HomeMy WebLinkAboutChildcare - 2021AGREEMENT
THIS AGREEMENT is made and entered into in the City of San Luis Obispo on ________________, by
and between the CITY OF SAN LUIS OBISPO, a municipal corporation, hereinafter referred to as "City," and the
COMMUNITY ACTION PARTNERSHIP OF SAN LUIS OBISPO, a 501(c)(6) non-profit corporation organized
under the laws of the State of California, with a place of business at 1030 Southwood Drive, San Luis Obispo,
California 93401 hereinafter referred to as "Contractor" or "CAPSLO."
W I T N E S S E T H:
WHEREAS, the City, as part of its 2021-2023 Budget, has recognized the Major City Goal of Economic Recovery,
Resiliency, and Fiscal Sustainability as critical to the community in the aftermath of the COVID-19 pandemic and
has set aside funding for promotions and programs to aid in local recovery; and
WHEREAS, The Community Action Partnership of San Luis Obispo County has operated as San Luis Obispo
County's designated community action agency since 1965, providing services to low-income and vulnerable
populations throughout the County; and
WHEREAS, CAPSLO has the administrative capacity, experience, and infrastructure to oversee complex grants;
and
WHEREAS, both the City and CAPSLO recognize the negative social and economic impact that insufficient child
care opportunities in the City have upon families; and
WHEREAS, CAPSLO is directing a pilot project to provide direct support for family childcare start-ups
through their Child Care Resources Connection, Resource and Referral Programs initiatives to incentivize business
creation and eliminate barriers to licensure; and
WHEREAS, both the City and CAPSLO recognize that supporting childcare capacity in the City is an opportunity to
empower more parents to return to work and support economic recovery and growth; and
NOW, THEREFORE, in consideration of their mutual promises, obligations, and covenants hereinafter contained,
the parties hereto agree as follows:
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1. TERM. The term of this Agreement shall be from the date this Agreement is made and entered,
as first written above, until June 30, 2022, or upon acceptance or completion of said services, whichever occurs
sooner.
2. INCORPORATION BY REFERENCE. The Contractor agrees to comply with the City's
standard terms and conditions and insurance requirements, which are attached hereto as Exhibits A and B,
respectively, and incorporated herein by this reference. The Contractor agrees to perform the scope of services as
set forth in Exhibit C, which is incorporated herein by this reference. Should there be any conflict between
provisions set forth in the Exhibits, the City's standard terms and conditions shall control.
3. CITY'S OBLIGATIONS. For providing services as specified in this Agreement, City will pay,
and Contractor shall receive therefore compensation in a total sum not to exceed $54,000.
4. CONTRACTOR'S OBLIGATIONS. For and in consideration of the payments and agreements
hereinbefore mentioned to be made and performed by City, Contractor agrees with City to provide services as set
forth in Exhibit C. In addition, the Contractor will ensure that the support of the City will be recognized in all
promotions of this program in all forms of media, including but not limited to print, radio, television, social and
web-based.
5. AMENDMENTS. Any amendment, modification, or variation from the terms of this Agreement
shall be in writing and shall be effective only upon approval by the City Manager of the City.
6. COMPLETE AGREEMENT. This written Agreement, including all writings specifically
incorporated herein by reference, shall constitute the complete Agreement between the parties hereto. No oral
agreement, understanding, or representation not reduced to writing and specifically incorporated herein shall be of
any force or effect, nor shall any such oral agreement, understanding, or representation be binding upon the parties
hereto.
7. NOTICE. All written notices to the parties hereto shall be sent by United States mail, postage
prepaid by registered or certified mail addressed as follows:
City Derek Johnson
City Manager
City of San Luis Obispo
990 Palm Street
San Luis Obispo, CA 93401
Contractor Biz Steinberg, CEO
CAPSLO
1030 Southwood Drive
San Luis Obispo, CA 93401
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8. AUTHORITY TO EXECUTE AGREEMENT. Both City and Contractor do covenant that each
individual executing this Agreement on behalf of each party is a person duly authorized and empowered to execute
Agreements for such party.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year
first above written.
CITY OF SAN LUIS OBISPO, A Municipal Corporation
By: _____________________________________
City Manager
APPROVED AS TO FORM:
________________________________ By: _____________________________________
City Attorney Biz Steinberg, Chief Executive Officer, CAPSLO
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EXHIBIT A. GENERAL TERMS AND CONDITIONS
1. Insurance Requirements. The Contractor shall provide proof of insurance in the form, coverages
and amounts specified in Section E of the Request for Proposals, unless changes are otherwise approved by
City, or if there was no Request for Proposal proof of insurance in the form coverages and amounts specified
in Exhibit B .
2. Business License & Tax. The Contractor must have a valid City of San Luis Obispo business license
& tax certificate before execution of the contract. Additional information regarding the City's business tax
program may be obtained by calling (805) 781-7134.
3. Ability to Perform. The Contractor warrants that it possesses, or has arranged through subcontracts,
all capital and other equipment, labor, materials, and licenses necessary to carry out and complete the work
hereunder in compliance with all federal, state, county, City, and special district laws, ordinances, and
regulations.
4. Laws to be Observed. The Contractor shall keep itself fully informed of and shall observe and
comply with all applicable state and federal laws and County and City of San Luis Obispo ordinances,
regulations and adopted codes during its performance of the work.
5. Payment of Taxes. The contract prices shall include full compensation for all taxes that the
Contractor is required to pay.
6. Permits and Licenses. The Contractor shall procure all permits and licenses, pay all charges and
fees, and give all notices necessary.
7. Safety Provisions. The Contractor shall conform to the rules and regulations pertaining to safety
established by OSHA and the California Division of Industrial Safety.
8. Public and Employee Safety. Whenever the Contractor's operations create a condition hazardous to
the public or City employees, it shall, at its expense and without cost to the City, furnish, erect and maintain
such fences, temporary railings, barricades, lights, signs and other devices and take such other protective
measures as are necessary to prevent accidents or damage or injury to the public and employees.
9. Preservation of City Property. The Contractor shall provide and install suitable safeguards,
approved by the City, to protect City property from injury or damage. If City property is injured or damaged
resulting from the Contractor's operations, it shall be replaced or restored at the Contractor's expense. The
facilities shall be replaced or restored to a condition as good as when the Contractor began work.
10. Immigration Act of 1986. The Contractor warrants on behalf of itself and all subcontractors engaged
for the performance of this work that only persons authorized to work in the United State pursuant to the
Immigration Reform and Control Act of 1986 and other applicable laws shall be employed in the
performance of the work hereunder.
11. Contractor Non-Discrimination. In the performance of this work, the Contractor agrees that it will
not engage in, nor permit such subcontractors as it may employ, to engage in discrimination in employment
of persons because of age, race, color, sex, national origin or ancestry, sexual orientation, or religion of such
persons.
12. Work Delays. Should the Contractor be obstructed or delayed in the work required to be done
hereunder by changes in the work or by any default, act, or omission of the City, or by strikes, fire,
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earthquake, or any other Act of God, or by the inability to obtain materials, equipment, or labor due to federal
government restrictions arising out of defense or war programs, then the time of completion may, at the City's
sole option, be extended for such periods as may be agreed upon by the City and the Contractor. In the event
that there is insufficient time to grant such extensions prior to the completion date of the contract, the City
may, at the time of acceptance of the work, waive liquidated damages that may have accrued for failure to
complete on time, due to any of the above, after hearing evidence as to the reasons for such delay, and
making a finding as to the causes of same.
13. Payment Terms. The City's payment terms are 30 days from the receipt of an original invoice and
acceptance by the City of the materials, supplies, equipment, or services provided by the Contractor (Net 30).
14. Inspection. The Contractor shall furnish City with every reasonable opportunity for City to ascertain
that the services of the Contractor are being performed in accordance with the requirements and intentions of
this contract. All work done, and all materials furnished, if any, shall be subject to the City's inspection and
approval. The inspection of such work shall not relieve Contractor of any of its obligations to fulfill its
contract requirements.
15. Audit. The City shall have the option of inspecting and/or auditing all records and other written
materials used by Contractor in preparing its invoices to City as a condition precedent to any payment to
Contractor.
16. Interests of Contractor. The Contractor covenants that it presently has no interest, and shall not
acquire any interest—direct, indirect or otherwise—that would conflict in any manner or degree with the
performance of the work hereunder. The Contractor further covenants that, in the performance of this work,
no subcontractor or person having such an interest shall be employed. The Contractor certifies that no one
who has or will have any financial interest in performing this work is an officer or employee of the City. It is
hereby expressly agreed that, in the performance of the work hereunder, the Contractor shall at all times be
deemed an independent contractor and not an agent or employee of the City.
17. Hold Harmless and Indemnification.
(a) To the fullest extent permitted by law (including, but not limited to California Civil Code Sections 2782
and 2782.8), Contractor shall indemnify, defend, and hold harmless the City, and its elected officials,
officers, employees, volunteers, and agents ("City Indemnitees"), from and against any and all causes of
action, claims, liabilities, obligations, judgments, or damages, including reasonable legal counsels' fees and
costs of litigation ("claims"), arising out of the Contractor's performance or Contractor's failure to perform its
obligations under this Agreement or out of the operations conducted by Contractor, including the City's
active or passive negligence, except for such loss or damage arising from the sole negligence or willful
misconduct of the City. In the event the City Indemnitees are made a party to any action, lawsuit, or other
adversarial proceeding arising from Contractor's performance of this Agreement, the Contractor shall provide
a defense to the City Indemnitees or at the City's option, reimburse the City Indemnitees their costs of
defense, including reasonable legal fees, incurred in defense of such claims.
(b) The review, acceptance or approval of the Contractor's work or work product by any indemnified party
shall not affect, relieve or reduce the Consultant's indemnification or defense obligations. This Section
survives completion of the services or the termination of this contract. The provisions of this Section are not
limited by and do not affect the provisions of this contract relating to insurance.
18. Contract Assignment. The Contractor shall not assign, transfer, convey or otherwise dispose of the
contract, or its right, title or interest, or its power to execute such a contract to any individual or business
entity of any kind without the previous written consent of the City.
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19. Termination for Convenience. The City may terminate all or part of this Agreement for any or no
reason at any time by giving 30 days written notice to Contractor. Should the City terminate this Agreement
for convenience, the City shall be liable as follows: (a) for standard or off-the-shelf products, a reasonable
restocking charge not to exceed ten (10) percent of the total purchase price; (b) for custom products, the less
of a reasonable price for the raw materials, components work in progress and any finished units on hand or
the price per unit reflected on this Agreement. For termination of any services pursuant to this Agreement,
the City's liability will be the lesser of a reasonable price for the services rendered prior to termination, or the
price for the services reflected on this Agreement. Upon termination notice from the City, Contractor must,
unless otherwise directed, cease work and follow the City's directions as to work in progress and finished
goods.
20. Termination. If, during the term of the contract, the City determines that the Contractor is not
faithfully abiding by any term or condition contained herein, the City may notify the Contractor in writing of
such defect or failure to perform. This notice must give the Contractor a 10 (ten) calendar day notice of time
thereafter in which to perform said work or cure the deficiency.
If the Contractor has not performed the work or cured the deficiency within the ten days specified in the
notice, such shall constitute a breach of the contract and the City may terminate the contract immediately by
written notice to the Contractor to said effect. Thereafter, neither party shall have any further duties,
obligations, responsibilities, or rights under the contract except, however, any and all obligations of the
Contractor's surety shall remain in full force and effect, and shall not be extinguished, reduced, or in any
manner waived by the terminations thereof.
In said event, the Contractor shall be entitled to the reasonable value of its services performed from the
beginning date in which the breach occurs up to the day it received the City's Notice of Termination, minus
any offset from such payment representing the City's damages from such breach. "Reasonable value"
includes fees or charges for goods or services as of the last milestone or task satisfactorily delivered or
completed by the Contractor as may be set forth in the Agreement payment schedule; compensation for any
other work, services or goods performed or provided by the Contractor shall be based solely on the City's
assessment of the value of the work-in-progress in completing the overall work scope.
The City reserves the right to delay any such payment until completion or confirmed abandonment of the
project, as may be determined in the City's sole discretion, so as to permit a full and complete accounting of
costs. In no event, however, shall the Contractor be entitled to receive in excess of the compensation quoted
in its proposal.
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EXHIBIT B: INSURUANCE REQUIREMENTS
The Contractor shall procure and maintain for the duration of the contract insurance against claims for
injuries to persons or damages to property which may arise from or in connection with the performance of the
work hereunder by the Contractor, its agents, representatives, employees or subcontractors.
Minimum Scope of Insurance. Coverage shall be at least as broad as:
1. Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001).
2. Insurance Services Office form number CA 0001 (Ed. 1/87) covering Automobile Liability, code 1 (any
auto).
3. Workers' Compensation insurance as required by the State of California and Employer's Liability
Insurance.
4. Errors and Omissions Liability insurance as appropriate to the consultant's profession.
Minimum Limits of Insurance. Contractor shall maintain limits no less than:
1. General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property
damage. If Commercial General Liability or other form with a general aggregate limit is used,
either the general aggregate limit shall apply separately to this project/location or the general
aggregate limit shall be twice the required occurrence limit.
2. Automobile Liability: $1,000,000 per accident for bodily injury and property damage.
3. Employer's Liability: $1,000,000 per accident for bodily injury or disease.
4. Errors and Omissions Liability: $1,000,000 per occurrence.
Deductibles and Self‐Insured Retentions. Any deductibles or self‐insured retentions must be declared to and
approved by the City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles
or self‐insured retentions as respects the City, its officers, officials, employees and volunteers; or the
Contractor shall procure a bond guaranteeing payment of losses and related investigations, claim
administration and defense expenses.
Other Insurance Provisions. The general liability and automobile liability policies are to contain, or be
endorsed to contain, the following provisions:
1. The City, its officers, officials, employees, agents and volunteers are to be covered as insureds as respects:
liability arising out of activities performed by or on behalf of the Contractor; products
and completed operations of the Contractor; premises owned, occupied or used by the
Contractor; or automobiles owned, leased, hired or borrowed by the Contractor. The coverage
shall contain no special limitations on the scope of protection afforded to the City, its officers,
official, employees, agents or volunteers.
2. For any claims related to this project, the Contractor's insurance coverage shall be primary
insurance as respects the City, its officers, officials, employees, agents and volunteers. Any
insurance or self‐insurance maintained by the City, its officers, officials, employees, agents or
volunteers shall be excess of the Contractor's insurance and shall not contribute with it.
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3. The Contractor's insurance shall apply separately to each insured against whom claim is made or suit is
brought, except with respect to the limits of the insurer's liability.
4. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be
suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty
(30) days' prior written notice by certified mail, return receipt requested, has been given to the
City.
Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best's rating of no less
than A:VII.
Verification of Coverage. Contractor shall furnish the City with a certificate of insurance showing
maintenance of the required insurance coverage. Original endorsements effecting general liability and
automobile liability coverage required by this clause must also be provided. The endorsements are to be
signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be
received and approved by the City before work commences.
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EXHIBIT C
Community Action Partnership of San Luis Obispo Co. Inc.
1030 Southwood Drive, San Luis Obispo, CA 93401
(805) 544-4355 • Fax (805) 549-8388
www.capslo.org
October 5, 2021
Lee Johnson
Economic Development Manager
City of San Luis Obispo
990 Palm Street
San Luis Obispo, CA 93401
Dear Mr. Johnson:
The Community Action Partnership of San Luis Obispo County, Inc., (CAPSLO) proposes a pilot project, Direct
Support for Family Child Care Start-ups, through our Child Care Resource Connection Resource (CCRC) Resource and
Referral (R&R) Program's existing Child Care Initiative Project to incentivize starting a child care business, eliminate
barriers to licensure, and accelerate the creation of additional quality child care slots.
Need
The pandemic and the accompanying economic crisis have made the existing shortage of child care in the City of
San Luis Obispo even more dire than pre-pandemic. Without adequate child care opportunities, many parents are
not returning to work, leaving critical staffing vacancies in businesses and organizations, threatening the economic
stability of the City, if not the entire region. This is especially true for women- and minority-owned businesses.
Between July 1, 2020 - June 30, 2021, only six family child care programs were licensed in the City of San Luis
Obispo, and of these, four were Spanish-speaking. By contrast, 34 family child care programs were licensed in SLO
County as a whole, demonstrating the child care business shortage in the City.
Solution
CAPSLO proposes the City of San Luis Obispo invest $54,000 into 10 City of San Luis Obispo-based family child care
startups through CCRC's R&R Child Care Initiative Project. By incentivizing starting a child care business, the City can
help to eliminate barriers to licensure and accelerate the creation of additional quality child care slots.
Direct funding and training will be complemented by in-kind marketing support through the SLO Chamber's Family
Friendly Workplace Accelerator Program to encourage participation and help quickly fill the newly created slots.
CAPSLO will serve as the lead agency for the contract, administering the program and dispersing grant funding as
benchmarks are met.
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Benefits to the City of San Luis Obispo
This pilot will advance three of the four 2021-23 Major City Goals by:
● Empowering more parents to return to work (Economic Recovery, Resiliency & Fiscal Sustainability)
● Supporting predominantly women- and minority-owned (Spanish-speaking) businesses (Diversity, Equity &
Inclusion)
● Making the cost of housing more attainable to child care providers (Housing & Homelessness)
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Budget
Line Items Amount
Direct Business Support Stipends (10 businesses) $50,000
Indirect Costs for Administration $4,000
Direct Business Support Stipend Funding Release Details
Grant funds will be released incrementally as benchmarks are reached. Individualized support will assure access to
opportunities, and evaluation of business progress toward benchmark will be flexible, recognizing business
experience, priorities and needs. Individual timelines will vary but the goal is an average of 4-7 months.
Benchmarks Funding Release
Business applicants submit grant application
Child care licensing applications submission and enrollment into training through the
Small Business Development Center or similar program
$300 per business
Development of business and marketing plans $700 per business
Child care licensures, initiation of marketing campaign, and enrollment of children $1,000 per business
Affiliation with professional networks, such as SLO Shared Services Alliance Network,
SLO Quality Counts, SLO Chamber of Commerce, California and/or National Association
for the Education of Young Children, and the National Association of Family Child Care,
to further assist businesses with support and quality
$3,000 per business
TOTAL Business Funding $5,000 per business
Metrics for success
Success will be measured by 80% of Year One participants creating at least six new spaces – or four if they are only
serving infants or toddlers. Possible future programs could support expanding capacity of existing family child care
businesses, expanding capacity at existing child care centers, or supporting the creation of new child care centers.
Organizational Capabilities:
The Community Action Partnership of San Luis Obispo County has operated as San Luis Obispo County's designated
community action agency since 1965. Starting with one Head Start preschool center for farmworker families in
Nipomo, CAPSLO currently provides services to over 26,000 low-income individuals and families throughout 11
counties in California. CAPSLO operates programs that strengthen families, and believes that society's most
vulnerable populations, which include the elderly, children, disabled people, the homeless, and those living in
poverty, can be best assisted at the local level. CAPSLO empowers individuals and families to increase their self-
sufficiency through a wide array of community-based collaborations and programs. It has the administrative
capacity and infrastructure to oversee complex grants.
Key Personnel for the Program:
• CAPSLO – Shana Paulson, Children Services Manager
• SLO County Child Care Planning Council – Raechelle Bowlay, Council Coordinator & Early Learning Manager
• First 5 SLO County – Kris Roudebush, Special Projects Administrator
• San Luis Obispo Chamber of Commerce – Christina Latner, Workforce Development Manager
In conclusion, CAPSLO is ready and able to help the City of San Luis Obispo alleviate some of the current child care
him and hesitate to reach out to me with any further questions.
Sincerely,
Elizabeth "Biz" Steinberg
Chief Executive Officer
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2021-2022 Scope of Work
Direct Support for Family Child Care Start-ups
Initial:
● Develop rubric for awarding grants (team)
● Develop monthly reporting requirements for businesses receiving grants, including progress to date
related to key benchmarks, where money has been spent, anticipated open date, number of slots
created/filled, challenges, and opportunities (team)
● Develop schedule/benchmarks for dispersal of funds (CAPSLO)
● Develop program launch materials including targeted messaging to encourage potential businesses
owners to participate (CAPSLO and SLO Chamber)
Ongoing:
● Evaluate potential grantees against rubric on a rolling basis
● Provide licensing assistance support to participating businesses
○ Access to required Licensing Orientation (computer, internet, answers to questions)
○ Application assistance
○ Process navigation (required health and safety training, immunizations, and vaccinations)
○ Fingerprint and background check support
○ Pre-licensing Inspection preparation
● Provide business start-up support
○ Training for quality, health and safety, and child growth and development
○ Dedicated support and education about child care business administration (developing a
business plan, managing contracts, marketing, taxes, technology, parent communication,
and more)
○ Ongoing, individualized consultation services to address challenges and opportunities as
they arise
○ Facilitated peer support to foster community and ongoing success
● Monitor progress, distilling monthly reports into monthly summary report for City of SLO Chamber
● Provide targeted marketing support to help new businesses quickly fill newly created slots
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