Loading...
HomeMy WebLinkAboutContract 24138 SECRETARY STATE OF TEXAS § COUNTY OF TARRANT § THIS contract is made and entered into on the date of the execution by and between the City of Fort Worth ("City"), acting and through Libby Watson, its duly authorized Assistant City Manager, and Presbyterian Night Shelter of Tarrant County ("Contractor"), by and through John Suggs, its duly authorized Executive Director. Contractor's business address is 2400 Cypress Street, Fort Worth, TX 76113. WHEREAS, the City of Fort Worth has been notified that it will receive grant monies from the United States Department of Housing and Urban Development ("HUD") through the Community Development Block Grant("CDBG")for Years XVI and XXI;and, WHEREAS, the primary purpose of the CDBG Program is to benefit low and moderate income citizens of Fort Worth; and, WHEREAS, the citizens of Fort Worth, the Community Development Council, and the City Council of Fort Worth have determined that Programs are needed by low and moderate income citizens of Fort Worth; NOW,THEREFORE, THIS AGREEMENT FURTHER WITNESSETH: THAT,the parties covenant and agree as follows: 1 GENERAL PROVISIONS 1.1 Scone of Services 1.1.1 The express purpose of this Agreement is to provide a non recourse loan to the Contractor with CDBG funds not to exceed One Hundred Fifty Thousand Dollars ($150,000.00) for the new construction of a low demand residence with twenty(20) single-room occupancy units that will serve as an emergency and transitional facility for persons with severe and persistent mental illness. The facility will be located at 1500 Presidio Street East, Lot 1, Block 94 Texas & Pacific Addition; 1504 Presidio Street East, Lot 2, Block 94 , Texas & Pacific Addition; and 2407 Cypress Street, Lot 1,Block 94, Texas& Pacific Addition. The loan shall be secured by a City of Fort Worth Nonprofit Housing Development Program Deed of Trust ("Deed of Trust") and evidenced by a City of Fort Worth Nonprofit Housing Development Promissory Note ("The Note"). This agreement, the Deed of Trust and the Note shall be together referred to as "The Loan Documents". 1.1.2 Contractor will administer services to citizens of the City of Fort Worth under the program name Safe Haven ("Program"). Contractor will provide the services and activities delineated in Exhibit A-Program Summary in accordance with Exhibit B-Program Timeline. 1.1.3 Contractor agrees to meet the National Objective of activities benefiting low and moderate income individuals contained in Section 507.208 of the Community Development Block Grants of the HUD regulations ("Regulations"); and to maintain full documentation supporting fulfillment of this National Objective in its files. 1.1.4 City will monitor the performance of the Contractor against the goals and performance standards required herein. Substandard performance as determined by City will constitute non- compliance with this Agreement. If action to correct such substandard performance is not taken by Contractor within a reasonable period of time after being notified in writing by City, contract suspension or termination procedures will be initiated. 1.1.5 Contractor agrees to comply with the uniform administrative requirements contained in Section 507.502 of the Community Development Block Grants of the HUD Regulations. Contractor must comply with requirements of Subchapter C of the Regulations. 1.2 Contractor and Subcontractor Agreements ' Contractor agrees that all work on the project will be performed under written contracts, and Contractor will ensure that all subcontracted work is performed under written contracts between the General Contractor or Project Manager and subcontractors and suppliers. Copies of contracts between General Contractor or Project Manager and all subcontractors performing work on the project must be submitted to City prior to work being performed. Contractor will require that the General Contractor or Project Manager make payments to all subcontractors, laborers and suppliers by check. 1.3 Inspection by City Contractor agrees to cooperate with City in arranging for inspections by representatives of the City of the progress of construction from time to time and will promptly comply with City's requirements and remedy any unsatisfactory conditions regarding construction or the progress thereof. 1.4 Duration This contract commences on the date it is executed, with the construction of the facility to be completed by May 30, 1999 and ends on May 31, 2008, unless extended in writing by both parties. 2 COMPENSATION AND METHOD OF PAYMENT 2.1 City will disburse CDBG Years XVI and XXI monies in an amount up to One Hundred Fifty Thousand Dollars ($150,000.00) to Contractor on a cost reimbursement basis upon submission by Contractor of invoices for CDBG allowable expenses. 2.2 Payment will be processed by City following receipt from Contractor of the Attachment I-Sub- Grantee's Request For Funds accompanied by a notarized "AIA" fund request, or similar form approved by the City, signed by the architect. Reimbursement for the payment of eligible expenses shall be made against the line item budget specified in Exhibit C-Development Budget and in accordance with performance specified in Exhibit B-Program Timeline. Contractor may not increase or decrease line-item amounts in its budget for this Project without the prior written approval of the City. 2 2.3 Contractor agrees to utilize all disbursed CDBG funds for the benefit of the Program. Contractor agrees that funds will be expended in accordance with the Program Development Budget. Contractor may not increase or decrease line-item amounts in the approved CDBG Program Operating Budget without prior written approval by the City. 2.4 It is understood that Contractor will obtain the remaining funds in excess of the CDBG amount for development of this program as detailed in the Program Development. Contractor will notify City promptly of any additional funding it receives for development of the Project. 2.5 Contractor covenants and agrees that during the term of this agreement that the facility constructed under this contract will be used solely to benefit low and moderate individuals. Contractor agrees that if the property is sold or converted to a use other than that described in the scope of services at any time during the period beginning on the date of execution of this agreement and ending May 31, 2003, or five (5) calendar years from the dater of completion, whichever comes first, Contractor will repay to the City CDBG Program the total amount of the original loan. Thereafter, for the period of June 1, 2003 to May 31, 2007, Contractor's obligation to reimburse City's CDBG Program shall diminish at the rate of twenty percent (20%) per annum calculable in yearly increments as of the anniversary date of the CDBG Program Year, as per the following schedule: June 1, 2003 through May 31,2004 80%of Loan Amount June 1, 2004 through May 31,2005 60%of Loan Amount June 1, 2005 through May 31,2006 40%of Loan Amount June 1, 2006 through May 31,2007 20%of Loan Amount June 1, 2007 and thereafter 0% of Loan Amount 2.6 Contractor will not commingle CDBG monies with any other funds in any manner which would prevent City from readily identifying program expenditures for operation of the Program. 3 UNIFORM ADMINISTRATIVE REQUIREMENTS AND PROGRAM MANAGEMENT STANDARDS 3.1 Financial Management 3.1.1 Accounting Standards The Contractor agrees to comply with OMB Circular A-110 as implemented at 24 CFR part 84 and agrees to adhere to the accounting principles and procedures required therein, utilize adequate internal controls, and maintain necessary source documentation for all costs incurred. 3.1.2 Cost Principles Contractor shall administer the Program in conformance with OMB Circular A-122, "Cost Principles for Non-Profit Organizations" and attachments and revisions thereto, regarding principles for determining costs for the Program. 3.2 Documentation and Record Keeping Requirement Contractor shall maintain all records pertinent to the activities to be funded under this Agreement required by HUD regulations specified in 24 CFR ' 570.506. In addition, 3 Contractor agrees to keep records to fully document all expenditures charged to the CDBG program. The documentation must support the amounts charged to Program and demonstrate that the expenditures were appropriate to the stated goals of the Program and allowable under applicable federal, state and City guidelines. 3.3 Retention All records pertaining to Program shall be retained for five (5) years following the date of termination of this contract. Contractor may destroy Program records at the end of this five (5) year period if no outstanding audit finding exists. 3.4 Properly Records The contractor shall maintain real property inventory records which clearly identify properties purchased, improved, or sold. Properties retained shall meet eligibility criteria and shall conform with 24 CFR' 570.505. 3.5 Close Outs The Contractor's obligation to City shall not end until all close-out requirements are completed. Activities during this close-out period shall include, but are not limited to: making final payments, disposing of program assets ( including the return of all unused materials, equipment, inspect cash advances, program income balances, and accounts receivable to City), and determining the custodianship of records. 3.6 Audits and Inspections 3.6.1 The City, HUD, and the United States Comptroller General, or their representatives, shall have access to any books, documents, records and papers relating to the operations of Contractor under this Agreement for the purpose of audit, examination, exception and transcription at all reasonable hours at all offices of Contractor. 3.6.2 For all contracts in the amount of$300,000 or more, Contractor must submit to City an annual audit prepared in accordance with 24 CFR Sections ' 570.502-570.503 generally, with specific reference to OMB Circulars (with attachments)A-122 and A-133 as appropriate. The audit may cover either Contractor's fiscal year during which this contract is in force or cover the period of this Agreement. The audit must be prepared by an independent certified public accountant, be completed within twelve (12) months following the end of the period being audited and be submitted to City within thirty (30) days of its completion. Contractor's audit schedule is attached hereto as Exhibit D - Audit Schedule. Costs of preparation of this audit may be an allowable expenditure of CDBG funds in an amount proportional to that of the CDBG funds used in contractor's total agency operating budget. 3.6.3 The City reserves the right to perform an audit of Contractor's program operations, finances and contract compliance activities at any time during the term of this contract, if City determines that such audit is necessary for City's compliance with OMB Circular A-128. Contractor agrees to allow access to all pertinent materials. If such audit reveals a questioned practice or expenditure, such questions must be resolved within fifteen (15) days after notice to Contractor. If questions are not resolved within this period, City reserves the right to withhold further funding under this and/or future contract(s). 4 3.6.4 If as a result of any audit it is determined that Contractor has misused, misapplied or misappropriated all or any part of the grant funds described herein, Contractor agrees to reimburse the City the amount of such monies so misused, misapplied or misappropriated,plus the amount of any sanction,penalty or other charge levied against City because of such misuse, misapplication or misappropriation. 4 REPORTING PROCEDURES 4.1 Program Income Contractor agrees that all program income from operation of the Program in proportion to the amount of CDBG funds received hereunder will be expended prior to expending CDBG monies and that any such program income is subject to the terms of this Agreement. CDBG monies may be expended by the Contractor only if program income is insufficient to meet all eligible program activity expenses. Contractor agrees to return to City at the end of the Contract any remaining program income earned from operation of the Program in proportion to the amount of CDBG funds in the overall operating budget. 4.2 Progress ss Reports Contractor will submit an annual report, to City for services and activities undertaken by Contractor in performance of this contract. The report will be signed by a duly authorized agent of Contractor and submitted each October 31 commencing on October 31, 1999 and of each year through October 31,2007. Contractor understands that failure to complete the annual Program Services Report shall be considered noncompliance with the terms of this Agreement, and the City shall consider noncompliance with this Agreement sufficient cause to reject fund requests from the Contractor for any other project not defined in this Agreement. 4.3 Procurement The Contractor shall procure all materials, property, or services in accordance with the requirements of OMB circular A-110, Procurement Standards, and shall subsequently comply with Attachment N, Property Management Standards as modified by 24 CFR 570.502(b)(6), covering utilization and disposal of property. 4.3.1 Contractor agrees that all work on the project will be performed under written contracts, and Contractor will ensure that all subcontracted work is performed under written contracts between the General Contractor or Project Manager and subcontractors and suppliers. Funds will be withheld on any Request for Funds to the City for goods or services for which there is no written agreement, or for which the written agreement was not approved by the City. 4.4 Compliance The Contractor shall comply with City policy concerning the purchase of equipment and shall maintain inventory records of all non-expendable personal property, as defined by such policy, procured with funds provided herein. 5 5 REVERSION OF ASSETS 5.1 Contractor agrees to return to City any CDBG funds remaining on hand at the end of the Contract. 5.2 All property purchased with CDBG funds under this contract will be used solely for operation of the Program. Contractor agrees to obtain City approval prior to purchase of property. Contractor agrees to notify City upon receipt of property so that it may be properly tagged and inventoried Title to such property will be vested with the City, and, at the termination of the Program for which CDBG funds have been received, Contractor will deliver all such property to City for disposition at City's sole discretion. 6 APPLICABLE LAWS 6.1 Federal 6.1.1 Contractor agrees to comply with the following laws and the regulations issued thereunder as they are currently written or are hereafter amended during performance of this contract: 6.1.1.1 Title VI of the Civil Rights Act of 1964 (42 USC 2000d et seq) 6.1.1.2 Fair Housing Act(42 U.S.C. 3601-3620) 6.1.1.3 Executive Order 11063, as amended by Executive Order 12259, Equal Opportunity in Housing, and implementing regulations in 24 CFR part 107 6.1.1.4 Age Discrimination Act of 1975 (42 U.S.C. 6101 et. Seq.) 6.1.1.5 Section 504 of the Rehabilitation Act of 1973 (29 USC 794) 6.1.1.6 Contract Work Hours and Safety Standards Act(40 U.S.C. 327 et seq.) 6.1.1.7 National Environmental Policy Act of 19969 6.1.1.8 Flood Disaster Protection Act of 1973 (42 U.S.C. 4106) 6.1.1.9 Executive Orders 11246, as amended by 11375, 11478, 12086,and 12107,Equal Employment Opportunity,and the implementing regulations at 41 CFR, Part 60 6.1.1.10 Housing and Urban Development Act of 1968 (12 U.S.C. 1701u) and implementing regulations at 24 CFR part 135 (a) As the work to be performed under this contract is on a project assisted under a program providing direct federal assistance from the Department of Housing and Urban Development and is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 23 USC 1701, Contractor covenants to abide by the requirements of the said Section 3. It requires the following: 1. That, to the greatest extent feasible, opportunities for training and employment be given lower income residents of the project area, and 2. That to the greatest extent feasible, contracts for work in connection with the project be awarded to business concerns which are located in or owned in substantial part by persons residing in the area of the project. (b) Contractor will comply with the provisions of said Section 3 and the regulations issued pursuant thereto by the Secretary of Housing and Urban development, set forth in 24 CFR 135, and all applicable rules and orders of the Department issued thereunder prior to 6 execution of this contract. Contractor certifies and agrees that it is under no contractual or other disability which would prevent it from complying with these requirements. (c) Contractor agrees that it will send to each labor organization or representative of workers with which it has a collective bargaining agreement or other contract or understanding, if any, a notice advising the said labor organization or workers' representatives of its commitments under this Section 3 clause and shall post copies of the notice in conspicuous places available to employees and applicants for employment or training. (d) Contractor agrees that it will include the said Section 3 clause in every subcontract for work in connection with the project and will, at the direction of the City, take appropriate action pursuant to the subcontract upon a finding that the subcontractor is in violation of regulations issued by the Secretary of Housing and Urban Development, 24 CFR 135. Contractor agrees that it will not subcontract with any subcontractor where it has notice or knowledge that the latter has been found in violation of regulations 24 CFR 135 and will not let any subcontract unless the subcontractor has first provided Contractor with a preliminary statement of ability to comply with the requirements of these regulations by completing Exhibit E-Labor Surplus. Contractor certifies and agrees that the low income residents hired will be continuously employed for the duration of the contract. (e) City and Contractor understand and agree that compliance with the provisions of Section 3, the regulations set forth in 24 CFR 135, and all applicable rules and orders of the Department issued thereunder prior to the execution of this contract shall be a condition of the federal financial assistance provided to the project, binding upon the City and the Contractor, and their respective successors, assigns and subcontractors. Failure to fulfill these requirements shall subject Contractor and its subcontractors, its successors and assigns, to those sanctions specified by the Grant Agreement through which federal assistance is provided and to such sanctions as are specified by 24 CFR 135. 6.1.1.11 Lead-Based Paint Poisoning Prevention Act(42 U.S.C. 4831(b)) 6.1.1.12 The Americans with Disabilities Act of 1990 (42 USC 12131 et seq) 6.1.1.13 Title VIII of the Civil Rights Act of 1968 (42 USC 3601 et seq) 6.1.1.14 The Age Discrimination in Employment Act of 1973 (29 USC 794) 6.1.1.15 The Immigration Reform and Control Act of 1986 (Pub. L. 99-603, 100 Stat. 3359 , as amended), specifically including the provisions requiring employer verification of the legal status of its employees 6.1.1.16 The Housing and Community Development Act of 1987 (Pub. L. 100-242, 101 Stat. 1815, as amended) 6.2 Other Laws 6.2.1 Contractor covenants and agrees that its officers, members, agents, employees, program participants and subcontractors shall abide by and comply with all other laws, federal, state and local, relevant to the performance of this contract, including all ordinances, rules and 7 regulations of the City of Fort Worth and the Housing and Community Development Act of 1974 (Pub. L. 93-383, 885 Stat. 633,), as amended, and all regulations pertaining thereto Contractor further promises and agrees that it has read, and is familiar with, terms and conditions of the Community Development Block Grant under which funds are granted and that it will fully comply with same. It is agreed and understood that, if City calls the attention of Contractor to any such violation on the part of Contractor or any of its officers, members, agents, employees, program participants or subcontractors, then Contractor shall immediately desist from and correct such violation. 7 PROHIBITION AGAINST DISCRIMINATION 7.1 Contractor, in the execution, performance or attempted performance of this contract and agreement, will not unlawfully discriminate against any person or persons because of sex, race, religion, age, disability, color or national origin, nor will Contractor permit its officers, members, agents, employees, subcontractors or program participants to engage in such discrimination. 7.2 In accordance with the policy of the Executive Branch of the federal government, Contractor covenants that neither it nor any of its officers, members, agents, employees, program participants or subcontractors, while engaged in performing this contract, shall, in connection with the employment, advancement or discharge of employees or in connection with the terms, conditions or privileges of their employment, discriminate against persons because of their age except on the basis of bona fide occupational qualification, retirement plan or statutory requirement. 7.3 Contractor further covenants that neither it nor its officers, members, agents, employees, subcontractors, program participants, or persons acting on their behalf, shall specify, in solicitations or advertisements for employees to work on this contract, a maximum age limit for such employment unless the specified maximum age limit is based upon a bona fide occupational qualification,retirement plan or statutory requirement. 7.4 In accordance with the provisions of the Americans With Disabilities Act of 1990 ("ADA"), Contractor warrants that it and any and all of its subcontractors 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 Contractor, or employees of Contractor or any of its subcontractors. Contractor 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 subcontractors against City arising out of Contractor's and/or its subcontractors' alleged failure to comply with the above-referenced laws concerning disability discrimination in the performance of this agreement. 7.5 This agreement is made and entered into with reference specifically to the ordinances codified at Chapter 17, Article III, Division 3 ("Discrimination in Employment Practices"), of the City Code of the City of Fort Worth, and Contractor hereby covenants and agrees that Contractor, its officers, members, agents, employees and subcontractors, have fully complied with all provisions of same and that no employee, employee-applicant or program participant has been 8 discriminated against by the terms of such ordinances by either the Contractor or its officers, members, agents, employees or subcontractors. 8 PROHIBITION AGAINST INTEREST 8.1 No member, officer or employee of City or its designees or agents; no member of the governing body of the locality in which the Program is situated; and no other public official of such locality or localities, who exercises any functions or responsibilities with respect to the Program funded hereunder during his or her tenure or for one year thereafter, shall have any interest, direct or indirect, in any contract or subcontract, or the proceeds thereof, for work to be performed hereunder. Contractor shall incorporate, or cause to be incorporated, like language prohibiting such interest in all contracts and subcontracts hereunder. 8.2 No member, officer, employee, or program participant of Contractor or its subcontractors shall have a financial interest, direct or indirect, in this contract or the monies transferred hereunder or be financially interested, directly or indirectly, in the sale to Contractor of any land, materials, supplies or services purchased with any funds transferred hereunder, except on behalf of Contractor, as an officer, employee, member or program participant. Any willful violation of this paragraph with the knowledge, expressed or implied, of Contractor or its subcontractors shall render this contract voidable by the City of Fort Worth. 9 MINORITY AND WOMEN BUSINESS ENTERPRISE COMMITMENT Contractor agrees to abide by the City of Fort Worth's policy to involve disadvantaged business enterprises (DBEs)in all phases its procurement practices and to provide them an equal opportunity to compete for contracts for construction, provision of professional services, purchase of equipment and supplies and provision of other services required by City. Therefore, Contractor agrees to incorporate City Ordinance No. 11923, Exhibit E, and all amendments or successor policies thereto, into all contracts and will further require all persons or entities with whom it contracts to comply with said Policy. 10 NON-ASSIGNMENT Contractor will not assign any or all of its rights or responsibilities under this contract without the prior written approval of City. Any purported assignment without such approval will be a breach of this contract and void in all respects. 11 INDEPENDENT CONTRACTOR 11.1 Contractor shall operate hereunder as an independent contractor and not as an officer, agent, servant or employee of City. Contractor 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, subcontractors, program participants, licensees or invitee. The doctrine of respondent superior shall not apply as between City and Contractor, its officers, members, agents, servants, employees, subcontractors, program participants, licensees or invitee, and nothing herein shall be construed as creating a partnership or joint enterprise 9 between City and Contractor. It is expressly understood and agreed that no officer, member, agent, employee, subcontractor, licensee or invitee of the Contractor, nor any program participant hereunder, is in the paid service of City and that City does not have the legal right to control the details of the tasks performed hereunder by Contractor, its officers, members, agents, employees,subcontractors,program participants, licensees or invitees. 11.2 City shall in no way nor under any circumstances be responsible for any property belonging to Contractor, its officers, members, agents, employees, subcontractors, program participants, licensees or invitees, which may be lost, stolen, destroyed or in any way damaged; and Contractor hereby indemnifies and holds harmless City and its officers, agents, and employees from and against any and all claims or suits. 12 INSURANCE AND BONDING 12.1 Contractor 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 kind or character, whether real or asserted, arising out of or in connection with the execution, performance, attempted performance or nonperformance of this contract and agreement and/or the operations, activities and services of the Program 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 Contractor 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 non-performance of this contract and agreement and/or the operations, activities and services of the programs described herein, whether or not caused in whole or in part, by alleged negligence of officers, agents, servants, employees, contractors or subcontractors of City. Contractor 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 or in connection with all acts or omissions of Contractor, its officers, members, agents, employees, subcontractors, invitees, licensees, or program participants, or caused, in whole or in part, by alleged negligence of officers, agents, servants, employees, contractors or subcontractors of City. 12.2 Contractor will maintain a blanket fidelity coverage in the form of an insurance bond in the amount of $150,000, to insure against loss from the fraud, theft or dishonesty of any of Contractor's officers, agents, trustees, directors or employees. The proceeds of such bond shall be used to reimburse City for any and all loss of CDGB monies occasioned by such misconduct. To effectuate such reimbursement, such bond shall include a rider stating that reimbursement for any loss or losses thereunder shall be made directly to City for the uses and benefit of Contractor. 12.3 Contractor shall furnish a certificate of insurance as proof that it has secured and paid for policies of public liability and automobile liability insurance covering all risks incident to or in connection with the execution, performance, attempted performance or nonperformance of this contract and agreement. The City shall be endorsed as an additional insured on the certificate. 10 12.4 The amounts of such insurance shall not be less than the maximum liability which can be imposed on City under the laws of the State of Texas. Contractor understands and agrees that such insurance amounts may be revised upward at City's option and that Contractor shall revise such amounts within thirty(30)days following notice to Contractor of such requirements. 12.5 Contractor also covenants and agrees to furnish the City of Fort Worth with a certificate of insurance as proof that it has obtained and paid for a policy of Workers' Compensation Insurance in the amounts required by state law, covering any and all employees of Contractor active in the Program funded under this contract; and Contractor agrees to require its subcontractors to carry adequate Workers' Compensation Insurance in the amounts required by state law. 12.6 Contractor will submit documentation to City that it has obtained insurance coverage and has executed bonds as required in this contract within thirty (30) days of the execution of this contract and prior to payment of any monies hereunder. 13 WAIVER OF IMMUNITY If Contractor, 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; Contractor 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. 14 TERMINATION 14.1 In addition to, and not in substitution for, other provisions of this Agreement regarding the provision of public services with CDBG funds, pursuant to Title I of the Housing and Community Development Act of 1974, as amended, it is expressly understood and agreed by and between the parties hereto that this agreement is wholly conditioned upon the actual receipt by City of Federal CDBG Year funds; that all monies distributed to Contractor hereunder shall be exclusively from Federal monies received under said grant and not from any monies of City; and that if such funds under said grant are not timely forthcoming, in whole or in part, City may, at its sole discretion, terminate this contract and agreement and City shall not be liable for payment for any work or services performed by Contractor under or in connection with this contract. 14.2 City may terminate this contract whenever such termination is determined to be in the best interest of City, or in event of Contractor's default, inability or failure to perform or to comply with any of the terms herein, or for other good cause. 14.3 The parties acknowledge that CDBG funds paid hereunder are intended to provide only partial funding for Contractor's program operations. If non-CDBG funds included in the Operating Budget are not forthcoming to Contractor during the contract term, City may terminate this contract. 14.4 CDBG funds provided hereunder may not be used as collateral for loans to Contractor to defray program operation expenses, and any attempted use of CDBG funds for this purpose will result in termination of this contract by City. 14.5 Termination will be effected by written notice to Contractor, specifying the portions of the contract affected and the effective date of termination. Upon Contractor's receipt of such termination notice, Contractor will: (a)Stop work under the contract on the date and to the extent specified by City; (b)Cease expenditures of CDBG monies, except as necessary for completion of the portions of the contract not terminated; and (c)Terminate all orders and contracts to the extent that they relate to terminated portions of the contract. 14.6 Contractor will return to City any unused monies previously advanced by City under this contract within thirty (30) days of the effective date of contract termination. City will have no responsibility or liability for Contractor's expenditures or actions occurring after the effective date of contract termination. 15 CERTIFICATION REGARDING LOBBYING 15.1 The undersigned representative of Contractor hereby certifies, to the best of his or her knowledge and belief,that: No federal appropriated funds have been paid or will be paid, by or on behalf of Contractor, to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an officer or employee of Congress or an employee of a member of Congress in connection with the awarding of any federal contract,the making of any federal grant, the making 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. Contractor shall require that the language of this certification be included in all subcontracts or agreements involving the expenditure of federal funds. 15.2 If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an officer or employee of Congress, or an employee of a member of Congress in connection with this federal contract, grant, loan or cooperative agreement, Contractor shall complete and submit Standard Form-LLL, Disclosure Form to Report Lobbying," in accordance with its instructions. 16 MISCELLANEOUS PROVISIONS 16.1 All terms of this contract shall apply to any and all subcontractors of Contractor who are in any way paid with CDBG funds or who perform any work in connection with Contractor's program. Contractor agrees to secure from any and all subcontractors the compliance documents as listed 12 in Attachment III-Subcontractor Compliance Schedule within the time specified for each document. 16.2 The provisions of this agreement are severable, and, if for any reason a clause, sentence, paragraph or other part of this agreement 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. 16.3 The failure of the City to insist upon the performance of any term or provision of this agreement or to exercise any right herein conferred shall not be construed as a waiver or relinquishment to any extent of City's right to assert or rely upon any such term or right on any future occasion. 16.4 Should any action, whether real or asserted, at law or in equity, arise out of the execution, performance, attempted performance or nonperformance of this contract and agreement, venue for said action shall lie in Tarrant County,Texas. _ 16.5 This written instrument and the exhibits attached hereto, which are incorporated by reference and made a part of this contract for all purposes, constitute the entire agreement between the parties hereto concerning the work and services to be performed hereunder, and any prior or contemporaneous, oral or written agreement which purports to vary from the terms hereof shall be void. Any amendments to the terms of this contract must be in writing and must be approved by each party to this contract. 13 IN WITNESS WHEREOF, the parties hereto have xecut four copies of this contract in Fort Worth, Tarrant County, Texas,this day of , A.D. 19 9 CITY OF FORT WORTH PRESBYTERIAN NIGHT SHELTER OF TARRANT COUNTY By: By: i by Wa n /John Suggs Assistant City Manager Executive Director APPROVED AS TO FORM AND LEGALITY: Assistant City A mey ATTEST: � . City S�ecretary C - Rfig1 contract Authorization Date. 14 STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the undersigned authority, a Notary public in and for the State of Texas, on this day personally appeared Libby Watson, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the City of Fort Worth and that he executed the same as the act of said City of Fort Worth for the purposes and consideration therein expressed and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of , A.D. 19 gt ROSELLA BARNES * *• NOTARY PUBLIC Notary Public in and for State of Texas Comm. Exp. 03-31-2001 the State of Texas STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on this day personally appeared John Suggs, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that he\she executed the same for the purposes and consideration therein expressed, as the act and deed for and in the capacity therein stated as its duly authorized officer or representative. GIVEN UNDER MY HAND AND SEAL OF OFFICE this �� day of , A.D. 19 . � ANN MARIE MENDEZ Notary Public,State of Texas Notary Public in and for My Commission ExO= SEPT.8,2002 the State of Texas 15 DEED OF TRUST DATE: August 11, 1998 GRANTOR: Presbyterian Night Shelter 2400 Cypress St. Fort Worth TX 76113 TRUSTEE; Edwin Cook TRUSTEE'S Mailing Address {including county}: City of Fort Worth 1000 Throckmorton Fort Worth,Tarrant,Texas 76102 BENEFICIARY; City of Fort Worth BENEFICIARY'S Mailing Address {including County} Housing Department Community Development Block Grant(CDBG) 1000 Throckmorton Street Fort Worth,Texas 76102 NOTE{S): Promissory Note between the City of Fort Worth and Presbyterian Night Shelter for the principle amount of$150,000.00 Date: August 11, 1998 Amount: $150,000.00 Maker: Presbyterian Night Shelter Payee: City of Fort Worth Terms of Payment: As stated on Note. PROPERTY(including any improvements):The real property and any and all improvements located at 1500 Presidio Street East, Lot 1, Block 94 Texas & Pacific Addition; 1504 Presidio Street East, Lot 2, Block 94, Texas& Pacific Addition; and 2407 Cypress Street, Lot 1,Block 94, Texas&Pacific Addition, Fort Worth,Texas. LIEN (s): It is stipulated, covenanted and agreed that the lien created by this instrument shall be and remain in first position securing the payment of that one(1)certain other Promissory Note in the principal sum of $150,000.00 dated i - executed by Maker,payable to the order of Payee. For value received and to secure payment of the Note,and fulfillment of other conditions contained herein, Grantor conveys the property to Trustee in trust. Grantor warrants and agrees to defend the title to the Property. If Grantor performs all the covenants stated herein,and pays the Note according to its terms,this Deed of Trust shall have no further effect,and Beneficiary shall release it at Grantor's expense. GRANTOR'S OBLIGATIONS: Grantor agrees to: 1. Allow Beneficiary to inspect improvements to the property; 2. Abide by all other terms of the Note and to pay amounts specified therein when same are due and payable; 3. Keep the property in good repair and a safe and sanitary condition: Maintain Premises and Permit Inspection. Cause the Property to be maintained, at Grantor's sole expense, in good, fast class condition and cause to be made, at Grantor's sole expense, all repairs, renewals, replacements, additions, and improvements thereof or thereto and permit the Trustee and Beneficiary to enter into or upon the Property at reasonable times during normal business hours for the purpose of investigating and inspecting the condition and operation of the property; aqd will not commit or knowingly permit any waste of the property or any part thereof or make or permit to be made any alterations or additions to the property which would have the effect of materially diminishing the value thereof; 4. Promptly pay or cause to be paid when due and owing: (a) all taxes,assessments,and governmental charges legally imposed upon the (b) all expenses including insurance premiums incurred or arising from the normal use and ownership of the Property;and (c) any and all rentals payable in respect of the Property. 5. Preserve the priority of the first lien established in this Deed of Trust, unless otherwise agreed by Beneficiary; 6. Maintain, in a form and in amounts acceptable to Beneficiary,an insurance policy or polices that: (a) covers all improvements for their full insurable value as determined when the policy is issued and renewed,unless Beneficiary approves a smaller amount in writing; (b) provides coverage for personal injury or death; (c) provides fire and extended coverage,including windstorm coverage; (d) protects Beneficiary with a standard mortgage clause; (e) provides flood insurance at any time the property is in a flood hazard area; (fl contains such other coverage as Beneficiary may reasonable require; subject to no increase in the premiums;and (g) not with standing any other provision in this Deed of Trust or Contract to the contrary, Grantor shall have the right to apply any insurance proceeds, in whole or in part, either to repair the Property or to make payment on the Note secured hereby,at its discretion. 7. Deliver copies of the insurance policy or policies to Beneficiary and deliver copies of renewals to Beneficiary at least ten days before expiration; 8. Keep any buildings occupied as required by the insurance policy; 9. Pay all prior lien notes on the property and notify the Beneficiary. 10. Perform punctually and properly all of Grantor's covenants, duties and liabilities under any other security agreement, guaranty agreement or assignment of the any kind existing as security for or in connection with payment of the Note; 11. Refrain from the conveyances of the property or any part thereof,by sale,trade,transfer, assignment, lease or any other method of conveyance, without first having obtained the express, written consent (which consent will not be unreasonable withheld or delayed) 12. Notify Beneficiary upon payment in full of fast lien; 13. Comply with the following U.S. Department of Housing and Urban Development long-term owner obligations (described in 24 CFR 570.503(d) (1)) for a period of ten (10) years or the term of the Promissory Note whichever is greater: (a) the Project shall remain in private ownership and in primarily residential rental Ilse for the required period, unless the project is sold to another private owner who agrees to continue to manage the property in accordance with CDBG requirements for the remainder of the required period, or a hardship exception is approved by the Beneficiary for reasons that occur after completion of the rehabilitation; (b) the Grantor shall not convert the units in the project to condominium ownership or any form of cooperative ownership not eligible for assistance under this part for the required period; (c) the Grantor shall not discriminate against prospective tenants on the basis of their receipt of, or eligibility for,housing assistance under any Federal, State or local housing assistance program or, except for a housing project for elderly persons,on the basis that the tenants have a minor child or children who will be residing with them. Grantor agrees to these conditions for the life of the Promissory Note or for ten(10) years from the date of execution of the Promissory Note, which ever is longer;or (d) the Grantor shall comply with the nondiscrimination and equal opportunity requirement and with the affirmative marketing requirements and procedures adopted under 24 CFR 511.13, for the required period. 14. The Grantor shall comply with the commitment made to the City Council regarding its Minority/Women Business Enterprises (M/WBE)to achieve a minimum level of participation in the rehabilitation of the project equaling $208,800 of the construction and rehabilitation costs. Grantor agrees to submit to the Beneficiary monthly cumulative reporting of subcontractor activity though out the project's construction period. 15. The Grantor shall provide 24-hour security to the property by maintaining restricted access by supervised security gates,as well as periodic patrol of the premises by certified personnel. BENEFICIARY'S RIGHTS: 1. Beneficiary may appoint in writing a substitute or successor trustee, succeeding to all rights and responsibilities of Trustee. 2. If the proceeds of the Note are used to pay and debt secured by prior liens,Beneficiary is subrogated to all of the rights and liens of the holders of any debt so paid. 3. In the event that the Beneficiary receives any proceeds under any insurance policies, Beneficiary will deliver the proceeds to the Grantor and the Grantor will use the proceeds to repair or replace damaged or destroyed improvements covered by the insurance policy. 4. If Grantor fails to perform any of Grantor's obligations, Beneficiary may perform those obligations and be reimbursed by Grantor on demand at the place where the Note is payable for any sums so paid, including reasonable attorney's fees,plus interest on those sums from the dates of payment at the rate stated in the Note for matured, unpaid amounts. The sum to be reimbursed shall be secured by this deed of trust. 5. If Grantor defaults on the Note or fails to perform any of Grantor's obligations under this Deed of Trust or if Default occurs on a prior lien note,the Contract between Beneficiary and Grantor or other instrument, Beneficiary may, after written notice to the Grantor and the passage of thirty (30) days, and providing such default is not cured,then: (a) Declare the unpaid principal balance and earned interest on the note immediately due; (b) Request Trustee to foreclose this lien, in which case Beneficiary or Beneficiary's agent shall give notice of the foreclosure sale as provided by the Texas Property Code as then amended;and ( c) Purchase the property at any foreclosure sale by offering the highest bid and then have the bid credited on the note. ' TRUSTEE'S DUTIES: If requested by Beneficiary to foreclose this lien,Trustee shall: _ 1. Either personally or by agent give notice of the foreclose sale as required by the Texas Property Code as then amended; 2. Sell and convey all or part of the property to the highest bidder for cash with a general warranty binding Grantor,subject to prior liens and to other exceptions to conveyance and warrant;and 3. From the proceeds of the sale,pay,in this order: (a) expenses for foreclosure; (b) to Beneficiary, the full amount of principal, interest, attorney's fees, and other charges due and unpaid; (c) any amounts required by law to be paid before payment to Grantor;and (d) to Grantor,any balance. GENERAL PROVISIONS: 1. Proceeding under this Deed of Trust, filing suit for foreclosure, or pursuing any other remedy will not constitute an election of remedies. 2. If any portion of the note cannot be lawfully secured by this Deed of Trust, payments shall be applied first to discharge that portion. 3. Subject to the terms of any first lien indebtedness, Grantor assigns to Beneficiary all sums payable to or received by Grantor from condemnation of all or part of the property, from private sale in lieu of condemnation, and from damages caused by public works or construction on or near the property. After deducting any expenses incurred, including attorney's fees, Beneficiary may release any remaining sums to Grantor or apply such sums to reduce the note. Beneficiary shall not be liable for failure to collect or to exercise diligence in collecting an such sums. 4. Grantor assigns to Beneficiary absolutely, not only as collateral, all present and future rent and other income and receipts from the property. Leases are not assigned. Grantor warrants the validity and enforceability of the assignment. Grantor may as Beneficiary's licensee collect rent and other income and receipts as long as Grantor is not in default under the Note or this Deed of Trust. Grantor will apply all rent and other income and receipts to payment of the note and performance of this Deed of Trust, but if the rent and other income and receipts exceed the amount due under the note and Deed of Trust,Grantor may retain the excess. If Grantor defaults in payment of the note or performance of this Deed of Trust, Beneficiary may terminate Grantor's license to collect and then as Grantor's agent may rent the property if it is vacant and collect all rent and other income and receipts. Beneficiary neither has nor assumes any obligations as lessor or landlord with respect to any occupant of the property. Beneficiary may exercise Beneficiary's rights and remedies under this paragraph without taking possession of the property. Beneficiary shall apply all rent and other income and receipts collected under this paragraph first to expenses incurred in exercising Beneficiary's rights and remedies and then to Grantor's obligations under the note and this Deed of Trust in the order determined by Beneficiary. Beneficiary is not required to act under this paragraph, and acting under this paragraph does not waive any of Beneficiary's other rights or remedies. If Grantor becomes voluntarily or involuntarily bankrupt, Beneficiary's filing a proof of claim in bankruptcy will be tantamount to the appointment of a receiver under Texas law. 5. The term note includes all sums secured by this Deed of Trust. 6. This Deed of Trust shall bind, inure to the benefit of, and be exercised by successors in interest of all parties. 7. If Grantor and Maker are not the same person,the term Grantor shall include Maker. 8. Lender agrees that the Borrower,and its general partners,as well as its limited partners, shall have no personal liability for the payment of the Note or any indebtedness or obligations under this Deed of Trust or the Contract,and Lender's sole and exclusive remedy shall be to foreclose this Deed of Trust in the event of a default under the terms of the Note,this Deed of Trust,or the Contract. GRANTOR: Presbyterian Night Shelter 2400 Cypress St. 3 Fort Worth TX 76113 BY: '(✓ John Suggs Executive Director STATE OF TEXAS COUNTY OF TARRANT BEFORE ME,the undersigned,a Notary Public in and for said State, on this day personally appeared,John Suggs known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this 1 l day of ALAQ, f 1998. `� ;� -=4;� ANN MARIE MENDEZ Notary Public in and for �. � Notary Public,State of Texas the State of Texas jGO� My Gnmmissicn Expires �,. SEPT.8,2002 My Commission Expires : q-g'aka CITY O FORT WORTH �- Li by Watson Assistant City Manager STATE OF TEXAS COUNTY OF TARRANT BEFORE ME, the undersigned, a Notary Public in and for said State, on this day personally appeared Libby Watson, of City of Fort Worth, a home-rule municipal corporation, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this 1 day of c(Ltq-a21 19931' Notary Public in and for "yh'F ROSELLA BAiil the State of Texas j` NOTARY PuPt. ' l State of Tex »�+r Comm. Exp. 03- My Commission Expires: 0 3- 3 I-�o01 ��•a; Dee&ffrwtPNS EXHIBIT A PROGRAM SUMMARY PROGRAM TITLE PRESBYTERIAN NIGHT SHELTER-SAFE HAVEN PROJECT AHDF-CDBG FUNDS OPERATING FUNDS $000 UPPLIES 1 $0.00 CONTRACTUAL SERVICES(CONSTRUCTION) $150,000.00 CAPITAL OUTLAY $000 TOTAL $150,000.00 DESCRIPTION: Presbyterian Night Shelter will use CDBG funds to assist in the construction of a transitional housing facility for persons wit sever and persistent mental illness. The contract period is from the date it is signed through May 30, 1999. PROGRAM OBJECTIVES: To construct a (20) unit transitional housing facility to house low and very low income persons with sever and persistent mental illness. PROGRAM MEASURES: AHDF-CDBG Minimum number of units constructed 20 I I �I I' i, Exhibit B Safe Haven Time Line June 5, 1998 f3ids announced in local newspapers June 24.1998 Bids opened at Tarrant County Community Development. Keck&Company,a construction firm out of Arlington,was low bidder with a$745,610. July 14. 1998 PN5 Board of Directors accept bid from Keck&Company. July 15.1998 Board Minutes submitted to Tarrant County Community Development. July 15- 20 Tarrant County Community Development develop6 contract and gets appropriate signatures. July 21.1998 Contract submitted to Commissioners Court for approval. July 22.1998 Fully executed contract submitted to HUD. July 23.1998 rreconotruction conference @ Tarrant County Community Development. August 4. 1998 Groundbreaking ceremonies at the site(planning) August 24.1998 Notice to Proceed Issued. Construction Begins October. 1998 5ite work,foundation,alley paving,framing of building completed (30%of work done). December,1998 Masonry,veneer,windows in place, mechanical, electrical systems roughed In. Roof dryed in. (70%of work completed) February 22, 1999 100%of work completed. Construction begins within thirty days of precon5truction conference. EXHIBIT C Development Budget Grantor Amount Department of HUD $ 207,000.00 Tarrant County ACCESS 25 000.00 Tarrant County Community Development Division 100,000.00 City of Fort Worth 150,000.00 Amon Carter Foundation 100,000.00 Presbyterian Night Shelter 260,000.00 Private Contribution 50,000.00 TOTAL DEVELOPMENT BUDGET $ 832,000.00 EXHIBIT C-1 Operating Budget Grantor Amount Department of HUD $ 514,068.00 Tarrant County ACCESS 25,000.00 Meadows Foundation 157,000.00 Tarrant County MHMR 360,000.00 Norwest Foundation 5,000.00 Burlington Northern Resources 5,000.00 TOTAL OPERATING BUDGET $1,041,068.00 Exhibit D INDEPENDENT AUDIT REQUIREMENT BUSINESS/AGENCY NAME: PROGRAM: AMOUNT FUNDED: $ Name of Independent Auditor who will perform agency audit: (Independent Auditor) Date audit is to perform: (Month and Year) The following language is a condition of your contract with the City: "In accordance with OMB Circulars A-128 and A-133, for all contracts in the amount of$300,000 or more, Contractor must submit to City an annual audit of its program operations and finances,covering either its fiscal year during which this contract is in force or covering the period of this contract. This audit must be prepared by an independent certified public accountant and must be submitted within three(3)months of its completion. Costs of preparation of this audit may be an allowable expenditure of federal funds in an amount proportional to that of the federal funds used in Contractor's total agency operating budget." Signature Date "Exhibit E-M/WBE Ordinance" ORDINANCE NO. REPEALING ALL MINORITY AND WOMEN BUSINESS ENTERPRISE POLICIES AND DISADVANTAGED BUSINESS ENTERPRISE POLICIES PREVIOUSLY ADOPTED; ADOPTING -AN- ORDINANCE TO REMEDY THE UNDERUTILIZATION OF MINORITY AND WOMEN BUSINESSES, AND TO ENHANCE THE UTILIZATION OF SAME; DEFINING MINORITY BUSINESS ENTERPRISE, . AND WOMEN BUSINESS ENTERPRISE FOR PURPOSE OF CERTIFICATION; REQUIRING MINORITY -BUSINESS ENTERPRISE AND WOMEN BUSINESS ENTERPRISE PARTICIPANTS TO BE QUALIFIED ANO ;DOING BUSINESS IN LOCALITY FROM WHICH- THE CITY REGULARLY SOLICITS; ADOPTING THE U.S. SMALL BUSINESS ADMINISTRATION IS DEFINITION FOR A SIZE STANDARD; ESTABLISHING SEPARATE GOALS FOR MINORITY BUSINESS ENTERPRISES AND WOMEN BUSINESS ENTERPRISES IN THE SPECIFIC AREAS OF CONSTRUCTION, PROFESSIONAL SERVICES AND PURCHASING; ESTABLISHING PROCEDURES FOR PROJECT SPECIFIC . GOALS; PROVIDING GENERALLY , FOR THE PROCEDURES TO BE FOLLOWED IN THE. BID/PROPOSAL PROCESS; REQUIRING BIDDERS TO SUBMIT DOCUMENTATION OF COMPLIANCE IN ORDER TO BE RESPONSIVE TO BID/PROPOSAL'.' SPECIFICATIONS; ESTABLISHING WAIVER OF GOALS -PROCEDURES; ALLOWING FOR DEBARMENT FOR MISREPRESENTATION OF FACTS. AS IT RELATES TO COMPLIANCE; PROVIDING SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE- .. ' . " - ..GATE: - .. : . _.. ..' . - �.. . _ - • . : .. . .: _ . _ - WHEREAS, 'the City Council commissioned an Availability/Disparity Study . (Study) conducted by Browne, Bortz & Coddington, Inc. (BBC) 'and a Public Hearing (Hearing) conducted by Carl Anderson, Esq, and found disparities. in the utilization of minority and women business enterprises in contracts awarded by the City of Fort Worth (City); and WHEREAS, the Study and Hearing found that discrimination occurred in the major contracting areas (construction, purchasing, and professional services) Of.the City of Fort Worth and resulted in-significant 'underutilization of minority and women business enterprises; and WHEREAS, minority and women business enterprises have had and continue to have *difficulties in obtaining . financing, bonding, credit, insurance, and assistance programs have not been effective in either remedying the effects of 'underutilization in City contracting or in preventing ongoing underutilization; and WHEREAS, the Study and the Hearing determined that race-neutral alternatives for enhancing minority and women -business enterprise contracting are not completely sufficient; and WHEREAS, the City has also been a passive participant in discriminatory behavior practiced by private industry within the relevant Marketplace in the award of contracts to minorities. and women businesses, the purpose of this ordinance is to overcome the effects of this past underutilization in the City's contracting processes; and WHEREAS, the provisions of this ordinance may increase the utilization of minority and women business enterprises in contracts awarded by. the City of Fort Worth; and WHEREAS, the City Council now desires to provide a narrowly tailored remedy for past underutilization of minority and women businesses through the annual setting and defining of percentage goals for -different categories of contracts, providing penalties for fraudulent misuse of this ordinance, requiring regular review of the necessity for the provisions of this ordinance, limiting those minority and women's business enterprises that participate under this ordinance to those that qualify and do business in the City's Marketplace, providing for post bid submission of required information about minority and women business enterprises and establishing waiver of goals procedures; NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL.OF THE-CITY . OF :FQ#2T.WORTH, TPL!%$, THAT: SECTION 1. It is the policy of the City of Fort worth to attempt to provide a remedy for -past underutilization of qualified minority and women businesses and prevent ongoing underutilization of minority and women.-business enterprises in the City's contracting process by ensuring the full and equitable participation of minority and women business enterprises in the provision of goods and services to the City on a contractual basis in the manner identified in Attachment I of -this ordinance, said Attachment I being apart of this ordinance. -2- SECTION 2. The ultimate goal of this ordinance is to' remedy the effects of past underutilization in the Marketplace by increasing the use of minority and women business enterprises above the present low level to one more comparable to their availability in the Fort Worth Marketplace. The City Council shall set an annual goal for MBE and WBE participation in City procurement activities, based upon the availability within the Marketplace. The initial goals, based upon availability, shall be thirteen percent (13%) for minority businesses -and twelve percent (12t) for women businesses and shall be reviewed as provided for elsewhere herein. These goals are not quotas. - - SECTION=3. - - The provisions of this ordinance shall apply to all contracts awarded by the City, except as may be hereafter . specifically _ exempted,, and shall be _liberally construed for the accomplishment Of its policies and purposes. specific goals shall be established in the areas of construction, professional services and purchases of other goods and services. Goals may be set on individual projects based on the type of work or services to be performed, or goods to. be acquired and the availability of minority and women businesses in the City's Marketplace. SECTION 4. The provisions of this ordinance shall be considered in determining the responsiveness to specifications of offerors to the bid/proposal. The City shall consider the offeror's -3- responsiveness to this ordinance in the evaluation of bids/proposals and shall award contracts to the lowest responsible offeror meeting the specifications, inclusive of. compliance to this minority and women business enterprise ordinance. SECTION S. Debarment procedures shall be established for firms willfully misrepresenting the facts in compliance with this ordinance to the city. SECTION 16. Waiver procedures to the regulations established in this ordinance shall be provided -for City procurement activities where a public calamity requires the'emergendy expenditure of funds; the purchase of goods o"r services- from source(:d)- :Where -subconfracting or supplier opportunities are nonexistent; where an economic risk• or undue delay for the acquisition of goods or services will be imposed on the City, or when the availability of minority and women businesses is negligible. SECTION 7. .From and after the date this ordinance takes effect;-it shall supersede all previous City Council Policies affecting minority and women business enterprise and disadvantage business enterprises. SECTION S. The - City Manager, with the advice and counsel of the Disadvantaged .Business-- Enterprise Advisory Committee ("DBEAC") in accord with City of Fort Worth Resolution No.1148, is- hereby -4- authorized to establish, implement and administer regulations necessary to carry out the intent of this ordinance. SECTION S. The City Council shall regularly, at least every three (3) years, determine whether there is a continuing need for a minority and'women business enterprise program, make relevant findings, and, if necessary, repeal in whole or in part or enact appropriate amendments to this ordinance. SECTION 10. It is hereby declared to be the intention of the City Council that the sections, •paragraphs, sentences, clauses and phrases of this ordinance are severable, 'and, if any phrase, clause, sentence, paragraph=- or section of` this -ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such unconstitutionality shall not•affect* any of the remaining phrases, clauses, sentences, . paragraphs. and sections of this ordinance, since the same would have been efiacted by the City Council without the incorporation in this ordinance of any such• unconstitutional phrase, clause, sentence, paragraph or section. SECTION 11. This ordinance shall take effect and be in full force and effect from on and after June 1, 1995; provided, however, that this ordinance shall not affect any procurement activity where formal solicitation began before the effective date of this ordinance, and it is so ordained. -5- APPROVED AS TO FORM AND LEGALITY-: ity Att Date: ADOPTED: EFFECTIVE: Y -46- ATTACMENT I DEFINITIONS: 1. "Bidder" means any person, firm, corporation, or -partnership which submits a bid or proposal to provide labor, goods or services to the City for which- City funds are expended. The term includes "Offeror" as well as offers received from providers of professional services. 2. "Certified" means those firms, within the Marketplace, that are certified by either the North Central Texas Regional Certification Agency (NCTRCA) or the Texas Department of Transportation (TxDOT) , highway division. 3. "City" means the City of Fort Worth, Texas. 4. -"Construction" means the erection, rehabilitation, alteration, conversion, extension, demorition, improvement, remodeling or repair to any 'real property, including streets, storm drains and facilities providing utility service owned by the City. 5. "Contract" means a bindiricg agreement whereby the City either grants a privilege or •is `committed to expend or does expend its funds or • other resources for or in -connection with a) construction of any public improvement, and b) 'purchase of any services (including professional services) . The term inaludes- "purchase order". 6. „Contract Officer" means the person employed by the -City to oversee the performance of the contract. 7. "Contracting Department" means -the department responsible for payment of contract obligations. 8.- "Contractor" means the person, - firm; corporation, or partnership with whom the City has entered into an agreement. Includes the terms "Vendor", and "Prime Contractor".- 9. "Coordinator." means the administrator of the MBE/WBE Office. 10. "Good• Faith Effort'! means having: absence of malice or any intentions to deceive; good intentions and sincerity to meet the goals of this ordinance. Documentation submitted by the bidders to explain why its good and honest efforts did not meet or exceed the stated MBE/WBE goals. Compliance with each of the following steps shall satisfy the Good Faith Effort requirement absent proof of fraud, misrepresentation, or intentional discrimination by the bidder: -7- 10.1. List each and every subcontracting and/or supplier opportunity for the completion of this project. 10.2. Obtain a current (less than two (2) months old from the bid open date) list of M/WBE subcontractors and/or suppliers from the City4s M/WBE Office. 10.3. Attend the pre-bid conference, if scheduled by the City, and attempt to utilize M/WBEs that attended. 10.4. Solicit bids from M/WBEs, within the subcontracting and/or .'supplier areas previously listed, at least ten days prior to bid opening by mail. 10.5. Solicit bids from M/WBEs, within the subcontracting and/or supplier areas -previously listed, at least ten days prior to bid opening by telephone. 10.6. Solicit bids from M/WBEs, within the -subcontracting and/or supplier areas previously listed, at least ten days prior to bi_d. opening by advertisement in a local newspaper.- 10.7. Provide plans and specifications or information regarding th4 location of plans and specification i to •M/WBEs. - 10.8. Submit documentation-if M/WBE bids were rejected on the basis of quotation not ' being commercially • reasonable, qualifications, etc. Note: If a SIC code list of M/WBEs is five or less; ' the bidder must contact the entire list to be ' in compliance with 10.4 and 10.5. If A SIC code list of M/WBEs is more than five, the bidder must . contact at least two-thirds of the list but not less than five to be in compliance with 10.4 and 10.5. - • Note: Bidders who -continuously list the same M/WBEs* when contact has previously been unsuccessful as result of disconnected numbers or returned mail, will not be deemed in compliance with the Good Faith Effort requirements. 11. "Joint •Venture" means an association of two or more•persons or businesses to carry out a single business enterprise for profit for which purpose they combine their property, capital, skills, knowledge and management in an agreed to proportionate share. -8- 12. "Marketplace" means the geographic market area represented by the Fort Worth/ Dallas Consolidated Metropolitan Statistical Area. 13. . "Minority" means a citizen of the United States or lawfully admitted permanent resident who is Asian-American, American Indian, Black or Hispanic. 14. "Minority Business Enterprise" is defined as a qualified • business concern located in the Marketplace or doing business in the Marketplace at the time of bid opening or during negotiations related to proposal's meeting the following criteria: a. which is at least 51 percent owned by one or more minority persons, or, in the case of any publicly owned business, at least 51 percent of the stock is owned by one or more minority persons; and b. whose management - and daily business. operations are controlled by one or. more minority persons who own it; and C. meeting the size standards set forth by SBA. -15: "Procurement" means the buying, renting, leasing or otherwise obtaining or acquiring any supplies, materials, equipment or services. 16. 4*Professional services" means services which require predominantly mental or intellectual labor and •skills, includes, but is not necessarily limited to, architects, engineers, surveyors, doctors, attorneys, and.accountants.- 17. "Project Manager" see Contract Officer. 18. "Purchasing" means the buying, renting, leasing or ot,-hervise obtaining or acquiring any supplies, materials, equipment or services excluding construction and professional services. previously defined. ' 19. "Qualified" means an individual or business entity having previously performed or received training in the work, industry or profession required. 20. '"Size standard" is the average annual gross receipts for a company and its affiliates for the previous three (3) fiscal years which must not exceed the amounts as defined by the United States Small Business Administration's (SBA)- standard industry classification (sic) codes. These codes are outlined in the most recent edition of SBA 49 CFR 23.62, Appendix B and 13 CFR 121.401-407 and 601. -9- 21. '"subcontract', means an agreement between -the- contractor and another business entity for the performance of work. 22. "Women Business Enterprise's is defined as a qualified business concern located in the Marketplace or doing business in the Marketplace at the time of competitive bid opening or during negotiations related - to proposals meeting the following criteria: a* which is at least, 51 percent owned by one or more women, or, in the case of any publicly owned business, at least 51 percent of the stock is owned by one or more women; and b. whose management and daily business operations are controlled by one or more women who own it. C. meeting the size standards set forth by SBA. II_ PR06AM GOALS (A) City-wide goals for the;::. utilization. of minority business enterprises (MBE) and women business enterprises (WBE) shall be reviewed and. approved annually by the City Council. (1) The City Manager shall, on or before October 31 of each year, beginning October 31, 1996, conduct an analysis of the availability of MBEs and WBEs and present to the City Council an annual report on*MBE and WBE availability and utilization. Based on the availability of MBE/WBEs in the Marketplace and the Cityls most recent goals attainment and with the advice and counsel of the DBEAC, the City Manager shall recommend to the City Council reasonable goals for the remainder of the current fiscal year. (2) These goals shall. be expressed in terms of percentages of the total dollar value of all contracts to be awarded- by the City, and -shall be established separately for categories of construction, professional services, and*purchasing as well as any other categories that the City Council or City Manager deem appropriate. (B) Individual project goals shall be set by the M/WBE Office in collaboration with the Contract Officer and Risk Management (where appropriate) prior to solicitation. These project goals shall be reasonable and shall be based upon. (1) Specific subcontracting and/or materials opportunities. required to complete the project, and -la- (2) The availability -of MBE/WBE in the' identified subcontracting and/or materials opportunities in the Marketplace. (C) MBE/WBE participation shall be counted toward meeting MBE and WBE goals in accordance with the following provisions: (1) For the purpose of determining compliance with the goals requirements established in- this ordinance, businesses will be counted as MBE and WBE only when they have been certified as.such prior to award. of the bid or proposal. (2) Any business(es) listed by an offeror which is not certified prior to award of bid/proposal will have that amount of participation deducted from the total MBE/WBE utilization in ' order to determine . the offerorgs responsiveness." It is the responsibility of the offeror to secure additional certified or certifiable MBE/WBE participation before responsiveness to this ordinance is determined. (3) The offeror may count,.toward its MBE or WBE goals first and second tier MBE. and WBE subcontractors and/or suppliers. . ' Y 1 • t \ (4) The. offeror will be given credit toward the MBE/WBE contract goal only when the MBE or WBE performs a commercially useful function. An HBE or. WBE is considered to have performed a commercially useful function when: a) it is responsible for the execution of .a distinct element . of the work by actually performing, managing and supervising the work involved in accordance with normal business practice; and b) the firm receives due compensation as agreed upon for the work performed. ' (5) Regardless of whether an ' arrangement** between the ' contractor and the MBE/WBE represents' standard industry practice, if the' arrangement erodes the- ownership, control or independence of the MBE/WBE or does not meet the commercially useful function requirement, the offeror shall receive no credit toward the goals. (6) An of feror may count toward its MBE or WBE goal a portion of the total dollar value of a contract with a joint venture equal to the percentage of MBE or WBE participa- tion in the joint venture. The MBE or WBE involved in the joint venture must be responsible for a clearly defined portion of the work to be performed, equal to a -11- • i share in the ownership, control, knowledge, management, responsibility, risks, and profits of the joint-venture. (7) Except for joint ventures, all prime contractors, whether same be majority firms, MBE or WBE,* shall comply with this ordinance in order to be considered responsive. (8) The bidder may not count toward the goal any agreements with MBE or WBE that 'are not located• within the Marketplace or otherwise do not meet the guidelines as set . forth in this section. III. MBE AND WBE UTILIZATION REOUIREMENTS (A) In addition to the requirements set forth elsewhere, bid conditions and requests for proposals , shall include a statement of both MBE and .WBE goals established for the project. (B) Bid conditions, requests _ for proposals, and all other specifications for contracts to be awarded by the City shall require that offerors make a good faith effort to subcontract with or purchase supplies from MBE and WBE. Such specifications shall require the offeror to meet or exceed the • stated goals or submit documentation of GFE for all contracts of $25,000 or more to permit a determination of compliance with the specifications or requests for proposals. (C) Construction and Professional .Services contracts and such other contracts which may be .competed 'for under sealed proposal procedures (estimaj:ed cost of $25,000 or more) :and Purchasing contracts (estimated cost of $15,000 or more)-shall be awarded and administered in accordance with the following standards and procedures: (1) Competitive bids shall include the .-MBE and WBE specifications in the bid specifications. MBE`and'WBE • specifications .consist of the SPECIAL INSTRUCTIONS TO BIDDERS, AFFIDAVIT STATEMENT, MBE/WBE UTILIZATION FORM, PRIME CONTRACTOR WAIVER FORM and the GOOD FAITH EFFORT FORM. (a) The AFFIDAVIT STATEMENT shall be submitted with the bid on the bid opening date. (b) The MBE/WBE UTILIZATION FORM, PRIME CONTRACTOR WAIVER FORM and/or the GOOD FAITH EFFORT FORM shall be submitted to the contracting department no later than 5:00 p.m. , five (5) City business days after bid opening date. -12- (c) An offeror that equals or exceeds the MBE and WBE project goals, shall submit the MBE/WBE UTILIZATION FORM. (d) The PRIME CONTRACTOR WAIVER FORM shall be submitted with any bid that includes no subcontracting and/supplier opportunities.. If substantial subcontracting and/or substantial supplier. opportunities arise -in the performance of a contract awarded in reliance on the PRIME CONTRACTOR WAIVER FORM, the contractor shall notify the City *before subcontracts for work and/or supplies are let and the contractor shall comply with the requirements of this ordinance. , (e) GOOD FAITH DOCUMENTATION, including the GOOD FAITH EFFORT FORM, shall be submitted with any bid and/or proposal that ,fails to include MBE/WBE participation that- equals or exceeds the MBE/WBE project goals. - (f) The submission o.f- the applicable completed form(s) within the allotted time will be considered when determining the responsiveness of the bid. Failure to comply with the bid specifications, inclusive of _ the MBE and WBE specifications, shall render the bid non-responsive. (2) Other than responses to Requests for Proposals for those professional services defined in Chapter 2254 of the Texas Government Code, responses to Requests for Proposals shall include a section which identifies the particular MBEs and/or WBEs to be utilized in performing the contract. (a) Specify as to MBEs and WBEs, the estimated percentage of the MBE and WBE participation, the type of work to be performed by the MBE or'WBE, and such other information as may reasonably be required to determine the responsiveness to the Request for Proposal. (b) Responses that do not meet or exceed the MBE and WBE utilization goals, as required by the request for proposal, must submit a GFE explanation. Failure to include such GFE explanation shall render the response non-responsive. (3) Initial responses to requests for proposals for those professional services defined in Chapter 2254 of the Texas Government Code shall not include a response to the requirements of this ordinance. The City shall -13- comply with the requirements of said Chapter and ran the professional on the basis of demonstrated competence and qualifications. During negotiating the contract with the highest ranked professional, the professional shall respond to this ordinance in the manner specified in paragraph •2(a) above. (4) The GOOD FAITH EFFORT documentation shall demonstrate the Offeror's commitment and honest efforts to utilize MBE and WBE. The burden of preparing and submitting the GFE information is on the Offeror and will be evaluated as part of the . responsiveness to the bid or appropriate proposal. Any willful misrepresentation of facts on the documentation submitted will constitute a basis for classification as non-responsive and possible debarment. (5) The contracting department may request the MBE/WBE Office to waive the goal requirements of this subsection, or to reduce the amount of- the goals, for either or both MBE/WBE, ' in accordance with the provisions of the Exceptions and Waivers section. (D) The City Manager, with the advice and counsel of the DBEAC in accord with City of Fort Worth Resolution No. 1148., shall . adopt regulations governing the purchase of goods and services i under $15,000. (E) In addition to such other requirements as may be set forth elsewhere, the following shall apply to -construction; profes- sional service, discretionary service, and applicable Purchasing contracts awarded by -the City: (1) Contracts shall incorporate this ordinance by reference, and shall,- provide that the failure of any bidder, contractor or subcontractor to comply with this ordinance shall be a material breach of contract. (2) During the term of any contract, any proposed .change or deletion in MBE/WBE participation identified in the bid, proposal or contract shall be reviewed by the MBE/WBE Office to determine whether such change or deletion is Justified in accord with the immediate following two (2) paragraphs. Any unjustified change or deletion shall be a material breach of the contract. (3) Contracts shall -require that during the term of the contract, the .contractor shall: (a) Make no unjustified changes or'deletions in its MBE and WBE participation commitments submitted with the bids, proposals or during negotiations; -14- (b) If substantial subcontracting and/or substantial supplier opportunities arise during the term of any contract that the contractor represented to the City that the contractor alone would perform required by the contract, the contractor shall notify the City before subcontracts for work and/or supplies -are let and shall be. required to comply with the provisions of this ordinance; and (c) Maintain records reasonably necessary for monitor- . ing their compliance with the provisions of this ordinance. (4) The contractor shall submit to the MBE/WBE Office for approval a REQUEST FOR APPROVAL OF CHANGE FORM if, during the term of any contract, a contractor wishes to change or delete one or more MBE and/or WBE subcontractor(s) . (a) Within three (3) business days after receipt by the MBE/WBE Office, the Request shall be reviewed. The Request shall be approved if the change or deletions . is justified. The following ' shall constitute :.:justification for the requested change or deletion: - ? (l.) an MBE or WBE's fa i lure to provide workers" compensation insurance evidence as required by state law; or (2) an MBE or WBEF s failure-to provide evidence of general liability or other insurance under the same or similar terms as contained in -the contract documents with limits of cover4ge 114 greater than the" lower of 1) the limits required of the contractor by the City; or 2). the limits contained in the contractor"s standard subcontract or supply agreements used . on other projects of similar size'and scope and within the contractorls normal business practice with non MBE or 'WBE subcontractorfs or suppliers; or (3) an MBE or WBEfs failure to -execute the contractorls standard subcontract form in the amount of the bid, if entering a subcontract is required by the contractor in its normal course of business; or - (4) -an -MBE or WBEIs default in the performance of the executed subcontract; and -15- (5) all MBE and WBE subcontractors previously submitting bids for the work are requested to bid on the work, and, if reasonably practicable due to time constraints, the contractor obtains bids from previously non- bidding MBEs and WBEs, and no MBE or WBE subcontractor submits the lowest bid. (b) If the MBE/WBE Office approves the *deletion of an MBE or WBE and replacement by a non-MBE or WBE, such approval shall constitute a post award waiver to the extent of the: value of the deleted subcontract. (c) If the MBE/WBE Office denies the Request for Change or Deletion, the contractor may appeal the denial to the City Manager whose decision will be final. NOTE: The contractor shall submit such documentation as may reasonably be requested by the MBE/WBE Office to -support the contractorls request. The time' between the request by the MBE/WBE Office* for• additional documentation and the delivery of such documentation shall not be included within the time period ' that the MBE/WBE Office is required to respond.- NOTE: Upon completion of the contract. and within ten (10) days after receipt of final payment from the City, the contractor shall provide the MBE/WBE Office with documentation to .reflect the final participation of each subcontractor and/or supplier used on the -project, inclusive of MBEs and WBEs. (5) Whenever contract, amendments, change order, or extra work orders are made individually or in the aggregate, the contractor shall comply with the provisions `of this ordinance with respect to the alternates, amendment, change orders, or extra work order. (a) If the amendment, , change order, or extra - work affects the subcontract of an MBE or WBE, such MBE or WBE shall be given the opportunity to perform such amendment,- change order or extra work. (b) If the amendment, change order or extra work is not covered by any subcontract of like or similar work,' is work not to be performed by the contractor,and the amount of such amendment, change order -or extra work exceeds ten percent (lo%) of the original contract amount, the contractor shall comply with -16- the provisions of this ordinance with respect to such amendment, change order, or extra work. IV. EXCEPTIONS AND WAIVERS (A) If a bidder is unable to comply with the goal requirements established in the Program Goals section of this ordinance, such. bidder shall submit one of the two forms listed below within the allotted time. (1) A Prime Contractor Waiver -Form (Attachment 1B) is submitted if the bidder will perform the entire contract without subcontractors or suppliers. (2) A Good Faith Effort Form (Attachment 1C) is submitted if the bidder has subcontracting and/or supplier opportunities -but was unable to meet or exceed the project M/WBE goals. The bidder will submit requested documentation which demonstrates a good faith effort to comply with the goals requirements as described in the Program Goals section above. (B) A contracting department may request the MBE/WBE Office to waive or modify the 0oal. requirements for MBE and/or WBE by Submitting a Departmental Waiver Form in writing,. prior to solicitation of bids or proposals. The MBE/WBE Office may grant such a waiver or reduction upon determination that3 (1) The reasonable-and necessary requirements of the contract render subcontracting or other participation of business other than the bidder or proposer infeasible; or (2) A public' or administrative emergency exists' which requires the goods or services to be provided with unusual immediacy; or (3) Sufficient MBE and WBE,providing the services required by the contract are unavailable in the market area of the project, despite attempts to- locate them; or (4) The application •of the provisions of-this ordinance will impose an unwarranted risk on the City or unduly delay acquisition of the goods or services. (5) Whenever the MBE/WBE Office denies a request to waive a goal, the contracting department may appeal* that denial to the City Manager whose decision on the request shall be final. -17- i Vi- FROGRAH ADHINISTRATION (A) The City Manager, with the advice and counsel of the DBEAC in accord with City of Fort Worth Resolution No. 1148, is authorized to establish and ' implement the regulations set forth in this ordinance. The MBE/WBE Office shall be responsible for the overall administration of the Cityes MBE And WBE Program, and its duties and responsibilities shall include: (1) Recommending rules and regulations to effectuate this ordinance; (2) Maintaining a current listing of certified WBE and MBE for distribution internally and externally on,contracts; (3) Providing information and needed assistance to MBE and WBE to increase their ability to compete effectively for the award of City contracts; (4) Investigating alleged violations of this ordinance and making written recommendations to appropriate City authorities for •remedial action when appropriate; (5) Developing..and distributing all necessary forms, applica- • tions, and documents necessary to comply ' with this ordinance; (6) Reviewing, on a regular basis, the progress .of depart- ments toward achieving* -the category goals for the' utilization of minority and women"s business enterprises; (7) Making' recommendations to appropriate City staff regarding methods to further the policies 'and goals of this ordinance; (8) Determining MBE/WBE compliance on contracts before they are submitted to the City Council for award* • (9) Maintaining accurate contract performance reporting system; and (10) Compiling a report reflecting the progress in attaining the City's annual goals;- quarterly and annually. • (B) It shall be the responsibility of the contracting department to ensure that bids or proposals emanating from the-department adhere to the procedures and provisions set forth in this ordinance. (1) The department director or designee shall assume primary responsibility for achieving the goals of this program -18- and shall review, on a continuing basis, all aspects of the program 4s ' operations to assure that the purpose is being attained. (2) The contracting department shall take the following action to ensure that MBEs and WBEs have the maximum opportunity to 'participate on City contracts: (a) The advertisements for formal bids required to be advertised according to statute shall appear in minority and women-targeted media, no less than -30 days before bids are due for specific contracting opportunities; (b) A written notification shall be sent to minority and women trade associations, contractorls associations, and 'minority and women chambers of commerce about the availability of formally advertised contracting opportunities no less than 30 days before bids are due; (c) All contract solicitations shall include the MBE and WBE policy; (d) ' All contracting opportunities shall be evaluated in } an effort to divide the total requirements of a contract to provide reasonable opportunities for MBE .and WBE; - (e) For construction contracts, establish procedures to ensure that all contractors . submitting 'correct invoices are paid- twice a month and that. subcontractors are paid in accord with the subcontract within five (5) business days after receipt of payment; a contractorfs failure to make payments within five (5) business .days shall authorize the City to withhold future payments from- the contractor. until compliance with this ordinance -is attained. (f) Establish guidelines' to ensure that a notice to proceed is not issued until signed letters of intent or executed -a'greements with the MBE and WBE have been submitted; (g) Ensure that all required statistics and• documenta- tion are submitted to the MBE/WBE Office as requested; and (h) If circumstances prevent the contracting department from meeting the thirty-day advertising and notifi- cation requirements, the contracting department -19- i shall perform extensive outreach to MBE and WBE associations or other- relevant organizations to inform them of the contracting opportunity. V CERTIFICATION The City will recognize MBE and WBE that are certified by the Texas Department -of Transportation (TxDOT); highway division, or the North Central Texas Regional Certification Agency (NCTRCA) . V11. CONTRACT MONITORING, REPORTING, AND COMPLIANCE r (A) The MBE/WBE Office shall monitor compliance with these requirements during the term of the contract. If it is determined that there is cause to believe that a contractor or subcontractor has failed to comply with any of the require- ments of this ordinance, or the contract provisions pertaining to MBE and WBE utilization, the MBE/WBE Office shall notify the contracting. department and the contractor. The MBE/WBE Office shall attempt to resolve the noncompliance through conciliation. If the noncompliance cannot. be resolved, the Coordinator and the contracting department shall submit written recommendations to. the City Manager or designee, and if the City Manager concurs with the findings, sanctions shall be imposed as stated in ordinance. - (B) Whenever the MBE/WBE Office finds, after investigation, that a contracting department has failed- to comply with the provisions of this ordinance, a written finding specifying the nature of the noncompliance shall be transmitted to the contracting department, and the MBE/WBE Office shall attempt - to resolve any noncompliance through conference and conciliation. . Should such attempt fail to resolve the noncompliance, the Coordinator shall transmit a copy of the findings of noncompliance, with a statement that conciliation was attempted and failed,,, to the City Manager who "shall take appropriate action to' secure compliance. (C) The MBE/WBE Office may require such reports, information, and documentation from contractors, bidders, contracting agencies, and the head of any department, division, or office of the City of Fort Worth, as are reasonably necessary to determine compliance with the requirements, within ten (10) days after the notice of noncompliance. (D) Contracting departments shall maintain accurate records for each contract awarded, including dollar value, the nature of the goods or services to be provided, the name of the contrac- tor awarded the contract, the efforts it employed to solicit bids from MBE and WBE, identifying for each its dollar value, -20- - j the nature of the goods or services provided, and the name of the subcontractor. (E) The City Manager, with the advice and counsel of the DBEAC in accord with City of Fort Worth Resolution No. 1148, shall submit an annual report to the City Council on the progress of .the City toward the utilization goals established by this ordinance, together with an identification of problems and specific recommendations for improving the City's performance. VIII. DEBARMENT (A) The misrepresentation of facts (other than a ) negligent misrepresentation) and/or the commission of fraud by an offeror will result in the offeror being determined to be an irresponsible offeror and barred from participating in City work for a period of time of not less s-than three (3) years. (B) The MBE/WBE Office will send a written statement of facts and a recommendation for .debarment to the City Manager. The City Manager, after consultation with the Department of Law, will make the - decision, regarding debarment and - send a certified notice to the Offeror. (C) An offeror that receives notification of debarment may appeal to an Appeal Board, hereinafter created, by giving written notice within ten (10) days from the date of receipt- of the debarment notice, to the City- Manager of its request for appeal. (D) An- Appeal Board,' consisting of not less than three members appointed by the City Manager with the approval of the. City Council, will meet within thirty (30) days from the date of receipt of the request for appeal of debarment, unless Offeror requests an ..extension of time. The Offeror will. be notified of the meeting time and location. (E) The Offeror will be afforded an opportunity to appear with Counsel if they so desire, submit documentary evidence, -and • confront any person the City presents. (F) The Appeal Board will render its decision not more than thirty (30) days of the hearing and send a certified notice to the • Offeror. (G) If the Appeal Board upholds the original debarment, the Offeror may appeal to the City Council within ten -(10) days from the date of receipt of the Appeal Board's decision by giving written notice to the City Manager. -21- (H) The appeal will be placed on the City Council agenda within .thirty (30) days from receipt of written notice, unless Offeror requests an extension in writing. (I) From the date of notification of debarment and during the pendency of any appeal, the City will not consider offers from, award contracts to, . renew or-otherwise extend contracts with, or contract directly or indirectly through subcontracts with the Offeror pending the Appeal Board's decision. X. SEVERABILITY If any provision of this attachment or- ordinance, the application thereof to any person or circumstance is held invalid for any reason in a court of competent jurisdiction, such invalidity shall not affect the other provisions of any other application of this attachment or ordinance which• Can be given effect without the invalid provision or application, and to this end, all .the provisions of this attachment or ordinance are hereby declared to be severable. i Y -22- ATTACHMENT CITY OF FORT WORTH HOUSING DEPARTMENT CONTRACT MANAGEMENT DIVISION SUB-GRANTEE'S REQUEST FOR FUNDS NAME AND ADDRESS OF SUB-GRANTEE PROGRAM NAME CONTRACT NO. DATE OF REQUEST MONTH SECTION I (AGENCY) - .-. .. .: .... -.CuRREKT MoN7t� s'; CUMULATIVE 1. REIMBURSEMENT REQUEST 1. EXPENDITURES: $ $ 2. INCOME: 1 A. PROGRAM INCOME $ $ B. ADVANCE PAYMENTS $ $ C. INTEREST EARNED CDBG FUNDS $ $ 3. REIMBURSEMENT REQUESTED(I MINUS 2) $ $ 11. ADVANCE PAY REQUESTS 1. ESTIMATED EXPENDITURES $ $ 2. INCOME: A.PROGRAM INCOME $ $ B. UNPAID REQUEST OF PAYMENT PREVIOUSLY SUBMITTED $ $ 3.ADVANCE AUTHORIZED(I MINUS 2) $ $ III. REPORT)NG INTEREST I, INTEREST OVER$25 PER QUARTER RETURNED TO CITY $ $ SEcmN'il (CITY)- 1. MARS- PURCHASING REQUEST A. MARS INPUT:VENDOR/PO NUMBER/REOUISITION NUMBER: B. FUND/ACCOUNT/CENTER: C.TOTAL AMOUNT OF THIS REQUEST: $ SECTION III_ 1. VERIFICATION A.CONTRACT MANAGER: (N-E) (SIGNATURE) (DATE) B. MARS-PURCHASING: (NAME) (SIGNATURE) (DATE) C.ACCOUNTNG: (NANE) (SIGNATURE) (DATE) 11. AUTHORIZATION A. AGENCY. (NAME) (SIGNATURE) (DATE) B. CONTRACT SERVICES ADMINISTRATOR: (NAME) (SIGNATURE) (DATE) C. HOUSING DIRECTOR ID-) DISTRIBLrn0N WHITE ACCOUNTING BLUE IAGM GREEN : AGENCY IABGM FORM 96-01 CITY OF FORT WORTH ATTACHMENT II HOUSING DEPARTMENT CONTRACT MANAGEMENT DIVISION DETAIL STATEMENT OF COSTS 0 AGENCY T O REPORT PERIOD PROGRAM CONTRACT NO. DATE OF REQUEST COST CATEGORY ACCOUNTI PBUDGET � EXPENDITURES C TO DATE E BALANCE PERSONAL SERVICES Salaries 516 010 FICA 518 010 Life Insurance 518 050 Health Insurance 518 060 Unemployment Tax-State 518 090 Worker's Comp 518 040 Retirement 518 070 SUPPLIES Office Su lies 521 010 Postage 521 020 Teaching Aids 522 030 Food Supplies 522 030 Other Operatina Supplies 523 300 CONTRACTUAL SERVICES Telephone 535 040 Electric 535 020 Gas[Utility] 535 010 Water/Waste DiHJosal 535 030 Rent IBuildin ] 537 010 Custodial Services 539 220 Office E ui ment Rental 537 030 Printing 533 030 Repairs 536 010 Fidelity Bond 538 210 Liability Insurance 534 020 Legal&Accounting 538 050 Private Auto Allowance-Local 532 130 Advertising 533 010 Conferences&Seminars 531 180 Contractual Services 539 120 CAPITAL OUTLAY Furniture,Fixtures 541 330 Office Equipment,Com uters 541 370 Other Equipment 541 320 i TOTAL Contractors Certification: I certify that the costs incurred are taken from the books of account and that such costs are valid and consistent with the terns of the agreement. - - 0 0 NAME and TITLE OF AUTHORIZED OFFICER SIGNATURE and DATE PREPARE ONE FORM FOR EACH SOURCE OF FUNDS DISTRIBUTION White c Accounting Blue :IAGM Green :Agency IA&GM FORM 96-03 CITY OF FORT WORTH ATTACHMENT III HOUSING DEPARTMENT CONTRACT MANAGEMENT DIVISION EXPENDITURES WORKSHEET TO AGENCY REPORT PERIOD PROGRAM CONTRACT NO. DATE OF REQUEST NO. DATE CHECK NO. PAYEE DESCRIPTION ACCOUNT NO. AMOUNT 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 26 TOTAL NAME and TITLE OF AUTHORIZED OFFICER SIGNATURE and DATE DISTRIBUTION White :Accounting Blue :IAGM Green :Agency IA&GM FORM 96-04 r PROMISSORY NOTE FORT WORTH $150.000.00 , 1998 TARRANT COUNTY, TEXAS I. FOR VALUE RECEIVED, after date, in the manner and on the dates and in the amounts so herein stipulated,Presbyterian Night Shelter, (Borrower)jointly and severally, promises to pay to the City of Fort Worth, a home rule municipal corporation, (City) or order, the sum of ONE HUNDRED FIFTY THOUSAND AND NO/100 DOLLARS ($150,000.00), bearing interest thereon at the APPLICABLE FEDERAL RATE OF INTEREST (the "Note Rate") in effect on the Contract Date on the principal amount hereof from time to time outstanding. Notwithstanding the foregoing, the Note is due and payable as follows, to-wit: Borrower covenants and agrees that during the term of this agreement that the facility constructed under this contract will be used solely to benefit low and moderate individuals. Contractor agrees that if the property is sold or converted to a use other than that described in the scope of services at any time during the period beginning on the date of execution of this agreement and ending May 31, 2003, or five (5) calendar years from the date of completion, whichever comes first, Contractor will repay to the City CDBG Program the total amount of the original loan. Thereafter, for the period of June 1, 2003 to May 31, 2007, Contractor's obligation to reimburse City's CDBG Program shall diminish at the rate of twenty percent (20%) per annum calculable in yearly increments as of the anniversary date of the CDBG Program Year, as per the following schedule: June 1, 2003 through May 31,2004 80%of Loan Amount June 1, 2004 through May 31,2005 60%of Loan Amount June 1,2005 through May 31, 2006 40%of Loan Amount June 1, 2006 through May 31, 2007 20%of Loan Amount June 1, 2007 and thereafter 0%of Loan Amount II. This note is secured by the Deed of Trust of even date herewith between City and Borrower covering the City's fee simple interest in the property described in Section III. III. This Promissory Note and the Loan represented hereby shall be assumable from Borrower, provided that any subsequent holder must be approved by the City as if the new holder were an original Borrower, such approval shall not be unreasonably withheld or delayed. This Note is secured by a Deed of Trust of even date herewith, executed by the Borrower to Edwin S. Cook, in care of the City of Fort Worth Department of Housing, Trustee, conveying the property as follows: The facility will be located at 1500 Presidio Street East, Lot 1, Block 94 Texas & Pacific Addition; 1504 Presidio Street East, Lot 2, Block 94, Texas & Pacific Addition; and 2407 Cypress Street, Lot 1, Block 94, Texas & Pacific Addition, Fort Worth, Texas. IV. Except as set forth in this instrument or the Deed of Trust given to secure the payment of this Promissory Note, or the Contract, the failure to pay this Note or the failure to meet any of its other terms, at the option of the Lender, matures the full amount of this Note, and it shall at once become due and payable without notice and the lien given to secure its payment may be foreclosed; and the failure to exercise this option shall not constitute a waiver of the right of the Lender to exercise it in the event of any subsequent default. V. Except as set forth in this Promissory Note or in the Deed of Trust or Contract, the Borrower, and all endorsers, and all persons liable or to become liable on this Note, waive demand, protect and notice of demand,protest and non-payment. VI. If this Note is placed in the hands of an attorney for collection or is collected through the Probate Court or the Bankruptcy Court or through other legal proceeding, the Borrower promises to pay, at attorney's fees, and additional amount equal to ten percent (10%) of the amount then owing on this Promissory Note, if the Lender is the prevailing party. VII. Notwithstanding any other provision to the contrary in this Promissory Note or in the Deed of Trust or in the Contract, in the event of any default by Borrower in the payment of this Promissory Note, and any default under the Deed of Trust or Contract, Lender agrees to give the Borrower written notice of such default and provide Borrower with thirty (30) days to cure the default prior to any acceleration of the unpaid balance of this Promissory Note. VIII. Lender agrees that the Borrower, its general partner and limited partners, shall have no personal liability for the payment of this Promissory Note or other indebtedness or obligations as defined in the Deed of Trust given to secure payment of this Promissory Note or in the Contract executed of even date herewith, and that Lender's sole and exclusive remedy in the event of a default hereunder, shall be limited to the foreclosure of its lien against the Property. In witness whereof, this Note has been duly executed by the Borrower, as of this day of / -', 1998 BORROWER: Presbyterian Night Shelter 2400 Cypress St. Fo Worth TX 76113 BY : ".-I John Suggs Executive Director THE STATE OF TEXAS COUNTY OF TARRANT BEFORE ME, the undersigned authority, on this day personally appeared '50k., S.«nc S known to me to be the person whose name is subscribed to the forgoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE this /fit day of ¢- , 1998. umIE MENDEZ ic,State of Toxas mission Expires (Print or Type Name of Notary Public) T.8,2002 Notary Public in and for the State of Tejca S My Commission Expires: 9 �- THE STATE OF TEXAS COUNTY OF TARRANT BEFORE ME, the undersigned authority, on this day personally appeared known to me to be the person whose name is subscribed to the forgoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of , 1997. (Print or Type Name of Notary Public) Notary Public in and for the State of My Commission Expires: EJCPM=?40tWs r City of Fort Wortk. Texas Mayor and Council Communication DATE REFERENCE NUMBER I,OC NAM$ PAGE 07/15/97 C- 16181 05HOME 1 of 5 SUBJ]cr AFFORDABLE HOUSING DEVELOPMENT FUND ALLOCATIONS RECOMMENDATION: It is recommended that the City Council: 1. Approve the use of $266,200.00 in HOME funds from the .Affordable Housing Development Fund (AHDF), and $55,300.00 in HOME match funds from the AHDF and; approve the_transfer of the following funds for the AHDF; and Home 1995 . $266,200.00 Home 1996 55,360.00 2. Authorize the City Manager to execute contracts, not to exceed a combined total of $321,500.00 in HOME funds and 'HOME match funds with the .following housing . sponsors; and a. $100,000.00 deferred payback loan to the Salvation Army for construction of an elevator. to provide accessibility for persons with disabilities at its transitional housing facility; b. $70,000.00 to Neighborhood Housing Services, Inc. for. construction of single family.infill housing; C. $161,500:00 deferred payback -loan to Volunteers of America for rehabilitation of transitional housing. 3. Approve the use of $150,000.00 in Community Development Block Grant (CDBG)funds from the Affordable Housing Development Fund; and 4. Authorize the City Manager to execute a contract for deferred payback loan not to exceed $150,000.00 with the Presbyterian Night Shelter for construction of a Safe Haven for mentally ill homeless; and 5. Approve the use of $261,000.00 in Rental Rehab funds from the Affordable Housing Development Fund; and /6. Authorize the City Manager to execute a contract for a loan not to exceed $261,000.00 with XA Limited Partnership for multi-family rehabilitation; and 7. Authorize the contract performance period on ail five contracts to begin on the date signed and end May 30, 1999. City of Fort Wortk Texars Mayor and Council Communication DATE REFERENCE NUMBER I.OG NAML PAGB 07/15/97 C- 16181 05HOME 2 of 5 snip AFFORDABLE HOUSING DEVELOPMENT. FUND ALLOCATIONS DISCUSSION: On November 19, 1996, (M&C G-11680) the City Council allocated $1,143,668.00 in total funding to establish the Affordable Housing Development Fund. This total funding is comprised of $222,368.171n combined Year XVI, XIX, XX and'XXl Community Development Block Grant (CDBG) funds, $500,000.00 in federal HOME Investment Partnership Act funds, 5316,000.00 in Rental Rehabilitation funds, and $105,300.00 in HOME match funds. The Affordable Housing Development Fund is intended to leverage city funds by generating greater participation from nonprofit and/or for-profit organizations in preserving and developing affordable housing opportunities.•A Request for Proposals was issued on,December 9, 1996. A proposers' Conference was held on January 11, 1997"at 3:00 p.m. Thirteen proposals were received by the due date of February 28, 1997. One proposal was received on March 25, - 1997. Staff provided technical assistance and held discussions with the applicants on their proposals. A total funding amount of $2,968,789.00 was requested by the fourteen proposers, $2,197,789.00 for rehabilitation, and $771,000.00 for new construction. Staff is recommending funding totaling $732,500.00 for five organizations. The remaining balance. . of 5411,168.00wil1 be carved over and made available in a future Request For Proposals. A brief description of projects recommended for funding follows. A more detailed description of sponsors and them projects is included in Attachment A. AGENCY SCOPE OF WORK AMOU NT FUNDING TYPE Presbyterian Night New construction . $150,000.00 CDBG Shelter of Safe Haven for mentally ill homeless (20 units) Neighborhood Housing Infll Housin 9. $ 70,000.00 HOME Services ME Services construction line of credit Salvation Army Construction of elevator $100,000.00 HOME to remove architectural barrier for persons with disabilities (49 units) City of Fort Wonk Texas Mayor and Council Communication DAIS REMU=C$ NUMBER UW! NAME PAGE 07/15197 C- 16181 05HOME 3 of 5 svMOIXT AFFORDABLE HOUSING DEVELOPMENT FUND (AHDF) ALLOCATIONS Volunteers of America Rehabilitation of rental $151,500.00 HOMEMOME housing units for chemically ($96,200 HOME) Match dependent low income ($55,300 HOME Match) persons XA Limited Partnership Rehabilitation of the 149 $261,000.00 Rental Rehab Unit Ridglea V11ageProgram Apartments TOTAL $732,500.00 Sponsors requesting funds but not recommended are as follows: NAME AMOUNT REQUESTED REASON FOR NOT FUNDING Fort Worth Housing. $348,000.00 Proposed property Authority acquired by another organization. J & B Trust $ 7,500.00 Project contains severe and flood structural hazards. One Day at a Time - 0175,000.00 Organization needs.to develop- its internal control and management infrastructure. Project contains built in code violations and proposes no leverage. Cross Roads Living. $750,000.00 Project too large for current management's capacity. The organization needs to build stronger internal . control and project management infrastructure. City of_Fort Wortk Texas Mayor and-Council Communication RATS, REFERENCE NDMER I,OG NAME PAGE 07/15/97 C- 16181 05HOME 4 of 5 AFFORDABLE HOUSING DEVELOPMENT FUND (AHDF) ALLOCATIONS Walker Johnson $ 27,530_.00 Proposed rent structure not attainable in project's market. More appropriate rent levels suggest the project would• not be financially feasible. Shilo Economic Development Corp. $ 50,000.00 Poor leveraging of City funds. Habitat for Citizens $ 75,000_.00 Organization needs to demonstrate further progress With City Funds already received. House of Prayer $ 75,000.00 Organization needs to develop internal control and management infrastructure. • No leveraging for City funds. Armadillo Flats $200,000.00 Application was submitted after the official deadline. Application currently being considered for funding from other City funds. . This recommendation was forwarded to the City Council by the Safety and Community Development Committee on July 8, 1997. - City of Fort Wortk Texas Mayor and Council Communication DAIS REFERENCE NIIbffiER LOG NAME PAGE 07/15/97 C- 16181 05HOME 5 of 5 SOWECT I AFFORDABLE HOUSING DEVELOPMENT FUND (AHDF) ALLOCATIONS FISCAL INFORMATION/CERTIFICATION: .The Director.of Fiscal Services certifies that upon approval of recommendations, funds will be available in the current operating budget, as appropriated, of the Grant Funds. LW:f . Sttlae Wed fa Cly Mmagu-s FUND ACCOUNT CW=. •AMOUNT CITY SECMARY Otdw by: (to) (1)GR76 5391M 005206104062 $100.000.00 La6y waft= 6183 (1)GR76 5391M 005206104063 70.000.00 O DqutmeedHead: (1)=76 539120 005206107043 55.300.ao APPROVED O)MV6 SS339 20 005206100170040 10O.M.0 CITY COUNCIL Jaomc walks 7537 (ftoat) (1)(;R76 539120 005206104520 526M.200.00 JUL 15 'q9T (I)GR76 5391M 005206107120 55.300.00 Zz, V C-A�� (Z)GR76 539120 005206104062 100.000.00 Cjtr%0Cr&ssyoE&& (2)GR76 539120 005206104063 70.(00.00 City of FCC (2)GR76 539120 005206107043 55.700.00 (2)GR76 5391M 005206104064 96.200.00 (3)GR76 539120 005206101300 100.000.00 Foe'Addltboal Wwmatim (4)GR76 539120 005206101700 100.000.00 C OWL- (4)GR76 539120 005206088230 50.000.00 eoea Jee walka 7537 1 (6)GR92 VARIOUS 005206078000 261.000.00