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Agenda 10/27/2020 Item #11C (Collier Cares - Phase 2)10/27/2020 EXECUTIVE SUMMARY Recommendation to accept the Phase 2 appropriation of CRF funding to Collier County, and approve additional allocations to the Collier CARES program for distribution of the Coronavirus Relief Fund (CRF) due to changes in State guidance. OBJECTIVE: To provide direction on allocation of funding due to changes in State guidance and deadlines for reimbursement submission. CONSIDERATIONS: The Coronavirus Aid, Relief, and Economic Security (CARES) Act was signed into law on March 27, 2020. The CARES Act included a $150 billion CRF ("Fund") to provide payments to State, Local, and Tribal governments navigating the impact of the COVID-19 outbreak. On Wednesday, June 16, 2020, Governor Ron DeSantis announced Florida's plan to distribute $1.275 billion in CARES Act funds to counties with a population below 500,000, including $67,162,432 to Collier County, of which $16,790,608 is a direct payment of funding. On June 23, 2020, as Item 1113, the Board approved an agreement with the Florida Division of Emergency Management (FDEM) to receive the appropriation and authorized the County Manager or designee to execute any sub -award agreements and payment requests necessary to distribute reimbursement for expenses to eligible parties.. On July 14, 2020, as Item I IB, the Board approved the following funding allocations: Program Allocation Individual Assistance $ 15,000,000 Small Business Relaunch & Rehire Assistance $ 10,000,000 Community Health & Services Initiatives $ 30,000,000 Personal Protective Equipment (PPE) $ 5,000,000 Community Replenishment Reserve $ 7,162,432 Total Appropriation $ 67,162,432 Each portal has opened to the public and accepted applications in August and September, which are now being processed. The Community Health & Services Initiatives portal reopened from October 12 - 16, 2020, and Individual Assistance and Small Business Relaunch and Rehire portals reopened from October 19 - 30, 2020 due to Board direction at the September 22 BCC meeting. On October 13, 2020, staff was advised in the attached presentation slide by state officials that the County was required, by November 16, 2020, to submit all documentation for Phase 1 and Phase 2, or the County will not be able to continue submitting reimbursement requests for Phase 3. This puts the County at risk of being ineligible for up to $36,939,338 in CRF funding that was allocated to Collier County. Staff has responded by making appropriate changes to deadlines for submission of expenses for subrecipients that have been previously awarded under Collier CARES programs. Staff also recommends that the Board approve the following alternative allocations and program enhancements to ensure the County meets the spending objectives outlined in the new State guidance. During the open application period for the Community Health & Services Initiatives allocation, several municipality and public safety entities submitted applications for funding that would have been eligible for funding. Due to Board direction provided at the July 14 meeting, staff set these applications aside. Staff recommends providing funds not encumbered in other program allocations to reimburse the costs of Packet Pg. 221 10/27/2020 public safety for first responders for the County and eligible municipalities. This will include law enforcement, emergency medical services, and fire. This action can be executed while still fulfilling the Board's objectives for community assistance. Recently, staff was notified by Physicians Regional Medical Center (PRMC) that previously sought funding under the Community Health & Services Initiatives allocation was provided through other means of the CARES Act and they would be returning funding. An attached letter from PRMC describes this return. Staff would also like to proceed with three enhancements to existing programs within Collier CARES: An additional grant opportunity of $5,000 for Hardest Hit Businesses within the Small Business Relaunch and Rehire program. "Hardest Hit" Businesses were directly impacted by the state of Florida's Stay at Home Order. Businesses must be within one of the following sectors to be eligible: Accommodation & Food Services (NAICS 72); Retail Trade (NAICS 44-45); or Other Services (NAICS 81). This additional opportunity is available to all qualifying business who sought assistance in Round #1 (August 2020). 2. Childcare services reimbursement to first responders from March - October of this year. 3. Expand Personal Protective Equipment reimbursement to include those cost incurred by other agencies. With these changes and continued work within the existing Collier CARES programs, staff believes the revised State guidance can be met for the CRF expenses. FISCAL IMPACT: The total CARES Act allocation for the County is $67,162,432, with an initial 25% Phase 1 advance of $16,790,607 made available when the agreement was first executed with FDEM. The Phase 2 allocation that will be executed for the County is an advance of another $13,432,486, or 20%, that has been made available to the County, bringing the total funding released to $30,223,093. Once the total of both advances is expended on eligible expenditures, staff will submit reimbursement requests to FDEM for the remaining allocation of the CARES Act funds. Funding has been made available within the Human Services Grant Fund (707), Project 33699 unless otherwise determined to administer funds effectively. Staff will distribute funds for eligible expenditures in accordance with the CARES Act and related guidance. Other expenses incurred by the County and associated with the administration of this agreement will be accounted for and are expected to be fully reimbursable. A list of eligible expenses and full U.S. Treasury guidance is attached as an addendum to this Executive Summary. GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this item. LEGAL CONSIDERATIONS: According to FDEM, the Allotment Schedule referenced in Amendment 1 is to the original agreement. This item is approved in form and legality and requires a majority vote for ratification - JAB RECOMMENDATION: To accept the Phase 2 appropriation of CRF funding to Collier County, and approve additional allocations to the Collier CARES program for distribution of the Coronavirus Relief Fund (CRF) due to changes in State guidance. Packet Pg. 222 10/27/2020 Prepared By: Sean Callahan, Executive Director, Corporate Business Operations ATTACHMENT(S) 1. FL Local Government Webinar Changes (flat) (PDF) 2. FDEM CARES Original Agreement 07.13.2020 (PDF) 3. CRF Guidance for State, Territorial, Local, and Tribal Governments 09.02.2020 (PDF) 4. CRF Frequently Asked Questions— 10.19.20 (PDF) 5. Amendment 1 - Phase 2 CRF (PDF) 6. Quick Spend Guidance FL CARES 10_20_2020 (PDF) 7. State of FL CRF Local Government Recipient Guidelines (PDF) Packet Pg. 223 11.0 10/27/2020 COLLIER COUNTY Board of County Commissioners Item Number: 1 LC Doe ID: 13959 Item Summary: Recommendation to accept the Phase 2 appropriation of CRF funding to Collier County, and approve additional allocations to the Collier CARES program for distribution of the Coronavirus Relief Fund (CRF) due to changes in State guidance. (Sean Callahan, Executive Director, Corporate Business Operations). Meeting Date: 10/27/2020 Prepared by: Title: — Corporate Business Operations Name: Sean Callahan 10/ 18/2020 6:46 AM Submitted by: Title: County Manager — County Manager's Office Name: Leo E. Ochs 10/18/2020 6:46 AM Approved By: Review: Community & Human Services Corporate Business Operations Community & Human Services Corporate Business Operations Grants Office of Management and Budget Grants County Attorney's Office County Manager's Office Board of County Commissioners Kristi Sonntag Additional Reviewer Jennifer Reynolds Additional Reviewer Sean Callahan Additional Reviewer Sean Callahan Additional Reviewer Erica Robinson Level 2 Grants Review Debra Windsor Level 3 OMB Gatekeeper Review Therese Stanley Additional Reviewer Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Leo E. Ochs Level 4 County Manager Review MaryJo Brock Meeting Pending Completed 10/19/2020 9:57 AM Completed 10/19/2020 1:41 PM Skipped 10/19/2020 4:01 PM Completed 10/19/2020 4:01 PM Completed 10/20/2020 10:00 AM Completed 10/20/2020 10:59 AM Completed 10/20/2020 4:23 PM Completed 10/21/2020 3:27 PM Completed 10/21/2020 3:44 PM 10/27/2020 9:00 AM Packet Pg. 224 W LU nro Q ui �+ LL O O a.., O v M O (2) O Cu '— E CM W E W W ^ ; �D Ln U O .— F— N DC C— V) rC � O � I U Q � I %,o =�� � M O CZ— 4D F— (D Ln F— 4D O z 0- Ln o 11.C.1 Cu U- U LO m M Packet Pg. 225 11.C.2 Agreement Number: Y2265 CARES ACT FUNDING AGREEMENT THIS AGREEMENT is entered into by the State of Florida, Division of Emergency Management, with headquarters in Tallahassee, Florida (hereinafter referred to as the "Division" or `Recipient"), and Collier Coun#y, (hereinafter referred to as the "County" or "Subrecipient"). This agreement is entered into based on the following representations: A. The Subrecipient represents that it is fully qualified and eligible to receive this funding for the purposes identified herein; and B. The Division has received these funds from the U.S. Department of Treasury through the State of Q. Florida and has the authority to distribute these funds to the Subrecipient upon the terms and M conditions below; and W C. The Division has statutory authority to disburse the funds under this Agreement. v D. The CARES Act, section 601(d) of the Social Security Act, created the Coronavirus Relief Fund (CRF) and provided Florida with $8,328,221,072; 55% of which was allocated to the State of Florida rn and 45% was allocated to counties. E. The United States Department of the Treasury disbursed $2,472,413,692 of these funds directly to 0 counties with a population in excess of 500,000. N 0 F. A remaining balance of $1,275,286,790 was reverted to the State of Florida from the local government allocation, for the State to disburse to counties with populations less than 500,000, Therefore, the Division and the Subrecipient agree to the following: (1) LAWS RULES REGULATIONS AND POLICIES a. Performance under this Agreement is subject to 2 C.F.R Part 200, entitled "Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards." b. As required by section 215.971(1), Florida Statutes, this Agreement includes: i. A provision specifying a scope of work that clearly establishes the tasks that the Recipient is required to perform. ii. A provision dividing the agreement into quantifiable units of deliverables that must be received and accepted in writing by the Division before payment or reimbursement. Each deliverable must be directly related to the scope of work and specify the required minimum level of service to be performed and the criteria for evaluating the successful completion of each deliverable. iii. A provision specifying the financial consequences that apply if the Subrecipient fails to perform the minimum level of service required by the agreement. iv. A provision specifying that the Subrecipient may expend funds only for allowable costs resulting from obligations incurred during the specified agreement period. V. A provision specifying that any balance of unobligated funds which has been advanced or paid must be refunded to the Division. vi. A provision specifying that any funds paid in excess of the amount to which the Recipient is entitled under the terms and conditions of the agreement must be refunded to the Division. c. In addition to the foregoing, the Subrecipient and the Division will be governed by all applicable State and Federal laws, rules and regulations, including those identified in Attachment B, Any express reference in this Agreement to a particular statute, rule, or regulation in no way implies that no other statute, rule, or regulation applies. Packet Pg. 226 11.C.2 (2) CONTACT a. In accordance with section 215.971(2), Florida Statutes, the Division's Program Manager will be responsible for enforcing performance of this Agreement's terms and conditions and will serve as the Division's liaison with the Subrecipient. As part of his/her duties, the Program Manager for the Division will monitor and document Subrecipient performance. b. The Division's Program Manager for this Agreement is: Wesley Sapp Division of Emergency Management 2555 Shumard Oak Boulevard Tallahassee, Florida 32399-2100 Telephone: (850) 815-4431 Email: Wesley.Sapp@em.myflorida.com c. The name and address of the representative of the Recipient responsible for the administration of this Agreement is: Allison McLeary Division of Emergency Management 2555 Shumard Oak Blvd Telephone: 850-815--4455 Email; Allison. McLeary@em.myflorida.com d. in the event that different representatives or addresses are designated by either party after execution of this Agreement, notice of the name, title and address of the new representative will be provided to the other party. (3) TERMS AND CONDITIONS This Agreement contains all the terms and conditions agreed upon by the parties. (4) EXECUTION This Agreement may be executed in any number of counterparts, any one of which may be taken as an original. (5) MODIFICATION This agreement may not be modified. (6) PERIOD OF AGREEMENT This Agreement shall be effective on March 1, 2020 and shall end on December 30, 2020, unless terminated earlier in accordance with the provisions of Paragraph (15) TERMINATION. In accordance with section 215.971(1)(d), Florida Statutes, the Subrecipient may expend funds authorized by this Agreement "only for allowable costs resulting from obligations incurred during the specific agreement period." (7) FUNDING a. The State of Florida's performance and obligation to pay under this Agreement is contingent upon an annual appropriation by the Legislature, and subject to any modification in accordance with either Chapter 216, Florida Statutes, and the Florida Constitution. b. This is a modified reimbursement agreement. The State, through the Division, will make an initial disbursement to the county of 25% of the total amount allocated to the county according to the United States Department of the Treasury. Any additional amounts will be disbursed on a reimbursement basis. m c� Q. U- U rn LO rn M r Packet Pg. 227 11.C.2 c. Subrecipients may use payments for any expenses eligible under section 601(d) of the Social Security Act, specifically the Coronavirus Relief Fund and further outlined in US Treasury Guidance. Payments are not required to be used as the source of funding of last resort. d. The Division's Program Manager, as required by section 215.971(2)(c), Florida Statutes, shall reconcile and verify all funds received against all funds expended during the period of agreement and produce a final reconciliation report. The final report must identify any funds paid in excess of the expenditures incurred by the Subrecipient. e. For the purposes of this Agreement, the term "improper payment" means or includes: i. Any payment that should not have been made or that was made in an incorrect amount (including overpayments and underpayments) under statutory, contractual, administrative, or other legally applicable requirements, f. As required by the Reference Guide for State Expenditures, reimbursement for travel must be in accordance with section 112.061, Florida Statutes, which includes submission of the 'a claim on the approved state travel voucher. a D g. Counties should provide funding to municipalities within their jurisdiction upon request for U_ eligible expenditures under the CARES Act. However, counties are responsible for the U repayment of funds to the Division for expenditures that the Division or the Federal government determines are ineligible under the CARES Act. LO h. The CARES Act requires that the payments from the Coronavirus Relief Fund only be used Cl) to cover expenses that'-- i. are necessary expenditures incurred due to the public health emergency with N respect to the Coronavirus Disease 2019 (COVID-19); N ii. were not accounted for in the budget most recently approved as of March 27, 2020 ci (the date of enactment of the CARES Act) for the State or government; and iii. were incurred during the period that begins on March 1, 2020 and ends on December 30, 2020. Funds transferred to Subrecipient must qualify as a necessary expenditure incurred due to the public health emergency and meet the E other criteria of section 601(d) of the Social Security Act. Such funds would be L subject to recoupment by the Treasury Department if the funds have not been used a in a manner consistent with section 601(d) of the Social Security Act. i. Examples of Eligible Expenses include, but are not limited to: c [. Medical expenses ii. Public health expenses O iii. Payroll expenses for public safety, public health, health care, human services, and U) LU similar employees whose services are substantially dedicated to mitigating or responding to the COVID-19 public health emergency. Q U iv. Expenses of actions to facilitate compliance with COVID-19 related public health measures. w v. Expenses associated with the provision of economic support in connection with o the COVID-19 public health emergency. vi. Any other COVID-19 -- related expenses reasonably necessary to the function of government that satisfy the fund's eligibility criteria. (8) [NVOICING a. In order to obtain reimbursement for expenditures in excess of the initial 25% disbursement, the Subrecipient must file with the Division Grant Manager its request for reimbursement and any other information required to justify and support the payment request. Payment requests must include a certification, signed by an official who is authorized to legally bind the Subrecipient, which reads as follows: I https:l/home.treasury.gov/system/files/136/Coronavirus-Relief-Fund-Guldance-for-State-Territorial- Local-and-Tribal-Governments. pdf Packet Pg. 228 11.C.2 By signing this report, I certify to the best of my knowledge and belief that the report is true, complete, and accurate, and the expenditures, disbursements and cash receipts are for the purposes and objectives set forth in the terms and conditions of the Federal award. I am aware that any false, fictitious, or fraudulent information, or the omission of any material fact, may subject me to criminal, civil or administrative penalties for fraud, false statements, false claims or otherwise. (U.S, Code Title 18, Section 1001 and Title 31, Sections 3729-3730 and 3801-3812). b. Reimbursements will only be made for expenditures that the Division provisionally determines are eligible under the CARES Act. However, the Division's provisional v, determination that an expenditure is eligible does not relieve the county of its duty to repay the Division for any expenditures that are later determined by the Division or the Federal a government to be ineligible. U- (9) RECORDS v a. Asa condition of receiving state or federal financial assistance, and as required by sections L; 20.055(6)(c) and 215.97(5)(b), Florida Statutes, the Division, the Chief Inspector General M of the State of Florida, the Florida Auditor General, or any of their authorized representatives, shall enjoy the right of access to any documents, financial statements, N papers, or other records of the Subrecipient which are pertinent to this Agreement, in order N to make audits, examinations, excerpts, and transcripts. The right of access also includes ci timely and reasonable access to the Subrecipient's personnel for the purpose of interview and discussion related to such documents. For the purposes of this section, the term "Subrecipient" includes employees or agents, including all subcontractors or consultants to (D be paid from funds provided under this Agreement. E b. The Subrecipient shall maintain all records related to this Agreement for the period of time L specified in the appropriate retention schedule published by the Florida Department of Q State. Information regarding retention schedules can be obtained at:CU http://dos.myflorida.com/library-archives/records-management/general-records- schedules/. L c. Florida's Government in the Sunshine Law (Section 286,011, Florida Statutes) provides O the citizens of Florida with a right of access to governmental proceedings and mandates U) three, basic requirements: (1) all meetings of public boards or commissions must be open Q to the public; (2) reasonable notice of such meetings must be given; and, (3) minutes of U the meetings must be taken and promptly recorded. d. Florida's Public Records Law provides a right of access to the records of the state and local w governments as well as to private entities acting on their behalf. Unless specifically o exempted from disclosure by the Legislature, all materials made or received by a governmental agency (or a private entity acting on behalf of such an agency) in conjunction with official business which are used to perpetuate, communicate, or formalize knowledge qualify as public records subject to public inspection. c IF THE SUBRECIPIENT HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE SUBRECIPIENT'S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS CONTRACT, CONTACT THE CUSTODIAN OF PUBLIC RECORDS AT: (850) 815-4156, Records@em.myflorida.com, or 2555 Shumard Oak Boulevard, Tallahassee, FL 32399. 4 Packet Pg. 229 11.C.2 (10)AUDITS a. In accounting for the receipt and expenditure of funds under this Agreement, the Subrecipient must follow Generally Accepted Accounting Principles ("GAAP"). As defined by 2 C.F.R. §200.49, "GAAP has the meaning specified in accounting standards issued by the Government Accounting Standards Board (GASB) and the Financial Accounting Standards Board (FASB)." b. When conducting an audit of the Subrecipient's performance under this Agreement, the Division must use Generally Accepted Government Auditing Standards ("GAGAS"). As defined by 2 C.F.R. §200.50, "GAGAS, also known as the Yellow Book, means generally accepted government auditing standards issued by the Comptroller General of the United States, which are applicable to financial audits." c. If an audit shows that all or any portion of the funds disbursed were not spent in accordance with the conditions of and strict compliance with this Agreement, the Subrecipient will be a held liable for reimbursement to the Division of all funds not spent in accordance with these applicable regulations and Agreement provisions within thirty (30) days after the Division D has notified the Subrecipient of such non-compliance. a_ d. The Subrecipient must have all audits completed by an independent auditor, which is defined in section 215.97(2)(i), Florida Statutes, as "an independent certified public accountant licensed under chapter 473." The independent auditor must state that the audit L; complied with the applicable provisions noted above. The audits must be received by the M Division no later than nine months from the end of the Subrecipient's fiscal year. 77 e. The Subrecipient must send copies of reporting packages required under this paragraph N directly to each of the following: N The Division of Emergency Management DEMSingle_Audit@em.myflorida.com OR Office of the Inspector General 2555 Shumard Oak Boulevard Tallahassee, Florida 32399-2100 The Auditor General Room 401, Claude Pepper Building 111 West Madison Street Tallahassee, Florida 32399-1450 f. Fund payments are considered to be federal financial assistance subject to the Single Audit Act and the related provisions of the Uniform Guidance. (11)REPORTS a, The Subrecipient must provide the Division with quarterly reports and a close-out report. These reports must include the current status and progress of the expenditure of funds under this Agreement, in addition to any other information requested by the Division. Packet Pg. 230 11.C.2 b. Quarterly reports are due to the Division no later than 15 days after the end of each quarter of the program year and must be sent each quarter until submission of the administrative close-out report. The ending dates for each quarter of the program year are March 31, June 30, September 30, and December 31. The first quarterly report due pursuant to this agreement is due for the quarter ending September 30, 2020. c. The close-out report is due sixty (60) days after termination of this Agreement or 60 days after completion of the activities contained in this Agreement, whichever occurs first. d. If all required reports and copies are not sent to the Division or are not completed in a manner acceptable to the Division, the Division may withhold further payments until they are completed or may take other action as stated in Paragraph (15) REMEDIES. "Acceptable to the Division" means that the work product was completed in accordance with the Budget and Scope of Work, e. The Subrecipient must provide additional program updates or information that may be a required by the Division. a (12)MONITORING W In addition to reviews of audits conducted in accordance with paragraph (10) AUDITS �? above, monitoring procedures may include, but not be limited to, on -site visits by Division staff, limited scope audits, or other procedures. The Subrecipient agrees to comply and LO M cooperate with any monitoring procedureslprocesses deemed appropriate by the Division. 77 In the event that the Division determines that a limited scope audit of the Subrecipient is e appropriate, the Subreciplent agrees to comply with any additional instructions provided by c the Division to the Subrecipient regarding such audit. The Subrecipient further agrees to C'• comply and cooperate with any inspections, reviews, investigations or audits deemed M r necessary by the Florida Chief Financial Officer or Auditor General. In addition, the Division o will monitor the performance and financial management by the Subrecipient throughout the period of agreement to ensure timely completion of all tasks. (13)LIABILITY Any Subrecipient which is a state agency or subdivision, as defined in section 768.28, Florida Statutes, agrees to be fully responsible for its negligent or tortious acts or omissions which result in claims or suits against the Division, and agrees to be liable for any damages proximately caused by the acts or omissions to the extent set forth in section 768,28, Florida Statutes. Nothing herein is intended to serve as a waiver of sovereign immunity by any party to which sovereign immunity applies. Nothing herein will be construed as consent by a state agency or subdivision of the State of Florida to be sued by third parties in any matter arising out of this Agreement. (14)DEFAULT a. If any of the following events occur ("Events of Default"), all obligations on the part of the Division to make further payment of funds will, if the Division elects, terminate and the Division has the option to exercise any of its remedies set forth in Paragraph (15) REMEDIES: However, the Division may make payments or partial payments after any Events of Default without waiving the right to exercise such remedies, and without becoming liable to make any further payment. b. If any warranty or representation made by the Subrecipient in this Agreement or any previous agreement with the Division is or becomes false or misleading in any respect, or if the Subrecipient fails to keep or perform any of the obligations, terms or covenants in this Packet Pg. 231 11.C.2 Agreement or any previous agreement with the Division and has not cured them in timely fashion, or is unable or unwilling to meet its obligations under this Agreement; c. If material adverse changes occur in the financial condition of the Subrecipient at any time during the period of agreement, and the Subrecipient fails to cure this adverse change within thirty (30) days from the date written notice is sent by the Division. d. If any reports required by this Agreement have not been submitted to the Division or have been submitted with incorrect, incomplete or insufficient information; e. If the Subrecipient has failed to perform and complete on time any of its obligations under this Agreement. (15)REMEDIES If an Event of Default occurs, then the Division may, after thirty (30) calendar days written notice to N the Subrecipient and upon the Subrecipient's failure to cure within those thirty (30) days, exercise any one or more of the following remedies, either concurrently or consecutively: a a. Terminate this Agreement, provided that the Subrecipient is given at least thirty (30) days u_ prior written notice of the termination. The notice shall be effective when placed in the United States, first class mail, postage prepaid, by registered or certified mail -return receipt requested, to the address in paragraph (2) CONTACT herein; LO b. Begin an appropriate legal or equitable action to enforce performance of this Agreement; c. Withhold or suspend payment of all or any part of a request for payment; 77 d. Require that the Subrecipient refund to the Division any monies used for ineligible purposes C14 under the laws, rules and regulations governing the use of these funds, ry e. Exercise any corrective or remedial actions, to include but not be limited to: r i. request additional information from the Subrecipient to determine the reasons for c or the extent of non-compliance or lack of performance, ii. issue a written warning to advise that more serious measures may be taken if the situation is not corrected, E iii. advise the Subrecipient to suspend, discontinue or refrain from incurring costs for any activities in question, a iv, require the Subrecipient to reimburse the Division for the amount of costs incurred R for any items determined to be ineligible, or S v. request the Department of Revenue to withhold from any future payment due to the county under the Revenue Sharing Act of 1972 described in Part II of Chapter 0 218, Florida Statutes, or the Participation in Half Cent Sales Tax Proceeds w described in Part IV of Chapter 218, Florida Statutes, an amount equal to any repayment due to the Division under this Agreement. f. Exercise any other rights or remedies which may be available under law. Pursuing any of the above remedies will not stop the Division from pursuing any other remedies in this LU o Agreement or provided at law or in equity. If the Division waives any right or remedy in this a_ Agreement or fails to insist on strict performance by the Subrecipient, it will not affect, c extend or waive any other right or remedy of the Division, or affect the later exercise of the E E same right or remedy by the Division for any other default by the Subrecipient, il (16)TERMINATION a. The Division may terminate this Agreement for cause after thirty (30) days written notice. Cause can include misuse of funds, fraud, lack of compliance with applicable rules, laws and regulations, failure to perform on time, and refusal by the Subrecipient to permit public access to any document, paper, letter, or other material subject to disclosure under Chapter 119, Florida Division of Emergency Management Statutes, as amended, b. The Division may terminate this Agreement for convenience or when it determines, in its sole discretion, that continuing the Agreement would not produce beneficial results in line Packet Pg. 232 11.C.2 with the further expenditure of funds, by providing the Subrecipient with thirty (30) calendar days prior written notice. c. The parties may agree to terminate this Agreement for their mutual convenience through a written amendment of this Agreement. The amendment will state the effective date of the termination and the procedures for proper closeout of this Agreement. d. In the event this Agreement is terminated, the Subrecipient will not incur new obligations for the terminated portion of this Agreement after they have received the notification of termination. The Subrecipient will cancel as many outstanding obligations as possible. Costs incurred after receipt of the termination notice will be disallowed. The Subrecipient will not be relieved of liability to the Division because of any breach of this Agreement by the Subrecipient. The Division may, to the extent authorized by law, withhold payments to the Subrecipient for the purpose of set-off until the exact amount of damages due the Division from the Subrecipient is determined. (17)ATTACHEMENTS a. All attachments to this Agreement are incorporated as if set out fully. b. In the event of any inconsistencies or conflict between the language of this Agreement and the attachments, the language of the attachments will control, but only to the extent of the conflict or inconsistency. (18)PAYMENTS a. The State of Florida, through the Division, will make a disbursement of each County government's allocation as calculated by the United States Department of the Treasury Funding for Collier County is in the amount of $16,790,607.00. (19)REPAYMENTS a. All refunds, return of improper payments, or repayments due to the Division under this Agreement are to be made payable to the order of "Division of Emergency Management," and mailed directly to the following address: Division of Emergency Management Cashier 2555 Shumard Oak Boulevard Tallahassee FL 32399-2100 b. In accordance with section 215.34(2), Florida Statutes, if a check or other draft is returned to the Division for collection, Subrecipient shall pay the Division a service fee of $15.00 or 5% of the face amount of the returned check or draft, whichever is greater. (20)MANDATED CONDITIONS AND OTHER LAWS a. The validity of this Agreement is subject to the truth and accuracy of all the information, representations, and materials submitted or provided by the Subrecipient in this Agreement, in any later submission or response to a Division request, or in any submission or response to fulfill the requirements of this Agreement. All of said information, representations, and materials is incorporated by reference. The inaccuracy of the submissions or any material changes will, at the option of the Division and with thirty (30) days written notice to the Subrecipient, cause the termination of this Agreement and the release of the Division from all its obligations to the Subrecipient. b. This Agreement must be construed under the laws of the State of Florida, and venue for any actions arising out of this Agreement will be in the Circuit Court of Leon County. If any 0 Packet Pg. 233 11.C.2 provision of this Agreement is in conflict with any applicable statute or rule, or is unenforceable, then the provision is null and void to the extent of the conflict, and is severable, but does not invalidate any other provision cf this Agreement. Any power of approval or disapproval granted to the Division' under the terms of this Agreement will survive the term of this Agreement. This Agreement may be executed in any number of counterparts, any one of which may be taken as an original. The Subrecipient agrees to comply with the Americans With Disabilities Act (Public Law 101-336, 42 U.S.C. Section 12101 et seq.), which prohibits discrimination by public and private entities on the basis of disability in employment, public accommodations, transportation, State and local government services, and telecommunications. Those who have been placed on the convicted vendor list following a conviction for a public entity crime or on the discriminatory vendor list may not submit a bid on a contract to provide any goods or services to a public entity, may not submit a bid on a contract with a public entity for the construction or repair of a public building or public work, may not submit bids on leases of real property to a public entity, may not be awarded or perform work as U_ a contractor, supplier, subcontractor, or consultant under a contract with a public entity, and may not transact business with any public entity in excess of $25,000.00 for a period of thirty-six (36) months from the date of being placed on the convicted vendor list or on LO the discriminatory vendor list. The State of Florida's performance and obligation to pay under this Agreement is 77 contingent upon an annual appropriation by the Legislature, and subject to any modification N in accordance with Chapter 216, Florida Statutes, or the Florida Constitution. N All bills for fees or other compensation for services or expenses shall be submitted in detail sufficient for a proper pre -audit and post -audit thereof. Any bills for travel expenses must be submitted in accordance with section 112.061, Florida Statutes. The Division reserves the right to unilaterally cancel this Agreement if the Subrecipient E refuses to allow public access to all documents, papers, letters or other material subject to the provisions of Chapter 119, Florida Statutes, which the Subrecipient created or received a under this Agreement. If the Subrecipient is allowed to temporarily invest any advances of funds under this c Agreement, they must use the interest earned or other proceeds of these investments only to cover expenditures incurred in accordance with section 601(d) of the Social Security Act p and the Guidance on eligible expenses. If a government deposits CRF payments in a cn government's general account, it may use those funds to meet immediate cash LU management needs provided that the full amount of the payment is used to cover U necessary expenditures. Fund payments are not subject to the Cash Management Improvement Act of 1990, as amended. The State of Florida will not intentionally award w publicly -funded contracts to any contractor who knowingly employs unauthorized alien o workers, constituting a violation of the employment provisions contained in 8 U.S.C. r Section 1324a(e) [Section 274A(e) of the Immigration and Nationality Act ("INK)]. The a Division shall consider the employment by any contractor of unauthorized aliens a violation E of Section 274A(e) of the INA. Such violation by the Subrecipient of the employment provisions contained in Section 274A(e) of the INA will be grounds for unilateral Q cancellation of this Agreement by the Division. The Subrecipient is subject to Florida's Government in the Sunshine Law (Section 286.011, Florida Statutes) with respect to the meetings of the Subrecipient's governing board or the meetings of any subcommittee making recommendations to the governing board. All of these meetings must be publicly noticed, open to the public, and the minutes of all the meetings will be public records, available to the public in accordance with Chapter 119, Florida Statutes. Packet Pg. 234 11.C.2 m. All expenditures of state or federal financial assistance must be in compliance with the laws, rules and regulations applicable to expenditures of State funds, including but not limited to, the Reference Guide for State Expenditures. n. This Agreement may be charged only with allowable costs resulting from obligations incurred during the period of agreement. o. Any balances of unobligated cash that have been advanced or paid that are not authorized to be retained for direct program costs in a subsequent period must be refunded to the Division. p. If the purchase of the asset was consistent with the limitations on the eligible use of funds provided by section 601(d) of the Social Security Act, the Subrecipient may retain the asset. If such assets are disposed of prior to December 30, 2020, the proceeds would be subject to the restrictions on the eligible use of payments from the Fund provided by section 601(d) of the Social Security Act. u (21)LOBBYING PROHIBTION c� Q- a. Section 216.347, Florida Statutes, prohibits "any disbursement of grants and aids U- appropriations pursuant to a contract or grant to any person or organization unless the v terms of the grant or contract prohibit the expenditure of funds for the purpose of lobbying the Legislature, the judicial branch, or a state agency." CD b. No funds or other resources received from the Division under this Agreement may be used M directly or indirectly to influence legislation or any other official action by the Florida Legislature or any state agency. o c. 2 C.F.R. §200.450 prohibits reimbursement for costs associated with certain lobbying N activities. M d. Section 216.347, Florida Statutes, prohibits "any disbursement of grants and aids appropriations pursuant to a contract or grant to any person or organization unless the e terms of the grant or contract prohibit the expenditure of funds for the purpose of lobbying the Legislature, the judicial branch, or a state agency." E e. No funds or other resources received from the Division under this Agreement may be used directly or indirectly to influence legislation or any other official action by the Florida a Legislature or any state agency. i. The Subrecipient certifies, by its signature to this Agreement, that to the best of his c or her knowledge and belief: H ii. No Federal appropriated funds have been paid or will be paid, by or on behalf of 0 the Subrecipient, to any person for influencing or attempting to influence an officer w or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the v awarding of any Federal contract, the making of any Federal grant, the making of U any Federal loan, the entering into of any cooperative agreement, and the w extension, continuation, renewal, amendment or modification of any Federal o contract, grant, loan or cooperative agreement. r iii. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of E any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, Q loan or cooperative agreement, the Subrecipient must complete and submit Standard Form-LLL, "Disclosure of Lobbying Activities." iv. The Subrecipient must require that this certification be included in the award documents for all subawards (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all Subrecipient s shall certify and disclose. v. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed 10 Packet Pg. 235 11.C.2 by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. (22)LEGAL AUTHORIZATION The Subrecipient certifies that it has the legal authority to receive the funds under this Agreement and that its governing body has authorized the execution and acceptance of this Agreement. The Subrecipient also certifies that the undersigned person has the authority to legally execute and bind the Subrecipient to the terms of this Agreement. (23)ASSURANCES The Subrecipient must comply with any Statement of Assurances incorporated as Attachment C. (24)EQUAL OPPORTUNITY EMPLOYMENT a. In accordance with 41 C.F.R. §60-1.4(b), the Subrecipient hereby agrees that it will D incorporate or cause to be incorporated into any contract for construction work, or U- modification thereof, as defined in the regulations of the Secretary of Labor at 41 CFR Chapter 60, which is paid for in whole or in part with funds obtained from the Federal Government or borrowed on the credit of the Federal Government pursuant to a grant, LO contract, loan, insurance, or guarantee, or undertaken pursuant to any Federal program M involving such grant, contract, loan, insurance, or guarantee, the following equal opportunity clause: N During the performance of this contract, the contractor agrees as follows: ry The contractor will not discriminate against any employee or applicant for employment because of race, color, religion, sex, sexual orientation, gender identity, or national origin. The contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment without regard to their race, color, religion, sex, sexual orientation, gender identity, or national origin. Such action shall include, but not be limited to the following: i. Employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided setting forth the provisions of this nondiscrimination clause. H. The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive considerations for employment without regard to race, color, religion, sex, sexual orientation, gender identity, or national origin. iii. The contractorwill not discharge or in any other manner discriminate against any employee or applicant for employment because such employee or applicant has inquired about, discussed, or disclosed the compensation of the employee or applicant or another employee or applicant. This provision shall not apply to instances in which an employee who has access to the compensation information of other employees or applicants as a part of such employee's essential job functions discloses the compensation of such other employees or applicants to individuals who do not otherwise have access to such information, unless such disclosure is in response to a formal complaint or charge, in furtherance of an investigation, proceeding, hearing, or action, including an investigation conducted by the employer, or is consistent with the contractor's legal duty to furnish information. 11 Packet Pg. 236 11.C.2 iv. The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice to be provided advising the said labor union or workers' representatives of the contractor's commitments under this section, and shall Post copies of the notice in conspicuous places available to employees and applicants for employment. V. The contractor will comply with all provisions of Executive Order 11246 of September 24, 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor. vi. The contractor will furnish all information and reports required by Executive Order 11246 of September 24, 1965, and by rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the administering agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders. �- vii. In the event of the contractor's noncompliance with the nondiscrimination U- clauses of this contract or with any of the said rules, regulations, or orders, this W contract may be canceled, terminated, or suspended in whole or in part and the v contractor may be declared ineligible for further Government contracts or LO; federally assisted construction contracts in accordance with procedures °; authorized in Executive Order 11246 of September 24, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive Order N 11246 of September 24, 1965, or by rule, regulation, or order of the Secretary of N Labor, or as otherwise provided by law. M viii. The contractor will include the portion of the sentence immediately preceding paragraph (1) and the provisions of paragraphs (1) through (8) in every c subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to section 204 of Executive Order E 11246 of September 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any a subcontract or purchase order as the administering agency may direct as a means of enforcing such provisions, including sanctions for noncompliance: c Provided, however, that in the event a contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the administering agency the contractor may request the United States to enter into such litigation to protect the interests of the United States. (25)COPELAND ANTI -KICKBACK ACT a. The Subrecipient hereby agrees that, unless exempt under Federal law, it will incorporate or cause to be incorporated into any contract for construction work, or modification thereof, the following clause: 1. Contractor. The contractor shall comply with 18 U.S.C. § 874, 40 U.S.C. § 3145, and the requirements of 29 C.F.R. pt. 3 as may be applicable, which are incorporated by reference into this contract. ii. Subcontracts. The contractor or subcontractor shall insert in any subcontracts the clause above and such other clauses as the FEMA may by appropriate instructions require, and also a clause requiring the subcontractors to include these clauses in any lower tier subcontracts. The prime contractor shall be responsible for the compliance by any subcontractor or lower tier subcontractor with all of these contract clauses. 1.2 Packet Pg. 237 11.C.2 Hi. Breach. A breach of the contract clauses above may be grounds for termination of the contract, and for debarment as a contractor and subcontractor as provided in 29 C.F.R. § 5.12. (26)CONTRACT WORK HOURS AND SAFETY STANDARDS If the Subrecipient, with the funds authorized by this Agreement, enters into a contract that exceeds $100,000 and involves the employment of mechanics or laborers, then any such contract must include a provision for compliance with 40 U.S.C. 3702 and 3704, as supplemented by Department of Labor regulations (29 CFR Part 5). Under 40 U.S.C. 3702 of the Act, each contractor must be required to compute the wages of every mechanic and laborer on the basis of a standard work week of 40 hours. Work in excess of the standard work week is permissible provided that the worker is compensated at a rate of not less than u one and a half times the basic rate of pay for all hours worked in excess of 40 hours in the work week. The requirements of 40 U.S.C. 3704 are applicable to construction work and provide that no laborer or mechanic must be required to work in surroundings or under M working conditions which are unsanitary, hazardous, or dangerous. These requirements v do not apply to the purchases of supplies or materials or articles ordinarily available on the open market, or contracts for transportation. M M M (27)CLEAN AIR ACT AND THE FEDERAL WATER POLLUTION CONTROL ACT a. If the Subrecipient, with the funds authorized by this Agreement, enters into a contract that exceeds $150,000, then any such contract must include the following provision: i. Contractor agrees to comply with all applicable standards, orders or regulations issued pursuant to the Clean Air Act (42 U.S.C. 7401-7671q) and the Federal Water Pollution Control Act as amended (33 U,S.C. 1251-1387), and will report violations to FEMA and the Regional Office of the Environmental Protection Agency (EPA). (28)SUSPENSION AND DEBARMENT a. If the Subrecipient, with the funds authorized by this Agreement, enters into a contract, then any such contract must include the following provisions: 1. This contract is a covered transaction for purposes of 2 C.F.R. pt. 180 and 2 C.F.R. pt. 3000. As such the contractor is required to verify that none of the contractor, its principals (defined at 2 C.F.R. § 180.995), or its affiliates (defined at 2 C.F.R. § 180.905) are excluded (defined at 2 C.F.R. § 180.940) or disqualified (defined at 2 C.F.R. § 180.935). H. The contractor must comply with 2 C.F.R. pt. 180, subpart C and 2 C.F.R. pt. 3000, subpart C and must include a requirement to comply with these regulations in any lower tier covered transaction it enters into. iii. This certification is a material representation of fact relied upon by the Division. If it is later determined that the contractor did not comply with 2 C.F.R. pt. 180, subpart C and 2 C.F.R. pt. 3000, subpart C, in addition to remedies available to the Division, the Federal Government may pursue available remedies, including but not limited to suspension andfor debarment. iv. The bidder or proposer agrees to comply with the requirements of 2 C.F.R. pt. 180, subpart C and 2 C.F.R. pt. 3000, subpart C while this offer is valid and throughout the period of any contract that may arise from this offer. The bidder or proposer further agrees to include a provision requiring such compliance in its lower tier covered transactions. (29)BYRD ANTI -LOBBYING AMENDMENT 13 Packet Pg. 238 11.C.2 a. If the Subrecipient, with the funds authorized by this Agreement, enters into a contract, then any such contract must include the following clause: i. Byrd Anti -Lobbying Amendment, 31 U.S.C. § 1352 (as amended). Contractors who apply or bid for an award of $100,000 or more shall file the required certification. Each tier certifies to the tier above that it will not and has not used Federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant, or any other award covered by 31 U.S.C. § 1352. Each tier shall also disclose any lobbying with non -Federal funds that takes place in connection with obtaining any Federal award. Such disclosures are forwarded from tier to tier up to the Subrecipient. (30)CONTRACTING WITH SMALL AND MINORITY BUSINESSES WOMEN'S BUSINESS N m ENTERPRISES, AND LABOR SURPLUS AREA FIRMS Q- a, If the Subreciplent, with the funds authorized by this Agreement, seeks to procure goods U_ or services, then, in accordance with 2 C.F,R, §200.321, the Subrecipient must take the W following affirmative steps to assure that minority businesses, women's business v enterprises, and labor surplus area firms are used whenever possible: to i. Placing qualified small and minority businesses and women's business °; enterprises on solicitation lists; ii. Assuring that small and minority businesses, and women's business enterprises N are solicited whenever they are potential sources; N iii. Dividing total requirements, when economically feasible, into smaller tasks or ri quantities to permit maximum participation by small and minority businesses, and women's business enterprises; c iv. Establishing delivery schedules, where the requirement permits, which encourage participation by small and minority businesses, and women's m E business enterprises; V. Using the services and assistance, as appropriate, of such organizations as the a Small Business Administration and the Minority Business Development Agency of the Department of Commerce; and c vi. Requiring the prime contractor, if subcontracts are to be let, to take the H affirmative steps listed in paragraphs (i), through v. of this subparagraph. O b. The requirement outlined in subparagraph a, above, sometimes referred to as U) "socioeconomic contracting," does not impose an obligation to set aside either the solicitation or award of a contract to these types of firms. Rather, the requirement only Q v imposes an obligation to carry out and document the six affirmative steps identified above. M c. The "socioeconomic contracting" requirement outlines the affirmative steps that the w Subrecipient must take; the requirements do not preclude the Subrecipient from o undertaking additional steps to involve small and minority businesses and women's business enterprises. d. The requirement to divide total requirements, when economically feasible, into smaller tasks or quantities to permit maximum participation by small and minority businesses, and women's business enterprises, does not authorize the Subrecipient to break a single Q project down into smaller components in order to circumvent the micro purchase or small purchase thresholds so as to utilize streamlined acquisition procedures (e.g. "project splitting"). 14 Packet Pg. 239 11.C.2 ATTEST: IICRYSTAL K. KINZEL, CLERK C' Dated: (S AL) Approved as to form and legality: Jennifer . Belpedio Assistant County Attorney Date: G 1 -; 01 al,oaao BOARD OF COUNTY COMMISSIONERS OF COLLIER COj4JNTY, FLORIDA By: 44eo�- BUfT-rSW%fbEPRt, CHAIRMAN Date: FID4 596000558 M 13 a STATE OF FLORIDA U- DIVISION OF EMERGENCY MANAGEMENT v Digitally signed by Allison McLeary Allison DN: do=org, do=fleoc, ou=DEM—Users, O! ou=Recovery, ou=RecoveryCoordination, �C1 cn=Allison McLeary, By: McLeary a% email=Allison.MCLeary@em.myflorida.com T NAME, TITLE Interim Recovery Bureau Chi( N Date: 7-13-20 ry M Packet Pg. 240 11.C.2 Attachment A CARES ACT CORONAVIRUS RELIEF FUND ELIGIBILITY CERTIFICATION I, , am the Authorized Agent of Collier County County ("County") and I certify that: 1. 1 have the authority on behalf of County to request grant payments from the State of Florida ("State") for federal funds appropriated pursuant to section 601 of the Social Security Act, as added by section 5001 of the Coronavirus Aid, Relief, and Economic Security Act, Pub. L. No. 116-136, div. A, Title V (Mar. 27, 2020). 2. 1 understand that the State will rely on this certification as a material representation in making grant payments to the County. d 3. 1 acknowledge that County should keep records sufficient to demonstrate that the expenditure of funds it has M received is in accordance with section 601(d) of the Social Security Act. U- 4. I acknowledge that all records and expenditures are subject to audit by the United States Department of Treasury's v Inspector General, the Florida Division of Emergency Management, and the Florida State Auditor General, or designee. rn LO 5. 1 acknowledge that County has an affirmative obligation to identify and report any duplication of benefits. I M r understand that the State has an obligation and the authority to deobligate or offset any duplicated benefits. 0 N 6. 1 acknowledge and agree that County shall be liable for any costs disallowed pursuant to financial or compliance N audits of funds received. 7. 1 acknowledge that if County has not used funds it has received to cover costs that were incurred by December 30, 2020, as required by the statute, those funds must be returned to the United States Department of the Treasury. 8. 1 acknowledge that the County's proposed uses of the funds provided as grant payments from the State by federal appropriation under section 601 of the Social Security Act will be used only to cover those costs that: a. are necessary expenditures incurred due to the public health emergency and governor's disaster declaration on March 13, 2020 with respect to the Coronavirus Disease 2019 (COVID-19); b. were not accounted for in the budget most recently approved as of March 27, 2020, for County; and c. were incurred during the period that begins on March 1, 2020 and ends on December 30, 2020. In addition to each of the st tements above, I acknowledge on submission of this certification that my jurisdiction has incurred eligible expense tween rch IfIO20 and the date noted below. B: R y . Dated: Name and title: Burt L. Saunder$ti,Cfi rnian,, Seal Date. ATTEST: 04 'ly n tal,K0. Kirin-- L Qld. ` ~� Date: " { Approved as to form and Iegallona!krex ; ;1 'CN Jennifer A. Belpedi6� Assistant Co\nty Attorney Date: 'fn 1 3 0 1 a n '� 17 Packet Pg. 241 11.C.2 Attachment A -CERTIFICATION REGARDING LOBBYING Certification for Contracts, Grants, Loans, and Cooperative Agreements The undersigned sub -recipient, Collier County, certifies, to the best of his or her knowledge that: 1. No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of an agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. 2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or N attempting to influence any officer or employee of any agency, a Member of Congress, an officer or employee of a Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan or cooperative Q. agreement, the undersigned shall complete and submit Standard Form — LLL, "Disclosure Form to Report Lobbying," in U_ accordance with its instructions. U v 3. The undersigned shall require that the language of this certification be included in the award documents for all In CD subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. o This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by 31 U.S.C. Sec. 1352 (as amended by the Lobbying Disclosure Act of 119). Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure The sub -recipient, Collier County, certifies or affirms the truthfulness and accuracy of each,.5tatemertt of its certification and disclosure, if any. In addition, sub -recipient understands and agrees that the provisi.ohs of 31 U.S.L Sec. 3801. et seq. apply to his certification disclosur�'f By: ATTt57 Name and title: Burt L. Saunders, Chairman VV Crystal K. Ki AftQ aCan� t Date: — DATE: �� �.nattire" only.., - Approved as to f m and Le ty "'�" C'li, - STATE OF FLORIDA Jennifer A. Belpedio, As ant County Atorney DIVISION OF EMERGENCY MANAGEMENT DATE: Digitally signed by Allison McLeary DN Rcover d=fleocM_U—Reco very, y=Recovation,=Allison McLeary,Allison MeLearemsiI=AIIison.McLvary@em.myflorida.com By: Date: 2020.07.13 12:01:40-04'00' Name and title Date: 7-13-20 ATTESTLL CRYSTAL K KIl` $EI "CLERK Rk = f'•,p ,t 21 •L ti` Ate st.1s i sianature only., , Dated: (seal) nterim Recovery Bureau Chief Approved as to form and legs ily Assistant County A rney 18 Packet Pg. 242 11.C.2 Attachment B PROGRAM STATUTES AND REGULATIONS 42 USC 601(d) CARES Act Section 215.422, Florida Statutes Section 215,971, Florida Statutes Section 216,347, Florida Statutes CFO MEMORANDUM NO. 04 (2005-06) Creation of the Coronavirus Relief Fund (CRF) Payments, warrants, and invoices; processing time limits; dispute limitation; agency or judicial branch compliance Agreements funded with federal and state assistance Disbursement of grant and aids appropriations for lobbying prohibited Compliance Requirements for Agreements 19 m a LL U LO M Packet Pg. 243 11.C.3 Coronavirus Relief Fund Guidance for State, Territorial, Local, and Tribal Governments Updated September 2, 2020' The purpose of this document is to provide guidance to recipients of the funding available under section ZI 601(a) of the Social Security Act, as added by section 5001 of the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act"). The CARES Act established the Coronavirus Relief Fund (the "Fund") a and appropriated $150 billion to the Fund. Under the CARES Act, the Fund is to be used to make U_ payments for specified uses to States and certain local governments; the District of Columbia and U.S. v Territories (consisting of the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands); and Tribal governments. M The CARES Act provides that payments from the Fund may only be used to cover costs that — are necessary expenditures incurred due to the public health emergency with respect to the Coronavirus Disease 2019 (COVID-19); 2. were not accounted for in the budget most recently approved as of March 27, 2020 (the date of enactment of the CARES Act) for the State or government; and 3. were incurred during the period that begins on March 1, 2020, and ends on December 30, 2020.2 The guidance that follows sets forth the Department of the Treasury's interpretation of these limitations on the permissible use of Fund payments. Necessary expenditures incurred due to the public health emergency The requirement that expenditures be incurred "due to" the public health emergency means that expenditures must be used for actions taken to respond to the public health emergency. These may include expenditures incurred to allow the State, territorial, local, or Tribal government to respond directly to the emergency, such as by addressing medical or public health needs, as well as expenditures incurred to respond to second -order effects of the emergency, such as by providing economic support to those suffering from employment or business interruptions due to COVID-19-related business closures. Funds may not be used to fill shortfalls in government revenue to cover expenditures that would not otherwise qualify under the statute. Although a broad range of uses is allowed, revenue replacement is not a permissible use of Fund payments. The statute also specifies that expenditures using Fund payments must be "necessary." The Department of the Treasury understands this term broadly to mean that the expenditure is reasonably necessary for its intended use in the reasonable judgment of the government officials responsible for spending Fund payments. ' On June 30, 2020, the guidance provided under "Costs incurred during the period that begins on March 1, 2020, and ends on December 30, 2020" was updated. On September 2, 2020, the "Supplemental Guidance on Use of Funds to Cover Payroll and Benefits of Public Employees" and "Supplemental Guidance on Use of Funds to Cover Administrative Costs" sections were added. 2 See Section 601(d) of the Social Security Act, as added by section 5001 of the CARES Act. Packet Pg. 244 11.C.3 Costs not accounted for in the budget most recently approved as of March 27, 2020 The CARES Act also requires that payments be used only to cover costs that were not accounted for in the budget most recently approved as of March 27, 2020. A cost meets this requirement if either (a) the cost cannot lawfully be funded using a line item, allotment, or allocation within that budget or (b) the cost is for a substantially different use from any expected use of funds in such a line item, allotment, or allocation. � a The "most recently approved" budget refers to the enacted budget for the relevant fiscal period for the D particular government, without taking into account subsequent supplemental appropriations enacted or v other budgetary adjustments made by that government in response to the COVID-19 public health emergency. A cost is not considered to have been accounted for in a budget merely because it could be met using a budgetary stabilization fund, rainy day fund, or similar reserve account. M T �r Costs incurred during the period that begins on March 1, 2020, and ends on December 30, 2020 Finally, the CARES Act provides that payments from the Fund may only be used to cover costs that were incurred during the period that begins on March 1, 2020, and ends on December 30, 2020 (the "covered period"). Putting this requirement together with the other provisions discussed above, section 601(d) may be summarized as providing that a State, local, or tribal government may use payments from the Fund only to cover previously unbudgeted costs of necessary expenditures incurred due to the COVID-19 public health emergency during the covered period. Initial guidance released on April 22, 2020, provided that the cost of an expenditure is incurred when the recipient has expended funds to cover the cost. Upon further consideration and informed by an understanding of State, local, and tribal government practices, Treasury is clarifying that for a cost to be considered to have been incurred, performance or delivery must occur during the covered period but payment of funds need not be made during that time (though it is generally expected that this will take place within 90 days of a cost being incurred). For instance, in the case of a lease of equipment or other property, irrespective of when payment occurs, the cost of a lease payment shall be considered to have been incurred for the period of the lease that is within the covered period but not otherwise. Furthermore, in all cases it must be necessary that performance or delivery take place during the covered period. Thus the cost of a good or service received during the covered period will not be considered eligible under section 601(d) if there is no need for receipt until after the covered period has expired. Goods delivered in the covered period need not be used during the covered period in all cases. For example, the cost of a good that must be delivered in December in order to be available for use in January could be covered using payments from the Fund. Additionally, the cost of goods purchased in bulk and delivered during the covered period may be covered using payments from the Fund if a portion of the goods is ordered for use in the covered period, the bulk purchase is consistent with the recipient's usual procurement policies and practices, and it is impractical to track and record when the items were used. A recipient may use payments from the Fund to purchase a durable good that is to be used during the current period and in subsequent periods if the acquisition in the covered period was necessary due to the public health emergency. Given that it is not always possible to estimate with precision when a good or service will be needed, the touchstone in assessing the determination of need for a good or service during the covered period will be reasonableness at the time delivery or performance was sought, e.g., the time of entry into a procurement contract specifying a time for delivery. Similarly, in recognition of the likelihood of supply chain disruptions and increased demand for certain goods and services during the COVID-19 public health emergency, if a recipient enters into a contract requiring the delivery of goods or performance of services by December 30, 2020, the failure of a vendor to complete delivery or services by December 30, 2020, W Packet Pg. 245 11.C.3 will not affect the ability of the recipient to use payments from the Fund to cover the cost of such goods or services if the delay is due to circumstances beyond the recipient's control. This guidance applies in a like manner to costs of subrecipients. Thus, a grant or loan, for example, provided by a recipient using payments from the Fund must be used by the subrecipient only to purchase (or reimburse a purchase of) goods or services for which receipt both is needed within the covered period and occurs within the covered period. The direct recipient of payments from the Fund is ultimately responsible for compliance with this limitation on use of payments from the Fund. Nonexclusive examples of eligible expenditures Eligible expenditures include, but are not limited to, payment for: 1. Medical expenses such as: • COVID-19-related expenses of public hospitals, clinics, and similar facilities. • Expenses of establishing temporary public medical facilities and other measures to increase COVID-19 treatment capacity, including related construction costs. • Costs of providing COVID-19 testing, including serological testing. • Emergency medical response expenses, including emergency medical transportation, related to COVID-19. • Expenses for establishing and operating public telemedicine capabilities for COVID-19- related treatment. 2. Public health expenses such as: • Expenses for communication and enforcement by State, territorial, local, and Tribal governments of public health orders related to COVID-19. • Expenses for acquisition and distribution of medical and protective supplies, including sanitizing products and personal protective equipment, for medical personnel, police officers, social workers, child protection services, and child welfare officers, direct service providers for older adults and individuals with disabilities in community settings, and other public health or safety workers in connection with the COVID-19 public health emergency. • Expenses for disinfection of public areas and other facilities, e.g., nursing homes, in response to the COVID-19 public health emergency. • Expenses for technical assistance to local authorities or other entities on mitigation of COVID-19-related threats to public health and safety. • Expenses for public safety measures undertaken in response to COVID-19. • Expenses for quarantining individuals. 3. Payroll expenses for public safety, public health, health care, human services, and similar employees whose services are substantially dedicated to mitigating or responding to the COVID- 19 public health emergency. Packet Pg. 246 11.C.3 4. Expenses of actions to facilitate compliance with COVID-19-related public health measures, such as: • Expenses for food delivery to residents, including, for example, senior citizens and other vulnerable populations, to enable compliance with COVID-19 public health precautions. • Expenses to facilitate distance learning, including technological improvements, in connection with school closings to enable compliance with COVID-19 precautions. • Expenses to improve telework capabilities for public employees to enable compliance with COVID-19 public health precautions. • Expenses of providing paid sick and paid family and medical leave to public employees to enable compliance with COVID-19 public health precautions. • COVID-19-related expenses of maintaining state prisons and county jails, including as relates to sanitation and improvement of social distancing measures, to enable compliance with COVID-19 public health precautions. • Expenses for care for homeless populations provided to mitigate COVID-19 effects and enable compliance with COVID-19 public health precautions. 5. Expenses associated with the provision of economic support in connection with the COVID-19 public health emergency, such as: • Expenditures related to the provision of grants to small businesses to reimburse the costs of business interruption caused by required closures. • Expenditures related to a State, territorial, local, or Tribal government payroll support program. • Unemployment insurance costs related to the COVID-19 public health emergency if such costs will not be reimbursed by the federal government pursuant to the CARES Act or otherwise. 6. Any other COVID-19-related expenses reasonably necessary to the function of government that satisfy the Fund's eligibility criteria. Nonexclusive examples of ineligible expenditures' The following is a list of examples of costs that would not be eligible expenditures of payments from the Fund. 1. Expenses for the State share of Medicaid.' 2. Damages covered by insurance. 3. Payroll or benefits expenses for employees whose work duties are not substantially dedicated to mitigating or responding to the COVID-19 public health emergency. ' In addition, pursuant to section 5001(b) of the CARES Act, payments from the Fund may not be expended for an elective abortion or on research in which a human embryo is destroyed, discarded, or knowingly subjected to risk of injury or death. The prohibition on payment for abortions does not apply to an abortion if the pregnancy is the result of an act of rape or incest; or in the case where a woman suffers from a physical disorder, physical injury, or physical illness, including a life -endangering physical condition caused by or arising from the pregnancy itself, that would, as certified by a physician, place the woman in danger of death unless an abortion is performed. Furthermore, no government which receives payments from the Fund may discriminate against a health care entity on the basis that the entity does not provide, pay for, provide coverage of, or refer for abortions. 4 See 42 C.F.R. § 433.51 and 45 C.F.R. § 75.306. 4 Packet Pg. 247 11.C.3 4. Expenses that have been or will be reimbursed under any federal program, such as the reimbursement by the federal government pursuant to the CARES Act of contributions by States to State unemployment funds. 5. Reimbursement to donors for donated items or services. 6. Workforce bonuses other than hazard pay or overtime. 7. Severance pay. 8. Legal settlements. Supplemental Guidance on Use of Funds to Cover Payroll and Benefits of Public Employees As discussed in the Guidance above, the CARES Act provides that payments from the Fund must be used only to cover costs that were not accounted for in the budget most recently approved as of March 27, 2020. As reflected in the Guidance and FAQs, Treasury has not interpreted this provision to limit eligible costs to those that are incremental increases above amounts previously budgeted. Rather, Treasury has interpreted this provision to exclude items that were already covered for their original use (or a substantially similar use). This guidance reflects the intent behind the Fund, which was not to provide general fiscal assistance to state governments but rather to assist them with COVID-19-related necessary expenditures. With respect to personnel expenses, though the Fund was not intended to be used to cover government payroll expenses generally, the Fund was intended to provide assistance to address increased expenses, such as the expense of hiring new personnel as needed to assist with the government's response to the public health emergency and to allow recipients facing budget pressures not to have to lay off or furlough employees who would be needed to assist with that purpose. Substantially different use As stated in the Guidance above, Treasury considers the requirement that payments from the Fund be used only to cover costs that were not accounted for in the budget most recently approved as of March 27, 2020, to be met if either (a) the cost cannot lawfully be funded using a line item, allotment, or allocation within that budget or (b) the cost is for a substantially different use from any expected use of funds in such a line item, allotment, or allocation. Treasury has provided examples as to what would constitute a substantially different use. Treasury provided (in FAQ A.3) that costs incurred for a substantially different use would include, for example, the costs of redeploying educational support staff or faculty to develop online learning capabilities, such as through providing information technology support that is not part of the staff or faculty's ordinary responsibilities. Substantially dedicated Within this category of substantially different uses, as stated in the Guidance above, Treasury has included payroll and benefits expenses for public safety, public health, health care, human services, and similar employees whose services are substantially dedicated to mitigating or responding to the COVID- 19 public health emergency. The full amount of payroll and benefits expenses of substantially dedicated employees may be covered using payments from the Fund. Treasury has not developed a precise definition of what "substantially dedicated" means given that there is not a precise way to define this term a D U- U as u� aD M Packet Pg. 248 11.C.3 across different employment types. The relevant unit of government should maintain documentation of the "substantially dedicated" conclusion with respect to its employees. If an employee is not substantially dedicated to mitigating or responding to the COVID-19 public health emergency, his or her payroll and benefits expenses may not be covered in full with payments from the Fund. A portion of such expenses may be able to be covered, however, as discussed below. Public health and public safety In recognition of the particular importance of public health and public safety workers to State, local, and tribal government responses to the public health emergency, Treasury has provided, as an administrative accommodation, that a State, local, or tribal government may presume that public health and public safety employees meet the substantially dedicated test, unless the chief executive (or equivalent) of the relevant government determines that specific circumstances indicate otherwise. This means that, if this presumption applies, work performed by such employees is considered to be a substantially different use than accounted for in the most recently approved budget as of March 27, 2020. All costs of such employees may be covered using payments from the Fund for services provided during the period that begins on March 1, 2020, and ends on December 30, 2020. In response to questions regarding which employees are within the scope of this accommodation, Treasury is supplementing this guidance to clarify that public safety employees would include police officers (including state police officers), sheriffs and deputy sheriffs, firefighters, emergency medical responders, correctional and detention officers, and those who directly support such employees such as dispatchers and supervisory personnel. Public health employees would include employees involved in providing medical and other health services to patients and supervisory personnel, including medical staff assigned to schools, prisons, and other such institutions, and other support services essential for patient care (e.g., laboratory technicians) as well as employees of public health departments directly engaged in matters related to public health and related supervisory personnel. Not substantially dedicated As provided in FAQ A.47, a State, local, or tribal government may also track time spent by employees related to COVID-19 and apply Fund payments on that basis but would need to do so consistently within the relevant agency or department. This means, for example, that a government could cover payroll expenses allocated on an hourly basis to employees' time dedicated to mitigating or responding to the COVID-19 public health emergency. This result provides equitable treatment to governments that, for example, instead of having a few employees who are substantially dedicated to the public health emergency, have many employees who have a minority of their time dedicated to the public health emergency. Covered benefits Payroll and benefits of a substantially dedicated employee may be covered using payments from the Fund to the extent incurred between March 1 and December 30, 2020. Payroll includes certain hazard pay and overtime, but not workforce bonuses. As discussed in FAQ A.29, hazard pay may be covered using payments from the Fund if it is provided for performing hazardous duty or work involving physical hardship that in each case is related to COVID-19. This means that, whereas payroll and benefits of an employee who is substantially dedicated to mitigating or responding to the COVID-19 public health emergency may generally be covered in full using payments from the Fund, hazard pay specifically may only be covered to the extent it is related to COVID-19. For example, a recipient may use payments from the Fund to cover hazard pay for a police officer coming in close R1 a D U- U as u� aD M T Packet Pg. 249 11.C.3 contact with members of the public to enforce public health or public safety orders, but across-the-board hazard pay for all members of a police department regardless of their duties would not be able to be covered with payments from the Fund. This position reflects the statutory intent discussed above: the Fund was intended to be used to help governments address the public health emergency both by providing funds for incremental expenses (such as hazard pay related to COVID-19) and to allow governments not N to have to furlough or lay off employees needed to address the public health emergency but was not intended to provide across-the-board budget support (as would be the case if hazard pay regardless of its a relation to COVID-19 or workforce bonuses were permitted to be covered using payments from the D Fund). U Relatedly, both hazard pay and overtime pay for employees that are not substantially dedicated may only a; be covered using the Fund if the hazard pay and overtime pay is for COVID-19-related duties. As discussed above, governments may allocate payroll and benefits of such employees with respect to time V worked on COVID- 1 9-related matters. o Covered benefits include, but are not limited to, the costs of all types of leave (vacation, family -related, sick, military, bereavement, sabbatical, jury duty), employee insurance (health, life, dental, vision), retirement (pensions, 401(k)), unemployment benefit plans (federal and state), workers compensation insurance, and Federal Insurance Contributions Act (FICA) taxes (which includes Social Security and Medicare taxes). Supplemental Guidance on Use of Funds to Cover Administrative Costs General Payments from the Fund are not administered as part of a traditional grant program and the provisions of the Uniform Guidance, 2 C.F.R. Part 200, that are applicable to indirect costs do not apply. Recipients may not apply their indirect costs rates to payments received from the Fund. Recipients may, if they meet the conditions specified in the guidance for tracking time consistently across a department, use payments from the Fund to cover the portion of payroll and benefits of employees corresponding to time spent on administrative work necessary due to the COVID-19 public health emergency. (In other words, such costs would be eligible direct costs of the recipient). This includes, but is not limited to, costs related to disbursing payments from the Fund and managing new grant programs established using payments from the Fund. As with any other costs to be covered using payments from the Fund, any such administrative costs must be incurred by December 30, 2020, with an exception for certain compliance costs as discussed below. Furthermore, as discussed in the Guidance above, as with any other cost, an administrative cost that has been or will be reimbursed under any federal program may not be covered with the Fund. For example, if an administrative cost is already being covered as a direct or indirect cost pursuant to another federal grant, the Fund may not be used to cover that cost. Compliance costs related to the Fund As previously stated in FAQ B.11, recipients are permitted to use payments from the Fund to cover the expenses of an audit conducted under the Single Audit Act, subject to the limitations set forth in 2 C.F.R. § 200.425. Pursuant to that provision of the Uniform Guidance, recipients and subrecipients subject to the Single Audit Act may use payments from the Fund to cover a reasonably proportionate share of the costs of audits attributable to the Fund. 7 Packet Pg. 250 11.C.3 To the extent a cost is incurred by December 30, 2020, for an eligible use consistent with section 601 of the Social Security Act and Treasury's guidance, a necessary administrative compliance expense that relates to such underlying cost may be incurred after December 30, 2020. Such an expense would include, for example, expenses incurred to comply with the Single Audit Act and reporting and recordkeeping requirements imposed by the Office of Inspector General. A recipient with such necessary N administrative expenses, such as an ongoing audit continuing past December 30, 2020, that relates to Fund expenditures incurred during the covered period, must report to the Treasury Office of Inspector a General by the quarter ending September 2021 an estimate of the amount of such necessary administrative expenses. U M u� as M T �r Packet Pg. 251 11.C.4 Coronavirus Relief Fund Frequently Asked Questions Updated as of October 19, 2020' The following answers to frequently asked questions supplement Treasury's Coronavirus Relief Fund ("Fund") Guidance for State, Territorial, Local, and Tribal Governments, updated as of September 2, 2020 ("Guidance").2 Amounts paid from the Fund are subject to the restrictions outlined in the Guidance and set forth in section 601(d) of the Social Security Act, as added by section 5001 of the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act"). A. Eligible Expenditures 1. Are governments required to submit proposed expenditures to Treasury for approval? No. Governments are responsible for making determinations as to what expenditures are necessary due to the public health emergency with respect to COVID-19 and do not need to submit any proposed expenditures to Treasury. 2. The Guidance says that funding can be used to meet payroll expenses for public safety, public health, health care, human services, and similar employees whose services are substantially dedicated to mitigating or responding to the COVID-19 public health emergency. How does a government determine whether payroll expenses for a given employee satisfy the "substantially dedicated" condition? The Fund is designed to provide ready funding to address unforeseen financial needs and risks created by the COVID-19 public health emergency. For this reason, and as a matter of administrative convenience in light of the emergency nature of this program, a State, territorial, local, or Tribal government may presume that payroll costs for public health and public safety employees are payments for services substantially dedicated to mitigating or responding to the COVID-19 public health emergency, unless the chief executive (or equivalent) of the relevant government determines that specific circumstances indicate otherwise. 3. The Guidance says that a cost was not accounted for in the most recently approved budget if the cost is for a substantially different use from any expected use of funds in such a line item, allotment, or allocation. What would qualify as a "substantially different use"for purposes of the Fund eligibility? Costs incurred for a "substantially different use" include, but are not necessarily limited to, costs of personnel and services that were budgeted for in the most recently approved budget but which, due entirely to the COVID-19 public health emergency, have been diverted to substantially different functions. This would include, for example, the costs of redeploying corrections facility staff to enable compliance with COVID-19 public health precautions through work such as enhanced sanitation or enforcing social distancing measures; the costs of redeploying police to support management and enforcement of stay-at-home orders; or the costs of diverting educational support staff or faculty to develop online learning capabilities, such as through providing information technology support that is not part of the staff or faculty's ordinary responsibilities. 1 On August 10, 2020, these Frequently Asked Questions were revised to add Questions A.49-52. On September 2, 2020, Questions A.53-56 were added and Questions A.34 and A.38 were revised. On October 19, 2020, Questions A.57-59 and B.13 were added and Questions A.42, 49, and 53 were revised. 2 The Guidance is available at hgps://home.treasM.gov/system/files/136/Coronavirus-Relief-Fund-Guidance-for- State-Territorial-Local-and-Tribal-Governments.pdf. Packet Pg. 252 11.C.4 Note that a public function does not become a "substantially different use" merely because it is provided from a different location or through a different manner. For example, although developing online instruction capabilities may be a substantially different use of funds, online instruction itself is not a substantially different use of public funds than classroom instruction. 4. My a State receiving a payment transfer funds to a local government? Yes, provided that the transfer qualifies as a necessary expenditure incurred due to the public health emergency and meets the other criteria of section 601(d) of the Social Security Act. Such funds would be subject to recoupment by the Treasury Department if they have not been used in a manner consistent with section 601(d) of the Social Security Act. 5. M y a unit of loaal government receiving a Fund payment transfer. funds to another unit of government?CL Yes. For example, a county may transfer funds to a city, town, or school district within the county and a county or city may transfer funds to its State, provided that the transfer qualifies as a necessary U- expenditure incurred due to the public health emergency and meets the other criteria of section 601(d) v of the Social Security Act outlined in the Guidance. For example, a transfer from a county to a constituent city would not be permissible if the funds were intended to be used simply to fill shortfalls LO in government revenue to cover expenditures that would not otherwise qualify as an eligible expenditure. c 6. Is a Fund payment recipient required to transfer funds to a smaller, constituent unit of government within its borders? No. For example, a county recipient is not required to transfer funds to smaller cities within the county's borders. 7. Are recipients required to use other federal funds or seek reimbursement under other federal programs before using Fund payments to satisfy eligible expenses? No. Recipients may use Fund payments for any expenses eligible under section 601(d) of the Social Security Act outlined in the Guidance. Fund payments are not required to be used as the source of funding of last resort. However, as noted below, recipients may not use payments from the Fund to cover expenditures for which they will receive reimbursement. 8. Are there prohibitions on combining a transaction supported with Fund payments with other CARES Act funding or COVID-19 relief Federal funding? Recipients will need to consider the applicable restrictions and limitations of such other sources of funding. In addition, expenses that have been or will be reimbursed under any federal program, such as the reimbursement by the federal government pursuant to the CARES Act of contributions by States to State unemployment funds, are not eligible uses of Fund payments. 2 Packet Pg. 253 11.C.4 9. Are States permitted to use Fund payments to support state unemployment insurance funds generally? To the extent that the costs incurred by a state unemployment insurance fund are incurred due to the COVID-19 public health emergency, a State may use Fund payments to make payments to its respective state unemployment insurance fund, separate and apart from such State's obligation to the unemployment insurance fund as an employer. This will permit States to use Fund payments to prevent expenses related to the public health emergency from causing their state unemployment insurance funds to become insolvent. 10. Are recipients permitted to use Fund payments to pay for unemployment insurance costs incurred by the recipient as an employer? Yes, Fund payments may be used for unemployment insurance costs incurred by the recipient as an employer (for example, as a reimbursing employer) related to the COVID-19 public health emergency if such costs will not be reimbursed by the federal government pursuant to the CARES Q- Act or otherwise. u_ W U 11. The Guidance states that the Fund may support a "broad range of uses" including payrollLn a; expenses for several classes of employees whose services are "substantially dedicated to mitigating M or responding to the COVID-19 public health emergency. " What are some examples of types of covered employees? G The Guidance provides examples of broad classes of employees whose payroll expenses would be eligible expenses under the Fund. These classes of employees include public safety, public health, health care, human services, and similar employees whose services are substantially dedicated to mitigating or responding to the COVID-19 public health emergency. Payroll and benefit costs associated with public employees who could have been furloughed or otherwise laid off but who were instead repurposed to perform previously unbudgeted functions substantially dedicated to mitigating or responding to the COVID-19 public health emergency are also covered. Other eligible expenditures include payroll and benefit costs of educational support staff or faculty responsible for developing online learning capabilities necessary to continue educational instruction in response to COVID- 1 9-related school closures. Please see the Guidance for a discussion of what is meant by an expense that was not accounted for in the budget most recently approved as of March 27, 2020. 12. In some cases, first responders and critical health care workers that contract COVID-19 are eligible for workers' compensation coverage. Is the cost of this expanded workers compensation coverage eligible? Increased workers compensation cost to the government due to the COVID-19 public health emergency incurred during the period beginning March 1, 2020, and ending December 30, 2020, is an eligible expense. 13. If a recipient would have decommissioned equipment or not renewed a lease on particular office space or equipment but decides to continue to use the equipment or to renew the lease in order to respond to the public health emergency, are the costs associated with continuing to operate the equipment or the ongoing lease payments eligible expenses? Yes. To the extent the expenses were previously unbudgeted and are otherwise consistent with section 601(d) of the Social Security Act outlined in the Guidance, such expenses would be eligible. Packet Pg. 254 11.C.4 14. May recipients provide stipends to employees for eligible expenses (for example, a stipend to employees to improve telework capabilities) rather than require employees to incur the eligible cost and submit for reimbursement? Expenditures paid for with payments from the Fund must be limited to those that are necessary due to the public health emergency. As such, unless the government were to determine that providing assistance in the form of a stipend is an administrative necessity, the government should provide such assistance on a reimbursement basis to ensure as much as possible that funds are used to cover only eligible expenses. 15. May Fund payments be used for COVID-19 public health emergency recovery planning? Yes. Expenses associated with conducting a recovery planning project or operating a recovery coordination office would be eligible, if the expenses otherwise meet the criteria set forth in section 601(d) of the Social Security Act outlined in the Guidance. a 16. Are expenses associated with contact tracing eligible? U_ Yes, expenses associated with contact tracing are eligible. v as LO 17. To what extent may a government use Fund payments to support the operations of private M hospitals? 0 N Governments may use Fund payments to support public or private hospitals to the extent that the of costs are necessary expenditures incurred due to the COVID-19 public health emergency, but the c form such assistance would take may differ. In particular, financial assistance to private hospitals _I could take the form of a grant or a short-term loan. C 18. May payments from the Fund be used to assist individuals with enrolling in a government benefit program for those who have been laid off due to COVID-19 and thereby lost health insurance? Yes. To the extent that the relevant government official determines that these expenses are necessary and they meet the other requirements set forth in section 601(d) of the Social Security Act outlined in the Guidance, these expenses are eligible. 19. May recipients use Fund payments to facilitate livestock depopulation incurred by producers due to supply chain disruptions? Yes, to the extent these efforts are deemed necessary for public health reasons or as a form of economic support as a result of the COVID-19 health emergency. 20. Would providing a consumer grant program to prevent eviction and assist in preventing homelessness be considered an eligible expense? Yes, assuming that the recipient considers the grants to be a necessary expense incurred due to the COVID-19 public health emergency and the grants meet the other requirements for the use of Fund payments under section 601(d) of the Social Security Act outlined in the Guidance. As a general matter, providing assistance to recipients to enable them to meet property tax requirements would not be an eligible use of funds, but exceptions may be made in the case of assistance designed to prevent foreclosures. 4 Packet Pg. 255 11.C.4 21. May recipients create a `payroll support program "for public employees? Use of payments from the Fund to cover payroll or benefits expenses of public employees are limited to those employees whose work duties are substantially dedicated to mitigating or responding to the COVID-19 public health emergency. 22. May recipients use Fund payments to cover employment and training programs for employees that have been furloughed due to the public health emergency? Yes, this would be an eligible expense if the government determined that the costs of such employment and training programs would be necessary due to the public health emergency. 23. May recipients use Fund payments to provide emergency financial assistance to individuals and families directly impacted by a loss of income due to the COVID-19 public health emergency? Yes, if a government determines such assistance to be a necessary expenditure. Such assistance could include, for example, a program to assist individuals with payment of overdue rent or mortgage payments to avoid eviction or foreclosure or unforeseen financial costs for funerals and other emergency individual needs. Such assistance should be structured in a manner to ensure as much as possible, within the realm of what is administratively feasible, that such assistance is necessary. 24. The Guidance provides that eligible expenditures may include expenditures related to the provision ofgrants to small businesses to reimburse the costs of business interruption caused by required closures. What is meant by a "small business, " and is the Guidance intended to refer only to expenditures to cover administrative expenses of such a grant program? Governments have discretion to determine what payments are necessary. A program that is aimed at assisting small businesses with the costs of business interruption caused by required closures should be tailored to assist those businesses in need of such assistance. The amount of a grant to a small business to reimburse the costs of business interruption caused by required closures would also be an eligible expenditure under section 601(d) of the Social Security Act, as outlined in the Guidance. 25. The Guidance provides that expenses associated with the provision of economic support in connection with the public health emergency, such as expenditures related to the provision of grants to small businesses to reimburse the costs of business interruption caused by required closures, would constitute eligible expenditures of Fund payments. Would such expenditures be eligible in the absence of a stay-at-home order? Fund payments may be used for economic support in the absence of a stay-at-home order if such expenditures are determined by the government to be necessary. This may include, for example, a grant program to benefit small businesses that close voluntarily to promote social distancing measures or that are affected by decreased customer demand as a result of the COVID-19 public health emergency. 26. May Fund payments be used to assist impacted property owners with the payment of their property taxes? Fund payments may not be used for government revenue replacement, including the provision of assistance to meet tax obligations. N a U_ c� CD LO M Packet Pg. 256 11.C.4 27. May Fund payments be used to replace foregone utility fees? If not, can Fund payments be used as a direct subsidy payment to all utility account holders? Fund payments may not be used for government revenue replacement, including the replacement of unpaid utility fees. Fund payments may be used for subsidy payments to electricity account holders to the extent that the subsidy payments are deemed by the recipient to be necessary expenditures incurred due to the COVID-19 public health emergency and meet the other criteria of section 601(d) of the Social Security Act outlined in the Guidance. For example, if determined to be a necessary expenditure, a government could provide grants to individuals facing economic hardship to allow them to pay their utility fees and thereby continue to receive essential services. 28. Could Fund payments be used for capital improvement projects that broadly provide potential economic development in a community? In general, no. If capital improvement projects are not necessary expenditures incurred due to the COVID-19 public health emergency, then Fund payments may not be used for such projects. However, Fund payments may be used for the expenses of, for example, establishing temporary public medical facilities and other measures to increase COVID-19 treatment capacity or improve mitigation measures, including related construction costs. 29. The Guidance includes workforce bonuses as an example of ineligible expenses but provides that hazard pay would be eligible if otherwise determined to be a necessary expense. Is there a specific definition of "hazard pay"? Hazard pay means additional pay for performing hazardous duty or work involving physical hardship, in each case that is related to COVID-19. 30. The Guidance provides that ineligible expenditures include "[playroll or benefits expenses for employees whose work duties are not substantially dedicated to mitigating or responding to the COVID-19 public health emergency. " Is this intended to relate only to public employees? Yes. This particular nonexclusive example of an ineligible expenditure relates to public employees. A recipient would not be permitted to pay for payroll or benefit expenses of private employees and any financial assistance (such as grants or short-term loans) to private employers are not subject to the restriction that the private employers' employees must be substantially dedicated to mitigating or responding to the COVID-19 public health emergency. 31. May counties pre pay with CARES Act funds for expenses such as a one or two year facility lease, such as to house staff hired in response to COVID-19? A government should not make prepayments on contracts using payments from the Fund to the extent that doing so would not be consistent with its ordinary course policies and procedures. 32. Must a stay-at-home order or other public health mandate be in effect in order for a government to provide assistance to small businesses using payments from the Fund? No. The Guidance provides, as an example of an eligible use of payments from the Fund, expenditures related to the provision of grants to small businesses to reimburse the costs of business interruption caused by required closures. Such assistance may be provided using amounts received from the Fund in the absence of a requirement to close businesses if the relevant government determines that such expenditures are necessary in response to the public health emergency. 0 N r a M u_ c� CD LO M Packet Pg. 257 11.C.4 33. Should States receiving a payment transfer funds to local governments that did not receive payments directly from Treasury? Yes, provided that the transferred funds are used by the local government for eligible expenditures under the statute. To facilitate prompt distribution of Title V funds, the CARES Act authorized Treasury to make direct payments to local governments with populations in excess of 500,000, in amounts equal to 45% of the local government's per capita share of the statewide allocation. This statutory structure was based on a recognition that it is more administratively feasible to rely on States, rather than the federal government, to manage the transfer of funds to smaller local governments. Consistent with the needs of all local governments for funding to address the public health emergency, States should transfer funds to local governments with populations of 500,000 or less, using as a benchmark the per capita allocation formula that governs payments to larger local governments. This approach will ensure equitable treatment among local governments of all sizes. For example, a State received the minimum $1.25 billion allocation and had one county with a population over 500,000 that received $250 million directly. The State should distribute 45 percent of the $1 billion it received, or $450 million, to local governments within the State with a population of 500,000 or less. 34. May a State impose restrictions on transfers of funds to local governments? Yes, to the extent that the restrictions facilitate the State's compliance with the requirements set forth in section 601(d) of the Social Security Act outlined in the Guidance and other applicable requirements such as the Single Audit Act, discussed below. Other restrictions, such as restrictions on reopening that do not directly concern the use of funds, are not permissible. 35. If a recipient must issue tax anticipation notes (TANs) to make up for tax due date deferrals or revenue shortfalls, are the expenses associated with the issuance eligible uses of Fund payments? If a government determines that the issuance of TANs is necessary due to the COVID-19 public health emergency, the government may expend payments from the Fund on the interest expense payable on TANs by the borrower and unbudgeted administrative and transactional costs, such as necessary payments to advisors and underwriters, associated with the issuance of the TANs. 36. May recipients use Fund payments to expand rural broadband capacity to assist with distance learning and telework? Such expenditures would only be permissible if they are necessary for the public health emergency. The cost of projects that would not be expected to increase capacity to a significant extent until the need for distance learning and telework have passed due to this public health emergency would not be necessary due to the public health emergency and thus would not be eligible uses of Fund payments. 37. Are costs associated with increased solid waste capacity an eligible use of payments from the Fund? Yes, costs to address increase in solid waste as a result of the public health emergency, such as relates to the disposal of used personal protective equipment, would be an eligible expenditure. 7 Packet Pg. 258 11.C.4 38. May payments from the Fund be used to cover across-the-board hazard pay for employees working during a state of emergency? No. Hazard pay means additional pay for performing hazardous duty or work involving physical hardship, in each case that is related to COVID-19. Payments from the fund may only be used to cover such hazard pay. 39. May Fund payments be used for expenditures related to the administration of Fund payments by a State, territorial, local, or Tribal government? Yes, if the administrative expenses represent an increase over previously budgeted amounts and are limited to what is necessary. For example, a State may expend Fund payments on necessary administrative expenses incurred with respect to a new grant program established to disburse amounts received from the Fund. 40. May recipients use Fund payments to provide loans? CL Yes, if the loans otherwise qualify as eligible expenditures under section 601(d) of the Social Security v Act as implemented by the Guidance. Any amounts repaid by the borrower before December 30, 2020, must be either returned to Treasury upon receipt by the unit of government providing the loan ,°n' or used for another expense that qualifies as an eligible expenditure under section 601(d) of the Social M Security Act. Any amounts not repaid by the borrower until after December 30, 2020, must be returned to Treasury upon receipt by the unit of government lending the funds. N 41. May Fund payments be used for expenditures necessary to prepare for a future COVID-19 outbreak? Fund payments may be used only for expenditures necessary to address the current COVID-19 public health emergency. For example, a State may spend Fund payments to create a reserve of personal protective equipment or develop increased intensive care unit capacity to support regions in its jurisdiction not yet affected, but likely to be impacted by the current COVID-19 pandemic. 42. May funds be used to satisfy non-federal matching requirements under the Stafford Act? Yes, payments from the Fund may be used to meet the non-federal matching requirements for Stafford Act assistance, including FEMA's Emergency Management Performance Grant (EMPG) and EMPG Supplemental programs, to the extent such matching requirements entail COVID-19-related costs that otherwise satisfy the Fund's eligibility criteria and the Stafford Act. Regardless of the use of Fund payments for such purposes, FEMA funding is still dependent on FEMA's determination of eligibility under the Stafford Act. 43. Must a State, local, or tribal government require applications to be submitted by businesses or individuals before providing assistance using payments from the Fund? Governments have discretion to determine how to tailor assistance programs they establish in response to the COVID-19 public health emergency. However, such a program should be structured in such a manner as will ensure that such assistance is determined to be necessary in response to the COVID-19 public health emergency and otherwise satisfies the requirements of the CARES Act and other applicable law. For example, a per capita payment to residents of a particular jurisdiction without an assessment of individual need would not be an appropriate use of payments from the Fund. Packet Pg. 259 11.C.4 44. May Fund payments be provided to non profits for distribution to individuals in need of financial assistance, such as rent relief? Yes, non -profits may be used to distribute assistance. Regardless of how the assistance is structured, the financial assistance provided would have to be related to COVID-19. 45. May recipients use Fund payments to remarket the recipient's convention facilities and tourism industry? Yes, if the costs of such remarketing satisfy the requirements of the CARES Act. Expenses incurred to publicize the resumption of activities and steps taken to ensure a safe experience may be needed due to the public health emergency. Expenses related to developing a long-term plan to reposition a recipient's convention and tourism industry and infrastructure would not be incurred due to the public health emergency and therefore may not be covered using payments from the Fund. 46. May a State provide assistance to farmers and meat processors to expand capacity, such to cover CL overtime for USDA meat inspectors? U_ If a State determines that expanding meat processing capacity, including by paying overtime to v USDA meat inspectors, is a necessary expense incurred due to the public health emergency, such as if °,n' increased capacity is necessary to allow farmers and processors to donate meat to food banks, then such expenses are eligible expenses, provided that the expenses satisfy the other requirements set forth in section 601(d) of the Social Security Act outlined in the Guidance. N 47. The guidance provides that funding maybe used to meet payroll expenses for public safety, public health, health care, human services, and similar employees whose services are substantially dedicated to mitigating or responding to the COVID-19 public health emergency. May Fund payments be used to cover such an employee's entire payroll cost or just the portion of time spent on mitigating or responding to the COVID-19 public health emergency? As a matter of administrative convenience, the entire payroll cost of an employee whose time is substantially dedicated to mitigating or responding to the COVID-19 public health emergency is eligible, provided that such payroll costs are incurred by December 30, 2020. An employer may also track time spent by employees related to COVID-19 and apply Fund payments on that basis but would need to do so consistently within the relevant agency or department. 48. May Fund payments be used to cover increased administrative leave costs of public employees who could not telework in the event of a stay at home order or a case of COVID-19 in the workplace? The statute requires that payments be used only to cover costs that were not accounted for in the budget most recently approved as of March 27, 2020. As stated in the Guidance, a cost meets this requirement if either (a) the cost cannot lawfully be funded using a line item, allotment, or allocation within that budget or (b) the cost is for a substantially different use from any expected use of funds in such a line item, allotment, or allocation. If the cost of an employee was allocated to administrative leave to a greater extent than was expected, the cost of such administrative leave may be covered using payments from the Fund. 0 Packet Pg. 260 11.C.4 49. Are States permitted to use Coronavirus Relief Fund payments to satisfy non-federal matching requirements under the Stafford Act, including "lost wages assistance" authorized by the Presidential Memorandum on Authorizing the Other Needs Assistance Program for Major Disaster Declarations Related to Coronavirus Disease 2019 (August 8, 2020)? Yes. As previous guidance has stated, payments from the Fund may be used to meet the non-federal matching requirements for Stafford Act assistance to the extent such matching requirements entail COVID-19-related costs that otherwise satisfy the Fund's eligibility criteria and the Stafford Act. States are fully permitted to use payments from the Fund to satisfy 100% of their cost share for lost wages assistance recently made available under the Stafford Act. If a State makes a payment to an individual under the "lost wages assistance" program and later determines that such individual was ineligible for the program, the ineligibility determination has the following consequences: • The State incurs an obligation to FEMA in the amount of the payment to the ineligible individual. A State's obligation to FEMA for making an improper payment to an individual under the "lost 13 wages assistance" program is not incurred due to the public health emergency and, therefore, Q- M payments made pursuant to this obligation would not be an eligible use of the Fund. U_ c� • The "lost wages assistance" payment to the ineligible individual would be deemed to be an a; ineligible expense for purposes of the Fund, and any amount charged to the Fund (e.g., to satisfy M the initial non-federal matching requirement) would be subject to recoupment. 50. At what point would costs be considered to be incurred in the case of a grant made by a State, local, or tribal government to cover interest and principal amounts of a loan, such as might be provided as part of a small business assistance program in which the loan is made by a private institution? A grant made to cover interest and principal costs of a loan, including interest and principal due after the period that begins on March 1, 2020, and ends on December 30, 2020 (the "covered period"), will be considered to be incurred during the covered period if (i) the full amount of the loan is advanced to the borrower within the covered period and (ii) the proceeds of the loan are used by the borrower to cover expenses incurred during the covered period. In addition, if these conditions are met, the amount of the grant will be considered to have been used during the covered period for purposes of the requirement that expenses be incurred within the covered period. Such a grant would be analogous to a loan provided by the Fund recipient itself that incorporates similar loan forgiveness provisions. As with any other assistance provided by a Fund recipient, such a grant would need to be determined by the recipient to be necessary due to the public health emergency. 51. If governments use Fund payments as described in the Guidance to establish a grant program to support businesses, would those funds be considered gross income taxable to a business receiving the grant under the Internal Revenue Code (Code)? Please see the answer provided by the Internal Revenue Service (IRS) available at https://www. irs. gov/newsroom/cares-act-coronavirus-relief-fund-frequently-asked-questions. 52. Ifgovernments use Fund payments as described in the Guidance to establish a loan program to support businesses, would those funds be considered gross income taxable to a business receiving the loan under the Code? Please see the answer provided by the IRS available at hgps://www.irs.gov/newsroom/cares-act- coronavirus-relief-fund-frequently-asked-questions. 10 Packet Pg. 261 11.C.4 53. May Fund recipients incur expenses associated with the safe reopening of schools? Yes, payments from the Fund may be used to cover costs associated with providing distance learning (e.g., the cost of laptops to provide to students) or for in -person learning (e.g., the cost of acquiring personal protective equipment for students attending schools in -person or other costs associated with meeting Centers for Disease Control guidelines). Treasury recognizes that schools are generally incurring an array of COVID- 1 9-related expenses to either provide distance learning or to re -open. To this end, as an administrative convenience, Treasury will presume that expenses of up to $500 per elementary and secondary school student are eligible expenditures, such that schools do not need to document the specific use of funds up to that amount. If a Fund recipient avails itself of the presumption in accordance with the previous paragraph with w respect to a school, the recipient may not also cover the costs of additional re -opening aid to that °' school other than those associated with the following, in each case for the purpose of addressing a COVID-19: M • expanding broadband capacity; U_ v • hiring new teachers; o� LO 0 M • developing an online curriculum; • acquiring computers and similar digital devices; 0 a`V, • acquiring and installing additional ventilation or other air filtering equipment; o • incurring additional transportation costs; or N o • incurring additional costs of providing meals. r N C� Across all levels of government, the presumption is limited to $500 per student, e.g., if a school is funded by a state and a local government, the presumption claimed by each recipient must add up to N no more than $500. Furthermore, if a Fund recipient uses the presumption with respect to a school, Q any other Fund recipients providing aid to that school may not use the Fund to cover the costs of c additional aid to schools other than with respect to the specific costs listed above. The following examples help illustrate how the presumption may or may not be used: a L a_ Example 1: State A may transfer Fund payments to each school district in the State totaling $500 per v student. State A does not need to document the specific use of the Fund payments by the school districts within the State. c Example 2: Suppose State A from example 1 transferred Fund payments to the school districts in the State in the amount of $500 per elementary and secondary school student. In addition, because State A is availing itself of the $500 per elementary and secondary school student presumption, State A also may use Fund payments to expand broadband capacity and to hire new teachers, but it may not use Fund payments to acquire additional furniture. 54. May Fund recipients upgrade critical public health infrastructure, such as providing access to running water for individuals and families in rural and tribal areas to allow them to maintain proper hygiene and defend themselves against the virus? Yes, fund recipients may use payments from the Fund to upgrade public health infrastructure, such as providing individuals and families access to running water to help reduce the further spread of the virus. As required by the CARES Act, expenses associated with such upgrades must be incurred by 11 Packet Pg. 262 11.C.4 December 30, 2020. Please see Treasury's Guidance as updated on June 30 regarding when a cost is considered to be incurred for purposes of the requirement that expenses be incurred within the covered period. 55. How does a government address the requirement that the allowable expenditures are not accounted for in the budget most recently approved as of March 27, 2020, once the government enters its new budget year on July 1, 2020 (for governments with June 30 fiscal year ends) or October 1, 2020 (for governments with September 30 year ends)? As provided in the Guidance, the "most recently approved" budget refers to the enacted budget for the relevant fiscal period for the particular government, without taking into account subsequent supplemental appropriations enacted or other budgetary adjustments made by that government in response to the COVID-19 public health emergency. A cost is not considered to have been accounted w for in a budget merely because it could be met using a budgetary stabilization fund, rainy day fund, or similar reserve account. a Furthermore, the budget most recently approved as of March 27, 2020, provides the spending baseline U_ against which expenditures should be compared for purposes of determining whether they may be v covered using payments from the Fund. This spending baseline will carry forward to a subsequent budget year if a Fund recipient enters a different budget year between March 27, 2020 and December Ln 30, 2020. The spending baseline may be carried forward without adjustment for inflation. 56. Does the National Environmental Policy Act, 42 U.S. C. § 4321 et seq, (NEPA) apply to projects supported by payments from the Fund? NEPA does not apply to Treasury's administration of the Fund. Projects supported with payments from the Fund may still be subject to NEPA review if they are also funded by other federal financial assistance programs 57. Public universities have incurred expenses associated with providing refunds to students for education -related expenses, including tuition, room and board, meal plans, and other fees (such as activities fees). Are these types of public university student refunds eligible uses of Fund payments? If the responsible government official determines that expenses incurred to refund eligible higher education expenses are necessary and would be incurred due to the public health emergency, then such expenses would be eligible as long as the expenses satisfy the other criteria set forth in section 601(d) of the Social Security Act. Eligible higher education expenses may include, in the reasonable judgment of the responsible government official, refunds to students for tuition, room and board, meal plan, and other fees (such as activities fees). Fund payments may not be used for expenses that have been or will be reimbursed by another federal program (including, for example, the Higher Education Emergency Relief Fund administered by the Department of Education). 58. May payments from the Fund be used for real property acquisition and improvements and to purchase equipment to address the COVID-19 public health emergency? The expenses of acquiring or improving real property and of acquiring equipment (e.g., vehicles) may be covered with payments from the Fund in certain cases. For example, Treasury's initial guidance referenced coverage of the costs of establishing temporary public medical facilities and other measures to increase COVID-19 treatment capacity, including related construction costs, as an eligible use of funds. Any such use must be consistent with the requirements of section 601(d) of the Social Security Act as added by the CARES Act. 12 Packet Pg. 263 11.C.4 As with all uses of payments from the Fund, the use of payments to acquire or improve property is limited to that which is necessary due to the COVID-19 public health emergency. In the context of acquisitions of real estate and acquisitions of equipment, this means that the acquisition itself must be necessary. In particular, a government must (i) determine that it is not able to meet the need arising from the public health emergency in a cost-effective manner by leasing property or equipment or by improving property already owned and (ii) maintain documentation to support this determination. Likewise, an improvement, such as the installation of modifications to permit social distancing, would need to be determined to be necessary to address the COVID-19 public health emergency. Previous guidance regarding the requirement that payments from the Fund may only be used to cover costs that were incurred during the period that begins on March 1, 2020, and ends on December 30, 2020 focused on the acquisition of goods and services and leases of real property and equipment, but the same principles apply to acquisitions and improvements of real property and acquisitions of equipment. Such acquisitions and improvements must be completed and the acquired or improved CL property or acquisition of equipment be put to use in service of the COVID-19-related use for which a_ it was acquired or improved by December 30. Finally, as with all costs covered with payments from c� the Fund, such costs must not have been previously accounted for in the budget most recently approved as of March 27, 2020. Ln M 59. If a small business received a Small Business Administration (SBA) Payment Protection Program c (PPP) or Economic Injury Disaster Loan (EIDL) grant or loan due to COVID-19, may the small N M business also receive a grant from a unit ofgovernment using payments from the Fund? Receiving a PPP or EIDL grant or loan for COVID-19 would not necessarily make a small business ineligible to receive a grant from Fund payments made to a recipient. As discussed in previous Treasury guidance on use of the Fund, a recipient's small business assistance program should be tailored to assist those businesses in need of such assistance. In assessing the business' need for assistance, the recipient would need to take into account the business' receipt of the PPP or EIDL loan or grant. If the business has received a loan from the SBA that may be forgiven, the recipient should assume for purposes of determining the business' need that the loan will be forgiven. In determining the business' eligibility for the grant, the recipient should not rely on self -certifications provided to the SBA. If the grant is being provided to the small business to assist with particular expenditures, the business must not have already used the PPP or EIDL loan or grant for those expenditures. The assistance provided from the Fund would need to satisfy all of the other requirements set forth in section 601(d) of the Social Security Act as discussed in Treasury's guidance and FAQs, and the business would need to comply with all applicable requirements of the PPP or EIDL program. Treasury's Office of Inspector General has provided the following guidance in its FAQ no. 65 on reporting and recordkeeping that would apply to the recipient: The prime recipient is responsible for determining the level and detail of documentation needed from the sub -recipient of small business assistance to satisfy [the requirements of section 601(d) of the Social Security Act], however, there would need to be some proof that the small business was impacted by the public health emergency and was thus eligible for the CRF funds. In the above OIG FAQ, "sub -recipient" refers to the beneficiary of the assistance, i.e., the small business. 13 Packet Pg. 264 11.C.4 B. Questions Related to Administration of Fund Payments 1. Do governments have to return unspent funds to Treasury? Yes. Section 601(f)(2) of the Social Security Act, as added by section 5001(a) of the CARES Act, provides for recoupment by the Department of the Treasury of amounts received from the Fund that have not been used in a manner consistent with section 601(d) of the Social Security Act. If a government has not used funds it has received to cover costs that were incurred by December 30, 2020, as required by the statute, those funds must be returned to the Department of the Treasury. 2. What records must be kept by governments receiving payment? A government should keep records sufficient to demonstrate that the amount of Fund payments to the government has been used in accordance with section 601(d) of the Social Security Act. 3. May recipients deposit Fund payments into interest bearing accounts? Yes, provided that if recipients separately invest amounts received from the Fund, they must use the interest earned or other proceeds of these investments only to cover expenditures incurred in accordance with section 601(d) of the Social Security Act and the Guidance on eligible expenses. If a government deposits Fund payments in a government's general account, it may use those funds to meet immediate cash management needs provided that the full amount of the payment is used to cover necessary expenditures. Fund payments are not subject to the Cash Management Improvement Act of 1990, as amended. 4. May governments retain assets purchased with payments from the Fund? Yes, if the purchase of the asset was consistent with the limitations on the eligible use of funds provided by section 601(d) of the Social Security Act. 5. What rules apply to the proceeds of disposition or sale of assets acquired using payments from the Fund? If such assets are disposed of prior to December 30, 2020, the proceeds would be subject to the restrictions on the eligible use of payments from the Fund provided by section 601(d) of the Social Security Act. 6. Are Fund payments to State, territorial, local, and tribal governments considered grants? No. Fund payments made by Treasury to State, territorial, local, and Tribal governments are not considered to be grants but are "other financial assistance" under 2 C.F.R. § 200.40. 7. Are Fund payments considered federal financial assistance for purposes of the Single Audit Act? Yes, Fund payments are considered to be federal financial assistance subject to the Single Audit Act (31 U.S.C. §§ 7501-7507) and the related provisions of the Uniform Guidance, 2 C.F.R. § 200.303 regarding internal controls, §§ 200.330 through 200.332 regarding subrecipient monitoring and management, and subpart F regarding audit requirements. 14 N a U- c� aD LO M Packet Pg. 265 11.C.4 8. Are Fund payments subject to other requirements of the Uniform Guidance? Fund payments are subject to the following requirements in the Uniform Guidance (2 C.F.R. Part 200): 2 C.F.R. § 200.303 regarding internal controls, 2 C.F.R. §§ 200.330 through 200.332 regarding subrecipient monitoring and management, and subpart F regarding audit requirements. 9. Is there a Catalog of Federal Domestic Assistance (CFDA) number assigned to the Fund? Yes. The CFDA number assigned to the Fund is 21.019. 10. If a State transfers Fund payments to its political subdivisions, would the transferred funds count toward the subrecipients' total funding received from the federal government for purposes of the Single Audit Act? Yes. The Fund payments to subrecipients would count toward the threshold of the Single Audit Act and 2 C.F.R. part 200, subpart F re: audit requirements. Subrecipients are subject to a single audit or program -specific audit pursuant to 2 C.F.R. § 200.501(a) when the subrecipients spend $750,000 or more in federal awards during their fiscal year. 11. Are recipients permitted to use payments from the Fund to cover the expenses of an audit conducted under the Single Audit Act? Yes, such expenses would be eligible expenditures, subject to the limitations set forth in 2 C.F.R. § 200.425. 12. If a government has transferred funds to another entity, from which entity would the Treasury Department seek to recoup the funds if they have not been used in a manner consistent with section 601(d) of the Social Security Act? The Treasury Department would seek to recoup the funds from the government that received the payment directly from the Treasury Department. State, territorial, local, and Tribal governments receiving funds from Treasury should ensure that funds transferred to other entities, whether pursuant to a grant program or otherwise, are used in accordance with section 601(d) of the Social Security Act as implemented in the Guidance. 13. What are the differences between a subrecipient and a beneficiary under the Fund for purposes of the Single Audit Act and 2 C.F.R. Part 200, Subpart F regarding audit requirements? The Single Audit Act and 2 C.F.R. Part 200, Subpart F regarding audit requirements apply to any non-federal entity, as defined in 2 C.F.R. 200.69, that receives payments from the Fund in the amount of $750,000 or more. Non-federal entities include subrecipients of payments from the Fund, including recipients of transfers from a State, territory, local government, or tribal government that received a payment directly from Treasury. However, subrecipients would not include individuals and organizations (e.g., businesses, non -profits, or educational institutions) that are beneficiaries of an assistance program established using payments from the Fund. The Single Audit Act and 2 C.F.R. Part 200, Subpart F regarding audit requirements do not apply to beneficiaries. Please see Treasury Office of Inspector General FAQs at https://www.treasury_gov/about/organizational- structure/ig/Audit%20Reports%20and%20Testimonies/OIG-CA-20-028.pdf regarding reporting in the GrantSolutions portal. 15 N a M LL c� o� Ln M Packet Pg. 266 11.C.5 Cares Act Funding Agreement Amendment 1 CARES ACT FUNDING AGREEMENT Amendment No. 1 This Amendment to Agreement No. Y2265 (the "Agreement") is entered into by the State of Florida, Division of Emergency Management, with headquarters in Tallahassee, Florida (hereinafter referred to as the "Division," "FDEM," or "Recipient"), and Collier County, (hereinafter referred to as the "County" or Subrecipient"). This Amendment Is hereby incorporated into the Agreement. All terms and conditions of the Agreement remain in full force and effect except as otherwise expressly set forth herein. The effective date of this Amendment is September 22,2020. THEREFORE, the Parties agree to amend the Agreement language as set forth: (18)PAYMENTS The State of Florida, through the Division, will make disbursements, whether as a reimbursement or Advance from each County government's allocation as identified by the attached allotment schedule. Funding for Collier County shall not exceed $67.162.431.00 LL IN WITNESS WHEREOF, the Parties hereto have caused this Amendment to be executed by their duly authorized representatives on the dates noted below. rn M r LL SUB -RECIPIENT: Collier County v N By: N R Name & Title: Burt L. Saunders Chairman d Date: FID#: STATE OF FLORIDA DIVISION OF EMERGENCY MANAGEMENT By: Date Name and Title ATTF-5T CRYSTAL K, KINZEL., CLERK BY: Approved as to form and legality Assistant County Attorney p� Packet Pg. 267 11.C.6 CRF Spending Guide Treasury and OIG have defined 18 categories for eligible expenses under CARES Act CRF. While all 18 are potentially eligible under the Florida Local Government program, the categories below are likely most relevant to all and we encourage counties to submit the eligible expense types below to maximize their funding. These represent the most common expenses that have already been incurred by many Local Government entities since the beginning of the eligible period, March 1, 2020. Again, your submissions are not limited to these categories below, but we wanted to provide targeted guidance for some of the most relevant categories. a 1. Public Health & Safety Payroll (March 1, 2020 to December 30, 2020) - After the most recent W guidance release, Treasury and OIG have now aligned in the fact that the public health and public safety employees are presumed to be substantially dedicated to the mitigation of COVID- M 19. Counties can submit ALL public health and safety payroll (from March 1, 2020 to December M 30, 2020) to be 100% reimbursed. r Public Health & Safety Employees (as defined by U.S. Treasury) - Public safety employees would include police officers (including state police officers), sheriffs and deputy sheriffs, firefighters, emergency medical responders, correctional and detention officers, and those who directly support such employees such as dispatchers and supervisory personnel. Public health employees would include employees involved in providing medical and other health services to patients and supervisory personnel, including medical staff assigned to schools, prisons, and other such institutions, and other support services essential for patient care (e.g., laboratory technicians) as well as employees of public health departments directly engaged in matters related to public health and related supervisory personnel. Eligible Time - Payroll from March 1, 2020 to December 30, 2020 Public Health & Safety Payroll Narrative: The narrative can simply state which employees in which department you are submitting a reimbursement request. See below for example. "The County is requesting reimbursement for the payroll of XXX employees in our city fire department for the period March 1, 2020 - March 30, 2020." Example Documentation: The documents you will need to attach to payroll RFRs are listed below. • Payroll register for dates claimed • Employee roster - including assigned department, employee title, employee pay rates, and fringe benefit rates • Payroll policy Packet Pg. 268 11.C.6 2. Unbudgeted Administrative Leave (March 1, 2020 to December 30, 2020) This could be considered for employees who were forced to quarantine due to COVID-19 or if your office went to a rotating schedule, you may go ahead and submit that as well. It will be in the "public health expense" category and will required the same documentation as Public Health and safety payroll above plus: • COVID leave policy Brief summary of the situation that led to the employee needed to take unbudgeted administrative leave. o For example: "On August 4, 2020, our county clerk was informed that a a member of her household had contracted COVID and she had been exposed. a To prevent spread in the county facilities, our employee quarantined at home D from 8/5/2020 to 8/11/2020 and was unable to work. Per our attached W COVID-19 administrative leave policy, we continued to pay the full salary and U benefits for this employee for this week until they were able to safely return rn uO to work. Our policy is not to require employees to take their allocated sick or M administrative leave for COVID-related illness or quarantine, and so we v consider this an unbudgeted expense." N 3. Personal Protective Equipment (PPE) -(March 1, 2020 to December 30, 2020) -Personal Protective equipment is defined as equipment worn to minimize exposure hazards that may lead to the spread or contraction of COVID-19. Items may be disposable (gloves) or durable goods (cloth masks). a. Mask b. Gloves c. Face shields Example Narrative for PPE: "This request of mask and gloves is to be used as personal protective equipment for employees in the department to protect both employees and the public with whom they interact from potential spread of COVID-19 in compliance with CDC guidelines regarding COVID mitigation. The masks were received on XX/XX/XXXX by (employee name) and the gloves were received on XX/XX/XXXX by (employee name). These expenses were not in the county budget as of March 27, 2020." Supporting Documentation • Invoice/receipt supporting expenses claimed including: o Date of purchase o Vendor name and address o Brief description of items purchased o Cost of items • Shipping/receiving documents showing date of receipt • Check copy or other proof of payment (if purchased by credit card, online receipt with copy of credit card statement or ACH receipt will suffice). Packet Pg. 269 11.C.6 4. Public Health Expenses -(March 1, 2020 to December 30, 2020) -Public health expenses are eligible expenditures that include, but are not limited to: • Expenses for communication and enforcement of public health orders related to COVID- 19 • Expenses for disinfection of public areas and other facilities, e.g. nursing homes, in response to the COVID-19 public health emergency. • Expenses for public safety measures undertaken in response to COVID-19, e.g. installing plexiglass dividers in public facilities to protect employees and the public from exposure to COVI D-19. • Expenses for quarantining individuals - see Unbudgeted Administrative Leave above. a. Hand sanitizer D b. Hand sanitizer dispensers U_ c. Plexiglass dividers U d. Thermometers Cn e. Other changes in public buildings to improve social distancing or prevent possible M transmission of COVID-19 f. Measures to increase social distancing and safety of public employees N Public Health Expense Narrative: "Prior to March 1, our county water office payments counter was an open window with only 18" of space between customers paying their water bills and county employees accepting payments or dealing with customer account issues. The county installed a plexiglass divider to divide the space between the employee and the customer and protect both from the potential spread of COVID-19. The county also installed six (6) touchless hand sanitizer dispensers at various locations accessible to both employees and customers in the county offices to allow for hand sanitization after touch points. The window installation was started on XX/XX/XXXX and completed on XX/XX/XXXX by (insert vendor name). The touchless hand sanitizer dispensers were delivered on XX/XX/XXXX and installed by (insert name) on XX/XX/XXXX. Neither of these expenses were accounted for in the county's budget as of March 27, 2020." Supporting Documentation • Invoice/receipt - with vendor name and address, date of purchase, description of items, and cost of purchases. • Proof of payment • Proof of delivery/receipt - *Note - If item was purchased at brick -and -mortar location and picked up there, the receipt for payment will also serve as proof of delivery/receipt. 5. Improve Telework Capabilities of Public Employees Expense to stand up online meeting capabilities, e.g. the purchase of Zoom subscriptions as public/department meetings are conducted digitally, or employees are forced to work remotely. Purchase of equipment to assist with teleworking such as laptops, WiFi hotspots, webcams, etc. Packet Pg. 270 11.C.6 IT costs related to upkeep and maintenance of newly purchased equipment - additional cloud storage, more bandwidth for network, etc. *NOTE - Subscription service expense will need to be prorated for the eligible period, March 1, 2020 - December 30, 2020. For example, if a one year Zoom subscription was purchased on April 1, 2020 for $120.00, then $90.00 would be eligible for reimbursement ($120.00 x 9 months, April - December). Licenses which are a one-time fee entitling user to lifetime use of the product are eligible for 100% reimbursement so long as the expense was eligible and incurred in the appropriate period. Example Narrative: " County purchased 12 laptops to allow our department employees to work from home to promote social distancing in our office and mitigate the COVID-19 public health emergency. The computers have the minimum capabilities necessary a for the employees using them to access our department's crucial programs and conduct the D U_ business of the government without interruption of service. These employees worked on W U desktops in the office before COVID, so the acquisition of laptops is considered necessary due to COVID-19 and not accounted for in our Jurisdiction's budget as of March 1, 2020. The rn uO a) laptops were delivered on XX/XX/XXXX and received by (employee name)." r Supporting Documentation • Invoice or receipt • Proof of payment • Proof of delivery - *Note- If item was purchased at brick -and -mortar location and picked up there, the receipt for payment will also serve as proof of delivery/receipt. Packet Pg. 271 tate of Florida Coronavirus Relief Fund (CRF Local Government Recipient Guidelines 11.C.7 Table of Contents I. Applicability......................................................................................................................................... 4 II. Background...........................................................................................................................................4 A. The Coronavirus Aid, Relief, and Economic Security (CARES) Act..............................................4 B. U.S. Department of Treasury CARES Act Guidance....................................................................... 5 .. III. Roles and Responsibilities................................................................................................................ 5 U) asa A. U.S. Department of the Treasury p rY...................................................................................................... 5 Q- B. Office of Inspector General............................................................................................................... 5 LL v C. State Government.............................................................................................................................. 6 D. Local Governments........................................................................................................................... 6 CD In M T E. Florida Administering and Disbursing Entity................................................................................... 6 w F. State Allocation................................................................................................................................. 7 m .9 G. Small Local Government Allocations............................................................................................... 7 a� 3 H. Large Local Government Allocations............................................................................................... 8 c� +. IV. Use of Funds..................................................................................................................................... 8 c a� a A. Necessary expenditures incurred due to the public health emergency .............................................. 9 B. Costs not accounted for in the budget most recently approved as of March 27, 2020...................... 9 C. Costs incurred during the period that begins on March 1, 2020, and ends on December 30, 2020 10 c V. Eligible Expenses................................................................................................................................ I I a� c 0 A. Medical Expenses........................................................................................................................... I I B. Public Health Expenses................................................................................................................... I I C. Payroll Expenses.............................................................................................................................12 U- v D. Public Health Compliance Expenses..............................................................................................12 U- E. Economic Support Expenses...........................................................................................................13 W- ° a� F. Other Expenses...............................................................................................................................13 VI. Ineligible Expenses.........................................................................................................................13 VII. Fund Payment Terms and Conditions............................................................................................. 14 m t A. Legal Authority to Apply 14 a B. Period of Performance....................................................................................................................14 C. Financial Management....................................................................................................................14 D. Record Retention............................................................................................................................15 E. Audits and Reviews........................................................................................................................15 F. Compliance with Federal Laws and Regulations............................................................................15 2 1 P a g e Packet Pg. 273 11.C.7 G. Amendments and Changes to Terms and Conditions.....................................................................16 H. Remedies for Non-Compliance.......................................................................................................16 I. Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards....................................................................................................................................................17 VIII. Payments and Required Documentation.........................................................................................17 A. Florida CARES Act Management System ("FLCARES").............................................................17 B. Request for Advance Validation (RAV) Form...............................................................................17 C. Request for Reimbursement (RFR) Form.......................................................................................17 -tea a D. Required Supporting Documentation..............................................................................................17 U_ IX. Closeout of Funds...........................................................................................................................18 v X. Appendices..........................................................................................................................................19 w A. FLCARES Funding Methodology/Allocations B. FLCARES Request for Reimbursement Form C. FLCARES Frequently Asked Questions (FAQs) D. FL Terms and Conditions/Funding Agreement E. U.S. Treasury CRF Guidance for State, Territorial, Local, and Tribal Governments F. U.S. Treasury CRF Frequently Asked Questions G. Single Audit Act H. 2 CFR 200.303 Internal Controls I. 2 CFR 200.330-332 Subrecipient Management and Monitoring J. 2 CFR 200 Subpart F Audit Requirements K. Direct Treasury Allocations 3 1 P a g e Packet Pg. 274 11.C.7 I. II. Applicability These guidelines outline the terms and conditions that apply to eligible recipients of payments distributed in the form of "other financial assistance" under 2 CFR §200.40 from the State of Florida's Coronavirus Relief Fund ("CRF") established within section 601 of the Social Security Act, as added by section 5001 of the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act")'. An eligible recipient is defined as a unit of local government (county, city or municipality) located in the state of Florida with populations below 500,000, excluding the portions of municipalities located within jurisdictions that received direct allocations from the US Treasury. The interests and responsibilities of the State will be executed by the Florida Division of Emergency Management, unless otherwise indicated herein or as required by law. The recipient's official representative, who will acknowledge and agree to the terms and conditions outlined in this guidance document, will execute the interest and responsibilities of the recipient. These requirements are in addition to any that can be found within the Florida CARES Act Management System ("FLCARES"), to which recipients agree when accepting the transfer. Other state and federal requirements and conditions may apply to the transfer, including but not limited to certain sections of 2 C.F.R. Part 200 referenced herein, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, and applicable subparts; the state funding announcement under which transfer payments are distributed; and any applicable documents referenced in the documents and sources listed above. To the extent the terms and conditions outlined in this guidance do not address a particular circumstance or are otherwise unclear or ambiguous, such terms and conditions are to be construed consistent with the general objectives, expectations and purposes of this manual and in all cases, according to its fair meaning. The parties acknowledge that each party and its counsel have reviewed these guidelines and that any rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of these guidelines. Any vague, ambiguous or conflicting terms shall be interpreted and construed in such a manner as to accomplish the purpose of the guidelines. Background A. The Coronavirus Aid, Relief, and Economic Security (CARES) Act Under Title V of the CARES Act, the Social Security Act was amended to establish the CRF, a $150B appropriation used to make payments for specified uses to states, Tribal governments, territories, and large units of local government. The total CRF fimding allocated to the state of Florida is approximately $8.328B. The U.S. Treasury managed the initial distribution of these funds to states and local governments with populations above 500,000 using a relative state population proportion methodology, as defined in the Act and distributed $5.85 billion to the state. ' https://www.congress.gov/116/bills/hr748/BILLS-116hr748enr.pdf 4 1 P a g e N m a U- U oD 0 w M Packet Pg. 275 11.C.7 The State of Florida is making available approximately $1.27513 from the State's CRF balance to eligible local governments. An initial 25% advance has been allocated to each of these local governments and can be found in the appendices at the end of the guidelines. B. U.S. Department of Treasury CARES Act Guidance The U.S. Department of the Treasury has released the following CARES Act guidance via their website2. N ■ Data sources and the distribution methodology for units of local government M ■ Listing of eligible units of local government Q. ■ Coronavirus Relief Fund Guidance for State, Territorial, Local, and Tribal U- Governments U ■ Coronavirus Relief Fund Frequently Asked Questions o� ■ Guidance on Treatment of Alaska Native Corporations CD ■ Coronavirus Relief Fund Tribal Allocation Methodology ■ Payments to States and Eligible Units of Local Government ■ Tribal Employment and Expenditure Submission Instructions ■ Frequently Asked Questions on Tribal Population The State of Florida encourages all recipients to review this guidance to understand the Treasury's allocation methodology, covered cost criteria, and eligible and ineligible expenditures. III. Roles and Responsibilities A. U.S. Department of the Treasury The U.S. Department of the Treasury is the national treasury of the federal government of the United States and serves as an executive department. The Treasury was directed by the U.S. Congress under the CARES Act to make payments available to States, Tribal governments, territories, and units of local government via the CRF totaling $15013 for fiscal year 2020 no later than 30 days after enactment of the Act. B. Office of Inspector General The Office of Inspector General ("OIG") conducts independent audits, investigations and reviews to help the Treasury Department accomplish its mission; improve its program and operations; promote economy, efficiency and effectiveness; and prevent and detect fraud and abuse. Under the CARES Act, the OIG was directed by the U.S. Congress to conduct monitoring and oversight of the receipt, disbursement, and use of funds made available by the CRF. If the OIG determines that a State, Tribal government, or unit of local government has failed to comply with the eligible use of funds requirement in the CARES Act, the amount equal to the amount of funds z httl2s:Hhome.treasury gov//policy-issues/cares/state-and-local-governments 5 1 P a g e Packet Pg. 276 11.C.7 used in violation of such requirement shall be booked as a debt of such entity owed to the Federal Government. Amounts recovered shall be deposited into the general fund of the Treasury. The U.S. Congress appropriated $35M to OIG to carry out oversight and recoupment activities under the CRF. C. State Government Under the CARES Act, the term "State" means the 50 States, the District of Columbia, the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, the Commonwealth of the Northern Mariana Islands, and American Samoa. The State of Florida has the authority to use the funds provided under the CRF to cover eligible costs of the State. Total CRF funds available to the State are $5.85613 ($8.328B minus $2.472B already provided as direct allocations to large local governments). Please see Sections V and VI below for a description of eligible expenses. The State is making available approximately $1.27513 of their available CRF funding to smaller local governments for their eligible expenditures related to coronavirus response activities. Please see the appendices below for a summary of these available amounts. D. Local Governments Under the CARES Act, the term "unit of local government" means a county, city, municipality, town, township, village, parish, borough, or other unit of general government below the State level with a population that exceeds 500,000. Within Florida, local governments with a population that exceed 500,000, referred herein as "large local governments", include Miami -Dade County, Broward County, Palm Beach County, Hillsborough County, Orange County, Pinellas County, Jacksonville City/Duval County, Lee County, Polk County, Brevard County, Pasco County, and Volusia County. These large local governments received direct payments from the U.S. Treasury and have the authority to use the funds provided under the CRF to cover eligible costs of the local government. As a result, they are not subject to the requirements of these recipient guidelines. Within Florida, other local governments, referred herein as "small local governments", are those remaining local governments (i.e., counties) throughout Florida who did not receive direct payments from the U.S. Treasury and are eligible to request funding from the State of Florida to cover their eligible costs. While additional funds may be available later, this program is intended to provide funding for local governments who did not receive an initial direct distribution. E. Florida Administering and Disbursing Entity The Florida Division of Emergency Management (FDEM) will manage the disbursement process for the State of Florida's Coronavirus Relief Fund Local Government Program. Funds will be disbursed through the State of Florida accounting system, the Florida Accounting Information Resource (FLAIR). The Florida Department of Financial Services will issue payment based on the method requested by the applicant in MyFlorida Marketplace (MFMP). 6 1 P a g e N m a U_ U CD 0 w M Packet Pg. 277 11.C.7 F. State Allocation The State of Florida was allocated a total of $8,328,221,072 in Coronavirus Relief Fund assistance under the CARES Act. A total of $2,472,413,692 was directly allocated to large local governments in the state, leaving a total of $5,855,807,380 remaining to be expended by the State for eligible coronavirus response activities. G. Small Local Government Allocations N d The State has made $1.275B of CRF funds available to county governments with populations fewer than 500,000 from the state allocation from the U.S. Treasury. Funds have been allocated CL to each jurisdiction on a per capita basis based on census data reflecting 2018 population. U- Funding will be provided with a phased approach, including Phase 1, Phase 2 and Phase 3. Phase v 1 included a 25% disbursement of funds. Following Phase 1, Phase 2 will include a 20% w disbursement. Phase 3 will be on a reimbursement basis of up to the remaining 55% allocation. M Advanced Funds — Phase 1 and Phase 2 Phase 1 included an initial advance payment of 25% of each county's total allocation. In Phase 1, all 55 eligible counties were required to execute a funding agreement with the Florida Division of Emergency Management. Upon execution, the Florida Division of Emergency Management disbursed 25% of each county's allocated amount to be used for eligible expenses related to responding to COVID-19. Per the terms of the Funding Agreement, each county must submit a quarterly report detailing expenses incurred by the county during the covered period of March 1, 2020 through December 30, 2020 from the initial 25% disbursement. Expenses must be reported by quarter. Although most counties did not receive funding until July 2020, any expenses incurred during the quarter March 1 to June 30 must be reported separately. These reports were due beginning September 25, 2020 and are to be submitted through the Florida Division of Emergency Management Grants Portal. Quarterly reports must include expenses as defined by the US Treasury "an expenditure is the amount that has been incurred as a liability of the entity (the service has been rendered or the good has been delivered to the entity). As outlined in Treasury's Coronavirus Relief Fund Guidance for State, Territorial, Local, and Tribal Governments, performance or delivery must occur between March 1 and December 30, 2020 in order for the cost to be considered incurred; payment of funds need not be made during that time (though it is generally expected that payment will take place within 90 days of a cost being incurred)." Phase 2 includes an additional advance payment of 20% of the county's total allocation if specific conditions are met. The conditions include providing documentation on how funds were expended from the initial 25% advance, providing a spending plan for the Phase 2 allocation, and executing the amendment to the Funding Agreement between the county and the Florida Division of Emergency Management. In order to access the additional 20% disbursement, counties must provide documentation that they have fully exhausted the cash from the initial 25% disbursement. Counties may demonstrate that the disbursement was either fully expended or demonstrate a lack of cash on hand through both expenses and encumbrances. The quarterly reports submitted by the county in accordance with Phase 1 will be used to determine whether a County has fully expended the initial 25%. 7 1 P a g e Packet Pg. 278 11.C.7 Counties must also submit a spending plan specific to how the county intends to use the next 20%. The spend plan must include the breakdown of intended expenses, and a narrative describing the use of these funds for those purposes. The spend plan must also include a written statement of how the County intends to use the CARES Act funding to satisfy the Single Audit requirement. The Single Audit must be conducted by a third party and while it is assumed counties will generally use administrative costs for this purpose, it must be specified in the spend plan. The amended Funding Agreement increased the "shall not exceed" amount to include the full w allocation to each county. This amendment must be executed by the Chairman of the Board of County Commission or designee. If the designee is signing on behalf of the County, the County a must ensure that the Florida Division of Emergency Management has a Delegation of Authority M a_ (DOA) on file specific to the CARES Act Funding Agreement. v Upon meeting the requirements for Phase 2, the County will be eligible to begin submitting for reimbursement in Phase 3. The County will be required to subsequently submit supporting CD documentation into the FLCARES system to substantiate the use of funds from Phase 1 and Phase 2. If the County has not fully substantiated the funds used in Phase 1 and Phase 2 by November 16, 2020, the County will not be eligible to continue submitting reimbursement requests in Phase 3. Reimbursement -Based Funds — Phase 3 Once a county has satisfied the conditions set forth in Phase 1 and Phase 2, the county can then begin submitting for reimbursement up to the remaining 55% of the county's allocation. All Requests for Reimbursement (RFR) will be submitted within the FLCARES system. Supporting documentation must be provided to substantiate all funds requested on a reimbursement basis. Additionally, all reimbursement requests must be submitted by December 3, 2020. However, RFRs may include claims for anticipated cost through December 30, 2020. Recipients must provide proof of payment and progress towards delivery of goods and services by December 30, 2020 for reimbursement for RFRs that include anticipated costs. H. Large Local Government Allocations The following large local governments within Florida were provided direct allocations from the U.S. Treasury, the sum of which was deducted from the State of Florida's total allocation as shown within appendix for Direct Treasury Allocations. IV. Use of Funds The CARES Act provides that payments from the CRF may only be used to cover costs that: (1) are necessary expenditures incurred due to the public health emergency with respect to the Coronavirus Disease 2019 (COVID-19); (2) were not accounted for in the budget most recently approved as of March 27, 2020 (the date of enactment of the CARES Act) for the State or government; and 8 1 P a g e Packet Pg. 279 11.C.7 (3) were incurred during the period that begins on March 1, 2020 and ends on December 30, 2020.3 The guidance that follows sets forth the Department of the Treasury's interpretation of these limitations. A. Necessary expenditures incurred due to the public health emergency The requirement that expenditures be incurred "due to" the public health emergency means that w expenditures must be used for actions taken to respond to the public health emergency. These may include expenditures incurred to allow the State, territorial, local, or Tribal government to respond Q. directly to the emergency, such as by addressing medical or public health needs, as well as U_ expenditures incurred to respond to second -order effects of the emergency, such as by providing U economic support to those suffering from employment or business interruptions due to COVID-19- related business closures. Fund payments may be used for economic support in the absence of a o� CD stay-at-home order if such expenditures are determined by the government to be necessary. This .Mr.. may include, for example, a grant program to benefit small businesses that close voluntarily to promote social distancing measures or that are affected by decreased customer demand as a result c of COVID-19 public health emergency. Funds may not be used to fill shortfalls in government revenue to cover expenditures that would not otherwise qualify under the statute. Although a broad range of uses is allowed, revenue replacement is not a permissible use of Fund payments. Q- The statute also specifies that expenditures using Fund payments must be "necessary." The a� Department of the Treasury understands this term broadly to mean that the expenditure is reasonably necessary for its intended use in the reasonable judgment of the government officials responsible for spending Fund payments. B. Costs not accounted for in the budget most recently approved as of March 27, 2020 The CARES Act also requires that payments be used only to cover costs that were not accounted for in the budget most recently approved as of March 27, 2020. A cost meets this requirement if either (a) the cost cannot lawfully be funded using a line item, allotment, or allocation within that budget or (b) the cost is for a substantially different use from any expected use of funds in such a line item, allotment, or allocation. The "most recently approved" budget refers to the enacted budget for the relevant fiscal period for the particular government, without taking into account subsequent supplemental appropriations enacted or other budgetary adjustments made by that government in response to the COVID-19 public health emergency. A cost is not considered to have been accounted for in a budget merely because it could be met using a budgetary stabilization fund, rainy day fund, or similar reserve account. (Note: Costs incurred for a "substantially different use" include, but are not necessarily limited to, costs of personnel and services that were budgeted for in the most recently approved budget but s See Section 601(d) of the Social Security Act, as added by section S001 of the CARES Act. 9 1 P a g e Packet Pg. 280 11.C.7 which, due entirely to the COVID-19 public health emergency, have been diverted to substantially different functions. This would include, for example, the costs of redeploying corrections facility staff to enable compliance with COVID-19 public health precautions through work such as enhanced sanitation or enforcing social distancing measures; the costs of redeploying police to support management and enforcement of stay-at-home orders; or the costs of diverting educational support staff or faculty to develop online learning capabilities, such as through providing information technology support that is not part of the staff or faculty's ordinary responsibilities. Note that a public function does not become a "substantially different use" merely because it is w provided from a different location or through a different manner. For example, although °' M developing online instruction capabilities may be a substantially different use of funds, online a instruction itself is not a substantially different use of public funds than classroom instruction.) n U- U C. Costs incurred during the period that begins on March 1, 2020, and ends on December 30, 2020 CD Finally, the CARES Act provides that payments from the Fund may only be used to cover costs that were incurred during the period that begins on March 1, 2020 and ends on December 30, 2020 (the "covered period"). Putting this requirement together with the other provisions discussed above, section 601(d) may be summarized as providing that a State, local, or tribal government may use payments from the Fund only to cover previously unbudgeted costs of necessary expenditures incurred due to the COVID-19 public health emergency during the covered period. Initial guidance released on April 22, 2020, provided that the cost of an expenditure is incurred when the recipient has expended funds to cover the cost. Upon further consideration and informed by an understanding of State, local, and tribal government practices, Treasury is clarifying that for a cost to be considered to have been incurred, performance or delivery must occur during the covered period but payment of funds need not be made during that time (though it is generally expected that this will take place within 90 days of a cost being incurred). For instance, in the case of a lease of equipment or other property, irrespective of when payment occurs, the cost of a lease payment shall be considered to have been incurred for the period of the lease that is within the covered period, but not otherwise. Furthermore, in all cases it must be necessary that performance or delivery take place during the covered period. Thus the cost of a good or service received during the covered period will not be considered eligible under section 601(d) if there is no need for receipt until after the covered period has expired. Goods delivered in the covered period need not be used during the covered period in all cases. For example, the cost of a good that must be delivered in December in order to be available for use in January could be covered using payments from the Fund. Additionally, the cost of goods purchased in bulk and delivered during the covered period may be covered using payments from the Fund if a portion of the goods is ordered for use in the covered period, the bulk purchase is consistent with the recipient's usual procurement policies and practices, and it is impractical to track and record when the items were used. A recipient may use payments from the Fund to purchase a durable good that is to be used during the current period and in subsequent periods if the acquisition in the covered period was necessary due to the public health emergency. Given that it is not always possible to estimate with precision when a good or service will be needed, the touchstone in assessing the determination of need for a good or service during the 101Page Packet Pg. 281 11.C.7 V. covered period will be reasonableness at the time delivery or performance was sought, e.g., the time of entry into a procurement contract specifying a time for delivery. Similarly, in recognition of the likelihood of supply chain disruptions and increased demand for certain goods and services during the COVID-19 public health emergency, if a recipient enters into a contract requiring the delivery of goods or performance of services by December 30, 2020, the failure of a vendor to complete delivery or services by December 30, 2020, will not affect the ability of the recipient to use payments from the Fund to cover the cost of such goods or services if the delay is due to circumstances beyond the recipient's control. This guidance applies in a like manner to costs of subrecipients. Thus, a grant or loan, for example, provided by a recipient using payments from the Fund must be used by the subrecipient only to purchase (or reimburse a purchase of) goods or services for which receipt both is needed within the covered period and occurs within the covered period. The direct recipient of payments from the Fund is ultimately responsible for compliance with this limitation on use of payments from the Fund. Eligible Expenses Eligible expenditures include, but are not limited to, payment for: A. Medical Expenses Eligible expenditures include, but are not limited to, payment for medical expenses such as: ■ COVID-19-related expenses of public hospitals, clinics, and similar facilities. ■ Expenses of establishing temporary public medical facilities and other measures to increase COVID-19 treatment capacity, including related construction costs. ■ Costs of providing COVID-19 testing, including serological testing. ■ Emergency medical response expenses, including emergency medical transportation, related to COVID-19. ■ Expenses for establishing and operating public telemedicine capabilities for COVID-19 related treatment. B. Public Health Expenses Eligible expenditures include, but are not limited to, payment for public health expenses such as Expenses for communication and enforcement by State, territorial, local, and Tribal governments of public health orders related to COVID-19. Expenses for acquisition and distribution of medical and protective supplies, including sanitizing products and personal protective equipment, for medical personnel, police officers, social workers, child protection services, and child welfare officers, direct service providers for older adults and individuals with disabilities in community settings, and other public health or safety workers in connection with the COVID-19 public health emergency. Expenses for disinfection of public areas and other facilities, e.g., nursing homes, in response to the COVID-19 public health emergency. 11 I Page N d a U- U oD 0 w M Packet Pg. 282 11.C.7 ■ Expenses for technical assistance to local authorities or other entities on mitigation of COVID- 1 9-related threats to public health and safety. ■ Expenses for public safety measures undertaken in response to COVID-19. ■ Expenses for quarantining individuals. ■ Expenses for contact tracing. ■ Expenses for conducting a recovery planning project or operating a recovery coordination office, if the expenses otherwise meet the criteria set forth in section 601(d) of the Social Security Act outlined in the guidance. N d r C. Payroll Expenses a M Eligible expenditures include, but are not limited to, payment for payroll expenses for public safety, u_ W public health, health care, human services, and similar employees whose services are substantially t� dedicated to mitigating or responding to the COVID-19 public health emergency. Hazard pay (as CD defined in the guidance) and overtime for these groups would also be eligible. Additionally, for CD workers in these groups, increased workers compensation cost to the government due to the COVID-19 public health emergency incurred during the period beginning March 1, 2020, and d ending December 30, 2020, is an eligible expense. Moreover, payroll and benefit costs, as well as training program costs, associated with public employees who could have been furloughed or otherwise laid off but who were instead repurposed to perform previously unbudgeted functions substantially dedicated to mitigating or responding to the COVID-19 public health emergency are also covered. Other eligible expenditures include payroll and benefit costs of educational support staff or faculty responsible for developing online learning capabilities necessary to continue educational instruction in response to COVID-19- related school closures. Refer to the guidance for a discussion of what is meant by an expense that was not accounted for in the budget most recently approved as of March 27, 2020. (Note: The Fund is designed to provide ready funding to address unforeseen financial needs and risks created by the COVID-19 public health emergency. For this reason, and as a matter of administrative convenience in light of the emergency nature of this program, a State, territorial, local, or Tribal government may presume that payroll costs for public health and public safety employees are payments for services substantially dedicated to mitigating or responding to the COVID-19 public health emergency, unless the chief executive (or equivalent) of the relevant government determines that specific circumstances indicate otherwise) Payroll costs and hazard pay are only applicable to public health and safety employees as specified in the Treasury guidance and FA Qs (which are attached to these guidelines as appendices). D. Public Health Compliance Expenses Eligible expenditures include, but are not limited to, payment for expenses of actions to facilitate compliance with COVID- I 9-related public health measures, such as: ■ Expenses for food delivery to residents, including, for example, senior citizens and other vulnerable populations, to enable compliance with COVID-19 public health precautions. ■ Expenses to facilitate distance learning, including technological improvements, in connection with school closings to enable compliance with COVID-19 precautions. 121Page Packet Pg. 283 11.C.7 VI. ■ Expenses to improve telework capabilities for public employees to enable compliance with COVID-19 public health precautions. ■ Expenses of providing paid sick and paid family and medical leave to public employees to enable compliance with COVID-19 public health precautions. ■ COVID- I 9-related expenses of maintaining state prisons and county jails, including as it relates to sanitation and improvement of social distancing measures, to enable compliance with COVID-19 public health precautions. ■ Expenses for care for homeless populations provided to mitigate COVID-19 effects and enable compliance with COVID-19 public health precautions. a E. Economic Support Expenses M U- W Eligible expenditures include, but are not limited to, the provision of economic support in t� connection with the COVID-19 public health emergency. Additionally, local governments are not CD permitted to seek payment for expenses under this program that may be provided under other state CD CRF funding programs. F. Other Expenses Eligible expenditures include any other COVID-19 related expenses reasonably necessary to the function of government that satisfy the Fund's eligibility criteria. Ineligible Expenses The following is a list of examples of costs that would not be eligible expenditures of payments from the Fund. • Government revenue replacement, including the provision of assistance to meet individual tax obligations such as property taxes and unpaid utility fees. • Expenses for the State share of Medicaid. • Damages covered by insurance. • Payroll or benefits expenses for employees whose work duties are not substantially dedicated to mitigating or responding to the COVID-19 public health emergency. • Expenses that have been or will be reimbursed under any federal program, such as the reimbursement by the federal government pursuant to the CARES Act of contributions by States to State unemployment funds. (Note: Recipients may use Fund payments for any expenses eligible under section 601(d) of the Social Security Act outlined in the Guidance. Fund payments are not required to be used as the source offunding of last resort. However, as noted above, recipients may not use payments from the Fund to cover expenditures for which they will receive reimbursement. All expenses submitted will be subject to review by Florida Division of Emergency Management for eligibility or prior claims for Stafford Act Public Assistance. If eligible for Stafford Act Public Assistance, claims will be processed through FDEM, NOT CRF. The State of Florida will coverall local cost -share for Stafford Act claims, which is otherwise % of the non-federal cost -share or 12.5% of the total claim) • Reimbursement to donors for donated items or services. 131Page Packet Pg. 284 11.C.7 • Workforce bonuses, other than hazard pay or overtime, as noted in Section VI.0 above. • Severance pay. • Legal settlements. • Government prepayments on contracts not consistent with its ordinary course policies and procedures. The State of Florida has also determined the purchase of real property and the construction of permanent buildings to be ineligible expenses under the FL CARES Act Local Government program. The State of w Florida CRF strategy will not include purchase of real property or construction of permanent facilities. If a a county submits costs for either of these, it will be subject to rejection and other expenditures will need n to be submitted for consideration in order to meet the requirements of the Florida Division of Emergency Management for CRF disbursement. The state will consider purchase requests based on the county's v ability to demonstrate there is no feasible option for renting or leasing property within a reasonable radiusCD of the base of operations which is supporting pandemic response and mitigation of spread. VII. Fund Payment Terms and Conditions This section does not supersede the executed CARES Act Funding Agreement between the recipient and the State. A. Legal Authority to Apply Legal authority for fund payment terms and conditions is stated within the CARES Act Funding Agreement that has been executed between the recipient and the State. B. Period of Performance Funding has been authorized for eligible expenditures incurred between March 1, 2020 and December 30, 2020. All expenditures must be incurred within the performance period. The State will not provide funding or reimbursement for expenses incurred after the performance period and the recipient shall return to the State all funds received and not expended by the recipient and approved by the State on or before the performance period end date of December 30, 2020. A cost is incurred when the goods or services have been received by the responsible unit of government. C. Financial Management Recipients must keep financial records sufficient to demonstrate that the expenditure of funds they have received are in accordance with section 601(d) of the Social Security Act. The recipient is responsible for the integrity of the fiscal and programmatic management of the funds; accountability for all funds received; and compliance with state guidelines, policies and procedures and applicable federal and state laws and regulations. The recipient agrees to maintain an accounting system integrated with adequate internal fiscal and management controls to capture and report data with accuracy, providing full accountability of 141Page Packet Pg. 285 11.C.7 funds use. This system shall provide reasonable assurance that the recipient is managing federal and state financial assistance programs in compliance with all applicable laws and regulations. Recipients must also adhere to all conditions outlined in the Funding Agreement and any amendments between the county and the Florida Division of Emergency Management. See appendices for the Funding Agreement and amendment as of the date of the recipient guidelines — October 13, 2020. Any and all amendments subsequent must also be followed by the recipients. Recipients must be established as a vendor of the state with a validated pay location by the Department of Financial Services prior to receiving any payments from the Fund. Funding for the State's Coronavirus Relief Fund is appropriated under the Coronavirus Aid, Relief, a and Economic Security Act, 2020 (Public Law 116-136) enacted on March 27, 2020, as amended, U_ to facilitate protective measures for and recovery from the public health emergency in areas affected v by COVID-19, which are Presidentially -declared major disaster areas under Title IV of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.). All w expenditures under the Fund must be made in accordance with these guidelines and any other applicable laws, rules or regulations. Further, all funds are subject to recapture and repayment for non-compliance. D. Record Retention Recipients must maintain appropriate records to provide accountability and facilitate review of all expenditures claimed and funding provided from the State of Florida under the Fund. Records maintained by the recipient will, at a minimum, identify the supporting documentation prepared by the recipient to permit an audit of its accounting systems and payment verification with respect to the expenditure of any funds. E. Audits and Reviews All records and expenditures are subject to, and the recipient agrees to comply with, monitoring and/or audits conducted by the United States Department of Treasury Office of Inspector General (OIG), Florida Office of the Governor, Florida Treasury, and the Florida Division of Emergency Management. Further, should a federal audit (OIG) later find that an expense was unallowable, the recipient must return the associated funds to the State. The recipient shall maintain adequate records for examination by these entities. The record retention period is 5 years. All conditions and requirements in the Funding Agreement between the county and the Florida Division of Emergency Management as it relates to audits and review must also be followed. F. Compliance with Federal Laws and Regulations The recipient acknowledges that all federal financial assistance will be used in accordance with the CARES Act and accompanying U.S. Department of Treasury guidance. The recipient will comply with all applicable federal law, regulations, executive orders, policies, procedures, and directives. 151Page Packet Pg. 286 11.C.7 Fund payments are federal financial assistance subject to the Single Audit Act (31 U.S.C. §§ 7501- 7507) and the related provisions of the Uniform Guidance, specifically 2 C.F.R. § 200.303 regarding internal controls, §§ 200.330 through 200.332 regarding subrecipient monitoring and management, and subpart F regarding audit requirements. Fund payments count toward the threshold of the Single Audit Act and 2 C.F.R. part 200, subpart F regarding audit requirements. Recipients are subject to a single audit or program -specific audit pursuant to 2 C.F.R. § 200.501(a) when they spend $750,000 or more in federal awards during their fiscal year. Any recipient expending $750,000 or more in federal funds during their entity's fiscal year must w have a single or program -specific audit in accordance with Single Audit Requirements in 2 CFR, °' M Part 200, Subpart F — Audit Requirements, found at: https://www.ecfr.2ov/c2i-bin/text- a idx?tpl=/ecfrbrowse/Title02/2cfr200_main 02.t�l. U_ W The audit must be completed and the data collection and reporting package described in 2 CFR v 200.512 must be submitted to the Federal Audit Clearinghouse ("FAC") within 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period, whichever M is earlier. G. Amendments and Changes to Terms and Conditions The Florida Division of Emergency Management may make changes to these terms and conditions at any time. Changes include, but are not limited to, modifying the scope of the funds, adding funds to previously un-awarded cost items or categories, changing funds in any awarded cost items or category, reallocating awarded funds or changing Fund officials. In the event the Florida Division of Emergency Management determines that changes are necessary to the award document after an award has been made, including changes to period of performance or terms and conditions, recipients will be notified of the changes in writing. Notwithstanding this requirement, it is understood and agreed by the parties hereto that changes in local, state and federal rules, regulations or laws applicable hereto may occur during the term of this agreement and that any such changes shall be automatically incorporated into this agreement without written amendment hereto, and shall become a part hereof as of the effective date of the rule, regulation or law. The recipient has no right or entitlement to payment or reimbursement with federal funds. The recipient agrees that any act, action or representation by either party, their agents or employees that purports to waive or alter the terms of this agreement or increase the maximum liability of the State is void unless an amendment to this agreement is documented in FLCARES. The recipient agrees that nothing in this agreement will be interpreted to create an obligation or liability of the State in excess of the availability of funds for initial payment and reimbursement as provided in the funding announcement. H. Remedies for Non -Compliance The Florida Division of Emergency Management shall have the right to terminate a recipient's funding and require repayment of any funds spent in a manner that is not allowed under these guidelines and all applicable laws, rules, and regulations. 161Page Packet Pg. 287 11.C.7 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards Fund payments are subject to the following requirements in the Uniform Guidance (2 C.F.R. Part 200): 2 C.F.R. § 200.303 regarding internal controls, 2 C.F.R. §§ 200.330 through 200.332 regarding subrecipient monitoring and management, and subpart F regarding audit requirements. Please refer to the Appendix for copies of these regulations. VIII. Payments and Required Documentation A. Florida CARES Act Management System ("FLCARES") Coronavirus Relief Funds will be reimbursed through the Florida CARES Act Management System ("FLCARES") online portal. FLCARES is a user-friendly tool that allows recipients to submit Requests for Reimbursement and upload the necessary supporting documentation for each request. FLCARES will allow recipients to monitor the status of these requests and keep track of the remaining available funds in each phase of funding. FLCARES will also be used to substantiate the funds disbursed in Phase 1 & Phase 2 funding. The following sections include further description of the portal's functions. B. Request for Advance Validation (RAV) Form The module enables the recipient to attach supporting documentation and monitor the approval process. This module will be used to substantiate the funds used from Phase 1 & Phase 2 disbursement. The County must submit RAVs equal to the total amount allocated from Phase 1 and Phase 2 by November 16', 2020. If RAVs are not completed by the deadline, the County will not be allowed to draw further funding from Phase 3. C. Request for Reimbursement (RFR) Form The module enables the recipient to attach supporting documentation, monitor the approval process, and the subsequent payment. This module should also be used to access additional funds to reimburse eligible expenses and encumbrances. Once a recipient has received all allocated funds, they may continue to submit additional RFRs for eligible expenses they have incurred. These claims will only be processed should additional funds be made available, but no guarantees are made at this time. D. Required Supporting Documentation FLCARES will provide the user with the ability to upload the necessary supporting documentation related to each phase of funding. For expenditures, such documentation shall include, but not be limited to copies of checks issued for payment, certified payroll records (such as time sheets), itemized vendors' and suppliers' invoices or vouchers, a description of the purpose of the expenditure, and other supporting documentation. For encumbrances, documentation must demonstrate an obligation to incur the expenses such as a description of the purpose of the encumbrance, executed agreements and unpaid invoices. Proof of payment must be submitted once 171Page N CL u_ U CD 0 w M Packet Pg. 288 11.C.7 received. The Request for Reimbursement process will require the user to upload supporting documentation for the expenses they would like to access reimbursement funds for. This exchange of information through FLCARES will streamline the reimbursement processes and help accelerate the transfer of funds to the recipient. IX. Closeout of Funds The funding provided to a recipient will be closed -out when all available funds have been w distributed, required administrative actions have been completed, and all supporting documentation has been provided by that recipient. The Florida Division of Emergency Management will perform a a final accounting of funds provided to the recipient and all access to FLCARES previously U_ provided to the recipient will be cancelled. The recipient must promptly refund any balances of v unspent funds that were paid in advance. Recipients are not authorized to retain funds for any future use. All advances must be spent and supporting documentation must be submitted by November 0 16`h, or those funds may be subject to reallocation. Additionally, no claim submitted after December 3' will be reimbursed. U) 181Page Packet Pg. 289 11.C.7 X. Appendices A. FLCARES Funding Methodology/Allocations B. FLCARES Request for Reimbursement Form N d r R C. FLCARES Frequently Asked Questions (FAQs) CL n i D. FL Terms and Conditions/Funding Agreement o� E. U.S. Treasury CRF Guidance for State, Territorial, Local, and Tribal Governments F. U.S. Treasury CRF Frequently Asked Questions G. Single Audit Act H. 2 CFR 200.303 Internal Controls I. 2 CFR 200.330-332 Subrecipient Management and Monitoring J. 2 CFR 200 Subpart F Audit Requirements K. Direct Treasury Allocations 191Page Packet Pg. 290