CONTRACT BY AND BETWEEN THE
TRUSTEE ______TOWNSHIP
And
INDIANA TOWNSHIP ASSOCIATION, INC.
Comes now the duly elected, qualified and serving Township Board and the Trustee of ______Township in
the County of ______, State of Indiana in their capacity of Township Board and Trustee, only, and hereinafter referred to as "Township" together with Indiana Township Association, Inc. by its duly elected and qualifying President and Vice President, hereinafter referred to as "ITA" and by these presents contract and agree that the ITA will perform certain Community Services for and on behalf of the Township as hereinafter set forth:
1. The primary subject matter of this contract shall be the recovery of monies for the Township which have been paid by the Township from Township Assistance funds to a qualified person (hereinafter referred to as "recipient") which recipient thereafter receives a retro payment from the Social Security Administration (hereinafter referred to as "SSA") which was due the recipient for the period of time commencing from the date of the recipient's original entitlement to Supplemental Security Income (hereinafter referred to as "SSI") and the date the recipient is finally determined eligible for such benefits and the same has been received by such recipient. The Township Assistance funds eligible for recovery are commonly known as Interim Assistance funds (referred to herein as "IA") and the funds so recovered by the Township are commonly known as Interim Assistance Reimbursement (hereinafter referred to as “IAR”)
2. Indiana Code 12-9-6-2 provides that the Division of Aging and Rehabilitative services through the Disability Determinations Bureau (hereinafter the Bureau) may enter into a contract with the federal government for the recovery of "township assistance" monies paid as IA to recipients awaiting a determination of the validity of their claim (together with the receipt of same, if appropriate) for certain disability benefits, including Supplemental Security Income, hereinafter referred to, collectively, as 'SSI', which may be due from the SSA. The Indiana Code provides that the Bureau may enter into contracts with organizations to provide services that are consistent with the recoupment of IA.
3. The Bureau has a contractual relationship with the SSA (a copy of which is on file at 9090 East 131st Street, Fishers, Indiana 46038, and is available upon request) whereby, in certain instances, recipients of SSI are held accountable to the Township for IA received while awaiting determination of the recipients' claims for SSI.
4. The Bureau has entered into a contract (a copy of which is on file at 9090 E. 131st Street, Fishers, Indiana 46038, and is available on request) with the ITA to assist the various Townships in the recovery of such IA funds and ITA is thereby authorized to contract with the various townships for services in attempting recovery of such IA funds as a service to each participating township community.
5. Indiana law provides that monies paid from township assistance
funds to a recipient whose circumstances provide the means for repayment
may be recovered from such recipient. (See Indiana Code 12-20-27-1.5)
Therefore, monies paid from township assistance funds to such a recipient
who has, contingently, funds due from the SSA may be recovered if and when
the recipient is able to liquidate the claim made with the SSA.
6. The Township desires the ITA to assist the Township in the recovery of IA monies paid to persons awaiting a determination that they have a valid SSI claim and the receipt thereof.
7. The ITA will act as Township’s agent for the sole purpose of collecting (and thereafter properly disbursing) from the recipient's retro payment from the SSA, all such sums as may be lawfully and properly due such township making claim against the recipient and thereafter will (1) make due and proper accounting therefore; (2) pay over to the recipient such portion thereof as may be lawfully and properly due said recipient; (3) pay over to the Township eighty-four percent (84%) of such total sum due the Township and recovered from the recipient for said Township; (4) retain sixteen percent (16%) of such total sum due the Township and recovered from the recipient as a fee for services rendered to the Township by the ITA and the Bureau. The amount due the Township shall be paid to the Township forthwith upon the expiration of the period during which an appeal of the proceedings may be instituted, or, if an appeal has been instituted, at the time the appeal process has been completed or terminated
8. The ITA is a not-for-profit corporation. The division of monies received from the SSA, as stated in Paragraph 7, above, is subject to reduction, at the option of the ITA based upon: (a) the amount and extent of needed service to be performed by the ITA; (b) the extent to which the endeavor meets with success; (c) the expense, including legal expense, incurred by the ITA in performing such service; and (d) the recovery of certain "startup" costs.
9. The ITA agrees to prepare and have available to all interested members, upon request, a quarterly report showing:
A. Number of cases initiated.
B. Number of cases completed.
C. Number of cases pending.
D. Number of cases successfully completed.
E. Dollar amount returned to Townships.
E. Dollar amount of fees generated by the ITA.
10. This contract shall be for a period commencing the date of execution thereof and ending at the time either party gives the other party a notice that they no longer wish to continue the contractual relation after a date certain, which said date shall be not less than 60 days following the date of the notice. In the event of a termination as aforesaid, such termination notice shall not affect any such relationships pertaining to work in progress until such time as the work in progress has been completed.
11. The ITA agrees to perform, at the ITA's sole expense all services reasonably necessary, including preparing and maintaining appropriate accounting records, to comply with applicable rules and regulations of the SSA as they relate to the recovery of such sums all without charge save and except as set forth in paragraphs 7 and 8 herein and which said services shall include:
A. Supplying the Township with all necessary reporting forms as
required by this contract, the Bureau and/or the SSA.
B. On-site technical assistance for those townships needing additional
assistance with the development of procedures for compliance with this
contract and the eventual recovery of IAR.
C. Developing and conducting periodic regionalized educational
programs for the IA program.
D. Arranging with the bureau for “Administrative Hearing Officers"
when an appeal is made by a recipient.
E. Providing an accounting to the Township of all payments made to the
Township and credits deducted from Township payments.
12. The Township agrees to perform, at the Township's sole expense, the following:
A. Provide copies of any and all records reasonably necessary to process such claims of the Township and/or the recipient, in such manner and at such times as may be hereinafter requested by the ITA.
B. File with the ITA the SSA's approved authorization from those individuals who are furnished or have requested IA and have made proper and verified application for SSI with the SSA in such quantity, in such form, containing such information and at such times as are deemed necessary by the ITA.
C. Submit reports to the ITA identifying those individuals who have received IA for the Township in such quantity, in such form, containing such information and at such times as deemed necessary by the ITA.
D. Utilize the appeal process established by the ITA and approved by SSA and the Bureau should the Township or the SSI applicant disagree with the method of determination and/or computation of the amounts due any party hereto.
E. Comply with the rules and regulations governing the IAR Program as adopted or promulgated by the SSA or the Bureau.
F. Permit the ITA to credit against amounts owing to the Township, any refunds paid by the ITA to recipients, which refunded amounts have been
previously distributed to the Township.
13. The Township understands and agrees that all funds recovered and/or remitted back to the Township shall be credited to Township's Township Assistance funds, as provided by law, and reappropriated through proper channels, before being expended by the Township.
14. The ITA makes no guarantee of recovery of any such funds
as may be claimed due by the Township.
15. Both the Township and the ITA specifically understand and agree that the service being offered by this contract constitutes a Community Service to the Township in that the funds recovered may again be utilized.
16. The ITA's faithful compliance with its obligations stated herein shall be assured by a bond issued company licensed to do business in the State or Indiana in an amount not less than One Hundred Thousand Dollars ($100,000) to blanket bond all employees of the ITA.
Dated this ______day of ______, ______
______
Trustee
Indiana Township Association, Inc.
By: ______