HomeMy WebLinkAboutContract 56986CSC No. 56986
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 Development Corporation of Tarrant County (hereafter "Developer"), a
Texas nonprofit corporation. City and Developer may be referred to individually as a "Party" and
jointly as "the Parties".
The Parties state as follows:
WHEREAS, City has received a grant from the United States Department of Housing and
Urban Development ("HUD") through the HOME Investment Partnerships Program, Catalog of
Federal Domestic Assistance No. 14.239, with which City desires to promote activities that expand
the supply of affordable housing and the development of partnerships among City, local
governments, lenders, private industry, and non-profit housing organizations;
WHEREAS, the primary purpose of the HOME program pursuant to the HOME
Investment Partnerships Act at Title II of the Cranston Gonzales National Affordable Housing Act
of 1990, as amended, 42 U.S.C. 12701 et seq. and the HOME Investment Partnerships Program
Final Rule, as amended, 24 CFR Part 92 et seq. is to benefit low income citizens by providing
them with affordable housing;
WHEREAS, the HOME program provides that a minimum of 15% of the City's HOME
allocation is to be set aside annually for use by qualified Community Housing Development
Organizations or CHDOs as owners, developers and/or sponsors of the development of affordable
housing;
WHEREAS, Developer is a Texas nonprofit corporation managed by a volunteer Board of
Directors working to increase the number of quality, accessible, and affordable ownership housing
units available to low- and moderate -income individuals and families and has fulfilled the
requirements of the HOME Program to be a CHDO;
WHEREAS, City has certified that Developer is a Community Housing Development
Organization and has specifically re -certified Developer for the purposes of this Contract;
WHEREAS, Developer requested CHDO set -aside funds for an eligible project whereby
Developer will construct a single-family house to be located at 1400 Wallace Street, Fort Worth,
TX 76105 for sale to an eligible low- to moderate -income homebuyer;
WHEREAS, Developer has secured a commercial construction loan for a portion of the
construction costs of the house;
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WHEREAS, City citizens and the City Council have determined that the development of
quality, accessible, affordable housing is needed for moderate-, low-, and very low-income City
citizens.
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 Developer 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:
Affordable House means a house purchased by a HOME Eligible Buyer for which the monthly
payment of principal, interest, property taxes, and hazard insurance is not more than 30% or less
than 20% of the homebuyer's monthly gross income. In the case of new house construction, the
percentage of the homebuyer's monthly gross income shall not exceed 32%.
Act means the HOME Investment Partnerships Act at Title II of the Cranston Gonzales National
Affordable Housing Act of 1990, as amended, 42 U.S.C. 12701 et seq.
Affordability Period means the period of time that a house purchased or constructed with HOME
funds must remain affordable and subject to recapture provisions in 24 CFR Part 92.254 of the
HOME Regulations.
The Affordability Period for the house constructed under this Contract is 5 years unless
otherwise required as set forth in Section 7.3.2. The Affordability Period begins on the
date the project status is changed to "complete" in IDIS.
Area Median Income or AMI means the median family income for the Fort Worth -Arlington
metropolitan statistical area as determined annually by HUD.
Business Day means any day that City Hall is officially open for business.
Business Diversity Enterprise Ordinance or BDE means City's Business Diversity Ordinance,
Ordinance No.24534-11-2020, as may be amended from time to time.
Community Housing Development Organization or CHDO means, as defined in 24 CFR 92.2
as amended from time to time, a private nonprofit organization, that:
(1) Is organized under State or local laws;
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(2) Has no part of its net earnings inuring to the benefit of any member, founder,
contributor, or individual;
(3) Is neither controlled by, nor under the direction of, individuals or entities seeking to
derive profit or gain from the organization. A CHDO may be sponsored or created by
a for -profit entity, but:
(i) The for -profit entity may not be an entity whose primary purpose is the
development or management of housing, such as a builder, developer, or real
estate management firm;
(ii) The for -profit entity may not have the right to appoint more than one-third of
the membership of the organization's governing body. Board members
appointed by the for -profit entity may not appoint the remaining two-thirds of
the board members;
(iii) The CHDO must be free to contract for goods and services from vendors of its
own choosing; and
(iv) The officers and employees of the for -profit entity may not be officers or
employees of the CHDO.
(4) Has a tax exemption ruling from the Internal Revenue Service under section 501(c) (3)
or (4) of the Internal Revenue Code of 1986 (26 CFR 1.501(c)(3)-1) or 1.501(c)(4)-
1)), is classified as a subordinate of a central organization non-profit under section 905
of the Internal Revenue Code of 1986, or if the private nonprofit organization is an
wholly owned entity that is disregarded as an entity separate from its owner for tax
purposes (e.g., a single member limited liability company that is wholly owned by an
organization that qualifies as tax-exempt), the owner organization has a tax exemption
ruling from the Internal Revenue Service under section 501(c)(3) or (4) of the Internal
Revenue Code of 1986 and meets the definition of a CHDO;
(5) Is not a governmental entity (including the participating jurisdiction, other jurisdiction,
Indian tribe, public housing authority, Indian housing authority, housing finance
agency, or redevelopment authority) and is not controlled by a governmental entity.
An organization that is created by a governmental entity may qualify as a CHDO;
however, the governmental entity may not have the right to appoint more than one-
third of the membership of the organization's governing body and no more than one-
third of the board members may be public officials or employees of the governmental
entity. Board members appointed by a governmental entity may not appoint the
remaining two-thirds of the board members. The officers or employees of a
governmental entity may not be officers or employees of a CHDO;
(6) Has standards of financial accountability that conform to 2 CFR Part 200.302,
`Financial Management' and 2 CFR Part 200.303, `Internal Controls;'
(7) Has among its purposes the provision of decent housing that is affordable to low-
income and moderate -income persons, as evidenced in its charter, articles of
incorporation, resolutions, or by laws;
(8) Maintains accountability to low-income community residents by:
(i) Maintaining at least one-third of its governing board's membership for residents
of low-income neighborhoods, other low-income community residents, or
elected representative of low-income neighborhood organizations. For urban
areas, "community" may be a neighborhood or neighborhoods, city, county or
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metropolitan area; for rural areas, it may be a neighborhood or neighborhoods,
town, village, county, or multi -county area (but not the entire State); and
(ii) Providing a formal process for low -income -program beneficiaries to advise the
organization in its decisions regarding the design, siting, development, and
management of affordable housing;
(9) Has a demonstrated capacity for carrying out housing projects with HOME funds. A
designated organization undertaking development activities as a developer or sponsor
must satisfy this requirement by having paid employees with housing development
experience who will work on projects assisted with HOME funds. For its first year of
funding as a CHDO, an organization may satisfy this requirement through a contract
with a consultant who has housing development experience to train appropriate key
staff of the organization. An organization that will own housing must demonstrate
capacity to act as owner of a project and meet the requirements of §92.300(a)(2). A
nonprofit organization does not meet the test of demonstrated capacity based on any
person who is a volunteer or whose services are donated by another organization; and
(10) Has a history of serving the community within which housing to be assisted with HOME
funds is to be located. In general, an organization must be able to show one year of
serving the community before HOME funds are reserved for the organization.
However, a newly created organization formed by local churches, service organizations
or neighborhood organizations may meet this requirement by demonstrating that its
parent organization has at least a year of serving the community.
CHDO Proceeds means the net sales proceeds from the sale of the house to a HOME Eligible
Buyer which consist of the sales price less payment of (i) the Construction Loan, (ii) Developer
Fee and (iii) any common and customary seller's closing costs shown on the seller's Closing
Disclosure as approved by City, or as otherwise defined in the HOME Regulations.
Complete Documentation means the following documentation as applicable:
Attachments I and II of Exhibit "F" — Reimbursement Forms, with supporting
documentation as follows:
o Proof of expense: copies of timesheets, invoices, leases, service contracts
or other documentation showing that payment is due by Developer.
o Proof of payment: cancelled checks, bank statements, or wire transfers
necessary to demonstrate that amounts due by Developer were actually paid
by Developer.
Other documentation: (i) final lien releases signed by the general contractor or
subcontractors, if applicable; (ii) copies of all City permits and City -issued "pass"
inspections for such work; (iii) documentation showing compliance with BDE or
DBE bidding process for procurement or Contract activities, if applicable; (iv)
proof of contractor, subcontractor or vendor eligibility as described in Section 6.6;
and (v) any other documents or records reasonably necessary to verify costs spent
for the house.
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Complete Documentation shall meet the standards described in the attached
Exhibit "J"- Standards for Complete Documentation.
Completion means the substantial completion of the house as evidenced by a Neighborhood
Services Department Minimal Acceptable Standard Inspection Report, HUD Compliance
Inspection Report, and any other applicable final inspection approval from City.
Completion Deadline two years after the Effective Date of the contract.
Contract means this contract between Developer and City which is the written agreement required
by the HOME Regulations for the use of the HOME Funds and which serves as the development
agreement for the development of homebuyer units and the loan agreement for the HOME Loan.
Construction Lender means the commercial lender making Developer a first lien construction
loan for a portion of the construction costs of the Required Improvements as more particularly
identified in Exhibit "B" - Budget.
Construction Loan means the first lien loan to Developer from the Construction Lender.
Construction Loan Documents means the first and superior security instruments including
without limitation, Construction Lender's Promissory Note and Deed of Trust, or any other similar
security instruments evidencing, securing or guaranteeing Construction Lender's interest in the
Required Improvements constructed by Developer in accordance with the terms of this Contract
as the same may from time to time be extended, amended, restated, supplemented or otherwise
modified.
DBE means disadvantaged business enterprise in accordance with 49 CFR Part 26.
Deed of Trust means any deed of trust from Developer in favor of City covering the Property and
securing the indebtedness evidenced therein and Developer's performance of the requirements of
this Contract and of the HOME Regulations, as the same may be extended, amended, restated,
supplemented or otherwise modified. The form of the Deed of Trust is attached as part of Exhibit
"E" — HOME Loan Documents.
Developer Fee means 15% of the total HOME -eligible development costs actually spent for the
Required Improvements to be paid to Developer.
Director means the Director of City's Neighborhood Services Department.
Effective Date means the date of execution by the last of the Parties of this Contract.
HAP or HAP Program means City's Homebuyer Assistance Program which provides subordinate
forgivable deferred payment purchase money loans with HOME funds for closing cost and/or
down payment assistance to eligible homebuyers under the HAP Guidelines.
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HAP Guidelines means any rules, regulations, guidelines and requirements by City or HUD that
a homebuyer must meet in order to (i) qualify for HAP down payment and/or closing cost
assistance, and (ii) fulfill the homebuyer's obligations under the HOME Program during the
Affordability Period related to the HAP Loan.
HAP Loan means the subordinate purchase money loan from City under its HAP Program to a
HOME Eligible Buyer in the minimum amount of $1,000.00
HAP Loan Documents means the HOME Written Agreement between City and the HOME
Eligible Buyer, the promissory note in favor of City in the amount of the HAP assistance and the
deed of trust securing the HAP Loan, as well as any other instruments evidencing, securing or
guaranteeing the HAP Loan, as the same may be extended, amended, restated, supplemented or
otherwise modified.
HOME means the HOME Investment Partnerships Program.
HOME Eligible Buyer means a homebuyer, whether one or more, (i) whose annual income
adjusted for family size does not exceed 80% of AMI, and (ii) who meets HAP Guidelines and
qualifies for and receives a minimum of $1,000.00 of down payment and/or closing cost assistance
in the form of a HAP loan.
HOME Funds means the HOME Program grant funds supplied by City to Developer under the
terms of this Contract, which includes the costs set forth in Exhibit `B" — Budget.
HOME Loan means the HOME Funds provided to Developer by City in the form of a forgivable
deferred payment subordinate loan under the terms of this Contract as more particularly described
in the HOME Loan Documents.
HOME Loan Documents means the subordinate security instruments including without
limitation, City's Promissory Note and Deed of Trust, or any other similar security instruments
evidencing, securing or guaranteeing City's interest in the Required Improvements constructed by
Developer in accordance with the terms of this Contract as the same may from time to time be
extended, amended, restated, supplemented or otherwise modified.
HOME Regulations means the HOME Investment Partnerships Program Final Rule found at 24
CFR Part 92 et seq.
HOME Requirements means that the house constructed in part with the HOME Funds must be
sold by Developer to a HOME Eligible Buyer who has received a minimum HAP Loan of
$1,000.00 and who will occupy the house as his or her Principal Residence throughout the
Affordability Period in accordance with the HAP Loan Documents and HAP Guidelines.
HUD means the United States Department of Housing and Urban Development.
IDIS means HUD's Integrated Disbursement Information System.
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Neighborhood Services Department means City's Neighborhood Services Department.
Plans means the elevations and site plans related to the Required Improvements prepared by
Developer's architect which have been delivered to and then reviewed and approved by City on or
before the Effective Date, and any and all amendments thereto approved by City. The elevations
for the house are attached as Exhibit "A-1" — Final Elevations.
Principal Residence means the house purchased from Developer by a HOME Eligible Buyer who
will occupy it continuously throughout the Affordability Period in accordance with the HAP
Guidelines and the HAP Loan Documents.
Promissory Note means any note in the amount of the HOME Funds executed by Developer
payable to the order of City, as the same may be extended, amended, restated, supplemented or
otherwise modified. The form of the Promissory Note is attached as Exhibit "E" — HOME Loan
Documents.
Property means the lot or lots on which the Required Improvements shall be constructed as more
particularly described in and encumbered by the Deed of Trust.
Required Improvements or the house means all the improvements for a single-family house to
be constructed on the Property, together with all fixtures, improvements and appurtenances now
or later to be located on the Property and/or in such improvements. The house will be commonly
known as 1400 Wallace Street, Fort Worth, TX 76105. The Required Improvements are part of
an infill housing development project known as the Polytechnic Neighborhood Single -Family
Infill Development in which Developer will construct 4 single family houses on scattered sites in
the Polytechnic neighborhood for sale to HOME Eligible Buyers (the "project").
Reimbursement Request means all reports and other documentation described in Section 10.
Subordination Agreement means the Subordination Agreement, if any, among the Construction
Lender, Developer and City outlining the relative priorities of the Construction Loan and the City's
Loan for the Required Improvements.
3. TERM AND EXTENSION
3.1 Term.
The term of this Contract begins on the Effective Date and terminates in 2 years unless
earlier terminated as provided in this Contract.
3.1.1 Extension of Contract.
This Contract may be extended for 1 year upon Developer submitting a request for an
extension in writing at least 60 calendar days before the end of the Contract term. The request for
extension shall include the reasons for the extension and Developer's anticipated budget,
construction schedule and goals for the extended term. It is specifically understood and agreed
that it is in City's sole discretion whether to approve or deny Developer's request for an additional
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term. Any such extension shall be in the form of an amendment to this Contract executed by the
Parties.
3.2 Term of HOME Loan.
The term of the HOME Loan commences on the date of the Promissory Note and
terminates in 3 years so long as the terms and conditions of this Contract and the HOME Loan
Documents have been met.
4. DUTIES AND RESPONSIBILITIES OF CITY.
4.1 Requirements Prior to Commitment of HOME Funds.
4.1.1 Project Assessment.
Prior to commitment of the HOME Funds to the specific local project described herein,
City has (i) identified the addresses of the houses that comprise the project; (ii) assessed the current
market demand in the neighborhood where the project will be located; (iii) completed an
environmental review in accordance with 24 CFR Part 58; (iv) reviewed all necessary
commitments of financing, secured or otherwise including grants; (v) established a complete
budget for the project in sufficient detail to determine total project development costs and its
funding, including proposed sources and uses; (vi) determined that project costs are reasonable;
(vii) completed underwriting and subsidy layering requirements and determined that HOME funds
are needed to fill a funding gap; (viii) assessed the feasibility of project construction commencing
within 12 months of the commitment date; and (ix) established a completion schedule with
deadlines that meet all HOME requirements.
4.1.2 Developer Assessment.
Prior to commitment of the HOME Funds to the specific local project described herein,
City has determined that (i) Developer meets the CHDO qualifications at Section 92.2; (ii)
Developer has the financial capacity and experience to undertake the specific local project; and
(iii) Developer meets the requirements to own, develop, or sponsor the housing set out in 24 CFR
Part 92.300(a).
4.2 CHDO Certification.
4.2.1 CHDO Certification by City.
Each time City commits HOME funds it must re -certify a nonprofit's qualifications to be
a CHDO and its capacity to own, sponsor or develop housing in accordance with Section 92.300(a)
of the HOME Regulations.
4.2.2.1 By execution of this Contract, City represents that it has re -certified that
Developer meets the CHDO definition and has the capacity to fulfill the
role of developer of the project.
4.3 Commitment of HOME Funds.
This Contract serves as the HOME written agreement described in 24 CFR Part 92.504(c).
The HOME Funds will be committed by City to the project when this Contract is fully executed
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and becomes legally binding.
4.4 Provide HOME Funds.
City shall provide up to $175,230.00 of HOME Funds in the form of the HOME Loan for
eligible expenses for the development of the house under the terms and conditions of this Contract
and the Loan Documents.
4.5 City Will Monitor.
City will monitor the activities and performance of Developer and any of its contractors,
subcontractors or vendors annually as required by 24 CFR Part 92.504.
5. DEVELOPER OBLIGATIONS.
5.1 Secure Firm Written Financial Commitments.
Developer must obtain and furnish City with one or more firm written financial
commitments, or evidence of available funds, from non -speculative identified sources in a total
amount necessary to complete the project. All award or commitment letters received from fenders
must be dated prior to the date of the Contract.
5.1.1 City will assess the firm written financial commitments prior to the execution of
this Contract to ensure that they are in fact, firm commitments and that (i) the terms and amounts
are consistent with the City's financial underwriting of the project; (ii) all sources are compatible
with HOME requirements; and (iii) all funds can reasonably be expected to close prior to the
disbursement of the HOME Funds.
5.2 Construction of Required Improvements.
Developer shall complete the construction of the Required Improvements as described in
Exhibit "A" — Project Summary and Scope of Work in accordance with the Plans, the schedule
in Exhibit "C" — Construction and Reimbursement Schedule, and the terms and conditions of
this Contract.
5.2.1 Written Cost Estimates, Constructions Contracts and Construction
Documents.
Developer shall submit to City the construction contracts and construction documents to
show the work to be undertaken for the Required Improvements in sufficient detail that City can
perform all required inspections in accordance with 24 CFR Part 92.251(a)(2)(iv). City shall
review written cost estimates for the construction of the Required Improvements to determine that
such costs are reasonable. In the event City, in its sole discretion, determines that such costs are
unreasonable, Developer shall revise said costs estimates to City's satisfaction.
5.3 Use of HOME Funds.
5.3.1 Sale of Required Improvements to a HOME Eligible Buver.
Developer shall sell the house to HOME Eligible Buyers under the terms and conditions
of this Contract.
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5.3.2 Costs in Compliance with HOME Regulations and Contract.
Developer shall be reimbursed for eligible costs for the Required Improvements with
HOME Funds only if City determines in its sole discretion that:
5.3.2.1 Costs are eligible expenditures in accordance with the HOME
Regulations.
5.3.2.2 Costs comply with this Contract and are reasonable and consistent with
industry norms.
5.3.2.3 Complete Documentation, as applicable, is submitted by Developer.
5.3.3 Budget.
Developer agrees that the HOME Funds will be paid on a reimbursement basis in
accordance with Exhibit `B" — Budget, Exhibit 11B-1" — Approved Project Budget and Exhibit
"C" — Construction and Reimbursement Schedule. Developer may increase or decrease line -
item amounts in the Approved Project Budget with the Director's prior written approval, which
approval shall be in the Director's sole discretion. Any such increase or decrease in line items in
the Approved Project Budget shall comply with Section 5.2.1, Exhibit "A" — Project Summary
and Scope of Work, and shall not increase the total amount of HOME Funds.
5.3.4 Change in Budget.
5.3.4.1 Developer acknowledges that HOME funds are to be used as gap
financing so Developer must obtain a Commercial Loan for the
Required Improvements and the project. Developer shall promptly
report any change in the status of the Commercial Loan to City
5.3.4.2 Developer will notify City promptly of any additional funds it receives
for development of the Required Improvements, and City reserves the
right to amend this Contract in such instances to ensure compliance with
HUD regulations governing cost allocation.
5.3.4.3 Developer agrees to utilize the HOME Funds to supplement rather than
supplant funds otherwise available for development costs for the house.
5.4 Pavment of HOME Funds to Developer.
HOME Funds will be disbursed to Developer upon City's approval of Developer's written
and signed Reimbursement Requests, including submission of Complete Documentation to City
in compliance with Section 10. It is expressly agreed by the Parties that any HOME Funds not
reimbursed to Developer shall remain with City.
5.5 Identifv Expenses Paid with HOME Funds.
Developer will keep accounts and records in such a manner that City may readily identify
and account for expenses reimbursed with HOME funds. These records shall be made available
to City for audit purposes and shall be retained as required hereunder.
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5.6 Acknowledgement of Citv Pavment of HOME Funds.
Within 90 calendar days after the sale of the house, Developer shall sign an
acknowledgement that City has paid all HOME Funds due under this Contract, or shall deliver a
document executed by an officer of Developer identifying all or any portion of the HOME Funds
that City has not paid to Developer. Once City has met all of its obligations for payment of HOME
Funds hereunder, an officer of Developer shall sign an acknowledgement of same.
5.7 Security for City's Interest and Developer's Performance.
To secure City's interest in the Required Improvements and the performance of
Developer's obligations hereunder, Developer shall execute the HOME Loan Documents and
record the Deed of Trust at the earlier of (i) the acquisition of the Property, or (ii) before any
construction materials are delivered to the Property or any work is commenced on the Required
Improvements. No HOME Funds will be paid or reimbursed until the HOME Loan Documents
are executed and the Deed of Trust is recorded. City will release the Deed of Trust upon the
closing of the sale of the house to a HOME Eligible Buyer.
5.7.1 HOME Loan Terms and Conditions.
Developer will be required to:
5.7.1.1 Execute and deliver the Promissory Note and Deed of Trust along with
any other HOME Loan Documents required by City.
5.7.1.2 Provide City with a Mortgagee's or Lender's policy of title insurance in
the amount of the HOME Loan.
5.7.1.3 Pay all costs associated with closing the HOME Loan.
5.7.1.4 Provide City with a copy of an estimated settlement statement from the
title company at least 1 Business Day before closing of the HOME Loan.
5.7.1.5 Ensure City's lien is subordinate only to the Commercial Loan. City
agrees, if requested by the Construction Lender, to execute a
Subordination Agreement so long as all terms are agreeable to City. In
addition, City must approve in writing any secured financing for the
Required Improvements that is to be subordinate to the HOME Loan.
5.7.1.6 The term of the HOME Loan shall be as specified in Section 3.2.
5.7.1.7 No interest shall accrue on the HOME Loan provided that Developer
complies with the terms and conditions of the Promissory Note.
5.7.1.8 The HOME Loan is a forgivable deferred payment loan. The HOME
Loan will be forgiven provided that (i) the house is sold to a HOME
Eligible Buyer in accordance with the HOME Requirements, and (ii)
Developer is not otherwise in default of the HOME Loan terms or
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Contract provisions.
5.7.1.9 Early repayment of the HOME Loan shall not relieve Developer of its
obligations under this Contract or the HOME Regulations including but
not limited to the HOME Requirements. The Deed of Trust shall secure
both repayment of the HOME Funds, if required, and performance by
Developer of its obligations under this Contract.
5.7.1.10 Refinancing of the Construction Loan, or any subordinate financing
other than that approved herein or otherwise by City, shall require the
review and City's prior written approval for the purpose of ensuring
compliance with the underwriting and subsidy layering requirements of
the HOME Regulations, which approval shall not be unreasonably
conditioned or withheld.
5.7.1.11 Default under the Construction Loan shall be considered a default of the
HOME Loan.
5.7.1.12 Failure by Developer to comply with this Section 5.7.1 will be an
event of default under this Contract and the HOME Loan
Documents.
5.8 Maintain HOME Requirements.
Developer shall ensure that the house is sold to a HOME Eligible Buyer as required by this
Contract and the HOME Regulations. Developer must notify City in writing if Developer has not
entered into a binding sales contract for the house with a HOME Eligible Buyer within 6 months
of Completion. Such notice must be given within 14 calendar days of the 6-month deadline and
Developer shall have 7 calendar days from the date of the notice to submit a detailed plan
describing how the house will be sold to a HOME Eligible Buyer within 9 months of Completion.
If Developer has not sold the house within 9 months of Completion, then the default provisions of
Section 11.3 of this Contract shall apply.
5.9 HOME Requirements Survive Transfer.
Any sale or transfer of the Property by Developer during the Contract term, other than a
sale of the house to a HOME Eligible Buyer or a transfer due to condemnation or to obtain utility
services, may at City's sole discretion require the repayment of the HOME Funds. At a minimum,
any such sale or transfer will require the new owner or transferee to assume in writing the HOME
Requirements as well as all of Developer's other obligations under this Contract. Failure of the
new owner or transferee to promptly assume all of Developer's obligations under this Contract
and the HOME Loan Documents will result in immediate termination of this Contract and any
HOME Funds already paid to Developer must be repaid to City within 30 days of such termination.
In addition, City may pursue any of its remedies under the HOME Loan Documents if the new
owner or transferee fails to assume all of Developer's obligations hereunder.
5.10 Maintain CHDO Status.
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5.10.1. CHDO Requirements Met.
By the execution of this Contract, Developer represents that it meets the requirements for
designation as a CHDO set forth in 24 CFR Part 92.2.
5.10.2 CHDO Status Reports.
Developer has a continuing duty to provide City with all documentation or information in
regard to any change in its status as a CHDO or as a 501(c)(3) tax exempt entity within 10 Business
Days of said change. Developer shall provide an annual board roster and proof of its continued
status as a CHDO to City by January 30' of each year. CHDO shall replace any board member
who resigns or is otherwise no longer able to serve within 3 months of the vacancy. The failure
of Developer to maintain its status as a CHDO and a 501(c)(3) tax exempt entity shall result in
termination of this Contract and return of all HOME Funds to City if CHDO is unable to cure any
violations of this Section within 30 calendar days of written notice from City.
6. CONSTRUCTION.
6.1 Construction Schedule.
Developer will construct the Required Improvements in accordance with the schedule set
forth in the attached Exhibit "C" — Construction and Reimbursement Schedule. Developer
shall not begin construction until City sends a Notice to Proceed. Developer's failure to meet the
Construction Schedule or the Completion Deadline shall be an event of default. Developer may
not change the Construction Schedule without the Director's prior written approval; which
approval shall be in the Director's sole discretion.
6.1.1 Construction Inspections.
City shall conduct progress and final inspections of the construction of the house to ensure
that work is done in accordance with applicable codes, Developer's construction contract and the
construction documents in accordance with 24 CFR Part 92.25 1 (a)(2)(v). The construction of the
house must pass a Neighborhood Services Department Minimal Acceptable Standard Inspection
report, a HUD Compliance Inspection Report and any other applicable HUD -required inspections
during the construction period, along with any applicable final inspection approval from City at
the completion of the construction of the house.
6.2 Applicable Laws, Building Codes and Ordinances.
The Plans and construction for the house shall (i) conform to all applicable Federal, State,
City and other local laws, ordinances, codes, rules and regulations, including the HOME
Regulations; (ii) meet all City building codes; (iii) meet the Energy Conservation requirements as
required by the State of Texas in Chapter 11 of the International Residential Code; (iv) if new
construction, must conform to the Model Energy Code published by the Council of American
Building Officials.
6.3 Property Standards During Construction.
If applicable, Developer shall comply with the following during the construction of the
house: (i) the Uniform Physical Condition Standards ("UPCS") contained in 24 CFR 5.703, and
(ii) City property standards.
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6.4 Lead -Based Paint Requirements.
If applicable, Developer will comply with all Federal lead -based paint requirements
including lead screening in housing built prior to 1978 in accordance with 24 CFR Part 92.355 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 the construction and/or rehabilitation of the Required
Improvements.
6.5 Approval of Plans by City Not Release of Responsibilitv.
Approval of the Plans by City shall not constitute or be deemed (i) to be a release of the
responsibility or liability of Developer or any of its architects, contractors or subcontractors, or
their respective officers, agents, employees and lower tier subcontractors, for the accuracy or the
competency of the Plans, 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 tests, investigations, surveys, designs, working drawings and specifications or
other documents by Developer or any of its architects, contractors or subcontractors, and their
respective officers, agents, employees and lower tier subcontractors.
6.6 Contractor, Vendor and Subcontractor Requirements.
Developer will use commercially reasonable efforts to ensure that all contractors or
vendors utilized by Developer, or subcontractors utilized by Developer's general contractor, are
appropriately licensed and such licenses are maintained throughout the construction of the house.
For purposes of this Contract, the term "vendors" shall include real estate brokers, other real estate
marketing professionals, title companies, as well as surveyors and appraisers if Developer pays for
the survey or the appraisal. The term "vendors" does not include suppliers and materialmen.
Developer shall ensure that all subcontractors or vendors utilized by Developer or subcontractors
utilized by Developer's general contractor in the construction of the house, or vendors utilized by
Developer in the marketing or sale of the house are not debarred or suspended from performing
the contractor's, subcontractor's or vendor's work by City, the State of Texas or the Federal
government. Developer acknowledges that 24 CFR Part 200 forbids Developer from hiring
or continuing to employ any contractor, subcontractor or vendor that is listed on the Federal
Excluded Parties List System for Award Management, www.sam.gov ("SAM"). Developer
must confirm by search of SAM that all contractors, subcontractors or vendors are not listed by
SAM as being debarred, both prior to hiring and prior to submitting a Reimbursement Request
which includes invoices from any such contractor, subcontractor, or vendor. Failure to submit
such proofs of search shall be an event of default. In the event that City determines that any
contractor, subcontractor or vendor has been debarred, suspended, or is not properly licensed,
Developer or Developer's general contractor shall immediately cause such contractor,
subcontractor or vendor to stop work on the house and Developer shall not be reimbursed for any
work performed by such contractor, subcontractor or vendor. However, this Section shall 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 contractor, subcontractor or vendor.
Developer acknowledges that the provisions of this Section pertaining to the SAM shall
survive the termination of this Contract and be applicable for so long as Developer owns the
house which was constructed in whole or in part with the HOME Funds.
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7. SALE OF REOUIRED IMPROVEMENTS TO HOME ELIGIBLE BUYER.
7.1 Income Eligibility.
Homebuyer eligibility will be determined using the definition of annual income in 24 CFR
5.609.
7.2 Sales Price of Required Improvements; Market Analvsis.
The sales price of each house shall not exceed 95% of the median purchase price for the
area as set by HUD in accordance with 24 CFR 92.254. The sales price of the house shall be
established by a market analysis obtained by Developer and furnished by Developer to City within
30 calendar days of Developer applying for building permits from City. The sales price established
by the market analysis shall only be valid for 9 months from the date of the market analysis. If
Developer has not sold the house to a HOME Eligible Buyer within the 9-month period during
which the market analysis is valid, a new market analysis must be performed to establish the sales
price of the house. City in its sole discretion may extend this 9-month period for up to 60 days if
Developer has entered into a binding sales contract for the house before the end of the 9-month
period and needs the extension to close the sale of the house.
7.3 HOME Eligible Buver.
All purchasers of the house must be HOME Eligible Buyers. Developer must verify that a
prospective purchaser is a HOME Eligible Buyer and must timely supply City with all information
necessary to prove eligibility for the HAP Loan. Any attempted sale of a house to a purchaser
who is not a HOME Eligible Buyer shall be an event of default and shall result in automatic
termination of this Contract. HOME Eligible Buyers must complete a homeownership training
and counseling program prior to closing their purchase of the house from Developer. This
requirement shall be evidenced by a completion certificate from a HUD -certified housing
counseling agency provided to City. Failure to provide a copy of such certificate to City shall
be an event of default.
7.3.1 HAP Participation.
All prospective purchasers of a house must apply and qualify for a HAP Loan of at least
$1,000.00 of down payment and/or closing cost assistance at least 30 calendar days prior to closing
of the sale of the house. Eligibility for a HAP Loan shall be determined by City in its sole
discretion using the HAP Guidelines. City shall enter into a HOME Written Agreement with the
prospective purchaser as part of the HAP Loan. If requested by City, Developer shall use its best
efforts to timely provide City with all documents necessary for City to process the HAP Loan
application, including verification of homebuyer income eligibility.
7.3.2 Other HOME Assistance.
HOME Regulations require that the amount of HOME investment that is subject to
recapture is based on the amount of HOME assistance that enabled the homebuyer to buy the
dwelling unit. The sales price of the house will be determined by a market analysis performed by
Developer in accordance with Section 7.2. In the event that the price of the house is reduced below
the sales price set by the market analysis or a lender's appraisal, whichever is lower, and the
amount of the reduction in the sales price plus the amount of the HAP Loan exceeds $14,999.00,
then the Affordability Period will be 10 years. If the amount of the reduction in the sales price
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plus the amount of the HAP Loan exceeds $39,999.00, then the Affordability Period will be 15
years.
7.3.2.1 If required, the additional Affordability Period will be more particularly
described in the HOME Written Agreement and evidenced by a note to
City in the amount of the other HOME Assistance described in this
subsection (the "other HOME Assistance") and secured by a deed of
trust in favor of City. The loan will be a subordinate forgivable deferred
payment loan for the term of the additional required Affordability
Period attributable to the other HOME Assistance. City may, in its sole
discretion, include the loan terms attributable to the other HOME
Assistance in the HAP Loan Documents.
7.3.2.2 Developer shall notify City, and if necessary, the prospective
homebuyer and the prospective homebuyer's first lien mortgage
company within 5 Business Days of determining that the sales price of
the house will require an additional Affordability Period.
7.4 Sales Contract.
Developer shall provide City with a copy of a proposed sales contract for the house for
City approval prior to execution by Developer. City will review and approve the sales contract or
request changes within 1 Business Day. The sales contract must contain the following provision:
7.4.1 "The Property was constructed with Federal funds which require that the
Buyer occupy it as Buyer's principal residence for up to 15 years. To assure performance of
this Federal requirement, Buyer must apply for and obtain a subordinate loan of at least
$1,000.00 from the City of Fort Worth's Homebuyer Assistance Program for closing cost
and/or down payment assistance. City's loan will be secured with a Deed of Trust which will
remain on the Property for a minimum of 5 years. If Buyer occupies the Property as Buyer's
principal residence for the full affordability period based on the amount of direct assistance
calculated in accordance with Federal requirements, City will forgive its loan. If Buyer does
not meet the Federal requirements for City's loan, Seller shall terminate the contract by
giving notice to Buyer and the Earnest Money will be refunded to Buyer."
7.5 Developer to Provide Settlement Statement.
Developer shall provide City the estimated Closing Disclosures at least 5 Business Days
prior to the closing of the sale of the house to a HOME Eligible Buyer. The Closing Disclosures
shall show any homebuyer subsidies, the HAP Loan, and, if applicable, any loan from City for the
other HOME Assistance as described in Section 7.3.2. Developer shall not close the sale of a
house without receiving City's written approval of the final Seller's Closing Disclosure. Written
approval from City to the title company closing the sale of the house which recites that there is no
payment due for the HOME Loan and agreeing to execute a Release of Lien for the Deed of Trust
shall be deemed written approval of the final Seller's Closing Disclosure for purposes of this
Section.
7.6 Deadline for Sale of Required Improvements.
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The house must be sold to a HOME Eligible Buyer within 9 months of Completion.
Developer shall submit monthly status reports to City regarding the sale of each house beginning
with the first month after Completion and continuing until the house is sold.
7.7 Marketing,
7.7.1. Affirmative Marketing.
Developer must adopt affirmative marketing procedures and requirements for the Required
Improvements consistent with City policies and procedures. The procedures and requirements
must include methods for informing the public, owners and potential homebuyers about fair
housing laws and policies so as to ensure that all individuals, without regard for sex, age, race,
color, creed, nationality, national origin, religion, handicap status, disability, familial status, sexual
orientation, gender identity, gender expression or transgender, are given an equal opportunity to
participate in the project. Affirmative marketing procedures and requirements must include the
following as required by 24 CFR Part 92.351:
7.7.1.1 Methods for informing the public, owners, and potential purchasers
about Federal fair housing laws and City's affirmative marketing policy
7.7.1.2 Requirements and practices Developer must adhere to in order to carry
out City's affirmative marketing procedures and requirements
7.7.1.3 Procedures to be used by Developer to inform and solicit potential
purchasers of the houses constructed as part of the project in the housing
market area who are not likely to seek to purchase a house without
special outreach;
7.7.1.4 Records that will be kept describing actions taken by Developer to
affirmatively market the program and houses constructed as part of the
project and records to assess the results of these actions; and
7.7.1.5 A description of how Developer will annually assess the success of
affirmative marketing actions and what corrective actions will be taken
where affirmative marketing requirements are not met.
7.7.2. Citv Approval.
All Developer marketing procedures related to the house and the project, including but not
limited to the affirmative marketing described in Section 7.7.1, are subject to approval by City.
Developer shall submit all marketing plans for City approval no later than 30 calendar days after
the Effective Date.
7.7.3 Effective Marketing.
Developer will be solely responsible for the effective marketing responsibilities necessary
to achieve the HOME Requirements. Documentation supporting these efforts shall be submitted
to City upon request and shall include, but not be limited to, brochures, sign -in sheets for open
houses, listings, and advertisements for the house and the project.
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7.8 Developer Fee.
Developer shall be paid the Developer Fee as more particularly described in Exhibit "B"
— Budget and Exhibit "C" — Construction and Reimbursement Schedule upon the closing of
the sale of the house to a HOME Eligible Buyer so long as City has received copies of all of the
inspections set forth in Section 6.1.1. City shall pay Developer Fee at City's sole option (i) outside
of closing upon receipt from Developer of an invoice including Complete Documentation showing
the total amount of HOME Funds actually spent to develop the Required Improvements, or (ii) at
closing. City, in its sole discretion, may elect to pay a portion of the Developer Fee before closing.
If City so elects, such early partial payment shall be more particularly described in Exhibit "B" —
Budget and Exhibit "C" — Construction and Reimbursement Schedule.
7.9 CHDO Proceeds.
7.9.1 Use of CHDO Proceeds by Developer.
Developer shall retain and use the CHDO Proceeds for the hard and soft costs associated
with the construction of at least 1 additional affordable single-family house within the City to be
sold to a HOME Eligible Buyer. The CHDO Proceeds resulting from the sale of the house
described in this Contract shall be combined with the CHDO Proceeds resulting from the sale of
the other 3 houses constructed as part of the Polytechnic Neighborhood Single -Family Infill
Development, and with a Commercial Loan in a sufficient amount to complete the construction of
the additional house. Developer shall submit its proposed plans, location, and construction budget
for the additional house to City for its approval prior to lot acquisition or commencing construction.
City shall monitor Developer's use of the CHDO Proceeds to ensure that they are used for HOME -
eligible affordable housing activities. Developer shall keep CHDO proceeds separately from its
other funds and shall give City quarterly reports on the status and location of these funds.
Developer may retain the net sales proceeds resulting from the sale of this additional house free of
any further City or HOME requirements.
7.9.2 Report on Use of CHDO Proceeds.
Developer shall report to the Compliance Division of the Neighborhood Services
Department on its use of CHDO Proceeds on January 15, April 15, July 15, and October 15 for the
previous 3 months until the CHDO Proceeds have been fully expended. Such reports shall be in a
format requested by City, and shall be in sufficient detail and include sufficient and adequate
documentation to enable City to track and identify Developer's use of CHDO Proceeds for
affordable housing purposes. City retains the right to monitor such use for cost reasonableness
and appropriateness.
8. ADDITIONAL HOME REQUIREMENTS.
Developer agrees to comply with all requirements of the HOME Program as stated in the
HOME Regulations, including, but not limited to the following:
8.1 Environmental Review.
HOME Funds will not be paid and costs may not be incurred until City has conducted an
environmental review and completed an Environmental Review Record as required by 24 CFR
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Part 58. The environmental review may result in a decision to proceed with, modify, or cancel the
project. Further, Developer 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
Section will (i) cause this Contract to terminate immediately, and (ii) require Developer to
repay to City any HOME Funds received and forfeit any future payments of HOME Funds.
8.1.2 Mitigation.
Developer must take the mitigation actions outlined in Exhibit "A-2" — Environmental
Mitigation Action. Failure to complete the required mitigation action is an event of default
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 HOME Funds, and that such commitment 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.
8.3. Monitoring.
8.3.1 Developer understands and agrees that it will be subject to monitoring by City for
compliance with the HOME Regulations, the terms of this Contract and the HOME Loan
Documents until the project is closed in IDIS and for 5 years thereafter. Developer will provide
reports and access to project files as requested by City during the term of the Contract and for 5
years after the project is closed in IDIS. In order to assist City with its monitoring, Developer shall
comply with all the reporting requirements set out in this Contract.
8.3.2 Representatives of City, HUD, HUD Office of Inspector General, and the United
States Comptroller General shall have access during regular business hours, upon at least 48 hours'
prior notice, to Developer's offices and records that are related to the use of the HOME Funds, and
to Developer's officers, agents, and records that are related to the use of the HOME Funds, and to
Developer's officers, agents, employees, contractors, subcontractors and vendors 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 Developer's compliance
with the terms and conditions of this Contract and the HOME Loan. City shall provide Developer
with a written report of the monitor's findings after each monitoring visit. If the monitoring report
notes deficiencies in Developer's performance, the report shall include requirements for the timely
correction of said deficiencies by Developer. Failure by Developer to take the action specified in
the monitoring report may be cause for suspension or termination of this Contract as provided
herein or City may take all actions allowed in the Loan Documents.
8.3.4 This Section 8.3 shall be applicable for the duration of the Contract term and
for 5 years thereafter and shall survive the earlier termination or expiration of this Contract.
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8.4 Compliance with the Uniform Relocation Act.
If applicable, Developer shall comply with the relocation requirements of 24 CFR Part
92.353 and all other applicable Federal and State laws and City ordinances and requirements
pertaining to relocation.
8.5 Compliance with Davis -Bacon Act.
If applicable, Developer and its general contractor and all lower tier subcontractors will
comply with the Davis -Bacon Act as described in Section 14.14 and Exhibit "H" — Federal
Labor Standards Provisions - Davis -Bacon Requirements-.
8.6 Developer Procurement Standards.
Developer shall ensure that procurement of materials and services is done in a cost-
effective manner. Developer shall comply with all applicable federal, state and local laws,
regulations, and ordinances for making procurements under this Contract. Developer shall
establish written procurement procedures to ensure that materials and services are obtained in a
cost-effective manner
8.7 Cost Principles/Cost Reasonableness.
The eligibility of costs incurred for performance rendered shall be determined in
accordance 2 CFR Part 200.402 through 2 CFR Part 200.405, as applicable, regarding cost
reasonableness and allocability.
8.8 Financial Management Standards.
Developer agrees to adhere to the accounting principles and procedures required in 2 CFR
Part 200, as applicable, utilize adequate internal controls, and maintain necessary supporting and
back-up documentation for all costs incurred in accordance with 2 CFR Part 200.302 and Part
200.303.
8.9 Uniform Administrative Requirements.
As applicable, Developer will comply with the Uniform Administrative Requirements,
Cost Principles, and Audit Requirements for Federal Awards in 2 CFR Part 200, or any reasonably
equivalent procedures and requirements that City may require.
8.10 Compliance with FFATA and Whistleblower Protections.
Developer shall provide City with all necessary information for City to comply with the
requirements of 2 CFR 300(b), including provisions of the Federal Funding Accountability and
Transparency Act ("FFATA") governing requirements on executive compensation and provisions
governing whistleblower protections contained in 10 U.S.C. 2409, 41 U.S.C. 4712, 10 U.S.C.
2324, 41 U.S.C. 4304 and 41 U.S.C. 4310.
8.10.1 Developer shall provide City its DUNS number prior to the payment of any
Reimbursement Requests.
8.11 Internal Controls.
In compliance with the requirements of 2 CFR 200.303, Developer shall:
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8.11.1 Establish and maintain effective internal control over the HOME Funds that
provides reasonable assurance that Developer is managing the HOME Funds in compliance with
federal statutes, regulations, and the terms and conditions of this Contract. These internal controls
shall comply with guidance in "Standards for Internal Control in the Federal Government" issued
by the Comptroller General of the United States or the "Internal Control Integrated Framework"
issued by the Committee of Sponsoring Organizations of the Treadway Commission ("COSO");
8.11.2 Comply with federal statutes, regulations, and the terms and conditions of this
Contract;
8.11.3 Evaluate and monitor Developer's compliance with statutes, regulations and the
terms and conditions of this Contract;
8.11.4 Take prompt action when instances of noncompliance are identified including
noncompliance identified in audit findings; and
8.11.5 Take reasonable measures to safeguard protected personally identifiable
information and other information that HUD or City designates as sensitive or Developer considers
sensitive consistent with applicable federal, state, local and tribal laws regarding privacy and
obligations of confidentiality.
8.12 Copvright and Patent Rights.
No reports, maps, or other documents produced in whole or in part under this Contract shall
be the subject of an application for copyright by or on behalf of Developer. HUD and City shall
possess all rights to invention or discovery, as well as rights in data which may arise as a result of
Developer's performance under this Contract.
8.13 Terms Applicable to Contractors, Subcontractors and Vendors.
Developer understands and agrees that all terms of this Contract, whether regulatory or
otherwise, shall apply to any and all contractors, subcontractors and vendors of Developer which
are in any way paid with HOME Funds or who perform any work in connection with the
construction or sale of the house. Developer 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 its
obligations hereunder, including its obligations regarding the HOME Requirements and the
HOME Regulations. Developer shall monitor the services and work performed by its contractors,
subcontractors and vendors on a regular basis for compliance with the HOME Requirements, the
HOME Regulations and Contract provisions. Developer is responsible to cure all violations of the
HOME Regulations committed by its contractors, subcontractors or vendors pertaining to this
Contract. City maintains the right to insist on Developer's full compliance with the terms of this
Contract and the HOME Regulations and Developer is responsible for such compliance regardless
of whether actions to fulfill the requirements of this Contract or the HOME Regulations are taken
by Developer or by Developer's contractors, subcontractors or vendors. Developer acknowledges
that the provisions of this Section shall survive the earlier termination or expiration of this
Contract and be applicable for 5 years after the termination of this Contract.
8.14 Pavment and Performance Bonds.
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Developer shall furnish City with payment and performance bonds in the total amount
of the construction cost for the house in accordance with the requirements of 2 CFR Part
200.325. At City's discretion other forms of assurance, including a guarantee from Developer
or other parties on Developer's behalf, may be acceptable so long as such assurance meets the
requirements of the HOME Regulations. Any guarantee in favor of the City shall be in the form
as the attached Exhibit "P" — Guarantee unless City in its sole discretion agrees to some other
form which shall be acceptable in amount, duration, form and substance.
9. RECORD KEEPING, REPORTING AND DOCUMENTATION
REQUIREMENTS, RIGHT TO AUDIT.
9.1 Record Keening.
Developer shall maintain a record keeping system as part of its performance of its
obligation under the terms 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, Developer will keep or cause to be kept an accurate record of all
actions taken and all funds spent, with supporting and back-up documentation. Developer will
maintain all records and documentation related to this Contract for 5 years after the Contract
terminates. If any claim, litigation, or audit is initiated before the expiration of the 5-year period,
the relevant records and documentation must be retained until all such claims, litigation or audits
have been resolved.
9.1.2 Access to Records.
Representatives of City and HUD 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 Developer's records pertaining to all matters covered by this Contract for 5 years after the
Contract terminates. Such access shall be during regular business hours and upon at least 7
calendar day's prior notice.
9.2 Reports.
Developer will submit to City all reports and documentation described in this Contract in
such form as City may prescribe. Developer may also be required to submit a final performance
and/or final financial report if required by City at the termination of this Contract and/or the end
of the Loan in such form and within such times as City may prescribe. Failure 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.
9.2.1 Additional Information.
Developer shall provide City with additional information as may be required by State or
Federal agencies to substantiate HOME Program activities and/or expenditure eligibility.
9.3 Change in Reporting Requirements and Forms.
City retains the right to change reporting requirements and forms at its discretion. City
will notify Developer in writing at least 30 calendar days prior to the effective date of such change,
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and the Parties shall execute an amendment to this Contract reflecting such change if necessary.
9.4 City Reserves the Right to Audit.
City reserves the right to perform an audit of Developer's project operations and finances
at any time during the term of this Contract or for 5 years after the Contract terminates, if City
determines that such audit is necessary for City's compliance with the HOME Regulations or other
City policies, and Developer 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 Developer of such questioned practice or expenditure. If
questions are not resolved within this period, City reserves the right to withhold further funding
under this Contract and/or other contracts with Developer. IF AS A RESULT OF ANY AUDIT
IT IS DETERMINED THAT DEVELOPER HAS FALSIFIED ANY DOCUMENTATION
OR MISUSED, MISAPPLIED OR MISAPPROPRIATED HOME FUNDS OR SPENT
HOME FUNDS ON ANY INELIGIBLE ACTIVITIES, DEVELOPER 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.
10. REIMBURSEMENT REQUIREMENTS.
Developer shall provide City with Complete Documentation and the following reports as
shown in Exhibit "F" — Reimbursement Forms with each Reimbursement Request:
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).
10.2 Attachment II — Expenditure Worksheet.
This report shall itemize each expense requested for reimbursement by Developer. In order
for this report to be complete the following must be submitted:
10.2.1 Invoices for each expense with an explanation as to how the expense pertains
to the house or project, if necessary; and
10.2.2 Proof that each expense was paid by Developer, which can be satisfied by
cancelled checks, wire transfer documentation, paid receipts or other appropriate banking
documentation.
10.3 Deadline for Submitting Reimbursement Requests.
All Reimbursement Requests along with Complete Documentation shall be submitted by
Developer to City within 60 calendar days from each of the deadlines as shown in Exhibit "C" —
Construction and Reimbursement Schedule.
10.3.1 CITY SHALL HAVE NO OBLIGATION TO PAY ANY
REIMBURSEMENT REQUEST THAT IS NOT RECEIVED WITHIN 60 CALENDAR
DAYS OF THE DEADLINES SHOWN IN EXHIBIT "C" — CONSTRUCTION AND
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REIMBURSEMENT SCHEDULE. In addition, Developer's failure to timely submit
Reimbursement Requests and Complete Documentation along with any required reports
shall be an event of default.
10.3.2 CITY SHALL HAVE NO OBLIGATION TO MAKE PAYMENT ON
ANY REIMBURSEMENT REQUEST THAT IS NOT RECEIVED WITHIN 30
CALENDAR DAYS OF THE COMPLETION DEADLINE.
10.3.3 Final Pavment.
Developer shall not be reimbursed for Final Payment until it submits Exhibit "G" —
HOME Project Compliance Report to City regarding the HOME Eligible Buyer.
10.4 Withholding Pavment.
10.4.1 CITY SHALL WITHHOLD PAYMENTS REQUESTED UNDER
THIS CONTRACT IF COMPLETE DOCUMENTATION IS NOT RECEIVED. City
shall notify Developer when it is withholding payment due to lack of required complete
documentation within 10 Business Days of making such determination.
10.4.2 FINAL REIMBURSEMENT SHALL NOT BE MADE UNTIL ALL
LIENS ARE RELEASED TO CITY'S SATISFACTION AND THE CLOSING OF THE
SALE OF THE HOUSE TO A HOME ELIGIBLE BUYER. Developer shall furnish City
with a copy of an Affidavit of Completion sworn to by Developer's general contractor that
has been filed by Developer in the Tarrant County Real Property Records in compliance
with Section 53.106, Texas Property Code, as proof that all subcontractors, laborers and
materialmen have been paid in full for all labor and materials provided to the general
contractor for the house and project.
10.5 Timing of Pavment.
Provided that Developer submits Complete Documentation with respect to the Required
Improvements in conformance with this Contract, City will reimburse Developer for eligible
expenses within 15 calendar days.
11. DEFAULT AND TERMINATION.
11.1 Failure to Begin or Complete the Required Improvements
11.1.1 The Property shall be acquired by Developer within 4 months of the Effective
Date. If Developer fails to begin construction of the house within 3 months of the acquisition of
the Property or, if Developer already owns the Property, within 3 months of the Effective Date,
this Contract shall automatically terminate without further notice or opportunity to cure, and with
no penalty or liability to City.
11.1.2 If City determines that the Required Improvements were not completed by the
Completion Deadline or have failed to pass any of the inspections described in Section 6.1.1, City
shall have the right to terminate this Contract effective immediately upon written notice to
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Developer of such intent with no penalty or liability to City after giving Developer 30 calendar
days to cure. City shall also be entitled to demand repayment of the HOME Funds already
disbursed to Developer and enforce any of the provisions of HOME Loan Documents for default.
11.2 Failure to Submit Complete Documentation During Construction.
11.2.1 If Developer fails to submit Complete Documentation during construction of
the Required Improvements in accordance with Exhibit "C" — Construction and
Reimbursement Schedule, or if any report or documentation submitted as part of Complete
Documentation is not in compliance with this Contract or the HOME Regulations as determined
by City in its sole discretion, City will notify Developer in writing and Developer will have 30
calendar days from the date of City's written notice to submit or resubmit any such report or
documentation. If Developer fails to submit or resubmit any such report or documentation within
such time, City shall have the right to withhold payments. If such failure continues for an
additional 30 calendar days (a total of 60 calendar days), City shall have the right to terminate this
Contract effective immediately upon written notice of such intent to Developer with no penalty or
liability to City. Notwithstanding anything to the contrary herein, City will not be required to pay
any HOME Funds to Developer during the period that any such report or documentation is missing
or otherwise not in compliance with this Contract or the HOME Regulations.
11.2.2 If any of Developer's Reimbursement Requests are incomplete or otherwise not
in compliance with this Contract or the HOME Regulations as determined by City in its sole
discretion, City will notify Developer in writing of such default and Developer will have 10
business days from the date of the written notice to resubmit any such Reimbursement Request to
cure the default. If Developer fails to cure the default within such time, Developer shall forfeit
any payments otherwise due under such Reimbursement Request. If such failure to resubmit such
Reimbursement Request continues for an additional 15 calendar days (a total of 30 calendar days),
City shall have the right to terminate this Contract effective immediately upon written notice of
such intent with no penalty or liability to City. Notwithstanding anything to the contrary herein,
City will not be required to pay any HOME Funds to Developer during the period that any such
Reimbursement Request is not in compliance with this Contract or the HOME Regulations.
11.2.3 In the event of more than 2 instances of default, cured or uncured, under
Sections 11.2.1 or 11.2.2, City reserves the right at its sole option to terminate this Contract
effective immediately upon written notice of such intent to Developer with no penalty or
liability to City.
11.2.4 Notwithstanding anything to the contrary herein, City will not be required to
pay any HOME Funds to Developer during the period that any Reimbursement Request, report or
other documentation is missing, past due or is not in compliance with this Contract or the HOME
Regulations, or during any period during which Developer is in default of this Contract.
11.2.5 In the event of termination under this Section 11.2, all HOME Funds awarded
but unpaid to Developer pursuant to this Contract shall be immediately forfeited and Developer
shall have no further right to such funds. Any HOME Funds already paid to Developer must be
repaid to City within 30 calendar days of termination under this Section. Failure to repay such
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HOME Funds will result in City exercising all legal remedies available to City under this Contract
and the HOME Loan Documents.
11.3 Failure to Sell Required Improvements.
Developer must notify City in writing if Developer fails to sell the house to HOME Eligible
Buyers within 9 months of Completion as described in Section 5.7. Developer must notify City in
writing no later than 8 months after Completion which of the following options Developer plans
to elect if a house will not be sold to a HOME Eligible Buyer within 9 months of Completion:
11.3.1 Convert the house to a rental unit as described in 24 CFR Part 92.252.
Developer will be responsible for maintenance and management of the rental house. If Developer
selects this option, City will enter into a separate agreement with Developer setting forth the
HOME requirements applicable for HOME rental units; or
11.3.2 Repay City all HOME Funds provided to Developer under this Contract for the
unsold house within 30 calendar days of notifying City of this option. If Developer selects this
option, this Contract may be terminated at City's sole election.
11.4 Failure to Maintain or Submit Required Reports and Documentation.
If Developer fails to maintain all records and documentation as required in Section 9, or
fails to submit any report or documentation required by this Contract after the Required
Improvements are completed, or if the submitted report or documentation is not in compliance
with this Contract or the HOME Regulations as determined by City in its sole discretion, City will
notify Developer in writing and Developer will have 15 calendar days from the date of the written
notice to obtain or recreate the missing records or documentation, or submit or resubmit any such
report or documentation to City. If Developer fails to maintain the required reports or
documentation, or submit or resubmit any such report or documentation within such time, City
shall have the right to terminate this Contract effective immediately upon written notice of such
intent with no penalty or liability to City. In the event of termination under this Section 11.4, any
HOME Funds paid to Developer must be repaid to City within 30 calendar days of termination.
Failure to repay such HOME Funds will result in City exercising all legal remedies available
to City under this Contract and the HOME Loan Documents.
11.5 In General.
11.5.1 Subject to Sections 11.1, 11.2, 11.3 and 11.4, and unless specifically provided
otherwise in this Contract, Developer shall be in default under this Contract if Developer 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 Developer 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, in City's sole discretion, to (i)
extend Developer's time to cure, (ii) terminate this Contract effective immediately upon written
notice of such intent to Developer, or (iii) pursue any other legal remedies available to City under
this Contract or the HOME Loan Documents.
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11.5.2 City's remedies may include:
11.5.2.1 Direct Developer to prepare and follow a schedule of actions for
carrying out the affected activities, consisting of schedules,
timetables and milestones necessary to implement the affected
activities.
11.5.2.2 Direct Developer to establish and follow a management plan that
assigns responsibilities for carrying out the remedial activities.
11.5.2.3 Cancel or revise activities likely to be affected by the performance
deficiency, before expending HOME Funds for the activities.
11.5.2.4 Reprogram HOME Funds that have not yet been expended from
affected activities to other eligible activities or withhold HOME
Funds.
11.5.2.5 Direct Developer to reimburse City in any amount of HOME Funds
not used in accordance with the HOME Regulations.
11.5.2.6 Suspend reimbursement or payment of HOME Funds for affected
activities.
11.5.2.7 Any other appropriate action including but not limited to any
remedial action legally available such as declaratory judgment,
specific performance, damages, temporary or permanent
injunctions, termination of this Contract or any other contracts with
Developer, and any other available remedies.
11.5.3 In the event of termination under this Section 11.5, all HOME Funds awarded
but unpaid to Developer pursuant to this Contract shall be immediately rescinded and Developer
shall have no further right to such funds and any HOME Funds already paid to Developer must be
repaid to City within 30 calendar days of termination. Failure to repay such HOME Funds will
result in City exercising all legal remedies available to City under this Contract or the HOME
Loan Documents.
11.5.4 If this Contract terminates prior to the sale of the house to a HOME Eligible
Buyer or to conversion to a lease purchase or rental unit, Developer waives all right to the
Developer Fee and CHDO Proceeds from the sale of this house.
11.6 No Funds Disbursed while in Breach.
Developer understands and agrees that no HOME Funds will be paid to Developer until all
defaults are cured to the satisfaction of City.
11.7 No Compensation After Date of Termination.
Developer will not receive any HOME Funds for work undertaken after the date of
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termination.
11.8 Rights of Citv Not Affected.
Termination shall not affect or terminate any of the existing rights of City against
Developer, or which may thereafter accrue because of such default, and this provision shall be in
addition to any and all other rights and remedies available to City under the law and HOME Loan
Documents including, but not limited to, compelling Developer to complete the Required
Improvements in accordance with the terms of the Contract. Such termination does not terminate
any applicable provisions of this Contract that have been expressly noted as surviving the term or
termination of this Contract. No delay or omission by City in exercising any right or remedy
available to it under this Contract shall impair any such right or remedy or constitute a waiver or
acquiescence in any Developer default.
11.9 Waiver of Breach Not Waiver of Subsequent Breach.
The waiver of a default or breach of any term, covenant, or condition of this Contract or
the HOME Loan Documents shall not operate as a waiver of any subsequent breach of the same
or any other term, covenant or condition hereof or thereof.
11.10 Civil, Criminal and Administrative Penalties.
Failure to perform all Contract terms may result in civil, criminal or administrative
penalties, including, but not limited to those set out in this Contract.
11.11 Termination for Cause.
11.11.1 City may terminate this Contract in the event of Developer's default, inability,
or failure to perform subject to notice, grace and cure periods. In the event City terminates this
Contract for cause, all HOME Funds awarded but unpaid to Developer pursuant to this Contract
shall be immediately rescinded and Developer shall have no further right to such funds and any
HOME Funds already paid to Developer must be repaid to City within 30 calendar days of
termination. Failure to repay such HOME Funds will result in City exercising all legal remedies
available to City under this Contract or the HOME Loan Documents. DEVELOPER
ACKNOWLEDGES AND AGREES THAT IF CITY TERMINATES THIS CONTRACT
FOR CAUSE, NEITHER DEVELOPER NOR ANY AFFILIATES OF DEVELOPER WILL
BE CONSIDERED FOR ANY OTHER CITY CONTRACT FOR HOME FUNDS FOR A
MINIMUM OF 5 YEARS FROM THE DATE OF TERMINATION.
11.11.2 This Contract shall be terminated immediately without penalty or liability
for the City in the event Developer loses its CHDO certification or status after the cure period
stated in Section 5.9.2. In the event City terminates this Contract pursuant to this section, all
HOME Funds awarded but unpaid to Developer pursuant to this Contract shall be immediately
rescinded and Developer shall have no further right to such funds and any HOME Funds already
paid to Developer must be repaid to City within 30 calendar days of termination. Failure to repay
such HOME Funds will result in City exercising all legal remedies available to City under this
Contract or the HOME Loan Documents.
11.11.3 Developer may terminate this Contract if City does not provide the HOME
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Funds substantially in accordance with this Contract.
11.12 Termination for Convenience.
In terminating in accordance with 2 CFR 200, Appendix II, this Contract may be terminated
in whole or in part only as follows:
11.12.1 By City with the consent of Developer 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
11.12.2 By Developer 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.
In the case of a partial termination, City may terminate the Contract in its entirety if City
determines in its sole discretion that the remaining portion of the Contract to be performed or
HOME Funds to be spent will not accomplish the purposes for which this Contract was made.
11.13 Dissolution of Developer Terminates Contract.
In the event Developer is dissolved or ceases to exist this Contract shall terminate, unless,
with City permission, the Contract has been assigned and the HOME Loan assumed by the
assignee. In the event of termination under this Section, all HOME Funds are subject to repayment
and/or City may exercise all of its remedies under this Contract and the HOME Loan
Documents.
11.14 Reversion of Assets.
In the event this Contract is terminated with or without cause by either party, all assets
acquired by Developer with the HOME Funds including but not limited to plans, drawings,
surveys, renderings, construction documents and any other real or personal property owned by
Developer that was purchased, created or improved with the HOME Funds shall belong to City
and shall automatically transfer to City or to such assignees as City may designate.
11.15 Notice of Termination under Subordination Agreement.
City shall not terminate this Contract without first giving notice and opportunity to cure if
required in any Subordination Agreement.
12. REPAYMENT OF HOME FUNDS.
All HOME Funds are subject to repayment in the event the house or the project does not
meet the requirements of this Contract or of the HOME Regulations. If Developer takes any
action that results in City being required to repay all or any portion of the HOME Funds to
HUD, Developer agrees it will reimburse City for the full amount of such repayment.
13. MATERIAL OWNERSHIP CHANGE.
Except for Permitted Transfers in accordance with the terms of the Deed of Trust and
transfers or assignment of this Contract and an assumption of the HOME Loan consented to by
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City, if ownership of Developer materially changes after the date of this Contract, City may but is
not obligated to, terminate this Contract. City has 30 calendar days to make such determination
after receipt of written notice from Developer and failure to make such determination in that 30-
day time period will constitute a waiver. In the event of termination by City under this Section 13,
all HOME Funds awarded but not yet paid to Developer pursuant to this Contract shall be
immediately rescinded and Developer shall have no further right to such funds. Any HOME Funds
already paid to Developer must be repaid to City within 30 calendar days of termination under this
Section.
14. GENERAL PROVISIONS
14.1 Developer an Independent Contractor.
Developer shall operate hereunder as an independent contractor and not as an officer, agent,
servant or employee of City. Developer 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, subcontractors, vendors, tenants, licensees or invitees.
14.2 Doctrine of Respondeat Superior.
The doctrine of respondeat superior shall not apply as between City and Developer, its
officers, members, agents, servants, employees, contractors, subcontractors, vendors, tenants,
licensees or invitees. Developer agrees that nothing herein shall be construed as the creation of a
partnership or joint enterprise between City and Developer. It is further understood that City shall
in no way be considered a Co -employer or a Joint employer of Developer or any officers, agents,
servants, employees or subcontractor of Developer. Neither Developer, nor any officers, agents,
servants, employees or subcontractor of Developer shall be entitled to any employment benefits
from City. Developer shall be responsible and liable for any and all payment and reporting of taxes
on behalf of itself, and any of its officers, agents, servants, employees or subcontractor. City does
not have the legal right to control the details of the tasks performed hereunder by Developer, its
officers, members, agents, employees, contractors, subcontractors, vendors, tenants, licensees or
invitees.
14.3 Developer Property.
City shall under no circumstances be responsible for any property belonging to Developer,
its officers, members, agents, employees, contractors, subcontractors, vendors, tenants, licensees
or invitees that may be lost, stolen or destroyed or in any way damaged and DEVELOPER
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 HOME Funds shall be used in support of any sectarian or religious
activity. In addition, there must be no religious or membership criteria for buyers of a HOME -
funded property.
14.5 Venue.
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Venue shall lie in Tarrant County, Texas 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.
14.6 Governing Law.
This Contract shall be governed by and construed in accordance with the laws of the State
of Texas. If any action, whether real or asserted, at law or in equity, arises out of the execution,
performance or non-performance of this Contract or on the basis of any provision herein, for any
issue not governed by Federal law, the choice of law shall be the laws of the State of Texas.
14.7 Severabilitv.
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.
14.8 Written Agreement Entire Agreement.
This written instrument and the Exhibits, Attachments and Addendums attached hereto,
which are incorporated by reference and made a part of this Contract for all purposes, constitute
the entire agreement by the Parties 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 executed by the Parties.
14.9 Paragraph Headings for Reference Onlv, No Legal Significance; Number
and Gender.
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. When context
requires, singular nouns and pronouns include the plural and the masculine gender shall be deemed
to include the feminine or neuter and the neuter gender to include the masculine and feminine.
The words "include" and "including" whenever used herein shall be deemed to be followed by the
words "without limitation".
14.10 Compliance With All Applicable Laws and Regulations.
Developer 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:
➢ HOME Investment Partnerships Act as set out above
➢ Title VI of the Civil Rights Act of 1964 (42 U.S.C. Sections 2000d et seq.) 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
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➢ The Age Discrimination in Employment 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.), related Executive Order
11738 and Environmental Protection Agency Regulations at 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
➢ Regulations at 24 CFR Part 882.708(c) pertaining to site and neighborhood standards
for new construction projects
➢ Regulations at 24 CFR Part 983.6 for Site and Neighborhood Standards Review
➢ 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 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
➢ Regulations at 24 CFR Part 92, Home Investment Partnerships Program Final Rule
➢ Uniform Administrative Requirements, Cost Principles, and Audit Requirements for
Federal Awards, 2 CFR Part 200 et seq.
➢ Federal Funding Accountability and Transparency Act of 2006, (Pub.L. 109-282, as
amended by Section 6205(a) of Pub.L.110-252 and Section 3 of Pub.L.113-101)
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➢ Federal Whistleblower Regulations, 10 U.S.C. 2409, 41 U.S.C. 4712, 10 U.S.C.
2324, 41 U.S.C. 4304 and 41 U.S.C. 4310.
14.11 HUD -Assisted Proiects and Emplovment and other Economic
Opportunities; Section 3 Requirements.
14.11.1 Requirement that Law Be Ouoted 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 170lu et seg.)
and its Related Regulations at 24 CFR Part 75
If the construction of the Required Improvements will cause the creation of new
employment, training, or contracting opportunities on a contractor or subcontractor level resulting
from the expenditure of the HOME Funds, Developer shall comply with the following and will
ensure that its contractors also comply. If the work performed under this Contract is on a project
assisted under a program providing direct Federal financial assistance from HUD, Section 3 of 24
CFR Part 135 ("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 the Housing and Urban Development Act of 1968, as amended, 12
U.S. C. 1701 u (Section 3). The purpose of Section 3 is to ensure that employment
and other economic opportunities generated by HUD assisted or HUD -assistance
projects covered by Section 3, shall, to the greatest extent feasible, be directed to
low- and very -low income persons, particularly persons who are recipients ofHUD
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 the contractor has a collective bargaining agreement or
other understanding, if any, a notice advising the labor organization or workers'
representative 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 apprenticeship 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 workshall begin.
D. The contractor agrees that to include this Section 3 clause in every
subcontract subject to compliance with regulations 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 a finding that the subcontractor is in
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violation of the regulations in 24 CFR Part 135. The contractor will not
subcontract with any subcontractor where the contractor has notice or knowledge
that the subcontractor has been found in violation of the regulations in 24 CFR part
135.
E. The contractor will certify that any vacant employment positions, including
training positions that are filled (1) after the contractor is selected but before the
contract is executed, and (2) with persons other than those to whom the regulations
of 24 CFR Part 135 require employment opportunities to be directed, were not
filled to circumvent the contractor's obligations under 24 CFR part 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 workperformed 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. 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 7(b) 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.
14.11.2 Developer Responsibilities for Section 3 Requirements.
City and Developer understand and agree that 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
Developer and their respective successors, assigns, contractors and subcontractors. Failure to
fulfill these requirements shall subject Developer and its contractors and subcontractors 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.
Developer's responsibilities include:
14.11.2.1 Implementing procedures to notify Section 3 residents and
business concerns about training, employment, and contracting
opportunities generated by Section 3 covered assistance;
14.11.2.2 Notifying potential contractors working on Section 3 covered
projects of their responsibilities;
14.11.2.3 Facilitating the training and employment of Section 3 residents
and the award of contracts to Section 3 business concerns;
14.11.2.4 Assisting and actively cooperating with the Neighborhood
Services Department in making contractors and subcontractors
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comply;
14.11.2.5 Refraining from entering into contracts with contractors that are
in violation of Section 3 regulations;
14.11.2.6 Documenting actions taken to comply with Section 3; and
14.11.2.7 Submitting Section 3 Annual Summary Reports (Form HUD-
60002) in accordance with 24 CFR Part 135.90.
14.11.3 Section 3 Reporting Requirements.
In order to comply with the Section 3 requirements, Developer must submit the forms
attached hereto as Exhibit "I" - Section 3 Reporting Forms and take the following actions:
14.11.3.1 Report to the City all applicants for employment by contractor
and subcontractor on a quarterly basis. This shall include name,
address, zip code, date of application, and status (hired/not hired)
as of the date of the report.
14.11.3.2 Advertise available positions to the public for open competition,
and provide documentation to City with the quarterly report that
demonstrates such open advertisement, in the form of printout of
Texas Workforce Commission posting, copy of newspaper
advertisement, copy of flyers and listing of locations where
flyers were distributed, and the like.
14.11.3.3 Report to City all contracts awarded by contractor and
subcontractor on a quarterly basis. This shall include name of
contractor and/or subcontractor, address, zip code, and amount of
award as of the date of the report.
14.12 Prohibition Against Discrimination.
14.12.1 General Statement.
Developer shall comply in the execution, performance or attempted performance of this
Contract with all non-discrimination requirements of 24 CFR Part 92.350 and Chapter 17, Article
III, Division 4 — Fair Housing of the City Code. Developer 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 Developer permit its officers, members, agents, employees, vendors or project participants to
engage in such discrimination.
This Contract is made and entered into with reference specifically to Chapter 17, Article
III, Division 3 - Employment Practices of the City Code, and Developer hereby covenants and
agrees that Developer, its officers, members, agents, employees, vendors and contractors, have
fully complied with all provisions of same and that no employee, or applicant for employment has
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been discriminated against under the terms of such ordinances by either or its officers, members,
agents, employees, vendors or contractors.
14.12.2 No Discrimination in Emulovment during the Performance of this
Contract.
During the performance of this Contract Developer agrees to the following provision, and
will require that its contractors, subcontractors and vendors also comply with such provision by
including it in all contracts with its contractors, subcontractors or vendors:
_f Contractor's, Subcontractor's or Vendor's Namel 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. _f Contractor's, Subcontractor's or Vendors Namel _ will 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.
f Contractor's, Subcontractor's or Vendor's Name] agrees to post in conspicuous places, available
to employees and applicants for employment, notices setting forth the provisions of this
nondiscrimination clause.
_f Contractor's, Subcontractor's or Vendor's Name] will, in all solicitations or advertisements
for employees placed by or on behalf of _jContractor's, Subcontractor's or Vendor's Namet—,
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, Subcontractor's or Vendor's Namel _ 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.
_jContractor's. Subcontractor's or Vendor's Namel_ 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, retirement plan or statutory requirement.
14.12.3 Develover's Contractors and the ADA.
In accordance with the provisions of the Americans With Disabilities Act of 1990
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("ADA"), Developer 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 Developer
or any of its contractors. DEVELOPER WARRANTS IT WILL FULLY COMPLY WITH
THE 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, CONTRACTORS, SUBCONTRACTORS OR VENDORS AGAINST
CITY ARISING OUT OF DEVELOPER'S AND/OR ITS CONTRACTORS',
SUBCONTRACTORS', VENDORS', 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 Developer 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. Developer shall disclose to City any such conflict of interest
or potential conflict of interest immediately upon discovery of same.
14.13.2 No employees, agents, consultants, officers or elected officials or appointed
officials of City or of Developer who exercise or have exercised any functions or responsibilities
with respect to activities assisted with HOME funds or who are in a position to participate in a
decision -making process or gain inside information with regard to these activities may occupy a
HOME -assisted housing unit, may obtain a financial interest or benefit from a HOME -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 Part 92.356.
14.13.2.1 Developer shall establish conflict of interest policies for Federal
Awards and shall provide such policies in writing to City in
accordance with the requirements of 2 CFR Part 200.112.
14.13.3 Disclosure of Conflicts of Interest.
In compliance with 2 CFR Part 200.112, Developer is required to timely disclose to City
in writing any potential conflict of interest, as described in this Section.
14.13.4 Disclosure of Texas Penal Code Violations.
Developer affirms that it will adhere to the provisions of the Texas Penal Code which
prohibits bribery and gifts to public servants.
14.13.5 Disclosure of Federal Criminal Law Violations.
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In compliance with 2 CFR Part 200.113, Developer is required to timely disclose to City
all violations of federal criminal law involving fraud, bribery or gratuity violations potentially
affecting this Agreement.
14.14 Labor Standards.
14.14.1 As applicable, Developer 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. Developer 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. Developer shall maintain documentation
that demonstrates compliance with hour and wage requirements of this Contract and the HOME
Regulations. Such documentation shall be made available promptly to City for review upon
request.
14.14.2 Developer agrees that, except with respect to the rehabilitation or construction
of residential property containing less than 12 units assisted with HOME funds, all contractors
engaged under contract for construction, renovation or repair work financed in whole or in part
with assistance provided under this Contract, 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 Developer of its obligation, if any, to require payment of the higher wage. Developer
shall cause or require to be inserted in full provisions meeting the requirements of this paragraph
in all such contracts subject to such regulations.
14.14.3 If Davis -Bacon is applicable, Developer shall provide City access to employee
payrolls, contractor and subcontractor payrolls and other wage information for persons performing
construction of the Required Improvements. Payrolls must be submitted to the Neighborhood
Services Department with each Reimbursement Request, and must be available to Neighborhood
Services Department staff upon request. In addition, Developer shall ensure that City will have
access to employees, contractors and subcontractors and their respective employees in order to
conduct onsite interviews with laborers and mechanics. Developer shall inform its contractors and
subcontractors that City staff or representatives of Federal agencies may conduct periodic
employee wage interview visits during construction of the project to ensure compliance.
14.15 Subcontracting with Small and Minoritv Firms, Women's Business
Enterprises and Labor Surplus Areas.
14.15.1 For procurement contracts $50,000.00 or larger, Developer agrees to abide
by City's policy to involve Minority Business Enterprises and Small Business Enterprises 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.
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Developer agrees to incorporate the City's BDE Ordinance, and all amendments or successor
policies or ordinances thereto, into all contracts and subcontracts for procurement $50,000.00 or
larger, and will further require all persons or entities with which it so contracts to comply with said
ordinance.
14.15.2 It is national policy to award a fair share of contracts to disadvantaged
business enterprises ("DBEs"), small business enterprises ("SBEs"), minority business enterprises
("MBEs"), and women's business enterprises ("WBEs"). Accordingly, affirmative steps must be
taken to assure that DBEs, SBEs, MBEs, and WBEs are utilized when possible as sources of
supplies, equipment, construction and services.
14.15.3 In order to comply with the reporting requirements of 24 CFR Part 92.508
(a)(7)(ii), Developer must submit the form attached hereto as Exhibit "W' — MBE Reporting
Form for each contract or subcontract with a value of $25,000 or more paid, or to be paid, with
HOME funds. This form shall be submitted with the final Reimbursement Request.
14.16 Other Laws.
The failure to list any Federal, State or City ordinance, law or regulation that is applicable
to Developer does not excuse or relieve Developer from the requirements or responsibilities in
regard to following the law, nor from the consequences or penalties for Developer's failure to
follow the law, if applicable.
14.17 Assignment.
Developer 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. Any approved assignment
of this Contract shall include assumption of the HOME Loan.
14.18 Right to Inspect Developer Contracts.
It is agreed that City has the right to inspect and approve in writing, prior to any charges
being incurred, any proposed contracts between Developer and (i) its general contractor and
subcontractors, including any lower tier subcontractors engaged in any activity that is funded as
part of the construction of the Required Improvements, (ii) vendor contracts arising out of the
construction or sale of the Required Improvements, and (iii) any third party contracts to be paid
with HOME Funds.
14.19 Force Maieure.
If Developer 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, pandemics and 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
Developer'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 and the
completion date for such obligations shall be extended for a like period. Developer will give City
written notice of the existence, extent and nature of the Force Majeure Event as soon as reasonably
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possible after the occurrence of the event. Failure to give notice will result in the continuance of
Developer's obligation regardless of the extent of any existing Force Majeure Event. Developer
will use commercially reasonable efforts to remedy its inability to perform as soon as possible.
14.20 Survival.
Any provision of this Contract that pertains to the HOME Requirements, indemnity
obligations, reporting requirements, auditing, monitoring, homebuyer income eligibility, record
keeping and reports, City ordinances, the provisions of Section 6.6 pertaining to SAM, or any other
HOME Program requirements, and any default and enforcement provisions necessary to enforce
such provisions, shall survive the term or earlier termination of this Contract for 5 years after the
termination date and shall be enforceable by City against Developer.
15. INDEMNIFICATION AND RELEASE.
DEVELOPER 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 OF ANY HIND OR CHARACTER, INCLUDING BUT NOT
LIMITED TO CLAIMSFOR PROPERTY LOSS OR DAMAGE AND/OR PERSONAL
INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF WHATSOEVER
HIND 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 DESCRIBED HEREIN, WHETHER OR
NOT CAUSED IN WHOLE OR IN PART, BY ALLEGED NEGLIGENCE OF OFFICERS,
AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS OR SUBCONTRACTORS OF
CITY, AND DEVELOPER HEREBY ASSUMES ALL 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 HINDS OR CHARACTER, WHETHER REAL OR
ASSERTED, ARISING OUT OF OR IN CONNECTION WITH THE EXECUTION,
PERFORMANCE, ATTEMPTED PERFORMANCE OR NONPERFORMANCE OF THIS
CONTRACT AND AGREEMENT AND/OR THE OPERATIONS, ACTIVITIES AND
SERVICES DESCRIBED HEREIN, WHETHER OR NOT CAUSED IN WHOLE OR IN
PART BY ALLEGED NEGLIGENCE OF OFFICERS, AGENTS, SERVANTS,
EMPLOYEES, CONTRACTORS OR SUBCONTRACTORS OF CITY. DEVELOPER
FURTHER 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 DEVELOPER, ITS OFFICERS,
MEMBERS, AGENTS, EMPLOYEES, CONTRACTORS, SUBCONTRACTORS,
VENDORS, INVITEES, LICENSEES, OR PROJECT PARTICIPANTS, OR CAUSED, IN
WHOLE OR IN PART, BY ALLEGED NEGLIGENCE OF OFFICERS, AGENTS,
SERVANTS, EMPLOYEES, CONTRACTORS OR SUBCONTRACTORS OF CITY.
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IT IS THE EXPRESS INTENTION OF THE PARTIES, BOTH DEVELOPER AND
CITY, THAT THE INDEMNITY PROVIDED FOR IN THIS SECTION INCLUDES
INDEMNITY BY DEVELOPER TO INDEMNIFY AND DEFEND 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.
DEVELOPER 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.
DEVELOPER SHALL REQUIRE ALL OF ITS CONTRACTORS,
SUBCONTRACTORS AND VENDORS TO INCLUDE IN THEIR CONTRACTS AND
SUBCONTRACTS A RELEASE AND INDEMNITY IN FAVOR OF CITY IN
SUBSTANTIALLY THE SAME FORM AS ABOVE.
DEVELOPER'S SEPARATE DUTY TO DEFEND CITY SHALL BE AT
DEVELOPER'S SOLE COST BUT SHALL BE AT THE CITY'S OPTION. IN THE
EVENT THE CITY DECIDES TO PERFORM ITS OWN DEFENSE, EITHER
DIRECTLY OR BY HIRING A DEFENSE, DEVELOPER SHALL BE RESPONSIBLE
FOR ANY AND ALL FEES, COSTS, OR OTHER EXPENSES OF ANY HIND IN
CONNECTION WITH THE PROVISION OF THE DEFENSE. THE DUTY TO DEFEND
SHALL ARISE AT THE MOMENT THAT CITY OR DEVELOPER IS NOTIFIED OF A
CLAIM AGAINST CITY IS MADE IN CONNECTION WITH ANY ALLEGED ACTION,
INACTION, OCCURANCE, OR NONOCCURANCE IN CONNECTION WITH OR FOR
THE FURTHERANCE OF THE OBJECTIVES OF THIS CONTRACT.
16. WAIVER OF IMMUNITY BY DEVELOPER.
If Developer, 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, Developer hereby expressly waives its rights to plead defensively
such immunity or exemption as against City. This Section shall not be construed to affect a
governmental entity's immunities under constitutional, statutory or common law.
17. INSURANCE AND BONDING.
Developer will maintain coverage in the form of insurance or bond in the amount of
$707,430,000.00 to insure against loss from the fraud, theft or dishonesty of any of Developer's
officers, agents, trustees, directors or employees. The proceeds of such insurance or bond shall be
used to reimburse City for any and all loss of HOME Funds occasioned by such misconduct. To
effectuate such reimbursement, such fidelity coverage shall include a rider stating that
reimbursement for any loss or losses shall name City as a Loss Payee.
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Developer shall furnish to City, in a timely manner, but not later than 10 calendar days
after 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 as set forth
herein, Developer shall be in default and City may at its option terminate this Contract.
Such insurance shall cover all insurable risks incident to or in connection with the
execution, performance, attempted performance or nonperformance of this Contract. Developer
shall maintain, or require its general contractor to maintain, the following coverages and limits
thereof:
Commercial General Liabilitv (CGL) Insurance
$1,000,000 each occurrence
$2,000,000 aggregate limit
Business Automobile Liabilitv 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
$1,000,000 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 Developer's business as contracted
herein.
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
Note: Such insurance shall cover employees performing work on any and all projects
including but not limited to construction, demolition, and rehabilitation. Developer or its
contractors shall maintain coverages, if applicable. In the event the respective contractors
do not maintain coverage, Developer shall maintain the coverage on such contractor, if
applicable, for each applicable contract.
Additional Requirements
Such insurance amounts shall be revised upward at City's reasonable option and no more
frequently than once every 12 months, and Developer shall revise such amounts within 30 days
following notice to Developer of such requirements.
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Developer will submit to City documentation that it, and its general contractor, have obtained
insurance coverage and have 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.
The Workers' Compensation Insurance policy shall be endorsed to include a waiver of
subrogation, also referred to as a waiver of rights of recovery, in favor 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 Developer'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.
Developer shall require its contractors to maintain applicable insurance coverages, limits, and
other requirements as those specified herein; and, Developer shall require its contractors to provide
Developer with certificate(s) of insurance documenting such coverage. Also, Developer shall
require its contractors to have City and Developer endorsed as additional insureds (as their interest
may appear) on their respective insurance policies.
Professional Liability coverage shall be in force and may be provided on a claims made basis. This
coverage may also be referred to as Management Liability, and shall protect the insured against
claims arising out of alleged errors in judgment, breaches of duty and wrongful acts arising out of
their management duties.
Developer shall require its general contractor to maintain builders risk insurance at the value of
the construction.
18. CERTIFICATION REGARDING LOBBYING.
Developer hereby certifies, to the best of its knowledge and belief, that:
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No Federal appropriated funds have been paid or will be paid, by or on behalf of
Developer, 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, Developer 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.
Developer shall require that the language of this certification be included in all
subcontracts or agreements involving the expenditure of Federal funds.
19. RELIGIOUS ORGANIZATION.
Developer shall comply with all applicable requirements as more particularly described in
24 CFR Part 5.109. No portion of the HOME 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
HOME -funded unit.
19.1. Separation of Ewlicitly Religious Activities.
Developer retains its independence and may continue to carry out its mission, including
the definition, development practice, and expression of its religious beliefs, provided that it does
not use HOME Funds to support or engage in any explicitly religious activities (including activities
that involve overt religious content such as worship, religious instruction, or proselytization), or
in any other manner prohibited by law.
19.2 Explicitly Religious Activities.
If Developer engages in explicitly religious activities (including activities that involve
overt religious content such as worship, religious instruction, or proselytization), the explicitly
religious activities must be offered separately, in time or location, from the programs or activities
supported by HOME Funds and participation must be voluntary for clients of a HOME -funded
unit.
20. LITIGATION AND CLAIMS.
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Developer shall give City immediate notice in writing of any action, including any
proceeding before an administrative agency, filed against Developer in conjunction with this
Contract or the project. Developer shall furnish immediately to City copies of all pertinent papers
received by Developer with respect to such action or claim. Developer shall provide a notice to
City within 10 calendar days upon filing under any bankruptcy or financial insolvency provision
of law.
21. NOTICE.
All notices required or permitted by this Contract must be in writing and shall be effective
upon receipt when (i) sent by U.S. Mail with proper postage, certified mail return receipt requested
or by a nationally recognized overnight delivery service; and (ii) addressed to the other Party at
the address set out below or at such other address as the receiving Party designates by proper notice
to the sending Party.
City
City Attorney's Office
200 Texas Street
Fort Worth, TX 76102
Attention: Jessika Williams
Telephone: 817-3 92-625 9
Copy to:
Neighborhood Services Department
908 Monroe Street, Yd Floor
Fort Worth, TX 76102
Attention: Housing Development Manager
Telephone: 817-3 92-2661
Developer:
Development Corporation of Tarrant County
1509-B S. University Dr., Suite 208
Fort Worth, TX 76102
Attention: President
Telephone: 817-870-9008
22. DEVELOPER HAS LEGAL AUTHORITY TO ENTER INTO CONTRACT.
Developer 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.
23. IMMIGRATION NATIONALITY ACT.
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Developer shall verify the identity and employment eligibility of its employees who
perform work under this Contract, including completing the Employment Eligibility Verification
Form (I-9). Upon request by City, Developer shall provide City with copies of all 1-9 forms and
supporting eligibility documentation for each employee who performs work under this
Contract. Developer shall adhere to all Federal and State laws as well as establish appropriate
procedures and controls so that no services will be performed by any Developer employee who is
not legally eligible to perform such services. DEVELOPER SHALL INDEMNIFY CITY AND
HOLD CITY HARMLESS FROM ANY PENALTIES, LIABILITIES, OR LOSSES DUE
TO VIOLATIONS OF THIS PARAGRAPH BY DEVELOPER, DEVELOPER'S
EMPLOYEES, SUBCONTRACTORS, AGENTS, OR LICENSEES. City, upon written notice
to Developer, shall have the right to immediately terminate this Contract for violations of this
provision by Developer."
24. BOYCOTTING ISRAEL PROHIBITED.
If Developer is a company with 10 or more full-time employees and if this Contract is
for $100,000.00 or more, Developer acknowledges that in accordance with Chapter 2270 ofthe
Texas Government Code, City is prohibited from entering into a contract with a company for
good or services unless the contract contains a written verification from the company that it: (1)
does not boycott Israel; and (2) will not boycott Israel during the term of the contract. The Terms
"boycott Israel" and "company" shall have the meanings ascribed to those terms in Section
808.001 of the Texas Government Code. If applicable under this Contract and Developer is
considered a "company," by signing this Contract, Developer certifies that Developer's
signature provides written verification to City that Developer: (1) does not boycott Israel; and
(2) will not boycott Israel during the term of this Contract.
25. PROHIBITION ON BOYCOTTING ENERGY COMPANIES
Developer acknowledges that in accordance with Chapter 2274 of the Texas Government
Code, as added by Acts 2021, 87th Leg., R.S., S.B. 13, § 2, the City is prohibited from entering
into a contract for goods or services that has a value of $100,000 or more that is to be paid wholly
or partly from public funds of the City with a company with 10 or more full-time employees unless
the contract contains a written verification from the company that it: (1) does not boycott energy
companies; and (2) will not boycott energy companies during the term of the contract. The terms
"boycott energy company" and "company" have the meaning ascribed to those terms by Chapter
2274 of the Texas Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 13, § 2. To the
extent that Chapter 2274 of the Government Code is applicable to this Agreement, by signing this
Agreement, Developer certifies that Developer's signature provides written verification to the City
that Developer: (1) does not boycott energy companies; and (2) will not boycott energy companies
during the term of this Agreement.
26. PROHIBITION ON DISCRIMINATION AGAINST FIREARM AND
AMMUNITION INDUSTRIES
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Developer acknowledges that except as otherwise provided by Chapter 2274 of the Texas
Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 19, § 1, the City is prohibited
from entering into a contract for goods or services that has a value of $100,000 or more that is to
be paid wholly or partly from public funds of the City with a company with 10 or more full-time
employees unless the contract contains a written verification from the company that it: (1) does
not have a practice, policy, guidance, or directive that discriminates against a firearm entity or
firearm trade association; and (2) will not discriminate during the term of the contract against a
firearm entity or firearm trade association. The terms "discriminate," "firearm entity" and "firearm
trade association" have the meaning ascribed to those terms by Chapter 2274 of the Texas
Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 19, § 1. To the extent that Chapter
2274 of the Government Code is applicable to this Agreement, by signing this Agreement,
Developer certifies that Developer's signature provides written verification to the City that
Developer: (1) does not have a practice, policy, guidance, or directive that discriminates against a
firearm entity or firearm trade association; and (2) will not discriminate against a firearm entity or
firearm trade association during the term of this Agreement.
27. 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 which may be sufficiently evidenced
by one counterpart.
[SIGNATURES APPEAR ON NEXT PAGE]
CHDO SINGLE FAMILY CONTRACT Page 47
Poly Single Family Infill Project
Development Corporation of Tarrant County —1400 Wallace Street Rev. 2/21/2024
EXECUTED to be effective as of the Effective Date.
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ATTEST:
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.+�Rsi
Oaan nEX 656.0
Jannette S. Goodall,
City Secretary
M&C 21-0522
Date: 8/3/2021
M&C 21-0894
Date: 11/30/2021
M&C 22-0569
Date: 8/9/2022
M&C 23-0224
Date: 3/21/2023
1295 Cert. No.: 2023-975994
CITY OF FORT WORTH
�"-..LC,J._—
By:
Fernando Costa, Assistant City Manager
Date: Feb 22, 2024
RECOMMENDED BY:
9�
Victor Turner, Neighborhood Services Director
APPROVED AS TO FORM AND LEGALITY:
Jessika Williams, Assistant City Attorney
City of Fort Worth Agreement Compliance
Manager:
By signing I acknowledge that I am the person responsible
for the monitoring and administration of this contract, including
ensuring all performance and reporting requirements.
f-, 2A$-
Chad Lasoque (Feb 21, 202417:28 CST)
Chad LaRoque, Housing Development and Grants Manager
DEVELOPMENT CORPORATION OF
TARRANT COUNTY
By:
Charles Price, President
Date:
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
CHDO HOME CONTRACT Signature Page
Poly Single Family Infill Project
Development Corporation of Tarrant County —1400 Wallace Street
EXHIBITS:
Exhibit "A" — Project Summary — Scope of Work
Exhibit "A-1" — Final Elevations
Exhibit "A-2" — Environmental Mitigation Action
Exhibit "B" — Budget
Exhibit "C" — Construction and Reimbursement Schedule
Exhibit "D" — Audit Requirements
Exhibit "E" — Loan Documents
Exhibit "F" — Reimbursement Forms
Exhibit "G" — HOME Project Compliance Report (Single Family)
Exhibit "H" — Federal Labor Standards Provisions - Davis -Bacon Requirements
Exhibit "I" — Section 3 Reporting Forms
Exhibit "J" — Standards for Complete Documentation
Exhibit 40 — MBE Reporting Form
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
EXHIBIT "A"
PROJECT SUMMARY - SCOPE OF WORK
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
Capitalized terms not defined herein shall have meanings assigned to them in the Contract.
DESCRIPTION:
Developer will construct an approximately 1,619 square foot, 3-bedroom, 2-bath single family house on
a lot size of approximately 5,000-7,000 square feet. Construction will include an attached two -car garage,
which is not included in the square footage calculation. Fencing will be located at the rear and side yards.
Landscaping will be included in the front yard.
The construction of the house shall contain any reasonable and necessary accessibility requirements
requested by a disabled HOME Eligible Buyer. If the cost of such accessibility requirements exceeds
the Budget for the construction of the house, such additional expense shall be paid by the HOME Eligible
Buyer.
Developer must provide the demographic information on the attached Exhibit "G" HOME Project
Compliance Report.
The following appliances and related amenities will be included in the sale of the house:
• Washer and Dryer hookups
• Central Air Conditioning and Heating
• Stove
• Oven
• Dishwasher
• Vent -a -hood
• Garbage Disposal
• Electric Garage Door with Remote
• Mailbox located at door
• Refrigerator is not required to be furnished by Developer
The following materials shall be used for the construction of the house:
• Fence (back yard)
• Landscaping (front)
• Roofing Materials 3 TAB 25 YR
• Siding (percentage) 100%
• Foundation Type Post Tension
• HVAC 15 Seer Heat Pump
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
EXHIBIT "A-1"
FINAL ELEVATIONS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
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7ri
Dimensioned Floor Plan Nob d Floor Wan
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CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street
Rev 2/21/2024
P116dECT DATA
NEW OHLE FAMI LY RLSIDENCE
SCIUAAE FEET :[TAILS:
GdRA&E 451 SOFT
FRONT PO4CH 75 Da F'
BXk PORCH I 4B S= F'
LIVING SPACES ijm91FT
TOTAL I ZIN SO FC
_-.. -:I---------------
-77
W(l]rf'V3-=h�1 f7 (Tl ITI Il Ill ITI.. _
_ _ i...T......... ...... ... �r>
41 F!i¢rt Elevation
31Bad E3evaYon
V♦ I�r-1- - - - - - I�i��lril'. i ill •�
•+tiw iTr=iTr � r "'''�s��il d eri'-r i i i 1 i-r_i r r i r rTr-iTr�r� � �a .,..��
LeR Eevaton F,: E e-,avon
2 ... T
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street
Rev 2/21/2024
EXHIBIT "A-2"
ENVIRONMENTAL MITIGATION ACTION
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
HOME Funds may be reimbursed for exempt activities; however, HOME funds will not be
paid, and costs cannot be incurred, until City has conducted and completed an
environmental review of the proposed project site as required under 24 CFR Part 58. The
environmental review may result in a decision to proceed with, modify, or cancel the project.
Further, Developer will not undertake or commit any funds to physical or choice limiting
actions, including property acquisition, demolition, movement, rehabilitation, conversion,
repair or construction until satisfactory completion of environmental review and receipt by
City of an authorization to use grant funds from HUD under 24 CFR Part 58.
Special conditions, procedures, and requirements identified for the project may include and
are not limited to mitigation of any adverse effects identified by the environmental review
process. The special conditions, procedures, and requirements may differ and are subject to
approval by City and HUD.
Environmental Mitigations are as follows:
Noise Abatement Control
Before construction can begin, Developer must supply one of the following to City:
1) Certification from a qualified acoustical engineer that the construction materials used will
bring the interior noise level down to below 45 dB, or
2) The information required to fill out HUD's STraCAT tool, in order for City to calculate
the degree to which the construction materials/design will reduce interior noise and verify
that they meet HUD's standards.
Once City confirms that interior noise will be reduced to an acceptable level, construction may
proceed.
Vegetation and Wildlife
During construction, all active nests should be avoided, and if found, a biologist with the United
States Fish and Wildlife Service (USFWS) must be notified. No trees or bushes that have active
nests in them may be cut down without first consulting with the USFWS, who will then
determine if onsite assessment from a qualified biologist is necessary.
City will provide Developer the executed environmental review record and certifications.
Developer agrees to abide by the special conditions, procedures, and requirements of the
executed environmental review certification approved by HUD.
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
EXHIBIT "B"
BUDGET
DEVELOPMENT CORPORATION OF TARRANT COUNT
1400 Wallace Street
Total Cost: $ 289,545.07
Project HOME Funds Awarded: $175,230.00
HOME Funds will be paid only as reimbursement for eligible expenses.
Development Budget
DCTC Funded
Cost
Total Cost
HOME Funding
Proceeds
through Non-
Bank Loan
MATCH
Federal
Sources
Acquisition Cost of Land
Acquisition Costs
$23,815.07
$0.00
$0.00
$0.00
$23,815.07
Testing/Tap Fees 2
$0.00
Construction Costs
SITE PREP-Grading/Temp Power/Port-a-John,
$3,000.00
and landscaping
$7,500.00
$4,500.00
General Req: Plans, Permits, engineering fees I
$5,500.00
$5,500.00
0.00
CONC-TURNKEY I
$27\\360.00
$27,360.00
0.00
CONC-FLATWORKTKY-Approach/Sidewalk I
$5,650.00
$5, 50.06
FRAMING PACKAGE -TURNKEY -framing
labor/material and Brick labor/material
$59,470.00
$59,470.00
PLUMBING-TUNKEY/Rough, Final, Fixtures,
$3,200.00
Disposal
$18,200.00
$15,000.00
HVAC-TURNKEY-2 ton unit I
$16,550A
$5,500.00
$11,050.00
ELECTRICAL-TURNKEY/wiring, service panel,
$5,750.00
fixtures, LED can lights, smike and CO2 Alarms
$15,750.00
$10,000.00
Roofing - TURNKEY -Arch. Shingles I
$e16 4400.00
$16\\400.00
$0.00
WINDOWS/EXTERIOR DOORS I
gso.00
$5\\000.00
4,750.00
INSULATION -SPRAY FOAM/Entire House I
$9,600.00
$5,600.00
4,000.00
15,450.00
DRYWALL,S/R & TBT TKY I
$10,450A
$5,000.00
INTERIOR FINISHES -Interior Doors, door knobs,
baseboards, casings, closet shelving,flooring,
interior paint,tile, and carpentry work
CABINETS -Kitchen and bath cabinets, granite
countertops, and backsplash
APPLIANCES
PAINTING -Exterior
Total Construction Costs
Other Fees
Green Components
Construction Manaqement Fee
Additional Permit Fees
Subsidy Amount Per unit (aavA 3rd Lien)
Total Other Owner Costs, holding cost,
property taxes, etc.
Tota
$12,300.00
$25,300.00 $13,000.00
$9,650.00 $0.00 $9,650.00
$3,500.00 $0.00 V,500.00
a,, inn nn an nn c inn nn
245 730.00 $172,330.001 $0.0010.00 73 400.00 0.00
$ 15,600.00
$ -
$
$ 3,100.00
$ 12,500.00
$ 44,231.00
$1,500.00
$0.00
$0.00
$1,500.00
$0.00
$
$289,545.071
$175,230.001
$0.001
$1,500.001
$100,315.071
$56,731.00
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street
Rev 2/21/2024
EXHIBIT "C"
CONSTRUCTION AND REIMBURSEMENT SCHEDULE
DEVELOPMENT CORPORATION OF TARRANT
COUNTY
1400 Wallace Street
Phase
Activity
Beginning Week — subject to
weather permitting
PHASE I ACTIVITIES:
Contract signed
Land and/or Building Acquisition
Site Preparation
Architectural & Engineering Fees
Appraisal, Bond, Market Study
Construction costs
50% Completion of Project
PHASE I DEADLINE:
FIRST PAYMENT
August 2024
July 31 2024
PHASE II ACTIVITIES:
Construction costs
Construction loan interest
Soft costs (utilities, security)
100% Completion of Project
PHASE 11 DEADLINE:
FINAL PAYMENT**
February 2025
January 31, 2025
CONSTRUCTION TOTAL
$289,545.07
DEVELOPER FEE
Paid after closing of sale to HOME
$43 431.76
Eligible Buyer per Section 7.8*
(15% of total eligible development costs)
PROJECT HOME FUNDS
$175,230.00
AWARDED
*Developer will be reimbursed for eligible expenses only. All amounts are estimates and are subject to change.
** Exhibit "G" - HOME Project Compliance Report must be submitted prior to reimbursement for Construction Final Payment,
Construction Final
Payment will not be made after closing of sale to the Eligible HOME Buyer.
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street
Rev 2/21/2024
EXHIBIT "D"
AUDIT REQUIREMENTS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
Not Applicable
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
EXHIBIT "E"
DRAFT LOAN DOCUMENTS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
PROMISSORY NOTE
HOME Funds
Date:
Borrower: Development Corporation of Tarrant County, a Texas non-profit corporation
Borrower's Mailing Address:
1509-B S. University Dr., Suite 208 Fort Worth, Tarrant County, TX 76107
Lender: City of Fort Worth, Texas, a Texas municipal corporation
Place for Payment:
C/O Director of Neighborhood Services Department
200 Texas St.
Fort Worth, Tarrant County, TX 76102
or at any other place that Lender may designate in writing
Principal Amount: $175,230.00
Loan Authority:
The loan evidenced by this Note (the "Loan") is being made pursuant to the HOME
Investment Partnerships Program authorized under Title II of the Cranston -Gonzalez
National Affordable Housing Act of 1990, as amended, 42 USC 12701 et seq. ("HOME
Program") and the HOME Investment Partnerships Program Final Rule, as amended, 24
CFR Part 92 et seq. (the "HOME Regulations") with HOME funds.
Annual Interest Rate: 0%
Maturity Date: Three years following the execution of the HOME Contract
Terms of Payment (principal and interest):
This Note is the Promissory Note required in City Secretary Contract No. 56986 between
Borrower and Lender of even date herewith and has been executed and delivered in accordance
with that contract (collectively, the "HOME Contract"). The funds provided by Lender are HOME
funds and the Contract requires that the houses located on the Property and constructed with a
portion of the HOME funds must qualify and remain affordable housing in accordance with the
HOME Program and the HOME Regulations for a specified time period as more particularly
described in the Contract (the "Affordability Period"). The Loan will be in default and the
Principal Amount and any other sums due hereunder may be declared immediately payable if all
of the houses constructed on the Property are not sold to HOME Eligible Buyers as more
particularly described in the Contract and in accordance with the HOME Regulations.
This Note is subject to all terms and conditions of the Contract. The Loan will be forgiven
provided that (i) the house is sold to a HOME Eligible Buyer in accordance with HOME Program
requirements, and (ii) Borrower is not otherwise in default of the Loan terms or Contract
provisions. In the event the Loan is not forgiven in accordance with the terms of the Contract, the
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
Principal Amount will be payable in full on the Maturity Date.
Security for Payment:
This Note is secured by a Deed of Trust of even date from Borrower to Denis McElroy,
Trustee, which covers the following real property:
SEE EXHIBIT "A" ATTACHED HERETO AND INCORPORATED HEREIN FOR ALL
PURPOSES
Other Security for Payment: As set forth in the Contract.
Prior Liens
The lien securing this Note is subordinate to the lien securing another note in the original principal
amount of $100,315.07 dated May 1, 2023, executed by Borrower, payable to Veritex
Community Bank, a Texas banking association ("First Lien Note"), and described in a deed of
trust of even date to Clay Riebe, Trustee, recorded in the Real Property Records, Tarrant County,
Texas. The Deed of Trust securing this Note is and shall be subject and subordinate in all respects
to the liens, terms, covenants and conditions of the deed of trust or mortgage securing the First
Lien Note. The rights and remedies of the payee and each subsequent holder of this Note and the
Deed of Trust securing this Note are subject to the liens, terms, covenants and conditions of the
deed of trust or mortgage securing the First Lien Note. If there is a default in payment of any part
of principal or interest of the First Lien Note or a breach of any covenants contained in any
instruments securing it, the debt evidenced by this Note will immediately become payable at the
option of lender. If Borrower fails to perform any of Borrower's obligations in the First Lien Note
or in any instruments securing it, Lender may perform those obligations and be reimbursed by
Borrower on demand, at the Place for Payment for any amounts advanced, including attorney's
fees, plus interest on those amounts from the date of payment at the Annual Interest Rate on
Matured, Unpaid Amounts. The amount to be reimbursed will be secured by all instruments
securing this Note.
Borrower promises to pay to the order of Lender the Principal Amount if not otherwise
forgiven. 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, unless otherwise extended as provided for in the
Contract. After maturity, Borrower promises to pay any unpaid principal balance.
If Borrower defaults in the payment of this Note or in the performance of its obligations
under the Contract or the HOME Program or the HOME Regulations or any other obligation in
any instrument securing or collateral to this Note, Lender may declare the unpaid principal balance,
and any other amounts owed on the Note immediately due. 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 30 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
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
of any of the Loan documents, prior to exercising any remedies, Lender shall give Borrower written
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.
Notices given to Borrower shall be in writing and delivered to the addresses listed above,
or to such other address as Borrower designates by written notice to Lender. Each such notice or
other communication shall be effective upon receipt when sent by U. S. Mail, postage prepaid and
by certified mail, return receipt requested; or by a nationally recognized overnight delivery service.
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. Borrower will pay
Lender these expenses and interest on demand at the Place for Payment. These expenses will
become part of the debt evidenced by the Note and will be secured by any security for payment.
Borrower may prepay this Note at any time before the Maturity Date without penalty or
premium so long as the houses located on the Property and constructed with a portion of the HOME
Funds qualify and remain affordable housing in accordance with the HOME Program and the
HOME Regulations for the applicable Affordability Period specified in the Contracts.
Interest on the debt evidenced by this Note will not exceed the maximum rate or amount
of non -usurious 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.
A default exists under this Note if (1) (a) Borrower or (b) any other person liable on any
part of this Note (an "Other Obligated Party") fails to timely pay or perform any obligation or
covenant in any written agreement between Lender and Borrower or such Other Obligated Party;
(2) any warranty, covenant, or representation in this Note or in any other written agreement
between Lender and Borrower or any Other Obligated Party is materially false when made; (3) a
receiver is appointed for Borrower, any Other Obligated Party, or any property on which a lien or
security interest is created as security (the "Collateral Security") for any part of this Note; (4) any
Collateral Security is assigned for the benefit of creditors; (5) a bankruptcy or insolvency
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
proceeding is commenced by Borrower or an Other Obligated Party; (6) (a) a bankruptcy or
insolvency proceeding is commenced against Borrower or an Other Obligated Party and (b) the
proceeding continues without dismissal for 90 days, the party against whom the proceeding is
commenced admits the material allegations of the petition against it, or an order for relief is
entered; (7) any of the following parties is dissolved, begins to wind up its affairs, is authorized to
dissolve or wind up its affairs by its governing body or persons, or any event occurs or condition
exists that permits the dissolution or winding up of the affairs of any of the following parties: (i)
Borrower, or (ii) an Other Obligated Party; and (8) any Collateral Security is materially impaired
by loss, theft, damage, levy and execution, issuance of an official writ or order of seizure, or
destruction, unless it is promptly replaced with insurance proceeds, collateral security of like kind
and quality or restored to its former condition.
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.
[SIGNATURE PAGES IMMEDIATELY FOLLOW]
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
DEVELOPMENT CORPORATION OF TARRANT
COUNTY
Charles Price, President
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
EXHIBIT "A"
Property Description
Being the South 70' of Lots 1, 2, and 3, of Block 22, The Polytechnic Heights Addition, an
Addition to the City of Fort Worth, Tarrant County, Texas, according to the Plat thereof
recorded in Volume 63, Page 109, Map Records, Tarrant County, Texas (M.R.T.C.T.) and
being the same land described in deed to Melvin Harper Jr., recorded in Instrument No,
D216158600, Deed Records, Tarrant County, Texas (D.R.T.C.T.) and being more
particularly describes as follows:
BEGINNING at a 1/2 inch iron rod found at the intersection of the North line of an alley and
the West line of Wallace Street, at the Southeast corner of the said Harper tract; THENCE
South 89 degrees 34 minutes 57 seconds West, with the said North line of an alley, a distance
of 150.00 feet to a V2 iron rod found at the common Southwest corner of said Lot 3; THENCE
North 00 degrees 25 minutes 03 seconds West, a distance of 70.00 feet to a 1/2 inch iron rod
found for corner in the East line of Lot 4R, Block 19 of the Polytechnic Heights Addition,
recorded in Instrument No. D217250539 (D.R.T.C.T.), at the Southwest corner of that
portion of said Lot 3, described in deed to Lieu Thi Nguyen and Su Kim Nguyen, recorded
in Instrument No. D202120079 (D.R.T.C.T.); THENCE North 89 degrees 34 minutes 57
seconds East, a distance of 150.00 feet to a 1/2 inch iron rod found for corner in the said West
line of Wallace Street, at the Southeast corner of the said Nguyen tract; THENCE South 00
degrees 25 minutes 03 seconds East, a distance of 70.00 feet to the PLACE OF BEGINNING
and containing 10,500 square feet or 0.24 of an acre of land.
Commonly known as 1400 Wallace Street Fort Worth, TX, 76105
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
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:
Grantor: Development Corporation of Tarrant County
a Texas non-profit corporation.
Grantor's Mailing Address:
1509-B S. University Dr., Suite 208, Fort Worth, Tarrant County, TX 76107
Trustee: Denis McElroy
Trustee's Mailing Address:
C/O City Attorney's Office
200 Texas St.
Fort Worth, Tarrant County, TX 76102
Lender: City of Fort Worth, Texas, a Texas municipal corporation
Lender's Mailing Address:
C/O Neighborhood Services Department
200 Texas Street
Fort Worth, Tarrant County, TX 76102
Loan Authority:
The loan evidenced by the Note and secured by this Deed of Trust is being made pursuant
to the HOME Investment Partnerships Program authorized under Title II of the Cranston -
Gonzales National Affordable Housing Act of 1990, as amended, 42 USC 12701 et seq.
(the "HOME Program") and the HOME Investment Partnership Program Final Rule, as
amended, 24 CFR Part 92 et seq. (the "HOME Regulations") with HOME funds.
Obligation
Note
Date: Even date herewith
Original principal amount: $175,230.00
Borrower: Development Corporation of Tarrant County, a Texas non-profit
corporation
Lender: City of Fort Worth, Texas, a Texas municipal corporation
Maturity Date: Three years after the execution of the Contract
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
Property (including any improvements):
SEE EXHIBIT "A" ATTACHED HERETO AND INCORPORATED HEREIN FOR ALL
PURPOSES
Prior Lien:
The lien created by this Deed of Trust will be subordinate to the lien securing payment of
a note, and any renewals, extensions, and modifications thereof, in the original principal amount
of $100,315.07 dated May 1, 2023, executed by Borrower, payable to Veritex Community Bank,
a Texas banking association ("First Lien Note"), and more fully described in a deed of trust
recorded in the Real Property Records of Tarrant County, Texas.
Subject to waiver, notice, grace and cure period, if any, if default occurs in payment of any
part of principal or interest of the First Lien Note or in observance of any covenants of the deed of
trust or other loan documents securing it, the entire debt secured by this Deed of Trust will
immediately become payable at the option of Lender.
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 payment of the Obligation and all other
amounts secured by this Deed of Trust, 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 —
I. keep the Property in good repair and condition;
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, in a form acceptable to Lender, an insurance policy that
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a. covers all improvements for their full insurable value as determined when
the policy is issued and renewed, unless Lender approves a smaller amount
in writing;
b. contains an 80 percent coinsurance clause;
C. provides all-risk coverage;
d. protects Lender with a standard mortgage clause;
e. provides flood insurance at any time the Property is in a flood hazard area;
and
f. contains such other coverage as Lender may reasonably require;
5. comply at all times with the requirements of the 80 percent coinsurance clause;
6. deliver the insurance policy to Lender within ten days of the date of this Deed of
Trust and deliver renewals to Lender at least fifteen days before expiration;
7. obey all laws, ordinances, and restrictive covenants applicable to the Property;
8. keep any buildings occupied as required by the insurance policy;
9. 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,
10. notify Lender of any change of address.
B. Lender's Rights
1. Lender 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 insurance policy 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.
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5. If Grantor fails to perform any of Grantor's obligations, 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 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.
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 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
I. 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;
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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.
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
CHDO SINGLE FAMILY CONTRACT
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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 non -usurious 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 excess interest 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.
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. This Deed of Trust binds, benefits, and may be enforced by the successors in
interest of all parties.
13. If Grantor and Borrower are not the same person, the term Grantor includes
Borrower.
14. 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.
15. 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.
16. 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.
17. The term Lender includes any mortgage servicer for Lender.
CHDO SINGLE FAMILY CONTRACT
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18. Grantor represents that this Deed of Trust and the Note are given for the following
purposes:
The debt evidenced by the Note is in payment of the development costs of the Required Improvements as described in the
Contract; the debt is secured by this Deed of Trust.
19. 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.
20. Lender may declare the debt secured by this Deed of Trust immediately payable
and invoke any remedies provided in this Deed of Trust for default if Grantor transfers any of the
Property to a person who is not a permitted transferee without Lender's prior written consent.
"Permitted transferee" means any other person controlling, controlled by, or under common
control with Grantor. Lender shall not exercise this option if federal law as of the date of this Deed
of Trust prohibits such exercise.
21. THIS CONVEYANCE IS MADE AND ACCEPTED SUBJECT TO THE
FOLLOWING CONDITIONS AND RESTRICTIONS:
The Note is the Note required in City Secretary Contract No. 56986 between
Grantor and Lender of even date and has been executed and delivered in accordance with
that contract (the "Contract"). The funds provided by Lender are HOME funds and the
Contract requires that the residential housing located on the Property and constructed with
a portion of the HOME funds must qualify and remain affordable housing in accordance
with the HOME Program and the HOME Regulations for a specified time period as more
particularly described in the Contract (the "Affordability Period"). 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 residential
housing located on the Property is not sold to a HOME Eligible Buyer as more particularly
described in the Contract and the HOME Regulations.
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 of Grantor's
obligations under the terms of the Contract or the HOME Program or HOME 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.
22. THE CONTRACT, 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.
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Polytechnic Single -Family Infill Project
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DEVELOPMENT CORPORATION OF TARRANT
COUNTY
Charles Price, President
STATE OF TEXAS
COUNTY OF TARRANT
This instrument was acknowledged before me on , 2023 by Charles
Price, the President of Development Corporation 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 Neighborhood Services Department
200 Texas St.
Fort Worth, Tarrant County, TX 76102
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
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EXHIBIT "A"
Property Description
Being the South 70' of Lots 1, 2, and 3, of Block 22, The Polytechnic Heights Addition, an
Addition to the City of Fort Worth, Tarrant County, Texas, according to the Plat thereof
recorded in Volume 63, Page 109, Map Records, Tarrant County, Texas (M.R.T.C.T.) and
being the same land described in deed to Melvin Harper Jr., recorded in Instrument No,
D216158600, Deed Records, Tarrant County, Texas (D.R.T.C.T.) and being more
particularly describes as follows:
BEGINNING at a 1/2-inch iron rod found at the intersection of the North line of an alley and
the West line of Wallace Street, at the Southeast corner of the said Harper tract;
THENCE South 89 degrees 34 minutes 57 seconds West, with the said North line of an alley,
a distance of 150.00 feet to a'/2 iron rod found at the common Southwest corner of said Lot
3;
THENCE North 00 degrees 25 minutes 03 seconds West, a distance of 70.00 feet to a 1/2-inch
iron rod found for corner in the East line of Lot 4R, Block 19 of the Polytechnic Heights
Addition, recorded in Instrument No. D217250539 (D.R.T.C.T.), at the Southwest corner of
that portion of said Lot 3, described in deed to Lieu Thi Nguyen and Su Kim Nguyen,
recorded in Instrument No. D202120079 (D.R.T.C.T.);
THENCE North 89 degrees 34 minutes 57 seconds East, a distance of 150.00 feet to a 1/2-
inch iron rod found for corner in the said West line of Wallace Street, at the Southeast corner
of the said Nguyen tract;
THENCE South 00 degrees 25 minutes 03 seconds East, a distance of 70.00 feet to the PLACE
OF BEGINNING and containing 10,500 square feet or 0.24 of an acre of land.
Commonly known as 1400 Wallace Street, Fort Worth TX 76105
CHDO SINGLE FAMILY CONTRACT
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EXHIBIT "F"
REIMBURSEMENT FORMS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
INVOICE
DEVELOPMENT CORPORATION OF TARRANT
Developer: COUNTY
Address: 1509 S University Drive, Ste. B-208
City, State, Zip: Fort Worth, TX 76107
Project: Polytechnic Single -Family Infill Project
Tax ID Number
Phase Number:
Amount
This Invoice Cumulative to Date
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street
Rev 2/21/2024
Developer:
Proj ect:
ATTACHMENT II
Expenditure Worksheet
Development Corporation of Tarrant County
Polytechnic Single -Family Infill Project
Line No. Date Check No. Payee or Beneficiary* Description* Amount
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
Total
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street
Rev 2/21/2024
EXHIBIT "G"
HOME PROJECT COMPLIANCE REPORT (SINGLE FAMILY)
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
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CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
EXHIBIT "H"
FEDERAL LABOR STANDARDS PROVISIONS - DAVIS BACON REQUIREMENTS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
Not Applicable
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
EXHIBIT "I"
SECTION 3 REPORTING FORMS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
Section 3 Summary Report U.S Department of Housing
Economic Opportunities for and Urban Development
Low— and Very Low -Income Persons Office of Fair Housing
And Equal Opportunity
Section back of page for Public Reporting Burden statement
1 Recipient Name &Address (street, city, state, zip) j 2 Federal Identification (grant no
II4 Contact Person
' 5 Length of Grant
EXHIBIT "I"
OMB Approval No: 2529-0043
(exp. 1113012010)
HUD Field Office
3 Total Amount of Award
5 Phone (Include area code)
7 Reporting Period
8 Date Report' Submitted '9 Program Code (Use separate sheet 1 O Program Name
for each program code)
Part I: EmployTnt and Training (— Columns B, C and F are manda ory fields. Include New Hires in E &F)
AA B L D E
Numberof Numberof New %0 are
Number %ofTotal Staff Hours
Job Category New Hires 'H r that ere of Staff Hours of New Hires for Section 3 Employees
Sec 3 Residents that are Sec 3 Residents and Trainees
Professionals
Technicians
Office/Clerical
Construction by Trade (List)
Trade
Trade
Trade
Trade
Trade
Other (List)
Total
'Program Codes 3= Public/Indian Housing 4= Homeless Assistance
1 =Flexible Subsidy A=Development, 5=HOME
2 =Section 202/811 B = Operation 6 = HOME State Administered
C = Modernization 7 = CDBG Entitlement
Page 1 of 2
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street
F
Numberof Section 3
Tidiness
8 = CDBG State Administered
9 = Other CD Programs
10 = Other Housing Programs
form HUD 60002 (6/2001)
Ref 24 CFR 135
Rev 2/21/2024
Part II: Contracts Awarded
1 Construction Contracts:
A. Total dollar amount of all contracts awarded on the project
B. Total dollar amount ofcontracts awarded to Section 3 businesses
C. Percentage of the total dollar amount that was awarded to Section 3 businesses
D. Total number of Section 3 businesses receiving contracts
2. Non -Construction Contracts:
A Total dollar amount all non -construction contracts awarded on the projectlactivity
B. Total dollar amount of non -construction contracts awarded to Section 3 businesses
C. Percentage of the total dollar amount that was awarded to Section 3 businesses
D. Total number of Section 3 businesses receiving non -construction contracts
Part III: Summary
Indicate the efforts made to direct the employment and other economic opportunities generated by HUD financial assistance for housing
and community development programs, to the greatest extent feasible, toward low -and very low-income persons, particularly those who
are recipients of government assistance for housing (Check all that apply )
Attempted to recruit low-income residents through. local advertising media, signs prominently displayed at the project site,
contracts with the community organizations and public or private agencies operating within the metropolitan area (or
nonmetropolitan county) in which the Section 3 covered program or project is located, or similar methods
Participated in a HUD program or other program which promotes the training or employment of Section 3 residents
Participated in a HUD program or other program which promotes the award of contracts to business concerns which meet the
definition of Section 3 business concerns.
Coordinated with Youthbuild Programs administered in the metropolitan area in which the Section 3 covered project is located
Other, describe below
Public reporting for this collection of information is estimated to average 2 hours per response, including the time for reviewing instructions,
searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information.
This agency may not collect this information, and you are not required to complete this form, unless it displays a currently valid OMB
number
Section 3 ofthe Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u, mandates that the Department ensures that
employment and other economic opportunities generated by its housing and community development assistance programs are directed
toward low- and very -low income persons, particularly those who are recipients of government assistance housing. The regulations are
found at 24 CFR Part 135 The information will be used by the Department to monitor program recipients' compliance with Section 3, to
assess the results of the Department's efforts to meet the statutory objectives of Section 3, to prepare reports to Congress, and by
recipients as self -monitoring tool The data is entered into a database and will be analyzed and distributed The collection of information
involves recipients receiving Federal financial assistance for housing and community development programs covered by Section 3. The
information will be collected annually to assist HUD in meeting its reporting requirements under Section 808(e)(6) of the Fair Housing Act
and Section 916 of the HCDA of 1992. An assurance of confidentiality is not applicable tothis form The Privacy Act of 1974 and OMB
Circular A-108 are not applicable The reporting requirements do not contain sensitive questions Data is cumulative, personal identifying
information is not included.
Pag e 2 of 2 form HUD 60002 (11 /2010 )
Ref 24 CFR 135
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
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Form HUD-60002, Section 3 Summary Report, Economic Opportunities for Low- and Very Low -Income Persons
Instructions: This form is to be used to report annual
8. Program Code: Enter the appropriate program code as listed at
accomplishments regarding employment and other economic
the bottom ofthe page.
opportunities provided to low- and very low-income persons under
9 Program Name Enter the name of HUD Program corresponding
Section 3 ofthe Housing and Urban Development Act of 1968. The
with the "Program Code" in number 8.
Section 3 regulations apply to any public and Indian housing
programsthat receive: (1) development assistance pursuant to
Part I: Employment and Training Opportunities
Section 5 ofthe U.S Housing Ad of 1937, (2) operating assistance
Column A: Contains various job categories. Professionals are
pursuant to Section 9 ofthe U.S. Housing Act of 1937, or (3)
defined as people who have special knowledge of an occupation (i.e.
modernization grants pursuantto Section 14 ofthe U.S. Housing Act
supervisors, architects, surveyors, planners, and computer
of 1937 and to recipients of housing and community development
programmers) For construction positions, list each trade and provide
assistance in excess of $200,000 expended for (1) housing
data in columns B through F for each trade where persons were
rehabilitation (including reduction and abatement of lead -based paint
employed. The category of "Other" includes occupations such as
hazards); (2) housing construction; or (3) other public construction
service workers.
projects, and to contracts and subcontracts in excess of$100,000
Column B: (Mandatory Field) Enter the number of new hires for
awarded in connection with the Section-3-covered activity.
each category of workers identified in Column A in connection with
Form HUD-60002 has three parts, which are to be completed for
this award. New hire refers to a person who is not on the contractor's
all programs covered by Section 3 Part I relates to employment
or recipient's payroll for employment at the time of selection for the
and training. The recipient has the option to determine numerical
Section 3 covered award or at the time of receipt of Section 3 covered
employmentftraining goals either on the basis ofthe number of hours
assistance.
worked by new hires (columns B, D, E and F). Part 11 ofthe form
Column C: (Mandatory Field) Enter the number of Section 3 new
relates to contracting, and Part III summarizes recipients' efforts to
hires for each category of workers identified in Column A in
comply with Section 3
connection with this award. Section 3 new hire refers to a Section 3
Recipients or contractors subject to Section 3 requirements must
resident who is not on the contractor's or recipient's payroll for
maintain appropriate documentation to establish that HUD financial
employment at the time of selection for the Section 3 covered award or
assistance for housing and community development programs were
at the time of receipt of Section 3 covered assistance.
directed toward low- and very low-income persons.' A recipient of
Column D: Enter the percentage of all the staff hours of new hires
Section 3 covered assistance shall submit one copy ofthis reportto
(Section 3 residents) in connection with this award.
HUD Headquarters, Office of Fair Housing and Equal Opportunity
Column E: Enter the percentage ofthe total staff hours worked for
Where the program providing assistance requires an annual
Section 3 employees and trainees (including new hires) connected
performance report, this Section 3 report is to be submitted at the
with this award. Include staff hours for part-time and full-time
same time the program performance report is submitted. Where an
positions.
annual performance report is not required, this Section 3 report is to be
Column F: (Mandatory Field) Enter the number of Section 3
submitted by January 10 and, if the project ends before December 31,
residents that were trained in connection with this award.
within 10 days ofproject completion. Only Prime Recipients are
Part 11. Contract Opportunities
required to report to HUD. The report must include
Block 1: Construction Contracts
accomplishments of all recipients and their Section 3 covered
Item A: Enter the total dollar amount of all contracts awarded on the
contractors and subcontractors.
project/program.
HUD Field Office: Enter the Field Office name .
Item B: Enter the total dollar amount of contracts connected with this
1. Recipient Enter the name and address of the recipient
projectiprogram that were awarded to Section 3 businesses
submitting this report.
Item C: Enter the percentage ofthe total dollar amount of contracts
2. Federal Identification: Enter the number that appears on the
connected with this project/program awarded to Section 3 businesses.
award form (with dashes). The award may be a grant,
Item D: Enter the number of Section 3 businesses receiving awards.
cooperative agreement or contract
Block 2: Non -Construction Contracts
3. Dollar Amount of Award Enter the dollar amount, rounded to the
Item A: Enter the total dollar amount of all contracts awarded on the
nearest dollar, received by the recipient.
projectiprogram.
4 & 5. Contact Person/Phone: Enter the name and telephone number
Item B: Enter the total dollar amount of contracts connected with this
ofthe person with knowledge ofthe award and the recipient's
project awarded to Section 3 businesses
implementation of Section 3
Item C: Enter the percentage ofthe total dollar amount of contracts
6. Reporting Period: Indicate the time period (months and year)
connected with this project/program awarded to Section 3 businesses.
this report covers
Item D: Enter the number of Section 3 businesses receiving awards
7. Date Report Submitted Enter the appropriate date
PartIII: Summary of Efforts —Self-explanatory
Submit one (1) copy of this report to the HUD Headquarters Office of
Fair Housing and Equal Opportunity, at the same time the The Secretary may establish income ceilings higher or lower than 80 percent
performance report is submitted to the program office. The Section 3 ofthe median for the area on the basis ofthe Secretary's findings such that
report is submitted by January 10. Include only contracts executed variations are necessary because of prevailing levels of construction costs
during the period specified in item 8. PHAsiIHAs are to report all or unusually high- or low-income families Very low-income persons mean
contracts/subcontracts low-income families (including single persons) whose incomes do not
exceed 50 percent ofthe median family income area, as determined by the
* The terms "low-income persons' and very low-income persons" have Secretary with adjustments or smaller and larger families, except that the
the same meanings given the terms in section 3 (b) (2) ofthe United Secretary may establish income ceilings higher or lower than 50 percent of
States Housing Act of 1937 Low-income persons mean families the median for the area on the basis ofthe Secretary's findings that such
(including single persons) whose incomes do not exceed 80 percent of variations are necessary because of unusually high or low family incomes
the median income for the area, as determined by the Secretary, with
adjustments for smaller and larger families, except that
Page firm HUD 60002 (11/2010)
Ref 24 CFR 135
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street
Rev 2/21/2024
EXHIBIT "J"
STANDARDS FOR COMPLETE DOCUMENTATION
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
FORTWORTH
Standard of Documentation for Reimbursement of Development Costs
Cost Type
Documentation .SU nclard
Acquisition of Real Property
- Notice to Seller (date must be on or before the date of options agreement
or sales contract and signed by the buyer and seller)
• Recorded Deed of Trust
• Purchase Agreement w/ Required HUD language
• MasterSettlement StatementfHUC-'-
' Appraisal or other docume-t .,se: c e o asE pricy
- Proof ofPayment(Le., :s_3==r.e.._.`_.._v , =.I .
- Verification of Vacant Sta=.,s ;as 5 p v c3:ly
Pre-DevelopmentandSoft
- InvoiceshouIdinclude=
Casts (Architect, Engineer,
■ date, -
La ndsca pe Design Surveys,
■ company's letterhead, -
Appraisals, Environmental, Legal
■ address for which service is provided;
Fees, Other Consultants, Etc.)
■ description of service(s) and item(s);
■ a mount for itemized services; and
■ total amount
• Proof of Payment (i.e., bank statement or ca n cel led ch eck)
• Fully executed contract/service agreements/letter agreements and
applicable amendments
o Provide printoutfromwww.sarn.jzovverifying
contractor/subcontractor is not listed on the debarred and
suspension list
• If only a portion is being paid with City funds, then show calculation and
documentation of haw costs areaIIocated.
Neighboiiiood Services
FINAL as of 6/21 /2017
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street
Page 1
Rev 2/21/2024
FORTWORTH,.)
Standard of Documentation for Reimbursement of Development Casts
Constriction Costs
Invoiceshould include:.
(Contractors & Subcontractors}
■ date;
■ company's letterhead;
■ address for which service is provided;
■ description of service(s) and item(s);
■ amount for itemized services; and
■ total amount
- Proof of Payment(i.e., bank state m e nt or can cel I ed check)
• Copy of applicable inspection report(s) conducted by NSa Inspector
• Copy of executed agreements
■ Provide printout from www_sam_eovverifying
contractor (subcontractor is not listed on the debarred and
suspension list
If only a portion is being paid with City funds, then show calculation and
documentation of how costs are allocated_
Forpaymentof final retainageforthe p ri me contra cto r, provide lien
waivers for the prime and all subcontractors_
• List of subcontractors
Materials Purchased by Developer
Invoice should include:
(if applicable)
■ date;
■ company's letterhead;
■ address for which service is provided;
■ description of service(s) and item(s);
■ a mount for itemized services -,and
■ total amount
- Proof of Payment (i.e., bank statement or cancelled check)
- Verification of delivery
Developer Fee
Final Invoice Reflecting Total Development Cost
(if paid directly from HOME funds)
• Proof of payment for any other entity/funding source contributingto
development costs
• Show calculation of agreed upon developer fee percentage
• Copies of final lien releases frorr contractor/subcontractor
• Complete Documentation income eligibility of buyers/renters (i.e., income
documents for eligible home buyerftenants, sales contract between
d evel o per/homebuyer, HAP Deed of Trust with required affordability
period language, etc_)
Lease documents
. Final inspections of completed units
Neighboitood Services
FINAL as of 6/21/2017
Page 2
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
EXHIBIT "K"
MBE REPORTING FORM
DEVELOPMENT CORPORATION OF TARRANT COUNTY
1400 Wallace Street
CHDO SINGLE FAMILY CONTRACT
Polytechnic Single -Family Infill Project
Development Corporation of Tarrant County — 1400 Wallace Street Rev 2/21/2024
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Development Corporation of Tarrant County —1400 Wallace Street
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Page 48
Rev. 2/21 /2024
City of Fort Worth, Texas
Mayor and Council Communication
DATE: 03/21/23 M&C FILE NUMBER: M&C 23-0224
LOG NAME: 19CHDO POLY INFILL SPENDING AUTHORITY INCREASE
SUBJECT
(CD 8 / Future CD 8) Authorize $133,077.00 Increase in Contract Authority with the Development Corporation of Tarrant County, a Certified
Community Housing Development Organization, for the Development of Four Single -Family Homes in the Polytechnic Neighborhood, Resulting in
a New Aggregate Total of $707,430.00 in Federal Funds
RECOMMENDATION:
It is recommended that the City Council authorize an increase of $133,077.00 in contract authority with the Development Corporation of Tarrant
County, a Certified Community Housing Development Organization, for the development of four single-family homes in the Polytechnic
neighborhood for a new, aggregate total of $707,430.00 of HOME Investment Partnerships Program grant funds.
DISCUSSION:
The purpose of this Mayor and Council Communication (M&C) is to increase the contract authorization for a Community Development Housing
Organization (CHDO) building affordable single family housing in the Poly Neighborhood.
On August 4, 2020, the City Council approved the City's 2020-2021 Action Plan for submission to the United States Housing and Urban
Development Department (HUD), which included $574,353.00 in HOME Investment Partnerships Program (HOME) grant funds to Development
Corporation of Tarrant County (DCTC) for the Polytechnic Neighborhood Single Family Infill Development project (M&C 20-0497). HUD requires
the City of Fort Worth (City) to set aside 15 percent of its allocation of HOME funds for CHDO activities. DCTC is an experienced single family
affordable housing developer and certified by the City as a CHDO.
On November 30, 2021, the City Council authorized the expenditure of $574,353.00 in HOME grant funds to DCTC and execution of contracts
totalling that amount, in the form of four, subordinate forgivable loans for the development of four single family houses in the Polytechnic
Neighborhood (M&C 21-0522). On August 9, 2022, the City Council approved the annual action plan, which included additional funding for this
project (M&C 22-0569); approval of this M&C will increase the corresponding contract authority, as required by the City Code.
DCTC will develop four, three -bedroom, two -bath, two -car garage single family houses in the Polytechnic neighborhood with each house
consisting of approximately 1,700 square foot. The houses will be sold to individuals or families that earn 80 percent or less of the Area Median
Income as determined by the U.S. Department of Housing and Urban Development (HUD). Buyers must meet all HOME requirements, including
applying for and receiving at least $1,000.00 in down payment and/or closing cost assistance from the City's Homebuyer Assistance Program
(HAP).
DCTC requested an additional $133,077.00 to account for increased costs for supplies and labor. City staff has identified additional HOME funds
to fund the requested amount and recommends that the City Council increases the City's contract authority with DCTC by the requested amount for
a new total of $707,430.00 of HOME grant funds to ensure the project can be completed.
The Polytechnic Neighborhood is located in COUNCIL DISTRICT 8 / Future COUNCIL DISTRICT 8.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies that upon approval of the above recommendation and adoption of the attached appropriation ordinance, funds will
be available in the current operating budget, as appropriated, in the Grants Operating Fund. The Neighborhood Services Department (and
Financial Management Services) will be responsible for the collection and deposit of funds due to the City. Prior to an expenditure being incurred,
the Neighborhood Services Department has the responsibility to validate the availability of funds. This is a reimbursement grant.
Submitted for Citv Manaaer's Office bv: Fernando Costa 6122
Oriainatina Business Unit Head: Victor Turner 8187
Additional Information Contact: Justin McLaughlin 7369
Expedited
10/6/22, 2:52 PM M&C Review
CITY COUNCIL AGENDA
Create New From This M&C
Official site of the City of Fort Worth, Texas
Fo4
DATE: 8/9/2022 REFERENCE M&C 22-0569 LOG NAME: 19NS 2022-2023 ACTION
NO.: PLAN
CODE: C TYPE: NON- PUBLIC CONSENT HEARING:
YES
SUBJECT: (ALL) Conduct Public Hearing and Approve the City of Fort Worth's 2022-2023 Annual
Action Plan for the Use of Federal Grant Funds in the Amount of $13,124,648.00 to be
Awarded by the United States Department of Housing and Urban Development from the
Community Development Block Grant, HOME Investment Partnerships Program,
Emergency Solutions Grant, and Housing Opportunities for Persons with AIDS Program,
Authorize Collection and Use of Program Income, Authorize Execution of Related
Contracts, Adopt Appropriation Ordinance, and Authorize Waiver of Indirect Costs
(PUBLIC HEARING - a. Report City Staff: Sharon Burkley; b. Public Presentations; c.
Council Action: Close Public Hearing and Act on the M&C)
RECOMMENDATION:
It is recommended that City Council:
1. Conduct a public hearing to allow citizen input and consideration of the City's 2022-2023
Annual Action Plan for use of federal grant funds to be awarded by the United States
Department of Housing and Urban Development in the amount of $13,124,648.00 from the
Community Development Block Grant, HOME Investment Partnerships Program, Emergency
Solutions Grant, and Housing Opportunities for Persons with AIDS grant programs, and for
the use of program income from activities using prior years' federal grant funds;
2. Approve the City's 2022-2023 Annual Action Plan for submission to the United States
Department of Housing and Urban Development, including allocations of grant funds to
particular programs and activities as detailed below;
3. Authorize the collection and use of an estimated $50,000.00 of program income which is
expected to result from activities using prior years' Community Development Block Grant
funds for the City's Priority Repair Program;
4. Authorize the collection and use of an estimated $50,000.00 of program income which is
expected to result from activities using prior years' HOME Investment Partnerships Program
grant funds for the City's Homebuyer Assistance Program, and authorize the use of 10
percent of the program income for administrative costs;
5. Authorize the City Manager or his designee to execute contracts for one year terms with the
agencies listed in Tables 1,2, and 3 below for Program Year 2022-2023 for Community
Development Block Grant, Emergency Solutions Grant, and Housing Opportunities for
Persons with AIDS grant funds, contingent upon receipt of funding, and satisfactory
completion of all federal regulatory requirements;
6. Authorize the City Manager or his designee to extend the contracts for up to one year if an
agency or department requests an extension and such extension is necessary for completion
of the program, or to amend the contracts if necessary to achieve program goals provided
any amendment is within the scope of the program and in compliance with City policies and
all applicable laws and regulations governing the use of federal grant funds;
7. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations
in the Grants Operating Federal Fund in the total amount of $13,124,648.00 consisting of
$6,996,710.00 in Community Development Block Grant funds, $3,266,685.00 in HOME
Investment Partnerships Program grant funds, $628,543.00 in Emergency Solutions Grant
funds, and $2,232,710.00 in Housing Opportunities for Persons with AIDS grant funds, plus
estimated program income in the amount of $100,000.00, all subject to receipt of such
funds; and
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8. Authorize a waiver of the Neighborhood Services Department indirect cost rate of
17.29\%, estimated total of $330,793.14.
DISCUSSION:
The City of Fort Worth's (City's) 2022-2023 Annual Action Plan summarizes the major housing and
community development activities and proposed expenditures for the program year beginning
October 1, 2022 and ending September 30, 2023 for use of federal grant funds totaling
$13,124,648.00 from the United States Department of Housing and Urban Development (HUD) from
the Community Development Block Grant (CDBG), HOME Investment Partnerships Program
(HOME), Emergency Solutions Grant (ESG), and Housing Opportunities for Persons with AIDS
(HOPWA) grant programs. It also summarizes the use of program income resulting from activities
using prior years' CDBG and HOME funds, the primary purpose of which is to benefit low -and
moderate -income persons in Fort Worth. ESG funds primarily benefit persons experiencing
homelessness, and HOPWA funds primarily benefit low- and moderate -income persons with
HIV/AIDS.
Staff developed initial recommendations for the allocation of the estimated funding from HUD based
on prior year's funding levels. One public hearing was held on April 27, 2022 to provide citizens the
opportunity to participate in the development of the Annual Action Plan. Recommendations for award
amounts were considered and adopted by the Community Development Council on May 11, 2022.
These funding recommendations were presented in City Council Work Session on June 7, 2022.
A 30-day public comment period was held from July 1, 2022 to August 1, 2022. Notice of this public
comment period was published in the Fort Worth Star -Telegram on June 26, 2022; in the Weatherford
Democrat on June 28, 2022; in the Hood County News and Wise County Messenger on June 29,
2022; in Cleburne Times Review and La Vida News on June 30, 2022; and in Glen Rose Reporter on
July 1, 2022.
Any comments received are maintained by the Neighborhood Services Department in accordance
with federal regulations. The City held two public hearings as part of the HUD required citizen
participation process. The first public hearing was held by staff on July 13, 2022, and the second
public hearing is scheduled for the City Council meeting on August 9, 2022.
A summary of staffs final funding recommendations is provided below in Tables 1, 2, and 3. A
Powerpoint presentation listing funding recommendations is also attached. The 2022-2023 Annual
Action Plan will be submitted to HUD by August 15, 2022.
Indirect costs totaling approximately $330,793.14 could be charged to these grants, as the
Neighborhood Services Department indirect cost rate is 17.29\% in the City's most recent Cost
Allocation Plan. A waiver of these costs is requested to allow allocation of these funds to further
support the programs and services to assist low -to -moderate income citizens.
COMMUNITY DEVELOPMENT BLOCK GRANT
For Program Year 2022-2023, it is recommended that the amount of $6,946,710.00 in CDBG funds
and an estimated amount of $50,000.00 in CDBG program income totaling $6,996,710.00 be
allocated as follows:
Public Services Agencies- $1,042,006.00: Includes social services for low- and moderate -income
persons, persons with disabilities, and disadvantaged persons
Housing Programs - $4,153,352.00: Includes funding for the City's Priority Repair Program,
Cowtown Brush -Up, homebuyer and housing services, accessibility modifications for seniors and
persons with disabilities, and related project delivery costs for these programs
Major Projects - $362,010.00: Includes funding for Southside Community Center improvements
Administration - $1,389,342.00: Includes costs for administering the CDBG grant, including
allocations for the Financial Management Services and Development Services Departments
Estimated Program Income - $50,000.00: Includes up to $50,000.00 in funding for the City's
Priority Repair Program. Any CDBG program income over the estimated amount not used for the
Priority Repair Program will be allocated to priority activities in the City's Consolidated Plan, subject
to the City Council approval.
HOME INVESTMENT PARTNERSHIPS PROGRAM
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M&C Review
For Program Year 2022-2023, it is recommended that the amount of $3,216,685.00 in HOME funds
and an estimated amount of $50,000.00 in HOME program income totaling $3,266,685.00 be
allocated as follows:
Homebuyer Assistance Program - $129,623.50: Includes funding for down payment and closing
cost assistance for low- and moderate -income homebuyers
Community Housing Development Organization - $707,430.00: HUD requires that a minimum of
15 percent of HOME funds be allocated to Community Housing Development Organizations
(CHDOs) for affordable housing projects. These funds will be used by Development Corporation of
Tarrant County (DCTC) for single-family infill development in the Polytechnic neighborhood. All
housing developed with these funds will be sold to homebuyers making at or below 80 percent of
area median income (AMI), set by HUD.
Major Projects - $2,057,963.00: Includes funds ($1,000,000.00) allocated to the affordable
housing project to be developed by Fort Worth Housing Solutions (FWHS) as a part of its Choice
Neighborhood Initiative (CNI) grant and funds ($1,057,963.00) allocated to the development of
permanent supportive housing.
Administration - $321,668.50: Includes costs for administering the HOME grant
Estimated Program Income - $50,000.00: Includes funding for the Homebuyer Assistance Program
and HOME grant administrative costs. HUD allows the City to use 10 percent of any HOME
program income towards the cost of administering the HOME grant. HOME program income over
the estimated amount not used for the Homebuyer Assistance Program will be allocated to priority
activities in the City's Consolidated Plan, subject to City Council approval.
HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS
For Program Year 2022-2023, it is recommended that the amount of $2,232,710.00 in HOPWA funds
be allocated as follows:
Public Service Agencies - $1,515,729.00
Neighborhood Services Department - $650,000.00
Administration - $66,981.00
EMERGENCY SOLUTIONS GRANT
For Program Year 2022-2023, it is recommended that the amount of $628,543.00 in ESG funds be
allocated as follows:
Public Service Agencies - $581,403.00
Administration - $47,140.00
CONTRACT RECOMMENDATIONS
The Community Development Council and Neighborhood Services Department staff recommend that
contracts be executed with the public service & CDBG subrecipient agencies for the amounts shown
in the following tables:
Community Development Block Grant Contracts
TABLE 1: CDBG AGENCIES
AGENCY
CONSOLIDATED
PLAN GOAL
PROGRAM
AMOUNT
Homebuyer
Housing Channel
Affordable
Education and
$100,000.00
Housing
Housing Counseling
Services
Guardianship Services,
Aging -In -Place
Financial Exploitation
$70,000.00
Inc.
Prevention Center
Meals -On -Wheels, Inc. of
Aging -In -Place
Home -Delivered I
$72,006.00
Tarrant County
Meals
Meals -On -Wheels, Inc. of
Aging -In -Place
Transportation
$50,000.00
Tarrant County
Program
Girls Incorporated of
Children/Youth
Training and
Leadership Program
$75,000.00
Tarrant County
Mentorship
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United Community
Children/Youth
Educational
$100,000.00
Centers, Inc.
Training and
Enrichment Program
Mentorship
Boys & Girls Clubs of
Children/Youth
After School
Greater Tarrant County,
Training and
Program
$60,000.00
Inc.
Mentorship
Young Men's Christian
Children/Youth
Association of Metropolitan
Training and
Y Achievers
$50,000.00
Fort Worth
Mentorship
AB Christian Learning
Children/Youth
Training and
After School
$75,000.00
Center
Mentorship
Program
Fortress Youth
Children/Youth
Development Center, Inc.
Training and
Fortress PreSchool
$50,000.00
Mentorship
The Presbyterian Night
Shelter of Tarrant County,
Homeless
Moving Home Case
$125,000.00
Inc.
Services
Management
Poverty
Computer Skills
The Ladder Alliance
Reduction and
Household
Training - Next Level
$70,000.00
Stabilization
Program
Poverty
Easter Seals North Texas,
Reduction and
Employment
$50,000.00
Inc.
Household
Services
Stabilization
Poverty
The Women's Center of
Reduction and
Working Families
$50,000.00
Tarrant County, Inc.
Household
Success
Stabilization
Poverty
Center for Transforming
Reduction and
Level Up
$45,000.00
Lives
Household
Microenterprise
Stabilization
CDBG Public Service Agencies
Total
$1,042,006.00
Rehabilitation, Education
Accessibility
and Advocacy for Citizens
Accessibility
Improvements for
$125,000.00
with Handicaps DBA
Improvements
Low Income
REACH, Inc.
Residents
Accessibility
United Way of Tarrant
Accessibility
Improvements for
$50,000.00
County
Improvements
Low Income Senior
Residents
Fort Worth Area Habitat for
Humanity, Inc. DBA Trinity
Preserve Aging
Cowtown Brush Up
$455,000.00
Habitat for Humanity
Housing Stock
Paint Program
CDBG Subrecipient Agencies Total
$630,000.00
TOTAL CDBG CONTRACTS
$1,672,006.00
Housing Opportunities for Persons with AIDS
Contracts
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TABLE 2: HOPWA AGENCIES
AGENCY PROGRAM AMOUNT
AIDS Outreach Administration, Supportive Services, Short -Term $429,850.00
Center, Inc. Rent, Mortgage, and Utility Assistance (STRMU)
Tarrant County Administration, Facility -Based Operations,
Samaritan Supportive Services, Tenant -Based Rental $1,085,879.00
Housing, Inc. Assistance (TBRA)
TOTAL HOPWA CONTRACTS $1,515,729.00
Emergency Solutions Grant Contracts
Ilr_1:1449M=[*eJV_,W4il,m1*1
AGENCY
The Presbyterian Night Shelter of Tarrant
County, Inc.
Lighthouse for the Homeless DBA True
Worth Place
The Salvation Army
Center for Transforming Lives
SafeHaven of Tarrant County
TOTAL ESG CONTRACTS
PROGRAM
AMOUNT
Shelter
$130,220.00
Operations/Services
Shelter
$176,000.00
Operations/Services
Homelessness
$105,535.00
Prevention
Rapid Re -Housing
$98,743.00
Shelter
$70,905.00
Operations/Services
$581,403.00
All figures have been rounded to the nearest dollar for presentation purposes. These programs are
available in ALL COUNCIL DISTRICTS.
Each of these grants is an entitlement grant rather than a competitive grant received from the United
States Department of Housing and Urban Development (HUD). Entitlement grants provide funds to
agencies based on a formula, prescribed in legislation or regulation, rather than based on review.
These specific grants are allocated to the City of Fort Worth based on population size and per capita
income each year. The grants have been consistently awarded to the City since 1974 with the
inception of the Community Development Block Grant (CDBG) through the Housing and Community
Development Act of 1974. The Emergency Shelter (renamed Solutions) Grant (ESG) was authorized
in 1987 through the McKinney-Vento Homelessness Assistance Act. The HOME Investment
Partnerships Program (HOME) and the Housing Opportunities for Persons with AIDS (HOPWA)
Program were authorized in 1990 through the Cranston -Gonzales National Affordable Housing Act of
1990. With these grants, administrative and program delivery allocations support approximately 72
FTE positions in the Neighborhood Services Department, which is funded nearly 70\% with various
grants including these entitlement grants.
Positions funded with HUD Entitlement grants are subject to grant availability. In the event of a grant
award being decreased or eliminated, Neighborhood Services Department would review programs and
services funded by the grants and determine a level of service and staffing that aligns with the
available funding. Alternative to consider may include staff and program reductions or eliminations.
FISCAL INFORMATION/CERTIFICATION:
The Director of Finance certifies that upon approval of the above recommendations and adoption of
the attached appropriation ordinance, funds will be available in the current operating budget, as
appropriated, of the Grants Operating Federal Fund. The Neighborhood Services Department (and
Financial Management Services) will be responsible for the collection and deposit of funds due to the
City. Prior to an expenditure being incurred, the Neighborhood Services Department has the
responsibility to validate the availability of funds. This is a reimbursement grant.
TO
Fund Department Account Project Program I Activity Budget I Reference # Amount
ID ID Year (Chartfield 2)
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M&C Review
CITY COUNCIL AGENDA
Official site of the City of Fort Worth, Texas
FoRToRTH
_1_
DATE: 11/30/2021 REFERENCE **M&C 21- LOG NAME: 19POLYTECHNIC
NO.: 0894 NEIGHBORHOOD INFILL
CODE: C TYPE: CONSENT PUBLIC NO
HEARING:
SUBJECT: (CD 8) Authorize Expenditure of HOME Investment Partnerships Program Grant Funds in
the Aggregate Amount of $574,353.00 to Development Corporation of Tarrant County, a
Certified Community Housing Development Organization, in the Form of Subordinate
Forgivable Loans for Development of Four Single Family Houses in the Polytechnic
Neighborhood, Authorize Execution of Related Documents, and Find that the Expenditure
Serves a Public Purpose and that Adequate Controls are in Place
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize the City Manager, or his designee, to substitute current and prior funding years in
order to meet commitment, disbursement and expenditure deadlines for grants from the
United States Department of Housing and Urban Development;
2. Authorize the expenditure of $574,353.00 in HOME Investment Partnership Program Grant
Funds to Development Corporation of Tarrant County in the form of Subordinate Forgivable
Loans for the development of the Polytechnic Neighborhood Single Family Infill Development,
a development of up to four houses located on Avenues G and J, as well as Wallace Street;
3. Authorize the City Manager, or his designee, to execute contracts with Development
Corporation of Tarrant County in the total aggregate amount of $574,353.00 for the
construction and completion of the project for a term beginning on the dates of execution of
the contracts and ending three years from the date of execution;
4. Authorize the City Manager, or his designee, to execute all related contracts or other
documents necessary for lending activities;
5. Authorize the City Manager, or his designee, to extend the contract for the HOME funds for
two one-year extensions if such extensions are necessary for completion of the development,
and to extend the other contracts for lending activities as necessary for completion of the
development; and
6. Authorize the City Manager, or his designee, to amend the contract if necessary to achieve
project goals provided that the amendment is within scope of the project and in compliance
with City policies and applicable laws and regulations governing the use of federal grant
funds; and
7. Find that the expenditure of funds serves the vital public purpose of providing quality,
affordable housing for residents of the City and that the contracts and other loan documents
provide adequate controls to ensure the public purpose is fulfilled.
DISCUSSION:
On August 4, 2020, the City Council approved the City's 2020-2021 Action Plan for submission to the
United States Housing and Urban Development Department (HUD), which included $574,353.00
in HOME Investment Partnerships Program (HOME) grant funds to Development Corporation of
Tarrant County (DCTC) for the Polytechnic Neighborhood Single Family Infill Development Mayor and
Council Communication (M&C 20-0497). HUD requires the City of Fort Worth (City) to set aside 15
percent of its allocation of HOME funds for Community Development Housing Organizations (CHDO)
activities. DCTC is an experienced single family affordable housing developer and certified by the City
as a CHDO.
apps.cfwnet.org/council_packet/mc_review.asp? I D=29442&cou nciIdate=11 /30/2021 1 /3
12/29/21, 2:29 PM
M&C Review
DCTC plans to develop four approximately 1,700 square foot, three -bedroom, two -bath, two -car
garage single family houses in the Polytechnic neighborhood. The houses will be sold to individuals or
families that earn 80 percent or less of the Area Median Income as determined by the U.S.
Department of Housing and Urban Development (HUD). Buyers must meet all HOME program
requirements, including applying for and receiving at least $1,000.00 in down payment and/or closing
cost assistance from the City's Homebuyer Assistance Program (HAP) and occupying the houses as
their primary residences for the designated affordability period.
Staff recommends execution of contracts for four subordinate forgivable loans of CHDO HOME funds
in the aggregate amount of $574,353.00 with Development Corporation of Tarrant County, for the
development of the Polytechnic Neighborhood Single Family Infill Development based on the following
terms and conditions:
HOME Contract and HOME Loan Terms:
1. Construction must begin within six months of date of Contract execution;
2. Loan term to commence on execution of the loan documents;
3. Three year term for HOME contract and HOME loan;
4. First lien commercial construction loan terms must be acceptable to City;
5. HOME loan will be subordinate only to first lien commercial construction loan;
6. Borrower's performance of the terms of the HOME contract and HOME loan will be secured by
a deed of trust;
7. Payment of HOME loan will only be required if Borrower fails to fulfill the HOME requirements
in the contract and the terms of the HOME loan;
8. DCTC will be paid a 15 percent developer fee and will retain the net sales proceeds from the
houses to be used to construct at least one additional affordable house to be sold to a HOME -
eligible buyer; and,
9. Houses must be sold to HOME -eligible buyers who qualify for a HAP loan of at least
$1,000.00.
The expenditure of HOME fund is conditioned upon the followinq:
1. Satisfactory underwriting in accordance with federal guidance for use of HOME funds and City
policies for funding of HOME units;
2. Satisfactory completion of an environmental review, pursuant to 24 CFR Part 58;
3. Receipt of authorization to use grant funds from HUD; and,
4. Closing on all other financing for the project.
By approval of this M&C, the City Council finds that the public purpose served by this project is to
benefit low -to -moderate -income residents by providing them with quality, affordable housing, and that
the contract and loan documents are adequate controls to ensure the public purpose is fulfilled. This
project will assist the City in meeting its CHDO commitment and expenditure goals with HUD. A public
comment period on the use of these HOME funds was held from July 1, 2020 to July 31, 2020. Any
comments are maintained by the Neighborhood Services Department in accordance with federal
regulations. The Action Plan funding year may vary and be substituted in order to expend the oldest
grant funds first.
This project is located in COUNCIL DISTRICT 8
FISCAL INFORMATION/CERTIFICATION:
The Director of Finance certifies that upon approval of the above recommendations and execution of
the agreement, funds will be available in the current operating budget, as appropriated, of the Grants
Operating Federal Fund. This is a reimbursement grant. The Neighborhood Services Department is
responsible for requesting all reimbursements and will verify funding availability prior to incurring any
expense.
TO
apps.cfwnet.org/council_packet/mc_review.asp? I D=29442&cou nciIdate=11 /30/2021 2/3
FORT WORTH
Routing and Transmittal Slip
Neighborhood Services Department
DOCUMENT TITLE: CHDO Contract- 1400 Wallace Street
M&C# 23-0224 CPN CSO #56986 RESERVED DOC#
DATE: February 21, 2024
INITIALS
DATE OUT
TO:
1.
Chad Laroque
Y
CL
Feb 21, 2024
Feb 21, 2024
2.
Victor Turner
lit/
TW
Feb 22, 2024
3.
Jessika Williams
jW
4.
Fernando Costa
�
Feb 22, 2024
5.
Ronald Gonzales
KC
Feb 22, 2024
Feb 22, 2024
6.
Jannette Goodall
,G
Feb 22, 2024
7.
Allison Tidwell
AT
DOCUMENTS FOR CITY MANAGER'S SIGNTURE: All documents received from any and all City
Departments requesting City Manager's signature for approval MUST BE ROUTED TO THE
APPROPRIATE ACM for approval first. Once the ACM has signed the routing slip, David will review
and take the next steps.
NEEDS TO BE NOTARIZED: ❑ Yes ❑X No
RUSH: ❑ Yes X❑ No SAME DAY: ❑ Yes ❑X No
ROUTING TO CSO: ❑X Yes ❑ No
Action Required:
❑ As Requested
❑ For Your Information
X Signature/Routing and or Recording
❑ Comment
❑ File
Return to: Tustin.mclaughlin(a)fortworthtexas.gov
NEXT DAY: ❑X Yes ❑ No
From: Gunn, Jo Ann
To: Tidwell, Allison
Cc: McLaughlin. Justin Franklin
Subject: Re: CSC numbers for Poly CHDO Contracts
Date: Friday, January 13, 2023 9:01:04 AM
Attachments: imaoe004.r nnaa
Thank you, Allison!
Thank you,
Jo Ann Gunn
Assistant City Attorney
City Attorney's Office
200 Texas Street
Fort Worth, Texas 76102
Direct: (8171392-6259
Jo. gunn@fortworthtexas, gov
From: Tidwell, Allison <Allison.Tidwell@fortworthtexas.gov>
Sent: Friday, January 13, 2023 8:48 AM
To: Gunn, Jo Ann <Jo.Gunn@fortworthtexas.gov>
Cc: McLaughlin, Justin Franklin <Justin.McLaughlin@fortworthtexas.gov>
Subject: RE: CSC numbers for Poly CHDO Contracts
Sorry about not being able to get back with you yesterday. Those contract numbers are still
reserved for your agreements.
`5$v
TRMC, Lead Administrative Assistant
City Secretary's Office
200 Texas Street, 3rd Floor
Fort Worth, TX 76102
W: 817.392.6152
F: 817.392.6196
Allison.Tidwellnfortworthtexas.M
"City of Fort Worth — Working together to build a strong community. "
FORTWORTH.
From: Gunn, Jo Ann <Jo.Gunn@fortworthtexas.gov>
Sent: Thursday, January 12, 2023 11:01 AM
To: Tidwell, Allison <Allison.Tidwell@fortworthtexas.gov>
Cc: McLaughlin, Justin Franklin <Justin.McLaughlin@fortworthtexas.gov>
Subject: FW: CSC numbers for Poly CHDO Contracts
Importance: High
Allison,
Please disregard my prior email about CSC numbers. It looks] iek we received them early last
year before they got delayed. Are these still usable?
Thank you,
Jo Ann Gunn
Assistant City Attorney
City Attorney's Office
200 Texas Street
Fort Worth, Texas 76102
Direct: (817) 392-6259 / Fax: (817) 392-8359
i o. aunn(a. fortworthtexas. aov
y of Fort Worth — Working together to build a strong community
ORTWORTH.
RECIPIENTS - PLEASE CONTACT ME PRIOR TO FORWARDING MESSAGES
DESIGNATED AS ATTORNEY -CLIENT COMMUNICATIONS.
This e-mail and any files transmitted with it are confidential and are intended solely for the use of
the individual or entity to which they are addressed. This communication may contain material
protected by the attorney -client privilege. If you are not the intended recipient or the person
responsible for delivering the e-mail to the intended recipient, be advised that you have received this
e-mail in error and that any use, dissemination, forwarding, printing, or copying of this e-mail is
strictly prohibited. If you have received this e-mail in error, please immediately notify Jo Ann Gunn
at the City of Fort Worth City Attorney's Office (817) 392-6259.
From: Pate, Jo Ann
Sent: Friday, January 14, 2022 9:02 AM
To: Soto, Vania Elizabeth<Vania.Soto(@fortworthtexas.aOV>
Cc: McLaughlin, Justin Franklin <Justin.McLaughlin(@fortworthtexas.gov>
Subject: RE: CSC numbers for Poly CHDO Contracts
Thank you!
Thank you,
Jo Ann Pate
Assistant City Attorney
City Attorney's Office
200 Texas Street
Fort Worth, Texas 76102
Direct: (817) 392-6259 / Fax: (817) 392-8359
i o.nate(&..fortworthtexas. gov
y of Fort Worth — Working together to build a strong community
ORTWORTH&
RECIPIENTS - PLEASE CONTACT ME PRIOR TO FORWARDING MESSAGES
DESIGNATED AS ATTORNEY -CLIENT COMMUNICATIONS.
This e-mail and any files transmitted with it are confidential and are intended solely for the use of
the individual or entity to which they are addressed. This communication may contain material
protected by the attorney -client privilege. If you are not the intended recipient or the person
responsible for delivering the e-mail to the intended recipient, be advised that you have received this
e-mail in error and that any use, dissemination, forwarding, printing, or copying of this e-mail is
strictly prohibited. If you have received this e-mail in error, please immediately notify Jo Ann Pate at
the City of Fort Worth City Attorney's Office (817) 392-6259.
From: Soto, Vania Elizabeth
Sent: Friday, January 14, 2022 8:10 AM
To: Pate, Jo Ann <JO.Pate (@fortworthtexas.eov>
Cc: McLaughlin, Justin Franklin <Justin.McLaughlinna fortNAtorthtexas.gov>
Subject: RE: CSC numbers for Poly CHDO Contracts
Hi Jo Ann,
I have reserved the following:
- 1400 Wallace Street: CSC No. 56986
- 2528 Wallace Street: CSC No. 56987
- 3507 Avenue G: CSC No. 56988
- 3732 Avenue J: CSC No. 56989
- Operating Contract: CSC No. 56990
Vania E. Soto
Administrative Assistant
City Secretary's Office
817-392-6090
Vania. Soto(q,,fortworthtexas,gov
From: Pate, Jo Ann
Sent: Thursday, January 13, 2022 5:28 PM
To: Soto, Vania Elizabeth <Vania.Soto(a fortworthtexas.Eov>
Cc: McLaughlin, Justin Franklin <Justin.McLauehlin(@fortworthtexas.Rov>
Subject: CSC numbers for Poly CHDO Contracts
Hi Vania,
We need CSC numbers for the four CHDO HOME contracts and the CHDO Operating
Contract between the City and the Development Corporation of Tarrant County. I have them
listed below for ease. We will make sure to reference the CSC Numbers when routing them
for filing.
• 1400 Wallace Street:
. 2528 Wallace Street:
• 3507 Avenue G:
• 3732 Avenue J:
• Operating Contract:
Please let me know if you need anything else to issue the numbers. Thank you!
Thank you,
Jo Ann Pate
Assistant City Attorney
City Attorney's Office
200 Texas Street
Fort Worth, Texas 76102
Direct: (817) 392-6259 / Fax: (817) 392-8359
i o.nate(a ..fortworthtexas. gov
City of Fort Worth — Working together to build a strong community
FoRTWORTH,
RECIPIENTS - PLEASE CONTACT ME PRIOR TO FORWARDING MESSAGES_
DESIGNATED AS ATTORNF,Y-CLIENT COMMUNICATIONS.
This e-mail and any files transmitted with it are confidential and are intended solely for the use of
the individual or entity to which they are addressed. This communication may contain material
protected by the attorney -client privilege. If you are not the intended recipient or the person
responsible for delivering the e-mail to the intended recipient, be advised that you have received this
e-mail in error and that any use, dissemination, forwarding, printing, or copying of this e-mail is
strictly prohibited. If you have received this e-mail in error, please immediately notify Jo Ann Pate at
the City of Fort Worth City Attorney's Office (817) 392-6259.