HomeMy WebLinkAboutContract 55559CSC No. 55559
STATE OF TEXAS
COUNTY OF TARRANT
.
T� contract ("Contract") is made and entered into by and between the City of Fort
Worth (hereafter "City") and the Development Corporation of Tarrant County (hereafter
"CHDO"), a Texas nonprofit corporation. City and CHDO may be referred to �dividually
as a"Party" and _pintly as "the Partie s".
The Parties state as follows:
WHEREAS, C ity has received a grant from the United States Department of Housing
and Urban Development 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, local lenders, private industry and neighborhood-based nonprofit 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, a portion of City's HOME funds are reserved for the use of certain
housing development entities that qualify under the HOME Regulations as a Community
Housing Development Organization or CHDO;
WHEREAS, CHDO is a Texas nonprofit corporation managed by a volunteer Board
of Directors working to increase the number of qualhy, accessible, and affordable ownership
housing un�s available to bw and moderate income persons and fatnilies and has fulfilled
the requirements of the HOME Program to be a Community Housing Development
Organization;
WHEREAS, City has certif"ied that CHDO is a Community Housing Development
Organization and has specif'ically re-certif'ied CHDO for the purpose of tl� Contract;
WHEREAS, City has provided HOME CHDO funds to CHDO to construct single
fatrnly houses for sale to bw to moderate income homebuyers;
WHEREAS, City has awarded operating funds to CHDO for the purpose of assisting
CHDO's efforts to develop and maintain rts operating capacity to expand the Production of
affordable su�gle farrn�ly houses through new construction activities; and
WHEREAS, City citizens and the City Council have deterniined that
the development of qualhy, accessible, affordable housing s needed for moderate, low, and
very 1ow �come City citizens.
CHDO OPERATING FLJNDS CONTRACT 2019-2020
Development Corp oration of Tarrant County
OFFICIAL RECORD
CITY SECRETARY
FT. VIIORTH, TX
NOW, THEREFORE, � consideration of the mutual covenants and obligations and
responsibilities contained herein, inchzdmg all F�hibits and Attachments, and subject to the
terms and condhions hereinafter stated, the Parties understand and agree as follows:
1. INCORPORATION OF RECITALS.
City and CHDO 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 add�ion to terms defined 'm the body of this Contract, the followmg terms shall
have the definhions ascribed to them as follows:
Act means the HOME Investment Partnerships Act at T�le II of the Cranston Gonzales
NationalAffordable Housing Act of 1990, as amended, 42 U.S.C. 12701 etseq.
Business Diversity Enterprise Ordinance or BDE means the City's Business Diversity
Ordinance, Ordinance No.20020-12-20ll.
Complete Documentation means the following documentation as applicable:
Attachments I and II, with supporting documentation as follows:
o Proofof expense : copies oftimesheets, invoices, leases, service contracts or
other documentation showing the nature of the cost and that payment is due by
CHDO.
o Proof of payment: cancelled checks, bank statements, or wire transfers
necessary to demonstrate that amounts due by CHDO were actually paid by
CHDO.
Other documentation: (i� documentation showing compliance with BDE or
DBE bidd�g process for procurement or Contract activities, �applicable; (ii) proof
of contractor, subcontractor or vendor elig�bil�y as described in Section 6.6; and
(n) any documents or records reasonably necessary to verify costs.
Complete Documentation shall meet the standards described m the attached
Exhibit "F" - Documentation Standards.
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 arganized under State ar local laws;
(2) Has no part of �s net earnings irnn7ng to the benefit of any member, founder,
contributor, or �dividual;
(3) Is neither controlledby, nor under the direction of, individuals or entities seeking
to derive profit or gain from the arganization. A CHDO may be sponsared or
created by a for-profit entity, but:
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(i) The for-profit entity may not be an entity whose primary purpose is the
development ar management of housing, such as a buikler, developer, ar
real estate management firm;
(n) The for-profit entity may not l�ave the right to appoint more than one- third
of the membership of the organization's governing body. Board members
appomted by the for-profit entity may not appoint the remaining two-
thirds of the board members;
(�u) The CHDO must be free to contract for goods and services from vendois
of �s 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 niling 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 ifthe private nonprofit
organization is an wholly owned entity that is disregarded as an entity separate
from �s owner for tax purposes (e.g., a s�gle member lim�ed liability company
that is wholly owned by an organization that qualifies as tax-exempt), the owner
organization has a tax exemption n�ling 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 organizationthat 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 arganization'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 appomted 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 officeis
or employees of a CHDO;
(6) Has standards of fmancial accountability that conform to 2 CFR 200.302,
`Financial Management' and 2 CFR 200.303, `Internal Controls';
(7) Has among �s purposes the provision of decent housing that is affordable to low-
income and moderate-income persons, as evidenced u� �s charter, articles of
incorporation, resolutions, or by laws;
(8) Maintains accountability to low-income community residents by.
(i) Ma�taining at least one-third of �s governing board's membership for
residents of low-mcome neighborhoods, other low-income community
residents, ar elected representative of low-income neighborhood
organizations. For urban areas, "comrrnanh�' may be a neighborhood or
neighborhoods, city, county or metropolitan area; for rural areas, �may be
a neighborhood or neighborhoods, town, village, county, or multi- county
area (but not the entire State); and
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(n) Providing a formal process for low-income-program beneficiaries to
advise the organization in ils decisions regard'mg the design, sitmg,
development, and management of affordable housin�
(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 � requirement by having paid employees with housing
development experience who w�11 work on projects assisted with HOME funds.
For �s first year of finlding 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
wil 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 s a volunteer or whose
services are donated by another organization; and
(10) Has a history of serving the community w�i�in which housing to be assisted with
HOME funds is to be located. In general, an organization must be able toshow one
year of serving the community before HOME funds are reserved for d1e
organization. However, a newly created organization formed by local churches,
service arganizations or neighborhood arganizations may meet this requirement by
demonstrating that �s parent organization has at least a year of serving the
corrnrnu�rty.
Construction Contracts means collectively City Secretary Contract No. 55558 for 2709 Ash
Crescent Street, No. 55555 for 2712 Ash Crescent Street, No. 55557 for 2713 Ash Crescent
Street and No. 55556 for 2750 Ash Crescent Street between City and CHDO for the
construction of smgle fam�ly houses in the Ash Crescent neighborhood.
DBE means disadvantaged business enterprise in accordance with 49 CFR Part 26.
Director means the Director of the City's Neighborhood Services Department.
Effective Date means the date of execution by the last of the Parties of this Contract.
Neighborhood Services Department means the City's Neighborhood Services
Department.
HOME means the HOME Investment Partnerships Program.
HOME CHDO Operating Funds means the HOME Program grant funds suppliedby
City to CHDO under the terms of tl� Contract.
HOME Regulations means the HOME Investment Partnerships Program Final Rule found
at 24 CFR Part 92 et seq.
HUD means the United States Department of Housing and Urban Development.
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IDIS means HUD's Integrated Disbursement Information System.
Reimbursement Request means all reports and other documentation described in Section
10.
3. TERM.
The term of this Contract commences on the Effective Date and terminates on
January 30, 2022 unless earlier terminated as provided 'm this Contract.
4. DUTIES AND RESPONSIBILITIES OF CITY.
4.1 Provide HOME CHDO Operatin� Funds.
City shall provide up to $45,000.00 of HOME CHDO Operating Funds for eligible
adininistration and operating expenses relating to the production of affordable single family
houses.
4.1.1 Eligible Expenses.
Elig�ble administration and operatmg expenses under �'s Conhact shall be lunrted to
(i) salaries, wages and other employee compensation and benefits; (i) rent, utilities, taxes and
insurance; and (ii) equipment, materials and supplies as more particularly descnbed on
Exhibit "B" — Budget.
4.2 City Will Monitor.
City w�l inon�or the activities and performance of CHDO and any of hs contractors,
subcontractors or vendors annually as required by 24 CFR Part 92.504.
4.3 CHDO Certification.
4.3.1 CHDO Certification b_yCit_y.
Each time City commits HOME funds h must re-certify a nonprofit's qualifications to
be a CHDO and �s capacity to own, sponsor or develop housing m accordance with Section
92.300(a) of the HOME Regulations.
4.3.1.1 By execution of this Contract, City represents that ithas re- certified
that Developer meets the CHDO definition and has the capacity
to fulfill the role of developer of a project.
5. CHDO OBLIGATIONS.
5.1. Maintain CHDO Status.
5.1.0 CHDO Requirements Met.
By the execution of this Contract, CHDO represents that it meets the requirements
for designation as a CHDO set forth in 24 CFR Part 92.2.
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Operate CHDO to Maintain CHDO Certification. CHDO shall conduct �s
operations m such a manner as to maintain its status as a CHDO throughout the term of
tlm Contract.
5.1.2 CHDO Status Reports.
CHDO has a cantinuing duty to provide City with all documentation or information m
regard to any change � rts status as a CHDO or as a 501(c)(3) tax exempt entity w�hin 10
business days of said change. CHDO shall provide an annual board roster and proof of hs
continued status as a CHDO to City by December 2°d of eachyear. CHDO sl�allreplace any
board member who resigns or is otherwise no longer able to serve w�li� 3 months of the
vacancy. The failure of CHDO to maintain it� status as a CHDO and a 501(c)(3) tax exempt
entity shall result in termination of tl� Contract and return of all HOME Funds to City if
CHDO is unable to cure any violations of tl� Section wrtl�ni 30 calendar days of written notice
from City.
5.2 Use ofHOME CHDO Operatin� Funds.
5.2.1 Costs in Compliance with HOME Re�ulations and Contract.
CHDO shall use the HOME CHDO Operating Funds to operate the CHDO as set
forth herein. CHDO shall be reimbursed for elig�ble operating costs with HOME CHDO
Operating Funds only if City determines iri hs sole discretion that:
5.211 Costs are eligible expenditures in accordance with HOME
Regulations. Eligible expenses may include.
5212 Costs are � compliance with this Contract and are reasonable,
necessary, and consistent with industry norms.
5.213 Complete Documentation, as applicable, is submitted by
CHDO.
5.2.2 Bud�et•
CHDO agrees that the HOME CHDO Operating Funds w�l be paid on a
reimbursement basis � accordance with Exhibit "B" —Budget and Exhibit "C" —
Reimbursement Schedule. CHDO may increase or decrease line-item amounts � the
Budget with the Directar's prior written approval, which approval shall be in the Director's
sole discretion, so k�ng as the expenses are � compliance with 5.2.1, comply with Exhibit "A"
— CHDO Ope rating Expe ns e Summary, and the total amount of HOME CHDO Operating
Funds is not increased.
5.2.3 Chan�e in HOME CHDO Operating Funds Bud�et.
5231 CHDO will notify City �omptly of any additional funds h
receives for operating expenses for which CHDO funds have
been allocated for under this Contract, and City reserves the
right to amend this Contract m such instances to ensure
compliance with HUD regulations governing cost allocation.
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5232 CHDO agrees to utilize the HOME CHDO Operating Funds to
supplement rather than supplant funds.
5233 Notwithstanding any provision � d� Contract to the contrary,
CHDO's efforts to identify and secure alternative funding sources
shall not delay the performance of any obligations of either CHDO
or City under ti� Contract.
5.3 Payment of HOME CHDO Operating Funds to CHDO.
HOME CHDO Operating Funds w�1 be disbursed to CHDO upon City's approval of
CHDO's written Reimbursement Requests, including submission of Complete Documentation
to City in compliance with Section 10. It is expressly agreed by the Parties that any HOME
CHDO Operating Funds not reimbursed to CHDO under the terms of this Contract shall
remain with City.
5.4 Identifv Expenses Paidwith HOME CHDO Operatin� Funds.
CHDO w�1 keep accounts and records � such a manner that City may readily identify
and account for expenses reimbursed with HOME CHDO Operating Funds. These records
shall be made available to City for auditpurposes and shall be retained as requiredhereunder.
5.5 CHDO Certification.
5.51 Meet CHDO Requirements .
By the execution of this Contract, CHDO represents that it meets the requirements
for designation as a CHDO set forth in 24 CFR 92.2.
5.52 Report on CHDO Status .
CHDO has a cantmuing duty to provide City with any documentation or mformation
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. CHDO shall provide an annual board roster and proof of its
continued status as a CHDO to City by December 2°a of each year. CHDO shallreplace any
board member who resigns or is otherwise no longer able to serve withm 3 months of the
vacancy. The failure of CHDO to maintain its status as a CHDO shall result in the termination
of tius Contract and return of all HOME CHDO Operating Funds to City.
6. INTENTIONALLY DELETED.
7. INTENTIONALLY DELETED.
8. ADDITIONAL HOME REQUIREMENTS.
CHDO agrees to comply with all requirements of the HOME Program as stated in
the HOME Regulations, includ'mg, but not limited to the followmg:
8.1 Environmental Review.
HOME CHDO Operating Funds w�l not be paid and costs cannot be incurred until
City has conducted and completed an environmental review as required by 24 CFR Part 58.
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8.2. Monitoring.
8.21 CHDO understands and agrees that �wilbe subject to monitoringby City for
compliance with the HOME Regulations urrtil the project is closed in IDIS and for 5 ye a�
after completion of the Contract. CHDO w�1 provide reports and access to project files as
requested by City d�unig the term of the Contract and for 5 years after the project is closed in
IDIS.
822 Representatives of City, HUD and the United States Comptroller General
shall have access chu-ing regular business hours upon 48 hours' prior notice to CHDO's offices
and records that are related to the use of the HOME CHDO Operating Funds, and to rts
officers, directors, agents, employees, contractors, subcontractorsand vendorsforthe purpose of such
monrtormg.
82.3 In add�ion to other provi�ians of thi� Contract regarding frequency of
monitoring, City reserves the right to perform desk reviews or on-site monitormg of CHDO's
compliance with the terms and conditions of �m Contract. After each monitoring vi�h, City
shall provide CHDO with a written report of the monitor's imding,s. If the monitoring report
notes deficiencies in CHDO's performance, the report shall include requirements for the
timely cotrection of said deficiencies by CHDO. Failure by CHDO to take the action specified
� the monitoring report may be cause for suspension ar termination of this Contract as
provided herein, or repayment of the funds disbursed under this Contract.
82.4 CHDO shall provide City annually the results of any state ar federal
monitoring Such results shall be submitted wrtl�in 60 days of receipt of such state or federal
monhoring report, or with the January Reimbursement Request, whichever is earlier.
8.3 CHDO Procurement Standards.
CHDO shall comply with all applicable federal, state and local laws, regulations, and
ordinances for making procurements under tl� Contract. In add�ion to the conflict of interest
provisions � Section 14.13.3, CHDO sl�all establish written procurement procedures to
ensure that materials and services are obtained in a cost-effective manner that provides for
full and open competition. When procuring materials and services for fliis Contract, CHDO
shall comply at a rrrinnnum with the procurement standards in 2 CFR Part 200.317 through
Part 200.326.
8.31 Contracts in excess of $10,000.00 made by CHDO using HOME CHDO
Operatmg Funds must address termination for cause and convenience u�h�lg the manner by
which such termination shall be effected and the basis for settlement of the terminated
contract, � any, as required by Append� II (B), 2 CFR Part 200.
83.2 CHDO shall not make any contract with parties listed on the government-
wide System for Award Management, www.sam.gov ("SAM"). CHDO must confirm by
search of SAM that all contractors paid with HOME CHDO Operating Funds 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. Failure to submit such proofs
of search shall be an e ve nt of default.
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83.3 Cost Principles/Cost Reasonableness.
CHDO shall adininister its use of HOME CHDO Operating Funds � compliance with
2 CFR Part 200, as applicable. The eligibility of costs incurred for performance rendered shall
be determined in accordance with 2 CFR Part 200.400 through 2 CFR Part 200.475.
83.4 Financial M anag e me nt Standards .
CHDO agrees to comply with 2 CFR Part 200, as applicable. CHDO also agrees to
adhere to the accounting pririciples and procedures required therein, ul� adequate internal
controls, and maintain necessary supporting and back-up documentation for all costs incurred
� accordance with 2 CFR Part 200.302 and Part 200.303.
83.5 Uniform Administrative Requirements.
CHDO wil comply with the Uniform Administrative Requirements, C o s t
Principles, and Audit Requirements for Federal Awards in 2 CFR Part 200, as applicable, or
any reasonably equivalent procedures and requirements that City may require.
8.4 Terms Applicable to Contractors, Subcontractors and Vendors.
CHDO understands and agrees that all terms of tl� Contract, whether regulatory or
otherwise, sl�all apply to any and all contractors, subcontractors and vendors of CHDO which
are � any way paid with HOME CHDO Operating Funds or who perform any work in
connection with the Program. CHDO shall cause all applicable provisions of this Contract to
be included m and made a part of any contract or subcontract executed irn the performance
of �s obligations hereunder inchzding its obli�ations regardmg the HOME Requirements and
HOME Regulations. CHDO sball inon�or the services and work performed by �s contractors,
subcontractors and vendors on a regular basis for compliance with the HOME Requirements,
HOME Regulations and Contract provisions. CHDO must cure all viohtions of the HOME
Requirements and HOME Regulations comrnitted by �s contractors, subcontractors or
vendors. City maintains the right to insist on CHDO's full compliance with the terms of ti�
Contract and the HOME Requirements and HOME Regulations and CHDO is responsible for
such compliance regardless of whether actions taken to fu16ll the requirements of this
Contract are taken by CHDO or by CHDO's contractors, subcontractars or vendors. CHDO
acknowledges that the provisions of this Section shall survive the earlier termination or
expiration of ti� Contract and shall be applicable for 5 years after the Contract term ends.
8.5 Copyright 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 CHDO. HUD and City
shall possess all rights to inverrtion or discovery, as well as rights in data, which may arise as
a result of CHDO's performance under tl� Contract.
8.6 Conflict of Interest Disclosure.
In accordance with the requirements of Section 14.13.2.1 and 14.13.4, CHDO shall
establish conflict of interest policies for federal awards. CHDO shall disclose to City in writing
any potential conflict of interest.
8.7 Compliance with FFATA and Whistleblower Protections.
CHDO sl�all comply with the requirements of 2 CFR 300(b), inchuling provisions
of the Federal Flu�ig Accountability and Transparency Act ("FFATA") governing
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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.
8.7.1 CHDO shall provide City with rts Data Universal Numbering System
("DUNS") number.
8.8 Internal Controls.
In compliance with the requirements of 2 CFR Part 200.303, CHDO shall:
8.8.1 Establish and maintain effective internal control over the HOME CHDO
Operating Funds that provide reasonable assurance that CHDO s managing the HOME
CHDO Operating Funds in compliance with federal statutes, regulations, and the terms and
condhions of this Coniract These internal controls shall be in compliance with guidance m
"Standards for Internal Control in the Federal Government" issued by the Comptroller
General of the United States or the "Internal Control Integrated Frameworl�' issued by the
Committee of Sponsoring Organizations of the Treadway Conun�sion ("COSO");
8.82 Complywith federal statutes, regulations, and the terms and conditions of this
Contract
8.83 Evaluate and mon�or CHDO's compliance with statutes, regulations and the
terms and condrtions of tl� Contract;
8.8.4 Take prompt action when instances of noncompliance are identif"ied including
noncompliance identif'ied �audit fa��laig,�; and
8.8.5 Take reasonable measures to safeguard protected personally identifiable
mformation and other inforn�ation that HUD or City designates as sensitive or CHDO
considers sensitive consistent with applicable federal, state, local and tribal laws regarding
privacy and obligations of confidentiality.
8.9 This Section 8 shall be applicable for the duration of the Contact term and for
5 years thereafter and shall survive the earlier termination ar expiration of this Contract.
9. RECORD KEEPING, REPORTING AND DOCUMENTATION
REQUIREMENTS; RIGHT TO AUDIT.
9.1 Record Keeping.
CHDO shall maintain a record-keeping system as part of rts performance of fliis
Contract and shall promptly provide City with copies of any document City deems necessary
for the effective fulf'illment of City's monitoring and evaluation responsibilities. Specifically,
CHDO w� keep or cause to be kept an accurate record of all actions taken and all funds
spent, with supporting and back-up documentation. CHDO wil maintain all records and
documentation related to this Contract far 5 years after the Contract terminates. If any claim,
litigation, or audit is mitiated before the expiration of the 5 year period, the relevant records
and documentation must be retamed until all such claims, litigation ar audits have been
resolved.
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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 CHDO's records pertaining to all matters covered by ti� Contract for 5
years after the Contract terminates. Such access shall be during regular business hours and
upon at least 48 hours prior notice.
9.2 Reports.
CHDO will submitto City all reports and documentation described in this Contract
in such form as City may prescribe. CHDO may also be required to submit a final
performance and/or fmal financial report �required by City at the termination of this Contract
in such farm 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 h remedies for default under ti� Contract.
9.2.1 AdditionalInformation.
CHDO shall provide City with additional information as may be required by state or
Federal agencies to substantiate HOME Program activities and /or project expenditure
elig�bility.
9.3 Chan�e in Reporting Requirements and Forms.
City retains the right to change reporting requirements and forms at �s discretion. City
wilnotify CHDO �writing at least 30 days prior to the effective date of such change, and
the Parties shall execute an amendment to the Contract reflecting such change � necessary.
9.4 City Re s erves the Right to Audit.
City reserves the right to perform an audit of CHDO's project operations and finances
at any t�rie chu-ing the term of thi� Contract or for 5 years after the Contract terminates, �City
determines that such audit is necessary for City's compliance with the HOME Regulations or
other City policies, and CHDO agrees to alow access to all pertinent materials as described
herein. If such audit reveals a questioned practice or expenditure, such questions must be
resolved w�in 15 business days after notice to CHDO of such questioned practice or
expenditure. If questions are not resolved wrtl�ul ths period, City reserves the right to withhold
further funding under this Contract and/or other contract with CHDO. IF AS A RESULT
OF ANY AUDIT IT IS DETERMINED THAT CHDO HAS FALSIFIED ANY
DOCUMENTATION OR MISUSED, MISAPPLIED OR MISAPPROPRIATED
HOME CHDO OPERATING FUNDS OR SPENT HOME CHDO OPERATING
FUNDS ON ANY INELIGIBLE ACTIVITIES, CHDO 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 REOUIREMENTS.
CHDO shall provide City with Complete Documentation and the following reports as
shown � Exhibit "E" — Reimbursement Forms with each Reimbursement Request:
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10.1 Attachment I — Invoice.
Tlus report shall contain the amount requested for reimbursement u� the submitted
request, and the cumulative reimbursement requested to date (inclusive of the current
request).
10.2 AttachmentII—Expenditure Worksheet.
T1� report shall �em�e each expense such that Complete Documentation matches
each line item requested for reimbursement by CHDO. In order for ti� report to be complete
the folovv�g must be submitted:
10.2.1 Proof that each expense was paid by CHDO, which proof can be satisfied by
cancelled checks, wire transfer documentation, paid receipts or other appropriate banking
documentation.
10.3. De adline fo r Submittin� Re imburs e ment Re que s ts .
All Reimbursement Requests along with Complete Documentation shall be submitted
by CHDO to City wrthin 30 days from each of the deadlines as shown in Exhibit "C" —
Re imburs e me nt Sche dule .
10.4 Withholdin� Payment.
10.4.1 CITY SHALL WITHHOLD PAYMENTS REQUESTED UNDER
THIS CONTRACT IF COMPLETE DOCUMENTATION IS NOT RECEIVED.
10.4.2 CITY SHALL HAVE NO OBLIGATION TO MAKE PAYMENT ON
ANY REIMBURSEMENT REQUEST THAT IS NOT RECEIVED WITHIN 60
DAYS OF THE DEADLINES SHOWN IN EXHIBIT "C" —REIMBURSEMENT
SCHEDULE. In addition, CHDO's failure to timelysubmit Reimbursement Requests
and Complete Documentation along with any required reports shall be an e vent of
de fault.
10.5 Timing of Payment.
Provided that CHDO submits Complete Documentation in conformance with this
Contract, City will reimburse CHDO for eligible expenses within 30 calendar days.
ll. DEFAULT AND TERMINATION.
11.1 Failure to Maintain or Submit Required Reports and Documentation.
If CHDO fails to maintain all records and documentation as required in Section 9,
or fails to subrrrit any report ar documentation required by tius Contract, or � the submitted
report or documentation is not m compliance with ti� Contract or the HOME Regulations as
determined by City in �s sole discretion, City vv� notify CHDO m writing and CHDO will
have 30 calendar days from the date of the written notice to obtain or recreate the missing
records or documentation, or suUn�h or resubmit any such report or documentation to City. If
CHDO fails to mamtam the required reports or documentation, or suUn�h or resubmit any such
report ar documentation whh� such time, City shall have the right to terminate this Contract
effective immediately upon written notice of such intent with no penalty or liab�y to City.
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11.2 In Ge ne ral.
ll2.1 Subject to Section 11.1, and unless specifically provided otherwise in this
Contract, CHDO shall be in default under this Contract if CHDO breaches any term or
condition of thi� Contract. In the event that such a breach remains uncured after 30 calendar
days folowing written notice by City (or such other notice period as may be specified herein),
or � CHDO has diligently and continuously attempted to cure following receipt of such
written notice but reasonably required mare than 30 calendar days to cure, as determined by
both Parties mutually and in good faith, City shall have the right to elect, m City's so�
discretion, to (i) extend CHDO's time to cure, (i) terminate this Contract effective
immediately upon written notice of such intent to CHDO. City's remedies may include:
ll2.l.l Direct CHDO to prepare and folow a schedule of actions for
carrying out the affected activities, consisting of schedules,
timetables and milestones necessary to implemerrt the affected
activities.
112.12 Direct CHDO to establish and folow a management plan that
assigns responsibilities for carrying out the remedial activities.
ll2.13 Cancel or revise activities l�lce
performance deficiency, before
Operating Funds for the activities.
ly to be affected by the
expending HOME CHDO
112.1.4 Reprogram HOME CHDO Operatmg Funds that have not yet
been expended from affected activities to other elig�ble activities
or wrtl�hokl HOME CHDO Operating Funds.
112.1.5 Direct CHDO to reimburse City � any amount of HOME CHDO
Operating Funds not used � accordance with the HOME
Regulations.
112.1.6 Suspend reimbursement of HOME CHDO Operating Funds for
affected activities.
112.1.7 Any other appropriate action including but not lunited to any
remedial action legally available such as declaratory judgment,
specif'ic performance, damages, temporary or permanent
injunctions, termination of this Contract or any other contracts
with CHDO, including but not limited to the Construction
Contracts and any other available remedies.
1122 In the event of termination under tius Section ll.2, all HOME CHDO
Operating Funds awardedbut unpaid to CHDO pursuant to tl� Contract shall be immediately
rescinded and CHDO shall have no further right to such.
11.3 No Funds Disbursed while inBreach.
CHDO understands and agrees that no HOME CHDO Operating Funds w�1be paid
to CHDO urrt�l al defaults are cured to the satisfaction of City.
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11.4 No CompensationAfterDate ofTermination.
CHDO shall not receive any HOME CHDO Operating Funds for work undertaken
after the date of termination.
11.5 Rights of Cit_y Not Affected.
Termination shall not affect or terminate any of the existing rights of City against
CHDO, or which may thereafter accrue because of such default, and �is provsion shall be
in addition to any and all other rights and remedies available to City under the law. Such
termination does not terminate any applicable provisions of ti� Contract that have been
expressly noted as surviving the term or termination of tl� Contract. No delay or omission by
City m exercising any right or remedy available to h under tl� Contract shall impair any such
right or remedy or constitute a waiver or acquiescence m any CHDO default.
11.6 Waiver of Breach Not Waiver of SubsequentBreach.
The waiver of a default or breach of any term, covenant, or condition of this
Contract shall not operate as a waiver of any subsequent breach of the same ar any other
term, covenant or cond�ion hereof.
11.7 Civil, Criminal andAdministrative Penalties.
Failure to perform all the Contract terms may result in civil, criminal or achninistrative
penalties, inch�ding, but not 1�riiled to those set out in this Contract
11.8 Termination for Cause.
11,8.1 CHDO's uncured breach or default under the Construction Contracts shall be
cause for City to terminate tl� Contract automatically. In the event City terminates this
Contract for cause under this Section 11.8.1, all HOME CHDO Operating Funds awarded but
unpaid to CHDO pursuant to tl� Contract shall be immediately rescinded and CHDO shall
have no further right to such funds. CHDO ACKNOWLEDGES AND AGREES THAT
IF CITY TERMINATE STHI S CONTRACT FOR CAUSE, CHDO OR ANY OF ITS
AFFILIATES SHALL NOT BE CONSIDERED FOR ANY OTHER CITY
CONTRACT FOR HOME FUNDS FOR A MINIMUM OF 5 YEARS FROM THE
DATE OF TERMINATION.
11.82 CHDO may terminate this Contract �City does notprovide the HOME CHDO
Operating Funds substantially in accordance with tim Contract.
11.9 Termination for Convenience.
In terminating in accordance with 2 CFR Part 200, Append� II, this Con�ct may be
terminated in whole ar�part only as follows:
11.9.1 By City with the consent of CHDO �which case the Parties sl�all agree upon
the termination conditions, including the effective date and u� the case of partial termination,
the portion to be terminated, ar
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ll,92 By CHDO upon at least 30 days written notice to City setting forth the reasons
for such termination, the effective date, and 'm the case of partial termination, the portion to be
terminated. In the case of a partial termination, if City determines in �s sole discretion that the
remaining portion of the Contract to be performed or HOME CHDO Operating Funds to be
spent wil not accomplish the purposes for which the Contract was made City may terminate
the Contract in �s entirety.
11.10 DissolutionofCHDO orLoss ofCHDO Certification Terminates
Contract.
11� Contract shall automatically terminate � the event CHDO is dissolved, ceases to
exist or loses �s CHDO certification or status.
11.11 Non-Appropriation ofFunds.
In the event no funds or insufficient funds are appropriated by City in any fiscal
period for any payments due hereunder, City will notify CHDO of such occurrence and this
Agreement will terminate on the last day of the fiscal period for which appropriations were
received without penalty ar expense to City of any kind whatsoever, except as to the
portions of the payments herein agreed upon for which funds have beenappropriated.
12. INTENTIONALLY DELETED.
13. MATERIAL OWNERSHIP CHANGE.
If ownership of CHDO materially changes after the date of �'s Contract, City may
but is not obligated to, terminate ti� Contract. City has 30 days to make such determination
after receipt of notice from CHDO and failure to make such determination wil constitute a
waiver. In the event of termination under thi� Section 13, all HOME CHDO Operating Funds
awarded but not yet paid to CHDO pursuant to this Contract shall be immediately rescinded
and CHDO shall have no further right to such funds.
14. GENERAL PROVISIONS
14.1 CHDO an IndenendentContractor.
CHDO shall operate hereunder as an independent contractor and not as an officer,
agent, servant or employee of City. CHDO shall have exclusive control of, and the exclusive
right to control, the details of the work and services perfarmed hereunder, and all persons
performing same, and shall be solely responsible for the acts and omissions of �s officers,
members, agents, servants, employees, contractors, subcontractors, vendors, tenants,
licensees or invitees.
14.2 Doctrine ofRespondeatSuperior.
The doctrine of respondeat superior shall not apply as between City and CHDO, hs
officers, members, agents, servants, employees, contractars, subcontractors, vendors,
tenants, licensees or invitees, and nothing herein shall be construed as creating a partneiship
or jo�t enterprise between City and CHDO. City does not have the legal right to control the
details of the tasks performed hereunder by CHDO, �s officers, members, agents, employees,
contractors, subcontractors, vendors, tenants, licensees or invitees.
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14.3 CHDO Propert_y.
City shall under no circumstances be responsible for any property belona na to CHDO,
its officers, members, agents, employees, contractors, subcontractors, vendots, tenants,
licensees or invitees that may be lost, stolen or destroyed or � any way damaged and
CHDO HEREBY INDEMNIFIES AND HOLDS HARMLESS CITY AND ITS
OFFICERS, AGENTS, AND EMPLOYEES FROM ANY AND ALL CLAIMS
ORSUITS PERTAINING TO OR CONNECTED WITH SUCH PROPERTY.
14.4 Religious Or�anization.
No portion of the HOME CHDO Operating 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.
Venue for any action, whether realor asserted, at law or in equity, arising out of the
execution, performance, attempted performance or non-performance of this Contract, shall
lie in Tarrant County, Texas.
14.6 Governin� Law.
This Contract shall be government by and construed � accordance with the laws of
the State of Texas. If any action, whether real or asserted, at law or � equity, arises out of
the execution, performance or non-performance of tl� Contract or on the basis of any
provision herein, far any issue not governed by Federal law, the choice of law shall be the hws
of the State of Texas.
14.7 Severability.
The provisions of this Contract are severable, and, if for any reason a clause, sentence,
paragraph or other part of this Contract shall be determined to be �valid by a court or
Federal or state agency, board or coinmission l�aving jurisdiction over the subject matter
thereof, such invalidity shall not affect other provisions which can be given effect without
the u�valid provision.
14.8 Writte n Ag re e me nt Entire Agre e me nt.
T� written instrument and the Exh�bits, Attachments and Addendums attached
hereto, which are incorporatedby reference and made a part of d�is Contract for allpurposes,
constitutes the entire agreement by the Parties concernmg the work and services to be
performed under tlus Contract. Any prior or contemporaneous oral or written agreement,
which purports to vary the terms of tl� Contract, shall be void. Any amendments to the terms
of this Contract must be in writing and executed by the P artie s.
14.9 ParagraphHeadin�s forReference Only, No Legal Significance;
Numbe r and Ge nde r.
The paragraph headings contained herein are for convenience in reference to this
Contract and are not intended to define or to lunh the scope of any provision of this
Contract. When context requires, singular nouns and pronouns include the plural and the
masculine gender sl�all be deemed to include the feminine ar neuter and the neuter gender
to include the masculine and feininine. The words "include" and "including" whenever
used herein shall be deemed to be followed by the wards "without limitation".
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14.10 Compliance With All Applicable Laws and Re�ulations.
CHDO 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 Partnership Act as set out above as "Act"
➢ T�le VI of the Civil Rights Act of 1964 (42 U.S.C. Sections 2000d etseq.) including
provisions requiring recipients of Federal assistance to ensure meaningful access
by person of lai�ed English proiiciency
➢ The Fair Housing Act, T�le VIII of the Civ�1 Rights Act of 1968 (42 U. S.C.
Sections 3601 et seq.)
➢ Executive Orders ] 1063, 11246 as amended by 11375 and 12086 and as
supplemented by Department of Labor regulations 41 CFR, Part 60
➢ The Age Discrimination in Empbymerit 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 RehabilitationAct of 1973 (29 U.S.C. Sections 794 etseq.) and
24 CFR Part 8 where applicable
➢ National EnvironmentalPolicy 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
tl� Contract be util�ed with respect to a facility that has given rise to a conviction
under the Clean Air Act or the Clean Water A c t.
➢ Immigration Reform and Control Act of 1986 (8 U.S.C. Sections 1101 et seq.)
specif'ically inchidmg the provisions requiring employer verif'ications of legal status
of �s 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 FederalAccessibility Standards, 24 CFR Part 40, Appendix
A
➢ Regulations at 24 CFR Part 87 related to bbby�g, �chuling the requirementthat
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
P art 23, Subpart F
➢ Executive Order 12549 and 24 CFR Part 5.105(c) pertaining to restrictions on
participation by u�eligible, 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 far Site and Neighborhood Standards Review
➢ Section 6002 of the So1d Waste Disposal Act, as amended by the Resource
Conservation and Recovery Act
➢ Guidela�es of the Environmental Protection Agency at 40 CFR Part 247
➢ For contracts and subgrants for construction or repair, Copeland "Anti-
Kickbacl�' Act (18 U.S.C. 874) as supplemented m29 CFR Part 5
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➢ For construction contracts � excess of $2,000, and in excess of $2,500 for other
contracts which u�volve the employment of inechanics or labarers, 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 etseq.
➢ Federal Funding Accountability and Transparency Act of 2006 ("FFATA")
(Pub.L. 109-282, as amended by Section 6205(a) of Pub.L. 110 -252 and
Section 3 of Pub.L. 113-101)
➢ Federal WhistleblowerRegulations, as containedin 10 U.S.C. 2409, 41
U.S.C.4712, lOU.S.C. 2324, 41 U.S.C.4304 and41 U.S.C. 4310.
➢ Broadband Infrastructure Requirements, 24 CFR Part 5.100 and Section 706 of
the Telecommunications Act of 1996, 47 U.S.C. 1302
➢ Violence Against Women Act of 1994, 42 U.S.C. 13981
14.11 INTENTIONALLY DELETED.
14.12 Prohibition A�ainstDiscrimination.
14.12.1 Ge ne ral State me nt.
CHDO, in the execution, performance or attempted performance of this Contract,
shall comply with all non-discrimination requirements of 24 CFR 92.350 and the
ordinances codified at Chapter 17, Article III, Division 4— Fair Housing of the City Code.
CHDO may not discriminate against any person because of race, colar, sex, gender,
religion, national origin, familial status, disability or perceived disability, sexual
orientation, gender ider�tity, gender expression, or transgender, nor will CHDO permit rts
officers, members, agents, employees, vendors or project participants to engage in such
discrimination.
T1� Contract i� made and entered into with reference specifically to the ordinances
codified at Chapter 17, Article III, Division 3- Employment Practices of the City Code, and
CHDO hereby covenants and agrees that CHDO, �s officers, members, agents, employees,
vendors and contractors, have fuly complied with all provisions of same and that no
employee, or applicant faremployment has been discriminated againstunder the terms of such
ordinances by either or �s officers, members, agents, employees, vendors or contractors.
14.12.2 No Discrimination in Emplovment durin� the Performance ofthis
Contract.
CHDO agrees to the following provision dur�g the performance of tl� Contract, and
will require that its contractors, subcontractors and vendors also comply with such provision
by including it in all contracts with hs contractors, subcontractors or vendors using CHDO
Operating Funds:
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f Contractor's, Subcontracto�'s or T�endor's Name 1_ vv�l not unlawfully
discriminate against any employee ar applicants for employment because of race, color,
sex, gender, religion, national origin, fainilial status, disability or perceived disability,
sexual orientation, gender identity, gender expression or transgender.
�Contr�actor's, Subcontractor's or T�endor's Name� w�l take affirmative action
to ensure that applicants are hired without regard to race, color, sex, gender, religion,
national origin, famil'ral status, disability or perceived disability, sexual orientation,
gender identity, gender expression or transgender and that employees are treated
fairly chui��g employment without regard to their race, color, sex, gender, religion,
national origin, faillilial status, disability or perceived di�ability, sexual orientation,
gender identity, gender expression or trans gender. Such action shall include, but not be
1'unhed to, the following: employment, upgrading, demotion or transfer, recruitment or
recruitment advertising, layoff or termination, rates of pay or other forms of
compensation, and selection for training, including apprenticeship. �Contractor's,
Subcontractor's or Vendor's Name� agrees to post inconspicuous places, a�ailable
to employees and applicants for employment, notices setting forth the provi�ions of
tl� nondiscrimination clause.
�Contractor's, Subcontractor's oN T�endor's Name� w�, in all solicitations or
advertisements for employees placed by or on behalf of �Contractor's,
Subcontractor's or T�endor's Name� , state that all qualified applicants will
receive consideration for employment without regard to race, colar, sex, gender,
religion, national origin, familial status, disability ar perceived disability, sexual
orientation, gender identity, gender expression or transgender.
�Contractor's,Subcontractor's or T�endor's Name� covenants that neither itnor
any of rts officers, members, agents, employees, or contractors, while engaged in
performing � Contract, shall, � connection with the employment, advancement
or discharge of employees or in connection with the terms, conditions or privileges of
their employment, discriminate agamst persons because of their age or because of any
disability or perceived d�ability, except on the basis of a bona fide occupational
qualif�ication, retirement plan or statutory requirement.
fContractor's, Subcontractor's or Vendor's Namel further covenants that
neither it nor rts officers, members, agents, employees, contractors, or persons acting
on their behalf, shall specify, in solicitations or advertisements far employees to wark
on tius Contract, a maxunuin age limh for such employment unless the specified
maximum age lim� is based upon a bona fide occupational qualification, retirement
plan or statutory requirement.
14.12.3 Contractors and the ADA.
In accardance with the provisions of the Americans With Disabilities Act of 1990
("ADA"), CHDO warrants that � and any of rts contractors wil 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
CHDO or any of �s contractors. CHDO WARRANTS IT WILL FULLY COMPLY
WITH ADA'S PROVISIONS AND ANY OTHER APPLICABLE
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FEDERAL, STATE AND LOCAL LAWS CONCERNING DISABILITY AND
WILL DEFEND, INDEMIVIFY AND HOLD CITY HARMLESS AGAINST ANY
CLAIMS OR ALLEGATIONS ASSERTED BY THIRD PARTIES,
CONTRACTORS, SUBCONTRACTORS OR VENDORS AGAINST CITY
ARISING OUT OF CHDO'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 Conflicts of Interest and Violations of Criminal Law.
14.13.1 CHDO Safe�uards.
CHDO shall establish safeguards to prohibh �s employees, board members, advisors
and agents from using pos�ions for a purpose that is or gives the appearance of being motivated
by a desire for private gain for themselves ar others, particularly those with whom they have
family, business or other ties. CHDO shall disclose to City any such conflict of interest or
potential conflict of interest, immediately upon discovery of such.
1413.2 General Prohibitions A�ainst Conflicts of Interest.
No employees, agents, consultants, officers or elected officials or appointed officials
of City or of CHDO who exercise or have exercised any functions or responsibilities with
respect to activities assisted with HOME CHDO Operating funds or who are in a poshion to
participate in a decision-making process or gain inside information with regard to these
activities may ut�l�e HOME CHDO Operating services, may obtain a financial interest or
benefit from a HOME CHDO Operating-assisted activity, or have an interest � 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, chu�ng their tenure ar
for 1 year thereafter, unless they are accepted in accardance with the procedures set forth
at 24 CFR P art 92.
14.1321 CHDO shall establish conflict of interest policies for federal
awards �cluding the HOME CHDO Operating Funds and
shall disclose in writing potential conflicts of interest to City as
authorized by 2 CFR Part 200.112.
14.13.3 Conflicts of Interest Involvin� Procurement.
The conflict of interest provisions of 2 CFR Part 200.318 shall apply � the procurement
of property and services by CHDO. In all cases not governed by this Section, the provisions
of 24 CFR Part 92 of the HOME Regulations shall apply.
14.13.3.1 As more particularlydescribed in 2 CFR Part 200.318, CHDO
shall maintainand submit to City written standards of conduct
covering conflicts of interest and governing the performance of
�s employees engaged in the selection, award, and
adinu�istration of contracts. No employee, officer, or agent
may participate u� the selection, award, or admmistration of a
contract supported by a federal award 'f
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he or she has a real or apparent conflict of interest. The
standards of conduct must provide for dsciplir�ary actions to be
applied for viohtions of such standards by officers, employees,
or agents of CHDO.
14,1332 The officers, employees, and agents of CHDO shall neither
solic� nor accept gratuities, favors, or anything of monetary
value from contractors or parties to subcontracts.
14.1333 Notwithstanding the prohibition contained � Section 14.13.3.2,
CHDO may set standards of conduct for situations in which
the fmancia l intere st is not substantial or the gift is an unsolicited
item of nominal value. Such standards of conduct must provide
for disciplinary actions to be applied for viohtions of such
standards by CHDO's officers, employees or agents.
14.133.4 CHDO shall maintain written standards of conduct covering
organizational conflicts of interest Organizational conflicts of
mterest means that because of relationships with a parent
company, affiliate, or subsidiary organization, CHDO is unable
or appears to be unable to be impartial in conducting a
procurement action mvolving a related organization.
14133,5 CHDO must maintain records sufficient to detail the history of
procurement. These records wil include, but are not
necessarily lim�ed to the folowing: rationale for the method of
procurement, selection of contract type, contractor selection
or rejection, and the basis for the contract price.
14.13.4 Disclosure of Conflicts of Interest.
In compliance with 2 CFR Part 200.112, CHDO is required to timely disclose to
City m writing any potential conflict of interest.
14.13.5 Disclosure of Texas Penal Code Violations.
CHDO affmns that h w�ll adhere to the provisions of the Texas Penal Code which
prolubit bribery and gifts to public servants.
14.13.6 Disclosure of Federal Criminal Law Violations.
In compliance with 2 CFR Part 200.113, CHDO is required to tIlnely disclose to City
all viohtions of federal criminal law �volving fraud, bribery or gratuity violations potentially
affecting the CHDO.
1414 INTENTIONALLY DELETED.
1415 Subcontracting with Small and Minoritv Firms, Women's Business
Enterprises and Labor Surplus Areas.
14.1 S.l For procurement contracts $50,000.00 or larger, CHDO agrees to abide
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by City's policy to involve Mii�•�y 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. CHDO agrees to incorporate the City's BDE Ordinance, and all
amendments ar successar policies or ordinances thereto, into all contracts and subcontracts
for procurement $50,000.00 or larger, and wil further require all persons or entities with
which � 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"), m�orrty 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 poss�ble as sources of supplies, equipment, construction and services.
14.16 Other Laws.
The failure to list any Federal, state or City ordinance, law or regulation that is
applicable to CHDO does not excuse or relieve CHDO from the requirements or
responsibilities in regard to folowing the law, nor from the consequences or penalties for
CHDO's failure to fobw the law, � applicable.
14.17 Assi�nment.
CHDO shall not assign all or any part of its rights, privileges, or duties under this
Contract without the prior written approval of City. Any attempted assignment of same
without approval shall be void, and shall constitute a breach of this Contract.
14.18 Ri�ht to Inspect CHDO Contracts.
It is agreed that City has the right to inspect and approve in writing any proposed
contracts between CHDO, and (i) �s general contractor and subcontractors, inchading any
lower tier subcontractors engaged � any activity that is funded as part of the construction of
the Required Improvements, (i) any vendor contracts arising out of the sale of the Required
Improvements, and (ii) any third party contracts to be paid with HOME CHDO Operating
Funds, prior to any charges being incurred under any suchcontracts.
14.19 Force Majeure.
If CHDO becomes unable, either in whole or part, to fu}f'ill � obligations under this
Contract due to acts of God, strikes, lockouts, or other industrial disturbances, acts of public
enemies, wars, blockades, insurrections, riots, epidemics, earthquakes, fires, floods, restraints
or prohibitions by any court, board, department, coininission or agency of the United States or
of any States, civil disturbances, or explosions, or some other reason beyond CHDO's control
(collectively, "Force Majeure Event"), the obligations so affected by such Farce Majeure
Event will be suspended anly during the continuance of such event and the completion date
for such obligations shall be extended for a l�lce period. CHDO w�1 give City written notice of
the existence, extent and nature of the Force Majeure Event as soon as reasonably possible
after the occurrence of the event. Failure to give notice w�1 result � the continuance of
CHDO's obligation regardless of the extent of any existing Force Majeure Event. CHDO will
use commercially reasonable efforts to remedy � inab�lily to perform as soon as prnss�ble
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14.20 Survival.
Any provision of this Contract that pertains to HOME Regulations, indemnity
obligations, reporting requirements, auditmg, monitoring, record keeping and reports, City
ordinances, the provisions of Section 8.3.2 pertaining to the Federal System Award
Management, or any other HOME Program requirements, and any default and enforcement
provisions necessary to enforce such provisions, shall survive the termination of this
Contract for 5 years after the expiration or termination date and shall be enforceable by
City against CHDO.
15. INDEMNIFICATION AND RELEASE.
CHDO COVENANTS AND AGREES TO INDEMNIFY, HOLD
HARMLESSAND DEFEND, AT ITS OWN EXPENSE, CITY AND ITS OFFICERS,
AGENTS, SERVANTS AND EMPLOYEES FROM AND AGAINST ANYAND ALL
CLAIMS OR SUITS FOR PROPERTY LOSS OR DAMAGE AND/OR PERSONAL
INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF
WHATSOEVER KIND OR CHARACTER, WHETHER REAL OR ASSERTED,
ARISING OUT OF OR IN CONNECTION WITH THE EXECUTION,
PERFORMANCE, ATTEMPTED PERFORMANCE OR NONPERFORMANCE
OF THIS CONTRACT AND/OR THE OPERATIONS, ACTIVITIES AND
SERVICES OF THE PROJECT DESCRIBED HEREIN, WHETHER OR NOT
CAUSED IN WHOLE OR IN PART, BY ALLEGED NEGLIGENCE OF
OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS OR
SUBCONTRACTORS OF CITY, AND CHDO 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 KINDS OR
CHARACTER, WHETHER REAL OR ASSERTED, ARISING OUT OF OR IN
CONNECTION WITH THE EXECUTION, PERFORMANCE, ATTEMPTED
PERFORMANCE OR NONPERFORMANCE OF THIS CONTRACT AND
AGREEMENT AND/OR THE OPERATIONS, ACTIVITIES AND SERVICES OF
THE PROJECT DESCRIBED HEREIN, WHETHER OR NOT CAUSED IN
WHOLE OR IN PART BY ALLEGED NEGLIGENCE OF OFFICERS, AGENTS,
SERVANTS, EMPLOYEES, CONTRACTORS OR SUBCONTRACTORS OF
CITY. CHDO LIKEWISE COVENANTS AND AGREES TO AND DOESHEREB Y
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
CHDO, ITS OFFICERS, MEMBERS, AGENTS, EMPLOYEES, CONTRACTORS,
SUBCONTRACTORS, 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.
IT IS THE EXPRESS INTENTION OF THE PARTIES, BOTH CHDO AND CITY,
THAT THE INDEMNITY PROVIDED FOR THIS SECTION INCLUDES
INDEMNITY BY CHDO TO INDEMNIFY AND PROTECT CITY FROM
CHDO OPERATING FLJNDS CONTRACT 2019-2020 Rev. 03/O1/2021
DevelopmentCorporationofTarrantCounty Page 23
THECONSEQUENCES OF CITY'S OWN NEGLIGENCE, WHETHER THAT
NEGLIGENCE IS ALLEGED TO BE THE SOLE OR CONCURRING CAUSE OF
THE INJURY, DAMAGE OR DEATH.
CHDO 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.
CHDO SHALL REQUIRE ALL OF ITS CONTRACTORS AND
SUBCONTRACTORS TO INCLUDE IN THEIR CONTRACTS AND
SUBCONTRACTS A RELEASE AND INDEMNITY IN FAVOR OF CITY IN
SUBSTANTIALLYTHE SAME FORM AS ABOVE.
16. WAIVER OF IMMUNITY BY CHDO.
If CHDO, as a cl�aritable or nonprofit organization, has or chims an unmunity or
exemption (statutory or otherwise) from and agamst liabil�y for damages or injury, includ'mg
death, to persons or property, CHDO hereby expressly waives �s rights to plead defensively
such immun�y ar exemption as against City. This Section shall not be construed to affect a
governmental entity's IlYmnu�s under constitutional, statutory or common law.
17. INSURANCE AND BONDING.
CHDO wil maintain coverage in the form of insurance or bond in the amount of
$45,000.00 to insure against loss from the fraud, theft or dishonesty of any of CHDO'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 CHDO Operating Funds
occasioned by such misconduct. To effectuate such reimbursement, such fidelity coverage
shall mchxde a rider stating that reimbursement for any loss or losses sl�all name the City as a
Loss Payee.
CHDO shall fi�rnish to City, in a timely manner, but not later than 10 days after the
Effective Date, certificates of insurance as proof that h has secured and paid for policies of
commercial insurance as specif'ied herein. If City has not received such certificates as set
forth herein, CHDO shall be in default of the Contract and City may at �s option, terminate
the Contract.
Such insurance sl�all cover all insurable risks incident to or m connection with the
execution, performance, attempted performance or nonperformance of tl� Contract. CHDO
shall maintain, ar require rts general contractor to maintain, the folowing coverages and limits
thereof:
CHDO OPERATING FLJNDS CONTRACT 2019-2020 Rev. 03/O1/2021
DevelopmentCorporationofTarrantCounty Page 24
Commercial General Liabilitv (CGLI Insurance
$1,000,000 eachoccurrence
$2,000,000 aggregate limit
Business Automobile Liability Insurance
$1,000,000 each accident on a combined single-limit basis, or
$ 250,000 Property Damage
$ 500,000 Bodily Injury per person per occurrence
$2,000,000 Aggregate
Insurance policy shall be endorsed to cover "Any Auto" defined as autos owned,
hired and non-owned. Pending ava�ab�ity ofthe above coverage and at the discretion
of City, the policy shall be the primary responding insurance policy versus a personal
auto insurance policy �orwhen inthe course of C�IDO'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 l�n�ed to construction, demolhion, and rehabilitation. CHDO or �s
contractors shall maintain coverages, if applicable. In the event the respective
contractors do not maintain coverage, CHDO sl�all maintain the coverage on such
contractor, �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 CHDO shall revise such amounts within 30 days
folowing notice to CHDO of such requirements.
CHDO w�l subm� to City documentation that �, and fis general contractor, have obtained
msurance coverage and have executed bonds as required � this Contract prior to payment of
any monies provided hereunder.
Where applicable, insurance policies requ�ed herein shall be endorsed to u�ch�e Crty as an
additional insured as rts interest may appear. Additional msured 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.
CHDO OPERATING FLJNDS CONTRACT 2019-2020 Rev. 03/O1/2021
DevelopmentCorporationofTarrantCounty Page 25
Any failure on part of City to request certificate(s) of insurance sl�all not be construed as a
waiver of such requirement or as a waiver of the insurance requirements themselves.
Insurers of CHDO's insurance policies shall be licensed to do business m the state of Texas
by the Department of Insurance or be otherwise eligible and authorized to do business u� the
state of Texas. Insurers sl�all be acceptable to City insofar as their financial strength and
solvency and each such company shallhave a current rrrinimum A.M. Best Key Rating Guide
rating of A: VII ar other equivalent msurance mdustry standard ratmg otherwise approved by
City.
Deductible limits on insurance policies shall not exceed $5,000.00 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.
CHDO shall require ils contractors to maintain applicable insurance coverages, limrts, and
other requirements as those specif"ied herein; and, CHDO shall require �s contractors to
provide CHDO with certificate(s) of insurance docwnenting such coverage. Also, CHDO
shall require rts contractors to have City and CHDO endorsed as additional insured (as their
mterest may appear) on their respective msurance policies.
Directors and Officers Liability or 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 m judgment,
breaches of duty and wrongful acts arising out of their management duties. Coverage shall
protect not only the entity, but all past, present and future directors, officers, trustees,
employees, volunteers and committee me mbe r s.
Notwithstanding any provision in this Contract to the contrary, when applicable,
CHDO shall complywith the requirements of2 CFR 200.310 and shall, at aminimum,
provide the equivalent insurance coverage forreal property and equipment acquired
or improved with HOME CHDO Operating Funds as providedto property owned by
CHDO.
18. CERTIFICATION REGARDING LOBBYING.
CHDO hereby certifies, to the best of its knowledge and belief, that:
No Federal appropriated funds have been paid or wil be paid, by or on behalf
of CHDO, to any person for influencing or attempting to influence an officer
or employee of any agency, a member of Congress, an of�cer or employee of
Congress inconnection with the awarding of any Federalcontract, the making
of any Federal grant, the making of any Federal loan, the entering into of any
cooperative agreement and the extension,
CHDO OPERATING FLJNDS CONTRACT 2019-2020 Rev. 03/O1/2021
DevelopmentCorporationofTarrantCounty Page 26
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 � connection with this Federal
contract, grant, loan or cooperative agreement, CHDO shall complete and
subin� Standard Form-LLL, `�isclosure Form to Report Lob ying;' in
accardance with � instructions.
11� certification is a material representation of fact upon which reliance was
placed when d� Contract was made ar entered �to. Submission of this
certificate is a prerequisite for rrraking or entering mto this Contract imposed by
31 U.S.C. Section 1352. Any person who fails to fi� the required certification
shall be subject to a civ�l penalty of not less than
$10,000.00 and not more than $100,000.00 for each such failure.
CHDO shall require that the language of this certification be included in all subcontracts
or agreements �volving die expenditure of Federal funds.
19. RELIGIOUS ORGANIZATION.
CHDO shall comply with all applicable requirements as more particularly described
� 24 CFR Part 5.109. No portion of the HOME CHDO Operating Funds shall be used �
support of any sectarian or religious activity. In addition, there must be no religious or
membership criteria for clients of a HOME-funded service.
19.1. Separation of Explicitly Refigious Activities.
CHDO retains �s independence and may continue to carry out �s mission, including
the definition, development practice, and expression of �s religious beliefs, provided that
� does not use HOME Funds to support or engage � any explicitly religious activities (including
activities that u�volve overt religi�us content such as worship, religious instruction, or
proselytization), or in any other manner prohibited by law.
19.2 Explicitly Refi�ious Activities.
If CHDO engages m explicitly religious activities (including activities that involve overt
refigious content such as worship, religi�us instruction, or proselytization), the explicitly
refigious activities must be offered separately, m time or location, from the programs or
activities supported by HOME Funds and participation must be voluntary for clients of a
HOME-funded service.
20. BOYCOTTINGISRAEL PROHIBITED.
If CHDO has fewer than 10 employees or this Agreement is for less than $100,000,
this section does not apply. CHDO acknowledges that in accordance with Chapter 2270 of
the Texas Government Code, City is prohibited from entering into a contract with a company
for goods or services unless the contract contains a written verif"ication from the company
that h: (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
CHDO OPERATING FLJNDS CONTRACT 2019-2020 Rev. 03/O1/2021
DevelopmentCorporationofTarrantCounty Page 27
those terms in Section 808.001 of the Texas Government Code. By signing this Contract,
CHDO certifies that CHDO's signature provides written verification to City that
CHDO: (1) does not boycott Israel; and (2) will not boycott Israel during the term of
this Contrac�
21. LITIGATION AND CLAIMS.
CHDO shall give City immediate notice in writing of any action, including any
proceed'mg before an adininistrative agency, filed against CHDO in conjunction with this
Contract or the project. CHDO shall furnish immediately to City copies of allpertinent papers
received by CHDO with respect to such action or claim. CHDO sl�all provide a notice to City
wrtivn 10 days upon $ng under any bankruptcy ar fmancial insolvency provisian of law.
22. NOTICE.
All notices required ar perniitted by tius 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 send'mg Party.
Citv:
City Attorney's Office
200 Texas Street
Fort Worth, TX 76102
Attention: Jo Ann Pate Telephone: 817-392-6259
Copy to:
Neighborhood Services Department
200 Texas Street Fort Worth, TX 76102
Attention: Neighborhood Development Coordinator
Te lephone : 817-3 92- 7540
CHDO:
Development Corporation of Tarrant County
1509-B S. University Dr., Suite 208
Fort Worth, TX 76102
Attn: Charles Price, President
Telephone: 817-870-9008
23. CHDO HAS LEGAL AUTHORITY TO ENTER INTO CONTRACT.
CHDO 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.
CHDO OPERATING FLJNDS CONTRACT 2019-2020 Rev. 03/O1/2021
DevelopmentCorporationofTarrantCounty Page 28
24. 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.
25. IMMIGRATION NATIONALITY ACT.
CHDO shallverifythe identity andemployment eligibility of its employees whoperform
work under this Agreement, including completing the Employment Eligibility Verification Farm
(I-9). Uponrequestby City, CHDO sl�allprovide City with copies ofallI-9 forms and supporting
eligibility documentation for each employee who performs work under this Agreemen� CHDO
shall adhere to all Federaland State laws as wellas establish appropriate procedures and car�trols
so that no services will be performed by any CHDO employee who is not �gally eligible to
perform such services. CHDO SHALL INDEMNIFY CITY AND HOLD CITY
HARMLESS FROM ANY PENALTIES, LIABILITIES, OR LOSSES DUE TO
VIOLATIONS OF THIS PARAGRAPH BY CHDO, CHDO'S EMPLOYEES,
SUBCONTRACTORS, AGENTS, OR LICENSEES. City, upon written notice to CHDO,
shall have the right to immediately terminate tl� Agreement for vi�htions of this provision by
CHDO.
26. ELECTRONIC SIGNATURES
This Agreement may be executed by electronic signature, which will be considered
as an original signature for all purposes and have the same force and effect as an original
signature. For these purposes, "electronic signature" means electronically scanned and
transmitted versions (e.g. via pdf file or facsimile transmission) of an original signature, or
signatures electronically insertedvia software such as Adobe Sign.
[SIGNATURES APPEAR ON NEXT PAGE]
CHDO OPERATING FLJNDS CONTRACT 2019-2020 Rev. 03/O1/2021
DevelopmentCorporationofTarrantCounty Page 29
IN WITNESS WHEREOF, the Parties have executed 3 duplicate originals of this
Contract to be effective on the Effective Date.
ATTEST:
�,�`'` /� G'�`
Crty Secretary
M&C 20-0197 Dated 3/24/2020
Form 1295: 202a581741
RECOMMENDED BY:
�%,-.
ti %":� ��
Fernando Costa, Assistant City Manager
Date: May 11, 2021
Victor Turner, DirectorofNeighborhood Services
APPROVED AS TO FORM AND LEGALITY:
�
� F<<� �,�, �� ���
Jo Ann Pate, Assistant City Attorney
CITY OF FORT WORTH
��
�cr�ardo COYa �May _, 202_ :��.0< �T)
Y�
DEVELOPMENT CORPORATION OF
TARRANT COUNTY, a Texas nonprofrt
corporation
� �P
By: -- —
Charles Price, President
Date: M ay 3, 2021
City of Fort Worth Agreement Compliance
M anage r:
By signing I acknowledge that I am the person
responsible for the montoring and admmistration
of ths contract, ncladmg ensuring all
performance and reporting requirements.
��
.^.ha;J Lu�oqne i.�'.a} 3, Zu2:� .1J.:5�'. :DT!
Name: Chad LaRoque
Title: Housmg Development Manager
CFIDO OPERATINGFUNDS CONTRACT 2019-2020
DevelopmentCorporation ofTarrantCounty
OFFICIAL RECORD
CITY SECRETARY
FT. VIIORTH, TX
EXHIBITS:
Exhibit "A" — CHDO Operating Expense Summary
Exhibit "A-1" — 2019-2020 Total Operating Budget
Exhibit "B" — Budget
Exhibit "C" — Re imburs e me nt Sche dule
Exhibit "D" — Audit Re quire me nts
Exhibit "E" — Re imburs e me nt Forms
Exhibit "F" —Documentation Standards
CHDO OPERATINGFiJNDS CONTRACT 2019-2020 Rev. 03/O1/2021
DevelopmentCorporationofTarrantCounty Page 31
EXHIBIT "A"
CHDO OPERATING EXPENSE SUMMARY
DEVELOPMENT CORPORATION OF TARRANT COUNTY
Capitalized terms not defined herein shall have meanings assigned to them in the Contract.
DESCRIPTION:
CHDO wil provide affordable housing production services under the terms, conditions, requirements
and resperosibilities of the Contract. City w�l make available up to $45,000.00 of HOME CHDO
Operating Funds for the sole purpose of assisting CHDO's efforts to develop and maintain �s staff and
operational capacity. The HOME CHDO Operating Funds shall be used far the reasonable and
necessary administrative and operational costs for CHDO consistent with 24 CFR 92.208, and wilbe
restricted to the items listed inExhibit "B" — Budget. CHDO shall secure competent staff and take
the necessary steps to implement an affordable housing program wrtl�in the terms of the Construction
Contracts and tl� Contract. By accepting HOME CHDO Operating Funds, CHDO maintains that it
currently has a contract with City for an elig�ble CHDO set-aside project or that � wil have a
project commitment no later than 24 months from the date of tl� Contract.
CHDO's FY 2019-2020 Operating Budget is attached as Exhibit "A-1" — FY 2019-2020 Total
Operating Budget.
SPECIFIC PURPOSE:
CHDO w�1 use operating funds for the administrative and operational expenses necessary to
operate the CHDO.
PROGRAM GOALS:
Provide for administration and operating activities related to the production of affordable
housing for sale to low to moderate income households earning at or below 80% of AMI.
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 1
EXHIBIT "A-1"
DEVELOPMENT CORPORATIDN OF TARRAlVT CDUNTY
FY 2020 TOTAL OPERATING BUDGET
Appro�ed by the Board of Directors 2/1/2020
REVENUES:
�'�rant �or�tract Ir�corr�e
Uper��tir}g grants
Asset Management Fee
�ther incame
Rental Qperations
General Contracting
I nteresi I ncome
�ther Grants
�e�eloper Fee
i�i��►�����►�:lll�.'�
1, 4 50, �00
2.s. oao
45.�0❑
],450
604. �00
128.00�
57.a7]
95, ��
i 98.00�
2, 6�3, 621
EICPENSES:
PEft50NNEL SERVICES
Er��playee 5olc�ries 29].500
Payroll Taxes 32,50�
Employee Benefits 69.�0�
5ubtotal Personnel 5ervices 393,00�
SUPPLIES
❑ffice Equiprr�ent anr� Supplies
Postc�ge anci ❑eli�ery
CQNTftACTUAE SERVICES
E2er�t
Ir�surance - D8.0 1 �eneral
Lega I Fees
Telephone i� Inferr�et
Aur�if
Accountin�
5ubto#al 5upplies
5ubtotal Contractual 5ervices
�THER E]CPEN5E5
Program ex{�er}ses
En�ergency Repair
Auf o
De�areciation
R�nial Expenses
Publicity/Marketing
Friniing anc€ Reproduction
Dues and Subs�ripfians
Tra�e1�Canfer�nces
Misc�llaneous
Meefings
Fees
5ubtotal �ther Expenses
T�TAL ExPENSES
NET REVENUE �ExPENSE]
BEF�RE CHANGE IN RESERVE
7.25�
] , 100
8.350
�,�ao
� �.�oo
24.575
3.45�
28.000
8, 500
88, 625
1.a.so.oao
7.500
1 a.250
7. S00
595.QOD
z.Soo
2.�ao
b, 50�
8.9Q0
a. Q00
7.25Q
1.90Q
2. 108.400
2.598.375
5. 24b
C�IDO Operating Contra�t -E�ibits De�elopment Re�. 03/01/2021
Corporation ofTarrant County Page 2
EXHIBIT `B"
BUDGET
DEVELOPMENT CORPORATION OF TARRANT COUNTY
HOME TCDC TOTAL
CHDO TCDC
Account Operating Grant Annual ANNUAL
Funds Budget Operating OPERATING
Budget Budget BUDGET
PROGRAM PERSONNEL
Salaries 2001 38,000 129,920 167,920 35,000
FICA 2002
Life Insurance 2003
Health Insurance 2004
Unemployment 2005
Worker's Compensation 2006
Retirement 2007
FACILITY AND UTILITIES
Teleconununication Expenses, i.e., 5001
Telephone, Cell Phone, Internet
Electric 5002
Gas 5003
Water and Wastewater 5004
Solid Waste Disposal 5005
Rent far Staff Of�ices (CHDO to 5006
furnish City copy of current lease)
Rent for 5torage of Construction
Materials (CHDO to furnish City copy 5007
of current lease)
LEGAL, FINANCIAL, AND
INSURANCE
Insurance 6001 2,600 S,52S.93 11,128.93 2,600
Contract AccountinglAudit 6002 4,400 32,000 36,400 4,400
Legal Assistance 6003
OTHER EXPENSES 1,125,100 1,125,100
TOTAL ANNUAL OPERATING
BUDGET 45,000 170,448.93 215,448.93 45,000
'Shaded cells are not eligible for reimbursement with HOME funds.
CFIDO Operating Contract— E�ibits Development Rev. 03/O1/2021
Corporation of Tarrant County Page 3
EXHIBIT "C"
REIMBURSEMENT SCHEDULE
DEVELOPMENT CORPORATION OF TARRANT COUNTY
Reimbursements w�1 be made on a quarterly basis in accordance with the schedule provided below.
Payments wil be based on the ]me items � Exhibit "B" — Budget. CHDO must subin� Complete
Documentation and Reimbursements Requests wrtl�ui 30 days of the end of the month for which
payment is requested. For example, the Reimbursement Request for payment for December2019
should be received by January 31, 2020, unless waived by City in writing. The amounts listed below
are estimates and may vary from month to month depending on the needs of the CHDO.
Period Due Date Amount
October—December2021 January 31, 2022 $11 250.00
Janua — March 2021 April 30, 2021 $11 250.00
A ril — June 2021 July 31, 2021 $11 250.00
Jul — Se tember 2021 October 31, 2021 $11 250.00
TOTAL $45 000.00
In the alternative, CHDO may submrt Reimbursement Requests, with City approval, which include
mu�iple quarters of expenses. CHDO may also, with City approval, suUinh Reimbursement Requests
more than 30 days from the deadlines shown above.
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 4
EXHIB IT "D"
AUDIT REQUIREMENTS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
CITY OF FORT NEIGHBORHOOD SERVICES DEPARTMENT
AUDIT REQUIREMENTS
Organizations expending $750,000 or more in federal awards (from City of Fort Worth and other funding
sources) during their fiscal years shall obtain either an annual single audit or a program specific audi�
Organizations may have a program specific audit in accordance with OMBCircular A-133, or other standard
set forth in the Contract if applicable, if they expended funds for only one federal program as listed in the
Catalog of Federal Domestic Assistance ("CFDA"). If funds are spent for more than one federal program, a
single audit is required. The audited time period is the organization's fiscal year, and not the City of Fort
Worth's funding period.
The audit shall be conducted by a certified public accountant ("CPA") that is licensed at the time of the audit
by the appropriate regulatory body. The CPA shall meet all of the general standards concerning qualifications,
independence, due professional care and quality conirol as required by Government Auditing Standards,
including the requirements for continuing professional education and external peer reviews. Auditor selection
must adhere to federal procurement requirements.
A separate supplementary schedule of revenues, expenditures and changes in fund balance for each City of
Fort Worth contract is no longer required. The Schedule of E�enditures of Federal Awards should list City
of Fort Worth 's contract numbers, the total expended for each individual federal program, and the CFDA
number (OMB A-133 § .310).
The independent auditor's report should include all of the relevant items listed on the "Audit Report Checklist."
Additional guidance on the conduct and reporting of these audits is contained in the latest issuance of the
following publications:
Government Auditing Standards issued by the Comptroller General of the United States, 2003
OMB Circular A-133 as revised 6/30/97 and amended June 2003
OMB Circular A-133 Compliance Supplement
AICPA's Statement of Position 98-3, "Audits of States, LocalGovernments, andNot-for-Profit
Organizations Receiving FederalAwards"
Various AICPA audit guides for nonprofits, colleges and universities and health and welfare organizations
AICPA's Audit Risk Alert "State and Local Governmental Developments"
Government Auditing Standards by the Texas Department of Housing and Community Affairs for PYoper�ties
Receiving Low Income Housing Tax Credits
All organizations that receive a City of Fort Worth award must submit the provided Audit Certification Form
which certifies whether you are subject to asingle/program audit. Organizations receiving federal awards from
the City of Fart Worth who are not required to have an audit shall certify m writing to the agency. The
organization's Chief Executive Officer or Chief Financial Officer shall make the certification within 60 days
of the end of the organization's fiscal year in the year that the project was completed.
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 5
The following �ems should be submitted to the C�y of Fort Worth Neighborhood Services Department w�hin
the required timeframe:
Due 60 days after organization's fiscal year end in the year that the project was completed: (required for all
subrecipients)
• Completed Audit Certification Form
Due within the earlier of 30 days after receipt of the auditor's report or nine months after the end of the audit
erp iod•
• Two copies of the entire audit report issued by the CPA
• Two copies of any management letter issued by the CPA in conjunction with the audit report
• Two copies of management's comments on all findings, recommendations, & questioned cost�
contained 'm the audit report and management letter, mcluding a detailed corrective action plan
Failure to submit any of thes e items by the required due date may result in holds on current reimburs em�t
requests, suspension of the organization's contract(s) and elig�ility for future fund'mg.
If the organization does not meet the requirements of hauing a single/program audit conducted, records must
still be kept auailable for review or audit by City of Fort Worth staff (OMS A-133 Subpart B Sec 200(d)).
If additional information is needed concerning the audit requirements, please call (817) 392-6141.
CFIDO Operating Contract—E�ibits Development Rev. 03/01/2021
Co rp oration of Tarrant County Pag e 6
EXHIB IT "D"
AUDIT REQUIREMENTS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
CITY OF FORT WORTH
NEIGHBORHOOD SERVICES DEPARTMENT
SINGLE AUDIT REPORT CHECKLIST
The Department developed this checklist to help organizations improve the quality and completeness of audit
reports.
❑ General Purpose or Basic Financial Statements of the Organization Opinion/Report on Organization's
Financial Statements in accordance with GovernmentAuditing Standards
❑ Notes to the General Purpose or Basic Financial Statements of the Organization
❑ A Schedule of F�penditures of Federal Awards, including the Department's contract numbers, the
total expended for the federalprogram, and the CFDAnumber (OMB A-133 Subpart C Sec 310).
❑ Opinion/Report on Schedule of Expenditures of Federal and State Awards
❑ Report on Compliance and on Internal Control Over Financial Reportin� Based on an Audit of
Financial Statements Performed inAccordance With GovernmentAuditing Standards. (OMBA-133
§ 505 (b))
❑ Report on Compliance with Requirements Applicable to Each Major Program and Internal Control
over Compliance in Accordance with OMB Circular A-133. (OMBA-133 § 505 (c))
❑ Schedule ofFindin�s and Questioned Costs (OMB A-133 §. SOSd), including: Summary Schedule of
Priar Audit Findings reporting the status of all findings included m the prior audit's schedule of
findings and questioned costs. (OMBA-133 Sec. 315 (a) and (b))
❑ Corrective Action Plan including (OMB A-133 Sec. 315 (c)) name of pexson responsible for the
corrective action, corrective action planned, anticipated completion date, and explanation and reason
�' auditee does not agree with findings orbelieves correction s not required.
❑ All reports are signed and dated by the auditor
❑ Two copies of the audit reports are submitted
❑ Two copies of the management letter, if issued in conjunction with the audit report. Two copies of
comments by management concerning all findings and recommendations included iri management
letter, includmg a corrective action plan.
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 7
EXHIBIT "D"
AUDIT REQUIREMENTS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
CITY OF FORT WORTH NEIGHBORHOOD SERVICES DEPARTMENT
Audit Certification Form
Subrecipient: FiscalYear Ending: / /
Month Day Year
❑ We have exceeded the federal expenditure threshold of $750,000. We will have our Single Audit or
Program Specific Audit completed and will submit the audit report within nine (9) months after the end of
the audited fiscalyear.
❑ We did not exceed the $750,000 federal expenditure threshold required for a Single Audit or a
Program Specific Audit to be performed this fiscal year. (Fill out schedule below)
Federal Expenditure Disclosure
Must be filled out if Single Audit or Program Audit is not required:
Pass Through
Federal Grantor Grantor
Fed eral Exp enditure Dis clo sure
Federal Funds
Program Name & Contract
CFDA Ntunber Number
Total Federal Expenditures for this FiscalYear
Printed Name
Authorized Si gnature (Mu st b e CFO, CEO o r eq ui val ent)
PhoneNumber
Exnenditures
Date
Failure to submit this or a similar statement or failure to submit a completed single audit package as
described in the audit requirements by the required due date will result in suspension of funding and will
affect eligibility for future funding.
Submitthisform totheCity ofFortWorth NeighborhoodServicesDepartmentwithin60daysaftertheendofyourFiscalyear
$
TitLe (Must beCFO,CEO orequivalent)
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 8
EXHIB IT "E"
REIMBURSEMENT FORMS
DEVELOPMENT CORPORATION OF TARRANT COUNTY
INVOICE
Developer: Development Corporation of TarrantCounty
Address:
City, State,Zip:
Project: 19-20 CHDO Operatin�
Tax ID Number
Phas e Number:
Amo unt
This Invoice Cumulative to Date
$ $
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 9
Attachment II
EXPENDITURES WORKSHEET
Developer: Development Corporation of Tarrant County CHDO Operating
LINE CHECK EXPENSE DESCRIPTION BUDGET PAYEE AMOUNT
NO. NO. LINE 1TEM
(Itemi� each expense and attach invoices, receipts,
cancelled checks, and other backup documentaGon to (From
verify that the costs are directly attributable to the Project ExhibitB)
and thatthe costs have actually been paid by Developer.)
1
2
3
4
5
6
7
8
9
10
TOTAL
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 10
EXHIB IT "F"
STANDARDS FOR COMPLETE DOCUMENTATION
DEVELOPMENT CORPORATION OF TARRANT COUNTY
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 11
CHDO Operating Contract Expenses
�
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� � ��w
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v �° £ °
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cI N � �0 �•— N O
.] O � 0 tN6 = � �i �, >
Budget Line Items � a F U � w H r � o
Employee Salaries and Benefits
ISalaries I I X IX* I I I
I Ta�s
Insurance
Insurance
Disability I I I
Insurance
Unemployment I I I
Payroll Ta�s
Retirement -
Prog ram Costs,
401 K, etc
Professional Services
Accounting X X X X
Ser�ices
Materials, Equipment, Goods and Supplies
�OfficeSupplies � X � X � � � � X
�OfficeEquipment � X � X � I I � X
ruction &
�g Materials
and
eaning Supplies
:aching Aids
aft Suppl i es
bd Suppl i es
an employ�e �nrorks solely with contract eligible clients and solely on contract eligible items,
en the employQe s entire salary is eligible for reimbursement. Twice in each calendar y�ar,
e client must submit a written statement �.erifying that the abo� conditions are still true. The
atement must also be signedbe aperson authorized tosignon behalf ofthe agency.
an employee works on a�ariety of programs, orwvrl6 with a mi#ure ofcontract eligible
cti�ties and non-eligible acti�ities, then the City will only reimburse for a reasonable portion
f the employ�e's salary. Each reimbursement request must include not only the employ�e's
mesheet, but also a wnrk log brealang out the employ�e's time by project or acti�ty. For
mployees paid with multiple funding sources, timesheets must reflect all funding sources. If
eparate timesheets are I�pt for each funding source, all such timesheets must be submitted
� Ciry.
employ�es are paid by direct deposit rather than check then the agency must submit both
: direct deposit payment companys report (such as an ADT report) and a bank statement
check showing payment to the direct deposit company.
If the Citypays grass salary, this is already included. If the City pays the employar portion of
payroll ta�s, then the employer must show a calculation and documentation of how the
inwiced amount was calculated and include documentation showing payment.
Mustshow acalculation and documentation of howthe inwiced arraunt was calculated and
ether it is included in gross employee salary amount, must include an inwice from the
insurer, and must include dxumentation showing payment.
Mustshow acalculation and documentation of howthe inwiced arraunt was calculated and
ether it is included in grass employee salary amount, must include an inwice from the
insurer, and must include documentation showing payrnent.
Must show a calculation and documentation of how the inwiced amount was calculated and
ether it is included in grass employee salary amount, must include an inwice from the
insurer, and must include documentation showing payrrient.
Ifthe Citypays gross salary, this is alreadyincluded. If the City pays the employQr portion,
hen t he empl o yer must show a cal c ulati on and docu me ntati on of how th e i nwi ced a mo unt
s calculated, and must includedocumentation showing payment.
Mustshow acalculation and documentation of howthe inwiced amount was calculated and
ether it is included ingross employee salary amount, must include documentation showing
payment, and prior to the f rst reimbursement, must include the personnel policy regarding
retirement benefts.
If an audit is required becausefederal funds e�eed $500,000, then the cost should be split
e�nly by all federal funding sources. If accounting ser�ices are contracted, the costs of the
ser�ice should be appropriately cost allocated across funding sources and/or programs, and
documentation of the cost allocation pro�nded to the City.
agency should maintain information regarding mailouts. Iftheagency has a Pitney Bowes
iine or IikE postage machine, the records of that machine must be on file. Lil�wise, if
is categorized by pa�mient source, then those records must be on fle. For large
�uts, the agency should keep a copy of the letter and a list of all addressees.
category is only available for REACH.
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 12
IMileage* I * Reimbursement baclvp for mileage includes a mileage log which will include the date of the
trip, destination of the trip, and purpose of the trip. The City reimburses mileage at the lower o
the agencJs rate or the IRS rate.
Rent, Utilities and Maintenance -Ifthe following e�ensesare paidfora facilitythatisused forotherpurposesbesidesthe
contract program, thenthe billsmust be split based uponthe square footageattributableto the contractprogram. Thisbreakout
must be agreed to by City priorto thefirst reimbursement of rentor utilities. Also, ifany otherfunding source paysfora portion ofthe
expense, men each invoice should indicate which portionsare to be paid by which source.
ITelephone I X I X I I I I I
�Gas � X � X � � � � �
�WaterM/astewater I X I X � I I I I
�Electric � X � X � � � �
ISolid Waste X X I
Disposal
IFacility X X I X
Maintenance and
Repairs
�Custodial Ser�ices � X � X � � � � �If ser�ices are pro�ded per a contract, agency will pro�ide contract instead of inwices.
IRent I I X I I I X I I
Miscellaneous
IContract Labor I I X I I X I I X I
Insurance and/or X X Must pro�ide certifcates of insurance with current dates, or acopy of performance bond as
Performance Bond applicable.
Reauired Under the
or X X I X Must pro�de documentation of conference or training attended, such as a copy of conference
agenda, hotel reservation, airline itinerary, etc. Only required tra�,el and conference or
educational fees (no food e�enses) will be reimbursed.
CHDO Operating Contract—F�hibits Development Rev. 03/O1/2021
Corporation ofTarrant County Page 13
City of Fort Worth,
Mayor and
Texas
Council Communication
DATE: 03/24/20 M&C FILE NUMBER: M&C 20-0197
LOG NAME: 19ASH CRESCENT NEIGHBORHOOD INFILL
SUBJECT
Authorize Expenditure of HOME Investment Partnerships Program Grant Funds in the amount of $399,448.00 to Development Corporation of
Tarrant County, a certified Community Housing Development Organization in the Form of a Subordinate Forgivable Loan for Development of Four
Single Family Houses in the Ash Crescent Neighborhood and Authorize Execution of Related Contracts (COUNCIL DISTRICT 8)
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 $399,448.00 in HOME Investment Partnerships Program grant funds to Development Corporation of Tarrant
County in the form of a subordinate forgivable loan for the Ash Crescent Neighborhood Single Family Infill Development;
3. Authorize the City Manager, or his designee, to execute a contract with Development Corporation of Tarrant County in the total amount of
$399,448.00 for the development for a three year term beginning on the date of execution of the contract;
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 contracts if necessary to achieve project goals provided that the amendments are
within scope of the project and in compliance with City policies and applicable laws and regulations governing the use of federal grant funds.
DISCUSSION:
On August 6, 2019, the City Council approved the City's 2019-2020 Action Plan for submission to the United States Housing and Urban
Development Department (HUD), which included $399,448.00 in HOME Investment Partnerships Program (HOME) grant funds to Development
Corporation of Tarrant County (DCTC) for the Ash Crescent Neighborhood Single Family Infill Development (M&C 19-0016). HUD requires the
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.
DCTC plans to develop four approximately 1,700 square foot, three-bedroom, two-bath, two-car garage single family houses on Ash Crescent
Street. 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 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.
On February 4, 2020, the Fort Worth Housing Finance Corporation approved the sale of four of its vacant lots in the Ash Crescent Neighborhood
to DCTC for the project.
Staff recommends execution of a contract with Development Corporation of Tarrant County for a subordinate forgivable loan of CHDO HOME
funds in the amount of $399,448.00 for the development of the Ash Crescent Neighborhood Single Family Infill Development on the following terms
and conditions:
HOME Contract and HOME Loan Terms:
1.
2.
3.
4.
5.
6.
7.
8.
F'7
Construction must begin within six months of date of Contract execution;
Loan term to commence on execution of the loan documents;
Three year term for HOME contract and HOME loan;
First lien commercial construction loan terms must be acceptable to City;
HOME loan will be subordinate only to first lien commercial construction loan;
Borrower's performance of the terms of the HOME contract and HOME loan will be secured by a deed of trust;
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;
DCTC will be paid a15 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,
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 followin�
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.
The purpose of this project is to benefit low and very low-income citizens by providing them with affordable housing. 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, 2019 to July 31, 2019. 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.
Submitted for City Manager's Office b� Fernando Costa 6122
Originating Business Unit Head: Victor Turner 8187
Additional Information Contact: Chad LaRoque 2661
Leticia Rodriguez 7319