Development
Office of Community Planning and Development
Funding Approval and HOME
Investment Partnerships Agreement
Title II of the National Affordable Housing Act
Assistance Listings#14.239-HOME Investment Partnerships Program
1. Grantee Name(must match the name associated with 3b.)and 2. Grant Number(Federal Award Identification Number(FAIN))
Address M24-MC530203
City of Yakima 3a Tax Identification Number 3b. Unique Entity Identifier(formerly DUNS)
129 North 2nd Street 916001293 FJNNXIXFJ9K3
Yakima,WA 98901 4.Appropriation Number 5. Budget Period Start and End Date
86 4/7 0205 FY 2024 through FY 2032
6. Previous Obligation(Enter"0"for initial FY allocation) $0.00
a. Formula Funds $
7. Budget Approved by the Federal Awarding Agency/Current Transaction(+or-) $458,940.23
a. Formula Funds I $458,940.23
1. CHDO(For deobligations only) $
2. Non-CHDO(For deobligations only) $
8. Revised Obligation $
a. Formula Funds $
9. Special Conditions(check applicable box) 10.Federal Award Date(HUD Official's Signature Date)
❑ Not applicable El Attached / / 8/29/2024
11.Indirect Cost Rate* 12.Period of Performance Start and End Date
See Addendum Date in Box#10-09/30/2033
This Agreement between the Department of Housing and Urban Development(HUD)and the Grantee is made pursuant to the authority of the HOME Investment Partnerships
Act(42 U S.C. 12701 et seq.) The Grantee's approved Consolidated Plan submission/Application,the HUD regulations at 24 CFR Part 92(as is now in effect and as may be
amended from time to time)and this HOME Investment Partnership Agreement,form HUD-40093,including any special conditions,constitute part of this Agreement.Subject to
the provisions of this Agreement,HUD will make the funds for the Fiscal Year specified,available to the Grantee upon execution of this Agreement by the parties All funds for the
specified Fiscal Year provided by HUD by formula reallocation are covered by this Agreement upon execution of an amendment by HUD,without the Grantee's execution of the
amendment or other consent.HUD's payment of funds under this Agreement is subject to the Grantee's compliance with HUD's electronic funds transfer and information reporting
procedures issued pursuant to 24 CFR 92.502.To the extent authorized by HUD regulations at 24 CFR Part 92,HUD may,by its execution of an amendment,deobligate funds
previously awarded to the Grantee without the Grantee's execution of the amendment or other consent.The Grantee agrees that funds invested in affordable housing under 24
CFR Part 92 are repayable when the housing no longer qualifies as affordable housing Repayment shall be made as specified in 24 CFR Part 92.The Grantee agrees to assume
all of the responsibility for environmental review,decision making,and actions,as specified and required in regulation at 24 CFR 92.352 and 24 CFR Part 58
The Grantee must comply with the applicable requirements at 2 CFR part 200 that are incorporated by the program regulations,as may be amended from time to time.Where
any previous or future amendments to 2 CFR part 200 replace or renumber sections of part 200 that are cited specifically in the program regulations,activities carried out under the
grant after the effective date of the part 200 amendments will be governed by the 2 CFR part 200 requirements as replaced or renumbered by the part 200 amendments.
The Grantee must use the Grant Funds only for costs(including indirect costs)that meet the applicable requirements in 2 CFR part 200(including appendices).The
Grantee must complete the Addendum to Agreement Grantee Indirect Cost Rate(s)(Addendum)and return it to HUD with this Agreement. The Addendum will be incorporated
into and made part of this Agreement,if,and only if,the rate information provided by Grantee in the Addendum is consistent with the applicable requirements under 2 CFR part
200.The Grantee must immediately notify HUD upon any change in the Grantee's indirect cost rate,so that HUD can amend the Agreement to reflect the change if necessary.
The Grantee shall comply with requirements established by the Office of Management and Budget(OMB)concerning the Universal Numbering System and System for Award
Management(SAM)requirements in Appendix Ito 2 CFR part 200,and the Federal Funding Accountability and Transparency Act(FFATA)in Appendix A to 2 CFR part 170.
The Period of Performance for the funding assistance shall begin on the date specified in item 12 and shall end on September 1''of the 6"'fiscal year after the expiration of
the period of availability for obligation.Funds remaining in the account will be cancelled and thereafter not available for obligation or expenditure for any purpose.Per 31 U S.0
1552.The Grantee shall not incur any obligations to be paid with such assistance after the end of the Period of Performance.
The Grantee must comply with the requirements of the Build America,Buy America(BABA)Act,41 U.S C.8301 note,and all applicable rules and notices,as may be amended,
if applicable to the Grantee's infrastructure project.Pursuant to HUD's Notice,"Public Interest Phased Implementation Waiver for FY 2022 and 2023 of Build America,Buy America
Provisions as Applied to Recipients of HUD Federal Financial Assistance"(88 FR 17001) 2023-05698.pdf fgovinfo.00vf,any funds obligated by HUD on or after the applicable
listed effective dates,are subject to BABA requirements,unless excepted by a waiver
Waste,Fraud,Abuse,and Whistleblower Protections:Any person who becomes aware of the existence or apparent existence of fraud,waste or abuse of any HUD award
must reports such incidents to both the HUD official responsible for the award and to HUD's Office of Inspector General(OIG).HUD OIG is available to receive allegations of fraud,
waste,and abuse related to HUD programs via its hotline number(1-800-347-3735)and its online hotline form.You must comply with 41 U S.C.§4712,which includes informing
your employees in writing of their rights and remedies,in the predominant native language of the workforce Under 41 U.S.C. § 4712,employees of a government contractor,
subcontractor,grantee,and subgrantee-as well as personal services contractor-who make a protected disclosure about a Federal grant or contract cannot be discharged,demoted,
or otherwise discriminated against as long as they reasonably believe the information they disclose is evidence of: 1.Gross mismanagement of a contract or grant;2.Waste of
Federal funds;3.Abuse of authority relating to a Federal contract or grant;4.Substantial and specific danger to public health and safety;or 5.Violations of law,rule,or regulation
related to a Federal contract or grant.
13.For the U.S.Department of HUD(Name and Title of Authorized Official) j 14.Signature 15.Date
John Schelling,CPD Director �. 8/29/2024
�steu�vy
16. For the Grantee(Name and Title of Authorized Official) 17. Signature 18.Date
/ /
Page 1 form HUD-40093
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Docusign Envelope ID:96B0565B-DECE-40AC-8691-67E461C6A7EC
® Initial Agreement ❑Amendment#
20.Funding Information: HOME
Source of Funds Appropriation Code PAS Code Amount
2024 86 4/7 0205 HMF(N) $458,428.11
2023 86 3/6 0205 HMF(M) $512.12
Page 2 form HUD-40093
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Docusign Envelope ID:96B0565B-DECE-40AC-8691-67E461C6A7EC
agreement M24-MC530203
Grantee Indirect Cost Rate(s)
As the duly authorized representative of the Grantee, I certify that the Grantee:
❑ Will not use an indirect cost rate to calculate and charge indirect costs under the grant.
❑ Will calculate and charge indirect costs under the grant by applying a de minimis rate as provided by
2 CFR 200.414(f),as may be amended from time to time.
❑ Will calculate and charge indirect costs under the grant using the indirect cost rate(s)listed below,and
each rate listed is included in an indirect cost rate proposal developed in accordance with the applicable
appendix to 2 CFR part 200 and, if required,was approved by the cognizant agency for indirect costs.
Agency/department/major function Indirect cost rate Type of Direct Cost Base
Instructions for the Grantee's Authorized Representative:
You must mark the one(and only one)checkbox above that best reflects how the Grantee's indirect costs will be
calculated and charged under the grant. Do not include indirect cost rate information for subrecipients.
Name of Authorized Official: Signature: Date(mm/dd/yyyy):
Title: X / /
The table following the third box must be completed only it that box is cliectced. When listing a rate in the table,enter
both the percentage amount(e.g., 10%) and the type of direct cost base to be used.For example, if the direct cost base
used for calculating indirect costs is Modified Total Direct Costs,then enter"MTDC"in the"Type of Direct Cost Base"
column.
If using the Simplified Allocation Method for indirect costs, enter the applicable indirect cost rate and type of direct cost
base in the first row of the table.
If using the Multiple Allocation Base Method,enter each major function of the organization for which a rate was
developed and will be used under the grant,the indirect cost rate applicable to that major function,and the type of direct
cost base to which the rate will be applied.
If the Grantee is a government and more than one agency or department will carry out activities under the grant, enter
each agency or department that will carry out activities under the grant,the indirect cost rate(s)for that agency or
department, and the type of direct cost base to which each rate will be applied.
To learn more about the indirect cost requirements,see 2 CFR part 200,subpart E;Appendix IV to Part 200(for nonprofit
organizations); and Appendix VII to Part 200(for state and local governments).
Page 3 form HUD-40093
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Docusign Envelope ID:96B0565B-DECE-40AC-8691-67E461C6A7EC
=..Aaa aa.a S./V.a11.11,a.aas AAA, .a...,..ae a-wproval and HOME Investment Partnerships Agreement
General Instructions:This Agreement is used for with the jurisdiction (or entity) for the HOME
one of three purposes: 1)the initial Agreement Program.
between HUD and the Participating Jurisdiction(PJ)
that obligates HOME formula funds;2)the initial 3b. Unique Entity Identifier.The identifier required
Agreement between HUD and the PJ/entity that for SAM registration to uniquely identify business
obligates Community Housing Development entities shown in Box 8c of Standard Form 424
Organization(CHDO)competitive reallocation (formerly known as DUNS).For jurisdictions(or
funds;3)the amendment to the Agreement that entities) that are already participating in the
deobligates an amount of a PJ/entity's HOME funds HOME Program, this must be the Unique Entity
previously obligated because of a reduction of funds Identifier associated with the jurisdiction (or
by HUD. entity)for the HOME Program.
For all initial Agreements-The Agreement(HUD- 4. Appropriation Number. The Appropriation
40093)must have an original or electronic signature Number from the HUD-185 sub-assigning funds
by the appropriate HUD official,who is usually the for the Fiscal Year source of funds for this
Community Planning and Development(CPD) transaction.
Director in the Field Office. After the HUD official
signs the Agreement,it must be sent to the 5. Budget Start and End Date. Indicate the fiscal
jurisdiction(or entity)for signature.The jurisdiction years of funds for this transaction.
(or entity)must sign or electronically sign the
Agreement and should retain a copy for its records. 6. Previous Obligation. Enter the total amount of
The jurisdiction(or entity)must return the signed funds that have been previously obligated for this
Agreement to the HUD Field Office.The HUD Field participant for this FY source of funds.
Office must forward the executed Agreement to the a. Formula Funds. Enter the total amount of
CFO National Accounting Center for recording and formula funds previously obligated to the
retain a copy for the Field Office files. participant. If this is the funding approval
form for the participant's initial allocation for
For amendments to the Agreement that deobligate the fiscal year,the amount will be"0". If this
funds because of a reduction by HUD - after is a funding approval form for reallocating or
notification from the Headquarters' Office of deobligating funds, enter the amount from
Affordable Housing (OAHP) to proceed, the Box 7 of the previously submitted form
Agreement (HUD-40093) must be signed or HUD-40093 for the FY identified in Box 5.
electronically signed by the appropriate HUD official, b. Community Housing Development
who is usually the CPD Director in the Field Office.It Organization (CHDO) Competitive
is not necessary to have the jurisdiction sign the form. Reallocation. Enter the amount of funds
(Also, please See #8 below) The Field Office should previously obligated to the PJ/entity by
send one copy to the jurisdiction (or entity) for its competition for CHDOs. If this is a funding
records. Forward the HUD signed amendment to the approval form for reallocating or
CFO National Accounting Center to initiate the deobligating funds previously allocated by
deobligation. Email a copy to Headquarters, OAHP, competition for CHDOs, enter the amount
Financial and Information Services Division so that from Box 7 of the previously submitted form
Headquarters can track the deobligation.Retain a copy HUD-40093 for the FY identified in Box 5.
for the Field Office files.
7. Current Transaction. Enter the total amount of
1. Participant Name and Address. The funds for this action.Indicate a deobligation either
participating jurisdiction's(or entity's)name and by placing parentheses around the amount
address as shown in Box 4 of Standard Form 424. deobligated or a minus sign before the amount
deobligated.
2. Grant Number. The applicable grant number a. Formula Funds.Of the amount indicated in
assigned by the HUD for the PJ/entity that Box 7,indicate the amount that is for formula
corresponds to the fiscal year source of funds for funds. If this is a formula fund deobligation,
this transaction. show the distribution of that amount of funds
in Box 7a.1 CHDO funds and/or Box 7a.2
3a. Tax Identification Number. Enter the Tax non-CHDO funds.
(Employer).Identification Number(TIN)shown 1. CHDO.Of the amount indicated in Box
in Box 8b of Standard Form 424.For jurisdictions 7a, indicate the amount that is CHDO
(or entities) that are already participating in the funds.If none,enter"0."Note: If this is
HOME Program,this must be the TIN associated a CHDO competitive reallocation, enter
the amount in 7b.
Page 4 form HUD-40093
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Docusign Envelope ID:96B0565B-DECE-40AC-8691-67E461C6A7EC
Instructions for Completing the Funding Approval and HOME Investment Partnerships Agreement
2. Non-CHDO.Of the amount indicated in information provided by Recipient in the
Box 7a,indicate the amount that is Non- Addendum is consistent with the applicable
CHDO funds.If none,enter"0. requirements in 2 CFR Part 200, the Addendum
will be incorporated into and made part of the
b. CHDO Competitive Reallocation or Agreement. The Recipient also shall provide
Deobligation. Of the amount indicated in HUD with a revised schedule if changes occur,
Box 7,indicate the amount that is reallocated and shall become incorporated herein upon
or deobligated from the CHDO competition HUD's amendment to the Agreement. If there are
funds. more than four agencies/departments carrying out
activities with the Funding Assistance, attach a
8. Revised Obligation. Enter the total amount of list with the additional agencies/departments that
funds available to the jurisdiction(or entity)after will carry out activities with the Funding
this transaction(Box 6 plus/minus Box 7). Most Assistance. Do not include indirect cost rates for
grants have several source years of funds, subrecipients.
therefore,the funding information in#20 must be
filled out with the applicable source year of funds 12. Period of Performance. Performance begins on
and amounts to be deobligated. the initial date of the HUD Authorized
a. Formula Funds. Enter the total amount of Official's signature (Box 15 and Box 10) and
formula funds available to the participating ends on September 30tht of the 6th fiscal year after
jurisdiction after this transaction (Box 6a the expiration of the period of availability for
plus/minus Box 7a). obligation.
b. CHDO Competitive Reallocation.Enter the
total amount of funds available to the 13. For the U.S. Department of HUD (Name and
PJ/entity as a competitive reallocation for Title of Authorized Official).Enter the name and
CHDOs after this transaction (Box 6b title of the HUD official who is authorized to sign
plus/minus Box 7b). the Agreement on behalf of HUD.This is usually
the Field Office CPD Director.
9. Special Conditions. If applicable, check the box
and attach any special conditions that are part of 14. Signature.The authorized HUD official signs the
the Agreement. Agreement here.
10. Federal Award Date. This is the date of 15. Date. Enter the date the authorized HUD official
obligation which is the initial date of the HUD signed the form.In the case of initial agreements.
Authorized Official's signature (Box 15) This This is also the same date as the Federal Award
date of the initial obligation does not change Date,date of obligation(Box 10).
regardless of the Agreement being amended for a
deobligation because of a reduction by HUD. 16. For the Participating Jurisdiction/Entity
(Name and Title of Authorized Office). Enter
11. Indirect Cost Rate. If funding assistance will be the name and title of the official authorized to sign
used for payment of indirect costs pursuant to 2 on behalf of the participating jurisdiction/entity.
CFR 200,Subpart E-Cost Principles,complete the This is not required if the Agreement is being
Addendum to Agreement Grantee (Indirect Cost amended for a deobligation because of a reduction
Rate(s), including the name of the by HUD.
department/agency, its indirect cost rate
(including if the de minimis rate is charged per 2 17. Signature of PJ/Entity Official. The PJ/entity
§ CFR 200.414(f)), and the direct cost base to official signs the Agreement here. This is not
which the rate will be applied (for example, required if the Agreement is being amended for a
Modified Total Direct Costs(MTCD)).If the rate deobligation because of a reduction by HUD.
18. Date. Enter the date the PJ/Entity official signs
the Agreement. This is not required if the
Agreement is being amended for a deobligation
because of a reduction by HUD.
5 form HUD-40093
52
Docusign Envelope ID:96B0565B-DECE-40AC-8691-67E461C6A7EC
Instructions for Completing the Funding Approval and HOME Investment Partnerships Agreement
19. Type of Agreement. Check either Initial 20. Funding Information. For each source year of
Agreement or Amendment#. If an amendment, funding, the following information is provided:
indicate the amendment number. Source year of Funds, Appropriation Code, PAS
Code (with fiscal year indicator code), and
amount.
6 form HUD-40093
53
Docusign Envelope ID:1 B887BBE-228D-47F0-8B9D-28B59FCDAE29
Funding ApprovaUAgreement U.S.Department of Housing and Urban Development
Title I of the Housing and Community Office of Community Planning and Development
Development Act(Public Law 930383) Community Development Block Grant Program OMB Approval eo.2506-0193
93
HI-00515R of 20515R
1.Name of Grantee(as shown in item 5 of Standard Form 424) 3a.Grantee's 9-digit Tax ID Number 3b.Grantee's 9-digit DUNS Number
City of Yakima 916001293 FJNNXI XFJ9K3(UEL)
2.Grantee's Complete Address(as shown in item 5 of Standard Form 424) 4.Date use of funds may begin
129 North 2nd Street 01/01/2024
Yakima,WA 98901 5a.Project/Grant No.1 6a.Amount Approved
B-24-MC-53-0008 $1,013,068.00(by this action)
5b.Project/Grant No.2 6b.Amount Approved
Grant Agreement: This Grant Agreement between the Department of Housing and Urban Development(HUD)and the above named Grantee is made pursuant to the
authority of Title I of the Housing and Community Development Act of 1974,as amended,(42 USC 5301 et seq.).The Grantee's submissions for Title I assistance,the
HUD regulations at 24 CFR Part 570(as now in effect and as may be amended from time to time),and this Funding Approval,including any additional and/or special
conditions,constitute part of the Agreement, Subject to the provisions of this Grant Agreement,HUD will make the funding assistance specified here available to the
Grantee upon execution of the Agreement by the parties. The funding assistance specified in the Funding Approval may be used to pay costs incurred after the date
specified in item 4 above provided the activities to which such costs are related are carried out in compliance with all applicable requirements. Pre-agreement costs may
not be paid with funding assistance specified here unless they are authorized in HUD regulations or approved by waiver and listed in the additional and/or special
conditions to the Funding Approval. The Grantee agrees to assume all of the responsibilities for environmental review,decision making,and actions,as specified and
required in regulations issued by the Secretary pursuant to Section 104(g)of Title I and published in 24 CFR Part 58. The Grantee further acknowledges its responsibility
for adherence to the Agreement by sub-recipient entities to which it makes funding assistance hereunder available.
U.S.Department of Housing and Urban Development(By Name) Grantee Name(Contractual Organization)
John D Schelling CITY OF YAKIMA
Title Title
CPD Director
Signature Date(mmldd/yyyy) Signature Date(mrrJddlyyyy)
rlaccu5lamed by:
X Sri 8/29/2024 X
7.Category of Title I Assistance for this Funding Action: 8.Addifional/Spedal Conditions 9a.Date HUE)Received Submission 10.check one
(check one) ®a.Orig.Funding
Entitlement,Sec 106(b) El None 9b.Date Grantee Notified Approval
Attached ❑b.Amendment
9c.Date of Start of Program Year Amendment Number
01/01/2024
11.Amount of Community Development
Block Grant FY 2024 FY 2023
a.Funds Reserved for this Grantee
b.Funds now being Approved $1,013,047.00 $ 21 00
c.Reservation to be Cancelled
(11a minus 11h)
12a.Amount of Loan Guarantee Commitment now being Approved 12b.Name and complete Address of Public Agency
N/A
Loan Guarantee Acceptance Provisions for Designated Agencies:
The public agency hereby accepts the Grant Agreement executed`by the
Department of Housing and Urban Development on the above date with
respect to the above grant number(s)as Grantee designated to receive loan 12c.Name of Authorized Official for Designated Public Agency
guarantee assistance,and agrees to comply with the terms and conditions
of the Agreement,applicable regulations,and other requirements of HUD -we
now or hereafter in effect,pertaining to the assistance provided it.
Signature
X
HUD Accounting use Only
Effective Date
Batch TAC Program Y A Reg Area Document No. Project Number Category Amount (mm/dd/yyyy) F
1 g 3 _
1 7 6 _
Y Project Number Amount
Y Project Number Amount
Date Entered PAS(mmldd/yyyy) Date Entered LOCCS(mm/dd/yyyy) ( Batch Number Transaction Code Entered By Verified By
24 CFR 570 form HUD-7082(5/15)
54
Docusign Envelope ID:1B887BBE-228D-47F0-8B9D-28B59FCDAE29
8. Additional Conditions.
(a) The period of performance and single budget period for the funding assistance
specified in the Funding Approval ("Funding Assistance") shall each begin on the
date specified in item 4 and shall each end on September 1, 2031. The Grantee
shall not incur any obligations to be paid with such assistance after September 1,
2031.
(b) The Grantee must complete Addendum #1 to Agreement"Grantee Indirect Cost
Rate(s)" and return it to HUD with this Agreement. The addendum HUD receives
from the Grantee will be incorporated into and made part of this Agreement,
provided that the rate information is consistent with the applicable requirements
under 2 CFR part 200. The Grantee must immediately notify HUD upon any
change in the Grantee's indirect cost rate, so that HUD can amend the Agreement
to reflect the change if necessary.
(c) In addition to the conditions contained on form HUD 7082,the grantee shall
comply with requirements established by the Office of Management and Budget
(OMB) concerning the Dun and Bradstreet Data Universal Numbering System
(DUNS);the System for Award Management (SAM.gov.);the Federal Funding
Accountability and Transparency Act as provided in 2 CFR part 25, Universal
Identifier and General Contractor Registration; and 2 CFR part 170, Reporting
Subaward and Executive Compensation Information.
(d) The grantee shall ensure that no CDBG funds are used to support any Federal,
State, or local projects that seek to use the power of eminent domain, unless
eminent domain is employed only for a public use. For the purposes of this
requirement, public use shall not be construed to include economic development
that primarily benefits private entities. Any use of funds for mass transit,
railroad, airport, seaport or highway projects as well as utility projects which
benefit or serve the general public (including energy-related, communication-
related, water- related and wastewater-related infrastructure), other structures
designated for use by the general public or which have other common-carrier or
public-utility functions that serve the general public and are subject to regulation
and oversight by the government, and projects for the removal of an immediate
threat to public health and safety or brownfield as defined in the Small Business
Liability Relief and Brownfields Revitalization Act(Public Law 107-118) shall
be considered a public use for purposes of eminent domain.
(e) The Grantee or unit of general local government that directly or indirectly
receives CDBG funds may not sell, trade, or otherwise transfer all or any such
portion of such funds to another such entity in exchange for any other funds,
credits or non-Federal considerations, but must use such funds for activities
eligible under title I of the Act.
(f) E.O. 12372-Special Contract Condition -Notwithstanding any other provision of
this agreement, no funds provided under this agreement may be obligated or
expended for the planning or construction of water or sewer facilities until receipt
55
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of written notification from HUD of the release of funds on completion of the
review procedures required under Executive Order(E.O.) 12372,
Intergovernmental Review of Federal Programs, and HUD's implementing
regulations at 24 CFR Part 52. The recipient shall also complete the review
procedures required under E.O. 12372 and 24 CFR Part 52 and receive written
notification from HUD of the release of funds before obligating or expending any
funds provided under this agreement for any new or revised activity for the
planning or construction of water or sewer facilities not previously reviewed
under E.O. 12372 and implementing regulations.
(g) CDBG funds may not be provided to a for-profit entity pursuant to section
105(a)(17) of the Act unless such activity or project has been evaluated and
selected in accordance with Appendix A to 24 CFR 570 - "Guidelines and
Objectives for Evaluating Project Costs and Financial Requirements." (Source-
P.L. 113-235, Consolidated and Further Continuing Appropriations Act, 2015,
Division K, Title II, Community Development Fund).
(h) The Grantee must comply with the requirements of the Build America, Buy
America(BABA)Act, 41 USC 8301 note, and all applicable rules and notices, as
may be amended, if applicable to the Grantee's infrastructure project. Pursuant to
HUD's Notice, "Public Interest Phased Implementation Waiver for FY 2022 and
2023 of Build America, Buy America Provisions as Applied to Recipients of
HUD Federal Financial Assistance" (88 FR 17001), any funds obligated by HUD
on or after the applicable listed effective dates, are subject to BABA
requirements, unless excepted by a waiver.
(h) Waste, Fraud, Abuse, and Whistleblower Protections. Any person who becomes
aware of the existence or apparent existence of fraud, waste or abuse of any HUD
award must report such incidents to both the HUD official responsible for the
award and to HUD's Office of Inspector General (OIG). HUD OIG is available to
receive allegations of fraud, waste, and abuse related to HUD programs via its
hotline number(1-800-347-3735) and its online hotline form. You must comply
with 41 U.S.C. § 4712,which includes informing your employees in writing of
their rights and remedies, in the predominant native language of the workforce.
Under 41 U.S.C. § 4712, employees of a government contractor, subcontractor,
grantee, and subgrantee—as well as a personal services contractor—who make a
protected disclosure about a Federal grant or contract cannot be discharged,
demoted, or otherwise discriminated against as long as they reasonably believe
the information they disclose is evidence of: 1. Gross mismanagement of a
Federal contract or grant; 2. Waste of Federal funds; 3. Abuse of authority
relating to a Federal contract or grant; 4. Substantial and specific danger to public
health and safety; or 5. Violations of law,rule, or regulation related to a Federal
contract or grant.
(i) The Grantee will comply with the right to report crime and emergencies
protections at 34 U.S.C. 12495 of the Violence Against Women Act.
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Docusign Envelope ID:1 B887BBE-228D-47F0-8B9D-28B59FCDAE29
Addendum#1 to Agreement B-24-MC-53-0008
Grantee Indirect Cost Rate(s)
As the duly authorized representative of the Grantee,I certify that the Grantee:
❑ Will not use an indirect cost rate to calculate and charge indirect costs under the grant.
❑ Will calculate and charge indirect costs under the grant by applying a de minimis rate as
provided by 2 CFR 200.414(f),as may be amended from time to time.
❑ Will calculate and charge indirect costs under the grant using the indirect cost rate(s)listed
below, and each rate listed is included in an indirect cost rate proposal developed in accordance
with the applicable appendix to 2 CFR part 200 and, if required,was approved by the cognizant
agency for indirect costs.
Agency/department/major function Indirect cost rate Type of Direct Cost Base
%
1 %
Name of Authorized Official: Signature: Date
(mm/dd/yyyy):
Title:_ X
j
Instructions for the Grantee's Authorized Representative:
You must mark the one(and only one)checkbox above that best reflects how the
Grantee's indirect costs will be calculated and charged under the grant. Do not
include indirect cost rate information for subrecipients.
The table following the third box must be completed only if that box is checked.
When listing a rate in the table, enter both the percentage amount(e.g., 10%)and the
type of direct cost base to be used.For example, if the direct cost base used for
calculating indirect costs is Modified Total Direct Costs,then enter"MTDC"in the
"Type of Direct Cost Base"column.
If using the Simplified Allocation Method for indirect costs, enter the applicable
indirect cost rate and type of direct cost base in the first row of the table.
If using the Multiple Allocation Base Method,enter each major function of the
organization for which a rate was developed and will be used under the grant,the
indirect cost rate applicable to that major function,and the type of direct cost base to
which the rate will be applied.
If the Grantee is a government and more than one agency or department will carry
out activities under the grant,enter each agency or department that will carry out
activities under the grant,the indirect cost rate(s)for that agency or department, and
the type of direct cost base to which each rate will be applied.
To learn more about the indirect cost requirements, see 2 CFR part 200, subpart E and
Appendix VII to Part 200(for state and local governments).
57
�QPP�y1EN i°H°
y U.S.DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
* �� OFFICE OF COMMUNITY PLANNING AND DEVELOPMENT
Seattle Regional Office
se4N DEve-°` 909 First Avenue,Suite 3000
Seattle,WA 98104
August 28, 2024
Bill Preston
Director of Community Development
City of Yakima
129 North 2nd Street
Yakima, WA 98901
SUBJECT: Fiscal Year 2024 Grant Agreement Transmittal
Dear Bill Preston:
The Seattle Field Office would like to thank you for your continued partnership in
providing quality affordable housing, a suitable living environment, and expanding economic
opportunities for low-and moderate-income persons through the Department of Housing and
Urban Development(HUD)programs.
One Grant Agreement is attached for each program awarded as follows:
Community Development Block Grant Program (CDBG) $1,013,068.00
HOME Investment Partnerships (HOME) $458,940.23
Total FY 2024 Award $ 1,472,008.23
Plan Approval
Transmittal of a grant agreement does not constitute approval of the activities described
in your Consolidated Plan. You are reminded that you, as grantee, are responsible for ensuring
that all grant funds are used in accordance with all program requirements. By executing the
Grant Agreement(or Funding Approval/Agreement) you will be entering into a legally binding
agreement with HUD to use the awarded funds and carry out the funded activities in accordance
with all Federal statutes, regulations, and award terms and conditions that apply to those funds
and activities.
Please note the special conditions that may be attached to each agreement.
HOME Program Resale/Recapture Requirements
In accordance with the HOME regulations at 24 CFR 92.254(a)(5), a Participating
Jurisdiction (PJ) must establish resale and/or recapture requirements that comply with the
standards of the regulation. Furthermore, the resale and/or recapture requirements must be set
forth in the PJ's Consolidated Plan. HUD must determine if the PJ's provisions comply with the
requirements of the regulations and notify the PJ in writing of its determination. HUD has
reviewed your resale and/or recapture provisions and has determined that the provisions included
in the Plan comply with the requirements at 24 CFR 92.254(a)(5).
58
Affirmatively Furthering Fair Housing
On February 9, 2023, HUD published in the Federal Register a Notice of Proposed
Rulemaking (NPRM) entitled"Affirmatively Furthering Fair Housing." The proposed rule
implements the Fair Housing Act's statutory mandate to affirmatively further fair housing
(AFFH), which directs HUD to ensure that the agency and its program participants proactively
take meaningful actions to overcome patterns of segregation, promote fair housing choice,
eliminate disparities in opportunities, and foster inclusive communities free from discrimination.
The public comment period ended on April 24, 2023, and HUD is in the process of finalizing the
rule. More information, including a Fair Housing Planning Toolkit, updates, and, once published,
the final rule, is available here. The AFFH Interim Final Rule (86 FR 30779) remains in
effect during proposed rulemaking.
Preventing Waste, Fraud, and Abuse and Whistleblower Protections
Preventing waste, fraud, and abuse of Federal funds is a shared responsibility and any
person who becomes aware of the existence or apparent existence of fraud, waste or abuse of any
HUD award must report such incidents to both the HUD official responsible for the award and to
HUD's Office of Inspector General (OIG). HUD OIG is available to receive allegations of fraud,
waste, and abuse related to HUD programs via its hotline number(1-800-347-3735) and its
online hotline form.
Please be reminded of the Whistleblower Protection requirements contained in 41 U.S.C.
§ 4712, which, as amended, protect employees of a government contractor, subcontractor,
grantee, and subgrantee from retaliation or reprisal as a result of protected disclosures of gross
mismanagement, gross waste, abuse of authority, and other violations in connection with Federal
contracts or grants. Grantee must inform employees in writing of their rights and remedies.
Federal Funding Accountability and Transparency Act (FFATA)
The FFATA Subaward Reporting System (FSRS)is a reporting tool that Federal prime
awardees (i.e., prime grant recipients and prime contractors) use to capture and report subaward
and executive compensation data to meet the FFATA reporting requirements. For FSRS
reporting, prime awardees will report on all subawards they make. In accordance with 2 CFR
part 170, prime awardees awarded a Federal grant are required to file a FFATA subaward report
by the end of the month following the month in which the prime awardee awards any subaward
equal to or greater than $30,000 in Federal funds. Additional information can be found on the
FSRS website, at https://www.fsrs.gov/.
Revised Federal Uniform Guidance (2 CFR Part 200)
In April 2024, the Office of Management and Budget(OMB)issued revised OMB Guidance
for Grants and Agreements,which is now called the OMB Guidance for Federal Financial
Assistance. In this update, there have been significant changes made to 2 CFR Part 200, Uniform
Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards,
commonly known as the"Uniform Guidance." More information on these revision is available
59
here and here. Of particular note, the revisions increase of the Single Audit threshold from
$750,000 to $1 million and the de minimis indirect cost rate will increase from 10 percent to up
to 15 percent of Modified Total Direct Costs (MTDC). The revisions to 2 CFR Part 200, Subpart
F (Audit Requirements) will be effective for fiscal years beginning on or after October 1, 2024.
The rest of the changes will take effect on October 1, 2024, for(1) awards issued on or after
October 1, 2024, and (2) awards HUD has expressly made subject to the regulations as may be
amended.
Environmental Review Requirements
You are reminded that all activities are subject to the provisions at 24 CFR Part 58
(Environmental Review Procedures). Furthermore, funds for certain activities may not be
obligated or expended until HUD has approved a Request for Release of Funds (RROF) and
issued an Authority to Use Grant Funds (AUGF). A RROF must be signed by a certifying
officer and submitted to HUD along with proof of public notice. Until the AUGF has been
issued, no HUD funds can be committed. If the project or activity is Exempt per 24 CFR 58.34
or Categorically Excluded Not Subject to 58.5 per 24 CFR 58.35(b), no RROF is required.
On April 23, 2024, HUD published the Federal Flood Risk Management Standard
(FFRMS)Final Rule to better protect communities from flooding. This Rule amends HUD's
existing floodplain regulations to require a greater level of flood protection for HUD-funded
projects. The Rule, with a compliance date of June 24, 2024, applies to all CPD programs (with
the exception of HTF) as part of the environmental review process. Additional information can
be found at https://www.hud.gov/programoffices/comm_planning/environment_energy/ffrms.
Build America, Buy America (BABA)
The Build America, Buy America(BABA) Act established a Buy America Preference
(BAP)which requires that certain CPD-funded infrastructure projects procure all iron and steel,
construction materials, and manufactured products from domestic sources, unless exempted by a
general or project-specific waiver. HUD issued a Phased Implementation Waiver that phases in
the BAP based on the program funding and materials used. In FY24, the BAP will apply to
additional covered CPD programs and materials. Grantees are encouraged to utilize BABA
resources on the HUD Exchange, including the CPD BABA Implementation Guidance, for
information on how to determine if the BAP applies to a specific project and resources to
maximize the flexibilities provided by current HUD general waivers.
Executing the Agreement
Please execute each agreement with electronic signature and date and return to this office
to the attention of John D. Schelling, Director, Community Planning and Development. Please
ensure the Chief Elected Official or authorized official electronically signs the agreement and
maintain a copy of each signed agreement in your local program files.
Indirect Cost Rate Addendum: New for FY2024, the authorized official must complete
the Indirect Cost Rate Addendum to each agreement. Please mark one (and only one) checkbox
60
to reflect how indirect costs will be calculated and charged under the grant. Complete this section
in full by applying the authorized official's name, title, date, and signature. For grantees electing
to use the de minimis indirect cost rate: As noted above, under the 2024 Revisions to 2 CFR Part
200, the de minimis indirect cost rate will increase from 10 percent to up to 15 percent of MTDC.
For FY2024 grants, any grantee that elects to use the de minimis indirect cost rate, and indicates
this selection on the Indirect Costs Rate Addendum to the agreement(2nd checkbox), is permitted
to utilize the de minimis rate of up to 15 percent when the 2 CFR revisions become effective on
October 1, 2024, regardless of whether the grant agreement is executed before, on, or after
October 1, 2024. However, Grantees using the de minimis rate may only apply the higher rate to
MTDC amounts that are incurred on or after October 1, 2024.
For additional information and guidance on grant-based accounting, please refer to the
HUD Exchange at: https://www.hudexchange.info/manage-a-program/ rant-based-accounting/.
To establish a Line of Credit for Fiscal Year 2024 grant funds, you will need to sign,
execute and return one copy of each agreement. If you need to add or remove individuals
authorized to access the Integrated Disbursement Information System (IDIS), please complete an
IDIS Online Access Request Form(HUD 27055), notarize it, and return it to this office.
Additionally, if you need to establish or change the depository account where these funds are to
be wired, a Direct Deposit Sign-Up form (SF-1199A)must be completed by your financial
institution and returned to this office with a copy of a voided check.
HUD congratulates City of Yakima on your grant award, and we look forward to assisting
you in accomplishing your programs goals. If you have any questions or need further
information or assistance, please contact Tara Sullivan, Regional Financial Analyst at(206)220-
5258 or tara.r.sullivan a hud.gpv.
Sincerely,
JOHN Digitally signed OHN CHELLINGbY
SCHELLING 07:15 36-07 00 9
John D. Schelling, Director
Office of Community Planning and
Development
Enclosures
61