Loading...
HomeMy WebLinkAbout10/06/1992, C-7 - LOW INCOME ASSISTANCE PROGRAM FOR CITY UTILITIES IIIN�I�IIII�IIIIIIIII II MEETING DATE: 1 ►����� C vy o San �U�S OBISPO - - COUNCIL AGENDA REPORT ITEM NUMBER: - FROM: William C. Statler, Director of Finance: - Prepared by: Linda Asprion, Revenue Manager SUBJECT: LOW INCOME ASSISTANCE PROGRAM FOR CITY UTILITIES CAO RECOMMENDATION Adopt a resolution implementing a low income assistance program for City water and sewer customers consisting of the following components: 15% rate reductions, one-time payment assistance, and hardware retrofit. DISCUSSION Backgrdund One of the key Council goals for 1991-93 is to develop a program to assist low-income customers afford City utilities (pages D-36 and D-109 of the 1991-93 Financial Plan). At their June 1, 1992 meeting, Council directed staff to prepare a low-income assistance program for water and sewer customers. The program will consist of three major components: 15010 rate reductions, one-time payment assistance, and hardware retrofits. Rate Assistance This portion of the program allows eligible customers to receive a 15010 reduction on their monthly utility bills for water and sewer charges. To qualify, customers will be required to provide written proof to the Finance Department that they receive one or more of the following: IN Aid to Families with Dependent Children (AFDC) IN Veterans and Survivors Pension Benefits IN Supplemental Security Income/State Supplement Payment (SSI/SSP) ■ Food stamps IN Participation in either the Gas Company's or PG&E's Rate Assistance Program. Once eligibility is established, we will complete a cover sheet for basic information (i.e. name, address, telephone number, social security number, and employer). A copy of the cover sheet will be forwarded to Water Conservation for review and scheduling of a home water consumption survey. The City's current utility billing system can accommodate this portion of the program without additional programming or other costs. i�l'��►�►i►VIIIIIIIIIIII°u'ml���lll city or San 1,.,S OBISPO Nii% COUNCIL AGENDA REPORT Assistance Fund This component is designed specifically for income-eligible customers experiencing difficulty in paying their utility bills. Implementation requires citizen participation in the form of contributions and an outside agency to qualify eligible customers. Donation cards will be mailed with utility bills to provide customers the opportunity to assist those less fortunate. The City will match citizen contributions up to $1,000 per year ($700 from the Water Fund and $300 from the Sewer Fund). This provides up to $2,000 annually to assist low-income customers. Two local agencies, Economic Opportunity Commission (EOC) and Salvation Army, currently administer similar programs for The Gas Company and PG&E. The City contacted both agencies to determine their interest in administering the City's program. Each agency was requested to submit a proposal outlining eligibility guidelines for qualifying customers for the program and the fee amount the agency will charge the City for providing this service. The proposals were reviewed and each agency was interviewed by a review team consisting of staff from the Administration, Finance, and Utilities Departments. It should be noted that the agency chosen will not be receiving the money donated by the citizens or the City. The agency will be interviewing customers and preparing documentation to determine if they qualify for one-time assistance from the fund. Once the agency has qualified a customer, the agency will contact the Finance Department who will make the appropriate accounting entries to ensure proper credit to the customer's account. For this service the agency will receive a nominal fee. While either agency, Salvation Army or EOC, is qualified to perform this service for the City, the review team recommends that EOC administer the City's Assistance Fund. This recommendation is based upon review of the proposals and the interview process with the deciding criteria as follows: I ♦ EOC provides more available time for customers to apply for the program. ♦ Due to the nature and variety of programs offered by EOC, there may be added convenience to the customer to receive information on other assistance programs. ♦ EOC offers in-home qualifying if customer is physically or mentally challenged. To cover their administrative costs, EOC will charge a flat fee of $5.00 for each eligible customer they process. The Economic Opportunity Commission will send approved documentation to the Finance Department who will make the proper credit adjustment to the customer's account. As such, the funding for this program will be retained by the City with EOC receiving a monthly payment for the number of eligible customers they qualified. ���n��►�►iN�llllllllll�► IIBIII MY Of San JS OBISPO COUNCIL AGENDA REPORT Retro-fit Assistance This portion of the program will involve close cooperation with the City's Utilities Department. Once a customer is receiving either Rate Assistance or Assistance Fund support, their utility account will be forwarded to Water Conservation for review and scheduling of a home water consumption survey. Based upon the survey results, Water Conservation may recommend that ultra low-flow toilets and showerhead and faucet restrictors be installed. In addition, information regarding water usage will be provided to the customer to help them with planning their daily water needs, including landscaping or irrigation. CONCURRENCES The Utilities Department concurs with the report recommendations. FISCAL IMPACT Based upon the matching contribution and administrative fee for the Assistance Fund, and the anticipated reduced revenue from the Rate Assistance Program, the impact on the water fund will be approximately $3,700 annually and on the sewer fund approximately $1,500 annually. These amounts are nominal and will have no major impact on either fund balance. SUMMARY One of the Council's key goals for 1991-93 has been to implement a program to assist low- income customers who have difficulty affording City utilities. The program that has been developed to address this need consists of a 15% rate reduction for customers receiving Federal and State aid, a one-time assist for customers who are experiencing financial difficulty and just need a little help, and assistance in retro-fitting and maintaining conservative water usage within their homes. ATTACHMENTS A. Resolution implementing a low income assistance program for City residents B. Agreement with the Economic Opportunity Commission to qualify eligible customers for low income assistance program Attachment.. . . . _ RESOLUTION NO. (1992 SERIES) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO IMPLEMENTING A LOW INCOME ASSISTANCE PROGRAM FOR CITY RESIDENTS WHEREAS, the City Council has adopted improving customer services as a key objective for 1991-93; and, WHEREAS, the City Council has identified the development of a program to assist low income customers in affording City utilities as a primary goal for 1991-93; and, WHEREAS, the City Council has directed that the program consist of a 15% rate reduction for customers receiving Federal and State aid, a one-time assist for customers who are experiencing financial difficulty, and assistance in retrofitting and maintaining conservative water usage within their homes; NOW THEREFORE, the City Council of the City of San Luis Obispo finds and resolves that a program to assist low income customers which consists of Rate Assistance, Retro-fit Assistance, and an Assistance Fund be established. Upon motion of , seconded by and on the following roll call vote: AYES: NOES: ABSENT: the foregoing resolution was adopted this day of 1992. Mayor Ron Dunin ATTEST: Diane Gladwell, City Clerk APPROVED: City ministrative Officer Director of Finance *' o ey Director of Utilities Attachment PROFESSIONAL SERVICES AGREEMENT TO QUALIFY ELIGIBILE CUSTOMERS FOR LOW INCOME ASSISTANCE PROGRAM This agreement is made this 6th day of October, 1992 by and between the CITY OF SAN LUIS OBISPO, California (hereinafter referred to as "City"), and the Economic Opportunity Commission, (hereinafter referred to as "Contractor"). WITNESSETH: WHEREAS, the City desires to retain the services of the Contractor to qualify eligible customers to obtain assistance from the Low Income Assistance Fund; and WHEREAS, City desires to engage Contractor to provide these services by reason of its qualifications and experience for performing such services, and Contractor has offered to provide the requested services on the terms and in the manner set forth herein. NOW THEREFORE, in consideration of their mutual covenants, the parties hereto agree as follows: 1. PROGRAM COORDINATION: A. CITY. The Director of Finance or designated representative shall be the Program Manager representing the City for all purposes under this agreement. He shall supervise the progress and execution of this agreement. B. CONTRACTOR. Contractor shall assign a single Program Manager to have overall responsibility for the progress and execution of this agreement for Contractor. 2. DUTIES OF CONTRACTOR: A. Services to be furnished. The Contractor shall provide the services as described in Exhibit B. B. Laws to be observed. Contractor shall: 1. Procure all permits and licenses, pay all charges and fees, and give all notices which may be necessary and incidental to the due and lawful prosecution of the services to be performed by contractor under this agreement; 2. Keep itself fairly informed of all existing and proposed federal, state and local laws, ordinances, regulations, orders, and decrees which may affect those engaged or employed under this agreement, and materials c-r-4 used in Contractor's performance under this agreement, or the conduct of the services under this agreement. 3. At all times observe and comply with and cause all of its employees to observe and comply with all of said laws, ordinances, decrees and orders mentioned above. C. Release of reports and information. Any reports, information, data or other material given to, or prepared or assembled by, Contractor under this agreement shall be the property of City and shall not be made available to any individual or organization by Contractor, except in fulfillment of Contractor's duties under law or under this agreement. D. Qualifications of Contractor. Contractor represents that it is qualified to furnish the services described under this agreement. 3. DUTIES OF THE CITY: City agrees to cooperate with Contractor in its performance of work. 4. COMPENSATION: Pricing for these services will be as stated in Exhibit B. 5. TERM OF CONTRACT: This contract shall be for a period of one year with the option to renew on an annual basis. 6. TERMINATION: The City retains the right to terminate this agreement for any reason with or without cause by notifying the Contractor in writing thirty (30) days prior to termination and by paying the compensation due and payable to the date of termination. 7. INSPECTION: Contractor shall furnish City with every reasonable opportunity for City to ascertain that the services of Contractor are being performed in accordance with the requirements and intentions of this agreement. All work done and all materials furnished, if any, shall be subject to the City Program Manager's inspection and approval. The inspection of such work shall not relieve Contractor of any of its obligations to fulfill its agreements as prescribed. 8. ASSIGNMENT: This agreement is for the performance of qualifying City customers for the Low Income Assistance Fund and is not assignable by the Contractor without prior written consent of the City. 9. NOTICE: All notices hereunder shall be given in writing and mailed, postage prepaid, by Certified Mail, addressed as follows: To City: Director of Finance City of San Luis Obispo P. O. Box 8100 San Luis Obispo, CA 93403-8100 To Contractor: Executive Director Economic Opportunity Commission 880 Industrial Way San Luis Obispo, CA 93406 10. INTEREST OF CONTRACTOR: Contractor covenants that it presently has no interest, and shall not acquire any interest, direct or indirect, financial or otherwise,which would conflict in any manner or degree with the performance of the services hereunder. Contractor further covenants that, in the performance of this agreement, no subcontractor or person having such an interest shall be employed. Contractor certifies that no one who has or will have any financial interest under this agreement is an officer or employee of the City. It is expressly agreed that, in the performance of the services hereunder, Contractor shall at all times be deemed an independent contractor and not an agent or employee of the City. 11. INDEMNITY: Contractor hereby agrees to indemnify and save harmless City, its officers, agents and employees from: A. Any and all claims and demands which may be made against City, its officers, agents or employees by reason of any injury to or death of any person or corporation caused by an negligent act or omission of Contractor under this agreement or of Contractor's employees or agents. B. Any and all damage to or destruction of the property of City, its officers, agents or employees, occupied or used by or in the care, custody or control of Contractor, or in proximity to the site of Contractor's work, caused by any 2- 7-9 negligent act or omission of Contractor under_ this agreement or of Contractor's employees or agents. C. Any and all claims and demands which may be made against City, its officers, agents or employees by reason of any injury to or death of or damage suffered or sustained by any employee or agent of Contractor under this agreement, however caused, excepting, however, any such claims and demands which are the result of the negligence or willful misconduct of City, its officers, agents, or employees. D. Any and all claims and demands which may be made against City, its officers, agents, or employees by reason of any infringement or alleged infringement of any patent rights or claims caused by the use of any apparatus, appliance, or materials furnished by Contractor under this agreement; and E. Any and all penalties imposed or damages sought on account of the violation of any law or regulation or of any term or condition of any permit, when said violation of any law or regulation or of any term or condition of any permit is due to negligence on the part of the Contractor. 12. WORKERS COMPENSATION: Contractor certifies that it is aware of the provisions of the Labor Code of the State of California,which require every employer to be insured against liability for workers compensation or to undertake self-insurance in accordance with the provisions of that code, and it certifies that it will comply with such provisions before commencing the performance of the work in this agreement. 13. INSURANCE: Contractor shall provide proof of insurance in accordance with Insurance Requirements for Consultants as described in Exhibit "A" attached hereto and incorporated herein by reference as though fully set forth. 14. AGREEMENT BINDING: The terms, covenants, and conditions of this agreement shall apply to, and shall bind, the heirs, successors, executors, administrators, assigns, and subcontractors of both parties. 15. WAIVERS: The waiver by either party of any breach or violation of any term, covenant, or condition of this agreement or of any provision,. ordinance, or law shall not be deemed to be a waiver of any subsequent breach or violation of the same or of any other term, covenant, condition; ordinance, or law. The subsequent acceptance by either party of any fee or other money which may become due hereunder shall not be deemed to be a waiver of any preceding breach or violation by the other party of any term, covenant, or condition of this agreement or of any applicable law or ordinance. 16. COSTS AND ATTORNEY'S FEES: The prevailing party in any action between the parties of this agreement brought to enforce the terms of this agreement or arising out of.this agreement may recover its reasonable costs and attorney's fees expended in connection with such action from the other party. 17. DISCRIMINATION: No discrimination shall be made in the employment of persons under this agreement because of race, color, national origin, ancestry, religion, sexual orientation, or sex of such person. If Contractor is found to be in violation of the nondiscrimination provisions of the State of California Fair Employment'Practices Act or similar provisions of federal law or executive order in the performance of this agreement, it shall thereby be found in material breach of this agreement. Thereupon, City shall have the power to cancel or suspend this agreement, in whole or in part, or to deduct from the amount payable to Contractor the sum of Twenty-Five Dollars ($25) for each person for each calendar day during which such person was discriminated against, as damages for said breach of contract, or both. Only a finding of the State of California Fair Employment Practices Commission or the equivalent federal agency or officer shall constitute evidence of a violation of contract under this paragraph. If Contractor is found in violation of the nondiscrimination provisions of this agreement or the applicable affirmative action guidelines pertaining to this agreement, Contractor shall be found in material breach of this agreement. Thereupon, City shall have the power to cancel or suspend this agreement, in whole or in part, or to deduct from the amount payable to the Contractor the sum of Two Hundred Fifty Dollars ($250) for each calendar day during which the Contractor is found to have been in noncompliance as damages for said breach of contract, or both. 18. AMERICANS WITH DISABILITIES ACT Subject to the provisions of state and federal law, no qualified individual with a disability shall, by reason of such disability, be excluded from participation in or be denied the benefits of the services, programs, or activities of the City of San Luis Obispo or be subjected to discrimination by the City of San Luis Obispo. 18. AGREEMENT CONTAINS ALL UNDERSTANDINGS This document represents the entire and integrated agreement between City and Contractor and supersedes all prior negotiations, representations, or agreements, either written or oral. This document may be amended only by written instrument, signed by both City and Contractor. All provisions of this agreement are expressly made conditions. This agreement shall be governed by the laws of the State of California. IN WITNESS WHEREOF, City and Contractor have executed this agreement on the day and year first above written. ECONOMIC OPPORTUNITY COMMISSION: Elizabeth Steinberg Executive Director CITY OF SAN LUIS OBISPO Mayor Ron Dunin ATTEST: City Clerk, Diane Gladwell APPROVED: City A ministrative Officer Director of Finance for y Director of Utilities Exhibit INSURANCE REQUIREMENTS Consultant 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 Consultant, his agents, representatives,employees. Minimum Scope of Insurance Coverage shall be at least as broad as: 1. Insurance Services CYcs Commercial General Liability coverage (occurrence form CG 0001). 2. Insurance Services C"ice 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. Mnimum Urnits of Insurance Consultant 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 shalt apply separately to this project/location or the general aggregate limit shall be Ivies the required occurrence limit. 2. Automobile Liability: S1,000,000 per accident for bodily injury and property damage. 3.. Employer's Liability: S1,000,000 per accident for bodily injury or disease. 4. Errors and Omissions Liability: S1,000,000 per occurrence. Deductibles and Seff-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 Consultant 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 Consultant; products and completed operations of the Consultant; premises owned, occupied or used by the Consultant; or automobiles owned, leased, hired or borrowed by the Consultant. 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 Consultant'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 Consultant's insurance and shall not contribute with it 3 Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the City, its officers, officials, employees, agents or volunteers. 4. The Consultant'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. 5. Each insurance polity required by this clause shall be endorsed to state that coverage shall not be suspended,voided, cancelled 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. Acceotabilltv of Insurers Insurance is to be placed with insurers with a current A.M. Best's rating of no less than AMI. Verification of Coverage Consultant shall.furnish the City with original endorsements effecting coverage required by this clause. 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. Exhibit EE 880 INDUSTRIAL q.A} SAX LUIS OBISPO CALIFORNIA 93401 ECONOMIC OPPORTON'n ECONOMIC OPPORTUNITY COMMISSION COMMISSION . SINCE 1965 OF SAN LUIS OBISPO COUNTY, INC. 18051544.4355 880 Industrial Way San Luis Obispo, CA 93401 "Providing Community Action Programs to San Luis Obispo County Since 1965" PROPOSAL For Administration of Low-Income Utility Assistance Program for City of San Luis Obispo 1. The Economic Opportunity Commission will furnish documentation of client eligibility for the purpose of the city's utility assistance program. Each client file will contain: A. Copies of eligibility criteria B. Intake Application C. Copy of water bill and shut-off notice. 2. Client Eligibility Criteria: EOC currently uses the Department of Economic Opportunity's Federal low- income poverty guidelines. These income guidelines can be used per the discretion of the City. We have attached a copy of the guidelines for your review. These guidelines also allow flexibility for Seniors and/or the handicapped under the 150% or 200% rule. 3. EOC will contact the City Water Dept. to confirm eligibility. 4. Applications will be accepted Mondays through Fridays from 9am to 3pm. •Child Care Resource Connection•Eme7nn•Senices•Enemy Conservation•U•eatherimrion Services• •Familr Planning Senices•Head Start•Homeless Shelter.Migrant Child Care•Senior Health Screening•Teen Parenting Program i UmCetl Way -?F-!3 5. All information, statistics and documents pertaining to the identity of our clients, their household income and other related information obtained through client's participation in any and all of our low-income programs shall be held in the strictest of confidence and shall be used solely for the purpose of providing utility assistance. 6. An Energy and Water Conservation package can be given to each applicant regardless of eligibility. (See attached) 7. Administration Fee: A. An Administration Fee of $5.00 per eligible client intake and documentation will be charged to the City. B. It is estimated that the average assistance will be $100.00. Based on the budget of $2,000.00, we should serve between twenty (20) and thirty (30) clients.