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HomeMy WebLinkAbout22- Grant Agreement - Warming Shelter - HRDC FY 2022 Grant Agreement – HRDC for Community Warming Center Page 1 GRANT AGREEMENT HRDC – Warming Center THIS AGREEMENT is made and entered into this ____ day of __________, 2022 (“Effective Date”), by and between the City of Bozeman, Montana, a self-governing municipal corporation located at 121 N. Rouse Ave., Bozeman MT 59771 (“City”) as Grantor and Human Resources Development Council of District IX, Inc. (“HRDC”), a Montana nonprofit corporation located at 32 South Tracy Ave., Bozeman Montana 59715 as Grantee. Collectively City and HRDC may be referred to herein as the “Parties.” WHEREAS, on October 17, 2005 the Bozeman City Commission adopted Resolution No. 3866 establishing policies for the granting of funds from the City of Bozeman to a requesting entity; and WHEREAS, HRDC submitted a proposal to the City Commission for a grant of up to $241,920 for operating a warming shelter at property leased by HRDC to serve as a warming shelter (the “Property”) on land located at 2015 Wheat Drive, Bozeman Montana (the “Land”); and WHEREAS, the City Commission finds there is a compelling public interest in alleviating the need for emergency housing in the community as described in HRDC’s proposal and that the project will serve a public purpose. THE PARTIES AGREE: 1. Grant. The City will grant and release to HRDC a sum of up to two hundred forty one thousand nine hundred twenty dollars ($241,920) from its Workforce Housing Fund (the “Grant”) pursuant to the payment terms in Section 3. 2. Use of Grant Funds. Grant funds will be used by HRDC for the sole purpose of operating a Community Warming Center as described in HRDC’s grant request dated January 6, 2022 (the “Project”), attached hereto as Exhibit A and by this reference incorporated herein. The Parties understand and agree this Agreement is for operational costs associated with the Community Warming Center and in no way supersedes or amends the Grant Agreement entered into between the Parties for costs related to construction activities at the Project dated April 20, 2020.              FY 2022 Grant Agreement – HRDC for Community Warming Center Page 2 3. Payment of Grant Funds a. HRDC will invoice the City for up to $241,920 to receive payment, subject to the terms of this Agreement. b. Any funds from the Grant not awarded during the term of this Agreement will remain in the City’s Workforce Housing Fund and will be available for other appropriation. 4. Term. The term of this Agreement will commence on the Effective Date and expire on October 31, 2022. unless earlier terminated as provided herein. 5. Repayment of Grant Funds. a. Use of Property for a Public Purpose. The City is agrees to grant the Grant funds only for the purposes described in HRDC’s grant request attached as Exhibit A. 6. Grantee Representations a. HRDC has familiarized itself with the nature and extent of this Agreement and with all local conditions and federal, state and local laws, ordinances, rules, and regulations that in any manner may affect HRDC’s performance under this Agreement. b. HRDC represents and warrants to City that it has the experience and ability to perform its obligations under this Agreement; that it will perform said obligations in a professional, competent and timely manner and with diligence and skill; that it has the power to enter into and perform this Agreement; and that its performance of this Agreement shall not infringe upon or violate the rights of any third party, whether rights of copyright, trademark, privacy, publicity, libel, slander or any other rights of any nature whatsoever, or violate any federal, state and municipal laws. The City will not determine or exercise control as to general procedures or formats necessary for HRDC to meet this warranty.            FY 2022 Grant Agreement – HRDC for Community Warming Center Page 3 c. HRDC represents and warrants to City that the Grant funds are necessary to accomplish the financial requirements of the Project. d. HRDC represents and warrants to the City the Leased Property will be used as a Community Warming Center as described in HRDC’s proposal, attached hereto as Exhibit A. 7. Permits and Compliance with Laws. HRDC will obtain, in a timely manner, all required permits, licenses and approvals, and will meet all requirements of all local, state and federal laws, rules and regulations which must be obtained or met in connection with construction or installation of the Improvements. Without limiting the foregoing, HRDC will request and seek to obtain from the City or other appropriate governmental authority all necessary land use, zoning, and building permits. HRDC will comply in all material respects with all applicable environmental laws and regulations applicable to the construction, installation, and operation of the Improvements, will obtain any and all necessary environmental reviews, licenses or clearances under, and will comply in all material respects with, environmental laws and regulations. In addition, HRDC shall comply fully with all applicable state and federal laws, regulations, and municipal ordinances related to worker safety including but not limited to the Occupational Safety and Health Act (OSHA), the safety rules, codes, and provisions of the Montana Safety Act in Title 50, Chapter 71, MCA, all applicable City, County, and State building and electrical codes, and the Americans with Disabilities Act. 8. Worker’s Compensation Insurance. HRDC shall provide in its construction contracts related to the Project with all of its respective contractors that such contractors are to be covered by a Worker’s Compensation insurance program with the State, a private insurance carrier, or an approved self-insurance plan in accordance with State law. 9. Reports/Accountability/Public Information. If Grant funds are paid to HRDC, HRDC will provide to the City a formal written report that includes, at a minimum, the proof of expenses paid. HRDC agrees to develop and/or provide such other documentation as requested by the City demonstrating HRDC’s compliance with the requirements of this Agreement. HRDC must allow the City, its auditors, and other persons authorized by the City to inspect and copy its books and records for the purpose of verifying that monies provided to HRDC pursuant to this Agreement were used in compliance with this Agreement and all applicable provisions of federal, state, and local law. HRDC will retain such records for ten (10) years after receipt of final payment under this Agreement unless permission to destroy them is granted by the City. HRDC shall not issue any            FY 2022 Grant Agreement – HRDC for Community Warming Center Page 4 statements, releases or information for public dissemination without prior approval of the City. 10. Independent Contractor Status. The Parties agree that HRDC, its agents, employees, contractors, or subcontractors, are independent contractors for purposes of this Agreement and are not to be considered employees or agents of the City for any purpose. HRDC and its agents, employees, contractors, or subcontractors, are not subject to the terms and provisions of the City’s personnel policies handbook and may not be considered a City employee for workers’ compensation or any other purpose. HRDC, its agents, employees, contractors, or subcontractors, are not authorized to represent the City or otherwise bind the City in any way. 11. Default and Termination. If HRDC fails to comply with any condition of this Agreement at the time or in the manner provided for, the City may terminate this Agreement if the default is not cured within fifteen (15) days after written notice is provided to HRDC. The notice will set forth the items to be cured. If this Agreement is terminated pursuant to this Section, HRDC will repay to the City any Grant funds already delivered to HRDC for the Project. In the event of termination under this Section 17, HRDC shall, under no circumstances, be entitled to claim or recover consequential, special, punitive, damages of any nature arising, or claimed to have arisen, as a result of the termination. 12. Limitation on HRDC’s Damages; Time for Asserting Claim a. In the event of a claim for damages by HRDC under this Agreement, HRDC’s damages shall be limited to contract damages and HRDC hereby expressly waives any right to claim or recover consequential, special, punitive, lost business opportunity, lost productivity, field office overhead, general conditions costs, or lost profits damages of any nature or kind. b. In the event HRDC wants to assert a claim for damages of any kind or nature, HRDC must first provide City with written notice of its claim, the facts and circumstances surrounding and giving rise to the claim, and the total amount of damages sought by the claim, within ninety (90) days of the facts and circumstances giving rise to the claim. In the event HRDC fails to provide such notice, HRDC shall waive all rights to assert such claim. 13. Representatives a. City’s Representative. The City’s Representative for the purpose of this Agreement shall be the Economic Development Program Manager for Housing            FY 2022 Grant Agreement – HRDC for Community Warming Center Page 5 and Development or such other individual as City shall designate in writing. Whenever approval or authorization from or communication or submission to City is required by this Agreement, such communication or submission shall be directed to the City’s Representative and approvals or authorizations shall be issued only by such Representative; provided, however, that in exigent circumstances when City’s Representative is not available, HRDC may direct its communication or submission to other designated City personnel or agents and may receive approvals or authorization from such persons. b. HRDC’s Representative. HRDC’s Representative for the purpose of this Agreement shall be Heather Grenier or such other individual as HRDC shall designate in writing. Whenever direction to or communication with HRDC is required by this Agreement, such direction or communication shall be directed to HRDC’s Representative; provided, however, that in exigent circumstances when HRDC’s Representative is not available, City may direct its direction or communication to other designated HRDC personnel or agents. 14. Indemnity/Waiver of Claims/Insurance. To the fullest extent permitted by law, HRDC agrees to defend, indemnify and hold the City and its agents, representatives, employees, and officers (collectively referred to for purposes of this Section as the City) harmless against all third party claims, demands, suits, damages, losses, expenses, action or other proceeding whatsoever including reasonable defense attorney fees, (i) arising or purportedly arising out of, or resulting or purportedly resulting from, the construction or installation of the Improvements, any violation by HRDC of any agreement, condition or covenant of this Agreement, the maintenance and operation of the Project, or the presence on any portion of the Land, of any dangerous, toxic or hazardous pollutants, contaminants, chemicals, waste, materials or substances; or (ii) which is proximately caused by HRDC or its officers, agents, contractors, consultants or employees. Such obligations shall not be construed to negate, abridge, or reduce other rights or obligations of indemnity that would otherwise exist. The indemnification obligations of this Section must not be construed to negate, abridge, or reduce any common-law or statutory rights of the indemnitee(s) which would otherwise exist as to such indemnitee(s). HRDC’s indemnification obligations under this Section shall be without regard to and without any right to contribution from any insurance maintained by City. Should any indemnitee described herein be required to bring an action against HRDC to assert its right to defense or indemnification under this Agreement or under HRDC’s            FY 2022 Grant Agreement – HRDC for Community Warming Center Page 6 applicable insurance policies required below the indemnitee shall be entitled to recover reasonable costs and attorney fees incurred in asserting its right to indemnification or defense but only if a court of competent jurisdiction determines HRDC was obligated to defend the claim(s) or was obligated to indemnify the indemnitee for a claim(s) or any portion(s) thereof. In the event of an action filed against City resulting from the City’s performance under this Agreement, the City may elect to represent itself and incur all costs and expenses of suit. HRDC also waives any and all claims and recourse against the City or its officers, agents or employees, including the right of contribution for loss or damage to person or property arising from, growing out of, or in any way connected with or incident to the performance of this Agreement except “responsibility for his own fraud, for willful injury to the person or property of another, or for violation of law, whether willful or negligent” as per 28-2-702, MCA. These obligations shall survive termination of this Agreement. In addition to and independent from the above, HRDC shall at HRDC’s expense secure insurance coverage through an insurance company or companies duly licensed and authorized to conduct insurance business in Montana which insures the liabilities and obligations specifically assumed by HRDC in this Section. The insurance coverage shall not contain any exclusion for liabilities specifically assumed by HRDC in this Section unless and to the extent coverage for such liability is not reasonably available. The insurance shall cover and apply to all claims, demands, suits, damages, losses, and expenses that may be asserted or claimed against, recovered from, or suffered by the City without limit and without regard to the cause therefore and which is acceptable to the City and HRDC shall furnish to the City an accompanying certificate of insurance and accompanying endorsements in amounts not less than as follows: x Workers’ Compensation – statutory; x Employers’ Liability - $1,000,000 per occurrence; $2,000,000 annual aggregate; x Commercial General Liability - $1,000,000 per occurrence; $2,000,000 annual aggregate The City of Bozeman, its officers, agents, and employees, shall be endorsed as an additional or named insured on a primary non-contributory basis on the Commercial            FY 2022 Grant Agreement – HRDC for Community Warming Center Page 7 General Liability policy. The insurance and required endorsements must be in a form suitable to City and shall include no less than a thirty (30) day notice of cancellation or non-renewal. The City must approve all insurance coverage and endorsements prior to delivery of Grant funds to HRDC. HRDC shall notify City within two (2) business days of HRDC’s receipt of notice that any required insurance coverage will be terminated or HRDC’s decision to terminate any required insurance coverage for any reason. 15. Nondiscrimination and Equal Pay. GRANTEE agrees that all hiring by Grantee of persons performing this Grant Agreement shall be on the basis of merit and qualifications. GRANTEE will have a policy to provide equal employment opportunity in accordance with all applicable state and federal anti-discrimination laws, regulations, and contracts. GRANTEE will not refuse employment to a person, bar a person from employment, or discriminate against a person in compensation or in a term, condition, or privilege of employment because of race, color, religion, creed, political ideas, sex, age, marital status, national origin, actual or perceived sexual orientation, gender identity, physical or mental disability, except when the reasonable demands of the position require an age, physical or mental disability, marital status or sex distinction. GRANTEE represents it is, and for the term of this Agreement will be, in compliance with the requirements of the Equal Pay Act of 1963 and Section 39-3-104, MCA (the Montana Equal Pay Act). GRANTEE must report to the City any violations of the Montana Equal Pay Act that Contractor has been found guilty of within 60 days of such finding for violations occurring during the term of this Agreement. GRANTEE shall require these nondiscrimination terms of its subcontractors providing services under this Grant Agreement. 16. Public Meetings and Access to Public Records a. Meetings of HRDC that pertain to the receipt or expenditure of Grant funds from the City are subject to the open meeting requirements of Montana law, including those set forth in Title 7, Chapter 1, Part 41, MCA and Title 2, Chapter 3, MCA. To ensure compliance, HRDC will provide agendas for meetings that pertain to the receipt or expenditure of Grant funds covered by this Agreement to the City Clerk’s office no later than 72 working hours prior to meeting for notice on the City’s official posting board and any other sites deemed reasonable by the Clerk’s office. In addition, meeting minutes will be kept by HRDC and provided to the City Clerk’s office no later than 90 days after the meeting. These minutes shall be posted and made available to the public by the City Clerk’s office except for those minutes taken during a closed            FY 2022 Grant Agreement – HRDC for Community Warming Center Page 8 meeting in accordance with 2-3-203, MCA. Minutes taken during a closed meeting shall also be provided to the City Clerk’s office but shall be handled in accordance with the City Clerk’s regular executive session protocol and kept private in a secured cabinet. b. In accordance with 7-1-4144, MCA and subject to any applicable legal obligation to protect and preserve individual confidential or private information, upon reasonable request and at reasonable times during normal business hours, HRDC shall make such records available for inspection and copying by members of the public. HRDC may charge for such copying in accordance with the policies of the City, which HRDC hereby adopts for such purposes. c. To determine whether a meeting or part of a meeting may be closed to the public and to determine whether information contained in HRDC documents is protected by law from disclosure, HRDC may seek a determination of the City Attorney at no cost to HRDC. Such request and determination shall not create an attorney-client relationship between HRDC and the City. 17. Attorney’s Fees and Costs. In the event it becomes necessary for a party to this Agreement to retain an attorney to enforce any of the terms or conditions of this Agreement or to give any notice required herein, then the prevailing party shall be entitled to reasonable attorney’s fees and costs, including fees, salary, and costs of in- house counsel to include City Attorney. 18. Integration and Modification. This document contains the entire agreement between the Parties and no statements, promises or inducements made by either party or agents of either party not contained in this written Agreement may be considered valid or binding. This Agreement may not be modified except by written agreement signed by both Parties. 19. Dispute Resolution a. Any claim, controversy, or dispute between the Parties, their agents, employees, or representatives shall be resolved first by negotiation between senior-level personnel from each party duly authorized to execute settlement agreements. Upon mutual agreement of the Parties, the Parties may invite an independent, disinterested mediator to assist in the negotiated settlement discussions. b. If the Parties are unable to resolve the dispute within thirty (30) days from the date the dispute was first raised, then such dispute may only be resolved in a            FY 2022 Grant Agreement – HRDC for Community Warming Center Page 9 court of competent jurisdiction in compliance with the Applicable Law provisions of this Agreement. 20. No Assignment. HRDC may not subcontract or assign HRDC’s rights, including the right to Grant payments, or any other rights or duties arising hereunder, without the prior written consent of City. 21. Successors Bound By Agreement; No Third Party Beneficiary. Subject to compliance with Section 26, this Agreement will inure to the benefit of and be binding upon the Parties and their respective successors in interest and permitted assignees. This Agreement is for the exclusive benefit of the Parties, does not constitute a third-party beneficiary agreement, and may not be relied upon or enforced by a third party. 22. Choice of Law. This Agreement shall be governed and construed in accordance with the laws of the State of Montana without regard to conflict of law provisions. The Parties agree to submit to the personal and exclusive jurisdiction of the courts located within Gallatin County, Montana. 23. Non-Waiver. A waiver by either party of any default or breach by the other party of any terms or conditions of this Agreement does not limit the other party’s right to enforce such term or conditions or to pursue any available legal or equitable rights in the event of any subsequent default or breach. 24. Severability. If any portion of this Agreement is held to be void or unenforceable, the balance of the Agreement shall continue in effect. 25. Counterparts. This Agreement may be executed in counterparts, which together constitute one instrument. 26. 30. Consent to Electronic Signatures: The Parties have consented to execute this Agreement electronically in conformance with the Montana Uniform Electronic Transactions Act, Title 30, Chapter 18, Part 1, MCA.            FY 2022 Grant Agreement – HRDC for Community Warming Center Page 10 IN WITNESS WHEREOF, the Parties hereto have executed this instrument the day and year indicated below. CITY OF BOZEMAN _______________________ Date: __________ Jeff Mihelich, City Manager HRDC _______________________ Date: __________ Heather Grenier, President and CEO Approved as to form: _______________________ Date: __________ Greg Sullivan, City Attorney City of Bozeman              ____________________________Date: aagagagaagagagagaggagaggggggggggggggggggggger FY 2020 Grant Agreement – HRDC for Community Warming Center Exhibit A Exhibit A Grant Request            2/15/22, 9:52 AM Mail - Renata Munfrada - Outlook https://outlook.office365.com/mail/archive/id/AAQkADU4NjliNTY5LWU3ZDEtNDAxNi04ODFhLTFlNjIyZDlkN2IyYgAQAJfc%2F7aihLpOhTwGEbrX8zg…1/3 FW: Community Housing Fund Funding Request Application Submission Entry David Fine <DFine@BOZEMAN.NET> Fri 2/11/2022 2:08 PM To: Renata Munfrada <rmunfrada@BOZEMAN.NET> Renata – Please use the grant template form to start pung this grant together. David Fine | City of Bozeman Economic Development C: 406.551.0209 |dfine@bozeman.net | www.bozeman.net | he / him / his From: webadmin@bozeman.net <webadmin@bozeman.net> Sent: Thursday, January 6, 2022 3:25 PM To: sriggs@bozeman.net; Lacie Kloosterhof <LKloosterhof@BOZEMAN.NET>; David Fine <DFine@BOZEMAN.NET> Subject: Community Housing Fund Funding Request Applicaon Submission Entry A new entry to a form/survey has been submied. Form Name:Community Housing Fund: Funding Request Applicaon Date & Time:01/06/2022 3:24 PM Response #:8 Submier ID:47465 IP address:47.47.186.198 Time to complete:49 min. , 2 sec. Survey Details Page 1 Community Housing Fund Scoring Sheet Community Housing Allocaon Process 1.Organizaon Seeking Funding Organizaon Name HRDC District IX, Inc. Address 32 South Tracy Avenue Contact Name Heather Grenier Contact Phone Number (406) 587-4486 ext. 4891 Contact Email Address hgrenier@thehrdc.org 2.Project Informaon Project Name Warming Center Locaon of Project 2015 Wheat Drive 2/15/22, 9:52 AM Mail - Renata Munfrada - Outlook https://outlook.office365.com/mail/archive/id/AAQkADU4NjliNTY5LWU3ZDEtNDAxNi04ODFhLTFlNjIyZDlkN2IyYgAQAJfc%2F7aihLpOhTwGEbrX8zg…2/3 Project Descripon HRDC operates an overnight, seasonal shelter in Bozeman. Recently, HRDC was granted addional grant funding from the State of Montana for Day Center operaons, allowing the facility to be open during dayme hours to offer showers, laundry, peer support acvies, computer access, housing services, etc. This has benefited the Bozeman community greatly and posively impacted the business community. However, the number of people without housing in the valley has grown exponenally since the onset of COVID-19. The need for shelter is not limited to the colder months and has far surpassed a seasonal overnight shelter. HRDC proposes an investment from the City of Bozeman to extend overnight shelter operaons from 5 months to 12 months per year. In 2021, Bozeman lost seven community members due to exposure to the outdoor elements. We can do beer as a community in caring for every member. While a larger facility and 24/7/365 plan are in the works, this will allow us to at least extend overnight shelter services throughout the year. Project Timing April 1 - October 31, 2022 Which Community Housing Acon Plan Strategy/Acon Item Does This Project Address? Permanent supporve housing and transional housing # of Affordable Dwelling Units to be Generated/Renovated 120 Area Median Income % Targeted Shelter guests span all income levels, however are most oen referenced as very low income, indicang an income range of 0-30% Area Median Income. Project Partners (if applicable) Not answered 3.Indicate how this project ensures permanent or long term affordability [×] Other Please Explain Shelter services ensure emergency community infrastructure is in place. This expands that community infrastructure from seasonal to year-round for one season. Page 2 4.Project Funding (Please aach budget at the end of the applicaon) Total Project Budget $985,500 5.Primary Project Funding Sources 1.Community Donaons/Fundraising $ Amount $561,000 2.State of Montana $ Amount $125,000 3.EFSP $ Amount $31,000 Amount Requested From Community Housing Fund $241,920 6.Which Project Elements Will Funds Be Used For? (aach line item budget if needed) 1.Overnight shelter team $ Amount $241,920 2.Not answered $ Amount Not answered 2/15/22, 9:52 AM Mail - Renata Munfrada - Outlook https://outlook.office365.com/mail/archive/id/AAQkADU4NjliNTY5LWU3ZDEtNDAxNi04ODFhLTFlNjIyZDlkN2IyYgAQAJfc%2F7aihLpOhTwGEbrX8zg…3/3 3.Not answered $ Amount Not answered 7.Type of Funding Requested (○) Grant 8.If you selected Grant, would you consider a Loan if Grant was not available? (○) No 9.Would you accept 50% of your requested amount? (○) Yes 10.Would you accept 25% of your requested amount? (○) Yes 11.Could the Grant / Loan be split among mulple years? (○) No 12.When would the funds requested need to be received in order to opmize the benefit of the funds requested for the project? April 1, 2022 13.Have you received community housing funding assistance in the past 5 years? (○) Yes Page 3 14.Addional Informaon What is the level of urgency behind the funding request? Crical If Community Housing Funds are not allocated to this project, how does impact the project? Overnight shelter will remain seasonal in nature, offered November 1 through March 31 annually, conngent upon funding. 15.Addional Documentaon (i.e. Cover leer, budget, project descripon, leers of support, etc...) Copy of 2021-2022 BWC Yr-Round Costs.pdf Thank you, City Of Bozeman This is an automated message generated by Granicus. Please do not reply directly to this email. FY 2020 Grant Agreement – HRDC for Community Warming Center Exhibit B Exhibit B Cost of Improvements            BWC Year Round Costs Scenario 1: No change to staffing costs Revenue Budget Balance Scenario 1 staffing prelim Donations ($516,000.00) ($(636.21) Fundraising Income ($45,000.00) City of Bozeman ($241,920.00) Source: FE, most recent budget in the drive, staffing cost sheets, staffing prelim. Other program support ($66,000.00) State of Montana ($125,000.00) EFSP ($31,000.00) Total expected revenue ($1,024,920.00) Expenses ($414,720.65) $34,560.05 overnight shelter staffing cost/month Admin/Allocations Costs ($43,248.00) Salaries ($531,674.77) ($291,413.26) BWC (includes on-call)pulled from prelim. staffing costs Staffing Structure ($81,509.00) DC Program FTE Role ($71,046.37) DIC BWC 2.25 lead $21/hr ($87,706.14) CoB Outreach 3.53 support $20/hr Fringe ($126,674.92) ($73,307.39) BWC (includes on-call)DC 1 lead ($16,091.05) DC DIC 1 recovery specialist ($12,593.14) DIC 0.5 psh counselor ($24,683.34) CoB Outreach CoB 1 outreach specialist Construction/Rehab ($40,000.00) 1 ESS HN Contract Services ($6,000.00) All ESS - mgr 1 ESS mgr Fundraising Expense ($2,000.00) All ESS - hsg director 0.25 Hsg Dir Furniture/Fixtures ($40,000.00) total 11.53 Hotel/Motel Vouchers ($10,000.00) Housing Placemement Support ($12,640.04) Legal ($400.00) License+Permit Fees ($200.00) Outreach & Marketing ($3,000.00) Prop Insurance ($3,857.00) Prop Interest ($20,000.00) Prop Maintenance ($1,800.00) Prop Rent/repairs ($132,000.00) Prop Utilities ($28,640.00) Space/Communications ($2,921.48) Supplies/equipment/misc.($15,000.00) Training ($3,000.00) Travel ($500.00) Volunteer Recognition ($2,000.00) Total expenses ($1,025,556.21) monthly cost ($85,463.02)