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NE IA School of Music Grant AgrMEMORANDUM December 10, 2001 TO: FROM: SUBJECT: The Honorable Mayor and City Council Members Michael C. Van Milligen, City Manager Grant Agreement with Northeast Iowa School of Music Leisure Services Manager Gil Spence is recommending approval of a grant agreement with the Northeast Iowa School of Music, which would provide for music lessons for three Iow-income students per quarter, at a cost of $460 per quarter. I concur with the recommendation and respectfully request Mayor and City Council approval. Michael C Van Milligen MCVM/jh Attachment cc: Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Gil D. Spence, Leisure Services Manager CITY OF DUBUQUE, IOWA MEMORANDUM December 4, 2001 TO: Michael C. Van Milligen, City Manager FROM: Gil D. Spence, Leisure Services Manager SUBJECT: Grant Agreement with Northeast Iowa School of Music INTRODUCTION The purpose of this memorandum is to request City Council approval of a grant agreement with Northeast Iowa School of Music. BACKGROUND As part of our Uptown Recreation Program, I am working with local arts organizations to contract services for Iow and moderate income residents. This is the first contract developed to offer opportunities for Iow income people. This contract provides for music lessons at the Northeast Iowa School of Music for three students per quarter, at a cost of $460 per quarter. ACTION STEP The action requested is that the City Council approve the attached grant agreement and authorize the City Manager to sign it. GDS:et attachment GRANT AGREEMENT Music Lessons FY 2002 This AGREEMENT dated as of the 17th day of December, 2001, is entered into by and between the CITY OF DUBUQUE, IOWA, a municipal corporation organized and existing under the laws of the State of Iowa (hereinafter referred to as the "City") and the Northeast Iowa School of Music, with its principal place of business in Dubuque, Iowa, (hereinafter referred to as the "School"). WITNESSETH: Whereas, the City is a participating city in the Community Development Block Grant Program of the United States Department of Housing and Urban Development; and Whereas, the City wishes to engage the School to assist the City of Dubuque in utilizing such funds. NOW THEREFORE, in consideration of the premises and respective covenants, agreements and representations hereinafter set forth, the parties agree as follows: I. SCOPE OF SERVICES/CONTRACT TERMS A. School shall provide the following services to eligible residents of the City of Dubuque in a manner satisfactory to the City and consistent with any standards required as a condition of providing these funds. Such program will include the following activities eligible under the Community Development Block Grant Program: To plan, organize and conduct music lessons for Iow/moderate youth. These activities are in accordance with specifications as required by the Leisure Services Department of the City. In the event of a conflict between such applicant's proposals and the provisions herein, that provision which in the opinion of the City provides the greatest benefit to the City shall prevail. Failure of the School to provide any of the services proposed shall be deemed a material breach of this Agreement. -1- B. The School certifies that the activities carried out with funds provided under this Agreement will meet the CDBG program's National Objectives: (Attachment A lists the income guidelines). 570.208(a)(2) Limited clientele activities: An activity which benefits a limited clientele, at least 51 percent of whom are Iow-or-moderate- income persons requires information on family size, income, ethnic origin and female head of household. Performance Monitoring. The City will monitor the performance of the School against goals and performance standards required herein. Substandard performance as determined by the City, which includes noncompliance with the Community Development Block Grant (CDBG) p~ogram, will constitute noncompliance with this agreement, if action to correct such substandard performance is not taken by the School within a reasonable period of time after being notified by the City contract suspension or termination procedures will be initiated. II. GRANT TERMS City agrees to grant to School an amount not to exceed 9460 per quarter, Subject to the terms and conditions set forth herein which terms and conditions School accepts. III. TIME OF PERFORMANCE IV. Services of the School shall start on the 1st day of October, 2001, and ends on the 30th day of July, 2002. The term of this Agreement and the provisions herein shall be extended to cover any additional time period during which the School remains in control of CDBG funds or other assets including program income. BUDGET The costs of the program will be incurred by the School for personnel, rental, supplies and all costs related to the implementation of this program as agreed to by the City's Leisure Services Department. Any indirect costs charged must be consistent with the conditions of Paragraph VIII (C)(3) of this Agreement. In addition, the City may require a more detailed budget breakdown, and the School shall provide such supplementary budget information in a timely fashion in the form and content prescribed by the City. Any amendments to this budget must be approved in writing by the City and the School. -2- V. PAYMENT VI. A. It is expressly agreed and understood that the total amount to be paid by the City under this contract shall not exceed $460 per quarter. B. The School is to be paid at the beginning of each quarter. NOTICES: Communication and details concerning this contract shall be directed to the following contract representatives: CITY Gil D. Spence Leisure Services Department 2200 Bunker Hill Road Dubuque, Iowa 52001-3010 NORTHEAST IOWA SCHOOL OF MUSIC Tracey Rush Northeast Iowa School of Music 2728 Asbury Road Dubuque, Iowa 52001 VII. GENERAL CONDITIONS General Compliance The School agrees to comply with the requirements of Title 24 Code of Federal Regulations, Part 570 of the Housing and Urban Development regulations concerning Community Development Block Grants (CDBG) and all federal regulations and policies issued pursuant to these regulations. The School further agrees to utilize funds available under this Agreement to supplement rather than supplant funds otherwise available. The School agrees to comply with all applicable federal, state and local laws and regulations governing the funds provided under this contract. Independent Contractor Nothing contained in this Agreement is intended to, or shall be construed in any manner, as creating or establishing the relationship of employer/ employee between the parties. The School shall at all times remain an independent contractor with respect to the services to be performed under this Agreement. The City shall be exempt from payment of all Unemployment Compensation, FICA, retirement, life and/or medical insurance and Workers' Compensation Insurance as the School is an independent contractor. C. Hold Harmless The Extension shall hold harmless, defend and indemnify the City from any and all claims, actions, suits, charges and judgements whatsoever that arise out of the Extension's performance or nonperformance of the services or subject matter called for in this Agreement. -3- Workers' Compensation The School shall provide Workers' Compensation Insurance coverage for all employees involved in the performance of this contract. Insurance and Bonding The School shall maintain insurance to the extent and against such hazards and liabilities as are in keeping with the current insurance program of City. Grantor Recognition The School shall insure recognition of the role of the City in providing services through the contract. All activities, facilities and items utilized pursuant to this contract shall be prominently labeled as to funding source. In addition, the School will include a reference to the support provided herein in all publications made possible with funds available under this contract. G. Amendments City or School may amend this Agreement at any time provided that such amendments make specific reference to this Agreement, and are executed in writing, signed by a duly authorized representative of both organizations, and approved by the City's governing body. Such amendments shall not invalidate this Agreement, nor relieve or release City or School from its obligations under this Agreement. City may, in its discretion, amend this Agreement to conform with federal, state or local governmental guidelines, policies and available funding amounts, or for other reasons. If such amendments result in a change in the funding, the scope of services, or schedule of, the activities to be undertaken as part of this Agreement, such modifications will be incorporated only by written amendment signed by both City and School. H. Suspension or Termination Either party may terminate this contract at any time by giving written notice to the other party of such termination and specifying the effective date thereof at least thirty (30) days before the effective date of such termination. Partial termination of the Scope of Service in Paragraph I A above may only be undertaken with the prior written approval of City. In the event of any termination for convenience, all finished or unfinished documents, data, studies, surveys, maps, models, photographs, reports or other materials prepared by School under this Agreement shall, at the option of the City, become the property of the City, and School shall be entitled to receive just and equitable compensation for any satisfactory work completed on such documents or material prior to the termination but in no event shall School receive more than the amount specified in Paragraph II. City may also suspend or terminate this Agreement, in whole or in part, if School materially fails to comply with any term of this Agreement, or with any of the rules, regulations or provisions referred to herein; and the City may declare the School ineligible for any further participation in City contracts, in addition to other remedies as provided by law. In the event there is probable cause to believe the School is in noncompliance with any applioable rules or regulations, the City may withhold up to fifteen (15) percent of said contract funds until such time as the School is found to be in compliance by the City, or is otherwise adjudicated to be in compliance. IN WITNESS WHEREOF, the parties have executed this contract as of the date first written above. CITY OF DUBUQUE NORTHEAST IOWA SCHOOL OF MUSIC Michael C. Van Milligen City Manager /s/ Tracey R. Rush -5- Attachment A CITY OF DUBUQUE, IOWA INCOME GUIDELINES FOR FINANCIAL ASSISTANCE Maximum Annual Income Family Size Extremely low Income 1 $11,450 2 $13,100 3 $14,750 4- 816,4-00 5 817,700 6 819,000 7 820,300 8 or more 821,600 Low Income 819,100 821,850 824,550 827,300 829,500 831,65O 833,850 836,050 Moderate Income 830,600 834,950 839,300 843,700 847,150 850,650 854,150 857,650 *Subject to change Revised April 10, 2001 Department of Housing and Urban Development 6