HomeMy WebLinkAbout20220454.tiffRESOLUTION
RE: APPROVE ACCEPTANCE OF PURCHASE ORDER FUNDS FOR COLORADO
WORKS SUBSIDIZED TRAINING AND EMPLOYMENT PROGRAM (CW STEP) AND
AUTHORIZE EMPLOYMENT SERVICES OF WELD COUNTY TO DISBURSE FUNDS
WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to
Colorado statute and the Weld County Home Rule Charter, is vested with the authority of
administering the affairs of Weld County, Colorado, and
WHEREAS, the Board has been presented with the Acceptance of Purchase Order Funds
for Colorado Works Subsidized Training and Employment Program (CW STEP) between the
County of Weld, State of Colorado, by and through the Board of County Commissioners of
Weld County, on behalf of the Department of Human Services, Employment Services of Weld
County, and the Colorado Department of Human Services, commencing October 18, 2021, and
ending June 30, 2022, with further terms and conditions being as stated in said purchase order,
and
WHEREAS, after review, the Board deems it advisable to approve said purchase order, a
copy of which is attached hereto and incorporated herein by reference.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of
Weld County, Colorado, that the Acceptance of Purchase Order Funds for Colorado Works
Subsidized Training and Employment Program (CW STEP) between the County of Weld, State
of Colorado, by and through the Board of County Commissioners of Weld County, on behalf of
the Department of Human Services, Employment Services of Weld County, and the Colorado
Department of Human Services, be, and hereby is, approved.
BE IT FURTHER RESOLVED by the Board that the Employment Services of Weld County
be, and hereby is, authorized to disburse said funds.
The above and foregoing Resolution was, on motion duly made and seconded, adopted
by the following vote on the 7th day of February, A.D., 2022, nunc pro tunc October 18, 2021.
BOARD OF COUNTY COMMISSIONERS
WELD,GOUNTY, COLORADO
Scott K. James, Chair
Mi r man, Pro-Tem
rry L. Buck
teve Moreno
Lori Saine
2022-0454
HR0094
CorrlvGe I- i r5tY4
PRIVILEGED AND CONFIDENTIAL
MEMORANDUM
DATE: January 11, 2022
TO: Board of County Commissioners — Pass -Around
FR: Jamie Ulrich, Director, Human Services
RE: Employment Services of Weld County (ESWC)
Colorado Works Subsidized Training and
Employment Program (CW STEP) Purchase Order.
Please review and indicate if you would like a work session prior to placing this item on the
Board's agenda.
Request Board Approval of the Department's Employment Services of Weld County (ESWC)
Colorado Works Subsidized Training and Employment Program (CW STEP) Purchase Order.
ESWC has received $150,000 in funds in the form of Purchase Order #IHGA 202200005866 from the
State of Colorado Department of Human Services (CDHS). This funding was authorized by new
legislative approval for the reimplementation of the Colorado Works Subsidized Training and
Employment Program (CW STEP) originally created through Senate Bill 17-292. The program has been
refunded for State Fiscal Year 2022 (SFY22) and requires that ESWC place at least twenty-five (25)
clients into CW STEP and that the placements be in industries and occupations tied to the local labor
market's current demands.
I do not recommend a Work Session. I recommend approval of this Purchase Order and authorize the
ESWC Division to dispense the purchase order funds as appropriate.
rove Schedule
Recommendation Work Session Other/Comments:
Perry L. Buck
Mike Freeman, Pro -Tern rAF
Scott K. James, Chair
Steve Moreno
Lori Saine
Pass -Around Memorandum; January 11, 2022 - CMS ID 5504 Page 1
2022-0454
2/7
STATE OF COLORADO Page 1 of
Department of Human Services
Number: PO,IHGA,202200005866
The order number and line number must appear on all
Date: 10/21/21
invoices, packing slips, cartons, and correspondence.
Description:
iiUi•
SFY22 CW STEP -Weld
ACCOUNTING
1575 SHERMAN STREET, 6TH FLOOR
DENVER, CO 80203-1714
Effective Date: 10/18/21
Ex iration Date: 06/30/22
Buyer: Toby Erxleben
SELF SUFFICIENCY--COLO WORKS
Email: toby.erxleben@state.co.us
1575 SHERMAN STREET, 3RD FLOOR
® • ®
DENVER, CO 80203-1714
WELD COUNTY
Human Services
PO BOX A
GREELEY, CO 80632
•
Delivery/Install Date: -
Contact: vendor contact
FOB:
Phone: 0000000000
The purpose of these purchase orders is to implement the Colorado Works Subsidized Training and Employment
Program (CW STEP) which was created through SB 17-292. Funding was lapsed during SFY21 and the program
has just been re -funded for SFY22.
r
tea=
G1000
0 0.00 $150,000.00 ❑
Description: Grant Commodity
Service From: 10/18/21 Service To: 06/30/22
https://www.colorado.gov/osc/purchase-order-terms-conditions
DOCUMENT TOTAL =
$150000.00
EXHIBIT A - STATEMENT OF WORK
1. ACRONYMS AND DEFINITIONS:
1.1. CDHS: Colorado Department of Human Services. The department responsible for
funding and overseeing CW STEP. Referred to within this Contract as the Department
1.2. Host Site Employers: A business or agency agreeing to host, train, and supervise a
CW STEP client and certify the hours the client has worked.
1.3. Employer of Record: A business or agency responsible for paying wages to a CW
STEP client, withholding and payment of payroll taxes, including FICA, Medicare, and
applicable unemployment insurance taxes, worker's compensation coverage, and
preparation and distribution of federal and state taxes.
1.4. Living Wage: For purposes of CW STEP, living wage is calculated as 50% of the
Massachusetts Institute of Technology Living Wage Calculator for one adult and two
children, based on the county of residence.
1.5. County: The county human services department that administers CW STEP in a
county or counties.
1.6. Prevailing Wage: Defined as the hourly wage, usual benefits and overtime paid in
the largest city in each county, to the majority of workers, laborers, and mechanics.
Prevailing wages are established by the Department of Labor & Industries for each
trade and occupation employed in the performance of public work.
1.7. Subsidized Employment: Earnings from employment or training in combination with
work in which all or a portion of the wage is paid to an employer with CW STEP funds.
1.8. Successful Exit: When a CW STEP client exits CW STEP due to being hired for an
unsubsidized job or when they exit with measurable skill gains.
1.9. TAN F: Temporary Assistance for Needy Families. Known in Colorado as "Colorado
Works".
1.10. Training: Training tied to a specific occupation and industry recognized which
helps build employable skills that is attached to an employment opportunity and is an
expressed component necessary for an individual to gain employment. Training may be
paid or unpaid.
1.11. Underemployed: An individual employed for no more than 20 hours per week, for
at least 4 consecutive weeks, who is actively seeking employment utilizing the public
workforce system.
1.12. Unemployed: An individual without employment for at least 4 consecutive weeks,
who is actively seeking employment utilizing the public workforce system.
Exhibit A — Statement of Work Page 1 of 9
1.13. Unsubsidized Employment: Earnings from employment provided by an employer
who does not receive a subsidy for the creation and maintenance of the employment
position.
1.14. Unsuccessful Exit: When a CW STEP client is no longer suited to participate due
to lack of client engagement, relocating to a different state, being physically unable to
work, or other reasoning which precluded the client from gaining an unsubsidized job.
2. OBJECTIVE
The purpose of this contract is to implement the Colorado Works Subsidized Training
and Employment Program (CW STEP). CW STEP is a statewide program that aims to
assist Colorado Works recipients in attaining living -wage, permanent jobs through
employment opportunities with subsidized wages, including apprenticeships, on-the-job
training, Subsidized Employment including transitional jobs, and paid internships. CW
STEP aims to address the TANF purpose of reducing the dependency of CW parents by
promoting job preparation, work and marriage.
3. SCOPE
The County shall develop, implement, and administer CW STEP in the following
county(ies): Weld. The County shall ensure that services are delivered in a culturally
competent manner, are language appropriate, and that they meet the needs and
challenges of the target population.
A. CW STEP Plan. The County shall develop a comprehensive plan for how they will
develop, implement, and administer CW STEP.
B. Eligible Clients. An eligible client is an individual who is eligible to receive
Colorado Works Basic Cash Assistance (BCA) and who is deemed appropriate
for and can benefit from CW STEP based on their Colorado Works assessment.
Adults receiving BCA and age appropriatetwork ready children may receive
services through CW STEP. Parents, step-parents, and youth are all eligible, as
are work -required and non -work -required household members who are recipients
of the BCA grant.
C. Allowable Activities. The County shall ensure that CW STEP clients are enrolled
in at least 1 of the following allowable activities:
a. Work -based learning occurs in part or wholly in the workplace, designed to
provide the learner with hands-on, real world experience. For the purpose
of CW STEP, work -based learning opportunities include Subsidized
Employment, transitional jobs, apprenticeships, on-the-job training, and
internships.
b. Subsidized Employment is employment in the public or private sector for
which the employer receives a subsidy to offset wages and costs of
employing the client. Subsidized employment entails time -limited,
wage -paid work that helps individuals who are chronically Unemployed or
Underemployed, often with barriers to employment, establish work history
and develop workplace skills with a goal of obtaining Unsubsidized
Employment.
c. Transitional Job is a form of Subsidized Employment, combining real work,
skill development, and support services to help clients overcome
substantial barriers to employment.
Exhibit A — Statement of Work Page 2 of 9
d. On -the -Job Training combines productive work with the provision of
knowledge and skills essential to full, competent performance on the job.
The employer and worker/client engage in a training plan with the goal of
full employment in the position.
e. Apprenticeship is an employer -driven, experiential learning model
combining on-the-job learning as a paid employee with related classroom
instruction in order to increase one's skill level and wages.
Apprenticeships do not have to be registered.
f. Internship is an employment opportunity in a real -world environment,
designed to expose the client to the work environment, requirements, and
behavioral expectations of a particular occupation or industry. These work
experiences are designed to stimulate long-term employment success but
are not expected to provide formal occupational skills training.
D. Allowable Spending. The County shall spend CW STEP funds in the following
ways:
a. Work Experience and Wages:
i. clients will receive subsidized wages (in combination with
complementary Training and/or other support) for up to 6 months at
a maximum of 40 hours per week.
ii. Employment can occur in a broad spectrum of venues: private,
public, nonprofit, or community -based organizations.
iii. clients may be paid the Prevailing Wage (as determined with local
Labor Market Information) for the job they are doing commensurate
with their experience.
iv. Types of work experience can include 1 or a combination of:
Subsidized Employment, work -based learning, apprenticeships,
internships, transitional jobs, on-the-job training, career Training,
extended learning, instructional site learning, and job shadowing
and classroom Training directly related to work.
v. All placements must include hands-on work experience with a
wage.
vi. Depending on the nature of the placement, clients may be
compensated in wages for up to 100% for any of the activities listed
above under "allowable activities."
b. Supportive Services:
i. Eligible supportive services must be directly related to the client's
ability to work in the immediate subsidized placement.
ii. Available county TANF funds for supportive services shall be
prioritized when applicable before CW STEP funds may be used for
supportive services. CW STEP funds used for supportive services
must be directly related to the client's ability to work in the
immediate subsidized placement.
1. Allowable supportive services expenses include, but are not
limited to, tools, uniforms, car repairs, rental and utility
assistance, non -recurrent personal needs (including
eyeglasses), and other non -recurrent needs that may inhibit
participation in work.
2. TANF and CW STEP funds may not be used to pay for
medical expenses including office visits, treatment, and
Exhibit A — Statement of Work Page 3 of 9
medicines unless it is not covered by Medicaid and the
expense is pre -approved by the Department.
c. Job Coaching
i. Case management and coaching may be provided independently
or in combination with supportive services. Available county TANF
funds for case management and coaching shall be prioritized when
applicable before CW STEP funds may be used for these services.
ii. Job Coaching/Case Management should be related to CW STEP
activities along with other employment barrier removal.
d. The County shall not spend CW STEP funds on standalone Training to
clients. Training must always be concurrent with some form of Subsidized
Employment (i.e. Training is attached to an employment opportunity and is
an expressed component necessary for an individual to gain employment).
E. Outreach and Recruitment of Host Site Employers.
a. When recruiting Host Site Employers, the County shall strive to recruit
employers that offer access to programs that encourage employers to hire
clients (e.g. Federal Bonding) and to programs that reward clients for
obtaining and retaining employment (e.g. Earned Income Tax Credit).
b. The County shall perform job development activities to recruit businesses
into the program and determine their needs and requirements.
c. The County may use multiple methods to recruit participating employers:
media campaigns, marketing events, staffing agencies, their own
connections/word of mouth, and/or tasking clients to market themselves to
prospective employers.
i. The cost of employer recruitment materials and development shall
be built into administrative costs and are not anticipated to exceed
2% of total administrative costs.
ii. The County shall use all CW STEP marketing materials that the
Department provides.
d. The County shall not blindly refer clients to an employer. The employer will
have an opportunity to pre-screen clients via employment fairs,
Connecting Colorado, interviews, or other agreed upon methods.
F. Recruiting and Enrollment of CW STEP Clients.
a. The County shall provide onboarding services immediately following a
referral and begin the process to match a client in allowable CW STEP
activities.
b. The recommended period from time of referral to time of placement is 2
weeks. However, the Department will not monitor compliance on the
amount of time between referral and placement.
G. Client Placements. CW STEP clients may be placed at a Host Site Employer for
up to 6 months. Written approval from the Department is required if the County
wants to extend the placement for more than 6 months.
a. A client may be placed 3 times in the program year.
b. A client may only work up to 40 hours per week at their placement.
H. County Agreements. In order to successfully implement and administer CW
STEP, the County must collaborate with the county department(s) of
human/social services and community partners (e.g. community -based
organizations, community colleges, workforce centers, early childhood councils,
and family resource centers).
Exhibit A— Statement of Work Page 4 of 9
a. The County shall maintain regular communication with the county
department(s) of human/social services or other agencies working with
CW STEP clients.
b. It is the responsibility of the County to notify referring counties if the
pipeline becomes over -burdened (supply of clients greater than the
demand from employers) with referrals while clients are being matched to
employers.
c. The County shall be the first source to provide technical assistance for
CW STEP to their county and community based partners.
I. Working with Employers and Payroll. The County may either choose to act as
the Employer of Record (i.e. payroll, employment functions) or reimburse the
actual Employer Host Sites for the cost of paying clients, etc. The Employer of
Record must not be in violation of the Civil Rights Act, the Americans with
Disabilities Act or any other law governing the equal treatment of employees in
the workplace.
a. The County may use a staffing agency for payroll/benefits purposes,
including issuing the W -2s.
b. Only Work Experience hours actually worked are paid a wage.
c. The Employer of Record (the County or employer) shall issue paychecks
and W -2s to clients.
d. All placements shall be subject to the Fair Labor Standards Act (FLSA).
e. CW STEP clients shall be treated equitably by the participating employers.
f. The subsidy paid by CW STEP shall be negotiated with each employer
(based upon the client's skill level).
g. Employers that commit to placing a client must affirm that no individuals
are on layoff from the same or any substantially equivalent job within the
company or organization, and that no existing regular employees were
terminated to create the vacancy that shall be filled by the program client
(Section 407(f) of the Deficit Reduction Act; Section 181 of the Workforce
Investment Act; 20 CFR 667.270).
h. The work -based Training option should provide an opportunity for the
client to perform value added work to the business. The employer is not
bound to hire the client at the completion of the subsidized period;
however, the client may be considered for the position before beginning an
external search.
i. For On -the -Job Training opportunities, the employer is expected to retain
clients who successfully complete the Training period.
j. For other categories of allowable activities offered in CW STEP targeted
Training should relate to open positions within the local labor market with
an opportunity to connect to employment at the particular site or other
employer in the community.
k. Workers' compensation shall be paid according to arrangements made
between employers and the county. The entity that pays the employee will
pay the workers' compensation.
J. Case Files and Documentation. The County shall maintain a detailed case file
for each client. This file may be paper or electronic. It must contain job placement
and other activities, including employer information, job title, job/position
description, projected and actual length of activity, and all relevant outcomes
including wage at placement, at exit and if health benefits are offered with the
Exhibit A — Statement of Work Page 5 of 9
job. The client case file will be used to monitor the performance of the County in
meeting program and contract objectives.
L
I&
The list below is not exhaustive and includes examples of mandatory documents
that must be retained in the case file.
a. CW STEP Time Sheets: The employer of record must complete and
submit a client timesheet to the County on a pre -determined and
consistent monthly schedule. The County must verify that the time sheet
aligns with payroll.
b. Performance Evaluations: CW STEP client performance should be
evaluated on a repeating schedule, at a minimum, to coincide with time
sheet/payroll submissions or as deemed appropriate by County staff.
Suggested areas to evaluate clients' on the job performance include: job
knowledge, work quality, attendance, dependability and
communication/listening skills. Methods of collecting information can
include, but are not limited to, standard CW STEP forms, personal
communication between CW STEP staff and employer, standardized
employer forms, or other documentation methods.
c. Client Status Report: The County shall keep regular activity logs for each
client and shall complete a client status update in the appropriate
database system(s). These reports shall include notes on interactions and
services offered. Reports should reflect the number of hours clients spend
in subsidized Training and employment activities.
d. Case Notes: The County shall document in the appropriate electronic
system detailed case notes after each client interaction, placement, and
exit. Case notes/comments from electronic systems may be copied and
pasted into the case file or be printed to be put in a paper file.
e. Subsidized Employment Agreement: The County shall place in the file
signed copies of all employment agreements.
LAC Training and Meetings. The County shall attend all required Department
training and meetings.
a. Through these meetings, the County shall actively identify problems and
areas to improve or change.
Operations Guide and Memorandums. The County shall comply with all
procedures and processes outlined in the CW STEP Operations Guide and all
memorandums issued by the Department related to CW STEP. This includes any
memorandums issued prior to the start of this Contract.
Optional Services. The County may choose to include the following services
within the scope of CW STEP.
a. Administer assessments to identify barriers, develop short- and long-term
employment and career goals, skills, and match clients to work
assignments that fit their interests, needs, and circumstances
b. Provide life skills and job readiness Training (such as adhering to
workplace norms) in conjunction with Subsidized Employment.
c. Offer connections to work supports and job retention services, such as
short-term child care, transportation, and community health resources in
order to support Subsidized Employment assignments.
Exhibit A — Statement of Work Page 6 of 9
d. Provide work -focused case management assistance which leads to
permanent, Unsubsidized Employment, in conjunction with Subsidized
Employment assignments.
4. PERSONNEL REQUIREMENTS
A. Personnel General Requirements. The County shall provide sufficient
personnel to perform the work described in this Statement of Work. In the event
that the Department determines that the County has provided insufficient staff or
staff that does not have the necessary skills, knowledge or experience to perform
the work, the County shall provide additional and replacement staff to perform its
obligations.
a. The County shall maintain appropriate staffing levels throughout the term
of the contract.
B. Subcontracting. There is no contractual relationship between subcontractors
and the Department. The contractual relationship exists only between the County
and the Department, between whom there is "privity of contract."
a. the Department will manage the County's performance according to the
terms agreed upon in this Exhibit A, Statement of Work.
b. The County may choose to subcontract with another agency, organization,
or individual to serve as the employer of record. Any subcontractors will be
specified in the County's budget and are subject to the Department's prior
approval.
c. Budgets cannot be modified to include, delete or change subcontractors
without consultation with and approval from the Department.
d. The County will report on subcontractor activities as a part of their program
report. Billing for subcontracted work shall be included as a part of the
County's submission.
5. OUTCOMES:
A. The County shall place at least 25 clients into CW STEP. These placements shall
be in industries/occupations tied to local labor market demands.
B. The County shall exit at least 35% of enrolled clients to Unsubsidized
Employment.
a. Of those 35%, the County shall exit at least 20% of clients to a living -wage
job.
C. At exit, at least 40% of clients will have gained marketable skills that are expected
to lead to obtaining a living -wage job in the short-term (i.e. less than 2 years).
a. The County shall clearly document in the case file how these skills will
reasonably lead to a living -wage job.
D. The Department and the County may also choose to assess additional long-term
and 2Gen (i.e. parent -focused, child -focused, and family -focused) measures,
pending data availability and accessibility.
6. BUDGET
A. The County shall develop a budget in collaboration with the Department. The
Department will make recommended changes to the budget based on their
experience with overseeing CW STEP.
a. The final budget shall be submitted by July 26,2021.
Exhibit A — Statement of Work Page 7 of 9
B. Modifications to the budget are made through amendments and are subject to
program needs and available funding. The Department shall review written
requests for deviations from the scope of work or the approved budget within 2
business days and respond to the request within 5 business days. All change
requests must be based on actual or projected data. The Department can
approve or deny requests.
C. Changes to the budget greater than 20% require approval from the Department.
a. The County shall submit changes to the budget that are 20% or less via
email or written notice to the Department.
b. Line item shifts that result in a change to the percentage of funding
expended on direct services require pre -approval from the Department.
D. The County shall develop a process that ensures spending and considers
redistribution of funds based on performance and outcomes.
E. The County shall not use CW STEP funds to supplant other contracts/programs.
7. MONITORING, REPORTING, AND EVALUATION
A. Monitoring. The County shall use the following monitoring methods to
collect data, measure outputs and outcomes, and evaluate overall
programming:
a. Audit: On a quarterly basis, the Department will review files for
compliance with applicable CW STEP guidelines outlined in this
Exhibit A, Statement of Work, and the CW STEP Operations
Handbook. These audits may occur on -site or remotely via the agreed
upon database. Counties will be provided audit guidelines and file
sample list at least 2 weeks prior to audit.
b. Survey: The County shall conduct an exit survey for each CW STEP
client when they secure unsubsidized employment. The surveys will
help capture client feedback. Surveys will be primarily electronic, but
clients can request to complete a paper version. A copy of the survey
shall be retained in the case file.
B. Reporting. The County shall collect and track program data and provide
client information and expenditure reports to the Department as follows:
a. Bi-annual Narrative Reports are due by the 10th of January, and by
the 10th of July. Bi-annual narrative reports shall contain information
for the preceding months of program activity.
i. The Department will provide a template to be used within 60
days from the beginning of the Contract period.
b. If the day listed above falls on a weekend or State holiday, the report
shall be due on the following business day.
C. Evaluation.
a. Formal evaluation of CW STEP is required by the legislature. The
Department will contract with an outside agency to perform this
evaluation. The County shall comply with all requirements needed to
complete this evaluation.
b. The Department may conduct informal evaluations of the County. This
may occur at least once during the contract's terms. Additionally, the
Department have the right to inspect the County's records at any
reasonable time, in order to assure compliance with and performance
Exhibit A — Statement of Work Page 8 of 9
of the terms of the contract and its Statement of Work. Any amounts
the Department paid improperly shall be immediately returned to the
Department or may be recovered in accordance with other remedies.
8. COMPENSATION, INVOICES, AND PAYMENT
A. Compensation. The County shall be paid a maximum of $150,000.
a. All reimbursements will be made on a cost -reimbursable basis, based on
actual expenditures.
b. The specified services provided by the County are federally funded and
must comply with the Office of Management and Budget guidelines and
principles related to allocable and allowable costs.
9. DUTIES AND OBLIGATIONS OF THE DEPARTMENT
A.
The Department will coordinate information exchanges and training sessions for
workforce regions, community based organizations, and county departments of
human/social services.
B.
The Department will notify the County of any changes to state regulations
governing the program.
C.
The Department will consult with and provide to the County the data collection
requirements.
D.
The Department will review spending levels, including actual and encumbered by
the County as compared to their initial amount of funding.
a. The Department will determine whether the County is spending at a pace
that will allow them to meet their budget and participation estimates. The
contract may be amended to reallocate funds accordingly.
E.
The Department may increase or decrease the quantity of goods/services
described in the section/schedule based upon the rates established in the
contract.
Exhibit A — Statement of Work Page 9 of 9
The anticipated cost that includes client's wages, training, education,
Average Cost per
supportive services, and other costs you've identified as necessary to
Participant
administer CW STEP.
1) Federally defined as costs necessary for the proper administration of the
TANF program. It includes the costs for general administration, eligibility
determination, and program coordination, including indirect or overhead costs.
Administrative
Costs
2) Does not include any direct costs associated with providing program
services, such as diversion benefits, case management, job development,
screenings and assessments, and the development of employability plans and
work services.
3) Expenditures for contract activities are treated as program or administrative
costs based on the nature or purpose of the contract.
EXHIBIT C - HIPAA BUSINESS ASSOCIATE AGREEMENT
This HIPAA Business Associate Agreement ("Agreement") between the State and Contractor is agreed to in
connection with, and as an exhibit to, the Contract. For purposes of this Agreement, the State is referred to as
"Covered Entity" and the Contractor is referred to as "Business Associate". Unless the context clearly requires a
distinction between the Contract and this Agreement, all references to "Contract" shall include this Agreement.
1. PURPOSE
Covered Entity wishes to disclose information to Business Associate, which may include Protected Health
Information ("PHI"). The Parties intend to protect the privacy and security of the disclosed PHI in compliance
with the Health Insurance Portability and Accountability Act of 1996 ("HIPAA"), Pub. L. No. 104-191 (1996) as
amended by the Health Information Technology for Economic and Clinical Health Act ("HITECH Act") enacted
under the American Recovery and Reinvestment Act of 2009 ("ARRA") Pub. L. No. 111-5
(2009), implementing regulations promulgated by the U.S. Department of Health and Human Services at 45
C.F.R. Parts 160, 162 and 164 (the "HIPAA Rules") and other applicable laws, as amended. Prior to the
disclosure of PHI, Covered Entity is required to enter into an agreement with Business Associate containing
specific requirements as set forth in, but not limited to, Title 45, Sections 160.103, 164.502(e) and 164.504(e) of
the Code of Federal Regulations ("C.F.R.") and all other applicable laws and regulations, all as may be amended.
2. DEFINITIONS
The following terms used in this Agreement shall have the same meanings as in the HIPAA Rules: Breach, Data
Aggregation, Designated Record Set, Disclosure, Health Care Operations, Individual, Minimum Necessary,
Notice of Privacy Practices, Protected Health Information, Required by Law, Secretary, Security Incident,
Subcontractor, Unsecured Protected Health Information, and Use.
The following terms used in this Agreement shall have the meanings set forth below:
a. Business Associate. "Business Associate" shall have the same meaning as the term "business
associate" at 45 C.F.R. 160.103, and shall refer to Contractor.
b. Covered Entity. "Covered Entity" shall have the same meaning as the term "covered entity" at 45
C.F.R. 160.103, and shall refer to the State.
c. Information Technology and Information Security. "Information Technology" and "Information
Security" shall have the same meanings as the terms "information technology" and "information
security", respectively, in §24-37.5-102, C.R.S.
Capitalized terms used herein and not otherwise defined herein or in the HIPAA Rules shall have the meanings
ascribed to them in the Contract.
3. OBLIGATIONS AND ACTIVITIES OF BUSINESS ASSOCIATE
a. Permitted Uses and Disclosures.
Business Associate shall use and disclose PHI only to accomplish Business Associate's
obligations under the Contract.
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To the extent Business Associate carries out one or more of Covered Entity's obligations
under Subpart E of 45 C.F.R. Part 164, Business Associate shall comply with any and all
requirements of Subpart E that apply to Covered Entity in the performance of such obligation.
ii. Business Associate may disclose PHI to carry out the legal responsibilities of Business
Associate, provided, that the disclosure is Required by Law or Business Associate obtains
reasonable assurances from the person to whom the information is disclosed that:
A. the information will remain confidential and will be used or disclosed only as
Required by Law or for the purpose for which Business Associate originally
disclosed the information to that person, and;
B. the person notifies Business Associate of any Breach involving PHI of which it is
aware.
iii. Business Associate may provide Data Aggregation services relating to the Health Care
Operations of Covered Entity. Business Associate may de -identify any or all PHI created or
received by Business Associate under this Agreement, provided the de -identification
conforms to the requirements of the HIPAA Rules.
b. Minimum Necessary. Business Associate, its Subcontractors and agents, shall access, use, and
disclose only the minimum amount of PHI necessary to accomplish the objectives of the Contract, in
accordance with the Minimum Necessary Requirements of the HIPAA Rules including, but not
limited to, 45 C.F.R. 164.502(b) and 164.514(d).
c. Impermissible Uses and Disclosures.
Business Associate shall not disclose the PHI of Covered Entity to another covered entity
without the written authorization of Covered Entity.
ii. Business Associate shall not share, use, disclose or make available any Covered Entity PHI in
any form via any medium with or to any person or entity beyond the boundaries or
jurisdiction of the United States without express written authorization from Covered Entity.
d. Business Associate's Subcontractors.
i. Business Associate shall, in accordance with 45 C.F.R. 164.502(e)(1)(ii) and 164.308(b)(2),
ensure that any Subcontractors who create, receive, maintain, or transmit PHI on behalf of
Business Associate agree in writing to the same restrictions, conditions, and requirements that
apply to Business Associate with respect to safeguarding PHI.
ii. Business Associate shall provide to Covered Entity, on Covered Entity's request, a list of
Subcontractors who have entered into any such agreement with Business Associate.
iii. Business Associate shall provide to Covered Entity, on Covered Entity's request, copies of
any such agreements Business Associate has entered into with Subcontractors.
e. Access to System. If Business Associate needs access to a Covered Entity Information Technology
system to comply with its obligations under the Contract or this Agreement, Business Associate shall
request, review, and comply with any and all policies applicable to Covered Entity regarding such
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system including, but not limited to, any policies promulgated by the Office of Information
Technology and available at http://oit.state.co.us/about/policies.
f. Access to PHI. Business Associate shall, within ten days of receiving a written request from Covered
Entity, make available PHI in a Designated Record Set to Covered Entity as necessary to satisfy
Covered Entity's obligations under 45 C.F.R. 164.524.
g. Amendment of PHI.
i. Business Associate shall within ten days of receiving a written request from Covered Entity
make any amendment to PHI in a Designated Record Set as directed by or agreed to by
Covered Entity pursuant to 45 C.F.R. 164.526, or take other measures as necessary to satisfy
Covered Entity's obligations under 45 C.F.R. 164.526.
ii. Business Associate shall promptly forward to Covered Entity any request for amendment of
PHI that Business Associate receives directly from an Individual.
h. Accounting Rights. Business Associate shall, within ten days of receiving a written request from
Covered Entity, maintain and make available to Covered Entity the information necessary for
Covered Entity to satisfy its obligations to provide an accounting of Disclosure under 45 C.F.R.
164.528.
i. Restrictions and Confidential Communications.
i. Business Associate shall restrict the Use or Disclosure of an Individual's PHI within ten days
of notice from Covered Entity of:
A. a restriction on Use or Disclosure of PHI pursuant to 45 C.F.R. 164.522; or
B. a request for confidential communication of PHI pursuant to 45 C.F.R. 164.522.
ii. Business Associate shall not respond directly to an Individual's requests to restrict the Use or
Disclosure of PHI or to send all communication of PHI to an alternate address.
iii. Business Associate shall refer such requests to Covered Entity so that Covered Entity can
coordinate and prepare a timely response to the requesting Individual and provide direction to
Business Associate.
j. Governmental Access to Records. Business Associate shall make its facilities, internal practices,
books, records, and other sources of information, including PHI, available to the Secretary for
purposes of determining compliance with the HIPAA Rules in accordance with 45 C.F.R. 160.310.
k. Audit, Inspection and Enforcement.
i. Business Associate shall obtain and update at least annually a written assessment performed
by an independent third party reasonably acceptable to Covered Entity, which evaluates the
Information Security of the applications, infrastructure, and processes that interact with the
Covered Entity data Business Associate receives, manipulates, stores and distributes. Upon
request by Covered Entity, Business Associate shall provide to Covered Entity the executive
summary of the assessment.
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ii. Business Associate, upon the request of Covered Entity, shall fully cooperate with Covered
Entity's efforts to audit Business Associate's compliance with applicable HIPAA Rules. If,
through audit or inspection, Covered Entity determines that Business Associate's conduct
would result in violation of the HIPAA Rules or is in violation of the Contract or this
Agreement, Business Associate shall promptly remedy any such violation and shall certify
completion of its remedy in writing to Covered Entity.
1. Appropriate Safeguards.
i. Business Associate shall use appropriate safeguards and comply with Subpart C of 45 C.F.R.
Part 164 with respect to electronic PHI to prevent use or disclosure of PHI other than as
provided in this Agreement.
ii. Business Associate shall safeguard the PHI from tampering and unauthorized disclosures.
iii. Business Associate shall maintain the confidentiality of passwords and other data required for
accessing this information.
iv. Business Associate shall extend protection beyond the initial information obtained from
Covered Entity to any databases or collections of PHI containing information derived from
the PHI. The provisions of this section shall be in force unless PHI is de -identified in
conformance to the requirements of the HIPAA Rules.
m. Safeguard During Transmission.
Business Associate shall use reasonable and appropriate safeguards including, without
limitation, Information Security measures to ensure that all transmissions of PHI are
authorized and to prevent use or disclosure of PHI other than as provided for by this
Agreement.
ii. Business Associate shall not transmit PHI over the internet or any other insecure or open
communication channel unless the PHI is encrypted or otherwise safeguarded with a FIPS-
compliant encryption algorithm.
n. Reporting of Improper Use or Disclosure and Notification of Breach.
i. Business Associate shall, as soon as reasonably possible, but immediately after discovery of a
Breach, notify Covered Entity of any use or disclosure of PHI not provided for by this
Agreement, including a Breach of Unsecured Protected Health Information as such notice is
required by 45 C.F.R. 164.410 or a breach for which notice is required under §24-73-103,
C.R.S.
ii. Such notice shall include the identification of each Individual whose Unsecured Protected
Health Information has been, or is reasonably believed by Business Associate to have been,
accessed, acquired, or disclosed during such Breach.
iii. Business Associate shall, as soon as reasonably possible, but immediately after discovery of
any Security Incident that does not constitute a Breach, notify Covered Entity of such
incident.
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iv. Business Associate shall have the burden of demonstrating that all notifications were made as
required, including evidence demonstrating the necessity of any delay.
o. Business Associate's Insurance and Notification Costs.
i. Business Associate shall bear all costs of a Breach response including, without limitation,
notifications, and shall maintain insurance to cover:
A. loss of PHI data;
B. Breach notification requirements specified in HIPAA Rules and in §24-73-103,
C.R.S.; and
C. claims based upon alleged violations of privacy rights through improper use or
disclosure of PHI.
ii. All such policies shall meet or exceed the minimum insurance requirements of the Contract
or otherwise as may be approved by Covered Entity (e.g., occurrence basis, combined single
dollar limits, annual aggregate dollar limits, additional insured status, and notice of
cancellation).
iii. Business Associate shall provide Covered Entity a point of contact who possesses relevant
Information Security knowledge and is accessible 24 hours per day, 7 days per week to assist
with incident handling.
iv. Business Associate, to the extent practicable, shall mitigate any harmful effect known to
Business Associate of a Use or Disclosure of PHI by Business Associate in violation of this
Agreement.
p. Subcontractors and Breaches.
i. Business Associate shall enter into a written agreement with each of its Subcontractors and
agents, who create, receive, maintain, or transmit PHI on behalf of Business Associate. The
agreements shall require such Subcontractors and agents to report to Business Associate any
use or disclosure of PHI not provided for by this Agreement, including Security Incidents and
Breaches of Unsecured Protected Health Information, on the first day such Subcontractor or
agent knows or should have known of the Breach as required by 45 C.F.R. 164.410.
ii. Business Associate shall notify Covered Entity of any such report and shall provide copies of
any such agreements to Covered Entity on request.
q. Data Ownership.
i. Business Associate acknowledges that Business Associate has no ownership rights with
respect to the PHI.
ii. Upon request by Covered Entity, Business Associate immediately shall provide Covered
Entity with any keys to decrypt information that the Business Association has encrypted and
maintains in encrypted form, or shall provide such information in unencrypted usable form.
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r. Retention of PHI. Except upon termination of this Agreement as provided in Section 5, below,
Business Associate and its Subcontractors or agents shall retain all PHI throughout the term of this
Agreement, and shall continue to maintain the accounting of disclosures required under Section 3.h,
above, for a period of six years.
4. OBLIGATIONS OF COVERED ENTITY
a. Safeguards During Transmission. Covered Entity shall be responsible for using appropriate
safeguards including encryption of PHI, to maintain and ensure the confidentiality, integrity, and
security of PHI transmitted pursuant to this Agreement, in accordance with the standards and
requirements of the HIPAA Rules.
b. Notice of Changes.
i. Covered Entity maintains a copy of its Notice of Privacy Practices on its website. Covered
Entity shall provide Business Associate with any changes in, or revocation of, permission to use
or disclose PHI, to the extent that it may affect Business Associate's permitted or required uses
or disclosures.
ii. Covered Entity shall notify Business Associate of any restriction on the use or disclosure of
PHI to which Covered Entity has agreed in accordance with 45 C.F.R. 164.522, to the extent
that it may affect Business Associate's permitted use or disclosure of PHI.
5. TERMINATION
a. Breach.
i. In addition to any Contract provision regarding remedies for breach, Covered Entity shall
have the right, in the event of a breach by Business Associate of any provision of this
Agreement, to terminate immediately the Contract, or this Agreement, or both.
ii. Subject to any directions from Covered Entity, upon termination of the Contract, this
Agreement, or both, Business Associate shall take timely, reasonable, and necessary action to
protect and preserve property in the possession of Business Associate in which Covered
Entity has an interest.
b. Effect of Termination.
i. Upon termination of this Agreement for any reason, Business Associate, at the option of
Covered Entity, shall return or destroy all PHI that Business Associate, its agents, or its
Subcontractors maintain in any form, and shall not retain any copies of such PHI.
ii. If Covered Entity directs Business Associate to destroy the PHI, Business Associate shall
certify in writing to Covered Entity that such PHI has been destroyed.
iii. If Business Associate believes that returning or destroying the PHI is not feasible, Business
Associate shall promptly provide Covered Entity with notice of the conditions making return
or destruction infeasible. Business Associate shall continue to extend the protections of
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Section 3 of
this Agreement
to
such PHI,
and shall limit further use of such PHI to those
purposes that
make the return
or
destruction
of such PHI infeasible.
6. INJUNCTIVE RELIEF
Covered Entity and Business Associate agree that irreparable damage would occur in the event Business
Associate or any of its Subcontractors or agents use or disclosure of PHI in violation of this Agreement, the
HIPAA Rules or any applicable law. Covered Entity and Business Associate further agree that money damages
would not provide an adequate remedy for such Breach. Accordingly, Covered Entity and Business Associate
agree that Covered Entity shall be entitled to injunctive relief, specific performance, and other equitable relief to
prevent or restrain any Breach or threatened Breach of and to enforce specifically the terms and provisions of this
Agreement.
7. LIMITATION OF LIABILITY
Any provision in the Contract limiting Contractor's liability shall not apply to Business Associate's liability under
this Agreement, which shall not be limited. This requirement shall not be interpreted to create any indemnification
obligation on behalf of Contractor.
8. DISCLAIMER
Covered Entity makes no warranty or representation that compliance by Business Associate with this Agreement
or the HIPAA Rules will be adequate or satisfactory for Business Associate's own purposes. Business Associate
is solely responsible for all decisions made and actions taken by Business Associate regarding the safeguarding of
PHI.
9. CERTIFICATION
Covered Entity has a legal obligation under HIPAA Rules to certify as to Business Associate's Information
Security practices. Covered Entity or its authorized agent or contractor shall have the right to examine Business
Associate's facilities, systems, procedures, and records, at Covered Entity's expense, if Covered Entity
determines that examination is necessary to certify that Business Associate's Information Security safeguards
comply with the HIPAA Rules or this Agreement.
10. AMENDMENT
a. Amendment
to Comply
with
Law. The Parties
acknowledge that
state
and
federal laws and
regulations relating to data security and privacy are rapidly evolving
and
that
amendment of this
Agreement may be required to provide procedures to
ensure compliance
with
such
developments.
i. In the event of any change to state or federal laws and regulations relating to data security
and privacy affecting this Agreement, the Parties shall take such action as is necessary to
implement the changes to the standards and requirements of HIPAA, the HIPAA Rules
and other applicable rules relating to the confidentiality, integrity, availability and
security of PHI with respect to this Agreement.
ii. Business Associate shall provide to Covered Entity written assurance satisfactory to
Covered Entity that Business Associate shall adequately safeguard all PHI, and obtain
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written assurance satisfactory to Covered Entity from Business Associate's
Subcontractors and agents that they shall adequately safeguard all PHI.
iii. Upon the request of either Party, the other Party promptly shall negotiate in good faith the
terms of an amendment to the Contract embodying written assurances consistent with the
standards and requirements of HIPAA, the HIPAA Rules, or other applicable rules.
iv. Covered Entity may terminate this Agreement upon 30 days' prior written notice in the event
that:
A. Business Associate does not promptly enter into negotiations to amend the Contract
and this Agreement when requested by Covered Entity pursuant to this Section; or
B. Business Associate does not enter into an amendment to the Contract and this
Agreement, which provides assurances regarding the safeguarding of PHI sufficient,
in Covered Entity's sole discretion, to satisfy the standards and requirements of the
HIPAA, the HIPAA Rules and applicable law.
b. Amendment of Appendix. The Appendix to this Agreement may be modified or amended by the
mutual written agreement of the Parties, without amendment of this Agreement. Any modified or
amended Appendix agreed to in writing by the Parties shall supersede and replace any prior version
of the Appendix.
11. ASSISTANCE IN LITIGATION OR ADMINISTRATIVE PROCEEDINGS
Covered Entity shall provide written notice to Business Associate if litigation or administrative proceeding is
commenced against Covered Entity, its directors, officers, or employees, based on a claimed violation by
Business Associate of HIPAA, the HIPAA Rules or other laws relating to security and privacy or PHI. Upon
receipt of such notice and to the extent requested by Covered Entity, Business Associate shall, and shall cause its
employees, Subcontractors, or agents assisting Business Associate in the performance of its obligations under the
Contract to, assist Covered Entity in the defense of such litigation or proceedings. Business Associate shall, and
shall cause its employees, Subcontractor's and agents to, provide assistance, to Covered Entity, which may
include testifying as a witness at such proceedings. Business Associate or any of its employees, Subcontractors or
agents shall not be required to provide such assistance if Business Associate is a named adverse party.
12. INTERPRETATION AND ORDER OF PRECEDENCE
Any ambiguity in this Agreement shall be resolved in favor of a meaning that complies and is consistent with the
HIPAA Rules. In the event of an inconsistency between the Contract and this Agreement, this Agreement shall
control. This Agreement supersedes and replaces any previous, separately executed HIPAA business associate
agreement between the Parties.
13. SURVIVAL
Provisions of this Agreement requiring continued performance, compliance, or effect after termination shall
survive termination of this contract or this agreement and shall be enforceable by Covered Entity.
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APPENDIX TO HIPAA BUSINESS ASSOCIATE AGREEMENT
This Appendix ("Appendix") to the HIPAA Business Associate Agreement ("Agreement") is s an appendix to the
Contract and the Agreement. For the purposes of this Appendix, defined terms shall have the meanings ascribed
to them in the Agreement and the Contract.
Unless the context clearly requires a distinction between the Contract, the Agreement, and this Appendix, all
references to "Contract" or "Agreement" shall include this Appendix.
1. PURPOSE
This Appendix sets forth additional terms to the Agreement. Any sub -section of this Appendix marked as
"Reserved" shall be construed as setting forth no additional terms.
2. ADDITIONAL TERMS
a. Additional Permitted Uses. In addition to those purposes set forth in the Agreement, Business
Associate may use PHI for the following additional purposes:
i. Reserved.
b. Additional Permitted Disclosures. In addition to those purposes set forth in the Agreement, Business
Associate may disclose PHI for the following additional purposes:
i. Reserved.
c. Approved Subcontractors. Covered Entity agrees that the following Subcontractors or agents of
Business Associate may receive PHI under the Agreement:
i. Reserved.
d. Definition of Receipt of PHI. Business Associate's receipt of PHI under this Contract shall be
deemed to occur, and Business Associate's obligations under the Agreement shall commence, as
follows:
Reserved.
e. Additional Restrictions on Business Associate. Business Associate agrees to comply with the
following additional restrictions on Business Associate's use and disclosure of PHI under the
Contract:
i. Reserved.
f. Additional Terms. Business Associate agrees to comply with the following additional terms under the
Agreement:
i. Reserved.
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New Contract Request
Entity Information
Entity Name* Entity ID* ❑ New Entity?
COLORADO DEPARTMENT OF HUMAN @00003650
SERVICES
Contract Name* Contract ID Parent Contract ID
COLORADO DEPARTMENT OF HUMAN SERVICES OW STEP PO 5504
#IHGA 202200005866
Contract Lead * Requires Board Approval
Contract Status HLOONEY EY YES
CTB R De ent Project 1
Contract Lead Email
Mooney eldgov.corn;cobb
xxlk eldgov,com
Contract Description*
COLORADO DEPARTMENT OF HUMAN SERVICES COLORADO WORKS SUBSIDIZED TRAINING AND EMPLOYMENT PROGRAM
STEP) PO IHGA 202200005866. TERM. 10;1812021-06/30`2022. AMOUNT: $150,000.00.
Contract Description 2
PA ROUTING THROUGH NORMAL APPROVAL PROCESS. ETA TO CTB 01 ; 1 3,4''2022.
Contract Type *
Department
Requested BOCC Agenda Due Date
CONTRACT
HUMAN SERVICES
Date* 01,122/2022
01/2612022
Amount*
Department Email
$150,000.00
CM-
Will a work session with BOCC be required?*
HumanServices@eldgov.co
NO
Re e*
m
NO
Does Contract require Purchasing Dept. to be included?
Department Head Email
Automatic Renewal
CM-HunianServtces-
DeptHead@Idgov.com
Grant
County Attorney
GENERAL COUNTY
ATTORNEY EMAIL
ty Attoit
CM-
COU ATTORNEY@WELDG
OV.COM
If this is a renewal enter previous Contract ID
If this is part of a MSA enter MSA Contract ID
Note: the Previous Contract Number and Master Services Agreement Number should be left blank if those contracts are not in
OnBase
Contract Dates
Effective Date
Termination Notice Period
Contact Information
Contact Info
Contact Name Contact Type
Purchasing
Purchasing Approver
Approval Process
Department Head
JAMIE ULRICH
DH Approved Date
01252022
Final Approval
BOCC Approved
BOCC Signed Date
BOCC Agenda Date
02/02/+2022
Originator
HLOONEY
Review Date *
05/30;2022
Committed Delivery Date
Renewal Date
Expiration Date*
06/30,2022
Contact Email Contact Phone 1
Purchasing Approved Date
Finance Approver
CHRIS D'OVIDIO
Finance Approved Date
01 '28,2022
Tyler Ref #
AG 020222
Contact Phone 2
Legal Counsel
KARIN MCDOUGAL
Legal Counsel Approved Date
O1,r3112022
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