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FIRST AMENDMENT TO CITY SECRETARY CONTRA.CT NO. 44564
WHEREAS, on June 20, 2013 the City of Fort Worth ("City") and Tarrant County
Housing Partnership, Inc. ("Developer") made and entei•ed into City Secretaiy Contract No.
44564 (the "Contract"), as authorized by the City Council in M&C C-24714 adopted on January
25, 2011 which provided $381,931.00 of City's HOME funds to Developer far• the development
and construction of 3 single family houses in the Hillside-Morningside neighborhood (the
project);
WHEREAS, the fi�nding 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 Par•tnership Prograin, 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 Com�nunity
Housing Development Organization ("CHDO") and Developer is qualified as a CHDO under the
HOME Regulations;
WHEREAS, Developer requested $ll7,000.00 of HOME CHDO funds for the
construction of a single family house located at 1246 E. Jefferson to be sold to HOME Eligible
Buyers under the teims and conditions set forth in the Contract;
WHEREAS, the proposed budget for 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 $14,598.46 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 ainended to be and read as follows:
"Completion Deadline means September 30, 2014."
II.
Section 4.7 is amended to be and read as follows
CONTRACT AMENDMENT 1 to CSC No. 44564
Tarrant County Housing Parhlership, Inc. — 1246 �. Jefferson
�FFICI�fL f�ECORD
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"4.7 Developer Fee. Developer shall receive a fee of 10% of the total
eligible developinent 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
$131,598.46 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 Compiete Documentation."
IV.
The first sentence of Section 14. INSURANCE AND BONDING is amended to be and
read as follows:
"Developer wiil maintain coverage in the form of insurance or bond in the amount
of $131,598.46 to insure against loss from the fraud, theft or dishonesty of any of
Developer's ofiicers, agents, trustee, directors or employees."
V.
Exhibit "B" - Project and Reimbursement Schedule and Exhibit "C" - Budget
attached to the Contract are hereby i•eplaced 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 Secretary Contract No. 44564 not amended herein
remain unaffected and in full force and effect, are binding upon the Parties, and are hereby
ratiiied by the Pai-ties. Capitalized terins not defined herein shall have meanings assigned to
them in the Contract.
[SIGNATURES APPEAR ON FOLLOWING PAGE]
CONTRACT AMENDMENT 1 to CSC No. 44564 Page 2
Tarrant County Housing Partnership, Inc. — 1246 E. Jeffe�son Rev. 7-29-14
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ACC�PT�D AND AGR�ED: S
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ATTEST:
City Secretaty
M&C G24714
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Date: 1 /25/201 l
APPIt�lJV�D AS TO F,0�,2M AND LEGALITY:
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Vicki S. Ganske, Senior Assistant City Attorney
STATE OF TEXAS
COUNTY OF TARRANT
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FORT WORTH
Fernando Costa, Assistant City Manager
This instrument was acknowledged before me on , 2014 by
Fernando Costa, Assistant City Manager of the City of Fort orth, on behalf the City of Fort
Worth. - �
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�„4,_.,�..:,� tary Public, State of Texas
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``Jo1P�:Y'�;d�i� •�. M EVUNIA DANIELS -�---
_:' �'•�' Notary Public, ;tate of Texas
: ����'r,; My Commission Expires
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TARRANT COUNTY HOUSING
PARTNER P, a Texas non-profit rporation
By:
D na anNess, t
STATE OF TEXAS
COUNTY OF TARRANT
.
This instrument was acknowledged before me on �_ _ �� t. '���'�.- `� �' %=`�� ��' , 2014 by
Donna VanNess, President of Tarrant County Housing Partnership;�;Inc., a Texas non-profit
corporation, acting on behalf of such corporation.
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CONTRACT AMENDMENT 1 to CSC No. 44564 �qc� i Pa�e
Tarrant County Housing Partnership, Inc. — 1246 E. Jefferson ��gI�ee!�'�i���P�41��$'�`(
I�'i'� �N�(��'y'��, `�'�
�XHIBIT "B"
PROJECT AND REIMBURSEM�NT SCHEDULE R�VIS�D 7/2014
TAFZRANT COUNTY HOUSING PARTNERSHIP, INC.
1246 E. Jefferson
Phase Activity Beginning Week — subject to
weather ermittin
PHASE I ACTNITIES: Contract signed
Land andlor Building Acquisition
Survey
PHASE I DEADLINE: �9,240.14
Au 7ust 7, 2013 lst Pa mentX
PHASE II ACTNIITES: Site Preparation
Architectural & Engineering Fees
Landscaping
Construction costs
PHASE II DEADLINE: 2°`� payment'� $62,28092X
Se tembei• 18, 2013
PHASE III ACTIVIITES: Site Preparation
Architectural & Engineering Fees
Construction Costs & Fence
Utility hoolcup/Impact fees
PHASE III DEADLINE: 3'�`� PaymentY $33,800.76x
June 30, 2014
PHASE N ACTNIITES: Construction costs
Utility hoolcup/Impact fees
PHASE N DEADLINE: 4"' PaymentY $15,364.67X
Au ust 30, 2014
PHASE V ACTNITIES: Utility hookup/Impact fees
Architectural & Engineering Fees
Landscaping
Construction Costs & Fence
PHASE V DEADLINE: FINAL PAYNIENTXx $ 10,911.97xX
Se tember 30, 2014
CONSTRUCTION TOTAL �131,598.46
DEVELOPER FEE Paid at closing of sale to HONIE
Eligible Buyer $13,159.85
*Developer will Ue reimbursed for eligible expeuses only. The amounts are estunates and are subject to change.
** Prior to Reunbursement for Final Payment, Exhibit "G" HOME Project Compliance Report inust be
submitted.
CONTRACT AMENDMENT 1 to CSC No. 44564 Page 4
Tarrant County Housing Part�leiship, Ina — 1246 E. Jefferson Rev. 7-29-14
EXHIBIT "C"
BUDGET Revised 7/2014
TARRANT COUNTY HOUSING PARTNERSHIP, INC.
1246 E. JEFFERSON
Total Cost: $131,598.46
Project HOME Funds Awarded: $131,598.46
TOTAL AWARDED FUNDS: $131,598.46
HOM� Funds will be paid only as reimbursement for eligible project expenses.
Development Budget
Use of Funds Source of Funds
HOME $ OTHER $ SOURCE OF TOTAL $
FUNDS FUNDS OTHER FUNDS FUNDS
(1) (2) (Names) (1+2)
Predevelo ment Cost
1. Market Study
2. Feasibility (i.e.: preli�ninary work
write-u , cost estunates, design)
3. Other
Total Predevelo ment Cost (1+2=3)
Develo ment Cost
4. Land and/or building ac uisition 9,240.14 9,24014
5. Site Pre aration 3,215 3,215
6. Construction Cost 105,798.28 105,798.28
7. Fence 4,300 4,300
8. Landsca e 2,100 2,100
9. Contingency
10. Appraisal 475 Proceeds of Sale 475
11. Architect & Engineeruig Fees 2,500 2,500
12. Consiruction Management Fee /
Develo er Fee
13. Const�uction Loan Interest
14. Pro erty Survey 1,100 1,100
15. Legal Fees 250 Proceeds of Sale 250
16. Real Estate Fees 4,680 Proceeds of Sale 4,680
17. Utility Hooku /Izn act Fees 3,200 3,200
18. Title & Recording Fees 780 Proceeds of Sale 780
19. Consh�uction Management
20. Bond Fees
Total Development Cost (Total of Items 131,598.46 6,348.46 137,946.92
4-20
Total Pro'ect Cost 131,598.46 6,348.46 137,946.92
CONTRACT AMENDMENT 1 to CSC No. 44564 Page 5
Tar�rant County Housing Partnership, Inc. — 1246 E. Jefferson Rev. 7-29-14
7/30/2014
O fficial si[e of th� C ily of ForY Wor�h, T exas
M&C ReNew
�ITY �OUNCIL �GENDA �aRT�'�'ORTI1
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COUNCIL ACTION: Approved on 1/25/2011
DATE: 1/25/2011 REFERENCE G24714
NO..
LOG NAME:
17TCHP-
HILLSIDE\MORNINGSIDE
CODE: C TYPE: NON-
CONSENT
PUBLIC
HEARING:
I�C�7
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 Nousing 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 /counci I�ackEUmc_re�i ew.asp?ID=14661 &counci Idate=l/25/2011 1/3
7/30/2014
M&C Re�iew
On October 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 payrnent 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 following:
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/Account/Centers
GR76 539120 017206461X)OC $150,000.00
G R76 539120 017206461 X)OC $231, 931. 00
FROM Fund/Account/Centers
GR76 539120 017206461030 $150.000.00
GR76 539120 017206461040 $231,931.00
http://apps.cfwnet.org/counci I�ackeUmc_re�iew.asp?ID=14661 &counci I date=1/25/2011 2/3
7/30/2014
Submitted for City Manager's Office bk
Originating Department Head:
A�dditional Information Contact:
ATTACHMENTS
M&C Retiew
Susan Alanis (8180)
Jay Chapa (5804)
Cynthia Garcia (8187)
Avis F. Chaisson (6342)
http://apps.ciwnet.org /counci I�ackeUmc_re�i ew.asp?I D=14661 &counci I date=1 /25/2011 3/3