HomeMy WebLinkAboutContract 44565-A3 y1 TY SECW� 5 � X3
RACT 140,
THIRD AMENDMENT TO CITY SECRETARY CONTRACT NO. 44565
WHEREAS, on June 20, 2013, the City of Fort Worth ("City") and Tarrant County Housing
Partnership, Inc. ("Developer") made and entered into City Secretary Contract No. 44565 (the
"Contract"), as authorized by the City Council in M&C C- 24714 which provided City HOME funds to
Developer for the development of 3 single family houses in the Hillside-Morningside neighborhood (the
project);
WHEREAS, the funding provided to Developer in the Contract was from a grant received by the
City from the United States Department of Housing and Urban Development through the HOME
Investment Partnerships Program, Catalog of Federal Domestic Assistance No. 14.239;
WHEREAS, Developer is qualified as a Community Housing Development Organization or
"CHDO" under the HOME Regulations;
WHEREAS, Developer requested HOME CHDO funds for the construction of a single family
house located at 1300 E. Jefferson to be sold to HOME Eligible Buyers under the terms and conditions
set forth in the Contract;
WHEREAS, City and Developer executed the First Amendment to the Contract to extend the
Completion Deadline and increase the construction budget for the house;
WHEREAS, once the house was completed, the amount of the Developer Fee could be
determined and City and Developer executed the Second Amendment to the Contract to amend the
definition of the HOME Funds to clarify that it included the sum necessary for payment of the
Developer Fee;
WHEREAS, since the house is now complete and sold to a HOME Eligible Buyer, Developer
has requested an amendment to the line item amounts listed in Exhibit "C"—Budget Revised 7/2014 to
reflect the final expenses for the project, including the actual amounts of each line item and the actual
amounts of the seller-paid closing costs as shown on the HUD-1 Settlement Statement;
WHEREAS, City and Developer have also agreed to add 10% of the seller-paid closing costs to
the Developer Fee in addition to 10% of the eligible project related development costs; and
M WHEREAS, it is the mutual desire of City and Developer to amend the Contract to complete the
C-) project and meet Contract objectives.
M
M NOW THEREFORE, City and Developer hereby agree as follows:
v
Section 2. DEFINITIONS is amended to be and read as follows:
"HOME Funds means the HOME Program grant funds supplied by City to Developer under the
terms of this Contract, not to exceed $145,303.22.
Section 4.7 Developer Fee is amended to be and read as follows:"
OFFICIAL RECORD
CONTRACT AMENDMENT 3 to CSC No. 44565 CI�'Y SECiRETARY Page I
Tarrant County Housing Partnership, Inc.— 1300 E.Jefferson Rev.02/10/15
FT.'WOM,TX
"Section 4.7 Developer Fee. Developer shall receive a fee of 10% of the total eligible
project related development costs actually spent to develop, construct and sell the Required
Improvements in accordance with the terms of this Contract. Eligible project related
development costs shall include but not be limited to development costs, construction costs, and
seller-paid closing costs as more particularly described in Exhibit "C" —Budget. City shall pay
Developer Fee at City's sole option (i) outside of closing upon receipt from Developer of an
invoice showing the total amount of eligible costs spent to develop, construct and sell the
Required Improvements, or(ii) at closing.
II.
Exhibit "B" — Project and Reimbursement Schedule Revised 7/2014 and Exhibit "C" —
Budget Revised 7/2014 attached to the Contract are hereby replaced with Exhibit "B" — Project and
Reimbursement Schedule Revised 2/2015 and Exhibit "C"—Budget Revised 2/201.5 attached hereto.
Ill.
This amendment is effective as of the Effective Date of the Contract.
IV.
All other terms and conditions of City Secretary Contract No. 44565 not amended herein remain
unaffected and in full force and effect, are binding upon the Parties, and are hereby ratified by the
Parties. Capitalized terms not defined herein shall have meanings assigned to them in the Contract.
[SIGNATURES APPEAR ON FOLLOWING PAGE]
CONTRACT AMENDMENT 3 to CSC No.44565 Page 2
Tarrant County Housing Partnership, Inc.— 1300 E.Jefferson Rev. 02/10/15
F� o�o
RT
ACCEPTED AND AGRE ��°° �
o .4
°
ATT T: I... Q!A Y OF FORT WORTH
o°
°°moo°°�°°5
ity Secret TEXP` Fernando Costa, Assistant City Manager
M&C C-24714 Date: 1/25
APPR VEDAS TO FORM ND LEGALITY:
Vicki S. Ganske, Senior Assistant City Attorney
STATE OF TEXAS §
COUNTY OF TARRANT §
This instrument was acknowledged before me on,,/440&X 2015 by
Fernando Costa,Assistant City Manager of the City of Fort Wo , on be l fhe City of Fort Worth.
Nl�tary Public, State of Texas
EVONIA DANIELS
Stote of
:"E NoiarY PubuL,
� = Njy Commiss+on Expires TARRANT COUNTY HOUSING
11 ly 10. 2017 PARTNERS Tex rofit c rporation
By:
n a ess, ent
STATE OF TEXAS §
COUNTY OF TARRANT §
This instrument was acknowledged before me on1? , 2015 by Donna
VanNess, President of Tarrant County Housing Partnership, Inc., a Texa on-profit corporation, acting
on behalf of such corporation. P(-4-w M ot�
Notary Public, State ofT aasA
MARY RODRI(;JEI
gp
..1blt I.
_ April 18. :
OFFICIAL RECORD
CITY SECRETARY
CONTRACT AMENDMENT 3 to CSC No.44565 FT. WORTH, TX Page 3
Tarrant County Housing Partnership,Inc.— 1300 E.Jefferson Rev. 02/10/15
EXHIBIT "B"
PROJECT AND REIMBURSEMENT SCHEDULE REVISED 2/2015
TARRANT COUNTY HOUSING PARTNERSHIP,INC.
1300 E.Jefferson
Phase Activity Ending Week—subject to
weather permitting
PHASE I ACTIVITIES: Contract signed
Land and/or Building Acquisition
Survey
PHASE I DEADLINE: 1st Payment* $2,038.00%
August 7,2013
PHASE R ACTIV[ITES: Site Preparation
Architectural &Engineering Fees
Landscaping
Construction costs
PHASE II DEADLINE: 2nd Payment* $64,439.08-
September 18,2013
PHASE III ACTIVIITES: Site Preparation
Architectural &Engineering Fees
Construction Costs&Fence
Utility hookup/Impact fees
PHASE III DEADLINE:
3`d Payment* $32,969.62*
June 30,2014
PHASE IV ACTIVIITES: Construction costs
Utility hookup/Impact fees
Architectural&Engineering Fees
PHASE IV DEADLINE: 4"'Payment* 514,370.86*
August 30,2014
PHASE V ACTIVITIES: Utility hookup/Impact fees
Architectural &Engineering Fees
Landscaping
Construction Costs& Fence
PHASE V DEADLINE: FINAL PAYMENT* $12,373.98*
September 30,2014
CONSTRUCTION TOTAL $126,191.54
Paid after closingof sale to HOME
DEVELOPER FEE** $13,209.38**
Eligible Buyer
*Developer will be reimbursed for eligible expenses only. The amounts are estimates and are subject to change.
**10%of project related development costs as shown on Exhibit"C"-Budget.
CONTRACT AMENDMENT 3 to CSC No.44565 Page 4
Tarrant County Housing Partnership, Inc.—1300 E.Jefferson Rev. 02/10/15
EXHIBIT "C"
BUDGET REVISED 2/2015
TARRANT COUNTY HOUSING PARTNERSHIP, INC.
1300 E. JEFFERSON
HOME Funds for Project Related Development Costs: $132,093.84
Developer Fee*: $ 13,209.38
TOTAL HOME FUNDS: $145,303.22
Development Budget
Use of Funds Source of Funds
Predevelopment Cost HOME$ OTHER $ SOURCE OF TOTAL$
FUNDS FUNDS OTHERFUNDS FUNDS
(1) (2) (Names) (1+2)
1.Market Stud
2.Feasibility(i.e.: preliminary work
write-up,cost estimates,design)
3.Other
Total Predevelo ment Cost(1+2=3
Development Cost
4.Land and/or building acquisition 938.00 938.00
5.Site Preparation 5,920.00 5,920.00
6.Construction Cost 114,560.17 114,560.17
7.Fence
8.Landscape 750.00 750.00
9.Contingency
10.Appraisal
11.Architect&Engineering Fees 2,290.90 2,290.90
12.Construction Management Fee/
Developer Fee
13.Construction Loan Interest
14.Property Survey 1,300.00 1,300.00
15.Legal Fees 150.50** Proceeds of Sale** 150.50
16.Real Estate Fees 4,800.00** Proceeds of Sale** 4,800.00
17. Utility Hookup/Impact Fees 432.47 432.47
18.Title& Recording Fees 951.80** Proceeds of Sale** 951.80
19.Construction Management
20.Bond Fees
Total Development Cost(Total of items 126,191.54 5,902.30 132,093.84
-4-20)
Total Cost 1 126,191.54 5,902.30 1 1 132,093.84
*Developer Fee shall be paid from HOME Funds by invoice after the closing of the sale of the house to a HOME Eligible
Buyer. The Developer Fee consists of 10%of the project related development costs.
"Seller-paid closing costs as shown on the HUD-1 Settlement Statement paid from gross sales proceeds from the sale of the
house.
CONTRACT AMENDMENT 3 to CSC No.44565 Page 5
Tarrant County Housing Partnership, Inc.— 1300 E.Jefferson Rev. 02/10/15
M&C Review Page 1 of 3
Official site of the City of Fort Worth,Texas
CITY COUNCIL AGENDART m
COUNCIL ACTION: Approved on 1/25/2011
DATE: 1/25/2011 REFERENCE C-24714 LOG NAME: 17TCHP-
NO.: HILLSIDEWORNINGSIDE
CODE: C TYPE: NOW PUBLIC NO
CONSENT HEARING:
SUBJECT: Authorize a Change in Use and Expenditure of$381,931.00 of HOME Investment
Partnerships Program Grant Funds to Tarrant County Housing Partnership, Inc., for the
Development of Three Single Family Houses in the Hillside-Morningside Neighborhood,
Authorize the Execution of Conditional Commitment and Contract and Authorize a
Substantial Amendment to the City's 2010-2011 Action Plan (COUNCIL DISTRICT 8)
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize a substantial amendment to the City's 2010-2011 Action Plan;
2.Authorize the City Manager, or his designee, to substitute funding years in order to meet
commitment, disbursement and expenditure deadlines for grant funds from the United States
Department of Housing and Urban Development;
3. Authorize a change in use and expenditure of$381,931.00 in HOME Investment Partnerships
Program Grant funds to Tarrant County Housing Partnership, Inc., a certified Community Housing
Development Organization, for the development of three single family houses in the Hillside-
Morningside neighborhood;
4. Authorize the City Manager, or his designee, to execute a conditional commitment with Tarrant
County Housing Partnership, Inc., that conditions funding, among other things, on satisfactory
completion of HOME requirements;
5. Authorize the City Manager, or his designee, to execute a Contract with the Tarrant County
Housing Partnership, Inc., for the project for a three year term beginning on the date of execution of
the contract;
6. Authorize the City Manager, or his designee, to extend or renew the conditional commitment or the
contract if Tarrant County Housing Partnership, Inc., requests a written extension and such extension
is necessary for completion of the project; and
7. Authorize the City Manager, or his designee, to amend the conditional commitment or the Contract
if necessary to achieve project goals provided that the amendment is within the scope of the project
and in compliance with City policies and applicable laws and regulations governing the use of federal
grant funds.
DISCUSSION:
On October 14, 2010, the City issued a Request for Proposals (RFP) for certified Community Housing
Development Organizations (CHDO)to award and expend up to $1,261,931.00 of HOME Investment
Partnerships Program Grant funds. On November 18, 2010, the Tarrant County Housing
Partnership, Inc., (TCHP) submitted a response requesting $617,884.00 of the available HOME funds
http://fortworthtexas.gov/council_packet/mc_review.asp?1D=14661&councildate=l/25/2011 2/24/2015
M&C Review Page 2 of 3
to acquire seventeen sites on which it proposed to construct single family houses. The request also
included funds for related CHDO operating expenses.
City staff reviewed all RFP submissions and recommended the award to TCHP of$381,931.00 in
HOME funds to the Community Development Council (CDC) at its meeting held on December 1,
2010. The CDC agreed with staffs funding recommendation for the project. Up to $50,000.00 of the
awarded funds will be used for operating expenses and $331,931.00 for construction of three houses
and other development expenses.
TCHP plans to develop three single family houses to be located in the Hillside-Morningside
neighborhood. There are three floor plan options available and all houses will be at a minimum 1250
square feet with three bedrooms, two baths and a rear detached garage. The houses will be sold to
an individual or family that earns 80 percent or less of Area Median Income as determined by the
United States Department of Housing and Urban Development(HUD). Buyers must meet all HOME
Program requirements including applying for and receiving at least$1,000.00 in down payment
and/or closing cost assistance from the City's Homebuyer Assistance Program and occupying the
house as their primary residence for five years.
City staff recommends the following Contract terms:
i. Construction must begin within six months of date of Contract execution;
ii. TCHP's performance under the Contract and use of the HOME funds will be secured by a
recorded
Deed of Trust;
iii. Houses must be sold to a HOME eligible buyer; and
iv. Proceeds from the sale of houses must be used to construct additional houses for a HOME
eligible
buyer and construction of Proceeds houses must occur within the three year contract term.
The expenditure of HOME funds is conditioned upon the foilowing:
i. Satisfactory completion of the environmental review per 24 CFR Part 58, and
ii. Authorization to use grant funds from HUD.
City staff recommends the change in use and expenditure up to$381,931.00 in HOME funds for the
project to benefit low and very low income citizens by providing affordable housing. A public comment
period on the change in use of these HOME funds was held from December 16, 2010 to January 20,
2011. Any comments are maintained by the Housing and Economic Development Department in
accordance with federal regulations.
This project is located in COUNCIL DISTRICT 8.
FISCAL INFORMATION/CERTIFICATION:
The Financial Management Services Director certifies that funds are available in the current operating
budget, as appropriated, of the Grants Fund.
TO Fund/Account/Centers FROM Fund/Account/Centers
GR76 539120 017206461XXX $150,000.00 GR76 539120 017206461030 $150,000.00
GR76 539120 017206461XXX $231.931.00 GR76 539120 017206461040 $231.931.00
Submitted for City Manager's Office by: Susan Alanis(8180)
Originating Department Head: Jay Chapa (5804)
Additional Information Contact: Cynthia Garcia (8187)
hap://fortworthtexas.gov/council_packet/mc_review.asp?ID=14661&counci]date=]/25/2011 2/24/2015
M&C Review Page 3 of 3
Avis F. Chaisson (6342)
ATTACHMENTS
http://fortworthtexas.gov/council_packet/mc_review.asp?ID=14661&councildate=1/25/2011 2/24/2015