Loading...
HomeMy WebLinkAboutContract 53217-R6A6CSC No. 53217-R6A6 RENEWAL SIX AND AMENDMENT SIX TO CITY OF FORT WORTH CONTRACT NO. 53217 This Contract Renewal and Amendment is made and entered into by and between the City of Fort Worth ("City"), and FCM PROPERTIES, I.I.C., ("Landlord"), each individually referred to as a "Party" and collectively referred to as the "Parties." RECITALS WHEREAS, on December13, 2019, the City entered into an agreement with the Landlord for rental assistance for a named tenant, City Secretary Office (CSO) Contract No. 53217 (the "Agreement"); WHEREAS, ("Tenant") is a participant in the City's rental assistance program; WHEREAS, the Parties wish to amend the Agreement to: (1) restructure Section 3.2.1 (Rent) and incorporate rental obligations for the sixth renewal term; and (2) incorporate Section 4.2.3 HUD Program Year Funding to the Agreement. NOW THEREFORE, City and Landlord do hereby agree as follows: I RENEWAL OF AGREEMENT The Parties agree to renew the Agreement for an additional one year -term beginning July 1, 2025 and expiring June 30, 2026 ("Sixth Renewal Term") unless earlier terminated in accordance with the terms of the Agreement. II AMENDMENTS TO AGREEMENT 1. Section 3.2.1 of the Agreement is hereby deleted in its entirety and replaced with the following: 3.2.1 Rent. Initial Term: • The City has been notified that the Tenant's Total Rent during the Initial Term is $1,065.00 per month for the Unit. • Tenant shall be responsible for $26.00 of rent for the Unit. • City shall be responsible for $1,039.00 of rent for the Unit. First Renewal Term: OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX CSC No. 53217- Renewal Six and Amendment Six CoFW and FCM PROPERTIES, L.L.C. Page 1 of 5 The City has been notified that the Tenant's Total Rent during the First Renewal Term is $1,100.00 per month for the Unit. Tenant shall be responsible for $39.00 of rent per month. City shall be responsible for $1,061.00 of rent per month. Second Renewal Term: The City has been notified that the Tenant's Total Rent during the Second Renewal Term is $1,200.00 per month for the Unit. Tenant shall be responsible for $0.00 of rent per month. City shall be responsible for $1,200.00 of rent per month. Third Renewal Term: The City has been notified that the Tenant's Total Rent during the Third Renewal Term is $1,300.00 per month for the Unit. Tenant shall be responsible for $168.00 of rent for the Unit. City shall be responsible for $1,132.00 of rent for the Unit. Fourth Renewal Term: The City has been notified that the Tenant's Total Rent during the Fourth Renewal Term is $1,400.00 per month for the Unit. Tenant shall be responsible for $418.00 of rent per month. City shall be responsible for $982.00 of rent per month. Fifth Renewal Term: The City has been notified that the Tenant's Total Rent during the Fifth Renewal Term is $1,500.00 per month for the Unit. Tenant shall be responsible for $547.00 of rent per month. City shall be responsible for $953.00 of rent per month. Sixth Renewal Term: The City has been notified that the Tenant's Total Rent during the Sixth Renewal Term is $1,600.00 per month for the Unit. Tenant shall be responsible for $309.00 of rent per month. City shall be responsible for $1,291.00 of rent per month. A complete history of rental obligations due under this Agreement, per lease term, is included in Attachment A. Neither City nor HUD assumes any obligation for the Tenant's Portion of the rent, or for payment of any claim by Landlord against Tenant. The City's sole obligation is limited to paying the City Portion of the Rent in accordance with this Agreement. Tenant shall be liable for rent, payments, and other fees associated with the Unit and City shall not be obligated by law or in equity for any amount other than the City Portion. CSC No. 53217- Renewal Six and Amendment Six Page 2 of 5 CoFW and FCM PROPERTIES, L.L.C. 2. Section 4.2 of the Agreement, Termination of Landlord Services Agreement, has been restructured to incorporate subsection 4.2.3, HUD Program Year Funding. Section 4.2.3 will read as follows: 4.2.3 HUD Program Year Funding. The City agrees to commit funding for rental assistance for a period of up to twelve (12) months, subject to the availability of funds allocated in the current program year's budget. The City shall not commit to providing rental assistance beyond this 12- month period unless and until additional funding is received from the U.S. Department of Housing and Urban Development for the subsequent program year. In the event that future funding is not secured, the City shall provide written notification to both the tenant and landlord at least ninety (90) days prior to the end of the contract term, advising them that rental assistance will not continue beyond the 12-month commitment. The City shall not be held liable for rental payments beyond the 12-month commitment and any lease agreements exceeding the 12-month term are entered into at their own risk regarding the continuation of rental assistance. III. All terms and conditions of the Agreement not amended herein remain unaffected and in full force and effect, are binding on the Parties and are hereby ratified by the Parties. [SIGNATURE PAGE FOLLOWS] CSC No. 53217- Renewal Six and Amendment Six Page 3 of 5 CoFW and FCM PROPERTIES, L.L.C. IN WITNESS WHEREOF, the parties hereto have executed this agreement, to be effective May 1, 2025. FOR CITY OF FORT WORTH: Oana ubirghdoff Dana Burghdoff (May , 2025 14:57 CDT) Name: Dana Burghdoff Title: Assistant City Manager Date:05/06/2025 APPROVAL RECOMMENDED iey Bey Kacey Bess(May 6, 202511:00 CDT) Name: Kacey Bess Title: Neighborhood Services Director APPROVED AS TO FORM AND LEGALITY 9� G()d&M-d' Name: Jessika Williams Title: Assistant City Attorney Contract Compliance Manager: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. Name: Cyndee Garza Title: Sr. Human Services Specialist FOR LANDLORD: T°'`V" Tommy Hatley (May 1, 202510:35 CDT) Name: Tommy Hatley Title: Property Manager Date: 05/01 /2025 ATTEST: Name: Jannette Goodall Title: City Secretary Date05/07/2025 M&C No.: 24-0552 OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX CSC No. 53217- Renewal Six and Amendment Six CoFW and FCM PROPERTIES, L.L.C. Page 4 of 5 Attachment A History of Rental Obligations by Lease Term Lease Term Total Rent Tenant's Portion City's Portion Initial Term $1,065.00 $26.00 $1,039.00 First Renewal $1,100.00 $39.00 $1,061.00 Second Renewal $1,200.00 $0.00 $1,200.00 Third Renewal $1,300.00 $168.00 $1,132.00 Fourth Renewal $1,400.00 $418.00 $982.00 Fifth Renewal $1,500.00 $547.00 $953.00 Sixth Renewal $1,600.00 $309.00 $1,291.00 EXHIBIT A COPY OF LEASE CSC No. 53217- Renewal Six and Amendment Six Page 5 of 5 CoFW and FCM PROPERTIES, L.L.C. FCM PROPERTIES, L.L.C. AGREEMENT TO RENT OR LEASE 1. Parties: This agreement is made and entered into on April 25, 2025, between hereinafter "Tenants", and FCM PROPERTIES, L.L.C., hereinafter "Landlord". 2. Property: Subject to the terms and conditions below, Landlord rents to Tenants, and Tenants rent from Landlord, for residential purposes only, the property known as 3. Term: The terms of the rental shall begin on July 1, 2025 and shall continue until June 30, 2026 then convert to a month -to -month lease basis unless written notice of termination is given by either party at least 30 days before the end of the above lease term or renewal period or unless another lease is signed by all parties. 4. Rent: Rent is due on the lst of every month without demand. On signing this agreement or by July 1, 2025. Tenants shall pay the Landlord the sum of $1,600.00, to be used as rent for July 1, 2025 through July 31, 2025. Thereafter, Tenants shall pay to Landlord a monthly rent of $1,600.00 payable in advance by 5:00 PM of the THIRD day of each month. For rent increases or lease changes effective at the end of the lease term or renewal, at least 30- day's notice to Tenants is required. If such notice is given to Tenants, this lease shall automatically renew on a month -to -month basis at the increased rental rate or with the lease change, at the beginning of the effective date of the rental increase or lease change. S. Payment of Rent: Rent shall be paid using the Landlords Tenant Portal which includes ACH payments, credit cards and electronic cash payments (ECP) at participating retailers. See Exhibit A. If Landlord agrees to pick up rent from Tenants, then Tenants agree to pay Landlord $50.00 for each rent collection. Tenants agree to give Landlord at least 24 hours advance notice. Only full rent payments will be accepted, no partial payments are allowed. 6. Late Charges: If Tenants fail to pay the rent in full by the third day of each month, Tenants shall pay Landlord a late fee of $50.00 the first day and $20.00 for each additional day the rent continues to be unpaid. Tenants shall pay a $50.00 fee if a 3-day notice is delivered for non-payment of rent. By this provision, Landlord does not waive the right to insist on payment of the rent in full on the day it is due. Any monies received will be applied first to fees then the last month's rent balance. Any monies left over will then be applied to the current month's rent. Any balance rolling over to the following month will incur a $50.00 Carryover fee. Late fees and all other fees are subject to change without written or advanced notice to Tenants, Tenants are responsible for obtaining the most current fee pricing schedule from Landlord. 7. Returned Payment Charges: In the event any check or online ACH payment offered by Tenants to Landlord in payment of rent or any other amount due under this agreement is returned for lack of sufficient funds or a closed or nonexistent account or any other reason, Tenants shall pay to Landlord a return charge in the amount of $50.00 plus additional late charges outlined in paragraph 6. Deposit: On signing this agreement Tenants shall pay to Landlord the sum of $1,600.00 as security as the term is defined by the Texas Statues. Tenants may not, without Landlord's prior written consent, apply this security deposit to rent or to any other sum due under this agreement. Within thirty days after Tenants has vacated the property, Landlord shall furnish Tenants with an itemized written statement of the basis for, and the amount of any security deposit retained by the Landlord. Landlord may withhold only that portion of Tenant's security deposit necessary (a) remedy any default by Tenants to include the payment of rent, (b) to repair damages to the property exclusion of ordinary wear and tear and/or, (c) to clean the property if necessary. The amount on deposit must be kept to a minimum of 1 month's rent. 9. Utilities: Tenants shall be responsible for payment of all utility charges. Electric, water and gas utilities must stay active while Tenants has possession. If Tenants does t 1 maintain these utilities while they have possession Landlord can activate the utilities and Tenants will be charged all costs incurred by Landlord. 10. Use and Occupancy: The property is to be used only as a private residence for Tenants listed in paragraph 1 of this agreement and their legal children and for no other persons or purpose without Landlord's prior written consent. Guests may stay up to ten days in any six month period if they register with the manager or Landlord after the fifth day. Occupancy by guests staying more than ten days is prohibited without Landlord's prior written consent and shall be considered to be a breach of this lease. Tenants agree to pay Landlord $75.00 each month for each additional person who shall occupy the property for more than 10 days in any capacity. If Tenants fail to inform Landlord of additional people occupying the property, the $75.00 per person per month fee will be assessed retroactively to the date commencing this rental agreement. 11. Condition of Property: Tenants acknowledge that they have examined the property, including carpets, drapes, and paint, and have found them to be in good safe and clean condition and repair. Tenants agree to provide Landlord a written list of any deficiencies within 3 days of this agreement, a copy of which Tenants hereby acknowledges receipt of, and which is hereby deemed to be incorporated into this agreement by this reference. As long as Tenants occupy this property, Tenants will be liable for all costs associated with unclogging a toilet drain if anything other than toilet paper is found in the drain system. Tenants will be responsible for any garbage disposal/drain that is clogged due to unapproved food like but not limited to; pasta, rice, peels, egg shells, coffee grounds, animal bones or any foreign objects. Grease, oil, and fat are not approved to pour down drain. No smoking inside the vroperty, Tenants agree to pay a minimum of $500 for smoke damacIt, Tenants agree to (a) replace light bulbs and smoke detector batteries as needed. HVAC air filters should be replaced at least every 3 months. If Tenants does not change HVAC air filter regularly causing the AC/Heating coil to not perform as it should, Tenants agrees to pay full cost of repair, (b) keep the property in good order and repair, and upon termination of tenancy, to return the property to Landlord in a condition identical to that which existed when Tenants took occupancy, except for ordinary wear and tear, (c) immediately notify Landlord of any defects or dangerous conditions in and about the property of which they become aware, and (d) reimburse to Landlord, on demand by Landlord, for the cost of any repairs to the property damaged by Tenants, or their guests or invitees. 12. Possession: The failure of Tenants to take possession of the property shall not relieve them of their obligation to pay rent. In the event Landlord is unable to deliver possession of the property to Tenants for any reason not within Landlord's control, including but not limited to failure of prior occupants to vacate as agreed or required by law, or partial or complete destruction of the property, Landlord shall not be liable to Tenants except for the return of all sums previously paid hereunder by Tenants to Landlord, in the event Tenants choose to terminate this agreement as a result of Landlord's inability to deliver possession. 13. Assignment and Subletting: Tenants shall not sublet any part of the property or assign this agreement without the Landlord's prior written consent. 14. Pest Control: Pest control will be provided by the Tenants. 15. Pets: There are no pets allowed and no visiting pets. If any pets are found on the property, without the Landlords written permission, then Tenants agree to pay Landlord a $500 non-refundable pet fee and a $50 monthly fee will be added to the rent. This $50 fee will be assessed retroactively to the date commencing this rental agreement. 16. Fences, Sheds & Decks: Tenants acknowledge that fences, sheds & decks are rented "as is" and Landlord reserves the right to not make repairs or replacements. If tenants have a dog(s), tenants agree to maintain the fence at their cost, to ensure their dog(s) cannot escape the yard. 17. Fireplace: If your property has a fireplace, Tenants agree to have the fireplace professionally inspected and cleaned prior to use each year, by a licensed chimney cleaning and inspection company. If any repairs are needed the Tenants will notify Landlord in writing. Tenants will refrain from using the fireplace until such repairs have been made by Landlord. Tenants are prohibited from personally making repairs or hiring a non- professional to make fireplace repairs/cleanings. Fireplaces can be extremely dangerous. No one under the age of 18 should ever be allowed to create or maintain a fire in a fireplace. Children should be kept several feet away from an active fireplace. Tenants agree to purchase and use "free standing" metal fireplace screen/glass to prevent sparks and ashes from escaping the fireplace. Tenants, at Tenant's own cost, can have glass and chain covers professionally installed on the fireplace if they so wish. 18. Access for Inspection and Emergency: Tenants agree that Landlord's agents may enter the property in the event of an emergency or to make repairs or improvements, supply agreed services, or exhibit the property to prospective purchasers or Tenants. Except in case of emergency Landlord shall give Tenants reasonable notice of intent to enter the property for the purposes mentioned herein. To facilitate Landlord's right of access, Tenants shall not, without Landlord's prior written consent, alter or re -key any locks to the property. At all times Landlord or Landlord's agent shall be provided with a key or keys capable of unlocking all such locks and gaining entry. Tenants further agree to notify Landlord if they install any burglar alarm system including instructions on how to disarm it should Landlord so request. If the Tenants agree to an appointment with Landlord's authorized repair personnel for a specific date and time and does not show up promptly to that appointment, the Tenants agree to pay a non-refundable Missed Appointment fee. 19. Quiet Enjoyment: Tenants shall be entitled to quiet enjoyment of the property. Tenants shall not use the property in such a way as to violate any law or ordinance, commit waste or nuisance, or annoy, disturb, inconvenience, or interfere with the quiet enjoyment of any other Tenants or nearby Tenants. 20. Repairs and Alterations: Except as provided by law, or as authorized by the prior written consent of Landlord, Tenants shall not make any repairs or alterations to the property. For repairs, Landlord will contact authorized repair personnel in a prompt manner, to exclude weekends and holidays, when the repair is not an emergency. When Landlord determines the situation requires immediate service to prevent further damage to the property, authorized repair personnel will be contacted immediately, to include weekends and holidays. 21. Damage to Property and Financial Responsibility: In the event the property is damaged by fire or other casualty covered by insurance, Landlord shall have the option either to (1) repair such damage and restore the property, this agreement continuing in full force and effect or (2) give notice to Tenants at any time within thirty (30) days after such damage terminating this agreement as of a date to be specified in such notice. In the event of the giving of such notice, this agreement shall expire and all rights of Tenants pursuant to this agreement shall terminate. Landlord shall not be required to make any repairs or replacements of any property brought onto the property by Tenants. Tenants agree to accept financial responsibility for any damage to the property from fire or casualty caused by Tenant's negligence. Tenants shall carry a standard renter's insurance policy from a recognized insurance firm, or as an alternative, warrants that they will be financially responsible for losses not covered by Landlord's fire and extended coverage insurance policy. Damages or plumbing stoppages caused by Tenants negligence or misuse will be paid by Tenants. Additionally, Tenants are financially responsible for broken windows, doors and any damage to the interior and exterior of the property that is not caused by an Act of God. 22. Attorney's Fees: In an action or legal proceeding to enforce any part of this agreement, the Tenants will pay Landlord for all attorney's fees and costs. 23. Special Delivery: Tenants agree to fully reimburse Landlord for the cost of certified mail, overnight mail, courier service or any other special delivery service. There wil be a minimum $50.00 fee for special handling for each occurrence if Landlord feels the service is necessary. This fee can increase without notice. 24. Contractual Lien and Abandonment: All personal property on the property (except property statutorily exempt by Section 54.052 of the Texas Property Code) is subject to a contractual lien to secure payment of delinquent rent. To exercise contractual lien rights, Landlord may peacefully enter the property (and any storerooms) and remove and store all such property, provided, however, Tenants must be present or written notice of entry must be left afterward. If Tenants have been evicted by judicial process or have abandoned the leased property, Landlord's representatives or law officers may peacefully enter, remove, and place all of Tenant's property on the curb. If Tenants and all other persons are absent from the property for 5 consecutive days during the leased term or any renewal or extension period while any rent is delinquent, the property may be deemed by Landlord as abandoned. 25. Storage and Sale: At Landlords discretion, property may be stored by Landlord or law officers because of abandonment, mutual agreement or court eviction order. Stored property shall be returned to Tenants upon payment of all past due rents and fees and reasonable charges and expenses for packing, removing, and storing the property. After 30 days the property may be placed in the trash or sold for nonpayment thereof under any sale procedures. Property which is removed by Landlord under contractual lien shall be returned to Tenants upon (1) all delinquent rents, fees and (2) all storage charges which accrue on such property after Tenants "surrender" of the property. At the end of the 30-day period the property may be trashed or sold for nonpayment of such rent or charges under the sale procedures. Sale shall be to the highest cash bidder; proceeds shall first be credited to cost of sale and then indebtedness and surplus shall be mailed to Tenants at the above leased property address unless a forwarding address is provided by Tenants. Such procedures shall not necessitate court hearing. 26. Home Owner Association (HOA): Tenants acknowledges if there is a local HOA, they will have the right to fine the Landlord if the Tenants or their guest(s) break the rules. Tenants agree to assume full financial responsibility for all fines levied against the Landlord by the HOA regardless of fault. Tenants will reimburse the Landlord for each fine within 10 days of being notified. Any monies received from Tenants will always be applied first toward fines, all other fees and then the rent. 27. Move -out: Tenants agree to provide Landlord at least 30 days written notice of intent to move out. If a 30-dav notice is not given in writing Tenants forfeit their deposit in full and will be responsible for any unpaid back rent and/or Tenant damage. Tenants owe rent for a minimum of 30 days once the notice is submitted even if Tenants move out before the 30 days expire. Tenants agree to pay rent until the Tenant's personal belongings are out of the property and the Tenants return the keys to the Landlord, and the Tenants and Landlord together conduct a walk-through inspection of the property. Tenants agree to have all carpet in property professionally cleaned. Tenants agree to keep all interior walls painted original color. If Tenants paint the wall(s) a color other than original color then Tenants agree to pay the full cost of repainting the wall(s). Tenants agree to pay Landlord a minimum of $200.00 for any trash removal. Upon move -out Tenants agree to provide working LED light bulbs in all lighting fixtures. Within in each fixture lightbulbs must look identical and have the same wattage. Tenants agrees to pay Landlord $10.00 for each light bulb that must be replaced or added to a fixture. If there are oil stains in garage or driveway Tenants agree to pay a minimum of $200.00. Tenants will call Landlord to setup a walk-through appointment, which will be conducted Monday through Saturday, 10:00 AM through 5:00 PM. No walk through's will be performed after 5:00 PM or on Sunday's or Federal holidays. If Tenants move out prior to the Lease Ending Date or without providing a written 30-day notice of intent to move out, then Tenants agree to pay all cost-of-reletting plus a $200.00 early reletting fee. Cost-of-reletting shall include, but not be limited to leasing fees, advertising, re -keying of locks, painting, necessary utilities, cleaning (including carpets), trash removal and lost rental income. Cost-of-reletting does not include damages caused by Tenants which is covered in paragraph 11. 28. Green Care: Tenants agree to keep the lawn, shrubs and trees watered and neatly trimmed. Tenants agree to always keep the height of the entire lawn or any parts thereof to less than 5 inches. Landlord will provide one notice (phone call, electronic message or note taped on Tenants door), giving the Tenants 5 days to mow. After the 5th day Tenants agree to pay Landlord $200.00 to mow the lawn for each occurrence. Tenants agree to keep the lawn, shrubs and trees sufficiently watered. Tenants agree to allow the Landlord, at Tenant's expense (use Tenant's water), to water the lawn, shrubs, and trees at Landlord's discretion. If Tenants does not water the lawn and/or foundation and there is visible damage to the property (cracks in brick/walls) or outside cracking of yard, Tenants agree to pay the greater of $500.00 or the cost of the repair. If the property has mulch, Tenants are responsible for maintaining mulch, which includes replenishing the mulch as needed, at Tenants expense. 29. Renters Insurance: In the event of a fire, theft or any natural disaster Tenants acknowledge that their personal belongings are not covered by the Landlords insuran a that they will obtain renters insurance. 30. SMOKE ALARM(S): Tenants acknowledge by signing this agreement that they will inspect and test smoke alarms before occupying the property. Tenants will immediately report any deficiencies in writing to the Landlord. Tenants agree not to occupy the property until the deficiency is corrected. Tenants further agree to maintain (including battery replacement) the smoke alarm(s) while residing at this property. If Tenants cannot reach smoke detector to replace battery, or cannot afford a new battery Landlord will replace the battery free of charge immediately after Tenants informs Landlord in writing of such issue. When Tenants return the property to the Landlord, all smoke alarms must have batteries and be working order. 31. Improvements and Repairs: Tenants acknowledge they have no right to order services and goods on behalf of the Landlords without prior written approval from the Landlord. If any improvement or repair is made by the Tenants or someone they contracted with, then Tenants agree to take full financial responsibility for such improvement and/or repairs. Upon move - out all improvements and/or repairs made or paid for by the Tenants will become the of the Landlords at no additional cost to the Landlord. 32. Mold Prevention: Tenants agree to remove moisture accumulation on windows, walls, and other surfaces as soon as possible; look for leaks in washing machine hoses; turn on exhaust fans in the bathroom before showering and in the kitchen before cooking; keep the shower - curtain liner inside the tub when showering; periodically open windows and doors on days when humidity is less than 50 percent. Tenants agree to clean the infected area with soap. and water, apply disinfectant or bleach to an area five or six times the size of mold. Sources of persistent moisture: excessive open -pot cooking, insufficient drying of carpets, plant watering overflows and pet urine and air-conditioning drip pans with clogged condensation lines. 33. Roof Attachments: At no time shall Tenants attach any object to the roof. The roof includes, but is not limited to the shingles, face boards, decking, gutters, and chimney. If any object, such as, but not limited to additional lighting, satellite dish and/or antenna(s) is attached to the roof then Tenants agree to immediately pay Landlord $1,000.00. Once the Tenants have been notified and billed the Tenants agree that any monies given to the Landlord will first be applied to this debt, then any late fees and then any rents owed. 34. Building Attachments: At no time shall Tenants attach any object to the building. If any object is attached to the building, then Tenants agree to immediately pay Landlord $1,000.00. Once the Tenants has been notified and billed the Tenants agree that any monies given to the Landlord will first be applied to this debt, then any late fees and then any rents owed. 35. Security/Alarm system: Some properties may have a home alarm or security system, hereafter system. If it does, the system was installed by previous Tenants. If the propirki 6� has an alarm or security system, the Landlord will not guarantee it will work or work accurately. Since it was not installed by Landlord, the Tenants agree to use it at their own risk and agree to hold the Landlord harmless from any loss to property or person. If Tenants wish to use the system, Landlord strongly suggests the Tenants have it inspected and maintained by a knowledgeable professional. Landlord will not reimburse Tenants for any costs associated with the system. Landlord will not provide monitoring or repair service to the system. 36. Alarm Maintenance: Landlord denies any responsibility for activation, use, repair, or monthly maintenance of any and all alarm systems currently or otherwise installed on the property. Tenants further agree to hold harmless the Landlord, employees, owners, vendors and agents of FCM Properties, L.L.C. from any damages, loss of goods or loss of life determined to have been preventable by the activation, use, repair or monthly maintenance of any and all alarm systems currently or otherwise installed on the property. 37. Attic Storage: Storage of personal property in attics is strictly prohibited. Storing personal property in the attic can cause stress and damaged to ceilings, cause damage to the A/C & heat ducts and could be a fire hazard. Personal property stored in the attic could cause injury to maintenance workers when trying to work in the attic. Tenants are prohibited from using the attic as storage. 38. Fees: From time -to -time fees charged by Landlord, including court costs and minor maintenance fees will change. Tenants are responsible for obtaining the most current price structure from Landlord. No advanced notice of changes to fees will be issued. 39. Special Provisions: None 40. Tenants agree to be in compliance with all local, state and federal laws at all times. If Tenants plan to run a business out of the property they must receive the Landlord's written permission before beginning business operations. If Tenants are approved by Landlord to run a business out of the property, they must provide the Landlord with a valid city permit to operate the business out of the property prior to beginning business operations. Tenants agree to hold the Landlord, its employees, owners, agents and vendors harmless from any lawsuit pertaining to the property. Depending on the type of business, Tenants may be asked to have a one million dollar ($1,000,000) general liability policy and provide the Landlord with a COI naming FCM Properties, L.L.C., its employees, owners, vendors and agents as additional insured. Tenants must provide the COI to Landlord prior to beginning business operations out of the property. Tenants agree to stand in front of any lawsuits regarding the property regardless of fault. No RV's or commercial vehicles larger than a sedan or standard sized pickup, like a Ford 150 are allowed to be parked on the property without the Landlord's written permission. The Landlord reserves the right to deny, for any reason, a Tenants request to operate a business out of the property. The Landlord reserves the right, at any time, to rescind permission for the Tenants to operate a business out of the property. If the Tenants are found to be operating a business out of the property without Landlord's permission, then Tenants agree this is a lease default and if asked will move out within 30-days or start paying $500 a month in additional rent until Tenants move out. If Tenants are simply working from home on a computer and/or phone and have no other workers on the property they do not need Landlord's permission. 41. Default: If the Tenants are in default of any part of this lease, then Tenants lose their right to possess the property. 42. Unenforceable Provisions: In the event any one or more of the provisions contained in this agreement shall for any reason be held invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provision of the agreement, and this agreement shall be construed as if such invalid, illegal, or unenforceable provision had not been included in the agreement. 43. Receipt of Legal Documents: Landlord or the person signing this agreement on Landlord's behalf, is authorized to manage the said property, and is authorized to act for and on behalf of Landlord for the purposes or service of process and for the purpose of receiving all notices and demands, at the address indicated below Landlord/Agent's signature herein. 44. Entire Agreement: This document constitutes the entire agreement between the parties, except for any written addendums, and no promises or representations, other than those contained herein and those implied in law, have been made by Landlord or Tenants. This agreement has been signed on the day and year first written herein. Landlord/Agent: FCM Properties, L. .C. PO Box 183204 Arlington, TX 76096 M&C Review Page 1 of 6 A Official site of the City of Fort Worth, Texas CITY COUNCIL AGEND FORM Create New From This M&C DATE: 6/25/2024 REFERENCE NO.: M&C 24-0552 LOG NAME: 192024-2025 ACTION PLAN CODE: C TYPE: NON -CONSENT PUBLIC YES HEARING: SUBJECT: (ALL) Conduct Public Hearing and Approve the City of Fort Worth's 2024-2025 Annual Action Plan for the Use of Federal Grant Funds in the Amount of $13,036,747.00 to be Awarded by the United States Department of Housing and Urban Development from the Community Development Block Grant, HOME Investment Partnerships Program, Emergency Solutions Grant, and Housing Opportunities for Persons with AIDS Program, Authorize Collection and Use of Program Income, Authorize Execution of Related Contracts, Adopt Appropriation Ordinance, and Authorize Waiver of Indirect Costs (PUBLIC HEARING - a. Report of City Staff: Sharon Burkley; b. Public Comment c. Council Action: Close Public Hearing and Act on M&C) RECOMMENDATION: It is recommended that City Council: 1. Conduct a public hearing to allow citizen input and consideration of the City's 2024-2025 Annual Action Plan for use of federal grant funds to be awarded by the United States Department of Housing and Urban Development in the amount of $13,036,747.00 from the Community Development Block Grant, HOME Investment Partnerships Program, Emergency Solutions Grant, and Housing Opportunities for Persons with AIDS grant programs; 2. Approve the City's 2024-2025 Annual Action Plan for submission to the United States Department of Housing and Urban Development, including allocations of grant funds to particular programs and activities as detailed below; 3. Authorize the collection and use of an estimated $50,000.00 of program income which is expected to result from activities using prior years' Community Development Block Grant funds for the City's Priority Repair Program; 4. Authorize the collection and use of an estimated $50,000.00 of program income which is expected to result from activities using prior years' HOME Investment Partnerships Program grant funds for the City's Homebuyer Assistance Program, and authorize the use of 10 percent of the program income for administrative costs; 5. Authorize the City Manager or his designee to execute contracts for one-year terms with the agencies listed in Tables 1, 2, and 3 below for Program Year 2024-2025 for Community Development Block Grant, Emergency Solutions Grant, and Housing Opportunities for Persons with AIDS grant funds, contingent upon receipt of funding, and satisfactory completion of all federal regulatory requirements; 6. Authorize the City Manager or his designees to extend the contracts for up to one year if an agency or department requests an extension and such extension is necessary for completion of the program, or to amend the contracts if necessary to achieve program goals provided any amendment is within the scope of the program and in compliance with City policies and all applicable laws and regulations governing the use of federal grant funds; 7. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Grants Operating Federal Fund in the total amount of $13,136,747.00 consisting of $7,006,875.00 in Community Development Block Grant funds, $2,763,144.00 in HOME Investment Partnerships Program funds, $614,768.00 in Emergency Solutions Grant funds, and $2,651,960.00 in Housing Opportunities for Persons with AIDS grant funds, plus estimated program income in the amount of $100,000.00, all subject to receipt of such funds; and 8. Authorize a waiver of the Neighborhood Services Department indirect cost of 28.10\%, estimated total of $341,260.45. http://apps.cfwnet.org/council_packet/mc review.asp?ID=32258&councildate=6/25/2024 7/8/2024 M&C Review Page 2 of 6 DISCUSSION: The City's 2024-2025 Annual Action Plan summarizes the major housing and community development activities and proposed expenditures for the program year beginning October 1, 2024 and ending September 30, 2025 for use of federal grant funds totaling $13,036,747.00 from the United States Department of Housing and Urban Development (HUD) from the Community Development Block Grant (CDBG), HOME Investment Partnerships Program (HOME), Emergency Solutions Grant (ESG), and Housing Opportunities for Persons with AIDS (HOPWA) grant programs. It also summarizes the use of program income resulting from activities using prior years' CDBG and HOME funds, the primary purpose of which is to benefit low -and moderate -income persons in Fort Worth. ESG funds primarily benefit persons experiencing homelessness, and HOPWA funds primarily benefit low -and moderate -income persons with HIV/AIDS. A Request for Proposals from social service agencies and nonprofit organizations seeking grant funding was published on February 1, 2024. All proposals were received on March 15, 2024. Staff reviewed all proposals and developed recommendations for the allocation of estimated funding from HUD based on the capacity of applicant organizations, grant experience, fiscal stability, and compliance with applicable federal regulations. One public hearing was held on April 10, 2024, to provide citizens the opportunity to participate in the development of the Annual Action Plan. Recommendations for award amounts were considered and adopted by the Community Development Council on May 8, 2024. A 30-day public comment period was held from May 15, 2024 to June 14, 2024. Notice of this public comment period was published in La Vida News on May 9, 2024; in the Fort Worth Star -Telegram on May 13, 2024; in Wise County Messenger on May 16, 2024; and in the Cleburne Times Review and the Weatherford Democrat on May 18, 2024. Any comments received are maintained by the Neighborhood Services Department in accordance with federal regulations. The City held two public hearings as a part of the HUD required citizen participation process. The first public hearing was held by staff on May 29, 2024, and the second public hearing is scheduled for the City Council on June 25, 2024. A summary of staff's final funding recommendations is provided below in Tables 1,2, and 3. A PowerPoint presentation listing funding recommendations is also attached. The 2024-2025 Annual Action Plan will be submitted to HUD by August 15, 2024. Indirect costs totaling approximately $341,260.45 could be charged to the CDBG grant, as the Neighborhood Services Department indirect cost rate is 28.10\% in the City's most recent Cost Allocation Plan. A waiver of these costs is requested to allow allocation of these funds to further support the programs and services to assist low -to -moderate income citizens. This amount is calculated based on the estimated salary expenses and other administrative costs for the CDBG program totaling $1,214,450.00. This amount multiplied by the indirect cost rate of 28.10\% equals $341,260.45. COMMUNITY DEVELOPMENT BLOCK GRANT For Program Year 2024-2025, it is recommended that the amount of $7,006,875.00 in CDBG funds and an estimated amount of $50,000.00 in CDBG program income totaling $7,056,875.00 be allocated as follows: Public Service Agencies - $1,051,031.00: Includes social services for low- and moderate -income persons, persons with disabilities, and disadvantaged persons Housing Programs - $2,930,000.00: Includes funding for the City's Priority Repair Program, Cowtown Brush -Up, and accessibility modifications for seniors and persons with disabilities Major Projects - $644,469.00: Includes funding for multifamily rental rehabilitation Program Delivery - $980,000.00: Includes program delivery costs for housing programs Administration - $1,401,375.00: Includes costs for administering the CDBG grant, including allocations for the Financial Management Services Department Estimated Program Income - $50,000.00: Includes up to $50,000.00 in funding for the City's Priority Repair Program. Any CDBG program income over the estimated amount not used for the Priority Repair Program will be allocated to priority activities in the City's Consolidated Plan, subject to the City Council approval. HOME INVESTMENT PARTNERSHIPS PROGRAM http://apps.cfwnet.org/council_packet/mc review.asp?ID=32258&councildate=6/25/2024 7/8/2024 M&C Review Page 3 of 6 For Program Year 2024-2025, it is recommended that the amount of $2,763,144.00 in HOME funds and an estimated amount of $50,000.00 in HOME program income totaling $2,813,144.00 be allocated as follows: Homebuyer Assistance Program - $72,358.00: Includes funding for down payment and closing cost assistance for low- and moderate -income homebuyers Community Housing Development Organizations (CHDOs) for affordable housing projects - $414,471.60: These funds will be used by Housing Channel for an affordable housing development in southeast Fort Worth called Mason Heights. Funds will be used for the acquisition of land and new construction of 248 residential units comprised of the following: 125 Single Family attached townhomes, 106 Single Family detached homes, and 17 cottages. An estimated 104 units (approximately 42\%) will be sold to low to moderate income households at or below 80\% Area Median Income (AMI). This funding is part of a multi -year commitment to Housing Channel for a total of five years. Major Projects - $2,000,000.00: Includes $1,000,000.00 allocated to the affordable housing project to be developed by Fort Worth Housing Solutions (FWHS) as a part of its Choice Neighborhood Initiative (CNI) grant and $1,000,000.00 allocated to the multifamily housing project, Columbia Renaissance - Phase III Administration - $276,314.40: Includes costs for administering the HOME grant Estimated Program Income - $50,000.00: Includes funding for the Homebuyer Assistance Program and HOME grant administrative costs. HUD allows the City to use 10 percent of any HOME program income towards the cost of administering the HOME grant. HOME program income over the estimated amount not used for the Homebuyer Assistance Program will be allocated to priority activities in the City's Consolidated Plan, subject to City Council approval. HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS For Program Year 2024-2025, it is recommended that the amount of $2,651,960.00 in HOPWA funds be allocated as follows: Public Service Agencies - $1,626,781.00 Neighborhood Services Department - $945,620.00 Administration - $79,559.00 EMERGENCY SOLUTIONS GRANT For Program Year 2024-2025, it is recommended that the amount of $614,768.00 in ESG funds to be allocated as follows: Public Service Agencies - $568,660.00 Administration - $46,108.00 CONTRACT RECOMMENDATIONS The Community Development Council and Neighborhood Services Department staff recommend that contracts be executed with the public service and CDBG subrecipient agencies for the amounts shown in the following tables: Community Development Block Grant Contracts TABLE 1: CDBG AGENCIES AGENCY CONSOLIDATED PLAN I PROGRAM AMOUNT GOAL Housing Channel Affordable Housing (Housing Counseling & $111,000.00 Education Meals -On -Wheels, Inc. of Aging In Place Nutrition Program $75,000.00 Tarrant County Increasing Access to Sixty and Better, Inc. Aging In Place Basic Needs for Senior $50,000.00 Adults AB Christian Learning Center Children and Youth Out of School Time $90,000.00 Services Program IJ $80,000.00 http://apps.cfwnet.org/council_packet/mc review.asp?ID=32258&councildate=6/25/2024 7/8/2024 M&C Review Page 4 of 6 Boys & Girls Clubs of Greater Children and Youth IYouth Development at Tarrant County, Inc. Services JEastside Branch Camp Fire First Texas Children and YouthServices Teens In Action $78,300.00 Girls Incorporated of Tarrant Children and Youth Girls Inc. of Tarrant $100,000.00 County Services County Junior Achievement of the Children and Youth Cradle to Career $50,000.00 Chisholm Trail, Inc. Services Initiative United Community Centers, Children and Youth Holistic Educational $90,000.00 Inc. Services Literacy Program Easter Seals North Texas, Inc. Economic Empowerment and Financial Resilience Employment Services $60,000.00 Taste Project Economic Empowerment Culinary Workforce $25,000.00 and Financial Resilience Development Program The Ladder Alliance Economic Empowerment Tarrant County Workforce $81,731.00 and Financial Resilience Development The Women's Center of Tarrant Economic Empowerment (Employment Solutions $60,000.00 County, Inc. and Financial Resilience Your Harvest House, Inc. Economic Empowerment and Financial Resilience Client Aid Services $25,000.00 Healthy Living and Increasing Health Cancer Care Services Wellness Equity by Decreasing $50,000.00 Health Disparities Tarrant Area Food Bank Healthy Living and Wellness Home Delivery $25,000.00 1CDBG Public Services Agencies Total 11$1,051,031.001 Rehabilitation, Education and Accessibility Advocacy for Citizens with Improvements Project Ramp $165,000.00 Handicaps dba REACH, Inc. Fort Worth Area Habitat for Housing Preservation Humanity, Inc. DBA Trinity and Rehabilitation Cowtown Brush Up $455,000.00 Habitat for Humanity 1CDBG Subrecipient Agencies Total 11 $620,000.001 TOTAL CDBG CONTRACTS 11$1,671,031.001 Housing Opportunities for Persons with AIDS Contracts TABLE 2: HOPWA AGENCIES AGENCY CONSOLIDATED PLAN GOAL AIDS Outreach Homelessness Prevention Center, Inc. and Special Needs Support PROGRAM The Housing Assistance Program - Administration, Tenant - Based Rental Assistance (TBRA), Short -Term Rent, Mortgage, and Utility Assistance AMOUNT $326,781.00 http://apps.cfwnet.org/council_packet/mc review.asp?ID=32258&councildate=6/25/2024 7/8/2024 M&C Review Page 5 of 6 Tarrant County Samaritan Housing, Inc. Homelessness Prevention and Special Needs Support TOTAL HOPWA CONTRACTS Emergency Solutions Grants Contracts (STRMU), Supportive Services HOPWA Program - Administration, Tenant - Based Rental Assistance (TBRA), Short -Term Rent, Mortgage, and Utility Assistance (STRMU), Supportive Services, Facility -Based Operations (FBO) TABLE 3: ESG AGENCIES AGENCY CONSOLIDATED PLAN PROGAM GOAL The Presbyterian Night Homelessness Prevention and Shelter Shelter of Tarrant County, Special Needs Support Operations/Services Inc. Lighthouse for the Homelessness Prevention and Day Shelter Homeless dba True Worth Special Needs Support Operations/Services Place SafeHaven of Tarrant Homelessness Prevention and Shelter County Special Needs Support Operations/Services Center for Transforming Homelessness Prevention and Rapid Re -Housing Lives Special Needs Support The Salvation Army Homelessness Prevention and Homelessness Special Needs Support Prevention TOTAL ESG CONTRACTS All figures have been rounded to the nearest dollar for presentation purposes. $1,300,000.00 $1,626,781.001 AMOUNT $127,345.00 $138,851.00 $75,000.00 $75,901.00 ��$151,563.00� II$568,660.001 Each of these grants is an entitlement grant rather than a competitive grant received from the United States Department of Housing and Urban Development (HUD). Entitlement grants provide funds to agencies based on a formula, prescribed in legislation or regulation, rather than based on review. These specific grants are allocated to the City of Fort Worth based on population size and per capita income each year. The grants have been consistently awarded to the City since 1974 with the inception of the Community Development Block Grant (CDBG) through the Housing and Community Development Act of 1974. The Emergency Shelter (renamed Solutions) Grant (ESG) was authorized in 1987 through the McKinney-Vento Homelessness Assistance Act. The HOME Investment Partnerships Program (HOME) and the Housing Opportunities for Persons with AIDS (HOPWA) Program were authorized through the Cranston -Gonzales National Affordable Housing Act of 1990. With these grants, administrative and program delivery allocations support approximately 72 FTE positions in the Neighborhood Services Department, which is funded nearly 70\% with various grants including these entitlement grants. Positions funded with HUD Entitlement grants are subject to grant availability. In the event of a grant award being decreased or eliminated, Neighborhood Services Department would review programs and services funded by the grants and determine a level of service and staffing that aligns with the available funding. Alternatives to consider may include staff and program reductions or eliminations. These programs are available in ALL COUNCIL DISTRICTS. http://apps.cfwnet.org/council_packet/mc review.asp?ID=32258&councildate=6/25/2024 7/8/2024 M&C Review Page 6 of 6 FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that upon approval of the above recommendations and adoption of the attached appropriation ordinance, funds will be available in the current operating budget, as appropriated, of the Grants Operating Federal Fund. The Neighborhood Services Department (and Financial Management Services) will be responsible for the collection and deposit of funds due to the City. Prior to an expenditure being incurred, the Neighborhood Services Department has the responsibility to validate the availability of funds. These are reimbursement grants. TO Fund Department Account Project Program Activity Budget Reference # Amount ID I ID Year (Chartfield 2) FROM Fund I Department Account Project Program Activity Budget I Reference # Amount ID ID I Year (Chartfield 2) Submitted for Citv Manaqer's Office bv: Oriqinatinq Department Head: Additional Information Contact: Fernando Costa (6122) Kacey Bess (8187) Sharon Burkley (5785) Rhonda Hinz (2573) ATTACHMENTS 19NS ACTION PLAN 2024 Aaencv Form 1295 Forms.Ddf (CFW Internal) 2024-2025 Action Plan Secretary of State Filinas.Ddf (CFW Internal) Action Plan Budget -Staff Recommendations 052924.DDtx (CFW Internal) IR 2024-2025 ACTION PLAN.docx (CFW Internal) ORD.APP192024-2025 ACTION PLANFY24 AO(r7).docx (Public) http://apps.cfwnet.org/council_packet/mc review.asp?ID=32258&councildate=6/25/2024 7/8/2024