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HomeMy WebLinkAboutContract 43006CITY SECRETARY . CONTRACT NO. H, 22 G C' C-P STATE OF TEXAS § COUNTY OF TARRANT § This contract ( "Contract ") is made and entered into by and between the City of Fort Worth (hereafter "City ") and Presbyterian Night Shelter of Tarrant County (hereafter "Agency "), a Texas nonprofit corporation. City and Agency may be referred to individually as a "Party" and jointly as "the Parties ". The Parties state as follows: WHEREAS, City receives grant monies from the United States Department of Housing and Urban Development ( "HUD ") through the Community Development Block Grant Program ( "CDBG "), Program No.B- 08 -MC -48 -0010, Catalog of Federal Domestic Assistance No. 14.218; WHEREAS, a national objective of the CDBG Program is to benefit low and moderate income citizens (the "National Objective "); WHEREAS, Agency proposes to use CDBG funds for an eligible project whereby Agency will rehabilitate the bathroom facilities at its emergency shelter located at 2400 Cypress Street, Fort Worth, Texas 76102, and will serve low to moderate income individuals as described in Exhibit "A" - Project Summary; WHEREAS, Agency serves homeless persons, a "presumed benefit' clientele as defined in 24 CFR 570.208 (a) (2) (A). NOW, THEREFORE, in consideration of the mutual covenants and obligations and responsibilities contained herein, including all Exhibits and Attachments, and subject to the terms and conditions hereinafter stated, the Parties understand and agree as follows: 1. INCORPORATION OF RECITALS. City and Agency hereby agree that the recitals set forth above are true and correct and form the basis upon which the Parties have entered into this Contract. 2. DEFINITIONS. In addition to terms defined in the body of this Contract, the following terms shall have the definitions ascribed to them as follows: Area Median Income or AMI means the median family income for the Fort Worth - Arlington metropolitan statistical area as established annually by HUD. CDBG Eligible Client means either (i) a client whose annual incom adi *�%rindRI size does not exceed 80% of AMI using the most current HUD Inc CITY i &jA *, FT. WORM TX Technical Guidance for Determining Income and Allowances, or (ii) a client who meets the definition of a "presumed benefit" client under CDBG Regulations. If applicable, the definition of annual income to determine client income eligibility under this Contract shall be the definition contained in 24 CFR Part 5.609 as amended from time to time. CDBG Regulations means regulations found in 24 CFR Part 570. Complete Documentation means: • Attachments I and II, with supporting documentation as follows: • Proof of expense: copies of timesheets, invoices, leases, service contracts or other documentation showing that payment is due by Agency. • Proof of payment: cancelled checks, bank statements, or wire transfers necessary to demonstrate that amounts due by Agency were actually paid by Agency. • Proof of client eligibility: o In the event that Agency is a facility that provides a public service, this means documentation that clients served by Agency are CDBG Eligible Clients, as described in Section 5. • Other documentation: (i) final lien releases signed by the general contractor or appropriate subcontractors, if applicable; (ii) copies of all City permits and City- issued "pass" inspections for such work; (iii) documentation to show compliance with Ntl"E bidding process for such work, if applicable; and (iv) any other document or records reasonably necessary to verify costs spent and client eligibility for the Project. Completion means the substantial completion of the rehabilitation of the bathroom facilities, as evidenced by a HUD Compliance Inspection Report and final inspection approval from the City. Completion Deadline means February 28, 2013. Deed of Trust means the deed of trust from Agency in favor of City covering the Property and securing the indebtedness evidenced therein and Agency's performance of the requirements of this Contract and of the CDBG Regulations. The form of the Deed of Trust is attached as Exhibit F — Loan Documents. Director means the Director of the City's Housing and Economic Development Department. Effective Date means the date this Contract is executed by the last of the Parties to sign as shown on the signature page. Funds means City's CDBG funds supplied by City to Agency under the terms of this Contract. CDBG REHABILITATION CONTRACT Page 2 Presbyterian Night Shelter Loan Documents means security instruments including without limitation, the Promissory Note and Deed of Trust, securing or guaranteeing City's interest in the Project and further evidencing, securing, or guaranteeing Agency's performance of the Project, as the same may from time to time be extended, amended, restated, supplemented or otherwise modified. Promissory Note means the note in the amount of the Funds executed by Agency payable to the order of City. The form of the Promissory Note is attached as Exhibit F — Loan Documents. Property means the land as more particularly described in and encumbered by the Deed of Trust. Project means the rehabilitation of the bathroom facilities at Agency's emergency shelter and the provision of services to CDBG Eligible Clients as more particularly described in Exhibit A — Project Summary. Reimbursement Request shall mean all reports and other documentation described in Section 10. 3. TERM. 3.1 Term of Contract. The term of this Contract begins on the Effective Date and terminates in 1 year unless terminated as provided in this Contract. This Contract is contingent upon City's receipt of Funds from HUD. City reserves the right to amend or terminate this Contract if Funds are not received, or if City's allocation of Funds changes. 3.2 Extension of Contract Term. This Contract may be extended for up to 1 year upon Agency submitting a request for an extension in writing at least 60 days prior to the end of the Contract term. The request for extension shall include Agency's anticipated budget and goals and objectives for the extended term. It is specifically understood that it is within City's sole discretion whether to approve or deny Agency's request for an additional term. Any such extension must be in writing as an amendment to this Contract. 3.3 Term of Loan The term of the Loan shall commence on the date of the Promissory Note and shall terminate 2 years after Completion so long as the terms and conditions of this Contract and the Loan Documents have been met. 4. DUTIES AND RESPONSIBILITIES OF CITY. 4.1 Provide CDBG Funds. City shall provide up to One Hundred Seventy -Five Thousand and No /100 ($175,000.00) of Funds in the form of a forgivable deferred payment loan to the Agency for the Project ( "Loan"). The Funds shall be provided on a reimbursement basis upon CDBG REHABILITATION CONTRACT Page 3 Presbyterian Night Shelter City's approval of Agency's Reimbursement Requests. 4.2 City Will Monitor. During the term of the Loan, City will monitor the activities and performance of Agency and any of its contractors or subcontractors as necessary, but no less than annually. 5. DUTIES AND RESPONSIBILITIES OF AGENCY. 5.1 Required Rehabilitation. In accordance with the terms and conditions of this Contract, Agency shall rehabilitate the bathroom facilities at its emergency shelter located at 2400 Cypress Street, Fort Worth, Texas 76102 as further described in Exhibit "A" - Project Summary. 5.1.1 Inspections. The rehabilitation described in Section 5.1 above must pass City inspections and applicable HUD- required inspections during the construction period and when the rehabilitation is complete. 5.2 Required Services Agency shall provide services to CDBG Eligible Clients during the term of the Loan. Agency shall provide City with the following reports as shown on EXHIBIT E — REPORTING FORMS showing that it has fulfilled this requirement: 5.2.1 Attachment III — Client Data Report This report shall list all the CDBG Eligible Clients served by Agency in a calendar month. This report must be received by City on or before the 15t1i- day following the calendar month in which clients were served. For example, the report for June services must be received by City by July 15t'. In the event that the 15`' falls on a weekend or a City holiday, the report shall be due the next business day. This report must include sufficient documentation showing that Agency has met this requirement. "Sufficient documentation" for purposes of this report means a signed and dated statement from the client stating that the client is homeless. Agency must maintain copies of all such documentation for 5 years after the termination of the Contract. 5.3. Construction Schedule. Agency will perform the rehabilitation in accordance with the schedule set forth in the attached Exhibit "C" — Construction Schedule. Agency shall not begin construction until City sends a Notice to Proceed. Agency's failure to meet the Construction Schedule shall be an event of default. Agency may not change the Construction Schedule without the Director's prior written approval, which approval shall be at the Director's sole discretion. 5.4 Use of Funds. 5.4.1. Expenditures in Compliance with CDBG Regulations and Contract. CDBG REHABILITATION CONTRACT Page 4 Presbyterian Night Shelter Agency shall be reimbursed for the eligible costs with Funds only if City determines in its sole discretion that: 5.4.1.1 Costs are eligible expenditures in accordance with CDBG Regulations. 5.4.1.2 Costs are in compliance with this Contract and are reasonable and consistent with industry norms. 5.4.1.3 Complete Documentation is submitted by Agency. 5.4.2. Budget. Agency agrees that Funds will be reimbursed in accordance with Exhibit `B" - Budget. Agency may not increase or decrease line -item amounts in the Budget without the Director's prior written approval, which approval shall be at the Director's sole discretion. 5.4.3 Change in Protect Budget. 5.4.3.1 Agency will notify City promptly of any additional funds it receives for the rehabilitation, and City reserves the right to amend this Contract in such instances to ensure compliance with HUD regulations governing cost allocation. 5.4.3.2 Agency agrees to utilize funds available under this Contract to supplement rather than supplant funds otherwise available for the rehabilitation. 5.5. Payment of Funds to Agency. Funds will be disbursed to Agency on a reimbursement basis upon City's approval of Agency's written and signed Reimbursement Requests, including submission of Complete Documentation to City. 5.6 Commingled Funds. Agency will not commingle Funds with any other funds in any manner that would prevent City from readily identifying expenditures for the Project. 5.7 Acknowledgement of City Performance. Within 90 days of completion of the rehabilitation, an Agency representative shall execute an acknowledgement that City has paid all Funds due under this Contract, or shall deliver a document executed by an officer of Agency identifying the outstanding City obligations. Once City has met all of its obligations hereunder, an officer of Agency shall execute an acknowledgement of same. 5.8 Security for City's Interest and Agency's Performance. To secure City's interest in the Project and the performance of Agency's obligations hereunder, Agency shall execute the Promissory Note and any other Loan CDBG REHABILITATION CONTRACT Page 5 Presbyterian Night Shelter Documents and record the Deed of Trust encumbering the Property. No Funds will be paid or reimbursed until the Deed of Trust is recorded. 5.8.1 Loan Terms and Conditions. Agency will be required to: 5.8.1.1 Execute the Promissory Note and Deed of Trust, and any - other Loan Documents. 5.8.1.2 Pay all costs associated with closing the Loan. 5.8.1.3 Ensure City's lien is in first lien position, unless otherwise approved in writing by City. City must approve in writing any secured financing that is to be superior or subordinate to City's Loan. 5.8.1.4 The term of the Loan shall commence on the date of the Promissory Note and shall terminate 2 years after completion of the rehabilitation of the bathroom facilities so long as the terms and conditions of this Contract and the Loan Documents have been met. 5.8.1.5 The public facility located on the Property and rehabilitated with the Funds must benefit CDBG Eligible Clients for a period of 2 years after completion of the rehabilitation of the bathroom facilities. 5.8.1.6 The Loan is a forgivable deferred payment loan. Repayment of the Funds will only be required if the rehabilitation is not completed, the Agency does not serve CDBG Eligible Clients during the Loan term, or if Agency does not otherwise comply with the terms of this Contract, the Loan Documents or the CDBG Regulations. 5.8.1.7 Early repayment of the Loan shall not relieve Agency of its obligations under this Contract or the CDBG Regulations. The Deed of Trust shall secure both repayment of the Loan and performance by Agency of its obligations under this Contract and the CDBG Regulations. 5.8.1.8 Any failure by Agency to comply with this Section 5.8 will be an event of default under this Contract and the Loan Documents. CDBG REHABILITATION CONTRACT Page 6 Presbyterian Night Shelter 6. CONSTRUCTION 6.1 Applicable Laws, Building Codes and Ordinances. All plans, specifications and construction for the rehabilitation shall (i) conform to all applicable Federal, state and local laws, ordinances, rules and regulations, including CDBG Regulations; (ii) meet all City building codes; (iii) be certified as meeting the Energy Conservation requirements as required by the State of Texas in Chapter 11 of the International Residence Code; (iv) if new construction, must conform to the Model Energy Code, published by the Council of American Building Officials; and (v) must pass inspection by City's Housing and Economic Development Department inspectors. Improvements constructed, remodeled or rehabilitated with Funds furnished under this Contract shall meet all applicable standards under City Codes and ordinances. 6.2 Property Standards. Agency shall comply with the requirements as relates to Property Standards and Housing Quality Standards (HQS), and Accessibility Standards, as applicable, for the rehabilitation. Agency shall comply with the requirements of Section 570.614 of the CDBG Regulations prescribing standards for the design, construction or alteration of any building or facility intended to be accessible to the public or which may result in the employment of handicapped persons therein. 6.2.1 Property Maintenance and Inspections. Agency shall ensure that the portions of its public facility rehabilitated with the Funds are maintained to the standards described in Section 6 for the duration of this Contract and the term of the Loan. 6.3 Lead -Based Paint Requirements. If applicable, Agency will comply with Federal lead -based paint requirements including lead screening in housing built prior to 1978 in accordance with 24 CFR Part 570.608 and 24 CFR Part 35, subparts A, B, J, K, M, and R, and the Lead: Renovation, Repair and Painting Program Final Rule, 40 CFR Part 745 in any construction and/or rehabilitation as part of the Project. 6.4 Approval by City Not Release of Responsibility. Approval of any plans and specifications relating to the rehabilitation by City shall not constitute or be deemed (i) to be a release of the responsibility or liability of Agency or any of its contractors, their respective officers, agents, employees and subcontractors, for the accuracy or the competency of the plans and specifications, including, but not limited to, any related investigations, surveys, designs, working drawings and specifications or other documents; or (ii) an assumption of any responsibility or liability by City for any negligent act, error or omission in the conduct or preparation of any investigation, surveys, designs, working drawings and specifications or other documents by Agency or any of its contractors, and their respective officers, agents, employees and subcontractors. CDBG REHABILITATION CONTRACT Page 7 Presbyterian Night Shelter 6.5 Approval by City of Subcontractors. Agency will use commercially reasonable efforts to ensure that all subcontractors utilized by Agency or Agency's general contractor are appropriately licensed and such licenses are maintained throughout the construction period. Agency shall ensure that all subcontractors utilized by Agency or Agency's general contractor in the construction period are not debarred or suspended from performing the subcontractor's work by the City, the State of Texas, or the Federal government. Agency must confirm that all subcontractors are not listed on the Federal Excluded Parties List System, www.epls.gov, and must submit printed verification of such searches with the first Reimbursement Request which include invoices from any subcontractor. Failure to submit such proof shall be an event of default. In the event that City determines that any subcontractor has been debarred, suspended, or is not properly licensed, Agency or Agency's general contractor shall immediately cause the subcontractor to stop work on the construction. In the event that any subcontractor has been debarred, suspended, or is not properly licensed, Agency or Agency's general contractor shall not be reimbursed for any work performed by such subcontractor. However, this Section should not be construed to be an assumption of any responsibility or liability by City for the determination of the legitimacy, quality, ability, or good standing of any subcontractor. 7. AGENCY HAS LEGAL AUTHORITY TO ENTER INTO CONTRACT. Agency represents that it possesses the legal authority, pursuant to any proper, appropriate and official motion, resolution or action passed or taken, to enter into this Contract and to perform the responsibilities herein required. 8. ADDITIONAL REOUIREMENTS. Agency agrees to comply with all requirements of the CDBG Program as stated in the CDBG Regulations, including, but not limited to the following: 8.1 Environmental Review. Funds will not be paid, and costs cannot be incurred until City has conducted and completed an environmental review as required by 24 CFR Part 58. The environmental review may result in a decision to proceed with, modify, or cancel the Project. Further, Agency will not undertake or commit any funds to physical or choice limiting actions including if applicable property acquisition, demolition, movement, rehabilitation, conversion, repair or construction prior to the environmental clearance. Any violation of this provision will result in the denial of any funds under this Contract. 8.2 Contract Not Constituting Commitment of Funds. Notwithstanding any provision of this Contract, the Parties agree and acknowledge that this Contract does not constitute a commitment of funds, and that such commitment of funds or approval may occur only upon satisfactory completion of environmental review and receipt by City of an authorization to use grant funds from HUD under 24 CFR Part 58. CDBG REHABILITATION CONTRACT Page S Presbyterian Night Shelter 8.3. Monitoring. 8.3.1 Agency understands and agrees that it will be subject to monitoring by City for compliance with the CDBG Regulations for the duration of the Loan term and until the Project is closed in HUD's IDIS system. Agency will provide reports and access to Project files as requested by City for 5 years after closeout of the Contract in HUD's IDIS system, and will meet all the reporting requirements set out in this Contract. This Section shall survive the termination or expiration of this Contract. 8.3.2 City, HUD, and the United States Comptroller General or their respective representatives shall have access at all reasonable hours to the Agency's offices and records that are related to the use of the Funds that are the basis of this Contract and the Loan, and its officers, directors, agents, employees, contractors and subcontractors for the purpose of such monitoring. 8.3.3 In addition to other provisions of this Contract regarding frequency of monitoring, City reserves the right to perform desk reviews or on -site monitoring of Agency's compliance with the terms and conditions of this Contract and the Loan, and of the adequacy and timeliness of Agency's performance under this Contract and the Loan. After each monitoring visit, City shall provide Agency with a written report of the monitor's findings. If the monitoring report notes deficiencies in Agency's performance, the report shall include requirements for the timely correction of said deficiencies by Agency. Failure by Agency to take the action specified in the monitoring report may be cause for suspension or termination of this Contract as provided herein. 8.4 Compliance with the Uniform Relocation Act. If applicable, Agency shall comply with the relocation requirements of 24 CFR Part 580.606 and all other applicable Federal and state laws and City ordinances and requirements. 8.5 Compliance with Davis - Bacon. Agency and its general contractor and all lower tier subcontractors will comply with the Davis -Bacon Act as described in Section 14.14 and Exhibit G of this Contract. 8.6 Agency Procurement Standards. Agency shall establish procurement procedures to ensure that materials and services are obtained in a cost effective manner. When procuring services to be provided under this Contract, Agency shall comply at a minimum with the procurement standards at 24 CFR Part 84.40 through 24 CFR Part 84.48 as well as the City's procurement requirements. 8.7 Cost Principles /Cost Reasonableness. Agency shall administer its use of the Funds in compliance with OMB Circular A -122, "Cost Principles for Non - Profit Organizations ", as amended from time to time. The allowability of costs incurred for performance rendered shall be determined in accordance with OMB Circular A -122 as supplemented by the provisions of this Contract. CDBG REHABILITATION CONTRACT Page 9 Presbyterian Night Shelter 8.8 Accounting Standards. Agency agrees to comply with OMB Circular A -110, "Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals and other Non - Profit Organizations ", and agrees to adhere to the accounting principles and procedures required therein, utilize adequate internal controls, and maintain necessary source documentation for all costs incurred. 8.9 Terms Applicable to Contractors and Subcontractors. Agency understands and agrees that all terms of this Contract, whether regulatory or otherwise, shall apply to any and all contractors and subcontractors of Agency which are in any way paid with Funds or who perform any work in connection with the Project. Agency shall cause all applicable provisions of this Contract to be included in and made a part of any contract or subcontract executed in the performance of it obligations hereunder. Agency shall monitor the services and work performed by its contractors and subcontractors on a regular basis for compliance with the CDBG Regulations and Contract provisions. Agency is liable for all violations of the CDBG Regulations committed by its contractors or subcontractors. City maintains the right to insist on Agency's full compliance with the terms of this Contract and Agency is responsible for such compliance regardless of whether actions taken to fulfill the requirements of this Contract are taken by Agency or by Agency's contractors or subcontractors. 9. RECORD KEEPING, REPORTING AND DOCUMENTATION REQUIREMENTS. 9.1 Record Keeping. Agency shall maintain a record - keeping system as part of its performance of this Contract and shall promptly provide City with copies of any document City deems necessary for the effective fulfillment of City's monitoring and evaluation responsibilities. Specifically, Agency will keep or cause to be kept an accurate record of all actions taken and all funds spent, with supporting and back -up documentation. Agency will maintain all records related to this Contract for 5 years after termination of the Contract. If any claim, litigation, or audit is initiated before the expiration of the 5 year period, the records must be retained until all such claims, litigation or audits have been resolved. 9.1.2 Access to Records. City and any duly authorized officials of the federal government will have full access to, and the right to examine, audit, excerpt and/or transcribe any of Agency's records pertaining to all matters covered by this Contract. 9.2 Reports. Agency will submit to City all reports and documentation described in this Contract, in such form as City may prescribe, pertaining to the activities undertaken as a result of this Contract. Agency may also be required to submit a final performance and financial report if required by City, in such form and within such times as City may prescribe, at the termination of this Contract and/or the termination of the Loan. Failure CDBG REHABILITATION CONTRACT Page 10 Presbyterian Night Shelter to submit any report or documentation described in this Contract to City shall be an event of default of this Contract and City may exercise all of it remedies for default under this Contract and Loan Documents. 9.2 Change in Reporting Requirements and Forms. City retains the right to change reporting requirements and forms at its discretion. City will notify Agency in writing of such change, and the Parties shall execute an amendment to the Contract reflecting such change. 10. REIMBURSEMENT REQUIREMENTS. With each Reimbursement Request, Agency shall provide City with Complete Documentation and the following reports as shown in EXHIBIT E — REPORTING FORMS: 10.1 Attachment I — Invoice. This report shall contain the amount requested for reimbursement in the submitted request, and the cumulative reimbursement requested to date (inclusive of the current request). This report must be signed by an authorized signatory of Agency. By signing Attachment I, Agency is certifying that the costs are valid, eligible, and consistent with the terms and conditions of this Contract, and the data contained in the report is true and correct. 10.2 Attachment II — Expenditure Worksheet. This report shall itemize each expense requested for reimbursement by Agency and shall include the Exhibit B — Budget account number linking the expense to a Budget line item. In order for this report to be complete the following must be submitted: 10.2.1 For payroll expenses, timesheets signed by employees and approved by supervisor for all payroll expenses listed. Timesheets must distinguish between time spent on Contract activities and time spent on non - reimbursable activities, and must reflect actual time spent on activities associated with this Contract. 10.2.2 For non - payroll expenses, invoices for each expense with an explanation as to how the expense pertains to the Project, if necessary. 10.2.3 Proof that each expense was paid by Agency, which proof can be satisfied by cancelled checks, wire transfer documentation, paid receipts or other appropriate banking documentation. 10.3 Withholding Payment. IF THE REQUIRED REPORTS AND APPROPRIATE SUPPORTING DOCUMENTATION ARE NOT RECEIVED WITHIN THE TERM OF THIS CONTRACT, CITY SHALL HAVE NO OBLIGATION TO MAKE SUCH PAYMENT. Failure to submit required reports shall be an event of default. CDBG REHABILITATION CONTRACT Page 11 Presbyterian Night Shelter 11. DEFAULT AND TERMINATION. 11.1 Failure to Begin or Complete the Project 11.1.1 If Agency fails to begin construction on the rehabilitation of the bathrooms within 3 months of the execution of this Contract, the Contract shall automatically terminate without further warning or opportunity to cure, and with no penalty or liability to City. 11.1.2 If City determines that the rehabilitation of the bathrooms was not completed by the Completion Deadline, City shall have the right to terminate this Contract with no penalty or liability to City, with such termination to be effective immediately upon written notice. 11.2 Failure to Submit Required Documentation 11.2.1 If Agency fails to submit a Reimbursement Request, or if the submitted Reimbursement Request is incomplete or otherwise not in compliance with this Contract or CDBG Regulations as determined by City, Agency shall be in default of this Contract. City will notify Agency in writing of such default and the Agency will have 10 calendar days from the date of the written notice to submit or resubmit any such Reimbursement Request to cure the default. If the Agency fails to cure the default within such time, Agency shall forfeit any payments otherwise due under such Reimbursement Request. 11.2.2 If Agency fails to submit any report or provide documentation required by this Contract, or if the submitted report or documentation is not in compliance with this Contract or CDBG Regulations as determined by City, City will notify Agency in writing and the Agency will have 15 calendar days from the date of the written notice to submit or resubmit any such report or documentation. If Agency fails to submit or resubmit any such report or documentation within such time, City shall have the right to withhold payments or terminate this Contract effective immediately upon written notice of such intent with no penalty or liability to City. 11.2.3 In the event of (i) an uncured default as described in Section 11.2.1 or 11.2.2, or (ii) more than 2 instances of default, cured or uncured, under such Sections, City reserves the right at its sole option to terminate this Contract effective immediately upon written notice of such intent with no penalty or liability to City. 11.2.4 Notwithstanding anything to the contrary herein, City will not be required to pay any Funds to Agency during the period that any report or documentation is past due or is not in compliance with this Contract or the CDBG Regulations, or during any period during which Agency is in default of this Contract. In the event of termination under this Section 11.2, all Funds awarded but unpaid to Agency pursuant to this Contract shall be immediately forfeited and Agency shall have no further right to such funds. Any funds already paid to Agency must be repaid to City within 30 days of the termination. Failure to repay such Funds will result in City exercising all legal remedies available to City under this Contract and the Loan Documents. CDBG REHABILITATION CONTRACT Page 12 Presbyterian Night Shelter 11.3 In General. Subject to Sections 11.1 and 11.2, and unless specifically provided otherwise in this Contract, Agency shall be in default under this Contract if Agency breaches any term or condition of this Contract. In the event that such a breach remains uncured after 30 calendar days following written notice by City (or such other notice period as may be specified herein) or, if Agency has diligently and continuously attempted to cure following receipt of such written notice but reasonably required more than 30 calendar days to cure, as determined by both Parties mutually and in good faith, City shall have the right to elect, as determined in City's sole discretion, to terminate this Contract effective immediately upon written notice of such intent to Agency, or to pursue any other legal remedies available to City. In the event of termination under this Section 11.3, all Funds awarded but unpaid to Agency pursuant to this Contract shall be immediately rescinded and Agency shall have no further right to such funds, and any Funds already paid to Agency must be repaid to City within 30 days of the termination. Failure to repay such Funds will result in City exercising all legal remedies available to City under this Contract and the Loan Documents. 11.4 No Funds Disbursed while in Breach. Agency understands and agrees that no Funds will be paid to Agency until all defaults are cured to the satisfaction of City. 11.5 No Compensation After Date of Termination. In the event of termination, Agency shall not receive any compensation for work undertaken after the date of the termination. 11.6 Rights of City Not Affected. Termination shall not affect or terminate any of the existing rights of City against Agency, or which may thereafter accrue because of such default. Such termination does not terminate any applicable provisions of this Contract that have been expressly noted as surviving the term or termination of the Contract. 11.7 Waiver of Breach Not Waiver of Subsequent Breach. The waiver of a breach of any term, covenant, or condition of this Contract shall not operate as a waiver of any subsequent breach of the same or any other term, covenant or condition hereof. 11.8 Civil, Criminal and Administrative Penalties. Failure to perform all the Contract terms may result in civil, criminal or administrative penalties, including, but not limited to those set out in this Contract. 11.9 Termination for Cause or Termination in City's Interest. City may terminate this Contract in the event of Agency's default, inability, or failure to perform, subject to notice, grace and cure periods or otherwise, whenever such termination is determined by City to be in City's best interest. Likewise, Agency may terminate this Contract if City does not provide the Funds substantially in accordance with this Contract. CDBG REHABILITATION CONTRACT Page 13 Presbyterian Night Shelter 11.10 Termination for Convenience. In terminating in accordance with 24 C.F.R. 85.44 this Contract may be terminated in whole or in part only as follows: 11.10.1 By City with the consent of Agency in which case the Parties shall agree upon the termination conditions, including the effective date and in the case of partial termination, the portion to be terminated, or 11.10.2 By the Agency upon written notification to City, setting forth the reasons for such termination, the effective date, and in the case of partial termination, the portion to be terminated. However, if, in the case of a partial termination, City determines that the remaining portion of the Contract to be performed or Funds to be spent will not accomplish the purposes for which the Contract was made, City may terminate the Contract in its entirety. 11.11 Dissolution of Agency Terminates Contract. In the event Agency is dissolved or ceases to exist, this Contract shall immediately terminate. 12. REPAYMENT OF FUNDS. All Funds are subject to repayment in the event the Project does not meet the requirements as set out in this Contract, the CDBG Regulations, or the Loan Documents. Specifically, a failure to fulfill the national objective as a result of the CDBG- assisted activities described herein will result in the disallowance of CDBG funding for the Project and the Agency will be required to repay the Funds to City 13. SURVIVAL. Any provision of this Contract that pertains to auditing, monitoring, client income eligibility, record keeping and reports, City ordinances, or applicable CDBG requirements, and any default and enforcement provisions necessary to enforce such provisions, shall survive the termination of this Contract for 5 years after the termination date of this Contract, and shall be enforceable by City against Agency. 14. GENERAL PROVISIONS 14.1 Independent Contractor. Agency shall operate hereunder as an independent contractor and not as an officer, agent, servant or employee of City. Agency shall have exclusive control of, and the exclusive right to control, the details of the work and services performed hereunder, and all persons performing same, and shall be solely responsible for the acts and omissions of its officers, members, agents, servants, employees, contractors, clients, licensees or invitees. CDBG REHABILITATION CONTRACT Page 14 Presbyterian Night Shelter 14.2 Doctrine of Respondeat Superior. The doctrine of respondeat superior shall not apply as between City and Agency, its officers, members, agents, servants, employees, contractors, clients, licensees or invitees, and nothing herein shall be construed as creating a partnership or joint enterprise between City and Agency. City does not have the legal right to control the details of the tasks performed hereunder by Agency, its officers, members, agents, employees, contractors, licensees or invitees. 14.3 Agency Property. City shall under no circumstances be responsible for any property belonging to Agency, its officers, members, agents, employees, contractors, clients, licensees or invitees that may be lost, stolen or destroyed or in any way damaged and AGENCY HEREBY INDEMNIFIES AND HOLDS HARMLESS CITY AND ITS OFFICERS, AGENTS, AND EMPLOYEES FROM ANY AND ALL CLAIMS OR SUITS PERTAINING TO OR CONNECTED WITH SUCH PROPERTY. 14.4 Religious Organization. No portion of the Funds shall be used in support of any sectarian or religious activity. In addition, there must be no religious or membership criteria for clients of a CDBG- funded service. 14.5 Audit. 14.5.1 Entities that Expend $500,000 or more in Federal Funds Per Year. All non - federal entities that expend $500,000 or more in Federal funds within one year, regardless of the source of the Federal award, must submit to City an annual audit prepared in accordance with specific reference to OMB Circular A -133. The audit shall cover the Agency's fiscal years during which this Contract is in force. The audit must be prepared by an independent certified public accountant, be completed within 6 months following the end of the period being audited and be submitted to City within 30 days of its completion. Agency's audit certification is attached hereto as Exhibit "D" — "Audit Certification Form" and "Audit Requirements ". The Audit Certification Form must be submitted to City within 60 days of the end of period being audited (Agency's fiscal year). Entities that expend less than $500,000 a year in Federal funds are exempt from Federal audit requirements for that year, but records must be available for review or audit by appropriate officials of the Federal agency, City, and General Accounting Office. 14.5.2 City Reserves the Right to Audit. City reserves the right to perform an audit of Agency's operations and finances at any time during the term of this Contract and for 5 years after the termination thereof. Agency agrees to allow access to all pertinent materials as described herein. If such audit reveals a questioned practice or expenditure, such questions must be resolved within 15 business days after notice to Agency of such questioned practice or expenditure. If questions are not resolved within this period, City reserves the right to withhold further funding under this and/or future contract(s) with Agency. IF AS A RESULT OF ANY AUDIT IT IS DETERMINED THAT AGENCY HAS FALSIFIED ANY CDBG REHABILITATION CONTRACT Page 15 Presbyterian Night Shelter DOCUMENTATION OR MISUSED, MISAPPLIED OR MISAPPROPRIATED FUNDS OR SPENT FUNDS ON ANY INELIGIBLE ACTIVITIES, AGENCY AGREES TO REIMBURSE CITY THE AMOUNT OF SUCH MONIES PLUS THE AMOUNT OF ANY SANCTIONS, PENALTY OR OTHER CHARGE LEVIED AGAINST CITY BY HUD BECAUSE OF SUCH ACTIONS. 14.6 Venue. Venue for any action, whether real or asserted, at law or in equity, arising out of the execution, performance, attempted performance or non - performance of this Contract, shall lie in Tarrant County, Texas. 14.7 Governing Law. In any questions involving state law, for any action, whether real or asserted, at law or in equity, arising out of the execution, performance or non - performance of this Contract, in any issue not governed by federal law, the choice of law shall be the law from the State of Texas. 14.8 Severability. The provisions of this Contract are severable, and, if for any reason a clause, sentence, paragraph or other part of this Contract shall be determined to be invalid by a court or Federal or state agency, board or commission having jurisdiction over the subject matter thereof, such invalidity shall not affect other provisions which can be given effect without the invalid provision. 14.9 Written Agreement Entire Contract. This written instrument and the Addendums, Attachments, and Exhibits attached hereto, which are incorporated by reference and made a part of this Contract for all purposes, constitute the entire agreement by the Parties hereto concerning the work and services to be performed under this Contract. Any prior or contemporaneous oral or written agreement, which purports to vary the terms of this Contract, shall be void. Any amendments to the terms of this Contract must be in writing and must be executed by each Party to this Contract. 14.10. Paragraph Headings for Reference Only, No Legal Significance. The paragraph headings contained herein are for convenience in reference to this Contract and are not intended to define or to limit the scope of any provision of this Contract. 14.11 Compliance With All Applicable Laws and Regulations. Agency agrees to comply fully with all applicable laws and regulations that are currently in effect or that are hereafter amended during the performance of this Contract. Those laws include, but are not limited to: ➢ CDBG Regulations found in 24 CFR Part 570. ➢ Title I of the Housing and Community Development Act of 1974, as amended, (42 USC 5301 et seq. ) ➢ Title VI of the Civil Rights Act of 1964 (42 U.S.C. Sections 2000d et seq.) CDBG REHABILITATION CONTRACT Page 16 Presbyterian Night Shelter including provisions requiring recipients of federal assistance to ensure meaningful access by person of limited English proficiency ➢ The Fair Housing Act, Title VIII of the Civil Rights Act of 1968 (42 U.S.C. Sections 3601 et seq.) ➢ Executive Orders 11063, 11246 as amended by 11375 and 12086 and as supplemented by Department of Labor regulations 41 CFR Part 60 ➢ The Age Discrimination in Employment Act of 1967 ➢ The Age Discrimination Act of 1975 (42 U.S.C. Sections 6101 et seq.) ➢ The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sections 4601 et seq. and 49 CFR Part 24) ( "URA ") ➢ Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. Sections 794 et seq.) and 24 CFR Part 8 where applicable ➢ National Environmental Policy Act of 1969, as amended, 42 U.S.C. sections 4321 et seq. ( "NEPA ") and the related authorities listed in 24 CFR Part 58. ➢ The Clean Air Act, as amended, (42 U.S.C. Sections 1251 et seq.) and the Clean Water Act of 1977, as amended (33 U.S.C. Sections 1251 et seq.) and the related Executive Order 11738 and Environmental Protection Agency Regulations, 40 CFR Part 15. In no event shall any amount of the assistance provided under this Contract be utilized with respect to a facility that has given rise to a conviction under the Clean Air Act or the Clean Water Act. ➢ Immigration Reform and Control Act of 1986 (8 U.S.C. Sections 1101 et seq.) specifically including the provisions requiring employer verifications of legal status of its employees ➢ The Americans with Disabilities Act of 1990 (42 U.S.C. Sections 12101 et seq.), the Architectural Barriers Act of 1968 as amended (42 U.S.C. sections 4151 et seq.) and the Uniform Federal Accessibility Standards, 24 CFR Part 40, Appendix A ➢ Regulations at 24 CFR Part 87 related to lobbying, including the requirement that certifications and disclosures be obtained from all covered persons ➢ Drug Free Workplace Act of 1988 (41 U.S.C. Sections 701 et seq.) and 24 CFR Part 23, Subpart F ➢ Executive Order 12549 and 24 CFR Part 5.105(c) pertaining to restrictions on participation by ineligible, debarred or suspended persons or entities ➢ Section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act ➢ Guidelines of the Environmental Protection Agency at 40 CFR Part 247 ➢ For contracts and subgrants for construction or repair, Copeland "Anti - Kickback" Act (18 U.S.C. 874) as supplemented in 29 CFR Part 5 ➢ For construction contracts awarded by Agency in excess of $2,000, and in excess of $2,500 for other contracts which involve the employment of mechanics or laborers, Sections 103 and 107 of the Contract Work Hours and Safety Standards Act (40 U.S.C. 327A 300) as supplemented by 29 CFR Part 5 ➢ Lead -Based Paint Poisoning Prevention Act (42 U.S.C. 4801 et seq.), as amended by the Residential Lead -Based Paint Hazard Reduction Act of 1992 (42 U.S.C. 4851 et seq.) and implementing regulations at 24 CFR Part 35, subparts A, B, M, and R CDBG REHABILITATION CONTRACT Page 17 Presbyterian Night Shelter v Uniform Administration Requirements of 24 CFR Part 85 Requirement that Law Be Quoted in Covered Contracts. — Certain Requirements Pertaining to Section 3 of the Housing and Urban Development Act of 1968 as amended (12 U.S.C. Sections 1701 et seq.) and its related regulations at 24 CFR Part 135 If the work performed under this Contract is on a program assisted under a program providing direct Federal financial assistance from HUD, Section 3 of 24 CFR 135.38 ( "Section 3 ") requires that the following clause, shown in italics, be inserted in all covered contracts ( "Section 3 Clause "): Section to be quoted in covered contracts begins: "A. The work to be performed under this contract is subject to the requirements of Section 3 of Housing and Urban Development Act of 1968, as amended, 12 U.S. C. section 1701u (Section 3). The purpose of Section 3 is to ensure that employment and other economic opportunities generated by HUD assisted or HUD - assisted programs covered by Section 3, shall to the greatest extent feasible, be directed to low- and very -low income persons, particularly persons who are recipients of HUD assistance for housing. B. The parties to this contract agree to comply with HUD's regulations in 24 CFR Part 135, which implement Section 3. As evidenced by their execution of this contract, the parties to this contract certify that they are under no contractual or other impediment that would prevent them from complying with the Part 135 regulations. C. The contractor agrees to send to each labor organization or representative of workers with which it has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers' representatives of the contractor's commitments under this Section 3 clause and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the Section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprentice and training positions, the qualifications for each; and the name and location of the person(s) taking applications for each of the positions; and the anticipated date the work shall begin. D. The contractor agrees that it will include this Section 3 clause in every subcontract to comply with regulation in 24 CFR Part 135, and agrees to take appropriate action, as provided in an applicable provision of the subcontract or in this Section 3 clause, upon finding that the subcontractor is in violation of the regulations in 24 CFR Part 135. The contractor will not subcontract with any subcontractor where it has notice or knowledge that the subcontractor has been found in violation of regulations in 24 CFR 135. E. The contractor will certify that any vacant employment positions, including training positions that are filed: (1) after the contractor is CDBG REHABILITATION CONTRACT Page 18 Presbyterian Night Shelter selected but before the contract is executed, and (2) with persons other than those to whom the regulations of 24 CFR Part 135. The contractor will not subcontract with any subcontractor where it has notice or knowledge that the subcontractor has been found in violation of regulations in 24 CFR 135. F. Noncompliance with HUD's regulation in 24 CFR Part 135 may result in sanctions, termination of this contract for default, and debarment or suspension from future HUD assisted contracts. G. With respect to work performed in connection with Section 3 covered Indian housing assistance, section 7(b) of the Indian Self - Determination and Education Assistance Act (25 U.S.C. section 450e) also applies to the work to be performed under this Contract. Section 7(b) requires that to the greatest extent feasible (i) preference and opportunities for training and employment shall be given to Indians, and (ii) preference in the award of contracts and subcontracts shall be given to Indian organizations and Indian -owned Economic Enterprises. Parties to this contract that are subject to the provisions of Section 3 and Section 79b) agree to comply with Section 3 to the maximum extent feasible, but not in derogation of compliance with Section 7(b). " Section to be quoted in covered contracts ends. City and Agency understand and agree that, if applicable to the Project, compliance with the provisions of Section 3, the regulations set forth in 24 CFR Part 135, and all applicable rules and orders of HUD shall be a condition of the Federal financial assistance provided to the Project binding upon City and Agency, and their respective successors, assigns and the contractors. Failure to fulfill these requirements shall subject Agency and its contractors and their respective successors and assigns to those sanctions specified by the grant agreement through which Federal assistance is provided and to such sanctions as are specified by 24 CFR Part 135. 14.12 Prohibition Astainst Discrimination. 14.12.1 General Statement. Agency, in the execution, performance or attempted performance of this Contract, shall comply with all non - discrimination requirements of 24 CFR 570.607 and the ordinances codified at Chapter 17, Article III, Division 4 — Fair Housing of the City Code. Agency may not discriminate against any person because of race, color, sex, gender, religion, national origin, familial status, disability or perceived disability, sexual orientation, gender identity, gender expression, or transgender, nor will Agency permit its officers, members, agents, employees, or Project participants to engage in such discrimination. This Contract is made and entered into with reference specifically to the ordinances codified at Chapter 17, Article III, Division 3 - Employment Practices of the City Code, and Agency hereby covenants and agrees that Agency, its officers, members, agents, employees and contractors, have fully complied with all provisions of same and that no employee, or applicant for employment has been discriminated against under the CDBG REHABILITATION CONTRACT Page 19 Presbyterian Night Shelter terms of such ordinances by either or its officers, members, agents, employees or contractors. 14.12.2 No Discrimination in Employment during the Performance of this Contract. During the performance of this Contract Agency agrees to the following provision, and will require that its contractors and subcontractors also comply with such provision by including it in all contracts with its contractors: [Contractor's or Subcontractor's Name] will not unlawfully discriminate against any employee or applicants for employment because of race, color, sex, gender, religion, national origin, familial status, disability or perceived disability, sexual orientation, gender identity, gender expression or transgender. [Contractor's or Subcontractor's Name] take affirmative action to ensure that applicants are hired without regard to race, color, sex, gender, religion, national origin, familial status, disability or perceived disability, sexual orientation, gender identity, gender expression or transgender and that employees are treated fairly during employment without regard to their race, color, sex, gender, religion, national origin, familial status, disability or perceived disability, sexual orientation, gender identity, gender expression or transgender. Such action shall include, but not be limited to, the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. [Contractor's or Subcontractor's Namel agrees to post in conspicuous places, available to employees and applicants for employment, notices setting forth the provisions of this nondiscrimination clause. [Contractor's or Subcontractor's Name] will, in all solicitations or advertisements for employees placed by or on behalf of [Contractor's or Subcontractor's Name]_, state that all qualified applicants will receive consideration for employment without regard to race, color, sex, gender, religion, national origin, familial status, disability or perceived disability, sexual orientation, gender identity, gender expression or transgender. [Contractor's or Subcontractor's Name] covenants that neither it nor any of its officers, members, agents, employees, or contractors, while engaged in performing this Contract, shall, in connection with the employment, advancement or discharge of employees or in connection with the terms, conditions or privileges of their employment, discriminate against persons because of their age or because of any disability or perceived disability, except on the basis of a bona fide occupational qualification, retirement plan or statutory requirement. [Contractor's or Subcontractor's Name] further covenants that neither it nor its officers, members, agents, employees, contractors, or persons acting on their behalf, shall specify, in solicitations or advertisements for employees to work on this Contract, a maximum age limit for such employment unless the specified maximum age limit is based upon a bona fide occupational qualification, CDBG REHABILITATION CONTRACT Page 20 Presbyterian Night Shelter retirement plan or statutory requirement. 14.12.3 Agency's Contractors and ADA. In accordance with the provisions of the Americans With Disabilities Act of 1990 ( "ADA "), Agency warrants that it and any of its contractors will not unlawfully discriminate on the basis of disability in the provision of services to the general public, nor in the availability, terms and/or conditions of employment for applicants for employment with, or employees of Agency or any of its contractors. AGENCY WARRANTS IT WILL FULLY COMPLY WITH ADA'S PROVISIONS AND ANY OTHER APPLICABLE FEDERAL, STATE AND LOCAL LAWS CONCERNING DISABILITY AND WILL DEFEND, INDEMNIFY AND HOLD CITY HARMLESS AGAINST ANY CLAIMS OR ALLEGATIONS ASSERTED BY THIRD PARTIES OR AGENCYS AGAINST CITY ARISING OUT OF AGENCY'S AND /OR ITS AGENTS' OR EMPLOYEES' ALLEGED FAILURE TO COMPLY WITH THE ABOVE- REFERENCED LAWS CONCERNING DISABILITY DISCRIMINATION IN THE PERFORMANCE OF THIS CONTRACT. 14.13 Prohibition Against Interest / Conflict of Interest. 14.13.1 Agency shall establish safeguards to prohibit its employees, board members, advisors and agents from using positions for a purpose that is or gives the appearance of being motivated by a desire for private gain for themselves or others, particularly those with whom they have family, business or other ties. Agency shall disclose to City any conflict of interest or potential conflict of interest described above, immediately upon discovery of such. 14.13.2 No persons who are employees, agents, consultants, officers or elected officials or appointed officials of City or of Agency who exercise or have exercised any functions or responsibilities with respect to activities assisted with Funds or who are in a position to participate in a decision - making process or gain inside information with regard to these activities may utilize CDBG services, may obtain a financial interest or benefit from a CDBG- assisted activity, or have an interest in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, either for themselves or those with whom they have family or business ties, during their tenure or for 1 year thereafter, unless they are accepted in accordance with the procedures set forth at 24 CFR 570.611. 14.13.3 Agency affirms that it will adhere to the provisions of the Texas Penal Code which prohibits bribery and gifts to public servants. 14.13.4. In the procurement of property and services by Agency, the conflict of interest provisions of 24 CFR Part 85.36 and 24 CFR Part 84.42, respectively, shall apply. In all cases not governed by those sections, the provisions of 24 CFR 570.611 of the CDBG Regulations shall apply. CDBG REHABILITATION CONTRACT Page 21 Presbyterian Night Shelter 14.14 Labor Standards. 14.14.1 Agency agrees to comply with the requirements of the Secretary of Labor in accordance with the Davis -Bacon Act (40 U.S.C. 276a -7) as amended, the provisions of Contract Work Hours and Safety Standards Act (40 U.S.C. 327 et seq.) and all other applicable Federal, state and local laws and regulations pertaining to labor standards insofar as those acts apply to the performance of this Contract. Agency agrees to comply with the Copeland Anti -Kick Back Act (18 U.S.C. 874 et seq.) and the implementing regulations of the United .States Department of Labor at 29 CFR Part 5. Agency shall maintain documentation that demonstrates compliance with hour and wage requirements of this Contract and CDBG Regulations. Such documentation shall be made available promptly to City for review upon request. 14.14.2 Agency agrees that, where required by the CDBG Regulations, all contractors engaged under contract for construction, renovation or repair work financed in whole or in part with Funds shall comply with Federal requirements adopted by City pertaining to such contracts and with the applicable requirements of the regulations of the Department of Labor under 29 CFR Parts 1, 3, 5 and 7 governing the payment of wages and ratio of apprentices and trainees to journey workers; provided that, if wage rates higher than those required under these regulations are imposed by state or local law, nothing hereunder is intended to relieve Agency of its obligation, if any, to require payment of the higher wage. Agency shall cause or require to be inserted in full, in all such contracts subject to such regulations, provisions meeting the requirements of this paragraph. 14.14.3 Agency shall provide City access to employee payrolls, contractor and subcontractors payrolls and other wage information for persons performing construction as part of the Project. Payrolls must be submitted to the Housing and Economic Development Department with each Reimbursement Request, and must be available to Housing and Economic Development Department staff upon request. In addition, Agency shall ensure that City will have access to employees, contractors and subcontractors and their employees in order to conduct onsite interviews with laborers and mechanics. Agency shall inform its contractors and sub - contractors that City staff and/or Federal agencies may conduct periodic employee wage interview visits during the construction period of the Project to ensure compliance. 14.15 Minority and Women Business Enterprise Commitment. Agency agrees to abide by City's policy to involve Minority and Women Business Enterprises ( "M/WBEs ") in all phases of its procurement practices and to provide them equal opportunity to compete for contracts for construction, provision of professional services, purchase of equipment and supplies and provision of other services required by City. Therefore, Agency agrees to incorporate City Ordinance No. 15530, and all amendments or successor policies thereto, into all contracts and subcontracts and will further require all persons or entities with whom it contracts to comply with said ordinance. CDBG REHABILITATION CONTRACT Page 22 Presbyterian Night Shelter 14.16 Other Laws. The failure to list any federal, state or City ordinance, law or regulation that is applicable to Agency does not excuse or relieve Agency from the requirements or responsibilities in regard to following the law, nor from the consequences or penalties for Agency's failure to follow the law, if applicable. 14.17 Assignment. Agency shall not assign all or any part of its rights, privileges, or duties under this Contract without the prior written approval of City. Any attempted assignment of same without approval shall be void, and shall constitute a breach of this Contract. 14.18 Right to Inspect Agency Contracts. It is agreed that City has the right to inspect and approve in writing any proposed contracts between Agency, its general contractors, and subcontractors, including any lower tier subcontractors, engaged in any activity that is funded as a part of this Project prior to any charges being incurred. 14.19 Force Majeure If Agency becomes unable, either in whole or part, to fulfill its obligations under this Contract due to acts of God, strikes, lockouts, or other industrial disturbances, acts of public enemies, wars, blockades, insurrections, riots, epidemics, earthquakes, fires, floods, restraints or prohibitions by any court, board, department, commission or agency of the United States or of any States, civil disturbances, or explosions, or some other reason beyond such Agency's control (collectively, "Force Majeure Event "), the obligations so affected by such Force Majeure Event will be suspended only during the continuance of such event. Agency will give City written notice of the existence, extent and nature of the Force Majeure Event as soon as reasonably possible after the occurrence of the event. Failure to give notice will result in the continuance of the Agency's obligation regardless of the extent of any existing Force Majeure Event. Agency will use commercially reasonable efforts to remedy its inability to perform as soon as possible. 15. Indemnification and Release. AGENCY COVENANTS AND AGREES TO INDEMNIFY, HOLD HARMLESS AND DEFEND, AT ITS OWN EXPENSE, CITY AND ITS OFFICERS, AGENTS, SERVANTS AND EMPLOYEES FROM AND AGAINST ANY AND ALL CLAIMS OR SUITS FOR PROPERTY LOSS OR DAMAGE AND /OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF WHATSOEVER KIND OR CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN CONNECTION WITH THE EXECUTION, PERFORMANCE, ATTEMPTED PERFORMANCE OR NONPERFORMANCE OF THIS CONTRACT AND /OR THE OPERATIONS, ACTIVITIES AND SERVICES OF THE PROJECT DESCRIBED HEREIN, WHETHER OR NOT CAUSED IN WHOLE OR IN PART, BY ALLEGED NEGLIGENCE OF OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS OR SUB- CONTRACTORS OF CITY; AND AGENCY HEREBY ASSUMES ALL CDBG REHABILITATION CONTRACT Page 23 Presbyterian Night Shelter LIABILITY AND RESPONSIBILITY OF CITY AND ITS OFFICERS, AGENTS, SERVANTS, AND EMPLOYEES FOR ANY AND ALL CLAIMS OR SUITS FOR PROPERTY LOSS OR DAMAGE AND /OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF WHATSOEVER KINDS OR CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN CONNECTION WITH THE EXECUTION, PERFORMANCE, ATTEMPTED PERFORMANCE OR NONPERFORMANCE OF THIS CONTRACT AND /OR THE OPERATIONS, ACTIVITIES AND SERVICES OF THE PROJECT DESCRIBED HEREIN, WHETHER OR NOT CAUSED IN WHOLE OR IN PART BY ALLEGED NEGLIGENCE OF OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS OR SUB- CONTRACTORS OF CITY. AGENCY LIKEWISE COVENANTS AND AGREES TO AND DOES HEREBY INDEMNIFY AND HOLD HARMLESS CITY FROM AND AGAINST ANY AND ALL INJURY, DAMAGE OR DESTRUCTION OF PROPERTY OF CITY, ARISING OUT OF OR IN CONNECTION WITH ALL ACTS OR OMISSIONS OF AGENCY, ITS OFFICERS, MEMBERS, AGENTS, EMPLOYEES, CONTRACTORS, SUB- CONTRACTORS, INVITEES, LICENSEES, OR PROJECT PARTICIPANTS, OR CAUSED, IN WHOLE OR IN PART, BY ALLEGED NEGLIGENCE OF OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS OR SUB- CONTRACTORS OF CITY. IT IS THE EXPRESS INTENTION OF THE PARTIES, BOTH AGENCY AND CITY, THAT THE INDEMNITY PROVIDED FOR THIS SECTION INCLUDES INDEMNITY BY AGENCY TO INDEMNIFY AND PROTECT CITY FROM THE CONSEQUENCES OF CITY'S OWN NEGLIGENCE, WHETHER THAT NEGLIGENCE IS ALLEGED TO BE THE SOLE OR CONCURRING CAUSE OF THE INJURY, DAMAGE OR DEATH. AGENCY AGREES TO AND SHALL RELEASE CITY, ITS AGENTS, EMPLOYEES, OFFICERS AND LEGAL REPRESENTATIVES FROM ALL LIABILITY FOR INJURY, DEATH, DAMAGE OR LOSS TO PERSONS OR PROPERTY SUSTAINED IN CONNECTION WITH OR INCIDENTAL TO PERFORMANCE UNDER THIS CONTRACT, EVEN IF THE INJURY, DEATH, DAMAGE OR LOSS IS CAUSED BY CITY'S SOLE OR CONCURRENT NEGLIGENCE. AGENCY SHALL REQUIRE ALL OF ITS CONTRACTORS AND SUB- CONTRACTORS TO INCLUDE IN THEIR CONTRACTS AND SUBCONTRACTS A RELEASE AND INDEMNITY IN FAVOR OF CITY IN SUBSTANTIALLY THE SAME FORM AS ABOVE. 16. Waiver of Immunity by Agency. If Agency, as a charitable or nonprofit organization, has or claims an immunity or exemption (statutory or otherwise) from and against liability for damages or injury, including death, to persons or property, Agency hereby expressly waives its rights to plead defensively such immunity or exemption as against City. This Section shall not be CDBG REHABILITATION CONTRACT Page 24 Presbyterian Night Shelter construed to affect a governmental entity's immunities under constitutional, statutory or common law. 17. Insurance and Bonding. Agency will maintain blanket fidelity coverage in the form of insurance or bond in the amount of $175,000.00 to insure against loss from the fraud, theft or dishonesty of any of Agency's officers, agents, trustees, directors or employees. The proceeds of such bond shall be used to reimburse City for any and all loss of Funds occasioned by such misconduct. To effectuate such reimbursement, such fidelity coverage shall include a rider stating that reimbursement for any loss or losses thereunder shall name the City as a loss payee. Agency shall furnish to City in a timely manner, but not later than the Effective Date, certificates of insurance as proof that it has secured and paid for policies of commercial insurance as specified herein. If City has not received such certificates by the Effective Date, Agency shall be in default of the Contract and City may, at its option, terminate the Contract. Such insurance shall cover all insurable risks incident to or in connection with the execution, performance, attempted performance or nonperformance of this Contract. Agency shall maintain, or require its general Agency to maintain, the following coverages and limits thereof: Commercial General Liability (CGL) Insurance $500,000 each occurrence $1,000,000 aggregate limit Non - Profit Orp-anization Liability or Directors & Officers Liability (if applicable) $1,000,000 Each Occurrence $1,000,000 Annual Aggregate Limit Business Automobile Liability Insurance $1,000,000 each accident on a combined single -limit basis, or $250,000 Property Damage $500,000 Bodily Injury per person per occurrence $2,000,000 Aggregate Insurance policy shall be endorsed to cover "Any Auto", defined as autos owned, hired and non - owned. Pending availability of the above coverage and at the discretion of City, the policy shall be the primary responding insurance policy versus a personal auto insurance policy if or when in the course of Agency's business as contracted herein. CDBG REHABILITATION CONTRACT Page 25 Presbyterian Night Shelter Workers' Compensation Insurance Part A: Statutory Limits Part B: Employer's Liability $100,000 each accident $100,000 disease -each employee $500,000 disease - policy limit Additional Requirements Agency will submit to City documentation that it has obtained insurance coverage and has executed bonds as required in this Contract prior to payment of any monies provided hereunder. Where applicable, insurance policies required herein shall be endorsed to include City as an additional insured as its interest may appear. Additional insured parties shall include employees, officers, agents, and volunteers of City. Any failure on part of City to request certificate(s) of insurance shall not be construed as a waiver of such requirement or as a waiver of the insurance requirements themselves. Insurers of Agency's insurance policies shall be licensed to do business in the state of Texas by the Department of Insurance or be otherwise eligible and authorized to do business in the state of Texas. Insurers shall be acceptable to City insofar as their financial strength and solvency and each such company shall have a current minimum A.M. Best Key Rating Guide rating of A: VII or other equivalent insurance industry standard rating otherwise approved by City. Deductible limits on insurance policies shall not exceed $5,000 per occurrence unless otherwise approved by City. In the event there are any local, federal or other regulatory insurance or bonding requirements for the Project, and such requirements exceed those specified herein, the former shall prevail. Agency shall require its contractors to maintain applicable insurance coverages, limits, and other requirements as those specified herein; and, Agency shall require its contractors to provide Agency with certificate(s) of insurance documenting such coverage. Also, Agency shall require its contractors to have City and Agency endorsed as additional insureds (as their interest may appear) on their respective insurance policies. Agency shall require its general contractor to maintain builders risk insurance at the value of the construction. CDBG REHABILITATION CONTRACT Page 26 Presbyterian Night Shelter 18. Certification Regarding Lobbying. The undersigned representative of Agency hereby certifies, to the best of his or her knowledge and belief, that: No Federal appropriated funds have been paid or will be paid, by or on behalf of Agency, to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an officer or employee of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan or cooperative agreement. If any funds other than federally appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, member of Congress in connection with this Federal contract, grant, loan or cooperative agreement, Agency shall complete and submit Standard Form -LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions. This certification is a material representation of fact upon which reliance was placed when this Contract was made or entered into. Submission of this certificate is a prerequisite for making or entering into this Contract imposed by 31 U.S.C. Section 1352. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000.00 and not more than $100,000.00 for each such failure. Agency shall require that the language of this certification be included in all subcontracts or agreements involving the expenditure of Federal funds. 19. Litigation and Claims Agency shall give City immediate notice in writing of any action, including any proceeding before an administrative agency, filed against Agency in conjunction with this Contract or the Project. Agency shall furnish immediately to City copies of all pertinent papers received by Agency with respect to such action or claim. Agency shall provide a notice to City within 10 days upon filing under any bankruptcy or financial insolvency provision of law. 20. Notice. All notices required or permitted by this Contract must be in writing and are deemed delivered on the earlier date of the date actually received or the third day following deposit in a United States Postal Service post office or receptacle; with proper postage, certified mail return receipt requested; and addressed to the other Party at the address set CDBG REHABILITATION CONTRACT Page 27 Presbyterian Night Shelter out below or at such other address as the receiving Party designates by proper notice to the sending Party. Qtv City Attorney's Office Attn: Vicki Ganske 1000 Throckmorton Street Fort Worth, TX 76102 Telephone: 817- 392 -7600 Copy to: Director of Housing and Economic Development Department 1000 Throckmorton Street Fort Worth, TX 76102 Telephone: 817- 392 -7540 Copy to: Charletra Hurt Housing and Economic Development Department 1000 Throckmorton Street Fort Worth, TX 76102 Telephone: 817-392-7536 Agency: Toby Owen Executive Director P.O. Box 2645 Fort Worth, Texas 76113 21. Counterparts. This Contract may be executed in multiple counterparts, each of which shall be considered an original, but all of which shall constitute one instrument. CDBG REHABILITATION CONTRACT Page 28 Presbyterian Night Shelter [SIGNATURES APPEAR ON NEXT PAGE] CDBG REHABILITATION CONTRACT Page 29 Presbyterian Night Shelter EXECUTED as of the last date indicated below by the signatures of the Parties. ORI < -1. ATTEST: F . CITY OF FORT WORTH a a °0 0 City Secretary � ° a Fernando 3Co 2 ta / , Assistant sistant City Manager 0 M &C: C- 2507 / / 0 � ° ° Date: Date: July 26, 2011 °00 - 0°000°— .cr APPROVED AS TO =A'?M)M Assistant City Attorney AGENCY: PRESBY TE AN NIGHT SHELTER By: Act-- To y O n, Executive Director Date: ?i (6- - IZ STATE OF TEXAS § COUNTY OF TARRANT § This instrument was acknowledged before me on mQJyp,�— *4 2012 by Fernando Costa, Assistant City Manager of the City of Fort Worth, on behalf the City of Fort Worth. LINDA M. NIRR1iNI2ER ' MY COMMISSION EXPIRES February 2, 2014 - I STATE OF TEXAS § COUNTY OF TARRANT § Notary Public, State of Texas This instrument was acknowledged before me on Toby Owen, Executive Director of Presbyterian behalf of said entity. KATHY DAWENPOFif MY COMMISSION EXPIRES August 25,2D1 5 CDBG REHABILITATION CONTRACT Presbyterian Night Shelter y��1p , 2012 by Night Shelter of Tarrant County, on Notar ublic 14tate of Texas OFFICIAL RECORD CITY SECRETARY PT. WORTkkg *o EXHIBIT "A" PROJECT SUMMARY - SCOPE OF WORK Presbyterian Night Shelter Of Tarrant County DESCRIPTION: Presbyterian Night Shelter of Tarrant County ( "PNS ") will use Community Development Block Grant ( "CDBG ") funds to rehabilitate bathroom facilities at its emergency shelter located at 2400 Cypress Street, Fort Worth, TX. 76102. The rehabilitation of the bathroom facilities may include, but not be limited to, the removal and replacement of toilets, lavatory faucets, showers, plumbing, electrical, lighting, an energy recovery exhaust system, flooring, walls, painting, and other renovations that will make the bathrooms compliant with the Americans with Disabilities Act. PNS will serve low to moderate income clients for 2 years after the completion of the rehabilitation of the bathroom facilities. CDBG Funds - Exhibits Presbyterian Night Shelter of Tarrant County EXHIBIT "B" BUDGET Presbyterian Night Shelter of Tarrant County CDBG Funds Budget Rehabilitation Costs $175,000.00 TOTAL $175,000.00 CDBG Funds - Exhibits Presbyterian Night Shelter of Tarrant County EXHIBIT "C" CONSTRUCTION SCHEDULE" Presbyterian :Night Shelter of Tarrant County CDBG Contract Execution March 2012 Procurement March/April 2012 Begin Rehabilitation of Bathrooms May 2012 Project Completion February 2013 ** The Construction Schedule may be modified under Section 5.2 CDBG Funds - Exhibits Presbyterian Night Shelter of Tarrant County EXHIBIT "D" AUDIT REQUIREMENTS Presbyterian Night Shelter of Tarrant County CITY OF FORT WORTH HOUSING AND ECONOMIC DEVELOPMENT DEPARTMENT AUDIT REQUIREMENTS Organizations expending $500,000 or more in federal awards (from City of Fort Worth and other funding sources) during their fiscal years shall obtain either an annual single audit or a program specific audit. Organizations may have a program specific audit in accordance with OMB Circular A -133, or other standard set forth in the Contract if applicable, if they expended funds for only one federal program as listed in the Catalog of Federal Domestic Assistance (CFDA). If funds are spent for more than one federal program, a single audit is required. The audited time period is the organization's fiscal year, and not the City of Fort Worth's funding period. The audit shall be conducted by a certified public accountant (CPA) that is licensed at the time of the audit by the appropriate regulatory body. The CPA shall meet all of the general standards concerning qualifications, independence, due professional care and quality control as required by Government Auditing Standards, including the requirements for continuing professional education and external peer reviews. Auditor selection must adhere to federal procurement requirements. A separate supplementary schedule of revenues, expenditures and changes in fund balance for each City of Fort Worth contract is no longer required. The Schedule of Expenditures of Federal Awards should list City of Fort Worth 's contract numbers, the total expended for each individual federal program, and the CFDA number (OMB A -133 § .310). The independent auditor's report should include all of the relevant items listed on the "Audit Report Checklist." Additional guidance on the conduct and reporting of these audits is contained in the latest issuance of the following publications: Government Auditing Standards issued by the Comptroller General of the United States, 2003 OMB Circular A -133 as revised 6/30/97 and amended June 2003 OMB Circular A -133 Compliance Supplement AICPA's Statement of Position 98 -3, "Audits of States, Local Governments, and Not - for -Profit Organizations Receiving Federal Awards" Various AICPA audit guides for nonprofits, colleges and universities and health and welfare organizations AICPA's Audit Risk Alert "State and Local Governmental Developments" Government Auditing Standards by the Texas Department of Housing and Community Affairs for Properties Receiving Low Income Housing Tax Credits All organizations that receive a City of Fort Worth award must submit the provided Audit Certification Form which certifies whether you are subject to a single /program audit. Organizations receiving federal awards from the City of Fort Worth who are not required to have an audit shall certify in writing to the agency. The organization's Chief Executive Officer or Chief Financial Officer shall make the certification within 60 days of the end of the organization's fiscal year in the year that the project was completed. The following items should be submitted to the City of Fort Worth Housing and Economic Development Department within the required timeframe: CDBG Funds - Exhibits Presbyterian Night Shelter of Tarrant County Due 60 days after organization's fiscal year end in the year that the project was completed: (required for all subrec ipients i Completed Audit Certification Form Due within the earlier of 30 days after receipt of the auditor's report or nine months after the end of the audit period. Two copies of the entire audit report issued by the CPA Two copies of any management letter issued by the CPA in conjunction with the audit report Two copies of management's comments on all findings, recommendations, & questioned costs contained in the audit report and management letter, including a detailed corrective action plan Failure to submit any of these items by the required due date may result in holds on current draw requests, suspension of the organization's contract(s) and eligibility for future funding. If the organization does not meet the requirements of having a single /program audit conducted, records must still be kept available for review or audit by City of Fort Worth staff (OMB A -133 Subpart B Sec 200(d). If additional information is needed concerning the audit requirements, please call (817) 392 -6141. CDBG Funds - Exhibits Presbyterian Night Shelter of Tarrant County CITY OF FORT WORTH HOUSING AND ECONOMIC DEVELOPMENT DEPARTMENT SINGLE AUDI F REPORT CHECKLIST The Department developed this checklist to help organizations improve the quality and completeness of audit reports. General Purpose or Basic Financial Statements of the Organization Opinion /Report on Organization's Financial Statements in accordance with Government Auditing Standards Notes to the General Purpose or Basic Financial Statements of the Organization A Schedule of Expenditures of Federal Awards, including the Department's contract numbers, the total expended for the federal program, and the CFDA number (OMB A -133 Subpart C Sec 310). Opinion/Report on Schedule of Expenditures of Federal and State Awards Report on Compliance and on Internals Control Over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance With Government Auditing Standards. (OMB A -133 § 505 (b)) Report on Compliance with Requirements Applicable to Each Major Program and Internal Control over Compliance in Accordance with OMB Circular A -133. (OMB A -133 § 505 (c)) Schedule of Findings and Questioned Costs (OMB A -133 §. 505d), including: Summary Schedule of Prior Audit Findings reporting the status of all findings included in the prior audit's schedule of findings and questioned costs. (OMB A -133 Sec. 315 (a) and (b)) Corrective Action Plan including (OMB A -133 Sec. 315 (c)) name of person responsible for the corrective action, corrective action planned, anticipated completion date, and explanation and reason if auditee does not agree with findings or believes correction is not required. All reports are signed and dated by the auditor Two copies of the audit reports are submitted Two copies of the management letter, if issued in conjunction with the audit report. Two copies of comments by management concerning all findings and recommendations included in management letter, including a corrective action plan. CDBG Funds - Exhibits Presbyterian Night Shelter of Tarrant County CITY OF FORT WORTH ROUSING AND ECONOMIC DEVELOPMENT DEPARTMENT Audit Certification Form Subrecipient: & 5 �J ' n -ky fiscal Year Ending: (- /'1 2 0l Z Month Day Year We have exceeded the federal expenditure threshold of $500,000. We will have our Single Audit or Program Specific Audit completed and will submit the audit report within nine (9) months after the end of the audited fiscal year. ❑ We did not exceed the $500,000 federal expenditure threshold required for a Single Audit or a Program Specific Audit to be performed this fiscal year. (Fill out schedule below) Must be filled out if Single Audit or Program Audit is not required.- Federal Expenditure Disclosure Federal Funds Pass Through Federal Grantor Grantor Total Federal Expenditures for this Fiscal Year Printed N 'cam--- - Au ed Qnature (Must be CFO, CEO or equivalent) Program Name & Contract CFDA Number Number Expenditures $ Title (Must be CFO, CEO or equivalent) g 1,3 "� 7 YD 3- I ><— I z— Phone Number Date Failure to submit this or a similar statement or failure to submit a completed single audit package as described in the audit requirements by the required due date will result in suspension of funding and will affect eligibility for future funding. Submit this form to the City of Fort Worth Housing and Economic Development Department within 60 days after the end of your Fiscal year CDBG Funds - Exhibits Presbyterian Night Shelter of Tarrant County EXHIBIT "E" REPORTING FORMS Attachment I- Invoice Attachment II- Expenditure Worksheet Attachment III- Client Data Report CDBG Funds - Exhibits Presbyterian Night Shelter of Tarrant County Attachment I INVOICE Agency: Address: City, State, Zip: Program: Period of Service: Contractor's Certification: I certify that the costs incurred are valid and consistent with the terms and conditions of the contract between City and Agency. By signing this invoice, I certify that to the best of my knowledge and belief the data included in this report is true and accurate. It is acknowledged that the provision of false information could leave the certifying official subject to the penalties of federal, state, and local law. Signature and Date: Name: Title: CDBG Funds- Exhibits Presbyterian Night Shelter of Tarrant County City of Fort Worth Routhp and Eco—.k Devatopmant Depanmam Expandttura W*eKsh t Ag-Cy Program -Payroll must Identity employee. Rem must idenatt tenant. Other paymarda should WW" individuals, it applicable. CDBO Funds. E hibaa Presbyterian Night Shelter of Tarrant County AHMhmanl II �_ .. w ` k�� -.. '. .. �... EXHIBIT "F" LOAN DOCUMENTS Presbyterian Night Shelter of Tarrant County Promissory Note Deed of Trust CDBG Funds -Exhibits Presbyterian Night Shelter of Tarrant County PROMISSORY NOTE Date: March _, 2012 Borrower: Presbyterian Night Shelter of Tarrant County, a Texas non - profit corporation Borrower's Mailing Address: P.O Box 2645, Fort Worth, Tarrant County, TX 76113 Lender: City of Fort Worth, Texas, a Texas municipal corporation Place for Payment: C/O Director of Housing Economic Development Department 1000 Throckmorton St. Fort Worth, Tarrant County, TX 76102 or at any other place that Lender may designate in writing Principal Amount: ONE HUNDRED SEVENTY -FIVE THOUSAND AND NO /100 DOLLARS ($175,000.00) Loan Authority: The loan evidenced by this Note (the "Loan ") is being made pursuant to grant monies from the United States Department of Housing and Urban Development ( "HUD ") under Title I of the Housing and Community Development Act of 1974, as amended, 42 USC 5301 et seq. for utilization in connection with its Community Development Block Grant ( "CDBG Program ") and the Community Development Block Grant Entitlement Program Regulations, as amended, 24 CFR Part 570 et seq. (the "CDBG Regulations ") with CDBG funds. Annual Interest Rate: Zero Percent (0 %) Maturity Date: as described in City Secretary Contract No. dated March 2012 between Borrower and Lender for the CDBG funds (the "Contract') Annual Interest Rate on Matured, Unpaid Amounts: Six Percent (6 %) Terms of Payment (principal and interest): The Principal Amount is a forgivable deferred payment loan. Payment of the Principal Amount will only be required if Borrower does not comply with the terms of the Contract, the requirements of the CDBG Program and the CDBG Regulations, or the terms of this Note and any instrument evidencing or securing the Loan (collectively, the "Loan Documents "). This Note is the Note required in the Contract and has been executed and delivered in accordance with its terms. The funds advanced by Lender are CDBG funds and the Contract requires that the public facility located on the Property rehabilitated in part with PROMISSORY NOTE — CDBG FUNDS Page 1 PRESBYTERIAN NIGHT SHELTER OF TARRANT COUNTY Rev. 02 -28 -12 the CDBG funds must benefit CDBG Eligible Clients as defined in the Contract, for a period of 2 years after the completion of therehabilitation, as more particularly described in the Contract. The Loan evidenced by this Note and the obligations described in the Contract pertaining to the CDBG Program and the CDBG Regulations will be in default and the Principal Amount and any other sums due hereunder may be declared immediately payable if the public facility located on the Property does not serve CDBG Eligible Clients for the duration of the above described 2 year period. In the event of such default, Lender may invoke any remedies provided in the Contract or the Deed of Trust for default. On performance of the obligations described in the Contract and the terms and conditions of the Loan Documents, the Loan will be forgiven. Security for Payment: This Note is secured by a Deed of Trust of even date from Borrower to Vicki S. Ganske, Trustee, or Leann D. Guzman, Trustee, which covers the following real property: Lot 5R1, Block 91, of TEXAS &PACIFIC RAILWAY COMPANY ADDITION, an Addition to the City of Fort Worth, Tarrant County, Texas, according to the plat thereof recorded in Cabinet B, Slide 84, of the Plat Records of Tarrant County, Texas commonly known as2400 Cypress Street., Fort Worth TX 76102 (the "Property ") Other Security for Payment: None If the Principal Amount is not forgiven, Borrower promises to pay to the order of Lender the Principal Amount. In that event, this Note is payable at the Place for Payment and according to the Terms of Payment. All unpaid amounts are due by the Maturity Date. After maturity, Borrower promises to pay any unpaid principal balance plus interest at the Annual Interest Rate on Matured, Unpaid Amounts. If Borrower defaults in the payment of this Note or in the performance of its obligations under the Contract or the CDBG Program or the CDBG Regulations or any other obligation in any instrument securing or collateral to this Note, Lender may declare the unpaid principal balance, earned interest, and any other amounts owed on the Note immediately due and payable. Borrower and each surety, endorser, and guarantor waive all demand for payment, presentation for payment, notice of intention to accelerate maturity, notice of acceleration of maturity, protest, and notice of protest, to the extent permitted by law. Notwithstanding anything to the contrary, if a monetary event of default occurs under the terms of any of the Loan Documents, prior to exercising any remedies Lender shall give Borrower written notice of such default. Borrower shall have a period of 7 days after such notice is given within which to cure the default prior to exercise of remedies by Lender under the Loan Documents. Notwithstanding anything to the contrary, if a non - monetary event of default occurs under the terms of any of the Loan Documents, prior to exercising any remedies, Lender shall give Borrower written PROMISSORY NOTE — CDBG FUNDS Page 2 PRESBYTERIAN NIGHT SHELTER OF TARRANT COUNTY Rev. 02 -28 -12 i notice of such default. If the default is reasonably capable of being cured within 30 days, Borrower shall have such period to effect a cure prior to exercise of remedies by Lender under the Loan Documents. If the default is such that it is not reasonably capable of being cured within 30 days, and if Borrower (a) initiates corrective action within said period, and (b) diligently, continually, and in good faith works to effect a cure as soon as possible, then Borrower shall have such additional time as is reasonably necessary to cure the default prior to exercise of any remedies by Lender. In no event shall Lender be precluded from exercising remedies if its security becomes or is about to become materially jeopardized by any failure to cure a default or the default is not cured within 180 days after the first notice of default is given. Borrower also promises to pay reasonable attorney's fees and court and other costs if this Note is placed in the hands of an attorney to collect or enforce the Note. These expenses will bear interest from the date of advance at the Annual Interest Rate on Matured, Unpaid Amounts. Borrower will pay Lender these expenses and interest on demand at the Place for Payment. These expenses and interest will become part of the debt evidenced by the Note and will be secured by any security for payment. Interest on the debt evidenced by this Note will not exceed the maximum rate or amount of nonusurious interest that may be contracted for, taken, reserved, charged, or received under law. Any interest in excess of that maximum amount will be credited on the Principal Amount or, if the Principal Amount has been paid, refunded. On any acceleration or required or permitted prepayment, any excess interest will be canceled automatically as of the acceleration or prepayment or, if the excess interest has already been paid, credited on the Principal Amount or, if the Principal Amount has been paid, refunded. This provision overrides any conflicting provisions in this Note and all other instruments concerning the debt. Each Borrower is responsible for all obligations represented by this Note. When the context requires, singular nouns and pronouns include the plural. The execution and delivery of this Note are required under the Contract. If any provision of this Note conflicts with any provision of the Contract, the Deed of Trust or any other document evidencing the same transaction between Lender and Borrower, the provisions of the Contract will govern to the extent of the conflict. This Note will be construed under the laws of the state of Texas without regard to choice -of -law rules of any jurisdiction. This Note is a nonrecourse obligation of Borrower. Neither Borrower nor any other party shall have any personal liability for repayment of the Loan described in the Contract. The sole recourse of Lender under the Loan Documents for repayment of the Loan shall be the exercise of its rights against the Security for Payment. PROMISSORY NOTE — CDBG FUNDS Page 3 PRESBYTERIAN NIGHT SHELTER OF TARRANT COUNTY Rev. 02 -28 -12 THE CONTRACT, THE NOTE AND THE DEED OF TRUST CONSTITUTE THE FINAL AGREEMENT OF THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES. PRESBYTERIAN NIGHT SHELTER OF TARRANT COUNTY Toby Owen, Executive Director PROMISSORY NOTE — CDBG FUNDS Page 4 PRESBYTERIAN NIGHT SHELTER OF TARRANT COUNTY Rev. 02 -28 -12 NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OF THE FOLLOWING INFORMATION FROM THIS INSTRUMENT BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER DEED OF TRUST Terms Date: March _, 2012 Grantor: Presbyterian Night Shelter of Tarrant County, a Texas non- profit corporation. Grantor's Mailing Address: PO Box 2645, Fort Worth, Tarrant County, TX 76113 Trustee: Vicki S. Ganske or Leann D. Guzman Trustee's Mailing Address: C/O City Attorney's Office City of Fort Worth 1000 Throckmorton St. Fort Worth, Tarrant County, TX 76102 Lender: City of Fort Worth, Texas, a Texas municipal corporation Lender's Mailing Address: C/O Housing and Economic Development Department 1000 Throckmorton St. Fort Worth, Tarrant County, TX 76102 Loan Authority: The loan evidenced by the Note (the "Loan ") and secured by this Deed of Trust is being made pursuant to grant monies from the United States Department of Housing and Urban Development ( "HUD ") under Title I of the Housing and Community Development Act of 1974, as amended, 42 USC 5301 et seq. for utilization in connection with its Community Development Block Grant ( "CDBG Program ") and the Community Development Block Grant Entitlement Program Regulations, as amended, 24 CFR Part 570 et seq. (the "CDBG Regulations ") with CDBG funds. DEED OF TRUST — CDBG FUNDS Page 1 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 Obligation Note Date: March , 2012 Original principal amount: $175,000.00 Borrower: Presbyterian Night Shelter of Tarrant County, a Texas non - profit corporation Lender: City of Fort Worth, Texas, a Texas municipal corporation Maturity Date: as described therein In addition, Obligation shall include compliance by Grantor with the requirements of the CDBG Program more particularly described in Section E. below. Property (including any improvements): Lot5R1, Block 91, TEXAS & PACIFIC RAILWAY COMPANY ADDITION, an Addition to the City of Fort Worth, Tarrant County, Texas, according to the Plat thereof recorded in Cabinet B. Slide 84, of the Plat Records of Tarrant County, Texas commonly known as2400 Cypress Street, Fort Worth TX 76102 Prior Lien: None Other Exceptions to Conveyance and Warranty: Easements, rights -of -way, and prescriptive rights, whether of record or not; all presently recorded and validly existing recorded instruments other than conveyances of the surface fee estate that affect the Property; liens described in this Deed of Trust; and, taxes for the current year. For value received and to secure payment of the Obligation, Grantor conveys the Property to Trustee in trust. Grantor warrants and agrees to defend the title to the Property, subject to the Other Exceptions to Conveyance and Warranty. On performance of the Obligation, including payment of the Loan and all other amounts secured by this Deed of Trust and performance of the requirements of the CDBG Program, this Deed of Trust will have no further effect, and Lender will release it at Grantor's expense. Clauses and Covenants A. Grantor's Obligations Grantor agrees to- 1. keep the Property in good repair and condition; DEED OF TRUST — CDBG FUNDS Page 2 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 2. pay all taxes and assessments on the Property before delinquency and provide proof of payment of same upon request by Lender; 3. defend title to the Property subject to the Other Exceptions to Conveyance and Warranty and preserve the lien's priority as it is established in this Deed of Trust; 4. maintain all insurance coverages with respect to the Property, revenues generated by the Property, and operations on the Property that Lender reasonably requires "Required Insurance Coverages "), issued by insurers and written on policy forms acceptable to Lender, and deliver evidence of the Required Insurance Coverages in a form acceptable to Lender at least 10 days before expiration of the Required Insurance Coverages; 5. obey all laws, ordinances, and restrictive covenants applicable to the Property; 6. keep any buildings occupied as required by the Required Insurance Coverages; 7. if the lien of this Deed of Trust is not a first lien, pay or cause to be paid all prior lien notes and abide by or cause to be abided by all prior lien instruments; and, 8. notify Lender of any change of address. B. Lender's Rights 1. Lender or Lender's mortgage servicer may appoint in writing a substitute trustee, succeeding to all rights and responsibilities of Trustee. 2. If the proceeds of the Obligation are used to pay any debt secured by prior liens, Lender is subrogated to all the rights and liens of the holders of any debt so paid. 3. Lender may apply any proceeds received under the property insurance policies either to reduce the Obligation or to repair or replace damaged or destroyed improvements covered by the policy. If the Property is Grantor's primary residence and Lender reasonably determines that repairs to the improvements are economically feasible, Lender will make the insurance proceeds available to Grantor for repairs. 4. Notwithstanding the terms of the Note to the contrary, and unless applicable law prohibits, all payments received by Lender from Grantor with respect to the Obligation or this Deed of Trust may, at Lender's discretion, be applied first to amounts payable under this Deed of Trust and then to amounts due and payable to Lender with respect to the Obligation, to be applied to late charges, principal, or interest in the order Lender in its discretion determines. 5. If Grantor fails to perform any of Grantor's obligations, subject to prior notice and DEED OF TRUST — CDBG FUNDS Page 3 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 i cure period, Lender may perform those obligations and be reimbursed by Grantor on demand for any amounts so paid, including attorney's fees, plus interest on those amounts from the dates of payment at the rate stated in the Note for matured, unpaid amounts. The amount to be reimbursed will be secured by this Deed of Trust. 6. If there is a default on the Obligation or if Grantor fails to perform any of Grantor's obligations and the default continues after any required notice of the default and the time allowed to cure, Lender may— a. declare the unpaid principal balance and earned interest on the Obligation immediately due; b. direct Trustee to foreclose this lien, in which case Lender or Lender's agent will cause notice of the foreclosure sale to be given as provided by the Texas Property Code as then in effect; and C. purchase the Property at any foreclosure sale by offering the highest bid and then have the bid credited on the Obligation. Notwithstanding anything to the contrary, if a monetary event of default occurs under the terms of any of the Loan documents, prior to exercising any remedies Lender shall give Grantor written notice of such default. Grantor shall have a period of 7 days after such notice is given within which to cure the default prior to exercise of remedies by Lender under the Loan documents. Notwithstanding anything to the contrary, if a non - monetary event of default occurs under the terms of any of the Loan documents, prior to exercising any remedies, Lender shall give Grantor written notice of such default. If the default is reasonably capable of being cured within 30 days, Grantor and each of the general and limited partners on behalf of Grantor shall have such period to effect a cure prior to exercise of remedies by Lender under the Loan documents. If the default is such that it is not reasonably capable of being cured within 30 days, and if Grantor (a) initiates corrective action within said period, and (b) diligently, continually, and in good faith works to effect a cure as soon as possible, then Grantor shall have such additional time as is reasonably necessary to cure the default prior to exercise of any remedies by Lender. In no event shall Lender be precluded from exercising remedies if its security becomes or is about to become materially jeopardized by any failure to cure a default or the default is not cured within 180 days after the first notice of default is given. 7. Lender may remedy any default without waiving it and may waive any default without waiving any prior or subsequent default. 8. If the Property is acquired by Lender by foreclosure, Grantor's right to any insurance policies and proceeds resulting from damage to the Property prior the acquisition shall pass to Lender to the extent of the sums secured by this Deed of Trust immediately prior to the acquisition. 9. Lender or its agents may make reasonable entries upon and inspections of the DEED OF TRUST — CDBG FUNDS Page 4 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 i Property. Lender shall give Borrower notice at the time of or prior to an inspection giving reasonable cause for the inspection. C. Trustee's Rights and Duties If directed by Lender to foreclose this lien, Trustee will- 1. either personally or by agent give notice of the foreclosure sale as required by the Texas Property Code as then in effect; 2. sell and convey all or part of the Property "AS IS" to the highest bidder for cash with a general warranty binding Grantor, subject to the Prior Lien and to the Other Exceptions to Conveyance and Warranty and without representation or warranty, express or implied, by Trustee; 3. from the proceeds of the sale, pay, in this order — a. expenses of foreclosure, including a reasonable commission to Trustee; b. to Lender, the full amount of principal, interest, attorney's fees, and other charges due and unpaid; C. any amounts required by law to be paid before payment to Grantor; and d. to Grantor, any balance; and 4. be indemnified, held harmless, and defended by Lender against all costs, expenses, and liabilities incurred by Trustee for acting in the execution or enforcement of the trust created by this Deed of Trust, which includes all court and other costs, including attorney's fees, incurred by Trustee in defense of any action or proceeding taken against Trustee in that capacity. D. General Provisions 1. If any of the Property is sold under this Deed of Trust, Grantor must immediately surrender possession to the purchaser. If Grantor fails to do so, Grantor will become a tenant at sufferance of the purchaser, subject to an action for forcible detainer. 2. Recitals in any trustee's deed conveying the Property will be presumed to be true. 3. Proceeding under this Deed of Trust, filing suit for foreclosure, or pursuing any other remedy will not constitute an election of remedies. 4. This lien will remain superior to liens later created even if the time of payment of all or part of the Obligation is extended or part of the Property is released. 5. If any portion of the Obligation cannot be lawfully secured by this Deed of Trust, payments will be applied first to discharge that portion. DEED OF TRUST — CDBG FUNDS Page 5 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 6. Grantor assigns to Lender all amounts payable to or received by Grantor from condemnation of all or part of the Property, from private sale in lieu of condemnation, and from damages caused by public works or construction on or near the Property. After deducting any expenses incurred, including attorney's fees and court and other costs, Lender will either release any remaining amounts to Grantor or apply such amounts to reduce the Obligation. Lender will not be liable for failure to collect or to exercise diligence in collecting any such amounts. Grantor will immediately give Lender notice of any actual or threatened proceedings for condemnation of all or part of the Property. 7. Grantor assigns to Lender absolutely, not only as collateral, all present and future rent and other income and receipts from the Property. Grantor warrants the validity and enforceability of the assignment. Grantor may as Lender's licensee collect rent and other income and receipts as long as Grantor is not in default with respect to the Obligation or this Deed of Trust. Grantor will apply all rent and other income and receipts to payment of the Obligation and performance of this Deed of Trust, but if the rent and other income and receipts exceed the amount due with respect to the Obligation and the Deed of Trust, Grantor may retain the excess. If Grantor defaults in payment of the Obligation or performance of this Deed of Trust, Lender may terminate Grantor's license to collect rent and other income and then as Grantor's agent may rent the Property and collect all rent and other income and receipts. Lender neither has nor assumes any obligations as lessor or landlord with respect to any occupant of the Property. Lender may exercise Lender's rights and remedies under this paragraph without taking possession of the Property. Lender will apply all rent and other income and receipts collected under this paragraph first to expenses incurred in exercising Lender's rights and remedies and then to Grantor's obligations with respect to the Obligation and this Deed of Trust in the order determined by Lender. Lender is not required to act under this paragraph, and acting under this paragraph does not waive any of Lender's other rights or remedies. If Grantor becomes a voluntary or involuntary debtor in bankruptcy, Lender's filing a proof of claim in bankruptcy will be deemed equivalent to the appointment of a receiver under Texas law. 8. Interest on the debt secured by this Deed of Trust will not exceed the maximum amount of nonusurious interest that may be contracted for, taken, reserved, charged, or received under law. Any interest in excess of that maximum amount will be credited on the principal of the debt or, if that has been paid, refunded. On any acceleration or required or permitted prepayment, any such excess will be canceled automatically as of the acceleration or prepayment or, if already paid, credited on the principal of the debt or, if the principal of the debt has been paid, refunded. This provision overrides any conflicting provisions in this and all other instruments concerning the debt. 9. In no event may this Deed of Trust secure payment of any debt that may not lawfully be secured by a lien on real estate or create a lien otherwise prohibited by law. DEED OF TRUST — CDBG FUNDS Page 6 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 10. When the context requires, singular nouns and pronouns include the plural. 11. The term Note includes all extensions, modifications, and renewals of the Note and all amounts secured by this Deed of Trust. 12. Grantor agrees to (a) keep at Grantor's address, or such other place as Lender may approve, accounts and records reflecting the operation of the Property and copies of all written contracts, leases, and other instruments that affect the Property; (b) prepare financial accounting records in compliance with generally accepted accounting principles consistently applied; and (c), at Lender's request on reasonable notice from time to time, permit Lender to examine and make copies of such books, records, contracts, leases, and other instruments at any reasonable time. 13. Grantor agrees to deliver to Lender, at Lender's request from time to time, internally prepared financial statements of Grantor and any guarantor of the Note prepared in accordance with generally accepted accounting principles consistently applied, in detail reasonably satisfactory to Lender and certified to be materially true and correct by the chief financial officer of Grantor or its certified public accountant, as applicable. 14. If Lender orders an appraisal of the Property while a default exists or to comply with legal requirements affecting Lender, Grantor, at Lender's request, agrees to reimburse Lender for the reasonable cost of any such appraisal. If Grantor fails to reimburse Lender for any such appraisal within 20 days of Lender's written request, that failure is a default under this Deed of Trust. 15. Grantor agrees to allow Lender or Lender's agents to enter the Property at reasonable times and inspect it and any personal property in which Lender is granted a security interest by this Deed of Trust. 16. Grantor may not sell, transfer, or otherwise dispose of any Property, whether voluntarily or by operation of law, except for condemnation or to obtain utility easements, without the prior written consent of Lender. If granted, consent may be conditioned upon (a) the grantee's integrity, reputation, character, creditworthiness, and management ability being satisfactory to Lender; and (b) the grantee's executing, before such sale, transfer, or other disposition, a written assumption agreement containing any terms Lender may reasonably require, such as a principal pay down on the Obligation, an increase in the rate of interest payable with respect to the Obligation, a transfer fee, or any other modification of the Note, this Deed of Trust, or any other instruments evidencing or securing the Obligation. Grantor may not cause or permit any Property to be encumbered by any liens, security interests, or encumbrances other than the liens securing the Obligation and the liens securing ad valorem taxes not yet due and payable and the Permitted Exceptions without the prior written consent of Lender. If granted, consent may be conditioned upon Grantor's executing, before DEED OF TRUST — CDBG FUNDS Page 7 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 i granting such lien, a written modification agreement containing any reasonable terms Lender may require, such as a principal pay down on the Obligation, an increase in the rate of interest payable with respect to the Obligation, an approval fee, or any other modification of the Note, this Deed of Trust, or any other instruments evidencing or securing the Obligation. Grantor may not grant any lien, security interest, or other encumbrance (a "Subordinate Instrument ") covering the Property that is subordinate to the liens created by this Deed of Trust without the prior written consent of Lender If granted, consent for documents may be conditioned upon the Subordinate Instrument's containing express covenants to the effect that - a. the Subordinate Instrument is unconditionally subordinate to this Deed of Trust; b. if any action is instituted to foreclose or otherwise enforce the Subordinate Instrument, no action may be taken that would terminate any occupancy or tenancy without the prior written consent of Lender, and that consent, if granted, may be conditioned in any manner Lender determines; C. rents, if collected by or for the holder of the Subordinate Instrument, will be applied first to the payment of the Obligation then due and to expenses incurred in the ownership,, operation, and maintenance of the Property in any order Lender may determine, before being applied to any indebtedness secured by the Subordinate Instrument; d. written notice of default under the Subordinate Instrument and written notice of the commencement of any action to foreclose or otherwise enforce the Subordinate Instrument mast be given to Lender concurrently with or immediately after the occurrence of any such default or commencement; and e. in the event of the bankruptcy of Grantor, all amounts due on or with respect to the Obligation and this Deed of Trust will be payable in full before any payments on the indebtedness secured by the Subordinate Instrument. Grantor may not cause or permit any of the following events to occur without the prior written consent of Lender: if Grantor is (a) a corporation, the dissolution of the corporation or the sale, pledge, encumbrance, or assignment of any shares of its stock; (b) a limited liability company, the dissolution of the company or the sale, pledge, encumbrance, or assignment of any of its membership interests; (c) a general partnership or joint venture, the dissolution of the partnership or venture or the sale, pledge, encumbrance, or assignment of any of its partnership or joint venture interests, or the withdrawal from or admission into it of any general partner or joint venturer; or (d) a limited partnership, (1) the dissolution of the partnership, (2) the sale, pledge, encumbrance, or assignment of any of its general partnership interests, or the withdrawal from or admission into it of any general partner, or (3) the withdrawal from or admission into it of any controlling limited partner or partners. If granted, consent may be conditioned upon (a) the integrity, reputation, character, creditworthiness, and management ability of the person succeeding to the ownership interest in Grantor (or security interest in such ownership) being DEED OF TRUST — CDBG FUNDS Page 8 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 reasonably satisfactory to Lender; and (b) the execution, before such event, by the person succeeding to the interest of Grantor in the Property or ownership interest in Grantor (or security interest in such ownership) of a written modification or assumption agreement containing such terms as Lender may reasonably require, such as a principal pay down on the Obligation, an increase in the rate of interest payable with respect to the Obligation, a transfer fee, or any other modification of the Note, this Deed of Trust, or any other instruments evidencing or securing the Obligation. Notwithstanding anything to the contrary herein, neither the withdrawal, removal, replacement, and/or addition of a general partner of the Grantor pursuant to the terms of its partnership agreement, nor the withdrawal, replacement, and/or addition of any of Grantor's limited partners or its limited partner's general partners or members, shall constitute a default under any of the Loan documents, and any such actions shall not accelerate the maturity of the Loan, provided that any required substitute Grantor's general partner is reasonably acceptable to Lender and is selected with reasonable promptness. Any substitute general partner that is an affiliate of Grantor's limited partner is hereby deemed acceptable to Lender. 17. Grantor agrees not to grant any lien or security interest in the Property or to permit any junior encumbrance to be recorded or any claim to otherwise become an encumbrance against the Property. If an involuntary encumbrance is filed against the Property, Grantor agrees, within 30 days of actual notice, to either remove the involuntary encumbrance or insure against it or provide a bond acceptable to Lender against the involuntary encumbrance. 18. This Deed of Trust binds, benefits, and may be enforced by the successors in interest of all parties. 19. If Grantor and Borrower are not the same person, the term Grantor includes Borrower. 20. Grantor and each surety, endorser, and guarantor of the Obligation waive all demand for payment, presentation for payment, notice of intention to accelerate maturity, notice of acceleration of maturity, protest, and notice of protest, to the extent permitted by law. 21. Grantor agrees to pay reasonable attorney's fees, trustee's fees, and court and other costs of enforcing Lender's rights under this Deed of Trust if this Deed of Trust is placed in the hands of an attorney. 22. If any provision of this Deed of Trust is determined to be invalid or unenforceable, the validity or enforceability of any other provision will not be affected. 23. Grantor represents that this Deed of Trust and the Note are given for the following purposes: Grantor expressly acknowledges a vendor's lien on the Property as security for the DEED OF TRUST — CDBG FUNDS Page 9 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 Note secured by this Deed of Trust, which represents funds advanced by Lender at Grantor's request and used in the remodeling of the improvements located on the Property. This Deed of Trust does not waive the vendor's lien, and the two liens and the rights created by this Deed of Trust are cumulative. Lender may elect to enforce either of the liens without waiving the other or may enforce both. 24. Grantor agrees to furnish on Lender's request evidence satisfactory to Lender that all taxes and assessments on the Property have been paid when due. 25. If the Property is transferred by foreclosure, the transferee will acquire title to all insurance policies on the Property including all paid but unearned premiums. 26. The term Lender includes any mortgage servicer for Lender. 27. The debt and the performance secured by this Deed of Trust is a nonrecourse obligation of Borrower. Neither Borrower nor any of its General and Limited Partners nor any other party shall have any personal liability for repayment of the Loan described in the Contract (as hereafter defined). The sole recourse of Lender under the Loan documents for repayment of the Loan or performance of any of the Obligation shall be the exercise of its right against the security for payment as defined in the Note. E. CONTRACT AND CDBG REQUIREMENTS THIS CONVEYANCE IS MADE AND ACCEPTED SUBJECT TO THE FOLLOWING CONDITIONS AND RESTRICTIONS: The Note is the Note required in City Secretary Contract No. between Borrower and Lender dated March _, 2012 and has been executed and delivered in accordance with that contract (the "Contract "). The funds advanced by Lender are CDBG Funds and the Contract requires that the public facility located on the Property rehabilitated in part with the CDBG Funds must benefit CDBG Eligible Clients as defined in the Contract for a period of 2 years after completion of the rehabilitation as more particularly described in the Contract. The Loan evidenced by the Note and secured by this Deed of Trust will be in default and the Principal Amount and any other sums due thereunder may be declared immediately payable if the public facility located on the Property, as more particularly described in the Contract, does not serve CDBG Eligible Clients for the duration of the above described 2 year period. This Deed of Trust has also been executed and delivered pursuant to the terms of the Contract. Grantor agrees to perform each and every obligation set forth therein and will not permit a default to occur thereunder. Any default in the performance DEED OF TRUST — CDBG FUNDS Page 10 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 of Grantor's obligations under the terms of the Contract or the CDBG Program or CDBG Regulations shall be deemed a default in the terms of the Note and Lender may declare the debt secured by this Deed of Trust immediately payable and invoke any remedies provided herein for default. 29. THE CONTRACT, THE NOTE AND THE DEED OF TRUST CONSTITUTE THE FINAL AGREEMENT OF THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES. PRESBYTERIAN NIGHT SHELTER OF TARRANT COUNTY Toby Owen, Executive Director STATE OF TEXAS COUNTY OF TARRANT } This instrument was acknowledged before me on , 2012 by Toby Owen, the Executive Director of Presbyterian Night Shelter of Tarrant County, a Texas non- profit corporation, on behalf of said corporation. NOTARY PUBLIC, STATE OF TEXAS AFTER RECORDING RETURN TO: City of Fort Worth C/O Housing and Economic Development Department, Attn: Charletra Hurt 1000 Throckmorton St. Fort Worth, Tarrant County, TX 76102 DEED OF TRUST — CDBG FUNDS Page 11 Presbyterian Night Shelter of Tarrant County Rev. 02 -28 -12 EXHIBIT "G" FEDERAL LABOR STANDARD PROVISIONS (DAVIS -BACON REQUIREMENTS) CDBG Funds -Exhibits Presbyterian Night Shelter of Tarrant County Federal Labor Standards Provisions U.S. Department of Housing and Urban Development Office of Labor Relations Appllcablllty The Project or Program to which the construction work covered by this contract pertains is being assisted by the United States of America and the following Federal Labor Standards Provisions are included in this Contract pursuant to the provisions applicable to such Federal assistance. A. 1. (1) Minimum Wages. All laborers and mechanics employed or working upon the site of the work, will be paid unconditionally and not less often than once a week, and without subsequent deduction or rebate on any account (except such payroll deductions as are permitted by regulations issued by the Secretary of Labor under the Copeland Act (29 CFR Part 3), the full amount of wages and bona fide fringe benefits (or cash equivalents thereof) due at time of payment computed at rates not less than those contained in the wage determination of the Secretary of Labor which is attached hereto and made a part hereof, regardless of any contractual relationship which may be alleged to exist between the contractor and such laborers and mechanics. Contributions made or costs reasonably anticipated for bona fide fringe benefits under Section I(b)(2) of the Davis -Bacon Act on behalf of laborers or mechanics are considered wages paid to such laborers or mechanics, subject to the provisions of 29 CFR 5.5(a)(1)(iv); also, regular contributions made or costs incurred for more than a weekly period (but not less often than quarterly) under plans, funds, or programs, which cover the particular weekly period, are deemed to be constructively made or incurred during such weekly period. Such laborers and mechanics shall be paid the appropriate wage rate and fringe benefits on the wage determination for the classification of work actually performed, without regard to skill, except as provided in 29 CFR 5.5(a)(4). Laborers or mechanics performing work in more than one classification may be compensated at the rate specified for each classification for the time actually worked therein: Provided, That the employer's payroll records accurately set forth the time spent in each classification in which work is performed. The wage determination (including any additional classification and wage rates conformed under 29 CFR 5.5(a)(1)(ii) and the Davis -Bacon poster (WH- 1321) shall be posted at all times by the contractor and its subcontractors at the site of the work in a prominent and accessible, place where it can be easily seen by the workers. (11) (a) Any class of laborers or mechanics which is not listed in the wage determination and which is to be employed under the contract shall be classified in conformance with the wage determination. HUD shall approve an additional classification and wage rate and fringe benefits therefor only when the following criteria have been met: (1) The work to be performed by the classification requested is not performed by a classification In the wage determination; and (2) The classification is utilized in the area by the construction industry; and (3) The proposed wage rate, including any bona fide fringe benefits, bears a reasonable relationship to the wage rates contained in the wage determination. (b) If the contractor and the laborers and mechanics to be employed in the classification (if known), or their representatives, and HUD or its designee agree on the classification and wage rate (including the amount designated for fringe benefits where appropriate), a report of the action taken shall be sent by HUD or its designee to the Administrator of the Wage and Hour Division, Employment Standards Administration, U.S. Department of Labor, Washington, D.C. 20210. The Administrator, or an authorized representative, will approve, modify, or disapprove every additional classification action within 30 days of receipt and so advise HUD or its designee or will notify HUD or its designee within the 30 -day period that additional lime is necessary. (Approved by the Office of Management and Budget under OMB control number 1215- 0140.) (c) In the event the contractor, the laborers or mechanics to be employed in the classification or their representatives. and HUD or its designee do not agree on the proposed classification and wage rate (including the amount designated for fringe benefits, where appropriate), HUD or its designee shall refer the questions, including the views of all interested parties and the recommendation of HUD or its designee, to the Administrator for determination. The Administrator, or an authorized representative, will issue a determination within 30 days of receipt and so advise HUD or its designee or will notify HUD or its designee within the 30 -day period that additional time is necessary. (Approved by the Office of Management and Budget under OMB Control Number 1215- 0140.) (d) The wage rate (including fringe benefits where appropriate) determined pursuant to subparagraphs (1)(ii)(b) or (c) of this paragraph, shall be paid to all workers performing work in the classification under this contract from the first day on which work is performed in the classification. (III) Whenever the minimum wage rate prescribed in the contract for a class of laborers or mechanics includes a fringe benefit which is not expressed as an hourly rate, the contractor shall either pay the benefit as stated in the wage determination or shall pay another bona fide fringe benefit or an hourly cash equivalent thereof. (Iv) If the contractor does not make payments to a trustee or other third person, the contractor may consider as part form HUD-4010 (0612009) Previous editions are obsolete Page 1 of 5 ref. Handbook 1344.1 of the wages of any laborer or mechanic the amount of any costs reasonably anticipated in providing bona fide fringe benefits under a plan or program, Provided, That the Secretary of Labor has found, upon the written request of the contractor, that the applicable standards of the Davis - Bacon Act have been met. The Secretary of Labor may require the contractor to set aside in a separate account assets for the meeting of obligations under the plan or program. (Approved by the Office of Management and Budget under OMB Control Number 1215- 0140.) 2. Withholding. HUD or its designee shall upon its own action or upon written request of an authorized representative of the Department of Labor withhold or cause to be withheld from the contractor under this contract or any other Federal contract with the same prime contractor, or any other Federally- assisted contract subject to Davis -Bacon prevailing wage requirements, which is held by the same prime contractor so much of the accrued payments or advances as may be considered necessary to pay laborers and mechanics, including apprentices, trainees and helpers, employed by the contractor or any subcontractor the full amount of wages required by the contract In the event of failure to pay any laborer or mechanic, including any apprentice, trainee or helper, employed or working on the site of the work, all or part of the wages required by the contract, HUD or its designee may, after written notice to the contractor, sponsor, applicant, or owner, take such action as may be necessary to cause the suspension of any further payment, advance, or guarantee of funds until such violations have ceased. HUD or its designee may, after written notice to the contractor, disburse such amounts withheld for and on account of the contractor or subcontractor to the respective employees to whom they are due. The Comptroller General shall make such disbursements in the case of direct Davis -Bacon Act contracts. 3. (1) Payrolls and basic records. Payrolls and basic records relating thereto shall be maintained by the contractor during the course of the work preserved for a period of three years thereafter for all laborers and mechanics working at the site of the work. Such records shall contain the name, address, and social security number of each such worker, his or her correct classification, hourly rates of wages paid (including rates of contributions or costs anticipated for bona fide fringe benefits or cash equivalents thereof of the types described in Section I(b)(2)(B) of the Davis -bacon Act), daily and weekly number of hours worked, deductions made and actual wages paid. Whenever the Secretary of Labor has found under 29 CFR 5.5 (a)(1)(iv) that the wages of any laborer or mechanic include the amount of any costs reasonably anticipated in providing benefits under a plan or program described in Section 1(b)(2)(B) of the Davis - Bacon Act, the contractor shall maintain records which show that the commitment to provide such benefits is enforceable, that the plan or program is financially responsible, and that the plan or program has been Previous editions are obsolete F communicated in writing to the laborers or mechanics affected, and records which show the costs anticipated or the actual cost incurred in providing such benefits. Contractors employing apprentices or trainees under approved programs shall maintain written evidence of the registration of apprenticeship programs and certification of trainee programs, the registration of the apprentices and trainees, and the ratios and wage rates prescribed in the applicable programs. (Approved by the Office of Management and Budget under OMB Control Numbers 1215 -0140 and 1215- 0017.) (II) (a) The contractor shall submit weekly for each week in which any contract work is performed a copy of all payrolls to HUD or its designee if the agency is a party to the contract, but if the agency is not such a party, the contractor will submit the payrolls to the applicant sponsor, or owner, as the case may be, for transmission to HUD or its designee. The payrolls submitted shall set out accurately and completely all of the information required to be maintained under 29 CFR 5.5(a)(3)(i) except that full social security numbers and home addresses shall not be included on weekly transmittals. Instead the payrolls shall only need to include an individually identifying number for each employee (e.g., the last four digits of the employee's social security number). The required weekly payroll information may be submitted in any form desired. Optional Form WH -347 is available for this purpose from the Wage and Hour Division Web site at htto: / /www,dol. coy lesalwhd /formslwh347instr.htm or its successor site. The prime contractor is responsible for the submission of copies of payrolls by all subcontractors. Contractors and subcontractors shall maintain the full social security number and current address of each covered worker, and shall provide them upon request to HUD or its designee if the agency is a party to the contract, but if the agency is not such a party, the contractor will submit the payrolls to the applicant sponsor, or owner, as the case may be, for transmission to HUD or its designee, the contractor, or the Wage and Hour Division of the Department of Labor for purposes of an investigation or audit of compliance with prevailing wage requirements. It is not a violation of this subparagraph for a prime contractor to require a subcontractor to provide addresses and social security numbers to the prime contractor for its own records, without weekly submission to HUD or its designee. (Approved by the Office of Management and Budget under OMB Control Number 1215- 0149.) (b) Each payroll submitted shall be accompanied by a "Statement of Compliance," signed by the contractor or subcontractor or his or her agent who pays or supervises the payment of the persons employed under the contract and shall certify the following: (1) That the payroll for the payroll period contains the information required to be provided under 29 CFR 5.5 (a)(3)(ii), the appropriate information is being maintained under 29 CFR 5.5(a)(3)(i), and that such information is correct and complete: form HUD-4010 (06/2009) age 2 of 5 ref. Handbook 1344.1 (2) That each laborer or mechanic (Including each helper . apprentice, and trainee) employed on the contract during the payroll period has been paid the full weekly wages earned, without rebate. either directly or indirectly, and that no deductions have been made either directly or indirectly from the full wages earned, other than permissible deductions as set forth in 29 CFR Part 3, (3) That each laborer or mechanic has been paid not less than the applicable wage rates and fringe benefits or cash equivalents for the classification of work performed, as specified in the applicable wage determination incorporated into the contract. (c) The weekly submission of a properly executed certification set forth on the reverse side of Optional Form WH -347 shall satisfy the requirement for submission of the "Statement of Compliance" required by subparagraph A.3.(ii)(b). (d) The falsification of any of the above certifications may subject the contractor or subcontractor to civil or criminal prosecution under Section 1001 of Title 18 and Section 23 t of Title 31 of the United States Code. (111) The contractor or subcontractor shall make the records required under subparagraph A.3.(i) available for inspection, copying, or transcription by authorized representatives of HUD or its designee or the Department of Labor, and shall permit such representatives to interview employees during working hours on the job. If the contractor or subcontractor fails to submit the required records or to make them available, HUD or its designee may, after written notice to the contractor, sponsor, applicant or owner, take such action as may be necessary to cause the suspension of any further payment, advance, or guarantee of funds. Furthermore, failure to submit the required records upon request or to make such records available may be grounds for debarment action pursuant to 29 CFR 5.12, 4. Apprentices and Trainees. (i) Apprentices. Apprentices will be permitted to work at less than the predetermined rate for the work they performed when they are employed pursuant to and individually registered in a bona fide apprenticeship program registered with the U.S. Department of Labor, Employment and Training Administration, Office of Apprenticeship Training, Employer and Labor Services, or with a State Apprenticeship Agency recognized by the Office, or if a person is employed in his or her first 90 days of probationary employment as an apprentice in such an apprenticeship program, who is not individually registered in the program, but who has been certified by the Office of Apprenticeship Training, Employer and Labor Services or a State Apprenticeship Agency (where appropriate) to be eligible for probationary employment as an apprentice. The allowable ratio of apprentices to journeymen on the job site in any craft classification shall not be greater than the ratio permitted to the contractor as to the entire work force under the registered program. Any worker listed on a payroll at an apprentice wage rate, who Previous editions are obsolete F is not registered or otherwise employed as stated above. shall be paid not less than the applicable wage rate on the wage determination for the classification of work actually performed. In addition, any apprentice performing work on the job site in excess of the ratio permitted under the registered program shall be paid not less than the applicable wage rate on the wage determination for the work actually performed. Where a contractor is performing construction on a project in a locality other than that in which its program is registered, the ratios and wage rates (expressed in percentages of the journeyman's hourly rate) specified in the contractor's or subcontractor's registered program shall be observed. Every apprentice must be paid at not less than the rate specified in the registered program for the apprentice's level of progress. expressed as a percentage of the journeymen hourly rate specified in the applicable wage determination. Apprentices shall be paid fringe benefits in accordance with the provisions of the apprenticeship program. If the apprenticeship program does not specify fringe benefits, apprentices must be paid the full amount of fringe benefits listed on the wage determination for the applicable classification. If the Administrator determines that a different practice prevails for the applicable apprentice classification, fringes shall be paid in accordance with that determination. In the event the Office of Apprenticeship Training, Employer and Labor Services, or a State Apprenticeship Agency recognized by the Office, withdraws approval of an apprenticeship program, the contractor will no longer be permitted to utilize apprentices at less than the applicable predetermined rate for the work performed until an acceptable program is approved. (ii) Trainees. Except as provided in 29 CFR 5.16, trainees will not be permitted to work at less than the predetermined rate for the work performed unless they are I d emp oye pursuant ,to and Individually registered In a program which has received prior approval, evidenced by formal certification by the U.S. Department of Labor, Employment and Training Administration. The ratio of trainees to journeymen on the job site shall not be greater than permitted under the plan approved by the Employment and Training Administration. Every trainee must be paid at not less than the rate specified in the approved program for the trainee's level of progress, expressed as a percentage of the journeyman hourly rate specified in the applicable wage determination. Trainees shall be paid fringe benefits in accordance with the provisions of the trainee program. If the trainee program does not mention fringe benefits, trainees shall be paid the full amount of fringe benefits listed on the wage determination unless the Administrator of the Wage and Hour Division determines that there is an apprenticeship program associated with the corresponding journeyman wage rate on the wage determination which provides for less than full fringe benefits for apprentices. Any employee listed on the payroll at a trainee rate who is not registered and participating in a training plan approved by form HUD -4010 (06/2009) age 3 of 5 ref. Handbook 1344.1 the Employment and Training Administration shall be paid not less than the applicable wage rate on the wage determination for the work actually performed. In addition, any trainee performing work on the job site in excess of the ratio permitted under the registered program shall be paid not less than the applicable wage rate on the wage determination for the work actually performed. In the event the Employment and Training Administration withdraws approval of a training program, the contractor will no longer be permitted to utilize trainees at less than the applicable predetermined rate for the work performed until an acceptable program is approved. (Ili) Equal employment opportunity. The utilization of apprentices, trainees and journeymen under 29 CFR Part 5 shall be in conformity with the equal employment opportunity requirements of Executive Order 11246, as amended, and 29 CFR Part 30. 5. Compliance with Copeland Act requirements. The contractor shall comply with the requirements of 29 CFR Part 3 which are incorporated by reference in this contract 6. Subcontracts. The contractor or subcontractor will insert in any subcontracts the clauses contained in subparagraphs 1 through 11 in this paragraph A and such other clauses as HUD or its designee may by appropriate instructions require, and a copy of the applicable prevailing wage decision, and also a clause requiring the subcontractors to include these clauses in any lower tier subcontracts. The prime contractor shall be responsible for the compliance by any subcontractor or lower tier subcontractor with all the contract clauses in this paragraph. 7. Contract termination; debarment, A breach of the contract clauses in 29 CFR 5.5 may be grounds for termination of the contract and for debarment as a contractor and a subcontractor as provided in 29 CFR 5.12. S. Compliance with Davis -Bacon and Related Act Requirements. All rulings and interpretations of the Davis -Bacon and Related Acts contained in 29 CFR Parts 1, 3, and 5 are herein incorporated by reference in this contract 9. Disputes concerning labor standards. Disputes arising out of the labor standards provisions of this contract shall not be subject to the general disputes clause of this contract. Such disputes shall be resolved in accordance with the procedures of the Department of Labor set forth in 29 CFR Parts 5, 6, and 7. Disputes within the meaning of this clause include disputes between the contractor (or any of its subcontractors) and HUD or its designee, the U.S. Department of Labor, or the employees or their representatives. 10. (1) Certification of Eligibility. By entering into this contract the contractor certifies that neither it (nor he or she) nor any person or firm who has an interest in the contractor's firm is a person or firm ineligible to be awarded Government contracts by virtue of Section 3(a) of the Davis -Bacon Act or 29 CFR 5.12(a)(1) or to be awarded HUD contracts or participate in HUD programs pursuant to 24 CFR Part 24. (11) No part of this contract shall be subcontracted to any person or firm ineligible for award of a Government contract by virtue of Section 3(a) of the Davis -Bacon Act or 29 CFR 5.12(a)(1) or to be awarded HUD contracts or participate in HUD programs pursuant to 24 CFR Part 24. (111) The penalty for making false statements is prescribed in the U.S Criminal Code, 18 U.S.C. 1001. Additionally, U S. Criminal Code. Section 1 01 0, Title 18, U.S C , 'Federal Housing Administration transactions% provides in part: "Whoever, for the purpose of . . . influencing in any way the action of such Administration..... makes, utters or publishes any statement knowing the same to be false... shall be fined not more than $5,000 or imprisoned not more than two years, or both." 11. Complaints, Proceedings, or Testimony by Employees. No taborer or mechanic to whom the wage, salary, or other labor standards provisions of this Contract are applicable shalt be discharged or in any other manner discriminated against by the Contractor or any subcontractor because such employee has filed any complaint or instituted or caused to be instituted any proceeding or has testified or is about to testify in any proceeding under or relating to the labor standards applicable under this Contract to his employer. S. Contract Work Hours and Safety Standards Act. The provisions of this paragraph B are applicable where the amount of the prime contract exceeds $100,000. As used in this paragraph, the terms "laborers" and `mechanics" include watchmen and guards. (1) Overtime requirements. No contractor or subcontractor contracting for any part of the contract work which may require or involve the employment of laborers or mechanics shalt require or permit any such laborer or mechanic in any workweek in which the individual is employed on such work to work in excess of 40 hours in such workweek unless such laborer or mechanic receives compensation at a rate not less than one and one -half times the basic rate of pay for all hours worked in excess of 40 hours in such workweek. (2) Violation; liability for unpaid wages; liquidated damages. In the event of any violation of the clause set forth in subparagraph (1) of this paragraph, the contractor and any subcontractor responsible therefor shalt be liable for the unpaid wages. to addition, such contractor and subcontractor shall be liable to the United States (in the case of work done under contract for the District of Columbia or a territory, to such District or to such territory), for liquidated damages. Such liquidated damages shall be computed with respect to each individual taborer or mechanic, Including watchmen and guards, employed in violation of the clause set forth in subparagraph (1) of this paragraph, in the sum of $10 for each calendar day on which such individual was required or permitted to work in excess of the standard workweek of 40 hours without payment of the overtime wages required by the clause set forth in sub paragraph (1) of this paragraph. Previous editions are obsolete forth HUD -4010 (06/2009) Page 4 of 5 ref. Handbook 1344.1 (3) Withholding for unpaid wages and liquidated damages. HUD or its designee shall upon Its own action or upon written request of an authorized representative of the Department of Labor withhold or cause to be withheld, from any moneys payable on account of work performed by the contractor or subcontractor under any such contract or any other Federal contract with the same prime contract. or any other Federally- assisted contract subject to the Contract Work Hours and Safety Standards Act which Is held by the same prime contractor such sums as may be determined to be necessary to satisfy any liabilities of such contractor or subcontractor for unpaid wages and liquidated damages as provided in the clause set forth in subparagraph (2) of this paragraph. (4) Subcontracts. The contractor or subcontractor shall Insert in any subcontracts the clauses set forth in subparagraph (1) through (4) of this paragraph and also a clause requiring the subcontractors to Include these clauses in any lower tier subcontracts. The prime contractor shall be responsible for compliance by any subcontractor or lower tier subcontractor with the clauses set forth in subperagraphs (1) through (4) of this paragraph. C. Health and Safety. The provisions of this paragraph C are applicable where the amount of the prime contract exceeds $100,000. (1) No laborer or mechanic shall be required to work In surroundings or under working conditions which are unsanitary, hazardous, or dangerous to his health and safety as determined under construction safety and health standards promulgated by the Secretary of Labor by regulation. (2) The Contractor shall comply with all regulations issued by the Secretary of Labor pursuant to Title 29 Part 1926 and failure to comply may result in imposition of sanctions pursuant to the Contract Work Hours and Safety Standards Act, (Public Law 91 -54, 83 Stat 96). 40 USC 3701 et sea. (3) The contractor shall include the provisions of this paragraph In every subcontract so that such provisions will be binding on each subcontractor. The contractor shall take such action with respect to any subcontractor as the Secretary of Housing and Urban Development or the Secretary of Labor shall direct as a means of enforcing such provisions. Previous editions are obsolete forth HUD-4010 (0602009) Page 5 of 5 ref. Handbook 1344.1 M &C Review Pagel of2 Jffinal site of the City of `ort worth, Texas CITY COUNCIL AGENDA FoR_ T�ii COUNCIL ACTION: 'Appru,ved on 7/26/2u11 DATE: 7/26/2011 REFERENCE NO.: C -25073 LOG WAME: 17PNSREHAB CODE: C TYPE: NUN - CONSENT PUBLIC NO NO SUBJECT: Authorize Change in Use and Expenditure of Up to $175,000.00 of Community Development Block Grant Funds for,the Project Known aG the Presbyterian Night Shelter Rehabilitation Project, Authorize Execution of a Contract with Presbyterian Night Shelter for the Rehabilitation of the Main Shalter's Bathrooms, and Authorize a Substantial Amendment to the City's 2008 -2009 Action Plan (COUNCIL DISTRICT 8) RECOMMENDATION: It is recommended that the City Council: 1. Authorize a substantial amendment to the City's 2008 -2009 Action Plan; 2. Authorize a change in use and expenditure of up to $175,000.00 in Community Development Block Grant funds for the project known as the Presbyterian Night Shelter Rehabilitation Project located at 2400 Cypress Street, Fort Worth, Texas 76102; 3. Authorize the City Manager, or his designee, to execute a contract for the project with Presbyterian Night Shelter of Tarrant County for up to $175,000.00 for a one -year term beginning on the date of contract execution; 4. Authorize the City Manager, or his designee, to extend or renew the contract for up to one -year if the agency requests an extension and such extension is necessary for the completion of the project; and 5. Authorize the City Manager, or his designee, to amend the contract, if necessary, to achieve project goals and completion provided that the amend iient is within the scope of the project and in compliance with City policies and applicable laws and regulations governing the use of federal grant funds. DISCUSSION: The Presbyterian Night Shelter of Tarrant County (PNS) operates the Presbyterian Night Shelter, located at 2400 Cypress Street, which serves approximately 350 homeless individuals daily. PNS is the largest provider of services for the homeless in Fort Worth and is the only local free emergency shelter without length -of -stay restrictions. The project proposes to use Community Development Block Grant (CDBG) funds for the rehabilitation of the facility's bathrooms that may include, but not be limited to, removal and replacement of toilets, lavatory faucets, showers, an energy recovery exhaust system, flooring, walls, painting, and other renovations that will make the bathrooms compliant with the Americans with Disabilities Act (ADA). ' Staff recommends the change in use and expenditure of up to $175,000.00 in CDBG funds for the rehabilitation of the Presbyterian Night Shelter. The Action Plan funding years selected may vary and be substituted based on the principle of first in, first out (FIFO) in order to expend oldest grant funds first. A public comment period on the change in use of these CDBG funds was held from June 14, 2011 to July 14, 2011. Any comments are maintained by the Housing and Economic Development http: // apps .cfwnet.org /council _packet /mc_ review. asp ?ID = 15566 &councildate = 7/26/2011 8/25/2011 M &C Review Department in accordance with federal regulations. This project is located in COUNCIL DISTRICT 8. FISCAL INFORMATION/CERTIFICATION: The Financial Management Services Director certifies that funds are available in the current operating budget, as appropriated, of the Grants Fund. TO Fund /AccounUCenters FROM Fungi /Account/Centers GR76 539120 00520627OXM S175.004.00 GR76 5391.20 005206270280 $175.000.00 Submitted for City Manager's Office by: Susan Alanis (8180) Ori inatIng Department Head: Jay Chapa (5804) Additional Information Contact: Cynthia Garcia (8187) Charletra Hurt (7536) ATTACHMENTS Page 2 of 2 http://apps.cfwnet.org/council_packet/mc—review.asp?ID= 15566 &councildate = 7/26/2011 8/25/2011