HomeMy WebLinkAbout06 - CalRecycle Grant Funding and Approval of Amendment to On-Call PSA for Solid Waste Consulting ServicesTO:
FROM:
CITY OF
NEWPORT BEACH
City Council Staff Report
June 28, 2022
Agenda Item No. 6
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
David A. Webb, Public Works Director - 949-644-3311,
dawebb@newportbeachca.gov
PREPARED BY: Micah Martin, Deputy Public Works Director,
mmartin@newportbeachca.gov
PHONE: 949-644-3055
TITLE: Resolution No. 2022-45: CalRecycle Grant Funding and Approval of
Amendment No. Three to On -Call Professional Services Agreement
with EcoNomics, Inc. for Solid Waste Consulting Services
ABSTRACT:
The State of California Department of Resources Recycling and Recovery (CalRecycle)
administers a Local Assistance Grant Funding Program. To be eligible to apply for and
receive grants, an applicant's governing body must adopt a resolution authorizing the
submittal of grant applications and the acceptance of grant funds. The City Council did
so in 2017 with the approval of Resolution No. 2017-68, but the resolution will expire on
October 25 of this year. Therefore, staff recommends City Council approval of Resolution
No. 2022-45, which if adopted, would enable the City of Newport Beach (City) to continue
pursuing grant opportunities with CalRecyle.
Staff is also recommending acceptance of a CalRecycle SB 1383 Local Assistance Grant
award in the amount of $122,083, which staff applied for under the authority granted
pursuant to Resolution No. 2017-68, and approval of the related amendment to the City's
fiscal year 2022-23 operating budget. Lastly, staff is requesting City Council approval of
Amendment No. Three to the City's On -Call Professional Services Agreement with
EcoNomics, Inc. which, if approved, would increase the not -to -exceed contract amount
by $122,038. This amount would be paid for with the CalRecycle grant funds.
RECOMMENDATION:
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because
this action will not result in a physical change to the environment, directly or indirectly;
b) Adopt Resolution No. 2022-45, A Resolution of the City Council of the City of Newport
Beach, California, Authorizing Submittal ofApplication(s) for All CalRecycle Grants for
Which the City of Newport Beach is Eligible for Five (5) Years;
6-1
Resolution No. 2022-45: CalRecycle Grant Funding and Approval of
Amendment No. Three to On -Call Professional Services Agreement
with EcoNomics, Inc. for Solid Waste Consulting Services
June 28, 2022
Page 2
c) Accept a CalRecycle SB 1383 Local Assistance grant award in the amount of
$122,038; and approve Budget Amendment No. 23-002 to increase revenue by
$122,038 in the CalRecycle grant account, 0108051-431490-G2280 and to increase
expenditure appropriations by the same amount in the Refuse Professional Services
account, 0108051-811008-G2280; and
d) Approve Amendment No. Three to On -Call Professional Services Agreement with
EcoNomics, Inc. for consulting and staff support services to assist the City with
management of the City's Solid Waste program.
DISCUSSION:
On October 24, 2017, the City Council approved Resolution No. 2017-68, authorizing the
public works director, or his designee, to execute on behalf of the City all grant documents
and requests for payments necessary to secure CalRecycle grant funds and implement
CalRecycle grants. The resolution is valid for five years and will expire on October 25,
2022. A new resolution is required to continue pursuing grant opportunities with
CalRecycle. Staff recommends approval of this new resolution to allow the City to
continue to take advantage of CalRecycle's Local Assistance Grant Program
opportunities as they may arise.
CalRecycle's Local Assistance Grant Program recently provided for California cities to
apply for and receive grants to assist with the implementation of regulations and
requirements associated with SB 1383. The total amount available statewide from
CalRecycle for the grants was $57,000,000 and funding was allocated to each city based
on population size. The City was originally allocated $113,640. However, some cities
declined to participate, so the total grant amount for the City was raised to $122,038.
The grant application submitted by the City and the funding approved by CalRecycle
include implementation of requirements and programs associated with the State's SB
1383 program. The following tasks are required under SB 1383 and were included in the
City's grant application:
• Implementation of an Edible Food Recovery Program — SB 1383 requires that
Tier 1 generators, which includes grocery stores located in Newport Beach, have
an edible food donation program in place by January 1, 2022 and Tier 2
generators, which includes larger hotels with on -site food service and larger
restaurants in Newport Beach, are required to have an edible food donation
program in place by 2024. EcoNomics will provide outreach and notification to
ensure they are aware of the requirements and deadline for edible food donation
programs and will aid in implementing programs as needed. As required by
SB 1383, EcoNomics will submit necessary edible food capacity planning reports
to the County of Orange and edible food donation programs compliance reports to
CalRecycle.
6-2
Resolution No. 2022-45: CalRecycle Grant Funding and Approval of
Amendment No. Three to On -Call Professional Services Agreement
with EcoNomics, Inc. for Solid Waste Consulting Services
June 28, 2022
Page 3
• Assist with Procurement of Recycled Organics -Content Products (ROCPs) -
SB 1383 requires the City to develop procurement systems to ensure that an
annual tonnage target of ROCP materials is purchased. EcoNomics will develop a
procurement tracking and reporting system internally and with the City's vendors,
and assist in reporting procurement targets to CalRecycle.
• On -site Technical Assistance to AB 1826 and SB 1383 Commercial
Generators — The State requires businesses to implement organic recycling
programs with the goal of diverting 75% of organic materials from landfills.
EcoNomics will assist businesses with development and implementation of organic
recycling programs for businesses to comply with AB 1826 and SB 1383.
• On -site Technical Assistance to AB 1826 and SB 1383 Multi -Family
Generators - The State requires multi -family generators to implement organic
recycling programs with the goal of diverting 75% of organic materials from
landfills. EcoNomics will assist multi -family generators with development and
implementation of organic recycling programs for the multi -family generators to
comply with AB 1826 and SB 1383.
• Enforcement Protocol Development — SB 1383 requires that cities implement
enforcement protocols in relation to non -compliant accounts. EcoNomics will
develop enforcement protocols that adhere to the City's SB 1383-aligned
mandatory participation ordinance, Ordinance No. 2021-25.
• Waiver Protocol Development - The City's SB 1383-aligned mandatory
participation ordinance, Ordinance No. 2021-25, requires all generators to
subscribe to organics recycling programs, but allows for the City to issue waivers
for de minimis generation levels and lack of physical space. EcoNomics will assist
the City in developing a standard operating procedure (SOP) for evaluation and
verification of SB 1383 waivers.
The City's management and oversight of the solid waste program is staffed at baseline
levels and has required professional consulting and staff support services to assist the
City through the formation, organization and implementation of the State's new mandated
and expanded solid waste recycling and diversion program requirements. Therefore, staff
desires to utilize the City's solid waste consultant, EcoNomics, to accomplish the tasks
included in the grant application. The CalRecycle grant funds awarded to the City in the
amount of $122,038 would be used to cover the added contract services cost.
To do so, an amendment to EcoNomics' contract is necessary to increase the contract's
not -to -exceed amount by $122,038. By utilizing EcoNomics to perform these
grant -specific functions, staff can continue to focus on frontline operations, such as the
continued public relations, program and customer service efforts associated with the
City's new residential contract implementation, commercial franchise system organics
program implementation, new billing set-up and implementation, and other connected
program items. EcoNomics possesses the required technical skill set and has been
working with the City on solid waste, recycling and CalRecycle issues.
6-3
Resolution No. 2022-45: CalRecycle Grant Funding and Approval of
Amendment No. Three to On -Call Professional Services Agreement
with EcoNomics, Inc. for Solid Waste Consulting Services
June 28, 2022
Page 4
FISCAL IMPACT:
There is no net impact to the City's General Fund. If approved, the budget amendment
appropriates $122,038 in additional revenue from the CalRecycle Local Assistance Grant
to the operating budget to cover the same increased expenditure appropriations for solid
waste consulting. The revenue will be posted to the Refuse CalRecycle account in the
Public Works Department, 0108051-431490-G2280, and the purchase will be expensed
to the Refuse Professional Services account in the Public Works Department, 0108051-
811008-G2280, as then used by the City's solid waste consultant, EcoNomics, to
undertake and perform the necessary work to meet State program requirements.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California
Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not
result in a direct or reasonably foreseeable indirect physical change in the environment)
and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENTS:
Attachment A — Resolution No. 2022-45
Attachment B — CalRecycle SB 1383 Local Assistance Grant Award and Agreement
Notification
Attachment C — Budget Amendment
Attachment D —Amendment No. Three to On -Call Professional Services Agreement with
EcoNomics, Inc.
ATTACHMENT A
RESOLUTION NO. 2022-45
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH, CALIFORNIA, AUTHORIZING
SUBMITTAL OF APPLICATION(S) FOR ALL
CALRECYCLE GRANTS FOR WHICH THE CITY OF
NEWPORT BEACH IS ELIGIBLE FOR FIVE (5) YEARS
WHEREAS, Public Resources Code sections 48000 et seq., 14581, and
42023.1(g) authorize the Department of Resources Recycling and Recovery
("CalRecycle' to administer various grant programs ('Grants' in furtherance of the State
of California's ("State") efforts to reduce, recycle, and reuse solid waste generated in the
State thereby preserving landfill capacity and protecting public health and the
environment;
WHEREAS, in furtherance of this authority, CalRecycle is required to establish
procedures governing the payment programs and administration of the application,
awarding, and management of the Grants; and
WHEREAS, CalRecycle procedures for administering payment and Grants
require, among other things, an applicant's governing body to declare, by resolution,
certain authorizations related to the administration of the payment and Grants.
NOW, THEREFORE, the City Council of the City of Newport Beach resolves as
follows..
Section 1: The City Council does hereby authorize the submittal of
application(s) to CalRecycle for any and all Grants and payment programs offered for
which the City of Newport Beach ("City") is eligible.
Section 2: The City Council does hereby authorize and empower the City
Manager, or the City Manager's designee, to execute in the name of the City of Newport
Beach all documents, including but not limited to, applications, agreements, amendments
and requests for payment, necessary to secure funds and implement the approved Grant
or payment project.
Section 3: These authorizations are effective for five (5) years from the date of
adoption of this resolution.
Section 4: The recitals provided in this resolution are true and correct and are
incorporated into the operative part of this resolution.
6-5
Resolution No. 2022-
Page 2 of 2
Section 5: If any section, subsection, sentence, clause, or phrase of this
resolution is, for any reason, held to be invalid or unconstitutional, such decision shall not
affect the validity or constitutionality of the remaining portions of this resolution. The City
Council hereby declares that it would have passed this resolution, and each section,
subsection, sentence, clause, or phrase hereof, irrespective of the fact that any one or
more sections, subsections, sentences, clauses or phrases be declared invalid or
unconstitutional.
Section 6: The City Council finds the adoption of this resolution is not subject to
the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the
activity will not result in a direct or reasonably foreseeable indirect physical change in the
environment) and 15060(c)(3) (the activity is not a project as defined in Sections 15378)
of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3,
because it has no potential for resulting in physical change to the environment, directly or
indirectly.
Section 7: This resolution shall take effect immediately upon its adoption by the
City Council, and the City Clerk shall certify the vote adopting the resolution.
ADOPTED this 28th day of June, 2022.
Kevin Muldoon
Mayor
ATTEST:
Leilani I. Brown
City Clerk
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
/0'� C- ot"�
Adon C. Harp City Attorney
Attorney
W.
ATTACHMENT B
From: Fong, Matthew@CalRecycle
Sent: Wednesday, April 27, 2022 11:55 AM
To: mmartin@newportbeachca.gov <mmartin@newportbeachca.gov>
Cc: dawebb@newportbeachca.gov <dawebb@newportbeachca.gov>
Subject: SB 1383 Local Assistance Grant Program (0WR1) — City of Newport Beach — Award Notification
Congratulations! The Department of Resources Recycling and Recovery (CalRecycle)
approved awards for the first round of the SB 1383 Local Assistance Grant
Program. The Grant Award package consists of the following:
• Exhibit A — Terms and Conditions
• Exhibit B — Procedures and Requirements
Your specific award amount is $122,038.00
Please note that your budget and activities have not yet been approved. I will be
reaching out to you in the next few weeks to revise your budget and discuss eligible and
ineligible costs. I strongly suggest that you wait to incur costs until after our
conversation. If costs are incurred prior and it is determined that an item is ineligible, it
will not be approved.
The grant award is subject to the condition as stated in the Request for Approval of
Awards for SB 1383 Program If the recommended grantee does not pay or bring
current all outstanding debts or scheduled payments owed to CalRecycle within 60
calendar days of the date of this letter, then the proposed grantee will not have met the
required conditions, and the award will be void.
Please retain all Grant Award package documents, which include Exhibits A and B for
your records.
If you have any questions, please contact me at (916) 341-6447 or
Matthew. Fonq(@_CalRecycle.ca.gov.
I look forward to your participation in this grant program.
Sincerely,
Matt Fong
CalRecycle - HHW Grants and Used Oil Programs
Matthew. Fong(@ Cal Recycle.ca.gov
1-916-341-6447
6-7
CalRecycle'a
Application Information
Grants Management System (GMS)
Application Certification
Applicant: City of Newport Beach
Cycle Name: SB 1383 Local Assistance Grant Program
Cycle Code: OWR1
Grant ID: 25535
Grant Funds Requested: $113,640.00
Matching Funds: $0.00 (if applicable)
Contacts
Name Title
Micah Martin
Micah Martin
Budget
Category Name
Admin Costs
Collection
Education
Enforcement
Equipment
Indirect Costs
Marketing/Promotion/Outreach
Materials
Personnel
Training
Upgrade/Expansion
Documents
Required
Application Certification
Required By Secondary Due Date
Resolution - Individual Application
Resolution - Regional Application Lead Participant
Other Supporting Document(s)
Draft Resolution
Joint Powers Agreement
Letter of Authorization/Resolution
Letter of Designation
Deputy Public Works Director
Deputy Public Works Director
Amount
$0.00
$0.00
$7,424.00
$25,113.00
$0.00
$0.00
$7,424.00
$0.00
$73,679.00
$0.00
$0.00
Document Title
Application Due Date: 02/01/2022
Secondary Due Date: 03/01 /2022
Prime Second Auth Cnslt Prtcpnt.
Auth
X
X
Resolution 2017-68 - Authorizing Submittal of Application(s) for all
CalRecycle Grants.pdf
https://secure.calrecycle.ca.gov/Grants/Grant/Grant,aspx?GrantlD=25535
Date Generated February 1. 2022 8:07 AM
Received Date
1 /31 /2022
Page 1 of 3
Application Certification
Resolution
1383 Local Assistance Grant Program: Check the following, as applicable. See Application Guidelines and Instructions for more
information.
X Applicant acknowledges that a Resolution is uploaded in the application. The Resolution must be approved by its governing body,
which authorizes submittal of the application and designates a signature authority. If applicable, applicant has uploaded a Letter of
Designation (LOD) designating an additional signature authority(ies).
Program Questions
California Labor Code section 1782 prohibits a charter city from receiving state funding or financial assistance for construction projects
if that charter city does not comply with Labor Code sections 1770-1782. If any applicants or participating jurisdictions are charter
cities or joint powers authorities that include charter cities, the lead applicant must certify that Labor Code section 1782 does not
prohibit any included charter city from receiving state funds for the project described in this application. If it is determined after award
that a participating jurisdiction is a charter city prohibited from receiving state funds for this grant project, the grant will be terminated
and any disbursed grant funds shall be returned to CalRecycle.
If any applicant or participating jurisdiction is a charter city or a joint powers authority that contains one or more charter cities, does
Labor Code section 1782 prohibit those charter cities from receiving state funding for the project described in this grant application?
Check the following, as applicable.
X No. Applicant certifies that no charter cities included in this application are prohibited from receiving state funding for the project
described in this grant application.
1383 Local Assistance Grant Program: Will your jurisdiction have an enforceable ordinance(s), or similarly enforceable mechanism
pursuant to section 18981.2 of Title 14 of the California Code of Regulations submitted to CalRecycle by April 1, 2022?
X Yes
1383 Local Assistance Grant Program: If you are a Special District, do you provide solid waste collection services?
X Not Applicable
Conditions and Certification
Condition of Application Submittal: Acceptance of Grant Agreement Provisions
In the event the Applicant is awarded a grant, the submittal of this Application constitutes acceptance of all provisions contained in the
Grant Agreement, which may consist of the following:
• Executed Grant Agreement Cover Sheet and any approved amendments
• Exhibit A - Terms and Conditions
• Exhibit B - Procedures and Requirements
• Exhibit C - Application with revisions, if any, and any amendments
Environmental Justice:
In the event Applicant is awarded a grant, submittal of this Application constitutes acceptance of the following, that in the performance
of the Grant Agreement, Applicant/Grantee shall conduct their programs, policies, and activities that substantially affect human health
or the environment in a manner that ensures the fair treatment of people of all races, cultures, and income levels, including minority
populations and low-income populations of the State. (see Govt. Code §65040.12(e) and Pub. Resources Code §71110(a))
https://secure. calrecycle.ca.gov/Grants/Grant/Grant.aspx?GrantlD=25535
Date Generated: February 1, 2022 8:07 AM
Page 2 of 3
. •
Application Certification
Certification:
I declare under penalty of perjury under the laws of the State of California, that funds have been allocated for the project(s)/activities
identified in the grant application and that sufficient funds are available to complete the project(s)/activities identified in the grant
application, that I have read the Application Guidelines and Instructions and that all information submitted for CalRecycle's
consideration fora and of gran nds is true and correct to the best of my knowledge, and that on behalf of the Applicant I accept the
above conditio o submittal
Signalure o tgnirture Auth y (as authorized in Resolution or Letter of Date
Commitment) or 11 whorized Designee (as authorized in letter (Y'Designation,
submitted with this Application)
Ia'�'rici 0(4�q
Print Name
Print Title
IMPORTANT! Applicant must print out this document, have the Signature Authority sign it, upload signed document to the
application system, and retain the original hard copy document in your cycle file.
https:Hsecure.calrecycle. ca.gov/Grants/Grant/Grant.aspx?GrantlD=25535
Date Generated: February 1, 2022 8:07 AM
Page 3 of 3
6-10
From: CalRecycle Grants <grants@cal recycle.ca.gov>
Date: May 24, 2022 at 3:33:51 PM PDT
To: "Martin, Micah" <MMartin @newportbeachca.gov>
Subject: SB1383 Local Assistance Grant Program (OWR1) - Payment Notice from CalRecycle
Reply -To: CalRecycle Grants <grants@cal recycle. ca. gov>
Congratulations on being approved for the award and distribution of CalRecycle's
SB1383 Local Assistance Grant Program (OWR1) funding. Your jurisdiction should
receive their check by the end of this month. Please notify your appropriate staff who
will be receiving the checks to ensure it is applied to the correct program.
Questions concerning the above information should be directed to your CalRecycle
Grant Manager.
Thank you,
Grants Team
CalRecycle
6-11
Exhibit A
Terms and Conditions
SB 1383 Local Assistance Grant Program
Fiscal Year 2021-22
The following terms used in this Grant Agreement (Agreement) have the meanings
given to them below, unless the context clearly indicates otherwise:
• "CalRecycle" means the Department of Resources Recycling and Recovery.
• "Director" means the Director of CalRecycle or his or her designee.
• "Grant Agreement" and "Agreement" means all documents comprising the
agreement between CalRecycle and the grantee for this grant.
• "Grant Manager" means CalRecycle staff person responsible for monitoring the
grant.
• "Grantee" means the recipient of funds pursuant to this Agreement.
• "Program" means the SB 1383 Local Assistance Grant Program.
• "State" means the State of California, including, but not limited to, CalRecycle and/or
its designated officer.
Air or Water Pollution Violation
The grantee shall not be:
(a) In violation of any order or resolution not subject to review promulgated by the State
Air Resources Board or an air pollution control district.
(b) Out of compliance with any final cease and desist order issued pursuant to Water
Code Section 13301 for violation of waste discharge requirements or discharge
prohibitions.
(c) Finally determined to be in violation of provisions of federal law relating to air or
water pollution.
Amendment
No amendment or variation of the terms of this Agreement shall be valid unless made in
writing, signed by the parties, and approved as required. No oral understanding or
agreement not incorporated into this Agreement is binding on any of the parties. This
Agreement may be amended, modified or augmented by mutual consent of the parties,
subject to the requirements and restrictions of this paragraph.
Americans with Disabilities Act
The grantee assures the state that it complies with the Americans with Disabilities Act of
1990 (ADA) (42 U.S.C.§ 12101 et seq.), which prohibits discrimination on the basis of
disability, as well as all applicable regulations and guidelines issued pursuant to the
ADA.
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21
6-12
Assignment, Successors, and Assigns
(a) This Agreement may not be assigned by the grantee, either in whole or in part,
without CalRecycle's prior written consent.
(b) The provisions of this Agreement shall be binding upon and inure to the benefit of
CalRecycle, the grantee, and their respective successors and assigns.
Audit/Records Access
The grantee agrees that CalRecycle, the Department of Finance, the Bureau of State
Audits, or their designated representative(s) shall have the right to review and to copy
any records and supporting documentation pertaining to the performance of this
Agreement. The grantee agrees to maintain such records for possible audit for a
minimum of three (3) years after final payment date or grant term end date, whichever is
later, unless a longer period of records retention is stipulated, or until completion of any
action and resolution of all issues which may arise as a result of any litigation, dispute,
or audit, whichever is later. The grantee agrees to allow the designated
representative(s) access to such records during normal business hours and to allow
interviews of any employees who might reasonably have information related to such
records. Further, the grantee agrees to include a similar right of the State to audit
records and interview staff in any contract or subcontract related to performance of this
Agreement.
[It may be helpful to share the Terms and Conditions (Exhibit A) and Procedures and
Requirements (Exhibit B) with your finance department, contractors and subcontractors.
Examples of audit documentation include, but are not limited to: expenditure ledger,
payroll register entries and time sheets, personnel expenditure summary form, travel
expense log, paid warrants, contracts, change orders, invoices, and/or cancelled
checks.l
Authorized Representative
The grantee shall continuously maintain a representative vested with signature authority
authorized to work with CalRecycle on all grant -related issues. The grantee shall, at all
times, keep the Grant Manager informed as to the identity and contact information of the
authorized representative.
Availability of Funds
CalRecycle's obligations under this Agreement are contingent upon and subject to the
availability of funds appropriated for this grant.
Bankruptcy/Declaration of Fiscal Emergency Notification
If the grantee files for protection under Chapter 9 of the U.S. Bankruptcy Code
(11 U.S.C. §901 et seq.) or declares a fiscal emergency at any time during the Grant
Term, the grantee shall notify CalRecycle within 15 days of such filing or declaration,
pursuant to the procedures set forth in the section entitled "Communications" herein.
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 2
6-13
Charter Cities
If the grantee is a charter city, a joint powers authority that includes one or more charter
cities, or the regional lead for a regional program containing one or more charter cities,
the grantee shall not receive any grant funding if such funding is prohibited by Labor
Code section 1782. If it is determined that Labor Code section 1782 prohibits funding
for the grant project, this Agreement will be terminated and any disbursed grant funds
shall be returned to CalRecycle.
Child Support Compliance Act
For any agreement in excess of $100,000, the grantee acknowledges that:
(a) The grantee recognizes the importance of child and family support obligations and
shall fully comply with all applicable state and federal laws relating to child and
family support enforcement, including, but not limited to, disclosure of information
and compliance with earnings assignment orders, as provided in Family Code
Section 5200 et seq.
(b) The grantee, to the best of its knowledge, is fully complying with the earnings
assignment orders of all employees, and is providing the names of all new
employees to the New Hire Registry maintained by the California Employment
Development Department.
Communications
All communications from the grantee to CalRecycle shall be directed to the Grant
Manager. All notices, including reports and payment requests, required by this
Agreement shall be given in writing by email, letter, or fax to the Grant Manager as
identified in the Procedures and Requirements (Exhibit B). If an original document is
required, prepaid mail or personal delivery to the Grant Manager is required following
the email or fax.
Compliance
The grantee shall comply fully with all applicable federal, state, and local laws,
ordinances, regulations, and permits. The grantee shall provide evidence, upon
request, that all local, state, and/or federal permits, licenses, registrations, and
approvals have been secured for the purposes for which grant funds are to be
expended. The grantee shall maintain compliance with such requirements throughout
the Grant Term. The grantee shall ensure that the requirements of the California
Environmental Quality Act are met for any approvals or other requirements necessary to
carry out the terms of this Agreement. The grantee shall ensure that all of grantee's
contractors and subcontractors have all local, state, and/or federal permits, licenses,
registrations, certifications, and approvals required to perform the work for which they
are hired. Any deviation from the requirements of this section shall result in non-
payment of grant funds.
Conflict of Interest
The grantee needs to be aware of the following provisions regarding current or former
state employees. If the grantee has any questions on the status of any person
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 3
6-14
rendering services or involved with this Agreement, CalRecycle must be contacted
immediately for clarification.
Current State Employees (Pub. Contract Code, § 10410):
(a) No officer or employee shall engage in any employment, activity, or enterprise from
which the officer or employee receives compensation or has a financial interest and
which is sponsored or funded by any state agency, unless the employment, activity,
or enterprise is required as a condition of regular state employment.
(b) No officer or employee shall contract on his or her own behalf as an independent
contractor with any state agency to provide goods or services.
Former State Employees (Pub. Contract Code, § 10411):
(a) For the two-year period from the date he or she left state employment, no former
state officer or employee may enter into a contract in which he or she engaged in
any of the negotiations, transactions, planning, arrangements or any part of the
decision -making process relevant to the contract while employed in any capacity by
any state agency.
(b) For the twelve-month period from the date he or she left state employment, no
former state officer or employee may enter into a contract with any state agency if he
or she was employed by that state agency in a policy -making position in the same
general subject area as the proposed contract within the twelve month period prior to
his or her leaving state service.
If the grantee violates any provisions of above paragraphs, such action by the grantee
shall render this Agreement void. (Pub. Contract Code, § 10420).
Contractors/Su bcontractors
The grantee will be entitled to make use of its own staff and such contractors and
subcontractors as are mutually acceptable to the grantee and CalRecycle. Any change
in contractors or subcontractors must be mutually acceptable to the parties.
Immediately upon termination of any such contract or subcontract, the grantee shall
notify the Grant Manager.
Nothing contained in this Agreement or otherwise, shall create any contractual relation
between CalRecycle and any contractors or subcontractors of grantee, and no
agreement with contractors or subcontractors shall relieve the grantee of its
responsibilities and obligations hereunder. The grantee agrees to be as fully
responsible to CalRecycle for the acts and omissions of its contractors and
subcontractors and of persons either directly or indirectly employed by any of them as it
is for the acts and omissions of persons directly employed by the grantee. The
grantee's obligation to pay its contractors and subcontractors is an independent
obligation from CalRecycle's obligation to make payments to the grantee. As a result,
CalRecycle shall have no obligation to pay or to enforce the payment of any moneys to
any contractor or subcontractor.
Copyrights
Grantee retains title to any copyrights or copyrightable material produced pursuant to
this Agreement. grantee hereby grants to CalRecycle a royalty -free, nonexclusive,
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 4
6-15
transferable, world-wide license to reproduce, translate, and distribute copies of any and
all copyrightable materials produced pursuant this Agreement, for nonprofit, non-
commercial purposes, and to have or permit others to do so on CalRecycle's behalf.
Grantee is responsible for obtaining any necessary licenses, permissions, releases or
authorizations to use text, images, or other materials owned, copyrighted, or
trademarked by third parties and for extending such licenses, permissions, releases, or
authorizations to CalRecycle pursuant to this section.
Corporation Qualified to do Business in California
When work under this Agreement is to be performed in California by a corporation, the
corporation shall be in good standing and currently qualified to do business in the State.
"Doing business" is defined in Revenue and Taxation Code Section 23101 as actively
engaging in any transaction for the purpose of financial or pecuniary gain or profit.
Discharge of Grant Obligations
The grantee's obligations under this Agreement shall be deemed discharged only upon
acceptance of the final report by CalRecycle. If the grantee is a non-profit entity, the
grantee's Board of Directors shall accept and certify as accurate the final report prior to
its submission to CalRecycle.
Disclaimer of Warranty
CalRecycle makes no warranties, express or implied, including without limitation, the
implied warranties of merchantability and fitness for a particular purpose, regarding the
materials, equipment, services or products purchased, used, obtained and/or produced
with funds awarded under this Agreement, whether such materials, equipment, services
or products are purchased, used, obtained and/or produced alone or in combination
with other materials, equipment, services or products. No CalRecycle employees or
agents have any right or authority to make any other representation, warranty or
promise with respect to any materials, equipment, services or products, purchased,
used, obtained, or produced with grant funds. In no event shall CalRecycle be liable for
special, incidental or consequential damages arising from the use, sale or distribution of
any materials, equipment, services or products purchased or produced with grant funds
awarded under this Agreement.
Discretionary Termination
The Director shall have the right to terminate this Agreement at his or her sole discretion
at any time upon 30 days written notice to the grantee. Within 45 days of receipt of
written notice, grantee is required to:
(a) Submit a final written report describing all work performed by the grantee.
(b) Submit an accounting of all grant funds expended up to and including the date of
termination.
(c) Reimburse CalRecycle for any unspent funds.
Disputes
In the event of a dispute regarding performance under this Agreement or interpretation
of requirements contained therein, the grantee may, in addition to any other remedies
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 5
6-16
that may be available, provide written notice of the particulars of such dispute to the
Branch Chief of Financial Resources Management Branch, Department of Resources
Recycling and Recovery, PO Box 4025, Sacramento, CA 95812-4025. Such written
notice must contain the grant number.
Unless otherwise instructed by the Grant Manager, the grantee shall continue with its
responsibilities under this Agreement during any dispute.
Drug -Free Workplace Certification
The person signing this Agreement on behalf of the grantee certifies under penalty of
perjury under the laws of California, that the grantee will comply with the requirements
of the Drug -Free Workplace Act of 1990 (Gov. Code, § 8350 et seq.) and will provide a
drug -free workplace by taking the following actions:
(a) Publish a statement notifying employees that unlawful manufacture, distribution,
dispensation, possession or use of a controlled substance is prohibited and
specifying actions that will be taken against employees for violations.
(b) Establish a drug -free awareness program to inform employees about all of the
following:
(1) The dangers of drug abuse in the workplace.
(2) The grantee's policy of maintaining a drug -free workplace.
(3) Any available counseling, rehabilitation, and employee assistance programs.
(4) Penalties that may be imposed upon employees for drug abuse violations.
(c) Require that each employee who works on the grant:
(1) Receive a copy of the drug -free policy statement of the grantee.
(2) Agrees to abide by the terms of such statement as a condition of employment on
the grant.
Failure to comply with these requirements may result in suspension of payments under
the Agreement or termination of the Agreement or both and grantee may be ineligible
for award of any future State agreements if CalRecycle determines that the grantee has
made a false certification, or violated the certification by failing to carry out the
requirements as noted above.
Effectiveness of Agreement
This Agreement is of no force or effect until signed by both parties.
Entire Agreement
This Agreement supersedes all prior agreements, oral or written, made with respect to
the subject hereof and, together with all attachments hereto, contains the entire
agreement of the parties.
Environmental Justice
In the performance of this Agreement, the grantee shall conduct its programs, policies,
and activities that substantially affect human health or the environment in a manner that
ensures the fair treatment of people of all races, cultures, and income levels, including
minority populations and low-income populations of the state.
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 6
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Failure to Perform as Required by this Agreement
CalRecycle will benefit from the grantee's full compliance with the terms of this
Agreement only by the grantee's:
(a) Investigation and/or application of technologies, processes, and devices which
support reduction, reuse, and/or recycling of wastes.
(b) Cleanup of the environment.
(c) Enforcement of solid waste statutes and regulations, as applicable.
Therefore, the grantee shall be in compliance with this Agreement only if the work it
performs results in:
(a) Application of information, a process, usable data or a product which can be used to
aid in reduction, reuse, and/or recycling of waste.
(b) The cleanup of the environment.
(c) The enforcement of solid waste statutes and regulations, as applicable.
If the Grant Manager determines that the grantee has not complied with the Grant
Agreement, the grantee may forfeit the right to reimbursement of any grant funds not
already paid by CalRecycle, including, but not limited to, the 10 percent withhold.
Force Majeure
Neither CalRecycle nor the grantee, its contractors, vendors, or subcontractors, if any,
shall be responsible hereunder for any delay, default, or nonperformance of this
Agreement, to the extent that such delay, default, or nonperformance is caused by an
act of God, weather, accident, labor strike, fire, explosion, riot, war, rebellion, sabotage,
flood, or other contingencies unforeseen by CalRecycle or the grantee, its contractors,
vendors, or subcontractors, and beyond the reasonable control of such party.
Forfeit of Grant Funds/Repayment of Funds Improperly
Expended
If grant funds are not expended, or have not been expended, in accordance with this
Agreement, or if real or personal property acquired with grant funds is not being used,
or has not been used, for grant purposes in accordance with this Agreement, the
Director, at his or her sole discretion, may take appropriate action under this
Agreement, at law or in equity, including requiring the grantee to forfeit the unexpended
portion of the grant funds, including, but not limited to, the 10 percent withhold, and/or to
repay to CalRecycle any funds improperly expended.
Generally Accepted Accounting Principles
The grantee is required to use Generally Accepted Accounting Principles in
documenting all grant expenditures.
Grant Manager
The Grant Manager's responsibilities include monitoring grant progress, and reviewing
and approving Grant Payment Requests and other documents delivered to CalRecycle
pursuant to this Agreement. The Grant Manager may monitor grantee performance to
ensure that the grantee expends grant funds appropriately and in a manner consistent
with the terms and conditions contained herein. The Grant Manager does not have the
authority to approve any deviation from or revision to the Terms and Conditions
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 7
(Exhibit A) or the Procedures and Requirements (Exhibit B), unless such authority is
expressly stated in the Procedures and Requirements (Exhibit B).
Grantee Accountability
The grantee is ultimately responsible and accountable for the manner in which the grant
funds are utilized and accounted for and the way the grant is administered, even if the
grantee has contracted with another organization, public or private, to administer or
operate its grant program. In the event an audit should determine that grant funds are
owed to CalRecycle, the grantee is responsible for repayment of the funds to
CalRecycle.
Grantee's Indemnification and Defense of the State
The grantee agrees to indemnify, defend and save harmless the state and CalRecycle,
and their officers, agents and employees from any and all claims and losses accruing or
resulting to any and all contractors, subcontractors, suppliers, laborers, and any other
person, firm or corporation furnishing or supplying work services, materials, or supplies
in connection with the performance of this Agreement, and from any and all claims and
losses accruing or resulting to any person, firm or corporation who may be injured or
damaged by the grantee as a result of the performance of this Agreement.
Grantee's Name Change
A written amendment is required to change the grantee's name as listed on this
Agreement. Upon receipt of legal documentation of the name change, CalRecycle will
process the amendment. Payment of Payment Requests presented with a new name
cannot be paid prior to approval of the amendment.
In Case of Emergency
In the event of an emergency, or where there is an imminent threat to public health and
safety or the environment, the grantee may choose, at its own risk, to incur grant -
eligible expenses not previously included in the approved Budget, subject to
subsequent approval by the Grant Manager of both the Budget change and the need to
implement the Budget change on an emergency basis. The grantee shall notify the
Grant Manager of the emergency and the Budget change at the earliest possible
opportunity. CalRecycle reserves the right to accept or reject the grantee's
determination that the circumstances constituted an emergency or a threat to public
health and safety or the environment. If the Grant Manager determines that the
circumstances did not constitute an emergency or a threat to public health or safety, the
Budget change will be disallowed.
No Agency Relationship Created/Independent Capacity
The grantee and the agents and employees of grantee, in the performance of this
Agreement, shall act in an independent capacity and not as officers or employees or
agents of CalRecycle.
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 8
6-19
No Waiver of Rights
CalRecycle shall not be deemed to have waived any rights under this Agreement unless
such waiver is given in writing and signed by CalRecycle. No delay or omission on the
part of CalRecycle in exercising any rights shall operate as a waiver of such right or any
other right. A waiver by CalRecycle of a provision of this Agreement shall not prejudice
or constitute a waiver of CalRecycle's right otherwise to demand strict compliance with
that provision or any other provision of this Agreement. No prior waiver by CalRecycle,
nor any course of dealing between CalRecycle and grantee, shall constitute a waiver of
any of CalRecycle's rights or of any of grantee's obligations as to any future
transactions. Whenever the consent of CalRecycle is required under this Agreement,
the granting of such consent by CalRecycle in any instance shall not constitute
continuing consent to subsequent instances where such consent is required and in all
cases such consent may be granted or withheld in the sole discretion of CalRecycle.
Non -Discrimination Clause
(a) During the performance of this Agreement, grantee and its contractors shall not
unlawfully discriminate, harass, or allow harassment against any employee or
applicant for employment on the bases enumerated in Government Code Section
12900 et seq.
(b) The person signing this Agreement on behalf of the grantee certifies under penalty
of perjury under the laws of California that the grantee has, unless exempted,
complied with the nondiscrimination program requirements (Gov. Code, § 12990,
subd. (a-f) and California Code of Regulations, Title 2, Section 8103). (Not
applicable to public entities.)
Order of Precedence
The performance of this grant shall be conducted in accordance with the Terms and
Conditions (Exhibit A), Procedures and Requirements (Exhibit B), Project
Summary/Statement of Use, Work Plan, and Budget of this Agreement, or other
combination of Exhibits specified on the Grant Agreement Coversheet attached hereto
(collectively referred to as "Terms"). Grantee's CalRecycle-approved Application
(Grantee's Application) is hereby incorporated herein by this reference. In the event of
conflict or inconsistency between the articles, exhibits, attachments, specifications or
provisions that constitute this Agreement, the following order of precedence shall apply:
(a) Grant Agreement Coversheet and any Amendments thereto
(b) Terms and Conditions
(c) Procedures and Requirements
(d) Project Summary/Statement of Use
(e) Budget
(f) Work Plan
(g) Grantee's Application
(h) All other attachments hereto, including any that are incorporated by reference.
Ownership of Drawings, Plans and Specifications
The grantee shall, at the request of CalRecycle or as specifically directed in the
Procedures and Requirements (Exhibit B), provide CalRecycle with copies of any data,
drawings, design plans, specifications, photographs, negatives, audio and video
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 9
6-20
productions, films, recordings, reports, findings, recommendations, and memoranda of
every description or any part thereof, prepared under this Agreement. Grantee hereby
grants to CalRecycle a royalty -free, nonexclusive, transferable, world-wide license to
reproduce, translate, and distribute copies of any and all such materials produced
pursuant to this Agreement, for nonprofit, non-commercial purposes, and to have or
permit others to do so on CalRecycle's behalf.
Payment
(a) The approved Budget, if applicable, is attached hereto and incorporated herein by
this reference and states the maximum amount of allowable costs for each of the
tasks identified in the Work Plan, if applicable, which is attached hereto and
incorporated herein by this reference. CalRecycle shall reimburse the grantee for
only the work and tasks specified in the Work Plan or the Grantee's Application at
only those costs specified in the Budget and incurred in the term of the Agreement.
(b) The grantee shall carry out the work described in the Work Plan or in the Grantee's
Application in accordance with the approved Budget, and shall obtain the Grant
Manager's written approval of any changes or modifications to the Work Plan,
approved project as described in the Grantee's Application or the approved Budget
prior to performing the changed work or incurring the changed cost. If the grantee
fails to obtain such prior written approval, the Director, at his or her sole discretion,
may refuse to provide funds to pay for such work or costs.
(c) The grantee shall request reimbursement in accordance with the procedures
described in the Procedures and Requirements (Exhibit B).
(d) Ten percent will be withheld from each Payment Request and paid at the end of the
grant term, when all reports and conditions stipulated in this Agreement have been
satisfactorily completed. Failure by the grantee to satisfactorily complete all reports
and conditions stipulated in this Agreement may result in forfeiture of any such funds
withheld pursuant to CalRecycle's 10 percent) retention policy.
(e) Lodgings, Meals and Incidentals: Grantee's Per Diem eligible costs are limited to the
amounts authorized in the California State Administrative Manual (contact the Grant
Manager for more information).
(f) Payment will be made only to the grantee.
(g) Reimbursable expenses shall not be incurred unless and until the grantee receives a
Notice to Proceed as described in the Procedures and Requirements (Exhibit B).
Personnel Costs
If there are eligible costs pursuant to Exhibit B, Procedures and Requirements, any
personnel expenditures to be reimbursed with grant funds must be computed based on
actual time spent on grant -related activities and on the actual salary or equivalent hourly
wage the employee is paid for his or her regular job duties, including a proportionate
share of any benefits to which the employee is entitled, unless otherwise specified in the
Procedures and Requirements (Exhibit B).
Real and Personal Property Acquired with Grant Funds
(a) All real and personal property, including equipment and supplies, acquired with grant
funds shall be used by the grantee only for the purposes for which CalRecycle
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 10
6-21
approved their acquisition for so long as such property is needed for such purposes,
regardless of whether the grantee continues to receive grant funds from CalRecycle
for such purposes. In no event shall the length of time during which such property,
including equipment and supplies, acquired with grant funds, is used for the purpose
for which CalRecycle approved its acquisition be less than five (5) years after the
end of the grant term, during which time the property, including equipment and
supplies, must remain in the State of California.
(b) Subject to the obligations and conditions set forth in this section, title to all real and
personal property acquired with grant funds, including all equipment and supplies,
shall vest upon acquisition in the grantee. The grantee may be required to execute
all documents required to provide CalRecycle with a security interest in any real or
personal property, including equipment and supplies, and it shall be a condition of
receiving this grant that CalRecycle shall be in first priority position with respect to
the security interest on any such property acquired with the grant funds, unless pre -
approved in writing by the Grant Manager that CalRecycle will accept a lower priority
position with respect to the security interest on the property. Grantee shall inform
any lender(s) from whom it is acquiring additional funding to complete the property
purchase of this grant condition.
(c) The grantee may not transfer Title to any real or personal property, including
equipment and supplies, acquired with grant funds to any other entity without the
express authorization of CalRecycle.
(d) CalRecycle will not reimburse the grantee for the acquisition of equipment that was
previously purchased with CalRecycle grant funds, unless the acquisition of such
equipment with grant funds is pre -approved in writing by the Grant Manager. In the
event of a question concerning the eligibility of equipment for grant funding, the
burden will be on the grantee to establish the pedigree of the equipment.
Reasonable Costs
A cost is reasonable if, in its nature or amount, it does not exceed that which would be
incurred by a prudent person under the circumstances prevailing at the time the
decision was made to incur the cost. Consideration will be given to:
(a) Whether the cost is of a type generally recognized as ordinary and necessary for the
performance of the grant.
(b) The restraints or requirements imposed by such factors as generally accepted sound
business practices, arms -length bargaining, federal and state laws and regulations,
and the terms and conditions of this Agreement.
(c) Whether the individuals concerned acted with prudence in the circumstances,
considering their responsibilities to the organization, its members, employees,
clients, and the public at large.
(d) Significant deviations from the established practices of the organization which may
unjustifiably increase the grant costs.
Recycled -Content Paper
All documents submitted by the grantee must be printed double -sided on recycled -
content paper containing 100 percent post -consumer fiber. Specific pages containing
full color photographs or other ink -intensive graphics may be printed on photographic
paper.
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 11
6-22
Reduction of Waste
In the performance of this Agreement, grantee shall take all reasonable steps to ensure
that materials purchased or utilized in the course of the project are not wasted. Steps
should include, but not be limited to: the use of used, reusable, or recyclable products;
discretion in the amount of materials used; alternatives to disposal of materials
consumed; and the practice of other waste reduction measures where feasible and
appropriate.
Reduction of Waste Tires
Unless otherwise provided for in this Agreement, in the performance of this Agreement,
for all purchases made with grant funds, including, but not limited to equipment and tire -
derived feedstock, the grantee shall purchase and/or process only California waste tires
and California waste tire -derived products. As a condition of final payment under this
Agreement, the grantee must provide documentation substantiating the source of the
tire materials used during the performance of this Agreement to the Grant Manager.
Reimbursement Limitations
Under no circumstances shall the grantee seek reimbursement pursuant to this
Agreement for a cost or activity that has been or will be paid for through another funding
source. The grantee shall not seek reimbursement for any costs used to meet cost
sharing or matching requirements of any other CalRecycle funded program.
All costs charged against the Agreement shall be net of all applicable credits. The term
"applicable credits" refers to those receipts or reductions of expenditures that operate to
offset or reduce expense items that are reimbursable under this Agreement. Applicable
credits may include, but are not necessarily limited to, rebates or allowances, discounts,
credits toward subsequent purchases, and refunds. Grantee shall, where possible,
deduct the amount of the credit from the amount billed as reimbursement for the cost, or
shall deduct the amount of the credit from the total billed under a future invoice.
Reliable Contractor Declaration
Prior to authorizing any contractor or subcontractor to commence work under this Grant,
the grantee shall submit to CalRecycle a Reliable Contractor Declaration (CalRecycle
168) from the contractor or subcontractor, signed under penalty of perjury, disclosing
whether of any of the events listed in Section 17050 of Title 14, California Code of
Regulations, Natural Resources (https://www.calrecycle.ca.gov/laws/regulations/titlel4),
Division 7, has occurred with respect to the contractor or subcontractor within the
preceding three (3) years. If a contractor is placed on CalRecycle's Unreliable List after
award of this Grant, the grantee may be required to terminate that contract.
Remedies
Unless otherwise expressly provided herein, the rights and remedies hereunder are in
addition to, and not in limitation of, other rights and remedies under this Agreement, at
law or in equity, and exercise of one right or remedy shall not be deemed a waiver of
any other right or remedy.
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 12
6-23
Self -Dealing and Arm's Length Transactions
All expenditures for which reimbursement pursuant to this Agreement is sought shall be
the result of arm's-length transactions and not the result of, or motivated by, self -dealing
on the part of the grantee or any employee or agent of the grantee. For purposes of this
provision, "arm's-length transactions" are those in which both parties are on equal
footing and fair market forces are at play, such as when multiple vendors are invited to
compete for an entity's business and the entity chooses the lowest of the resulting bids.
"Self -dealing" is involved where an individual or entity is obligated to act as a trustee or
fiduciary, as when handling public funds, and chooses to act in a manner that will
benefit the individual or entity, directly or indirectly, to the detriment of, and in conflict
with, the public purpose for which all grant monies are to be expended.
Severability
If any provisions of this Agreement are found to be unlawful or unenforceable, such
provisions will be voided and severed from this Agreement without affecting any other
provision of this Agreement. To the full extent, however, that the provisions of such
applicable law may be waived, they are hereby waived to the end that this Agreement
be deemed to be a valid and binding agreement enforceable in accordance with its
terms.
Site Access
The grantee shall allow the state to access sites at which grant funds are expended and
related work being performed at any time during the performance of the work and for
ninety (90) days after completion of the work, or until all issues related to the grant
project have been resolved.
Stop Work Notice
Immediately upon receipt of a written notice from the Grant Manager to stop work, the
grantee shall cease all work under this Agreement.
Termination for Cause
CalRecycle may terminate this Agreement and be relieved of any payments should the
grantee fail to perform the requirements of this Agreement at the time and in the manner
herein provided. In the event of such termination, CalRecycle may proceed with the
work in any manner deemed proper by CalRecycle. All costs to CalRecycle shall be
deducted from any sum due the grantee under this Agreement. Termination pursuant to
this section may result in forfeiture by the grantee of any funds retained pursuant to
CalRecycle's 10 percent retention policy.
Time is of the Essence
Time is of the essence to this Agreement.
Tolling of Statute of Limitations
The statute of limitations for bringing any action, administrative or civil, to enforce the
terms of this Agreement or to recover any amounts determined to be owing to
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 13
6-24
CalRecycle as the result of any audit of the grant covered by this Agreement shall be
tolled during the period of any audit resolution, including any appeals by the grantee to
the Director.
Union Organizing
By signing this Agreement, the grantee hereby acknowledges the applicability of
Government Code Sections 16645, 16645.2, 16645.8, 16646, 16647, and 16648 to this
Agreement and hereby certifies that:
(a) No grant funds disbursed by this grant will be used to assist, promote, or deter union
organizing by employees performing work under this Agreement.
(B) If the grantee makes expenditures to assist, promote, or deter union organizing, the
grantee will maintain records sufficient to show that no state funds were used for
those expenditures, and that grantee shall provide those records to the Attorney
General upon request.
Venue/Choice of Law
(a) All proceedings concerning the validity and operation of this Agreement and the
performance of the obligations imposed upon the parties hereunder shall be held in
Sacramento County, California. The parties hereby waive any right to any other
venue. The place where the Agreement is entered into and place where the
obligation is incurred is Sacramento County, California.
(b) The laws of the State of California shall govern all proceedings concerning the
validity and operation of this Agreement and the performance of the obligations
imposed upon the parties hereunder.
Waiver of Claims and Recourse against the State
The grantee agrees to waive all claims and recourse against the state, its officials,
officers, agents, employees, and servants, including, but not limited to, the right to
contribution for loss or damage to persons or property arising out of, resulting from, or in
any way connected with or incident to this Agreement. This waiver extends to any loss
incurred attributable to any activity undertaken or omitted pursuant to this Agreement or
any product, structure, or condition created pursuant to, or as a result of, this
Agreement.
Work Products
Grantee shall provide CalRecycle with copies of all final products identified in the Work
Plan. Grantee shall also provide CalRecycle with copies of all public education and
advertising material produced pursuant to this Agreement.
Workers' Compensation/Labor Code
The grantee is aware of Labor Code Section 3700, which requires every employer to be
insured against liability for Workers' Compensation or to undertake self-insurance in
accordance with the Labor Code, and the grantee agrees to comply with such
provisions before commencing the performance of the work of this Agreement.
CalRecycle's Non -Competitive Grant Terms and Conditions — Revised 3/30/21 14
6-25
:al recycle 11110
January 2022
Amended April 2022
Department of Resources Recycling and Recovery
Exhibit B
Procedures and Requirements
SB 1383 Local Assistance Grant
Program
First Round Funding
Fiscal Year 2021-22
Copies of these Procedures and Requirements must be shared with
both the Grantee's Finance Department and the staff responsible for
implementing the grant activities.
Procedures and Requirements
SIB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-26
Amended April 2022 1
Table of Contents
Introduction................................................................................................................... 3
Milestones...................................................................................................................... 3
Grants Management System(GMS)............................................................................. 3
Accessingthe Grant....................................................................................................
4
ContactUpdates..........................................................................................................4
Priorto Commencing Work.......................................................................................... 5
Reliable Contractor Declaration...................................................................................
5
GrantTerm..................................................................................................................... 6
EligibleCosts...............................................................................................................6
IneligibleCosts............................................................................................................
7
Modifications................................................................................................................
8
Acknowledgements......................................................................................................
8
Reporting Requirements..............................................................................................9
Electronic and Original Signatures...............................................................................
9
ProgressReport.........................................................................................................
10
FinalReport...............................................................................................................
10
Grant Payment Information........................................................................................
10
Expenditure Itemization Summary and Documentation .........................................
11
UnspentFunds.......................................................................................................
12
AuditConsiderations..................................................................................................
12
Procedures and Requirements
SIB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-27
Amended April 2022 2
Introduction
The Department of Resources Recycling and Recovery (CalRecycle) administers the
SB 1383 Local Assistance Grant Program. These Procedures and Requirements
describe project and reporting requirements, report due dates, report contents, grant
payment conditions, eligible and ineligible project costs, project completion and closeout
procedures, and records and audit requirements.
This document is attached to, and incorporated by reference, into the Grant Agreement.
Milestones
April- , 2022; Grant Term Begins: Date CalRecycle sends the award email
9ctoberNovember 3, 2022: Expenditure Itemization Summary 1 Due
Covering expenses from April -1,z'2022 the Grant Term Start Date through
9Gteber November 2, 2022
ApM Mav 3, 2023: Expenditure Itemization Summary 2 Due
• Covering expenses from BEtebe November 3, 2022, through Apf4
May 2, 2023
QGtobe November 2, 2023: Expenditure Itemization Summary 3 Due
• Covering expenses from April May 3, 2023, through BEtebe
November 1, 2023
ApM May 2, 2024: Expenditure Itemization Summary 4 Due
• Covering expenses from 9Gteber November 2, 2023, through May 2, 2024
Apfit May 2, 2024: Final Report Due
• Covering activities from April 1, 2022 the Grant Term Start Date through April
May 2, 2024
ApY4 May 2, 2024: Grant Term End
Note: These dates are subject to change. If they change, Grant Managers will notify the
Awardees immediately.
Grants Management System (GMS)
GMS is CalRecycle's web -based grant application and Grants Management System.
Access to GMS is secure; grantees must log in using a WebPass. WebPass accounts
are tied to a specific email address. If an email address changes, or if it becomes
inactive, the grantee must create a new WebPass account to continue accessing GMS.
Establish or manage a WebPass at CalRecycle's WebPass page
(https://secure.caIrecycle.ca.gov/WebPass/).
Procedures and Requirements
SB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-28
Amended April 2022 3
Accessing the Grant
Grantees must log in to GMS (https://secure.calrecycle.ca.gov/Grants) using their web
pass. After logging in, locate the grant in the My Awarded/Open Grants table and
select the Grant Management link. The Grant Management Module includes the
following sections:
• Summary tab: Shows approved budget, paid and remaining amounts. (This
section is available to the grantee in read-only mode.)
• Payment Request tab: Grantee uploads expenditure documentation.
• Reports tab: Grantee uploads required reports.
• Documents tab: Grantee uploads all other grant documents that are not
supporting documents for an expenditure or a report. This section also provides
access to documents that were uploaded within other sections of GMS.
Follow the instructions in GMS to work in the system. The following sections describe
the reports, transactions, and supporting documents CalRecycle requires.
Contact Updates
Access to the grant is limited to those listed in the Contacts tab of the Application
Module with the "Allow Access" check box marked. A contact may be listed but not
granted access by not checking the box. Please note, if a contact is granted access to
a grant, they will be able to edit contacts, submit payment requests, upload reports, and
view all documents. Those with access may update contact information for all contact
types except Signature Authority. Email the assigned Grant Manager regarding any
changes to Signature Authority information.
Procedures and Requirements
SIB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-29
Amended April 2022 4
Prior to Commencing Work
Prior to commencing work under this grant, the grantee's Grant Manager or primary
contact and authorized grant Signature Authority should review the Terms and
Conditions (Exhibit A) and the Procedures and Requirements (Exhibit B) to identify key
grant administrative requirements. Evaluation of the grantee's compliance with these
requirements is a major focus of grant audits.
Reliable Contractor Declaration
Prior to authorizing a contractor or subcontractor to commence work under this grant,
the grantee shall submit to the Grant Manager a declaration from the contractor or
subcontractor, signed under penalty of perjury, stating that within the preceding three
(3) years, none of the events listed in section 17050 of Title 14
(https://www.calrecycle.ca.gov/Laws/Regulations/Title14/), California Code of
Regulations, Natural Resources, Division 7, has occurred with respect to the contractor
or subcontractor. The grantee must submit this form for each contractor and
subcontractor working under the grant.
If a contractor or subcontractor is placed on the CalRecycle Unreliable Contractor List
(https://www.calrecycle.ca.gov/Funding/Unreliability/) after award of this grant, the
grantee may be required to terminate the contract. Obtain the Reliable Contractor
Declaration form (CalRecycle 168) from CalRecycle's Grant Forms web page
(https://www.calrecycle.ca.gov/Funding/Forms/).
The grantee must upload a scanned copy of each signed Reliable Contractor
Declaration form in GMS. To upload the form:
1. Go to the Reports tab.
2. Click on Reliable Contractor Declaration under Report Type.
3. Click the Add Document button.
4. Select Reliable Contractor Declaration in the Document Type drop down box,
enter a document title, click the Browse button to search and upload the
document, and then Save.
5. Click on the Submit Report button.
For further instructions regarding GMS, including login directions, see the "Grants
Management System" section (above).
Procedures and Requirements
SB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-30
Amended April 2022 5
Grant Term
The Grant Term begins on the date CalRecycle sends the award email Appal 1, 202-2
and ends on Apr4 May 2, 2024. The grantee must make all grant -eligible program
expenditures and incur all grant -eligible costs within this period. Expenditures made or
costs incurred prior to April 1,2-022 the grant term start date or after the grant term end
date will be considered ineligible.
The Final Report, final Expenditure Itemization Summary, and Certification Document
are due on Apr- 4 May 2, 2024.
Eligible Costs
Grantees may incur eligible costs only during the Grant Term, which starts on
the date CalRecvcle sends the award email and ends on Mav 2. 2024 Aori4-1.
ends April 2, 2024..All grant expenditures must be for activities, products, and costs
specifically included in the approved Budget. Costs must be incurred after the term
start date. All services must be provided and goods received during this period in order
to be eligible costs.
Eligible costs include:
• Personnel
• Consultants
• Safety Equipment
• Vehicles/Trucks
o For compost procurement activities - Vehicles/tractors, turf tires, forklifts or
compost slingers
Note: The Grantee needs to own and control the vehicle, however they may
allow participants to use the vehicle for grant implementation purposes only.
• Education and Outreach materials
o Print Media
o Television, radio, video, and social media
o Materials offered in other languages
• Door -to -Door Outreach
• Signage
• Recordkeeping or tracking software
o Software to match donor with food bank
o Recordkeeping/reporting software
o Procurement tracking software
o Apps for food recovery
• Inspections and Enforcement
• Training
• Tablet/Electronic Devices (seven inches or more measured diagonally) used for
the purposed of organic tracking and Education and Outreach
o Maximum price of $500 (excluding sales tax) and limit to one (exceptions
may be approved on a case -by -case basis)
o Accessories used for security, protection, and charging
Procedures and Requirements
SB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-31
Amended April 2022 6
• Equipment
o For larger items, The Grantee needs to own and control the equipment,
however, they may allow participants use of said equipment for grant
implementation purposes.
• Bins (green and blue only) and lids
o Includes, but is not limited to, curbside, small household food waste pail,
labeling, and liners
• Procurement of recovered/recycled organic products
• Equipment
o Food distribution - included refrigeration, coolers, and packing materials
Ineligible Costs
Any costs not specifically included in the approved Budget and not directly related to
grant implementation will be considered ineligible. The grantee should contact the
Grant Manager if clarification is needed.
Ineligible costs include, but are not limited to:
• Costs incurred prior to April 1,2022- the Term Start Date or after Ap-r4 May 2,
2024
• Development, purchase, or distribution of strictly promotional give-away items
Stuff We All Get, (SWAG) (https://www.calrecycle.ca.gov/Funding/SWAG/)
• Purchase or lease of land or buildings
• Equipment or services not directly related to grant implementation
• Food dehydrators or liquefiers
• Disposal costs
• Costs currently covered by or incurred under any other CalRecycle loan, grant, or
contract
• Cell phones
• Purchase of data plans and/or mobile service plans/hotspots
• Costs related to website host and web page domain
• Audit expenses
• Sponsorship or licensing fees for events/programs
• Out-of-state travel
• Conferences and symposiums
• Food or beverages (e.g., as part of meetings, workshops, or events)
• Travel costs exceeding the state -approved rates for mileage, per diem, lodging,
etc.
o Refer to the Memorandum
(https://www.calhr.ca.gov/employees/Pages/travel-reimbursements.aspx)
for travel policies.
o Reimbursement rates are subject to change at any time by the State of
California without prior notification.
• Personnel costs not directly related to grant activities
• Fines or penalties due to violation of federal, state, or local laws, ordinances, or
regulations
• Any costs for construction projects by charter cities prohibited by Labor Code
section 1782
• Any costs not consistent with local, state, or federal laws, guidelines, and
regulations
Procedures and Requirements
SB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-32
Amended April 2022 7
• The total amount of indirect costs charged to the grant shall not exceed 10
percent of the grant funds reimbursed. These costs are expenditures not
capable of being assigned or not readily itemized to a particular project or activity
but considered necessary for the operation of the organization and the
performance of the program. The costs of operating and maintaining facilities,
accounting services, and administrative salaries as well as contractor's indirect
costs in their contracts, are examples of indirect costs. All indirect costs charged
to the grant must be associated with grant activities.
• Costs deemed unreasonable or not related to the project by the Grant Manager
Modifications
The grantee must submit any proposed revision(s) to the project in writing to the Grant
Manager. The grantee may not incur costs or make expenditures based on the revision
without first receiving the Grant Manager's written approval. Proposed revisions must
be accompanied by a summary of proposed changes or modifications, including
justification for the proposed changes. If approved, the Grant Manager will upload the
final revised changes to GMS and notify the grantee. The grantee should retain the
approval document(s) for audit purposes. See the "Audit Record/Access" section of the
Terms and Conditions (Exhibit A).
Acknowledgements
The grantee shall acknowledge CalRecycle's support each time a project is funded, in
whole or in part, by this Agreement is publicized in any medium, including news media,
brochures, or other types of promotional materials. The acknowledgement of
CalRecycle's support must incorporate the CalRecycle logo. Initials or abbreviations for
CalRecycle shall not be used. The Grant Manager may approve deviation from this
requirement on a case -by -case basis where such deviation is consistent with
CalRecycle's Communication Strategy and Outreach Plan.
The following items require acknowledgement of funding from CalRecycle and pre -
approval from the CalRecycle Grant Manager prior to incurring the expense:
• All television, radio and video scripts
• Functional premiums, if the per unit price is greater than $6.00
• Advertisements
• Audio and/or visual material
• Brochures
• Newspaper ads
• Pamphlets
• Other outreach
All publicity and education materials must include the following:
1. "Funded by a grant from CalRecycle." Exception: The acknowledgement line is
not required on small items where space constraints would not allow for this line
or if it would interfere with the message.
o There are two acceptable Spanish translations: "Financiado por una beca
del CalRecycle" or "Patrocinado por fondos del CalRecycle." For other
languages, the Grantee must work with a certified translator or person
fluent in reading and writing that language. All exceptions must be pre -
approved in writing by the CalRecycle Grant Manager.
Procedures and Requirements
SB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-33
Amended April 2022 8
2. CalRecycle logo (https://www.calrecycle.ca.gov/gallery/) as reflected on the
CalRecycle website, can be obtained from the Office of Public Affairs at
opa(a-)_calrecycle.ca.gov.
3. Press Releases — the only requirement is to place the name of "CalRecycle" as
an acknowledgement in the body of the release.
Reporting Requirements
The Grant Agreement requires a Final Report; however, the Grant Manager may require
additional status information at any time during the Grant Term. Failure to submit the
Final Report with appropriate documentation by the due date may result in forfeiture by
the grantee of any unspent funds received under this agreement, and repayment of all
funds to CalRecycle.
The grantee must upload all reports in GMS. For further instructions regarding GMS,
including login directions, see the "Grants Management System" section (above).
To upload a report:
1. Go to the Reports tab.
2. Click on the appropriate Report Type.
3. Click on the Add Document button.
4. Choose the Document Type, enter a document title, click the Browse button to
search and upload the document, and then Save.
• Select the Back button to upload another document and continue the
process until all required documents as listed below are uploaded.
• The maximum allowable file size for each document is 35MB.
5. Click the Submit Report button to complete your report submittal. The Submit
Report button will not be enabled until all required reporting documents are
uploaded.
Failure to comply with the specified reporting requirements may be considered a breach
of the Grant Agreement and may result in the termination of the Grant Agreement,
and/or forfeiture by the grantee of claims for costs incurred that might otherwise have
been eligible for grant funding. The grantee must report any problems or delays
immediately to the Grant Manager.
Electronic and Original Signatures
CalRecycle now allows for certified e-Signature or original wet signature on documents
or forms that certify legally binding information.
Note: E-signatures must include the first and last name of the Signature Authority, be in
the Adobe Digital ID format (or through another certified digital signature program) and
cannot be the "Fill and Sign" function within Adobe. Any documents using the "Fill and
Sign" method is considered incomplete and may be sent back to the grantee.
If you have questions, email grantassistance(a�calrecycle. ca.gov.
Procedures and Requirements
SB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-34
Amended April 2022 9
Progress Report
Grantees with awards over $1,000,000 will need to collect and submit information on
any jobs created or paid by the grant on a bi-annual basis. Grant Managers will work
with Grantees on when and how to submit the information. CalRecycle will provide a
report template at a later date. Progress reports must include the following:
• Jobs
o Provide number of jobs created and paid for in whole or in part by this
grant during the reporting period. Include job title or classification, job
permanence, total project work hours, hourly pay rates or salaries, as
well as benefits from the job, such as healthcare, paid vacation or sick
leave and hiring strategy.
Jobs provided to members of Priority Populations.
o In addition to the item, above, provide the same jobs information for
any positions filled by members of priority populations. More
information about Priority Populations can be found at California Air
Resources Board Priority Population Investments webpage
(www3.arb.ca.gov/cc/capandtrade/auctionproceeds/communityinvestm
ents.htm).
Note: This requirement is subject to change at CalRecycle's discretion. If any reporting
requirement changes, Grant Managers will notify the Awardees.
Final Report
The Final Report is due Apif May 2, 2024 (report template will be provided at a later
date). This report should cover grant activities from April 2022 the Term Start Date
through Apr4 May 2, 2024. The grantee must include the following items in the Final
Report:
1. The Grant Number, grantee's name, and Grant Term.
2. The following disclaimer statement on the cover page:
"The statements and conclusions of this report are those of the grantee and not
necessarily those of the Department of Resources Recycling and Recovery
(CalRecycle), its employees, or the State of California. The state makes no
warranty, express or implied, and assumes no liability for the information
contained in the succeeding text."
Note: This requirement is subject to change at CalRecycle's discretion. If any reporting
requirement changes, Grant Managers will notify the Grantees.
Grant Payment Information
• CalRecycle will make grant payments to only the grantee. It is the grantee's
responsibility to pay all contractors and subcontractors for purchased goods and
services. CalRecycle will make payments to the grantee as promptly as fiscal
procedures permit.
• The grantee must provide a Reliable Contractor Declaration (CalRecycle 168)
(https-//www.calrecycle.ca.gov/Funding/forms/) signed under penalty of perjury
by the grantee's contractors and subcontractors in accordance with the "Reliable
Contractor Declaration" section of the Terms and Conditions (Exhibit A). The
declaration must be received and approved by the Grant Manager prior to
Procedures and Requirements
SIB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-35
Amended April 2022 10
commencement of work. See the "Reliable Contractor Declaration" section in
Terms and Conditions (Exhibit A) for more information.
Expenditure Itemization Summary and Documentation
The grantee must submit the EIS and Certification Document (a template will be
provided at a later date) in GMS. For further instructions regarding GMS, including login
directions, see the "Grants Management System" section (above). Please refer to the
"Milestones" section (above) for required due dates.
Expenditure Itemization Summary (EIS)
o All expenditures must be itemized and arranged by the reporting and
expenditure categories as contained in the grantee's Budget tab.
o Grantees are required to maintain supporting documentation pertaining to
the EIS and may be required to provide them at the request of the Grant
Manager at any time.
Certification Document
o The Signature Authority will need to certify under penalty of perjury that
information provided in the EIS is correct.
Note: This requirement is subject to change at CalRecycle's discretion. If any
expenditure reporting requirement changes, Grant Managers will notify the
Awardees.
Failure to submit the EIS and Certification Document by the due date may result in the
forfeiture by the grantee of claims for costs incurred that might otherwise have been
eligible for grant funding.
To submit an EIS:
1. Go to the Payment Request tab.
2. Click on the Create a Payment Request button.
a. Choose Advance Reconcile for the Transaction Type and enter the
amount spent in each budget subcategory.
b. When the transaction is complete, click the Save button.
c. After the transaction is saved, the Upload Supporting Documents button
will appear in the lower right corner.
3. Click the Upload Supporting Documents button.
a. Choose the Document Type, enter a document title, click the Browse
button to search and upload the document, and then Save.
b. Select the Back button to upload another document and continue this
process until all required supporting documents as listed below are
uploaded.
c. The maximum allowable file size for each document is 35MB.
4. Click the Submit Transaction button, located on the transaction page, to
complete your payment request. The Submit Transaction button will not be
enabled until all required supporting documents are uploaded.
Note: Once a transaction is saved, select the transaction number from the
Payment Request tab to access it again. Please do not create multiple
transactions for the same requested funds.
Procedures and Requirements
SB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-36
Amended April 2022 11
Unspent Funds
Funds that are unspent at the end of the grant term must be returned by check to
CalRecycle by June 15, 2024 May 16, 2. Checks should be made payable to the
Department of Resources Recycling and Recovery. Checks must contain the Grant
Number (i.e., OWR1 -21 -xxxx), specify "SB 1383 Local Assistance Grant Unspent
Funds," and be mailed to:
CalRecycle Accounting
SB 1383 Local Assistance Grant Unspent Funds
PO Box 4025
Sacramento, CA 95812-4025
Unspent funds due to CalRecycle but left unpaid may result in ineligibility for future
grant and payment program funding. If there are questions or other issues related to
expenditures, work with your Grant Manager to resolve these issues.
Audit Considerations
The grantee agrees to maintain records and supporting documentation pertaining to the
performance of this grant subject to possible audit for a minimum of three (3) years after
Final Report approval date or Grant Term end date, whichever is later. CalRecycle may
stipulate a longer period of records retention in order to complete any action and/or
resolution of all issues which may arise as a result of any litigation, dispute, or audit,
whichever is later.
Examples of audit documentation include, but are not limited to, competitive bids, grant
amendments, copies of any agreements with contractors or subcontractors if utilized,
expenditure ledger, payroll register entries, time sheets, Expenditure Itemization
Summary forms, payment supporting documentation, paid warrants, contracts and
change orders, samples of items and materials developed with grant funds, invoices,
and cancelled checks. Please refer to the Terms and Conditions (Exhibit A) for more
information.
Procedures and Requirements
SB 1383 Local Assistance Grant Program (FY 2021-22) - First Round Funding 6-37
Amended April 2022 12
ATTACHMENT C
City of Newport Beach
i BUDGET AMENDMENT
c9c'Fo , 2022-23 BA#: 23-002
Department: Public Works
ONETIME: Ekes E to
Requestor: David Webb
Approvals
❑ CITY MANAGER'S APPROVAL ONLY
Finance Director: Date
COUNCIL APPROVAL REQUIRED City Clerk: Date
EXPLANATION FOR REQUEST:
To increase revenue estimates in the CalRecycle grant account and to increase expenditure appropriations in the Refuse ❑rom existing budget appropriations
Professional Services Account due to securing CalRecycle Local Assistance Grant. Drom additional estimated revenues
Drom unappropriated fund balance
REVENUES
Fund #
Org
Object
Project
Description
Increase or (Decrease) $
010
0108051
431490
G2280
REFUSE - CAL RECYCLE
122,038.00
Subtotal $ 122,038.00
EXPENDITURES
Fund #
Org
Object
Project
Description
Increase or (Decrease) $
010
0108051
811008
G2280
REFUSE - SERVICES PROFESSIONAL
122,038.00
Subtotal $ 122,038.00
FUND BALANCE
Fund #
Object
Description
Increase or (Decrease) $
010
300000
GENERAL FUND - FUND BALANCE CONTROL
Subtotal $
No Change In Fund Balance
6-38
ATTACHMENT D
AMENDMENT NO. THREE TO
ON -CALL PROFESSIONAL SERVICES AGREEMENT
WITH ECO/NOMICS, INC., WHICH WILL DO BUSINESS IN CALIFORNIA AS
ECAUNOMICS, INC. FOR SOLID WASTE CONSULTING
THIS AMENDMENT NO. THREE TO ON -CALL PROFESSIONAL SERVICES
AGREEMENT ("Amendment No. Three") is made and entered into as of this 28th day of
June, 2022 ("Effective Date"), by and between the CITY OF NEWPORT BEACH, a
Califomia municipal corporation and charter city ("City"), and ECO/NOMICS, INC.,
WHICH WILL DO BUSINESS IN CALIFORNIA AS ECAL/NOMICS, INC., a Colorado
Corporation ("Consultant"), whose address is P.O. Box 2790, Del Mar, California, 92014,
and is made with reference to the following:
RECITALS
A. On May 9, 2017, City and Consultant entered into a Professional Services
Agreement ("Agreement") for Solid Waste Consulting. ("Project").
B. On September 10, 2019, City and Consultant entered into Amendment No. One to
the Agreement ("Amendment No. One") to reflect additional services not previously
included in the Agreement, extend the term of the Agreement to May 8, 2025 and
to increase the total compensation.
C. On December 1, 2021, City and Consultant entered into Amendment No. Two to
the Agreement ("Amendment No. Two") to reflect additional Services not included
in the Agreement, as amended, to increase the total compensation due to the
volume of Work required, and updated the Insurance Requirements (Exhibit C) to
the Agreement.
D. The parties desire to enter into this Amendment No. Three to reflect additional
Services not included in the Agreement, as amended, to increase the total
compensation to reflect additional grant funding received by the City, to update the
insurance coverage, and to update the Project Administrator.
NOW, THEREFORE, it is mutually agreed by and between the undersigned parties
as follows:
1. COMPENSATION TO CONSULTANT
Section 4.1 of the Agreement is amended in its entirety and replaced with the
following: "City shall pay Consultant for the Services on a time and expense not -to -
exceed basis in accordance with the provisions of this Section and the Schedule of Billing
Rates attached hereto as Exhibit B and incorporated herein by reference. Consultant's
compensation for all Work performed in accordance with this Agreement, including all
reimbursable items and subconsultant fees, shall not exceed One Million Two Hundred
Seventy Two Thousand Thirty Eight Dollars and 00/100 ($1,272,038.00), without prior
written authorization from City. No billing rate changes shall be made during the term of
this Agreement without the prior written approval of City."
6-39
The total amended compensation reflects Consultant's additional compensation
for additional Services to be performed in accordance with this Amendment No. Three,
including all reimbursable items and subconsultant fees, in an amount not to exceed One
Hundred Twenty Two Thousand Thirty Eight Dollars and 00/100 ($122,038.00).
2. ADMINISTRATION
Section 6 of the Agreement is amended in its entirety and replaced with the
following: "This Agreement will be administered by the Deputy Public Works Director -
Municipal Operations. The Deputy Public Works Director - Municipal Operations or
his/her designee shall be the Project Administrator and shall have the authority to act for
City under this Agreement. The Project Administrator shall represent City in all matters
pertaining to the Services to be rendered pursuant to this Agreement."
3. INSURANCE REQUIREMENTS
Exhibit C (Insurance Requirements) to the Agreement is amended in its entirety
and replaced with the attached Exhibit C and incorporated herein by reference.
4. INTEGRATED CONTRACT
Except as expressly modified herein, all other provisions, terms, and covenants
set forth in the Agreement shall remain unchanged and shall be in full force and effect.
[SIGNATURES ON NEXT PAGE]
Eco/Nomics, Inc., which will do business in California as Ecal/nomics, Inc. Page 2
6-40
IN WITNESS WHEREOF, the parties have caused this Amendment No. Three to
be executed on the dates written below.
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
Date: +vo J 3 of
1 '4By: , M A o " &-\
A r n t. Harp ujj;j z
City Attorney
ATTEST:
Date:
By:
Leilani I. Brown
City Clerk
CITY OF NEWPORT BEACH,
a California municipal corporation
Date:
By:
Kevin Muldoon
Mayor
CONSULTANT: Eco/Nomics, Inc., which
will do business in California as
Ecal/nomics, Inc., a Colorado Corporation
Date:
By:
William O'Toole
Chief Executive Officer / Chief Financial
Officer
[END OF SIGNATURES]
Attachment: Exhibit C -- Insurance Requirements
Eco/Nomics, Inc., which will do business in California as Ecal/nomics, Inc. Page 3
6-41
EXHIBIT C
INSURANCE REQUIREMENTS — PROFESSIONAL SERVICES
Provision of Insurance. Without limiting Consultant's indemnification of City, and
prior to commencement of Work, Consultant shall obtain, provide and maintain at
its own expense during the term of this Agreement, policies of insurance of the
type and amounts described below and in a form satisfactory to City. Consultant
agrees to provide insurance in accordance with requirements set forth here. If
Consultant uses existing coverage to comply and that coverage does not meet
these requirements, Consultant agrees to amend, supplement or endorse the
existing coverage.
2. Acceptable Insurers. All insurance policies shall be issued by an insurance
company currently authorized by the Insurance Commissioner to transact
business of insurance in the State of California, with an assigned policyholders'
Rating of A- (or higher) and Financial Size Category Class VII (or larger) in
accordance with the latest edition of Best's Key Rating Guide, unless otherwise
approved by the City's Risk Manager.
3. Coverage Requirements.
A. Workers' Compensation Insurance. Consultant shall maintain Workers'
Compensation Insurance, statutory limits, and Employer's Liability
Insurance with limits of at least One Million Dollars ($1,000,000) each
accident for bodily injury by accident and each employee for bodily injury by
disease in accordance with the laws of the State of California, Section 3700
of the Labor Code.
Consultant shall submit to City, along with the certificate of insurance, a
Waiver of Subrogation endorsement in favor of City, its City Council, boards
and commissions, officers, agents, volunteers, employees and any person
or entity owning or otherwise in legal control of the property upon which
Consultant performs the Project and/or Services contemplated by this
Ag reement.
B. General Liability Insurance. Consultant shall maintain commercial general
liability insurance, and if necessary umbrella liability insurance, with
coverage at least as broad as provided by Insurance Services Office form
CG 00 01, in an amount not less than One Million Dollars ($1,000,000) per
occurrence, Two Million Dollars ($2,000,000) general aggregate. The
policy shall cover liability arising from premises, operations, personal and
advertising injury, and liability assumed under an insured contract (including
the tort liability of another assumed in a business contract).
C. Automobile Liability Insurance. Consultant shall maintain automobile
insurance at least as broad as Insurance Services Office form CA 00 01
covering bodily injury and property damage for all activities of Consultant
arising out of or in connection with Work to be performed under this
Eco/Nomics, Inc. dba Ecal/Nomics, Inc. Page C-1 6-42
Agreement, including coverage for any owned, hired, non -owned or rented
vehicles, in an amount not less than One Million Dollars ($1,000,000)
combined single limit each accident.
D. Professional Liability (Errors & Omissions) Insurance. Consultant shall
maintain professional liability insurance that covers the Services to be
performed in connection with this Agreement, in the minimum amount of
One Million Dollars ($1,000,000) per claim and Two Million Dollars
($2,000,000) in the aggregate. Any policy inception date, continuity date,
or retroactive date must be before the Effective Date of this Agreement and
Consultant agrees to maintain continuous coverage through a period no
less than three years after completion of the Services required by this
Agreement.
4. Other Insurance Requirements. The policies are to contain, or be endorsed to
contain, the following provisions:
A. Waiver of Subrogation. All insurance coverage maintained or procured
pursuant to this Agreement shall be endorsed to waive subrogation against
City, its City Council, boards and commissions, officers, agents, volunteers,
employees and any person or entity owning or otherwise in legal control of
the property upon which Consultant performs the Project and/or Services
contemplated by this Agreement or shall specifically allow Consultant or
others providing insurance evidence in compliance with these requirements
to waive their right of recovery prior to a loss. Consultant hereby waives its
own right of recovery against City, and shall require similar written express
waivers from each of its subconsultants.
B. Additional Insured Status. All liability policies including general liability,
excess liability, pollution liability, and automobile liability, if required, but not
including professional liability, shall provide or be endorsed to provide that
City, its City Council, boards and commissions, officers, agents, volunteers,
employees and any person or entity owning or otherwise in legal control of
the property upon which Consultant performs the Project and/or Services
contemplated by this Agreement shall be included as insureds under such
policies.
C. Primary and Non Contributory. All liability coverage shall apply on a primary
basis and shall not require contribution from any insurance or self-insurance
maintained by City.
D. Notice of Cancellation. All policies shall provide City with thirty (30)
calendar days' notice of cancellation (except for nonpayment for which ten
(10) calendar days' notice is required) or nonrenewal of coverage for each
required coverage.
Eco/Nomics, Inc. dba Ecal/Nomics, Inc. Page C-2 6-43
5. Additional Aqreements Between the Parties. The parties hereby agree to the
following:
A. Evidence of Insurance. Consultant shall provide certificates of insurance to
City as evidence of the insurance coverage required herein, along with a
waiver of subrogation endorsement for workers' compensation and other
endorsements as specified herein for each coverage. Insurance certificates
and endorsement must be approved by City's Risk Manager prior to
commencement of performance. Current certification of insurance shall be
kept on file with City at all times during the term of this Agreement. The
certificates and endorsements for each insurance policy shall be signed by
a person authorized by that insurer to bind coverage on its behalf. At least
fifteen (15) days prior to the expiration of any such policy, evidence of
insurance showing that such insurance coverage has been renewed or
extended shall be filed with the City. If such coverage is cancelled or
reduced, Consultant shall, within ten (10) days after receipt of written notice
of such cancellation or reduction of coverage, file with the City evidence of
insurance showing that the required insurance has been reinstated or has
been provided through another insurance company or companies. City
reserves the right to require complete, certified copies of all required
insurance policies, at any time.
B. City's Right to Revise Requirements. City reserves the right at any time
during the term of the Agreement to change the amounts and types of
insurance required by giving Consultant sixty (60) calendar days' advance
written notice of such change. If such change results in substantial
additional cost to Consultant, City and Consultant may renegotiate
Consultant's compensation.
C. Right to Review Subcontracts. Consultant agrees that upon request, all
agreements with subcontractors or others with whom Consultant enters into
contracts with on behalf of City will be submitted to City for review. Failure
of City to request copies of such agreements will not impose any liability on
City, or its employees. Consultant shall require and verify that all
subcontractors maintain insurance meeting all the requirements stated
herein, and Consultant shall ensure that City is an additional insured on
insurance required from subcontractors. For CGL coverage,
subcontractors shall provide coverage with a format at least as broad as CG
20 38 04 13.
D. Enforcement of Agreement Provisions. Consultant acknowledges and
agrees that any actual or alleged failure on the part of City to inform
Consultant of non-compliance with any requirement imposes no additional
obligations on City nor does it waive any rights hereunder.
Eco/Nomics, Inc. dba Ecal/Nomics, Inc. Page C-3 6-44
E. Requirements not Limiting. Requirements of specific coverage features or
limits contained in this Section are not intended as a limitation on coverage,
limits or other requirements, or a waiver of any coverage normally provided
by any insurance. Specific reference to a given coverage feature is for
purposes of clarification only as it pertains to a given issue and is not
intended by any party or insured to be all inclusive, or to the exclusion of
other coverage, or a waiver of any type. If the Consultant maintains higher
limits than the minimums shown above, the City requires and shall be
entitled to coverage for higher limits maintained by the Consultant. Any
available insurance proceeds in excess of the specified minimum limits of
insurance and coverage shall be available to the City.
F. Self -insured Retentions. Any self -insured retentions must be declared to
and approved by City. City reserves the right to require that self -insured
retentions be eliminated, lowered, or replaced by a deductible. Self-
insurance will not be considered to comply with these requirements unless
approved by City.
G. City Remedies for Non -Compliance. If Consultant or any subconsultant fails
to provide and maintain insurance as required herein, then City shall have
the right but not the obligation, to purchase such insurance, to terminate this
Agreement, or to suspend Consultant's right to proceed until proper
evidence of insurance is provided. Any amounts paid by City shall, at City's
sole option, be deducted from amounts payable to Consultant or reimbursed
by Consultant upon demand.
H. Timely Notice of Claims. Consultant shall give City prompt and timely notice
of claims made or suits instituted that arise out of or result from Consultant's
performance under this Agreement, and that involve or may involve
coverage under any of the required liability policies. City assumes no
obligation or liability by such notice, but has the right (but not the duty) to
monitor the handling of any such claim or claims if they are likely to involve
City.
Consultant's Insurance. Consultant shall also procure and maintain, at its
own cost and expense, any additional kinds of insurance, which in its own
judgment may be necessary for its proper protection and prosecution of the
Work.
Eco/Nomics, Inc. dba Ecal/Nomics, Inc. Page C-4 6-45