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HomeMy WebLinkAboutContract 59759CSC No. 59759 STATE OF TEXAS COUNTY OF TARRANT This contract ("Contract") is made and entered into by and between the City of Fort Worth (hereafter "City"), a Texas municipal corporation, and The Housing Authority of the City of Fort Worth dba Fort Worth Housing Solutions, a Texas Municipal Housing Authority, (hereafter "Developer"). City and Developer may be referred to individually as a "Party" and jointly as "the Parties." The Parties state as follows: WHEREAS, City receives grant funds from the United States Department of Housing and Urban Development through the Community Development Block Grant ("CDBG") Program, Catalog of Federal Domestic Assistance No. 14.218; WHEREAS, a national objective of the CDBG Program is to benefit low- and moderate -income persons in accordance with the CDBG Regulations at 24 CFR Part 570, as amended from time to time; WHEREAS, Developer proposes to use CDBG funds to rehabilitate and develop 55 units of deeply -affordable housing by converting the former Express Inn located at 8401 West Freeway, Fort Worth, Texas, 76116, into a housing development (the "Property") to be known as `Casa de los Sueiios' (the "Project") and provide services to individuals and families who have experienced homelessness ("Clients"), 51% of whom must be low and moderate income; WHEREAS, the Project is a collaborative effort among the City, Tarrant County, the Fort Worth Housing Finance Corporation, Fort Worth Housing Solutions, and Ojala Holdings to address the significant increase in family homelessness; NOW, THEREFORE, in consideration of the mutual covenants, obligations and responsibilities contained herein, including all exhibits and attachments, and subject to the terms and conditions hereinafter stated, the Parties understand and agree as follows: 1. INCORPORATION OF RECITALS. City and Developer 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 addition to terms defined in the body of this Contract, the following terms shall have the definitions ascribed to them as follows: Affordable Units means housing units that must be leased to Income Eligible Households at Affordable Rent for the duration of the Performance Period. OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX CDBG CONTRACT Page 1 Fort Worth Housing Solutions Casa de los Suefios Deeply Affordable Housing Project Affordability Requirements means the Affordable Units remain occupied by Income Eligible Households throughout the Performance Period in accordance with the terms of this Contract and the CDBG Regulations. Area Median Income or AMI means the median family income for the Fort Worth - Arlington metropolitan statistical area as established annually by HUD. The 2023 income limits are attached hereto as Exhibit "A-V — 2023 HUD Income Limits. Business Diversity Enterprise Ordinance or BDE means the City's Business Diversity Ordinance, Ordinance No. 24534-11-2020, as may be amended from time to time. CDBG means Community Development Block Grant. CDBG Funds means the CDBG grant funds supplied by City to Developer under the terms of this Contract. CDBG Regulations means regulations found at 24 CFR Part 570 et seq. CDBG Requirements means (i) rehabilitating and developing 55 units of deeply affordable housing to be available to persons experiencing homelessness and in need of deeply affordable housing; and (ii) during the Performance Period, (a) providing deeply affordable housing and services to individuals residing at the Property; (b) certifying that at least 51% of tenants are Income Eligible Households, and (d) complying with all applicable provisions of the CDBG Regulations. Client Documentation means the documentation described in Exhibit "G" — Documentation of CDBG Requirements. Complete Documentation means the following documentation as applicable: Attachments I and II, with supporting documentation as follows: o Proof of expense: copies of timesheets, invoices, leases, service contracts or other documentation showing the nature of the cost and that payment is due by Developer. o Proof of payment: cancelled checks, bank statements, conditional and unconditional lien releases, as appropriate, or wire transfers necessary to demonstrate that amounts due by Developer were actually paid by Developer. Proof of household eligibility: o Documentation that Income Eligible Households are either (i) each household has verifiable self -certification of income such as the City's Certification Income Statement attached as Exhibit "N" — Form of Income Self -Certification or a similar form approved by City, or (ii) Source Documentation. Other documentation: (i) complete packet of all conditional, and unconditional, lien releases for all draws and including the final lien releases signed by Developer's general contractor or subcontractors, if applicable; CDBG CONTRACT Page 2 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project (ii) copies of all City permits and City -issued "pass" inspections for such work; (iii) documentation showing compliance with BDE or DBE bidding process for procurement or Contract activities, if applicable; (iv) proof of contractor, vendor or subcontractor eligibility as described in Section 7.6; and (v) any other documents or records reasonably necessary to verify costs spent and regulatory compliance for the project. Complete Documentation shall meet the standards described in the attached Exhibit "J" — Standards for Complete Documentation. Completion means the substantial completion of the rehabilitation of the Property as evidenced by a Neighborhood Services Department Minimal Acceptable Standard Inspection Report, a HUD Compliance Inspection Report, all applicable City final inspection approvals, receipt of a final Certificate of Occupancy, and verification that the National Objective has been met. Completion Deadline means September 30, 2024. DBE means disadvantaged business enterprise in accordance with 49 CFR Part 26. Deed of Trust means the deed of trust from Developer in favor of City covering the Property and securing the indebtedness evidenced therein as well as Developer's performance of the requirements of this Contract and of the CDBG Regulations, as the same may be extended, amended, restated, supplemented or otherwise modified from time to time. The form of the Deed of Trust is attached as part of Exhibit "E" — Loan Documents: Developer means Fort Worth Housing Solutions. Director means the Director of the Neighborhood Services Department, or their designee. Effective Date means the date of the last of the Parties to sign as indicated on the signature page. HUD means the United States Department of Housing and Urban Development. IDIS means Integrated Disbursement Information System, HUD's project tracking system. Income Eligible Household means a household whose annual income adjusted for family size does not exceed 80% of AMI using the most current HUD Income Guidelines and Technical Guidance for Determining Income and Allowances. The definition of annual income to determine household income eligibility shall be the definition contained in 24 CFR Part 5.609, as amended from time to time. Loan Documents means security instruments, including without limitation the Promissory Note and Deed of Trust, or any other similar instruments evidencing, securing or guaranteeing City's interest in the project and further evidencing, securing, or guaranteeing CDBG CONTRACT Page 3 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project Developer's performance of the CDBG Requirements, and the City Requirements, during the Performance Period, as the same may from time to time be extended, amended, restated, supplemented or otherwise modified. Loan means the CDBG Funds provided to Developer by City in the form of a forgivable, deferred payment loan under the terms of this Contract as more particularly described in the Loan Documents. National Objective means, for the purposes of this Contract, an activity that benefits low - and moderate -income persons. For the purposes of this Contract, at least 51% of the households served by the Program must be Income Eligible Households. Neighborhood Services Department means the City's Neighborhood Services Department, or any successor department thereto that oversees this Contract. Performance Period means the 5 year period during which Developer will fulfill the CDBG Requirements, the City Requirements, and continuously meet the National Objective, and will comply with all other terms and conditions of this Contract and the Loan Documents. The Performance Period begins on the date that the certificate of occupancy is issued, or, another date that City determines, in its sole discretion, that use of the Property meets the National Objective which, in City's sole satisfaction, establishes such date with reasonable certainty. Program means the services provided by Developer for the Property more particularly described in Exhibit "A" —Project Summary and Scope of Work. Promissory Note means the note in the amount of the CDBG Funds executed by Developer payable to the order of City as the same may be extended, amended, restated, supplemented or otherwise modified from time to time. The form of the Promissory Note is attached as part of Exhibit "E" — Loan Documents. Reimbursement Request means all reports and other documentation described in Section 11. Section 504 requirements means the requirements of Section 504 of the Rehabilitation Act of 1973 (29 USC 794 et seq.) and 24 CFR Part 8. Section 504 prohibits recipients of federal funds from excluding any qualified persons from participating or receiving benefit from, any federally -funded program or activity based solely on the person's disability. Tenant Documentation means any documentation allowed under the definition of annual income in 24 CFR Part 5.609 sufficient to show that a tenant is an Income Eligible Household. CDBG CONTRACT Page 4 Fort Worth Housing Solutions Casa de los Suefios Deeply Affordable Housing Project 3. TERM. 3.1 Term of Contract. The term of this Contract begins on the Effective Date and terminates at the end of the Performance Period unless otherwise terminated as provided in this Contract. 3.1.1 Extension of Contract. This Contract may be extended for an additional one-year term upon Developer submitting a request for an extension in writing at least 60 days prior to the end of the Contract term. The request for an extension shall include the reasons for the extension and Developer's anticipated budget, construction schedule and goals for the extended term. It is specifically understood that it is within City's sole discretion whether to approve or deny Developer's request for an additional term. Any such extension shall be in the form of an amendment to this Contract. 3.2 Term of Loan. The term of the Loan shall commence on the date of the Promissory Note and terminates at the expiration of the Performance Period so long as the terms and conditions of this Contract and the Loan Documents have been met. 4. DUTIES AND RESPONSIBILITIES OF CITY. 4.1 Provide CDBG Funds. City shall provide up to $1,500,000.00 of CDBG Funds in the form of a forgivable, deferred payment Loan for eligible expenses under the terms and conditions of this Contract and the Loan Documents. 4.2 City Will Monitor. City will monitor the activities and performance of Developer and any of its contractors, subcontractors or vendors throughout the Performance Period, but no less than annually. Monitoring by City will include monitoring whether Developer is meeting the National Objective and complying with the CDBG Requirements and the City Requirements during the Performance Period. 5. DUTIES AND RESPONSIBILITIES OF DEVELOPER. 5.1 Intentionally Deleted. 5.2 Use of CDBG Funds. 5.2.1. Compliance with CDBG Regulations and Contract. Developer shall be reimbursed for eligible project costs with CDBG Funds only if City determines in its sole discretion that: 5.2.1.1 Costs are eligible expenditures in accordance with CDBG Regulations. CDBG CONTRACT Page 5 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project 5.2.1.2 Costs are in compliance with this Contract and are reasonable and consistent with industry norms. 5.2.1.3 Complete Documentation, as applicable, is submitted by Developer. 5.2.2. Budget. Developer agrees that CDBG Funds will be paid in accordance with Exhibit "B" — Budget. Developer may increase or decrease line item amounts in the Budget with the Director's prior written approval, which approval shall be in the Director's sole discretion. Any such increase or decrease in line items in the Budget shall comply with Section 5.2.1, Exhibit "A" — Project Summary and Scope of Work, and shall not increase the total amount of CDBG Funds. 5.2.3 Change in Budget. 5.2.3.1 Developer will notify City promptly of any additional funds it receives for construction of the project, and City reserves the right to amend this Contract in such instances to ensure compliance with HUD regulations governing cost allocation. 5.2.3.2 Developer agrees to utilize the CDBG Funds to supplement rather than supplant funds otherwise available for the project. 5.3 Pavment of CDBG Funds to Developer. CDBG Funds will be disbursed to Developer upon City's approval of Developer's Reimbursement Requests, including submission of Complete Documentation to City in compliance with Section 11. 5.4 Identify Proiect Expenses Paid with CDBG Funds. Developer will keep accounts and records in such a manner that City may readily identify and account for Project expenses reimbursed with CDBG Funds. These records shall be made available to City for audit purposes and shall be retained as required hereunder. 5.5 Acknowledgement of City Pavment of CDBG Funds. Within 90 days of Completion, Developer shall sign an acknowledgement that City has paid all CDBG Funds due under this Contract, or shall deliver a document executed by an officer of Developer identifying with specificity all or any portion of the CDBG Funds that City has not paid to Developer. After receipt of said document, City shall determine if City has any further obligation under the terms herein to pay Developer any more CDBG Funds. Developer and City agree to work together in good faith to determine if any further CDBG Funds are due to Developer, but City in its sole discretion shall make the final determination as to whether any such CDBG Funds are still due after consideration of Developer's performance of its obligations under this Contract including Developer's performance of the CDBG Requirements and the City Requirements. CDBG CONTRACT Page 6 Fort Worth Housing Solutions Casa de los Suefios Deeply Affordable Housing Project 5.6 Security for Citv's Interest and Developer's Performance. To secure City's interest in the performance of the CDBG Requirements, the City Requirements and any of Developer's other obligations -hereunder, including meeting the National Objective, Developer shall execute the Loan Documents and record the Deed of Trust encumbering the Property prior to having any construction materials delivered to the Property or commencing any work on the improvements. 5.6.1 Loan Terms and Conditions. Developer will be required to: 5.6.1.1 Execute the Promissory Note and Deed of Trust, along with any other Loan Documents required by City. 5.6.1.2 Provide City with a Mortgagee's Policy of title insurance in the amount of the Loan. 5.6.1.3 Pay all costs associated with closing the Loan. 5.6.1.4 Provide City with an estimated settlement statement at least 1 business day before closing. 5.6.1.5 Ensure City's lien is in second lien position only to the loan to Developer from the Fort Worth Housing Finance Corporation for this Project. City must approve in writing any secured financing for the project that is to be subordinate to the Loan. 5.6.1.6 The term of the Loan shall be as specified in Section 3.2. 5.6.1.7 No interest shall accrue on the Loan provided that Developer complies with the terms and conditions of the Loan Documents. 5.6.1.8 The Loan is a forgivable deferred payment loan. Repayment of the CDBG Funds will only be required if (i) the Project located on the Property does not benefit the required percentage of Income Eligible Households and meet the National Objective during the Performance Period, (ii) Developer does not meet the CDBG Requirements or the City Requirements during the Performance Period, or (iii) Developer does not otherwise comply with the terms of this Contract, the Loan Documents, or the CDBG Regulations. If repayment is required, Developer must, at City's election in its sole discretion, either (i) repay City the total amount of the CDBG Funds, or (ii) pay to City the fair market value of the Property as set by a current appraisal less any portion of the value attributable to expenditures of non-CDBG funds for the acquisition of, and improvements to, the Property. CDBG CONTRACT Page 7 Fort Worth Housing Solutions Casa de los SueRos Deeply Affordable Housing Project 5.6.1.9 Early repayment of the Loan shall not relieve Developer of its obligations under this Contract or the CDBG Regulations including but not limited to complying with the CDBG Requirements or the City Requirements, or meeting the National Objective. The Deed of Trust shall secure both repayment of the CDBG Funds, if required, and performance by Developer of its obligations under this Contract and the requirements of the CDBG Regulations during the Performance Period. 5.6.1.10 Failure by Developer to comply with this Section 5.6 will be an event of default under this Contract and the Loan Documents 5.7 Affordability Requirements. Developer shall ensure that the Affordable Units remain occupied by CDBG Eligible Households throughout the Performance Period. There shall be a 20% payment of the total Loan amount by Developer to City as liquidated damages if any Affordable Unit is leased to a tenant that is not a CDBG Eligible Household during the Performance Period and such lease results in a finding by HUD or repayment of funds by City to HUD. Developer must notify the City in writing within 30 days of either of the following occurrences: (i) an Affordable Unit is occupied by a tenant who is not a CDBG Eligible Household or, (ii) an Affordable Unit remains vacant for more than 90 days. 5.8 Affordability Requirements Survive Transfer of Ownership. Any sale or transfer of the Project during the Performance Period, excluding a transfer due to condemnation or to obtain utility services, will require that the new owner or transferee must assume in writing the obligations established hereunder for the Affordable Units. If the new owner or transferee does not assume Developer's surviving obligations hereunder, then Developer must repay City in accordance with the provisions of Section 5.6.1.8 within 30 days of written notice by City or City may pursue any of its remedies under this Contract or the Loan Documents. 6. Intentionally Deleted. 7. Intentionally Deleted. 8. TENANT AND LEASE REQUIREMENTS; PROPERTY STANDARDS DURING PERFORMANCE PERIOD. 8.1 Income Eligibility. Developer must use the definition of annual income in 24 CFR 5.609 to establish income eligibility. Developer shall use the most current HUD Income Guidelines. Developer shall maintain Tenant Documentation sufficient to show that the Affordable Units are occupied by Income Eligible Households. CDBG CONTRACT Page 8 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project 8.2 Income Verification. 8.2.1 Developer must verify that all tenants of Affordable Units are Income Eligible Households with Tenant Documentation at the time that each lease for an Affordable Unit is signed. Developer must maintain copies of such Tenant Documentation as required under this Contract. Afterward, Developer must annually verify the tenant's income but may use a City -approved tenant self -certification form rather than Tenant Documentation. 8.2.2 Notwithstanding the foregoing, Developer must verify the income eligibility of all tenants with Tenant Documentation every other year of the Performance Period. 8.2.3 Developer must maintain copies of Tenant Documentation and all tenant self -certification forms as required under this Contract. 8.2.4 As part of its monitoring, City will review Tenant Documentation during the term of the Loan, on at least an annual basis. 8.3 Tenant Lease. Prior to leasing any unit in the Development, Developer shall submit the form of its lease to City for its approval. 8.4 Tenant Household Characteristics. Developer shall provide City at initial lease -up with the information about the household characteristics of the first tenant renting an Affordable Unit on Exhibit 11G-1" — Project Compliance Report: Rental Housing. 8.5 Prouerty Maintenance and Inspections During Performance Period. Developer shall ensure that the Development is maintained in accordance with all applicable HUD property standards, which at a minimum shall be those property standards required in 24 CFR Part 92.251. Developer will allow City to inspect the Affordable Units annually if City requests such inspection; provided however, City has no obligation to inspect the Affordable Units. 9. ADDITIONAL REQUIREMENTS. Developer agrees to comply with all requirements of the CDBG Program as stated in the CDBG Regulations, including, but not limited to the following: 9.1 Environmental Review. Funds will not be paid, and costs cannot be incurred until City has conducted and completed an Environmental Review Record as required by 24 CFR Part 58. The environmental review may result in a decision to proceed with, modify, or cancel the project. Further, Developer will not undertake or commit any funds to physical or choice limiting actions including if applicable property acquisition, demolition, movement, rehabilitation, conversion, repair or construction prior to the environmental clearance. Any CDBG CONTRACT Page 9 Fort Worth Housing Solutions Casa de los Sueiios Deeply Affordable Housing Project violation of this provision will (i) cause this Contract to terminate immediately; (ii) require Developer to repay City in accordance with the provisions of Section 5.6.1.8 within 30 days of termination under this Section; and (iii) forfeit any fixture payments of CDBG Funds. 8.1.2 Mitigation. It has been determined that no mitigation measures are required for this project. 9.2 Contract Not Constituting Commitment of Funds. Notwithstanding any provision of this Contract, the Parties agree and acknowledge that this Contract does not constitute a commitment of CDBG Funds, and that such commitment or approval may occur only upon satisfactory completion of an Environmental Review Record and receipt by City of an authorization to use grant fixnds from HUD under 24 CFR Part 58. 9.3. Monitoring. 9.3.1 Developer understands and agrees that it will be subject to monitoring by City for compliance with the CDBG Regulations and this Contract for the duration of this Contract and the Performance Period. Developer will provide access to all files related to the Project or Contract activities and services as requested by City for 5 years after the end of the Performance Period, and will meet all the reporting requirements set out in this Contract. This Section shall survive the earlier termination or expiration of this Contract. 9.3.2 Representatives of City, HUD, HUD Office of Inspector General, and the United States Comptroller General shall have access during regular business hours, upon 48 hours' prior notice, to Developer's offices and records that are related to the use of the CDBG Funds, the CDBG Requirements, the City Requirements and the National Objective, and to Developer's officers, directors, agents, employees, contractors and subcontractors for the purpose of such monitoring. 9.3.3 In addition to other provisions of this Contract regarding frequency of monitoring, City reserves the right to perform desk reviews or on -site monitoring of Developer's compliance with the terms and conditions of this Contract and the Loan. After each monitoring visit, City shall provide Developer with a written report of the monitor's findings. If the monitoring report notes deficiencies in Developer's perfonnance, the report shall include requirements for the timely correction of said deficiencies by Developer. Failure by Developer to take the action specified in the monitoring report may be cause for suspension or termination of this Contract as provided herein or City may take all actions allowed in the Loan Documents. 9.3.4 Developer shall annually provide to City the results of any state or federal monitoring related to the project or the Program. Such results shall be submitted annually to City with the submission of its annual audit and financial statements. CDBG CONTRACT Page 10 Fort Worth Housing Solutions Casa de los Sueiios Deeply Affordable Housing Project 9.3.5 This Section 9.3 shall be applicable for the duration of the Contract term, the Performance Period and for 5 years thereafter and shall survive the earlier termination or expiration of this Contract. 9.4 Compliance with the Uniform Relocation Act. If applicable, Developer shall comply with the relocation requirements of 24 CFR Part 580.606 and all other applicable Federal and state laws and City ordinances and requirements. 9.5 Intentionally deleted. 9.6 Intentionally deleted. 9.7 Cost Principles/Cost Reasonableness. As applicable, the eligibility of costs incurred for performance rendered shall be determined in accordance 2 CFR Part 200.400 through 2 CFR Part 200.475, regarding cost reasonableness and allocation. 9.8 Financial Management Standards. Developer agrees to adhere to the accounting principles and procedures required in 2 CFR Part 200, utilize adequate internal controls, and maintain necessary supporting and back-up documentation for all costs incurred in accordance with 2 CFR Part 200.302 and Part 200.303. 9.9 Uniform Administrative Requirements. As applicable, Developer will comply with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards in 2 CFR Part 200, or any reasonably equivalent procedures and requirements that City may require. 9.10 Compliance with FFATA and Whistleblower Protections. If applicable, Developer shall provide City with all necessary information for City to comply with the requirements of 2 CFR Part 300(b), including provisions of the Federal Funding Accountability and Transparency Act ("FFATA") governing 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. 9.10.1 Developer shall provide its SAM unique entity ID to City prior to the payment of its first Reimbursement Request. 9.11 Internal Controls. In compliance with the requirements of 2 CFR Part 200.303, and to the extent applicable, Developer shall: 9.11.1 Establish and maintain effective internal control over the CDBG Funds that provides reasonable assurance that Developer is managing the CDBG Funds in compliance with federal statutes, regulations, and the terms and conditions of this Contract. These internal controls shall be in compliance with guidance in "Standards for Internal Control CDBG CONTRACT Page 11 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project in the Federal Government" issued by the Comptroller General of the United States or the "Internal Control Integrated Framework" issued by the Committee of Sponsoring Organizations of the Treadway Commission ("COSO"); 9.11.2 Comply with federal statutes, regulations, and the terms and conditions of this Contract; 9.11.3 Evaluate and monitor Developer's compliance with statutes, regulations and the terms and conditions of this Contract; 9.11.4 Take prompt action when instances of noncompliance are identified including noncompliance identified in audit findings; and 9.11.5 Take reasonable measures to safeguard protected personally identifiable information and other information that HUD or City designates as sensitive or Developer considers sensitive consistent with applicable federal, state, local and tribal laws regarding privacy and obligations of confidentiality. 9.12 Copvright 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 Developer. HUD and City shall possess all rights to invention or discovery, as well as rights in data which may arise as a result of Developer's performance under this Contract. 9.13 Intentionally deleted. 9.14 Intentionally deleted. 9.15 Uniform Administrative Requirements. If applicable, Developer will comply with the Uniform Administrative Requirements set forth in 24 CFR Part 570.502, or any reasonably equivalent procedures and requirements that City may require. 10. RECORD KEEPING. REPORTING AND DOCUMENTATION REQUIREMENTS; AUDIT. 10.1 Record Keeping. Developer shall maintain a record -keeping system as part of its performance of this Contract and shall promptly provide City with copies of any document City deems necessary for the effective fulfillment of City's monitoring and evaluation responsibilities. Specifically, Developer will keep or cause to be kept an accurate record of all actions taken and all CDBG Funds spent, with supporting and back-up documentation, as well as all Tenant Documentation. Developer will maintain all records and documentation related to this Contract for 5 years after the expiration of the Performance Period. If any claim, litigation, or audit is initiated before the expiration of the 5-year period, the records must be retained until all such claims, litigation or audits have been resolved. CDBG CONTRACT Page 12 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project 10.1.2 Access to Records. City, 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 Developer's records pertaining to all matters covered by this Contract throughout the Performance Period and for 5 years thereafter. Such access shall be during regular business hours and upon at least 48 hours' prior notice. 10.2 Reports. Developer will submit to City all reports and documentation described in this Contract, in such form as City may prescribe. Developer may also be required to submit a final performance and financial report if required by City at the termination of this Contract and/or the termination of the Loan in such form 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 it remedies for default under this Contract and Loan Documents. 10.2.1 Additional Information. Developer shall provide City with additional information as may be required by federal or state agencies to substantiate CDBG activities and/or expenditure eligibility. 10.3 Change in Reporting Requirements and Forms. City retains the right to change reporting requirements and forms at its discretion. City will notify Developer in 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 if necessary. 10.4 Audit. 10.4.1 Entities that Expend $750.000 or more in Federal Funds Per Year., All non-federal entities that expend $750,000 or more in federal funds within 1 year, regardless of the source of the federal award, must submit to City an annual audit prepared in accordance with specific reference to 2 CFR Part 200.501 through Part 200.521. If applicable, the audit shall cover Developer's fiscal years during which this Contract is in force. The audit must be prepared by an independent certified public accountant, be completed within 6 months following the end of the period being audited and be submitted to City within 30 days of its completion. Developer's audit certification is attached hereto as Exhibit "D" — "Audit Certification Form" and "Audit Requirements". The Audit Certification Form must be submitted to City prior to or with the first Reimbursement Request. Entities that expend less than $750,000 a year in federal funds are exempt from federal audit requirements for that year, but records must be available for review or audit by appropriate officials of the federal agency, City, and General Accounting Office. 10.4.2 Citv Reserves the Right to Audit. City reserves the right to perform an audit (i) of Developer's expenditure of CDBG Funds or (ii) program income in accordance with Section 7.4, at any time during the term of this Contract, the Performance Period, or within 5 years thereafter as the case may be, if City determines that such audit is necessary for City's compliance with the CDBG CDBG CONTRACT Page 13 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project Regulations or other City policies, and Developer agrees to allow access to all pertinent materials as described herein. If such audit reveals a questioned practice or expenditure, such questions must be resolved within 15 business days after notice to Developer of such questioned practice or expenditure. If questions are not resolved within this period, City reserves the right to withhold further funding under this Contract and/or future contract(s) with Developer. IF AS A RESULT OF ANY AUDIT IT IS DETERMINED THAT DEVELOPER HAS FALSIFIED ANY DOCUMENTATION OR MISUSED, MISAPPLIED OR MISAPPROPRIATED CDBG FUNDS OR SPENT CDBG FUNDS OR PROGRAM INCOME ON ANY INELIGIBLE ACTIVITIES, DEVELOPER 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. 11. Intentionally Deleted. 12. DEFAULT AND TERMINATION. 12.1 Failure to Begin. 12.1.1 If Developer fails to begin construction on the Project within 6 months of the execution of this Contract, the Contract shall automatically terminate without further warning or opportunity to cure, and with no penalty or liability to City. 12.1.2 Intentionally deleted. 12.2 Failure to Submit Complete Documentation During Construction. 12.2.1 If Developer fails to submit Complete Documentation for any reimbursable cost —or if any report or documentation submitted as part of Complete Documentation is not in compliance with this Contract or CDBG Regulations as determined by City, City will notify Developer in writing and the Developer will have 15 calendar days from the date of the written notice to submit or resubmit any such report or documentation. If Developer fails to submit or resubmit any such report or documentation within such time, City shall have the right to withhold payments. If such failure continues for an additional 15 days (a total of 30 days), City shall have the right to terminate this Contract effective immediately upon written notice of such intent with no penalty or liability to City. Notwithstanding anything to the contrary herein, City will not be required to pay any CDBG Funds to Developer during the period that any such report or documentation is not in compliance with this Contract or the CDBG Regulations. 12.2.2 If any of Developer's Reimbursement Requests are incomplete or otherwise not in compliance with this Contract or CDBG Regulations as determined by City, Developer shall be in default of this Contract. City will notify Developer in writing of such default and the Developer will have 15 calendar days from the date of the written notice to resubmit any such Reimbursement Request to cure the default. If the Developer fails to cure the default within such time, Developer shall forfeit any payments otherwise due under such Reimbursement Request. If such failure to resubmit such Reimbursement CDBG CONTRACT Page 14 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project Request continues for an additional 15 days (a total of 30 days), City shall have the right to terminate this Contract effective immediately upon written notice of such intent with no penalty or liability to City. Notwithstanding anything to the contrary herein, City will not be required to pay any CDBG Funds to Developer during the period that any such Reimbursement Request is not in compliance with this Contract or the CDBG Regulations. 12.2.3 In the event of more than 2 instances of default, cured or uncured, under Sections Section 12.2.1 or 12.2.2, City reserves the right at its sole option to terminate this Contract effective immediately upon written notice of such intent with no penalty or liability to City. 12.2.4 Notwithstanding anything to the contrary herein, City will not be required to pay any CDBG Funds to Developer during the period that any Reimbursement Requests, reports or documentation are past due or are not in compliance with this Contract or the CDBG Regulations, or during any period during which Developer is in default of this Contract. 12.2.5. In the event of termination under this Section 11.2, all CDBG Funds awarded but unpaid to Developer pursuant to this Contract shall be immediately forfeited and Developer shall have no further right to such funds, and any CDBG Funds already paid to Developer must be repaid by Developer to City within 30 days of termination under this Section, or at City's election Developer must repay City in accordance with the provisions of Section 5.6.1.8. Failure to repay will result in City exercising all legal remedies available to City under this Contract and the Loan Documents. 12.3 Failure to Maintain or Submit Required Reports and Documentation During Performance Period. If Developer fails to maintain all records and documentation as required in Section 9, or if applicable, fails to submit any report or documentation required by this Contract, or if the maintained or submitted report or documentation is not in compliance with this Contract or the CDBG Regulations as determined by City, City will notify Developer in writing and the Developer will have 15 calendar days from the date of the written notice to obtain or recreate the missing records and documentation, or submit or resubmit any such report or documentation to City. If Developer fails to maintain the required reports or documentation, or submit or resubmit any such report or documentation within such time, City shall have the right to terminate this Contract effective immediately upon written notice of such intent with no penalty or liability to City. In the event of termination under this Section 12.3, any CDBG Funds paid to Developer must be repaid by Developer to City within 30 days of tennination under this Section, or at City's election Developer must repay City in accordance with the provisions of Section 5.6.1.8. Failure to repay will result in City exercising all legal remedies available to City under this Contract and the Loan Documents. 12.4 In General. 12.4.1 Subject to Sections 12.1, 12.2 and 12.3, and unless specifically provided otherwise in this Contract, Developer shall be in default under this Contract if Developer CDBG CONTRACT Page 15 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project breaches any term or condition of this Contract. In the event that such a breach remains uncured after 30 calendar days following written notice by City (or such other notice period as may be specified herein) or, if Developer has diligently and continuously attempted to cure following receipt of such written notice but reasonably required more than 30 calendar days to cure, as determined by the Parties mutually and in good faith, City shall have the right to elect, in City's sole discretion, to (i) extend Developer's time to cure, (ii) terminate this Contract effective immediately upon written notice of such intent to Developer, or (iii) to pursue any other legal remedies available to City under this Contract or the Loan Documents. 12.4.2 City's remedies may include: 12.4.2.1 Direct Developer to prepare and follow a schedule of actions for carrying out the affected activities, consisting of schedules, timetables and milestones necessary to implement the affected activities. 12.4.2.2 Direct Developer to establish and follow a management plan that assigns responsibilities for carrying out the remedial activities. 12.4.2.3 Cancel or revise activities likely to be affected by the performance deficiency before expending CDBG Funds for the activities. 12.4.2.4 Reprogram CDBG Funds that have not yet been expended from affected activities to other eligible activities or withhold CDBG Funds. 12.4.2.5 Direct Developer to reimburse City the full amount of the CDBG Funds provided to Developer. 12.4.2.6 Suspend reimbursement of CDBG Funds for affected activities. 12.4.2.7 Any other appropriate action including but not limited to any remedial action legally available such as declaratory judgment, specific performance, damages, temporary or permanent injunctions, termination of this Contract or any other contracts with Developer, and any other available remedies. 12.4.3 In the event of termination under this Section 12.4, all CDBG Funds awarded but unpaid to Developer pursuant to this Contract shall be immediately rescinded and Developer shall have no further right to such funds and any CDBG Funds already paid to Developer must be repaid by Developer to City within 30 days of termination, or at City's election Developer must repay City in accordance with the provisions of Section CDBG CONTRACT Page 16 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project 5.6.1.8. Failure to repay will result in City exercising all legal remedies available to City under this Contract or the Loan Documents. 12.5 No Funds Disbursed While in Breach. Developer understands and agrees that no CDBG Funds will be paid to Developer until all defaults are cured to City's satisfaction. 12.6 No Compensation After Date of Termination. In the event of termination, Developer shall not receive any compensation for work undertaken after the date of the termination. 12.7 Rights of Citv Not Affected. Termination shall not affect or terminate any of the existing rights of City against Developer, or which may thereafter accrue because of such default, and this provision shall be in addition to any and all other rights and remedies available to City under the law and Loan Documents. Such termination does not terminate any applicable provisions of this Contract that have been expressly noted as surviving the term or early termination of the Contract. No delay or omission by City in exercising any right or remedy available to it under this Contract shall impair any such right or remedy or constitute a waiver or acquiescence in any Developer default. 12.8 Waiver of Breach Not Waiver of Subsequent Breach. The waiver of a breach of any term, covenant, or condition of this Contract shall not operate as a waiver of any subsequent breach of the same or any other term, covenant or condition hereof. 12.9 Civil, Criminal and Administrative Penalties. Failure to perform all the Contract terms may result in civil, criminal or administrative penalties, including, but not limited to those set out in this Contract. 12.10 Termination for Cause. 12.10.1 City may terminate this Contract in the event of Developer's default, inability or failure to perform subject to notice, grace and cure periods. In the event City terminates this Contract for cause, all CDBG Funds awarded but unpaid to Developer pursuant to this Contract shall be immediately rescinded and Developer shall have no further right to such funds and any CDBG Funds already paid to Developer must be repaid by Developer to City within 30 days of termination, or at City's election Developer must repay City in accordance with the provisions of Section 5.6.1.8. Failure to repay will result in City exercising all remedies available to City under this Contract or the Loan Documents. 12.10.2 Developer may terminate this Contract if City does not provide the CDBG Funds substantially in accordance with this Contract. CDBG CONTRACT Page 17 Fort Worth Housing Solutions Casa de los Suefios Deeply Affordable Housing Project 12.11 Termination for Convenience. In terminating in accordance with 24 C.F.R. 85.44 this Contract may be terminated in whole or in part only as follows: 12.11.1 By City with the consent of Developer in which case the Parties shall agree upon the termination conditions, including the effective date and in the case of partial termination, the portion to be terminated; or 12.11.2 By the Developer upon at least 30 days' written notice to City, setting forth the reasons for such termination, the effective date, and in the case of partial termination, the portion to be terminated. In the case of a partial termination, City may terminate the Contract in its entirety if City determines that the remaining portion of the Contract to be performed or CDBG Funds to be spent will not accomplish the purposes for which this Contract was made. In the Developer terminated this Contract under this section 12.11.2, all CDBG Funds awarded but unpaid to Developer pursuant to this Contract shall be immediately rescinded and Developer shall have no further right to such fiords and any CDBG Funds already paid to Developer must be repaid by Developer to City within 30 days of termination, or at City's election Developer must repay City in accordance with the provisions of Section 5.6.1.8. Failure to repay will result in City exercising all remedies available to City under this Contract or the Loan Documents. 12.12 Non -Appropriation of Funds. In the event no funds or insufficient fiends are appropriated by City in any fiscal period for any payments due hereunder, City will notify Developer of such occurrence and this Contract will terminate on the last day of the fiscal period for which appropriations were received without penalty or expense to City of any kind whatsoever, except as to the portions of the payments herein agreed upon for which funds have been appropriated. 12.13 Dissolution of Developer Terminates Contract. In the event Developer is dissolved or ceases to exist, this Contract shall terminate. In the event of termination under this Section, all CDBG Funds are subject to repayment and/or City may exercise all of its remedies under this Contract and the Loan Documents. 13. REPAYMENT OF FUNDS. All CDBG Funds are subject to repayment in the event Developer does not meet the requirements as set out in this Contract or in the CDBG Regulations, including but not limited to meeting the National Objective. If Developer changes use of the Property to one that does not meet the CDBG Requirements, the City Requirements, the National Objective and/or other requirements of the CDBG Regulations or the terms of this Contract, Developer must either (i) repay the CDBG Funds or (ii) at City's election Developer must repay City in accordance with the provisions of Section 5.6.1.8. CDBG CONTRACT Page 18 Fort Worth Housing Solutions Casa de los Suefios Deeply Affordable Housing Project 14. MATERIAL OWNERSHIP CHANGE. If ownership of the Developer or the project materially changes after the date of this Contract, City may but is not obligated to, terminate this Contract. City has 30 days to make such determination after receipt of notice from Developer and failure to make such determination will constitute a waiver. In the event of termination under this Section 13, all CDBG Funds awarded but not yet paid to Developer pursuant to this Contract shall be immediately rescinded and Developer shall have no further right to such funds. Any CDBG Funds already paid to Developer must be repaid to City within 30 days of termination under this Section. 15. GENERAL PROVISIONS. 15.1 Developer an Independent Contractor. Developer shall operate hereunder as an independent contractor and not as an officer, agent, servant or employee of City. Developer shall have exclusive control of, and the exclusive right to control, the details of the work and services performed hereunder, and all persons performing same, and shall be solely responsible for the acts and omissions of its officers, members, agents, servants, employees, contractors, subcontractors, vendors, tenants, clients, licensees or invitees. 15.2 Doctrine of Respondeat Superior. The doctrine of respondeat superior shall not apply as between City and Developer, its officers, members, agents, servants, employees, contractors, subcontractors, tenants, clients, licensees or invitees, and nothing herein shall be construed as creating a partnership or joint enterprise between City and Developer. City does not have the legal right to control the details of the tasks performed hereunder by Developer, its officers, members, agents, employees, contractors, subcontractors, vendors, tenants, licensees or invitees. 15.3 Developer Propertv. City shall under no circumstances be responsible for any property belonging to Developer, its officers, members, agents, employees, contractors, subcontractors, vendors, tenants, clients, licensees or invitees that may be lost, stolen or destroyed or in any way damaged and DEVELOPER HEREBY INDEMNIFIES AND HOLDS HARMLESS CITY AND ITS OFFICERS, AGENTS, AND EMPLOYEES FROM ANY AND ALL CLAIMS OR SUITS PERTAINING TO OR CONNECTED WITH SUCH PROPERTY. 15.4 Religious Organization. No portion of the CDBG Funds shall be used in support of any sectarian or religious activity. In addition, there must be no religious or membership criteria for clients of a CDBG-funded service. 15.4.1 Intentionally deleted. 15.5 Venue. CDBG CONTRACT Page 19 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project Venue for any action, whether real or asserted, at law or in equity, arising out of the execution, performance, attempted performance or non-performance of this Contract shall lie in state courts located in Tarrant County, Texas or the United States District Court for the Northern District of Texas — Fort Worth Division. 15.6 Governing Law. This Contract shall be governed by and construed in accordance with the laws of the State of Texas. If any action, whether real or asserted, at law or in equity, arises out of the execution, performance or non-performance of this Contract or on the basis of any provision herein, for any issue not governed by federal law, the choice of law shall be the laws of the State of Texas. 15.7 Severabilitv. 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 invalid by a court or Federal or State agency, board or commission having jurisdiction over the subject matter thereof, such invalidity shall not affect other provisions which can be given effect without the invalid provision. However, it is understood and agreed by the Parties that the CDBG Requirements and regulations are integral parts of the Contract and that any reformation of the Contract in the event of severability should include the requirement that Developer comply with the CDBG Requirements and regulations, reporting requirements to verify the same, and that City shall be able to enforce the CDBG Requirements and regulations against Developer. 15.8 Written Agreement Entire Agreement. This written instrument and the attachments and exhibits attached hereto, which are incorporated by reference and made a part of this Contract for all purposes, constitute the entire agreement by the Parties concerning the work and services to be performed under this Contract. Any prior or contemporaneous oral or written agreement which purports to vary the terms of this Contract shall be void. Any amendments to the terms of this Contract must be in writing and executed by the Parties. 15.9. Paragraph Headings for Reference Onlv, No Legal Significance; Number and Gender. The paragraph headings contained herein are for convenience in reference to this Contract and are not intended to define or to limit the scope of any provision of this Contract. When context requires, singular nouns and pronouns include the plural and the masculine gender shall be deemed to include the feminine or neuter and the neuter gender to include the masculine and feminine. The words "include" and "including" whenever used herein shall be deemed to be followed by the words "without limitation". 15.10 Compliance With All Applicable Laws and Regulations. Developer agrees to comply fiilly with all applicable laws and regulations that are currently in effect or that are hereafter amended during the term of this Contract and throughout the Performance Period. Those laws include, but are not limited to: CDBG CONTRACT Page 20 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project ➢ CDBG Regulations found in 24 CFR Part 570. ➢ Title I of the Housing and Community Development Act of 1974, as amended, (42 USC 5301 et seq.) ➢ Title VI of the Civil Rights Act of 1964 (42 U.S.C. Sections 2000d et seq.) including provisions requiring recipients of federal assistance to ensure meaningful access by person of limited English proficiency ➢ The Fair Housing Act, Title VIII of the Civil Rights Act of 1968 (42 U.S.C. Sections 3601 et seq.) y Executive Orders 11063, 11246 as amended by 11375 and 12086 and as supplemented by Department of Labor regulations 41 CFR, Part 60 y The Age Discrimination in Employment Act of 1967 ➢ The Age Discrimination Act of 1975 (42 U.S.C. Sections 6101 et seq.) i' 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 Rehabilitation Act of 1973 (29 U.S.C. Sections 794 et seq.) and 24 CFR Part 8 where applicable ➢ National Environmental Policy 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.) and the 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 this Contract be utilized with respect to a facility that has given rise to a conviction under the Clean Air Act or the Clean Water Act. ➢ Immigration Reform and Control Act of 1986 (8 U.S.C. Sections 1101 et seq.) specifically including the provisions requiring employer verifications of legal status of its 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 Federal Accessibility Standards, 24 CFR Part 40, Appendix A ➢ Regulations at 24 CFR Part 87 related to lobbying, including the requirement that 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 Part 23, Subpart F ➢ Executive Order 12549 and 24 CFR Part 5.105(c) pertaining to restrictions on participation by ineligible, debarred or suspended persons or entities ➢ Section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act Y Guidelines of the Environmental Protection Agency at 40 CFR Part 247 For contracts and subgrants for construction or repair, Copeland "Anti - Kickback" Act (18 U.S.C. 874) as supplemented in 29 CFR Part 5 ➢ For construction contracts in excess of $2,000, and in excess of $2,500 for other contracts which involve the employment of mechanics or laborers, 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 CDBG CONTRACT Page 21 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project ➢ 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 Y Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, 2 CFR Part 200 et seq. Federal Funding Accountability and Transparency Act of 2006, (Pub.L. 109- 282, as amended by Section 6205(a) of Pub.L. 110-252 and Section 3 of Pub.L. 113-101) Federal Whistleblower Regulations, 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. 15.11 Intentionally deleted. 15.12 Prohibition Azainst Discrimination. 15.12.1 General Statement. Developer, in the execution, performance or attempted performance of this Contract, and in operation of services provided on the Property, shall comply with all non- discrimination requirements of 24 CFR 570.607 and the ordinances codified at Chapter 17, Article III, Division 4 — Fair Housing of the City Code. Developer may not discriminate against any person because of race, color, sex, gender, religion, national origin, familial status, disability or perceived disability, sexual orientation, gender identity, gender expression, or transgender, nor will Developer permit its officers, members, agents, employees, vendors, or project participants to engage in such discrimination. This Contract is 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 Developer hereby covenants and agrees that Developer, its officers, members, agents, employees, vendors, and contractors, have fully complied with all provisions of same and that no employee, or applicant for employment has been discriminated against under the terms of such ordinances by either or its officers, members, agents, employees, vendors, or contractors. 15.12.2 Intentionally deleted. 15.12.3 Developer's Contractors and the ADA. In accordance with the provisions of the Americans With Disabilities Act of 1990 ("ADA"), Developer warrants that it and any of its contractors will 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 Developer or any of its contractors. DEVELOPER WARRANTS IT WILL FULLY COMPLY WITH ADA'S PROVISIONS AND ANY OTHER APPLICABLE FEDERAL, STATE AND LOCAL LAWS CONCERNING DISABILITY AND WILL DEFEND, INDEMNIFY AND HOLD CITY HARMLESS AGAINST ANY CLAIMS OR ALLEGATIONS ASSERTED BY THIRD PARTIES OR CONTRACTORS AGAINST CITY ARISING OUT OF DEVELOPER'S CDBG CONTRACT Page 22 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project AND/OR ITS CONTRACTORS', AGENTS' OR EMPLOYEES' ALLEGED FAILURE TO COMPLY WITH THE ABOVE -REFERENCED LAWS CONCERNING DISABILITY DISCRIMINATION IN THE PERFORMANCE OF THIS CONTRACT. 15.13 Conflict of Interest and Violations of Criminal Law. 15.13.1 Developer Safeguards. Developer shall establish safeguards to prohibit its employees board members, advisors and agents from using positions for a purpose that is or gives the appearance of being motivated by a desire for private gain for themselves or others, particularly those with whom they have family, business or other ties. Developer shall disclose to City any conflict of interest or potential conflict of interest described above, immediately upon discovery of such. 15.13.2 General Prohibition Auainst Conflicts of Interest. No persons who are employees, agents, consultants, officers or elected officials or appointed officials of City or of Developer who exercise or have exercised any fimctions or responsibilities with respect to activities assisted with CDBG Funds or who are in a position to participate in a decision -malting process or gain inside information with regard to these activities may utilize CDBG services, may obtain a financial interest or benefit from a CDBG-assisted activity, or have an interest in 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, during their tenure or for 1 year thereafter, unless they are accepted in accordance with the procedures set forth at 24 CFR 570.611. 15.13.2.1 Developer shall establish conflict of interest policies for Federal Awards and shall provide such policies in writing to City in accordance with the requirements of 2 CFR Part 200.112. 15.13.3 Disclosure of Conflicts of Interest. In compliance with 2 CFR Part 200.112, Developer is required to timely disclose to City in writing any potential conflict of interest, as described in this Section. 15.13.4 Disclosure of Texas Penal Code Violations. Developer affirms that it will adhere to the provisions of the Texas Penal Code which prohibits bribery and gifts to public servants. 15.13.5 Disclosure of Federal Criminal Law Violations. In compliance with 2 CFR Part 200.113, Developer is required to timely disclose to City all violations of federal criminal law involving fraud, bribery or gratuity violations potentially affecting this Contract. 15.14 Intentionally deleted. 15.15 Intentionally deleted. CDBG CONTRACT Page 23 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project 15.16 Other Laws. The failure to list any federal, state or City ordinance, law or regulation that is applicable to Developer does not excuse or relieve Developer from the requirements or responsibilities in regard to following the law, nor from the consequences or penalties for Developer's failure to follow the law, if applicable. 15.17 Assignment. Developer 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 without approval shall be void, and shall constitute a breach of this Contract. 15.18 Intentionally deleted. 15.19 Force Maieure. If Developer becomes unable, either in whole or part, to fulfill its obligations under this Contract due to acts of God, strikes, lockouts, or other industrial disturbances, acts of public enemies, wars, blockades, insurrections, riots, epidemics, pandemics, earthquakes, fires, floods, restraints or prohibitions by any court, board, department, commission or agency of the United States or of any States, civil disturbances, or explosions, or some other reason beyond such Developer's control (collectively, "Force Majeure Event"), the obligations so affected by such Force Majeure Event will be suspended only during the continuance of such event. Developer will 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 will result in the continuance of the Developer's obligation regardless of the extent of any existing Force Majeure Event. Developer will use commercially reasonable efforts to remedy its inability to perform as soon as possible. 15.20 Survival. Any provision of this Contract that pertains to the CDBG Requirements, indemnity obligations, the City Requirements, the National Objective, auditing, monitoring, reporting requirements, client income eligibility, record keeping and reports, City ordinances, the provisions of Section 7.6 pertaining to the Federal System Award Management, or any other applicable CDBG Program requirements, and any default and enforcement provisions necessary to enforce such provisions, shall survive the tenn or earlier termination of this Contract for the longer of (i) 5 years after the termination of this Contract, or (ii) 5 years after the termination of the Performance Period, and shall be enforceable by City against Developer. 16. INDEMNIFICATION AND RELEASE. DEVELOPER COVENANTS AND AGREES TO INDEMNIFY, HOLD HARMLESS AND DEFEND, AT ITS OWN EXPENSE, CITY AND ITS OFFICERS, AGENTS, SERVANTS AND EMPLOYEES FROM AND AGAINST ANY AND ALL CLAIMS OR SUITS FOR PROPERTY LOSS OR DAMAGE AND/OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF WHATSOEVER HIND OR CHARACTER, WHETHER REAL OR ASSERTED, CDBG CONTRACT Page 24 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project 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 ANY IMPROVEMENTS 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 DEVELOPER 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/OR THE OPERATIONS, ACTIVITIES AND SERVICES OF ANY IMPROVEMENTS DESCRIBED HEREIN, WHETHER OR NOT CAUSED IN WHOLE OR IN PART BY ALLEGED NEGLIGENCE OF OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS OR SUBCONTRACTORS OF CITY. DEVELOPER LIKEWISE COVENANTS AND AGREES TO AND DOES HEREBY 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 DEVELOPER, 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 DEVELOPER AND CITY, THAT THE INDEMNITY PROVIDED FOR THIS SECTION INCLUDES INDEMNITY BY DEVELOPER TO INDEMNIFY AND PROTECT CITY FROM THE CONSEQUENCES OF CITY'S OWN NEGLIGENCE, WHETHER THAT NEGLIGENCE IS ALLEGED TO BE THE SOLE OR CONCURRING CAUSE OF THE INJURY, DAMAGE OR DEATH. DEVELOPER 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. DEVELOPER SHALL REQUIRE ALL OF ITS CONTRACTORS, SUBCONTRACTORS, AND VENDORS TO INCLUDE IN THEIR CONTRACTS AND SUBCONTRACTS A RELEASE AND INDEMNITY IN FAVOR OF CITY IN SUBSTANTIALLY THE SAME FORM AS ABOVE. CDBG CONTRACT Page 25 Fort Worth Housing Solutions Casa de los Suefios Deeply Affordable Housing Project 17. WAIVER OF IMMUNITY BY DEVELOPER. If Developer, as a charitable or nonprofit organization, has or claims an immunity or exemption (statutory or otherwise) from and against liability for damages or injury, including death, to persons or property, Developer hereby expressly waives its rights to plead defensively such immunity or exemption as against City. This Section shall not be construed to affect a governmental entity's immunities under constitutional, statutory or common law. 18. INSURANCE AND BONDING. Developer will maintain blanket fidelity coverage in the form of insurance or bond in the amount of $500,000.00 to insure against loss from the fraud, theft or dishonesty of any of Developer's officers, agents, trustees, directors or employees. The proceeds of such bond shall be used to reimburse City for any and all loss of CDBG Funds occasioned by such misconduct. To effectuate such reimbursement, such fidelity coverage shall include a rider stating that reimbursement for any loss or losses thereunder shall name the City as a Loss Payee. Developer shall furnish to City in a timely manner, but not later than the Effective Date, certificates of insurance as proof that it has secured and paid for policies of commercial insurance as specified herein. If City has not received such certificates by the Effective Date, Developer shall be in default of the Contract and City may, at its option, terminate the Contract. Such insurance shall cover all insurable risks incident to or in connection with the execution, performance, attempted performance or nonperformance of this Contract. Developer shall maintain, or require its general contractor to maintain, the following coverages and limits thereof: Commercial General Liability (CGL) Insurance $1,000,000 each occurrence $2,000,000 aggregate limit Non -Profit Organization Liability or Directors & Officers Liability (if applicable) $1,000,000 Each Occurrence $1,000,000 Annual Aggregate Limit Business Automobile Liability Insurance (if applicable) $1,000,000 each accident on a combined single -limit basis, or $ 250,000 Property Damage $ 500,000 Bodily Injury per person per occurrence Insurance policy shall be endorsed to cover "Any Auto", defined as autos owned, hired and non -owned. Pending availability of the above coverage and at the discretion of City, the policy shall be the primary responding insurance policy versus a personal auto insurance policy if or when in the course of Developer's business as contracted herein. CDBG CONTRACT Page 26 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project 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 limited to construction, demolition, and rehabilitation. Developer or its contractors shall maintain coverages, if applicable. In the event the respective contractors do not maintain coverage, Developer shall maintain the coverage on such contractor, if 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 Developer shall revise such amounts within 30 days following notice to Developer of such requirements. Developer will submit to City documentation that it has obtained insurance coverage and has executed bonds as required in this Contract prior to payment of any monies provided hereunder. Where applicable, insurance policies required herein shall be endorsed to include City as an additional insured as its interest may appear. Additional insured 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. Any failure on part of City to request certificate(s) of insurance shall not be construed as a waiver of such requirement or as a waiver of the insurance requirements themselves. Insurers of Developer's insurance policies shall be licensed to do business in the state of Texas by the Department of Insurance or be otherwise eligible and authorized to do business in the state of Texas. Insurers shall be acceptable to City insofar as their financial strength and solvency and each such company shall have a current minimum A.M. Best Key Rating Guide rating of A: VII or other equivalent insurance industry standard rating otherwise approved by.City. Deductible limits on insurance policies shall not exceed $5,000 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. CDBG CONTRACT Page 27 Fort Worth Housing Solutions Casa de los Suefios Deeply Affordable Housing Project Developer shall require its contractors to maintain applicable insurance coverages, limits, and other requirements as those specified herein; and, Developer shall require its contractors to provide Developer with certificate(s) of insurance documenting such coverage. Also, Developer shall require its contractors to have City and Developer endorsed as additional insurers (as their interest may appear) on their respective insurance policies. Developer shall require its general contractor to maintain builders risk insurance at the value of the construction. Notwithstanding any provision in this Contract to the contrary, when applicable, Developer shall comply with the requirements of 2 CFR 200.310 and shall, at a minimum, provide the equivalent insurance coverage for real property and equipment acquired or improved with CDBG Funds as provided to any property owned by Developer. 19. Certification ReLrardin2 Lobbvin2. The undersigned representative of Developer hereby certifies, to the best of his or her knowledge and belief, that: No Federal appropriated finds have been paid or will be paid, by or on behalf of Developer, to any person for influencing or attempting to influence an officer or employee of any Developer, a member of Congress, an officer or employee of Congress in connection with the awarding of any Federal contract, the malting of any Federal grant, the malting of any Federal loan, the entering into of any cooperative agreement and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan or cooperative agreement. If any fiords other than federally appropriated finds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any Developer, member of Congress in connection with this Federal contract, grant, loan or cooperative agreement, Developer shall complete and submit Standard Forni-LLL, "Disclosure Form to Report Lobbying, " in accordance with its instructions. This certification is a material representation of fact upon which reliance was placed when this Contract was made or entered into. Submission of this certificate is a prerequisite for making or entering into this Contract imposed by 31 U.S.C. Section 1352. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10, 000.00 and not more than $100, 000.00 for each such failure. Developer shall require that the language of this certification be included in all subcontracts or agreements involving the expenditure of federal funds. CDBG CONTRACT Page 28 Fort Worth Housing Solutions Casa de los Suefios Deeply Affordable Housing Project 20. Litigation and Claims. Developer shall give City immediate notice in writing of any action, including any proceeding before an administrative Developer, filed against Developer in conjunction with this Contract, or the Project. Developer shall furnish immediately to City copies of all pertinent papers received by Developer with respect to such action or claim. Developer shall provide a notice to City within 10 days upon filing under any bankruptcy or financial insolvency provision of law. 21. Notice. All notices required or permitted by this Contract must be in writing and shall be effective upon receipt when (i) sent by United States 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 sending Party. City: Neighborhood Services Department Attention: Assistant Director 200 Texas Street Fort Worth, TX 76102 Telephone: 817-3 92-7540 Copy to: City Attorney's Office Attention: Leslie Hunt 200 Texas Street Fort Worth, TX 76102 Telephone: 817-392-6259 Copy to: Neighborhood Services Department Attention: Project Coordinator 200 Texas Street Fort Worth, TX 76102 Telephone: 817-3 92-6125 Developer: Mary -Margaret Lemons President Fort Worth Housing Solutions 1407 Texas St. Fort Worth, TX 76102 Telephone: CDBG CONTRACT Page 29 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project Copy to: Hector Ordonez VP of Finance and Accounting Fort Worth Housing Solutions 1407 Texas St. Fort Worth, TX 76102 22. DEVELOPER HAS LEGAL AUTHORITY TO ENTER INTO CONTRACT. Developer 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. 23. 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. 24. PROGRAM INCOME. Parties agree that no program income as defined by HUD shall be earned as a result of this contract. 25. PROHIBITION ON CONTRACTING WITH COMPANIES THAT BOYCOTT ISRAEL. If Developer has less than ten employees, this contract is for less than $100,000, or Developer does not meet the definition of a "company" under the applicable section of the Texas Government Code, this provision shall not apply. Developer acknowledges that in accordance with Chapter 2270 of the Texas Government Code, the City is prohibited from entering into a contract with a company for goods or services unless the contract contains a written verification from the company that it: (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 those terms in Section 808.001 of the Texas Government Code. By signing this contract, Agency certifies that Agency's signature provides written verification to the City that Developer: (1) does not boycott Israel; and (2) will not boycott Israel during the term of the contract. 26. PROHIBITION ON BOYCOTTING ENERGY COMPANIES. Developer acknowledges that in accordance with Chapter 2274 of the Texas Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 13, § 2, the City is prohibited from entering into a contract for goods or services that has a value of $100,000 or more that is to be paid wholly or partly from public funds of the City with a company with 10 or more full-time employees unless the contract contains a written verification from the company that it: (1) does not boycott energy companies; and (2) will not boycott energy companies during the term of the contract. The terms "boycott energy company" CDBG CONTRACT Page 30 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project and "company" have the meaning ascribed to those terms by Chapter 2274 of the Texas Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 13, § 2. To the extent that Chapter 2274 of the Government Code is applicable to this Contract, by signing this Contract, Agency certifies that Agency's signature provides written verification to the City that Agency: (1) does not boycott energy companies; and (2) will not boycott energy companies during the term of this Contract. 27. PROHIBITION ON DISCRIMINATION AGAINST FIREARM AND AMMUNITION INDUSTRIES. Developer acknowledges that except as otherwise provided by Chapter 2274 of the Texas Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 19, § 1, the City is prohibited from entering into a contract for goods or services that has a value of $100,000 or more that is to be paid wholly or partly from public funds of the City with a company with 10 or more full-time employees unless the contract contains a written verification from the company that it: (1) does not have a practice, policy, guidance, or directive that discriminates against a firearm entity or firearm trade association; and (2) will not discriminate during the term of the contract against a firearm entity or firearm trade association. The terms "discriminate," "firearm entity" and "firearm trade association" have the meaning ascribed to those terms by Chapter 2274 of the Texas Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 19, § 1. To the extent that Chapter 2274 of the Government Code is applicable to this Contract, by signing this Contract t, Developer certifies that Developer's signature provides written verification to the City that Developer: (1) does not have a practice, policy, guidance, or directive that discriminates against a firearm entity or firearm trade association; and (2) will not discriminate against a firearm entity or firearm trade association during the term of this Contract. 28. ELECTRONIC SIGNATURES. This Contract 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 inserted via software such as Adobe Sign. 29. REVIEW OF COUNSEL. The Parties acknowledge that each Party and its counsel have reviewed and revised this Contract and that the normal rules of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Contract or any of the exhibits attached hereto. 30. IMMIGRATION NATIONALITY ACT. Developer shall verify the identity and employment eligibility of its employees who perform work under this Contract, including completing the Employment Eligibility Verification Form (I-9). Upon request by City, Developer shall provide City with copies CDBG CONTRACT Page 31 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project of all I-9 forms and supporting eligibility documentation for each employee who performs work under this Contract. Developer shall adhere to all Federal and State laws as well as establish appropriate procedures and controls so that no services will be performed by any Developer employee who is not legally eligible to perform such services. DEVELOPER, TO THE EXTENT PERMITTED BY APPLICABLE LAW, SHALL INDEMNIFY CITY AND HOLD LENDER HARMLESS FROM ANY PENALTIES, LIABILITIES, OR LOSSES DUE TO VIOLATIONS OF THIS PARAGRAPH BY DEVELOPER, DEVELOPER'S EMPLOYEES, SUBCONTRACTORS, AGENTS, OR LICENSEES. City, upon written notice to Developer, shall have the right to immediately terminate this Contract for violations of this provision by Developer. [SIGNATURES APPEAR ON NEXT PAGE] CDBG CONTRACT Page 32 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project [Executed effective as of the date signed by the Assistant City Manager below.] / [ACCEPTED AND AGREED:] City: By: Name: Fernando Costa Title: Assistant City Manager Date: J u l 12, 2023 DEVELOPER: By: el Mwe �& Nkx� Name: Maryargare Lem Title: President Date: July 11, 2023 CITY OF FORT WORTH INTERNAL ROUTING PROCESS: Approval Recommended: By: U `� Name: Victor T. Turner Title: Director, Neighborhood Services Department Approved as to Form and Legality Leslie L. -t 62, 2D23 15:46 CDT) By: Name: Leslie L. Hunt Title: Senior Assistant City Attorney Contract Authorization: M&C: M&C 22-0685 Contract Compliance Manager: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. By: Name: Chad LaRoque Title: Housing Development and Grants Manager City Secretary: b By: Name: Jannette S. Goodall Title: City Secretary g49vouQ p F fo Rr�Lao ?Vo o=c° Oran nEXA?o4p OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX CDBG CONTRACT Page 33 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project EXHIBITS: Exhibit "A" — Project Summary and Scope of Work Exhibit "A-1" — 2022 HUD Income Limits Exhibit "A-2"—Environmental Mitigation Action Exhibit "B" — Budget Exhibit "C" — Intentionally Omitted Exhibit "D" — Audit Certification Form Exhibit "E" — Loan Documents Exhibit "F" — Reimbursement Forms Exhibit "G" — Documentation of CDBG Requirements Exhibit "G-1"—Project Compliance Report: Rental Housing Exhibit "H" — Intentionally Omitted Exhibit "I" — Intentionally Omitted Exhibit "I-1" — Intentionally Omitted Exhibit "J" — Standards for Complete Documentation Exhibit "IC" - Intentionally Omitted Exhibit "L" — Intentionally Omitted Exhibit "M" — Intentionally Omitted Exhibit "N" — Form of Income Self -Certification Exhibit "O"—Intentionally Omitted CDBG CONTRACT Page 34 Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "A" PROJECT SUMMARY AND SCOPE OF WORK FORT WORTH HOUSING SOLUTIONS Capitalized terms not defined herein shall have meanings assigned to them in the Contract. DESCRIPTION: Developer will use CDBG fiends for costs associated with the conversion of the Express Inn at 8401 West Freeway, Fort Worth, Texas, 76116 (the "Property") to 55 units of deeply affordable, housing— `Casa de los Suenos.' This particular project is a collaborative effort among Developer, the City of Fort Worth, Tarrant County, Fort Worth Housing Finance Corporation, and Ojala Holdings. The role of Ojala Holdings is to assist with the conversion and rehabilitation as developer and asset manager. The Property currently has 83 units, which will be converted into 55 units to accommodate families. This configuration would include 12 1-bedroom units, 23 2- bedroom units, and 20 3-bedroom units ranging from 416 square feet to 818 square feet, an average of 644 square feet per unit. The project will also include a resident lounge, community space, business center, computer lab, and case management offices. Other planned amenities include a dog park, playground, multi -function sport court, activated green courtyard, resident garden, and laundry center. The National Objective of this project is to benefit low -and moderate -income individuals by having at least 51% of the households served by the Program must be Income Eligible Households Developer shall notify City if it substantially changes or modifies Program services at Casa de los Suenos to allow determination if such changes affect the National Objective, the CDBG Requirements, any City requirements, or other requirements of this Contract. Developer further agrees that it will notify City of any other services offered regularly at this location to determine applicability of any other requirements of the CDBG Regulations or this Contract. The Casa de Suenos Project will take place at the Express Inn at 8401 West Freeway, Fort Worth, TX 76116. None of the CDBG Funds provided under this Contract shall be used for any purpose in any other building owned and operated in connection with Fort Worth Housing Solutions or any other project involving Ojala Holdings. Developer will be entitled to submit Reimbursement Requests until 30 days after the Completion Deadline. The Parties does not anticipate routine Reimbursement Requests because the Loan is will be used as reimbursement for acquisition of the Property. PROJECT OBJECTIVES: Developer will increase the stock of deeply affordable housing units in the City. All renovations will ensure ongoing compliance with Section 504 Rehabilitation Standards for accessibility of publicly assisted facilities. CDBG CONTRACT — EXHIBITS Page 1 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project SPECIFIC PURPOSE: The purpose of the project is to address the significant need for affordable housing in Fort Worth by providing deeply affordable housing within the City of Fort Worth. The Project will meet the National Objective of providing serving low to moderate income families. SERVICES: Developer will provide or cause to be provided by third party vendors property management services related to the leasing and operation of the Project, as well as supportive services to assist the tenants of the Project. CDBG CONTRACT — EXHIBITS Page 2 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "A-1" 2023 HUD INCOME LIMITS FORT WORTH HOUSING SOLUTIONS City of Fort Worth 2023 CDBG Income Limits r Family Size Very Low Income Limit Low Income Limit 60% Income Limit Moderate Income Limit (530%AMI) (550%AMI) (<_60%AMI) (580%AMI) 1 Person $20,100 $33,500 $40,200 $53,600 2 Persons $23,000 $38,300 $45,960 $61,250 3 Persons $25,850 $43,100 $51,720 $68,900 4 Persons $28,700 $47,850 $57,420 $76,550 5 Persons $31,000 $51,700 $62,040 $82,700 6 Persons $33,300 $55,550 $66,660 $88,800 7 Persons $35,600 $59,350 $71,220 $94,950 8 Persons $37,900 $63,200 $75,840 $101,050 Source: U.S. Dept. of Housing and Urban Development Notes: 1. The City of Fort Worth limits are based on area median Income for the Fort Worth -Arlington, TX HUD Metro area 2. Effective date: June 15, 2023 CDBG CONTRACT - EXHIBITS Page 3 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "A-2" ENVIRONMENTAL MITIGATION ACTION FORT WORTH HOUSING SOLUTIONS Based on the "Normally Unacceptable" noise level for the proposed dog park area, mitigation is warranted (i.e.- relocation, barrier attenuation, etc.). Based on the "Unacceptable" noise levels for the existing tenant structures and exterior congregation areas (pool and courtyard), mitigation is warranted (i.e.- reconfiguring the proposed site plan, barrier attenuation, etc.). 24 CFR 51.104.a.2 states noise attenuation measures in these locations require the approval of the Responsible Entity's Certifying Officer (for projects reviewed under Part 58). 24 CFR 51.101.a.2.i states "Responsible entities under 24 CFR part 58 must take into consideration the noise criteria and standards in the environmental review process and consider ameliorative actions when noise sensitive land development is proposed in noise exposed areas. Responsible entities shall address deviations from the standards in their environmental reviews as required in 24 CFR part 58. Proposed mitigation measures include new dual glazed windows and sealants around all windows. Additionally, the proposed exterior amenities are located in the southern section of the subject property, and lack a direct "line -of -sight" from West Freeway East, Interstate 30, West Freeway Eastbound, and Western Hills. This project will also not include an increase in unit density, or a change in property use. Based on the location of the exterior amenities and proposed mitigation, Partner recommends no further action with respect to noise mitigation. CDBG CONTRACT — EXHIBITS Page 4 Fort Worth Housing Solutions: Casa de los Sueiios Deeply Affordable Housing Project EXHIBIT "B" BUDGET FORT WORTH HOUSING SOLUTIONS Casa de los Suenos Sources & Uses Sources of Funds Project Operating Account (Esperanza Proceeds) Tarrant County ARPA Funding City of Fort Worth Funding: Community Development Block Grant Fort Worth Housing Finance Corporation Private Capital Total Sources of Funds Uses of Funds Acquisition & Closing Costs Hard Costs Soft Costs Contingency Total Uses of Funds Total Project Budget 850,000 8,000,000 1,500,000 500,000 1,160,737 12,010,737 Total Project Budget 4,055,200 6,251,929 1,234,714 468,895 12,010,737 CDBG CONTRACT — EXHIBITS Page 5 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "C" Intentionally Omitted CDBG CONTRACT — EXHIBITS Page 6 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "D" AUDIT REQUIREMENTS FORT WORTH HOUSING SOLUTIONS CITY OF FORT WORTH 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 audit. Organizations may have a program specific audit in accordance with OMB Circular 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 control 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 Expenditures 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, Local Governments, and Not -for -Profit Organizations Receiving Federal Awards" 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 Properties 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 a single/program audit. Organizations receiving federal awards from the City of Fort Worth who are not required to CDBG CONTRACT — EXHIBITS Page 7 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project have an audit shall certify in 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. The following items should be submitted to the City of Fort Worth Neighborhood Services Department Compliance Division within the required timeframe: Due 60 days after orizanizatiods fiscal vear end in the vear that the proiect was completed: (reauired for all subrecivients). 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 period. 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, and questioned costs contained in the audit report and management letter, including a detailed corrective action plan Failure to submit any of these items by the required due date may result in holds on current draw requests, suspension of the organization's contract(s) and eligibility for future funding. If the organization does not meet the requirements of having a single/program audit conducted, records must still be kept available for review or audit by City staff (OMB A-133 Subpart B Sec 200(d). If additional information is needed concerning the audit requirements, please call (817) 392- 7540 and ask for the Senior Contract Compliance Specialist. CDBG CONTRACT — EXHIBITS Page 8 Fort Worth Housing Solutions: Casa de los Sueflos Deeply Affordable Housing Project 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 Government Auditing Standards ❑ Notes to the General Purpose or Basic Financial Statements of the Organization ❑ Opinion/Report on Schedule of Expenditures of Federal and State Awards ❑ 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 in management letter, including a corrective action plan. CDBG CONTRACT — EXHIBITS Page 9 Fort Worth Housing Solutions: Casa de los Sueiios Deeply Affordable Housing Project CITY OF FORT WORTH NEIGHBORHOOD SERVICES DEPARTMENT Audit Certification Form Subrecipient: Fiscal Year 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 fiscal year. ❑ 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) Must be filled out if Single Audit or Program Audit is not required: Federal Expenditure Disclosure Pass Through Federal Grantor Grantor Total Federal Expenditures for this Fiscal Year Printed Name Federal Funds Program Name & Contract CFDA Number Number Title (Must be CFO, CEO or equivalent) Authorized Signature (Must be CFO, CEO or equivalent) Phone Number Date Expenditures 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. Submit this form to the City of Fort 1Vorth Neighborhood Services Department tvidtin 60 days afler the end of your fiscal year. CDBG CONTRACT — EXHIBITS Page 10 Fort Worth Housing Solutions: Casa de los Sueiios Deeply Affordable Housing Project EXHIBIT "E" LOAN DOCUMENTS FORT WORTH HOUSING SOLUTIONS To be added at a later date CDBG CONTRACT — EXHIBITS Page 11 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "F" Intentionally Omitted EXHIBIT "G" DOCUMENTATION OF CDBG REQUIREMENTS FORT WORTH HOUSING SOLUTIONS Capitalized terms not defined in this Exhibit shall have meanings assigned to them in the Contract. NATIONAL OBJECTIVE: All households brought on as tenants at Casa de los Suenos Deeply Affordable Housing Project must qualify as homeless and therefore be presumed benefit households. To remain an eligible CDBG project, Developer must ensure at least 51% of all households residing at Casa de los Suenos are income -eligible. In order to meet the National Objective, Developer will list all households residing at Casa de los Suenos on the attached Project Compliance Report: Rental Housing. Households will be listed the first time served each year of the Performance Period. CDBG REQUIREMENTS: During Term of Contract: Developer will use the CDBG Funds as reimbursement for a portion of the acquisition costs to enable it to convert the Express Inn at 8401 West Freeway, Fort Worth, TX 76116 in order to create deeply affordable housing for homeless families. During Term of Performance Period: In consideration of the CDBG Funds provided through this Contract, Developer agrees to provide the following information and meet the following requirements for households residing at Casa de los Suenos: • Once every year submit the attached Project Compliance Report listing all households served.. The Project Compliance Report summarizes information regarding the household's size, race, ethnicity, and income, and monthly rent for all households served by Developer at Casa de los Suenos throughout each year. Each annual report will be due every October 1" following project completion for five years. • Meet the CDBG Requirements and National Objective as outlined in the Exhibit "G" o Each household served will be listed on the Project Compliance Report: Rental Housing. The form will be verified by Developer's staff. o Developer's staff must ensure that all households are listed on the report. • In order to ensure compliance with the CDBG Requirements, Developer's staff must be provided with a copy of this Contract and a relevant CDBG training manual. CDBG CONTRACT — EXHIBITS Page 12 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project PROJECT C0IIPLIINCE REPORT: RENT AL HOQSM §eject\ram: Cmtzeta Oena \an: 'MdN rtwrbds6ddOr mnamvnibreourevenb desnrsed6nabr udm�ry vevs Dee Blast '.:Q L±as!aae titil\m2tl 4unh�rllMaaclHxaet.l:) �`?�"' =r(BRs Cdtllvat(yRn 4;rna Av.W O,ss VeWe Iftp�iC has Gti5afm Ia:eve I I e I 1 i I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I 1 I I ra➢ardHr�maa I I I 1 I sart I I tsla�a,eneenh Inge aanafcaal�wmax,rmrnaa .Rafe :eYv ASi:mAvsi�a 7'sivd:n'tle d Slc;r )Asir, SEL.WSRae d71=e�!r�n l.inriocln:luAbsba!::an 9An.�Lvl�iu'A6il cUU+xtBY2 a Dd>t da:sha}lamloc0¢erActll:IsLxez I00az l W"blid+ IIrd1D±rt¢ulanb CiT=dVW3w,.a:eel. A logimlata eWeaiq=fks. Jae: pinx,nz: Darr_ D. R.-Ne,: W EMIT "G" Ar I I 1 j I I I I I I I I I � I I I I I I I I I I I I I I I I f I I I I I b CD 0 In EXHIBIT "H" Intentionally Omitted CDBG CONTRACT — EXHIBITS Page 14 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "I" Intentionally Omitted CDBG CONTRACT —EXHIBITS Page 15 Fort Worth Housing Solutions: Casa de los Sueiios Deeply Affordable Housing Project EXHIBIT "I-1" Intentionally Omitted CDBG CONTRACT — EXHIBITS Page 16 Fort Worth Housing Solutions: Casa de los Sueiios Deeply Affordable Housing Project EXHIBIT "J" STANDARDS FOR COMPLETE DOCUMENTATION FORT WORTH HOUSING SOLUTIONS FORT WORTH„ Standard of Documentation for Reimbursement of Development Costs Cost Type Documentation Standard Acquisition of Real Property • Notice to Seller (date must be on or before the date of options agreement or sales contract and signed by the buyer and seller) - Recorded Deed of Trust • Purchase Agreement w/ Required HUD language • Master Settlement Statement / HUD-1 • Appraisal or other document used to determine purchase price - Proof of Payment (bank statement/cancelled check) • Verification of Vacant Status (as applicable) Pre -development and Soft Invoice Costs (Architect, Engineer, - Invoice should include: Landscape Design, Surveys, date; Appraisals, Environmental, Legal company's letterhead; Fees, Other Consultants, Etc.) address for which service is provided; description of service(s) and item(s); amount for itemized services; and total amount • Proof of Payment lie. bank statement or cancelled check) - Fully executed contract/service agreements/letter agreement and applicable amendments Provide printout from www.sam.gov verifying contractor/subcontractor is not listed on the debarred and suspension list - If only a portion is being paid with City funds, then show calculation and documentation of how costs are allocated. Construction Costs (Contractors & Invoice Subcontractors) - Invoice should include: date; company's letterhead; address for which service is provided; description of service(s) and item(s); amount for itemized services; and total amount - Proof of Payment (i.e. bank statement or cancelled check) • C'opy of applicable inspection report(s) conducted by HED Inspector - Copy of executed agreements - Provide printout from www.sam.govverifying contractor/subcontractors are not listed on the debarred and suspension list Neighborhood Services FINAL as of 4/26/2016 Page 1 CDBG CONTRACT — EXHIBITS Page 17 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project FORT WORTH. Standard of Documentation for Reimbursement of Development Costs Construction Costs (Contractors & If only a portion is being paid with City funds, then show calculation of Subcontractors) how costs are allocated. (continued) For payment of final retainage for the prime contractor, lien waivers for the prime and all subcontractors. List of subcontractors Materials Purchased Directly by - Invoice Developer (if applicable) - Invoice should include: date; company's letterhead; address where materials will be used; description of service(s) and item(s); cost by quantity; and total amount • Proof of Payment (i.e. bank statement or cancelled check) • Verification of Delivery Developer Fee • Final Invoice Reflecting Total Development Cost (if paid directly from HOME funds) • Proof of payment for any other entity/funding source contributing to development costs. Show calculation of agreed upon developer fee percentage • Copies of final lien releases from contractor/subcontractor • Complete Documentation income eligibility of buyers/renters (i.e. income docs for eligible homebuyer/tenants, sales contract between developer/homebuyer, HAP Deed of Trust w/ required affordability period language, etc.) • Lease documents • Final inspections of completed units Neighborhood Services FINAL as of 4/26/2016 Page 2 CDBG CONTRACT — EXHIBITS Page 18 Fort Worth Housing Solutions: Casa de los Sueiios Deeply Affordable Housing Project EXHIBIT "K" Intentionally Omitted CDBG CONTRACT — EXHIBITS Page 19 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "L" Intentionally Omitted CDBG CONTRACT — EXHIBITS Page 20 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "M" Intentionally Omitted CDBG CONTRACT — EXHIBITS Page 21 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "N" Form of Income Self -Certification City of Fort lVorth CERTIFICATION OF INCOME STATEMENT Applicant Name: Cm -rent Address: Phone : City and Zip: Nq e of Child to Receive CDBG Assistance: Household Members and Income Gnchidime rbild benefician� And applicant) Last Nance First Nance Age Mont1i1V Source of Income Income $S TOTAL IMNMER OF FA.NULY MEMBERS Total Gross Annual Housebold Income: , ndude Yosyself,Spouse, Children, e1c.) CHMD BENEFICI, ORILATION= (Cbecl; one in each hera. This Iuiorreatien is Required for Fed=ral Repoiong Rapoies j a El MALE, b Vic, ❑ BLACIti' 1FFIC:4\ ,4\�RI� �Id ❑ HL ,-F)AFR1CAN ANEKCAN &,11 fIITE ❑ FENLkLE ❑ A.\SEP,ICAN INDLAId A4IASILAN NATI i E ❑ ASIAN ❑ AA:£P. AN INDLAIUALASF:.AN NATIVE & I= ❑ ASIAN & VMTE ❑ N?,WE HAAGAIIANr07iER PACMI C ISWMER ❑ BALANCE -'OTHER ❑ AMERIC:AN 11MM41d+ALALSKANNATATE & 8LACK-AFRICA14 A\LEFSCAN c. EIHId1,117 d. DISABLED e. IS HEAD OF HOUSEHOLD FE\LALE? ❑ HISPAVIC ❑ YES ❑YES ❑ NO`:-IUSP.LN"Ic ❑ NO ❑ NO Certifications I certifi, that the information I am providing is hve and could be subject to verification at any time `br a third patty. I also admow.edge that the prolvioa of fake infonmation could leave me subject to the pem-kies of Feder..], State arid local lain. Signature of Applicant Date W.kRNING: TITLE 18, SECTION 1001 OF THE U.S. CODE STATES THAT APERSO\ IS GLILTY OFA FELONY FOR FChORTNGLY AND {A'II.LINGLY XtUaNG FALSE OR FRAUDULENT STATEMENTS TO ANY DEPARTMENT OF THE UNTIED STATES GONTRINNIENT. --------------For use 15YAgetrev staff ordr---------------- Household Size: Gross Annual Income: Applicable Income Limit: Is Applicant Eligible? Cheek if Applicant refused to protzde demograpbic information or if in ormation is incorrect: e Staff Assessment of Demographics: Person Mal -big Determination: Date: AOFE: -address, inrortre° nrnorrnts and sotarres for.4LL hoiisehold riiertibers are rerlatred. Recsei as ofOctober lit. I,I15 Version I For Use ly Ct'id .'are Agencies CDBG CONTRACT —EXHIBITS Page 22 Fort Worth Housing Solutions: Casa de los Sueiios Deeply Affordable Housing Project Ciudad de Fort Worth CERTIFICAC16N DE DECLARACION DE INGRESOS Nombre del Solir-itaante: Direction de a ctualidad: Telefono: Ciudad y Codige, Postal: hombre de nitio para recibir asisteucia CDBG: Nfiembros Del Hoear a heresos [luchwendo el+la Solicitante }Nino Beneficiadc) Apellido Nornbre Had Ingreso Clrigen de lugresos \.Iensual TOTAL NliMERO DE MENMROS DEL HOG -AR (Ind&pse Uved l Total Anual de ingresos del hoear: " INFORM A-,16N DEL NNO BENEFICUDO: ,Set -done uno en cada ardwlo. Esc inforrmcioo es regaer ds por e) Gab mo federal ) a. ❑ M-4,5''ULI140 b. ❑ BLA.NCO ❑ 1,TEGRO+AFRIC.4NO A�IERICA�O ❑ NEGRO.,AFRICANO A%IEB,SCANO & BL 1`:CO ❑ FENMNO ❑ INDIO ANIERIC:4ZOVATIVO DE ALAS.P:A ❑ ASIATICO ❑ INDIO:§bIERICA\O•'NATiVO DE ALASKA &- BL1\CO ❑ ASIATICO t BLA_';CO ❑ NAMO HAiI AUNOlOTRO DE LAS ISLAS PACIFICAS ❑ BA1. NMOTRO ❑ INDIO ANIERICAN O. NATICO DE AL4S•IL4 w- NEGRO A MC.4, 0 AMERICANO c UMMAD d. INCAPACITADO e. ES LA C ABEZA DEL HOGAR Ail; IEM ❑ HISP.4N0 ❑ SI ❑ SI ❑ NOAUSPANO ❑ 1d0 ❑ NO Certification, Y o certifico que la information que yo estoy proporcionando es verdadera .F puedo ser sujeto a verification a cualgtuera Nora par tercera parte. Yo tarnbien reconozco que la protzsion de inform scion falsa puede dejarm a sujeto a penalidades Federales, Estatales, -v a ley local - Firma del. Solieitulte Fecha ADI;'ERTENCIA: TITtT O 18, SEC:CI6N 1001 DEL CODIGO DE LOS ESTADOS UNIDOS MICA QL-E LTA PERSONA ES C'LTLFABI.E DE UN DELTIO FOR SABER Y VOLL-A'rARL-" EVVTE H.3C.ER DECL.ULkC.10�NES F4LSOS O FRALTDLTLENTAS A CT'ALQUIER DEPART AXIENTO DE GOBIE.RTO DE LOS ESTaDOS UN71DOS, -----------------Para a se lie evq)leados de la agencin-------------- -- 4 De Miembros de FainiLia: Ingreso Anual: Unite de Ingreso: �Es solicitante eleeible? Compruebe si el solicitante se negb a du su infonmacibn personal o si la infonnacion es incorrecta: a Ev.aluacion del empleado sobre information personal: Persona haciendo ]a detemiinacion: Fecha: %More: La dirmr in do la caza y los hig -e3a i1- sus m igeweu? para Was auemb-o. del Hagar scw r•egtreridos. Ress,-3ai of October A, 202i Version 2: For Use by Chia Cue Aundss CDBG CONTRACT — EXHIBITS Page 23 Fort Worth Housing Solutions: Casa de los Suenos Deeply Affordable Housing Project EXHIBIT "O" Intentionally Omitted Signature: Signature: Dyan Ander n(Jul 12,202314:39 CDT) Chad Lagoque(Jul 12,202314:42 CDT) Email: DYAN.ANDERSON@fortworthtexas.gov Email: chad.laroque@fortworthtexas.gov CDBG CONTRACT — EXHIBITS Page 24 Fort Worth Housing Solutions: Casa de los Sueiios Deeply Affordable Housing Project FORT WORTH Routing and Transmittal Slip Neighborhood Services Department DOCUMENT TITLE: Casa de los Suenos - Contract M&C 22-0685 CPN CSO # DOC# DATE: TO: INITIALS DATE OUT 1. Virginia Villalobos viinia vi//alobos Jul 13, 2023 VirI Villalobos(Jut 13, 202311:06 CDT) 2. Allison Tidwell Ssv�N0.1WY� Jul 14, 2023 DOCUMENTS FOR CITY MANAGER'S SIGNTURE: All documents received from any and all City Departments requesting City Manager's signature for approval MUST BE ROUTED TO THE APPROPRIATE ACM for approval first. Once the ACM has signed the routing slip, David will review and take the next steps. NEEDS TO BE NOTARIZED: ❑ Yes ❑ No RUSH: XYes ❑ No SAME DAY: X Yes ❑ No NEXT DAY: ❑Yes ❑ No ROUTING TO CSO: X Yes ❑ No Action Required: ❑ As Requested ❑ For Your Information x Signature/Routing and or Recording ❑ Comment ❑ File ❑ Attach Signature, Initial and Notary Tabs X Attach Signature Return to: Please call Virqinia Villalobos at ext. 7744 for pick up when completed. Thank you. FORTWORTH Routing and Transmittal Slip Neighborhood Services DATE: July 12, 2023 TO: Victor T. Turner, Director THROUGH: Chad LaRoque, Housing Development and Grants Manager FROM: Dyan Anderson, Neighborhood Development Coordinator DA SUBJECT: $1,500,000.00 CDBG Contract for the Fort Worth Housing Solutions Casa de los Suenos Deeply Affordable Housing Project In May 2023, the City of Fort Worth submitted a request to the U.S. Department of Housing and Urban Development (HUD) for the release of $1,500,000.00 in Community Development Block Grant (CDBG) funds under Housing and Urban Development Act of 1974, as amended, for the purchase and development of Casa de los Suenos, a proposed affordable housing development in west Fort Worth, located at 8401 West Freeway. In 2022, Fort Worth Housing Solutions (FWHS) and Ojala Holdings (Ojala) jointly applied to Tarrant County's Request for Proposals (RFP) solicitation for funding to support affordable housing. The application included numerous letters of support from the community and partners who will have an active role in stabilizing families. Those partners include FWISD, JPS, MHMR, LVT Rise, Cook Children's, and Moritz Kia. The project will convert the Express Inn at 8401 West Freeway to 55 units of permanent supportive housing— Casa de los Suenos. Ojala will assist with the conversion as fee developer and asset manager The following contract details the agreement between developer, Fort Worth Housing Solutions, and the City for the HUD -funded CDBG portion of the deeply affordable housing project, Casa de los Suenos. Total HUD Funded Amount: $1,500,000.00 (CDBG) Estimated Total Project Cost (HUD and non -HUD funds) [24 CFR 58.32(d)]: $12,010,737.00