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Council moves to terminate Next Step Initiative’s contract after unresolved corrective action plans
Summary
Staff reported two open corrective action plans for Next Step Initiative (fiscal and program monitoring) and, after follow‑up visits showed insufficient progress, the council authorized termination of NSI’s community grant contract for convenience effective 30 days after written notice.
The OAC council voted on March 4 to authorize the executive director to terminate Next Step Initiative’s community grant contract for convenience, after staff said two corrective action plans (one fiscal, one program) remained unresolved.
Mary and Sean presented monitoring findings and told the council that a follow‑up joint fiscal and program monitoring visit in February found insufficient progress to close the CAPs. Mary said the contract contains a termination‑for‑convenience clause requiring 30 days’ written notice and that staff recommended exercise of that clause given the outstanding issues.
A council member moved and the motion was seconded; the council approved the motion by roll call. Mary said that any termination would be conducted in consultation with legal counsel and that final notices would follow the contract’s process.
Why it matters: termination of a community grant is a formal enforcement step tied to program integrity and fiduciary oversight. Staff said they would present terminations back to the council for situational awareness and would follow corrective action steps before exercising termination authority when possible.
What’s next: staff will issue the 30‑day written notice per the contract terms and work with legal counsel and the grant team to manage closeout and any service continuity issues.
