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HomeMy WebLinkAboutContract 49774-A1 CITY SECRETARY 1 CONTRACT N0. FIRST AMENDMENT TO CITY SECRETARY CONTRACT NO. 49774 WHEREAS, on October 10, 2017, the CITY OF FORT WORTH ("City"), a home rule municipality organized under the laws of the State of Texas, and YMCA of Metropolitan Fort Worth ("Developer"), a domestic nonprofit corporation, made and entered into City Secretary Contract No. 49774 ("the Contract") as authorized by M&C C-28031, adopted by the City Council on December 13, 2016; WHEREAS, on or about September 7, 1979, the City entered into that certain Urban Development Action Grant Agreement with the United States Department of Housing and Urban Development("HUD"), UDAG Grant.No. B-79-AA-48-0013 (the"UDAG Grant Agreement"), for use in acquiring land and constructing a parking garage located under General Worth Park in downtown Fort Worth (City Secretary Contract No. 10610), as more specifically set forth in the UDAG Grant Agreement. The City has leased the parking garage pursuant to and in accordance with that certain Lease Agreement("Parking Garage Lease")dated on or about May 22, 1980 by and between the City and Hunt Hotel/Fort Worth, Ltd. (City Secretary Contract No. 11085, as amended and assigned). Rental revenues from the Parking Garage Lease are deemed "Grant Revenues"under the UDAG Grant Agreement(the"UDAG Grant Fund Proceeds").The UDAG Grant Agreement allows the City to use the UDAG Grant Fund Proceeds(now described by HUD as "miscellaneous revenue") for community or economic development activities eligible for assistance under Title I of the Housing and Community Development Act of 1974, 42 USC 5301 et seq., as amended (the "Act"). WHEREAS, the purpose of the Contract was to provide $500,000.00 in miscellaneous revenue for a portion of construction costs of the McDonald Southeast YMCA Center, including an aquatics center; WHEREAS, Developer has requested an amendment to the Completion Date and the Completion Deadline in the Contract due to weather delays on the Project; WHEREAS, City also wishes to amend the contract to correct three of the Exhibits; NOW, THEREFORE, City and Developer hereby agree as follows: 4 RECEIVEO i. `I JN 19 2018 DEFINITIONS CI�TYSEFORT CRET SORT ARY he following definitions are amended to be and read as follows: Completion Date means that the Project is substantially complete as evidenced by(i)the report attached to the Contract as Exhibit "F"—Project Completion Report made a part of this Agreement for all purposes, and (ii)the Certificate of Occupancy issued by the City by October 31,2018. OFFtCKlE. CITY SI CKE111 1 UDAG Loan Agreement/CSC No. 49774-A1 FT.WOkTH,TX 5.17.18 YMCA of Metropolitan Fort Worth I I i Page 1 Completion Deadline means October 31, 2018. II. Exhibit`B"—Project Summary attached to the Contract is hereby replaced with Exhibit "B"—Project Summary Revised 5/2018 attached hereto. Exhibit"F"—Project Completion Report attached to the Contract is hereby replaced with Exhibit"F"—Project Completion Report Revised 5/2018 attached hereto. Exhibit"G"—Annual Evaluation Report attached to the Contract is hereby replaced with Exhibit "G"—Annual Evaluation Report Revised 5/2018 attached hereto. III. This amendment is effective as of the Effective Date of the Contract. IV. All terms and conditions of the Contract not amended herein remain unaffected and in full force and effect, are binding on the Parties and are hereby ratified by the Parties. Capitalized terms not defined herein shall have meanings assigned to them in the Contract. [SIGNATURES APPEAR ON NEXT PAGE] UDAG Loan Agreement/CSC No. 49774-A1 5.17.18 YMCA of Metropolitan Fort Worth Page 2 EXECUTED to be effective as of the Effective Date: ACCEPTED AND AGREED: CITY OF FORT WORTH By: �Fernando Costa,Costa, Assistant City Manager Date: C'/15118 APPROVED AS TO FORM AND LEGALITY: By: - Pai e Mebane, Assistant City Attorney 0R"r ATTEST: By: ' City Secret rEX.. M&C: C-28031 Date. 12/13/20 Form 1295: 2016-138726 Contract 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/l/t 1��� Chad LaRoque, Housing Development and Grants Manager YMCA OF ROPOL FORT WORTH, a domestic nonprofit corporation By: �✓L�- An'tiCony u an, President OFFICIAL RECORD CITY SECRETARY Date: /Z Ll FT WORTH,TX LOMMI UDAG Loan Agreement/CSC No. 49774-A1 5.17.18 YMCA of Metropolitan Fort Worth Page 3 EXHIBIT "B" YMCA OF METROPOLITAN FORT WORTH PROJECT SUMMARY REVISED 5/2018 Capitalized terms not defined herein shall have meanings assigned to them in the Agreement. DESCRIPTION: Developer proposes to construct a new McDonald Southeast YMCA Center, including an aquatic center, located at approximately 2701 Moresby Street. PERFORMANCE REQUIREMENTS: Invest a minimum of $13,000,000.00 in the McDonald Southeast YMCA Center, and a Certificate of Occupancy issued by October 31, 2018. Make reasonable efforts to create 20 new jobs for Central City residents by the end of the second year loan terms,with the following benchmarks: • For the first year of the loan term, make reasonable efforts to create 10 new jobs for Central City residents, 5 of which will be seasonal; • For the second year of the loan term, make reasonable efforts to create an additional 10 new jobs for Central City residents, 5 of which will be seasonal. Award 50 households living in the Columbia at Renaissance Square developments 20% off monthly membership fees. SPECIFIC PURPOSE: The specific purpose of the Project is to increase programs and services in the Berry/Riverside area, such as wellness classes, gym and fitness facilities, child care, youth programs, summer camps, etc. PROJECT OBJECTIVES: The Project will benefit low-and-moderate income persons and accomplish the public purpose of furthering the United States Department of Housing and Urban Development's national objective of promoting activities that benefit low- and moderate-income persons in Southeast Fort Worth. UDAG Loan Agreement/CSC No. 49774-A1 5.17.18 YMCA of Metropolitan Fort Worth Page 4 EXHIBIT "F" YMCA OF METROPOLITAN FORT WORTH PROJECT COMPLETION REPORT REVISED 5/2018 FORT WORTH City of Fort Worth Project Completion Report UDAG Agreement for I.PROJECT IN FORMATION Property Owner: Company/Project Name: Project Contact: Title: Telephone: Fax: E-Mail: Property Owner Address(If Different): Address of Property Subject to Agreement: Construction Start Date: Construction Completion Date: Date of issuance of the Certificate of Occupancy or final City"pass inspection"report: *Please attach a copy of Certificate of Occupancy or City"pass inspection"report` I I. NYM107T ON 5P€ND'1N( k WAW Company names,addresses,and the amounts paid during the construction period should be attached to this report. Use of the Excel spreadsheet provided to you by the City of Fort Worth is recommended. CONSTRUCTION Total Construction Dollars Spent this Reporting Period(A):$ FORT WORTH COMPANIES Unless specified otherwise in your agreement,a Fort Worth Company is defined as a business that has a Principal Office located within the corporate limits of the City that provides the product or service for which credit is sought for purposes of a specific commitment set forth in a given agreement. Total Construction Dollars Spent with Fort Worth Companies(8):$ Percentage of Total Construction Dollars Spent with Fort Worth Companies(B/A): % M/WBE A Fort Worth Certified M/WBE Company is defined as a minority or woman-owned business that(i)has received certification as either a minority business enterprise(MBE),a woman business enterprise(WBE),or a disadvantaged business enterprise (DBE)by the North Central Texas Regional Certification Agency(NCTRCA),and(ii)has a Principal Office located within the corporate limits of the City of Fort Worth that provides the product or service for which credit is sought for purposes of a specific commitment set forth in a given agreement. Please verify that M/WBE vendors are located in Fort Worth by contacting the M/WBE office at(817)212-2674 or MWBE.FrontDeskeDfortworthtexas.aov. Total Construction Dollars Spent with Fort Worth Certified M/WBE Companies IQ$ Percentage of Total Construction Dollars Spent with Fort Worth Certified M/WBE Companies(C/A): % ll/. ADDITIONAL INFORMATION (TO BE A77ACHED A5 EXHI81TS) Copy of Certificate of Occupancy issued by the City of Fort Worth's Planning and Development Department or final City ❑"pass inspection'report A Copy of Certification from the North Central Texas Regional Certification Agency for Each M/WBE Vendor EXHIBIT C:List of all Company Names,Addresses,Invoice Numbers,and Amounts Paid During Construction.Clearly note Fort Worth and Fort Worth M/WBE Companies.(Excel format. Use of the Excel spreadsheet provided by the City is recommended.) UDAG Loan Agreement/CSC No. 49774-A1 5.17.18 YMCA of Metropolitan Fort Worth Page 5 l'ORTWORTH. City of Fort Worth Project Completion Report UDAG Agreement for V_CERTIFICATION In connection with the review of the economic development grant agreement for the respective audit term,between the City of Fort Worth and (Company Name) we confirm,to the best of our knowledge and belief,the following representations made to the City of Fort Worth: 1.) We are responsible for the information provided in the Project Completion Report. 2.) We have made available all information that we believe is relevant to the Project Completion Report. 3.) We will respond fully to all inquiries made by the City of Fort Worth during the audit process. 4.) We acknowledge that the City of Fort Worth is responsible for evaluating the criteria and determining that the criteria are appropriate for meeting the terms of the agreement. Name of Certifying Officer: Phone: Title: E-mail: Signature of Certifying Officer: Date: In order to remain eligible for the incentive,you must return the completed report to: Hand delivery: By mail: Neighborhood Services Department City of Fort Worth Community Development Division Neighborhood Services Department Attn:Ms.Bette Chapman Attn:Ms.Bette Chapman 908 Monroe 200 Texas Street Fort Worth,Texas 76102 Fort Worth,Texas 76102 You may also forward an electronic copy of the completed report to:Bette.Chapman(&fortworthtexas.gov. You must also submit one original hard copy of the report and all attachments to the above stated physical address for proper filing and review. For assistance please contact Bette Chapman at the e-mail above or(817)392-6125. About the Project Completion Compliance Review Process Initially,.the City of Fort Worth's Internal Audit Department may review the provided list of all Invoices/Pay Applications for Total Construction costs,Fort Worth Construction costs,and Fort Worth M/WBE Construction costs(if applicable to your agreement). City Staff will then select a sample of Invoices/Pay Applications to test,communicate to the Project Contact which items have been selected for the sample,and request additional documentation for the selected sample only.Examples of additional documentation will include copies of invoices/pay applications,copies of cancelled checks,and copies of the general ledger documenting checks posting to the general ledger. If Staff is able to successfully trace the Invoice/Pay Applications to cancelled checks and the general ledger,and the information on the Invoices/Pay Applications is correct and contains all required information,Staff will utilize the information from the sample to form a conclusion regarding compliance with the agreement. However,if Staff finds more than the minimum allowable deviations(this number varies based upon the sample size),Staff will have to expand the sample size and review more Invoices/Pay Applications.Therefore,it is imperative that Staff receives complete and accurate information. Staff will work closely with the Certifying Officer and/or the appropriate representatives of the companies to try to resolve questions and differences in reported amounts. Staff will also keep the contact persons apprised of any issues and/or non-compliant categories as they are determined. UDAG Loan Agreement/CSC No. 49774-A1 5.17.18 YMCA of Metropolitan Fort Worth Page 6 EXHIBIT "G" YMCA OF METROPOLITAN FORT WORTH ANNUAL EVALUATION REPORT REVISED 5/2018 FORTWORTH. City of Fort Worth Annual Evaluation Report Reporting Period: I.P ROJECT I FORMATION Property Owner: Company/Project Name: Project Contact: Title: Telephone: Fax: E-Mail: Property Owner Address(If Different): Address of Property Subject to Agreement: IJ.I NVESTMEWVALUATION REAL PROPERTY("Appraised Value"is the value as reported by the Appraisal District in which the project is located) Appraised Value of Land:$ Appraised Value of Improvements:$ PERSONAL PROPERTY("Appraised Value"is the value as reported by the Appraisal District in which the project is located) Appraised Value of Machinery,Equipment,and Other Business Personal Property:$ Total actual dollars spent on Machinery,Equipment,and Other Business Personal Property:$ Percentage of inventory subject to other exemptions(i.e.Freeport/Foreign Trade Zone(if applicable): % III-JOB CREAT10N1RETEK_n0N Total Full-Time Employees as of Total Full-Time Employees who are Central Cit residents: Total seasonal employees who are Central City residents: Home addresses of full-time and seasonal employees hired per the agreement should be attached to this report.Please verify that your employees live within the Central City by using the Interactive map tool found at httpl/maoit/fortworthtexasAovZHtm15VIewer17vIewerxconomic development.Once you arrive at the site click on Employment Incentives Report.Also provide an Excel document with all your employment Information on a CD or USB and submit with this reportor send the document by e-mail to Bette.Chaomanafonworthtexas.aov. IV.SUPPLY AND SEFIVICECONTRACTS _ ! vendor name,addresses,invoice numbers,and the amounts paid during the reporting period should be attached to this report In Excel format.Please verify that M/BWBE vendors are located In Fort Worth by contacting the M/WBE office at(817)111-1674 or MWBE.FrontDesk®fortworthtexas.pov. Total Supply and Service Dollars Spent this Reporting Period(A):$ AWARDS TO FORT WORTH COMPANIES Total Supply and Service Dollars Spent with Fort Worth Companies(8):$ Percentage of Total Supply and Service Dollars Spent with Fort Worth Companies(B/A): % AWARDS TO FORT WORTH MINORITY/WOMEN OWNED BUSINESS ENTERPRISES(M/WBE) Total Supply and Service Dollars Spent with Fort Worth M/WBE Companies(C):$ Percentage of Total Supply and Service Dollars Spent with Fort Worth M/WBE Companies(C/A): `M V.ADDFTIONAL INFORMATION(TO Br ATTACHED,Conti nLied on Page 2) E]List of Real Property Appraisal District Account Numbers(Applicable to projects with Real Property Commitments) List of Business Personal Property Appraisal District Account Numbers(Applicable to Projects with Personal Property El Commitments) UDAG Loan Agreement/CSC No. 49774-A1 5.17.18 YMCA of Metropolitan Fort Worth Page 7 FORT WORTH, City of Fort Worth Annual Evaluation Report Reporting Period: V.ADDITIONAL INFORMATION(TO BE ATTACHED,Continued from Page 11 Copy of Sales Tax Reports(Applicable to Projects with Sales Tax Commitments) Employee Address Verification Report with Supporting Documentation(Excel format) List of all Supply and Service Vendor Names,Addresses,Invoice Numbers,and Amounts Paid During Reporting Period. Clearly note the Fort Worth and Fort Worth M/WBE Vendors.Please see"Evaluation Report Review Process"below for more details.(Excel Format) ❑Copy of Certification from the North Central Texas Regional Certification Agency for each M/WBE vendor List of households living in Columbia Renaissance Square development who received 20%off of monthly membership fees VI.CERTIFICATION In connection with the review of the tax abatement/economic development grant agreement for the respective audit term, between the City of Fort Worth and (Company Name) we confirm,to the best of our knowledge and belief,the following representations made to the City of Fort Worth. 1.) We are responsible for the information provided in the Annual Evaluation Report. 2.) We have made available all information that we believe is relevant to the Annual Evaluation Report. 3.) We will inform the City if any events occur subsequent to ,20 that would require adjustment to,or modification to,the Annual Evaluation Report 4.) We will respond fully to all inquiries made by the City of Fort Worth during the review process. 5.) We acknowledge that the City of Fort Worth is responsible for evaluating the criteria and determining that the criteria are appropriate for meeting the terms of the agreement. Name of Certifying Officer. Phone:— Title:— hone:Title: Fax: Signature of Certifying Officer: Date: In order to remain eligible for the incentive,you must return the completed report on or before the annual anniversary of the completion date to: Hand delivery: By mail: Neighborhood Services Department City of Fort Worth Community Development Division Neighborhood Services Department Attn:Ms.Bette Chapman Attn:Ms.Bette Chapman 908 Monroe,3rd Floor 200 Texas Street Fort Worth,Texas 76102 Fort Worth,Texas 76102 You may also forward an electronic copy of the completed report to:Bette.Chapmanafortworthtexas.aov.You must also submit one original hard copy of the report and all attachments to the above stated physical address for proper filing and review.For assistance please contact Bette Chapman at the e-mail above or(817)392-6125. About the Annual Evaluation Report Review Process Initially,City Staff will review the provided list of all Invoices for Total Supply and Service Dollars Spent,Fort Worth Supply and Service Dollars,and Fort Worth M/WBE Supply and Service Dollars(if applicable to your agreement).City Staff will then select a sample of Invoices to test,communicate to the Project Contact which items have been selected for the sample,and request additional documentation for the selected sample only.If Staff is able to successfully verify the information on the Invoices is correct and contains all required information,Staff will utilize the information from the sample to form a conclusion regarding compliance with the agreement.However,if Staff finds more than the minimum allowable deviations(this number varies based upon the sample size),Staff will have to expand the sample size and review more Invoices.Therefore,it is imperative that Staff receives complete and accurate information.Staff will work closely with the Certifying Officer and/or the appropriate representatives of the companies to try to resolve questions and differences in reported amounts. Staff will also keep the contact persons apprised of any issues and/or non-compliant categories as they are determined. UDAG Loan Agreement/CSC No. 49774-A1 5.17.18 YMCA of Metropolitan Fort Worth Page 8 M&C Review Page 1 of 3 Official site of the City of Fort Worth,Texas CITY COUNCIL AGENDA FoR COUNCIL ACTION: Approved on 12/13/2016 -Ordinance No. 22540-12-2016 DATE: 12/13/2016 REFERENCE NO.: **C-28031 LOG NAME: 19YMCA UDAG PUBLIC CODE: C TYPE: CONSENT HEARING: NO SUBJECT: Authorize Expenditure in the Amount of$500,000.00 of Urban Development Action Grant Miscellaneous Revenue in the Form of a Deferred Forgivable Loan to the YMCA of Metropolitan Fort Worth for the Construction of the New McDonald Southeast YMCA to be Located at Approximately 2701 Moresby Street, Authorize Execution of a Loan Agreement and Adopt Appropriation Ordinance (COUNCIL DISTRICT 8) RECOMMENDATION: It is recommended that the City Council: 1. Authorize an expenditure in the amount of$500,000.00 of Urban Development Action Grant miscellaneous revenue in the form of a deferred forgivable loan to YMCA of Metropolitan Fort Worth for the construction of the new McDonald Southeast YMCA center to be located at approximately 2701 Moresby Street; 2. Authorize the City Manager or his designee to execute a Loan Agreement and any related documents with YMCA of Metropolitan Fort Worth for a five-year loan term beginning on the date of execution; 3. Authorize the City Manager or his designee to amend the Loan Agreement if necessary to achieve project goals provided that the amendment is within the scope of the project and in compliance with City policies and applicable laws and regulations governing the use of federal funds; and 4. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Grants Fund in the amount of$500,000.00 from available funds. DISCUSSION: YMCA of Metropolitan Fort Worth (YMCA) proposes to construct a new McDonald Southeast YMCA Center located at approximately 2701 Moresby Street. YMCA will offer programs and services from this new location, such as wellness classes, gym and fitness facilities, child care, youth programs, summer camps, etc. The total development cost will be approximately $13,000,000.00. On December 1, 2015, Mayor and Council Communication (M&C) C-27548 authorized an expenditure in the amount of $2,300,000.00 in the form of a forgivable loan to the YMCA for the construction of a new Enhanced Neighborhood Family Aquatics Center (E-NFAC) at the new McDonald Southeast YMCA Center, as well as authorizing a Support Agreement for an annual subsidy and long-term major maintenance reserve fund for the E-NFAC, which M&C was amended on December 6, 2016 (M&C G-18890) to amend milestones in the Support Agreement. Staff now recommends providing a forgivable loan of $500,000.00 of UDAG Miscellaneous Revenue to the YMCA for the portion of the facility that is not the E-NFAC. UDAG Miscellaneous Revenue funds are rental revenues received from the lease of the City-owned parking garage under General Worth Square (City Secretary Contract No. 11085 as amended and assigned). UDAG funds must be used for projects that meet certain Community Development Block Grant (CDBG) program requirements, including use in a CDBG-eligible area, be a CDBG economic development project and include private investment. Annual revenue from the parking garage is approximately $100,000.00 and after funding this loan, the parking garage rental revenues account will have a remaining balance of approximately $300,000.00. http://apps.cfwnet.org/council packet/mc review.asp?ID=24149&councildate=12/13/2016 5/21/2018 M&C Review Page 2 of 3 , The forgivable loan would be on the following terms: Developer Commitments: 1. Invest a minimum amount of $13,000,000.00 in the development of the project by May 31, 2018; 2. Obtain final Certificate of Occupancy (CO) by May 31, 2018; 3. Make reasonable efforts to create 20 new jobs for Central City residents by the end of the second year loan term, with the following benchmarks: • Make reasonable efforts to create 10 new jobs for Central City residents by the end of the first year loan term, 5 of which will be seasonal; • Make reasonable efforts to create an additional 10 new jobs for Central City residents by the end of the second year loan term, 5 of which will be seasonal; and • Award 50 households living in the Columbia at Renaissance Square developments 20% off monthly membership fees. City Commitments: 1. Five year loan at 0% interest evidenced by a note and secured by a deed of trust against the property; 2. Payment of $400,000.00 of loan funds throughout construction; and 3. Payment of $100,000.00 of loan funds upon satisfactory evidence of meeting the one year Developer Commitments. The loan will be forgiven at the end of the five-year loan term as long as YMCA has met all the terms of the Loan Agreement. The Deed of Trust will secure YMCA's performance of the loan conditions as well as repayment of the loan funds if the loan terms are not met. If YMCA does not meet its commitments, it must repay the loan within 24 months of the end of the loan term, which will be extended accordingly. Staff has reviewed the project and has determined that it meets federal requirements for use of UDAG Miscellaneous Revenue. This project will accomplish the public purpose of furthering the United States Department of Housing and Urban Development's national objective of promoting activities that benefit low- and moderate-income persons. The project is located in COUNCIL DISTRICT 8, Mapsco 78W. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that upon approval of the above recommendations, and adoption of the attached appropriations ordinance, funds will be available in the current operating budget, as appropriated, of the Grants Fund. This is a reimbursement grant. TO Fund Department Account Project Program Activity Budget Reference# Amount ID ID Year Chartfield 2 FROM Fund Department Account Project Program Activity Budget Reference# Amount ID ID I I Year (Chartfield 2) Submitted for City Manager's Office by: Fernando Costa (6122) Originating Department Head: Aubrey Thagard (8187) http://apps.cfwnet.oria/council packet/mc review.asp?ID=24149&councildate=12/13/2016 5/21/2018 M&C Review Page 3 of 3 Additional Information Contact: Alice Cruz (7322) Avis Chaisson (6342) ATTACHMENTS 19YMCA UDAG AO FY2017.docx 2701 Moresby St.pdf YMCA Form 1295-pdf httn://anns.cfwnet.orQ/council nacket/mc review.asn?TD=24149&ccunciIdate=12/11/9.01 F 5/21/2n1 A