K'STAR CONTRACT STATE OF TEXAS § COUNTY OF KERB § WHEREAS, Kerr County, Texas, (hereinafter referred to as "County"), a political subdivision of the State of Texas, has determined that the expenditure of County funds proposed herein is one which serves a public purpose and has further determined that the State of Texas, by its Constitution or by its state statutes, either explicitly or implicitly, has conferred upon County the authority, the power, and the jurisdiction to accomplish the uses for said funds as proposed below. Having found the above elements fully satisfied, County has determined that it may contract with the K'Star, a Texas nonprofit corporation so that K'Star may use said public funds for the purposes contemplated herein, but only if the expenditure is to accomplish "county business" (which encompasses matters of general concern to County residents) and only if County assures itself that the funds to be transferred by this contract are subject to adequate contractual or other controls to ensure that expenditure of said County funds for the public purpose stated herein will be accomplished and so long as County receives adequate consideration for the County funds to be provided by this contract; and WHEREAS, County has the authority, under §264.006, Texas Family Code, to provide services to and support of children in need of protection and care, without regard to the immigration status or financial status of the child or the child's family and further, that County has determined such activities serve valuable public purposes and also constitute county business; and WHEREAS, K' Star, hereinafter "K' Star," a Texas nonprofit corporation, is engaged in providing shelter, protection, care, nourishing meals, sanctuary, counseling, guidance, and support for runaway children, other "at-risk" children and certain juvenile respondents and further, K'Star desires to enter into a contract with County to continue to provide those services to County and to residents of County. IT IS THEREFORE AGREED THAT: 1. Consideration. In consideration for the services described below to the County, K' Star shall be entitled to a lump sum not to exceed $5,000.00. Such amount shall be disbursed by County to K'Star on or after January I, 2004, upon written request from K' Star. 2. Insurance. K' Star shall at all times maintain a policy of liability insurance for premises liability for personal injury. Said policy shall be in the minimum amount of $ 300,000.00. 3. Services. K' Star will provide services to County and the residents of Kerr County, hereinafter referred to as the "program," as follows: a short-term emergency shelter for youth "in need" and/or "at risk. b. food, clothing, counseling, and education to youth "in need" and/or "at- risk." facilities for residential placement of youth in need of protection or other assistance. 4. IRS classification. K' Star's Internal Revenue Service, nonprofit classification is SO I (C ~(,3~ and its IRS EIN is ')~- ~~.~/( 5. Most recent financial and performance reports. K'Star shall submit to the Kerr County Auditor and the Kerr County Judge each a copy of K'Star's most current independent financial audit or end-of--year financial report of all expenditures and income for the period of K' Star's fiscal year ending in calendar year 2002, within 30 days of the approval of this contract. K'Star shall provide to the Kerr Country Auditor and the Kerr County Judge each a performance review by which K'Star gives details of services provided and clients served for the previous K'Star fiscal year, not later than 30 days after the approval of this contract. 6. Prospective financial and performance reports. K'Star shall submit to the Kerr County Auditor and the Kerr County Judge each a copy of K'Star's independent financial audit or end-of--year financial report of all expenditures and income for the period of K'Star's current fiscal year ending in calendar year 2003, by the earlier of thirty (30) days following its receipt by K'Star or by February 16, 2004. K'Star shall provide to the Kerr County Auditor and the Kerr County Judge each a performance review by which K' Star gives details of services provided and clients served for the K'Star's current fiscal year ending in calendar year 2003, by February 16, 2004. 7. Term. The term of this contract is one year beginning on October 1, 2003, and ending on September 30, 2004, unless earlier terminated by either party on thirty (30) days written notice. The date of the commencement of the term of said contract may be modified by agreement of the parties. This contract is effective upon approval by Order of the County Commissioners Court. 2 8. Use of funds. No moneys paid to K'Star shall be expended for any purpose other than for the providing of the aforementioned services to the courts, the juvenile probation department, other County departments engaged in the providing of services related to children, and to residents of County; specifically, no such moneys may be expended by K' Star for the provision of salaries to any person. 9. Books and records. All books and records of K' Star shall be open for inspection during normal business hours to any member of the public, County Auditor, and such persons as may be given that authority, in writing, by County Commissioners' Court, provided, however, that this clause shall in no way be construed to override the provisions of the Federal Privacy Act or other state of federal law or regulation concerning the disclosure of confidential or privacy matters. 10. Non-exclusion. This contract is not exclusive and County reserves the right to contract with additional parties for the provision of the aforementioned services to County departments, to County, and residents of County. 11. Non-discrimination. K' Star agrees to operate under a policy of non- discrimination with regard to the provision of said services. Such policy shall prohibit discrimination by K'Star's employees or principals on the basis of race, sex, age, religion, color, handicap, disability, national origin, language, political affiliation, political belief, or other non-merit factor. Any act of discrimination shall constitute a material breach of this contract. 12. Sexual harassment prohibited. K'Star agrees to adopt and maintain a policy that prohibits sexual harassment. Any act of sexual harassment by K' Star's employees or principals constitutes a material breach of this contract. 13. Applicable laws. K'Star agrees to comply with any and all applicable laws, local, state, and federal, regarding work hours, safety, wages, social security benefits, discrimination, and/or workers compensation. This clause places a duty to meet the requirements of such laws only if the law itself places such a duty on K'Star. Any act in violation of any of those laws or ordinances shall constitute a material breach of this contract. 14. Default. a. In the event either party shall fail to keep, observe, or perform any covenant, agreement, term, or provision of this contract to be kept, observed, or performed by such party, respectively, and such default shall continue for a period often (10) days after notice thereof by the non- defaulting party to the other, the non-defaulting party shall be entitled to terminate this contract. b. No delay on the part of either party in exercising any right, power, or privilege shall operate as a waiver thereof, nor shall any single or partial exercise of any right, power, or privilege constitute such a waiver nor exhaust the same, which shall be continuing. No notice to or demand on either party in any case shall entitle such party to any other or further notice or demand in similar or other circumstances, or constitute a waiver of the rights of either party to any other or further action in any circumstances without notice or demand. 15. Successors and assigns. This contract shall inure to the benefit of, and be binding upon, the parties hereto and their respective heirs, legal representatives, successors, and assigns, provided that K' Star may not assign this contract without County's prior written consent. 16. Governing law. This contract shall be governed by and construed and interpreted in accordance with the laws of the State of Texas. This contract shall be enforceable in Kerr County, Texas and venue shall also lie in Kerr County, Texas. 17. Notices. Any notice or communication hereunder must be in writing, and may be given by registered or certified mail; if given by registered or certified mail, same shall be deemed to have been given and received when a registered or certified letter containing such notice, properly addressed, with postage prepaid, is deposited in the United States mail; and if given otherwise than by registered mail, it shall be deemed to have been given when delivered to and received by the party to whom it is addressed. Such notices or communications shall be given to the parties hereto at the addresses set forth below. Any party hereto may at any time by giving ten (10) days written notice to the other party hereto designate any other address in substitution of the foregoing address to which such notice or communication shall be given. 18. Severability. If any term, covenant, or condition of this contract or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this contract or the application of such term, covenant, or condition to persons or circumstances other than those as to which it is invalid or unenforceable, shall not be affected thereby, and each term, covenant, or condition of this contract shall be valid and shall be enforced to the fullest extent permitted by law. 19. Relationship. The parties hereby agree that this contract is for the administration of the program described herein and hereby renounce the existence 4 of any other relationship. In no event shall County have any obligation or liability whatsoever with respect to any debts, obligations, or liabilities of K'Star, and K' Star shall have no authority to bind County to any contract, matter, or obligation. No duties of County are delegated to K'Star by this contract and any provision which is or may be held to be such a delegation shall be of no force or effect. 20. Modification and termination. This contract may be amended, modified, terminated, or released only by written instrument executed by County and K' Star, except as herein otherwise provided. 21. Total agreement. This contract is a total and complete integration of any and all undertakings existing between the parties hereto and supersedes any prior oral or written agreements, promises, or representations between them. The headings of the various paragraphs of this contract are for convenience only, and shall not define, interpret, affect, or prescribe the meaning and interpretation of the provisions of this contract. KERB COUNTY By: a inley Kerr County Judge K' STAR g ~-~ resident, of the K'Star Board Date: ~/~ ~ [ ~ Z~ 3 Date: \~' ~8 ~ w° 3 NOTICES County: K' Star: Kerr County Executive Director, K' Star 700 Main Street P.O. Box 290962 Kerrville, Texas 78028 Kerrville, Texas 78029-0962 CLERK'S CERTIFICATION I, Jannett Pieper, County Clerk of Kerr County, Texas, certify that the above agreement was accepted and agreed to by the Commissioners' Court of Kerr County, Texas on November 11 , 2003, in Order No. 2 8 4 0 6 ,recorded and ~~~xxxx~c~xxxxxx~f the Minutes of the Commissioners' Court of Kerr County, Texas. J ett Pieper County Clerk Kerr County, Texas Date: 11/20/2003 6