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Home My WebLink AboutContract 35408-A1 CONTSECRETARY ACT NO FIRST AMENDMENT TO CITY SECRETARY CONTRACT NO.35408 WHEREAS, on June 25, 2007, the City of Fort Worth ("City") and Mental Health Housing Development Corporation, Inc. ("MHHDC") made and entered into City Secretary Contract No. 35408 (the "Contract"), as authorized by M&C G-15730 adopted by the City Council on May 22, 2007, which provided $596,000.00 of City's HOME funds to MHHDC for the reconstruction of the Hanratty Place Apartments; WHEREAS, the Contract provided funding pursuant to a grant received by City from the United States Department of Housing and Urban Development ("HUD") through the Home Investment Partnerships Program ("HOME"), Program No. M-03-MC-48-0204, Catalog of Federal Domestic Assistance ("CFDA") No. 14.239, with which the City desires to promote activities that expand the supply of affordable housing and the development of partnerships among the City, local governments, local lenders, private industry and neighborhood based nonprofit housing organizations; WHEREAS, MHHDC is qualified as a Community Housing Development Organization ("CHDO") and previously received a grant of HOME funds under City Secretary Contract No. 33442 for predevelopment expenses for a Low Income Housing Tax Credit ("LIHTC") application to the Texas Department of Housing and Community Affairs ("TDHCA") in order to demolish and reconstruct the Hanratty Place Apartments, its affordable special needs housing project located at 800 S. Jennings, Fort Worth, TY. 76104("Project"); WHEREAS, MHHDC received an award of LIHTC from the TDHCA for the Project in 2006 and formed Hanratty Place Apartments, L.P., a single asset entity to own and operate the Project for the LIHTC compliance period; WHEREAS, the purpose of the Contract is to provide City HOME CHDO funds to MHHDC for the Project in the form of a Construction Costs Grant of $546,000.00 for reconstruction costs and an Operating Costs Grant of $50,000.00 for operating expenses to ensure that MHHHDC can continue to provide quality, accessible affordable housing to disabled low income tenants; WHEREAS, the Construction Costs Grant of $546,000.00 was disbursed in October 2007, construction was completed in early fall 2008 and all units were occupied by income- qualified special needs tenants by the end of December 2008; WHEREAS, MHHDC submitted a reimbursement request for the Operating Costs Grant for operating costs incurred before October 16, 2008 which, through no fault of MHHDC, was disallowed because the "Authority to Use Grant Funds" was not received from HUD until October 16,2008; OFFICIAL RECORD 0 -l -a a a :41T1�SFCCR�TARY FT WORTH,TX CONTRACT AMENDMENT CSC NO. 35408 .-ti. - .T--Page- Mental Health Housing Development Corporation Rev.08-26-09 WHEREAS, the Contract allows for a one (1) year extension; and MHHDC has requested that the City extend the Contract for a period of one (1) year in order to receive the Operating Costs Grant for eligible expenses incurred after October 16, 2008; and WHEREAS, the City Council authorized the City Manager or his designee to amend the Contract, if necessary, to achieve project goals provided the amendment is within the scope of the original project and in compliance with applicable laws and regulations. WHEREAS, it is the mutual desire of the City and MHHDC to amend and extend the Contract to achieve project goals. NOW, THEREFORE, City, whose address is 1000 Throckmorton St., Fort Worth, Texas 76102, acting by and through T.M. Higgins, its duly authorized Assistant City Manager, and MHHDC, whose address is 603 West Magnolia, Ste#204, Fort Worth,TX. 76104, acting by and through David Fielding, its duly authorized President of its Board of Directors, do hereby agree as follows: I. 1. GENERAL PROVISIONS B. Duration/Affordability Period The first paragraph of this section is amended to be and read as follows: "The term of this Contract begins on the date of its execution and terminates three (3) years thereafter except for any applicable provisions relating to ensuring affordability." F. Construction and Other Local Building Codes 1 Standards. The first paragraph of this section is amended to be and read as follows by adding the following sentence: "In addition,MHHDC shall meet all required property standards in accordance with 24 CFR 92.251 and all mandatory standards and policies relating to energy efficiency contained in the state energy conservation plan issued in compliance with the Energy Policy and Conservation Act, (Pub. L. 94A, 89 Stat. 871)." 1. Termination The first paragraph of this section is amended to be and read as follows: "This Contract may be terminated upon mutual convenience upon agreement of the Parties. City may terminate this Contract in whole or in part in the event of MHHDC's default, inability or failure to perform. City shall notify MHHDC in writing of any breach of this CONTRACT AMENDMENT CSC NO. 35408 Page 2 Mental Health Housing Development Corporation Rev.08-26-09 Contract and specify a reasonable time but not less than thirty (30) days to cure the breach. If MHHDC fails to cure the breach within the time stated in the notice, City may take any of the following actions: a. Temporarily withhold disbursements pending correction of the deficiency; b. Disallow all or part of the cost of the activity or action not in compliance;. c. Accept MHHDC's failure to comply or correct any deficiency or breach within the time period specified as evidence of MHHDC's inability to perform under the terms of this Contract and intent to terminate this Contract and surrender all rights to any remaining HOME Funds; d. Withhold any other HOME awards from MHHDC or any affiliates; e. Pursue any other legal remedies available to City to ensure compliance with this Contract and any documents securing performance of MHHDC's obligations hereunder. MHHDC may terminate this Contract if the City does not provide the HOME Funds set forth in this Contract." II. 3. DUTIES AND RESPONSIBILITIES OF MHHDC E. Affirmative Marketing This section is amended to be and read as follows by inserting the following as the third sentence: "The procedures and requirements must also include the designation of an individual that will be responsible for marketing the Project and Program and establishing a clear application screening plan and the maintenance of documentation and records to evidence affirmative marketing procedures have been implemented." III. The following line of Exhibit"A"Program Summary Scope of Work attached to the Contract is amended to read and be as follows: "PROGRAM MEASURES: 2007-2010 Budget" CONTRACT AMENDMENT CSC NO. 35408 Page 3 Mental Health Housing Development Corporation Rev.08-26-09 IV. All other terms and conditions of City Secretary Contract No.35408 not amended herein remain unaffected and in full force and effect,are binding upon the Parties, and are hereby ratified by the Parties. [SIGNATURES APPEAR ON FOLLOWING PAGE] CONTRACT AMENDMENT CSC NO. 35408 Page 4 Mental Health Housing Development Corporation Rev.08-26-09 IN WITNESS WHEREOF, the parties hereto have exe uted four copi s of this Contract Amendment in Fort Worth, Tarrant County, Texas, this-15day of , 2009. ATTEST: CITY OF FORT WORTH By: City Secretary T.M.Higgins,Ass a City Manager M&C G-15730 Date: 5-22-07 AAP VED AS TO FORM LEGALITY: r � Vicki Ganske,Senior Assistant City Attorney MENTAL HEALTH HOUSING DEVELOtMENT CORPORATION By: Dalv'lidf ieiding,President STATE OF TEXAS § COUNTY OF TARRANT § This instrument was acknowledged before me on ,2009 by T.M. Higgins,Assistant City Manager,of the City of Fort Word,on behalf the City of Fort Worth. MARIA S.SANCHE Not ry Public,State of Texas NOTARY PUBLIC S i AT E OF TEXAS 17 14-2009 STATE OF TEXAS § COUNTY OF TARRANT § This instrument was acknowledged before me 2009 by David Fielding,the President of Mental Health Housing revelopment Corporation,a exas non- pro r-(5 oration.MAUREEN H PIKE Notary public,State of TexasPublic,State exas s; j MY Commlesbn Expires .... bocember 19.3011 CONTRACT AMENDMENT CSC NO.35408 Page 5 Mental Health Housing Development Corporation Rev.08-26-09 oFFICi►��RE(;uR❑ qTY SECRETARY T.WORTH,TX