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HomeMy WebLinkAboutContract 44565-A1 (2)1 ' i - '���� � ' � , . - �, : ; , ; �:_z ; ,_ ,; ,��, � • � � � � / � • / � � 1 WHEREAS, on June 20, 2013 the City of Foi-t Worth ("City") and Tarrant County Housing Partnership, Inc. ("Developer") made and entered into City Secretaiy Contract No. 44565 (the "Contract"), as authorized by the City Council in M&C C- 24714 adopted on Januaiy 25, 2011 which provided $381,931.00 of City's HOME funds to Developer for the development and construction of 3 single family houses in the Hillside-Morningside neighborhood (the proj ect); WHEREAS, the funding provided to Developer in the Contract was from a grant received by the City from the United States Department of Housing and Urban Development ("HUD") through the HOME Investment Partnership Program, Catalog of Federal Domestic Assistance No. 14.239; WHEREAS, a portion of the 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 ("CHDO") and Developer is qualified as a CHDO under the HOME Regulations; WHEREAS, Developer requested $117,086.00 of HOME CHDO funds for the construction of a single family house located at 1300 E. Jefferson to be sold to HOME Eligible Buyers under the tei-ms and conditions set forth in the Contract; WHEREAS, the proposed budget foi• the house was prepared in 2011 based on estimates of costs at that time, but due to increases in acquisition costs, development costs and construction costs, as well as other additional unanticipated costs not included in the estimates on which the Budget was based, Developer has requested an additional $8,081.22 of HOME Funds to complete the house; WHEREAS, Developer has requested an amendment to the line item amounts listed in Exhibit "B" Project and Reimbursement Schedule and in Exhibit "C" - Budget due to unforeseen additional costs for the project; WHEREAS, it is the mutual desire of City and Developer to amend the Contract to complete the project and meet Contract objectives. NOW THEREFORE, City and Developer hereby agree as follows: I. Section 2. DEFINITIONS is amended to be and read as follows: "Completion Deadline means September 30, 2014." II. - AFFICIAL RECORD Section 4.7 is amended to be and read as follows: ��q� �ECRETAR� CONTRACT AMENDMENT 1 to CSC No. 44565 Tan•ant County Housing Partnership, Inc. — 1300 E. Jefferson �T. WORTH, `�� � �a�e-1 J Rev. 7-29-14 "4.7 Developer Fee. Developer shall receive a fee of 10% of the total eligible development costs actually spent to complete the Required Improvements in accordance with the terms of this Contract ("Developer Fee"). The Developer Fee shall be paid at the closing of the sale of the Required Improvements to a HOME Eligible Buyer." III. Section 7.1.1 is amended to be and read as follows: "7.1.1 Reimbursement of HOME Funds. City will reimburse Developer up to $125,167.22 of HOME Funds for eligible expenses (excluding the Developer Fee) related to construction of the Required Improvements, so long as such eligible expenses are in conformance with Exhibit "B" — Project and Reimbursement Schedule and Exhibit "C" - Budget and sufficiently proved by Complete Documentation." IV. The first sentence of Section 14. INSURANCE AND BONDING is amended to be and read as follows: "Developer will maintain coverage in the form of insurance or bond in the amount of $125,167.22 to insure against loss from the fiaud, theft or dishonesty of any of Developer's officers, agents, trustee, directors or employees." V. �xhibit "B" - Project and Reimbursement Schedule and Exhibit "C" - Budget attached to the Contract are hereby replaced with Exhibit "B" - Project and Reimbursement Schedule Revised 7/2014 and Exhibit "C" - Budget Revised 7/2014 attached hereto. VI. This amendment is effective as of the Effective Date of the Contract except the amendment to Section 14 is effective as of the date of this amendment. VII. All other terms and conditions of City Secretaiy Contract No. 44565 not amended herein remain unaffected and in full force and effect, are binding upon the Par-ties, and are hereby ratified by the Parties. Capitalized terms not deiined herein shall have meanings assigned to them in the Contract. [SIGNATURES APPEAR ON FOLLOWING PAGE] CONTRACT AMENDMENT 1 to CSC No. 44565 Page 2 Tarrant County Housing Partnership, Inc. — 1300 E. Jefferson Rev. 7-29-14 ACCEPTED AND AG ATTEST: Ltj .i. _1 • y�. :�•r�+� � r',�+'.,,�ryi. �.�." 'i • OF FORT WORTH �o v <;r�� a000000� -�. _ ,"�� � § § § Fernando Costa, Assistant City Manager M&C G24714 Date: 1/25/2011 APPROVED AS TO O ND LEGALITY: � � � �,K,C.� � v'c � - i , _ fL� �� . _ ��L� Vicki S. Ganske, Senior Assistant City Attorney STATE OF TEXAS COUNTY OF TARRANT § § § � %. This instrument was acknowledged before me on � , 2014 by Fernando Costa, Assistant City Manager of th�ty of Fort orth, on behalf the City of Fort Worth. . �� -4/ - _ ",�;��,,. �-_' ' EVONIA DANIELS � ``otiPRY AVB! ��. ;_: �_ Notary Public, State of TeR .:.; =���P`,c My Commission Expires '%'„�„:` July 10, 2017 i �._. �,��� Public, State of Texas TARRANT COUNTY HOUSING PARTNERS�I�P�,a Texa�on-profit corparation By: anNess, STATE OF TEXAS COUNTY OF TARRANT /�� This instrument was acknowledged before me on , 2014 by Donna VanNess, President of Tarrant County Housing Partnership, Inc., a Texas non-profit corporation, acting on behalf of such corporation, r �, '"���.�i%%' ROSE MARY RODRIGUEI J�� ���:'��: Notary Public, State of Tex2s ��; �•.: N1y Commission Expiies _ �__` _ April 18, 2015 _� Notary Public, State ��� � . Texas OFFICiAL RECORD I CONTRACT AMENDMENT 1 to CSC No. 44565 CITY �itETARY Tarrant County Housing Partnership, Inc. — 1300 E. Jefferson �T. �R B(�d' � A EXHIBIT "B" PROJECT AND REIMBURSEMENT SCHEDULE REVISED 7/2014 TARRANT COUNTY HOUSING PARTNERSHIP, INC. 1300 E. Jefferson Phase Activity Ending Week — subject to weather ermittin PHASE I ACTIVITIES: Contract signed Land and/or• Building Acquisition Survey PHASE I DEADLINE: lst PaymentX $2,038.00 Au ust 7, 2013 PHASE II ACTIVIITES: Site Preparation Architectural & Engineering Fees Landscaping Construction costs PHASE II DEADLINE: 2n`' paymentX $64,439.08X Se tember 18, 2013 PHASE III ACTNIITES: Site Preparation Architectural & Engineering Fees Construction Costs & Fence Utility hookup/Impact fees PHASE III DEADLINE: 3ra paymentx $32,969.62x June 30, 2014 PHASE IV ACTIVIITES: Construction costs Utility hookup/Impact fees Architectural & Engineering Fees PHASE IV DEADLINE: 4th paymentX $14,370.86X Au ust 30, 2014 PHASE V ACTIVITIES: Utility hookup/Impact fees Architectural & Engineering Fees Landscaping Construction Costs & Fence PHASE V DEADLINE: FINAL PAYMENTXX $ 11,349.66X* Se tember 30, 2014 CONSTRUCTION TOTAL $125,167.22 DEVELOPER FEE paid at closing of sale to HOME $12,516.72 Eligible Bu er *Developer will be reimbursed for eligible expenses only. The amounts are estimates and are subject to change. ** Prior to Reimbulsement for Final Payment, Exhibit "G" HOME Project Compliance Report must be submitted. CONTRACT AMENDMENT 1 to CSC No. 44565 Page 4 Tarrant County Housing Partnership, Inc. — 1300 E. Jefferson Rev. 7-29-14 EXHIBIT "C" BUDGET REVISED 7/2014 TARRANT COUNTY HOUSING PARTNERSHIP, INC. 1300 E. JEFFERSON Total Cost: $125,167.22 Project HOME Funds Awarded: TOTAL AWARDED FUNDS: $125,167.22 $125,167.22 HOME Funds will be paid only as reimbursement for eligible project expenses. Development Budget Use of Funds Source of Funds Predevelopment Cost HOME $ OTHER $ SOURCE OF TOTAL $ FUNDS FUNDS OTHER FUNDS FUNDS (1) (2) (Names) (1+2) 1. Market Stud 2. Feasibility (i.e.: preliminary worlc write-u , cost estimates, desi n) 3. Other Total Predevelo ment Cost 1+2=3 Develo ment Cost 4. Land and/or buildin ac uisition 2,038 2,038 5. Site Pre aration 3,215 3,215 6. Conshuction Cost 106,714.22 106,714.22 7. Fence 4,300 4,300 8. Landsca e 2,100 2,100 9. Contin enc 10. Appraisal 475 Proceeds of Sale 475 11. Architect & Engineerin Fees 2,500 2,500 12. Construction Management Fee / Develo er Fee 13. Consn•uction Loan Interest 14.Pro e Survey 1,100 1,100 15. Le al Fees 250 Proceeds of Sale 250 16. Real Estate Fees 4,680 Proceeds of Sale 4,680 17. Utili Hooku /Im act Fees 3,200 3,200 18. Title & Recordin Fees 780 Proceeds of Sale 780 19. Consh-uction Mana ement 20. Bond Fees Total Development Cost (Total of items 125,167.22 6,185 131,352.22 4 — 20 Total Pro'ect Cost 125,167.22 6,185 131,352.22 CONTRACT AMENDMENT 1 to CSC No. 44565 Page 5 Tarrant County Housing Partnership, Inc. — 1300 E. Jeffelson Rev. 7-29-14 7/30/2014 M&C Reuew 0 fficiai site of the C ity oF Fort UVorth, TeKas CIi`� COUNCIL AC�END�4 �f�RT�k�'ORTI1 � COUNCIL ACTION: Approved on 1/25/2011 DATE: 1/25/2011 REFERENCE NO.. CODE: C TYPE: C-24714 NO N- CONSENT LOG NAME: PUBLIC HEARING: 17TCHP- HILLS ID E\MO RNINGS ID E NO SUBJECT: Authorize a Change in Use and Expenditure of $381,931.00 of HOME Investment Partnerships Program Grant Funds to Tarrant County Housing Partnership, Inc., for the Development of Three Single Family Houses in the Hillside-Morningside Neighborhood, Authorize the Execution of Conditional Commitment and Contract and Authorize a Substantial Amendment to the City's 2010-2011 Action Plan (COUNCIL DISTRICT 8) RECOMMENDATION: It is recommended that the City Council: 1. Authorize a substantial amendment to the City's 2010-2011 Action Plan; 2. Authorize the City Manager, or his designee, to substitute funding years in order to meet commitment, disbursement and expenditure deadlines for grant funds from the United States Department of Housing and Urban Development; 3. Authorize a change in use and expenditure of $381,931.00 in HOME Investment Partnerships Program Grant funds to Tarrant County Housing Partnership, Inc., a certified Community Housing Development Organization, for the development of three single family houses in the Hillside- Morningside neighborhood; 4. Authorize the City Manager, or his designee, to execute a conditional commitment with Tarrant County Housing Partnership, Inc., that conditions funding, among other things, on satisfactory completion of HOME requirements; 5. Authorize the City Manager, or his designee, to execute a Contract with the Tarrant County Housing Partnership, Inc., for the project for a three year term beginning on the date of execution of the contract; 6. Authorize the City Manager, or his designee, to extend or renew the conditional commitment or the contract if Tarrant County Housing Partnership, Inc., requests a written extension and such extension is necessary for completion of the project; and 7. Authorize the City Manager, or his designee, to amend the conditional commitment or the Contract if necessary to achieve project goals provided that the amendment is within the scope of the project and in compliance with City policies and applicable laws and regulations governing the use of federal grant funds. DISCUSSION: http://apps.cfwnet.org/council�ackeUmc_re�iew.asp?ID=14661&councildate=1/25/2011 1/3 7/30/2014 M&C Retiew On Octof�er 14, 2010, the City issued a Request for Proposals (RFP) for certified Community Housing Development Organizations (CHDO) to award and expend up to $1,261,931.00 of HOME Investment Partnerships Program Grant funds. On November 18, 2010, the Tarrant County Housing Partnership, Inc., (TCHP) submitted a response requesting $617,884.00 of the available HOME funds to acquire seventeen sites on which it proposed to construct single family houses. The request also included funds for related CHDO operating expenses. City staff reviewed all RFP submissions and recommended the award to TCHP of $381,931.00 in HOME funds to the Community Development Council (CDC) at its meeting held on December 1, 2010. The CDC agreed with staff's funding recommendation for the project. Up to $50,000.00 of the awarded funds will be used for operating expenses and $331,931.00 for construction of three houses and other development expenses. TCHP plans to develop three single family houses to be located in the Hillside-Morningside neighborhood. There are three floor plan options available and all houses will be at a minimum 1250 square feet with three bedrooms, two baths and a rear detached garage. The houses will be sold to an individual or family that earns 80 percent or less of Area Median Income as determined by the United States Department of Housing and Urban Development (HUD). Buyers must meet all HOME Program requirements including applying for and receiving at least $1,000.00 in down payment and/or closing cost assistance from the City's Homebuyer Assistance Program and occupying the house as their primary residence for five years. City staff recommends the following Contract terms: i. Construction must begin within six months of date of Contract execution; ii. TCHP's performance under the Contract and use of the HOME funds will be secured by a recorded Deed of Trust; iii. Houses must be sold to a HOME eligible buyer; and iv. Proceeds from the sale of houses must be used to construct additional houses for a HOME eligible buyer and construction of Proceeds houses must occur within the three year contract term. The expenditure of HOME funds is conditioned upon the followinq: i. Satisfactory completion of the environmental review per 24 CFR Part 58, and ii. Authorization to use grant funds from HUD. City staff recommends the change in use and expenditure up to $381,931.00 in HOME funds for the project to benefit low and very low income citizens by providing affordable housing. A public comment period on the change in use of these HOME funds was held from December 16, 2010 to January 20, 2011. Any comments are maintained by the Housing and Economic Development Department in accordance with federal regulations. This project is located in COUNCIL DISTRICT 8. FISCAL INFORMATION/CERTIFICATION: The Financial Management Services Director certifies that funds are available in the current operating budget, as appropriated, of the Grants Fund. TO Fund/A,ccount/Centers G R76 539120 017206461 X)OC $150, 000. 00 GR76 539120 017206461X)OC $231,931.00 FROM Fund/A+ccount/Centers GR76 539120 017206461030 $150,000.00 GR76 539120 017206461040 $231,931.00 http://apps.cfwnet.org/counci I�ackeUmc_reUew.asp?ID=14661 &counci Idate=l/25/2011 2/3 7/30/2014 4 M&C Reuew Subrnitted for City Manager's Office bv: Originating Department Head: A�dditional Information Contact: ATTACHMENTS Susan Alanis (8180) Jay Chapa (5804) Cynthia Garcia (8187) Avis F. Chaisson (6342) http://apps.cfinmet.org /counci I�ackeUmc_re�i ew.as p?I D=14661 &counci I date=1 /25/2011 3/3