HomeMy WebLinkAboutContract 46622-CA1 CITY SECRETAW
CONTRACT NO. I
ASSIGNMENT OF CITY SECRETARY CONTRACT NO. 46622
This Assignment of Contract is made and entered into by and between Fort Worth
Housing Finance Corporation ("Assignor" or "FWHFC"), Tarrant County Housing
Partnership, Inc. ("Assignee" or "TCHP") and the City of Fort Worth ("City").
(Sometimes FWHFC, TCHP and City are referred to individually as a "Party" and
collectively as the "Parties".)
RECITALS
A. On September 23, 2014, the City Council authorized the expenditure of a total of
$1,300,000.00 of Home Investment Partnership Program ("HOME") grant funds
to FWHFC for an affordable housing development in the Diamond Hill-Jarvis
neighborhood and an approved the sale to FWHFC of 21 lots for the construction
of new single family houses to be sold to HOME-eligible buyers (M&C C-
27008).
B. The Board of Directors of FWHFC, a Texas housing finance corporation and
public instrumentality of the City, approved contracts with City for the HOME
funds and to purchase the lots in order to act as developer of affordable housing
for low and moderate income home buyers for the Hardy Street Single Family
Infill Development (the "project") (Resolution No. FWHFC-2014-13).
C. On September 25, 2014, City and FWHFC made and entered into City Secretary
Contract Nos. 45977, 459789 45979, 45980, 45981, 459829 45983 and 45984 for
the purpose of funding the construction of 8 single family houses as part of the
project (the "Original Contracts") and made and entered into City Secretary
Contract No. 46620, the Contract of Sale and Purchase for the 21 lots for the
proj ect.
D. City and FWHFC made and entered into City Secretary Contract No. 46622
effective September 25, 2014 for the purpose of completing the project by
describing the terms under which single family houses would be constructed on
the remaining 13 (the "13 Lot Contract").
E. City is required to spend a portion of its annual award of HOME funds on projects
with Community Housing Development Organizations ("CHDO") and has
requested that the HOME contracts for the project be assigned by FWHFC to
TCHP, a CHDO, in order to assist City in meeting its CHDO spending and
M commitment goals with the United States Department of Housing and Urban
M Development. City has also requested that the Contract of Sale and Purchase for
M the 21 lots for the project be assigned by FWHFC to TCHP.
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OFFICIAL RECORD
co
o ASSIGNMENT CITY SECRETARY Rev. 06-04-15
CSC No.46622 FT.WORTH,TX
FWHFC to TCHP I Page 1
F. FWHFC assigned FWHFC's rights in the Original Contracts and the Contract of
Sale and Purchase to TCHP in City Secretary Contract No. 46621 effective as of
April 23, 2015.
G. It is the mutual desire of City and FWHFC to assign FWHFC's rights and
obligations as Developer under the 13 Lot Contract to TCHP in order to meet the
City's strategic goal of development and revitalization of the City's affordable
housing stock and to accomplish the objectives of the 13 Lot Contract.
H. TCHP, a Texas non-profit corporation and CHDO, is willing to assume all of
FWHFC's rights and obligations as Developer under the 13 Lot Contract.
I. The 13 Lot Contract permits assignment with written City approval and on April
14, 2015, the City Council approved the assignment of the Original Contracts, the
Contract of Sale and Purchase and the 13 Lot Contract for the Hardy Street Single
Family Infill Development from FWHFC to TCHP (M&C C-27264).
J. The City Manager or his designee is permitted to amend the 13 Lot Contract if
necessary in order to achieve project goals provided the amendment is within the
scope of the project and in compliance with applicable laws and regulations.
K. FWHFC wishes to assign all of its rights and interests, and delegate its duties and
obligations as such rights, interests, duties and obligations pertain to the 13 Lot
Contract and TCHP desires to accept such assignment of rights and interests and
assume such delegation of duties and obligations pertaining to the 13 Lot
Contract.
L. City finds that approving this Assignment will further the City's goal of
development of quality, accessible, affordable housing for low and moderate
income citizens.
AGREEMENT
NOW THEREFORE, in consideration of the mutual terms and conditions herein
contained and other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the Parties hereby agree as follows:
1. Assil4nment. Assignor hereby ASSIGNS, TRANSFERS AND CONVEYS all
rights and interests and delegates its duties and obligations under the 13 Lot
Contract to Assignee.
2. Acceptance. Assignee hereby accepts the Assignment granted herein, and
assumes all of Assignor's rights and interests, duties and obligations arising under
the 13 Lot Contract.
ASSIGNMENT Rev. 06-04-15
CSC No. 46622
FWHFC to TCHP Page 2
3. Authority. Assignor has full right, power and authority to enter into this
Assignment, to make the representations set forth herein, and to carry out
Assignor's obligations hereunder. Assignee has the full right, power and authority
to enter into this Assignment, to make the representations set forth herein, and to
carry out Assignee's obligations hereunder.
4. Effective Date. The effective date of this Assignment shall be June 5, 2015
("Effective Date"). All rights, duties and obligations under the 13 Lot Contract
arising, accruing or relating to the period before the Effective Date are allocated to
Assignor and all rights, duties and obligations arising, accruing or relating to the
period thereafter shall be allocated to Assignee.
5 Release and Surrender of Assignor. Except as otherwise expressly set forth in
this Assignment, Assignor will be discharged from any and all further obligations
under the Contract as of the Effective Date.
6. Representations. Assignor represents, warrants and covenants with Assignee
that as of the Effective Date, that Assignor is not in default under any of its
obligations contained in the 13 Lot Contract except as has been disclosed to
Assignee. City agrees to allow TCHP to cure any such defaults by the performance
of the terms of the 13 Lot Contract.
7. City's Consent. City hereby consents to this Assignment upon the terms and
conditions set forth herein. Unless and until City has executed this Assignment, this
Assignment is of no effect. The consent granted herein should not be construed as
consent to any further assignment. The failure or delay of City in seeking to
enforce any provisions of the 13 Lot Contract or this Assignment should not be
deemed a waiver of rights or remedies that City may have or a waiver of any
subsequent breach of the terms and provisions therein or herein contained.
8. Notices. Any notice given by any Party to another Party hereto must be given in the
manner required under the Contract. The addresses set forth below supersede any
addresses for notices set forth in the Contract.
CITY OF FORT WORTH:
City of Fort Worth
C/O Neighborhood Services Department
1000 Throckmorton St.
Fort Worth, Texas 76102
Attention: Assistant Director
ASSIGNEE:
Tarrant County Ilousing Partnership, Inc.
3204 Collinsworth St.
Fort Worth, Texas 76107
Attention: President
ASSIGNMENT Rev. 06-04-15
CSC No.46622
FWHFC to TCHP Page 3
ASSIGNOR:
Fort Worth Finance Housing Corporation
1000 Throckmorton Street
Fort Worth, TX 76102
Attention: Assistant General Manager
9. Successors. Except as herein otherwise provided, this Assignment will be
binding upon and inure to the benefit of the Parties, and their respective heirs,
executors, administrators, successors and assigns.
10. Counterparts. This Assignment may be executed in multiple counterparts, each of
which, once executed, will be an original and fully-binding on the Parties so
executing; and all such counterparts together constitute one and the same
agreement.
11. Binding Offer. This Assignment will be not be binding until executed and
delivered by all of the Parties.
[SIGNATURES APPEAR ON NEXT PAGE]
ASSIGNMENT Rev. 06-04-15
CSC No. 46622
FWHFC to TCHP Page 4
IN WITNESS WHEREOF, the Parties have executed this Assignment in multiple
originals to be effective on the Effective Date.
CITY OF FORT WORTH ASSIGNOR:
/ Fort Worth sing Finance Corporation
By: <�
Fernando Costa, Cynthia arcia,
Assistant City Manager Assistant General Manager
ASSIGNEE:
Tarrant County Housing Partnership,
In
By:
President
APPR ED AS TO FORM D LEGALITY:
Vicki S. Ganske, Assistant City Attorney
AT ST:
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Mary Kaye , ty S retar 1.- 0 °00
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M&C C-27008 Date: 9/23/2014 fig° obi
M&C C-27264 Date: 4/14/2015 °°�'
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OFFICIAL RECORD
CITY SECRETARY
FT.WORTH,TX
ASSIGNMENT Rev. 06-04-15
CSC No.46622
FWHFC to TCHP Page 5
STATE OF TEXAS §
COUNTY OF TARRANT §
This instrument was acknowledged before me on 1A 2015
by Fernando Costa the Assistant City Manager of the i of Fort Worth, on behalf of the
City of Fort Worth.
"Pa ^°'•., TRIKINYA L. JOHNSON Nota u • , State of Texas
H.
Notary Public,3tata of Texas
My Commission Expires
April 17, 2018
STATE OF TEXAS §
COUNTY OF TARRANT §
This instrument was acknowledged before me on fk 2015
by Cynthia Garcia, Assistant General Manager of th ort Orth Housing Finance
Corporation, a Texas housing finance corporation, on behalf of said corporation.
MATTIE L SANDERS Not ry Public, State of fexas
• MY COMMISSION EXPIRES
March 17,2016
STATE OF TEXAS §
COUNTY OF TARRANT §
This instrument was acknowledged before me on , 2015
by Donna VanNess, the President of the Tarrant Co Housing Partnership, Inc., a
Texas non-profit corporation on behalf o corpora
Notary Public, t e exas
SARAH J.ODLE
"• ' MY COMMISSION EXPIRES
9 November 5,2015
ASSIGNMENT Rev. 06-04-15
CSC No.46622
FW-HFC to TCHP Page 6
M&C Review Page 1 of 4
Gfficlai site of the City of Fort Worth,Texas
CITY COUNCIL GENDA FORTIVORT11
COUNCIL ACTION: Approved on 9/23/2014
DATE: 9/23/2014 REFERENCE C-27008 LOG NAME: 17HFCHARDYLOTS
NO..
NON- PUBLIC
CODE: C TYPE: CONSENT HEARING: NO
SUBJECT: Authorize Change in Use and Expenditure of$1,300,000.00 of HOME Investment
Partnerships Program Grant Funds to the Fort Worth Housing Finance Corporation in the
Form of a Subordinate Loan for Development of Up to Twenty-One Single Family
Houses for the Hardy Street Single Family Infill Project Located in the Diamond Hill-Jarvis
Neighborhood, Authorize Execution of a Contract, Authorize Sale of the Twenty-One
Platted Lots to the Fort Worth Housing Finance Corporation for the Development in the
Amount Not to Exceed $132,000.00, in Accordance with Section 272.001(g) of the Texas
Local Government Code, and Authorize Substantial Amendment to the City's 2007-2008,
2008-2009 and 2010-2011 Action Plans (COUNCIL DISTRICT 2)
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize a substantial amendment to the City's 2007-2008, 2008-2009 and 2010-2011 Action
Plans;
2. Authorize the City Manager, or his designee, to substitute funding years in order to meet United
States Department of Housing and Urban Development commitment, disbursement and expenditure
deadlines;
3. Authorize the change in use and expenditure of$1,300,000.00 in prior years HOME Investment
Partnerships Program Grant funds to the Fort Worth Housing Finance Corporation in the form of a
subordinate loan for the development of the Hardy Street Single Family Infill Project, a development
of up to twenty-one houses located on Eagle Nest Street and Hardy Street;
4. Authorize the City Manager, or his designee, to execute a conditional commitment with the Fort
Worth Housing Finance Corporation for a five-year subordinate deferred forgivable loan that
conditions funding on, among other things, satisfactory completion of HOME requirements;
5. Authorize the City Manager, or his designee, to execute a contract with the Fort Worth Housing
Finance Corporation for the construction and completion of the project for a term beginning on the
date of execution of the contract and ending five-years from the date of execution;
6. Authorize the City Manager, or his designee, to amend the contract for up to two one year
extensions if the Fort Worth Housing Finance Corporation requests an extension and such extension
is necessary for completion of the project;
7. Authorize,the City Manager, or his designee, to amend the contract if necessary to achieve project
goals provided that the amendment is within scope of the project and in compliance with City policies
and applicable laws and regulations governing the use of federal grant funds;
8. Authorize the direct sale of twenty-one platted properties located on Eagle Nest Street and Hardy
Street to the Fort Worth Housing Finance Corporation, in accordance with Section 272.001(g) of the
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Texas Local Government Code, in the amount not to exceed $132,000.00; and
9. Authorize the City Manager, or his designee, to execute and record the appropriate instruments
conveying the properties to complete the purchase and sale.
DISCUSSION:
The City Council authorized a total amount of$1,658,724.00 in Community Development Block Grant
(CDBG) funds for the Hardy Street Single Family Infill Housing Development (Development) (M&C G-
16852, M&C C-24117, M&C G-16884, M&C G-17714 and M&C C-26054). The Development
consists of acquisition of 3601 and 3617 Hardy Street, demolition of an existing structure and
installation of infrastructure for the 21 single family lots. The tracts have been replatted into 21 lots
(Properties) to be sold to a homebuilder to construct quality, affordable and accessible housing in the
Diamond-Hill Jarvis neighborhood. On June 10, 2014, (M&C C-26825)the City Council authorized
the sale of three lots to HMH Lifestyles, LP d/b/a HistoryMaker Homes (HistoryMaker), as the
homebuilder to purchase and construct the houses. However, HistoryMaker decided not to proceed
with the project due to higher priority developments available with more lots for home construction.
On August 26, 2014, the Board of the Fort Worth Housing Finance Corporation (HFC) agreed to be
the Developer for the project and approved all necessary actions to complete the acquisition and the
construction of the 21 single-family houses. The houses will be either three bedroom/two bath or four
bedroom/two bath houses, ranging in size from 1,400 to 1,875 square feet. The houses will be sold
to homebuyers earning 80 percent or less of the 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 (HAP) and must
occupy the unit as their primary residence for the length of the affordability period.
The City will enter a contract with the HFC for$1,300,000.00 of the City's HOME funds to be used for
acquisition of the properties, as described below and for part of the construction costs for the
project. The HOME funds will be in the form of a forgivable deferred payment loan. if the houses are
all sold to HOME-eligible buyers who occupy the units for the length of the affordability period, the
loan will be forgiven.
Staff recommends the following contract and loan terms:
1. Houses must be sold six months after completion to HOME-eligible buyers who obtain at least
$1,000.00 of HAP loan funds;
2. The length of the affordability period for the houses will be either 5, 10 or 15 years depending
upon the amount of HOME funds provided to the buyer;
3. Secure performance and repayment of HOME funds in the case of default by homebuyer or
Developer with a recorded deed of trust; and
4. Five-year contract and loan term with HFC; and
5. HFC's loan is forgiven if all HOME requirements and contract terms are met.
The expenditure of HOME funds is conditioned upon the following:
1. Satisfactory completion of an environmental review pursuant to 24 CFW part 58; and
2. Authorization to use grant funds from HUD.
In accordance with the HOME regulations, 24 CFR Part 92 et seq., the purpose of this project is to
benefit low and very low-income citizens by providing them with affordable housing. A public
comment period on the change in use of these HOME funds was held from August 22, 2014 to
September 22, 2014. Any comments are maintained by the Housing and Economic Development
Department in accordance with federal regulations. The Action Plan funding year may vary and be
substituted based on the principle of First In, First Out (FIFO) in order to expend the oldest grant
funds first.
Staff recommends selling the property to the HFC for the project. The sales price is $132,000.00 for
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all 21 lots. The HFC is responsible for all closing costs on this transaction. The City advertised the
intent to sell the property in the Fort Worth Star-Telegram on August 24, 2014, August 31, 2014,
September 7, 2014 and September 14, 2014.
Address Legal Description
3600 Eagle Nest Street Jarvis Heights Apartments Addition, Block 4-R
Lot 7
3601 Eagle Nest Street Jarvis Heights Apartments Addition, Block 3-R
Lot 7
3608 Eagle Nest Street Jarvis Heights Apartments Addition, Block 4-R
Lot 6
3609 Eagle Nest Street Jarvis Heights Apartments Addition, Block 3-R
Lot 6
3616 Eagle Nest Street Jarvis Heights Apartments Addition, Block 4-R
Lot 5
3617 Eagle Nest Street Jarvis Heights Apartments Addition, Block 3-R
Lot 5
3624 Eagle Nest Street Jarvis Heights Apartments Addition, Block 4-R
Lot 4
3625 Eagle Nest Street Jarvis Heights Apartments Addition, Block 3-R
Lot 4
3632 Eagle Nest Street Jarvis Heights Apartments Addition, Block 4-R
Lot 3
3633 Eagle Nest Street Jarvis Heights Apartments Addition, Block 3-R
Lot 3
3640 Eagle Nest Street Jarvis Heights Apartments Addition, Block 4-R
Lot 2
3641 Eagle Nest Street Jarvis Heights Apartments Addition, Block 3-R
Lot 2
3648 Eagle Nest Street Jarvis Heights Apartments Addition, Block 4-R
Lot 1
3649 Eagle Nest Street Jarvis Heights Apartments Addition, Block 3-R
Lot 1
3601 Hardy Street Jarvis Heights Apartments Addition, Block 4-R
Lot 14
3609 Hardy Street Jarvis Heights Apartments Addition, Block 4-R
Lot 13
3617 Hardy Street Jarvis Heights Apartments Addition, Block 4-R
Lot 12
3625 Hardy Street Jarvis Heights Apartments Addition, Block 4-R
Lot 11
3633 Hardy Street Jarvis Heights Apartments Addition, Block 4-R
Lot 10
3641 Hardy Street Jarvis Heights Apartments Addition, Block 4-R
Lot 9
3649 Hardy Street Jarvis Heights Apartments Addition, Block 4-R
Lot 8
This project is located in COUNCIL DISTRICT 2, Mapsco 48Z.
FISCAL INFORMATIONXERTIFICATION:
The Financial Management Services Director certifies that funds are available in the current operating
budget, as appropriated, of the Grants Fund.
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TO Fund/Account/Centers FROM Fund/Account/Centers
GR76 539120 005206181640 $1,000,000.00 GR76 539120 005206181070 $400.000.00
GR76 539120 005206271640 $179,440.54 GR76 539120 005206181160 $55,000.00
GR76 539120 017206461640 $120,559.46 GR76 539120 005206181360 $545,000.00
GR76 539120 005206271990 $179,440.54
GR76 539120 017206461990 $120,559.46
Submitted for City Manager's Office by: Fernando Costa (6122)
Originating Department Head: Jay Chapa (5804)
Additional Information Contact: Cynthia Garcia (8187)
Bette Chapman (6125)
ATTACHMENTS
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M&C Review Page 1 of 2
Of lcial site of the City of Fort Nlorth,Texas
CITY COU CIL GE DA FoRTIVORTI1
COUNCIL ACTION: Approved on 4/14/2015
DATE: 4/14/2015 REFERENCE NO.: C-27264 LOG NAME: 17NS NSTCHPASSIGN
CODE: C TYPE: NON- PUBLIC CONSENT HEARING: NO
SUBJECT: Authorize Assignment of Contracts for the Development of the Hardy Street Single Family
Infill Development Located in the Diamond Hill-Jarvis Neighborhood Using $1,300,000.00
of HOME Investment Partnerships Program Grant Funds and Assignment of Purchase and
Sale Agreement for the Direct Sale of Twenty-One Lots for the Development from the Fort
Worth Housing Finance Corporation to Tarrant County Housing Partnership, Inc.
(COUNCIL DISTRICT 2)
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize the City Manager or his designee to execute an assignment of contracts for the
development of the Hardy Street Single Family Infill Development located in the Diamond Hill-Jarvis
Neighborhood using $1,300,000.00 of the City's HOME Investment Partnerships Program grant funds
from the Fort Worth Housing Finance Corporation to Tarrant County Housing Partnership, Inc.;
2. Authorize the City Manager or his designee to execute an assignment of the Purchase and Sale
Agreement for the direct sale by the City of twenty-one lots for the development in the amount of
$132,000.00 from the Fort Worth Housing Finance Corporation to Tarrant County Housing
Partnership, Inc.;
3. Authorize the City Manager or his designee to amend the HOME contracts to include all
Community Housing Development Organization requirements and a ten percent developer fee;
4. Authorize the City Manager or his designee to amend the contracts and the Purchase and Sale
Agreement 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; and
5. Authorize the City Manager 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.
DISCUSSION:
On September 23, 2014, the City Council authorized the change in use and expenditure of
$1,300,000.00 of the HOME Investment Partnerships Program grant funds to the Fort Worth Housing
Finance Corporation (FWHFC) for the development of the Hardy Street Single Family Infifl
Development, and authorized the direct sale of 21 lots to the FWHFC for the development for
$132,000.00 ( M&C C-27008).
Staff recommends the assignment of the HOME funds contracts and the purchase and sales
agreement for the lots from the FWHFC to Tarrant County Housing Partnership, Inc. (TCHP), a
Community Housing Development Organization (CHDO) and an experienced single family affordable
housing developer. These assignments will allow the City to meet its CHDO spending and
commitment goals with the United States Department of Housing and Urban Development (HUD).
The City receives approximately $2,000,000.00 in HOME funds each year and HUD requires that 15
percent of those funds must be set aside to be spent by a CHDO.
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Staff recommends amending the HOME funds contracts to incorporate all CHDO requirements,
including a standard 10 percent CHDO developer fee in order to comply with HUD regulations for
CHDOs.
This project is located in COUNCIL DISTRICT 2, Mapsco 48Z.
FISCAL INFORMATION/CERTIFICATION:
The Fiscal Year 2015 budget included appropriations of$1,615,439.38 in the Grants Fund for this
purpose. To date, the appropriations have not been expended. Upon approval of these
recommendations, the Financial Management Services Director certifies that funds are available
within the existing appropriations for the Hardy Street Single Family Infill Project.
TO Fund/Account/Centers FROM Fund/Account/Centers
GR76 539120 005206181640 $1.000,000.00 GR76 539120 005206181070 $400,000.00
GR76 539120 005206271640 $179,440.54 GR76 539120 005206181160 $55,000.00
GR76 539120 017206461640 $120,559.46 GR76 539120 005206181360 $545,000.00
GR76 539120 005206271990 $179.440.54
GR76 539120 017206461990 $120,559.46
Submitted for City Manager's Office by: Fernando Costa (6122)
Originating Department Head: Cynthia Garcia (8187)
Additional Information Contact: Ana Alvarado (7536)
ATTACHMENTS
M_ ap.pdf
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M&C Review Page 1 of 2
Official site of the City of Fort Worth,Texas
CITY COUNCIL AAR GE DA FORT11bRTH
COUNCIL ACTION: Approved on 5/19/2015
REFERENCE17NS HARDY PROJECT
DATE: 5/19/2015 NO.: **C-27295 LOG NAME: ADDITIONAL HOME
FUNDING
CODE: C TYPE: CONSENT PUBLIC NO
HEARING:
SUBJECT: Authorize Expenditure of an Additional $310,000.00 of HOME Investment Partnerships
Program Grant Funds to Tarrant County Housing Partnership, Inc., for the Hardy Street
Single Family Infill Development in the Diamond-Hill-Jarvis Neighborhood for a Total
Contract Amount of$1,610,000.00 and Authorize Execution of Contracts (COUNCIL
DISTRICT 2)
RECOMMENDATION:
It is recommended that the City Council:
1. 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;
2. Authorize expenditure of an additional $310,000.00 in HOME Investment Partnerships Program
grant funds to Tarrant County Housing Partnership, Inc., for a total contract amount of$1,610,000.00
for the development of additional single family houses as part of the Hardy Street Single Family Infill
Development located in the Diamond Hill-Jarvis neighborhood;
3. Authorize the City Manager or his designee to execute contracts with the Tarrant County Housing
Partnership, Inc., for a five year term for the construction of single family houses in the project;
5. Authorize the City Manager or his designee to extend or renew the contracts for one year if Tarrant
County Housing Partnership, Inc., requests an extension and such extension is necessary for
completion of the project; and
6. Authorize the City Manager or his designee to amend the contracts 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 September 23, 2014, the City Council authorized the expenditure of$1,300,000.00 of HOME
Investment Partnerships Program (HOME) grant funds to the Fort Worth Housing Finance
Corporation (FWHFC) for the Hardy Street Single Family Infill Development and authorized the direct
sale of 21 lots to the FWHFC for the development (M&C C-27008). On April 14, 2015, the City
Council authorized the assignment of the HOME contracts and the Purchase and Sale Agreement for
the lots from FWHFC to TCHP, a Community Housing Development Organization (CHDO) and an
experienced single family affordable housing developer(M&C C-27264). The purpose of the
assignments was to assist the City in meeting its CHDO commitment and spending goals with the
United States Department of Housing and Urban Development (HUD).
TCHP currently has been assigned HOME contracts for the construction of seven houses and
expects to start construction in May. TCHP would like to also begin construction on two more houses
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in May for a total of nine houses, but needs an additional $310,000.00 of HOME funds for the
construction. These two additional contracts will allow the City to meet its CHDO commitment and
spending goals with HUD.
Staff recommends the expenditure of an additional $310,000.00 in HOME funds to TCHP for the
project for a total contract amount of$1,610,000.00. The HOME funds may be used for any eligible
costs related to the development. In accordance with the HOME regulations, the purpose of the
project is to benefit low and moderate-income citizens by providing them with quality, accessible,
affordable housing. The Action Plan funding years may vary and be substituted based on the
principle of First In, First Out in order to expend oldest grant funds first. Federal regulations do not
require a public comment period for this allocation of HOME funds.
This project is located in COUNCIL DISTRICT 2, Mapsco 48Z.
FISCAL INFORMATION/CERTIFICATION:
The Fiscal Year 2015 budget includes appropriations of$323,789.41 in the Grants Fund for
development projects eligible under the HOME Investment Partnerships Program Grant. To date,
none of those appropriations have been expended. Upon approval of this recommendation, the
Financial Management Services Director certifies that funds are available within the existing
appropriations for this expenditure.
TO Fund/Account/Centers FROM Fund/Account/Centers
GR76 539120 017206351XXX $310.000.00 GR76 539120 017206351150 $310,000.00
Submitted for City Manager's Office by: Fernando Costa (6122)
Originating Department Head: Cynthia Garcia (8187)
Additional Information Contact: Alice Cruz (7322)
Avis Chaisson (6342)
ATTACHMENTS
HardyPlattedLots block.pdf
http://apps.cAvnet.org/council_packet/mc review.asp?ID=21099&councildate=5/19/2015 6/9/2015