HomeMy WebLinkAboutExhibit 1PLORIDA DEPARTMHKf oP
ALT
STATE OF FLORIDA
DEPARTMENT OF HEALTH
BUREAU OF CHILDCARE FOOD PROGRAMS
Child Care Food Program (CCFP)
Permanent Contract
IDENTIFICATION OF CONTRACTING PARTIES: This Permanent. Contract (Contract)
is entered into consistent with the terms and representations provided in the
Contractor's application requesting participation' in the Child Care Food Program
(CCFP), The Contract is therefore, under those conditions, executed by:
The State of Florida
Department of Health
Bureau of Childcare Food Programs
(Departme.nt)
BIN #A-17, 4052 Bald Cypress Way, Tallahassee, Florida 32399-1727
with
The Contractor Identified on Page 16 of This Contract
Contractors shall maintain this Contract with their CCFP records. Contractors are
required to retain most CCFP records f {o beleast
eta sthree
ed longeryears
. Records related to atermination n
the
Program. Certain records are required
ongoing audit must be retained until the audit is complete, even if longer than the
standard retention period.
3-035-1 1
Revised 6/2011
CHILD CARE FOOD PROGRAM
PERMANENT CONTRACT
TABLE OF CDNTENTS
IDENTIFICATION OF CONTRACTING PARTIES 1
3
CONTRACTOR ENCOURAGED TO SEEK LEGAL COUNSEL
3
I. THE CONTRACTOR AGREES TC: 3
A. PROVIDE SERVICES IN ACCORDANCE WITH CONTRACT 3
B. ACCEPT FINAL ADMINISTRATIVE AND FINANCIAL RESPONSIBILITY 3
C. COMPLY WITH GOVERNING LAWS, RULES, REGULATIONS, AND POLICIES D. MAINTAIN AND ALLOW AUTHORIZED ACCESS TO ALL RECORDS OF CCFP OPERATIONS 3 4
E. PROVIDE REQUIRED AUDIT RECORDS 5
F. PROPERLY DISBURSE CCFP REIMBURSEMENT FUNDS RECEIVED 6
G. • SUBMIT DOCUMENTS TO THE DEPARTMENT 6
H. OBTAIN PRIOR DEPARTMENTAL APPROVAL OF CONTRACTORS OPERATIONS 7
I. MONITORING, COMPLIANCE AND REVIEW PROCEDURES 8
J. DEPARTMENT AUTHORITY TO SEEK OTHER ACTIONS AT LAW 8
K. INDEMNIFICATION 8
L. ASSIGNMENTS AND SUBCONTRACTS 8
M. CONDITION FOR RECEIPT OF FEDERAL FUNDS 9
N. MEET ADDITIONAL REQUIREMENTS TO MAINTAIN PARTICIPATION IN CCFP 9
O. CONDITIONS FOR RETURN OF FUNDS 10
P. PROCEDURES FOR DISALLOWANCE OF PROGRAM PAYMENTS 10
Q. INDEPENDENT CAPACITY OF THE CONTRACTOR 10
R. TRAINING AND SECURITY 10
S. DESIGNATION OF NON -PRICING OR PRICING POLICY 1 0
T. MEET ADDITIONAL REQUIREMENTS WHEN SERVING AS A SPONSOR 121
U. CONTRACT AMENDMENT PROCEDURES 12
V. FOOD SAFETY AND SANITATION REQUIREMENTS
12
II. THE DEPARTMENT AGREES TO' 12
A. PROVIDE AUTHORIZED REIMBURSEMENT 12
B. PROVIDE REQUIRED PROCEDURE FOR REVIEW OF ADMINISTRATIVE ACTION 12
C. CONDUCT PERIODIC INSPECTION AND REPORTS 12
D. SPECIFY IN WRITING WHEN RESPONSE TO DEFICIENCIES ARE DUE 12
E. NOTIFY CONTRACTOR OF DECISION IN WRITING
13
III. THE DEPARTMENT AND THE CONTRACTOR MUTUALLY AGREE 13
A. DEFINITION OF TERM 13
B. EFFECTIVE AND ENDING DATES 13
C. CONTRACT IS LEGAL BINDING AGREEMENT 13
D. CONDITIONAL CONTRACT 13
E. PROCEDURES AND NOTICES SENT TO CONTRACTORS ADDRESS OF RECORD 14
F. RESPONSIBILITY TO OBSERVE ALL GOVERNING LAWS 14
G. NON -WAIVER 14
H. CONTRACTOR'S NOTIFICATION OF RESPONSIBLE PARTIES 14
I. CONDITIONS OF TERMINATION J. ENFORCEMENT 14
14
K. EXCLUSIVE VENUE PROVISION 5
15
L. ENTIRE CONTRACT; AMENDMENTS 15
M. CONSTRUCTION OR INTERPRETATION OF CONTRACT
16
SIGNATURE PAGE
ATTACHMENTS: 7
7
COMMON EXAMPLES OF SERIOUS DEFICIENCIES- 1
� -
2
SERIOUS DEFICIENCY PROCESS AND ADMINISTRATIVE REVIEW PROCEDURES 22
FINANCIAL AND COMPLIANCE AUDITS
Revised 6/2011
2
CHILD CARE FOOD PROGRAM
PERMANENT CONTRACT
THIS .PERMANENT CONTRACT is entered into between the State of Florida, Department of Health,
(Department) administering the United States Department of A ri udarSe tStDA) Child
and know andAdudult t Care
Food
o Care Program
(CFDA# 10.558), codified in Florida at Section 383.011(1)(1),
Fl,00d
Contract shall su esedera l p aev ousecommunications,nrpre ent tons ncontracts, opaagegreements, eCitohnetrr
verbalhor.
Contrac P
written between the parties.
THE PARTIES AGREE:
CONTRACTOR ENCOURAGED TO SEEK LEGAL COUNSEL
tor and the
1 • This CCFP Permanent
Contract
affect the Contractor's lng rightsand responsibilreement ities es under Florida law. It its
Department. Enterlyg into this Contract y
therefore most likely that the Contractor will have individual legal concerns that are best addressed by an attorney
representing that Contractor's interests.
2. The Department is not permitted to nor will it provide legal advice regarding this Contract. The
ons, arid
Contract. The Departmented to may describe
advise se the Contractor as to. thee various terms, Contractor's right ons of
the Irements Contract's within•the
Css of the
provisions,
P
provisions, No verbal representations regarding this lemented tract conlsist have nt with the t ems offorce or effct g thiseCorit act, source of
that representation unless reduced to writing and imp
3, Violation of the terms of this Contract could lead to disqualification. If a contractor falsifies
e or fraudulent claim and a
program drecords, suchtra. A violatis ion ofa Progered ram lssion of a requ requirement is also a violation of this Contract. us violation of the
In each instance if
CCFP and this Contract. A
the violation is proven such action may result in disqualification from the Program for seven years.
1, THE CONTRACTOR AGREES TO:
A. PROVIDE SERVICES IN ACCORDANCE WITH CONTRACT
Provide services in accordance with this Contract and governing state and federal law, and to comply with
any state or federal rules, regulations, instructions, policies, procedures, and manuals used by the Department in its
administration of the CCFP.
ACCEPT FINAL ADMINISTRATIVE AND FINANCIAL RESPONSIBILITY
Accept final administrative and financial responsibility for total CCFP operations governed by this Contract.
C ' COMPLY WITH GOVERNING LAWS, RULES, REGULATIONS, AND POLICIES
1, The terms and conditions of this Contract, including Attachments-1, 2 and 3 to this Contract and all
applicable rules, regulations, instructions, policies, procedures and manuals,
2. Florida Law. This Contract is executed and entered into in the State of Florida, and shall be
construed, performed, and enforced in all respects in accordance with the laws, rules, and regulations of the State of
Florida.
3. Florida Department of Health, Bureau of Childcare Food Programs (CCFP) manuals and guides,
as though fully set forth herein, with which the Contractor hereby agrees to comply as a condition of this Contract.
The Contractor shall comply with the following manuals and guides as applicable: the. Procedure Manual for
Sponthe Procedure Manual for
sors of Unaffiliated Centers; the
of Affiliated Centers; the Procedure uManual for Independent Chiiildre Manual for Sponsors of yCare CenteCare rs; the Procedure Manual for
Apesto
Afterschool Snack Programs; the Financial Management Guide; A Guide rrindgi Contractd�Guidan Guidance;nfants Prospective
in the
Child Care Food Program; the Eligibility Guide for Child Care Centers; Cate
Contractor Training for Child Care Centers; Prospective Contractor Training for the
eAfterSC oolht Respiooni Program;
or
Prospective Contractor Training for the Homeless Children Nutrition Program; Sponsor
Sponsors of Day Care Homes; Sponsor Oversight Responsibilities for Sponsors of Unaffiliated Child Care Centers;
Sponsor Oversight Responsibilities for Sponsors of Afterschool Nutrition Programs; and Sponsor Oversight
Responsibilities for Sponsors of Homeless Children Nutrition Programs,
4. Federal Law
a. As though fully set forth herein, all CCFP rules, regulations; instructions, policies, procedures and
manualsding
,Titleused by the Department in its
of Federal Regulations Part administration
and Adult Food Programrited to "; OfficeofManagement e lons
and
Budget
Title
"Cost Prinlar A-21, "Cost ciples for State, Local,rnles for d Indian Tribal Governments"; Office of Management and BBudget Circular A-87,
udget Circular A-122,
C P
"Cost Principles for Non -Profit Organizations"; Office of Management and Budget Circular A-133, "Audits of States,
J
Revised 6/2011
Local Governments, and Non -Profit Organizations"; USDA Food and Nutrition Service Instruction 796-2, Revision 3
and subsequent revisions; Title 7 Code of Federal Regulations Part 3015, "Uniform Federal Assistance Regulations";
and Title 7 Code of Federal Regulations Part 3016, "Uniform Administrative Requirements. For Grants And
Cooperative Agreements To State And Local Governments'; Title 7 Code of Federal Regulations Part 3019,
"Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals,
and Other Non -Profit Organizations"; and Title 7 Code of Federal Regulations Part 3052, "Audits of States, Local
Governments, and Non -Profit Organizations.''with Title VI of the Civil Rights Act of
b. The Contractor herebyagrees and assures that it will comply
1964 (42 U,S.0 §2000d et seq.) Title IX of the Education Amendments of 1972, (20 U.S.C. §1681 et seq.) as
omination Act
f 1975, Section 504.1 the seq) Rehabilitation
amended, and 973, al9 requirements §794) as amended, imposed by theeAge regulations of the U.S.
alU.S.C. et seq.)
Department of Agriculture (Title 7 Code of Federal Regulations Part 1.5); Department of Justice Enforcement
Guidelines, (Title 28 Code of Federal Regulations Part S0.3, 42 and 50); and USDA, Food and Nutrition Service
Statesysh orU, on thes issued ursuant o that Act and the nationalns, to the effect that, no rson in the ground or activity for which the
denied the benefits of, or be otherwise subject to discrimination under any program
Contractor received Federal financial assistance from USDA; and hereby gives assurance that it will immediately
take any measures necessary to fulfill this Contract. Contractors who are also sponsors further agree to ensure
compliance with these requirements at each of their sponsored facilities.
(1) This assurance is given In consideration'of and for the purpose of obtaining any and all federal
e
assistance, , grants and loans
the detail of federal personnel, the (sale anddlease ofgrant
and the permission federal to use
property and interest in eroperty,
federal property or interest in such property, or• the furnishing of services without consideration or at a nominal
consideration, or at a consideration which is reduced for the purpose of assisting the recipient, or in recognition of
the public interest to be served by such sale, lease, or furnishing of services to the recipient, or any improvements
made with federal financial assistance extended to the Contractor by the USDA.
(2) This assurance also incorporates any federal agreement, arrangement, or other contract which
has as one of its purposes the provision of cash assistance for the purchase of food, and cash assistance for
purchase or rental of food service equipment or any other financial assistance extended in reliance on the
representations and agreements made in this Contract,
(3) By executing this Contract, the Contractor agrees to compile data, maintain records, and
submit reports as required to permit effective enforcement of nondiscrimination laws and permit authorized USDA
personnel during hours of program operation to review such records, books, and accounts as needed to ascertain
compliance with the nondiscrimination laws. If there are any violations of this assurance, the USDA, Food and
Nutrition Service shall have the right to seek judicial enforcement of this assurance. This assurance is binding on the
Contractor, its successors, transferees, and assignees as long as It receives assistance or retains possession of any
assistance from USDA. The person or persons whose signatures appear on this Contract are authorized to sign this
assurance on the behalf of the Contractor.
c. If reimbursements paid to the Contractor exceed $100,000, the Contractor shall comply with all
applicable standards, orders, or regulations issued under Section 306 of the Clean Air Act, as amended (42 U.S.C.
1857(h) et seq.), Section 508 of the Clean Water Act, as amended (33 U:S.C. 1368 et seq,), Executive Order 11738,
and Environmental Protection Agency regulations (40 CFR Part 15), The Contractor shall report any violations of the
above to the Department. If reimbursements paid to the Contractor exceed $100,000, the Contractor's execution of
this Contract shall serve as its certification that it will not and has not used CCFP 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 this Contract pursuant
to Title 31 United States Code Section 1352.
d. The Contractor shall not employ unauthorized aliens.
(1) The Contractor agrees to use the U.S. Department of Homeland Security's E-Verify system,
https•//e-verify uscis.govlemp, to verify the employment eligibility of:
(a) All persons employed during the Contract term by the Contractor to perform
employment duties within Florida;
(b) All persons (including subcontractors) assigned by the Contractor to perform work
pursuant to this Contract;
(2) The •Department shall consider employment of unauthorized aliens a violation of Section
274A(e) of the Immigration and Naturalization Act.
e. The Contractor shall comply with the Pro -Children Act of 1994, Public Law 103-277, which requires
that smoking not be_ permitted in any portion of any indoor facility used for the provision of federally funded services
including health, child care, early childhood development, education or library services on a routine or regular basis,
to children up to age 18. Failure to comply with the provisions of the law may result in the imposition of civil
monetary penalty of up to $1.000 for each violation and/or the imposition of an administrative compliance order on
the responsible entity.
D. MAINTAIN AND ALLOW AUTHORIZED ACCESS TO ALL RECORDS OF CCFP OPERATIONS
1... . To establish and maintain books, records, and documents (including electronic storage media) in
accordance with generally accepted accounting procedures and practices that sufficiently and properly reflect all
revenues and expenditures of funds provided by the Department under -this Contract.
2. To maintain its current month's and prior 12 month's records of CCFP claims and reports in
separate monthly file folders containing an original of all receipts and an original or copy of all other monthly records
Revised 6/2011
supporting the Contractor's CCFP claim for each designated month. These records shall be available for review,
audit, and copying at the Contractor's operational location within one hour of written or verbal request.
3. To retain all program related records, financial records,
supportingis ing dooumenntract fonts s,p statistical
irecor s,
and any other documents (including electronic storage media) pertinent
3)
years after expiration or termination of this Contract, or if an audit has been initiated and audit findings.have not been
resolved at the end of three (3) years, the records shall be retained until final resolution of the audit findings or any
litigation relating to the audit findings or any action subject to administrative review. Any records retained, regardless
of the lime retained, shall be subject to inspection, copying,audit, and review. If the Contractor is a day care home
sponsor that Contractor must retain records for all disqualified day care home providers for. 10 years after
disqualification.
4. Upon expiration or termination of this Contract and at the request of the Department, the
Contractor will cooperate with the Department to facilltate the duplication and transfer of any said records or
documents during therequired retention period as specified in subparagraph 3 of this section. The Contractor
agrees to maintain the records for the requisite period, even if this Contract is terminated or if the Contractor has
ceased operations.
5. To ensure that all records shall be available for copying, inspection, review, or audit, during any
hours that the Contractor is open for business, but at minimum between the hours of 8 a.m. and 5 p.m.
a. Ensure that all records applicable to the current month and prior 12 months of operation are
available on -site, in paper form, for inspection, copy, review, or audit.
b. Maintain all CCFP records at the site at which the Contractor Provides program e record mas ained servicr at
the•Contractor's sponsoring organization office, as appropriate the type
c. Provide access to records within one hour of formal request to:
(1) Employees of the Department, United States Department of. Agriculture, Florida
Department of Law Enforcement, Florida Department of Financial Services , Division of Public Assistance Fraud,
and Early Learning Coalitions upon presentation of appropriate photo identification; and -
(2) Other authorized individuals who the Department designates in writing upon presentation
of that designation and proper photo identification.
6. Permit employees of the Department, United States Department of..Agriculture, Florida Department
of Law Enforcement, or Florida Department of Financial Services, Division of Public Assistance Fraud to take
physical possession of any CCFP records, or equipment containing such records and any other records maintained
on equipment used in the. CCFP, upon presentation. of photo identification.
7. Upon presentation of appropriate photo identification, the Contractor shall grant appropriately
designated individuals full access to all program related records, financial records, supporting documents, statistical
records, any of the Contractor's contracts and any other documents (including electronic storage media) pertinent to
this Contract, regardless of the form in which kept, at all reasonable times, and all reasonable places, for as long as
records are retained. Individuals granted access pursuant to the terms of this Contract and this provision shall
include employees of the Department, those individuals authorized in writing by the Department, personnel of the
United States Department of Agriculture, Florida Department of Law Enforcement, Florida Department of Financial
Services, Division of Public Assistance Fraud, representatives of Early Learning Coalitions, and federal auditors
pursuant to Title 45 Code of Federal Regulations, Part 92.
E PROVIDE REQUIRED AUDIT RECORDS
. 1. A not -for -profit organization or non-federal governmental entity that expends Federal awards,
including CCFP reimbursements, of $500,000 or more in its fiscal year, shall assure that a single or program -specific
audit is -conducted in accordance with the provisions of Office of Management and Budget Circular A-133, as
revised: _The Contractor agrees to; t P� P A t� I must mot accordance
a. Annually'complete a determination regarding which audit requirement_ i. must meet in
with Office of Management and Budget Circular A-133, as revised;
b. When an audit is required, ensure that the audit is ordered and completed consistent with the
requirements of Office of Management and Budget Circular A-133, as revised, and Attachment 3 to this Contract;
c. Submit copies of audit reports for audits conducted in accordance with Office of Management and
Budget Circular A-133, as revised, , whether required or voluntary, to the Department according to the requirements
stated in Attachment 3 to this Contract.
2. In connection with the audit requirements addressed in subparagraph 1 of this section, the
Contractor shall fulfill the requirements relative to auditee responsibilities as provided in Subpart C of Office of
Management and Budget Circular A-133, as revised as though fully set forth herein, and shall make all records
relating to the audit, including but not limited to accountant work papers and findings; available to the Department for
inspection and copying.
F. PROPERLY DISBURSE CCFP REIMBURSEMENT FUNDS RECEIVED
1, Use CCFP reimbursement funds only to pay for allowable CCFP costs;
2. Pay all supplier or subcontractor invoices, for CCFP claimed costs, by the earlier of payment due
date or within five business days after receipt of CCFP reimbursement; and
3. If it is a sponsor of day care homes or sponsor of unaffiliated child care centers, disburse
reimbursements to sponsored facilities within five business days of receipt of reimbursement from the Department.
The date the sponsor receives the direct deposit notice or check in the mail is the date reimbursement is considered
received from the Department.
Revised 6/201 1
5
G. SUBMIT DOCUMENTS TO THE !DEPARTMENT
1. In addition to any documents required to be submitted to the Department in compliance with state
and federal law, the Contractor agrees to submit any receipts,. invoices; documentation, or other evidence that the
Department in Its sole discretion deems necessary to evaluate the validity of any and all claims for reimbursement
submitted by the Contractor, . Such requirementfor documentation may also require the Contractor to submit
documentation prior to payment of any claim; any claim or portion thereof that is not supported by documents
requested by the Department in writing shall be disallowed.
2, The Contractor shall provide any and all information requested by the Department which the
Department deems necessary in its sole discretion to evaluate an application to participate in the CCFP or an
application to renew its participation in the CCFP or to evaluate a Contractor's performance in the CCFP, including
but not limited to, documents which the Department determines are necessary to evaluate the applicant's or the
Contractor's financial viability, administrative capability and program accountability.
3. The Contractor shall provide written notice to the Department within five business days of;
a. Any change to the Contractor's official mailing address to which at legal notices and other
correspondence shall be directed. The Contractor shall be bound by all records mailed to that address for purposes
of enforcement proceedings regarding this Contract;
b. Any change to the Contractor's street address (physical location) where CCFP services are being
provided;
c. Any change in the Contractor's Federal Employer Identification Number (FEIN) or legal name or
doing -business -as (DBA) name;
• d. Any change in the Contractor's responsible principals and responsible individuals certification.
This written notice shall include:
(1) Notification of any change in a previously identified principal's or individual's status that
would render that person unqualified to continue to serve.
(2) Notification of any convictions of a Contractor's responsible principals or responsible
individuals (any person who holds a management position with the Contractor, owners, officers or members of the
board of directors) for crimes indicating a lack of business integrity. Such designated crimes shall include fraud, -
antitrust violations, embezzlement, theft, forgery, bribery, falsification or destruction of records, making false
statements, receiving stolen property, making false claims, obstruction of justice, tax evasion., tax fraud, failing to file
tax returns, passing worthless checks,. submission of false or fraudulent information to a state or federal agency, and
perjury or any other activity indicating a tack of business integrity; and
(3) The Contractor's proposed personnel change to remove or otherwise disqualify the
principal(s) and/or responsible individual(s) from participation in the CCFP.
4. For the purpose of annual certification of continued participation in the Program, the Contractor
shall:
a. Submit to the Department information required pursuant to CCFP regulations;
b. Submit to the Department, upon request, additional records and information the Department
deems necessary to substantiate the Contractor's continued eligibility to participate in the CCFP for the corning year
or;
c. If the Contractor chooses not to comply with the annual certification requirements, voluntarily
withdraw from the CCFP by the date specified by the Department unless currently under a Notice of Serious
Deficiency. to comply with annual certification
will
in non -punitive ie terrminat on of hi C Contract without appeal,requirements un ess currently under a Notice of Serious De i ecncy result
H. OBTAIN PRIOR DEPARTMENTAL APPROVAL OF CONTRACTOR'S OPERATIONS
1. A Contractor serving as a CCFP sponsor of any facility with which the Contractor has no affiliation
shall obtain prior written approval from the Department for all salaries and benefits funded by CCFP
reimbursements. Salaries and benefits must be reasonable, prudent, and necessary for the furtherance of the CCFP
in addition to being in compliance with federal law. The reasonableness of salaries and benefits shall be determined
by the Department after its review of the Contractor's operations or anticipated operations and shall not exceed
those salaries and benefits generally made available to non-profit corporation employees and officers in the same
geographical area for similar services. The determination of reasonable, prudent, and necessary salaries and
benefits shall be at the Department's sole discretion.
2. A Contractor serving as a CCFP sponsor of any facility with which the Contractor has no affiliation
Shall not employ staff or officers or directors who are related by blood or marriage. without the prior written approval
of the Department. Any such approval will be granted only upon written documentation of extraordinary
circumstances and shall only be granted for the shortest period of time necessary to address the justifying
circumstances.
3• The Contractor shall submit budgets and budget amendments that are reasonable, prudent,
necessary, and allowable in accordance with Food and Nutrition Service (FNS) Financial Management Instruction
796-2, Revision 3 and subsequent revisions, for the furtherance of the CCFP. The determination of reasonable,
prudent, necessary, and allowable budget items and amounts shall be at the Department's sole discretion. All
budgets and budget amendments shall require the Department's prior written approval. No more than four budget
amendments may be filed in any federal fiscal year unless the Contractor is able to show good cause why additional
amendments' are required due to expenses that could not be reasonably anticipated and handled through the
allowed number of amendments. The determination of good cause shall be at the Department's sole discretion.
4. The Contractor shall comply with program meal requirements as specified by 7 CFR §226.20.
Failure to meet Program specifications shall subject .the Contractor to issuance of a warning letter, require the
Contractor provide e corrective action plan, subject the Contractor to additional documentation required (ADR)
claims procedures, Notice of Serious Deficiency, proposed termination, and disqualification.
Revised 6/2011
6
5. Contractors providing services in accordance with this Contract hereby agree that they shall not
during that same period provide services to CCFP contractors or facilities as a registered caterer with the Florida
Department of Health. _ Contractors attempting to simultaneously perform services under this Contract and also as a
registered caterer with the Florida Department of Health shall be In violation of the terms of this Contract and may be
subject to disqualification.
.6. Contractors agree that they shall not assign or pledge current or future CCFP operational
reimbursement funds or equipment procured with CCFP funds as collateral of any kind for a loan, line of credit, or for
a repayment plan for unpaid debts.
1. MONITORING, COMPLIANCE AND REVIEW PROCEDURES
1, The Contractor agrees to submit 10 monitoring, compliance reviews and subsequent administrative
and criminal penalties that may apply, to include:
a. Reviews of audits conducted in accordance with Office of Management and Budget Circular A-133,
es revised; and
b. Monitoring procedures by the Department that may include, but are not limited to, on -site visits by
Department staff or contracted entities .on behalf of the Department, limited scope audits as defined by Office of
Management and Budget Circular A-133, as revised, and/or other procedures or audits deemed necessary in the
sole discretion of the Department to evaluate program operations.
2. The Contractor agrees to comply and cooperate with any: .
a. Monitoring procedures/processes deemed appropriate by the Department;
b. Additional instructions provided by the Department to the Contractor upon the Department's
determination that an audit or alimited scope audit of the Contractor is appropriate; and
c. Inspections, reviews, investigations, or audits deemed necessary by the Department, or -the State
of Florida's Comptroller or Auditor General.
3.. • Any Contractor serving as a CCFP sponsor shall monitor each sponsored facility and ensure its
compliance. with the requirements of state and federal rules, regulations, policies, instructions, procedures, and.
manuals: , Contractor personnel responsible for monitoring must carry photo identification demonstrating .their
relationship to the sponsoring organization and present .it upon request.
4. Regarding inspections and regulatory actions the Contractor agrees:
a. To permit persons authorized by the Department to inspect any records, papers, documents
(including electronic storage media), facilities, and/or goods and services of the Contractor which are relevant to this
Contract, and/or to interview any clients and employees of the Contractor.
b. That any inspections or monitoring visits of the Contractor's facility or of the Contractor's records
shall be made to assure the Department of the satisfactory performance of the terms and conditions of this Contract.
The Contractor agrees that such visits, reviews, or inspections may be announced or unannounced.
c. To acknowledge site review findings by providing an authorized signature on the site review forrn
upon completion of the specific site review. Failure to acknowledge such findings or provide exceptions at the time
of the site review shall be grounds for Notice of Serious Deficiency.
d. To accept the Department's written report of findings regarding the Contractor's performance or
compliance with the terms of this Contract.
e. To provide its written response to the Department's written report of findings within the period
specified in the Department's notice of required corrective action.
f. That the Department, at its sole and exclusive discretion, may or may not accept the Contractor's
corrective" actions. The Contractor agrees to respond to all requests for modification of the Contractor's .proposed
corrective actions as specified by the Department, The Contractor agrees that it shall correct all noted deficiencies
identifieda by the Department consistent with a Department approved Corrective Action Plan (CAP) within the
specified period of time set forth in the Contractor's CAP,
g. That the Contractor's failure to submit en acceptable CAP to the Department within the timeframe
provided in the Department's notice, or failure to correct noted deficiencies, or failure to fully and permanently
maintain implemented corrective action may, at the sole and exclusive discretion of the Department, result in:
(1) The Contractor being deemed in breach or default of this'Contract;
(2) Suspension of program participation;
(3) Withholding of payment to the Contractor by the Department;
(4) Termination of this Contract for cause: and
(5) The Contractor and the Contractor's responsible principal(s) and responsible individual(s) being
disqualified from participation in the CCFP and listed on the USDA National Disqualified
List.
corrective action(s) shall
h. That the Contractor's failure to implement and maintain an approved
result in contract termination and disqualification and listing the Contractor, and the Contractor's responsible
principal(s) and responsible individual(s) on the USDA National Disqualified List.
1• . That the Contractor's exclusive means of challenging the Department's determination of
acceptable CAP submission, successful correction of deficiencies, suspension, and/or proposed termination and
entry of named parties on the USDA National Disqualified List shall be the review procedures provided pursuant to
the terms.of this Contract and Title 7 Code of Federal Regulations, Part 226.
5. Upon termination or expiration of this Contract, for a period of three years from the end of the
• federal fiscal year in which the Contract is terminated or expires, the Contractor agrees to :
a. Maintain all CCFP records and program related records, unless instructed by the Department to
maintain those records for a longer period of time;
b. Maintain all records pertaining to any unresolved audit or review for a minimum of three fiscal
years plus the current fiscal year or until all outstanding issues are resolved; and
Revised 612011
7
c. Submit to the Department's authority regarding the issue and determination of a serious
deficiency. Failure to respond or successfully resolve any Notice of Serious Deficiency may result in the Contractor
and Its responsible individual(s) and responsible principal(s) being 'added to the USDA National Disqualified List
pursuant to the requirements of Title 7 Code of Federal Regulations Part 226.6.
J. DEPARTMENT AUTHORITY 70 SEEK OTHER ACTIONS AT LAW
1, The Contractor agrees that administrative and criminal penalties may apply to violation of the
terms of this Contract.
2. The Contractor hereby acknowledges that any monitoring or review, whether performed by the
Department, the United States Department of Agriculture, the Florida Department of Law Enforcement, the Florida
Department of Financial Services, Division of Public Assistance Fraud or by another entity authorized by the
Department may result in the initiation of criminal charges and that the Department will actively cooperate and assist
in such criminal prosecution.
3. The CCFP sanctions for Contractor violations shall riot be construed as excluding or replacing any
criminal or civil sanctions or other remedies that may be applicable under any federal or state statute or local
ordinance; and .
4. The CCFP sanctions do riot limit or replacethe authority of the USDA, Comptroller General, or
Department to seek damages, or civil or criminal action;
5. Nothing -in this Contract precludes the Department from obtaining damages as well as any other
remedy authorized by law as a result of the Contractor's breach of this Contract or violation of applicable federal and
state rules and regulations pertaining to the CCFP.
K. INDEMNIFICATION
1. Indemnification is not applicable as to the Department in contracts executed between the
Department and state agencies or subdivisions, as defined in Section 768.28, Florida Statutes, .or between the
Department and federal agencies or sovereign American Indian nations. However, such indemnification provisions
shall apply to,the Contractor in subparagraphs 2 and 3 of this section.
2, The Contractor shall be liable for and shall indemnify,. defend, and hold harmless the Department
and all of its officers, agents, and employees from all claims, suits, judgments, or damages, consequential or
otherwise and including .attomeys' fees and costs, arising out of any act, 'actions, neglect, or omission by the
Contractor, its agents, or employees during the performance or operation of this Contract or any subsequent
modifications thereof, whether direct or indirect, and whether to any person or tangible or intangible property.
3. The Contractor's inability to evaluate liability or its evaluation of liability shall not excuse the
Contractor's duty to defend and indemnify within seven (7) days after such notice by the Department is given by
certified mail, equivalent delivery service, e-mail or facsimile transmission. Only adjudication or judgment after
highest appeal is exhausted specifically finding the Contractor not liable shall excuse performance of this provision.
The Contractor shall pay all costs and fees related to this obligation and its enforcement by the Department. The
Department's failure to notify the Contractor of a claim shall not release the Contractor of the above duty to defend.
L. ' ASSIGNMENTS AND SUBCONTRACTS. '
1. The Contractor agrees:
a. It shall be responsible for the administration and financial management of its operation;
b. It shall not enter into any subcontracts or agreements affecting the Program subsequent to the
execution of this Contract without the Department's prior written approval;
c. If it intends to enter into any Program related subcontracts it shall:
(1) Provide the Department written notice of the intended subcontract. That notice shall
include the name of the intended subcontractor, the name of its principal owners, the intent of the contract and the
estimated total value of that contract;
(2) Provide the Department any required budget updates reflecting the proposed
subcontractor's expense for evaluation;
(3) Not enter into the requested subcontract until approved by the Department; and
• (4) Not pursue a subcontractor relationship in support of this Contract should the Department
not approve such subcontract.
2. ' The Contractor agrees that the Department shall not approve any subcontract for CCFP
management functions, including but not limited to, program financial management, eligibility review and approval,
preparation and maintenance of enrollment rosters, tiering determinations, monitoring, and submission of claims for
reimbursement. -
3. Approval or disapproval of CCFP• related subcontracts shall be at the sole discretion cf the
Department. Any Program related subcontract not approved by the Department shall be null and void as to the
provisions of this Contract and the Departments responsibility to reimburse any costs for the unauthorized
subcontract.support of the Contractor's operations.
4. The Contractor shall be responsible for all work performed and all expenses incurred for
implementing the CCFP on behalf of the Department. If the Department permits the Contractor to subcontract part
of the work contemplated under this Contract, including entering into subcontracts with vendors for services and
commodities, the Contractor agrees that the Department shall not be liable to the subcontractor for any expenses or
liabilities incurred under the subcontract and.' the • Contractor shall be -solely liable to the subcontractor for all
expenses and liabilities incurred under the subcontract. The Contractor, at its expense, will defend the Department
against such claims.
Revised 6/2011
8
5. The State of Florida shall at all times be entitled to assign or transfer itsrights,pr duties, or
obligations under this Contract to another governmental agency in the State of Florida, upon
giving
en
notice to the Contractor.
M, CONDITION FOR RECEIPT OF FEDERAL FUNDS
In compliance with the American Recovery and Reinvestment Act (ARRA) and the Federal Funding
UAccountability niversal NumberdSystem (DUNS) number. Th s may be found at http://fedaoov.dnb corm/webforuntil it �s obtained a Data
Transparency Act, no payment will e issued to the m
N. MEET ADDITIONAL REQUIREMENTS TO MAINTAIN'PARTICIPATION IN CCFP
1. Contractor Legal Name and Federal Employer Identification Number (FEIN) shall not be changed.
a. The Contractor agrees that it shall maintain Its participation in the CCFP under this Contract under
•
its approved legal name and FEIN, . •
b. The Contractor agrees that it shall not change its legal name or FEIN under this Contract.
c. The Contractor agrees to immediate termination of this Contract if the Contractor changes its legal
name or FEIN, Such termination shall be subject to all requirements of this Contract.
2. The Contractor shall: •
a. .Prior to doing business with the State of Florida, submit a W-9 to the Florida Department of
Financial Services (DFS) electronically via the Vendor Website at httos://fivendor.mYfloridacfo.corn;
b. Notify the Department and the Florida Department of Financial Services (DFS) of any changes in
W-9 information within 10 calendar days.
3. The Contractor hereby agrees to submit all valid claims for reimbursement consistent with the
following requirements:
a. Claims for -reimbursement shall be supported by required records maintained in sufficient detail to
justify the reimbursement claimed; .
- b. Records shall be available to support the claim and the Contractor's act of claim submission shall
be a Certification that such recorda are maintained in the Contractor's files to substantiate each claim submission;
c. Claims for reimbursement shall .be submitted to arrive at the Department no later. than 60 days
following the last day of the month covered by the claim. A one-time exception may be granted upon Department
approval within any 36 month period. If approved, payment of the late claim is subject to. funds availability. Any
claim submitted outside of this requirement shall be denied;
d. Subject to the terms of this Contract, the Contractor shall submitmonthly claims for reimbursement
to the Department for each month that the Contractor is eligible to file claims, commencing the first full month after
the Contractor's approved CCFP begin date. The Department may terminate the Contract for failure to operate the
Program (serve reimbursable meals, maintain records, file timely claims, etc.) for three consecutive months,
4. Corporations are recognized under the law as natural persons and may participate in the CCFP.
The) shall beon deach of its to all CCFPr requirements ementnsible s and may be rincipals 6r responsible
dually individuals.
dslq d disqualias defined pursuant to 7 fied the CCFP and individually
§226) shall subject
placed on the National Disqualified List.
5. Federal CCFP funds are subject to greater oversight. The Department performs a fiduciary
function, on behalf of the taxpayers. Therefore, the provisions of this Contract shall apply to all Contractors
organized as Corporations whether or. not that corporation's stock is publicly traded.
• 6. During the term of this Contract the Contractor agrees that any proposed sale, transfer, or other
conveyance or pledge of CCFP assets shall not be executed as long as the Contractor participates in the CCFP
unless. the Contractor has obtained prior Department approval .of that transaction.
a. The Contractor shall notify the Department in writing of its intent to sell, transfer, convey, or pledge
any essets purchased with CCFP funds. The Contractor's notice shall state the name or names of the intended
purchasers, transferees or creditors and be provided to. the Department in writing no less than 30 days prior to the
date of such proposed change. The Department may also obtain such information from the Florida Department of
State, should it choose to do so in addition 10 any contractor notification provided.
b. The Department shall either agree to or decline the proposed change and provide the Contractor
written notification of its decision, If the Contractor chooses to pursue the proposed change after the Department
declines, the Contractor agrees to notify the Department of the sale. This Contract shall terminate upon the date of
that sale, consistent with the terms of this Contract. The Department shall not pay.any claims from the Contractor or
its designated assignee for meal services occurring after the Contract termination date.
c. If it is discovered or reported that from the date of the Contractor's initial CCFP application more
than fifty percent (50%) of the stock of the Contractor's corporation is sold, transferred, otherwise conveyed or
pledged, the Contractor agrees that this Contract shall terminate immediately.
d. Failure of the Contractor to provide such notice may result in the Department issuing a Notice of •
Serious Deficiency and Notice of Proposed Termination and Disqualification of Responsible Principals and
Responsible Individuals and immediate termination of this Contract.
7. If a contractor fails to complete all responsibilities under this Contract, the .Contractor and its
responsible principals and responsible individuals may be disqualified from further participation in the CCFP and
placed on the USDA National Disqualified List.
O. CONDITIONS FOR RETURN OF FUNDS
To return to the Department any overpayments due to unearned funds pursuant to the terms of this.
Contract or applicable state or federal law, rules, regulations, instructions, policies, procedures or manuals, that are
used by the Department in its administration of the CCFP. In the event that the Contractor or its independent auditor
discovers that an overpayment has been made, the Contractor shall notify the Department by certified mail within
Revised 6/2011 9
five (5) days of such discovery. In the event that the Department first discovers an overpayment has been made, the
Department will notify the Contractor by letter of such a finding. Repayment shall be made pursuant to the
Department's instructions to the Contractor and shall include interest as required by federal law;- such instructions
may include but are not limited to a sponsors payment to sponsored facilities and a contractor's payment to the
Department.
P. PROCEDURES FOR DISALLOWANCE OF PROGRAM PAYMENTS with recordkeeping requirements
In the event the Department discovers the Contractor's failure to comply
pertaining to records directly supporting claims for reimbursement, the Department shall disallow payment for any
meals and/or not supported by such records. Records that support claims for reimbursement may include, but are
not limited to, free and reduced price meal applications, daily meal counts, menu records, original receipts
andd
invoices for CCFP expenses, enrollment records, and attendance records, The Contractor mayappeal
Department's decision to disallow Program payments as described in ,Section II.B of this Contract.
Q, INDEPENDENT CAPACITY OF THE CONTRACTOR
1. In performance of this Contract, It is agreed between the parties that the Contractor is an
independent contractor and that the Contractor is solely liable for the performance of all tasks contemplated by this
Contract, which are not the exclusive responsibility of the Department.
2. • The Contractor, its officers, agents, employees, or subcontractors in performance of this Contract,
shall act in the capacity of an independent contractor and not as an officer, employee, or agent of the State of
Florida. The Contractor shall not represent to others that it has the authority to bind the Department unless
specifically authorized in writing to do so.
3, The Contractor, its officers, agents, employees, and its subcontractors are not entitled to state
retirement benefits, state leave benefits, or to any other compensation of state employment as a result of performing
the duties and obligations of this Contract.
4. The Contractor agrees to take such actions as may be necessary to ensure that each
subcontractor of the Contractor will be deemed to be an independent Contractor and will not be considered or
permitted to be an agent, servant, joint venture, or partner of the State of Florida.
R. TRAINING AND SECURITY
1. The Contractor agrees to attend all meetings and training sessions required by the Department.
2. CCFP records contain information that is confidential under both Florida and federal law. The
Contractor agrees to maintain any and all records, documents, forms, reports, and information, in whatever form, in a
secure location with access that is sufficiently limited to protect the records.
3. Public Access to Records. It is. expressly understood that the Contractor is acting on behalf of the
Department and refusal to comply with public record access provisions shall constitute violation of the Contract for
which the Department may unilaterally terminate the Contract. Therefore, the Contractor herein agrees and shall:
a.. Promptly notify the Department of any requests it receives for public records;
b. Not grant access to or release records of any nature until properly approved by the Department in
writing;
c. When instructed pursuant to the terms of this Contract, allow public access to all documents,
papers, letters, or other materials related to this Contract as required by Article I, Section. 24,. of Florida's State
Constitution and Chapter 119,'Florida Statutes, 7 CFR §226 at no additional cost to the Department;
d. Maintain the confidentiality of all records required by law or administrative rule to be protected from
disclosure;
e. Hold the Department harmless from any claim or damage including reasonable attorney fees and
costs or from any fine or penalty imposed as a result of the Contractor's improper disclosure of confidential records
whether public record or not and shall defend the Department against the same at the Contractor's expense; and
f. Allow the Department access to any paper or electronic records that contain data relevant to this
Contract and associated management information or data.
S. DESIGNATION OF NON -PRICING OR PRICING POLICY
1. The Contractor agrees to designate its participation under either, the non -pricing or pricing policy
listed below upon entry into the Program. The Contractor shall not change its designated policy without written
approval from the Department. The Contractor shall select and participate under one of the following:
2. Non -Pricing Policy
a. The Contractor agrees that all children in attendance at site(s) listed on the Site Information
Form(s) and/or Provider information Form(s), are offered the same meal at -no separate charge regardless of race,
color, sex, age, national origin, or disability, and there is no discrimination: against any child in the course of the meal
service based on race, color, sex, age, national origin, or disability.
b. The Contractor agrees to limit access to eligibility information to persons directly connected with
the administration and enforcement of the CCFP.
3. Pricing Policy
a. • The Contractor agrees to charge separately for meals. The Contractor will charge no more than
40 cents for a reduced -price lunch or supper, 30 cents for a reduced -price breakfast and no more than 15 cents for a
reduced -price snack.
b. The Contractor m(s) whoseserve
household income reduced -price
falls within meals
the current child
Florida IInccomethe
Eligibility
listed on the o Site s Information Form(s)
Guidelines or whose household receives benefits from the Food Assistance Program (federally known as the
Supplemental Nutrition Assistance Program- SNAP) or Temporary Assistance to Needy Families (TANF).
10
Revised 6/2011
c. The Contractor agrees to provide these benefits to children from households that are experiencing
strikes, layoffs, and unemployment which causes the household income to fall within the criteria set forth in the
current income eligibility guidelines.
d. The Contractor agrees to collect meal payments outside of the meal period in a manner that does
not identify the eligibility status of children receiving free or reduced -price meals to those not involved in the
collection of meal payments. To protect the anonymity of eligible children receiving free or reduced -price meals, one
of four methods will be used for collection: 1) daily collection at a designated time and place; 2) weekly collection at
a designated time and place; 3) monthly collection at a designated time and place; or 4) billing statement to
parents/participants.
e. The Contractor agrees that there will be no overt identification of free and reduced -price meal
recipients and no discrimination against any participants on the basis of race, color, national origin, sex, age, or
disability.
f. The Contractor agrees to implement the following policy in determining the eligibility of program
participants.
(1) The Contractor agrees to send, to each household a Parent Letter and Application for
Free or Reduced -price Meals based on the samples and procedures provided by the Department of Health.
Parents/Guardians will be requested to complete the Application and return it to the Contractor's or site's determining
official for review. Such Applications will be maintained on file for three years after the end of .the year in which they
pertain. Applications may be filed at any time during the year. Any family member enrolling a child in a site for the
first time, at any time during the year, will be supplied with such documents. if a child transfers from one site to
another under the jurisdiction of the same contractor, the eligibility for free or reduced -price meals will be transferred.
All qualifying children from the same household will receive the same benefits. Within fourteen calendar days of
receipt of•Applications, parents/guardians will be notified individually of the approval or denial of their Application.
Children .be served meals based on eligibility -category immediately upon the determination•of their eligibility.
When an -Application is rejected, parents or guardians will be informed. of the reason for denial, the availability of a
hearing.procedure,.and the name and address of the designated hearing official.
(2) The Contractor agrees to designate the administrative position responsible for reviewing
Applications and making determinations of eligibility. This official will use the criteria outlined in this .policy to:
determine which individual children are eligible to receive free or reduced -price meals.
g. The Contractor agrees to annually provide a public release containing information from the sample
to the media serving the area from which the center draws its attendance.
h. The Contractor agrees to establish an appeal and hearing procedure for use when participant
benefits are denied or terminated as a result of verification. During the appeal and hearing the child will continue to
receive free or reduced price meals. Prior to initiating the hearing procedure, the parent/guardian or local official will
be permitted to request a conference to discuss the situation, present information, and obtain an explanation of
information submitted on the Application and decisions made. ,Such a conference will not in any way be allowed.to
prejudice or diminish.the right to a fair hearing.
i. The hearing procedure will provide the household and/or designated representative with:
(1) A simple, publicly announced method to make an oral or written request for a hearing.
(2).. Anopportunity to be assisted or represented by an attorney or other person in presenting .
its appeal.
(3) An opportunity to examine, prior to and during the hearing, any documents, and records
presented to support the decision under appeal.
(4) • A hearing held with reasonable promptness and convenience, and with adequate notice
given as'to-the time and place of the hearing.
(5) An opportunity to _present oral or documentary evidence and to make an argument that
supports its position. •
(6) An opportunity to question or refute any testimony or other evidence and to confront and
cross-examine any adverse witnesses.
(7) A hearing conducted and the final determination made by a hearing official who did not
participate in making the decision being appealed or in any previously held conference.
(8) A determination by the hearing official based on the oral and documentary evidence
presented at the hearing and made a part of the hearing record.
(9) Written notification of the decision of the hearing official.
j. The Contractor agrees to prepare a written record for each hearing, which includes the challenge
or the decision under appeal, any documentary evidence and a summary of any oral testimony presented at the
hearing, the decision of the hearing official, including the reasons therefore, and a copy of the notification to the
parties concerned with the decision of the hearing official.
k. The Contractor agrees to preserve a written record of each hearing for a period of three years and
make available for examination by the parties concerned or their representatives at any reasonable time and place
during the period.
T. MEET ADDITIONAL REQUIREMENTS WHEN SERVING AS A SPONSOR
1. Comply with all CCFP requirements relevant to its function as a Sponsor Organization;
2. • • Conduct all Administrative Reviews for suspension and/or disqualification consistent with the
requirements of 7 CFR -§226 and applicable procedure manuals and Department requirements;
3. Incrementally report the result of all reviews td the Department as instructed;
4. Reopen administrative reviews when the Department so directs and conduct such reviews in
compliance with 7 CFR §226 and the Department's instructions;
Revised 6/2011 11
5. Record the reopened administrative review, facilitate the issue of a formal written finding and
-forward that finding to the parties and Department in resolution of deficiencies the Department identifies.
' U. CONTRACT AMENDMENT PROCEDURES
1, Contract Amendment
a. The Department shall have the right to amend the Contract from time to time as required under the
Program's regulations or for operational necessity. .
b. Such amendment, executed by the Department, shall be mailed to the Contractor's last reported
mailing address. The Contractor shall no later than 21 days of receipt of the amendment:
(1) Sign the amendment and return a copy to the Department; or
(2) Provide the Department written notice of its intent to withdraw from the Program.
c. Amendments to the Contract shall be effective upon the earlier of:
(1) 30 days after receipt of the amendment; or
(2) 35 days after the Notice of Amendment is mailed to the Contractor.
d. The Amendment shall be adopted by reference into the original Contract and considered effective
against all parties at the end of the applicable 30 day period unless:
(1) The Contractor submits written notice of objection to the amendment and -Its intent to
withdraw from the Program within 30 days of receipt of the amendment; or
(2) • The Department withdraws the amendment.
2, • The Contractor shall:
a: Elect to comply with the contract amendments issued by the Department by not objecting within 30
days from the date of receipt of the proposed amendment; or
b. Provide written notice of objection and withdrawal from the Program to the Department within the
earlier of;
(1) 30 days from the date of the receipt of the written notice of contract amendment; or
(2) 35 days after the Department mails the Contractor notice of the contract amendment.
V. FOOD SAFETY AND SANITATION REQUIREMENTS
1. The Contractor hereby expressly agrees that the Contractor shall only claim and receive approved
reimbursement for those meals that are served according to applicable local, state, or federal health and safety
requirements.
2. The terms and conditions of this Contract shall in no fashion be used for purposes other than
participation in the CCFP. The Contractor hereby further agrees that it understands that its participating child care
facilities are solely responsible for any additional licensure or certifications that may be required .by local, state, or
federal authority. The terms of this Contract do not provide any child care facility with a food permit or. formal
approval for its food preparation facility or operation. •
3. Participating child care centers must comply with.all food safety and sanitation requirements as
they apply to the food storage, preparation, cooking and/or serving of meals.
It. THE DEPARTMENT AGREES TO:
A. PROVIDE AUTHORIZED REIMBURSEMENT
Reimburse the Contractor for meals and other allowable costs as further provided in applicable rules,
regulations, instructions, policies, procedures, and/or manuals. Claims for reimbursement not filed with the
Department within 60 days after the close of the month in which the claim was incurred shall be disallowed. The
Department may, though is not required to, at its sole discretion and with any necessary approval from USDA, grant'
an exception to this requirement. Payrnent of any late claims is subject to availability of funds.
B. PROVIDE REQUIRED PROCEDURE FOR REVIEW OF ADMINISTRATIVE ACTION
Should the Contractor violate any terms of this Contract, or any CCFP policies, instructions, procedures, or
manuals, or the rules, regulations and laws governing the program, and as a result, the Department acts to withhold
funds or to restrict or terminate the Contractor's participation in the program, the Contractor shall be informed of its
appeal rights. Upon timely request for an appeal, the Contractor shall be accorded an administrative review only if
required by federal law pursuant to Title 7 Code of Federal Regulations Part 226.
C. CONDUCT PERIODIC INSPECTION AND REPORTS
To inspect or evaluate the Contractor's records (including electronic storage media), papers, documents,
facilities, and/or the Contractor's goods and services which are relevant to this Contract and/or interview any of the
Contractor's clients or employees. Upon completion of any such inspection or evaluation, the Department shall
provide the Contractor a written report of its findings. The written report shall describe the Departments evaluation
of the Contractor's performance of its responsibilities and obligations as outlined in this Contract.
D. SPECIFY IN WRITING WHEN RESPONSE TO DEFICIENCIES ARE DUE
To' provide the Contractor a written report of its findings and a date certain by which the Contractor must
provide a written corrective action plan (CAP). When applicable, the Department shall also provide the Contractor a
written Notice of Serious Deficiency with a date certain by which the Contractor must provide its written. CAP.
E. NOTIFY CONTRACTOR OF DECISION IN WRITING
To provide the Contractor written notice of the acceptance or rejection of the Contractor's CAP. The
Department shall issue written notice to the last reported address for the Contractor and those responsible
Revised 6/2011 12
individuals and responsible principals described in the applicable governing regulation and procedure manuals when
the rejection of a CAP requires termination of this Contract and disqualification of the Contractor and responsible
individuals and responsible principals.
THE DEPARTMENT AND THE CONTRACTOR MUTUALLY AGREE:
A. DEFINITION OF TERM
The parties hereby agree that the term conviction shall mean having been found guilty, with or without
adjudication of guilt, as a result of a jury verdict, nonjury trial, or entry of a plea of guilty or nolo contendere.
S. EFFECTIVE AND ENDING DATES
This shall be a permanent contract as of the date on which the Contract has been signed by both parties,
pursuant to Title 7 Code of Federal Regulations Part 226.11. The Contractor shall provide annual confirmation of
compliance and all other records required pursuant to this Contract and notice issued by the Department.
C. CONTRACT IS LEGAL BINDING AGREEMENT
This Contract is a legal -binding agreement between the Contractor and the Department. Consistent with
the requirements of 7 CFR §226.6(b)(4), the terms of this Contract are applied uniformly throughout the state and
are not subject to negotiation. The entire contract between the parties shall be in writing and be subject •to the
contract amendment procedure described in this Contract.
D. CONDITIONAL CONTRACT
.1. The parties intend this Contract to be conditioned upon the Contractor remaining eligible to
participate in the CCFP. The requirements in this section apply if this Contract is being entered into during a period
in which the .Department has notified the Contractor that it intends to terminate the Contractor's current CCFP
Contract. •
2. The Parties hereby agree that should the Contractor choose to appeal a decision of the
Department and request an administrative. hearing,. that hearing shall occur in sufficient time to permit the issue of a
Final Order in the case within 60 days of the date the Department receives the Contractor's request for hearing.
Such determination shall be exclusively that of the Administrative Review Official (ARO) responsible for the appeal.
The Contractor hereby agrees to cooperate in the efficient administration of the hearing process and that no
continuance shall be requested nor granted that would require the Department to. exceed the 60 day limitation of this
clause and 7 CFR §226.6(k)(5)(ix). .
.a. The Contractor agrees to provide an authorized representative to represent the interests of the
institution and/or his orr her interests should the Contractor request an in;person hearing and subsequently be unable
to attend in sufficient time to permit the issue of a Final Order within the 60 day limitation of 7 CFR 226.6(k)(5)(ix).
b. Should the Contractor request an in person hearing and be unable to attend and fails to nominate
an authorized representative to attend in their place, the Contractor shall waive the right to personal appearance and
the requested administrative review and the Department's action shall become final. .
c. A Final Order shall.be issued upon conclusion of the, administrative review to occur no later than
60 days of the Departments receipt of the Petitioner's request for the administrative review. Such timeframe is an
administrative requirement for the. Department and may not be used as a basis for overturning the Department's
action if a decision .is not made within the specified timeframe.
3.._.If. the ARO upholds the Departments current intended action to terminate the .Contract with the
Contractor, the following additional potential results shall apply:
a. , This current Contract shall be terminated upon the date of the Final Order, in the administrative
case without'further action or notification by the CCFP;
b. Consistent with the ARO's Final Order the Contractor and each named responsible individual and
responsible principal shall be disqualified from further participation in the CCFP and each name shall be entered on
the USDA National Disqualified List. Those named parties shall be precluded from further participation in the CCFP
for a period of seven years or until any funds due the Department are repaid, whichever occurs later; and
c. Claims for goods or services provided after the rendition of the Final Order shall not be payable.
Necessary and reasonable costs of ceasing CCFP participation may be reimbursable, conditioned upon submission
of required documentation and Department approval of those costs. However, the Department shall offset
reimbursement for allowed close-out costs against any outstanding CCFP debt the Contractor may owe as of the
date of the Final Order.
4. The termination of this Contract upon rendition of a Final Order shall not be automatically 'stayed
pending any appeal of or challenge to the Final Order.
a. Such Stay may only be obtained by filing a Motion for Stay Pending Appeal with the ARO. If the
Motion for Stay is granted, the Contractor shall be permitted to continue to participate 'and receive CCFP
reimbursement for eligible meals served, and allowable administrative costs incurred until the time for appeal has
expired, the administrative review is completed, or the appeal is dismissed. The Contractor shall waive its right to
seek such Stay if it fails to file a Motion for Stay within the period authorized in Sec. 120.68, F.S.
• b. The Contractor shall waive its right to appeal the Final Order if it fails to file one copy of a Notice of
Appeal with the Agency Clerk of the Department of Health and a second copy, accompanied by the filing fees
required by law, with the First District Court of Appeal, Tallahassee,'Florida. The Notice Of Appeal must be filed
within 30 days of the rendition of the ARO's Final Order. -
Revised 6/2011 13
E. PROCEDURES AND NOTICES SENT TO CONTRACTOR'S ADDRESS OF RECORD
egard to the
1. Allr reimburseices describing an action ment or participation hall be mailed dto the latest address or taken by the on filee with (therDepartment
Contractor's CCFP leinsur
The Contractor shTln that its current street and
that the Department shalling a onrsider allesses are
noti esfile
aswith
received by the Contractor artment at all times.
and
2. TheP
its responsible principal(s) and responsible individual(s) five days after being sent to the last address the Contractor
reported to the Department.
•
F. RESPONSIBILITY TO OBSERVE ALL GOVERNING LAws
The failure of this Contract to cite all applicable state and federal laws, regulations and policies does not
waive the Contractor's responsibility to comply with at applicable requirements specified in state and federal laws,
regulations, and policy.
G. NON -WAIVER
1. The Department shall have the right to declare any violation, deficiency, or default and take such
action as may be lawful or authorized hereunder, in lawn ryin equity,
or covenant in this Contract shall not be
•2, A Department waiver of any term, p
deemed to imply or constitute a further Department waiver of any other term, provision, condition or covenant hereof,
and no payment by the Department shall be.deemed a waiver of any default hereunder.
3. The Department and ntractor exp
agree that
any failure declare
violation, deficiency or default edatelyupon occurrence, or failure to take action iconnectionwith that
or default.
•
occurrence, does not waive such violation, deficiency,
H. CONTRACTOR'S NOTIFICATION OF RESPONSIBLE PARTIES
1, limited
to
to 7 CFR §226, Manatee Contractor's Owner(s), responsible Di ector/CEO Chairman of responsible
Board Board
including but m nottecome p the CCFP Manager, pursuant to the terms of this Contract. These named
Members, may become parties to a disqualification proceeding p
parties are defined in 7 CFR §226.2, which shall control which individuals shall be named parties in any
disqualification proceeding.other responsible
2. The Contractor o9rChairmanuof the Board,others BoardMembersand inform its CCFP panager,
principals
Owner(s), andExresponsible
Director/CEO, individuals
viparty
to a paid disqualification
prncipals responsible individdals that as a condislhallobe subject becominge1a idivual or voluntary
participation
rocei ding. in thetracorshall
Contractor's ensure
organization, they
proceeding. The Contractor sovlem ng requaemall
e nsP sted heerinClpals and responsible individuals comply with the
terms of this Contract and a g
3. The Department agrees that uon the determination of pesponslble individualsof the cited deficiencies.it shall notify the
Contractor's responsible• principals and applicable
(. CONDITIONS rm nation afION Said notice Shall be
)
1, OF TERMINATION
Af Will. This Contract may be terminated without cause upon no less than thirty (3D)
calendarTe
edays notice in transmission, unless email,r time is certifiedail agreed to return receipetween t requested, parties in or writing. p person with proof of
delivered by facsimile transml ,
delivery.
a. in the event termination of this Contract at will, the Contractor will be compensated for approved
Program costs lawfully incurred prior to termination.
b. The Contractor shall be permitted to • voluntarily terminate this Contract after the date the
under of S.erious the Contractor. he such circumstances
names of the Contractor and its responsible principal(s) and responsible individual(s) being placed on the USDA
National Disqualified List.
2, Termination Because of Lack of Funds. In the event funds to finance this Contract becoto
me
unthe Contra, the Departmentnotice
may shall
be ate deliveeredontract upon by facsimileno less than transmission, twenty-four
ucertifiedours mail notice — eturn writing
receipt
the Contractor. Saidro n ithe shall be
requested, or in person with proof of delivery. The Department shall. be the final, authority as to the availability and
adequacy of funds.
3• Termination for Cause. The Department many f terminate snthis Contract
tra t for
forbut the
uContractor's
o tra t r'
to,
noncompliance with any provision of this Contract or for any
those in Attachment 1. permanent unless either the Department or Contractor takes the designatedother
4• The Contract n shall be be
additional actions described irothis he Department's receipt pt of the ntract Contrac Contractor's wtlitten notice ot f:
prohibited by
provisions of this Contract, up
a. Objection to a Contract Amendment; and
b. Election to withdraw
o rom e Contract.
the
Prgram within 30 days of receipt of the Departments' written
notification of a proposed amendment
J. ENFORCEMENT as
1 • Each termision prthis Contract shall be ovision on of the Contractorofeany CCFPhrules,yregulations, policies,e effective dValid under
procedu es,
applicable laver If any
ua or p
instructions, or manuals is found or
stnrickert.able, the remainder of the Contract shall remain in full
o
force and effect and such term p 14
Revised 6/2011
2. Subsequent to execution of this Contract, if a direct conflict between the terms of this Contract and
Federal 'Program requirements stated in Title 7 Code of Federal Regulations Part 226 and associated Program
regulation and policy occurs, such conflict shall be resolved in favor of the current Federal Program requirement for
only those parts of this Contracts requirements in direct conflict with Federal Program requirements. All other
provisions shall remain unchanged.
K. EXCLUSIVE VENUE PROVISION
1. Venue for any action arising from the terms of this Contract or the application of state or federal
law to any dispute between the parties to this Contract shall be Leon County, Florida to the exclusion of all other
courts and jurisdictions.
2. Any action regarding this Contract or the application of state or federal law to any dispute between
the parties to this Contract shall be brought to the Department for an administrative hearing that shall be
conducted in Leon County, Florida to the exclusion of all other courts and jurisdictions,
3. Any non -administrative action regarding this Contract or the application of state or federal law to
any dispute between the parties to this Contract shall be conducted in Leon County, Florida to the exclusion
of at other courts and jurisdictions.
4. Any appeal of a lower court or administrative hearing shall be to the First District Court of Appeal,
in Leon County, Florida to the exclusion of all other courts and jurisdictions.
L. ENTIRE CONTRACT; AMENDMENTS
1. • This Contract constitutes the entire Contract between the parties.
2. The Contract may be amended only by:
a. The Department issuance of an amendment; and
b. Expiration of time for the Contractor to reject an amendment and withdraw from the Program -as
described in the Contract.
3. •• Amendments issued by the Department and accepted by the Contractor consistent with the terms
of the Contract shall take precedence over any.terms or conditions in the original Contract unless expressly stated
otherwise in the Amendment.
M. CONSTRUCTION OR INTERPRETATION OF CONTRACT
1. Whenever possible, each provision of this Contract shall be interpreted in such a way as to be
effective and valid under applicable law. If a provision is found to be ineffective, that provision shall be ineffective
only to the extent of such prohibition or invalidity, without invalidating the remainder of -such provision or the
remaining provisions of this Contract.
2. Titles and Headings. Titles and headings to articles, sections, or paragraphs in this Contract are
inserted for convenience of reference only and are not intended to effect the interpretation or construction of the
Contract.
3. Remedies Cumulative. The remedies provided in this Contract shall be cumulative, and the
assertion by any party of any right or remedy shall not preclude the assertion by such party of any other rights or the
seeking of any other remedies.
4. Conflict between This Contract and Federal Program Requirements.
a. The terms of this Contract shall govern the conduct of the parties;
b. Any direct conflict between the terms of this Contract and CCFP Federal Program requirements stated in
7 CFR §226 and associated Program regulations and policies shall be resolved in favor of the current Federal
Program requirement for only those parts of this Contract's requirements in direct conflict with Federal Program
requirements. All other provisions shall remain unchanged.
THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK
Revised 6/2011
15
SIGNATURE PAGE
As the Contractor's authorized representative empowered to commit to the terms of this Contract, I have been
expressly advised to seek legal advice regarding the terms of this Contract with an attorney licensed in the State of
Florida representing the interests of the corporation and/or individual interests of associated individuals or individuals
named herein. I have not relied upon any advice from the Department or its agents regarding this Contract and the
legal rights for myself or those who I am empowered to represent. I have considered seeking appropriate legal
advice. I have read the above Contract and understand each section and paragraph.
By my signature I acknowledge that I enter into this Contract freely on behalf of myself and those who I am
empowered to represent. I expressly agree to notify the Contractor's responsible principals and responsible
individuals, including the CCFP Manager, Owner(s), Executive Director/CEO, Chairman of the Board, other Board
Members, and any other responsible principals and responsible individuals of their liability regarding the Contractor's
compliance with this Contract.
IN WITNESS THEREOF, the parties hereto have caused this 16 page Contract and its subject attachments,
Attachment 1, Attachment 2, and Attachment 3, adopted and incorporated into this Contract by reference, to b.e
executed by their undersigned official as duly authorized.
CONTRACTOR:
(Authorization Number) .
(Legal Name of Organization)
(D/B/A Name)
(Address)
SIGNATURE of Chairman of the Board,
President, Executive Director, Majority Owner,
or Delegated Authority
PRINTED NAME:
TITLE:
DATE:
STATE OF FLORIDA
DEPARTMENT OF HEALTH:
Maria Williamson, Chief,
Bureau of Childcare Food Programs
DATE:
Revised 6/2011
16
}10RIDP. DEPARTMENT of l
HB.ALT
CHILD CARE FOOD PROGRAM
PERMANENT CONTRACT
ATTACHMENT 1
COMMON EXAMPLES OF SERIOUS DEFICIENCIES
This attachment incorporates the most common examples of serious deficiencies listed'in Title 7 Code of Federal
Regulations Part 226 and provides example descriptions of non-compliance with program requirements. The list of
deficiencies shall be updated from time to time in contract amendment pursuant to the terms of this Contract.
Contractors who commit or engage in any serious deficiencies described in the federal and state laws, regulations,
procedure manuals and policies shown in Section I of this Contract, including but not limited to those incorporated
herein, shall be subject to termination and disqualification from the Child Care Food Program (CCFP).
1. Submission of false information to the Department and/or filing claims based on false or fraudulent
records
•
•
•
Failure to disclose ineligible officers, directors, key employees
•
Listing fictitious employees/officers/board members on an application
Claiming tax-exempt status when denied, rescinded, orin any fashion no longer available -
Submitting the IRS tax-exempt determination letter of a different or defunct organization
Concealing a conviction for any activity occurring during the previous seven years that indicates a lack of
business integrity
Falsification of documentation to support claims
Falsification of information or documents in order to obtain and/or maintain CCFP participation
2. Permitting an individual on the USDA National Disqualified List to serve i
Contractor or at a site sponsored by the Contractor
3. Failure to operate the CCFP in conformance with performance standards
Federal Regulations Part 226.6(b)(2)(vii), regarding financial viability
administrative capability, and program accountability
• Failure to ensure provision of adequate financial resources for daily program operations
• Failure to maintain adequate funds to withstand temporary interruptions in program payments and/or fiscal
claims against the Contractor
• Failure to maintain an adequate number and type of qualified staff to ensure proper CCFP operations
• Failure to establish and implement intemal controls and other systems to ensure rascal accountability
• Failure of the Board of Directors to provide adequate program oversight
n a principal capacity with the
established in Title 7 Code of
and financial management,
4. -Failure to maintain adequate records
• Failure to maintain appropriate records to document compliance with CCFP requirements including
budgets, approved budget amendments, and when applicable, management plans and records pertaining
to facility operations
• Consistently missing/incomplete records during different reviews, complaint investigations, or audits '
• Missing/incomplete/incorrect invoices, receipts, canceled checks, inventories resulting in
false/inflated/unsubstantiated claimed costs
• Cost records not maintained according to generally accepted accounting principles resulting in
false/inflated/unsubstantiated claimed costs
5. Failure to adjust catered meal orders to conform to variations in the number of participants
• Claiming meals based on the number of meals •ordered/planned or the number of participants on the center
roster, rather than the number of meals actually served
6. Non-compliance with applicable • bid procedures and contract requirements of federal Child Nutrition
Programs
• Failure to competitively procure goods and services
• Anti -competitive practices, such as collusion; kickbacks, conflicts of interest • •
•
• Inclusion of non-competitive provisions in a bid,• e.g., "successful bidder for a contract to provide meals
must establish a scholarship fund"
Revised 6/2011 17
Child Care Food Program Permanent Contract
Attachment 1, Page 2
7. Claiming reimbursement for meals not served to participants
Claiming meals delivered or planned for as meals served to participants
• Claiming meals for participants not present on a given day or for a particular meal
• Claiming meals served to non-existent children .
• Claiming meals served to non -enrolled children or to staff
• inflating meal counts
. Claiming non-existent and non -participating facilities
• Claiming meals for ineligible facilities
• Claiming dual participating facilities
. Claiming the same participant for the same meal at more than one facility
B. Claiming reimbursement for meals that do not meet CCFP requirements
9. Use of a food service management company (caterer) that is in violation of health codes
10. Failure of a sponsoring organizP ation
requirements
lin to disburse payments to its facilities In accordance with its
management plan and
lor • Payments sent without endorsements or otherwise incomplete
. Payments made for other than the full amount the supplying facility or vendor is entitled to
• Payments made to a facility other than the facility that eamed the payment
• Checks n t to
ectrson depositsrnotnMe initiatedrty without within .5 dayess written timeframe of receipt the facility
• Checks not mailed
reimbursement from the Department or first business day thereafter . .
• Failure to transfer full amount of facility paymentsois Comm ofacil bank cility bank
account t account within 5<d clear e frame
or failure to maintain full amount of facility payments
• Using facility reimbursement funds to pay facility advances
• Using day care home funds to pay sponsored centers or center funds to
pn the CCFP Bomes
Retaining sponsored center.funds in excess of the percentage approved
11. History of administrative or financial mismanagement in any USDA child nutrition program
• Institution left another child nutrition. program (e.g: Summer Food Service Program, National School Lunch
Program, etc.) because of a serious documented problem in its operation
• Failure to maintain required corrective actions
• Institution terminated for serious deficiency in one part of the CCFP (child care center for example) applies
to administer a different part (day care homes for example)
12. Claiming reimbursement for meals served by a proprietary child care center during a calendar month in
which the center does not meet Title. XX eligibility requirements or Free and Reduced eligibility
requirements, as applicable
13. Failure by a sponsoring organization to properly classify individuals or homes in the correct
reimbursement category
14. Failure of a sponsoring organization to properly exercise its oversight responsibilities
• Failure to adequately monitorctions
• Failure to require full, permanent, and systemic corrective
a home roviders when issues of noncompliance
• Failure to impose sanctions on centers, sites, or day P
are identified
• Failure to follow serious deficiency, suspension, termination, disqualification and appeal procedures, as
applicable
15. The fact that the Contractorrviolatinganyof
its principalst have e been declaredntsineligible to participate in a
publicly funded program dueto
18
Revised 6/2011
Child Care Food Program Permanent Contract
Attachment 1, Page 3
16. Failure to make payment(s) to subcontractor(s) for program services rendered
• Payments made for other than the full amount the subcontractor is entitled to
• Checks not mailed within 5 business days after receipt of reimbursement or first business day thereafter
• Using reimbursement hinds claimed for subcontractor costs for purposes other than to make payment debt'
used to support the claim for reimbursement.
• Failure to make all reimbursement payments to subcontractors subsequent to the voluntary or involuntary
termination of this Contract
• Failure to pay all outstanding debts incurred and claimed as part of the CCFP claims the Contractor
submitted
17. The following acts or omissions are also serious deficiencies:
• Failure to retain and make available all records required under this Contract to the Departmentor
appropriately designated entity
• Failure to make records associated with the CCFP available upon request at a reasonable time and place
• Failure to maintain current licensure requirements
• Misuse of CCFP funds
• Serious mismanagement (e.g.'failure. to monitor property) .
• Failure to obtain a required audit and/or.submit audit reports to the Department within required time frames
• Failure to notify the Department _of change in IRS status
• Violations of iRS regulations
• Failure to remit periodic payments (required by statute or regulation) to regulatory agencies (e.g. employee
withholding for income taxes, social security, unemployment compensation)
• Failure to implement corrective action(s) within required timeframes
• Failure to follow-up/require and maintain corrective action for facility review findings
• Creating fictitious records
• Failure to make required repayment of program funds to the Department
• Failure to comply with state incorporation requirements
• Paying employees salaries based on the number of homes/centers recruited; paying recruitment bounties
or bonuses
• Failure to attend training required by the Department
• Interfering or obstructing e Department on -site or program review of the Contractor's performance under the
terms of this Contract
• Failure to immediately remove a responsible principal or responsible • individual, an officer, executive
director, CCFP manager, another manager or member of the board upon the individual's conviction for any
activity that indicates a lack of business integrity as defined in Title 7 CFR §226 and to include fraud,
antitrust violations, embezzlement, theft, forgery, bribery, falsification or destruction of records, making false
statements, receiving stolen property, making false claims, obstruction of justice, fax evasion, fax fraud,
failing to file tax returns, passing worthless checks, submission of false or fraudulent information to a state
or federal agency, and perjury or any other activity indicating e lack of business integrity
• Failure to comply with the terms of this Contract which shall be identified as a failure to operate the
Program in confom7ance with the performance standards set forth in Title 7 Code of Federal Regulations
Part 226.6(b)(1)(xvii) and (b)(2)(vii)
• Failure to obtain Department approval prior to entering into a CCFP related subcontract subsequent to
execution of the Permanent Contract between the Contractor and Department ,
• Failure of a participating child care center to comply with all food safety and sanitation requirements
required of that facility as they apply to food storage, preparation, cooking and/or serving of meals
• Simultaneously performing services under this Contract and also operating as a registered caterer with the
Florida Department of Health selling catered meals to unaffiliated or affiliated CCFP Contractors and/or
facilities
• Failure of a Contractor authorized individual to acknowledge site review findings by providing an authorized
signature and/or written exceptions to findings on the site review form upon completion of the site review
18_ Failure to comply with any other financial andlor administrative requirements of Title 7 Code of Federal
Regulations, Parts 226; 3015; 3016; 3019; and 3052, andlor failure to comply with applicable federal or
Department of Health CCFP rules, regulations, policies, instructions, procedures andlor manuals
Revised 6/2011 19
FLORIDA. DEPARTMENT OF 1'D
ALTB
CHILD CARE FOOD PROGRAM
PERMANENT CONTRACT
ATTACHMENT 2
SERIOUS DEFICIENCY PROCESS AND ADMINISTRATIVE REVIEW PROCEDURES
All Contractors are required to abide by the -requirements set forth in Title 7 Code of Federal Regulations Part 226.
All notices of serious deficiency, notices of proposed termination• and notices of proposed suspension shall be
provided by the Department to the Contractor and its executive director/CEO, owner(s), CCFP manager, chairman of
the board of directors and other responsible principals or responsible individuals, as applicable, by facsimile
transmission, e-mail, certified mall or equivalent delivery service.
If the Department determines that a contractor has failed to comply with a requirement of Title 7 Code of Federal
Regulations Parts 226, 3015, 3016, 3019, 3052 and/or FNS Financial Management Instruction 796-2, Revision 3 and
subsequent revisions, which constitute a serious deficiency, the Department shall issue a Notice of Serious
Deficiency that specifies the serious deficiency or deficiencies and provides a date certain by which the Contractor
shall file a corrective action plan with the Department.
If the corrective action plan is timely filed and is acceptable to the Department, the Department will conduct an
unannounced follow-up review of the Contractor. If the follow-up review establishes that the serious deficiencies
noted in the Notice of Serious Deficiency appear to have been fully and permanently corrected, the Department will
so notify the Contractor. If the follow-up review does not establish that the serious deficiencies have been fully and
permanently corrected the Department may issue a Notice of Proposed Termination and Disqualification of
Responsible Principals and Responsible Individuals or the Department may choose to permit additional time to file or
amend a corrective action plan.
If the corrective action plan is not timely filed, the Department may take one of two actions. The Department may
grant.additional time to file or amend a corrective action plan. The Department may, alternatively, at its election
issue a Notice of Proposed Termination and Disqualification of Responsible Principals and Responsible Individuals.
If the corrective action plan is not acceptable to the Department it may take one of two actions. The Department
may issue a Notice of Proposed Termination and Disqualification of Responsible Principals and Responsible
Individuals. The Department may also elect to conduct an unannounced follow-up review of the Contractor. During
that review the Department shall determine if it shall grant the Contractor additional time to file or amend a corrective
action plan. Alternatively, the Department may choose to proceed to issue a Notice of Proposed. Termination and
Disqualification of Responsible Principals and Responsible Individuals.
If any program review identifies the same or substantially the same serious deficiencies after a Notice of Serious
Deficiency is temporarily deferred, the Department shall issue a Notice of Proposed Termination and :Disqualification
of Responsible Principals and Responsible Individuals since the previous serious deficiency(s) was not fully and
permanently corrected.
If the Department determines that a contractor has filed a false or fraudulent claim, or if the Department determines
that there is an imminent threat to the health or safety of program participants, or that the Contractor poses a threat
to public health or safety, the Department may issue a Notice of Proposed Suspension and shall provide notice of
the procedures for suspension ,review. In any such event, • the Department shall propose termination and
disqualification and provide notice of procedures for administrative review.
Administrative Review Rights
The Contractor is not entitled to administrative review of a Notice of Serious Deficiency, The Contractor is
entitled to administrative review of other Department actions, as provided by Title 7 Code of Federal Regulations
Part 226, which affect the Contractor's participation or reimbursements in the Child Care Food Program, including
but not limited to proposed termination and disqualification. To obtain an administrative review, the Contractor
and/or responsible principals or responsible individuals must request it in writing within 15 days of receipt of the
Department's notice. The written request must be received by the Department of Health Agency Clerk, Sam Power,
4052 Bald Cypress Way, Bin No. A-02, Tallahassee, Florida 32399-1703; telephone number 850-245-4005,
facsimile number B50-410-1448, within the time permitted.
If no written request is submitted or if the written request is not received within 15 days of the Department's notice,
then the Department's proposed action against the Contractor, •responsible principals and responsible individuals
shall no longer be subject to administrative review and the proposed action will -become effective. -The Agency Clerk
will acknowledge receipt of the request for administrative review within 10 days and, if the request was timely filed,
Revised 6/2011
20
Child Care Food Program Permanent Contract
Attachment 2, Page 2
will appoint an administrative review official (ARO). If the request for administrative review was not timely filed, the
Department shall notify the Contractor, responsible principals and responsible individuals that review is no longer
authorized and that the Department's proposed action has now taken effect.
If a timely written request is submitted, the Contractor, responsible principals, and responsible individuals must
submit documentation in opposition to the proposed Department action no later than 30 days after receipt of the
Department's notice to the administrative review official. The Department may submit documentation in support of
its action within 15 days of the Contractor's request for administrative review. The administrative review official will
consider the Departments proposed actions based upon written submissions by the Department and the Contractor.
A hearing will be held in addition to, or in lieu of, a review of written information only if It Is not excluded by Title 7
Code of Federal Regulations 226,6(k)(9) and the Contractor or a responsible principal or individual requests such a
hearing in the initial written request for administrative review. The administrative review official may consider any
evidence that he or she determines Is credible, trustworthy and would reasonably be relied upon by a prudent person
in the conduct of his or her normal daily activities. Either party may be represented by counsel. If a hearing is
requested, the parties may call witnesses to testify and may cross examine witnesses. Witnesses may testify by
telephone and may be sworn over the telephone and may be permitted to testify in narrative form. The
administrative review official will issue a decision within 60 days of the Department's receipt of a timely filed written
request for administrative review, which is an administrative requirement for the Department and may not be used as
a basisfor overturning the Departments action if a decision is not made within that specified timeframe.
Consistent with the terms of this Contract and 7 CFR §226, the Contractor hereby agrees to cooperate in the
efficient -administration of the hearing process and that no continuance shall be requested nor granted that would
require the Department to exceed the 60 day limitation of this clause and 7 CFR §226.6(k)(5)(ix).
The Contractor agrees to provide an authorized representative to represent the interests of the institution and/or his
or her interests should the Contractor request an in person hearing and subsequently be unable to attend in
sufficient time to permit the issue of a Final Order within the 60 day limitation of 7 CFR 226.6(k)(5)(ix). Should the
Contractor request an in person hearing and be unable to attend and fails to nominate an authorized representative
to attend in their place, the Contractor shall waive the right to personal appearance and the requested administrative
review and the Departments action shall become final.
The administrative review official's determination is the final administrative determination to be afforded to the
institution and responsible principals and responsible individuals. The termination of this Contract upon rendition of
a Final Order shall not be automatically stayed pending any appeal of or challenge to the Final Order. Such stay
may only be obtained by filing a Motion for Stay Pending Appeal with the ARO. If the Motion for Stay is granted, the
Contractor shall be permitted to continue to participate and receive Program reimbursement for eligibie meals
served, and allowable' administrative costs incurred until the time for appeal has expired, the administrative review is
completed, or the appeal is dismissed. The Contractor shall waive its right to seek such Stay if it fails to file a Motion
for Stay Within the period authorized in Sec. 120.68, F.S.
The Contractor shall waive its right to appeal the Final Order if it falls to file one copy of a Notice of Appeal with the
Agency Clerk of the Department of Health and a second copy, accompanied by the filing fees required by law, with
the First District Court of Appeal, Tallahassee, Florida, The Notice of Appeal must be filed within 30 days of the filing
of the ARO's Final Order,
USDA National Disqualified List
If a Contractor, responsible principals and responsible individuals do not timely request administrative review or if
administrative review upholds the Department's proposed action for disqualification from the Child Care Food
Program, the Contractor and/or responsible .principals and responsible individuals will be placed on the National
Disqualified List with the United States Department of Agriculture and will be prohibited from participating in the Child
Care Food Program for a period of seven years. Additionally, if a contractor, responsible principal, or responsible
individual has failed to repay debts owed under the Child Care Food Program, they will remain on the fist until the
debt has been repaid.
Revised 6/2011 21
FLORIDA. DeFARTMENr OF l
SALT
CHILD CARE FOOD PROGRAM.
PERMANENT CONTRACT
ATTACHMENT 3
FINANCIAL AND COMPLIANCE AUDITS
The administration of resources awarded by the Department of Health to the Contractor may be subject to audits
and/or monitoring by the Department of Health, as described in this section.
MONITORING
In addition to reviews of audits conducted in accordance with OMB Circular A-133, as revised, and Section 215.97,
F.S., (see 'AUDITS" below), monitoring.procedures may include, but not be limited to, on -site visits by Department of
Health staff or contracted entities on behalf of the Department, limited scope audits as defined by OMB .Circular A-
133, es revised, and/or other procedures. By entering into this Contract, the Contractor agrees to comply and
cooperate -with any monitoring procedures/processes deemed appropriate by the Department of Health. In the event
the Department of Health determines that a limited scope audit of the Contractor is appropriate, the Contractor
agrees to comply with any additional instructions provided by the Department of Health to the Contractor regarding
such addit. The Contractor further agrees to comply and cooperate with any inspections, reviews, investigations, or
audits deemed necessary by the Chief Financial Officer (CFO) or Auditor General.
AUDITS
1. In the event that the Contractor expends $500,000 or more in Federal awards during its fiscal year, the
Contractor must have a single or program -specific audit conducted in accordance with the provisions of
OMB Circular A-133, as revised. In determining the Federal awards expended in its fiscal year, the
Contractor shall consider all sources of Federal awards, including Federal resources received from the
Department of Health. The determination of amounts of Federal awards expended should be in accordance
with the guidelines established by OMB Circular A-133, as revised. An audit of the Contractor conducted by
the Auditor General in accordance with the provisions of OMB Circular A-133, as revised, will meet the
requirements of this part.
2. In connection with the audit requirements addressed in subparagraph 1 of this section, the Contractor shall
fulfill the requirements relative to auditee responsibilities as provided in Subpart C of OMB Circular A-133,
as revised.
3. If the Contractor expends less than $500,000 in Federal awards in its fiscal year, an audit conducted in.
accordance with the provisions of OMB Circular A-133, as revised, is not required. In the event that the
Contractor expends less than $500,000 in Federal awards in -its• fiscal year and elects to have an .audit
conducted in accordance with the provisions of OMB Circular A-133, as revised, the cost of the audit must
be paid from non -Federal resources (i.e., the cost of such audit must be paid from Contractor resources
obtained from other than Federal entities.)
4. An audit conducted in accordance with this part shall cover the entire organization for the organization's
fiscal year. Compliance findings related to agreements or contracts with the Department of Health shall be
based on the agreement's or contract's requirements, including any rules, regulations, or statutes
referenced in the contract or agreement. The financial statements shall disclose whether or not the
matching requirement was met for each applicable contract or agreement. All questioned costs and
liabilities due to the Department of Health shall be fully disclosed in the audit report with reference to the
Department of Health contract or agreement involved. If not otherwise disclosed as required by Section
.310(b)(2) of OMB Circular A-133, as revised, the schedule of expenditures of Federal awards shall identify
expenditures by contract or agreement number for each contract or agreement with .the Department of
Health in effect during the audit period.
5. Financial reporting packages required under this part must be submitted within the earlier of 30 days after
receipt of the audit report or 9 months after the end of the Contractor's fiscal year end. Copies of reporting
packages for audits conducted in accordance with OMB Circular A-133, as revised, and required by this
Attachment shall be submitted, when required by Section .320 (d), OMB Circular A-133, as revised, by or on
behalf of the Contractor directly to each of the following:
a The Department of Health by email to sinaleauditse,doh.state.fl.us. Audits must be submitted to the
Department must be accompanied by the."Single Audit Data Collection Form," which.rnay be obtained
from the Department's Contract Administrative Monitoring Unit. Files which exceed 8 MB may be
submitted on a CD or other electronic storage medium and mailed to the following address:
Revised 6/2011 22
Child Care Food Program Permanent Contract
Attachment 3, Page 2
Contract Administrative Monitoring Unit
Attention: Single Audit Review
4052 Bald Cypress Way; Bin B01 (HAFACM) •
Tallahassee, FL 32399-1729
b. The Federal Audit Clearinghouse designated in OMB Circular A-133, as revised (the number of copies
required by Sections .320 (d)(1) and (2), OMB Circular A-133, as revised, should be submitted to the
Federal Audit Clearinghouse), at the following address:
Federal Audit Clearinghouse
Bureau of the Census
1201 East 10th Street
Jeffersonville, IN 47132
c. Other Federal agencies and pass -through entities in accordance with Sections .320 (e) and (f), OMB
Circular A-133, as revised.
6. Any reports, management letter, or other information required to be submitted to the Department of, Health
pursuant to this Contract shall be submitted timely In accordance with OMB Circular A-133, Florida
Statutes, and Chapters 10.550 (local governmental entities) cr 10.650 (nonprofit and for -profit
organizations), Rules of the Auditor General, as applicable.
7. Contractors, when submitting financial reporting packages to the Department of Health for audits done in
accordance with OMB Circular A-133 or Chapters 10.550 (local governmental entities) or 10.650 (nonprofit
and for -profit organizations), Rules of the Auditor General, should indicate the date that the reporting
package was delivered to the Contractor in correspondence accompanying the reporting package.
g. The Contractor shall retain sufficient records demonstrating its compliance with the terms of this Contract
for a period of six years from the date the audit report is issued, and shall allow the Department of Health or
"its designee, the Chief Financial Officer (CFO) or Auditor General access to such records upon request.
The Contractor shall ensure that audit working papers are made available to the Department of Health, or
its designee, CFO, or Auditor General upon request for a period of six years from the date the audit report is
issued, unless extended in writing by the Department of Health.
End of Text
Revised 6/2011
23
CITY OF ML&MI, a Florida Municipal Corporation
By:
Johnny Martinez, City Manager
Date:
Attest:
By:
Date:
Priscilla A. Thompson, City Clerk
Approved as to Form and Correctness:
By:
Julie 0. Bru, City Attorney
Date:
Approved as to Insurance Requirements:
By:
Calvin Ellis, Risk Management
Date:
Authorized by Miami City Commission Resolution No. , adopted
(Copy Attached)