Common use of Provision of Funds Clause in Contracts

Provision of Funds. (a) The Authority shall annually submit a proposed budget request to each of the Parties, consistent with the budget approved by the Governing Committee. Requests shall be made by the Authority to the Parties at the time and in the form as determined to be necessary to comply with the fiscal and budget cycles of the individual Party and that is consistent with the Resources provided by the Parties. Each Party shall review the proposed budget request and strive to allocate monies to the Authority consistent with the budget request and overall Five-Year Plan or successor planning documents; provided, that the County’s allocation shall be made biennially. The Authority’s proposed budget request for the County for the second year of the biennium shall describe the reason for any requested adjustments to the County’s budget appropriation for the biennium. Parties shall provide monies to the Authority subject to the terms of each Party’s Master Agreement. (b) It is Seattle’s intent to provide the same funding to the Authority that it budgeted in 2019 for the Homeless Services contracts anticipated to be transferred to the Authority and related administrative expenses. In 2019 that amount is approximately $73,000,000. In accordance with the foregoing, Seattle anticipates providing the following to the Authority, in all cases subject to annual budget appropriations: 1. Initial, start-up funding of no more than $2,000,000 for calendar year 2020 (or a pro rata portion if the Authority commences operations later than January 1, 2020), the Authority’s expected first year of operation. In the event that the Authority determines that a portion of the initial, start-up funding is necessary on an ongoing basis to fully fund the administrative costs of the Authority so as not to reduce the level of Homeless Services provided in 2020 and subsequent years, the Authority may request additional funding from Seattle in an amount that demonstrates a shared investment in ongoing administrative costs between King County and Seattle; and 2. Except as otherwise provided in Section 1(h) of this Article VII, program and administrative funding of no less than $73,000,000 for 2020 (or a pro rata portion commensurate with the needs of the Authority if the Authority commences administration of Homeless Services contracts later than January 1, 2020) and for each of the following three years, and thereafter, funding as necessary for the Authority to acquire through contract Homeless Services and to fund the administrative costs of the Authority. (c) It is the County’s intent to provide the same funding to the Authority that it budgeted in 2019 for the Homeless Services contracts anticipated to be transferred to the Authority and related administrative expenses. In 2019 that amount is approximately $55,000,000. In accordance with the foregoing, the County anticipates providing the following to the Authority, in all cases subject to budget appropriations: 1. Initial, start-up funding of no more than $1,755,000 for calendar year 2020 (or a pro rata portion if the Authority commences operations later than January 1, 2020), the Authority’s expected first year of operation. In the event that the Authority determines that a portion of the initial, start-up funding is necessary on an ongoing basis to fully fund the administrative costs of the Authority so as not to reduce the level of Homeless Services provided in 2020 and subsequent years, the Authority may request additional funding from King County in an amount that demonstrates a shared investment in ongoing administrative costs between King County and Seattle; and 2. Except as otherwise provided in Section 1(h) of this Article VII, program and administrative funding of no less than $55,000,000 for 2020 (or a pro rata portion commensurate with the needs of the Authority if the Authority commences administration of Homeless Services contracts later than January 1, 2020) and for each of the following three years, and thereafter, funding as necessary for the Authority to acquire through contract Homeless Services and to fund the administrative costs of the Authority; provided, that such administrative funding shall include the cost of the space contributed by the County described in Section 1(d) of this Article VII. (d) The County agrees to make facilities available to the Authority for Authority operations. The County’s funding to the Authority in Section 1(c) of this Article VII shall include the value of County space contributed by the County to the Authority. The County’s funding in Section 1(c) of this Article VII shall be reduced to the extent the County directly pays for programs and administration during a transition period. Seattle’s funding in Section 1(b) of this Article VII shall be reduced to the extent Seattle directly pays for programs and administration during a transition period. (e) The Parties will enter into separate Master Agreements with the Authority setting forth each Party’s respective processes to provide Resources or other consideration to the Authority pursuant to the terms and conditions set forth herein and in the Party’s Master Agreement with the Authority. The Parties will collaborate so that, to the extent possible, their Master Agreements have similar and consistent terms, conditions and requirements so as to reduce inefficiencies and avoid any conflicting requirements for the Authority. The terms of the Master Agreements shall be consistent with this Agreement; in the event of a conflict between a Master Agreement and this Agreement, the terms of this Agreement shall prevail. (f) The Parties will use best efforts to coordinate the development of their respective Master Agreements to ensure consistency and that the Authority will be provided adequate Resources to optimize the provision of services with appropriate accountability. (g) If the Authority applies for and receives monies which had, in prior years, been accredited to either Seattle or King County, then: (1) in future years, the amount of such monies shall be credited towards the allocations as defined in Section 1.b.2 and Section 1.c.2 of this Article VII, respectively, and (2) the Authority shall give first priority to providing services to those persons who were previously served by such monies. (h) Seattle or the County may reduce their expected funding, set forth in Sections